Document:

Dated

 

1
January 2013

 

Employment
contract

 

between

 

Coda
Octopus Products, Inc.

 

and

 

Mr.
Blair Cunningham

 

    	 	 	 

    	 

    

 

	contents	 	 
	 	 	 
	clause	 	 
	 	 	 
	1	Interpretation	 1
	2	Term
    of appointment	 2
	3	Duties	 3
	4	Place
    of work	 4
	5	Compensation
    and Benefits	 4
	6	Expenses	 6
	7	Holidays	 6
	8	Outside
    interests	 6
	9	Confidential
    information	 7
	10	Intellectual
    Property rights	 7
	11	Termination	 9
	12	Obligations
    upon termination	 10
	13	Post-termination
    restrictions	 11
	14	Reconstruction
    and amalgamation	 13
	15	Notices	 13
	16	Entire
    Agreement and previous contracts	 13
	17	Variation	 13
	18	Counterparts	 13
	19	Governing
    law and jurisdiction	 13

 

    	 	 	 

    	 

    

 

THIS
AGREEMENT is dated January 01, 2013

 

Parties

 

	(1)	Coda
    Octopus Products, Inc. a Delaware corporation with its principal place of business at 4020 Kidron Road, Lakeland, Florida
    Fl 33811 USA (“Company” or “Employer”).
	 	 
	(2)	Mr.
    Blair Cunningham of 10025 Chatham Oaks Court, Orlando, Florida 32836 (Employee).

 

Agreed
terms

 

	1.	Interpretation
	 	 
	1.1	The
    definitions and rules of interpretation in this Clause 1.1 apply in this Agreement.
	 	 
	 	Appointment:
    the employment of the Employee by the Company on the terms of this Agreement.
	 	 
	 	Associated
    Employer: has the meaning given to it in the Employment Rights Act 1996.
	 	 
	 	Board:
    the board of directors of the Company (including any committee of the board duly appointed by it).
	 	 
	 	Capacity:
    as agent, consultant, director, employee, owner, partner, shareholder or in any other capacity.
	 	 
	 	Coda
    Board: the board of directors of Coda Octopus Group, Inc. (“COGI” or “Parent
    Company”)
	 	 
	 	Company
    Board: the board of directors of the Company (Coda Octopus Products, Inc.)
	 	 
	 	Commencement
    Date: the date of this Agreement.
	 	 
	 	Confidential
    Information: information (whether or not recorded in documentary form, or stored on any magnetic or optical disk or memory)
    relating to the business, products, affairs and finances of any Group Company for the time being confidential to any Group
    Company and trade secrets including, without limitation, technical data, know-how relating to the business of any Group Company
    including without limitation its products, business plan, product development milestones and/or roadmap, key customers, key
    suppliers’, key resources and their capabilities.
	 	 
	 	Duty
    Station: Employer’s principal address.

 

    	 	 1	 

    	 

    

 

	 	Employment
    IPRs: Intellectual Property Rights created by the Employee in the course of his employment with the Company (whether or
    not during working hours or using Company premises or resources).
	 	 
	 	Employment
    Inventions: any invention which is made wholly or partially by the Employee at any time in the course of his employment
    with the Company (whether or not during working hours or using Company premises or resources, and whether or not recorded
    in material form).
	 	 
	 	Group
    Company or Group: the Company, any company of which it is a Subsidiary (its holding company) and any subsidiaries of the
    Company or those of its parent company or of any such holding company.
	 	 
	 	Home
    Country: Scotland
	 	 
	 	Home
    Visits: visits by the Employee and his immediate family (wife and children) to his Home
    Country from which he was relocated to perform the duties. 
	 	 
	 	Incapacity:
    any sickness or injury which prevents the Employee from carrying out his duties.
	 	 
	 	Intellectual
    Property Rights (IPRs): patents, rights to inventions, copyright and related rights, trade marks, trade names and domain
    names, rights in get-up, rights in goodwill or to sue for passing off, unfair competition rights, rights in designs, rights
    in computer software, database rights, topography rights, rights in confidential information (including know-how and trade
    secrets) and any other intellectual property rights, in each case whether registered or unregistered and including all applications
    (or rights to apply) for, and renewals or extensions of, such rights and all similar or equivalent rights or forms of protection
    which subsist or will subsist now or in the future in any part of the world.
	 	 
	 	Pre-Contractual
    Statement: any undertaking, promise, assurance, statement, representation, warranty or understanding (whether in writing
    or not) of any person (whether party to this Agreement or not) relating to the Employee’s employment under this Agreement
    which is not expressly set out in this Agreement or any documents referred to in it.
	 	 
	 	Restricted
    Business: any business involved in business activities similar to those of the Group’s Marine Products Business
    including in developing software, hardware, firmware or the like for the subsea market
	 	 
	 	Restricted
    Customer: any firm, company or person who, during the eighteen (18) months prior to Termination, was a customer of or
    in the habit of dealing with the Company or any Group Company with whom the Employee had contact or about whom he became aware
    or informed in the course of his employment.
	 	 
	 	Restricted
    Person: any person who is or was an employee, consultant or affiliate of the Company during the preceding six months prior
    to Termination.
	 	 
	 	Special
    Provisions: those set out in Clause 7 of this Agreement. 
	 	 
	 	Staff
    Handbook: the Company’s staff handbook in force from time to time
	 	 
	 	Subsidiary:
    in relation to a company (a holding company) means a subsidiary (as defined in section 1159 of the Companies Act 2006)
    and any other company which is a subsidiary (as so defined) of a company which is itself a subsidiary of such holding company.
	 	 
	 	Termination:
    the termination of the Employee’s employment with the Company however caused including, without limitation, termination
    by the Company in repudiatory breach of contract.

 

    	 	 2	 

    	 

    

 

	1.2	The
    headings in this Agreement are inserted for convenience only and shall neither affect its construction nor its interpretation.
	 	 
	1.3	A
    reference to a particular law is a reference to it as it is in force for the time being taking account of any amendment, extension,
    or re-enactment and includes any subordinate legislation for the time being in force made under it.
	 	 
	1.4	A
    reference to one gender includes a reference to the other gender.
	 	 
	1.5	The
    schedules to this Agreement form part of (and are incorporated into) this Agreement.
	 	 
	2.	Term
    of appointment
	 	 
	2.1	The
    Company shall employ the Employee on a full time basis and the Employee shall serve the Company on the terms of this Agreement.
    
	 	 
	2.2	The
    Appointment shall be deemed to have commenced on the Commencement Date and shall continue, subject to the remaining terms
    of this Agreement, until terminated by either party giving the other not less than twelve (12) months prior notice in writing
    unless the provisions of Clause 11.1 apply.
	 	 
	2.3	During
    the term of this Agreement either party can give notice to terminate without giving reason, as long as the notice period is
    twelve months. Notice is not effective unless it is in writing and dated and addressed to the Group CEO or the Company Board.
	 	 
	2.4	The
    Employee consents to the transfer of his employment under this agreement to an Associated Employer at any time during the
    Appointment.
	 	 

    	 	 3	 

    	 

    

 

	3.	Duties
	 	 
	3.1	The
    Employee shall serve as President of Technology and CEO of Coda Octopus Products Inc. 
	 	 
	3.2	The
    broad terms of the role description for the Appointment is set forth in Schedule 1 hereto. Notwithstanding the description
    set forth in Schedule 1 and unless otherwise agreed in writing with the Company Board, the Employee shall perform all duties
    as are consistent with this position and such other duties that the Company may reasonably assign to the Employee from time
    to time. 
	 	 
	3.3	During
    the Appointment the Employee shall:

 

	 	(a)	act
    as a director the Company;
	 	 	 
	 	(b)	comply
    with the bye-laws of the Company (as amended from time to time) and Group companies which he is a Director;
	 	 	 
	 	(c)	abide
    by any statutory, fiduciary or common-law duties to the Company and Group companies to which he is a serving Director;
	 	 	 
	 	(d)	not
    do anything that would cause him to be disqualified from acting as a director in any of the jurisdictions that the Parent
    Company or Company has its Subsidiaries;
	 	 	 
	 	(e)	unless
    prevented by Incapacity, devote the whole of his or her time, attention and abilities to the business of the Company and the
    Group. 
	 	 	 
	 	(f)	diligently
    exercise such powers and perform such duties as may from time to time be assigned to him by the Company;
	 	 	 
	 	(g)	comply
    with all reasonable and lawful directions given to his or her by the Company;
	 	 	 
	 	(h)	use
    his or her best endeavours to promote, protect, develop and extend the business of the Company and the Group.

 

	3.4	The
    Employee consents to the Company monitoring and recording any use that she makes of the Company’s electronic communications
    systems for the purpose of ensuring that the Company’s rules are being complied with and for legitimate business purposes.
	 	 
	3.5	The
    Employee shall comply with any electronic communication systems policy that the Company may issue from time to time. 
	 	 
	3.6	The
    Employee shall comply with any rules, policies and procedures set out in the Staff Handbook. To the extent that there is any
    conflict between the terms of this agreement and the Staff Handbook, this agreement shall prevail.

 

    	 	 4	 

    	 

    

 

	3.7	All
    documents, manuals, hardware and software provided for the Employee’s use by the Company, and any data or documents
    (including copies) produced, maintained or stored on the Company’s computer systems or other electronic equipment (including
    mobile phones), remain the property of the Company. 
	 	 
	4.	Place
    of work
	 	 
	4.1	The
    Employee’s normal place of work is at the principal place of business of the Company.

 

	5.	Compensation
    and Benefits
	 	 
	5.1	The
    Employee shall be paid an annual salary of $160,000 (“Base Salary”). This salary takes effect from January 1,
    2016.
	 	 
	5.2	The
    Base Salary shall be paid by the Company on a bi-weekly basis.
	 	 
	5.3	The
    Employee’s salary shall be reviewed by the Group Chief Executive, annually. The Company is under no obligation to award
    an increase following a salary review. There will be no review of the salary after notice has been given by either party to
    terminate the Appointment.
	 	 
	5.4	The
    Company may deduct from the salary, or any other sums owed to the Employee, any money owed to any Group Company by the Employee.
	 	 
	5.5	The
    Employee shall be entitled to participate in the Company’s Bonus Scheme in effect from time to time under such terms
    and conditions as the Board may determine. 
	 	 
	6.	Health
    Insurance and other benefits
	 	 
	6.1	Your
    life insurance, death in service benefits which you enjoyed during your employment with the Associated Employer prior to your
    relocation to the current Duty Station shall continue. 
	 	 
	6.2	In
    addition, during the term of his employment, the Employee shall be entitled to participate in the Company’s permanent
    health insurance scheme, Dental, Vision, STD, LTD and Group Life Plans at the Company’s expense, subject to:

 

    	 	 5	 

    	 

    

 

	 	(a)	the
    terms of the Company’s scheme, as amended from time to time;
	 	 	 
	 	(b)	the
    rules or insurance policy of the relevant insurance provider, as amended from time to time; and 
	 	 	 
	 	(c)	the
    Employee satisfying the normal underwriting requirements of the relevant insurance provider and the premium being at a rate
    which the Company considers reasonable.

 

	 	Full
    details of the scheme are available from the Group’s Acting CFO. 
	 	 
	6.3	Where
    the Employee is relocated he will be entitled to the benefits that may be applicable to that duty station. 
	 	 
	6.4	The
    Company in its sole and absolute discretion reserves the right to discontinue, vary or amend the scheme (including the level
    of the Employee’s cover) at any time on reasonable notice to the Employee.
	 	 
	6.5	If
    the insurance provider refuses for any reason to provide permanent health insurance benefit to the Employee, the Company shall
    not be liable to provide to the Employee any replacement benefit of the same or similar kind or to pay any compensation in
    lieu of such benefit.

 

	7.	Special
    Provision
	 	 
	7.1	The
    Employee was relocated from his Home Country to the current Duty Station. 
	 	 
	7.2	In
    recognition that the Employee’s Home Country and therefore a large part of his family life is in his Home Country, as
    part of the remuneration package, every 15 months for a period of 5 years from 1 November 2016, the Company shall pay the
    reasonable costs for Home Visits. These costs shall extend to and limited to airfare from Duty Station (economy class) and
    accommodation for up to 7 days for Home Visits and other reasonable costs which are direct and incidental to the Home Visits
    (the latter referred to as “Incidental Home Visit Costs). The Incidental Home Visit Costs shall not exceed $1,000 per
    trip. 
	 	 
	7.3	The
    Company shall provide Compassionate Leave for Home Country.
	 	 
	7.4	For
    a period of 3 years from 1 November 2016, in the event that the Group’s Marine Products Business sells in excess of
    $14m of its real time 3D solutions in any one financial year (not cumulatively over the 3 year period but within each discrete
    financial year), the Company shall pay the Employee a one off payment of $250,000 in recognition that he is the champion of
    the Company’s technology. The CEO shall within 30 days of filing the Company’s audited financial statements, provide
    the Employee with a breakdown of sales of 3D solutions in that financial year. This shall include sonar software, hardware
    but excludes pan & tilt sales. 

 

    	 	 6	 

    	 

    

 

	8.	Expenses
	 	 
	8.1	The
    Company shall reimburse against receipts or other evidence which is satisfactory to the Company, all reasonable and approved
    expenses wholly, properly and necessarily incurred by the Employee in the course of the Appointment. 
	 	 
	8.2	Business
    expenses incurred by the Employee shall be claimed within 3 months of these being incurred. 
	 	 
	8.3	The
    Employee shall abide by the Company’s policies on expenses as communicated to his or her from time to time.
	 	 
	8.4	Any
    credit card supplied to the Employee by the Company shall be used only for business expenses incurred by his or her in the
    course of the Appointment.

 

	9.	Holidays
	 	 
	9.1	The
    Employee shall be entitled 25 days’ paid holiday in each holiday year together with the usual public holidays. If the
    Appointment commences or terminates part way through a holiday year, the Employee’s entitlement during that holiday
    year shall be calculated on a pro-rata basis rounded up to the nearest whole day. Holiday period runs from 1 January to 31
    December. 
	 	 
	9.2	Holiday
    shall be taken at such time or times as shall be approved in advance by the Board. The Employee shall not without the consent
    of the Board carry forward any accrued but untaken holiday entitlement to a subsequent holiday year unless the Employee has
    been unavoidably prevented from taking such holiday during the relevant leave year by virtue of a period of statutory maternity,
    paternity or adoption leave.
	 	 
	9.3	The
    Employee shall have no entitlement to any payment in lieu of accrued but untaken holiday save on termination of the Appointment.
    If either party has served notice to terminate the Appointment, the Board may require the Employee to take any accrued but
    unused holiday entitlement during the notice period.
	 	 
	10.	Outside
    interests
	 	 
	10.1	Subject
    to Clause 10.2, during the Appointment the Employee shall not, except as a representative of the Group or with the prior written
    approval of the Board, whether paid or unpaid, be directly or indirectly engaged, concerned or have any financial interest
    in any Capacity in any other business, trade, profession or occupation (or the setting up of any business, trade, profession
    or occupation). The Employee will not serve on the board of directors of any Restricted Business or other entity that owns,
    operates, acquires, sells, develops and/or manages any company which is involved in subsea or sonar inspection or visualization.

 

    	 	 7	 

    	 

    

 

	10.2	Notwithstanding
    Clause 10.1, the Employee may hold an investment by way of shares or other securities of not more than 5% of the total issued
    share capital of any company (whether or not it is listed or dealt in on a recognised stock exchange) where such company does
    not carry on a business similar to or competitive with any business for the time being carried on by the Group.
	 	 
	11.	Confidential
    information
	 	 
	11.1	The
    Employee acknowledges that in the course of the Appointment he will have access to Confidential Information. The Employee
    has therefore agreed to accept the restrictions in this Clause 11.
	 	 
	11.2	The
    Employee shall not (except in the proper course of his or her duties), either during the Appointment or at any time after
    its termination (howsoever arising), use or disclose to any person, company or other organisation whatsoever (and shall use
    his or her best endeavours to prevent the publication or disclosure of) any Confidential Information. 
	 	 
	11.3	This
    restriction does not apply to:
	 	 
	(a)	any
    use or disclosure authorised by the Board or required by law or by the Appointment; or
	 	 
	(b)	any
    information which is already in, or comes into, the public domain other than through the Employee’s unauthorised disclosure;
    or
	 	 
	(c)	prevent
    the Employee from making a protected disclosure within the meaning of any applicable employment legislation.
	 	 
	12.	Intellectual
    Property Rights
	 	 
	12.1	The
    Employee acknowledges that all Employment IPRs, Employment Inventions and all materials embodying them shall automatically
    belong to the Company to the fullest extent permitted by law. To the extent that they do not vest in the Company automatically,
    the Employee holds them on trust for the Company.
	 	 
	12.2	The
    Employee acknowledges that, because of the nature of his or her duties and the particular responsibilities arising from the
    nature of his or her duties, he has, and shall have at all times while he is employed by the Company, a special obligation
    to further the interests of the Company.

 

    	 	 8	 

    	 

    

 

	12.3	To
    the extent that legal title in any Employment IPRs or Employment Inventions does not vest in the Company by virtue of Clause
    12.1, the Employee agrees, immediately upon creation of such rights and inventions, to offer to the Company in writing a right
    of first refusal to acquire them on arm’s length terms to be agreed between the parties. 
	 	 
	12.4	The
    Employee agrees:

 

	 	(a)	to
    give the Company full written details of all Employment Inventions which relate to or are capable of being used in the business
    of any Group Company promptly on their creation;
	 	 	 
	 	(b)	at
    the Company’s request and in any event on the termination of his or her employment to give to the Company all originals
    and copies of correspondence, documents, papers and records on all media which record or relate to any of the Employment IPRs;
	 	 	 
	 	(c)	not
    to attempt to register any Employment IPR nor patent any Employment Invention unless requested to do so by the Company; and
	 	 	 
	 	(d)	to
    keep confidential each Employment Invention unless the Company has consented in writing to its disclosure by the Employee.

 

	12.5	The
    Employee waives all his or her present and future moral rights which arise under the any applicable law relating to any copyright
    which forms part of the Employment IPRs, and agrees not to support, maintain nor permit any claim for infringement of moral
    rights in such copyright works.
	 	 
	12.6	The
    Employee acknowledges that, except as provided by law, no further remuneration or compensation other than that provided for
    in this Agreement is or may become due to the Employee in respect of his or her compliance with this Clause. 
	 	 
	12.7	The
    Employee undertakes to use his or his or her best endeavours to execute all documents and do all acts both during and after
    his or his or her his or her employment by the Company as may, in the opinion of the Board, be necessary or desirable to vest
    the Employment IPRs in the Company, to register them in the name of the Company and to protect and maintain the Employment
    IPRs and the Employment Inventions. Such documents may, at the Company’s request, include waivers of all and any statutory
    moral rights relating to any copyright works which form part of the Employment IPRs. The Company agrees to reimburse the Employee’s
    reasonable expenses of complying with this Clause 12.6.

 

    	 	 9	 

    	 

    

 

	12.8	The
    Employee agrees to give all necessary assistance to the Company to enable it to enforce its Intellectual Property Rights against
    third parties, to defend claims for infringement of third party Intellectual Property Rights and to apply for registration
    of Intellectual Property Rights, where appropriate throughout the world, and for the full term of those rights.
	 	 
	12.9	The
    Employee his or hereby irrevocably appoints the Company to be his or his or her attorney to execute and do any such instrument
    or thing and generally to use his or his or her name for the purpose of giving the Company or its nominee the benefit of this
    Clause 10. The Employee acknowledges in favour of a third party that a certificate in writing signed by any Director or the
    Secretary of the Company that any instrument or act falls within the authority conferred by this Clause 10 shall be conclusive
    evidence that such is the case.
	 	 
	13.	Termination
    
	 	 
	13.1	Notwithstanding
    the provisions of Clause 2.12, the Company or the Group Chief Executive may terminate the Appointment with immediate effect
    without notice and with no liability to make any further payment to the Employee (other than in respect of amounts accrued
    due at the date of termination) if the Employee:

 

	 	(a)	is
    guilty of any gross misconduct affecting the business of the Company or any Group Company;
	 	 	 
	 	(b)	commits
    any serious or repeated breach or non-observance of any of the provisions of this Agreement or refuses or neglects to comply
    with any reasonable and lawful directions of the Board; or
	 	 	 
	 	(c)	is,
    in the reasonable opinion of the Board, negligent and incompetent in the performance of his duties; or
	 	 	 
	 	(d)	is
    guilty of any fraud or dishonesty or acts in any manner which in the opinion of the Board brings or is likely to bring the
    Employee or any Group Company into disrepute or is materially adverse to the interests of any Group Company; or is guilty
    of a serious breach of any rules issued by the Company from time to time regarding its electronic communications systems.
	 	 	 
	 	(e)	Is
    guilty of any violations of SEC Regulations as they pertain to the Company.

 

	13.2	The
    rights of the Company under Clause 13.1 are without prejudice to any other rights that it might have at law to terminate the
    Appointment or to accept any breach of this Agreement by the Employee as having brought the Agreement to an end. Any delay
    by the Company in exercising its rights to terminate shall not constitute a waiver thereof.

 

    	 	 10	 

    	 

    

 

	14.	Obligations
    upon termination
	 	 
	14.1	On
    termination of the Appointment (howsoever arising) the Employee shall:

 

	 	(a)	Resign
    from all directorship on the Group and its Subsidiaries Board. 
	 	 	 
	 	(b)	immediately
    deliver to the Company all documents, books, materials, records, correspondence, papers and information (on whatever media
    and wherever located) relating to the business or affairs of the Group, any keys, credit card and any other property of any
    Group Company which is in his or her possession or under his or her control;
	 	 	 
	 	(c)	irretrievably
    delete any information relating to the business of any Group Company stored on any magnetic or optical disk or memory and
    all matter derived from such sources which is in his or her possession or under his control outside the Company’s premises;
    and
	 	 	 
	 	(d)	provide
    a signed statement that she has complied fully with his obligations under this Clause 14.1.

 

	15.	Garden
    leave
	 	 
	15.1	Following
    service of notice to terminate the Appointment by either party, or if the Employee purports to terminate the Appointment in
    breach of contract, or, if the Company so decides, at any time during the Appointment or in order to investigate a
    reasonable belief that the Employee is guilty of gross misconduct, the Company may by written notice require the Employee
    not to perform any services (or to perform only specified services) for the Company or any Group Company until the termination
    of the Appointment or a specified date. Any period of Garden Leave shall not normally exceed the required notice period set
    forth in Clause 2.2 of this Agreement. 
	 	 
	15.2	During
    any period of Garden Leave the Company shall be under no obligation to provide any work to, or vest any powers in, the Employee,
    who shall have no right to perform any services for the Company [or any Group Company.
	 	 
	15.3	Upon
    being placed on Garden Leave, the Employee shall resign from all directorship on the Group and its Subsidiaries Board. The
    Company shall be entitled to withhold all payments due until it receives the necessary documents to effectuate the resignation
    from the relevant boards. 
	 	 
	15.4	During
    any period of Garden Leave the Employee shall:

 

    	 	 11	 

    	 

    

 

	 	(a)	continue
    to receive his salary and all contractual benefits in the usual way and subject to the terms of any benefit arrangement;
	 	 	 
	 	(b)	remain
    an employee of the Company and bound by the terms of his contract of employment with the Company;
	 	 	 
	 	(c)	not,
    without the prior written consent of the Group CEO, attend his place of work or any other premises of the Company or any Group
    Company;
	 	 	 
	 	(d)	not,
    without the prior written consent of Group CEO, contact or deal with (or attempt to contact or deal with) any officer, employee,
    consultant, client, customer, supplier, agent, distributor, shareholder, adviser or other business contact of the Company
    [or any Group Company]; and
	 	 	 
	 	(e)	(except
    during any periods taken as holiday in the usual way) ensure that Group CEO knows where he will be and how he can be contacted
    during each working day [and shall comply with any written requests to contact a specified employee of the Company at specified
    intervals.

 

	16.	Post-termination
    restrictions
	 	 
	16.1	In
    order to protect the confidential information, trade secrets and business connections of the Company and each Group Company
    to which he has access as a result of the Appointment, the Employee covenants with the Company (for itself and as trustee
    and agent for each Group Company) that she shall not:

 

	 	(a)	for
    eighteen (18) months after Termination solicit or endeavour to entice away from the Company or any Group Company the business
    or custom of a Restricted Customer with a view to providing goods or services to that Restricted Customer in competition with
    any Restricted Business; or
	 	 	 
	 	(b)	for
    eighteen (18) months after Termination in the course of any business concern which is in competition with any Restricted Business,
    offer to employ or engage or otherwise endeavour to entice away from the Company or any Group Company any Restricted Person;
    or
	 	 	 
	 	(c)	for
    eighteen (18) months after Termination, be involved in any Capacity with any business concern which is (or intends to be)
    in competition with any Restricted Business; or
	 	 	 
	 	(d)	for
    eighteen (18) months after Termination be involved with the provision of goods or services to (or otherwise have any business
    dealings with) any Restricted Customer in the course of any business concern which is in competition with any Restricted Business;
    or
	 	 	 
	 	(e)	at
    any time after Termination, represent himself as connected with the Company or any Group Company in any Capacity.

 

	16.2	None
    of the restrictions in Clause 16.1 shall prevent the Employee from:

 

	 	(a)	holding
    an investment by way of shares or other securities in any business which is not a Restricted Business; or
	 	 	 
	 	(b)	being
    engaged or concerned in any business concern insofar as the Employee’s duties or work shall relate solely to geographical
    areas where the business concern is not in competition with any Restricted Business; or
	 	 	 
	 	(c)	being
    engaged or concerned in any business concern, provided that the Employee’s duties or work shall relate solely to services
    or activities of a kind with which the Employee was not concerned to a material extent in the twelve (12) months prior to
    Termination.

 

    	 	 12	 

    	 

    

 

	16.3	The
    restrictions imposed on the Employee by this Clause 16 apply to his or her acting:

 

	 	(a)	directly
    or indirectly; and
	 	 	 
	 	(b)	on
    his or her own behalf or on behalf of, or in conjunction with, any firm, company or person.

 

	16.4	Each
    of the restrictions in this Clause 16 is intended to be separate and severable. If any of the restrictions shall be held to
    be void but would be valid if part of their wording were deleted, such restriction shall apply with such deletion as may be
    necessary to make it valid or effective.
	 	 
	16.5	The
    Employee will, at the request and expense of the Company, enter into a separate Agreement with any Group Company in which
    he agrees to be bound by restrictions corresponding to those restrictions in this Clause 16 (or such of those restrictions
    as may be appropriate) in relation to that Group Company.
	 	 
	1.	Disciplinary
    and grievance procedures
	 	 
	1.1	The
    Employee is subject to the Company’s disciplinary and grievance procedures, copies of which are available from Group
    CEO. These procedures do not form part of the Employee’s contract of employment.
	 	 
	1.2	If
    the Employee wishes to appeal against a disciplinary decision he may apply in writing to Group Board in accordance with the
    Company’s disciplinary procedure.
	 	 
	1.3	The
    Company may at any time suspend the Employee for a period of up to 4 weeks during any period in which the Company is carrying
    out a disciplinary investigation into any alleged acts or defaults of the Employee. During any period of suspension the Employee
    shall continue to receive his salary and contractual benefits.
	 	 

         

	1.4	If
    the Employee wishes to raise a grievance, he may apply in writing to Group CEO in accordance with the Company’s grievance
    procedure.

 

    	 	 13	 

    	 

    

 

	2.	Reconstruction
    and amalgamation
	 	 
	 	If
    the Appointment is terminated at any time by reason of any reconstruction or amalgamation of the Company or any Group Company,
    whether by winding up or otherwise, and the Employee is offered employment with any concern or undertaking involved in or
    resulting from such reconstruction or amalgamation on terms which (considered in their entirety) are no less favourable to
    any material extent than the terms of this Agreement, the Employee shall have no claim against the Company or any such undertaking
    arising out of or connected with such termination.
	 	 
	3.	Notices
	 	 
	3.1	Any
    notice given under this Agreement shall be in writing and signed by or on behalf of the party giving it and shall be served
    by delivering it personally, or sending it by pre-paid recorded delivery or registered post to the relevant party at (in the
    case of the Company) its registered office for the time being and (in the case of the Employee) his last known address, or
    by sending it by fax to the fax number notified by the relevant party to the other party. Any such notice shall be deemed
    to have been received:

 

	 	(a)	if
    delivered personally, at the time of delivery;
	 	 	 
	 	(b)	in
    the case of pre-paid recorded delivery or registered post, 48 hours from the date of posting; and
	 	 	 
	 	(c)	in
    the case of fax, at the time of transmission.

 

	3.2	In
    proving such service it shall be sufficient to prove that the envelope containing such notice was addressed to the address
    of the relevant party and delivered either to that address or into the custody of the postal authorities as a pre-paid recorded
    delivery or registered post or that the notice was transmitted by fax to the fax number of the relevant party).
	 	 
	4.	Entire
    Agreement and previous contracts
	 	 
	 	Each
    party on behalf of itself (and in the case of the Company, as agent for any Group Companies) acknowledges and agrees with
    the other party (the Company acting on behalf of itself and as agent for each Group Company) that:

 

	 	(a)	this
    Agreement together with any documents referred to in it constitute the entire Agreement and understanding between the Employee
    and the Company and any Group Company and supersedes any previous Agreement between them relating to the Appointment including
    previous employment contract between the Employee and the Associated Employer (Coda Octopus Products Limited and/or Coda Octopus
    R&D Limited) or Coda Octopus Group, Inc). in entering into this Agreement neither party nor any Group Company has relied
    on any Pre-Contractual Statement; and
	 	 	 
	 	(b)	the
    only remedy available to each party for breach of this Agreement shall be for breach of contract under the terms of this Agreement
    and no party shall have any right of action against any other party in respect of any Pre-Contractual Statement.
	 	 	 
	 	Nothing
    in this Agreement shall, however, operate to limit or exclude any liability for fraud.

 

	5.	Variation
	 	 
	 	No
    variation of this Agreement or of any of the documents referred to in it shall be valid unless it is in writing and signed
    by or on behalf of each of the parties.
	 	 
	6.	Counterparts
	 	 
	 	This
    Agreement may be executed in any number of counterparts, each of which, when executed and delivered, shall be an original,
    and all the counterparts together shall constitute one and the same instrument.
	 	 
	7.	Governing
    law and jurisdiction
	 	 
	7.1	This
    Agreement and any dispute or claim arising out of or in connection with it or its subject matter or formation (including non-contractual
    disputes or claims) shall be governed by and construed in accordance with the laws of Florida. 
	 	 
	7.2	The
    parties irrevocably agree that the courts of Florida shall have exclusive jurisdiction to settle any dispute or claim that
    arises out of or in connection with this Agreement or its subject matter or formation (including non-contractual disputes
    or claims).
	 	 
	 	This
    document has been executed as a deed and is delivered and takes effect on the date stated at the beginning of it.

 

    	 	 14	 

    	 

    

 

	Schedule
    1 	 	Role
    Description

 

Chief
Executive Officer of Coda Octopus Products Inc. (CEO) and President of Technology

 

Based
in Florida 

 

Reports
to Board of Coda Octopus Products Inc. and the Chief Executive of Coda Octopus Group

 

    	 	 15	 

    	 

    

 

	Executed
                                         as a deed by Coda Octopus Products, Inc. acting by Annmarie Gayle

         
	 

         

	 	 
	 	 
	 	Director
	 	 
	 	 
	 	 
	 	 
	 	 
	Signed
                                         as a deed by Blair Cunningham in the presence of:

         
	 
	Signature
    of Witness	Niels
    Soendergaard
	Name
    and Address	GI
    Strandvej 183
	 	DK-3050 Humlebaek
	Occupation	Lawyer
	Date	1
    January 2013

 

    	 	 16Exhibit 4.2

 

AMERICAN FINANCIAL GROUP, INC.

Issuer

 

TO

 

U.S. BANK NATIONAL ASSOCIATION

Trustee

 

SEVENTH SUPPLEMENTAL INDENTURE

 

DATED AS OF AUGUST 22, 2016

 

3.500% SENIOR NOTES

 

DUE AUGUST 15, 2026

 

     

     

    

 

TABLE OF CONTENTS1

 

	 	 	Page
	 	 	 
	Article I	3.500% SENIOR NOTES	1
	Section 1.01	Establishment	1
	Section 1.02	Definitions	2
	Section 1.03	Payment of Principal and Interest	2
	Section 1.04	Denominations	3
	Section 1.05	Global Securities	3
	Section 1.06	Redemption at the Option of the Company	3
	Section 1.07	Governing Law	5
	Section 1.08	Registration, Registration of Transfer and Exchange	5
	Section 1.09	Title; Payment and Terms	7
	Section 1.10	Mutilated, Destroyed, Lost and Stolen Debt Securities	7
	Section 1.11	Events of Default	8
	Section 1.12	Acceleration of Maturity; Rescission and Annulment	10
	Section 1.13	Acceptance of Appointment by Successor	11
	Section 1.14	Supplemental Indentures With Consent of Holders	11
	Section 1.15	Maintenance of Properties	12
	Section 1.16	Corporate Existence	12
	Section 1.17	Limitations on Liens	13
	Section 1.18	Debt Securities Redeemed in Part	13
	 	 	 
	Article II	MISCELLANEOUS PROVISIONS	14
	Section 2.01	Recitals by Company	14
	Section 2.02	Ratification and Incorporation of Indenture; Application of
    Seventh Supplemental Indenture to other Series of Debt Securities	14
	Section 2.03	Executed in Counterparts	14

 

 

1 This Table of Contents does
not constitute part of the Indenture or have any bearing upon the interpretation of any of its terms and provisions.

 

     

     

    

 

THIS SEVENTH SUPPLEMENTAL INDENTURE is made
as of the 22nd day of August, 2016, among AMERICAN FINANCIAL GROUP, INC., an Ohio corporation, Great American Insurance
Group Tower, 301 East Fourth Street, Cincinnati, Ohio 45202 (the “Company”), and U.S. BANK NATIONAL ASSOCIATION, (formerly
known as Star Bank, N.A.) a national banking association, as trustee (the “Trustee”).

 

WITNESSETH:

 

WHEREAS, the Company has entered into an
indenture, dated as of November 12, 1997, as supplemented by this Seventh Supplemental Indenture (collectively, the “Indenture”)
with U.S. Bank National Association, as trustee;

 

WHEREAS, the Indenture is incorporated herein
by this reference;

 

WHEREAS, under the Indenture, a new series
of Debt Securities may at any time be established by the Board of Directors of the Company in accordance with the provisions of
the Indenture and the conditions, limitations and restrictions on the terms of such series may be established by a supplemental
indenture executed by the Company and the Trustee;

 

WHEREAS, the Company proposes to create
under the Indenture a new series of Debt Securities;

 

WHEREAS, additional Debt Securities of other
series hereafter established, except as may be limited in the Indenture as at the time supplemented and modified, may be issued
from time to time pursuant to the Indenture as at the time supplemented and modified, and that such series of Debt Securities hereafter
established or any series of Debt Securities established prior to the date hereof shall not be subject to the provisions of this
Seventh Supplemental Indenture unless expressly provided in the Board Resolution, supplemental indenture or other documentation,
as permitted by the Indenture, establishing such series of Debt Securities; and

 

WHEREAS, all conditions necessary to authorize
the execution and delivery of this Seventh Supplemental Indenture and to make it a valid and binding obligation of the Company
have been done or performed.

 

NOW, THEREFORE, in consideration of the
agreements and obligations set forth herein and for other good and valuable consideration, the sufficiency of which is hereby acknowledged,
the parties hereto hereby agree as follows:

 

Article
I

3.500%
SENIOR NOTES

 

Section 1.01         Establishment.
There is hereby established a new series of Debt Securities to be issued under the Indenture, to be designated as the Company’s
3.500% Senior Notes due August 15, 2026 (the “Senior Notes”).

 

There are to be authenticated and delivered
Senior Notes, initially limited in aggregate principal amount of $300,000,000, and no further Senior Notes shall be authenticated
and delivered except as provided by Section 2.1, 3.5, 3.6, 9.6 and 11.7 of the Indenture; provided further, that the aggregate
principal amount of the Senior Notes may be increased in the future, without the consent of the Holders of the Senior Notes, on
the same tenor and terms and with the same CUSIP number as the Senior Notes (including, without limitation, rights to receive accrued
and unpaid interest as the Senior Notes then outstanding), so that such further Senior Notes shall be consolidated with, form a
single series with and increase the aggregate principal amount of the Senior Notes, provided that such further Senior Notes are
fungible for U.S. federal income tax purposes with such previously issued Senior Notes. The Senior Notes shall be issued in definitive
fully registered form.

 

     

     

    

 

The Senior Notes shall be issued in the
form of one Global Security in substantially the form set out in Exhibit A hereto. The U.S. Depositary with respect to the Senior
Notes shall be The Depository Trust Company.

 

The form of the Trustee’s Certificate
of Authentication for the Senior Notes shall be in substantially the form set forth in Exhibit B hereto.

 

Each Senior Note shall be dated the date
of authentication thereof and shall bear interest from the date of original issuance thereof or from the most recent Interest Payment
Date to which interest has been paid or duly provided for.

 

Section 1.02         Definitions.
(a) The following defined terms used herein shall, unless the context otherwise requires, have the meanings specified below. Capitalized
terms used herein for which no definition is provided herein shall have the meanings set forth in the Indenture.

 

“Final Maturity” means August
15, 2026.

 

“Interest Payment Date” means
February 15 and August 15 of each year.

 

“Place of Payment” means New
York, New York.

 

“Regular Record Date” means
February 1 and August 1; as the case may be, next preceding the relevant Interest Payment Date.

 

Section 1.03         Payment
of Principal and Interest. The entire outstanding principal amount of the Senior Notes shall be due and payable, unless accelerated,
redeemed or required to be repurchased pursuant to the Indenture, at Final Maturity. The unpaid principal amount of the Senior
Notes shall bear interest at the rate of 3.500% per annum until paid or duly provided for. Interest shall be paid semi-annually
in arrears on each Interest Payment Date, commencing February 15, 2017, to the Person in whose name the Senior Notes are registered
on the Regular Record Date for such Interest Payment Date, provided that interest payable at Final Maturity will be paid to the
Person to whom principal is payable. Any such interest that is not so punctually paid or duly provided for will forthwith cease
to be payable to the Holders on such Regular Record Date and may be paid as provided in Section 3.7 of the Indenture.

 

Payments of interest on the Senior Notes
will include interest accrued to but excluding the respective Interest Payment Dates. Interest payments for the Senior Notes shall
be computed and paid on the basis of a 360-day year of twelve 30-day months. In the event that any date on which interest is payable
on the Senior Notes is not a Business Day, then a payment of the interest payable on such date will be made on the next succeeding
day that is a Business Day, except that, notwithstanding Section 1.13 of the Indenture, if such Business Day is in the next succeeding
calendar year, such payment shall be made on the immediately preceding Business Day, in each case with the same force and effect
as if made on the date the payment was originally payable. No interest will accrue due to any delay in payment on the amount so
payable for the period from such Interest Payment Date to the date payment is made.

 

Payment of the principal and interest due
at Final Maturity of the Senior Notes shall be made at the office or agency of the Company maintained for that purpose in the Place
of Payment, in such coin or currency of the United States of America as at the time of payment is legal tender for payment of public
and private debts; provided, however, that, at the option of the Company, interest may be paid by check mailed to the address of
the Person entitled thereto as such address shall appear in the Security Register; provided, further, that payment to the U.S.
Depositary or any successor depositary may be made by wire transfer to the account designated by the U.S. Depositary or such successor
depositary in writing.

 

    	 	- 2 -	 

     

    

 

Section 1.04         Denominations.
The Senior Notes may be issued in denominations of $2,000.00, or any integral multiples of $1,000 in excess thereof.

 

Section 1.05         Global
Securities. The Senior Notes will be issued in the form of one or more Global Securities registered in the name of the U.S.
Depositary or its nominee. Except under the limited circumstances described below, Senior Notes represented by the Global Security
will not be exchangeable for, and will not otherwise be issuable as, Senior Notes in definitive form. The Global Securities described
above may not be transferred except as a whole by the U.S. Depositary to a nominee of such U.S. Depositary or by a nominee of such
U.S. Depositary to such depositary or another nominee of such U.S. Depositary or by such U.S. Depositary or any other such nominee
to a successor U.S. Depositary or a nominee of such successor U.S. Depositary.

 

Owners of beneficial interests in such a
Global Security will not be considered the Holders thereof for any purpose under the Indenture, and no Global Security representing
a Senior Note shall be exchangeable, except for another Global Security of like denomination and tenor to be registered in the
name of the U.S. Depositary or its nominee or to a successor U.S. Depositary or its nominee. The rights of Holders of such Global
Security shall be exercised only through the U.S. Depositary.

 

A Global Security shall be exchangeable
for Senior Notes registered in the names of Persons other than the U.S. Depositary or its nominee only as provided by Section 3.5
of the Indenture. Any Global Security that is exchangeable pursuant to the preceding sentence shall be exchangeable for Senior
Notes registered in such names as the U.S. Depositary shall direct.

 

Section 1.06         Redemption
at the Option of the Company.

 

(A)         As
used in this Section 1.06:

 

“Comparable Treasury Issue”
means the United States Treasury security selected by an Independent Investment Banker as having an actual or interpolated maturity
comparable to the remaining term (“Remaining Life”) of the Senior Notes to be redeemed that would be utilized, at the
time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable
maturity to the remaining term of such Senior Notes.

 

“Comparable Treasury Price”
means, with respect to any redemption date, the average of the two Reference Treasury Dealer Quotations for such redemption date.

 

“Independent Investment
Banker” means one of the Reference Treasury Dealers appointed by the Company.

 

“Reference Treasury Dealer”
means each of J.P. Morgan Securities LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated, and Wells Fargo Securities, LLC,
and their respective successors; provided, however, that if any of the foregoing or their successors cease to be a primary U.S.
Government securities dealer (each, a “Primary Treasury Dealer”), the Company will substitute therefor another such
Primary Treasury Dealer.

 

    	 	- 3 -	 

     

    

 

“Reference Treasury Dealer
Quotations” means, with respect to each Reference Treasury Dealer and any redemption date, the average, as determined by
the Trustee, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal
amount) quoted in writing to the Trustee by such Reference Treasury Dealer at 3:30 p.m., New York City time, on the third business
day preceding such redemption date.

 

“Treasury Rate” means,
with respect to any redemption date, the rate per year equal to:

 

		(1)	the yield, under the heading which represents the average
for the immediately preceding week, appearing in the most recently published statistical release designated “H.15(519)”
or any successor publication which is published weekly by the Board of Governors of the Federal Reserve System and which establishes
yields on actively traded United States Treasury securities adjusted to constant maturity under the caption “Treasury Constant
Maturities,” for the maturity corresponding to the Comparable Treasury Issue; provided that, if no maturity is within three
months before or after the Remaining Life of the senior notes to be redeemed, yields for the two published maturities most closely
corresponding to the Comparable Treasury Issue shall be determined and the Treasury Rate shall be interpolated from those yields
on a straight line basis, rounding to the nearest month; or

 

		(2)	if such release (or any successor release) is not published
during the week preceding the calculation date or does not contain such yields, the rate per year equal to the semiannual equivalent
yield to maturity or interpolated maturity of the Comparable Treasury Issue, calculated using a price for the Comparable Treasury
Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such redemption date.

 

The Treasury Rate will be calculated
on the third business day preceding the redemption date. As used in the immediately preceding sentence and in the definition of
“Reference Treasury Dealer Quotations” above, the term “business day” means any day that is not a Saturday,
Sunday or other day on which commercial banks in New York City are authorized or required by law to remain closed.

 

(B)         Prior
to May 15, 2026 (the date that is three months prior to the Final Maturity), the Senior Notes may be redeemed, in whole or in part,
at the Company’s option, at any time or from time to time, on notice given not more than 60 days, if the Senior Notes are
being redeemed in full, or 45 days, if the Senior Notes are being redeemed in part, nor less than 30 days, prior to the date of
redemption, at a redemption price equal to the greater of (i) 100% of the principal amount of any Senior Notes to be redeemed;
or (ii) the sum of the present values of the remaining scheduled payments of principal and interest on any Senior Notes to be redeemed
(exclusive of interest accrued to the date of redemption) discounted to the date of redemption on a semiannual basis (assuming
a 360-day year consisting of twelve 30-day months) at the then current Treasury Rate plus 30 basis points.

 

(C)         On
or after May 15, 2026 (the date that is three months prior to the Final Maturity), the Senior Notes may be redeemed, in whole or
in part, at the Company’s option, at any time or from time to time, on notice given not more than 60 days, if the Senior
Notes are being redeemed in full, or 45 days, if the Senior Notes are being redeemed in part, nor less than 30 days, prior to the
date of redemption, at a redemption price equal to 100% of the principal amount of any Senior Notes to be redeemed.

 

    	 	- 4 -	 

     

    

 

(D)         If
the Company redeems any Senior Notes pursuant to Paragraphs (B) or (C) of this Section 1.06, the Company will pay accrued and unpaid
interest on the principal amount of any Senior Note being redeemed to, but excluding, the redemption date.

 

(E)         The
full defeasance and covenant defeasance provisions of the Indenture relating to the Company’s obligations in connection with
the Debt Securities will apply to the Senior Notes.

 

Section 1.07         Governing
Law. Section 1.12 of the Indenture is hereby amended and restated to read in its entirety as follows:

 

“SECTION 1.12         Governing
Law.

 

THIS INDENTURE AND THE DEBT SECURITIES SHALL
BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT REGARD TO THE CONFLICTS OF LAW RULES
OF SUCH STATE. THIS INDENTURE IS SUBJECT TO THE PROVISIONS OF THE TRUST INDENTURE ACT OF 1939, AS AMENDED, THAT ARE REQUIRED TO
BE PART OF THIS INDENTURE AND SHALL, TO THE EXTENT APPLICABLE, BE GOVERNED BY SUCH PROVISIONS.”

 

Section 1.08         Registration,
Registration of Transfer and Exchange. Section 3.5 of the Indenture is hereby amended and restated to read in its entirety
as follows:

 

“SECTION 3.5   Registration,
Registration of Transfer and Exchange. The Company shall keep or cause to be kept for the Debt Securities of each series a
register (the register maintained in such office being herein sometimes referred to as the “Debt Security Register”)
in which, subject to such reasonable regulations as it may prescribe, the Company shall provide for the registration, registration
of transfer and exchange of Debt Securities. The Trustee is hereby initially appointed “Debt Security Registrar” for
such purposes.

 

Upon surrender for registration of transfer
of any Debt Security of any particular series at the office or agency of the Company in a Place of Payment for that series, the
Company shall execute, and the Trustee for the Debt Securities of each series shall authenticate and deliver, in the name of the
designated transferee or transferees, one or more new Debt Securities of any authorized denominations, and of a like Stated Maturity
and of a like series and aggregate principal amount and with like terms and conditions.

 

Except as set forth below, at the option
of the Holder, Debt Securities of any particular series may be exchanged for other Debt Securities of any authorized denominations,
and of a like Stated Maturity and of a like series and aggregate principal amount and with like terms and conditions, upon surrender
of the Debt Securities to be exchanged at such office or agency. Whenever any Debt Securities are so surrendered for exchange,
the Company shall execute, and the Trustee for such Debt Securities shall authenticate and deliver, the Debt Securities which the
Holder making the exchange is entitled to receive.

 

All Debt Securities issued upon any registration
of transfer or exchange of Debt Securities shall be the valid obligations of the Company, evidencing the same debt, and entitled
to the same benefits under this Indenture, as the Debt Securities surrendered upon such registration of transfer or exchange.

 

    	 	- 5 -	 

     

    

 

Every Debt Security presented or surrendered
for registration of transfer or exchange shall (if so required by the Company or the Trustee for such Debt Security) be duly endorsed,
or be accompanied by a written instrument of transfer in form reasonably satisfactory to the Company and the Debt Security Registrar
for such series duly executed by the Holder thereof or his attorney duly authorized in writing.

 

No service charge shall be made for any
registration of transfer or exchange of Debt Securities, but the Company may require payment of a sum sufficient to cover any tax
or other governmental charge that may be imposed in connection with any registration of transfer or exchange of Debt Securities,
other than exchanges pursuant to Section 3.4, 9.6, 11.3 or 11.7 not involving any transfer.

 

Notwithstanding any other provision of this
Section, unless and until it is exchanged in whole or in part for Debt Securities in definitive form, a Global Security representing
all or a portion of the Debt Securities of a series may not be transferred except as a whole by the U.S. Depositary for such series
to a nominee of such U.S. Depositary or by a nominee of such U.S. Depositary to such depositary or another nominee of such U.S.
Depositary or by such U.S. Depositary or any other such nominee to a successor U.S. Depositary for such series or a nominee of
such successor U.S. Depositary.

 

If at any time the U.S. Depositary for the
Debt Securities of a series notifies the Company that it is unwilling or unable to continue as U.S. Depositary for the Debt Securities
of such series or if at any time the U.S. Depositary for Debt Securities of such series shall no longer be a clearing agency registered
and in good standing under the Exchange Act or other applicable statute or regulation, the Company shall appoint a successor U.S.
Depositary for the Debt Securities of such series. If a successor U.S. Depositary for the Debt Securities is not appointed by the
Company within 90 days after the Company receives such notice or becomes aware of such condition, the Company will execute, and
the Trustee, upon receipt of a Company Order for the authentication and delivery of definitive Debt Securities of such series,
will authenticate and deliver, Debt Securities of such series in definitive form in an aggregate principal amount equal to the
principal amount of the Global Security or Securities representing such series in exchange for such Global Security or Securities.

 

The Company may at any time and in its sole
discretion determine that the Debt Securities of any series issued in the form of one or more Global Securities shall no longer
be represented by such Global Security or Securities. In such event, the Company will execute, and the Trustee, upon receipt of
a Company Order for the authentication and delivery of definitive Debt Securities of such series, will authenticate and deliver,
Debt Securities of such series in definitive form and in an aggregate principal amount equal to the principal amount of the Global
Security or Securities representing such series in exchange for such Global Security or Securities.

 

If the Debt Securities of any series shall
have been issued in the form of one or more Global Securities and if an Event of Default with respect to the Debt Securities of
such series shall have occurred and be continuing, the Company will promptly execute, and the Trustee, upon receipt of a Company
Order for the authentication and delivery of definitive Debt Securities of such series, will authenticate and deliver Debt Securities
of such series in definitive form and in an aggregate principal amount equal to the principal amount of the Global Security or
Securities representing such series in exchange for such Global Security or Securities.

 

The U.S. Depositary for such series of Debt
Securities may surrender a Global Security for such series of Debt Securities in exchange in whole or in part for Debt Securities
of such series of like tenor and terms and in definitive form on such terms as are acceptable to the Company and such U.S. Depositary.
Thereupon, the Company shall execute and the Trustee shall authenticate and deliver, without charge:

 

    	 	- 6 -	 

     

    

 

(1)         to
each Person specified by the U.S. Depositary a new Debt Security or Securities of the same series, of like tenor and terms and
of any authorized denomination as requested by such Person in an aggregate principal amount equal to and in exchange for such Person’s
beneficial interest in the Global Security; and

 

(2)         to
the U.S. Depositary a new Global Security in a denomination equal to the difference, if any, between the principal amount of the
surrendered Global Security and the aggregate principal amount of the Debt Securities delivered to Holders thereof.

 

Upon the exchange of a Global Security for
Debt Securities in definitive form, such Global Security shall be canceled by the Trustee. Definitive Debt Securities issued in
exchange for a Global Security pursuant to this Section shall be registered in such names and in such authorized denominations
as the U.S. Depositary for such Global Security, pursuant to instructions from its direct or indirect participants or otherwise,
shall instruct the Trustee. The Trustee shall deliver such definitive Debt Securities to the Persons in whose names such Debt Securities
are so registered.”

 

Section 1.09         Title;
Payment and Terms. The last paragraph of Section 3.1 of the Indenture is hereby amended and restated to read in its entirety
as follows:

 

“All
Debt Securities of any particular series shall be substantially identical except as to denomination, rate of interest, Stated Maturity
and the date from which interest, if any, shall accrue, and except as may otherwise be provided in or pursuant to such Board Resolution
relating thereto. The terms of such Debt Securities, as set forth above, may be determined by the Company from time to time if
so provided in or established pursuant to the authority granted in a Board Resolution. Any of the terms of the Debt Securities,
as set forth above, may be made dependent upon facts ascertainable outside the Board Resolution provided that the manner in which
said facts shall operate upon the terms is set forth in the Board Resolution. All Debt Securities of any one series need not be
issued at the same time, and unless otherwise provided, a series may be reopened, without notice to or the consent of the registered
holders of such Debt Securities, for issuances of additional Debt Securities of such series. Such additional Debt Securities will
rank pari passu with the outstanding Debt Securities of such series in all material respects, or in all respects
except for the issue date and public offering price or payment of interest accruing prior to the issue date of such additional
Debt Securities or except for the first payment of interest following the issue date of such additional Debt Securities, and so
that such additional Debt Securities may be consolidated and form a single series with the outstanding Debt Securities of such
series and have the same terms as to status, redemption or otherwise as the outstanding Debt Securities of such series; provided
that such additional Debt Securities are fungible for U.S. federal income tax purposes with such previously issued Debt Securities”

 

Section 1.10         Mutilated,
Destroyed, Lost and Stolen Debt Securities. Section 3.6 of the Indenture is hereby amended and restated to read in its entirety
as follows:

 

“SECTION 3.6   Mutilated,
Destroyed, Lost and Stolen Debt Securities. If (i) any mutilated Debt Security is surrendered to the Trustee for such Debt
Security, or the Company and the Trustee for a Debt Security receive evidence to their satisfaction of the destruction, loss or
theft of any Debt Security, and (ii) there is delivered to the Company, the Debt Security Registrar and such Trustee such security
or indemnity as may be reasonably required by them to save each of them and any agent of either of them harmless, then, in the
absence of notice to the Company or such Trustee that such Debt Security has been acquired by a bona fide purchaser, the Company
shall execute and upon its request such Trustee shall authenticate and deliver, in lieu of any such destroyed, lost or stolen Debt
Security or in exchange for such mutilated Debt Security, a new Debt Security of the same series and in a like principal amount
and of a like Stated Maturity and with like terms and conditions and bearing a number not contemporaneously outstanding.

 

    	 	- 7 -	 

     

    

 

In case any such mutilated, destroyed, lost
or stolen Debt Security has become or is about to become due and payable, the Company in its discretion may, instead of issuing
a new Debt Security, pay such Debt Security (without surrender thereof except in the case of a mutilated Debt Security) if the
applicant for such payment shall furnish to the Company, the Debt Security Registrar and the Trustee for such Debt Security such
security or indemnity as may be reasonably required by them to save each of them harmless, and in case of destruction, loss or
theft, evidence reasonably satisfactory to the Company and such Trustee and any agent of either of them of the destruction, loss
or theft of such Debt Security and the ownership thereof.

 

Upon the issuance of any new Debt Security
under this Section, the Company may require the payment of a sum sufficient to cover any tax or other governmental charge that
may be imposed in relation thereto and any other expenses (including all fees and expenses of the Trustee and the Debt Security
Registrar for such Debt Security) connected therewith.

 

Every new Debt Security of any series issued
pursuant to this Section in lieu of any destroyed, lost or stolen Debt Security or in exchange for any mutilated Debt Security
shall constitute an original additional contractual obligation of the Company, whether or not the destroyed, lost or stolen Debt
Security shall be at any time enforceable by anyone, and shall be entitled to all the benefits of this Indenture equally and proportionately
with any and all other Debt Securities of the same series, duly issued hereunder.

 

The provisions of this Section are exclusive
and shall preclude (to the extent lawful) the assertion of any Holder of all other rights and remedies with respect to the replacement
or payment of mutilated, destroyed, lost or stolen Debt Securities.”

 

Section 1.11         Events
of Default. Section 5.1 of the Indenture is hereby amended and restated to read in its entirety as follows:

 

“SECTION 5.1 Events of Default.
“Event of Default” wherever used herein with respect to any particular series of Debt Securities, unless otherwise
specified in the Debt Security or the Board Resolution with respect to that series of Debt Securities, means any one of the following
events (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation
of law pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental
body):

 

(1)         default
in the payment of any installment of interest upon any Debt Security of that series when it becomes due and payable, and continuance
of such default for a period of 30 days; or

 

(2)         default
in the payment of the principal of (or premium, if any, on) any Debt Security of that series at its Maturity; or

 

(3)         default
in the performance of, or breach of, any covenant or warranty of the Company in respect of any Debt Security of that series contained
in this Indenture or in such Debt Securities (other than a covenant or warranty a default in whose performance or whose breach
is elsewhere in this Section specifically dealt with or which expressly has been included in this Indenture solely for the benefit
of Debt Securities of a series other than that series) or in the applicable Board Resolution under which such series is issued
as contemplated by Section 3.1 and continuance of such default or breach for a period of 60 days after there has been given, by
registered or certified mail, to the Company by the Trustee for the Debt Securities of such series or to the Company and such Trustee
by the Holders of at least 25% in principal amount of the Outstanding Debt Securities of that series a written notice specifying
such default or breach and requiring it to be remedied and stating that such notice is a “Notice of Default” hereunder;
or

 

    	 	- 8 -	 

     

    

 

(4)         if
an event of default with respect to any other series of Debt Securities or as defined in any mortgage, indenture, security agreement
or other instrument under which there may be issued, or by which there may be secured or evidenced, any Indebtedness of the Company
for money borrowed in excess of $10 million principal amount, whether such Indebtedness now exists or shall hereafter be created,
shall happen and, if such Indebtedness is not already matured in accordance with its terms, shall result in such Indebtedness becoming
or being declared due and payable prior to the date on which it would otherwise become due and payable, and such acceleration shall
not have been rescinded or annulled or such Indebtedness shall not have been discharged, in either case, within a period of ten
days after there has been given, by registered or certified mail in the manner set forth in Section 1.5, to the Company by the
Trustee for the Debt Securities of that particular series referred to in the first clause of this Section 5.1 or to the Company
and such Trustee by the Holders of at least 25% in principal amount of the Outstanding Debt Securities of that particular series
referred to in the first clause of this Section 5.1 a written notice specifying such event of default and requiring the Company
to cause such acceleration to be rescinded or annulled or to cause such Indebtedness to be discharged and stating that such notice
is a “Notice of Default” hereunder; provided, that if prior to the entry of judgment in favor of the Trustee, such
default under such indenture or instrument shall be remedied or cured by the Company or waived by the holders of such Indebtedness,
then the Event of Default hereunder shall be deemed likewise to have been remedied, cured or waived; and provided, further, however,
that, subject to the provisions of Sections 6.1 and 6.2, such Trustee shall not be deemed to have knowledge of such default unless
either (A) a Responsible Officer of such Trustee assigned to its Corporate Trust Office shall have actual knowledge of such default
or (B) the Trustee shall have received written notice thereof from the Company, from the Holders of 10% or more in principal amount
of the Outstanding Debt Securities of such other series, from the holder of any such Indebtedness or from the trustee under any
such mortgage, indenture, security agreement or other instrument; or

 

(5)         the
entry against the Company of one or more judgments, decrees or orders by a court having jurisdiction in the premises from which
no appeal may be or is taken for the payment of money, either individually or in the aggregate, in excess of $10 million and the
continuance of such judgment, decree or order unsatisfied and in effect for any period of 60 consecutive days without a stay of
execution and there has been given, by registered or certified mail in the manner set forth in Section 1.5, to the Company by the
Trustee for the Debt Securities of such series or to the Company and such Trustee by the Holders of at least 25% in principal amount
of the Outstanding Debt Securities of such series a written notice specifying such entry and continuance of such judgment, decree
or order and stating that such notice is a “Notice of Default” hereunder; provided, however, that subject to the provisions
of Sections 6.1 and 6.2, such Trustee shall not be deemed to have knowledge of such entry and continuance of such judgment, decree
or order unless either (A) a Responsible Officer of such Trustee assigned to its Corporate Trust Office shall have actual knowledge
thereof or (B) the Trustee shall have received written notice thereof from the Company or from the Holders of 10% or more in principal
amount of the Outstanding Debt Securities of such series; or

 

    	 	- 9 -	 

     

    

 

(6)         the
Company shall commence any case or proceeding seeking to have an order for relief entered on its behalf as debtor or to adjudicate
it as bankrupt or insolvent or seeking reorganization, liquidation, dissolution, winding-up, arrangement, composition or readjustment
of its debts or any other relief under any bankruptcy, insolvency, reorganization, liquidation, dissolution, arrangement, composition,
readjustment of debt or other similar act or law of any jurisdiction, domestic or foreign, now or hereafter existing; or the Company
shall apply for a receiver, custodian or trustee (other than any trustee appointed as a mortgagee or secured party in connection
with the issuance of indebtedness for borrowed money of the Company) of it or for all or a substantial part of its property; or
the Company shall make a general assignment for the benefit of creditors; or the Company shall take any corporate action in furtherance
of any of the foregoing; or

 

(7)         any
case or proceeding against the Company shall be commenced seeking to have an order for relief entered against it or to adjudicate
it as bankrupt or insolvent or seeking reorganization, liquidation, dissolution, winding-up, arrangement, composition or readjustment
of its debts or any other relief under any bankruptcy, insolvency, reorganization, liquidation, dissolution, arrangement, composition,
readjustment of debt or other similar act or law of any jurisdiction, domestic or foreign, now or hereafter existing; or a receiver,
custodian or trustee (other than any trustee appointed as a mortgagee or secured party in connection with the issuance of indebtedness
for borrowed money of the Company) of the Company or for all or a substantial part of its property shall be appointed in any such
case or proceeding; and such case or proceeding (A) results in the entry of an order for relief or a similar order against it or
(B) shall continue unstayed and in effect for a period of 60 consecutive days.”

 

Section 1.12         Acceleration
of Maturity; Rescission and Annulment. Section 5.2 of the Indenture is hereby amended and restated to read in its entirety
as follows:

 

“SECTION 5.2 Acceleration of Maturity;
Rescission and Annulment. If an Event of Default (other than an Event of Default specified in Section 5.1(6) or (7)) with respect
to any particular series of Debt Securities occurs and is continuing, then and in every such case either the Trustee for the Debt
Securities of such series or the Holders of not less than 25% in principal amount of the Outstanding Debt Securities of that series
may declare the entire principal amount (or, in the case of Discounted Debt Securities, such lesser amount as may be provided for
in the terms of that series) of all the Debt Securities of that series to be due and payable immediately, by a notice in writing
to the Company (and to such Trustee if given by Holders), and upon any such declaration of acceleration such principal or such
lesser amount, as the case may be, together with accrued interest and all other amounts owing hereunder, shall become immediately
due and payable, without presentment, demand, protest or notice of any kind, all of which are hereby expressly waived.

 

If an Event of Default specified in Sections
5.1(6) or (7) occurs and is continuing, such principal or such lesser amount, as the case may be, together with accrued interest
and all other amounts owing hereunder, on the Debt Securities of that series shall become and be immediately due and payable without
any declaration or other act on the part of the Trustee or any Holder.

 

At any time after such a declaration of
acceleration has been made and before a judgment or decree for payment of the money due has been obtained by the Trustee for the
Debt Securities of any series as hereinafter in this Article provided, the Holders of a majority in principal amount of the Outstanding
Debt Securities of that series, by written notice to the Company and such Trustee, may rescind and annul such declaration and its
consequences if:

 

(1)          the
Company has paid or deposited with such Trustee a sum sufficient to pay

 

(A)         all
overdue interest on all Debt Securities of that series;

 

(B)         the
principal of (and premium, if any, on) any Debt Securities of that series which have become due otherwise than by such declaration
of acceleration and interest thereon from the date such principal became due at a rate per annum equal to the rate borne by the
Debt Securities of such series (or, in the case of Discounted Debt Securities, the Debt Securities’ Yield to Maturity), to
the extent that the payment of such interest shall be legally enforceable;

 

    	 	- 10 -	 

     

    

 

(C)         to
the extent that payment of such interest is lawful, interest upon overdue interest at a rate per annum equal to the rate borne
by the Debt Securities of such series (or, in the case of Discounted Debt Securities, the Debt Securities’ Yield to Maturity);

 

(D)         all sums paid or advanced by such Trustee
hereunder and the reasonable compensation, expenses, disbursements and advances of such Trustee, its agents and counsel and all
other amounts due to such Trustee under; and

 

(2)          all
Events of Default with respect to the Debt Securities of such series, other than the nonpayment of the principal of Debt Securities
of that series which has become due solely by such acceleration, have been cured or waived as provided in Section 5.13. No such
rescission shall affect any subsequent default or impair any right consequent thereon.”

 

Section 1.13         Acceptance
of Appointment by Successor. Paragraph (a) of Section 6.11 of the Indenture is hereby amended and restated to read in its entirety
as follows:

 

“SECTION 6.11         Acceptance
of Appointment by Successor.

 

(a)          Every
such successor Trustee appointed hereunder with respect to the Debt Securities of any series shall execute, acknowledge and deliver
to the Company and to the retiring Trustee an instrument accepting such appointment, and thereupon the resignation or removal of
the retiring Trustee shall become effective and such successor Trustee without any further act, deed or conveyance, shall become
vested with all the rights, powers, trusts and duties of the retiring Trustee; but, on the request of the Company or the successor
Trustee, such retiring Trustee shall, upon payment of its reasonable charges, execute and deliver an instrument transferring to
such successor Trustee all the rights, powers and trusts of the retiring Trustee and shall duly assign, transfer and deliver to
such successor Trustee all property and money held by such retiring Trustee hereunder, subject to the lien provided for in Section
6.7.”

 

Section 1.14         Supplemental
Indentures With Consent of Holders. Section 9.2 of the Indenture is hereby amended and restated to read in its entirety as
follows:

 

“SECTION 9.2 Supplemental Indentures
With Consent of Holders. The Company, when authorized by a Board Resolution, and the Trustee for the Debt Securities of any
or all series may enter into an indenture or indentures supplemental hereto for the purpose of adding any provisions to or changing
in any manner or eliminating any of the provisions of this Indenture or of modifying in any manner the rights of the Holders of
such Debt Securities under this Indenture, but only with the consent of the Holders of more than 50% in aggregate principal amount
of the Outstanding Debt Securities of each series of Debt Securities then Outstanding affected thereby, in each case by Act of
said Holders of Debt Securities of each such series delivered to the Company and the Trustee for Debt Securities of each such series;
provided, however, that no such supplemental indenture shall, without the consent of the Holder of each Outstanding Debt Security
affected thereby:

 

(1)         change
the Stated Maturity of the principal of, or any installment of principal of or interest or premium, if any, on, any Debt Security,
or reduce the principal amount thereof or the rate of interest thereon, if any, or any premium or other amounts payable upon the
redemption thereof, or reduce the amount of the principal of a Discounted Debt Security that would be due and payable upon a declaration
of acceleration of the Maturity thereof pursuant to Section 5.2, or change the Place of Payment, or impair the right to institute
suit for the enforcement of any such payment on or after the Stated Maturity thereof (or, in the case of redemption, on or after
the Redemption Date); or

 

    	 	- 11 -	 

     

    

 

(2)         reduce
the percentage in principal amount of the Outstanding Debt Securities of any particular series, the consent of whose Holders is
required for any such supplemental indenture, or the consent of whose Holders is required for any waiver (of compliance with certain
provisions of this Indenture or certain defaults hereunder and their consequences) provided for in this Indenture; or

 

(3)         modify
any of the provisions of this Section or Section 5.13 or 10.7, except to increase any such percentage or to provide that certain
other provisions of this Indenture cannot be modified or waived without the consent of the Holder of each Debt Security affected
thereby; provided, however, that this clause shall not be deemed to require the consent of any Holder of a Debt Security with respect
to changes in the references to “the Trustee” and concomitant changes in this Section and Section 10.7, or the deletion
of this proviso, in accordance with the requirements of Section 6.9, 6.11(b) and 9.1(6); or

 

(4)         change
the Redemption Price; or

 

(5)         change
the date prior to which no redemption may be made; or

 

(6)         make
the principal of, or premium, if any, or interest on, any Debt Security payable in anything other than United States Dollars.

 

A supplemental indenture which changes or
eliminates any covenant or other provision of this Indenture which has expressly been included solely for the benefit of one or
more particular series of Debt Securities, or which modifies the rights of the Holders of Debt Securities of such series with respect
to such covenant or other provision, shall be deemed not to affect the rights under this Indenture of the Holders of Debt Securities
of any other series.

 

It shall not be necessary for any Act of
Holders under this Section to approve the particular form of any proposed supplemental indenture, but it shall be sufficient if
such Act shall approve the substance thereof. “

 

Section 1.15         Maintenance
of Properties. Section 10.5 of the Indenture is hereby amended and restated to read in its entirety as follows:

 

“SECTION 10.5 Maintenance of Properties.
The Company shall cause all its properties used or useful in the conduct of its business to be maintained and kept in good condition,
repair and working order and supplied with all necessary equipment and will cause to be made all necessary repairs, renewals, replacements,
betterments and improvements thereof, all as in the reasonable judgment of the Company may be necessary so that the business carried
on in connection therewith may be properly and advantageously conducted at all times; provided, however, that nothing in this Section
shall prevent the Company from discontinuing the operation and maintenance of any of its properties if such discontinuance is,
in the reasonable judgment of the Company desirable in the conduct of its business and not disadvantageous in any material respect
to the Holders.”

 

Section 1.16         Corporate
Existence. Section 10.6 of the Indenture is hereby amended and restated to read in its entirety as follows:

 

    	 	- 12 -	 

     

    

 

“SECTION 10.6 Corporate Existence.
Subject to Article 8, the Company shall do or cause to be done all things necessary to preserve and keep in full force and effect
its corporate existence, rights (charter and statutory) and franchises; provided, however, that the Company shall not be required
to preserve any right or franchise if the Board of Directors shall reasonably determine that the preservation thereof is no longer
desirable in the conduct of the business of the Company and that the loss thereof is not disadvantageous in any material respect
to the Holders; and provided, further, however, that the foregoing shall not prohibit a sale, transfer or conveyance of a Subsidiary
or any of its assets in compliance with the terms of this Indenture.”

 

Section 1.17         Limitations
on Liens. The following provisions shall be applicable with respect to the Senior Notes:

 

Limitation on Liens. The Issuer and
its Restricted Subsidiaries shall not issue, assume, incur, suffer to exist or guarantee any indebtedness for borrowed money secured
by a mortgage, pledge, lien or other encumbrance, directly or indirectly, upon any shares of the Voting Stock of a Restricted Subsidiary
which shares are owned by the Issuer or its Restricted Subsidiaries without effectively providing that the Senior Notes shall be
secured equally and ratably with, or prior to, any such secured indebtedness so long as such indebtedness remains outstanding.
This paragraph shall not apply to a mortgage, pledge, lien or other encumbrance on shares of Voting Stock of any Person existing
at the time such Person becomes a Restricted Subsidiary and any extensions, renewals or replacements thereof.

 

“Consolidated Total Assets”
means as of any date of determination, the amount of total assets shown on the consolidated balance sheet of the Issuer and its
consolidated subsidiaries contained in the most recent annual or quarterly report filed with the Commission, or if the Issuer is
not then subject to the Securities Exchange Act of 1934, the most recent annual or quarterly report to shareholders and, in respect
of any Subsidiary as of any date of determination, the amount of total assets of such Subsidiary and its consolidated subsidiaries
shown on the consolidated balance sheet of such Subsidiary from which such consolidated balance sheet of the Issuer and its consolidated
Subsidiaries was derived.

 

“Restricted Subsidiaries” means
(1) Great American Life Insurance Company and Great American Insurance Company; (2) any other present or future subsidiary of the
Issuer, the Consolidated Total Assets of which constitute at least 20% of the Issuer’s Consolidated Total Assets; and (3)
any Person which is a successor, by merger or otherwise, to substantially all the business or properties of any such subsidiary
referred to or described in the foregoing clauses (1) and (2).

 

“Voting Stock” means shares
of any class or classes having general voting power under ordinary circumstances to elect a majority of the board of directors,
managers or trustees of the corporation in question, provided that, for the purposes hereof, shares which carry only the right
to vote conditionally on the happening of an event shall not be considered voting shares whether or not such event shall have happened.

 

Section 1.18         Debt
Securities Redeemed in Part. Section 11.7 of the Indenture is hereby amended and restated to read in its entirety as follows:

 

“SECTION 11.7 Debt Securities Redeemed
in Part. Any Debt Security which is to be redeemed only in part shall be surrendered at the Place of Payment (with, if the Company
or the Trustee for such Debt Security so requires, due endorsement by, or a written instrument of transfer in form reasonably satisfactory
to the Company and the Debt Security Registrar for such Debt Security duly executed by, the Holder thereof or his attorney duly
authorized in writing), and the Company shall execute and such Trustee shall authenticate and deliver to the Holder of such Debt
Security without service charge, a new Debt Security or Debt Securities, of any authorized denomination as requested by such Holder,
of the same series and having the same terms and provisions and in an aggregate principal amount equal to and in exchange for the
unredeemed portion of the principal of the Debt Security so surrendered.”

 

    	 	- 13 -	 

     

    

 

Article
II

MISCELLANEOUS PROVISIONS

 

Section 2.01         Recitals
by Company. The recitals in this Seventh Supplemental Indenture are made by the Company only and not by the Trustee, and all
of the provisions contained in the Indenture in respect of the rights, privileges, immunities, powers and duties of the Trustee
shall be applicable in respect of Senior Notes and of this Seventh Supplemental Indenture as fully and with like effect as if set
forth herein in full.

 

Section 2.02         Ratification
and Incorporation of Indenture; Application of Seventh Supplemental Indenture to other Series of Debt Securities. As supplemented
hereby, the Indenture is in all respects ratified and confirmed, solely with respect to the Senior Notes, and the Indenture and
this Seventh Supplemental Indenture, solely with respect to the Senior Notes shall be read, taken and construed as one and the
same instrument. This Seventh Supplemental Indenture shall not apply to any series of Debt Securities outstanding on the date hereof
or established in the future under the Indenture unless expressly provided in the Board Resolution, supplemental indenture or other
documentation, as provided in the Indenture, establishing such series of Debt Securities.

 

Section 2.03         Executed
in Counterparts. This Seventh Supplemental Indenture may be simultaneously executed in several counterparts, each of which
shall be deemed to be an original, and such counterparts shall together constitute but one and the same instrument.

 

    	 	- 14 -	 

     

    

 

IN WITNESS WHEREOF, each party hereto has
caused this instrument to be signed in its name and behalf by its duly authorized officers, all as of the day and year first above
written by its duly authorized officers, all as of the day and year first above written.

 

	 	AMERICAN FINANCIAL GROUP, INC.
	 	 	 
	 	By:	 
	 	 	Karl J. Grafe
	 	 	Vice President
	 	 	 
	 	U.S. BANK NATIONAL ASSOCIATION,
	 	as Trustee
	 	 	 
	 	By:	 

 

    	 	- 15 -	 

     

    

 

EXHIBIT A

 

FORM OF SENIOR NOTE

 

THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE
INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A U.S. DEPOSITARY (AS DEFINED IN THE INDENTURE) OR A NOMINEE
THEREOF. UNLESS AND UNTIL IT IS EXCHANGED IN WHOLE OR IN PART FOR SECURITIES IN DEFINITIVE FORM, THIS GLOBAL SECURITY MAY NOT BE
TRANSFERRED EXCEPT AS A WHOLE BY THE U.S. DEPOSITARY TO A NOMINEE OF THE U.S. DEPOSITARY, OR BY A NOMINEE OF THE U.S. DEPOSITARY
TO THE U.S. DEPOSITARY OR ANOTHER NOMINEE OF THE U.S. DEPOSITARY, OR BY THE U.S. DEPOSITARY OR ANY SUCH NOMINEE TO A SUCCESSOR
U.S. DEPOSITARY OR A NOMINEE OF SUCH SUCCESSOR U.S. DEPOSITARY. UNLESS THIS SECURITY IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE
OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), TO THE COMPANY (AS DEFINED BELOW) OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY SECURITY ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER
NAME AS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS
IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC) ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY
PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

 

	
        No. R-1

        CUSIP No. 025932 AK0

        ISIN No. US025932AK06
	 $300,000,000 Senior Notes

 

American Financial Group, Inc.

 

3.500% Senior Notes Due August 15, 2026

 

Principal Amount Per Senior Note: $2,000
and Integral Multiples of $1,000 in Excess Thereof

 

American Financial Group, Inc., an Ohio
corporation (hereinafter called the “Company”, which term includes any successor corporation under the Indenture referred
to below), for value received, hereby promises to pay to Cede & Co., or registered assigns, the principal amount of each Senior
Note evidenced hereby (Three Hundred Million Dollars ($300,000,000) in the aggregate) on August 15, 2026, and to pay interest thereon
from August 15, 2016 or from the most recent date to which interest has been paid or duly provided semi-annually on February 15
or August 15 in each year (each, an “Interest Payment Date”), commencing February 15, 2017, at the rate of 3.500% per
annum, until the principal amount of each Senior Note evidenced hereby is paid or duly made available for payment. Interest on
the Senior Notes shall be calculated on the basis of a 360-day year consisting of twelve 30-day months. The interest so payable
and punctually paid or duly provided for on any Interest Payment Date will, as provided in such Indenture, be paid to the Person
in whose name this certificate is registered at the close of business on the Regular Record Date for such interest, which shall
be February 1 and August 1 (whether or not a Business Day), as the case may be, next preceding such Interest Payment Date. Any
such interest which is payable, but is not punctually paid or duly provided for, on any Interest Payment Date shall forthwith cease
to be payable to the registered Holder hereof on the relevant Regular Record Date by virtue of having been such Holder, and may
be paid to the Person in whose name this certificate is registered at the close of business on a Special Record Date for the payment
of such Defaulted Interest to be fixed by the Trustee, notice whereof shall be given to each Person in whose name a certificate
evidencing Senior Notes (defined below) is registered not less than 10 days prior to such Special Record Date, or may be paid at
any time in any other lawful manner not inconsistent with the requirements of any securities exchange on which the Senior Notes
may be listed, and upon such notice as may be required by such exchange, all as more fully provided in such Indenture.

 

    	 	A-1	 

     

    

 

Payment of the principal of and the interest
on the Senior Notes evidenced hereby will be made at the office or agency of the Company maintained for that purpose in the Place
of Payment, in such coin or currency of the United States of America as at the time of payment is legal tender for payment of public
and private debts; provided, however, that, at the option of the Company, interest may be paid by check mailed to the address of
the Person entitled thereto as such address shall appear in the Security Register; provided, further, that payment to The Depository
Trust Company (“DTC”) or any successor depositary may be made by wire transfer to the account designated by DTC or
such successor depositary in writing.

 

This certificate evidences part of a duly
authorized issue of unsecured and unsubordinated indebtedness of the Company (the “Debt Securities”) issued and to
be issued in one or more series under an Indenture dated as of November 12, 1997 (herein called, together with all indentures supplemental
thereto, the “Indenture”) between the Company and U.S. Bank National Association, as Trustee (herein called the “Trustee”,
which term includes any successor trustee under the Indenture), to which Indenture and all indentures supplemental thereto reference
is hereby made for a statement of the respective rights, limitations of rights, obligations, duties and immunities thereunder of
the Company, the Trustee and the Holders of the Debt Securities, and of the terms upon which the Debt Securities are, and are to
be, authenticated and delivered. This certificate evidences Debt Securities of the series designated on the face hereof (each,
a “Senior Note”), limited to $300,000,000; provided, that the aggregate principal amount of the Senior Notes may be
increased in the future, without the consent of the Holders of the Senior Notes, on the same tenor and terms and with the same
CUSIP number as the Senior Notes (including, without limitation, rights to receive accrued and unpaid interest as the Senior Notes
then outstanding), so that such further Senior Notes shall be consolidated with, form a single series with and increase the aggregate
principal amount of the Senior Notes, provided that such further Senior Notes are fungible for U.S. federal income tax purposes
with such previously issued Senior Notes.

 

Prior to May 15, 2026
(the date that is three months prior to the Final Maturity), the Senior Notes may be redeemed, in whole or in part, at the Company’s
option, at any time or from time to time, on notice given not more than 60 days, if the Senior Notes are being redeemed in full,
or 45 days, if the Senior Notes are being redeemed in part, nor less than 30 days, prior to the date of redemption, at a redemption
price equal to the greater of (i) 100% of the principal amount of any Senior Notes to be redeemed; or (ii) the sum of the present
values of the remaining scheduled payments of principal and interest on any Senior Notes to be redeemed (exclusive of interest
accrued to the date of redemption) discounted to the date of redemption on a semiannual basis (assuming a 360-day year consisting
of twelve 30-day months) at the then current Treasury Rate plus 30 basis points.

 

“Comparable Treasury Issue”
means the United States Treasury security selected by an Independent Investment Banker as having an actual or interpolated maturity
comparable to the remaining term (“Remaining Life”) of the Senior Notes to be redeemed that would be utilized, at the
time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable
maturity to the remaining term of such Senior Notes.

 

“Comparable Treasury Price”
means, with respect to any redemption date, the average of the two Reference Treasury Dealer Quotations for such redemption date.

 

    	 	A-2	 

     

    

 

“Independent Investment
Banker” means one of the Reference Treasury Dealers appointed by the Company.

 

“Reference Treasury Dealer”
means each of J.P. Morgan Securities LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated, and Wells Fargo Securities, LLC,
and their respective successors; provided, however, that if any of the foregoing or their successors cease to be a primary U.S.
Government securities dealer (each, a “Primary Treasury Dealer”), the Company will substitute therefor another such
Primary Treasury Dealer.

 

“Reference Treasury Dealer
Quotations” means, with respect to each Reference Treasury Dealer and any redemption date, the average, as determined by
the Trustee, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal
amount) quoted in writing to the Trustee by such Reference Treasury Dealer at 3:30 p.m., New York City time, on the third business
day preceding such redemption date.

 

“Treasury Rate” means,
with respect to any redemption date, the rate per year equal to:

 

		(1)	the yield, under the heading which represents the average
for the immediately preceding week, appearing in the most recently published statistical release designated “H.15(519)”
or any successor publication which is published weekly by the Board of Governors of the Federal Reserve System and which establishes
yields on actively traded United States Treasury securities adjusted to constant maturity under the caption “Treasury Constant
Maturities,” for the maturity corresponding to the Comparable Treasury Issue; provided that, if no maturity is within three
months before or after the Remaining Life of the senior notes to be redeemed, yields for the two published maturities most closely
corresponding to the Comparable Treasury Issue shall be determined and the Treasury Rate shall be interpolated from those yields
on a straight line basis, rounding to the nearest month; or

 

		(2)	if such release (or any successor release) is not published
during the week preceding the calculation date or does not contain such yields, the rate per year equal to the semiannual equivalent
yield to maturity or interpolated maturity of the Comparable Treasury Issue, calculated using a price for the Comparable Treasury
Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such redemption date.

 

The Treasury Rate will be calculated
on the third business day preceding the redemption date. As used in the immediately preceding sentence and in the definition of
“Reference Treasury Dealer Quotations” above, the term “business day” means any day that is not a Saturday,
Sunday or other day on which commercial banks in New York City are authorized or required by law to remain closed.

 

On or after May 15, 2026 (the date that
is three months prior to the Final Maturity), the Senior Notes may be redeemed, in whole or in part, at the Company’s option,
at any time or from time to time, on notice given not more than 60 days, if the Senior Notes are being redeemed in full, or 45
days, if the Senior Notes are being redeemed in part, nor less than 30 days, prior to the date of redemption, at a redemption price
equal to 100% of the principal amount of any Senior Notes to be redeemed.

 

    	 	A-3	 

     

    

 

If the Company redeems any Senior Notes
pursuant to the foregoing paragraphs, the Company will pay accrued and unpaid interest on the principal amount of any Senior Note
being redeemed to, but excluding, the redemption date.

 

The full defeasance and covenant defeasance
provisions of the Indenture relating to the Company’s obligations in connection with the Debt Securities will apply to the
Senior Notes.

 

Except as provided above, the Senior Notes
are not redeemable by the Company prior to maturity and are not subject to any sinking fund. If an Event of Default with respect
to the Senior Notes shall occur and be continuing, the principal amount of the Senior Notes shall be immediately, or may be declared,
as appropriate, due and payable in the manner and with the effect provided in the Indenture.

 

The Indenture permits, with certain exceptions
as therein provided, the amendment thereof and the modification of the rights and obligations of the Company and the rights of
the Holders of the Securities of each series issued under the Indenture at any time by the Company and the Trustee with the consent
of the Holders of not less than a majority in aggregate principal amount of the Securities at the time Outstanding of each series
affected thereby. The Indenture also contains provisions permitting the Holders of specified percentages in aggregate principal
amount of the Securities of any series at the time Outstanding, on behalf of the Holders of all Securities of such series, to waive
compliance by the Company with certain provisions of the Indenture and certain past defaults under the Indenture and their consequences.
Any such consent or waiver by the Holder of this certificate shall be conclusive and binding upon such Holder and upon all future
Holders of this certificate and of any Senior Notes evidenced by a certificate issued upon the registration of transfer hereof
or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this certificate.

 

No reference herein to the Indenture and
no provision of this certificate or of the Indenture shall alter or impair the obligation of the Company, which is absolute and
unconditional, to pay the principal of and interest on the Senior Notes evidenced by this certificate, at the times, place and
rate, and in the coin or currency, herein and in the Indenture prescribed.

 

As provided in the Indenture and subject
to certain limitations set forth therein and in this certificate, the transfer of the Senior Notes evidenced by this certificate
may be registered on the Security Register upon surrender of this certificate for registration of transfer at the office or agency
of the Company maintained for the purpose in any place where the principal of and interest on the Senior Notes are payable, duly
endorsed by, or accompanied by a written instrument of transfer in form reasonably satisfactory to the Company and the Security
Registrar duly executed by, the Holder hereof or by his attorney duly authorized in writing, and thereupon one or more new certificates
evidencing Senior Notes of authorized denominations, and of a like series and aggregate principal amount, and with like terms and
conditions will be issued to the designated transferee or transferees.

 

The Senior Notes are issuable only in registered
form without coupons in denominations of $2,000.00, or any integral multiples of $1,000 in excess thereof, all as more fully provided
in the Indenture. As provided in the Indenture, and subject to certain limitations set forth in the Indenture, and in this certificate,
this certificate is exchangeable for a like aggregate principal amount of Senior Notes of this series in different authorized denominations,
as requested by the Holders surrendering the same.

 

No service charge shall be made for any
such registration of transfer or exchange, but the Company may require payment of a sum sufficient to cover any tax or other governmental
charge payable in connection therewith, other than in certain cases provided in the Indenture.

 

    	 	A-4	 

     

    

 

Prior to due presentment of this certificate
for registration of transfer, the Company, the Trustee and any agent of the Company or the Trustee may treat the Person in whose
name this certificate is registered as the owner of the Senior Notes evidenced hereby for all the purpose of receiving payment
of principal of and (subject to Section 3.7 of the Indenture) interest, if any, on these Senior Notes and for all purposes whatsoever,
whether or not such Senior Notes be overdue, and neither the Company, the Trustee nor any such agent shall be affected by notice
to the contrary.

 

This certificate shall be governed by and
construed in accordance with the laws of the State of New York without regard to the conflicts of laws rules of such state.

 

All terms used in this certificate which
are defined in the Indenture shall have the meanings assigned to them in the Indenture.

 

Unless the certificate of authentication
hereon has been executed by or on behalf of the Trustee under the Indenture by the manual signature of one of its authorized signatories,
this certificate shall not be entitled to any benefits under the Indenture or be valid or obligatory for any purpose.

 

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

 

[SEAL]

	 	AMERICAN FINANCIAL GROUP, INC.
	 	 	 
	 	By:	 
	 	 	Karl J. Grafe
	 	 	Vice President and Secretary

 

	Attest:	 	 
	 	Mark A. Weiss	 
	 	Vice President 	 

 

    	 	A-5	 

     

    

 

TRUSTEE’S CERTIFICATE OF AUTHENTICATION

 

This is one of the Debt Securities of the
series designated herein described in the within-mentioned Indenture.

 

Dated: August 22, 2016

 

	 	U.S. BANK NATIONAL ASSOCIATION,
	 	as Trustee
	 	 	 
	 	By:	 
	 	 	Authorized Officer

 

ABBREVIATIONS

 

The following abbreviations, when used in
the inscription on the face of this instrument, shall be construed as though they were written out in full according to applicable
laws or regulations:

 

	
        TEN COM - as tenants in common

        TEN ENT- as tenants by the entireties

        JT TEN - as joint tenants with right of survivorship
        and not as tenants in common
	 	
        UNIF GIFT MIN ACT - ___Custodian _____

                                               (Cust)              (Minor)

        Under Uniform Gifts to Minors Act ________

        (State)                           

 

Additional abbreviations may also be used
though not in the above list.

 

FOR VALUE RECEIVED, the undersigned registered holder hereby
sell(s), assign(s)

 and transfer(s) unto

 

PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF
ASSIGNEE

 

 

PLEASE PRINT OR TYPEWRITE NAME AND ADDRESS
OF ASSIGNEE

 

 

the Senior Notes evidenced by the within certificate and all
rights thereunder, hereby irrevocably constituting and appointing _____________________ to transfer said Senior Notes on the books
of the Company with full power of substitution in the premises.

 

Dated:________________________________________________________________________

 

Notice: The signature to this assignment
must correspond with the name as it appears upon the face of the within certificate in every particular, without alteration or
enlargement or any change whatever.

 

    	 	A-6	 

     

    

 

EXHIBIT B

 

CERTIFICATE OF AUTHENTICATION

 

This is one of the Debt Securities, of the
series designated herein, described in the within-mentioned Indenture.

 

	 	U.S. BANK NATIONAL ASSOCIATION,
	 	as Trustee
	 	 	 
	 	By:	 
	 	 	Authorized Officer

 

    	 	B-1

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