Document:

Exhibit 10.2

 

INDEPENDENT
CONTRACTOR AGREEMENT

 

This Independent
Contractor Agreement (“Agreement”) is made effective July 1, 2005 (“Effective
Date”), between Cornell Companies, Inc., a Delaware corporation (“Cornell
Companies”), whose address is 1700 West Loop South, Suite 1500, Houston,
Texas 77027, and John C. Godlesky, an individual (“Consultant”),
whose address is 74 Cedar Lane, Leeper, Pennsylvania 16233.

 

In consideration of the
mutual covenants herein contained, the parties hereby agree as follows:

 

1.                                       Services.  Consultant
agrees to provide the services specified in the Project Schedule attached to
this Agreement as Exhibit A (the “Services”) and hereby made a
part hereof.

 

2.                                       Term and Termination. 
This Agreement shall continue as per the terms within the Exhibit A.

 

3.                                       Payment for Services.  As
full compensation for the Services to be provided by Consultant pursuant to
this Agreement, Cornell Companies agrees to pay Consultant the fees in the
amounts and in the manner set forth in the Project Schedule.

 

4.                                       Relationship of the Parties; Independent Contractor; Taxes.  It is understood and agreed that Consultant
shall perform the Services as an independent contractor and not as an employee,
agent or representative of Cornell Companies. 
Consultant agrees that it shall be personally responsible for any and
all taxes and other payments due on payments received by it from Cornell
Companies hereunder.

 

5.                                       Cornell Companies’ Proprietary Rights.  “Work Product” means the resulting
product (including, without limitation, all writings, information, data,
formulas, photographs, training materials, workbooks, and the like, and all
deliverables created, developed and/or prepared on behalf of Cornell Companies
by Consultant and in furtherance of the Services.  Work Product does not include any
pre-existing product owned by Consultant or by any third party and incorporated
or embedded into the Work Product (the “Proprietary Product”).

 

(a)                                  All
Work Product is, shall be and shall remain the sole and exclusive property of
Cornell Companies and may not be used by Consultant or its employees for any
other purpose except for the benefit of Cornell Companies.  Consultant shall not sell, transfer, publish,
disclose, display, license or otherwise make available to others any part of
such Work Product or copies thereof.

 

The terms of this Section
5  shall survive any expiration or termination of this Agreement.

 

1

 

6.                                       Confidential Information.

 

(a)                                  Acknowledgment
of Confidentiality.  Consultant
hereby acknowledges that it may be exposed to confidential and proprietary
information of Cornell Companies including, without limitation, Work Product
and other technical information, business information, and other information
designated as confidential expressly or by the circumstances in which it is
provided (“Confidential Information”). 
Confidential Information does not include (i) information already known
or independently developed by the recipient; (ii) information in the public
domain through no wrongful act of the recipient, or (iii) information received
by the recipient from a third party who was free to disclose it.

 

(b)                                  Covenant
Not to Disclose.  Consultant hereby
agrees that during the term and at all times thereafter it shall not use,
commercialize or disclose such Confidential Information to any person or
entity.  Consultant shall not alter or
remove from any materials owned or provided by Cornell Companies.  Consultant shall use at least the same degree
of care in safeguarding Cornell Companies’ Confidential Information as it uses
in safeguarding its own confidential information.

 

(c)                                  Survival.  The obligations imposed by this Section 6
shall survive any expiration or termination of this Agreement.

 

7.                                       Compliance with Laws. 
Consultant agrees to comply with the provisions of all applicable
federal, state, county, or municipal laws, regulations or ordinances.  Consultant hereby releases and agrees to hold
harmless Cornell Companies for any liability of whatsoever nature arising out
of Consultant’s violation of any law or the provisions of this Section.

 

8.                                       Injunctive Relief. 
Consultant acknowledges that violation by Consultant of the provisions
of Section 5 (“Cornell Companies’ Proprietary Rights”), Section 6
(“Confidential Information”), or Section 7 (Compliance with Laws) would
cause irreparable harm to Cornell Companies not adequately compensable by
monetary damages.  In addition to other
relief, it is agreed that injunctive relief shall be available to prevent any
actual or threatened violation of such provisions.

 

9.                                       Liability.  Cornell
Companies and Consultant each agree that each party is fully responsible and
liable for its own actions and/or inactions and for all resulting costs,
including all costs and damages of the claims, charges and/or lawsuits that may
arise from them.  Likewise, in the event
that one party becomes the subject of a claim, charge, and/or lawsuit for the
actions and/or inactions of the other party, said other party agrees it will
affirmatively subject itself to the claim, charge, and/or lawsuit and take all
steps necessary to affirmatively release the subjected party from said claim,
charge, and/or lawsuit.

 

10.                                 Duties upon Termination. 
Upon termination of this Agreement prior to the completion of the Services,
Consultant agrees to reasonably cooperate and provide such assistance and
information as may be reasonably requested by Cornell Companies.  In addition, Consultant shall

 

2

 

immediately deliver to
Cornell Companies all materials of any nature which are in Consultant’s
possession or control and which are or contain Confidential Information, or
Work Product, or which are otherwise the property of Cornell Companies, and no
copies thereof shall be retained by Consultant or its employees without the
prior written consent of Cornell Companies.

 

11.                                 Governing Law.  This
contract will be governed by and construed in accordance with the laws of the
State of Texas (without regard to Texas’ principles of conflicts of laws).

 

12.                                 Legal Proceedings; Venue. 
The prevailing party in any legal proceedings brought by or against the
other party to enforce any provision or term of this Agreement shall be
entitled to recover against the non-prevailing party the reasonable attorneys’
fees, court costs and other expenses incurred by the prevailing party.  Suit to enforce any provision of this
Agreement or to obtain any remedy with respect hereto shall be brought in the
applicable state or federal courts of Harris County, Texas.

 

13.                                 Consent to Breach Not Waiver.  No term or provision hereof shall be deemed
waived and no breach excused, unless such waiver or consent be in writing and
signed by the party claimed to have waived or consented.  No consent by any party to, or waiver of, a
breach by the other party shall constitute a consent to, waiver of, or excuse
of any other different or subsequent breach.

 

14.                                 Severability.  If any
term or provision of this Agreement should be declared invalid by a court of
competent jurisdiction, (i) the remaining terms and provisions of this
Agreement shall be unimpaired, and (ii) the invalid term or provision shall be
replaced by such valid term or provision as comes closest to the intention
underlying the invalid term or provision.

 

15.                                 Time is of the Essence. 
As regards any act to be performed under this Agreement, time is of the
essence.

 

16.                                 Entire Agreement. 
This Agreement constitutes the complete and exclusive statement of the
agreement between the parties with regard to the matters set forth herein, and
it supersedes all other agreements, proposals, and representations, oral or
written, express or implied, with regard thereto.

 

IN
WITNESS WHEREOF, the parties have executed this Agreement as of the day and
year set forth above.

 

	
  Consultant

  	
  Cornell Companies, Inc.

  
	
   

  	
   

  
	
   

  	
   

  
	
  /s/ John C. Godlesky

  	
   

  	
  By:

  	
  /s/ Patrick N. Perrin

  	
   

  
	
  John C. Godlesky

  	
   

  	
  Patrick N. Perrin, Sr.
  V.P.

  
	
   

  	
   

  	
  Chief Administrative
  Officer

  
					

 

3

 

EXHIBIT A

 

PROJECT
SCHEDULE

 

Attached to and made a
part of the Independent Contractor Agreement between Cornell Companies and
Consultant effective July 1, 2005.

 

1.                                      Project
Description:

 

The goal of the project is
for Consultant to provide a smooth transition of Consultant’s former position
responsibilities and to complete certain projects during said transition period
as Consultant reasonably understands them to be as well as by specific request
of James Hyman, C.E.O.

 

2.                                      Fees/Charges:

 

a)              $15,000.00 per month for three (3) months,
payable at the end of each month within the term of this Agreement.

 

b)             If Consultant is requested to be available
after September 30, 2005, for more than a de
minimis consultation (e.g., a telephone call or the like),
Consultant will be compensated additionally at the rate of $579.90 per day,
plus reasonable expenses.

 

Payment is contingent, in
addition to the other terms and conditions in this Agreement, upon the
following:

 

•                  Consultant
will complete, sign, and return an IRS Form W-9 for generation of a Form 1099
at end of the calendar year.

 

3.                                      Special
Terms:

 

a)              This
Agreement is anticipated to expire on September 30, 2005, or immediately
following payment for the final requested per diem assistance outlined in
Item 2(b), Fees/Charges, above, whichever is sooner.

 

b)             Consultant
agrees that Consultant will provide services on a daily basis, five days per
week, throughout the term of this Agreement. 
Thereafter, Consultant will provide per diem services upon request and
mutual agreement of the Parties.

 

c)              Notwithstanding
3(b), immediately above, if Cornell Companies determines that Consultant’s
position has been sufficiently transitioned prior to the expiration of the full
three (3) months contemplated in this Agreement, Consultant shall be required
to provide services only on an “as needed” basis during the balance of the
term.  Cornell Companies agrees that said
diminishment in services provided will, in no way, diminish Consultant’s right
to the full three (3) months’ payment.

 

d)             CORNELL
acknowledges that, during the term of this Agreement, Consultant may require a
reasonable amount of time away from work to pursue other endeavors.  When such time away from work is scheduled in
advance and is not anticipated to cause a detriment to the Company (e.g., in
meeting statutory deadlines, etc.), such request will not be unreasonably
denied.

 

 

e)              New
Morgan Academy.  In addition to,
and separate from, the schedule of services and fees outlined above, Consultant
shall receive compensation for producing and bringing to close(1) as a bona
fide buyer/lessee who, in good faith, purchases or leases the entire property
commonly known as New Morgan Academy, as delineated below:

 

a.               Sale
with a purchase price, or Lease with a total present value(2), of
$20,000,000:  Consultant shall receive
compensation in the amount of $50,000; or

b.              Sale
with a purchase price of $22,000,000: 
Consultant shall receive compensation in the amount of $100,000; or

c.               Sale
with a purchase price of over $22,000,000: 
Consultant shall receive compensation in the amount of $100,000 plus
$100,000 for each additional $1,000,000 in present value over $22,000,000.

 

(1) “producing and
bringing to close” is defined, for purposes herein, as meaning Consultant has
served as the primary and/or exclusive representative for Cornell Companies and
has actively pursued and shepherded the buyer/lessee to an actual close
resulting in either the sale or, in the case of b(i), below, the sale or lease
of the entire New Morgan Academy property.

(2) “total present value”
is defined, for purposes herein, as meaning the total value of the lease, i.e.,
down payment, if any, plus total lease payments comprising the original term of
the lease.Exhibit 10.1

 

EXECUTION COPY

 

 

2005
AMENDED AND RESTATED

 

 

AGREEMENT
OF LIMITED PARTNERSHIP

 

 

OF

 

 

MACWH,
LP

 

 

TABLE OF CONTENTS

 

	
  ARTICLE I - DEFINED
  TERMS

  	
   

  
	
   

  	
   

  
	
  ARTICLE II -
  ORGANIZATIONAL MATTERS

  	
   

  
	
  Section 2.1.
  Formation and Continuation

  	
   

  
	
  Section 2.2.
  Name

  	
   

  
	
  Section 2.3.
  Registered Office and Agent; Principal Office

  	
   

  
	
  Section 2.4.
  Power of Attorney

  	
   

  
	
  Section 2.5.
  Term

  	
   

  
	
   

  	
   

  
	
  ARTICLE III - PURPOSE

  	
   

  
	
  Section
  3.1. Purpose and Business

  	
   

  
	
  Section 3.2.
  Powers

  	
   

  
	
   

  	
   

  
	
  ARTICLE IV -
  CAPITAL CONTRIBUTIONS

  	
   

  
	
  Section 4.1.
  Capital Contributions of the Partners

  	
   

  
	
  Section 4.2.
  Future Issuances of Additional Partnership Interests

  	
   

  
	
  Section
  4.3. Other Contribution Provisions

  	
   

  
	
  Section 4.4. No
  Preemptive Rights

  	
   

  
	
  Section 4.5.
  No Interest on Capital

  	
   

  
	
   

  	
   

  
	
  ARTICLE V -
  DISTRIBUTIONS

  	
   

  
	
  Section
  5.1. Requirement and Characterization of Distributions

  	
   

  
	
  Section 5.2.
  Amounts Withheld

  	
   

  
	
  Section
  5.3. Distributions Upon Liquidation

  	
   

  
	
  Section 5.4.
  Subordinated Amounts

  	
   

  
	
   

  	
   

  
	
  ARTICLE VI - ALLOCATIONS

  	
   

  
	
  Section
  6.1. Allocations For Capital Account Purposes

  	
   

  
	
  Section
  6.2. Substantial Economic Effect

  	
   

  
	
   

  	
   

  
	
  ARTICLE
  VII - MANAGEMENT AND OPERATIONS OF BUSINESS

  	
   

  
	
  Section 7.1. Management

  	
   

  
	
  Section
  7.2. Certificate of Limited Partnership

  	
   

  
	
  Section
  7.3. Restrictions on General Partner Authority

  	
   

  
	
  Section
  7.4. Compensation of the General Partner

  	
   

  
	
  Section
  7.5. Outside Activities of the General Partner

  	
   

  
	
  Section
  7.6. Contracts with Affiliates

  	
   

  
	
  Section 7.7.
  Indemnification

  	
   

  
	
  Section
  7.8. Liability of the General Partner

  	
   

  
	
  Section
  7.9. Other Matters Concerning the General Partner

  	
   

  
	
  Section
  7.10. Title to Partnership Assets

  	
   

  
	
  Section
  7.11. Reliance by Third Parties

  	
   

  
	
  Section
  7.12. Covenants Restricting Operation of Business

  	
   

  

 

i

 

	
  ARTICLE
  VIII - RIGHTS AND OBLIGATIONS OF LIMITED PARTNERS

  	
   

  
	
  Section 8.1.
  Limitation of Liability

  	
   

  
	
  Section 8.2.
  Management of Business

  	
   

  
	
  Section
  8.3. Outside Activities of Limited Partners

  	
   

  
	
  Section 8.4.
  Return of Capital

  	
   

  
	
  Section
  8.5. Rights of Limited Partners Relating to the Partnership

  	
   

  
	
  Section 8.6.
  Redemption Right

  	
   

  
	
  Section
  8.7. Participating Limited Partners’ Redemption Right

  	
   

  
	
  Section
  8.8. Partnership Call Right

  	
   

  
	
  Section 8.9. Class A Preferred Unit
  Conversion Right

  	
   

  
	
  Section 8.10. Parent LP Call Right
  and Partnership Unit Put Right

  	
   

  
	
   

  	
   

  
	
  ARTICLE
  IX - BOOKS, RECORDS, ACCOUNTING AND REPORTS

  	
   

  
	
  Section
  9.1. Records and Accounting

  	
   

  
	
  Section
  9.2. Taxable Year and Fiscal Year

  	
   

  
	
  Section
  9.3. Reports

  	
   

  
	
   

  	
   

  
	
  ARTICLE X - TAX MATTERS

  	
   

  
	
  Section
  10.1. Preparation of Tax Returns

  	
   

  
	
  Section
  10.2. Tax Elections

  	
   

  
	
  Section
  10.3. Tax Matters Partner; Certain Disputes

  	
   

  
	
  Section
  10.4. Organizational Expenses

  	
   

  
	
  Section
  10.5. Withholding

  	
   

  
	
  Section
  10.6. Conversions

  	
   

  
	
  Section
  10.7. Defined Terms

  	
   

  
	
  Section
  10.8. Lock Out

  	
   

  
	
  Section
  10.9. Debt Allocations and Related Matters

  	
   

  
	
  Section 10.10. Periods after the
  Protection Period

  	
   

  
	
  Section 10.11. Partnership Tax
  Status

  	
   

  
	
  Section 10.12. 704(c) Allocation
  Method

  	
   

  
	
  Section 10.13. Indemnification

  	
   

  
	
  Section 10.14. Tax Treatment of
  Amendment

  	
   

  
	
  Section 10.15. Limited Partner Tax
  Representative

  	
   

  
	
  Section 10.16. Exclusion of Certain
  Transactions

  	
   

  
	
  Section 10.17. Prior Tax Protection
  Agreements

  	
   

  
	
  Section 10.18. Cooperation Regarding
  Zone Credits

  	
   

  
	
   

  	
   

  
	
  ARTICLE XI
  - TRANSFERS AND WITHDRAWALS

  	
   

  
	
  Section
  11.1. Transfer

  	
   

  
	
  Section
  11.2. Transfer of the General Partner Interest and of Parent’s Limited
  Partner Interests; Extraordinary Transactions

  	
   

  
	
  Section
  11.3. Limited Partners’ Rights to Transfer

  	
   

  
	
  Section
  11.4. Substituted Limited Partners

  	
   

  
	
  Section
  11.5. General Provisions

  	
   

  
	
   

  	
   

  
	
  ARTICLE XII -
  ADMISSION OF PARTNERS

  	
   

  
	
  Section
  12.1. Admission of Successor General Partner

  	
   

  

 

ii

 

	
  Section
  12.2. Admission of Additional Limited Partners

  	
   

  
	
  Section
  12.3. Amendment of Agreement and Certificate of Limited Partnership

  	
   

  
	
   

  	
   

  
	
  ARTICLE
  XIII - DISSOLUTION, LIQUIDATION AND TERMINATION

  	
   

  
	
  Section
  13.1. Dissolution

  	
   

  
	
  Section
  13.2. Winding Up

  	
   

  
	
  Section
  13.3. Compliance with Timing Requirements of Regulations

  	
   

  
	
  Section
  13.4. Rights of Limited Partners

  	
   

  
	
  Section
  13.5. Notice of Dissolution

  	
   

  
	
  Section
  13.6. Termination of Partnership and Cancellation of Certificate of Limited
  Partnership

  	
   

  
	
  Section
  13.7. Reasonable Time for Winding Up

  	
   

  
	
  Section 13.8.
  Waiver of Partition

  	
   

  
	
  Section
  13.9. Liability of Liquidator

  	
   

  
	
   

  	
   

  
	
  ARTICLE
  XIV - AMENDMENT OF PARTNERSHIP AGREEMENT; MEETINGS

  	
   

  
	
  Section 14.1. Amendments

  	
   

  
	
  Section
  14.2. Meetings of the Partners and Action by Written Consent

  	
   

  
	
   

  	
   

  
	
  ARTICLE XV -
  GENERAL PROVISIONS

  	
   

  
	
  Section 15.1.
  Addresses and Notice

  	
   

  
	
  Section 15.2.
  Titles and Captions

  	
   

  
	
  Section 15.3.
  Pronouns and Plurals

  	
   

  
	
  Section 15.4.
  Further Action

  	
   

  
	
  Section 15.5.
  Binding Effect

  	
   

  
	
  Section 15.6. Creditors

  	
   

  
	
  Section 15.7. Waiver

  	
   

  
	
  Section 15.8.
  Counterparts

  	
   

  
	
  Section
  15.9. Applicable Law; Consent to Jurisdiction

  	
   

  
	
  Section
  15.10. Invalidity of Provisions

  	
   

  
	
  Section
  15.11. No Rights as Stockholders

  	
   

  
	
  Section 15.12.
  Entire Agreement

  	
   

  

 

	
  EXHIBITS

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Exhibit A

  	
  -

  	
  Partners Contributions and Partnership
  Interests

  	
   

  
	
  Exhibit B

  	
  -

  	
  Capital Account Maintenance

  	
   

  
	
  Exhibit C

  	
  -

  	
  Special Allocation Rules

  	
   

  
	
  Exhibit D

  	
  -

  	
  Notice of Redemption

  	
   

  
	
  Exhibit E

  	
  -

  	
  Participating Limited Partners

  	
   

  
	
  Exhibit F

  	
  -

  	
  Class A Preferred Return Hypothetical
  Calculation

  	
   

  
	
  Exhibit G

  	
  -

  	
  Notice of Forced Conversion

  	
   

  
	
  Exhibit H

  	
  -

  	
  Form of Tenth Amendment to Parent LP
  Partnership Agreement

  	
   

  
	
  Exhibit I

  	
  -

  	
  Form of Tax Protection Agreement

  	
   

  

 

iii

 

	
  SCHEDULES

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Schedule 7.12.B

  	
  -

  	
  Restricted Partnership Properties

  	
   

  
	
  Schedule 10.7

  	
  -

  	
  Protected Assets

  	
   

  
	
   

  	
   

  	
  Wilmorite Limited Partners

  	
   

  
	
  Schedule 10.9

  	
  -

  	
  Tax Matters

  	
   

  

 

iv

 

MACWH,
LP

2005 AMENDED AND RESTATED 

AGREEMENT OF LIMITED PARTNERSHIP

 

THIS 2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP, dated as of April 25, 2005 is
entered into by and among MACWPI Corp., formerly known as Wilmorite Properties, Inc.
(the “Company”), a Delaware corporation, as the general partner of MACWH,
LP, formerly known as Wilmorite Holdings, L.P., a Delaware limited partnership
(the “Partnership”), and those persons who have executed this Agreement
as limited partners and whose names and addresses are set forth on Exhibit A
hereto, as the same may be amended from time to time, together with any other
Persons who become Partners of the Partnership as provided herein.

 

WHEREAS, the Partnership was
formed by (i) filing a Certificate of Limited Partnership with the
Secretary of State of the State of Delaware on October 20, 1999, and (ii) the
Company, as the initial general partner, and Thomas C. Wilmot, Sr., as the
initial limited partner, entering into that certain limited partnership
agreement dated October 20, 1999 (the “Original Agreement”);

 

WHEREAS, the Original Agreement
was amended and restated pursuant to that certain 2000 Amended and Restated
Agreement of Limited Partnership dated February 23, 2000 (the “First
Amendment”), and further amended and restated pursuant to that certain 2002
Amended and Restated Limited Partnership Agreement, dated as of July 2,
2002 (the “Second Amendment”);

 

WHEREAS, on the date hereof,
Parent Acquisition, Inc. has merged with and into the Company (the “Merger”),
with the Company becoming a wholly-owned subsidiary of The Macerich
Partnership, L.P., a Delaware limited partnership (“Parent LP”), as a
result of the transaction;

 

WHEREAS, Parent LP is majority
owned by The Macerich Company, a Maryland corporation (“Parent”), that
acts as general partner for Parent LP and whose shares of common stock are
publicly traded on the New York Stock Exchange; and

 

WHEREAS,
on the date hereof (the “Effective Date”), immediately following the
consummation of the Merger, MACP LP, a Delaware
limited partnership and subsidiary of Parent LP, is merging with and into the
Partnership (the “Partnership Merger”), with the Partnership as the
surviving entity of the Partnership Merger, in accordance with the terms of the
Agreement and Plan of Merger, dated as of February 25, 2005 (the “Partnership
Merger Agreement”), among Parent LP, MACP LP and the Partnership;

 

WHEREAS,
simultaneously with the consummation of the Partnership Merger, the Second
Amendment is being amended and restated as set forth herein; and

 

WHEREAS,
this Agreement has been approved in accordance with the Second Amendment.

 

 

NOW, THEREFORE, in accordance
with the provisions of Section 9.10 of the Second Amendment, the Second
Amendment is hereby amended and restated in its entirety as follows.

 

ARTICLE I - DEFINED TERMS

 

The following definitions shall be for all purposes,
unless otherwise clearly indicated to the contrary, applied to the terms used
in this Agreement.

 

“Act” means the Delaware Revised Uniform
Limited Partnership Act, 6 Del.C. §17-101, et seq. as it may be amended,
supplemented or restated from time to time, and any successor to such statute.

 

“Additional Limited Partner” means a Person
admitted to the Partnership as a Limited Partner pursuant to Sections 4.2 and
12.2 hereof and who is shown as such on the books and records of the
Partnership.

 

“Adjusted Capital Account” means the Capital
Account maintained for each Partner as of the end of each Partnership taxable
year (i) increased by any amounts which such Partner is obligated to
restore pursuant to any provision of this Agreement or is deemed to be
obligated to restore pursuant to the penultimate sentences of Regulations
Sections 1.704-2(g)(1) and 1.704-2(i)(5) and (ii) decreased by
the items described in Regulations Sections 1.704-1(b)(2)(ii)(d)(4), 1.704-1(b)(2)(ii)(d)(5),
and 1.704-1(b)(2)(ii)(d)(6).  The
foregoing definition of Adjusted Capital Account is intended to comply with the
provisions of Regulations Section 1.704-1(b)(2)(ii)(d) and shall be
interpreted consistently therewith.

 

“Adjusted Capital Account Deficit” means, with
respect to any Partner, the deficit balance, if any, in such Partner’s Adjusted
Capital Account as of the end of the relevant Partnership taxable year.

 

“Adjusted Property” means any property, the
Carrying Value of which has been adjusted pursuant to Exhibit B
hereof.  Once an Adjusted Property is
deemed contributed to the Partnership for federal income tax purposes upon a
termination thereof pursuant to Section 708 of the Code, such property
shall thereafter constitute a Contributed Property until the Carrying Value of
such property is further adjusted pursuant to Exhibit B hereof.

 

“Affiliate” means, with respect to any Person,
any other Person directly or indirectly controlling, controlled by or under
common control with such Person.  For
purposes of this definition, “control,” when used with respect to any Person,
means the power to direct the management and policies of such Person, directly
or indirectly, whether through the ownership of voting securities, by contract
or otherwise, and the terms “controlling” and “controlled” have meanings
correlative to the foregoing.

 

“Agreed Value” means (i) in the case of
any Contributed Property as of the time of its contribution to the Partnership,
the 704(c) Value of such property, reduced by any liabilities either
assumed by the Partnership upon such contribution or to which such property is
subject when contributed, and (ii) in the case of any property distributed
to a Partner by the Partnership, 

 

2

 

the Partnership’s Carrying Value of such property at the time such
property is distributed, reduced by any indebtedness either assumed by such
Partner upon such distribution or to which such property is subject at the time
of distribution as determined under Section 752 of the Code and the
Regulations thereunder.  The aggregate
Agreed Value of any Contributed Property contributed or deemed contributed by
each Partner is as set forth on Exhibit A.

 

“Agreement” means this 2005 Amended and
Restated Agreement of Limited Partnership, as it may be amended, supplemented
or restated from time to time, including by way of adoption of a Certificate of
Designations, including any exhibits attached hereto.

 

“Applicable Protection Period” has the meaning
set forth in Section 10.7 hereof.

 

“Applicable Tax Returns” has the meaning set
forth in Section 10.1 hereof.

 

“Articles of Incorporation” means the Articles
of Incorporation of Parent filed with the Secretary of State of Maryland, as amended
or restated from time to time.

 

“Available Cash” means, subject to Section 7.12.D,
with respect to any period for which such calculation is being made, (a) all
cash revenues and funds received by the Partnership from whatever source (but
excluding the proceeds of any Capital Contribution to the Partnership pursuant
to Section 4.1, 4.2 or 4.3 hereof and excluding the gross proceeds of any
Terminating Capital Transaction) plus the amount of any reduction (including,
without limitation, a reduction resulting because the General Partner
determines such amounts are no longer necessary) in reserves of the
Partnership, which reserves are referred to in clause (b)(v) below; (b) less
the sum of the following (except to the extent made with the proceeds of any Capital
Contribution and except to the extent taken into account in determining Capital
Transaction Proceeds):

 

(i)            all
interest, principal and other debt payments made in cash during such period by
the Partnership,

 

(ii)           all
expenditures made in cash by the Partnership during such period relating to
normal and customary operating expenses and capital expenditures related to
regular maintenance and customary tenant allowances,

 

(iii)          all
extraordinary capital expenditures made in cash by the Partnership during such
period,

 

(iv)          cash
investments in any entity (including loans made thereto) to the extent that
such investments are not otherwise described in clauses (b)(i), (ii) or (iii),
and

 

(v)           the amount
of any increase in reserves established during such period which the General
Partner reasonably determines is necessary or appropriate, subject to Section 7.12.D.

 

Notwithstanding the foregoing, Available Cash shall
not include any cash received or reductions in reserves, or take into account
any disbursements made or reserves established, after

 

3

 

commencement of the dissolution and liquidation of the Partnership or relating
to the Fixed Charge Escrow established pursuant to Section 7.12.D hereof.

 

“Book-Tax Disparities” means, with respect to
any item of Contributed Property or Adjusted Property, as of the date of any
determination, the difference between the Carrying Value of such Contributed
Property or Adjusted Property and the adjusted basis thereof for federal income
tax purposes as of such date.  A Partner’s
share of the Partnership’s Book-Tax Disparities in all of its Contributed
Property and Adjusted Property will be reflected by the difference between such
Partner’s Capital Account balance as maintained pursuant to Exhibit B
and the hypothetical balance of such Partner’s Capital Account computed as if
it had been maintained strictly in accordance with federal income tax
accounting principles.

 

“Business Day” means any day except a Saturday,
Sunday or other day on which commercial banks in New York, New York are
authorized or required by law to close.

 

“Capital Account” means the Capital Account
maintained for a Partner pursuant to Exhibit B hereof.

 

“Capital Contribution” means, with respect to
any Partner, any cash, cash equivalents and the Agreed Value of Contributed
Property which such Partner contributes or is deemed to contribute to the
Partnership pursuant to Section 4.1, 4.2, or 4.3 hereof.

 

“Capital Transaction” means a sale, exchange or
other disposition (other than in liquidation of the Partnership) or a financing
by the Partnership or any Subsidiary of the Partnership (which shall not
include any loan or financing to or by the General Partner) of any property of
the Partnership or any Subsidiary of the Partnership.

 

“Capital Transaction Proceeds” means the net
cash proceeds of a Capital Transaction, after deducting all expenses incurred
in connection therewith and after application of any proceeds, at the sole
discretion of the General Partner, toward the payment of any indebtedness of
the Partnership or Subsidiary of the Partnership, the purchase or financing of
any additions, improvements or an expansion of existing or additional
Partnership property or property of a Subsidiary of the Partnership, or the
establishment of any reserves deemed reasonably necessary by the General
Partner; provided that “Capital Transaction Proceeds” shall not include any
proceeds received after commencement of the dissolution and liquidation of the
Partnership or any proceeds from a Terminating Capital Transaction.

 

“Carrying Value” means (i) with respect to
a Contributed Property or Adjusted Property, the 704(c) Value of such
property, reduced (but not below zero) by all Depreciation with respect to such
Contributed Property or Adjusted Property, as the case may be, charged to the
Partners’ Capital Accounts following the contribution of or adjustment with
respect to such property; and (ii) with respect to any other Partnership
property, the adjusted basis of such property for federal income tax purposes,
all as of the time of determination.  The
Carrying Value of any property shall be adjusted from time to time in
accordance with Exhibit B hereof, and to reflect changes, additions
or other adjustments to the Carrying Value for dispositions and acquisitions of
Partnership properties, as deemed appropriate by the General Partner.

 

4

 

“Cash Amount” means an amount of cash equal to
the Value on the Valuation Date or the Business Day immediately preceding the
Conversion Date, as applicable, of the REIT Shares Amount plus, with
respect to a Class A Preferred Unit, the Pro-Rated Preferred Amount.

 

“Certificate of Designations” means any Exhibit attached
hereto or any amendment to this Agreement that sets forth the designations,
rights, powers, duties and preferences of holders of any Partnership Interests
issued pursuant to Section 4.2.A hereof, which amendment is in the form of
a certificate signed by the General Partner and appended to this
Agreement.  A Certificate of Designations
is not the exclusive manner in which such an amendment may be effected.  The General Partner may adopt a Certificate
of Designations without the Consent of the Limited Partners to the extent
permitted pursuant to Section 14.1.B hereof.

 

“Certificate of Limited Partnership” means the
Certificate of Limited Partnership relating to the Partnership filed in the
office of the Secretary of State of the State of Delaware, as amended from time
to time in accordance with the terms hereof and the Act.

 

“Class A Forced Conversion” has the
meaning set forth in Section 8.6.C hereof.

 

“Class A Liquidation Preference” means an
amount equal to $62.39 per Class A Preferred Unit.

 

“Class A Preferred Return Amount” means (A) with
respect to those Units set forth on Exhibit E with respect to the
Participating Election Right, an amount per Class A Preferred Unit for
each quarter equal to the sum of (i) 1.15% per quarter of the Class A
Liquidation Preference plus 80% of the amount, if any, by which the
quarterly dividend payable on one REIT Share for such quarter with respect to
the corresponding period exceeds $0.65 per share plus (ii) the
aggregate amount of cash distributions per REIT Share paid or payable for such
quarter with respect to a corresponding payment period on one REIT Share,
multiplied by a fraction (the numerator of such fraction being 0.717485 and the
denominator being 2.60), multiplied by the Conversion Factor; or (B) with
respect to all other Class A Preferred Units, an amount per Class A
Preferred Unit for each quarter equal to the sum of (i) 1.4375% of the Class A
Liquidation Preference plus (ii) the amount, if any, by which the
quarterly dividend payable on one REIT Share for such quarter with respect to
the corresponding period exceeds $0.65 per share.  Exhibit F attached hereto
contains hypothetical calculations of this Class A Preferred Return Amount
for illustrative purposes. The applicable Class A Preferred Return Amount
shall accrue for the last full calendar quarter, or, if applicable, the
relevant shorter period (including, (1) the period from the day after the
Effective Date to the end of the first calendar quarter ending after the
Effective Date, and (2) the period from the beginning of the calendar quarter
in which commencement of the dissolution and liquidation of the Partnership
occurs through the date of such commencement) on the Partnership Payment Date,
and shall be adjusted as otherwise provided herein.

 

“Class A Preferred Unit” means a Partnership
Unit which is designated as a Class A Convertible Preferred Unit of
limited partnership interest and which has the rights, preferences and other
privileges designated herein in respect of Class A Preferred
Unitholders.  The allocation of Class A
Preferred Units among the Partners shall be set forth on Exhibit A,
as such Exhibit may be amended from time to time.

 

5

 

“Class A Preferred Unitholder” means a
Partner that holds Class A Preferred Units.

 

“Class A Put Right” has the meaning set
forth in Section 8.6.C hereof.

 

“Cliff Effect Transfer Tax” has the meaning set
forth in Section 8.6.G hereof.

 

“Code” means the Internal Revenue Code of 1986,
as amended and in effect from time to time, as interpreted by the applicable
regulations thereunder.  Any reference
herein to a specific Section or sections of the Code shall be deemed to
include a reference to any corresponding provision of any succeeding law.

 

“Common Distribution Amount” means with respect
to the Common Units held by a Partner (other than the General Partner, Parent,
or any of their respective Subsidiaries or Affiliates or any Parent Transferee)
on a Partnership Record Date for distribution of Available Cash, a cash amount
for each quarter equal in value to the aggregate cash dividends, cash
distributions or other cash amounts that would have been payable to such holder
of Common Units in the event that such Partner owned REIT Shares equal in
number to the REIT Shares Amount attributable to all of such Partner’s Common
Units as of such Partnership Record Date. 
The Common Distribution Amount shall accrue for the last full calendar
quarter, or, if applicable, the relevant shorter period (including, (1) the
period from the day after the Effective Date to the end of the first calendar
quarter ending after the Effective Date, and (2) the period from the
beginning of the calendar quarter in which commencement of the dissolution and
liquidation of the Partnership occurs through the date of such commencement) on
the Partnership Payment Date, and shall be adjusted as otherwise provided
herein.

 

“Common Unit” means a Partnership Unit which is
designated as a common unit of limited partnership interest and which has the
rights, preferences and other privileges designated herein in respect of Common
Unitholders.  The allocation of Common
Units among the Partners shall be set forth on Exhibit A, as such Exhibit may
be amended from time to time.

 

“Common Unitholder” means a Partner that holds
Common Units.

 

“Company” has the meaning set forth in the
preamble hereof and shall be deemed to refer to all successors, including
without limitation, by operation of law.

 

“Consent” means the consent or approval of a
proposed action by a Partner given in accordance with Section 14.2 hereof.

 

“Contributed Property” means each property or
other asset, in such form as may be permitted by the Act (but excluding cash),
contributed or deemed contributed to the Partnership (including deemed
contributions to the Partnership on reconstitution thereof pursuant to Section 708
of the Code).  Once the Carrying Value of
a Contributed Property is adjusted pursuant to Exhibit B hereof,
such property shall no longer constitute a Contributed Property for purposes of
Exhibit B hereof, but shall be deemed an Adjusted Property for such
purposes.

 

“Conversion Date” has the meaning set forth in Section 8.9.B
hereof.

 

6

 

“Conversion Factor” means, as of the date of
this Agreement, one (1.0), provided that in the event that Parent (i) declares
or pays a dividend on its outstanding REIT Shares in REIT Shares or makes a
distribution to all holders of its outstanding REIT Shares in REIT Shares; (ii) subdivides
its outstanding REIT Shares; or (iii) combines its outstanding REIT Shares
into a smaller number of REIT Shares, the Conversion Factor shall be adjusted
by multiplying the Conversion Factor by a fraction, the numerator of which
shall be the number of REIT Shares issued and outstanding on the record date for
such dividend, distribution, subdivision or combination (assuming for such
purpose that such dividend, distribution, subdivision or combination has
occurred as of such time), and the denominator of which shall be the actual
number of REIT Shares (determined without the above assumption) issued and
outstanding on the record date for such dividend, distribution, subdivision or
combination.  Any adjustment to the
Conversion Factor shall become effective immediately after the effective date
of such event retroactive to the record date, if any, for such event (provided,
however, if a Notice of Redemption is given prior to such a record date
and the Specified Redemption Date is after such a record date, then the
adjustment to the Conversion Factor shall, with respect to such Redeeming
Partner, be retroactive to the date of such Notice of Redemption, provided that
such dividend, distribution, subdivision or combination occurs as of the
effective date of such event).  It is intended
that adjustments to the Conversion Factor are to be made in order to avoid
unintended dilution or anti-dilution as a result of transactions in which REIT
Shares are issued or combined for no consideration.  If, prior to a Specified Redemption Date, Rights
(other than Rights issued pursuant to an employee benefit plan or other
compensation arrangement) were issued and have expired, and such Rights were
issued with an exercise price that, together with the purchase price for such
Rights, was below fair market value in relation to the security or other
property to be acquired upon the exercise of such Rights, and such Rights were
issued to all holders of outstanding REIT Shares or Parent and the General
Partner cannot in good faith represent that the issuance of such Rights
benefited the Limited Partners, then the Conversion Factor applicable upon a
Notice of Redemption shall be equitably adjusted in a manner consistent with
anti-dilution provisions in warrants and other instruments in the case of such
a below market issuance or exercise price.  A similar equitable adjustment to protect the
value of Common Units shall be made in all events if any Rights issued under a “Shareholder
Rights Plan” became exercisable and expired prior to a Specified Redemption
Date.  Any such equitable adjustment shall
be made in a manner determined by the General Partner in good faith.

 

“Conversion Price” has the meaning set forth in
Section 8.9.A hereof.

 

“Conversion Rate” has the meaning set forth in Section 8.9.A
hereof.

 

“Conversion Window” has the meaning set forth
in Section 8.6.C hereof.

 

“Cumulative Unpaid Class A Preferred Return
Amount” means, with respect to any Class A Preferred Unitholder, an
amount, if any, equal to (i) the aggregate of all accrued Class A
Preferred Return Amounts for previous quarters with respect to the Class A
Preferred Units held by such Partner, less (ii) the cumulative amount of
distributions previously made with respect to such Class A Preferred Units
pursuant to Sections 5.1.A and 5.1.B hereof. 
The Cumulative Unpaid Class A Preferred Return Amount of a
Redeeming Partner shall be reduced by the value of the aggregate Cash Amount or
REIT Shares Amount paid by the Partnership or Parent, as applicable, in respect
of any Cumulative Unpaid Class A Preferred Return Amount attributable 

 

7

 

to any Class A Preferred Units redeemed by the Partnership or
purchased by Parent pursuant to Section 8.6 hereof.

 

“Cumulative Unpaid Common Distribution Amount”
means, with respect to any Common Unitholder (other than the General Partner,
Parent or any of their respective Subsidiaries or Affiliates or any Parent
Transferee), an amount, if any, equal to (i) the aggregate of all accrued
Common Distribution Amounts for previous quarters with respect to the Common
Units held by such Partner, less (ii) the cumulative amount of
distributions previously made with respect to such Common Units pursuant to
Sections 5.1.C and 5.1.D hereof.  The
Cumulative Unpaid Common Distribution Amount of a Redeeming Partner shall be
reduced by the value of the aggregate Cash Amount or REIT Shares Amount paid by
the Partnership or Parent, as applicable, in respect of any Cumulative Unpaid
Common Distribution Amount attributable to any Common Units redeemed by the
Partnership or purchased by Parent pursuant to Section 8.6 hereof.

 

“Delaware Courts” has the meaning set forth in Section 15.9.B
hereof.

 

“Depreciation” means, for each taxable year or
other period, an amount equal to the federal income tax depreciation,
amortization, or other cost recovery deduction allowable with respect to an
asset for such year or other period, except that if the Carrying Value of an
asset differs from its adjusted basis for federal income tax purposes at the
beginning of such year or other period, Depreciation shall be an amount which
bears the same ratio to such beginning Carrying Value as the federal income tax
depreciation, amortization, or other cost recovery deduction for such year or
other period bears to such beginning adjusted tax basis; provided, however,
that if the federal income tax depreciation, amortization, or other cost
recovery deduction for such year is zero, Depreciation shall be determined with
reference to such beginning Carrying Value using any reasonable method selected
by the General Partner.

 

“Disposition” has the meaning set forth in Section 10.8.A
hereof.

 

“Effective Date” has the meaning set forth in
the recitals hereof.

 

“Encumbrance” has the meaning set forth in the
definition of “Indebtedness.”

 

“ERISA” means the Employee Retirement Income
Security Act of 1974, as amended.

 

“Expiration Date” has the meaning set forth in Section 8.8.E
hereof.

 

“Extraordinary Transaction” means the
occurrence of one or more of the following events: (i) a merger (including
a triangular merger), consolidation or other combination with or into another
Person (other than in connection with a change in Parent’s state of
incorporation or organizational form or a merger with a direct or indirect
Subsidiary of Parent); (ii) the direct or indirect sale, lease, exchange
or other transfer of all or substantially all of its assets in one transaction
or a series of related transactions; (iii) any reclassification,
recapitalization or change of its outstanding equity interests (other than a
change in par value, or from par value to no par value, or as a result of a
split, dividend or similar subdivision); or (iv) the adoption of any plan
of liquidation or dissolution of Parent (whether or not in compliance with the
provisions of this Agreement).

 

8

 

“Family Group” means, with respect to any
natural Person, such Person’s spouse, brothers and sisters (whether by the
whole or half blood or adopted), ancestors and lineal descendants (whether
natural or adopted), any trust solely for the benefit of any one or more of the
foregoing, and any limited partnership, limited liability company or other
entity owned exclusively by any one or more of the foregoing.

 

“Final Adjustment” has the meaning set forth in
Section 10.3.B hereof.

 

“First Amendment” has the meaning set forth in
the recitals hereof.

 

“First Put Window”
has the meaning set forth in Section 8.10.B.(1).

 

“Fixed Charge Coverage Ratio” shall mean the
ratio of (a) net operating income (cash revenues less cash expenses) of
the Partnership for the applicable calendar quarter less (i) all regularly
scheduled principal amortization payments and all interest payments on all
Indebtedness of the Partnership together with any Subsidiaries (excluding any
balloon payments), and (ii) the pro rata share of all regularly scheduled
principal amortization payments and all interest payments on all Indebtedness
of any other entity in which the Partnership directly or indirectly owns an
interest (excluding any balloon payments) to (b) the aggregate
distribution payable to the holders of Class A Preferred Units and the
holders of Common Units (other than the General Partner, the Parent, any of
their respective Subsidiaries or Affiliates and any Parent Transferee) under Article 5
hereof for the applicable calendar quarter.

 

“Fixed Charge Escrow” has the meaning set forth
in Section 7.12.D.

 

“Flow Through Owner” has the meaning set forth
in Section 10.7.

 

“GAAP” means generally accepted accounting
principles as used in the United States on the date hereof applied on a
consistent basis.

 

“General Partner” means the Company, in its
capacity as the general partner of the Partnership, or any Person who becomes a
successor general partner of the Partnership, including Parent Transferee or
any successor to the Company by operation of law.

 

“General Partner Interest” means a Partnership
Interest held by the General Partner, in its capacity as general partner.  A General Partner Interest may be expressed
as a number of Partnership Units.

 

“General Partner Partnership Units” has the
meaning set forth in Section 4.1.C hereof.

 

“Gross-Up Amount” has the meaning set forth in Section 10.13.A
hereof.

 

“Group A Restricted Properties” shall mean
Tysons Corner Center and Tysons Corner Office Building and all interests in
downstream Affiliates of the Partnership directly or indirectly holding such
properties.

 

9

 

“Group B Restricted Properties” shall mean
Freehold Raceway Mall and Wilton Mall at Saratoga and all interests in
downstream Affiliates of the Partnership directly or indirectly holding such
properties.

 

“Group C Restricted Properties” shall mean
Freehold Raceway Mall and Danbury Fair Mall and all interests in downstream
Affiliates of the Partnership directly or indirectly holding such properties.

 

“Guarantee Opportunity” has the meaning set
forth in Section 10.10.A hereof.

 

“IRS” means the Internal Revenue Service, which
administers the internal revenue laws of the United States.

 

“Incapacity” or “Incapacitated” means, (i) as
to any natural person which is a Partner, death, total physical disability or
entry by a court of competent jurisdiction of an order adjudicating him or her
incompetent to manage his or her Person or estate; (ii) as to any
corporation which is a Partner, the filing of a certificate of dissolution, or
its equivalent, for the corporation or the revocation of its certificate of
incorporation; (iii) as to any partnership or limited liability company
which is a Partner, the dissolution and commencement of winding up of the
partnership or the limited liability company; (iv) as to any estate which
is a Partner, the distribution by the fiduciary of the estate’s entire interest
in the Partnership; (v) as to any trustee of a trust which is a Partner, the
termination of the trust (but not the substitution of a new trustee) or (vi) as
to any Partner, the bankruptcy of such Partner. 
For purposes of this definition, bankruptcy of a Partner shall be deemed
to have occurred when (a) the Partner commences a voluntary proceeding
seeking liquidation, reorganization or other relief under any bankruptcy,
insolvency or other similar law now or hereafter in effect; (b) the
Partner is adjudged as bankrupt or insolvent, or a final and nonappealable
order for relief under any bankruptcy, insolvency or similar law now or
hereafter in effect has been entered against the Partner; (c) the Partner
executes and delivers a general assignment for the benefit of the Partner’s
creditors; (d) the Partner files an answer or other pleading admitting or
failing to contest the material allegations of a petition filed against the
Partner in any proceeding of the nature described in clause (b) above; (e) the
Partner seeks, consents to or acquiesces in, the appointment of a trustee, receiver
or liquidator for the Partner or for all or any substantial part of the Partner’s
properties; (f) any proceeding seeking liquidation, reorganization or
other relief of or against such Partner under any bankruptcy, insolvency or
other similar law now or hereafter in effect has not been dismissed within one
hundred twenty (120) days after the commencement thereof; (g) the
appointment without the Partner’s consent or acquiescence of a trustee,
receiver or liquidator has not been vacated or stayed within ninety (90) days
of such appointment; or (h) an appointment referred to in clause (g) which
has been stayed is not vacated within ninety (90) days after the expiration of
any such stay.

 

“Indebtedness” means any indebtedness of a
Person, whether or not contingent, in respect of (i) borrowed money or
evidenced by bonds, notes, debentures or similar instruments, (ii) indebtedness
for borrowed money of such Person or any of its Subsidiaries which is secured
by any mortgage, lien, charge, pledge, or security interest of any kind
existing on property owned by such Person or any of its Subsidiaries (each
securing such debt, an “Encumbrance”) to the extent of the lesser of (x)
the amount of indebtedness so secured and (y) the fair market value of 

 

10

 

the property subject to such Encumbrance, (iii) the reimbursement
obligations, contingent or otherwise, in connection with any letters of credit
actually issued or amounts representing the balance deferred and unpaid of the
purchase price of any property or services, except any such balance that
constitutes an accrued expense or trade payable, or all conditional sale
obligations or obligations under any title retention agreement, (iv) the
principal amount of all obligations of such Person or any Subsidiary with
respect to redemption, repayment or other repurchase of any Disqualified Stock,
(v) any lease of property by such Person or any of its Subsidiaries as
lessee which is reflected on such Person’s consolidated balance sheet as a
capitalized lease in accordance with GAAP, or (vi) interest rate swaps,
caps or similar agreements and foreign exchange contracts, currency swaps or
similar agreements, to the extent, in the case of items of indebtedness under (i) through
(iii) above, that any such items (other than letters of credit) would
appear as a liability on such Person’s consolidated balance sheet in accordance
with GAAP, and also includes, to the extent not otherwise included, any
obligation by such Person or any of its Subsidiaries to be liable for, or to
pay, as obligor, guarantor or otherwise (other than for purposes of collection
in the ordinary course of business), Indebtedness of another Person, whether or
not reflected on the Person’s balance sheet pursuant to GAAP (it being
understood that Indebtedness shall be deemed to be incurred by such Person or
any of its Subsidiaries whenever such Person or such Subsidiary shall create,
assume, guarantee or otherwise become liable in respect thereof).

 

“Indemnitee” means (i) any Person made a
party to a proceeding by reason of his, her or its status as (a) the
General Partner or (b) a director, officer, manager, trustee, general
partner of the General Partner or any entity that directly or indirectly
controls the General Partner, including without limitation, the Partnership and
(ii) such other Persons (including Affiliates of the General Partner or
the Partnership) as the General Partner may designate from time to time
(whether before or after the event giving rise to potential liability), in its
sole and absolute discretion.

 

“Limited Partner” means any Person (including
the Company or its successor) named as a Limited Partner on Exhibit A
attached hereto, as such Exhibit may be amended from time to time, or any
Substituted Limited Partner or Additional Limited Partner, in such Person’s
capacity as a limited partner of the Partnership.

 

“Limited Partner Interest” means a Partnership
Interest of a Limited Partner in the Partnership representing a fractional part
of the Partnership Interests of all Partners and includes any and all benefits
to which the holder of such a Partnership Interest may be entitled, as provided
in this Agreement, together with all obligations of such Person to comply with
the terms and provisions of this Agreement. 
A Limited Partner Interest may be expressed as a number of Partnership
Units.

 

“Limited Partner Tax Representative” means
Thomas C. Wilmot, Sr. or such other person as he may designate in writing
from time to time, provided, however, that in the event of such
person’s death or resignation as Limited Partner Tax Representative, holders of
a majority-in-interest of the Limited Partners, other than Parent, the General
Partner or any of their respective Subsidiaries or Affiliates, or any Parent
Transferee shall select a replacement Limited Partner Tax Representative.

 

“Liquidating Event” has the meaning set forth
in Section 13.1.A hereof.

 

11

 

“Liquidator” has the meaning set forth in Section 13.2.A
hereof.

 

“Lock-up Period” has the meaning set forth in Section 8.6.D
hereof.

 

“Merger” has the meaning set forth in the
recitals hereof.

 

“Merger Agreement” means that certain Agreement
and Plan of Merger among The Macerich Company, The Macerich Partnership, L.P.,
MACW, Inc., Wilmorite Properties, Inc. and Wilmorite Holdings, L.P.,
dated as of December 22, 2004.

 

“Net Income” means, for any taxable period, the
excess, if any, of the Partnership’s items of income and gain for such taxable
period over the Partnership’s items of loss and deduction for such taxable
period.  The items included in the
calculation of Net Income shall be determined in accordance with federal income
tax accounting principles, subject to the specific adjustments provided for on Exhibit B.  If an item of income, gain, loss or deduction
that has been included in the initial computation of Net Income is subjected to
the special allocation rules in Exhibit C, Net Income or the
resulting Net Loss, whichever the case may be, shall be recomputed without
regard to such item.

 

“Net Loss” means, for any taxable period, the
excess, if any, of the Partnership’s items of loss and deduction for such
taxable period over the Partnership’s items of income and gain for such taxable
period.  The items included in the
calculation of Net Loss shall be determined in accordance with federal income
tax accounting principles, subject to the specific adjustments provided for on Exhibit B.  If an item of income, gain, loss or deduction
that has been included in the initial computation of Net Loss is subjected to
the special allocation rules in Exhibit C, Net Loss or the
resulting Net Income, whichever the case may be, shall be recomputed without
regard to such item.

 

“Net Owed Amount” has the meaning set forth in Section 8.7.A
hereof.

 

“Net Owed Amount Financing” has the meaning set
forth in Section 8.7.A hereof.

 

“Nonrecourse Built in Gain” means, with respect
to any Contributed Properties or Adjusted Properties that are subject to a
mortgage or negative pledge securing a Nonrecourse Liability, the amount of any
taxable gain that would be allocated to the Partners pursuant to Section 2.B
of Exhibit C if such properties were disposed of in a taxable
transaction in full satisfaction of such liabilities and for no other consideration.

 

“Nonrecourse Deductions” has the meaning set
forth in Regulations Section 1.704-2(b)(1), and the amount of Nonrecourse
Deductions for a Partnership taxable year shall be determined in accordance
with the rules of Regulations Section 1.704-2(c).

 

“Nonrecourse Liability” has the meaning set
forth in Regulations Section 1.752-1(a)(2).

 

“Notice of Redemption” means the Notice of
Redemption substantially in the form of Exhibit D to this
Agreement.

 

“Original Agreement” has the meaning set forth
in the recitals hereof.

 

12

 

“Other Protected Parties” has the meaning set
forth in Section 10.13.B.

 

“Parent” has the meaning set forth in the
recitals hereof and shall be deemed to refer to all successors, including,
without limitation, by operation of law.

 

“Parent Acquisition, Inc.” means MACW, Inc.,
a Delaware corporation.

 

“Parent LP” has the meaning set forth in the
recitals hereof and shall be deemed to refer to all successors, including,
without limitation, by operation of law.

 

“Parent LP Call Right” has the meaning set
forth in Section 8.10.A hereof.

 

“Parent LP Interests” has the meaning set forth
in Section 7.12.A hereof.

 

“Parent Transferee”
has the meaning set forth in Section 11.2.E.

 

“Participating Election Right” has the meaning
set forth in Section 8.7.A hereof.

 

“Participating Limited Partners” means those
Limited Partners listed on Exhibit E attached hereto.

 

“Participating LP Representative” has the
meaning set forth in Section 8.7.B hereof.

 

“Participating Redemption Date” has the meaning
set forth in Section 8.7.A hereof.

 

“Partner” means a General Partner or a Limited
Partner, and “Partners” means the General Partner and the Limited
Partners collectively.

 

“Partner Minimum Gain” means an amount, with
respect to each Partner Nonrecourse Debt, equal to the Partnership Minimum Gain
that would result if such Partner Nonrecourse Debt were treated as a
Nonrecourse Liability, determined in accordance with Regulations Section 1.704-2(i)(3).

 

“Partner Nonrecourse Debt” has the meaning set
forth in Regulations Section 1.704-2(b)(4).

 

“Partner Nonrecourse Deductions” has the
meaning set forth in Regulations Section 1.704-2(i)(2), and the amount of
Partner Nonrecourse Deductions with respect to a Partner Nonrecourse Debt for a
Partnership taxable year shall be determined in accordance with the rules of
Regulations Section 1.704-2(i)(2).

 

“Partnership” has the meaning set forth in the
preamble hereof and shall be deemed to refer to all successors, including
without limitation, by operation of law.

 

“Partnership Call Right” has the meaning set
forth in Section 8.8.A hereof.

 

“Partnership Interest” means an ownership
interest in the Partnership representing a Capital Contribution by either a
Limited Partner or the General Partner and includes any and all 

 

13

 

benefits to which the holder of such a Partnership Interest may be
entitled as provided in this Agreement, together with all obligations of such
Person to comply with the terms and provisions of this Agreement.  A Partnership Interest may be expressed as a
number of Partnership Units.

 

“Partnership Merger” has the meaning set forth
in the recitals hereof.

 

“Partnership Minimum Gain” has the meaning set
forth in Regulations Section 1.704-2(b)(2), and the amount of Partnership
Minimum Gain, as well as any net increase or decrease in a Partnership Minimum
Gain, for a Partnership taxable year shall be determined in accordance with the
rules of Regulations Section 1.704-2(d).

 

“Partnership Payment Date” means the date on
which the General Partner distributes the Available Cash with respect to
Partnership Units pursuant to Section 5.1 hereof, which payment date shall
be the same as the payment date established by Parent for a distribution to its
common stockholders with respect to the same period, or if no such payment date
is established by Parent, the payment date for such distribution shall be the
15th day after the end of the applicable quarter.

 

“Partnership Record Date” means the record date
for (i) the distribution of Available Cash with respect to Partnership
Units pursuant to Section 5.1 hereof, which record date shall be the same
as the record date established by Parent for a distribution to its common
stockholders with respect to the same period, or if no such record date is
established by Parent, the Partnership Payment Date for such distribution, or (ii) if
applicable, determining the Partners entitled to vote on or consent to any
proposed action for which the Consent or approval of the Partners is sought.

 

“Partnership Unit” or “Unit” means a
fractional, undivided share of the Partnership Interests of all Partners issued
pursuant to Sections 4.1, 4.2, and 4.3 hereof (and includes any class or series
of Preferred Units established after the date hereof).  The number of Partnership Units outstanding
and, in the case of Common Units, the Percentage Interest in the Partnership
represented by such Partnership Units, are set forth on Exhibit A
attached hereto, as such Exhibit may be amended from time to time.  The ownership of Partnership Units shall be
evidenced by such form of certificate for Units as the General Partner adopts
from time to time unless the General Partner determines that the Partnership
Units shall be uncertificated securities.

 

“Partnership Unit Put Right” has the meaning
set forth in the Section 8.10 hereof.

 

“Partnership Year” means the fiscal year of the
Partnership, which shall be as determined in Section 9.2 hereof.

 

“Percentage Interest” means, as to a Partner,
its percentage interest as a holder of Partnership Interests determined by
dividing the Common Units and Class A Preferred Units (on an as-converted
basis) owned by such Partner by the total number of Common Units and Class A
Preferred Units (on an as-converted basis) then outstanding and as specified on
Exhibit A attached hereto, as such Exhibit may be amended from
time to time.

 

“Person” means a natural person, corporation,
partnership (whether general or limited), limited liability company, trust,
estate, unincorporated organization, association, custodian, nominee or any
other individual or entity in its own or any representative capacity.

 

14

 

“Pre-Closing Period Returns” has the meaning
set forth in Section 10.1 hereof.

 

“Preferred Unit” means a limited partnership
interest (of any series), other than a Common Unit, represented by a
fractional, undivided share of the Partnership Interests of all Partners issued
hereunder and which is designated as a “Preferred Unit” (or as a particular
class or series of Preferred Units) herein and which has the rights,
preferences and other privileges designated herein (including by way of a
Certificate of Designations) in respect of a Preferred Unitholder.  The allocation of Preferred Units among the
Partners shall be set forth on Exhibit A, as such Exhibit may
be amended from time to time.

 

“Preferred Unitholder” means a Limited Partner
that holds Preferred Units (of any class or series).

 

“Prior Agreements” means collectively the
Original Agreement, the First Amendment and the Second Amendment.

 

“Prior Partnership Tax Protection Agreements”
has the meaning set forth in Section 10.17 hereof.

 

“Pro-Rated Preferred Amount” means an amount
equal to the Class A Preferred Return Amount for the most recently
completed calendar quarter multiplied by a fraction the numerator of which is
equal to the number of days elapsed from the end of the most recent calendar
quarter with respect to which the Partnership Record Date has occurred as of
the applicable date of determination through the applicable date of
determination and the denominator of which is 90 days, which calculation is
intended to yield the portion of the Class A Preferred Return Amount
accrued to the date of determination based on an assumed 360-day year of twelve
30-day months.

 

“Property” means any property or other
investment in which the Partnership holds an ownership interest, directly or
indirectly.

 

“Protected Assets” has the meaning set forth in
Section 10.7 hereof.

 

“Protected Parties” has the meaning set forth
in Section 10.7 hereof.

 

“Put Windows”
means, collectively, the First Put Window and the Second Put Window.

 

“Qualified REIT Subsidiary” means any
Subsidiary of Parent that is a “qualified REIT subsidiary” within the meaning
of Section 856(i) of the Code.

 

“Recapture Income” means any gain recognized by
the Partnership upon the disposition of any property or asset of the
Partnership, which gain is characterized as non-capital gain income because it
represents the recapture of deductions previously taken with respect to such
property or asset.

 

“Recognition Event” has the meaning set forth
in Section 10.13.A hereof.

 

“Redeeming Partner” has the meaning set forth
in Section 8.6.A hereof.

 

15

 

“Redemption Amount” means either the Cash
Amount or the REIT Shares Amount, as determined by Parent, in its sole and
absolute discretion.  A Redeeming Partner
shall have no right, without Parent’s consent, which consent may be given or
withheld in Parent’s sole and absolute discretion, to receive the Redemption
Amount in the form of the REIT Shares Amount.

 

“Redemption Right” has the meaning set forth in
Section 8.6.A hereof.

 

“Regulations” means the Federal Income Tax
Regulations promulgated under the Code, as such regulations may be amended from
time to time (including any corresponding provisions of succeeding
regulations).

 

“Regulatory Allocations” has the meaning set
forth in Exhibit C.

 

“REIT” means a real estate investment trust
under Sections 856 through 860 of the Code.

 

“REIT Share” means (i) a share of common
stock of Parent or (ii) a common equity security for which the Common
Unitholders have the right to exchange their Common Unit equivalent interests
in the surviving entity in an Extraordinary Transaction permitted by Section 11.2.B
hereof.

 

“REIT Shares Amount” means a number of REIT
Shares equal (A) if Common Units are redeemed, to the product of (x) the
number of Common Units offered for redemption by a Redeeming Partner multiplied
by (y) the Conversion Factor in effect on the date of receipt by the
Partnership of a Notice of Redemption or (B) if Class A Preferred
Units are redeemed, to the product of (1) the number of Class A
Preferred Units offered for redemption by a Redeeming Partner multiplied by (2) the
Conversion Rate and multiplied by (3) the Conversion Factor, each in
effect on the date of receipt by the Partnership of a Notice of Redemption, and
in the case of either (A) or (B) plus (without duplication of
any amounts included in (A) or (B)) (i) cash in an amount equal to or
(ii) additional REIT Shares with Value equal to the Cumulative Unpaid
Common Distribution Amount or the Cumulative Unpaid Class A Preferred
Return Amount, as applicable, if any, attributable to the Common or Class A
Preferred Units being redeemed or purchased; provided that, in the event Parent
has previously issued to all holders of REIT Shares rights, options, warrants
or convertible or exchangeable securities entitling the holders of REIT shares
to subscribe for or purchase REIT Shares, or any other securities or property
(collectively, “Rights”), and the Rights have not expired at the
Specified Redemption Date, then the REIT Shares Amount shall also include that number
of Rights that were issuable to a holder of the REIT Shares Amount or REIT
Shares on the applicable record date relating to the issuance of such Rights,
including by making such adjustments to the Conversion Ratio or the Conversion
Factor, for this purpose, as are necessary.

 

“Required Nonrecourse Debt Amount” has the
meaning set forth in Section 10.9 hereof.

 

“Residual Gain” or “Residual Loss” means
any item of gain or loss, as the case may be, of the Partnership recognized for
federal income tax purposes resulting from a sale, exchange or other
disposition of Contributed Property or Adjusted Property, to the extent such
item of gain or loss is not allocated pursuant to Section 2.B(1)(i) or
Section 2.B(2)(i) of Exhibit C to eliminate Book-Tax
Disparities.

 

16

 

“Restricted Properties” shall mean the Group A
Restricted Properties, the Group B Restricted Properties and the Group C
Restricted Properties; provided, however, that in the event any
of the Restricted Properties are transferred to a party other than a
wholly-owned Subsidiary of the Partnership in compliance with Section 7.12.B
hereof, such Restricted Property shall cease to be both a Restricted Property
and a Group A Restricted Property, Group B Restricted Property or Group C
Restricted Property, as applicable.

 

“Rights” has the meaning set forth in the
definition of “REIT Shares Amount.”

 

“Rochester Decrease Amount” means an amount, if
any, by which the equity value of the Rochester Properties shall have decreased
as measured by the calculation below between the Effective Date and the
consummation of the Participating Election Right or the Specified Call Date, as
applicable.  The Rochester Decrease
Amount is intended to reflect the increase in indebtedness attributable to the
Rochester Properties, net of extraordinary capital expenditures, leasing
commissions and tenant allowances, and shall be determined through the
following calculation, provided that the result of the following calculation
may not be less than zero (in which case there shall be a Rochester Increase
Amount and not a Rochester Decrease Amount):

 

(i)            The
excess of (x) the Rochester Indebtedness as of the Participating Redemption
Date or Specified Call Date, as applicable, over (y) the Rochester
Indebtedness as of the Effective Date, excluding for all purposes the amount of
any Net Owed Amount Financing;

 

minus

 

(ii)           any
extraordinary capital expenditures made by the Partnership or its Affiliates
with respect to significant improvements at the Rochester Properties or a pro
rata share of such expenditures with respect to any such property that is not
wholly-owned (excluding, without limitation, expenditures relating to the
maintenance and operation of the Rochester Properties in the ordinary course of
business or the repair or restoration of any partial destruction, casualty or
other loss with respect to a Rochester Property in accordance with Section 8.7.C.
hereof), which expenditures have been approved and agreed to by the General
Partner and the Participating LP Representative;

 

minus

 

(iii)          an
amount equal to the unamortized amount of any reasonable and customary leasing
commissions paid by the owners of the Rochester Properties or a pro rata share
with respect to any such property that is not wholly-owned to any leasing or
property management agent after the Effective Date, with “unamortized amount”
meaning the pro rata unamortized balance of such commissions where the term of
the lease or the lease renewal for which a commission was paid will remain in
effect after the Participating Election Date or the Specified Call Date, as
applicable, assuming a straight-line amortization of the amount of the
commission over such term of the lease or lease renewal;

 

17

 

minus

 

(iv)          an
amount equal to the unamortized portion of all tenant cash allowances paid by
the owners of the Rochester Properties (or a pro rata share with respect to any
such property that is not wholly-owned) to tenants therein in respect of leases
executed or renewed after the Effective Date and prior to the Participating
Election Date or the Specified Call Date, as applicable, and assuming that all
such allowances are amortized over the term of the lease on a straight-line
basis, but only to the extent, in the case of each of Eastview Mall and Greece
Ridge Center, that such allowances exceed $1,500,000.

 

“Rochester Increase Amount” means the amount,
if any, by which the equity value of the Rochester Properties shall have
increased as measured by the calculation below between the Effective Date and
the consummation of the Participating Election Right or the Specified Call
Date, as applicable.  The Rochester
Increase Amount is intended to reflect the decrease in indebtedness attributable
to the Rochester Properties and the total amount of extraordinary capital
expenditures, leasing commissions and tenant allowances, and shall be
determined through the following calculation, provided that the result of the
following calculation may not be less than zero (in which case there shall be a
Rochester Decrease Amount and not a Rochester Increase Amount):

 

(i)            The
excess, if any, of (x) the Rochester Indebtedness as of the Effective Date, over
(y) the Rochester Indebtedness as of the Participating Redemption Date or
Specified Call Date, as applicable, excluding for all purposes the amount of
any Net Owed Amount Financing;

 

plus

 

(ii)           any
extraordinary capital expenditures made by the Partnership or its Affiliates
with respect to significant improvements at the Rochester Properties or a pro
rata share of such expenditures with respect to any such property that is not
wholly-owned (excluding, without limitation, expenditures relating to the
maintenance and operation of the Rochester Properties in the ordinary course of
business or the repair or restoration of any partial destruction, casualty or
other loss with respect to a Rochester Property in accordance with Section 8.7.C.
hereof), which expenditures have been approved and agreed to by the General Partner
and the Participating LP Representative;

 

plus

 

(iii)          an
amount equal to the unamortized amount of reasonable and customary leasing
commissions paid by the owners of the Rochester Properties or a pro rata share
with respect to any such property that is not wholly-owned to any leasing or
property management agent after the Effective Time, with “unamortized amount”
meaning the pro rata unamortized balance of such commissions where the term of
the lease or the lease renewal for which a commission was paid will remain in
effect after the Participating Election Date or

 

18

 

the Specified Call Date, as applicable, assuming a
straight-line amortization of the amount of the commission over such term of
the lease or lease renewal;

 

plus

 

(iv)          an
amount equal to the unamortized portion of all tenant cash allowances paid by
the owners of the Rochester Properties (or a pro rata share with respect to any
such property that is not wholly-owned) to tenants therein in respect of leases
executed or renewed after the Effective Date and prior to the Participating
Election Date or the Specified Call Date, as applicable, and assuming that all
such allowances are amortized over the term of the lease on a straight-line
basis, but only to the extent, in the case of each of Eastview Mall and Greece
Ridge Center, that such allowances exceed $1,500,000.

 

“Rochester Indebtedness” means the aggregate
outstanding secured and unsecured Indebtedness of Rochester Malls, LLC, and its
subsidiaries, or its pro rata share thereof in the case of subsidiaries that
are not wholly-owned.

 

“Rochester Interests” has the meaning set forth
in Section 8.7.A hereof.

 

 “Rochester
Properties” or “Rochester Portfolio” means the Eastview Mall,
Eastview Commons, Greece Ridge Center, Marketplace Mall and Pittsford Plaza.

 

“Rochester Malls, LLC” means, for the purposes
of this Agreement, the limited liability company to be formed for the purpose
of holding, directly or indirectly, the Rochester Properties.

 

“704(c) Value” of any Contributed Property
means the fair market value of such property or other consideration at the time
of contribution, as determined by the General Partner using such reasonable
method of valuation as it may adopt. 
Subject to Exhibit B hereof, the General Partner shall, in
its sole and absolute discretion, use such method as it deems reasonable and
appropriate to allocate the aggregate of the 704(c) Values of Contributed
Properties in a single or integrated transaction among the separate properties
on a basis proportional to their respective fair market values.

 

“Second Amendment” has the meaning set forth in
the recitals hereof.

 

“Second Put Window”
has the meaning set forth in Section 8.10.B.(2).

 

 “Specified
Call Date” has the meaning set forth in Section 8.8.A hereof.

 

“Specified Redemption Date” means the fifteenth
(15th) Business Day after receipt by the Partnership (with a copy to Parent) of
a Notice of Redemption; provided that if Parent combines its outstanding REIT
Shares, no Specified Redemption Date shall occur after the record date of such
combination of REIT Shares and prior to the effective date of such combination;
provided, further, that such date in no event shall be prior to April 25,
2006.

 

“Straddle Period Returns” has the meaning set
forth in Section 10.1 hereof.

 

19

 

“Subordinated Amounts” means any and all
payments of the Partnership that are attributable to (i) any payment of
principal or interest with respect to any Indebtedness owing by the Partnership
to the General Partner, Parent or any of their respective Subsidiaries or
Affiliates or any Parent Transferee; (ii) any payments by the Partnership
to the General Partner, Parent or any of their respective Subsidiaries or Affiliates
or any Parent Transferee with respect to any reimbursement of expenses incurred
by the General Partner, Parent or any of their respective Subsidiaries or
Affiliates or any Parent Transferee; (iii) any compensation paid by the
Partnership to the General Partner, Parent or any of their respective
Subsidiaries or Affiliates or any Parent Transferee for services rendered and (iv) any
other amounts owed to or being paid to the General Partner or any of its
respective Subsidiaries or Affiliates or any Parent Transferee.

 

“Subsidiary” means, with respect to any Person,
any corporation, partnership or other entity of which a majority of (i) the
voting power of the voting equity securities or (ii) the outstanding
equity interests is owned, directly or indirectly, by such Person.

 

“Substituted Limited Partner” means a Person
who is admitted as a Limited Partner to the Partnership pursuant to Section 11.4
hereof.

 

“Tax Arbitrator” has the meaning set forth in Section 10.13.D
hereof.

 

“Tax-Deferred Exchange” has the meaning set
forth in Section 10.8.A hereof.

 

“Tax Proceeding” has the meaning set forth in Section 10.3.D
hereof.

 

“Terminating Capital Transaction” means any
sale or other disposition of all or substantially all of the assets of the
Partnership or a related series of transactions that, taken together, result in
the sale or other disposition of all or substantially all of the assets of the
Partnership, other than a transaction in which gain or loss is not recognized
by the Partnership for federal income tax purposes.

 

“Tier 1 Protected Assets” has the meaning set
forth in Section 10.7 hereof.

 

“Tier 2 Protected Assets” has the meaning set
forth in Section 10.7 hereof.

 

“Tier 1 Protection Period” has the meaning set
forth in Section 10.8.A hereof.

 

“Tier 2 Protection Period” has the meaning set
forth in Section 10.8.A hereof.

 

“Total Put Exercise” has the meaning set forth
in Section 8.6.C hereof.

 

“Unconsolidated Subsidiaries” means, with
respect to a Person, those Subsidiaries of such Person that are not
consolidated for GAAP purposes.

 

“Unrealized Gain” attributable to any item of
Partnership Property means, as of any date of determination, the excess, if
any, of (i) the fair market value of such Property (as determined under Exhibit B
hereof) as of such date over (ii) the Carrying Value of such Property
(prior to any adjustment to be made pursuant to Exhibit B hereof)
as of such date.

 

20

 

“Unrealized Loss” attributable to any item of
Partnership Property means, as of any date of determination, the excess, if
any, of (i) the Carrying Value of such Property (prior to any adjustment
to be made pursuant to Exhibit B hereof) as of such date over (ii) the
fair market value of such Property (as determined under Exhibit B
hereof) as of such date.

 

“Valuation Date” means the date of receipt by
the Partnership of a Notice of Redemption or, if such date is not a Business
Day, the first Business Day thereafter.

 

“Value” means, with respect to a REIT Share,
the average of the daily market price for the ten (10) consecutive trading
days ending on and including the Valuation Date.  The market price for each such trading day
shall be: (i) if the REIT Shares are listed or admitted to trading on any
national securities exchange or the NASDAQ National Market System, the closing
price on such day as reported by such national securities exchange or the
NASDAQ National Market System, or if no such sale takes place on such day, the
average of the closing bid and asked prices on such day; (ii) if the REIT
Shares are not listed or admitted to trading on any national securities
exchange or the NASDAQ National Market System, the last reported sale price on
such day or, if no sale takes place on such day, the average of the closing bid
and asked prices on such day, as reported by a reliable quotation source
designated by the General Partner; (iii) if the REIT Shares are not listed
or admitted to trading on any national securities exchange or the NASDAQ
National Market System and no such last reported sale price or closing bid and
asked prices are available, the average of the reported high bid and low asked
prices on such day, as reported by a reliable quotation source designated by
the General Partner, or if there shall be no bid and asked prices on such day,
the average of the high bid and low asked prices, as so reported, on the most
recent day (not more than ten (10) days prior to the date in question) for
which prices have been so reported; or (iv) if none of the conditions set
forth in clauses (i), (ii), or (iii) is met then, unless the holder of the
Partnership Units being redeemed and the General Partner otherwise agree, with
respect to a REIT Share per Common Unit offered for redemption, the amount that
a holder of one Common Unit would receive if each of the assets of the
Partnership were sold for its fair market value on the Specified Redemption
Date, the Partnership were to pay all of its outstanding liabilities, and the
remaining proceeds were to be distributed to the Partners in accordance with
the terms of this Agreement.  Such Value
shall be determined by the General Partner, acting in good faith and based upon
a commercially reasonable estimate of the amount that would be realized by the
Partnership if each asset of the Partnership (and each asset of each
partnership, limited liability company, trust, joint venture or other entity in
which the Partnership owns a direct or indirect interest) were sold to an
unrelated purchaser in an arms’ length transaction where neither the purchaser
nor the seller were under any economic compulsion to enter into the transaction
(without regard to any discount in value as a result of the Partnership’s
minority interest in any property or any illiquidity of the Partnership’s
interest in any property).  In the event
the REIT Shares Amount includes Rights, then the Value of such Rights shall be
determined by the General Partner acting in good faith on the basis of such
quotations and other information as it considers, in its reasonable judgment, appropriate;
provided that the Value of any Rights issued pursuant to a “Shareholder Rights
Plan” shall be deemed to have no value unless a “triggering event” shall have
occurred (i.e., if the Rights issued pursuant thereto are no longer “attached”
to the REIT Shares and are able to trade independently).

 

“Wilmorite Limited Partners” has the meaning
set forth in Section 10.7 hereof.

 

21

 

“Zone Credit” means the refundable real
property tax credits originating from Qualified Empire Zone Entities pursuant
to Section 15 of the New York Tax Law, as amended.

 

ARTICLE II - ORGANIZATIONAL MATTERS

 

Section 2.1.  Formation and Continuation

 

The Partnership was formed as a limited partnership
organized pursuant to the provisions of the Act by filing the Certificate of
Limited Partnership with the Delaware Secretary of State on October 20,
1999.  Except as expressly provided
herein to the contrary, the rights and obligations of the Partners and the
administration and termination of the Partnership shall be governed by the
Act.  No Partner has any interest in any
Partnership property, and the Partnership Interest of each Partner shall be
personal property for all purposes.

 

Section 2.2.  Name

 

Prior to the Effective Date, the name of the
Partnership was “Wilmorite Holdings, L.P.” 
From and after the Effective Date, upon the effectiveness of the
Partnership Merger, the name of the Partnership shall be MACWH, LP.  Immediately following the Merger, an amendment
to the Partnership’s Certificate of Limited Partnership was filed to reflect
the change in the name of General Partner. 
In accordance with Section 17-211(c) of the Act, the
Certificate of Merger of Merger Sub, L.P. into the Partnership shall amend the
Certificate of Limited Partnership to reflect the name of the Partnership.  The Partnership’s business may be conducted
under any other name or names deemed advisable by the General Partner,
including the name of the General Partner or any Affiliate thereof.  The words “Limited Partnership,” “L.P.,” “Ltd.”
or similar words or letters shall be included in the Partnership’s name where
necessary for the purposes of complying with the laws of any jurisdiction that
so requires.  The General Partner in its
sole and absolute discretion may change the name of the Partnership at any time
and from time to time and shall notify the Limited Partners of such change in
the next regular communication to the Limited Partners.

 

Section 2.3.  Registered Office and Agent; Principal
Office

 

The address of the registered office of the
Partnership in the State of Delaware and the name and address of the registered
agent for service of process on the Partnership in the State of Delaware is The
Corporation Trust Company, Corporation Trust Center, 1209 Orange Street,
Wilmington, Delaware 19801.  The
principal business office of the Partnership shall be c/o The Macerich Company,
401 Wilshire Boulevard, Suite 700, Santa Monica, California 90401.  The General Partner may from time to time
designate in its sole and absolute discretion another registered agent or
another location for the registered office or principal place of business, and
shall provide the Limited Partners with notice of such change promptly
following its effective date.  The
Partnership may maintain offices at such other place or places within or
outside the State of Delaware as the General Partner deems advisable.

 

Section 2.4.  Power of Attorney

 

A.            Each
Limited Partner hereby constitutes and appoints the General Partner, any
Liquidator, and authorized officers and attorneys in fact of each, and each of
those acting 

 

22

 

singly, in each case with
full power of substitution, as its true and lawful agent and attorney in fact,
with full power and authority in its name, place and stead to:

 

(1)           execute,
swear to, acknowledge, deliver, file and record in the appropriate public
offices (i) all certificates, documents and other instruments (including,
without limitation, this Agreement and the Certificate of Limited Partnership
and all amendments or restatements thereof) that the General Partner or any
Liquidator deems appropriate or necessary to form, qualify or continue the
existence or qualification of the Partnership as a limited partnership (or a partnership
in which the Limited Partners have limited liability) in the State of Delaware
and in all other jurisdictions in which the Partnership may or plans to conduct
business or own property; (ii) all instruments that the General Partner
deems appropriate or necessary to reflect any amendment, change, modification
or restatement of this Agreement in accordance with its terms; (iii) all
conveyances and other instruments or documents that the General Partner or any
Liquidator deems appropriate or necessary to reflect the dissolution and
liquidation of the Partnership pursuant to the terms of this Agreement,
including, without limitation, a certificate of cancellation; (iv) all
instruments relating to the admission, withdrawal, removal or substitution of any
Partner pursuant to, or other events described in, Article XI, XII or XIII
hereof or the Capital Contribution of any Partner and (v) all
certificates, documents and other instruments relating to the determination of
the rights, preferences and privileges of Partnership Interests; and

 

(2)           execute,
swear to, seal, acknowledge and file all ballots, consents, approvals, waivers,
certificates and other instruments appropriate or necessary, in the sole and
absolute discretion of the General Partner or any Liquidator, to make,
evidence, give, confirm or ratify any vote, consent, approval, agreement or
other action which is made or given by the Partners hereunder or is consistent
with the terms of this Agreement or appropriate or necessary, in the sole
discretion of the General Partner or any Liquidator, to effectuate the terms or
intent of this Agreement.

 

Nothing
contained herein shall be construed as authorizing the General Partner or any
Liquidator to amend this Agreement except in accordance with Article XIV
hereof or as may be otherwise expressly provided for in this Agreement.  This power of attorney may be executed by
such agent and attorney-in-fact for all Limited Partners (or any of them) by a
single signature of the attorney-in-fact with or without listing all of the
Limited Partners executing an instrument.

 

B.            The
foregoing power of attorney is hereby declared to be irrevocable and a power
coupled with an interest, in recognition of the fact that each of the Partners
will be relying upon the power of the General Partner and any Liquidator to act
as contemplated by this Agreement in any filing or other action by it on behalf
of the Partnership, and, to the fullest extent permitted by law, it shall
survive and not be affected by the subsequent Incapacity of any Limited Partner
or the transfer of all or any portion of such Limited Partner’s Partnership
Units and shall extend to such Limited Partner’s heirs, successors, assigns and
personal representatives.  Each such
Limited Partner, to the fullest extent permitted by law, hereby agrees to be
bound by any representation made by the General Partner or any Liquidator,
acting in good faith pursuant to such power of attorney, and each such Limited
Partner, to the fullest extent permitted by law, hereby waives any and all
defenses which may be available to contest, negate 

 

23

 

or disaffirm the action
of the General Partner or any Liquidator, taken in good faith under such power
of attorney.  Each Limited Partner shall
execute and deliver to the General Partner or any Liquidator, within fifteen
(15) days after receipt of the General Partner’s or such Liquidator’s request
therefor, such further designation, powers of attorney and other instruments as
the General Partner or any Liquidator, as the case may be, deems necessary to
effectuate this Agreement and the purposes of the Partnership.

 

Section 2.5.  Term

 

The term of the Partnership commenced on October 20,
1999 and shall continue until December 31, 2099, unless the Partnership is
dissolved and terminated sooner pursuant to the provisions of Article XIII
hereof or as otherwise provided by law.

 

ARTICLE III
- PURPOSE

 

Section 3.1.  Purpose and Business

 

The purpose and nature of the business to be conducted
by the Partnership is (i) to conduct any business that may be lawfully
conducted by a limited partnership organized pursuant to the Act; provided,
however, that such business shall be limited to and conducted in such a
manner as to permit Parent at all times to be qualified as a REIT for federal
income tax purposes, unless and until Parent is not qualified or ceases to
qualify as a REIT for any reason or reasons other than the conduct of the
business of the Partnership; (ii) to enter into any partnership, joint
venture, limited liability company or other similar arrangement to engage in
any of the foregoing or to own interests in any entity engaged, directly or
indirectly, in any of the foregoing; and (iii) to do anything necessary or
incidental to the foregoing.  In connection
with the foregoing, and without limiting Parent’s right, in its sole
discretion, to cease qualifying as a REIT, the Partners acknowledge that Parent’s
status as a REIT inures to the benefit of all of the Partners and not solely
the General Partner or its Affiliates.

 

Section 3.2.  Powers

 

The Partnership is empowered to do any and all acts
and things necessary, appropriate, proper, advisable, incidental to or
convenient for the furtherance and accomplishment of the purposes and business
described herein and for the protection and benefit of the Partnership,
including, without limitation, full power and authority, directly or through
its ownership interest in other entities, to enter into, perform and carry out
contracts of any kind, borrow money and issue evidences of indebtedness whether
or not secured by mortgage, deed of trust, pledge or other lien, acquire, own,
manage, improve and develop real property, and lease, sell, transfer and
dispose of real property; provided, however, that (i) the
Partnership shall not have the authority to take any actions expressly
prohibited by this Agreement and (ii) the Partnership shall not take, or
omit to take, any action which, in the judgment of the General Partner, in its
sole and absolute discretion, (a) could adversely affect the ability of
Parent to achieve or maintain qualification as a REIT or (b) could violate
any law or regulation of any governmental body or agency having jurisdiction
over Parent or its securities, unless in each case any such action (or
inaction) under the foregoing clauses (a) or (b) shall have been
specifically consented to by Parent in writing. 
Notwithstanding the foregoing or any other provision of this 

 

24

 

Agreement, any provision of this Agreement that might jeopardize the
REIT status of Parent (or any of its Affiliates) shall be void and of no
effect, or reformed, as necessary, to avoid any loss of REIT status, provided,
however, that Parent has the right, in its sole discretion, to cease
qualifying as a REIT.

 

ARTICLE IV - CAPITAL CONTRIBUTIONS

 

Section 4.1.  Capital Contributions of the Partners

 

A.            Prior to
the Effective Date, the Partners have made Capital Contributions to the
Partnership as reflected on Exhibit A attached hereto and in
connection with the Partnership Merger, the Partners were offered the
opportunity to elect to exchange for cash any Partnership Interest then held or
to exchange such Partnership Interest for Partnership Interests designated
herein as “Common Units” or “Class A Preferred Units”, each with the
rights, powers, duties and other terms outlined in this Agreement.  On the Effective Date, upon the effectiveness
of the Partnership Merger, this Agreement became effective and replaced the
Second Amendment in its entirety.  In
connection with the amendments effected by this Agreement, among other things,
the Partnership amended the terms of the Common Units as reflected herein, and
designated herein the rights of Class A Preferred Units.  As of the Effective Date (after taking into
account the Merger, the Partnership Merger and any Capital Contributions or
redemptions relating thereto as well as the amendments to the terms of the
Common and Preferred Units), the (i) number and class of Partnership Units
held by each Partner, (ii) Capital Account balance of each Partner(1) and (iii) Percentage
Interest of each Partner are as set forth on Exhibit A, which
Percentage Interest may be adjusted on Exhibit A from time to time
by the General Partner to the extent necessary to reflect accurately
redemptions, additional Capital Contributions, the issuance of additional
Partnership Units (pursuant to any merger or otherwise), or similar events
having an effect on any Partner’s Percentage Interest.

 

B.            The
Partners listed on Exhibit A attached hereto have heretofore been
admitted as Partners, and upon the execution of this Agreement or a counterpart
of this Agreement, the Partners listed on Exhibit A attached hereto
shall continue as Partners.  The Common
Units and Class A Preferred Units issued pursuant to this Agreement and
the Partnership Merger Agreement are duly authorized and validly issued limited
partner interests in the Partnership.

 

C.            To the
extent the Partnership acquires any property (or an indirect interest therein)
by the merger of any other Person into the Partnership or with or into a
Subsidiary of the Partnership in a triangular merger, Persons who receive
Partnership Interests in exchange for their interests in the Person merging
into the Partnership or with or into a Subsidiary of the Partnership shall
become Partners and shall be deemed to have made Capital Contributions as
provided in the applicable merger agreement (or if not so provided, as
determined by the General Partner in its reasonable discretion) and as set
forth on Exhibit A, as amended to reflect such deemed Capital
Contributions.

 

D.            The
number of Common Units held by the General Partner equal to one percent (1%) of
all outstanding Common Units shall be deemed to be the “General Partner 

 

(1)           The Capital Account
balances will reflect a full book-up as of the Effective Date.

 

25

 

Partnership Units”
and shall be the General Partner Interest. 
All other Partnership Units held by the General Partner shall be deemed
to be Limited Partner Interests and shall be held by the General Partner in its
capacity as a Limited Partner in the Partnership.

 

E.             Except
as provided in Sections 4.2 and 10.5 hereof, the Partners shall have no
obligation to make any additional Capital Contributions or loans to the
Partnership.

 

Section 4.2.  Future Issuances of Additional Partnership
Interests

 

A.            The
General Partner is hereby authorized, in its sole and absolute discretion and
without the approval of the Limited Partners, to cause the Partnership from
time to time to issue to the Partners (including the General Partner and its
Affiliates) or other Persons (including, without limitation, in connection with
the contribution of cash and other property to the Partnership) additional
Partnership Units or other Partnership Interests in one or more classes, or in
one or more series of any of such classes, with such designations, preferences,
and relative, participating, optional, or other special rights, powers and
duties all as shall be determined by the General Partner in its sole and
absolute discretion subject to Delaware law, including, without limitation, (i) rights,
powers, and duties senior to one or more classes or series of Partnership
Interests and any other Partnership Units outstanding or thereafter issued; (ii) the
rights to an allocation of items of Partnership income, gain, loss, deduction,
and credit to each such class or series of Partnership Interests; (iii) the
rights of each such class or series of Partnership Interests to share in
Partnership distributions; and (iv) the rights of each such class or
series of Partnership Interests upon dissolution and liquidation of the
Partnership; provided that no such additional Partnership Units or other
Partnership Interests shall be issued to the General Partner or Parent or any
of their respective Subsidiaries or Affiliates, unless either (x) Parent, the
General Partner or any of their respective Subsidiaries or Affiliates, as
applicable, shall make a Capital Contribution to the Partnership in an amount
equal to the fair market value of such Partnership Units or other Partnership
Interest (as determined in good faith by the General Partner; provided, however,
that for purposes hereof the fair market value of a Common Unit of the same
class of Common Units of the Limited Partners shall be equal to (A) the
Value of that number of REIT Shares (or fraction thereof) comprising the REIT
Shares Amount attributable to a single Common Unit of such class as of the date
of issuance of such Common Unit or (B) with respect to issuances on the
Effective Date, the Partnership Cash Consideration (as defined in the Merger
Agreement), or (y) additional Partnership Units or other Partnership Interests
are issued to all Partners in proportion to their respective Percentage
Interests; and provided further that no such additional Partnership Units or
other Partnership Interests shall be issued to Parent, the General Partner or
any of their respective Subsidiaries or Affiliates or any Parent Transferee,
with rights to distributions during the operation or upon the liquidation of
the Partnership that are senior to the distributions of the Limited Partners
during the operation or upon the liquidation of Partnership or with rights to
Net Losses that would result in a change in the priority of allocation of Net
Losses pursuant to Section 6.1.B hereof in a manner that has an adverse
effect upon any of the Limited Partners, without the Consent of the Limited
Partners holding two-thirds-in-interest of the Common Units and the Class A
Preferred Units (on an as-converted basis), other than Partnership Units held
by the General Partner, Parent or any of their respective Subsidiaries or
Affiliates or any Parent Transferee, or such other percentage of the Limited
Partners as may be specifically provided for under a provision of this
Agreement.  Upon the issuance of
additional Partnership Interests in accordance with this Section 4.2.A and
the satisfaction of the

 

26

 

conditions set forth in Section 12.2
hereof, the holders of such additional Partnership Interests shall be admitted
to the Partnership as Additional Limited Partners.

 

B.                                     In
the event that the Partnership issues Partnership Interests pursuant to Section 4.2.A
hereof, the General Partner may make such revisions to this Agreement (without
any requirement of receiving approval of the Limited Partners), as it deems
necessary to reflect the issuance of such additional Partnership Interests and
the special rights, powers, and duties associated therewith.

 

Section 4.3.  Other Contribution Provisions

 

If any Partner is admitted to the Partnership and is
given a positive Capital Account balance in exchange for services rendered to
the Partnership, such transaction shall be treated by the Partnership as if the
Partnership had compensated such Partner in cash, and such Partner had
contributed such cash to the capital of the Partnership.

 

Section 4.4. 
No Preemptive Rights

 

Except to the extent expressly granted by the Partnership
pursuant to another agreement, no Person shall have any preemptive,
preferential or other similar right with respect to (i) Capital
Contributions or loans to the Partnership or (ii) the issuance or sale of
any Partnership Units or other Partnership Interests.

 

Section 4.5. 
No Interest on Capital

 

No Partner shall be entitled to interest on its
Capital Contributions or its Capital Account. 
Except as provided herein or by law, no Partner shall have any right to
withdraw any part of its Capital Account or to demand or receive the return of
its Capital Contributions.

 

ARTICLE V - DISTRIBUTIONS

 

Section 5.1.  Requirement and Characterization of
Distributions

 

Subject to Sections 5.3, 5.4 and 5.5 hereof, the
General Partner shall distribute to the Common and Preferred Unitholders who
are Partners as of the Partnership Record Date at least quarterly an amount
equal to one hundred percent (100%) of Available Cash generated by the
Partnership during the last full calendar quarter, or, if applicable, the relevant
shorter period (including, (1) the period from the day after Effective
Date to the end of the first calendar quarter ending after the Effective Date,
and (2) the period from the beginning of the calendar quarter in which
commencement of the dissolution and liquidation of the Partnership occurs
through the date of such commencement) on the Partnership Payment Date as
follows:

 

A.                                   first,
to the Class A Preferred Unitholders who are Partners on the Partnership
Record Date with respect to such distribution, pro rata among them in
proportion to the Cumulative Unpaid Class A Preferred Return Amount, if
any, of each such Class A Preferred Unitholder until the Cumulative Unpaid
Class A Preferred Return Amount of each Class A Preferred Unitholder
is reduced to zero;

 

27

 

B.                                     second,
to the Class A Preferred Unitholders who are Partners on the Partnership
Record Date with respect to such distribution, pro rata among them in
proportion to the Class A Preferred Return Amount, if any, of each such Class A
Preferred Unitholder, until each such Class A Preferred Unitholder has
received an amount equal to the Class A Preferred Return Amount with
respect to such distribution;

 

C.                                     third,
to the Common Unitholders (other than the General Partner, Parent or any of
their respective Subsidiaries or Affiliates or any Parent Transferee) who are
Partners on the Partnership Record Date with respect to such distribution, pro
rata among them in proportion to the Cumulative Unpaid Common Distribution
Amount, if any, of each such Common Unitholder until the Cumulative Unpaid
Common Distribution Amount of each such Common Unitholder is reduced to zero;

 

D.                                    fourth,
to the Common Unitholders (other than the General Partner, Parent or any of
their respective Subsidiaries or Affiliates or any Parent Transferee) who are
Partners on the Partnership Record Date with respect to such distribution, pro
rata among them in proportion to the Common Distribution Amount, if any, of
each such Common Unitholder, until each such Common Unitholder has received an
amount equal to the Common Distribution Amount with respect to such
distribution; and

 

E.                                      thereafter
and without limitation, one hundred percent (100%) to the General Partner,
Parent and their respective Subsidiaries and Affiliates or any Parent
Transferee (and any permitted transferee under Section 11.3 hereof) pro
rata in proportion to the Common Units held by the General Partner, Parent and
their respective Subsidiaries and Affiliates or any Parent Transferee (and any
permitted transferee under Section 11.3 hereof).

 

Notwithstanding the foregoing, in no event may a
Partner receive a distribution of Available Cash with respect to a Common Unit
or Class A Preferred Unit if and to the extent that such Common Unit or Class A
Preferred Unit has been redeemed or exchanged prior to the Partnership Record
Date for the same period.  In addition,
for the avoidance of doubt, no Partner shall receive a distribution with
respect to a Common Unit or a Class A Preferred Unit and a dividend with
respect to a REIT Share received upon redemption of such Common Unit or Class A
Preferred Unit for the same quarter.

 

Section 5.2. 
Amounts Withheld

 

All amounts withheld pursuant to the Code or any
provisions of any state or local tax law and Section 10.5 hereof with
respect to any allocation, payment or distribution to the Partners shall be
treated as amounts distributed to the Partners pursuant to Section 5.1
hereof for all purposes under this Agreement.

 

Section 5.3.  Distributions Upon Liquidation

 

Proceeds from a Terminating Capital Transaction and
any other cash received or reductions in reserves made after commencement of
the liquidation of the Partnership shall be distributed to the Partners in
accordance with Section 13.2 hereof.

 

28

 

Section 5.4. 
Subordinated Amounts

 

Notwithstanding any other provision of this Agreement
to the contrary, the Partnership shall not pay any Subordinated Amounts unless
and until the Cumulative Unpaid Common Distribution Amounts and the Common
Distribution Amounts of all of the holders of Common Units (other than the
General Partner, Parent and their respective Subsidiaries and Affiliates and
Parent Transferees) have been reduced to zero. 
Subordinated Amounts shall be paid prior to the payment of distributions
under Section 5.1.E.  In addition,
any payment of Subordinated Amounts shall be considered as a distribution of
Available Cash solely for purposes of the one hundred percent (100%)
distribution requirement of Section 5.1 hereof.

 

Section 5.5  Limitation on Distributions

 

Notwithstanding
anything to the contrary contained in this Agreement, the Partnership, and the
General Partner on behalf of the Partnership, shall not be required to make a
distribution to any Partner on account of its interest in the Partnership if
such distribution would violate the Act or other applicable law; provided,
however, that any amounts not paid as a result thereof shall continue to
accumulate as Cumulative Unpaid Class A Preferred Return Amount or
Cumulative Unpaid Common Distribution Amount, as applicable.

 

ARTICLE VI - ALLOCATIONS

 

Section 6.1.  Allocations For Capital Account Purposes

 

For purposes of maintaining the Capital Accounts and
in determining the rights of the Partners among themselves, the Partnership’s
items of income, gain, loss and deduction (computed in accordance with Exhibit B
hereof) shall be allocated among the Partners in each taxable year (or portion
thereof) as provided herein below.

 

A.                                   Net
Income. Net Income shall be allocated:

 

(1)                                  first,
to the General Partner to the extent that Net Losses previously allocated to
the General Partner pursuant to Section 6.1.B(3) hereof for all prior
taxable years exceed Net Income previously allocated to the General Partner
pursuant to this Section 6.1.A(1) for all prior taxable years;

 

(2)                                  second,
to Partners holding Class A Preferred Units to the extent that Net Losses
previously allocated to such Partners pursuant to Section 6.1.B(2) hereof
for all prior taxable years exceed Net Income previously allocated to such
Partners pursuant to this Section 6.1.A(2) for all prior taxable
years;

 

(3)                                  third,
to Partners holding Common Units to the extent that Net Losses previously
allocated to such Partners pursuant to Section 6.1.B(1) hereof for
all prior taxable years exceed Net Income previously allocated to such Partners
pursuant to this Section 6.1.A(3) for all prior taxable years;

 

29

 

(4)                                  fourth,
to Partners holding Class A Preferred Units, pro rata in proportion to the
number of Class A Preferred Units held by them, until each such Class A
Preferred Unit has been allocated Net Income equal to the excess of (x) the
cumulative amount of preferred distributions such Partners are entitled to
receive pursuant to Section 5.1 hereof as of the last day of the current
taxable year or to the date of redemption to the extent such Partnership
Interests are redeemed during such taxable year over (y) the cumulative Net
Income allocated to such Partners pursuant to this Section 6.1.A(4) for
all prior taxable years;

 

(5)                                  fifth,
to Partners holding Common Units pro rata in proportion to and up to the amount
of any distributions received by each such Partner pursuant to Section 5.1
hereof for the current taxable year or other taxable period (provided that for
purposes of this Section 6.1.A(5) the General Partner may include in
the calculation of distributions received by a Partner during any taxable year
or other taxable period of the Partnership any distributions received by the
Partner on or before the thirtieth (30th) day following the end of the
particular taxable year or other period of the Partnership, provided further
that, if the General Partner elects to include the distribution in any such
calculation, any such distribution shall be disregarded for purposes of
determining allocations of income in the year in which it is actually made);
and

 

(6)                                  sixth,
the remaining Net Income of the Partnership shall be allocated one hundred
percent (100%) to the General Partner and its Subsidiaries and Affiliates (and
any Parent Transferee or permitted transferee under Section 11.3 hereof)
pro rata in proportion to the Common Units held by the General Partner and its
respective Subsidiaries and Affiliates (and any Parent Transferee or permitted
transferee under Section 11.3 hereof).

 

B.                                     Net
Losses. After giving effect to the special allocations set forth in Section 1
of Exhibit C attached hereto, Net Losses shall be allocated:

 

(1)                                  first,
with respect to Common Units, pro rata in proportion to each Partner’s
respective Adjusted Capital Account as of the last day of the period for which
such allocation is being made until the Adjusted Capital Account (ignoring for
this purpose any amounts a Partner is obligated to contribute to the capital of
the Partnership or is deemed obligated to contribute pursuant to Regulations Section 1.704-1(b)(2)(ii)(c)(2))
of each Partner with respect to such Common Units is reduced to zero;

 

(2)                                  second,
to the Partners holding Preferred Units in accordance with the rights of such
class of Preferred Units (and, if there is more than one class of such
Preferred Units, then in the reverse order of their preferences in
distributions), until the Adjusted Capital Account (modified in the same manner
as in the parenthetical in the immediately preceding clause (1)) of each such
Partner with respect to such Preferred Units is reduced to zero; and

 

(3)                                  third,
to the General Partner.

 

30

 

C.                                     For
purposes of Regulations Section 1.752-3(a), the Partners agree that
Nonrecourse Liabilities of the Partnership in excess of the sum of (i) the
amount of Partnership Minimum Gain; and (ii) the total amount of
Nonrecourse Built-in Gain shall be allocated among the Partners (A) first,
to each Partner pro rata in proportion to and up to the amount of built-in gain
that is allocable to such Partner with respect to Section 704(c) property
(as defined under Regulations Section 1.704-3(a)(3)(ii)) or property for
which reverse 704(c) allocations are applicable (as described in
Regulations Section 1.704-3(a)(6)(i)) to the extent permitted by
Regulations Section 1.752-3(a)(3) (as initially set forth on Schedule 10.9);
and (B) thereafter, to the Partners in accordance with each Partner’s
share of partnership profits as determined by the General Partner in a manner
consistent with Regulations Section 1.752-3(a)(3).

 

D.                                    Any
gain allocated to the Partners upon the sale or other taxable disposition of any
Partnership asset shall, to the extent possible, after taking into account
other required allocations of gain pursuant to Exhibit C, be
characterized as Recapture Income in the same proportions and to the same
extent as such Partners have been allocated any deductions directly or
indirectly giving rise to the treatment of such gains as Recapture Income.

 

E.                                      Notwithstanding
anything to the contrary in this Agreement, upon any conversion of Class A
Preferred Units pursuant to Section 8.6.C or Section 8.9 hereof or
otherwise, items of income, gain, loss and deduction resulting from the
revaluation of the Partnership assets pursuant to Section 1.D of Exhibit B
hereto otherwise allocable to the converting Limited Partner and the General
Partner and its Subsidiaries and Affiliates or any Parent Transferee shall be
specially allocated to the holder of the Class A Preferred Units and the
General Partner and its Subsidiaries and Affiliates until so much of the
Capital Account of such holder represented by the Class A Preferred Units
being converted by such holder equals the aggregate Capital Accounts of holders
of Common Units other than the General Partner and its Subsidiaries and
Affiliates or any Parent Transferee (after giving effect to any allocation of
income, gain, loss and deduction to such holders as a result of the applicable
revaluation) divided by the number of Common Units outstanding and owned by
such holders of Common Units not owned by the General Partner and its
Subsidiaries and Affiliates or any Parent Transferee immediately prior to the
conversion.

 

Section 6.2.  Substantial Economic Effect

 

It is the intent of the Partners that the allocations
of Net Income and Net Losses under this Agreement have substantial economic
effect (or be consistent with the Partners’ interests in the Partnership in the
case of the allocation of losses attributable to nonrecourse debt) within the
meaning of Section 704(b) of the Code as interpreted by the
Regulations promulgated pursuant thereto. 
This Article VI and other relevant provisions of this Agreement
shall be interpreted in a manner consistent with such intent.

 

ARTICLE VII
- MANAGEMENT AND OPERATIONS OF BUSINESS

 

Section 7.1. 
Management

 

A.                                   Except
as otherwise expressly provided in this Agreement, all management powers over
the business and affairs of the Partnership are and shall be exclusively

 

31

 

vested in the General
Partner, and no Limited Partner shall have any right to participate in or
exercise control or management power over the business and affairs of the
Partnership.  Notwithstanding anything to
the contrary in this Agreement, the General Partner may not be removed by the
Limited Partners with or without cause. 
In addition to the powers now or hereafter granted a general partner of
a limited partnership under applicable law or which are granted to the General
Partner under any other provision of this Agreement, the General Partner,
subject to Sections 7.1.B, 7.3, 7.12, 8.7, 8.8, Article X and Section 11.2
hereof, shall have full power and authority to do all things deemed necessary
or desirable by it to conduct the business of the Partnership, to exercise all
powers set forth in Section 3.2 hereof and to effectuate the purposes set
forth in Section 3.1 hereof (subject to the proviso in Section 3.2
hereof), including, without limitation:

 

(1)                                  the
making of any expenditures, the lending or borrowing of money, the assumption
or guaranty of, or other contracting for, indebtedness and other liabilities,
the issuance of evidence of indebtedness (including the securing of the same by
deed, mortgage, deed of trust or other lien or encumbrance on the Partnership’s
assets) and the incurring of any other obligations it deems necessary for the
conduct of the activities of the Partnership;

 

(2)                                  the
making of tax, regulatory and other filings, or rendering of periodic or other
reports to governmental or other agencies having jurisdiction over the business
or assets of the Partnership, the registration of any class of securities of
the Partnership under the Securities Exchange Act of 1934, as amended, and the
listing of any debt securities of the Partnership on any exchange;

 

(3)                                  the
acquisition, disposition, mortgage, pledge, encumbrance, hypothecation or
exchange of any or all of the assets of the Partnership (including the exercise
or grant of any conversion, option, privilege, or subscription right or other
right available in connection with any assets at any time held by the
Partnership) or the merger or other combination of the Partnership with or into
another entity on such terms as the General Partner deems proper (all of the
foregoing subject to prior approval as provided elsewhere in this Agreement);

 

(4)                                  the
use of the assets of the Partnership (including, without limitation, cash on
hand) for any purpose consistent with the terms of this Agreement and on any
terms the General Partner, in good faith, deems proper, including, without
limitation, the financing of the conduct of the operations of the General
Partner, Partnership or any Subsidiary of the Partnership, the lending of funds
to other Persons (including, without limitation, any Subsidiary of the
Partnership) and the repayment of obligations of the Partnership and its
Subsidiaries and any other Person in which it has an equity investment, and the
making of capital contributions to any of its Subsidiaries, the holding of any
real, personal and mixed property of the Partnership in the name of the
Partnership or in the name of a nominee or trustee (subject to Section 7.10
hereof), the creation, by grant or otherwise, of easements or servitudes, and
the performance of any and all acts necessary or appropriate to the operation
of the Partnership assets including, but not limited to, applications for
rezoning, objections to rezoning, constructing,

 

32

 

altering,
improving, repairing, renovating, rehabilitating, razing, demolishing or
condemning any improvements or property of the Partnership;

 

(5)                                  the
management, operation, leasing, landscaping, repair, alteration, demolition or
improvement of any real property or improvements owned by the Partnership or
any Subsidiary of the Partnership or any Person in which the Partnership has
made a direct or indirect equity investment;

 

(6)                                  the
negotiation, execution, and performance of any contracts, conveyances or other
instruments (including with Affiliates of the Partnership to the extent
permitted by this Agreement) that the General Partner considers useful or
necessary to the conduct of the Partnership’s operations or the implementation
of the General Partner’s powers under this Agreement, including contracting
with contractors, developers, consultants, accountants, legal counsel, other
professional advisors and other agents and the payment of their expenses and
compensation out of the Partnership’s assets;

 

(7)                                  the
distribution of Partnership cash or other Partnership assets in accordance with
this Agreement;

 

(8)                                  the
holding, managing, investing and reinvesting of cash and other assets of the
Partnership;

 

(9)                                  the
collection and receipt of revenues and income of the Partnership;

 

(10)                            the
establishment of one or more divisions of the Partnership, the selection and
dismissal of employees of the Partnership (including, without limitation,
employees having titles such as “president,” “vice president,” “secretary” and “treasurer”
of the Partnership), and agents, outside attorneys, accountants, consultants
and contractors of the Partnership, and the determination of their compensation
and other terms of employment or hiring, including waivers of conflicts of
interest and the payment of their expenses and compensation out of the
Partnership’s assets;

 

(11)                            the
maintenance of such insurance for the benefit of the Partnership, the Partners and
directors and officers thereof as it deems necessary or appropriate in good
faith;

 

(12)                            the
formation of, or acquisition of an interest in, and the contribution of
property to, any other corporations, limited or general partnerships, joint
ventures or other entities or relationships that it, in good faith, deems
desirable (including, without limitation, the acquisition of interests in, and
the contributions of property to, its Subsidiaries and any other Person in
which it has an equity investment from time to time), provided that, as long as
Parent has determined to continue to qualify as a REIT, the Partnership may not
engage in any such formation, acquisition or contribution that would cause
Parent to fail to qualify as a REIT;

 

33

 

(13)                            the
control of any matters affecting the rights and obligations of the Partnership,
including the settlement, compromise, submission to arbitration or any other
form of dispute resolution, or abandonment of, any claim, cause of action,
liability, debt or damages, due or owing to or from the Partnership, the
commencement or defense of suits, legal proceedings, administrative
proceedings, arbitration or other forms of dispute resolution, and the
representation of the Partnership in all suits or legal proceedings,
administrative proceedings, arbitrations or other forms of dispute resolution,
the incurring of legal expenses, and the indemnification of any Person against
liabilities and contingencies to the extent permitted by law;

 

(14)                            the
undertaking of any action in connection with the Partnership’s direct or
indirect investment in its Subsidiaries or any other Person (including, without
limitation, the contribution or loan of funds by the Partnership to such
Persons, incurring indebtedness on behalf of, or guarantying the obligations
of, any such Persons);

 

(15)                            the
determination of the fair market value of any Partnership Property distributed
in kind using such reasonable method of valuation as the General Partner may
adopt in good faith (excluding distributions pursuant to Section 8.7 or
8.8 hereof);

 

(16)                            the
exercise, directly or indirectly, through any attorney in fact acting under a
general or limited power of attorney, of any right, including the right to
vote, appurtenant to any asset or investment held by the Partnership;

 

(17)                            the
exercise of any of the powers of the General Partner enumerated in this
Agreement on behalf of or in connection with any Subsidiary of the Partnership
or any other Person in which the Partnership has a direct or indirect interest,
or jointly with any such Subsidiary or other Person;

 

(18)                            the
exercise of any of the powers of the General Partner enumerated in this
Agreement on behalf of any Person in which the Partnership does not have an
interest pursuant to contractual or other arrangements with such Person;

 

(19)                            the
making, execution and delivery of any and all deeds, leases, notes, mortgages,
deeds of trust, security agreements, conveyances, contracts, guarantees,
warranties, indemnities, waivers, releases or legal instruments or agreements
in writing necessary or appropriate, in the good faith judgment of the General
Partner, for the accomplishment of any of the powers of the General Partner
enumerated in this Agreement;

 

(20)                            the
maintenance of the Partnership’s books and records;

 

(21)                            the
issuance of additional Partnership Units, as appropriate, in connection with
Capital Contributions by Additional Limited Partners and additional Capital
Contributions by Partners pursuant to Article IV hereof;

 

(22)                            the
distribution of cash to acquire Partnership Units held by a Limited Partner in
connection with a Limited Partner’s exercise of its Redemption Right

 

34

 

under Section 8.6
hereof, and the in-kind distribution of the Rochester Interests in connection
with the transactions contemplated in Section 8.7 or 8.8 hereof;

 

(23)                            to do
any and all acts and things necessary or prudent to ensure that the Partnership
will not be classified as a “publicly traded partnership” for purposes of Section 7704
of the Code, including but not limited to imposing restrictions on transfers
and restrictions on redemptions (other than redemptions contemplated by this
Agreement); and

 

(24)                            to
take such other action, execute, acknowledge, swear to or deliver such other
documents and instruments, and perform any and all other acts that the General
Partner deems necessary or appropriate for the formation, continuation and
conduct of the business and affairs of the Partnership (including, without
limitation, all actions consistent with allowing Parent at all times to qualify
as a REIT unless Parent voluntarily terminates its REIT status) and to possess
and enjoy all the rights and powers of a general partner as provided by the Act.

 

B.                                     Management
Limitations on the Rochester Properties

 

(1)                                  Notwithstanding
anything in this Agreement to the contrary, until the earlier of (a) August 31,
2010, and (b) the waiver by the Partnership or termination pursuant to Section 8.8.E
hereof of the Partnership Call Right, none of Parent, the General Partner or
any of their respective Subsidiaries or Affiliates shall, without the Consent
of the Participating LP Representative, take any of the following actions:

 

(i)                                     except
pursuant to credit facilities in existence as of the date hereof, incur or
refinance any amount of indebtedness for borrowed money secured by the
Rochester Properties, guarantee any indebtedness secured by the Rochester
Properties, mortgage, pledge or otherwise encumber any assets of, or create or
suffer any material lien upon, any of the Rochester Properties in excess of
105% of the current amount of indebtedness on such property, or pursuant to
terms that would change floating rate indebtedness into fixed rate
indebtedness;

 

(ii)                                  enter
into, terminate, modify or supplement any tax increment financing related to
any of the Rochester Properties;

 

(iii)                               directly
or indirectly purchase, acquire or agree to acquire by any other manner, the
fee or leasehold interest of any anchor tenant maintained at any of the
Rochester Properties;

 

(iv)                              enter
into, terminate or modify in any material respect any agreement with a tenant
in connection with a new space that consists of square footage in excess of
35,000 square feet or in replacement of an existing space maintained by any of
the Rochester Properties;

 

(v)                                 enter
into, terminate or modify any (a) material contract with respect to the
Rochester Properties or in connection therewith requiring Rochester Malls, LLC
or the relevant property owner to pay amounts in excess of

 

35

 

$100,000 individually or
$1 million in the aggregate or that cannot be terminated without penalty upon
either (x) no more than 60 days notice or (y) prior to the expiration of the
Participating Election Right, or (b) easement agreement or similar
agreement affecting any Rochester Property; and

 

(vi)                              amend,
terminate or otherwise modify or agree to amend, terminate or modify, any
reciprocal easement agreement or supplemental agreement related to any
Rochester Property.

 

C.                                     Each
of the Limited Partners agrees that the General Partner is authorized to
execute, deliver and perform the above mentioned agreements and transactions on
behalf of the Partnership without any further act, approval or vote of the
Partners, the Act or any applicable law, rule or regulation, to the
fullest extent permitted under the Act or other applicable law, rule or
regulation.  The execution, delivery or
performance by the General Partner or the Partnership of any agreement
authorized or permitted under this Agreement shall not constitute a breach by
the General Partner of any duty that the General Partner may owe the
Partnership or the Limited Partners or any other Persons under this Agreement
or of any duty stated or implied by law or equity.

 

D.                                    At
all times from and after the date hereof, the General Partner may cause the
Partnership to establish and maintain at any and all times working capital
accounts and other cash or similar balances in such amounts as the General
Partner, in its reasonable discretion, deems appropriate and reasonable from
time to time, including upon liquidation of the Partnership under Article XIII
hereof.

 

E.                                      At
all times from and after the date hereof, the General Partner may cause the
Partnership to obtain and maintain (i) casualty, liability and other
insurance on the Properties of the Partnership, (ii) liability insurance
for the Indemnitees hereunder and (iii) such other insurance as the
General Partner, in its reasonable discretion, determines to be necessary.

 

F.                                      Except
as otherwise provided herein or expressly agreed to in a separate written
agreement between the General Partner and one or more Limited Partners, in
exercising its authority under this Agreement, the General Partner may, but
shall be under no obligation to, take into account the tax consequences to any
Partner of any action taken by it. 
Except as otherwise provided herein or expressly agreed to in a separate
written agreement between the General Partner and one or more Limited Partners,
or with respect to actions taken in bad faith, the General Partner and the
Partnership shall not have liability to a Limited Partner as a result of an
income tax liability incurred by such Limited Partner as a result of an action
(or inaction) by the General Partner pursuant to its authority under this
Agreement.

 

Section 7.2.  Certificate of Limited Partnership

 

The General Partner has previously filed the
Certificate of Limited Partnership with the Secretary of State of the State of
Delaware as required by the Act. 
Immediately following the Merger, the Certificate of Limited Partnership
was amended to reflect the change of the name of the General Partner.  The Certificate of Limited Partnership is
being further amended as of the Effective Date, pursuant to the amendment to
change the name of the Limited Partnership

 

36

 

contained in the
Certificate of Merger of Merger Sub, L.P. into the Partnership.  To the extent that such action is determined
by the General Partner to be reasonable and necessary or appropriate, the
General Partner shall file amendments to and restatements of the Certificate of
Limited Partnership and do all of the things necessary to maintain the
Partnership as a limited partnership (or a partnership in which the limited
partners have limited liability) under the laws of the State of Delaware and
each other state, or the District of Columbia, in which the Partnership may
elect to do business or own property. 
Subject to the terms of Section 8.5.A(4) hereof, the General
Partner shall not be required, before or after filing, to deliver or mail a
copy of the Certificate of Limited Partnership or any amendment thereto to any
Limited Partner.  The General Partner shall
use all reasonable efforts to cause to be filed such other certificates or
documents as may be reasonable and necessary or appropriate for the formation,
continuation, qualification and operation of a limited partnership (or a
partnership in which the limited partners have limited liability) in the State
of Delaware and any other state, or the District of Columbia, in which the
Partnership may elect to do business or own property.

 

Section 7.3.  Restrictions on General Partner Authority

 

A.                                   Except
as provided in this Agreement to the contrary, the General Partner may not take
any action in contravention of an express prohibition or limitation of this
Agreement without the Consent of Limited Partners holding a
majority-in-interest of the Common Units and the Class A Preferred Units
(on an as-converted basis), other than Partnership Units held by the General
Partner, Parent or any of their respective Subsidiaries or Affiliates, or any
Parent Transferee, or such other percentage of the Limited Partners as may be specifically
provided for under a provision of this Agreement.

 

B.                                     Prior
to June 1, 2011, and notwithstanding any other provision contained herein
to the contrary, to the fullest extent permitted by law, the General Partner
may not cause the Partnership to liquidate, dissolve or make an exchange offer
for any of the outstanding Partnership Interests, other than those held by the
General Partner, Parent or any of their respective Subsidiaries and Affiliates
or any Parent Transferee, or otherwise engage in a transaction that would
result in the repurchase or exchange of the Units other than as provided in Article VIII
hereof.  After June 1, 2011, except
as provided in Section 8.10, or in Article XIII hereof, the General
Partner may not cause the Partnership to liquidate, without the Consent of
Limited Partners holding two-thirds-in-interest of the Percentage Interests of
the Common Units and Class A Preferred Units (on an as-converted basis),
other than Partnership Units held by the General Partner, Parent, or any of
their respective Subsidiaries or Affiliates or any Parent Transferee.

 

C.                                     Except
as permitted in Section 11.2.E, the General Partner shall not transfer or
assign its General Partner Interest to any Person other than Parent, Parent LP
or a direct or indirect Subsidiary of Parent or Parent LP without the Consent
of Limited Partners holding a majority-in-interest of the Common Units and Class A
Preferred Units (on an as-converted basis), other than Partnership Units held
by the General Partner, Parent or any of their respective Subsidiaries or
Affiliates or any Parent Transferee, provided, however, that a
merger, consolidation or other business combination involving the General
Partner shall not constitute a “transfer” or “assignment” of its General Partner
Interest for purposes of this Section 7.3.C so long as the General Partner
complies with Section 11.2.B hereof.

 

37

 

D.                                    Except
as provided in Section 7.12.B, Section 8.7, Section 10.8 or Article XIII
hereof, the General Partner may not directly or indirectly, cause the
Partnership to sell, exchange, transfer or otherwise dispose of all or
substantially all of the Partnership’s assets in a single transaction or a
series of related transactions (including by way of merger (including a
triangular merger), consolidation or other combination with any other Persons
except (i) if such sale, exchange, transfer, merger or other transaction
is in connection with an Extraordinary Transaction permitted under Section 11.2.B
hereof or (ii) with the Consent of the Limited Partners holding a
majority-in-interest of the Common Units and Class A Preferred Units (on
an as-converted basis), other than Partnership Units held by the General
Partner, Parent or any of their respective Subsidiaries or Affiliates or any
Parent Transferee.

 

E.                                      The
General Partner shall not cause the Partnership to commence a voluntary
proceeding seeking liquidation, reorganization or other relief under any
bankruptcy, insolvency or other similar law or to consent to the filing of any
involuntary proceeding seeking liquidation, reorganization or other relief
under any bankruptcy, insolvency or other similar law, without the Consent of
Limited Partners holding two-thirds in interest of the Common Units and Class A
Preferred Units (on an as-converted basis), other than Partnership Units held
by the General Partner, Parent or any of their respective Subsidiaries or
Affiliates or any Parent Transferee.

 

Section 7.4.  Compensation of the General Partner

 

A.                                   The
General Partner and its Affiliates and their employees may perform services for
the Partnership, including without limitation, property management,
construction management, leasing, legal, accounting, sale and other services
with respect to the Partnership and its assets, and may compensate and
reimburse such Persons for such services determined on a fair market value
basis, provided that such compensation and reimbursement shall be considered
Subordinated Amounts.

 

B.                                     The
General Partner shall be reimbursed on a monthly basis, or such other basis as
it may determine in its sole and absolute discretion, for all out-of-pocket
expenses actually incurred and compensation paid to Persons who are not
Affiliates of the General Partner (and to Affiliates as provided in Section 7.4.A
above) relating to the ownership and operation of, or for the benefit of, the
Partnership.

 

Section 7.5.  Outside Activities of the General Partner

 

Nothing herein contained shall prevent or prohibit the
General Partner or any employee or other Affiliate of the General Partner from
entering into, engaging in or conducting any other activity or performing for a
fee any service including (without limiting the generality of the foregoing)
engaging in any business dealing with real property of any type or location;
acting as a director, officer or employee of any corporation, as a trustee of
any trust, as a general partner of any partnership, or as an administrative
official of any other business entity; or receiving compensation for services
to, or participating in profits derived from the investments of any such
corporation, trust, partnership or other entity, regardless of whether such
activities are competitive with the Partnership (subject to Section 8.7.D
hereof); provided in each case that such activity, service, acting, receipt of
compensation or participation in profits relates to or is in

 

38

 

connection with the
business of Parent and/or Parent LP. 
Nothing herein shall require the General Partner or any employee or
Affiliate thereof to offer any interest in such activities to the Partnership
or any Partner and the doctrine of “corporate opportunity” shall not apply to
such activities.  The General Partner and
any Affiliates of the General Partner may acquire Limited Partner Interests and
shall be entitled to exercise all rights of a Limited Partner relating to such
Limited Partner Interests except as otherwise expressly stated in this
Agreement.

 

Section 7.6.  Contracts with Affiliates

 

A.                                   Except
as provided elsewhere in this Agreement, the Partnership may lend or contribute
funds or other assets to any Affiliate or Subsidiary or other Persons in which
it has an investment and such Persons may borrow funds from the Partnership, on
terms and conditions established in the sole and absolute discretion of the
General Partner.  The foregoing authority
shall not create any right or benefit in favor of any Subsidiary or any other
Person.

 

B.                                     Except
as provided elsewhere in this Agreement, the Partnership may transfer assets to
joint ventures, other partnerships, corporations or other business entities in
which it is or thereby becomes a participant upon such terms and subject to
such conditions consistent with this Agreement and applicable law as the
General Partner, in its sole and absolute discretion, believes are advisable.

 

C.                                     Except
as expressly prohibited by this Agreement or expressly agreed to in a separate
written agreement, the General Partner or any of its Affiliates may sell,
transfer or convey any property to, or purchase any property from, the
Partnership, directly or indirectly, pursuant to transactions that are
determined by the General Partner in good faith to be fair and reasonable to
the Partnership and the Limited Partners.

 

D.                                    The
General Partner, in its sole and absolute discretion and without the approval
of the Limited Partners, may propose and adopt, on behalf of the Partnership,
employee benefit plans, stock option plans, and similar plans funded by the
Partnership for the benefit of employees of the Partnership, any Subsidiary of
the Partnership or any Affiliate of any of them in respect of services
performed, directly or indirectly, for the benefit of the Partnership, the
General Partner, or any Subsidiary of the Partnership.

 

E.                                      The
General Partner is expressly authorized to enter into, in the name and on
behalf of the Partnership, a right of first opportunity arrangement and other
conflict avoidance agreements with various Affiliates of the Partnership and
the General Partner, on such terms as the General Partner, in its sole and
absolute discretion, believes are advisable.

 

Section 7.7. 
Indemnification

 

A.                                   To
the fullest extent permitted by Delaware law, the Partnership shall indemnify
each Indemnitee from and against any and all losses, claims, damages,
liabilities, joint or several, expenses (including, without limitation,
attorneys fees and other legal fees and expenses), judgments, fines,
settlements, and other amounts arising from any and all claims, demands, actions,
suits or proceedings, civil, criminal, administrative or investigative, whether
or not by or in the right of the Partnership that relate to the operations of
the Partnership as set forth

 

39

 

in this Agreement, in
which such Indemnitee may be involved, or is threatened to be involved, as a
party or otherwise, unless it has been determined in a judicial proceeding
that: (i) the act or omission of the Indemnitee was material to the matter
giving rise to the proceeding and either was committed in bad faith or was the
result of active and deliberate dishonesty; (ii) the Indemnitee actually
received an improper and unpermitted personal benefit in money, property or
services; or (iii) in the case of any criminal proceeding, the Indemnitee
had reasonable cause to believe that the act or omission was unlawful.  Without limitation, the foregoing indemnity
shall extend to any liability of any Indemnitee, pursuant to a loan guaranty
(except a guaranty by a Limited Partner of nonrecourse indebtedness of the
Partnership or as otherwise provided in any such loan guaranty) or otherwise
for any indebtedness of the Partnership or any Subsidiary of the Partnership
(including without limitation, any indebtedness which the Partnership or any
Subsidiary of the Partnership has assumed or taken subject to), and the General
Partner is hereby authorized and empowered, on behalf of the Partnership, to
enter into one or more indemnity agreements consistent with the provisions of
this Section 7.7 in favor of any Indemnitee having or potentially having
liability for any such indebtedness.  The
termination of any proceeding by judgment, order or settlement does not create
a presumption that the Indemnitee did not meet the requisite standard of
conduct set forth in this Section 7.7.A. 
The termination of any proceeding by conviction of an Indemnitee or upon
a plea of nolo contendere or its equivalent by an
Indemnitee, or an entry of an order of probation against an Indemnitee prior to
judgment, creates a rebuttable presumption that such Indemnitee acted in a
manner contrary to that specified in this Section 7.7.A.  Any indemnification pursuant to this Section 7.7
shall be made only out of the assets of the Partnership, and neither the
General Partner nor any Limited Partner shall have any obligation to contribute
to the capital of the Partnership, or otherwise provide funds, to enable the
Partnership to fund its obligations under this Section 7.7.

 

B.                                     Reasonable
expenses incurred by an Indemnitee or expected to be incurred by an Indemnitee
shall be paid or reimbursed by the Partnership in advance of the final
disposition of any and all claims, demands, actions, suits or proceedings,
civil, criminal, administrative or investigative made or threatened against an
Indemnitee upon receipt by the Partnership of (i) a written affirmation by
the Indemnitee of the Indemnitee’s good faith belief that the standard of
conduct necessary for indemnification by the Partnership as authorized in Section 7.7.A
hereof has been met and (ii) a written undertaking by or on behalf of the
Indemnitee to repay the amount if it shall ultimately be determined that the
standard of conduct has not been met.

 

C.                                     The
indemnification provided by this Section 7.7 shall be in addition to any
other rights to which an Indemnitee or any other Person may be entitled under
any agreement, pursuant to any vote of the Partners, as a matter of law or
otherwise, and shall continue as to an Indemnitee who has ceased to serve in
such capacity unless otherwise provided in a written agreement pursuant to
which such Indemnitee is indemnified.

 

D.                                    The
Partnership may, but shall not be obligated to, purchase and maintain
insurance, on behalf of the Indemnitees and such other Persons as the General
Partner shall determine, against any liability that may be asserted against or
expenses that may be incurred by such Person in connection with the Partnership’s
activities, regardless of whether the Partnership would have the power to
indemnify such Person against such liability under the provisions of this
Agreement.

 

40

 

E.                                      For
purposes of this Section 7.7, the Partnership shall be deemed to have
requested an Indemnitee to serve as fiduciary of an employee benefit plan
whenever the performance by it of its duties to the Partnership also imposes
duties on, or otherwise involves services by, it to the plan or participants or
beneficiaries of the plan; excise taxes assessed on an Indemnitee with respect
to an employee benefit plan pursuant to applicable law shall constitute fines
within the meaning of this Section 7.7; and actions taken or omitted by
the Indemnitee with respect to an employee benefit plan in the performance of
its duties for a purpose reasonably believed by it to be in the interest of the
participants and beneficiaries of the plan shall be deemed to be for a purpose
which is not opposed to the best interests of the Partnership.

 

F.                                      In
no event may an Indemnitee subject any of the Limited Partners to personal
liability by reason of the indemnification provisions set forth in this
Agreement.

 

G.                                     An
Indemnitee shall not be denied indemnification in whole or in part under this Section 7.7
because the Indemnitee had an interest in the transaction with respect to which
the indemnification applies if the transaction was otherwise permitted by the
terms of this Agreement.

 

H.                                    The
provisions of this Section 7.7 are for the benefit of the Indemnitees,
their employees, officers, directors, trustees, heirs, successors, assigns and
administrators and shall not be deemed to create any rights for the benefit of
any other Persons.  Any amendment,
modification or repeal of this Section 7.7 or any provision hereof shall
be prospective only and shall not in any way affect the Partnership’s liability
to any Indemnitee under this Section 7.7, as in effect immediately prior
to such amendment, modification, or repeal with respect to claims arising from
or relating to matters occurring, in whole or in part, prior to such amendment,
modification or repeal, regardless of when such claims may arise or be
asserted.

 

I.                                         If
and to the extent any payments to the General Partner pursuant to this Section 7.7
constitute gross income to the General Partner (as opposed to the repayment of
advances made on behalf of the Partnership), such amounts shall constitute
guaranteed payments within the meaning of Section 707(c) of the Code,
shall be treated consistently therewith by the Partnership and all Partners and
shall not be treated as distributions for purposes of computing the Partners’
Capital Accounts.

 

Section 7.8.  Liability of the General Partner

 

A.                                   Except
as otherwise provided herein or by law, neither the General Partner, nor any of
its directors, officers, partners, agents or employees, shall be liable for
monetary damages to the Partnership or any Partnership Subsidiary or any
Partners for losses sustained, liabilities incurred or benefits not derived as
a result of errors in judgment or of any act or omission if the General Partner
acted in good faith, in compliance with this Agreement and in compliance with
the law.

 

B.                                     Except
as otherwise provided herein or expressly agreed to in a separate written
agreement, the Limited Partners expressly acknowledge that the General Partner
is under no obligation to consider the separate interests of the Limited
Partners (including without limitation, the tax consequences to Limited
Partners) in deciding whether to cause the

 

41

 

Partnership to take (or
decline to take) any actions which the General Partner has undertaken (or not
taken) in good faith on behalf of the Partnership.  In the event of a conflict between the
interests of the General Partner or its shareholders, on the one hand, and the
Limited Partners, on the other hand, the General Partner shall endeavor in good
faith to resolve the conflict in a manner not adverse to either its
shareholders or the Limited Partners. 
Subject to its obligations and duties as General Partner set forth in Section 7.1.A
hereof, the General Partner may exercise any of the powers granted to it by
this Agreement and perform any of the duties imposed upon it hereunder either
directly or by or through its agents. 
The General Partner shall not be responsible for any misconduct or
negligence on the part of any such agent appointed by it in good faith.

 

C.                                     Any
amendment, modification or repeal of this Section 7.8 or any provision
hereof shall be prospective only and shall not in any way affect the
limitations on the General Partner’s and its officers’ and directors’ liability
to the Partnership and the Limited Partners under this Section 7.8 as in
effect immediately prior to such amendment, modification or repeal with respect
to claims arising from or relating to matters occurring, in whole or in part,
prior to such amendment, modification or repeal, regardless of when such claims
may arise or be asserted.

 

Section 7.9.  Other Matters Concerning the General
Partner

 

A.                                   The
General Partner may rely and shall be protected in acting, or refraining from
acting, upon any resolution, certificate, statement, instrument, opinion,
report, notice, request, consent, order, bond, debenture, or other paper or
document believed by it in good faith to be genuine and to have been signed or presented
by the proper party or parties.

 

B.                                     The
General Partner may consult with legal counsel, accountants, appraisers,
management consultants, investment bankers, architects, engineers,
environmental consultants and other consultants and advisers selected by it,
and any act taken or omitted to be taken in reliance upon the opinion of such
Persons as to matters which such General Partner reasonably believes to be
within such Person’s professional or expert competence shall be conclusively
presumed to have been done or omitted in good faith and in accordance with such
opinion.

 

C.                                     The
General Partner shall have the right, in respect of any of its powers or
obligations hereunder, to act through any of its duly authorized officers and
duly appointed attorneys in fact.  Each
such attorney shall, to the extent provided by the General Partner in the power
of attorney, have full power and authority to do and perform each and every act
and duty which is permitted or required to be done by the General Partner hereunder.

 

D.                                    Notwithstanding
any provision of the Act and except as specifically limited by this Agreement,
any action of the General Partner on behalf of the Partnership or any
Partnership Subsidiary or any decision of the General Partner to refrain from
acting on behalf of the Partnership or any Partnership Subsidiary, undertaken
in the good faith belief that such action or omission is necessary or advisable
in order to protect the ability of the Parent to continue to qualify as a REIT
is expressly authorized under this Agreement and is deemed approved by all of
the Limited Partners.

 

42

 

Section 7.10.  Title to Partnership Assets

 

Title to Partnership assets, whether real, personal or
mixed and whether tangible or intangible, shall be deemed to be owned by the
Partnership as an entity, and no Partner, individually or collectively, shall
have any ownership interest in such Partnership assets or any portion
thereof.  Title to any or all of the
Partnership assets may be held in the name of the Partnership, the General
Partner or one or more nominees, as the General Partner may determine,
including Affiliates of the General Partner. 
The General Partner hereby declares and warrants that any Partnership
assets for which legal title is held in the name of the General Partner or any
nominee or Affiliate of the General Partner shall be held by the General
Partner or such nominee or Affiliate for the use and benefit of the Partnership
in accordance with the provisions of this Agreement; provided, however, that
the General Partner shall use commercially reasonable efforts to cause
beneficial and record title to such assets to be vested in the Partnership as
soon as reasonably practicable.  All
Partnership assets shall be recorded as the property of the Partnership in its
books and records, irrespective of the name in which legal title to such
Partnership assets is held.

 

Section 7.11.  Reliance by Third Parties

 

Notwithstanding anything to the contrary in this
Agreement, any Person dealing with the Partnership shall be entitled to assume
that the General Partner has full power and authority, without consent or
approval of any other Partner or Person, to encumber, sell or otherwise use in
any manner any and all assets of the Partnership and to enter into any
contracts on behalf of the Partnership, and take any and all actions on behalf
of the Partnership and such Person shall be entitled to deal with the General
Partner as if the General Partner were the Partnership’s sole party in
interest, both legally and beneficially. 
Each Limited Partner hereby waives any and all defenses or other
remedies which may be available against such Person to contest, negate or
disaffirm any action of the General Partner in connection with any such
dealing.  In no event shall any Person
dealing with the General Partner or its representatives be obligated to
ascertain that the terms of this Agreement have been complied with or to
inquire into the necessity or expedience of any act or action of the General
Partner or its representatives.  Each and
every certificate, document or other instrument executed on behalf of the
Partnership by the General Partner or its representatives shall be conclusive
evidence in favor of any and every Person relying thereon or claiming
thereunder that (i) at the time of the execution and delivery of such
certificate, document or instrument, this Agreement was in full force and
effect; (ii) the Person executing and delivering such certificate,
document or instrument was duly authorized and empowered to do so for and on
behalf of the Partnership and (iii) such certificate, document or
instrument was duly executed and delivered in accordance with the terms and
provisions of this Agreement and is binding upon the Partnership.

 

Section 7.12.  Covenants Restricting Operation of
Business  

 

A.                                   Covenants
Relating to Parent LP Units.  Prior
to a redemption pursuant to Section 8.10 hereof, the Partnership shall not
sell, assign, gift, transfer, pledge, encumber, mortgage, hypothecate, exchange
or otherwise dispose of, by operation of law or otherwise, all or any portion
of any partnership interest in Parent LP or any of the economic rights
associated therewith (“Parent LP Interests”) now held or hereafter
acquired by the Partnership, including,

 

43

 

without limitation,
dispositions effected through a redemption of such Parent LP Interests, without
the consent of Limited Partners holding two-thirds-in-interest of the Common
Units and the Class A Preferred Units (on an as-converted basis), other
than Partnership Units held by the General Partner, Parent or any of their
respective Subsidiaries or Affiliates or any Parent Transferee; provided,
however, that a sale, merger, consolidation or other business
combination involving the General Partner shall not constitute a “transfer” for
purposes of this Section 7.12 so long as the General Partner complies with
Section 11.2.A hereof.  In the event
that any matter is submitted to the holders of Parent LP Interests generally or
of the class of Parent LP Interests held by the Partnership for their consent
or approval, or with respect to any election to be made by such holders of
Parent LP Interests, the General Partner shall, at least ten (10) Business
Days prior to the date on which a response to such matter or election is due to
Parent LP, deliver a request in writing to each of the Limited Partners (other
than the General Partner, Parent or their respective Subsidiaries or Affiliates
or any Parent Transferee) requesting that each such Limited Partner provide
written direction with respect to such consent, approval or election.  Such request for written direction shall be
accompanied by any relevant disclosure documents provided by Parent LP.  The General Partner will cause the
Partnership, in its capacity as a holder of Parent LP Interests, to grant or
withhold the consent or approval, and to make any election, in proportion to
the written directions received by such Limited Partners based on their relative
holdings.

 

B.                                     Restrictions
Regarding Partnership Properties.

 

(1)                                  Other
than pursuant to subsection 7.12.B(2) or (3) below or pursuant
to a Tax-Deferred Exchange, the Partnership shall not sell, transfer or
otherwise dispose of its direct or indirect interest in the Restricted
Properties; provided, however, that the Partnership may elect to
contribute any of the Restricted Properties to the Parent LP in exchange for
that number of Common Units of Parent LP indicated on Schedule 7.12.B; provided,
however, that the Partnership must retain (a) all the Group A
Restricted Properties or (b) all of the Group B Restricted Properties
or (c) all of the Group C Restricted Properties; it being understood
that following such contribution, the Restricted Property so contributed shall
cease to be both Restricted Property and a Group A Restricted Property,
Group B Restricted Property or Group C Restricted Property, as
applicable.

 

(2)                                  Either
directly or through entities in which it currently or in the future will have
an equity interest, the Partnership, subject to Articles 7 and 10 hereof, may
engage in commercially reasonable development activities at any of the
Restricted Properties, including, without limitation, engaging in
sale-leasebacks, master leases, synthetic lease-type arrangements or
groundleases with respect to portions of the properties, and sales of anchor
pads or outparcels, or dedicating or transferring portions of the property for
private or public utilities or public improvements or uses; provided that, in
any case, such activities are not undertaken for the principal purpose of
adversely affecting or undermining the rights of the Limited Partners or the
economic value of their interests in the Partnership.

 

(3)                                  In
the event that the Partnership sells its interest in Tysons Corner Center
and/or Tysons Office Building pursuant to a contractual “buy/sell” provision,

 

44

 

which was initiated by
the Partnership’s joint venture partner and such properties are at that time
Group A Restricted Properties, then any cash proceeds from the sale of
such properties must be retained by the Partnership or reinvested by the
Partnership and may not be transferred or contributed to Parent in any manner.

 

C.                                     Leverage
Covenant.  Following the Effective
Date, none of Parent, the General Partner or any of their respective Affiliates
or Subsidiaries will cause the Partnership or any of its Subsidiaries to, and
the Partnership and its Subsidiaries will not, incur any Indebtedness secured
by any of the Restricted Properties if, immediately after giving effect to the
incurrence of such additional Indebtedness and the application of the proceeds
therefrom, the ratio of (i) the aggregate principal amount of all
outstanding Indebtedness of the Partnership secured by the applicable
Restricted Properties to (ii) the fair market value of all Restricted
Properties as determined in good faith by the General Partner, exceeds 50%;
provided that, as of the Effective Date, the fair market value of all
Restricted Property shall be as set forth on Schedule 7.12.B and
thereafter shall be adjusted in the good faith determination of the General
Partner.  Any computation pursuant to
this Section 7.12.C shall be made without duplication of Freehold Raceway
Mall.

 

D.                                    Fixed
Charge Coverage Ratio.  As of the end
of each calendar quarter ending on or prior to the sixth anniversary of the
Effective Date, the Fixed Charge Coverage Ratio will not be less than 2:1.  Within ninety (90) calendar days after the
end of each calendar year, the General Partner shall deliver written notice to
the Limited Partners as to whether or not the Partnership is in compliance with
the preceding sentence.  In addition,
upon the written request of any Limited Partner, the General Partner shall
confirm in writing to such Limited Partner that the Partnership was in
compliance with the first sentence of this Section 7.12.D as of the end of
the preceding calendar quarter.  If the
Fixed Charge Coverage Ratio with respect to any calendar quarter is less than
2:1 or the distributions required by Section 5.1.A-D hereof with respect
to such calendar quarter have not been fully paid, then the General Partner
shall, commencing within 45 days after the end of such calendar quarter, (1) deliver
written notice to the Limited Partners of such non-compliance (with a similar
notice being provided within 45 days after the end of each subsequent calendar
quarter until the Partnership is in compliance with the first sentence of this Section 7.12.D),
and (2) cause the Partnership to fund a segregated cash reserve account
(the “Fixed Charge Escrow”) from Available Cash, prior to deducting any
items covered by clauses (b)(iii)-(v) of the definition of “Available Cash”
(for the sake of clarity, the parties’ intent is that the funding of the Fixed
Charge Escrow shall take priority over expenditures of the type covered by
clauses (b)(iii)-(v) of the definition of “Available Cash”).  The Partnership shall continue to fund the
Fixed Charge Escrow until it contains an amount equal to the sum of (a) the
Cumulative Unpaid Class A Preferred Return Amount, (b) the Cumulative
Unpaid Common Distribution Amount, and (c) the amount necessary that, when
added to clause (a) of the definition of “Fixed Charge Coverage Ratio”
(i.e., the numerator of the fraction used in calculating the Fixed Charge
Coverage Ratio) would result in the Fixed Charge Coverage Ratio for the
applicable calendar quarter being equal to 2:1. 
To the extent that the Partnership is unable to pay in full any distribution
required by Section 5.1.A-D during the existence of the Fixed Charge
Escrow, the Partnership shall use the funds in the Fixed Charge Escrow to pay
any such shortfall.  If the Fixed Charge
Coverage Ratio is equal to or greater than 2:1 at the end of any subsequent
calendar quarter, the funds in the Fixed Charge Escrow shall be released to the
Partnership following notification to the Limited Partners of such compliance.

 

45

 

ARTICLE VIII
- RIGHTS AND OBLIGATIONS OF LIMITED PARTNERS

 

Section 8.1.  Limitation of Liability

 

The Limited Partners shall have no liability under
this Agreement except as expressly provided in this Agreement, including
Sections 8.7.B(3) and 10.5 hereof, or under the Act.

 

Section 8.2.  Management of Business

 

No Limited Partner (other than the General Partner,
any of its Affiliates or any officer, director, employee, partner, agent or
trustee of the General Partner, the Partnership or any of their Affiliates, in
their capacity as such) shall take part in the operation, management or control
(within the meaning of the Act) of the Partnership’s business, transact any
business in the Partnership’s name or have the power to sign documents for or
otherwise bind the Partnership.  The transaction
of any such business by the General Partner, any of its Affiliates or any
officer, director, employee, partner, agent or trustee of the General Partner,
the Partnership or any of their Affiliates, in their capacity as such, shall
not affect, impair or eliminate the limitations on the liability of the Limited
Partners under this Agreement.

 

Section 8.3.  Outside Activities of Limited Partners

 

Subject to any agreements entered into pursuant to Section 7.6.E
hereof and any other agreements entered into by a Limited Partner or its
Affiliates with the Partnership or any of its Subsidiaries, notwithstanding any
duty (including any fiduciary duty) at law or in equity any Limited Partner
(other than Parent) and any officer, director, employee, agent, trustee,
Affiliate or stockholder of any Limited Partner shall be entitled to and may
have business interests and engage in business activities in addition to those
relating to the Partnership, including business interests and activities that
are in direct competition with the Partnership or that are enhanced by the
activities of the Partnership.  Neither
the Partnership nor any Partners shall have any rights by virtue of this
Agreement in any business ventures of any Limited Partner.  None of the Limited Partners nor any other
Person shall have any rights by virtue of this Agreement or the Partnership
relationship established hereby in any business ventures of any other Person
and such Person shall have no obligation pursuant to this Agreement to offer
any interest in any such business ventures to the Partnership, any Limited
Partner or any such other Person, even if such opportunity is of a character
which, if presented to the Partnership, any Limited Partner or such other
Person, could be taken by such Person.

 

Section 8.4. 
Return of Capital

 

Except pursuant to the Redemption Right set forth in Section 8.6
hereof and the Participating Election Right set forth in Section 8.7
hereof, no Limited Partner shall be entitled to the withdrawal or return of its
Capital Contribution, except to the extent of distributions made pursuant to
this Agreement or upon dissolution and winding up of the Partnership as
provided herein.  Except to the extent
provided by Section 5.1 or Exhibit C hereof or as otherwise
expressly provided in this Agreement, or any Certificate of Designations, no
Limited Partner shall have priority over any other Limited Partner, either as
to the return of Capital Contributions or as to profits, losses or
distributions.

 

46

 

Section 8.5.  Rights of Limited Partners Relating to the
Partnership

 

A.                                   In
addition to the other rights provided by this Agreement or by the Act, and
except as limited by Section 8.5.C hereof, each Limited Partner shall have
the right, for a business purpose reasonably related to such Limited Partner’s
interest as a limited partner in the Partnership, upon written demand with a
statement of the purpose of such demand and at such Limited Partner’s own
expense (including such copying and administrative charges as the General
Partner may establish from time to time):

 

(1)                                  to
obtain a copy of the most recent annual and quarterly reports filed with the
Securities and Exchange Commission by Parent pursuant to the Securities
Exchange Act of 1934, as amended;

 

(2)                                  to
obtain a copy of the Partnership’s federal, state and local income tax returns
for each Partnership Year;

 

(3)                                  to
obtain a current list of the name and last known business, residence or mailing
address of each Partner;

 

(4)                                  to
obtain a copy of this Agreement and the Certificate of Limited Partnership and
all amendments thereto, together with executed copies of all powers of attorney
pursuant to which this Agreement, the Certificate of Limited Partnership and
all amendments thereto have been executed; and

 

(5)                                  to
obtain true and full information regarding the amount of cash and a description
and statement of any other property or services contributed by each Partner and
which each Partner has agreed to contribute in the future, and the date on
which each became a Partner.

 

B.                                     The
Partnership shall notify each Limited Partner, upon request, of the then
current Conversion Factor and the REIT Shares Amount per Partnership Unit and,
with reasonable detail, how the same was determined.

 

C.                                     Notwithstanding
any other provision of this Section 8.5, the General Partner may keep
confidential from the Limited Partners, for such period of time as the General
Partner determines in its sole and absolute discretion to be reasonable, any
information that (i) the General Partner reasonably believes to be in the
nature of trade secrets or other information, the disclosure of which the
General Partner in good faith believes is not in the best interests of the
Partnership or would be reasonably likely to damage the Partnership or its
business or (ii) the Partnership is required by law or by agreements with
an unaffiliated third-party to keep confidential.

 

Section 8.6. 
Redemption Right

 

A.                                   Subject
to the other provisions of this Section 8.6 and the provisions of any
agreements between the Partnership and one or more Limited Partners, at any
time, each Limited Partner (other than the General Partner, Parent or their
respective Subsidiaries or Affiliates or any Parent Transferee) shall have the
right (the “Redemption Right”) to require the

 

47

 

Partnership to redeem on
a Specified Redemption Date all or a portion of the Common or Class A
Preferred Units held by such Limited Partner at a redemption price per Common
or Class A Preferred Unit equal to and in the form of the Cash Amount to
be paid by the Partnership.  The
Redemption Right shall be exercised pursuant to a Notice of Redemption
delivered to the Partnership (with a copy to Parent) by the Limited Partner who
is exercising the Redemption Right (the “Redeeming Partner”); provided,
however, that the Partnership shall not be obligated to satisfy such
Redemption Right if Parent elects to purchase the Common or Class A
Preferred Units subject to the Notice of Redemption pursuant to Section 8.6.B
hereof.  A Limited Partner may not
exercise the Redemption Right for less than one thousand (1,000) Common or Class A
Preferred Units or, if such Limited Partner holds less than one thousand
(1,000) Common or Class A Preferred Units, all of the Common or Class A
Preferred Units held by such Limited Partner. 
The Redeeming Partner shall have no right, with respect to any Common or
Class A Preferred Units so redeemed (including pursuant to Section 8.6.B
hereof), to receive any distributions paid on or after the Specified Redemption
Date (unless the Partnership or, if applicable, Parent shall have failed to
redeem or purchase such Common or Class A Preferred Units as of such
time).  Each Redeeming Partner agrees to
execute such documents as the Partnership may reasonably require in connection
with the exercise of the Redemption Right.

 

B.                                     Notwithstanding
the provisions of Section 8.6.A hereof, upon an election by a Limited
Partner to exercise the Redemption Right, Parent may, in its sole and absolute
discretion (subject to the limitations on ownership and transfer of REIT Shares
set forth in Parent’s Articles of Amendment and Restatement), elect to assume
directly and satisfy a Redemption Right by paying to the Redeeming Partner either
the Cash Amount or the REIT Shares Amount, as Parent determines in its sole and
absolute discretion whereupon Parent shall acquire the Common and Class A
Preferred Units offered for redemption by the Redeeming Partner and shall be
treated for all purposes of this Agreement as the owner of such Common and Class A
Preferred Units.  If Parent shall elect
to exercise its right to purchase Common and Class A Preferred Units under
this Section 8.6.B with respect to a Notice of Redemption, it shall so
notify the Redeeming Partner within ten (10) Business Days after the
receipt by it of such Notice of Redemption. 
Unless Parent shall exercise its right to purchase Common and Class A
Preferred Units from the Redeeming Partner pursuant to this Section 8.6.B,
Parent shall not have any obligation to the Redeeming Partner or the
Partnership with respect to the Redeeming Partner’s exercise of the Redemption
Right.  In the event Parent shall
exercise its right to purchase Common and Class A Preferred Units with
respect to the exercise of a Redemption Right in the manner described in the
first sentence of this Section 8.6.B, the Partnership shall have no
obligation to pay any amount to the Redeeming Partner with respect to such
Redeeming Partner’s exercise of such Redemption Right, and each of the
Redeeming Partner, the Partnership, and Parent shall treat the transaction
between Parent and the Redeeming Partner, for federal income tax purposes, as a
sale of the Redeeming Partner’s Common and Class A Preferred Units.  Each Redeeming Partner agrees to execute such
documents as Parent may reasonably require in connection with the exercise of
the Redemption Right.

 

C.                                     During
the thirty (30) day period (the “Conversion Window”) following the
seventh anniversary of the Effective Date of this Agreement, (i) each
Limited Partner (other than the General Partner, Parent or their respective
Subsidiaries or Affiliates or any Parent Transferee) shall have the right (the “Class A
Put Right”) upon written notice received by the Partnership to require the
Partnership to redeem, on or before the fifth (5th) Business Day
after

 

48

 

the last day of the
Conversion Window, all or a portion of the Class A Preferred Units held by
such Limited Partner (other than Units listed on Exhibit E) for
cash at a redemption price per Class A Preferred Unit of $53.0315 (as
adjusted in accordance with the principles of Section 8.9.G hereof in the
case of certain dividends, subdivisions, or combinations with respect to the Class A
Preferred Units), provided that the Partnership may elect to satisfy its
obligations under the Class A Put Right by converting each applicable Class A
Preferred Unit into such number of Common Units that, as of the last day of the
Conversion Window (or the first Business Day thereafter if such last day is not
a Business Day), would be redeemable for cash equal to $53.0315 (adjusted as
described above) if a Notice of Redemption were delivered on such date or that
Parent may elect to assume the Partnership’s obligation under this Class A
Put Right and may elect to satisfy such obligations either in cash or REIT
Shares with a Value (determined using the last day of the Conversion Window (or
the first Business Day thereafter if such last day is not a Business Day) as
the Valuation Date) equal to $53.0315 (adjusted as described above); provided
further that the Class A Put Right shall be limited to an aggregate
maximum of $75,000,000 and (ii) the Partnership shall have the right (the “Class A
Forced Conversion”) to require all the Class A Preferred Unitholders
to convert on thirty (30) days notice, all but not less than all, of the Class A
Preferred Units held by each such Limited Partner (other than Units listed on Exhibit E)
for that number of Common Units that, as of the last Business Day before such
notice is issued, would be redeemable under Section 8.6.A hereof for cash
equal to $82.3548 (as adjusted in accordance with the principles of Section 8.9.G
hereof in the case of certain dividends, subdivisions, or combinations with
respect to the Class A Preferred Units) per Class A Preferred Unit to
be converted by such Limited Partner.  It
is understood and agreed that the exercise and implementation of the Class A
Forced Conversion will be structured, to the extent possible, to avoid
triggering the recognition of taxable gain. 
If the aggregate redemption price of Class A Preferred Units
tendered for redemption pursuant to the Class A Put Right and the
comparable right provided to Series N partnership unitholders of Parent LP
during the Conversion Window (the “Total Put Exercise”) would exceed
$75,000,000, the number of Class A Preferred Units and Series N units
of Parent LP that shall be redeemed pursuant to the Class A Put Right and
the comparable right provided to Series N partnership unitholders of
Parent LP shall be reduced pro rata among the Limited Partners and the Series N
partnership unitholders of Parent LP who elect to participate such that the
Total Put Exercise equals $75,000,000. The notice to be provided by the Partnership in order to exercise the Class A
Forced Conversion shall be in writing in the form attached hereto as Exhibit G
and shall specify (a) the effective date of the Class A Forced
Conversion, (b) the number of Common Units into which each Class A
Preferred Unit will be converted into pursuant to the Class A Forced
Conversion, (c) the number of Common Units into which each Class A
Preferred Units would convert pursuant to the conversion right in Section 8.9
hereof, and (d) a statement that the holders of Class A Preferred
Units may, in lieu of having such Units converted pursuant to the Class A
Forced Conversion, exercise their rights to convert such Units pursuant to Section 8.9
by written notice to the General Partner at the principal offices of the
Partnership prior to the effective date of the Class A Forced Conversion.

 

D.                                    Notwithstanding
anything in this Agreement to the contrary, no Limited Partner may exercise any
Redemption Right that could result in the receipt of REIT Shares prior to April 25,
2006 (the “Lock-up Period”); provided that, after the death of any such
Limited Partner, the fiduciary or other authorized representative of such
Limited Partner’s estate shall be

 

49

 

entitled to deliver a
Notice of Redemption to the General Partner during the Lock-up Period with
respect to Redemption Rights of Units (other than Units listed in Exhibit E,
which are subject to restrictions of Section 8.6.I hereof) held by such
deceased Limited Partner and to effect a redemption of such Units.

 

E.                                      Notwithstanding
anything in Section 8.6.B hereof to the contrary, if the delivery of REIT
Shares to a Redeeming Partner on the Specified Redemption Date by Parent
pursuant to Section 8.6.B hereof would be prohibited under the Articles of
Amendment and Restatement of Parent or prohibited under applicable federal or
state securities laws or regulations, then Parent may not elect to deliver REIT
Shares under Section 8.6.B hereof and must satisfy any obligations under
such Section 8.6.B in cash.

 

F.                                      If,
pursuant to Section 8.6.B hereof, Parent elects to pay the Redeeming
Partner the Redemption Amount in the form of REIT Shares, the total number of
REIT Shares to be paid to the Redeeming Partner in exchange for the Redeeming
Partner’s Common and Class A Preferred Units shall be the applicable REIT
Shares Amount.  If this amount is not a
whole number of REIT Shares, the Redeeming Partner shall be paid (i) that
number of REIT Shares which equals the nearest whole number less than such
amount plus (ii) an amount of cash which Parent determines, in its
reasonable discretion, to represent the fair value of the remaining fractional
REIT Share which would otherwise be payable to the Redeeming Partner.

 

G.                                     All
Common and Class A Preferred Units delivered for redemption shall be
delivered to the Partnership or Parent, as the case may be, free and clear of
all liens and encumbrances, and notwithstanding anything contained herein to
the contrary, neither the General Partner nor the Partnership shall be under
any obligation to acquire Common or Class A Preferred Units which are or
may be subject to liens.  If any state or
local property transfer tax is payable as a result of the transfer of Common
and Class A Preferred Units to the Partnership or Parent pursuant to the
Redemption Right, then (i) except as provided in clause (ii), the
Redeeming Partner shall assume and pay such transfer tax, (ii) if such
redemption, when combined with prior redemptions and transfers, results in a
specified threshold being satisfied such that the redemption triggers a
transfer tax that was not payable on account of such prior redemptions and
transfers (the “Cliff Effect Transfer Tax”), then the Partnership shall
assume and pay such Cliff Effect Transfer Tax, and (iii) if any transfer
taxes are payable on account of redemptions occurring after the event
triggering the Cliff Event Transfer Tax, then the applicable Redeeming Partner
shall assume and pay any transfer taxes payable as a result of such subsequent
redemption.

 

H.                                    In
the event that the Partnership issues additional Partnership Interests pursuant
to Section 4.2.A hereof, the General Partner shall make such revisions to
this Section 8.6 as it determines are necessary to reflect the issuance of
such additional Partnership Interests (including setting forth any restrictions
on the exercise of the Redemption Right with respect to such additional
Partnership Interests).

 

I.                                         Notwithstanding
anything in this Agreement to the contrary, the Participating Limited Partners
shall be prohibited from exercising the redemption right in this Section 8.6
or the conversion right in Section 8.9 hereof with respect to the Class A
Preferred Units set forth on Exhibit E attached hereto, as such Exhibit may
be amended from time to time,

 

50

 

until the earlier of (i) August 31,
2010, and (ii) the waiver by the Partnership or termination pursuant to Section 8.8.E
hereof of the Partnership Call Right.

 

Section 8.7.  Participating Limited Partners’ Redemption
Right

 

A.                                   Redemption
Right

 

(1)                                  For
a period of three (3) months beginning on August 31, 2007, the
Participating Limited Partners shall have the right (the “Participating
Election Right”) to require the Partnership to redeem on thirty (30) days
notice (the “Participating Redemption Date”) all, but not less than all
(subject to the adjustments discussed below), of those Class A Preferred
Units held by each such Participating Limited Partner and set forth on Exhibit E
attached hereto, as such Exhibit may be amended from time to time, in
exchange for an in-kind distribution of all of the limited liability company
interests in Rochester Malls, LLC (the “Rochester Interests”) held by
the Partnership, which interests shall be distributed to the Participating
Limited Partners pro rata in proportion to their relative ownership of the
total number of Class A Preferred Units delivered in redemption in
accordance with this Section 8.7. 
The Participating Election Right shall be exercised pursuant to a
written notice delivered to the Partnership by the Participating LP
Representative.

 

(2)                                  In
connection with such exchange the following adjustments shall be made:

 

(i)                                     If
there is a Rochester Decrease Amount, then the total number of Class A
Preferred Units required to be delivered by the Participating Limited Partners
shall be reduced by a number of Class A Preferred Units equal to the
Rochester Decrease Amount divided by $62.39 (as adjusted in accordance with the
principles of Section 8.9.G in the case of certain dividends,
subdivisions, or combinations with respect to the Class A Preferred Units)
to reflect the decrease in the equity value of the Rochester Interests since
the Effective Date.  The reduction in the
number of Class A Preferred Units delivered shall be made on a pro rata
basis among the holders of the Class A Preferred Units set forth on Exhibit E
attached hereto, as such Exhibit may be amended from time to time.

 

(ii)                                  If
there is a Rochester Increase Amount, then the Participating Limited Partners
shall be required to supplement the Class A Preferred Units delivered in
the exchange with a cash payment equal to the amount of the Rochester Increase
Amount (the “Net Owed Amount”), subject to the following sentence.  In the event that there is a Net Owed Amount
payable on the Participating Redemption Date, then, prior to the effective date
of such exchange and in lieu of a cash payment, the General Partner shall use
its good faith efforts to cause Rochester Malls, LLC to borrow cash in an
amount equal to the Net Owed Amount, which cash shall be distributed by
Rochester Malls, LLC to the Partnership prior to the Participating Redemption
Date.  Any loan arranged pursuant to the
foregoing (a “Net Owed Amount Financing”) may be obtained from a
third-party or from the General Partner, Parent or Parent LP, but shall in

 

51

 

no event be obtained from
the Partnership.  Such Net Owed Amount
Financing shall have a term of at least 2.5 years and shall bear a rate of
interest and have such other terms as agreed upon between the lender and
Rochester Malls, LLC.  The financial,
legal and economic terms of any such Net Owed Amount Financing shall be subject
to approval by the Participating LP Representative, which approval may not be
unreasonably withheld or delayed.

 

(iii)                               In
addition to the foregoing adjustments, the number of Class A Preferred
Units or other consideration delivered by the Participating Limited Partners in
this exchange shall be adjusted, up or down as appropriate, as a result of a
customary working capital adjustment that takes into account changes in the
working capital (current assets less current liabilities) of Rochester Malls,
LLC and its Subsidiaries owning directly or indirectly the Rochester Properties
between the Effective Date and the consummation of the Participating Election
Right, with the objective that there will be no net working capital in the
Rochester Malls, LLC at the consummation of the Participating Election
Right.  Such adjustment may be settled
through the methods described in either clause (i) or (ii) above, as
appropriate.

 

(iv)                              If,
at any time after the exercise of the Participating Election Right, any of
Parent, Parent LP, the Partnership, any Parent Transferee, any owner of any
Parent Transferee, or any of their respective Affiliates receives the benefit
(whether in cash or by means of an offset to or reduction in any tax otherwise
payable) of any Zone Credit attributable to any of the Rochester Properties,
then any such person who receives such benefit shall promptly pay to the
Participating Limited Partners (pro rata in proportion to their relative
ownership of Units delivered in redemption in accordance with this Section 8.7)
cash in an amount equal to the actual benefit (net of applicable taxes, if any)
received by them once such benefit has been realized.  The following shall apply for purposes of
this Section 8.7(A)(2)(iv): (a) a
benefit will be considered to be realized for purposes of this Section 8.7(A)(2)(iv) on
(1) the date on which the benefit is received as a refund or credit of
taxes, or (2) to the extent that the benefit is not received as a refund
or credit of taxes but rather is claimed as an item that reduces liability for
taxes (on a with and without basis), the date of filing of the tax return that
reflects such change in liability for taxes, (b) notwithstanding anything
herein to the contrary, Parent shall determine whether, for purposes of this Section 8.7(A)(2)(iv),
the extent to which a benefit is available, if any, to any of Parent, Parent
LP, the Partnership, any Parent Transferee, any owner of any Parent Transferee
or any of their respective Affiliates hereunder, which determination shall be
conclusive, provided that such determination shall be reasonable and
shall be made in good faith; (c) any payment hereunder shall be
required to be made solely to the Participating LP Representative on behalf of
each Participating Limited Partner; (d) any person required to make a
payment hereunder shall be entitled to deduct and withhold from any such
payment (1) any allocable reasonable out-of-pocket costs and expenses
incurred in qualifying for any Zone Credit and calculating the amount of any
payments hereunder and (2) any amounts that are required to be withheld
pursuant to the Code or any

 

52

 

provision of state, local
or foreign tax law, with any amount so withheld being treated for all purposes
as having been paid to the applicable Participating Limited Partner; (e) no
payment shall be required pursuant to this provision unless and until the
aggregate payment to be made hereunder exceeds $200,000; (f) any benefit
realized by any partner of Parent LP (other than Parent), any Wilmorite Limited
Partner (or person other than Parent LP or any Parent Transferee who acquires
their interest from a Wilmorite Limited Partner after the Effective Date), or
any shareholder of Parent, in each case in their capacity as such, shall not be
subject to the provisions in this Section 8.7(A)(2)(iv),  even if such person is otherwise deemed an
Affiliate of any of Parent, Parent LP, the Partnership, any Parent Transferee
or any owner of any Parent Transferee; (g) if for any reason the benefit
received by Parent, Parent LP, the Partnership, any Parent Transferee, any
owner of any Parent Transferee, or any of their respective Affiliates is
required by any governmental authority to be refunded in whole or in part
(including interest and penalties), then the Participating Limited Partners
shall be obligated to promptly refund any such amount to the original paying
person; and (h) notwithstanding the foregoing, Parent, Parent LP, the
Partnership, any Parent Transferee, any owner of any Parent Transferee and any
of their respective Affiliates are not guaranteeing that any Zone Credits are
or will be available and therefore shall not be liable for any payment as set
forth in Section 8.7(A)(2)(iv) if the Zone Credits are not realized
for any reason, including but not limited to any failure to comply with the
administrative and filing requirements, the tax status of any Parent Transferee
or any owner of Parent Transferee, or on account of any subsequent tax audit or
change in law.

 

(3)                                  At
the consummation of the Participating Election Right, the Partnership shall
also deliver a cash amount to the Participating Limited Partners equal to the
amount, if any, owing to the holders of the Class A Preferred Units as a
result of any Cumulative Unpaid Class A Preferred Return Amount and the
Pro-Rated Preferred Amount attributable to such Class A Preferred Units as
of the Participating Redemption Date. 
Each Participating Limited Partner shall have no right, with respect to
any Class A Preferred Units so redeemed, to receive any distributions with
a Partnership Record Date on or after the Participating Redemption Date.  Notwithstanding anything in this Agreement to
the contrary, each Participating Limited Partner may assign and delegate all or
a portion of its rights and obligations under Sections 8.7 and 8.8 of this
Agreement to another Class A Preferred Unitholder to the extent of such
Partner’s Class A Preferred Units owned of record or beneficially, which
are not already set forth on Exhibit E hereto.

 

(4)                                  Notwithstanding
anything to the contrary in this Agreement, an exercise of the Participating
Election Right may be consummated only if all Class A Preferred Units
subject to the Participating Election Right are delivered to the Partnership
free and clear of all liens and encumbrances (other than those that will be
terminated as of the effective date of the redemption of Class A Preferred
Units pursuant to this Section 8.7) or the Partnership waives such
requirement in writing.  If any state or
local property transfer tax is payable as a result of the transfer of Preferred
Units to the Partnership or the distribution of the Rochester Interests
pursuant to the Participating

 

53

 

Election Right, the
Participating Limited Partners shall assume and pay such transfer tax pro rata
in proportion to their ownership of the Preferred Units set forth on Exhibit E.

 

(5)                                  The
Partnership shall take all actions necessary to effectuate the transfer of the
Rochester Interests in accordance with this Section 8.7, including without
limitation, simultaneously transferring to Rochester Malls, LLC or a designee,
without any additional consideration, ownership of all equity interests owned
by the Partnership, the General Partner or any of their respective Affiliates
in any entity that serves as manager, general partner or in a similar capacity
of any subsidiary of Rochester Malls, LLC or any entity that owns such manager,
general partner or such other entity, excluding the Partnership or the General
Partner and any entity that holds equity interests in either the Partnership or
the General Partner.  Each Participating
Limited Partner agrees to execute such documents as the General Partner may
reasonably require in connection with this Section 8.7.

 

B.                                     Participating
LP Representative

 

(1)                                  By execution of this Agreement, each
Participating Limited Partner hereby constitutes and appoints Thomas C. Wilmot, Sr.
to be each Participating Limited Partner’s true and lawful agent and
attorney-in-fact, with full power and authority in the name, place, and stead
of each Participating Limited Partner to take any and all actions, on behalf of
the Participating Limited Partners, execute any and all instruments on behalf
of, and execute or waive any and all rights of, the Participating Limited
Partners with respect to (i) the
matters contemplated by Sections 8.7 and 8.8 and any other provisions of this
Agreement to the extent such provisions relate to the Rochester Properties or
the Participating Limited Partners (in their capacity as such) and (ii) any other section of this
Agreement in connection with any arrangement intended to obtain for the
Participating Limited Partners additional benefits associated with the Zone Credits, including, without
limitation, any amendment to any section of this Agreement that would
otherwise require the written consent of each Participating Limited Partner
(the “Participating LP Representative”). 
The Participating LP Representative may resign upon thirty (30) days
written notice to the other Participating Limited Partners and the
Partnership.  No bond shall be required
of the Participating LP Representative, and the Participating LP representative
shall receive no compensation for his services.

 

(2)                                  The
Participating LP Representative shall not be liable for any act done or
committed in his capacity as the Participating LP Representative
hereunder.  The Participating LP
Representative may, in all questions arising in connection with the exercise of
his duties, rely on the advice of counsel or other advisors or experts and the
Participating LP Representative shall not be liable to the Participating
Limited Partners for anything done, omitted or suffered in good faith by the
Participating LP Representative based on such advice.

 

(3)                                  The
Participating Limited Partners hereby severally, but not jointly, agree to
indemnify the Participating LP Representative for, and hold him harmless
against, any loss, liability or expense incurred without gross negligence or
bad

 

54

 

faith on the part of the
Participating LP Representative and arising out of or in connection with the
acceptance or administration of his duties hereunder.

 

(4)                                  In
the event the initial Participating LP Representative becomes Incapacitated, or
resigns as the Participating LP Representative, then Judy W. Linehan shall
become the successor Participating LP Representative.  In the event she dies, becomes Incapacitated
or resigns as Participating LP Representative, a successor Participating LP
Representative shall be elected by the affirmative vote of a
majority-in-interest of the Participating Limited Partners.  Each successor Participating LP
Representative shall have all the power, authority, rights, and privileges
conferred by this Agreement upon the original Participating LP Representative,
and the term “Participating LP Representative” as used herein shall be
deemed to include successor Participating LP Representatives.  A successor Participating LP Representative
shall execute a counterpart signature page to this Agreement evidencing
the acceptance of his or her responsibilities as the Participating LP
Representative.

 

(5)                                  All
actions taken by the Participating LP Representative hereunder shall be binding
upon the Participating Limited Partners as if expressly confirmed and ratified
in writing by each of them.  Without
limiting the generality of the foregoing, the Participating LP Representative
shall have full power and authority to interpret all the terms and provisions
of this Agreement and all other ancillary agreements related to or arising in
connection with the administration of his duties hereunder.  The Participating LP Representative agrees to
execute such documents as Parent may reasonably require.

 

(6)                                  Until
notified in writing by a notice signed by a majority-in-interest of the
Participating Limited Partners, the General Partner may rely conclusively and
act upon the directions, instructions and notices of the Participating LP
Representative for the purposes set forth herein and, thereafter, upon the
directions, instructions and notices of any successor named in a writing
executed by a majority-in-interest of the Participating Limited Partners.  In addition, the Participating Limited
Partners acknowledge that the General Partner may rely exclusively upon the
directions, instructions and notice of the Participating LP Representative for
the purposes set forth herein, notwithstanding the fact that the General
Partner may have received conflicting directions, instructions and notices from
other Participating Limited Partners.

 

C.                                     Certain
Events Related to the Rochester Properties

 

(1)                                  The
General Partner, Partnership and Parent agree to maintain the Rochester
Properties in good condition, reasonable wear and tear excepted.  In the event of any damage, destruction,
casualty or other loss in respect of any of the Rochester Properties, the
General Partner shall be entitled to receive any insurance proceeds and shall
cause the applicable Rochester Property to be rebuilt or restored in a manner
commensurate with its prior quality.  In
the event that any such Rochester Property is not so restored prior to the
exercise of the Participating Election Right or the Partnership Call Right, as
the case may be, then the distribution of the Rochester Property or Properties
with respect to which the loss has occurred shall be deferred, and a
proportionate number of Class A Preferred Units (determined based on the
relative values of the Rochester

 

55

 

Properties as of the
Effective Date) shall remain outstanding and shall not be redeemed, until such
Rochester Property has been restored in a manner commensurate with its prior
quality.

 

In the event of any
condemnation with respect to the Rochester Properties, the General Partner and
the Participating LP Representative shall negotiate in good faith an agreement
to preserve and give effect to, as best as possible, the rights and obligations
of the Partnership and the Participating Limited Partners contained in this Section 8.7
and Section 8.8 hereof, it being understood, however, that no such
agreement shall result in the Participating Limited Partners receiving any of
the net proceeds from such event, bearing the costs associated with any repair
or restoration of the Rochester Properties following such an event, or
otherwise bearing the risk of any loss resulting from such an event.

 

(2)                                  If
the Partnership (or its applicable Subsidiary or Affiliate) exercises its right
of first refusal to purchase any partnership interests in Pittsford Plaza
Company, L.P. or The Marketplace (any such interests, the “ROFR Interests”),
then the Participating LP Representative, on behalf of the Participating
Limited Partners, shall have the right, but not the obligation, to purchase the
ROFR Interests from the Partnership for the same price paid by the Partnership
pursuant to the right of first refusal, plus any and all costs
reasonably incurred by the Partnership with respect to such purchase; provided,
however, that such right shall be exercisable only if, and at such time
as, the Participating Election Right is exercised.  Any ROFR Interests purchased by the
Partnership shall not be held directly or indirectly by Rochester Malls, LLC,
and shall not be directly or indirectly subject to the Participating Election
Right or the Partnership Call Right.

 

If, upon such right of
first refusal becoming exercisable, the Partnership (or its applicable
Subsidiary) determines in its sole discretion not to purchase the ROFR
Interests, the Partnership shall provide the Participating LP Representative
with the opportunity to purchase the applicable ROFR Interests pursuant to the
terms of the right of first refusal.  If
the Participating LP Representative so elects, the Partnership shall use its
reasonable best efforts to purchase (or cause its applicable Subsidiary to
purchase) for or on behalf of, and to assign, whether actually or beneficially,
the ROFR Interests to the Participating LP Representative or his designee at
the same cost paid by the Partnership pursuant to the right of first refusal;
provided, however that any and all costs reasonably incurred by the Partnership
with respect to such purchase and assignment shall be reimbursed by the
Participating LP Representative or his designee.  If the Participating LP Representative or his
designee purchases the ROFR Interests, the Partnership shall have the right,
but not the obligation, to purchase the ROFR Interests for the same price paid
by the Participating LP Representative or his designee; provided, however, that
such right shall be exercisable only if, and at such time as, both (i) the
Participating Election Right has expired and (ii) the Partnership Call
Right has expired or been waived.

 

If, upon any right of
first refusal becoming exercisable, neither the Partnership nor the
Participating LP Representative elects to purchase the ROFR Interests, the
Partnership shall provide Parent LP with the opportunity to purchase the

 

56

 

 

applicable ROFR Interests pursuant to the terms of the
right of first refusal.  If Parent LP so
elects, the Partnership shall use its reasonable best efforts to purchase (or
cause its applicable Subsidiary to purchase) for or on behalf of, and to
assign, whether actually or beneficially, the ROFR Interests to Parent LP or
its designee at the same cost paid by the Partnership pursuant to the right of
first refusal; provided, however that any and all costs reasonably incurred by
the Partnership with respect to such purchase and assignment shall be
reimbursed by Parent LP or its designee.

 

D.            Non-Competition

 

(1)           Parent
and Parent LP hereby agree that for a period of ten (10) years commencing
on the Effective Date, Parent and Parent LP will not, without the express
written Consent of the Participating LP Representative, directly or indirectly,
within a 10-mile radius of each of the Rochester Properties, (i) engage
in any activity which is competitive in any manner with the business of
Rochester Malls, LLC, as currently conducted, intended to be conducted or
conducted as of the Participating Redemption Date, or (ii) participate or
invest in, or provide financing to, any company, business, organization,
division, business unit or Person in the business of owning, operating,
leasing, developing or managing a retail shopping mall within such 10-mile
radius, provided, however, that Parent and Parent LP shall not be
in violation of this Section 8.7.D to the extent that it owns or operates
a property which would otherwise violate this Section 8.7.D if such
property became owned by Parent or Parent LP as part of a sale, merger,
consolidation or other business combination involving the General Partner that
complies with Section 11.2.B hereof. 
Further, Parent and Parent LP expressly agree that upon the exercise of
the Participating Election Right, Parent and Parent LP will take any action
necessary to acknowledge and reaffirm in writing its obligations in this Section 8.7.D
in any manner as may be requested by Participating LP Representative.

 

(2)           It
is specifically understood and agreed that any breach of the provisions of this
Section 8.7.D by Parent or Parent LP will result in irreparable injury to
the Participating Limited Partners, that the remedy at law alone will be an
inadequate remedy for such breach and that, in addition to any other remedy it
may have, the Participating Limited Partners shall be entitled to enforce the
specific performance of this Section 8.7.D against the other parties
hereto through both temporary and permanent injunctive relief without the
necessity of proving actual damages, but without limitation of their right to
damages and any and all other remedies available to them, it being understood
that injunctive relief is in addition to, and not in lieu of, such other
remedies.  In the event that any covenant
contained in this Section 8.7.D shall be determined by any court of
competent jurisdiction to be unenforceable by reason of its extending for too
great a period of time or over too great a geographical area or by reason of
its being too extensive in any other respect, it shall be interpreted to extend
only over the maximum period of time for which it may be enforceable and/or
over the maximum geographical area as to which it may be enforceable and/or to
the maximum extent in all other respects as to which it may be enforceable, all
as determined by such court in such action. 
The existence of any claim or cause of action which Parent or Parent LP
may have against any 

 

57

 

of the Participating Limited Partners shall not
constitute a defense or bar to the enforcement of any of the provisions of this
Section 8.7.D.

 

(3)           The
provisions of this Section 8.7.D were negotiated in good faith by the
parties hereto, and the parties hereto agree that such provisions are
reasonable and are not more restrictive than necessary to protect the
legitimate interests of the parties hereto.

 

Section 8.8.  Partnership Call Right

 

A.            For a
period of three (3) months beginning on December 1, 2009, the General
Partner shall have the right (the “Partnership Call Right”) to require
the Participating Limited Partners to redeem on thirty (30) days notice (the “Specified
Call Date”) all, but not less than all (subject to the adjustments
discussed below), of those Class A Preferred Units held by each such
Participating Limited Partner and set forth on Exhibit E attached
hereto, as such Exhibit may be amended from time to time, in exchange for
an in-kind distribution of all of the Rochester Properties Interests held by
the Partnership, which interests shall be distributed to the Participating
Limited Partners pro rata in proportion to their relative ownership of the
total number of Class A Preferred Units delivered in redemption in accordance
with this Section 8.8.  The
Partnership Call Right shall be exercised pursuant to a written notice
delivered to the Participating Limited Partners by the Partnership.

 

B.            In
connection with such exchange the following adjustments shall be made:

 

(1)           If
there is a Rochester Decrease Amount, then the total number of Class A
Preferred Units required to be delivered by the Participating Limited Partners
shall be reduced by a number of Class A Preferred Units equal to the
Rochester Decrease Amount divided by $62.39 (as adjusted in accordance with the
principles of Section 8.9.G in the case of certain dividends,
subdivisions, or combinations with respect to the Class A Preferred Units)
to reflect the decrease in the equity value of the Rochester Interests since
the Effective Date.  The reduction in the
number of Class A Preferred Units delivered shall be made on a pro rata
basis among the holders of the Class A Preferred Units set forth on Exhibit E
attached hereto, as such Exhibit may be amended from time to time.

 

(2)           If
there is a Rochester Increase Amount, then the Participating Limited Partners
shall be required to supplement the Class A Preferred Units delivered in
the exchange with a cash payment equal to the Net Owed Amount, subject to the
following sentence.  In the event that
there is a Net Owed Amount payable on the Specified Call Date, then, prior to
the effective date of such exchange and in lieu of a cash payment, the General
Partner shall use its good faith efforts to cause Rochester Malls, LLC to
borrow cash in an amount equal to the Net Owed Amount, which cash shall be
distributed by Rochester Malls, LLC to the Partnership prior to the Specified
Call Date.  Such Net Owed Amount Financing
may be obtained from a third-party or from the General Partner, Parent or
Parent LP, but shall in no event be obtained from the Partnership.  Such Net Owed Amount Financing shall have a
term of at least 2.5 years 

 

58

 

and shall bear a rate of interest and have such other
terms as agreed upon between the lender and Rochester Malls, LLC.  The financial, legal and economic terms of
any such Net Owed Amount Financing shall be subject to approval by the
Participating LP Representative, which approval may not be unreasonably
withheld or delayed.

 

(3)           In
addition to the foregoing adjustments, the number of Class A Preferred
Units or other consideration delivered by the Participating Limited Partners in
this exchange shall be adjusted, up or down as appropriate, as a result of a
customary working capital adjustment that takes into account changes in the
working capital (current assets less current liabilities) of Rochester Malls,
LLC and its Subsidiaries owning directly or indirectly the Rochester Properties
between the Effective Date and the consummation of the Partnership Call Right,
with the objective that there will be no net working capital in the Rochester
Malls, LLC at the consummation of the Partnership Call Right.  Such adjustment may be settled through the
methods described in either clause (1) or (2) above, as appropriate.

 

C.            At the
consummation of the Partnership Call Right, the Partnership shall also deliver
a cash amount to the Participating Limited Partners equal to the amount, if
any, owing to the holders of the Class A Preferred Units as a result of
any Cumulative Unpaid Class A Preferred Return Amount and the Pro-Rated
Preferred Amount attributable to such Class A Preferred Units as of the
Specified Call Date.  Each Participating
Limited Partner shall have no right, with respect to any Class A Preferred
Units so redeemed, to receive any distributions with a Partnership Record Date
on or after the Specified Call Date. 
Notwithstanding anything in this Agreement to the contrary, each
Participating Limited Partner may assign and delegate all or a portion of its
rights and obligations under Section 8.7 hereof and this Section 8.8
to another Class A Preferred Unitholder to the extent of such Partner’s Class A
Preferred Units owned of record or beneficially, which are not already set
forth on Exhibit E hereto.

 

D.            All Class A
Preferred Units delivered for redemption shall be delivered to the Partnership
or the General Partner, as the case may be, free and clear of all liens and
encumbrances (other than those that will be terminated as of the effective date
of the redemption of Class A Preferred Units pursuant to this Section 8.8)
unless the Partnership waives such requirement in writing.  If any state or local property transfer tax
is payable as a result of the transfer of Class A Preferred Units to the
Partnership or the General Partner pursuant to the Partnership Call Right, the
Partnership shall assume and pay such transfer tax.

 

E.             Other
than pursuant to Section 8.7 hereof or this Section 8.8, the
Partnership shall not sell, transfer or otherwise dispose of any of the
Rochester Interests or any direct or indirect interests in the Rochester
Properties on or before December 1, 2007 (the “Expiration Date”),
provided, however, that a sale, merger, consolidation or other business
combination involving the General Partner shall not constitute a violation of
this Section 8.8.E so long as such transaction complies with Section 11.2.B.  In the event of any sale, transfer, or other
disposition by the Partnership of any of the Rochester Interests or any direct
or indirect interest in one or more of the land or improvements constituting
the Rochester Properties prior to the lapse or exercise of the Partnership Call
Right (other than by reason of the complete or partial destruction, casualty,
loss, condemnation or involuntary conversion of such land or improvements), the
Partnership Call Right shall immediately terminate and be of no further force 

 

59

 

or effect.  Notwithstanding any
other provision of this Agreement otherwise permitting an action or obligation,
the General Partner, the Partnership and Parent shall not take any other
action, or fail to take any other action, or enter into any other obligations
(including Encumbrances) that would reasonably be expected to impair or hinder
the parties’ ability to, or delay the, transfer of the Rochester Interests upon
exercise of the rights in either Section 8.7 hereof or this Section 8.8
or that would be reasonably expected to impair the value of the Rochester
Properties; provided, however that the Participating LP Representative has
first given notice to the Partnership that a breach of the foregoing has
occurred and a reasonable time to cure such violation provided that in no event
shall such cure period impair in any respect, the exercise of the Participating
Election Right provided, further, that no action taken with the approval of the
Participating LP Representative pursuant to Section 7.1.B hereof, and no
action failed to be taken because consent was requested but not granted
pursuant to Section 7.1.B hereof shall be deemed to violate this Section 8.8.E.

 

F.             Each
Participating Limited Partner agrees to execute such documents as the General
Partner may reasonably require in connection with this Section 8.8.

 

Section 8.9.  Class A Preferred
Unit Conversion Right

 

A.            Each Class A
Preferred Unitholder shall have the right to convert at any time (and from time
to time) all or a portion of its Class A Preferred Units into Common Units
(based upon the Conversion Rate (as defined below)).  In the event of a conversion of Class A
Preferred Units into Common Units hereunder, any Cumulative Unpaid Class A
Preferred Return Amount and the Pro-Rated Preferred Amount attributable to such
Units being converted shall be paid to the converting Class A Preferred
Unitholder in cash as of the Conversion Date (as defined below).  The Class A Preferred Units shall be
converted into Common Units as follows: the number of Common Units which a Class A
Preferred Unitholder shall be entitled to receive upon conversion shall be the
product obtained by multiplying the Conversion Rate by the number of Class A
Preferred Units being converted at such time. 
The “Conversion Rate” shall be the quotient obtained by dividing
the Class A Liquidation Preference by the Conversion Price.  The “Conversion Price,” shall, except
as adjusted pursuant to Section 8.9.G hereof, be $74.868.

 

B.            In the
event that any Class A Preferred Unitholder desires to convert any or all
of such holder’s Class A Preferred Units into Common Units pursuant to
this Section 8.9, such holder shall deliver to the General Partner at the
principal offices of the Partnership, or at such other office as may be
designated by the Partnership for notation, a written notice containing the
number of Class A Preferred Units that such holder intends to convert, the
balance of Class A Preferred Units retained by the Class A Preferred
Unitholder and, if applicable, the certificate or certificates evidencing such Class A
Preferred Units.  The General Partner
shall update the books and records of the Partnership in accordance with the
conversion and shall deliver a written notice to the Class A Preferred
Unitholder specifying (i) that such Class A Preferred Units have been
converted, (ii) the number of Common Units into which such Class A
Preferred Units were converted and (iii) the balance of Class A
Preferred Units held by such holder, if any. 
To the extent that such Class A Preferred Units or Common Units are
certificated, the General Partner shall issue certificates representing the Class A
Preferred Units, if applicable, and Common Units after giving effect to the
conversion of the Class A Preferred Units to such holder.  The holder entitled to receive the Common Units
issuable upon such conversion shall be 

 

60

 

deemed for all purposes the record holder of such Common Units as of
the close of business on the date immediately preceding the date on which the
notice of conversion referenced above is received by the General Partner
(hereinafter, the “Conversion Date”).

 

C.            The
converting Limited Partner’s right to receive the Common Distribution Amount
with respect to the calendar quarter in which such Class A Preferred Units
are converted shall be pro-rated for the period commencing as of the day after
the Conversion Date and ending as of the end of the calendar quarter, based on
a 360-day year of twelve 30-day months.

 

D.            If at any
time prior to conversion of a Limited Partner’s Class A Preferred Units,
the General Partner declares a distribution in accordance with Article V
hereof and establishes the date for payment of such distribution on a date
other than the Partnership Record Date, the holder of Class A Preferred
Units at the close of business on the Partnership Record Date shall be entitled
to receive the distribution payable on such Class A Preferred Units on the
corresponding Partnership Payment Date notwithstanding the conversion of such Class A
Preferred Units following such Partnership Record Date and prior to such
Partnership Payment Date.  Except as
provided above, the Partnership shall make no payment or allowances for unpaid
distributions, whether or not in arrears, on converted Class A Preferred
Units or for distributions on the Common Units issued upon such conversion.

 

E.             No
fractional Common Units shall be issued upon conversion of the Class A
Preferred Units into Common Units, and, in lieu thereof, the Partnership shall
pay a cash adjustment in an amount equal to the same fraction of the Cash
Amount determined as of the Business Day which immediately precedes the
Conversion Date.

 

F.             Notwithstanding
anything in this Agreement to the contrary, the Participating Limited Partners
shall be prohibited from exercising the redemption right in Section 8.6
hereof or the conversion right in Section 8.9 hereof with respect to the Class A
Preferred Units set forth on Exhibit E attached hereto, as such Exhibit may
be amended from time to time, until the earlier of (i) August 31,
2010, and (ii) the waiver by the Partnership or termination pursuant to Section 8.8.E
hereof of the Partnership Call Right.

 

G.            Adjustments;
Change in Control Transactions

 

(1)           In
the event the General Partner shall at any time (i) pay a dividend or make
a distribution to holders of Common Units in the form of additional Common
Units, (ii) subdivide the Partnership’s outstanding
Common Units into a larger number of Common Units, or (iii) combine the
Partnership’s outstanding Common Units into a smaller number of Common Units,
the Conversion Price shall be adjusted by multiplying the Conversion Price by a
fraction, the denominator of which shall be the number of Common Units
outstanding immediately after such dividend, distribution, subdivision, combination
or reclassification and the numerator of which shall be the number of Common
Units outstanding immediately prior to such dividend, distribution,
subdivision, combination or reclassification. An adjustment made pursuant to
this clause (1) shall become effective immediately upon the opening of
business on the day following the record date in the case of a dividend or
distribution (except as provided in clause (4) of 

 

61

 

this Section 8.9.G) and shall become effective
immediately upon the opening of business on the day following the effective
date in the case of a subdivision, combination or reclassification.

 

(2)           Whenever
the Conversion Price shall be adjusted as herein provided, the General Partner
shall cause to be filed with the records of the Partnership a notation that the
Conversion Price has been adjusted and setting forth the adjusted Conversion
Price, together with an explanation of the calculation of the same.

 

(3)           No
adjustment in the Conversion Price shall be required unless such adjustment
would require a cumulative increase or decrease of at least one percent (1%) in
such price; provided, however, that any adjustment that by reason
of this clause (3) is not required to be made shall be carried
forward and taken into account in any subsequent adjustment until made; and
provided, further, that any adjustment shall be required and made in accordance
with the provisions of this Section 8.9.G (other than this clause (3)) not
later than such time as may be required in order to preserve the tax free
nature of a distribution to the holders of Common Units.  All calculations under this Section 8.9
shall be made to the nearest cent (with $.005 being rounded upward) and nearest
one-tenth of a Class A Preferred Unit or Common Unit (with .05 of a Class A
Preferred Unit or Common Unit being rounded upward), as the case may be.  Anything in this Section 8.9 to the
contrary notwithstanding, the General Partner shall be entitled, to the extent
permitted by law, to make such reductions in the Conversion Price, in addition
to those required by this Section 8.9, as in its discretion it shall
determine to be advisable in order that any dividend, distribution,
subdivision, reclassification or combination with respect to the Common Units,
hereafter made by the General Partner to the holders of Class A Preferred
Units or Common Units shall not be taxable.

 

(4)           In
any case in which this Section 8.9 provides that an adjustment shall
become effective on the date following the record date for an event, the
General Partner may defer until the occurrence of such event (i) issuing
to the holder of Class A Preferred Units converted after such record date
and before the occurrence of such event the additional Common Units issuable
upon such conversion by reason of the adjustment required by such event over
and above the Common Units issuable upon such conversion before giving effect
to such adjustment and (ii) fractionalizing any Class A Preferred
Units and/or paying to such holder any amount of cash in lieu of any fraction
pursuant to Section 8.9.E hereof.

 

(5)           There
shall be no adjustment of the Conversion Price in case of the issuance of any
Common Units in a reorganization, acquisition or other similar transaction
except as specifically set forth in this Section 8.9.

 

(6)           In
the case of dividends, subdivisions or combinations with respect to the Class A
Preferred Units, the redemption, conversion or exchange of such Units pursuant
to the provisions of this Agreement shall be equitably adjusted in accordance
with the principles of Section 8.9.G.

 

62

 

(7)           In
the case of dividends, subdivisions or combinations with respect to the Common
Units, the redemption, conversion or exchange of such Units pursuant to the
provisions of this Agreement shall be equitably adjusted in accordance with the
principles of Section 8.9.G.

 

H.            Each Class A
Preferred Unitholder agrees to execute such documents as the General Partner
may reasonably require in connection with this Section 8.9.

 

Section 8.10.  Parent LP Call Right and Partnership Unit
Put Right

 

A.            For a
period of twelve (12) months beginning on June 1, 2011, the General
Partner shall have the right to cause all (but not less than all) of the Limited
Partners (except for any of the Parent, General Partner, their respective
Subsidiaries or Affiliates, or any Parent Transferee, for whom the rights
provided under this Section 8.10.A shall apply individually at the General
Partner’s sole discretion) to exchange their Partnership Units for interests in
Parent LP (the “Parent LP Call Right”) and to cause Parent LP to issue
such interests.  Common Units shall be
exchanged for common units of Parent LP on a one-for-one basis (as adjusted in
accordance with the principles of Section 8.9.G hereof); Class A
Preferred Units not listed on Exhibit E shall be exchanged for Series N
partnership units of Parent LP on a one-for-one basis (as adjusted in
accordance with the principles of Section 8.9.G hereof); and Class A
Preferred Units listed on Exhibit E shall be exchanged for Series P
partnership units of Parent LP on a one-for-one basis (as adjusted in
accordance with the principles of Section 8.9.G hereof).

 

B.            Each
Limited Partner (other than the General Partner, Parent or their respective
Subsidiaries or Affiliates or Parent Transferee) shall have the following
rights (the “Partnership Unit Put Right”) during each of the Put
Windows:

 

(1)           For
a period of twelve (12) months beginning on April 25, 2008 (the “First Put
Window”), each Limited Partner (other than the General Partner, Parent or
their respective Subsidiaries or Affiliates or Parent Transferee) shall have
the right to exchange (i) up to, in the aggregate, fifty percent (50%) of
the Common Units held by such Limited Partner on the Effective Date for common
units of Parent LP on a one-for-one basis (subject to equitable adjustment for
customary changes in capitalization) and (ii) up to, in the aggregate,
fifty percent (50%) of the Class A Preferred Units (other than Units
listed on Exhibit E) held by such Limited Partner on the Effective
Date for Series N partnership units of Parent LP on a one-for-one basis
(subject to equitable adjustment for customary changes in capitalization).  For the avoidance of doubt, (i) Units
listed on Exhibit E may not be exchanged pursuant to this Section 8.10
during the First Put Window and (ii) the maximum number of Class A
Preferred Units that can be exchanged by each Limited Partner during the First
Put Window is (x) fifty percent (50%) of (y) the Class A Preferred Units
held by such Limited Partner that are not listed on Exhibit E as of
the Effective Date.

 

(2)           For
a period of twelve (12) months beginning on June 1, 2011 (the “Second
Put Window”), each Limited Partner (other than the General Partner, Parent
or 

 

63

 

their respective Subsidiaries or Affiliates or any
Parent Transferee) shall have the right to exchange (i) all or part of the
Common Units held by such Limited Partner for common units of Parent LP on a
one-for-one basis (subject to equitable adjustment for customary changes in
capitalization); (ii) all or part of the Class A Preferred Units held
by such Limited Partner (other than Units listed on Exhibit E) for Series N
partnership units of Parent LP on a one-for-one basis (subject to equitable
adjustment for customary changes in capitalization); and (iii) all or part
of the Class A Preferred Units held by such Limited Partner listed on Exhibit E
for Series P partnership units of Parent LP on a one-for-one basis
(subject to equitable adjustment for customary changes in capitalization).

 

C.            Upon
written notice of the exercise of the Partnership Unit Put Right received by
the General Partner during any of the Put Windows, Parent LP is required to
exchange the Units (and the Parent shall cause Parent LP to exchange the Units)
subject to such notice pursuant to the terms of this Section 8.10 on or
before the tenth (10th) Business Day after its receipt of such notice.  However, in no event shall Parent LP or the
General Partner exchange a number of Units for any Limited Partner greater than
the number of Units such Limited Partner is allowed to exchange under this Section 8.10
during the Put Window in which the notice is given.

 

D.            Without
limiting the foregoing, (a) any exchange pursuant to the Parent LP Call
Right shall be effected as a transaction described in either Section 721(a) of
the Code or Section 731(a) of the Code (or applicable successor
provisions) pursuant to which no gain or loss is required to be recognized by
any Limited Partner (other than the General Partner, Parent or their respective
Subsidiaries or Affiliates or Parent Transferee), (b) the General Partner
shall not be entitled to cause any exchange pursuant to the Parent LP Call
Right unless the amount of Nonrecourse Liabilities properly allocable to each
Wilmorite Limited Partner immediately after the exchange is no less than the
amount of Nonrecourse Liabilities (in conjunction with Section 10.9)
allocable to such Wilmorite Limited Partner immediately prior to the exchange,
and (c) in connection with an exercise of the Partnership Unit Put Right
and to the extent permitted by law, the General Partner will not affirmatively
take any action to cause such exchange to fail to qualify as a transaction
described in either Section 721(a) of the Code or Section 731(a) of
the Code (or applicable successor provisions) pursuant to which no gain or loss
will be required to be recognized by any Limited Partner (other than the
General Partner, Parent or their respective Subsidiaries or Affiliates or
Parent Transferee).

 

E.             At the
consummation of the Parent LP Call Right or the Partnership Unit Put Right with
respect to a Limited Partner, (x) Parent LP and such Limited Partner shall
execute an amendment to Parent LP’s partnership agreement substantially in the
form of Exhibit H and shall execute the tax protection agreement
substantially in the form of Exhibit I, and (y) Parent LP shall pay
in cash the amount, if any, of the Cumulative Unpaid Class A Preferred
Amount and the Cumulative Unpaid Common Amount, as applicable, with respect to
the Units being exchanged.

 

64

 

ARTICLE IX - BOOKS, RECORDS, ACCOUNTING AND REPORTS

 

Section 9.1.  Records and Accounting

 

The General Partner shall keep or cause to be kept at
the principal office of the Partnership those records and documents required to
be maintained by the Act and other books and records deemed by the General
Partner to be appropriate with respect to the Partnership’s business,
including, without limitation, all books and records necessary to provide to
the Limited Partners any information, lists and copies of documents required to
be provided pursuant to Section 9.3 hereof.  Any records maintained by or on behalf of the
Partnership in the regular course of its business may be kept on, or be in the
form of, punch cards, magnetic tape, photographs, micrographics or any other
information storage device, provided that the records so maintained are
convertible into clearly legible written form within a reasonable period of
time.  The books of the Partnership shall
be maintained for financial reporting purposes in accordance with GAAP or such
other basis as the General Partner determines to be necessary or
appropriate.  Sufficient records shall be
maintained to adjust the financial reporting books to report taxable income to
taxing authorities.

 

Section 9.2.  Taxable Year and Fiscal Year

 

The taxable year of the Partnership shall be the shall
be the calendar year unless otherwise required by the Code.  The fiscal year of the Partnership shall be
the same as its taxable year.

 

Section 9.3.  Reports

 

A.            As soon
as practicable, but in no event later than the date on which Parent mails its
annual report to its stockholders, the General Partner shall cause to be mailed
to each Limited Partner, as of the close of the Partnership Year, an annual
report containing financial statements of the Partnership, or of the General
Partner or Parent if such statements are prepared solely on a consolidated
basis with the General Partner or Parent, for such Partnership Year, presented
in accordance with GAAP.

 

B.            As soon
as practicable, the General Partner shall cause to be mailed to each Limited
Partner, a report containing unaudited financial statements of the Partnership,
or of the General Partner or Parent, if such statements are prepared solely on
a consolidated basis with the General Partner or Parent, and such other
information as may be required by applicable law or regulation, or as the
General Partner determines to be appropriate.

 

ARTICLE X
- TAX MATTERS

 

Section 10.1.  Preparation of Tax Returns

 

The General Partner shall arrange for the preparation
and timely filing of all returns of Partnership income, gains, deductions,
losses and other items required of the Partnership for federal and state income
tax purposes and shall use reasonable efforts to furnish the tax information
reasonably required by Limited Partners for federal and state income tax
reporting purposes reasonably in advance of the due date (including extensions)
for filing the Partnership’s 

 

65

 

tax returns.  The General Partner
shall be responsible for preparing and filing all tax returns and reports
required to be filed after the Effective Date, including any tax returns and
reports in respect of taxable periods ending on or prior to the Effective Date
(“Pre-Closing Period Returns”) and any tax returns and reports in
respect of taxable periods beginning prior to, and ending after, the Effective
Date (“Straddle Period Returns,” and together with the Pre-Closing
Period Returns, the “Applicable Tax Returns”).  To the extent permitted by law, all
Applicable Tax Returns shall be prepared in a manner materially consistent with
the past practice of the Partnership and in consultation with the Limited
Partner Tax Representative.  Drafts of
all Applicable Tax Returns shall be provided to the Limited Partner Tax
Representative at least 30 days prior to the anticipated filing date for such
return for its review and approval.  The
Partnership shall make any changes to an Applicable Tax Return as is reasonably
requested by the Limited Partner Tax Representative provided that such change
is timely provided and is not materially inconsistent with the past practice of
the Partnership or contrary to applicable law. 
The Partnership shall not amend any Applicable Tax Return without the
prior written consent of the Limited Partner Tax Representative, which consent
may not be unreasonably withheld, conditioned or delayed.

 

Section 10.2.  Tax Elections

 

Except as otherwise provided herein, the General
Partner shall, in its sole and absolute discretion, determine whether to make
any available election pursuant to the Code; provided, however, that the
General Partner shall make (and shall not revoke) the election under Section 754
of the Code with respect to the Partnership and, to the extent that such
election is within the control of the Partnership, the General Partner or
Parent LP, any other entity in which the Partnership owns a direct or indirect
interest that is treated as a partnership for U.S. tax purposes in accordance
with applicable Regulations thereunder. 
Except as otherwise provided herein, the General Partner shall have the
right to seek to revoke any tax election it makes in its sole and absolute
discretion.

 

Section 10.3.  Tax Matters Partner; Certain Disputes

 

A.            The
General Partner shall be the “tax matters partner” of the Partnership for
federal income tax purposes.  Pursuant to
Section 6230(e) of the Code, upon receipt of notice from the IRS of
the beginning of an administrative proceeding with respect to the Partnership,
the tax matters partner shall furnish the IRS with the name, address, taxpayer
identification number, and profit interest of each of the Limited Partners; provided,
however, that such information is provided to the Partnership by the
Limited Partners.

 

B.            The tax
matters partner is authorized, but not required:

 

(1)           to
enter into any settlement with the IRS with respect to any administrative or
judicial proceedings for the adjustment of Partnership items required to be
taken into account by a Partner for income tax purposes (such administrative
proceedings being referred to as a “tax audit” and such judicial
proceedings being referred to as “judicial review”), and in the
settlement agreement the tax matters partner may expressly state that such
agreement shall bind all Partners, except that such settlement agreement shall
not bind any Partner (a) who (within the time prescribed 

 

66

 

pursuant to the Code and Regulations) files a
statement with the IRS providing that the tax matters partner shall not have
the authority to enter into a settlement agreement on behalf of such Partner;
or (b) who is a “notice partner” (as defined in Section 6231(a)(8) of
the Code) or a member of a “notice group” (as defined in Section 6223(b)(2) of
the Code);

 

(2)           in
the event that a notice of a final administrative adjustment at the Partnership
level of any item required to be taken into account by a Partner for tax
purposes (a “Final Adjustment”) is mailed to the tax matters partner, to
seek judicial review of such final adjustment, including the filing of a
petition for readjustment with the Tax Court or the filing of a complaint for
refund with the United States Claims Court or the District Court of the United
States for the district in which the Partnership’s principal place of business
is located;

 

(3)           to
intervene in any action brought by any other Partner for judicial review of a
final adjustment;

 

(4)           to
file a request for an administrative adjustment with the IRS and, if any part
of such request is not allowed by the IRS, to file an appropriate pleading
(petition or complaint) for judicial review with respect to such request;

 

(5)           to
enter into an agreement with the IRS to extend the period for assessing any tax
which is attributable to any item required to be taken account of by a Partner
for tax purposes, or an item affected by such item; and

 

(6)           to
take any other action on behalf of the Partners or the Partnership in
connection with any tax audit or judicial review proceeding to the extent
permitted by applicable law or regulations.

 

The taking of any action and the incurring of any
expense by the tax matters partner in connection with any such proceeding,
except to the extent required by law, is a matter in the sole and absolute
discretion of the tax matters partner and the provisions relating to indemnification
of the General Partner set forth in Section 7.7 hereof shall be fully
applicable to the tax matters partner in its capacity as such.  The Limited Partners shall not be entitled to
cause the tax matters partner to take any of the actions described in clauses (1) through
(6) above.

 

C.            The tax
matters partner shall receive no compensation for its services.  All third-party costs and expenses incurred
by the tax matters partner in performing its duties as such (including legal
and accounting fees and expenses) shall be borne by the Partnership.  Nothing herein shall be construed to restrict
the Partnership from engaging an accounting or law firm to assist the tax
matters partner in discharging its duties hereunder, so long as the
compensation paid by the Partnership for such services is reasonable.

 

D.            Notwithstanding
anything to the contrary in this Agreement, if any notice of audit, claim or
demand (including any requests for information, IDRs or similar preliminary
administrative action) (a “Tax Proceeding”) relating to any Applicable
Tax Return is asserted against the Partnership, the General Partner shall
notify the Limited Partner Tax Representative 

 

67

 

of such notice, claim or demand within five (5) Business Days of
receipt thereof, and shall provide the Limited Partner Tax Representative with
copies of any correspondence received from the applicable taxing authority and
such other information with respect thereto as requested by the Limited Partner
Tax Representative.  The Limited Partner
Tax Representative may participate in, and upon notice to the General Partner,
may assume the defense of such Tax Proceeding. 
If the Limited Partner Tax Representative assumes such defense, the
General Partner shall be entitled to participate in the Tax Proceeding at its
request, and upon such request, the Limited Partner Tax Representative shall
cooperate in good faith with the General Partner regarding the conduct of such
proceeding, it being understood that the Limited Partner Tax Representative
shall not settle any such Tax Proceeding on behalf of the Partnership without
the written consent of the General Partner, such consent not to be unreasonably
withheld or delayed.  The General Partner
shall execute any documents, including powers of attorney, and provide such
other cooperation as reasonably requested by the Limited Partner Tax
Representative in order to permit the Limited Partner Tax Representative to
conduct any such Tax Proceeding.

 

Section 10.4.  Organizational Expenses

 

The Partnership shall elect to deduct expenses, if
any, incurred by it in organizing the Partnership ratably over the period
provided in Section 709 of the Code.

 

Section 10.5.  Withholding

 

Each Limited Partner hereby authorizes the Partnership
to withhold from, or pay on behalf of or with respect to, such Limited Partner
any amount of federal, state, local, or foreign taxes that the General Partner
determines that the Partnership is required to withhold or pay with respect to
any amount distributable or allocable to such Limited Partner pursuant to this
Agreement, including, without limitation, any taxes required to be withheld or
paid by the Partnership pursuant to Sections 1441, 1442, 1445, and 1446 of the
Code.  Any amount paid on behalf of or
with respect to a Limited Partner shall constitute a loan by the Partnership to
such Limited Partner, which loan shall be repaid by such Limited Partner within
fifteen (15) days after notice from the General Partner that such payment must be
made unless (i) the Partnership withholds such payment from a distribution
which would otherwise be made to the Limited Partner, (ii) the General
Partner determines, in its sole and absolute discretion, that such payment may
be satisfied out of the available funds of the Partnership which would, but for
such payment, be distributed to the Limited Partner or (iii) treatment as
a loan would jeopardize Parent’s status as a REIT and Parent has not elected to
cease qualifying as a REIT (in which case the payment shall be satisfied out of
future distributions to the Limited Partner). 
Any amounts withheld pursuant to the foregoing clauses (i), (ii) or
(iii) shall be treated as having been distributed to such Limited
Partner.  Each Limited Partner hereby
unconditionally and irrevocably grants to the Partnership a security interest
in such Limited Partner’s Partnership Interest to secure such Limited Partner’s
obligation to pay to the Partnership any amounts required to be paid pursuant
to this Section 10.5.  In the event
that a Limited Partner fails to pay any amounts owed to the Partnership
pursuant to this Section 10.5 when due, the General Partner may, in its
sole and absolute discretion, elect to make the payment to the Partnership on
behalf of such defaulting Limited Partner, and in such event shall be deemed to
have loaned such amount to such defaulting Limited Partner and shall succeed to
all rights and remedies of the Partnership as against such defaulting Limited
Partner.  Without limitation, in such
event the General Partner 

 

68

 

shall have the right to receive distributions that would otherwise be
distributable to such defaulting Limited Partner until such time as such loan,
together with all interest thereon, has been paid in full, and any such
distributions so received by the General Partner shall be treated as having
been distributed to the defaulting Limited Partner and immediately paid by the
defaulting Limited Partner to the General Partner in repayment of such
loan.  Any amounts payable by a Limited
Partner hereunder shall bear interest at the lesser of (A) the base rate
on corporate loans at large United States money center commercial banks, as
published from time to time in The Wall Street Journal, plus four
(4) percentage points, or (B) the maximum lawful rate of interest on
such obligation, such interest to accrue from the date such amount is due
(i.e., fifteen (15) days after demand) until such amount is paid in full.  Each Limited Partner shall take such actions
as the Partnership or the General Partner shall request in order to (i) perfect
or enforce the security interest created hereunder and (ii) cause any loan
arising hereunder to be treated as a real estate asset for purposes of Section 856(c)(4)(A) of
the Code.

 

Section 10.6.  Conversions

 

Except as may be required by law, a conversion of Class A
Preferred Units into Common Units pursuant to Section 8.6 or Section 8.9
hereof or otherwise shall not be treated as (i) a taxable event to either
the Partnership or the converting Class A Preferred Unitholder or (ii) an
event requiring any special allocations of Partnership tax items that would not
have been made absent such conversion.

 

Section 10.7.  Defined Terms

 

For purposes of this Article X, the following
definitions shall apply:

 

“Applicable Protection Period” shall mean, with
respect to a Tier 1 Protected Asset, the Tier 1 Protection Period and with
respect to a Tier 2 Protected Asset, the Tier 2 Protection Period.

 

“Protected Assets” shall mean the Tier 1
Protected Assets and the Tier 2 Protected Assets.

 

“Protected Parties” shall mean (i) each
Wilmorite Limited Partner, (ii) each direct or indirect owner of a
Wilmorite Limited Partner that is required to include in its taxable income any
portion of the income or gains of the Partnership on a current basis (a “Flow
Through Owner”), and (iii) each Person who acquires an interest in the
Partnership from a Wilmorite Limited Partner or Flow Through Owner in a
transaction in which such Person’s adjusted basis in such interest for federal
income tax purposes is determined in whole or in part by reference either to
such Person’s basis in other property or the Wilmorite Limited Partner’s or
Flow Through Owner’s basis in such interest, in each case other than the
Company, Parent or any of their respective Subsidiaries or Affiliates or any
Parent Transferee.  For the avoidance of
doubt, (x) a person who acquires direct or indirect interests in the
Partnership as a result of the death of a Protected Party shall not be
considered a Protected Party with respect to such direct or indirect interests
in the Partnership if such person received a stepped-up basis, for federal
income tax purposes, in such direct or indirect interests in the Partnership,
and (y) upon the complete redemption of direct or indirect interests in the
Partnership from any Protected Party, such person 

 

69

 

or entity holding such direct or indirect interests in the Partnership
shall cease to be a Protected Party, except with respect to any breaches
occurring prior to the date of such complete redemption (regardless of when
such breach is actually discovered or claimed).

 

“Tier 1 Protected Assets” shall mean those
assets of the Partnership set forth on Schedule 10.7 under the
heading “Tier 1 Protected Assets,” and any assets which become Tier 1 Protected
Assets pursuant to Section 10.8.A hereof.(2)

 

“Tier 2 Protected Assets” shall mean those
assets of the Partnership set forth on Schedule 10.7 under the
heading “Tier 2 Protected Assets,” and any assets which become Tier 2 Protected
Assets pursuant to Section 10.8.B hereof.

 

“Wilmorite Limited Partners” shall mean the
persons whose names are set forth on Schedule 10.7 under the
heading “Wilmorite Limited Partners.”

 

Section 10.8.  Lock Out

 

A.            Except as
expressly permitted by this Section 10.8, neither the Partnership nor any
entity in which the Partnership holds a direct or indirect interest shall,
directly or indirectly, sell, transfer or otherwise actually or constructively
dispose of or permit the actual or deemed disposition, other than any deemed
distribution by reason of entering into this Agreement (in each case, a “Disposition”)
(i) of any of the Tier 1 Protected Assets, or any direct or indirect
interest therein, prior to the 20th anniversary of the Effective Date (the
period from the Effective Date through such date, the “Tier 1 Protection
Period”) or (ii) of any of the Tier 2 Protected Assets, or any direct
or indirect interest therein, prior to the 10th anniversary of the Effective
Date (the period from the Effective Date through such date, the “Tier 2
Protection Period”).  Notwithstanding
the foregoing, the Partnership (or other entity referred to in the preceding
sentence) shall have the right, during the Applicable Protection Period: (i) to
consummate any Disposition of all or any portion of any Protected Asset in a
transaction with respect to which no income or gain would be required to be
recognized by any Protected Party under the Code and any applicable state or
local tax law (a “Tax-Deferred Exchange”), (ii) to consummate any
Disposition of the Rochester Interests pursuant to an exercise of the
Participating Election Right or the Partnership Call Right or (iii) except
with respect to the Partnership’s direct or indirect interests in Tysons Corner
Center and Tysons Corner Office Building, to consummate any Disposition
pursuant to the exercise, by a Person other than the Partnership or its
Affiliates and in the absence of any action by the Partnership or its
Affiliates giving rise to such Person’s right to exercise, of their rights
under any buy-sell agreement, call option or similar contractual arrangement to
which such assets are subject as of the Effective Date, provided that the
General Partner uses good faith efforts to structure any such Disposition as a
tax-free like-kind exchange under Code Section 1031.  In situations where the Partnership engages
in a wholly or partially Tax-Deferred Exchange involving a Protected Asset, the
property (or as applicable, the portion thereof) received on a tax-deferred
basis in exchange for 

 

(2)             Tier
1 assets are Danbury Fair Mall, Freehold Raceway Mall, Tysons Corner Center,
Tysons Corner Office Building and Eastview Mall.  Tier 2 consists of all other properties other
than the “Excluded Properties” (as defined in the Merger Agreement (and which
will include the management companies)).

 

70

 

such Protected Asset shall be treated as a Tier 1 Protected Asset or a
Tier 2 Protected Asset, as applicable, for all purposes under this Agreement.

 

B.            If the
Partnership contributes or otherwise transfers any Protected Asset directly or
indirectly to any partnership or other entity in which the Partnership holds or
will hold a direct or indirect interest, then as a condition to such
contribution or transfer the Partnership shall require that the transferee
grant the Partnership rights with respect to such Protected Asset substantially
similar to those contained in Sections 10.8 to 10.13 hereof.

 

Section 10.9.  Debt Allocations and Related Matters

 

The Partnership shall, at all times during the Tier 1
Protection Period, maintain nonrecourse indebtedness (including for the
avoidance of doubt the Partnership’s share of nonrecourse indebtedness from any
other entity, including without limitation Parent LP) which qualifies as “qualified
nonrecourse financing” within the meaning of Section 465(b)(6)(B) of
the Code that is properly allocable to each Wilmorite Limited Partner pursuant
to Section 752 of the Code and the Regulations thereunder in an amount at
least equal to 120% of the amount of income and gain that as of the Effective
Date would be required to be recognized by such Wilmorite Limited Partner
pursuant to Section 731(a)(1) of the Code (including by reason of Section 752(b) of
the Code) if no Partnership nonrecourse liabilities were properly allocable to
such Wilmorite Limited Partner (the “Required Nonrecourse Debt Amount”),
which Required Nonrecourse Debt Amount shall be 120% of the amount set forth on
Schedule 10.9.  Schedule 10.9
initially shall be prepared based on estimates as of December 31, 2004
provided by the Wilmorite Limited Partners, but shall be updated promptly by
the General Partner based on actual data as of the Effective Date when such
information is available. 
Notwithstanding the foregoing, if the General Partner determines that
the aggregate amount that should have been set forth on Schedule 10.9
(determined as of December 31, 2004) is greater than 110% of the aggregate
estimate amount as of December 31, 2004 provided by the Wilmorite Limited
Partners on Schedule 10.9, then the Required Nonrecourse Debt Amount shall
be an aggregate amount equal to 120% of 110% of the amount set forth on the
estimated Schedule 10.9, as adjusted for operations of the
Partnership from December 31, 2004 through the Effective Date (with the
amount set forth with respect to each Wilmorite Limited Partner reduced
proportionately).  For purposes of this
Agreement, a “Wilmorite Limited Partner” shall include each Person who
acquires an interest in the Partnership from a Wilmorite Limited Partner in a
transaction in which such Person’s adjusted basis in such interest for federal
income tax purposes is determined in whole or in part by reference either to
such Person’s basis in other property or the Wilmorite Limited Partner’s basis
in such interest, in each case other than Parent or any Affiliate of Parent or
any Parent Transferee, provided that such transferee has executed this
Agreement.  Notwithstanding the
foregoing, (x) a Wilmorite Limited Partner who acquires direct or indirect
interests in the Partnership as a result of the death of a Wilmorite Limited
Partner shall not be considered a Wilmorite Limited Partner with respect to
such interests if such Person received a stepped-up basis, for federal income
tax purposes, in such interests, and (y) upon the complete redemption of direct
or indirect interests in the Partnership from any Protected Party, such Person
holding such interests shall cease to be a Wilmorite Limited Partner, except
with respect to any breaches occurring prior to the date of such complete
redemption (regardless of when such breach is actually discovered or claimed).

 

71

 

Section 10.10.  Periods after the Protection Period

 

A.            The
Partnership and Parent LP shall, at all times after the Tier 1 Protection
Period, make available to each Wilmorite Limited Partner the opportunity (a “Guarantee
Opportunity”) to make a “bottom guarantee” of indebtedness pursuant
to the same procedures and conditions as are specified in Section 7.5 of
the limited partnership agreement of Parent LP, a copy of which shall be
provided to any Wilmorite Limited Partner upon such partner’s request.

 

B.            To the
extent permitted by Regulations Section 1.752-3(a)(3), with respect
to each Wilmorite Limited Partner, the Partnership shall allocate, and with
respect to the Partnership, Parent LP shall allocate, and each of the
Partnership and Parent LP shall (to the extent permitted by the applicable
partnership agreement) cause any other entity in which they have a direct or
indirect interest to allocate, “excess nonrecourse liabilities,” as
defined in Regulations Section 1.752-3(a)(3) directly and indirectly
to the Partnership and the Wilmorite Limited Partners, respectively, up to the
amount of built-in gain that is allocable to such partner with respect to Section 704(c) property
(as defined under Regulations Section 1.704-3(a)(3)(ii)) or property
for which reverse 704(c) allocations are applicable (as described in
Regulations Section 1.704-3(a)(6)(i)), less amounts previously taken
into account under Regulations Sections 1.752-3(a)(1) and 1.752-3(a)(2).

 

C.            The
Partnership and Parent LP acknowledge that the purpose and intent of providing
Guarantee Opportunities to the Wilmorite Limited Partners is to result in the
guaranteed liability being treated as a “recourse” liability as defined
in Regulations Section 1.752-1(a)(1) with respect to the guaranteeing
Wilmorite Limited Partner to the extent of the amount of such guarantee.  Except to the extent required by law or
otherwise determined in a final judicial proceeding in which the affected
Wilmorite Limited Partners have been granted the opportunity to participate,
the Partnership and Parent LP shall file, and shall cause to the extent within
their control any entity in which they directly or indirectly own an interest
to file, their respective tax returns and reports in a manner consistent with
the treatment of any such guaranteed liability as a recourse liability with
respect to the guaranteeing Wilmorite Limited Partner to the extent of the
amount guaranteed.  Notwithstanding the
foregoing, the Partnership and Parent LP make no representation or warranty to
any Wilmorite Limited Partner that providing a “bottom guarantee” shall
result in the desired treatment of the liability as a recourse liability for
purposes of Section 752 of the Code.

 

Section 10.11.  Partnership Tax Status

 

The Partnership shall not elect to be treated as an
association taxable as a corporation for U.S. federal or any applicable state
tax purposes, and the Partnership and the General Partner shall take all
actions, and refrain from taking all actions, as necessary to prevent the
Partnership from being treated as an association or publicly traded partnership
taxable as a corporation for U.S. federal or any applicable state income tax
purposes.

 

Section 10.12.  704(c) Allocation Method

 

The Partnership and each entity in which the Partnership
holds a direct or indirect interest shall, with respect to each asset
comprising the Protected Assets, use the “traditional method” 

 

72

 

under Section 704(c) of the Code and the Regulations thereunder
with no curative or remedial allocations.

 

Section 10.13.  Indemnification

 

A.            If the
Partnership breaches any obligation set forth in Sections 10.8, 10.9, 10.10,
10.11 or 10.12 of this Article X, (a “Recognition Event”), then
Parent LP shall pay to each Protected Party an amount equal to the sum of: (1) the
product of the aggregate income or gain recognized by such Protected Party
solely by reason of such breach, multiplied by the highest combined federal,
state and local income tax rate to which such Protected Party is subject with
respect to income or gain of the type or types recognized; plus (2) the
aggregate federal, state and local income taxes (determined based on the tax
rates and assumptions in (1) above and treating any such payment as ordinary
income) for which such Protected Party becomes liable as a result of the
receipt of the payments required by this Section 10.13 (including, without
limitation, payments received pursuant to this clause (2), ((1) and (2) together,
the “Gross-Up Amount”).  In the
event of a Recognition Event with respect to any Protected Party, the
Partnership shall use commercially reasonable efforts to promptly notify each
such Protected Party in writing of such breach, which requirement may be
satisfied by delivery of notice to each applicable Wilmorite Limited Partner,
including with such notification an estimate of the amount and character of any
income or gain to be recognized by such Protected Party and the Gross-Up Amount
with respect to such Protected Party. 
The payment of the Gross-Up Amount for each Recognition Event shall be
made at least five (5) Business Days prior to the next date upon which
estimated U.S. federal income taxes are required to be paid by
individuals;  provided, however, that
Parent LP may by written notice delivered to each Protected Party at least
sixteen (16) days in advance of the date on which such Gross-Up Amount would
otherwise be due, require such Protected Party to certify to Parent LP the
amount of the Gross-Up Amount it intends to apply to U.S. federal, state and
any applicable local estimated tax payments believed in good faith to be owed
by such Protected Party as a result of the Recognition Event (including by
reason of receipt of the Gross-Up Amount).  
If (1) any such certification is requested in accordance with the
foregoing and not received by Parent LP by the day prior to the date a Gross-Up
Amount would otherwise be due or (2) such certification shows that such
Protected Party’s estimated tax payments believed in good faith to be owed by
such Protected Party as a result of the Recognition Event (including by reason
of receipt of the Gross-Up Amount) will be less than the Gross-Up Amount, then,
as to a failure to provide a certification, Parent LP need not pay the Gross-Up
Amount until March 31st of the next calendar year, and as to any increase
in a Protected Party’s estimated tax payments, Parent LP shall timely pay such
increase in its estimated tax payment amount to such Protected Party on the
date provided above, with any remaining portion of the Gross-Up Amount to be
paid no later than March 31st of the next calendar year.  For purposes of this Section 10.13.A., (i) any
amounts giving rise to a payment pursuant to this Section 10.13.A will be
determined assuming that the transaction or event giving rise to Parent LP’s
obligation to make a payment was the only transaction or event reported on the
Protected Party’s tax return (i.e., without giving effect to any loss carry
forwards or other deductions attributable to such Protected Party) and (ii) subject
to any applicable phase-outs or other then applicable limitations (including,
but not limited to the “alternative minimum tax”), any amounts payable
with respect to state and local income taxes shall be assumed to be deductible
for federal income tax purposes. 
Notwithstanding the foregoing, in the case of a Protected Party that is
exempt from tax for federal income tax purposes, as well as any Protected Party
that qualifies either as a regulated 

 

73

 

investment company or as a real estate investment trust, such Protected
Party shall not be entitled to indemnification pursuant to this Agreement,
except, in the case of a Protected Party that is exempt from tax (other than a “qualified
organization” within the meaning of Section 514(c)(9)(C) to the
extent such income constitutes debt-financed income or gain from real
property), to the extent that such income or gain constitutes “unrelated
business taxable income” as defined in Section 512 of the Code with
respect to such Protected Party solely by reason of the activities or borrowing
of the Partnership.  For purposes of
determining the Gross-Up Amount in respect of any breach of Section 10.8
hereof, in no event shall the gain taken into account by a Protected Party with
respect to the Disposition of a Protected Asset exceed the amount of gain that
would have been recognized by or allocated to such Protected Party (or in the
case of a person who is a Protected Party by reason of clause (iii) of the
definition thereof, the original Protected Party described in clause (i) or
(ii) from whom such Protected Party directly or indirectly acquired its
Units) if the Partnership had sold such Protected Asset in a fully taxable
transaction on the day following the Effective Date for a purchase price equal
to its fair market value at such time, provided that, for purposes of computing
such amount, the aggregate amount of such gain with respect to each Protected
Asset allocated to each Protected Party shall not exceed such Protected Party’s
share of the Code Section 704(c) gain stated with respect to such
Protected Asset on Schedule 10.9 of this Agreement (after
subtracting from such scheduled amount the amount of any gain attributable to
such scheduled amount which was previously recognized by or was otherwise
allocable to a Protected Party with respect to such Protected Asset (a) with
respect to a direct or indirect transfer (including any redemption) of some or
all of its direct or indirect interests in the Partnership to the extent of any
reduction in 704(c) gain with respect to such Protected Party and
Protected Asset as a result of such transfer (or redemption) or (b) to the
extent of any decrease in the difference between the adjusted tax basis, as
determined for federal income tax purposes, and the book value of the Protected
Assets pursuant to Regulation Section 1.704-3).  For the avoidance of doubt and except in the
case of a transaction pursuant to Section 8.10 hereof, for purposes of
determining the Gross-Up Amount, in no event shall any “new layer” of Code Section 704(c) built-in
gain created on account of the contribution of any properties to or the
distribution of any properties from the Partnership, including but not limited
to through application of Regulations Section 1.704-1(b)(2)(iv)(d), (e) and
(f), be entitled to protection under this Agreement or otherwise.

 

B.            Notwithstanding
Section 10.13.A. hereof, in the event that Tysons Corner Center and/or
Tysons Corner Office Building is sold, transferred or exchanged pursuant to the
exercise, by a Person other than the Partnership or its Affiliates and in the
absence of any action by the Partnership or its Affiliates giving rise to such
Person’s right to exercise, of their rights under any buy-sell agreement or
similar contractual arrangement to which such assets are subject as of the
Effective Date, the aggregate amount payable to the Protected Parties
(including any protected parties under a tax matters agreement entered into
following the exercise of any rights under Section 8.10 (the “Other
Protected Parties”)) as a result of such Disposition shall not exceed the
lesser of (a) the aggregate amount otherwise payable to such Protected
Parties pursuant to Section 10.13 hereof and such Other Protected Parties
and (b) $20 million. Any reduction in the aggregate amount payable to the
Protected Parties or the Other Protected Parties by reason of the foregoing
limitation shall reduce the amount payable to each Protected Party and each
Other Protected Party in proportion to the total amount otherwise payable to
such 

 

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Protected Party pursuant to Section 10.13 hereof and such Other
Protected Party pursuant to such tax matters agreement with respect to the
disposition that is subject to this Section 10.13.B.

 

C.            Notwithstanding
any provision of this Agreement to the contrary, the sole and exclusive rights
and remedies of any Partner or Protected Party for a breach of the obligations
set forth in Sections 10.8, 10.9, 10.10 or 10.11 hereof shall be a claim for
damages against Parent LP or the Partnership, computed as set forth in Section 10.13.A,
and no Partner or Protected Party shall be entitled to pursue a claim for
specific performance of the covenants set forth in Section 10.8, 10.9,
10.10 or 10.11 hereof, or bring a claim against any person that acquires a
Protected Asset, other than as provided in 10.8.B.  Notwithstanding anything to the contrary in
this Agreement, Parent LP shall not be liable for, or obligated to indemnify
any Person with respect to, any claim or cause of action requesting or claiming
special, exemplary, incidental, indirect, punitive, reliance or consequential
damages or losses with respect to any Recognition Event, other than claims for
any reasonable attorney’s, accountant’s or similar fees reasonably incurred in
connection with the determination or collection of any damages incurred as a
result of any breach of this Article X. 
Any claim or cause of action requesting or claiming any such damages is
specifically waived and barred, whether or not such damages were foreseeable or
any party was notified of the possibility of such damages.

 

D.            If the
Partnership has breached an obligation set forth in this Article X (or a
Protected Party or the Limited Partner Tax Representative asserts that the
Partnership has breached an obligation set forth in this Article X), the
Partnership and the Limited Partner Tax Representative (or if the Limited
Partner Tax Representative is not a Protected Party claiming or disputing a
Gross-Up Amount owed to it, the Protected Parties claiming or disputing the
Gross-Up Amount) agree to negotiate in good faith to resolve any disagreements
regarding any such alleged breach and the amount of damages, if any, payable to
such Protected Party under Section 10.13 hereof.  If any such disagreement cannot be resolved
within thirty (30) days after notice to the other party of the alleged breach
or disputed amount, the Partnership and the Limited Partner Tax Representative
(or Protected Party) shall refer the matter to an independent law firm,
accounting firm, valuation firm or other independent arbitrator mutually agreed
upon by them (the “Tax Arbitrator”) to resolve as expeditiously as
possible all points of any such disagreement. 
All determinations made by the Tax Arbitrator with respect to the
resolution of any alleged breach or amount of damages shall be final,
conclusive and binding on the Partnership and the Limited Partner Tax
Representative and/or the affected Protected Parties.  The fees and expenses of the Tax Arbitrator
incurred in connection with any such determination shall be shared equally by
Parent LP and the affected Protected Parties (or in the case of a dispute not involving
a payment pursuant to Section 10.13 hereof, by all Wilmorite Limited
Partners).  If the Partnership and the
Limited Partner Tax Representative or Protected Parties, as applicable, each
having acted in good faith and with its or his best efforts to select a Tax
Arbitrator, are unable to agree upon and retain a Tax Arbitrator within sixty
(60) days after the thirty (30) day period mentioned above, then following the
expiration of such sixty (60) day period, any disagreement may be settled in
any Delaware Court pursuant to Section 15.9 hereof.

 

Section 10.14.  Tax Treatment of Amendment

 

Except to the extent required by law, the entering
into of this Agreement upon the Effective Date shall not be treated as
resulting in any actual or deemed contribution or 

 

75

 

distribution of assets or termination of the Partnership pursuant to Section 708
of the Code or otherwise. 
Notwithstanding the foregoing, in order to properly take into account
the changes in the Partners’ future interests in the Partnership for all
periods after the Effective Date, the Partnership shall undertake an interim
closing of the books as of the close of business on the Effective Date
(immediately prior to the adjustment of the Partners’ Capital Accounts to
reflect their fair market value as of the Effective Date), and shall allocate
any income, gain (including, for the avoidance of doubt, any income or gain
resulting from the disposition of the Fort Henry property), loss or deduction
for the portion of the taxable period up to and including the Effective Date
(including for these purposes any deduction with respect to any compensation
including bonuses, stock appreciation or similar rights in respect of employees
of the Partnership or its Subsidiaries or Affiliates, including the General
Partner, which accrue, are paid, or become fixed as of the Effective Date) in
the manner provided for in the Partnership Agreement as in effect prior to the
Effective Date.  Furthermore, and except
to the extent required by law, any deduction for tax purposes relating to any
item of compensation, including bonuses, stock appreciation or similar rights
in respect of employees of the Partnership or its Subsidiaries or Affiliates,
including the General Partner, that has economically accrued on or before the
Effective Date but is not deductible for tax purposes until a later period,
shall, when deductible for tax purposes, be specially allocated to the Partners
(or their successors, in the case of any person who is no longer a Partner) in
the manner provided for in the Partnership Agreement as in effect prior to the
Effective Date as if it had accrued and been deductible for tax purposes on
such date.

 

Section 10.15.  Limited Partner Tax Representative

 

The Limited Partner Tax Representative has been duly
appointed as agent and representative of the Protected Parties and the
Wilmorite Limited Partners for the purposes set forth herein, and the Limited
Partner Tax Representative has accepted such appointment on the terms set forth
herein.  The Limited Partner Tax
Representative represents and warrants to the General Partner that it has the
right, power and authority to (i) enter into and perform this Agreement
and to bind all of the Protected Parties and the Wilmorite Limited Partners for
the purposes set forth herein, (ii) give and receive directions,
instructions and notices hereunder, and (iii) make all determinations that
may be required or that it deems appropriate under this Agreement.  Until notified in writing by a notice signed
by all of the Wilmorite Limited Partners, the General Partner may rely
conclusively and act upon the directions, instructions and notices of the
Limited Partner Tax Representative for the purposes set forth herein and,
thereafter, upon the directions, instructions and notices of any successor
named in a writing executed by all of the Protected Parties and the Wilmorite
Limited Partners.  In addition, the
Protected Parties and the Wilmorite Limited Partners acknowledge that the
General Partner may rely exclusively upon the directions, instructions and
notice of the Limited Partner Tax Representative for the purposes set forth
herein, notwithstanding the fact that the General Partner may have received
conflicting directions, instructions and notices from the Protected Parties or
the Wilmorite Limited Partners.

 

Section 10.16.  Exclusion of Certain Transactions

 

For the avoidance of doubt, the indemnification
provided in Section 10.13 shall not apply to any taxes or other amounts of
a Protected Party incurred as a result of (i) the consummation of the
Merger and the consummation of the transactions contemplated thereby, including
the payment of any purchase price adjustments, (ii) the Partnership Merger
and the consummation of

 

76

 

the transactions contemplated thereby, including the amendment of the
Partnership’s limited partnership agreement by this 2005 Amended and Restated
Agreement of Limited Partnership, (iii) the creation or exercise of the Class A
Forced Conversion, Class A Put Right, Redemption Right, the Participating
Election Right, the Partnership Call Right or the rights described in Section 8.9
and 8.10.B hereof and the creation of the rights set forth in Section 8.10
hereof (and any corresponding rights provided under an amendment to Parent LP’s
partnership agreement entered into in connection with a transaction described
in Section 8.10), and (iv) any payments made by any person pursuant
to Section 8.7(A)(2)(iv) hereof; provided, however, that the
foregoing shall not in any respect limit the Partnership’s obligation to
maintain the Required Nonrecourse Debt Amount in accordance with Section 10.9
hereof upon any exercise of the rights referred to in this clause (iii) or
to limit the rights of a Protected Party under Section 10.13 in respect of
any breach of such obligation to maintain the Required Nonrecourse Debt Amount
in accordance with Section 10.9.

 

Section 10.17.  Prior Tax Protection Agreements

 

Upon the Effective Date, any and all Prior Partnership
Tax Protection Agreements including, but not limited to, the Tax Protection
Agreement dated as of February 24, 2000 by and between the Partnership,
ACI Danbury, Inc. and the other parties thereto, shall cease to be in
force and be of no further effect provided, however, that this
sentence shall not be construed to refer to that certain Shoppingtown Option
Agreement made as of the 30th day of April 1996.  For these purposes “Prior Partnership Tax
Protection Agreements” shall mean any agreement entered into prior to the
Effective Date to which the Partnership is a party pursuant to which (i) any
liability to any Partner (or any owner of any Partner) relating to taxes may
arise; (ii) in connection with the deferral of income taxes of a Partner
(or owner of any Partner), the Partnership or any of its subsidiaries has
agreed to (A) maintain a minimum level of, put in place or replace any
debt or continue a particular debt, (B) retain or not dispose of assets
for a period of time that has not since expired, (C) make or refrain from making
tax elections, (D) operate (or refrain from operating) in a particular
manner, and/or (E) only dispose of assets in a particular manner; (iii) the
Partners (or their owners) have guaranteed debt, or have the opportunity to
guarantee debt, directly or indirectly, of the Partnership or its Subsidiaries
(including without limitation any “deficit restoration obligation,”
guarantee (including, without limitation, a “bottom guarantee”),
indemnification agreement or other similar arrangement); and/or (iv) any
other agreement that would require the Partnership or the General Partner to
consider separately the interests of any Partner (or owner of any Partner) in
respect of taxes.

 

Section 10.18.  Cooperation Regarding Zone Credits

 

The Partnership shall exercise good faith in
attempting to obtain the benefits of the Zone Credit program.

 

ARTICLE XI
- TRANSFERS AND WITHDRAWALS

 

Section 11.1.  Transfer

 

A.            The term “transfer,”
when used in this Article XI with respect to a Partnership Unit, shall be
deemed to refer to a transaction by which the General Partner purports 

 

77

 

to assign all or any part of its General Partner Interest to another
Person or by which a Limited Partner purports to assign all or any part of its
Limited Partner Interest to another Person, and includes a sale, assignment,
gift, pledge, encumbrance, hypothecation, mortgage, exchange or any other
disposition by operation of law or otherwise. 
The term “transfer” when used in this Article XI does not
include any redemption or conversion of Partnership Interests by a Limited
Partner or any acquisition of Partnership Units from a Limited Partner by
Parent or Parent LP pursuant to Section 8.6, 8.7, 8.8, 8.9 or 8.10
hereof.  To the fullest extent permitted
by law, no part of the interest of a Limited Partner shall be subject to the
claims of any creditor, any spouse for alimony or support, or to legal process,
and may not be voluntarily or involuntarily alienated or encumbered except as
may be specifically provided for in this Agreement or consented to in writing
by the General Partner.

 

B.            To the
fullest extent permitted by law, no Partnership Interest may be transferred, in
whole or in part, except in accordance with the terms and conditions set forth
in this Article XI.  To the fullest
extent permitted by law, any transfer or purported transfer of a Partnership
Interest not made in accordance with this Article XI shall be null and
void.

 

Section 11.2.  Transfer of the General Partner Interest
and of Parent’s Limited Partner Interests; Extraordinary Transactions

 

A.            The
General Partner may not transfer any of its General Partner Interest or Limited
Partner Interest, or withdraw as General Partner and Parent may not, directly
or through its wholly-owned Subsidiaries, transfer any of its Limited Partner
Interest and none of the General Partner, Parent or Parent LP shall engage in
an Extraordinary Transaction, except, in any such case, (i) if such
Extraordinary Transaction, or such withdrawal or transfer, is pursuant to an
Extraordinary Transaction that is permitted under Section 11.2.B hereof, (ii) if
Limited Partners holding two-thirds-in-interest of the Common Units and Class A
Preferred Units (on an as-converted basis), other than Partnership Units held by
the General Partner, Parent or any of their respective Subsidiaries or
Affiliates or any Parent Transferee, Consent to such withdrawal or transfer or
Extraordinary Transaction or (iii) if such transfer is to either Parent LP
or an Affiliate of Parent or, complies with Section 11.2.E.  In the event that the General Partner or
Parent (as applicable) transfers any of its Limited Partner Interest in
accordance with this Section, the transferee (and any and all subsequent
transferees) shall be entitled to the same rights to distributions (of
operating cash flow as well as liquidation proceeds), with regard to such
Limited Partner Interest as the General Partner hereunder.  Except as provided in Section 11.2.E.,
Parent (or its successors in interest) may not own, directly or indirectly,
less than a controlling interest in the General Partner unless Limited Partners
holding two-thirds-in-interest of the Common Units and Class A Preferred
Units (on an as-converted basis), other than Partnership Units held by the General
Partner, Parent or any of their respective Subsidiaries or Affiliates or any
Parent Transferee, Consent to the transaction resulting in Parent (or its
successors in interest) owning, directly or indirectly, less than such
controlling interest in General Partner. 
Notwithstanding anything in this Agreement to the contrary, Parent, the
General Partner, their respective Subsidiaries and Affiliates and any Parent
Transferee may pledge their Limited Partner Interests in connection with a bona
fide financing.

 

B.            Subject
to the requirements of Section 8.8.E and Article X hereof, the
General Partner and Parent are permitted to engage in (and cause the
Partnership to participate 

 

78

 

in) an Extraordinary Transaction without the approval or vote of the
Limited Partners if: (i) the rights, preferences and privileges of the
Common Unitholders after the transaction are at least as favorable as those in
effect immediately prior to the consummation of such transaction; (ii) such
rights of the Common Unitholders include the right to exchange their Common
Units for cash or, at the election of Parent, for publicly traded common equity
securities, at an exchange ratio based on the relative fair market value of
such securities (as determined pursuant to Section 11.2.D hereof) and the
REIT Shares; (iii) the Class A Preferred Units remain outstanding
with their terms, rights and privileges unchanged or are exchanged for
securities in the surviving entity with terms, rights and privileges identical
in all material respects to this Agreement (it being understood that any
changes to the rights to tax protection in Article X are material); (iv) the
holders of Common Units are offered the opportunity to elect to receive (but
are not required to elect), for each Common Unit, an amount of cash,
securities, or other property at least as equal in value to the product of (x)
the REIT Shares Amount multiplied by (y) the amount of cash, securities or
other property paid to a holder of one REIT Share in consideration of one such
REIT Share pursuant to the terms of the Extraordinary Transaction during the
period from and after the date on which the Extraordinary Transaction is
consummated; and (v) the surviving entity in the Extraordinary Transaction
expressly assumes Parent’s and Parent LP’s obligations under this
Agreement.  Nothing in this Agreement
shall prevent Parent from causing the Company to be liquidated for tax or any
other purposes.

 

In the event that Parent engages in a “going private”
transaction within the meaning of Rule 13e-3, the Class A
Preferred Unitholders will have the right, in connection with such transaction
to exercise the redemption right in Section 8.6.C hereof contingent upon
the closing of such transaction.

 

C.            If a
purchase or cash tender offer shall have been made to and accepted by the
holders of more than fifty percent (50%) of the outstanding REIT Shares, each
Limited Partner shall be entitled to elect to receive in connection with (and
prior to the closing of) such transaction the amount of cash and/or the value
in cash of other consideration which such partner would have received had it
exercised its Redemption Right and received REIT Shares in exchange for its
Partnership Interests (or economic interests therein) immediately prior to the
expiration of such purchase or tender offer and had thereupon accepted such
purchase or tender offer.  Upon such
election, the Person shall cease to be a Limited Partner of the Partnership and
its Partnership Interests shall be deemed to be transferred to the General
Partner effective upon the payment of such cash or other consideration.  If an exchange offer shall have been made and
accepted pursuant to which the holders of more than fifty percent (50%) of the
outstanding REIT Shares exchange their REIT Shares for equity securities of the
acquiring Person, which are publicly traded on a nationally recognized
securities exchange or quotation system, and the General Partner Interest is
Transferred (directly or indirectly), then the Conversion Factor shall be
adjusted to reflect such transaction and each Limited Partner shall be entitled
to exchange all or any portion of the Partnership Interests (or economic
interest therein) for REIT Shares of such acquiring Person.

 

D.            In
connection with any transaction permitted by Section 11.2.B hereof, the
relative fair market values shall be determined in good faith by the General
Partner as of the time of such transaction and, to the extent applicable, shall
be no less favorable to the Limited 

 

79

 

Partners than the relative values reflected in the terms of such
transaction for REIT Shares or partnership interests of Parent LP.

 

E.             Notwithstanding
any other provision of this Agreement to the contrary, at the Effective Date or
at any time thereafter the General Partner shall be entitled to transfer its
General Partner Interests and/or Limited Partner Interests to one or more
Persons (each such Person, a “Parent Transferee”) without the consent of
the Limited Partners; provided that (1) Parent, Parent LP or one of their
respective Affiliates is either the sole managing member or the sole general
partner of such Person, or is the sole General Partner; and (2) (a) Parent,
Parent LP or one or more of their respective Affiliates directly or indirectly
own at least 50% of the total Partnership Interest initially acquired by the
Company pursuant to the Merger and the Partnership Merger, or (b) the
aggregate Partnership Interest held by Parent, Parent LP or one or more of
their respective Affiliates (whether held directly or through any beneficial
interest in any joint venture entity) represent at least 50% of the total
Partnership Interest held by any such joint venture entity plus any Partnership
Interest held directly by Parent, Parent LP or one or more of their respective
Affiliates.  Notwithstanding any other
provision of this Agreement to the contrary, holders of interests in the
General Partner (including a General Partner that is a Parent Transferee),
other than those beneficially owned by Parent or Parent LP or one or more of
their respective Affiliates, shall be entitled to transfer their interests in
the General Partner (or Parent Transferee) without restriction.  Transfers of interests in the General Partner
(including a General Partner that is a Parent Transferee) beneficially owned by
Parent or Parent LP or one or more of their respective Affiliates shall be
governed by Section 11.2 hereof. 
Each Parent Transferee acquiring a Partnership Interest pursuant to this
Section 11.2.E shall (i) be admitted as a Substituted Limited Partner
subject to the rights and obligations set forth herein that are imposed on the
General Partner solely in its capacity as a Limited Partner, including the same
rights to distributions (of operating cash flow as well as liquidation
proceeds), (ii) also be admitted as the General Partner, if the General
Partnership Interest is transferred to the Parent Transferee, (iii) not be
entitled or subject to any of the conversion or redemption rights specified in Article VIII
other than the Parent LP Call Right (at the General Partner’s sole election),
and (iv) be liable for its pro rata share of any indemnification
obligations imposed on the Parent LP, including but not limited to those
specified in Section 10.13.  In
addition, for the avoidance of doubt, the following shall not be considered “transfers”
for purposes of this Agreement (except to the extent that they constitute an
Extraordinary Transaction): (a) transfers or issuance of shares of Parent
or its shareholders, or (b) transfers or issuances of limited partner
interests in Parent LP, as long as Parent thereafter remains the sole general
partner of, and retains a controlling interest in, Parent LP.

 

Section 11.3.  Limited Partners’ Rights to Transfer

 

A.            Subject
to the provisions of Sections 11.3.B – 11.3.F (inclusive) hereof or in
connection with the exercise of a redemption or conversion right pursuant to
Sections 8.6, 8.7, 8.8, 8.9 or 8.10 hereof, a Limited Partner (other than the
General Partner, Parent or any of their respective Subsidiaries or Affiliates
or any Parent Transferee) may not transfer all or any portion of its
Partnership Interest or any of such Limited Partner’s economic rights as a
Limited Partner without the prior written consent of the General Partner, which
consent may be given or withheld in the General Partner’s sole and absolute
discretion.

 

80

 

B.            If a
Limited Partner is subject to Incapacity, the executor, administrator, trustee,
committee, guardian, conservator or receiver of such Limited Partner’s estate
shall have all of the rights of a Limited Partner, but not more rights than
those enjoyed by other Limited Partners, for the purpose of settling or managing
the estate and such power as the Incapacitated Limited Partner possessed to
transfer all or any part of his or its Partnership Interest.  The Incapacity of a Limited Partner, in and
of itself, shall not dissolve or terminate the Partnership.

 

C.            Notwithstanding
Section 11.3.A hereof, but subject to Sections 11.3.D, 11.3.E and 11.3.F
hereof, a Limited Partner may, subject only to such transfer not violating the
last sentence of Section 3.2, and upon not less than five (5) Business
Days prior written notice containing the identity and address of the proposed
transferee and such other information about such proposed transferee as the
General Partner shall reasonably request to enable it to determine that such
proposed transfer is permitted hereunder and does not violate the last sentence
of Section 3.2, transfer all or a portion of its Partnership Interest to (i) a
Person who is, at the time of the transfer, a Limited Partner, (ii) a
Person who is a member of such Limited Partner’s Family Group, (iii) a Person
who or which is an Affiliate of such Limited Partner, or (iv) any lenders
to such Limited Partner through a pledge of such Limited Partner’s Partnership
Interest, provided, however, that notwithstanding any other
provision herein, no Limited Partner may pledge, encumber, hypothecate or
mortgage any of its Class A Preferred Units or Common Units without the
prior consent of the General Partner, such consent not to be unreasonably
withheld or delayed.

 

D.            Without
limiting the foregoing, the General Partner may prohibit any transfer by a
Limited Partner of its Partnership Units if, in the opinion of legal counsel to
the Partnership, such transfer would require filing of a registration statement
under the Securities Act of 1933, as amended, or would otherwise violate any
federal or state securities laws or regulations applicable to the Partnership
or the Partnership Units.

 

E.             No
transfer by a Limited Partner of its Partnership Units (including a redemption
or exchange pursuant to Section 8.6 hereof) may be made to any Person if (i) in
the opinion of legal counsel for the Partnership, it would result in the
Partnership being treated as an association or publicly traded partnership
taxable as a corporation; (ii) such transfer is effectuated through an “established
securities market” or a “secondary market” (or the substantial equivalent
thereof) within the meaning of Section 7704 of the Code; (iii) such
transfer would cause the Partnership to become, with respect to any employee
benefit plan subject to Title I of ERISA, a “party-in-interest” (as defined in Section 3(14)
of ERISA) or a “disqualified person” (as defined in Section 4975(c) of
the Code); (iv) such transfer would, in the opinion of legal counsel for
the Partnership, cause any portion of the assets of the Partnership to
constitute assets of any employee benefit plan pursuant to Department of Labor
Regulations Section 2510.2-101; (v) such transfer would subject
the Partnership to be regulated under the Investment Company Act of 1940, the
Investment Advisors Act of 1940 as amended or ERISA; or (vi) in the
opinion of legal counsel for the Partnership, such transfer likely would
jeopardize Parent’s ability to qualify as a REIT currently or in the future or
would subject Parent to any additional taxes under Section 857 or Section 4981
of the Code.

 

F.             No
transfer of any Partnership Units may be made to a lender to the Partnership or
any Person who is related (within the meaning of Section 1.752-4(b) of
the 

 

81

 

Regulations) to any lender to the Partnership whose loan constitutes a
Nonrecourse Liability, without the consent of the General Partner, which
consent may be given or withheld by the General Partner in its sole and
absolute discretion; provided that as a condition to such consent the lender
may be required to enter into an arrangement with the Partnership and the
General Partner to redeem for the Cash Amount any Partnership Units in which a
security interest is held by such lender simultaneously with the time at which
such lender would be deemed to be a partner in the Partnership for purposes of
allocating liabilities to such lender under Section 752 of the Code.

 

Section 11.4.  Substituted Limited Partners

 

A.            Except as
provided by Section 11.3 hereof, no Limited Partner shall have the right
to substitute a transferee as a Limited Partner in his place.  Except as provided by Section 11.3, the
General Partner shall, however, have the right to consent to the admission of a
transferee of the interest of a Limited Partner pursuant to this Section 11.4
as a Substituted Limited Partner, which consent may be given or withheld by the
General Partner in its sole and absolute discretion; provided, however,
that the General Partner will be deemed to have consented to any transfers in
accordance with Section 11.3 hereof. 
The General Partner’s failure or refusal to permit a transferee of any
such interests to become a Substituted Limited Partner shall not give rise to
any cause of action against the Partnership or any Partner.

 

B.            A
transferee who has been admitted as a Substituted Limited Partner in accordance
with this Article XI shall have all the rights and powers and be subject
to all the restrictions and liabilities of a Limited Partner under this
Agreement.  The admission of any
transferee as a Substituted Limited Partner shall be conducted upon the
transferee executing and delivering to the Partnership an acceptance of all the
terms and conditions of this Agreement and such other documents or instruments
as may be reasonably requested by the General Partner to effect the admission.

 

C.            Upon the
admission of a Substituted Limited Partner, the General Partner shall amend Exhibit A
to reflect the name, address, number of Partnership Units and Percentage
Interest of such Substituted Limited Partner and to eliminate or adjust, if
necessary, the name, address and interest of the predecessor of such
Substituted Limited Partner.

 

Section 11.5.  General Provisions

 

A.            No
Limited Partner may withdraw from the Partnership other than as a result of a
permitted transfer of all of such Limited Partner’s Partnership Units in
accordance with this Article XI, or pursuant to redemption of all of its
Partnership Units under Section 8.6, 8.7, 8.8 or 8.10 hereof.

 

B.            Any
Limited Partner who shall transfer all of its Partnership Units in a transfer
permitted pursuant to this Article XI shall cease to be a Limited Partner
upon the admission of the transferee as Substituted Limited Partner.  Similarly, any Limited Partner who shall
transfer all of its Partnership Units pursuant to a redemption of all of its
Partnership Units under Section 8.6, 8.7, 8.8 or 8.10 hereof shall cease
to be a Limited Partner.

 

82

 

C.            If any
Partnership Interest is transferred or assigned during any quarterly segment of
the Partnership’s fiscal year in compliance with the provisions of this Article XI
or redeemed or transferred pursuant to Section 8.6, 8.7, 8.8 or 8.10
hereof on any day other than the first day of a Partnership Year, then Net
Income, Net Losses, each item thereof and all other items attributable to such
interest for such Partnership Year shall be divided and allocated between the
transferor Partner and the transferee Partner by taking into account their varying
interests during the Partnership Year in accordance with Section 706(d) of
the Code, using the interim closing of the books method or such other method
(or combination of methods) reasonably selected by the General Partner.  Solely for purposes of making such
allocations, each of such items for the calendar month in which the transfer or
assignment occurs shall be allocated to the transferee Partner, and none of
such items for the calendar month in which a redemption occurs shall be
allocated to the Redeeming Partner; provided, however, that the
General Partner may adopt such other conventions relating to allocations in
connection with transfers, assignments or redemptions as it determines are
necessary or appropriate.  All
distributions of Available Cash attributable to such Partnership Unit with
respect to which the Partnership Record Date is before the date of such
transfer or assignment shall be made to the transferor Partner , and all
distributions of Available Cash thereafter attributable to such Partnership
Unit shall be made to the transferee Partner.

 

D.            Transfer
pursuant to this Article XI may only be made on the first (1st)
day of a fiscal quarter of the Partnership, unless the General Partner
otherwise agrees.

 

ARTICLE XII - ADMISSION OF
PARTNERS

 

Section 12.1.  Admission of Successor General Partner

 

A successor to all of the General Partner Interest
pursuant to Section 11.2 hereof who is proposed to be admitted as a
successor General Partner (including but not limited to any Parent Transferee)
shall be admitted to the Partnership as the General Partner, effective upon
such transfer.  Any such transferee shall
carry on the business of the Partnership without dissolution.  In each case, the admission shall be subject
to the successor General Partner executing and delivering to the Partnership an
express acceptance of all of the terms and conditions of this Agreement and
such other documents or instruments as may be required to effect the
admission.  In the case of such admission
on any day other than the first day of a Partnership Year, all items
attributable to the General Partner Interest for such Partnership Year shall be
allocated between the transferring General Partner and such successor as
provided in Section 11.5.C hereof.

 

Section 12.2.  Admission of Additional Limited Partners

 

A.            After the
date hereof, a Person who makes a Capital Contribution to the Partnership in
accordance with this Agreement shall be admitted to the Partnership as an
Additional Limited Partner only upon furnishing to the General Partner (i) evidence
of acceptance in form satisfactory to the General Partner of all of the terms
and conditions of this Agreement, including, without limitation, the power of
attorney granted in Section 2.4 hereof and (ii) such other documents
or instruments as may be required in the discretion of the General Partner in
order to effect such Person’s admission as an Additional Limited Partner.

 

83

 

B.            Notwithstanding
anything to the contrary in this Section 12.2, no Person shall be admitted
as an Additional Limited Partner without the written consent of the General
Partner, which consent may be given or withheld in the General Partner’s sole
and absolute discretion.  The admission
of any Person as an Additional Limited Partner shall become effective on the
date upon which the name of such Person is recorded on the books and records of
the Partnership, following the written consent of the General Partner to such
admission.

 

C.            If any
Additional Limited Partner is admitted to the Partnership on any day other than
the first day of a Partnership Year, then Net Income, Net Losses, each item
thereof and all other items allocable among Partners for such Partnership Year
shall be allocated among such Additional Limited Partner and all other Partners
by taking into account their varying interests during the Partnership Year in
accordance with Section 706(d) of the Code, using any convention
permitted by law and selected by the General Partner.  Solely for purposes of making such
allocations, each such item for the calendar month in which an admission of any
Additional Limited Partner occurs shall be allocated among all of the Partners,
including such Additional Limited Partner; provided, however,
that the General Partner may adopt such other conventions relating to
allocations to Additional Limited Partners as it determines are necessary or
appropriate.  All distributions of
Available Cash with respect to which the Partnership Record Date is before the
date of such admission shall be made solely to Partners other than the
Additional Limited Partner, and, all distributions of Available Cash thereafter
shall be made to all of the Partners pursuant to Section 5.1 hereof,
including such Additional Limited Partner.

 

Section 12.3.  Amendment of Agreement and Certificate of
Limited Partnership

 

For the admission to the Partnership of any Partner,
the General Partner shall take all steps necessary and appropriate under the
Act to amend the records of the Partnership and, if necessary, to prepare as
soon as practical an amendment of this Agreement (including an amendment of Exhibit A)
and, if required by law, shall prepare and file an amendment to the Certificate
of Limited Partnership and may for this purpose exercise the power of attorney
granted pursuant to Section 2.4 hereof.

 

ARTICLE XIII - DISSOLUTION, LIQUIDATION AND
TERMINATION

 

Section 13.1.  Dissolution

 

A.            The
Partnership shall not be dissolved by the admission of Substituted Limited
Partners or Additional Limited Partners or by the admission of a successor
General Partner in accordance with the terms of this Agreement.  Upon the withdrawal of the General Partner,
any successor General Partner shall continue the business of the Partnership
without dissolution.  The Partnership
shall dissolve, and its affairs shall be wound up, only upon the first to occur
of any of the following (each, a “Liquidating Event”):

 

(1)           the
expiration of its term as provided in Section 2.5 hereof;

 

(2)           an
event of withdrawal of the General Partner, as defined in the Act (other than
an event described in Section 17-402(a)(4) and (a)(5) of
the Act in which case the General Partner shall continue to be the general
partner of the Partnership and 

 

84

 

other than a transfer by the General Partner of its entire general
partner interest in the Partnership when a successor general partner of the
Partnership has been admitted as such in accordance with this Agreement),
unless, within ninety (90) days after such event of withdrawal a “majority in
interest” (as defined below) of the remaining Partners agree in writing to
continue the business of the Partnership and to the appointment, effective as
of the date of such event of withdrawal, of a successor General Partner;

 

(3)           from
and after June 1, 2011 through December 31, 2054, an election to
dissolve the Partnership made by the General Partner with the Consent of
Limited Partners holding two-thirds-in-interest of the Common Units and the Class A
Preferred Units (on an as-converted basis), other than Partnership Units held
by the General Partner, Parent or any of their respective Subsidiaries or
Affiliates or any Parent Transferee;

 

(4)           on
or after January 1, 2055, an election to dissolve the Partnership made by
the General Partner, in its sole and absolute discretion;

 

(5)           entry
of a decree of judicial dissolution of the Partnership pursuant to the
provisions of the Act;

 

(6)           the
sale of all or substantially all of the assets and properties of the Partnership;
or

 

(7)           a
final and non-appealable judgment is entered by a court of competent
jurisdiction ruling that the General Partner is bankrupt or insolvent, or a
final and non-appealable order for relief is entered by a court with
appropriate jurisdiction against the General Partner, in each case under any
federal or state bankruptcy or insolvency laws as now or hereafter in effect,
unless prior to the entry of such order or judgment all of the remaining
Partners agree in writing to continue the business of the Partnership and to
the appointment, effective as of a date prior to the date of such order or
judgment, of a substitute General Partner.

 

B.            As used
in this Article XIII, a “majority in interest” shall refer to Partners
(excluding the General Partner) who hold more than fifty percent (50%) of the
outstanding Percentage Interests not held by the General Partner, Parent or any
of their respective Subsidiaries or Affiliates or any Parent Transferee.

 

Section 13.2.  Winding Up

 

A.            Upon the
occurrence of a Liquidating Event, the Partnership shall continue solely for
the purposes of winding up its affairs in an orderly manner, liquidating its
assets, and satisfying the claims of its creditors and Partners.  No Partner shall take any action that is
inconsistent with, or not necessary to or appropriate for, the winding up of
the Partnership’s business and affairs. 
The General Partner, or, in the event there is no remaining General
Partner, any Person elected by a majority in interest of the Limited Partners
(the General Partner or such other Person being referred to herein as the “Liquidator”),
shall be responsible for overseeing the winding up and dissolution of the
Partnership and shall take full account of the Partnership’s 

 

85

 

liabilities and property and the Partnership property shall be
liquidated as promptly as is consistent with obtaining the fair value thereof,
and the proceeds therefrom (which may, to the extent determined by the
Liquidator, include shares of common stock in the Company) shall be applied and
distributed in the following order:

 

(1)           First,
to the satisfaction (whether by payment or reasonable provision for payment),
to the extent permitted by law of all of the Partnership’s debts and liabilities
to creditors other than the Partners;

 

(2)           Second,
to the satisfaction (whether by payment or reasonable provision for payment),
to the extent permitted by law of all of the Partnership’s debts and
liabilities to the General Partner;

 

(3)           Third,
to the satisfaction (whether by payment or reasonable provision for payment),
to the extent permitted by law of all of the Partnership’s debts and
liabilities to the other Partners; and

 

(4)           Fourth,
the balance, if any, to the General Partner and Limited Partners (including the
Class A Preferred Unitholders) in accordance with their Capital Accounts,
after giving effect to all contributions, distributions, and allocations for
all periods.

 

The
General Partner shall not receive any additional compensation for any services
performed pursuant to this Article XIII.

 

B.            Notwithstanding
the provisions of Section 13.2.A hereof which require liquidation of the
assets of the Partnership, but subject to the order of priorities set forth
therein, if prior to or upon dissolution of the Partnership the Liquidator
determines that an immediate sale of part or all of the Partnership’s assets
would be impractical or would cause undue loss to the Partners, the Liquidator
may, in its sole and absolute discretion, defer for a reasonable time the
liquidation of any assets except those necessary to satisfy liabilities of the
Partnership (including to those Partners as creditors) and/or distribute to the
Partners, in lieu of cash, as tenants in common and in accordance with the provisions
of Section 13.2.A hereof, undivided interests in such Partnership assets
as the Liquidator deems not suitable for liquidation.  Any such distributions in kind shall be made
only if, in the good faith judgment of the Liquidator, such distributions in kind
are in the best interest of the Partners, and shall be subject to such
conditions relating to the disposition and management of such properties as the
Liquidator deems reasonable and equitable and to any agreements governing the
operation of such properties at such time. 
The Liquidator shall determine the fair market value of any property
distributed in kind using such reasonable method of valuation as it may adopt.

 

C.            In the
discretion of the Liquidator, a pro rata portion of the distributions that would
otherwise be made to the General Partner and Limited Partners pursuant to this Article XIII
may be:

 

(1)           distributed
to a trust established for the benefit of the General Partner and Limited
Partners for the purposes of liquidating Partnership assets, collecting 

 

86

 

amounts owed to the Partnership, and paying any
contingent, conditional or unmatured liabilities or obligations of the
Partnership or the General Partner arising out of or in connection with the
Partnership.  The assets of any such
trust shall be distributed to the General Partner and Limited Partners from
time to time, in the reasonable discretion of the Liquidator, in the same
proportions as the amount distributed to such trust by the Partnership would
otherwise have been distributed to the General Partner and Limited Partners
pursuant to this Agreement; or

 

(2)           withheld
or escrowed to provide a reasonable reserve for Partnership liabilities
(contingent or otherwise) and to reflect the unrealized portion of any
installment obligations owed to the Partnership, provided that such withheld or
escrowed amounts shall be distributed to the General Partner and Limited
Partners in the manner and order of priority set forth in Section 13.2.A
hereof as soon as practicable.

 

Section 13.3.  Compliance with Timing Requirements of
Regulations

 

In the event the Partnership is “liquidated” within
the meaning of Regulations Section 1.704-1(b)(2)(ii)(g),
distributions shall be made pursuant to this Article XIII to the General
Partner and Limited Partners who have positive Capital Accounts in compliance
with Regulations Section 1.704-1(b)(2)(ii)(b)(2).

 

Section 13.4.  Rights of Limited Partners

 

Except as otherwise provided in this Agreement, each
Limited Partner shall look solely to the assets of the Partnership for the
return of its Capital Contributions and shall have no right or power to demand
or receive property other than cash from the Partnership.  Except as otherwise provided in this
Agreement, no Limited Partner shall have priority over any other Partner as to
the return of its Capital Contributions, distributions, or allocations.

 

Section 13.5.  Notice of Dissolution

 

In the event a Liquidating Event occurs or an event
occurs that would, but for the provisions of an election or objection by one or
more Partners pursuant to Section 13.1 hereof, result in a dissolution of
the Partnership, the General Partner shall, within thirty (30) days thereafter,
provide written notice thereof to each of the Partners.

 

Section 13.6.  Termination of Partnership and
Cancellation of Certificate of Limited Partnership

 

Upon the completion of the liquidation of the
Partnership’s assets, as provided in Section 13.2 hereof, the Partnership
shall be terminated, a certificate of cancellation shall be filed, and all
qualifications of the Partnership as a foreign limited partnership in
jurisdictions other than the State of Delaware shall be canceled and such other
actions as may be necessary to terminate the Partnership shall be taken.

 

87

 

Section 13.7.  Reasonable Time for Winding Up

 

A reasonable time shall be allowed for the orderly
winding up of the business and affairs of the Partnership and the liquidation
of its assets pursuant to Section 13.2 hereof, in order to minimize any
losses otherwise attendant upon such winding up, and the provisions of this
Agreement shall remain in effect between the Partners during the period of
liquidation.

 

Section 13.8. 
Waiver of Partition

 

Each Partner hereby waives any right to partition of
the Partnership property.

 

Section 13.9.  Liability of Liquidator

 

Any Liquidator shall be indemnified and held harmless
by the Partnership in the same manner and to the same degree as an Indemnitee
may be indemnified pursuant to Section 7.7 hereof.

 

ARTICLE XIV - AMENDMENT OF PARTNERSHIP AGREEMENT;
MEETINGS

 

Section 14.1. 
Amendments

 

A.            Subject
to Section 14.1.B, the General Partner shall have the power, without the
Consent of the Limited Partners, to amend this Agreement at its sole
discretion.  The General Partner shall
provide prompt written notice to the Limited Partners following the taking of
any such action under this Section 14.1.A.

 

B.            Notwithstanding
Section 14.1.A, and subject to Section 8.7.B(1), this Agreement shall
not be amended without the Consent of each Partner adversely affected if such
amendment would (i) convert a Limited Partner’s interest in the
Partnership into a General Partner Interest; (ii) modify the limited
liability of a Limited Partner in a manner adverse to such Limited Partner; (iii) alter
rights of the Partner (except in connection with the issuance of additional
Partnership Interests and the relative rights, powers and duties incident
thereto) to receive distributions pursuant to Article V or Article XIII
hereof or the allocations specified in Article VI and Exhibits B
and C hereto (except as permitted pursuant to Section 4.2 and to
set forth and reflect in the Agreement the designations, rights, powers,
duties, and preferences of the holders of any additional Partnership Interests
issued pursuant to Section 4.2.A hereof); (iv) alter or modify the
Redemption Rights and REIT Shares Amount as set forth in Sections 8.6 – 8.10
(inclusive) and 11.2.B hereof, and the related definitions, in a manner adverse
to such Partner; (v) alter or modify Article X hereof and the
schedules or definitions related thereto, (vi) cause the termination or
liquidation of the Partnership prior to the time set forth in Section 2.5
or 13.1 hereof, (vii) alter or modify any of Sections 7.1.B, 7.3.B, 7.12,
8.7, 8.8, 8.10 or the respective schedules, exhibits and definitions related to
each of the foregoing, or (viii) amend this Section 14.1.B.  For the avoidance of doubt, for purposes of
this Section 14.1.B, each Participating Limited Partner shall be treated
as adversely affected by any amendment to the Sections referred to in clause (vii) of
the preceding sentence or any amendment to Article V (including the Class A
Preferred Return Amount) that would reduce or eliminate the possibility of
distributions on such Units decreasing.

 

88

 

Section 14.2.  Meetings of the Partners and Action by
Written Consent

 

A.            Meetings
of the Partners may be called by the General Partner.  The request shall state the nature of the business
to be transacted.  Notice of any such
meeting shall be given to all Partners not less than seven (7) days nor
more than thirty (30) days prior to the date of such meeting; the Partners may
vote in person or by proxy at such meeting. 
Whenever the vote or consent of the Partners is permitted or required
under this Agreement, such vote or consent may be given at a meeting of the
Partners or may be given in accordance with the procedure prescribed in Section 14.2.B
hereof.  Except as otherwise expressly provided
in this Agreement, the Consent of holders of a majority-in-interest of the
Common Units and the Class A Preferred Units (on an as converted basis) of
the Limited Partners, other than Partnership Units held by the General Partner,
Parent or any of their respective Subsidiaries or Affiliates or any Parent
Transferee, shall control.

 

B.            Any
action required or permitted to be taken at a meeting of the Partners may be
taken without a meeting if a written Consent setting forth the action so taken
is signed by such percentage of the Limited Partners as is expressly required
by this Agreement to take such action. 
Such Consent may be in one instrument or in several instruments, and
shall have the same force and effect as a vote taken at a meeting.  Such Consent shall be filed with the records
of the Partnership.  An action so taken
shall be deemed to be effective when a sufficient number of consents have been
received.

 

C.            Each
Limited Partner may authorize any Person or Persons to act for him by proxy on
all matters in which a Limited Partner is entitled to participate, including
waiving notice of any meeting, or voting or participating at a meeting.  Every proxy must be signed by the Limited
Partner or his attorney in fact.  A proxy
may be granted in writing, by means of electronic transmission or as otherwise
permitted by applicable law.  No proxy
shall be valid after the expiration of twelve (12) months from the date thereof
unless otherwise provided in the proxy. 
Every proxy shall be revocable at the pleasure of the Limited Partner
executing it, such revocation to be effective upon the Partnership’s receipt of
written notice of such revocation from the Limited Partner executing such
proxy.

 

D.            Each
meeting of the Partners shall be conducted by the General Partner or such other
Person as the General Partner may appoint pursuant to such rules for the
conduct of the meeting as the General Partner or such other Person deems
appropriate.  Without limitation,
meetings of Partners may be conducted in the same manner as meetings of the
stockholders of Parent and may be held at the same time, and as part of,
meetings of the stockholders of Parent.

 

ARTICLE XV - GENERAL PROVISIONS

 

Section 15.1. 
Addresses and Notice

 

Any notice, demand, request or report required or
permitted to be given or made to a Partner under this Agreement shall be in
writing and shall be deemed given or made when delivered in person or when sent
by certified first class United States mail, return receipt requested,
nationally recognized overnight delivery service or facsimile transmission
(with

 

89

 

receipt confirmed) to the Partner at the address set forth on the
signature page hereto or such other address of which the Partner shall
notify the General Partner in writing.

 

Section 15.2. 
Titles and Captions

 

All Article or Section titles or captions in
this Agreement are for convenience only. 
They shall not be deemed part of this Agreement and in no way define,
limit, extend or describe the scope or intent of any provisions hereof.  Except as specifically provided otherwise,
references to “Articles” and “Sections” are to Articles and Sections of this
Agreement.

 

Section 15.3. 
Pronouns and Plurals

 

Whenever the context may require, any pronoun used in
this Agreement shall include the corresponding masculine, feminine or neuter
forms, and the singular form of nouns, pronouns and verbs shall include the
plural and vice versa.

 

Section 15.4. 
Further Action

 

The parties shall execute and deliver all documents,
provide all information and take or refrain from taking action as may be
necessary or appropriate to achieve the purposes of this Agreement.

 

Section 15.5. 
Binding Effect

 

Subject to the terms set forth herein, this Agreement
shall be binding upon and inure to the benefit of the parties hereto and their
heirs, executors, administrators, successors, legal representatives and
permitted assigns.

 

Section 15.6. 
Creditors

 

Other than as expressly set forth herein with respect
to the Indemnitees, none of the provisions of this Agreement shall be for the
benefit of, or shall be enforceable by, any creditor of the Partnership.

 

Section 15.7.  Waiver

 

No failure by any party to insist upon the strict
performance of any covenant, duty, agreement or condition of this Agreement or
to exercise any right or remedy consequent upon a breach thereof shall
constitute waiver of any such breach or any other covenant, duty, agreement or
condition.

 

Section 15.8. 
Counterparts

 

This Agreement may be executed in counterparts, all of
which together shall constitute one agreement binding on all of the parties
hereto, notwithstanding that all such parties are not signatories to the
original or the same counterpart.  Each
party shall become bound by this Agreement immediately upon affixing its
signature hereto.

 

90

 

Section 15.9.  Applicable Law; Consent to Jurisdiction

 

A.            This
Agreement shall be construed and enforced in accordance with and governed by
the laws of the State of Delaware, without regard to the principles of
conflicts of law.

 

B.            Each
of the parties to this Agreement hereby irrevocably and unconditionally
consents to submit to the sole and exclusive jurisdiction of any court located
in the State of Delaware (the “Delaware Courts”) for any litigation
arising out of or relating to this Agreement, or the negotiation, validity or
performance of this Agreement, or the transactions contemplated hereby or other
matters arising between or involving the General Partner and any of the Limited
Partners (and agrees not to commence any litigation relating thereto except in
such courts), waives any objection to the laying of venue of any such
litigation in the Delaware Courts and agrees not to plead or claim in any
Delaware Court that such litigation brought therein has been brought in an
inconvenient forum.  Each of the parties
hereto agrees, (i) to the extent such party is not otherwise subject to
service of process in the State of Delaware, to appoint and maintain an agent
in the State of Delaware as such party’s agent for acceptance of legal process,
and (ii) that service of process may also be made on such party by prepaid
certified mail with a proof of mailing receipt validated by the United States
Postal Service constituting evidence of valid service.  Service made pursuant to (i) or (ii) above
shall have the same legal force and effect as if served upon such party
personally within the State of Delaware. 
For purposes of implementing the parties’ agreement to appoint and maintain
an agent for service of process in the State of Delaware, each of the parties
hereto does hereby appoint The Corporation Trust Company, Corporation Trust
Center, 1209 Orange Street, Wilmington, Delaware 19801, as such agent.

 

Section 15.10.  Invalidity of Provisions

 

If any provision of this Agreement shall to any extent
be held void or unenforceable (as to duration, scope, activity, subject or
otherwise) by a court of competent jurisdiction, such provision shall be deemed
to be modified so as to constitute a provision conforming as nearly as possible
to the original provision while still remaining valid and enforceable.  In such event, the remainder of this
Agreement (or the application of such provision to Persons or circumstances
other than those in respect of which it is deemed to be void or unenforceable)
shall not be affected thereby.  Each
other provision of this Agreement, unless specifically conditioned upon the
voided aspect of such provision, shall remain valid and enforceable to the
fullest extent permitted by law; any other provisions of this Agreement that
are specifically conditioned on the voided aspect of such invalid provision
shall also be deemed to be modified so as to constitute a provision conforming
as nearly as possible to the original provision while still remaining valid and
enforceable to the fullest extent permitted by law.

 

Section 15.11.  No Rights as Stockholders

 

Nothing contained in this Agreement shall be construed
as conferring upon the holders of Partnership Units any rights whatsoever as
stockholders of Parent, including without limitation, any right to receive
dividends or other distributions made to such stockholders by Parent or to

 

91

 

vote or consent or to receive notice as stockholders in respect of any
meeting of such stockholders for the election of directors of Parent or any
other matter.

 

Section 15.12. 
Entire Agreement

 

This Agreement, the Exhibits and Schedules hereto, and
that certain Registration Rights Agreement dated of even date herewith contain
the entire understanding and agreement among the Partners with respect to the
subject matter hereof and supersedes the Prior Agreements, any other prior
written or oral understandings or agreements among them with respect thereto.

 

[Signature Page Follows]

 

92

 

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

 

	
   

  	
  GENERAL PARTNER:

  
	
   

  	
   

  
	
   

  	
  MACWPI CORP.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Bayer

  
	
   

  	
   

  	
  Name:

  	
   Richard A.
  Bayer

  
	
   

  	
   

  	
  Title:

  	
  Executive Vice President

  
	
   

  	
   

  
	
   

  	
  LIMITED PARTNERS:

  
	
   

  	
   

  
	
   

  	
  See attached signature pages for Limited

  Partners listed on Exhibit A hereto [attach a

  form signature page from the Election

  Package]

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

[Signature Page to
Amended Restated Agreement of Limited Partnership of MACWH, LP]

 

S-1

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas
  C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Freecorp
  Property, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

Signature Page to

2005 Amended and Restated
Agreement

of Limited Partnership

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas
  C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Freehold
  Raceway Mall, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ James
  L. Backus

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  James
  L. Backus

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  44 Stonington
  Drive

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford
  New York 14534

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas
  C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Danmall
  Property, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ John
  W. Anderson

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  John
  W. Anderson

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  317
  Garnsey Rd

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford
  NY 14534

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Ronald
  A. Cocquyt

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Ronald
  A. Cocquyt

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1116
  Hunters Run

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Victor,
  New York 14564

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite Holdings,
L.P. (or such name may be amended after this Agreement becomes effective),
hereby consents to the adoption of, and becomes a party to, the 2005 Amended
and Restated Agreement of Limited Partnership of Wilmorite Holdings, L.P. (or
such name may be amended after this Agreement becomes effective), dated as of
the date first set forth in this Agreement. 
The undersigned agrees that this signature page may be attached to any
counterpart of said Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Philip
  Scaturro

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Philip
  Scaturro

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1455
  Ocean Drive #1103

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Miami
  Beach

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Florida,
  33139

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the 2005
Amended and Restated Agreement of Limited Partnership of Wilmorite Holdings,
L.P. (or such name may be amended after this Agreement becomes effective),
dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Richard B. Caschette

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Richard B. Caschette

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  602
  Shadycroft Lane

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Littleton
  CO. 80120

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Kenneth A.
  Caschette

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Kenneth A. Caschette

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  2735
  S. Miller Lane

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Las
  Vegas, Nevada 89117

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Foster Devereux

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Foster Devereux

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  2210
  Southwind Blvd

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Unit
  119

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Vero
  Beach, FL 32963

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Robert J. Coleman

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Robert J. Coleman

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1136
  5th Ave

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  New
  York City

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  N.Y
  10128

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Wildey Property, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited Partner
of the Delaware limited partnership formerly known as Wilmorite Holdings, L.P.
(or such name may be amended after this Agreement becomes effective), hereby
consents to the adoption of, and becomes a party to, the 2005 Amended and
Restated Agreement of Limited Partnership of Wilmorite Holdings, L.P. (or such
name may be amended after this Agreement becomes effective), dated as of the
date first set forth in this Agreement. 
The undersigned agrees that this signature page may be attached to any
counterpart of said Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Syracuse Venture
  Associates

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Rotterdam Holdings,
  L.P.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Maywil Associates, L.P.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Judy W. Linehan /
  trustee

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  James P. Wilmot UW FBO
  Michael Paul Linehan

  Judy W. Linehan as Trustee

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Judy W. Linehan /
  trustee

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  James P. Wilmot UW FBO
  Jamie P. Linehan

  Judy W. Linehan as Trustee

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Judy W. Linehan

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Judy W. Linehan

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  289
  Smith Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford,
  New York 14534

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Ronald A. Cocquyt
  V.P.

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  LGW Holdings, L.P.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Rd.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ John R. Kraus

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  John R. Kraus

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  360
  Allens Creek Rd.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  N.Y.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  14618

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ John E. Kelly

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  John E. Kelly

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1
  Mile Post Lane

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  New
  York 14534

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Hudwil Properties, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Great Northern
  Holdings, L.P.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  GMT, LLC

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  1265
  Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  NY 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  GEM, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265 Scottsville
  Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester, NY
  14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the 2005
Amended and Restated Agreement of Limited Partnership of Wilmorite Holdings,
L.P. (or such name may be amended after this Agreement becomes effective),
dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature page
may be attached to any counterpart of said Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Alfred W. Friedrich

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Alfred W. Friedrich

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  39 Greylock
  Ridge

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford NY
  14534

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Wilsar Property, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265 Scottsville
  Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester, NY
  14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite Holdings,
L.P. (or such name may be amended after this Agreement becomes effective),
dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Wilridge Property, Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265 Scottsville
  Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester, NY
  14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ William B. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  William B. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  99 Pelham Rd

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester NY

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  14610

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  James P. Wilmot Trust
  UW FBO

  
	
   

  	
   

  	
  Thomas Carl Wilmot

  
	
   

  	
  Name:

  	
  Thomas C. Wilmot, as
  Trustee

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265 Scottsville
  Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester,
  New York 14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Dennis A. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Dennis A. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  21 Roxbury Ln.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford,
  NY 14534

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  JAMES P. WILMOT
  TRUST UW FBO

  
	
   

  	
   

  	
  PAUL JAMES
  WILMOT

  
	
   

  	
  Name:

  	
  THOMAS C.
  WILMOT, AS TRUSTEE

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265 Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester, New York
  14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  James P. Wilmot Trust
  UW FBO

  	
   

  
	
   

  	
   

  	
  Loretta Colleen Wilmot

  	
   

  
	
   

  	
  Name:

  	
  Thomas C. Wilmot, as
  Trustee

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265 Scottsville
  Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester, New York
  14624

  	
   

  
						

 

 

ATTACHMENT
5

SIGNATURE
PAGE TO

2005
AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP

 

The undersigned, desiring to continue as a Limited
Partner of the Delaware limited partnership formerly known as Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), hereby consents to the adoption of, and becomes a party to, the
2005 Amended and Restated Agreement of Limited Partnership of Wilmorite
Holdings, L.P. (or such name may be amended after this Agreement becomes
effective), dated as of the date first set forth in this Agreement.  The undersigned agrees that this signature
page may be attached to any counterpart of said Agreement of Limited
Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  Thomas C. Wilmot Trust
  FBO

  	
   

  
	
   

  	
   

  	
  James Albert Wilmot

  	
   

  
	
   

  	
  Name:

  	
  Thomas C. Wilmot, as
  Trustee

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited
  Partner:

  	
  1265 Scottsville
  Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester, New York
  14624

  	
   

  
						

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the
adoption of, and becomes a party to, the 2005 Amended and Restated Agreement of
Limited Partnership of Wilmorite Holdings, L.P. (or such name may be amended
after this Agreement becomes effective), dated as of the date first set forth
in this Agreement.  The undersigned
agrees that this signature page may be attached to any counterpart of said
Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  217 Smith Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford, New York 14534

  	
   

  
						

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the
adoption of, and becomes a party to, the 2005 Amended and Restated Agreement of
Limited Partnership of Wilmorite Holdings, L.P. (or such name may be amended
after this Agreement becomes effective), dated as of the date first set forth
in this Agreement.  The undersigned
agrees that this signature page may be attached to any counterpart of said
Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Sallie Ann Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Sallie Ann Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Tax Filing Address of Limited Partner:

  	
  1672 Monroe Ave

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester NY 14618

  	
   

  
							

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF LIMITED
PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the adoption
of, and becomes a party to, the 2005 Amended and Restated Agreement of Limited
Partnership of Wilmorite Holdings, L.P. (or such name may be amended after this
Agreement becomes effective), dated as of the date first set forth in this
Agreement.  The undersigned agrees that
this signature page may be attached to any counterpart of said Agreement of
Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Patrick Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Patrick Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  530 Allens Creek Rd

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester NY 14618

  	
   

  
						

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the
adoption of, and becomes a party to, the 2005 Amended and Restated Agreement of
Limited Partnership of Wilmorite Holdings, L.P. (or such name may be amended
after this Agreement becomes effective), dated as of the date first set forth
in this Agreement.  The undersigned
agrees that this signature page may be attached to any counterpart of said
Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Michael Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Michael Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  480 Main St.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Hingham, MA

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  02043

  	
   

  
						

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the
adoption of, and becomes a party to, the 2005 Amended and Restated Agreement of
Limited Partnership of Wilmorite Holdings, L.P. (or such name may be amended
after this Agreement becomes effective), dated as of the date first set forth
in this Agreement.  The undersigned
agrees that this signature page may be attached to any counterpart of said
Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Kevin R. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Kevin R. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  1410 Clover St.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester NY 14610

  	
   

  
						

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the
adoption of, and becomes a party to, the 2005 Amended and Restated Agreement of
Limited Partnership of Wilmorite Holdings, L.P. (or such name may be amended
after this Agreement becomes effective), dated as of the date first set forth
in this Agreement.  The undersigned agrees
that this signature page may be attached to any counterpart of said Agreement
of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ James R. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  James R. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  34 Muirfield Ct

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford N.Y. 14534

  	
   

  
						

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the
adoption of, and becomes a party to, the 2005 Amended and Restated Agreement of
Limited Partnership of Wilmorite Holdings, L.P. (or such name may be amended
after this Agreement becomes effective), dated as of the date first set forth
in this Agreement.  The undersigned
agrees that this signature page may be attached to any counterpart of said
Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Daniel H. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Daniel H. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  74 Meadow Cove Rd.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Pittsford, NY 14534

  	
   

  
						

 

 

ATTACHMENT 5

SIGNATURE PAGE TO

2005 AMENDED AND RESTATED AGREEMENT OF
LIMITED PARTNERSHIP

 

The
undersigned, desiring to continue as a Limited Partner of the Delaware limited
partnership formerly known as Wilmorite Holdings, L.P. (or such name may be
amended after this Agreement becomes effective), hereby consents to the
adoption of, and becomes a party to, the 2005 Amended and Restated Agreement of
Limited Partnership of Wilmorite Holdings, L.P. (or such name may be amended
after this Agreement becomes effective), dated as of the date first set forth
in this Agreement.  The undersigned
agrees that this signature page may be attached to any counterpart of said
Agreement of Limited Partnership.

 

	
   

  	
  Signature:

  	
  /s/ Thomas C. Wilmot

  	
   

  
	
   

  	
   

  
	
   

  	
  Name:

  	
  Wilmorite Inc.

  	
   

  
	
   

  	
   

  
	
   

  	
  Address of Limited Partner:

  	
  1265 Scottsville Road

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Rochester, NY 14624

  	
   

  
						

 

 

The undersigned has executed this Agreement for the
purposes of Sections 7.1B, 7.8.B, 7.12, 8.6, 8.7, 8.8, and 11.2 hereof only.

 

	
   

  	
  THE MACERICH COMPANY

  
	
   

  	
  a Maryland corporation

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Bayer

  	
   

  
	
   

  	
  Name:

  	
  Richard A. Bayer

  	
   

  
	
   

  	
  Title: 

  	
  Executive Vice President

  	
   

  
						

 

The undersigned has executed this Agreement for the
purposes of Sections 7.12.B, 8.7.D, 8.10, Article X and Section 11.2
hereof.

 

	
   

  	
  THE MACERICH PARTNERSHIP, L.P.

  
	
   

  	
  a Delaware limited
  partnership

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  The Macerich Company

  
	
   

  	
   

  	
  General Partner

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Richard A. Bayer

  	
   

  
	
   

  	
  Name:

  	
  Richard A. Bayer

  	
   

  
	
   

  	
  Title: 

  	
  Executive Vice President

  	
   

  
							

 

The undersigned has executed this Agreement to
acknowledge his acceptance of his responsibilities as the Participating LP
Representative.

 

	
   

  	
  /s/ Thomas C. Wilmot, Sr.

  	
   

  
	
   

  	
  Name: Thomas C. Wilmot, Sr.

  

 

The undersigned has executed this Agreement to
acknowledge his acceptance of his responsibilities as the Limited Partner Tax
Representative.

 

	
   

  	
  /s/ Thomas C. Wilmot, Sr.

  	
   

  
	
   

  	
  Name: Thomas C. Wilmot, Sr.

  

 

[Signature Page to Amended
Restated Agreement of Limited Partnership of MACWH, LP]

 

S-2

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