Document:

Security Agreement

 EXHIBIT 10.1 

SECURITY AGREEMENT 

SECURITY AGREEMENT, dated as of July 23, 2010 (this “Agreement”), made by GSI Group Corporation (the
“Company”) and each of the parties set forth on the signature pages hereto (together with the Company, each a “Grantor” and collectively, the “Grantors”), in favor of The Bank of New York Mellon
Trust Company, N.A., a national banking association, in its capacity as collateral agent (in such capacity, the “Collateral Agent”) to each of the Noteholders referred to below (together with the Collateral Agent, the
“Secured Parties”). 
 W I T N E S S E T
H: 
 WHEREAS, in connection with a Final Fourth Joint Plan of Reorganization dated May 24, 2010 filed by the
Company and certain of its domestic subsidiaries as supplemented on May 27, 2010 and confirmed by the Bankruptcy Court of the District of Delaware by order dated May 27, 2010 (the “Reorganization Plan”) and pursuant to the
terms of the Indenture dated July 23, 2010 (the “Indenture”) entered into by the Company and the Guarantors (defined below), the Company intends to issue certain 12.25% Senior Secured PIK Election Notes (as amended, restated,
supplemented, replaced, modified or otherwise changed from time to time, collectively, the “Notes”), in partial satisfaction of the Note Claims (as defined in the Reorganization Plan) to the holders of such Note Claims (together
with any other holders of the Notes from time to time, the “Noteholders”); 
 WHEREAS, each of the undersigned
Grantors (other than the Company) (each a “Guarantor” and collectively, the “Guarantors”) has agreed pursuant to the terms of the Indenture to guarantee the Company’s obligations under the Indenture and the
Notes; 
 WHEREAS, it is a condition precedent to the effectiveness of the Reorganization Plan that the Grantors execute and
deliver this Agreement providing for the grant of a first priority perfected security interest in all (except as provided herein) of the property and assets of each Grantor to secure all of the Company’s obligations under the Indenture and the
Notes, and each Guarantor’s obligations under the Indenture; and 
 WHEREAS, the Grantors have determined that the
execution, delivery and performance of this Agreement directly benefits, and is in the best interest of, the Grantors; 
 NOW,
THEREFORE, in consideration of the premises and the agreements herein, each Grantor agrees as follows: 
 SECTION 1.
Definitions. 
 (a) Reference is hereby made to the Indenture and the Notes for a statement of the terms thereof. All
terms used in this Agreement and the recitals hereto which are defined in the Indenture, the Notes or in Articles 8 or 9 of the Uniform Commercial Code as in effect from time to time in the State of New York (the “Uniform Commercial
Code”), and which are not otherwise defined herein shall have the same meanings herein as set forth therein; provided that terms used herein which are defined in the Uniform Commercial Code as in effect in the State of New York on
the date hereof shall continue to have the same meaning notwithstanding any replacement or amendment of such statute except as the Collateral Agent may otherwise determine. 

 (b) The following terms shall have the respective meanings provided for in the Uniform
Commercial Code: “Accounts”, “Cash Proceeds”, “Chattel Paper”, “Commercial Tort Claim”, “Commodity Account”, “Commodity Contracts”, “Deposit Account”, “Documents”,
“Equipment”, “Fixtures”, “General Intangibles”, “Goods”, “Instruments”, “Inventory”, “Investment Property”, “Letter-of-Credit Rights”, “Noncash Proceeds”,
“Payment Intangibles”, “Proceeds”, “Promissory Notes”, “Security”, “Record”, “Security Account”, “Software”, and “Supporting Obligations”. 

(c) As used in this Agreement, the following terms shall have the respective meanings indicated below, such meanings to be applicable
equally to both the singular and plural forms of such terms: 
 “Canadian Grantor” means a Grantor incorporated
under the laws of Canada or any political subdivision thereof. 
 “Capital Stock” means (i) with respect
to any Person that is a corporation, any and all shares, interests, participations or other equivalents (however designated and whether or not voting) of corporate stock, and (ii) with respect to any Person that is not a corporation, any and
all partnership, membership or other equity interests of such Person. 
 “Collateral” shall have the meaning
set forth in Section 2. 
 “Copyright Licenses” means all licenses, contracts or other agreements, whether
written or oral, naming any Grantor as licensee or licensor and providing for the grant of any right to use or sell any works covered by any copyright (including, without limitation, all Copyright Licenses set forth in Part F of Schedule I
hereto). 
 “Copyrights” means all domestic copyrights, whether registered or not, including, without
limitation, all copyright rights throughout the universe (whether now or hereafter arising) in any and all media (whether now or hereafter developed), in and to all original works of authorship fixed in any tangible medium of expression, acquired or
used by any Grantor (including, without limitation, all copyrights described in Part F of Schedule I hereto), all applications, registrations and recordings thereof (including, without limitation, applications, registrations and recordings in
the United States Copyright Office or in any similar office or agency of the United States), and all renewals, extensions, restorations and reversions thereof. 

“Event of Default” shall have the meaning set forth in the Notes. 

“Foreign Subsidiary” shall have the meaning set forth in Section 2(a). 

“GAAP” shall have the meaning set forth in Section 4(c). 

“Governmental Authority” means any nation or government, any Federal, state, city, town, municipality, county, local or
other political subdivision thereof or thereto and any department, commission, board, bureau, instrumentality, agency or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or
pertaining to government. 
  

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 “Insolvency Proceeding” means any proceeding commenced by or against any
Person under any provision of the Bankruptcy Code (Chapter 11 of Title 11 of the United States Code) or under any other bankruptcy or insolvency law, assignments for the benefit of creditors, formal or informal moratoria, compositions, or
extensions generally with creditors, or proceedings seeking reorganization, arrangement, or other similar relief. 

“Intellectual Property” means the Copyrights, Trademarks, Trade Secrets and Patents. 

“Intellectual Property Offices” means, (i) with respect to United States Copyrights or related Licenses, the United
States Copyright Office, and (ii) with respect to United States Trademarks and United States Patents or related Licenses, the United States Patent and Trademark Office. 

“Licenses” means the Copyright Licenses, the Trademark Licenses and the Patent Licenses. 

“Lien” means any mortgage, deed of trust, pledge, lien (statutory or otherwise), security interest, charge or other
encumbrance or security or preferential arrangement of any nature, including, without limitation, any conditional sale or title retention arrangement, any lease required under GAAP to be capitalized on the balance sheet of such Person and any
assignment, deposit arrangement or financing lease intended as, or having the effect of, security. 
 “Material Adverse
Effect” means (i) a material adverse effect on the business, operations, properties, assets or condition (financial or otherwise) of any of GSI Group Inc., GSI Group Corporation, or Excel Technology, Inc., or (ii) a material
adverse effect on the business, operations, properties, assets or condition (financial or otherwise) of the Grantors taken as a whole. 

“Obligations” shall have the meaning set forth in Section 3. 

“Operating Right” shall have the meaning set forth in Section 5(f)(vi). 

“Patent Licenses” means all licenses, contracts or other agreements, whether written or oral, naming any Grantor as
licensee or licensor and providing for the grant of any right to manufacture, use or sell any invention covered by the claims of any Patent (including, without limitation, all Patent Licenses set forth in Part F of Schedule I hereto).

 “Patents” means all domestic letters patent, design patents, utility patents, industrial designs and
inventions, now existing or hereafter acquired (including, without limitation, all domestic letters patent, design patents, utility patents, industrial designs, and inventions described in Part F of Schedule I hereto), all applications,
registrations and recordings thereof (including, without limitation, applications, registrations and recordings in the United States Patent and Trademark Office), and all reissues, divisions, continuations, continuations in part and extensions or
renewals thereof. 
  

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 “Perfection Requirement” shall have the meaning set forth in
Section 4(i). 
 “Prescribed Operating Right” shall have the meaning set forth in Section 5(f)(vi).

 “Person” means an individual, corporation, limited liability company, partnership, association, joint-stock
company, trust, unincorporated organization, joint venture or other enterprise or entity or Governmental Authority. 

“PPSA” means the Personal Property Security Act (New Brunswick) and the orders and regulations thereto, as in
effect from time to time. 
 “Receiver” means any receiver or receiver and manager for the Collateral or any of
the business, undertakings, property and assets of any Canadian Grantor appointed by the Collateral Agent pursuant to this Security Agreement or by a court on application by the Collateral Agent. 

“Registered” with respect to Intellectual Property means currently issued, registered, renewed with a governmental
authority, or the subject of a pending application therefor. 
 “Related Rights” shall have the meaning set
forth in Section 5(f)(vi). 
 “Required Approvals” shall have the meaning set forth in
Section 5(f)(vi). 
 “Secured Parties” means each of the Collateral Agent and the Noteholders. 

“Trademark Licenses” means all licenses, contracts or other agreements, whether written or oral, naming any Grantor as
licensor or licensee and providing for the grant of any right concerning any Trademark, together with any goodwill connected with and symbolized by any such trademark licenses, contracts or agreements and the right to prepare for sale or lease and
sell or lease any and all Inventory now or hereafter owned by any Grantor and now or hereafter covered by such licenses (including, without limitation, all Trademark Licenses described in Part F of Schedule I hereto). 

“Trademarks” means all domestic trademarks, service marks, collective marks, certification marks, trade names, business
names, d/b/a’s, Internet domain names, trade styles, designs, logos and other source or business identifiers and all general intangibles of like nature, now or hereafter owned, adopted, acquired or used by any Grantor (including, without
limitation, all domestic trademarks, service marks, collective marks, certification marks, trade names, business names, d/b/a’s, Internet domain names, trade styles, designs, logos and other source or business identifiers described in Part F of
Schedule I hereto), all applications, registrations and recordings thereof (including, without limitation, applications, registrations and recordings in the United States Patent and Trademark Office or in any similar office or agency of any
state thereof), and all extensions or renewals thereof, together with all goodwill of the business symbolized by such marks and all customer lists, formulae and other records of any Grantor relating to the distribution of products and services in
connection with which any of such marks are used. 
  

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 “Trade Secrets” means all domestic trade secrets, confidential proprietary
information, and confidential know-how. 
 “Transaction Documents” means this Agreement, the Indenture and the
Notes and any other document entered into in connection therewith. 
 “ULC” means any unlimited company
incorporated or otherwise constituted under the laws of the Provinces of Alberta or Nova Scotia or any similar body corporate formed under the laws of any other jurisdiction whose members may at any time become responsible for any of the
obligations of that body corporate. 
 “ULC Shares” means any member or shareholder interests in a ULC in which
any Grantor now or hereafter has rights, and (as the context so admits) any item or part thereof. 
 SECTION 2. Grant of
Security Interest. As collateral security for all of the Obligations referred to below, each Grantor hereby pledges and assigns to the Collateral Agent for the benefit of the Secured Parties, and grants to the Collateral Agent for the benefit of
the Secured Parties a continuing security interest in, all personal property of each Grantor, wherever located and whether now or hereafter existing and whether now owned or hereafter acquired, of every kind and description, tangible or intangible
(collectively, the “Collateral”), including, without limitation, the following: 
 (a) all Accounts;
(b) all Chattel Paper (whether tangible or electronic); (c) the Commercial Tort Claims specified on Part D of Schedule I hereto; (d) all Deposit Accounts, all cash and other property from time to time deposited therein and the
monies and property in the possession or under the control of the Secured Parties or any affiliate, representative, agent or correspondent of any Secured Party; (e) all Documents; (f) all Equipment; (g) all Fixtures; (h) all
General Intangibles (including, without limitation, all Payment Intangibles); (i) all Goods; (j) all Instruments (including, without limitation, Promissory Notes and each certificated Security); (k) all Inventory; (l) all
Investment Property; (m) all Copyrights, Patents and Trademarks, and all Licenses; (n) all Letter-of-Credit Rights; (o) all Supporting Obligations; (p) all other tangible and intangible personal property of each Grantor (whether
or not subject to the Uniform Commercial Code), including, without limitation, all bank and other accounts and all cash and all investments therein, all proceeds, products, offspring, accessions, rents, profits, income, benefits, substitutions and
replacements of and to any of the property of any Grantor described in the preceding clauses of this Section 2 (including, without limitation, any proceeds of insurance thereon and all causes of action, claims and warranties now or hereafter
held by each Grantor in respect of any of the items listed above), and all books, correspondence, files and other Records, including, without limitation, all tapes, desks, cards, Software, data and computer programs in the possession or under the
control of any Grantor or any other Person from time to time acting for any Grantor, in each case, to the extent of such Grantors rights therein, that at any time evidence or contain information relating to any of the property described in the
preceding clauses of this Section 2 or are otherwise necessary or helpful in the collection or realization thereof; and (q) all Proceeds, including all Cash Proceeds and Noncash Proceeds, and products of any and all of the foregoing
Collateral; in each case howsoever any Grantor’s interest therein may arise or appear (whether by ownership, security interest, claim or otherwise). 
  

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 Notwithstanding anything herein to the contrary, the term
“Collateral” shall not include: (a) the Capital Stock of any Subsidiary to the extent Rule 3-16 of Regulation S-X (or any other law, rule or regulation) would require separate financial statements of such Subsidiary to be filed with
the SEC (or any other governmental agency) due to the fact that such Capital Stock secures the Notes subject to Section 10.06(b) of the Indenture; (b) in the case of a Subsidiary organized under the laws of a jurisdiction other than the
United States, any of the states thereof or the District of Columbia (a “Foreign Subsidiary”), more than up to
66  2/3% (or such greater percentage that, due
to a change in applicable law after the date hereof, (i) would not cause the undistributed earnings of such Foreign Subsidiary as determined for United States federal income tax purposes to be treated as a deemed dividend to such Foreign
Subsidiary’s United States parent and (ii) would not cause any material adverse tax consequences) of the issued and outstanding shares of Capital Stock entitled to vote (within the meaning of Treas. Reg. Section 1.956-2(c)(2)),
(c) ULC Shares, (d) any lease, license, contract or agreement to which any Grantor is a party, and any of its rights or interest thereunder, if and to the extent that a security interest is prohibited by or in violation of (i) any
law, rule or regulation applicable to such Grantors, or (ii) the terms of any such lease, license contract, or agreement (unless any such term would be rendered ineffective pursuant to Sections 9-406, 9-407, 9-408 or 9-409 of the Uniform
Commercial Code (or any successor provisions or provisions) of any relevant jurisdiction or any other applicable law (including the Bankruptcy Code) or principles of equity); provided, however, that the Collateral shall include (and such security
interest shall attach) immediately at such time as the contractual or legal prohibition shall no longer be applicable and to the extent severable, shall attach immediately to any portion of such lease, license, contract or agreement not subject to
the prohibitions specified in (i) or (ii) above; provided further that the exclusions referred to in clause (d) of this section shall not include any proceeds of any such lease, license, contract or agreement, (e) any
“intent-to-use” application for trademark or service mark registration filed pursuant to Section 1(b) of the Lanham Act, 15 U.S.C. §1051, prior to the filing under Section 1(c) or Section 1(d) of the Lanham Act of a
“Statement of Use” or an “Amendment to Alleged Use” with respect thereto, solely to the extent, if any, that, and solely during the period, if any, in which, the grant of a security interest therein prior to such filing would
impair the validity or enforceability of any registration that issues from such intent-to-use trademark or service mark application under applicable federal law, or (f) any property located outside the United States (other than shares of
Capital Stock of Foreign Subsidiaries of any Grantor organized or formed in the United States or Canada). 
 The Grantors
agree that the pledge of the shares of Capital Stock acquired by a Grantor of any and all Persons now or hereafter existing who is a Foreign Subsidiary may be supplemented by one or more separate pledge agreements, deeds of pledge, share charges, or
other similar agreements or instruments, executed and delivered by the relevant Grantors in favor of the Collateral Agent, which pledge agreements will provide for the pledge of such shares of Capital Stock in accordance with the laws of the
applicable foreign jurisdiction. With respect to such shares of Capital Stock, the Collateral Agent may, at any time and from time to time, in its reasonable discretion, take actions in such foreign jurisdictions that will result in the perfection
of the Lien created in such shares of Capital Stock. 
 Each Canadian Grantor agrees that value has been given, that such
Grantor and the Collateral Agent have not agreed to postpone the time for attachment of the security interest granted hereunder and that such security interest is intended to attach, as to all of the Collateral

  

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in which such Grantor now has rights, when such Grantor executes this Security Agreement and, as to all Collateral in which such Grantor only has rights after the execution of this Security
Agreement, when such Grantor first has such rights. For certainty, each Canadian Grantor confirms and agrees that the security interest granted hereunder is intended to attach to all present and future Collateral of such Grantor and each successor
of such Grantor. 
 SECTION 3. Security for Obligations. The security interest created hereby in the Collateral
constitutes continuing collateral security for all of the following obligations, whether now existing or hereafter incurred (collectively, the “Obligations”): 

(a) (i) the payment by the Grantors, as and when due and payable (by scheduled maturity, required prepayment, acceleration, demand or
otherwise), of all amounts from time to time owing by it in respect of the Indenture, the Notes and the other Transaction Documents, including, without limitation, (A) all principal of and interest on the Notes (including, without limitation,
all interest that accrues after the commencement of any Insolvency Proceeding of any Grantor, whether or not the payment of such interest is unenforceable or is not allowable due to the existence of such Insolvency Proceeding), and (B) all
fees, commissions, expense reimbursements, indemnifications and all other amounts due or to become due under any of the Transaction Documents; and 

(b) the due performance and observance by each Grantor of all of its other obligations from time to time existing in respect of any of
the Transaction Documents, including without limitation, with respect to any obligations of any Grantor to make an offer to purchase Notes. 

SECTION 4. Representations and Warranties. Each Grantor represents and warrants as of the date of this Agreement as follows:

 (a) Part A of Schedule I hereto sets forth (i) the exact legal name of each Grantor, (ii) the jurisdiction
of incorporation, organization or formation and the organizational identification number of each Grantor in such jurisdiction, and (iii) all names (including trade names and similar appellations) presently used by each Grantor or any of its
divisions or other business units, and (iv) all names (including former legal names and trade names or similar appellations) used by each Grantor or any of its divisions or other business units during the past five years. 

(b) There is no pending or to such Grantor’s best knowledge, threatened action, suit, proceeding or claim affecting any Guarantor
before any Governmental Authority or any arbitrator, or any order, judgment or award issued by any Governmental Authority or arbitrator, in each case, that may adversely affect the grant by any Grantor, or the perfection, of the security interest
purported to be created hereby in the Collateral, or the exercise by the Collateral Agent of any of its rights or remedies hereunder. 

(c) All Federal, state and local tax returns and other reports required by applicable law to be filed by any Grantor have been filed, or
extensions have been obtained except where the failure to make such filing or obtain such extension would not have a Material Adverse Effect, and all taxes, assessments and other governmental charges imposed upon any Grantor or

  

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any property of any Grantor (including, without limitation, all federal income and social security taxes on employees’ wages) and which have become due and payable on or prior to the date
hereof have been paid, except for any de minimus amounts in respect of taxes, assessments and other governmental charges, where such nonpayment would not have a Material Adverse Effect, and except to the extent contested in good faith by proper
proceedings which stay the imposition of any penalty, fine or Lien resulting from the non-payment thereof and with respect to which adequate reserves have been set aside for the payment thereof in accordance with generally accepted accounting
principles consistently applied (“GAAP”). 
 (d) All Equipment, Fixtures, Goods and Inventory of each Grantor
now existing are, and all Equipment, Fixtures, Goods and Inventory, of each Grantor hereafter existing (in each case, other than (i) any Equipment, Goods and Inventory in transit or in the possession of third parties for repair, assembly or
refurbishment or deliverables in the possession of salespeople, and (ii) any Equipment, Goods or Inventory having a value of less than $250,000 individually or $1,000,000 in the aggregate) will be, located and/or based at the addresses
specified therefor in Part B of Schedule I hereto (it being understood that at any one time no more than $1,000,000 of Equipment, Goods or Inventory shall be at a location other than as set forth on Part B of Schedule I hereto as the
same may be supplemented in accordance with the terms hereof), except that each Grantor will give the Collateral Agent written notice of any change in the location of any such Collateral within 20 days of such change, other than to locations set
forth on Part B of Schedule I hereto (or a new Part B of Schedule I delivered by the Grantors to the Collateral Agent from time to time). Each Grantor’s chief place of business and chief executive office, the place where each
Grantor keeps its Records concerning Accounts and all originals of all Chattel Paper are located at the addresses specified therefor in Part B of Schedule I hereto. Part B of Schedule I hereto sets forth each location previously
maintained by any Grantor during the past four months for any of the purposes listed in this clause (d) above. None of the Accounts is evidenced by Promissory Notes or other Instruments. Set forth in Part E of Schedule I hereto is a
complete and accurate list, as of the date of this Agreement, of (i) each Promissory Note, Security, Chattel Paper, letter of credit and other Instrument owned by each Grantor (other than Promissory Notes, Securities, Chattel Paper, letters of
credit or Instruments which have a stated amount or fair market value of less than $100,000 individually or $500,000 in the aggregate) and (ii) each Deposit Account, Securities Account and Commodities Account of each Grantor, together with the
name and address of each institution at which each such account is maintained, the account number for each such account and a description of the purpose of each such account. 

(e) Each Grantor has delivered or otherwise made available to the Collateral Agent complete and correct copies of each material License
described in Part F of Schedule I hereto, including all schedules and exhibits thereto, which represents all of the material Licenses existing on the date of this Agreement. Each such License sets forth the entire agreement and understanding
of the parties thereto relating to the subject matter thereof, and there are no other agreements, arrangements or understandings, written or oral, relating to the matters covered thereby or the rights of such Grantor or any of its affiliates in
respect thereof. Each material License now existing is, and any material License entered into in the future will be, the legal, valid and binding obligation of the parties thereto, enforceable against such parties in accordance with its terms,
subject to the limitations on enforceability in connection with bankruptcy, receivership and similar proceedings. No default under any material License by any such party has occurred, nor does any defense, offset, deduction or counterclaim exist
thereunder in favor of any such party. 
  

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 Except as permitted by the Indenture, each Grantor owns and controls, or otherwise possesses adequate rights
to use, all material Intellectual Property, which constitutes the only Intellectual Property used to conduct its business in substantially the same manner as conducted as of the date hereof. Part F of Schedule I hereto sets forth a true and
complete list of all Registered Copyrights, Registered Patents, Registered Trademarks and material Licenses owned or used by each Grantor as of the date hereof. No Grantor has any material Trade Secrets. If any Grantor develops material Trade
Secrets after the date hereof, the Grantor shall describe such Trade Secrets sufficiently so as to clearly identify them. If such identification or description would be impossible without making a public disclosure of such Trade Secrets, the
Grantor shall notify the Trustee and the Company and the Noteholders agree to use their best efforts to identify the Trade Secrets sufficiently in order to create a security interest in such Trade Secrets without making a public disclosure of the
Trade Secret information. 
 (f) To the best knowledge of each Grantor, no Grantor derives revenues from Copyrights that are not
registered with the United States Copyright Office, except as set forth in Part G of Schedule I. To the best knowledge of each Grantor, all such material Intellectual Property of each Grantor is subsisting and in full force and effect, has
not been adjudged invalid or unenforceable, is valid and enforceable and has not been abandoned in whole or in part. Except as set forth in Part H of Schedule I, no Intellectual Property (except for Intellectual Property having a de minimus
value) is the subject of any licensing or franchising agreement. Each Grantor has no knowledge of any conflict with the rights of others to any Intellectual Property (except for Intellectual Property having a de minimus value) and, to the best
knowledge of each Grantor, each Grantor is not now infringing or in conflict with any such rights of others in any material respect, and to the best knowledge of each Grantor, no other Person is now infringing or in conflict in any material respect
with any such properties, assets and rights owned or used by each Grantor. No Grantor has received any written notice that it is violating or has violated the trademarks, patents, copyrights, inventions, trade secrets, proprietary information and
technology, know-how, formulae, rights of publicity or other intellectual property rights of any third party. 
 (g) Except as
permitted by the Indenture, each Grantor is and will be at all times the sole and exclusive owner of, or otherwise has and will have adequate rights in, the Collateral free and clear of any Liens, except for Permitted Liens. No effective financing
statement or other instrument similar in effect covering all or any part of the Collateral is on file in any recording or filing office, except such as may have been filed in favor of the Secured Parties relating to this Agreement or the other
Security Documents or in favor of the holders of Permitted Liens with respect to such Permitted Liens. 
 (h) The exercise by
the Collateral Agent of any of its rights and remedies hereunder will not contravene in any material respect any law or any contractual restriction binding on or otherwise affecting each Grantor or any of its properties and will not result in or
require the creation of any Lien, upon or with respect to any of its properties. 
  

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 (i) No authorization or approval or other action by, and no notice to or filing with, any
Governmental Authority or other regulatory body, is required for (i) the grant by each Grantor, or the perfection, of the security interest purported to be created hereby in the Collateral, or (ii) the exercise by the Collateral Agent of
any of its rights and remedies hereunder, except (except (A) for the filing under the PPSA, the Uniform Commercial Code, or Articles 8 or 9 of the Uniform Commercial Code as in effect in the applicable jurisdiction (if such jurisdiction is any
state of the United States other than New York) of the financing statements described in Part C of Schedule I hereto (or a new Part C of Schedule I delivered by the Grantors to the Collateral Agent from time to time), all of which
financing statements have been duly filed and are in full force and effect or will be duly filed and in full force and effect, (B) with respect to Deposit Accounts, and all cash and other property from time to time deposited therein, or
Commodity Contracts for the execution of a control agreement with the depository institution or commodity intermediary with which such account is maintained, each as provided in Section 5(i), (C) with respect to the perfection of the
security interest created hereby in the Intellectual Property and Licenses, for the recording of the appropriate Assignment for Security, substantially in the form of Exhibit A hereto in the applicable Intellectual Property Office,
(D) with respect to the perfection of the security interest created hereby in Titled Collateral, for the submission of an appropriate application requesting that the Lien of the Collateral Agent be noted on the Certificate of Title or
certificate of ownership, completed and authenticated by the applicable Grantor, together with the Certificate of Title or certificate of ownership, with respect to such Titled Collateral, to the appropriate Governmental Authority, (E) with
respect to the perfection of the security interest created hereby in any Letter-of-Credit Rights, for the consent of the issuer of the applicable letter of credit to the assignment of proceeds as provided in the Uniform Commercial Code as in effect
in the applicable jurisdiction, (F) with respect to any action that may be necessary to obtain control of Collateral constituting Deposit Accounts, Commodity Contracts, Electronic Chattel Paper, Investment Property or Letter-of-Credit Rights,
the taking of such actions, and (G) the Collateral Agent having possession of all Documents, Chattel Paper, Instruments and cash constituting Collateral (subclauses (A), (B), (C), (D), (E), (F) and (G), each a “Perfection
Requirement” and collectively, the “Perfection Requirements”). 
 (j) This Agreement creates in favor
of the Collateral Agent for the benefit of the Secured Parties, a legal, valid and enforceable security interest in the Collateral, as security for the Obligations. The Perfection Requirements result in the perfection of such security interests.
Such security interests are, or in the case of Collateral in which each Grantor obtains rights after the date hereof, will be, perfected, first priority security interests, subject only to Permitted Liens (as defined under the Indenture) and the
Perfection Requirements. Such recordings and filings and all other action necessary to perfect and protect such security interest have been duly taken or will be taken pursuant to Section 5(n), and, in the case of Collateral in which each
Grantor obtains rights after the date hereof, will be duly taken, except for the Collateral Agent’s having possession of all Documents, Chattel Paper, Instruments and cash constituting Collateral after the date hereof and the other actions,
filings and recordations described above, including the Perfection Requirements. 
 (k) As of the date hereof, no Grantor holds
any Commercial Tort Claims or has knowledge of any pending Commercial Tort Claims, except for such Commercial Tort Claims described in Part D of Schedule I hereto. 
  

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 (l) No Grantor owns any ULC Shares. 

(m) Part I of Schedule I hereto sets forth for each Grantor a complete and accurate list, as of the date of this Agreement, of
(i) all real property owned or leased by such Grantor, (ii) if such property is leased, the landlord and the term of the lease, and (iii) if such property is held in fee, the holder of any lien on such real property. 

SECTION 5. Covenants as to the Collateral. So long as any of the Obligations shall remain outstanding: 

(a) Further Assurances. Each Grantor will at its expense, at any time and from time to time, promptly execute and deliver all
further instruments and documents and take all further action as necessary or that the Collateral Agent may reasonably request in order to: (i) perfect and protect the security interest purported to be created hereby; (ii) enable the
Collateral Agent to exercise and enforce its rights and remedies hereunder in respect of the Collateral; or (iii) otherwise effect the purposes of this Agreement, including, without limitation: (A) marking conspicuously all Chattel Paper
and each material License, indicating that such Chattel Paper, License or Collateral is subject to the security interest created hereby, (B) delivering and pledging to the Collateral Agent each Promissory Note, Security, Chattel Paper or other
Instrument, now or hereafter owned by any Grantor, duly endorsed and accompanied by executed instruments of transfer or assignment, provided, however, that such delivery and pledge requirement shall not apply to any Promissory Note, Security,
Chattel Paper or other Instrument having a face amount of less than $100,000 individually or $500,000 in the aggregate, (C) executing and filing (to the extent, if any, that any Grantor’s signature is required thereon) or authenticating
the filing of, such financing or continuation statements, or amendments thereto, as may be necessary or that the Collateral Agent may reasonably request in order to perfect and preserve the security interest purported to be created hereby,
(D) furnishing to the Collateral Agent from time to time statements and schedules further identifying and describing the Collateral and such other reports in connection with the Collateral in each case as the Collateral Agent may reasonably
request, all in reasonable detail, (E) if any Collateral in excess of $250,000 individually or $1,000,000 in the aggregate shall be in the possession of a third party (it being understood that at any one time no more than $1,000,000 of
Collateral shall be at a location other than as set forth on Schedule I hereto as the same may be supplemented in accordance with the terms hereof), notifying such Person of the Collateral Agent’s security interest created hereby and
obtaining a written acknowledgment from such Person that such Person holds possession of the Collateral for the benefit of the Collateral Agent, (F) if at any time after the date hereof, any Grantor acquires or holds any Commercial Tort Claim
in excess of $100,000 individually or $500,000 in the aggregate, promptly notifying the Collateral Agent in a writing signed by such Grantor setting forth a brief description of such Commercial Tort Claim and granting to the Collateral Agent a
security interest therein and in the proceeds thereof, which writing shall incorporate the provisions hereof, (G) upon the acquisition after the date hereof by any Grantor of any motor vehicle or other Equipment subject to a certificate of
title or ownership (other than a Motor Vehicle or Equipment that is subject to a purchase money security interest), causing the Collateral Agent to be listed as the lienholder on such certificate of title or ownership and delivering evidence of the
same to the Collateral Agent in accordance with Section 5(j) hereof; and (H) taking all actions required by any earlier versions of the Uniform Commercial Code or by other law, as applicable, in any relevant Uniform Commercial Code
jurisdiction, or 
  

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by other law as applicable in any foreign jurisdiction. No Grantor shall acquire or shall move to a location outside of the United States any assets that currently are or typically would be
acquired and held in the United States. 
 (b) Location of Equipment and Inventory. Other than any Inventory, or
Equipment in transit (or, in the case of Grantors’ motor vehicles, being used in the ordinary course), or in the possession of third parties for repair, assembly or refurbishment, each Grantor will keep the Equipment and Inventory (i) at
the locations specified therefor on Part B of Schedule I hereto, or (ii) at such other locations set forth on Part B of Schedule I hereto (or a new Part B of Schedule I delivered by the Grantors to Collateral Agent from
time to time), or (iii) at such other locations in the United States, provided that within 20 days following the relocation of Equipment or Inventory to such other location or the acquisition of Equipment or Inventory, such Grantor shall
deliver to the Collateral Agent a new Part B of Schedule I indicating such new locations. 
 (c) Condition of
Equipment. Each Grantor will maintain or cause the Equipment (necessary or useful to its business) to be maintained and preserved in good condition, repair and working order, ordinary wear and tear excepted, and will forthwith, or in the case of
any loss or damage to any Equipment of any Grantor within a commercially reasonable time after the occurrence thereof, make or cause to be made all repairs, replacements and other improvements in connection therewith which are necessary or
desirable, consistent with past practice, or which the Collateral Agent may request to such end. Any Grantor will promptly furnish to the Collateral Agent a statement describing in reasonable detail any such loss or damage in excess of $250,000 per
occurrence to any Equipment. 
 (d) Taxes, Etc. Each Grantor agrees to pay promptly when due all property and other
taxes, assessments and governmental charges or levies imposed upon, and all claims (including claims for labor, materials and supplies) against, the Equipment and Inventory, except to the extent the validity thereof is being contested in good faith
by proper proceedings which stay the imposition of any penalty, fine or Lien resulting from the non-payment thereof and with respect to which adequate reserves in accordance with GAAP have been set aside for the payment thereof. 

(e) Insurance. 

(i) Each Grantor will, at its own expense, maintain insurance (including, without limitation, commercial general liability and property
insurance) in such amounts, against such risks, in such form and with responsible and reputable insurance companies or associations as is required by any Governmental Authority having jurisdiction with respect thereto or as is carried generally in
accordance with sound business practice by companies in similar businesses similarly situated and in any event, in amount, adequacy and scope reasonably satisfactory to the Collateral Agent. Each such policy for liability insurance shall provide for
all losses to be paid on behalf of the Collateral Agent and any Grantor as their respective interests may appear, and each policy for property damage insurance shall provide for all losses to be adjusted with, and paid directly to, the Collateral
Agent. Each such policy shall (A) name the Collateral Agent as an additional insured party thereunder (without any representation or warranty by or obligation upon the Collateral Agent) as their interests may

  

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appear, (B) contain an agreement by the insurer that any loss thereunder shall be payable to the Collateral Agent on its own account notwithstanding any action, inaction or breach of
representation or warranty, or endorsement by any Grantor (or as specified in such insurer’s standard “acord” or other similar form), (C) provide that there shall be no recourse against the Collateral Agent for payment of
premiums or other amounts with respect thereto, and (D) provide that at least 30 days’ prior written notice of cancellation, lapse, expiration or other adverse change shall be given to the Collateral Agent by the insurer. Any Grantor will
deliver to the Collateral Agent original or duplicate policies of such insurance and a report of a reputable insurance broker with respect to such insurance. Any Grantor will also execute and deliver instruments of assignment of such insurance
policies and cause the respective insurers to acknowledge notice of such assignment. 
 (ii) Reimbursement under any liability
insurance maintained by any Grantor pursuant to this Section 5(e) may be paid directly to the Person who shall have incurred liability covered by such insurance. So long as no Default or Event of Default has occurred and is continuing, to the
extent any proceeds of insurance maintained by any Grantor pursuant to this Section 5(e) are paid to the Collateral Agent but another Security Document (as defined in the Indenture) permits the use of such funds by the Grantor, such proceeds
shall be remitted to such Grantor by the Collateral Agent for use in the manner described in such Security Document. Upon the occurrence and during the continuance of any Default or Event of Default, any proceeds of insurance maintained by any
Grantor pursuant to this Section 5(e) shall be paid to the Collateral Agent, and, the Collateral Agent, may, at its option, require any Grantor to make or cause to be made the necessary repairs to or replacements, and any proceeds of insurance
maintained by any Grantor and in possession of the Collateral Agent pursuant to this Section 5(e) shall be paid by the Collateral Agent to any Grantor as reimbursement for the costs of such repairs or replacements. 

(f) Provisions Concerning the Accounts and the Licenses. 

(i) Each Grantor will (A) give the Collateral Agent at least 30 days’ prior written notice of any change in such
Grantor’s name (including, for certainty, the adoption of any French form of name by a Canadian Grantor), identity or organizational structure, (B) maintain its jurisdiction of incorporation, organization or formation as set forth in Part
A of Schedule I hereto, (C) immediately notify the Collateral Agent upon obtaining an organizational identification number, if on the date hereof such Grantor did not have such identification number, and (D) keep adequate records
concerning the Accounts and Chattel Paper. 
 (ii) Each Grantor will, except as otherwise provided in this subsection (f),
continue to collect, at its own expense, all amounts due or to become due under the Accounts. In connection with such collections, any Grantor may (and, at the Collateral Agent’s direction, will) take such action as any Grantor or the
Collateral Agent may deem necessary or advisable to enforce collection or performance of the Accounts; provided, however, that the Collateral Agent shall have the right at any time, upon the occurrence and during the continuance of an Event of
Default, to notify the account debtors or obligors under any Accounts of the assignment of such Accounts to the Collateral Agent and to direct such account debtors or obligors to make payment of all amounts due or to become due to any Grantor
thereunder directly to the Collateral Agent or its designated agent and, upon such notification and at the 
  

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expense of any Grantor and to the extent permitted by law, to enforce collection of any such Accounts and to adjust, settle or compromise the amount or payment thereof, in the same manner and to
the same extent as any Grantor might have done. After receipt by any Grantor of a notice from the Collateral Agent that the Collateral Agent has notified, intends to notify, or has enforced or intends to enforce any Grantor’s rights against the
account debtors or obligors under any Accounts as referred to in the proviso to the immediately preceding sentence, (A) all amounts and proceeds (including Instruments) received by any Grantor in respect of the Accounts shall be received in
trust for the benefit of the Collateral Agent hereunder, shall be segregated from other funds of any Grantor and shall be forthwith paid over to the Collateral Agent in the same form as so received (with any necessary endorsement) to be applied as
specified in Section 7(b) hereof, and (B) no Grantor will adjust, settle or compromise the amount or payment of any Account or release wholly or partly any account debtor or obligor thereof or allow any credit or discount thereon. In
addition, upon the occurrence and during the continuance of an Event of Default, the Collateral Agent may (in its sole and absolute discretion) direct any or all of the banks and financial institutions with which any Grantor either maintains a
Deposit Account or a lockbox or deposits the proceeds of any Accounts to send immediately to the Collateral Agent by wire transfer (to such account as the Collateral Agent shall specify, or in such other manner as the Collateral Agent shall direct)
all or a portion of such securities, cash, investments and other items held by such institution. Any such securities, cash, investments and other items so received by the Collateral Agent shall be applied as specified in accordance with
Section 7(b) hereof. 
 (iii) Upon the occurrence and during the continuance of any breach or default under any material
License referred to in Part F of Schedule I hereto by any party thereto other than any Grantor, each Grantor party thereto will, promptly after obtaining knowledge thereof, give the Collateral Agent written notice of the nature and duration
thereof, specifying what action, if any, it has taken and proposes to take with respect thereto and thereafter will take reasonable steps to protect and preserve its rights and remedies in respect of such breach or default, or will obtain or acquire
an appropriate substitute License. 
 (iv) Each Grantor will, at its expense, promptly deliver to the Collateral Agent a copy
of each notice or other communication received by it by which any other party to any material License referred to in Part F of Schedule I hereto purports to exercise any of its rights or affect any of its obligations thereunder, together with
a copy of any reply by such Grantor thereto. 
 (v) Each Grantor will exercise promptly and diligently each and every right
which it may have under each material License (other than any right of termination) and will duly perform and observe in all respects all of its obligations under each material License and will, except as permitted by the Indenture, take all action
reasonably necessary to maintain such Licenses in full force and effect. Except as permitted by the Indenture, no Grantor will, cancel, terminate, amend or otherwise modify in any respect, or waive any provision of, any material License referred to
in Part F of Schedule I hereto. 
 (vi) Notwithstanding anything to the contrary contained in any other provision of
this Security Agreement, if any Grantor cannot lawfully grant the security interest contemplated hereby in any General Intangibles, Intellectual Property or Licenses or any rights 

 

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related thereto (each, an “Operating Right”) because the terms of such Operating Right prohibit the creation of the security interest contemplated hereby therein, the Operating
Right requires the consent of any Person which has not been obtained or the grant of the security interest contemplated hereby therein would contravene or is void under any applicable statute or regulation, that Operating Right shall not, to the
extent it would be illegal, void or result in a material loss and expense to such Grantor (each, a “Prescribed Operating Right”), be subject to the security interest contemplated hereby (save to the extent provided below) unless and
until such agreements, consents, waivers and approvals as may be required to avoid such illegality, voidness or material loss and expense have been obtained (“Required Approvals”). The security interest contemplated hereby shall
nonetheless immediately attach to any rights of such Grantor arising under, by reason of, or otherwise in respect of such Prescribed Operating Right, such as the right to receive payments thereunder and all Proceeds thereof (“Related
Rights”), to the extent and at the time such attachment to the Related Rights (i) is not illegal, void and would not result in a material loss and expense to such Grantor or (ii) in the case of Accounts, such prohibition or
restriction is not enforceable against third parties such as the Collateral Agent. 
 (vii) To the extent not prohibited by
applicable statute or regulation, each Grantor will hold in trust for the Collateral Agent on behalf of and for the rateable benefit of the Secured Parties, and provide the Secured Parties with the benefits of, each Prescribed Operating Right and
following the occurrence of an Event of Default and while it is continuing, will enforce all Prescribed Operating Rights at the direction of the Collateral Agent or at the direction of such other Person (including any purchaser of Collateral from
the Collateral Agent or any Receiver) as the Collateral Agent may designate, provided that until the security interest contemplated hereby becomes enforceable, such Grantor shall, to the extent permitted by the Indenture, be entitled to receive all
Proceeds relating to the Prescribed Operating Rights, subject to the security interest contemplated hereby. 
 (viii) Upon
request from the Collateral Agent from time to time, each Grantor shall use commercially reasonable efforts to obtain such Required Approvals as the Collateral Agent shall specify as soon as reasonably practicable. 

(ix) None of the Collateral of any Canadian Grantor shall include Consumer Goods (as such term is defined in the PPSA). 

(g) Transfers and Other Liens. 

(i) No Grantor will sell, assign (by operation of law or otherwise), lease, license, exchange or otherwise transfer or dispose of any of
the Collateral, except (A) Inventory in the ordinary course of business, (B) worn out or obsolete assets, not necessary to the business, and (C) otherwise as permitted pursuant to the terms of the Indenture. 

(ii) No Grantor will create, suffer to exist or grant any Lien upon or with respect to any Collateral other than a Permitted Lien.

 (h) Intellectual Property. 

(i) If applicable, any Grantor shall, upon the Collateral Agent’s written request, duly execute and deliver the applicable
Assignment for Security in the form attached 
  

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hereto as Exhibit A. Each Grantor (either itself or through licensees) will, and will cause each licensee thereof to, take all action necessary to maintain all of the material Intellectual
Property in full force and effect, including, without limitation, using the proper statutory notices and markings and using the Trademarks on each applicable trademark class of goods in order to so maintain the Trademarks in full force and free from
any claim of abandonment for non-use, and each Grantor will not (nor permit any licensee thereof to) do any act or knowingly omit to do any act whereby any material Intellectual Property may become invalidated; provided, however, that so long as no
Event of Default has occurred and is continuing, no Grantor shall have an obligation to use or to maintain any Intellectual Property (A) that relates solely to any product or work, that has been, or is in the process of being, discontinued,
abandoned or terminated, (B) that is being replaced with Intellectual Property substantially similar to the Intellectual Property that may be abandoned or otherwise become invalid, so long as the failure to use or maintain such Intellectual
Property does not materially adversely affect the validity of such replacement Intellectual Property and so long as such replacement Intellectual Property is subject to the Lien created by this Agreement or (C) that is substantially the same as
another Intellectual Property that is in full force, so long the failure to use or maintain such Intellectual Property does not materially adversely affect the validity of such replacement Intellectual Property and so long as such other Intellectual
Property is subject to the Lien and security interest created by this Agreement. Each Grantor will cause to be taken all commercially reasonable and necessary steps in any proceeding before each applicable Intellectual Property Office to maintain
each registration or application for registration of the material Intellectual Property (for the avoidance of doubt, other than any Intellectual Property described in the proviso to the immediately preceding sentence), including, without limitation,
filing of renewals, affidavits of use, affidavits of incontestability and opposition, interference and cancellation proceedings and payment of maintenance fees, filing fees, taxes or other governmental fees. If any Intellectual Property (other than
Intellectual Property described in the proviso to the first sentence of subsection (i) of this clause (h)) is infringed, misappropriated, diluted or otherwise violated in any material respect by a third party, each Grantor shall (x) upon
learning of such infringement, misappropriation, dilution or other violation, promptly notify the Collateral Agent and (y) to the extent any Grantor shall deem commercially reasonable and appropriate under the circumstances, promptly sue for
infringement, misappropriation, dilution or other violation, seek injunctive relief where appropriate and recover any and all damages for such infringement, misappropriation, dilution or other violation, or take such other actions as such Grantor
shall deem appropriate under the circumstances to protect such Intellectual Property. Each Grantor shall furnish to the Collateral Agent from time to time upon its request statements and schedules further identifying and describing the Registered
Intellectual Property, material Trade Secrets and material Licenses and such other reports in connection with the Registered Intellectual Property, material Trade Secrets and material Licenses, all in reasonable detail, following receipt by the
Collateral Agent of any such statements, schedules or reports, each Grantor shall modify this Agreement by amending Parts F, G and H of Schedule I hereto, as the case may be, to include any Registered Intellectual Property, material Trade
Secret and material License, as the case may be, which becomes part of the Collateral under this Agreement and shall execute and authenticate such documents and do such acts as shall be necessary or, in the reasonable judgment of the Collateral
Agent, desirable to subject such Intellectual Property and material Licenses to the Lien and security interest created by this Agreement. Notwithstanding anything herein to the contrary, upon the occurrence and during the continuance of an Event of
Default, no 
  

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Grantor may abandon or otherwise permit any Intellectual Property to become invalid without the prior written consent of the Collateral Agent, and if any Intellectual Property is infringed,
misappropriated, diluted or otherwise violated in any material respect by a third party, each Grantor will take such action as necessary or as the Collateral Agent shall deem appropriate under the circumstances to protect such Intellectual Property.

 (ii) In no event shall any Grantor, either itself or through any agent, employee, licensee or designee, file an application
for the registration of any Trademark or Copyright or the issuance of any Patent with any Intellectual Property Office, or in any similar office or agency of the United States unless it gives the Collateral Agent written notice within thirty
(30) days of such filing. Any Grantor shall execute, authenticate and deliver any and all assignments, agreements, instruments, documents and papers necessary to evidence the Collateral Agent’s security interest hereunder in such
Intellectual Property and the General Intangibles of any Grantor relating thereto or represented thereby, and each Grantor hereby appoints the Collateral Agent its attorney-in-fact to execute and/or authenticate and file all such writings for the
foregoing purposes, all acts of such attorney being hereby ratified and confirmed, and such power (being coupled with an interest) shall be irrevocable until the indefeasible payment in full in cash of all of the Obligations in full. 

(i) Deposit, Commodities and Securities Accounts. Each Grantor shall cause each bank and other financial institution with an
account referred to in Part E of Schedule I hereto to execute and deliver to the Collateral Agent a control agreement, in form and substance reasonably satisfactory to the Collateral Agent, duly executed by each Grantor and such bank or
financial institution, or enter into other arrangements in form and substance satisfactory to the Collateral Agent, pursuant to which such institution shall irrevocably agree, inter alia, that (i) it will comply at any time with
the instructions originated by the Collateral Agent to such bank or financial institution directing the disposition of cash, Commodity Contracts, securities, Investment Property and other items from time to time credited to such account, without
further consent of each Grantor, which instructions the Collateral Agent will not give to such bank or other financial institution in the absence of a continuing Event of Default, (ii) all Commodity Contracts, securities, Investment Property
and other items of each Grantor deposited with such institution shall be subject to a perfected, first priority security interest in favor of the Collateral Agent, (iii) any right of set off (other than recoupment of standard fees),
banker’s Lien or other similar Lien, security interest or encumbrance shall be fully waived as against the Collateral Agent, and (iv) upon receipt of written notice from the Collateral Agent during the continuance of an Event of Default,
such bank or financial institution shall immediately send to the Collateral Agent by wire transfer (to such account as the Collateral Agent shall specify, or in such other manner as the Collateral Agent shall direct) all such cash, the value of any
Commodity Contracts, securities, Investment Property and other items held by it. Without the prior written consent of the Collateral Agent, each Grantor shall not make or maintain any Deposit Account, Commodity Account or Securities Account except
for the accounts set forth in Part E of Schedule I hereto. The provisions of this paragraph 5(i) shall not apply to (i) Deposit Accounts for which the Collateral Agent is the depositary (ii) Deposit Accounts specially and
exclusively used for payroll, payroll taxes and other employee wage and benefit payments to or for the benefit of each Grantor’s salaried or hourly employees and (iii) Deposit Accounts which individually and in the aggregate, have an
average monthly balance of $10,000 or less. 
  

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 (j) Motor Vehicles. With respect to any motor vehicles in excess of $100,000
individually or $500,000 in the aggregate which are covered by a certificate of title under a statute which requires indication of a security interest on such certificate as a condition of perfection thereof: 

(i) Each Grantor shall deliver to the Collateral Agent originals of the certificates of title or ownership for all such motor vehicles
owned by it with the Collateral Agent listed as lienholder, for the benefit of the Secured Parties. 
 (ii) Each Grantor hereby
appoints the Collateral Agent as its attorney-in-fact, effective the date hereof and terminating upon the termination of this Agreement, for the purpose of (A) executing on behalf of such Grantor title or ownership applications for filing with
appropriate state agencies to enable such motor vehicles now owned or hereafter acquired by such Grantor to be retitled and the Collateral Agent listed as lienholder thereof, (B) filing such applications with such state agencies, and
(C) executing such other documents and instruments on behalf of, and taking such other action in the name of, such Grantor as necessary or as the Collateral Agent may deem necessary or advisable to accomplish the purposes hereof (including,
without limitation, for the purpose of creating in favor of the Collateral Agent a perfected Lien on such motor vehicles and exercising the rights and remedies of the Collateral Agent hereunder). This appointment as attorney-in-fact is coupled with
an interest and is irrevocable until all of the Obligations are indefeasibly paid in full in cash. 
 (iii) So long as no Event
of Default shall have occurred and be continuing, upon the request of any Grantor, the Collateral Agent shall execute and deliver to any Grantor such instruments as any Grantor shall reasonably request or as otherwise provided for in the Indenture
to remove the notation of the Collateral Agent as lienholder on any certificate of title for any motor vehicle; provided, however, that any such instruments shall be delivered, and the release effective, only upon receipt by the
Collateral Agent of a certificate from any Grantor stating that such motor vehicle is to be sold or has suffered a casualty loss (with title thereto in such case passing to the casualty insurance company therefor in settlement of the claim for such
loss) and the amount that any Grantor will receive as sale proceeds or insurance proceeds. 
 (k) Control. Each Grantor
hereby agrees to take any or all action that may be necessary or that the Collateral Agent may reasonably request in order for the Collateral Agent to obtain control in accordance with Sections 9-105, 9-106 and 9-107 of the Uniform Commercial Code
with respect to the following Collateral (other than any Electronic Chattel Paper, Investment Property and Letter of Credit Rights having a value of less than, or having funds or other assets credited thereto with a value of less than, $100,000
individually or $500,000 in the aggregate): (i) Electronic Chattel Paper, (ii) Investment Property, and (iii) Letter-of-Credit Rights. 

(l) Inspection and Reporting. Each Grantor shall permit the Collateral Agent, or any agent or representatives thereof or such
professionals or other Persons as the Collateral Agent may designate, during normal business hours, upon reasonable request and after reasonable prior notice, in the absence of an Event of Default and not more than once a year in the absence of an
Event of Default, (i) to examine and make copies of and abstracts from any 
  

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Grantor’s records and books of account, (ii) to visit and inspect its properties, (iii) to verify materials, leases, Instruments, Accounts, Inventory and other assets of any
Grantor from time to time, (iii) to conduct audits, physical counts, appraisals and/or valuations, examinations at the locations of any Grantor. Upon reasonable request, each Grantor shall also permit the Collateral Agent, or any agent or
representatives thereof or such professionals or other Persons as the Collateral Agent may designate to discuss such Grantor’s affairs, finances and accounts with any of its directors, officers, managerial employees, independent accountants or
any of its other representatives. 
 (m) Future Subsidiaries. If any Grantor shall hereafter create or acquire any
domestic Subsidiary, simultaneously with the creation or acquisition of such Subsidiary, such Grantor shall (i) cause such Subsidiary to become a party to this Agreement as an additional “Grantor” hereunder, (ii) such Grantor
shall deliver to Collateral Agent revised Schedules to this Agreement, as appropriate, (iii) shall duly execute and deliver a guaranty of the Obligations in favor of the Collateral Agent in form and substance reasonably acceptable to the
Collateral Agent, and (iv) shall duly execute and/or deliver such opinions of counsel and other documents, in form and substance reasonably acceptable to the Collateral Agent, as the Collateral Agent may reasonably request with respect thereto,
provided that any Grantor that acquires a subsidiary on or within two days after the Closing Date shall have 10 Business Days in which to satisfy the requirements of this Section 5(m). No Grantor shall create any ULC nor acquire any ULC Shares.

 (n) Leases. The last day of the term of any lease, oral or written, or any agreement therefor, now held or
hereafter acquired by a Canadian Grantor shall be excepted from the security hereby constituted and shall not form part of the Collateral but such Grantor shall stand possessed of such one day remaining upon trust to assign and dispose of the same.
If any such lease or agreement therefor contains a provision which provides in effect that such lease or agreement may not be assigned, sub-leased, charged or made the subject of any Lien without the consent of the lessor, the application of the
security hereby constituted to any such lease or agreement shall be conditional upon such consent being obtained. Each Canadian Grantor shall forthwith use commercially reasonable best efforts to obtain, as soon as reasonably practicable, such
consent for each such lease or agreement that is material. 
 SECTION 6. Additional Provisions Concerning the
Collateral. 
 (a) To the maximum extent permitted by applicable law, and for the purpose of taking any action that is
necessary or that the Collateral Agent may deem necessary or advisable to accomplish the purposes of this Agreement, each Grantor hereby (i) authorizes the Collateral Agent to execute any such agreements, instruments or other documents in such
Grantor’s name and to file such agreements, instruments or other documents in such Grantor’s name and in any appropriate filing office, (ii) authorizes the Collateral Agent at any time and from time to time to file, one or more
financing or continuation statements, and amendments thereto, relating to the Collateral (including, without limitation, any such financing statements that (A) subject to the Indenture, describe the Collateral as “all assets” or
“all personal property” (or words of similar effect) or that describe or identify the Collateral by type or in any other manner as the Collateral Agent may determine regardless of whether any particular asset of such Grantor falls within
the scope of Article 9 of the Uniform Commercial Code or whether any particular asset of such 
  

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Grantor constitutes part of the Collateral, and (B) contain any other information required by Part 5 of Article 9 of the Uniform Commercial Code for the sufficiency or filing office
acceptance of any financing statement, continuation statement or amendment, including, without limitation, whether such Grantor is an organization, the type of organization and any organizational identification number issued to such Grantor) and
(iii) ratifies such authorization to the extent that the Collateral Agent has filed any such financing or continuation statements, or amendments thereto, prior to the date hereof. A photocopy or other reproduction of this Agreement or any
financing statement covering the Collateral or any part thereof shall be sufficient as a financing statement where permitted by law. Each Canadian Grantor acknowledges receipt of a copy of this Security Agreement and copies of the verification
statements pertaining to the financing statements filed under the PPSA by the Collateral Agent in respect of this Security Agreement. To the extent permitted by applicable law, each Grantor irrevocably waives the right to receive a copy of each
financing statement or financing change statement (or any verification statement pertaining thereto) filed under the PPSA or under such other personal property security statutes by the Collateral Agent in respect of this Security Agreement or any
other security agreement, and releases any and all claims or causes of action it may have against any Secured Party for failure to provide any such copy. 

(b) Each Grantor hereby irrevocably appoints the Collateral Agent as its attorney-in-fact and proxy, with full authority in the place and
stead of such Grantor and in the name of such Grantor or otherwise, from time to time in the Collateral Agent’s discretion, so long as an Event of Default shall have occurred and is continuing, to take any action and to execute any instrument
necessary or advisable or which the Collateral Agent may reasonably deem necessary or advisable to accomplish the purposes of this Agreement (subject to the rights of each Grantor under Section 5 hereof), including, without limitation,
(i) to obtain and adjust insurance required to be paid to the Collateral Agent pursuant to Section 5(e) hereof, (ii) to ask, demand, collect, sue for, recover, compound, receive and give acquittance and receipts for moneys due and to
become due under or in respect of any Collateral, (iii) to receive, endorse, and collect any drafts or other instruments, documents and chattel paper in connection with clause (i) or (ii) above, (iv) to file any claims or take
any action or institute any proceedings necessary or advisable or which the Collateral Agent may deem necessary or desirable for the collection of any Collateral or otherwise to enforce the rights of the Secured Parties with respect to any
Collateral, and (v) to execute assignments, licenses and other documents to enforce the rights of the Secured Parties with respect to any Collateral. This power is coupled with an interest and is irrevocable until all of the Obligations are
indefeasibly paid in full in cash. 
 (c) For the purpose of enabling the Collateral Agent to exercise rights and remedies
hereunder, at such time as the Collateral Agent shall be lawfully entitled to exercise such rights and remedies, and for no other purpose, each Grantor hereby grants to the Collateral Agent, to the extent assignable, an irrevocable, non-exclusive
license (exercisable without payment of royalty or other compensation to any Grantor) to use, assign, license or sublicense any Intellectual Property now owned or hereafter acquired by such Grantor, wherever the same may be located, including in
such license reasonable access to all media in which any of the licensed items may be recorded or stored and to all computer programs used for the compilation or printout thereof. Notwithstanding anything contained herein to the contrary, but
subject to the provisions of the Indenture that limit the right of any Grantor to dispose of its property, and Section 5(g) and Section 5(h) hereof, so long as no Event of Default shall have occurred and be

  

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continuing, any Grantor may exploit, use, enjoy, protect, license, sublicense, assign, sell, dispose of or take other actions with respect to the Intellectual Property in the ordinary course of
its business. In furtherance of the foregoing, unless an Event of Default shall have occurred and be continuing, the Collateral Agent shall from time to time, upon the request of any Grantor, execute and deliver any instruments, certificates or
other documents, in the form so requested, which such Grantor shall have certified are appropriate (in such Grantor’s judgment) to allow it to take any action permitted above (including relinquishment of the license provided pursuant to this
clause (c) as to any Intellectual Property. Further, upon the indefeasible payment in full in cash of all of the Obligations, the Collateral Agent (subject to Section 10(e) hereof) shall cooperate in taking all necessary steps and make all
filings and recordings to release and reassign to any Grantor all of the Collateral Agent’s right, title and interest in and to the Intellectual Property, and the Licenses, all without recourse, representation or warranty whatsoever. The
exercise of rights and remedies hereunder by the Collateral Agent shall not terminate the rights of the holders of any licenses or sublicenses theretofore granted by each Grantor in accordance with the second sentence of this clause (c). Each
Grantor hereby releases the Collateral Agent from any claims, causes of action and demands at any time arising out of or with respect to any actions taken or omitted to be taken by the Collateral Agent under the powers of attorney granted herein
other than actions taken or omitted to be taken by the Collateral Agent’s own gross negligence or willful misconduct, as determined by a final determination of a court of competent jurisdiction. 

(d) If any Grantor fails to perform any agreement or obligation contained herein, the Collateral Agent may itself perform, or cause
performance of, such agreement or obligation, in the name of such Grantor or the Collateral Agent, and the expenses of the Collateral Agent incurred in connection therewith shall be payable by such Grantor pursuant to Section 8 hereof and shall
be secured by the Collateral. 
 (e) The powers conferred on the Collateral Agent hereunder are solely to protect its interest
in the Collateral and shall not impose any duty upon it to exercise any such powers. Except for the safe custody of any Collateral in its possession and the accounting for moneys actually received by it hereunder, the Collateral Agent shall have no
duty as to any Collateral or as to the taking of any necessary steps to preserve rights against prior parties or any other rights pertaining to any Collateral. 

(f) Anything herein to the contrary notwithstanding (i) each Grantor shall remain liable under the Licenses and otherwise with
respect to any of the Collateral to the extent set forth therein to perform all of its obligations thereunder to the same extent as if this Agreement had not been executed, (ii) the exercise by the Collateral Agent of any of its rights
hereunder shall not release any Grantor from any of its obligations under the Licenses or otherwise in respect of the Collateral, and (iii) the Collateral Agent shall not have any obligation or liability by reason of this Agreement under the
Licenses or with respect to any of the other Collateral, nor shall the Collateral Agent be obligated to perform any of the obligations or duties of any Grantor thereunder or to take any action to collect or enforce any claim for payment assigned
hereunder. 
 (g) Beyond the exercise of reasonable care in the custody thereof, the Collateral Agent shall have no duty as to
any Collateral in its possession or control or in the possession or control of any agent or bailee or any income thereon or as to preservation of rights against prior 

 

 -21- 

 
parties or any other rights pertaining thereto and the Collateral Agent shall not be responsible for filing any financing or continuation statements or recording any documents or instruments in
any public office at any time or times or otherwise perfecting or maintaining the perfection of any security interest in the Collateral. The Collateral Agent shall be deemed to have exercised reasonable care in the custody of the Collateral in its
possession if the Collateral is accorded treatment substantially equal to that which it accords its own property and shall not be liable or responsible for any loss or diminution in the value of any of the Collateral, by reason of the act or
omission of any carrier, forwarding agency or other agent or bailee selected by the Collateral Agent in good faith. 
 (h) The
Collateral Agent shall not be responsible for the existence, genuineness or value of any of the Collateral or for the validity, perfection, priority or enforceability of the Liens in any of the Collateral, whether impaired by operation of law or by
reason of any of any action or omission to act on its part hereunder, except to the extent such action or omission constitutes gross negligence, bad faith or willful misconduct on the part of the Collateral Agent, for the validity or sufficiency of
the Collateral or any agreement or assignment contained therein, for the validity of the title of the Company to the Collateral, for insuring the Collateral or for the payment of taxes, charges, assessments or Liens upon the Collateral or otherwise
as to the maintenance of the Collateral. 
 SECTION 7. Remedies Upon Event of Default. If any Event of Default shall
have occurred and be continuing: 
 (a) The Collateral Agent may exercise in respect of the Collateral, in addition to any other
rights and remedies provided for herein or otherwise available to it, all of the rights and remedies of a secured party upon default under the Uniform Commercial Code (whether or not the Uniform Commercial Code applies to the affected Collateral),
and also may (i) take absolute control of the Collateral, including, without limitation, transfer into the Collateral Agent’s name or into the name of its nominee or nominees (to the extent the Collateral Agent has not theretofore done so)
and thereafter receive, for the benefit of the Collateral Agent, all payments made thereon, give all consents, waivers and ratifications in respect thereof and otherwise act with respect thereto as though it were the outright owner thereof,
(ii) require each Grantor to, and each Grantor hereby agrees that it will at its expense and upon request of the Collateral Agent forthwith, assemble all or part of its respective Collateral as directed by the Collateral Agent and make it
available to the Collateral Agent at a place or places to be designated by the Collateral Agent that is reasonably convenient to both parties, and the Collateral Agent may enter into and occupy any premises owned or leased (if permitted by the
lessor of such premises) by any Grantor where the Collateral or any part thereof is located or assembled for a reasonable period in order to effectuate the Collateral Agent’s rights and remedies hereunder or under law, without obligation to any
Grantor in respect of such occupation, and (iii) without notice except as specified below and without any obligation to prepare or process the Collateral for sale, (A) sell the Collateral or any part thereof in one or more parcels at
public or private sale, at any of the Collateral Agent’s offices or elsewhere, for cash, on credit or for future delivery, and at such price or prices and upon such other terms as the Collateral Agent may deem commercially reasonable and/or
(B) lease, license or dispose of the Collateral or any part thereof upon such terms as the Collateral Agent may deem commercially reasonable. Each Grantor agrees that, to the extent notice of sale or any other disposition of its respective
Collateral shall be required by 
  

 -22- 

 
law, at least ten (10) days’ notice to any Grantor of the time and place of any public sale or the time after which any private sale or other disposition of its respective Collateral is
to be made shall constitute reasonable notification. The Collateral Agent shall not be obligated to make any sale or other disposition of any Collateral regardless of notice of sale having been given. The Collateral Agent may adjourn any public or
private sale from time to time by announcement at the time and place fixed therefor, and such sale may, without further notice, be made at the time and place to which it was so adjourned. Each Grantor hereby acknowledges that (i) any such sale
of its respective Collateral by the Collateral Agent or Receiver shall be made without warranty, (ii) the Collateral Agent or Receiver may specifically disclaim any warranties of title, possession, quiet enjoyment or the like, and
(iii) such actions set forth in clauses (i) and (ii) above shall not adversely affect the commercial reasonableness of any such sale of Collateral. In addition to the foregoing, (1) upon written notice to any Grantor from the
Collateral Agent or Receiver after and during the continuance of an Event of Default, such Grantor shall cease any use of the Intellectual Property or any trademark, patent or copyright similar thereto for any purpose described in such notice;
(2) the Collateral Agent or Receiver may, at any time and from time to time after and during the continuance of an Event of Default, upon 10 days’ prior notice to such Grantor, license, whether general, special or otherwise, and whether on
an exclusive or non-exclusive basis, any of the Intellectual Property, throughout the universe for such term or terms, on such conditions, and in such manner, as the Collateral Agent or Receiver shall in its sole discretion determine; and
(3) the Collateral Agent or Receiver may, at any time, pursuant to the authority granted in Section 6 hereof (such authority being effective upon the occurrence and during the continuance of an Event of Default), execute and deliver on
behalf of such Grantor, one or more instruments of assignment of the Intellectual Property (or any application or registration thereof), in form suitable for filing, recording or registration in any country. 

(b) Any cash held by the Collateral Agent or Receiver as Collateral and all Cash Proceeds received by the Collateral Agent or Receiver in
respect of any sale of or collection from, or other realization upon, all or any part of the Collateral shall be applied (after payment of any amounts payable to the Collateral Agent or Receiver pursuant to Section 8 hereof) by the
Collateral Agent or Receiver against, all or any part of the Obligations in such order as the Collateral Agent or Receiver shall elect, consistent with the provisions of the Indenture. Any surplus of such cash or Cash Proceeds held by the Collateral
Agent or Receiver and remaining after the indefeasible payment in full in cash of all of the Obligations shall be paid over to whomsoever shall be lawfully entitled to receive the same or as a court of competent jurisdiction shall direct.

 (c) In the event that the proceeds of any such sale, collection or realization are insufficient to pay all amounts to which
the Secured Parties are legally entitled, each Grantor shall be liable for the deficiency, together with interest thereon at the highest rate specified in the Notes for interest on overdue principal thereof or such other rate as shall be fixed by
applicable law, together with the costs of collection and the reasonable fees, costs, expenses and other client charges of any attorneys employed by the Collateral Agent or Receiver to collect such deficiency. 

(d) Each Grantor hereby acknowledges that if the Collateral Agent or Receiver complies with any applicable state, provincial, or federal
law requirements in connection with a disposition of the Collateral, such compliance will not adversely affect the commercial reasonableness of any sale or other disposition of the Collateral. 

 

 -23- 

 (e) Neither the Collateral Agent nor any Receiver shall be required to marshal any present
or future collateral security (including, but not limited to, this Agreement and the Collateral) for, or other assurances of payment of, the Obligations or any of them or to resort to such collateral security or other assurances of payment in any
particular order, and all of the Collateral Agent’s or Receiver’s rights hereunder and in respect of such collateral security and other assurances of payment shall be cumulative and in addition to all other rights, however existing or
arising. To the extent that any Grantor lawfully may, each Grantor hereby agrees that it will not invoke any law relating to the marshaling of collateral which might cause delay in or impede the enforcement of the Collateral Agent’s or any
Receiver’s rights under this Agreement or under any other instrument creating or evidencing any of the Obligations or under which any of the Obligations is outstanding or by which any of the Obligations is secured or payment thereof is
otherwise assured, and, to the extent that it lawfully may, each Grantor hereby irrevocably waives the benefits of all such laws. 

(f) In addition to its other enforcement rights expressed herein or otherwise at law, the Collateral Agent may appoint by instrument in
writing one or more Receivers of any Collateral of any Canadian Grantor. Any such Receiver shall have the rights set out in paragraph (g) below. In exercising such rights, any Receiver shall act as and for all purposes shall be deemed to be the
agent of such Grantor and no Secured Party shall be responsible for any act or default of any Receiver. The Collateral Agent may remove any Receiver and appoint another from time to time. No Receiver appointed by the Collateral Agent need be
appointed by, nor need its appointment be ratified by, or its actions in any way supervised by, a court. If two or more Receivers are appointed to act concurrently, they shall, unless otherwise expressly provided in the instrument appointing them,
so act severally and not jointly and severally. The appointment of any Receiver or anything done by a Receiver or the removal or termination of any Receiver shall not have the effect of constituting any Secured Party a mortgagee in possession in
respect of the Collateral. 
 (g) Any Receiver appointed by the Collateral Agent shall have such of the following rights,
powers, authorities and remedies as the Collateral Agent shall grant to such Receiver in the instrument appointing such Receiver: 

(i) any Receiver may exercise any rights, powers and remedies to which the Collateral Agent is entitled; 

(ii) any Receiver may at any time enter upon any premises owned, leased or otherwise occupied by any Canadian Grantor or where any
Collateral is located to take possession of, disable or remove any Collateral, and may use whatever means the Receiver considers advisable to do so; 

(iii) any Receiver shall be entitled to immediate possession of Collateral and the each Canadian Grantor shall forthwith upon
demand by any Receiver deliver up possession to a Receiver of any Collateral; 
  

 -24- 

 (iv) any Receiver may carry on, or concur in the carrying on of, any of the business or
undertaking of any Canadian Grantor and may, to the exclusion of all others, including each Canadian Grantor, enter upon, occupy and use any of the premises, buildings, plant and undertaking of or occupied or used by any Canadian
Grantor and may use any of the Equipment and General Intangibles of such Grantor for such time and such purposes as the Receiver sees fit. No Receiver shall be liable to any Grantor for any negligence (other than gross negligence, intentional
misconduct or a violation of any applicable law) in so doing or in respect of any rent, charges, costs, depreciation or damages in connection with any such action; and 

(v) any Receiver may have, enjoy and exercise all of the rights of and enjoyed by each Canadian Grantor with respect to the
Collateral or incidental, ancillary, attaching or deriving from the ownership by any Canadian Grantor of the Collateral, including the right to enter into agreements pertaining to Collateral, the right to commence or continue proceedings to
preserve or protect Collateral and the right to grant or agree to Liens and grant or reserve profits à prendre, easements, rights of ways, rights in the nature of easements and licenses over or pertaining to the whole or any part of
the Collateral. 
 (h) The Collateral Agent may, at any time, apply to a court of competent jurisdiction for the appointment of
a Receiver, or other official, who may have powers the same as, greater or lesser than, or otherwise different from, those capable of being granted to a Receiver appointed by the Collateral Agent pursuant to this Security Agreement. 

SECTION 8. Indemnity and Expenses. 

(a) Each Grantor agrees, jointly and severally, to defend, protect, indemnify and hold the Secured Parties and any Receiver harmless from
and against any and all claims, damages, losses, liabilities, obligations, penalties, fees, costs and expenses (including, without limitation, reasonable legal fees, costs, expenses, and disbursements of such Person’s counsel) to the extent
that they arise out of or otherwise result from this Agreement (including, without limitation, enforcement of this Agreement), except to the extent caused by such Person’s own gross negligence or willful misconduct, as determined by a final
judgment of a court of competent jurisdiction. 
 (b) Each Grantor agrees, jointly and severally, to pay to the Collateral Agent
and Receiver upon demand the amount of any and all costs and expenses, including the reasonable fees, costs, expenses and disbursements of counsel for the Collateral Agent, Receiver and of any experts and agents (including, without limitation, any
collateral trustee which may act as agent of the Collateral Agent or Receiver), which the Collateral Agent or Receiver may incur in connection with (i) the preparation, negotiation, execution, delivery, recordation, administration, amendment,
waiver or other modification or termination of this Agreement, (ii) the custody, preservation, use or operation of, or the sale of, collection from, or other realization upon, any Collateral, (iii) the exercise or enforcement of any of the
rights of the Collateral Agent or Receiver hereunder, or (iv) the failure by any Grantor to perform or observe any of the provisions hereof. 

(c) The benefits of this Section 8 shall survive the termination of this Agreement. 

 

 -25- 

 Section 9. Notices, Etc. All notices and other communications provided for
hereunder shall be in writing and shall be mailed (by certified mail, postage prepaid and return receipt requested), telecopied, e-mailed or delivered, at its address set forth on the signature pages below, and if to the Collateral Agent to it, at
its address specified on the signature pages below; or as to any such Person, at such other address as shall be designated by such Person in a written notice to all other parties hereto complying as to delivery with the terms of this Section 9.
All such notices and other communications shall be effective (a) if sent by certified mail, return receipt requested, when received or three days after deposited in the mails, whichever occurs first, (b) if telecopied or e-mailed, when
transmitted (during normal business hours) and confirmation is received, and otherwise, the day after the notice or communication was transmitted and confirmation is received, or (c) if delivered in person, upon delivery. 

SECTION 10. Resignation and Removal of the Collateral Trustee 

(a) Resignation or Removal of Collateral Agent. Subject to the appointment of a successor Collateral Agent as provided in
Section 10(b) and the acceptance of such appointment by the successor Collateral Agent: 
 (i) the Collateral Agent may
resign at any time by giving not less than 45 days’ notice of resignation to each Noteholder and the Company, provided that such notice period may be waived by each Noteholder and the Company; and 

(ii) the Collateral Agent may be removed at any time, with or without cause, by the Holders of a majority in principal amount of the
outstanding Notes. 
 (b) Appointment of Successor Collateral Agent. Upon any such resignation or removal, a successor
Collateral Trustee may be appointed by the Holders of a majority in principal amount of the outstanding Notes subject to the consent of the Company, which shall not be unreasonably withheld. If no successor Collateral Agent has been so appointed and
accepted such appointment within 45 days after the predecessor Collateral Agent gave notice of resignation or was removed, the retiring Collateral Agent may (at the expense of the Company), at its option, appoint a successor Collateral Agent, or
petition a court of competent jurisdiction for appointment of a successor Collateral Agent, which must be a bank or trust company: 

(A) authorized to exercise corporate trust powers; 

(B) having a combined capital and surplus of at least $100,000,000; 

(C) maintaining an office in New York, New York; and 

(D) that is not a Noteholder. 

The Collateral Agent will fulfill its obligations hereunder until a successor Collateral Agent meeting the requirements of this
Section 10(b) has accepted its appointment as Collateral Agent and the provisions of Section 10(c) have been satisfied. 

(c) Succession. When the Person so appointed as successor Collateral Agent accepts such appointment: 

(A) such Person will succeed to and become vested with all the rights, powers, privileges and duties of the predecessor
Collateral Agent, and the predecessor Collateral Agent will be discharged from its duties and obligations hereunder; and 
  

 -26- 

 (B) the predecessor Collateral Agent will (at the expense of the Company)
promptly transfer all Liens and Collateral within its possession or control to the possession or control of the successor Collateral Agent and will execute instruments and assignments as may be necessary or reasonably requested by the successor
Collateral Agent or reasonably requested by Noteholders holding a majority in aggregate principal amount of the Notes then outstanding to transfer to the successor Collateral Agent all Liens interests, rights, powers and remedies of the predecessor
Collateral Agent in respect of the Security Documents. 
 SECTION 11. Miscellaneous. 

(a) No amendment of any provision of this Agreement shall be effective unless it is in writing and signed by each Grantor and the
Collateral Agent, and no waiver of any provision of this Agreement, and no consent to any departure by each Grantor therefrom, shall be effective unless it is in writing and signed by each Grantor and the Collateral Agent, and then such waiver or
consent shall be effective only in the specific instance and for the specific purpose for which given. 
 (b) No failure on the
part of the Collateral Agent to exercise, and no delay in exercising, any right hereunder or under any of the other Transaction Documents shall operate as a waiver thereof; nor shall any single or partial exercise of any such right preclude any
other or further exercise thereof or the exercise of any other right. The rights and remedies of the Secured Parties provided herein and in the other Transaction Documents are cumulative and are in addition to, and not exclusive of, any rights or
remedies provided by law. The rights of the Secured Parties under any of the other Transaction Documents against any party thereto are not conditional or contingent on any attempt by such Person to exercise any of its rights under any of the other
Transaction Documents against such party or against any other Person, including but not limited to, any Grantor. 
 (c) Any
provision of this Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining portions hereof or thereof or
affecting the validity or enforceability of such provision in any other jurisdiction. 
 (d) This Agreement shall create a
continuing security interest in the Collateral and shall (i) remain in full force and effect until the indefeasible payment in full in cash of the Obligations, and (ii) be binding on each Grantor and all other Persons who become bound as
debtor to this Agreement in accordance with Section 9-203(d) of the Uniform Commercial Code and shall inure, together with all rights and remedies of the Secured Parties hereunder, to the benefit of the Secured Parties and their respective
permitted successors, transferees and assigns. Without limiting the generality of clause (ii) of the immediately preceding sentence, without notice to any Grantor, the Secured Parties may assign or otherwise transfer their rights and
obligations under this Agreement and any of the other Transaction Documents in accordance 
  

 -27- 

 
with the respective Transaction Documents, to any other Person and such other Person shall thereupon become vested with all of the benefits in respect thereof granted to the Secured Parties
herein or otherwise. Upon any such assignment or transfer, all references in this Agreement to the Secured Parties shall mean the assignee of the Secured Parties. None of the rights or obligations of any Grantor hereunder may be assigned or
otherwise transferred without the prior written consent of the Collateral Agent, and any such assignment or transfer without the consent of the Collateral Agent shall be null and void. 

(e) Upon the indefeasible payment in full in cash of the Obligations, (i) this Agreement and the security interests created hereby
shall terminate and all rights to the Collateral shall revert to the respective Grantor that granted such security interests hereunder, and (ii) the Collateral Agent will, upon any Grantor’s request and at such Grantor’s expense,
(A) return to such Grantor such of the Collateral as shall not have been sold or otherwise disposed of or applied pursuant to the terms hereof, and (B) execute and deliver to such Grantor such documents as such Grantor shall reasonably
request to evidence such termination, all without any representation, warranty or recourse whatsoever. 
 (f) THIS AGREEMENT
SHALL BE GOVERNED BY, CONSTRUED AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, EXCEPT AS REQUIRED BY MANDATORY PROVISIONS OF LAW AND EXCEPT TO THE EXTENT THAT THE VALIDITY AND PERFECTION OR THE PERFECTION AND THE EFFECT OF
PERFECTION OR NON-PERFECTION OF THE SECURITY INTEREST CREATED HEREBY, OR REMEDIES HEREUNDER, IN RESPECT OF ANY PARTICULAR COLLATERAL ARE GOVERNED BY THE LAW OF A JURISDICTION OTHER THAN THE STATE OF NEW YORK. 

(g) ANY LEGAL ACTION, SUIT OR PROCEEDING WITH RESPECT TO THIS AGREEMENT OR ANY DOCUMENT RELATED HERETO MAY BE BROUGHT IN THE COURTS OF
THE STATE OF NEW YORK IN THE COUNTY OF NEW YORK OR THE UNITED STATES OF AMERICA FOR THE SOUTHERN DISTRICT OF NEW YORK, AND APPELLATE COURTS THEREOF, AND, BY EXECUTION AND DELIVERY OF THIS AGREEMENT, EACH GRANTOR HEREBY ACCEPTS FOR ITSELF AND IN
RESPECT OF ITS PROPERTY, GENERALLY AND UNCONDITIONALLY, THE JURISDICTION OF THE AFORESAID COURTS. EACH GRANTOR HEREBY EXPRESSLY AND IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION, INCLUDING, WITHOUT LIMITATION, ANY
OBJECTION TO THE LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY SUCH ACTION, SUIT OR PROCEEDING IN SUCH RESPECTIVE JURISDICTIONS AND CONSENTS TO THE GRANTING OF SUCH LEGAL
OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY THE COURT. 
  

 -28- 

 (h) EACH GRANTOR AND (BY ITS ACCEPTANCE OF THE BENEFITS OF THIS AGREEMENT) THE COLLATERAL
AGENT WAIVES ANY RIGHT IT MAY HAVE TO TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED ON, ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OF THE OTHER TRANSACTION DOCUMENTS, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, ORAL OR
WRITTEN STATEMENT OR OTHER ACTION OF THE PARTIES HERETO. 
 (i) Each Grantor irrevocably consents to the service of process of
any of the aforesaid courts in any such action, suit or proceeding by the mailing of copies thereof by registered or certified mail (or any substantially similar form of mail), postage prepaid, to any Grantor at its address provided herein, such
service to become effective 10 days after such mailing. 
 (j) Nothing contained herein shall affect the right of the Collateral
Agent to serve process in any other manner permitted by law or commence legal proceedings or otherwise proceed against any Grantor or any property of any Grantor in any other jurisdiction. 

(k) Each Grantor irrevocably and unconditionally waives any right it may have to claim or recover in any legal action, suit or proceeding
referred to in this Section any special, exemplary, punitive or consequential damages. 
 (l) Section headings herein are
included for convenience of reference only and shall not constitute a part of this Agreement for any other purpose. 
 (m) This
Agreement may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which shall be deemed to be an original, but all of which taken together constitute one in the same Agreement. 

(n) In connection with its execution and acting hereunder, the Collateral Agent is entitled to all rights, privileges, protections,
benefits, immunities and indemnities provided to it as Trustee under the Indenture. 
 [REMAINDER OF THIS PAGE INTENTIONALLY
LEFT BLANK] 
  

 -29- 

 IN WITNESS WHEREOF, each Grantor has caused this Agreement to be executed and delivered by
its officer thereunto duly authorized, as of the date first above written. 
  

					
	GSI GROUP CORPORATION
	As the Issuer
		
	By:	 	 /s/ Michael Katzenstein

		 	        Name:	 	Michael Katzenstein
		 	        Title: 	 	Chief Restructuring Officer
	
	GSI GROUP INC.
	As a Guarantor
		
	By:	 	 /s/ Michael Katzenstein

		 	         Name:
	 	Michael Katzenstein
		 	         Title: 
	 	Chief Restructuring Officer
	
	 MES INTERNATIONAL INC.

as a Guarantor

		
	By:	 	 /s/ Michael Katzenstein

		 	         Name:
	 	Michael Katzenstein
		 	         Title: 
	 	Chief Restructuring Officer
	
	EXCEL TECHNOLOGY, INC.
	As a Guarantor
		
	By:	 	 /s/ Michael Katzenstein

		 	         Name:
	 	Michael Katzenstein
		 	         Title: 
	 	President

  

 [Signature Page to Security Agreement] 

					
	CAMBRIDGE TECHNOLOGY, INC.,
	as a Guarantor
		
	By:	 	 /s/ Anthony Bellantuoni

		 	        Name:	 	Anthony Bellantuoni
		 	        Title:	 	Director
	
	 CONTINUUM ELECTRO-OPTICS, INC.,

as a Guarantor

		
	By:	 	 /s/ Anthony Bellantuoni

		 	        Name:	 	Anthony Bellantuoni
		 	        Title:	 	Director
	
	 CONTROL LASER CORPORATION (D/B/A

BAUBLYS CONTROL LASER),
 as a
Guarantor

		
	By:	 	 /s/ Anthony Bellantuoni

		 	         Name:
	 	Anthony Bellantuoni
		 	         Title: 
	 	Director
	
	 THE OPTICAL CORPORATION,

as a Guarantor

		
	By:	 	 /s/ Anthony Bellantuoni

		 	        Name:	 	Anthony Bellantuoni
		 	        Title:	 	Director
	
	 PHOTO RESEARCH, INC.,

as a Guarantor

		
	By:	 	 /s/ Anthony Bellantuoni

		 	        Name:	 	Anthony Bellantuoni
		 	        Title:	 	Director
	
	 QUANTRONIX CORPORATION,

as a Guarantor

		
	By:	 	 /s/ Anthony Bellantuoni

		 	        Name:	 	Anthony Bellantuoni
		 	        Title:	 	Director
	
	 SYNRAD, INC.,
 as a
Guarantor

		
	By:	 	 /s/ Anthony Bellantuoni

		 	        Name:	 	Anthony Bellantuoni
		 	        Title:	 	Director
	
	 MICROE SYSTEMS CORP.

as a Guarantor

		
	By:	 	 /s/ Anthony Bellantuoni

		 	        Name:	 	Anthony Bellantuoni
		 	        Title:	 	Director

  

 [Signature Page to Security Agreement] 

					
	THE BANK OF NEW YORK MELLON TRUST COMPANY, N.A., as Collateral Agent
		
	By:	 	 /s/ Leslie Lockhart

		 	Name:	 	Leslie Lockhart
		 	Title:	 	Senior Associate

  

 [Signature Page to Security Agreement] 

 SCHEDULE I 

 EXHIBIT A 

GRANT OF SECURITY INTEREST 

[TRADEMARKS] [PATENTS] [COPYRIGHTS] 

WHEREAS,
                                        
                     (the “Grantor”) [holds all right, title and interest in and to, the trademarks and service marks listed
on the annexed Schedule 1A, which trademarks and service marks are registered or applied for in the United States Patent and Trademark Office (the “Trademarks”)] [holds all right, title and interest in the letter
patents, design patents and utility patents listed on the annexed Schedule 1A, which patents are issued or applied for in the United States Patent and Trademark Office (the “Patents”)] [holds all right, title and
interest in the copyrights listed on the annexed Schedule 1A, which copyrights are registered in the United States Copyright Office (the “Copyrights”)]; 

WHEREAS, the Grantor has entered into an Amended and Restated Security Agreement, dated as of     
        , 20     (as amended, restated or otherwise modified from time to time the “Security Agreement”), The Bank of New York Mellon Trust Company, N.A., a
            , in its capacity as collateral agent (the “Grantee”) to each of the Noteholders referred to below; 

WHEREAS, pursuant to the Security Agreement, the Grantor has granted to the Grantee for the benefit of the Holders (as defined in the
Security Agreement) a continuing security interest in all right, title and interest of the Grantor in, to and under the [Trademarks, together with, among other things, the goodwill of the business symbolized by the Trademarks] [Patents] [Copyrights]
and the applications and registrations thereof, and all proceeds thereof, including, without limitation, any and all causes of action which may exist by reason of infringement thereof and any and all damages arising from past, present and future
violations thereof (the “Collateral”), to secure the payment, performance and observance of the “Obligations” (as defined in the Security Agreement); 

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Grantor hereby
grants to the Grantee for the benefit of the Holders a continuing security interest in the Collateral to secure the prompt payment and performance of the Obligations. 

The Grantor does hereby further acknowledge and affirm that the rights and remedies of the Grantee with respect to the Collateral are
more fully set forth in the Security Agreement, the terms and provisions of which are hereby incorporated herein by reference as if fully set forth herein. 

 IN WITNESS WHEREOF, the Grantor has caused this Assignment to be duly executed by its
officer thereunto duly authorized as of             , 20     

 

			
	[GRANTOR]
		
	By:	 	  

		 	Name:
		 	Title:

  

											
	STATE OF 	 	  
	 		 		 		 	
		 		 	ss.:	 		 		 	
	COUNTY OF 	 	  
	 		 		 		 	

 On this      day of
            , 20    , before me personally came
                                        ,
to me known to be the person who executed the foregoing instrument, and who, being duly sworn by me, did depose and say that s/he is the
                                        
of                                     , a
                                        ,
and that s/he executed the foregoing instrument in the firm name of
                                         
   , and that s/he had authority to sign the same, and s/he acknowledged to me that he executed the same as the act and deed of said firm for the uses and purposes therein mentioned. 

 

			
		 	  

ANNEX A TO ASSIGNMENT FOR SECURITY 

[Trademarks and Trademark Applications] 

[Patent and Patent Applications] 
 [Copyright and
Copyright Applications] 

					
	Owned byEscrow Agreement

 EXHIBIT 10.2 

EXECUTION VERSION 

ESCROW AGREEMENT 

This Escrow Agreement, dated as of July 23, 2010 (this “Agreement”), is made by and among GSI Group Inc.
(“Reorganized Holdings”) acting on behalf of the Holders of Class 6A Claims and Interests (as defined below) and Law Debenture Trust Company of New York, as escrow agent (in such capacity, “Escrow Agent”).

 RECITALS 

WHEREAS, on November 20, 2009, GSI Group Inc., together with its affiliated debtors (“Debtors”), filed
voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”); 

WHEREAS, on May 27, 2010, the Bankruptcy Court entered an order (the “Confirmation Order”) confirming the
Debtors’ Fourth Modified Joint Plan of Reorganization (as such plan may hereafter be amended or otherwise modified, the “Plan”); 

WHEREAS, the holders of Class 6A Claims and Interests will, on the Effective Date receive distributions pursuant to
Section 3.6 of the plan and such distributions are subject to adjustment pursuant to Section 3.9 of the Plan (collectively, “Class 6A Distribution”); 

WHEREAS, Holdings and certain of its current and former officers and directors are defendants in that certain putative shareholder
class action entitled Wiltold Trzeciakowski, Individually and on behalf of all others similarly situated v. GSI Group Inc., Sergio Edelstein, and Robert Bowen, Case No. 08-cv-12065 (GAO), filed on December 12, 2008, in the United
States District Court for the District of Massachusetts in connection with the delayed filing of its results for the quarter ended September 26, 2008 and the announcement of a review of revenue transactions, alleging federal securities
violations against Holdings and certain of Holdings’ current and former officers and directors (“Securities Class Action”). 

WHEREAS, as of the date hereof a Final Settlement and Final Disposition (each as defined below) have not occurred, and, as a
result, a final allocation of the Class 6A Distribution among the Holders of Allowed Class 6A Claims and Interests cannot yet be determined; 

WHEREAS, pursuant to Section 3.9 of the Plan, 6.165% of the New Common Shares to be distributed under Section 3.6 of the
Plan shall be placed in a Class 6A Reserve and held in escrow (the “Escrow Fund”) on the Effective Date of the Plan pursuant to the terms of this Escrow Agreement for the benefit of the Holders of Section 510(b) Claims pending
Final Disposition of the Securities Class Action; 
  

					
	ESCROW AGREEMENT	 	1	 	 

 EXECUTION VERSION 

 

 WHEREAS, pursuant to Section 3.9 of the Plan, unless otherwise determined by
the Debtors, the Escrow Fund shall be treated as a disputed ownership fund pursuant to Treasury Regulation Section 1.468B-9. 

NOW, THEREFORE, in consideration of the premises and agreements contained herein and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged and agreed, the parties hereto agree as follows: 
 1.
DEFINITIONS 
 (a) Capitalized terms defined in the Plan, and not otherwise defined herein, shall have the meanings
ascribed to such terms in the Plan. 
 (b) For purposes of this Agreement, the following terms shall have the following meanings:

  

			
	“Agreement”	  	has the meaning set forth in the Preamble.
		
	“Allowed”	  	has the meaning set forth in the Plan.
		
	“Bankruptcy Court”	  	has the meaning set forth in the Recitals.
		
	“Business Day”	  	has the meaning set forth in Section 6(h).
		
	“Class 6A Claims and Interests”	  	has the meaning set forth in the Plan.
		
	“Class 6A Distributees”	  	has the meaning set forth in Section 5(a).
		
	“Class 6A Distribution”	  	has the meaning set forth in the Recitals.
		
	“Class 6A Reserve”	  	has the meaning set forth in the Plan.
		
	“Class 6A Reserve Value”	  	shall mean such value as determined by the Court less any Interim Distribution.
		
	“Confirmation Order”	  	has the meaning set forth in the Recitals.
		
	“Debtors”	  	has the meaning set forth in the Recitals.
		
	“Distribution Calculation”	  	has the meaning set forth in Section 5(a).
		
	“Escrow Agent”	  	has the meaning set forth in the Preamble.
		
	“Escrow Fund”	  	has the meaning set forth in the Recitals.
		
	“Expiration Date”	  	has the meaning set forth in Section 3(b).
		
	“Final Disposition”	  	the date when the Securities Class Action (i) has become subject to a final settlement or a Final Order and (ii) all available insurance for Allowed Section 510(b) Claims has
been exhausted or is determined to be unavailable to satisfy all or a portion of such Claims, pursuant to one or more Final Orders.

 

  

					
	ESCROW AGREEMENT	 	2	 	

 EXECUTION VERSION 

 

			
	“Final Distribution Amount”	  	means that portion of the amount awarded to the plaintiffs in the Securities Class Action pursuant to a Final Order or final settlement which the Debtors have agreed to pay to
the plaintiffs, which is not paid out of insurance (including payment by the Debtors from self insured retention amounts) or is determined to be unavailable to satisfy all or a portion of such Claims, pursuant to one or more Final Orders as adjusted
pursuant to Section 6(c) hereof.
		
	“Final Distribution Percentage”	  	means the quotient obtained by dividing the Final Distribution Amount by the Class 6A Reserve Value.
		
	“Final Order”	  	has the meaning set forth in the Plan.
		
	“GSI UK”	  	has the meaning set forth in the Plan.
		
	“Holdings Equity Interests”	  	has the meaning set forth in the Plan.
		
	“Indemnification Amount”	  	has the meaning set forth in Section 6(c).
		
	“Indemnification Percentage”	  	means the quotient obtained by dividing the Indemnification Amount by the Class 6A Reserve Value.
		
	“Initial Reserve Shares”	  	has the meaning set forth in Section 3(a).
		
	“Interim Distribution”	  	has the meaning set forth in Section 5(a).
		
	“New Common Shares”	  	has the meaning set forth in the Plan.
		
	“New Senior Secured Notes”	  	has the meaning set forth in the Plan.
		
	“Notice”	  	has the meaning set forth in Section 5(a).
		
	“Plan”	  	has the meaning set forth in the Recitals.
		
	“Pro Rata Share”	  	has the meaning set forth in the Plan.
		
	“Remaining Reserve Shares”	  	has the meaning set forth in Section 5(a).
		
	“Reorganized Holdings”	  	has the meaning set forth in the Preamble.
		
	“Required Noteholder Investors”	  	has the meaning set forth in the Plan.
		
	“Reserve Shares”	  	has the meaning set forth in Section 3(b).
		
	“Section 510(b) Claim”	  	has the meaning set forth in the Plan.
		
	“Securities Class Action”	  	has the meaning set forth in the Recitals.
		
	“Transfer Agent”	  	has the meaning set forth in Section 5(c).

  

  

					
	ESCROW AGREEMENT	 	3	 	

 EXECUTION VERSION 

 

 2. APPOINTMENT OF ESCROW AGENT. Escrow Agent is hereby appointed to act as
escrow agent hereunder, and Escrow Agent agrees to act as such as expressly set forth in this Agreement. 
 3.
ESTABLISHMENT OF ESCROW 
 (a) On the date hereof, Reorganized Holdings shall deliver to Escrow Agent a single
certificate for 2,981,227 New Common Shares representing the Class 6A Reserve (the “Initial Reserve Shares”) registered in the name of Escrow Agent, and Escrow Agent shall acknowledge receipt of such Initial Reserve Shares. The
Escrow Fund shall not be subject to any lien, attachment, trustee process or any other judicial process of any creditor or any party hereto, except in accordance with Section 6(e) hereof. 

(b) During the period between the date hereof and the date of the Final Disposition (“Expiration Date”), if any stock
dividend, stock split, recapitalization or other changes affecting the outstanding New Common Shares as a class is effected without consideration, then any new, substituted or additional securities or other property that is by reason of any such
transaction distributed with respect to the Initial Reserve Shares shall immediately be deposited with Escrow Agent. The Initial Reserve Shares and any adjustments pursuant to this Section 3(b) shall be collectively referred to as the
“Reserve Shares.” Notwithstanding anything contained herein to the contrary, Escrow Agent shall have no duty to invest any cash or proceeds of the sale of Reserve Shares received hereunder. 

(c) The Reserve Shares have been deposited with Escrow Agent in the Escrow Fund pursuant to Section 3.9 of the Plan as a Class 6A
Reserve to be distributed on the account of Allowed Class 6A Claims and Interests as of the Expiration Date in accordance with the terms of the Plan and this Agreement. 

(d) Escrow Agent hereby agrees to hold and safeguard the Reserve Shares within the Escrow Fund pursuant to the terms of this Agreement,
and to hold and disburse the Reserve Shares only in accordance with the terms and conditions hereof. 
 (e) Escrow Agent shall
not be responsible for computing or ascertaining any amount of securities or other property required to be deposited pursuant to Section 3(b) hereof. 

(f) Escrow Agent shall hold the Reserve Shares and, except as permitted by Section 6(e), shall not under any circumstances sell the
Reserve Shares. 
 4. DISPUTE RESOLUTION 

It is understood and agreed that should any dispute arise with respect to the delivery, ownership, right of possession, and/or
disposition of the Reserve Shares, or should any claim be made upon such Reserve Shares by a third party, Escrow Agent, upon receipt of a written notice of such dispute or claim by the parties hereto or a third party, is authorized and entitled (at
its sole option and election) to retain in its possession without liability to anyone, all or any of said 
  

  

					
	ESCROW AGREEMENT	 	4	 	

 EXECUTION VERSION 

 

 
Reserve Shares until such dispute shall have been settled either by the mutual agreement of the parties involved or by a final order, decree or judgment of a court in the United States of
America, the time for perfection of an appeal of such order, decree or judgment having expired. Escrow Agent may, but shall be under no duty whatsoever to, institute or defend any legal proceeding which relates to the Reserve Shares. 

5. DISTRIBUTION 

(a) Following a Final Order authorizing the release of all or a portion of the Escrow Funds, Reorganized Holdings shall instruct the
Escrow Agent to distribute the Reserve Shares to Reorganized Holdings as provided for in such Final Order (the “Interim Distribution”). Any Reserve Shares remaining in the Escrow Fund after such Interim Distribution(s) and after the
provision for tender to Reorganized Holding of any Reserve Shares provided in Section 6(c), shall be referred to as “Remaining Reserve Shares.” 

(b) Following the Expiration Date, Reorganized Holdings shall submit a notice to Escrow Agent (“Notice”) which shall set
forth: 
 (i) that a Final Disposition of the Securities Class Action has occurred; 

(ii) the dollar value of the Final Distribution Amount; 

(iii) the Holders of Class 6A Claims and Interests who, pursuant to Section 3.9 of the Plan and this Agreement, are entitled to a
distribution, if any, of the Remaining Reserve Shares (“Class 6A Distributees”); and 
 (iv) the allocation,
if any, of the Remaining Reserve Shares among the Class 6A Distributees, which shall be calculated as follows with any fractional shares having been rounded down to the nearest whole number (“Distribution Calculation”): 

(I) each holder of an Allowed Section 510(b) Claim shall be allocated its Pro Rata Share of the Final Distribution Amount by
delivery of the Final Distribution Percentage of the Remaining Reserve Shares to Lead Plaintiffs or such other fiduciary for distributions to Class member pursuant to a plan of allocation approved by the United States District Court for the District
of Massachusetts; and 
 (II) each holder of an Allowed Holdings Equity Interest shall be allocated its Pro Rata Share of any
Remaining Reserve Shares remaining in Escrow after the distribution in accordance with the above subsection 5(b)(iv)(I). 
 (c)
Promptly upon receipt of the Notice, Escrow Agent shall deliver a certificate representing the Remaining Reserve Shares to Computershare Trust Company (the “Transfer Agent”) and direct the Transfer Agent to deliver the Remaining
Reserve Shares among the Class 6A Distributees pursuant to the Notice and Distribution Calculation. The Transfer Agent shall distribute the Remaining Reserve Shares in accordance therewith. 

 

  

					
	ESCROW AGREEMENT	 	5	 	

 EXECUTION VERSION 

 

 (d) This Agreement shall terminate on the date of which there are no Reserve Shares
remaining in the Escrow Fund. 
 6. DUTIES OF ESCROW AGENT 

(a) Reorganized Holdings acknowledges and agrees that Escrow Agent (i) shall not be responsible for performance of any obligations
under any of the other agreements referred to herein, including the Plan, or for determining or compelling compliance therewith, but shall be obligated only for the performance of such duties as are specifically set forth in this Agreement, each of
which is ministerial in nature and shall not be construed as fiduciary; (ii) shall not be obligated to take any legal or other action hereunder that might in its reasonable judgment involve expense or liability on its part unless it shall have
been furnished with acceptable indemnification; (iii) may rely on and shall be protected in acting or refraining from acting upon any written notice, instruction, instrument, statement, request or document furnished to it hereunder and
reasonably believed by it to be genuine and to have been signed or presented by the proper person, and shall have no responsibility for determining the accuracy thereof; and (iv) may consult counsel satisfactory to it, including in-house
counsel, and the advice or opinion of such counsel shall be full and complete authorization and protection in respect of any action taken, suffered or omitted by it hereunder in good faith and in accordance with the advice or opinion of such
counsel. 
 (b) Neither Escrow Agent nor any of its directors, officers or employees shall be liable to anyone for any action
taken or omitted to be taken by it or any of its directors, officers or employees hereunder except in the case of fraud, gross negligence, bad faith or willful misconduct. Reorganized Holdings covenants and agrees to indemnify Escrow Agent and hold
it harmless without limitation from and against any loss, liability or exposure of any nature incurred by Escrow Agent arising out of or in connection with this Agreement or with the administration of its duties hereunder, including, but not limited
to, taxes, additions for late payment, interest, penalties and other reasonable expenses that may be assessed against Escrow Agent on any such payment for any obligations imposed now or hereafter by applicable tax law, reasonable legal fees and
expenses and other costs and expenses of defending or preparing to defend against any claim of liability in the premises, unless such loss, liability or expense results from or is caused by Escrow Agent’s fraud, gross negligence, bad faith or
willful misconduct, provided, however, that Escrow Agent shall first set-off any such loss, liability or exposure with any cash held in the Escrow Fund. In no event shall Escrow Agent be liable for indirect, punitive, special or consequential
damages. 
 (c) Notwithstanding anything to the contrary herein, any distributions to Holders of Class 6A Claims and Interests
out of the Escrow Fund pursuant to Section 5 will be reduced by the amount of (I) any and all obligations imposed now or hereafter on the Escrow Fund by any applicable tax law, including but not limited to, taxes imposed with respect to
the payment of Reserve Shares under this Agreement plus (II) any and all amounts paid by 
  

  

					
	ESCROW AGREEMENT	 	6	 	

 EXECUTION VERSION 

 

 
Reorganized Holdings pursuant to Section 6(b) hereof (“Indemnification Amount”) without duplication between I and II. Reorganized Holdings undertakes to instruct Escrow
Agent in writing with respect to Escrow Agent’s responsibility for withholding and other taxes, assessments or other governmental charges, certifications and governmental reporting in connection with its acting as Escrow Agent under this
Agreement. The Indemnification Amount, if any, shall be paid to Reorganized Holdings by delivery of any to Reorganized Holdings of the Indemnification percentage of the Reserve Shares. 

(d) Reorganized Holdings agrees to pay or reimburse Escrow Agent for any legal fees and expenses incurred in connection with the
preparation of this Agreement and to pay Escrow Agent’s reasonable compensation for its normal services hereunder in accordance with the fee schedule attached as Schedule A hereto and subject to change on an annual basis in accordance
with Escrow Agent’s ordinary course of business. Reorganized Holdings agrees to reimburse Escrow Agent on demand for reasonable and documented costs and expenses incurred in connection with the administration of this Agreement or the escrow
created hereby or the performance or observance of its duties hereunder which are in excess of its compensation for normal services hereunder, including without limitation, payment of reasonable and documented legal fees and expenses incurred by
Escrow Agent in connection with the resolution of any claim by any party hereunder. 
 (e) Notwithstanding anything herein to
the contrary, Escrow Agent shall have and is hereby granted a possessory lien on and security interest in the Escrow Fund, and all proceeds thereof, to secure payment of all amounts owing to it from time to time hereunder, whether now existing or
hereafter arising. Escrow Agent shall have the right to sell the Reserve Shares and deduct from the proceeds thereof, any such sums, upon five Business Days (as hereinafter defined) notice to Reorganized Holdings of its intent to do so. 

(f) Escrow Agent may at any time resign as Escrow Agent hereunder by giving thirty (30) days prior written notice of resignation to
Reorganized Holdings. Prior to the effective date of the resignation as specified in such notice, Reorganized Holdings shall promptly appoint a mutually acceptable successor escrow agent. Upon such appointment such successor escrow agent shall
execute, acknowledge and deliver to its predecessor, and also to Reorganized Holdings, an instrument in writing accepting such appointment hereunder and agreeing to be bound by the terms and provisions of this Agreement. Thereupon, such successor
escrow agent, without any further act, shall become fully vested with all the rights, immunities, and powers, and shall be subject to all of the duties and obligations of its predecessor and such predecessor Escrow Agent shall promptly deliver the
Reserve Shares to such successor pursuant to written instructions from Reorganized Holdings. If, however, no successor escrow agent is appointed by Reorganized Holdings, Escrow Agent may apply to a court of competent jurisdiction for the appointment
of a successor escrow agent. Any successor escrow agent shall be a bank or trust company, organized and existing under the laws of the United States or any state thereof, subject to examination by state or federal authorities, and have capital
surplus in excess of $100,000,000. 
 (g) Escrow Agent agrees that Reorganized Holdings may at any time upon thirty
(30) days written notice, remove Escrow Agent as escrow agent hereunder, and substitute another escrow agent therefor, in which event, upon receipt of written notice thereof and 

 

  

					
	ESCROW AGREEMENT	 	7	 	

 EXECUTION VERSION 

 

 
payment of any accrued but unpaid fees or expenses due to Escrow Agent, Escrow Agent shall deliver to such substituted escrow agent the Reserve Shares held by it, and Escrow Agent shall
thereafter be discharged from all liability hereunder. 
 (h) Notwithstanding any term appearing in this Agreement to the
contrary, in no instance shall Escrow Agent be required or obligated to distribute any Reserve Shares (or take other action that may be called for hereunder to be taken by Escrow Agent) sooner than two (2) Business Days (hereinafter defined)
after the Escrow Agent’s receipt of the applicable documents required under this Agreement in good form. A “Business Day” is any day on which Escrow Agent is open for business at its offices in New York, New York. 

(i) Escrow Agent is hereby authorized, in making or disposing of any investment permitted by this Agreement, to deal with itself (in its
individual capacity) or with any one or more of its affiliates, whether it or such affiliate is acting as a subagent of Escrow Agent or for any third person or dealing as principal for its own account. 

(j) All deposits and payments hereunder, including without limitation all payments to Escrow Agent pursuant to Section 6 hereof,
shall be in U.S. dollars. 
 (k) The provisions of Section 6 of this Agreement shall survive the resignation or removal of
Escrow Agent or the termination of this Agreement. 
 7. VOTING RIGHTS 

Escrow Agent hereby agrees to vote all Reserve Shares proportionally in the same manner as New Common Shares are voted. 

8. CASH DIVIDENDS 

Cash dividends, dividends payable in securities and other distributions of any kind (other than distributions described in
Section 3(b) hereof) made or paid on the Reserve Shares shall be added to the Reserve Shares and subject to the provisions of this Agreement, including any applicable taxation as described in Section 9 hereof. Escrow Agent shall be under
no duty or obligation to invest any cash held in the Escrow Fund. 
 9. OWNERSHIP FOR TAX PURPOSES AND WITHHOLDING

 The parties hereto agree that for U.S. federal income tax purposes, the Escrow Fund will be treated as a disputed
ownership fund (“DOF”) pursuant to Treasury Regulation Section 1.468B-9. As a DOF, the Escrow Fund will be treated as a separate taxable entity that is the owner of all assets contributed to and held by the Escrow Fund and
Reorganized Holdings will have no liability for any tax of the Escrow Fund. In general, in determining a DOF’s taxable income, (1) disputed property transferred to a DOF will be excluded from the DOF’s income, (2) income earned
with respect to such disputed property will be taxable to the DOF, and (3) a distribution of disputed property by the DOF will be treated as a sale or exchange of such property by the DOF. Distributions of property by a DOF will be subject to
applicable 
  

  

					
	ESCROW AGREEMENT	 	8	 	

 EXECUTION VERSION 

 

 
information reporting and withholding requirements. If the DOF is subject to tax reporting, the Escrow Agent shall have the right to retain an agent for such purposes and Reorganize Holdings
shall reimburse the escrow agent for all reasonable fees and expenses incurred in connection with such tax reporting. 

Notwithstanding anything to the contrary in this Agreement, Reorganized Holdings may (but only with the prior written consent of the
Required Noteholder Investors) determine that it is more efficient to treat the Escrow Fund as something other than a DOF (e.g., an IRC Section 641 trust). If such a determination is made, this Agreement will be amended to reflect the
appropriate tax treatment. 
 10. NOTICES 

All notices, requests, demands, claims, and other communications hereunder shall be in writing. Any notice, request, demand, claim, or
other communication hereunder shall be deemed duly delivered on the date of receipt, if delivered by hand, two (2) Business Days after it is sent by registered or certified mail, return receipt requested, postage prepaid, or one Business Day
after it is sent by receipt – confirmed telecopy or via a reputable nationwide overnight courier service for next Business Day delivery, if Reorganized Holdings, at its address set forth below its signature hereto, together with a copy to Brown
Rudnick LLP, Attention: William R. Baldiga, Esq., One Financial Center, Boston, Massachusetts 02111, and if to Escrow Agent at its address set forth below its signature hereto. Any party may give any notice, request, demand, claim, or other
communication hereunder using any other means (including expedited courier, messenger service, telex, ordinary mail, or electronic mail), but no such notice, request, demand, claim, or other communication shall be deemed to have been duly given
unless and until it actually is received by the party for whom it is intended. Any party may change the address to which notices, requests, demands, claims, and other communications hereunder are to be delivered by giving the other parties notice in
the manner herein set forth. Notwithstanding anything herein to the contrary, no notice to Escrow Agent shall be deemed delivered until actually received by Escrow Agent. 

11. JURISDICTION; SERVICE OF PROCESS; GOVERNING LAW 

THIS AGREEMENT SHALL BE DEEMED TO BE MADE IN, AND IN ALL RESPECTS SHALL BE INTERPRETED, CONSTRUED AND GOVERNED BY AND IN ACCORDANCE WITH
THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS TO BE PERFORMED WHOLLY IN SUCH STATE. The parties hereby (a) irrevocably submit to the jurisdiction of any New York any federal court sitting within the State of New York courts of the
United States of America located in the State of New York of the interpretation and enforcement of the provisions of this Agreement and in respect of the transactions contemplated hereby and thereby and (b) waive, and agree not to assert, as a
defense in any action, suit or proceeding for the interpretation or enforcement hereof, that it is not subject to such jurisdiction or that such action, suit or proceeding may not be brought or is not maintainable in said courts or that the venue
thereof may not be appropriate or that this Agreement may not be enforced in or by such courts, and the parties irrevocably agree that all 

 

  

					
	ESCROW AGREEMENT	 	9	 	

 EXECUTION VERSION 

 

 
claims with respect to such action or proceeding shall be heard and determined in such courts. The parties hereby consent to and grant any such court’s jurisdiction over the person of such
parties and over the subject matter of such dispute and agree that mailing of process or other papers in connection with any such action or proceeding in the manner provided in Section 11 hereof shall be valid and sufficient service thereof.

 12. COUNTERPARTS 

The Agreement may be executed in one or more counterparts, each of which will be deemed to be an original and all of which, when taken
together, will be deemed to constitute one and the same. The exchange of copies of this Agreement and of signature pages by facsimile transmission shall constitute effective execution and delivery of this Agreement as to the parties and may be used
in lieu of the original Agreement for all purposes. Signatures of the parties transmitted by facsimile shall be deemed to be their original signatures for all purposes. 

13. SECTION HEADINGS 

The headings of sections in this Agreement are provided for convenience only and will not affect its construction or interpretation.

 14. WAIVER 

No waiver by any party to this Agreement of any condition or of any breach of any provision of this Agreement will be effective unless in
writing. No waiver by any party of any such condition or breach, in any one instance, will be deemed to be a further or continuing waiver of any such condition or a waiver of any other condition or breach of any other provision contained in this
Agreement. 
 15. EXCLUSIVE AGREEMENT; MODIFICATION 

(a) This Agreement constitutes the entire understanding and agreement of the parties to this Agreement with respect to the subject matter
of this Agreement, and supersede all prior and contemporaneous agreements or understandings, inducements or conditions, express or implied, written or oral, between the parties with respect to this Agreement. The express terms of this Agreement
control and supersede any course of performance or usage of the trade inconsistent with any of the terms of this Agreement. 

(b) This Agreement may not be amended, altered or modified without the written consent of the parties hereto. 

16. FORCE MAJEURE 

No party to this Agreement shall be responsible for delays or failures in performance resulting from acts beyond its control. Such acts
shall include but not be limited to acts of God, strikes, lockouts, riots, acts of war, acts of terrorism, epidemics, fire, communication line failures, computer viruses, power failures, terrorist attacks, earthquakes or other disasters. 

 

  

					
	ESCROW AGREEMENT	 	10	 	

 EXECUTION VERSION 

 

 17. BINDING EFFECT 

This Agreement shall be binding upon the respective parties hereto and their heirs, executors, successors and assigns. If Escrow Agent
consolidates, merges or converts into, or transfers all or substantially all of its corporate trust business to, another entity authorized to exercise fiduciary powers, the successor entity without any further act shall be the successor escrow
agent. 
 18. REPRODUCTION OF DOCUMENTS 

This Agreement and all documents relating thereto, including, without limitation, (a) consents, waivers and modifications that may
hereafter be executed and (b) certificates and other information previously or hereafter furnished, may be reproduced by any photographic, photostatic, microfilm, optical disk, micro-card, miniature photographic or other similar process. The
parties hereto agree that any such reproduction shall be admissible in evidence as the original itself in any judicial or administrative proceeding, whether or not the original is in existence and whether or not such reproduction was made by a party
in the regular course of business, and that any enlargement, facsimile or further reproduction shall likewise be admissible in evidence. 

19. TRANSFER AGENT 

Escrow Agent is not the Transfer Agent of the Reserved Shares. When shares are required to be delivered by Escrow Agent to the Holders of
Class 6A Claims and Interests pursuant to this Agreement, delivery of the stock certificate representing the Reserved Shares shall be made by Escrow Agent to the Transfer Agent instructing such Transfer Agent to deliver Reserved Shares to Holders of
Class 6A Claims and Interests at the addresses set forth on the Notice. Escrow Agent shall have no liability for the actions or omissions of, or any delay on the part of, the Transfer Agent in connection with the foregoing except for Escrow
Agent’s own fraud, gross negligence, bad faith or willful misconduct. 
 20. WAIVER OF JURY TRIAL 

THE PARTIES HEREBY WAIVE A TRIAL BY JURY OF ANY AND ALL ISSUES ARISING IN ANY ACTION OR PROCEEDING BETWEEN THEM OR THEIR SUCCESSORS OR
ASSIGNS, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OF ITS PROVISIONS OR ANY NEGOTIATIONS IN CONNECTION THEREWITH. 
  

  

					
	ESCROW AGREEMENT	 	11	 	

 EXECUTION VERSION 

 

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

			
	 GSI GROUP INC.

		
	By:	 	 /s/ Michael Katzenstein

		 	Name: Michael Katzenstein
		 	Title: Chief Restructuring Officer

			
		
	Address:	 	125 Middlesex Turnpike
		 	Bedford, MA 01730

  

  

					
	ESCROW AGREEMENT	 	12	 	

 EXECUTION VERSION 

 

			
	 LAW DEBENTURE TRUST COMPANY OF NEW YORK

		
	By:	 	 /s/ Robert Rywkin

		 	Name:Robert Rywkin
		 	Title:Director of Fiduciary Services

			
		
	Address:	 	400 Madison Avenue
		 	4th Floor
		 	New York, NY 10017

  

  

					
	ESCROW AGREEMENT	 	13	 	

 EXECUTION VERSION 

 

 Schedule A 

Fee Schedule 

For 

Escrow Services 

Escrow Agent 
  

				
	 Acceptance Fee
	  	$	3,000

 This one time fee
includes the review of the escrow agreement and other documents relating to the Plan that apply to the reserve. 
  

				
	 Annual Administration Fee
	  	$	5,000

 This fee covers the
normal administration under the escrow including the maintenance of the agent’s records including set-up, posting, maintaining and the retention of account information, so long as the escrow remains in effect. 

Legal Counsel Fee: 

The fees and expenses of our counsel will be at cost and billed at the closing of the transaction. 

 

  

					
	ESCROW AGREEMENT	 	14

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