Document:

Exhibit 10.1

EMPLOYMENT AGREEMENT

 

This Employment
Agreement (this “Agreement”) is entered into effective June 5th, 2017 (the “Effective
Date”), by Dan Moorhead (“Executive”)
and Zynex, Inc. (the “Company”).

 

RECITALS

 

		A.	Company desires to hire Executive as Chief Financial Officer and to compensate Executive for Executive’s
services to the Company; and

 

		B.	Executive wishes to be employed by the Company and provide services to the Company in return for
certain compensation; and

 

		C.	WHEREAS, the Company and Executive desire to enter into this Agreement

 

Accordingly, in consideration of the mutual
promises and covenants contained in this Agreement and for other good and valuable consideration, the sufficiency of which is acknowledged,
the parties agree to the following:

 

		1.	Definitions.

 

		1.1	“Affiliates” means, with respect to the Company, any entity which, directly
or indirectly, is controlled by or is under common control with the Company

 

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

 

		1.3	“Cause” will be limited to
mean the following:

 

		(i)	Willful misfeasance or nonfeasance by Executive that materially injures the reputation, business
or business relationships of the Company or its Affiliates, or any of their respective officers, directors or employees and such
action or failure is not remedied or reasonable steps to effect such remedy are not commenced within thirty (30) days following
receipt of written notice;

		(ii)	Any act involving moral turpitude or conviction of a crime other reflects in some material fashion
unfavorably upon the business or business relationships of the Company, its Affiliates, or any of its officers, directors or employees;

		(iii)	The willful and continued failure to perform substantially the Executive’s duties or to follow
the reasonable direction of the CEO or the Board within thirty (30) business days after receipt by Executive of written notice
of such failure, other than by reason of Disability (as defined below) or approved leave of absence; or

		(iv)	Willful or prolonged absence from work by Executive, other than by reason of Disability or approved
leave of absence, whether paid or unpaid.

 

		1.4	“Code” will mean the Internal Revenue Code of 1986, as amended from time
to time, and the regulations promulgated thereunder.

 

		1.5	“Disability” will mean the earliest of the date on which Executive is
deemed disabled under: (i) the long-term disability policy maintained by the Company; (ii) Code Section 22(e)(3); or
(iii) the determination of the Social Security Administration. Notwithstanding the foregoing, Executive will not be considered
to have suffered a Disability under subparagraph (ii) above if Executive timely provides medical certification from a qualified
licensed physician that Executive is able to perform the essential functions of Executive’s position, with or without reasonable
accommodation.

 

     

     

    

 

		1.6	“Good Reason” will mean the occurrence of any of the following without
Executive’s prior written consent:

 

		(i)	the removal of Executive as Chief Financial Officer of the Company, assignment to Executive
of any duties or responsibilities materially inconsistent with Executive’s position, including any material diminution of
Executive’s status, title, authority, duties or responsibilities or any other action that results in a material diminution
in such status, title, authority, duties or responsibilities;

		(ii)	the requirement that Executive report within a management structure that adds a layer of management
between Executive and the CEO;

		(iii)	the requirement that Executive relocate Executive’s principal place of employment to a location
that is farther than forty (40) miles from the Company’s current principal place of business;

		(iv)	the reduction by five percent (5%) or more of Executive’s
base salary or the reduction by five percent (5%) or more of the aggregate of Executive’s base salary and Incentive Compensation
target cumulatively during any one year period, without Executive’s consent, or any action that materially adversely affects
Executive’s overall compensation and benefits package, provided that the Company may change the benefits package if those
changes are made on a non-discriminatory basis for all employees who participate in the benefits plans available to Executive;
or

		(v)	the failure of the Company to pay to Executive any portion or installment of any salary, Incentive
Compensation or deferred compensation within fourteen (14) days of the date such compensation is due.

 

		1.7	“Termination Date” will mean Executive’s last day of employment,
regardless of whether termination is on account of death, Disability, with or without Cause, or a resignation with or without Good
Reason.

 

		2.	Employment
by the Company.

 

		2.1	Position. Subject to the terms set
forth in this Agreement, the Company agrees to employ Executive in the position of Chief Financial Officer, and Executive
hereby accepts such employment and position. During the term of Executive’s employment with the Company, Executive will devote
Executive’s best efforts and substantially all of Executive’s business time and attention to the business of the Company.

 

		2.2	Duties. Executive will report to the
CEO and will perform such duties as are normally associated with Executive’s position as are assigned to Executive from time
to time. Executive will perform Executive’s duties under this Agreement at the Company’s principal place of business
and such other locations as agreed upon by Executive and the Company.

 

		2.3	Term. The term of this Agreement will
run from the Effective Date until such time as it is terminated in accordance with the terms of this Agreement.

 

		2.4	Company Policies and Benefits. The
employment relationship between the parties will be subject to the Company’s personnel policies and procedures as they may
be adopted, revised or deleted from time to time in the Company’s sole discretion. Subject to any specific exceptions or
conditions set forth in Section 3.5, Executive will be eligible to participate on substantially the same basis as similarly
situated Executives in the Company’s benefit plans and programs in effect from time to time during Executive’s employment;
provided, however, that participation and awards under any equity compensation or equity Incentive Compensation plan or
program will be determined by the Board on an individual, case-by-case basis. All matters of eligibility for coverage or benefits
under any benefit plan or program will be determined in accordance with the provisions of such plan or program. The Company reserves
the right to change, alter, or terminate any benefit plan or program in its sole discretion; provided, however, that
no such change, alteration or termination will change any vested or accrued benefits or rights of Executive. Notwithstanding the
foregoing, in the event that the terms of this Agreement expressly provide Executive with benefits that differ from the Company’s
generally available benefits, then the terms of this Agreement will control.

 

     

     

    

 

		3.	Compensation
and Benefits.

 

		3.1	Salary. Executive will receive for
Executive’s services to be rendered under this Agreement an initial annualized base salary of $220,000.00 (the “Base
Salary”), subject to annual review and adjustment from time to time by the Board. The Base Salary will be payable
in accordance with Company’s standard payroll practices.

 

		3.2	Incentive Compensation. Executive will
be eligible for quarterly and annual incentive compensation (“Incentive Compensation”) in the total amount
of $100,000 per calendar year, as determined by the CEO and the Board in its sole discretion based on an incentive compensation
plan to be established annually in writing by the Board. The Incentive Compensation will be calculated based on performance goals
measured at the end of the applicable quarter/year. The Company will pay earned quarterly and annual Incentive Compensation at
the time(s) determined by the Company, but in no event later than March 31 of the calendar year following the year in which
Executive’s right to the Incentive Compensation arises.

 

		3.3	Expense Reimbursement. The Company
will reimburse Executive for reasonable business expenses incurred by Executive during the period Executive is employed by the
Company, in accordance with the Company’s standard expense reimbursement policy.

 

		3.4	Paid Time Off. Executive will have
paid time off in accordance with your offer letter, which will be scheduled at a time acceptable to both the Executive and the
Company.

 

		3.5	Benefits & Equity Grants. As provided
in Section 2.4, Executive will receive benefits in accordance with the Company’s standard benefits plan and policies,
as amended from time to time and as supplemented in your offer letter dated May 16, 2017. You will also be entitled to receive
equity grants as stated in your offer letter.

 

		4.	Non-Competition; Non-Solicitation; Confidentiality.

 

		4.1	Non-Competition. Executive acknowledges
that Executive will gain extensive and valuable experiences and knowledge in the business conducted by the Company and its Affiliates
and will have extensive contacts with customers of the Company and its Affiliates. Accordingly, in consideration of the mutual
promises contained in this Agreement, Executive covenants and agrees with the Company that, during the term of this Agreement and
for the Applicable Severance Payout Period (as defined in Section 7.2(c) following the Executive’s Termination Date, Executive
will not compete directly or indirectly with the Company or its Affiliates and will not during such period make public statements
in derogation of the Company or its Affiliates. Competing directly or indirectly with the Company and its Affiliates will mean
engaging or having a material interest, directly or indirectly, as owner, employee, officer, director, partner, venturer, stockholder,
capital investor, consultant, agent, principal, advisor or otherwise, either alone or in association with others, in the operation
of any entity’s division or group which manufactures and markets medical devices that treat chronic and acute pain, as well
as activate and exercise muscles for rehabilitative purposes with electrical stimulation. Competing directly or indirectly with
the Company or its Affiliates, as used in this Agreement, will not include having an ownership interest as an inactive investor,
which for purposes of this Agreement will mean the beneficial ownership of less than five percent (5%) of the outstanding shares
of any series or class of securities of any competitor of the Company, which shares are publicly traded in the securities markets.
This Section 4.1 will cease to apply in the event the Company is in breach of any obligations to provide severance
benefits in accordance with Section 7.2 and fails to cure such breach within twenty (20) days of receiving written
notice of such breach from Executive. Executive agrees that any violation of this Section 4.1 by Executive, as determined
by a court of law, will result in termination of the Company’s obligations to provide severance benefits under this Agreement
and in the event of such termination, Executive will be required to repay to the Company any such severance benefits previously
received.

 

     

     

    

 

		4.2	Non-Solicitation. Executive
acknowledges that Executive will have extensive contacts with employees and customers of the Company. Accordingly, in consideration
of the mutual promises contained in this Agreement, Executive covenants and agrees that during the term of this Agreement, and
for the Applicable Severance Payout Period following Executive’s Termination Date, Executive will not (i) solicit, raid,
entice or induce any employee of the Company or its Affiliates to leave the employ of the Company or its Affiliates; (ii) interfere
with the relationship of the Company or its Affiliates with any such employees, including, but not limited to, hiring such employee;
or (iii) personally target or solicit customers of the Company or its Affiliates to purchase products or services in competition
with the Company’s or its Affiliates products or services or to terminate a relationship with the Company or its Affiliates.
This Section 4.2 will cease to apply in the event the Company is in breach of any obligations to provide severance benefits
in accordance with Section 7.2 and fails to cure such breach within twenty (20) days of receiving notice of such breach
from Executive. Executive agrees that any violation of this Section 4.2 by Executive, as determined by a court of law,
will result in termination of the Company’s obligations to provide severance benefits hereunder and in the event of such
termination, Executive will be required to repay to the Company any such severance benefits previously received.

 

		4.3	Confidentiality. Executive acknowledges
that Executive will have access to certain information related to the business, operations, future plans and customers of the Company
and its Affiliates, the disclosure or use of which could cause the Company substantial losses and damages. Accordingly, Executive
acknowledges and affirms the terms and conditions of the Confidentiality and Non-Compete Agreement signed by Executive, which is
incorporated by reference. The terms and conditions of Sections 4.1 and 4.2 will take precedence over any non-competition/non-solicitation
provisions contained in the Confidentiality and Non-Compete Agreement.

 

		5.	Outside Activities. Except with the
prior written consent of the Board, Executive will not, while employed by the Company, undertake or engage in any other employment,
occupation, consulting, advisory, or other business enterprise or business activities that would interfere with Executive’s
responsibilities and the performance of Executive’s duties under this Agreement with the exception that engaging in charitable,
civic, community activities and serving of boards of directors of charitable or civic organizations will not constitute interference,
provided the time spent in such activities does not negatively impact Executive’s performance of Executive’s duties
under this Agreement.

 

		6.	No Conflict with Existing Obligations.
Executive represents that Executive’s performance of all the terms of this Agreement and as an executive of the Company does
not and will not breach any agreement or obligation of any kind made prior to Executive’s employment by the Company, including
agreements or obligations Executive may have with prior employers or entities for which Executive has provided services. Executive
has not entered into, and Executive agrees that Executive will not enter into, any agreement or obligation, either written or oral,
that conflicts with Executive’s obligations hereunder.

 

		7.	Termination of Employment. The parties
acknowledge that Executive’s employment relationship with the Company is at-will. Either Executive or the Company may terminate
the employment relationship at any time, with or without Cause. The provisions in this Section 7 govern the amount
of compensation, if any, to be provided to Executive upon termination of Executive’s employment and do not alter Executive’s
at-will status.

 

     

     

    

 

		7.1	Standard Termination Payments.

 

		a.	Salary and Reimbursements. Regardless of the reason for termination, the Company
will pay Executive on the first regularly scheduled payroll date following Executive’s Termination Date any Base Salary accrued
but unpaid as of Executive’s Termination Date, the value of any accrued paid time off unused by Executive as of Executive’s
Termination Date, and any unpaid Expense Reimbursement, so long as the Expense Reimbursement complies with the Company guidelines
for such requests.

 

		b.	Incentive Compensation. In the event Executive’s employment with the Company
terminates for any reason (including death or Disability) before the end of any quarterly or annual performance period on which
the Incentive Compensation is based, Executive will be paid a pro-rata portion of Executive’s Incentive Compensation (based
on the number of days Executive was employed in the applicable quarter with regard to the quarterly Incentive Compensation and
the number of days Executive was employed in the calendar year with respect to the annual Incentive Compensation) of the Incentive
Compensation that is earned for the quarter/year in which Executive’s employment with the Company terminated, such amounts
to be paid on the date the Company would otherwise have paid the Incentive Compensation if Executive’s employment with the
Company had not terminated. If the Incentive Compensation is considered “compensation” for purposes of any Company-sponsored
qualified retirement plan, the right to defer such Incentive Compensation will continue to be governed by such plan or plans, with
the terms of such plan or plans incorporated into this Agreement by reference.

 

		7.2	Severance Benefits ― Termination Without Cause/Resignation
For Good Reason.

 

		a.	Company’s Right to Terminate. The Company will have the right to terminate
Executive’s employment under this Agreement for any of the following reasons:

 

(i)                 
upon Executive’s Disability in accordance with Section 7.5;

(ii)                
for Cause, by giving notice as described in Section 7.6;

(iii)              
without Cause.

 

		b.	Executive’s Right to Terminate. Executive will have the right to resign Executive’s
employment with the Company at any time, as well as following an event constituting Good Reason.

 

		c.	Severance Benefits. In the event that the Company terminates Executive’s employment
without Cause or Executive resigns for Good Reason, Executive will receive, in addition to the Standard Termination Payments, the
following:

 

		(i)	Severance Payments. Provided that Executive delivers to the Company a fully executed
and complete release, without revocation, in favor of the Company and its Affiliates, and in form and substance satisfactory to
the Company (the “Release”) within sixty (60) days of Executive’s Termination Date (the “Execution
Deadline”), the Company will provide to Executive (a) if the Termination Date occurs prior to the one-year anniversary
date of Executive’s employment start date, an amount equal to nine (9) months of Executive’s then-current Base
Salary; or if the Termination Date occurs on or after the one-year anniversary date of employment, an amount equal to twelve
(12) months of Executive’s then-current Base Salary; plus (b) one hundred percent (100%) of the amount of
the Incentive Compensation target (excluding any commission targets) for the calendar year in which the Termination Date occurs
(collectively the “Severance Payments”). The Severance Payments will be payable in equal installment
payments over the nine (9) or twelve (12) month period (“Applicable Severance Payout Period”)
starting retroactively from the Termination Date in accordance with the Company’s regular bi-weekly paydays, or if different,
in accordance with the Company’s customary payroll practices.

 

     

     

    

 

		(ii)	COBRA Benefits. In the event Executive elects continuation coverage pursuant to the
Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”) in accordance with the COBRA materials that will be
provided to Executive by the Company or the Company’s third party COBRA administrator, the Company will pay the Company’s
portion (based upon the Company’s monthly premium subsidy immediately prior to the Termination Date) of Executive’s
COBRA premium for the same medical, dental and vision benefit plan coverage (“Group Health Plan Coverage”)
Executive and Executive’s dependents had as of the Termination Date for the Applicable Severance Payout Period, or until
Executive elects to receive group medical, dental and vision insurance from another source, whichever occurs first. Payment of
COBRA premiums will be made by the Company on Executive’s behalf directly to the Group Health Plan’s COBRA administrator.
Executive will be mailed a COBRA packet at his last known address. Such packet will contain additional information about Executive’s
COBRA rights and responsibilities.

 

		(iii)	Severance Benefits Contingent on Execution of Release. Notwithstanding the foregoing,
any Severance Payments that are otherwise payable before the Execution Deadline will be withheld pending Executive’s execution
and delivery of the Release and will be paid on the payroll date immediately following the Execution Deadline. For the avoidance
of doubt, Executive will forfeit the right to receive any Severance Payments or COBRA Benefits if Executive fails to deliver the
Release by the Execution Deadline. For this forfeiture to take effect, the Release will not materially alter Executive’s
rights to receive any payments or benefits under this Agreement; enlarge Executive’s obligations under this Agreement, including
without limitation, Executive’s covenants of non-competition and non-solicitation; or impose material new obligations on
Executive.

 

		d.	Compliance with Code Section 409A. The Company and Executive intend that (i) payments
under Section 7.2(c)(i) will be made on account of an involuntary separation from service within the meaning of Treasury
Regulation section 1.409A-1(n)(1) or a separation from service for good reason within the meaning of Treasury Regulation section
1.409A-1(n)(2), (ii) amounts paid under Section 7.2(c)(i) constitute separation pay exempt from Internal Revenue
Code Section 409A under Treasury Regulation section 1.409A-1(b)(9)(iii), and (iii) Payments under Section 7.2(c)(ii)
will be exempt from Code Section 409A as a non-taxable fringe benefit to Executive, but neither party will be liable to the
other in the event any such payment receives different tax treatment. In the event any of these payments is determined to be deferred
compensation subject to Internal Revenue Code Section 409A, the payments will comply with Section 7.8.

  

		7.3	Termination Upon Death or Disability of Executive.

 

		a.	Upon Executive’s death while employed pursuant to this Agreement, this Agreement will automatically
terminate.

		b.	Subject to applicable state and federal law, the Company will at all times have the right, upon
thirty (30) days written notice to Executive, to terminate this Agreement based on Executive’s Disability.

		c.	In the event Executive’s employment is terminated due to Executive’s death or Disability,
the Company will pay to Executive or Executive’s heirs or estate all Standard Termination Payments together with any other
compensation and benefits payable to Executive through the Executive’s Termination Date under any compensation or benefit
plan, program or arrangement during such period. In addition, if Executive, or if Executive is deceased, a participant on Executive’s
health insurance plan, elects COBRA coverage, the Company will pay its third party administrator the full cost of COBRA coverage
for twelve (12) months from the Executive’s Termination Date.

 

     

     

    

 

		7.4	Notice; Effective Date of Termination.

 

		a.	Termination of Executive’s employment pursuant to this Agreement will be effective on the
earliest of:

 

		(i)	excluding a termination due to Executive’s death or Disability, the date on which the Company
gives notice to Executive of Executive’s termination, with or without Cause, unless the Company specifies a later date, in
which case, termination will be effective as of such later date;

		(ii)	the date of Executive’s death;

		(iii)	ten (10) days after the Company gives notice to Executive of Executive’s termination on account
of Executive’s Disability; or

		(iv)	thirty (30) days after Executive gives written notice to the Company of Executive’s resignation,
provided that the Company may set a termination date at any time between the date of notice and the 30th day
thereafter (i.e., the effective date of resignation, but for this Section 7.5(a)), in which case the Executive’s
resignation will be effective as of such earlier date (the date on which Executive’s resignation becomes effective, the “Actual
Resignation Effective Date”).

 

		b.	In the event that notice of a termination is given orally, at the other party’s request,
the party giving notice must provide written confirmation of such notice within five (5) business days of the request. In the event
of a termination for Cause, written confirmation will specify the subsection(s) of the definition of Cause being relied on by the
Company to support the decision to terminate for Cause, to afford Executive a reasonable opportunity to effect a cure, if permitted
and possible under the applicable subsections of the definition of Cause. In the event of a resignation for Good Reason, written
confirmation will specify the subsection(s) of the definition of Good Reason being relied on by Executive to support the decision
to resign for Good Reason, to afford the Company a reasonable opportunity to cure under the applicable subsections of the definition
of Good Reason.

 

		7.5	Cooperation With the Company After Termination of
Employment. Notwithstanding anything to the contrary contained herein, payment of the amounts specified in this
Agreement is conditional upon Executive reasonably cooperating with the Company in connection with all matters relating to Executive’s
employment with the Company, assisting the Company as reasonably requested in transitioning Executive’s responsibilities
to Executive’s replacement, and Executive being available to answer questions and provide transition assistance to the Company
through the end of the period during which Severance Benefits are to be paid. Following Executive’s Termination Date, such
assistance will be provided at mutually acceptable times, and in reasonable amounts, taking into account other commitments that
Executive may have. Executive agrees to use Executive’s best efforts to minimize any conflicts with other commitments to
facilitate this assistance. The Company agrees to reimburse Executive for reasonable out of pocket, pre-approved expenses incurred
in providing such assistance.

 

		7.6	Application of Section 280G. In the
event that it is determined that the Severance Benefit payable to Executive pursuant to Section 7 of this Agreement, when
added to any other payment or benefit to Executive from the Company that would be considered a “parachute payment”
(a “Parachute Payment”), within the meaning of section 280G of the Code, would cause Executive to be
considered to receive an “excess parachute payment” within the meaning of section 280G of the Code (an “Excess
Parachute Payment”), the amount payable to Executive pursuant to Section 7 of this Agreement will be reduced
to the maximum amount that, when added to any other Parachute Payments made to Executive, could be paid to Executive without causing
Executive to receive an Excess Parachute Payment. Notwithstanding the foregoing, the Severance Benefit payable to Executive pursuant
to Section 7 of this Agreement will not be reduced if (i) the net amount payable to Executive without the reduction described
in the preceding sentence, but reduced by all Federal, state and local income and employment taxes payable by Executive on the
Severance Benefit payable pursuant to this Agreement and all other Parachute Payments plus the excise tax payable on the Excess
Parachute Payment pursuant to Section 4999 of the Code, is greater than (ii) the net amount that would be payable to Executive
with the reduction described in the preceding sentence and reduced by all Federal, state and local income and employment taxes
payable by Executive on the Severance Benefit payable pursuant to this Agreement and all other Parachute Payments. For purposes
of this Section 7.7, Executive will be deemed to pay Federal income tax and employment taxes at the highest marginal rate
of Federal income and employment taxation in the calendar year in which the Excess Parachute Payment would occur and state and
local income taxes at the highest marginal rate of taxation in the state and locality of Executive’s residence in the calendar
year in which the Excess Parachute Payment would be made, net of the reduction in Federal income taxes that Executive may obtain
from the deduction of such state and local income taxes. In addition, all determinations to be made under this Section 7.7
will be made by the Company’s independent public accountant (the “Accounting Firm”) immediately
before the date the Severance Benefit under Section 7 is to be paid. The Accounting Firm will provide its determinations
and any supporting calculations and work papers both to the Company and to Executive within ten (10) days of such date, and any
such determination by the Accounting Firm will be binding upon the Company and Executive.

 

     

     

    

 

		7.7	Deferred Compensation Subject to Code Section 409A.
Notwithstanding anything to the contrary set forth herein, any payments and benefits provided under this Agreement that constitute
“deferred compensation” within the meaning of Code Section 409A will not commence in connection with Executive’s
termination of employment unless and until Executive has also incurred a “separation from service” (as such term is
defined in Treasury Regulation Section 1.409A-1(h) (“Separation From Service”), unless the Company reasonably
determines that such amounts may be provided to Executive without causing Executive to incur additional tax under Code Section
409A. It is intended that each installment of Severance Benefits provided for in this Agreement is a separate “payment”
for purposes of Treasury Regulation Section 1.409A-2(b)(2)(i). For the avoidance of doubt, it is intended that Severance Benefits
set forth in this Agreement satisfy, to the greatest extent possible, the exceptions from the application of Section 409A provided
under Treasury Regulation Sections 1.409A-1(b)(4), 1.409A-1(b)(5), and 1.409A-1(b)(9). If the Company (or, if applicable, the successor
entity thereto) determines that any payments or benefits constitute “deferred compensation” under Code Section 409A
and Executive is, on the termination of service, a “specified Executive” of the Company or any successor entity thereto,
as such term is defined in Section 409A(a)(2)(B)(i) of the Code, then, solely to the extent necessary to avoid the incurrence of
the adverse personal tax consequences to Executive under Section 409A, the timing of the payments and benefits will be delayed
until the earlier to occur of: (a) the date that is six (6) months and one day after Executive’s Separation From Service,
or (b) the date of Executive’s death (such applicable date, the “Specified Executive Initial Payment Date”).
On the Specified Executive Initial Payment Date, the Company (or the successor entity thereto, as applicable) will (i) pay to Executive
a lump sum amount equal to the sum of the payments and benefits that Executive would otherwise have received through the Specified
Executive Initial Payment Date if the commencement of the payment of such amounts had not been so delayed pursuant to this Section 7.8
and (ii) commence paying the balance of the payments and benefits in accordance with the applicable payment schedules set forth
in this Agreement.

 

		8.	General Provisions.

 

		8.1	Notices. Any notice required or permitted
under this Agreement will be given in writing by delivery in hand, express courier or by postage prepaid, United States first class
mail; registered or certified mail, return receipt requested; facsimile at the party’s specified address; or as otherwise
specified by a party. Notice will be effective upon receipt.

 

		8.2	Right To Injunctive Relief. Executive
agrees and acknowledges that a violation of the covenants contained in Section 4 of this Agreement will cause irreparable
damage to the Company, and that it is and will be impossible to estimate or determine the damage that will be suffered by the Company
in the event of breach by Executive of any such covenant. Therefore, Executive further agrees that, in the event of any violation
or threatened violation of such covenants, the Company will be entitled to an injunction issued by any court of competent jurisdiction
restraining such violation or threatened violation by Executive, such right to an injunction to be cumulative and in addition to
whatever other remedies the Company may have.

 

     

     

    

 

		8.3	Partial Invalidity/Severability/No Amendment Of Existing
Agreements. Executive acknowledges that the periods of time and geographic area of restrictions imposed by Section
4 are fair and reasonable and are reasonably required for the protection of the Company. If any part or parts of Section
4 will be held to be unenforceable or invalid, the remaining parts thereof will nevertheless continue to be valid and enforceable
as though the invalid portion or portions were not a part hereof. If any of the provisions of Section 4 relating to the
scope of restrictions, periods of time or geographic area of restriction will be deemed to exceed the scope of restrictions, maximum
periods of time or area which a court of competent jurisdiction would deem enforceable, the scope of restrictions, time and area
will, for purposes of Section 4, be deemed to be the maximum scope, time periods and area which a court of competent jurisdiction
would deem valid and enforceable. If any other paragraph or subparagraph of this Agreement will be unenforceable under any applicable
law, the remainder of this Agreement will remain in full force and effect. Except as specifically provided herein, nothing in this
Agreement is intended to modify any existing agreements between the Company and Executive with regard to the matters in Section
4.

 

		8.4	Waiver. If either party should waive
any breach of any provisions of this Agreement, such party will not thereby be deemed to have waived any preceding or succeeding
breach of the same or any other provision of this Agreement. It is agreed that no delay or omission to exercise any right, power
or remedy accruing to either party, upon any breach, default or noncompliance by the other party under this Agreement will impair
any such right, power or remedy, nor will it be construed to be a waiver of any such breach, default or noncompliance, or any acquiescence
therein, or of or in any similar breach, default or noncompliance thereafter occurring. It is further agreed that any waiver, permit,
consent or approval of any kind or character on either party’s part of any breach, default or noncompliance under this Agreement
or any waiver on such party’s part of any provisions or conditions of the Agreement must be in writing and will be effective
only to the extent specifically set forth in such writing. All remedies, either under this Agreement by law, or otherwise afforded
to either party, will be cumulative and not alternative.

 

		8.5	Withholding. All amounts payable hereunder
will be reduced by any and all federal, state, and local taxes imposed upon the Executive that are required to be paid or withheld
by the Company.

 

		8.6	Complete Agreement. This Agreement,
your offer letter and the Confidentiality and Non-Compete Agreement constitute the entire agreement between Executive and the Company
with regard to the subject matter hereof. These agreements are the complete, final, and exclusive embodiment of the parties’
agreement with regard to this subject matter and supersede any prior oral discussions or written communications and agreements,
including but not limited to any previous agreements. In the event of a conflict between this Agreement, the offer letter or the
Confidentiality and Non-Compete Agreement, the provisions of this Agreement will control. This Agreement is entered into without
reliance on any promise or representation other than those expressly contained herein, and it cannot be modified or amended except
in writing signed by Executive and an authorized officer of the Company. The parties may enter into separate agreement(s) related
to stock options, stock awards or other matters relative to Executive’s service with the Company or its affiliates. These
separate agreements govern (or may govern) other aspects of the relationship between the parties, have or may have provisions that
survive termination of Executive’s employment under this Agreement, may be amended or superseded by the parties without regard
to this Agreement and are enforceable according to their terms without regard to the enforcement provision of this Agreement.

 

     

     

    

 

		8.7	Counterparts. This Agreement may be
executed in separate counterparts, including facsimile, PDF, or other electronic counterparts, any one of which need not contain
signatures of more than one party, but all of which taken together will constitute one and the same Agreement.

 

		8.8	Headings. The headings of the sections
hereof are inserted for convenience only and will not be deemed to constitute a part hereof nor to affect the meaning thereof.

 

		8.9	Successors and Assigns. The Company
may assign this Agreement and its rights and obligations hereunder in whole, but not in part, to any company or other entity with
or into which the Company may hereafter merge, consolidate, or be acquired by, or to which the Company may transfer all or substantially
all of its assets. Executive may not assign or transfer this Agreement or any rights or obligations hereunder, other than to Executive’s
estate upon Executive’s death.

 

		8.10	Choice of Law / Venue. All questions
concerning the construction, validity and interpretation of this Agreement will be governed by the internal, substantive laws of
the State of Colorado, as applied to agreements made and to be performed solely within the State of Colorado and without regard
to the principles of conflicts of laws of the State of Colorado or of any other jurisdiction that would result in the application
of the laws of any other jurisdiction to this Agreement. Any action brought to enforce this Agreement will be brought in Colorado
in a court of competent jurisdiction.

 

		8.11	Attorneys’ Fees. In any
action brought to enforce this Agreement, the substantially prevailing party in such dispute will be entitled to recover from the
losing party all reasonable fees, costs and expenses of enforcing any right of such substantially prevailing party under or with
respect to this Agreement, including without limitation, such reasonable fees and expenses of attorneys, which will include, without
limitation, all fees, costs and expenses of appeal.Exhibit 10.1

 

COMMERCIAL PAPER DEALER AGREEMENT

4(a)(2) PROGRAM

among

MYLAN N.V.,

as Issuer

MYLAN INC.,

as Guarantor

and

[     ],

as Dealer

	
Concerning Notes to be issued pursuant to an Issuing and Paying Agent Agreement dated as of [      ] between the Issuer and [      ] as Issuing and Paying Agent

Dated as [     ]

Commercial Paper Dealer Agreement

4(a)(2) Program

This agreement (the “Agreement”) sets forth the understandings among the Issuer, the Guarantor and the Dealer, each named on the cover page hereof, in connection with the issuance and sale by the Issuer of its short-term promissory notes (the “Notes”) through the Dealer.

The Guarantor has agreed unconditionally and irrevocably to guarantee payment in full of the principal of and interest (if any) on the Notes, pursuant to a guarantee, dated the date hereof, in the form of Exhibit D hereto (the “Guarantee”).

Certain terms used in this Agreement are defined in Section 6 hereof.

The Addendum to this Agreement, and any Annexes or Exhibits described in this Agreement or such Addendum, are hereby incorporated into this Agreement and made fully a part hereof.

	1.	
Offers, Sales and Resales of Notes.

1.1.            While (i) the Issuer has and shall have no obligation to sell the Notes to the Dealer or to permit the Dealer to arrange any sale of the Notes for the account of the Issuer, and (ii) the Dealer has and shall have no obligation to purchase the Notes from the Issuer or to arrange any sale of the Notes for the account of the Issuer, the parties hereto agree that in any case where the Dealer purchases Notes from the Issuer, or arranges for the sale of Notes by the Issuer, such Notes will be purchased or sold by the Dealer in reliance on the representations, warranties, covenants and agreements of the Issuer and the Guarantor contained herein or made pursuant hereto and on the terms and conditions and in the manner provided herein.

1.2.            So long as this Agreement shall remain in effect, and in addition to the limitations contained in Section 1.7 hereof, neither the Issuer nor the Guarantor shall, without the consent of the Dealer, offer, solicit or accept offers to purchase, or sell, any Notes except (a) in transactions with one or more dealers which may from time to time after the date hereof become dealers with respect to the Notes by executing with the Issuer and the Guarantor one or more agreements which contain provisions substantially similar to those contained in Section 1 of this Agreement, of which the Issuer hereby undertakes to provide the Dealer prompt notice or (b) in transactions with the other dealers listed on the Addendum hereto, which are executing agreements with the Issuer and the Guarantor which contain provisions substantially similar to Section 1 of this Agreement contemporaneously herewith.  In no event shall the Issuer or the Guarantor offer, solicit or accept offers to purchase, or sell, any Notes directly on its own behalf in transactions with persons other than broker-dealers as specifically permitted in this Section 1.2.

1.3.            The Notes shall be in a minimum denomination of $250,000 or integral multiples of $1,000 in excess thereof, will bear such interest rates, if interest bearing, or will be sold at such discount from their face amounts, as shall be agreed upon by the Dealer and the Issuer, shall have a maturity not exceeding 364 days from the date of issuance and may have such terms as are specified in Exhibit C hereto, the Private Placement Memorandum, a pricing supplement, or as otherwise agreed upon by the applicable purchaser and the Issuer.  The Notes shall not contain any provision for extension, renewal or automatic “rollover.”

1.4.            The authentication and issuance of, and payment for, the Notes shall be effected in accordance with the Issuing and Paying Agent Agreement, and the Notes shall be either individual physical certificates or book-entry notes evidenced by one or more Master Notes, in the form or forms annexed to the Issuing and Paying Agent Agreement.

1.5.            If the Issuer and the Dealer shall agree on the terms of the purchase of any Note by the Dealer or the sale of any Note arranged by the Dealer (including, but not limited to, agreement with respect to the date of issue, purchase price, principal amount, maturity and interest rate or interest rate index and margin (in the case of interest-bearing Notes) or discount thereof (in the case of Notes issued on a discount basis), and appropriate compensation for the Dealer’s services hereunder) pursuant to this Agreement, the Issuer shall cause such Note to be issued and delivered in accordance with the terms of the Issuing and Paying Agent Agreement and payment for such Note shall be made by the purchaser thereof, either directly or through the Dealer, to the Issuing and Paying Agent, for the account of the Issuer.  Except as otherwise agreed, in the event that the Dealer is acting as an agent and a purchaser shall either fail to accept delivery of or make payment for a Note on the date fixed for settlement, the Dealer shall promptly notify the Issuer, and if the Dealer has theretofore paid the Issuer for the Note, the Issuer will promptly return such funds to the Dealer against its return of the Note to the Issuer, in the case of a certificated Note, and upon notice of such failure in the case of a book‐entry Note.  If such failure occurred for any reason other than default by the Dealer, the Issuer and the Guarantor agree, jointly and severally, to reimburse the Dealer on an equitable basis for the Dealer’s loss of the use of such funds for the period such funds were credited to the Issuer’s account.

1.6.            The Dealer, the Issuer and the Guarantor hereby establish and agree to observe the following procedures in connection with offers, sales and subsequent resales or other transfers of the Notes:

(a)            Offers and sales of the Notes by or through the Dealer shall be made only to: (i) investors reasonably believed by the Dealer to be Qualified Institutional Buyers or Institutional Accredited Investors and (ii) non-bank fiduciaries or agents that will be purchasing Notes for one or more accounts, each of which is reasonably believed by the Dealer to be a Qualified Institutional Buyer or an Institutional Accredited Investor.

(b)            Resales and other transfers of the Notes by the holders thereof shall be made only in accordance with the restrictions in the legend described in clause (e) below.

(c)            No general solicitation or general advertising shall be used in connection with the offering of the Notes.  Without limiting the generality of the foregoing, without the prior written approval of the Dealer, neither the Issuer nor the Guarantor shall issue any press release, make any other statement to any member of the press making reference to the Notes, the offer or sale of the Notes or this Agreement or place or publish any “tombstone” or other advertisement relating to the Notes or the offer or sale thereof.  To the extent permitted by applicable securities laws, the Issuer and the Guarantor shall (i) omit the name of the Dealer from any publicly available filing by the Issuer or the Guarantor, as the case may be, that makes reference to the Notes, the offer or sale of the Notes or this Agreement and (ii) redact the Dealer’s name and any contact or other information that could identify the Dealer from any agreement or other information included in such filing.  For the avoidance of doubt, the Issuer shall not post the Private

Placement Memorandum on a website without the consent of the Dealer and each other dealer or placement agent, if any, for the Notes.

(d)            No sale of Notes to any one purchaser shall be for less than $250,000 principal or face amount, and no Note shall be issued in a smaller principal or face amount.  If the purchaser is a non-bank fiduciary acting on behalf of others, each person for whom such purchaser is acting must purchase at least $250,000 principal or face amount of Notes.

(e)            Offers and sales of the Notes by the Issuer through the Dealer acting as agent for the Issuer shall be made in accordance with Section 4(a)(2) under the Securities Act and shall be subject to the restrictions described in the legend appearing in Exhibit A hereto.  A legend substantially to the effect of such Exhibit A shall appear as part of the Private Placement Memorandum used in connection with offers and sales of Notes hereunder, as well as on each individual certificate representing a Note and each Master Note representing book-entry Notes offered and sold pursuant to this Agreement.

(f)            The Dealer shall make available to each purchaser of Notes for which it has acted as the Dealer a copy of the then-current Private Placement Memorandum unless a copy of the Private Placement Memorandum as then in effect has previously been made available to such purchaser.  The Private Placement Memorandum shall expressly state that any person to whom Notes are offered shall have an opportunity to ask questions of, and receive information from, the Issuer, the Guarantor and the Dealer and shall provide the names, addresses and telephone numbers of the persons from whom information regarding the Issuer and the Guarantor may be obtained.

(g)            The Issuer agrees for the benefit of the Dealer and each of the holders and prospective purchasers from time to time of the Notes that, if at any time the Issuer shall not be subject to Section 13 or 15(d) of the Exchange Act, the Issuer will furnish, upon request and at its expense, to the Dealer and to holders and prospective purchasers of Notes information required by Rule 144A(d)(4)(i) in compliance with Rule 144A(d).

(h)            In the event that any Note offered or to be offered by the Dealer would be ineligible for resale under Rule 144A, the Issuer shall promptly notify the Dealer (by telephone, confirmed in writing) of such fact and shall promptly prepare and deliver to the Dealer an amendment or supplement to the Private Placement Memorandum describing the Notes that are ineligible, the reason for such ineligibility and any other relevant information relating thereto.

(i)            The Issuer and the Guarantor represent that neither the Issuer nor the Guarantor is currently issuing commercial paper in the United States market in reliance upon the exemption provided by Section 3(a)(3) of the Securities Act. The Issuer and the Guarantor agree that, if the Issuer or the Guarantor shall issue commercial paper after the date hereof in reliance upon such exemption (a) the proceeds from the sale of the Notes will be segregated from the proceeds of the sale of any such commercial paper by being placed in a separate account; (b) the Issuer and the Guarantor will institute appropriate corporate procedures to ensure that the offers and sales of notes issued by the Issuer or the Guarantor, as the case may be, pursuant to the Section 3(a)(3) exemption are not integrated with offerings and sales of Notes hereunder; and (c) the Issuer and the Guarantor  will comply with each of the requirements of Section 3(a)(3) of the Securities

Act in selling commercial paper or other short-term debt securities other than the Notes in the United States.

1.7.            Each of the Issuer and the Guarantor hereby represents and warrants to the Dealer, in connection with offers, sales and resales of Notes, as follows:

(a)            The Issuer and the Guarantor hereby confirm to the Dealer that (except as permitted by Section 1.6(i) hereof) within the preceding six months neither the Issuer nor the Guarantor nor any person other than the Dealer or the other dealers referred to in Section 1.2 hereof acting on behalf of the Issuer or the Guarantor has offered or sold any Notes, or any substantially similar security of the Issuer or the Guarantor (including, without limitation, medium-term notes issued by the Issuer or the Guarantor which could be integrated with the Notes for Securities Act purposes), to, or solicited offers to buy any such security from, any person other than the Dealer or the other dealers referred to in Section 1.2 hereof.  The Issuer and the Guarantor also agree that (except as permitted by Section 1.6(i) hereof), as long as the Notes are being offered for sale by the Dealer and the other dealers referred to in Section 1.2 hereof as contemplated hereby and until at least six months after the offer of Notes hereunder has been terminated, neither the Issuer nor the Guarantor nor any person other than the Dealer or the other dealers referred to in Section 1.2 hereof (except as contemplated by Section 1.2 hereof) will offer the Notes or any substantially similar security of the Issuer for sale to, or solicit offers to buy any such security from, any person other than the Dealer or the other dealers referred to in Section 1.2 hereof, it being understood that such agreement is made with a view to bringing the offer and sale of the Notes within the exemption provided by Section 4(a)(2) of the Securities Act and shall survive any termination of this Agreement.  Each of the Issuer and the Guarantor hereby represents and warrants that it has not taken or omitted to take, and will not take or omit to take, any action that would cause the offering and sale of Notes hereunder to be integrated with any other offering of securities, whether such offering is made by the Issuer or the Guarantor or some other party or parties.

(b)            The Issuer represents and agrees that the proceeds of the sale of the Notes are not currently contemplated to be used for the purpose of buying, carrying or trading securities within the meaning of Regulation T and the interpretations thereunder by the Board of Governors of the Federal Reserve System.  In the event that the Issuer determines to use such proceeds for the purpose of buying, carrying or trading securities, whether in connection with an acquisition of another company or otherwise, the Issuer shall give the Dealer at least five business days’ prior written notice to that effect.  The Issuer shall also give the Dealer prompt notice of the actual date that it commences to purchase securities with the proceeds of the Notes.  Thereafter, in the event that the Dealer purchases Notes as principal and does not resell such Notes on the day of such purchase, to the extent necessary to comply with Regulation T and the interpretations thereunder, the Dealer will sell such Notes either (i) only to offerees it reasonably believes to be Qualified Institutional Buyers or to Qualified Institutional Buyers it reasonably believes are acting for other Qualified Institutional Buyers, in each case in accordance with Rule 144A or (ii) in a manner which would not cause a violation of Regulation T and the interpretations thereunder.

	2.	
Representations and Warranties of the Issuer and the Guarantor.

Each of the Issuer and the Guarantor, as applicable, represents and warrants as to itself that:

2.1.            The Issuer has been validly incorporated and is validly existing as a public limited liability company (naamloze vennootschap) under the laws of the Netherlands and has the corporate power and authority to execute, deliver and perform its obligations under the Notes, this Agreement and the Issuing and Paying Agent Agreement.

2.2.            The Guarantor is a corporation duly registered and subsisting under the laws of the jurisdiction of its incorporation and has all the requisite power and authority to execute, deliver and perform its obligations under the Guarantee, this Agreement and the Issuing and Paying Agent Agreement.

2.3.            This Agreement and the Issuing and Paying Agent Agreement have been duly authorized, executed and delivered by the Issuer and the Guarantor and constitute legal, valid and binding obligations of the Issuer and the Guarantor enforceable against the Issuer and the Guarantor in accordance with their terms subject to applicable bankruptcy, insolvency, reorganization, moratorium and similar laws affecting creditors’ rights generally, and subject, as to enforceability, to general principles of equity (regardless of whether enforcement is sought in a proceeding in equity or at law) and except as enforceability of the indemnification provisions of this Agreement may be limited by federal securities laws.

2.4.            The Notes have been duly authorized, and when issued and delivered as provided in the Issuing and Paying Agent Agreement, will be duly and validly issued and delivered and will constitute legal, valid and binding obligations of the Issuer enforceable against the Issuer in accordance with their terms subject to applicable bankruptcy, insolvency, reorganization, moratorium and similar laws affecting creditors’ rights generally, and subject, as to enforceability, to general principles of equity (regardless of whether enforcement is sought in a proceeding in equity or at law).

2.5.            The Guarantee has been duly authorized, and when the Notes have been issued and delivered as provided in the Issuing and Paying Agent Agreement, will be duly executed and delivered by the Guarantor and constitute the legal, valid and binding obligation of the Guarantor enforceable against the Guarantor in accordance with its terms subject to applicable bankruptcy, insolvency, reorganization, moratorium and similar laws affecting creditors’ rights generally, and subject, as to enforceability, to general principles of equity (regardless of whether enforcement is sought in a proceeding in equity or at law).

2.6.            The offer and sale of the Notes and the issuance of the Guarantee in the manner contemplated hereby do not require registration of the Notes or the Guarantee under the Securities Act, pursuant to the exemption from registration contained in Section 4(a)(2) thereof, and no indenture in respect of the Notes or the Guarantee is required to be qualified under the Trust Indenture Act of 1939, as amended.

2.7.            The Notes and the Guarantee will rank at least pari passu with all other unsecured and unsubordinated indebtedness of the Issuer and the Guarantor, respectively, except indebtedness owing to creditors whose claims are mandatorily preferred by laws of general application.

2.8.            No consent or action of, or filing or registration with, any governmental or public regulatory body or authority, including the SEC, is required to authorize, or is otherwise required

in connection with the execution, delivery or performance of, this Agreement, the Notes, the Guarantee or the Issuing and Paying Agent Agreement, except as may be required by the securities or Blue Sky laws of the various states in connection with the offer and sale of the Notes; and except for (i) the approvals, consents, registrations, actions and filings which have been duly obtained, taken, given or made and are in full force and effect and (ii) those approvals, consents, registrations or other actions or filings, the failure of which to obtain or make could not, individually or in the aggregate, reasonably be expected to have a material adverse effect on the condition (financial or otherwise) or results of operations of the Issuer and its subsidiaries (including the Guarantor), taken as a whole, or the ability of the Issuer or the Guarantor to perform its obligations under this Agreement, the Notes, the Guarantee or the Issuing and Paying Agent Agreement.

2.9.            Neither the execution and delivery of this Agreement, the Guarantee, and the Issuing and Paying Agent Agreement, nor the issuance and delivery of the Notes in accordance with the Issuing and Paying Agent Agreement, nor the fulfillment of or compliance with the terms and provisions hereof or thereof by the Issuer or the Guarantor, will (i) result in the creation or imposition of any mortgage, lien, charge or encumbrance of any nature whatsoever upon any of the properties or assets of the Issuer or the Guarantor, or (ii) violate or result in a breach or a default under (A) any of the terms of the charter documents or by-laws of the Issuer or the Guarantor, (B) any indenture, agreement or other instrument binding upon the Issuer or the Guarantor or their respective assets, or give rise to a right thereunder to require any payment to be made by the Issuer or the Guarantor or (C) any applicable law, statute, rule, regulation, judgment, order, writ or decree of any government, government instrumentality or court, domestic or foreign, to which the Issuer or the Guarantor is subject or by which it or its property is bound, which creation or imposition with respect to this Section 2.9(i) or violation, breach or default with respect to this Section 2.9(ii)(B) or (C) would, individually or in the aggregate, reasonably be expected to have a material adverse effect on the condition (financial or otherwise) or results of operations of the Issuer and its subsidiaries (including the Guarantor), taken as a whole, that would affect the ability of the Issuer or the Guarantor to perform its obligations under this Agreement, the Notes, the Guarantee or the Issuing and Paying Agent Agreement.

2.10.            Except as disclosed in any periodic or current report of the Issuer filed with the EDGAR system of the Securities and Exchange Commission, there is no litigation or governmental proceeding pending, or to the knowledge of the Issuer or the Guarantor threatened, against or affecting the Issuer or the Guarantor or any of their subsidiaries, individually or in the aggregate, as to which there is a reasonable possibility of an adverse determination that would reasonably be expected to result in a material adverse change in the condition (financial or otherwise) or results of operations of the Issuer and its subsidiaries (including the Guarantor), taken as a whole, that would affect the ability of the Issuer or the Guarantor to perform its obligations under this Agreement, the Notes, the Guarantee or the Issuing and Paying Agent Agreement.

2.11.            Neither the Issuer nor the Guarantor is required to register as an “investment company” as defined in the Investment Company Act of 1940, as amended.

2.12.            Neither the Private Placement Memorandum (excluding Dealer Information) nor the Company Information contains any untrue statement of a material fact or omits to state a material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading.

2.13.            The Issuer, the Guarantor and each of their respective subsidiaries are in compliance, in all material respects, with the Patriot Act. No part of the proceeds of the Notes will be used, directly or indirectly, for any payments to any governmental official or employee, political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt Practices Act of 1977, as amended.

2.14.            Neither the Issuer, the Guarantor nor any of their respective subsidiaries are (i) a Person whose name appears on the list of Specially Designated Nationals and Blocked Persons published by OFAC (an “OFAC Listed Person”) or a Person sanctioned by the United States of America pursuant to any of the regulations administered or enforced by OFAC (31 C.F.R., Subtitle B, Chapter V, as amended) or a Person whose name appears on any economic sanctions list administered by the European Union (an “EU Listed Person”) or a Person that is the target of European Union economic sanctions; or (ii) a department, agency or instrumentality of, or is otherwise controlled by or acting on behalf of, directly or indirectly, (x) any OFAC Listed Person or any EU Listed Person, or (y) the government of a country that is the subject of comprehensive U.S. economic sanctions administered by OFAC (collectively, “OFAC Countries”).

2.15.            The Issuer represents and covenants that neither the Notes, nor the proceeds from the Notes, will be used, to lend, contribute, provide or has otherwise been made or will otherwise be made available for the purpose of funding any activity or business in any OFAC Countries or for the purpose of funding any prohibited activity or business of any Person located, organized or residing in any OFAC Country or who is an OFAC Listed Person or an EU Listed Person, absent valid and effective license and permits issued by the government of the United States or otherwise in accordance with applicable Laws, or in any other manner that will result in any violation by any Dealer of the sanctions administered or enforced by OFAC (31 C.F.R., Subtitle B, Chapter V, as amended).

2.16.            Each (a) issuance of Notes by the Issuer hereunder and (b) amendment or supplement of the Private Placement Memorandum shall be deemed a representation and warranty by each of the Issuer and the Guarantor, as applicable, to the Dealer, as of the date thereof, that, both before and after giving effect to such issuance and after giving effect to such amendment or supplement, (i) the representations and warranties given by the Issuer and the Guarantor set forth in this Section 2 remain true and correct on and as of such date as if made on and as of such date, (ii) in the case of an issuance of Notes, since the date of the most recent Private Placement Memorandum, there has been no material adverse change in the condition (financial or otherwise), results of operations, business affairs or business prospects of the Issuer and its subsidiaries (including the Guarantor), taken as a whole, that would affect the ability of the Issuer or the Guarantor to perform its obligations under this Agreement, the Notes, the Guarantee or the Issuing and Paying Agent Agreement, which has not been disclosed to the Dealer in writing (provided that, to the extent any such change is described in reasonable detail in any periodic or current report of the Issuer filed with the EDGAR system of the Securities and Exchange Commission on a timely basis, the Dealer shall be deemed to be notified in accordance herewith) and (iii) neither the Issuer nor the Guarantor is in default of any of its obligations hereunder, under the Notes, the Guarantee or the Issuing and Paying Agent Agreement.

2.17.            The Issuer has the power to submit, and pursuant to Section 7.3 hereof has, to the extent permitted by law, legally, validly, effectively and irrevocably submitted, to the jurisdiction of the courts specified in Section 7.3.

2.18.            Under Netherlands law, neither the Issuer nor any of its revenues, assets or properties has any right of immunity from service of process or from the jurisdiction of competent courts of the Netherlands or the United States or the State of New York in connection with any suit, action or proceeding, attachment prior to judgment, attachment in aid of execution of a judgment or execution of a judgment or from any other legal process with respect to its obligations under this Agreement, the Issuing and Paying Agent Agreement or the Notes.

2.19.            The Issuer is permitted to make all payments under this Agreement, the Issuing and Paying Agent Agreement and the Notes to persons that are non-residents of the Netherlands or United Kingdom, free and clear of and without deduction or withholding for or on account of any taxes or other governmental charges imposed by the Netherlands or the United Kingdom.  There is no stamp or documentary tax or other charge (other than court fees) payable in the Netherlands or the United Kingdom in connection with the execution, delivery, issuance, payment, performance, enforcement or introduction into evidence in a court of the Netherlands or the United Kingdom of this Agreement, the Issuing and Paying Agent Agreement or any Note.

2.20.            The choice of New York law to govern this Agreement, the Issuing and Paying Agent Agreement, the Guarantee and the Notes is, under Netherlands law, a valid, effective and irrevocable choice of law, subject to the limitations of the Regulation (EC) No 593/2008 of the European Parliament and of the Council of 17 June 2008 on the law applicable to contractual obligations (“Rome I”), and the submission by the Issuer in Section 7.3 of this Agreement to the jurisdiction of the courts of the United States District Court and the State of New York located in the Borough of Manhattan is valid and binding upon the Issuer under Netherlands law, subject to the Council Regulation (EC) No. 1215/2012 of 12 December 2012 on Jurisdiction and the Recognition and Enforcement of Judgments in Civil and Commercial Matters (Recast) and the rules and regulations promulgated pursuant thereto (the “Recast Enforcement Regulation”), the Convention of 30 October 2007 on Jurisdiction and the Recognition and Enforcement of Judgments in Civil and Commercial Matters (the “Lugano II Convention”), and any instrument or national legislation referred to in Article 67 of the Recast Enforcement Regulation or the Lugano II Convention, and limited exceptions contained in the Netherlands Code of Civil Procedure (Wetboek van Burgerlijke Rechtsvordering).

2.21.            Any final judgment rendered by a competent court of the United States or the State of New York in an action to enforce the obligations of the Issuer under this Agreement, the Issuing and Paying Agent Agreement or the Notes is capable of being enforced in the courts of the Netherlands; provided that in the absence of an enforcement treaty between the Netherlands and the United States, a judgment of a United States court would not automatically be recognized or enforceable in the Netherlands and consequently the dispute would have to be re-litigated before the competent Netherlands court in order to obtain a judgment in respect of this Agreement that can be enforced in the Netherlands against the Issuer.

2.22.            As a condition to the admissibility in evidence of this Agreement, the Issuing and Paying Agent Agreement or the Notes in the courts of the Netherlands, it is not necessary that this Agreement, the Issuing and Paying Agent Agreement or the Notes be filed or recorded with any court or other authority.

	3.	
Covenants and Agreements of the Issuer and the Guarantor.

Each of the Issuer and the Guarantor, as applicable, covenants and agrees as to itself that:

3.1.            The Issuer will give the Dealer prompt notice (but in any event prior to any subsequent issuance of Notes hereunder) of any amendment to, modification of or waiver with respect to, the Notes, the Guarantee or the Issuing and Paying Agent Agreement, including a complete copy of any such amendment, modification or waiver.

3.2.            The Issuer and the Guarantor shall, whenever there shall occur any downgrading or receipt of any notice of intended or potential downgrading or any review for potential change in the rating accorded any of the securities of the Issuer or the Guarantor by any nationally recognized statistical rating organization which has published a rating of the Notes, promptly, and in any event prior to any subsequent issuance of Notes hereunder, notify the Dealer (by telephone, confirmed in writing) of such occurrence.

3.3.            The Issuer and the Guarantor shall from time to time furnish to the Dealer such publicly released information with respect to the Issuer or the Guarantor as the Dealer may reasonably request, including, without limitation, any press releases or other publicly released material provided by the Issuer or the Guarantor to any national securities exchange or rating agency, regarding (i) the operations and financial condition of the Issuer or the Guarantor, (ii) the due authorization and execution of the Notes and the Guarantee, (iii) the Issuer’s ability to pay the Notes as they mature and (iv) the Guarantor’s ability to fulfill its obligations under the Guarantee; provided that, to the extent any such publicly released information is filed with the EDGAR system of the Securities and Exchange Commission or posted on the website of the Company or the Guarantor, such material shall be deemed to be furnished to the Dealer in accordance herewith.

3.4.            The Issuer and the Guarantor will take all such action as the Dealer may from time to time reasonably request to ensure that each offer and each sale of the Notes in the manner contemplated hereby will comply with any applicable state Blue Sky laws; provided, however, that neither the Issuer nor the Guarantor shall be obligated to file any general consent to service of process or to qualify as a foreign corporation in any jurisdiction in which it is not so qualified or subject itself to taxation in respect of doing business in any jurisdiction in which it is not otherwise so subject.

3.5.            [Reserved].

3.6.            Prior to the first issuance of Notes hereunder and, upon the reasonable request of the Dealer, upon each amendment or modification to this Agreement, including each amendment or modification to the Addendum or any Exhibits hereto, the Dealer shall receive (a) opinions of counsel to the Issuer and the Guarantor, addressed to the Dealer, reasonably satisfactory in form and substance to the Dealer, (b) a copy of the executed Issuing and Paying Agent Agreement as then in effect, (c) a copy of the executed Guarantee, (d) a certificate of the secretary, assistant secretary or other designated officer of the Issuer and the Guarantor certifying as to (i) the Issuer’s and the Guarantor’s organizational documents, and attaching true, correct and complete copies thereof, (ii) the Issuer’s and the Guarantor’s representations and warranties being true and correct in all material respects and (iii) the incumbency of the officers of the Issuer and the Guarantor authorized to execute and deliver this Agreement, the Issuing and Paying Agent Agreement, the Notes, and the Guarantee (in the case of the Guarantor) and take other action on

behalf of the Issuer and the Guarantor in connection with the transactions contemplated thereby, (e) prior to the issuance of any book-entry Notes represented by a master note registered in the name of DTC or its nominee, a copy of the executed Letter of Representations among the Issuer, the Guarantor, the Issuing and Paying Agent and DTC and of the executed master note, (f) prior to the issuance of any Notes in physical form, a copy of such form (unless attached to this Agreement or the Issuing and Paying Agent Agreement), (g) confirmation of the then current rating assigned to the Notes by each nationally recognized statistical rating organization then rating the Notes, and (h) such other certificates, opinions, letters and documents as the Dealer shall have reasonably requested.

3.7.            The Issuer and the Guarantor, jointly and severally, shall reimburse the Dealer for all of the Dealer’s reasonable out-of-pocket expenses related to this Agreement, including expenses incurred in connection with its preparation and negotiation, and the transactions contemplated hereby (including, but not limited to, the printing and distribution of the Private Placement Memorandum), and, if applicable, for the reasonable fees and out-of-pocket expenses of the Dealer’s counsel.

3.8.            Neither the Issuer nor the Guarantor shall file a Form D (as referenced in Rule 503 under the Securities Act) at any time in respect of the offer or sale of the Notes.

3.9.            Without limiting any obligation of the Issuer or the Guarantor pursuant to this Agreement to provide the Dealer with credit and financial information, the Issuer and the Guarantor hereby acknowledge and agree that the Dealer may share the Company Information and any other information or matters relating to the Issuer, the Guarantor or the transactions contemplated hereby with affiliates of the Dealer and that such affiliates may likewise share information relating to the Issuer, the Guarantor or such transactions with the Dealer.

	4.	
Disclosure.

4.1.            The Private Placement Memorandum and its contents (other than the Dealer Information) shall be the sole responsibility of the Issuer and the Guarantor.  The Private Placement Memorandum shall contain a statement expressly offering an opportunity for each prospective purchaser to ask questions of, and receive answers from, the Issuer and the Guarantor concerning the offering of Notes and to obtain relevant additional information which the Issuer or the Guarantor, as the case may be, possesses or can acquire without unreasonable effort or expense.

4.2.            Each of the Issuer and the Guarantor agrees to promptly furnish the Dealer with the Company Information as it becomes available; provided that the public filing of the Issuer or the Guarantor of Company Information with the EDGAR system of the Securities and Exchange Commission shall be deemed to satisfy the requirements of this Section 4.2, with respect to such publicly filed information.

4.3.            (a)  Each of the Issuer and the Guarantor further agrees to notify the Dealer promptly upon the occurrence of any event relating to or affecting the Issuer or the Guarantor that would cause the Company Information then in existence to include an untrue statement of a material fact or to omit to state a material fact necessary in order to make the statements contained therein, in light of the circumstances under which they are made, not misleading.

(b)            In the event that the Issuer or the Guarantor gives the Dealer notice pursuant to Section 4.3(a) and the Dealer notifies the Issuer that it then has Notes it is holding in inventory, the Issuer and the Guarantor shall promptly supplement or amend the Private Placement Memorandum so that the Private Placement Memorandum, as amended or supplemented, shall not contain an untrue statement of a material fact or omit to state a material fact necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading, and the Issuer and the Guarantor shall make such supplement or amendment available to the Dealer.

(c)            In the event that (i) the Issuer or the Guarantor gives the Dealer notice pursuant to Section 4.3(a), (ii) the Dealer does not notify the Issuer that it is then holding Notes in inventory and (iii) the Issuer and the Guarantor choose not to promptly amend or supplement the Private Placement Memorandum in the manner described in clause (b) above, then all solicitations and sales of Notes shall be suspended until such time as the Issuer and the Guarantor have so amended or supplemented the Private Placement Memorandum, and made such amendment or supplement available to the Dealer.

	5.	
Indemnification and Contribution.

5.1.            The Issuer and the Guarantor, jointly and severally, will indemnify and hold harmless the Dealer, and each of its respective affiliates, directors, officers and employees, and each person, if any, who controls the Dealer within the meaning of the Securities Act and the Exchange Act (hereinafter the “Indemnitees”) against any losses, claims, damages or liabilities (or actions in respect thereof) (each a “Claim”), imposed upon, incurred by or asserted against the Indemnitees arising out of or based upon (i) any allegation that the Private Placement Memorandum, the Company Information or any information provided by the Issuer or the Guarantor to the Dealer included (as of any relevant time) or includes an untrue statement of a material fact or omitted (as of any relevant time) or omits to state any material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading or (ii) the breach by the Issuer or the Guarantor of any agreement, covenant or representation made in or pursuant to this Agreement.  The indemnification provided for in clause (i) of the immediately preceding sentence shall not apply to the extent that the Claim arises out of or is based upon Dealer Information, and the indemnification provided for in clause (ii) of the immediately preceding sentence shall not apply to the extent that the Claim shall have been finally judicially determined by a court of competent jurisdiction to have resulted from the gross negligence or willful misconduct of the Dealer in the performance of, or the failure to perform, its obligations under this Agreement.

5.2.            Provisions relating to claims made for indemnification under this Section 5 are set forth in Exhibit B to this Agreement.

5.3.            In order to provide for just and equitable contribution in circumstances in which the indemnification provided for in this Section 5 is held to be unavailable or insufficient to hold harmless the Indemnitees, although applicable in accordance with the terms of this Section 5, the Issuer and the Guarantor, jointly and severally, shall contribute to the aggregate costs incurred by the Dealer in connection with any Claim in the proportion of the respective economic interests of the Issuer and the Guarantor, on the one hand, and the Dealer, on the other hand; provided, however, that such contribution by the Issuer and the Guarantor shall be in an amount such that the aggregate costs incurred by the Dealer do not exceed the aggregate of the commissions and

fees earned by the Dealer hereunder with respect to the issue or issues of Notes to which such Claim relates. The respective economic interests shall be calculated by reference to the aggregate proceeds to the Issuer of the Notes issued hereunder and the aggregate commissions and fees earned by the Dealer hereunder. The relative fault of the Issuer, the Guarantor and the Dealer shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Issuer, the Guarantor or, with respect to the Dealer Information, the Dealer, and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission.

	6.	
Definitions.

6.1.            “Claim” shall have the meaning set forth in Section 5.1.

6.2.            “Company Information” at any given time shall mean the Private Placement Memorandum together with, to the extent applicable, (i) the Issuer’s most recent report on Form 10-K filed with the SEC and each report on Form 10-Q or 8-K filed by the Issuer with the SEC since the most recent Form 10-K, (ii) the Issuer’s and the Guarantor’s most recent annual audited financial statements and each interim financial statement or report prepared subsequent thereto, if not included in item (i) above, (iii) the Issuer’s and the Guarantor’s and their affiliates’ other publicly available recent reports, including, but not limited to, any publicly available filings or reports provided to their respective shareholders, (iv) any other information or disclosure prepared pursuant to Section 4.3 hereof and (v) any information prepared or approved by the Issuer or the Guarantor for dissemination to investors or potential investors in the Notes.

6.3.            “Current Issuing and Paying Agent” shall have the meaning set forth in Section 7.9(i).

6.4.            “Dealer Information” shall mean the information in the first two paragraphs under the caption “The Placement Agent” in the Private Placement Memorandum.

6.5.            “DTC” shall mean The Depository Trust Company.

6.6.            “Exchange Act” shall mean the U.S. Securities Exchange Act of 1934, as amended.

6.7.            “EU Listed Person” shall have the meaning set forth in Section 2.14.

6.8.            “Indemnitee” shall have the meaning set forth in Section 5.1.

6.9.            “Institutional Accredited Investor” shall mean an institutional investor that is an accredited investor within the meaning of Rule 501 under the Securities Act and that has such knowledge and experience in financial and business matters that it is capable of evaluating and bearing the economic risk of an investment in the Notes, including, but not limited to, a bank, as defined in Section 3(a)(2) of the Securities Act, or a savings and loan association or other institution, as defined in Section 3(a)(5)(A) of the Securities Act, whether acting in its individual or fiduciary capacity.

6.10.            “Issuing and Paying Agent Agreement” shall mean the issuing and paying agent agreement described on the cover page of this Agreement, or any replacement thereof, as such agreement may be amended or supplemented from time to time.

6.11.            “Issuing and Paying Agent” shall mean the party designated as such on the cover page of this Agreement, or any successor thereto or replacement thereof designated in accordance with Section 7.9, as issuing and paying agent under the Issuing and Paying Agent Agreement.

6.12.            “Lugano II Convention” shall have the meaning set forth in Section 2.20.

6.13.            “Master Note” shall mean a master note registered in the name of the DTC or its nominee.

6.14.            “Non-bank fiduciary or agent” shall mean a fiduciary or agent other than (a) a bank, as defined in Section 3(a)(2) of the Securities Act, or (b) a savings and loan association, as defined in Section 3(a)(5)(A) of the Securities Act.

6.15.            “OFAC” shall mean the Office of Foreign Assets Control of the United States Department of the Treasury.

6.16.            “OFAC Listed Person” shall have the meaning set forth in Section 2.14.

6.17.            “OFAC Countries” shall have the meaning set forth in Section 2.14.

6.18.            “Outstanding Notes” shall have the meaning set forth in Section 7.9(ii).

6.19.            “Patriot Act” shall mean the Bank Secrecy Act of 1970, as amended by the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)).

6.20.            “Private Placement Memorandum” shall mean offering materials prepared in accordance with Section 4 (including materials referred to therein or incorporated by reference therein, if any) provided to purchasers and prospective purchasers of the Notes, and shall include amendments and supplements thereto which may be prepared from time to time in accordance with this Agreement (other than any amendment or supplement that has been completely superseded by a later amendment or supplement).

6.21.            “Qualified Institutional Buyer” shall have the meaning assigned to that term in Rule 144A under the Securities Act.

6.22.            “Recast Enforcement Regulation” shall have the meaning set forth in Section 2.20.

6.23.            “Replacement” shall have the meaning set forth in Section 7.9(i).

6.24.            “Replacement Issuing and Paying Agent Agreement” shall have the meaning set forth in Section 7.9(i).

6.25.            “Replacement Issuing and Paying Agent” shall have the meaning set forth in Section 7.9(i).

6.26.            “Rule 144A” shall mean Rule 144A under the Securities Act.

6.27.            “SEC” shall mean the U.S. Securities and Exchange Commission.

6.28.            “Securities Act” shall mean the U.S. Securities Act of 1933, as amended.

	7.	
General.

7.1.            Unless otherwise expressly provided herein, all notices under this Agreement to parties hereto shall be in writing and shall be effective when received at the address of the respective party set forth in the Addendum to this Agreement.

7.2.            This Agreement shall be governed by and construed in accordance with the laws of the State of New York, without regard to its conflict of laws provisions.

7.3.            (a) Each party hereto agrees that any suit, action or proceeding brought by one party against the other party in connection with or arising out of this Agreement or the Notes or the offer and sale of the Notes shall be brought solely in the United States federal courts located in the Borough of Manhattan or the courts of the State of New York located in the Borough of Manhattan.  EACH OF THE DEALER, THE ISSUER AND THE GUARANTOR WAIVES ITS RIGHT TO TRIAL BY JURY IN ANY SUIT, ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

(b)            The Issuer hereby irrevocably accepts and submits to the non exclusive jurisdiction of each of the aforesaid courts in personam, generally and unconditionally, for itself and in respect of its properties, assets and revenues, with respect to any suit, action or proceeding in connection with or arising out of this Agreement or the Notes or the offer and sale of the Notes.

(c)            The Issuer hereby irrevocably designates, appoints and empowers the Guarantor, with offices at the address specified for the Guarantor in paragraph 4 above, as its designee, appointee and agent to receive, accept and acknowledge for and on its behalf, and its properties, assets and revenues, service for any and all legal process, summons, notices and documents which may be served in any such action, suit or proceeding brought in the courts listed in Section 7.3(a) which may be made on such designee, appointee and agent in accordance with legal procedures prescribed for such courts, with respect to any suit, action or proceeding in connection with or arising out of this Agreement, the Guarantee or the Notes or the offer and sale of the Notes.  If for any reason such designee, appointee and agent hereunder shall cease to be available to act as such, the Issuer agrees to designate a new designee, appointee and agent in The City of New York on the terms and for the purposes of this Section 7.3 satisfactory to the Dealer.  The Issuer further hereby irrevocably consents and agrees to the service of any and all legal process, summons, notices and documents out of any of the aforesaid courts in any such action, suit or proceeding by serving a copy thereof upon the agent for service of process referred to in this Section 7.3 (whether or not the appointment of such agent shall for any reason prove to be ineffective or such agent shall accept or acknowledge such service) or by mailing copies thereof by registered or certified airmail, postage prepaid, to it at its address specified in or designated pursuant to this Agreement.  The Issuer agrees that the failure of any such designee, appointee and agent to give any notice of such service to it shall not impair or affect in any way the validity of such service or any

judgment rendered in any action or proceeding based thereon.  Nothing herein shall in any way be deemed to limit the ability of the holders of any Notes or the Dealer to serve any such legal process, summons, notices and documents in any other manner permitted by applicable law or to obtain jurisdiction over the undersigned or bring actions, suits or proceedings against the undersigned in such other jurisdictions, and in such other manner, as may be permitted by applicable law.  The Issuer hereby irrevocably and unconditionally waives any objection which it may now or hereafter have to the laying of venue of any of the aforesaid actions, suits or proceedings arising out of or in connection with this Agreement brought in the courts listed in Section 7.3(a) and hereby further irrevocably and unconditionally waives and agrees not to plead or claim in any such court that any such action, suit or proceeding brought in any such court has been brought in an inconvenient forum.

(d)            To the extent that the Issuer or any of its properties, assets or revenues may have or may hereafter become entitled to, or have attributed to it, any right of immunity, on the grounds of sovereignty or otherwise, from any legal action, suit or proceeding in connection with or arising out of this Agreement, the Guarantee, the Notes or the offer and sale of the Notes, from the giving of any relief in any thereof, from setoff or counterclaim, from the jurisdiction of any court, from service of process, from attachment upon or prior to judgment, from attachment in aid of execution of judgment, or from execution of judgment, or other legal process or proceeding for the giving of any relief or for the enforcement of any judgment, in any jurisdiction in which a proceeding may at any time be commenced, with respect to its obligations, liabilities or any other matter under or arising out of or in connection with this Agreement, the Issuing and Paying Agent Agreement or the Notes, the Issuer hereby irrevocably and unconditionally waives, and agrees for the benefit of the Dealer and any holder from time to time of the Notes not to plead or claim, any such immunity, and consents to such relief and enforcement.

7.4.            This Agreement may be terminated, at any time, by the Issuer, upon one business day’s prior notice to such effect to the Dealer, or by the Dealer upon one business day’s prior notice to such effect to the Issuer.  Any such termination, however, shall not affect the obligations of the Issuer and the Guarantor under Sections 3.7, 5 and 7.3 hereof or the respective representations, warranties, agreements, covenants, rights or responsibilities of the parties made or arising prior to the termination of this Agreement.

7.5.            This Agreement is not assignable by any party hereto without the written consent of the other parties; provided, however, that the Dealer may assign its rights and obligations under this Agreement to any affiliate of the Dealer. Any purported assignment made in contravention of the immediately preceding sentence shall be null and void and of no effect whatsoever.

7.6.            This Agreement may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.

7.7.            Except as provided in Section 5 with respect to non-party Indemnitees, this Agreement is for the exclusive benefit of the parties hereto, and their respective permitted successors and assigns hereunder, and shall not be deemed to give any legal or equitable right, remedy or claim to any other person whatsoever; provided, however, that Sections 7.3(b) through

(d) and Section 7.8 are hereby specifically and exclusively acknowledged to also be for the benefit of the holders from time to time of the Notes, as third-party beneficiaries.

7.8.            Each of the Issuer and the Guarantor acknowledges and agrees that (i) purchases and sales, or placements, of the Notes pursuant to this Agreement, including the determination of any prices for the Notes and Dealer compensation, are arm’s-length commercial transactions between the Issuer and the Guarantor, on the one hand, and the Dealer, on the other, (ii) in connection therewith and with the process leading to such transactions, the Dealer is acting solely as a principal and not the agent (except to the extent explicitly set forth herein) or fiduciary of the Issuer, the Guarantor or any of their respective affiliates, (iii) the Dealer has not assumed an advisory or fiduciary responsibility in favor of the Issuer, the Guarantor or any of their respective affiliates with respect to the offering contemplated hereby or the process leading thereto (irrespective of whether the Dealer has advised or is currently advising the Issuer, the Guarantor or any of their respective affiliates on other matters) or any other obligation to the Issuer, the Guarantor or any of their respective affiliates except the obligations expressly set forth in this Agreement, (iv) each of the Issuer and the Guarantor is capable of evaluating and understanding and understands and accepts the terms, risks and conditions of the transactions contemplated by this Agreement, (v) the Dealer and its affiliates may be engaged in a broad range of transactions that involve interests that differ from those of the Issuer and the Guarantor and that the Dealer has no obligation to disclose any of those interests by virtue of any advisory or fiduciary relationship, (vi) the Dealer has not provided any legal, accounting, regulatory or tax advice with respect to the transactions contemplated hereby, and (vii) each of the Issuer and the Guarantor has consulted its own legal and financial advisors to the extent it deemed appropriate.  Each of the Issuer and the Guarantor agrees that it will not claim that the Dealer has rendered advisory services of any nature or respect, or owes a fiduciary or similar duty to the Issuer or the Guarantor in connection with such transactions or the process leading thereto.  Any review by the Dealer of the Issuer, the Guarantor, the transactions contemplated hereby or other matters relating to such transactions shall be performed solely for the benefit of the Dealer and shall not be on behalf of the Issuer or the Guarantor.  This Agreement supersedes all prior agreements and understandings (whether written or oral) between the Issuer, the Guarantor and the Dealer (or any of them) with respect to the issuance and sale of Notes by the Dealer.  Each of the Issuer and the Guarantor hereby waives and releases, to the fullest extent permitted by law, any claims it may have against the Dealer with respect to any breach or alleged breach of fiduciary duty arising out of this Agreement.

7.9.            (i)  The parties hereto agree that the Issuer may, in accordance with the terms of this Section 7.9, from time to time replace the party which is then acting as Issuing and Paying Agent (the “Current Issuing and Paying Agent”) with another party (such other party, the “Replacement Issuing and Paying Agent”), and enter into an agreement with the Replacement Issuing and Paying Agent covering the provision of issuing and paying agent functions in respect of the Notes by the Replacement Issuing and Paying Agent (the “Replacement Issuing and Paying Agent Agreement”) (any such replacement, a “Replacement”).

(ii)            From and after the effective date of any Replacement, (A) to the extent that the Issuing and Paying Agent Agreement provides that the Current Issuing and Paying Agent will continue to act in respect of Notes outstanding as of the effective date of such Replacement (the “Outstanding Notes”), then (i) the “Issuing and Paying Agent” for the Notes shall be deemed to be the Current Issuing and Paying Agent, in respect of the Outstanding Notes, and the Replacement Issuing and Paying Agent, in respect of Notes issued on or after the Replacement,

(ii) all references to the “Issuing and Paying Agent” hereunder shall be deemed to refer to the Current Issuing and Paying Agent in respect of the Outstanding Notes, and the Replacement Issuing and Paying Agent in respect of Notes issued on or after the Replacement, and (iii) all references to the “Issuing and Paying Agent Agreement” hereunder shall be deemed to refer to the existing Issuing and Paying Agent Agreement, in respect of the Outstanding Notes, and the Replacement Issuing and Paying Agent Agreement, in respect of Notes issued on or after the Replacement; and (B) to the extent that the Issuing and Paying Agent Agreement does not provide that the Current Issuing and Paying Agent will continue to act in respect of the Outstanding Notes, then (i) the “Issuing and Paying Agent” for the Notes shall be deemed to be the Replacement Issuing and Paying Agent, (ii) all references to the “Issuing and Paying Agent” hereunder shall be deemed to refer to the Replacement Issuing and Paying Agent, and (iii) all references to the “Issuing and Paying Agent Agreement” hereunder shall be deemed to refer to the Replacement Issuing and Paying Agent Agreement.

(iii)            From and after the effective date of any Replacement, the Issuer shall not issue any Notes hereunder unless and until the Dealer shall have received: (a) a copy of the executed Replacement Issuing and Paying Agent Agreement, (b) to the extent provided to the DTC, a copy of the executed Letter of Representations among the Issuer, the Replacement Issuing and Paying Agent and DTC, (c) to the extent provided to the DTC, a copy of the executed Master Note authenticated by the Replacement Issuing and Paying Agent and registered in the name of DTC or its nominee, (d) an amendment or supplement to the Private Placement Memorandum describing the Replacement Issuing and Paying Agent as the Issuing and Paying Agent for the Notes, and reflecting any other changes thereto necessary in light of the Replacement so that the Private Placement Memorandum, as amended or supplemented, satisfies the requirements of this Agreement, and (e) to the extent requested by the Dealer, a legal opinion of counsel to the Issuer and the Guarantor, addressed to the Dealer, in form and substance reasonably satisfactory to the Dealer.

7.10.            Upon the release of the Guarantee and of the Guarantor from its obligations under the Guarantee in accordance with the Guarantee, the Guarantor shall cease to be a party to this Agreement with respect to any future obligations under this Agreement, without any notice or action being required.

7.11.            Each of the Issuer and the Guarantor agrees that:

(a)            Any payments to the Dealer hereunder or to any holder from time to time of Notes shall be in United States dollars and shall be free of all withholding and other taxes and of all other governmental charges of any nature whatsoever imposed by the jurisdiction in which the Issuer is located.  In the event any withholding is required by law, the Issuer and the Guarantor, jointly and severally, agrees to (i) pay the same and (ii) pay such additional amounts to the Dealer or any such holder which, after deduction of any such withholding or other taxes or governmental charges of any nature whatsoever imposed with respect to the payment of such additional amount, shall equal the amount withheld pursuant to clause (i).  The Issuer and the Guarantor, jointly and severally, will promptly pay any stamp duty or other taxes or governmental charges payable in connection with the execution, delivery, payment or performance of this Agreement, the Issuing and Paying Agent Agreement, the Guarantee or the Notes and shall indemnify and hold harmless the Dealer and each holder of Notes from all liabilities arising from any failure to pay, or delay in paying, such taxes or charges.

(b)            The Issuer and the Guarantor, jointly and severally, agrees to  indemnify and hold harmless the Dealer and each holder from time to time of Notes against any loss incurred by the Dealer or such holder as a result of any judgment or order being given or made for any amount due hereunder, under such holder’s Note or under the Guarantee and such judgment or order being expressed and paid in a currency (the “Judgment Currency”) other than United States dollars and as a result of any variation as between (i) the rate of exchange at which the United States dollar amount is converted into the Judgment Currency for the purpose of such judgment or order, and (ii) the rate of exchange at which the Dealer or such holder is able to purchase United States dollars with the amount of Judgment Currency actually received by the Dealer or such holder.  The foregoing indemnity shall constitute separate and independent obligations of the Issuer and the Guarantor and shall continue in full force and effect notwithstanding any such judgment or order as aforesaid.  The term “rate of exchange” shall include any premiums and costs of exchange payable in connection with the purchase of, or conversion into, the relevant currency.

[Signatures Commence on the Following Page]

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date and year first above written.

	
MYLAN N.V.,

as Issuer

	 	 
	 	 
	
By:

	 
	 	
Name:

	 	
Title:

	 	 
	 	 
	 	 
	
MYLAN INC.,

as Guarantor

	 	 
	 	 
	
By:

	 
	 	
Name:

	 	
Title:

[Signature Page to Dealer Agreement]

	
[     ],

as Dealer

	 	 
	 	 
	
By:

	 
	 	
Name:

	 	
Title:

[Signature Page to Dealer Agreement]

Addendum

The following additional clauses shall apply to the Agreement and be deemed a part thereof.

	
1.

	
The other dealers referred to in clause (b) of Section 1.2 of the Agreement are:

	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 

 

	
2.

	
The addresses of the respective parties for purposes of notices under Section 7.1 are as follows:

	 	 	 	 
	 	
For the Issuer:

	 	 	 	 
	 	 	
Address:

	
 

	 	 	 	 
	 	 	 	 
	 	 	
Attention:

	 
	 	 	
Telephone number:

	 
	 	 	
Fax number:

	 
	 	 	 	 
	 	
For the Guarantor:

	 	 	 	 
	 	 	
Address:

	
 

	 	 	 	 
	 	 	 	 
	 	 	
Attention:

	 
	 	 	
Telephone number:

	 
	 	 	
Fax number:

	 
	 	 	 	 
	 	 	 	 
	 	
For the Dealer:

	 	 	 	 
	 	 	
Address:

	 
	 	 	 	 
	 	 	 	 
	 	 	
Attention:

	 
	 	 	
Telephone number:

	 
	 	 	
Fax number:

	 

Exhibit A

 

  

Form of Legend for Private Placement Memorandum and Notes

THE NOTES AND THE GUARANTEE THEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR ANY OTHER APPLICABLE SECURITIES LAW, AND OFFERS AND SALES THEREOF MAY BE MADE ONLY IN COMPLIANCE WITH AN APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE ACT AND ANY APPLICABLE STATE SECURITIES LAWS. BY ITS ACCEPTANCE OF A NOTE, THE PURCHASER WILL BE DEEMED TO REPRESENT THAT (I) IT HAS BEEN AFFORDED AN OPPORTUNITY TO INVESTIGATE MATTERS RELATING TO THE ISSUER), THE GUARANTOR, THE NOTES AND THE GUARANTEE, (II) IT IS NOT ACQUIRING SUCH NOTE WITH A VIEW TO ANY DISTRIBUTION THEREOF AND (III) IT IS EITHER (A) AN INSTITUTIONAL INVESTOR THAT IS (1) AN ACCREDITED INVESTOR WITHIN THE MEANING OF RULE 501(a) UNDER THE ACT (AN “INSTITUTIONAL ACCREDITED INVESTOR”) AND (2) (i) PURCHASING NOTES FOR ITS OWN ACCOUNT, (ii) A BANK (AS DEFINED IN SECTION 3(a)(2) OF THE ACT) OR A SAVINGS AND LOAN ASSOCIATION OR OTHER INSTITUTION (AS DEFINED IN SECTION 3(a)(5)(A) OF THE ACT) ACTING IN ITS INDIVIDUAL OR FIDUCIARY CAPACITY OR (iii) A FIDUCIARY OR AGENT (OTHER THAN A U.S. BANK OR SAVINGS AND LOAN ASSOCIATION OR OTHER SUCH INSTITUTION) PURCHASING NOTES FOR ONE OR MORE ACCOUNTS EACH OF WHICH ACCOUNTS IS SUCH AN INSTITUTIONAL ACCREDITED INVESTOR; OR (B) A QUALIFIED INSTITUTIONAL BUYER (“QIB”) WITHIN THE MEANING OF RULE 144A UNDER THE ACT THAT IS ACQUIRING NOTES FOR ITS OWN ACCOUNT OR FOR ONE OR MORE ACCOUNTS, EACH OF WHICH ACCOUNTS IS A QIB; AND THE PURCHASER ACKNOWLEDGES THAT IT IS AWARE THAT THE SELLER MAY RELY UPON THE EXEMPTION FROM THE REGISTRATION PROVISIONS OF SECTION 5 OF THE ACT PROVIDED BY RULE 144A. BY ITS ACCEPTANCE OF A NOTE, THE PURCHASER THEREOF SHALL ALSO BE DEEMED TO AGREE THAT ANY RESALE OR OTHER TRANSFER THEREOF WILL BE MADE ONLY (A) IN A TRANSACTION EXEMPT FROM REGISTRATION UNDER THE ACT, EITHER (1) TO THE ISSUER OR TO A PLACEMENT AGENT DESIGNATED BY THE ISSUER AS A PLACEMENT AGENT FOR THE NOTES (COLLECTIVELY, THE “PLACEMENT AGENTS”), NEITHER OF WHICH SHALL HAVE ANY OBLIGATION TO ACQUIRE SUCH NOTE, (2) THROUGH A PLACEMENT AGENT TO AN INSTITUTIONAL ACCREDITED INVESTOR OR A QIB, OR (3) TO A QIB IN A TRANSACTION THAT MEETS THE REQUIREMENTS OF RULE 144A AND (B) IN MINIMUM AMOUNTS OF $250,000.

Exhibit B

 

  

Further Provisions Relating to Indemnification

(a)            The Issuer and the Guarantor, jointly and severally, agree to reimburse each Indemnitee for all reasonable and documented out-of-pocket expenses (including reasonable fees and disbursements of one separate counsel (in addition to any local counsel in the jurisdiction in which any Claim is brought)) as they are incurred by it in connection with investigating or defending any loss, claim, damage, liability or action in respect of which indemnification may be sought under Section 5 of the Agreement (whether or not it is a party to any such proceedings).

(b)            Promptly after receipt by an Indemnitee of notice of the existence of a Claim, such Indemnitee will, if a claim in respect thereof is to be made against the Issuer or the Guarantor, notify the Issuer and the Guarantor in writing of the existence thereof; provided that (i) the omission to so notify the Issuer or the Guarantor will not relieve the Issuer or the Guarantor from any liability which it may have hereunder unless and except to the extent it did not otherwise learn of such Claim and such failure results in the forfeiture by the Issuer or the Guarantor of substantial rights and defenses, and (ii) the omission to so notify the Issuer or the Guarantor will not relieve it from liability which it may have to an Indemnitee otherwise than on account of this indemnity agreement.  In case any such Claim is made against any Indemnitee and it notifies the Issuer of the existence thereof, the Issuer and the Guarantor will be entitled to participate therein, and to the extent that either of them may elect by written notice delivered to the Indemnitee, to assume the defense thereof, with counsel reasonably satisfactory to such Indemnitee; provided that if the defendants in any such Claim include both the Indemnitee and either the Issuer or the Guarantor, or both, and the Indemnitee shall have concluded that there may be legal defenses available to it which are different from or additional to those available to the Issuer or the Guarantor, neither the Issuer nor the Guarantor shall have the right to direct the defense of such Claim on behalf of such Indemnitee, and the Indemnitee shall have the right to select separate counsel reasonably satisfactory to the Issuer to assert such legal defenses on behalf of such Indemnitee. Upon receipt of notice from the Issuer or a Guarantor to such Indemnitee of the election of the Issuer and the Guarantor to assume the defense of such Claim and approval by the Indemnitee of counsel, the Issuer and the Guarantor will not be liable to such Indemnitee for expenses incurred thereafter by the Indemnitee in connection with the defense thereof (other than reasonable costs of investigation) unless (i) the Indemnitee shall have employed separate counsel in connection with the assertion of legal defenses in accordance with the proviso to the next preceding sentence (it being understood, however, that neither the Issuer nor the Guarantor shall be liable for the expenses of more than one separate counsel (in addition to any local counsel in the jurisdiction in which any Claim is brought), approved by the Dealer, representing the Indemnitee who is party to such Claim), (ii) the Issuer and the Guarantor shall not have employed counsel reasonably satisfactory to the Indemnitee to represent the Indemnitee within a reasonable time after notice of existence of the Claim or (iii) the Issuer or the Guarantor has authorized in writing the employment of counsel for the Indemnitee.  The indemnity, reimbursement and contribution obligations of the Issuer and the Guarantor hereunder shall be in addition to any other liability the Issuer or the Guarantor may otherwise have to an Indemnitee and shall be binding upon and inure to the benefit of any successors, assigns, heirs and personal representatives of the Issuer, the Guarantor and any Indemnitee.  Each of the Issuer and the Guarantor agrees that without the Dealer’s prior written consent, it will not settle, compromise or consent to the entry of any judgment in any Claim in respect of which indemnification may be

sought under the indemnification provision of the Agreement (whether or not the Dealer or any other Indemnitee is an actual or potential party to such Claim), unless such settlement, compromise or consent (i) includes an unconditional release of each Indemnitee from all liability arising out of such Claim and (ii) does not include a statement as to or an admission of fault, culpability or failure to act, by or on behalf of any Indemnitee.

Exhibit C

 

  

Statement of Terms for Interest-Bearing Commercial Paper Notes of

Mylan N.V.

THE PROVISIONS SET FORTH BELOW ARE QUALIFIED TO THE EXTENT APPLICABLE BY THE TRANSACTION SPECIFIC PRIVATE PLACEMENT MEMORANDUM SUPPLEMENT (THE “SUPPLEMENT”) (IF ANY) SENT TO EACH PURCHASER AT THE TIME OF THE TRANSACTION.

1. General. (a) The obligations of the Issuer to which these terms apply (each a “Note”) are represented by one or more master notes issued in the name of The Depository Trust Company (“DTC”) or its nominee (each, a “Master Note”), which Master Note includes the terms and provisions for the Issuer’s Interest-Bearing Commercial Paper Notes that are set forth in this Statement of Terms, since this Statement of Terms constitutes an integral part of the Underlying Records as defined and referred to in each Master Note.

(b) “Business Day” means any day other than a Saturday or Sunday that is neither a legal holiday nor a day on which banking institutions are authorized or required by law, executive order or regulation to be closed in New York City and, with respect to LIBOR Notes (as defined below) is also a London Business Day. “London Business Day” means, a day, other than a Saturday or Sunday, on which dealings in deposits in U.S. dollars are transacted in the London interbank market.

2. Interest. (a) Each Note will bear interest at a fixed rate (a “Fixed Rate Note”) or at a floating rate (a “Floating Rate Note”).

(b) The Supplement sent to each holder of such Note will describe the following terms: (i) whether such Note is a Fixed Rate Note or a Floating Rate Note and whether such Note is an Original Issue Discount Note (as defined below); (ii) the date on which such Note will be issued (the “Issue Date”); (iii) the Stated Maturity Date (as defined below); (iv) if such Note is a Fixed Rate Note, the rate per annum at which such Note will bear interest, if any, and the Interest Payment Dates; (v) if such Note is a Floating Rate Note, the Base Rate, the Index Maturity, the Interest Reset Dates, the Interest Payment Dates and the Spread and/or Spread Multiplier, if any (all as defined below), and any other terms relating to the particular method of calculating the interest rate for such Note; and (vi) any other terms applicable specifically to such Note. “Original Issue Discount Note” means a Note which has a stated redemption price at the Stated Maturity Date that exceeds its Issue Price by more than a specified de minimis amount and which the Supplement indicates will be an “Original Issue Discount Note”.

(c) Each Fixed Rate Note will bear interest from its Issue Date at the rate per annum specified in the Supplement until the principal amount thereof is paid or made available for payment. Interest on each Fixed Rate Note will be payable on the dates specified in the Supplement (each an “Interest Payment Date” for a Fixed Rate Note) and on the Maturity Date (as defined below).

Interest on Fixed Rate Notes will be computed on the basis of a 360-day year of twelve 30-day months.

If any Interest Payment Date or the Maturity Date of a Fixed Rate Note falls on a day that is not a Business Day, the required payment of principal, premium, if any, and/or interest will be payable on the next succeeding Business Day, and no additional interest will accrue in respect of the payment made on that next succeeding Business Day. Notwithstanding the preceding provisions of this paragraph, if such provisions would result in the relevant amounts being payable more than 364 days from the date of issuance of a Fixed Rate Note, such amounts shall instead be payable on the Business Day immediately prior to the Maturity Date.

(d) The interest rate on each Floating Rate Note for each Interest Reset Period (as defined below) will be determined by reference to an interest rate basis (a “Base Rate”) plus or minus a number of basis points (one basis point equals one-hundredth of a percentage point) (the “Spread”), if any, and/or multiplied by a certain percentage (the “Spread Multiplier”), if any, until the principal thereof is paid or made available for payment. The Supplement will designate which of the following Base Rates is applicable to the related Floating Rate Note: (a) the CD Rate (a “CD Rate Note”), (b) the Commercial Paper Rate (a “Commercial Paper Rate Note”), (c) the Federal Funds Rate (a “Federal Funds Rate Note”), (d) LIBOR (a “LIBOR Note”), (e) the Prime Rate (a “Prime Rate Note”), (f) the Treasury Rate (a “Treasury Rate Note”) or (g) such other Base Rate as may be specified in such Supplement.

The rate of interest on each Floating Rate Note will be reset daily, weekly, monthly, quarterly or semi-annually (the “Interest Reset Period”). The date or dates on which interest will be reset (each an “Interest Reset Date”) will be, unless otherwise specified in the Supplement, in the case of Floating Rate Notes which reset daily, each Business Day, in the case of Floating Rate Notes (other than Treasury Rate Notes) that reset weekly, the Wednesday of each week; in the case of Treasury Rate Notes that reset weekly, the Tuesday of each week; in the case of Floating Rate Notes that reset monthly, the third Wednesday of each month; in the case of Floating Rate Notes that reset quarterly, the third Wednesday of March, June, September and December; and in the case of Floating Rate Notes that reset semiannually, the third Wednesday of the two months specified in the Supplement. If any Interest Reset Date for any Floating Rate Note is not a Business Day, such Interest Reset Date will be postponed to the next day that is a Business Day, except that in the case of a LIBOR Note, if such Business Day is in the next succeeding calendar month, such Interest Reset Date shall be the immediately preceding Business Day. Interest on each Floating Rate Note will be payable monthly, quarterly or semiannually (the “Interest Payment Period”) and on the Maturity Date. Unless otherwise specified in the Supplement, and except as provided below, the date or dates on which interest will be payable (each an “Interest Payment Date” for a Floating Rate Note) will be, in the case of Floating Rate Notes with a monthly Interest Payment Period, on the third Wednesday of each month; in the case of Floating Rate Notes with a quarterly Interest Payment Period, on the third Wednesday of March, June, September and December; and in the case of Floating Rate Notes with a semiannual Interest Payment Period, on the third Wednesday of the two months specified in the Supplement. In addition, the Maturity Date will also be an Interest Payment Date.

If any Interest Payment Date for any Floating Rate Note (other than an Interest Payment Date occurring on the Maturity Date) would otherwise be a day that is not a Business Day, such Interest Payment Date shall be postponed to the next day that is a Business Day, except that in

the case of a LIBOR Note, if such Business Day is in the next succeeding calendar month, such Interest Payment Date shall be the immediately preceding Business Day. If the Maturity Date of a Floating Rate Note falls on a day that is not a Business Day, the payment of principal and interest will be made on the next succeeding Business Day, and no interest on such payment shall accrue for the period from and after such maturity.  Notwithstanding the preceding provisions of this paragraph, if such provisions would result in the relevant amounts being payable more than 364 days from the date of issuance of a Floating Rate Note, such amounts shall instead be payable on the Business Day immediately prior to the Maturity Date.

Interest payments on each Interest Payment Date for Floating Rate Notes will include accrued interest from and including the Issue Date or from and including the last date in respect of which interest has been paid, as the case may be, to, but excluding, such Interest Payment Date. On the Maturity Date, the interest payable on a Floating Rate Note will include interest accrued to, but excluding, the Maturity Date. Accrued interest will be calculated by multiplying the principal amount of a Floating Rate Note by an accrued interest factor. This accrued interest factor will be computed by adding the interest factors calculated for each day in the period for which accrued interest is being calculated. The interest factor (expressed as a decimal) for each such day will be computed by dividing the interest rate applicable to such day by 360, in the cases where the Base Rate is the CD Rate, Commercial Paper Rate, Federal Funds Rate, LIBOR or Prime Rate, or by the actual number of days in the year, in the case where the Base Rate is the Treasury Rate. The interest rate in effect on each day will be (i) if such day is an Interest Reset Date, the interest rate with respect to the Interest Determination Date (as defined below) pertaining to such Interest Reset Date, or (ii) if such day is not an Interest Reset Date, the interest rate with respect to the Interest Determination Date pertaining to the next preceding Interest Reset Date, subject in either case to any adjustment by a Spread and/or a Spread Multiplier.

The “Interest Determination Date” where the Base Rate is the CD Rate or the Commercial Paper Rate will be the second Business Day next preceding an Interest Reset Date. The Interest Determination Date where the Base Rate is the Federal Funds Rate or the Prime Rate will be the Business Day next preceding an Interest Reset Date. The Interest Determination Date where the Base Rate is LIBOR will be the second London Business Day next preceding an Interest Reset Date. The Interest Determination Date where the Base Rate is the Treasury Rate will be the day of the week in which such Interest Reset Date falls when Treasury Bills are normally auctioned. Treasury Bills are normally sold at auction on Monday of each week, unless that day is a legal holiday, in which case the auction is held on the following Tuesday or the preceding Friday. If an auction is so held on the preceding Friday, such Friday will be the Interest Determination Date pertaining to the Interest Reset Date occurring in the next succeeding week.

The “Index Maturity” is the period to maturity of the instrument or obligation from which the applicable Base Rate is calculated.

The “Calculation Date,” where applicable, shall be the earlier of (i) the tenth calendar day following the applicable Interest Determination Date or (ii) the Business Day preceding the applicable Interest Payment Date or Maturity Date.

All times referred to herein reflect New York City time, unless otherwise specified.

The Issuer shall specify in writing to the Issuing and Paying Agent which party will be the calculation agent (the “Calculation Agent”) with respect to the Floating Rate Notes. The Calculation Agent will provide the interest rate then in effect and, if determined, the interest rate which will become effective on the next Interest Reset Date with respect to such Floating Rate Note to the Issuing and Paying Agent as soon as the interest rate with respect to such Floating Rate Note has been determined and as soon as practicable after any change in such interest rate.

All percentages resulting from any calculation on Floating Rate Notes will be rounded to the nearest one hundred-thousandth of a percentage point, with five-one millionths of a percentage point rounded upwards. For example, 9.876545% (or .09876545) would be rounded to 9.87655% (or .0987655). All dollar amounts used in or resulting from any calculation on Floating Rate Notes will be rounded, in the case of U.S. dollars, to the nearest cent or, in the case of a foreign currency, to the nearest unit (with one-half cent or unit being rounded upwards).

CD Rate Notes

“CD Rate” means the rate on any Interest Determination Date for negotiable U.S. dollar certificates of deposit having the Index Maturity as published in the source specified in the Supplement.

If the above rate is not published by 3:00 p.m., New York City time, on the Calculation Date, the CD Rate will be the rate on such Interest Determination Date published under the caption specified in the Supplement in another recognized electronic source used for the purpose of displaying the applicable rate.

If such rate is not published in either the source specified on the Supplement or another recognized electronic source by 3:00 p.m., New York City time, on the Calculation Date, the Calculation Agent will determine the CD Rate to be the arithmetic mean of the secondary market offered rates as of 10:00 a.m., New York City time, on such Interest Determination Date of three leading nonbank dealers in negotiable U.S. dollar certificates of deposit in New York City selected by the Calculation Agent for negotiable U.S. dollar certificates of deposit of major United States money center banks of the highest credit standing in the market for negotiable certificates of deposit with a remaining maturity closest to the Index Maturity in the denomination of $5,000,000.

If fewer than the three dealers selected by the Calculation Agent are quoting as set forth above, the CD Rate will remain the CD Rate then in effect on such Interest Determination Date.

Commercial Paper Rate Notes

“Commercial Paper Rate” means the Money Market Yield (calculated as described below) of the rate on any Interest Determination Date for commercial paper having the Index Maturity, as published in H.15(519) under the heading “Commercial Paper-Nonfinancial”.

If the above rate is not published in H.15(519) by 3:00 p.m. on the Calculation Date, then the Commercial Paper Rate will be the Money Market Yield of the rate on such Interest Determination Date for commercial paper of the Index Maturity as published in H.15 Daily Update under the heading “Commercial Paper-Nonfinancial”.

If by 3:00 p.m. on such Calculation Date such rate is not published in either H.15(519) or H.15 Daily Update, then the Calculation Agent will determine the Commercial Paper Rate to be the Money Market Yield of the arithmetic mean of the offered rates as of 11:00 a.m. on such Interest Determination Date of three leading dealers of U.S. dollar commercial paper in New York City selected by the Calculation Agent for commercial paper of the Index Maturity placed for an industrial issuer whose bond rating is “AA,” or the equivalent, from a nationally recognized statistical rating organization.

If the dealers selected by the Calculation Agent are not quoting as mentioned above, the Commercial Paper Rate with respect to such Interest Determination Date will remain the Commercial Paper Rate then in effect on such Interest Determination Date.

“Money Market Yield” will be a yield calculated in accordance with the following formula:

	
Money Market Yield =

	
D x 360

	
  x 100

	
360 - (D x M)

where “D” refers to the applicable per annum rate for commercial paper quoted on a bank discount basis and expressed as a decimal and “M” refers to the actual number of days in the interest period for which interest is being calculated.

Federal Funds Rate Notes

 “Federal Funds Rate” means the rate on any Interest Determination Date for federal funds as published in H.15(519) under the heading “Federal Funds (Effective)” and displayed on Reuters Screen FEDFUNDS1 Page under the heading “EFFECT” (or any successor service) (or any other page as may replace the specified page on that service) (“Reuters Page FEDFUNDS1”).

If the above rate does not appear on Reuters Page FEDFUNDS1 or is not so published by 3:00 p.m. on the Calculation Date, the Federal Funds Rate will be the rate on such Interest Determination Date as published in H.15 Daily Update under the heading “Federal Funds/(Effective)”.

If such rate is not published as described above by 3:00 p.m. on the Calculation Date, the Calculation Agent will determine the Federal Funds Rate to be the arithmetic mean of the rates for the last transaction in overnight U.S. dollar federal funds arranged by each of three leading brokers of Federal Funds transactions in New York City selected by the Calculation Agent prior to 9:00 a.m. on such Interest Determination Date.

If the brokers selected by the Calculation Agent are not quoting as mentioned above, the Federal Funds Rate will remain the Federal Funds Rate then in effect on such Interest Determination Date.

LIBOR Notes

The London Interbank offered rate (“LIBOR”) means, with respect to any Interest Determination Date, the rate for deposits in U.S. dollars having the Index Maturity that appears on the Designated LIBOR Page as of 11:00 a.m., London time, on such Interest Determination Date.

If no rate appears, LIBOR will be determined on the basis of the rates at approximately 11:00 a.m., London time, on such Interest Determination Date at which deposits in U.S. dollars are offered to prime banks in the London interbank market by four major banks in such market selected by the Calculation Agent for a term equal to the Index Maturity and in principal amount equal to an amount that in the Calculation Agent’s judgment is representative for a single transaction in U.S. dollars in such market at such time (a “Representative Amount”). The Calculation Agent will request the principal London office of each of such banks to provide a quotation of its rate. If at least two such quotations are provided, LIBOR will be the arithmetic mean of such quotations. If fewer than two quotations are provided, LIBOR for such interest period will be the arithmetic mean of the rates quoted at approximately 11:00 a.m., in New York City, on such Interest Determination Date by three major banks in New York City, selected by the Calculation Agent, for loans in U.S. dollars to leading European banks, for a term equal to the Index Maturity and in a Representative Amount; provided, however, that if fewer than three banks so selected by the Calculation Agent are providing such quotations, the then existing LIBOR rate will remain in effect for such Interest Payment Period.

“Designated LIBOR Page” means the display on the Reuters 3000 Xtra Service, or any successor service, on the “LIBOR01” page or “LIBOR02” page or any replacement page or pages on which London interbank offered rates of major banks for U.S. dollars are displayed.

Prime Rate Notes

“Prime Rate” means the rate on any Interest Determination Date as published in H.15(519) under the heading “Bank Prime Loan”.

If the above rate is not published in H.15(519) prior to 3:00 p.m. on the Calculation Date, then the Prime Rate will be the rate on such Interest Determination Date as published in H.15 Daily Update opposite the caption “Bank Prime Loan”.

If the rate is not published prior to 3:00 p.m. on the Calculation Date in either H.15(519) or H.15 Daily Update, then the Calculation Agent will determine the Prime Rate to be the arithmetic mean of the rates of interest publicly announced by each bank that appears on the Reuters Screen US PRIME 1 Page (as defined below) as such bank’s prime rate or base lending rate as of 11:00 a.m., on that Interest Determination Date.

If fewer than four such rates referred to above are so published by 3:00 p.m. on the Calculation Date, the Calculation Agent will determine the Prime Rate to be the arithmetic mean of the prime rates or base lending rates quoted on the basis of the actual number of days in the year divided by 360 as of the close of business on such Interest Determination Date by three major banks in New York City selected by the Calculation Agent.

If the banks selected are not quoting as mentioned above, the Prime Rate will remain the Prime Rate in effect on such Interest Determination Date.

 “Reuters Screen US PRIME 1 Page” means the display designated on the Reuters 3000 Xtra Service, or any successor service, on the US PRIME 1 page, or any replacement page or pages on which prime rates or base lending rates of major U.S. banks are displayed.

Treasury Rate Notes

“Treasury Rate” means:

(1)             the rate from the auction held on the Interest Determination Date (the “Auction”) of direct obligations of the United States (“Treasury Bills”) having the Index Maturity specified in the Supplement under the caption “INVESTMENT RATE” on the display on Reuters Screen USAUCTION10 or USAUCTION11 page (or any other page as may replace that page on that service or a successor service), or

(2)            if the rate referred to in clause (1) is not so published by 3:00 p.m. on the related Calculation Date, the Bond Equivalent Yield (as defined below) of the rate for the applicable Treasury Bills as published in H.15 Daily Update, under the caption “U.S. Government Securities/Treasury Bills”, or

(3)            if the rate referred to in clause (2) is not so published by 3:00 p.m. on the related Calculation Date, the Bond Equivalent Yield of the auction rate of the applicable Treasury Bills as announced by the United States Department of the Treasury, or

(4)            if the rate referred to in clause (3) is not so announced by the United States Department of the Treasury, or if the Auction is not held, the Bond Equivalent Yield of the rate on the particular Interest Determination Date of the applicable Treasury Bills as published in H.15(519) under the caption “U.S. Government Securities/Treasury Bills/Secondary Market”, or

(5)            if the rate referred to in clause (4) not so published by 3:00 p.m. on the related Calculation Date, the rate on the particular Interest Determination Date of the applicable Treasury Bills as published in H.15 Daily Update, under the caption “U.S. Government Securities/Treasury Bills/Secondary Market”, or

(6)            if the rate referred to in clause (5) is not so published by 3:00 p.m. on the related Calculation Date, the rate on the particular Interest Determination Date calculated by the Calculation Agent as the Bond Equivalent Yield of the arithmetic mean of the secondary market bid rates, as of approximately 3:30 p.m. on that Interest Determination Date, of three primary United States government securities dealers selected by the Calculation Agent, for the issue of Treasury Bills with a remaining maturity closest to the Index Maturity specified in the Supplement, or

(7)            if the dealers so selected by the Calculation Agent are not quoting as mentioned in clause (6), the Treasury Rate in effect on the particular Interest Determination Date.

“Bond Equivalent Yield” means a yield (expressed as a percentage) calculated in accordance with the following formula:

	
Bond Equivalent Yield =

	
D x N

	
  x 100

	
360 - (D x M)

where “D” refers to the applicable per annum rate for Treasury Bills quoted on a bank discount basis and expressed as a decimal, “N” refers to 365 or 366, as the case may be, and “M” refers to the actual number of days in the applicable Interest Reset Period.

3. Final Maturity. The Stated Maturity Date for any Note will be the date so specified in the Supplement, which shall be no later than 364 days from the date of issuance. On its Stated Maturity Date, or any date prior to the Stated Maturity Date on which the particular Note becomes due and payable by the declaration of acceleration, each such date being referred to as a Maturity Date, the principal amount of each Note, together with accrued and unpaid interest thereon, will be immediately due and payable.

4. Events of Default. The occurrence of any of the following shall constitute an “Event of Default” with respect to a Note: (i) default in any payment of principal of or interest on such Note (including on a redemption thereof); (ii) the Issuer or the Guarantor makes any compromise arrangement with its creditors generally including the entering into any form of moratorium with its creditors generally; (iii) a court having jurisdiction shall enter a decree or order for relief in respect of the Issuer or the Guarantor in an involuntary case under any applicable bankruptcy, insolvency or other similar law now or hereafter in effect, or there shall be appointed a receiver, administrator, liquidator, custodian, trustee or sequestrator (or similar officer) with respect to the whole or substantially the whole of the assets of the Issuer or the Guarantor and any such decree, order or appointment is not removed, discharged or withdrawn within 60 days thereafter; or (iv) the Issuer or the Guarantor shall commence a voluntary case under any applicable bankruptcy, insolvency or other similar law now or hereafter in effect, or consent to the entry of an order for relief in an involuntary case under any such law, or consent to the appointment of or taking possession by a receiver, administrator, liquidator, assignee, custodian, trustee or sequestrator (or similar official), with respect to the whole or substantially the whole of the assets of the Issuer or the Guarantor or make any general assignment for the benefit of creditors. Upon the occurrence of an Event of Default, the principal of such Note (together with interest accrued and unpaid thereon) shall become, without any notice or demand, immediately due and payable.

5. Obligation Absolute. No provision of the Issuing and Paying Agent Agreement under which the Notes are issued shall alter or impair the obligation of the Issuer, which is absolute and unconditional, to pay the principal of and interest on each Note at the times, place and rate, and in the coin or currency, herein prescribed.

6. Supplement. Any term contained in the Supplement shall supersede any conflicting term contained herein.

Exhibit D

 

  

Form of Guarantee

GUARANTEE

GUARANTEE, dated as of ______, of Mylan Inc., a corporation organized under the laws of Pennsylvania (the “Guarantor”).

The Guarantor, for value received, hereby agrees as follows for the benefit of the holders from time to time of the Notes hereinafter described:

	1.	
The Guarantor irrevocably guarantees payment in full, as and when the same becomes due and payable, of the principal of and interest, if any, on the promissory notes (the “Notes”) issued by Mylan N.V., a Netherlands public limited liability company and the parent of the Guarantor (the “Issuer”), from time to time pursuant to the Issuing and Paying Agent Agreement, dated as of [     ], as the same may be amended, supplemented or modified from time to time, between the Issuer, the Guarantor and [     ] (the “Agreement”).

	2.	
The Guarantor’s obligations under this Guarantee shall be unconditional, irrespective of the validity or enforceability of any provision of the Agreement or the Notes.

	3.	
This Guarantee is a guaranty of the due and punctual payment (and not merely of collection) of the principal of and interest, if any, on the Notes by the Issuer and shall remain in full force and effect until all amounts have been validly, finally and irrevocably paid in full, and shall not be affected in any way by any circumstance or condition whatsoever, including without limitation (a) the absence of any action to obtain such amounts from the Issuer, (b) any variation, extension, waiver, compromise or release of any or all of the obligations of the Issuer under the Agreement or the Notes or of any collateral security therefor or (c) any change in the existence or structure of, or the bankruptcy or insolvency of, the Issuer or by any other circumstance (other than by complete, irrevocable payment) that might otherwise constitute a legal or equitable discharge or defense of a guarantor or surety. The Guarantor waives all requirements as to diligence, presentment, demand for payment, protest and notice of any kind with respect to the Agreement and the Notes.

Any term or provision of this Guarantee to the contrary notwithstanding, the maximum aggregate amount of the Guarantor’s obligations hereunder shall not exceed the maximum amount that can be hereby guaranteed without rendering this Guarantee voidable under applicable law relating to fraudulent conveyance or fraudulent transfer or similar laws affecting the rights of creditors generally.

	4.	
In the event of a default in payment of principal of or interest on any Notes, the holders of such Notes, may institute legal proceedings directly against the Guarantor to enforce this Guarantee without first proceeding against the Issuer.

	5.	
This Guarantee shall remain in full force and effect or shall be reinstated (as the case may be) if at any time any payment by the Issuer of the principal of or interest, if any, on the Notes, in whole or in part, is rescinded or must otherwise be returned by the holder upon the insolvency, bankruptcy or reorganization of the Issuer or otherwise, all as though such payment had not been made.

	6.	
At such time as the Notes shall have been paid in full and no new Notes may be issued, this Guarantee and all obligations of the Guarantor hereunder shall terminate, all without delivery of any instrument or performance of any act by any party.

	7.	
This Guarantee shall be governed by and construed in accordance with the laws of the State of New York.

IN WITNESS WHEREOF, the Guarantor has caused this Guarantee to be duly executed as of the day and year first above written.

	
MYLAN INC.,

	 	 
	 	 
	
By:

	 
	 	
Name:

	 	
Title:

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