Document:

Limited Liability Company Agreement of Cohen Brothers, LLC

 EXHIBIT 10.1 
 COHEN BROTHERS, LLC 
 AMENDED AND RESTATED
LIMITED LIABILITY COMPANY AGREEMENT 
 THIS LIMITED LIABILITY COMPANY AGREEMENT of COHEN BROTHERS, LLC, dated as of
December 16, 2009, is entered into by and among each of the Members set forth on the signature pages hereto. This Agreement, as it may be amended from time to time, shall be binding on any Person who at the time is a Member regardless of
whether the Person has executed this Agreement or any amendment hereto. 
 Background 
 Cohen Brothers, LLC, a Delaware limited liability company doing business as Cohen & Company (the “Company”), is a party
to an Agreement and Plan of Merger, dated February 20, 2009 and amended June 1, 2009, August 20, 2009 and September 30, 2009 (the “Merger Agreement”), pursuant to which on the date hereof Alesco Financial Holdings,
LLC (“Merger Sub”), a Delaware limited liability company and wholly owned subsidiary of Alesco Financial Inc. (“AFN” or “Parent”), merged (the “Merger”) with and into the Company. 
 Pursuant to the Merger Agreement, the Company is the surviving entity of the Merger and this Agreement is the limited liability company
agreement of the Company. 
 Pursuant to the Merger Agreement, certain Persons who were Members of the Company prior to the
Merger had, at the Effective Time (as defined in the Merger Agreement), the right to receive either common stock of AFN or retain recapitalized membership interests in the Company. 
 Pursuant to the Merger Agreement, prior to or contemporaneously with the Merger, AFN contributed to Merger Sub or a subsidiary of Merger Sub
substantially all of the assets of AFN not already owned, directly or indirectly, by Merger Sub (the “Contribution”). 
 NOW, THEREFORE, intending to be bound hereby, the Members agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 Section 1.1 General Interpretive Principles. For purposes of this Agreement, except as otherwise expressly provided or unless the context otherwise requires, (i) the terms defined in this Article have the meanings assigned
to them in this Article and include the plural as well as the singular, and the use of any gender herein shall be deemed to include the other genders; (ii) accounting terms not otherwise defined herein have the meanings assigned to them in
accordance with generally accepted accounting principles, consistently applied; (iii) references in this Agreement to “Articles,” “Sections,” “subsections,” “paragraphs” and other subdivisions without
reference to a document are to designated Articles, Sections, subsections, paragraphs and other subdivisions of this Agreement; (iv) a reference to a subsection without further reference to a Section is a reference to such subsection as
contained in the same Section in which the reference 

 
appears, and this rule shall also apply to paragraphs and other subdivisions; (v) the words “herein,” “hereof,” “hereunder” and other words of similar import
refer to this Agreement as a whole and not to any particular provision; (vi) the word “including” means “including, but not limited to”, (vii) the words “not including” mean “excluding only”, and
(viii) the headings in this Agreement are for convenience only and are not intended to describe, interpret, define, or limit the scope, extent, or intent of any of the provisions of this Agreement. 
 Section 1.2 Defined Terms. As used in this Agreement, the following terms shall have the following respective meanings (unless
otherwise expressly provided herein): 
 “Act”: The Delaware Limited Liability Company Act in its present form
or as amended from time to time. 
 “Adjusted Basis”: The basis for determining gain or loss for federal income
tax purposes from the sale or other disposition of property, as defined in Section 1011 of the Code. 
 “Adjusted
Capital Account Deficit”: With respect to any Member, the deficit balance, if any, in such Member’s Capital Account as of the end of the relevant Fiscal Year, after increasing such Capital Account by any amounts which such Member is
obligated to contribute to the Company (pursuant to the terms of this Agreement or otherwise) or is deemed obligated to contribute to the Company pursuant to Regulations Sections 1.704-2(g)(1) and 1.704-2(i)(5) and reducing such Capital Account by
the amount of the items described in Regulations Section 1.704-1(b)(2)(ii)(d)(4), (5) and (6). 
 “Affiliate”: When used with reference to any Person, any Person that, directly or indirectly through one or more intermediaries controls, is controlled by, or is under common control with, the specified Person (the term
“control” for this purpose, shall mean the ability, whether by the ownership of shares or other equity interests, by contract or otherwise, to elect a majority of the directors of a corporation, independently to select the managing partner
of a partnership or the manager of a limited liability company, or otherwise to have the power independently to remove and then select a majority of those Persons exercising governing authority over an entity, and control shall be conclusively
presumed in the case of the direct or indirect ownership of 50% or more of the equity interests). 
 “Agreement”: This Limited Liability Company Agreement in its present form or as amended, supplemented or restated from time to time in accordance with the terms hereof. 
 “Assignee”: A Person to whom a Membership Interest has been Transferred and who has not been admitted as a Member.

 “Available Cash from Operations”: For each applicable period, an amount equal (a) to all cash revenues
received by the Company during the applicable period from any source (including proceeds of business interruption or other insurance, but excluding funds received as Capital Contributions and the proceeds of a Capital Transaction), (b) less the
amount of any cash reserves that is necessary or appropriate in the reasonable discretion of the Board of Managers to (i) provide for the proper conduct of the business of the Company (including reserves for future capital expenditures and for
anticipated future credit needs of the Company subsequent to such period), or (ii) comply with applicable law or any loan agreement, security agreement, mortgage,

  

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debt instrument or other agreement or obligation to which the Company is a party or by which it is bound or its assets are subject; and (c) plus any such reserves previously established and
not applied and no longer necessary for the purposes of such reserve. 
 “Available Cash from Capital
Transactions”: All cash receipts of the Company arising from a Capital Transaction (including principal and interest received on a debt obligation received as consideration, in whole or in part, on a sale of assets and the net proceeds of
refinancing of any indebtedness of the Company), less all expenses incurred and reserves determined by the Board of Managers to be necessary in connection with the Capital Transaction. 
 “Business Day”: Any day other than a Saturday, a Sunday or a day on which national banks in Delaware are not open for
business or are authorized by law to close. 
 “Capital Account”: The capital account of a Member maintained in
accordance with Section 4.6. 
 “Cash Amount”: Means, with respect to a Tendering Member, an amount of
cash equal to the product of (A) the Value of a Common Share and (B) such Tendering Member’s Common Shares Amount determined as of the date of receipt by Parent of such Tendering Member’s Notice of Redemption or, if such date is
not a Business Day, the immediately preceding Business Day. 
 “Capital Contribution”: With respect to any
Member, the amount of money and the Carrying Value of any asset that such Member has contributed or is deemed to have contributed to the Company. 
 “Capital Transaction”: A transaction in which the Company or any Subsidiary borrows money, sells, exchanges or otherwise disposes of all or any part of its property, including a sale or
other disposition pursuant to a condemnation, receives the proceeds of property damage insurance, or any other transaction that, in accordance with generally accepted accounting principles, is considered capital in nature. 
 “Carrying Value”: Carrying Values means with respect to any asset, the Adjusted Basis of the asset, except as follows:

 (i) the initial Carrying Value of an asset contributed by a Member to the Company shall be the gross fair market value of the
asset, as determined by the Board of Managers at the time the asset is contributed; 
 (ii) the Carrying Values of the
Company’s assets shall be adjusted in accordance with Regulations Section 1.704-1(b)(iv)(f) as of the following times: (a) upon the acquisition of any other additional interest in the Company by any new or existing Assignee or Member
in exchange for more than a de minimis Capital Contribution or upon the acquisition of more than a de minimis profit interest in the Company; (b) the distribution by the Company to a Member or an Assignee of more
than a de minimis amount of property as consideration for all or part of a Membership Interest; and (c) the liquidation of the Company within the meaning of Regulations Section 1.704-1(b)(2)(ii)(g); but adjustments pursuant
to clauses (a) and (b) above

  

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shall be made only if the Board of Managers reasonably determines that such adjustments are necessary or appropriate to reflect the relative economic interests of the Members in the Company;

 (iii) the Carrying Value of an asset of the Company distributed to a Member shall be adjusted to equal the gross fair market
value of the asset on the date of distribution as determined by the Board of Managers; and 
 (iv) the Carrying Values of the
Company’s assets shall be increased (or decreased) to reflect any adjustments to the Adjusted Basis of those assets pursuant to Sections 734(b) or 743(b) of the Code, but only to the extent that those adjustments are taken into account in
determining Capital Accounts pursuant to Regulations Section 1.704-1(b)(2)(iv)(m); but the Carrying Values shall not be adjusted pursuant to this clause (iv) to the extent the Board of Managers determines that an adjustment pursuant to
clause (ii) above is necessary or appropriate in connection with a transaction that would otherwise result in an adjustment pursuant to this clause (iv). 
 If the Carrying Value of an asset is determined or adjusted pursuant to clauses (i), (ii) or (iv), such Carrying Value shall thereafter be adjusted by the Depreciation taken into account with respect
to the asset for purposes of computing Profit and Loss. For purposes of the definition of Carrying Value, the assets and property of the Subsidiary shall be treated as if they were the assets and property of the Company. 
 “Certificate”: The Certificate of Formation of the Company filed with the Secretary of State, as amended and restated from
time to time in accordance with the Act and this Agreement. 
 “Common Shares”: Shares of Common Stock, par
value $.001 per share, of Parent. 
 “Common Shares Amount”: Means a number of Common Shares equal to the
product of (a) the number of Tendered Units and (b) the Exchange Ratio in effect on the Specified Redemption Date with respect to such Tendered Units; provided, however, that, in the event that Parent issues to all holders of
Common Shares as of a certain record date rights, options, warrants or convertible or exchangeable securities entitling Parent’s stockholders to subscribe for or purchase Common Shares, or any other securities or property (collectively, the
“Rights”), with the record date for such Rights issuance falling within the period starting on the date of the Notice of Redemption and ending on the day immediately preceding the Specified Redemption Date, which Rights will not be
distributed before the relevant Specified Redemption Date, then the Common Shares Amount shall also include such Rights that a holder of that number of Common Shares would be entitled to receive, expressed, where relevant hereunder, in a number of
Common Shares determined by Parent in good faith. 
 “Company”: Cohen Brothers, LLC, a Delaware limited
liability company, and any successor limited liability company which continues the business thereof and is a reformation or reconstitution thereof, in each case in accordance with the terms of this Agreement. 
 “Company Change of Control”: The earliest to occur of the following events: (i) the consummation of a plan or other
arrangement pursuant to which the Company will be dissolved or liquidated, or (ii) the consummation of a sale or other disposition of all or substantially all of

  

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the assets of the Company, or (iii) the consummation of a merger or consolidation of the Company with or into a corporation, limited liability company or other business entity, or
(iv) the date any entity, person or group (within the meaning of Section 13(d)(3) of the Exchange Act), other than Parent or Daniel G. Cohen and his affiliates, shall have become the beneficial owner (as defined in the Exchange Act) of, or
shall have obtained voting control over, more than 15% of the outstanding Units. For purposes of this definition, “affiliate” shall mean a person that directly, or indirectly through one or more intermediaries, controls, or is controlled
by, or is under common control with, the referenced person. 
 “Company Security”: Any class or series of
equity interest in the Company (but excluding any options, rights, warrants and appreciation rights relating to an equity interest in the Company). 
 “Contingent Convertible Notes”: The 7.625% Contingent Convertible Senior Notes Due 2027 issued by Parent on May 15, 2007 and June 13, 2007 (pursuant to that certain Indenture,
dated as of May 15, 2007, by and between Parent and U.S. Bank National Association). 
 “Conversion”: As
defined in Section 12.3(a). 
 “Debt Service Distribution(s)”: Other than Voluntary Debt Service
Distributions, the following amounts: 
 (a) An amount equal to the payments required to be made by Parent in accordance with
the Contingent Convertible Notes. Parent shall provide the Company with the calculation of any payments due in accordance with the Contingent Convertible Notes at least two (2) Business Days prior to the date on which any payment on the
Contingent Convertible Notes is due and payable; and 
 (b) An amount equal to the payments required to be made by Parent in
accordance with the Junior Subordinated Notes. Parent shall provide the Company with a calculation of any payments due in accordance with the Junior Subordinated Notes at least two (2) Business Days prior to the date on which any payment on the
Junior Subordinated Notes is due and payable. 
 “Depreciation”: For each Fiscal Year, an amount equal to the
depreciation, amortization or other cost recovery deduction allowable with respect to an asset for such Fiscal Year, except that if the Carrying Value of an asset differs from its Adjusted Basis at the beginning of the Fiscal Year, Depreciation
shall be an amount which bears the same ratio to the beginning Carrying Value as the federal income tax depreciation, amortization or other cost recovery deduction for the Fiscal Year bears to such beginning Adjusted Basis; but if the Adjusted Basis
of an asset at the beginning of a Fiscal Year is zero, Depreciation shall be determined with reference to the beginning Carrying Value using any reasonable method selected by the Board of Managers. 
 “Designated Non-Parent Member”: Means a Member other than Parent having a Percentage Interest of at least 10%. 

 

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 “Exchange Ratio”: Shall initially be 1.0. Upon the occurrence of
(i) the issuance of additional Common Shares as a dividend or other distribution on outstanding Common Shares, (ii) a subdivision of outstanding Common Shares into a greater number of Common Shares, or (iii) a combination of
outstanding Common Shares into a smaller number of Common Shares (any of the foregoing, an “Extraordinary Stock Event”), the Exchange Ratio shall be adjusted by multiplying the Exchange Ratio by a fraction, the numerator of which shall be
the number of Common Shares outstanding immediately following such Extraordinary Stock Event, and the denominator of which shall be the number of Common Shares outstanding immediately prior to such Extraordinary Stock Event. The Exchange Ratio, as
so adjusted, shall be readjusted in the same manner upon the happening of any successive Extraordinary Stock Event. 
 “Family Group”: The “Family Group” of any Person shall mean such Person, such Person’s sole member, and such Person’s or such sole member’s spouse, parent, sibling and descendants (whether natural
or adopted) and any estate, trust, family limited partnership, limited liability company or other entity wholly owned, directly or indirectly, by such Person or such sole member or such Person’s or sole member’s spouse, parent, sibling
and/or descendant that is and remains solely for the benefit of such Person, such sole member and/or such Person’s or such sole member’s spouse, parent, sibling and/or descendants and any self-directed retirement plan for such individual.

 “First Level Distribution”: First Level Distribution means, as to any Fiscal Year, an amount equal to:
(x) the total of (i) the amount determined by the Board of Managers (in consultation with Parent) as the aggregate federal, state and local income, excise or franchise tax liability of Parent with respect to the Fiscal Year (“Parent
Taxes”), but not less than the amount of Parent Taxes as shown on the tax returns filed with respect to the Fiscal Year, plus (ii) the amount of any interest, penalty or additions to tax required to be paid in the Fiscal Year with respect
to any other Fiscal Year, minus (iii) the amount of any refunds or credits received or accrued by Parent in the Fiscal Year with respect to any other Fiscal Year, divided by (y) the Percentage Interest of Parent with respect to the Fiscal
Year. 
 “Fiscal Year”: The 12-month period beginning on January 1 of each year and ending on
December 31 of such year. 
 “Forced Conversion”: As defined in Section 12.4(a). 
 “Junior Subordinated Notes”: The notes issued by Parent to (x) Alesco Capital Trust I pursuant to that certain Junior
Subordinated Indenture, dated as of June 25, 2007, by and between Parent and Wells Fargo Bank, N.A., and (y) Sunset Financial Statutory Trust I pursuant to that certain Junior Subordinated Indenture, dated as of March 15, 2005,
between Sunset Financial Resources, Inc. and Bank of New York Mellon (as successor to JPMorgan Chase Bank, National Association). 
 “Liens”: Any and all liens, charges, security interests, options, claims, mortgages, pledges, proxies, voting trusts or agreements, obligations, understandings or arrangements or other restrictions on title or transfer of
any nature whatsoever. 
 “Loss”: As defined in Section 5.2. 
  

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 “Market Price”: Has the meaning set forth in the definition of
“Value.” 
 “Majority Vote”: The written consent of, or an affirmative vote by, more than 50%
of the voting power of the Units. 
 “Managers”: Any Person serving at the time as a manager of the Company as
provided in this Agreement. The Managers collectively constitute the Board of Managers. 
 “Members”: Any
Person who at the time is a record holder or record owner of a Company Security. 
 “Member Nonrecourse
Deductions”: Has the same meaning as partner nonrecourse deductions in Regulations Sections 1.704-2(i)(1) and 1.704-2(i)(2). 
 “Membership Interest”: A Member’s entire interest in the Company, as represented by such Member’s Units. 
 “Minimum Gain on Nonrecourse Liability”: The aggregate amount of gain, if any, that would be realized by the Company if, in a taxable transaction, it disposed of all Company property
subject to Nonrecourse Liabilities of the Company (as defined in Regulations Section 1.704-2(b)(3)) in full satisfaction thereof (and for no other consideration). The Members intend that Minimum Gain on Nonrecourse Liability shall be determined
in accordance with the provisions of Regulations Section 1.704-2(d)(1). 
 “Minimum Gain on Member Nonrecourse
Debt”: The aggregate amount of gain, if any, that would be realized by the Company if, in a taxable transaction, it disposed of all Company property subject to Member Nonrecourse Debt of the Company (i.e., a nonrecourse debt for which one
or more of the Members bears the economic risk of loss, and defined in Regulations Section 1.704-2(b)(4)), in full satisfaction thereof (and for no other consideration). The Members intend that Minimum Gain on Member Nonrecourse Debt shall be
determined in accordance with the provisions of Regulations Section 1.704-2(i)(3). 
 “Non-Parent
Members”: The Members other than Parent. 
 “Nonrecourse Deductions”: As defined in Regulations
Section 1.704-2(b)(1). 
 “Notice of Redemption”: Means the Notice of Redemption substantially in the form
of Exhibit “A” attached to this Agreement. 
 “Notice of Conversion”: Means the Notice of Conversion
substantially in the form of Exhibit “B” attached to this Agreement. 
 “Notice of Forced
Conversion”: Means the Notice of Forced Conversion substantially in the form of Exhibit “C” attached to this Agreement. 
 “Other Securities”: As defined in Section 6.10. 
  

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 “Organization Expenses”: The expenses incurred in the organization of the
Company, including the costs of preparing this Agreement and preparing and filing the Certificate. 
 “Parent Change of
Control”: The earliest to occur of the following: (i) the consummation of a plan or other arrangement pursuant to which Parent will be dissolved or liquidated, or (ii) the consummation of a sale or other disposition of all or
substantially all of the assets of Parent to a Person other than one or more wholly owned subsidiaries of the Company, or (iii) the consummation of a merger or consolidation of the Company with or into another corporation or other business
entity, other than, in either case, a merger or consolidation of Parent in which holders of shares of the Common Stock immediately prior to the merger or consolidation will hold at least a majority of the ownership of common stock or equity
interests of the surviving corporation or surviving entity (and, if one class of common stock or equity interests is not the only class of voting securities or equity interests entitled to vote on the election of directors of the surviving
corporation, a majority of the voting power of the surviving corporation’s or entity’s voting securities) immediately after the merger or consolidation. 
 “Percentage Interest”: The percentage of Units held by a Member. 
 “Person”: An individual, corporation, trust, association, unincorporated association, estate, partnership, joint venture, limited liability company or other legal entity, including a governmental entity. 
 “Plan”: The Cohen Brothers, LLC 2009 Equity Award Plan, as may be amended from time to time. 
 “Plan Common Shares Conversion Amount”: Means a number of Common Shares equal to the product of (a) the number of Plan
Units subject to a Conversion or Forced Conversion and (b) the Exchange Ratio in effect on the Specified Conversion Date with respect to such Plan Units; provided, however, that, in the event that Parent issues to all holders of
Common Shares as of a certain record date Rights, with the record date for such Rights issuance falling within the period starting on the date of the Notice of Conversion or Notice of Forced Conversion, as applicable, and ending on the day
immediately preceding the Specified Conversion Date, which Rights will not be distributed before the relevant Specified Conversion Date, then the Plan Common Shares Conversion Amount shall also include such Rights that a holder of that number of
Common Shares would be entitled to receive, expressed, where relevant hereunder, in a number of Common Shares determined by Parent in good faith. 
 “Plan Units”: The Units issued, pursuant to the Plan, to an employee of the Company upon vesting of a Restricted Unit (as defined in the Plan). 
 “Profit”: As defined in Section 5.2. 
 “Proceeding”: As defined in Section 7.12(b). 
 “Publicly Traded”: Means listed or admitted to trading on the New York Stock Exchange, the NYSE Amex or another national securities exchange or designated for quotation on the NASDAQ National Market, or any successor to the
foregoing. 
  

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 “Redemption”: As defined in Section 12.2(a). 
 “Redemption Date”: As defined in Section 12.2(a). 
 “Registration Statement”: As defined in Section 12.2(i). 
 “Regulatory Allocations”: As defined in Section 5.9(g). 
 “Regulations”: The permanent and temporary regulations, and all amendments, modifications and supplements thereof, from
time to time promulgated by the Department of the Treasury under the Code. 
 “Secretary of State”: The
Secretary of State of the State of Delaware. 
 “Securities Act”: The Securities Act of 1933, as amended.

 “Series A Preferred Stock”: The Series A Voting Convertible Preferred Stock, par value $0.001 per share, of
Parent. 
 “Series B Preferred Stock”: The Series B Voting Non-Convertible Preferred Stock, par value $0.001
per share, of Parent. 
 “Specified Redemption Date”: Means the 10th Business Day following receipt by Parent of a Notice of Redemption;
provided that, if the Common Shares are not Publicly Traded, the Specified Redemption Date means the 30th Business Day following receipt by Parent of Redemption. 
 “Specified Conversion Date”: Means the 10th Business Day following the date of a Notice of Conversion or Notice of Forced Conversion, as applicable; provided
that, if the Common Shares are not Publicly Traded, the Specified Conversion Date means the 30th Business Day following the Notice of Conversion or Notice of Forced Conversion, as applicable. 
 “Subsidiary”: With respect to any Person, (a) a corporation of which more than 50% of the voting power of shares entitled (without regard to the occurrence of any contingency) to
vote in the election of directors or other governing body of such corporation is owned, directly or indirectly, at the date of determination, by such Person, by one or more Subsidiaries of such Person or a combination thereof, (b) a partnership
(whether general or limited) in which such Person or a Subsidiary of such Person is, at the date of determination, a general or limited partner of such partnership, but only if more than 50% of the partnership interests of such partnership
(considering all of the partnership interests of the partnership as a single class) is owned, directly or indirectly, at the date of determination, by such Person, by one or more Subsidiaries of such Person, or a combination thereof, or (c) any
other Person (other than a corporation or a partnership) in which such Person, one or more Subsidiaries of such Person, or a combination thereof, directly or indirectly, at the date of determination, has at least a majority ownership interest.

 “Tax Matters Partner”: As defined in Section 5.11. 
  

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 “Tendered Units”: As defined in Section 12.2(a). 
 “Tendering Member”: As defined in Section 12.2(a). 
 “Transfer” and “Transferred”: A sale, assignment, transfer or other disposition (voluntarily or by
operation of law) of, or the granting or creating of a lien, encumbrance or security interest in, a Membership Interest; provided, however, the pledge by Cohen Bros. Financial, LLC, a Delaware limited liability company, of its Membership Interests
in connection with the Amended and Restated Loan and Security Agreement, and any refinancing thereof, dated June 1, 2009 and amended on September 30, 2009 and the date hereof, by and between Cohen, TD Bank, N.A., a national banking
association, and other financial institutions which may be made part of such agreement shall not be deemed a “Transfer” for purposes of this Agreement.  
 “TruPS Subsidiaries”: Alesco Capital Trust I, a Delaware statutory trust, and Sunset Financial Statutory Trust I, a Delaware statutory trust. 
 “Unit”: A unit of Membership Interest in the Company. 
 “Value”: Means, on any date of determination with respect to a Common Share, the average of the daily Market Prices for ten
consecutive trading days immediately preceding the date of determination; provided, however, that for purposes of Section 12.2, the “date of determination” shall be the date of receipt by Parent of a Notice of Redemption
or, if such date is not a Business Day, the immediately preceding Business Day; provided, further, that for purposes of Section 12.3 and 12.4, the “date of determination” shall be the date of a Notice of
Conversion or Notice of Forced Conversion, as applicable, or, if such date is not a Business Day, the immediately preceding Business Day. The term “Market Price” on any date shall mean, with respect to any class or series of
outstanding Common Shares, the Closing Price for such Common Shares on such date. The “Closing Price” on any date shall mean the last sale price for such Common Shares, regular way, or, in case no such sale takes place on such day,
the average of the closing bid and asked prices, regular way, for such Common Shares, in either case as reported in the principal consolidated transaction reporting system with respect to securities listed or admitted to trading on the NYSE Amex or,
if such Common Shares are not listed or admitted to trading on the NYSE Amex, as reported on the principal consolidated transaction reporting system with respect to securities listed on the principal national securities exchange on which such Common
Shares are listed or admitted to trading or, if such Common Shares are not listed or admitted to trading on any national securities exchange, the last quoted price, or, if not so quoted, the average of the high bid and low asked prices in the
over-the-counter market, as reported by the National Association of Securities Dealers, Inc. Automated Quotation System or, if such system is no longer in use, the principal other automated quotation system that may then be in use or, if such Common
Shares are not quoted by any such organization, the average of the closing bid and asked prices as furnished by a professional market maker making a market in such Common Shares selected by the Board of Directors of Parent or, in the event that no
trading price is available for such Common Shares, the fair market value of the Common Shares, as determined in good faith by the Board of Directors of Parent. 
  

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 In the event that the Common Shares Amount includes Rights (as defined in the definition of
“Common Shares Amount”) that a holder of Common Shares would be entitled to receive, then the Value of such Rights shall be determined by Parent acting in good faith on the basis of such quotations and other information as it
considers, in its reasonable judgment, appropriate. 
 “Voluntary Debt Service Distributions”: An amount equal
to payments contemplated in connection with the voluntary prepayment, repurchase, redemption or retirement by AFN of the Contingent Convertible Notes or Junior Subordinated Notes. 
 ARTICLE II 
 FORMATION 
 Section 2.1 Organization. The Members hereby confirm that the Company has been organized as a Delaware limited liability company
pursuant to the Act. 
 Section 2.2 Agreement; Effect of Inconsistencies with Act. The Members agree to the terms
and conditions of this Agreement, as it may from time to time be amended, supplemented or restated according to its terms. The Members intend that this Agreement shall be the sole source of the agreement among the parties, and, except to the extent
a provision of this Agreement expressly incorporates federal income tax rules by reference to sections of the Code or Regulations or is expressly prohibited or ineffective under the Act, this Agreement shall govern, even when inconsistent with, or
different than, the provisions of the Act or any other law. To the extent any provision of this Agreement is prohibited or ineffective under the Act, this Agreement shall be considered amended to the smallest degree possible in order to make such
provision effective under the Act. If the Act is subsequently amended or interpreted in such a way as to validate a provision of this Agreement that was formerly invalid, such provision shall be considered to be valid from the effective date of such
interpretation or amendment. Each Member shall be entitled to rely on the provisions of this Agreement, and no Member shall be liable to the Company or to any other Member for any action or refusal to act taken in good faith reliance on this
Agreement, except for gross negligence or willful misconduct. The Members and the Company agree that the duties and obligations imposed on the Members and Managers as such shall be limited to those set forth in this Agreement, which is intended to
govern the relationship among the Company, the Members and the Managers, notwithstanding any provision of the Act or common law to the contrary, including any fiduciary or similar obligations imposed at law or in equity. 
 Section 2.3 Name. The name of the Company shall be Cohen Brothers, LLC, and such name shall be used at all times in connection
with the conduct of the Company’s business. At the Effective Time (as defined in the Merger Agreement), Article I of the Certificate was amended to read in its entirety: “The name of the company is Cohen Brothers, LLC”. 
 Section 2.4 Term. The Company shall have perpetual existence until it is dissolved and its affairs wound up in accordance with
this Agreement and the Act. 
 Section 2.5 Filing of Certificate. The Certificate was filed with the Secretary of
State pursuant to the Act on February 9, 2006. 
  

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 Section 2.6 Registered Agent and Office. The Company’s registered agent for
service of process and registered office in the State of Delaware shall be that Person and location reflected in the Certificate. The Board of Managers may, from time to time, change the registered agent or office through appropriate filings with
the Secretary of State. If the registered agent ceases to act as such for any reason or the registered office shall change, the Board of Managers shall promptly designate a replacement registered agent or file a notice of change of address, as the
case may be. If the Board of Managers fails to designate a replacement registered agent or change of address of the registered office, any Member may designate a replacement registered agent or file a notice of change of address. 
 Section 2.7 Principal Office. The Company’s principal office shall initially be located at 2929 Arch Street, Philadelphia,
PA 19104. The Board of Managers may change the location of the Company’s principal office from time to time. The Board of Managers shall make any filing and take any other action required by applicable law in connection with the change and
shall give notice to all Members of the new location of the Company’s principal office promptly after the change becomes effective. The Board of Managers may establish and maintain additional offices for the Company. 
 Section 2.8 Foreign Qualifications. The Company shall qualify to do business as a foreign limited liability company in each
jurisdiction, if any, in which the nature of its business requires such qualification. The Board of Managers may select any Person permitted by applicable law to act as registered agent for the Company in each jurisdiction in which it is qualified
to do business, and may replace any such Person from time to time. 
 ARTICLE III 
 BUSINESS, PURPOSES AND POWERS 
 Section 3.1 Business and Purposes,. The purpose and business of the Company is to engage in any lawful act or activity for which limited liability companies may be organized under the Act.

 Section 3.2 Powers. The Company shall have all powers of a limited liability company under the Act and the power
to do all things necessary or convenient to operate its business and accomplish its purposes. 
 Section 3.3 Issuances
to Parent. 
 (a) No additional Units shall be issued to Parent unless (i) the additional Units are issued to all
Members in proportion to their respective Percentage Interests with respect to the class of Units so issued, (ii) (a) the additional Units are issued in connection with an issuance of Common Shares or preferred shares or other interests in
Parent, which preferred shares or other interests have designations, preferences and other rights, terms and provisions that are substantially the same as the designations, preferences and other rights, terms and provisions of the additional Units
issued to Parent and (b) Parent directly or indirectly contributes or otherwise causes to be transferred to the Company the cash proceeds or other consideration, if any, received in connection with the issuance of such Common Shares, preferred
shares or other interests in Parent or (iii) the additional Units are issued upon the conversion, redemption or

  

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exchange of debt, Units or other securities issued by the Company. In the event that the Company issues additional Units pursuant to this section, the Members shall make such revisions to this
Agreement as they determine by Majority Vote are necessary to reflect the issuance of such additional Units. 
 (b) In the event
of any issuance of additional Common Shares, preferred shares or other interests by Parent, and the direct or indirect contribution to the Company, by Parent, of the cash proceeds or other consideration received from such issuance, any of
Parent’s expenses associated with such issuance shall be considered to be a Company expense, including any underwriting discounts or commissions (it being understood that if the proceeds actually received by Parent are less than the gross
proceeds of such issuance as a result of any underwriter’s discount or other expenses paid or incurred by Parent in connection with such issuance, then Parent shall be deemed to have made a Capital Contribution to the Company in the amount of
the gross proceeds of such issuance and the Company shall be deemed simultaneously to have reimbursed Parent pursuant to Section 6.11 for the amount of such underwriter’s discount or other expenses). 
 ARTICLE IV 
 MEMBERS AND CAPITAL CONTRIBUTIONS 
 Section 4.1 Members. 
 (a) The Members individually own the Units and have the corresponding Percentage Interests in the Company as set forth on Schedule A
hereto. The Board of Managers shall modify Schedule A from time to time upon the issuance of additional Units or a transfer of Units to reflect the then current Members and their respective Percentage Interests in the Company and such
schedule shall be kept at the principal office of the Company. 
 (b) As of the date of this Agreement, the only Company
Security shall be the Units. Subject to Section 7.1 hereof, the Company may issue additional Company Securities and options, rights, warrants and appreciation rights relating to the Company Securities for any Company purpose at any time and
from time to time to such Persons for such consideration and on such terms and conditions as shall be established by the Board of Managers upon a Majority Vote of the Members. Subject to Section 7.1 hereof, each additional Company Security
authorized to be issued by the Company may be issued in one or more classes, or one or more series of any such classes, with such designations, preferences, rights, powers and duties (which may be senior to existing classes and series of Company
Securities) as shall be fixed by the Board of Managers and approved by a Majority Vote of the Members. 
 (c) A Member shall not
have a right to resign as a Member prior to the dissolution and winding up of the Company. 
 (d) A Member’s Units may be
subject to vesting requirements and restrictions on transfer as set forth in separate Vesting Agreements. 
 Section 4.2
Capital Contributions. The Company shall keep a record of the Capital Contributions made by the Members. The Capital Contribution deemed made by each Member as of the date hereof shall be as set forth in Schedule A. The Members may,
but shall not be required to, make additional Capital Contributions to the Company. 
  

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 Section 4.3 Fair Market Values and Adjusted Tax Basis of Assets. The parties
hereto agree that the Company shall determine in good faith the Carrying Values and Adjusted Tax Basis of the assets of the Company immediately following the Contribution and shall deliver a schedule containing such information to each Member by
March 31, 2010. 
 Section 4.4 Company Equity Compensation Plan. The Board of Managers may, subject to
Section 7.1, adopt a plan pursuant to which (a) Units or securities derivative of or convertible into Units may be issued from time to time to Persons who provide services to the Company for such consideration, if any, as the Board of
Managers may determine to be appropriate, and (b) such Persons may be admitted as Members. The terms and conditions of such plan and the equity securities issuable thereunder shall be as determined by the Board of Managers. 
 Section 4.5 Record Holders. The Company shall be entitled to treat the Person in whose name any Company Security stands on the
books of the Company as the absolute owner thereof, and as a Member of the Company holding the Membership Interest evidenced thereby. The Company shall not be bound to recognize any equitable or other claim to, or interest in, such Company Security
on the part of any other Person, whether or not the Company has express or other notice of such claim. 
 Section 4.6
Capital Accounts. 
 (a) The Company shall establish and maintain a Capital Account for each Member in accordance with the
provisions of Section 704(b) of the Code and the Regulations thereunder. 
 (b) Each Member’s Capital Account shall be
maintained in accordance with the following provisions: 
 (i) On the date hereof, each Member’s Capital Account shall be
credited with the amount of the Capital Contribution it has made or is deemed to have made with respect to such class of Membership Interest pursuant to Section 4.2; 
 (ii) Each such Capital Account shall thereafter be credited with the amounts of such Member’s Capital Contributions, such
Member’s distributive share of Profits and any items in the nature of income or gain which are specially allocated to such Member pursuant to Article V, and the amount of any liabilities of the Company assumed by such Member or which are
secured by any property distributed by the Company to such Member; 
 (iii) Each such Capital Account shall thereafter be
charged with the amounts of cash and the Carrying Value of any property distributed by the Company to such Member pursuant to any provision of this Agreement, and charged with such Member’s distributive share of Losses and any items in the
nature of expenses or losses which are specially allocated to the Member pursuant to Article V, and the amount of any liabilities of such Member assumed by the Company or which are secured by any property contributed by such Member to the Company;

  

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 (iv) If all or a portion of a Member’s Membership Interest is Transferred in
accordance with the terms of this Agreement, the transferee shall succeed to the Capital Account of the transferor to the extent it relates to the Transferred Membership Interest; and 
 (v) In determining the amount of any liability for purposes of this Section, Section 752(c) of the Code and any other applicable
provisions of the Code and Regulations shall be taken into account. 
 This Section and other provisions of this Agreement relating to the
maintenance of Capital Accounts are intended to comply with Regulations Section 1.704-1(b), and shall be interpreted and applied in a manner consistent with such Regulations. If the Board of Managers determines that it is prudent to modify the
manner in which the Capital Accounts, or any charges or credits thereto (including charges or credits relating to liabilities which are secured by contributions or distributed property or which are assumed by the Company or by Members), are computed
in order to comply with such Regulations, the Board of Managers may make such modification. The Board of Managers also shall make any adjustments that may be necessary or appropriate to maintain equality between the Capital Accounts of the
Membership Interests and the amount of capital reflected on the Company’s balance sheet, as computed for book purposes, in accordance with Regulations Section 1.704-1(b)(2)(iv)(q), and make any appropriate modifications in the event
unanticipated events might otherwise cause this Agreement not to comply with Regulations Section 1.704-1(b). 
 Section 4.7 No Interest on Capital Contributions. Members shall not be paid interest on their Capital Contributions. 
 Section 4.8 Return of Capital Contributions. No Member or Assignee shall be entitled to demand the return of the Member’s Capital Account or Capital Contribution at any particular time,
except upon dissolution of the Company. No Member or Assignee shall be entitled at any time to demand or receive property other than cash. 
 Section 4.9 No Third Party Beneficiary Rights. The provisions of this Section are not intended to be for the benefit of any creditor or any other Person (other than a Member in its capacity as
such) to whom any debts, liabilities or obligations are owed by (or who otherwise has any claim against) the Company or any of the Members; and no such creditor or other Person shall obtain any right under any of such provisions or shall by reason
of any of such provisions make any claim in respect of any debt, liability or obligation (or otherwise) against the Company or any of the Members. 
 ARTICLE V 
 DISTRIBUTIONS AND ALLOCATIONS 
 Section 5.1 Distributions. The amount and timing of all distributions of Available Cash from Operations and Available Cash from
Capital Transactions to Members shall be at the discretion of the Board of Managers; provided that, to the extent of Available Cash from

  

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Operations and Available Cash from Capital Transactions, (a) an amount of cash equal to any Debt Service Distribution shall be distributed to Parent, and (b) an amount of cash equal to
the First Level Distribution shall be distributed at least annually with respect to each Fiscal Year within ninety (90) days after the end of the Fiscal Year. The Debt Service Distributions and the Voluntary Debt Service Distributions shall be
distributed to Parent for the sole purpose of satisfying Parent’s payment obligations under the Contingent Convertible Notes and the Junior Subordinated Notes, as applicable, and no portion of these distributions shall be made to any Member
other than Parent. All other distributions of Available Cash from Operations and Available Cash from Capital Transactions, including the First Level Distribution, shall be made to the Members pro rata based on their respective Percentage Interests.
Notwithstanding the foregoing, other than distributions provided for in subsections (a) and (b) of this Section 5.1, no distributions shall be made pursuant to this Section 5.1 during the existence of an event of default under
the Contingent Convertible Notes or the Junior Subordinated Notes. The Board of Managers may distribute First Level Distributions in quarterly installments on an estimated basis prior to the end of a Fiscal Year, but if the amounts distributed by
the Company as estimated quarterly First Level Distributions with respect to a Fiscal Year exceed the greater of (1) the amount of First Level Distributions to which the Members are entitled for such Fiscal Year; or (2) the total amount of
distributions to which the Members are entitled in such Fiscal Year; each Member will, within fifteen (15) days after the Member’s federal income tax return for such Fiscal Year is filed, return such excess to the Company and such excess
will be treated as a distribution to such Member until it is returned. 
 Section 5.2 Determination of Profits and
Losses. For purposes of this Agreement, the profit (“Profit”) or loss (“Loss”) of the Company for each Fiscal Year or other period shall be the taxable income or loss of the Company for such Fiscal Year or other period as
determined for Federal income tax purposes in accordance with Section 703(a)(1) of the Code (for this purpose, all items of income, gain, loss or deduction required to be stated separately pursuant to Section 703(a)(1) shall be included in
such taxable income or loss), but computed with the following adjustments except to the extent already taken into account in determining taxable income or loss: 
 (a) by including as an item of gross income any tax-exempt income received by the Company; 
 (b) by treating as a deductible expense any expenditure of the Company described in Section 705(a)(2)(B) of the Code or treated as described in such Code Section by Regulations
Section 1.704-1(b)(2)(iv)(i); 
 (c) gain or loss resulting from any disposition of Company property shall be computed by
reference to the Carrying Value of the property disposed of, rather than its Adjusted Basis, and in lieu of depreciation, amortization or cost recovery deduction, there shall be taken into account the Depreciation, as determined hereunder;

 (d) in the event the Carrying Value of an asset of the Company is adjusted pursuant to clauses (ii) or (iii) of the
definition thereof, the amount of such adjustment shall be taken into account as gain or loss from the disposition of such asset for purposes of computing Profit or Loss; 
  

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 (e) to the extent an adjustment to the Adjusted Basis of any asset of the Company pursuant
to Sections 734(b) or 743(b) of the Code is required by Regulations Section 1.704-1(b)(2)(iv)(m)(4) to be taken into account in determining Capital Accounts as a result of a distribution other than in complete liquidation of a Member’s
Membership Interest, the amount of such adjustment shall be treated as an item of gain (if the adjustment increases the Adjusted Basis of the asset) or loss (if the adjustment decreases the Adjusted Basis of the asset) from the disposition of the
asset and shall be taken into account for purposes of computing Profit or Loss; and 
 (f) after making the special allocations
required by Section 5.9. 
 Section 5.3 Allocation of Profits. The Profit of the Company for each Fiscal Year
in which the Company has a Profit shall be allocated among, and credited to the Capital Accounts of, the Members in accordance with their Percentage Interests. 
 Section 5.4 Allocation of Losses. The Loss of the Company for each Fiscal Year in which the Company has a Loss shall be allocated among, and charged to the Capital Accounts of, the Members in
accordance with their Percentage Interests. 
 Section 5.5 [Intentionally Omitted]. 
 Section 5.6 Income Tax Allocations. 
 (a) Except as otherwise provided in this Section 5.6, for purposes of Sections 702 and 704 of the Code, or the corresponding sections of any future Federal internal revenue law, or any similar tax
law of any state or other jurisdiction, the Company’s profits, gains and losses for Federal income tax purposes, and each item of income, gain, loss or deduction entering into the computation thereof; shall be allocated among the Members in the
same proportions as the corresponding “book” items are allocated pursuant to this Section. 
 (b) Notwithstanding
Section 5.6(a), each item of taxable income, gain, loss or deduction attributable to any property of the Company or the Subsidiary contributed by a Member, or the Carrying Value of which has been adjusted pursuant to clause (ii) of the
definition of Carrying Value, shall be allocated among the Members in accordance with Section 704(c) of the Code, using such method permitted by Section 704(c) of the Code and the Regulations thereunder as may be reasonably selected by the
Tax Matters Partner, on the advice of the Company’s independent accountants, so as to take into account the variation, at the time of contribution or adjustment to Carrying Value, between the Adjusted Basis and the Carrying Value of such
property, as required by Regulations Section 1.704-1(b)(4)(i) and Section 1.704-3. 
 (c) If any portion of the Profit
from a Capital Transaction allocated among the Members is characterized as ordinary income under the recapture provisions of the Code or is subject to a different rate of tax under the Code, each Member’s distributive share of taxable gain from
the sale of the property that gave rise to such Profit (to the extent possible) shall include a proportionate share of the recapture income or income that is subject to a different rate of tax equal to that Member’s share of prior cumulative
depreciation deductions with respect to the property that give rise to the recapture income or the income that is subject to a different rate of tax. 
  

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 Section 5.7 Transfers During Fiscal Year. In the event of the Transfer of all or
any part of a Membership Interest (in accordance with the provisions of this Agreement) at any time other than the end of a Fiscal Year, the share of Profit or Loss (in respect of the Membership Interest so Transferred) shall be allocated between
the transferor and the transferee in the same ratio as the number of days in the Fiscal Year before and after such Transfer; provided, however, that the Company may elect to allocate Profit and Loss with respect to the Membership Interest so
transferred by closing the books of the Company on the date of the Transfer and allocating the Profit and Loss with respect to the Membership Interest so transferred as if the taxable year of the Company consisted of two separate taxable years. This
Section shall not apply to Profit or Loss from Capital Transactions or to other extraordinary nonrecurring items. Profit and Loss from Capital Transactions shall be allocated on the basis of the Members’ Percentage Interests on the date of
closing of the sale and extraordinary or nonrecurring items of gain or loss shall be allocated on the basis of the Members’ Percentage Interests on the date the gain is realized or the loss incurred, as the case may be. 
 Section 5.8 Amortization and Allocation of Organization Expenses. The Company elected to amortize over a period of 180 calendar
months all Organization Expenses in accordance with the provisions of Section 709(b) of the Code, and all start-up expenses in accordance with the provisions of Section 195 of the Code. 
 Section 5.9 Special Allocations to Comply with Section 704 Regulations. 
 (a) Minimum Gain Chargeback - Nonrecourse Liability. Except as otherwise provided in Regulations Section 1.704-2(f), if there is
a net decrease in the Minimum Gain on Nonrecourse Liability during any Fiscal Year, the Members shall be allocated items of income and gain for the Fiscal Year, before any other allocation of Company items described in Code Section 704(b) is
made for the Fiscal Year (and, if necessary subsequent Fiscal Years), in the amounts and in the proportions required by Regulations Sections 1.704-2(f) and 1.704-2(j)(2)(i). The allocations referred to in this paragraph shall be interpreted and
applied to satisfy the requirements of Regulations Section 1.704-2(f). 
 (b) Minimum Gain Chargeback - Member
Nonrecourse Debt. Except as otherwise provided in Regulations Section 1.704-2(i)(4), if there is a decrease in the Minimum Gain on Member Nonrecourse Debt during a Fiscal Year, then any Member who has a share of the Minimum Gain on Member
Nonrecourse Debt at the beginning of the Fiscal Year shall be allocated items of income and gain for the Fiscal Year, before any other allocation of Company items described in Code Section 704(b) is made for the Fiscal Year (and, if necessary,
subsequent Fiscal Years), in the amounts and in the proportions required by Regulations Sections 1.704-2(i)(4) and 1.704-2(j)(2)(ii). The allocations referred to in this paragraph shall be interpreted and applied to satisfy the requirements of
Regulations Section 1.704-2(i)(4). 
 (c) General Rule. If any Member unexpectedly receives any adjustments,
allocations or distributions described in clauses (4), (5) or (6) of Regulations Section 1.704-1(b)(2)(ii)(d), items of Company income and gain shall be specially allocated to such Member in an amount and manner sufficient to
eliminate, to the extent required by the Treasury Regulations, the Adjusted Capital Account Deficit of the Member as quickly as possible. This Section is intended to constitute a “qualified income offset” within the meaning of Regulation
Section 1.704-1(b)(2)(ii)(d)(3) and shall be interpreted accordingly. 
  

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 (d) Member Nonrecourse Debt Deductions. Member Nonrecourse Deductions with respect to
Member Nonrecourse Debt shall be specially allocated among the Member or Members who bear the economic risk of loss with respect to such Member Nonrecourse Debt in the amounts and in the proportions required by Regulations
Section 1.704(2)(i)(1). The allocations referred to in this subsection shall be interpreted and applied to satisfy the requirements of Regulations Section 1.704-2(i). 
 (e) Gross Income Allocation. Each Member who has an Adjusted Capital Account Deficit at the end of any Fiscal Year shall be specially
allocated items of Company income and gain in the amount of such excess as quickly as possible, provided that an allocation pursuant to this Section shall be made only if and to the extent that such Member would have an Adjusted Capital Account
Deficit after all other allocations provided for in this Article V have been made as if this Section were not a part of this Agreement. 
 (f) Section 754 Adjustments. In any case where an adjustment to the Adjusted Basis of any Company asset pursuant to Sections 734(b) or 743(b) of the Code is required (pursuant to Regulations
Section 1.704-1(b)(2)(iv)(m)(2) or Regulations 1.704-1(b)(2)(iv)(m)(4)), to be taken into account in determining Capital Accounts because of a distribution to a Member in complete liquidation of the Member’s interest in the Company, the
amount of such adjustment to Capital Accounts shall be treated as an item of gain (if the adjustment increases the basis of the asset) or loss (if the adjustment decreases such basis), and such gain or loss shall be specially allocated among the
Members in accordance with their interests in the Company in the event that (i) Regulations Section 1.704¬1(b)(2)(iv)(m)(2) applies, or (ii) the Members to whom such distribution was made in the event that Regulations
Section 1.704-1(b)(2)(iv)(m)(4) applies. 
 (g) Curative Allocations. The term “Regulatory Allocations”
shall mean the allocations set forth in subsections (a) through (e). Offsetting special allocations of Company income, gain, loss or deduction shall be made so that after such offsetting allocations are made, each Member’s Capital Account
is, to the extent possible, equal to the Capital Account such Member would have had if the Regulatory Allocations were not included in this Agreement. 
 (h) Winding Up. Upon the winding up of the Company or upon a “book-up” event resulting in an adjustment to the Carrying Value of assets pursuant to paragraph (ii) or (iii) of
the definition of Gross Asset Value, Profits and Losses (or items thereof) shall be allocated among the Members to the extent of and in proportion to the amount necessary to cause each such Member’s Capital Account to equal the amount that
would be distributed to such Member if liquidating distributions of the Company were made in accordance with Section 5.1(b). 
 (i) Allocation with Respect to Debt Service Distribution. Parent shall be specially allocated items of gross income and gain for each Fiscal Year until the cumulative items of gross income and gain allocated pursuant to this
Section 5.9(i) for the current Fiscal Year and all prior Fiscal Years equal the cumulative Debt Service Distributions and Voluntary Debt Service Distributions made to Parent for the current Fiscal Year and all prior Fiscal Years. The items
allocated pursuant to this Section 5.9(i) shall consist first of ordinary income items to the extent ordinary income items are available to allocate. 
  

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 (j) Allocations with Respect to the Plan. If any Member or Member(s) surrender Units
to fund the issuance of any Plan Units, the deduction attributable to the issuance of such Plan Units shall be allocated among the Member or Members who so funded the issuance in accordance with the percentage of Plan Units funded by such Member or
Member(s). 
 Section 5.10 Intentionally Omitted. 
 Section 5.11 Tax Matters Partner. Parent shall be the “tax matters partner” of the Company pursuant to
Section 6231(a)(7) of the Code (the “Tax Matters Partner”). The Tax Matters Partner shall be authorized and required to approve and sign all federal and state income and other tax returns required to be filed by the Company and to
represent the Company (at the expense of the Company) in connection with all matters pertaining to any federal, state or local tax issues, including any examinations or audits of the affairs of the Company or the Subsidiary by any taxing authority
and any resulting administrative and judicial proceedings, and to expend funds of the Company for professional services and costs associated therewith. The Tax Matters Partner shall take all actions necessary to preserve the rights of the Members
with respect to audits and shall provide all Members with notices of all such proceedings and other information as required by law. The Tax Matters Partner shall not consent to extend the statute of limitations with respect to any partnership items
of the Company, enter into any settlement agreement with any taxing authority, or file a petition for the readjustment of partnership items (or other similar appeal) without the express, written consent of all of the Members. Notwithstanding the
foregoing, no Member waives, and all Members hereby expressly retain, all rights, powers and privileges allowed to them under Sections 6221-6233 of the Code and the Treasury Regulations thereunder, including but not limited to the right to
participate in an administrative proceeding and not to be bound by settlement agreements entered into by the Tax Matter Partner. The Tax Matters Partner shall keep the Members timely informed of its activities under this Section and shall show all
material income tax returns to the Members at least ten days prior to filing them. The Tax Matters Partner may prepare and file protests or other appropriate responses to such audits. The Tax Matters Partner shall select counsel to represent the
Company in connection with any audit conducted by the Internal Revenue Service or by any state or local authority. All costs incurred in connection with the foregoing activities, including legal and accounting costs, shall be borne by the Company.
Each Member agrees to cooperate with the Tax Matters Partner and to do or refrain from doing any or all things reasonably required by the Tax Matters Partner in connection with the conduct of all such proceedings. 
 Section 5.12 Election to be Taxed as Partnership. The Company shall be treated as a partnership for federal income tax purposes.
No Member shall cause the Company to elect to be treated other than as a partnership (or shall cause any Subsidiary to be treated other than as a disregarded entity) for federal income tax purposes in accordance with Regulations
Section 301.7701-3(c), unless such election is approved in writing by all Members. 
 Section 5.13 Tax Withholding
Distributions. Each Member hereby authorizes the Company to withhold from or pay on behalf of or with respect to such Member any amount of federal, state, local or foreign taxes that the Company determines it is required to withhold with

  

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respect to any amount distributable or allocable to such Member. In the event that the Company is required to deposit or pay any tax on behalf of a Member with respect to the taxable income of
the Company allocable to such Member for any Fiscal Year, such deposit or payment shall be treated as an advance recoverable from future distributions of Available Cash from Operations and Available Cash from Capital Transactions to the Member. To
the extent that such advances to a Member for a Fiscal Year exceed the sum of Available Cash from Operations and Available Cash from Capital Transactions distributable to the Member for such Fiscal Year, and have not been recovered from any other
distributions of Available Cash from Operations or of Available Cash from Capital Transactions, such advances shall be repaid by the Member to the Company promptly on demand. 
 ARTICLE VI 
 RIGHTS AND DUTIES OF MEMBERS

 Section 6.1 Voting Rights. Each Unit shall entitle the holder thereof to one vote per Unit on any matter
submitted to a vote or for the consent of the Members. 
 Section 6.2 Annual Meetings. There shall be no annual
meeting of the Members. 
 Section 6.3 Special Meetings. Special meetings of the Members may be called by the Board
of Managers, the Chairman of the Board of Managers or by a Majority Vote of the Members on at least one day’s notice. 
 Section 6.4 Quorum; Acts of Members. At all meetings of the Members the presence in person or by proxy of Units representing a majority of the votes entitled to be cast shall constitute a quorum for the transaction of business.
Except as otherwise provided in the Act, the Certificate or this Agreement, the affirmative vote of the majority of the voting power of the Units, taken as a single class, present in person or represented by proxy at a meeting and entitled to vote
thereat shall be the act of the Members. 
 Section 6.5 Action by Written Consent. Any action required or permitted
to be taken at a meeting of the Members may be taken without a meeting if, prior or subsequent to the action, a consent or consents thereto signed by Members who would have been entitled to cast the minimum number of votes that would be necessary to
approve the action at a meeting at which all Members entitled to vote thereon were present and voting is filed with the Company. 
 Section 6.6 Liability of Members. No Member shall be obligated to make Capital Contributions to the Company except as provided in Section 4.2. No Member shall have any personal liability with respect to the liabilities or
obligations of the Company. The failure of the Company to observe any formalities or requirements relating to the exercise of its powers or the management of its business or affairs under this Agreement or the Act shall not be grounds for imposing
personal liability on the Members for liabilities or obligations of the Company. 
 Section 6.7 Indemnification. To
the fullest extent permitted by the laws of the State of Delaware, each Member shall be entitled to indemnity from the Company (but not from any other Member) for any act performed by such Member within the scope of the authority conferred on such
Member by this Agreement, except for acts of fraud, gross negligence, misrepresentation, breach of fiduciary duty or willful misconduct. 
  

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 Section 6.8 Outside Activities. Each Member and any Person who is an Affiliate
of a Member may engage or hold interests in other business ventures of every kind and description for the Member’s or the Affiliate’s own account, whether or not such business ventures are in direct or indirect competition with the
business of the Company and whether or not the Company has any interest therein. Neither the Company nor any of the Members shall have any rights by virtue of this Agreement in such independent business ventures or to the income or profits derived
therefrom. 
 Section 6.9 Prohibition Against Partition. Each Member irrevocably waives any and all rights the
Member may have to maintain an action for partition with respect to any property of the Company. 
 Section 6.10
Issuance of Securities by Parent. Parent shall not issue any additional Common Shares or preferred shares or other interests convertible into or exercisable for Common Shares or preferred shares of Parent (“Other Securities”) unless
Parent contributes directly or indirectly the cash proceeds or other consideration, if any, received from the issuance of such additional Common Shares, preferred shares or Other Securities, as the case may be, to the Company in exchange for
(x) in the case of an issuance of Common Shares, Units or (y) in the case of an issuance of preferred shares or other securities, units of the Company with designations, preferences and other rights, terms and provisions that are
substantially the same as the designations, preferences and other rights, terms and provisions of such preferred shares; provided, however, that notwithstanding the foregoing, Parent may issue Common Shares, preferred shares or Other Securities
(a) pursuant to Parent’s equity compensation plans, (b) pursuant to Section 12.2 hereof, (c) pursuant to a dividend or distribution (including any stock split) of Common Shares, preferred shares or Other Securities to all of
the holders of Common Shares, preferred shares or Other Securities, as the case may be, or (d) upon a conversion, redemption or exchange of preferred shares. In the event of any issuance of additional Common Shares, preferred shares or Other
Securities by Parent, and the direct or indirect contribution to the Company, by Parent, of the cash proceeds or other consideration received from such issuance, any of Parent’s expenses associated with such issuance shall be considered to be a
Company expense, including any underwriting discounts or commissions (it being understood that if the proceeds actually received by Parent are less than the gross proceeds of such issuance as a result of any underwriter’s discount or other
expenses paid or incurred by Parent in connection with such issuance, then Parent shall be deemed to have made a Capital Contribution to the Company in the amount of the gross proceeds of such issuance and the Company shall be deemed simultaneously
to have reimbursed Parent pursuant to Section 6.11 for the amount of such underwriter’s discount or other expenses). 
 Section 6.11 Reimbursement of Parent. 
 (a) The Company shall be responsible for and shall pay all expenses
relating to the Company’s and Parent’s organization, the ownership of their assets and their operations. Parent is hereby authorized to pay compensation for accounting, administrative, legal, technical, management and other services
rendered to the Company. Except to the extent provided in this Agreement, Parent and its Affiliates shall be reimbursed on a monthly basis, or such other basis as Parent may determine in its sole and absolute discretion, for all expenses that Parent
and its Affiliates incur relating to the ownership and operation of, or for the benefit of, the Company

  

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(including, without limitation, administrative expenses); provided, that the amount of any such reimbursement shall be reduced by any interest earned by Parent with respect to bank accounts or
other instruments or accounts held by it on behalf of the Company. The Members acknowledge that all such expenses of Parent are deemed to be for the benefit of the Company. Such reimbursement shall be in addition to any reimbursement made as a
result of indemnification pursuant to Section 7.12 hereof. In the event that certain expenses are incurred for the benefit of the Company and other entities (including Parent), such expenses will be allocated to the Company and such other
entities in such a manner as Parent in its sole and absolute discretion deems fair and reasonable. All payments and reimbursements hereunder shall be characterized for federal income tax purposes as expenses of the Company incurred on its behalf,
and not as expenses of Parent. 
 (b) If Parent shall elect to purchase from its stockholders Common Shares for the purpose of
delivering such Common Shares to satisfy an obligation under any dividend reinvestment program adopted by Parent, any employee stock purchase plan adopted by Parent or any similar obligation or arrangement undertaken by Parent in the future or for
the purpose of retiring such Common Shares, the purchase price paid by Parent for such Common Shares and any other expenses incurred by Parent in connection with such purchase shall be considered expenses of the Company and shall be advanced to
Parent or reimbursed to Parent, subject to the condition that: (1) if such Common Shares subsequently are sold by Parent, Parent shall pay or cause to be paid to the Company any proceeds received by Parent for such Common Shares (which sales
proceeds shall include the amount of dividends reinvested under any dividend reinvestment or similar program; provided, that a transfer of Common Shares for Units pursuant to Section 12.2 would not be considered a sale for such purposes); and
(2) if such Common Shares are not retransferred by Parent within 30 days after the purchase thereof, or Parent otherwise determines not to retransfer such Common Shares, Parent shall cause the Company to redeem a number of Units held by Parent
equal to the number of such Company Shares, as adjusted for stock dividends and distributions, stock splits and subdivisions, reverse stock splits and combinations, distributions of rights, warrants or options, and distributions of evidences of
indebtedness or assets relating to assets not received by Parent pursuant to a pro rata distribution by the Company (in which case such advancement or reimbursement of expenses shall be treated as having been made as a distribution in redemption of
such number of Units held by Parent). 
 (c) As set forth in Section 3.3, Parent shall be treated as having made a Capital
Contribution in the amount of all expenses that Parent incurs relating to Parent’s offering of Common Shares, preferred shares or Other Securities. 
 Section 6.12 Outside Activities of Parent. Parent shall not directly or indirectly enter into or conduct any business, other than in connection with (a) the ownership, acquisition and
disposition of Units, (b) the management of the business of the Company, (c) financing or refinancing of any type related to the Company or its assets or activities, (d) any of the foregoing activities as they relate to a Subsidiary
of the Company, and (e) such activities as are incidental thereto. Nothing contained herein shall be deemed to prohibit Parent from executing guarantees of Company debt. 
  

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 ARTICLE VII 
 MANAGEMENT OF THE COMPANY 
 Section 7.1
Management and Control of Business; Authority of Board of Managers. Management of the business and affairs of the Company and the Subsidiaries shall be vested in the Board of Managers, who may exercise all powers of the Company and perform or
authorize the performance of all lawful acts which are not by the Act or this Agreement directed or required to be exercised or performed by the Members. The Board of Managers shall consist of three Managers. The initial Managers shall be Daniel G.
Cohen, Christopher Ricciardi and Joseph Pooler. Daniel G. Cohen shall be the initial Chairman of the Board of Managers. A Manager may resign at any time for any reason or for no reason. Upon resignation of a Manager, a new Manager shall be elected
by the Members by a Majority Vote. A Manager may be removed by the Company upon a Majority Vote. Notwithstanding any other provision of this Agreement, the Company shall not, without receiving advance approval by Parent and a Majority Vote of the
Designated Non-Parent Members, if any, take or permit to be taken any of the following actions: 
 (a) other than as
specifically contemplated by the Merger Agreement and this Agreement, issue any Units or other securities of the Company to any Person other than Parent; 
 (b) other than as specifically contemplated by the Merger Agreement, enter into or suffer a transaction constituting a Company Change of Control; 
 (c) other than as specifically contemplated by the Merger Agreement, amend this Agreement or the Certificate; 
 (d) remove Daniel G. Cohen as a Manager or as Chairman of the Board of Managers other than for cause; 
 (e) adopt an equity compensation plan pursuant to Section 4.4; or 
 (f) adopt any plan of liquidation or dissolution, or file a certificate of dissolution. 
 Section 7.2 Meetings. Meetings of the Board of Managers, or any committee thereof, shall be held at such times and places within
or without the State of Delaware as the Board of Managers, or any committee thereof, as appropriate, may from time to time appoint or as may be designated in the notice of the meeting. One or more Managers may participate in any meeting of the Board
of Managers, or of any committee thereof, by means of a conference telephone or similar communications equipment by means of which all persons participating in the meeting can hear one another. Participation in a meeting by such means shall
constitute presence in person at the meeting. 
 Section 7.3 Special Meetings. Special meetings of the Board of
Managers may be called by the Chairman on at least one day’s notice to each Manager, either by telephone or in writing. Special meetings shall be called by the Chairman in like manner and on like notice upon the written request of a majority of
the Managers in office. 
  

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 Section 7.4 Quorum. At all meetings of the Board of Managers a majority of the
Managers in office shall constitute a quorum for the transaction of business, and the acts of a majority of the Managers present and voting at a meeting at which a quorum is present shall be the acts of the Board of Managers, except as may be
otherwise specifically provided by the Act or by this Agreement. At all committee meetings a majority of the committee members in office shall constitute a quorum for the transaction of business, and the acts of a majority of the committee members
present and voting at a meeting at which a quorum is present shall be the acts of the committee except as maybe otherwise specifically provided by the Act, by this Agreement or by the resolution establishing the committee. 
 Section 7.5 Action by Written Consent. Any action required or permitted to be taken at a meeting of the Board of Managers, or
any committee thereof, may be taken without a meeting if, prior or subsequent to the action, a consent or consents thereto signed by all of the Managers, or all of the committee members, as appropriate, is filed with the Company. 
 Section 7.6 Committees. The Board of Managers may, by resolution adopted by a unanimous vote of the Managers, establish one or
more committees consisting of one or more Managers as may be deemed appropriate or desirable by the Board of Managers to serve at the pleasure of the Board. Any such committee, to the extent provided in the resolution of the Board of Managers
pursuant to which it was created, shall have and may exercise all of the powers and authority of the Board of Managers. 
 Section 7.7 Compensation. Managers shall not be entitled to receive a salary or other compensation for their services as such. Managers shall be reimbursed for expenses incurred in connection with attending meetings of the Board
or any Committee or otherwise incurred in the performance of their duties. 
 Section 7.8 Officers. 
 (a) The Company shall have an officer designated as the Company’s Chief Executive Officer who shall be appointed from time to time by
the Board of Managers. The Chief Executive Officer of the Company is hereby delegated the power, authority and responsibility of the day-to-day management, administrative, financial and implementive acts of the Company’s business. The Chief
Executive Officer of the Company shall have the right and power to bind the Company and to make the final determination on questions relative to the usual and customary daily business decisions, affairs and acts of the Company. Other primary
management functions of the Company shall be assigned by the Board of Managers. 
 (b) The Board of Managers may appoint such
other officers as it may deem advisable from time to time. Each officer of the Company shall hold office at the pleasure of the Board of Managers, and the Board of Managers may remove any officer at any time, with or without cause. 
  

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 Section 7.9 Power of Attorney. 
 (a) Each Member hereby constitutes and appoints each of the officers of the Company and the Managers, with full power of substitution, as his
true and lawful agent and attorney-in-fact, with full power and authority in his name, place and stead, to: 
 (i) execute,
swear to, acknowledge, deliver, file and record in the appropriate public offices (A) all certificates, documents and other instruments (including this Agreement and the Certificate) that the Board of Managers deems necessary or appropriate to
form, qualify or continue the existence or qualification of the Company as a limited liability company in the State of Delaware and in all other jurisdictions in which the Company may conduct business or own property; (B) all certificates,
documents and other instruments that the Board of Managers deems necessary or appropriate to reflect, in accordance with its terms, any amendment, change, modification or restatement of this Agreement; (c) all certificates, documents and other
instruments (including conveyances and a certificate of cancellation) that the Board of Managers deems necessary or appropriate to reflect the dissolution and liquidation of the Company pursuant to the terms of this Agreement; (D) all
certificated, documents and other instruments relating to the admission of any Member pursuant hereto; and (E) all certificates, documents and other instruments relating to the determination of the rights, preferences and privileges of any
class or series of Company Securities; and 
 (ii) execute, swear to, acknowledge, deliver, file and record all ballots,
consents, approvals, waivers, certificates, documents and other instruments necessary or appropriate, in the discretion of the Board of Managers, to make, evidence, give, confirm or ratify any vote, consent, approval, agreement or other action that
is made or given by the Members hereunder or is consistent with the terms of this Agreement or is necessary or appropriate, in the discretion of the Board of Managers, to effectuate the terms or intent of this Agreement. 
 (b) The foregoing power of attorney is hereby declared to be irrevocable and a power coupled with an interest, and it shall survive and, to
the maximum extent permitted by law, not be affected by the subsequent death, incompetency, disability, incapacity, dissolution, bankruptcy or termination of any Member and the transfer of all or any portion of such Member’s Membership Interest
and shall extend to such Member’s heirs, successors, assigns and personal representatives. Each Member hereby agrees to be bound by any representation made by an officer of the Company or a Manager acting in good faith pursuant to such power of
attorney; and each Member, to the maximum extent permitted by law, hereby waives any and all defenses that may be available to contest, negate or disaffirm the action of an officer of the Company or a Manager taken in good faith under such power of
attorney. Each Member shall execute and deliver to the Board of Managers, within 15 days after receipt of the request therefor, such further designation, powers of attorney and other instruments as the Board of Managers deems necessary to effectuate
this Agreement and the purposes of the Company. 
 Section 7.10 Dealing with Related Persons. The Board of Managers,
on behalf of the Company or its Subsidiaries, may employ a Member, a Manager or an Affiliate of a Member or a Manager to render or perform a service; may contract to buy property from, or sell property to, any such Member, Manager or Affiliate; or
may otherwise deal with any such Member, Manager or Affiliate; provided that any such transaction shall comply with any applicable policies of the Company, shall be fully disclosed to all Members, shall be on terms that are fair and equitable to the
Company and shall be no less favorable to the Company than the terms, if any, available from unrelated Persons in an arms-length transaction. 
  

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 Section 7.11 Conflicts of Interest. Each Manager may at any time and from time
to time engage in and possess interests in other business ventures of any and every type and description, independently or with others, except ones in competition with the Company, with no obligation to offer to the Company or any Member or Manager
the right to participate therein. 
 Section 7.12 Exculpation and Indemnification. 
 (a) The Managers and the officers of the Company shall not be held liable to the Company or to any Member for any loss suffered by the
Company unless such loss is caused by such Manager’s or such officer’s gross negligence, willful misconduct or violation of law. The Managers and the officers of the Company shall not be liable for errors in judgment or for any acts or
omissions that do not constitute gross negligence, willful and wanton misconduct or violation of law. The Board of Managers and the officers of the Company may consult with counsel and accountants in respect of Company affairs and, provided the
Board of Managers and the officers act in good faith reliance upon the advice or opinion of such counsel or accountants, the Managers and the officers shall not be liable for any loss suffered by the Company in reliance thereon. 
 (b) Subject to the limitations and conditions as provided in this Section, each Person who was or is made a party or is threatened to be
made a party to or is involved in any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative, arbitrative (hereinafter a “Proceeding”), or any appeal in such a Proceeding or any inquiry or
investigation that could lead to such a Proceeding, by reason of the fact that he or she is or was a Manager or an officer of the Company, or while a Manager or officer of the Company is or was serving at the request of the Company as an officer,
director, partner, venturer, proprietor, trustee, employee, agent, or similar functionary of another foreign or domestic limited liability company, corporation, partnership, joint venture, sole proprietorship, trust, employee benefit plan or other
enterprise, shall be indemnified by the Company to the fullest extent permitted by the Act, as the same exists or may hereafter be amended (but, in the case of any such amendment, only to the extent that such amendment permits the Company to provide
broader indemnification rights than such law permitted the Company to provide prior to such amendment) against judgments, penalties (including excise and similar taxes and punitive damages), fines, settlements and reasonable expenses (including
attorneys’ fees) actually incurred by such Person in connection with such Proceeding, and indemnification under this Section shall continue as to a Person who has ceased to serve in the capacity which initially entitled such Person to indemnity
hereunder. The rights granted pursuant to this Section shall be deemed contract rights, and no amendment, modification or repeal of this Section shall have the effect of limiting or denying any such rights with respect to actions taken or
Proceedings arising prior to any amendment, modification or repeal. It is expressly acknowledged that the indemnification provided in this Section could involve indemnification for negligence or under theories of strict liability. 
 (c) The right to indemnification conferred in this Section shall include the right to be paid or reimbursed by the Company the expenses
incurred by a Person of the type entitled to be indemnified hereunder who was, is or is threatened to be made a named defendant or respondent in a Proceeding in advance of the final disposition of the Proceeding and without any determination as to
the Person’s ultimate entitlement to indemnification. Upon request, the

  

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Company shall pay such expenses incurred and to be incurred by any such Person in advance of the final disposition of a Proceeding, upon receipt of an undertaking by such Person to repay all
amounts so advanced if it shall ultimately be determined that such Person is not entitled to be indemnified under this Section or otherwise. 
 (d) The right to indemnification and the advancement and payment of expenses conferred in this Section shall not be exclusive of any other right which a Person may have or hereafter acquire under any law
(common or statutory), provision of the Certificate or this Agreement, vote of Members or disinterested Managers or otherwise. 
 (e) The Company shall purchase and maintain insurance, at its expense, to protect itself and any Person who is or was serving as a Manager or officer or agent of the Company or is or was serving at the request of the Company as a director,
officer, partner, venturer, proprietor, trustee, employee, agent or similar functionary of another foreign or domestic limited liability company, corporation, partnership, joint venture, sole proprietorship, trust, employee benefit plan or other
enterprise against any amounts entitled to be indemnified whether or not the Company would have the power to indemnify such Person against such expense, liability or loss under this Section. In addition, the Company shall also have the right to
purchase and maintain a reasonable amount of life insurance on the life of the Managers, officers or other agents of the Company as the Board of Managers deems necessary and appropriate. 
 (f) If this Section or any portion hereof shall be invalidated on any ground by any court of competent jurisdiction, then the Company shall
nevertheless indemnify and hold harmless each Manager and officer of the Company or any other Person indemnified pursuant to this Section as to any amounts entitled to be indemnified hereunder to the full extent permitted by any applicable portion
of this Section that shall not have been invalidated and to the fullest extent permitted by applicable law. 
 ARTICLE VIII

 BOOKS OF ACCOUNT AND REPORTS; ACCESS TO RECORDS 
 Section 8.1 Books and Records. The Board of Managers shall keep, or cause to be kept by the Company’s accountants, at the
principal place of business of the Company (or at such other place of business or office as the Board of Managers may designate) true and correct books of account, in which shall be entered fully and accurately each and every transaction of the
Company and the Subsidiaries. Each Member or its designated agent shall have access at the Company’s office (or at the office of the Company’s accountants) to the Company’s books of account and all other information concerning the
Company and the Subsidiaries required by the Act to be made available to Members at reasonable times on Business Days, and may make copies thereof. A Member must give the Company written notice of its desire to exercise rights under the preceding
sentence at least 5 Business Days in advance. The Company’s books shall be kept on the accrual method of accounting in accordance with federal income tax accounting principles, consistently applied, and for a fiscal period which is the calendar
year. Any Member shall have the right to a private audit of the books and records of the Company, provided such audit is made at the office of the Company (or the Company’s accountants) at which such books and records are located and at the
expense of the Member desiring it and is made at reasonable times on Business Days, after written notice given to the Company at least 15 Business Days in advance. 
  

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 Section 8.2 Reports to Members. The Company shall prepare and deliver to each
Member, as promptly as practicable and in any event not later than September 15 following the end of each Fiscal Year, the information (including Form K-1) necessary to enable each Member to complete its federal and state income tax returns for
such Fiscal Year. The Company shall provide to each Member (a) no more than 90 days following the close of each fiscal year a balance sheet and related statements of income, cash flows and members’ equity for such Fiscal Year, prepared in
accordance with generally accepted accounting principles and reported on by the Company’s independent public accountants, and (b) no more than 45 days following the end of each fiscal quarter, an unaudited balance sheet and the related
statements of income, cash flows and Members’ equity for each such fiscal quarter, prepared in accordance with generally accepted accounting principles and on a basis consistent with the annual financial statements. 
 ARTICLE IX 
 TRANSFERS OF UNITS 
 Section 9.1 Conditions of Transfer. Subject to Section 12.1 hereof, no
Unit shall be Transferred without the approval of the Board of Managers. 
 Section 9.2 [Intentionally Omitted].

 Section 9.3 [Intentionally Omitted]. 
 Section 9.4 Transfers to Family Group, etc. Notwithstanding Section 9.1, a Member may Transfer all or any of its Units
without the requirement of obtaining the approval of the Board of Managers (a) to the Member’s Family Group, (b) in the case of death of the Member, by will or the laws of descent and distribution, or (c) in accordance with
Section 12.2; provided that any transferee pursuant to clauses (a) or (b) above shall automatically be bound by the terms of this Agreement and shall be required as a condition precedent to the consummation of such Transfer to join in
and execute and deliver a copy of this Agreement to the Members as a party to this Agreement. 
 Section 9.5
Non-Complying Transfers Void. Any attempted Transfer of all or any Units that does not comply with this Article IX shall be null and void and of no legal effect. 
 ARTICLE X 
 ADMISSION OF ASSIGNEES 
 Section 10.1 Rights of Assignees. Except as provided in Section 10.2, the Assignee of a Membership Interest has no right to
become a Member. The Assignee’s only rights are the economic rights allocable to the Transferred Membership Interest. 
 Section 10.2 Admission of Assignee as a Member. An Assignee shall be admitted as a Member with all rights of the Member who initially Transferred the Membership Interest to the Assignee, but only if (i) the Member who
initially Transferred the Membership Interest so provides in the instrument of Transfer, (ii) except as provided in Section 9.4 hereof, the Board of

  

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Managers consents to the admission of the Assignee as a Member and (iii) the Assignee agrees in writing to be bound by this Agreement. An Assignee who is admitted as a Member shall be a
Member of the same class of Member as the Member who initially Transferred the Membership Interest and shall have all the rights and powers and be subject to all the restrictions and liabilities of the Member who originally Transferred the
Membership Interest. The admission of the Assignee as a Member, without more, shall not release the Member who originally Transferred the Membership Interest from any liability to the Company that exists before such admission. 
 ARTICLE XI 
 DISSOLUTION OF COMPANY 
 Section 11.1 Events Causing Dissolution. Subject to Section 7.1
hereof, the Company shall be dissolved and its affairs wound up upon the occurrence of any of the following events: 
 (a) the
sale, exchange, or other disposition by the Company of all or substantially all of its assets; or 
 (b) the vote of Parent and
a Majority Vote of the Designated Non-Parent Members to dissolve the Company. 
 The Company shall not be dissolved by the death, resignation,
withdrawal, bankruptcy or dissolution of a Member. 
 Section 11.2 Winding Up. If the Company is dissolved, then the
Board of Managers shall proceed with dispatch and without any unnecessary delay to sell or otherwise liquidate all property of the Company. Any act or event (including the passage of time) causing a dissolution of the Company shall in no way affect
the validity of, or shorten the term of, any lease, deed of trust, mortgage, contract or other obligation entered into by or on behalf of the Company. The full rights, powers and authorities of the Board of Managers shall continue so long as
appropriate and necessary to complete the process of winding up the business and affairs of the Company. 
 Section 11.3
Application of Assets in Winding Up. In winding up the Company, after paying or making provision for payment of all of its liabilities and the expenses of winding up, the remaining net proceeds and liquid assets shall be distributed among the
Members to the extent of and in proportion to the Members respective positive Capital Account balances (after giving effect to all contributions, distributions and allocations for all periods). 
 Section 11.4 Negative Capital Accounts. No Member shall be obligated to restore or repay any negative balance in such
Member’s Capital Account at any time or for any reason. 
 Section 11.5 Termination. The Company shall
terminate, except for the purpose of suits, other proceedings, and appropriate action as provided in the Act, when all of its property shall have been disposed of and the net proceeds and liquid assets, after satisfaction of liabilities to Company
creditors, shall have been distributed among the Members. As soon as practicable after the termination of the Company, the Board of Managers shall cause a certificate of cancellation to be filed with the Secretary of State. The Board of Managers
shall have authority to distribute any Company property discovered after dissolution, convey real estate, and take such other action as may be necessary on behalf of and in the name of the Company. 
  

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 ARTICLE XII 
 CERTAIN ACTIONS OF PARENT; REDEMPTION OF UNITS 
 Section 12.1 Actions of Parent. As of the Effective Time (as defined in the Merger Agreement) and until such time as the Series A Preferred Stock is converted into Series B Preferred Stock, if there is any Designated Non-Parent
Member, Parent agrees that Parent shall not, without receiving advance approval by a Majority Vote of the Designated Non-Parent Members, take any of the following actions: 
 (a) other than as specifically contemplated by the Merger Agreement or this Agreement, issue any additional securities of Parent or permit
any Subsidiaries of Parent other than the Company and other than Subsidiaries formed to engage in securitization transactions to issue any additional securities; 
 (b) other than as specifically contemplated by the Merger Agreement, enter into or suffer a transaction constituting a Parent Change of Control; 
 (c) other than as specifically contemplated by the Merger Agreement, amend Parent’s certificate of incorporation or bylaws in any
manner which adversely affects the rights of the Non-Parent Members under Section 12.2; 
 (d) adopt any plan of
liquidation or dissolution, or file a certificate of dissolution; or 
 (e) directly or indirectly, enter into or conduct any
business other than the ownership of Units, the ownership of the TruPS Subsidiaries, the management of the business of the Company, the satisfaction of obligations under the Contingent Convertible Notes or the Junior Subordinated Notes, and such
other activities as are reasonably required in connection with the ownership of Units and the management of the business of the Company. 
 Section 12.2 Redemption of Units. 
 (a) Subsequent to June 16,
2010 (the “Redemption Date”), each Non-Parent Member shall have the right (subject to the terms and conditions set forth herein) to require the Company to redeem all or a portion of the Units held by such Non-Parent Member (such Units
being hereafter referred to as “Tendered Units”) in exchange for the Cash Amount (a “Redemption”); provided, however, if such Member is Daniel G. Cohen, an Affiliate of Daniel G. Cohen or a member of Daniel G. Cohen’s Family
Group, such Redemption right shall only be exercisable after December 31, 2012. The tendering Non-Parent Member shall have no right, with respect to any Units so redeemed, to receive any distributions paid on or after the Specified Redemption
Date. Any Redemption shall be exercised pursuant to a Notice of Redemption delivered to Parent and the Company by the Non-Parent Member who is exercising the right (the “Tendering Member”). The Cash Amount shall be payable to the Tendering
Member on the Specified Redemption Date. 
  

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 (b) Notwithstanding Section 12.2(a) above, if a Non-Parent Member has delivered to
Parent and the Company a Notice of Redemption then the Parent may, in its sole and absolute discretion elect to assume and satisfy the Company’s Redemption obligation and acquire some or all of the Tendered Units from the Tendering Member in
exchange for the Common Shares Amount (as of the Specified Redemption Date) and, if Parent so elects, the Tendering Member shall sell the Tendered Units to Parent in exchange for the Common Shares Amount. In such event, the Tendering Member shall
have no right to cause the Company to redeem such Tendered Units. Parent shall give such Tendering Member written notice of its election on or before the close of business on the fifth Business Day after its receipt of the Notice of Redemption, and
the Tendering Member may elect to withdraw its redemption request at any time prior to the acceptance of the Cash Amount or Common Shares Amount by such Tendering Member. 
 (c) The Common Shares Amount, if applicable, shall be delivered as duly authorized, validly issued, fully paid and nonassessable Common Shares and, if applicable, free of any pledge, lien, encumbrance or
restriction, other than those provided in the charter or the bylaws of Parent, the Securities Act of 1933, as amended, relevant state securities or blue sky laws and any applicable registration rights agreement with respect to such Common Shares
entered into by the Tendering Member. Notwithstanding any delay in such delivery (but subject to Section 12.2(e)), the Tendering Member shall be deemed the owner of such Common Shares for all purposes, including without limitation, rights to
vote or consent, and receive dividends, as of the Specified Redemption Date. 
 (d) Each Non-Parent Member covenants and agrees
that all Tendered Units shall be delivered free and clear of all liens, claims and encumbrances whatsoever and should any such liens, claims and/or encumbrances exist or arise with respect to such Tendered Units, Parent or the Company, as the case
may be, shall be under no obligation to acquire the same. Each Non-Parent Member further agrees that, in the event any state or local property transfer tax is payable as a result of the transfer of its Tendered Units to Parent or the Company, as the
case may be, such Non-Parent Member shall assume and pay such transfer tax. 
 (e) Notwithstanding anything herein to the
contrary, with respect to any Redemption or exchange for Common Shares pursuant to this Section 12.2: (i) without the consent of the Board of Managers, each Non-Parent Member may not effect a Redemption for less than 100 Units or, if the
Non-Parent Member holds less than 100 Units, less than all of the Units held by such Non-Parent Member; (ii) the consummation of any Redemption or exchange for Common Shares shall be subject to the expiration or termination of the applicable
waiting period, if any, under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended; and (vi) each Tendering Member shall continue to own all Units subject to any Redemption or exchange for Common Shares, and be treated as a
Non-Parent Member with respect to such Units for all purposes of this Agreement, until such Units are transferred to Parent or the Company, as the case may be, and paid for or exchanged on the Specified Redemption Date. Until a Specified Redemption
Date, the Tendering Member shall have no rights as a stockholder of Parent with respect to such Tendering Member’s Units. 
 (f) In the event that the Company issues additional Units to any Person who is admitted to the Company as a Member pursuant to the terms of this Agreement, the Board of Managers may make such revisions to this Section 12.2 as it
determines are necessary to reflect the issuance of such additional Units. 
  

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 (g) Notwithstanding anything herein to the contrary, upon the occurrence of a Parent Change
of Control or Company Change Control, each Non-Parent Member may cause a Redemption immediately prior to such event. 
 (h)
Notwithstanding any other provision of this Section 12.2, Plan Units shall not be subject to the Redemption rights set forth in this Section 12.2. 
 (i) Resale Registration Statement. 
 (i) Parent agrees to file with the
Securities and Exchange Commission a registration statement on Form S-3 (if and to the extent that Parent is then eligible to use such form) under Rule 415 of the Securities Act (the “Registration Statement”) covering the resale by
Non-Parent Members of Common Shares issued by Parent in accordance with this Section 12.2. Parent will use its commercially reasonable efforts to have the Registration Statement declared effective under the Securities Act as soon as practicable
following the Redemption Date. From June 1, 2010 through the Redemption Date, each Non-Parent Member shall notify Parent of its request to have any Common Shares that may be issued by Parent in accordance with this Section 12.2 covered by
the Registration Statement. If a Non-Parent Member fails to provide such notice, Parent shall have no obligation to include such Common Shares in the Registration Statement. Parent may file one Registration Statement covering the resale of Common
Shares issued by it in accordance with this Section 12.2 to more than one Non-Parent Member. Parent further agrees to supplement or make amendments to the Registration Statement, if required by the rules, regulations or instructions applicable
to the registration form utilized by Parent or by the Securities Act or rules and regulations thereunder for such Registration Statement. 
 (ii) Parent shall cause the Common Shares issued by it in accordance with this Section 12.2 to be listed on each securities exchange and trading system on which similar securities issued by Parent
are then listed. 
 (iii) Notwithstanding the foregoing, Parent shall not be required to file any Registration Statement if
Parent is not eligible to use Form S-3 for such purpose on the Redemption Date and through the date on which the Registration Statement is declared effective and Parent shall not be required to maintain the effectiveness of the Registration
Statement relating to Common Shares issued by Parent in accordance with this Section 12.2 after, in each case, the earlier of (a) first date upon which, in the opinion of counsel to Parent, all of the Common Shares covered thereby could be
sold by the holders thereof in any period of three months pursuant to Rule 144 under the Securities Act, or any successor rule thereto, (b) the date on which Parent becomes ineligible to use Form S-3, or (c) December 31, 2010. 

 Section 12.3 Member Conversion. 
 (a) At any time, a Member shall have the right (subject to the terms and conditions set forth herein) to convert all, but not less than all, Plan Units held by such Member for the Plan Common Shares
Conversion Amount (a “Conversion”). The Member shall have no right, with respect to any Plan Units so converted, to receive any distributions paid on or after the

  

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Specified Conversion Date. Any Conversion shall be exercised pursuant to a Notice of Conversion delivered to Parent by Member. In connection with a Conversion, Parent shall receive all of the
Plan Units from the Member in exchange for the Plan Common Shares Conversion Amount (as of the Specified Conversion Date). 
 (b) The Plan Common Shares Conversion Amount shall be delivered as duly authorized, validly issued, fully paid and nonassessable Common Shares and, if applicable, free of any pledge, lien, encumbrance or restriction, other than those
provided in the charter or the bylaws of Parent, the Securities Act of 1933, as amended, relevant state securities or blue sky laws and any applicable registration rights agreement with respect to such Common Shares entered into by the Member.
Notwithstanding any delay in such delivery (but subject to Section 12.3(d)), the Member shall be deemed the owner of such Common Shares for all purposes, including without limitation, rights to vote or consent, and receive dividends, as of the
Specified Conversion Date. 
 (c) Each Member covenants and agrees that all Plan Units shall be delivered free and clear of all
liens, claims and encumbrances whatsoever and should any such liens, claims and/or encumbrances exist or arise with respect to such Plan Units, Parent or the Company, as the case may be, shall be under no obligation to acquire the same. Each Member
further agrees that, in the event any state or local property transfer tax is payable as a result of the transfer of its Plan Units to Parent, such Member shall assume and pay such transfer tax. 
 (d) Notwithstanding anything herein to the contrary, with respect to any Conversion pursuant to this Section 12.3, (i) the
consummation of any Conversion shall be subject to the expiration or termination of the applicable waiting period, if any, under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended; and (ii) each Member shall continue to own
all Plan Units subject to any Conversion, and be treated as a Member with respect to such Plan Units for all purposes of this Agreement, until such Plan Units are transferred to Parent or the Company, as the case may be, and paid for or exchanged on
the Specified Conversion Date. Until a Specified Conversion Date, the Member shall have no rights as a stockholder of Parent with respect to such Member’s Plan Units. 
 Section 12.4 Parent Forced Conversion. 
 (a) At any time, Parent shall have the right (subject to the terms and conditions set forth herein) to force the conversion of all Plan Units held by a Member in exchange for the Plan Common Shares
Conversion Amount (a “Forced Conversion”). The Member shall have no right, with respect to any Plan Units so converted, to receive any distributions paid on or after the Specified Conversion Date. Any Forced Conversion shall be exercised
pursuant to a Notice of Forced Conversion delivered to Member by Parent. In connection with a Forced Conversion, Parent shall receive all of the Plan Units from the Member in exchange for the Plan Common Shares Conversion Amount (as of the Specified
Conversion Date). 
 (b) The Plan Common Shares Conversion Amount shall be delivered as duly authorized, validly issued, fully
paid and nonassessable Common Shares and, if applicable, free of any pledge, lien, encumbrance or restriction, other than those provided in the charter or the

  

 - 34 - 

 
bylaws of Parent, the Securities Act of 1933, as amended, relevant state securities or blue sky laws and any applicable registration rights agreement with respect to such Common Shares entered
into by the Member. Notwithstanding any delay in such delivery (but subject to Section 12.4(d)), the Member shall be deemed the owner of such Common Shares for all purposes, including without limitation, rights to vote or consent, and receive
dividends, as of the Specified Conversion Date. 
 (c) Each Member covenants and agrees that all Plan Units shall be delivered
free and clear of all liens, claims and encumbrances whatsoever and should any such liens, claims and/or encumbrances exist or arise with respect to such Plan Units, Parent or the Company, as the case may be, shall be under no obligation to acquire
the same. Each Member further agrees that, in the event any state or local property transfer tax is payable as a result of the transfer of its Plan Units to Parent, such Member shall assume and pay such transfer tax. 
 (d) Notwithstanding anything herein to the contrary, with respect to any Forced Conversion pursuant to this Section 12.4, (i) the
consummation of any Forced Conversion shall be subject to the expiration or termination of the applicable waiting period, if any, under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended; and (ii) each Member shall continue to
own all Plan Units subject to any Forced Conversion, and be treated as a Member with respect to such Plan Units for all purposes of this Agreement, until such Plan Units are transferred to Parent or the Company, as the case may be, and paid for or
exchanged on the Specified Conversion Date. Until a Specified Conversion Date, the Member shall have no rights as a stockholder of Parent with respect to such Member’s Plan Units. 
 ARTICLE XIII 
 MISCELLANEOUS PROVISIONS

 Section 13.1 Notices. 
 (a) To Members or Managers. Any notice of a meeting or for any other purpose required to be given to a Manager individually or to a Member under the provisions of this Agreement or by the Act shall
be given either personally or by sending a copy thereof: 
 (i) by first class or express mail, postage prepaid, or courier
service, charges prepaid, to the postal address of the Person appearing on the books of the Company or, in the case of Managers, supplied by the Manager to the Company for the purposes of notice. Notice pursuant to this paragraph shall be deemed to
have been given to the Person entitled thereto when deposited in the United States mail or with a courier service for delivery to that Person. 
 (ii) by facsimile transmission, e-mail, or other electronic communication to the Person’s facsimile number or address for e-mail or other electronic communications supplied by the Person to the
Company for the purpose of notice. Notice pursuant to this paragraph shall be deemed to have been given to the Person entitled thereto when sent. 
  

 - 35 - 

 Section 13.3 To the Board of Managers or the Company. Any notice to the Company
or the Board of Managers must be given to the Board of Managers at the principal place of business of the Company. 
 Section 13.4 Integration. This Agreement sets forth all (and is intended by all parties hereto to be an integration of all) of the promises, agreements, conditions, understandings, warranties and representations among the
parties hereto with respect to the Company, the Company business and the property of the Company, and there are no promises, agreements, conditions, understanding, warranties, or representations, oral or written, express or implied, among them other
than as set forth herein or in the agreements noted above. Notwithstanding the foregoing, certain Members are or will be a party to a senior management agreement between the Company and such Member. To the extent that any provisions of this
Agreement conflict with such Member’s senior management agreement (including, without limitation, terms relating to the transfer of Units), the terms of such Member’s senior management agreement shall control. 
 Section 13.5 Governing Law. It is the intention of the parties that all questions with respect to the construction of this
Agreement and the rights and liabilities of the parties hereto shall be determined in accordance with the laws of the State of Delaware. 
 Section 13.6 Binding Effect. This Agreement shall be binding upon, and inure to the benefit of, the parties hereto and their respective personal and legal representatives, successors and
assigns. 
 Section 13.7 Counterparts. This Agreement may be executed in any number of counterparts and it shall not
be necessary that each party to this Agreement execute each counterpart. Each counterpart so executed (or, if all parties do not sign on the same counterpart, each group of counterparts signed by all parties) shall be deemed to be an original, but
all such counterparts together shall constitute one and the same instrument. In making proof of this Agreement, it shall not be necessary to account for more than one counterpart or group of counterparts signed by all parties. 
 Section 13.8 Assurances. Each Member shall execute all certificates and other documents and shall do all such filing, recording,
publishing, and other acts as the Board of Managers deems appropriate to comply with the requirements of the Act for the formation and operation of the Company and to comply with any laws, rules, and regulations relating to the acquisition,
operation, or holding of the property of the Company. 
 Section 13.9 Jurisdiction and Venue. Any suit involving any
dispute or matter arising under this Agreement may only be brought in the Delaware Court of Chancery. All Members hereby consent to the exercise of personal jurisdiction by the Delaware Court of Chancery with respect to any such proceeding.

 Section 13.10 Amendments. Subject to Section 7.1 hereof, this Agreement may be amended from time to time by
a written instrument that has been agreed upon by each of the Members. 
  

 - 36 - 

 IN WITNESS WHEREOF, the undersigned parties have this Agreement at the foot hereof or on the
separate signature pages attached hereto as of the day and year first above written. 
  

			
	Cohen & Company Inc.
		
	By:	 	 /s/ CHRISTOPHER RICCIARDI

	Name:	 	Christopher Ricciardi
	Title:	 	President

			
	Cohen Bros. Financial, LLC
		
	By:	 	 /s/ DANIEL G. COHEN

	Name :	 	Daniel G. Cohen
	Title:	 	Managing Member

 SCHEDULE “A” 
 Units Ownership Schedule 
  

						
	 Member Name
	  	Number of Units	  	Percentage Interest	 
			
	 Cohen & Company Inc.
	  	10,345,283	  	66.2	% 
	 Cohen Bros. Financial, LLC
	  	4,983,557	  	31.9	% 
	 The Christopher Ricciardi Irrevocable Retained Annuity Trust
	  	268,445	  	1.7	% 
	 Andrew Hohns
	  	31,554	  	0.2	% 
		  	 	  	 	 
	 Total
	  	15,628,839	  	100	% 
		  	 	  	 	 

 EXHIBIT “A” 
 Form Notice of Redemption 
  

			
	To:	 	The Board of Directors of Cohen & Company Inc.
		 	The Board of Managers of Cohen Brothers, LLC

 The undersigned Non-Parent Member hereby tenders (the “Tendering
Member”) for Redemption an aggregate of              Units in Cohen Brothers, LLC (the “Company”) in accordance with the terms of the Amended and Restated Limited
Liability Company Agreement, dated as of                  , 2009, as the same may be amended, supplemented and/or restated (the “Agreement”), and the
redemption rights referred to herein. All capitalized terms used herein and not otherwise defined shall have the same meaning ascribed to them in the Agreement. 
 The undersigned Tendering Member: 
 a) undertakes to surrender all rights, title
and interest in such Units on the Specified Redemption Date; 
 b) directs that, pursuant to Section 12.2(b) of the
Agreement and at the sole discretion of the Board of Directors of Parent, either (i) a certified check in an amount equal to the Cash Amount, payable on the Specified Redemption Date, be delivered to the name(s) at the address(es) specified
below, or (ii) a certificate for Common Shares representing the Common Shares Amount, deliverable on the Specified Redemption Date, be delivered to the name(s) and at the address(es) specified below: 
  

					
	Name:	 	  
	 	
			
	Address:	 	  
	 	
			
		 	  
	 	

 c) represents, warrants, certifies and agrees that: (i) the undersigned
Tendering Member has, and on the Specified Redemption Date will have, good, marketable and unencumbered title to such Units, free and clear of all liens, claims and encumbrances whatsoever, and (ii) such Redemption is in compliance with the
provisions of Section 12.2 in the Agreement; 
 d) agrees that, in the event any state or local property transfer tax is
payable as a result of the transfer of the Units to Parent or the Company, as the case may be, such Tendering Member shall assume and pay such transfer tax; and 
 e) acknowledges that it will continue to own such Units until the Specified Redemption Date or this Notice of Redemption is withdrawn. 
  

									
	Date:	 	  
	 		 	  

		 		 		 	Name (Please Print)
				
		 		 		 	  

		 		 		 	Signature
					
		 		 		 	Address:	 	  

				
		 		 		 	  

 EXHIBIT “B” 
 Form Notice of Conversion 
 To: Board of Directors of Cohen &
Company Inc. 
 The undersigned hereby elects, effective upon the Specified Conversion Date, to convert
             Plan Units of Cohen Brothers, LLC (the “Company”), representing all of the undersigned’s Plan Units, in accordance with the terms of the Amended and
Restated Limited Liability Company Agreement, dated as of                  , 2009, as the same may be amended, supplemented and/or restated (the “Agreement”),
into the Plan Common Shares Conversion Amount pursuant to Section 12.3 of the Agreement. All capitalized terms used herein and not otherwise defined shall have the same meaning ascribed to them in the Agreement. 
 The undersigned hereby: 
 a) undertakes to surrender all rights, title and interest in such Plan Units on the Specified Conversion Date; 
 b)
directs that a certificate for Common Shares representing the Plan Common Shares Conversion Amount, deliverable on the Specified Conversion Date, be delivered to the name(s) and at the address(es) specified below: 
  

					
	Name:	 	  
	 	
			
	Address:	 	  
	 	
			
		 	  
	 	

 c) represents, warrants, certifies and agrees that: (i) the undersigned has, and
on the Specified Conversion Date will have, good, marketable and unencumbered title to such Plan Units, free and clear of all liens, claims and encumbrances whatsoever, and (ii) such Conversion is in compliance with the provisions of
Section 12.3 in the Agreement; 
 d) agrees that, in the event any state or local property transfer tax is payable as a
result of the transfer of its Plan Units to Parent, such Member shall assume and pay such transfer tax; and 
 e) acknowledges
that the undersigned will continue to own such Plan Units until the Specified Conversion Date. 
  

									
	Date:	 	  
	 		 	  

		 		 		 	Name (Please Print)
				
		 		 		 	  

		 		 		 	Signature
					
		 		 		 	Address:	 	  

				
		 		 		 	  

 EXHIBIT “C” 
 Form Notice of Forced Conversion 
 To: [INSERT NAME OF
MEMBER] 
 Cohen & Company Inc., a Maryland corporation, hereby exercises its Forced Conversion rights, effective
upon the Specified Conversion Date, to convert              Plan Units of Cohen Brothers, LLC (the “Company”), representing all of your Plan Units, in accordance with the
terms of the Amended and Restated Limited Liability Company Agreement, dated as of                  , 2009, as the same may be amended, supplemented and/or restated (the
“Agreement”), into the Plan Common Shares Conversion Amount pursuant to Section 12.4 of the Agreement. All capitalized terms used herein and not otherwise defined shall have the same meaning ascribed to them in the Agreement.

  

			
	Date:	 	  

	
	COHEN & COMPANY INC.
		
	By:	 	  

		
	Name:	 	  

		
	Title:	 	  

 [Acknowledgment page follows] 

 ACKNOWLEDGEMENT: 
 The undersigned Member hereby: 
 a) acknowledges receipt of the Notice of Forced Conversion; 
 b) undertakes to
surrender all rights, title and interest in such Plan Units on the Specified Conversion Date; 
 c) directs that a certificate
for Common Shares representing the Plan Common Shares Conversion Amount, deliverable on the Specified Conversion Date, be delivered to the name(s) and at the address(es) specified below: 
  

					
	Name:	 	  
	 	
			
	Address:	 	  
	 	
			
		 	  
	 	

 d) represents, warrants, certifies and agrees that: (i) the undersigned has, and
on the Specified Conversion Date will have, good, marketable and unencumbered title to such Plan Units, free and clear of all liens, claims and encumbrances whatsoever, and (ii) such Conversion is in compliance with the provisions of
Section 12.3 in the Agreement; 
 e) agrees that, in the event any state or local property transfer tax is payable as a
result of the transfer of its Plan Units to Parent, such Member shall assume and pay such transfer tax; and 
 f) acknowledges
that it will continue to own such Plan Units until the Specified Conversion Date. 
  

									
	Date:	 	  
	 		 	  

		 		 		 	Name (Please Print)
				
		 		 		 	  

		 		 		 	Signature
					
		 		 		 	Address:Exhibit 10.3

 Exhibit 10.3 
 EXECUTIVE EMPLOYMENT AGREEMENT 
 BY AND BETWEEN:

 PETER J. JOHNSON 
 President and Chief Executive Officer 
 American Federal Savings Bank 

 AND 
 AMERICAN FEDERAL SAVINGS BANK 
 EFFECTIVE OCTOBER 1, 2009 

 EXECUTIVE EMPLOYMENT AGREEMENT 
 THIS AGREEMENT is made effective as of October 1, 2009, by and between American Federal Savings Bank (the “BANK”) and Peter
J. Johnson (“EXECUTIVE”). 
 WHEREAS, EXECUTIVE serves in a position of substantial responsibility; 
 WHEREAS, the BANK wishes to assure itself of the services of EXECUTIVE for the period provided in this Agreement; and 
 WHEREAS, EXECUTIVE is willing to serve in the employ of the BANK on a full-time basis for said period. 
 NOW, THEREFORE, in consideration of the mutual covenants herein contained, and upon the other terms and conditions hereinafter provided, the
parties hereby agree as follows: 
 1. POSITION AND RESPONSIBILITIES. 
 During the period of his employment hereunder, EXECUTIVE agrees to serve as President and CEO of the BANK. Executive shall render
administrative and management duties to the BANK such as are customarily performed by persons situated in a similar executive capacity. 
 2. TERMS AND DUTIES. 
 (a) The term of this Agreement shall be (2) years and
deemed to have commenced as of October 1, 2009 and shall continue for a period ending September 30, 2011. Commencing on or about September 1, 2010, the Board of Directors of the BANK (the “Board”) shall perform an annual
review of this Employment Agreement. Commencing in September 2011, the Board may extend or renew the Agreement for an additional two year term. Prior to the extension or renewal of the Agreement as provided herein, the Board of the BANK will conduct
a formal performance evaluation of EXECUTIVE for purposes of determining whether to extend or renew the Agreement, and the results thereof shall be included in the minutes of the Board’s meeting. 
 (b) During the period of his employment hereunder, except for periods of absence occasioned by illness, reasonable vacation periods, and
reasonable leaves of absence, EXECUTIVE shall devote substantially all his business time, attention, skill, and efforts to the faithful performance of his duties hereunder including activities and services related to the organization, operation and
management of the BANK; provided, however, that, with the approval of the Board, as evidenced by a resolution of such Board, from time to time, EXECUTIVE may serve, or continue to serve, on the boards of directors of, and hold any other offices or
positions in, companies or organizations, which, in such Board’s judgment, will not present any conflict of interest with the BANK, or materially affect the performance of EXECUTIVE’s duties pursuant to this Agreement. 
  

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 3. COMPENSATION AND REIMBURSEMENT. 
 (a) The compensation specified under this Agreement shall constitute the salary and benefits paid for the duties described in Sections 1 and
2. The BANK shall pay EXECUTIVE as compensation a salary of $155,000 per year (“Base Salary”). Such Base Salary shall be payable in accordance with the customary payroll practices of the BANK. During the period of this Agreement,
EXECUTIVE’s Base Salary shall be reviewed at least annually; the first such review will be made no later than one year from the date of this Agreement. Such review shall be conducted by a Committee designated by the Board, and the Board may
increase but not decrease EXECUTIVE’s Base Salary. In addition to the Base Salary provided in this Section 3(a), the BANK shall provide EXECUTIVE at no cost to EXECUTIVE with all such other benefits as are provided uniformly to regular
(not temporary) full-time employees of the BANK. 
 (b) The BANK will provide EXECUTIVE with employee benefit plans,
arrangements and perquisites substantially equivalent to those in which EXECUTIVE was participating or otherwise deriving benefit from immediately prior to the beginning of the term of this agreement. Without limiting the generality of the foregoing
provisions of this Subsection (b), EXECUTIVE will be entitled to participate in or receive benefits under any employee benefit plans including, but not limited to, retirement plans, profit-sharing plans, health-and-accident plans, medical coverage
or any other employee benefit plan or arrangement made available by the BANK in the future to its senior executives and key management employees, subject to, and on a basis consistent with, the terms, conditions and overall administration of such
plans and arrangements. EXECUTIVE will be entitled to incentive compensation and bonuses as provided in any plan, or pursuant to any arrangement of the BANK in which EXECUTIVE is eligible to participate. Nothing paid to EXECUTIVE under any such plan
or arrangement will be deemed to be in lieu of other compensation to which EXECUTIVE is entitled under this Agreement. 
 (c) In
addition to the Base Salary provided for by paragraph (a) of this Section 3, the BANK shall pay or reimburse EXECUTIVE for all reasonable travel and other obligations under this Agreement and may provide such additional compensation in
such form and such amounts as the Board may from time to time determine. 
 4. PAYMENTS TO EXECUTIVE UPON AN EVENT OF
TERMINATION. 
 (a) Upon the occurrence of an Event of Termination (as herein defined) during EXECUTIVE’s term of employment
under this Agreement, the provisions of this Section shall apply. As used in this Agreement, an “Event of Termination” shall mean and include any one or more of the following; (i) the termination by the BANK of EXECUTIVE’s
full-time employment hereunder for any reason (except termination for cause as defined in Section 7 hereof): disability, as defined in Section 5(a) hereof; death; resignation or retirement, as defined in Section 6 hereof,
(ii) EXECUTIVE’s resignation from the BANK’s employ, upon (A) unless consented to by EXECUTIVE, a material change in EXECUTIVE’s function, duties, or responsibilities, which change would cause EXECUTIVE’s position to become
one of lesser responsibility, importance, or scope from the position and attributes thereof described in Sections 1 and 2, above (any such material change shall be deemed a continuing breach of this

  

 2 

 
Agreement), (B) unless consented to by EXECUTIVE, a relocation of EXECUTIVE’s principal place of employment by more than 50 miles from its location at the effective date of this
Agreement, or, without EXECUTIVE’s consent, a material reduction in the benefits and perquisites to EXECUTIVE from those being provided as of the effective date of this Agreement, (C) the liquidation or dissolution of the BANK, or
(D) any breach of this Agreement by the BANK. Upon the occurrence of any event described in clauses (A), (B), (C), or (D), above, EXECUTIVE shall have the right to elect to terminate his employment under this Agreement by resignation upon not
less than sixty (60) days prior written notice given within a reasonable period of time not to exceed, except in case of a continuing breach, four (4) calendar months after the event giving rise to such right to elect. 
 (b) Upon the occurrence of an Event of Termination, as described in Section 4(a) hereof, the BANK shall pay EXECUTIVE, or, in the event
of his subsequent death, his beneficiary or beneficiaries, or his estate, as the case may be, as severance pay or liquidated damages, or both, a sum equal to the payments due to EXECUTIVE for the remaining term of the Agreement, including Base
Salary (of not less than one year if an Event of Termination occurs with a term of less than one year remaining under this Agreement), bonuses, and any other cash or deferred compensation paid or to be paid (including the value of employer
contributions that would have been made on EXECUTIVE’s behalf over the remaining term of the agreement to any tax-qualified retirement plan sponsored by the BANK as of the Date of Termination) to EXECUTIVE for the term of the Agreement
provided, however, that if the BANK is not in compliance with its minimum capital requirements or if such payments would cause the BANK’s capital to be reduced below its minimum capital requirements, such payments shall be deferred until such
time as the BANK is in capital compliance. All payments made pursuant to this Section 4(b) shall be paid in substantially equal monthly installments over the remaining term of this Agreement following EXECUTIVE’s termination; provided,
however, that if the remaining term of the Agreement is less than one (1) year (determined as of EXECUTIVE’s Date of Termination), such payments and benefits shall be paid to EXECUTIVE in a lump sum within thirty (30) days of the Date
of Termination. 
 (c) Upon the occurrence of an Event of Termination, the BANK will continue to pay life, medical, and
disability insurance having substantially identical coverage to that maintained by the BANK for EXECUTIVE prior to his termination. Such coverage shall cease upon the expiration of the remaining term of this agreement unless the remaining term is
less than one year in which case the remaining term shall be deemed a one year term. 
 5. TERMINATION FOR DISABILITY.

 (a) If EXECUTIVE shall become disabled as defined in the BANK’s then current disability plan (or, if no such plan is then
in effect, if EXECUTIVE is permanently and totally disabled within the meaning of Section 22(e)(3) of the Code as determined by a physician designated by the Board), the BANK may terminate EXECUTIVE’s employment for “Disability.”

  

 3 

 (b) Upon EXECUTIVE’s termination of employment for Disability, the BANK will pay
EXECUTIVE, as disability pay, a monthly payment equal to three-quarters (3/4) of EXECUTIVE’s monthly Base Salary on the effective date of such termination. These disability payments shall commence on the effective date of EXECUTIVE’s
termination and will end on the earlier of (i) the date EXECUTIVE returns to the full-time employment of the BANK in the same capacity as he was employed prior to his termination for Disability and pursuant to an employment agreement between
EXECUTIVE and the BANK; (ii) EXECUTIVE’s full-time employment by another employer; (iii) EXECUTIVE attaining the age of sixty-five (65); or (iv) EXECUTIVE’s death; or (v) the expiration of this Agreement unless such
Agreement expires in less than one year in which case the Agreement shall be deemed to expire in one year. The disability pay shall be reduced by the amount, if any, paid to EXECUTIVE under any plan of the BANK providing disability benefits to
EXECUTIVE. 
 (c) The BANK will cause to be continued any life, medical, and disability coverage in existence at the time of
termination for disability substantially identical to the coverage maintained by the BANK for EXECUTIVE prior to his termination for Disability. The coverage and payments described herein shall cease upon the earlier of (i) the date EXECUTIVE
returns to the full-time employment of the BANK, in the same capacity as he was employed prior to his termination for Disability and pursuant to an employment agreement between EXECUTIVE and the BANK; (ii) EXECUTIVE’s full-time employment
by another employer; (iii) EXECUTIVE’s attaining the age of sixty-five (65); (iv) EXECUTIVE’s death; or (v) the expiration of the term of this Agreement, unless the Agreement expires in less than one year in which case the
Agreement shall be deemed to expire in one year. 
 (d) Notwithstanding the foregoing, there will be no reduction in the
compensation otherwise payable to EXECUTIVE during any period during which EXECUTIVE is incapable of performing his duties hereunder by reason of temporary disability. 
 6. TERMINATION UPON RETIREMENT; DEATH OF EXECUTIVE; RESIGNATION. 
 Termination by
the BANK of EXECUTIVE based on “Retirement” shall mean retirement at or after attaining age sixty-five (65) or in accordance with any retirement arrangement established with EXECUTIVE’s consent with respect to him. Upon
termination of EXECUTIVE upon Retirement, EXECUTIVE shall be entitled to all benefits under any retirement plan of the BANK or the COMPANY and other plans to which EXECUTIVE is a party. Upon the death of EXECUTIVE during the term of this Agreement,
the BANK shall pay to EXECUTIVE’s estate the compensation due to EXECUTIVE through the last day of the calendar month in which his death occurred. Upon the voluntary resignation of EXECUTIVE during the term of this Agreement, other than in
connection with an Event of Termination, the BANK shall pay to EXECUTIVE the compensation due to EXECUTIVE through his Date of Termination. 
  

 4 

 7. TERMINATION FOR CAUSE. 
 For purposes of this Agreement, “Termination for Cause” shall include termination because of EXECUTIVE’s personal dishonesty,
incompetence, willful misconduct, breach of fiduciary duty involving personal profit, intentional failure to perform stated duties, willful violation of any law, rule, or regulation (other than traffic violations or similar offenses) or final
cease-and-desist order, or material breach of any provision of this Agreement. Notwithstanding the foregoing, EXECUTIVE shall not be deemed to have been terminated for Cause unless and until there shall have been delivered to him a copy of a
resolution duly adopted by the affirmative vote of not less than a majority of the members of the Board at a meeting of the Board called and held for that purpose (after reasonable notice to EXECUTIVE and an opportunity for him, together with
counsel to be heard before the Board), finding that in the good faith opinion of the Board, EXECUTIVE was guilty of conduct justifying termination for cause and specifying the reasons thereof. EXECUTIVE shall not have the right to receive
compensation or other benefits for any period after termination for cause. Any stock options granted to EXECUTIVE under any stock option plan or any unvested awards granted under any other stock benefit plan of the BANK, the COMPANY, or any
subsidiary or affiliate thereof, shall become null and void effective upon EXECUTIVE’s receipt of Notice of Termination for Cause pursuant to Section 7 hereof, and shall not be exercisable by EXECUTIVE at any time subsequent to such
termination for cause. 
 8. REQUIRED PROVISIONS. 
 (a) The BANK may terminate EXECUTIVE’s employment at any time, but any termination by the BANK, other than termination for cause, shall not prejudice EXECUTIVE’s right to compensation or other
benefits under this Agreement. EXECUTIVE shall not have the right to receive compensation or other benefits for any period after termination for cause as defined in Section 7 herein. 
 (b) If EXECUTIVE is suspended and/or temporarily prohibited from participating in the conduct of the BANK’s affairs by a notice served
under Section 8(e)(3) or (g)(1) of the Federal Deposit Insurance Act (“FDIA”), the BANK’s obligations under the Agreement shall be suspended as of the date of service, unless stayed by appropriate proceedings. If the charges in
the notice are dismissed, the BANK may, in its discretion, (i) pay EXECUTIVE all or part of the compensation withheld while its contract obligations were suspended and (ii) reinstate (in whole or in part) any of its obligations that were
suspended. 
 (c) If EXECUTIVE is removed and/or permanently prohibited from participating in the conduct of the BANK’s
affairs by an order issued under Section 8(e)(4) or (g)(1) of the FDIA, all obligations of the BANK under the Agreement shall terminate as of the effective date of the order, but vested rights of the contracting parties shall not be affected.

 (d) If the BANK is in default (as defined in Section 3(x)(1) of the FDIA), all obligations under this Agreement shall
terminate as of the date of default, but this paragraph shall not affect any vested rights of the parties. 
  

 5 

 (e) All obligations under this Agreement shall be terminated (except to the extent
determined that continuation of the Agreement is necessary for the continued operation of the BANK): (i) by the Director of the Office of Thrift Supervision (the “Director”) or his designee at the time the Federal Deposit Insurance
Corporation enters into an agreement to provide assistance to or on behalf of the BANK under the authority contained in Section 13(c) of the FDIA or (ii) by the Director, or his designee at the time the Director or such designee approves a
supervisory merger to resolve problems related to operation of the BANK or when the BANK is determined by the Director to be in an unsafe or unsound condition. Any rights of the parties that have already vested, however, shall not be affected by
such action. 
 (f) Any payments made to EXECUTIVE pursuant to this Agreement, or otherwise, are subject to and conditioned upon
compliance with Section 18(k) of the FDIC and any regulations promulgated thereunder. 
 9. NOTICE. 
 (a) Any purported termination by the BANK or by EXECUTIVE shall be communicated by Notice of Termination to the other party hereto. For
purposes of this Agreement, a Notice of Termination” shall mean a written notice which shall indicate the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed
to provide a basis for termination of EXECUTIVE’s employment under the provision so indicated. 
 (b) “Date of
Termination” shall mean (A) if EXECUTIVE’s employment is terminated for Disability, thirty (30) days after a Notice of Termination is given (provided that he shall not have returned to the performance of his duties on a full-time
basis during such thirty (30) day period), and (B) if his employment is terminated for any other reason, other than termination for cause, the date specified in the Notice of Termination. In the event of EXECUTIVE’s termination for
cause, the Date of Termination shall be the same as the date of the Notice of Termination. 
 (c) If, within thirty
(30) days after any Notice of Termination is given, the party receiving such Notice of Termination notifies the other party that a dispute exists concerning the termination, the Date of Termination shall be extended by a notice of dispute only
if such notice is given in good faith and the party giving such notice pursues the resolution of such dispute with reasonable diligence. Unless the termination is for cause, notwithstanding the pendency of any such dispute, the BANK will continue to
pay EXECUTIVE his full compensation in effect when the notice giving rise to the dispute was given (including, but not limited to Base Salary) and continue him as a participant in all compensation benefit and insurance plans in which he was
participating when the notice of dispute was given, until the dispute is finally resolved in accordance with this agreement. Amounts paid under this Section are in addition to all other amounts due under this Agreement and shall not be offset
against or reduce any other amounts due under this Agreement. 
  

 6 

 10. NON-COMPETITION. 
 (a) Upon any termination of EXECUTIVE’s employment hereunder pursuant to an Event of Termination as provided in Section 4 hereto,
EXECUTIVE agrees not to compete with the BANK for a period of one (1) year following such termination in any city, town or county in which the BANK has an office or has filed an application for regulatory approval to establish an office,
determined as of the effective date of such termination. EXECUTIVE agrees that during such period and within said cities, towns and counties, EXECUTIVE shall not work for or advise, consult or otherwise serve with, directly or indirectly, any entity
whose business materially competes with the depository, lending or other business activities of the BANK. The parties hereto, recognizing that irreparable injury will result to the BANK, its business and property in the event of EXECUTIVE’s
breach of this Subsection 10(a) agree that in the event of any such breach by EXECUTIVE, the BANK will be entitled, in addition to any other remedies and damages available, to an injunction to restrain the violation hereof by EXECUTIVE,
EXECUTIVE’s partners, agents, servants, employers, employees and all persons acting for or with EXECUTIVE. EXECUTIVE represents and admits that in the event of the termination of his employment pursuant to Section 4 hereof,
EXECUTIVE’s experience and capabilities are such that EXECUTIVE can obtain employment in a business engaged in other lines and/or of a different nature than the BANK, and that the enforcement of a remedy by way of injunction will not prevent
EXECUTIVE from earning a livelihood. Nothing herein will be construed as prohibiting the BANK from pursuing any other remedies available to the BANK for such breach or threatened breach, including the recovery of damages from EXECUTIVE. 

(b) EXECUTIVE recognizes and acknowledges that the knowledge of the business activities and plans for business activities of the BANK and
affiliates thereof, as it may exist from time to time, is a valuable, special and unique asset of the business of the BANK. EXECUTIVE will not, during or after the term of his employment, disclose any knowledge of the past, present, planned or
considered business activities of the BANK or affiliates thereof to any person, firm, corporation, or other entity for any reason or purpose whatsoever. Notwithstanding the foregoing, EXECUTIVE may disclose any knowledge of banking, financial and/or
economic principles, concepts or ideas which are not solely and exclusively derived from the business plans and activities of the BANK. In the event of a breach or threatened breach by EXECUTIVE of the provisions of this Section, the BANK will be
entitled to an injunction restraining EXECUTIVE from disclosing, in whole or in part, the knowledge of the past, present, planned or considered business activities of the BANK or affiliates thereof, or from rendering any services to any person,
firm, corporation, other entity to whom such knowledge, in whole or in part, has been disclosed or is threatened to be disclosed. Nothing herein will be construed as prohibiting the BANK from pursuing any other remedies available to the BANK for
such breach or threatened breach, including the recovery of damages from EXECUTIVE. 
 11. SOURCE OF PAYMENTS. 
 All payments provided in this Agreement shall be timely paid in cash or check from the general funds of the BANK. 
  

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 12. EFFECT ON PRIOR AGREEMENTS AND EXISTING BENEFITS PLANS. 
 This Agreement contains the entire understanding between the parties hereto and supersedes any prior employment agreement between the BANK or
any predecessor of the BANK and EXECUTIVE, except that this Agreement shall not affect or operate to reduce any benefit or compensation inuring to EXECUTIVE of a kind elsewhere provided. No provision of this Agreement shall be interpreted to mean
that EXECUTIVE is subject to receiving fewer benefits than those available to him without reference to this Agreement. 
 13. NO
ATTACHMENT. 
 (a) Except as required by law, no right to receive payments under this Agreement shall be subject to anticipation,
commutation, alienation, sale, assignment, encumbrance, charge, pledge, hypothecation, or to execution, attachment, levy, or similar process or assignment by operation of law, and any attempt, voluntary or involuntary, to affect any such action
shall be null, void, and of no effect. 
 (b) This Agreement shall be binding upon, and inure to the benefit of, EXECUTIVE, the
BANK, and its respective successors and assigns. 
 14. MODIFICATION AND WAIVER. 
 (a) This Agreement may not be modified or amended except by an instrument in writing signed by the parties hereto. 
 (b) No term or condition of this Agreement shall be deemed to have been waived, nor shall there by any estoppel against the enforcement of
any provision of this Agreement, except by written instrument of the party charged with such waiver or estoppel. No such written waiver shall be deemed a continuing waiver unless specifically stated therein, and each such waiver shall operate only
as to the specific term or condition waived and shall not constitute a waiver of such term or condition for the future as to any act other than that specifically waived. 
 15. SEVERABILITY. 
 If, for any reason, any provision of this Agreement, or any
part of any provision, is held invalid, such invalidity shall not affect any other provision of this Agreement or any part of such provision not held so invalid, and each such other provision and part thereof shall to the full extent consistent with
law continue in full force and effect. 
  

 8 

 16. HEADINGS FOR REFERENCE ONLY. 
 The headings of sections and paragraphs herein are included solely for convenience of reference and shall not control the meaning or
interpretation of any of the provisions of this Agreement. 
 17. GOVERNING LAW. 
 This Agreement shall be governed by the laws of the State of Montana, unless otherwise specified herein; provided, however, that in the event
of a conflict between the terms of this Agreement and any applicable federal or state law or regulation, the provisions of such law or regulation shall prevail. 
 18. ARBITRATION. 
 Any dispute or controversy arising under or in connection with
this Agreement shall be settled exclusively by arbitration conducted before a panel of three arbitrators sitting in a location selected by the employee within fifty miles from the location of the BANK, in accordance with the rules of the American
Arbitration Association then in effect. Judgment may be entered on the arbitrator’s award in any court having jurisdiction; provided, however, that EXECUTIVE shall be entitled to seek specific performance of his right to be paid until the Date
of Termination during the pendency of any dispute or controversy arising under or in connection with this Agreement. 
 19.
PAYMENT OF LEGAL FEES. 
 All reasonable legal fees paid or incurred by EXECUTIVE pursuant to any dispute or question of
interpretation relating to this Agreement shall be paid or reimbursed by the BANK, to EXECUTIVE, if EXECUTIVE is successful pursuant to a legal judgment, arbitration or settlement. 
 20. INDEMNIFICATION. 
 The BANK shall provide EXECUTIVE (including his heirs, executors and administrators) with coverage under a standard directors’ and officers’ liability insurance policy at its expense, or in lieu thereof, shall indemnify EXECUTIVE
(and his heirs, executors and administrators) to the fullest extent permitted under federal banking laws against all expenses and liabilities reasonably incurred by him in connection with or arising out of any action, suit or proceeding in which he
may be involved by reason of his having been a director or officer of the BANK (whether or not he continues to be a director or officer at the time of incurring such expenses or liabilities), such expenses and liabilities to include, but not be
limited to, judgment, court costs and attorneys’ fees and the cost of reasonable settlements. Notwithstanding anything in this Paragraph 20 to the contrary, the BANK shall not indemnify the EXECUTIVE under any provision of this Agreement for
services performed solely in the EXECUTIVE’s capacity as an executive of any affiliate of the BANK. 
  

 9 

 21. SUCCESSOR TO THE BANK. 
 The BANK shall require any successor or assignee, whether direct or indirect, by purchase, merger, consolidation or otherwise, to all or
substantially all the business or assets of the BANK, expressly and unconditionally to assume and agree to perform the BANK’s obligations under this Agreement, in the same manner and to the same extent that the BANK would be required to perform
if no such succession or assignment had taken place. 
 [REST OF PAGE LEFT INTENTIONALLY BLANK] 
  

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 IN WITNESS WHEREOF, the BANK has caused this Agreement to be executed and its seal to be
affixed hereunto by a duly authorized officer, and EXECUTIVE has signed this Agreement, all on the      day of         , 2009. 
  

							
	ATTEST:	 		 	AMERICAN FEDERAL SAVINGS BANK
				
	  
	 		 	BY:	 	  

	[SEAL]	 		 		 	
				
	WITNESS:	 		 		 	
			
	  
	 		 	  

		 		 	Peter J. Johnson
		 		 	President and Chief Executive Officer,
		 		 	American Federal Savings Bank
		 		 	(“EXECUTIVE”)

  

 11

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