Document:

EX-10.13

  Exhibit 10.13

  TCR2 THERAPEUTICS INC.

  2022 INDUCEMENT PLAN

  SECTION 1.GENERAL PURPOSE OF THE PLAN; DEFINITIONS

  The name of the plan is the TCR2 Therapeutics Inc. 2022 Inducement Plan (the “Plan”).  The purpose of the Plan is to encourage and enable TCR2 Therapeutics Inc. (the “Company”) to grant equity awards to induce highly-qualified prospective officers and employees to accept employment and provide them with a proprietary interest in the Company.  It is anticipated that providing such persons with a direct stake in the Company’s welfare will assure a closer identification of their interests with those of the Company and its stockholders, thereby stimulating their efforts on the Company’s behalf and strengthening their desire to remain with the Company. The Company intends that the Plan be reserved for persons to whom the Company may issue securities without stockholder approval as an inducement pursuant to Rule 5635(c)(4) of the Marketplace Rules of the NASDAQ Stock Market, Inc.

  The following terms shall be defined as set forth below:

  “Act” means the Securities Act of 1933, as amended, and the rules and regulations thereunder.

  “Administrator” means either the Board or the compensation committee of the Board or a similar committee performing the functions of the compensation committee and which is comprised of not less than two Non-Employee Directors who are independent.

  “Affiliate “ means, at the time of determination, any “parent” or “subsidiary” of the Company as such terms are defined in Rule 405 of the Act.  The Board will have the authority to determine the time or times at which “parent” or “subsidiary” status is determined within the foregoing definition.

  “Award” or “Awards,” except where referring to a particular category of grant under the Plan, shall include Non-Qualified Stock Options, Stock Appreciation Rights, Restricted Stock Units, Restricted Stock Awards, Unrestricted Stock Awards, and Dividend Equivalent Rights.

  “Award Certificate” means a written or electronic document setting forth the terms and provisions applicable to an Award granted under the Plan.  Each Award Certificate is subject to the terms and conditions of the Plan.

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

  “Code” means the Internal Revenue Code of 1986, as amended, and any successor Code, and related rules, regulations and interpretations.

  “Consultant” means a consultant or adviser who provides bona fide services to the Company or an Affiliate as an independent contractor and who qualifies as a consultant or advisor under Instruction A.1.(a)(1) of Form S-8 under the Act.

  “Dividend Equivalent Right” means an Award entitling the grantee to receive credits based on cash dividends that would have been paid on the shares of Stock specified in the Dividend Equivalent Right (or other award to which it relates) if such shares had been issued to and held by the grantee.

  “Effective Date” means the date on which the Plan is approved by the Board as set forth in Section 19.

  “Exchange Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations thereunder.

  “Fair Market Value” of the Stock on any given date means the fair market value of the Stock determined in good faith by the Administrator; provided, however, that if the Stock is listed on the National Association of Securities Dealers Automated Quotation System (“NASDAQ”), NASDAQ Global Market, The New York Stock Exchange or another national securities exchange or traded on any established market, the determination shall be made by reference to market quotations.  If there are no market quotations for such date, the determination shall be made by reference to the last date preceding such date for which there are market quotations.

  “Non-Employee Director” means a member of the Board who is not also an employee of the Company or any Subsidiary.

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  “Non-Qualified Stock Option” means any Stock Option that is not an “incentive stock option” under Section 422 of the Code.

  “Option” or “Stock Option” means any option to purchase shares of Stock granted pursuant to Section 5.

  “Restricted Shares” means the shares of Stock underlying a Restricted Stock Award that remain subject to a risk of forfeiture or the Company’s right of repurchase.

  “Restricted Stock Award” means an Award of Restricted Shares subject to such restrictions and conditions as the Administrator may determine at the time of grant.

  “Restricted Stock Units” means an Award of stock units subject to such restrictions and conditions as the Administrator may determine at the time of grant.

  “Sale Event” shall mean (i) the sale of all or substantially all of the assets of the Company on a consolidated basis to an unrelated person or entity, (ii) a merger, reorganization or consolidation pursuant to which the holders of the Company’s outstanding voting power and outstanding stock immediately prior to such transaction do not own a majority of the outstanding voting power and outstanding stock or other equity interests of the resulting or successor entity (or its ultimate parent, if applicable) immediately upon completion of such transaction, (iii) the sale of all of the Stock of the Company to an unrelated person, entity or group thereof acting in concert, or (iv) any other transaction in which the owners of the Company’s outstanding voting power immediately prior to such transaction do not own at least a majority of the outstanding voting power of the Company or any successor entity immediately upon completion of the transaction other than as a result of the acquisition of securities directly from the Company.

  “Sale Price” means the value as determined by the Administrator of the consideration payable, or otherwise to be received by stockholders, per share of Stock pursuant to a Sale Event.

  “Section 409A” means Section 409A of the Code and the regulations and other guidance promulgated thereunder.

  “Service Relationship” means any relationship as an employee, director or Consultant of the Company or any Affiliate (e.g., a Service Relationship shall be deemed to continue without interruption in the event an individual’s status changes from full-time employee to part-time employee or Consultant).

  “Stock” means the Common Stock, par value $0.0001 per share, of the Company, subject to adjustments pursuant to Section 3.

  “Stock Appreciation Right” means an Award entitling the recipient to receive shares of Stock (or cash, to the extent explicitly provided for in the applicable Award Certificate) having a value equal to the excess of the Fair Market Value of the Stock on the date of exercise over the exercise price of the Stock Appreciation Right multiplied by the number of shares of Stock with respect to which the Stock Appreciation Right shall have been exercised.

  “Subsidiary” means any corporation or other entity (other than the Company) in which the Company has at least a 50 percent interest, either directly or indirectly.

  “Unrestricted Stock Award” means an Award of shares of Stock free of any restrictions.

  SECTION 2.ADMINISTRATION OF PLAN; ADMINISTRATOR AUTHORITY TO SELECT GRANTEES AND DETERMINE AWARDS

  (a)Administration of Plan.  The Plan shall be administered by the Administrator.

  (b)Powers of Administrator.  The Administrator shall have the power and authority to grant Awards consistent with the terms of the Plan, including the power and authority:

  (i)to select the individuals to whom Awards may from time to time be granted;

  (ii)to determine the time or times of grant, and the extent, if any, of Non-Qualified Stock Options, Stock Appreciation Rights, Restricted Stock Awards, Restricted Stock Units, Unrestricted Stock Awards, and Dividend Equivalent Rights, or any combination of the foregoing, granted to any one or more grantees;

  (iii)to determine the number of shares of Stock to be covered by any Award;

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  (iv)to determine and modify from time to time the terms and conditions, including restrictions, not inconsistent with the terms of the Plan, of any Award, which terms and conditions may differ among individual Awards and grantees, and to approve the forms of Award Certificates;

  (v)to accelerate at any time the exercisability or vesting of all or any portion of any Award;

  (vi)subject to the provisions of Section 5(c), to extend at any time the period in which Stock Options may be exercised; and

  (vii)at any time to adopt, alter and repeal such rules, guidelines and practices for administration of the Plan and for its own acts and proceedings as it shall deem advisable; to interpret the terms and provisions of the Plan and any Award (including related written instruments); to make all determinations it deems advisable for the administration of the Plan; to decide all disputes arising in connection with the Plan; and to otherwise supervise the administration of the Plan.

  All decisions and interpretations of the Administrator shall be binding on all persons, including the Company and Plan grantees.

  (c)Award Certificate.  Awards under the Plan shall be evidenced by Award Certificates that set forth the terms, conditions and limitations for each Award which may include, without limitation, the term of an Award and the provisions applicable in the event employment or service terminates.

  (d)Indemnification.  Neither the Board nor the Administrator, nor any member of either or any delegate thereof, shall be liable for any act, omission, interpretation, construction or determination made in good faith in connection with the Plan, and the members of the Board and the Administrator (and any delegate thereof) shall be entitled in all cases to indemnification and reimbursement by the Company in respect of any claim, loss, damage or expense (including, without limitation, reasonable attorneys’ fees) arising or resulting therefrom to the fullest extent permitted by law and/or under the Company’s articles or bylaws or any directors’ and officers’ liability insurance coverage which may be in effect from time to time and/or any indemnification agreement between such individual and the Company.

  (e)Foreign Award Recipients.  Notwithstanding any provision of the Plan to the contrary, in order to comply with the laws in other countries in which the Company and its Subsidiaries operate or have employees or other individuals eligible for Awards, the Administrator, in its sole discretion, shall have the power and authority to:  (i) determine which Subsidiaries shall be covered by the Plan; (ii) determine which individuals outside the United States are eligible to participate in the Plan; (iii) modify the terms and conditions of any Award granted to individuals outside the United States to comply with applicable foreign laws; (iv) establish subplans and modify exercise procedures and other terms and procedures, to the extent the Administrator determines such actions to be necessary or advisable (and such subplans and/or modifications shall be attached to this Plan as appendices); provided, however, that no such subplans and/or modifications shall increase the share limitations contained in Section 3(a) hereof; and (v) take any action, before or after an Award is made, that the Administrator determines to be necessary or advisable to obtain approval or comply with any local governmental regulatory exemptions or approvals.  Notwithstanding the foregoing, the Administrator may not take any actions hereunder, and no Awards shall be granted, that would violate the Exchange Act or any other applicable United States securities law, the Code, or any other applicable United States governing statute or law.

  SECTION 3.STOCK ISSUABLE UNDER THE PLAN; MERGERS; SUBSTITUTION

  (a)Stock Issuable.  The maximum number of shares of Stock reserved and available for issuance under the Plan shall be 1,400,000 shares, subject to adjustment as provided in Section 3(b).  For purposes of this limitation, the shares of Stock underlying any Awards that are forfeited, canceled, held back upon exercise of an Option or settlement of an Award to cover exercise price or tax withholding, reacquired by the Company prior to vesting, satisfied without the issuance of Stock or otherwise terminated (other than by exercise) under the Plan shall be added back to the shares of Stock available for issuance under the Plan. In the event the Company repurchases shares of Stock on the open market, such shares shall not be added to the shares of Stock available for issuance under the Plan. The shares available for issuance under the Plan may be authorized but unissued shares of Stock or shares of Stock reacquired by the Company.

  (b)Changes in Stock.  Subject to Section 3(c) hereof, if, as a result of any reorganization, recapitalization, reclassification, stock dividend, stock split, reverse stock split or other similar change in the Company’s capital stock, the outstanding shares of Stock are increased or decreased or are exchanged for a different number or kind of shares or other securities of the Company, or additional shares or new or different shares or other securities of the Company or other non-cash assets are distributed with respect to such shares of Stock or other securities, or, if, as a result of any merger or consolidation, sale of all or substantially all of the assets of the Company, the outstanding shares of Stock are converted into or exchanged for securities of the Company or any successor entity (or a parent or subsidiary thereof), the Administrator shall make an appropriate or proportionate adjustment in (i) the maximum number of shares reserved for issuance under the Plan, (ii) the number and kind 

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  of shares or other securities subject to any then outstanding Awards under the Plan, (iii) the repurchase price, if any, per share subject to each outstanding Restricted Stock Award, and (iv) the exercise price for each share subject to any then outstanding Stock Options and Stock Appreciation Rights under the Plan, without changing the aggregate exercise price (i.e., the exercise price multiplied by the number of shares subject to Stock Options and Stock Appreciation Rights) as to which such Stock Options and Stock Appreciation Rights remain exercisable.  The Administrator shall also make equitable or proportionate adjustments in the number of shares subject to outstanding Awards and the exercise price and the terms of outstanding Awards to take into consideration cash dividends paid other than in the ordinary course or any other extraordinary corporate event.  The adjustment by the Administrator shall be final, binding and conclusive.  No fractional shares of Stock shall be issued under the Plan resulting from any such adjustment, but the Administrator in its discretion may make a cash payment in lieu of fractional shares.

  (c)Mergers and Other Transactions.  In the case of and subject to the consummation of a Sale Event, the parties thereto may cause the assumption or continuation of Awards theretofore granted by the successor entity, or the substitution of such Awards with new Awards of the successor entity or parent thereof, with appropriate adjustment as to the number and kind of shares and, if appropriate, the per share exercise prices, as such parties shall agree.  To the extent the parties to such Sale Event do not provide for the assumption, continuation or substitution of Awards, upon the effective time of the Sale Event, the Plan and all outstanding Awards granted hereunder shall terminate.  In such case, except as may be otherwise provided in the relevant Award Certificate, all Options and Stock Appreciation Rights with time-based vesting conditions or restrictions that are not vested and/or exercisable immediately prior to the effective time of the Sale Event may become fully vested and exercisable as of the effective time of the Sale Event at the discretion of the Administrator, all other Awards with time-based vesting, conditions or restrictions may become fully vested and nonforfeitable as of the effective time of the Sale Event at the discretion of the Administrator, and all Awards with conditions and restrictions relating to the attainment of performance goals may become vested and nonforfeitable in connection with a Sale Event in the Administrator’s discretion or to the extent specified in the relevant Award Certificate.  In the event of such termination, (i) the Company shall have the option (in its sole discretion) to make or provide for a payment, in cash or in kind, to the grantees holding Options and Stock Appreciation Rights, in exchange for the cancellation thereof, in an amount equal to the difference between (A) the Sale Price multiplied by the number of shares of Stock subject to outstanding Options and Stock Appreciation Rights (to the extent then exercisable at prices not in excess of the Sale Price) and (B) the aggregate exercise price of all such outstanding Options and Stock Appreciation Rights (provided that, in the case of an Option or Stock Appreciation Right with an exercise price equal to or greater than the Sale Price, such Option or Stock Appreciation Right shall be cancelled for no consideration); or (ii) each grantee shall be permitted, within a specified period of time prior to the consummation of the Sale Event as determined by the Administrator, to exercise all outstanding Options and Stock Appreciation Rights (to the extent then exercisable) held by such grantee.  The Company shall also have the option (in its sole discretion) to make or provide for a payment, in cash or in kind, to the grantees holding other Awards in an amount equal to the Sale Price multiplied by the number of vested shares of Stock under such Awards.

  SECTION 4.ELIGIBILITY

  Grantees under the Plan will be such individuals to whom the Company may issue securities without stockholder approval in accordance with Rule 5635(c)(4) of the Marketplace Rues of the NASDAQ Stock Market, Inc. and related guidance thereunder, as are selected from time to time by the Administrator  in its sole discretion. 

  SECTION 5.STOCK OPTIONS

  (a)Award of Stock Options.  The Administrator may grant Stock Options under the Plan.  Any Stock Option granted under the Plan shall be a Non-Qualified Stock Option and shall be in such form as the Administrator may from time to time approve.

  Stock Options granted pursuant to this Section 5 shall be subject to the following terms and conditions and shall contain such additional terms and conditions, not inconsistent with the terms of the Plan, as the Administrator shall deem desirable.  

  (b)Exercise Price.  The exercise price per share for the Stock covered by a Stock Option granted pursuant to this Section 5 shall be determined by the Administrator at the time of grant but shall not be less than 100 percent of the Fair Market Value on the date of grant.  

  (c)Option Term.  The term of each Stock Option shall be fixed by the Administrator, but no Stock Option shall be exercisable more than ten years after the date the Stock Option is granted.  

  (d)Exercisability; Rights of a Stockholder.  Stock Options shall become exercisable at such time or times, whether or not in installments, as shall be determined by the Administrator at or after the grant date.  The Administrator may at any time accelerate the exercisability of all or any portion of any Stock Option.  An optionee shall have the rights of a stockholder only as to shares acquired upon the exercise of a Stock Option and not as to unexercised Stock Options.

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  (e)Method of Exercise.  Stock Options may be exercised in whole or in part, by giving written or electronic notice of exercise to the Company, specifying the number of shares to be purchased.  Payment of the purchase price may be made by one or more of the following methods except to the extent otherwise provided in the Option Award Certificate:

  (i)In cash, by certified or bank check or other instrument acceptable to the Administrator;

  (ii)Through the delivery (or attestation to the ownership following such procedures as the Company may prescribe) of shares of Stock that are not then subject to restrictions under any Company plan.  Such surrendered shares shall be valued at Fair Market Value on the exercise date;

  (iii)By the optionee delivering to the Company a properly executed exercise notice together with irrevocable instructions to a broker to promptly deliver to the Company cash or a check payable and acceptable to the Company for the purchase price; provided that in the event the optionee chooses to pay the purchase price as so provided, the optionee and the broker shall comply with such procedures and enter into such agreements of indemnity and other agreements as the Company shall prescribe as a condition of such payment procedure; or

  (iv)By a “net exercise” arrangement pursuant to which the Company will reduce the number of shares of Stock issuable upon exercise by the largest whole number of shares with a Fair Market Value that does not exceed the aggregate exercise price.

  Payment instruments will be received subject to collection.  The transfer to the optionee on the records of the Company or of the transfer agent of the shares of Stock to be purchased pursuant to the exercise of a Stock Option will be contingent upon receipt from the optionee (or a purchaser acting in his stead in accordance with the provisions of the Stock Option) by the Company of the full purchase price for such shares and the fulfillment of any other requirements contained in the Option Award Certificate or applicable provisions of laws (including the satisfaction of any withholding taxes that the Company is obligated to withhold with respect to the optionee).  In the event an optionee chooses to pay the purchase price by previously-owned shares of Stock through the attestation method, the number of shares of Stock transferred to the optionee upon the exercise of the Stock Option shall be net of the number of attested shares.  In the event that the Company establishes, for itself or using the services of a third party, an automated system for the exercise of Stock Options, such as a system using an internet website or interactive voice response, then the paperless exercise of Stock Options may be permitted through the use of such an automated system.

  SECTION 6.STOCK APPRECIATION RIGHTS

  (a)Award of Stock Appreciation Rights.  The Administrator may grant Stock Appreciation Rights under the Plan.  A Stock Appreciation Right is an Award entitling the recipient to receive shares of Stock (or cash, to the extent explicitly provided for in the applicable Award Certificate) having a value equal to the excess of the Fair Market Value of a share of Stock on the date of exercise over the exercise price of the Stock Appreciation Right multiplied by the number of shares of Stock with respect to which the Stock Appreciation Right shall have been exercised.

  (b)Exercise Price of Stock Appreciation Rights.  The exercise price of a Stock Appreciation Right shall not be less than 100 percent of the Fair Market Value of the Stock on the date of grant.

  (c)Grant and Exercise of Stock Appreciation Rights.  Stock Appreciation Rights may be granted by the Administrator independently of any Stock Option granted pursuant to Section 5 of the Plan.

  (d)Terms and Conditions of Stock Appreciation Rights.  Stock Appreciation Rights shall be subject to such terms and conditions as shall be determined on the date of grant by the Administrator.  The term of a Stock Appreciation Right may not exceed ten years.  The terms and conditions of each such Award shall be determined by the Administrator, and such terms and conditions may differ among individual Awards and grantees.

  SECTION 7.RESTRICTED STOCK AWARDS

  (a)Nature of Restricted Stock Awards.  The Administrator may grant Restricted Stock Awards under the Plan.  A Restricted Stock Award is any Award of Restricted Shares subject to such restrictions and conditions as the Administrator may determine at the time of grant.  Conditions may be based on continuing employment (or other Service Relationship) and/or achievement of pre-established performance goals and objectives.

  (b)Rights as a Stockholder.  Upon the grant of the Restricted Stock Award and payment of any applicable purchase price, a grantee shall have the rights of a stockholder with respect to the voting of the Restricted Shares and receipt of dividends; provided that if the lapse of restrictions with respect to the Restricted Stock Award is tied to the attainment of performance goals, any dividends paid by the Company during the performance period shall accrue and shall not be paid to the grantee until and to 

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  the extent the performance goals are met with respect to the Restricted Stock Award.  Unless the Administrator shall otherwise determine, (i) uncertificated Restricted Shares shall be accompanied by a notation on the records of the Company or the transfer agent to the effect that they are subject to forfeiture until such Restricted Shares are vested as provided in Section 7(d) below, and (ii) certificated Restricted Shares shall remain in the possession of the Company until such Restricted Shares are vested as provided in Section 7(d) below, and the grantee shall be required, as a condition of the grant, to deliver to the Company such instruments of transfer as the Administrator may prescribe.

  (c)Restrictions.  Restricted Shares may not be sold, assigned, transferred, pledged or otherwise encumbered or disposed of except as specifically provided herein or in the Restricted Stock Award Certificate.  Except as may otherwise be provided by the Administrator either in the Award Certificate or, subject to Section 16 below, in writing after the Award is issued, if a grantee’s employment (or other Service Relationship) with the Company and its Subsidiaries terminates for any reason, any Restricted Shares that have not vested at the time of termination shall automatically and without any requirement of notice to such grantee from or other action by or on behalf of, the Company be deemed to have been reacquired by the Company at its original purchase price (if any) from such grantee or such grantee’s legal representative simultaneously with such termination of employment (or other Service Relationship), and thereafter shall cease to represent any ownership of the Company by the grantee or rights of the grantee as a stockholder.  Following such deemed reacquisition of Restricted Shares that are represented by physical certificates, a grantee shall surrender such certificates to the Company upon request without consideration.

  (d)Vesting of Restricted Shares.  The Administrator at the time of grant shall specify the date or dates and/or the attainment of pre-established performance goals, objectives and other conditions on which the non-transferability of the Restricted Shares and the Company’s right of repurchase or forfeiture shall lapse.  Subsequent to such date or dates and/or the attainment of such pre-established performance goals, objectives and other conditions, the shares on which all restrictions have lapsed shall no longer be Restricted Shares and shall be deemed “vested.”

  SECTION 8.RESTRICTED STOCK UNITS

  (a)Nature of Restricted Stock Units.  The Administrator may grant Restricted Stock Units under the Plan.  A Restricted Stock Unit is an Award of stock units that may be settled in shares of Stock (or cash, to the extent explicitly provided for in the Award Certificate) upon the satisfaction of such restrictions and conditions at the time of grant.  Conditions may be based on continuing employment (or other Service Relationship) and/or achievement of pre-established performance goals and objectives.  The terms and conditions of each such Award shall be determined by the Administrator, and such terms and conditions may differ among individual Awards and grantees.  Except in the case of Restricted Stock Units with a deferred settlement date that complies with Section 409A, at the end of the vesting period, the Restricted Stock Units, to the extent vested, shall be settled in the form of shares of Stock.  Restricted Stock Units with deferred settlement dates are subject to Section 409A and shall contain such additional terms and conditions as the Administrator shall determine in its sole discretion in order to comply with the requirements of Section 409A.

  (b)Rights as a Stockholder.  A grantee shall have the rights as a stockholder only as to shares of Stock acquired by the grantee upon settlement of Restricted Stock Units; provided, however, that the grantee may be credited with Dividend Equivalent Rights with respect to the stock units underlying his Restricted Stock Units, subject to the provisions of Section 11 and such terms and conditions as the Administrator may determine.

  (c)Termination.  Except as may otherwise be provided by the Administrator either in the Award Certificate or, subject to Section 16 below, in writing after the Award is issued, a grantee’s right in all Restricted Stock Units that have not vested shall automatically terminate upon the grantee’s termination of employment (or cessation of Service Relationship) with the Company and its Subsidiaries for any reason.

  SECTION 9.UNRESTRICTED STOCK AWARDS

  Grant or Sale of Unrestricted Stock.  The Administrator may grant (or sell at par value or such higher purchase price determined by the Administrator) an Unrestricted Stock Award under the Plan.  An Unrestricted Stock Award is an Award pursuant to which the grantee may receive shares of Stock free of any restrictions under the Plan.  Unrestricted Stock Awards may be granted in respect of past services or other valid consideration, or in lieu of cash compensation due to such grantee.

  SECTION 10.RESERVED.

  SECTION 11.DIVIDEND EQUIVALENT RIGHTS

  (a)Dividend Equivalent Rights.  The Administrator may grant Dividend Equivalent Rights under the Plan.  A Dividend Equivalent Right is an Award entitling the grantee to receive credits based on cash dividends that would have been paid on the shares of Stock specified in the Dividend Equivalent Right (or other Award to which it relates) if such shares had been issued to 

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  the grantee.  A Dividend Equivalent Right may be granted hereunder to any grantee as a component of an award of Restricted Stock Units or as a freestanding award.  The terms and conditions of Dividend Equivalent Rights shall be specified in the Award Certificate.  Dividend equivalents credited to the holder of a Dividend Equivalent Right may be paid currently or may be deemed to be reinvested in additional shares of Stock, which may thereafter accrue additional equivalents.  Any such reinvestment shall be at Fair Market Value on the date of reinvestment or such other price as may then apply under a dividend reinvestment plan sponsored by the Company, if any.  Dividend Equivalent Rights may be settled in cash or shares of Stock or a combination thereof, in a single installment or installments.  A Dividend Equivalent Right granted as a component of an Award of Restricted Stock Units shall provide that such Dividend Equivalent Right shall be settled only upon settlement or payment of, or lapse of restrictions on, such other Award, and that such Dividend Equivalent Right shall expire or be forfeited or annulled under the same conditions as such other Award.

  (b)Termination.  Except as may otherwise be provided by the Administrator either in the Award Certificate or, subject to Section 16 below, in writing after the Award is issued, a grantee’s rights in all Dividend Equivalent Rights shall automatically terminate upon the grantee’s termination of employment (or cessation of Service Relationship) with the Company and its Subsidiaries for any reason.

  SECTION 12.TRANSFERABILITY OF AWARDS

  (a)Transferability.  Except as provided in Section 12(b) below, during a grantee’s lifetime, his or her Awards shall be exercisable only by the grantee, or by the grantee’s legal representative or guardian in the event of the grantee’s incapacity.  No Awards shall be sold, assigned, transferred or otherwise encumbered or disposed of by a grantee other than by will or by the laws of descent and distribution or pursuant to a domestic relations order.  No Awards shall be subject, in whole or in part, to attachment, execution, or levy of any kind, and any purported transfer in violation hereof shall be null and void.

  (b)Administrator Action.  Notwithstanding Section 12(a), the Administrator, in its discretion, may provide either in the Award Certificate regarding a given Award or by subsequent written approval that the grantee (who is an employee or director) may transfer his or her Non-Qualified Stock Options to his or her immediate family members, to trusts for the benefit of such family members, or to partnerships in which such family members are the only partners, provided that the transferee agrees in writing with the Company to be bound by all of the terms and conditions of this Plan and the applicable Award.  In no event may an Award be transferred by a grantee for value.

  (c)Family Member.  For purposes of Section 12(b), “family member” shall mean a grantee’s child, stepchild, grandchild, parent, stepparent, grandparent, spouse, former spouse, sibling, niece, nephew, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, or sister-in-law, including adoptive relationships, any person sharing the grantee’s household (other than a tenant of the grantee), a trust in which these persons (or the grantee) have more than 50 percent of the beneficial interest, a foundation in which these persons (or the grantee) control the management of assets, and any other entity in which these persons (or the grantee) own more than 50 percent of the voting interests.

  (d)Designation of Beneficiary.  To the extent permitted by the Company, each grantee to whom an Award has been made under the Plan may designate a beneficiary or beneficiaries to exercise any Award or receive any payment under any Award payable on or after the grantee’s death.  Any such designation shall be on a form provided for that purpose by the Administrator and shall not be effective until received by the Administrator.  If no beneficiary has been designated by a deceased grantee, or if the designated beneficiaries have predeceased the grantee, the beneficiary shall be the grantee’s estate.

  SECTION 13.TAX WITHHOLDING

  (a)Payment by Grantee.  Each grantee shall, no later than the date as of which the value of an Award or of any Stock or other amounts received thereunder first becomes includable in the gross income of the grantee for income tax purposes, pay to the Company, or make arrangements satisfactory to the Administrator regarding payment of, any Federal, state, or local taxes of any kind required by law to be withheld by the Company with respect to such income.  The Company and its Subsidiaries shall, to the extent permitted by law, have the right to deduct any such taxes from any payment of any kind otherwise due to the grantee.  The Company’s obligation to deliver evidence of book entry (or stock certificates) to any grantee is subject to and conditioned on tax withholding obligations being satisfied by the grantee.

  (b)Payment in Stock.  The Administrator may require the Company’s tax withholding obligation to be satisfied, in whole or in part, by the Company withholding from shares of Stock to be issued pursuant to any Award a number of shares with an aggregate Fair Market Value (as of the date the withholding is effected) that would satisfy the withholding amount due; provided, however, that the amount withheld does not exceed the maximum statutory tax rate or such lesser amount as is necessary to avoid liability accounting treatment.  For purposes of share withholding, the Fair Market Value of withheld shares shall be determined in the same manner as the value of Stock includible in income of the Participants.  The Administrator may also require the Company’s tax withholding obligation to be satisfied, in whole or in part, by an arrangement whereby a certain 

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  number of shares of Stock issued pursuant to any Award are immediately sold and proceeds from such sale are remitted to the Company in an amount that would satisfy the withholding amount due.

  SECTION 14.SECTION 409A AWARDS

  Awards are intended to be exempt from Section 409A to the greatest extent possible and to otherwise comply with Section 409A.  The Plan and all Awards shall be interpreted in accordance with such intent.  To the extent that any Award is determined to constitute “nonqualified deferred compensation” within the meaning of Section 409A (a “409A Award”), the Award shall be subject to such additional rules and requirements as specified by the Administrator from time to time in order to comply with Section 409A.  In this regard, if any amount under a 409A Award is payable upon a “separation from service” (within the meaning of Section 409A) to a grantee who is then considered a “specified employee” (within the meaning of Section 409A), then no such payment shall be made prior to the date that is the earlier of (i) six months and one day after the grantee’s separation from service, or (ii) the grantee’s death, but only to the extent such delay is necessary to prevent such payment from being subject to interest, penalties and/or additional tax imposed pursuant to Section 409A.  Further, the settlement of any 409A Award may not be accelerated except to the extent permitted by Section 409A.

  SECTION 15.TERMINATION OF SERVICE RELATIONSHIP, TRANSFER, LEAVE OF ABSENCE, ETC.

  (a)Termination of Service Relationship.  If the grantee’s Service Relationship is with an Affiliate and such Affiliate ceases to be an Affiliate, the grantee shall be deemed to have terminated his or her Service Relationship for purposes of the Plan.

  (b)For purposes of the Plan, the following events shall not be deemed a termination of a Service Relationship:

  (i)a transfer to the employment of the Company from an Affiliate or from the Company to an Affiliate, or from one Affiliate to another; or

  (ii)an approved leave of absence for military service or sickness, or for any other purpose approved by the Company, if the employee’s right to re-employment is guaranteed either by a statute or by contract or under the policy pursuant to which the leave of absence was granted or if the Administrator otherwise so provides in writing.

  SECTION 16.AMENDMENTS AND TERMINATION

  The Board may, at any time, amend or discontinue the Plan and the Administrator may, at any time, amend or cancel any outstanding Award for the purpose of satisfying changes in law or for any other lawful purpose, but no such action shall materially and adversely affect rights under any outstanding Award without the holder’s consent.  Except as provided in Section 3(b) or 3(c), without prior stockholder approval, in no event may the Administrator exercise its discretion to reduce the exercise price of outstanding Stock Options or Stock Appreciation Rights or effect repricing through cancellation and re-grants or cancellation of Stock Options or Stock Appreciation Rights in exchange for cash or other Awards.  Nothing in this Section 16 shall limit the Administrator’s authority to take any action permitted pursuant to Section 3(b) or 3(c).

  SECTION 17.STATUS OF PLAN

  With respect to the portion of any Award that has not been exercised and any payments in cash, Stock or other consideration not received by a grantee, a grantee shall have no rights greater than those of a general creditor of the Company unless the Administrator shall otherwise expressly determine in connection with any Award or Awards.  In its sole discretion, the Administrator may authorize the creation of trusts or other arrangements to meet the Company’s obligations to deliver Stock or make payments with respect to Awards hereunder, provided that the existence of such trusts or other arrangements is consistent with the foregoing sentence.

  SECTION 18.GENERAL PROVISIONS

  (a)No Distribution.  The Administrator may require each person acquiring Stock pursuant to an Award to represent to and agree with the Company in writing that such person is acquiring the shares without a view to distribution thereof.

  (b)Issuance of Stock.  To the extent certificated, stock certificates to grantees under this Plan shall be deemed delivered for all purposes when the Company or a stock transfer agent of the Company shall have mailed such certificates in the United States mail, addressed to the grantee, at the grantee’s last known address on file with the Company.  Uncertificated Stock shall be deemed delivered for all purposes when the Company or a Stock transfer agent of the Company shall have given to the grantee by electronic mail (with proof of receipt) or by United States mail, addressed to the grantee, at the grantee’s last known address on file with the Company, notice of issuance and recorded the issuance in its records (which may include electronic “book entry” records).  Notwithstanding anything herein to the contrary, the Company shall not be required to issue or deliver 

  	8

  

  any evidence of book entry or certificates evidencing shares of Stock pursuant to the exercise or settlement of any Award, unless and until the Administrator has determined, with advice of counsel (to the extent the Administrator deems such advice necessary or advisable), that the issuance and delivery is in compliance with all applicable laws, regulations of governmental authorities and, if applicable, the requirements of any exchange on which the shares of Stock are listed, quoted or traded.  Any Stock issued pursuant to the Plan shall be subject to any stop-transfer orders and other restrictions as the Administrator deems necessary or advisable to comply with federal, state or foreign jurisdiction, securities or other laws, rules and quotation system on which the Stock is listed, quoted or traded.  The Administrator may place legends on any Stock certificate or notations on any book entry to reference restrictions applicable to the Stock.  In addition to the terms and conditions provided herein, the Administrator may require that an individual make such reasonable covenants, agreements, and representations as the Administrator, in its discretion, deems necessary or advisable in order to comply with any such laws, regulations, or requirements.  The Administrator shall have the right to require any individual to comply with any timing or other restrictions with respect to the settlement or exercise of any Award, including a window-period limitation, as may be imposed in the discretion of the Administrator.

  (c)Stockholder Rights.  Until Stock is deemed delivered in accordance with Section 18(b), no right to vote or receive dividends or any other rights of a stockholder will exist with respect to shares of Stock to be issued in connection with an Award, notwithstanding the exercise of a Stock Option or any other action by the grantee with respect to an Award.

  (d)Other Compensation Arrangements; No Employment Rights.  Nothing contained in this Plan shall prevent the Board from adopting other or additional compensation arrangements, including trusts, and such arrangements may be either generally applicable or applicable only in specific cases.  The adoption of this Plan and the grant of Awards do not confer upon any employee any right to continued employment with the Company or any Subsidiary.

  (e)Trading Policy Restrictions.  Option exercises and other Awards under the Plan shall be subject to the Company’s insider trading policies and procedures, as in effect from time to time.

  (f)Clawback Policy.  Awards under the Plan shall be subject to the Company’s clawback policy, as in effect from time to time.

  SECTION 19.EFFECTIVE DATE OF PLAN

  This Plan shall become effective upon approval by the Board.

  SECTION 20.GOVERNING LAW

  This Plan and all Awards and actions taken thereunder shall be governed by, and construed in accordance with the General Corporation Law of the State of Delaware, applied without regard to conflict of law principles.

  DATE APPROVED BY BOARD OF DIRECTORS:  ____________

   

  	9

  

  RESTRICTED STOCK UNIT AWARD AGREEMENT
UNDER THE TCR2 THERAPEUTICS INC.
2022 INDUCEMENT PLAN

  Name of Grantee:		

  No. of Restricted Stock Units:		

  Grant Date:		

  Pursuant to the TCR2 Therapeutics Inc. 2022 Inducement Plan as amended through the date hereof (the “Plan”), TCR2 Therapeutics Inc. (the “Company”) hereby grants an award of the number of Restricted Stock Units listed above (an “Award”) to the Grantee named above.  Each Restricted Stock Unit shall relate to one share of Common Stock, par value $0.0001 per share (the “Stock”) of the Company.

  SECTION 21.Restrictions on Transfer of Award.  This Award may not be sold, transferred, pledged, assigned or otherwise encumbered or disposed of by the Grantee, and any shares of Stock issuable with respect to the Award may not be sold, transferred, pledged, assigned or otherwise encumbered or disposed of until (i) the Restricted Stock Units have vested as provided in Paragraph 2 of this Agreement and (ii) shares of Stock have been issued to the Grantee in accordance with the terms of the Plan and this Agreement.

  SECTION 22.Vesting of Restricted Stock Units.  The restrictions and conditions of Paragraph 1 of this Agreement shall lapse on the Vesting Date or Dates specified in the following schedule so long as the Grantee continues to have a Service Relationship with the Company or a Subsidiary on such dates.  If a series of Vesting Dates is specified, then the restrictions and conditions in Paragraph 1 shall lapse only with respect to the number of Restricted Stock Units specified as vested on such date.

  		
	Incremental Number of
Restricted Stock Units Vested
	Vesting Date

	_____________ (___%)
	_______________

	_____________ (___%)
	_______________

	_____________ (___%)
	_______________

	_____________ (___%)
	_______________

  The Administrator may at any time accelerate the vesting schedule specified in this Paragraph 2.

  SECTION 23.Termination of Service Relationship.  If the Grantee’s Service Relationship with the Company and its Subsidiaries terminates for any reason (including death or disability) prior to the satisfaction of the vesting conditions set forth in Paragraph 2 above, any Restricted Stock Units that have not vested as of such date shall automatically and without notice terminate and be forfeited, and neither the Grantee nor any of his or her successors, heirs, assigns, or personal representatives will thereafter have any further rights or interests in such unvested Restricted Stock Units.

  SECTION 24.Issuance of Shares of Stock.  As soon as practicable following each Vesting Date (but in no event later than two and one-half months after the end of the year in which the Vesting Date occurs), the Company shall issue to the Grantee the number of shares of Stock equal to the aggregate number of Restricted Stock Units that have vested pursuant to Paragraph 2 of this Agreement on such date and the Grantee shall thereafter have all the rights of a stockholder of the Company with respect to such shares. 

  SECTION 25.Incorporation of Plan.  Notwithstanding anything herein to the contrary, this Agreement shall be subject to and governed by all the terms and conditions of the Plan, including the powers of the Administrator set forth in Section 2(b) of the Plan.  Capitalized terms in this Agreement shall have the meaning specified in the Plan, unless a different meaning is specified herein.

  SECTION 26.Tax Withholding.   The Grantee shall, not later than the date as of which the receipt of this Award becomes a taxable event for Federal income tax purposes, pay to the Company or make arrangements satisfactory to the Administrator for payment of any Federal, state, and local taxes required by law to be withheld on account of such taxable event.  The Company shall have the authority to cause the required tax withholding obligation to be 

  	10

  

  satisfied, in whole or in part, by (i) withholding from shares of Stock to be issued to the Grantee a number of shares of Stock with an aggregate Fair Market Value that would satisfy the withholding amount due or (ii) causing its transfer agent to sell from the number of shares of Stock to be issued to the Grantee, the number of shares of Stock necessary to satisfy the Federal, state and local taxes required by law to be withheld from the Grantee on account of such transfer.

  SECTION 27.Section 409A of the Code.  This Agreement shall be interpreted in such a manner that all provisions relating to the settlement of the Award are exempt from the requirements of Section 409A of the Code as “short-term deferrals” as described in Section 409A of the Code.

  SECTION 28.No Obligation to Continue Service Relationship.  Neither the Company nor any Subsidiary is obligated by or as a result of the Plan or this Agreement to continue the Grantee in the Service Relationship and neither the Plan nor this Agreement shall interfere in any way with the right of the Company or any Subsidiary to terminate the Service Relationship of the Grantee at any time.

  SECTION 29.Integration.  This Agreement constitutes the entire agreement between the parties with respect to this Award and supersedes all prior agreements and discussions between the parties concerning such subject matter.

  SECTION 30.Data Privacy Consent.  In order to administer the Plan and this Agreement and to implement or structure future equity grants, the Company, its subsidiaries and affiliates and certain agents thereof (together, the “Relevant Companies”) may process any and all personal or professional data, including but not limited to Social Security or other identification number, home address and telephone number, date of birth and other information that is necessary or desirable for the administration of the Plan and/or this Agreement (the “Relevant Information”).  By entering into this Agreement, the Grantee (i) authorizes the Company to collect, process, register and transfer to the Relevant Companies all Relevant Information; (ii) waives any privacy rights the Grantee may have with respect to the Relevant Information; (iii) authorizes the Relevant Companies to store and transmit such information in electronic form; and (iv) authorizes the transfer of the Relevant Information to any jurisdiction in which the Relevant Companies consider appropriate.  The Grantee shall have access to, and the right to change, the Relevant Information.  Relevant Information will only be used in accordance with applicable law.

  SECTION 31.Notices.  Notices hereunder shall be mailed or delivered to the Company at its principal place of business and shall be mailed or delivered to the Grantee at the address on file with the Company or, in either case, at such other address as one party may subsequently furnish to the other party in writing.

   

  	11

  

   

  TCR2 THERAPEUTICS INC.

  By:		

  	Name:

  	Title:

   

  The foregoing Agreement is hereby accepted and the terms and conditions thereof hereby agreed to by the undersigned.  Electronic acceptance of this Agreement pursuant to the Company’s instructions to the Grantee (including through an online acceptance process) is acceptable.

  Dated:				

  Grantee’s Signature

   

  Grantee’s name and address:

  	 

  	 

  	 

   

  12

   

  

   

  NON-QUALIFIED STOCK OPTION AGREEMENT
FOR COMPANY EMPLOYEES
UNDER THE TCR2 THERAPEUTICS INC.
2022 INDUCEMENT PLAN

  Name of Optionee:		

  No. of Option Shares:		

  Option Exercise Price per Share:	$	

  [FMV on Grant Date]

  Grant Date:		

  Expiration Date:		

  [No more than 10 years]

  Pursuant to the TCR2 Therapeutics Inc. 2022 Inducement Plan as amended through the date hereof (the “Plan”), TCR2 Therapeutics Inc. (the “Company”) hereby grants to the Optionee named above an option (the “Stock Option”) to purchase on or prior to the Expiration Date specified above all or part of the number of shares of Common Stock, par value $0.0001 per share (the “Stock”) of the Company specified above at the Option Exercise Price per Share specified above subject to the terms and conditions set forth herein and in the Plan.  This Stock Option has been granted as an inducement pursuant to Rule 5635(c)(4) of the Marketplace Rules of NASDAQ Stock Market, Inc. This Stock Option is not intended to be an “incentive stock option” under Section 422 of the Internal Revenue Code of 1986, as amended.

  SECTION 32.Exercisability Schedule.  No portion of this Stock Option may be exercised until such portion shall have become exercisable.  Except as set forth below, and subject to the discretion of the Administrator (as defined in Section 2 of the Plan) to accelerate the exercisability schedule hereunder, this Stock Option shall be exercisable with respect to the following number of Option Shares on the dates indicated so long as Optionee continues to have a Service Relationship with the Company or a Subsidiary on such dates:

  			
	Incremental Number of
Option Shares Exercisable
	 
	Exercisability Date

	___________ (___%)
	 
	__________

	___________ (___%)
	 
	__________

	___________ (___%)
	 
	__________

	___________ (___%)
	 
	__________

	___________ (___%)
	 
	__________

   

  Once exercisable, this Stock Option shall continue to be exercisable at any time or times prior to the close of business on the Expiration Date, subject to the provisions hereof and of the Plan.

  SECTION 33.Manner of Exercise.

  (a)The Optionee may exercise this Stock Option only in the following manner:  from time to time on or prior to the Expiration Date of this Stock Option, the Optionee may give written notice to the Administrator of his or her election to purchase some or all of the Option Shares purchasable at the time of such notice.  This notice shall specify the number of Option Shares to be purchased.

  Payment of the purchase price for the Option Shares may be made by one or more of the following methods:  (i) in cash, by certified or bank check or other instrument acceptable to the Administrator; (ii) through the delivery (or attestation to the ownership) of shares of Stock that have been purchased by the Optionee on the open market or that are beneficially owned by the Optionee and are not then subject to any restrictions under any Company plan and that otherwise satisfy any holding periods as may be required by the Administrator; (iii) by the Optionee delivering to the Company a properly executed exercise notice together with irrevocable instructions to a broker to promptly deliver to the Company cash or a check payable and acceptable to the Company to pay the option purchase price, provided that in the event the Optionee chooses to pay the option purchase price as so provided, the Optionee and the broker shall comply with such procedures and enter into such agreements of indemnity and other agreements as the Administrator shall prescribe as a condition of such payment procedure; (iv) by a “net exercise” arrangement pursuant to which the Company will reduce the number of shares of Stock issuable upon exercise by the largest 

  13

   

  

   

  whole number of shares with a Fair Market Value that does not exceed the aggregate exercise price; or (v) a combination of (i), (ii), (iii) and (iv) above.  Payment instruments will be received subject to collection.

  The transfer to the Optionee on the records of the Company or of the transfer agent of the Option Shares will be contingent upon (i) the Company’s receipt from the Optionee of the full purchase price for the Option Shares, as set forth above, (ii) the fulfillment of any other requirements contained herein or in the Plan or in any other agreement or provision of laws, and (iii) the receipt by the Company of any agreement, statement or other evidence that the Company may require to satisfy itself that the issuance of Stock to be purchased pursuant to the exercise of Stock Options under the Plan and any subsequent resale of the shares of Stock will be in compliance with applicable laws and regulations.  In the event the Optionee chooses to pay the purchase price by previously-owned shares of Stock through the attestation method, the number of shares of Stock transferred to the Optionee upon the exercise of the Stock Option shall be net of the Shares attested to.

  (b)The shares of Stock purchased upon exercise of this Stock Option shall be transferred to the Optionee on the records of the Company or of the transfer agent upon compliance to the satisfaction of the Administrator with all requirements under applicable laws or regulations in connection with such transfer and with the requirements hereof and of the Plan.  The determination of the Administrator as to such compliance shall be final and binding on the Optionee.  The Optionee shall not be deemed to be the holder of, or to have any of the rights of a holder with respect to, any shares of Stock subject to this Stock Option unless and until this Stock Option shall have been exercised pursuant to the terms hereof, the Company or the transfer agent shall have transferred the shares to the Optionee, and the Optionee’s name shall have been entered as the stockholder of record on the books of the Company.  Thereupon, the Optionee shall have full voting, dividend and other ownership rights with respect to such shares of Stock.

  (c)The minimum number of shares with respect to which this Stock Option may be exercised at any one time shall be 100 shares, unless the number of shares with respect to which this Stock Option is being exercised is the total number of shares subject to exercise under this Stock Option at the time.

  (d)Notwithstanding any other provision hereof or of the Plan, no portion of this Stock Option shall be exercisable after the Expiration Date hereof.

  SECTION 34.Termination of Service Relationship.  If the Optionee’s Service Relationship by the Company or a Subsidiary (as defined in the Plan) is terminated, the period within which to exercise the Stock Option may be subject to earlier termination as set forth below.

  (a)Termination Due to Death.  If the Optionee’s Service Relationship terminates by reason of the Optionee’s death, any portion of this Stock Option outstanding on such date, to the extent exercisable on the date of death, may thereafter be exercised by the Optionee’s legal representative or legatee for a period of 12 months from the date of death or until the Expiration Date, if earlier.  Any portion of this Stock Option that is not exercisable on the date of death shall terminate immediately and be of no further force or effect.

  (b)Termination Due to Disability.  If the Optionee’s Service Relationship terminates by reason of the Optionee’s disability (as determined by the Administrator), any portion of this Stock Option outstanding on such date, to the extent exercisable on the date of such termination of Service Relationship, may thereafter be exercised by the Optionee for a period of 12 months from the date of disability or until the Expiration Date, if earlier.  Any portion of this Stock Option that is not exercisable on the date of disability shall terminate immediately and be of no further force or effect.

  (c)Termination for Cause.  If the Optionee’s Service Relationship terminates for Cause, any portion of this Stock Option outstanding on such date shall terminate immediately and be of no further force and effect.  For purposes hereof, “Cause” shall mean, unless otherwise provided in an employment agreement (or similar services agreements) between the Company and the Optionee, a determination by the Administrator that the Optionee shall be dismissed as a result of (i) any material breach by the Optionee of any agreement between the Optionee and the Company; (ii) the conviction of, indictment for or plea of nolo contendere by the Optionee to a felony or a crime involving moral turpitude; or (iii) any material misconduct or willful and deliberate non-performance (other than by reason of disability) by the Optionee of the Optionee’s duties to the Company.

  (d)Other Termination.  If the Optionee’s Service Relationship terminates for any reason other than the Optionee’s death, the Optionee’s disability or Cause, and unless otherwise determined by the Administrator, any portion of this Stock Option outstanding on such date may be exercised, to the extent exercisable on the date of termination, for a period of three months from the date of termination or until the Expiration Date, if earlier.  Any portion of this Stock Option that is not exercisable on the date of termination shall terminate immediately and be of no further force or effect.

  The Administrator’s determination of the reason for termination of the Optionee’s Service Relationship shall be conclusive and binding on the Optionee and his or her representatives or legatees.

  14

   

  

   

  SECTION 35.Incorporation of Plan.  Notwithstanding anything herein to the contrary, this Stock Option shall be subject to and governed by all the terms and conditions of the Plan, including the powers of the Administrator set forth in Section 2(b) of the Plan.  Capitalized terms in this Agreement shall have the meaning specified in the Plan, unless a different meaning is specified herein.

  SECTION 36.Transferability.  This Agreement is personal to the Optionee, is non-assignable and is not transferable in any manner, by operation of law or otherwise, other than by will or the laws of descent and distribution.  This Stock Option is exercisable, during the Optionee’s lifetime, only by the Optionee, and thereafter, only by the Optionee’s legal representative or legatee.

  SECTION 37.Tax Withholding.  The Optionee shall, not later than the date as of which the exercise of this Stock Option becomes a taxable event for Federal income tax purposes, pay to the Company or make arrangements satisfactory to the Administrator for payment of any Federal, state, and local taxes required by law to be withheld on account of such taxable event.  The Company shall have the authority to cause the required tax withholding obligation to be satisfied, in whole or in part, by withholding from shares of Stock to be issued to the Optionee a number of shares of Stock with an aggregate Fair Market Value that would satisfy the withholding amount due; provided, however, that the amount withheld does not exceed the maximum statutory tax rate or such lesser amount as is necessary to avoid adverse accounting treatment or as determined by the Administrator.

  SECTION 38.No Obligation to Continue Service Relationship.  Neither the Company nor any Subsidiary is obligated by or as a result of the Plan or this Agreement to continue the Optionee’s Service Relationship and neither the Plan nor this Agreement shall interfere in any way with the right of the Company or any Subsidiary to terminate the Service Relationship of the Optionee at any time.

  SECTION 39.Integration.  This Agreement constitutes the entire agreement between the parties with respect to this Stock Option and supersedes all prior agreements and discussions between the parties concerning such subject matter.

  SECTION 40.Data Privacy Consent.  In order to administer the Plan and this Agreement and to implement or structure future equity grants, the Company, its subsidiaries and affiliates and certain agents thereof (together, the “Relevant Companies”) may process any and all personal or professional data, including but not limited to Social Security or other identification number, home address and telephone number, date of birth and other information that is necessary or desirable for the administration of the Plan and/or this Agreement (the “Relevant Information”).  By entering into this Agreement, the Optionee (i) authorizes the Company to collect, process, register and transfer to the Relevant Companies all Relevant Information; (ii) waives any privacy rights the Optionee may have with respect to the Relevant Information; (iii) authorizes the Relevant Companies to store and transmit such information in electronic form; and (iv) authorizes the transfer of the Relevant Information to any jurisdiction in which the Relevant Companies consider appropriate.  The Optionee shall have access to, and the right to change, the Relevant Information.  Relevant Information will only be used in accordance with applicable law.

  SECTION 41.Notices.  Notices hereunder shall be mailed or delivered to the Company at its principal place of business and shall be mailed or delivered to the Optionee at the address on file with the Company or, in either case, at such other address as one party may subsequently furnish to the other party in writing.

   

  15

   

  

   

   

  TCR2 THERAPEUTICS INC.

  By:		

  	Title:

  The foregoing Agreement is hereby accepted and the terms and conditions thereof hereby agreed to by the undersigned.  Electronic acceptance of this Agreement pursuant to the Company’s instructions to the Optionee (including through an online acceptance process) is acceptable.

  Dated:  				

  Optionee’s Signature

  Optionee’s name and address:

  	 

  	 

  	 

   

   

  16Exhibit 10.1

     

    Execution

     

      

    FOURTH AMENDMENT TO CREDIT AGREEMENT

     

    FOURTH AMENDMENT TO CREDIT AGREEMENT, dated as of March 18, 2022 (this “Fourth Amendment”), among Verso Holding
      LLC, a Delaware limited liability company (“Holdings”), Verso Paper Holding LLC, a Delaware limited liability company (the “Borrower”), each of the other Loan Parties (as
      defined in the Credit Agreement referred to below as amended hereby), the Lenders party hereto, and Wells Fargo Bank, National Association, as Administrative Agent.

     

    RECITALS:

     

    WHEREAS, the parties hereto are party to the Asset-Based Revolving Credit Agreement, dated as of July 15, 2016 (as amended, restated, supplemented or otherwise modified prior to the date hereof and pursuant to this Fourth
        Amendment, the “Credit Agreement”), among Holdings, the Borrower, the other Loan Parties party thereto from time to time, the Lenders party thereto from time to time, the Administrative Agent and the other
        parties party thereto; and

     

    WHEREAS, the Required Lenders and other parties hereto desire to amend the Credit Agreement upon the terms and conditions set forth herein.

     

    NOW, THEREFORE, in consideration of the premises and the agreements of the parties set forth herein, the parties hereto agree as follows:

     

    1.    Definitions.

     

    1.1. Additional Definitions.  Effective
        as of the BK Merger Effective Date, the Credit Agreement is amended to include, in addition and not in limitation, the following definitions, inserted in Section 1.01 of the Credit Agreement in alphabetical order:

     

    “Adjusted Availability Triggering Event” shall occur at any time that (a) Excess Availability is less than the greater of (i) 15.0% of the Line Cap at
      such time or (ii) $25 million for five (5) consecutive Business Days or (b) an Event of Default shall have occurred and be continuing.  Once occurred, an Adjusted Availability Triggering Event described in clause (a) shall be deemed to be continuing
      until such time as the Excess Availability is greater than the greater of (i) 15.0% of the Line Cap at such time or (ii) $25 million for thirty (30) consecutive days, and an Adjusted Availability Triggering Event described in clause (b) shall be
      deemed to be continuing until no Event of Default shall be continuing.

     

    “Applicable Accounting Rules” shall mean (a) when used in reference to Holdings and its Subsidiaries for all accounting periods prior to the BK Merger
      Effective Date, GAAP and (b) when used in reference to Holdings and its Subsidiaries or to BK Parent and its Subsidiaries, for all accounting periods after the BK Merger Effective Date, IFRS.

     

    “BK Merger” shall mean the merger of West Acquisition Merger Sub Inc., a Delaware corporation, and a wholly owned subsidiary of BillerudKorsnäs Inc., a
      Delaware corporation, with and into Verso Corporation, a Delaware corporation, with Verso Corporation as the surviving corporation as a wholly owned subsidiary of BillerudKorsnäs Inc., a Delaware corporation, pursuant to the Agreement and Plan of
      Merger, dated as of December 19, 2021, by and among BillerudKorsnäs Inc., a Delaware corporation, as “Parent”, West Acquisition Merger Sub Inc., a Delaware corporation, and a wholly owned subsidiary of Parent, or “Merger Sub,” solely for purposes of
      certain sections thereof (as specified therein), BillerudKorsnäs AB, a Swedish limited company, and Verso Corporation.

     

    
      
        

    

    
    “BK Merger Effective Date” shall have the meaning set forth in Section 5 of the Fourth Amendment.

     

    “BK Merger Transaction Expenses” shall mean shall mean all fees and expenses incurred or paid by Holdings (or any Parent Entity), the Borrower or any of
      the Subsidiaries in connection with the BK Merger.

     

    “BK Parent” shall mean BillerudKorsnäs AB, a Swedish limited company.

     

    “Fourth Amendment” shall mean the Fourth Amendment to Credit Agreement, dated as of March 18, 2022, by and among Administrative Agent, the Lenders party
      thereto, Borrower and Guarantors.

     

    “Fourth Amendment Effective Date” shall have the meaning set forth in Section 4 of the Fourth Amendment.

     

    “Fourth Amendment Fee Letter” shall mean the Fourth Amendment Fee Letter, dated as of March 18, 2022, between the Borrower and Administrative Agent.

     

    “IFRS” means the International Financial Reporting Standards, issued by the International Accounting Standards Board, as in effect from time to time.

     

    1.2. Amendments to Definitions. 
        Effective as of the BK Merger Effective Date:

     

    (a)   The definition of the term “Co-Investors”
        in the Credit Agreement is deleted in its entirety.

     

    (b)  The definition of the term “Consolidated
        Total Assets” in the Credit Agreement is amended:

     

    (i)    to delete the reference to “Section 5.04”
        appearing in the fourth line thereof, and replace it with: “Section 5.04(a)(i) or (b)(i)” and

     

    (ii)   to delete the reference to “Section
        5.04(a) or (b)” appearing in the fifth line thereof, and replace it with: “Section 5.04(a)(i) or (b)(i)”.

     

    (c)   The definition of the term “EBITDA” in the
        Credit Agreement is amended:

     

    (i)    to add the following at the end of clause
        (a)(vii) of such definition:  “and BK Merger Transaction Expenses;”

     

    (ii)   to add the following new clause (a)(xi):

     

    “(xi) non-recurring integration costs, losses, expenses, charges or reserves, including curtailments or modifications to pension and
      post-retirement employee benefit plans, in each case in connection with the BK Merger; provided that the amounts described in this clause (a)(xi) in respect of cash expenses, charges or reserves, shall not exceed $25.0 million in the
      aggregate for the period on and after the BK Merger Effective Date;”

     

    (d)  The definition of the term “Immaterial
        Subsidiary” in the Credit Agreement is amended to delete the reference to “Section 5.04(a) or (b)” appearing in each of clauses (a) and (b) thereof, and replace each of them with: “Section 5.04(a)(i) or (b)(i)”.

     

    
      2

      
        

    

    (e)  The definition of the term “Parent Entity”
        in the Credit Agreement is deleted in its entirety and replaced with the following:

     

    “Parent Entity” shall mean Verso Corporation, as the surviving corporation of the BK Merger, and any wholly-owned subsidiary of Verso
      Corporation that is a direct or indirect parent of Holdings.

     

    (f)   The definition of the term “Permitted
        Holders” in the Credit Agreement is deleted in its entirety and replaced with the following:

     

    “Permitted Holders” shall mean BillerudKorsnäs AB, a Swedish limited company, and any of its wholly-owned direct or indirect
      subsidiaries.

     

    (g)  The definition of the term “Pro-Forma
        Basis” in the Credit Agreement is amended to add the following as the next-to-last sentence:

     

    “Amounts added back in making the determination of EBITDA set forth in this definition pursuant to clause (a)(xi) of the definition of
      EBITDA shall not exceed $25.0 million in the aggregate for all periods (or portions thereof) commencing on and after the BK Merger Effective Date.”

     

    (h)  The definition of the term “subsidiary” in
        the Credit Agreement is amended to add the following at the end thereof:

     

    “(it being understood, for the avoidance of doubt, that references to Subsidiaries of BK Parent in Sections 5.04(a) and 5.04(b), and
      in the term “Applicable Accounting Rules” shall be a reference to Subsidiaries of BK Parent, and not solely Subsidiaries of Holdings)”.

     

    (i)   The definition of the term “Subsidiary” in
        the Credit Agreement is amended to add the following at the end of the first sentence thereof:

     

    “(it being understood, for the avoidance of doubt, that references to Subsidiaries of BK Parent in Sections 5.04(a) and 5.04(b), and
      in the term “Applicable Accounting Rules” shall be a reference to Subsidiaries of BK Parent, and not solely Subsidiaries of Holdings)”.

     

    1.3. Interpretation.  For purposes of
        this Fourth Amendment, all terms used herein which are not otherwise defined herein, including but not limited to, those terms used in the recitals hereto, shall have the respective meanings assigned thereto in the Credit Agreement.

     

    2.    Additional Amendments.  Effective
        as of the BK Merger Effective Date:

     

    2.1. Replacement of GAAP.  All
        references to the term “GAAP” in the Credit Agreement or in any of the other Loan Documents shall be deleted and replaced with the following: “the Applicable Accounting Rules”.

     

    2.2. Terms Generally.  Section 1.02 of
        the Credit Agreement is amended by adding the following at the end thereof:

     

    
      3

      
        

    

    “Notwithstanding the replacement of the term “GAAP” with “the Applicable Accounting Rules” in accordance with Section 2.1 of the
      Fourth Amendment, in the case (if any) where one or more terms of an accounting or financial nature are used in connection with the calculation of the Fixed Charge Coverage Ratio, or any component definition thereof, or in any other financial ratio
      or financial definition in this Agreement, and such term(s) do not have a customarily agreed counterpart in IFRS, the Borrower will notify the Administrative Agent of such occurrence (which notice may be by e-mail), and such term(s) will continue to
      be interpreted in accordance with GAAP until the Borrower and the Administrative Agent agree on any changes as may be necessary (if any), in accordance with customary business practices for comparable asset-based lending transactions, in each case
      acting reasonably and in good faith, to convert such term(s) from GAAP-based interpretation to IFRS-based interpretation.”

     

    2.3. No Material Adverse Effect.  Section 3.06
        of the Credit Agreement is deleted in its entirety and replaced with the following:

     

    Section 3.06  No Material Adverse Effect. Since December 31, 2021, there has been no event, condition or circumstance that,
      individually or in the aggregate with other events or circumstances, has had or would reasonably be expected to have a Material Adverse Effect.

     

    2.4. Financial Statements.

     

    (a)   Section 5.04(a) of the Credit Agreement is
        deleted in its entirety and replaced with the following:

     

    (a) Within 120 days after the end of each fiscal year of the Borrower (and in the case of clause (a)(ii) below commencing with the
      fiscal year ended December 31, 2022),

     

    (i) a balance sheet and related statements of operations, cash flows and owners’ equity showing the financial position of the Borrower
      and the other Subsidiaries of Holdings on an Adjusted Consolidated Basis, as of the close of such fiscal year and the results of their operations on an Adjusted Consolidated Basis during such year and setting forth in comparative form the
      corresponding figures for the prior fiscal year, and

     

    (ii) a balance sheet and related statements of operations, cash flows and owners’ equity showing the financial position of BK Parent
      and its Subsidiaries on a consolidated basis, as of the close of such fiscal year and the results of their operations on an consolidated basis during such year and setting forth in comparative form the corresponding figures for the prior fiscal year,
      which balance sheet and related statements of operations, cash flows and owners’ equity under this clause (ii) shall be audited by KPMG or other independent public accountants of recognized national standing and accompanied by an opinion of such
      accountants (which shall be unqualified as to the scope of audit or as to the status of the BK Parent or any Loan Party, as applicable, as a “going concern”) to the effect that such financial statements fairly present, in all material respects, the
      financial position and results of operations and cash flows of BK Parent and such Subsidiaries on a consolidated basis in accordance with the Applicable Accounting Rules, accompanied by a customary management’s discussion and analysis of the
      financial condition and results of operations of BK Parent and its Subsidiaries;

     

    (b)  Section 5.04(b) of the Credit Agreement is
        deleted in its entirety and replaced with the following:

     

    (b)  Within 45 days after the end of each of the first three fiscal quarters of each fiscal year of the Borrower,

     

    
      4

      
        

    

    (i) a balance sheet and related statements of operations and cash flows showing, on an Adjusted Consolidated Basis, the financial
      position of the Borrower and the other Subsidiaries of Holdings as of the close of such fiscal quarter and the results of their operations on an Adjusted Consolidated Basis during such fiscal quarter and the then elapsed portion of the fiscal year
      and setting forth in comparative form the corresponding figures for the corresponding periods of the prior fiscal year, all of which shall be in reasonable detail and which balance sheet and related statements of operations and cash flows shall be
      certified by a Financial Officer of the Borrower, on behalf of the Borrower, as fairly presenting, in all material respects, the financial position and results of operations and cash flows of the Borrower and the other Subsidiaries of Holdings on an
      Adjusted Consolidated Basis in accordance with the Applicable Accounting Rules (subject to normal year-end audit adjustments and the absence of footnotes); and

     

    (ii) a balance sheet and related statements of operations and cash flows showing, on a consolidated basis, the financial position of
      the BK Parent and its Subsidiaries as of the close of such fiscal quarter and the results of their operations on a consolidated basis during such fiscal quarter and the then elapsed portion of the fiscal year and setting forth in comparative form the
      corresponding figures for the corresponding periods of the prior fiscal year, all of which shall be in reasonable detail in accordance with the Applicable Accounting Rules (subject to normal year-end audit adjustments and the absence of footnotes),
      accompanied by a customary management’s discussion and analysis of the financial condition and results of operations of BK Parent and its Subsidiaries;

     

    (c)   The reference to “Availability Triggering
        Event” in Section 5.04(c) of the Credit Agreement is deleted and replaced with the following: “Adjusted Availability Triggering Event”.

     

    3.    Representations and Warranties. 
        Holdings, the Borrower and each of the other Loan Parties represents and warrants to each of the Agents and the Lenders, on and as of the Fourth Amendment Effective Date, that:

     

    3.1. the representations and warranties set
        forth in the Loan Documents are true and correct in all material respects (or in the case of representations and warranties qualified by materiality or material adverse effect, true and correct in all respects) immediately prior to, and after
        giving effect to this Fourth Amendment, with the same effect as though made on and as of the Fourth Amendment Effective Date, except to the extent such representations and warranties expressly relate to an earlier date, in which case such
        representations and warranties are true and correct in all material respects (or in the case of representations and warranties qualified by materiality or material adverse effect, true and correct in all respects) as of such earlier date;

     

    3.2. at the time of, and immediately after
        giving effect to, this Fourth Amendment, no Event of Default or Default shall have occurred and be continuing or would result therefrom;

     

    3.3. each of the Loan Parties has all requisite
        power and authority to execute, deliver and perform its obligations under this Fourth Amendment and each other agreement or instrument contemplated hereby to which it is or will be a party;

     

    
      5

      
        

    

    3.4. the execution, delivery and performance by
        each of the Loan Parties of this Fourth Amendment, and the transactions contemplated hereby, (a) have been duly authorized by all corporate, equityholder, partnership or limited liability company action required to be obtained by such Loan Party
        and (b) do not and will not (i) violate (A) any provision of law, statute, rule or regulation, (B) the certificate or memorandum or articles of incorporation or other constitutive documents (including any partnership, limited liability company or
        operating agreements) or bylaws of such Loan Party, (C) any applicable order, judgment or decree of any court or any rule, regulation or order of any Governmental Authority or (D) any provision of any indenture, certificate of designation for
        preferred stock, agreement or other instrument to which any Loan Party is a party or by which any Loan Party or any of its property is or may be bound, (ii) be in conflict with, result in a breach of or constitute (alone or with notice or lapse of
        time or both) a default under, give rise to a right of or result in any cancellation or acceleration of any right or obligation (including any payment) or to a loss of a benefit under any such indenture, certificate of designation for preferred
        stock, agreement or other instrument, where any such conflict, violation, breach or default referred to in clause (i) (other than subclause (B) thereof) or (ii) of this Section 3.4 would reasonably be expected to have, individually or in the
        aggregate, a Material Adverse Effect or (iii) result in the creation or imposition of any Lien upon or with respect to any property or assets now owned or hereafter acquired by any Loan Party, other than the Liens created by the Loan Documents and
        Permitted Liens;

     

    3.5. this Fourth Amendment has been duly
        executed and delivered by each of the Loan Parties and constitutes a legal, valid and binding obligation of such Loan Party enforceable against each such Loan Party in accordance with its terms subject to (a) the effects of bankruptcy, insolvency,
        moratorium, reorganization, fraudulent conveyance or other similar laws affecting creditors’ rights generally, (b) general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law) and (c)
        implied covenants of good faith and fair dealing; and

     

    3.6. no action, consent or approval of,
        registration or filing with or any other action by any Governmental Authority is or will be required in connection with the execution, delivery and performance by each of the Loan Parties of this Fourth Amendment, the transactions contemplated
        hereby, the creation, perfection or maintenance of the Liens created under the Security Documents or the exercise by any Agent or any Lender of its rights under the Loan Documents or the remedies in respect of the Collateral, except for: (a) such
        actions, consents, approvals, registrations and filings as have been made or obtained and are in full force and effect and (b) such actions, consents, approvals, registrations and filings the failure of which to be obtained or made would not
        reasonably be expected to have a Material Adverse Effect.

     

    4.    Conditions to Effectiveness. 

        This Fourth Amendment shall become effective on the date (the “Fourth Amendment Effective Date”) that the following conditions precedent have been satisfied:

     

    4.1. (a) the Administrative Agent shall have
        executed this Fourth Amendment and received (i) signature pages to this Fourth Amendment duly executed by the Required Lenders and each Loan Party (as of the date such other signature pages are received by the Administrative Agent) or (ii) written
        evidence reasonably satisfactory to the Administrative Agent (which may include delivery of a signed signature page of this Fourth Amendment by facsimile or other means of electronic transmission (e.g., “pdf”)) that each such party has signed a
        counterpart of this Fourth Amendment, and (b) the Administrative Agent shall have executed the Fourth Amendment Fee Letter and received (i) a signature page to the Fourth Amendment Fee Letter duly executed by the Borrower or (ii) written evidence
        reasonably satisfactory to the Administrative Agent (which may include delivery of a signed signature page of the Fourth Amendment Fee Letter by facsimile or other means of electronic transmission (e.g., “pdf”)) that the Borrower has signed a
        counterpart of the Fourth Amendment Fee Letter;

     

    4.2. the Administrative Agent shall have
        received a certificate of the Secretary or Assistant Secretary or similar officer of each Loan Party dated the Fourth Amendment Effective Date and certifying:

     

    (a)   that attached thereto is a certificate as
        to the good standing of such Loan Party as of a recent date from the Secretary of State of the State of Delaware,

     

    
      6

      
        

    

    (b)   that attached thereto is a true and
        complete copy of resolutions duly adopted by the board of managers or managing member authorizing the execution and delivery of this Fourth Amendment and the performance of the Credit Agreement and the other Loan Documents to which such person is a
        party and, in the case of the Borrower, the borrowings under the Credit Agreement, and that such resolutions have not been modified, rescinded or amended and are in full force and effect on the Fourth Amendment Effective Date,

     

    (c)   as to the incumbency and specimen
        signature of each officer executing this Fourth Amendment or any document delivered in connection herewith on behalf of such Loan Party,

     

    (d)   as to the incumbency and specimen
        signature of the Secretary or Assistant Secretary or similar officer executing the certificate pursuant to this Section 4.2;

     

    4.3. the Administrative Agent shall have
        received an updated Beneficial Owner Certification giving effect to the BK Merger and all documentation and other information required under applicable “know your customer” and anti-money laundering rules and regulations, including without
        limitation, the USA PATRIOT Act, as may be required in connection with the BK Merger, at least five (5) days prior to the consummation of the BK Merger;

     

    4.4. the Agents shall have received all fees
        payable thereto or to any Lender on or prior to the Fourth Amendment Effective Date and, to the extent invoiced, all other amounts due and payable pursuant to the Loan Documents on or prior to the Fourth Amendment Effective Date, including, to the
        extent invoiced at least one Business Day prior to the Fourth Amendment Effective Date, reimbursement or payment of all reasonable and documented out-of-pocket expenses (including reasonable and documented fees, out-of-pocket charges and
        disbursements of Otterbourg P.C.) required to be reimbursed or paid by the Loan Parties hereunder or under any Loan Document;

     

    4.5. since December 31, 2021, there shall not
        have occurred or there shall not exist any event, condition or circumstance that has had or would reasonably be expected to have a Material Adverse Effect; and

     

    4.6. the Borrower shall have delivered to the
        Administrative Agent and the Lenders an officer’s certificate, dated as of the Fourth Amendment Effective Date, in form and substance reasonably satisfactory to the Administrative Agent.

     

    5.    Effectiveness of the BK Merger. On
        the date the BK Merger shall become effective in accordance with its terms and applicable law, a Responsible Officer of the Borrower shall deliver to Administrative Agent a certification of the occurrence of the BK Merger (such date, the “BK Merger Effective Date”), in the form of Annex A attached hereto, upon which the BK Merger Effective Date shall automatically have occurred without any other action required by any Person.

     

    6.    Ratification.  Except to the
        extent hereby or concurrently herewith specifically amended or amended and restated, the Credit Agreement and each of the other Loan Documents remain in full force and effect and are hereby ratified and affirmed.  Without limiting the generality of
        the foregoing, each Loan Party (a) expressly confirms that, with effect from (and including) the Fourth Amendment Effective Date, the Security Documents shall apply and extend to the liabilities and obligations of each relevant Loan Party under the
        Credit Agreement and the other Loan Documents and do and shall continue to secure the payment of all Obligations of the Loan Parties under the Loan Documents (in each case, as amended and modified by this Fourth Amendment or amended and restated
        concurrently herewith) and (b) hereby (i) ratifies and affirms each grant of a lien on, or security interest in, its property made pursuant to the Loan Documents (including, without limitation, the grant of security made by such Loan Party pursuant
        to the Security Documents) and confirms that such liens and security interests continue to secure the Obligations under the Loan Documents, subject to the terms thereof and (ii) in the case of each Guarantor, ratifies and affirms its guaranty of
        the Obligations, pursuant to the Collateral Agreement.

     

    
      7

      
        

    

    7.    Miscellaneous.  This Fourth
        Amendment shall be limited precisely as written and, except as expressly provided herein, this Fourth Amendment (and the execution, delivery and performance hereof) shall not, and shall not be deemed to, (a) be a consent granted pursuant to, or a
        waiver or modification of, any term or condition of the Credit Agreement, any other Loan Document or any of the instruments or agreements referred to therein, (b) be considered a novation or (c) prejudice or operate as a waiver of any right, power
        or remedy which any Agent or any other Secured Party may now have or have in the future under or in connection with the Credit Agreement, any other Loan Document or any of the instruments or agreements referred to therein. Unless the context
        requires otherwise, on and after the Fourth Amendment Effective Date, each reference in the Credit Agreement to “this Agreement”, “hereunder”, “hereof”, “herein” or words of like import referring to the Credit Agreement, and each reference in the
        other Loan Documents or any of the instruments, agreements or other documents or papers executed or delivered in connection therewith to the “Credit Agreement”, “thereunder”, “thereof” or words of like import referring to the Credit Agreement shall
        mean and be a reference to the Credit Agreement, as amended by this Fourth Amendment.  The Loan Parties agree that their obligations set forth in Section 10.05 of the Credit Agreement shall extend to the preparation, execution and delivery of this
        Fourth Amendment.  This Fourth Amendment is a “Loan Document” for purposes of the Credit Agreement and the other Loan Documents and shall be construed, administered and applied in accordance with the terms and provisions of the Credit Agreement. 
        Section headings are for convenience of reference only and shall in no way affect the interpretation of this Fourth Amendment.

     

    8.    Counterparts; Binding Effect. 
        This Fourth Amendment may be executed in two or more counterparts, each of which shall constitute an original but all of which, when taken together, shall constitute but one contract, and shall become effective as provided in Section 5.  Delivery
        of an executed counterpart to this Fourth Amendment by facsimile transmission (or other electronic transmission (e.g., a “pdf” or “tif”) pursuant to procedures approved by the Administrative Agent) shall be as effective as delivery of a manually
        signed original. The words “execution,” “execute,” “signed,” “signature,” and words of like import in or related to this letter shall be deemed to include electronic signatures or the keeping of records in electronic form, each of which shall be of
        the same legal effect, validity or enforceability as a manually executed signature or the use of a paper-based recordkeeping system, as the case may be, to the extent and as provided for in any applicable law. From and after the Fourth Amendment
        Effective Date, this Fourth Amendment shall be binding upon and inure to the benefit of the Loan Parties, the Agents and the Lenders and their respective successors and assigns in accordance with the terms of the Credit Agreement as amended hereby.

     

    9.    Applicable Law.  THIS FOURTH
        AMENDMENT AND ANY CLAIMS, CONTROVERSY, DISPUTE OR CAUSES OF ACTION (WHETHER IN CONTRACT OR TORT OR OTHERWISE) BASED UPON, ARISING OUT OF OR RELATING TO THIS FOURTH AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE
        STATE OF NEW YORK.

     

    [SIGNATURE PAGES FOLLOW]

     

    

    
      8

      
        

    

    IN WITNESS WHEREOF, the parties hereto have caused this Fourth Amendment to be duly executed by their respective authorized officers as of the day and
      year first above written.

     

    	 	
            Loan Parties:

          
	 	 
	 	
            VERSO HOLDING LLC

          
	 	
            VERSO PAPER HOLDING LLC

          
	 	
            VERSO ESCANABA LLC

          
	 	
            VERSO LUKE LLC

          
	 	
            VERSO MINNESOTA WISCONSIN LLC

          
	 	
            VERSO QUINNESEC LLC

          
	 	
            VERSO QUINNESEC REP LLC

          
	 	 
	 	 
	 	
            By:

          	
             /s/ Brian D. Cullen

          
	 	
            Name: Brian D. Cullen

          
	 	
            Title: Senior Vice President and Chief Financial Officer

          

    

    

    [Signature Page to Fourth Amendment to Credit Agreement (Verso)]

    

    

    
      9

      
        

    

    [Agent and lender signature pages on file with the Administrative Agent]

     

    [Signature Page to Fourth Amendment to Credit Agreement (Verso)]

    

    

    
      10

      
        

    

    Annex A to Fourth Amendment

     

      

    [_____________], 2022

     

      

    Wells Fargo Bank, National Association,

    as Administrative Agent under the below-referenced Credit Agreement

    10 South Wacker Drive, 26th Floor

    Chicago, IL 60606

     

    	

          	Re:	
            Certification of Occurrence of the BK Merger Effective Date

          

     

    Ladies and Gentlemen:

     

    Reference hereby is made to that certain Fourth Amendment to Credit Agreement, dated as of March 18, 2022, (the “Fourth Amendment”), among Verso Holding
      LLC, a Delaware limited liability company, Verso Paper Holding LLC, a Delaware limited liability company, the other Loan Parties (as defined in the Credit Agreement referenced in the Fourth Amendment) party thereto, the Lenders party thereto, and
      Wells Fargo Bank, National Association, as Administrative Agent (capitalized terms used in this certification but not specifically defined herein shall have the meanings ascribed to them in the Fourth Amendment or the Credit Agreement, as the context
      requires).

     

    This certification is being delivered by the undersigned officer of the Borrower only in his capacity as a Responsible Officer of the Borrower and not
      individually, and the undersigned shall have no personal liability to Administrative Agent or the Lenders with respect thereto.

     

    The undersigned hereby certifies that: (i) on and effective as of the date hereof (the “BK Merger Effective Date”), the BK Merger has occurred in
      accordance with its terms and applicable law, (ii) the Borrower is an indirect wholly-owned Subsidiary of BillerudKorsnäs AB, a Swedish limited company and (iii) this is the certification referenced in, and required by, Section 5 of the Fourth
      Amendment.

     

    	 	
            VERSO PAPER HOLDING LLC, as Borrower

          
	 	 
	 	
            By:

          	
            

            

          
	 	
            Name:

          
	 	
            Title:

          

    

    

     

    11

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