Document:

EX-4.2

 Exhibit 4.2 

EXECUTION VERSION 
 DENTSPLY
SIRONA INC. 
 and 
 WELLS FARGO
BANK, NATIONAL ASSOCIATION, 
 as Trustee 
  

 
 FIRST
SUPPLEMENTAL INDENTURE 
 Dated as of May 26, 2020 

to 
 INDENTURE 

Dated as of May 26, 2020 
  

 
 3.250% Notes due
2030 

 TABLE OF CONTENTS 
  

							
	 	 	 	  	Page	 
	ARTICLE I	  

	
	Definitions	  

			
	 SECTION 1.01.
	 	 Definition of Terms
	  	 	2	 
	
	ARTICLE II	  

	
	General Terms of the Notes	  

			
	 SECTION 2.01.
	 	 Designation and Principal Amount
	  	 	7	 
	 SECTION 2.02.
	 	 Further Issues
	  	 	7	 
	 SECTION 2.03.
	 	 Maturity
	  	 	8	 
	 SECTION 2.04.
	 	 Interest
	  	 	8	 
	 SECTION 2.05.
	 	 Global Securities
	  	 	8	 
	 SECTION 2.06.
	 	 Form of Notes; Denomination
	  	 	8	 
	 SECTION 2.07.
	 	 Depositary
	  	 	8	 
	
	ARTICLE III	  

	
	Optional Redemption	  

			
	 SECTION 3.01.
	 	 Optional Redemption
	  	 	8	 
	 SECTION 3.02.
	 	 Applicability of Certain Redemption Provisions in Indenture
	  	 	8	 
	
	ARTICLE IV	  

	
	Change of Control	  

			
	 SECTION 4.01.
	 	 Change of Control
	  	 	9	 
	
	ARTICLE V	  

	
	Covenants	  

			
	 SECTION 5.01.
	 	 Limitation on Liens
	  	 	10	 
	 SECTION 5.02.
	 	 Sale and Leaseback Transactions
	  	 	11	 
	 SECTION 5.03.
	 	 Merger, Consolidation or Sale of Assets
	  	 	12	 

							
	ARTICLE VI	  

	
	Events of Default	  

			
	 SECTION 6.01.
	 	 Events of Default
	  	 	12	 
	
	ARTICLE VII	  

	
	Amendment, Supplement and Waiver	  

			
	 SECTION 7.01.
	 	 Without the Consent of Holders
	  	 	12	 
	 SECTION 7.02.
	 	 With the Consent of Holders
	  	 	13	 
	
	ARTICLE VIII	  

	
	Satisfaction and Discharge; Defeasance	  

			
	 SECTION 8.01.
	 	 Satisfaction and Discharge of Indenture
	  	 	15	 
	 SECTION 8.02.
	 	 Defeasance and Covenant Defeasance upon Deposit of Moneys or U.S. Government
Obligations
	  	 	15	 
	
	ARTICLE IX	  

	
	Miscellaneous	  

			
	 SECTION 9.01.
	 	 Ratification of Base Indenture
	  	 	16	 
	 SECTION 9.02.
	 	 Trust Indenture Act Controls
	  	 	16	 
	 SECTION 9.03.
	 	 Effects of Headings and Table of Contents
	  	 	16	 
	 SECTION 9.04.
	 	 Successors and Assigns
	  	 	16	 
	 SECTION 9.05.
	 	 Separability Clause
	  	 	16	 
	 SECTION 9.06.
	 	 Benefits of the First Supplemental Indenture
	  	 	16	 
	 SECTION 9.07.
	 	 Counterpart Originals
	  	 	17	 
	 SECTION 9.08.
	 	 Governing Law; Waiver of Jury Trial
	  	 	17	 
	 SECTION 9.09.
	 	 Force Majeure
	  	 	17	 
	 SECTION 9.10.
	 	 U.S.A. Patriot Act
	  	 	17	 
	 SECTION 9.11.
	 	 Trustee
	  	 	17	 
	 SECTION 9.12.
	 	 Electronic Signature
	  	 	17	 
			
	 EXHIBIT A
	 	 Form of 2030 Notes
	  			

  
 ii 

 FIRST SUPPLEMENTAL INDENTURE, dated as of May 26, 2020 (this “First Supplemental
Indenture”), between DENTSPLY SIRONA INC., a Delaware corporation (the “Company”), and WELLS FARGO BANK, NATIONAL ASSOCIATION, a national banking association, as trustee (the “Trustee”), under the Base Indenture (as defined
below). 
 RECITALS 
 WHEREAS
the Company executed and delivered the indenture, dated as of May 26, 2020, between the Company and the Trustee (the “Base Indenture” and, as supplemented by the First Supplemental Indenture, the “Indenture”) to provide for
the issuance from time to time of its debt securities (the “Securities”), to be issued in one or more series; 
 WHEREAS pursuant
to the terms of the Base Indenture, the Company desires to provide for the establishment of new series of Securities under the Base Indenture to be known as its “3.250% Notes due 2030” (the “Notes”), the form and substance of
such series and the terms, provisions and conditions thereof to be set forth as provided in the Base Indenture and this First Supplemental Indenture; 

WHEREAS the Board of Directors of the Company, pursuant to the resolutions duly adopted on May 4, 2020, has duly authorized the issuance
of the Notes, and has authorized the proper officers of the Company to execute any and all appropriate documents necessary or appropriate to effect such issuance; 

WHEREAS this First Supplemental Indenture is being entered into pursuant to the provisions of Sections 3.01 and 14.01 of the Base
Indenture; 
 WHEREAS the Company has requested that the Trustee execute and deliver this First Supplemental Indenture; 

AND WHEREAS all acts and things necessary to make this First Supplemental Indenture a valid agreement according to its terms, and to make the
Notes, when executed by the Company and authenticated and delivered by the Trustee, the valid obligations of the Company, have been done and performed, and the execution of this First Supplemental Indenture and the issue hereunder of the Notes has
been duly authorized in all respects; 

 NOW THEREFORE, in consideration of the premises and the purchase of the Notes by the Holders
thereof, and for the purpose of setting forth, as provided in the Base Indenture, the forms and terms of the Notes, the Company covenants and agrees with the Trustee, as follows: 

ARTICLE I 
 Definitions

 For all purposes of this First Supplemental Indenture, except as otherwise expressly provided or unless the context otherwise
requires: 
 (a) the terms defined in this Article have the meanings assigned to them in this Article and include the plural as well as the
singular; 
 (b) each term defined in the Base Indenture has the same meaning when used in this First Supplemental Indenture; provided,
however, that if a term is defined both herein and in the Base Indenture, the definition in the First Supplemental Indenture shall govern with respect the Notes; 

(c) the words “herein”, “hereof” and “hereunder” and other words of similar import refer to this First
Supplemental Indenture as a whole and not to any particular Article, Section or other subdivision; and 
 (d) references to
“Article” or “Section” or other subdivisions herein are references to an Article, Section or other subdivisions of this First Supplemental Indenture. 

SECTION 1.01. Definition of Terms. Unless the context otherwise requires, the terms defined in this Section 1.01 shall for all
purposes of this First Supplemental Indenture have the meanings hereinafter set forth: 
 Attributable Debt: 

The term “Attributable Debt” means the present value (discounted at the rate of 1% per annum over the weighted average Yield to
Maturity of the Outstanding Notes hereunder, such average being weighted by the principal amount of the Notes) of the obligation of a lessee for rental payments (excluding from such rental payments, however, amounts payable with respect to income
and property taxes, insurance, maintenance, and other similar charges and contingent rents, such as those based on sales) during the remaining term of any lease (including any period for which such lease has been extended). 

Base Indenture: 
 The term “Base
Indenture” has the meaning specified in the recitals of this First Supplemental Indenture. 
 Below Investment Grade Rating Event: 

The term “Below Investment Grade Rating Event” means that the Notes are rated below an Investment Grade Rating by each of the Rating
Agencies on any date from the date of the public notice of an arrangement that could result in a Change of Control until 

  
 2 

 
the end of the 60-day period following public notice of the occurrence of the Change of Control (which 60-day
period shall be extended so long as the rating of the Notes is under publicly announced consideration for possible downgrade by any of the Rating Agencies); provided that a Below Investment Grade Rating Event otherwise arising by virtue of a
particular reduction in rating shall not be deemed to have occurred with respect to a particular Change of Control (and thus shall not be deemed a Below Investment Grade Rating Event for purposes of the definition of Change of Control Triggering
Event hereunder) if the Rating Agency or Agencies making the reduction in rating to which this definition would otherwise apply do not announce or publicly confirm or inform the Trustee in writing at its request that the reduction was the result, in
whole or in part, of any event or circumstance comprised of or arising as a result of, or in respect of, the applicable Change of Control (whether or not the applicable Change of Control shall have occurred at the time of the Below Investment Grade
Rating Event). 
 Business Day: 
 The
term “Business Day” means any day, other than a Saturday or Sunday, that is not a day on which banking institutions are authorized or required by law or regulation to close in the City of New York. 

Change of Control: 
 The term “Change
of Control” means the occurrence of any of the following: 
 (i)    the direct or indirect sale, transfer,
conveyance 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 properties or assets of the Company and its subsidiaries taken as a whole to any Person or
Group other than the Company or one of its subsidiaries; 
 (ii)    the approval by the holders of the Company’s
voting stock of any plan or proposal for the liquidation or dissolution of the Company (whether or not otherwise in compliance with the provisions of the Indenture); or 

(iii)    the consummation of any transaction (including, without limitation, any merger or consolidation) the result of
which is that any Person or Group becomes the beneficial owner, directly or indirectly, of more than 50% of the Company’s voting stock (measured by voting power rather than the number of shares). 

Notwithstanding the foregoing, a transaction will not be deemed to involve a Change of Control if (1) the Company becomes a direct or
indirect wholly-owned subsidiary of a holding company and (2) the direct or indirect holders of the voting stock of such holding company immediately following that transaction are substantially the same as the holders of the Company’s
voting stock immediately prior to that transaction. 
 Change of Control Offer: 

The term “Change of Control Offer” has the meaning specified in Section 4.01(a) of this First Supplemental Indenture. 

  
 3 

 Change of Control Payment: 

The term “Change of Control Payment” has the meaning specified in Section 4.01(a) of this First Supplemental Indenture. 

Change of Control Payment Date: 
 The term
“Change of Control Payment Date” has the meaning specified in Section 4.01(b) of this First Supplemental Indenture. 
 Change of Control
Triggering Event: 
 The term “Change of Control Triggering Event” means the occurrence of both a Change of Control and a Below
Investment Grade Rating Event. 
 Consolidated Current Liabilities: 

The term “Consolidated Current Liabilities” means, with respect to any Person as of any date, the aggregate amount of current
liabilities (excluding current maturities of long-term debt) as shown on the most recent consolidated balance sheet of such Person, prepared in accordance with GAAP. 

Consolidated Net Assets: 
 The term
“Consolidated Net Assets” means, with respect to any Person as of any date, Consolidated Total Assets after deduction of Consolidated Current Liabilities. 

Consolidated Total Assets: 
 The term
“Consolidated Total Assets” means, with respect to any Person as of any date, the amount of total assets as shown on the most recent consolidated balance sheet of such Person, prepared in accordance with GAAP. 

Debt: 
 The term “Debt” has the
meaning specified in Section 5.01(a) of this First Supplemental Indenture. 
 Discharged: 

The term “Discharged” has the meaning specified in Section 8.02 of this First Supplemental Indenture. 

Event of Default: 
 The term “Event
of Default” has the meaning specified in Section 6.01 of this First Supplemental Indenture. 

  
 4 

 Exchange Act: 

The term “Exchange Act” has the meaning specified in Section 4.01(e) of this First Supplemental Indenture. 

Group: 
 The term “Group” means
a group of related persons for purposes of Section 13(d) of the Exchange Act. 
 Indenture: 

The term “Indenture” has the meaning specified in the recitals of this First Supplemental Indenture. 

Investment Grade Rating: 
 The term
“Investment Grade Rating” means a rating equal to or higher than Baa3 (or the equivalent) by Moody’s, BBB- (or the equivalent) by S&P and an equivalent rating of any replacement agency,
respectively. 
 Issue Date: 
 The term
“Issue Date” means May 26, 2020. 
 Moody’s: 

The term “Moody’s” means Moody’s Investors Service, Inc. and any successor to its rating agency business. 

Mortgages: 
 The term
“Mortgages” has the meaning specified in Section 5.01(a) of this First Supplemental Indenture. 
 Notes: 

The term “Notes” has the meaning specified in the recitals of this First Supplemental Indenture. 

Paying Agent: 
 The term “Paying
Agent” means Trustee or any other Person authorized by the Company to pay the principal of or interest on the Notes on behalf of the Company. 

  
 5 

 Person: 

The term “Person” means any individual, corporation, limited liability company, partnership, association, joint stock company, trust,
unincorporated organization or government or agency or political subdivision thereof or other entity. 
 Principal Property: 

The term “Principal Property” means any building, structure or other facility, together with the land on which it is erected and
fixtures comprising a part of it, used primarily for manufacturing, processing, research, warehousing or distribution, located in the United States, including Puerto Rico, owned or leased by the Company or any one of its Restricted Subsidiaries and
having a net book value in excess of 2% of the Consolidated Total Assets of the Company, other than (i) any such building, structure or other facility which the Board of Directors determines in good faith is not of material importance to the
total business conducted or assets owned by the Company and its Restricted Subsidiaries as an entirety, or (ii) any portion of any such building, structure or other facility which the Board of Directors determines in good faith is not of
material importance to the total business conducted or assets owned by the Company and its Restricted Subsidiaries as an entirety, each as evidenced by a certified copy of a resolution of the Board of Directors. 

Rating Agencies: 
 The term “Rating
Agencies” means: 
 (i)    each of Moody’s and S&P; and 

(ii)    if any of Moody’s or S&P ceases to rate the Notes or fails to make a rating of the Notes publicly
available for reasons outside of the Company’s control, a credit rating agency registered as a “nationally recognized statistical rating organization” with the SEC, selected by the Company (as certified by a resolution of the Board of
Directors) as a replacement agency for Moody’s or S&P, or all of them, as the case may be. 
 Restricted Subsidiary: 

The term “Restricted Subsidiary” means any wholly owned subsidiary: (i) substantially all the property of which is located
within the continental United States of America; (ii) which owns a Principal Property; and (iii) in which the Company’s investment exceeds 1% of its Consolidated Total Assets as of the end of the preceding year. The term
“Restricted Subsidiary” does not include any wholly owned subsidiary which is principally engaged in financing the Company’s operations outside the continental United States. 

S&P: 
 The term “S&P”
means S&P Global Ratings and any successor to its rating agency business. 

  
 6 

 SEC: 

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

Securities: 
 The term
“Securities” has the meaning specified in the recitals of this First Supplemental Indenture. 
 Signature Law 

The term “Signature Law” has the meaning specified in Section 9.12 of this First Supplemental Indenture. 

voting stock: 
 “voting stock”
of any specified Person as of any date means the capital stock of such Person that is at the time entitled to vote generally in the election of the board of directors of such Person. Notwithstanding the foregoing definitions or any provision of Rule
13(d)(3) or 13(d)(5) of the Exchange Act, a Person or Group shall not be deemed to beneficially own voting stock subject to a stock or asset purchase agreement, merger agreement, option agreement, warrant agreement or similar agreement (or voting,
support, option or similar agreement related thereto) until the consummation of the acquisition of the voting stock in connection with the transactions contemplated by such agreement. 

Yield to Maturity: 
 The term “Yield
to Maturity” means the yield to maturity, calculated at the time of issuance of the Notes, calculated in accordance with accepted financial practice. 

ARTICLE II 
 General Terms of
the Notes 
 SECTION 2.01. Designation and Principal Amount. 

(a) There is hereby authorized and established one new series of Securities under the Base Indenture, designated as the “3.250% Notes due
2030,” which is not limited in aggregate principal amount. 
 (b) There is initially to be authenticated and delivered $750,000,000
aggregate principal amount of the Notes. 
 SECTION 2.02. Further Issues. Notwithstanding the initial aggregate principal amounts set
forth in Section 2.01(b) of this First Supplemental Indenture, the Company may from time to time, without the consent of the Holders of the Notes, issue additional notes having the same ranking and the same interest rate, maturity and other terms as
the Notes, except for the issue date, issue price and initial Interest Payment Date. Any additional notes having such similar terms, together with the Notes, will constitute a single series of Securities under the Indenture; provided, however, that,
in the event that additional notes are not fungible with the Notes for U.S. federal income tax purposes, the Company shall cause such additional notes to be issued with a separate CUSIP number. 

  
 7 

 SECTION 2.03. Maturity. The Notes will mature on June 1, 2030. 

SECTION 2.04. Interest. The Notes will bear interest (computed on the basis of a 360-day year
consisting of twelve 30-day months) from the Issue Date at the rate of 3.250% per annum, payable semiannually in arrears; interest payable on each Interest Payment Date will include interest accrued from the
Issue Date, or from the most recent Interest Payment Date to which interest has been paid or duly provided for; the Interest Payment Dates on which such interest shall be payable are June 1 and December 1, commencing on December 1,
2020. The Record Date for the interest payable on any Interest Payment Date is the close of business on May 15 or November 15, as the case may be, immediately preceding the relevant Interest Payment Date, whether or not that day is a
Business Day. If any Interest Payment Date falls on a day that is not a Business Day, the Interest Payment Date shall be postponed to the next succeeding Business Day, and no interest on such payment shall accrue for the period from and after such
Interest Payment Date. If the maturity date of the Notes falls on a date that is not a Business Day, the payment of interest and principal of the Notes may be made on the next succeeding Business Day, and no interest on such payment shall accrue for
the period from and after the maturity date. 
 SECTION 2.05. Global Securities. The Notes will be issued in the form of one or more
permanent Global Securities in definitive, fully registered form. 
 SECTION 2.06. Form of Notes; Denomination. The Notes and the
Trustee’s certificate of authentication to be endorsed thereon are to be substantially in the form set forth in Exhibit A hereto. The Notes shall be issued and may be transferred only in minimum denominations of $2,000 and integral
multiples of $1,000 in excess thereof. 
 SECTION 2.07. Depositary. The Depository Trust Company, a New York corporation, will
initially act as Depositary with respect to the Notes. 
 ARTICLE III 

Optional Redemption 

SECTION 3.01. Optional Redemption. The Notes shall be redeemable at the option of the Company as set forth under the heading
“Optional Redemption” in the form of security set forth in Exhibit A hereto. 
 SECTION 3.02. Applicability of Certain
Redemption Provisions in Indenture. The provisions of Article IV of the Base Indenture shall be applicable to any redemption of the Notes pursuant to this Article III. 

  
 8 

 ARTICLE IV 

Change of Control 

SECTION 4.01. Change of Control. (a) If a Change of Control Triggering Event occurs with respect to the Notes, unless the Company
has exercised its option to redeem the Notes in accordance with Section 3.01 of this First Supplemental Indenture, the Holders of the Notes will have the right to require the Company to repurchase all or any part (equal to $2,000 and additional
multiples of $1,000) of their Notes pursuant to an offer described below (the “Change of Control Offer”) on the terms set forth in the Notes. In the Change of Control Offer, the Company will be required to offer payment in cash equal to
101% of the aggregate principal amount of Notes repurchased plus accrued and unpaid interest, if any, on the Notes repurchased to, but excluding, the date of purchase (the “Change of Control Payment”). 

(b) Within 30 days following any Change of Control Triggering Event, the Company shall mail a notice to the Holders of the Notes and the
Trustee describing the transaction or transactions that constitute the Change of Control Triggering Event and offering to repurchase the Notes on the date specified in the notice, which date will be no earlier than 30 days and no later than 60 days
from the date such notice is mailed (the “Change of Control Payment Date”), pursuant to the procedures required herein and described in such notice. 

(c) On the Change of Control Payment Date, the Company shall, to the extent lawful: (i) accept for payment all Notes or portions of Notes
properly tendered pursuant to the Change of Control Offer; (ii) deposit with the Paying Agent an amount equal to the Change of Control Payment in respect of all Notes or portions of Notes properly tendered; and (iii) deliver or cause to be
delivered to the Trustee the Notes properly accepted together with an Officers’ Certificate stating the aggregate principal amount of Notes or portions of Notes being purchased by the Company. 

(d) The Paying Agent shall promptly pay to each Holder of Notes properly tendered the purchase price for the Notes, and the Trustee shall
promptly authenticate and mail (or cause to be transferred by book-entry) to each Holder a new Note equal in principal amount to any unpurchased portion of any Notes surrendered; provided that each new Note shall be in a principal
amount of $2,000 and additional multiples of $1,000. 
 (e) The Company shall comply with the requirements of Rule 14e-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and any other securities laws and regulations thereunder to the extent those laws and regulations are applicable in
connection with the repurchase of the Notes as a result of a Change of Control Triggering Event. To the extent that the provisions of any securities laws or regulations conflict with this Section 4.01, the Company shall comply with the
applicable securities laws and regulations and will not be deemed to have breached its obligations under this Section 4.01 by virtue of such conflicts. 

(f) The Company will not be required to make an offer to repurchase the Notes upon a Change of Control Triggering Event if a third party makes
such an offer in the manner, at the times and otherwise in compliance with the requirements for an offer made by it, and such third party purchases all Notes properly tendered and not withdrawn under its offer. 

  
 9 

 ARTICLE V 

Covenants 
 SECTION 5.01.
Limitation on Liens. (a) The Company shall not, nor shall the Company permit any Restricted Subsidiary to, issue, assume or guarantee any debt for money borrowed (“Debt”) secured by a mortgage, security interest, pledge, lien
or other encumbrance (mortgages, security interests, pledges, liens and other encumbrances being hereinafter called “Mortgages”) on any Principal Property or on any shares of stock or indebtedness of any Restricted Subsidiary (whether such
Principal Property, shares of stock or indebtedness are now owned or hereafter acquired) without in any such case effectively providing concurrently with the issuance, assumption or guaranty of any such Debt that the Notes (together with, if the
Company shall so determine, any other indebtedness of or guaranty by the Company or such Restricted Subsidiary ranking equally with the Notes and then existing or thereafter created) shall be secured equally and ratably with such Debt;
provided, however, that the foregoing restrictions shall not apply to Debt secured by: 
 (i) Mortgages on
property, shares of stock or indebtedness of any Person existing at the time such Person becomes a Restricted Subsidiary; 

(ii) Mortgages on property existing at the time of acquisition of such property by the Company or a Restricted Subsidiary, or
Mortgages to secure the payment of all or any part of the purchase price of such property upon the acquisition of such property by the Company or a Restricted Subsidiary or to secure any Debt incurred by the Company or a Restricted Subsidiary prior
to, at the time of, or within one year after the later of the acquisition, the completion of construction (including any improvements on an existing property) or the commencement of commercial operation of such property, which Debt is incurred for
the purpose of financing all or any part of the purchase price thereof or construction or improvements thereon; provided, however, that in the case of any such acquisition, construction or improvement the Mortgage shall not apply to
any property theretofore owned by the Company or a Restricted Subsidiary, other than, in the case of any such construction or improvement, any theretofore unimproved real property on which the property so constructed, or the improvement, is located;

 (iii) Mortgages securing Debt owing by any Restricted Subsidiary to the Company or another Restricted Subsidiary; 

(iv) Mortgages on property of a Person existing at the time that Person is merged into or consolidated with the Company or a
Restricted Subsidiary or at the time of a sale, lease or other disposition of the properties of a Person as an entirety or substantially as an entirety to the Company or a Restricted Subsidiary; 

(v) Mortgages on property of the Company or a Restricted Subsidiary in favor of the United States of America or any State
thereof, or any department, agency or instrumentality or political subdivision of the United States of America 

  
 10 

 
or any State thereof, or in favor of any other country, or any political subdivision thereof, to secure partial, progress, advance or other payments pursuant to any contract or statute or to
secure any indebtedness incurred for the purpose of financing all or any part of the purchase price or the cost of construction of the property subject to such Mortgages (including without limitation Mortgages incurred in connection with pollution
control, industrial revenue or similar financings); 
 (vi) Mortgages existing on the date of the Base Indenture; or 

(vii) any extension, renewal or replacement (or successive extensions, renewals or replacements), in whole or in part, of any
Mortgage referred to in the foregoing clauses (i) to (vi); provided, however, that the principal amount of Debt secured thereby shall not exceed the principal amount of Debt so secured at the time of such extension, renewal or
replacement, and that such extension, renewal or replacement shall be limited to all or a part of the property which secured the Mortgage so extended, renewed or replaced (plus improvements on such property). 

(b) Notwithstanding Section 5.01(a) above, the Company and one or more of its Restricted Subsidiaries may, without securing the Notes,
issue, assume, or guarantee Debt secured by Mortgages which would otherwise be subject to the restrictions set forth in Section 5.01(a) above; provided that the aggregate amount of Debt incurred under this Section 5.01(b) that would
then be outstanding after giving pro forma effect to any such incurrence (including the pro forma application of the proceeds of such Debt incurred), together with the aggregate amount of the then outstanding Attributable Debt incurred under
Section 5.02(a) of this First Supplemental Indenture, does not exceed 10% of the Consolidated Net Assets of the Company and its consolidated Subsidiaries. 

SECTION 5.02. Sale and Leaseback Transactions. The Company shall not, nor shall it permit any Restricted Subsidiary to, enter into any
arrangement with any person providing for the leasing by the Company or any Restricted Subsidiary of any Principal Property of the Company or any Restricted Subsidiary (whether such Principal Property is now owned or hereafter acquired) (except for
temporary leases for a term of not more than three years and except for leases between the Company and a Restricted Subsidiary or between Restricted Subsidiaries), which property has been or is to be sold or transferred by the Company or such
Restricted Subsidiary to such person, unless (a) the Company or such Restricted Subsidiary would be entitled, pursuant to Section 5.01 of this First Supplemental Indenture, to issue, assume or guarantee Debt secured by a Mortgage upon the
property involved at least equal in amount to the Attributable Debt for that transaction without equally and ratably securing the Notes or (b) the Company shall apply an amount in cash equal to the Attributable Debt for that transaction to the
retirement (other than any mandatory retirement or by way of payment at maturity), within 90 days of the effective date of any such arrangement, of Debt of the Company or any Restricted Subsidiary (other than Debt owed by the Company or any
Restricted Subsidiary and other than Debt of the Company which is subordinated to the Notes), which by its terms matures at or is extendible or renewable at the option of the obligor to a date more than twelve months after the date of creation of
such Debt. 

  
 11 

 It is understood that transactions entered into pursuant to Section 168(f)(8) of the Internal Revenue
Code of 1954, as amended, are not Debt secured by a Mortgage within the meaning of Section 5.01 or sale and leaseback transactions prohibited by the first paragraph of this Section 5.02. 

SECTION 5.03. Merger, Consolidation or Sale of Assets. Section 6.04 of the Base Indenture shall be applicable to the Notes. 

ARTICLE VI 
 Events of Default

 SECTION 6.01. Events of Default. Section 7.01 of the Base Indenture shall be applicable to the Notes. 

ARTICLE VII 
 Amendment,
Supplement and Waiver 
 SECTION 7.01. Without the Consent of Holders. This Section 7.01 supersedes and replaces
Section 14.01 of the Base Indenture with respect to the Notes, and references to “Section 14.01” of the Base Indenture shall instead refer to this “Section 7.01” of this First Supplemental Indenture. The terms of
the Notes or the terms of the Indenture with respect to the Notes may be amended, supplemented or otherwise modified by the Company and the Trustee, at any time and from time to time, without the consent of any Holder of Outstanding Notes for any of
the following purposes: 
 (a) to add to the covenants and agreements of the Company and to add Events of Default, in each case for the
protection or benefit of the Holders of the Notes, or to surrender any right or power conferred upon the Company; 
 (b) to add to or change
any of the provisions of the Indenture to provide, change or eliminate any restrictions on the payment of principal of or premium, if any, on the Notes; provided that any such action shall not adversely affect the interests of the
Holders of the Notes in any material respect; 
 (c) to evidence the succession of another entity to the Company, or successive successions,
and the assumption by such successor of the covenants and obligations of the Company contained in the Notes and in the Indenture in accordance with Section 5.03 of this First Supplemental Indenture; 

(d) to evidence and provide for the acceptance of appointment by a successor Trustee with respect to the Notes and to add to or change any of
the provisions of the Indenture as shall be necessary for or facilitate the administration of the trusts under the Indenture by more than one Trustee; 

(e) to secure the Notes; 

  
 12 

 (f) to cure any ambiguity or inconsistency or to correct or supplement any provision in the
Indenture or to conform the terms that are applicable to the Notes to the description of the terms of such Notes in the “Description of the Notes” section of the Company’s prospectus supplement dated May 20, 2020; 

(g) to add to or change or eliminate any provision of the Indenture as shall be necessary or desirable in accordance with the Trust Indenture
Act; 
 (h) to add guarantors or co-obligors with respect to the Notes or to release
guarantors from their guarantees of the Notes, in accordance with the terms of the Notes; 
 (i) to make any change in the Notes that does
not adversely affect in any material respect the rights of the Holders of the Notes; 
 (j) to provide for uncertificated securities in
addition to certificated securities; or 
 (k) to supplement any of the provisions of the Indenture to the extent as shall be necessary to
permit or facilitate the defeasance or discharge of the Notes; provided that any such action shall not adversely affect the interests of the Holders of the Notes in any material respect. 

SECTION 7.02. With the Consent of Holders. 

(a) This Section 7.02 supersedes and replaces Section 14.02 of the Base Indenture with respect to the Notes, and references to
“Section 14.02” of the Base Indenture shall instead refer to this “Section 7.02” of this First Supplemental Indenture. The terms of the Notes or the terms of the Indenture with respect to the Notes may be amended,
supplemented or otherwise modified by the Company and the Trustee, at any time and from time to time, with the consent of Holders of a majority in aggregate principal amount of the Outstanding Notes (evidenced as provided in Article VIII of the Base
Indenture) for the purpose of adding any provisions to or changing in any manner or eliminating any provisions of the Indenture or of modifying in any manner the rights of the Holders of the Notes; provided that no such amendment,
supplement or modification shall, without the consent of the Holder of each Outstanding Note: 

(i)    extend the Stated Maturity of the principal of, or any installment of interest on, the Notes, or
reduce the principal amount or Redemption Price thereof or the interest thereon or any premium payable thereon, or extend the Stated Maturity of, or change the place of payment where, or the Currency in which the principal of and premium, if any, or
interest on the Notes is denominated or payable, change the ranking of such Notes or impair the right to institute suit for the enforcement of any payment on or after the Stated Maturity thereof (or in the case of redemption, on or after the
Redemption Date); 
 (ii)    modify any of the provisions of this Section 7.02, Section 6.06 of
the Base Indenture or Section 7.06 of the Base Indenture, except to increase any such percentage or to provide that certain other provisions of the Indenture cannot 

  
 13 

 
be amended, modified or waived without the consent of the Holder of each Outstanding Note affected thereby; provided, however, that this clause shall not be deemed to require the
consent of any Holder with respect to changes in the references to “the Trustee” and concomitant changes in this Section 7.02 and Section 6.06 of the Base Indenture, or the deletion of this proviso, in accordance with the
requirements of Section 11.06 of the Base Indenture and Section 7.01(d) of this First Supplemental Indenture. 

(iii)    amend, waive or otherwise modify the provisions of Article III with respect to the Notes; or 

(iv)    modify, without the written consent of the Trustee, the rights, duties or immunities of the
Trustee. 
 (b) Any amendment, supplement or waiver that changes or eliminates any provision of the Indenture which has expressly been
included solely for the benefit of one or more particular series of Notes or which modifies the rights of the Holders of the Notes with respect to such covenant or other provision, shall be deemed to not affect the rights under the Indenture of the
Holders of the Notes of any other series. 
 (c) It shall not be necessary for the consent of the Holders of the Notes under this
Section 7.02 to approve the particular form of any proposed amendment, but it shall be sufficient if such consent shall approve the substance thereof. 

(d) The Company may set a record date for purposes of determining the identity of the Holders of the Notes entitled to give a written consent
or waive compliance by the Company as authorized or permitted by this Section 7.02. Such record date shall not be more than 30 days prior to the first solicitation of such consent or waiver or the date of the most recent list of Holders
furnished to the Trustee prior to such solicitation pursuant to Section 312 of the Trust Indenture Act. 
 (e) Promptly after the
execution by the Company and the Trustee of any amendment, supplement or modification pursuant to the provisions of this Section 7.02, the Company shall mail a notice, setting forth in general terms the substance of such amendment, supplement
or modification, to the Holders of the Notes at their addresses as the same shall then appear in the Register of the Company. Any failure of the Company to mail such notice, or any defect therein, shall not, however, in any way impair or affect the
validity of any such amendment, supplement or modification. 

  
 14 

 ARTICLE VIII 

Satisfaction and Discharge; Defeasance 

SECTION 8.01. Satisfaction and Discharge of Indenture. Section 12.02 of the Base Indenture shall be applicable to the Notes;
provided, that, solely with respect to the Notes, the last paragraph of Section of 12.02 of the Base Indenture shall be superseded and replaced by the following: 

“Notwithstanding the satisfaction and discharge of the Indenture with respect to the Notes, the obligations of the Company to the Trustee
under Section 11.01 of the Base Indenture, the provisions of Sections 3.04, 3.05, 3.06, 3.07, 3.10, 6.02 and 6.03 of the Base Indenture, Article XII of the Base Indenture (as amended by Article VIII of this First Supplemental Indenture), and,
if the Notes are to be redeemed prior to their Stated Maturity, the provisions of Article IV of the Base Indenture, the provisions of Article III of the First Supplemental Indenture, and, if money shall have been deposited with the Trustee pursuant
Section 12.02(a) of the Base Indenture, the obligations of the Trustee under Section 12.07 of the Base Indenture and Section 6.03(e) of the Base Indenture shall survive such satisfaction and discharge.” 

SECTION 8.02. Defeasance and Covenant Defeasance upon Deposit of Moneys or U.S. Government Obligations. Section 12.03 of the Base
Indenture shall be applicable to the Notes. If the Company exercises its “covenant defeasance” option in accordance with Section 12.03 of the Base Indenture, in addition to any covenants specified therein, the Company shall cease to
be under any obligation to comply with the covenants set forth in Section 5.01, Section 5.02 and Section 5.03 of this First Supplemental Indenture. Solely with respect to the Notes, the definition of “Discharged” set forth
in Section 12.03 of the Base Indenture shall be superseded and replaced by the following: 
 “‘Discharged’ means, with
respect to the Notes, that the Company shall be deemed to have paid and discharged the entire indebtedness represented by, and obligations under, the Notes and to have satisfied all the obligations under the Indenture relating to the Notes (and the
Trustee, at the expense of the Company, shall execute proper instruments acknowledging the same), except for the following, all of which shall survive such Discharge and remain in full force and effect with respect to the Notes: (A) the rights
of the Holders of the Notes to receive, from the trust fund described in clause (a) above, payment of the principal of and premium, if any, and interest on such Notes when such payments are due, (B) Sections 3.04, 3.05, 3.06, 3.07, 3.10,
6.02 and 6.03 of the Base Indenture, (C) if the Notes are to be redeemed prior to their Stated Maturity, the provisions of Article III of this First Supplemental Indenture, (D) the provisions of Article XII of the Base Indenture (as
amended by Article VIII of this First Supplemental Indenture) and (E) the rights, powers, trusts, duties and immunities of the Trustee hereunder.” 

  
 15 

 ARTICLE IX 

Miscellaneous 
 SECTION
9.01. Ratification of Base Indenture. The Indenture, as supplemented by this First Supplemental Indenture, is in all respects ratified and confirmed, and this First Supplemental Indenture shall be deemed part of the Base Indenture in the
manner and to the extent herein and therein provided; provided that the provisions of this First Supplemental Indenture apply solely with respect to the Notes. The rights, privileges, immunities, benefits, protections and indemnities provided
to the Trustee under the Base Indenture shall apply to any action or inaction of the Trustee (acting in any capacity hereunder) in connection herewith, including in connection with the execution and delivery of this First Supplemental Indenture.

 SECTION 9.02. Trust Indenture Act Controls. If and to the extent that any provision of this First Supplemental Indenture limits,
qualifies or conflicts with the duties imposed by, or another provision included in the Indenture which is required to be included in the Indenture by any of the provisions of Sections 310 to 318, inclusive, of the Trust Indenture Act, such imposed
duties or incorporated provision shall control. 
 SECTION 9.03. Effects of Headings and Table of Contents. The Article and Section
headings herein and the Table of Contents are for convenience only and shall not affect the construction hereof. 
 SECTION 9.04.
Successors and Assigns. All covenants and agreements in this First Supplemental Indenture by the parties hereto shall bind their respective successors and assigns and inure to the benefit of their permitted successors and assigns, whether so
expressed or not. 
 SECTION 9.05. Separability Clause. In case any provision in this First Supplemental Indenture or in the Notes
shall be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 

SECTION 9.06. Benefits of the First Supplemental Indenture. Nothing in this First Supplemental Indenture expressed and nothing that may
be implied from any of the provisions hereof is intended, or shall be construed, to confer upon, or to give to, any Person or corporation other than the parties hereto and their successors and the Holders of the Notes any benefit or any right,
remedy or claim under or by reason of this First Supplemental Indenture or any covenant, condition, stipulation, promise or agreement hereof, and all covenants, conditions, stipulations, promises and agreements in this First Supplemental Indenture
contained shall be for the sole and exclusive benefit of the parties hereto and their successors and of the Holders of the Notes. 
 SECTION
9.07. Counterpart Originals. This First Supplemental Indenture may be executed in any number of counterparts, each of which so executed shall be deemed to be an original, but all such counterparts shall together constitute but one and the
same instrument. 
 SECTION 9.08. Governing Law; Waiver of Jury Trial. This First Supplemental Indenture and the Notes shall be
deemed to be contracts made under the law of the State of New York, and for all purposes shall be governed by and construed in accordance with the law of said State. 

  
 16 

 EACH PARTY HERETO, AND EACH HOLDER OF A NOTE BY ACCEPTANCE THEREOF, HEREBY WAIVES, TO THE
FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS FIRST SUPPLEMENTAL INDENTURE. 

SECTION 9.09. 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, public health emergencies, 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 9.10. 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 First 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. 
 SECTION 9.11. Trustee. The Trustee shall not be responsible in any manner whatsoever for or in respect of the validity or
sufficiency of this First Supplemental Indenture or for or in respect of the recitals contained herein, all of which recitals are made solely by the Company and the rights, protections and indemnities afforded the Trustee (acting in any capacity
thereunder or hereunder) shall apply to any action or inaction of the Trustee hereunder or in connection with the transactions contemplated hereunder. 

SECTION 9.12. Electronic Signature. The Indenture shall be valid, binding, and enforceable against a party when executed and delivered
by an authorized individual on behalf of the party by means of (i) an original manual signature; (ii) a faxed, scanned, or photocopied manual signature, or (iii) any other electronic signature permitted by the federal Electronic Signatures in Global
and National Commerce Act, state enactments of the Uniform Electronic Transactions Act, and/or any other relevant electronic signatures law, including any relevant provisions of the Uniform Commercial Code/UCC (collectively, “Signature
Law”), in each case to the extent applicable. Each faxed, scanned, or photocopied manual signature, or other electronic signature, shall for all purposes have the same validity, legal effect, and admissibility in evidence as an original manual
signature. Each party hereto shall be entitled to conclusively rely upon, and shall have no liability with respect to, any faxed, scanned, or photocopied manual signature, or other electronic signature, of any other party and shall have no duty to
investigate, confirm or otherwise verify the validity or authenticity thereof. For the avoidance of doubt, original manual signatures shall be used for execution or indorsement of writings when required under the UCC or other Signature Law due to
the character or intended character of the writings. 

  
 17 

 IN WITNESS WHEREOF, the parties hereto have caused this First Supplemental Indenture to be
duly executed, all as of the day and year first above written. 
  

			
	DENTSPLY SIRONA, INC.
		
	      By:	 	 /s/ Jorge M. Gomez

	      Name:	 	Jorge M. Gomez
	      Title:	 	Executive Vice President and Chief Financial Officer

  

			
	WELLS FARGO BANK, NATIONAL ASSOCIATION, AS TRUSTEE
		
	      By:	 	 /s/ Stefan Victory

	      Name:	 	Stefan Victory
	      Title:	 	Vice President

  
 [Signature Page to
First Supplemental Indenture] 

 EXHIBIT A 

[FORM OF FACE OF SECURITY] 
 THIS
SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF THE DEPOSITARY OR A NOMINEE OF THE DEPOSITARY, WHICH MAY BE TREATED BY THE COMPANY, THE TRUSTEE AND ANY AGENT THEREOF AS OWNER
AND HOLDER OF THIS SECURITY FOR ALL PURPOSES. 
 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY
TRUST COMPANY TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC
(AND ANY PAYMENT HEREON IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS
WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 
 TRANSFERS OF THIS GLOBAL SECURITY SHALL BE
LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, BY THE DEPOSITARY TO A NOMINEE OF THE DEPOSITARY, OR BY A NOMINEE OF THE DEPOSITARY TO THE DEPOSITARY OR ANOTHER NOMINEE OF THE DEPOSITARY, OR BY THE DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR
DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR DEPOSITARY. 
 CUSIP No. 24906P AA7   

ISIN No. US24906PAA75 
 DENTSPLY
SIRONA INC. 
 3.250% NOTES DUE 2030 
  

					
	 No.            
	 		  	$                    
			
		 		  	 As revised by the

Schedule of Increases
 or Decreases in

Global Security
 attached hereto

  
 A-1 

 Interest. DENTSPLY SIRONA Inc., a Delaware corporation (herein called the
“Company”, which term includes any successor Person under the Indenture hereinafter referred to), for value received, hereby promises to pay to CEDE & CO. or registered assigns, the principal sum of
             million dollars ($            ), as revised by the Schedule of Increases or Decreases in Global Security attached
hereto, on June 1, 2030 and to pay interest thereon from May 26, 2020 or from the most recent Interest Payment Date to which interest has been paid or duly provided for, semi-annually in arrears on June 1 and December 1 in each
year, commencing December 1, 2020 at the rate of 3.250% per annum, until the principal hereof is paid or made available for payment. If any Interest Payment Date falls on a day that is not a Business Day, the Interest Payment Date shall be
postponed to the next succeeding Business Day, and no interest on such payment shall accrue for the period from and after such Interest Payment Date. If the maturity date of the Notes falls on a date that is not a Business Day, the payment of
interest and principal of the Notes may be made on the next succeeding Business Day, and no interest on such payment shall accrue for the period from and after the maturity date. 

Method of Payment. The interest so payable, and punctually paid or duly provided for, on any Interest Payment Date will, as provided in
such Indenture, be paid to the Person in whose name this Security (or one or more Predecessor Securities) is registered at the close of business on the Record Date for such interest, which shall be May 15 or November 15, as the case may
be, next preceding such Interest Payment Date. Any such interest not so punctually paid or duly provided for will forthwith cease to be payable to the Holder on such Regular Record Date and may either be paid to the Person in whose name this
Security (or one or more Predecessor Securities) is registered at the close of business on a Special Record Date for the payment of such Defaulted Interest to be fixed by the Trustee, notice thereof having been given to Holders of Securities not
less than 10 days prior to such Special Record Date, all as more fully provided in said Indenture. Payment of the principal of (and premium, if any) and any such interest on this Security will be made at the Corporate Trust Office in U.S. Dollars.

 Reference is hereby made to the further provisions of this Security set forth on the reverse hereof, which further provisions shall for
all purposes have the same effect as if set forth at this place. 
 Authentication. Unless the certificate of authentication hereon
has been executed by the Trustee referred to on the reverse hereof by manual signature, this Security shall not be entitled to any benefit under the Indenture or be valid or obligatory for any purpose. 

  
 A-2 

 IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed under its
corporate seal. 
 Dated: 
  

			
	DENTSPLY SIRONA Inc.

 
			
		
	By:	 	  

	Name:	 	
	Title:	 	

 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the Securities of the series designated therein referred to in the within-mentioned Indenture. 

 

							
	Date of authentication:	 		 	 Wells Fargo Bank, National Association,

as Trustee

				
		 		 	By:	 	  

		 		 		 	Authorized Signatory

  
 A-3 

 [FORM OF REVERSE OF SECURITY] 

Indenture. This Security is one of a duly authorized issue of securities of the Company (herein called the
“Securities”), issued and to be issued in one or more series under an Indenture, dated as of May 26, 2020 (the “Base Indenture”), as supplemented by the First Supplemental Indenture dated May 26, 2020 (the
“First Supplemental Indenture” and, together with the Base Indenture, the “Indenture”), between the Company and Wells Fargo Bank, National Association, as Trustee (herein called the “Trustee”, which
term includes any successor trustee under the Indenture), to which Indenture and all indentures supplemental thereto reference is hereby made for a statement of the respective rights, limitations of rights, duties and immunities thereunder of the
Company, the Trustee and the Holders of the Securities of this series and of the terms upon which the Securities of this series are, and are to be, authenticated and delivered. This Security is one of the series designated on the face hereof,
initially limited in aggregate principal amount to $750,000,000. 
 Optional Redemption. The Securities of this series will be
redeemable as a whole at any time or in part from time to time, at the option of the Company, prior to March 1, 2030 (three months prior to the maturity date of the Securities of this series), at a redemption price equal to the greater of
(i) 100% of the principal amount of the Securities of this series to be redeemed; and (ii) as determined by the Company, the sum of the present values of the Remaining Scheduled Payments in respect of the Notes to be redeemed (exclusive of
any accrued interest) discounted to the Redemption Date on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at the Treasury Rate plus 40
basis points, plus, in each case, any interest accrued but not paid to, but excluding, the Redemption Date. 
 Commencing on March 1,
2030 (three months prior to the maturity date of the Securities of this series) (the “Par Call Date”), the Securities of this series are redeemable at the Company’s option, at any time in whole or from time to time in part, at a
redemption price equal to 100% of the principal amount of the Securities of this series to be redeemed, plus, in each case, accrued and unpaid interest to, but excluding, the Redemption Date. 

For purposes of determining the optional redemption price, the following definitions are applicable: 

“Remaining Scheduled Payments” means the remaining scheduled payments of principal of, and interest on, the Securities of
this series called for redemption that would be due after the related Redemption Date but for that redemption (assuming the Securities of the series called for redemption matured on the Par Call Date). If that Redemption Date is not an interest
payment date with respect to the Securities of this series called for redemption, the amount of the next succeeding scheduled interest payment will be reduced by the amount of interest accrued to such Redemption Date. 

“Treasury Rate” means, with respect to any Redemption Date for the Securities of this series, (1) the yield, which
represents the average for the immediately preceding week, appearing in the most recently published statistical release designated ‘‘H.15’’ or any successor publication which is published weekly by the Board of Governors of the
Federal Reserve System and which establishes yields on actively traded United States Treasury securities adjusted to constant 

  
 A-4 

 
maturity, for the maturity corresponding to the Comparable Treasury Issue (or if no maturity is within three months before or after the maturity date, yields for the two published maturities most
closely corresponding to the Comparable Treasury Issue shall be determined and the Treasury Rate shall be interpolated or extrapolated from such yields on a straight-line basis, rounded to the nearest month) or (2) if such release (or any
successor release) is not published during the week preceding the calculation date or does not contain such yields, the rate per annum equal to the semiannual equivalent yield to maturity of the Comparable Treasury Issue, calculated using 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. The Treasury Rate will be calculated on the third Business Day preceding the Redemption Date. 

“Comparable Treasury Issue” means the United States Treasury security selected by an Independent Investment Banker as having
a maturity comparable to the remaining term of the Securities of this series 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 the Securities of this series (assuming for this purpose that the Securities of this series mature on the Par Call Date). 

“Comparable Treasury Price” means, with respect to any Redemption Date for the Securities of this series, (i) the
average of four Reference Treasury Dealer Quotations for that Redemption Date, after excluding the highest and lowest of such Reference Treasury Dealer Quotations, or (ii) if the Company obtains fewer than four such Reference Treasury Dealer
Quotations, the average of all such quotations. 
 “Independent Investment Banker” means one of the Reference Treasury
Dealers appointed by the Company. 
 “Reference Treasury Dealer” means each of Citigroup Global Markets Inc., Goldman
Sachs & Co. LLC and J.P. Morgan Securities LLC or their respective affiliates, and one other primary U.S. Government securities dealer in New York City appointed by the Company (each, a “Primary Treasury Dealer”);
provided, however, that if any of the foregoing shall cease to be a Primary Treasury Dealer, the Company shall substitute therefor another Primary Treasury Dealer. 

“Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any Redemption Date, the
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 that Reference Treasury Dealer at 5:00 p.m.
(New York City time) on the third Business Day preceding that Redemption Date. 
 Notice of any optional redemption will be mailed at least
10 days but not more than 60 days before the Redemption Date (unless a shorter period shall be satisfactory to the Trustee) to each registered Holder of the Securities of this series to be redeemed. Unless the Company defaults in payment of the
redemption price, on and after the Redemption Date, interest will cease to accrue on the Securities of this series or portions of the Securities of this series called for redemption, unless subject to a condition precedent that has not been
satisfied. If fewer than all of the Securities of this series are to be redeemed, the Trustee will select the particular Securities 

  
 A-5 

 
or portions thereof for redemption from the Outstanding Securities of this series not previously called by such method as the Trustee deems fair and appropriate. If such redemption is subject to
a condition precedent that has not been satisfied, the Company shall provide written notice to the Trustee prior to the close of business at least two Business Days prior to the Redemption Date (unless a shorter period shall be satisfactory to the
Trustee). Upon receipt of such notice, the notice of redemption shall be rescinded and the redemption of the Securities shall not occur. 

Except as set forth herein, the Securities will not be redeemable by the Company prior to maturity and will not be entitled to the benefit of
any sinking fund. 
 Defaults and Remedies. If an Event of Default with respect to Securities of this series shall occur and
be continuing, the principal of the Securities of this series may be declared due and payable in the manner and with the effect provided in the Indenture. 

Change of Control. If a Change of Control Triggering Event occurs with respect to the Securities of this series, unless the Company has
exercised its option to redeem the Securities of this series in accordance with the provisions set forth in this Security under the heading “Optional Redemption,” Holders of the Securities of this series will have the right to require the
Company to repurchase all or any part (equal to $2,000 and additional multiples of $1,000) of their Securities as set forth in Article IV of the First Supplemental Indenture. 

Amendment, Modification and Waiver. The Indenture permits, with certain exceptions as therein provided, the amendment thereof and the
modification of the rights and obligations of the Company and the rights of the Holders of the Securities to be affected under the Indenture at any time by the Company and the Trustee with the consent of the Holders of a majority in aggregate
principal amount of the Securities at the time Outstanding to be affected. The Indenture also contains provisions permitting the Holders of a majority in aggregate principal amount of the Securities at the time Outstanding, on behalf of the Holders
of all Securities of such series, to waive compliance by the Company with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences. Any such consent or waiver by the Holder of this Security shall be
conclusive and binding upon such Holder and upon all future Holders of this Security and of any Security issued upon the registration of transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is
made upon this Security. 
 Restrictive Covenants. The restrictive covenants for this Security are as specified in the Indenture. The
Indenture does not limit unsecured debt of the Company or any of its Subsidiaries. 
 Denominations, Transfer and Exchange.
The Securities of this series are issuable only in registered form without coupons in denominations of $2,000 and in integral multiples of $1,000 in excess thereof. As provided in the Indenture and subject to certain limitations therein set
forth, Securities of this series are exchangeable for a like aggregate principal amount of Securities of like tenor of a different authorized denomination, as requested by the Holder surrendering the same. 

  
 A-6 

 As provided in the Indenture and subject to certain limitations therein set forth, the
transfer of this Security is registerable in the Security Register, upon surrender of this Security for registration of transfer at the Registrar accompanied by a written request for transfer in form satisfactory to the Company and the Registrar
duly executed by, the Holder hereof or his attorney duly authorized in writing, and thereupon one or more new Securities of this series and of like tenor, of authorized denominations and for the same aggregate principal amount, will be issued to the
designated transferee or transferees. 
 No service charge shall be made for any such registration of transfer or exchange, but the Company
may require payment of a sum sufficient to cover any tax or other governmental charge payable in connection therewith. 
 Persons Deemed
Owners. Prior to due presentment of this Security for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat the Person in whose name this Security is registered as the owner hereof for all
purposes, whether or not this Security be overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice to the contrary. 

Miscellaneous. The Indenture and this Security shall be governed by and construed in accordance with the laws of the State of New York,
without regard to the conflicts of law rules of said State. 
 All terms used in this Security and not defined herein shall have the
meanings assigned to them in the Indenture. 

  
 A-7 

 SCHEDULE OF INCREASES OR DECREASES IN GLOBAL SECURITY 

The following increases or decreases in this Global Security have been made: 

 

									
	 Date of Exchange
	  	 Amount of increase in
Principal Amount of

this Global Security
	  	 Amount of decrease

in Principal Amount
 of this
Global
 Security
	  	 Principal Amount of

this Global Security
following each

decrease or increase
	  	 Signature of

authorized signatory
 of
Trustee

  
 A-8Exhibit

Exhibit 10.1

KRATON CORPORATION
AMENDED AND RESTATED 2016 EQUITY AND CASH INCENTIVE PLAN
    
		
	1.
	Plan. This Kraton Corporation Amended and Restated 2016 Equity and Cash Incentive Plan was adopted by the Company to reward certain corporate officers, directors, independent contractors and key employees of the Company and its Subsidiaries by enabling them to acquire shares of common stock of the Company and/or through the provision of cash payments. 

    
		
	2.
	Objectives. This Plan is designed to promote the interests of the Company and its stockholders by providing the (i) employees and consultants of the Company and its Subsidiaries and (ii) non-employee directors of the Company, who are largely responsible for the management, growth, and protection of the business of the Company, with equity and cash incentives and rewards to encourage them to continue in the service of the Company. This Plan is designed to meet this intent by providing such employees, independent contractors, and non-employee directors with a proprietary interest in pursuing the long-term and short-term growth, profitability, and financial success of the Company. 

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

“Award” means the grant, by the Company pursuant to this Plan, of any Option, SAR, Stock Award or Cash Award, whether granted singly, in combination or in tandem, to a Participant pursuant to such applicable terms, conditions and limitations as the Committee (or the Board, in the case of Awards to Directors) may establish in order to fulfill the objectives of this Plan.

“Award Agreement” means any agreement (in writing or electronic) issued for and on behalf of the Company setting forth, in writing, the terms, conditions and limitations applicable to an Award.

“Board” means the Board of Directors of the Company.

“Cash Award” means an Award, granted by the Company pursuant to this Plan, denominated in cash.

“Change in Control” means the occurrence of any of the following:

		
	(i)
	Change in the Ownership of the Company. Any Person, acquires ownership of securities of the Company that, together with securities held by such Person, constitutes more than 50% of the total fair market value or total voting power of the securities of the Company.

		
	(ii)
	Change in the Effective Control of the Company. The date any Person acquires (or has acquired during the 12-month period ending on the date of the most recent acquisition by such Person) ownership of securities of the Company possessing 30% or more of the total voting power of the securities of the Company; or the date a majority of members of the Board is replaced during any 

Exhibit 10.1

12-month period by directors whose appointment or election is not endorsed by a majority of the members of the Board before the date of the appointment or election.

		
	(iii)
	Change in the Ownership of a Substantial Portion of the Company's Assets. A change in the ownership of a substantial portion of the Company’s assets occurs on the date that any Person acquires (or has acquired during the 12-month period ending on the date of the most recent acquisition by such Person) assets from the Company that have a total gross fair market value equal to or more than 40% of the total gross fair market value of all of the assets of the Company immediately before such acquisition or acquisitions. For this purpose, gross fair market value means the value of the assets of such corporation, or the value of the assets being disposed of, determined without regard to any liabilities associated with such assets.

Notwithstanding the foregoing, no Change in Control shall be deemed to have occurred with respect to the payment of an Award that is subject to Code Section 409A unless such event constitutes an event specified in Code Section 409A(a)(2)(A)(v) and the Treasury regulations promulgated thereunder.

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

“Committee” means the Compensation Committee of the Board or such other committee of the Board as is designated by the Board to administer this Plan.

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

“Company” means Kraton Corporation, a Delaware corporation, and any successor thereto.

“Consultant” means an individual providing services to the Company or any of its Subsidiaries, other than an Employee or a Director.

“Director” means an individual serving as a member of the Board who is not an Employee or a Consultant.

“Dividend Equivalents” means an amount equal to dividends and other distributions (or the economic equivalent thereof) that are payable to stockholders of record on a like number of shares of Common Stock.

“Effective Date” means May 18, 2016, the date this Plan was initially approved by the Company’s stockholders.

“Employee” means an employee of the Company or any of its Subsidiaries.

“Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time.

“Fair Market Value” of a share of Common Stock means, as of a particular date:

Exhibit 10.1

		
	(i)
	if shares of Common Stock are listed on a national securities exchange, the average of the high and low sales prices per share of Common Stock on the consolidated transaction reporting system for the principal national securities exchange on which shares of Common Stock are listed on that date, or, if there shall have been no such sale so reported on that date, on the last preceding date on which such a sale was so reported;

		
	(ii)
	if the Common Stock is not so listed, the average of the closing bid and asked price on that date, or, if there are no quotations available for such date, on the last preceding date on which such quotations shall be available, as reported by an inter-dealer quotation system;

		
	(iii)
	if shares of Common Stock are not publicly traded, the most recent value determined by an independent appraiser appointed by the Committee for such purpose; or

		
	(iv)
	if none of the above are applicable, the Fair Market Value of a share of Common Stock as determined in good faith by the Committee.

Notwithstanding the foregoing, the determination of Fair Market Value for purposes of tax reporting or withholding upon settlement of an Award may be made using any reasonable method in the Company's discretion, subject to applicable law, and need not be consistent with the determination of Fair Market Value in accordance with the above.

“Incentive Option” means an Option that is intended to comply with the requirements set forth in Code Section 422.

“Maximum Share Limitation” shall have the meaning ascribed to such term in Section 5(a) hereof.

“Nonqualified Option” means an Option that is not intended to comply with the requirements set forth in Code Section 422.

“Option” means a right, granted by the Company pursuant to this Plan, to purchase a specified number of shares of Common Stock at a specified price.

“Outstanding Qualified Performance Award” shall have the meaning ascribed to such term in Section 27 of this Plan.

“Participant” means an Employee, Consultant or Director to whom an Award has been made under this Plan.

“Performance Award” means a Stock Award or a Cash Award to a Participant which Award is subject to the attainment of one or more Performance Goals, including both long-term and annual Performance Awards.

“Performance Goal” means a standard established by the Committee, the satisfaction of which shall determine in whole or in part whether a Performance Award shall be earned.

Exhibit 10.1

“Person” means any individual, corporation, partnership, “group” (as such term is used in Rule 13d 5 under the Exchange Act), association or other “person,” as such term is used in Sections 13(d) and 14(d) of the Exchange Act, and the related rules and regulations promulgated thereunder.

“Plan” means this Amended and Restated Kraton Corporation 2016 Equity and Cash Incentive Plan, as amended and restated as described in Section 26, and as it may be further amended from time to time.

“Prior Plan” means the Kraton Performance Polymers, Inc. 2009 Equity Incentive Plan, originally effective as of November 30, 2009 and as amended and restated effective as of February 16, 2012.

“Restatement Effective Date” shall have the meaning ascribed to such term in Section 26 of this Plan.
 
“Restricted Stock” means any Common Stock that is restricted or subject to forfeiture provisions.

“Restricted Stock Unit” means a unit that is restricted or subject to forfeiture provisions evidencing the right to receive one share of Common Stock or cash equal to the Fair Market Value of one share of Common Stock.

“Restriction Period” means a period of time beginning as of the date upon which an Award of Restricted Stock or Restricted Stock Units is made pursuant to this Plan and ending as of the date upon which such Award is issued (if not previously issued), no longer restricted or no longer subject to forfeiture provisions.

“SAR” means a right, granted by the Company pursuant to this Plan, to receive a payment, in cash or Common Stock, equal to the excess of the Fair Market Value of a share of Common Stock on the date the right is exercised over the Fair Market Value of a share of Common Stock on the date of grant.

“Section 409A” means Code Section 409A, and related regulations and Treasury pronouncements.

“Stock Award” means an Award, granted by the Company pursuant to this Plan, in the form of shares of Common Stock or units denominated in shares of Common Stock, and includes Restricted Stock and Restricted Stock Units, but does not include Options or SARs.

“Stock Based Award Limitations” is as defined in Section 5(d) hereof.

“Subsidiary” means (i) in the case of a corporation, any corporation of which the Company directly or indirectly owns shares representing 50% or more of the combined voting power of the shares of all classes or series of capital stock of such corporation which have the right to vote generally on matters submitted to a vote of the stockholders of such corporation, and (ii) in the case of a partnership or other business entity not organized as a corporation, any such business entity of which the Company directly or indirectly owns 50% or more of the voting, capital or profits interests (whether in the form of partnership interests, membership interests or otherwise).

Exhibit 10.1

    
		
	4.
	Eligibility. The persons who shall be eligible to receive Awards pursuant to this Plan shall be (a) those Employees and Consultants whom the Committee shall select from time to time and (b) Directors whom the Board shall select from time to time.

    
		
	5.
	Common Stock Available for Awards; Plan and Award Limitations.

    
		
	(a)
	Common Stock Available Under this Plan. Subject to the provisions of the immediately following subsection (b), the maximum number of shares of Common Stock that may be issued or transferred pursuant to Awards under this Plan is 3,350,000 shares plus the shares remaining available for awards under the Prior Plan as of the Effective Date (the “Maximum Share Limitation”). From and after the Effective Date, no further awards may be made under the Prior Plan.

		
	(b)
	Share Counting. Each Option and SAR, and as of the Restatement Effective Date, each Stock Award, granted shall be counted against the Maximum Share Limitation as one share of Common Stock. Stock Awards granted prior to the Restatement Effective Date shall be counted against the Maximum Share Limitation as two shares of Common Stock. The number of shares of Common Stock that are the subject of Awards under this Plan or the Prior Plan that are canceled, terminated, forfeited or expire unexercised shall again immediately become available for Awards hereunder as if such shares had never been the subject of an Award, and the Maximum Share Limitation shall be increased by the same amount as such shares were counted against the Maximum Share Limitation when the relevant Award was granted (or with respect to Awards granted under the Prior Plan, as one share of Common Stock per share of Common Stock subject to the Award). The number of shares of Common Stock that are the subject of Awards under this Plan or the Prior Plan that are tendered, surrendered or withheld in connection with the exercise or settlement of an Award or the Company’s tax withholding obligations shall not again be available for Awards under this Plan. Notwithstanding the foregoing, Awards granted pursuant to an Award Agreement specifying that such Award will be settled in cash shall not be counted against the limit set forth in Section 5(a).

    
		
	(c)
	Incentive Option Shares. The maximum number of shares of Common Stock that may be issued or transferred pursuant to Incentive Options under this Plan is 3,350,000 shares.

		
	(d)
	Award Limitations. The following limitations shall apply to any Awards made hereunder:

    
		
	(i)
	No Employee or Consultant may be granted, during any calendar year, Awards consisting of Options or SARs that are exercisable for more than 1,000,000 shares of Common Stock, and no Director may be granted, during any calendar year, Awards consisting of Options or SARs that are exercisable for more than 100,000 shares of Common Stock;

		
	(ii)
	No Employee or Consultant may be granted, during any calendar year, Stock Awards covering or relating to more than 1,000,000 shares of Common Stock, and no Director may be granted, during any calendar year, Stock Awards covering or relating to more than 50,000 shares of Common Stock (the limitations set forth in this clause (ii), together with the limitations set forth in clause (i) above, being hereinafter collectively referred to as the “Stock Based Award Limitations”); and

Exhibit 10.1

		
	(iii)
	No Employee or Consultant may be granted Cash Awards in respect of any calendar year having a value determined on the date of grant in excess of $5,000,000.

		
	(e)
	Adjustments. The limitations set forth in this Section 5 are subject to adjustment in accordance with Section 15 hereof.

		
	(f)
	Other Actions. The Committee may from time to time adopt and observe such procedures concerning the counting of shares against this Plan maximum as it may deem appropriate. The Board, the Committee and the officers of the Company shall from time to time take whatever actions are necessary to file any required documents with governmental authorities, stock exchanges and transaction reporting systems to ensure that shares of Common Stock are available for issuance pursuant to Awards.

		
	6.
	Administration.

		
	(a)
	Authority of the Committee. Except as otherwise provided in this Plan with respect to actions or determinations by the Board, this Plan shall be administered by the Committee. Subject to the provisions hereof, the Committee shall have full and exclusive power and authority to administer this Plan and to take all actions that are specifically contemplated hereby or are necessary or appropriate in connection with the administration hereof. The Committee shall also have full and exclusive power to interpret this Plan and to adopt such rules, regulations and guidelines for carrying out this Plan as it may deem necessary or proper, all of which powers shall be exercised in the best interests of the Company and in keeping with the objectives of this Plan. Subject to Section 6(c) and Section 18 hereof, the Committee may, in its discretion, provide for (i) the extension of the exercisability of an Award, (ii) in the event of a Participant’s death, disability or retirement (in the case of disability and retirement, unless otherwise specified in the relevant grant agreement, as determined in accordance with the applicable policies and procedures of the Company as in effect from time to time) or in the event of a termination of employment by the Company without “Cause” or by the Participant with “Good Reason” (as such terms are defined in an Award Agreement, employment agreement or the Company’s Executive Severance Plan): (A) the acceleration of the date on which any such Award becomes vested or exercisable, as the case may be, (B) the elimination of (or lesser restrictions on) any restrictions contained in an Award, (C) the waiver of any restriction or other provision of this Plan or an Award or (iii) amendment or modification of an Award in any manner that is (A) not materially adverse to the Participant to whom such Award was granted, (B) consented to by such Participant or (C) authorized by Section 15(c) hereof; provided, however, that no such action shall permit the term of any Option or SAR to be greater than ten years from the applicable grant date. For avoidance of doubt, in the event of Change in Control without a subsequent termination of employment, the Committee’s discretion with respect to Awards shall be subject to Section 15(c), rather than this Section 6(a). The Committee may correct any defect or supply any omission or reconcile any inconsistency in this Plan or in any Award in the manner and to the extent the Committee deems necessary or desirable to further the purposes of this Plan. Any decision of the Committee in the interpretation and administration of this Plan shall lie within its sole and absolute discretion and shall be final, conclusive and binding on all parties concerned.

Exhibit 10.1

		
	(b)
	Indemnity. No member of the Board or the Committee or officer of the Company to whom the Committee has delegated authority in accordance with the provisions of Section 7 of this Plan shall be liable for anything done or omitted to be done by him or her, by any member of the Board or the Committee or by any officer of the Company in connection with the performance of any duties under this Plan, except for his or her own willful misconduct or as expressly provided by statute.

		
	(c)
	Prohibition on Repricing of Options and Stock Appreciation Rights. Except in connection with a corporate transaction involving the Company (including, without limitation, any stock dividend, stock split, extraordinary cash dividend, recapitalization, reorganization, merger, consolidation, split up, spin off, combination, or exchange of shares), the terms of outstanding Options and SARs may not be amended to (i) reduce the exercise price of outstanding Options or SARs or (ii) cancel outstanding Options or SARs in exchange for cash, other Awards or Options or SARs with an exercise price that is less than the exercise price of the original Options or SARs without stockholder approval.

    
		
	7.
	Delegation. The Committee may delegate any of its authority to grant Awards to Employees who are not subject to Section 16(b) of the Exchange Act and Consultants, subject to Section 6(a) above, to a subcommittee of the Committee, to any other committee of the Board, to the Chief Executive Officer of the Company or to one or more officers of the Company, provided such delegation is made in writing and specifically sets forth such delegated authority. Any such delegation hereunder shall only be made to the extent permitted by applicable law.

		
	8.
	Awards. Except as otherwise provided in Section 9 hereof pertaining to Awards to Directors, the Committee shall determine the type or types of Awards to be made under this Plan and shall designate from time to time the Participants who are to be the recipients of such Awards. Each Award shall be embodied in an Award Agreement in such form as the Committee determines, which shall contain such terms, conditions and limitations as shall be determined by the Committee in its sole discretion, including any treatment upon a Change in Control, and shall be issued for and on behalf of the Company. Awards may consist of those listed in this Section 8 and may be granted singly, in combination or in tandem. Awards may also be made in combination or in tandem with, in replacement of, or as alternatives to, grants or rights under this Plan or any other plan of the Company or any of its Subsidiaries, including this Plan of any acquired entity; provided that, except as contemplated in Section 15 hereof, no Option or SAR may be issued in exchange for the cancellation of an Option or SAR, respectively, with a higher exercise price nor may the exercise price of any Option or SAR be reduced. Subject to accelerated vesting in the event of a Participant’s termination of employment due to death, disability or retirement as provided in Section 6(a) or following a Change in Control as provided in Section 15(c), all Awards shall have a minimum vesting period of one year from the date of grant; provided, however, that Awards with respect to up to five percent of the shares of Common Stock authorized for grant pursuant to this Plan may have a vesting period of less than one year. All or part of an Award may be subject to conditions established by the Committee, which may include, but are not limited to, continuous service with the Company and its Subsidiaries, achievement of specific business objectives, increases in specified indices, attainment of specified growth rates and other measurements of performance. Upon the termination of employment by a Participant who is an Employee or termination of service by a Participant who is a Consultant, any unexercised, deferred, unvested or unpaid Awards shall be treated as set forth in the applicable Award Agreement.

Exhibit 10.1

    
		
	(a)
	Option. An Award may be in the form of an Option. An Option awarded pursuant to this Plan may consist of an Incentive Option or a Nonqualified Option. The price at which shares of Common Stock may be purchased upon the exercise of an Option shall be not less than the Fair Market Value of the Common Stock on the date of grant. The term of an Option shall not exceed ten years from the date of grant. Subject to the foregoing provisions, the terms, conditions and limitations applicable to any Options awarded pursuant to this Plan, including the term of any Options and the date or dates upon which such Options become exercisable, shall be determined by the Committee. Options may not be sold, pledged, assigned, hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised, during the lifetime of a Participant, only by the Participant; provided, however, that the Committee may permit Nonqualified Options to be sold, pledged, assigned, hypothecated, transferred, or disposed of, on a general or specific basis, subject to such conditions and limitations as the Committee may determine.

    
		
	(b)
	Stock Appreciation Right. An Award may be in the form of a SAR. The strike price for a SAR shall not be less than the Fair Market Value of the Common Stock on the date on which the SAR is granted. The term of a SAR shall not exceed ten years from the date of grant. Subject to the foregoing limitations, the terms, conditions and limitations applicable to any SARs awarded pursuant to this Plan, including the term of any SARs and the date or dates upon which such SARs become exercisable, shall be determined by the Committee. As of the date of grant of a SAR, the Committee may specifically designate that the Award will be paid (i) only in cash, (ii) only in Common Stock, or (iii) in such other form or combination of forms as the Committee may elect or permit at the time of exercise.

    
		
	(c)
	Stock Award. An Award may be in the form of a Stock Award. The terms, conditions and limitations applicable to any Stock Awards granted pursuant to this Plan shall be determined by the Committee, subject to the limitations specified below.

    
		
	(d)
	Cash Award. An Award may be in the form of a Cash Award. The terms, conditions and limitations applicable to any Cash Awards granted pursuant to this Plan shall be determined by the Committee.

		
	(e)
	Performance Award. Without limiting the type or number of or performance metrics with respect to Awards that may be made under the other provisions of this Plan, an Award may be in the form of a Performance Award. The terms, conditions and limitations applicable to any Performance Awards granted to Participants pursuant to this Plan shall be determined by the Committee, subject to the limitations specified in this Plan. The Committee may set Performance Goals in its discretion which, depending on the extent to which such Performance Goals are met, may determine the value and/or amount of Performance Awards that will be paid out to the Participant and/or the portion of an Award that may be exercised. A Performance Goal may be based on one or more business or numerical or statistical criteria that apply to the Employee, one or more business units, divisions or sectors of the Company, or the Company as a whole, by comparison with a peer group of companies or may be measured on such other basis as determined by the Committee, in its discretion. A Performance Goal may include, but is not limited to, (i) GAAP or non-GAAP financial metrics, (ii) total shareholder return or other return-based 

Exhibit 10.1

metrics, (iii) operational, efficiency-based, strategic or corporate objectives, (iv) sustainability or compliance targets, (v) personal professional objectives relating to a Participant, or (vi) any other metric that is reasonably capable of measurement or determination or calculation, as determined by the Committee. Notwithstanding the foregoing, the Committee is authorized to make adjustments in the terms and conditions of, and the criteria included in, Awards (including Performance Awards and Performance Goals and any hypothetical funding pool relating thereto) in recognition of unusual or nonrecurring events (including, without limitation, acquisitions and dispositions of businesses and assets) affecting the Company, any subsidiary or other business unit, or the financial statements of the Company or any subsidiary, or in response to changes in applicable laws, regulations, accounting principles, tax rates and regulations or business conditions or in view of the Committee's assessment of the business strategy of the Company, any subsidiary or business unit thereof, performance of comparable organizations, economic and business conditions, personal performance of a Participant, and any other circumstances deemed relevant.
 
		
	9.
	Awards to Directors. Subject to the limitations set forth in Section 5(d) hereof, the Board may grant a Director of the Company one or more Awards and establish the terms thereof in accordance with Section 8 and consistent with the provisions therein for the granting of Awards to Employees and Consultants by the Committee. Any such Award shall be subject to the applicable terms, conditions and limitations set forth in this Plan and the applicable Award Agreement. Upon the termination of service by a Participant who is a Director, any unexercised, deferred, unvested or unpaid Awards shall be treated as set forth in the applicable Award Agreement.

		
	10.
	Award Payment; Dividends and Dividend Equivalents.

    
		
	(a)
	General. Payment of Awards may be made in the form of cash or Common Stock, or a combination thereof, and may include such restrictions as the Committee shall determine, including, in the case of Common Stock, restrictions on transfer and forfeiture provisions. If payment of an Award is made in the form of Restricted Stock, the applicable Award Agreement relating to such shares shall specify whether such shares are to be issued at the beginning or end of the Restriction Period. In the event that shares of Restricted Stock are to be issued at the beginning of the Restriction Period, the certificates evidencing such shares (to the extent that such shares are so evidenced) shall contain appropriate legends and restrictions that describe the terms and conditions of the restrictions applicable thereto. In the event that shares of Restricted Stock are to be issued at the end of the Restriction Period, the right to receive such shares shall be evidenced by book entry registration or in such other manner as the Committee may determine.

		
	(b)
	Dividends, Dividend Equivalents and Interest. Rights to dividends or Dividend Equivalents may be extended to and made part of any Award (other than Options and SARs) consisting of shares of Common Stock or units denominated in shares of Common Stock, subject to such terms, conditions and restrictions as the Committee may establish; provided that in no event shall any Award provide for the Participant’s receipt of payment of dividends or Dividend Equivalents in any form prior to the vesting of such Award (or applicable portion thereof) or otherwise permit the payment of dividends or Dividend Equivalents on an Award to the extent that it has not vested. Dividends and/or Dividend Equivalents shall not be made part of any Options or SARs. The Committee may also 

Exhibit 10.1

establish rules and procedures for the crediting of interest on deferred cash payments, dividends or Dividend Equivalents.

		
	(c)
	Deferrals. Amounts payable in respect of Cash Awards to be deferred and paid in accordance with the terms of the Company’s deferred compensation plan that may permit such deferrals (if any), subject to the terms and conditions of such plan as it may be amended from time to time, and provided the Participant is eligible to defer Cash Awards under such plan and such deferrals comply with Section 409A.

		
	11.
	Stock Option Exercise. The price at which shares of Common Stock may be purchased under an Option shall be paid in full at the time of exercise in cash or, if permitted by the Committee and elected by the Participant, the Participant may purchase such shares by means of the Company withholding shares of Common Stock otherwise deliverable on exercise of the Award or tendering Common Stock or surrendering another Award, including Restricted Stock, valued at Fair Market Value on the date of exercise, or any combination thereof. The Committee, in its sole discretion, shall determine acceptable methods for Participants to tender Common Stock or other Awards. The Committee may provide for procedures to permit the exercise or purchase of such Awards by use of the proceeds to be received from the sale of Common Stock issuable pursuant to an Award (including cashless exercise involving a broker or dealer approved by the Committee or net-exercise both pursuant to procedures approved by the Committee). Unless otherwise provided in the applicable Award Agreement, in the event shares of Restricted Stock are tendered as consideration for the exercise of an Option, a number of the shares issued upon the exercise of the Option, equal to the number of shares of Restricted Stock used as consideration therefore, shall be subject to the same restrictions as the Restricted Stock so submitted as well as any additional restrictions that may be imposed by the Committee. The Committee may adopt additional rules and procedures regarding the exercise of Options from time to time, provided that such rules and procedures are not inconsistent with the provisions of this Section 11.

    
		
	12.
	Taxes. The Company shall have the right to deduct applicable taxes from any Award payment and withhold an appropriate amount of cash or number of shares of Common Stock or a combination thereof for payment of taxes required by law or to take such other action as may be necessary in the opinion of the Company to satisfy all obligations for withholding of such taxes. The Committee may also permit withholding to be satisfied by the transfer to the Company of shares of Common Stock theretofore owned by the holder of the Award with respect to which withholding is required. If shares of Common Stock are used to satisfy tax withholding, such shares shall be valued based on the Fair Market Value when the amount of required tax withholding is determined by the Company.

		
	13.
	Amendment, Modification, Suspension or Termination. The Board may amend, modify, suspend or terminate this Plan (and the Committee may amend or modify an Award Agreement) for the purpose of meeting or addressing any changes in legal requirements or for any other purpose permitted by applicable law, except that (i) no amendment or alteration that would materially adversely affect the rights of any Participant under any Award previously granted to such Participant shall be made without the consent of such Participant and (ii) no amendment or alteration shall be effective prior to its approval by the stockholders of the Company to the extent stockholder approval is otherwise required by applicable legal requirements or the requirements of the securities exchange on which the Company’s stock is listed, including any amendment that expands the types of Awards available under this Plan, materially increases the number of shares of Common Stock that may be issued or transferred pursuant to Awards under this Plan, 

Exhibit 10.1

materially expands the classes of persons eligible for Awards under this Plan, materially extends the term of this Plan, materially changes the method of determining the Exercise Price of Options or strike price of SARs, deletes or limits any provisions of this Plan that prohibit the repricing of Options or SARs or materially modifies the restrictions on the Committee’s authority pursuant to Section 6(a) and 15(c) hereof. Notwithstanding any provision in this Plan to the contrary, this Plan shall not be amended or terminated in such manner that would cause this Plan or any amounts or benefits payable hereunder to fail to comply with or be exempt from Section 409A, and any such amendment or termination that may reasonably be expected to result in such failure shall be of no force or effect.
    
		
	14.
	Assignability. Unless otherwise determined by the Committee and provided in the Award Agreement, no Award or any other benefit under this Plan shall be assignable or otherwise transferable. Any attempted assignment of an Award or any other benefit under this Plan in violation of this Section 14 shall be null and void.

		
	15.
	Adjustments.

		
	(a)
	The existence of outstanding Awards shall not affect in any manner the right or power of the Company or its stockholders to make or authorize any or all adjustments, recapitalizations, reorganizations or other changes in the capital stock of the Company or its business or any merger or consolidation of the Company, or any issue of bonds, debentures, preferred or prior preference stock (whether or not such issue is prior to, on a parity with or junior to the Common Stock) or the dissolution or liquidation of the Company, or any sale or transfer of all or any part of its assets or business, or any other corporate act or proceeding of any kind, whether or not of a character similar to that of the acts or proceedings enumerated above.

		
	(b)
	In the event of any subdivision or consolidation of outstanding shares of Common Stock, declaration of a dividend payable in shares of Common Stock or other stock split, then (i) the number of shares of Common Stock reserved under this Plan, (ii) the number of shares of Common Stock available under this Plan for Incentive Options and Stock Awards, (iii) the number of shares of Common Stock covered by outstanding Awards in the form of Common Stock or units denominated in Common Stock, (iv) the exercise or other price in respect of such Awards, (v) the Stock Based Award Limitations, and (vi) the appropriate Fair Market Value and other price determinations for such Awards shall each be proportionately adjusted by the Committee to reflect such transaction. In the event of any other recapitalization or capital reorganization of the Company, any consolidation or merger of the Company with another corporation or entity, the adoption by the Company of any plan of exchange affecting the Common Stock or any distribution to holders of Common Stock of securities or property (other than normal cash dividends or dividends payable in Common Stock), the Committee shall make appropriate adjustments to (1) the number and kind of shares of Common Stock covered by Awards in the form of Common Stock or units denominated in Common Stock, (2) the exercise or other price in respect of such Awards, (3) the appropriate Fair Market Value and other price determinations for such Awards, (4) the number and kind of shares of Common Stock available under this Plan for Incentive Options and Stock Awards, and (5) the Stock Based Award Limitations to give effect to such transaction; provided that such adjustments shall only be such as are necessary to maintain the proportionate interest of the holders of the Awards and preserve, without exceeding, the value of such Awards.

Exhibit 10.1

		
	(c)
	In the event of a Change in Control, corporate merger, consolidation, acquisition of property or stock, separation, reorganization or liquidation, the Committee may make such adjustments to Awards or other provisions for the disposition of Awards as it deems equitable, and shall (i) if available pursuant to the terms of the transaction, provide for the substitution of a new Award or other arrangement (which, if applicable, may be exercisable for such property or stock as the Committee determines) for an Award or the assumption of the Award (and for awards not granted under this Plan), regardless of whether in a transaction to which Code Section 424(a) applies, or (ii), to the extent that Awards cannot be substituted or assumed pursuant to subsection (i) above: (A) provide, prior to the transaction, for the acceleration of the vesting and exercisability of, or lapse of restrictions with respect to, the Award and, if the transaction is a cash merger, provide for the termination of any portion of the Award that remains unexercised at the time of such transaction, (B) provide for the acceleration of the vesting and exercisability of an Award and the cancellation thereof in exchange for such payment as the Committee, in its sole discretion, determines is a reasonable approximation of the value thereof, (C) cancel any Awards and direct the Company to deliver to the Participants who are the holders of such Awards cash in an amount that the Committee shall determine in its sole discretion is equal to the Fair Market Value of such Awards as of the date of such event, which, in the case of any Option, shall be the amount equal to the excess of the Fair Market Value of a share as of such date over the per share exercise price for such Option (for the avoidance of doubt, if such exercise price is less than such Fair Market Value, the Option may be canceled for no consideration), or (D) cancel Awards that are Options and give the Participants who are the holders of such Awards notice and opportunity to exercise prior to such cancellation. Notwithstanding anything to the contrary in the above, with respect to Performance Awards, the Committee shall only accelerate exercisability, nonforfeitability and transferability of such Awards upon the Change in Control: (x) to the extent of actual achievement of the applicable performance conditions or (y) on a prorated basis for time elapsed in ongoing performance period(s).

    
		
	(d)
	No adjustment authorized by this Section 15 shall be made in such manner that would result in this Plan or any amounts or benefits payable hereunder to fail to comply with or be exempt from Section 409A, and any such adjustment that may reasonably be expected to result in such failure shall be of no force or effect.

		
	16.
	Restrictions. No Common Stock or other form of payment shall be issued or made with respect to any Award unless the Company shall be satisfied based on the advice of its counsel that such issuance or other payment will be in compliance with all applicable federal and state securities laws. Certificates evidencing shares of Common Stock delivered under this Plan (to the extent that such shares are so evidenced) may be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the rules, regulations and other requirements of the Securities and Exchange Commission, any securities exchange or transaction reporting system upon which the Common Stock is then listed or to which it is admitted for quotation and any applicable federal or state securities law. The Committee may cause a legend or legends to be placed upon such certificates (if any) to make appropriate reference to such restrictions.

    
		
	17.
	Unfunded Plan. This Plan is unfunded. Although bookkeeping accounts may be established with respect to Participants who are entitled to cash, Common Stock or rights thereto under this Plan, 

Exhibit 10.1

any such accounts shall be used merely as a bookkeeping convenience. The Company shall not be required to segregate any assets that may at any time be represented by cash, Common Stock or rights thereto, nor shall this Plan be construed as providing for such segregation, nor shall the Company, the Board or the Committee be deemed to be a trustee of any cash, Common Stock or rights thereto to be granted under this Plan. Any liability or obligation of the Company to any Participant with respect to an Award of cash, Common Stock or rights thereto under this Plan shall be based solely upon any contractual obligations that may be created by this Plan and any Award Agreement, and no such liability or obligation of the Company shall be deemed to be secured by any pledge or other encumbrance on any property of the Company. None of the Company, the Board or the Committee shall be required to give any security or bond for the performance of any obligation that may be created by this Plan.

		
	18.
	Section 409A.

		
	(a)
	Notwithstanding anything in this Plan to the contrary, if any Plan provision or Award under this Plan would result in the imposition of an additional tax under Section 409A, that Plan provision or Award will be reformed to avoid imposition of the additional tax, including that any Award subject to 409A held by a specified employee that is settled upon termination of employment (for reasons other than death) shall be delayed in payment until the expiration of six months, and no action taken to comply with Section 409A shall be deemed to adversely affect the Participant’s rights to an Award. Awards made under this Plan are intended to comply with or be exempt from Section 409A, and ambiguous provisions hereof, if any, shall be construed and interpreted in a manner consistent with such intent. No payment, benefit or consideration shall be substituted for an Award if such action would result in the imposition of taxes under Section 409A.

		
	(b)
	Unless the Committee provides otherwise in an Award Agreement, each Restricted Stock Unit Award or Cash Award (or portion thereof if the Award is subject to a vesting schedule) shall be settled no later than the 15th day of the third month after the end of the first calendar year in which the Award (or such portion thereof) is no longer subject to a “substantial risk of forfeiture” within the meaning of Section 409A. If the Committee determines that a Restricted Stock Unit Award or Cash Award is intended to be subject to Section 409A, the applicable Award Agreement shall include terms that are designed to satisfy the requirements of Section 409A.

    
		
	(c)
	If the Participant is identified by the Company as a “specified employee” within the meaning of Code Section 409A(a)(2)(B)(i) on the date on which the Participant has a “separation from service” (other than due to death) within the meaning of Treasury Regulation Section 1.409A 1(h), any Award payable or settled on account of a separation from service that is deferred compensation subject to Section 409A shall be paid or settled on the earliest of (1) the first business day following the expiration of six months from the Participant’s separation from service, (2) the date of the Participant’s death, or (3) such earlier date as complies with the requirements of Section 409A.

		
	19.
	Governing Law. This Plan and all determinations made and actions taken pursuant hereto, to the extent not otherwise governed by mandatory provisions of the Code or the securities laws of the United States, shall be governed by and construed in accordance with the laws of the State of Texas.

Exhibit 10.1

		
	20.
	Right to Continued Service or Employment. Nothing in this Plan or an Award Agreement shall interfere with or limit in any way the right of the Company or any of its Subsidiaries to terminate any Participant’s employment or other service relationship with the Company or its Subsidiaries at any time, nor confer upon any Participant any right to continue in the capacity in which he is employed or otherwise serves the Company or its Subsidiaries.

    
		
	21.
	Clawback Right. Notwithstanding any other provisions in this Plan, any Award shall be subject to recovery or clawback by the Company under any clawback policy adopted by the Company whether before or after the date of grant of the Award and to any clawback provision as may be set forth in an Award Agreement or required by applicable law or stock exchange listing requirement.

    
		
	22.
	Usage. Words used in this Plan in the singular shall include the plural and vice versa, and words of one gender shall be construed to include the other gender and the neuter, in each case as the context requires.

    
		
	23.
	Headings. The headings in this Plan are inserted for convenience of reference only and shall not affect the meaning or interpretation of this Plan.

		
	24.
	No Fractional Shares. No fractional shares of Common Stock shall be issued or delivered pursuant to this Plan or any Award. The Committee shall determine whether cash, Awards, or other property shall be issued or paid in lieu of fractional shares of Common Stock or whether such fractional shares of Common Stock or any rights thereto shall be forfeited or otherwise eliminated.

    
		
	25.
	Participants Based Outside of the United States. Notwithstanding any provision of this Plan to the contrary, in order to comply with the laws in other countries in which the Company operates or has Employees, Directors or Consultants, the Committee, in its sole discretion, shall have the power and authority to:

    
		
	(a)
	Determine which affiliates and Subsidiaries shall be covered by this Plan;

    
		
	(b)
	Determine which Employees, Directors, and/or Consultants outside the United States are eligible to participate in this Plan;

    
		
	(c)
	Modify the terms and conditions of any Award granted to Employees, Directors, and/or Consultants outside the United States to comply with applicable foreign laws;

    
		
	(d)
	Establish subplans and modify exercise procedures and other terms and procedures, to the extent such actions may be necessary or advisable. Any subplans and modifications to Plan terms and procedures established under this Section 25 by the Committee shall be attached to the Plan document as appendices; and

    
		
	(e)
	Take any action, before or after an Award is made, that it deems advisable to obtain approval or comply with any necessary local government regulatory exemptions or approvals.

Notwithstanding the above, the Committee may not take any actions hereunder, and no Awards shall be granted, that would violate applicable law.
    

Exhibit 10.1

		
	26.
	Effective Date. The Plan originally became effective as of the Effective Date and the First Amendment to the Plan became effective upon its approval by the Company’s stockholders on May 23, 2018. The Plan, as amended and restated by the Board on March 24, 2020, will become effective on the date it is approved by the Company’s stockholders (the “Restatement Effective Date”). This Plan shall continue in effect for a term of 10 years from the Effective Date, unless earlier terminated by action of the Board, and no further Awards may be granted under this Plan after the tenth anniversary of the Effective Date or, if earlier, termination by action of the Board, except as to Awards then outstanding under this Plan. Such outstanding Awards shall remain in effect until they have been exercised or terminated, or have expired.

The adoption of this amendment and restatement of the Plan is expressly conditioned upon the approval by a majority of the votes cast by holders of shares of Common Stock present, or represented, and entitled to vote at the Company’s 2020 annual stockholders meeting, or any adjournment or postponement thereof (or such other voting threshold as may be required by stock exchange listing requirements). If the stockholders of the Company should fail to so approve the amendment and restatement of the Plan at such meeting, such amendment and restatement shall not be of any force or effect and the Plan, as in effect prior to the Restatement Effective Date, shall continue in force and effect.

		
	27.
	Outstanding Qualified Performance Awards.  All provisions of the Plan governing Outstanding Qualified Performance Awards that were in effect prior to the Restatement Effective Date shall continue in effect with respect to Outstanding Qualified Performance Awards, notwithstanding the elimination of such provisions from the Plan as of the Restatement Effective Date. Further, no amendment or restatement of the Plan shall affect the terms and conditions of any Outstanding Qualified Performance Award or any other award that the Company intends to qualify for grandfathering under P.L. 115-97, Section 13601(e)(2), to the extent that it would result in a material modification of such award within the meaning of such Section 13601(e)(2). For purposes of this Section 27, “Outstanding Qualified Performance-Based Award” means any award granted prior to the Restatement Effective Date that is outstanding as of the Restatement Effective Date and that is intended to constitute “qualified performance-based compensation” as described in Section 162(m)(4)(C) of the Code, as in effect prior to its amendment by the Tax Cuts and Jobs Act, P.L. 115-97.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00309-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00309-of-00352.parquet"}]]