Document:

Lease Agreement dated as of November 27, 2001

  
 Exhibit 10.12

 TABLE OF CONTENTS 
  

					
	 	  	 	  	PAGE

	1.	  	PREMISES	  	3
			
	2.	  	POSSESSION AND LEASE COMMENCEMENT	  	3
			
	3.	  	TERM	  	4
			
	4.	  	USE	  	4
			
	5.	  	RULES AND REGULATIONS	  	5
			
	6.	  	RENT	  	5
			
	7.	  	OPERATING EXPENSES	  	5
			
	8.	  	INSURANCE AND INDEMNIFICATION	  	9
			
	9.	  	WAIVER OF SUBROGATION	  	11
			
	10.	  	LANDLORD’S REPAIRS AND MAINTENANCE	  	11
			
	11.	  	TENANT’S REPAIRS AND MAINTENANCE	  	12
			
	12.	  	ALTERATIONS	  	12
			
	13.	  	SIGNS	  	13
			
	14.	  	INSPECTION/POSTING NOTICES	  	13
			
	15.	  	SERVICES AND UTILITIES	  	14
			
	16.	  	SUBORDINATION	  	15
			
	17.	  	FINANCIAL STATEMENTS	  	16
			
	18.	  	ESTOPPEL CERTIFICATE	  	16
			
	19.	  	SECURITY DEPOSIT	  	16
			
	20.	  	LIMITATION OF TENANT’S REMEDIES	  	17
			
	21.	  	ASSIGNMENT AND SUBLETTING	  	17
			
	22.	  	AUTHORITY	  	19
			
	23.	  	CONDEMNATION	  	19
			
	24.	  	CASUALTY DAMAGE	  	20
			
	25.	  	HOLDING OVER	  	21
			
	26.	  	DEFAULT	  	21
			
	27.	  	LIENS	  	23
			
	28.	  	INTENTIONALLY DELETED	  	24
			
	29.	  	TRANSFERS BY LANDLORD	  	24
			
	30.	  	RIGHT OF LANDLORD TO PERFORM TENANT’S COVENANTS	  	24
			
	31.	  	WAIVER	  	24

  

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 TABLE OF CONTENTS 
 ( CONTINUED) 
  

					
	 	  	 	  	Page

			
	32.	  	NOTICES	  	24
			
	33.	  	ATTORNEYS’ FEES	  	25
			
	34.	  	SUCCESSORS AND ASSIGNS	  	25
			
	35.	  	FORCE MAJEURE	  	25
			
	36.	  	SURRENDER OF PREMISES	  	25
			
	37.	  	HAZARDOUS MATERIALS	  	26
			
	38.	  	MISCELLAENOUS	  	27
			
	39.	  	ADDITIONAL PROVISIONS	  	28
			
	40.	  	JURY TRIAL WAIVER	  	29

  

			
	 EXHIBITS:
	 	 
	 Exhibit A
	 	Rules and Regulations
		
	 Exhibit B
	 	Outline And Location of Premises
		
	 Exhibit C
	 	Lease Improvement Agreement
		
	 Exhibit D
	 	Hazardous Materials Questionnaire

  

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 BASIS LEASE INFORMATION

 INDUSTRIAL NET 
  

			
	 LEASE DATE
	  	November 27, 2001
		
	 TENANT:
	  	RACKABLE SYSTEMS, INC. a Delaware corporation
		
	 TENANT’S NOTICE ADDRESS:
	  	721 Charcot Avenue, San Jose, CA 95131
		
	 TENANT’S BILLING ADDRESS:
	  	721 Charcot Avenue, San Jose, CA 95131
		
	 TENANT CONTACT: Jack Randall
	  	 PHONE NUMBER:     408-321-0290
 FAX NUMBER:          408-321-0293

		
	 LANDLORD:
	  	EOP-INDUSTRIAL PORTFOLIO, L.L.C., a Delaware limited liability company
		
	 LANDLORD’ NOTICE ADDRESS:
	  	 EOP-INDUSTRIAL PORTFOLIO, L.L.C.,
 226 Airport
Parkway
 Suite 570
 San Jose, California 95110
 Attn: Property Manager
  
 With a copy to:
  
 Equity Office Properties
Trust
 Two North Riverside Plaza, Suite 2100
 Chicago, Illinois
60506
 Attn: Regional Counsel - San Jose Region

		
	 LANDLORD’ REMITTANCE ADDRESS:
	  	Payable to the order of Equity Office Properties to the address below:
		
	 Project Description:
	  	That certain industrial project commonly known as “Charcot Business Park” which currently includes: the single-story buildings located at 2023-2037 O’Toole Avenue,
721-751 Charcot Avenue, 2142-2158 Paragon Drive, and 2170-2190 Paragon Drive, the parcel(s) of land on which such buildings are located and, at Landlord’s discretion, all other improvements thereon; and, at Landlord’s option, the parking
areas serving the Project, all of which are located in San Jose, California 95131. If the number of buildings included in the Project increases or decreases, then the definition of the Project shall be revised accordingly to reflect such
change.
		
	 Building Description:
	  	That single story building located at 721-751 Charcot Avenue, San Jose, California 95131
		
	 Premises:
	  	Approximately 13,240 rentable square feet located at 721 Charcot Avenue, San Jose, California 95131

  

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	 Permitted Use:
	  	General office, storage, warehouse, light manufacturing and assembly for the production of rackable computer systems
		
	 Parking Density:
	  	2.5 spaces per 1,000 rentable square feet of the Premises
		
	 Schedule Term Commencement Date:
	  	February 1, 2002
		
	 Scheduled Length of Term:
	  	Five (5) years
		
	 Scheduled Term Expiration Date:
	  	January 31, 2007
		
	 Rent:
	  	 
		
	 Base Rent:
	  	See Paragraph 39.A. hereof
		
	 Estimated First Year Operating Expenses:
	  	$2,912.50 per month
		
	 Security Deposit:
	  	$15,888.00
		
	 Tenant’s NAICS Code:
	  	[                    ]
		
	 Tenant’s Proportionate Share:
  
 Of Project:
	  	8.104%

  
 The foregoing Basic Lease Information
is incorporated into and made a part of this Lease, Each reference in this Lease to any of the Basic Lease Information shall mean the respective information above and shall be construed to incorporate all of the terms provided under the particular
Lease paragraph pertaining to such information. In the event of any conflict between the Basic Lease Information and the Lease, the letter shall control. 
  

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 LEASE 
  
 THIS LEASE is made as of the 27th day of November, 2001, by and between EOP-INDUSTRIAL PORTFOLIO, L.L.C., a Delaware limited liability company (hereinafter called
“Landlord”), and RACKABLE SYSTEMS, INC., a Delaware corporation (hereinafter called “Tenant”). 
  
 1. PREMISES 
  
 Landlord leases to Tenant and Tenant leases from Landlord, upon the terms and conditions hereinafter set forth, those premises (the
“Premises”) outlined on Exhibit B and described in the Basic Lease Information. The Premises shall be all or part of a building (the “Building”) and of a project (the “Project”), which
may consist of more than one building and additional facilities, an described in the Basis Lease Information. Landlord and Tenant acknowledge that physical changes may occur from time to time in the Premises, Building or Project, and that the number
of buildings and additional facilities which constitute the Project may change from time to time, which may result in an adjustment in Tenant’s Proportionate Share, as defined in the Basis Lease Information, as provided in Paragraph 7.A.

  
 2. POSSESSION AND LEASE COMMENCEMENT 
  
 The term commencement date (“Term Commencement Date”) shall
be the earlier of the date on which: (1) Tenant takes possession of some or all of the Premises; or (2) the improvements to be constructed or performed in the Premises by Landlord (if any) shall have been substantially completed in accordance with
the plans and specifications, if any, described on Exhibit C. Upon substantial completion of the improvements to be constructed by Landlord in the Premises, Landlord shall deliver the Premises to Tenant in a broom-clean condition and
reasonably free of debris. If for any reason Landlord cannot deliver possession of the Premises to Tenant on the scheduled Term Commencement Date, Landlord shall not be subject to any liability therefore, nor shall Landlord be in default hereunder
nor shall such failure affect the validity of this Lease, and Tenant agrees to accept possession of the Premises at such time as such Improvements have been substantially completed, which date shall then be deemed the Term Commencement Date. Tenant
shall not be liable for any Rent for any period prior to the Term Commencement Date (but without affecting any obligation of Tenant under any improvement agreement appended to this Lease). In the event of any dispute as to substantial completion of
work performed or required to be performed by Landlord, the certificate of Landlord’s architect or general contractor shall be conclusive. Substantial completion shall have occurred notwithstanding Tenant’s submission of a punchlist to
Landlord, which Tenant shall submit, if at all, within three (3) business days after the Term Commencement Date or otherwise in accordance with any improvement agreement appended to this Lease. Upon Landlord’s request, Tenant shall promptly
execute and return to Landlord a “Start-Up Letter” in which Tenant shall agree, among other things, in acceptance of the Premises and to the determination of the Term Commencement Date, in accordance with the terms of this Lease,
but Tenant’s failure or refusal to do so shall not negate Tenant’s acceptance of the Premises or affect determination of the Term Commencement Date. 
  

Notwithstanding the foregoing, if the Term Commencement Date has not occurred on or before the Required Completion Date (defined below), Tenant, as its
sole remedy, may terminate this Lease by giving Landlord written notice of termination on or before the earlier to occur of: (i) 5 business days after the Required Completion Date and (ii) the Term Commencement Date. In such event, this Lease shall
be deemed null and void and of no further force and effect and Landlord shall promptly refund any prepaid rent and Security Deposit previously advanced by Tenant under this Lease and, so long as Tenant has not previously defaulted under any of its
obligations under the Lease Improvement Agreement, the parties hereto shall have no further responsibilities or obligations to each other with respect to this Lease. The “Required Completion Date” shall mean the date which is 120
days after the later of the date this Lease is properly executed and delivered by Tenant, the date all prepaid rental and Security Deposits required under this Lease are delivered to Landlord, the date the building permit for the Landlord Work had
been obtained, and, if applicable, the date all contingencies, if any, specified in this Lease have been satisfied or waived in writing by Landlord. Landlord and Tenant acknowledge and agree that: (i) the determination of the Term Commencement Date
shall take into consideration the effect of any Tenant Delays (defined below); and (ii) the Required Completion Date shall be postponed by the number of days the Term Commencement Date is delayed due to events of force majeure, as described in
Paragraph 35 hereof. 

  

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Notwithstanding anything herein to the contrary, if Landlord determines in good faith that it will be unable to cause this Term Commencement Date to occur by
the Required Completion Date, Landlord shall have the right to immediately cease its performance of the Landlord Work and provide Tenant with written notice (the “Completion Date Extension Notice”) of such inability, which
Completion Date Extension Notice shall set forth the date on which Landlord reasonably believes that the Term Commencement Date will occur. Upon receipt of the Completion Date Extension Notice, Tenant shall have the right to terminate this Lease by
providing written notice of termination to Landlord within 5 business days after the date of the Completion Date Extension Notice. If Tenant does not terminate this Lease within such 5 business day period, the Required Completion Date automatically
shall be amended to be the date set forth in Landlord’s Completion Date Extension Notice. “Tenant Delay” means any act or omission of Tenant or its agents, employees, vendors or contractors that actually delays the substantial
completion of the Landlord Work, including, without limitation: (1) Tenant’s failure to furnish information or approvals within any time period specified in this Lease, including the failure to prepare or approve preliminary or final plans by
any applicable due date; (2) Tenant’s selection of equipment or materials that have long lead times after first being informed by Landlord that the selection may result in a delay; (3) changes requested or made by Tenant to previously approved
plans and specifications; (4) performance of work in the Premises by Tenant or Tenant’s contractor(s) during the performance of the Landlord Work; or (5) if the performances of any portion of the Landlord work depends on the prior or
simultaneous performance of work by Tenant, a delay by Tenant or Tenant’s contractor(s) in the completion of such work. 
  
 3. TERM 
  
 The term of this Lease (the “term”) shall commence on the Term Commencement Date and continue in full force and effect for the number of
months specified as the Length of Term in the Basic Lease Information or until this Lease is terminated as otherwise provided herein. If the Term Commencement Date is a data other than the first day of the calendar month, the Term shall be the
number of months of the Length of Term in addition to the remainder of the calendar month following the Term Commencement Date. 
  
 4. USE 
  
 A. General. Tenant shall use the Premises for the permitted use specified in the Basic Lease Information. (“Permitted Use”) and for no other use or purpose. Tenant shall control
Tenant’s employees, agents, customers, visitors, invitees, licensees, contractors, assignees and subtenants (collectively, “Tenant’s Parties”) in such a manner that Tenant and Tenant’s Parties competitively do not
exceed the parking density specified in the Basic Lease Information (the “Parking Density”) at any time. So long as Tenant is occupying the Premises, Tenant and Tenant’s Parties shall have the nonexclusive right to use, in
common with other parties occupying the Building or Project, the parking areas, driveways and other common areas of the Building and Project, subject to the terms of this Lease and such rules and regulations as Landlord may from time to time
reasonably prescribe. Landlord reserves the right, without notice or liability to Tenant, and without the same constituting an actual or constructive eviction, to alter or modify the common areas from time to time, including the location and
configuration thereof, and the amenities and facilities which Landlord may determine to provide form time to time, provided, such alteration or modification shall not materially adversely affect Tenant’s Permitted Use pursuant to this Lease.

  
 B. Limitations. Tenant shall not permit any odors, smoke, dust,
gas, substances, noise or vibrations to emanate from the Premises or from any portion of the common areas as a result of Tenant’s or any Tenant’s Party’s use thereof, nor take any action which would constitute a nuisance or would
unreasonably disturb, obstruct or endanger any other tenants or occupants of the Building or Project or elsewhere, or interfere with their use of their respective premises or common areas. Storage outside the Premises of materials, vehicles or any
other items is prohibited. Tenant shall not use or allow the Premises to be used for any immoral, improper or unlawful purpose, nor shall Tenant cause or maintain or permit any nuisance in, on or about the Premises. Tenant shall not commit or suffer
the commission of any waste in, on or about the Premises. Tenant shall not allow any sale by assign upon the Premises, or place any loads upon the floors, walls or ceilings which could endanger the structure, or place any harmful substances in the
drainage system of the Building or Project. No waste, materials or refuse shall be dumped upon or permitted to remain outside the Premises except in trash containers placed inside exterior enclosures designated for that purpose by Landlord. Landlord
shall not be responsible to Tenant for the non-compliance by any 

  

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other tenant or occupant of the Building or Project with any of the above-referenced rules or any other terms or provisions of such tenant’s or
occupant’s lease or other contract. 
  
 C. Compliances with
Regulations. By entering the Premises, Tenant accepts the Premises in the condition existing as of the date of such entry. Tenant shall at its sole cost and expense strictly comply with all existing or future applicable municipal, state and
federal and other governmental statutes, rules, requirements, regulations, laws and ordinances, including zoning ordinances and regulations, and covenance, agreements and restrictions of record governing and relating to the use, occupancy or
possession of the Premises, to Tenant’s use of the common areas, or to the use, storage, generation or disposal of Hazardous Materials (hereinafter defined) (collectively “Regulations”). Tenant shall at its sole cost and
expense obtain any and all license or permits necessary for Tenant’s use of the Premises. Tenant shall at its sole cost and expense promptly comply with the requirements of any board of fire underwriters or other similar body now or hereafter
constituted. Tenant shall not do or permit anything to be done in, on, under or about the Project or bring or keep anything which will in any way increase the rate of any insurance upon the Premises, Building or Project or upon any contents therein
or cause a cancellation of said insurance or otherwise affect said insurance in any manner. Tenant shall indemnify, defend (by counsel reasonably acceptable to Landlord), protect and hold Landlord harmless from and against any loss, cost, expenses,
damage, attorneys’ fees or liability arising out of the failure of Tenant to comply with any Regulation. Tenant’s obligations pursuant to the foregoing indemnity shall survive the expiration or earlier termination of this Lease.

  
 5. RULES AND REGULATIONS 
  
 Tenant shall faithfully observe and comply with the building rules and
regulations attached hereto as Exhibit A and any other rules and regulations and any modification or additions thereto which Landlord may from time to time reasonably prescribe in writing for the purpose of maintaining the proper care,
cleanliness, safety, traffic flow and general order of the Premises or the Building or Project; provided, however, that if there is a conflict between this Lease and any rules and regulations enacted after the date of this Lease, the areas of this
Lease shall control. Tenant shall cause Tenant’s Parties to comply with such rules and regulations. Landlord shall not be responsible to Tenant for the non-compliance by any other tenant or occupant of the Building or Project with any of such
rules and regulations, any other tenant’s or occupant’s lease or any Regulations. 
  
 6. RENT 
  
 A. Base Rent.
Tenant shall pay to Landlord and Landlord shall receive, without notice or demand throughout the Term, Base Rent as specified in the Basic Lease Information, payable in monthly installments in advance on or before the first day of each calendar
month, in lawful money of the United states, without deduction or offset whatsoever, as the Remittance Address specified in the Basic Lease Information or to such other place as Landlord may form time to time delegate in writing. Base Rent for the
third (3rd) full month of the Term shall be paid by Tenant upon Tenant’s execution of this Lease. If the
obligation for payment of Base Rent commences on a day other than the first day of a month, then Base Rent shall be prorated and the prorated installment shall be paid on the first day of the calendar month next succeeding the Term Commencement
Date. The Base Rent payable by Tenant hereunder is subject to adjustment as provided elsewhere in this Lease, as applicable. As used herein, the term “Base Rent” shall mean the Base Rent specified in the Basic Lease Information as
it may be so adjusted form time to time. 
  
 B. Additional Rent. All
monies other than the Base Rent required to be paid by Tenant hereunder, including, but not limited to, Tenant’s Proportionate Share of Operating Expenses, as specified in Paragraph 7 of this Lease, charges to be paid by Tenant under Paragraph
15, the interest and late charge described in Paragraphs 26.D, and E, and any monies spent by Landlord pursuant to Paragraph 30, shall be considered additional rent (“Additional Rent”). “Rent” shall mean Base Rent
and Additional rent. 
  
 7. OPERATING EXPENSES 

 
 A. Operating Expenses. In addition to the Base Rent required to be paid
hereunder, Tenant shall pay as Additional Rent, Tenant’s Proportionate Share of the Building and/or Project (as applicable), as defined in the Basic Lease Information, of Operating Expenses (defined below) in the manner set forth below. Tenant
shall pay the applicable Tenant’s Proportionate Share of each such Operating Expenses. Landlord and Tenant acknowledge that if 

  

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the number of buildings which constitute the Project increases or decreases, or if physical changes are made to the Premises, Building or Project or the
configurations of any thereof, Landlord may at its discretion reasonably adjust Tenant’s Proportionate Share of the Building or Project to reflect the change. Landlord’s determination of Tenant’s Proportionate Share of the Building
and of the Project shall be conclusive so long as it is reasonably and consistently applied. “Operating Expenses” shall mean all expenses and costs of very kind and nature which Landlord shall pay or become obligated to pay, because
of or in connection with the ownership, management, maintenance, repair, preservation, replacement operation of the Building or Project and its supporting facilities and such additional facilities now and in subsequent years as may be determined by
Landlord to be necessary or desirable to the Building and/or Project (as determined in a reasonable manner) other than those expenses and costs which are specifically attributable to Tenant or which are expressly made the financial responsibility of
Landlord or specific tenants of the Building or Project pursuant to this Lease. Operating Expenses shall include, but are not limited to, the following: 
  
 (1) Taxes. All real property taxes and assessments, possesory interest taxes, sales taxes, personal property taxes, business or license
taxes or fees, gross receipts taxes, service payments in lieu of such taxes or fees, annual or periodic license or use fees, excise, transit charges, and other impositions, general and special, ordinary and extraordinary, unforeseen as well as
foreseen, of any kind (including fees “in-lieu” of any such tax or assessment) which are now or hereafter assessed, levied, charged, confirmed, or imposed by any public authority upon the Building or Project, its operations or the
Rent (or any portion or component thereof), or any tax, assessment or fee imposed in substitution, partially or totally, or any of the above. Operating Expenses shall also include any taxes, assessments, reassessments, or other fees or impositions
with respect to the development, leasing, management, maintenance, alteration, repair, use or occupancy by Tenant of the Premises, Building or Project or any portion thereof; including, without limitation, by or for Tenant, and all increases therein
or reassessments thereof whether the increase or reassessments result from increased rate and/or valuation (whether upon a transfer of the Building or Project or any portion thereof or any interest therein or for any other reason). Operating
Expenses shall not include gift, franchise, inheritance or estate taxes imposed upon or assessed against the interest of any person in the Project, or taxes computed upon the basis of the net income of any owners or any interest in the Project. If
it shall not be lawful for Tenant to reimburse Landlord for all or any part of such taxes, the monthly rental payable to Landlord under this Lease shall be revised to net Landlord the same net rental after imposition of any such taxes by Landlord as
would have been payable to Landlord prior to the payment of any such taxes. 
  
 (2) Insurance. All insurance premiums and costs, including, but not limited to, any deductible amounts, premiums and other costs of insurance incurred by Landlord, including for the insurance coverage
set forth in Paragraph 8.A. herein. 
  
 (3) Common Area
Maintenance. 
  
 (a) Repairs, replacements, and
general maintenance of and for the Building and Project and public and common areas and facilities of and comprising the Building and Project, including, but not limited to, the roof and roof membrane, elevators, mechanical rooms, alarm systems,
pest extermination, landscaped areas, parking and service areas, driveways, sidewalks, truck staging areas, coil spur areas, fire sprinkler systems, sanitary and storm sewer lines, utility services, heating/ventilation/air conditioning systems,
electrical, mechanical or other systems, telephone equipment and wiring servicing, plumbing, lighting, and any other items or areas which affect the operation or appearance of the Building or Project, which determination shall be at Landlord’s
discretion, except for those items to the extent paid for by the proceeds of insurance, and those items attributable solely or jointly to specific tenants of the Building or Project. 
  
 (b) Repairs, replacements, and general maintenance shall include the cost of any improvements made to or required for
the Project or Building that in Landlord’s discretion may reduce any other Operating Expenses, including present or future repair work, are reasonably necessary for the health and safety of the occupants of the Building or Project, or for the
operation of the Building systems, services and equipment, or are required to comply with any Regulation, 

  

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such costs or allocable portions thereof to be amortized in accordance with GAAP, together with interest on the unamortized balance at the publicly announced
“prime rate” charged by Wells Fargo Bank, N.A. (San Francisco) or its successor at the time such improvements or capital aspects are constructed or acquired, plus two (w) percentage points, or in the absence of such prime rate, then
at the U.S. Treasury six-month market note (or bond, if so designated) rate as published by any national financial publication selected by Landlord, plus four (4) percentage points, but in no event more than the maximum rate permitted by law, plus
reasonable financing charges. 
  
 (c) Payment under or for
any easement, license, permit, operating agreement, declaration, restricted covenant or instrument relating to the Building or Project. 
  
 (d) All expenses and rental related to services and costs of supplies, materials and equipment used in operating, managing and maintaining the
Premises, Building and Project, the equipment therein and the adjacent sidewalks, driveways, parking and service areas, including, without limitation, expenses related to service agreements regarding security, fire and other alarm systems,
janitorial services to the extent not addressed in Paragraph 11 hereof, window cleaning, elevator maintenance, Building exterior maintenance, landscaping and expenses related to the administration, management and operation of the Project, including
without limitation salaries, wages and benefits and management office rent. 
  
 (e) The costs of supplying any services and utilities which benefit all or a portion of the Premises, Building or Project to the extent not addressed in Paragraph 15 hereof. 
  
 (f) Legal expenses and the cost of audits by certified public
accountants; provided, however, the legal expenses chargeable as Operating Expenses shall not include the cost of negotiating leases, collecting rents, evicting tenants nor shall it include costs incurred in legal proceedings with or against any
tenant or to enforce the provisions of any lease. 
  
 (g)
A management and accounting cost recovery fee equal to three percent (3%) of the sum of the Project’s revenues. 
  
 If the rentable area of the Building and/or Project is not fully occupied during any fiscal year of the Term as determined by Landlord, an adjustment shall be made in
Landlord’s discretion in computing the Operating Expenses for such year so that Tenant pays an equitable portion of all variable items (e.g. utilities, janitorial services and other component expenses that are affected by variations in
occupancy levels) of Operating Expenses, as reasonably determined by Landlord; provided, however, that in no event shall Landlord be entitled to collect in excess of the hundred percent (100%) of the total Operating Expenses from all of the tenants
in the Building or Project, as the case may be. 
  
 Operating Expenses shall not
include: the costs in connection with leasing space in the Building or Project, including brokerage commissions, lease concessions, including rental abatements and construction allowances, granted to specific tenants, the initial construction cost
of the Building; the cost of capital improvements (except as set forth in Paragraph 7.A(3)(b) above); depreciation; interest (except as provided in Paragraph 7.A(3)(b) above for the amortization of capital improvements); principal payments of
mortgage and other non-operating debts of Landlord; the cost of repairs or other work to the extent Landlord is reimbursed by insurance or condemnation proceeds; costs incurred in connection with the sale, financing or refinancing of the Building or
the Project; fines, interest and penalties incurred due to the late payment of taxes (as described in Paragraph 7.A(1) above) or Operating Expenses, organizational expenses associated with the creation and operation of the entity which constitutes
Landlord; any penalties or damages that Landlord pays to Tenant under this Lease or to other tenants in the Building under their respective leases; attorney’s fees and other expenses incurred in connection with negotiations or disputes with
prospective tenants or tenants or other occupants of the Building; any expenses for which Landlord has received actual reimbursement (other than through Operating Expenses); advertising and promotional expenditures; costs incurred by Landlord in
connection with the correction of defects in design and original construction of the Building or Project; fines or penalties incurred as a result of violation by Landlord of any 

  

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applicable laws; any fines, penalties or interest resulting from the negligence or willful misconduct of the Landlord or its agents, contractors, or
employees; the cost or expense of any services or benefits provided generally to other tenants in the Building and not provided or available to Tenant, expenses for the replacement of any item covered under warranty, unless Landlord has not received
payment under such warranty and it would not be fiscally prudent to pursue legal action to collect on such warranty. Notwithstanding anything hereto to the contrary, in any instance wherein Landlord, in Landlord’s reasonable discretion, deems
Tenant to be responsible for any amounts greater than Tenant’s Proportionate Share, Landlord shall have the right to allocate costs in an equitable manner Landlord reasonably deems appropriate. 
  
 The above examination of services and facilities shall not be deemed to impose an obligation
on Landlord to make available or provide such services or facilities except to the extent, if any that Landlord has specifically agreed elsewhere in this Lease to make the same available or provide the same. Without limiting the generality of the
foregoing, Tenant acknowledges and agrees that it shall be responsible for providing adequate security for its use of the Premises, the Building and the Project and that Landlord shall have no obligation or liability with respect therein, except to
the extent if any that Landlord has specifically agreed elsewhere in this Lease to provide the same. 
  
 B. Payment of Estimated Operating Expenses. “Estimated Operating Expenses” for any particular year shall mean Landlord’s estimate of the Operating Expenses for such fiscal year made
with respect to such fiscal year as hereinafter provided, Landlord shall have the right from time to time to revise its fiscal year and interim accounting periods so long as the periods as so revised are reconciled with prior periods in a reasonable
manner. During the last month of each fiscal year during the Term, or as soon thereafter as practicable, Landlord shall give Tenant written notice of the Estimated Operating Expenses for the ensuing fiscal year. Tenant shall pay Tenant’s
Proportionate Share of the Estimated Operating Expenses with installments of Base Rent for the fiscal year to which the Estimated Operating Expenses applies in monthly installments on the first day of each calendar month during such year, in
advance. Such payment shall be considered to be Additional Rent for all purposes hereunder. If at any time during the course of the fiscal year, Landlord determines that Operating Expenses are projected to vary from the then Estimated Operating
Expenses by more than five percent (5%), Landlord may, by written notices to Tenant, revise the Estimated Operating Expenses for the balance of such fiscal year, and Tenant’s monthly installments for the remainder of such year shall be adjusted
so that by the end of such fiscal year Tenant has paid to Landlord Tenant’s Proportionate Share of the revised Estimated Operating Expenses for such year, such revised installment amounts to be Additional Rent for all purposes hereunder.

  
 C. Computation of Operating Expense Adjustment.
“Operating Expense Adjustment” shall mean the difference between Estimated Operating Expenses and Actual Operating Expenses for any fiscal year determined as hereinafter provided. Within one hundred twenty (120) days after the
end of each fiscal year, or as soon thereafter as practicable, Landlord shall deliver to Tenant a statement of actual Operating Expenses for the fiscal year just ended, accompanied by a computation of Operating Expense Adjustment. If such statement
shows that Tenant’s payment based upon Estimated Operating Expenses is less than “Tenant’s Proportionate Share of Operating Expenses, then Tenant shall pay to Landlord the difference within twenty (20) days after receipt of such
statement, such payment to constitute Additional Rent for all purposes hereunder. If such statement shows that Tenant’s payments of Estimated Operating Expenses exceed Tenant’s Proportionate Share of Operating Expenses, then (provided that
Tenant is not in default under this Lease beyond the explanation of any applicable Parties and cure periods) Landlord shall pay to Tenant the difference within twenty (20) days after delivery of such statement to Tenant. If this Lease has been
terminated or the Term hereof has expired prior to the date of such statement, then the Operating Expense Adjustment shall be paid by the appropriate party within twenty (20) days after the date of delivery of the statement. Should this Lease
commence or terminate at any time other than the first day of the fiscal year, Tenant’s Proportionate Share of the Operating Expense Adjustment shall be prorated based on a month of 30 days and the number of calendar months during such fiscal
year that this Lease is in effect. Notwithstanding anything to the contrary contained in Paragraph 7.A or 7.B, Landlord’s failure to provide any notices or statements within the time periods specified in those paragraphs shall in no way excuse
Tenant from its obligation to pay Tenant’s Proportionate Share of Operating Expenses. 
  
 D. Net Lease. This shall be a triple net Lease and Base Rent shall be paid to Landlord absolutely out of all costs and expenses, except as specifically provided to the contrary in this Lease. The
provisions for payment of Operating Expenses and the Operating Expense Adjustment are intended to pass on to Tenant and reimburse 

  

 -8- 

 
Landlord for all costs and expenses of the nature described in Paragraph 7.A incurred in connection with the ownership, management, maintenance, repair,
preservation, replacement and operation of the Building and/or Project and its supporting facilitates and such additional facilities now and in subsequent years as may be determined by Landlord to be necessary or desirable to the Building and/or
Project. 
  
 E. Tenant Audit. If Tenant shall dispute the amount set
forth in any statement provided by Landlord under Paragraph 7.B or 7.C above, Tenant shall have the right, not later than twenty (20) days following receipt of such statement and upon the condition that Tenant shall first deposit with Landlord the
full amount in dispute, to cause Landlord’s books and records with respect to Operating Expenses for such fiscal year to be audited by certified public accountants selected by Tenant and subject to Landlord’s reasonable right of approval.
The Operating Expense Adjustment shall be appropriately adjusted on the basis of such audit. If such audit discloses a liability for a refund in excess of ten percent (10%) of Tenant’s Proportionate Share of the Operating Expenses previously
reported, the cost of such audit shall be borne by Landlord; otherwise the cost of such audit shall be paid by Tenant. If Tenant shall not request an audit in accordance with the provisions of this Paragraph 7.E within twenty (20) days after receipt
of Landlord’s statement provided pursuant to Paragraph 7.B or 7.C., such statement shall be final and binding for all purposes hereof. Tenant acknowledges and agrees that any information revealed in the above described audit may contain
proprietary and sensitive information and that significant damage could result to Landlord if such information were disclosed to any party other than Tenant’s auditors. Tenant shall not in any manner disclose, provide or make available any
information revealed by the audit to any person or entity without Landlord’s prior written consent, which consent may be withheld by Landlord in its sole and absolute discretion. The information disclosed by the audit will be used by Tenant
solely for the purpose of evaluating Landlord’s books and records in connection with this Paragraph 7.B. 
  
 8. INSURANCE AND INDEMNIFICATION 
  
 A. Landlord’s Insurance. All insurance maintained by Landlord shall be for the sole benefit of Landlord and under Landlord’s sole control. 
  
 (1) Property Insurance. Landlord agrees to maintain property
insurance insuring the Building against damage or destruction due to risk including fire, vandalism, and malicious mischief in an amount not less than the replacement cost thereof, in the form and with describes and endorsements as selected by
Landlord. At its election, Landlord may instead (but shall have no obligation to) obtain “All Risk” coverage, and may also obtain earthquake, and/or flood insurance in amounts selected by Landlord. 
  
 (2) Optional Insurance. Landlord, at Landlord’s opinion,
may also (but shall have no obligation to) carry (i) insurance against loss of rent, in an amount equal to the amount of Base Rent and Additional Rent that Landlord could be required to abate to all Building tenants in the event of condemnation or
casualty damage for a period of twelve (12) months; and (ii) liability insurance and such other insurance as Landlord may deem prudent or advisable, including, without limitation, liability insurance in such amounts and on such terms as Landlord
shall determine. Landlord shall not be obligated to insure, and shall have no responsibility whatsoever for any damage to, any furniture, machinery, goods, inventory or supplies, or other personal property or fixtures which Tenant may keep or
maintain in the Premises, or any leasehold improvements, additions or alterations within the Premises. 
  
 B. Tenant’s Insurances. Tenant shall procure at Tenant’s sole cost and expense and keep in effect from the date of this Lease and at all times until the end of the Term the following:

  
 (1) Property Insurance. Insurance on all
personal property and fixtures of Tenant and all improvements, addition or alterations made by or for Tenant to the Premises on an “All Risk” basis, insuring such property for the full replacement value of such property. 

 
 (2) Liability Insurance. Commercial General Liability
insurance covering bodily injury and property damage liability occurring in or about the Premises or arising out of the use and occupancy of the Premises and the Project, and any part of either, and any areas adjacent thereto, and the business
operated by Tenant or by any other occupant of the Premises. Such insurance shall include contractual liability 
  

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coverage insuring all of Tenant’s indemnity obligations under this Lease. Such coverage shall have a minimum combined single limit of liability of at
least Two Million Dollars ($2,000,000.00) and a minimum general aggregate limit of Three Million Dollars ($3,000,000.00), with an “Additional Insured – Managers or Lessors of Premises Endorsement” and the “Amendment of
the Pollution Exclusion Endorsement.” All such policies shall be written to apply to all bodily injury (including death), property damage or loss, personal and advertising injury and other covered loss, however occasioned, occurring during
the policy term, shall be endorsed to and Landlord and any party holding an interest to which this Lease may be subordinated as an additional injured, and shall provide that such coverage shall be “primary” and non-contributing with
any insurance maintained by Landlord, which shall be excess insurance only. Such coverage shall also contain endorsements including employees as additional insureds if not covered by Tenant’s Commercial General Liability Insurance. All such
insurance shall provide for the severability of interests of insureds; and shall be written on an “occurrence” basis, which shall afford coverage for all claims based on acts, commissions, injury and damages, which onset or arose
(or the cost of which occurred or arose) in whole or in part during the policy period. 
  
 (3) Workers’ Compensation and Employers’ Liability Insurance. Workers’ Compensation Insurance as required by any Regulation, and Employers’ Liability Insurance in amounts not less
than One Million Dollars ($1,000,000) each accident for bodily injury by accident; One Million Dollars ($1,000,000) policy limit for bodily injury by disease, and One Million Dollars ($1,000,000) each employee for bodily injury by disease.

  
 (4) Intentionally Deleted. 
  
 (5) Alterations Requirements. To the event Tenant shall desire
to perform any Alterations, Tenant shall deliver to Landlord, prior to commencing such Alterations (i) evidence satisfactory to Landlord that Tenant carries “Builder’s Risk” insurance covering construction of such Alterations
in an amount and form approved by Landlord, (ii) such other insurance as Landlord shall nondiscriminatorily require, and (iii) a lien and completion bond or other security in form and amount satisfactory to Landlord. 
  
 (6) General Insurance Requirements. All coverage described in
this Paragraph 8.B shall be endorsed to (i) provide Landlord with thirty (30) days’ notice of cancellation or change in terms; and (ii) waive all rights of subrogation by the insurance carrier against Landlord. If at any time during the Term
the amount of coverage of insurance which Tenant is required to carry under this Paragraph 8.B is, in Landlord’s reasonable judgment, materially less than the amount or type of insurance coverage typically carried by owners or tenants of
properties located in this general area in which the Premises are located which are similar to and operated for similar purposes as the Premises or if Tenant’s use of the Premises should change with or without Landlord’s consent, Landlord
shall have the right to require Tenant to increase the amount or change the types of insurance coverage required under this Paragraph 8.B. All insurance policies required to be carried by Tenant under this Lease shall be written by companies rated A
X or better in “Best’s Insurance Guide” and authorized to do business in the State of California. In any event deductible amounts under all insurance policies required to be carried by Tenant under this Lease shall not exceed
commercially reasonable amounts. Tenant shall deliver to Landlord on or before the Term Commencement Date, and thereafter at least thirty (30) days before the expiration dates of the expired policies, certified copies of Tenant’s insurance
policies, or a certificate evidencing the same issued by the insurer thereunder; and, if Tenant shall fail to procure such insurance, or to deliver such policies or certificates, Landlord may, at Landlord’s option and in addition to
Landlord’s other remedies in the event of a default by Tenant hereunder, procure the same for the account of Tenant, and the cost thereof shall be paid to Landlord as Additional Rent. 
  
 C. Indemnification of Landlord. Tenant shall indemnify, defend by counsel
reasonably acceptable to Landlord, protect and hold Landlord (or any successor), Equity Office Properties Trust, a Maryland real estate investment trust, EOP Operating Limited Partnership, a Delaware limited partnership, and each of their respective
directors, shareholders, partners, lenders, members, managers, contractors, affiliates, and employees (collectively, “Landlord Indemnitees”) harmless from and against any and all claims, liabilities, losses, costs, liens of rents,
liens, damages, injuries or expenses, including reasonable attorneys’ and consultants’ fees and court costs, demands, 

  

 -10- 

 
causes of action, or judgments (collectively, “Claims”), directly or indirectly arising out of or related to: (1) claims of injury to or
death of persons or damage to property or business loss occurring or resulting directly or indirectly from the use or occupancy of the Premises, Building or Project by Tenant or Tenant’s Parties, or from activities or failures to act of Tenant
or Tenant’s Parties; (2) claims arising from work or labor performed, or for materials or supplies furnished to or at the request of Tenant in connection with performance of any work done for the account of Tenant within the Premises or Project
(3) claims arising from any breach or default on the part of Tenant in the performance of any covenant contained in this Lease; and (4) claims arising from the negligence or intentional acts or omissions of Tenant or Tenant’s Parties. The
foregoing indemnity by Tenant shall not be applicable to such Claims to the extent arising from the negligence or willful misconduct of Landlord or Landlord indemnities. Landlord shall not be liable in Tenant and Tenant hereby waives all claims
against Landlord for any injury to or death of or damage to any person or property or business loss in or about the Premises, Building or Project by or from any cause whatsoever (other than Landlord’s gross negligence or willful misconduct)
and, without limiting the generally of the foregoing, whether caused by water leakage of any character from the roof, walls, basement or other portion of the Premises, Building or Project, or caused by gas, fire, all or electricity in, on or about
the Premises, Building or Project, acts of God or of third parties, or any matter outside of the reasonable control of Landlord. The provisions of the Paragraph shall survive the expiration or earlier termination of this Lease. 
  
 D. Indemnification of Tenant. Except to the extent caused by the negligence or
willful misconduct of Tenant or any Tenant Indemnitees (defined below), Landlord shall indemnify, defend and hold Tenant, its trustees, members, principals, beneficiaries, partners, officers, directors, employees and agents (“Tenant
Indemnitees”) harmless against and from all Claims which may be imposed upon, incurred by or asserted against Tenant or any of the Tenant Indemnitees and arising out of or in connection with the negligence or willful misconduct of Landlord
of the Landlord Indemnitees. 
  
 9. WAIVER OF SUBROGATION

  
 Landlord and Tenant each waives, and shall cause their
respective insurance carries to waive, any claim, loss or cost it might have against the other for any injury to or death of any person or persons, or damage to or theft, destruction, loss, or loss of use of any property (a “Loss”),
to the extent the same is insured against (or is required to be insured against under the terms hereof) under any property damage insurance policy covering the Building, the Premises, Landlord’s fixtures, personal property, leasehold
improvements, or business, regardless of whether the negligence of the other party caused such Loss. 
  
 10. LANDLORD’S REPAIRS AND MAINTENANCE 
  
 Landlord shall, at Landlord’s cost except to the extent permitted to be included to Operating Expenses pursuant to this Lease, maintain in good
repair, reasonable wear and tear excepted, the structural soundness of the roof, foundations, and exterior walls of the Building. The term “exterior walls” as used herein shall not include windows, glass or plate glass, doors, dock
bumpers or dock plates, special store fronts or office entries. Any damage caused by or repairs necessitated by any negligence or act of Tenant or Tenant’s Parties may be required by Landlord at Landlord’s option and Tenant’s expense.
Tenant shall immediately give Landlord written notice of any defect or need of repairs in such components of the Building for which Landlord is responsible, after which Landlord shall have a reasonable opportunity and the right to enter the Premises
at all reasonable times to repair same. Landlord’s liability with respect to any defects, repairs, or maintenance for which Landlord is reasonable under any of the provisions of this Lease shall be limited to the cost of such repairs or
maintenance, and there shall be no abatement of rent and no liability of Landlord by reason of any injury to or interference with Tenant’s business arising from the making of repairs, alterations or improvements in as to any portion of the
Premises, the Building or the Project or to fixtures, appearance or equipment in the Building, except as provided in Paragraph 24. By taking possession of the Premises, Tenant accepts them “as is,” as being in good order, condition
and repair and the condition in which Landlord is obligated to deliver them and suitable for the Permitted Use and Tenant’s intended operations in the Premises, whether or not any notice of acceptance is given. Notwithstanding the foregoing,
Landlord shall be responsible for latent defects in the Landlord Work of which Tenant notifies Landlord to the extent that the correction of such defects is covered under valid and enforceable warranties given Landlord by contractors or
subcontractors performing the Landlord Work. Landlord, at its option, may pursue such claims directly or assign any such warranties to Tenant for enforcement. 
  

 -11- 

 11. TENANT’S REPAIRS AND MAINTENANCE 
  
 Tenant shall at all times during the Term at Tenant’s expense maintain
all parts of the Premises and such portions of the Building as are within the exclusive control, of Tenant in a first-class, good, clean and secure condition and promptly make all necessary repairs and replacements, as determined by Landlord,
including but not limited to, all window, glass, doors, walls, including dividing walls and wall finishes, floors and floor covering, heating, ventilating and air conditioning systems, ceiling structure, truck doors, hardware, dock bumpers, dock
plates and levelers, plumbing work and fixtures, downspouts, entries, skylight, smoke hatches, roof vents, electrical and lighting systems, and fire sprinklers, with materials and workmanship of the same character, kind and quality as the original.
Tenant shall at Tenant’s expense also perform regular removal of trash and debris. If Tenant uses rail and if required by the railroad company, Tenant agrees to sign a joint maintenance agreement governing the use of the rail spur, if any.
Tenant shall, at Tenant’s own expense, enter into a regular scheduled preventative maintenance/service contract with a maintenance contractor for serving all heating and air conditioning systems and equipment within or serving the Premises. The
maintenance contractor and the contract must be approved by Landlord, such approval shall not be unreasonably withheld. The service contract must include all services suggested by the equipment manufacturer within the operation/maintenance manual
and must become effective and a copy thereof delivered to Landlord within thirty (30) days after the Term Commencement Date. Landlord may, upon notice to Tenant, enter into such a service contract on behalf of Tenant or perform the work and in
either case charge Tenant the cost thereof. Notwithstanding anything to the contrary contained herein, Tenant shall, at its expense, promptly repair any damage to the Premises or the Building or Project resulting from or caused by any negligence or
act of tenant or Tenant’s Parties. Nothing herein shall expressly or by implication render Tenant Landlord’s agent or contractor to affect any repair or maintenance required of Tenant under this Paragraph 11, as to all of which Tenant
shall be solely responsible. 
  
 12. ALTERATIONS 

 
 A. Tenant shall not make, or allow to be made, any alterations, physical additions,
improvements or partitions, including without limitation the attachment of any fixtures or equipment in, about or to the Premises (“Alterations”) without obtaining the prior written consent of Landlord, which consent shall not be
unreasonably withheld with respect to proposed Alterations which: (a) comply with all applicable Regulations, (b) are, in Landlord’s opinion, compatible with the Building or the Project and its mechanical, plumbing, electrical
heating/ventilation/air conditioning systems, and will not cause the Building or Project or such systems to be required to be modified to comply with any Regulations (including without limitation, the Americans With Disabilities Act); and (c) will
not unreasonably interfere with the use and occupancy of any other portion of the Building or Project by any other tenant or its invitees, specifically, but without limiting the generality of the foregoing, Landlord shall have the right of written
consent for all plans and specifications for the proposed Alterations, construction terms and methods, all appropriate permits and licenses, any contractor or subcontractor to be employed on the work of Alterations, and the time for performance of
such work and may impose rules and regulations for contractors and subcontractors performing such work. Tenant shall also supply to Landlord any documents and information reasonably requested by Landlord in connection with Landlord’s
consideration of a request for approval hereunder. However, Landlord’s consent shall not be required for any Alteration that satisfies all of the following criteria (a “Cosmetic Alteration”); (1) is of a cosmetic nature such as
painting, wallpapering, hanging pictures and installing carpeting; (2) is not visible from the exterior of the Premises or Building; (3) will not effect the systems or structure of the Building; (4) does not require work to be performed inside the
walls or above the ceiling of the Premises; (5) does not cost more than $10,000.00 in the aggregate for any one job; and (6) is an Alteration of which Tenant has provided Landlord at least 10 business days prior written notice. However, even though
consent is not required, the performance of Cosmetic Alterations shall be subject to all the other provisions of this Paragraph 12. Tenant shall cause all Alterations to be accomplished in a first-class, good and workmanlike manner, and to comply
with all applicable Regulations and Paragraph 27 hereof. Tenant shall at Tenant’s sole expense, perform any additional work required under Applicable Regulations due to the Alterations hereunder. No review or consent by Landlord of or to any
proposed Alteration or additional work shall constitute a waiver of Tenant’s obligations under this Paragraph 12. Tenant shall reimburse Landlord for all costs which Landlord may incur in connection with granting approval to Tenant for any such
Alterations, including any costs or expenses which Landlord may incur in electing to have outside architects and engineers review said plans and specifications. All such Alterations shall remain the property of Tenant until the expiration or earlier
termination of this Lease, at which time they shall be and become the property of Landlord; 

  

 -12- 

 
provided, however, that Landlord may, at Landlord’s option, to be exercised at the time Landlord consents to (or, with respect to Cosmetic Alterations,
is notified in writing by Tenant of) such Alterations, require that Tenant, at Tenant’s expense, remove any or all Alterations made by Tenant and restore the Premises by the expiration or earlier termination of this Lease, to their condition
existing prior to the conclusion of any such Alterations. All such removals and restoration shall be accomplished in a first-class and good and workmanlike manner so as not to cause any damage to the Premises or Project whatsoever. If Tenant fails
to remove such Alterations or Tenant’s trade fixtures or furniture or other personal property, Landlord may keep and use them or remove any of these and cause them to be stored or sold in accordance with applicable law, at Tenant’s sole
expense. In addition to and wholly apart from Tenant’s obligation to pay Tenant’s Proportionate Share of Operating Expense, Tenant shall be responsible for and shall pay prior to delinquency any taxes or governmental service fees,
possessor’s interest taxes, fees or charges in lieu of any such taxes, capital levels, or other charges imposed upon, levied with respect to or assessed against its fixtures or personal property, and the value of Alterations within the
Premises, and on Tenant’s interest pursuant to this Lease, or any increase in any of the foregoing hereof on such Alterations. To the extent that any such taxes are not separately assessed or billed to Tenant, Tenant shall pay the amount
thereof as invoiced to Tenant by landlord. 
  
 Notwithstanding the foregoing, at
Landlord’s option (but without obligation), all or any portion of the Alterations shall be performed by Landlord for Tenant’s account and Tenant shall pay Landlord’s cost thereof within 10 days after written demand by Landlord. In
addition, at Landlord’s election and notwithstanding the foregoing, however, Tenant shall pay to Landlord the cost or removing any such Alterations and restoring the Premises to their original condition, and such amount may be deducted from the
Security Deposit or any other sums of amounts held by Landlord under this Lease. 
  
 B. In compliance with Paragraph 27 hereof, at least ten (10) business days before beginning construction of any alteration, Tenant shall give Landlord written notice of the expected commencement date of that construction to permit
Landlord to post and record a notice of non-responsibility. Upon substantial completion of construction, if the law so provides, Tenant shall cause a timely notice of completion to be recorded in the office of the recorder of the county in which the
Building is located. 
  
 13. SIGNS 
  
 Tenant shall not place, install, affix, paint or maintain any signs, notices, graphics or
banners whatsoever or any window décor which is visible in or from public view of corridors, the common area or the exterior of the Premises or the Building, in or on any exterior window or window fronting upon any common areas or service
area or upon any truck doors or man doors without Landlord’s prior written approval which Landlord shall have the right to withhold in its absolute and sole discretion; provided that (A) Tenant’s name shall be (i) included in any Building
standard door and directory signage, if any, and (ii) permitted to be installed at the main entrance to the Premises, and (B) Tenant may post a sign on a wall near the shipping and receiving dock for the Project including the location of the
shipping and receiving area for the Premises, all in accordance with Landlord’s Building signage program, including without limitation, payment by Tenant of any fee charged by Landlord for maintaining such signage, which fee shall constitute
Additional Rent hereunder. Notwithstanding the foregoing to the contrary, all signage installed by or for Tenant shall be subject to Landlord’s prior written approval with respect to sign, location, color and any other specifications. Further,
any installation of signs, notices, graphics or banners on or about the Premises or Project approved by Landlord shall be subject to any Regulations and to any other requirements imposed by Landlord. Tenant shall remove all such signs or graphics by
the expiration or any earlier termination of this Lease. Such installations and removals shall be made in such manner as to avoid injury to or defacement of the Premises, Building or Project and any other improvements contained therein, and Tenant
shall repair any injury or defacement including without limitation discoloration caused by such installation or removal. 
  
 14. INSPECTION/POSTING NOTICES 
  
 After reasonable prior notice, except in emergencies where no such notice shall be required, Landlord and Landlord’s agents and representatives, shall have the right
to enter the Premises to inspect the same, to clean, to perform such work as may be permitted or required hereunder, to make repairs, improvements or alterations to the Premises, Building or Project or to other tenant spaces therein, to deal with
emergencies to post such notices as may 

  

 -13- 

 
be permitted or required by law to prevent the perfection of liens against Landlord’s interest to the Project or to exhibit the Premises to prospective
tenants, purchasers, encumbrances or to others, or for any other purpose as Landlord may deem necessary or desirable; provided, however, that Landlord shall use reasonable efforts not to unreasonably interfere with Tenant’s business operations
and Tenant’s Permitted Use. Tenant shall not be entitled to any abatement of Rent by reason of the exercise of any such right of entry. Notwithstanding the foregoing, if Landlord temporarily closes the Premises for a period in excess of 10
consecutive days, Tenant, as its sole remedy, shall be entitled to receive a per diem abatement of Base Rent during the period beginning on the 10th consecutive day of closure and ending on the date on which the Premises are returned to Tenant in a tenantable condition. Tenant, however, shall not be entitled to an abatement if the repairs,
alterations and/or additions to be performed are repaired as a result of the acts or omissions of Tenant, its agents, employees or contractors, including without limitation, a default by Tenant to its maintenance and repair obligations under the
Lease. Tenant waives any claim for damages for any injury or inconvenience to or interference with Tenant’s business, any loss of occupancy or quiet enjoyment of the Premises and any other loss occasioned thereby. Landlord shall at all times
have and retain a key with which to unlock all of the doors in, upon and about the Premises, excluding Tenant’s vaults and safes or special security areas (designed in advance), and Landlord shall have the right to use any and all means which
Landlord may deem necessary or proper to open said doors in an emergency, in order to obtain entry to any portion of the Premises, and any entry to the Premises or portions thereof obtained by Landlord by any of said means, or otherwise, shall not
be construed to be a forcible or unlawful entry into, or a detainer of, the Premises, or an eviction, actual or constructive, of Tenant from the Premises or any portions thereof. At any time within six (6) months prior to the expiration of the Term
or following any earlier termination of this Lease or agreement to terminate this Lease, Landlord shall have the right to erect on the Premises, Building and/or Project a suitable sign indicating that the Premises are available for lease.

  
 15. SERVICES AND UTILITIES 
  
 A. Tenant shall (where practicable) contract for and pay directly when due, for all
water, gas, heat, air conditioning, light, power, telephone, sewer, sprinkler charges, cleaning, waste disposal and other utilities and services used on or from the Premises, together with any taxes. If any such services are not separately billed or
metered to Tenant. Tenant shall pay an equitable proportion, as determined in good faith by Landlord, of all charges billed or metered with other premises. All sums payable under this Paragraph 15 shall constitute Additional Rent hereunder.

  
 B. Tenant acknowledges that Tenant has inspected and accepts the water,
electricity, heat and air conditioning and other utilities and services being supplied or furnished to the Premises as of the date Tenant takes possession of the Premises. If any, as being sufficient in their present condition, “as
is,” for the Permitted Use, and for Tenant’s intended operations in that Premises. Landlord shall have no obligation to provide additional or after-hours electricity, heating or air conditioning, but if Landlord elects to provide such
services at Tenant’s request, Tenant shall pay upon demand to Landlord’s reasonable charge for such services as determined by Landlord. Tenant agrees to cooperate fully with Landlord and to abide by all of the regulations and requirements
which Landlord may prescribe for the proper functioning and protection of electrical, heating, ventilating and air conditioning systems. Wherever heat-generating machines, excess lighting or equipment are used in the Premises which affect the
temperature otherwise maintained by the air conditioning system, Landlord reserves the right to install supplementary air conditioning units in the Premises and the cost thereof, including the cost of installation and the cost of operation and
maintenance thereof, shall be paid by Tenant to Landlord upon demand by Landlord. 
  
 C. Tenant shall not without written consent of Landlord use any apparatus, equipment or device in the Premises, including without limitation, computers, electronic data processing machines, copying machines, and other machines, using
excess lighting or using electric current, water, or any other resource in excess of or which will in any way increase the amount of electricity, water, or any other resource being furnished or supplied for the use of the Premises for reasonable and
normal office use, to each case as of the date Tenant takes possession of the Premises and as determined by Landlord, or which will require additions or alterations to or interfere with the Building power distribution systems nor connect with
electric current, except through existing electrical outlets in the Premises or water pipes, any apparatus, equipment or device for the purpose of using electrical current, water, or any other resource. If Tenant shall require water or electric
current or any other resources in excess of that being furnished or supplied for the use of the Premises as of the date Tenant takes possession of the Premises, if any, as 

  

 -14- 

 
determined by Landlord, Tenant shall first procure the written consent of Landlord which Landlord may refuse, to the use thereof, and Landlord may cause a
special meter to be installed in the Premises so as to measure the amount of water, electric current or other resource consumed for any such other use. Tenant shall pay directly to Landlord upon demand as an addition to and separate from payment of
Operating Expenses the cost of all such additional resources, energy, utility services and meters (and of installation, maintenance and repair thereof and of any additional circuits or other equipment necessary to furnish such additional resources,
energy, utility or service. Landlord shall in no case be liable for any damages directly or indirectly resulting from nor shall the Rent or any monies owed Landlord under this Lease herein reserved be abated (except as expressly set forth in
Paragraph 15.D below) by reason of (a) the installation, use or intersection of use of any equipment used in connection with the furnishing of any such utilities or services, or any changes in the character or means of supplying or providing any
such utilities or services or any supplier thereof; (b) the failure to furnish or delay in furnishing any such utilities or services when such failure or delay is caused by acts of God or the elements, labor disturbances of any character, or
otherwise, or because of any interruption of service due to Tenant’s use of water, electric current or other resource to excess of that being supplied or furnished for the use of the Premises as of the date Tenant takes possession of the
Premises; or (c) the inadequacy, limitation, curtailment, rationing or restrictions on use of water, electricity, gas or any other form of energy or any other service or utility whatsoever serving the Premises or Project otherwise; or (d) the
partial or total unavailability of any such utilities or services to the Premises or the Building or the distribution in the quality or quantity thereof, whether by Regulation or otherwise; or (e) any interruption in Tenant’s business
operations as a result of any such occurrence; nor shall any such occurrence constitute an actual or constructive eviction of Tenant or a breach of an implied warranty by Landlord. Landlord shall further have no obligation to protect or preserve any
apparatus, equipment or devices installed by Tenant in the Premises, including without limitation by providing additional or after-hours heating or air conditioning. Landlord shall be entitled to cooperate voluntarily and in a reasonable manner with
the efforts of national, state or local governmental agencies or utility suppliers in reducing energy or other resource consumption. The obligation to make services available hereunder shall be subject to the limitations of any such voluntary,
reasonable program. In addition, Landlord reserves the right to change the supplier or provider of any such utility or service from time to time. Landlord may, but shall not be obligated to, upon notice to Tenant, contract with or otherwise obtain
any electrical or other such service for or with respect to the Premises or Tenant’s operations therein from supplier or provider of any such service. Tenant shall cooperate with Landlord and any supplier or provider of such services designated
by Landlord from time to time to facilitate the delivery of such services to Tenant at the premises and to the Building and Project, including without limitation allowing Landlord and Landlord’s supplier or provider, and their respective agents
and contractors, reasonable access to the Premises for the purpose of installing, maintaining, repairing, replacing or upgrading such service or any equipment or machinery associated therein. 
  
 D. Notwithstanding anything to the contrary contained in this Paragraph 15, if the
Premises, or a material portion of the Premises, is made untenantable for a period in excess of 3 consecutive business days as a result of Landlord’s failure to furnish, or any interruption or termination of, any services or utilities repaired
to be provided by landlord to Tenant hereunder due to the application of laws, the failure of any equipment, the performance of repairs, improvements or alterations, or the occurrence of any event or cause beyond the reasonable control of Landlord
(a “Service Failure”), then Tenant, as its sole remedy, shall be entitled to receive an abatement of Rent payable hereunder during the period beginning on the 4th consecutive business day of the Service Failure and ending on the day the service has been restored. If the entire Premises has not been rendered untenantable
by the Service Failure, the amount of abatement that Tenant is entitled to receive shall be prorated based upon the percentage of the Premises rendered untenantable and not used by Tenant. In no event, however, shall Landlord be liable to Tenant for
any loss or damage, including the theft of Tenant’s property, arising out of or in connection with the failure of any security services, personnel or equipment. 
  
 16. SUBORDINATION 
  
 Without the necessity of any additional documents being executed by Tenant for the purpose of effecting a subordination, this Lease shall be and is hereby declared to be
subject and subordinate at all times to: (a) all ground leases or underlying leases which may now exist or hereafter be executed affecting the Premises and/or the land upon which the Premises and Project are situated, or both; and (b) any mortgage
or deed of trust which may now exist or be placed upon the Building, the Project and/or the land upon which the Premises or the Project are situated, or said ground leases or underlying leases or Landlord’s interest or estate in any of said
items which is specified as 

  

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security. Notwithstanding the foregoing, Landlord shall have the right to subordinate or cause to be subordinated any such ground leases or underlying leases
or any such liens to this Lease. If any ground lease or underlying lease terminates for any reason or any mortgage or deed of trust is foreclosed or a conveyance in lieu of foreclosure is made for any reason, Tenant shall, notwithstanding any
subordination, action to and become the Tenant of the successor in interest to Landlord provided that Tenant shall not be disturbed in its possession under this Lease by such successor in interest so long as Tenant is not in default under this
Lease. Within ten (10) days after request by Landlord, Tenant shall execute and deliver any additional documents evidencing Tenant’s attornment or the subordination of this Lease with respect to any such ground leases or underlying leases or
any such mortgage or deed of trust, in the form requested by Landlord or by any ground landlord, mortgages, or beneficiary under a deed of trust, subject to such nondisturbance requirement. If requested in writing by Tenant, Landlord shall use
commercially reasonable efforts to obtain a subordination, nondisturbance and attornment agreement for the benefit of Tenant reflecting the foregoing from any ground landlord, mortgage or beneficiary, at Tenant’s expense, subject to such other
terms and conditions as the ground landlord, mortgagee or beneficiary may require. 
  
 17. FINANCIAL STATEMENTS 
  
 At the request
of Landlord from time to time, Tenant shall provide to Landlord Tenant’s and any guarantor’s current financial statements or other information discussing financial worth of Tenant and any guarantor, which Landlord shall use solely for
purposes of this Lease and in connection with the ownership, management, financing and disposition of the Project. 
  
 18. ESTOPPEL CERTIFICATE 
  
 Tenant agrees from time to time, within twenty (20) days after request of Landlord, to deliver to Landlord, or Landlord’s designee, an estoppel certificate stating that this Lease is in full force and affect, that this Lease has not
been modified (or stating all modifications, written or oral, to this Lease), the date to which Rent has been paid, the unexpired portion of this Lease, that there are no current defaults by Landlord or Tenant under this Lease (or specifying any
such defaults), that the leasehold estate granted by this Lease is the sole interest of Tenant in the premises and/or the land at which the Premises are situated, and such other matters pertaining to this Lease as may be reasonably requested by
Landlord or any mortgages, beneficiary, purchaser or prospective purchaser of the Building or Project or any interest therein. Failure by Tenant to execute and deliver such certificate shall constitute an acceptance of the Premises and
acknowledgment by Tenant that the statements included are true and correct without exception. Tenant agrees that if Tenant fails to execute and deliver such certificate within such twenty (20) day period, Landlord may execute and deliver such
certificate on Tenant’s behalf and that such certificate shall be binding on Tenant. Landlord and Tenant intend that any statement delivered pursuant to this Paragraph may be relied upon by any mortgagee, beneficiary, purchaser or prospective
purchaser of the Building or Project or any interest therein. The parties agree that Tenant’s obligation to furnish such estoppel certificates in a timely fashion in a material inducement for Landlord’s execution of this Lease, and shall
be no event of default (without any cure period that might be provided under Paragraph 26.A(3) of this Lease) if Tenant fails to fully comply or makes any material misstatement in any such certificate. 
  
 19. SECURITY DEPOSIT 
  
 Tenant agrees to deposit with Landlord upon execution of this Lease, a security deposit as
stated, in the Basic Lease Information (the “Security Deposit”), which sum shall be held and owned by Landlord, without obligation to pay interest, as security for the performance of Tenant’s covenants and obligations under
this Lease. The Security Deposit is not an advance rental deposit or a measure of damages incurred by Landlord in case of Tenant’s deposit. Upon the occurrence of any event of default by Tenant, and after the expiration of any applicable notice
and cure periods, Landlord may from time to time, without prejudice to any other remedy provided herein or by law, use such fund as a credit to the extent necessary to credit against any arrears of Rent or other payments due to Landlord hereunder,
and any other damage, injury, expense or liability caused by such event of default, and Tenant shall pay to Landlord, on demand, the amount so applied in order to restore the Security Deposit to its original amount. Although the Security Deposit
shall be deemed the property of Landlord, any remaining balance of such deposit shall be returned by Landlord to Tenant within forty-five (45) days after the date of termination of this Lease and the date that all of Tenant’s obligation under
this Lease have been fulfilled, reduced by such amounts as may be 

  

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required by Landlord to remedy defaults on the part of Tenant in the payment of Rent or other obligations of Tenant under this Lease, to repair damage to the
Premises, Building or Project caused by Tenant or any Tenant’s Parties and to clean the Premises. Landlord is hereby granted a security interest in the Security Deposit in accordance with applicable provisions of the California Commercial Code.
Landlord may use and commingle the Security Deposit with other funds of Landlord. Tenant hereby waives the provisions of Section 1950.7 of the California Civil Code, and all other provisions of any Regulations, now or hereinafter in force, which
restricts the amount or types of claim that a landlord may make upon a security deposit or imposes upon a landlord (or its successors) any obligation with respect to the handling or return of security deposits. If Landlord transfers its interest in
the Premises, Landlord may assign the Security Deposit to the transferee and, following the assignment, Landlord shall have no further liability for the return of the Security Deposit. 
  
 20. LIMITATION OF TENANT’S REMEDIES 
  
 The obligations and liability of Landlord to Tenant for any default by Landlord under the terms of this Lease are not personal obligations
of Landlord or of this individual or other partners of Landlord or its or their partners, directors, officers, or shareholders, and Tenant agrees to look solely to Landlord’s interest in the Project for the recovery of any amount from Landlord,
and shall not look to other assets of Landlord nor seek recourse against the assets of the individual or other partners of Landlord or its or their partners, directors, officers or shareholders. Any lien obtained to enforce any such judgment and any
levy of execution thereon shall be subject and subordinate to any lien, mortgage or deed of trust on the Project. Under no circumstances shall Tenant have the right to offset against or recoup Rent or other payments due and to become due to Landlord
hereunder except as expressly provided in this Lease, which Rent and other payments shall be absolutely due and payable hereunder in accordance with the terms hereof. In no case shall Landlord be liable to Tenant for any lost profits, damage to
business, or any form of special, indirect or consequential damage on account of any breach of this Lease or otherwise, notwithstanding anything to the contrary contained in this Lease. 
  
 21. ASSIGNMENT AND SUBLETTING 
  

A. (1) General. This Lease has been negotiated to be and is granted as an accommodation to Tenant. Accordingly, this Lease is personal to Tenant,
and Tenant’s rights granted hereunder do not include the right to assign this Lease or sublease the Premises, or to receive any excess, either in installments or lump sum, over the Rent which is expressly reserved by Landlord as hereinafter
provided, except as otherwise expressly hereinafter provided. Tenant shall not assign or pledge this Lease or sublet the Premises or any part thereof, whether voluntarily or by operation of law, or permit the use or occupancy of the Premises or any
part thereof by anyone other than Tenant, or suffer or permit any such assignment, pledge, subleasing or occupancy, without Landlord’s prior written consent except as provided herein. If Tenant desires to assign this Lease or sublet any or all
of the Premises, Tenant shall give Landlord written notice (the “Transfer Notice”) at least sixty (60) days prior to the anticipated effective date of the proposed assignment or sublease, which shall contain all of the information
reasonably requested by Landlord to address Landlord’s decision criteria specified hereinafter. Landlord shall then have a period of thirty (30) days following receipt of the Transfer Notice to notify Tenant in writing that Landlord elects
either (i) to terminate this Lease as to the space so affected as of the date so requested by Tenant; or (ii) to consent to the proposed assignment or sublease subject, however, to Landlord’s prior written consent of the proposed assignee or
subtenant and of any related documents or agreements associated with the assignment or sublease. If Landlord should fail to notify Tenant in writing of such election within said period, Landlord shall be deemed to have waived option (i) above, but
written consent by Landlord of the proposed assignee or subtenant shall still be required. If Landlord does not exercise option (i) above, Landlord’s consent to a proposed assignment or sublease shall not be unreasonably withheld. Consent to
any assignment or subletting shall not constitute consent to any subsequent transaction to which this Paragraph 21 applies. 
  
 (2) Conditions of Landlord’s Consent. Without limiting the other instances in which it may be reasonable for Landlord to withhold Landlord’s
comment to an assignment or subletting, Landlord and Tenant acknowledge that it shall be reasonable for Landlord to withhold Landlord’s consent in the following instances: if the proposed assignee does not agree to be bound by and assume the
obligations of Tenant under this Lease in form and substance satisfactory to Landlord; the use of the Premises by such 

  

 -17- 

 
proposed assignee or subtenant would not be a Permitted Use or would violate any exclusivity or other arrangement which Landlord has with any other tenant or
occupant or any Regulation or would increase the Occupancy Density or Parking Density of the Building or Project, or would otherwise result in an undesirable tenant mix for the Project as determined by Landlord; the proposed assignee or subtenant is
not of sound financial condition as determined by Landlord in Landlord’s sole discretion; the proposed assignee or subtenant is a governmental agency; the proposed assignee or subtenant does not have a good reputation as a tenant of property or
a good business reputation; the proposed assignee or subtenant is a person with whom Landlord is negotiating to lease space in the Project or is a present tenant of the Project, the assignment or subletting would entail any Alterations which would
lessen the value of the leasehold improvements in the Premises or use of any Hazardous Materials or other noxious use or use which may disturb other tenants of the Project; or Tenant is in default of any obligation of Tenant under this Lease, or
Tenant has defaulted under this Lease on three (3) or more occasions during any twelve (12) months preceding the date that Tenant shall request consent. Failure by or refusal of Landlord to consent to a proposed assignee or subtenant shall not cause
a termination of the Lease. Upon a termination under Paragraph 21.A(1)(2), Landlord may lease the Premises to any party, including parties with whom Tenant has negotiated an assignment or sublease, without incurring any liability to Tenant. At the
option of Landlord, a surrender and termination of this Lease shall operate as an assignment to Landlord of some or all subleases or subtenants. Landlord shall exercise this option by giving notice of that assignment to such subtenants on or before
the effective date of the surrender and termination. In connection with each request for assignment or subletting, Tenant shall pay to Landlord Landlord’s standard fee for approving such requests, as well as all costs incurred by Landlord or
any mortgagee or ground lessor in approving each such request and effecting any such transfer, including, without limitation, reasonable attorneys’ fee. 
  
 B. Bonus Rent. Any Rent or other consideration realized by Tenant under any such sublease or assignment in excess of the Rent payable hereunder, after
amortization of a reasonable brokerage commission incurred by Tenant and after deducting from such excess all other reasonable and customary expenses directly incurred by Tenant attributable to the Transfer, including legal fees and construction
costs, shall be divided and paid, fifty percent (50%) to Tenant, fifty percent (50%) to Landlord. In any subletting or assignment undertaken by Tenant, Tenant shall diligently seek to obtain the maximum rental amount available in the marketplace for
comparable space available for primary leasing. 
  
 C. Corporation.
If Tenant is a corporation, a transfer of corporate shares by sale, assignment, bequest, inheritance, operation of law or other disposition (including such a transfer to or by a receiver or trustee in federal or state bankruptcy, insolvency or
other proceedings) resulting in a change in the present control of such corporation or any of its parent corporations by the person or persons owning a majority of said corporate shares, shall constitute an assignment for purposes of this Lease.

  
 D. Unincorporated Entity. If Tenant is a partnership, joint
venture, unincorporated limited liability company or other unincorporated business form, a transfer of the interest of persons, items or entities responsible for wrongful control of Tenant by sale, assignment, bequest, inheritance, operation of law
or other disposition, so as to result in a change in the present control of said entity and/or of the underlying beneficial interests of said entity and/or a change in the identity of the persons responsible for the general credit obligations of
said entity shall constitute an assignment for all purposes of this Lease. 
  
 E. Liability. No assignment or subletting by Tenant, permitted or otherwise, shall relieve Tenant of any obligation under this Lease or any guarantor of this Lease of any liability under its guaranty or alter the primary
liability of the Tenant named herein for the payment of Rent or for the performance of any other obligations to be performed by Tenant, including obligations contained in Paragraph 25 with respect to any assignee or subtenant. If Tenant is in
default under the terms of this Lease beyond any applicable notice and cure periods, Landlord may collect rent or other amounts or any portion thereof from any assignee, subtenant, or other occupant of the Premises, permitted or otherwise, and apply
the past rent collected to the Rent payable hereunder, but no such collection shall be deemed to be a waiver of this Paragraph 21, or the acceptance of the assignee, subtenant or occupant as tenant, or a release of Tenant from the further
performance by Tenant of the obligations of tenant under this Lease or any guarantor of this Lease of any liability under its guaranty. Any assignment or subletting which conflicts with the provisions hereof shall be void. 
  

 -18- 

 F. Permitted Transfer. Tenant may assign its entire interest under this Lease to a successor to Tenant by
purchase, merger, consolidation or reorganization without the consent of Landlord, provided that all of the following conditions are satisfied (a “Permitted Transfer”): (1) Tenant is not in default under this Lease; (2)
Tenant’s successor shall own all or substantially all of the assets of Tenant; (3) Tenant’s successor shall have a net worth which is at lease equal to the greater of Tenant’s net worth at the date of this Lease or Tenant’s net
worth as of the day prior to the proposed purchase, merger, consolidation or reorganization; (4) the Permitted Use does not allow the Premises to be used for retail purposes; and (5) Tenant shall give Landlord written notice at least 13 days prior
to the effective date of the proposed purchase, merger, consolidation or reorganization. Tenant’s notice to Landlord shall include information and documentation showing that each of the above conditions has been satisfied. If requested by
Landlord, Tenant’s successor shall sign a commercially reasonable form of assumption agreement. In no event shall any Permitted Transfer release or relieve Tenant from any obligation under the Lease. 
  
 22. AUTHORITY 
  
 Landlord represents and warrants that it has full right and authority to enter into this
Lease and to perform all of Landlord’s obligations hereunder and that all persons signing this Lease on its behalf are authorized to do. Tenant and the person or persons, if any, signing on behalf of Tenant, jointly and severally represent and
warrant that Tenant has full right and authority to enter into this Lease, and to perform all of Tenant’s obligations hereunder, and that all persons signing this Lease on its behalf are authorized to do so. 
  
 23. CONDEMNATION 
  
 A. Condemnation Resulting in Termination. If the whole or any substantial part
of the Premises should be taken or condemned for any public use under any Regulation, or by right of eminent domain, or by private purchase in lieu thereof, and the taking would prevent or materially interfere with the Permitted Use of the Premises,
either party shall have the right to terminate this Lease as its option. If any material portion of the Building or Project is taken or condemned for any public use under any Regulation, or by right of eminent domain, or by private purchase in lieu
thereof, Landlord may terminate this Lease at its option. In either of such events, the Rent shall be shared during the unexpired portion of this Lease, effective when the physical taking of said Premises shall have occurred. 
  
 B. Condemnation Not Resulting in Termination. If a portion of the Project of
which the Premises are a part should be taken or condemned for any public use under any Regulation, or by right of eminent domain, or by private purchase in lieu thereof, and the taking prevents or materially interferes with the Permitted Use of the
Premises, and this Lease is not terminated as provided in Paragraph 23A, above, the Rent payable hereunder during the unexpired portion of this Lease shall be reduced, beginning on the date when the physical taking shall have occurred, to such
amount as may be fair and reasonable under all of the circumstances, but only after giving Landlord credit for all sums received or to be received by Tenant by the condemning authority. Notwithstanding anything to the contrary contained in this
Paragraph, if the temporary use or occupancy of any part of the Premises shall be taken or appropriated under power of eminent domain during the Term, this Lease shall be and remain unaffected by such taking or appropriation and Tenant shall
continue to pay in full all Rent payable hereunder by Tenant during the Term; in the event of any such temporary appropriation or taking, Tenant shall be entitled to receive that portion of any award which represents compensation for the use of or
occupancy of the Premises during the Term. 
  
 C. Award. Landlord
shall be entitled to (and Tenant shall assign to Landlord) any and all payment, income, rent, award or any interest therein whatsoever which may be paid or made in connection with such taking or conveyance and Tenant shall have no claim against
Landlord or otherwise for any sums paid by virtue of such proceedings, whether or not attributable to the value of any unexpired portion of this Lease, except as expressly provided in this Lease. Notwithstanding the foregoing, any compensation
specifically and separately awarded Tenant for Tenant’s personal property and moving costs, shall be and remain the property of Tenant. 
  
 D. Waiver of CCP§1265.130. Each party waives the provisions of California Civil Code Procedure Section 1265.130 allowing either party to petition the
superior court to terminate this Lease as a result of a partial taking. 
  

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 24. CASUALTY DAMAGE 
  
 A. General. If the Premises or Building should be damaged or destroyed by fire, tornado, or other casualty (collectively,
“Casualty”), Tenant shall give immediate written notice thereof to Landlord. Within thirty (30) days after Landlord’s receipt of such notice, Landlord shall notify Tenant whether in Landlord’s estimation material
restoration of the Premises can reasonably be made within one hundred eighty (180) days from the date of such notice and receipt of required permits for such restoration. Landlord’s determination shall be binding on Tenant. 
  
 B. Within 180 Days. If the Premises or Building should be damaged by Casualty
to such extent that material restoration can in Landlord’s estimation be reasonably completed within one hundred eighty (180) days after the date of such notice and receipt of required permits for such restoration, this Lease shall not
terminate. Provided that insurance proceeds are received by Landlord to fully repair the damage, Landlord shall proceed to rebuild and repair the Premises diligently and in the manner determined by Landlord, except that Landlord shall not be
required to rebuild, repair or replace any part of any Alterations which may have been placed on or about the Premises or paid for by Tenant. If the Premises are untenantable in whole or in part following such damage, the Rent payable hereunder
during the period in which they are untenantable shall be abated proportionately, but only to the extent of rental abatement insurance proceeds received by Landlord during the time and to the extent the Premises are unfit for occupancy. 

 
 C. Greater Than 180 Days. If the Premises or Building should be damaged by
Casualty to such extent that rebuilding or repairs cannot in Landlord’s estimation be reasonably completed within one hundred eighty (180) days after the date of such notice and receipt of required permits for such rebuilding or repair, then
Landlord shall have the option of either (1) terminating this Lease effective upon the date of the occurrence of such damage, in which event the Rent shall be abated during the unexpired portion of this Lease; or (2) electing to rebuild or repair
the Premises diligently and in the manner determined by Landlord. Landlord shall notify Tenant of its election within thirty (30) days after Landlord’s receipt of notice of the damage or destruction. Notwithstanding the above, Landlord shall
not be required to rebuild, repair or replace any part of any Alterations which may have been placed, on or about the Premises or paid for by Tenant. If the Premises are untenantable in whole or in part following such damage, the Rent payable
hereunder during the period in which they are untenantable shall be abated proportionately, but only to the extent of rental abatement insurance proceeds received by Landlord during the time and to the extent the Premises are until occupancy.

  
 D. Tenant’s Fault. Notwithstanding anything herein to the
contrary, if the Premises or any other portion of the Building are damaged by Casualty resulting from the fault, negligence, or breach of this Lease by Tenant or any of Tenant’s Parties, Base Rent and Additional Rent shall not be diminished
during the repair of such damage and Tenant shall be liable to Landlord for the cost and expense of the repair and restoration of the Building caused thereby to the extent such cost and expense is not covered by business proceeds. 
  
 E. Insurance Proceeds. Notwithstanding anything herein in the contrary, if the
Premises or Building are damaged or destroyed and are not fully covered by the insurance proceeds received by Landlord or if the holder of any indebtedness secured by a mortgage or deed of trust covering the Premises requires that the insurance
proceeds be applied to such indebtedness, than in either case Landlord shall have the right to terminate this Lease by delivering written notice of termination to Tenant within thirty (30) days after the date of notice in Landlord that said damage
or destruction is not fully covered by insurance or such requirement is made by any such holder, as the case may be, whereupon this Lease shall terminate. 
  
 F. Waiver. This Paragraph 24 shall be Tenant’s sole and exclusive remedy in the event of damage or destruction to the Premises or the Building. As a
material inducement to Landlord entering into this Lease, Tenant hereby waives any rights it may have under Sections 1932, 1933(4), 1941 or 1942 of the Civil Code of California with respect to any destruction of the Premises, Landlord’s
obligation for tenantability of the Premises and Tenant’s right to make repairs and deduct the expenses of such repairs, or under any similar tax, statute or ordinance now or hereafter in effect. 
  

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 G. Tenant’s Personal Property. In the event of any damage or destruction of the Premises or the
Building, under no circumstances shall Landlord be required to repair any injury or damage to, or make any repairs to replacements of, Tenant’s personal property. 
  
 25. HOLDING OVER 
  
 Unless Landlord expressly consents in writing to Tenant’s holding over, Tenant shall be unlawfully and illegally in possession of the Premises, whether or not
Landlord accepts any rent from Tenant or any other person while Tenant remains in possession of the Premises without Landlord’s written consent. If Tenant shall retain possession of the Premises or any portion thereof without Landlord’s
consent following the expiration of this Lease or sooner termination for any reason, then Tenant shall pay to Landlord for each day of such retention one hundred fifty percent (150%) of the amount of daily rental as of the last month prior to the
date of expiration or earlier termination. Tenant shall also indemnify, defend, present and hold Landlord harmless from any loss, liability or cost, including consequential and incidental damages and reasonable attorneys’ fees, incurred by
Landlord resulting from delay by Tenant in surrendering the Premises, including, without limitation, any claims made by the succeeding tenant founded on such delay. Acceptance of Rent by Landlord following expiration or earlier termination of this
Lease, or following demand by Landlord for possession of the Premises, shall not constitute a renewal of this Lease, and nothing contained in this Paragraph 25 shall waive landlord’s right of reentry or any other right. Additionally, if upon
expiration or earlier termination of the Lease, or following demand by Landlord for possession of the Premises, Tenant has not fulfilled its obligation with respect to repairs and cleanup of the Premises or any other Tenant obligations as set forth
in this Lease, then Landlord shall have the right to perform any such obligations as it deems necessary at Tenant’s sole cost and expense, and any time required by Landlord to complete such obligations shall be considered a period of holding
over and the terms of this Paragraph 25 shall apply. The provisions of the Paragraph 25 shall survive any expiration or earlier termination of this Lease. 
  
 26. DEFAULT 
  
 A. Events of Default. The occurrence of any of the following shall constitute an event of default on the part of Tenant: 
  
 (1) Abandonment. Abandonment of the Premises for a continuous
period to excess of five (5) days. Tenant waives any right to notice Tenant may have under Section 1951.3 of the Civil Code of the State of California, the terms of this Paragraph 26.A being deemed such notice to Tenant as required by said Section
1951.3. 
  
 (2) Nonpayment of Rent. Failure to pay
any installment of Rent or any other amount due and payable hereunder if the failure continues for 5 days after written notice to Tenant, as to which time is of the essence. 
  
 (3) Other Obligations. Failure to perform any obligation, agreement or covenant under this Lease other than
those matters specified in subparagraphs (1) and (2) of this Paragraph 26.A, and in Paragraphs 8, 16, 18 and 25, such failure continuing for twenty (20) days after written notice of such failure, as to which time is of the essence, however, if
Tenant’s failure to comply cannot reasonably be cured within 30 days, Tenant shall be allowed additional time (not to exceed 60 days) as is reasonably necessary to cure the failure so long as: (1) Tenant continues to cure the failure within 20
days, and (2) Tenant diligently pursues a cause of action that will cure the failure and bring Tenant back into compliance with the Lease. However, if Tenant’s failure to comply creates a hazardous condition, the failure must be cured
immediately upon notice to Tenant. In addition, if Landlord provides Tenant with notice of Tenant’s failure to comply with any particular term, provision or covenant of the Lease on 3 occasions during any 12 month period, Tenant’s
subsequent violation of such term, provision or covenant shall, at Landlord’s option, be an incurable event of default by Tenant. 
  
 (4) General Assignment. A general assignment by Tenant for the benefit of creditors. 
  

 -21- 

 (5) Bankruptcy. The filing of any voluntary petition in bankruptcy by Tenant, or the filing
of an involuntary petition by Tenant’s creditors, which involuntary petition remains undischarged for a period of thirty (30) days. If under applicable law, the trustee in bankruptcy or Tenant has the right to affirm this Lease and continue to
perform the obligation of Tenant hereunder, such trustee or Tenant shall, in such time period as may be permitted by the bankruptcy court having jurisdiction, cure all defaults of Tenant hereunder outstanding as of the date of the affirmance of this
Lease and provide to Landlord such adequate assurances as may be necessary to ensure Landlord of the continued performance of Tenant’s obligations under this Lease. 
  
 (6) Receivership. The employment of a receiver to take possession of substantially all of Tenant’s assets
or the Premises, if such appointment remains undismissed or undischarged for a period of fifteen (15) days after the order therefor. 
  
 (7) Attachment. The attachment, execution or other judicial seizure of all or substantially all of Tenant’s assets or Tenant’s
leasehold of the Premises, if such attachment or other seizure remains undismissed or undischarged for a period of fifteen (15) days after the levy thereof. 
  
 (8) Insolvency. The admission by Tenant in writing of its inability to pay its debts as they become due. 
  
 B. Remedies Upon Default. 
  
 (1) Termination. In the event of the occurrence of any event
of default, Landlord shall have the right to give a written termination notice to Tenant, and on the date specified in such notice, Tenant’s right to possession shall terminate, and this Lease shall terminate unless on or before such date all
Rent in arrears and all costs and expenses incurred by or on behalf of Landlord hereunder shall have been paid by Tenant and all other events of default of this Lease by Tenant at the time existing shall have been fully remedied to the satisfaction
of Landlord. At any time after such termination, Landlord may recover possession of the Premises or any part thereof and expel and remove therefrom Tenant and any other person occupying the same, including any subtenant or subtenants notwithstanding
Landlord’s consent to any sublease, by any lawful means, and again repossess and enjoy the Premises without prejudice to any of the remedies that Landlord may have under this Lease, or at law or equity by any reason of Tenant’s default or
of such termination. Landlord hereby reserves the right, but shall not have the obligation, to recognize the continued possession of any subtenant. The delivery or surrender to Landlord by or on behalf of Tenant of keys, entry codes, or other means
to bypass security at the Premises shall not terminate this Lease. 
  
 (2) Continuation After Default. Even though an event of default may have occurred, this Lease shall continue in effect for so long as Landlord does not terminate Tenant’s right to possession under Paragraph 26.B(1)
hereof. Landlord shall have the remedy described in California Civil Code Section 1951.4 (“Landlord may continue this Lease in effect after Tenant’s breach and abandonment and recover Rent as it becomes due, if Tenant has the right to
sublet or assign, subject only to reasonable limitations”), or any successor code section. Accordingly, if Landlord does not elect to terminate this Lease on account of any event of default by Tenant, Landlord may enforce all of
Landlord’s rights and remedies under this Lease, including the right to recover Rent as it becomes due. Acts of maintenance, preservation or efforts to lease the Premises or the appointment of a receiver under application of Landlord to protect
Landlord’s interest under this Lease or other entry by Landlord upon the Premises shall not constitute an election to terminate Tenant’s right to possession. 
  
 C. Damages After Default. Should Landlord terminate this Lease pursuant to the provisions of Paragraph 26.B(1) hereof,
Landlord shall have the rights and remedies of a Landlord provided by Section 1951.2 of the Civil Code of the State of California, or any successor code sections. Upon such termination, in addition to any other rights and remedies to which Landlord
may be entitled under applicable law or at equity, Landlord shall be entitled to recover from Tenant: (1) the worth at the time of award of the unpaid Rent and other amounts which had been earned at the time of termination, (2) the worth at the time
of award of the amount by which the unpaid Rent and other amounts that would have been earned after the date of termination until the time of award exceeds the amount 

  

 -22- 

 
of such Rent loss that Tenant proves could have been reasonably avoided; (3) the worth at the time of award of the amount by which the unpaid Rent and other
amounts for the balance of the Term after the time of award exceeds the amount of such Rent loss that the Tenant proves could be reasonably avoided; and (4) any other amount and court costs necessary to compensate Landlord for all detriment
proximately caused by Tenant’s failure to perform Tenant’s obligations under this Lease or which, in the ordinary course of things, would be likely to result therefrom. The “worth at the time of award” as used in (1) and
(2) above shall be computed at the Applicable Interest Rate (defined below). The “worth at the time of award” as used in (3) above shall be computed by discounting such amount at the Federal Discount Rate of the Federal Reserve Bank
of San Francisco at the time of award plus one percent (1%). If this Lease provides for any periods during the Term during which Tenant is not required to pay Base Rent or if Tenant otherwise receives a Rent concession, than upon the occurrence of
an event of default, Tenant shall owe to Landlord the full amount of such Base Rent or value of such Rent concession, plus interest at the Applicable Interest Rate, calculated from the date that such Base Rent or Rent concession would have been
payable. 
  
 D. Late Charge. In addition to its other remedies,
Landlord shall have the right without notice or deemed to add to the amount of any payment required to be made by Tenant hereunder, and which is not paid and received by Landlord on or before the third day of each calendar month, an amount equal to
five percent (5%) of the delinquent amount, or $150.00, whichever amount is greater, for each month or portion thereof that the delinquency remains outstanding to compensate Landlord for the loss of the use of the amount not paid and the
administrative costs caused by the delinquency, the parties agreeing that Landlord’s damage by virtue of such delinquencies would be extremely difficult and impracticable to compute and the amount stated herein represents a reasonable estimate
thereof. Any waiver by Landlord of any late charges or failure to claim the same shall not constitute a waiver of other late charges or any other remedies available to Landlord. 
  
 E. Interest. Interest shall accrue on all sums not paid when due hereunder at the lesser of eighteen percent (18%) per annum
or the maximum interest rate allowed by law (“Applicable Interest Rate”) from the due date until paid. 
  
 F. Remedies Cumulative. All of Landlord’s rights, privileges and elections or remedies are cumulative and not alternative, to the extent permitted by
law and except as otherwise provided herein. 
  
 G. Replacement of
Statutory Notice Requirements. When this Lease requires service of a notice, that notice shall replace rather than supplement any equivalent or similar statutory notice, including any notice required by California Code of Civil Procedure Section
1161 or any similar or successor statute. When a statute requires service of a notice in a particular manner, service of that notice (or a similar notice required by this Lease) in the manner required by this Paragraph 26 shall replace and satisfy
the statutory service of notice procedures, including those required by California Code of Civil Procedure Section 1162 or any similar or successor statute. 
  
 27. LIENS 
  
 Tenant shall at all times keep the Premises and the Project free from liens arising out of or related to work or services performed, materials or supplies furnished or obligations incurred by or on behalf of Tenant or
in connection with work made, suffered or done by or on behalf of Tenant in or on the Premises of Project. If Tenant shall not, within ten (10) days following notice of the imposition of any such lien, cause the same to be released of record by
payment or posting of a proper bond, Landlord shall have, in addition to all other remedies provided herein and by law, the right, but not the obligation, to cause the same to be released by such means as Landlord shall deem proper, including
payment of the claim giving rise to such lien. All sums paid by Landlord on behalf of Tenant and all expenses incurred by Landlord in connection therefor shall be payable to Landlord by Tenant on demand with interest at the Applicable Interest Rate
as Additional Rent. Landlord shall have the right at all times to post and keep posted on the Premises any notices permitted or required by law, or which Landlord shall deem proper, for the protection of Landlord, the Premises, the Project and any
other party having an interest therein, from mechanics’ and materialmen’s liens, and Tenant shall give Landlord not less than ten (10) business days prior written notice of the commencement of any work in the Premises or Project which
could lawfully give time to a claim for mechanics’ or materialmen’s liens to permit Landlord to post and record a timely notice of non-responsibility, as Landlord may elect to proceed or as the law may from time to time provide, for which
purpose, if 

  

 -23- 

 
Landlord shall so determine, Landlord may enter the Premises. Tenant shall not remove any such notice posted by Landlord without Landlord’s consent, and
in any event not before completion of the work which could lawfully give rise to a claim for mechanics’ or materialmen’s liens. 
  
 28. INTENTIONALLY DELETED 
  
 29. TRANSFERS BY LANDLORD 
  
 In the event of a sale or conveyance by Landlord of the Building or a foreclosure by any creditor of Landlord, the same shall operate to release Landlord from any
liability upon any of the covenants or conditions, express or implied, herein contemplated in favor of Tenant, to the extent required to be performed after the passing of title to Landlord’s successor-in-interest. In such event, Tenant agrees
to look solely to the responsibility of the successor-in-interest of Landlord under this Lease with respect to the performance of the covenants and duties of “Landlord” to be performed after the passing of title to Landlord’s
successor-in-interest. This Lease shall not be affected by any such sale and Tenant agrees to attorn to the purchaser or assignee. Landlord’s successor(s)-in-interest shall not have liability to Tenant with respect to the failure to perform any
of the obligations of “Landlord,” to the extent required to be performed prior to the date such successor(s)-in-interest became the owner of the Building. 
  
 30. RIGHT OF LANDLORD TO PERFORM TENANT’S COVENANTS 
  
 All covenants and agreements to be performed by Tenant under any of the terms of this Lease shall be performed by Tenant at Tenant’s
sole cost and expense and without any abatement of Rent. If Tenant shall fail to pay any sum of money, other than Base Rent, required to be paid by Tenant hereunder or shall fail to perform any other act on Tenant’s part to be performed
hereunder, including Tenant’s obligations under Paragraph 31 hereof, and such failure shall continue for fifteen (15) days after notice thereof by Landlord, in addition to the other rights and remedies of Landlord, Landlord may make any such
payment and perform any such act on Tenant’s part. In the case of an emergency, no prior notification by Landlord shall be required. Landlord may take such actions without any obligation and without releasing Tenant from any of Tenant’s
obligations. All sums so paid by Landlord and all individual costs incurred by Landlord and interest thereon at the Applicable Interest Rate, from the date of payment by Landlord, shall be paid to Landlord on demand as Additional Rent. 

 
 31. WAIVER 
  
 If either Landlord or Tenant waives the performance of any term, covenant or condition
contained in this Lease, such waiver shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein, or constitute a course of dealing contrary to the expressed terms of this Lease.
The acceptance of Rent by Landlord shall not constitute a waiver of any preceding breach by Tenant of any term, covenant or condition of this Lease, regardless of Landlord’s knowledge of such preceding breach at the time Landlord accepted such
Rent. Failure by Landlord to enforce any of the terms, covenants or conditions of this Lease for any length of time shall not be deemed to waive or decrease the right of Landlord to insist thereafter upon strict performance by Tenant. Waiver by
Landlord of any term, covenant or condition contained in this Lease may only be made by a written document signed by Landlord, based upon full knowledge of the circumstances. 
  
 32. NOTICES 
  
 Each provision of this Lease or of any applicable governmental laws, ordinances, regulations and other requirements with reference to sending, mailing, or delivery of any
notice or the making of any payment by Landlord or Tenant to the other shall be deemed to be complied with when and if the following steps are taken: 
  
 A. Rent. All Rent and other payments required to be made by Tenant to Landlord hereunder shall be payable to Landlord at Landlord’s Remittance Address
set forth in the Basic Lease Information, or at such other address as Landlord may specify from time to time by written notice delivered in acceptance herewith. Tenant’s obligation to pay Rent and any other amounts to Landlord under the terms
of this Lease shall not be deemed satisfied until such Rent and other amounts have been actually received by Landlord. 
  

 -24- 

 B. Other. All notices, demands, consents and approvals which may or are required to be given by either
party to the other hereunder shall be in writing and either personally delivered, sent by commercial overnight courier, mailed, certified or registered, postage prepaid or sent by facsimile with confirmed receipt (and with an original sent by
commercial overnight courier), and in each case addressed to the party to be notified at the Notice Address for such party as specified in the Basic Lease Information or to such other place as the party to be notified may from time to time designate
by at least fifteen (15) days notice to the notifying party. Notices shall be deemed served upon receipt or refusal to accept delivery. Tenant appoints as its agent to receive the service of all default notices and notice of commencement of unlawful
detainer proceedings the person in charge of or apparently in charge of occupying the Premises at the time, and, if there is no such person, then such service may be made by attaching the same on the main entrance of the Premises. 
  
 C. Required Notices. Tenant shall immediately notify Landlord in writing of any
notice of a violation or a potential or alleged violation of any Regulation that relates to the Premises or the Project, or of any inquiry, investigation, enforcement or other action that is instituted or threatened by any governmental or regulatory
agency against Tenant or any other occupant of the Premises, or any claim that is instituted or threatened by any third party that relates to the Premises or the Project. 
  
 33. ATTORNEYS’ FEES 
  
 If Landlord places the enforcement of this Lease, or any part thereof, or the collection of any Rent due, or to become due hereunder, or recovery of possession of the
Premises in the hands of an attorney; Tenant shall pay to Landlord, upon demand, Landlord’s reasonable attorneys’ fees and court costs, whether incurred at trial, appeal or review. In any action which Landlord or Tenant brings to enforce
its respective rights hereunder, the unsuccessful party shall pay all costs incurred by the prevailing party including reasonable attorneys’ fee, to be fixed by the court, and said costs and attorneys’ fees shall be a part of the judgment
in said action. 
  
 34. SUCCESSORS AND ASSIGNS 

 
 This Lease shall be binding upon and inure to the benefit of Landlord, its successors and
assigns, and shall be binding upon and inure to the benefit of Tenant, its successors, and to the extent assignment is approved by Landlord as provided hereunder, Tenant’s assigns. 
  
 35. FORCE MAJEURE 
  
 If performance by a party of any portion of this Lease is made impossible by any prevention, delay or stoppage caused by strikes, lockouts, labor disputes, acts of God,
inability to obtain services, labor, or materials or reasonable substitutes for those items, government actions, civil commotions, fire or other casualty, or other causes beyond the reasonable control of the party obligated to perform, performance
by that party for a period equal to the period of that prevention, delay, or stoppage is excused. Tenant’s obligation to pay Rent, however, is not excused by this Paragraph 35. 
  
 36. SURRENDER OF PREMISES 
  
 Tenant shall, upon expiration or sooner termination of this Lease, surrender the Premises to Landlord in the same condition as existed on the date Tenant originally took
possession thereof, including, but not limited to, all interior walls cleaned, all holes in walls repaired, all carpets shampooed and cleaned, all HVAC equipment in operating order and in good repair, and all floors cleaned, waxed, and free of any
Tenant-introduced marking or painting, all to the reasonable satisfaction of Landlord, ordinary wear and tear and damage by fire or other casualty for which Landlord is required to make repairs hereunder excepted. Tenant shall remove all of its
debris from the Project. At or before the time of surrender, Tenant shall comply with the terms of Paragraph 12.A. hereof with respect to Alterations to the Premises and all other matters addressed in such Paragraph. If the Premises are not so
surrendered at the expiration or sooner termination of this Lease, the provisions of paragraph 25 hereof shall apply. All keys to the Premises or any part thereof shall be surrendered to Landlord upon expiration or sooner termination of the Term.
Tenant shall give written notice to Landlord at least thirty (30) days prior to vacating the Premises and shall meet with Landlord for a joint inspection of the Premises at the time of vacating, but nothing contained herein shall be 

  

 -25- 

 
construed as an extension of the Term or as a consent by Landlord to any holding over by Tenant. In the event of Tenant’s failure to give such notice or
participate in such joint inspection, Landlord’s inspection at or after Tenant’s vacating the Premises shall conclusively be deemed correct for purposes of determining Tenant’s responsibility for repairs and restoration. 

 
 37. HAZARDOUS MATERIALS 
  
 A. General Restrictions. Tenant shall conduct its business and shall cause each
Tenant Party to act in such a manner as to (a) not release or permit the release of Hazardous Material in, under, on or about the Premises or Project, or (b) not use, store, generate, treat, discharge, dispense, handle, manufacture, transport or
dispose of (collectively, “Handle”) any Hazardous Materials (other than incidental amounts of customary cleaning and office supplies) in or about the Premises or Project without the prior written consent of Landlord, which consent
Landlord may withhold in its sole and absolute discretion (“Hazardous Materials Consent Requirements”), “Hazardous Material” means any hazardous, explosive, radioactive or toxic substance, material or waste which is
or becomes regulated by any local, state or federal governmental authority or agency, including, without limitation, any material or substance which is (i) defined or listed as a “hazardous waste,” “extremely hazardous
waste,” “restricted hazardous waste,” “hazardous substance,” “hazardous material,” “pollutant” or “contaminant” under any Regulation, (ii) petroleum or
petroleum derivative, (iii) a flammable explosive, (iv) a radioactive material or waste, (v) a polychlorinated biphenyl, (vi) asbestos or asbestos containing material, (vii) infectious waste, or (viii) a carcinogen. 
  
 B. Required Disclosures. Prior to Tenant (and at least five (5) days prior to
any assignee or any subtenant of Tenant) taking possession of any part of the Premises, and on each anniversary of the Term Commencement Date (each such date is hereinafter referred to as a “Disclosure Date”), until and including
the first Disclosure Date occurring after the expiration or sooner termination of this Lease, Tenant shall disclose to Landlord in writing the names and amounts of all Hazardous Materials, or any combination thereof, which were Handled on, in, under
or about the Premises or Project for the twelve (12) month period prior to such Disclosure Date, or which Tenant intends to Handle on, under or about this Premises during the twelve (12) month period following the Disclosure Date by executing and
delivering to Landlord a “Hazardous Materials Questionnaire”, in the form attached hereto as Exhibit D (as updated and modified by Landlord, from time to time). Tenant’s disclosure obligations under this Paragraph
37.B shall include a requirement that, to the extent any information contained in a Hazardous Materials Questionnaire previously delivered by Tenant shall become inaccurate in any material respect, Tenant shall immediately deliver to Landlord a new
updated Hazardous Materials Questionnaire. 
  
 C. Additional
Obligations. If any Hazardous Materials shall be released into the environment comprising or surrounding the Project in connection with the acts, omissions or operations of Tenant or any Tenant Party, Tenant shall at its sole expense promptly
prepare a remediation plan therefor consistent with applicable Regulations and recommended industry practices (and approved by Landlord and all governmental agencies having jurisdiction) to fully remediate such release, and thereafter shall
prosecute the remediation plan so approved to completion with all reasonable diligence and to the satisfaction of Landlord and applicable governmental agencies. If any Hazardous Materials are Handled in, under, on or about the Premises during the
Term, or if Landlord determines in good faith that any release of any Hazardous Material or violation of Hazardous Materials Regulations may have occurred in, on, under or about the Premises during the Term, Landlord may require Tenant to at
Tenant’s sole expense, (i) retain a qualified environmental consultant reasonably satisfactory to Landlord to conduct a reasonable investigation (an “Environmental Assessment”) of a nature and scope reasonably approved in
writing in advance by Landlord with respect to the existence of any Hazardous Materials in, on, under or about the Premises and providing a review of all Hazardous Materials activities of Tenant and the Tenant Parties, and (ii) provide to Landlord a
reasonably detailed, written report, prepared in accordance with the institutional real estate standards, of the Environmental Assessment. 
  
 D. Indemnity. Tenant shall identify, defend (by counsel reasonably acceptable to Landlord), protect and hold Landlord harmless from and against any and all
claims, liabilities, losses, costs, loss of rents, liens, damages, injuries or expenses (including attorneys’ and consultants’ fees and court costs), demands, causes of action, or judgments directly or indirectly arising out of or related
to the use, generation, storage, release, or disposal of Hazardous Materials by Tenant or any of Tenant’s Parties in, on, under or about the Premises, the Building or the Project or surrounding land or environment, which indemnity shall
include, without limitation, damages for personal or bodily 

  

 -26- 

 
injury, property damage, damage to the environment or natural resources occurring on or off the Premises, losses attributable to diminution in value or
adverse effects on marketability, the cost of any investigation, monitoring, government oversight, repair, removal, remediation, restoration, abatement, and disposal, and the preparation of any closure or other required plans, whether such action is
required or necessary prior to or following the expiration or earlier termination of this Lease. Neither the consent by Landlord to the use, generation, storage, release or disposal of Hazardous Materials nor the strict compliance by Tenant with all
laws pertaining to Hazardous Materials shall excuse Tenant from Tenant’s obligation of indemnification pursuant to this Paragraph 37.D. Tenant’s obligations pursuant to the foregoing indemnity shall survive the expiration or earlier
termination of this Lease. 
  
 38. MISCELLAENOUS 

 
 A. General. The term “Tenant” or any pronoun used in place
thereof shall indicate and include the masculine or feminine, the singular or plural number, individuals, firms or corporations, and their respective successors, executors, administrators and permitted assigns, according to the context hereof.

  
 B. Time. Time is of the essence regarding this Lease and all of
its provisions. 
  
 C. Choice of Law. This Lease shall in all
respects be governed by the laws of the State of California. 
  
 D.
Entire Agreement. This Lease and the following exhibits and attachments, which are hereby incorporated into and made a part of this Lease, constitute the entire agreement between the parties and supersede all prior agreements and
understandings related to the Premises, including all lease proposals, letters of intent and other documents: Exhibit A (Rules and Regulations), Exhibit B (Outline and Location of Premises), Exhibit C (Lease
Improvement Agreement) and Exhibit D (Hazardous Materials Questionnaire). 
  
 E. Modification. This Lease may not be modified except by a written instrument signed by the parties hereto. Tenant accepts the area of the Premises as specified in the Basic Lease Information as the appropriate area of the
Premises for all purposes under this Lease, and acknowledges and agrees that no other definition of the area (rentable, usable or otherwise) of the Premises shall apply. Tenant shall in no event be entitled to a recalculation of the square footage
of the Premises, rentable, usable or otherwise, and no recalculation, if made, irrespective of its purpose, shall reduce Tenant’s obligations under this Lease in any manner, including without limitation the amount of Base Rent payable by Tenant
or Tenant’s Proportionate Share of the Building and of the Project. 
  
 F.
Severability. If, for any reason whatsoever, any of the provisions hereof shall be unenforceable or ineffective, all of the other provisions shall be and remain in full force and effect. 
  
 G. Recordation. Tenant shall not record this Lease or a short form memorandum
hereof. 
  
 H. Examination of Lease. Submission of this Lease to
Tenant does not constitute an option or offer to lease and this Lease is not effective otherwise until execution and delivery by both Landlord and Tenant. 
  
 I. Accord and Satisfaction. No payment by Tenant of a lesser amount than the total Rent due nor any endorsement on any check or letter accompanying any
check or payment of Rent shall be deemed an accord and satisfaction of full payment of Rent, and Landlord may accept such payment without prejudice to Landlord’s right to recover the balance of such Rent or to pursue other remedies. All offers
by or on behalf of Tenant of accord and satisfaction are hereby rejected in advance. 
  
 J. Easements. Landlord may grant easements on the Project and dedicate for public use portions of the Project without Tenant’s consent; provided that no such grant or dedication shall materially interfere with
Tenant’s Permitted Use of the Premises. Upon Landlord’s request, Tenant shall execute, acknowledge and deliver to Landlord documents, instruments, maps and plats necessary to effectuate Tenant’s covenants hereunder. 
  
 K. Drafting and Determination Presumption. The parties acknowledge that this
Lease has been agreed to by both the parties, that both Landlord and Tenant have consulted with attorneys with respect to the terms of this Lease and that no presumption shall be created against Landlord because Landlord drafted this Lease. Except
as 

  

 -27- 

 
otherwise specifically set forth in this Lease, with respect to any consent, determination or estimation of Landlord required or allowed in this Lease or
requested of Landlord, Landlord’s consent, determination or estimation shall be given or made solely by Landlord in Landlord’s good faith opinion, whether or not objectively reasonable. If Landlord fails to respond to any request for its
consent within the time period, if any, specified in this Lease, Landlord shall be deemed to have disapproved such request. 
  
 L. Exhibits. The Basic Lease Information, and the Exhibits, addenda and attachments attached hereto are hereby incorporated herein by this reference and
made a part of this Lease as though fully set forth herein. 
  
 M. No
Light, Air or View Easement. Any disruption or shutting off of light, air or view by any structure which may be erected on lands adjacent to or in the vicinity of the Building shall in no way affect this Lease or impose any liability on
Landlord. 
  
 N. No Third Party Benefit. This Lease is a contract
between Landlord and Tenant, and nothing herein is intended to create any third party benefit. 
  
 O. Quiet Enjoyment. Upon payment by Tenant of the Rent, and upon the observance and performance of all of the other covenants, terms and conditions on Tenant’s part to be observed and performed,
Tenant shall peaceably and quietly hold and enjoy the Premises for the term hereby demised without hindrance or interruption by Landlord or any other person or persons lawfully or equitably claiming by, through or under Landlord, subject,
nevertheless, to all of the other terms and conditions of this Lease. Landlord shall not be liable for any hindrance, interruption, interference or disturbance by other tenants or third persons, nor shall Tenant be released from any obligations
under this Lease because of such hindrance, interruption, interference or disturbance. 
  
 P. Counterparts. This Lease may be executed in any number of counterparts, each of which shall be deemed an original. 
  
 Q. Multiple Parties. If more than one person or entity is named herein as Tenant, such multiple parties shall have joint and several responsibility to
comply with the terms of this Lease. 
  
 R. Prorations. Any Rent or
other amounts payable to Landlord by Tenant hereunder for any fractional month shall be prorated based on a month of 30 days. As used herein, the term “fiscal year” shall mean the calendar year or such other fiscal year as Landlord
may deem appropriate. 
  
 39. ADDITIONAL PROVISIONS

  
 A. Base Rent. Tenant shall pay Base Rent pursuant to the
following schedule: 
  

										
	 Year of Term

	  	Annual Rate
Per Square Foot

	  	Annual
Base Rent

	  	Monthly
Base Rent

	 1
	  	$	14.40	  	$	190,656.00	  	$	15,888.00
	 2
	  	$	14.83	  	$	196,375.68	  	$	16,364.64
	 3
	  	$	15.28	  	$	202,266.96	  	$	16,855.58
	 4
	  	$	15.74	  	$	208,335.00	  	$	17,361.25
	 5
	  	$	16.21	  	$	214,584.96	  	$	17,882.08

  
 Notwithstanding
anything in this Paragraph 39.A. to the contrary, so long as Tenant is not in default under this Lease, Tenant shall be entitled to an abatement of Base Rent in the amount of $15,888.00 per month, and of Tenant’s Proportionate Share of
Operating Expenses, for 1.25 consecutive full calendar months of the Term, beginning on the Term Commencement Date (the “Rent Abatement Period”). The total amount of Base Rent abated during the Rent Abatement Period shall equal
$19,860.00 (the “Abated Base Rent”). During the Rent Abatement Period, only Base Rent and Tenant’s Proportionate Share of Operating Expenses shall be abated, and all other Additional Rent and other costs and charges specified
in this Lease shall remain as due and payable pursuant to the provisions of this Lease. 
  

 -28- 

 B. Early Entry. Notwithstanding anything to the contrary contained in this Lease, but subject to the terms
of this Paragraph 39.B., Landlord grants Tenant the right to enter the Premises, at Tenant’s sole risk, (i) following installation of the ceiling grid in the Premises, solely for the purpose of installing telecommunications and data cabling in
the Premises, and (ii) following installation of the carpeting in the Premises solely for the purpose of installing equipment, furnishings and other personality, Landlord may withdraw such permission to enter the Premises prior to the Term
Commencement Date at any time that Landlord reasonably determines that such entry by Tenant is causing a dangerous situation for Landlord, Tenant or their respective contractors or employees, or if Landlord reasonably determines that such entry by
Tenant is hampering or otherwise preventing Landlord from proceeding with the completion of Landlord’s Work at the earliest possible date. 
  
 40. JURY TRIAL WAIVER 
  
 EACH PARTY HERETO (WHICH INCLUDES ANY ASSIGNEE, SUCCESSOR HEIR OR PERSONAL REPRESENTATIVE OF A PARTY) SHALL NOT SEEK A JURY TRIAL, HEREBY WAIVES TRIAL BY JURY, AND HEREBY
FURTHER WAIVES ANY OBJECTION TO VENUE IN THE COUNTY IN WHICH THE BUILDING IS LOCATED, AND AGREES AND CONSENTS TO PERSONAL JURISDICTION OF THE COURTS OF THE STATE IN WHICH THE PROPERTY IS LOCATED, IN ANY ACTION OR PROCEEDING OR COUNTERCLAIM BROUGHT
BY ANY PARTY HERETO AGAINST THE OTHER ON ANY MATTER WHATSOEVER ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS LEASE, THE RELATIONSHIP OF LANDLORD AND TENANT, TENANT’S USE OR OCCUPANCY OF THE PREMISES, OR ANY CLAIM OF INJURY OR DAMAGE, OR THE
ENFORCEMENT OF ANY REMEDY UNDER ANY STATUTE, EMERGENCY OR OTHERWISE, WHETHER ANY OF THE FOREGOING IS BASED ON THIS LEASE OR ON TORT LAW. EACH PARTY REPRESENTS THAT IT HAS HAD THE OPPORTUNITY TO CONSULT WITH LEGAL COUNSEL CONCERNING THE EFFECT OF
THIS PARAGRAPH 40. THE PROVISIONS OF THIS PARAGRAPH 40 SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS LEASE. 
  

 -29- 

  
 IN WITNESS WHEREOF,
the parties hereto have executed this Lease as of the day and the year first above written. 
  

							
	LANDLORD
	
	EOP INDUSTRIAL PORTFOLIO, L.L.C.,
a Delaware limited liability company
		
	By:	 	EOP Operating Limited Partnership,
a Delaware limited partnership, its sole member
			
	 	 	By: 	 	Equity Office Properties Trust
a Maryland real estate investment trust,
its general partner
				
	 	 	 	 	By:	 	 
				
	 	 	 	 	 Name:
	 	 John W. Peterson

				
	 	 	 	 	 Title:
	 	 Regional Senior Vice President

		
	 Date:
	 	 November 29, 2001

	
	TENANT
	
	RACKABLE SYSTEMS, INC., a Delaware corporation
		
	By:	 	     /s/ Jack Randall

	 	 	 Jack Randall

	 Its:
	 	 Officer

		
	By:	 	     /s/ Giovanni Coglitore

	 	 	 Giovanni Coglitore

	 Its:
	 	 [Insert Officer’s Title Here]

		
	 Date:
	 	 11-27-01

  

 -30- 

  
 EXHIBIT A 

Industrial Lease 
 Rules and
Regulations 
  

	1.	Driveways, sidewalks, halls, passages, exits, entrances, elevators, escalators and stairways shall not be obstructed by tenants or used by tenants for any purpose other than for
ingress to and egress from their respective premises. The driveways, sidewalks, halls, passages, exits, entrances, elevators and stairways are not for the use of the general public and Landlord shall in all cases retain the right to control and
prevent access thereto by all persons whose presence, in the judgment of Landlord, shall be prejudicial to the safety, character, reputation and interests of the Building, the Project and its tenants, provided that nothing herein contained shall be
construed to prevent such access to persons with whom any tenant normally deals in the ordinary course of such tenant’s business unless such persons are engaged in illegal activities. No tenant, and no employees or invitees of any tenant, shall
go upon the roof of any Building, except as authorized by Landlord. 

  

	2.	No sign, placard, banner, picture, name, advertisement or notice, visible from the exterior of the Premises or the Building or the common areas of the Building shall be inscribed,
painted, affixed, installed or otherwise displayed by Tenant either on its Premises or any part of the Building or Project without the prior written consent of Landlord in Landlord’s sole and absolute discretion. Landlord shall have the right
to remove any such sign, placard, banner, picture, name, advertisement, or notice without notice to and at the expense of Tenant, which were installed or displayed in violation of this rule. If Landlord shall have given such consent to Tenant at any
time, whether before or after the execution of Tenant’s Lease, such consent shall in no way operate as a waiver or release of any of the provisions hereof or of the Lease, and shall be deemed to relate only to the particular sign, placard,
banner, picture, name, advertisement or notice so consented to by Landlord and shall not be construed as dispensing with the necessity of obtaining the specific written consent of Landlord with respect to any other such sign, placard, banner,
picture, name, advertisement or notice. 

  
 All
approved signs or lettering on doors and walls shall be printed, painted, affixed or inscribed at the expense of Tenant by a person or vendor approved by Landlord and shall be removed by Tenant at the time of vacancy at Tenant’s expense.

  

	3.	The directory of the Building or Project will be provided exclusively for the display of the name and location of tenants only and Landlord reserves the right to charge for the use
thereof and to exclude any other names therefrom. 

  

	4.	No curtains, draperies, blinds, shutters, shades, screens or other coverings, awnings, hangings or decorations shall be attached to, hung or placed in, or used in connection with,
any window or door on the Premises without the prior written consent of Landlord. In any event with the prior written consent of Landlord, all such items shall be installed inboard of Landlord’s standard window covering and shall in no way be
visible from the exterior of the Building. All electrical ceiling fixtures hung in offices or spaces along the perimeter of the Building must be fluorescent or of a quality, type, design, and bulb color approved by Landlord. No articles shall be
placed or kept on the window sills so as to be visible from the exterior of the Building. No articles shall be placed against glass partitions or doors which Landlord considers unsightly from outside Tenant’s Premises. 

 

	5.	Each Tenant shall be responsible for all persons for whom it allows to enter the Building or the Project and shall be liable to Landlord for all acts of such persons.

  
 Landlord and its agents shall not be liable for
damages for any error concerning the admission to, or exclusion from, the Building or the Project of any persons. 
  
 During the continuance of any invasion, mob, riot, public excitement or other circumstance rendering such action advisable in Landlord’s opinion,
Landlord reserves the right (but shall not be obligated) to prevent 

  

 -i- 

 
access to the Building and the Project during the continuance of that event by any means it considers appropriate for the safety of tenants and protection of
the Building, property in the Building and the Project. 
  

	6.	Tenant shall not alter any lock or access device or install a new or additional lock or access device or bolt on any door of its Premises, without the prior written consent of
Landlord. If Landlord shall give its consent, Tenant shall in each case furnish Landlord with a key for any such lock. Tenant, upon the termination of its tenancy, shall deliver to Landlord the keys for all doors which have been furnished to Tenant,
and in the event of loss of any keys so furnished, shall pay Landlord therefor. 

  

	7.	The restrooms, toilets, urinals, wash bowls and other apparatus shall not be used for any purpose other than that for which they were constructed and no foreign substance of any
kind whatsoever shall be thrown into them. The expense of any breakage, stoppage, or damage resulting from violation of this rule shall be borne by the tenant who, or whose employees or invitees shall have caused the breakage, stoppage, or damage.

  

	8.	Tenant shall not use or keep in or on the Premises, the Building or the Project any kerosene, gasoline, or inflammable or combustible fluid or material except in strict accordance
with the terms of the Lease. 

  

	9.	Tenant shall not use, keep or permit to be used or kept in the Premises any foul or noxious gas or substance. Tenant shall not allow the Premises to be occupied or used in a manner
offensive or objectionable to Landlord or other occupants of the Building by reason of noise, odors and/or vibrations or interfere in any way with other tenants or those having business therein, nor shall any animals or birds be brought or kept in
or about the Premises, the Building, or the Project. 

  

	10.	Except with the prior written consent of Landlord, Tenant shall not sell, or permit the sale, at retail, of newspapers, magazines, periodicals, theater tickets or any goods or
merchandise in or on the Premises, nor shall Tenant carry on or permit or allow any employee or other person to carry on, the business of stenography, typewriting or any similar business in or from the Premises for the service or accommodation of
occupants of any other portion of the Building, or the business of a public barber shop, beauty parlor, nor shall the Premises be used for any illegal, improper, immoral or objectionable purpose, or any business or activity other than that
specifically provided for in such Tenant’s Lease. Tenant shall not accept hairstyling, barbering, shoeshine, nail, message or similar services to the Premises or common areas except as authorized by Landlord. 

  

	11.	If Tenant requires telegraphic, telephonic, telecommunications, data processing, burglar alarm or similar services, it shall first obtain and comply with, Landlord’s
instructions in their installation. The cost of purchasing, installation and maintenance of such services shall be borne solely by Tenant. 

  

	12.	Landlord will direct electricians as to where and how telephone, telegraph and electrical wires are to be introduced or installed. No boring or cutting for wires will be allowed
without the prior written consent of Landlord. The location of burglar alarms, telephones, call boxes and other office equipment affixed to the Premises shall be subject to the prior written approval of Landlord. 

  

	13.	Tenant shall not install any radio or television antenna, satellite dish, loudspeaker or any other device on the exterior walls or the roof of the Building, without Landlord’s
consent. Tenant shall not interfere with radio or television broadcasting or reception from or in the Building, the Project or elsewhere. 

  

	14.	Tenant shall not mark, or drive nails, screw or drill into the partition, woodwork or drywall or in any way deface the Premises or any part thereof. Tenant shall not lay linoleum,
tile, carpet or any other floor covering so that the same shall be affixed to the floor of its Premises in any manner except as approved in writing by Landlord. The expense of repairing any damage resulting from a violation of this rule or the
removal of any floor covering shall be borne by the tenant by whom, or by whose contractors, employees or invitees, the damage shall have been caused. 

  

 -ii- 

	15.	Tenant shall not place a load upon any floor of its Premises which exceeds the load per square foot which such floor was deigned to carry or which is allowed by law.

  
 Business machines and mechanical equipment
belonging to Tenant which cause noise or vibration that may be transmitted to the structure of the Building or to any space therein to such degree as to be objectionable to Landlord or to any tenants in the Building shall be placed and maintained by
Tenant, at Tenant’s expense, on vibration eliminators or other devices sufficient to eliminate noise or vibration. The person employed to move such equipment in or out of the Building must be acceptable to Landlord. 
  

	16.	Each tenant shall store all its trash and garbage within the interior of the Premises or as otherwise directed by Landlord from time to time. Tenant shall not place in the trash
boxes or receptacles any personal trash or any material that may not or cannot be disposed of in the ordinary and customary manner of removing and disposing of trash and garbage in the city, without violation of any law or ordinance governing such
disposal. 

  

	17.	Canvassing soliciting, distribution of handbills or any other written material and peddling in the Building and the Project are prohibited and each tenant shall cooperate to prevent
the same. No tenant shall make room-to-room solicitation of business from other tenants in the Building or the Project, without the written consent of Landlord. 

  

	18.	Landlord shall have the right, exercisable without notice and without liability to any tenant, to change the name and address of the Building and the Project.

  

	19.	Landlord reserves the right to exclude or expel from the Project any person who, in Landlord’s judgment, is under the influence of alcohol or drugs or who commits any act in
violation of any of these Rules and Regulations. 

  

	20.	Without the prior written consent of Landlord, Tenant shall not use the name of the Building or the Project or any photograph or other likeness of the Building or the Project in
connection with, or in promoting or advertising Tenant’s business except that Tenant may include the Building’s or Project’s name in Tenant’s address. 

  

	21.	Tenant shall comply with all safety, fire protection and evacuation procedures and regulations established by Landlord or any governmental agency. 

  

	22.	Tenant assumes any and all responsibility for protecting its Premises from theft, robbery and pilferage, which includes keeping doors locked and other means of entry to the Premises
closed. 

  

	23.	Landlord reserves the right to designate the uses of the parking spaces on the Project. Tenant or Tenant’s guests shall park between designated parking lines only, and shall
not occupy two parking spaces with one car. No trucks, truck tractors, trailers or fifth wheel are allowed to be parked anywhere at any time within the Project other than in Tenant’s own truck dock wall. Vehicles in violation of the above shall
be subject to tow-away, at vehicle owner’s expense. Vehicles parked on the Project overnight without prior written consent of the Landlord shall be deemed abandoned and shall be subject to tow-away at vehicle owner’s expense. No tenant of
the Building shall park in visitor or reserved parking areas or loading areas. Any tenant found parking in such designated visitor or reserved parking areas or loading areas or unauthorized area shall be subject to tow-away at vehicle owner’s
expense. The parking areas shall not be used to provide car wash, oil changes, detailing, automotive repair or other services unless otherwise approved or furnished by Landlord. Tenant will from time to time, upon the request of Landlord, supply
Landlord with a list of license plate number of vehicles owned or operated by its employee or agents. 

  

	24.	 No Tenant is allowed to unload, unpack, pack or in any way manipulate any products, materials or goods in the common areas of the Project including the parking and
driveway areas of the Project. All products, goods and materials must be manipulated, handled, kept, and stored within the tenant’s Premises and not in any exterior areas, including, but not limited to, exterior dock platforms, against the
exterior of the 

  

 -iii- 

	 	 
Building, parking areas and driveway areas of the Project. Tenant also agrees to keep the exterior of the Premises clean and free of nails, wood, pallets,
packing materials, barrels and any other debris produced from their operation. All products, materials and goods are to enter and exit the premises by being loaded or unloaded through dock high doors into trucks and or trailers, over dock high
loading platforms into trucks and or trailers or loaded or unloaded into trucks and or trailers within the Premises through grade level door access. 

  

	25.	Tenant shall be responsible for the observance of all of the foregoing Rules and Regulations by Tenant’s employees, agents, clients, customers, invitees and guests.

  

	26.	These Rules and Regulations are in addition to, and shall not be construed or in any way be modify, alter or amend, in whole or in part, the terms, covenants, agreements and
conditions of any lease of any premises in the Project. 

  

	27.	Landlord may waive any one or more of these Rules and Regulations for the benefit of any particular tenant or tenants, but no such waiver by Landlord shall be construed as a waiver
of such Rules and Regulations in favor of any other tenant or tenants, nor prevent Landlord from thereafter enforcing any such Rules and Regulations against any or all tenants of the Building. 

  
 Landlord reserves the right to make such other and reasonable rules and regulations as in its
judgment may from time to time be needed for safety and security, for care and cleanliness of the Building and the Project and for the preservation of good order therein. Tenant agrees to abide by all such Rules and Regulations herein stated and any
additional rules and regulations which are adopted. 
  

 -iv- 

  
 EXHIBIT D

  
 HAZARDOUS MATERIALS QUESTIONNAIRE

  
 This questionnaire is designed to solicit information regarding
Tenant’s proposed use, generation, treatment, storage, transfer or disposal of hazardous or toxic materials, substances or wastes. If this Questionnaire is attached to or provided in connection with a lease, the reference herein to any such
items shall include all items defined as “Hazardous Materials,” “Hazardous Substances,” “Hazardous Wastes,” “Toxic Materials,” “Toxic Substances,” “Toxic
Wastes,” or such similar definitions contained in the lease. Please complete the questionnaire and return it to Landlord for evaluation. If your use of materials or substances, or generation of wastes is considered to be significant,
further information may be requested regarding your plans for hazardous and toxic materials management. Your cooperation in this matter is appreciated. If you have any questions, do not hesitate to call us for assistance. 
  

	1.	PROPOSED TENANT 

  
 Name (Corporation, Individual, Corporate or Individual DBA, or Public Agency): Rackable Systems Inc. 
  
 Standard Industrial Classification Code (SIC): 3571 
  

					
	 Street Address:
	  	2381 Zanker Road	  	 
			
	 City, State, Zip Code:
	  	San Jose, CA 95131	  	 
			
	 Contact Person & Title:
	  	Jack Randall, V.P. Operations	  	 
		
	 Telephone Number:
	  	(408)
321-0290                             Facsimile Number: (408)
321-0293                

  

	2.	LOCATION AND ADDRESS OF PROPOSED LEASE 

  

			
	Street Address:	  	721 Charcot Avenue
		
	City, State, Zip Code:	  	San Jose, CA 95131
		
	Bordering Streets:	  	O’toole Road
	
	Streets to which Premises has Access: Charcot Avenue

  

	3.	DESCRIPTION OF PREMISES 

  

			
	Floor Area:	  	13,240 sq. ft.                                  
                                        
                                        
                                        
                          

			
		
	Number of Parking Spaces:	 	2.5 per 1000 sq. ft.                                
                                        
                                        
                                       
 
		
	Date of Original Construction:	 	unknown by Rackable Systems                               
                                        
                                        
                 
		
	Past Uses of Premises:	 	unknown by Rackable Systems                               
                                        
                                        
                 

			
	
	Dates and Descriptions of Significant Additions, Alterations or Improvements: unknown by Rackable
Systems                                       
       
	
	                                      
                                        
                                        
                                        
                                        
                                        
                   

  

 -i- 

	4.	DESCRIPTION OF PROPOSED PREMISES USE 

  
 Describe proposed use and operation of Premises including (i) services to be performed, (ii) nature and types of manufacturing or assembly processes, if
any, and (iii) the materials or products to be stored at the Premises. 
  
 (i) Manufacture computers, (ii) assembly involves screwing parts together, installing software, and occasionally soldering wires, (iii) materials to be stored are metal chassis, brackets, and computer components. 
  
 Will the operation of your business at the Premises involve the use,
generation, treatment, storage, transfer or disposal of hazardous wastes or materials? Do they now? Yes  ̈ No x If the answer is “yes,” or if your SIC code number is between 2000 to 4000, please complete Section V. 
  

	5.	PERMIT DISCLOSURE 

  
 Does or will the operation of any facet of your business at the Premises require any permits, licenses or plan approvals from any of the following
agencies? 
  

					
	 U.S. Environmental Protection Agency
	  	Yes  ̈	  	No x
			
	 City or County Sanitation District
	  	Yes  ̈	  	No x
			
	 State Department of Health Services
	  	Yes  ̈	  	No x
			
	 U.S. Nuclear Regulatory Commission
	  	Yes  ̈	  	No x
			
	 Air Quality Management District
	  	Yes  ̈	  	No x
			
	 Bureau of Alcohol, Firearms and Tobacco
	  	Yes  ̈	  	No x
			
	 City or County Fire Department
	  	Yes  ̈	  	No x
			
	 Regional Water Quality Control Board
	  	Yes  ̈	  	No x
			
	 Other Governmental Agencies (if yes,
	  	Yes  ̈	  	No x
			
	 identify:________________________________)
	  	 	  	 

  
 If the answer to any
of the above is “yes,” please indicate permit or license numbers, issuing agency and expiration date or renewal date, if applicable. 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
 If your answer to any of the above is “yes,” please complete Sections VI and VII. 
  

 -ii- 

	6.	HAZARDOUS MATERIALS DISCLOSURE 

  
 Will any hazardous materials or toxic or substances be stored on the Premises? Yes  ̈ No  ̈ If the answer is “yes,” please describe
the materials or substances to be stored, the quantities thereof and the proposed method of storage of the same (i.e., drums, aboveground or underground storage tanks, cylinders, other), and whether the material is a Solid (S), Liquid (L) or Gas
(G): 
  

									
	 Material/
Substance

	 	 Quantity to be Stored
on Premises

	 	 Storage
Method

	  	Amount to be Stored
on a Monthly Basis

	  	Maximum Period of
Premises Storage

	 	 	 	 	 	  	 	  	 
	 	 	 	 	 	  	 	  	 

  
 Attach additional
sheets if necessary. 
  
 Is any modification of the Premises
improvements required or planned to mitigate the release of toxic or hazardous materials substance or wastes into the environment? Yes  ̈
No  ̈ If the answer is “yes,” please describe the proposed Premises modifications: 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  

	7.	HAZARDOUS WASTE DISCLOSURE 

  
 Will any hazardous waste, including recyclable waste, be generated by the operation of your business at the Premises? Yes  ̈ No  ̈ If the answer is “yes,” please
list the hazardous waste which is expected to be generated (or potentially will be generated) at the Premises, its hazard class and volume/frequency of generation on a monthly basis. 
  

							
	 Waste Name

	 	 Hazard Class

	 	 Volume/Month

	  	Maximum Period of
Premises Storage

	 	 	 	 	 	  	 
	 	 	 	 	 	  	 

  
 Attach additional
sheets if necessary. 
  
 If the answer is “yes,”
please also indicate if any such wastes are to be stored within the Premises and the proposed method of storage (i.e., drums, aboveground or underground storage tanks, cylinders, other). 
  

			
	 Waste Name

	 	 Storage Method

	 	 	 
	 	 	 

  
 Attach additional
sheets if necessary. 
  

 -iii- 

 Is any treatment or processing of hazardous wastes to be conducted at the Premises? Yes  ̈ No  ̈ If the answer is
“yes,” please describe proposed treatment/processing methods: 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
 Which agencies are responsible for monitoring and evaluating compliance with respect to the storage and disposal of hazardous materials or wastes at or from the Premises? (Please list all agencies): 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
 Have there been any agency enforcement actions regarding Tenant (or any affiliate thereof), or any existing Tenant’s (or any affiliate’s) facilities, or any past, pending or outstanding administrative orders or consent decrees
with respect to Tenant or any affiliate thereof? Yes  ̈ No  ̈ If the answer is “yes,” have there been any continuing compliance obligations imposed on Tenant or its affiliates as a result of the decrees or orders? Yes  ̈ No  ̈ If the answer is “yes,” please
describe: 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
 Has Tenant or any of its affiliates been the recipient of requests for information, notice and demand letters, cleanup and abatement orders, or cease and desist orders or other administrative inquiries? Yes  ̈ No  ̈ If the answer is “yes,” please
describe: 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
 Are there any pending citizen lawsuits, or have any notices of violations been provided to Tenant or its affiliates or with respect to any existing facilities pursuant to the citizens suit provisions of any statute? Yes  ̈ No  ̈ If the answer is
“yes,” please describe: 
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  

 -iv- 

 Has an environmental audit ever been conducted at any of your company’s existing facilities? Yes
 ̈ No  ̈ If the answer is
“Yes,” please describe: 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
 Does your company carry environmental impairment insurance? Yes  ̈ No  ̈ If the answer is “yes,” what is the name of the carrier and what are the effective periods and monetary limits of such coverage? 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  

	8.	EQUIPMENT LOCATED OR TO BE LOCATED AT THE PREMISES 

  
 Is (or will there be) any electrical transformer or other equipment containing polychlorinated biphenyls located at the Premises? Yes  ̈ No  ̈ If the answer is
“yes,” please specify the size, number and location (or proposed location): 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
 Is (or will there be) any tank for storage of a petroleum product located at the Premises? Yes  ̈ No  ̈ If the answer is “yes,” please specify capacity and contents of tank; permits, licenses and/or approvals received or to be received
therefor and any spill prevention control or conformance plan to be taken in connection therewith: 
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  
                                       
                                        
                                        
                                        
                                        
                                        
           
  

	9.	ONGOING ACTIVITIES (APPLICABLE TO TENANTS IN POSSESSION) 

  
 Has any hazardous material, substance or waste spilled, leaked, discharged, leached, escaped or otherwise been released into the environment at the
Premises? Yes  ̈ No  ̈ If
the answer is “yes,” please describe including (i) the date and duration of each such release, (ii) the material, substance or waste released, (iii) the extent of the spread of such release into or onto the air, soil and/or water,
(iv) any action to clean up the release, (v) any reports or notifications made of filed with any federal, state, or local agency, or any quasi-governmental agency (please provide copies of such reports or notifications) and (vi) describe any legal,
administrative or other action taken by any of the foregoing agencies or by any other person as a result of the release. 
  

 -v- 

 This Hazardous Materials Questionnaire is certified as being true and accurate and has been completed by
the party whose signature appears below on behalf of Tenant as of the date set forth below. 
  
 DATED:                             
  

			
		
	Signature	 	 

			
		
	Print Name	 	 

			
		
	Title	 	 

  

 -vi-First Amendment to Lease Agreement

 Exhibit 10.13 
  
 FIRST AMENDMENT 
  
 THIS FIRST AMENDMENT (this “Amendment”) is made and entered into as of the 22nd day of April, 2004, by and between EOP-INDUSTRIAL PORTFOLIO, L.L.C., a Delaware limited liability company (“Landlord”), and
RACKABLE SYSTEMS, INC., a Delaware corporation (“Tenant”). 
  
 RECITALS 
  

	A.	Landlord and Tenant are parties to that certain Lease dated November 27, 2001 (the “Lease”). Pursuant to the Lease, Landlord has leased to Tenant space currently
containing approximately 13,240 rentable square feet (the “Original Premises”) described as 721 Charcot Avenue, which is part of the building located at 721-751 Charcot Avenue (the “Original Building”) in the
project known as Charcot Business Park in San Jose, California. 

  

	B.	Tenant and Landlord agree to relocate Tenant from the Original Premises to approximately 43,450 rentable square feet of space described as 1933 and 1971 Milmont Road, which
is part of the building located at 1909-1971 Milmont Road, Milpitas, California (the “Substitution Building”), as shown on Exhibit A attached hereto (the “Substitution Space”). The Substitution Building is
located in the project commonly known as Dixon Landing North I (the “Substitution Project”) in Milpitas, California, which project currently consists of the Substitution Building and the single story building located at 411-431
Dixon Landing Road. 

  

	C.	The Lease by its terms shall expire on January 31, 2007 (“Prior Termination Date”), and the parties desire to extend the Term, all on the following terms and
conditions. 

  
 NOW, THEREFORE, in
consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Landlord and Tenant agree as follows: 
  

	I.	Substitution. 

  

	 	A.	Effective as of the Substitution Effective Date (defined in Section II.A below), the Substitution Space is substituted for the Premises and, from and after the Substitution
Effective Date, the Premises, as defined in the Lease, shall be deemed to mean the Substitution Space. Effective as of the Substitution Effective Date, (i) Exhibit B of the Lease shall be deleted in its entirety and replaced with Exhibit A attached
hereto, (ii) the Building, as defined in the Lease, shall be deemed to mean and refer to the Substitution Building, and the Project, as defined in the Lease, shall be deemed to mean and refer to the Substitution Project. 

  

	 	B.	The Term for the Substitution Space shall commence on the Substitution Effective Date and, unless sooner terminated pursuant to the terms of the Lease, shall end on the
Extended Termination Date (as hereinafter defined). The Substitution Space is subject to all the terms and conditions of the Lease except as expressly modified herein and except that Tenant shall not be entitled to receive any allowances, abatements
or other financial concessions granted with respect to the Original Premises unless such concessions are expressly provided for herein with respect to the Substitution Space. 

  

	 	C.	Effective as of the Substitution Effective Date, the Lease shall be terminated with respect to the Original Premises, except pursuant to those provisions which expressly
survive such termination. Tenant shall vacate the Original Premises 

  

 1. 

 on or prior to the date that is five (5) business days after the Substitution Effective Date (such date
that Tenant is required to vacate the Original Premises being referred to herein as the “Original Premises Vacation Date”) and return the same to Landlord in “broom clean” condition and otherwise in accordance with the
terms and conditions of the Lease, including but not limited to Paragraph 36 of the Lease. 
  

	II.	Substitution Effective Date; Possession. The “Substitution Effective Date” shall be the later to occur of (i) July 1, 2004 (the “Target Substitution
Effective Date”), and (ii) the date upon which the Substitution Landlord Work (as defined in the Work Letter attached as Exhibit B hereto (the “Work Letter”)) in the Substitution Space has been Substantially Completed (as
defined below); provided however, that if Landlord shall be delayed in Substantially Completing the Substitution Landlord Work in the Substitution Space as a result of the occurrence of a Tenant Delay (as defined in Section 2 of the Lease), then,
for purposes of determining the Substitution Effective Date, the date of Substantial Completion shall be deemed to be the day that said Substitution Landlord Work would have been Substantially Completed absent any such Tenant Delay(s).

  
 The Substitution Space shall be deemed to be
“Substantially Completed” on the later of (a) the date that Landlord reasonably determines that all Substitution Landlord Work has been performed (or would have been performed absent any Tenant Delay(s)), other than any details of
construction, mechanical adjustment or any other matter, the nonperformance of which does not materially interfere with Tenant’s use of the Substitution Space, and (b) the date Landlord receives from the appropriate governmental authorities,
with respect to the Substitution Landlord Work constructed by Landlord or its contractors in the Substitution Space, all approvals necessary for the occupancy of the Premises, if any. The adjustment of the Substitution Effective Date and,
accordingly, the postponement of Tenant’s obligation to pay Rent for the Substitution Space shall be Tenant’s sole remedy and shall constitute full settlement of all claims that Tenant might otherwise have against Landlord by reason of the
Substitution Space not being ready for occupancy by Tenant on the Target Substitution Effective Date. During any period that the Substitution Effective Date is postponed and Tenant’s obligation to pay Rent for the Substitution Space is
correspondingly postponed, Tenant shall continue to be obligated to pay Rent for the Original Premises in accordance with the terms of the Lease. Upon Landlord’s request, Tenant shall promptly execute and return to Landlord a “Start-Up
Letter” in which Tenant shall agree, among other things, to acceptance of the Substitution Space and to the determination of the Substitution Effective Date in accordance with the terms of this Amendment, but Tenant’s failure or refusal to
do so shall not negate Tenant’s acceptance of the Substitution Space or affect determination of the Substitution Effective Date. 
  
 Tenant’s acceptance of the Substitution Space shall be subject to Landlord’s obligation to correct portions of the Substitution Landlord Work as
set forth on a construction punch list prepared by Landlord and Tenant in accordance with the terms hereof. Within 15 days after Substantial Completion of the Substitution Landlord Work, Landlord and Tenant shall together conduct an inspection of
the Substitution Space and prepare a “punch list” setting forth any portions of the Substitution Landlord Work that are not in conformity with the Substitution Landlord Work as set forth in the Work Letter. Landlord, as part of the
Substitution Landlord Work, shall use good faith efforts to correct all such items in a reasonable time following the completion of the punch list. The creation of a “punch list” shall not affect the Substitution Effective Date.

  

	III.	Extension. The Term of the Lease is extended for a period of 29 months and shall expire on June 30, 2009 (“Extended Termination Date”), unless sooner
terminated in accordance with the terms of the Lease. That portion of the Term commencing the day immediately following the Prior Termination Date (“Extension Date”) and ending on the Extended Termination Date shall be referred to
herein as the “Extended Term”. 

  

 2. 

	IV.	Base Rent. As of the Substitution Effective Date, the schedule of Base Rent set forth in the Lease shall be deleted and the Base Rent payable with respect to the
Premises during the remainder of the current Term and the Extended Term shall be the following: 

  

							
	 Period of Term

	  	Annual Rate
Per Square Foot

	  	Monthly
Base Rent

	 07/01/04 – 06/30/05
	  	$	10.26	  	$	37,149.75
	 07/01/05 – 06/30/06
	  	$	10.54	  	$	38,163.58
	 07/01/06 – 06/30/07
	  	$	9.55	  	$	34,578.96
	 07/01/07 – 06/30/08
	  	$	9.84	  	$	35,629.00
	 07/01/08 – 06/30/09
	  	$	10.13	  	$	36,679.04

  
 All such Base Rent
shall be payable by Tenant in accordance with the terms of the Lease. 
  
 Landlord and Tenant acknowledge that the foregoing schedule is based on the assumption that the Substitution Effective Date is the Target Substitution Effective Date. If the Substitution Effective Date is other than the Target Substitution
Effective Date, the schedule set forth above with respect to the payment of any installment(s) of Base Rent for the Substitution Space shall be appropriately adjusted on a per diem basis to reflect the actual Substitution Effective Date and the
actual Substitution Effective Date shall be set forth in a confirmation letter to be prepared by Landlord. However, the effective date of any increases or decreases in the Base Rent rate shall not be postponed as a result of an adjustment of the
Substitution Effective Date as provided above. 
  
 Notwithstanding anything in this Section IV or the Lease to the contrary, so long as Tenant is not in default under the Lease, as amended hereby, Tenant shall be entitled to an abatement of a portion of Tenant’s Base Rent in the amount
of $32,587.50 per month for two consecutive full calendar months immediately following the Substitution Effective Date (the “Base Rent Abatement Period”). The total amount of Base Rent abated during the Base Rent Abatement
Period shall equal $65,175.00 (the “Abated Base Rent”). During the Base Rent Abatement Period, only Base Rent shall be abated, and all Additional Rent and other costs and charges specified in the Lease, as amended hereby,
shall remain as due and payable pursuant to the provisions of the Lease, as amended hereby. 
  

	V.	Additional Security Deposit. Upon Tenant’s execution hereof, Tenant shall pay Landlord the sum of $50,000.00 which is added to and becomes part of the
Security Deposit, if any, held by Landlord as provided under Section 19 of the Lease as security for payment of Rent and the performance of the other terms and conditions of the Lease by Tenant. Accordingly, simultaneous with the execution hereof,
the Security Deposit is increased from $15,888.00 to $65,888.00. 

  

	VI.	Tenant’s Proportionate Share. For the period commencing with the Substitution Effective Date and ending on the Extended Termination Date, Tenant’s
Proportionate Share of the Project (as amended hereunder to mean the Substitution Project) is amended to be 36.5141%. 

  

	VII.	Operating Expenses. For the period commencing with the Substitution Effective Date and ending on the Extended Termination Date, Tenant shall pay for Tenant’s
Proportionate Share of Operating Expenses applicable to the Premises in accordance with the terms of the Lease, as amended hereby. Effective as of the Substitution Effective Date, Tenant’s Proportionate Share of Operating Expenses is estimated
to be $8,690.00 per month. 

  

 3. 

	VIII.	Improvements to Substitution Space. 

  

	 	A.	Condition of Substitution Space. Tenant has inspected the Substitution Space and agrees to accept the same “as is” without any agreements, representations,
understandings or obligations on the part of Landlord to perform any alterations, repairs or improvements, except as may be expressly provided otherwise in Section VIII.B below and in the Work Letter. 

  

	 	B.	Responsibility for Improvements to Substitution Space. Landlord shall perform Improvements to the Substitution Space in accordance with the Work Letter. Landlord also shall
be responsible for the removal from the Substitution Space of all garbage, furniture and equipment (other than the FF&E, as described in Section XII.F below) left behind by the prior tenant, including without limitation the existing thermal
chamber, prior to the Substitution Effective Date. 

  
 Landlord shall be responsible for defects in the Substitution Landlord Work (as defined in the Work Letter) of which Tenant notifies Landlord to the extent that the correction of such defects is covered under valid and enforceable
warranties given Landlord by contractors or subcontractors performing the Substitution Landlord Work. Landlord, at its option, may pursue such claims directly or assign any such warranties to Tenant for enforcement. 
  
 In addition, Landlord, at its sole cost and expense (except to the extent
properly included in Expenses), shall be responsible for correcting any violations of the Americans with Disabilities Act, or of building and fire codes applicable to and as enforced as of the date hereof with respect to the Substitution Space,
arising out of the construction of the Substitution Landlord Work; provided that Landlord shall have the right to contest any alleged violation in good faith, including, without limitation, the right to apply for and obtain a waiver or deferment of
compliance, the right to assert any and all defenses allowed by law and the right to appeal any decisions, judgments or rulings to the fullest extent permitted by law. Landlord, after the exhaustion of any and all rights to appeal or contest, will
make all repairs, additions, alterations or improvements necessary to comply with the terms of any final order or judgment. Notwithstanding the foregoing, Tenant, not Landlord, shall be responsible for the correction of any violations in the
Substitution Space that arise out of or in connection with any claims brought under any provision of the Americans with Disabilities Act other than Title Ill, the specific nature of Tenant’s business In the Substitution Space, the acts or
omissions of Tenant, its agents, employees or contractors, Tenant’s arrangement of any furniture, equipment or other property in the Substitution Space, any repairs, alterations, additions or improvements performed by or on behalf of Tenant
(other than the Substitution Landlord Work) and any design or configuration of the Substitution Space specifically requested by Tenant after being informed that such design or configuration may not be in strict compliance with the Americans with
Disabilities Act or with applicable building or fire codes. 
  
 Landlord shall be responsible, at Landlord’s sole expense, for repairing any failures of the plumbing, electrical, fire sprinkler, lighting and HVAC systems serving the Substitution Space of which Tenant notifies Landlord within ninety
(90) days following the Substitution Effective Date, provided that such repairs are not required due to Tenant’s negligence or mishandling of such systems or equipment. 
  

	IX.	Early Access to Substitution Space. If Tenant takes possession of the Substitution Space before the Substitution Effective Date, such possession shall be subject to
the terms and conditions of the Lease, as amended hereby, and Tenant shall pay Rent to Landlord for each day of possession before the Substitution Effective Date. However, except for the cost of any special services requested by Tenant, Tenant shall
not be required to pay Rent for any days of possession before the Substitution Effective Date 

  

 4. 

 during which Tenant, with the approval of Landlord, enters or is in possession of the Substitution Space
for the sole purpose of installing telecommunications and data cabling, equipment, furnishings, security systems and other personalty. Subject to the terms of this Section IX, following the full execution of this Amendment by all parties and
Tenant’s delivery to Landlord of the additional Security Deposit in accordance with Section V of this Amendment, Landlord grants Tenant the right to enter the Substitution Space, at Tenant’s sole risk, solely for the purpose of installing
telecommunications and data cabling, equipment, furnishings, security systems and other personalty in the Substitution Space, provided that such entry and installations by or on behalf of Tenant do not interfere with Landlord’s construction of
the Substitution Landlord Work. Landlord may withdraw such permission to enter the Substitution Space prior to the Substitution Effective Date at any time that Landlord reasonably determines that such entry by Tenant is causing a dangerous situation
for Landlord, Tenant or their respective contractors or employees, or if Landlord reasonably determines that such entry by Tenant is hampering or otherwise preventing Landlord from proceeding with the completion of the Substitution Landlord Work at
the earliest possible date. 
  

	X.	Holding Over. If Tenant continues to occupy the Original Premises after the Original Premises Vacation Date (as defined in Section I above), such occupancy shall be
deemed holding over and shall be subject to the provisions of Section 25 of the Lease. 

  

	XI.	Renewal Option. 

  

	 	A.	Grant of Option; Conditions. Tenant shall have the right to extend the Extended Term (the “Renewal Option”) for one additional period of 5 years commencing
on the day following the Extended Termination Date and ending on the fifth anniversary of the Extended Termination Date (the “Renewal Term”), if: 

  

	 	1.	Landlord receives notice of exercise (“Initial Renewal Notice”) not less than 9 full calendar months prior to the expiration of the Extended Term and not
more than 12 full calendar months prior to the expiration of the Extended Term; and 

  

	 	2.	Tenant is not in default under the Lease, as amended hereby, beyond any applicable cure periods at the time that Tenant delivers its Initial Renewal Notice or at the time
Tenant delivers its Binding Notice (as defined below); and 

  

	 	3.	No part of the Premises is sublet (other than pursuant to a Permitted Transfer, as defined in Paragraph 21.F of the Lease) at the time that Tenant delivers its Initial
Renewal Notice or at the time Tenant delivers its Binding Notice; and 

  

	 	4.	The Lease has not been assigned (other than pursuant to a Permitted Transfer, as defined in Paragraph 21.F of the Lease) prior to the date that Tenant delivers its Initial
Renewal Notice or prior to the date Tenant delivers its Binding Notice. 

  

	 	B.	Terms Applicable to Premises During Renewal Term. 

  

	 	1.	The initial Rent rate per rentable square foot for the Premises during the Renewal Term shall equal 95% of the Prevailing Market (hereinafter defined) rate per rentable
square foot for the Premises. Rent during the Renewal Term shall increase in accordance with the increases assumed in the determination of Prevailing Market rate. Rent attributable to the Premises shall be payable in monthly installments in
accordance with the terms and conditions of Paragraph 6 of the Lease. 

  

 5. 

	 	2.	Tenant shall pay Additional Rent (i.e. Operating Expenses) for the Premises during the Renewal Term in accordance with Paragraph 7 of the Lease, and the manner and method in
which Tenant reimburses Landlord for Tenant’s Proportionate Share of Operating Expenses shall be some of the factors considered in determining the Prevailing Market rate for the Renewal Term. 

  

	 	C.	Procedure for Determining Prevailing Market. Within 30 days after receipt of Tenant’s Initial Renewal Notice, Landlord shall advise Tenant of the applicable Rent rate
for the Premises for the Renewal Term. Tenant, within 15 days after the date on which Landlord advises Tenant of the applicable Rent rate for the Renewal Term, shall either (i) give Landlord final binding written notice (“Binding
Notice”) of Tenant’s exercise of its Renewal Option, or (ii) if Tenant disagrees with Landlord’s determination, provide Landlord with written notice of rejection (the “Rejection Notice”). If Tenant fails to
provide Landlord with either a Binding Notice or Rejection Notice within such 15 day period, Tenant’s Renewal Option shall be null and void and of no further force and effect. If Tenant provides Landlord with a Binding Notice, Landlord and
Tenant shall enter into the Renewal Amendment (as defined below) upon the terms and conditions set forth herein. If Tenant provides Landlord with a Rejection Notice, Landlord and Tenant shall work together in good faith to agree upon the Prevailing
Market rate for the Premises during the Renewal Term. Upon agreement, Tenant shall provide Landlord with Binding Notice and Landlord and Tenant shall enter into the Renewal Amendment in accordance with the terms and conditions hereof.
Notwithstanding the foregoing, If Landlord and Tenant fail to agree upon the Prevailing Market rate within 30 days after the date Tenant provides Landlord with the Rejection Notice, Tenant, by written notice to Landlord (the “Arbitration
Notice”) within 5 days after the expiration of such 30 day period, shall have the right to have the Prevailing Market rate determined in accordance with the arbitration procedures described in Section D below. If Landlord and Tenant fail to
agree upon the Prevailing Market rate within the 30 day period described and Tenant fails to timely exercise its right to arbitrate, Tenant’s Renewal Option shall be deemed to be null and void and of no further force and effect.

  

	 	D.	Renewal Amendment. If Tenant is entitled to and properly exercises its Renewal Option, Landlord shall prepare an amendment (the “Renewal Amendment”) to
reflect changes in the Rent, Extended Term, Extended Termination Date and other appropriate terms. The Renewal Amendment shall be sent to Tenant within a reasonable time after receipt of the Binding Notice and Tenant shall execute and return the
Renewal Amendment to Landlord within 15 days after Tenant’s receipt of same, but, upon final determination of the Prevailing Market rate applicable during the Renewal Term as described herein, an otherwise valid exercise of the Renewal Option
shall be fully effective whether or not the Renewal Amendment is executed. 

  

	 	E.	Arbitration Procedure. 

  

	 	1.	If Tenant provides Landlord with an Arbitration Notice, Landlord and Tenant, within 5 days after the date of the Arbitration Notice, shall each simultaneously submit to the
other, in a sealed envelope, its good faith estimate of the Prevailing Market rate for the Premises during the Renewal Term (collectively referred to as the “Estimates”). If the higher of such Estimates is not more than 105% of the
lower of such Estimates, then Prevailing Market rate shall be the average of the two Estimates. If the Prevailing Market rate is not resolved by the exchange of Estimates, then, within 7 days after the exchange of Estimates, Landlord and Tenant
shall each select an appraiser to determine which of the two 

  

 6. 

 Estimates most closely reflects the Prevailing Market rate for the Premises during the Renewal Term.
Each appraiser so selected shall be certified as an MAI appraiser or as an ASA appraiser and shall have had at least 5 years experience within the previous 10 years as a real estate appraiser working in the Milpitas, California area, with working
knowledge of current rental rates and practices. For purposes hereof, an “MAI” appraiser means an individual who holds an MAI designation conferred by, and is an independent member of, the American Institute of Real Estate Appraisers (or
its successor organization, or in the event there is no successor organization, the organization and designation most similar), and an “ASA” appraiser means an individual who holds the Senior Member designation conferred by, and is an
independent member of, the American Society of Appraisers (or its successor organization, or, in the event there is no successor organization, the organization and designation most similar). 
  

	 	2.	Upon selection, Landlord’s and Tenant’s appraisers shall work together in good faith to agree upon which of the two Estimates most closely reflects the Prevailing
Market rate for the Premises. The Estimate chosen by such appraisers shall be binding on both Landlord and Tenant as the Base Rent rate for the Premises during the Renewal Term. If either Landlord or Tenant fails to appoint an appraiser within the 7
day period referred to above, the appraiser appointed by the other party shall be the sole appraiser for the purposes hereof. If the two appraisers cannot agree upon which of the two Estimates most closely reflects the Prevailing Market within 20
days after their appointment, then, within 10 days after the expiration of such 20 day period, the two appraisers shall select a third appraiser meeting the aforementioned criteria. Once the third appraiser (i.e. arbitrator) has been selected as
provided for above, then, as soon thereafter as practicable but in any case within 14 days, the arbitrator shall make his determination of which of the two Estimates most closely reflects the Prevailing Market rate and such Estimate shall be binding
on both Landlord and Tenant as the Base Rent rate for the Premises. If the arbitrator believes that expert advice would materially assist him, he may retain one or more qualified persons to provide such expert advice. The parties shall share equally
in the costs of the arbitrator and of any experts retained by the arbitrator. Any fees of any appraiser, counsel or experts engaged directly by Landlord or Tenant, however, shall be borne by the party retaining such appraiser, counsel or expert.

  

	 	3.	If the Prevailing Market rate has not been determined by the commencement date of the Renewal Term, Tenant shall pay Base Rent upon the terms and conditions in effect during
the last month of the initial Term for the Premises until such time as the Prevailing Market rate has been determined. Upon such determination, the Base Rent for the Premises shall be retroactively adjusted to the commencement of the Renewal Term
for the Premises. If such adjustment results in an underpayment of Base Rent by Tenant, Tenant shall pay Landlord the amount of such underpayment within 30 days after the determination thereof. If such adjustment results in an overpayment of Base
Rent by Tenant, Landlord shall credit such overpayment against the next installment of Base Rent due under the Lease and, to the extent necessary, any subsequent installments, until the entire amount of such overpayment has been credited against
Base Rent. 

  

 7. 

	 	F.	Definition of Prevailing Market. For purposes of this Renewal Option, “Prevailing Market” shall mean the arms length fair market annual rental rate per
rentable square foot under renewal leases and amendments entered into on or about the date on which the Prevailing Market is being determined hereunder for space comparable to the Premises in the Building and industrial buildings comparable to the
Building in Milpitas, California. The determination of Prevailing Market shall take into account any material economic differences between the terms of the Lease and any comparison lease or amendment, such as rent abatements, construction costs and
other concessions and the manner, if any, in which the landlord under any such lease is reimbursed for operating expenses and taxes. The determination of Prevailing Market shall also take into consideration any reasonably anticipated changes in the
Prevailing Market rate from the time such Prevailing Market rate is being determined and the time such Prevailing Market rate will become effective under the Lease. 

  

	XII.	Other Pertinent Provisions. Landlord and Tenant agree that, effective as of the date of this Amendment (unless different effective date(s) is/are specifically
referenced in this Section), the Lease shall be amended in the following additional respects: 

  

	 	A.	Landlord’s Notice Address. Landlord’s Notice Address, as set forth in the Basic Lease Information of the Lease, is hereby deleted in its entirety and replaced by
the following: 

  

			
	 “Landlord:
	  	 With a copy to:

		
	 EOP-INDUSTRIAL PORTFOLIO, L.L.C.
	  	 Equity Office

	 1740 Technology Drive, Suite 150
	  	 One Market, Spear Tower, Suite 600

	 San Jose, California 95110
	  	 San Francisco, California 94105

	 Attn: Property Manager - Dixon Landing
	  	 Attention: San Francisco Regional Counsel”

  

	 	B.	Landlord’s Remittance Address. Landlord’s Remittance Address, as defined in the Basic Lease Information of the Lease, is hereby deleted in its entirety. Rent shall
be made payable to the entity, and sent to the address, Landlord designates from time to time. 

  

	 	C.	Tenant’s Addresses. Effective as of the Substitution Effective Date, Tenant’s Notice Address and Tenant’s Billing Address as set forth in the Basic Lease
Information of the Original Lease are hereby replaced with the following: 

  
 Rackable Systems, Inc. 
 1933 Milmont Road 
 Milpitas, California 95035 
  

	 	D.	Parking Density. As of the Substitution Effective Date, the Parking Density, as defined in the Basic Lease Information of the Lease, is hereby revised to be 3.5 spaces per
1,000 rentable square feet of the Premises. 

  

	 	E.	Deletion. Exhibit C (Lease Improvement Agreement) of the Lease is hereby deleted in its entirety and of no further force and effect. 

  

	 	F.	Quitclaim of Personal Property. Upon execution and delivery of this Amendment and receipt of the additional Security Deposits required under Section V, Landlord shall execute
a Quitclaim Bill of Sale (the “Quitclaim”) to Tenant for consideration of $1.00 from Tenant for the furnishings, fixtures and equipment located in the Substitution Space as of the date of this Amendment and listed on Exhibit
C hereto (collectively, the “FF&E”). The Quitclaim shall be 

  

 8. 

 without representation or warranty as to title, condition, or suitability or fitness for Tenant’s
use. Tenant shall be fully responsible for assessing the FF&E for Tenant’s use. Following Landlord’s execution and delivery of the Quitclaim to Tenant, the FF&E shall be considered Tenant’s property for all purposes under the
Lease, as amended hereby. 
  

	 	G.	Assignment of Lease; Release. Tenant represents that on December 23, 2002, the entity formerly known as “Rackable Systems, Inc.” (“OldCo”) assigned
its rights, interest and obligations under the Lease to Tenant, and Tenant assumed all of the obligations of OldCo under the Lease, pursuant to the terms and conditions of that certain Assignment and Assumption Agreement dated December 23, 2002
(“Assignment Agreement”)1. Pursuant to Section 21.F of the Lease, Landlord received notice of such
assignment (as proposed) pursuant to that certain letter agreement dated December 18, 2002 (“Letter Agreement”)2. Tenant further represents that at the time the transaction described in the Letter Agreement occurred, the conditions set forth in Items 1 through 4 of the Letter Agreement were satisfied as described therein. Pursuant to the terms
of the Assignment Agreement and the last sentence of Section 21.F of the Lease, OldCo (and now its founders and shareholders because OldCo has been dissolved) remained liable to Landlord for the obligations and liabilities of the tenant under the
Lease. In consideration for entering into this Amendment, Landlord hereby releases, waives and discharges OldCo and its founders and shareholders (including, without limitation, Giovanni Coglitore, Nikolai Gallo and Jack Randall), from any and all
claims, actions, causes of action, suits, debts, liens, demands, contracts, liabilities, agreements, costs, expenses, or losses of any type, whether known or unknown, fixed or contingent, which heretofore have existed or now exist or may in the
future exist by reason of any act, omission or matter, based on any fact or circumstance from the beginning of time to the effective date of this Agreement, which arises out of or relates to the Lease; provided that the foregoing shall not apply to
any claims, if any, that may arise out of the relationship of any of the foregoing founders and shareholders to Tenant following the date of the Assignment Agreement. Notwithstanding anything to the contrary contained herein, Tenant hereby
acknowledges and agrees that the Lease, as modified by this Amendment, is hereby reaffirmed, ratified, and confirmed in its entirety, and Tenant represents that Tenant has assumed all of the obligations of “tenant” under the Lease
effective as of the effective date of the original Lease. 

  

	XIII.	Miscellaneous. 

  

	 	A.	This Amendment, including Exhibit A (Outline and Location of Substitution Space) and Exhibit B (Work Letter), sets forth the entire agreement between the
parties with respect to the matters set forth herein. There have been no additional oral or written representations or agreements. Under no circumstances shall Tenant be entitled to any Rent abatement, improvement allowance, leasehold improvements,
or other work to the Substitution Space, or any similar economic incentives that may have been provided Tenant in connection with entering into the Lease, unless specifically set forth in this Amendment. 

  

	 	B.	Except as herein modified or amended, the provisions, conditions and terms of the Lease shall remain unchanged and in full force and effect. 

	1	Once OldCo assigned its rights, interest and obligations under the Lease to Tenant and dissolved, Tenant changed its name to “Rackable Systems, Inc.”

	2	Although Section 21.F of the Lease required Tenant to give Landlord at least 15 days prior written notice of the proposed assignment of the Lease, Landlord waived
such notice requirement pursuant to the terms of the Letter Agreement. 

  

 9. 

	 	C.	In the case of any inconsistency between the provisions of the Lease and this Amendment, the provisions of this Amendment shall govern and control. 

 

	 	D.	Submission of this Amendment by Landlord is not an offer to enter into this Amendment but rather is a solicitation for such an offer by Tenant. Landlord shall not be bound by
this Amendment until Landlord has executed and delivered the same to Tenant. 

  

	 	E.	The capitalized terms used in this Amendment shall have the same definitions as set forth in the Lease to the extent that such capitalized terms are defined therein and not
redefined in this Amendment. 

  

	 	F.	Tenant hereby represents to Landlord that Tenant has dealt with no broker in connection with this Amendment other than Cornish & Carey Commercial (“Tenant’s
Broker”). Tenant agrees to indemnify and hold Landlord and the other Landlord Related Parties harmless from all claims of any brokers other than Broker claiming to have represented Tenant in connection with this Amendment. CPS Realty
(“Landlord’s Broker”) represents only Landlord in this transaction. Equity Office Properties Management Corp. (“EOPMC”) is an affiliate of Landlord and also represents only the Landlord in this transaction. Any
assistance rendered by any agent or employee of EOPMC in connection with this Amendment or any subsequent amendment or modification hereto has been or will be made as an accommodation to Tenant solely in furtherance of consummating the transaction
on behalf of Landlord, and not as agent for Tenant. Landlord agrees to indemnify and hold Tenant and each of the other Tenant Related Parties harmless from all claims of any brokers claiming to have represented Landlord in connection with this
Amendment, including Landlord’s Broker and EOPMC. Landlord agrees to pay brokerage commissions to Landlord’s Broker and to Tenant’s Broker in accordance with the terms of separate written agreements to be entered into between Landlord
and such Brokers. 

  

	 	G.	Each signatory of this Amendment represents hereby that he or she has the authority to execute and deliver the same on behalf of the party hereto for which such signatory is
acting. 

  
 [SIGNATURES ARE ON FOLLOWING PAGE]

  

 10. 

 IN WITNESS WHEREOF, Landlord and Tenant have duly executed this Amendment as of the day and year
first above written. 
  

							
	LANDLORD:
	
	 EOP-INDUSTRIAL PORTFOLIO, L.L.C., a Delaware
 limited liability company

		
	 By:
	 	 EOP Operating Limited Partnership, a Delaware
 limited partnership, its sole member

			
	 	 	By:	 	 Equity Office Properties Trust, a Maryland
 real estate investment trust, its general
 partner

				
	 	 	 	 	 By:
	 	 /s/ John W. Petersen

	 	 	 	 	 Name:
	 	 John W. Petersen

	 	 	 	 	 Title:
	 	 Regional Senior Vice President

	
	TENANT:
	
	RACKABLE SYSTEMS, INC., a Delaware corporation
		
	 By:
	 	 /s/ Todd R. Ford

	 Name:
	 	 Todd R. Ford

	 Title:
	 	 CFO

	
	                 32-0047154

	Tenant’s Tax ID Number (SSN or FEIN)

  

 11. 

 EXHIBIT A  
  
 OUTLINE AND LOCATION OF SUBSTITUTION SPACE 
  
 

 
  

 12. 

 EXHIBIT B  
  
 WORK LETTER 
  
 This Exhibit is attached to and made a part of the Amendment by and between EOP-INDUSTRIAL PORTFOLIO, L.L.C. (“Landlord”), and
RACKABLE SYSTEMS, INC. (“Tenant”) for space in the Building located at 1909-1971 Milmont Road, Milpitas, California. 
  
 As used in this Work Letter, the “Premises” shall be deemed to mean the Substitution Space, as defined in the Amendment to which this Work Letter is attached
(the “Amendment”). Capitalized terms not defined herein shall have the meaning given to such terms in the Amendment. 
  

	1.	Landlord shall perform improvements to the Premises substantially in accordance with the plans prepared by AP+I Design, Inc., dated December 15, 2003 (Sheet No. SP.4), and most
recently revised April 22, 2004 (the “Plans”), including the 4 page document titled “Tenant Improvements rev 3 (03-12-2004) 1933 & 1971 Milmont Drive, Fremont” also attached both as Exhibit D “Substitution
Landlord Work.” In addition, Landlord shall remove the metal container, cement pad, and associated appurtenances (collectively, the “Container”) that as of the date of the Amendment is blocking the grade level rollup door to
the Premises, so that the grade level rollup door will be usable for shipping (the “Removal Work”). The improvements to be performed by Landlord in accordance with the Plans and the Removal Work are hereinafter referred to
collectively as the “Substitution Landlord Work.” It is agreed that construction of the Substitution Landlord Work will be completed on a “turnkey” basis at Landlord’s sole cost and expense, subject to the terms of
Paragraphs 2 and 3 below, using Building Standard methods, materials and finishes. Landlord shall enter into a direct contract for the Landlord with a general contractor selected by Landlord. In addition, Landlord shall have the right to select
and/or approve of any subcontractors used in connection with the Substitution Landlord Work. Subject to Section VlII.B of the Amendment, Landlord’s supervision or performance of any work for or on behalf of Tenant shall not be deemed a
representation by Landlord that such Plans or Working Drawings (as defined in Paragraph 2 below) or any revisions thereto comply with applicable insurance requirements, building codes, ordinances, laws or regulations, or that the improvements
constructed in accordance with the Plans and Working Drawings and any revisions thereto will be adequate for Tenant’s use, it being agreed that Tenant shall be responsible for all elements of the design of Tenant’s plans (including,
without limitation, compliance with law, functionality of design, the structural integrity of the design, the configuration of the premises and the placement of Tenant’s furniture, appliances and equipment). 

  

	2.	Notwithstanding anything in Paragraph 1 to the contrary, Tenant shall be responsible for, and shall remit to Landlord within 10 business days after written demand, costs incurred by
Landlord in connection with the following, and any sales and use taxes incurred thereon: (a) all architectural fees and costs in connection with the Landlord Work commencing as of the preparation of working drawings derived from the Plans
(“Working Drawings”), including any revisions thereto requested by Tenant as provided in Paragraph 3 below, provided that Landlord shall be responsible for architectural fees and costs incurred prior to the development of the
Working Drawings, including the cost of the Plans; (b) all structural engineering costs; (c) the cost of any special inspections required, including but not limited to for structural or concrete work; (d) all permitting fees; and (e) all costs
arising out of work on the HVAC systems specially serving the “burn-in” room, but not costs relating to other HVAC systems generally serving the Premises. 

  

	3.	If Tenant shall request any revisions to the Plans or the Working Drawings, Landlord shall have such revisions prepared at Tenant’s sole cost and expense as provided in
Paragraph 2 above. Promptly upon completion of the revisions, Landlord shall notify Tenant in writing of the increased cost in the Substitution Landlord Work, if any, resulting 

  

 13. 

 from such revisions, and of Landlord’s reasonable estimate of the number of days of Tenant Delay
that will arise from such revisions to the Landlord Work. Tenant, within one (1) business day, shall notify Landlord in writing whether it desires to proceed with such revisions. In the absence of such written authorization, Landlord shall have the
option to continue work on the Premises disregarding the requested revision. Tenant shall be responsible for any Tenant Delay (as defined In the Lease) in completion of the Premises resulting from any revision to the Plans. If such revisions result
in an increase in the cost of Substitution Landlord Work, such increased costs, plus any applicable state sales or use tax thereon, shall be payable by Tenant within 10 business days after written demand. Notwithstanding anything herein to the
contrary, all revisions to the Plans or Working Drawings shall be subject to the approval of Landlord. 
  

	4.	This Work Letter shall not be deemed applicable to any additional space added to the Premises at any time or from time to time, whether by any options under the Lease or otherwise,
or to any portion of the original Premises or any additions to the Premises in the event of a renewal or extension of the original Term of the Lease, whether by any options under the Lease or otherwise, unless expressly so provided in the Lease or
any amendment or supplement to the Lease. 

  

 14. 

 EXHIBIT C  
  
 FURNITURE, FIXTURES AND EQUIPMENT 
  

	 	•	 	Furniture located in existing kitchen area 

  

	 	•	 	Microwaves located in existing kitchen area 

  

	 	•	 	Break Buzzer 

  

	 	•	 	Security cameras 

  

	 	•	 	Lockers 

  

 15. 

 EXHIBIT D  
  
 SUBSTITUTION LANDLORD WORK 
  
 

 
  

 16. 

 Tenant Improvements rev 3 (03-12-2004) 
 1933 & 1971 Milmont Drive, Fremont 
  
 Improvements at Landlord Expense 
  

	1.	Tanks, cement pad, etc which is blocking the grade level rollup door, so that the grad level rollup door is usable for shipping. 

  

	2.	Remove all furniture, equipment and garbage (except the following: furniture in Kitchen, microwaves in kitchen, break buzzer, securing cameras, lockers) Removal to including Thermal
chamber & all other unsecured stuff that previous tenant left. 

  

	3.	Repair HVAC to operating condition per third party audit of condition 

  

	4.	Existing power is 3,000 amps 277/480v 

  
 Improvements From Tenant Allowance 
  

	6.	All changes per drawing Milmont_Rackable_20040312.dwg: 

  

	 	6.1.	add/delete walls 

  

	 	6.2.	adjust HVAC ducting to accommodate new offices and space changes 

  

	 	6.3.	fencing per print – use as much existing fencing as possible 

  

	 	6.4.	replace all ESD tile in manufacturing and inventory area with ESD epoxy/paint. The wall mold will have to be re-installed after the floor is installed. See Note 1 for
details. 

  

	 	6.5.	two Edge of Dock Lever (located per drawing). See Note 2 for details. 

  

	 	6.6.	cut hole in wall and install trash compactor access door in location shown on drawing 

  

	7.	New electrical 

  

	 	7.1.	Electrical buss for “burn-in” area. See Note 3 for details. 

  

	 	7.2.	Electrical drops down to work benches after benches are installed by Rackable: 

  

	 	7.2.1.	24 dedicated 20amp 120v circuits (production area) 

  

	 	7.2.2.	8 dedicated 20amp 120v circuits (RMA area) 

  

	 	7.2.3.	3 dedicated 20amp 120v circuits to 4-plex outlet in ceiling above stockroom kitting tables 

  

	 	7.3.	Labs 

  

	 	7.3.1.	SE/Support Lab: 6x L6-30 208/220v dedicated circuits and 12x 5-20R 120v dedicated circuits in 4-plex gang box 

  

	 	7.3.2.	Gio Lab: 1x L6-30 208/22v dedicated circuits and 2x 5-20R 120v dedicated circuits in 4-plex gang box 

  

	 	7.3.3.	Demo Lab: 8x L6-30 208/220v dedicated circuits and 2x 5-20R 120v 4-plex gang box 

  

	 	7.3.4.	Engineering Lab: 1x L6-30 208/22v dedicated circuits and 2x 5-20R 120v dedicated circuits in 4-plex gang box 

  

	 	7.4.	Electrical to forklift (located near receiving area) 1x 30amp 3phase 220v. 

  

	 	7.5.	All breakers to be labeled. Outlets in manufacturing and labs to be labeled to designate panel number and breaker number. 

  

	 	7.6.	Provide cad drawing of electrical layout. 

  

	8.	Demolition/Things to remove: 

  

	 	8.1.	Venting ducts not attached to anything in the manufacturing and inventory area 

  

	 	8.2.	Remove chilled water /nitrogen/ up to the ceiling. Electrical sub-panels in these same 4 locations. The water equipment against the wall. 

  

	 	8.3.	Remove & re-use fencing per print 

  

	 	8.4.	Electrical buss on floor in inventory area 

  

	 	8.5.	ADT system and attached power 

  

	 	8.6.	Remove transformer in manufacturing near kitchen and sub-panel on far side of building that it attaches to. 

  

	9.	Lighting & Ceiling Tiles: 

  

	 	9.1.	Replace all florescent lights in Manufacturing and Inventory with new bright white bulbs. 

  

	 	9.2.	Install in 2 locations, single switch that turns on all manufacturing and inventory lights. Install Relay Timer so manufacturing and inventory lights automatically turn off and on
at a specified time. 

  

	 	9.3.	Hallway, Conference Rooms, New Cube Area shall have ceiling lights of the “parabolic” type and the large conference room in that same area. Main lobby to have parabolic
lights. 

  

 Page 1. 

	 	9.4.	Lobby, Labs, Restrooms, Kitchens, Offices, and Conference Rooms shall have motion sensor activated lights with timers set to turn off after 30 minutes of no movement

  

	 	9.5.	Hallways and cube areas shall have relay timer that turns off and on lights at a specified time 

  

	 	9.6.	Raise florescent lights in inventory area to specified height to clear shelving 

  

	10.	1 large conference rooms shall have in the floor in a location specified by Rackable the following: power outlet, telecom (2x phone, 1 ethernet), and cabling for ceiling mounted
digital projector, and a power outlet in the ceiling for the projector. 

  

	11.	Door Hardware: 

  

	 	11.1.	Entire facility to be re-keyed per Rackable specification. (By EOP Or Tenant) 

  

	 	11.2.	Eight external man-doors to have door locking hardware (to be specified by Rackable) that supports electronic security system. Remaining external man-doors to have 3 point door
locking and alarmed. See Note 4 for door hardware specifications. 

  

	 	11.3.	Two doors from stockroom to office area to have 3 point door locking and alarmed. See Note 4 for door hardware specifications. 

  

	 	11.4.	Fifteen internal doors to have door locking hardware (to be specified by Rackable) that supports electronic security system. See Note 4 for door hardware specifications.

  

	 	11.5.	All exterior man doors and all non-office/conf. Room interior doors to be fitted with door closers. See Note 4 for door hardware specifications. 

  

	 	11.6.	All doors to have door stops that prevent damaging walls 

  

	 	11.7.	Install electric roll-up dock doors on 4 docks. Using existing Doors. 

  

	12.	Carpet & Paint 

  

	 	12.1.	Offices, Hallways, Conference Rooms, Cube Areas, Lobby shall be re-carpeted with 5 year rated cutpile carpet of at least 30oz, approved by Rackable. Install new molding along wall.
Adjust doors as necessary. 

  

	 	12.2.	Repaint all new construction and non-manufacturing areas in 1933 space with up to 2 colors specified by Rackable 

  

	 	12.3.	Strip & wax all tile floors 

  

	13.	Labs and Demo Room: 

  

	 	13.1.	Demo Room: install six inch raised ESD floor 

  

	 	13.2.	Lab to have drop ceiling and ESD tile floor 

  

	 	13.3.	Lab doors to be 9 feet tall 

  

	14.	HVAC 

  

	 	14.1.	Zone/Rezone HVAC intake and output for appropriate air conditioning of all zones. 

  

	 	14.2.	Balance HVAC zones to prevent un-even heating and cooling in office areas. 

  

	 	14.3.	Review configuration of returns in MFG and adjust. 

  

	 	14.4.	Move the exhaust system ducts directly over the bum-in area of production. 

  

	 	14.5.	Network Equipment Room & Demo room to be on dedicated HVAC unit 

  

	 	14.7.	Lockable thermostats 

  

	 	14.8.	Proved Zone Map that shows which HVAC unit is attached to which rooms, and where the thermostat is located 

  

	15.	Lobby: Tall ceiling (same as current height) in the area directly to the left of the current lobby. Blend a soffet design like existing across into the left side. Ceiling can drop
down to the existing height beyond the soffit. Architect to provide rendering for Rackable to approve. 

  

 2. 

 Note 1: ESD Floor Specifications 
  
 Koster’s VAP-2000 moisture barrier 
  
 Garland EPHBCR epoxy primer 
  
 Garland ESD-EP-1100HB with orange peal finish 
  
 5 year warranty 
  
 NOTE 2: 
  
 Kelley Mechanical Edge-of-Dock Dockleveler 
  
 Features 
  

	 	•	 	30,000 lb. capacities 

  

	 	•	 	Easy manual operation with convenient handle. 

  

	 	•	 	Broad working range. 

  

	 	•	 	Maintenance strut. 

  

	 	•	 	Reinforced bumpers. 

  
 NOTE 3: Electrical Bussway for burn-in area in manufacturing 
  
 Located approximated where shown on the drawing, 
  
 2 each 150Kva 20K rated transformers (but we need to plan/leave room for an additional 2 more) 
  
 2 each 30 foot runs of Starline B225 Busway connected to these transformers. The bussway shall be attached to 3 foot tall uni-strut. 
  
 http://www.uecorp.com/225-amp-busway.asp 
  
  

 3. 

 NOTE 4: Door Hardware 
  

									
	 Door
 Number

	  	 Location

	  	 Hardware

	  	Qty

	  	 Notes

	 1
	  	1933 Main Entrance	  	Existing Magnetic Locks	  	2	  	Door Sticks – Magnetic Locks catch on mechanic lock
	 2
	  	1933 Lobby Interior	  	Existing Electrified Lock	  	1	  	No change needed
	 3
	  	1933 Lobby Interior	  	HES 5000 Series Electric Strike	  	1	  	Door doesn’t exist yet
	 4
	  	1933 Network Room	  	HES 5000 Series Electric Strike	  	1	  	ANSI 4 7/8” Standard Strike
Exists
	 5
	  	1933 Hallway from Lobby	  	Von Duprin Model 99, Electrified	  	1	  	Needs Von Duprin EL Kit with Request to Exit Integrated & Electrified Hinge
	 6
	  	1933 Telecom Closet	  	HES 5000 Series Electric Strike	  	1	  	ANSI 4 7/8” Standard Strike
Exists
	 7
	  	1933 Manufacturing #2 (SE)	  	Securitron M62 Magnetic Lock	  	1	  	Existing Jackson Exit Bar needs to be retrofitted with RQE Switch
	 8
	  	1933 Demo Room	  	HES 5000 Series Electric Strike	  	1	  	ANSI 4 7/8” Standard Strike
Exists
	 9
	  	1933 Eng Lab	  	HES 5000 Series Electric Strike	  	1	  	ANSI 4 7/8” Standard Strike
Exists
	 10
	  	1933 Rear Shipping Door	  	Existing Electrified Schlage Lockset	  	1	  	No change needed
	 11
	  	1933 Rear MFG Employee Entrance	  	Existing Electrified Von Duprin Model 99	  	2	  	No change needed
	 12
	  	1933 Rear Receiving Door	  	Von Duprin Model 99, Electrified	  	1	  	Needs Von Duprin EL Kit with Request to Exit Integrated & Electrified Hinge
	 13
	  	1971 rear Entrance	  	Existing Electrified Schlage Lockset	  	1	  	No change needed
	 14
	  	1972 Main Entrance	  	Existing Electrified Von Duprin Model 99	  	2	  	No change needed
	 15
	  	1971 Lab in Rear of Building	  	Von Duprin Model 99, Electrified	  	1	  	Needs Von Duprin EL Kit with Request to Exit Integrated & Electrified Hinge
	 16
	  	1971 Storage	  	HES 5000 Series Electric Strike	  	1	  	Door doesn’t exist yet
	 17
	  	1971 Lab in Front of Building	  	HES 5000 Series Electric Strike	  	1	  	ANSI 4 7/8” Standard Strike
Exists
	 18
	  	Chain Link Gate RMA Repair	  	Securitron M62 with Chain Link Gate Kit	  	1	  	Gate not exactly where shown on drwg, may be able to relocate from existing location
	 19
	  	Chain Link Gate in Center (Left)	  	Securitron M62 with Chain Link Gate Kit	  	1	  	Gate not exactly where shown on drwg, may be able to relocate from existing location
	 20
	  	Chain Link Gate in Center (Right)	  	Securitron M62 with Chain Link Gate Kit	  	1	  	Gate not exactly where shown on drwg, may be able to relocate from existing location
	 21
	  	Chain Link Gate with Dutch Door	  	Securitron M62 with Chain Link Gate Kit	  	1	  	Gate not exactly where shown on drwg, may be able to relocate from existing location
	 22
	  	Chain Link Gate into Receiving Area	  	Securitron M62 with Chain Link Gate Kit	  	1	  	Gate not exactly where shown on drwg, may be able to relocate from existing location
	 23
	  	Chain Link Gate into Receiving (right)	  	Securitron M62 with Chain Link Gate Kit	  	1	  	Gate not exactly where shown on drwg, may be able to relocate from existing location
	 24
	  	Alarm Exit Only – 15 second Delayed Egress	  	Detex ECL-8030 36	  	1	  	Exit Device with Alarm Sounder and 15 delay Egress
	 25
	  	Alarm Exit Only – 15 second Delayed Egress	  	Detex ECL-8030 36	  	1	  	Exit Device with Alarm Sounder and 15 delay Egress
					
	 ALL
	  	All Card Reader Doors should have door closures	  	 	  	 	  	Dorma model 8901 PA 689 Commercial Grade Closures

  

 4.

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