Document:

EX-10.2

 Exhibit 10.2 

EXECUTION COPY 
  

 
  

ASSET PURCHASE AGREEMENT 

DATED AS OF FEBRUARY 5, 2015 

BY AND BETWEEN 
 GENERAL
WIRELESS INC. 
 AND 

RADIOSHACK CORPORATION 

AND 
 THE OTHER PARTIES
SIGNATORY HERETO 
  
  

 

 Table of Contents 

 

							
	 	  	 	  	Page	 
		
	Article I	  			
		
	DEFINITIONS	  			
			
	 Section 1.1
	  	Definitions	  	 	1	  
	 Section 1.2
	  	Other Definitions and Interpretive Matters	  	 	12	  
		
	Article II	  			
		
	PURCHASE AND SALE	  			
			
	 Section 2.1
	  	Purchase and Sale of the Acquired Assets	  	 	13	  
	 Section 2.2
	  	Excluded Assets	  	 	14	  
	 Section 2.3
	  	Assumed Liabilities	  	 	15	  
	 Section 2.4
	  	Excluded Liabilities	  	 	15	  
	 Section 2.5
	  	Assignments	  	 	15	  
	 Section 2.6
	  	Further Assurances	  	 	16	  
		
	Article III	  			
		
	PURCHASE PRICE	  			
			
	 Section 3.1
	  	Purchase Price	  	 	16	  
	 Section 3.2
	  	Closing Date Payment	  	 	16	  
	 Section 3.3
	  	Consideration Adjustment	  	 	17	  
	 Section 3.4
	  	Discharge of Assumed Liabilities After Closing	  	 	19	  
	 Section 3.5
	  	Allocation of Purchase Price	  	 	19	  
	 Section 3.6
	  	Withholding	  	 	19	  
		
	Article IV	  			
		
	CLOSING	  			
			
	 Section 4.1
	  	Closing Date	  	 	20	  
	 Section 4.2
	  	Buyer’s Deliveries	  	 	20	  
	 Section 4.3
	  	Sellers’ Deliveries	  	 	20	  
		
	Article V	  			
		
	REPRESENTATIONS AND WARRANTIES OF SELLERS	  			
			
	 Section 5.1
	  	Organization and Good Standing	  	 	21	  
	 Section 5.2
	  	Authority; Validity; Consents	  	 	21	  
	 Section 5.3
	  	No Conflict	  	 	22	  
	 Section 5.4
	  	Environmental and Health and Safety Matters	  	 	22	  
	 Section 5.5
	  	Title to Acquired Assets; Real Property Leases	  	 	22	  

  
 i 

 Table of Contents (continued) 

 

							
	 	  	 	  	Page	 
			
	 Section 5.6
	  	Taxes	  	 	23	  
	 Section 5.7
	  	Legal Proceedings	  	 	23	  
	 Section 5.8
	  	Compliance with Laws; Permits	  	 	23	  
	 Section 5.9
	  	Sufficiency of Assets; Assigned Agreements	  	 	23	  
	 Section 5.10
	  	Brokers or Finders	  	 	24	  
	 Section 5.11
	  	Condition of Inventory and Equipment	  	 	24	  
	 Section 5.12
	  	Labor and Employment	  	 	24	  
	 Section 5.13
	  	Employee Benefit Plans; Employees	  	 	25	  
	 Section 5.14
	  	SEC Reports	  	 	25	  
	 Section 5.15
	  	Privacy and Data Protection	  	 	26	  
	 Section 5.16
	  	No Other Representations or Warranties	  	 	26	  
		
	Article VI	  			
		
	REPRESENTATIONS AND WARRANTIES OF BUYER	  			
			
	 Section 6.1
	  	Organization and Good Standing	  	 	26	  
	 Section 6.2
	  	Authority; Validity; Consents	  	 	26	  
	 Section 6.3
	  	No Conflict	  	 	27	  
	 Section 6.4
	  	Availability of Funds; Solvency	  	 	27	  
	 Section 6.5
	  	Litigation	  	 	28	  
	 Section 6.6
	  	Brokers or Finders	  	 	28	  
	 Section 6.7
	  	Condition of Acquired Assets; Representations	  	 	28	  
		
	Article VII	  			
		
	ACTION PRIOR TO THE CLOSING DATE	  			
			
	 Section 7.1
	  	Investigation of the Business by Buyer	  	 	28	  
	 Section 7.2
	  	Operations Prior to the Closing Date	  	 	29	  
	 Section 7.3
	  	HSR Act; Reasonable Best Efforts	  	 	30	  
	 Section 7.4
	  	Bankruptcy Court Filings and Approval	  	 	32	  
	 Section 7.5
	  	Bidding Procedures	  	 	33	  
	 Section 7.6
	  	Break-Up Fee; Expense Reimbursement Amount	  	 	34	  
	 Section 7.7
	  	Financing	  	 	34	  
	 Section 7.8
	  	Notification of Certain Matters	  	 	35	  
	 Section 7.9
	  	Employees	  	 	36	  
	 Section 7.10
	  	Damage or Destruction	  	 	36	  
	 Section 7.11
	  	Transition Services Agreement; Identified Party Agreements	  	 	37	  
	 Section 7.12
	  	Letters of Credit	  	 	37	  
		
	Article VIII	  			
		
	ADDITIONAL AGREEMENTS	  			
			
	 Section 8.1
	  	Taxes	  	 	38	  

  
 ii 

 Table of Contents (continued) 

 

							
	 	  	 	  	Page	 
			
	 Section 8.2
	  	Payments Received	  	 	38	  
	 Section 8.3
	  	Assigned Agreements; Adequate Assurance of Future Performance	  	 	39	  
	 Section 8.4
	  	Post-Closing Liabilities	  	 	39	  
	 Section 8.5
	  	Post-Closing Books and Records and Personnel	  	 	39	  
	 Section 8.6
	  	Confidentiality	  	 	40	  
		
	Article IX	  			
		
	CONDITIONS PRECEDENT TO OBLIGATIONS OF BUYER TO CLOSE	  			
			
	 Section 9.1
	  	Accuracy of Representations	  	 	40	  
	 Section 9.2
	  	Sellers’ Performance	  	 	40	  
	 Section 9.3
	  	No Order	  	 	40	  
	 Section 9.4
	  	Governmental Authorizations	  	 	41	  
	 Section 9.5
	  	Sellers’ Deliveries	  	 	41	  
	 Section 9.6
	  	Sale Order	  	 	41	  
	 Section 9.7
	  	Credit Bid	  	 	41	  
	 Section 9.8
	  	Third Party Agreements	  	 	41	  
	 Section 9.9
	  	Debt Financing	  	 	41	  
	 Section 9.10
	  	Level, Mix and Composition of Inventory	  	 	41	  
		
	Article X	  			
		
	CONDITIONS PRECEDENT TO THE OBLIGATION OF SELLERS TO CLOSE	  			
			
	 Section 10.1
	  	Accuracy of Representations	  	 	42	  
	 Section 10.2
	  	Buyer’s Performance	  	 	42	  
	 Section 10.3
	  	No Order	  	 	42	  
	 Section 10.4
	  	Governmental Authorizations	  	 	42	  
	 Section 10.5
	  	Buyer’s Deliveries	  	 	42	  
	 Section 10.6
	  	Sale Order in Effect	  	 	42	  
		
	Article XI	  			
		
	TERMINATION	  			
			
	 Section 11.1
	  	Termination Events	  	 	43	  
	 Section 11.2
	  	Effect of Termination	  	 	45	  
		
	Article XII	  			
		
	GENERAL PROVISIONS	  			
			
	 Section 12.1
	  	Public Announcements	  	 	45	  
	 Section 12.2
	  	Notices	  	 	45	  
	 Section 12.3
	  	Amendment; Waiver	  	 	46	  
	 Section 12.4
	  	Entire Agreement	  	 	47	  

  
 iii 

 Table of Contents (continued) 

 

							
	 	  	 	  	Page	 
			
	 Section 12.5
	  	Assignment	  	 	47	  
	 Section 12.6
	  	Severability	  	 	47	  
	 Section 12.7
	  	Governing Law; Consent to Jurisdiction and Venue; Jury Trial Waiver	  	 	48	  
	 Section 12.8
	  	Counterparts	  	 	49	  
	 Section 12.9
	  	Parties in Interest; No Third Party Beneficiaries	  	 	49	  
	 Section 12.10
	  	Non-Recourse	  	 	49	  
	 Section 12.11
	  	Schedules; Materiality	  	 	49	  
	 Section 12.12
	  	Specific Performance	  	 	49	  
	 Section 12.13
	  	Survival	  	 	50	  

  
 iv 

 SCHEDULES 
  

			
	Schedule 1.1(a)	  	Assigned Agreements
	Schedule 2.1(k)	  	Other Acquired Assets
	Schedule 2.2(d)	  	Excluded Agreements
	Schedule 5.1	  	Jurisdictions
	Schedule 5.4	  	Environmental and Health and Safety Matters
	Schedule 5.5(a)	  	Title to Acquired Assets
	Schedule 5.5(b)	  	Real Property Leases
	Schedule 5.7	  	Legal Proceedings
	Schedule 5.8	  	Compliance with Laws; Permits
	Schedule 5.9(a)	  	Sufficiency of Acquired Assets
	Schedule 5.9(b)	  	Sufficiency and Enforceability of Assigned Agreements
	Schedule 5.10	  	Brokers and Finders
	Schedule 5.11(a)	  	Condition of Inventory
	Schedule 5.11(b)	  	Condition of Equipment
	Schedule 5.12(b)	  	Compliance with Employment Laws
	Schedule 5.12(c)	  	Labor Proceedings
	Schedule 5.13(b)	  	Retiree Benefits
	Schedule 5.13(c)	  	Employee Benefit Plan Claims
	Schedule 5.14	  	SEC Comments
	Schedule 5.15	  	Privacy and Data Protection
	Schedule 7.2	  	Operations Prior to the Closing Date
	Schedule 9.8	  	Third Party Agreements

 EXHIBITS 
  

			
	Exhibit A	  	Form of Bidding Procedures Order
	 Exhibit B
	  	Form of Sale Order

  
 v 

 ASSET PURCHASE AGREEMENT 

THIS ASSET PURCHASE AGREEMENT (this “Agreement”) is made as of February 5, 2015 (the “Effective Date”),
by and between GENERAL WIRELESS INC., a Delaware corporation (“Buyer”), and RADIOSHACK CORPORATION, a Delaware corporation, and its Subsidiaries set forth on Annex A hereto (collectively, “Sellers” and each
individually a “Seller”). Capitalized terms used herein and not otherwise defined herein have the meaning set forth in Article I. 

RECITALS 
 WHEREAS,
Sellers are engaged in the business of operating retail stores in the United States; 
 WHEREAS, Sellers intend to file a voluntary petition
for relief (the “Filing”) commencing a case under chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”); 

WHEREAS, Sellers desire to sell to Buyer all of the Acquired Assets (defined below) and transfer to Buyer the Assumed Liabilities (defined
below) and Buyer desires to purchase from Sellers all of the Acquired Assets and assume all of the Assumed Liabilities, in each case upon the terms and conditions hereinafter set forth; 

WHEREAS, the execution and delivery of this Agreement and Sellers’ ability to consummate the transactions set forth in this
Agreement are subject to, among other things, the entry of the Sale Order under, inter alia, Sections 363 and 365 of the Bankruptcy Code; and 

WHEREAS, the Parties desire to consummate the proposed transaction as promptly as practicable after the Bankruptcy Court enters the Sale
Order. 
 NOW, THEREFORE, in consideration of the premises and the mutual promises herein made, and in consideration of the representations,
warranties and covenants herein contained, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged and intending to be legally bound hereby, the Parties agree as follows: 

ARTICLE I 
 DEFINITIONS

 Section 1.1 Definitions. For purposes of this Agreement, the following terms have the meanings specified or referenced
below. 
 “Acquired Assets” shall have the meaning set forth in Section 2.1. 

“Acquired Store Schedule” shall have the meaning set forth in the definition of Acquired Stores. 

 “Acquired Stores” means (i) the retail stores identified on the
preliminary schedule of acquired stores provided by Buyer to Sellers on February 4, 2015 (the “Acquired Store Schedule”) and (ii) any additional retail stores operated by Sellers in the United States that Buyer
determines, in its sole discretion, to add to the Acquired Store Schedule within 30 days following the Effective Date by providing Sellers with written notice thereof (any stores so added to the Acquired Store Schedule, the “Additional
Acquired Stores”), provided that Buyer shall not be permitted to add Additional Acquired Stores to the Acquired Store Schedule to the extent any such addition would cause the total number of stores identified on the Acquired Store
Schedule to exceed 2,400 stores, but excluding (iii) any retail stores identified on the Acquired Store Schedule that Buyer determines, in its sole discretion, to remove from the Acquired Store Schedule no later than two Business Days
prior to the Auction by providing Sellers with written notice thereof (any stores so removed from the Acquired Store Schedule, the “Excluded Acquired Stores”), provided that Buyer shall not be permitted to reduce the total
number of stores identified on the Acquired Store Schedule below 1,500 stores. For the avoidance of doubt, a single retail store may constitute both an Additional Acquired Store and an Excluded Acquired Store for purposes of the provisions of this
Agreement, in which case such retail store would not constitute an Acquired Store for purposes of this Agreement. 
 “Additional
Acquired Stores” shall have the meaning set forth in the definition of Acquired Stores. 
 “Adjustment Amount”
shall have the meaning set forth in Section 3.3(c)(ii). 
 “Affected Assets” shall have the meaning set forth
in Section 7.10. 
 “Affiliate” means, with respect to any Person, any other Person directly or indirectly
controlling, controlled by, or under common control with, such other Person. For purposes of this definition, “control” when used with respect to any Person means the power to direct the management and policies of such Person, directly or
indirectly, whether through the ownership of voting securities, by contract or otherwise, and the terms “controlling” and “controlled” have correlative meanings. 

“Agreement” shall have the meaning set forth in the Preamble. 

“Allocation Schedule(s)” shall have the meaning set forth in Section 3.5. 

“Alternative Transaction” means a transaction or series of related transactions (whether by asset sale, equity purchase,
merger or otherwise) pursuant to which Sellers enter into an agreement to sell or sell all or any non-de minimis portion of the Acquired Assets (excluding the sale of Inventory by Sellers conducted in the Ordinary Course of Business and any
Permitted Inventory Reduction) or any group of assets that includes all or any non-de minimis portion of the Acquired Assets (excluding the sale of Inventory by Sellers conducted in the Ordinary Course of Business and any Permitted Inventory
Reduction), to a Person other than Buyer, as the highest or best offer, in accordance with the Bidding Procedures Order or otherwise; provided that solely for purposes of determining whether any transaction or series of related transactions
is an “Alternative Transaction”, the Acquired Assets shall not be deemed to include any assets, properties or rights that do not constitute Acquired Assets pursuant to the provisions of this Agreement, including pursuant to the definition
of “Acquired Stores” and Section 7.8, at the time of such determination. 

  
 2 

 “Assigned Agreements” means the Real Property Leases and any other Contracts
listed or described in Schedule 1.1(a) (as may be amended pursuant to Section 7.8). 
 “Assumed Consumer
Liabilities” means all Liabilities of the Business with respect to (i) store or customer credits, sales promotions, rebates, coupons and gift cards and certificates (but only if such Liabilities are required by Law (subject to
Order of the Bankruptcy Court) or by Order of the Bankruptcy Court to be honored by Sellers’ stores immediately prior to the Closing) and (ii) returns of goods or merchandise, customer prepayments and overpayments, customer refunds,
credits, reimbursements and related adjustments with respect to goods or merchandise, in each case that arise from the operation of the Business prior to the Closing, but only to the extent that such Liabilities become payable or are otherwise
required to be honored within thirty (30) days following the Closing. 
 “Assumed Liabilities” shall have the meaning
set forth in Section 2.3. 
 “Auction” shall have the meaning set forth in the Bidding Procedures. 

“Avoidance Actions” means any and all claims for relief of Sellers under chapter 5 of the Bankruptcy Code, or state
fraudulent conveyance, fraudulent transfer or other similar state laws. 
 “Bankruptcy Case” means the bankruptcy case to
be commenced by Sellers under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court. 
 “Bankruptcy Code” means Title
11 of the United States Code, Sections 101 et seq. 
 “Bankruptcy Court” shall have the meaning set forth in
the Recitals. 
 “Bidding Procedures” means the bidding procedures substantially in the form attached as Exhibit 1 to the
Bidding Procedures Order, to be approved by the Bankruptcy Court pursuant to the Bidding Procedures Order. 
 “Bidding Procedures
Order” means the Order of the Bankruptcy Court, pursuant to Sections 105(a), 363 and 365 of the Bankruptcy Code: (a) authorizing and scheduling the Auction; (b) approving procedures for the submission of Qualified
Bids; (c) approving the Break-Up Fee and the Expense Reimbursement Amount; (d) scheduling a hearing to consider approval of such sale; and (e) approving the form and manner of notice of the Auction procedures and
Sale Hearing, which Order shall be substantially in the form attached hereto as Exhibit A with such changes as are not adverse to Buyer or as the Parties may mutually agree. 

“Break-Up Fee” shall have the meaning set forth in Section 7.6(a). 

“Business” means the business of operating the Acquired Stores and other Acquired Assets in substantially the same manner as
operated during the 12-month period prior to the date hereof. 

  
 3 

 “Business Day” means any day of the year, other than a Saturday or Sunday, on
which national banking institutions in New York, New York are open to the public for conducting business and are not required or authorized by Law to close. 

“Buyer” shall have the meaning set forth in the Preamble. 

“Buyer Termination Notice” shall have the meaning set forth in Section 11.1(b)(i). 

“Buyer’s Interim Access Manager” shall have the meaning set forth in Section 7.1. 

“Cash Consideration” means (i) an amount equal to $3,000 multiplied by the number of Acquired Stores, plus
(ii) the amount, if any, by which the amount of the Estimated Credit Bid Consideration exceeds the amount of debt under the Credit Facilities held by Buyer at the Closing. 

“Challenge” shall have the meaning set forth in the definition of Final Order. 

“Claims” means all claims, causes of action, rights of recovery (including rights of indemnity, warranty rights, rights of
contribution, rights to refunds and rights to reimbursement) and rights of set-off, in each case, of whatever kind or description against any Person. 

“Closing” shall have the meaning set forth in Section 4.1. 

“Closing Date” shall have the meaning set forth in Section 4.1. 

“Closing Legal Impediment” shall have the meaning set forth in Section 9.3. 

“COBRA” means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended and as codified in Section 4980B of
the Code and Part 6 of Subtitle B of Title I of ERISA. 
 “Code” means the Internal Revenue Code of 1986, as amended. 

“Contract” means any contract, agreement, undertaking, lease, sublease, license, sublicense, sales order, purchase order or
other commitment, whether written or oral (including commitments to enter into any of such), that is binding on any Person or any part of its property under applicable Law. 

“Credit Bid” means a credit by the Buyer against an amount of debt under the Credit Facilities held by Buyer equal to the
lesser of (x) Credit Bid Consideration and (y) the amount of debt under the Credit Facilities held by Buyer at the Closing pursuant to Section 363(k) of the Bankruptcy Code. 

“Credit Bid Consideration” means an amount equal to (i) the aggregate Inventory Value with respect to the
Acquired Stores as of the Closing, provided that the calculation of “Credit Bid Consideration” shall not include any Inventory Value with respect to any Acquired Store in respect of Inventory at such Acquired Store as of the Closing
that is in excess of the Projected Inventory for such Acquired Store, plus (ii) an amount equal to the amount of Petty Cash, minus (iii) the aggregate amount of all Assumed Consumer Liabilities, minus
(iv) the aggregate amount of all Damage or Destruction Losses and Equipment Losses determined pursuant to Section 7.10. 

  
 4 

 “Credit Facilities” means the DIP Credit Facility and the credit facilities
established under the Pre-Petition Credit Agreement. 
 “Cure Costs” means amounts that must be paid and obligations that
otherwise must be satisfied, including pursuant to Sections 365(b)(1)(A) and (B) of the Bankruptcy Code, in connection with the assumption and/or assignment of the Assigned Agreements, as determined by the Bankruptcy Court pursuant to the
procedures in the Bidding Procedures Order. 
 “Damage or Destruction Loss” shall have the meaning set forth in
Section 7.10. 
 “Debt Financing” means debt financing in an amount and on terms satisfactory to Buyer in its
sole discretion. 
 “Debt Financing Commitment” means a binding financing commitment (including pursuant to a commitment
letter) pursuant to which one or more lenders have committed to provide Buyer with the Debt Financing, subject to the terms and conditions therein. 

“DIP Credit Agreement” means that certain Debtor-In-Possession Credit Agreement to be entered into by and among RadioShack
Corporation, the other persons party thereto that are designated as credit parties, Cantor Fitzgerald Securities, as agent for all lenders, and the other financial institutions party thereto as lenders. 

“DIP Credit Facility” means the credit facilities established under the DIP Credit Agreement. 

“Divestiture Action” shall have the meaning set forth in Section 7.3(c). 

“Documents” means (a) all books, records, files, invoices, inventory records, product specifications, customer
lists and other customer-related information, cost and pricing information, supplier lists, business plans, personnel records, catalogs, customer literature, quality control records and manuals and credit records of customers and
(b) Marketing Materials, in each case of clauses (a) and (b) relating to the Business, any Acquired Store, any Acquired Asset or any Transferred Employee, in each case including all data and other information stored on hard
drives (including those located on remote servers, whether operated by Sellers or by third-party providers), discs, tapes or other media. 

“DOJ” shall have the meaning set forth in Section 7.3(a). 

“Effective Date” shall have the meaning set forth in the Preamble. 

“Employee Benefit Plan” means any “employee benefit plan” (as defined in ERISA § 3(3)) and any other
benefit or compensation plan, program, agreement or arrangement maintained, sponsored, or contributed or required to be contributed to by any Seller or any ERISA Affiliate or with respect to which any Seller or any ERISA Affiliate has any Liability.

  
 5 

 “Encumbrance” means any charge, lien, claim, mortgage, lease, sublease,
hypothecation, deed of trust, pledge, security interest, option, right of use or possession, right of first offer or first refusal, easement, servitude, restrictive covenant, encroachment, encumbrance, or other similar restriction of any kind. 

“Environmental, Health and Safety Laws” shall have the meaning set forth in Section 5.4(a). 

“Equipment” means all furniture, trade fixtures, equipment, computers, servers, telephones, laptop computers, machinery,
apparatus, appliances, implements, signage, office supplies and all other tangible personal property of every kind and description owned by Sellers. 

“Equipment Loss” shall have the meaning set forth in Section 7.10. 

“Equity Commitment Letter” shall have the meaning set forth in Section 6.4(a). 

“Equity Commitment Party” shall have the meaning set forth in Section 6.4(a). 

“Equity Financing” shall have the meaning set forth in Section 6.4(a). 

“ERISA” means the Employee Retirement Income Security Act of 1974, as amended, and all Laws issued thereunder. 

“ERISA Affiliate” means any Person that, at any relevant time, is or was treated as a single employer with any Seller for
purposes of Code § 414. 
 “Escrow Account” shall have the meaning set forth in Section 3.2. 

“Escrow Agent” means a bank to be agreed in good faith by the Parties promptly after the Effective Date. 

“Escrow Agreement” means an escrow agreement, to be dated as of the Closing date, by and among Buyer, RadioShack Corporation
and the Escrow Agent, in the form to be agreed reasonably and in good faith by the Parties promptly after the Effective Date. 

“Escrow Deposit” means the lesser of $10,000,000 and the amount by which Cash Consideration paid at Closing was increased
pursuant to clause (ii) of the definition of Cash Consideration. 
 “Estimated Credit Bid Consideration” shall have
the meaning set forth in Section 3.3(a). 
 “Exchange Act” means the Securities Exchange Act of 1934, as
amended. 
 “Excluded Acquired Stores” shall have the meaning set forth in the definition of Acquired Stores. 

“Excluded Assets” shall have the meaning set forth in Section 2.2. 

“Excluded Liabilities” shall have the meaning set forth in Section 2.4. 

  
 6 

 “Expense Reimbursement Amount” shall have the meaning set forth in
Section 7.6(a). 
 “Filing” shall have the meaning set forth in the Recitals. 

“Final Credit Bid Consideration” shall have the meaning set forth in Section 3.3(b). 

“Final Order” means an action taken or order issued by the applicable Governmental Authority (a) as to which no
appeal, notice of appeal, motion to amend or make additional findings of fact, motion to alter or amend judgment, motion for rehearing or motion for new trial, request for stay, motion or petition for reconsideration, application or request for
review, or other similar motion, application, notice or request (collectively, a “Challenge”) has been timely filed, or, if any of the foregoing has been timely filed, it has been disposed of in a manner that upholds and affirms the
subject order in all respects without the possibility for further Challenge thereon; or (b) as to which the time for instituting or filing a Challenge shall have expired. 

“Financing” shall have the meaning set forth in Section 6.4(a). 

“FTC” shall have the meaning set forth in Section 7.3(a). 

“Governmental Authority” means any United States federal, state, municipal or local or any foreign government, governmental
agency or authority, or regulatory or administrative authority, or any court, tribunal or judicial body having jurisdiction, including the Bankruptcy Court. 

“Governmental Authorization” means any approval, consent, license, permit, waiver or other authorization issued, granted or
otherwise made available by or under the authority of any Governmental Authority. 
 “Hazardous Substance” means any
“toxic substance,” “hazardous pollutant,” “hazardous waste,” “hazardous material” or “hazardous substance” under any Environmental, Health and Safety Laws. 

“HSR Act” means the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and the relevant rules and regulations
thereunder. 
 “Identified Party” shall have the meaning set forth in Section 9.8. 

“Inventory” means all finished goods and other merchandise held for retail sale or lease, including those held for display or
demonstration or out on lease or consignment. 
 “Inventory Value” means, with respect to any Acquired Store, an amount
equal to the product of (x) 85%, multiplied by (y) the book value of “Eligible Inventory” (as such term is defined in the DIP Credit Agreement) located at such Acquired Store as of the Closing, calculated on a basis
consistent with the valuation of the book value inventory included in the SEC Reports and the Sellers’ ledgers provided to Buyer prior to the date hereof. 

“IRS” means the Internal Revenue Service. 

  
 7 

 “IT Systems” means the information technology systems (including related
hardware and software) used in the operation of the Business. 
 “Knowledge” means, with respect to any matter in question,
in the case of Sellers, the knowledge, after reasonable inquiry, of Robert Donohoo, Justin Johnson and Kevin Krautkramer, with respect to such matter. 

“Law” means any foreign or domestic law, statute, code, ordinance, rule, regulation, order, judgment, writ, stipulation,
award, injunction or decree by any Governmental Authority. 
 “Letter of Credit” shall have the meaning set forth in the
DIP Credit Agreement or the Pre-Petition Credit Agreement (as applicable). 
 “L/C Reimbursement Obligation” shall have the
meaning set forth in the DIP Credit Agreement or the Pre-Petition Credit Agreement (as applicable). 
 “Liability” means
any debt, loss, claim, damage, demand, fine, judgment, penalty, liability or obligation (whether known or unknown, asserted or unasserted, absolute or contingent, accrued or unaccrued, liquidated or unliquidated, or due or to become due). 

“Marketing Materials” means all marketing materials, marketing research data, customer and sales information, product
literature, promotional materials and data, advertising and display materials (including all underlying designs, samples, charts, diagrams, photos and electronic files related to the foregoing) and all training materials, in each case in whatever
form or medium (e.g., audio, visual, digital or print) held in any Seller’s name and related to any Acquired Store or Acquired Asset as of the Closing Date. 

“Material Adverse Effect” means any effect, change, condition, circumstance, development or event that, individually or in
the aggregate with all other effects, changes, conditions, circumstances, developments and events (a) has had, or would reasonably be expected to have, a material adverse effect on the Business (excluding the Excluded Assets and the
Excluded Liabilities), taken as a whole, excluding any effect, change, condition, circumstance, development or event that results from or arises out of: (i) the execution and delivery of this Agreement or the announcement thereof or the
pendency or consummation of the transactions contemplated hereby; (ii) geopolitical conditions or any outbreak or escalation of hostilities or acts of terrorism or war or any effect, change or event that is otherwise generally applicable
to the industries and markets in which Sellers operate; (iii) any hurricane, tornado, flood, earthquake or other natural disaster; (iv) changes in (or proposals to change) Laws or accounting regulations or principles;
(v) the Filing or any announced liquidation of the Sellers or their assets; (vi) any WARN announcements; or (vii) any action expressly contemplated by this Agreement or taken at the written request of Buyer;
provided, however, that in the case of clauses (ii), (iii) and (iv) of this paragraph, such effects, changes or events shall be taken into account in determining whether any material adverse effect has occurred to the extent
that any such effects, changes or events have, or would reasonably be expected to have, a disproportionate effect on the Business (excluding the Excluded Assets and the Excluded Liabilities) as compared to other similarly situated businesses or
(b) would reasonably be expected to prevent or materially impair the ability of Sellers to consummate the transactions contemplated by this Agreement. 

  
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 “Multiemployer Plan” means any “multiemployer plan” (as defined in
ERISA § 3(37)) contributed to by any Seller or any ERISA Affiliate or with respect to which any Seller or any ERISA Affiliate has any Liability. 

“Order” means any award, writ, injunction, judgment, order or decree entered, issued, made or rendered by any Governmental
Authority. 
 “Ordinary Course of Business” means the operation of the Business in the ordinary and usual course consistent
with past practice and custom of Sellers. 
 “Outside Date” shall have the meaning set forth in
Section 11.1(a)(iii). 
 “Party” or “Parties” means, individually or collectively, Buyer and
Sellers. 
 “Permits” means all franchises, grants, authorizations, licenses, permits, easements, variances, exceptions,
consents, certificates, approvals, clearances and Orders of a Governmental Authority that are necessary for Sellers to own, lease and operate the Acquired Stores and Acquired Assets or to carry on the Business as it is now being conducted. 

“Permitted Encumbrances” means (a) Encumbrances for utilities and current Taxes not yet due and payable,
(b) immaterial materialmans’, mechanics’, artisans’, shippers’, warehousemans’, landlords’ or other similar common law or statutory liens incurred in the Ordinary Course of Business,
(c) Encumbrances that do not materially impair the value of or interfere with the use of the assets to which they relate, and (d) with respect to real property, zoning restrictions, building codes and other land use laws
regulating the use or occupancy of real property, and defects of title, easements, rights of way, covenants and restrictions that do not, individually or in the aggregate, materially impair the use of such real property. 

“Permitted Inventory Reduction” means a reduction in Inventory at any Acquired Store, solely for the purpose of reducing such
Inventory to a level that is not materially less than the Projected Inventory for such Acquired Store, and only to the extent that the mix and composition of Inventory at such Acquired Store prior to such reduction is substantially the same as the
mix and composition of Inventory at such Acquired Store following such reduction. 
 “Person” means any individual,
corporation (including any non-profit corporation), partnership, limited liability company, joint venture, estate, trust, association, organization or other entity or Governmental Authority. 

“Petty Cash” means petty cash and register cash located at any Acquired Store as of immediately prior to the Closing. 

“Pre-Paid Expenses” means all deposits and prepaid charges and expenses of Sellers as of the Closing Date to the extent
related to an Assigned Agreement and after applying any such deposits, prepaid charges and expenses against any Cure Costs payable to the third party to whom such deposits, prepaid charges and expenses were paid. 

  
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 “Pre-Petition Credit Agreement” means the Credit Agreement, dated as of
December 10, 2013 and as amended, among RadioShack Corporation, certain subsidiaries of RadioShack Corporation that are designated as credit parties, the lenders party thereto and Cantor Fitzgerald Securities (as successor to GE Capital), as
agent for such lenders. 
 “Proceeding” means any action, arbitration, audit, hearing, investigation, litigation, or suit
(whether civil, criminal, administrative or investigative) commenced, brought, conducted, or heard by or before, or otherwise involving, any Governmental Authority, other than an Avoidance Action. 

“Projected Inventory” means, with respect to an Acquired Store, the level, mix and composition of Inventory projected to be
at such Acquired Store as of the Closing by mutual agreement of the Buyer and Seller within ten (10) days following the date hereof. 

“Qualified Bid” shall have the meaning set forth in the Bidding Procedures. 

“Real Property Leases” means all leases, subleases and other occupancy Contracts pursuant to which Sellers or their
Affiliates use or occupy any real property of any Acquired Store. 
 “Release” means any spilling, leaking, pumping,
pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping or disposing of a Hazardous Substance into the environment. 

“Representative” means, with respect to a particular Person, any director, officer, employee, agent, consultant, advisor or
other representative of such Person, including legal counsel, accountants and financial advisors. 
 “Retained
Subsidiaries” means all direct and indirect Subsidiaries of Seller. 
 “Sale Hearing” means the hearing conducted
by the Bankruptcy Court to approve the transactions contemplated by this Agreement. 
 “Sale Order” means an Order of the
Bankruptcy Court approving this Agreement and the transactions contemplated hereby, which Order shall be substantially in the form attached hereto as Exhibit B with such changes as are not adverse to Buyer or as the Parties may mutually
agree. 
 “SEC Reports” shall have the meaning set forth in Section 5.14. 

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

“Sellers” and “Seller” shall have the meaning set forth in the Preamble. 

“Sellers Termination Notice” shall have the meaning set forth in Section 11.1(c)(i). 

“Sellers’ Interim Access Manager” shall have the meaning set forth in Section 7.1. 

  
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 “Subsidiary” means any entity with respect to which a specified Person (or a
Subsidiary thereof) has the power, through the ownership of securities or otherwise, to elect a majority of the directors or similar managing body. 

“Successful Bidder” shall have the meaning set forth in the Bidding Procedures. 

“Tax” or “Taxes” means any federal, state, provincial, local, municipal, foreign or other income,
alternative, minimum, add-on minimum, accumulated earnings, personal holding company, franchise, capital stock, net worth, capital, profits, intangibles, windfall profits, gross receipts, value added, sales, use, goods and services, excise, customs
duties, transfer, conveyance, mortgage, registration, stamp, documentary, recording, premium, severance, environmental (including taxes under Section 59A of the Code), natural resources, real property, personal property, ad valorem,
intangibles, rent, occupancy, license, occupational, employment, unemployment insurance, social security, disability, workers’ compensation, payroll, health care, withholding, estimated or other similar tax, duty, levy or other governmental
charge or assessment or deficiency thereof (including all interest and penalties thereon and additions thereto), in each case imposed by any Governmental Authority. 

“Tax Return” means any return, declaration, report, claim for refund, information return or other document (including any
related or supporting estimates, elections, schedules, statements, or information) filed with or required to be filed with any Governmental Authority in connection with the determination, assessment or collection of any Tax or the administration of
any laws, regulations or administrative requirements relating to any Tax. 
 “Term Sheets” shall have the meaning set forth
in Section 9.8. 
 “Third Party” means a Person who or which is neither a Party nor an Affiliate of a Party.

 “Transaction Documents” means this Agreement and any other agreements, instruments or documents entered into pursuant to
this Agreement. 
 “Transfer Taxes” shall have the meaning set forth in Section 8.1(a). 

“Transferred Employee” shall have the meaning set forth in Section 7.9. 

“Transition Services Agreement” means a transition services agreement (including all schedules thereto), to be dated as of
the Closing date, by and among Buyer and certain of the Sellers, in a form that is acceptable to each of the Parties in its sole discretion (it being understood that certain services thereunder may be provided from Sellers to Buyer and/or from Buyer
to Sellers, including with respect to assets set forth on Schedule 2.1(k)). 
 “Treasury Regulations” means the
regulations promulgated by the U.S. Treasury Department pursuant to the Code. 
 “WARN Act” means the Worker Adjustment and
Retraining Notification Act of 1988, as amended, any similar Law, and the rules and regulations thereunder. 

  
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 Section 1.2 Other Definitions and Interpretive Matters. 

(a) Unless otherwise indicated to the contrary in this Agreement by the context or use thereof: 

(i) When calculating the period of time before which, within which or following which any act is to be done or step taken
pursuant to this Agreement, the date that is the reference date in calculating such period shall be excluded. If the last day of such period is a day other than a Business Day, the period in question shall end on the next succeeding Business Day.

 (ii) Any reference in this Agreement to $ means U.S. dollars. 

(iii) Unless the context otherwise requires, all capitalized terms used in the Exhibits and Schedules shall have the respective
meanings assigned in this Agreement. No reference to or disclosure of any item or other matter in the Exhibits and Schedules shall be construed as an admission or indication that such item or other matter is material or that such item or other
matter is required to be referred to or disclosed in the Exhibits and Schedules. No disclosure in the Exhibits and Schedules relating to any possible breach or violation of any Contract or Law shall be construed as an admission or indication that
any such breach or violation exists or has actually occurred. Any information, item or other disclosure set forth in any Schedule shall be deemed to have been set forth in all other applicable Schedules if the relevance of such disclosure to such
other Schedule is reasonably apparent from the facts specified in such disclosure. All Exhibits and Schedules attached or annexed hereto or referred to herein are hereby incorporated in and made a part of this Agreement as if set forth in full
herein. 
 (iv) Any reference in this Agreement to gender includes all genders, and words importing the singular number also
include the plural and vice versa. 
 (v) The provision of a table of contents, the division of this Agreement into Articles,
Sections and other subdivisions and the insertion of headings are for convenience of reference only and shall not affect or be utilized in the construction or interpretation of this Agreement. All references in this Agreement to any
“Section”, “Article”, “Schedule” or “Exhibit” are to the corresponding Section, Article, Schedule or Exhibit of or to this Agreement unless otherwise specified. 

(vi) Words such as “herein,” “hereof” and “hereunder” refer to this
Agreement as a whole and not merely to a subdivision in which such words appear, unless the context otherwise requires. 

(vii) The word “including” or any variation thereof means “including, without limitation,”
and shall not be construed to limit any general statement that it follows to the specific or similar items or matters immediately following it. 

(b) No Strict Construction. Buyer, on the one hand, and Sellers, on the other hand, participated jointly in the negotiation and
drafting of this Agreement, and, in the event an ambiguity or question of intent or interpretation arises, this Agreement shall be construed as jointly drafted by Buyer, on the one hand, and Sellers, on the other hand, and no presumption or burden
of proof shall arise favoring or disfavoring any Party by virtue of the authorship of any 

  
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provision of this Agreement. Without limitation as to the foregoing, no rule of strict construction construing ambiguities against the draftsperson shall be applied against any Person with
respect to this Agreement. 
 ARTICLE II 

PURCHASE AND SALE 

Section 2.1 Purchase and Sale of the Acquired Assets. Upon the terms and subject to the conditions of this Agreement, on the
Closing Date, Sellers shall sell, transfer, assign, convey and deliver, or cause to be sold, transferred, assigned, conveyed and delivered, to Buyer, and Buyer shall purchase, all right, title and interest of Sellers in, to or under (collectively,
excluding any Excluded Assets, the “Acquired Assets”): 
 (a) all Inventory located at any Acquired Store as
of immediately prior to the Closing; 
 (b) all Equipment located at any Acquired Store as of immediately prior to the
Closing; 
 (c) all Assigned Agreements and all Avoidance Actions against any current or former supplier, vendor or landlord
of the Sellers or the Business who is a party to an Assigned Agreement; 
 (d) all Petty Cash; 

(e) all Permits and pending applications therefor; 

(f) all Pre-Paid Expenses; 

(g) all goodwill associated with the Acquired Assets; 

(h) all Documents (other than those described in Section 2.2(c)) to the extent available and permitted by
applicable Laws; 
 (i) all Claims (other than returns of merchandise for warranty claims) to the extent arising out of, or
relating to, any Acquired Store or Acquired Asset; 
 (j) all rights of Sellers under non-disclosure or confidentiality,
non-compete, or non-solicitation agreements relating to the Business, any Acquired Store or any Acquired Asset (or any portion thereof); and 

(k) any other assets, properties and rights listed on Schedule 2.1(k). 

  
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 Section 2.2 Excluded Assets. Notwithstanding anything herein to the contrary, the
Acquired Assets shall not include any of the following (collectively, the “Excluded Assets”): 
 (a) each
Seller’s rights under this Agreement and the Transaction Documents (including the right to receive the Purchase Price delivered to Sellers pursuant to this Agreement); 

(b) other than Petty Cash, all cash and cash equivalents, including checks, commercial paper, treasury bills, certificates of
deposit and other bank deposits, securities, securities entitlements, instruments and other investments of Sellers and all bank accounts and securities accounts; 

(c) all Documents prepared in connection with this Agreement or the transactions contemplated hereby or primarily relating to
the Bankruptcy Case, all minute books, corporate records (such as stock registers) and organizational documents of Sellers and the Retained Subsidiaries, Tax Returns, other Tax work papers, and all other Documents not related to the Business, the
Acquired Stores, the Acquired Assets or the Transferred Employees; 
 (d) any Contract that is not an Assigned Agreement,
including the Contracts listed on Schedule 2.2(d), which Schedule may be modified in accordance with Section 7.8; 

(e) any Tax refunds, rebates or credits of Sellers; 

(f) all Claims and Proceedings of Sellers (other than Claims described in Section 2.1(i)); 

(g) other than as set forth in Section 2.1(c), the Avoidance Actions; 

(h) all employees of the Sellers (other than Transferred Employees), all Employee Benefit Plans and all funding vehicles and
assets of all Employee Benefit Plans; 
 (i) any security deposits or pre-paid expenses (other than the Pre-Paid Expenses);

 (j) all insurance policies and binders, all claims, refunds and credits from insurance policies or binders due or to
become due with respect to such policies or binders and all rights to proceeds thereof (other than as described in Section 2.1(i)); 

(k) all shares of capital stock or other equity interests of any Seller or Retained Subsidiary or securities convertible into
or exchangeable or exercisable for shares of capital stock or other equity interests of any Seller, Retained Subsidiary or any other Person; 

  
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 (l) other than as described in Sections 2.1(a), 2.1(b) or
2.1(k), all Inventory and Equipment located at any distribution centers or retail stores operated by Sellers or any franchisees or licensees of Sellers; 

(m) all real property owned by any Seller, including all facilities, fixtures and improvements thereon; and 

(n) any assets, properties and rights of any Sellers other than the Acquired Assets. 

Section 2.3 Assumed Liabilities. Upon the terms and subject to the conditions of this Agreement, at the Closing, Buyer shall
assume and agree to perform and discharge, when due (in accordance with their respective terms and subject to the respective conditions thereof), the following Liabilities (collectively, the “Assumed Liabilities”): 

(a) all Liabilities arising from the ownership of the Acquired Assets and the operation of the Acquired Stores by Buyer after
the Closing, it being understood and agreed that, subject to Sections 2.3(b) and (c), Liabilities arising from the ownership of the Acquired Assets or the operation of the Acquired Stores prior to the Closing (including the sale of Inventory
by Sellers and their Affiliates prior to the Closing) shall not constitute Assumed Liabilities regardless of when the obligation to pay such Liabilities arises; 

(b) all Assumed Consumer Liabilities; 

(c) the Cure Costs associated with any Assigned Agreements; and 

(d) all Liabilities under the Assigned Agreements arising after the Closing. 

Section 2.4 Excluded Liabilities. Notwithstanding any provision in this Agreement to the contrary, Buyer shall not assume and
shall not be obligated to assume or be obliged to pay, perform or otherwise discharge, and Sellers shall be solely and exclusively liable with respect to, any Liability of any Seller or Retained Subsidiary that is not an Assumed Liability (such
Liabilities, collectively, the “Excluded Liabilities”). 
 Section 2.5 Assignments. Sellers shall transfer and
assign all Assigned Agreements and Permits to Buyer, and Buyer shall assume all Assigned Agreements and Permits from Sellers, as of the Closing pursuant to, inter alia, Section 365 of the Bankruptcy Code and the Sale Order. To the
maximum extent permitted by the Bankruptcy Code or other applicable Law, the Assigned Agreements and Permits shall be assumed by Sellers and assigned to Buyer as of the Closing Date. Notwithstanding anything to the contrary in this Agreement, to the
extent that the assignment to Buyer of any Assigned Agreement or Permit is not permitted by Law or is not permitted without the consent of another Person and, in the case of the Assigned Agreements and Permits that are the subject of
Section 365 of the Bankruptcy Code and the Sale Order, as applicable, such restriction cannot be effectively overridden or canceled by the Sale Order, or other related order of the Bankruptcy Court, then this Agreement will not be deemed to
constitute an assignment or an undertaking or attempt to assign the same or any right or interest therein if such consent is not given and the Closing shall proceed with respect to the remaining 

  
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Assigned Agreements and Permits without any reduction in the Purchase Price, provided, however, that Sellers will use their commercially reasonable efforts to obtain any such
consents to assign such Assigned Agreements and Permits to Buyer. 
 Section 2.6 Further Assurances. At the Closing, Sellers
shall execute and deliver to Buyer such other instruments of transfer as shall be reasonably necessary or appropriate to vest in Buyer good and indefeasible title to the Acquired Assets free and clear of all Encumbrances (other than Permitted
Encumbrances) and to comply with the purposes and intent of this Agreement and such other instruments as shall be reasonably necessary or appropriate to evidence the assignment by Sellers and assumption by Buyer of the Assigned Agreements, and each
of Sellers, on the one hand, and Buyer, on the other hand, shall use its commercially reasonable efforts to take, or cause to be taken, all appropriate action, do or cause to be done all things necessary, proper or advisable under applicable Law,
and execute and deliver such documents and other papers, as may be required to consummate the transactions contemplated by this Agreement at or after the Closing; provided that nothing in this Section 2.6 shall prohibit Sellers
from ceasing operations or winding up their affairs following the Closing. In furtherance and not in limitation of the foregoing, in the event that any of the Acquired Assets shall not have been conveyed at Closing, Sellers shall use commercially
reasonable efforts to convey such Acquired Assets to Buyer as promptly as practicable after the Closing, and pending such conveyance shall provide the applicable benefits thereof to Buyer in a manner consistent in all material respects with past
practice. Prior to the Closing, the Parties shall cooperate in good faith to identify any Acquired Assets that may not be able to be conveyed at Closing. 

ARTICLE III 
 PURCHASE PRICE

 Section 3.1 Purchase Price. The purchase price for the purchase, sale, assignment and conveyance of Sellers’ right,
title and interest in, to and under the Acquired Assets shall consist of: 
 (a) cash in the amount of the Cash
Consideration; plus 
 (b) a credit against an amount of debt under the Credit Facilities held by Buyer equal to the lesser
of (x) the Estimated Credit Bid Consideration and (y) the amount of debt under the Credit Facilities held by Buyer at the Closing pursuant to Section 363(k) of the Bankruptcy Code; plus or minus 

(c) the amount, if any, of the difference between the Final Credit Bid Consideration and the Estimated Credit Bid
Consideration, which amount shall be added to, or subtracted from, the purchase price in accordance with Section 3.3; plus 

(d) the assumption of the Assumed Liabilities (including all Cure Costs associated with the Assigned Agreements). 

Section 3.2 Closing Date Payment. At the Closing, Buyer shall (i) pay to Sellers cash by wire transfer of immediately
available funds in an amount equal to the Cash Consideration minus the Escrow Deposit, (ii) credit an amount of debt under the Credit Facilities held by Buyer 

  
 16 

 
equal to the lesser of (x) the Estimated Credit Bid Consideration and (y) the amount of debt under the Credit Facilities held by Buyer at the Closing pursuant to
Section 363(k) of the Bankruptcy Code, and (iii) deposit an amount equal to the Escrow Deposit into an escrow account (the “Escrow Account”) maintained by the Escrow Agent pursuant to the Escrow Agreement. 

Section 3.3 Consideration Adjustment. 

(a) At least two Business Days prior to the Closing Date, Sellers shall prepare and deliver to Buyer a statement consisting of Sellers’
good faith estimate of (a) the aggregate Inventory Value and Petty Cash for the Acquired Stores and (b) the amount of the Assumed Consumer Liabilities and a calculation of estimated Credit Bid Consideration based thereon and
Section 7.10 (the “Estimated Credit Bid Consideration”), together with reasonable evidence supporting such good faith estimate. 

(b) Within sixty (60) days following the Closing Date, Buyer shall prepare and deliver to Sellers a statement setting forth
(a) the aggregate Inventory Value and Petty Cash for the Acquired Stores and (b) the amount of the Assumed Consumer Liabilities and a calculation of Credit Bid Consideration based thereon, together with reasonable evidence
supporting such statement. Such statement shall become final, binding and conclusive upon Sellers and Buyer on the 30th day following Sellers’ receipt of such statement, unless prior to such
30th day Sellers deliver to Buyer a written notice disputing the aggregate Inventory Value or Petty Cash for the Acquired Stores or the amount of the Assumed Consumer Liabilities in such statement
and setting forth the amount that Sellers believe represent (a) the aggregate Inventory Value and Petty Cash for the Acquired Stores and (b) the amount of the Assumed Consumer Liabilities and a calculation of Credit Bid
Consideration based thereon. If Sellers deliver such a dispute notice, then Buyer and Sellers shall seek in good faith to agree upon the amount of (a) the aggregate Inventory Value and Petty Cash for the Acquired Stores and
(b) the amount of the Assumed Consumer Liabilities and a calculation of Credit Bid Consideration based thereon during the ten-day period beginning on the date Buyer receives such dispute notice. If such an agreement cannot be reached
during such ten-day period, then, within ten days thereafter, Buyer, on the one hand, and Sellers, on the other hand, shall jointly engage and submit the unresolved dispute to a nationally recognized independent registered public accounting firm
appointed by mutual agreement of Buyer and Sellers, or, if they are unable to agree, selected by the Bankruptcy Court. Buyer and Sellers shall use their reasonable best efforts to cause such firm to issue its written determination regarding
(a) the aggregate Inventory Value and Petty Cash for the Acquired Stores and (b) the amount of the Assumed Consumer Liabilities and a calculation of Credit Bid Consideration based thereon within fifteen days after such
dispute is submitted and such firm shall make a determination in a manner consistent with the definitions of Inventory Value, Petty Cash, Assumed Consumer Liabilities and Credit Bid Consideration and in no event shall the determination of such
amount be outside the range of Buyer’s and Sellers’ disagreement. Each Party shall use its reasonable best efforts to furnish to such firm such work papers and other documents and information pertaining to (a) the aggregate
Inventory Value and Petty Cash for the Acquired Stores and (b) the amount of the Assumed Consumer Liabilities as such firm may reasonably request. The determination of such firm shall be final, binding and conclusive upon Buyer and
Sellers absent manifest error. The fees, expenses and costs of such firm shall be borne equally by Buyer, on the one hand, and Sellers, on the other hand. The Credit Bid Consideration as finally determined hereunder and pursuant to
Section 7.10 shall be referred to as the “Final Credit Bid Consideration”. 

  
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 (c) Within two Business Days after the Final Credit Bid Consideration is determined pursuant to
Section 3.3(b) and Section 7.10: 
 (i) if the Final Credit Bid Consideration exceeds the Estimated
Credit Bid Consideration, then the entire amount of the Escrow Account will be released to Sellers as provided below and the Buyer shall credit an amount equal to such excess against the amount of debt under the Credit Facilities held by Buyer as of
such time, provided that if the amount of debt under the Credit Facilities held by Buyer as of such time is insufficient to cover such excess, then such shortfall amount shall instead be payable by Buyer in cash by wire transfer of
immediately available funds to the account or accounts specified by the Sellers; 
 (ii) if the Estimated Credit Bid
Consideration exceeds the Final Credit Bid Consideration (the “Adjustment Amount”), then (A) if the amount of Cash Consideration paid at Closing was increased pursuant to clause (ii) of the definition of Cash
Consideration, an amount equal to the Adjustment Amount will be released from the Escrow Account to Buyer as provided below and, to the extent the amount in the Escrow Account prior to such release is less than the Adjustment Amount, Sellers shall
pay to Buyer an amount equal to the amount by which the Adjustment Amount exceeds the amount in the Escrow Account prior to such release, in cash by wire transfer of immediately available funds, with any amount remaining in the Escrow Account to be
concurrently released to Sellers as provided below (provided that if the Adjustment Amount exceeds the amount by which Cash Consideration paid at Closing was increased pursuant to clause (ii) of the definition of Cash Consideration,
then, in lieu of a portion of the required cash payment equal to such excess amount, the amount of debt under the Credit Facilities held by Buyer that was reduced pursuant to clause (ii) of Section 3.2 at the Closing shall be
reinstated to the extent of such excess amount with all of the rights and priorities accorded such obligations under the Credit Facilities and the orders of the Bankruptcy Court approving such Facility, with any such amount remaining in the Escrow
Account to be concurrently released to Sellers as provided below) and (B) if the amount of Cash Consideration paid at Closing was not increased pursuant to clause (ii) of the definition of Cash Consideration, the amount of debt
under the Credit Facilities held by Buyer that was reduced pursuant to clause (ii) of Section 3.2 at the Closing shall be reinstated to the extent of the Adjustment Amount with all of the rights and priorities accorded such
obligations under the Credit Facilities and the orders of the Bankruptcy Court approving such Facility, with the amount in the Escrow Account to be concurrently released to Sellers as provided below; and 

(iii) the Parties will provide joint written instructions to the Escrow Agent in accordance with the Escrow Agreement to cause
the Escrow Agent to release all funds from the Escrow Account to the Party or Parties entitled to receive such amounts as determined pursuant to this Section 3.3(c). 

  
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 (d) Each Party shall use its reasonable best efforts to provide promptly to the other Parties all
information and reasonable access to employees as such other Parties shall reasonably request in connection with review of the calculation of the Estimated Credit Bid Consideration and Final Credit Bid Consideration, including all work papers of the
accountants who audited, compiled or reviewed such determinations. 
 Section 3.4 Discharge of Assumed Liabilities After
Closing. Following the Closing, Buyer shall pay, perform or satisfy the Assumed Liabilities from time to time and as such Assumed Liabilities become due and payable or are required to be performed or satisfied in accordance with their respective
terms. 
 Section 3.5 Allocation of Purchase Price. 

(a) No later than one hundred twenty (120) days following the Closing Date, Buyer shall deliver to Sellers allocation schedule(s)
allocating the Purchase Price (as may be adjusted pursuant to the terms of this Agreement) among the Acquired Assets of each Seller, including (i) the Assumed Liabilities to the extent such Liabilities are required to be treated as part
of the purchase price for Tax purposes and (ii) allocations between the Cash Consideration and Credit Bid Consideration (the “Allocation Schedule(s)”); provided that all such allocations shall be made in
accordance with Section 1060 of the Code and the regulations thereunder. The Allocation Schedule(s) shall be revised in accordance with Section 1060 of the Code and the regulations thereunder to appropriately take into account any
additional payments made under this Agreement. 
 (b) In administering any Proceeding, the Bankruptcy Court shall not be required to apply
the Allocation Schedule(s) in determining the manner in which the Purchase Price should be allocated as between any of the Sellers and their respective estates. Buyer and Sellers will each file all Tax Returns (including IRS Forms 8594) consistent
with the Allocation Schedule(s) established in accordance with this Section 3.5. Sellers, on the one hand, and Buyer, on the other hand, each agree to provide the other promptly with any other information required to complete IRS Forms
8594. Neither Buyer nor any Seller shall take any Tax position inconsistent with such Allocation Schedule(s), and neither Buyer nor any Seller shall agree to any proposed adjustment based upon or arising out of Allocation Schedule(s) by any
Governmental Authority without first giving the other Party prior written notice; provided, however, that nothing contained herein shall prevent Buyer or any Seller from settling any proposed deficiency or adjustment by any
Governmental Authority based upon or arising out of the Allocation Schedule(s), and neither Buyer nor any Seller shall be required to litigate before any court any proposed deficiency or adjustment by any Governmental Authority based upon or arising
out of such Allocation Schedule(s). 
 Section 3.6 Withholding. If Buyer is required by applicable Laws to withhold or deduct
any amount of Tax from the payment of the Purchase Price hereunder, then Buyer shall withhold or deduct (and, to the extent required by applicable Laws, remit to the appropriate Governmental Authority) the amount of any such Tax and such withheld
amount (to the extent remitted to the appropriate Governmental Authority) shall be treated for all purposes of this Agreement as having been paid to Sellers. 

  
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 ARTICLE IV 

CLOSING 
 Section 4.1
Closing Date. Upon the terms and subject to the conditions hereof, the closing of the sale of the Acquired Assets and the assumption of the Assumed Liabilities contemplated hereby (the “Closing”) shall take place at the
offices of Debevoise & Plimpton LLP, 919 Third Avenue, New York, New York, no later than the third (3rd) Business Day following the date on which the conditions set forth in Article IX and Article X have been satisfied or
(if permissible) waived (other than the conditions which by their nature are to be satisfied by actions taken at the Closing, but subject to the satisfaction or (if permissible) waiver of such conditions), or at such other place or time as Buyer and
the Sellers may mutually agree. The date and time at which the Closing actually occurs is referred to as the “Closing Date.” 

Section 4.2 Buyer’s Deliveries. At the Closing, Buyer shall deliver to Sellers: 

(a) the cash payment in accordance with clause (i) of Section 3.2; 

(b) the Transition Services Agreement, duly executed by Buyer; 

(c) the Escrow Agreement, duly executed by Buyer; 

(d) each other Transaction Document to which Buyer is a party, duly executed by Buyer; 

(e) the certificates of Buyer to be received by Sellers pursuant to Sections 10.1 and 10.2; and 

(f) such assignments and other good and sufficient instruments of assumption and transfer, in form reasonably satisfactory to
Sellers, as Sellers may reasonably request to transfer and assign the Acquired Assets and Assumed Liabilities to Buyer. 
 Section 4.3
Sellers’ Deliveries. At the Closing, Sellers shall deliver to Buyer: 
 (a) the Transition Services Agreement,
duly executed by each applicable Seller; 
 (b) the Escrow Agreement, duly executed by each applicable Seller; 

(c) each other Transaction Document to which any Seller is a party, duly executed by each applicable Seller; 

(d) physical possession of all of the Acquired Assets; 

  
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 (e) originals (or, to the extent originals are not available, copies) of all
Assigned Agreements and Permits (together with all amendments, supplements or modifications thereto) to the extent not already located at the Acquired Stores; 

(f) a certified copy of the Sale Order entered by the Bankruptcy Court; 

(g) the certificates of Sellers to be received by Buyer pursuant to Sections 9.1, 9.2 and 9.10; 

(h) a certificate of non-foreign status executed by each Seller (or, if applicable, a direct or indirect owner of a Seller)
that is not a disregarded entity for U.S. federal income tax purposes, prepared in accordance with Treasury Regulation Section 1.1445-2(b); and 

(i) such bills of sale, special warranty deeds, endorsements, assignments, UCC terminations and other filings and other good
and sufficient instruments, in form reasonably satisfactory to Buyer, as Buyer may reasonably request to vest in Buyer all the right, title and interest of Sellers in, to or under any or all of the Acquired Assets free and clear of Encumbrances
other than Permitted Encumbrances. 
 ARTICLE V 

REPRESENTATIONS AND WARRANTIES OF SELLERS 

Except (a) as set forth in the SEC Reports prior to the Effective Date ((x) only to the extent of disclosure in such SEC Reports the
relevance of which to the applicable representation or warranty is reasonably apparent on its face and (y) excluding, in each case, any disclosures set forth in any risk factor section or in any other section to the extent they are
forward-looking statements or cautionary, predictive or forward-looking in nature) or (b) as set forth in the corresponding numbered section of the Schedules, Sellers hereby represent and warrant to Buyer that the statements contained in this
Article V are true and correct: 
 Section 5.1 Organization and Good Standing. Each Seller is an entity duly
organized, validly existing and in good standing under the Laws of the jurisdiction of its organization. Subject to the limitations imposed on such Seller as a result of the Filing, each Seller has the requisite corporate or limited liability
company power and authority to own or lease and to operate and use its properties and to carry on the Business as now conducted. Except as set forth on Schedule 5.1, each Seller is duly qualified or licensed to do business and are in good
standing in each jurisdiction where the character of its business or the nature of its properties makes such qualification or licensing necessary, except for such failures to be so qualified or licensed or in good standing as would not, individually
or in the aggregate, have a Material Adverse Effect. 
 Section 5.2 Authority; Validity; Consents. Sellers have, subject to
requisite Bankruptcy Court approval, as applicable, the requisite corporate or limited liability company power and authority necessary to enter into and perform their respective obligations under this Agreement and the other Transaction Documents to
which each such Seller is a party and to consummate the transactions contemplated hereby and thereby. This Agreement has been duly and validly executed and delivered by Sellers and each other Transaction Document required to

  
 21 

 
be executed and delivered by Sellers at the Closing will be duly and validly executed and delivered by Sellers at the Closing. Subject to requisite Bankruptcy Court approval, as applicable, this
Agreement and the other Transaction Documents constitute, with respect to Sellers, the legal, valid and binding obligations of Sellers, enforceable against Sellers in accordance with their respective terms, except as such enforceability is limited
by bankruptcy, insolvency, reorganization, moratorium or similar laws now or hereafter in effect relating to creditors’ rights generally or general principles of equity. Subject to, and after giving effect to, requisite Bankruptcy Court
approval (including the Bidding Procedures Order and the Sale Order), as applicable, and except (a) as required to comply with the HSR Act, (b) for entry of the Sale Order and (c) for notices, filings and consents
required in connection with the Bankruptcy Case, Sellers are not required to give any notice to, make any filing with or obtain any consent from any Person (including any Governmental Authority) in connection with the execution and delivery of this
Agreement and the other Transaction Documents or the consummation or performance of any of the transactions contemplated hereby and thereby, except for such notices, filings and consents, the failure of which to provide, make or obtain, would not,
individually or in the aggregate, have a Material Adverse Effect. 
 Section 5.3 No Conflict. When the Sale Order and the
consents and other actions described in Section 5.2 have been obtained and taken, the execution and delivery of this Agreement and the other Transaction Documents and the consummation of the transactions provided for herein and therein
will not result in the material breach of any of the terms and provisions of, or constitute a material default under, or materially conflict with, or require consent or the giving of notice under, or cause any acceleration of any material obligation
of Sellers under (a) any Order, (b) any Law or (c) the organizational documents of any Seller. 

Section 5.4 Environmental and Health and Safety Matters. Except as set forth on Schedule 5.4: 

(a) the current operations of the Business comply with all applicable Laws concerning environmental, health or safety matters
(“Environmental, Health and Safety Laws”), and Sellers have not received written notice alleging that the activities of the Business are in violation of any Environmental Health and Safety Laws; and 

(b) no Seller has caused any, and, to Sellers’ Knowledge, there has been no, Release of any Hazardous Substances that
requires reporting under applicable Environmental, Health and Safety Laws at any of the Acquired Stores, and, to Sellers’ Knowledge, none of the Acquired Stores has been used by any Person as a landfill or storage, treatment or disposal site
for any type of Hazardous Substance or non-hazardous solid wastes as defined under the Resource Conservation and Recovery Act of 1976, as amended. 

Section 5.5 Title to Acquired Assets; Real Property Leases. 

(a) Immediately prior to Closing, Sellers will have, and, upon delivery to Buyer on the Closing Date of the instruments of transfer
contemplated by Section 4.3, and subject to the terms of the Sale Order, Sellers will thereby transfer to Buyer, good title to, or, in the case of property leased by Sellers, a valid leasehold interest in, all of the Acquired Assets,
free and clear of all Encumbrances, except (i) as set forth on Schedule 5.5(a) and (ii) for Permitted Encumbrances. 

  
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 (b) Immediately prior to Closing, Sellers will have, and upon delivery to Buyer on the Closing
Date of the instruments of transfer contemplated by Section 4.3, and subject to the terms of the Sale Order, Sellers will thereby transfer to Buyer, valid leasehold interests in the Real Property Leases sufficient to conduct the Business
in all material respects as currently conducted, free and clear of all Encumbrances, except (i) as set forth on Schedule 5.5(b) and (ii) for Permitted Encumbrances. 

Section 5.6 Taxes. There are no Liens for Taxes on any of the Acquired Assets other than Permitted Encumbrances. 

Section 5.7 Legal Proceedings. As of the date hereof, except for the Bankruptcy Case and as set forth on Schedule 5.7,
there is no Proceeding or Order pending, outstanding or, to Sellers’ Knowledge, threatened against any Seller that (a) seeks to restrain or prohibit or otherwise challenge the consummation, legality or validity of the transactions
contemplated hereby or (b) would have, individually or in the aggregate, a Material Adverse Effect. 
 Section 5.8
Compliance with Laws; Permits. Except as set forth in Schedule 5.8, (i) Sellers are not, and since January 1, 2012, have not been in violation in any material respect of any Law applicable to the operation of the
Business, (ii) the conduct of the Business by Sellers as conducted as of the date hereof does not infringe or otherwise violate any Person’s intellectual property rights and no claims with respect to such infringement or violation
are pending or, to Sellers’ Knowledge, threatened in writing against Sellers and (iii) Sellers hold all material Permits required for Sellers to conduct the Business as it is currently conducted. 

Section 5.9 Sufficiency of Assets; Assigned Agreements. 

(a) Except as set forth on Schedule 5.9(a), the Acquired Assets (disregarding for this purpose only Section 2.1(k)) and the
Assigned Agreements as constituted on the date hereof, when taken together with the services to be provided pursuant to the Transition Services Agreement, (i) constitute all of the privileges, rights, interests, properties and assets of
the Sellers of every kind and description and wherever located that are material or necessary for the continued conduct of the Business following the Closing as conducted as of the date hereof and (ii) are sufficient to operate the
Business following the Closing in substantially the same manner as conducted as of the date hereof. Schedule 5.9(a) sets forth each insurance policy held by any Seller or Retained Subsidiary relating to the physical properties, assets,
business, operation and employees relating to the Business, the Acquired Stores or the Acquired Assets. 
 (b) Other than as disclosed on
Schedule 1.1(a) (as amended from time to time in accordance with the terms of this Agreement) and Schedule 2.2(d) (as amended from time to time in accordance with the terms of this Agreement), there is no outstanding Contract to which
any Seller or Retained Subsidiary is a party that primarily relates to the Business or any Acquired Store or is otherwise material to the operation of the Business following the Closing in substantially the same manner as conducted as of the date
hereof. Each Contract listed in Schedule 1.1(a) or Schedule 2.2(d) is in full force and effect and is a valid and binding obligation 

  
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of the applicable Seller(s) and, to Sellers’ Knowledge, the other parties thereto, in accordance with its terms and conditions, in each case except (a) as such enforceability may
be limited by bankruptcy, insolvency, reorganization, moratorium or similar laws now or hereafter in effect relating to creditors’ rights generally or general principles of equity and (b) as set forth on Schedule 5.9(b).
Sellers have made available to Buyer correct and complete copies of each Contract listed in Schedule 1.1(a) or Schedule 2.2(d). Assuming that each such Contract were to be listed on Schedule 1.1(a) as of the Closing, upon
entry of the Sale Order and payment of the Cure Costs and except as set forth on Schedule 5.9(b), (i) no Seller will be in breach or default of its obligations under any such Contract, (ii) no condition exists that
with notice or lapse of time or both would constitute a default by any Seller under any such Contract and (iii) to Sellers’ Knowledge, no other party to any such Contract is in breach or default thereunder. 

Section 5.10 Brokers or Finders. Except as set forth on Schedule 5.10 hereof, Sellers have not incurred any obligation or
liability, contingent or otherwise, for brokerage or finders’ fees or agents’ commissions or other similar payment in connection with this Agreement, the other Transaction Documents or the transactions contemplated hereby or thereby for
which Buyer is or will become liable, and Sellers shall indemnify and hold harmless Buyer from any claims with respect to any such fees or commissions. 

Section 5.11 Condition of Inventory and Equipment. 

(a) Except as set forth on Schedule 5.11(a), all Inventory located at the Acquired Stores is of a quality or condition usable or
saleable at prevailing market prices in the ordinary course of the operation of the Business and free of any known defect or other deficiency. Since January 1, 2012, none of the Sellers or any of their Affiliates has, whether voluntarily or as
a result of any action by any Governmental Authority or trade or consumer group, generally recalled or withdrawn (or been requested to recall or withdraw) a product for any reason, including any manufacturing or labeling defect or any other product
safety issue, or issued any press release or public statements advising its customers or consumers of its products to treat such products in any manner other than in the ordinary course. 

(b) Except as set forth on Schedule 5.11(b), all Equipment located at the Acquired Stores is in good general state of repair and good
working order sufficient to carry out the functions for which it is currently being used and has no structural defects, and there are no conditions with respect to such Equipment that currently require material repairs or replacements. The Equipment
located at the Acquired Stores has been constructed and installed in material compliance with all applicable Laws. 
 Section 5.12
Labor and Employment. 
 (a) No Seller is party to any collective bargaining agreement nor does any Seller have any relationship with
any union, labor organization, works council or other similar employee representative. There is no labor strike, slowdown, work stoppage or other labor dispute pending or, to Sellers’ Knowledge, threatened against any Seller. 

(b) Except as set forth on Schedule 5.12(b), Sellers are in compliance in all material respects with all laws relating to employment,
employment practices and the employment of 

  
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labor, and have not engaged in any unfair labor practice or unlawful employment practice. In addition, to Sellers’ Knowledge, there are no pending or unremedied grievances or pending or
unremedied unfair labor practices or other employment-related proceedings against any Seller. 
 (c) Except as set forth on Schedule
5.12(c), no Seller has within the last three (3) years received written notice of any material representation proceeding or unfair labor practice charge or complaint against it before, or that could come before, the National Labor Relations
Board or any similar Governmental Authority and, to Sellers’ Knowledge, there is no material threatened unfair labor practice charge or complaint or representation proceeding before, or that could come before, the National Labor Relations Board
or other Governmental Authority or union organizing or decertification activity. 
 Section 5.13 Employee Benefit Plans;
Employees. 
 (a) No Seller nor any ERISA Affiliate thereof contributes to or has any liability with respect to any Multiemployer Plan.
No Seller nor any ERISA Affiliate thereof has any liability on account of a “partial withdrawal” or a “complete withdrawal” (within the meaning of Sections 4205 and 4203 of ERISA, respectively) from any Multiemployer Plan, no
such Liability has been asserted, and there are no facts or circumstances (including the consummation of the transactions contemplated by this Agreement) that could result in any such partial or complete withdrawal or the assertion of any such
Liability. 
 (b) Except as set forth on Schedule 5.13(b), no Seller nor any ERISA Affiliate thereof maintains or has any current or
potential liability under any Employee Benefit Plan (whether qualified or non-qualified under Section 401(a) of the Code) providing for retiree health, life insurance or other retiree welfare benefits, except as may be required by COBRA or
other applicable similar statute. 
 (c) Except as set forth on Schedule 5.13(c), there are no pending or, to Sellers’
Knowledge, threatened claims, suits, audits or investigations related to any Employee Benefit Plan (other than non-material, routine claims for benefits). 

Section 5.14 SEC Reports. The Sellers have filed or furnished, as applicable, on a timely basis, all forms, statements,
certifications, reports and documents required to be filed or furnished by it with the SEC pursuant to the Exchange Act or the Securities Act on or after December 31, 2011 (the forms, statements, certifications, reports and documents filed or
furnished since such date and those filed or furnished subsequent to the date hereof, including any amendments thereto, the “SEC Reports”). Each of the SEC Reports complied as to form in all material respects with the applicable
requirements of the Securities Act and the Exchange Act, and any rules and regulations promulgated thereunder applicable to the SEC Reports. As of their respective dates, the SEC Reports did not contain any untrue statement of a material fact or
omit to state a material fact required to be stated therein or necessary to make the statements made therein, in light of the circumstances in which they were made, not misleading. Except as set forth on Schedule 5.14, as of the date of
this Agreement, there are no material outstanding or unresolved comments received from the SEC with respect to any of the SEC Reports. The consolidated inventory of the Sellers set forth in the SEC Reports was stated therein in accordance with GAAP
applied on a consistent basis throughout the periods indicated (except as 

  
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may be indicated in the notes thereto and in the case of unaudited quarterly financial statements, as permitted by Form 10-Q under the Exchange Act) and presents fairly, in all material respects,
the consolidated inventory of the Sellers as of the respective dates thereof (subject, in the case of unaudited financial statements, to normal period end adjustments). Reserves for markdowns, shortage, salvage, lower of cost or market, obsolete,
excess, damaged or otherwise unsaleable and unusable inventory have been reflected in the SEC Reports in accordance with GAAP applied on a consistent basis throughout the periods indicated (except as may be indicated in the notes thereto and in the
case of unaudited quarterly financial statements, as permitted by Form 10-Q under the Exchange Act). 
 Section 5.15 Privacy and
Data Protection. Except as set forth on Schedule 5.15, the Sellers have taken commercially reasonable security measures in accordance with normal industry practice to protect the IT Systems against intrusion. Since January 1, 2012,
(i) the IT Systems have not suffered any material failure, and (ii) there have not been any security breaches relating to the IT Systems that have resulted in a third Person obtaining access to any material confidential or
proprietary information relating to the Business or the Acquired Stores or personal identifiable information of the customers of the Business or Acquired Stores. The Sellers are in material compliance with any posted privacy policies and any Laws
relating to personal data or other information. None of the Sellers or Retained Subsidiaries have any policies prohibiting the transfer of personally identifiable information about individuals to persons that are not affiliated with the Sellers or
Retained Subsidiaries. 
 Section 5.16 No Other Representations or Warranties. Buyer acknowledges that, except for the
representations and warranties contained in Article V, neither Sellers nor any other Person on behalf of Sellers makes any express or implied representation or warranty with respect to Sellers or with respect to any information provided by or
on behalf of Sellers to Buyer. 
 ARTICLE VI 

REPRESENTATIONS AND WARRANTIES OF BUYER 

Buyer hereby represents and warrants to Sellers that the statements contained in this Article VI are true and correct: 

Section 6.1 Organization and Good Standing. Buyer is a corporation, duly organized, validly existing and in good standing under
the laws of the State of Delaware. Buyer has the requisite power and authority to own or lease and to operate and use its properties and to carry on its business as now conducted. 

Section 6.2 Authority; Validity; Consents. Buyer has the requisite power and authority necessary to enter into and perform its
obligations under this Agreement and the other Transaction Documents to which it is a party and to consummate the transactions contemplated hereby and thereby. The execution, delivery and performance of this Agreement by Buyer and the consummation
by Buyer of the transactions contemplated herein have been duly and validly authorized by all requisite corporate actions in respect thereof. This Agreement has been duly and validly executed and delivered by Buyer and each other Transaction
Document to which Buyer is a party will be duly and validly executed and delivered by Buyer at the Closing. This 

  
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Agreement and the other Transaction Documents to which Buyer is a party constitute the legal, valid and binding obligation of Buyer, enforceable against Buyer in accordance with their respective
terms, except as such enforceability is limited by bankruptcy, insolvency, reorganization, moratorium or similar laws now or hereafter in effect relating to creditors’ rights generally or general principles of equity. Subject to requisite
Bankruptcy Court approval, as applicable, and except as required to comply with the HSR Act, Buyer is not and will not be required to give any notice to or obtain any consent from any Person in connection with the execution and delivery of this
Agreement and the other Transaction Documents to which it is a party or the consummation or performance of any of the transactions contemplated hereby or thereby. 

Section 6.3 No Conflict. When the consents and other actions described in Section 6.2 have been obtained and taken,
the execution and delivery of this Agreement and the other Transaction Documents and the consummation of the transactions provided for herein and therein will not result in the breach of any of the terms and provisions of, or constitute a default
under, or conflict with, or cause any acceleration of any obligation of Buyer under (a) any agreement, indenture, or other instrument to which it is bound, (b) the certificate incorporation of Buyer, (c) any Order
or (d) any Law. 
 Section 6.4 Availability of Funds; Solvency. 

(a) Buyer has delivered to the Sellers a true and complete copy of an executed commitment letter from Standard General Master Fund L.P. (the
“Equity Commitment Party”) to Buyer (the “Equity Commitment Letter”) to provide equity financing in the form of contributions of cash and debt under the Credit Facilities to Buyer in exchange for equity securities
to be issued to the Equity Commitment Party (the “Equity Financing” and, together with the Debt Financing, the “Financing”). As of the date hereof, the Equity Commitment Letter, in the form so delivered, is in full
force and effect and is a valid and binding obligation of Buyer subject to the terms and conditions therein. No event has occurred which, with or without notice, lapse of time or both, would constitute a default or breach on the part of Buyer or the
Equity Commitment Party under the Equity Commitment Letter. Other than as expressly set forth in the Equity Commitment Letter, there are no conditions precedent or other contingencies to the Equity Commitment Party’s obligation to fund the
Equity Financing. 
 (b) Assuming the conditions set forth in Article IX are satisfied and that Buyer shall have received the
Financing at or prior to the Closing, Buyer will have at the Closing sufficient cash in immediately available funds to pay the Cash Consideration, and any other costs, fees and expenses required to be paid by it under this Agreement and the other
Transaction Documents. 
 (c) As of the Closing and immediately after consummating the transactions contemplated by this Agreement and the
other transactions contemplated by the Transaction Documents, Buyer will not, assuming the accuracy of Sellers’ representations and warranties under this Agreement, (i) be insolvent (either because its financial condition is such
that the sum of its debts is greater than the fair value of its assets or because the present fair value of its assets will be less than the amount required to pay its probable Liability on its debts as they become absolute and matured),
(ii) have unreasonably small capital with which to engage in its business or (iii) have incurred or plan to incur debts beyond its ability to repay such debts as they become absolute and matured. 

  
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 Section 6.5 Litigation. There are no Proceedings pending or, to the knowledge of
Buyer, threatened, that would affect in any material respect Buyer’s ability to perform its obligations under this Agreement or any other Transaction Documents or to consummate the transactions contemplated hereby or thereby. 

Section 6.6 Brokers or Finders. Neither Buyer nor any Person acting on behalf of Buyer has paid or become obligated to pay any fee
or commission to any broker, finder, investment banker, agent or intermediary for or on account of the transactions contemplated by this Agreement for which Sellers are or will become liable, and Buyer shall hold harmless and indemnify Sellers from
any claims with respect to any such fees or commissions. 
 Section 6.7 Condition of Acquired Assets; Representations.
Notwithstanding anything contained in this Agreement to the contrary (but without limiting in any manner Section 7.10 or Section 9.10), Buyer acknowledges and agrees that Sellers are not making any representations or warranties
whatsoever, express or implied, beyond those expressly given by Sellers in Article V (subject to the disclosures set forth on the Schedules), and Buyer acknowledges and agrees that, except for the representations and warranties contained therein,
the Acquired Assets are being transferred on a “where is” and, as to condition, “as is” basis. Buyer acknowledges that it has conducted to its satisfaction its own independent investigation of the Business and, in making the
determination to proceed with the transactions contemplated by this Agreement, Buyer has relied on the results of its own independent investigation. In connection with Buyer’s investigation, Buyer has received or may receive from Sellers
certain projections, forward-looking statements and other forecasts and certain business plan information. Buyer acknowledges that there are uncertainties inherent in attempting to make such estimates, projections and other forecasts and plans, that
Buyer is familiar with such uncertainties, that Buyer is taking full responsibility for making its own evaluation of the adequacy and accuracy of all estimates, projections and other forecasts and plans so furnished to it (including the
reasonableness of the assumptions underlying such estimates, projections, forecasts or plans), and that Buyer shall have no claim against anyone with respect thereto. Accordingly, Buyer acknowledges that Sellers make no representation or warranty
with respect to such estimates, projections, forecasts or plans (including the reasonableness of the assumptions underlying such estimates, projections, forecasts or plans). 

ARTICLE VII 
 ACTION PRIOR TO
THE CLOSING DATE 
 Section 7.1 Investigation of the Business by Buyer. 

(a) After the Effective Date and prior to the Closing Date, Sellers shall, in accordance with reasonable procedures to be established in good
faith by mutual agreement of Sellers’ Interim Access Manager and Buyer’s Interim Access Manager, (a) afford Buyer’s authorized Representatives access during normal business hours to the offices, properties, key employees,
outside accountants, agreements and other documentation and financial records (including 

  
 28 

 
computer files, retrieval programs and similar documentation) with respect to the Business to the extent Buyer reasonably deems necessary, and permit Buyer and its authorized Representatives to
make copies of such materials, (b) furnish to Buyer or its authorized Representatives such additional information concerning the Business as shall be reasonably requested by Buyer or its authorized Representatives, and
(c) use commercially reasonable efforts to cause their outside accountants and outside counsel to cooperate with Buyer in its investigation; provided that Buyer shall submit to Sellers requests for such access, information or
cooperation, including reasonable detail regarding the requested access, information or cooperation, a reasonable period in advance of the time at which such access, information or cooperation is to be provided, and all such requests shall be
submitted only to the individual designated in writing by Sellers as Sellers’ designated representative, or to such other individuals as such designated individual may designate from time to time to receive such requests (“Sellers’
Interim Access Manager”). Such requests of Buyer shall be submitted only by the individual designated in writing by Buyer or another individual reasonably acceptable to Sellers’ Interim Access Manager as successor thereto, as
Buyer’s designated representative (“Buyer’s Interim Access Manager”). Notwithstanding anything herein to the contrary, no such access, information or cooperation shall be permitted or required to the extent that it would
require Sellers to disclose information subject to attorney-client privilege or would be prohibited by Law or would otherwise contravene any antitrust or competition Law. 

(b) After the Effective Date and prior to the Closing Date, Sellers shall, and shall cause their Subsidiaries to, promptly following
Buyer’s request, seek and use their respective reasonable best efforts to arrange such meetings and telephone conferences with material suppliers and vendors of Sellers and their Subsidiaries as may be reasonably requested by the Buyer and
necessary and appropriate for the Buyer to coordinate transition of such suppliers and vendors to the Business following the Closing. 

Section 7.2 Operations Prior to the Closing Date. Sellers covenant and agree that, except (i) as expressly
contemplated by this Agreement, (ii) as disclosed in Schedule 7.2, (iii) with the prior written consent of Buyer (which consent, other than with respect to Section 7.2(b)(ii), shall not be unreasonably
withheld or delayed), (iv) as required by the Bankruptcy Court or (v) as otherwise required by Law, after the Effective Date and prior to the Closing Date: 

(a) Sellers shall use commercially reasonable efforts, taking into account Sellers’ status as debtors-in-possession in the Bankruptcy
Case, to carry on the Business in the Ordinary Course of Business, to maintain in full force and effect the Permits, to maintain and preserve the Acquired Assets in their present condition (including by using its reasonable best efforts to renew any
Assigned Agreements that come up for renewal in the Ordinary Course of Business), other than reasonable wear and tear and sales of Inventory in the Ordinary Course of Business, and to keep intact the business relationships relating to the Acquired
Stores and the Acquired Assets; and, without limiting the generality of the foregoing, 
 (b) Sellers shall not: 

(i) other than the sale of Inventory in the Ordinary Course of Business, any Permitted Inventory Reduction or pursuant to any
debtor-in-possession financing or cash collateral agreement or order, sell, lease (as lessor), transfer (including the transfer from 

  
 29 

 
an Acquired Store to a non-Acquired Store) or otherwise dispose of, or mortgage or pledge, or voluntarily impose or suffer to be imposed any Encumbrance (other than Assumed Liabilities and
Permitted Encumbrances) on, any Acquired Asset; 
 (ii) amend, modify, terminate, waive any rights under or create any
Encumbrance with respect to, any of the Assigned Agreements or otherwise take any actions not required by the terms of any Assigned Agreement that would result in any increase in any payments to be made under such Assigned Agreement; 

(iii) except in the Ordinary Course of Business, cancel or compromise any material claim or waive or release any material
right, in each case, that is a claim or right related to an Acquired Asset; or 
 (iv) enter into any agreement or commitment
to take any action prohibited by this Section 7.2. 
 (c) Sellers shall cause each Acquired Store to have a sufficient amount of
Petty Cash as of the Closing to conduct its operations in the Ordinary Course of Business following the Closing. 
 (d) Sellers shall use
their reasonable best efforts to cause the level, composition and mix of Inventory at each Acquired Store to be consistent with the Projected Inventory for such Acquired Store and the saleable condition of such Inventory as of the Closing to be
consistent with the saleable condition of such Inventory as of the date of this Agreement. 
 (e) Without in any way limiting any
Party’s rights or obligations under this Agreement, the Parties understand and agree that (i) nothing contained in this Agreement shall give Buyer, directly or indirectly, the right to control or direct the operations of Sellers or
the Business prior to the Closing and (ii) prior to the Closing, Sellers shall exercise, consistent with, and subject to, the terms and conditions of this Agreement, complete control and supervision over the Business and their operations
to the extent permitted by Law, including taking into account Sellers’ status as debtors-in-possession in the Bankruptcy Case. Notwithstanding anything herein to the contrary, Sellers shall be permitted to take all actions that are necessary or
desirable to comply with the Worker Adjustment and Retraining Notification Act and WARN Act, including providing any notices required under the WARN Act, and no such actions shall constitute a violation of this Section 7.2. 

Section 7.3 HSR Act; Reasonable Best Efforts. 

(a) Subject to Section 7.3(c), as promptly as practicable following the Effective Date, Sellers, on the one hand, and Buyer, on
the other hand, shall each prepare and file, or cause to be prepared and filed, any notifications required to be filed under the HSR Act with the United States Federal Trade Commission (the “FTC”) and the Department of Justice (the
“DOJ”), if applicable, and request early termination of the waiting period under the HSR Act. Buyer, on the one hand, and Sellers, on the other hand, shall as soon as reasonably practicable respond to any requests for additional
information in connection with such filings and shall take all other actions necessary to cause the waiting periods under the HSR Act to terminate or expire at the earliest practicable date after the date of filing. Buyer shall be responsible for
payment of the applicable filing fee under the HSR Act. 

  
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 (b) In addition to the actions to be taken under Section 7.3(a), Sellers, on the one
hand, and Buyer, on the other hand, shall use their respective reasonable best efforts to take, or cause to be taken, all actions, and to do, or cause to be done, and to assist and cooperate with the other in doing, all things necessary, proper or
advisable to consummate and make effective, in the most expeditious manner reasonably practicable, the transactions contemplated hereby, including using reasonable best efforts to accomplish the following: (i) the taking of all
reasonable acts necessary to cause the conditions precedent set forth in Article IX and Article X to be satisfied, (ii) the obtaining of all necessary Governmental Authorizations and the making of all necessary
registrations, declarations and filings (including registrations, declarations and filings with Governmental Authorities, if any) and the taking of all steps as may be necessary to avoid any Proceeding by any Governmental Authority,
(iii) the defending of any Proceedings challenging this Agreement or the consummation of the transaction contemplated hereby, including seeking to have any stay or temporary restraining order entered by any court or other Governmental
Authority vacated or reversed, and (iv) the execution or delivery of any additional instruments necessary to consummate the transactions contemplated hereby and to fully carry out the purposes of this Agreement. Without limiting the
foregoing, each Seller shall cause any applicable Retained Subsidiary that holds any Purchased Assets to transfer such Purchased Assets to a Seller prior to the Closing. 

(c) If required by the FTC, the DOJ or other Governmental Authority in order to obtain clearance under or to terminate any waiting period
required by the HSR Act or to avoid the entry of, or to effect the dissolution of, any Order that would have the effect of preventing or delaying the Closing beyond the Outside Date, Buyer will propose, negotiate, offer to commit and effect (and if
such offer is accepted, commit to and effect), by consent decree, hold separate Order or otherwise, the sale, divestiture or disposition of Acquired Assets or otherwise offer to take or offer to commit to take any action which it is capable of
taking (collectively, a “Divestiture Action”), and if the offer is accepted, take or commit to take, such action. Buyer will promptly advise Sellers of any Divestiture Action required by the FTC, the DOJ or other Governmental
Authority and any negotiations with respect thereto. For purposes of this Section 7.3, a Divestiture Action will be considered “required” by the FTC, the DOJ or other Governmental Authority only if and to the extent that Buyer
has been notified by the FTC, the DOJ, or such other Governmental Authority that the failure or refusal to take such Divestiture Action would result in the filing of Proceedings seeking an Order that prohibits, prevents or restricts consummation of
the transactions contemplated by this Agreement. 
 (d) Sellers, on the one hand, and Buyer, on the other hand, (i) shall
promptly inform each other of any communication from any Governmental Authority concerning this Agreement, the transactions contemplated hereby, and any filing, notification or request for approval and (ii) shall permit the other to
review in advance any proposed written or material oral communication or information submitted to any such Governmental Authority in response thereto and shall discuss and attempt to reasonably account for any comments or suggestions of the other
Party (in each case excluding any portions thereof that contain confidential information). In addition, none of Parties shall agree to participate in any meeting with any Governmental Authority in respect of any filings, investigation or other
inquiry with respect to this Agreement or the 

  
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transactions contemplated hereby, unless such Party consults with the other Parties in advance and, to the extent not prohibited by any such Governmental Authority, gives the other Parties the
opportunity to attend and participate thereat, in each case to the maximum extent practicable. Subject to any restrictions under applicable laws, rules or regulations, Buyer, on the one hand, and Sellers, on the other hand, shall furnish the other
with copies of all correspondence, filings and communications (and memoranda setting forth the substance thereof) between it and its Affiliates and their respective Representatives on the one hand, and the Governmental Authority or members of its
staff on the other hand, with respect to this Agreement, the transactions contemplated hereby (excluding documents and communications which are subject to preexisting confidentiality agreements or to the attorney-client privilege or work product
doctrine) or any such filing, notification or request for approval (in each case excluding any portions thereof that contain confidential information). In carrying out their obligations under this Section 7.3, subject to applicable Law,
each of the Parties shall not submit or otherwise provide any information to such Governmental Authority without first having provided a reasonable opportunity to the other Party and its counsel to comment upon such information. Each Party shall
also furnish the other Party with such necessary information and assistance as such other Party and its Affiliates may reasonably request in connection with their preparation of necessary filings, registration or submissions of information to the
Governmental Authority in connection with this Agreement, the transactions contemplated hereby and any such filing, notification or request for approval. Any Party may, as it deems advisable and necessary, reasonably designate any sensitive material
provided to the other Party under this Section 7.3, or otherwise pursuant to this Agreement, as “outside counsel only.” Such materials and the information contained therein shall be given only to the outside legal counsel of
the recipient and will not be disclosed by such outside counsel to the directors, officers or employees of the recipient, unless express written permission is obtained in advance from the source of the materials. 

(e) Neither Buyer nor Sellers shall, after the entry of the Sale Order, enter into any agreement that would have the effect of delaying the
consummation of any action contemplated by this Agreement without the written consent of the other Party. For the avoidance of doubt, no Party shall commit to or agree with any Governmental Authority to stay, toll or extend any applicable waiting
period under the HSR Act or other applicable Laws, without the prior written consent of the other Parties. 
 Section 7.4 Bankruptcy
Court Filings and Approval. 
 (a) Sellers shall use their commercially reasonable efforts to obtain entry of the Bidding Procedures
Order and the Sale Order and such other relief from the Bankruptcy Court as may be necessary or appropriate in connection with this Agreement and the consummation of the transactions contemplated by this Agreement. Sellers shall file with the
Bankruptcy Court, on or prior to the end of the second (2nd) Business Day following the later of the Filing or execution of this Agreement, the motion seeking entry of the Bidding Procedures Order and the Sale Order authorizing Sellers to enter
into this Agreement and to consummate the transactions contemplated hereunder. Buyer agrees that it will promptly take such actions as are reasonably requested by Sellers to assist in obtaining entry of the Bidding Procedures Order and the Sale
Order and, consistent with Section 8.3(a) below, a finding by the Bankruptcy Court of adequate assurance of future performance by Buyer. 

  
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 (b) Prior to the filing by Sellers of the motion contemplated by the second sentence of
Section 7.4(a), Sellers will (i) provide a copy thereof (including, in each case, the related forms of order and notice and supporting materials) to Buyer and its counsel, (ii) provide Buyer and its counsel a
reasonable opportunity to review and comment on such document, and any amendment or supplement thereto, and (iii) incorporate any reasonable comments of Buyer and its counsel into such document and any amendment or supplement thereto.

 (c) Sellers and Buyer acknowledge that this Agreement and the sale of the Acquired Assets and the assumption and assignment of the
Assigned Agreements are subject to Bankruptcy Court approval. Sellers and Buyer acknowledge that (i) to obtain such approval, Sellers must demonstrate that they have taken reasonable steps to obtain the highest or otherwise best offer
possible for the Acquired Assets and (ii) Buyer must provide adequate assurance of future performance under the Assigned Agreements to be assigned by Sellers. 

(d) Sellers shall give all notices required to be given by applicable Law, to all Persons entitled thereto, of all motions (including the
motions seeking entry of the Bidding Procedures Order and the Sale Order), orders, hearings and other proceedings relating to this Agreement and the transactions contemplated hereby and thereby and such additional notice as ordered by the Bankruptcy
Court or as Buyer may reasonably request. Sellers shall promptly provide Buyer with copies of all communications from the Bankruptcy Court or third parties relating to the motions seeking entry of the Bidding Procedures Order and the Sale Order.

 (e) In the event an appeal is taken or a stay pending appeal is requested, from the Bidding Procedures Order or the Sale Order, Sellers
shall immediately notify Buyer of such appeal or stay request and shall provide to Buyer promptly a copy of the related notice of appeal or order of stay. Sellers shall also provide Buyer with written notice of any motion or application filed in
connection with any appeal from or stay request in respect of either of such orders. Sellers and Buyer shall use their respective commercially reasonable efforts to defend such appeal or stay request and obtain an expedited resolution of such
appeal. 
 (f) After entry of the Sale Order, to the extent Buyer is the Successful Bidder at the Auction, Sellers shall not take any action
which is intended to, or fail to take any action the intent of which failure to act is to, result in the reversal, voiding, modification or staying of the Sale Order. 

(g) Within three Business Days following the Filing, Sellers shall file a motion, in form and substantive satisfactory to Buyer, seeking entry
of an order determining Cure Costs in connection with the Sellers’ assignment and assumption of the Assigned Agreements. The Sellers shall schedule the hearing on such motion not later than 30 days after the Filing. 

Section 7.5 Bidding Procedures. The bidding procedures to be employed with respect to this Agreement shall be those reflected in
the Bidding Procedures Order. Buyer agrees and acknowledges that Sellers and their Representatives and Affiliates are and may continue soliciting inquiries, proposals or offers for the Acquired Assets in connection with any alternative transaction
pursuant to the terms of the Bidding Procedures Order. 

  
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 Section 7.6 Break-Up Fee; Expense Reimbursement Amount. 

(a) Subject to (x) the delivery by Buyer to Sellers of a Debt Financing Commitment in a form reasonably satisfactory to Sellers
and (y) entry of the Bidding Procedures Order, if this Agreement is terminated pursuant to Section 11.1(a)(iv), Section 11.1(b)(i), Section 11.1(b)(iii), Section 11.1(c)(ii) or
Section 11.1(c)(iii) and, in each case, Sellers consummate an Alternative Transaction within nine months after such termination, then Sellers, jointly and severally, shall, subject to Section 7.6(c), pay in cash to Buyer, on
the date of the consummation of the Alternative Transaction and from the proceeds of the Alternative Transaction, a break-up fee in the amount of $6,000,000 (the “Break-Up Fee”), by wire transfer of immediately available funds to
the account specified by Buyer to Sellers in writing. 
 (b) Subject to entry of the Bidding Procedures Order, if this Agreement is
terminated pursuant to Section 11.1(a)(i) (unless due to Buyer’s breach of this Agreement), Section 11.1(a)(iii), Section 11.1(a)(iv), Section 11.1(b)(i), Section 11.1(b)(iii),
Section 11.1(c)(ii) or Section 11.1(c)(iii), then Sellers, jointly and severally, shall, subject to Section 7.6(c), pay in cash to Buyer, within five (5) Business Days of such termination, an amount equal to
the reasonable and documented costs, fees and expenses incurred by Buyer and its Affiliates (including fees and expenses of legal, accounting and financial advisors and any filing fee under the HSR Act paid by Buyer or its Affiliates) in connection
with this Agreement and the transactions contemplated hereby (the “Expense Reimbursement Amount”) by wire transfer of immediately available funds to the account specified by Buyer to Sellers in writing. 

(c) In no event shall the aggregate amount of the Break-Up Fee and the Expense Reimbursement Amount exceed $8,000,000. 

(d) The obligations of Sellers to pay the Break-Up Fee and the Expense Reimbursement Amount as provided herein shall be entitled to
administrative expense status with priority over any and all administrative expenses of the kind specified in Sections 503(b)(1) and 507(a) of the Bankruptcy Code in the Bankruptcy Case and senior to all other superpriority administrative expenses
in the Bankruptcy Case. 
 (e) Sellers agree and acknowledge that Buyer’s due diligence, efforts, negotiation and execution of this
Agreement have involved substantial investment of management time and have required significant commitment of financial, legal and other resources by Buyer and its Affiliates and that such due diligence, efforts, negotiation and execution have
provided value to Sellers. 
 Section 7.7 Financing. 

(a) Buyer covenants and agrees with Sellers that it will (i) use reasonable best efforts to obtain a Debt Financing Commitment as
promptly as practicable, to arrange and consummate the Debt Financing at or prior to the Closing and to keep the Sellers reasonably apprised on a current basis of the status of its efforts with respect to obtaining a Debt Financing Commitment and
arranging and consummating the Debt Financing and (ii) cause the Equity Commitment Party to fund the Equity Financing at the Closing subject to the terms and conditions of the Equity Commitment Letter. Buyer shall not, without the prior
written consent of the Sellers, amend, supplement, modify or waive any provision under the Equity Commitment Letter or, once obtained, the Debt Financing Commitment in a manner that would reasonably be expected

  
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to materially and adversely impact the ability of Buyer to (a) enforce its rights against other parties to the Equity Commitment Letter, (b) enforce its rights under the
Debt Financing Commitment or, if applicable, under a replacement Debt Financing Commitment or (c) otherwise timely consummate the transactions contemplated by this Agreement. 

(b) In order to assist the Buyer with obtaining the Debt Financing and any other debt financing for the Business following the Closing, the
Sellers shall, and shall cause their Subsidiaries to, provide such assistance and cooperation as the Buyer may reasonably request, including cooperation in the preparation of documentation for the Debt Financing or a credit facility of the Buyer
and/or its Subsidiaries that would be effective after the Closing, the preparation of any information memorandum or similar document, making senior management of the Sellers reasonably available for customary presentations and cooperation with
prospective lenders in performing their due diligence, entering into customary agreements and entering into pledge and security documents, other definitive financing documents or other requested certificates or documents. Notwithstanding anything in
this Section 7.7(b) to the contrary, (i) no Seller or Retained Subsidiary shall be required to pay any commitment fee or similar fee or incur any liability with respect to obtaining the financing described in this
Section 7.7(b) prior to the Closing, (ii) no officer, director or employee of any Seller shall be required to execute any documents that will be effective prior to the Closing, (iii) no Seller shall be required to
issue any information memoranda or to indemnify any Person in connection with any such financing, and (iv) no Seller or Retained Subsidiary shall be required to take actions that are inconsistent with the Sellers’ fiduciary duties to
maximize the value of their estates. 
 Section 7.8 Notification of Certain Matters. 

(a) On or prior to the date that is seven (7) days following the date hereof, Sellers shall provide to Buyer their good faith estimate of
the Cure Costs associated with each Real Property Lease and each Contract identified on Schedule 1.1(a) and Schedule 2.2(d) (assuming for this purpose that the Closing Date is March 31, 2015). 

(b) From the Effective Date through ten (10) days prior to the Sale Hearing, Sellers shall use their reasonable best efforts to promptly
(and in no event later than ten (10) days prior to the Sale Hearing, except with respect to Contracts entered into after such date) supplement or update Schedule 2.2(d) by providing Buyer written notice of any Contract to which any
Seller or Retained Subsidiary is a party which (x) was not set forth on Schedule 1.1(a) or Schedule 2.2(d) as of the Effective Date and (y) primarily relates to the Business or any Acquired Store or is otherwise
material to the operation of the Business following the Closing in substantially the same manner as conducted as of the date hereof. From the Effective Date through ten (10) days prior to the Sale Hearing, Buyer may, in its sole discretion,
amend Schedule 2.2(d) and Schedule 1.1(a) by moving any Contract from Schedule 2.2(d) to Schedule 1.1(a) or vice versa by providing Sellers with written notice thereof, provided, however, that Buyer
shall have no right to add to Schedule 1.1(a) any Contract rejected, in accordance with Section 365 of the Bankruptcy Code, by Sellers prior to Sellers receiving written notice from Buyer to include such Contract on Schedule
1.1(a), provided, further, that (i) until the Sale Hearing, Buyer may, in its sole discretion, amend Schedule 2.2(d) and Schedule 1.1(a) by moving from Schedule 1.1(a) to Schedule 2.2(d) any
Contract which is the subject of any dispute relating to Cure Costs, (ii) until two Business Days prior to the Auction, Buyer may, in its sole discretion, amend Schedule 2.2(d) 

  
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and Schedule 1.1(a) by moving from Schedule 1.1(a) to Schedule 2.2(d) any Real Property Lease relating to any Excluded Acquired Store, and (iii) following the
Auction and prior to the Closing, Buyer may, in its sole discretion, amend Schedule 2.2(d) and Schedule 1.1(a) by moving any Contract from Schedule 2.2(d) to Schedule 1.1(a), but not vice versa. 

(c) To the extent that any franchise agreements or similar Contracts are added to Schedule 1.1(a), Buyers and Sellers shall negotiate
reasonably and in good faith amendments to this Agreement to provide for the successful assignment to, and assumption and future performance by, Buyer of such Contracts (it being understood that the purpose of such amendments would be to minimize
liabilities under, and potential litigation and other risk to the Business arising from, such Contracts). 
 (d) From the Effective Date
through two Business Days prior to the Closing, Buyer may, in its sole discretion, amend Schedule 2.1(k) by removing all or any portion of any asset, property or right listed thereon by providing Sellers with written notice thereof;
provided, that no such removal will result in a reduction in the amount of the Cash Consideration or the Credit Bid Consideration. 

Section 7.9 Employees. Within fifteen (15) days after the Effective Date, Sellers shall provide Buyer a complete and accurate
list of the names of Sellers’ employees, and their corresponding job titles, store or office locations (as the case may be), dates of hire, current rates of compensation, accrued and unused vacation leave and sick leave and other commitments
that exist with respect to such employees, whether oral or in writing. Such list shall also indicate which such employees, if any, are not actively at work as of the date specified therein (other than due to vacation or short-term illness). Buyer
may offer employment effective as of the Closing Date to such employees as Buyer shall determine in its sole discretion, at such salary and/or wage levels, with such benefits and under such other terms and conditions as Buyer shall determine in its
sole discretion. Any employee who accepts an offer of employment from Buyer on or within 30 days after the Closing date shall be referred to herein as a “Transferred Employee”. Sellers shall retain all liabilities (including accrued
vacation and liabilities arising in connection with COBRA) in respect of all of its employees, including Transferred Employees, other than liabilities associated with the Transferred Employees’ service with Buyer after the Closing Date. Sellers
shall remain solely responsible for any and all obligations that might arise under the WARN Act arising out of any employment losses occurring prior to, on or after the Closing Date with respect to all current and former employees as of the Closing
Date, and shall take all actions that are necessary to comply with the WARN Act, including providing any notices required under the WARN Act. Sellers shall remain liable for all workers’ compensation claims arising out of injuries or
occupational diseases sustained or contracted before the date the Transferred Employee commences employment with the Buyer. 

Section 7.10 Damage or Destruction. Until the Closing, the Acquired Assets shall remain at the risk of the Sellers. In the event
of (i) any material damage to or destruction of any of the Acquired Assets after the date hereof and prior to the Closing (in any such case, a “Damage or Destruction Loss”) or (ii) any sale or other transfer
out of an Acquired Store (other than to another Acquired Store) of any Equipment located in an Acquired Store as of the date hereof (an “Equipment Loss”) the Seller shall give notice thereof to the Buyer promptly thereafter. If any
such Damage or Destruction Loss is covered by policies of insurance and the 

  
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underlying Acquired Asset is not repaired or replaced prior to Closing, all right and claim of the Sellers to any proceeds of insurance for such Damage or Destruction Loss shall be assigned and
(if previously received by the Sellers and not used prior to the Closing Date to repair any damage or destruction) paid to the Buyer at Closing in accordance with Section 2.1(i). If any such Damage or Destruction Loss is not covered by
policies of insurance, the Buyer shall have the right to reduce the Credit Bid Consideration by an amount equal to (i) if such Affected Assets are not destroyed or damaged beyond repair and are able to be repaired to substantially the
same condition that existed prior to such Damage or Destruction Loss at a cost less than their replacement cost, the estimated cost to repair or restore the Acquired Assets affected by such Damage or Destruction Loss (the “Affected
Assets”) to substantially the same condition that existed immediately prior to the occurrence of such Damage or Destruction Loss, or (ii) if such Affected Assets are destroyed or damaged beyond repair or are not able to be
repaired to substantially the same condition that existed prior to such Damage or Destruction Loss at a cost less than their replacement cost, the replacement cost of the Affected Assets. In the event of an Equipment Loss, the Buyer shall have the
right to reduce the Credit Bid Consideration by an amount equal to the replacement cost of the applicable underlying Equipment. If the Buyer elects to reduce the Credit Bid Consideration pursuant to this Section 7.10, the Sellers and the
Buyer shall negotiate in good faith in an effort to agree upon the amount of such reduction. If the Parties are unable to reach agreement within five (5) Business Days after notice of the Damage or Destruction Loss or Equipment Loss is given by
the Sellers, then the amount of the reduction shall be determined by an independent, qualified insurance adjuster selected by the Parties (or, if they are unable to agree on such selection, one appointed by the Bankruptcy Court upon application of
either the Buyer or the Sellers). 
 Section 7.11 Transition Services Agreement; Identified Party Agreements. 

(a) The Parties shall use their respective reasonable best efforts to agree on a form of Transition Services Agreement as promptly as
practicable after the Effective Date. 
 (b) Buyer shall keep Sellers reasonably apprised on a current basis of the status of any
discussions or negotiations between Buyer and the Identified Party (or any of their respective Affiliates or representatives) with respect to the transactions and other matters contemplated by the Term Sheets, and shall use its reasonable best
efforts to complete any discussions or negotiations by no later than fifteen (15) days following the Filing. Buyer shall provide to Sellers copies of the execution version of each definitive agreement entered into or to be entered into between
Buyer and the Identified Party (or any of their respective Affiliates) in connection with the transactions or other matters contemplated by the Term Sheets. To the extent that any of the documents referred to in the immediately preceding sentence
are subsequently revised, Buyer shall provide copies thereof to Seller as promptly as reasonably practicable. Buyer acknowledges and agrees that Sellers may use the Term Sheets and the information and documentation provided to them by Buyer pursuant
to this Section 7.11 to facilitate the Auction in accordance with the Bidding Procedures. 
 Section 7.12 Letters of
Credit. The Buyer shall be entitled to credit bid L/C Reimbursement Obligations pursuant to Section 3.1(b). To the extent that a portion of the purchase price is paid by a credit against L/C Reimbursement Obligations relating to any
Letter of Credit pursuant to Section 3.1(b) and the full amount of such Letter of Credit shall not have 

  
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been drawn at or prior to the expiration of such Letter of Credit, then promptly following such expiration, Buyer shall reimburse Sellers, by wire transfer of immediately available funds, an
amount equal to the difference between (i) such credit against the purchase price and (ii) the portion of the Letter of Credit actually drawn (x) at or after the Closing and (y) at or prior to such
expiration. 
 ARTICLE VIII 

ADDITIONAL AGREEMENTS 

Section 8.1 Taxes. 

(a) Any sales, use, property transfer or gains, documentary, stamp, registration, recording or similar Tax (including, for certainty, goods
and services tax, harmonized sales tax and land transfer tax) payable in connection with the sale or transfer of the Acquired Assets (“Transfer Taxes”) shall be borne by Sellers and, to the extent Buyer is required by applicable Law
to pay Transfer Taxes, such Transfer Taxes shall be paid by the appropriate Seller to Buyer at Closing. Sellers and Buyer shall use reasonable efforts and cooperate in good faith to exempt the sale and transfer of the Acquired Assets from any such
Transfer Taxes. Sellers shall prepare and file all necessary Tax Returns or other documents with respect to all such Transfer Taxes; provided, however, that in the event any such Tax Return requires execution by Buyer, Sellers shall
prepare and deliver to Buyer a copy of such Tax Return at least three (3) Business Days before the due date thereof, and Buyer shall promptly execute such Tax Return and deliver it to Sellers, which shall cause it to be filed. Sellers shall
reimburse Buyer for any Tax described in this Section 8.1(a) that is paid by Buyer to a Governmental Authority. 
 (b) Buyer and
Sellers agree to furnish or cause to be furnished to each other, upon request, as promptly as practicable, such information and assistance relating to the Business and the Acquired Assets (including access to Documents) as is reasonably necessary
for the filing of all Tax Returns, the making of any election relating to Taxes, the preparation for any audit by any taxing authority and the prosecution or defense of any claims, suit or proceeding relating to any Tax; provided,
however, that (other than as required pursuant to this Section 8.1(b)) neither Buyer nor any Seller shall be required to disclose the contents of its income tax returns to any Person. Any expenses incurred in furnishing such
information or assistance pursuant to this Section 8.1(b) shall be borne by the Party requesting it. 
 (c) Notwithstanding any
other provisions in this Agreement, Buyer and Sellers hereby waive compliance with all “bulk sales,” “bulk transfer” and similar laws that may be applicable with respect to the sale and transfer of any or all of the Acquired
Assets to Buyer. 
 Section 8.2 Payments Received. Sellers, on the one hand, and Buyer, on the other hand, each agree that,
after the Closing, each will hold and will promptly transfer and deliver to the other, from time to time as and when received by them, any cash, checks with appropriate endorsements (using their best efforts not to convert such checks into cash) or
other property that they may receive on or after the Closing which properly belongs to the other and will account to the other for all such receipts. 

  
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 Section 8.3 Assigned Agreements; Adequate Assurance of Future Performance. 

(a) With respect to each Assigned Agreement, Buyer shall provide adequate assurance as required under the Bankruptcy Code of the future
performance by Buyer of each such Assigned Agreement. Buyer and Sellers agree that they will promptly take all actions reasonably required to assist in obtaining a Bankruptcy Court finding that there has been an adequate demonstration of adequate
assurance of future performance under the Assigned Agreements, such as furnishing affidavits, non-confidential financial information and other documents or information for filing with the Bankruptcy Court and making Buyer’s and Sellers’
Representatives available to testify before the Bankruptcy Court. 
 (b) Subject to the other terms and conditions of this Agreement, Buyer
shall, from and after the Closing Date, (i) assume all Liabilities of Sellers under the Assigned Agreements and (ii) satisfy and perform all of the Liabilities related to each of the Assigned Agreements when the same are due
thereunder, in each case to the extent relating to any post-Closing period. 
 Section 8.4 Post-Closing Liabilities. 

(a) Subject to the terms and conditions of this Agreement, after the Closing Date, Buyer shall have the responsibility to process, and shall
have all Liability for, all Assumed Consumer Liabilities. Sellers shall retain all Liabilities with respect to returns of goods or merchandise, customer prepayments and overpayments, gift cards and certificates, customer loyalty obligations or
programs, customer refunds, warranty obligations, chargebacks, credits, reimbursements and related adjustments, in each case with respect to goods or merchandise sold prior to Closing and which are not Assumed Consumer Liabilities. 

(b) Nothing in this Section 8.4 or in Section 8.5 shall prohibit Sellers from ceasing operations or winding up their
affairs following the Closing. 
 Section 8.5 Post-Closing Books and Records and Personnel. For twelve (12) months after
the Closing Date, (a) neither Buyer nor any Seller shall dispose of or destroy any of the business records and files of the Business and (b) Buyer and Sellers (including, for clarity, any trust established under a Chapter 11
plan of Sellers or any other successors of Sellers) shall allow each other and their respective Representatives reasonable access during normal business hours, and upon reasonable advance notice, to all employees, files and any books and records and
other materials included in the Acquired Assets for purposes relating to the Bankruptcy Case, the wind-down of the operations of Sellers, the functions of any such trusts or successors, or other reasonable business purposes, including Tax matters,
litigation, or potential litigation, each as it relates to the Business, the Acquired Stores, the Acquired Assets or the Assumed Liabilities prior to the Closing Date (with respect to Sellers) or from and after the Closing Date (with respect to the
Buyer), and Buyer and Sellers (including any such trust or successors) and such Representatives shall have the right to make copies of any such files, books, records and other materials. In addition, from and after the Closing for a period of 60
days, Sellers will permit Buyer and its Representatives access to such personnel of Sellers during normal business hours as Buyer may reasonably request to assist with the transfer of the Inventory, Documents, Equipment, Permits and Petty Cash that
are included in the Acquired Assets, provided that nothing in this Section 8.5 shall prohibit Sellers from ceasing operations or winding up their affairs following the Closing. 

  
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 Section 8.6 Confidentiality. Sellers agree not to, and shall use commercially
reasonable efforts to cause its employees not to, divulge to any Person (other than Buyer or its Affiliates or any persons employed or designated by such entities), publish or make use of any information of any type whatsoever of a confidential
nature relating to the Business, Acquired Stores or Acquired Assets, including, all types of trade secrets, client lists or information, information regarding products, marketing plans, management organization information, operating policies or
manuals, performance results or other financial, commercial, business or technical information, except (i) such knowledge or information that is in the public domain through no wrongful act by any Seller without the prior written consent
of Buyer or its Affiliates (as the case may be), (ii) for disclosure made pursuant to and in accordance with any Contract to which any Seller or any Affiliate of Seller is a party, (iii) for disclosures made to facilitate the
Auction in accordance with the Bidding Procedures, and (iv) as required by applicable law, by an order of a court having competent jurisdiction or under subpoena from an appropriate government agency. This confidentiality provision has
no temporal or geographical limitation. 
 ARTICLE IX 

CONDITIONS PRECEDENT TO OBLIGATIONS OF BUYER TO CLOSE 

The obligations of Buyer to consummate the transactions contemplated by this Agreement are subject to the satisfaction or waiver, at or prior
to the Closing, of each of the following conditions: 
 Section 9.1 Accuracy of Representations. The representations and
warranties of Sellers contained in Article V shall be true and correct as of the date hereof and as of the Closing Date as though made on and as of the Closing Date (except that those representations and warranties which address matters only
as of a particular date need only be true and correct as of such date); provided, however, that the condition in this Section 9.1 shall be deemed to be satisfied so long as any failure of such representations and warranties
to be true and correct (without giving effect to any limitation as to “materiality” or “Material Adverse Effect” set forth therein), individually or in the aggregate, has not had and would not reasonably be expected to have a
Material Adverse Effect. Buyer shall have received a certificate of Sellers, signed by a duly authorized officer of Sellers, to that effect. 

Section 9.2 Sellers’ Performance. Sellers shall have performed and complied with in all material respects the covenants and
agreements that Sellers are required to perform or comply with pursuant to this Agreement at or prior to the Closing, and Buyer shall have received a certificate of Sellers to such effect signed by a duly authorized officer thereof. 

Section 9.3 No Order. No Governmental Authority shall have enacted, issued, promulgated or entered any Order which is in effect
and has the effect of making illegal or otherwise prohibiting the consummation of the transactions contemplated by this Agreement (a “Closing Legal Impediment”); provided, however, that prior to asserting this
condition Buyer shall have taken all actions required by Section 7.3 to prevent the occurrence or entry of any such Closing Legal Impediment and to remove or appeal as promptly as possible any such Closing Legal Impediment. 

  
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 Section 9.4 Governmental Authorizations. Any applicable waiting period under the HSR
Act and any other waiting period under any applicable material antitrust or competition Law shall have expired or been terminated and any other material approval under any applicable antitrust or competition Law shall have been received. 

Section 9.5 Sellers’ Deliveries. Each of the deliveries required to be made to Buyer pursuant to Section 4.3
shall have been so delivered. 
 Section 9.6 Sale Order. The Bankruptcy Court shall have entered the Sale Order and the Sale
Order shall be a Final Order; provided, however, that it shall not be a condition to the Buyer’s obligation to consummate the transactions contemplated by this Agreement that the Sale Order be a Final Order if the Sale Order is
not a Final Order solely as a result of an appeal of the relief granted pursuant to the Sale Order which appeal (a) does not challenge Buyer’s good faith under Section 363(m) of the Bankruptcy Code, (b) does not
assert that the transactions contemplated by this Agreement are avoidable pursuant to, or otherwise violate, Section 363(n) of the Bankruptcy Code and (c) has not resulted in a stay of the Sale Order. 

Section 9.7 Credit Bid. Buyer shall be a secured creditor of Sellers holding valid, binding, enforceable and perfected first
priority liens under the Credit Facilities against the property of Sellers’ bankruptcy estates, and no portion of the amount of Buyer’s secured claims under the Credit Facilities available to be applied against the purchase price in
accordance with Section 3.1 shall have been subject to any challenge, avoidance, reduction (except on account of satisfaction), disallowance, recharacterization, impairment or subordination. 

Section 9.8 Third Party Agreements. (a) Buyer and/or one or more of its Affiliates shall have entered into definitive
agreements with the third party set forth on Schedule 9.8 (the “Identified Party”) and/or one or more of its Affiliates containing terms substantially consistent with the term sheets with the Identified Party provided to
Sellers prior to the execution of this Agreement (the “Term Sheets”) and other terms and conditions satisfactory to Buyer in its sole discretion and (b) all conditions precedent to the entry into force of such definitive
agreements shall have been satisfied or waived, and such definitive agreements shall be in full force and effect as of the Closing. 

Section 9.9 Debt Financing. Buyer shall have arranged, and shall simultaneously with the Closing consummate, the Debt Financing.

 Section 9.10 Level, Mix and Composition of Inventory. As of the Closing, (i) the level of Inventory at each of at
least 85% of the Acquired Stores shall be at least 85% of the level of Projected Inventory for such Acquired Store and (ii) the mix and composition of Inventory at each Acquired Store shall be consistent with the mix and composition of
the Projected Inventory for such Acquired Store and of a saleable condition consistent with the saleable condition of such Inventory at such Acquired Store as of the date of this Agreement (with such exceptions which, individually and in the
aggregate are de minimis in nature). Buyer shall have received a certificate of Sellers, signed by a duly authorized officer of Sellers, to that effect. 

  
 41 

 ARTICLE X 

CONDITIONS PRECEDENT TO THE OBLIGATION OF SELLERS TO CLOSE 

Sellers’ obligation to consummate the transactions contemplated by this Agreement is subject to the satisfaction or waiver, at or prior
to the Closing, of each of the following conditions: 
 Section 10.1 Accuracy of Representations. The representations and
warranties of Buyer contained in Article VI shall be true and correct as of the date hereof and as of the Closing Date as though made on and as of the Closing Date (except that those representations and warranties which address matters only
as of a particular date need only be true and correct as of such date); provided, however, that the condition in this Section 10.1 shall be deemed to be satisfied so long as any failure of such representations and
warranties to be true and correct (without giving effect to any limitation as to “materiality” or “material adverse effect” set forth therein), individually or in the aggregate, has not had and would not reasonably be expected to
prevent or materially impair the ability of Buyer to consummate the transactions contemplated by this Agreement. Sellers shall have received a certificate of Buyer, signed by a duly authorized officer of Buyer, to that effect. 

Section 10.2 Buyer’s Performance. Buyer shall have performed and complied with in all material respects the covenants and
agreements that Buyer is required to perform or comply with pursuant to this Agreement at or prior to the Closing, and Sellers shall have received a certificate of Buyer to such effect signed by a duly authorized officer thereof. 

Section 10.3 No Order. No Closing Legal Impediment shall be in effect, provided, however, that prior to asserting
this condition Sellers shall have taken all actions required by Section 7.3 to prevent the occurrence or entry of any such Closing Legal Impediment and to remove or appeal as promptly as possible any such Closing Legal Impediment. 

Section 10.4 Governmental Authorizations. Any applicable waiting period under the HSR Act and any other waiting period under any
material applicable antitrust or competition Law shall have expired or been terminated and any other material approval under any applicable antitrust or competition Law shall have been received. 

Section 10.5 Buyer’s Deliveries. Each of the deliveries required to be made to Sellers pursuant to Section 4.2
shall have been so delivered. 
 Section 10.6 Sale Order in Effect. The Bankruptcy Court shall have entered the Sale Order and
the Sale Order shall be a Final Order; provided, however, that it shall not be a condition to the Sellers’ obligation to consummate the transactions contemplated by this Agreement that the Sale Order be a Final Order if the Sale
Order is not a Final Order solely as a result of an appeal of the relief granted pursuant to the Sale Order which appeal (a) does not challenge Buyer’s good faith under Section 363(m) of the Bankruptcy Code,
(b) does not assert that the transactions contemplated by this Agreement are avoidable pursuant to, or otherwise violate, Section 363(n) of the Bankruptcy Code and (c) has not resulted in a stay of the Sale Order. 

  
 42 

 ARTICLE XI 

TERMINATION 

Section 11.1 Termination Events. Anything contained in this Agreement to the contrary notwithstanding (other than as provided in
Section 11.1(c)(iv)), this Agreement may be terminated at any time prior to the Closing Date: 
 (a) by either
Sellers or Buyer: 
 (i) if the Bankruptcy Court rules that it does not approve this Agreement for any reason or if a
Governmental Authority issues a final, non-appealable ruling or Order permanently prohibiting the transactions contemplated hereby, provided, however, that the right to terminate this Agreement pursuant to this
Section 11.1(a)(i) shall not be available to any Party whose breach of any of its representations, warranties, covenants or agreements contained herein results in such ruling or Order; 

(ii) by mutual written consent of Sellers and Buyer; 

(iii) if the Closing shall not have occurred by the close of business on March 31, 2015 (the “Outside
Date”); provided, however, that the right to terminate this Agreement pursuant to this Section 11.1(a)(iii) shall not be available to any Party whose breach of any of its representations, warranties, covenants or
agreements contained herein results in the failure of the Closing to be consummated by such time; 
 (iv) if Sellers
(A) file any stand-alone plan of reorganization or liquidation (or announce support of any such plan filed by any other party) that does not contemplate, or that would be reasonably expected to impede or delay the implementation or consummation
of, the transactions provided for in this Agreement or (B) consummate an Alternative Transaction; or 
 (v) if the Buyer
and Sellers have not agreed on the Projected Inventory within ten (10) days following the date hereof. 
 (b) by Buyer:

 (i) in the event of any breach by any Seller of any of its agreements, covenants, representations or warranties contained
herein that would result in the failure of a condition set forth in Article IX to be satisfied, and the failure of Sellers to cure such breach by the earlier of (A) the Outside Date and (B) the date that is thirty
(30) days after receipt of the Buyer Termination Notice; provided, however, that (1) Buyer is not in breach of any of its representations, warranties, covenants or agreements contained herein in a manner that would
result in the failure of a condition set forth in Article X to be satisfied, (2) Buyer notifies Sellers in writing (the “Buyer Termination Notice”) of its intention to exercise its rights under this
Section 11.1(b)(i) as a result of the breach, and (3) Buyer specifies in the Buyer Termination Notice the representation, warranty, covenant or agreement contained herein of which Sellers are allegedly in breach; 

  
 43 

 (ii) if the Bankruptcy Case is dismissed or converted to a case under Chapter 7
of the Bankruptcy Code and neither such dismissal nor conversion expressly contemplates the transactions provided for in this Agreement; 

(iii) if the Auction takes place and Buyer is not the Successful Bidder at the Auction, except that if Buyer is designated as
the second highest or best bidder, then upon the earlier of the consummation of the transaction with the Successful Bidder and 30 days after the conclusion of the Sale Hearing; 

(iv) if the Bidding Procedures Order has not been entered on or before fourteen (14) days after the Filing (or is vacated
or stayed as of such date); or 
 (v) if the Sale Order has not been entered on or before forty-five (45) days after the
Filing (or is vacated or stayed as of such date). 
 (c) by Sellers: 

(i) in the event of any breach by Buyer of any of its agreements, covenants, representations or warranties contained herein
that would result in the failure of a condition set forth in Article X to be satisfied, and the failure of Buyer to cure such breach by the earlier of (A) the Outside Date and (B) the date that is thirty (30) days
after receipt of the Sellers Termination Notice; provided, however, that Sellers (1) are not themselves in breach of any of their representations, warranties, covenants or agreements contained herein or in the Bidding
Procedures Order or the Sale Order in a manner that result in the failure of a condition set forth in Article IX to be satisfied, (2) notify Buyer in writing (the “Sellers Termination Notice”) of their intention
to exercise their rights under this Section 11.1(c)(i) as a result of the breach, and (3) specify in the Sellers Termination Notice the representation, warranty, covenant or agreement contained herein of which Buyer is
allegedly in breach; 
 (ii) if the Auction takes place and Buyer is not the Successful Bidder at the Auction; 

(iii) if Sellers enter into (or provide written notice to Buyer of their intent to enter into) one or more agreements to sell,
transfer or otherwise dispose of any portion of the Acquired Assets in a transaction or series of transactions with one or more Persons other than Buyer in accordance with the Bidding Procedures; or 

(iv) if (A) the condition set forth in Section 9.8(a) has not been satisfied or waived by Buyer or
(B) Buyer has not obtained a Debt Financing Commitment in a form reasonably satisfactory to Sellers, in each case on or before the date that is two Business Days prior to the hearing conducted by the Bankruptcy Court to approve the Bidding
Procedures Order, provided that Sellers 

  
 44 

 
shall not have the right to terminate this Agreement pursuant to this Section 11.1(c)(iv) following the hearing conducted by the Bankruptcy Court to approve the Bidding Procedures
Order. 
 For the avoidance of doubt, the Parties acknowledge and agree, that in the event that Sellers determine, in their reasonable discretion, that the
last Overbid (as defined in the Bidding Procedures) submitted by Buyer is better than all other Qualified Bids (as defined in the Bidding Procedures) as such Qualified Bids may be amended by an Overbid submitted at the Auction, then within two
(2) Business Days following the conclusion of the Auction, Sellers and Buyer shall enter into an amendment to this Agreement to reflect Buyer’s last Overbid; it being acknowledged and agreed that this Agreement shall not be deemed to have
terminated by virtue of Buyer’s having submitted the winning bid at the Auction. 
 Section 11.2 Effect of Termination. If
the Bidding Procedures Order has been entered and this Agreement is terminated in the circumstances set forth in Section 7.6(a) and/or Section 7.6(b), then Sellers, jointly and severally, shall pay to Buyer the Break-Up Fee
and/or the Expense Reimbursement Amount in accordance with Section 7.6, as applicable. The Break-Up Fee and the Expense Reimbursement Amount are in the nature of liquidated damages and shall constitute the sole and exclusive remedy of
Buyer in the event of a termination hereunder. 
 ARTICLE XII 

GENERAL PROVISIONS 

Section 12.1 Public Announcements. The initial press release relating to this Agreement shall be a joint press release, the text
of which shall be agreed to by Buyer, on the one hand, and Sellers, on the other hand. Buyer, on the one hand, and Sellers, on the other hand, shall consult with each other before issuing any other press release or otherwise making any public
statement with respect to this Agreement, the transactions contemplated hereby or the activities and operations of the other and shall not issue any such release or make any such statement without the prior written consent of the other (such consent
not to be unreasonably withheld or delayed), provided, however, that nothing herein shall prohibit any Party from issuing or causing publication of any such press release or public announcement to the extent that it determines in good
faith that such disclosure is required by Law or Order or pursuant to any listing agreement with the NYSE or the NYSE Rules, following consultation with counsel (including any filings required to be made by any of the Parties or their respective
Affiliates on Form 8-K, Form 13D or otherwise pursuant to securities Laws), in which case the Party making such determination shall, if practicable under the circumstances, use reasonable efforts to allow the other Party reasonable time to comment
on such release or announcement in advance of its issuance or publication (it being understood and hereby agreed that the final form and content of any such release or announcement, as well as the timing of any such release or announcement, shall be
at the final discretion of the disclosing party). 
 Section 12.2 Notices. Any notice, consent or other communication required
or permitted under this Agreement shall be in writing and shall be delivered (a) in person, (b) by a nationally recognized courier for overnight delivery service or (c) by email or other electronic means,
confirmed by telephone or return email (including an automated return receipt), to the 

  
 45 

 
persons indicated below. A notice or communication shall be deemed to have been effectively given (i) if in person, upon personal delivery to the Party to whom the notice is directed,
(ii) if by nationally recognized courier, one Business Day after delivery to such courier and (iii) if by email or other electronic means, when sent and confirmed by telephone or return email. Rejection or other refusal to
accept or inability to deliver because of changed address of which no notice has been received shall also constitute receipt. Any such notice, election, demand, request or response shall be addressed as follows: 

(a) If to Sellers, then to: 

RadioShack Corporation 
 300
RadioShack Circle 
 Fort Worth, Texas 76102 

Attention: Robert Donohoo, Vice President and General Counsel 

Email: Robert.Donohoo@radioshack.com 

with a copy (which shall not constitute notice) to: 

Jones Day 
 2727 North Harwood
Street 
 Dallas, Texas 75201 

Attention: Mark E. Betzen and Robert A. Schroeder 

Email: mbetzen@jonesday.com and raschroeder@jonesday.com 

(b) If to Buyer: 

General Wireless Inc. 
 c/o
Standard General L.P. 
 757 Fifth Avenue, 12th Floor 

New York, NY 10153 
 Attention:
Gail Steiner 
 Email: legal@standgen.com 

with a copy (which shall not constitute notice) to: 

Debevoise & Plimpton LLP 

919 Third Avenue 
 New York, New
York 10022 
 Attention: Jonathan E. Levitsky 

Email: jelevitsky@debevoise.com 

Section 12.3 Amendment; Waiver. No amendment, modification or discharge of this Agreement, and no waiver hereunder, shall be valid
or binding unless set forth in writing and duly executed by the Party against whom enforcement of the amendment, modification, discharge or waiver is sought and such amendment, modification, discharge or waiver is delivered substantially
contemporaneously to each other Party. Any such waiver shall constitute a waiver only with respect to the specific matter described in such writing and shall in no way 

  
 46 

 
impair the rights of the Party granting such waiver in any other respect or at any other time. Neither the waiver by any of the Parties of a breach of or a default under any of the provisions of
this Agreement, nor the failure by any of the Parties, on one or more occasions, to enforce any of the provisions of this Agreement or to exercise any right or privilege hereunder shall be construed as a waiver of any other breach or default of a
similar nature, or as a waiver of any of such provisions, rights or privileges hereunder. No course of dealing between or among the Parties shall be deemed effective to modify, amend or discharge any part of this Agreement or any rights to payment
of any Party under or by reason of this Agreement. No prior draft of this Agreement shall be used in the interpretation of this Agreement. 

Section 12.4 Entire Agreement. This Agreement (including the Schedules and the Exhibits) and the other Transaction Documents
contain all of the terms, conditions and representations and warranties agreed to by the Parties relating to the subject matter of this Agreement and supersede all prior and contemporaneous agreements, understandings, negotiations, correspondence,
undertakings and communications of the Parties or their representatives, oral or written, respecting such subject matter. The representations, warranties, covenants and agreements contained in this Agreement (including the Schedules and the
Exhibits) and the other Transaction Documents are intended, among other things, to allocate the economic cost and the risks inherent in the transactions contemplated hereby and thereby, including risks associated with matters as to which the party
making such representations and warranties has no knowledge or only incomplete knowledge, and such representations and warranties may be qualified by disclosures contained in the Schedules. Consequently, Persons other than the Parties may not rely
upon the representations and warranties in this Agreement as characterizations of actual facts or circumstances as of the date of this Agreement or as of any other date. 

Section 12.5 Assignment. This Agreement, and the rights, interests and obligations hereunder, shall not be assigned by any Party
by operation of law or otherwise without the express written consent of the other Parties (which consent may be granted or withheld in the sole discretion of such other Party); provided, however, that Buyer shall be permitted, upon
prior notice to Sellers, to (i) assign its right to receive assignment of any Real Property Lease to the Identified Party and (ii) assign all or part of its rights or obligations hereunder to an Affiliate, but no such assignment shall
relieve Buyer of its obligations under this Agreement, and Sellers shall be permitted to assign all or part of their rights or obligations hereunder on or after the date on which the Final Credit Bid Consideration is determined in accordance with
Section 3.3(b) pursuant to a plan of reorganization or liquidation approved by the Bankruptcy Court. 
 Section 12.6
Severability. The provisions of this Agreement shall be deemed severable, and the invalidity or unenforceability of any provision shall not affect the validity or enforceability of the other provisions hereof. If any provision of this
Agreement, or the application thereof to any Person or any circumstance, is invalid or unenforceable, (a) a suitable and equitable provision shall be substituted therefor in order to carry out, so far as may be valid and enforceable, the
intent and purpose of such invalid or unenforceable provision and (b) the remainder of this Agreement and the application of such provision to other Persons or circumstances shall not be affected by such invalidity or unenforceability.

  
 47 

 Section 12.7 Governing Law; Consent to Jurisdiction and Venue; Jury Trial Waiver.

 (a) Except to the extent the mandatory provisions of the Bankruptcy Code apply, this Agreement and all claims or causes of action
(whether in contract, tort or otherwise) that may be based upon, arise out of or relate to this Agreement or the negotiation, execution or performance of this Agreement (including any claim or cause of action based upon, arising out of or related to
any representation or warranty made in or in connection with this Agreement or as an inducement to enter into this Agreement) shall be governed by, and construed in accordance with, the laws of the State of Delaware applicable to Contracts made and
to be performed entirely in such state without regard to principles of conflicts or choice of laws or any other law that would make the laws of any other jurisdiction other than the State of Delaware applicable hereto. 

(b) Without limitation of any Party’s right to appeal any Order of the Bankruptcy Court, (i) the Bankruptcy Court shall
retain exclusive jurisdiction to enforce the terms of this Agreement and to decide any claims or disputes which may arise or result from, or be connected with, this Agreement, any breach or default hereunder, or the transactions contemplated hereby
and (ii) any and all claims relating to the foregoing shall be filed and maintained only in the Bankruptcy Court, and the Parties hereby consent and submit to the exclusive jurisdiction and venue of the Bankruptcy Court and irrevocably
waive the defense of an inconvenient forum to the maintenance of any such Proceeding; provided, however, that, if the Bankruptcy Case is closed, all Proceedings arising out of or relating to this Agreement shall be heard and determined
in a Delaware state court or a federal court sitting in the State of Delaware, and the Parties hereby (a) irrevocably and unconditionally submit to the exclusive jurisdiction of the Delaware Court of Chancery and any state appellate
court therefrom within the State of Delaware (or in the event (but only in the event) that such court does not have subject matter jurisdiction over such Action in the United States District Court for the District of Delaware) with respect to all
Proceedings arising out of or relating to this Agreement and the transaction contemplated hereby (whether based on contract, tort or other theory); (b) agree that all claims with respect to any such Proceeding shall be heard and
determined in such courts and agrees not to commence any Proceeding relating to this Agreement or the transactions contemplated hereby (whether based on contract, tort or other theory) except in such courts; (c) irrevocably and
unconditionally waive any objection to the laying of venue of any Proceeding arising out of this Agreement or the transactions contemplated hereby and irrevocably and unconditionally waives the defense of an inconvenient forum; and
(d) agree that a final judgment in any such Proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by Law. The Parties agree that any violation of this
Section 12.7(b) shall constitute a material breach of this Agreement and shall constitute irreparable harm. 
 (c) EACH PARTY
HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN ANY PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY (WHETHER BASED
ON CONTRACT, TORT OR ANY OTHER THEORY). EACH PARTY (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE
THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTY HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 12.7. 

  
 48 

 Section 12.8 Counterparts. This Agreement may be executed in any number of
counterparts (including via facsimile or other electronic transmission in portable document format (pdf)) with the same effect as if the signatures to each counterpart were upon a single instrument, and all such counterparts together shall be deemed
an original of this Agreement. This Agreement shall become effective when, and only when, each Party shall have received a counterpart hereof signed by the other Party. Delivery of an executed counterpart hereof by means of facsimile or electronic
transmission in portable document format (pdf) shall have the same effect as delivery of a physically executed counterpart in person. 

Section 12.9 Parties in Interest; No Third Party Beneficiaries. Nothing in this Agreement shall confer any rights, benefits,
remedies, obligations, liabilities or claims hereunder upon any Person not a Party or a permitted assignee of a Party. 
 Section 12.10
Non-Recourse. All claims, obligations, liabilities or causes of action (whether in contract or in tort, in law or in equity or granted by statute) that may be based upon, in respect of, arise under, out or by reason of, be connected with or
relate in any manner to this Agreement, the negotiation, execution or performance of this Agreement (including any representation or warranty made in connection with or as an inducement to this Agreement) or the transactions contemplated hereby may
be made only against (and are those solely of) the entities that are expressly identified as Parties to this Agreement. No other Person, including any of their Affiliates, directors, officers, employees, incorporators, members, partners, managers,
stockholders, agents, attorneys, or representatives of, or any financial advisors or lenders to, any of the foregoing shall have any liabilities (whether in contract or in tort, in law or in equity, or granted by statute) for any claims, causes of
action, obligations or liabilities, other than fraud claims, arising under, out of, in connection with, or related in any manner to, this Agreement or based on, in respect of, or by reason of, this Agreement or its negotiation, execution,
performance or breach. 
 Section 12.11 Schedules; Materiality. The inclusion of any matter in any Schedule shall be deemed to
be an inclusion for all purposes of this Agreement, to the extent that such disclosure is sufficient to identify the Section to which such disclosure is responsive, but inclusion therein shall not be deemed to constitute an admission, or otherwise
imply, that any such matter is material or creates a measure for materiality for purposes of this Agreement. The disclosure of any particular fact or item in any Schedule shall not be deemed an admission as to whether the fact or item is
“material” or would constitute a “Material Adverse Effect.” 
 Section 12.12 Specific Performance. The
Parties acknowledge and agree that (a) irreparable injury, for which monetary damages, even if available, would not be an adequate remedy, will occur in the event that any of the provisions of this Agreement are not performed in
accordance with the specific terms hereof or are otherwise breached, and (b) the non-breaching Party or Parties shall therefore be entitled, in addition to any other remedies that may be available, to obtain (without the posting of any
bond) specific performance of the terms of this Agreement. If any Proceeding is brought by the non-breaching Party or Parties to enforce this Agreement, the Party in breach shall waive the defense that there is an adequate remedy at law. 

  
 49 

 Section 12.13 Survival. All covenants and agreements contained herein which by their
terms are to be performed in whole or in part, or which prohibit actions, subsequent to the Closing shall survive the Closing and terminate on the earlier of their completion and the one year anniversary the Closing Date. All other covenants and
agreements contained herein, and all representations and warranties contained herein or in any certificated deliveries hereunder, shall not survive the Closing and shall thereupon terminate. 

[Signature pages follow.] 

  
 50 

 IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed and delivered by their
duly authorized representatives, all as of the Effective Date. 
  

			
	GENERAL WIRELESS INC.
		
	By:		 /s/ Soohyung Kim

	Name:		Soohyung Kim
	Title:		Chief Executive Officer

  
 [Signature Page to
Asset Purchase Agreement] 

 
			
	RADIOSHACK CORPORATION
		
	By:		 /s/ Joseph Magnacca

	Name:		Joseph Magnacca
	Title:		Chief Executive Officer

  
 [Signature Page to
Asset Purchase Agreement] 

 
			
	ATLANTIC RETAIL VENTURES, INC.
		
	By:	 	 /s/ Robert C. Donohoo

	Name:	 	Robert C. Donohoo
	Title:	 	President
	
	ITC SERVICE, INC.
		
	By:	 	 /s/ Robert C. Donohoo

	Name:	 	Robert C. Donohoo
	Title:	 	President
	
	MERCHANDISING SUPPORT SERVICES, INC.
		
	By:	 	 /s/ Joel H. Tiede

	Name:	 	Joel H. Tiede
	Title:	 	President
	
	RADIOSHACK GLOBAL SOURCING CORPORATION
		
	By:	 	 /s/ Robert C. Donohoo

	Name:	 	Robert C. Donohoo
	Title:	 	President

  
 [Signature Page to
Asset Purchase Agreement] 

 
			
	RADIOSHACK GLOBAL, SOURCING, INC.
		
	By:	 	/s/ Robert C. Donohoo
	Name:	 	Robert C. Donohoo
	Title:	 	President
	
	RS IG HOLDINGS INCORPORATED
		
	By:	 	/s/ Robert C. Donohoo
	Name:	 	Robert C. Donohoo
	Title:	 	President
	
	SCK, INC.
		
	By:	 	/s/ Robert C. Donohoo
	Name:	 	Robert C. Donohoo
	Title:	 	President
	
	TANDY FINANCE CORPORATION
		
	By:	 	/s/ Robert C. Donohoo
	Name:	 	Robert C. Donohoo
	Title:	 	President

 [Signature Page to Asset Purchase Agreement] 

			
	TANDY HOLDINGS, INC.
		
	By:	 	/s/ Robert C. Donohoo
	Name:	 	Robert C. Donohoo
	Title:	 	President
	
	TANDY INTERNATIONAL CORPORATION
		
	By:	 	/s/ Robert C. Donohoo
	Name:	 	Robert C. Donohoo
	Title:	 	President
	
	TRS QUALITY INC.
		
	By:	 	/s/ Joel H. Tiede
	Name:	 	Joel H. Tiede
	Title:	 	President
	
	TE ELECTRONICS LP
	By:	 	RadioShack Corporation, General Partner
		
	By:	 	/s/ Joseph Magnacca
	Name:	 	Joseph Magnacca
	Title:	 	Chief Executive Officer

  
 [Signature Page to
Asset Purchase Agreement] 

 
			
	IGNITION L.P.
	By:	 	RadioShack Corporation, as General Partner
		
	By:	 	 /s/ Joseph Magnacca

	Name:	 	Joseph Magnacca
	Title:	 	Chief Executive Officer
	
	RADIOSHACK CUSTOMER SERVICE LLC
		
	By:	 	 /s/ Joel H. Tiede

	Name:	 	Joel H. Tiede
	Title:	 	President
	
	RADIOSHACK GLOBAL SOURCING
LIMITED PARTNERSHIP
	By:	 	RadioShack Corporation, as General Partner
		
	By:	 	 /s/ Joseph Magnacca

	Name:	 	Joseph Magnacca
	Title:	 	Chief Executive Officer
	
	RSIGNITE, LLC
		
	By:	 	 /s/ Robert C. Donohoo

	Name:	 	Robert C. Donohoo
	Title:	 	President

 [Signature Page to Asset Purchase Agreement] 

 
			
	TRADE AND SAVE LLC
		
	By:	 	 /s/ William R. Russum

	Name:	 	William R. Russum
	Title:	 	President and Treasurer

 [Signature Page to Asset Purchase Agreement] 

 Annex A 

Subsidiary Sellers 
 Atlantic Retail
Ventures, Inc. 
 Ignition L.P. 
 ITC Services, Inc. 

Merchandising Support Services, Inc. 
 RadioShack Customer Service
LLC 
 RadioShack Global Sourcing Corporation 
 RadioShack
Global Sourcing Limited Partnership 
 RadioShack Global Sourcing, Inc. 

RS Ig Holdings Incorporated 
 RSIgnite, LLC 

SCK, Inc. 
 Tandy Finance Corporation 

Tandy Holdings, Inc. 
 Tandy International Corporation 

TE Electronics LP 
 Trade and Save LLC 

and TRS Quality, Inc. 

  
 [Signature Page to
Asset Purchase Agreement]EX-4.1

 Exhibit 4.1 

AMENDMENT NO. 3 TO RIGHTS AGREEMENT 

Amendment No. 3, dated as of February 11, 2015 (this “Amendment”), to the Rights Agreement, dated as of
December 21, 2006, as amended (the “Rights Agreement”), by and between USG Corporation, a Delaware corporation (the “Company”), and Computershare Trust Company, N.A., as rights agent (successor
rights agent to Computershare Investor Services, LLC, hereinafter, the “Rights Agent”). 
 RECITALS 

WHEREAS, the Board of Directors of the Company has determined that it is in the best interests of the Company and its stockholders to amend
the Rights Agreement as set forth in this Amendment; 
 WHEREAS, pursuant to Section 27 of the Rights Agreement, prior to the time at
which the Rights cease to be redeemable, and subject to the penultimate sentence of Section 27 of the Rights Agreement, the Company may in its sole and absolute discretion, and the Rights Agent will if the Company so directs, supplement or
amend any provision of the Rights Agreement in any respect in accordance with the provisions of such Section; and 
 WHEREAS, pursuant to
the terms of the Rights Agreement and in accordance with Section 27 thereof, the Company has directed that the Rights Agreement be amended as set forth in this Amendment, and by its execution and delivery hereof, directs the Rights Agent to
execute this Amendment. 
 NOW THEREFORE, in consideration of the foregoing and the mutual agreements set forth in the Rights Agreement and
in this Amendment, the parties hereto hereby amend the Rights Agreement as follows: 
 1. Section 1(a) of the Rights Agreement is
hereby amended and restated in its entirety as follows: 
 “(a) “Acquiring Person” means any
Person (other than the Company, any Related Person, any Restricted Person or any Exempt Person) who or which, together with all Affiliates and Associates of such Person, is the Beneficial Owner of the Trigger Amount, or more, of the then-outstanding
Common Shares; provided, however, that (i) any Person who or which would otherwise be an Acquiring Person as of or prior to 4:00 p.m., New York City time, on February 11, 2015 (the “Effective Time”) will not
be deemed to be an Acquiring Person for any purpose of this Agreement prior to or after the Effective Time unless and until such time as (A) such Person or any Affiliate or Associate of such Person thereafter becomes the Beneficial Owner of any
additional Common Shares, other than (1) pursuant to any agreement or regular-way purchase order for Common Shares that is in effect on or prior to the Effective Time and consummated in accordance with its terms after the Effective Time or
(2) as a result of a stock dividend, rights dividend, stock split or similar transaction effected by the Company in which all holders of Common Shares are treated 

 
equally, or (B) any other Person who is the Beneficial Owner of Common Shares becomes an Affiliate or Associate of such Person, provided that the foregoing exclusion in this clause
(i) shall cease to apply with respect to any Person at such time as such Person, together with all Affiliates and Associates of such Person, Beneficially Owns less than the Trigger Amount of the then-outstanding Common Shares, (ii) a
Person will not be deemed to have become an Acquiring Person solely as a result of a reduction in the number of Common Shares outstanding unless and until such time as (A) such Person or any Affiliate or Associate of such Person thereafter
becomes the Beneficial Owner of any additional Common Shares, other than as a result of a stock dividend, stock split or similar transaction effected by the Company in which all holders of Common Shares are treated equally, or (B) any other
Person who is the Beneficial Owner of Common Shares thereafter becomes an Affiliate or Associate of such Person and, in either such case, such Person, together with all Affiliates and Associates of such Person, shall thereafter be the Beneficial
Owner of the Trigger Amount, or more, of the then-outstanding Common Shares, and (iii) a Person will not be deemed to have become an Acquiring Person solely as a result of an Exempt Transaction unless and until such time as (A) such Person
or any Affiliate or Associate of such Person thereafter becomes the Beneficial Owner of any additional Common Shares, other than as a result of a stock dividend, rights dividend, stock split or similar transaction effected by the Company in which
all holders of Common Shares are treated equally, or (B) any other Person who is the Beneficial Owner of Common Shares thereafter becomes an Affiliate or Associate of such Person and, in either such case, such Person, together with all
Affiliates and Associates of such Person, shall thereafter be the Beneficial Owner of the Trigger Amount, or more, of the then-outstanding Common Shares. Notwithstanding the foregoing, if (1) the Board of Directors of the Company determines
that a Person who would otherwise be an “Acquiring Person” as defined pursuant to the foregoing provisions of this Section 1(a) has become such inadvertently and (2) such Person divests as promptly as practicable or agrees in
writing to divest a sufficient number of Common Shares so that such Person would no longer be an “Acquiring Person” as defined pursuant to the foregoing provisions of this Section 1(a), then such Person shall not be deemed to be an
“Acquiring Person” for any purposes of this Agreement, provided, however, that during the Special Period, the actions contemplated by this clause (2) need be taken only if and to the extent the Board of Directors of the
Company may determine in its sole discretion.” 
 2. Section 1(c) of the Rights Agreement is hereby amended and restated in its
entirety as follows: 
 “(c) A Person will be deemed the “Beneficial Owner” of, and to
“Beneficially Own”: 
 (i) during the Special Period, any securities (A) which such Person directly owns,
(B) which such Person would be deemed to indirectly or constructively own for purposes of Section 382 of the Code and the Treasury Regulations promulgated 

  
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thereunder or (C) which any other Person Beneficially Owns, but only if such Person and such other Person are part of the same group of Persons that, with respect to such security, are
treated as one “entity” as defined under Treasury Regulation 1.382-3(a)(1); and 
 (ii) after the end of the Special Period,
(A) the beneficial ownership of which such Person or any of such Person’s Affiliates or Associates, directly or indirectly, has the right to acquire (whether such right is exercisable immediately or only after the passage of time) pursuant
to any agreement, arrangement or understanding (whether or not in writing), or upon the exercise of conversion rights, exchange rights, warrants, options or other rights (in each case, other than upon exercise or exchange of the Rights);
provided, however, that a Person will not be deemed the Beneficial Owner of, or to Beneficially Own, securities tendered pursuant to a tender or exchange offer made by or on behalf of such Person or any of such Person’s Affiliates
or Associates until such tendered securities are accepted for purchase or exchange; or (B) which such Person or any of such Person’s Affiliates or Associates, directly or indirectly, has or shares the right to vote or dispose of, including
pursuant to any agreement, arrangement or understanding (whether or not in writing); or (C) of which any other Person is the Beneficial Owner, if such Person or any of such Person’s Affiliates or Associates has any agreement, arrangement
or understanding (whether or not in writing) with such other Person (or any of such other Person’s Affiliates or Associates) with respect to acquiring, holding, voting or disposing of any securities of the Company; 

provided further, however, that for purposes of this Section 1(c), a Person will not be deemed the Beneficial Owner
of, or to Beneficially Own, any security (x) if such Person has the right to vote such security pursuant to an agreement, arrangement or understanding (whether or not in writing) which (aa) arises solely from a revocable proxy given to such
Person in response to a public proxy or consent solicitation made pursuant to, and in accordance with, the applicable rules and regulations of the Exchange Act and (bb) is not also then reportable on Schedule 13D under the Exchange Act (or any
comparable or successor report), or (y) if such beneficial ownership arises solely as a result of such Person’s status as a “clearing agency,” as defined in Section 3(a)(23) of the Exchange Act; provided
further, however, that nothing in this Section 1(c) will cause a Person engaged in business as an underwriter of securities to be the Beneficial Owner of, or to Beneficially Own, any securities acquired through such Person’s
participation in good faith in an underwriting syndicate until the expiration of 40 calendar days after the date of such acquisition, or such later date as the Board of Directors of the Company may determine in any specific case.” 

3. Section 1(dd) of the Rights Agreement is hereby amended and restated in its entirety as follows: 

“(dd) “Exempt Person” means (i) any Person who is an “investment advisor” to one or
more mutual funds or a trustee of one or more trusts qualified under Section 401(a) of the Code sponsored by unrelated corporations if, 

  
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immediately after any increase in Beneficial Ownership of Common Stock by such Person, (A) no single mutual fund or qualified trust advised by such investment advisor or such trustee,
respectively, actually owns or Beneficially Owns 4.9% or more of the then-outstanding Common Shares and (B) such investment advisor or trustee Beneficially Owns (other than with respect to such mutual funds or such trusts, as applicable) less
than 4.9% of the then-outstanding Common Shares; or (ii) any Person whose Beneficial Ownership (together with all Affiliates and Associates of such Person) of 4.9% or more of the then-outstanding Common Shares will not, as determined by the
Company’s Board of Directors in its sole discretion pursuant to a duly adopted resolution, jeopardize or endanger the availability to the Company of any income tax benefit, provided, however, that if such a Person is an Exempt
Person solely by reason of clause (ii) of this Section 1(dd), then such Person will cease to be an Exempt Person if the Board makes a contrary determination with respect to the effect of such Person’s Beneficial Ownership (together
with all Affiliates and Associates of such Person) regardless of the reason therefor.” 
 4. Section 1(ee) of the Rights Agreement
is hereby amended and restated in its entirety as follows: 
 “(ee) “Special Period” means the
period beginning as of 4:00 p.m., New York City time, on March 22, 2013 and ending at the earliest of (i) the Close of Business on March 22, 2016, (ii) the Close of Business on the date of a determination by the Board of
Directors of the Company that this Agreement is no longer necessary for the preservation of Tax Benefits because of the repeal of Section 382 or any successor statute, (iii) the Close of Business on the first day of a taxable year of the
Company to which the Board of Directors of the Company determines that no Tax Benefits may be carried forward, and (iv) the Close of Business on such date as the Board of Directors of the Company determines that this Agreement is no longer
necessary for the preservation of Tax Benefits.” 
 5. Section 33 of the Rights Agreement is hereby amended and restated in its
entirety as follows: 
 “33. “Determinations and Actions by the Board. For all purposes of this Agreement,
any calculation of the number of Common Shares outstanding at any particular time, including for purposes of determining the particular percentage of such outstanding Common Shares of which any Person is the Beneficial Owner, will be made pursuant
to and in accordance with, as the Board of Directors of the Company deems to be applicable, the last sentence of Rule 13d-3(d)(1)(i) of the General Rules and Regulations under the Exchange Act or the provisions of Section 382 of the Code and
the Treasury Regulations promulgated thereunder, or in each case any successor provision or replacement provision. The Board of Directors of the Company will have the exclusive power and authority to administer this Agreement and to exercise all
rights and powers specifically granted to the Board of Directors of the Company or to the Company, or as may 

  
 - 4 - 

 
be necessary or advisable in the administration of this Agreement, including without limitation the right and power to (i) interpret the provisions of this Agreement (including without
limitation Section 27, this Section 33 and other provisions hereof relating to its powers or authority hereunder) and (ii) make all determinations deemed necessary or advisable for the administration of this Agreement (including
without limitation any determination contemplated by Section 1(a) or any determination as to whether particular Rights shall have become void). All such actions, calculations, interpretations and determinations (including, for purposes of
clause (y) below, any omission with respect to any of the foregoing) which are done or made by the Board of Directors of the Company in good faith will (x) be final, conclusive and binding on the Company, the Rights Agent, the holders of
the Rights and all other parties and (y) not subject the Board of Directors of the Company to any liability to any Person, including without limitation the Rights Agent and the holders of the Rights.” 

6. Exhibit B to the Rights Agreement is hereby deemed amended and restated in a manner consistent with this Amendment. 

7. Capitalized terms used without other definition in this Amendment will be used as defined in the Rights Agreement. 

8. This Amendment will be deemed to be a contract made under the internal substantive laws of the State of Delaware and for all purposes will
be governed by and construed in accordance with the internal substantive laws of such State applicable to contracts to be made and performed entirely within such State. 

9. The Rights Agreement will not otherwise be supplemented or amended by virtue of this Amendment, but will remain in full force and effect.

 10. This Amendment may be executed in any number of counterparts and each of such counterparts will for all purposes be deemed to be an
original, and all such counterparts shall together constitute but one and the same instrument. A signature to this Amendment transmitted electronically shall have the same authority, effect, and enforceability as an original signature. 

11. This Amendment will be effective as of the Effective Time and all references to the Rights Agreement will, from and after such time, be
deemed to be references to the Rights Agreement as amended hereby. 
 12. The undersigned officer of the Company, being duly authorized on
behalf of the Company, hereby certifies in his or her capacity as an officer on behalf of the Company to the Rights Agent that this Amendment is in compliance with the terms of Section 27 of the Rights Agreement. 

13. By its execution and delivery hereof, the Company directs the Rights Agent to execute this Amendment. 

  
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 [Signatures on following page.] 

  
 - 6 - 

 IN WITNESS WHEREOF, this Amendment has been duly executed by the Company and the Rights Agent as
of the Effective Time. 
  

			
	USG CORPORATION
		
	By:		 /s/ Stanley L. Ferguson

			Name: Stanley L. Ferguson
			Title: Executive Vice President, General Counsel and Secretary
	
	COMPUTERSHARE TRUST COMPANY, N.A.
		
	By:		 /s/ David Adamson

			Name: David Adamson
			Title: Vice President

  
 S-1

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