Document:

EX-4.10

 Exhibit 4.10 
  

 
  

CONVERTIBLE NOTE PURCHASE AGREEMENT 

by and among 
 NOAH
HOLDINGS LIMITED 
 and 

KEYWISE GREATER CHINA MASTER FUND 

Dated as of January 27, 2015 
  

 
  

 Table of Contents 

 

									
	 ARTICLE I DEFINITIONS AND INTERPRETATION
		 	1	  
				
	 Section 1.1
				Definitions		 	1	  
	 Section 1.2
				Interpretation and Rules of Construction		 	6	  
		
	 ARTICLE II PURCHASE AND SALE OF THE NOTE
		 	7	  
				
	 Section 2.1
				Sale and Issuance of Note		 	7	  
	 Section 2.2
				Closing		 	7	  
		
	 ARTICLE III REPRESENTATIONS AND WARRANTIES
		 	7	  
				
	 Section 3.1
				Representations and Warranties of the Company		 	7	  
	 Section 3.2
				Representations and Warranties of the Purchaser		 	17	  
		
	 ARTICLE IV COVENANTS
		 	18	  
				
	 Section 4.1
				Reservation of Ordinary Shares; Issuance of Ordinary Shares; Blue Sky		 	18	  
	 Section 4.2
				SEC Filings; Listing		 	19	  
	 Section 4.3
				Control Documents		 	19	  
	 Section 4.4
				Confidentiality		 	20	  
		
	 ARTICLE V INDEMNIFICATION
		 	20	  
				
	 Section 5.1
				Indemnification		 	20	  
	 Section 5.2
				Third Party Claim Procedures		 	20	  
	 Section 5.3
				Direct Claim Procedures		 	21	  
	 Section 5.4
				Limitations on Liability		 	22	  
	 Section 5.5
				No Double Recovery		 	22	  
		
	 ARTICLE VI MISCELLANEOUS
		 	22	  
				
	 Section 6.1
				No Third Party Beneficiaries		 	22	  
	 Section 6.2
				Governing Law; Selection of Forum; Submission to Jurisdiction		 	22	  
	 Section 6.3
				Counterparts		 	22	  
	 Section 6.4
				Notices		 	23	  
	 Section 6.5
				Fees and Expenses		 	23	  
	 Section 6.6
				Entire Agreement		 	23	  
	 Section 6.7
				Amendment		 	23	  
	 Section 6.8
				Waiver and Extension		 	24	  
	 Section 6.9
				Severability		 	24	  
	 Section 6.10
				Public Disclosure		 	24	  
	 Section 6.11
				Waiver of Jury Trial		 	25	  
	 Section 6.12
				Further Assurances		 	25	  
				
	 SCHEDULE 1
				SIGNIFICANT SUBSIDIARIES				
	 EXHIBIT A
				FORM OF CONVERTIBLE NOTE				
	 EXHIBIT B
				FORM OF OPINION OF COUNSEL				

  
 i 

 THIS CONVERTIBLE NOTE PURCHASE AGREEMENT (this “Agreement”) is made this 27th day of January, 2015, by and among: 
 (1) NOAH HOLDINGS LIMITED, a Cayman Islands
company (the “Company”); and 
 (2) KEYWISE GREATER CHINA MASTER FUND, a Cayman Islands exempted company (the
Purchaser”). 
 W I T N E S S E T H: 

WHEREAS, the Company desires to issue, sell and deliver to the Purchaser, and the Purchaser desires to purchase from the Company, the Note (as
defined below) pursuant to the terms and subject to the conditions of this Agreement; 
 WHEREAS, the Company and the Purchaser desire to
enter into this Agreement on the terms and conditions hereof. 
 NOW, THEREFORE, in consideration of the foregoing and the mutual
representations, warranties, covenants and agreements set forth herein, as well as other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, agree as
follows: 
 ARTICLE I 

DEFINITIONS AND INTERPRETATION 

Section 1.1 Definitions. As used herein, the following terms shall have the meanings set forth below: 

“2008 Plan” means the Company’s share incentive plan, adopted on August 19, 2008, as amended. 

“2010 Plan” means the Company’s share incentive plan, adopted on October 27, 2010. 

“ADS” means an American depositary share of the Company, two of which represent one Ordinary Share of the Company as of the
date hereof. 
 “Affiliate” means, with respect to any specified Person, any Person that controls, is controlled by, or is
under common control with such Person. For purposes of this definition, the term “control” (including the terms “controlling,” “controlled by” and “under common control with”), when used with respect to any
specified Person, means the possession, directly or indirectly, individually or together with any other Person, of the power to direct or to cause the direction of the management and policies of a Person, whether through ownership of voting
securities or other interests, by contract or otherwise. 
 “Agreement” shall have the meaning ascribed to this term in the
preamble to this Agreement. 
 “Balance Sheet” means the Company’s audited consolidated balance sheet as of
December 31, 2013 included in the Company SEC Documents. 

 “Board of Directors” means the board of directors of the Company or a committee
of such board duly authorized to act for it hereunder. 
 “Business Day” means any day that is not a Saturday, a Sunday or
other day on which banking institutions in the State of New York or the cities of Beijing, Shanghai or Hong Kong are required by Law to be closed. 

“Circular 37” means the Notice on Relevant Issues Concerning Foreign Exchange Administration for Domestic Residents to Engage
in Overseas Investment and Financing and Round Trip Investment via Special Purpose Companies issued by SAFE on July 4, 2014, as amended and supplemented from time to time, or any successor rule. 

“Closing” shall have the meaning ascribed to this term in Section 2.2(a). 

“Code” means the U.S. Internal Revenue Code of 1986. 

“Company” has the meaning ascribed thereto in the preamble hereto. 

“Company Financial Statements” shall have the meaning ascribed to this term in Section 3.1(v)(ii). 

“Company Material Adverse Effect” means any event, development, change or effect that, individually or in the aggregate, has
had or would reasonably be expected to have a material adverse effect on the business, financial condition, results of operations, assets or liabilities of the Company and its Significant Subsidiaries, taken as a whole; provided,
however, that no changes, events, circumstances or developments attributable to or resulting from any of the following shall be deemed to be, or taken into account in determining whether there has been or would reasonably be expected to be, a
Company Material Adverse Effect: (i) changes, events, circumstances or developments in or affecting general economic conditions or the securities, credit or financial markets in general (including interest rates and exchange rates),
(ii) changes, events, circumstances or developments generally affecting the industries in which any of the Company and its Significant Subsidiaries operate, (iii) changes or developments in U.S. GAAP, other applicable accounting rules or
applicable Law, or the enforcement or interpretation thereof, or changes or developments in political, regulatory or legislative conditions, (iv) changes, events, circumstances or developments resulting from any weather-related or other force
majeure event or natural disaster (including hurricane, tornado, flood, earthquake, tsunami or volcano eruption) or outbreak or escalation of hostilities or acts of war (whether or not declared) or terrorism, (v) any failure by the Company or
any of its Significant Subsidiaries to meet any internal or published projections, forecasts, estimates or projections or analysts’ expectations in respect of revenues, cash flow, earnings or other financial or operating metrics for any period
or (vi) any changes in the market price or trading volume of Ordinary Shares or ADSs or in the Company’s credit rating; provided, however, that (x) the underlying cause(s) of such change or failure shall not be excluded
in the case of clauses (v) and (vi) (unless otherwise excepted under the foregoing clauses (i) through (iv)) and (y) any changes, events, circumstances or developments referred to in clauses (i), (ii), (iii) and
(iv) shall not be excluded to the extent the same disproportionately affect (individually or together with other changes, events, circumstances or developments) the Company and its Significant Subsidiaries, taken as a whole, as compared to
other similarly situated Persons operating in the same principal industries in which the Company and its Significant Subsidiaries operate. 

  
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 “Company SEC Documents” shall have the meaning ascribed to this term in
Section 3.1(v)(i). 
 “Company Securities” shall have the meaning ascribed to this term in
Section 3.1(i)(i). 
 “Control Documents” means (i) the Exclusive Option Agreement between Shanghai Noah
Rongyao Investment Consulting Co., Ltd. (formerly known as Shanghai Fuzhou Investment Consulting Co., Ltd.) and shareholders of Noah Investment Management Co., Ltd., dated September 3, 2007, (ii) the Exclusive Support Service Contract
between Shanghai Noah Investment Management Co., Ltd. and Shanghai Noah Rongyao Investment Consulting Co., Ltd., dated September 3, 2007, (iii) the Power of Attorney issued by shareholders of Shanghai Noah Investment Management Co., Ltd.,
dated September 3, 2007, (iv) the Share Pledge Agreement between Shanghai Noah Rongyao Investment Consulting Co., Ltd. and shareholders of Noah Investment Management Co., Ltd., dated September 3, 2007, and (v) the Loan Agreement
between Jingbo Wang, Zhe Yin, Xinjun Zhang, Yan Wei, Boquan He, Qianghua Yan and Shanghai Noah Rongyao Investment Consulting Co., Ltd., dated December 26, 2013, in each case, as amended from time to time. 

“Damages” shall have the meaning ascribed to this term in Section 5.1. 

“Exchange Act” means the United States Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated
thereunder. 
 “Foreign Corrupt Practices Act” shall have the meaning ascribed to this term in
Section 3.1(h)(ii). 
 “Governmental Authority” means any federal, national, supranational, state, provincial,
local, municipal or other government, any governmental, quasi-governmental, supranational, regulatory or administrative authority (including any governmental division, department, agency, commission, instrumentality, organization, unit or body,
political subdivision, and any court or other tribunal) or any self-regulatory organization (including NYSE) with competent jurisdiction. 

“Governmental Order” means any order, writ, judgment, injunction, decree, stipulation, determination or award entered by or
with any Governmental Authority. 
 “Hong Kong” means the Hong Kong Special Administrative Region of the People’s
Republic of China. 
 “Indemnifying Party” shall have the meaning ascribed to this term in Section 5.2. 

“Information” shall have the meaning ascribed to this term in Section 4.4. 

“Intellectual Property” means all (i) trademarks, service marks, brand names, certification marks, collective marks,
d/b/a’s, Internet domain names, logos, symbols, trade dress, trade names, and other indicia of origin, all applications and registrations for the foregoing, and all goodwill associated therewith and symbolized thereby, including all renewals of
same; (ii) inventions and discoveries, whether patentable or not, and all patents and applications therefor, including provisional applications, divisions, continuations, continuations-in-part, extensions, reexaminations and reissues;
(iii) confidential information, trade secrets and know-how, including processes, schematics, business methods, formulae, drawings, prototypes, models, designs, customer lists and supplier lists; (iv) published and unpublished works of
authorship, whether copyrightable or not (including, without limitation, databases and other compilations of information), copyrights therein and thereto, and registrations and applications therefor, and all renewals, extensions, restorations and
reversions thereof; and (v) other intellectual property or proprietary rights. 

  
 3 

 “Law” means any statute, law, ordinance, regulation, rule, code, order,
judgment, writ, injunction, decree or requirement of law (including common law) enacted, issued, promulgated, enforced or entered by a Governmental Authority. 

“Lien” means, with respect to any property or asset, any mortgage, pledge, claim, security interest, easement, covenant,
restriction, reservation, defect in title, encroachment or other encumbrance, lien (choate or inchoate), charge, equity, or other restriction or limitation, whether arising by contract or under Law. 

“Material Contracts” shall have the meaning ascribed to this term in Section 3.1(p). 

“Note” means the convertible note issued to the Purchaser pursuant to Section 2.1 below, the form of which is
attached hereto as Exhibit A. 
 “NYSE” means The New York Stock Exchange. 

“Ordinary Shares” means ordinary shares of the Company, par value US$0.0005 per ordinary share. 

“Permits” shall have the meaning ascribed to this term in Section 3.1(h)(iii). 

“Person” means an individual, a corporation, a limited liability company, an association, a partnership, a joint venture, a
joint stock company, a trust, an unincorporated organization or a Governmental Authority. 
 “PRC” means the People’s
Republic of China. 
 “PRC Entities” means Shanghai Noah Investment Management Co., Ltd., Shanghai Noah Rongyao Insurance
Broker Co., Ltd., Tianjin Gopher Asset Management Co., Ltd., Gopher Asset Management Co., Ltd., Wuhu Gopher Asset Management Co., Ltd., Zhejiang Vanke Noah Assets Management Co., Ltd., and Chongqing Gopher Longxin Equity Investment Management Co.,
Ltd. 
 “Proceeding” means any action, suit, claim, litigation, arbitration, proceeding (including any civil, criminal,
administrative or appellate proceeding), hearing, investigation or public inquiry commenced, brought, conducted or heard by or before, or otherwise involving, any arbitrator, arbitration panel, court or other Governmental Authority. 

“Purchase Price” shall have the meaning ascribed to this term in Section 2.1. 

“Purchaser” or “Purchasers” shall have the meaning ascribed to this term in the preamble to this Agreement.

  
 4 

 “Purchaser Material Adverse Effect” means any event, development, change or
effect that, individually or in the aggregate, has or would reasonably be expected to materially and adversely affect the authority or ability of the Purchaser to perform their obligations under this Agreement. 

“SAFE” means the State Administration of Foreign Exchange of the PRC or its local counterparts. 

“SAFE Rules and Regulations” means, collectively, Circular 37 and any other applicable SAFE rules and regulations. 

“Sarbanes-Oxley Act” shall have the meaning ascribed to this term in Section 3.1(v)(i). 

“SEC” means the United States Securities and Exchange Commission. 

“Securities Act” means the Securities Act of 1933, as amended. 

“Significant Subsidiary” means the entities set forth in Schedule 1 hereto. 

“Subsidiary” means, as of the relevant date of determination, with respect to any Person (the “subject entity”),
(i) any Person (x) more than 50% of whose shares or other interests entitled to vote in the election of directors or (y) in respect of whom an interest in more than fifty percent (50%) of the profits or capital of such Person, is
or are owned or controlled directly or indirectly by the subject entity or through one (1) or more other Subsidiaries of the subject entity, (ii) any Person, including for the avoidance of doubt any “variable interest entity,”
whose financial statements, or portions thereof, are or are intended to be consolidated with the financial statements of the subject entity for financial reporting purposes in accordance with U.S. GAAP or (iii) any Person with respect to which
the subject entity has the sole power to control or otherwise direct the business and policies of that entity directly or indirectly through another subsidiary or otherwise. 

“Tax” means any tax, governmental fee or other like assessment or charge of any kind whatsoever (including, but not limited
to any income, capital gains, value-added, sales, service, excise, withholding, transfer, stamp or other taxes or similar charges), together with any interest, penalty, additional tax or additional amount imposed by any Taxing Authority. 

“Tax Returns” has the meaning assigned to such term in Section 3.1(o)(i). 

“Taxing Authority” means any Governmental Entity responsible for the imposition of any Tax. 

“Third Party Claim” shall have the meaning ascribed to this term in Section 5.2. 

“Transaction Documents” means this Agreement and each Note issued pursuant to the terms and conditions of this Agreement.

  
 5 

 “U.S. GAAP” means the accounting principles generally accepted in the United
States of America. 
 Section 1.2 Interpretation and Rules of Construction. In this Agreement, except to the extent otherwise
provided or that the context otherwise requires: 
 (a) The words “party” and “parties” shall be construed to mean a
party or the parties to this Agreement, and any reference to a party to this Agreement or any other agreement or document contemplated hereby shall include such party’s successors and permitted assigns. 

(b) When a reference is made in this Agreement to a Section or clause, such reference is to a Section or clause of this Agreement. 

(c) The headings for this Agreement are for reference purposes only and do not affect in any way the meaning or interpretation of this
Agreement. 
 (d) Whenever the words “include,” “includes” or “including” are used in this Agreement, they
are deemed to be followed by the words “without limitation.” 
 (e) The words “hereof,” “herein” and
“hereunder” and words of similar import, when used in this Agreement, refer to this Agreement as a whole and not to any particular provision of this Agreement. 

(f) All terms defined in this Agreement have the defined meanings when used in any certificate or other document made or delivered pursuant
hereto, unless otherwise defined therein. 
 (g) The definitions contained in this Agreement are applicable to the singular as well as the
plural forms of such terms. 
 (h) The use of “or” is not intended to be exclusive unless expressly indicated otherwise. 

(i) The term “US$” means United States Dollars. 

(j) The term “days” shall refer to calendar days. 

(k) The word “will” shall be construed to have the same meaning and effect as the word “shall.” 

(l) A reference to any legislation or to any provision of any legislation shall include any modification, amendment, re-enactment thereof,
any legislative provision substituted therefor and all rules, regulations and statutory instruments issued or related to such legislation. 

(m) References herein to any gender include the other gender. 

(n) The parties hereto have each participated in the negotiation and drafting of this Agreement and if any ambiguity or question of
interpretation should arise, this Agreement shall be construed as if drafted jointly by the parties hereto and no presumption or burden of proof shall arise favoring or burdening either party by virtue of the authorship of any of the provisions in
this Agreement or any interim drafts thereof. 

  
 6 

 ARTICLE II 

PURCHASE AND SALE OF THE NOTE 

Section 2.1 Sale and Issuance of Note. Subject to the terms and conditions of this Agreement, at the Closing, the Purchaser agrees
to purchase and the Company agrees to sell and issue to the Purchaser, a Note in the principal amount of US$5,000,000 (the “Purchase Price”). 

Section 2.2 Closing. 

(a) The consummation of the transactions described in Section 2.1 (the “Closing”) shall occur on or before
February 3, 2015, or such other time as the parties hereto shall mutually agree in writing. 
 (b) At the Closing, the Company shall
deliver to the Purchaser (i) a certificate, dated the date of the Closing, executed by a duly authorized officer of the Company, certifying that the representations and warranties of the Company contained herein are true and correct on such
date of the Closing, (ii) the Note dated the date of the Closing and registered in the name of the Purchaser, and (iii) an opinion of Cayman Islands counsel to the Company dated the date of the Closing and substantially in the form
attached hereto as Exhibit B, together against payment by the Purchaser to the Company or to its order of the Purchase Price payable by such Purchaser by wire transfer of immediately available funds to the account in the name of the Company
on the date of Closing, such payment to be evidenced by delivery by the Purchaser to the Company of a copy of the irrevocable wiring instructions or other evidence reasonably satisfactory to the Company. 

(c) The Closing shall take place at the offices of Skadden, Arps, Slate, Meagher & Flom LLP, 42/F, Edinburgh Tower, The Landmark, 15
Queen’s Road Central, Hong Kong, or at such other place as the parties hereto shall mutually agree in writing. 
 ARTICLE III

 REPRESENTATIONS AND WARRANTIES 

Section 3.1 Representations and Warranties of the Company. In connection with the transactions provided for herein, the Company
hereby represents and warrants to the Purchaser that: 
 (a) Organization, Good Standing and Qualification. The Company is an
exempted company, duly incorporated, validly existing and in good standing under the Laws of the Cayman Islands and each of the Company’s Subsidiaries is duly incorporated or organized, validly existing and in good standing (where such concept
is applicable) under the Laws of the jurisdiction of its incorporation or organization. The Company and each of its Subsidiaries has the requisite corporate power and authority to own or lease all of its properties and assets and to carry on its
business as it is now being conducted, and is duly licensed or qualified to do business in each jurisdiction in which the nature of the business conducted by it or the character or location of the properties and assets owned or leased by it makes
such licensing or qualification necessary, except where the failure so to qualify or to be in good standing would not, individually or in the aggregate, result in a Company Material Adverse Effect. 

  
 7 

 (b) Authorization. The execution, delivery and performance of each of the Transaction
Documents by the Company has been duly authorized by all necessary corporate action on the part of the Company. Each of the Transaction Documents has been duly executed and delivered by the Company and, assuming due authorization, execution and
delivery by the Purchaser, constitutes a legal, valid and binding obligation of the Company, enforceable against the Company in accordance with its terms, except as enforcement may be limited by general principles of equity, whether applied in a
court of Law or a court of equity, and by applicable bankruptcy, insolvency and similar Law affecting creditors’ rights and remedies generally. Without limiting the generality of the foregoing, no approval by the shareholders of the Company is
required in connection with the Transaction Documents, the performance by the Company of its obligations hereunder or thereunder, or the consummation by the Company of the transactions contemplated hereby or thereby. 

(c) Valid Issuance of the Note. Each of the Notes has been duly and validly authorized for issuance and sale to the Purchaser by the
Company, and when issued and delivered by the Company against payment therefor by the Purchaser in accordance with the terms of this Agreement, each of the Notes will be a legally binding and valid obligation of the Company and enforceable against
the Company in accordance with its terms, except as enforcement may be limited by general principles of equity, whether applied in a court of Law or a court of equity, and by applicable bankruptcy, insolvency and similar Law affecting
creditors’ rights and remedies generally. 
 (d) ADSs. The ADSs issued upon any conversion of the Note, when issued and
delivered in the manner contemplated by the Note: 
 (i) will have been duly authorized and validly issued and shall be
fully paid and nonassessable, and shall be free from preemptive rights and free of any Lien or adverse claim; 
 (ii) will
rank pari passu and carry the same rights and privileges in all respects as any other ADSs issued by the Company and shall be entitled to all dividends and other distributions declared, paid or made thereon; 

(iii) will not be subject to calls for further funds; 

(iv) will not constitute “restricted securities” within the meaning of Rule 144 under the Securities Act; and 

(v) will be duly listed, and admitted to trading, on the NYSE. 

in the case of clauses (iv) and (v) above, assuming (A) the truth and accuracy of the representations of the Purchaser in the
second sentence of Section 3.2(g), and (B) that such conversion occurs more than 40 days after the date of this Agreement. 

  
 8 

 (e) Restrictions. Save as provided in Section 11.3 of the Note, there are no
restrictions on transfers of the Note or the voting or transfer of any of the ADSs or Ordinary Shares or payments of dividends with respect to the ADSs or Ordinary Shares pursuant to the Company’s constitutional documents, or pursuant to any
agreement or other instrument to which the Company is a party or by which it may be bound. 
 (f) No Violation. The execution,
delivery and performance by the Company of the Transaction Documents, the issue and delivery of the ADSs upon conversion of the Notes, the carrying out of the other transactions contemplated by the Transaction Documents and the compliance by the
Company with the terms and conditions of the Note do not and will not (i) violate, conflict with or result in the breach of any provision of the memorandum and articles of association (or similar organizational documents) of the Company or any
of its Subsidiaries, (ii) subject to the truth and accuracy of the representations and warranties of the Purchaser in the second sentence of Section 3.2(g), conflict with or violate any Law or Governmental Order applicable to the
Company or any of its Subsidiaries or any of the assets, properties or businesses of the Company or any of its Subsidiaries, (iii) conflict with, result in any breach of, constitute a default (or event which with the giving of notice or lapse
of time, or both, would become a default) under, require any consent under, or give to others any rights of termination, amendment, acceleration, suspension, revocation or cancellation of, any note, bond, mortgage or indenture, contract, agreement,
lease, sublease, license, permit, franchise or other instrument or arrangement to which the Company or any of its Subsidiaries is a party or result in the creation of any Lien upon any of the properties or assets of the Company or any of its
Subsidiaries, or (iv) infringe the rules and regulations of any stock exchange on which the securities of the Company are listed, other than, in the case of clauses (ii) and (iii) above, any such conflict, violation, default,
termination, amendment, acceleration, suspension, revocation or cancellation that would not have, individually or in the aggregate, a Company Material Adverse Effect. 

(g) Governmental Consents and Approvals. Subject to the truth and accuracy of the representations and warranties of the Purchaser in
the second sentence of Section 3.2 (g), the execution, delivery and performance by the Company of the Transaction Documents do not and will not require any consent, approval, authorization or other order of, action by, filing with, or
notification to, any Governmental Authority. 
 (h) Compliance with Applicable Laws; Permits. 

(i) Each of the Company and each of its Significant Subsidiaries (A) except as set forth in the Company SEC Documents
prior to the date of this Agreement, is, and has at all times since December 31, 2013 through the date hereof been, in compliance with applicable Laws and (B) to the best knowledge of the Company, since December 31, 2013 through the
date hereof, has not received notice from any Governmental Authority alleging that the Company or any of its Significant Subsidiaries is in violation of any applicable Law, except, in the case of each of clauses (A) and (B), for such
non-compliance and violations that, individually or in the aggregate, would not reasonably be expected to materially impair the ability of the Company to consummate the transactions contemplated by this Agreement and, individually or in the
aggregate, have not had and would not reasonably be expected to have a Company Material Adverse Effect. As of the date of this Agreement, no investigation or review by any Governmental Authority with respect to the Company or any of its Significant
Subsidiaries that is reasonably expected to have a Company Material Adverse Effect is pending or, to the best knowledge of the Company, threatened, nor, to the best knowledge of the Company, has any Governmental Authority indicated an intention to
conduct the same that is reasonably expected to have a Company Material Adverse Effect. 

  
 9 

 (ii) (A) Neither the Company nor any of its Significant Subsidiaries nor
any of the Company’s or its Significant Subsidiaries’ directors, officers, agents, employees or affiliates, in their capacity as a director, officer, agent, employee or affiliate of the Company or any of its Significant Subsidiaries has
taken any action that would result in a violation by such persons of the Foreign Corrupt Practices Act of 1977, as amended, and the rules and regulations thereunder (the “Foreign Corrupt Practices Act”) and any other applicable
anti-corruption Laws to which they may be subject, (B) the Company and its Significant Subsidiaries and, to the best knowledge of the Company, its Affiliates have conducted their businesses in compliance with the Foreign Corrupt Practices Act
and any other applicable anti-corruption Laws to which they may be subject and (C) the Company and its Significant Subsidiaries have instituted and maintain policies and procedures designed to ensure, and which are reasonably expected to
continue to ensure, continued compliance therewith. 
 (iii) Except as set forth in the Company SEC Documents prior to the
date of this Agreement or, in each case as, individually or in the aggregate, has not had and would not reasonably be expected to have a Company Material Adverse Effect, (A) the Company and its Significant Subsidiaries have, and at all times
since December 31, 2013 have had and have been in compliance with, all licenses, permits, qualifications, accreditations, approvals, registrations, consents, authorizations, franchises, variances, exemptions and orders of any Governmental
Authority (collectively, the “Permits”), and have made all necessary filings required under applicable Laws, necessary to conduct the business of the Company and the Significant Subsidiaries and to own, lease and operate their
properties, (B) since December 31, 2013 through the date hereof, neither the Company nor any of its Significant Subsidiaries has received any written notice of any violation of or failure to comply with any Permit or any actual or possible
revocation, withdrawal, suspension, cancellation, termination or material modification of any Permit and (C) each such Permit has been validly issued or obtained and is in full force and effect. 

(i) Capitalization; Significant Subsidiaries. 

(i) The authorized capital stock of the Company consists of 100,000,000 Ordinary Shares, of which 28,055,302 are issued and
outstanding as of December 31, 2014. Except as set forth in this Section 3.1(i), the Company has no outstanding bonds, debentures, notes or other obligations, the holders of which have the right to vote (or which are convertible
into or exercisable for securities having the right to vote) with the shareholders of the Company on any matter. All outstanding Ordinary Shares have been duly authorized, validly issued, fully paid and nonassessable and free of preemptive rights.

 (ii) As of December 31, 2014, options to purchase 621,864 ordinary shares and 398,511 restricted shares had been
granted and were outstanding, and 1,244,019 ordinary shares have been reserved for future issuances under the 2010 Plan and 2008 Plan. There has been no change to the Company’s outstanding share capital since December 31, 2014, other than
issuance of incentive shares to the Company’s employees or the employees’ exercise or sale of vested incentive shares. 

  
 10 

 (iii) Except as set forth above in this Section 3.1(i), there are no
outstanding (A) shares of capital stock or voting securities of the Company, (B) securities of the Company convertible into or exchangeable for shares of capital stock or voting securities of the Company or (C) preemptive or other
outstanding rights, options, warrants, conversion rights, “phantom” stock rights, stock appreciation rights, redemption rights, repurchase rights, agreements, arrangements, calls, commitments or rights of any kind that obligate the Company
to issue or sell any shares of capital stock or other securities of the Company or any securities or obligations convertible or exchangeable into or exercisable for, or giving any Person a right to subscribe for or acquire, any securities of the
Company, and no securities or obligations evidencing such rights are authorized, issued or outstanding. The authorized capital stock of the Company is sufficient to accommodate any and all issuances of Ordinary Shares or ADSs upon conversion of the
Notes. 
 (iv) All outstanding shares of capital stock or other securities of the Significant Subsidiaries are duly
authorized, validly issued, fully paid and nonassessable and all such shares in the Significant Subsidiaries (except for directors’ qualifying shares or the like) are owned, directly or indirectly, by the Company free and clear of any Liens.

 (v) Other than the Significant Subsidiaries set forth on Schedule 1, there are no Subsidiaries that meet the definition
of a “significant subsidiary” in Article 1, Rule 1-02 of Regulation S-X under the Exchange Act. 
 (j) SEC Matters; Financial
Statements. 
 (i) During the three (3) years prior to the date hereof, the Company has filed or furnished, as
applicable, on a timely basis, all registration statements, proxy statements and other statements, reports, schedules, forms and other documents required to be filed or furnished by it with the SEC (all of the foregoing documents filed with or
furnished to the SEC and all exhibits included herein and financial statements, notes and schedules thereto and documents incorporated by reference therein being hereinafter referred to as the “Company SEC Documents”). None of the
Significant Subsidiaries is required to file periodic reports with the SEC pursuant to the Exchange Act. As of their respective effective dates (in the case of the Company SEC Documents that are registration statements filed pursuant to the
requirements of the Securities Act) and as of their respective SEC filing dates (in the case of all other Company SEC Documents), or in each case, if amended prior to the date hereof, as of the date of the last such amendment: (A) each of the
Company SEC Documents complied in all material respects with the applicable requirements of the Securities Act or the Exchange Act and the Sarbanes-Oxley Act of 2002, as amended, and any rules and regulations promulgated thereunder (the
“Sarbanes-Oxley Act”) applicable to the Company SEC Documents (as the case may be) and (B) none of the Company SEC Documents contained any untrue statement of a material fact or omitted to state a material fact required to be
stated therein or necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading. 

  
 11 

 (ii) The financial statements (including any related notes) contained in the
Company SEC Documents (collectively, the “Company Financial Statements”): (A) were prepared in accordance with U.S. GAAP applied on a consistent basis throughout the periods covered thereby and (B) fairly present in all
material respects the consolidated financial position and shareholders’ (deficit) equity of the Company and its Significant Subsidiaries as of the respective dates thereof and the consolidated results of operations and cash flows of the Company
and its Significant Subsidiaries for the periods covered thereby, except as disclosed therein and as permitted under the Exchange Act. 

(iii) The Company has established and maintains a system of internal control over financial reporting (as defined in Rule 13a-15 or 15d-15, as applicable, under the Exchange Act) sufficient to provide reasonable assurance regarding the reliability of financial reporting, including
policies and procedures that (A) mandate the maintenance of records that in reasonable detail accurately and fairly reflect the material transactions and dispositions of the assets of the Company, (B) provide reasonable assurance that
transactions are recorded as necessary to permit preparation of financial statements in accordance with U.S. GAAP, and that receipts and expenditures of the Company are being made only in accordance with appropriate authorizations of management and
the Board of Directors and (C) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the assets of the Company. There are no material weaknesses or significant deficiencies in
the Company’s internal controls. The Company’s auditors and the audit committee of the board of directors of the Company have not been advised of any fraud, whether or not material, that involves management or other employees who have a
significant role in the Company’s internal controls over financial reporting. Since December 31, 2013, there has been no change in the Company’s internal control over financial reporting that has materially affected, or is reasonably
likely to materially affect, the Company’s internal control over financial reporting. 
 (iv) The “disclosure
controls and procedures” (as defined in Rules 13a-15(e) or 15d-15(e), as applicable, under the Exchange Act) of the Company are designed to ensure that all material information required to be disclosed by the Company in the reports that it
files or submits under the Exchange Act is accumulated and communicated to the management of the Company as appropriate to allow timely decisions regarding required disclosure. 

(v) Neither the Company nor any of its Significant Subsidiaries is a party to, nor has any commitment to become a party to,
any joint venture, off-balance sheet partnership or any similar contract, agreement, arrangement or undertaking (including any contract, agreement, arrangement or undertaking relating to any transaction or relationship between or among one or more
of the Company and/or any of its Significant Subsidiaries, on the one hand, and any unconsolidated Affiliate, including any structured finance, special purpose or limited purpose entity or Person, on the other hand), or any “off-balance sheet
arrangements” (as defined in Item 303(a) of Regulation S-K promulgated by the SEC), where the result, purpose or intended effect of such contract, agreement, arrangement or undertaking is to avoid disclosure of any material transaction
involving, or material liabilities of, the Company or any of its Significant Subsidiaries in the Company’s or such Significant Subsidiary’s published financial statements or other Company SEC Documents. 

  
 12 

 (k) Absence of Certain Changes. Since December 31, 2013, the Company and its
Significant Subsidiaries have operated in the ordinary course of business in all material respects and , except as set forth in the Company SEC Documents or as contemplated by the Transaction Documents, there has not been:. 

(i) any amendment of any term of any outstanding security of the Company or any of its Subsidiaries; 

(ii) any damage, destruction or loss (whether or not covered by insurance) materially and adversely affecting the
Company’s and its Subsidiaries’ properties or assets when taken as a whole; 
 (iii) any sale, assignment or
transfer, or any agreement to sell, assign or transfer, any material asset, liability, property, obligation or right of the Company or any Subsidiary to any Person, in each case other than in the ordinary course of business and consistent with past
practice; 
 (iv) any incurrence of material indebtedness by the Company; 

(v) any purchase or acquisition of, or agreement, plan or arrangement to purchase or acquire, any material property, rights or
assets other than in the ordinary course of business of the Company; 
 (vi) any waiver of any material rights or claims of
the Company or any of its Subsidiaries; or 
 (vii) a Company Material Adverse Effect. 

(l) No Undisclosed Liabilities. Except as has not had, and would not reasonably be expected to have, individually or in the aggregate,
a Company Material Adverse Effect, neither the Company nor any of its Significant Subsidiaries has any liabilities or obligations of a type required to be reflected on a balance sheet in accordance with U.S. GAAP other than (i) liabilities or
obligations disclosed and provided for in the Company Financial Statements or in the notes thereto, (ii) liabilities or obligations that have been incurred by the Company or its Significant Subsidiaries since December 31, 2013 in the
ordinary course of business or (iii) liabilities or obligations arising under or in connection with the transactions contemplated by this Agreement. 

(m) Litigation. 

(i) As of the date of this Agreement, there is no pending Proceeding, and, to the best knowledge of the Company, since
December 31, 2013 through the date hereof, no Person has threatened to commence any Proceeding: (A) against or affecting the Company or any of its Significant Subsidiaries or any director or officer thereof (in their capacity as such) or
any of their respective properties or assets, in each case, as would have, if decided adversely, individually or in the aggregate, a Company Material Adverse Effect or (B) that challenges, or would reasonably be expected to have the effect of
making illegal, restraining, enjoining or otherwise prohibiting or preventing the transactions contemplated by this Agreement. 

  
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 (ii) There is no Governmental Order in effect to which the Company or any of its
Significant Subsidiaries is a party or subject which materially interferes with the business of the Company and its Significant Subsidiaries as currently conducted, taken as a whole. 

(n) Ownership Of Assets. 

(i) The Company and its Significant Subsidiaries have good and marketable title to all of the property and assets purported to
be owned by them in the Company SEC Documents free and clear of any Liens, except for Liens as set forth in the Company SEC Documents prior to the date of this Agreement or as would not, individually or in the aggregate, materially affect the
continued use of the property for the purposes for which the property is currently being used. 
 (ii) All of the leases and
subleases material to the business of the Company and its Significant Subsidiaries, taken as a whole, are in full force and effect, and neither the Company nor any such Significant Subsidiary has any notice of any material claim of any sort that has
been asserted by anyone materially adverse to the rights of the Company or any Significant Subsidiary of the Company under any of such lease or sublease, or materially affecting or questioning the rights of the Company or such Significant Subsidiary
to the continued possession of the leased or subleased property under any such lease or sublease. 
 (o) Taxes. 

(i) Except as adequately disclosed in the Company SEC Documents, all material federal, national, state, local and foreign Tax
returns of the Company and its Significant Subsidiaries required by any Taxing Authority or law to be filed through the date hereof have been filed (collectively, the “Tax Returns”) and all Taxes shown by such Tax Returns or
otherwise assessed, which are due and payable, have been timely paid, except assessments against which appeals have been or will be promptly taken in good faith and as to which adequate reserves have been provided for in the Balance Sheet. All Tax
Returns filed by the Company and its Significant Subsidiaries are true and complete in all material respects. In connection with any acquisition by Company or any of its Significant Subsidiaries prior to the date hereof, (A) the Company and its
Significant Subsidiaries have performed, in all material respects, its obligations thereof pursuant to applicable Laws, rules and regulations, including any rules or regulations promulgated by any Taxing Authority, relating to Tax; and (B) all
relevant Tax Returns and other material filings required by any Taxing Authority or law to be filed in respect of any such acquisitions have been filed. 

(ii) No dispute, audit, investigation, proceeding or claim concerning any Tax liability of the Company or any Significant
Subsidiary of the Company is pending, being conducted or has been raised by any Taxing Authority in writing, and to the best knowledge of the Company, no such dispute, audit, investigation, proceeding, or claim has been threatened. 

  
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 (iii) Except as adequately disclosed in the Company SEC Documents, there is no
Tax deficiency that has been asserted, or, to the best knowledge of the Company, could reasonably be expected to be asserted, against the Company or any of its Significant Subsidiaries or any of their respective material properties or assets. The
charges, accruals and reserves recorded in the Balance Sheet in respect of any Tax liability for any years not finally determined are adequate as of December 31, 2013, in all material respects, to meet any assessments or re-assessments for
additional Tax for any years not finally determined. 
 (p) Material Contracts. The Company has filed as exhibits to the Company SEC
Documents all contracts, agreements and instruments (including all amendments thereto) that are required to be filed in the Company SEC Documents (the “Material Contracts”). Each Material Contract is in full force and effect,
enforceable against the Company or its Significant Subsidiaries as party thereto. To the best knowledge of the Company, each Material Contract is enforceable against each other party thereto, except where such failures to be in effect or enforceable
would not, individually or in the aggregate, reasonably be expected to have a Company Material Adverse Effect. The Company and its Significant Subsidiaries and, to the best knowledge of the Company, each other party thereto, are not in default
under, or in breach or violation of, any Material Contract in any material respect. 
 (q) Control Documents. 

(i) Each of the Control Documents has been authorized, executed and delivered by the parties thereto, and constitutes valid
and binding obligations of the parties thereto, enforceable against such parties in accordance with its terms, except as enforcement may be limited by general principles of equity, whether applied in a court of Law or a court of equity, and by
applicable bankruptcy, insolvency and similar Law affecting creditors’ rights and remedies generally. 
 (ii) The
financial statements of each of the PRC Entities are consolidated with those of the other members of the Group in accordance with US GAAP. 

(r) SAFE Compliance. To the Company’s knowledge, (i) each holder or beneficial owner of Ordinary Shares (whether or not
represented by ADSs) who is a “domestic resident” (as set forth in Circular 37) and subject to any of the registration or reporting requirements under applicable SAFE Rules and Regulations, has complied with such reporting and/or
registration and subsequent registration amendment requirements and other procedures under the SAFE Rules and Regulations with respect to its investment in the Company, (ii) neither the Company nor any such holder has received any oral or
written inquiries, notifications, orders or any other forms of official correspondence from SAFE or any of its local branches with respect to any actual or alleged non-compliance with the SAFE Rules and Regulations, and (iii) the Company and
each such holder have made all oral or written filings, registrations, reporting or any other communications required by SAFE or any of its local branches applicable thereto. 

(s) Insurance. The Company and its Significant Subsidiaries have insurance covering their respective properties, operations, personnel
and businesses, which insurance is in such amounts and insures against such losses and risks as are reasonably customary given the nature of the business of the Company and its Significant Subsidiaries and the geographical markets in which they
operate. 

  
 15 

 (t) Intellectual Property. The Company and its Significant Subsidiaries own, or possess
the right to use, all of the Intellectual Property, licenses, permits and other authorizations that are reasonably necessary for the operation of their business, without conflict with the rights of any other Person, except for failures to so own, or
so possess the right to use, that would not have a Company Material Adverse Effect. To the best knowledge of the Company, no slogan or other advertising device, product, process, method, substance, part or other material now employed, or now
contemplated to be employed, by the Company or any of its Significant Subsidiaries infringes upon any rights held by any other Person, except for such infringements that would not have a Company Material Adverse Effect. No claim or litigation
regarding any of the foregoing is pending or, to the best knowledge of the Company, threatened, which, either individually or in the aggregate, could reasonably be expected to have a Company Material Adverse Effect. 

(u) Solvency. At and immediately after the Closing, the Company and its Significant Subsidiaries (i) will be solvent (in that
both the fair value of its assets will not be less than the sum of its debts and that the present fair saleable value of its assets will not be less than the amount required to pay its probable liability on its recourse debts as they mature or
become due), (ii) will have adequate capital and liquidity with which to engage in its businesses as currently conducted and as described in the Company SEC Documents and (iii) will be able to realize upon its assets any pay its debts as
they become absolute and matured. Neither the Company nor any of its Subsidiaries is, immediately prior to this Agreement, or will be, at the time of the Closing after giving effect to the Closing, in default in the payment of any indebtedness or in
default under any agreement governing or creating any indebtedness for borrowed money or obligations evidenced by bonds, debentures, notes or similar instruments. 

(v) Listing Matters. The Company is in compliance with the applicable listing and corporate governance rules and regulations of the
NYSE. The Company and its Significant Subsidiaries have taken no action designed to, or reasonably likely to have the effect of, delisting the ADSs from the NYSE. The Company has not received any notification that the SEC or the NYSE is
contemplating suspending or terminating such listing (or the applicable registration under the Exchange Act related thereto). 
 (w)
Investment Company. The Company is not, and after giving effect to the issuance and sale of the Notes and the application of the proceeds therefrom will not be, an “investment company” within the meaning of the Investment Company
Act of 1940, as amended. 
 (x) Offering. 

(i) Subject to the truth and accuracy of the representations and warranties of the Purchaser in the second sentence of
Section 3.2 (g), the offer, sale and issuance of the Notes are exempt from the registration requirements of the Securities Act and none of the Notes is required to be qualified under the Trust Indenture Act of 1939. 

(ii) None of the Company, its Significant Subsidiaries or their respective Affiliates or any person acting on its or their
behalf have engaged in any “directed selling efforts” within the meaning of Rule 903 of Regulation S under the Securities Act or any form of general solicitation or general advertising within the meaning of Rule 502(c) under the Securities
Act with respect to the Notes. 

  
 16 

 (y) Brokers’ Fees. There is no investment banker, broker, finder or other
intermediary which has been retained by or is authorized to act on behalf of the Company or any of its Significant Subsidiaries who might be entitled to any fee or commission in connection with the transactions contemplated by the Transaction
Documents. 
 (z) No Additional Representations. The Company acknowledges that the Purchaser makes no representations or warranties
as to any matter whatsoever except as expressly set forth in this Agreement or in any certificate delivered by the Purchaser to the Company in accordance with the terms hereof. 

Section 3.2 Representations and Warranties of the Purchaser. In connection with the transactions provided for herein, the
Purchaser hereby represents and warrants to the Company that: 
 (a) Existence and Power. The Purchaser is duly incorporated,
validly existing and in good standing under the Laws of its jurisdiction of organization. 
 (b) Authorization. The execution,
delivery and performance of the Transaction Documents by the Purchaser have been duly authorized by all necessary corporate action on its part. This Agreement has been duly executed and delivered by the Purchaser and, assuming due authorization,
execution and delivery by the Company, constitutes a legal, valid and binding obligation of the Purchaser, enforceable against the Purchaser in accordance with its terms, except as enforcement may be limited by general principles of equity, whether
applied in a court of Law or a court of equity, and by applicable bankruptcy, insolvency and similar Law affecting creditors’ rights and remedies generally. Without limiting the generality of the foregoing, no approval by its shareholders is
required in connection with this Agreement, the performance by it of its obligations hereunder, or the consummation by the Purchaser of the transactions contemplated hereby. 

(c) Purchase Entirely for Own Account. The Purchaser is acquiring its Note for investment for its own account and not with a view to
the distribution thereof in violation of the Securities Act. The Purchaser acknowledges that it can bear the economic risk of its investment in its Note, and has such knowledge and experience in financial or business matters that it is capable of
evaluating the merits and risks of the investment in its Note. 
 (d) No Violation. The execution, delivery and performance by the
Purchaser of this Agreement does not and will not (i) violate, conflict with or result in the breach of any provision of its memorandum and articles of association (or similar organizational documents), (ii) subject to the truth and
accuracy of the representations and warranties of the Company in Section 3.1(x), conflict with or violate any Law or Governmental Order applicable to it or any of its assets, properties or businesses or (iii) conflict with, result
in any breach of, constitute a default (or event which with the giving of notice or lapse of time, or both, would become a default) under, require any consent under, or give to others any rights of termination, amendment, acceleration, suspension,
revocation or cancellation of, any note, bond, mortgage or indenture, contract, agreement, lease, sublease, license, permit, franchise or other instrument or arrangement to which it is a party or result in the creation of any Liens upon any of its
properties or assets, other than, in the case of clauses (ii) and (iii) above, any such conflict, violation, default, termination, amendment, acceleration, suspension, revocation or cancellation that would not have, individually or in the
aggregate, a Purchaser Material Adverse Effect. 

  
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 (e) Governmental Consents and Approvals. Subject to the truth and accuracy of the
representations and warranties of the Company in Section 3.1(x), the execution, delivery and performance by the Purchaser of this Agreement do not and will not require any consent, approval, authorization or other order of, action by,
filing with, or notification to, any Governmental Authority. 
 (f) Legend. The Purchaser understands that the certificate
representing its Note will bear a legend to the following effect: 
 “THIS NOTE AND THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR UNDER ANY OTHER SECURITIES LAWS. THIS NOTE AND THE SECURITIES REPRESENTED HEREBY ARE SUBJECT TO RESTRICTIONS ON TRANSFERABILITY AND RESALE AND
MAY NOT BE TRANSFERRED OR RESOLD EXCEPT AS PERMITTED UNDER THE SECURITIES ACT AND OTHER APPLICABLE SECURITIES LAWS, PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM. HOLDERS SHOULD BE AWARE THAT THEY MAY BE REQUIRED TO BEAR THE FINANCIAL RISKS OF
THIS INVESTMENT FOR AN INDEFINITE PERIOD OF TIME.” 
 (g) Private Placement. The Purchaser understands that (i) its Note
has not been registered under the Securities Act or any state securities Laws, by reason of its issuance by the Company in a transaction exempt from the registration requirements thereof and (ii) its Note may not be sold unless such disposition
is registered under the Securities Act and applicable state securities Laws or is exempt from registration thereunder. The Purchaser represents that it is not a U.S. person and is located outside of the United States, as such terms are defined in
Rule 902 of Regulation S under the Securities Act. 
 (h) No Additional Representations. The Purchaser acknowledges that the Company
makes no representations or warranties as to any matter whatsoever except as expressly set forth in the Transaction Documents or in any certificate delivered by the Company to the Purchaser in accordance with the terms hereof and thereof. 

ARTICLE IV 
 COVENANTS

 Section 4.1 Reservation of Ordinary Shares; Issuance of Ordinary Shares; Blue Sky. 

(a) For as long as any Notes remain outstanding, the Company shall at all times reserve and keep available, free from preemptive rights of
other Persons, Liens or adverse claims out of its authorized but unissued Ordinary Shares or Ordinary Shares held in treasury by the Company, for the purpose of effecting the conversion of the Notes, the full number of Ordinary Shares represented by
the ADSs issuable upon the conversion of all Notes (after giving effect to all anti-dilution adjustments) then outstanding and shall ensure that it maintains the effectiveness of its registration statement on Form F-6 for registration of ADSs in an
amount sufficient to represent such Ordinary Shares. All ADSs issued upon conversion of the Notes shall represent newly issued shares or shares held in treasury by the Company, shall have been duly authorized and validly issued and shall be fully
paid and nonassessable, and shall be free from preemptive rights and free of any Lien or adverse claim. 

  
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 (b) The Company shall, on or before the Closing, take such action as necessary in order to
obtain an exemption for or to qualify the issuance of the Notes under applicable foreign or U.S. securities or “blue sky” Laws (or to obtain an exemption from such qualification). The Company shall make all filings and reports relating to
the offer and sale of the Notes and the issuance of ADSs upon conversion of the Notes required under such Laws following the Closing. 

Section 4.2 SEC Filings; Listing. The Company shall (a) timely file with the SEC, within the time periods specified in the
SEC’s rules and regulations, including Rule 12b-25, all financial information and other reports required to be filed with the SEC, and any other information required to be filed with the SEC, (b) not terminate its status as an issuer
required to file reports under the Exchange Act even if the Exchange Act or the rules and regulations thereunder would otherwise permit such termination, and (c) maintain the ADSs’ authorization for listing on the NYSE and shall not, and
shall cause its Significant Subsidiaries not to, take any action which would be reasonably expected to result in the delisting or suspension from trading of the ADSs on the NYSE. 

Section 4.3 Control Documents. 

(a) The Company shall use its best efforts to procure each shareholder of each PRC Entity to ensure that (i) each party to the Control
Documents fully performs its obligations thereunder, and carries out the terms and the intent of the Control Documents, and (ii) each shareholder of each PRC Entity shall act for the benefit of the Company. Any termination, or material
modification or waiver of, or material amendment to any Control Documents shall require the written consent of the Purchaser (which consent shall not be unreasonably withheld or delayed). If any of the Control Documents becomes illegal, void or
unenforceable under PRC Laws after the date hereof, the parties hereto shall devise a feasible alternative legal structure reasonably satisfactory to the Purchaser, which gives effect to the intentions of the parties in each Control Document and the
economic arrangement thereunder as closely as possible. 
 (b) The Company shall institute and keep in place such arrangements as are
reasonably satisfactory to the Purchaser such that the Company (i) will at all times control the operations of each of its Significant Subsidiaries, and (ii) will at all times be permitted to consolidate the financial results for each of
its Significant Subsidiaries in the consolidated financial statements for the Company prepared under U.S. GAAP. 

  
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 Section 4.4 Confidentiality. Each party to this Agreement will hold, and will cause
its respective Affiliates and their directors, officers, employees, agents, consultants and advisors to hold, in strict confidence, unless disclosure to a regulatory authority is necessary or appropriate in connection with any necessary regulatory
approval or unless disclosure is required by judicial or administrative process or by other requirement of Law or the applicable requirements of any regulatory agency or relevant stock exchange, all non-public records, books, contracts, instruments,
computer data and other data and information (collectively, “Information”) concerning the other parties furnished to it by such other parties or their representatives pursuant to this Agreement (except to the extent that such
information can be shown to have been (a) previously known by such party on a non-confidential basis, (b) in the public domain through no fault of such party or (c) later lawfully acquired from other sources on a non-confidential
basis by the party to which it was furnished), and no party shall release or disclose such Information to any other person, except its Affiliates, officers, directors, employees, partners, members, auditors, attorneys, financial advisors, other
consultants and advisors or in connection with any legal action, suit or proceeding with respect to obligations, liabilities or any other matter arising out of or in connection with the Transaction Documents or the transactions contemplated therein.

 ARTICLE V 

INDEMNIFICATION 

Section 5.1 Indemnification. The Company hereby indemnifies and holds harmless the Purchaser, its Affiliates and its directors,
officers, employees, agents, successors and assigns against and from any and all damage, loss, liability, diminution in value and expense (including reasonable expenses of investigation and reasonable attorneys’ fees and expenses)
(“Damages”), incurred or suffered by the Indemnified Parties arising out of any fraud, misrepresentation or breach of representation or warranty or breach of covenants by such party under this Agreement. 

Section 5.2 Third Party Claim Procedures. 

(a) The Party seeking indemnification under Section 5.1 (the “Indemnified Party”) agrees to give
reasonably prompt notice in writing to the party against whom indemnity is sought (the “Indemnifying Party”) of the assertion of any claim or the commencement of any suit, action or proceeding by any third party (“Third
Party Claim”) in respect of which indemnity may be sought under Section 5.1. Such notice shall set forth in reasonable detail such Third Party Claim and the basis for indemnification (taking into account the information then
available to the Indemnified Party). The failure to so notify the Indemnifying Party shall not relieve the Indemnifying Party of its obligations hereunder, except to the extent such failure shall have actually materially and adversely prejudiced the
Indemnifying Party. 
 (b) The Indemnifying Party shall be entitled to participate in the defense of any Third Party Claim and, subject to
the limitations set forth in this Section 5.2, shall be entitled to control and appoint lead counsel (that is reasonably satisfactory to the Indemnified Party) for such defense, in each case at its own expense; provided that prior to
assuming control of such defense, the Indemnifying Party must (i) acknowledge in writing that it would have an indemnity obligation to the Indemnified Party for the Damages resulting from such Third Party Claim and (ii) furnish the
Indemnified Party with reasonable evidence that the Indemnifying Party has adequate resources to defend the Third Party Claim and fulfill its indemnity obligations hereunder. 

  
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 (c) The Indemnifying Party shall not be entitled to assume or maintain control of the defense of
any Third Party Claim and shall pay the reasonable fees, costs and expenses of counsel retained by the Indemnified Party if (i) the Indemnifying Party does not deliver the acknowledgment referred to in Section 5.2(b) within thirty
(30) days of receipt of notice of the Third Party Claim pursuant to Section 5.2(a), (ii) the Third Party Claim relates to or arises in connection with any criminal proceeding, action, indictment, allegation or investigation,
(iii) the Indemnified Party reasonably believes an adverse determination with respect to the Third Party Claim would be materially detrimental to the reputation or future business prospects of the Indemnified Party or any of its Affiliates,
(iv) the Third Party Claim seeks an injunction or equitable relief against the Indemnified Party or any of its Affiliates or (v) the Indemnifying Party has failed or is failing to prosecute or defend the Third Party Claim vigorously and
prudently. 
 (d) If the Indemnifying Party shall assume the control of the defense of any Third Party Claim in accordance with the
provisions of Section 5.2(b), the Indemnifying Party shall obtain the prior written consent of the Indemnified Party (which shall not be unreasonably withheld) before entering into any settlement of such Third Party Claim if the
settlement does not expressly unconditionally release the Indemnified Party and its Affiliates from all liabilities and obligations with respect to such Third Party Claim or the settlement imposes injunctive or other equitable relief against the
Indemnified Party or any of its Affiliates. 
 (e) In circumstances where the Indemnifying Party is controlling the defense of a Third
Party Claim in accordance with Section 5.2(b), the Indemnified Party shall be entitled to participate in the defense of any Third Party Claim and to employ separate counsel of its choice for such purpose, in which case the fees, costs
and expenses of such separate counsel shall be borne by the Indemnified Party; provided that Indemnifying Party shall pay the fees, costs and expenses of such separate counsel of the Indemnified Party if (i) incurred by the Indemnified Party
prior to the date the Indemnifying Party assumes control of the defense of the Third Party Claim, (ii) representation of both the Indemnifying Party and the Indemnified Party by the same counsel would create a conflict of interest or
(iii) the Indemnified Party shall have reasonably concluded that there may be legal defenses available to it which are different from or additional to those available to the Indemnifying Party. 

(f) Each party shall reasonably cooperate, and cause their respective Affiliates to reasonably cooperate, in the defense or prosecution of
any Third Party Claim. 
 Section 5.3 Direct Claim Procedures. In the event an Indemnified Party has a claim for indemnity under
Section 5.1 against the Indemnifying Party that does not involve a Third Party Claim, the Indemnified Party agrees to give notice in writing of such claim to the Indemnifying Party. Such notice shall set forth in reasonable detail such
claim and the basis for indemnification (taking into account the information then available to the Indemnified Party). The failure to so notify the Indemnifying Party shall not relieve the Indemnifying Party of its obligations hereunder, except to
the extent such failure shall have actually materially and adversely prejudiced the Indemnifying Party. If the Indemnifying Party does not notify the Indemnified Party within thirty (30) days following the receipt of a notice with respect to
any such claim that the Indemnifying Party disputes its indemnity obligation to the Indemnified Party for any Damages with respect to such claim, such Damages shall be conclusively deemed a liability of the Indemnifying Party and the Indemnifying
Party shall promptly pay to the Indemnified Party any and all Damages arising out of such claim. If the Indemnifying Party has timely disputed its indemnity obligation for any Damages with respect to such claim, the parties shall proceed in good
faith to negotiate a resolution of such dispute and, if not resolved through such negotiations, such dispute shall be resolved in accordance with Section 6.2. 

  
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 Section 5.4 Limitations on Liability. Notwithstanding the foregoing, and in each
case, other than with respect to fraud, the Company shall have no liability (for indemnification or otherwise) with respect to any Damages incurred or suffered by the Purchaser in excess of the Purchase Price paid by the Purchaser. 

Section 5.5 No Double Recovery. No Indemnifying Party shall be required to be compensate any Indemnified Party more than once in
respect of the same Damage. 
 ARTICLE VI 

MISCELLANEOUS 

Section 6.1 No Third Party Beneficiaries. This Agreement shall be binding upon and inure solely to the benefit of the parties
hereto and their respective successors and permitted assigns and nothing herein, express or implied, is intended to or shall confer upon any other Person any legal or equitable right, benefit or remedy of any nature whatsoever, except as expressly
provided in this Agreement. Notwithstanding anything to the contrary in this Agreement, the Purchaser shall be entitled to assign any or all of its rights under this Agreement to any of its Affiliates without the Company’s consent. 

Section 6.2 Governing Law; Selection of Forum; Submission to Jurisdiction. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN
ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. The Company irrevocably consents and agrees, for the benefit of the Purchaser, that any legal action, suit or proceeding against it with respect to obligations, liabilities or any other matter
arising out of or in connection with the Transaction Documents or the transactions contemplated therein may be brought in the courts of the State of New York or the courts of the United States located in the Borough of Manhattan, New York City, New
York and hereby (a) irrevocably consents and submits to the non-exclusive jurisdiction of each such court in personam, generally and unconditionally with respect to any action, suit or proceeding for itself in respect of its properties, assets
and revenues, (b) waives, to the fullest extent permitted by Law, any objection which it may now or hereafter have to the laying of venue of any of the aforesaid actions, suits or proceedings arising out of or in connection with the Transaction
Documents or the transactions contemplated therein brought in any such court, and (c) waives and agrees not to plead or claim in any such court that any such action, suit or proceeding brought in any such court has been brought in an
inconvenient forum. 
 Section 6.3 Counterparts. This Agreement may be signed in any number of counterparts, each of which shall
be deemed an original, but all of which together shall constitute one and the same instrument. 

  
 22 

 Section 6.4 Notices. All notices, requests, claims, demands and other communications
hereunder shall be in writing and shall be deemed duly given, made or received (i) on the date of delivery if delivered in person, (ii) on the date of confirmation of receipt of transmission by facsimile or other form of electronic
delivery (provided confirmation of transmission is mechanically or electronically generated and kept on file by the sending party) or (iii) three (3) Business Days after deposit with an internationally recognized express courier
service to the respective parties hereto at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this Section 6.4): 

If to the Company, to: 
 NOAH
HOLDINGS LIMITED 
 No. 32 Qinhuangdao Road, Building C 

Shanghai 200082, People’s Republic of China 

Attention: Chief Financial Officer 

Facsimile: (86) 21 3860-2320 

with a copy to: 
 Skadden, Arps,
Slate, Meagher & Flom LLP 
 42/F, Edinburgh Tower, The Landmark 

15 Queen’s Road Central 

Hong Kong 
 Attention: Z. Julie
Gao 
 Facsimile: +852 3740 4727 

If to the Purchaser, to: 

KEYWISE GREATER CHINA MASTER FUND 

4004-06 Cosco Tower, 
 183
Queen’s Road Central, 
 Hong Kong 

Attention: Fang Zheng 

Facsimile: +852 2815 7992 

Section 6.5 Fees and Expenses. Each party hereto shall pay all of its own fees and expenses (including attorneys’ fees)
incurred in connection with this Agreement and the transactions contemplated hereby, provided that the Company shall pay any and all (a) documentary, stamp or similar issue or transfer Tax due on (i) the issue of the Notes at
Closing and (ii) the issue of ADSs upon conversion of the Notes and (b) fees and expenses of the listing of the ADSs issued upon conversion of the Note on the NYSE (or the principal U.S. national or regional securities exchange on which
the ADSs are traded at the time of such conversion) 
 Section 6.6 Entire Agreement. The Transaction Documents and the other
documents delivered pursuant hereto constitute the entire agreement between the parties with respect to the subject matter of this Agreement and supersede all prior agreements and understandings, both oral and written, between the parties and/or
their Subsidiaries and Affiliates with respect to the subject matter of this Agreement. 
 Section 6.7 Amendment. Any provision
of this Agreement may be amended if, but only if, such amendment is in writing and is duly executed and delivered by or on behalf of each of the parties hereto. 

  
 23 

 Section 6.8 Waiver and Extension. Any party to this Agreement may (a) extend the
time for the performance of any of the obligations or other acts of the other party, (b) waive any inaccuracies in the representations and warranties of the other party contained herein or in any document delivered by the other party pursuant
hereto or (c) waive compliance with any of the agreements of the other party or conditions to such party’s obligations contained herein. Any such extension or waiver shall be valid only if set forth in an instrument in writing signed by
the party to be bound thereby. No waiver of any representation, warranty, agreement, condition or obligation granted pursuant to this Section 6.8 or otherwise in accordance with this Agreement shall be construed as a waiver of any prior
or subsequent breach of such representation, warranty, agreement, condition or obligation or any other representation, warranty, agreement, condition or obligation and no waiver of any condition granted pursuant to this Section 6.8 or
otherwise in accordance with this Agreement shall be construed as a waiver of any representation, warranty, agreement or covenant to which such condition relates. The failure of any party hereto to assert any of its rights hereunder shall not
constitute a waiver of any of such rights. 
 Section 6.9 Severability. If any term or other provision of this Agreement is held
to be invalid, illegal or incapable of being enforced under any applicable Law or any Governmental Order, such term or other provision shall be excluded from this Agreement and all other terms and provisions of this Agreement shall nevertheless
remain in full force and effect for so long as the economic or legal substance of the transactions contemplated by this Agreement is not affected in any manner materially adverse to either party hereto. Upon such determination that any term or other
provision is invalid, illegal or incapable of being enforced, the Company and the Purchaser shall negotiate together in good faith to modify this Agreement so as to effect the original intent of both the Company and the Purchaser as closely as
possible in an acceptable manner in order that the transactions contemplated by this Agreement are consummated as originally contemplated to the greatest extent possible. 

Section 6.10 Public Disclosure. Without limiting any other provision of this Agreement, the Purchaser and the Company shall
consult with the other and issue a press release with respect to the execution of the Transaction Documents and the transactions contemplated thereby. Thereafter, neither the Company nor the Purchaser, nor any of their respective Subsidiaries, shall
issue any press release or other public announcement or communication (to the extent not previously publicly disclosed or made in accordance with this Agreement) with respect to the transactions contemplated hereby or thereby without the prior
written consent of the other party (such consent not to be unreasonably withheld, conditioned or delayed), except to the extent a party’s counsel deems such disclosure necessary in order to comply with any Law or the regulations or policies of
any securities exchange or other similar regulatory body (in which case the disclosing party shall give the other parties notice as promptly as is reasonably practicable of any required disclosure to the extent permitted by applicable Law), shall
limit such disclosure to the information such counsel advises is required to comply with such Law or regulations, and if reasonably practicable, shall consult with the other party regarding such disclosure and give good faith consideration to any
suggested changes to such disclosure from the other party. Notwithstanding anything to the contrary in this Section 6.10, the Purchaser and the Company may make public statements in response to specific questions by the press, analysts,
investors or those attending industry conferences or financial analyst conference calls, so long as any such statements are not materially inconsistent with previous press releases, public disclosures or public statements made by the Company or the
Purchaser and do not reveal material, non-public information regarding the other parties or the transactions contemplated by this Agreement. 

  
 24 

 Section 6.11 Waiver of Jury Trial. EACH OF THE COMPANY AND THE PURCHASER HEREBY
IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THE TRANSACTION DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED THEREBY. 

Section 6.12 Further Assurances. From time to time, each party hereto shall execute and deliver to the other party hereto such
additional documents and shall provide such additional information to such other party as such other party may reasonably require to carry out the terms of the Transaction Documents. 

[The rest of this page has deliberately been left blank] 

  
 25 

 IN WITNESS WHEREOF, the parties have caused their duly authorized representatives to execute this
Agreement as of the date first above written. 
  

			
	NOAH HOLDINGS LIMITED
		
	By:		 /s/ Jingbo Wang

	Name:		Jingbo Wang
	Capacity:		Chairman and Chief Executive Officer

  

			
	KEYWISE GREATER CHINA MASTER FUND
		
	By:		 /s/ Fang Zheng

	Name:		Fang Zheng
	Capacity:		Director

 [Signature Page to Purchase Agreement] 

 SCHEDULE 1 

SIGNIFICANT SUBSIDIARIES 

Principal Subsidiaries 
 Kunshan Noah Xingguan
Investment Management Co., Ltd. 
 Noah Commercial Factoring Co., Ltd. 

Noah Financial Express (Wuhu) Microfinance Co., Ltd. 
 Noah
Group Honest Asia Limited 
 Noah Holdings (Hong Kong) Limited 

Shanghai Noah Rongyao Investment Consulting Co., Ltd. 
 Shanghai
Noah Financial Services Co., Ltd. 
 Shanghai Rongyao Information Technology Co., Ltd. 

Tianjin Noah Wealth Management Consulting Co., Ltd 

Principal Operating Entities 
 Gopher Asset
Management Co., Ltd. 
 Gopher Noble (Shanghai) Asset Management Co., Ltd. 

Noah Upright (Shanghai) Fund Investment Consulting Co., Ltd. 

Shanghai Gopher Asset management Co., Ltd. 
 Shanghai Gopher
Blue Ray Investment Management Co., Ltd. 
 Shanghai Noah Investment Management Co., Ltd. 

Shanghai Noah Rongyao Insurance Broker Co., Ltd. 
 Tianjin
Gopher Asset Management Co., Ltd. 
 Wuhu Gopher Asset Management Co., Ltd. 

Zhejiang Vanke Noah Assets Management Co., Ltd. 

Schedule 1 

 Schedule of Material Differences among Convertible Note Purchase Agreements 

Noah Holdings Limited entered into three convertible note purchase agreements in connection with the convertible notes issued on
February 3, 2015. The convertible note purchase agreement filed herein is by and between Noah Holdings Limited and Keywise Greater China Master Fund dated January 27, 2015 (the “Keywise Agreement”). 

The material details in which the remaining two convertible note purchase agreement differ from the Keywise Agreement are set forth below:

  

	 	1.	Convertible note purchase agreement by and among Noah Holdings Limited and Greenwoods China Alpha Master Fund, Golden China Master Fund and Golden China Plus Master Fund dated January 26, 2015: 

 

	 	a.	The aggregate purchase price under the agreement is US$50 million. 

  

	 	2.	Convertible note purchase agreement by and among Noah Holdings Limited and Gaoling Fund, L.P. and YHG Investment, L.P. dated January 26, 2015: 

 

	 	a.	The aggregate purchase price under the agreement is US$25 million.BIIB-2015.3.31-EX10.1

Exhibit 10.1

BIOGEN INC.
2006 NON-EMPLOYEE DIRECTORS EQUITY PLAN
(Approved by stockholders on May 25, 2006; as amended through March 27, 2015)
1.  Purpose; Establishment. 
The Biogen 2006 Non-Employee Directors Equity Plan is intended to encourage ownership of shares of Common Stock by Non-Employee Directors of the Company and its Affiliates, and to provide an additional incentive to those directors to promote the success of the Company and its Affiliates. The Plan has been adopted and approved by the Board of Directors, and became effective on the Effective Date. 
2.  Definitions. 
As used in the Plan, the following definitions apply to the terms indicated below: 
(a) “Affiliate” shall have the meaning set forth in Rule 12b-2 under Section 12 of the Exchange Act. 
(b) “Agreement” shall mean either the written or electronic agreement between the Company and a Participant or a written or electronic notice from the Company to a Participant evidencing an Award. 
(c) “Award” shall mean any Option, Restricted Stock, Restricted Stock Unit, Dividend Equivalent Rights, Stock Appreciation Right or Other Award granted pursuant to the terms of the Plan. 
(d) “Beneficial Owner” shall have the meaning set forth in Section 13(d) of the Exchange Act. 
(e) “Board of Directors” or “Board” shall mean the Board of Directors of the Company. 
(f) “Certificate” shall mean either a physical paper stock certificate or electronic book entry or other electronic form of account entry evidencing the ownership of shares of Restricted Stock or shares of Common Stock acquired upon exercise, vesting or settlement, as the case may be, of Awards other than Restricted Stock. 
(g) “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time, and any regulations promulgated thereunder. 
(h) “Committee” shall mean the committee appointed to administer the Plan pursuant to Section 3. 
(i) “Company” shall mean Biogen Inc., a Delaware corporation. 
(j) “Common Stock” shall mean the common stock of the Company, par value $0.0005 per share. 

1

(k) “Continuing Director” shall mean, as of any date of determination, any member of the Board who (a) was a member of the Board on the Effective Date or (b) becomes a member of the Board subsequent to the Effective Date and was appointed, nominated for election or elected to the Board with the approval of a majority of the Continuing Directors who were members of the Board at the time of such appointment, nomination or election, provided that a director whose initial assumption of office is in connection with an actual or threatened election contest will not be considered a Continuing Director unless and until (i) such director has served on the Board for at least two years and (ii) the most recent reelection of such director has been approved by a majority of the Continuing Directors in office at the time of such approval.
(l) A “Corporate Change in Control” shall be deemed to have occurred upon the first of the following events: 
		
	(i)
	an event in which any Person, is or becomes the Beneficial Owner, together with all Affiliates and associates (as such terms are used in Rule 12b-2 of the General Rules and Regulations under the Exchange Act) of such Person, directly or indirectly, of securities of the Company representing 50% or more of the combined voting power of the Company’s then outstanding securities;

		
	(ii)
	the consummation of the merger or consolidation of the Company with any other company, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity) more than 50%  of the combined voting power of the voting securities of the Company or such surviving entity outstanding immediately after such merger; or

		
	(iii)
	at any time the Continuing Directors do not constitute a majority of the Board (or, if applicable, the board of directors of a successor to the Company).

Notwithstanding the foregoing, in any case where the occurrence of a Corporate Change in Control could affect the vesting of or payment under an Award subject to the requirements of Section 409A of the Code, to the extent required to comply with Section 409A of the Code, the term “Corporate Change in Control” shall mean an occurrence that both (i) satisfies the requirements set forth above in this definition and (ii) is a “change in control event” as that term is defined in the regulations under Section 409A of the Code.
(m) A “Corporate Transaction” shall be deemed to have occurred upon the first of the following events: (i) a consolidation, merger or similar transaction or series of related transactions, including a sale or other disposition of stock, in which the Company (or an Affiliate) is not the surviving corporation or which results in the acquisition of all or substantially all of the then outstanding Common Stock by a single person or entity or by a group of persons and/or entities acting in concert; (ii) a sale or transfer of all or substantially all of the Company’s assets; or (iii) a dissolution or liquidation of the Company. Where a Corporate Transaction involves a tender offer that is reasonably expected to be followed by a merger described in clause (i) as determined by the Committee, the Corporate Transaction shall be deemed to have occurred upon consummation of the tender offer.

2

Notwithstanding the foregoing, in any case where the occurrence of a Corporate Transaction could affect the vesting of or payment under an Award subject to the requirements of Section 409A of the Code, to the extent required to comply with Section 409A of the Code, the term “Corporate Transaction” shall mean an occurrence that both (i) satisfies the requirements set forth above in this definition and (ii) is a “change in control event” as that term is defined in the regulations under Section 409A of the Code.
(n) A “Disability” shall exist for purposes of the Plan if a Participant is entitled to receive benefits under the applicable long-term disability program of the Company or an Affiliate of the Company, or, if no such program is in effect with respect to such Participant, if the Participant has become totally and permanently disabled within the meaning of Section 22(e)(3) of the Code. 
(o) “Dividend Equivalent Rights” shall mean a right, granted in connection with an Award, to receive dividends (which may or may not be made subject to restrictions or forfeiture conditions, as determined by the Committee) upon the payment of a dividend with respect to the Common Stock underlying the Award, which dividends will be held in escrow until all restrictions or conditions to the vesting of the Common Stock underlying the Award have lapsed.  Any escrowed dividends may, in the Committee’s discretion, be reinvested or deemed reinvested in Common Stock as of the dividend payment date. 
(p) “Effective Date” shall mean May 25, 2006, the date that the Company's stockholders approved the Plan. 
(q) “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended from time to time. 
(r) “Fair Market Value” of the Common Stock shall be calculated as follows: (i) if the Common Stock is listed on a national securities exchange and sale prices are regularly reported for the Common Stock, then the Fair Market Value shall be the closing selling price for the Common Stock reported on the applicable composite tape or other comparable reporting system on the applicable date, or if the applicable date is not a trading day, on the most recent trading day immediately prior to the applicable date; or (ii) if closing selling prices are not regularly reported for the Common Stock as described in clause (i) above, but bid and asked prices for the Common Stock are regularly reported, then the Fair Market Value shall be the arithmetic mean between the closing or last bid and asked prices for the Common Stock on the applicable date or, if the applicable date is not a trading day, on the most recent trading day immediately prior to the applicable date; or (iii) if prices are not regularly reported for the Common Stock as described in clauses (i) or (ii) above, then the Fair Market Value shall be such value as the Committee in good faith determines. 
(s) “For Cause” shall mean any act of: (i) fraud or intentional misrepresentation, or (ii) embezzlement, misappropriation or conversion of assets or opportunities of the Company or any Affiliate. The determination of the Committee as to the existence of circumstances warranting a termination For Cause shall be conclusive. 
(t) “Non-Employee Director” has the meaning set forth in Section 5. 

3

(u) “Nonqualified Stock Option” shall mean an Option that is not an “incentive stock option” within the meaning of Section 422 of the Code, or any successor provision. 
(v) “Option” shall mean an option to purchase shares of Common Stock granted pursuant to Section 7. 
(w) “Other Award” shall mean an Award granted pursuant to Section 10. 
(x) “Participant” shall mean a Non-Employee Director to whom an Award is granted pursuant to the Plan. 
(y) “Person” shall have the meaning given in Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof, except that such term shall not include: (i) the Company or any of its Affiliates, (ii) a trustee or other fiduciary holding securities under an employee benefits plan of the Company or any of its Affiliates, (iii) an underwriter temporarily holding securities pursuant to an offering of such securities or (iv) a corporation or other business entity owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of stock of the Company. 
(z) “Plan” shall mean the Biogen Inc. 2006 Non-Employee Directors Equity Plan (formerly the Biogen Idec Inc. 2006 Non-Employee Directors Equity Plan), as amended from time to time.
(aa) “Restricted Stock” shall mean a share of Common Stock which is granted pursuant to the terms of Section 8 and which may not be in any manner transferred or disposed of (such restrictions being known as the “Transfer Restrictions”) prior to the applicable Vesting Date. 
(bb) “Restricted Stock Unit” means a unit granted pursuant to Section 8 that represents the right to receive the Fair Market Value of one share of Common Stock, which is payable in cash or Common Stock, as specified in the applicable Agreement, and which may or may not be subject to forfeiture restrictions. 
(cc) “Retirement” as to any Participant shall mean such person's leaving the Board under the following circumstances: (i) as of the annual stockholders meeting that occurs in the year in which the Participant reaches age 75, or (ii) upon the completion of such person's current term provided he or she has provided the Board with at least six months prior written notice of retirement, but not including a Participant's termination For Cause, as determined by the Committee. Notwithstanding the foregoing, a Participant elected to the Board other than at an annual stockholders meeting shall not be eligible for Retirement pursuant to clause (ii) of this Section 2(cc) until the completion of a term for which such Participant is elected to serve by the stockholders at an annual stockholders meeting. 
(dd) “Rule 16b-3” shall mean Rule 16b-3 promulgated under the Exchange Act, as amended from time to time. 
(ee) “Stock Appreciation Right” shall mean the right to receive an amount equal to the excess of the Fair Market Value of a share of Common Stock (as determined on the date of exercise) over: (i) if the Stock Appreciation Right is not related to an Option, the Fair Market Value of a share of Common Stock on the date the Stock Appreciation Right was granted, or (ii) if the Stock Appreciation Right is related to an Option, the exercise price of the related Option, subject to such further terms and conditions as are provided under Section 9. 

4

(ff) “Transaction” has the meaning set forth in Section 4(c).  
(gg) “Vesting Date” shall mean the date established by the Committee on which an Award shall vest. 
3.  Administration of the Plan. 
The Plan shall be administered by the Board of Directors, or by a committee of the Board which shall consist of two or more persons each of whom, unless otherwise determined by the Board, is (a) a “non-employee director” within the meaning of Rule 16b-3 and (b) an “independent director” as defined in Nasdaq Stock Market Rules. References in the Plan to the “Committee” shall mean the Board or any such committee. The Committee shall have the authority in its sole and absolute discretion, subject to and not inconsistent with the express provisions of the Plan, to administer the Plan and to exercise all the powers and authorities either specifically granted to it under the Plan or necessary or advisable in the administration of the Plan, including, without limitation: (1) the authority to grant Awards, (2) to determine the type and number of Awards to be granted, the number of shares of Common Stock to which an Award may relate and the terms, conditions and restrictions relating to any Award, (3) to determine whether, to what extent, and under what circumstances an Award may be settled, cancelled, forfeited, exchanged, or surrendered, (4) to construe and interpret the Plan and any Award, (5) to prescribe, amend and rescind rules and regulations relating to the Plan, (6) to determine the terms and provisions of Agreements, and (7) to make all other determinations deemed necessary or advisable for the administration of the Plan. 
The Committee may, in its sole and absolute discretion, without amendment to the Plan, waive or amend the operation of Plan provisions respecting exercise after termination of Board service and, except as otherwise provided herein, adjust any of the terms of any Award. The Committee may also (a) accelerate the date on which any Award granted under the Plan becomes exercisable or (b) accelerate the Vesting Date or waive or adjust any condition imposed hereunder with respect to the vesting or exercisability of an Award, provided that the Committee determines that such acceleration, waiver or other adjustment is necessary or desirable in light of extraordinary circumstances. Notwithstanding the foregoing, no Award outstanding under the Plan may be repriced, regranted through cancellation or otherwise amended to reduce the exercise price applicable thereto (other than with respect to adjustments made in connection with a Transaction or other change in the Company's capitalization) without the approval of the Company's stockholders. In addition, no Award shall provide a “reload” feature pursuant to which the Participant would receive an automatic grant of additional Awards to replace the shares of Common Stock surrendered to exercise an Award, and no Option shall be exercisable prior to the applicable Vesting Date for shares of Common Stock subject to repurchase by the Company, upon a termination of Board service prior to such Vesting Date, for the exercise price paid by the Participant. 
4.  Stock Subject to the Plan. 

5

(a) Shares Available for Awards.  Subject to the provisions of Sections 4(b), 4(c) and 4(d) hereof, the maximum number of shares of Common Stock reserved for issuance under the Plan shall be 1,600,000 shares. Such shares may be authorized but unissued Common Stock or authorized and issued Common Stock held in the Company's treasury.  The grant of any Award other than an Option or a Stock Appreciation Right shall, for purposes of this Section 4(a), reduce the number of shares of Common Stock available for issuance under the Plan by one and one-half (1.5) shares of Common Stock for each such share actually subject to the Award. The grant of an Option or a Stock Appreciation Right shall be deemed, for purposes of this Section 4(a), as an Award of one share of Common Stock for each such share actually subject to the Award. 
(b) Adjustment for Change in Capitalization.  In the event that any dividend or other distribution is declared (whether in the form of cash, Common Stock, or other property), or there occurs any recapitalization, reclassification, stock split, reverse stock split, reorganization, merger, consolidation, spin-off, combination, repurchase, or share exchange, or other similar corporate transaction or event, then, unless otherwise determined by the Committee in its sole and absolute discretion with respect to dividends or distributions of cash or other non-stock property, (1) the number and kind of shares of stock which may thereafter be issued in connection with Awards, (2) the number and kind of shares of stock or other property issued or issuable in connection with outstanding Awards, (3) the exercise price, grant price or purchase price relating to any outstanding Awards, and (4) the limits on Awards under Section 6(b) shall be equitably adjusted as necessary to prevent the dilution or enlargement of the rights of Participants. 
(c) Adjustment for Change or Exchange of Shares for Other Consideration.  In the event that outstanding shares of Common Stock shall be changed into or exchanged for any other class or series of capital stock or cash, securities or other property pursuant to a recapitalization, reclassification, reorganization, merger, consolidation, spin-off, combination, repurchase, or share exchange, or other similar corporate transaction or event (“Transaction”), then, unless otherwise determined by the Committee in its sole and absolute discretion, (1) each outstanding Option shall thereafter become exercisable for the number and/or kind of capital stock, and/or the amount of cash, securities or other property so distributed, into which the shares of Common Stock subject to the Option would have been changed or exchanged had the Option been exercised in full prior to such Transaction, provided that, if necessary, the provisions of the Option shall be appropriately adjusted so as to be applicable to any shares of capital stock, cash, securities or other property thereafter issuable or deliverable upon exercise of the Option, and (2) each outstanding Award that is not an Option and that is not automatically changed in connection with the Transaction shall represent the number and/or kind of capital stock, and/or the amount of cash, securities or other property so distributed, into which the shares of Common Stock covered by the outstanding Award would have been changed or exchanged had they been held by a stockholder of the Company. 
(d) Reuse of Shares.  Any shares subject to an Award that remain unissued upon the cancellation, surrender, exchange or termination of such Award for any reason whatsoever shall again become available for Awards in an amount determined in accordance with the share counting formulas set forth in Section 4(a), except that the exercise of a Stock Appreciation Right shall not be deemed to result in unissued shares, even if fewer shares are issued than the number of shares in which the Award was denominated.  

6

5.  Eligibility. 
The persons who shall be eligible to receive Awards pursuant to the Plan shall be limited to: (i) those individuals who are first elected as non-employee Board members after the Effective Date, whether by the Company's stockholders or by the Board, and (ii) those individuals who continue to serve as non-employee Board members after such Effective Date, whether or not they commenced Board service prior to such Effective Date. In no event, however, shall any non-employee Board member be eligible to participate in the Plan unless such individual is an “independent director” as defined in Nasdaq Stock Market Rules. Each non-employee Board member eligible to participate in the Plan pursuant to the foregoing criteria shall be designated an eligible “Non-Employee Director” for purposes of the Plan. 
6.  Awards Under the Plan; Agreement. 
(a) General.  The Committee may grant Options, shares of Restricted Stock, Restricted Stock Units, Stock Appreciation Rights and Other Awards pursuant to Section 6(b), in such amounts and with such terms and conditions as the Committee shall determine, subject to the provisions of the Plan, and may provide for Dividend Equivalent Rights with respect to any Award. Each Award granted under the Plan shall be evidenced by an Agreement which shall contain such provisions as the Committee may in its sole discretion deem necessary or desirable, which are not in conflict with the terms of the Plan. By accepting an Award, a Participant thereby agrees that the Award shall be subject to all of the terms and provisions of the Plan and the applicable Agreement. 
(b) Awards.  Awards shall be granted as specified below.  
(i) Initial Grant.  Each individual who is first elected as a Non-Employee Director, whether by the Company's stockholders or by the Board, on or after the Effective Date, may be granted, on the date of such initial election, one or more Awards (defined as the “Initial Grant”), the amount and type of which shall be determined by the Committee consistent with the provisions of the Plan, provided that the number of shares of Common Stock subject to such Initial Grant shall not exceed 35,000 shares in the aggregate (calculated as described in subsection (iv) below). Initial Grants shall vest ratably in equal annual installments on each of the first three anniversaries of the date of grant. 
(ii) Annual Grant.  On the date of each annual stockholders meeting, commencing with the 2006 annual meeting, each individual who is at the time serving as a Non-Employee Director shall be granted one or more Awards (defined as the “Annual Grant”), the amount and type of which shall be determined by the Committee consistent with the provisions of the Plan, provided that the number of shares of Common Stock subject to such Annual Grant shall not exceed 17,500 shares in the aggregate (calculated as described in subsection (iv) below). An individual elected as a Non-Employee Director other than at an annual meeting of stockholders shall receive, on the date of such election, a pro rata portion of the Annual Grant made at the preceding annual stockholders meeting based on the number of days from the date of election to the next annual meeting of stockholders, divided by 365. Annual Grants shall fully vest on the first anniversary of the date of grant or over such longer period and in such increments as the Committee may otherwise determine. 

7

(iii) Non-Executive Chairman Grants.  Upon election as Non-Executive Chairman of the Board of Directors on or after the Effective Date, a Non-Employee Director may be granted, on the date of such election, one or more Awards (defined as the “Supplemental Initial Grant”), the amount and type of which shall be determined by the Committee consistent with the provisions of the Plan, provided that the number of shares of Common Stock subject to such an individual's Initial Grant and Supplemental Initial Grant shall not exceed 50,000 shares in the aggregate (calculated as described in subsection (iv) below). On the date of each annual stockholders meeting commencing with the 2006 annual meeting, any Non-Employee Director then serving as Non-Executive Chairman of the Board of Directors shall be granted one or more Awards (defined as the “Supplemental Annual Grant”), the amount and type of which shall be determined by the Committee consistent with the provisions of the Plan, provided that the number of shares of Common Stock subject to such an individual's Annual Grant and Supplemental Annual Grant shall not exceed 30,000 shares in the aggregate (calculated as described in subsection (iv) below). A Non-Employee Director elected as Non-Executive Chairman of the Board other than at an annual meeting of stockholders shall receive, on the date of such election, a pro rata portion of the Supplemental Annual Grant. Supplemental Initial Grants shall vest ratably in equal annual installments on each of the first three anniversaries of the date of grant, and Supplemental Annual Grants shall fully vest on the first anniversary of the date of grant. 
(iv) Share Equivalents.  For purposes of applying the limits on the number of shares of Common Stock which may be subject to Awards made pursuant to Initial Grants, Supplemental Initial Grants, Annual Grants and Supplemental Annual Grants under this Section 6(b): (A) the grant of any Award other than an Option or a Stock Appreciation Right shall be treated as an Award of one and one-half (1.5) shares of Common Stock for each such share actually subject to the Award, and (B) the grant of an Option or a Stock Appreciation Right shall be treated as an Award of one share of Common Stock for each such share actually subject to the Award. 
7.  Options. 
(a) Identification of Options.  Each Option shall be a Nonqualified Stock Option and shall state the number of shares of the Common Stock to which it pertains. 
(b) Exercise Price.  Each Agreement with respect to an Option shall set forth the amount (the “option exercise price”) payable by the Participant to the Company upon exercise of the Option. The option exercise price per share shall be equal to the Fair Market Value of the Common Stock on the date of grant. 
(c) Term and Exercise of Options.  
(i) Each Option shall become exercisable at the time or times determined by the Committee as set forth in the applicable Agreement, consistent with the provisions of the Plan. The expiration date of each Option shall be ten (10) years from the date of the grant thereof, or at such earlier time as the Committee shall expressly state in the applicable Agreement. 

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(ii) An Option shall be exercised by delivering notice as specified in the Agreement on the form of notice provided by the Company. The option exercise price shall be payable upon the exercise of the Option. It shall be payable in one of the following forms: (A) in United States dollars in cash or by check, (B) if permitted by the Committee, in shares of Common Stock that have been held by the Participant (or a permitted transferee of such person) for at least six months and having a Fair Market Value as of the date of exercise equal to the aggregate option exercise price, (C) at the discretion of the Committee, in accordance with a cashless exercise program established with a securities brokerage firm, or (D) at the discretion of the Committee, by any combination of (A), (B) and (C) above, or (E) by such other method as the Committee may, in its discretion, permit. 
(iii) Certificates for shares of Common Stock purchased upon the exercise of an Option shall be issued in the name of or for the account of the Participant, or other person entitled to receive such shares, and delivered to the Participant or such other person as soon as practicable following the effective date on which the Option is exercised. 
(iv) Notwithstanding anything to the contrary in this Plan, on the last day on which an Option is exercisable in accordance with the Plan and the terms of the Award, if the exercise price of the Option is less than the Fair Market Value of the Common Stock on that day, the stock option will be deemed to have been exercised on a net share settlement basis at the close of business on that day. As promptly as practicable thereafter, the Company will deliver to the Participant the number of shares underlying the Option less the number of shares having a Fair Market Value on the date of the deemed exercise equal to the aggregate exercise price for the Option. 
(d) Effect of Termination of Board Service.  
(i) Except as may otherwise be determined by the Committee (A) in the event that the Participant’s Board service shall terminate on account of the Retirement, death or Disability of the Participant, each Option granted to such Participant that is outstanding as of the date of such termination shall become fully vested and exercisable, and (B) in the event that the Participant’s Board service shall terminate for any reason other than Retirement, death or Disability, each Option that is not exercisable as of the date of such termination shall be cancelled at the time of such termination.   
(ii) In the event that the Participant’s Board service shall terminate for any reason other than For Cause, each Option granted to such Participant, to the extent that it is or becomes exercisable at the time of such termination, shall remain exercisable by the Participant (or, in the event of the Participant’s death while such Option is still outstanding, by the Participant’s legal representatives, heirs or legatees) for the three-year period following such termination (or for such other period as may be provided by the Committee), but in no event following the expiration of its term. 
(iii) In the event of the termination of the Participant’s Board service For Cause, each outstanding Option granted (including any portion of the Option that is then exercisable) to such Participant shall be cancelled as of the commencement of business on the date of such termination. 

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8.  Restricted Stock; Restricted Stock Units. 
(a) Price.  At the time of the grant of shares of Restricted Stock, the Committee shall determine the price, if any, to be paid by the Participant for each share of Restricted Stock subject to the Award. 
(b) Vesting Date.  Provided that all conditions to the vesting of a share of Restricted Stock imposed pursuant to Section 6(b) are satisfied, and except as provided in Section 8(g), upon the occurrence of the Vesting Date with respect to a share of Restricted Stock, such share shall vest and the Transfer Restrictions shall lapse. Provided that all conditions to the vesting of a Restricted Stock Unit imposed pursuant to Section 6(b) are satisfied, and except as provided in Section 8(g), upon the occurrence of the Vesting Date with respect to a Restricted Stock Unit, such Restricted Stock Unit shall vest and become non-forfeitable; provided, however, that the payment with respect to such Restricted Stock Unit shall be made in a manner that complies with the requirements of Section 409A of the Code. 
(c) Dividends.  Any dividends paid on shares of Restricted Stock will be held in escrow until all restrictions or conditions to the vesting of such shares have lapsed.  Any escrowed dividends may, in the Committee’s discretion, be reinvested or deemed reinvested in Common Stock as of the dividend payment date. 
(d) Issuance of Certificates.  Following the date of grant with respect to shares of Restricted Stock, or the settlement of a Restricted Stock Unit payable in Common Stock, the Company shall cause to be issued a Certificate, registered in the name of or for the account of the Participant to whom such shares were granted, evidencing such shares. In the case of an Award of Restricted Stock, each such Certificate shall bear the following legend or substantially similar restrictive account legend:  “The transferability of this Certificate and the shares of stock represented hereby are subject to the restrictions, terms and conditions (including forfeiture provisions and restrictions against transfer) contained in or imposed pursuant to the Biogen Inc. 2006 Non-Employee Directors Equity Plan.”  Such legend shall not be removed until such shares vest pursuant to the terms hereof.  Each Certificate issued pursuant to this Section 8(d) in connection with a grant of Restricted Stock shall be held by the Company or its designee prior to the applicable Vesting Date, unless the Committee determines otherwise. 
(e) Consequences of Vesting of Restricted Stock.  Upon the vesting of a share of Restricted Stock pursuant to the terms hereof, the Transfer Restrictions shall lapse with respect to such share. Following the date on which a share of Restricted Stock vests, the Company shall cause to be delivered to the Participant to whom such shares were granted (or a permitted transferee of such person), a Certificate evidencing such share, free of the legend set forth in Section 8(d). 
(f) Settlement of Restricted Stock Units.  The settlement of Restricted Stock Units may occur or commence when all vesting conditions applicable to the Restricted Stock Units have been satisfied, or it may be deferred in accordance with such terms and conditions as the Committee may specify, subject to compliance with Section 409A of the Code. 

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(g) Effect of Termination of Board Service.  In the event that the Participant's Board service shall terminate for any reason other than (i) Retirement, (ii) death or (iii) Disability, each unvested grant of Restricted Stock or Restricted Stock Units shall be forfeited at the time of such termination (except as may be otherwise determined by the Committee). In the event that the Participant's Board service shall terminate on account of Retirement, death or Disability of the Participant, each grant of Restricted Stock and Restricted Stock Units that is outstanding as of the date of Retirement, death or Disability shall become fully vested. 
9.  Stock Appreciation Rights. 
(a) A Stock Appreciation Right may be granted in connection with an Option, either at the time of grant or at any time thereafter during the term of the Option, or may be granted unrelated to an Option. At the time of grant of a Stock Appreciation Right, the Committee may impose such restrictions or conditions to the exercisability of the Stock Appreciation Right as it, in its absolute discretion, deems appropriate. The term of a Stock Appreciation Right granted without relationship to an Option shall not exceed ten years from the date of grant. 
(b) A Stock Appreciation Right related to an Option shall require the holder, upon exercise, to surrender such Option with respect to the number of shares as to which such Stock Appreciation Right is exercised, in order to receive payment of any amount computed pursuant to Section 9(d). Such Option will, to the extent surrendered, then cease to be exercisable. 
(c) Subject to Section 9(d)(i), and to such rules and restrictions as the Committee may impose, a Stock Appreciation Right granted in connection with an Option will be exercisable at such time or times, and only to the extent that a related Option is exercisable, and will not be transferable except to the extent that such related Option may be transferable. 
(d) Subject to Section 9(f), the exercise of a Stock Appreciation Right related to an Option will entitle the holder to receive payment of an amount determined by multiplying: 
(i) the excess of the Fair Market Value of a share of Common Stock on the date of exercise of such Stock Appreciation Right over the exercise price of the related Option, by 
(ii) the number of shares as to which such Stock Appreciation Right is exercised. 
(e) The maximum number of shares underlying a Stock Appreciation Right granted without relationship to an Option shall be set forth in the applicable Award Agreement. A Stock Appreciation Right granted without relationship to an Option will entitle the holder to receive payment, subject to Section 9(f), of an amount determined by multiplying: 
(i) the excess of the Fair Market Value of a share of Common Stock on the date of exercise of such Stock Appreciation Right over the Fair Market Value of a share of Common Stock on the date the Stock Appreciation Right was granted or such greater amount as may be set forth in the applicable Agreement, by 
(ii) the number of shares as to which such Stock Appreciation Right is exercised. 

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(f) Notwithstanding subsections (d) and (e) above, the Committee may place a limitation on the amount payable upon exercise of a Stock Appreciation Right. Any such limitation must be determined as of the date of grant and noted in the applicable Award Agreement. 
(g) Payment of the amount determined under subsections (d) and (e) above may be made solely in whole shares of Common Stock valued at their Fair Market Value on the date of exercise of the Stock Appreciation Right or alternatively, in the sole discretion of the Committee, solely in cash or a combination of cash and shares of Common Stock. If the Committee decides that payment of the amount determined under subsections (d) and (e) above may be made shares of Common Stock, and the amount payable results in a fractional share, payment for the fractional share will be made in cash. The payment with respect to any Stock Appreciation Right shall be made in a manner that complies with the requirements of Section 409A of the Code. 
(h) Other than with respect to an adjustment described in Section 4(b) or 4(c), in no event shall the exercise price with respect to a Stock Appreciation Right be reduced following the grant of such Stock Appreciation Right, nor shall the Stock Appreciation Right be cancelled in exchange for a replacement Stock Appreciation Right with a lower exercise price. 
(i) Effect of Termination of Board Service.  
(i) In the event that the Participant's Board service shall terminate on account of the Retirement of the Participant, each Stock Appreciation Right granted to such Participant that is outstanding as of the date of such termination shall become fully exercisable and shall remain exercisable for the three year period following such termination (or for such other period as may be provided by the Committee), but in no event following the expiration of its term. 
(ii) In the event that the Participant's Board service shall terminate on account of the death of the Participant, each Stock Appreciation Right granted to such Participant that is outstanding as of the date of death shall become fully exercisable and shall remain exercisable by the Participant's legal representatives, heirs or legatees for the one year period following the date of death (or for such other period as may be provided by the Committee), but in no event following the expiration of its term. 
(iii) In the event that the Participant's Board service shall terminate on account of the Disability of the Participant, each Stock Appreciation Right granted to such Participant that is outstanding as of the date of such termination shall become fully vested and shall remain exercisable by the Participant (or such Participant's legal representatives) for the one year period following such termination (or for such other period as may be provided by the Committee), but in no event following the expiration of its term. 
(iv) In the event of the termination of a Participant's Board service For Cause, each outstanding Stock Appreciation Right granted (including any portion of the Stock Appreciation Right that is then exercisable) to such Participant shall be cancelled at the commencement of business on the date of such termination.  
(v) In the event that the Participant's Board service shall terminate for any reason other than (A) Retirement, (B) death, (C) Disability or (D) For Cause, each Stock Appreciation Right granted to such Participant, to the extent that it is exercisable at the time of such termination, shall remain exercisable for the six month period following such termination (or for such other period as may be provided by the Committee), but in no event following the expiration of its term. Each Stock Appreciation Right that remains unexercisable as of the date of such a termination shall be cancelled at the time of such termination (except as may be otherwise determined by the Committee). 

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(vi) In the event of the Participant's death within six months following the Participant's termination of Board service other than For Cause, each Stock Appreciation Right granted to such Participant that is vested and outstanding as of the date of death shall remain exercisable by the Participant's legal representatives, heirs or legatees for the one year period following the date of death (or for such other period as may be provided by the Committee), but in no event following the expiration of its term. 
10.  Other Awards. 
(a) General.  Other Awards valued in whole or in part by reference to, or otherwise based on, Common Stock may be granted either alone or in addition to other Awards under the Plan. Subject to the provisions of Section 6(b), the Committee shall have sole and complete authority to determine the number of shares of Common Stock to be granted pursuant to such Other Awards and all other terms and conditions of such Other Awards. 
(b) Payment of Non-Employee Directors' Fees in Securities.  In addition to the Awards authorized under Section 6(b), and only to the extent permitted by the Committee, a Non-Employee Director may elect to receive his or her annual retainer payments and/or meeting fees from the Company in the form of Awards under the Plan by completing the procedures prescribed by the Committee. Such Awards shall be issued under the Plan. The terms and the number of Awards to be granted to Non-Employee Directors in lieu of annual retainers and/or meeting fees under this Section 10 shall be determined by the Committee. 
11.  Effect of a Corporate Transaction. 
(a) Options and Stock Appreciation Rights.  In the event of a Corporate Transaction, the Committee shall, prior to the effective date of the Corporate Transaction, as to each outstanding Option and Stock Appreciation Right under the Plan, take one or more of the following actions: (i) make appropriate provisions for the Options and Stock Appreciation Rights to be assumed by the successor corporation or its parent or be replaced with a comparable option or stock appreciation right to purchase shares of the capital stock of the successor corporation or its parent; (ii) upon reasonable prior written notice to the Participants provide that all Options and Stock Appreciation Rights must be exercised prior to a specified date and, to the extent unexercised as of such specified date, such Options and Stock Appreciation Rights will terminate (all Options and Stock Appreciation Rights having been made fully exercisable as set forth below in this Section 11); or (iii) terminate all Options and Stock Appreciation Rights in exchange for, in the case of Options, a cash payment equal to the excess of the then aggregate Fair Market Value of the shares subject to such Options over the aggregate exercise prices thereof, or in the case of Stock Appreciation Rights, the amount otherwise payable on exercise of such Stock Appreciation Rights pursuant to Section 9 (all Options and Stock Appreciation Rights having been made fully exercisable as set forth below in this Section 11). Without limiting the generality of Sections 4(b) and 4(c) hereof, each outstanding Option and Stock Appreciation Right under the Plan which is assumed in connection with a Corporate Transaction, or is otherwise to continue in effect, shall be appropriately adjusted, immediately after such Corporate Transaction, to apply and pertain to the number and class of securities which would have been issued, in consummation of such Corporate Transaction, to an actual holder of the same number of shares of the Common Stock as are subject to such Option or Stock Appreciation Right immediately prior to such Corporate Transaction. Appropriate adjustments shall also be made to the option exercise price payable per share pursuant to the Option, provided the aggregate option exercise price payable for such securities pursuant to the Option shall remain the same, and the basis for calculating the amount payable on exercise of the Stock Appreciation Right pursuant to Section 9. 

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(b) Awards other than Options and Stock Appreciation Rights.  In the event of a Corporate Transaction, the Committee shall, prior to the effective date of the Corporate Transaction, as to each outstanding Award (other than an Option or Stock Appreciation Right) under the Plan take one or more of the following actions: (i) make appropriate provisions for the Awards to be assumed by the successor corporation or its parent, or be replaced with a comparable award with respect to the successor corporation or its parent; (ii) provide that such Awards shall be fully vested and settled prior to such Corporate Transaction; or (iii) terminate all such Awards in exchange for a cash payment equal to the then aggregate Fair Market Value of the shares of Common Stock and cash payments subject to such Award (all Awards having been made fully vested as set forth below in this Section 11). 
(c) Involuntary Termination.  If at any time within two years of the effective date of a Corporate Transaction there is an Involuntary Termination with respect to a Participant's continued service as a Non-Employee Director of the successor corporation or its parent, each then outstanding Award assumed or replaced under this Section 11 and held by such Participant (or a permitted transferee of such person) shall, upon the occurrence of such Involuntary Termination, automatically accelerate so that each such Award shall become fully vested or exercisable, as applicable, immediately prior to such Involuntary Termination. Upon the occurrence of an Involuntary Termination with respect to a Participant, any outstanding Option or Stock Appreciation Right held by such Participant (and a permitted transferee of such person) shall be exercisable within one year of the Involuntary Termination or, if earlier, within the originally prescribed term of the Option or Stock Appreciation Right. An “Involuntary Termination” as to a Participant shall mean the termination of the Participant's Board service other than (1) because of termination For Cause, (2) on account of the Participant's voluntary resignation or (3) on account of the Participant's choosing not to seek reelection; provided, however, that for purposes of the Plan, a termination of Board service, at the request of the Board, where such termination is in connection with a reduction of the number of members of the Board (and not in connection with a replacement of the terminating member) shall be treated as an Involuntary Termination. 
(d) Other Adjustments.  The class and number of securities available for issuance under the Plan on both an aggregate and per Participant or per grant basis shall be appropriately adjusted by the Committee to reflect the effect of the Corporate Transaction upon the Company's capital structure. 

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(e) Termination of Plan; Cash Out of Awards.  In the event the Company terminates the Plan or elects to cash out Awards in accordance with clauses (ii) or (iii) of paragraph (a) or clause (iii) of paragraph (b) of this Section 11, then the exercisability and vesting of each affected Award outstanding under the Plan shall be automatically accelerated so that each such Award shall, immediately prior to such Corporate Transaction, become fully vested and may be exercised prior to such Corporate Transaction for all or any portion of such Award. The Committee shall, in its discretion, determine the timing and mechanics required to implement the foregoing Plan provision. 
(f) Special Rule Regarding Determination of Termination for Cause.  Following the occurrence of a Corporate Transaction, the determination of whether circumstances warrant a termination For Cause shall be made in good faith by the Committee, provided that such determination shall not be presumed to be correct or given deference in any subsequent litigation, arbitration or other proceeding with respect to the existence of circumstances warranting a termination For Cause. 
12.  Acceleration Upon Corporate Change in Control. 
Unless otherwise determined by the Committee at the time of grant and set forth in the applicable Award Agreement, in the event of a Corporate Change in Control, the exercisability or vesting of each Award outstanding under the Plan shall be automatically accelerated so that each such Award shall, immediately prior to such Corporate Change in Control, become fully vested and/or exercisable for the full number of shares of the Common Stock purchasable or cash payable under an Award to the extent not previously exercised, and may be exercised for all or any portion of such shares or cash within the originally prescribed term of such Award and in the case of RSUs and other awards shall be immediately settled. The Committee shall, in its discretion, determine the timing and mechanics required to implement the foregoing Plan provision. 
13.  Rights as a Stockholder. 
No person shall have any rights as a stockholder with respect to any shares of Common Stock covered by or relating to any Award until the date of issuance of a Certificate with respect to such shares. Except as otherwise expressly provided in Section 4(b) or 4(c), no adjustment to any Award shall be made for dividends or other rights for which the record date occurs prior to the date of issuance of such Certificate. 
14.  No Right to Continued Board Service; No Right to Award. 
Nothing contained in the Plan or any Agreement shall confer upon any Participant any right with respect to the continuation of service as a member of the Board or interfere in any way with the right of the Company or its stockholders to remove any individual from the Board at any time in accordance with the provisions of applicable law. No person shall have any claim or right to receive an Award hereunder. The Committee's granting of an Award to a Participant at any time shall neither require the Committee to grant any other Award to such Participant or other person at any time or preclude the Committee from making subsequent grants to such Participant or any other person. 

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15.  Securities Matters. 
(a) Notwithstanding anything herein to the contrary, the Company shall not be obligated to cause to be issued or delivered any Certificates evidencing shares of Common Stock pursuant to the Plan unless and until the Company is advised by its counsel that the issuance and delivery of such Certificates is in compliance with all applicable laws, regulations of governmental authority and the requirements of any securities exchange on which shares of Common Stock are traded. The Committee may require, as a condition of the issuance and delivery of Certificates evidencing shares of Common Stock pursuant to the terms hereof, that the recipient of such shares make such agreements and representations, and that such Certificates bear such legends, as the Committee, in its sole discretion, deems necessary or desirable. 
(b) The transfer of any shares of Common Stock hereunder shall be effective only at such time as counsel to the Company shall have determined that the issuance and delivery of such shares is in compliance with all applicable laws, regulations of governmental authority and the requirements of any securities exchange on which shares of Common Stock are traded. The Committee may, in its sole discretion, defer the effectiveness of any transfer of shares of Common Stock hereunder in order to allow the issuance of such shares to be made pursuant to registration or an exemption from registration or other methods for compliance available under federal or state securities laws. The Committee shall inform the Participant (or a permitted transferee of such person) in writing of its decision to defer the effectiveness of a transfer. During the period of such deferral in connection with the exercise of an Option, the Participant (or a permitted transferee of such person) may, by written notice, withdraw such exercise and obtain the refund of any amount paid with respect thereto, subject to compliance with the requirements of Section 409A of the Code. 
16.  Notification of Election Under Section 83(b) of the Code. 
If any Participant shall, in connection with the acquisition of shares of Common Stock under the Plan, make the election permitted under Section 83(b) of the Code, such Participant shall notify the Company of such election within 10 days of filing notice of the election with the Internal Revenue Service. 
17.  Amendment or Termination of the Plan. 
The Board of Directors may, at any time, suspend or terminate the Plan or revise or amend it in any respect whatsoever; provided, however, that stockholder approval shall be required for any such amendment if and to the extent the Board of Directors determines that such approval is appropriate or necessary for purposes of satisfying any applicable law or the requirements of any securities exchange upon which the securities of the Company trade. Nothing herein shall restrict the Committee's ability to exercise its discretionary authority pursuant to Section 3, which discretion may be exercised without amendment to the Plan. No amendment or termination of the Plan may, without the consent of the affected Participant, reduce the Participant's rights under any outstanding Award. 

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18.  Transferability. 
The Committee may direct that any Certificate evidencing shares issued pursuant to the Plan shall bear a legend setting forth such restrictions on transferability as may apply to such shares. Awards granted under the Plan shall not be transferable by a Participant other than: (i) by will or by the laws of descent and distribution, (ii) pursuant to a qualified domestic relations order, as defined by the Code or Title 1 of the Employee Retirement Income Security Act or the rules thereunder or (iii) as otherwise determined by the Committee in its sole and absolute discretion. The designation of a beneficiary of an Award by a Participant shall not be deemed a transfer prohibited by this Section 18. Except as provided pursuant to this Section 18, an Award shall be exercisable during a Participant's lifetime only by the Participant (or by his or her legal representative) and shall not be assigned, pledged, or hypothecated in any way (whether by operation of law or otherwise) and shall not be subject to execution, attachment or similar process. Any attempted transfer, assignment, pledge, hypothecation, or other disposition of any Award contrary to the provisions of this Section 18, or the levy of any attachment or similar process upon an Award, shall be null and void. Upon the death of a Participant, outstanding Awards granted to such Participant may be exercised only by the designated beneficiary, executor or administrator of the Participant's estate, or by a person who shall have acquired the right to such exercise by will or by the laws of descent and distribution (or by a permitted transferee of such person). No transfer of an Award by will or the laws of descent and distribution, or as otherwise permitted by this Section 18, shall be effective to bind the Company unless the Committee shall have been furnished with: (a) written notice thereof and with such evidence as the Committee may deem necessary to establish the validity of the transfer, and (b) an agreement by the transferee to comply with all the terms and conditions of the Award that are or would have been applicable to the Participant and to be bound by the acknowledgments made by the Participant in connection with the grant of the Award. 
19.  Dissolution or Liquidation of the Company. 
Immediately prior to the dissolution or liquidation of the Company, other than in connection with transactions to which Section 11 is applicable, all Awards granted hereunder shall terminate and become null and void; provided, however, that if the rights hereunder of a Participant or one who acquired an Award by will or by the laws of descent and distribution, or as otherwise permitted pursuant to Section 18, have not otherwise terminated and expired, the Participant or such person shall have the right immediately prior to such termination to exercise any Award granted hereunder to the extent that the right to exercise such Award has vested as of the date immediately prior to such dissolution or liquidation. Awards of Restricted Stock and Restricted Stock Units that have not vested as of the date of such dissolution or liquidation shall be forfeited immediately prior to such dissolution or liquidation. 
20.  Effective Date and Term of Plan. 
The Plan shall be subject to the requisite approval of the stockholders of the Company. In the absence of such approval, any Awards shall be null and void. Unless the Plan is extended or earlier terminated by the Board of Directors, the right to grant Awards under the Plan shall terminate on the later of (i) the tenth anniversary of the Effective Date (i.e., May 25, 2016) and (ii) if the stockholders approve the amendment to the term of the Plan at the Company’s 2015 annual meeting of stockholders, June 10, 2025. Awards outstanding at Plan termination shall remain in effect according to their terms and the provisions of the Plan and the applicable Award Agreement. 

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21.  Applicable Law. 
The Plan shall be construed and enforced in accordance with the laws of the State of Delaware, without reference to its principles of conflicts of law. 
22.  Participant Rights. 
No Participant shall have any claim to be granted any Award under the Plan, and there is no obligation for uniformity of treatment for Participants. 
23.  Unfunded Status of Awards. 
The Plan is intended to constitute an “unfunded” plan for incentive and deferred compensation purposes. With respect to any payments not yet made to a Participant pursuant to an Award, nothing contained in the Plan or any Agreement shall give any such Participant any rights that are greater than those of a general, unsecured creditor of the Company. 
24.  No Fractional Shares. 
No fractional shares of Common Stock shall be issued or delivered pursuant to the Plan. The Committee shall determine whether cash, other Awards, or other property shall be issued or paid in lieu of such fractional shares, or whether such fractional shares or any rights thereto shall be forfeited or otherwise eliminated. 
25.  Beneficiary. 
A Participant may file with the Committee a written designation of a beneficiary on such form as may be prescribed by the Committee and may, from time to time, amend or revoke such designation. If no designated beneficiary survives the Participant, the executor or administrator of the Participant's estate shall be deemed to be the Participant's beneficiary. 
26.  Interpretation; Limitation on Liability; Special Rules. 
(a) Awards under the Plan are intended either to be exempt from the rules of Section 409A of the Code or to satisfy those rules, and shall be construed accordingly. Granted Awards may be modified at any time, in the Committee’s discretion, so as to increase the likelihood of exemption from or compliance with the rules of Section 409A.  In the event that a Participant is prohibited from executing market trades by reason of the application of the federal securities laws or for any other reason determined by the Committee, the Committee may extend the exercise period of an Award to the extent permitted by Section 409A. To the extent required by Section 409A of the Code, references to a termination of Board service shall be construed to require a “separation from service” under Section 409A of the Code.

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(b) Notwithstanding anything to the contrary in the Plan, neither the Company nor the Committee, nor any person acting on behalf of the Company or the Committee, will be liable to any Participant or to the estate or beneficiary of any Participant or to any other holder of a Stock Award by reason of any acceleration of income, or any additional tax (including any interest and penalties), by reason of the failure of an Award to satisfy the requirements of Section 409A or by reason of Section 4999 of the Code, or as otherwise asserted with respect to the Award.
(c)  Subject to Section 16 of the Exchange Act, to the extent the Committee deems it necessary, appropriate or desirable to comply with foreign law or practices, and to further the purpose of the Plan, the Committee may, without amending the Plan, establish special rules applicable to Awards granted to Participants who are foreign nationals or are employed outside the United States, or both, including rules that differ from those set forth in the Plan, and grant Awards (or amend existing Awards) in accordance with those rules. 
27.  Severability. 
If any provision of the Plan is held to be invalid or unenforceable, the other provisions of the Plan shall not be affected but shall be applied as if the invalid or unenforceable provision had not been included in the Plan. 

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