Document:

Registration Rights Agreement Dated as of December 23, 2004

 Exhibit 4.7 
  
 EXECUTION COPY 
  

  
 REGISTRATION RIGHTS AGREEMENT 
  
 Dated as of December 23, 2004 
  
 By and Among 
  
 MAGNACHIP SEMICONDUCTOR S.A. 
  
 and 
  
 MAGNACHIP SEMICONDUCTOR FINANCE COMPANY 
  
 and 
  
 THE GUARANTORS NAMED HEREIN

  
 as Issuers, 
  
 and 
  
 UBS SECURITIES LLC, 
 CITIGROUP GLOBAL MARKETS INC., 
 GOLDMAN, SACHS & CO., 
 J.P. MORGAN SECURITIES INC., 
 and 
 DEUTSCHE BANK SECURITIES INC. 
 as Initial
Purchasers 
  
 8% Senior Subordinated Notes due 2014 
  

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page

	1.	  	Definitions	  	1
			
	2.	  	Exchange Offer	  	4
			
	3.	  	Shelf Registration	  	8
			
	4.	  	Liquidated Damages	  	9
			
	5.	  	Registration Procedures	  	11
			
	6.	  	Registration Expenses	  	19
			
	7.	  	Indemnification	  	20
			
	8.	  	Rules 144 and 144A	  	23
			
	9.	  	Underwritten Registrations	  	23
			
	10.	  	Miscellaneous	  	24
			
	 	  	 (a)    No Inconsistent Agreements
	  	24
	 	  	 (b)    Adjustments Affecting Registrable Notes
	  	24
	 	  	 (c)    Amendments and Waivers
	  	24
	 	  	 (d)    Notices
	  	25
	 	  	 (e)    Successors and Assigns
	  	26
	 	  	 (f)     Counterparts
	  	26
	 	  	 (g)    Headings
	  	26
	 	  	 (h)    Governing Law
	  	26
	 	  	 (i)     Severability
	  	26
	 	  	 (j)     Securities Held by the Issuer or Its Affiliates
	  	26
	 	  	 (k)    Third-Party Beneficiaries
	  	27
	 	  	 (l)     Attorneys’ Fees
	  	27
	 	  	 (m)   Entire Agreement
	  	27
		
	 SIGNATURES
	  	S-1

  

 -i- 

 REGISTRATION RIGHTS AGREEMENT 
  
 This Registration Rights Agreement (this “Agreement”) is dated as of December 23, 2004, among MagnaChip
Semiconductor S.A., a Luxembourg public limited liability company (société anonyme) (“MagnaChip”), its wholly owned subsidiary, MagnaChip Semiconductor Finance Company, a Delaware corporation (the
“Co-Issuer,” and together with MagnaChip, the “Company”), MagnaChip Semiconductor LLC, a Delaware limited liability company (“Parent”), each of the other Guarantors that are listed on Schedule I
hereto (collectively with the Parent and any entity that in the future executes a supplemental indenture pursuant to which such entity agrees to guarantee the Notes (as hereinafter defined) the “Guarantors” and together with the
Company, the “Issuers”), and UBS Securities LLC, Citigroup Global Markets Inc., Goldman, Sachs & Co., J.P. Morgan Securities Inc. and Deutsche Bank Securities Inc. (the “Initial Purchasers”). 
  
 This Agreement is entered into in connection with the Purchase Agreement,
dated as of December 16, 2004, by and among the Issuers, the Guarantors and the Initial Purchasers (the “Purchase Agreement”), relating to the offering of $250,000,000 aggregate principal amount of the Issuers’ 8% Senior
Subordinated Notes due 2014 (the “Notes”). The execution and delivery of this Agreement is a condition to the Initial Purchasers’ obligation to purchase the Notes under the Purchase Agreement. 
  
 The parties hereby agree as follows: 
  
 Section 1. Definitions 
  
 As used in this Agreement, the following terms shall have the following
meanings: 
  
 “action” shall have the meaning set
forth in Section 7(c) hereof. 
  
 “Advice” shall
have the meaning set forth in Section 5 hereof. 
  
 “Agreement” shall have the meaning set forth in the first introductory paragraph hereto. 
  
 “Applicable Period” shall have the meaning set forth in Section 2(b) hereof. 
  
 “Board of Directors” shall have the meaning set forth in
Section 5 hereof. 
  
 “Business Day” shall mean a
day that is not a Legal Holiday. 
  
 “Commission”
shall mean the Securities and Exchange Commission. 
  
 “Day” shall mean a calendar day. 
  
 “Damages Payment Date” shall have the meaning set forth in Section 4(b) hereof. 

 “Delay Period” shall have the meaning set forth in Section 5 hereof. 
  
 “Effectiveness Period” shall have the meaning set forth in
Section 3(b) hereof. 
  
 “Exchange Act” shall
mean the Securities Exchange Act of 1934, as amended, and the rules and regulations of the Commission promulgated thereunder. 
  
 “Exchange Notes” shall have the meaning set forth in Section 2(a) hereof. 
  
 “Exchange Offer” shall have the meaning set forth in Section 2(a) hereof. 
  
 “Exchange Offer Registration Statement” shall have the
meaning set forth in Section 2(a) hereof. 
  
 “Holder” shall mean any holder of a Registrable Note or Registrable Notes. 
  
 “Indenture” shall mean the Indenture, dated as of December 23, 2004, by and between the Issuers and The Bank of New York as trustee,
pursuant to which the Notes are being issued, as amended or supplemented from time to time in accordance with the terms thereof. 
  
 “Initial Purchasers” shall have the meaning set forth in the first introductory paragraph hereof. 
  
 “Inspectors” shall have the meaning set forth in Section
5(n) hereof. 
  
 “Issue Date” shall mean December
23, 2004, the date of original issuance of the Notes. 
  
 “Issuers” shall have the meaning set forth in the introductory paragraph hereto and shall also include the Issuers’ respective permitted successors and assigns. 
  
 “Legal Holiday” shall mean a Saturday, a Sunday or a day on
which banking institutions in New York, New York are required by law, regulation or executive order to remain closed. 
  
 “Liquidated Damages” shall have the meaning set forth in Section 4(a) hereof. 
  
 “Losses” shall have the meaning set forth in Section 7(a)
hereof. 
  
 “NASD” shall have the meaning set
forth in Section 5(s) hereof. 
  
 “Notes” shall
have the meaning set forth in the second introductory paragraph hereto. 
  
 “Participant” shall have the meaning set forth in Section 7(a) hereof. 
  
 “Participating Broker-Dealer” shall have the meaning set forth in Section 2(b) hereof. 
  

 -2- 

 “Person” shall mean an individual, corporation, partnership, joint venture association,
joint stock company, trust, unincorporated organization, limited liability company, government or any agency or political subdivision thereof or any other entity. 
  
 “Private Exchange” shall have the meaning set forth in Section 2(b) hereof. 
  
 “Private Exchange Notes” shall have the meaning set forth in
Section 2(b) hereof. 
  
 “Prospectus” shall mean
the prospectus included in any Registration Statement (including, without limitation, any prospectus subject to completion and a prospectus that includes any information previously omitted from a prospectus filed as part of an effective registration
statement in reliance upon Rule 430A promulgated under the Securities Act), as amended or supplemented by any prospectus supplement, and all other amendments and supplements to the Prospectus, including post-effective amendments, and all material
incorporated by reference or deemed to be incorporated by reference in such Prospectus. 
  
 “Purchase Agreement” shall have the meaning set forth in the second introductory paragraph hereof. 
  
 “Records” shall have the meaning set forth in Section 5(n) hereof. 
  
 “Registrable Notes” shall mean each Note upon its original issuance and at all times subsequent thereto,
each Exchange Note as to which Section 2(c)(iii) hereof is applicable upon original issuance and at all times subsequent thereto and each Private Exchange Note upon original issuance thereof and at all times subsequent thereto, in each case until
(i) a Registration Statement (other than, with respect to any Exchange Note as to which Section 2(c)(iii) hereof is applicable, the Exchange Offer Registration Statement) covering such Note, Exchange Note or Private Exchange Note has been declared
effective by the Commission and such Note, Exchange Note or such Private Exchange Note, as the case may be, has been disposed of in accordance with such effective Registration Statement, (ii) such Note has been exchanged pursuant to the Exchange
Offer for an Exchange Note or Exchange Notes that may be resold without restriction under state and federal securities laws, (iii) such Note, Exchange Note or Private Exchange Note, as the case may be, ceases to be outstanding for purposes of the
Indenture or (iv) such Note, Exchange Note or Private Exchange Note has been sold in compliance with Rule 144 or is salable pursuant to Rule 144(k). 
  
 “Registration Default” shall have the meaning set forth in Section 4(a) hereof. 
  
 “Registration Statement” shall mean any appropriate
registration statement of the Issuers covering any of the Registrable Notes filed with the Commission under the Securities Act, and all amendments and supplements to any such Registration Statement, including post-effective amendments, in each case
including the Prospectus contained therein, all exhibits thereto and all material incorporated by reference therein. 
  
 “Requesting Participating Broker-Dealer” shall have the meaning set forth in Section 2(b) hereof. 
  

 -3- 

 “Rule 144” shall mean Rule 144 promulgated under the Securities Act, as such Rule may be
amended from time to time, or any similar rule (other than Rule 144A) or regulation hereafter adopted by the Commission providing for offers and sales of securities made in compliance therewith resulting in offers and sales by subsequent holders
that are not affiliates of an issuer of such securities being free of the registration and prospectus delivery requirements of the Securities Act. 
  
 “Rule 144A” shall mean Rule 144A promulgated under the Securities Act, as such Rule may be amended from time to time, or any similar rule
(other than Rule 144) or regulation hereafter adopted by the Commission. 
  
 “Rule 415” shall mean Rule 415 promulgated under the Securities Act, as such Rule may be amended from time to time, or any similar rule or regulation hereafter adopted by the Commission. 

 
 “Securities Act” shall mean the Securities Act of 1933,
as amended, and the rules and regulations of the Commission promulgated thereunder. 
  
 “Shelf Filing Event” shall have the meaning set forth in Section 2(c) hereof. 
  
 “Shelf Registration” shall have the meaning set forth in Section 3(a) hereof. 
  
 “Shelf Registration Statement” shall mean a Registration
Statement filed in connection with a Shelf Registration. 
  
 “TIA” shall mean the Trust Indenture Act of 1939, as amended. 
  
 “Trustee” shall mean the trustee under the Indenture and the trustee (if any) under any indenture governing the Exchange Notes and Private Exchange Notes. 
  
 “Underwritten registration or underwritten offering” shall
mean a registration in which securities of any of the Issuers is sold to an underwriter for reoffering to the public. 
  
 Section 2. Exchange Offer 
  
 (a) The Issuers shall (i) file a Registration Statement (the “Exchange Offer Registration Statement”) within 180 days after the Issue
Date with the Commission on an appropriate registration form with respect to a registered offer (the “Exchange Offer”) to exchange any and all of the Registrable Notes for a like aggregate principal amount of notes (the
“Exchange Notes”) that are identical in all material respects to the Notes (except that the Exchange Notes shall not contain terms with respect to transfer restrictions or Liquidated Damages upon a Registration Default), (ii) use
all commercially reasonable efforts to cause the Exchange Offer Registration Statement to be declared effective under the Securities Act on or prior to 210 days after the Issue Date; provided that, the Issuers’ obligations to have the
Exchange Offer Registration Statement declared effective shall be suspended until the date which is 60 days following the date upon which audited financial statements for the year ended December 31, 2005 first become available, to the extent that
the Exchange Offer Registration Statement is prevented from being declared effective due to Parent’s (or the applicable Issuer’s) inability 
  

 -4- 

 to produce five years of selected financial information as required by Item 301 of Commission Regulation S-K, and (iii)
unless the Exchange Offer would not be permitted by applicable law or Commission policy, (a) commence the Exchange Offer and (b) use all commercially reasonable efforts to issue on or prior to 30 Business Days, or longer, if required by the federal
securities laws, after the date on which the Exchange Offer Registration Statement was declared effective by the Commission, the Exchange Notes in exchange for surrender of all Notes validly tendered and not withdrawn prior thereto in the Exchange
Offer. 
  
 Each Holder that participates in the Exchange Offer
will be required to represent to the Issuers in writing that (i) any Exchange Notes to be received by it will be acquired in the ordinary course of its business, (ii) it has no arrangement or understanding with any Person to participate in the
distribution (within the meaning of the Securities Act) of the Exchange Notes in violation of the provisions of the Securities Act, (iii) it is not an affiliate of the Issuers (within the meaning of the Securities Act) or, if it is such an
affiliate, it will comply with the registration and prospectus delivery requirements of the Securities Act to the extent applicable, (iv) if such Holder is not a broker-dealer, it is not engaged in, and does not intend to engage in, a distribution
of Exchange Notes, (v) if such Holder is a broker-dealer that will receive Exchange Notes for its own account in exchange for Notes that were acquired as a result of market-making or other trading activities, it will deliver a prospectus in
connection with any resale of such Exchange Notes and (vi) such Holder has full power and authority to transfer the Notes in exchange for the Exchange Notes and that MagnaChip and the Co-Issuer will acquire good and unencumbered title thereto free
and clear of any liens, restrictions, charges or encumbrances and not subject to any adverse claims. 
  
 (b) The Issuers and the Initial Purchasers acknowledge that the staff of the Commission has taken the position that any broker-dealer that elects to
exchange Notes that were acquired by such broker-dealer for its own account as a result of market-making or other trading activities for Exchange Notes in the Exchange Offer (a “Participating Broker-Dealer”) may be deemed to be an
“underwriter” within the meaning of the Securities Act and must deliver a prospectus meeting the requirements of the Securities Act in connection with any resale of such Exchange Notes (other than a resale of an unsold allotment resulting
from the original offering of the Notes). 
  
 The Issuers and the
Initial Purchasers also acknowledge that the staff of the Commission has taken the position that if the Prospectus contained in the Exchange Offer Registration Statement includes a plan of distribution containing a statement to the above effect and
the means by which Participating Broker-Dealers may resell the Exchange Notes, without naming the Participating Broker-Dealers or specifying the amount of Exchange Notes owned by them, such Prospectus may be delivered by Participating Broker-Dealers
to satisfy their prospectus delivery obligations under the Securities Act in connection with resales of Exchange Notes for their own accounts, so long as the Prospectus otherwise meets the requirements of the Securities Act. 
  
 In light of the foregoing, if requested by a Participating Broker-Dealer (a
“Requesting Participating Broker-Dealer”), the Issuers agree to use all commercially reasonable efforts to keep the Exchange Offer Registration Statement continuously effective for a period not to exceed 180 days after the date on
which the Exchange Registration Statement is declared effective, or such longer period if extended pursuant to the last paragraph of Section 5 hereof (such period, the “Applicable Period”), 
  

 -5- 

 or such earlier date as all Requesting Participating Broker-Dealers shall have notified the Issuer in writing that such
Requesting Participating Broker-Dealers have resold all Exchange Notes acquired in the Exchange Offer. The Issuers shall include a plan of distribution in such Exchange Offer Registration Statement that meets the requirements set forth in the
preceding paragraph. 
  
 If, prior to consummation of the Exchange
Offer, the Initial Purchasers or any Holder, as the case may be, holds any Notes acquired by it that have, or that are reasonably likely to be determined to have, the status of an unsold allotment in an initial distribution, or if any Holder is not
entitled to participate in the Exchange Offer, the Issuers upon the request of the Initial Purchasers or any such Holder, as the case may be, shall simultaneously with the delivery of the Exchange Notes in the Exchange Offer, issue and deliver to
the Initial Purchasers or any such Holder, as the case may be, in exchange (the “Private Exchange”) for such Notes held by the Initial Purchasers or any such Holder, as the case may be, a like principal amount of notes (the
“Private Exchange Notes”) of the Issuers that are identical in all material respects to the Exchange Notes except that the Private Exchange Notes may be subject to restrictions on transfer and bear a legend to such effect. The
Private Exchange Notes shall bear the same CUSIP number as the Exchange Notes (if permitted by the CUSIP Service Bureau). 
  
 Interest on each Exchange Note and Private Exchange Note issued pursuant to the Exchange Offer and in the Private Exchange will accrue from the last
interest payment date on which interest was paid on the Notes surrendered in exchange therefor or, if no interest has been paid on the Notes, from the Issue Date. 
  
 Upon consummation of the Exchange Offer in accordance with this Section 2, the Issuers shall have no further registration
obligations other than the Issuers’ continuing registration obligations with respect to (i) Private Exchange Notes, (ii) Exchange Notes held by Participating Broker-Dealers and (iii) Notes or Exchange Notes as to which clause (c)(iii) of this
Section 2 applies. 
  
 In connection with the Exchange Offer, the
Issuers shall: 
  
 (1) mail or cause to be mailed
to each Holder of record entitled to participate in the Exchange Offer a copy of the Prospectus forming part of the Exchange Offer Registration Statement, together with an appropriate letter of transmittal and related documents; 
  
 (2) utilize the services of a depositary for the Exchange
Offer with an address in the Borough of Manhattan, The City of New York, which may be the Trustee or an affiliate thereof; 
  
 (3) permit Holders to withdraw tendered Notes at any time prior to the close of business, New York time, on the last Business Day on which
the Exchange Offer shall remain open; and 
  
 (4)
otherwise comply in all material respects with all applicable laws, rules and regulations. 
  

 -6- 

 As soon as practicable after the close of the Exchange Offer and the Private Exchange, if any, the
Issuers shall: 
  
 (1) accept for exchange all
Registrable Notes validly tendered and not validly withdrawn by the Holders pursuant to the Exchange Offer and the Private Exchange, if any; 
  
 (2) deliver or cause to be delivered to the Trustee for cancellation all Notes so accepted for exchange; and 
  
 (3) cause the Trustee to authenticate and deliver promptly
to each such Holder tendering such Registrable Notes, Exchange Notes or Private Exchange Notes, as the case may be, equal in principal amount to the Registrable Notes of such Holder so accepted for exchange; provided that in the case of any
Registrable Notes held in global form by a depositary, authentication and delivery to such depositary of one or more replacement Exchange Notes or Private Exchange Notes in global form in an equivalent principal amount thereto for the account of
such Holders in accordance with the Indenture shall satisfy such authentication and delivery requirement. 
  
 The Exchange Offer and the Private Exchange shall not be subject to any conditions, other than that (i) the Exchange Offer or Private Exchange, as the
case may be, does not violate applicable law or any applicable interpretation of the staff of the Commission, (ii) no action or proceeding shall have been instituted or threatened in any court or by any governmental agency which might materially
impair the ability of the Issuers to proceed with the Exchange Offer or the Private Exchange, and no material adverse development shall have occurred in any existing action or proceeding with respect to the Issuers and (iii) all governmental
approvals shall have been obtained, which approvals the Issuers deems necessary for the consummation of the Exchange Offer or Private Exchange. 
  
 The Exchange Notes and the Private Exchange Notes shall be issued under (i) the Indenture or (ii) an indenture identical in all material respects to the
Indenture (in either case, with such changes as are necessary to comply with any requirements of the Commission to effect or maintain the qualification thereof under the TIA or exemption from such qualification) and which, in either case, has been
qualified under the TIA or is exempt from such qualification and shall provide that (a) the Exchange Notes shall not be subject to the transfer restrictions set forth in the Indenture and (b) the Private Exchange Notes shall be subject to the
transfer restrictions set forth in the Indenture. The Indenture or such indenture shall provide that the Exchange Notes, the Private Exchange Notes and the Notes shall vote and consent together on all matters as one class and that none of the
Exchange Notes, the Private Exchange Notes or the Notes will have the right to vote or consent as a separate class on any matter. 
  
 (c) In the event that (i) any changes in law or the applicable interpretations of the staff of the Commission do not permit the Issuers to effect the
Exchange Offer, (ii) for any reason the Exchange Offer is not consummated within 20 days of the last day permitted by Section 2(a) hereof, (iii) prior to the 20th day following consummation of the Exchange Offer, any Holder, other than the Initial Purchasers, notifies the Issuers that it is prohibited by law or the applicable interpretations of the staff of the
Commission from participating in the Exchange Offer or, that it may not resell the 
  

 -7- 

 Exchange Notes received by it in the Exchange Offer without delivering a prospectus and the Prospectus contained in the
Exchange Offer Registration Statement is not appropriate or available for such resales (other than due solely to the status of such Holder as an affiliate of the Issuers within the meaning of the Securities Act) or (iv) in the case of any Initial
Purchaser that participates in the Exchange Offer or acquires Private Exchange Notes, such Initial Purchaser notifies the Issuers that it will not or did not receive freely tradeable Exchange Notes in the Exchange Offer in exchange for Notes or
Private Exchange Notes that have the status of unsold allotments in an initial distribution (provided that the requirement that a Participating Broker-Dealer deliver a Prospectus in connection with sales of Exchange Notes acquired in the Exchange
Offer in exchange for Notes acquired as a result of market-making activities or other trading activities shall not result in such Exchange Notes being not “freely tradeable”)(each such event referred to in clauses (i) through (iv) of this
sentence, a “Shelf Filing Event”), then the Issuers shall file a Shelf Registration pursuant to Section 3 hereof. 
  
 Section 3. Shelf Registration 
  
 If at any time a Shelf Filing Event shall occur, then: 
  
 (a) Shelf Registration. The Issuers shall file with the Commission a Registration Statement for an offering to be made on a continuous basis
pursuant to Rule 415 covering all of the Registrable Notes not exchanged in the Exchange Offer, Private Exchange Notes and Exchange Notes as to which Section 2(c)(iii) is applicable (the “Shelf Registration”). The Issuers shall use
all commercially reasonable efforts to file with the Commission the Shelf Registration on or prior to 30 days after such filing obligation arises. The Shelf Registration shall be on Form S-1 or another appropriate form permitting registration of
such Registrable Notes for resale by Holders in the manner or manners designated by them (including, without limitation, one or more underwritten offerings). The Issuers shall not permit any securities other than the Registrable Notes to be included
in the Shelf Registration. 
  
 (b) The Issuers shall use all
commercially reasonable efforts (x) to cause the Shelf Registration to be declared effective under the Securities Act on or prior to 90 days after the Shelf Registration is required to be filed with the Commission; provided that, the Issuers’
obligations to have the Shelf Registration declared effective shall be suspended until the date which is 60 days following the date upon which audited financial statements for the year ended December 31, 2005 first become available, to the extent
that the Shelf Registration is prevented from being declared effective due to Parent’s (or the applicable Issuer’s) inability to produce five years of selected financial information as required by Item 301 of Commission Regulation S-K and
(y) to keep the Shelf Registration continuously effective under the Securities Act for the period ending on the date which is two years from the Issue Date, subject to extension pursuant to the penultimate paragraph of Section 5 hereof (the
“Effectiveness Period”), or such shorter period ending when all Registrable Notes covered by the Shelf Registration have been sold in the manner set forth and as contemplated in the Shelf Registration; provided,
however, that (i) the Effectiveness Period in respect of the Shelf Registration shall be extended to the extent required to permit dealers to comply with the applicable prospectus delivery requirements of Rule 174 under the Securities Act and
as otherwise provided herein and (ii) the Issuers may suspend the effectiveness of the Shelf Registration Statement by written notice to the Holders solely as a result of (A) the filing of a post-effective amendment to the Shelf Registration
Statement to 
  

 -8- 

 incorporate annual audited financial information with respect to the Issuers where such post-effective amendment is not
yet effective and needs to be declared effective to permit Holders to use the related Prospectus or (B) during a Delay Period (as defined below) and (iii) no Holder (other than an Initial Purchaser) shall be entitled to have the Registrable Notes
held by it covered by such Shelf Registration Statement unless such Holder agrees in writing to be bound by all the provisions of this Agreement applicable to such Holder and furnishes to the Issuers and the Trustee in writing, within 20 days after
receipt of a request therefor, such information as the Issuers or the Trustee may reasonably request for inclusion in any Shelf Registration Statement. 
  
 (c) Supplements and Amendments. The Issuers agree to supplement or make amendments to the Shelf Registration Statement as and when required by the
rules, regulations or instructions applicable to the registration form used for such Shelf Registration Statement or by the Securities Act or rules and regulations thereunder for shelf registration, or if reasonably requested in writing by the
Holders of a majority in aggregate principal amount of the Registrable Notes covered by such Registration Statement or by any underwriter of such Registrable Notes. 
  
 Section 4. Liquidated Damages 
  
 (a) The Issuers and the Initial Purchasers agree that the Holders will suffer damages if the Issuers fail to fulfill their
obligations under Section 2 or Section 3 hereof and that it would not be feasible to ascertain the extent of such damages with precision. Accordingly, the Issuers agree that if: 
  
 (i) the Exchange Offer Registration Statement is not filed with the Commission on or prior to the 180th day
following the Issue Date or, if that day is not a Business Day, the next day that is a Business Day, 
  
 (ii) the Exchange Offer Registration Statement is not declared effective on or prior to the 210th day following the Issue Date or, if that
day is not a Business Day, the next day that is a Business Day or is declared effective by such date but thereafter ceases to be effective or usable, except if the Exchange Offer Registration Statement ceases to be effective or usable as
specifically permitted by the penultimate paragraph of Section 5 hereof; provided that, such date shall be extended until the date which is 60 days following the date upon which audited financial statements for the year ended December 31,
2005 first become available, to the extent that the Exchange Offer Registration Statement is prevented from being declared effective due to Parent’s (or the applicable Issuer’s) inability to produce five years of selected financial
information as required by Item 301 of Commission Regulation S-K, 
  
 (iii) the Exchange Offer is not consummated within 30 Business Days, or if that day is not a Business Day, the next day that is a Business Day, after the Exchange Offer Registration Statement was declared effective by
the Commission, or longer if required by federal securities laws; or 
  
 (iv) the Shelf Registration Statement is required to be filed but (A) is not declared effective on or prior to 90 days after the Shelf Registration is required to be filed with the Commission, or, if either such day
is not a Business Day, the next day that is a Business Day; provided that, the Issuers’ obligations to have the Shelf Registration Statement declared effective 
  

 -9- 

 shall be suspended until the date which is 60 days following the date upon which audited financial
statements for the year ended December 31, 2005 first become available, to the extent that the Shelf Registration Statement is prevented from being declared effective due to Parent’s (or the applicable Issuer’s) inability to produce five
years of selected financial information as required by Item 301 of Commission Regulation S-K or (B) is declared effective by such date but thereafter ceases to be effective or usable at any time prior to the second anniversary of its effective date,
except if the Shelf Registration ceases to be effective or usable as specifically permitted by the penultimate paragraph of Section 5 hereof; provided, further, that such two year period shall be extended by the aggregate number of days of all Delay
Periods 
  
 (each such event referred to in clauses (i) through (iv) a
“Registration Default”), liquidated damages in the form of additional cash interest (“Liquidated Damages”) will accrue on the affected Notes and the affected Exchange Notes, as applicable. The rate of Liquidated
Damages will be 0.25% per annum for the first 90-day period immediately following the occurrence of a Registration Default, increasing by an additional 0.25% per annum with respect to each subsequent 90-day period up to a maximum amount of
additional interest of 1.00% per annum, from and including the date on which any such Registration Default shall occur to, but excluding, the earlier of (1) the date on which all Registration Defaults have been cured or (2) the date on which all the
Notes and Exchange Notes otherwise become freely transferable by Holders other than affiliates of the Issuers without further registration under the Securities Act. 
  
 Notwithstanding the foregoing, (1) the amount of Liquidated Damages payable shall not increase because more than one Registration Default
has occurred and is pending and (2) a Holder of Notes or Exchange Notes who is not entitled to the benefits of the Shelf Registration Statement (i.e., such Holder has not elected to include information) shall not be entitled to Liquidated
Damages with respect to a Registration Default that pertains to the Shelf Registration Statement. Liquidated Damages shall not accrue with respect to Notes that are not Registrable Notes. 
  
 (b) So long as Notes remain outstanding, the Issuers shall notify the Trustee within five Business Days after each and every
date on which an event occurs in respect of which Liquidated Damages is required to be paid. Any amounts of Liquidated Damages due pursuant to clauses (a)(i), (a)(ii), (a)(iii) or (a)(iv) of this Section 4 will be payable in the manner provided for
the payment of interest in the Indenture on each December 15 and June 15 (each a “Damages Payment Date”), as more fully set forth in the Indenture and the Notes, to Holders to whom regular interest is payable on such Damages Payment
Date with respect to Notes that are Registrable Securities. The amount of Liquidated Damages for Registrable Notes will be determined by multiplying the applicable rate of Liquidated Damages by the aggregate principal amount of all such Registrable
Notes outstanding on the Damages Payment Date following such Registration Default in the case of the first such payment of Liquidated Damages with respect to a Registration Default (and thereafter at the next succeeding Damages Payment Date until
the cure of such Registration Default), multiplied by a fraction, the numerator of which is the number of days such Liquidated Damages rate was applicable during such period (determined on the basis of a 360-day year comprised of twelve 30-day
months and, in the case of a partial month, the actual number of days elapsed), and the denominator of which is 360. 
  

 -10- 

 Section 5. Registration Procedures 
  
 In connection with the filing of any Registration Statement pursuant to Section 2 or 3 hereof, the Issuers shall effect such
registrations to permit the sale of the securities covered thereby in accordance with the intended method or methods of disposition thereof, and pursuant thereto and in connection with any Registration Statement filed by the Issuers hereunder, the
Issuers shall: 
  
 (a) Prepare and file with the
Commission the Registration Statement or Registration Statements prescribed by Section 2 or 3 hereof, and use all commercially reasonable efforts to cause each such Registration Statement to become effective and remain effective as provided herein;
provided, however, that if (1) such filing is pursuant to Section 3 hereof, or (2) a Prospectus contained in the Exchange Offer Registration Statement filed pursuant to Section 2 hereof is required to be delivered under the Securities
Act by any Participating Broker-Dealer who seeks to sell Exchange Notes during the Applicable Period relating thereto, before filing any Registration Statement or Prospectus or any amendments or supplements thereto, the Issuers shall furnish to and
afford the Holders of the Registrable Notes covered by such Registration Statement or each such Participating Broker-Dealer, as the case may be, its counsel (if such counsel is known to the Issuers) and the managing underwriters, if any, a
reasonable opportunity to review copies of all such documents (including copies of any documents to be incorporated by reference therein and all exhibits thereto) proposed to be filed (in each case at least five Business Days prior to such filing or
such later date as is reasonable under the circumstances). The Issuers shall not file any Registration Statement or Prospectus or any amendments or supplements thereto if the Holders of a majority in aggregate principal amount of the Registrable
Notes covered by such Registration Statement, or any such Participating Broker-Dealer, as the case may be, its counsel, or the managing underwriters, if any, shall reasonably object on a timely basis. 
  
 (b) Prepare and file with the Commission such amendments and
post-effective amendments to each Shelf Registration Statement or Exchange Offer Registration Statement, as the case may be, as may be necessary to keep such Registration Statement continuously effective for the Effectiveness Period or the
Applicable Period, as the case may be, provided that none of the foregoing shall be required during a Delay Period; cause the related Prospectus to be supplemented by any Prospectus supplement required by applicable law, and as so supplemented to be
filed pursuant to Rule 424 (or any similar provisions then in force) promulgated under the Securities Act, provided that none of the foregoing shall be required during a Delay Period; and comply with the provisions of the Securities Act and the
Exchange Act applicable to it with respect to the disposition of all securities covered by such Registration Statement as so amended or in such Prospectus as so supplemented and with respect to the subsequent resale of any securities being sold by a
Participating Broker-Dealer covered by any such Prospectus, in each case, in accordance with the intended methods of distribution set forth in such Registration Statement or Prospectus, as so amended. 
  
 (c) If (1) a Shelf Registration is filed pursuant to Section
3 hereof, or (2) a Prospectus contained in the Exchange Offer Registration Statement filed pursuant to Section 2 hereof is required to be delivered under the Securities Act by any Participating Broker-Dealer 
  

 -11- 

 who seeks to sell Exchange Notes during the Applicable Period relating thereto from whom the Issuers have
received written notice that such Broker-Dealer will be a Participating Broker-Dealer in the applicable Exchange Offer, notify the selling Holders of Registrable Notes, or each such Participating Broker-Dealer, as the case may be, their counsel and
the managing underwriters, if any, as promptly as possible, and, if requested by any such Person, confirm such notice in writing, (i) when a Prospectus or any Prospectus supplement or post-effective amendment has been filed, and, with respect to a
Registration Statement or any post-effective amendment, when the same has become effective under the Securities Act (including in such notice a written statement that any Holder may, upon request, obtain, at the sole expense of the Issuers, one
conformed copy of such Registration Statement or post-effective amendment including financial statements and schedules, documents incorporated or deemed to be incorporated by reference and exhibits), (ii) of the issuance by the Commission of any
stop order suspending the effectiveness of a Registration Statement or of any order preventing or suspending the use of any preliminary prospectus or the initiation of any proceedings for that purpose, (iii) if at any time when a Prospectus is
required by the Securities Act to be delivered in connection with sales of the Registrable Notes or resales of Exchange Notes by Participating Broker-Dealers the representations and warranties of the Issuers contained in any agreement (including any
underwriting agreement) contemplated by Section 5(m)(i) hereof cease to be true and correct in all material respects, (iv) of the receipt by the Issuers of any notification with respect to the suspension of the qualification or exemption from
qualification of a Registration Statement or any of the Registrable Notes or the Exchange Notes for offer or sale in any jurisdiction, or the initiation or threatening of any proceeding for such purpose, (v) of the happening of any event, the
existence of any condition or any information becoming known to the Issuers that makes any statement made in such Registration Statement or related Prospectus or any document incorporated or deemed to be incorporated therein by reference untrue in
any material respect or that requires the making of any changes in or amendments or supplements to such Registration Statement, Prospectus or documents so that, in the case of the Registration Statement, it will not contain any untrue statement of a
material fact or omit to state any material fact required to be stated therein or necessary to make the statements therein not misleading, and that in the case of the Prospectus, it will not contain any untrue statement of a material fact or omit to
state any material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading, and (vi) of the Issuers’ determination that a post-effective
amendment to a Registration Statement would be appropriate. 
  
 (d) If (1) a Shelf Registration is filed pursuant to Section 3 hereof, or (2) a Prospectus contained in the Exchange Offer Registration Statement filed pursuant to Section 2 hereof is required to be delivered under
the Securities Act by any Participating Broker-Dealer who seeks to sell Exchange Notes during the Applicable Period, use all commercially reasonable efforts to prevent the issuance of any order suspending the effectiveness of a Registration
Statement or of any order preventing or suspending the use of a Prospectus or suspending the qualification (or exemption from qualification) of any of the Registrable Notes or the Exchange Notes, as the case may be, for sale in any jurisdiction,
and, if any such order is issued, to use all commercially reasonable efforts to obtain the withdrawal of any such order at the earliest practicable moment. 
  

 -12- 

 (e) If (1) a Shelf Registration is filed pursuant to Section 3 hereof or (2) a Prospectus
contained in the Exchange Offer Registration Statement filed pursuant to Section 2 hereof is required to be delivered under the Securities Act by any Participating Broker-Dealer who seeks to sell Exchange Notes during the Applicable Period and if
reasonably requested by the managing underwriter or underwriters (if any), the Holders of a majority in aggregate principal amount of the Registrable Notes covered by such Registration Statement or any Participating Broker-Dealer, as the case may
be, (i) promptly incorporate in such Registration Statement or Prospectus a prospectus supplement or post-effective amendment such information as the managing underwriter or underwriters (if any), such Holders or any Participating Broker-Dealer, as
the case may be (based upon advice of counsel), determine is reasonably required to be included therein and request in writing to be included therein and (ii) make all required filings of such prospectus supplement or such post-effective amendment
as soon as practicable after the Issuers have received notification of the matters to be incorporated in such prospectus supplement or post-effective amendment; provided, however, that the Issuers shall not be required to take any
action hereunder that would, in the written opinion of counsel to the Issuers, violate applicable laws or, in any event, during any Delay Period. 
  
 (f) If (1) a Shelf Registration is filed pursuant to Section 3 hereof or (2) a Prospectus contained in the Exchange Offer Registration
Statement filed pursuant to Section 2 hereof is required to be delivered under the Securities Act by any Participating Broker-Dealer who seeks to sell Exchange Notes during the Applicable Period, furnish to each selling Holder of Registrable Notes
or each such Participating Broker-Dealer, as the case may be, who so requests, its counsel and each managing underwriter, if any, at the sole expense of the Issuers, one conformed copy of the Registration Statement or Registration Statements and
each post-effective amendment thereto, including financial statements and schedules, and, if requested, all documents incorporated or deemed to be incorporated therein by reference and all exhibits. 
  
 (g) If (1) a Shelf Registration is filed pursuant to Section
3 hereof, or (2) a Prospectus contained in the Exchange Offer Registration Statement filed pursuant to Section 2 hereof is required to be delivered under the Securities Act by any Participating Broker-Dealer who seeks to sell Exchange Notes during
the Applicable Period, deliver to each selling Holder of Registrable Notes or each such Participating Broker-Dealer, as the case may be, its respective counsel, and the underwriters, if any, at the sole expense of the Issuers, as many copies of the
Prospectus or Prospectuses (including each form of preliminary prospectus) and each amendment or supplement thereto and any documents incorporated by reference therein as such Persons may reasonably request; and, subject to the last paragraph of
this Section 5, the Issuers hereby consent to the use of such Prospectus and each amendment or supplement thereto by each of the selling Holders of Registrable Notes or each such Participating Broker-Dealer, as the case may be, and the underwriters
or agents, if any, and dealers (if any), in connection with the offering and sale of the Registrable Notes covered by, or the sale by Participating Broker-Dealers of the Exchange Notes pursuant to, such Prospectus and any amendment or supplement
thereto. 
  
 (h) Prior to any public offering of
Registrable Notes or Exchange Notes or any delivery of a Prospectus contained in the Exchange Offer Registration Statement by any 
  

 -13- 

 Participating Broker-Dealer who seeks to sell Exchange Notes during the Applicable Period, use all
commercially reasonable efforts to register or qualify, and to cooperate with the selling Holders of Registrable Notes or each such Participating Broker-Dealer, as the case may be, the managing underwriter or underwriters, if any, and its respective
counsel in connection with the registration or qualification (or exemption from such registration or qualification) of such Registrable Notes or Exchange Notes, as the case may be, for offer and sale under the securities or Blue Sky laws of such
jurisdictions within the United States as any selling Holder, Participating Broker-Dealer, or the managing underwriter or underwriters reasonably request in writing; provided, however, that where Exchange Notes or Registrable Notes are
offered other than through an underwritten offering, the Issuers agree to use all commercially reasonable efforts to cause the Issuers’ counsel to perform Blue Sky investigations and file registrations and qualifications required to be filed
pursuant to this Section 5(h); keep each such registration or qualification (or exemption therefrom) effective during the period such Registration Statement is required to be kept effective and do any and all other acts or things reasonably
necessary or advisable to enable the disposition in such jurisdictions of such Exchange Notes or Registrable Notes covered by the applicable Registration Statement; provided, however, that the Issuers shall not be required to (A)
qualify generally to do business in any jurisdiction where it is not then so qualified, (B) take any action that would subject it to general service of process in any such jurisdiction where it is not then so subject or (C) subject itself to
taxation in excess of a nominal dollar amount in any such jurisdiction where it is not then so subject. 
  
 (i) If a Shelf Registration is filed pursuant to Section 3 hereof, cooperate with the selling Holders of Registrable Notes and the
managing underwriter or underwriters, if any, to facilitate the timely preparation and delivery of certificates representing Registrable Notes to be sold, which certificates shall not bear any restrictive legends and shall be in a form eligible for
deposit with The Depository Trust Company and enable such Registrable Notes to be in such denominations (subject to applicable requirements contained in the Indenture) and registered in such names as the managing underwriter or underwriters, if any,
or selling Holders may reasonably request in writing at least five Business Days prior to any sale of such Registrable Notes or Exchange Notes. 
  
 (j) Use all commercially reasonable efforts to cause the Registrable Notes or Exchange Notes covered by any Registration Statement to be
registered with or approved by such other governmental agencies or authorities as may be reasonably necessary to enable the seller or sellers thereof or the underwriter or underwriters, if any, to consummate the disposition of such Registrable Notes
or Exchange Notes, except as may be required solely as a consequence of the nature of such selling Holder’s business, in which case the Issuers will cooperate in all reasonable respects with the filing of such Registration Statement and the
granting of such approvals. 
  
 (k) If (1) a
Shelf Registration is filed pursuant to Section 3 hereof, or (2) a Prospectus contained in the Exchange Offer Registration Statement filed pursuant to Section 2 hereof is required to be delivered under the Securities Act by any Participating
Broker-Dealer who seeks to sell Exchange Notes during the Applicable Period, upon the occurrence of any event contemplated by Section 5(c)(v) or 5(c)(vi) hereof, as promptly as practicable prepare 
  

 -14- 

 and file (subject to Section 5(a) and the penultimate paragraph of this Section 5) with the Commission,
at the sole expense of the Issuers, a supplement or post-effective amendment to the Registration Statement or a supplement to the related Prospectus or any document incorporated or deemed to be incorporated therein by reference, or file any other
required document so that, as thereafter delivered to the purchasers of the Registrable Notes being sold thereunder or to the purchasers of the Exchange Notes to whom such Prospectus will be delivered by a Participating Broker-Dealer, any such
Prospectus will not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not
misleading. 
  
 (l) On or prior to the effective
date of the first Registration Statement relating to the Registrable Notes, (i) provide the Trustee with certificates for the Registrable Notes in a form eligible for deposit with The Depository Trust Company and (ii) provide a CUSIP number for the
Exchange Notes. 
  
 (m) In connection with any
underwritten offering of Registrable Notes pursuant to a Shelf Registration, enter into an underwriting agreement as is customary in underwritten offerings of debt securities similar to the Notes and take all such other actions as are reasonably
requested in writing by the managing underwriter or underwriters in order to expedite or facilitate the registration or the disposition of such Registrable Notes and, in such connection, (i) make such representations and warranties to, and covenants
with, the underwriters with respect to the business of the Issuers and their subsidiaries, as then conducted (including any acquired business, properties or entity, if applicable), and the Registration Statement, Prospectus and documents, if any,
incorporated or deemed to be incorporated by reference therein, in each case, as are customarily made by issuers to underwriters in underwritten offerings of debt securities similar to the Notes, and confirm the same in writing if and when
reasonably requested; (ii) use all commercially reasonable efforts to obtain the written opinions of counsel to the Issuers and written updates thereof in form, scope and substance reasonably satisfactory to the managing underwriter or underwriters,
addressed to the underwriters covering the matters customarily covered in opinions of counsel to issuers requested in underwritten offerings of debt securities similar to the Notes; (iii) use all commercially reasonable efforts to obtain “cold
comfort” letters and updates thereof in form, scope and substance reasonably satisfactory to the managing underwriter or underwriters from the independent certified public accountants of the Issuers (and, if necessary, any other independent
certified public accountants of any subsidiary of the Issuers or of any business acquired by the Issuers for which financial statements and financial data are, or are required to be, included or incorporated by reference in the Registration
Statement), addressed to each of the underwriters, such letters to be in customary form and covering matters of the type customarily covered in “cold comfort” letters in connection with underwritten offerings of debt securities similar to
the Notes; and (iv) if an underwriting agreement is entered into, the same shall contain indemnification provisions and procedures no less favorable than those set forth in Section 7 hereof (or such other provisions and procedures acceptable to
Holders of a majority in aggregate principal amount of Registrable Notes covered by such Registration Statement and the managing underwriter or underwriters or agents) with respect to all parties to be indemnified pursuant to said Section;
provided 
  

 -15- 

 that the Issuers shall not be required to provide indemnification to any underwriter selected in
accordance with the provisions of Section 9 hereof with respect to information relating to such underwriter furnished in writing to the Issuers by or on behalf of such underwriter expressly for inclusion in such Registration Statement. The above
shall be done at each closing under such underwriting agreement, or as and to the extent required thereunder. 
  
 (n) If (1) a Shelf Registration is filed pursuant to Section 3 hereof or (2) a Prospectus contained in the Exchange Offer Registration
Statement filed pursuant to Section 2 hereof is required to be delivered under the Securities Act by any Participating Broker-Dealer who seeks to sell Exchange Notes during the Applicable Period, make available for inspection by any selling Holder
of such Registrable Notes being sold or each such Participating Broker-Dealer, as the case may be, any underwriter participating in any such disposition of Registrable Notes, if any, and any attorney, accountant or other agent retained by any such
selling Holder or each such Participating Broker-Dealer, as the case may be, or underwriter (collectively, the “Inspectors”), upon written request, at the offices where normally kept, during reasonable business hours, all pertinent
financial and other records, pertinent corporate documents and instruments of the Issuers and its subsidiaries (collectively, the “Records”) as shall be reasonably necessary to enable them to exercise any applicable due diligence
responsibilities, and cause the officers, directors and employees of the Issuers and their subsidiaries to supply all information reasonably requested in writing by any such Inspector in connection with such Registration Statement and Prospectus.
Each Inspector shall agree in writing that it will keep the Records confidential and that it will not disclose, or use in connection with any market transactions in violation of any applicable securities laws, any Records that the Issuers determine,
in good faith, to be confidential unless (i) the disclosure of such Records is necessary to avoid or correct a misstatement or omission in such Registration Statement or Prospectus in the reasonable opinion of counsel for an Inspector, (ii) the
release of such Records is ordered pursuant to a subpoena or other order from a court of competent jurisdiction, (iii) disclosure of such information is necessary or advisable in the opinion of counsel for an Inspector in connection with any action,
claim, suit or proceeding, directly or indirectly, involving or potentially involving such Inspector and arising out of, based upon, relating to, or involving this Agreement or the Purchase Agreement, or any transactions contemplated hereby or
thereby or arising hereunder or thereunder, or (iv) the information in such Records has been made generally available to the public other than as a result of a disclosure or failure to safeguard by such Inspector; provided, however,
that (i) each Inspector shall agree to use reasonable best efforts to provide notice to the Issuers of the potential disclosure of any information by such Inspector pursuant to clause (i), (ii) or (iii) of this sentence to permit the Issuers to
obtain a protective order (or waive the provisions of this paragraph (n)) and (ii) each such Inspector shall take such actions as are reasonably necessary to protect the confidentiality of such information (if practicable) to the extent such action
is otherwise not inconsistent with, an impairment of or in derogation of the rights and interests of the Holder or any Inspector. Each selling Holder of such Registrable Notes and each such Participating Broker-Dealer will be required to agree that
information obtained by it as a result of such inspections shall be deemed confidential and shall not be used by it as the basis for any market transactions in the securities of the Parent, the Issuers or their respective subsidiaries unless and
until such is made generally available to the public. 
  

 -16- 

 (o) Provide an indenture trustee for the Registrable Notes or the Exchange Notes, as the
case may be, and cause the Indenture or the trust indenture provided for in Section 2(a) hereof to be qualified under the TIA not later than the effective date of the Exchange Offer or the first Registration Statement relating to the Registrable
Notes; and in connection therewith, cooperate with the trustee under any such indenture and the Holders of the Registrable Notes or Exchange Notes, as applicable, to effect such changes to such indenture as may be required for such indenture to be
so qualified in accordance with the terms of the TIA; and execute, and use all commercially reasonable efforts to cause such trustee to execute, all documents as may be required to effect such changes, and all other forms and documents required to
be filed with the Commission to enable such indenture to be so qualified in a timely manner. 
  
 (p) Use all commercially reasonable efforts to comply with all applicable rules and regulations of the Commission and make generally
available to the Issuers’ securityholders earnings statements satisfying the provisions of Section 11(a) of the Securities Act and Rule 158 thereunder (which need not be audited) (or any similar rule promulgated under the Securities Act) no
later than 45 days after the end of any fiscal quarter (or 90 days after the end of any 12-month period if such period is a fiscal year) (i) commencing at the end of any fiscal quarter in which Registrable Notes or Exchange Notes are sold to
underwriters in a firm commitment or best efforts underwritten offering and (ii) if not sold to underwriters in such an offering, commencing on the first day of the first fiscal quarter of the Issuers after the effective date of a Registration
Statement, which statements shall cover said 12-month periods consistent with the requirements of Rule 158. 
  
 (q) Upon the request of a Holder, upon consummation of the Exchange Offer or a Private Exchange, use all commercially reasonable efforts
to obtain an opinion of counsel to the Issuers, in form and substance customary for such underwritten transactions, addressed to the Trustee for the benefit of all Holders of Registrable Notes participating in the Exchange Offer or the Private
Exchange, as the case may be, that the Exchange Notes or Private Exchange Notes, as the case may be, and the related indenture constitute legal, valid and binding obligations of the Issuers, enforceable against the Issuers in accordance with its
respective terms, subject to customary exceptions and qualifications. 
  
 (r) If the Exchange Offer or a Private Exchange is to be consummated, upon delivery of the Registrable Notes by Holders to the Issuers (or to such other Person as directed by the Issuers) in exchange for the Exchange
Notes or the Private Exchange Notes, as the case may be, mark, or cause to be marked, on such Registrable Notes that such Registrable Notes are being cancelled in exchange for the Exchange Notes or the Private Exchange Notes, as the case may be;
provided that in no event shall such Registrable Notes be marked as paid or otherwise satisfied. 
  
 (s) Cooperate with each seller of Registrable Notes covered by any Registration Statement and each underwriter, if any, participating in
the disposition of such Registrable Notes and their respective counsel in connection with any filings required to be made with the National Association of Securities Dealers, Inc. (the “NASD”). 

 (t) Use all commercially reasonable efforts to take all other steps reasonably necessary
or advisable to effect the registration of the Exchange Notes and/or Registrable Notes covered by a Registration Statement contemplated hereby. 
  
 The Issuers may require each seller of Registrable Notes or Exchange Notes as to which any registration is being effected to furnish to the Issuers such
information regarding such seller or Participating Broker-Dealer and the distribution of such Registrable Notes or Exchange Notes as the Issuers may, from time to time, reasonably request. The Issuers may exclude from such registration the
Registrable Notes of any seller or Participating Broker-Dealer so long as such seller or Participating Broker-Dealer fails to furnish such information within a reasonable time after receiving such request and in the event of such an exclusion, the
Issuers shall have no further obligation under this Agreement (including, without limitation, the obligations under Section 4) with respect to such seller or Participating Broker-Dealer or any subsequent Holder of such Registrable Notes. Each seller
or Participating Broker-Dealer as to which any Shelf Registration is being effected agrees to furnish promptly to the Issuers all information required to be disclosed in order to make any information previously furnished to the Issuers by such
seller not materially misleading. 
  
 If any such Registration
Statement refers to any Holder by name or otherwise as the holder of any securities of the Issuers, then such Holder shall have the right to require (i) the insertion therein of language, in form and substance reasonably satisfactory to such Holder,
to the effect that the holding by such Holder of such securities is not to be construed as a recommendation by such Holder of the investment quality of the securities covered thereby and that such holding does not imply that such Holder will assist
in meeting any future financial requirements of the Issuers, or (ii) in the event that such reference to such Holder by name or otherwise is not required by the Securities Act or any similar federal statute then in force, the deletion of the
reference to such Holder in any amendment or supplement to the applicable Registration Statement filed or prepared subsequent to the time that such reference ceases to be required. 
  
 Each Holder of Registrable Notes and each Participating Broker-Dealer agrees by acquisition of such Registrable Notes or
Exchange Notes that, upon actual receipt of any notice from the Issuers (x) of the happening of any event of the kind described in Section 5(c)(ii), 5(c)(iii), 5(c)(iv), or 5(c)(v) hereof, or (y) that the Board of Directors of the Issuers (the
“Board of Directors”) has resolved that the Issuers have a bona fide business purpose for doing so, then the Issuers may delay the filing or the effectiveness of the Exchange Offer Registration Statement or the Shelf
Registration Statement (if not then filed or effective, as applicable) and shall not be required to maintain the effectiveness thereof or amend or supplement the Exchange Offer Registration Statement or the Shelf Registration, in all cases, for a
period (a “Delay Period”) expiring upon the earlier to occur of (i) in the case of the immediately preceding clause (x), such Holder’s or Participating Broker-Dealer’s receipt of the copies of the supplemented or amended
Prospectus contemplated by Section 5(k) hereof or until it is advised in writing (the “Advice”) by the Issuers that the use of the applicable Prospectus may be resumed, and has received copies of any amendments or supplements
thereto or (ii) in the case of the immediately preceding clause (y), the date which is the earlier of (A) the date on which such business purpose ceases to interfere with the Issuers’ obligations to file or maintain the effectiveness of any
such Registration Statement pursuant to this Agreement or (B) 60 days after the Issuers notify the Holders of such good faith determination. There shall not be more than 60 days of Delay Periods during any 12-month 
  

 -18- 

 period. Each of the Effectiveness Period and the Applicable Period, if applicable, shall be extended by the number of
days during any Delay Period. Any Delay Period will not alter the obligations of the Issuers to pay Liquidated Damages under the circumstances set forth in Section 4 hereof (except as noted in Section 4). 
  
 In the event of any Delay Period pursuant to clause (y) of the preceding
paragraph, notice shall be given as soon as practicable after the Board of Directors makes such a determination of the need for a Delay Period and shall state, to the extent practicable, an estimate of the duration of such Delay Period and shall
advise the recipient thereof of the agreement of such Holder provided in the next succeeding sentence. Each Holder, by his acceptance of any Registrable Note, agrees that during any Delay Period, each Holder will discontinue disposition of such
Notes or Exchange Notes covered by such Registration Statement or Prospectus or Exchange Notes to be sold by such Holder or Participating Broker-Dealer, as the case may be. 
  
 Section 6. Registration Expenses 
  
 All fees and expenses incident to the performance of or compliance with this Agreement by the Issuers (other than any
underwriting discounts or commissions) shall be borne by the Issuers, whether or not the Exchange Offer Registration Statement or the Shelf Registration is filed or becomes effective or the Exchange Offer is consummated, including, without
limitation, (i) all registration and filing fees (including, without limitation, (A) fees with respect to filings required to be made with the NASD in connection with an underwritten offering and (B) fees and expenses of compliance with state
securities or Blue Sky laws (including, without limitation, reasonable fees and disbursements of counsel in connection with Blue Sky qualifications of the Registrable Notes or Exchange Notes and determination of the eligibility of the Registrable
Notes or Exchange Notes for investment under the laws of such jurisdictions (x) where the holders of Registrable Notes are located, in the case of an Exchange Offer, or (y) as provided in Section 5(h) hereof, in the case of a Shelf Registration or
in the case of Exchange Notes to be sold by a Participating Broker-Dealer during the Applicable Period)), (ii) printing expenses, including, without limitation, expenses of printing certificates for Registrable Notes or Exchange Notes in a form
eligible for deposit with The Depository Trust Company and of printing prospectuses if the printing of prospectuses is requested by the managing underwriter or underwriters, if any, or by the Holders of a majority in aggregate principal amount of
the Registrable Notes included in any Registration Statement or in respect of Exchange Notes to be sold by any Participating Broker-Dealer during the Applicable Period, as the case may be, (iii) messenger, telephone and delivery expenses, (iv) fees
and disbursements of counsel for the Issuers and reasonable fees and disbursements of one special counsel for all of the sellers of Registrable Notes (exclusive of any counsel retained pursuant to Section 7 hereof), (v) fees and disbursements of all
independent certified public accountants referred to in Section 5(m)(iii) hereof (including, without limitation, the expenses of any special audit and “cold comfort” letters required by or incident to such performance), (vi) Securities Act
liability insurance, if the Issuers desire such insurance, (vii) fees and expenses of all other Persons retained by the Issuers, (viii) internal expenses of the Issuers (including, without limitation, all salaries and expenses of officers and
employees of the Issuers performing legal or accounting duties), (ix) the expense of any annual audit, (x) the fees and expenses incurred in connection with the listing of the securities to be registered on any securities exchange, and the obtaining
of a rating of the securities, in each case, if applicable, and (xi) the expenses relating to printing, word 
  

 -19- 

 processing and distributing all Registration Statements, underwriting agreements, indentures and any other documents
necessary in order to comply with this Agreement. Notwithstanding the foregoing or anything to the contrary, each Holder shall pay all underwriting discounts and commissions of any underwriters with respect to any Registrable Notes sold by or on
behalf of it. 
  
 Section 7. Indemnification 
  
 (a) Each of the Issuers and the Guarantors, jointly and severally, agrees to
indemnify and hold harmless each Holder of Registrable Notes and each Participating Broker-Dealer selling Exchange Notes during the Applicable Period, each Person, if any, who controls any such Person within the meaning of Section 15 of the
Securities Act or Section 20(a) of the Exchange Act, the agents, employees, officers and directors of each Holder and each such Participating Broker-Dealer and the agents, employees, officers and directors of any such controlling Person (each, a
“Participant”) from and against any and all losses, liabilities, claims, damages and expenses (including, but not limited to, reasonable attorneys’ fees and any and all reasonable out-of-pocket expenses actually incurred in
investigating, preparing or defending against any litigation, commenced or threatened, or any claim whatsoever, and any and all reasonable amounts paid in settlement of any claim or litigation (in the manner set forth in clause (c) below))
(collectively, “Losses”) to which they or any of them may become subject under the Securities Act, the Exchange Act or otherwise insofar as such Losses (or actions in respect thereof) arise out of or are based upon any untrue
statement or alleged untrue statement of a material fact contained in any Registration Statement (or any amendment thereto) or Prospectus (as amended or supplemented if the Issuers shall have furnished any amendments or supplements thereto) or any
preliminary prospectus, or caused by, arising out of or based upon any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under
which they were made, not misleading, provided that (i) the foregoing indemnity shall not be available to any Participant insofar as such Losses arise out of or are based upon any untrue statement or omission or alleged untrue statement or
omission made in reliance upon and in conformity with information relating to such Participant furnished to the Issuers in writing by or on behalf of such Participant expressly for use therein, and (ii) that the foregoing indemnity with respect to
any preliminary prospectus shall not inure to the benefit of any Participant from whom the Person asserting such Losses purchased Registrable Notes if (x) it is established in the related proceeding that such Participant failed to send or give a
copy of the Prospectus (as amended or supplemented if such amendment or supplement was furnished to such Participant prior to the written confirmation of such sale) to such Person with or prior to the written confirmation of such sale, if required
by applicable law, and (y) the untrue statement or omission or alleged untrue statement or omission was corrected in the Prospectus (as amended or supplemented if amended or supplemented as aforesaid). This indemnity agreement will be in addition to
any liability that the Issuers and Guarantors may otherwise have, including, but not limited to, liability under this Agreement. 
  
 (b) Each Participant agrees, severally and not jointly, to indemnify and hold harmless the Issuers, each Person, if any, who controls any of the Issuers
or the Guarantors within the meaning of Section 15 of the Securities Act or Section 20(a) of the Exchange Act, and each of its agents, employees, officers and directors and the agents, employees, officers and directors of any such controlling Person
from and against any Losses to which they or any of them may become subject under the Securities Act, the Exchange Act or otherwise insofar as such Losses (or actions in respect 
  

 -20- 

 thereof) arise out of or are based upon any untrue statement or alleged untrue statement of a material fact contained in
any Registration Statement (or any amendment thereto) or Prospectus (as amended or supplemented if the Issuers shall have furnished any amendments or supplements thereto) or any preliminary prospectus, or caused by, arising out of or based upon any
omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading, in each case to the extent, but
only to the extent, that any such Loss arises out of or is based upon any untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information relating to such Participant furnished in
writing to the Issuers by or on behalf of such Participant expressly for use therein. This indemnity agreement will be in addition to any liability that a Participant may otherwise have, including, but not limited to, liability under this Agreement.

  
 (c) Promptly after receipt by an indemnified party under
subsection 7(a) or 7(b) above of notice of the commencement of any action, suit or proceeding (collectively, an “action”), such indemnified party shall, if a claim in respect thereof is to be made against the indemnifying party
under such subsection, notify each party against whom indemnification is to be sought in writing of the commencement of such action (but the failure so to notify an indemnifying party shall not relieve such indemnifying party from any liability that
it may have under this Section 7 except to the extent that it has been prejudiced in any material respect by such failure). In case any such action is brought against any indemnified party, and it notifies an indemnifying party of the commencement
of such action, the indemnifying party will be entitled to participate in such action, and to the extent it may elect by written notice delivered to the indemnified party promptly after receiving the aforesaid notice from such indemnified party, to
assume the defense of such action with counsel reasonably satisfactory to such indemnified party. Notwithstanding the foregoing, the indemnified party or parties shall have the right to employ its or their own counsel in any such action, but the
reasonable fees and expenses of such counsel shall be at the expense of such indemnified party or parties unless (i) the employment of such counsel shall have been authorized in writing by the indemnifying parties in connection with the defense of
such action, (ii) the indemnifying parties shall not have employed counsel to take charge of the defense of such action within a reasonable time after notice of commencement of the action, or (iii) the named parties to such action (including any
impleaded parties) include such indemnified party and the indemnifying party or parties (or such indemnifying parties have assumed the defense of such action), and such indemnified party or parties shall have reasonably concluded, that there may be
defenses available to it or them that are different from or additional to those available to one or all of the indemnifying parties (in which case the indemnifying parties shall not have the right to direct the defense of such action on behalf of
the indemnified party or parties), in any of which events such reasonable fees and expenses of counsel shall be borne by the indemnifying parties. In no event shall the indemnifying party be liable for the fees and expenses of more than one counsel
(together with appropriate local counsel) at any time for all indemnified parties in connection with any one action or separate but substantially similar or related actions arising in the same jurisdiction out of the same general allegations or
circumstances. Any such separate firm for the Participants shall be designated in writing by Participants who sold a majority in interest of Registrable Notes sold by all such Participants and shall be reasonably acceptable to the Issuers and any
such separate firm for the Issuers, its affiliates, officers, directors, representatives, employees and agents and such control Person of the Issuers shall be designated in writing by the Issuers and shall be reasonably acceptable to the Holders. An
indemnifying party shall not be liable for any settlement of any claim or action effected 
  

 -21- 

 without its written consent, which consent may not be unreasonably withheld. No indemnifying party shall, without the
prior written consent of the indemnified party, effect any settlement of any pending or threatened proceeding in respect of which any indemnified party is or could have been a party and indemnity could have been sought hereunder by such indemnified
party, unless such settlement includes an unconditional release of such indemnified party from all liability on claims that are the subject matter of such proceeding. 
  
 (d) In order to provide for contribution in circumstances in which the indemnification provided for in this Section 7 is for
any reason held to be unavailable from the indemnifying party, or is insufficient to hold harmless a party indemnified under this Section 7, each indemnifying party shall contribute to the amount paid or payable by such indemnified party as a result
of such aggregate Losses (i) in such proportion as is appropriate to reflect the relative benefits received by each indemnifying party, on the one hand, and each indemnified party, on the other hand, from the sale of the Notes to the Initial
Purchasers or the resale of the Registrable Notes by such Holder, as applicable, or (ii) if such allocation is not permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to in clause (i)
above but also the relative fault of each indemnified party, on the one hand, and each indemnifying party, on the other hand, in connection with the statements or omissions that resulted in such Losses, as well as any other relevant equitable
considerations. The relative benefits received by the Issuers and the Guarantors, on the one hand, and each Participant, on the other hand, shall be deemed to be in the same proportion as (x) the total proceeds from the sale of the Notes to the
Initial Purchasers (net of discounts and commissions but before deducting expenses) received by the Issuers and the Guarantors are to (y) the total discount and commissions received by such Participant in connection with the sale of the Registrable
Notes. The relative fault of the parties 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 an Issuer or any Guarantor or such Participant and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission or alleged statement or omission. 
  
 (e) The parties agree that it would not be just and equitable if contribution
pursuant to this Section 7 were determined by pro rata allocation or by any other method of allocation that does not take into account the equitable considerations referred to above. Notwithstanding the provisions of this Section 7, (i) in no case
shall any Participant be required to contribute any amount in excess of the amount by which the total discount and commissions received by such Participant in connection with the sale of the Registrable Notes exceeds the amount of any damages that
such Participant has otherwise been required to pay by reason of any untrue or alleged untrue statement or omission or alleged omission and (ii) no person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities
Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action against such party in respect of
which a claim for contribution may be made against another party or parties under this Section 7, notify such party or parties from whom contribution may be sought, but the omission to so notify such party or parties shall not relieve the party or
parties from whom contribution may be sought from any obligation it or they may have under this Section 7 or otherwise, except to the extent that it has been prejudiced in any material respect by such failure; provided, however, that
no additional notice shall be required with respect to any 
  

 -22- 

 action for which notice has been given under this Section 7 for purposes of indemnification. Anything in this section to
the contrary notwithstanding, no party shall be liable for contribution with respect to any action or claim settled without its written consent, provided, however, that such written consent was not unreasonably withheld. 
  
 Section 8. Rules 144 and 144A 
  
 The Issuers covenant that they will file the reports required, if any, to be
filed by them under the Securities Act and the Exchange Act and the rules and regulations adopted by the Commission thereunder in a timely manner in accordance with the requirements of the Securities Act and the Exchange Act and, if at any time the
Issuers are not required to file such reports, they will, upon the request of any Holder or beneficial owner of Registrable Notes, make available such information necessary to permit sales pursuant to Rule 144A under the Securities Act. The Issuers
further covenant that for so long as any Registrable Notes remain outstanding they will take such further action as any Holder of Registrable Notes may reasonably request from time to time to enable such Holder to sell Registrable Notes without
registration under the Securities Act within the limitation of the exemptions provided by (a) Rule 144(k) and Rule 144A under the Securities Act, as such Rules may be amended from time to time, or (b) any similar rule or regulation hereafter adopted
by the Commission. 
  
 Section 9. Underwritten
Registrations 
  
 If any of the Registrable Notes covered by
any Shelf Registration are to be sold in an underwritten offering, the investment banker or investment bankers and manager or managers that will manage the offering will be selected by the Holders of a majority in aggregate principal amount of such
Registrable Notes included in such offering and shall be reasonably acceptable to the Issuers. 
  
 No Holder of Registrable Notes may participate in any underwritten registration hereunder if such Holder does not (a) agree to sell such Holder’s Registrable Notes on the basis provided in any underwriting
arrangements approved by the Persons entitled hereunder to approve such arrangements and (b) complete and execute all questionnaires, powers of attorney, indemnities, underwriting agreements and other documents required under the terms of such
underwriting arrangements. 
  
 Section 10. Submission to
Jurisdiction; Waiver of Jury Trial. No proceeding related to this Agreement or the transactions contemplated hereby may be commenced, prosecuted or continued in any court other than the courts of the State of New York located in the City and
County of New York or in the United States District Court for the Southern District of New York, which courts shall have jurisdiction over the adjudication of such matters, and the Issuers hereby consent to the jurisdiction of such courts and
personal service with respect thereto. The Issuers shall irrevocably appoint CT Corporation System as an authorized agent pursuant to Section 8(l) of the Purchase Agreement, as its authorized agent in the City and County of New York upon which
process may be served in any such suit or proceeding, and agrees that service of process upon such agent, and written notice of said service to each Issuer, by the person serving the same to the address provided in Section 12, shall be deemed in
every respect effective service of process upon each Issuer, as applicable, in such suit or proceeding. The Issuers and each Guarantor hereby waive all right to trial by jury in any proceeding (whether based upon contract, tort or otherwise) in any
way arising out of or relating to this Agreement. 
  

 -23- 

 The Issuers and each Guarantor agree that a final judgment in any such proceeding brought in any such court shall be
conclusive and binding upon the Issuers and each Guarantor and may be enforced in any other courts in the jurisdiction of which any Issuer or any Guarantor is or may be subject, by suit upon such judgment. 
  
 Section 11. Judgment Currency. In respect of any judgment or order
given or made for any amount due hereunder that is expressed and paid in a currency (the “judgment currency”) other than United States dollars, the Issuer and the Guarantors, as applicable, will indemnify each Initial Purchaser, and
the Initial Purchasers will indemnify the Issuers and the Guarantors, against any loss incurred by such Initial Purchaser 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 spot rate of exchange in The City of New York at which such party on the date of payment of such judgment or order is able to purchase United States dollars with the amount of
the judgment currency actually received by such party. The foregoing indemnity shall constitute a separate and independent obligation of each of the Issuers and the Initial Purchasers 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 United States dollars. 
  
 Section 12. Miscellaneous 
  
 (a) No Inconsistent Agreements. The Issuers have not, as of the date
hereof, and shall not have, after the date of this Agreement, entered into any agreement with respect to any of their securities that is inconsistent with the rights granted to the Holders of Registrable Notes in this Agreement or otherwise
conflicts with the provisions hereof. The rights granted to the Holders hereunder do not conflict with and are not inconsistent with, in any material respect, the rights granted to the holders of any of the Issuers’ other issued and outstanding
securities under any such agreements. The Issuers have not entered and will not enter into any agreement with respect to any of their securities which will grant to any Person piggy-back registration rights with respect to any Registration
Statement. 
  
 (b) Adjustments Affecting Registrable Notes.
The Issuers shall not, directly or indirectly, take any action with respect to the Registrable Notes as a class that would adversely affect the ability of the Holders of Registrable Notes to include such Registrable Notes in a registration
undertaken pursuant to this Agreement. 
  
 (c) Amendments and
Waivers. The provisions of this Agreement may not be amended, modified or supplemented, and waivers or consents to departures from the provisions hereof may not be given except pursuant to a written agreement duly signed and delivered by (I) the
Issuers and (II)(A) the Holders of not less than a majority in aggregate principal amount of the then outstanding Registrable Notes and (B) in circumstances that would adversely affect the Participating Broker-Dealers, the Participating
Broker-Dealers holding not less than a majority in aggregate principal amount of the Exchange Notes held by all Participating Broker-Dealers; provided, however, that Section 7 and this Section 10(c) may not be amended, modified or
supplemented except pursuant to a written agreement duly signed and delivered by the Issuers and each Holder and each Participating 
  

 -24- 

 Broker-Dealer (including any Person who was a Holder or Participating Broker-Dealer of Registrable Notes or Exchange
Notes, as the case may be, disposed of pursuant to any Registration Statement) affected by any such amendment, modification, supplement or waiver. Notwithstanding the foregoing, a waiver or consent to depart from the provisions hereof with respect
to a matter that relates exclusively to the rights of Holders of Registrable Notes whose securities are being sold pursuant to a Registration Statement and that does not directly or indirectly affect, impair, limit or compromise the rights of other
Holders of Registrable Notes may be given by Holders of at least a majority in aggregate principal amount of the Registrable Notes being sold pursuant to such Registration Statement. 
  
 (d) Notices. All notices and other communications (including, without limitation, any notices or other communications
to the Trustee) provided for or permitted hereunder shall be made in writing by hand-delivery, registered first-class mail, next-day air courier or telecopier: 
  

(i) if to a Holder of the Registrable Notes or any Participating Broker-Dealer, at the most current address of such Holder or
Participating Broker-Dealer, as the case may be, set forth on the records of the registrar under the Indenture. 
  
 (ii) if to the Issuers, at the address as follows: 
  
 MagnaChip Semiconductor, Ltd. 
 1 Hyangjeong-dong 
 hungduk-gu, Cheongju-si, 361-725 
 Korea 
 Telephone: 82-2-3459-3073 
 Fax: 82-2-3459-3674 
 Attention: General Counsel 
  
 With a copy to: 
  
 Dechert LLP 
 4000 Bell Atlantic Tower 
 1717 Arch Street 
 Philadelphia, Pennsylvania 19103 
 Attention: Geraldine Sinatra, Fax: (215) 994-2222 
 and Sang Park, Fax: (212) 314-0061; 
  
 (iii) if to the Initial Purchasers, at the address as follows: 
  

UBS Securities LLC 
 677 Washington Boulevard 
 Stamford, CT 06901 
 Telephone: (203) 719-8384 
 Fax number: (212) 719-5499 
 Attention: High Yield Capital Markets With a copy at such address to the
attention of Legal Department, fax number (203) 719-6177 
  

 -25- 

 All such notices and communications shall be deemed to have been duly given: when delivered by hand, if
personally delivered; five Business Days after being deposited in the mail, postage prepaid, if mailed; when receipt is acknowledged by the recipient’s telecopier machine, if telecopied; and on the next Business Day, if timely delivered to an
air courier guaranteeing overnight delivery (if to a U.S. destination); and on the third Business Day, if timely delivered to an air courier guaranteeing three-day delivery (if to a non-U.S. destination). 
  
 Copies of all such notices, demands or other communications shall be
concurrently delivered by the Person giving the same to the Trustee at the address and in the manner specified in such Indenture. 
  
 (e) Successors and Assigns. This Agreement shall inure to the benefit of and be binding upon the successors and assigns of each of the parties
hereto, the Holders and the Participating Broker-Dealers; provided, however, that this Agreement shall not inure to the benefit of or be binding upon a successor or assign of a Holder unless and to the extent such successor or assign
holds Registrable Notes. 
  
 (f) Counterparts. This
Agreement may be executed in any number of counterparts and by the parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement.

  
 (g) Headings. The headings in this Agreement are for
convenience of reference only and shall not limit or otherwise affect the meaning hereof. 
  
 (h) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, AS APPLIED TO CONTRACTS MADE AND PERFORMED WHOLLY WITHIN THE STATE OF NEW YORK.

  
 (i) Severability. If any term, provision, covenant or
restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full force and effect and
shall in no way be affected, impaired or invalidated, and the parties hereto shall use their best efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated by such term, provision,
covenant or restriction. It is hereby stipulated and declared to be the intention of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be hereafter declared
invalid, illegal, void or unenforceable. 
  
 (j) Securities
Held by the Issuers or Its Affiliates. Whenever the consent or approval of Holders of a specified percentage of Registrable Notes is required hereunder, Registrable Notes held by the Issuers or any of its affiliates (as such term is defined in
Rule 405 under the Securities Act) shall not be counted in determining whether such consent or approval was given by the Holders of such required percentage. 
  

 -26- 

 (k) Third-Party Beneficiaries. Holders and beneficial owners of Registrable Notes and
Participating Broker-Dealers are intended third-party beneficiaries of this Agreement, and this Agreement may be enforced by such Persons. No other Person is intended to be, or shall be construed as, a third-party beneficiary of this Agreement.

  
 (l) Attorneys’ Fees. As between the parties to
this Agreement, in any action or proceeding brought to enforce any provision of this Agreement, or where any provision hereof is validly asserted as a defense, the successful party shall be entitled to recover reasonable attorneys’ fees
actually incurred in addition to its costs and expenses and any other available remedy. 
  
 (m) Entire Agreement. This Agreement, together with the Purchase Agreement and the Indenture, is intended by the parties as a final and exclusive statement of the agreement and understanding of the parties
hereto in respect of the subject matter contained herein and therein and any and all prior oral or written agreements, representations, or warranties, contracts, understandings, correspondence, conversations and memoranda between the Holders on the
one hand and the Issuers on the other, or between or among any agents, representatives, parents, subsidiaries, affiliates, predecessors in interest or successors in interest with respect to the subject matter hereof and thereof are merged herein and
replaced hereby. 
  

 -27- 

 IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.

  

			
	MagnaChip Semiconductor S.A.
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor Finance Company
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor LLC
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor, Inc.
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor Ltd (United Kingdom)
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor Inc. (Japan)
		
	By:	 	  

	Name:	 	 
	Title:	 	 

			
	MagnaChip Semiconductor Ltd. (Hong Kong)
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor Ltd. (Taiwan)
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor B.V. (Netherlands)
		
	By:	 	  

	Name:	 	 
	Title:	 	 
	
	MagnaChip Semiconductor SA Holdings LLC
		
	By:	 	  

	Name:	 	 
	Title:	 	 

			
	UBS SECURITIES, LLC,
	CITIGROUP GLOBAL MARKETS INC.
	GOLDMAN, SACHS & CO.
	J.P. MORGAN SECURITIES INC.
	DEUTSCHE BANK SECURITIES INC.
		
	By:	 	UBS Securities LLC
		
	By:	 	  

	Name:	 	 
	Title:	 	 
		
	By:	 	  

	Name:	 	 
	Title:	 	 

 Schedule I 
  

			
	 Subsidiary

	 	 Jurisdiction
 of Organization

	 MagnaChip Semiconductor SA Holdings LLC (USA)
	 	Delaware
	 MagnaChip Semiconductor, Inc. (USA)
	 	Delaware
	 MagnaChip Semiconductor Inc. (Japan)
	 	Japan
	 MagnaChip Semiconductor Ltd. (United Kingdom)
	 	United Kingdom
	 MagnaChip Semiconductor Ltd. (Hong Kong)
	 	Hong Kong
	 MagnaChip Semiconductor Ltd. (Taiwan)
	 	Taiwan
	 MagnaChip Semiconductor B.V. (Netherlands)
	 	Netherlands
	 MagnaChip Semiconductor SA Holdings LLC (USA)
	 	DelawarePurchase Agreement Dated as of December 23, 2004

 Exhibit 10.1 
  
 Execution Copy 
  
 MagnaChip Semiconductor S.A. 
 MagnaChip Semiconductor Finance Company 
  
 $300,000,000 Floating Rate Second Priority Senior Secured Notes due 2011 
 $200,000,000 67/8 % Second Priority Senior Secured Notes due 2011 
 $250,000,000 8% Senior Subordinated Notes due 2014 
  
 PURCHASE AGREEMENT 
  
 December 16, 2004 
 New York, New York 
  
 UBS Securities LLC 
 Citigroup Global Markets Inc. 
 Goldman, Sachs & Co. 
 J.P. Morgan Securities Inc. 
 Deutsche Bank Securities Inc. 
 c/o UBS Securities LLC 
 299 Park Avenue 
 New York, New York 10171 
  
 Ladies and Gentlemen: 
  
 MagnaChip Semiconductor S.a r.l, a Luxembourg private limited liability company (societe a responsabilite limitee)
(which will be converted to a Luxembourg public limited liability company (societe anonyme) prior to the Closing Date (as defined herein)) (“Luxco”) and its wholly owned subsidiary, MagnaChip Semiconductor Finance
Company, a Delaware corporation (the “Co-Issuer,” and together with Luxco, the “Issuers”), and MagnaChip Semiconductor LLC, a Delaware limited liability company (“Parent”), and each of the other
Guarantors (as defined herein) agree with you as follows: 
  
 1.
Issuance of Notes. The Issuers propose to issue and sell to UBS Securities LLC (the “Representative”) and Citigroup Global Markets Inc., Goldman, Sachs & Co., J.P. Morgan Securities Inc. and Deutsche Bank Securities Inc.
(together with the Representative, the “Initial Purchasers”) $300,000,000 aggregate principal amount of its Floating Rate Second Priority Senior Secured Notes due 2011 (the “Original Floating Rate Notes”),
$200,000,000 aggregate principal amount of its 67/8 % Second Priority Senior Secured Notes due 2011 (the
“Original Fixed Rate Notes,” and together with the Original Floating Rate Notes, the “Original Senior Notes”) and $250,000,000 aggregate principal amount of its 8% Senior Subordinated Notes due 2014 (the
“Original Subordinated Notes,” and together with the Original Senior Notes, the “Original Notes”). The Issuers’ obligations under the Original Senior Notes and the Senior Notes Indenture (as defined below) will
be, jointly and severally, unconditionally guaranteed (the “Senior Guarantees,” and together with the Original Senior Notes, the “Senior Securities”) on a second-lien, senior 

  

 
secured basis, by Parent and each of the Subsidiaries (as defined below) listed on the signature pages hereto (the “Guarantors”). The
Issuers’ obligations under the Original Subordinated Notes and the Subordinated Notes Indenture (as defined below) will be, jointly and severally, unconditionally guaranteed (the “Subordinated Guarantees,” and together with the
Original Subordinated Notes, the “Subordinated Securities”) on a senior subordinated basis, by each of the Guarantors except MagnaChip Semiconductor, Ltd. (Korea). The Senior Guarantees and the Subordinated Guarantees are referred
to herein as the “Guarantees”. The Senior Securities and the Subordinated Securities are referred to herein as the “Securities.” The Senior Securities will be issued pursuant to an indenture (the “Senior
Notes Indenture”) and the Subordinated Securities will be issued pursuant to a separate indenture (the “Subordinated Notes Indenture,” and together with the Senior Notes Indenture, the “Indentures”), each
to be dated the Closing Date (as defined herein), by and between the Issuers and the trustee to be named therein, as trustee (the “Trustee”). 
  

The Securities will be offered and sold to the Initial Purchasers pursuant to an exemption from the registration requirements under the Securities Act
of 1933, as amended (the “Act”). The Issuers have prepared a preliminary offering memorandum, dated as of December 6, 2004 as supplemented by a Supplemental Preliminary Offering Memorandum dated December 13, 2004, (as supplemented,
the “Preliminary Offering Memorandum”), and a final offering memorandum, dated as of and available for distribution on the date hereof, (the “Offering Memorandum”) relating to the Issuers and the Securities.

  
 It is understood and acknowledged that upon original issuance
thereof, and until such time as the same is no longer required under the applicable requirements of the Act, the Original Notes (and all securities issued in exchange therefor, in substitution thereof) shall bear the legend in the form of Exhibit
A attached hereto (along with such other legends as the Initial Purchasers and their counsel deem necessary). 
  
 The Initial Purchasers have advised the Issuers that the Initial Purchasers intend, as soon as they deem practicable after this Purchase Agreement (this
“Agreement”) has been executed and delivered, to resell (the “Exempt Resales”) the Securities in private sales exempt from registration under the Act on the terms set forth in the Offering Memorandum, as amended or
supplemented, solely to (i) persons whom the Initial Purchasers reasonably believe to be “qualified institutional buyers” (“QIBs”), as defined in Rule 144A under the Act (“Rule 144A”), in accordance with
Rule 144A and (ii) other eligible purchasers pursuant to offers and sales that occur outside the United States within the meaning of Regulation S under the Act (“Regulation S”) in accordance with Regulations S (the persons specified
in clauses (i) and (ii), the “Eligible Purchasers”). 
  
 Holders (including subsequent transferees) of the Senior Securities will have the registration rights under the registration rights agreement (the “Senior Registration Rights Agreement”) and the Holders (including
subsequent transferees) of the Subordinated Securities will have the registration rights under a separate registration rights agreement (the “Subordinated Registration Rights Agreement” and together with the Senior Registration
Rights Agreement, the “Registration Rights Agreements”), among the Issuers, the applicable Guarantors and the Initial Purchasers, to be dated the Closing Date, substantially in the form attached hereto as Exhibit B. Under the
Registration Rights Agreements, the Issuers will agree to (i) file with the Securities and Exchange Commission (the “Commission”) (a) a registration statement under the Act (the “Exchange Offer Registration
Statement”) relating to new issues of debt securities (collectively with the Private Exchange Notes (as defined in the Registration Rights Agreements), the “Exchange Notes” and, 

  

 2 

 
together with the Original Notes, the “Notes”), guaranteed by the guarantors under the Indentures, to be offered in exchange for the
Original Notes and the Guarantees thereof (the “Exchange Offer”) and issued under the Indentures or indentures substantially identical to the Indentures and/or (b) under certain circumstances set forth in the Registration Rights
Agreements, a shelf registration statement pursuant to Rule 415 under the Act (the “Shelf Registration Statement”) relating to the resale by certain holders of the Original Notes and the Guarantees thereof, (ii) to use all
commercially reasonable efforts to cause the Exchange Offer Registration Statement and, if applicable, the Shelf Registration Statement to be declared effective and (iii) to use all commercially reasonable efforts to consummate the Exchange Offer,
all within the time periods specified in the Registration Rights Agreements. 
  
 The Senior Securities will have the benefit of the Security Documents (as defined in the Senior Notes Indenture), pursuant to which the Issuers will, among other things, grant security interests in and liens on
substantially all of the assets of the Parent and the Guarantors that secure our new senior secured credit facility, subject to certain exceptions, as described in the Offering Memorandum (the “Collateral”). 
  
 The Collateral securing the Senior Securities will be governed by (a) the
Intercreditor Agreement, to be dated as of the Closing Date (the “Intercreditor Agreement”), among the Issuers, the Parent, the pledgors from time to time party thereto, the UBS AG, Stamford Branch, as Administrative Agent, the
Collateral Trustee and the Trustee, (b) the Security Agreement, to be dated as of the Closing Date (as defined herein) (the “Security Agreement”), between the Issuers and the Collateral Trustee (as defined in the Senior Notes
Indenture) and (c) the Security Documents. 
  
 The Securities are
being offered and sold by the Issuers in connection with a refinancing and recapitalization plan (the “Refinancing”) that includes, among other things, (i) the establishment by the Issuers of a new senior secured bank credit
facility pursuant to the Credit Agreement, among the Issuers, the Guarantors, the lenders party thereto, UBS Securities LLC, as Arranger, Bookmanager, Documentation Agent and Syndication Agent, and UBS AG, Stamford Branch, as Issuing Bank,
Administrative Agent and Collateral Agent, and UBS Loan Finance LLC, as Swingline Lender, expected to be dated on or about the Closing Date (together with all other documents related to such facility, the “Credit Documents”),
consisting of a multicurrency revolving credit facility of up to $100.0 million, (ii) the repayment by MagnaChip Semiconductor Ltd. (Korea) of all of its obligations outstanding pursuant to the loan agreement, dated September 23, 2004, among Hynix
Semiconductor Inc., as borrower, Korea Exchange Bank, as arranger, the banks and other financial institutions named therein as lenders, Korea Exchange Bank as agent and security agent (the “Original Credit Agreement”) and the
related Novation Agreement, dated October 6, 2004, among Hynix Semiconductor Inc., as existing borrower, Korea Exchange Bank, the other financial institutions named therein, and MagnaChip Semiconductor, Ltd. (Korea), as new borrower (the
“Novation Agreement,” and together with the Original Credit Agreement the “Existing Credit Agreement”), other than loans (and reimbursements with respect to any letters of credit still outstanding thereunder) which
may not be prepaid prior to one year following the date such loan is made, and (iii) the redemption of (a) $50 million worth of the Parent’s outstanding Series B Preferred Units prior to the Closing Date, (b) all of the Parent’s
outstanding Series A Preferred Units on or after the Closing Date and (c) approximately $308 million worth of the Parent’s outstanding Series B Preferred Units on or after the Closing Date, all as described in the Offering Memorandum.

  

 3 

 This Agreement, the Notes, the Guarantees, the Indentures, the Security Documents and the Registration
Rights Agreements, the Exchange Notes and the related Guarantees are hereinafter sometimes referred to collectively as the “Note Documents.” The Note Documents and the Credit Documents are hereinafter sometimes referred to
collectively as the “Transaction Documents.” The issuance and sale of the Securities (including the grant of security interests and liens pursuant to the Security Documents), the effectiveness of the Credit Documents and the initial
borrowings thereunder and the Refinancing are collectively referred to as the “Transactions.” 
  
 2. Agreements to Sell and Purchase. On the basis of the representations, warranties and covenants contained in this Agreement, and subject
to the terms and conditions contained in this Agreement, the Issuers agree to issue and sell to the Initial Purchasers, and on the basis of the representations, warranties and covenants contained in this Agreement, and subject to the terms and
conditions contained in this Agreement, each of the Initial Purchasers, severally and not jointly, agrees to purchase from the Issuers, the aggregate principal amount of the Securities set forth opposite its name on Schedule I attached
hereto. The purchase price for the Senior Securities shall be 97.75% of their principal amount and the purchase price for the Subordinated Securities shall be 97.5%; provided that $40.0 million in aggregate principal amount of Original Subordinated
Notes purchased by the Initial Purchasers shall be purchased at a purchase price of 100% of the principal amount thereof and shall be resold to an affiliate of Citigroup Venture Capital Equity Partners, L.P. or such affiliate’s designees for a
purchase price equal to 100% of the principal amount thereof. The Issuers and the Guarantors shall not be obligated to deliver any of the securities to be delivered hereunder except upon payment for all of the securities to be purchased as provided
herein. 
  
 3. Delivery and Payment. Delivery of,
and payment of the purchase price for, the Securities shall be made at 10:00 a.m., New York time, on December 22, 2004 (such date and time, the “Closing Date”) at the offices of Latham & Watkins LLP, 233 South Wacker Drive,
Suite 5800, Chicago Illinois 60606. The Closing Date and the location of delivery of and the form of payment for the Securities may be varied by mutual agreement between the Initial Purchasers and the Issuers. 
  
 The Securities shall be delivered by the Issuers to the Initial Purchasers
(or as the Initial Purchasers direct) through the facilities of The Depository Trust Company against payment by the Initial Purchasers of the purchase price therefor by means of wire transfer of immediately available funds to such account or
accounts specified by the Issuers in accordance with Section 8(h) on or prior to the Closing Date, or by such means as the parties hereto shall agree prior to the Closing Date. The Securities shall be evidenced by one or more certificates in global
form registered in such names as the Initial Purchasers may request upon at least one business day’s notice prior to the Closing Date and having an aggregate principal amount corresponding to the aggregate principal amount of the Securities.

  
 4. Agreements of the Issuers and the Guarantors. Each
of the Issuers and the Guarantors, jointly and severally, covenants and agrees with the Initial Purchasers as follows: 
  
 (a) To furnish the Initial Purchasers and those persons identified by the Initial Purchasers, without charge, with as many copies of the
Preliminary Offering Memorandum and the Offering Memorandum, and any amendments or supplements thereto, as the Initial Purchasers may reasonably request. The Issuers 

  

 4 

 
consent to the use of the Preliminary Offering Memorandum and the Offering Memorandum, and any amendments and supplements thereto, by the Initial Purchasers
in connection with Exempt Resales. 
  
 (b) Not to
make any changes or additions to the information contained in the Offering Memorandum from the corresponding information contained in the Preliminary Offering Memorandum other than (i) changes to reflect pricing information with respect to the
Securities and (ii) such other changes and additions as to which the Initial Purchasers shall previously have been advised of in writing reasonably in advance and to which they shall not have reasonably objected within a reasonable period of time
after being so advised. 
  
 (c) If, prior to the
time that the Initial Purchasers have completed their distribution of the Securities, any event shall occur or information become known that, in the reasonable judgment of the Issuers or the Guarantors or in the reasonable judgment of counsel to the
Initial Purchasers, makes any statement of a material fact in the Offering Memorandum, as then amended or supplemented, untrue or that requires the making of any additions to or changes in the Offering Memorandum in order to make the statements in
the Offering Memorandum, as then amended or supplemented, in the light of the circumstances under which they are made, not misleading, or if it is necessary to amend or supplement the Offering Memorandum to comply with all applicable laws, the
Issuers shall promptly notify the Initial Purchasers of such event and (subject to Section 4(b)) prepare an appropriate amendment or supplement to the Offering Memorandum so that (i) the statements in the Offering Memorandum, as amended or
supplemented, will not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements therein, in the light of the circumstances at the time that the Offering Memorandum is delivered to
prospective Eligible Purchasers, not misleading and (ii) the Offering Memorandum will comply with applicable law. 
  
 (d) To qualify or register the Securities for offering and sale by the Initial Purchasers under the securities laws of such jurisdictions
as the Initial Purchasers may reasonably request. Notwithstanding the foregoing, no Issuer nor Guarantor shall be required to qualify as a foreign corporation in any jurisdiction in which it is not now so qualified or to execute a general consent to
service of process or any service of process in any such jurisdiction or subject itself to taxation in excess of a nominal dollar amount in any such jurisdiction where it is not then so subject. 
  
 (e) To advise the Initial Purchasers promptly, and if
requested by the Initial Purchasers, to confirm such advice in writing, of the issuance by any securities commission of any stop order suspending the qualification or exemption from qualification of any of the Securities for offering or sale in any
jurisdiction, or the initiation of any proceeding for such purpose by any securities commission or other regulatory authority. The Issuers shall use their reasonable best efforts to prevent the issuance of any stop order or order suspending the
qualification or exemption of any of the Securities under any securities laws, and if at any time any securities commission or other regulatory authority shall issue an order suspending the qualification or exemption of any of the Securities under
any securities laws, the Issuers shall use their reasonable best efforts to obtain the withdrawal or lifting of such order at the earliest possible time. 
  
 (f) Whether or not the transactions contemplated by this Agreement are consummated, to pay all costs, expenses, fees and disbursements
(including fees and disbursements of counsel and accountants for the Issuers, but not, however, legal fees, expenses or disbursements of the Initial Purchasers’ counsel incurred 

  

 5 

 
in connection therewith unless explicitly stated below) incurred and stamp, documentary or similar taxes incident to and in connection with: (i) the
preparation, printing and distribution of the Preliminary Offering Memorandum and the Offering Memorandum and any amendments and supplements thereto, (ii) 100% of the expenses of any aircraft, and 50% of all other expenses (including other travel
related expenses) of the Issuers and the Initial Purchasers in connection with any meetings with prospective investors in the Securities, (iii) the preparation, notarization (if necessary) and delivery of the Note Documents, the Security Documents
and all other agreements, memoranda, correspondence and documents prepared and delivered in connection with this Agreement and with the Exempt Resales, (iv) the issuance, transfer and delivery of the Securities by the Issuers to the Initial
Purchasers, (v) the qualification or registration of the Securities for offer and sale under the securities laws of the several states of the United States, provinces of Canada, and such other jurisdictions as the Initial Purchasers may reasonably
request as to which the Issuers do not reasonably object (including, without limitation, the cost of printing and mailing preliminary and final Blue Sky or legal investment memoranda and reasonable fees and disbursements of counsel (including local
counsel) to the Initial Purchasers relating thereto), (vi) the application for quotation of the Securities in The Portal MarketSM (“Portal”) of the National Association of Securities Dealers, Inc. (“NASD”), (vii) the inclusion of the Securities in the book-entry system of The Depository Trust Company (“DTC”),
(viii) the rating of the Securities by rating agencies, (ix) the reasonable fees and expenses of the Trustee and the Collateral Agent and their counsel, (x) the performance by the Issuers of their other obligations under the Note Documents and (xi)
all reasonable expenses associated with performance by the Issuers and the Guarantors of their obligations under Section 8(h) of this Agreement or under any of the Security Documents except as otherwise specified therein. 
  
 (g) To use the proceeds from the sale of the Original Notes
and initial borrowings under the Credit Agreement, if any, substantially in the manner described in the Offering Memorandum under the caption “Use of proceeds.” 
  
 (h) To do and perform all things required to be done and performed under this Agreement by it prior to or
after the Closing Date and to satisfy all conditions precedent on their part to the delivery of the Securities. 
  
 (i) Not to, and not to permit any Subsidiary to, sell, offer for sale or solicit offers to buy any security (as defined in the Act) that
would be integrated with the sale of the Securities in a manner that would require the registration under the Act of the sale of the Securities to the Initial Purchasers or any Eligible Purchasers. 
  
 (j) During the period of two years after the Closing Date,
not to, and to cause its affiliates (as defined in Rule 144 under the Act) not to, resell any of the Securities that constitute “restricted securities” under Rule 144 that have been reacquired by any of them, other than to an Issuer or an
affiliate of either Issuer. 
  
 (k) Not to
engage, not to allow any Subsidiary to engage, and to cause its other affiliates and any person acting on their behalf (other than, in any case, the Initial Purchasers and any of their affiliates, as to whom the Issuers make no covenant) not to
engage, in any form of general solicitation or general advertising 

  

 6 

 
(within the meaning of Regulation D under the Act) in connection with any offer or sale of the Securities in the United States prior to the effectiveness of
a registration statement, if any, with respect to the Securities. 
  
 (l) Not to engage, not to allow any Subsidiary to engage, and to cause its other affiliates and any person acting on their behalf (other than, in any case, the Initial Purchasers and any of their affiliates, as to
whom the Issuers makes no covenant) not to engage, in any directed selling effort with respect to the Securities, and to comply with the offering restrictions requirement of Regulation S. Terms used in this paragraph have the meanings given to them
by Regulation S. 
  
 (m) From and after the
Closing Date, for so long as any of the Securities remain outstanding and are “restricted securities” within the meaning of Rule 144(a)(3) under the Act and during any period in which the Issuers are not subject to Section 13 or 15(d) of
the Securities Exchange Act of 1934, as amended (the “Exchange Act”), to make available upon request the information required by Rule 144A(d)(4) under the Act to (i) any holder or beneficial owner of Securities in connection with
any sale of such Securities and (ii) any prospective purchaser of such Securities from any such holder or beneficial owner designated by the holder or beneficial owner. The Issuers will pay the expenses of preparing, printing and distributing such
documents. 
  
 (n) To comply with their
obligations under the Registration Rights Agreements. 
  
 (o) To comply with their obligations under the letter of representations to DTC relating to the approval of the Securities by DTC for “book-entry” transfer and to use their best efforts to obtain approval of the Securities by DTC
for “book-entry” transfer. 
  
 (p)
Prior to the Closing Date, to furnish without charge to the Initial Purchasers, (i) as soon as they have been prepared by the Issuers, a copy of any regularly prepared internal financial statements of the Parent and the Subsidiaries for any period
subsequent to the period covered by the financial statements appearing in the Offering Memorandum, and (ii) all other financial reports that the Issuers mail or otherwise makes available to its security holders. 
  
 (q) Not to, and not to permit any of its affiliates or
anyone acting on its or its affiliates’ behalf to (other than the Initial Purchasers and their affiliates), distribute prior to the Closing Date any offering material in connection with the offer and sale of the Securities other than the
Preliminary Offering Memorandum and the Offering Memorandum, or any amendment or supplement thereto prepared in accordance with Section 4(b). 
  
 (r) During the period of two years after the Closing Date or, if earlier, until such time as the Securities are no longer restricted
securities (as defined in Rule 144 under the Act), not to be or become a closed-end investment company required to be registered, but not registered, under the Investment Company Act of 1940. 
  
 (s) In connection with the offering, until the Initial
Purchasers shall have notified the Issuers of the completion of the distribution of the Securities, not to, and not to permit any of its affiliates (as such term is defined in Rule 501(b) of Regulation D under the Act) to, either alone or with one
or more other persons, other than with respect to the sale to an affiliate or such affiliate’s designees of Citigroup Venture Capital 

  

 7 

 
Equity Partners, L.P. as stated in Section 2 hereof, bid for or purchase for any account in which it or any of its affiliates has a beneficial interest, for
the purpose of creating actual or apparent active trading in, or of raising the price of, the Securities. 
  
 (t) To use all commercially reasonable efforts to effect the inclusion of the Securities in Portal. 
  
 (u) During the period from the date hereof through and
including the date that is 90 days after the date hereof, without the prior written consent of the Representative, offer, sell, contract to sell or otherwise dispose of any debt securities issued or guaranteed by the Issuers, the Parent or any
Subsidiary and having a tenor of more than one year, except in connection with the Exchange Offer. 
  
 (v) To provide all certificates, agreements, including control agreements, or instruments, if any, reasonably necessary to perfect the
Collateral Agent’s and the Collateral Trustees’ (as applicable) security interest in any of the Collateral of each of the Issuers and Guarantors after the Closing Date subject to the reasonable satisfaction of the Trustee and its counsel
and reasonably practicable under local law. 
  
 5.
Representations and Warranties. (a) Each of the Issuers and the Guarantors, jointly and severally, represents and warrants to the Initial Purchasers that: 
  
 (i) The Preliminary Offering Memorandum and the Offering Memorandum, and each amendment or supplement
thereto, if any, have been prepared for use in connection with the Exempt Resales. None of the Preliminary Offering Memorandum (as supplemented by the supplement to the Preliminary Offering Memorandum dated December 13, 2004), the Offering
Memorandum or any supplement or amendment thereto as of their respective dates contains any untrue statement of a material fact or omits to state any material fact necessary in order to make the statements therein, in the light of the circumstances
under which they were made, not misleading; provided, however, that this representation and warranty does not apply to statements in or omissions from the Preliminary Offering Memorandum and the Offering Memorandum and any amendments
or supplements thereto made in reliance upon and in conformity with information relating to the Initial Purchasers furnished to the Issuers in writing by or on behalf of the Initial Purchasers expressly for use therein. No order preventing the use
of the Preliminary Offering Memorandum or the Offering Memorandum, or any amendment or supplement thereto, or any order asserting that any of the transactions contemplated by this Agreement are subject to the registration requirements of the Act,
has been issued or, to the knowledge of the Issuers, has been threatened. 
  
 (ii) There are no securities of the Issuers that are listed on a national securities exchange registered under Section 6 of the Exchange Act or that are quoted in a United States automated interdealer quotation system
of the same class within the meaning of Rule 144A as the Securities. 
  
 (iii) As of September 30, 2004, the Issuers, the Parent and their subsidiaries on a consolidated basis shall have the capitalization as set forth under the “Actual” column under the heading
“Capitalization” in the Offering Memorandum. All of the issued and outstanding equity interests of the Issuers and the Parent have been duly authorized and validly issued, are fully paid and nonassessable and were not issued in violation
of any preemptive or similar right. Attached as Schedule II is a true and complete list of each entity in which the Parent has a direct or indirect majority equity or voting interest (each a “Subsidiary” and, together, the
“Subsidiaries”), their jurisdictions of organization and percentage held by each equityholder. All 

  

 8 

 
of the issued and outstanding equity interests of each Subsidiary have been duly and validly authorized and issued, are fully paid and nonassessable, were
not issued in violation of any preemptive or similar right and, except as set forth in the Offering Memorandum, are owned, directly or indirectly through Subsidiaries, by the Parent free and clear of all liens (other than transfer restrictions
imposed by the Act, the securities or Blue Sky laws of certain jurisdictions and security interests granted pursuant to or permitted by the Indentures, the Security Documents and the Credit Documents). Except as set forth in the Offering Memorandum,
there are no outstanding options, warrants or other rights to acquire or purchase, or instruments convertible into or exchangeable for, any equity interests of the Parent. Except as set forth in the Second Amended and Restated Securityholders’
Agreement dated as of October 6, 2004, by and among the Parent and the other parties thereto, no holder of any securities of the Parent, the Issuers or any of the Subsidiaries is entitled to have such securities (other than the Securities)
registered under any registration statement contemplated by the Registration Rights Agreements 
  
 (iv) Each of the Parent, the Issuers and each Guarantor (A) is a corporation, limited liability company, partnership or other entity duly
organized and validly existing under the laws of the jurisdiction of its organization; (B) has all requisite corporate or other power and authority necessary to own its property and carry on its business as now being conducted and (C) is qualified
to do business and is in good standing in all jurisdictions in which the nature of the business conducted by it or its ownership of property makes such qualification necessary, except where the failure to be so qualified and be in good standing,
individually or in the aggregate, could not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. A “Material Adverse Effect” means a material adverse effect on the business, financial
condition, results of operations or properties of the Parent, the Issuers and the Subsidiaries, taken as a whole. 
  
 (v) Each Issuer has all requisite corporate or other power and authority to execute, deliver and perform all of their obligations under
the Note Documents to which they are a party and to consummate the transactions contemplated hereby, and, without limitation, the Issuers have all requisite corporate power and authority to issue, sell and deliver and perform their obligations under
the Notes. 
  
 (vi) This Agreement has been duly
and validly authorized, executed and delivered by each Issuer and each Guarantor. 
  
 (vii) The Indentures have been duly and validly authorized by each Issuer and each Guarantor and, when duly executed and delivered by the
Issuers and the Guarantors (assuming the due authorization, execution and delivery thereof by the Trustee), will be the legally binding and valid obligations of each such Issuer and Guarantor, enforceable against it in accordance with their terms,
except as may be limited by bankruptcy, insolvency, reorganization, fraudulent conveyance, moratorium or similar laws relating to or affecting creditors’ rights generally, by general principles of equity and the discretion of the court before
which any proceeding therefor may be brought (whether considered in a proceeding in equity or at law) or an implied covenant of good faith and fair dealing, and other similar doctrines affecting the validity, legally binding nature or enforceability
of obligations or agreements generally and, as to rights of indemnification and contribution, by federal or state securities laws or principles of public policy (the “Enforceability Exceptions”). The Indentures, when executed and
delivered, will conform in all material respects to the description thereof in the Offering Memorandum. 
  

 9 

 (viii) The Original Notes have been duly and validly authorized for issuance and sale to
the Initial Purchasers by the Issuers, and when duly executed, issued and delivered by the Issuers against payment therefor by the Initial Purchasers in accordance with the terms of this Agreement and the Indentures, and duly authenticated by the
Trustee, the Original Notes will be legally binding and valid obligations of the Issuers, entitled to the benefits of the Indentures and enforceable against the Issuers in accordance with their terms, except as may be limited by the Enforceability
Exceptions. The Original Notes, when issued, authenticated and delivered, will conform in all material respects to the description thereof in the Offering Memorandum. The Exchange Notes have been, or on or before the Closing Date will be, duly and
validly authorized for issuance by the Issuers, and when duly executed, issued and delivered by the Issuers in accordance with the terms of the Registration Rights Agreements, the Exchange Offer and the Indentures, and when duly authenticated by the
Trustee, the Exchange Notes will be legally binding and valid obligations of the Issuers, entitled to the benefits of the Indentures and enforceable against the Issuers in accordance with their terms, except as may be limited by the Enforceability
Exceptions. 
  
 (ix) Each of the Senior
Guarantees and the Subordinated Guarantees have been duly and validly authorized by each of the Guarantors and, when the Original Notes are duly executed, issued and delivered by the Issuers against payment by the Initial Purchasers, and
authenticated by the Trustee, in each case in accordance with the terms of this Agreement and the Indentures, will be legally binding and valid obligations of the Guarantors, enforceable against each of them in accordance with their terms, except as
may be limited by the Enforceability Exceptions. The guarantees of the Exchange Notes have been duly and validly authorized by each of the Guarantors and, when the Exchange Notes are duly executed, issued and delivered by the Issuers, and
authenticated by the Trustee, in each case in accordance with the terms of the Registration Rights Agreements, the Exchange Offer and the Indentures, will be legally binding and valid obligations of the Guarantors, enforceable against each of them
in accordance with their terms, except as may be limited by the Enforceability Exceptions. 
  
 (x) The Registration Rights Agreements have been duly and validly authorized by each Issuer and each Guarantor and, when duly executed and
delivered by the Issuers and the Guarantors (assuming the due authorization, execution and delivery thereof by the Initial Purchasers), will constitute a valid and legally binding obligation of each such Issuer and Guarantor, enforceable against it
in accordance with its terms, except as may be limited by the Enforceability Exceptions. The Registration Rights Agreements, when executed and delivered, will conform in all material respects to the description thereof in the Offering Memorandum.

  
 (xi) Each of the Security Documents has been
duly and validly authorized by each Issuer, Parent or Guarantor party thereto and, when duly executed and delivered by the Issuers, the Parent, or any such Guarantor (assuming the due authorization, execution and delivery thereof by the Collateral
Agent), will constitute a valid and legally binding obligation of each such Issuer, Parent or Guarantor, enforceable against them in accordance with its terms, except as may be limited by the Enforceability Exceptions. 
  
 (xii) Upon filing, recording or registration of appropriate
financing statements (containing adequate descriptions of the personal property Collateral), Mortgages and similar instruments with the appropriate governmental authorities (including payment of the appropriate filing or recording fees and any
applicable taxes) and delivery of the applicable documents to the Collateral Trustee in accordance with the provisions 

  

 10 

 
of the Security Documents, holders of Senior Notes will have a valid and perfected second priority Lien on Collateral consisting of certain real property and
a perfected second priority security interest in Collateral consisting of certain personal property, on the Closing Date, superior to and prior to the Liens of all third persons other than the holders of Permitted Prior Liens (as defined in the
Security Agreement or as defined in the Senior Notes Indenture), as applicable, and, in the case of the mortgaged property, Prior Liens (as defined in the applicable Mortgage), and thereafter subject to no other Liens, except for Permitted Liens (as
defined in the applicable Security Documents). 
  
 (xiii) With respect to the mortgaged property, except in each case as would not, individually or in the aggregate, have a Material Adverse Effect: (A) the water, gas, electricity, telecommunications and other utilities serving the mortgaged
property are currently adequate in all material respects to service the normal operations conducted thereon consistent with past practice; (B) each mortgaged property has physical and legal vehicular and pedestrian access to and from public
roadways; and (C) Issuers have not received any written notice for assessments for public improvements against any of the mortgaged property that remain unpaid and no such assessment has been proposed in writing. The Issuers have not received any
written notice or order by any governmental authority, any insurance company which has issued a policy with respect to any of such mortgaged property or the Korea Fire Protection Association or other body exercising similar functions which (I)
related to any material violations of or material non-conformity with any applicable law concerning zoning, building, safety or subdivision with respect to any of the mortgaged property, (II) claims any material defect or deficiency with respect to
any of the mortgaged property or (III) requests the performance of any material repairs, alterations or other work to or in any of the mortgaged property or in the streets bounding the same. There is no pending condemnation, expropriation, eminent
domain or similar proceeding affecting all or any portion of any of the mortgaged property and no such proceeding is threatened. The water, oil, gas, electrical, telecommunications, sewer, storm and waste water systems and other utility services or
systems for the mortgaged property which have been installed are operational and sufficient for the operation of the Issuers and Guarantors business as currently conducted. Except to the extent that such condition would not reasonably be expected to
have a Material Adverse Effect or not have a material adverse effect on the affected mortgaged property or materially impair the conduct of Issuers’ and the Guarantors’ business as currently conducted, (I) no improvements erected on any
mortgaged property encroaches on any adjoining property or street; (II) the Issuers and Guarantors are in actual exclusive possession or control of the mortgaged property, subject to space leases which do not materially interfere with the conduct of
the business as currently conducted; and (III) each owned mortgaged property and the use thereof by the Issuers and the Guarantors in connection with the business as currently used complies with all material covenants, easements, and restrictions of
record affecting such mortgaged property. 
  
 (xiv) [Reserved]. 
  
 (xv) Neither the
Parent, the Issuers nor any Guarantor is (A) in violation of its charter, bylaws or other constitutive documents, (B) in default (or, with notice or lapse of time or both, would be in default) in the due performance or observance of any obligation,
agreement, covenant or condition contained in any bond, debenture, note, indenture, mortgage, deed of trust, loan or credit agreement, lease, license, franchise agreement, authorization, permit, certificate or other agreement or instrument to which
the Parent, the Issuers or any Subsidiary is a party or by which any of them is bound or to which any of their assets or properties is subject (collectively, “Agreements and Instruments”), or (C) in violation of any law, statute,
rule or regulation 

  

 11 

 
or any judgment, order or decree of any domestic or foreign court or other governmental or regulatory authority, agency or other body with jurisdiction over
any of them or any of their assets or properties (“Governmental Authority”), except, in the case of clauses (B) and (C), for such defaults or violations as could not reasonably be expected to have, individually or in the aggregate,
a Material Adverse Effect. 
  
 (xvi) The
execution, delivery and performance of the Transaction Documents and consummation of the Transactions does not and will not (i) violate the charter, bylaws or other constitutive documents of the Parent, the Issuers or any Subsidiary, (ii) conflict
with or constitute a breach of or a default under (or an event that with notice or the lapse of time, or both, would constitute a default), or require consent under, or result in a Repayment Event (as defined below), other than a Repayment Event
that will be satisfied at the Closing Time as contemplated by the Offering Memorandum, or the creation or imposition of a lien, charge or encumbrance on any property or assets of the Parent, the Issuers or any Subsidiary (other than as created
pursuant to or permitted by the Senior Notes Indenture, the Security Documents and the Credit Documents) under any of the Agreements and Instruments or (iii) violate any law, statute, rule or regulation, including, without limitation, Regulation T,
U or X of the Board of Governors of the Federal Reserve System, or any judgment, order or decree of any Governmental Authority, except in the case of clauses (ii) and (iii), for such conflict or violation which could not reasonably be expected,
individually or in the aggregate, to result in a Material Adverse Effect. Assuming the accuracy of the representations and warranties of the Initial Purchasers in Section 5(b) of this Agreement, no consent, approval, authorization or order of, or
filing, registration, qualification, license or permit of or with, any Governmental Authority is required to be obtained or made by the Parent, the Issuers or any Guarantor for the execution, delivery and performance by the Parent, the Issuers or
any Guarantor of the Transaction Documents and the consummation of the Transactions, except (A) such as have been or will be obtained or made on or prior to the Closing Date, (B) registration of the Exchange Offer or resale of the Notes under the
Act pursuant to the Registration Rights Agreements, and qualification of the Indentures under the Trust Indenture Act of 1939, as amended (the “Trust Indenture Act”), in connection with the issuance of the Exchange Notes, (C) such
filings and recordings with Governmental Authorities as may be required to perfect liens under the Security Documents and the Credit Documents, (D) such consents, approvals, authorizations, orders, filings, registrations, qualifications, licenses or
permits as may be required under state securities or Blue Sky laws in connection with the purchase and distribution of the Notes or (E) with respect to such consent, approval, authorization or order of, or filing, registration, qualification,
license or permit, which could not reasonably be expected, individually or in the aggregate, to have a Material Adverse Effect . No consents or waivers from any other person or entity are required for the execution, delivery and performance of the
Transaction Documents and the consummation of the Transactions, other than such consents and waivers as have been obtained or will be obtained prior to the Closing Date and will be in full force and effect. As used herein, a “Repayment
Event” means any event or condition which gives the holder of any note, debenture or other evidence of indebtedness (or any person acting on such holder’s behalf) the right to require the repurchase, redemption or repayment of all or a
portion of such indebtedness by the Parent, the Issuers or any Subsidiary. 
  
 (xvii) The public accountant whose report is included in the Offering Memorandum are independent within the meaning of Rule 101 of the Code of Professional Conduct of the American Institute of Certified Public
Accountants, and its rulings and interpretations. The historical financial statements (including the notes thereto) included in the Offering Memorandum present fairly in all material respects the consolidated financial position, results of
operations, cash flows and changes in stockholder’s equity of the entities to 

  

 12 

 
which they relate at the respective dates and for the respective periods indicated. All such financial statements have been prepared in accordance with
generally accepted accounting principles in the United States (“GAAP”) applied on a consistent basis throughout the periods presented (except as disclosed therein) and in compliance with Regulation S-X (“Regulation
S-X”) under the Exchange Act, except that the interim financial statements do not include full footnote disclosure, and, because MagnaChip Semiconductor, Ltd. (Korea) is not guaranteeing the Subordinated Securities, an additional footnote
to the financial statements is required to show condensed financial information for the guarantor and non-guarantor financial statements in a consolidating format. The historical financial information set forth under the captions “Offering
memorandum summary — Summary historical and pro forma consolidated financial data,” “Summary historical and pro forma consolidated financial data” and “Selected financial and other data” included in the Offering
Memorandum have been prepared on a basis consistent with that of the audited financial statements of MagnaChip Semiconductor, Limited. The ratio of earnings to fixed charges has been calculated in compliance with Item 503(d) of Regulation S-K. Since
the date as of which information is given in the Offering Memorandum, except as set forth or contemplated in the Offering Memorandum, (A) neither the Parent, the Issuers or any Guarantor has (1) incurred any liabilities or obligations, direct or
contingent, that could, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect, or (2) entered into any material transaction not in the ordinary course of business, (B) there has not been any event or development
in respect of the business or condition (financial or other) of the Issuers or any Guarantor that, either individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect, (C) there has been no dividend or
distribution of any kind declared, paid or made by the Parent on any of its equity interests and (D) there has not been any material increase in the long-term debt of the Issuers or any Guarantor. 
  
 (xviii) The unaudited proforma consolidated financial
statements (including notes “(a)” through “(dd)” thereto) under the caption “Unaudited proforma consolidated financial information” included in the Offering Memorandum have been prepared in good faith and the Issuers
believe that they substantially comply with the applicable requirements of Regulation S-X and the Commission’s rules and guidelines with respect to pro forma financial statements. The proforma adjustments related to the proforma condensed
consolidated income statement have been computed assuming the Acquisition (as defined in the Offering Memorandum) or the Acquisition and the offering and sale of the Securities (the “Offering”), as applicable, were consummated at the
beginning of the fiscal year presented and includes all adjustments which give effect to events that are (i) directly attributable to the Acquisition or the Acquisition and the Offering, as applicable, (ii) expected to have a continued impact on the
Issuers and (iii) factually supportable. The pro forma adjustments related to the condensed consolidated balance sheet was computed assuming the Acquisition or the Acquisition and the Offering, as applicable, was consummated at the end of the most
recent period for which a balance sheet is required by Rule 3-01 of Regulation SX and includes all adjustments which give effect to events that are directly attributable to the Acquisition or the Acquisition and the Offering, as applicable, and are
factually supportable regardless of whether they have a continuing impact or are non-recurring. All adjustments are referenced to notes that clearly explain the assumptions involved. The assumptions and computations used in preparing the pro forma
financial statements and the other pro forma financial data included in the Offering Memorandum are made on a reasonable basis and in good faith, and present fairly in all material respects the historical financial information and impact of the
Acquisition and the Offering as contemplated by the Offering Memorandum. 
  

 13 

 (xix) The statistical and market-related data included in the Offering Memorandum are
based on or derived from sources that the Issuers believe to be reliable and accurate in all material respects and represent their good faith estimates that are made on the basis of data derived from such sources. The Issuers have obtained the
written consent to the use of such data from such sources to the extent required. 
  
 (xx) As of the date hereof and as of the Closing Date, immediately prior to and immediately following the consummation of the
Transactions, together, the Issuers are and will be Solvent. As used herein, “Solvent” shall mean, for any person on a particular date, that on such date (A) the fair value of the property of such person is greater than the total
amount of liabilities, including, without limitation, contingent liabilities, of such person, (B) the present fair salable value of the assets of such person is not less than the amount that will be required to pay the probable liability of such
person on its debts as they become absolute and matured, (C) such person does not intend to, and does not believe that it will, incur debts and liabilities beyond such person’s ability to pay as such debts and liabilities mature, (D) such
person is not engaged in a business or a transaction, and is not about to engage in a business or a transaction, for which such person’s property would constitute an unreasonably small capital and (E) such person is able to pay its debts as
they become due and payable. 
  
 (xxi) Except as
set forth in the Offering Memorandum, there is (A) no action, suit or proceeding before or by any Governmental Authority or arbitrator, now pending or, to the knowledge of the Issuers, threatened or contemplated, to which the Parent, the Issuers or
any Guarantor is or may be a party or to which the business, assets or property of the Parent, the Issuers or any Guarantor is or may be subject, (B) no law, statute, rule or regulation that has been enacted, adopted or issued or, to the knowledge
of the Issuers, that has been proposed by any Governmental Authority, (C) no judgment, decree or order of any Governmental Authority that, in any of clause (A), (B) or (C), could reasonably be expected, individually or in the aggregate, to have a
Material Adverse Effect. 
  
 (xxii) Except as
could not reasonably be expected to have a Material Adverse Effect, no labor disturbance by the employees of the Parent, the Issuers or any Subsidiary exists or, to the knowledge of the Issuers, is imminent. 
  
 (xxiii) Except as disclosed in the Offering Memorandum or as
could not reasonably be expected, individually or in the aggregate, to have a Material Adverse Effect, (A) the Parent, the Issuers and the Guarantors are in compliance with and not subject to any pending or, to their knowledge, threatened liability
under applicable Environmental Laws (as defined below), (B) the Parent, the Issuers and the Guarantors have made all filings and provided all notices required under any applicable Environmental Law, and have, and are in compliance with, all permits,
licenses or other approvals required under any applicable Environmental Laws for their current operations and each of them is in full force and effect, (C) there is no civil, criminal or administrative action, suit, demand, claim, hearing, notice of
violation, investigation, proceeding, notice or demand letter or request for information pending or, to their knowledge, threatened against the Parent, the Issuers or any Guarantor under any Environmental Law, (D) no lien, charge, encumbrance or
restriction is recorded under any Environmental Law with respect to any assets, facility or property owned, operated, leased or controlled by the Issuers or any Guarantor, (E) neither the Parent, the Issuers nor any Guarantor has received notice
that it has been identified as a potentially responsible party under the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended (“CERCLA”), or any comparable 

  

 14 

 
law of any state of the United States, Korea or the jurisdiction of incorporation or organization of any of the Guarantors and (F) no property or facility of
the Parent, the Issuers or any Guarantor is (y) listed or proposed for listing on the National Priorities List under CERCLA or (z) listed on the Comprehensive Environmental Response, Compensation and Liability Information System List promulgated
pursuant to CERCLA, or on any comparable list maintained by any Governmental Authority. 
  
 For purposes of this Agreement, “Environmental Laws” means the common law and all applicable federal, state, local and foreign laws, regulations, rules, ordinances, codes, orders, decrees, judgments,
injunctions or any other legally enforceable requirement issued, promulgated, approved or entered thereunder, relating to pollution or protection of public or employee health and safety or the environment, including, without limitation, laws
relating to: (A) emissions, discharges, releases or threatened releases of hazardous materials into the environment (including, without limitation, ambient air, surface water, groundwater, land surface or subsurface strata), (B) the manufacture,
processing, distribution, use, generation, treatment, storage, disposal, transport, arrangement for disposal or transport or handling of hazardous, toxic or dangerous substances or waste, any chemical, any solid waste, or any other pollutant or
contaminant, and (C) underground and aboveground storage tanks and related piping, and emissions, discharges, releases or threatened releases therefrom. 
  
 (xxiv) The Parent, the Issuers and the Subsidiaries have (A) all licenses, certificates, permits, authorizations, approvals, franchises
and other rights from, and has made all declarations and filings with, all applicable Governmental Authorities and all self-regulatory authorities (each, an “Authorization”) necessary to engage in the business conducted by them in
the manner described in the Offering Memorandum, except where the failure to hold such Authorizations could not, individually or in the aggregate, be reasonably expected to have a Material Adverse Effect, and (B) no action suit or proceeding is
pending, or to the knowledge of the Parent or any Subsidiary, threatened before or by any Governmental Authority or self-regulatory authority to limit, suspend or revoke any such Authorization, except where such limitation, suspension or revocation
would not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. All such Authorizations are valid and in full force and effect, and the Parent, the Issuers and the Subsidiaries are in compliance in all material
respects with the terms and conditions of all such Authorizations and with the rules and regulations of the authorities having jurisdiction with respect to such Authorizations, except for any invalidity, failure to be in full force and effect or
noncompliance with any Authorization that could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect. 
  
 (xxv) The Parent, the Issuers and the Guarantors have valid and marketable title in fee simple to all items of owned real property,
including, without limitation, all mortgaged property, and valid title to all personal property owned by each of them, including, without limitation, all Collateral (as defined in the Senior Notes Indenture), in each case free and clear of any
pledge, lien, encumbrance, security interest or other defect or claim of any third party, except (A) such as could not, individually or in the aggregate, be reasonably expected to have a Material Adverse Effect, (B) liens described in the Offering
Memorandum, (C) as created pursuant to the Senior Notes Indenture, the Security Documents, the Credit Documents and (D) liens permitted by the Senior Notes Indenture, Security Documents and Credit Documents. Any real property (including, without
limitation, all mortgaged property subject to a leasehold mortgage), personal property (including, without limitation, all Collateral that is leased) and buildings held under lease by the Parent, the Issuers or any such Guarantor are held under
valid, subsisting and enforceable leases, with such exceptions as could not 

  

 15 

 
reasonably be expected, individually or in the aggregate, to have a Material Adverse Effect and except for the Enforceability Exceptions. 
  
 (xxvi) Except as set forth in the Offering Memorandum, the
Parent, the Issuers and each Guarantor owns, possesses or has the right to employ all patents, patent rights, licenses, inventions, copyrights, know-how (including trade secrets and other unpatented and/or unpatentable proprietary or confidential
information, systems or procedures), trademarks, service marks and trade names (collectively, the “Intellectual Property”) necessary to conduct the businesses operated by it as described in the Offering Memorandum, except where the
failure to own, possess or have the right to employ such Intellectual Property, individually or in the aggregate, could not reasonably be expected to have a Material Adverse Effect. Except as set forth in the Offering Memorandum, neither the Parent,
the Issuers nor any Guarantor has received any notice of infringement of or conflict with (and neither knows of any such infringement or a conflict with) asserted rights of others with respect to any of the foregoing that would reasonably be
expected to have a Material Adverse Effect. 
  
 (xxvii) All tax returns required to be filed by the Parent, the Issuers or any Guarantor through the date hereof have been filed in all jurisdictions where such returns are required to be filed; and all taxes, including withholding taxes,
value added and franchise taxes, penalties and interest, assessments, fees and other charges due or claimed to be due from such entities or that are due and payable have been paid, other than those being contested in good faith and for which
reserves have been provided to the extent required by and in accordance with GAAP or those currently payable without penalty or interest and except where the failure to make such required filings or payments could not, individually or in the
aggregate, reasonably be expected to have a Material Adverse Effect. 
  
 (xxviii) Neither the Parent, the Issuers nor any Guarantor has any liability for any prohibited transaction or accumulated funding deficiency (within the meaning of Section 412 of the Internal Revenue Code) or any
complete or partial withdrawal liability with respect to any pension, profit sharing or other plan which is subject to the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), to which the Parent, the Issuers or
any Guarantor makes or ever has made a contribution and in which any employee of the Issuers or any Guarantor is or has ever been a participant except as would not reasonably be expected to have a Material Adverse Effect. With respect to such plans,
the Parent, the Issuers and each Guarantor is in compliance in all material respects with all applicable provisions of ERISA. 
  
 (xxix) Neither the Parent, the Issuers nor any Guarantor is, or after giving effect to the Transactions will be, required to be registered
as an “investment company” or a company “controlled” by an “investment company” within the meaning of the Investment Company Act of 1940, as amended. 
  
 (xxx) The Parent, the Issuers and the Guarantors maintain a system of internal accounting controls
sufficient to provide reasonable assurance that: (A) transactions are executed in accordance with management’s general or specific authorizations; (B) transactions are recorded as necessary to permit preparation of their financial statements in
accordance with GAAP and to maintain accountability for assets; (C) access to assets is permitted only in accordance with management’s general or specific authorization; and (D) the recorded accountability for their assets is compared with the
existing assets at reasonable intervals. 
  

 16 

 (xxxi) Prior to the date hereof, neither the Issuers nor any of their affiliates (as
defined in Rule 501(b) of Regulation D under the Act) has, directly or through any person acting on its or their behalf (other than any Initial Purchaser, or anyone acting on its behalf, as to which no representation is made), (A) taken, directly or
indirectly, any action designed to, or that might reasonably be expected to, cause or result in stabilization or manipulation of the price of any security of any Issuer to facilitate the sale or resale of the Securities, (B) sold, bid for, purchased
or paid any person any compensation for soliciting purchases of the Securities in a manner that would require registration of the Securities under the Act or paid or agreed to pay to any person any compensation for soliciting another to purchase any
other securities of any Issuer in a manner that would require registration of the Securities under the Act, (C) sold, offered for sale, contracted to sell, pledged, solicited offers to buy or otherwise disposed of or negotiated in respect of any
security (as defined in the Act) that is currently or will be integrated with the sale of the Securities in a manner that would require the registration of the Securities under the Act or (D) engaged in any directed selling effort (as defined by
Regulation S) with respect to the Securities, and each of them has complied with the offering restrictions requirement of Regulation S. 
  
 (xxxii) No form of general solicitation or general advertising (as those terms are used in Regulation D under the Act) was used by the
Issuers or any person acting on their behalf (other than any Initial Purchaser, or anyone acting on its behalf, as to which no representation is made) in connection with the offer and sale of any of the Securities or in connection with Exempt
Resales. Neither the Issuers nor any of their affiliates have entered into any contractual arrangement with respect to the distribution of the Securities except for this Agreement. 
  
 (xxxiii) Except as described in the sections entitled “Plan of distribution” or “Certain
relationships and related transactions” in the Offering Memorandum, there are no contracts, agreements or understandings between the Issuers or any Guarantor and any other person other than the Initial Purchasers pursuant to this Agreement that
would give rise to a valid claim against the Parent, the Issuers, any Guarantor or any of the Initial Purchasers for a brokerage commission, finder’s fee or like payment in connection with the issuance, purchase and sale of the Securities.

  
 (xxxvi) Each certificate signed by any
officer of any Issuer and delivered to the Initial Purchasers or counsel for the Initial Purchasers pursuant to, or in connection with, this Agreement shall be deemed to be a representation and warranty by the Issuers to the Initial Purchasers as to
the matters covered by such certificate. 
  
 The Issuers
acknowledge that the Initial Purchasers and, for purposes of the opinions to be delivered to the Initial Purchasers pursuant to Section 8 of this Agreement, counsel to the Issuers and counsel to the Initial Purchasers will rely upon the accuracy and
truth of the foregoing representations and the Issuers hereby consent to such reliance. 
  
 (b) Each Initial Purchaser represents that it is a QIB, with such knowledge and experience in financial and business matters as are
necessary in order to evaluate the merits and risks of an investment in the Securities, and acknowledges that it is purchasing the Securities pursuant to a private sale exemption from registration under the Act, and that the Securities have not been
registered under the Act and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons except pursuant 

  

 17 

 
to an exemption from the registration requirements of the Act. The Initial Purchasers have advised the Issuers that they will offer the Original Senior Notes
and the Original Subordinated Notes to Eligible Purchasers at a price initially equal to 100%, of the principal amount thereof, plus accrued interest, if any, from the date of issuance of the Original Notes. Each Initial Purchaser, severally and not
jointly, represents, warrants and covenants to the Issuers that: 
  
 (i) Neither it, nor any person acting on its behalf, has or will solicit offers for, or offer or sell, the Securities by any form of general solicitation or general advertising (as those terms are used in Regulation D
under the Act) or in any manner involving a public offering within the meaning of Section 4(2) of the Act, and it has solicited and will solicit offers for the Securities only from, and will offer and sell the Securities only to, (1) persons whom
such Initial Purchaser reasonably believes to be QIBs or, if any such person is buying for one or more institutional accounts for which such person is acting as fiduciary or agent, only when such person has represented to such Initial Purchaser that
each such account is a QIB to whom notice has been given that such sale or delivery is being made in reliance on Rule 144A, and, in each case, in reliance on the exemption from the registration requirements of the Act pursuant to Rule 144A, or (2)
persons other than U.S. persons outside the United States in reliance on, and in compliance with, the exemption from the registration requirements of the Act provided by Regulation S. 
  
 (ii) With respect to offers and sales outside the United States, such Initial Purchaser has offered the
Securities and will offer and sell the Securities (1) as part of its distribution at any time and (2) otherwise until 40 days after the later of the commencement of the offering of the Securities and the Closing Date, only in accordance with Rule
903 of Regulation S or another exemption from the registration requirements of the Act. Accordingly, neither such Initial Purchasers nor any person acting on their behalf has engaged or will engage in any directed selling efforts (within the meaning
of Regulation S) with respect to the Securities, and any such persons have complied and will comply with the offering restrictions requirements of Regulation S. Terms used in this Section 5(b)(ii) have the meanings given to them by Regulation S.

  
 Each Initial Purchaser severally agrees that, at or prior to confirmation of a
sale of Securities pursuant to Regulation S it will have sent to each distributor, dealer or person receiving a selling concession, fee or other remuneration that purchases Securities from it or through it during the restricted period a confirmation
or notice to substantially the following effect: 
  
 “The
Securities covered hereby have not been registered under the United States Securities Act of 1933, as amended (the “Securities Act”), and may not be offered or sold within the United States or to or for the account or benefit of, U.S.
persons (i) as part of their distribution at any time and (ii) otherwise until forty days after the later of the date upon which the offering of the Securities commenced and the date of closing, except in either case in accordance with Regulation S
or Rule 144A under the Securities Act. Terms used above have the meaning given to them by Regulation S.” 
  
 The Initial Purchasers understand that the Issuers and, for purposes of the opinions to be delivered to them pursuant to Section 8 hereof, counsel to the
Issuers and counsel to the Initial Purchasers will rely upon the accuracy and truth of the foregoing representations, and each Initial Purchaser hereby consents to such reliance. 
  

 18 

 6. Indemnification. (a) Each of the Issuers and the Guarantors, jointly and severally, agree to
indemnify and hold harmless the Initial Purchasers, each person, if any, who controls any Initial Purchaser within the meaning of Section 15 of the Act or Section 20(a) of the Exchange Act, the agents, employees, officers and directors of any
Initial Purchaser and the agents, employees, officers and directors of any such controlling person from and against any and all losses, liabilities, claims, damages and expenses whatsoever (including, but not limited, to reasonable attorneys’
fees and any and all reasonable expenses whatsoever incurred in investigating, preparing or defending against any litigation, commenced or threatened, or any claim whatsoever, and any and all reasonable amounts paid in settlement of any claim or
litigation) (collectively, “Losses”) to which they or any of them may become subject under the Act, the Exchange Act or otherwise insofar as such Losses (or actions in respect thereof) arise out of or are based upon any untrue
statement or alleged untrue statement of a material fact contained in the Preliminary Offering Memorandum or the Offering Memorandum, or in any supplement thereto or amendment thereof, or arise out of or are based upon the omission or alleged
omission to state therein a material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading; provided, the Issuers and the Guarantors will not be liable in any such case to
the extent, but only to the extent, that any such Loss arises out of or is based upon any such untrue statement or alleged untrue statement or omission or alleged omission relating to an Initial Purchaser made therein in reliance upon and in
conformity with written information furnished to the Issuers by or on behalf of such Initial Purchaser through the Representative expressly for use therein; provided, further, that with respect to any untrue statement or alleged untrue
statement of a material fact or omission or alleged omission of material fact in the Preliminary Offering Memorandum or Offering Memorandum, or any supplement thereto or amendment thereof, the indemnity agreement contained in this Section 6 shall
not inure to the benefit of any Initial Purchaser from whom such person asserting any such Loss purchased the Notes, to the extent that any such Loss of such Initial Purchaser occurs under the circumstance where (i) the Issuers had previously
furnished the Offering Memorandum or amendment or supplement, as the case may be, to the Initial Purchasers, (ii) delivery of the Offering Memorandum or amendment or supplement, as the case may be, to such person was required by the Act, (iii) the
untrue statement or omission of a material fact contained in the Preliminary Offering Memorandum or Offering Memorandum was corrected in the Offering Memorandum or amendment or supplement, as the case may be, and (iv) there was not sent or given to
such person, at or prior to the written confirmation of the sale of Securities to such person, a copy of the Offering Memorandum or amendment or supplement, as the case may be. This indemnity agreement will be in addition to any liability that the
Issuers and Guarantors may otherwise have, including, but not limited to, liability under this Agreement. 
  
 (b) Each Initial Purchaser agrees to indemnify and hold harmless the Issuers and the Guarantors, and each person, if any, who controls any of the Issuers
and the Guarantors within the meaning of Section 15 of the Act or Section 20(a) of the Exchange Act, the agents, employees, officers and directors of any of the Issuers and the Guarantors and the agents, employees, officers and directors of any such
controlling person from and against any and all Losses to which they or any of them may become subject under the Act, the Exchange Act or otherwise insofar as such Losses (or actions in respect thereof) arise out of or are based upon any untrue
statement or alleged untrue statement of a material fact contained in the Preliminary Offering Memorandum or the Offering Memorandum, or in any amendment thereof or supplement thereto, or arise out of or are based upon the omission or alleged
omission to state therein a material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading, in each case to the extent, but only to the extent, that any such Loss arises out of or
is based upon 

  

 19 

 
any untrue statement or alleged untrue statement or omission or alleged omission relating to such Initial Purchaser made therein in reliance upon and in
conformity with information furnished in writing to the Issuers by or on behalf of such Initial Purchaser through the Representative expressly for use therein. This indemnity agreement will be in addition to any liability that the Initial Purchasers
may otherwise have, including, but not limited to, liability under this Agreement. The Issuers, the Guarantors and the Initial Purchasers acknowledge that the information described in Section 9 is the only information furnished in writing by the
Initial Purchasers to the Issuers expressly for use in the Preliminary Offering Memorandum or the Offering Memorandum. This indemnity agreement will be in addition to any liability that the Initial Purchasers may otherwise have, including, but not
limited to, liability under this Agreement. 
  
 (c) Promptly after
receipt by an indemnified party under subsection 6(a) or 6(b) above of notice of the commencement of any action, suit or proceeding (collectively, an “action”), such indemnified party shall, if a claim in respect thereof is to be
made against the indemnifying party under such subsection, notify each party against whom indemnification is to be sought in writing of the commencement of such action (but the failure so to notify an indemnifying party shall not relieve such
indemnifying party from any liability that it may have under this Section 6 except to the extent that it has been prejudiced in any material respect by such failure). In case any such action is brought against any indemnified party, and it notifies
an indemnifying party of the commencement of such action, the indemnifying party will be entitled to participate in such action, and to the extent it may elect by written notice delivered to the indemnified party promptly after receiving the
aforesaid notice from such indemnified party, to assume the defense of such action with counsel reasonably satisfactory to such indemnified party. After notice from the indemnifying party to the indemnified party of its election to assume the
defense of such claim or action, the indemnifying party shall not be liable to the indemnified party for any legal or other expenses subsequently incurred by the indemnified party in connection with the defense thereof except as follows.
Notwithstanding the foregoing, the indemnified party or parties shall have the right to employ its or their own counsel in any such action, but the reasonable fees and expenses of such counsel shall be at the expense of such indemnified party or
parties unless (i) the employment of such counsel shall have been authorized in writing by the indemnifying parties in connection with the defense of such action, (ii) the indemnifying parties shall not have employed counsel to take charge of the
defense of such action within a reasonable time after notice of commencement of the action, or (iii) the named parties to such action (including any impleaded parties) include such indemnified party and the indemnifying parties (or such indemnifying
parties have assumed the defense of such action), and such indemnified party or parties shall have reasonably concluded that there may be defenses available to it or them that are different from or additional to those available to one or all of the
indemnifying parties (in which case the indemnifying parties shall not have the right to direct the defense of such action on behalf of the indemnified party or parties), in any of which events such reasonable fees and expenses of counsel shall be
borne by the indemnifying parties. In no event shall the indemnifying parties be liable for the fees and expenses of more than one counsel (together with appropriate local counsel) at any time for all indemnified parties in connection with any one
action or separate but substantially similar or related actions arising in the same jurisdiction out of the same general allegations or circumstances. An indemnifying party shall not be liable for any settlement of any claim or action effected
without its written consent, which consent may not be unreasonably withheld. Notwithstanding the foregoing sentence, if at any time an indemnified party shall have requested an indemnifying party to reimburse the indemnified party for fees and
expenses of counsel as contemplated by paragraph (a) or (b) of this Section 6, then the indemnifying party agrees that it shall be liable for any settlement of any proceeding effected without its written consent if (i) such settlement 

  

 20 

 
is entered into more than 45 days after receipt by such indemnifying party of the aforesaid request, (ii) such indemnifying party shall not have reimbursed
the indemnified party in accordance with such request prior to the date of such settlement and (iii) such indemnified party shall have given the indemnifying party at least 45 days’ prior notice of its intention to settle. No indemnifying party
shall, without the prior written consent of the indemnified party, effect any settlement of any pending or threatened proceeding in respect of which any indemnified party is or could have been a party and indemnity could have been sought hereunder
by such indemnified party, unless such settlement (x) includes an unconditional release of such indemnified party from all liability on claims that are the subject matter of such proceeding and (y) does not include a statement as to or an admission
of fault, culpability or a failure to act by or on behalf of any indemnified party. 
  
 7. Contribution. In order to provide for contribution in circumstances in which the indemnification provided for in Section 6 of this Agreement is for any reason held to be unavailable from the
indemnifying party, or is insufficient to hold harmless a party indemnified under Section 6 of this Agreement, each indemnifying party shall contribute to the amount paid or payable by such indemnified party as a result of such aggregate Losses (i)
in such proportion as is appropriate to reflect the relative benefits received by the Issuers and the Guarantors, on the one hand, and the Initial Purchasers, on the other hand, from the offering of the Securities or (ii) if such allocation is not
permitted by applicable law, in such proportion as is appropriate to reflect not only the relative benefits referred to above but also the relative fault of the Issuers and the Guarantors, on the one hand, and the Initial Purchasers, on the other
hand, in connection with the statements or omissions that resulted in such Losses, as well as any other relevant equitable considerations. The relative benefits received by the Issuers and the Guarantors, on the one hand, and the Initial Purchasers,
on the other hand, shall be deemed to be in the same proportion as (x) the total proceeds from the offering of Securities (net of discounts and commissions but before deducting expenses) received by the Issuers and the Guarantors are to (y) the
total discount and commissions received by the Initial Purchasers. The relative fault of the Issuers and the Guarantors, on the one hand, and the Initial Purchasers, on the other hand, 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 an Issuer and the Guarantors or the Initial Purchasers and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such statement or omission or alleged statement or omission. 
  
 The Issuers and the Guarantors and the Initial Purchasers agree that it would not be just and equitable if contribution pursuant to this Section 7 were
determined by pro rata allocation or by any other method of allocation that does not take into account the equitable considerations referred to above. Notwithstanding the provisions of this Section 7, (i) in no case shall any Initial Purchaser be
required to contribute any amount in excess of the amount by which the total discount and commissions applicable to the Securities purchased by such Initial Purchaser pursuant to this Agreement exceeds the amount of any damages that such Initial
Purchaser has otherwise been required to pay by reason of any untrue or alleged untrue statement or omission or alleged omission and (ii) no person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Act) shall be
entitled to contribution from any person who was not guilty of such fraudulent misrepresentation. For purposes of this Section 7, each person, if any, who controls any Initial Purchaser within the meaning of Section 15 of the Act or Section 20(a) of
the Exchange Act shall have the same rights to contribution as the Initial Purchasers, and each person, if any, who controls an Issuer or Guarantor within the meaning of Section 15 of the Act or Section 20(a) of the Exchange Act and each director,
officer, employee and agent of an Issuer or Guarantor shall have the same rights to contribution as the Issuers or the 

  

 21 

 
Guarantors. Any party entitled to contribution will, promptly after receipt of notice of commencement of any action against such party in respect of which a
claim for contribution may be made against another party or parties under this Section 7, notify such party or parties from whom contribution may be sought, but the omission to so notify such party or parties shall not relieve the party or parties
from whom contribution may be sought from any obligation it or they may have under this Section 7 or otherwise, except to the extent that it has been prejudiced in any material respect by such failure; provided, however, that no
additional notice shall be required with respect to any action for which notice has been given under Section 6 for purposes of indemnification. Anything in this section to the contrary notwithstanding, no party shall be liable for contribution with
respect to any action or claim settled without its written consent; provided, however, that such written consent was not unreasonably withheld. The obligations of the Initial Purchasers under this Section 7 are several in proportion to
their respective purchase obligations and not joint. 
  
 8.
Conditions of Initial Purchasers’ Obligations. The obligations of the Initial Purchasers to purchase and pay for the Securities, as provided for in this Agreement, shall be subject to satisfaction of the following conditions prior
to or concurrently with such purchase: 
  
 (a)
All of the representations and warranties of the Issuers and the Guarantors contained in this Agreement shall be true and correct on the date of this Agreement and on the Closing Date. The Issuers and the Guarantors shall have performed or complied
with all of the agreements and covenants contained in this Agreement and required to be performed or complied with by them at or prior to the Closing Date. 
  
 (b) The Offering Memorandum shall have been printed and copies distributed to the Initial Purchasers on the date of this Agreement or at
such later date as the Initial Purchasers may determine. No stop order suspending the qualification or exemption from qualification of the Securities in any jurisdiction shall have been issued and no proceeding for that purpose shall have been
commenced or shall be pending or threatened. 
  
 (c) Since the execution of this Agreement, there shall not have been any decrease in the rating of any debt of the Parent, the Issuers or any Subsidiary by any “nationally recognized statistical rating organization” (as defined
for purposes of Rule 436(g) under the Act), or any notice given of any intended or potential decrease in any such rating or of a possible change in any such rating that does not indicate the direction of the possible change. 
  
 (d) The Initial Purchasers shall have received on the
Closing Date (i) opinions dated the Closing Date, addressed to the Initial Purchasers, of (x) Dechert LLP, counsel to the Issuers and the Guarantors as to matters of U.S. federal, Delaware, New York, and Luxembourg law and the laws of England and
Wales, (y) White & Case LLP (Japan), White & Case LLP (Hong Kong), Lee, Tsai & Partners, Attorneys-at-law, Kim & Chang and NautaDutilh N.V., counsel to the Issuers and Guarantors as to matters of Japanese, Hong Kong, Taiwanese,
Korean, and Dutch law, respectively, and (z) John McFarland, general counsel of the Issuers, in each case in form and substance reasonably satisfactory to the Initial Purchasers and (ii) copies of any opinions delivered in connection with any of the
other Transactions together with reliance letters relating to such opinions in form and substance reasonably satisfactory to the Representative and counsel to the Initial Purchasers. 
  

 22 

 (e) The Initial Purchasers shall have received on the Closing Date an opinion dated the
Closing Date of Latham & Watkins LLP, counsel to the Initial Purchasers, in form and substance satisfactory to the Representative. Such counsel shall have been furnished with such certificates and documents as they may reasonably request to
enable them to review or pass upon the matters referred to in this Section 8 and in order to evidence the accuracy, completeness or satisfaction in all material respects of any of the representations, warranties or conditions contained in this
Agreement. 
  
 (f) On the date hereof, the
Initial Purchasers shall have received a “comfort letter” from Samil PricewaterhouseCoopers, the independent public accountants for the Issuers and the Guarantors, dated the date of this Agreement, addressed to the Initial Purchasers and
in form and substance satisfactory to the Representative and counsel to the Initial Purchasers (it being understood that if the Offering Memorandum is not printed on the date hereof, such comfort letter shall, on the date hereof, contain excerpts
from the Preliminary Offering Memorandum indicating the procedures performed by such independent public accountants on the financial data included in the Preliminary Offering Memorandum and that, within twenty-four hours after the Offering
Memorandum becomes available in final form (electronically or otherwise), the Initial Purchasers shall receive replacement excerpts from the Offering Memorandum indicating the procedures performed by such independent public accountants on the
financial data included therein in form and substance satisfactory to the Representative and counsel to the Initial Purchasers). In addition, the Initial Purchasers shall have received a “bring-down comfort letter” from Samil
PricewaterhouseCoopers, the independent public accountants for the Issuers and the Guarantors, dated as of the Closing Date, addressed to the Initial Purchasers and in form and substance satisfactory to the Representative and counsel to the Initial
Purchasers. 
  
 (g) The Issuers, the Guarantors
and the Trustee shall have executed and delivered the Indentures and the Security Documents and the Initial Purchasers shall have received copies thereof. The Issuers and the Guarantors shall have executed and delivered the Registration Rights
Agreements and the Initial Purchasers shall have received executed counterparts thereof. 
  
 (h) In accordance with the terms of the Indentures, the Initial Purchasers and the Trustee shall have received each of the following
documents which shall be reasonably satisfactory in form and substance to the Initial Purchasers, the Trustee and each of their respective counsel with respect to each mortgaged property and the Collateral, as appropriate: 
  
 (i) a Mortgage in favor of the Trustee encumbering each
Issuer’s, the Parent’s or a Subsidiary’s fee interest in each mortgaged property, duly executed and acknowledged by such owner or holder of the fee interest constituting each such mortgaged property, in form for recording in the
appropriate recording office of the political subdivision where such mortgaged property is situated, together with such certificates, affidavits, questionnaires or returns as shall be required in connection with the recording or filing thereof and
such financing statements and other similar statements as are contemplated in respect of each such mortgage by the local counsel opinion referred to in subparagraph (xii) below, and any other instruments necessary to grant the interests purported to
be granted by each such mortgage under the laws of any applicable jurisdiction, which mortgages and financing statements and other instruments shall be effective to create a Lien on such mortgaged property in favor of 

  

 23 

 
the Parity Lien Collateral Agent, subject to no Liens other than Permitted Prior Liens, as of the Closing Date, and thereafter; 
  
 (ii) such consents, approvals, amendments, supplements,
estoppels, tenant subordination agreements or other instruments as shall be reasonably necessary in order for the owner or holder of the fee interest or leasehold interest to grant the lien contemplated by the mortgage with respect to each mortgaged
property; 
  
 (iii) with respect to each
Mortgage, a policy of title insurance (or commitment to issue such a policy) insuring (or committing to insure) the lien of such Mortgage as a valid mortgage lien on the real property and fixtures described therein, with the priority described in
the Offering Memorandum, in respect of the Senior Securities in an amount not less than $100,000,000 or as reasonably determined, in good faith, by the Issuers and reasonably acceptable to the Initial Purchasers, and which policy (or commitment)
shall (a) be issued by a title company reasonably acceptable to the Initial Purchasers, (b) have been supplemented by endorsements reasonably requested by the Initial Purchasers (including, without limitation, endorsements on matters relating to
usury, public road access, contiguity (where appropriate), address, survey, and so-called comprehensive coverage over covenants and restrictions); it being understood that where such endorsements are not available at commercially reasonable rates,
the Issuers will obtain from local or special counsel opinions relating to usury and zoning letters from the appropriate governmental authorities or other evidence as to such matters, in each case, in form and substance reasonably satisfactory to
the Initial Purchasers and (c) contain only such exceptions to title as shall be reasonably agreed to by the Initial Purchasers with respect to each such mortgaged property; 
  
 (iv) policies or certificates of insurance as required by the Security Documents, which policies or
certificates shall bear endorsements of the character required pursuant to the Security Documents; 
  
 (v) Uniform Commercial Code (“UCC”) financing statements in appropriate form for filing under the UCC, and such other
documents under applicable requirements of law in each jurisdiction as may be necessary or appropriate or, in the reasonable opinion of the Collateral Agent, desirable to perfect the Liens created, or purported to be created, by the Security
Documents; 
  
 (vi) evidence acceptable to the
Collateral Agent of payment or arrangements for payment by the Issuers and Guarantors of all applicable recording taxes, fees, charges, costs and expenses required for the recording of the Security Documents. 
  
 (vii) such affidavits, certificates and instruments of
indemnification as shall be reasonably required to induce the title insurance company to issue the policy or policies (or commitment) contemplated in subparagraph (iii) above; 
  
 (viii) checks or wire transfers to the title insurance company in respect of amounts in payment of required
registration cost and transfer taxes, if any, due in respect of the execution, 

  

 24 

 
delivery or registration of the Mortgages, together with a check or wire transfer in the currency designated by the title company for the title insurance
company in payment of its premium, search and examination charges, applicable survey costs and any other amounts then due in connection with the issuance of its policies (or commitments); 
  
 (ix) to the extent applicable, copies of all Leases and
Subleases, if any, (as defined in the Mortgages), all of which Leases and Subleases shall be satisfactory to the Initial Purchasers; and 
  
 (x) All Security Documents shall have been executed by the Issuers and Guarantors parties thereto in form and substance reasonably
satisfactory to the Initial Purchasers. 
  
 (i)
The Initial Purchasers shall have been furnished with wiring instructions for the application of the proceeds of the Securities in accordance with this Agreement and such other information as they may reasonably request. 
  
 (j) The Securities shall be eligible for trading in Portal
upon issuance. All agreements set forth in the blanket representation letter of the Issuers to DTC relating to the approval of the Notes by DTC for “book-entry” transfer shall have been complied with. 
  
 (k) The Parent, the Issuers and the Subsidiaries parties
thereto shall have executed and delivered the Credit Documents and the Security Documents and the Initial Purchasers shall have received copies thereof. Each of the other Transactions (other than those aspects of the Refinancing scheduled to take
place after the Closing Date) shall have been, or shall substantially simultaneously be, consummated without any amendment or waiver of any of the Transaction Documents (other than any such amendment or waiver approved by the Representative, such
approval not to be unreasonably withheld), and the Initial Purchasers shall have received satisfactory evidence thereof 
  
 (l) The Initial Purchasers shall have received confirmation that the Issuers, the Parent and the Subsidiaries have appointed an authorized
agent in the City and County of New York upon which service of process may be served in accordance with Section 15 of this Purchase Agreement. 
  
 (m) The Initial Purchasers shall have received a certificate, dated as of the Closing Date, of the President or any Vice President and a
principal financial or accounting officer of MagnaChip Semiconductor Ltd. (Korea) in which such officers, shall state that (i) the representations and warranties of the Issuers and the Guarantors in this Agreement are true and correct as of the
Closing Date (except representations and warranties expressly stated to relate to a specified date prior to the date of this Agreement, in which case such representations and warranties are true and correct in all material respects as of such
specified date), (ii) the Issuers and the Guarantors have complied with all agreements and satisfied all conditions on their part to be performed or satisfied hereunder at or prior to the Closing Date, (iii) subsequent to the dates of the most
recent financial statements in the Offering Memorandum, there has been no material adverse change, in the financial condition, business, properties or results of operations of the Issuers and the Subsidiaries taken as a whole except as set forth in
the Offering Memorandum or as described in such certificate, (iv) since the execution of this Agreement, there shall not have been any decrease in the rating of any debt of the Parent, the Issuers or any Subsidiary by any “nationally recognized
statistical rating organization” (as defined for purposes 

  

 25 

 
of Rule 436(g) under the Act), or any notice given of any intended or potential decrease in any such rating or of a possible change in any such rating that
does not indicate the direction of the possible change, and (v) any and all financial information contained in the Offering Memorandum with respect product category are true and correct in all material respects. 
  
 (n) The Initial Purchasers shall have received written
confirmation that the Bank of Korea has formally approved MagnaChip Semiconductor, Ltd. (Korea)’s Guarantee of the Senior Notes as provided for in the Senior Indenture including the form of notation of guarantee attached thereto. 
  
 (o) The Initial Purchasers shall have received reasonably
satisfactory written confirmation that MagnaChip Semiconductor S.a r.l. shall have been converted to a Luxembourg public limited liability company (societe anonyme). 
  
 (p) The Initial Purchasers shall have received MagnaChip Semiconductor, Ltd. (Korea)’s amended Articles
of Incorporation evidencing that it is permitted to pay dividends twice a year. 
  
 (q) Subsequent to the execution and delivery of this Agreement, there shall not have occurred any change, or any development or event
involving a prospective change, in the financial condition, business, properties or results of operations of the Parent, the Issuers and the Subsidiaries, taken as a whole which, in the judgment of a majority in interest of the Initial Purchasers,
is material and adverse and makes it impracticable or inadvisable to proceed with the completion of the offering or the sale of and payment for the Securities. 
  

If any of the conditions specified in this Section 8 shall not have been fulfilled when and as required by this Agreement to be fulfilled (or waived by
the Initial Purchasers), this Agreement may be terminated by the Initial Purchasers on notice to the Issuers at any time at or prior to the Closing Date, and such termination shall be without liability of any party to any other party. 
  
 The documents required to be delivered by this Section 8 will be delivered at
the office of counsel for the Initial Purchasers on the Closing Date. 
  
 9. Initial Purchasers Information. The Issuers and the Initial Purchasers severally acknowledge that the statements set forth in the last full paragraph on page ii, and the first sentence of paragraph 5, the first two
sentences of paragraph 7, and paragraphs 10 and 11 under “Plan of distribution” in the Preliminary Offering Memorandum and the Offering Memorandum constitute the only information furnished in writing by or behalf of any Initial Purchaser
expressly for use in the Preliminary Offering Memorandum or the Offering Memorandum. 
  
 10. Survival of Representations and Agreements. All representations and warranties, covenants and agreements contained in this Agreement, including the agreements contained in Sections 4(f) and 11(d),
the indemnity agreements contained in Section 6 and the contribution agreements contained in Section 7, shall remain operative and in full force and effect regardless of any investigation made by or on behalf of the Initial Purchasers or any
controlling person thereof or by or on behalf of the Issuers or any controlling person thereof, and shall survive delivery of and payment for the Original Notes to and by the Initial 

  

 26 

 
Purchasers. The agreements contained in Sections 4(f), 6, 7, 9 and 11(d) shall survive the termination of this Agreement, including pursuant to Section 11.

  
 11. Effective Date of Agreement; Termination.
(a) This Agreement shall become effective upon execution and delivery of a counterpart hereof by each of the parties hereto. 
  
 (b) The Initial Purchasers shall have the right to terminate this Agreement at any time prior to the Closing Date by notice to the Issuers from the
Initial Purchasers, without liability (other than with respect to Sections 6 and 7) on the Initial Purchasers’ part to the Issuers or any affiliate thereof if, on or prior to such date, (i) the Issuers and the Guarantors shall have failed,
refused or been unable to perform any agreement on its part to be performed under this Agreement when and as required; (ii) any other condition to the obligations of the Initial Purchasers under this Agreement to be fulfilled by the Issuers and the
Guarantors pursuant to Section 8 is not fulfilled when and as required in any material respect; (iii) trading in securities generally on the New York Stock Exchange, the American Stock Exchange or the Nasdaq National Market shall have been suspended
or materially limited, or minimum prices shall have been established thereon by the Commission, or by such exchange or other regulatory body or governmental authority having jurisdiction; (iv) a general moratorium shall have been declared by either
Federal or New York State or Korean authorities or a material disruption in commercial banking or securities settlement or clearance services in the United States or Korea shall have occurred; (v) there is an outbreak or escalation of hostilities or
national or international calamity in any case involving the United States, on or after the date of this Agreement, or if there has been a declaration by the United States of a national emergency or war or other national or international calamity or
crisis (economic, political, financial or otherwise) which affects the U.S. and international markets, making it, in the Representative’s judgment, impracticable to proceed with the offering or delivery of the Securities on the terms and in the
manner contemplated in the Offering Memorandum; or (vi) there shall have been such a material adverse change in general economic, political or financial conditions or the effect (or potential effect if the financial markets in the United States have
not yet opened) of international conditions on the financial markets in the United States shall be such as, in the Representative’s judgment, to make it inadvisable or impracticable to proceed with the offering or delivery of the Securities on
the terms and in the manner contemplated in the Offering Memorandum. 
  
 (c) Any notice of termination pursuant to this Section 11 shall be given at the address specified in Section 12 below by telephone or facsimile, confirmed in writing by letter. 
  
 (d) If this Agreement shall be terminated pursuant to clause (i) or (ii) of Section 11(b), or if the sale of the Securities
provided for in this Agreement is not consummated because of any refusal, inability or failure on the part of the Issuers or the Guarantors to satisfy any condition to the obligations of the Initial Purchasers set forth in this Agreement to be
satisfied on their part or because of any refusal, inability or failure on the part of the Issuers or the Guarantors to perform any agreement in this Agreement or comply with any provision of this Agreement, the Issuers and the Guarantors, jointly
and severally, will, subject to demand by the Initial Purchasers, reimburse the Initial Purchasers (other than any defaulting Initial Purchaser pursuant to paragraph (e) below) for all of their reasonable out-of-pocket expenses (including, without
limitation, the fees and expenses of the Initial Purchasers’ counsel) reasonably incurred in connection with this Agreement and the transactions contemplated hereby. 
  

 27 

 (e) If any one or more Initial Purchasers shall fail to purchase and pay for any of the Securities agreed
to be purchased by such Initial Purchaser hereunder and such failure to purchase shall constitute a default in the performance of its or their obligations under this Agreement, the remaining Initial Purchasers shall be obligated severally to take up
and pay for (in the respective proportions which the principal amount of Securities set forth opposite their names in Schedule I hereto bears to the aggregate principal amount of Securities set forth opposite the names of all the remaining Initial
Purchasers) the Securities which the defaulting Initial Purchaser or Initial Purchasers agreed but failed to purchase; provided, however, that in the event that the aggregate principal amount of Securities which the defaulting Initial
Purchaser or Initial Purchasers agreed but failed to purchase shall exceed 10% of the aggregate principal amount of Securities set forth in Schedule I hereto, the remaining Initial Purchasers shall have the right to purchase all, but shall not be
under any obligation to purchase any, of the Securities, and if such nondefaulting Initial Purchasers do not purchase all the Securities, this Agreement will terminate without liability to any nondefaulting Initial Purchaser or the Issuers. In the
event of a default by any Initial Purchaser as set forth in this Section 11(e), the Closing Date shall be postponed for such period, not exceeding seven Business Days, as is reasonably necessary in the opinion of the Representative in order that the
required changes in the Offering Memorandum or in any other documents or arrangements may be effected. Nothing contained in this Agreement shall relieve any defaulting Initial Purchaser of its liability, if any, to the Issuers or any nondefaulting
Initial Purchaser for damages occasioned by its default hereunder. 
  
 12. Notice. All communications with respect to or under this Agreement, except as may be otherwise specifically provided in this Agreement, shall be in writing and, if sent to the Initial Purchasers, shall be mailed, delivered
or telecopied and confirmed in writing to c/o UBS Securities LLC, 677 Washington Blvd., Stamford, CT 06901 (fax number: 203-719-1075), Attention: High Yield Syndicate Department, with a copy for information purposes only to (i) UBS Securities LLC,
677 Washington Blvd., Stamford, CT 06901 (fax number: 203-719-0680), Attention: Legal and Compliance Department and (ii) Latham & Watkins LLP, 885 Third Avenue, New York, NY 10022 (fax number: 212-751-4869), Attention: Robert A. Zuccaro; and if
sent to the Issuers, shall be mailed, delivered or telecopied and confirmed in writing to MagnaChip Semiconductor, Ltd., 1 Hyangjeong-dong, hungduk-gu, Cheongju-si, 361-725, Korea, (telephone: (82-2-3459-3073), fax: (82-2-3459-3674), Attention:
General Counsel, with a copy to Dechert LLP, 4000 Bell Atlantic Tower, 1717 Arch Street, Philadelphia, Pennsylvania 19103, Attention: Geraldine Sinatra (Fax: (215) 994-2222) and Sang Park (Fax: (212) 314-0061). 
  
 All such notices and communications shall be deemed to have been duly given:
when delivered by hand, if personally delivered; five business days after being deposited in the mail, postage prepaid, if mailed; when receipt acknowledged by telecopier machine, if telecopied; one business day after being timely delivered to a
next-day air courier (for U.S. destinations); and on the third Business Day, if timely delivered to an air courier guaranteeing three-day delivery (if to a non-U.S. destination). The Issuers and Guarantors shall be entitled to act and rely upon any
request, consent, notice or agreement given or made on behalf of the Initial Purchasers by the Representative 
  
 13. Parties. This Agreement shall inure solely to the benefit of, and shall be binding upon, the Initial Purchasers, the Issuers and the
other indemnified parties referred to in Sections 6 and 7, and their respective successors and assigns, and no other person shall have or be construed to have any legal or equitable right, remedy or claim under or in respect of or by virtue of this
Agreement or any provision herein 

  

 28 

 
contained. The term “successors and assigns” shall not include a purchaser, in its capacity as such, of Notes from the Initial Purchasers.

  
 14. Construction. This Agreement shall be
construed in accordance with the internal laws of the State of New York (without giving effect to any provisions thereof relating to conflicts of law). 
  
 15. Submission to Jurisdiction; Waiver of Jury Trial. No proceeding related to this Agreement or the transactions contemplated hereby may be
commenced, prosecuted or continued in any court other than the courts of the State of New York located in the City and County of New York or in the United States District Court for the Southern District of New York, which courts shall have
jurisdiction over the adjudication of such matters, and the Issuers hereby consent to the jurisdiction of such courts and personal service with respect thereto. The Issuers and each Guarantor shall irrevocably appoint an authorized agent pursuant to
Section 8(l) of this Purchase Agreement, as its authorized agent in the City and County of New York upon which process may be served in any such suit or proceeding, and agrees that service of process upon such agent, and written notice of said
service to each Issuer and each Guarantor, by the person serving the same to the address provided in Section 12, shall be deemed in every respect effective service of process upon each Issuer and each Guarantor, as applicable, in such suit or
proceeding. The Issuers and each Guarantor hereby waive all right to trial by jury in any proceeding (whether based upon contract, tort or otherwise) in any way arising out of or relating to this Agreement. The Issuers agree that a final judgment in
any such proceeding brought in any such court shall be conclusive and binding upon the Issuers and may be enforced in any other courts in the jurisdiction of which the Issuers are or may be subject, by suit upon such judgment. 
  
 16. Judgment Currency. In respect of any judgment or order given or
made for any amount due hereunder that is expressed and paid in a currency (the “judgment currency”) other than United States dollars, the Issuers and the Guarantors, as applicable, will indemnify each Initial Purchaser, and the
Initial Purchasers will indemnify the Issuers and the Guarantors, against any loss incurred by such Initial Purchaser or the Issuers and the Guarantors, as the case may be, 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 spot rate of exchange in The City of New York at which such party on the date of payment of such judgment or order is able
to purchase United States dollars with the amount of the judgment currency actually received by such party. The foregoing indemnity shall constitute a separate and independent obligation of each of the Issuers, the Guarantors and the Initial
Purchasers 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 United States dollars. 
  
 17.
Captions. The captions included in this Agreement are included solely for convenience of reference and are not to be considered a part of this Agreement. 
  
 18. Counterparts. This Agreement may be executed in various counterparts that together shall constitute one
and the same instrument. 
  
 [Signature Pages Follow] 

 

 29 

 If the foregoing Purchase Agreement correctly sets forth the understanding among the Issuers and the
Initial Purchasers, please so indicate in the space provided below for the purpose, whereupon this letter and your acceptance shall constitute a binding agreement among the Issuers and the Initial Purchasers. 
  

			
	 MagnaChip Semiconductor S.a. r.l.

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor Finance Company

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor LLC

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor Inc.

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor Ltd (United Kingdom)

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

  

			
	 MagnaChip Semiconductor Inc. (Japan)

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor Ltd. (Hong Kong)

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor Ltd. (Taiwan)

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor B.V. (Netherlands)

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor, Ltd. (Korea)

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 MagnaChip Semiconductor SA Holdings LLC

		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

  

 Confirmed and accepted as of the date first above written: 
  

			
	UBS SECURITIES LLC
CITIGROUP GLOBAL MARKETS INC.
GOLDMAN, SACHS & CO.
J.P. MORGAN SECURITIES INC.
DEUTSCHE BANK SECURITIES INC.
		
	 By:
	 	 UBS SECURITIES LLC

	 	 	as Representative of the several Initial Purchasers and on behalf of UBS Securities Limited, Seoul Branch, as Selling Agent
	
	 
		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

	
	 
		
	 By:
	 	 
	 	 	 Name:

	 	 	 Title:

  

 Schedule I 
  

				
	 Initial Purchaser

	  	 Principal Amount of
 Original Fixed Rate
 Notes to Be Purchased

	 UBS Securities LLC
	  	$	90,000,000
	 Citigroup Global Markets Inc.
	  	$	60,000,000
	 Goldman Sachs & Co.
	  	$	60,000,000
	 J.P. Morgan Securities Inc.
	  	$	60,000,000
	 Deutsche Bank Securities Inc.
	  	$	30,000,000
	 Total
	  	$	300,000,000
	 	  	
	

		
	 Initial Purchaser

	  	 Principal Amount of
 Original Floating Rate
Notes to Be Purchased

	 UBS Securities LLC
	  	$	60,000,000
	 Citigroup Global Markets Inc.
	  	$	40,000,000
	 Goldman Sachs & Co.
	  	$	40,000,000
	 J.P. Morgan Securities Inc.
	  	$	40,000,000
	 Deutsche Bank Securities Inc.
	  	$	20,000,000
	 Total
	  	$	200,000,000
	 	  	
	

		
	 Initial Purchaser

	  	Principal Amount of
Original Subordinated
Notes to Be Purchased

	 UBS Securities LLC
	  	$	75,000,000
	 Citigroup Global Markets Inc.
	  	$	50,000,000
	 Goldman Sachs & Co.
	  	$	50,000,000
	 J.P. Morgan Securities Inc.
	  	$	50,000,000
	 Deutsche Bank Securities Inc.
	  	$	25,000,000
	 Total
	  	$	250,000,000
	 	  	
	

		
	 Selling Agent

	  	 
	 UBS Securities Limited, Seoul Branch
	  	 	 

  

 Schedule II 
  

						
	 Subsidiary

	  	Jurisdiction
of Organization

	  	%

	 
	 MagnaChip Semiconductor SA Holdings LLC (USA)
	  	Delaware	  	100	%
	 MagnaChip Semiconductor, Inc. (USA)
	  	Delaware	  	100	%
	 MagnaChip Semiconductor Inc. (Japan)
	  	Japan	  	100	%
	 MagnaChip Semiconductor Ltd. (United Kingdom)
	  	United Kingdom	  	100	%
	 MagnaChip Semiconductor, Ltd. (Hong Kong)
	  	Hong Kong	  	100	%
	 MagnaChip Semiconductor Ltd. (Taiwan)
	  	Taiwan	  	100	%
	 MagnaChip Semiconductor Ltd. (Korea)
	  	Korea	  	100	%
	 MagnaChip Semiconductor B.V. (Netherlands)
	  	Netherlands	  	100	%
	 MagnaChip Semiconductor Company
	  	Delaware	  	100	%

  

 Exhibit A 
  

“THIS NOTE HAS NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) AND, ACCORDINGLY, MAY NOT BE OFFERED, SOLD,
PLEDGED OR OTHERWISE TRANSFERRED WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS, EXCEPT AS SET FORTH IN THE FOLLOWING SENTENCE. BY ITS ACQUISITION HEREOF OR OF A BENEFICIAL INTEREST HEREIN, THE HOLDER (1) REPRESENTS
THAT (A) IT IS A “QUALIFIED INSTITUTIONAL BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT) (A “QIB”), (B) IT IS NOT A U.S. PERSON, IS NOT ACQUIRING THIS NOTE FOR THE ACCOUNT OR BENEFIT OF A U.S. PERSON AND IS ACQUIRING
THIS NOTE IN AN OFFSHORE TRANSACTION IN COMPLIANCE WITH REGULATION S UNDER THE SECURITIES ACT OR (C) IT IS AN INSTITUTIONAL “ACCREDITED INVESTOR” (AS DEFINED IN RULE 501(A)(1), (2), (3) OR (7) OF REGULATION D UNDER THE SECURITIES ACT) (AN
“IAI”), (2) AGREES THAT IT WILL NOT, WITHIN THE TIME PERIOD REFERRED TO UNDER RULE 144(k) (TAKING INTO ACCOUNT THE PROVISIONS OF RULE 144(d) UNDER THE SECURITIES ACT, IF APPLICABLE) UNDER THE SECURITIES ACT AS IN EFFECT ON THE DATE OF THE
TRANSFER OF THIS NOTE, RESELL OR OTHERWISE TRANSFER THIS NOTE EXCEPT (A) TO THE ISSUERS OR ANY SUBSIDIARY THEREOF, (B) TO A PERSON WHOM THE HOLDER REASONABLY BELIEVES IS A QIB PURCHASING FOR ITS OWN ACCOUNT OR FOR THE ACCOUNT OF A QIB IN COMPLIANCE
WITH RULE 144A UNDER THE SECURITIES ACT, (C) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT, (D) PURSUANT TO THE EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (IF
AVAILABLE), (E) TO AN IAI THAT, PRIOR TO SUCH TRANSFER, FURNISHES TO THE TRUSTEE A SIGNED LETTER CONTAINING CERTAIN REPRESENTATIONS AND AGREEMENTS RELATING TO THE REGISTRATION OF TRANSFER OF THIS NOTE (THE FORM OF WHICH LETTER CAN BE OBTAINED FROM
THE TRUSTEE) AND, IF SUCH TRANSFER IS IN RESPECT OF AN AGGREGATE PRINCIPAL AMOUNT OF NOTES AT THE TIME OF TRANSFER OF LESS THAN $250,000, AN OPINION OF COUNSEL ACCEPTABLE TO THE ISSUERS THAT SUCH TRANSFER IS IN COMPLIANCE WITH THE SECURITIES ACT OR
(F) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND, IN EACH CASE, IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS, AND (3) AGREES THAT IT WILL DELIVER TO EACH PERSON TO WHOM THIS NOTE OR AN INTEREST HEREIN IS
TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IN CONNECTION WITH ANY TRANSFER OF THIS NOTE OR ANY INTEREST HEREIN WITHIN THE TIME PERIOD REFERRED TO ABOVE, THE HOLDER MUST CHECK THE APPROPRIATE BOX SET FORTH ON THE REVERSE HEREOF
RELATING TO THE MANNER OF SUCH TRANSFER AND SUBMIT THIS CERTIFICATE TO THE TRUSTEE. AS USED HEREIN, THE TERMS “OFFSHORE TRANSACTION,” “UNITED STATES” AND “U.S. PERSON” HAVE THE MEANINGS GIVEN TO THEM BY RULE 902 OF
REGULATION S UNDER THE SECURITIES ACT. THE INDENTURE CONTAINS A PROVISION REQUIRING THE TRUSTEE TO REFUSE TO REGISTER ANY TRANSFER OF THIS NOTE IN VIOLATION OF THE FOREGOING RESTRICTIONS.” 
  

 The following exhibit has been excluded from this Exhibit 10.1: 
  
 Exhibit B—Form of Registration Rights Agreement 
  
 The registrant agrees to furnish supplementally a copy of any omitted exhibit
to the Securities and Exchange Commission upon request.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00086-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00086-of-00352.parquet"}]]