Document:

EX-4.2

 Exhibit 4.2 

RALPH LAUREN CORPORATION, 
 as
Issuer and 
 WELLS FARGO BANK, NATIONAL ASSOCIATION, 

as Trustee 
  

 
 THIRD
SUPPLEMENTAL INDENTURE 
 Dated as of August 9, 2018 
  

 
  

 TABLE OF CONTENTS 

 

					
	 	  	Page	 
	 ARTICLE I DEFINITIONS AND INCORPORATION BY REFERENCE
	  	 	1	 
		
	 SECTION 1.1. Provisions of the Base Indenture
	  	 	1	 
		
	 SECTION 1.2. Definitions
	  	 	2	 
		
	 SECTION 1.3. Other Definitions
	  	 	5	 
		
	 ARTICLE II THE NOTES
	  	 	5	 
		
	 SECTION 2.1. Designation and Principal Amount
	  	 	5	 
		
	 SECTION 2.2. Stated Maturity
	  	 	5	 
		
	 SECTION 2.3. Interest
	  	 	5	 
		
	 SECTION 2.4. Form, Dating, Title and Terms
	  	 	6	 
		
	 ARTICLE III REDEMPTION
	  	 	7	 
		
	 SECTION 3.1. Redemption by the Company
	  	 	7	 
		
	 ARTICLE IV OTHER MODIFICATIONS OF THE BASE INDENTURE
	  	 	8	 
		
	 SECTION 4.1. Obligations with Respect to Transfers and Exchanges of Notes
	  	 	8	 
		
	 SECTION 4.2. Limitations on Liens
	  	 	9	 
		
	 SECTION 4.3. Limitation on Sale Leaseback Transactions
	  	 	11	 
		
	 SECTION 4.4. Compliance Certificate
	  	 	12	 
		
	 SECTION 4.5. Repayment to the Company
	  	 	12	 
		
	 SECTION 4.6. Amendments
	  	 	12	 
		
	 ARTICLE V REPURCHASE
	  	 	14	 
		
	 SECTION 5.1. Change of Control Repurchase Event
	  	 	14	 
		
	 ARTICLE VI DEFEASANCE
	  	 	14	 
		
	 SECTION 6.1. Defeasance by the Company
	  	 	14	 
		
	 ARTICLE VII MISCELLANEOUS
	  	 	14	 
		
	 SECTION 7.1. Trust Indenture Act Controls
	  	 	14	 
		
	 SECTION 7.2. Priority of Third Supplemental Indenture
	  	 	14	 
		
	 SECTION 7.3. Governing Law
	  	 	14	 
		
	 SECTION 7.4. Successors
	  	 	14	 
		
	 SECTION 7.5. Multiple Originals
	  	 	15	 
		
	 SECTION 7.6. Variable Provisions
	  	 	15	 
		
	 SECTION 7.7. Table of Contents; Headings
	  	 	15	 
		
	 SECTION 7.8. Waiver of Jury Trial
	  	 	15	 
		
	 SECTION 7.9. Force Majeure
	  	 	15	 
		
	 SECTION 7.10. U.S.A. Patriot Act
	  	 	15	 

 Exhibit A – Form of Note 
  

 THIRD SUPPLEMENTAL INDENTURE, dated as of August 9, 2018 (this “Third
Supplemental Indenture”), between RALPH LAUREN CORPORATION, a Delaware corporation (the “Company”), and WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association, as Trustee (the “Trustee”).

 RECITALS OF THE COMPANY 

WHEREAS, the Company has heretofore executed and delivered to the Trustee an Indenture, dated as of September 26, 2013 (the “Base
Indenture”), between the Company and the Trustee, providing for the issuance from time to time of the Company’s unsecured senior debt securities in one or more series (the “Securities”) and providing the terms and
conditions upon which the Securities are to be authenticated, issued and delivered; and 
 WHEREAS, Section 2.1 of the Base Indenture
provides for the Company and the Trustee to enter into an indenture supplemental to the Base Indenture to establish the form or terms of Securities of any series as permitted therein; and 

WHEREAS, pursuant to Section 2.1 of the Base Indenture, as supplemented by this Third Supplemental Indenture, the Company desires to
provide for the issuance of a new series of Securities to be known as its 3.750% Senior Notes due 2025 (the “Notes”), which are to be initially limited in aggregate principal amount as specified in this Third Supplemental Indenture
and the terms, conditions and provisions of which are to be as specified in this Third Supplemental Indenture; and 
 WHEREAS, the Company
has duly authorized the execution and delivery of this Third Supplemental Indenture to establish the Notes as a series of Securities under the Base Indenture and to provide the terms and conditions upon which the Notes are to be authenticated,
issued and delivered; and 
 WHEREAS, all things necessary to make the Notes, when executed by the Company and authenticated and delivered
hereunder and duly issued by the Company, the valid obligations of the Company, and to make this Third Supplemental Indenture a valid agreement of the Company, in accordance with its terms, have been done. 

NOW, THEREFORE, THIS THIRD SUPPLEMENTAL INDENTUREWITNESSETH: 

For and in consideration of the premises and the purchase of the Notes by the Holders thereof, it is mutually agreed, for the equal and
proportionate benefit of all Holders of the Notes, as follows: 
 ARTICLE I 

DEFINITIONS AND INCORPORATION BY REFERENCE 

SECTION 1.1. Provisions of the Base Indenture. Except as otherwise expressly provided herein, all the definitions, provisions,
terms and conditions of the Base Indenture shall remain in full force and effect with respect to the Notes. The Base Indenture, as amended and supplemented by this Third Supplemental Indenture, is in all respects ratified and confirmed, and the Base
Indenture and this Third Supplemental Indenture shall be read, taken and considered as one and the same instrument for all purposes. 

  
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 Notwithstanding any other provision of this Third Supplemental Indenture, all provisions of
this Third Supplemental Indenture are expressly and solely for the benefit of the holders of the Notes, and any such provisions shall not be deemed to apply to any other Securities issued under the Base Indenture and shall not be deemed to amend,
modify or supplement the Base Indenture for any purpose other than with respect to the Notes. 
 SECTION 1.2. Definitions. For
purposes of this Third Supplemental Indenture, except as otherwise expressly provided herein or unless the context otherwise requires: 
 (1)
Capitalized terms used in this Third Supplemental Indenture and not defined in this Third Supplemental Indenture have the meanings ascribed thereto in the Base Indenture; 

(2) the term “Notes” as defined in the Base Indenture and as used in any definition therein shall be deemed to include or refer to,
as applicable, the Notes; 
 (3) an accounting term not otherwise defined has the meaning assigned to it in accordance with GAAP; 

(4) “including” means including without limitation; 

(5) words in the singular include the plural and words in the plural include the singular; 

(6) all references to Notes shall refer also to any Additional Notes issued in the form of Notes pursuant to Section 2.14 of the Base
Indenture; 
 (7) all references to the date the Notes were originally issued shall refer to the Issue Date or the date any Additional Notes
were originally issued, as the case may be; 
 (8) all references herein to particular Sections or Articles shall refer to this Third
Supplemental Indenture unless otherwise so indicated; and 
 (9) the following terms have the meanings given to them in this
Section 1.2: 
 “Change of Control” means: (1) any “person” or “group” of related Persons (as
such terms are used in Sections 13(d) and 14(d) of the Exchange Act), other than one or more Permitted Holders, becomes the beneficial owner (as defined in Rules 13d 3 and 13d 5 under the Exchange Act, except that such Person or group shall be
deemed to have “beneficial ownership” of all shares that any such Person or group has the right to acquire, whether such right is exercisable immediately or only after the passage of time), directly or indirectly, of more than 50% of the
total voting power of the Voting Stock of the Company or any of its direct or indirect parent entities (or their successors by merger, consolidation or purchase of all or substantially all of their assets); or (2) the merger or consolidation of
the Company with or into another Person or the merger of another Person with or into the Company or the merger of any Person with or into a Subsidiary of the Company, unless the holders of a majority of the aggregate voting power of the

  
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Voting Stock of the Company, immediately prior to such transaction, hold securities of the surviving or transferee Person that represent, immediately after such transaction, at least a majority
of the aggregate voting power of the Voting Stock of the surviving or transferee Person; or (3) the first day on which a majority of the members of the Board of Directors of the Company are not Continuing Directors; or (4) the sale,
assignment, conveyance, transfer, lease or other disposition (other than by way of merger or consolidation), in one or a series of related transactions, of all or substantially all of the assets of the Company and its Subsidiaries taken as a whole
to any “person” (as such term is used in Sections 13(d) and 14(d) of the Exchange Act) other than to the Company or its Subsidiaries; or (5) the adoption by the stockholders of the Company of a plan or proposal for the
liquidation or dissolution of the Company. 
 “Comparable Treasury Issue” means the U.S. Treasury security selected by an
Independent Investment Banker as having an actual or interpolated maturity comparable to the remaining term of the Notes to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing
new issues of corporate debt securities of comparable maturity to the remaining term of such Notes. 
 “Comparable Treasury
Price” means, with respect to any Redemption Date, (1) the arithmetic average of the Reference Treasury Dealer Quotations for such Redemption Date after excluding the highest and lowest Reference Treasury Dealer Quotations, or
(2) if the Company obtains fewer than four Reference Treasury Dealer Quotations, the arithmetic average of all Reference Treasury Dealer Quotations for such Redemption Date. 

“Consolidated Net Assets” means, as of the date of determination thereof, the excess of (1) the aggregate consolidated
net book value of the assets of the Company and its Subsidiaries after all appropriate adjustments in accordance with GAAP (including, without limitation, reserves for doubtful receivables, obsolescence, depreciation and amortization) over
(2) all of the aggregate liabilities of the Company and its Subsidiaries, including all items which, in accordance with GAAP, would be included on the liability side of the balance sheet (other than Equity Interests, treasury stock, capital
surplus and retained earnings), in each case determined on a consolidated basis (after eliminating all inter-company items) in accordance with GAAP; provided, however, that the calculation of Consolidated Net Assets shall not give
effect to the treatment of operating leases as liabilities on the balance sheet in accordance with GAAP under Accounting Standards Update No. 2016-02, “Leases.” 

“GAAP” means generally accepted accounting principles in the United States of America in effect on the date of the Third
Supplemental Indenture. 
 “Global Credit Facility” means the Amended and Restated Credit Agreement, dated as of
February 11, 2015, among the Company, Acqui Polo C.V., Ralph Lauren Finance B.V. (formerly known as Polo Finance B.V.) and Ralph Lauren Asia Pacific Limited, as the borrowers, the lenders party thereto and JPMorgan Chase Bank, N.A., as
administrative agent, as the same may be amended, supplemented or otherwise modified from time to time, and any successor credit agreement thereto (whether by renewal, replacement, refinancing or otherwise) that the Company in good faith designates
to be its principal credit agreement (taking into account the maximum principal amount of the credit facility provided thereunder, the recourse nature of the agreement and such other factors as the Company deems reasonable in light of the
circumstances), such designation (or the designation that at a given time there is no principal credit agreement) to be made by an Officers’ Certificate delivered to the trustee. 

  
 3 

 “Holder” means the Person in whose name a Note is registered on the
security register books of the Registrar. 
 “Independent Investment Banker” means J.P. Morgan Securities LLC or Merrill,
Lynch, Pierce, Fenner & Smith Incorporated or their respective successors as may be appointed from time to time by the Company; provided, however, that if any of the foregoing ceases to be a Primary Treasury Dealer, the Company will
substitute another Primary Treasury Dealer. 
 “Issue Date” means the date on which the Notes are originally issued under
this Third Supplemental Indenture. 
 “Reference Treasury Dealer” means J.P. Morgan Securities LLC or Merrill, Lynch,
Pierce, Fenner & Smith Incorporated and two other Primary Treasury Dealers selected by the Company, and each of their respective successors and any other Primary Treasury Dealers selected by the Company. 

“Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any Redemption Date, the
arithmetic average, as determined by the Company, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Company by such Reference Treasury Dealer as of
3:30 p.m., New York City time, on the third Business Day preceding such Redemption Date. 
 “Remaining Scheduled Payments”
means, with respect to any Note to be redeemed, the remaining scheduled payments of the principal of and premium, if any, and interest on such Note that would be due after the related Redemption Date but for such redemption; provided, however, that,
if such Redemption Date is not an Interest Payment Date with respect to such Note, the amount of the next scheduled interest payment thereon will be reduced by the amount of interest accrued thereon to such Redemption Date. 

“Treasury Rate” means, with respect to any Redemption Date, the rate per annum equal to the semi-annual equivalent yield to
maturity (computed as of the third Business Day immediately preceding that Redemption Date) of the Comparable Treasury Issue. In determining this rate, the Company will assume a price for the Comparable Treasury Issue (expressed as a percentage of
its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 

  
 4 

 SECTION 1.3. Other Definitions. 

 

			
	 Term
	  	 Defined in Section

	 “Additional Notes”
 “Base
Indenture”
 “Company”
 “Global
Notes”
 “Indenture”
 “Interest Payment
Date”
 “Notes”
 “Third Supplemental
Indenture”
 “Trustee”
	  	 Section 2.1
 Recitals

Preamble
 Section 2.4

Recitals
 Recitals

Recitals
 Preamble

Preamble

 ARTICLE II 

THE NOTES 
 SECTION 2.1.
Designation and Principal Amount. The Notes are hereby authorized and are designated the “3.750% Senior Notes due 2025”, in an initial aggregate principal amount of $400,000,000, which amount shall be specified in an Authentication
Order for the authentication and delivery of Notes pursuant to Article II of the Base Indenture. In addition, the Company shall be entitled to issue, from time to time, without the consent of the Holders, additional Notes (“Additional
Notes”), which shall have identical terms as the Notes issued on the Issue Date (in each case, other than with respect to the date of issuance, issue price and amount of interest payable on the first payment date applicable thereto), as the
case may be, in an unlimited aggregate principal amount, which Additional Notes shall be consolidated and form a single series with the Notes previously issued; provided that if any Additional Notes are not fungible with the Notes issued on the
Issue Date for U.S. federal income tax purposes, such Additional Notes will have a separate CUSIP number. At any time and from time to time, the Trustee shall, upon receipt of an Authentication Order, authenticate and deliver any Additional Notes in
an aggregate principal amount specified in such Authentication Order for such Additional Notes issued hereunder. 
 All Notes issued on the
Issue Date and Additional Notes, if any, will be treated as a single class for all purposes of this Indenture, including waivers, amendments, redemptions and offers to purchase. 

SECTION 2.2. Stated Maturity. The Stated Maturity of the Notes shall be September 15, 2025. 

SECTION 2.3. Interest. The Notes shall bear interest at the rate of 3.750% per annum from August 9, 2019 or from the most recent
Interest Payment Date to which interest has been paid on the Notes. Interest shall be payable semiannually on September 15 and March 15 of each year (each such date, an “Interest Payment Date”), commencing on March 15, 2019,
to the Holders in whose names the Notes are registered at the close of business on the regular record date immediately preceding the related Interest Payment Date. Interest shall be computed on the basis of a
360-day year comprised of twelve 30-day months. 

  
 5 

 SECTION 2.4. Form, Dating, Title and Terms. (a) The Notes shall be substantially
in the form attached as Exhibit A, in each case with such appropriate provisions as are required or permitted by this Third Supplemental Indenture, and may have such letters, numbers or other marks of identification and such legends or endorsements
placed thereon as may be required to comply with applicable laws or the rules of any securities exchange or DTC or as may, consistently herewith, be determined by the Officers executing such Notes, as evidenced by their execution thereof. 

The Trustee’s certificate of authentication shall be substantially in the form set forth in Article II of the Base Indenture. 

The definitive Notes shall be printed, lithographed or engraved on a steel engraved border or on steel engraved borders or produced by any
combination of these methods, if required by any securities exchange on which the Notes may be listed, or may be produced in any other manner permitted by the rules of any securities exchange on which the Notes may be listed, all as determined by
the Officers executing such Notes, as evidenced by their execution of such Notes. 
 The Notes shall be issued on the Issue Date in the form
of a permanent global Note (each, a “Global Note” and, collectively, the “Global Notes”), deposited with the Trustee, as custodian for DTC, duly executed by the Company, authenticated by the Trustee as provided in
Article II of the Base Indenture and dated the date of their authentication. Each Global Note may be represented by more than one certificate, if so required by DTC’s rules regarding the maximum principal amount to be represented by a single
certificate. The aggregate principal amount of the Global Notes may from time to time be increased or decreased by adjustments made on the records of the Trustee, as custodian for DTC or its nominee, as hereinafter provided. 

The principal of and interest on the Notes shall be payable at the office or agency of the Company maintained for such purpose in Minneapolis,
Minnesota, or at such other office or agency of the Company as may be maintained for such purpose pursuant to Section 2.3 of the Base Indenture; provided, however, that at the option of the Company, each installment of interest
may be paid by (i) check mailed to addresses of the Persons entitled thereto as such addresses shall appear on the Note Register or (ii) upon request of any Holder of at least $1,000,000 principal amount of Notes, wire transfer to an
account located in the United States maintained by the payee. Payments in respect of Notes represented by a Global Note (including principal, premium, if any, and interest) shall be made by wire transfer of immediately available funds to the
accounts specified by DTC. 
 (b) Denominations. The Notes shall be issuable only in fully registered form, without coupons, and only
in denominations of $2,000 and any integral multiple of $1,000 in excess thereof. 
 (c) Legend for Global Notes. The Global Notes
shall bear the legend set forth in Section 2.1(c) of the Base Indenture on the face thereof. 

  
 6 

 (d) Registrar and Paying Agent; Transfer and Exchange. The Notes shall be subject to
the provisions set forth in Sections 2.3 and 2.6 of the Base Indenture governing (i) payment of principal, premium, if any, and interest on the Notes, (ii) registration of transfer or exchange and (iii) maintenance of an office or
agency where Notes may be presented for payment. 
 ARTICLE III 

REDEMPTION 
 SECTION 3.1.
Redemption by the Company. (a) The Notes may be redeemed at the option of the Company on the terms and conditions set forth in Section 3.1(b), Article III of the Base Indenture (as modified and supplemented by Section 3.1(b),
Section 3.1(c), Section 3.1(d) and Section 3.1(e) below and the form of Notes included as Exhibit A hereto) and Section 6 and Section 7 of the form of Notes included as Exhibit A hereto. 

(b) The Notes shall be redeemable, in whole or in part, at any time and from time to time, at the option of the Company, at a redemption price
equal to the greater of (1) 100% of the principal amount of the Notes to be redeemed and (2) the sum of the present values of the Remaining Scheduled Payments of principal and interest thereon (exclusive of interest accrued to, but not
including, the Redemption Date) discounted to the Redemption Date on a semiannual basis (assuming a 360-day year comprised of twelve 30-day months) at the Treasury Rate
plus 0.15% (15 basis points), plus, in each case, accrued and unpaid interest thereon to, but not including, the Redemption Date; provided that if the Company redeems any Notes on or after July 15, 2025 (two months prior to the stated
maturity date of the Notes), the redemption price for those Notes will equal 100% of the principal amount of the Notes to be redeemed, plus accrued and unpaid interest thereon to, but not including, the Redemption Date. 

(c) For purposes of the Notes, the third paragraph of Section 3.2 of the Base Indenture is hereby amended and restated in its entirety to
read as follows: 
 “If fewer than all the Notes of a series then outstanding are to be redeemed, the Trustee shall select the Notes of
such series to be redeemed pro rata or by lot or by any other method that complies with applicable legal and securities exchange requirements, if any, and that the Trustee considers, in its discretion, to be fair and appropriate in accordance with
methods generally used at the time of selection by trustees in similar circumstances; provided, however, that Notes held in book entry form shall be selected in accordance with the applicable procedures of DTC, and the Trustee shall
have no duty to monitor or oversee such selection procedures.” 
 (d) For purposes of the Notes, the first sentence of Section 3.3
of the Base Indenture is hereby modified by replacing “30 days” with “15 days.” 
 (e) For purposes of the Notes, the
first paragraph of Section 3.3 of the Base Indenture is hereby modified by adding the following at the end thereof: 
 “The Company
may provide in such notice that payment of the redemption price and performance of the Company’s obligations with respect to such redemption may be performed by another Person.” 

  
 7 

 ARTICLE IV 

OTHER MODIFICATIONS OF THE BASE INDENTURE 

SECTION 4.1. Obligations with Respect to Transfers and Exchanges of Notes. For the purposes of the Notes, the text of
Section 2.6(c) of the Base Indenture is replaced in its entirety by the following: 
 SECTION 2.6(c). Obligations with
Respect to Transfers and Exchanges of Notes. 
 (1) To permit registrations of transfers and exchanges, the Company shall, subject to the
other terms and conditions of this Article II, execute and the Trustee shall authenticate Definitive Notes and Global Notes at the Registrar’s or co-registrar’s request. 

(2) No service charge shall be made to a Holder for any registration of transfer or exchange, but the Company may require payment of a sum
sufficient to cover any transfer tax, assessments, or similar governmental charge payable in connection therewith (other than any such transfer taxes, assessments or similar governmental charges payable upon exchange or transfer pursuant to Sections
3.6 or 9.5). 
 (3) The Registrar or co-registrar shall not be required to register the transfer of
or exchange of any Note for a period beginning (1) 15 days before the mailing of a notice of an offer to repurchase or redeem Notes of any series and ending at the close of business on the day of such mailing or (2) 15 days before an Interest
Payment Date and ending on such Interest Payment Date. 
 (4) Prior to the due presentation for registration of transfer of any Note, the
Company, the Trustee, the Paying Agent, the Registrar or any co-registrar may deem and treat the person in whose name a Note is registered as the absolute owner of such Note for the purpose of receiving
payment of principal of and interest on such Note and for all other purposes whatsoever, whether or not such Note is overdue, and none of the Company, the Trustee, the Paying Agent, the Registrar or any
co-registrar shall be affected by notice to the contrary. 
 (5) All Notes of any series issued upon
any transfer or exchange pursuant to the terms of this Indenture shall be the valid and legally binding obligation of the Company, shall evidence the same debt and shall be entitled to the same benefits under this Indenture as the Notes of such
series surrendered upon such transfer or exchange. 
 (6) Any Definitive Note delivered in exchange for an interest in a Global Note pursuant
to Section 2.1(d) shall bear the legend set forth in Section 2.1(c). 
 (7) The Company shall also provide or cause to be provided
to the Trustee all information reasonably necessary to allow the Trustee to comply with any applicable tax reporting obligations, including without limitation any cost basis reporting obligations under Internal Revenue Code Section 6045. The
Trustee may rely on the information provided to it and shall have no responsibility to verify or ensure the accuracy of such information. 

  
 8 

 SECTION 4.2. Limitations on Liens. For the purposes of the Notes, the text of
Section 4.2 of the Base Indenture is replaced in its entirety by the following: 
 SECTION 4.2. Limitations on Liens. (a) So long
as any Notes remain outstanding, the Company may not directly or indirectly, incur, and will not permit any of its Subsidiaries to, directly or indirectly, incur any Indebtedness secured by a Lien upon (i) any properties or assets (including
Capital Stock) of the Company or any of its Subsidiaries or (ii) upon any shares of stock or Indebtedness of any of its Subsidiaries (whether such property, assets, shares of stock or Indebtedness are now existing or owned or hereafter created
or acquired), in any such case unless, prior to or concurrently with the incurrence of any such secured Indebtedness, or the grant of a Lien with respect to any such Indebtedness to be so secured, the Notes (together with, at the option of the
Company, any other Indebtedness of the Company or any of its Subsidiaries ranking equally in right of payment with the Notes) shall be secured equally and ratably with (or, at the Company’s option, prior to) such Indebtedness to be so secured;
provided, however, that the foregoing restrictions shall not apply to: 
 (1) Liens on property, shares of stock or
Indebtedness existing with respect to any Person at the time such Person becomes a Subsidiary of the Company or any of its Subsidiaries, provided that such Lien was not incurred in anticipation of such Person becoming a Subsidiary; 

(2) Liens on property, shares of stock or Indebtedness existing at the time of acquisition thereof by the Company or a
Subsidiary of the Company or any of its Subsidiaries of such property, shares of stock or Indebtedness (which may include property previously leased by the Company or any of its Subsidiaries and leasehold interests on such property, provided
that the lease terminates prior to or upon the acquisition) or Liens on property, shares of stock or Indebtedness to secure the payment of all or any part of the purchase price of such property, shares of stock or Indebtedness, or Liens on
property, shares of stock or Indebtedness to secure any Indebtedness for borrowed money incurred prior to, at the time of, or within 18 months after, the latest of the acquisition of such property, shares of stock or Indebtedness, or, in the case of
property, the completion of construction, the completion of improvements or the commencement of substantial commercial operation of such property for the purpose of financing all or any part of the purchase price of the property, such construction
or the making of the improvements; 
 (3) Liens securing Indebtedness of the Company or any of the Company’s
Subsidiaries owing to the Company or any of its Subsidiaries; 
 (4) With respect to Notes of a series, Liens existing on the
initial Issue Date for such series; 

  
 9 

 (5) Liens on property or assets of a Person existing at the time such Person
is merged into or consolidated with the Company or any of its Subsidiaries, at the time such Person becomes a Subsidiary of the Company or at the time of a sale, lease or other disposition of all or substantially all of the properties or assets of a
Person to the Company or any of its Subsidiaries; provided that such Lien was not incurred in anticipation of such merger, consolidation, or sale, lease or other disposition or other transaction; 

(6) Liens created in connection with a project financed with, and created to secure, a Non-recourse Obligation; 

(7) Liens securing all of the Notes (including any Additional Notes) and any Liens that secure letters of credit issued under
the Global Credit Facility; 
 (8) Liens imposed by law, such as carriers’, warehousemen’s and mechanic’s
Liens and other similar Liens, in each case for sums not yet overdue by more than 30 calendar days or being contested in good faith by appropriate proceedings or other Liens arising out of judgments or awards against such Person with respect to
which such Person shall then be proceeding with an appeal or other proceedings for review and Liens arising solely by virtue of any statutory or common law provision relating to banker’s Liens, rights of
set-off or similar rights and remedies as to deposit accounts or other funds maintained with a creditor depository institution; 

(9) Liens for taxes, assessments or other governmental charges not yet due or payable or subject to penalties for non-payment or that are being contested in good faith by appropriate proceedings; 
 (10)
Liens to secure the performance of bids, trade contracts, leases, statutory obligations, surety and appeal bonds, performance bonds and other obligations of a like nature, in each case in the ordinary course of business; or 

(11) Liens relating to accounts receivable of the Company or any of the Company’s Subsidiaries which have been sold,
assigned or otherwise transferred to another Person in a transaction classified as a sale of accounts receivable in accordance with generally accepted accounting principles, to the extent the sale by the Company or the applicable Subsidiary is
deemed to give rise to a Lien in favor of the purchaser thereof in such accounts receivable or the proceeds thereof; or 

(12) any extension, renewal or replacement (or successive extensions, renewals or replacements), in whole or in part, of any
Lien referred to in the foregoing clauses (1) to (11), inclusive, without increase of the principal of the Indebtedness secured by such Lien; provided, however, that any Liens permitted by any of the foregoing clauses (1) to
(11), inclusive, shall not extend to or cover any property of the Company or any of its Subsidiaries, as the case may be, other than the property specified in such clauses and improvements to such property. 

  
 10 

 (b) Notwithstanding the foregoing provisions of this Section 4.2, the
Company and its Subsidiaries may (i) incur Indebtedness secured by Liens that would otherwise be subject to the foregoing restrictions without equally and ratably securing the Notes; provided that after giving effect to such
Indebtedness, the aggregate amount of all Indebtedness so secured by Liens (not including Liens permitted under clauses (1) through (12) above), together with all Attributable Debt outstanding pursuant to Section 4.3(b) does not exceed 15%
of the Consolidated Net Assets of the Company calculated as of the date of the creation or incurrence of the Lien. The Company and its Subsidiaries also may, without equally and ratably securing the Notes, create or incur Liens that extend, renew,
substitute or replace (including successive extensions, renewals, substitutions or replacements), in whole or in part, any Lien permitted pursuant to the preceding sentence. 

SECTION 4.3. Limitation on Sale Leaseback Transactions. For the purposes of the Notes, the text of Section 4.3 of the Base
Indenture is replaced in its entirety by the following: 
 SECTION 4.3. Limitation on Sale and Leaseback Transactions. 

 

	 	(a)	 The Company shall not directly or indirectly, and shall not permit any of its Subsidiaries directly or
indirectly to, enter into any sale and leaseback transaction for the sale and leasing back of any property, whether now owned or hereafter acquired, unless: 

(1) such transaction was entered into prior to the Issue Date; 

(2) such transaction was for the sale and leasing back to the Company or any of its Subsidiaries of any property by the
Company or one of its Subsidiaries; 
 (3) such transaction involves a lease for not more than three years (or that may be
terminated by the Company or such Subsidiary within a period of not more than three years); 
 (4) the Company or such
Subsidiary would be entitled to incur Indebtedness secured by a Lien with respect to such sale and leaseback transaction without equally and ratably securing the Notes pursuant to clauses (1) through (11) of Section 4.2(a); or 

(5) the Company or any Subsidiary of the Company applies an amount equal to the net proceeds from the sale of such property to
the purchase of other property or assets used or useful in the business of the Company or of any of its Subsidiaries or to the retirement of long-term Indebtedness within 270 days before or after the effective date of any such sale and leaseback
transaction; provided that, in lieu of applying such amount to the retirement of long-term Indebtedness, the Company may deliver Notes to the Trustee for cancellation, such Notes to be credited at the cost thereof to the Company. 

  
 11 

	 	(b)	 Notwithstanding the restrictions set forth in Section 4.3(a), the Company and its Subsidiaries may enter
into any sale and leaseback transaction that would otherwise be subject to the foregoing restrictions, if after giving effect thereto the aggregate amount of all Attributable Debt outstanding with respect to such transactions, together with all
Indebtedness outstanding pursuant to Section 4.2(b), does not exceed 15% of the Consolidated Net Assets of the Company calculated as of the closing date of the sale and leaseback transaction. 

SECTION 4.4. Compliance Certificate. For the purposes of the Notes, the text of Section 4.5 of the Base Indenture is replaced in
its entirety by the following: 
 SECTION 4.5. Compliance Certificate. The Company will deliver to the Trustee, within 120 days after
the end of each fiscal year of the Company ending after the date of the Third Supplemental Indenture, an Officers’ Certificate signed by its principal executive officer, principal financial officer or principal accounting officer which shall
comply with the provisions of Section 314 of the Trust Indenture Act, stating whether or not to the knowledge of the signers thereof any Default in the performance and observance of any of the terms, provisions and conditions of this Indenture
(without regard to any period of grace or requirement of notice provided hereunder) occurred during the previous fiscal year, specifying all such Defaults and the nature and status thereof of which they may have knowledge. 

SECTION 4.5. Repayment to the Company. For the purposes of the Notes, the text of Section 8.4 of the Base Indenture is replaced in
its entirety by the following: 
 SECTION 8.4. Repayment to the Company. The Trustee and the Paying Agent shall promptly turn over to
the Company upon request any excess money or securities held by them at any time. 
 Subject to any applicable abandoned property and
escheatment laws, the Trustee and the Paying Agent shall pay to the Company upon written request any money held by them for the payment of principal or interest that remains unclaimed for two years after the date of payment of such principal and
interest, and, thereafter, Noteholders entitled to the money must look to the Company for payment as general creditors. 
 Any unclaimed
funds held by the Trustee pursuant to this Section 8.4 shall be held uninvested and without any liability for interest. 
 SECTION 4.6.
Amendments. For the purposes of the Notes, the text of Section 9.2 of the Base Indenture is replaced in its entirety by the following: 

SECTION 9.2. With Consent of Holders. The Company and the Trustee may amend this Indenture or the Notes of a series without notice to
any Noteholder but with the written consent of the Holders of at least a majority in principal amount of the Notes then outstanding of such series (including consents obtained in connection with a tender offer or exchange for Notes). However,
without the consent of each Noteholder affected, an amendment may not: 

  
 12 

 (1) change the Stated Maturity of the principal of, or installment of
interest on, any Note; 
 (2) reduce the principal amount of, or the rate of interest on, any Notes; 

(3) reduce any premium, if any, payable on the redemption or required repurchase of any Note or change the date on which any
Note may or must be redeemed, repaid or required to be repurchased; 
 (4) change the coin or currency in which the principal
of or interest on any Note is payable; 
 (5) impair the right of any Holder to institute suit for the enforcement of any
payment on or after the Stated Maturity of any Note; 
 (6) reduce the percentage in principal amount of the outstanding
Notes, the consent of whose Holders is required in order to take certain actions; 
 (7) reduce the percentage of Holders
whose consent is needed to modify or amend this Indenture or the Notes; 
 (8) after the time an offer to repurchase the
Notes in the Change of Control Repurchase Event is required to have been made, waive such requirement or reduce the purchase amount or purchase price, or extend the latest expiration date or purchase date thereunder; 

(9) modify any of the provisions of this Indenture regarding the waiver of past defaults and the waiver of certain covenants by
Holders except to increase any percentage vote required or to provide that certain other provisions of the Indenture cannot be modified or waived without the consent of the holder of each Note affected thereby; or 

(10) modify any of the above provisions of this Section 9.2. 

It shall not be necessary for the consent of the Holders under this Section 9.2 to approve the particular form of any proposed amendment,
but it shall be sufficient if such consent approves the substance thereof. 
 After an amendment under this Section 9.2 becomes
effective, the Company shall mail to Noteholders a notice briefly describing such amendment. The failure to give such notice to all Noteholders, or any defect therein, shall not impair or affect the validity of an amendment under this
Section 9.2. 

  
 13 

 ARTICLE V 

REPURCHASE 
 SECTION 5.1.
Change of Control Repurchase Event. (a) Upon the occurrence of a Change of Control Repurchase Event, the Company shall be required to make a Change of Control Offer in accordance with the terms and conditions of Section 4.4 of the
Base Indenture (as modified and supplemented by Section 5.1(b) below and the form of Notes included as Exhibit A hereto) and Section 5 of the form of Notes included as Exhibit A hereto. 

(b) For purposes of the Notes, the first paragraph of Section 4.4 of the Base Indenture is hereby modified by adding the following at the
end thereof: 
 “Neither the Trustee nor any Paying Agent (whether or not the Trustee acts in the capacity of a Paying Agent) shall be
responsible for monitoring the Company’s ratings, making any request upon any Rating Agency, or determining whether any Ratings Event, or Change of Control Repurchase Event has occurred.” 

ARTICLE VI 
 DEFEASANCE

 SECTION 6.1. Defeasance by the Company. The Notes shall be subject to defeasance at the option of the Company in accordance
with the terms and conditions set forth in Article VIII of the Base Indenture. 
 ARTICLE VII 

MISCELLANEOUS 
 SECTION
7.1. Trust Indenture Act Controls. If any provision of the Indenture limits, qualifies or conflicts with the duties imposed by, or with another provision included or that is required to be included in the Indenture by the Trust Indenture Act,
the duty or provision required by the Trust Indenture Act shall control. 
 SECTION 7.2. Priority of Third Supplemental Indenture. If
any conflict arises between the terms of the Base Indenture and the terms of this Third Supplemental Indenture, the terms of this Third Supplemental Indenture shall be controlling and supersede such conflicting terms of the Base Indenture. 

SECTION 7.3. Governing Law. The Indenture and the Notes shall be governed by, and construed in accordance with, the laws of the
State of New York. 
 SECTION 7.4. Successors. All agreements of the Company in the Indenture and the Notes shall bind its
successors and assigns. All agreements of the Trustee in the Indenture shall bind its successors. 

  
 14 

 SECTION 7.5. Multiple Originals. The parties may sign any number of copies of this
Third Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. One signed copy is enough to prove this Third Supplemental Indenture. The exchange of copies of this Third Supplemental
Indenture and of signature pages by facsimile or PDF transmission shall constitute effective execution and delivery of this Third Supplemental Indenture as to the parties hereto and may be used in lieu of the original Third Supplemental Indenture
for all purposes. Signatures of the parties hereto transmitted by facsimile or PDF shall be deemed to be their original signatures for all purposes. 

SECTION 7.6. Variable Provisions. The Company initially appoints the Trustee as Paying Agent and Registrar and custodian with respect
to any Global Notes. 
 SECTION 7.7. Table of Contents; Headings. The table of contents, cross- reference sheet and headings of the
Articles and Sections of this Third Supplemental Indenture have been inserted for convenience of reference only, are not intended to be considered a part hereof and shall not modify or restrict any of the terms or provisions hereof. 

SECTION 7.8. Waiver of Jury Trial. EACH OF THE COMPANY AND THE TRUSTEE 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 INDENTURE, THE NOTES OR THE TRANSACTION CONTEMPLATED HEREBY. 

SECTION 7.9. Force Majeure. In no event shall the Trustee be responsible or liable for any failure or delay in the performance of its
obligations hereunder arising out of or caused by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of war or terrorism, civil or military disturbances, nuclear or natural
catastrophes or acts of God, and interruptions, loss or malfunctions of utilities, communications or computer (software and hardware) services; it being understood that the Trustee shall use reasonable efforts which are consistent with accepted
practices in the banking industry to resume performance as soon as practicable under the circumstances. 
 SECTION 7.10. U.S.A. Patriot
Act. The parties hereto acknowledge that in accordance with Section 326 of the U.S.A. Patriot Act, the Trustee, like all financial institutions and in order to help fight the funding of terrorism and money laundering, is required to obtain,
verify, and record information that identifies each person or legal entity that establishes a relationship or opens an account with the Trustee. The parties to this Third Supplemental Indenture agree that they will provide the Trustee with such
information as it may request in order for the Trustee to satisfy the requirements of the U.S.A. Patriot Act. 
 [Signature Pages Follow]

  

  
 15 

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

			
	RALPH LAUREN CORPORATION
		
	By:	 	 /s/ Jane Hamilton Nielsen

		 	Name: Jane Hamilton Nielsen
		 	Title:   Chief Financial Officer

 [Ralph Lauren Corporation Third Supplemental Indenture] 

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

			
	WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee
		
	By:	 	 /s/ Gregory S. Clarke

		 	Name: Gregory S. Clarke
		 	Title:   Vice President

 [Ralph Lauren Corporation Third Supplemental Indenture] 

 Exhibit A 

[FORM OF FACE OF NOTE] 
 RALPH
LAUREN CORPORATION 
 3.750% SENIOR NOTES DUE 2025 
  

							
	No.         	  		  	 Principal Amount
$                            

[(subject to adjustment as reflected in the

Schedule of Increases and Decreases in

Global Note attached hereto)]*

				
		  		  	CUSIP NO.	  	751212AC5
				
		  		  	ISIN NO.	  	US751212AC57

 Ralph Lauren Corporation, a Delaware corporation, for value received, promises to pay to
                        , or registered assigns, the principal sum of
                            Dollars [(subject to adjustment as reflected in the Schedule of Increases and
Decreases in Global Note attached hereto)]* on September 15, 2025. 
 Interest
Payment Dates: September 15 and March 15 of each year, commencing on [March 15, 2019] [first interest payment date relating to any Additional Notes]. 

Record Dates: September 1 and March 1 of each year. 

Additional provisions of this Note are set forth on the other side of this Note. 

 

	* 	 To be inserted if a Global Note. 

 IN WITNESS WHEREOF, RALPH LAUREN CORPORATION has caused this Note to be duly executed. 

Dated:                
        ,              
  

			
	RALPH LAUREN CORPORATION
		
	By	 	  

		 	Name:
		 	Title:

 TRUSTEE’S CERTIFICATE OF 

    AUTHENTICATION 
 This is one of the Notes
referred 
 to in the within-mentioned Indenture. 
  

			
	WELLS FARGO BANK, NATIONAL ASSOCIATION,     as Trustee
		
	By	 	  

		 	Authorized Signatory

 Dated:                
        ,             

 [FORM OF REVERSE SIDE OF NOTE] 

[Reverse of Note] 
 3.750% Senior
Notes due 2025 
  

	1.	 Interest 

Ralph Lauren Corporation, a Delaware corporation (together with its successors and assigns under the Indenture hereinafter referred to, being
herein called the “Company”), promises to pay interest on the principal amount of this Note at the rate of 3.750% per annum. 

The Company shall pay interest semiannually on September 15 and March 15 of each year (each such date, an “Interest Payment
Date”), commencing on March 15, 2019. Interest on the Notes shall accrue from [August 9, 2018] [date of issuance of any Notes], or from the most recent date to which interest has been paid on the Notes. Interest shall be computed on
the basis of a 360-day year comprised of twelve 30-day months. 
  

	2.	 Method of Payment 

By no later than 11:00 a.m. (New York City time) on the date on which any principal of or interest on any Note is due and payable, the Company
shall irrevocably deposit with the Trustee or the Paying Agent money sufficient to pay such principal and/or interest. The Company shall pay interest (except defaulted interest) to the Persons who are registered Holders of Notes at the close of
business on the September 1 and March 1 immediately preceding the Interest Payment Date even if Notes are cancelled, repurchased or redeemed after the record date and on or before the Interest Payment Date. Holders must surrender Notes to
a Paying Agent to collect principal payments. The Company shall pay principal and interest in money of the United States that at the time of payment is legal tender for payment of public and private debts. Payments in respect of Notes represented by
a Global Note (including principal, premium, if any, and interest) shall be made by the transfer of immediately available funds to the accounts specified by The Depository Trust Company. The Company may make all payments in respect of a Definitive
Note (including principal, premium, if any, and interest) by mailing a check to the registered address of each Holder thereof or by wire transfer to an account located in the United States maintained by the payee. 

 

	3.	 Paying Agent and Registrar 

Wells Fargo Bank, National Association, a national banking association (the “Trustee”), shall initially act as Paying Agent
and Registrar. The Company may appoint and change any Paying Agent or Registrar without notice to any Noteholder. The Company or any of its domestically organized wholly-owned Subsidiaries may act as Paying Agent. 

	4.	 Indenture 

The Company issued the Notes under an Indenture dated as of September 26, 2013 (as it may be amended or supplemented from time to time in
accordance with the terms thereof, the “Base Indenture”), as supplemented by the Third Supplemental Indenture dated as of August 9, 2018 (as it may be amended or supplemented from time to time in accordance with the terms
thereof, the “Third Supplemental Indenture” and, together with the Base Indenture, the “Indenture”), between the Company and the Trustee. The terms of the Notes include those stated in the Indenture and those made
part of the Indenture by reference to the Trust Indenture Act of 1939 (15 U.S.C. §§ 77aaa-77bbbb) as in effect on the date of the Indenture (the “Trust Indenture Act”). Terms used herein and not defined herein
have the meanings ascribed thereto in the Indenture. The Notes are subject to all such terms, and Noteholders are referred to the Indenture and the Trust Indenture Act for a statement of those terms. To the extent any provision of this Note
conflicts with the express provisions of the Indenture, the provisions of the Indenture shall govern and be controlling. 
 The Notes are
senior unsecured obligations of the Company. The Note is one of the Notes referred to in the Third Supplemental Indenture. The Notes of this series include the Notes of this series issued on the Issue Date and any Additional Notes of this series
issued in accordance with Section 2.14 of the Base Indenture. The Notes of this series and any Additional Notes of this series are treated as a single class of securities under the Indenture. The Indenture imposes certain limitations on the
ability of the Company and its Subsidiaries to create liens, enter into sale and leaseback transactions and enter into mergers and consolidations. 
  

	5.	 Change of Control Repurchase Event 

Upon the occurrence of a Change of Control Repurchase Event, the Company will be required to make an offer to each Holder to repurchase all or
any part (in excess of $2,000 and in integral multiples of $1,000) of such Holder’s Notes at a purchase price in cash equal to 101% of the principal amount thereof on the date of purchase plus accrued and unpaid interest to, but not including,
the date of purchase, in accordance with the terms contemplated in Section 4.4 of the Base Indenture (as modified and supplemented by Section 5.1(b) of the Third Supplemental Indenture and this Section 5) and this Section 5.
Neither the Trustee nor any Paying Agent (whether or not the Trustee acts in the capacity of a Paying Agent) shall be responsible for monitoring the Company’s ratings, making any request upon any Rating Agency, or determining whether any
Ratings Event, or Change of Control Repurchase Event has occurred. 
  

	6.	 Redemption 

The Notes shall be redeemable, in whole or in part, at any time and from time to time, at the option of the Company, at a redemption price
equal to the greater of (1) 100% of the principal amount of the Notes to be redeemed and (2) the sum of the present values of the Remaining Scheduled Payments of principal and interest thereon (exclusive of interest accrued to, but not
including, the Redemption Date) discounted to the Redemption Date on a semiannual basis (assuming a 360-day year comprised of twelve 30-day months) at the Treasury Rate
plus 0.15% (15 basis points), plus, in each case, accrued and unpaid interest thereon to, but not including, the Redemption Date; provided that if the Company redeems any Notes on or after July 15, 2025 (two months prior to the stated
maturity date of the Notes), the redemption price for those Notes will equal 100% of the principal amount of the Notes to be redeemed, plus accrued and unpaid interest thereon to, but not including, the Redemption Date. 

 “Comparable Treasury Issue” means the U.S. Treasury security selected by an
Independent Investment Banker as having an actual or interpolated maturity comparable to the remaining term of the Notes to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing
new issues of corporate debt securities of comparable maturity to the remaining term of such Notes. 
 “Comparable Treasury
Price” means, with respect to any Redemption Date, (1) the arithmetic average of the Reference Treasury Dealer Quotations for such Redemption Date after excluding the highest and lowest Reference Treasury Dealer Quotations, or
(2) if the Company obtains fewer than four Reference Treasury Dealer Quotations, the arithmetic average of all Reference Treasury Dealer Quotations for such Redemption Date. 

“Independent Investment Banker” means J.P. Morgan Securities LLC or Merrill, Lynch, Pierce, Fenner & Smith
Incorporated or their respective successors as may be appointed from time to time by the Company; provided, however, that if any of the foregoing ceases to be a Primary Treasury Dealer, the Company will substitute another Primary
Treasury Dealer. 
 “Reference Treasury Dealer” means J.P. Morgan Securities LLC or Merrill, Lynch, Pierce,
Fenner & Smith Incorporated and two other Primary Treasury Dealers selected by the Company, and each of their respective successors and any other Primary Treasury Dealers selected by the Company. 

“Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any Redemption Date, the
arithmetic average, as determined by the Company, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Company by such Reference Treasury Dealer as of
3:30 p.m., New York City time, on the third Business Day preceding such Redemption Date. 
 “Remaining Scheduled Payments”
means, with respect to any Note to be redeemed, the remaining scheduled payments of the principal of and premium, if any, and interest on such Note that would be due after the related Redemption Date but for such redemption; provided,
however, that, if such Redemption Date is not an Interest Payment Date with respect to such Note, the amount of the next scheduled interest payment thereon will be reduced by the amount of interest accrued thereon to such Redemption Date.

 “Treasury Rate” means, with respect to any Redemption Date, the rate per annum equal to the semi-annual equivalent yield
to maturity (computed as of the third Business Day immediately preceding that Redemption Date) of the Comparable Treasury Issue. In determining this rate, the Company will assume a price for the Comparable Treasury Issue (expressed as a percentage
of its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 

	7.	 Notice of Redemption 

At least 15 days but not more than 60 days before a date for redemption of Notes by the Company pursuant to Article III of the Third
Supplemental Indenture, Article III of the Base Indenture (as modified and supplemented by Sections 3.1(b), 3.1(c), 3.1(d) and 3.1(e) of the Third Supplemental Indenture and Sections 6 and 7 hereof) and Sections 6 and 7 hereof, the Company shall
mail (or, at the Company’s option in the case of Notes held in book-entry form, send by electronic transmission) a notice of redemption by first-class mail to each Holder of Notes to be redeemed at its registered address. Notes in denominations
of principal amount larger than $2,000 may be redeemed in part but only in integral multiples of $1,000 in excess thereof. If money sufficient to pay the redemption price of and accrued and unpaid interest on all Notes (or portions thereof, if
applicable) to be redeemed on the date of redemption is deposited with the Paying Agent on or before 11:00 a.m. (New York City time) on such redemption date (or, if the Company or any of its Subsidiaries is the Paying Agent, such money is segregated
and held in trust) and certain other conditions are satisfied, on and after such date interest shall cease to accrue on such Notes (or such portions thereof) called for redemption. 

 

	8.	 Denominations; Transfer; Exchange 

The Notes are in fully registered form without coupons in denominations of principal amount of $2,000 and integral multiples of $1,000 in
excess thereof. A Holder may register, transfer or exchange Notes in accordance with the Indenture. The Registrar may require a Holder, among other things, to furnish appropriate endorsements or transfer documents and to pay any taxes and fees
required by law or permitted by the Indenture. The Registrar need not register the transfer of or exchange any Notes selected for redemption (except, in the case of a Note to be redeemed in part, the portion of the Note not to be redeemed) for a
period beginning 15 days before the mailing of a notice of redemption of Notes to be redeemed and ending on the date of such mailing. 
  

	9.	 Persons Deemed Owners 

The registered holder of this Note shall be treated as the owner of it for all purposes. 

 

	10.	 Unclaimed Money 

Subject to any applicable abandoned property and escheatment laws, if money for the payment of principal or interest remains unclaimed for two
years after the date of payment of principal and interest, the Trustee or Paying Agent shall pay the money back to the Company at its request. After any such payment, Holders entitled to the money must look only to the Company and not to the Trustee
for payment. 
  

	11.	 Defeasance 

Subject to certain conditions set forth in the Indenture, the Company at any time may terminate some or all of its obligations under the Notes
of this series and the Indenture as it relates to the Notes of this series if the Company deposits with the Trustee money or U.S. Government Obligations for the payment of principal of and interest on the Notes to redemption or maturity, as the case
may be. 

	12.	 Amendment, Waiver 

Subject to certain exceptions set forth in the Indenture, (i) the Indenture or the Notes may be amended with the written consent of the
Holders of at least a majority in principal amount of the outstanding Notes and (ii) any default or noncompliance with any provision of the Indenture or the Notes may be waived with the written consent of the Holders of a majority in principal
amount of the outstanding Notes (including consents obtained in connection with a tender offer or exchange for Notes). However, the Indenture requires the consent of each Noteholder that would be affected for certain specified amendments or
modifications of the Indenture and the Notes. Subject to certain exceptions set forth in the Indenture, without the consent of any Noteholder, the Company and the Trustee may amend the Indenture or the Notes, among other things, to cure any
ambiguity, omission, defect or inconsistency, or to evidence the succession of another Person to the Company and the assumption by any such Person of the obligations of the Company in accordance with Article V of the Indenture, or to add any
additional Events of Default, or to add to the covenants of the Company for the benefit of the Holders of the Notes or surrender rights and powers conferred on the Company, or to add one or more guarantees for the benefit of the Holders of the
Notes, or to add collateral security with respect to the Notes, or to add or appoint a successor or separate trustee or other agent, or to provide for the issuance of Additional Notes, or to comply with any requirements in connection with qualifying
the Indenture under the Trust Indenture Act, or to comply with the rules of any applicable securities depository, or to provide for uncertificated Notes in addition to or in place of certificated Notes, or to change any other provision if the
change does not adversely affect in any material respect the interests of any Noteholder. 
  

	13.	 Defaults and Remedies 

Under the Indenture, Events of Default include (i) default in payment of interest on the Notes of this series that continues for 30 days;
(ii) default in payment of principal of or premium on the Notes of this series at its stated maturity, upon optional redemption or otherwise; (iii) failure by the Company to repurchase Notes of this series tendered for repurchase following
a Change of Control Repurchase Event, (iv) failure by the Company to comply with any covenant or agreement in the Indenture or the Notes, which continues for 90 days after written notice to the Company by the Trustee or to the Company and the
Trustee by the Holders of not less than 25% in principal amount of outstanding notes; (v) failure to make any payment at maturity, including any applicable grace period, in respect of Indebtedness of the Company or the Company’s
Subsidiaries (other than Indebtedness of the Company or of any of its Subsidiaries owing to the Company or any of its Subsidiaries) with an aggregate principal amount then outstanding in excess of $100,000,000, subject to certain conditions;
(vi) default in respect of other Indebtedness of the Company or the Company’s Subsidiaries (other than Indebtedness of the Company or of any of its Subsidiaries owing to the Company or any of its Subsidiaries) in an amount in excess of
$100,000,000, which results in the acceleration of such Indebtedness, subject to certain conditions; and (vii) certain events of bankruptcy or insolvency involving the Company. 

 If an Event of Default occurs and is continuing with respect to Notes of this series, the
Trustee or the Holders of at least 25% in aggregate principal amount of the Notes of this series may declare all the Notes of this series to be due and payable immediately. Certain events of bankruptcy or insolvency involving the Company are Events
of Default which will result in the Notes of this series being due and payable immediately upon the occurrence of such Events of Default. 

Noteholders may not enforce the Indenture or the Notes except as provided in the Indenture. The Trustee may refuse to enforce the Indenture or
the Notes unless it receives indemnity or security satisfactory to it. Subject to certain limitations, Holders of a majority in principal amount of the Notes of this series may direct the Trustee in its exercise of any trust or power. The Trustee
may withhold from Noteholders notice of any continuing Default or Event of Default (except a Default or Event of Default in payment of principal or interest) if it in good faith determines that withholding notice is not opposed to their interest.

  

	14.	 Trustee Dealings with the Company 

Subject to certain limitations set forth in the Indenture, the Trustee under the Indenture, in its individual or any other capacity, may become
the owner or pledgee of Notes and may otherwise deal with and collect obligations owed to it by the Company and may otherwise deal with the Company with the same rights it would have if it were not Trustee. 

 

	15.	 No Recourse Against Others 

A director, officer, employee or stockholder (other than the Company), as such, of the Company shall not have any liability for any obligations
of the Company under the Notes or the Indenture or for any claim based on, in respect of or by reason of such obligations or their creation. By accepting a Note, each Noteholder waives and releases all such liability. The waiver and release are part
of the consideration for the issue of the Notes. 
  

	16.	 Authentication 

This Note shall not be valid until an authorized signatory of the Trustee (or an authenticating agent acting on its behalf) manually signs the
certificate of authentication on the other side of this Note. 
  

	17.	 Abbreviations 

Customary abbreviations may be used in the name of a Noteholder or an assignee, such as TEN COM (tenants in common), TEN ENT (tenants by the
entirety), JT TEN (joint tenants with rights of survivorship and not as tenants in common), CUST (custodian) and U/G/M/A (Uniform Gift to Minors Act). 

	18.	 CUSIP and ISIN Numbers 

The Company has caused CUSIP and ISIN numbers and/or other similar numbers to be printed on the Notes and has directed the Trustee to use CUSIP
and ISIN numbers and/or other similar numbers in notices of redemption as a convenience to Noteholders. No representation is made as to the accuracy of such numbers either as printed on the Notes or as contained in any notice of redemption and
reliance may be placed only on the other identification numbers placed thereon. 
  

	19.	 Governing Law 

This Note shall be governed by, and construed in accordance with, the laws of the State of New York. 

 ASSIGNMENT FORM 

To assign this Note, fill in the form below: 

I or we assign and transfer this Note to 

(Print or type assignee’s name, address and zip code) 

(Insert assignee’s Social Security or Tax I.D. No.) 

and irrevocably appoint                 as agent to transfer
this Note on the books of the Company. The agent may substitute another to act for him. 
  

 
 Date: ____________________ Your Signature:
______________________ 
 Signature Guarantee: ______________________________ 

(Signature must be guaranteed by a participant in a recognized Signature 

Guarantee Medallion Program or other signature guarantor program reasonably 

acceptable to the Trustee) 
  

 
 Sign exactly as your name appears on the other side of
this Note. 

 [TO BE ATTACHED IF A GLOBAL NOTE] 

SCHEDULE OF INCREASES AND DECREASES IN GLOBAL NOTE 

The following increases and decreases in this Global Note have been made: 

 

									
	 Date of
 Decrease or

Increase
	  	Amount of decrease in Principal
Amount of this Global Note	  	Amount of increase in Principal
Amount of this Global Note	  	Principal Amount of this Global
Note following such decrease
or increase	  	Signature of authorized
signatory of Trustee or
Securities Custodiansmtaassetmanagementagree

                                                                                                                                                                                             ASSET MANAGEMENT AGREEMENT          dated as of May 31, 2018                 between            SPIRIT MTA REIT                   and          SPIRIT REALTY, L.P.                                                                    

 

                                                                                   TABLE OF CONTENTS                                                                                             SECTION 1.       DEFINITIONS                                                          1                                                                                           SECTION 2.       APPOINTMENT AND DUTIES OF THE MANAGER                                6                                                                                           SECTION 3.       DEVOTION OF TIME; ADDITIONAL ACTIVITIES                             10                                                                                           SECTION 4.       AGENCY                                                              11                                                                                           SECTION 5.       BANK ACCOUNTS                                                       11                                                                                           SECTION 6.       RECORDS; CONFIDENTIALITY                                            11                                                                                           SECTION 7.       OBLIGATIONS OF MANAGER; RESTRICTIONS.                               12                                                                                           SECTION 8.       COMPENSATION                                                        12                                                                                           SECTION 9.       EXPENSES                                                            13                                                                                           SECTION 10.      LIMITS OF MANAGER RESPONSIBILITY; INDEMNIFICATION                   15                                                                                           SECTION 11.      NO JOINT VENTURE                                                    16                                                                                           SECTION 12.      TERM; TERMINATION                                                   16                                                                                           SECTION 13.      TERMINATION FEE                                                     17                                                                                           SECTION 14.      PROMOTE                                                             17                                                                                           SECTION 15.      ASSIGNMENT                                                          18                                                                                           SECTION 16.      ACTION UPON TERMINATION                                             19                    SECTION 17.      RELEASE OF MONEY OR OTHER PROPERTY UPON WRITTEN                     19                  REQUEST                                                                                           SECTION 18.      NOTICES                                                             20                                                                                           SECTION 19.      BINDING NATURE OF AGREEMENT; SUCCESSORS AND ASSIGNS                 20                                                                                           SECTION 20.      ENTIRE AGREEMENT                                                    20                                                                                           SECTION 21.      ARBITRATION                                                         20     

 

                                                                                           SECTION 22.      NAME LICENSE                                                        23                                                                                           SECTION 23.      CONTROLLING LAW                                                     23                                                                                           SECTION 24.      INDULGENCES, NOT WAIVERS                                            24                                                                                           SECTION 25.      TITLES NOT TO AFFECT INTERPRETATION                                 23                                                                                           SECTION 26.      EXECUTION IN COUNTERPARTS                                           24                                                                                           SECTION 27.      PROVISIONS SEPARABLE                                                24                                                                                                 

 

                             ASSET MANAGEMENT AGREEMENT                                                     THIS ASSET MANAGEMENT AGREEMENT (this “Agreement”) is made as of May 31, 2018  by and between Spirit MTA REIT, a Maryland real estate investment trust (the “Company”), and Spirit  Realty, L.P., a Delaware limited partnership (together with its permitted assignees, the “Manager”).         WHEREAS, the Company desires to avail itself of the experience, sources of information, advice,  assistance and certain facilities of, or available to, the Manager and to have the Manager undertake the  duties and responsibilities hereinafter set forth, on behalf of the Company, as provided in this Agreement;  and         WHEREAS, the Manager is willing to render such services on the terms and conditions hereinafter  set forth.         NOW THEREFORE, IN CONSIDERATION OF THE MUTUAL AGREEMENTS HEREIN SET  FORTH, THE PARTIES HERETO AGREE AS FOLLOWS:   SECTION 1. DEFINITIONS.         The following terms have the meanings assigned to them:         “AAA” has the meaning set forth in Section 21 of this Agreement.         “Affiliate” means, with respect to any Person, (i) any other Person directly or indirectly  controlling, controlled by, or under common control with such Person, (ii) any executive officer, general  partner or managing member of such Person, (iii) any member of the board of directors or board of  managers (or bodies performing similar functions) of such Person, and (iv) any legal entity for which such  Person acts as an executive officer, general partner or managing member. For purposes of this Agreement,  the Company shall not be considered an Affiliate of the Manager.         “Agreement” means this Asset Management Agreement, as amended from time to time.         “Appellate Rules” has the meaning set forth in Section 21 of this Agreement.         “Award” has the meaning set forth in Section 21 of this Agreement.         “Board of Trustees” means the board of trustees of the Company.         “Change in Control” shall mean the occurrence of any of the following events:          (i)   a transaction or series of transactions whereby any “person” or related “group” of “persons”  (as such terms are used in Sections 13(d) and 14(d)(2) of the Exchange Act) (other than the Company or  any Subsidiary of the Company) directly or indirectly acquires beneficial ownership (within the meaning  of Rule 13d-3 under the Exchange Act) of securities of the Company possessing more than fifty percent  (50%) of the total combined voting power of the Company’s securities outstanding immediately after such  acquisition; or                                                                                                                                                                             1  

 

          (ii)  during any period of two (2) consecutive years, individuals who, at the beginning of such   period, constitute the Board of Trustees together with any new trustee(s) (other than a trustee designated   by a person who shall have entered into an agreement with the Company to effect a transaction described   in the preceding clause (i) or the succeeding clause (iii) of this definition) whose election by the Board of   Trustees or nomination for election by the Company’s shareholders was approved by a vote of at least   two-thirds (2/3) of the trustees then still in office who either were trustees at the beginning of the two (2)-  year period or whose election or nomination for election was previously so approved, cease for any reason   to constitute a majority thereof; or           (iii) the consummation by the Company (whether directly involving the Company or indirectly   involving the Company through one or more intermediaries) of (A) a merger, consolidation,   reorganization, or business combination, (B) a sale or other disposition of all or substantially all of the   Company’s assets in any single transaction or series of related transactions or (C) the acquisition of assets   or stock of another entity, in each case, other than a transaction:                 (1)   which results in the Company’s voting securities outstanding immediately before         the transaction continuing to represent (either by remaining outstanding or by being converted into         voting securities of the Company or the person that, as a result of the transaction, controls, directly        or indirectly, the Company or owns, directly or indirectly, all or substantially all of the Company’s        assets or otherwise succeeds to the business of the Company (the Company or such person, the         “Successor Entity”)) directly or indirectly, at least a majority of the combined voting power of the         Successor Entity’s outstanding voting securities immediately after the transaction, and following         which the Successor Entity continues to own all or substantially all the assets that the Company         owned immediately before the transaction and succeeds to its business, and                 (2)   after which no person or group beneficially owns voting securities representing fifty         percent (50%) or more of the combined voting power of the Successor Entity; provided, however,         that no person or group shall be treated for purposes of this clause (iii)(2) as beneficially owning         fifty percent (50%) or more of the combined voting power of the Successor Entity solely as a result         of the voting power held in the Company prior to the consummation of the transaction; or         (iv)  approval by the Company’s shareholders  of a liquidation or dissolution of the Company.          “Code” means the Internal Revenue Code of 1986, as amended.          “Common Share” means a common share of beneficial interest, par value $0.01 per share, of the   Company now or hereafter authorized as common voting shares of the Company.          “Company” has the meaning set forth in the preamble to this Agreement.          “Company Account” has the meaning set forth in Section 5 of this Agreement.          “Company Indemnified Party” has the meaning set forth in Section 10 of this Agreement.          “Company TSR Percentage” means the XIRR, expressed as a percentage (rounded to the nearest   tenth of a percent (0.1%)), during the Measurement Period due to the appreciation in the price per   Common Share, plus dividends declared during the Measurement Period, assuming dividends are   reinvested in Common Shares on the date that they were paid (at a price equal to the closing price per   Common Share on the applicable dividend payment date); provided, however, that for purposes of  calculating the Company TSR Percentage, the initial share price shall equal the Initial Price Per Share and                                                                                                                                                                             2  

 

    the final share price as of any given date shall equal the Share Value.          “Company TSR Amount” means the sum of the price per Common Share on the last day of the   Measurement Period, plus the sum of all dividends declared during the Measurement Period, assuming   dividends are reinvested in Common Shares on the date that they were paid (at a price equal to the closing   price per Common Share on the applicable dividend payment date); provided, however, that for purposes   of calculating the Company TSR Amount, the initial share price shall equal the Initial Price Per Share and   the final share price as of any given date shall equal the Share Value.          “Conflicts of Interest Policy” refers to the conflicts of interest policy included in the Investment   Manual.          “Disputes” has the meaning set forth in Section 21 of this Agreement.          “Distribution Date” means May 31, 2018.          “Effective Termination Date” means the earliest to occur of (i) the date designated by the Company   pursuant to Section 12(b)(i) or Section 12(c)(i) on which the Manager shall cease to provide services under   this Agreement and (ii) the effective date of termination of this Agreement pursuant to Section 12(b)(ii)   and Section 12(c)(ii).          “Excess Funds” has the meaning set forth in Section 2(i) of this Agreement.          “Exchange Act” means the Securities Exchange Act of 1934, as amended.          “GAAP” means generally accepted accounting principles in the United States.          “Governing Instruments” means, with regard to any entity, the declaration of trust and bylaws in   the case of a real estate investment trust, the articles of incorporation and bylaws in the case of a   corporation, the certificate of limited partnership (if applicable) and the partnership agreement in the case   of a general or limited partnership, the articles of formation and the operating agreement in the case of a  limited liability company, or, in each case, comparable governing documents.          “Hurdle TSR Amount” means an indicative price per Common Share on the last day of the   Measurement Period calculated assuming appreciation in the price per Common Share based on a  specified Company TSR Percentage during the Measurement Period; provided, however, that for purposes  of calculating the Hurdle TSR Amount, the initial share price shall equal the Initial Price Per Share.          “Indemnified Party” has the meaning set forth in Section 10 of this Agreement.          “Independent Trustees” means the members of the Board of Trustees who are not officers or   employees of the Manager, and who are otherwise “independent” in accordance with the Company’s   Governing Instruments and the rules of the NYSE or such other securities exchange on which the Common   Shares are listed.          “Initial Price Per Share” means the VWAP per Common Share for the 30 consecutive trading days   on the principal exchange on which such shares are then traded immediately following the Distribution   Date.          “Investment Manual” means the investment manual approved by the Board of Trustees, as the                                                                                                                                                                              3  

 

    same may amended, restated, modified, supplemented or waived pursuant to the approval of a majority of   the entire Board of Trustees from time to time (which must include a majority of the Independent   Trustees).          “Investments” means the investments of the Company.          “Investment Company Act” means the Investment Company Act of 1940, as amended.          “Licensed Name” has the meaning set forth in Section 22 of this Agreement.          “Losses” has the meaning set forth in Section 10 of this Agreement.          “License Term” has the meaning set forth in Section 22 of this Agreement.          “Management Fee” has the meaning set forth in Section 8(a) of this Agreement.          “Management Fee PIK Event” means (i) the good faith determination by the Board of Trustees   that forgoing the payment of all or any portion of the monthly installment of the Management Fee is  necessary for the Company to have sufficient funds to declare and pay dividends required to be paid in   cash in order for the Company to maintain its status as a REIT under the Code and to avoid incurring  income or excise taxes, or (ii) the occurrence and continuance of an “Early Amortization Event,” “Event  of Default” or “Sweep Period,” in each case, as defined under the Second Amended and Restated Master  Indenture, dated as of May 20, 2014, among Spirit Master Funding, LLC, Spirit Master Funding II, LLC,  Spirit Master Funding III, LLC and Citibank, N.A., as amended and supplemented from time to time, such  definitions not to be revised, modified or amended without prior written consent by Manager.          “Manager” has the meaning set forth in the preamble to this Agreement.          “Measurement Period” means the period commencing on the Distribution Date and ending upon   the earlier of (i) the Effective Termination Date and (ii) the date that is 36 full calendar months after the   Distribution Date.          “Notice of Proposal to Negotiate” has the meaning set forth in Section 12(b)(i) of this Agreement.          “NYSE” means the New York Stock Exchange.          “Operating Partnership” means Spirit MTA REIT, L.P., a Delaware limited partnership, of which   Spirit MTA OP Holdings, LLC, a Delaware limited liability company and a wholly-owned subsidiary of  the Company, is the sole general partner. The Company is the managing member of Spirit MTA OP  Holdings, LLC.          “Original Term” has the meaning set forth in Section 12(a) of this Agreement.          “Person” means any natural person, corporation, partnership, association, limited liability   company, estate, trust, joint venture, any federal, state, county or municipal government or any bureau,   department or agency thereof or any other legal entity and any fiduciary acting in such capacity on   behalf of the foregoing.          “Preferred Share” means a share of share capital of the Company now or hereafter authorized or   reclassified that has dividend rights, or rights upon liquidation, winding up and dissolution, that are                                                                                                                                                                              4  

 

    superior or prior to the Common Shares.          “Promote” has the meaning set forth in Section 14 of this Agreement.          “Property Management Agreement” means the Second Amended and Restated Property   Management and Servicing Agreement dated May 20, 2014, by and among Spirit Realty, L.P., Spirit   Master Funding, LLC, Spirit Master Funding II, LLC, Spirit Master Funding III, LLC and Midland Loan   Services, a division of PNC Bank, National Association, as subsequently amended.          “REIT” means a real estate investment trust under the Code.          “Renewal Term” has the meaning set forth in Section 12(a) of this Agreement.          “Rules” has the meaning set forth in Section 21 of this Agreement.          “SEC” means the U.S. Securities and Exchange Commission.          “Securities Act” means the Securities Act of 1933, as amended.          “Series A Preferred Shares” means the Series A preferred shares of the Company, par value $0.01   per share.          “Share Value,” as of any given date, means the VWAP per Common Share for the 10 consecutive   trading days on the principal exchange on which such shares are then traded immediately preceding such  date; provided, however, that if a Change in Control causes the end of the Measurement Period, Share   Value shall mean the price per Common Share paid by the acquiror in the Change in Control transaction   or, to the extent that the consideration in the Change in Control transaction is paid in stock of the acquiror   or its affiliates, the Share Value shall mean the value of the consideration paid per Common Share based   on the VWAP per share of such acquiror stock for the 10 consecutive trading days on the principal   exchange on which such shares are then traded immediately preceding the date on which a Change in   Control occurs.          “Subsidiary” means any subsidiary of the Company and any partnership, the general partner of   which is the Company or any subsidiary of the Company and any limited liability company, the managing   member of which is the Company or any subsidiary of the Company.          “Termination Fee” has the meaning set forth in Section 13 of this Agreement.          “Termination Notice” has the meaning set forth in Section 12(b)(i) of this Agreement.          “Transition Services Agreement” has the meaning set forth in Section 12(b)(i) of this Agreement.          “VWAP” means the volume weighted average price.          “XIRR” means the Extended Internal Rate of Return as calculated by using the “=XIRR” function   in Microsoft Excel.                SECTION 2. APPOINTMENT AND DUTIES OF THE MANAGER.                                                                                                                                                                              5  

 

          (a)   The Company hereby appoints the Manager to manage the assets of the Company, subject   to the further terms and conditions set forth in this Agreement, and the Manager hereby agrees to use its   commercially reasonable efforts to perform each of the duties set forth herein. The appointment of the   Manager shall be exclusive to the Manager, except to the extent that the Manager elects, pursuant to the   terms and conditions of this Agreement, to cause the duties of the Manager hereunder to be provided by   third parties.          (b)   The Manager, in its capacity as manager of the assets and the day-to-day operations of the  Company (and all subsidiaries and joint ventures of the Company), at all times will be subject to the  supervision, direction and management of the Board of Trustees and will have only such functions and  authority as the Company may delegate to it.  The Company hereby reserves to a majority of the Board of  Trustees (three (3) of whom must be independent) the following powers:               (i)   the authority to determine or change the strategic direction of the Company at any        time and in the sole discretion of the Board of Trustees;                (ii)  the approval of prospective Investments, to the extent required by the Investment         Manual or the Conflicts of Interest Policy, which may not be amended in a manner that is         detrimental to the Company without approval by a majority of the Independent Trustees, it being         understood that the Board of Trustees shall have the power to reject prospective Investments, even         if such Investments comply with the criteria outlined in the Investment Manual;                (iii) the approval or disapproval of prospective dispositions of Investments, to the extent         required by the Investment Manual, as it may be amended by the Board of Trustees from time to         time;                (iv)  the approval of the terms of loan documents for the Company’s financings;                (v)   the approval of the Company’s annual budget (which shall address in reasonable         detail, among other matters, financing plans and capital planning, it being understood that the         Manager will submit such budget in advance to the Board of Trustees for review and approval,         and will provide quarterly updates of performance against the annual budget to the Board of         Trustees;                (vi)  the approval of the retention of the Company’s registered public accountants;                (vii) the approval of any material transaction between the Company and the Manager         and its Affiliates, other than transactions pursuant to this Agreement, the Property Management         Agreement and other transactions in effect as of the Distribution Date;                 (viii) the issuance of equity or debt securities by the Company;                 (ix)  the grant of equity incentive awards by the Company;                (x)   the entry into joint ventures by the Company or its Subsidiaries;                (xi)  the approval of entry into any transaction that would constitute a Change in Control;         and                (xii)  such other matters as may be determined by the Board of Trustees from time to                                                                                                                                                                             6  

 

          time.          (c)   The Company, subject to Section 2(b), hereby delegates the following functions and  authority to the Manager. Subject to the Section 2(b), the Manager will be responsible for managing the  assets and the day-to-day operations of the Company and will perform (or cause to be performed) such  services and activities relating to the assets and operations of the Company as may be appropriate,  including, without limitation:               (i)   sourcing, investigating and evaluating prospective Investments and dispositions of        Investments, subject to and consistent with the Investment Manual, and making recommendations        with respect thereto to the Board of Trustees, where applicable;               (ii)  subject to and consistent with the Investment Manual, conducting negotiations with        brokers, sellers and purchasers, and their respective agents and representatives, investment bankers        and owners of privately and publicly held real estate or related assets, regarding the purchase, sale,        exchange or other disposition of any Investments;               (iii) managing and monitoring the operating performance of Investments and providing        periodic reports to the Board of Trustees, including comparative information with respect to such        operating performance and budgeted or projected operating results;               (iv)  assisting the Company in developing criteria that are specifically tailored to the        Company’s investment objectives and making available to the Company the Manager’s knowledge        and experience with respect to its target assets;               (v)   engaging and supervising independent contractors that provide services relating to        the Company or the Investments, including, but not limited to, investment banking, legal or        regulatory advisory, tax advisory, accounting advisory, securities brokerage, property        management/operations, property condition, real estate and leasing advisory and brokerage, and        other financial and consulting services reasonably necessary for Manager to perform its duties        hereunder (it being understood that the Board of Trustees and its Audit Committee shall retain        authority to determine the Company’s independent public accountant and that the Independent        Trustees and any committee of the Board of Trustees shall retain the authority to hire its or their        own attorneys or other advisors);               (vi)  subject to any required approval of the Board of Trustees, negotiating, on behalf of        the Company, the terms of loan documents for the Company’s financings;               (vii) enforcing, monitoring and managing compliance with loan documents to which the        Company is a party on behalf of the Company;               (viii) coordinating and managing operations of any joint venture or co-investment        interests held by the Company and conducting all matters with the joint venture or co-investment        partners;               (ix)  coordinating and supervising all property managers, tenant operators, leasing        agents and developers for the administration, leasing, management and/or development of any of         the Investments;                (x)   providing executive and administrative personnel, office space and office services                                                                                                                                                                             7  

 

             required in rendering services to the Company;           (xi)  administering bookkeeping and accounting functions as are required for the   management and operation of the Company, contracting for audits and preparing or causing to be   prepared such periodic reports and filings as may be required by any governmental authority in   connection with the ordinary conduct of the Company’s business, and otherwise advising and   assisting the Company with its compliance with applicable legal and regulatory requirements,   including, without limitation, periodic reports, returns or statements required under the Exchange   Act, the Code and any regulations or rulings thereunder, the securities and tax statutes of any   jurisdiction in which the Company is obligated to file such reports, or the rules and regulations   promulgated under any of the foregoing;          (xii) advising and assisting in the preparation and filing of all offering documents,   registration statements, prospectuses, proxies, and other forms or documents filed with the SEC   pursuant to the Securities Act or any state securities regulators (it being understood that the   Company shall be responsible for the content of any and all of its offering documents, SEC filings   or state regulatory filings, and that Manager shall not be held liable for any costs or liabilities   arising out of any misstatements or omissions in the Company’s offering documents, SEC filings,   state regulatory filings or other filings referred to in this subparagraph, whether or not material   (except by reason of acts constituting bad faith, willful misconduct, gross negligence or reckless   disregard of Manager’s duties under this Agreement);          (xiii) causing the Company to retain qualified accountants and legal counsel, as   applicable, to assist in developing appropriate accounting procedures, compliance procedures and   testing systems with respect to financial reporting obligations and compliance with the provisions   of the Code applicable to REITs (it being understood that the Board of Trustees and its Audit  Committee shall retain authority to determine the Company’s independent public accountant and  that the Independent Trustees and any Committee of the Board of Trustees shall retain the authority  to hire its or their own attorneys or other advisors);         (xiv) taking all necessary actions to enable the Company to make required tax filings and  reports, including soliciting shareholders for required information to the extent required by the   provisions of the Code applicable to REITs;           (xv)  counseling the Company regarding the maintenance of its status as a REIT and   monitoring compliance with the various REIT qualification tests and other rules set out in the Code   and Treasury Regulations thereunder;          (xvi) counseling the Company regarding the maintenance of its exemption from the   Investment Company Act and monitoring compliance with the requirements for maintaining an   exemption from the Investment Company Act;          (xvii) counseling the Company in connection with policy decisions to be made by the   Board of Trustees;          (xviii) evaluating and recommending to the Board of Trustees modifications to any   hedging strategies in effect on the date hereof and engaging in hedging activities;          (xix) communicating with the Company’s investors and analysts as required to satisfy   reporting or other requirements of any governing body or exchange on which the Company’s                                                                                                                                                                 8  

 

        securities are traded and to maintain effective relations with such investors;              (xx)  investing and re-investing any moneys and securities of the Company (including       investing in short-term Investments pending investment in Investments, payment of fees, costs and        expenses, or payments of dividends or distributions to shareholders and partners of the Company)        and advising the Company as to its capital structure and capital raising;               (xxi) causing the Company to qualify to do business in all applicable jurisdictions and to        obtain and maintain all appropriate licenses;               (xxii) handling and resolving all claims, disputes or controversies (including all litigation,        arbitration, settlement or other proceedings or negotiations) in which the Company may be        involved or to which the Company may be subject arising out of the Company’s day-to-day        operations, subject to such limitations or parameters as may be imposed from time to time by the        Board of Trustees;               (xxiii) using commercially reasonable efforts to cause expenses incurred by or on behalf        of the Company to be within any expense guidelines set by the Board of Trustees from time to        time;               (xxiv) performing such other services as may be required from time to time for        management and other activities relating to the assets of the Company as the Board of Trustees        and Manager shall agree from time to time; and               (xxv) using commercially reasonable efforts to cause the Company to comply with all        applicable laws and regulations in all material respects, subject to the Company providing        appropriate, necessary and timely funding of capital.         The Board of Trustee has dispositive power in the event of any conflict between the Board of  Trustees and the Manager with respect to the functions and authority delegated to the Manager above.         Without limiting the foregoing, the Manager will perform portfolio management services on behalf  of the Company with respect to the Investments. Such services will include, but not be limited to,  consulting with the Company on the purchase and sale of, and other investment opportunities in  connection with, the Company’s portfolio of assets; the collection of information and the submission of  reports pertaining to the Company’s assets, interest rates and general economic conditions; periodic  review and evaluation of the performance of the Company’s portfolio of assets; acting as liaison between  the Company and banking, mortgage banking, investment banking and other parties with respect to the  purchase, financing and disposition of assets; and other customary functions related to portfolio  management. Additionally, the Manager will perform monitoring services on behalf of the Company with  respect to any services provided by third parties, which the Manager determines are material to the  performance of the business.         (d)   Subject to Section 2(b) above and the Conflicts of Interest Policy, the Manager may enter  into agreements with other parties in connection with its duties hereunder.         (e)   The Manager may retain, for and on behalf, and at the sole cost and expense, of the  Company, such services of accountants, legal counsel, tax counsel, appraisers, insurers, brokers or  business developers, transfer agents, registrars, developers, investment banks, financial advisors,  underwriters, banks and other lenders and others as the Manager deems necessary or advisable in                                                                                                                                                                           9  

 

    connection with the management and operations of the Company. Notwithstanding anything contained   herein to the contrary, the Manager shall have the right to cause any such services to be rendered by its   employees or Affiliates (which, for the avoidance of doubt, includes any employees, consultants or agents   of any Affiliate of the Manager).           (f)   As frequently as the Manager may deem necessary or advisable, or at the direction of the   Board of Trustees, the Manager shall, at the sole cost and expense of the Company, prepare, or cause to   be prepared, with respect to any Investment (i) an appraisal prepared by an independent real estate   appraiser; (ii) reports and information on the Company’s operations and asset performance; and (iii) other   information reasonably requested by the Company.          (g)   The Manager shall prepare, or cause to be prepared, at the sole cost and expense of the   Company, all reports, financial or otherwise, with respect to the Company required by the Board of   Trustees in order for the Company to comply with its Governing Instruments or any other materials   required to be filed with any governmental body or agency, as well as all materials and data necessary to   complete such reports and other materials including, without limitation, an annual audit of the Company’s   books of account by a nationally recognized independent accounting firm.          (h)   The Manager shall prepare regular reports for the Board of Trustees to enable the Board of   Trustees to review the Company’s acquisitions, portfolio composition and characteristics, credit quality,   performance and compliance with the Investment Manual and any policies approved by the Board of   Trustees.          (i)  Notwithstanding anything contained in this Agreement to the contrary, the Manager shall  not be required to expend money (“Excess Funds”) in excess of that contained in any applicable Company   Account or otherwise made available by the Company to be expended by the Manager hereunder. Failure   of the Manager to expend Excess Funds out-of-pocket shall not give rise or be a contributing factor to the  right of the Company under Section 12(b) to terminate this Agreement due to the Manager’s unsatisfactory  performance.          (j)  In performing its duties under this Section 2, the Manager shall be entitled to rely  reasonably on qualified experts hired by the Manager.    SECTION 3. DEVOTION OF TIME; ADDITIONAL ACTIVITIES.          (a)   The Manager will provide a management team, including a dedicated chief executive   officer and a dedicated chief financial officer, to provide the management services hereunder. The   members of such team shall devote such of their time to the management of the Company as is reasonably   necessary and appropriate.          (b)   Except to the extent set forth in clause (a) above or in the Conflicts of Interest Policy,   nothing herein shall prevent the Manager or any of its Affiliates or any of the officers and employees of  any of the foregoing from engaging in other businesses or from rendering services of any kind to any other  person or entity, including investment in, or advisory service to others investing in, any type of real estate   or real estate related investment, including investments which meet the principal investment objectives of   the Company. Subject to the Conflicts of Interest Policy, the Company recognizes that it is not entitled to  preferential treatment in receiving information, recommendations and other services from the Manager.  The Manager shall act in good faith to endeavor to identify to the Independent Trustees any conflicts that  may arise among the Company, the Manager and/or any other person or entity on whose behalf the  Manager may be engaged. When allocating investment opportunities among the persons or entities for                                                                                                                                                                            10  

 

    which the Manager acts as manager, the Manager will comply with its Conflicts of Interest Policy as in   effect from time to time          (c)   Managers, members, officers, employees and agents of the Manager or Affiliates of the   Manager may serve as trustees, officers, employees, agents, nominees or signatories for the Company or   any Subsidiary, to the extent permitted by the Governing Instruments of the Company or any such   Subsidiary, as from time to time amended, or by any resolutions duly adopted by the Board of Trustees   pursuant to the Company’s Governing Instruments. When executing documents or otherwise acting in   such capacities for the Company, such persons shall use their respective titles in the Company.    SECTION 4. AGENCY.         The Manager shall act as agent of the Company in making, acquiring, financing and disposing of  Investments, disbursing and collecting the Company’s funds, paying the debts and fulfilling the   obligations of the Company, supervising the performance of professionals engaged by or on behalf of the   Company and handling, prosecuting and settling any claims of or against the Company, the Board of   Trustees, holders of the Company’s securities or the Company’s representatives or properties.    SECTION 5. BANK ACCOUNTS.          The Manager may establish and maintain one or more bank accounts in the name of the Company   or any Subsidiary (any such account, a “Company Account”), and may collect and deposit funds into any   such Company Account or Company Accounts, and disburse funds from any such Company Account or   Company Accounts; and the Manager shall from time to time render appropriate accountings of such   collections and payments to the Board of Trustees and, upon request, to the auditors of the Company or   any Subsidiary.    SECTION 6. RECORDS; CONFIDENTIALITY.          The Manager shall maintain appropriate books of accounts and records relating to services   performed under this Agreement, and such books of account and records shall be accessible for inspection   by representatives of the Company at any time during normal business hours upon reasonable advance   notice to the Manager.          The Manager shall keep confidential any and all non-public information obtained in connection  with the services rendered under this Agreement and shall not disclose any such information to any person,  except to (i) its Affiliates, members, officers, directors, employees, agents, representatives or advisors  who have a need to know such information in order to carry out their duties to the Company and who have  a duty to the Manager or to the Company to keep such information confidential, (ii) appraisers, financing  sources and others in the ordinary course of the Manager’s business for the purpose of rendering services  hereunder, provided that such persons agree to keep such information confidential, (iii) in connection with  any governmental or regulatory requests of the Manager and any of its Affiliates, (v) as required by   applicable law or regulation, including any applicable disclosure requirements applicable to the Manager   and its Affiliates under securities or blue sky laws or stock exchange listing requirements, or (vi) with the   prior written consent of the Board of Trustees.    SECTION 7. OBLIGATIONS OF MANAGER; RESTRICTIONS.          (a)   The Manager shall require each seller or transferor of Investments to the Company to make   such representations and warranties regarding such assets as may, in the sole judgment made in good faith                                                                                                                                                                            11  

 

    of the Manager, be necessary and appropriate. In addition, the Manager shall take such other action as it   deems necessary or appropriate with regard to the protection of the Investments.          (b)   The Manager shall refrain from any action that, in its sole judgment made in good faith, (i)   is not in compliance with the Investment Manual, (ii) can reasonably be expected to result in the loss of   the Company’s status as a REIT under the Code or (iii) would violate any law, rule or regulation of any   governmental body or agency having jurisdiction over the Company or any Subsidiary that would   materially adversely affect the Company or that would otherwise not be permitted by such entity’s   Governing Instruments. If the Manager is ordered to take any such action by the Board of Trustees, the   Manager shall promptly notify the Board of Trustees of the Manager’s judgment that such action would   adversely affect such status or violate any such law, rule or regulation or the Governing Instruments.   Notwithstanding the foregoing, the Manager and its Affiliates, officers and employees shall not be liable   to the Company or any Subsidiary, the Board of Trustees, or the Company’s or any Subsidiary’s   shareholders or partners for any act or omission by the Manager, its Affiliates, officers or employees   except as provided in Section 10.          (c)   The Manager shall at all times during the term of this Agreement (including the Original   Term and any renewal term) maintain a tangible net worth equal to or greater than $1,000,000.   Additionally, during such period the Manager shall maintain “errors and omissions” insurance coverage   and other insurance coverage which is customarily carried by asset and investment managers performing   functions similar to those of the Manager under this Agreement with respect to assets similar to the assets   of the Company, in an amount which is comparable to that customarily maintained by other managers or   servicers of similar assets.    SECTION 8. COMPENSATION.          (a)   The Company shall pay Manager a management fee (“Management Fee”) equal to $20.0   million per annum, payable in equal monthly installments, in arrears, on the tenth day of each calendar   month beginning with the first calendar month after the date of this Agreement; provided, however, that   (i) in the event of a Management Fee PIK Event arising under clause (i) of the definition thereof, the   portion of the monthly installment of the Management Fee that is necessary for the Company to have   sufficient funds to declare and pay dividends required to be paid in cash in order for the Company to   maintain its status as a REIT under the Code and to avoid incurring income or excise taxes shall, during   the occurrence and continuation of any such Management Fee PIK Event, be payable in a number of Series  A Preferred Shares determined by dividing such portion of the Management Fee by the liquidation  preference of the Series A Preferred Shares rounded down to the nearest whole share and (ii) in the event  of a Management Fee PIK Event arising under clause (ii) of the definition thereof, that the entire monthly  installment of the Management Fee shall, during the occurrence and continuation of any such Management  Fee PIK Event, be payable in a number of Series A Preferred Shares determined by dividing the  Management Fee by the liquidation preference of the Series A Preferred Shares rounded down to the  nearest whole share. In the event that this Agreement commences on a date other than the first day of a  calendar month, or terminates on a date other than the last day of a calendar month, the installment of the   Management Fee payable for that month shall be prorated for the actual number of days that this   Agreement is effective in that calendar month.          (b)   The Management Fee is subject to adjustment pursuant to and in accordance with the   provisions of Section 12(b).          (c)   To incentivize employees, officers, consultants, non-employee trustees, Affiliates or                                                                                                                                                                             12  

 

    representatives of the Manager to achieve the goals and business objectives of the Company as established   by the Board of Trustees, in addition to the Management Fee set forth above, the Board of Trustees will   have the authority to make recommendations of annual equity awards to the Manager or its affiliates or   directly to employees, officers, consultants, non-employee trustees, Affiliates or representatives of the  Manager (including the dedicated chief executive officer and chief financial officer of the Company),  based on the achievement by the Company of certain financial or other objectives established by the Board  of Trustees; provided that, no equity awards by the Company to employees or officers of the Manager  (including the dedicated chief executive officer and chief financial officer of the Company) shall be made  without the Manager’s prior written consent. The Company, at its option, may choose to issue such  compensation in the form of equity awards in the Company or the Operating Partnership, unless and to  the extent that receipt of such equity awards would adversely affect the Company’s status as a REIT, in  which case, the equity awards shall be limited to equity awards in the Operating Partnership, unless and  to the extent that receipt of such equity awards would adversely affect the Operating Partnership’s status  as a partnership for U.S. federal income tax purposes or the Company’s status as a REIT, in which case,  the grant of equity awards shall not be made. Any transfer of such equity awards at any time must comply  with the transfer restrictions of the Operating Partnership’s partnership agreement or the Company’s  declaration of trust and bylaws, as applicable.   SECTION 9. EXPENSES.         (a)   Expenses of the Manager.  Except as otherwise expressly provided herein or approved by  majority vote of the Independent Trustees or the Audit Committee of the Board, the Manager shall bear  the following expenses incurred in connection with the performance of its duties under this Agreement:               (i)   base salary, cash incentive compensation and other employment expenses        (excluding equity awards granted by the Company pursuant to Section 8(c)) of the dedicated chief        executive officer and dedicated chief financial officer of the Company;                (ii)  employment expenses of other personnel employed by the Manager, including, but         not limited to, salaries, wages, payroll taxes and the cost of employee benefit plans;                (iii) fees and travel and other expenses of officers and employees of the Manager, except         for (A) fees and travel and other expenses of such persons incurred while performing services on         behalf of the Company (provided that, if such fees and travel and other expenses are incurred while         providing services on behalf of both the Company and its affiliates and Spirit Realty Capital, Inc.         and its affiliates, the Manager shall have the authority to reasonably allocate such fees and travel        and other expenses between the entities), and (B) fees and travel and other expenses of such        persons who are trustees or officers of the Company incurred in their capacities as trustees or        officers of the Company;                (iv)  rent, telephone, utilities, office furniture, equipment and machinery (including         computers, to the extent utilized) and other office expenses of the Manager, except to the extent         such expenses relate solely to an office maintained by the Company separate from the office of         the Manager; and                (v)   miscellaneous administrative expenses relating to performance by the Manager of         its obligations hereunder.          (b)   Expenses of the Company.  Except as expressly otherwise provided in this Agreement, the   Company shall pay all of its and its Subsidiaries’ expenses, and, without limiting the generality of the                                                                                                                                                                            13  

 

  foregoing, it is specifically agreed that the following expenses of the Company and its Subsidiaries shall  be paid by the Company or its Subsidiaries and shall not be paid by the Manager:               (i)   the cost of borrowed money;               (ii)  taxes on income and taxes and assessments on real and personal property, if any,        and all other taxes applicable to the Company or its Subsidiaries;               (iii) legal, auditing, accounting, underwriting, brokerage, listing, reporting, registration        and other fees, and printing, engraving and other expenses and taxes incurred in connection with        the issuance, distribution, transfer, trading, registration and listing of the Company’s or any of its        Subsidiaries securities on the stock exchange, including transfer agent’s, registrar’s and indenture        trustee’s fees and charges;               (iv)  expenses of organizing, restructuring, reorganizing or liquidating the Company or        any of its Subsidiaries, or of revising, amending, converting or modifying the Company’s or any        of its Subsidiaries’ organizational documents;               (v)   fees and travel and other expenses paid to members of the Board of Trustees and        officers of the Company or those of individuals in similar positions with any of its Subsidiaries in        their capacities as such (but not in their capacities as officers or employees of the Manager) and        fees and travel and other expenses paid to advisors, contractors, mortgage servicers, consultants,        and other agents and independent contractors employed by or on behalf of the Company and its        Subsidiaries;               (vi)  expenses directly connected with the investigation, acquisition, disposition or        ownership of real estate interests or other property (including third party property diligence costs,        appraisal reporting, the costs of foreclosure, insurance premiums, legal services, brokerage and        sales commissions, maintenance, repair, improvement and local management of property), other        than expenses with respect thereto of employees of the Manager, to the extent that such expenses        are to be borne by the Manager pursuant to Section 9(a) above;               (vii) all insurance costs incurred in connection with the Company and its Subsidiaries        (including officer and trustee liability insurance) or in connection with any officer and trustee        indemnity agreement to which the Company or any of its Subsidiaries is a party;               (viii) expenses connected with payments of dividends or interest or contributions in cash        or any other form made or caused to be made by the Trustees to holders of securities of the        Company or any of its Subsidiaries;               (ix)  all expenses connected with communications to holders of securities of the        Company or its Subsidiaries and other bookkeeping and clerical work necessary to maintaining        relations with holders of securities, including the cost of any transfer agent, the cost of preparing,        printing, posting, distributing and mailing certificates for securities and proxy solicitation materials        and reports to holders of the Company’s or its Subsidiaries’ securities;               (x)   legal, accounting and auditing fees and expenses in addition to those described in        subsection (iii) above;               (xi)  filing and recording fees for regulatory or governmental filings, approvals and                                                                                                                                                                          14  

 

        notices to the extent not otherwise covered by any of the foregoing items of this Section 9(b);               (xii) expenses relating to any office or office facilities maintained by the Company or its        Subsidiaries separate from the office of the Manager;               (xiii) software licensing fees and other fees and costs associated with proprietary        software and programs used separately by the Company;               (xiv) the costs and expenses of all equity award or compensation plans or arrangements        established by the Company or any of its Subsidiaries, including the value of awards made by the        Company or any of its Subsidiaries to the Manager or its employees, if any, and payment of any        employment or withholding taxes in connection therewith;                 (xv)  the equity portion of the compensation of the Company’s dedicated chief executive        officer and dedicated chief financial officer, which the Company is solely responsible for        determining and paying; and               (xvi) all other costs and expenses of the Company and its Subsidiaries, other than those        to be specifically borne by the Manager pursuant to Section 9(a) above.         Notwithstanding the foregoing, nothing in this Agreement shall be deemed to amend or modify  the Property Management Agreement.   SECTION 10. LIMITS OF MANAGER RESPONSIBILITY; INDEMNIFICATION.         (a)   The Manager assumes no responsibility under this Agreement other than to render the  services called for under this Agreement in good faith and shall not be responsible for any action of the  Board of Trustees in following or declining to follow any advice or recommendations of the Manager,  including as set forth in Section 7(b). The Manager, its members, managers, officers and employees will  not be liable to the Company or any Subsidiary, to the Board of Trustees, or the Company’s or any  Subsidiary’s shareholders or partners for any acts or omissions by the Manager, its Affiliates, members,  managers, officers or employees, pursuant to or in accordance with this Agreement, except by reason of  acts constituting bad faith, willful misconduct or gross negligence. The Company shall, to the full extent  lawful, reimburse, indemnify and hold the Manager, its Affiliates, members, managers, officers and  employees, sub-advisers and each other Person, if any, controlling the Manager (each, an “Indemnified  Party”), harmless of and from any and all expenses, losses, damages, liabilities, demands, charges and  claims of any nature whatsoever (including attorneys’ fees) (collectively, “Losses”) in respect of or arising  from any acts or omissions of such Indemnified Party made in good faith in the performance of the  Manager’s duties under this Agreement and not constituting such Indemnified Party’s bad faith, willful  misconduct or gross negligence.         (b)   The Manager shall, to the full extent lawful, reimburse, indemnify and hold the Company,  its shareholders, trustees, officers and employees and each other Person, if any, controlling the Company  (each, a “Company Indemnified Party”), harmless of and from any and all Losses in respect of or arising  from any acts or omissions of the Manager constituting bad faith, willful misconduct or gross negligence.   SECTION 11. NO JOINT VENTURE.         Nothing in this Agreement shall be construed to make the Company and the Manager partners or  joint venturers or impose any liability as such on either of them.                                                                                                                                                                          15  

 

    SECTION 12. TERM; TERMINATION.          (a)   Term.  Unless terminated in accordance with Section 15(a), this Agreement shall be in   effect until the date that is three years after the date hereof (the “Original Term”). At the expiration of the   Original Term, this Agreement shall be deemed renewed automatically each year for an additional one- year period (each, a “Renewal Term”), unless terminated pursuant to Section 12(b) or Section 12(c) below.          (b)   Termination without Cause.                  (i)   Termination by the Company.  The Company may terminate this Agreement at any   time upon 180-day written notice to the Manager informing it of the Company’s intention to terminate  this Agreement. Effective on the termination date of this Agreement under this Section 12(b)(i), the  Company and the Manager will enter into a transition services agreement (“Transition Services   Agreement”), upon mutually acceptable terms, that shall be in effect until the date that is eight months   after the date of the termination of this Agreement. For its services under the Transition Services   Agreement, the Company shall pay the Manager the Management Fee, pro rated for the  eights-month   term of the Transition Services Agreement, payable in equal monthly installments, in arrears, on the tenth   day of each calendar month beginning with the first calendar month after the date of termination of this   Agreement.                (ii)  Termination by the Manager.  No later than 180 days prior to the expiration of the   Original Term or any Renewal Term, the Manager may deliver written notice to the Company informing   it of the Manager’s intention not to renew the term, whereupon the term of this Agreement shall not be   renewed and extended, and this Agreement shall terminate effective on the expiration date of this   Agreement next following the delivery of such notice.          (c)   Termination for Cause.                  (i)   Termination by the Company.  The Company may terminate this Agreement upon   30 days’ prior written notice to the Manager if (A) there is a commencement of any proceeding relating   to the Manager’s bankruptcy or insolvency, including an order for relief in an involuntary bankruptcy case   or the Manager authorizing or filing a voluntary bankruptcy petition, and such proceeding or order shall   remain in force or unstayed for a period of 30 days, (B) the Manager dissolves as an entity, or (C) the  Manager commits fraud against the Company, misappropriates or embezzles funds of the Company, or  acts in a manner constituting bad faith, willful misconduct or gross negligence in the performance of its  duties under this Agreement; provided, however, that if any of the actions or omissions described in this  clause (C) are caused by an employee and/or officer of the Manager or one of its affiliates and the Manager  takes appropriate action against such person and cures the damage caused by such actions or omissions  within 30 days of the Manager’s actual knowledge of its commission or omission, the Company shall not  have the right to terminate this Agreement pursuant to this clause (iii).               (ii)  Termination by the Manager.  The Manager may terminate this Agreement upon  60 days’ prior written notice to the Company in the event that the Company shall default in the  performance or observance of any material term, condition or covenant contained in this Agreement and  such default shall continue for a period of 30 days after written notice thereof specifying such default and  requesting that the same be remedied in such 30-day period.  The Manager may also terminate this  Agreement in its sole discretion effective immediately concurrently with or within 90 days following a  Change in Control or a non-cause termination of the Property Management Agreement, in each case upon  30 days’ prior written notice to the Company.                                                                                                                                                                               16  

 

    SECTION 13. TERMINATION FEE.          In the event that this Agreement is terminated (a) by the Company pursuant to Section 12(b)(i) or   (b) by the Manager pursuant to Section 12(c)(ii), the Company shall pay to the Manager, on the Effective   Termination Date or as promptly thereafter as practicable, a termination fee (the “Termination Fee”) equal   to 1.75 times the sum of (x) the Management Fee for the 12 full calendar months preceding the Effective   Termination Date, plus (y) all fees due to the Manager or its Affiliates under the Property Management  Agreement for the 12 full calendar months preceding the Effective Termination Date.    SECTION 14. PROMOTE.          Upon the earlier of (a) a termination of this Agreement pursuant to Section 12(b)(i), (b) a   termination of this Agreement pursuant to Section 12(c)(ii), and (c) the date that is 36 full calendar months   after the date of this Agreement, the Company shall pay to the Manager, on the date of the relevant   termination or other event or as promptly thereafter as practicable, a cash promote payment (the  “Promote”) if the Company TSR Percentage exceeds 10% during the Measurement Period.  The Promote   shall be calculated, without duplication, as follows:          (i)   to the extent that the Company TSR Percentage exceeds 10% during the Measurement         Period, the Promote shall equal the product of:                (x)   the weighted-average number of Common Shares outstanding during the               Measurement Period (calculated on a fully-diluted basis in accordance with GAAP),               multiplied by                 (y)   the product of (A) 10%, multiplied by (B) the difference of (I) the Company TSR               Amount not to exceed a Hurdle TSR Amount implied by a Company TSR Percentage               during the Measurement Period of 12.5%, less (II) a Hurdle TSR Amount implied by a               Company TSR Percentage during the Measurement Period of 10%;           (ii) to the extent that the Company TSR Percentage exceeds 12.5% during the Measurement         Period, the Promote shall equal the sum of:                 (x)   the amount under (i) above, plus                (y)   the product of:                       (A)   the weighted-average number of Common Shares outstanding during the                    Measurement Period (calculated on a fully-diluted basis in accordance with                    GAAP), multiplied by                      (B)   the product of (I) 15%, multiplied by (II) the difference of (1) the Company                    TSR Amount not to exceed a Hurdle TSR Amount implied by a Company TSR                    Percentage during the Measurement Period of 15%, less (2) a Hurdle TSR Amount                    implied by a Company TSR Percentage during the Measurement Period of 12.5%;                    and         (iii) to the extent that the Company TSR Percentage exceeds 15% during the Measurement        Period, the Promote shall equal the sum of:                                                                                                                                                                              17  

 

                (x)   the amount under (ii) above, plus                 (y)   the product of:                       (A)   the weighted-average number of Common Shares outstanding during the                    Measurement Period (calculated on a fully-diluted basis in accordance with                    GAAP), multiplied by                      (B)   the product of (I) 20%, multiplied by (II) the difference of (1) the Company                    TSR Amount, less (2) a Hurdle TSR Amount implied by a Company TSR                    Percentage during the Measurement Period of 15%.         For avoidance doubt, the Promote (including the related definitions of the Company TSR Amount,  the Company TSR Percentage and the Hurdle TSR Amount) shall be calculated consistent with the  illustrative Promote calculation methodology set forth on Exhibit A hereto.     SECTION 15. ASSIGNMENT.         (a)   Except as set forth in Section 15(b), this Agreement shall terminate automatically in the  event of its assignment, in whole or in part, by the Manager, unless such assignment is consented to in  writing by the Company with the consent of a majority of the Independent Trustees; provided, however,  that no such consent shall be required in the case of an assignment by the Manager to an entity whose  business and operations are managed or supervised by Spirit Realty Capital, Inc. Any such permitted  assignment shall bind the assignee under this Agreement in the same manner as the Manager is bound.  The Manager shall continue to be liable to the Company for all errors or omissions of any assignee that is  managed or supervised by Spirit Realty Capital, Inc. The Manager shall not be liable for errors or  omissions of any other successor manager arising from and after any such assignment. In the case of any  assignment, the assignee shall execute and deliver to the Company a counterpart of this Agreement naming  such assignee as Manager. This Agreement shall not be assigned by the Company without the prior written  consent of the Manager, except in the case of assignment by the Company to another REIT or other  organization that is a successor (by merger, consolidation or purchase of assets) to the Company, in which  case such successor organization shall be bound under this Agreement and by the terms of such assignment  in the same manner as the Company is bound under this Agreement.         (b)   Notwithstanding any provision of this Agreement, the Manager may subcontract and assign  any or all of its responsibilities under Section 2 to any of its Affiliates in accordance with the terms of this  Agreement, and the Company hereby consents to any such assignment and subcontracting. In addition,  provided that the Manager provides prior written notice to the Company for informational purposes only,  nothing contained in this Agreement shall preclude any pledge, hypothecation or other transfer of any  amounts payable to the Manager under this Agreement.   SECTION 16. ACTION UPON TERMINATION.          (a)   From and after the Effective Termination Date pursuant to Section 12, the Manager shall   not be entitled to compensation for further services under this Agreement, but shall be paid all   compensation accruing to the date of termination, including, without limitation, any Termination Fee   or/and Promote Fee due in connection with such termination. On the Effective Termination Date or as   promptly thereafter as practicable, the Manager shall forthwith:                (i)   after deducting any accrued compensation and reimbursement for its expenses to                                                                                                                                                                            18  

 

    which it is then entitled, pay over to the Company or a Subsidiary all money collected and held for the   account of the Company or a Subsidiary pursuant to this Agreement;                (ii)  deliver to the Board of Trustees a full accounting, including a statement showing   all payments collected by it and a statement of all money held by it, covering the period following the date  of the last accounting furnished to the Board of Trustees with respect to the Company or a Subsidiary; and               (iii)  deliver to the Board of Trustees all property and documents of the Company or any   Subsidiary then in the custody of the Manager; provided, however, that the Manager may retain copies of  all such information.         (b)   Upon termination of this Agreement pursuant to Section 12, on the Effective Termination   Date or as promptly thereafter as practicable, the Company shall forthwith:                (i)   pay over to the Manager all compensation accruing to the date of termination,   including, without limitation, any Termination Fee or/and Promote Fee due in connection with such   termination; and                (ii)  reimbursement the Manager for all its expenses to which it is then entitled.          (c)   The obligation of the Company to pay the Termination Fee and the Promote Fee shall   survive the termination of this Agreement. In addition, Section 9 and Section 10 shall survive the   termination of this Agreement.    SECTION 17. RELEASE OF MONEY OR OTHER PROPERTY UPON WRITTEN REQUEST.         The Manager agrees that any money or other property of the Company or a Subsidiary thereof held  by the Manager under this Agreement shall be held by the Manager as custodian for the Company or such  Subsidiary, and the Manager’s records shall be appropriately marked clearly to reflect the ownership of  such money or other property by the Company or such Subsidiary. Upon the receipt by the Manager of a  written request signed by a duly authorized officer of the Company requesting the Manager to release to  the Company or any Subsidiary any money or other property then held by the Manager for the account of  the Company or any Subsidiary under this Agreement, the Manager shall release such money or other  property to the Company or any Subsidiary within a reasonable period of time, but in no event later than  30 days following such request. The Manager shall not be liable to the Company, any Subsidiary, the  Independent Trustees, or the Company’s or a Subsidiary’s shareholders or partners for any acts performed,  or omissions to act, by the Company or any Subsidiary in connection with the money or other property  released to the Company or any Subsidiary in accordance with the first sentence of this Section 17.             SECTION 18.  NOTICES.         Unless expressly provided otherwise in this Agreement, all notices, requests, demands and other  communications required or permitted under this Agreement shall be in writing and shall be deemed to  have been duly given, made and received when delivered against receipt or upon actual receipt of (i)  personal delivery, (ii) delivery by reputable overnight courier, (iii) delivery by facsimile transmission or  email against answerback, (iv) delivery by registered or certified mail, postage prepaid, return receipt  requested, addressed as set forth below:                                                                                                                                                                             19  

 

                (a)   If to the Company:                     Spirit MTA REIT                     c/o Spirit Realty Capital, Inc.                    2727 North Harwood Street                    Suite 300, Dallas, Texas 75201                    Attention: General Counsel                                   (b)   If to the Manager:                     Spirit Realty, L.P.                    2727 North Harwood Street                    Suite 300, Dallas, Texas 75201                    Attention: General Counsel         Either party may alter the address to which communications or copies are to be sent by giving  notice of such change of address in conformity with the provisions of this Section 18 for the giving of  notice.   SECTION 19. BINDING NATURE OF AGREEMENT; SUCCESSORS AND ASSIGNS.          This Agreement shall be binding upon and inure to the benefit of the parties hereto and their   respective heirs, personal representatives, successors and permitted assigns as provided in this Agreement.    SECTION 20. ENTIRE AGREEMENT.         This Agreement contains the entire agreement and understanding among the parties hereto with  respect to the subject matter of this Agreement, and supersedes all prior and contemporaneous agreements,  understandings, inducements and conditions, express or implied, oral or written, of any nature whatsoever  with respect to the subject matter of this Agreement. The express terms of this Agreement control and  supersede any course of performance and/or usage of the trade inconsistent with any of the terms of this  Agreement. This Agreement may not be modified or amended other than by an agreement in writing  executed by both parties.   SECTION 21. ARBITRATION.          (a)   Any disputes, claims or controversies arising out of or relating to this Agreement, the   provision of services by the Manager pursuant to this Agreement or the transactions contemplated hereby,   including any disputes, claims or controversies brought by or on behalf of the Company or the Manager   or any holder of equity interests (which, for purposes of this Section 21, shall mean any holder of record   or any beneficial owner of equity interests or any former holder of record or beneficial owner of equity   interests) of the Company or the Manager, either on his, her or its own behalf, on behalf of the Company   or the Manager or on behalf of any series or class of equity interests of the Company or Manager or holders   of any equity interests of the Company or the Manager against the Company or the Manager or any of   their respective trustees, directors, members, officers, managers (including the Manager or its successor),   agents or employees, including any disputes, claims or controversies relating to the meaning,   interpretation, effect, validity, performance or enforcement of this Agreement, including this arbitration   agreement or the governing documents of the Company or the Manager (all of which are referred to as   “Disputes”), or relating in any way to such a Dispute or Disputes shall, on the demand of any party to such   Dispute or Disputes, be resolved through binding and final arbitration in accordance with the Commercial                                                                                                                                                                            20  

 

    Arbitration Rules (the “Rules”) of the American Arbitration Association (“AAA”) then in effect, except   as those Rules may be modified in this Section 21. For the avoidance of doubt, and not as a limitation,   Disputes are intended to include derivative actions against the trustees, directors, officers or managers of   the Company or the Manager and class actions by a holder of equity interests against those individuals or   entities and the Company or the Manager. For the avoidance of doubt, a Dispute shall include a Dispute   made derivatively on behalf of one party against another party. For purposes of this Section 21, the term   “equity interest” shall mean, (i) in respect of the Company, shares of beneficial interest of the Company,   and (ii) in respect of the Manager, “membership interest” in the Manager as defined in the Delaware   Limited Partnership Act.           (b)   There shall be three (3) arbitrators. If there are only two (2) parties to the Dispute, each   party shall select one (1) arbitrator within fifteen (15) days after receipt by respondent of a copy of the   demand for arbitration. The arbitrators may be affiliated or interested persons of the parties. If there are   more than two (2) parties to the Dispute, all claimants, on the one hand, and all respondents, on the other   hand, shall each select, by the vote of a majority of the claimants or the respondents, as the case may be,   one (1) arbitrator within fifteen (15) days after receipt of the demand for arbitration. The arbitrators may   be affiliated or interested persons of the claimants or the respondents, as the case may be. If either a   claimant (or all claimants) or a respondent (or all respondents) fail(s) to timely select an arbitrator then   the party (or parties) who has selected an arbitrator may request AAA to provide a list of three (3) proposed   arbitrators in accordance with the Rules (each of whom shall be neutral, impartial and unaffiliated with   any party) and the party (or parties) that failed to timely appoint an arbitrator shall have ten (10) days from   the date AAA provides the list to select one (1) of the three (3) arbitrators proposed by AAA. If the party   (or parties) fail(s) to select the second (2nd) arbitrator by that time, the party (or parties) who have   appointed the first (1st) arbitrator shall then have ten (10) days to select one (1) of the three (3) arbitrators   proposed by AAA to be the second (2nd) arbitrator; and, if he/they should fail to select the second (2nd)   arbitrator by such time, AAA shall select, within fifteen (15) days thereafter, one (1) of the three (3)   arbitrators it had proposed as the second (2nd) arbitrator. The two (2) arbitrators so appointed shall jointly   appoint the third (3rd) and presiding arbitrator (who shall be neutral, impartial and unaffiliated with any   party) within fifteen (15) days of the appointment of the second (2nd) arbitrator. If the third (3rd) arbitrator   has not been appointed within the time limit specified herein, then AAA shall provide a list of proposed   arbitrators in accordance with the Rules, and the arbitrator shall be appointed by AAA in accordance with   a listing, striking and ranking procedure, with each party having a limited number of strikes, excluding   strikes for cause.          (c)   The place of arbitration shall be Dallas, Texas, unless otherwise agreed by the parties.          (d)   There shall be only limited documentary discovery of documents directly related to the  issues in dispute, as may be ordered by the arbitrators. For the avoidance of doubt, it is intended that there  shall be no depositions and no other discovery other than limited documentary discovery as described in   the preceding sentence.          (e)   In rendering an award or decision (the “Award”), the arbitrators shall be required to follow   the laws of the State of Maryland. Any arbitration proceedings or award rendered hereunder and the   validity, effect and interpretation of this arbitration agreement shall be governed by the Federal Arbitration   Act, 9 U.S.C. §1 et seq. The Award shall be in writing and shall state the findings of fact and conclusions   of law on which it is based. Any monetary award shall be made and payable in U.S. dollars free of any   tax, deduction or offset. Subject to Section 21(g), each party against which the Award assesses a monetary  obligation shall pay that obligation on or before the thirtieth (30th) day following the date of the Award  or such other date as the Award may provide.                                                                                                                                                                            21  

 

          (f)   Except to the extent expressly provided by this Agreement or as otherwise agreed by the   parties thereto, each party involved in a Dispute shall bear its own costs and expenses (including attorneys’   fees), and the arbitrators shall not render an award that would include shifting of any such costs or   expenses (including attorneys’ fees) or, in a derivative case or class action, award any portion of the   Company’s or the Manager’s, as applicable, award to the claimant or the claimant’s attorneys. Each party   (or, if there are more than two (2) parties to the Dispute, all claimants, on the one hand, and all respondents,   on the other hand, respectively) shall bear the costs and expenses of its (or their) selected arbitrator and   the parties (or, if there are more than two (2) parties to the Dispute, all claimants, on the one hand, and all   respondents, on the other hand) shall equally bear the costs and expenses of the third (3rd) appointed   arbitrator.          (g)   Notwithstanding any language to the contrary in this Agreement, the Award, including but   not limited to, any interim Award, may be appealed pursuant to the AAA’s Optional Appellate Arbitration   Rules (“Appellate Rules”). The Award shall not be considered final until after the time for filing the notice   of appeal pursuant to the Appellate Rules has expired. Appeals must be initiated within thirty (30) days   of receipt of the Award by filing a notice of appeal with any AAA office. Following the appeal process,   the decision rendered by the appeal tribunal may be entered in any court having jurisdiction thereof. For   the avoidance of doubt, and despite any contrary provision of the Appellate Rules, this Section 21(f) shall   apply to any appeal pursuant to this Section and the appeal tribunal shall not render an award that would   include shifting of any costs or expenses (including attorneys’ fees) of any party.          (h)   Following the expiration of the time for filing the notice of appeal, or the conclusion of the   appeal process set forth in Section 21(g), the Award shall be final and binding upon the parties thereto and   shall be the sole and exclusive remedy between those parties relating to the Dispute, including any claims,   counterclaims, issues or accounting presented to the arbitrators. Judgment upon the Award may be entered   in any court having jurisdiction. To the fullest extent permitted by law, no application or appeal to any   court of competent jurisdiction may be made in connection with any question of law arising in the course   of arbitration or with respect to any award made except for actions relating to enforcement of this   agreement to arbitrate or any arbitral award issued hereunder and except for actions seeking interim or   other provisional relief in aid of arbitration proceedings in any court of competent jurisdiction.         (i)   This Section 21 is intended to benefit and be enforceable by the Company, the Manager  and their respective holders of equity interests, trustees, directors, officers, managers (including the  Manager or its successor), agents or employees, and their respective successors and assigns and shall be  binding upon the Company, the Manager and their respective holders of equity interests, and be in addition  to, and not in substitution for, any other rights to indemnification or contribution that such individuals or  entities may have by contract or otherwise.   SECTION 22. NAME LICENSE.          The Manager hereby grants to the Company and its Affiliates a personal, royalty-free, non-  exclusive, non-sublicensable, and non-transferable right and license during the License Term (as defined   below) and Wind-Down Term (if any, and as defined below) to use, display and reproduce the name   “Spirit” (“Licensed Name”) in connection with the operation of their respective businesses, including in   the corporate names of Company and its Affiliates.  The “License Term” shall mean the period   commencing on the date of this Agreement and continuing until 90 days after the Effective Date of   Termination of this Agreement.  For the avoidance of doubt, the license grant herein is non-exclusive and  accordingly the Manager and its Affiliates hereby retain the right to continue using the Licensed Name  and to license or transfer any rights the Manager and its Affiliates may have in the Licensed Name to third                                                                                                                                                                            22  

 

    parties, and Company and its Affiliates will not take any action to challenge the Manager and its Affiliates  rights in the Licensed Name.  Company and its Affiliates acknowledge that certain goodwill and reputation  may be associated with the Licensed Name and agree to use the Licensed Name only in a manner that  maintains and promotes such goodwill and reputation, and any use in contravention of the foregoing shall  be deemed a material breach of this Agreement.  Company and its Affiliates shall cooperate with Manager  and its Affiliates in facilitating the Manager’s control of the nature and quality of the products, services  and other uses of the Licensed Name, including providing Manager, upon Manager’s written request, with  samples of any public facing materials produced by or on behalf of the Company and its Affiliates that  bear the Licensed Name.  Upon the expiration of the License Term, (i) the license grant set forth in this  Section 22 will terminate, (ii)  Company and its Affiliates will cease all use of the Licensed Name and  destroy, or at Manager’s election transfer to Manager, all public facing materials in the Company and its  Affiliates’ possession or control containing the Licensed Names, and (iii) Company and its Affiliates will  immediately change their corporate names to no longer contain the word “Spirit” or any derivation thereof.     SECTION 23. CONTROLLING LAW.         This Agreement and all questions relating to its validity, interpretation, performance and  enforcement shall be governed by and construed, interpreted and enforced in accordance with the laws of  the State of New York, notwithstanding any New York or other conflict-of-law provisions to the contrary.   SECTION 24. INDULGENCES, NOT WAIVERS.         Neither the failure nor any delay on the part of a party to exercise any right, remedy, power or  privilege under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise  of any right, remedy, power or privilege preclude any other or further exercise of the same or of any other  right, remedy, power or privilege, nor shall any waiver of any right, remedy, power or privilege with  respect to any occurrence be construed as a waiver of such right, remedy, power or privilege with respect  to any other occurrence. No waiver shall be effective unless it is in writing and is signed by the party  asserted to have granted such waiver.   SECTION 25. TITLES NOT TO AFFECT INTERPRETATION.         The titles of paragraphs and subparagraphs contained in this Agreement are for convenience  only, and they neither form a part of this Agreement nor are they to be used in the construction or  interpretation of this Agreement.            SECTION 26. EXECUTION IN COUNTERPARTS.         This Agreement may be executed in any number of counterparts, each of which shall be deemed  to be an original as against any party whose signature appears thereon, and all of which shall together  constitute one and the same instrument. This Agreement shall become binding when one or more  counterparts of this Agreement, individually or taken together, shall bear the signatures of all of the parties  reflected hereon as the signatories.   SECTION 27. PROVISIONS SEPARABLE.          The provisions of this Agreement are independent of and separable from each other, and no   provision shall be affected or rendered invalid or unenforceable by virtue of the fact that for any reason                                                                                                                                                                            23  

 

  any other or others of them may be invalid or unenforceable in whole or in part.                         [Remainder of this page intentionally left blank]                                                                                                                                                                               24  

 

         IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first  written above.                                                                                            COMPANY:                                                                                   Spirit MTA REIT,                                         a Maryland real estate trust                                                                                   By:  /s/ Ricardo Rodrigues                                            Name: Ricardo Rodriguez                                            Title: Chief Executive Officer, President, Chief                                                  Financial Officer and Treasurer                                                                                      MANAGER:                                                                                   Spirit Realty, L.P.,                                         a Delaware limited partnership                                            By:     Spirit General OP Holdings, LLC, a                                            Delaware limited liability company, its General                                            Partner                                                                                   By:  /s/ Ken Heimlich                                            Name:  Ken Heimlich                                            Title: Executive Vice President                                 [Signature page to Asset Management Agreement]    

 

                                                                        EXHIBIT A                                                                            Illustrative Total Shareholder Return Calculation Methodology                         [See attached.]

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