Document:

EX-10.4

 Exhibit 10.4 
 DIRECTOR AND OFFICER INDEMNIFICATION AGREEMENT 
 This Director and Officer
Indemnification Agreement, dated as of                 ,     (this “Agreement”), is made by and between The Babcock &
Wilcox Company, a Delaware corporation (the “Company”), and                     (“Indemnitee”). 

RECITALS: 
 A. Section 141 of the Delaware General Corporation Law provides that the business and affairs of a corporation shall be managed by or under the direction of its board of directors. 

B. Pursuant to Sections 141 and 142 of the Delaware General Corporation Law, significant authority with respect to the management of
the Company has been delegated to the officers of the Company. 
 C. By virtue of the managerial prerogatives vested in the
directors and officers of a Delaware corporation, directors and officers act as fiduciaries of the corporation and its stockholders. 
 D. Thus, it is critically important to the Company and its stockholders that the Company be able to attract and retain the most capable persons reasonably available to serve as directors and officers of
the Company. 
 E. In recognition of the need for corporations to be able to induce capable and responsible persons to accept
positions in corporate management, Delaware law authorizes (and in some instances requires) corporations to indemnify their directors and officers, and further authorizes corporations to purchase and maintain insurance for the benefit of their
directors and officers. 
 F. The Delaware courts have recognized that indemnification by a corporation serves the dual policies
of (1) allowing corporate officials to resist unjustified lawsuits, secure in the knowledge that, if vindicated, the corporation will bear the expense of litigation and (2) encouraging capable women and men to serve as corporate directors
and officers, secure in the knowledge that the corporation will absorb the costs of defending their honesty and integrity. 
 G.
Delaware law also authorizes a corporation to pay in advance of the final disposition of an action, suit or proceeding the expenses incurred by a director or officer in the defense thereof, and any such right to the advancement of expenses may be
made separate and distinct from any right to indemnification and need not be subject to the satisfaction of any standard of conduct or otherwise affected by the merits of any claims against the director or officer. 

H. Recent federal legislation and rules adopted by the Securities and Exchange Commission and the national securities exchanges have
imposed additional disclosure and corporate governance obligations on directors and officers of public companies and have exposed such directors and officers to new and substantially broadened civil liabilities. 

 I. These legislative and regulatory initiatives have also exposed directors and officers of
public companies to a significantly greater risk of criminal proceedings, with attendant defense costs and potential criminal fines and penalties. 
 J. The authority of a corporation to indemnify and advance the costs of defense to its directors and officers applies to criminal proceedings as well as to civil, administrative and investigative
proceedings. 
 K. Indemnitee is a director or officer of the Company and his or her willingness to serve in such capacity is
predicated, in substantial part, upon the Company’s willingness to indemnify him or her in accordance with the principles reflected above, to the fullest extent permitted by the laws of the state of Delaware, and upon the other undertakings set
forth in this Agreement. 
 L. Therefore, in recognition of the need to provide Indemnitee with substantial protection against
personal liability, in order to procure Indemnitee’s continued service as a director or officer of the Company and to enhance Indemnitee’s ability to serve the Company in an effective manner, and in order to provide such protection
pursuant to express contract rights (intended to be enforceable irrespective of, among other things, any amendment to the Company’s certificate of incorporation or bylaws (collectively, the “Constituent Documents”), any change
in the composition of the Company’s Board of Directors (the “Board”) or any change-in-control or business combination transaction relating to the Company), the Company wishes to provide in this Agreement for the indemnification
of and the advancement of Expenses (as defined in Section 1(e)) to Indemnitee as set forth in this Agreement and for the continued coverage of Indemnitee under the Company’s directors’ and officers’ liability insurance policies.

 M. In light of the considerations referred to in the preceding recitals, it is the Company’s intention and desire that
the provisions of this Agreement be construed liberally, subject to their express terms, to maximize the protections to be provided to Indemnitee hereunder. 
 AGREEMENT: 
 NOW, THEREFORE, the parties hereby agree as follows:

 1. Certain Definitions. In addition to terms defined elsewhere herein, the following terms have the following meanings
when used in this Agreement with initial capital letters: 
 (a) “Claim” means (i) any threatened,
asserted, pending or completed claim, demand, action, suit or proceeding, whether civil, criminal, administrative, arbitrative, investigative or other, and whether made pursuant to federal, state or other law; and (ii) any threatened, pending
or completed inquiry or investigation, whether made, instituted or conducted by or at the behest of the Company or any other person, including any federal, state or other court or governmental entity or agency and any committee or other
representative of any corporate constituency, that Indemnitee determines might lead to the institution of any such claim, demand, action, suit or proceeding. 

  
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 (b) “Controlled Affiliate” means any corporation, limited liability company,
partnership, joint venture, trust or other entity or enterprise, whether or not for profit, that is directly or indirectly controlled by the Company. For purposes of this definition, “control” means the possession, directly or indirectly,
of the power to direct or cause the direction of the management or policies of an entity or enterprise, whether through the ownership of voting securities, through other voting rights, by contract or otherwise; provided that direct or indirect
beneficial ownership of capital stock or other interests in an entity or enterprise entitling the holder to cast 20% or more of the total number of votes generally entitled to be cast in the election of directors (or persons performing comparable
functions) of such entity or enterprise shall be deemed to constitute control for purposes of this definition. 
 (c)
“Disinterested Director” means a director of the Company who is not and was not a party to the Claim in respect of which indemnification is sought by Indemnitee. 
 (d) “ERISA Losses” means any taxes, penalties or other liabilities under the Employee Retirement Income Security Act of 1974, as amended, or Section 4975 of the Internal Revenue Code of
1986, as amended. 
 (e) “Expenses” means attorneys’ and experts’ fees and expenses and all other costs and
expenses paid or payable in connection with investigating, defending, being a witness in or participating in (including on appeal), or preparing to investigate, defend, be a witness in or participate in (including on appeal), any Claim. 

(f) “Incumbent Directors” means the individuals who, as of the date hereof, are members of the Board and any individual
becoming a member of the Board subsequent to the date hereof whose election, nomination for election by the Company’s stockholders, or appointment, was approved by a vote of at least two-thirds of the then Incumbent Directors (either by a
specific vote or by approval of the proxy statement of the Company in which such person is named as a nominee for director, without objection to such nomination); provided, however, that an individual shall not be an Incumbent Director if such
individual’s election or appointment to the Board occurs as a result of an actual or threatened election contest (as described in Rule 14a-12(c) of the Securities Exchange Act of 1934, as amended) with respect to the election or removal of
directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board. 

(g) “Indemnifiable Claim” means any Claim based upon, arising out of or resulting from (i) any actual, alleged or
suspected act or failure to act by Indemnitee in his or her capacity as a director, officer, employee or agent of the Company or as a director, officer, employee, member, manager, trustee or agent of any other corporation, limited liability company,
partnership, joint venture, trust or other entity or enterprise, whether or not for profit (including any employee benefit plan or related trust), as to which Indemnitee is or was serving at the request of the Company as a director, officer,
employee, member, manager, trustee or agent, (ii) any actual, alleged or suspected act or failure to act by Indemnitee in respect of any business, transaction, communication, filing, disclosure or other activity of the Company or any other
entity or enterprise referred to in clause (i) of this sentence, or (iii) Indemnitee’s status as a current or former director, officer, employee or agent of the Company or as a current or former director, officer, employee, member,
manager, trustee or agent of the Company or any other 

  
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entity or enterprise referred to in clause (i) of this sentence or any actual, alleged or suspected act or failure to act by Indemnitee in connection with any obligation or restriction
imposed upon Indemnitee by reason of such status. In addition to any service at the actual request of the Company, for purposes of this Agreement, Indemnitee shall be deemed to be serving or to have served at the request of the Company as a
director, officer, employee, member, manager, trustee or agent of another entity or enterprise if Indemnitee is or was serving as a director, officer, employee, member, manager, trustee or agent of such entity or enterprise and (i) such entity
or enterprise is or at the time of such service was a Controlled Affiliate, (ii) such entity or enterprise is or at the time of such service was an employee benefit plan (or related trust) sponsored or maintained by the Company or a Controlled
Affiliate, or (iii) the Company or a Controlled Affiliate directly or indirectly caused or authorized Indemnitee to be nominated, elected, appointed, designated, employed, engaged or selected to serve in such capacity. 

(h) “Indemnifiable Losses” means any and all Losses relating to, arising out of or resulting from any Indemnifiable Claim.

 (i) “Independent Counsel” means a law firm, or a member of a law firm, that is experienced in matters of
corporation law and neither presently is, nor in the past five years has been, retained to represent: (i) the Company (or any Subsidiary) or Indemnitee in any matter material to either such party (other than with respect to matters concerning
Indemnitee under this Agreement, or of other indemnitees under similar indemnification agreements), or (ii) any other named (or, as to a threatened matter, reasonably likely to be named) party to the Indemnifiable Claim giving rise to a claim
for indemnification hereunder. Notwithstanding the foregoing, the term “Independent Counsel” shall not include any person who, under the applicable standards of professional conduct then prevailing, would have a conflict of interest in
representing either the Company or Indemnitee in an action to determine Indemnitee’s rights under this Agreement. 
 (j)
“Losses” means any and all Expenses, damages, losses, liabilities, judgments, fines, penalties (whether civil, criminal or other), ERISA Losses and amounts paid in settlement, including all interest, assessments and other charges paid or
payable in connection with or in respect of any of the foregoing. 
 (k) “Subsidiary” means an entity in which the
Company directly or indirectly beneficially owns 50% or more of the outstanding Voting Stock. 
 (l) “Voting Stock”
means securities entitled to vote generally in the election of directors (or similar governing bodies). 
 2. Indemnification
Obligation. Subject to Section 8, the Company shall indemnify, defend and hold harmless Indemnitee, to the fullest extent permitted or required by the laws of the State of Delaware in effect on the date hereof or as such laws may from time
to time hereafter be amended to increase the scope of such permitted or required indemnification, against any and all Indemnifiable Claims and Indemnifiable Losses; provided, however, that (a) except for compulsory counterclaims
or as provided in Sections 4 and 21, Indemnitee shall not be entitled to indemnification pursuant to this Agreement in connection with any Claim initiated by Indemnitee against the Company or any director or officer of the Company unless the
Company has joined in or consented to the initiation of such Claim and (b) no repeal or 

  
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amendment of any law of the State of Delaware shall in any way diminish or adversely affect the rights of Indemnitee pursuant to this Agreement in respect of any occurrence or matter arising
prior to any such repeal or amendment. 
 3. Advancement of Expenses. Indemnitee shall have the right to advancement by
the Company prior to the final disposition of any Indemnifiable Claim of any and all Expenses relating to, arising out of or resulting from any Indemnifiable Claim paid or incurred by Indemnitee or which Indemnitee determines are reasonably likely
to be paid or incurred by Indemnitee. Indemnitee’s right to such advancement is not subject to the satisfaction of any standard of conduct and is not conditioned upon any prior determination that Indemnitee is entitled to indemnification under
this Agreement with respect to the Indemnifiable Claim or the absence of any prior determination to the contrary. Without limiting the generality or effect of the foregoing, within five business days after any request by Indemnitee, the Company
shall, in accordance with such request (but without duplication), (a) pay such Expenses on behalf of Indemnitee, (b) advance to Indemnitee funds in an amount sufficient to pay such Expenses, or (c) reimburse Indemnitee for such
Expenses; provided that Indemnitee shall repay, without interest any amounts actually advanced to Indemnitee that, at the final disposition of the Indemnifiable Claim to which the advance related, were in excess of amounts paid or payable by
Indemnitee in respect of Expenses relating to, arising out of or resulting from such Indemnifiable Claim. In connection with any such payment, advancement or reimbursement, if delivery of an undertaking is a legally required condition precedent to
such payment, advance or reimbursement, Indemnitee shall execute and deliver to the Company an undertaking in the form attached hereto as Exhibit A (subject to Indemnitee filling in the blanks therein and selecting from among the bracketed
alternatives therein), which need not be secured and shall be accepted by the Company without reference to Indemnitee’s ability to repay the Expenses. In no event shall Indemnitee’s right to the payment, advancement or reimbursement of
Expenses pursuant to this Section 3 be conditioned upon any undertaking that is less favorable to Indemnitee than, or that is in addition to, the undertaking set forth in Exhibit A. 

4. Indemnification for Additional Expenses. Without limiting the generality or effect of the foregoing, the Company shall
indemnify and hold harmless Indemnitee against and, if requested by Indemnitee, shall reimburse Indemnitee for, or advance to Indemnitee, within five business days of such request, any and all Expenses paid or incurred by Indemnitee or which
Indemnitee determines are reasonably likely to be paid or incurred by Indemnitee in connection with any Claim made, instituted or conducted by Indemnitee, in each case to the fullest extent permitted or required by the laws of the State of Delaware
in effect on the date hereof or as such laws may from time to time hereafter be amended to increase the scope of such permitted or required indemnification, reimbursement or advancement of such Expenses, for (a) indemnification or payment,
advancement or reimbursement of Expenses by the Company under any provision of this Agreement, or under any other agreement or provision of the Constituent Documents now or hereafter in effect relating to Indemnifiable Claims, and/or
(b) recovery under any directors’ and officers’ liability insurance policies maintained by the Company; provided, however, that Indemnitee shall return, without interest, any such advance of Expenses (or portion thereof)
which remains unspent at the final disposition of the Claim to which the advance related. 

  
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 5. Contribution. To the fullest extent permissible under applicable law in
effect on the date hereof or as such law may from time to time hereafter be amended to increase the scope of permitted or required indemnification, if the indemnification provided for in this Agreement is unavailable to Indemnitee for any reason
whatsoever, the Company, in lieu of indemnifying Indemnitee, shall contribute to the payment of any and all Indemnifiable Claims or Indemnifiable Losses, in such proportion as is fair and reasonable in light of all of the circumstances in order to
reflect (i) the relative benefits received by the Company and Indemnitee as a result of the event(s) and/or transaction(s) giving cause to such Indemnifiable Claim or Indemnifiable Loss and/or (ii) the relative fault of the Company (and
its other directors, officers, employees and agents) and Indemnitee in connection with such event(s) and/or transaction(s); provided that such contribution shall not be required where it is determined, pursuant to a final disposition of such
Indemnifiable Claim or Indemnifiable Loss in accordance with Section 8, that Indemnitee is not entitled to indemnification by the Company with respect to such Indemnifiable Claim or Indemnifiable Loss. 

6. Partial Indemnity. If Indemnitee is entitled under any provision of this Agreement to indemnification by the Company for some
or a portion of any Indemnifiable Loss, but not for all of the total amount thereof, the Company shall nevertheless indemnify Indemnitee for the portion thereof to which Indemnitee is entitled. 

7. Procedure for Notification. To obtain indemnification under this Agreement in respect of an Indemnifiable Claim or
Indemnifiable Loss, Indemnitee shall submit to the Company a written request therefor, including a brief description (based upon information then available to Indemnitee) of such Indemnifiable Claim or Indemnifiable Loss. If, at the time of the
receipt of such request, the Company has directors’ and officers’ liability insurance in effect under which coverage for such Indemnifiable Claim or Indemnifiable Loss is potentially available, the Company shall give prompt written notice
of such Indemnifiable Claim or Indemnifiable Loss to the applicable insurers in accordance with the procedures set forth in the applicable policies. The Company shall provide to Indemnitee a copy of such notice delivered to the applicable insurers,
and copies of all subsequent correspondence between the Company and such insurers regarding the Indemnifiable Claim or Indemnifiable Loss, in each case substantially concurrently with the delivery or receipt thereof by the Company. The failure by
Indemnitee to timely notify the Company of any Indemnifiable Claim or Indemnifiable Loss shall not relieve the Company from any liability hereunder unless, and only to the extent that, the Company did not otherwise learn of such Indemnifiable Claim
or Indemnifiable Loss and such failure results in forfeiture by the Company of substantial defenses, rights or insurance coverage. 
 8. Determination of Right to Indemnification. 
 (a) To the extent
that Indemnitee shall have been successful on the merits or otherwise in defense of any Indemnifiable Claim or any portion thereof or in defense of any issue or matter therein, including dismissal without prejudice, Indemnitee shall be indemnified
against Indemnifiable Losses relating to, arising out of or resulting from such Indemnifiable Claim in accordance with Section 2 and no Standard of Conduct Determination (as defined in Section 8(b)) shall be required with respect to such
Indemnifiable Claim. 

  
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 (b) To the extent that the provisions of Section 8(a) are inapplicable to an
Indemnifiable Claim that shall have been finally disposed of, any determination of whether Indemnitee has satisfied any applicable standard of conduct under Delaware law that is a legally required condition precedent to indemnification of Indemnitee
hereunder against Indemnifiable Losses relating to, arising out of or resulting from such Indemnifiable Claim (a “Standard of Conduct Determination”) shall be made as follows: (i) by a majority vote of the Disinterested
Directors, even if less than a quorum of the Board, (ii) if such Disinterested Directors so direct, by a majority vote of a committee of Disinterested Directors designated by a majority vote of all Disinterested Directors, or (iii) if
there are no such Disinterested Directors or if Indemnitee so requests, by Independent Counsel, selected by the Indemnitee and approved by the Board (such approval not to be unreasonably withheld, delayed or conditioned), in a written opinion
addressed to the Board, a copy of which shall be delivered to Indemnitee; provided, however, that if at the time of any Standard of Conduct Determination Indemnitee is neither a director nor an officer of the Company, such Standard of
Conduct Determination may be made by or in the manner specified by the Board, any duly authorized committee of the Board or any duly authorized officer of the Company (unless Indemnitee requests that such Standard of Conduct Determination be made by
Independent Counsel, in which case such Standard of Conduct Determination shall be made by Independent Counsel). Indemnitee will cooperate with the person or persons making such Standard of Conduct Determination, including providing to such person
or persons, upon reasonable advance request, any documentation or information which is not privileged or otherwise protected from disclosure and which is reasonably available to Indemnitee and reasonably necessary to such determination. The Company
shall indemnify and hold harmless Indemnitee against and, if requested by Indemnitee, shall reimburse Indemnitee for, or advance to Indemnitee, within five business days of such request, any and all costs and expenses (including attorneys’ and
experts’ fees and expenses) incurred by Indemnitee in so cooperating with the person or persons making such Standard of Conduct Determination. 
 (c) The Company shall use its reasonable best efforts to cause any Standard of Conduct Determination required under Section 8(b) to be made as promptly as practicable. If (i) the person or
persons empowered or selected under Section 8 to make the Standard of Conduct Determination shall not have made a determination within 30 days after the later of (A) receipt by the Company of written notice from Indemnitee advising
the Company of the final disposition of the applicable Indemnifiable Claim (the date of such receipt being the “Notification Date”) and (B) the selection of an Independent Counsel, if such determination is to be made by
Independent Counsel, and (ii) Indemnitee shall have fulfilled his or her obligations set forth in the second sentence of Section 8(b), then Indemnitee shall be deemed to have satisfied the applicable standard of conduct; provided
that such 30-day period may be extended for a reasonable time, not to exceed an additional 30 days, if the person or persons making such determination in good faith requires such additional time for the obtaining or evaluation or documentation
and/or information relating thereto. 
 (d) If (i) Indemnitee shall be entitled to indemnification hereunder against any
Indemnifiable Losses pursuant to Section 8(a), (ii) no determination of whether Indemnitee has satisfied any applicable standard of conduct under Delaware law is a legally required condition precedent to indemnification of Indemnitee
hereunder against any Indemnifiable Losses, or (iii) Indemnitee has been determined or deemed pursuant to Section 8(b) or (c) to have satisfied any applicable standard of conduct under Delaware law which is a legally required
condition 

  
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precedent to indemnification of Indemnitee hereunder against any Indemnifiable Losses, then the Company shall pay to Indemnitee, within five business days after the later of (x) the
Notification Date in respect of the Indemnifiable Claim or portion thereof to which such Indemnifiable Losses are related, out of which such Indemnifiable Losses arose or from which such Indemnifiable Losses resulted and (y) the earliest date
on which the applicable criterion specified in clause (i), (ii) or (iii) above shall have been satisfied, an amount equal to the amount of such Indemnifiable Losses. 
 9. Presumption of Entitlement.  
 (a) In making a determination of
whether Indemnitee has been successful on the merits or otherwise in defense of any Indemnifiable Claim or any portion thereof or in defense of any issue or matter therein, the Company acknowledges that a resolution, disposition or outcome short of
dismissal or final judgment, including outcomes that permit Indemnitee to avoid expense, delay, embarrassment, injury to reputation, distraction, disruption or uncertainty, may constitute such success. In the event that any Indemnifiable Claim or
any portion thereof or issue or matter therein is resolved or disposed of in any manner other than by adverse judgment against Indemnitee (including any resolution or disposition thereof by means of settlement with or without payment of money or
other consideration), it shall be presumed that Indemnitee has been successful on the merits or otherwise in defense of such Indemnifiable Claim or portion thereof or issue or matter therein. The Company may overcome such presumption only by its
adducing clear and convincing evidence to the contrary. 
 (b) In making any Standard of Conduct Determination, the person or
persons making such determination shall presume that Indemnitee has satisfied the applicable standard of conduct, and the Company may overcome such presumption only by its adducing clear and convincing evidence to the contrary. Any Standard of
Conduct Determination that is adverse to Indemnitee may be challenged by Indemnitee in the Court of Chancery of the State of Delaware. No determination by the Company (including by its directors or any Independent Counsel) that Indemnitee has not
satisfied any applicable standard of conduct shall be a defense to any Claim by Indemnitee for indemnification or reimbursement or advance payment of Expenses by the Company hereunder or create a presumption that Indemnitee has not met any
applicable standard of conduct. 
 (c) Without limiting the generality or effect of Section 9(b), (i) to the extent
that any Indemnifiable Claim relates to any entity or enterprise (other than the Company) referred to in clause (i) of the first sentence of the definition of “Indemnifiable Claim,” Indemnitee shall be deemed to have satisfied the
applicable standard of conduct if Indemnitee acted in good faith and in a manner Indemnitee reasonably believed to be in or not opposed to the interests of such entity or enterprise (or the owners or beneficiaries thereof, including in the case of
any employee benefit plan the participants and beneficiaries thereof) and, with respect to any criminal action or proceeding, had no reasonable cause to believe that his or her conduct was unlawful, and (ii) in all cases, any belief of
Indemnitee that is based on the records or books of account of the Company, including financial statements, or on information supplied to Indemnitee by the directors or officers of the Company in the course of their duties, or on the advice of legal
counsel for the Company, the Board, any committee of the Board or any director, or on information or records given or reports made to the Company, the Board, any committee of 

  
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the Board or any director by an independent certified public accountant or by an appraiser or other expert selected by or on behalf of the Company, the Board, any committee of the Board or any
director shall be deemed to be reasonable. 
 10. No Adverse Presumption. For purposes of this Agreement, the termination
of any Claim by judgment, order, settlement (whether with or without court approval) or conviction, or upon a plea of nolo contendere or its equivalent, will not create a presumption that Indemnitee did not meet any applicable standard of
conduct or that indemnification hereunder is otherwise not permitted. 
 11.
Non-Exclusivity. Pursuant to Article VI of the Company’s bylaws, the Indemnitee has certain indemnification rights. The rights provided to the Indemnitee under this Agreement will supplement and be in
addition to the rights provided by Article VI of the Company’s bylaws and any other rights Indemnitee may have under the Constituent Documents, or the substantive laws of the Company’s jurisdiction of incorporation, any other contract or
otherwise (collectively, “Other Indemnity Provisions”) as provided for by Section 6.11 of the Company’s bylaws; provided, however, that (a) to the extent that Indemnitee otherwise would have any greater
right to indemnification under any Other Indemnity Provision, Indemnitee will be deemed to have such greater right hereunder and (b) to the extent that any change is made to any Other Indemnity Provision which permits any greater right to
indemnification than that provided under this Agreement as of the date hereof, Indemnitee will be deemed to have such greater right hereunder. The Company will not adopt any amendment to any of the Constituent Documents the effect of which would be
to deny, diminish or encumber Indemnitee’s right to indemnification under this Agreement or any Other Indemnity Provision. 

12. Liability Insurance and Funding. For the duration of Indemnitee’s service as a director and/or officer of the Company,
and thereafter for so long as Indemnitee shall be subject to any pending or possible Indemnifiable Claim, the Company shall use commercially reasonable efforts (taking into account the scope and amount of coverage available relative to the cost
thereof) to cause to be maintained in effect policies of directors’ and officers’ liability insurance providing coverage for directors and/or officers of the Company that is at least substantially comparable in scope and amount to that
provided by the Company’s current policies of directors’ and officers’ liability insurance. The Company shall provide Indemnitee with a copy of all directors’ and officers’ liability insurance applications, binders,
policies, declarations, endorsements and other related materials, and shall provide Indemnitee with a reasonable opportunity to review and comment on the same. Without limiting the generality or effect of the two immediately preceding sentences, the
Company shall not discontinue or significantly reduce the scope or amount of coverage from one policy period to the next (i) without the prior approval thereof by a majority vote of the Incumbent Directors, even if less than a quorum, or
(ii) if at the time that any such discontinuation or significant reduction in the scope or amount of coverage is proposed there are no Incumbent Directors, without the prior written consent of Indemnitee (which consent shall not be unreasonably
withheld or delayed). In all policies of directors’ and officers’ liability insurance obtained by the Company, Indemnitee shall be named as an insured in such a manner as to provide Indemnitee the same rights and benefits, subject to the
same limitations, as are accorded to the Company’s directors and officers most favorably insured by such policy. The Company may, but shall not be required to, create a trust fund, grant a security interest or use other means, including a
letter of credit, to ensure the payment of such amounts as may be necessary to satisfy its obligations to indemnify and advance expenses pursuant to this Agreement. 

  
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 13. Subrogation. In the event of payment under this Agreement, the Company shall be
subrogated to the extent of such payment to all of the related rights of recovery of Indemnitee against other persons or entities (other than Indemnitee’s successors), including any entity or enterprise referred to in clause (i) of the
definition of “Indemnifiable Claim” in Section 1(g). Indemnitee shall execute all papers reasonably required to evidence such rights (all of Indemnitee’s reasonable Expenses, including attorneys’ fees and charges, related
thereto to be reimbursed by or, at the option of Indemnitee, advanced by the Company). 
 14. No Duplication of Payments.
The Company shall not be liable under this Agreement to make any payment to Indemnitee in respect of any Indemnifiable Losses to the extent Indemnitee has otherwise actually received payment (net of any Expenses incurred in connection therewith and
any repayment by Indemnitee made with respect thereto) under any insurance policy, the Constituent Documents and Other Indemnity Provisions or otherwise (including from any entity or enterprise referred to in clause (i) of the definition of
“Indemnifiable Claim” in Section 1(g)) in respect of such Indemnifiable Losses otherwise indemnifiable hereunder. 
 15. Defense of Claims. The Company shall be entitled to participate in the defense of any Indemnifiable Claim or to assume the defense thereof, with counsel reasonably satisfactory to Indemnitee;
provided that if Indemnitee believes, after consultation with counsel selected by Indemnitee, that (a) the use of counsel chosen by the Company to represent Indemnitee would present such counsel with an actual or potential conflict,
(b) the named parties in any such Indemnifiable Claim (including any impleaded parties) include both the Company and Indemnitee and Indemnitee shall conclude that there may be one or more legal defenses available to him or her that are
different from or in addition to those available to the Company, or (c) any such representation by such counsel would be precluded under the applicable standards of professional conduct then prevailing, then Indemnitee shall be entitled to
retain separate counsel (but not more than one law firm plus, if applicable, local counsel in respect of any particular Indemnifiable Claim) at the Company’s expense. The Company shall not be liable to Indemnitee under this Agreement for any
amounts paid in settlement of any threatened or pending Indemnifiable Claim effected without the Company’s prior written consent. The Company shall not, without the prior written consent of Indemnitee, effect any settlement of any threatened or
pending Indemnifiable Claim to which Indemnitee is, or could have been, a party unless such settlement solely involves the payment of money and includes a complete and unconditional release of Indemnitee from all liability on any claims that
are the subject matter of such Indemnifiable Claim. Neither the Company nor Indemnitee shall unreasonably withhold its consent to any proposed settlement; provided that Indemnitee may withhold consent to any settlement that does not provide a
complete and unconditional release of Indemnitee. 
 16. Successors and Binding Agreement.  

(a) The Company shall require any successor (whether direct or indirect, by purchase, merger, consolidation, reorganization or otherwise)
to all or substantially all of the business or assets of the Company, by agreement in form and substance satisfactory to 

  
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Indemnitee and his or her counsel, expressly to assume and agree to perform this Agreement in the same manner and to the same extent the Company would be required to perform if no such succession
had taken place. This Agreement shall be binding upon and inure to the benefit of the Company and any successor to the Company, including any person acquiring directly or indirectly all or substantially all of the business or assets of the Company
whether by purchase, merger, consolidation, reorganization or otherwise (and such successor will thereafter be deemed the “Company” for purposes of this Agreement), but shall not otherwise be assignable or delegatable by the Company.

 (b) This Agreement shall inure to the benefit of and be enforceable by Indemnitee’s personal or legal representatives,
executors, administrators, heirs, distributees, legatees and other successors. 
 (c) This Agreement is personal in nature and
neither of the parties hereto shall, without the consent of the other, assign or delegate this Agreement or any rights or obligations hereunder except as expressly provided in Sections 16(a) and 16(b). Without limiting the generality or effect
of the foregoing, Indemnitee’s right to receive payments hereunder shall not be assignable, whether by pledge, creation of a security interest or otherwise, other than by a transfer by Indemnitee’s will or by the laws of descent and
distribution, and, in the event of any attempted assignment or transfer contrary to this Section 16(c), the Company shall have no liability to pay any amount so attempted to be assigned or transferred. 

17. Notices. For all purposes of this Agreement, all communications, including notices, consents, requests or approvals, required
or permitted to be given hereunder shall be in writing and shall be deemed to have been duly given when hand delivered or dispatched by electronic facsimile transmission (with receipt thereof orally confirmed), or five business days after having
been mailed by United States registered or certified mail, return receipt requested, postage prepaid or one business day after having been sent for next-day delivery by a nationally recognized overnight
courier service, addressed to the Company (to the attention of the Secretary of the Company) and to Indemnitee at the applicable address shown on the signature page hereto, or to such other address as any party may have furnished to the other in
writing and in accordance herewith, except that notices of changes of address will be effective only upon receipt. 
 18.
Governing Law. The validity, interpretation, construction and performance of this Agreement shall be governed by and construed in accordance with the substantive laws of the State of Delaware, without giving effect to the principles of conflict
of laws of such State. The Company and Indemnitee each hereby irrevocably consent to the jurisdiction of the Chancery Court of the State of Delaware for all purposes in connection with any action or proceeding which arises out of or relates to this
Agreement and agree that any action instituted under this Agreement shall be brought only in the Chancery Court of the State of Delaware. 
 19. Validity. If any provision of this Agreement or the application of any provision hereof to any person or circumstance is held invalid, unenforceable or otherwise illegal, the remainder of this
Agreement and the application of such provision to any other person or circumstance shall not be affected, and the provision so held to be invalid, unenforceable or otherwise illegal shall be reformed to the extent, and only to the extent, necessary
to make it 

  
 11 

 
enforceable, valid or legal. In the event that any court or other adjudicative body shall decline to reform any provision of this Agreement held to be invalid, unenforceable or otherwise illegal
as contemplated by the immediately preceding sentence, the parties thereto shall take all such action as may be necessary or appropriate to replace the provision so held to be invalid, unenforceable or otherwise illegal with one or more alternative
provisions that effectuate the purpose and intent of the original provisions of this Agreement as fully as possible without being invalid, unenforceable or otherwise illegal. 
 20. Miscellaneous. No provision of this Agreement may be waived, modified or discharged unless such waiver, modification or discharge is agreed to in writing signed by Indemnitee and the Company.
No waiver by either party hereto at any time of any breach by the other party hereto or compliance with any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or
conditions at the same or at any prior or subsequent time. No agreements or representations, oral or otherwise, expressed or implied with respect to the subject matter hereof have been made by either party that are not set forth expressly in this
Agreement. 
 21. Legal Fees and Expenses; Interest.  

(a) It is the intent of the Company that Indemnitee not be required to incur legal fees and or other Expenses associated with the
interpretation, enforcement or defense of Indemnitee’s rights under this Agreement by litigation or otherwise, including any Standard of Conduct Determination, because the cost and expense thereof would substantially detract from the benefits
intended to be extended to Indemnitee hereunder. Accordingly, without limiting the generality or effect of any other provision hereof, if it should appear to Indemnitee that the Company has failed to comply with any of its obligations under this
Agreement (including its obligations under Section 3) or in the event that the Company or any other person takes or threatens to take any action to declare this Agreement void or unenforceable, or institutes any litigation or other action or
proceeding designed to deny, or to recover from, Indemnitee the benefits provided or intended to be provided to Indemnitee hereunder, the Company irrevocably authorizes Indemnitee from time to time to retain counsel of Indemnitee’s choice, at
the expense of the Company as hereafter provided, to advise and represent Indemnitee in connection with any such interpretation, enforcement or defense, including the initiation or defense of any litigation or other legal action, whether by or
against the Company or any director, officer, stockholder or other person affiliated with the Company, in any jurisdiction. Notwithstanding any existing or prior attorney-client relationship between the Company and such counsel, the Company
irrevocably consents to Indemnitee’s entering into an attorney-client relationship with such counsel, and in that connection the Company and Indemnitee agree that a confidential relationship shall exist between Indemnitee and such counsel. The
Company will pay and be solely financially responsible for any and all attorneys’ and related fees and expenses incurred by Indemnitee in connection with any of the foregoing to the fullest extent permitted or required by the laws of the State
of Delaware in effect on the date hereof or as such laws may from time to time hereafter be amended to increase the scope of such permitted or required payment of such fees and expenses. 

(b) Any amount due to Indemnitee under this Agreement that is not paid by the Company by the date on which it is due will accrue interest
at the maximum legal rate under Delaware law from the date on which such amount is due to the date on which such amount is paid to Indemnitee. 

  
 12 

 22. Certain Interpretive Matters. Unless the context of this Agreement otherwise
requires, (a) “it” or “its” or words of any gender include each other gender, (b) words using the singular or plural number also include the plural or singular number, respectively, (c) the terms
“hereof,” “herein,” “hereby” and derivative or similar words refer to this entire Agreement, (d) the terms “ “Section” or “Exhibit” refer to the specified Section or Exhibit of or to this
Agreement, (e) the terms “include,” “includes” and “including” will be deemed to be followed by the words “without limitation” (whether or not so expressed), and (f) the word “or” is
disjunctive but not exclusive. Whenever this Agreement refers to a number of days, such number will refer to calendar days unless business days are specified and whenever action must be taken (including the giving of notice or the delivery of
documents) under this Agreement during a certain period of time or by a particular date that ends or occurs on a non-business day, then such period or date will be extended until the immediately following business day. As used herein, “business
day” means any day other than Saturday, Sunday or a United States federal holiday. 
 23. Counterparts. This
Agreement may be executed in one or more counterparts, each of which will be deemed to be an original but all of which together shall constitute one and the same agreement. 

[Signatures Appear on Following Page] 

  
 13 

 IN WITNESS WHEREOF, Indemnitee has executed and the Company has caused its duly authorized
representative to execute this Agreement as of the date first above written. 
  

			
	THE BABCOCK & WILCOX COMPANY
	10324 Ballantyne Corporate Place, Suite 700
	Charlotte, NC 28277
		
	By:	 	  

		 	Name:
		 	Title:
	
	[INDEMNITEE]
	[Address]
	
	  

	[Indemnitee]

  
 14 

 EXHIBIT A 
 UNDERTAKING 
 This Undertaking is submitted pursuant to the Director and
Officer Indemnification Agreement, dated as of             ,             (the “Indemnification Agreement”),
between The Babcock & Wilcox Company, a Delaware corporation (the “Company”), and the undersigned. Capitalized terms used and not otherwise defined herein have the meanings ascribed to such terms in the Indemnification
Agreement. 
 The undersigned hereby requests [payment], [advancement], [reimbursement] by the Company of Expenses
which the undersigned [has incurred] [reasonably expects to incur] in connection with             (the “Indemnifiable Claim”). 

The undersigned hereby undertakes to repay the [payment], [advancement], [reimbursement] of Expenses made by
the Company to or on behalf of the undersigned in response to the foregoing request if it is determined, following the final disposition of the Indemnifiable Claim and in accordance with Section 8 of the Indemnification Agreement, that the
undersigned is not entitled to indemnification by the Company under the Indemnification Agreement with respect to the Indemnifiable Claim. 
 IN WITNESS WHEREOF, the undersigned has executed this Undertaking as of this             day of
            ,     . 
  

	
	  

	[Indemnitee]EX-10.3

 EXHIBIT 10.3 

TRIUS THERAPEUTICS, INC. 

SEVERANCE BENEFIT PLAN 

 

	Section 1.	INTRODUCTION. 

 The Trius Therapeutics, Inc. Severance Benefit Plan (the “Plan”) was established effective August 11, 2011 (the “Effective Date”). The purpose of the
Plan is to provide for the payment of severance benefits to certain eligible employees of Trius Therapeutics, Inc. (the “Company”) whose employment with the Company is involuntarily or constructively terminated and who meet
the additional criteria set forth in Section 3 of the Plan. In consideration for the benefits set forth in this Plan, this Plan shall supersede and replace any severance provisions contained in any individually negotiated employment contract or
other agreement, or any written plans, and, except as set forth in the Participation Notice (as defined below), each Eligible Employee’s severance benefits shall be governed by the terms of this Plan. 

This Plan document also is the Summary Plan Description for the Plan. 

 

	Section 2.	DEFINITIONS. 

 For purposes of this Plan, except as set forth in an Eligible Employee’s Participation Notice, the following terms shall have the meanings set forth below: 

(a) “Base Salary” means the Eligible Employee’s base pay (excluding incentive pay, premium pay,
commissions, overtime, bonuses and other forms of variable compensation), at the rate in effect during the last regularly scheduled payroll period immediately preceding the date of the Eligible Employee’s Covered Termination, and prior to any
reduction in base pay that would permit such Eligible Employee to voluntarily resign employment for Good Reason. 
 (b)
“Board” means the Company’s board of directors. 
 (c) “Cause”
for the Company to terminate an Eligible Employee’s employment shall mean the occurrence of any of the following events, as determined reasonably and in good faith by the Board or a committee designated by the Board: 

(1) the Eligible Employee’s repeated failure satisfactorily to perform the Eligible Employee’s job duties as set forth
by the Board; provided that the Eligible Employee is provided written notice of such failure and provided a reasonable period to cure such failure by the Company; 
 (2) the Eligible Employee’s commission of an act that materially injures the business of the Company; 

  
 1. 

 (3) the Eligible Employee’s commission of any felony or any crime involving
fraud, dishonesty or moral turpitude that is likely to inflict or has inflicted material injury on the business of the Company; or 
 (4) the Eligible Employee’s material violation of the Eligible Employee’s Proprietary Information and Inventions Agreement with the Company. 

(d) “Change in Control” For purposes of this Plan, “Change in Control” shall have the meaning
ascribed to such term in the Company’s 2010 Equity Incentive Plan, as such plan may be amended from time to time. 

(e) “Change in Control Related Termination” with respect to an Eligible Employee means such Eligible
Employee’s Covered Termination that occurs during the period beginning three (3) months before and ending twelve (12) months after a Change in Control of the Company. 

(f) “Covered Termination” with respect to an Eligible Employee means such Eligible Employee’s
resignation for Good Reason or Involuntary Termination Without Cause. 
 (g) “Good Reason” for an
Eligible Employee to resign employment shall mean the occurrence of any of the following events without the Eligible Employee’s consent: 
 (1) a material reduction in the Eligible Employee’s duties, authority, or responsibilities relative to the duties, authority, or responsibilities in effect immediately prior to such reduction;

 (2) the relocation of the Eligible Employee’s primary work location to a point more than fifty (50) miles
from the Eligible Employee’s work location as of the Effective Date that requires a material increase in Eligible Employee’s one-way driving distance; and 
 (3) a material reduction by the Company of the Eligible Employee’s base salary as in effect on the Effective Date. 
 Provided, however that, such resignation by the Eligible Employee shall only be deemed for Good Reason pursuant to the foregoing definition if (i) the Company is given written notice from the
Eligible Employee within ninety (90) days following the first occurrence of the condition that the Eligible Employee considers to constitute Good Reason describing the condition and the Company fails to satisfactorily remedy such condition
within thirty (30) days following such written notice, and (ii) the Eligible Employee terminates employment within ninety (90) days following the end of the period within which the Company was entitled to remedy the condition
constituting Good Reason but failed to do so. 
 (h) “Involuntary Termination Without Cause”
means with respect to an Eligible Employee, such Eligible Employee’s dismissal or discharge by the Company for a reason other than for Cause. The termination of a Eligible Employee’s employment will not be deemed to be an “Involuntary
Termination Without Cause” if such Eligible Employee’s termination occurs as a result of such Eligible Employee’s death or disability. 

  
 2. 

 (i) “Participation Notice” means the latest notice delivered
by the Company to an Eligible Employee substantially in the form of Annex I hereto. 
 (j) “Plan
Administrator” has the meaning set forth in Section 12(a). 
 (k) “Target Bonus”
means the target bonus (i.e., the annual bonus amount payable to an Eligible Employee in cash, common stock or other property if exactly 100% of all performance goals are achieved) most recently approved by the Compensation Committee or the Board
for such Eligible Employee. 
  

	Section 3.	ELIGIBILITY FOR BENEFITS. 

 (a) General Rules. Subject to the requirements set forth in this Section 3, the Company will grant severance benefits under the Plan to Eligible Employees. 

(1) Definition of “Eligible Employee.” A person is eligible to participate in the Plan (an “Eligible
Employee”) if (i) such person is designated by the Company as entitled to participate on Appendix A; (ii) such person has received a Participation Notice from the Company and executed and returned such Participation Notice to
the Company, and (iii) such person’s employment with the Company terminates due to a Covered Termination. The determination of whether a person is an Eligible Employee shall be made by the Board, in its sole discretion, and such
determination shall be binding and conclusive on all persons. 
 (2) In order to be eligible to receive benefits under
the Plan, an Eligible Employee must remain on the job until, in the case of an Involuntary Termination Without Cause, his or her date of termination as scheduled by the Company and, in the case of a resignation with Good Reason, the effective date
of his or her resignation. 
 (3) In order to be eligible to receive benefits under the Plan, an Eligible Employee also
must execute a general waiver and release in substantially the form attached hereto as Exhibit A, Exhibit B or Exhibit C, as appropriate, within the time period set forth therein, but in no event later than forty-five (45) days following the
date of such Covered Termination, and such release must become effective in accordance with its terms. The Plan Administrator, in its sole discretion, may modify the form of the required release to comply with applicable law and shall determine the
form of the required release, which may be incorporated into a termination agreement or other agreement with the Eligible Employee. 
 (b) Exceptions to Benefit Entitlement. An employee, including an employee who otherwise is an Eligible Employee, will not receive benefits under the Plan (or will receive reduced benefits under the
Plan) in the following circumstances, as determined by the Plan Administrator in its sole discretion: 
 (1) The
employee has executed an individually negotiated employment contract or agreement with the Company that includes severance benefits that is in effect on his or her Covered Termination date and such employee has not executed and returned a
Participation Notice to the Company. 

  
 3. 

 (2) The employee voluntarily terminates employment with the Company without Good
Reason. Such voluntary terminations include, but are not limited to, resignation without Good Reason, retirement or failure to return from a leave of absence on the scheduled date. 

(3) The employee terminates employment due to death or disability. 

(4) The employee terminates employment with the Company in order to accept employment with another entity that is wholly or
partly owned (directly or indirectly) by the Company. 
 (5) The employee is offered an identical or substantially
equivalent or comparable position with the Company. For purposes of the foregoing, a “substantially equivalent or comparable position” is one that offers the employee substantially the same level of responsibility and compensation.

 (6) The employee is offered immediate reemployment by a successor to the Company or by a purchaser of its assets, as
the case may be, following a change in ownership of the Company or a sale of substantially all of the assets of a division or business unit of the Company. For purposes of the foregoing, “immediate reemployment” means that the
employee’s employment with the successor to the Company or the purchaser of its assets, as the case may be, results in uninterrupted employment such that the employee does not incur a lapse in pay as a result of the change in ownership of the
Company or the sale of its assets. 
 (7) The employee is rehired by the Company prior to the date benefits under the
Plan are scheduled to commence. 
 (8) Benefits under this Plan shall terminate immediately if the employee, at any
time, violates any provision of the Company’s Proprietary Information and Inventions Agreement or any other proprietary information, confidentiality or non-solicitation obligation to the Company. 

 

	Section 4.	AMOUNT OF BENEFIT. 

 (a) Severance Benefits. Severance benefits under the Plan, if any, shall be provided to Eligible Employees described in Section 3 in the amount provided in Appendix B, as such Appendix B may
be revised by the Board, in its sole discretion, from time to time. Notwithstanding the foregoing, the Board may not amend or revise Appendix B in a manner that would impair the rights of an Eligible Employee, without such Eligible Employee’s
written consent. The amount of benefits paid to one Eligible Employee shall not determine the amount of benefits payable to any other Eligible Employee, whether or not similarly situated. 

(b) Additional Benefits. The Board may, in its sole discretion, provide benefits (i) in addition to those pursuant to
Section 4(a) to Eligible Employees or (ii) to employees who are not Eligible Employees (“Non-Eligible Employees”) chosen by the Board, in its sole discretion, and the provision of any such benefits to an Eligible
Employee or a Non-Eligible Employee shall in no way obligate the Company or the Board to provide such benefits to any other Eligible Employee or to any other Non-Eligible Employee, even if similarly situated.

  
 4. 

 
If benefits under the Plan are provided to a Non-Eligible Employee, references in the Plan to “Eligible Employee” (with the exception of Section 4(a)) shall be deemed to refer to
such Non-Eligible Employee. 
 (c) Certain Reductions. The Company, in its sole discretion, shall have the authority to
reduce an Eligible Employee’s severance benefits, in whole or in part, by any other severance benefits, pay and benefits provided during a period following written notice of a plant closing or mass layoff, pay and benefits in lieu of such
notice, or other similar benefits payable to the Eligible Employee by the Company that become payable in connection with the Eligible Employee’s termination of employment pursuant to (i) any applicable legal requirement, including, without
limitation, the Worker Adjustment and Retraining Notification Act, the California Plant Closing Act, or any other similar state law, (ii) a written employment or severance agreement with the Company, or (iii) any Company policy or practice
providing for the Eligible Employee to remain on the payroll for a limited period of time after being given notice of the termination of the Eligible Employee’s employment, and the Plan Administrator shall so construe and implement the terms of
the Plan. Any such reductions that the Company determines to make pursuant to this Section 4(c) shall be made such that any benefit under the Plan shall be reduced solely by any similar type of benefit under such legal requirement, agreement,
policy or practice (e.g., any cash severance benefits under the Plan shall be reduced solely by any cash payments or severance benefits under such legal requirement, agreement, policy or practice, and any continued insurance benefits
under the Plan shall be reduced solely by any continued insurance benefits under such legal requirement, agreement, policy or practice). The Company’s decision to apply such reductions to the severance benefits of one Eligible Employee and the
amount of such reductions shall in no way obligate the Company to apply the same reductions in the same amounts to the severance benefits of any other Eligible Employee, even if similarly situated. In the Company’s sole discretion, such
reductions may be applied on a retroactive basis, with severance benefits previously paid being re-characterized as payments pursuant to the Company’s obligation. 
 (d) Non-Duplication of Benefits. No Eligible Employee is eligible to receive benefits under this Plan more than one time. 

 

	Section 5.	RETURN OF COMPANY PROPERTY. 

An Eligible Employee will not be entitled to any severance benefit under the Plan unless and until the Eligible Employee returns all
Company Property. For this purpose, “Company Property” means all Company documents (and all copies thereof) and other Company property which the Eligible Employee had in his or her possession at any time, including, but not limited to,
Company files, notes, drawings, records, plans, forecasts, reports, studies, analyses, proposals, agreements, financial information, research and development information, sales and marketing information, operational and personnel information,
specifications, code, software, databases, computer-recorded information, tangible property and equipment (including, but not limited to, computers, facsimile machines, mobile telephones, servers), credit cards, entry cards, identification badges
and keys; and any materials of any kind which contain or embody any proprietary or confidential information of the Company (and all reproductions thereof in whole or in part). 

  
 5. 

	Section 6.	TIME OF PAYMENT AND FORM OF BENEFIT.

 The timing of payment of severance benefits will be as set forth on Appendix B, subject to the provisions of
this Section 6. 
 Notwithstanding anything to the contrary set forth herein or on Appendix B, any payments and benefits
provided under the Plan that constitute “deferred compensation” within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) and the regulations and other guidance thereunder
and any state law of similar effect (collectively “Section 409A”) shall not commence in connection with an Eligible Employee’s termination of employment unless and until the Eligible Employee has also incurred a
“separation from service,” as such term is defined in Treasury Regulations Section 1.409A-1(h) (“Separation from Service”), unless the Company reasonably determines that such amounts may be provided to the
Eligible Employee without causing the Eligible Employee to incur the adverse personal tax consequences under Section 409A. 

It is intended that (i) each installment of any benefits payable under the Plan to an Eligible Employee be regarded as a separate
“payment” for purposes of Treasury Regulations Section 1.409A-2(b)(2)(i), (ii) all payments of any such benefits under the Plan satisfy, to the greatest extent possible, the exemptions from the application of Section 409A
provided under Treasury Regulations Sections 1.409A-1(b)(4), 1.409A-1(b)(5) and 1.409A-1(b)(9)(iii), and (iii) any such benefits consisting of COBRA premiums also satisfy, to the greatest extent possible, the exemption from the application of
Section 409A provided under Treasury Regulations Section 1.409A-1(b)(9)(v). However, if the Company determines that any such benefits payable under the Plan constitute “deferred compensation” under Section 409A and the
Eligible Employee is a “specified employee” of the Company, as such term is defined in Section 409A(a)(2)(B)(i), then, solely to the extent necessary to avoid the imposition of the adverse personal tax consequences under
Section 409A, (A) the timing of such benefit payments shall be delayed until the earlier of (1) the date that is six (6) months and one (1) day after the Eligible Employee’s Separation from Service and (2) the date
of the Eligible Employee’s death (such applicable date, the “Delayed Initial Payment Date”), and (B) the Company shall (1) pay the Eligible Employee a lump sum amount equal to the sum of the benefit payments
that the Eligible Employee would otherwise have received through the Delayed Initial Payment Date if the commencement of the payment of the benefits had not been delayed pursuant to this paragraph and (2) commence paying the balance, if any, of
the benefits in accordance with the applicable payment schedule. 
 In no event shall payment of any benefits under the Plan be
made prior to an Eligible Employee’s termination date or prior to the effective date of the release described in Section 3(a)(3). If the Company determines that any payments or benefits provided under the Plan constitute “deferred
compensation” under Section 409A, and the Eligible Employee’s Separation from Service occurs at a time during the calendar year when the release described in Section 3(a)(3) could become effective in the calendar year following
the calendar year in which the Eligible Employee’s Separation from Service occurs, then regardless of when the release is returned to the Company and becomes effective, the release will not be deemed effective any earlier than the latest
permitted effective date. 

  
 6. 

 All severance payments under the Plan shall be subject to applicable withholding for
federal, state and local taxes. If an Eligible Employee is indebted to the Company at his or her termination date, the Company reserves the right to offset any severance payments under the Plan by the amount of such indebtedness. 

 

	Section 7.	APPLICATION OF INTERNAL REVENUE CODE SECTION 280G.

 If any payment or benefit an Eligible Employee would receive under the Plan from the Company pursuant to a
Change in Control or otherwise (“Payment”) would (i) constitute a “parachute payment” within the meaning of Section 280G of the Code, and (ii) but for this sentence, be subject to the excise tax
imposed by Section 4999 of the Code (the “Excise Tax”), then such Payment shall be equal to the Reduced Amount. The “Reduced Amount” shall be either (x) the largest portion of the Payment
that would result in no portion of the Payment being subject to the Excise Tax or (y) the largest portion, up to and including the total, of the Payment, whichever amount, after taking into account all applicable federal, state and local
employment taxes, income taxes, and the Excise Tax (all computed at the highest applicable marginal rate), results in the Eligible Employee’s receipt, on an after-tax basis, of the greater economic benefit notwithstanding that all or some
portion of the Payment may be subject to the Excise Tax. If a reduction in payments or benefits constituting “parachute payments” is necessary so that the Payment equals the Reduced Amount, reduction shall occur in the manner that results
in the greatest economic benefit for the Eligible Employee. If more than one method of reduction will result in the same economic benefit, the items so reduced will be reduced pro rata. 

In the event it is subsequently determined by the Internal Revenue Service that some portion of the Reduced Amount as determined pursuant
to clause (x) in the preceding paragraph is subject to the Excise Tax, the Eligible Employee agrees to promptly return to the Company a sufficient amount of the Payment so that no portion of the Reduced Amount is subject to the Excise Tax. For
the avoidance of doubt, if the Reduced Amount is determined pursuant to clause (y) in the preceding paragraph, the Eligible Employee will have no obligation to return any portion of the Payment pursuant to the preceding sentence. 

The accounting firm engaged by the Company for general tax compliance purposes as of the day prior to the effective date of the Change in
Control shall perform the foregoing calculations unless otherwise determined by the Company. If the accounting firm so engaged by the Company is serving as accountant or auditor for the individual, entity or group effecting the Change in Control,
the Company shall appoint a nationally recognized accounting firm to make the determinations required hereunder. The Company shall bear all expenses with respect to the determinations by such accounting firm required to be made hereunder.

 The Company shall use commercially reasonable efforts to cause the accounting firm engaged to make the determinations
hereunder to provide its calculations, together with detailed supporting documentation, within fifteen (15) calendar days after the date on which the Eligible Employee’s right to a Payment is triggered or such other time as requested by
the Company. 

  
 7. 

	Section 8.	REEMPLOYMENT. 

 In the event of an Eligible Employee’s reemployment by the Company during the period of time in respect of which severance benefits provided under the Plan have been paid, the Company, in its sole
and absolute discretion, may require such Eligible Employee to repay to the Company all or a portion of such severance benefits as a condition of reemployment. 
  

	Section 9.	RIGHT TO INTERPRET PLAN; AMENDMENT AND TERMINATION.

 (a) Exclusive Discretion. The Plan Administrator shall have the exclusive discretion and authority to
establish rules, forms, and procedures for the administration of the Plan and to construe and interpret the Plan and to decide any and all questions of fact, interpretation, definition, computation or administration arising in connection with the
operation of the Plan, including, but not limited to, the eligibility to participate in the Plan and amount of benefits paid under the Plan. The rules, interpretations, computations and other actions of the Plan Administrator shall be binding and
conclusive on all persons. 
 (b) Amendment or Termination. The Company reserves the right to amend or terminate this
Plan (including Appendix A and Appendix B) or the benefits provided hereunder at any time; provided, however, that no such amendment or termination shall affect the right to any unpaid benefit of any Eligible Employee whose termination date
has occurred prior to amendment or termination of the Plan. Any action amending or terminating the Plan shall be in writing and executed by the Chief Executive Officer or Chief Financial Officer of the Company. 

 

	Section 10.	NO IMPLIED EMPLOYMENT CONTRACT. 

The Plan shall not be deemed (i) to give any employee or other person any right to be retained in the employ of the Company or
(ii) to interfere with the right of the Company to discharge any employee or other person at any time, with or without cause, which right is hereby reserved. 
  

	Section 11.	LEGAL CONSTRUCTION. 

 This Plan is intended to be governed by and shall be construed in accordance with the Employee Retirement Income Security Act of 1974 (“ERISA”) and, to the extent not preempted by
ERISA, the laws of the State of California. 
  

	Section 12.	CLAIMS, INQUIRIES AND APPEALS. 

(a) Applications for Benefits and Inquiries. Any application for benefits, inquiries about the Plan or inquiries about present or
future rights under the Plan must be submitted to the Plan Administrator in writing by an applicant (or his or her authorized representative). The Plan Administrator is: 
 Trius Therapeutics, Inc. 
 6310 Nancy Ridge Dr., Suite 101 

San Diego, California 92121 

  
 8. 

 (b) Denial of Claims. In the event that any application for benefits is denied in
whole or in part, the Plan Administrator must provide the applicant with written or electronic notice of the denial of the application, and of the applicant’s right to review the denial. Any electronic notice will comply with the regulations of
the U.S. Department of Labor. The notice of denial will be set forth in a manner designed to be understood by the applicant and will include the following: 
 (1) the specific reason or reasons for the denial; 
 (2) references
to the specific Plan provisions upon which the denial is based; 
 (3) a description of any additional information or
material that the Plan Administrator needs to complete the review and an explanation of why such information or material is necessary; and 
 (4) an explanation of the Plan’s review procedures and the time limits applicable to such procedures, including a statement of the applicant’s right to bring a civil action under
Section 502(a) of ERISA following a denial on review of the claim, as described in Section 10(d) below. 
 This notice
of denial will be given to the applicant within ninety (90) days after the Plan Administrator receives the application, unless special circumstances require an extension of time, in which case, the Plan Administrator has up to an additional
ninety (90) days for processing the application. If an extension of time for processing is required, written notice of the extension will be furnished to the applicant before the end of the initial ninety (90) day period. 

This notice of extension will describe the special circumstances necessitating the additional time and the date by which the Plan
Administrator is to render its decision on the application. 
 (c) Request for a Review. Any person (or that
person’s authorized representative) for whom an application for benefits is denied, in whole or in part, may appeal the denial by submitting a request for a review to the Plan Administrator within sixty (60) days after the application is
denied. A request for a review shall be in writing and shall be addressed to: 
 Trius Therapeutics, Inc. 

6310 Nancy Ridge Dr., Suite 101 
 San Diego, California 92121 
 A request for review must set forth all of the grounds on which it
is based, all facts in support of the request and any other matters that the applicant feels are pertinent. The applicant (or his or her representative) shall have the opportunity to submit (or the Plan Administrator may require the applicant to
submit) written comments, documents, records, and other information relating to his or her claim. The applicant (or his or her representative) shall be provided, upon request and free of charge, reasonable access to, and copies of, all documents,
records and other information 

  
 9. 

 
relevant to his or her claim. The review shall take into account all comments, documents, records and other information submitted by the applicant (or his or her representative) relating to the
claim, without regard to whether such information was submitted or considered in the initial benefit determination. 
 (d)
Decision on Review. The Plan Administrator will act on each request for review within sixty (60) days after receipt of the request, unless special circumstances require an extension of time (not to exceed an additional sixty
(60) days), for processing the request for a review. If an extension for review is required, written notice of the extension will be furnished to the applicant within the initial sixty (60) day period. This notice of extension will
describe the special circumstances necessitating the additional time and the date by which the Plan Administrator is to render its decision on the review. The Plan Administrator will give prompt, written or electronic notice of its decision to the
applicant. Any electronic notice will comply with the regulations of the U.S. Department of Labor. In the event that the Plan Administrator confirms the denial of the application for benefits in whole or in part, the notice will set forth, in a
manner calculated to be understood by the applicant, the following: 
 (1) the specific reason or reasons for the
denial; 
 (2) references to the specific Plan provisions upon which the denial is based; 

(3) a statement that the applicant is entitled to receive, upon request and free of charge, reasonable access to, and copies of,
all documents, records and other information relevant to his or her claim; and 
 (4) a statement of the
applicant’s right to bring a civil action under Section 502(a) of ERISA. 
 (e) Rules and Procedures. The Plan
Administrator will establish rules and procedures, consistent with the Plan and with ERISA, as necessary and appropriate in carrying out its responsibilities in reviewing benefit claims. The Plan Administrator may require an applicant who wishes to
submit additional information in connection with an appeal from the denial of benefits to do so at the applicant’s own expense. 
 (f) Exhaustion of Remedies. No legal action for benefits under the Plan may be brought until the applicant (i) has submitted a written application for benefits in accordance with the
procedures described by Section 12(a) above, (ii) has been notified by the Plan Administrator that the application is denied, (iii) has filed a written request for a review of the application in accordance with the appeal procedure
described in Section 12(c) above, and (iv) has been notified that the Plan Administrator has denied the appeal. Notwithstanding the foregoing, if the Plan Administrator does not respond to an Eligible Employee’s claim or appeal within
the relevant time limits specified in this Section 12, the Eligible Employee may bring legal action for benefits under the Plan pursuant to Section 502(a) of ERISA. 

  
 10.

	Section 13.	BASIS OF PAYMENTS TO AND FROM PLAN.

 The Plan shall be unfunded, and all cash payments under the Plan shall be paid only from the general assets
of the Company. 
  

	Section 14.	OTHER PLAN INFORMATION. 

 (a) Employer and Plan Identification Numbers. The Employer Identification Number assigned to the Company (which is the “Plan Sponsor” as that term is used in ERISA) by the Internal
Revenue Service is 20-1320630. The Plan Number assigned to the Plan by the Plan Sponsor pursuant to the instructions of the Internal Revenue Service is 510. 
 (b) Ending Date for Plan’s Fiscal Year. The date of the end of the fiscal year for the purpose of maintaining the Plan’s records is December 31. 

(c) Agent for the Service of Legal Process. The agent for the service of legal process with respect to the Plan is: 

Chief Accounting Officer 
 Trius Therapeutics, Inc. 
 6310 Nancy Ridge Dr., Suite 101 

San Diego, California 92121 
 In
addition, service of legal process may be made upon the Plan Administrator. 
 (d) Plan Sponsor and Administrator. The
“Plan Sponsor” and the “Plan Administrator” of the Plan is: 
 Trius Therapeutics, Inc. 

6310 Nancy Ridge Dr., Suite 101 
 San Diego, California 92121 
 The Plan Sponsor’s and Plan
Administrator’s telephone number is (858) 452-0370. The Plan Administrator is the named fiduciary charged with the responsibility for administering the Plan. 
  

	Section 15.	STATEMENT OF ERISA RIGHTS. 

 Eligible Employees under this Plan (which is a welfare benefit plan sponsored by Trius Therapeutics, Inc.) are entitled to certain rights and protections under ERISA. If you are an Eligible Employee
participating in this Plan, under ERISA, you are entitled to: 
 (a) Receive Information About Your Plan and Benefits

 (1) Examine, without charge, at the Plan Administrator’s office and at other specified locations, such as
worksites, all documents governing the Plan and a copy of the latest annual report (Form 5500 Series), if applicable, filed by the Plan with the U.S. Department of Labor and available at the Public Disclosure Room of the Employee Benefits Security
Administration; 

  
 11.

 (2) Obtain, upon written request to the Plan Administrator, copies of documents
governing the operation of the Plan and copies of the latest annual report (Form 5500 Series), if applicable, and an updated (as necessary) Summary Plan Description. The Administrator may make a reasonable charge for the copies; and 

(3) Receive a summary of the Plan’s annual financial report, if applicable. The Plan Administrator is required by law to
furnish each Eligible Employee with a copy of this summary annual report. 
 (b) Prudent Actions by Plan Fiduciaries. In
addition to creating rights for Eligible Employees, ERISA imposes duties upon the people who are responsible for the operation of the employee benefit plan. The people who operate the Plan, called “fiduciaries” of the Plan, have a duty to
do so prudently and in the interest of you and other Eligible Employees and beneficiaries. No one, including your employer, your union or any other person, may fire you or otherwise discriminate against you in any way to prevent you from obtaining a
Plan benefit or exercising your rights under ERISA. 
 (c) Enforce Your Rights. If your claim for a Plan benefit is
denied or ignored, in whole or in part, you have a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time schedules. 

Under ERISA, there are steps you can take to enforce the above rights. For instance, if you request a copy of Plan documents or the
latest annual report from the Plan, if applicable, and do not receive them within 30 days, you may file suit in a Federal court. In such a case, the court may require the Plan Administrator to provide the materials and pay you up to $110 a day until
you receive the materials, unless the materials were not sent because of reasons beyond the control of the Plan Administrator. 

If you have a claim for benefits which is denied or ignored, in whole or in part, you may file suit in a state or Federal court.

 If you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor, or
you may file suit in a Federal court. The court will decide who should pay court costs and legal fees. If you are successful, the court may order the person you have sued to pay these costs and fees. If you lose, the court may order you to pay these
costs and fees, for example, if it finds your claim is frivolous. 
 (d) Assistance with Your Questions. If you have any
questions about the Plan, you should contact the Plan Administrator. If you have any questions about this statement or about your rights under ERISA, or if you need assistance in obtaining documents from the Plan Administrator, you should contact
the nearest office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in your telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of
Labor, 200 Constitution Avenue N.W., Washington, D.C. 20210. You may also obtain certain publications about your rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security Administration.

  
 12.

	Section 16.	EXECUTION. 

 To record the adoption of the Plan as set forth herein, effective as of August 11, 2011, Trius Therapeutics, Inc. has caused its duly authorized officer to execute the same this 11th day of August, 2011, as amended this 21st day of May, 2013. 

 

			
	TRIUS THERAPEUTICS, INC.
		
	By:	 	 /s/ Jeffrey Stein, Ph.D.

		
	Title:	 	 Chief Executive Officer

  
 13.

 ANNEX I 
 TRIUS THERAPEUTICS, INC. 
 EXECUTIVE SEVERANCE BENEFIT PLAN

 PARTICIPATION NOTICE 
  

			
	To:	 	  

		
	Date:	 	  

 Trius Therapeutics, Inc. (the “Company”) has adopted the Trius Therapeutics, Inc.
Severance Benefit Plan (the “Plan”). The Company is providing you with this Participation Notice to inform you that you have been designated as a [Tier I][Tier II][Tier III] Eligible Employee under the Plan. 

A copy of the Plan document is attached to this Participation Notice. The terms and conditions of your participation in the Plan are as
set forth in the Plan and this Participation Notice, which together also constitute a summary plan description of the Plan. 

In consideration for the benefits set forth in the Plan, each Eligible Employee’s severance benefits shall be governed by the terms
of the Plan and the Plan shall supersede and replace any and all severance or change in control benefits payable to you as set forth in any individually negotiated employment contract or agreement, including offer letters, with the Company entered
into prior to the date hereof. 
 If you choose to participate in the Plan, please return to the Company’s Chief Accounting
Officer a copy of this Participation Notice signed by you and retain a copy of this Participation Notice, along with the Plan document, for your records. Please note that you are not an Eligible Employee under the Plan until you execute and
return this Participation Notice and attached Acknowledgement to the Company. 
  

							
	TRIUS THERAPEUTICS, INC.	 		 	
				
	By:	 	  
	 		 	  

		 		 		 	Eligible Employee
	Its:	 	[Chief Executive Officer]	 		 	
	[Chairman of the Compensation Committee]	 		 	  

		 		 		 	Print Name

  
 1. 

 For Employees Age 40 or Older 

Individual Termination 
  

 EXHIBIT A 

RELEASE AGREEMENT 
 I understand and agree completely to the terms set forth in the Trius Therapeutics, Inc. Severance Benefit Plan (the “Plan”). 

I understand that this Release Agreement (the “Release”), together with the Plan, constitutes the complete, final
and exclusive embodiment of the entire agreement between the Company, affiliates of the Company and me with regard to the subject matter hereof. I am not relying on any promise or representation by the Company that is not expressly stated therein.
Certain capitalized terms used in this Release are defined in the Plan. 
 I hereby confirm my obligations under my proprietary
information and inventions agreement with the Company. 
 In consideration of the severance benefits and other consideration
provided to me under the Plan that I am not otherwise entitled to receive, I hereby generally and completely release the Company and its parent, subsidiaries, successors, predecessors and affiliates, and their current and former partners, members,
directors, officers, employees, stockholders, shareholders, agents, attorneys, predecessors, successors, insurers, affiliates and assigns, from any and all claims, liabilities and obligations, both known and unknown, that arise out of or are in any
way related to events, acts, conduct, or omissions occurring at any time prior to and including the date I sign this Release (collectively, the “Released Claims”). The Released Claims include, but are not limited to:
(a) all claims arising out of or in any way related to my employment with the Company or its affiliates, or the termination of that employment; (b) all claims related to my compensation or benefits, including salary, bonuses, commissions,
vacation pay, expense reimbursements, severance pay, fringe benefits, stock, stock options, or any other ownership, equity, or profits interests in the Company and its affiliates; (c) all claims for breach of contract, wrongful termination, and
breach of the implied covenant of good faith and fair dealing; (d) all tort claims, including claims for fraud, defamation, emotional distress, and discharge in violation of public policy; and (e) all federal, state, and local statutory
claims, including claims for discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under the federal Civil Rights Act of 1964 (as amended), the federal Americans with Disabilities Act of 1990 (as amended), the
federal Age Discrimination in Employment Act (as amended) (“ADEA”), the federal Employee Retirement Income Security Act of 1974 (as amended), the Federal Family and Medical Leave Act (“FMLA”)and the
California Fair Employment and Housing Act (as amended) and the California Labor Code. 
 Notwithstanding the foregoing, I
understand that the following rights or claims are not included in the Released Claims: (a) any rights or claims for indemnification I may have pursuant to any written indemnification agreement with the Company or its affiliates to which I am a
party; the charter, bylaws, or operating agreements of he Company or its affiliates; or under applicable law; or (b) any rights that cannot be waived as a matter of law. In addition, I understand that nothing in this Release prevents me from
filing, cooperating with, or participating in any proceeding before the Equal Employment Opportunity Commission, the 

  
 1. 

 For Employees Age 40 or Older 

Individual Termination 
  

 
Department of Labor, the California Department of Fair Employment and Housing, or any other government agency, except that I hereby waive my right to any monetary benefits in connection with any
such claim, charge or proceeding. I hereby represent and warrant that, other than the claims identified in this paragraph, I am not aware of any claims I have or might have that are not included in the Released Claims. 

I acknowledge that I am knowingly and voluntarily waiving and releasing any rights I may have under the ADEA, and that the consideration
given under the Plan for the waiver and release in this paragraph is in addition to anything of value to which I was already entitled. I further acknowledge that I have been advised by this writing, as required by the ADEA, that: (a) my waiver
and release do not apply to any rights or claims that may arise after the date I sign this Release; (b) I should consult with an attorney prior to signing this Release (although I may choose voluntarily not do so); (c) I have twenty-one
(21) days to consider this Release (although I may choose voluntarily to sign this Release earlier); (d) I have seven (7) days following the date I sign this Release to revoke the Release by providing written notice to an officer of
the Company; and (e) this Release shall not be effective until the date upon which the revocation period has expired, which shall be the eighth day after I sign this Release provided I have not revoked it. 

I acknowledge that I have read and understand Section 1542 of the California Civil Code which reads as follows: “A general
release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the
debtor.” I hereby expressly waive and relinquish all rights and benefits under that section and any law of any jurisdiction of similar effect with respect to my release of any claims hereunder. 

I hereby represent that I have been paid all compensation owed and for all hours worked; I have received all the leave and leave benefits
and protections for which I am eligible pursuant to the FMLA, the California Family Rights Act, or otherwise; and I have not suffered any on-the-job injury for which I have not already filed a workers’ compensation claim. 

I acknowledge that to become effective, I must sign and return this Release to the Company so that it is received not later than
twenty-one (21) days following the date it is provided to me or such other date as specified by the Company. 
  

			
	EMPLOYEE
		
	Printed Name:	 	  

		
	Signature:	 	  

		
	Date:	 	  

  
 2. 

 For Employees Age 40 and Older 

Group Termination 
  

 EXHIBIT B 

RELEASE AGREEMENT 
 I understand and agree completely to the terms set forth in the Trius Therapeutics, Inc. Severance Benefit Plan (the “Plan”). 

I understand that this Release Agreement (the “Release”), together with the Plan, constitutes the complete, final
and exclusive embodiment of the entire agreement between the Company, affiliates of the Company and me with regard to the subject matter hereof. I am not relying on any promise or representation by the Company that is not expressly stated therein.
Certain capitalized terms used in this Release are defined in the Plan. 
 I hereby confirm my obligations under my proprietary
information and inventions agreement with the Company. 
 In consideration of the severance benefits and other consideration
provided to me under the Plan that I am not otherwise entitled to receive, I hereby generally and completely release the Company and its parent, subsidiaries, successors, predecessors and affiliates, and their current and former partners, members,
directors, officers, employees, stockholders, shareholders, agents, attorneys, predecessors, successors, insurers, affiliates and assigns, from any and all claims, liabilities and obligations, both known and unknown, that arise out of or are in any
way related to events, acts, conduct, or omissions occurring at any time prior to and including the date I sign this Release (collectively, the “Released Claims”). The Released Claims include, but are not limited to:
(a) all claims arising out of or in any way related to my employment with the Company or its affiliates, or the termination of that employment; (b) all claims related to my compensation or benefits, including salary, bonuses, commissions,
vacation pay, expense reimbursements, severance pay, fringe benefits, stock, stock options, or any other ownership, equity, or profits interests in the Company and its affiliates; (c) all claims for breach of contract, wrongful termination, and
breach of the implied covenant of good faith and fair dealing; (d) all tort claims, including claims for fraud, defamation, emotional distress, and discharge in violation of public policy; and (e) all federal, state, and local statutory
claims, including claims for discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under the federal Civil Rights Act of 1964 (as amended), the federal Americans with Disabilities Act of 1990 (as amended), the
federal Age Discrimination in Employment Act (as amended) (“ADEA”), the federal Employee Retirement Income Security Act of 1974 (as amended), the Federal Family and Medical Leave Act (“FMLA”) and the
California Fair Employment and Housing Act (as amended) and the California Labor Code. 
 Notwithstanding the foregoing, I
understand that the following rights or claims are not included in the Released Claims: (a) any rights or claims for indemnification I may have pursuant to any written indemnification agreement with the Company or its affiliates to which I am a
party; the charter, bylaws, or operating agreements of he Company or its affiliates; or under applicable law; or (b) any rights that cannot be waived as a matter of law. In addition, I understand that nothing in this Release prevents me from
filing, cooperating with, or participating in any proceeding before the Equal Employment Opportunity Commission, the 

  
 1. 

 For Employees Age 40 and Older 

Group Termination 
  

 
Department of Labor, the California Department of Fair Employment and Housing, or any other government agency, except that I hereby waive my right to any monetary benefits in connection with any
such claim, charge or proceeding. I hereby represent and warrant that, other than the claims identified in this paragraph, I am not aware of any claims I have or might have that are not included in the Released Claims. 

I acknowledge that I am knowingly and voluntarily waiving and releasing any rights I may have under the ADEA, and that the consideration
given under the Plan for the waiver and release in this paragraph is in addition to anything of value to which I was already entitled. I further acknowledge that I have been advised by this writing, as required by the ADEA, that: (a) my waiver
and release do not apply to any rights or claims that may arise after the date I sign this Release; (b) I should consult with an attorney prior to signing this Release (although I may choose voluntarily not to do so); (c) I have forty-five
(45) days to consider this Release (although I may choose voluntarily to sign this Release earlier); (d) I have seven (7) days following the date I sign this Release to revoke the Release by providing written notice to an office of
the Company; (e) this Release shall not be effective until the date upon which the revocation period has expired, which shall be the eighth day after I sign this Release provided I have not revoked it; and (f) I have received with this
Release all of the information required by the ADEA, including without limitation a detailed list of the job titles and ages of all employees who were terminated in this group termination and the ages of all employees of the Company in the same job
classification or organizational unit who were not terminated. 
 I acknowledge that I have read and understand
Section 1542 of the California Civil Code which reads as follows: “A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known
by him or her must have materially affected his or her settlement with the debtor.” I hereby expressly waive and relinquish all rights and benefits under that section and any law of any jurisdiction of similar effect with respect to my
release of any claims hereunder. 
 I hereby represent that I have been paid all compensation owed and for all hours worked; I
have received all the leave and leave benefits and protections for which I am eligible pursuant to the FMLA, the California Family Rights Act, or otherwise; and I have not suffered any on-the-job injury for which I have not already filed a
workers’ compensation claim. 
 I acknowledge that to become effective, I must sign and return this Release to the Company
so that it is received not later than forty-five (45) days following the date it is provided to me or such other date as specified by the Company. 

 

			
	EMPLOYEE
		
	Printed Name:	 	  

		
	Signature:	 	  

		
	Date:	 	  

  
 2. 

 For Employees Under Age 40 

Individual or Group Termination 
  

 EXHIBIT C 

RELEASE AGREEMENT 
 I understand and agree completely to the terms set forth in the Trius Therapeutics, Inc. Severance Benefit Plan (the “Plan”). 

I understand that this Release Agreement (the “Release”), together with the Plan, constitutes the complete, final
and exclusive embodiment of the entire agreement between the Company, affiliates of the Company and me with regard to the subject matter hereof. I am not relying on any promise or representation by the Company that is not expressly stated therein.
Certain capitalized terms used in this Release are defined in the Plan. 
 I hereby confirm my obligations under my proprietary
information and inventions agreement with the Company. 
 In consideration of the severance benefits and other consideration
provided to me under the Plan that I am not otherwise entitled to receive, I hereby generally and completely release the Company and its parent, subsidiaries, successors, predecessors and affiliates, and their current and former partners, members,
directors, officers, employees, stockholders, shareholders, agents, attorneys, predecessors, successors, insurers, affiliates and assigns, from any and all claims, liabilities and obligations, both known and unknown, that arise out of or are in any
way related to events, acts, conduct, or omissions occurring at any time prior to and including the date I sign this Release (collectively, the “Released Claims”). The Released Claims include, but are not limited to:
(a) all claims arising out of or in any way related to my employment with the Company or its affiliates, or the termination of that employment; (b) all claims related to my compensation or benefits, including salary, bonuses, commissions,
vacation pay, expense reimbursements, severance pay, fringe benefits, stock, stock options, or any other ownership, equity, or profits interests in the Company and its affiliates; (c) all claims for breach of contract, wrongful termination, and
breach of the implied covenant of good faith and fair dealing; (d) all tort claims, including claims for fraud, defamation, emotional distress, and discharge in violation of public policy; and (e) all federal, state, and local statutory
claims, including claims for discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under the federal Civil Rights Act of 1964 (as amended), the federal Americans with Disabilities Act of 1990 (as amended), the
Federal Family and Medical Leave Act (“FMLA”), the California Fair Employment and Housing Act (as amended) and the California Labor Code. 
 Notwithstanding the foregoing, I understand that the following rights or claims are not included in the Released Claims: (a) any rights or claims for indemnification I may have pursuant to any
written indemnification agreement with the Company or its affiliates to which I am a party; the charter, bylaws, or operating agreements of he Company or its affiliates; or under applicable law; or (b) any rights that cannot be waived as a
matter of law. In addition, I understand that nothing in this Release prevents me from filing, cooperating with, or participating in any proceeding before the Equal Employment Opportunity Commission, the Department of Labor, the California
Department of Fair Employment and Housing, or any other government agency, except that I hereby waive my right to any monetary benefits in connection 

  
 1. 

 For Employees Under Age 40 

Individual or Group Termination 
  

 
with any such claim, charge or proceeding. I hereby represent and warrant that, other than the claims identified in this paragraph, I am not aware of any claims I have or might have that are not
included in the Released Claims. 
 I acknowledge that I have read and understand Section 1542 of the California Civil Code
which reads as follows: “A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected
his or her settlement with the debtor.” I hereby expressly waive and relinquish all rights and benefits under that section and any law of any jurisdiction of similar effect with respect to my release of any claims hereunder. 

I hereby represent that I have been paid all compensation owed and for all hours worked; I have received all the leave and leave benefits
and protections for which I am eligible pursuant to the FMLA, the California Family Rights Act, or otherwise; and I have not suffered any on-the-job injury for which I have not already filed a workers’ compensation claim. 

I acknowledge that to become effective, I must sign and return this Release to the Company so that it is received not later than fourteen
(14) days following the date it is provided to me or such other date as specified by the Company. 
  

			
	EMPLOYEE
		
	Printed Name:	 	  

		
	Signature:	 	  

		
	Date:	 	  

  
 2. 

 APPENDIX A 

TRIUS THERAPEUTICS, INC. 

SEVERANCE BENEFIT PLAN 
 Eligible Employees of the Company who are eligible to participate in the Trius Therapeutics, Inc. Severance Benefit Plan (each an “Eligible Employee”), and the level of benefit
entitlement as provided in Appendix B are as follows: 
  

					
	 Title
	 	  	  	 Tier Level

			
	Chief Executive Officer	 	–	  	Tier I
			
	Chief Commercial Officer	 	–	  	Tier II
			
	Chief Financial Officer	 	–	  	Tier III
			
	Chief Development Officer	 	–	  	Tier III
			
	Chief Scientific Officer	 	–	  	Tier III
			
	Chief Medical Officer	 	–	  	Tier III
			
	General Counsel	 	–	  	Tier III

 The foregoing list of Eligible Employees is subject to such change as the Company, pursuant to Section 3(a)(1) and
4(a) of the Plan, may determine in its sole and absolute discretion. Any such change to the list of Eligible Employees shall be set forth in a revised version of this Appendix A. 

 

					
	Appendix A Amended and Restated: May 21, 2013
		
		 	TRIUS THERAPEUTICS, INC.
			
		 	By:	 	 /s/ Jeffrey Stein, Ph.D.

			
		 	Title:	 	 Chief Executive Officer

  
 1. 

 APPENDIX B 

TRIUS THERAPEUTICS, INC. 

SEVERANCE BENEFIT PLAN 

Severance benefits provided to Eligible Employees under the Trius Therapeutics, Inc. Severance Benefit Plan (the
“Plan”) are as follows. Capitalized terms used herein have the definitions set forth in the Plan. 
  

	1.	Severance Benefits. Subject to the exceptions set forth in Section 3(b) of the Plan, each Eligible Employee who meets all the requirements set forth in
Sections 3(a) and 5 of the Plan, including, without limitation, executing a general waiver and release in substantially the form attached to the Plan as Exhibit A, Exhibit B or Exhibit C, as appropriate, within the applicable
time period set forth therein and provided that such release becomes effective in accordance with its terms, shall receive severance benefits as set forth in this Appendix B. The Company, in its sole discretion, may modify the form of the required
general waiver and release to comply with applicable law, and may incorporate such waiver and release into a termination agreement or other agreement with the Eligible Employee. 

 

	 	(a)	Cash Severance Benefit. An Eligible Employee who suffers a Covered Termination shall be entitled to receive a cash severance benefit equal to the number of
months of Base Salary set forth below next to his or her Tier Level (as indicated on Appendix A) at the time of termination. Such cash severance benefits will be paid in a lump sum following the date of a Covered Termination, subject to any delay in
payment required by Section 6 of the Plan including any delay necessary so that no payments are made prior to the effectiveness of the release and waiver. 

 

					
	 Tier Level
	  	Months of Base Salary for
Covered Termination	  	Months of Base Salary
for Change in Control
Related Termination
			
	Tier I	  	12 months	  	18
			
	Tier II	  	6 months	  	12
			
	Tier III	  	6 months	  	12

  

	 	(b)	 Bonus Payment. An Eligible Employee who suffers a Covered Termination that is not a Change in Control Related Termination shall not be entitled
to receive a portion of his or her annual Target Bonus pursuant to the terms of this Plan. An 

  
 2. 

	 	
Eligible Employee who suffers a Covered Termination that is a Change in Control Related Termination shall be entitled to receive a pro-rata portion of his or her annual Target Bonus pursuant to
the terms of this Plan, based on the number of days during the calendar year before the Covered Termination divided by 365. Such pro-rata Target Bonus payment will be paid in a lump sum following the date of such Covered Termination, subject to any
delay in payment required by Section 6 of the Plan including any delay necessary so that no payments are made prior to the effectiveness of the release and waiver. 

 

	 	(c)	Continued Group Health Plan Benefits. Each Eligible Employee who is enrolled in a health, dental, or vision plan sponsored by the Company may be eligible to
continue coverage under such health, dental, or vision plan (or to convert to an individual policy), at the time of the Eligible Employee’s termination of employment, under the Consolidated Omnibus Budget Reconciliation Act of 1985
(“COBRA”). The Company will notify the Eligible Employee of any such right to continue such coverage at the time of termination pursuant to COBRA. No provision of this Plan will affect the continuation coverage rules under
COBRA, except that the Company’s payment, if any, of applicable insurance premiums will be credited, except for purposes of the American Recovery and Reinvestment Act of 2009, as amended (“ARRA”), as payment by the
Eligible Employee for purposes of the Eligible Employee’s payment required under COBRA. Therefore, the period during which an Eligible Employee may elect to continue the Company’s or its affiliate’s health, dental, or vision plan
coverage at his or her own expense under COBRA, the length of time during which COBRA coverage will be made available to the Eligible Employee, and all other rights and obligations of the Eligible Employee under COBRA (except the obligation to pay
insurance premiums) will be applied in the same manner that such rules would apply in the absence of this Plan. 

If an Eligible Employee timely elects continued coverage under COBRA, the Company shall pay the full amount of the Eligible
Employee’s COBRA premiums, or shall provide coverage under any self-funded plan, on behalf of the Eligible Employee for the Eligible Employee’s continued coverage under the Company’s group health plans, including coverage for the
Eligible Employee’s eligible dependents, the number of months following the Eligible Employee’s termination of employment as set forth in the table below next to his or her Tier Level; provided, however, that no such premium payments shall
be made, and no coverage shall be provided under any self-funded group health plan, following the Eligible Employee’s death or the effective date of the Eligible Employee’s coverage by a group health plan of a subsequent employer. Each
Eligible Employee shall be required to notify the Company immediately if the Eligible Employee becomes covered by a group health plan of a subsequent employer. Upon the conclusion of such period of insurance premium payments made by the Company, or
the provision of coverage under a self-funded group health plan, the Eligible Employee will be responsible for the entire payment of premiums required under COBRA for the duration of the COBRA period, except to the extent that the Eligible Employee
qualifies under ARRA as an “assistance eligible individual” who is entitled to COBRA premium assistance without recapture. 

  
 3. 

 For purposes of this Section 1(c), (i) references to COBRA shall be deemed to
refer also to analogous provisions of state law and (ii) any applicable insurance premiums that are paid by the Company shall not include any amounts payable by the Eligible Employee under an Internal Revenue Code Section 125 health care
reimbursement plan, which amounts, if any, are the sole responsibility of the Eligible Employee. 
  

					
	 Tier Level
	  	Months of COBRA
Continuation Coverage for
Covered Termination	  	Months of COBRA
Continuation Coverage
for Change in Control
Related Termination
			
	Tier I	  	12 months	  	18
			
	Tier II	  	6 months	  	12
			
	Tier III	  	6 months	  	12

  

	 	(d)	Equity Compensation Vesting Acceleration. 

  

	 	(i)	Covered Termination that is not a Change in Control Related Termination. For each Eligible Employee who is a Tier I or Tier II employee (i) the vesting and
exercisability of all outstanding options to purchase the Company’s common stock that are held by the Eligible Employee on the date of a Covered Termination shall be accelerated with respect to the number of shares that would have vested had
the Eligible Employee remained employed by the Company for an additional six months following the date of the Covered Termination, (ii) any reacquisition or repurchase rights held by the Company in respect of common stock issued pursuant to any
other stock award granted to the Eligible Employee by the Company shall lapse to the same extent such rights would have lapsed had the Eligible Employee remained employed by the Company for an additional six months following the date of the Covered
Termination, and (iii) the vesting of any other stock awards granted to the Eligible Employee by the Company, and any issuance of shares triggered by the vesting of such stock awards, shall be accelerated with respect to the number of shares
that would have vested had the Eligible Employee remained employed by the Company for an additional six months following the date of the Covered Termination. 

  
 4. 

	 	(ii)	Covered Termination that is a Change in Control Related Termination. If the Eligible Employee’s Covered Termination is a Change in Control Related
Termination, then: (i) the vesting and exercisability of all outstanding options to purchase the Company’s common stock that are held by the Eligible Employee on such date shall be accelerated in full as of the date of such Change in
Control Related Termination, (ii) any reacquisition or repurchase rights held by the Company in respect of common stock issued pursuant to any other stock award granted to the Eligible Employee by the Company shall lapse in full as of the date
of such Change in Control Related Termination, and (iii) the vesting of any other stock awards granted to the Eligible Employee by the Company, and any issuance of shares triggered by the vesting of such stock awards, shall be accelerated in
full as of the date of such Change in Control Related Termination. 

 Notwithstanding the foregoing, this
Section 1(d) shall not apply to stock awards issued under or held in any Qualified Plan. “Qualified Plan” means a plan sponsored by the Company that is intended to be qualified under Section 401(a) of the Internal
Revenue Code. 
  

	2.	Other Employee Benefits. All other benefits (such as life insurance, disability coverage, and 401(k) plan coverage) terminate as of the Eligible Employee’s
termination date (except to the extent that a conversion privilege may be available thereunder). 

  

	3.	Reductions Pursuant to Section 4(c) of the Plan. The severance benefits set forth in this Appendix B are subject to certain reductions under
Section 4(c) of the Plan. 

 The foregoing severance benefits are subject to such change as the Company,
pursuant to Section 4(a) and 4(b) of the Plan, may determine in its sole and absolute discretion. Any such change in severance benefits made pursuant to Section 4(a) of the Plan shall be set forth in a revised version of this Appendix B.

  

			
	Appendix B Adopted: August     , 2011
	
	TRIUS THERAPEUTICS, INC.
		
	By:	 	  

		
	Title:	 	  

  
 5.

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