Document:

Joint Venture Agreement Dated as of  April 27, 1998

 Exhibit 10.10 
  
 Amendment no 1 to Joint Venture Agreement 
  
 by and among 
  
 Loews Cineplex International Holdings, Inc. 
  
 (formerly LTM Spanish Holdings, Inc) 
  
 and 
  
 Ricardo Evole Martil 
  
 In Madrid and New York as of July 7, 2003. 

 Amendment no 1 to Joint Venture Agreement 
 by and among 
 Loews Cineplex International Holdings, Inc. (formerly LTM
Spanish Holdings, Inc) 
 and Ricardo Evole Martil 
  
 In Madrid and New York as of July 7, 2003. 
  
 COME TOGETHER 
  
 ON THE ONE HAND: Mr. Travis Reid, of age, with professional domicile in New York 711 Fifth Avenue with passport number 112136914. He appears in the name and in
representation of Loews Cineplex International Holdings, Inc., with professional domicile in 711 Fifth Avenue, 12th
Floor, NY, NY 10022. 
  
 He makes use of the authorities that correspond to him as
President of Loews Cineplex International Holdings, Inc. 
  
 AND ON THE OTHER
HAND: Mr. Ricardo Evole Martil, of age, with professional domicile in Madrid, calle Princesa 31, with NIF 2.450.193-A. 
  
 He appears in his own name and behalf. 
  
 The parties mutually recognize the capacity of the other to assume the obligations established herein and 
  
 THEY STATE 
  
 I.- That on April 27,1998 Mr. Ricardo Evole Martil (hereinafter “RE”) and Loews Cineplex International Holdings, Inc. (previously LTM Spanish Holdings,
Inc.) (hereinafter “Loews”) entered into a Joint Venture Agreement (the “Agreement”) to jointly form and manage a motion picture business in Spain under the company name Yelmo Cineplex, S.L., whose governance and administration
would correspond to the parties in the form provided for therein, likewise establishing the undertakings assumed by each of the parties for the execution of that agreed to, and among other things, the contribution of capital to the Joint Venture
Company. 
  
 A copy of said Agreement excluding all its annexes, appendices and
schedules, except for Appendix A, is attached hereto as Annex I. 
  

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 II.- The Agreement established an obligation for Loews to make capital contributions to the Joint Venture Company
Yelmo Cineplex, S.L. (the “JV” or the “Company”) equal to the Contribution Amount. 
  
 III.- That in compliance with the Agreement, on June 10, 1998 the JV and RE entered into a top management agreement expiring June 9, 2003, by virtue of which the carrying out of the duties of a General Manager
of the JV were entrusted to RE. 
  
 A copy of said top executive contract is
attached hereto as Annex II. 
  
 IV.- That at the signature
of this document, the share capital of the JV is 11,970,000,000 pesetas (ELEVEN THOUSAND NINE HUNDRED AND SEVENTY MILLION PESETAS), equivalent to 71,941,148.891 Euros (SEVENTY ONE MILLION NINE HUNDRED AND FORTY ONE THOUSAND ONE HUNDRED AND FORTY EIGHT EUROS AND EIGHTY NINE CENTS) divided in 23.940 units numbers 1 to 4,000 and 16,001 to 23,940, inclusive,
Class A, and 4,001 to 16,000, inclusive, Class B, all with a nominal value of 500,000 pesetas (FIVE HUNDRED THOUSAND PESETAS), equivalent to 3,005.060522 Euros (THREE THOUSAND FIVE EUROS AND ZERO SIX ZERO FIVE TWO TWO CENTS), as a consequence of the
following contributions: the partner RE has contributed to the JV as an in kind capital contribution the amount of 6,000,000,000 pesetas (SIX THOUSAND MILLION PESETAS), having subscribed to, as a consequence, 12,000 (TWELVE THOUSAND) units in the
JV, numbers 4,001 to 16,000, inclusive, of Class B, of 500,000 pesetas (FIVE HUNDRED THOUSAND PESETAS) nominal value each, representing 50.12531328% of the total share capital and the partner Loews has contributed to the JV as a cash contribution to
the share capital 5,970,000,000 pesetas (FIVE THOUSAND NINE HUNDRED AND SEVENTY MILLION PESETAS), plus issuance premium in cash for an amount of 2,574,894,895 pesetas (TWO THOUSAND FIVE HUNDRED AND SEVENTY FOUR MILLION EIGHT HUNDRED AND NINETY FOUR
THOUSAND EIGHT HUNDRED AND NINETY FIVE PESETAS) having subscribed to as a consequence 11,940 (ELEVEN THOUSAND NINE HUNDRED AND FORTY) units of the JV, numbers 1 to 4,000 and 16,001 to 23,940 of Class A, inclusive, with a nominal value of 500,000
pesetas (FIVE HUNDRED THOUSAND PESETAS) and each representing 49.87468671% of the total share capital. 
  
 V.- That on June 30, 2003 a meeting of the Board of Directors of JV and its Subsidiary was held to prepare the Annual Accounts of both companies corresponding to fiscal year ended December 31, 2002 and on this
same date a meeting of JV Members and its Subsidiary were held to approve such Annual Accounts and agree on the allocation of results obtained during such fiscal year. 

	1	71,941,148.894739€ before rounding to two decimals. 

  

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 VI.- That the parties have agreed to partially modify the Agreement through this amendment (the
“Amendment”) to approve a capital contribution by Loews which permits it to own 50% of share capital of the Company, to renew the top executive contact mentioned in Whereas III and to hold a partners meeting to effectuate certain
additional provisions concerning the ownership, government and administration of the JV, as set forth in this Amendment, all of this in accordance with the following, 
  
 CLAUSES 
  
 FIRST.- DEFINED TERMS. 
  
 Capitalized terms used but otherwise not defined herein shall have the meanings ascribed thereto in the Agreement. In addition the following terms, when capitalized,
shall have the following meanings: 
  
 (a) “Agreement”
shall have the meaning set forth in the Recitals to this Amendment. 
  
 (b)
“Amended Agreement” shall mean the Agreement, as amended hereby. 
  
 (c) “Permitted Transferee” the definition provided for in the Agreement shall be substituted for the following: 
  
 “Permitted Transferee” means any Subsidiary of Loews or any corporation in which RE and/or his children and/or lawful wife owns at least 51% of the outstanding equity, or directly, RE’s lawful wife and children. To be a Permitted Transferee such
transferee must execute the writing required by Section 8.1 of the Amended Agreement to be bound by the terms of this Agreement. Furthermore, for the transfer to be considered as made to a Permitted Transferee RE and his lawful wife and children
shall be jointly and severally obligated to perform the duties of RE under the Amendment Agreement including without limitation, the voting obligations in Section 7 of the Amended Agreement, the transfer restrictions and related provisions in
Section 8 of the Amended Agreement and the covenants regarding non-competition and corporate opportunities in Section 10 of the Amended Agreement, and shall be jointly and severally liable for any breach of any such duty by any of them; and Loews
and its Subsidiary shall be jointly and severally obligated to perform the duties of Loews under the Amendment Agreement including without limitation, the voting obligations in Section 7 of the Amended Agreement, the transfer restrictions and
related provisions in Section 8 of the Amended Agreement and the covenants regarding non-competition and corporate opportunities in Section 10 of the Amended Agreement, and shall be jointly and severally liable for any breach of any such duty by any
Subsidiary. In the case of Subsidiaries of Loews with a net worth of less than US $ 100 Million they must continue to be a Subsidiary of Loews.” 
  

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 (d) Plurals, Gender, Etc. In the Amended Agreement, unless the context otherwise indicates or requires: 
  
 (i) words in the singular include the plural and vice versa and words in one
gender include the other gender. 
  
 (ii) a reference to:

  

	 	A.	any party includes its successors and permitted assigns, 

  

	 	B.	a person includes any individual, firm, body corporate, association, partnership, government or state, and 

  

	 	C.	parties, unless otherwise expressly indicated herein, shall mean Loews and RE (and their respective successors and assigns). 

  
 SECOND.- ANNUAL ACCOUNTS. ADDITIONAL SHARE CAPITAL CONTRIBUTIONS TO THE JOINT VENTURE
COMPANY YELMO CINEPLEX. S.L. 
  

	 	A.	The parties ratify herein the resolutions passed at the Board of Directors meeting as well as the resolutions passed at the General Shareholders Meeting that are referred to in
Recital V of this Amendment and which are attached hereto as Annex Second A. The parties expressly state that they do not have any objection or claim against the other nor against JV and its Subsidiary or their respective Directors whatsoever based
on such resolutions. 

  

	 	B.	The parties expressly agree to extend for Loews the term for the contribution that is referred to in Recital II of this Amendment and as a consequence they agree to cause the JV to
increase its capital by issuing 60 Class A units, with premium, which shall be subscribed to entirely by Loews so that upon paying in the corresponding amount indicated below Loews shall acquire ownership of units necessary to reach 50% of the share
capital of the JV. The parties agree hereby that the amount to be paid in and deposited by Loews in the account of the JV for the payment of said increase of capital is 46,389,000 pesetas (FORTY SIX MILLION THREE HUNDRED EIGHTY NINE THOUSAND
PESETAS), equal to 278,803.512 Euros (TWO HUNDRED AND SEVENTY EIGHT THOUSAND EIGHT HUNDRED AND THREE EUROS AND FIFTY
ONE CENTS), (the “Last Contribution Amount”) corresponding to 180,303.63 Euros (ONE HUNDRED AND EIGHTY THOUSAND THREE HUNDRED AND THREE EUROS AND SIXTY THREE CENTS) equal to 30,000,000 (THIRTY MILLION) pesetas of nominal value and
98,499.87 Euros (NINETY EIGHT THOUSAND FOUR HUNDRED AND NINETY NINE EUROS 

	2	Rounded to two decimals 

  

 4 

 and EIGHTY SEVEN CENTS) equal to 16,389,000 (SIXTEEN MILLION THREE HUNDRED AND EIGHTY NINE THOUSAND)
pesetas of premium, equal to 1,641.66 Euros (ONE THOUSAND SIX HUNDRED AND FORTY ONE EUROS and SIXTY SIX CENTS) or 273,150 (TWO HUNDRED AND SEVENTY THREE THOUSAND ONE HUNDRED AND FIFTY) pesetas for each newly created unit. Upon receipt by the JV of
the Last Contribution Amount Loews shall have fully performed its undertaking to make capital contributions equal to the Contribution Amount, and as a consequence mutatis mutandi RE and Loews shall have no claim against the other whatsoever based on
the obligation of Loews to fund according to Section 4.3, or recourse to Section 4.8, of the Agreement. 
  
 For all such purposes, both parties undertake to constitute a Partners Meeting of the JV immediately after signature of this Amendment with all partners
attending and to vote favourably for the resolution of increasing the capital by way of cash contribution and issuance and subscription of the units that is reflected in the minutes attached hereto as Annex III and cause the JV to
notarize and present for registration said increase at the Mercantile Registry of Madrid. 
  
 Should the Mercantile Registry of Madrid fail to register the increase in capital referred to in this Clause Second for any reason the parties agree to take the necessary steps as partners in the JV, and therefore
cause the directors of the JV and the JV to take the necessary steps, so that the JV registers an increase in capital permitting Loews to obtain 50% of the share capital of the JV. 
  
 THIRD.- GOVERNMENT AND ADMINISTRATION OF THE JOINT VENTURE COMPANY YELMO CINEPLEX, S.L. AND ITS SUBSIDIARIES. 
  
 3.1.- The parties agree that, as long as the share of the parties and their
respective Permitted Transferees in the JV is 50/50 the undertakings agreed to in Article VII of the Agreement as amended hereto regarding government and administration of the JV and its Subsidiaries shall be applied. In the event that any of the
parties and/or their Permitted Transferees ceases to hold a 50% interest in the JV, directors of JV and its Subsidiaries shall be appointed by majority and provisions of the Agreement related to the quorum and approval of resolutions within the
Board shall no longer apply. 
  
 For such purposes, the parties undertake to
favourably vote at the partners meeting referred to in the Second Clause of this Amendment regarding the resolution concerning the cessation, designation and appointment of directors included in the minutes attached as Annex III.

  
 3.2.- 
  
 (a).- The parties likewise expressly ratify their intent that RE continue as managing director of the JV and its Subsidiaries. 

 

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 (b).- With express derogation of what is established in Section 7.4 (a) of the Agreement regarding the limits to
the authorities of the managing director the parties agree expressly that the managing director shall be invested with the broadest authorities, except for the realization of the following operations and/or acts, whose valid execution shall require
the prior express approval of the Board of Directors. As a consequence Section 7.4 (a) of the Agreement shall be replaced by the following: 
  
 “Section 7.4. Approval of Certain Matters. (a) The Managing Director shall not and shall not permit the Company or any Subsidiary of the Company to take or
agree to take any of the following actions or engage in any of the following transactions without the prior approval of the Board of Directors in accordance with the provisions of this Agreement: 
  
 (i) expenditure of any sum of Euros 1,250,000 (ONE MILLION TWO HUNDRED AND
FIFTY THOUSAND) or more in the aggregate per annum that is not included in an Approved Budget, it being understood and agreed that expenditures on film rental, to the extent such expenditures are determined by reference to box-office sales, and any
other variable costs that must be increased for the ordinary running of the JV and its Subsidiaries shall not be restricted by this clause (i); 
  
 (ii) sale, transfer or disposal of assets of the Company or any of its Subsidiaries, or purchase or other acquisition of assets or businesses, in each
case in any single or series of related transactions for a consideration in excess of Euros 1,250,000 (ONE MILLION TWO HUNDRED AND FIFTY THOUSAND) in the aggregate per annum that is not included in an Approved Budget; 
  
 (iii) engaging by the Company or any of its Subsidiaries in any business
other than as provided in its corporate purpose; 
  
 (iv) varying
the Company’s accounting policies and practices in any material respect, other than to comply with GAAP; 
  
 (v) establishing any place of business outside Spain; 
  
 (vi) entering into any joint venture, partnership agreement or similar arrangement; 
  
 (vii) approving and adopting the annual budget or the Business Plan or any change thereto; 
  
 (viii) incurring any debt for borrowed money in excess of Euros 1,250,000
(ONE MILLION TWO HUNDRED AND FIFTY THOUSAND) that is not included in an Approved Budget; 
  

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 (ix) commencing or settling litigation where the amount involved exceeds Euros 1,250,000 (ONE MILLION TWO
HUNDRED AND FIFTY THOUSAND); 
  
 (x) entering into, amending or
waiving the provision of any agreements or transactions with any Member or any Affiliate of any Member after the Closing Date except (1) as expressly provided for in this Agreement, (2) relating to the exhibition and settlement of motion pictures,
or (3) in the ordinary course of business under terms no less favorable to the Company than those that could be obtained by the Company in an arms length transaction, provided that prior to the Company entering into such agreement or transaction it
is disclosed to the Board; 
  
 (xi) entering into employment
agreements or consulting agreements with any Person involving the payment in any such agreement of an amount in excess of Euros 150,000 (ONE HUNDRED AND FIFTY THOUSAND) or authorizing any Person to enter into any such employment agreements or
consulting agreements; or 
  
 (xii) giving JV’s approval to
the Transfer of any Membership Interest pursuant to Section 8.1 of the Amended Agreement.” 
  
 The amounts referred to in 7.a (i), (ii), (viii), (ix) and (xi) shall be increased annually based on the General Consumer Price Index for Spain taking as a base the previous year’s amount beginning in January 1,
2005. 
  
 3.3.- The parties hereby agree that: 
  
 (a) As long as RE and any of his Permitted Transferees own all Class B units, the owners of
said Class B units shall be entitled acting together as a group to propose the Managing Director and President of the Board of Directors of the JV and its Subsidiaries. 
  
 (b) As long as Loews and any of its Permitted Transferees own all Class A units, the owners of said Class A units shall be entitled acting
together as a group to propose the Secretary and Vice-Secretary of the Board of Directors of the JV and its Subsidiaries, a senior executive of the JV and its Subsidiaries, and the auditor of the JV and its Subsidiaries, the latter in the terms set
forth in clause FIFTH of this Amendment. 
  
 (c) The party not proposing the
positions mentioned in (a) and (b) shall vote in favour of the proposing party’s appointment. 
  
 (d) If RE or any of his Permitted Transferees sells any or all of its Class B Units prior to July 7, 2008 to any person other than a Permitted Transferee (i) the rights described in (a) above shall cease to exist and
operate from the date of such sale, (ii) the rights described under (b) above shall remain in full force and effect indefinitely, (iii) the holders of the Class B units 

  

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shall be obliged to perform the obligations set forth in (c) above from and after such date and (iv) the holders of Class A Units shall not be obliged to
perform the obligations set forth in (c) above from and after such date. 
  
 (e)
If Loews or any of its Permitted Transferees sells any or all of its units prior to July 7, 2008 to any person other than a Permitted Transferee, then (i) the rights described under (b) above shall cease to exist and operate from the date of such
sale, (ii) the rights described in (a) above shall be remain in full force and effect indefinitely, (iii) the holders of the Class A Units shall be obliged to continue to perform the obligations set forth in (c) above and (iv) the holders of Class B
Units shall not be obliged to perform the obligations set forth in (c) above from and after such date. 
  
 (f) Subject to the foregoing, if either party sells all or part of its Units on or after July 7, 2008 to any person other than a Permitted Transferee, then the rights described in (a), (b) and (c) above shall cease to
exist and operate from the date of such sale and the positions within the Board of Directors of JV and its Subsidiaries shall be agreed by the members of the Board. 
  
 3.4.- The parties likewise ratify their intent and undertaking that RE shall continue to manage the JV and its Subsidiaries according
to the terms included in Annex IV (“RE’s Employment Contract”). Once RE’s Employment Contract terminates, the Board of Directors of the JV and its Subsidiaries shall agree on the appointment, as necessary, of the
JV’s and Subsidiaries’ General Manager. 
  
 FOURTH.- DIVIDEND POLICY
OF THE JOINT VENTURE COMPANY YELMO CINEPLEX, S.L. 
  
 The parties expressly
agree to add a new Article XIV to the Agreement establishing a dividend policy for the JV. Article XIV shall have the following text: 
  
 “ARTICLE XIV” 
 DIVIDEND
POLICY 
  
 Section 14.1. The distribution of dividends
of the partners shall be made in proportion to their share capital. 
  
 Section 14.2. Dividends may only be distributed once all applicable contractual and other legal requirements are met. 
  
 Section 14.3. Once the legal requirements are met, if there are profits that may be distributed with respect to any fiscal year of the JV, and as
long as the participation of the parties and their respective Permitted Transferees in the JV is 50/50, either of the parties acting as a group with its Permitted Transferees may require that the JV proceed to distribute dividends among the partners
up to a maximum equal to 5% of the Equity of the JV provided 

  

 8 

 
that the JV has distributable cash at the date of the proposed dividend distribution, which means that no borrowed money can be used to pay dividends.

  
 For such purposes the party making the request shall notify
the other party of its request in such a way as to prove the date of sending and the contents of the same to the other party, detailing the amount that it wishes to have distributed as dividends, attaching to the communication the audited Annual
Accounts of the JV for such fiscal year and written confirmation by the Company’s independent auditors that the closing balance sheet in such Annual Accounts complies with the requirements of article 213 of the Ley de Sociedades
Anónimas. 
  
 Section 14.4. The party that is
requested to do so undertakes to favourably vote for the resolution for distribution of dividends proposed by the requesting party at the Partners Meeting that must be held to approve the Annual Accounts and application of results, as long as said
resolution complies with the conditions established in the above sections.” 
  
 FIFTH.- AUDITORS OF THE JOINT VENTURE COMPANY YELMO CINEPLEX, S.L. 
  
 The parties expressly agree to add a new Section 7.5 to the Agreement with the following text: 
  
 “Section 7.5. Auditors. Both parties agree that, as long as the participation of the parties and their respective Permitted Transferees
in the JV is 50/50, the auditors of the JV and its Subsidiaries shall be appointed by the General Partners Meeting at the proposal of the partner Loews from among auditing firms of internationally recognized prestige with offices in Madrid. As a
consequence RE and/or any Permitted Transferees shall vote in favour of the proposal of auditors made by Loews at the General Partners Meeting when Loews requests such point to be included in the agenda of the meeting, it being understood that,
unless there is a justified cause, such as a change in control of Loews, a legal requirement or conflict of interest, Loews will not propose a change of the auditors so designated unless a minimum period of three years has passed since its original
appointment of such auditors.” 
  
 SIXTH.- DEADLOCK OF THE JOINT VENTURE
COMPANY YELMO CINEPLEX, S.L. 
  
 The parties expressly agree to add a new
Article XV to the Agreement establishing a procedure to divide the assets of the JV into two equal blocks if the parties fail to reach a negotiated agreement under certain conditions. Article XV shall have the following text: 
  

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 “ARTICLE XV 
 DEADLOCK PROCEDURE 
  
 Section 15.1 If while the Agreement is in force a serious and repeated disagreement arises between Loews and its Permitted Transferees acting together as a group representing 50% of the share capital of the JV on the one hand, and RE
arid his Permitted Transferee acting together as a group representing 50% of the share capital of the JV on the other hand resulting in a failure to reach a majority resolution regarding a matter that is submitted to either a Partners Meeting or the
Board of Directors within the sphere of their respective competence which is essential for the normal running of the business or that prevents the normal development of the projects and activities of the JV or its Subsidiaries (a
“Disagreement”), the parties agree to apply the following rules: 
  
 (a) Once aware of the existence of a Disagreement between the parties, both undertake to negotiate in good faith, a solution to the Disagreement that results in a resolution of the Board of Directors or the Partners
Meeting, or that in any other manner satisfies both parties and is reflected in a written agreement, for a period of 60 (sixty) calendar days (the “Negotiating Period”) from the receipt of written notification regarding the Disagreement by
either of the parties from the other party, unless the parties otherwise agree. 
  
 (b) If the Negotiating Period has transpired without the parties having been able to reach a satisfactory solution to the Disagreement they shall proceed, as provided for in Section 15.2 below, to a spin-off of the
assets of the JV and its Subsidiaries (the “Spin-off’). 
  
 Section 15.2 (a) Either of the parties may initiate the Spin-off procedure immediately after the expiry of the Negotiating Period by giving notice (the “Spin-off Notice”) to the other party if no solution, as provided for
in Section 15.1 (b), has been reached. The purpose of the Spin-off shall be the division by the Independent Expert appointed in accordance with the procedure established in Section 15.2 (b), of all the assets and liabilities of the JV and its
Subsidiaries (including the personnel) into two separate blocks, each of them with equivalent value and content and each capable of operating separately, and each of the blocks shall be transferred by the JV in accordance with the Plan to newly
incorporated limited liability companies (the “Beneficiary Companies”), in accordance with the spin-off process established in articles 94 and related articles of the Law on Limited Liability Companies, (the “LSRL”). The units of
said Beneficiary Companies shall be allocated to the partners of the JV as compensation for the liquidation of the JV. Both parties agree hereby, as required by article 252 of the Law on Stock Companies (the “LSA”), to which the LSRL
refers to, that all the units of one of the Beneficiary Companies of the Spin-off shall be allocated to the partners holding Class A Units, and that all the units of the other Beneficiary Company of the Spin-off shall be allocated to the other
partners holding Class B Units. 
  
 Section 15.2.(b)
Appointment of Independent Expert 
  
 (i) The parties shall by
agreement in writing appoint the Independent Expert from among the internationally recognized auditing firms located in Madrid that do not audit the 

  

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JV or its Affiliates or either partner or its Affiliates. The party sending the Spin-off Notice, (the “Requesting Partner”) will indicate to the
other party the name of the Independent Expert that is proposed by him. Should the parties agree on the Independent Expert, the Requesting Partner shall send a communication to the Independent Expert in the form attached as Annex 15.2(b)(i).
The Independent Expert so notified will have 7 days to notify the Requesting Partner of its acceptance in writing of its appointment. If the Independent Expert fails to duly accept its appointment, then the parties shall upon the expiry of the
referred to 7 day period repeat the process established in this paragraph. 
  
 (ii) If the parties do not reach an agreement regarding the identity of the Independent Expert within seven (7) days of the date of the Spin-off Notice, either of the Partners, (the “Notifying Partner”), may
send a communication, in the form attached as Annex 15.2(b)(ii), to the Dean of the Bar of Madrid (the “Dean”) requesting him to appoint the Independent Expert from among the internationally recognized auditing firms that do
not audit the JV or its Affiliates or either party or its Affiliates, located in Madrid (the “Request”).
The Notifying Partner shall simultaneously with the sending of the Request to the Dean notify via notary the other party of the existence of the Request by sending a copy of the Request. 
  
 (iii) The appointment of the Independent Expert, which shall at the same time, be communicated to both parties, shall be
made by the Dean within 10 working days of receipt of the Request made by the Notifying Partner. The appointment by the Dean will indicate the tasks of the Independent Expert as provided for in Annex 15.2(b)(iii) [a transcription of this
Article XV]. The Independent Expert shall confirm acceptance of the appointment to both parties and the Dean within 7 days of receipt of the appointment by the Dean. 
  
 (iv) Any other communications related to the appointment of the Independent Expert shall be sent by the Requesting or
Notifying Partner, as applicable, to the other party immediately upon sending or receiving any communication. 
  
 Section 15.2.(c) The task of the Independent Expert shall be to issue a report, (the “Report”) containing a draft of the Spin-off plan
and directors’ report that shall be approved afterwards by the Board of the JV, and as applicable the Subsidiaries, as the Spin-off plan of the JV (the “Plan”) and directors’ report (the “Directors’ Report”),
required by article 94 of the LSRL. The Report shall include, as a consequence, all that required by article 94 of the LSRL and the related articles of the LSA, and particularly the following: 
  

	 	(i)	a description and valuation of the assets and liabilities of the JV and its Subsidiaries; 

  

	 	(ii)	 a division of the assets and liabilities of the JV and its Subsidiaries in two blocks of equivalent value and content, each capable of being operated as a going
concern, specifying the elements of assets and liabilities making up each one of the blocks (including the personnel that may be 

  

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attributed to each block, including those that are not working in cinemas) taking into account that RE’s Employment Contract shall terminate immediately
upon assignment of the JV’s assets and liabilities to the Beneficiary Companies; 

  

	 	(iii)	the valuation of each block; 

  

	 	(iv)	the corporate procedure for creating the two blocks taking into account (1) the nature of the business and operations of the JV, (2) its corporate structure, (i.e. holding company
owning one hundred percent of one Subsidiary which owns the operating assets) and (3) the purpose of the Spin-off; 

  

	 	(v)	satisfaction of obligations to third parties; 

  

	 	(vi)	payment by the JV of all costs and expenses related to the intervention of the Dean, the Independent Expert and the implementation of the Plan; 

  

	 	(vii)	a draft of the Plan; 

  

	 	(viii)	a draft of the Directors’ Report; and 

  

	 	(ix)	any other information required by law. 

  
 Apart from the above, the parties expressly agree that all the industrial property rights contributed to the JV by either of the parties or their Affiliates, and
including those associated with the name “Yelmo” and “Regaliz” on the one hand and the name “Cineplex” and the Spotlight Logo on the other, will be allocated to the Beneficiary Companies of RE and Loews respectively,
since both have an equivalent value and nature. The licence contract effective June 30, 1999 concerning the use of the spotlight logo, Spanish graphic trademark number M2192245, and Community number 000965053 both in Class 41 and the word Cineplex,
all licensed by Loews Theatre Management Corp. to the JV shall be terminated without cost to either party, and any registered right derived from such license shall prior to the Spin-off be assigned to Loews. 
  
 The Report shall be prepared and delivered simultaneously to the Board of Directors of the
JV, Loews and RE by the Independent Expert within 60 (sixty) calendar days of its acceptance of its appointment. 
  
 Section 15.2.(d) Once the Report of the Independent Expert is received, the parties will have a maximum period of 7 (seven) calendar days from the
day after its receipt to agree to the allocation of the two blocks proposed by it. If they cannot agree, either party may notify the Independent Expert of their failure to agree and request that the allocation of 

  

 12 

 
said blocks shall be done according to a random drawing before the Independent Expert. The drawing shall take place within 5 (five) days of the sending of
the notice referred to in this paragraph on the date and at the place that the Independent Expert communicates to the partners. The Independent Expert shall establish the procedure for the drawing. The procedure shall be transparent and communicated
to the parties prior to the drawing. 
  
 Section 15.2.(e)
As a result of the creation of the blocks, their allocation to the Beneficiary Companies, and the allocation of the Beneficiary Companies to the Partners according to 15.2(d) the parties as partners to the JV shall take all steps necessary under
Spanish law to cause the JV and its Subsidiaries to effect the Spin-off in the terms and conditions set forth in the Report of the Independent Expert. Both parties hereby undertake to favourably vote for said Spin-off resolution, cause the
corresponding deed of spin-off to be granted and cause the directors they have appointed to sign and approve the Plan and the Directors’ Report required by the LSRL based on the Report prepared by the Independent Expert, deposit the Plan, have
prepared the information for the partners, publish the announcements, and register the Spin-off deeds, all as required by law. 
  
 The call of the corresponding Board of Directors and General Partners Meeting that shall approve, respectively, the Plan, the Director’s Report, and the Spin-off
balance sheet if necessary, and the spin-off resolution shall be made as provided for in the By-laws, immediately after receiving the Report of the Independent Expert and the allocation of the Beneficiary Companies to the Partners according to
15.2(d). 
  
 Section 15.2.(f) The breach by one of the
parties (the “Breaching Partner”) of its obligation to appear at the Partners Meeting, vote in favor of the Spin-off resolution on the terms herein agreed, of its obligation to grant the corresponding deeds or, in general, to take any
other legally required action to carry out the Spin-off, shall give the other party (the “Performing Partner”) the right to seek in arbitration, according to the procedure provided for in Article XIII of the Amended Agreement, the specific
performance of the Spin-off and what it implies, in the form and according to the division of assets and liabilities made by the Independent Expert according to what is established in the preceding sections. The parties hereby expressly undertake to
comply with the arbitration award issued by the arbitrators hearing any such dispute. 
  
 The fees incurred from the arbitration proceeding mentioned in the above paragraph shall be paid by the Breaching Partner, unless, taking into the account the circumstances of the case, the arbitration tribunal decides otherwise.

  
 Section 15.2.(g) If, once the arbitration award is
issued, its execution is impossible due to causes attributable to one of the parties, even by virtue of the substitution of will foreseen in articles 705 and related of the Civil Procedure Act, the party that had made impossible the execution of the
arbitration award shall give to the other party as equivalent compliance, 1% of the units that it holds in the JV. 
  

 13 

 Section 15.3 Non-Solicitation and Confidentiality; Ordinary Course. The parties agree hereby that,
once the spin-off proceeding set-forth in the preceding sections of this Clause is initiated, if applicable, each party will refrain from proposing and/or promoting in any manner, directly or indirectly, offers to hire the employees assigned to the
Beneficiary Company allocated to the other party, for a period of three years from the date of the acceptance of appointment by the Independent Expert pursuant to Section 15.2 (b) iii. Likewise both parties undertake to keep confidentially for the
same three year period the knowledge that each party and the employees of the Beneficiary Companies have of the other Beneficiary Company. 
  
 Section 15.4 Indemnity. If a claim is made against a party or its Affiliates, including a Beneficiary Company (the “First Party”), for
failure of the other party’s Beneficiary Company or its Affiliates (the “Second Party”) to perform an obligation assumed as a result of the Spin-off, the parties agree that the Second Party and its Affiliates, successors and assigns
shall defend, hold harmless and indemnify the First Party and its Affiliates, for any liability arising from such a claim. 
  
 Section 15.5 Liabilities of the JV. When a liability of the JV has not been attributed to either of the Beneficiary Companies in the Plan
and the Plan cannot be clearly interpreted as establishing to which Beneficiary Company the liability should be assigned, the Beneficiary Companies shall be jointly and severally liable for this liability. 
  
 SEVENTH.- BY-LAWS. 
  
 The parties agree where provided for herein to adapt the current By-laws of the JV and its Subsidiaries to that agreed to in this Amendment.
Notwithstanding, if the Mercantile Registry does not accept the registration of the By-laws that result from said adaptation, the parties agree that, in the case of conflict between the By-laws and this Amendment, the latter shall prevail over the
former concerning the relation between the parties. 
  
 EIGHTH.-NOTICES

  
 The parties hereby substitute the addresses and persons designated in
Section 13.2 of the Agreement for those listed below: 
  

			
	 TO THE JOINT VENTURE COMPANY
 YELMO CINEPLEX, S.L.
	  	TO LOEWS CINEPLEX INTERNATIONAL HOLDINGS, Inc.
	 Princesa 31
 28008 Madrid
 Attn. Managing Director
	  	 711 Fifth Avenue, 12th Floor
 New York, NY 10022

	 Fax: 91 548 29 40
	  	Attn. President and Chief Executive Officer.

  

 14 

			
		
	 With a copy to:
	  	Fax: 00 1 646 521 63 75
		
	 BUFETE RAMON HERMOSILLA
	  	With a copy at the same address to:
	 Claudio Coeilo 32
	  	 
	 Madrid
	  	Attn. Chief Financial Officer
	 Attn. Mr. Ramón Hermosilla
	  	 
	 Fax: 34-91-435-63-66
	  	Fax: 00 1 646 521 65 12
		
	 TO MR. RICARDO EVOLE MARTTL
	  	With a copy at the same address to:
	 Yelmo Cineplex, S.L.
	  	 
	 Princesa 31
	  	Attn. Corporate Counsel
	 28008 Madrid
	  	 
	 Fax: 91 548 29 40
	  	Fax: 00 1 646 521 62 67
		
	 With a copy to:
	  	 
		
	 BUFETE RAMON HERMOSILLA
	  	 
	 Claudio Coeilo 32
	  	 
	 Madrid
	  	 
	 Attn. Mr. Ramón Hermosilla
	  	 
	 Fax: 34-91-435-63-66
	  	 

  

 15 

 NINETH.- SCOPE OF THE NOVATION 
  
 The parties agree that except for the amendments introduced in this Amendment, the Agreement shall continue in force regarding all that has
not been altered hereby. 
  
 And in proof of agreement they sign this document in
Madrid and New York as of July 7, 2003. 
  

	
	
	/s/    TRAVIS REID        
	Mr. Travis Reid in the name and on behalf of
	LOEWS CINEPLEX INTERNATIONAL HOLDINGS, INC.
	
	/s/    RICARDO EVOLE
MARTIL        
	Mr. RICARDO EVOLE MARTIL

  

 16 

  
 JOINT VENTURE AGREEMENT 
  
 by and among 
  
 LTM SPANISH HOLDINGS, INC.

  
 and 
  
 RICARDO EVOLE MARTIL 
  

  

 TABLE OF CONTENTS 
  

					
	 ARTICLE I DEFINITIONS
	  	1
	 Section 1.1.
	  	 Definitions
	  	1
		
	 ARTICLE II ORGANIZATION OF THE COMPANY
	  	2
	 Section 2.1.
	  	 Organizational Documents: Member Resolutions
	  	2
	 Section 2.2.
	  	 Purpose
	  	2
		
	 ARTICLE III INITIAL CAPITAL OF THE COMPANY
	  	2
	 Section 3.1.
	  	 Membership Interests
	  	2
		
	 ARTICLE IV CLOSING AND RELATED PROVISIONS
	  	3
	 Section 4.1.
	  	 Pre-Closing Matters
	  	3
	 Section 4.2.
	  	 Closing
	  	3
	 Section 4.3.
	  	 Subsequent LTM to Funding
	  	3
	 Section 4.4.
	  	 Closing Date Contribution Amount Adjustment
	  	4
	 Section 4.5.
	  	 Post-Closing Contribution Amount Adjustment
	  	4
	 Section 4.6.
	  	 Independent Auditors
	  	5
	 Section 4.7.
	  	 Repayment of Overfunding
	  	5
	 Section 4.8.
	  	 Failure of LTM to Fund
	  	6
	 Section 4.9.
	  	 Failure of RE to Purchase Minorities
	  	7
		
	 ARTICLE V EXCLUDED ASSETS
	  	8
	 Section 5.1.
	  	 Excluded Assets
	  	8
		
	 ARTICLE VI REPRESENTATIONS AND WARRANTIES
	  	8
		
	 ARTICLE VII CORPORATE GOVERNANCE; CERTAIN CORPORATE ACTIONS
	  	8
	 Section 7.1.
	  	 Voting of Membership Interests
	  	8
	 Section 7.2.
	  	 Composition of the Board of Directors
	  	8
	 Section 7.3.
	  	 Managing Director and Other Executives
	  	9
	 Section 7.4.
	  	 Approval of Certain Matters
	  	10
		
	 ARTICLE VIII TRANSFER AND SALE
	  	11
	 Section 8.1.
	  	 Transfer Restrictions
	  	11
	 Section 8.2.
	  	 Consent
	  	12

  

 - - 

					
	 Section 8.3.
	  	 First Refusal
	  	12
		
	 ARTICLE IX COVENANTS OF RE
	  	14
	 Section 9.1.
	  	 Cooperation by RE
	  	14
	 Section 9.2.
	  	 Conduct of Business
	  	14
	 Section 9.3.
	  	 Access
	  	15
	 Section 9.4.
	  	 Required Notices
	  	16
	 Section 9.5.
	  	 Certain Tax Months
	  	16
	 Section 9.6.
	  	 Use of Certain Names
	  	16
		
	 ARTICLE X CERTAIN AGREEMENTS
	  	16
	 Section 10.1.
	  	 Non-Competition
	  	16
	 Section 10.2.
	  	 Access to Company
	  	17
	 Section 10.3.
	  	 Financial Reporting Obligations
	  	17
	 Section 10.4.
	  	 Conduct of Business
	  	18
		
	 ARTICLE XI CONDITIONS TO CLOSING AND TERMINATION
	  	18
	 Section 11.1.
	  	 Conditions to Obligations of LTM and the Company
	  	18
	 Section 11.2.
	  	 Conditions to Obligations of RE
	  	19
	 Section 11.3.
	  	 Termination
	  	20
		
	 ARTICLE XII INDEMNIFICATION
	  	20
	 Section 12.1.
	  	 Survival
	  	20
	 Section 12.2.
	  	 Losses
	  	21
	 Section 12.3.
	  	 Indemnification by RE
	  	21
	 Section 12.4.
	  	 Indemnification by LTM
	  	21
	 Section 12.5.
	  	 Indemnification by the Company
	  	22
	 Section 12.6.
	  	 Claims
	  	22
		
	 ARTICLE XIII GENERAL
	  	23
	 Section 13.1.
	  	 Arbitration
	  	23
	 Section 13.2.
	  	 Notices
	  	24
	 Section 13.3.
	  	 Assignment: Binding Effect; Benefit
	  	25
	 Section 13.4.
	  	 Confidentiality
	  	26
	 Section 13.5.
	  	 Entire Agreement
	  	26
	 Section 13.6.
	  	 Amendment
	  	26
	 Section 13.7.
	  	 Counterparts
	  	26
	 Section 13.8.
	  	 Headings
	  	27
	 Section 13.9.
	  	 Interpretation
	  	27
	 Section 13.10.
	  	 Incorporation of Exhibits and Schedules
	  	27
	 Section 13.11.
	  	 Severability
	  	27
	 Section 13.12.
	  	 Enforcement of Agreement
	  	27

  

 - - 

 JOINT VENTURE AGREEMENT 
  
 JOINT VENTURE AGREEMENT, dated as of April 27, 1998 (this “Agreement”), by and among LTM Spanish Holdings,
Inc., a Delaware corporation (“LTM”) and Ricardo Evole Martil (“RE”) DNI n° 2.450.193-A. 
  
 BACKGROUND 
  
 (1) LTM and RE desire to operate a motion picture exhibition business in Spain through LTM Spain S.L., a company in formation (the
“Company”), by owning and operating the Yelmo Group Companies and constructing new state-of-the-art multiplex theaters of high quality in key locations. 
  
 (2) LTM and RE intend to acquire Membership Interests in the Company so that immediately after giving effect to the
transactions contemplated by this Agreement to occur at the Closing and subject to the terms of this Agreement, each of LTM and RE shall own Membership Interests in the Company which entitle each of LTM and RE to 50% of the vote and to receive 50%
of the profits and losses of the Company. 
  
 (3) The parties
intend that the Company will own Yelmo Films S.A. and all of its Subsidiaries, the names of which are set forth in Schedule X hereto. 
  
 Accordingly, for good and valuable consideration the parties hereto hereby agree as follows: 
  
 ARTICLE I 
 DEFINITIONS 
  
 Section 1.1. Definitions.
Capitalized terms used herein are defined in Appendix A. 
  

 -1 

 ARTICLE II 
 ORGANIZATION OF THE COMPANY 
  
 Section 2.1. Organizational Documents: Member Resolutions. (a) The parties hereto agree that the Company’s initial Estatutos shall be as set forth in Exhibit 2.1 attached to this Agreement. In the event that the
Mercantile Registry where the Company is registered considers that any portion of the Estatutos should be changed from the form contained in Exhibit 2.1, the parties will amend the Estatutos so as to as closely as possible reflect the
agreements set forth herein. Notwithstanding anything herein or in the Estatutos to the contrary, to the extent that any provision of the Estatutos conflicts with, or otherwise is inconsistent with, any provision of this Agreement with respect to
any matter, or this Agreement covers any matter that is not covered in the Estatutos, the provisions of this Agreement with respect to such matter shall control and shall be binding upon each of the parties hereto 
  
 (b) The Members shall call such Members’ meetings and shall cause the
Company to call such directors and Members’ meetings as are reasonably required to consummate the transactions contemplated by this Agreement to occur at Closing. 
  
 Section 2.2. Purpose. The purpose of the Company will be to develop and operate, either itself or through its
Subsidiaries, a motion picture exhibition business (which business includes the concessions business associated with motion picture exhibition) in Spain in accordance with the Business Plan and otherwise as determined by the Members. 
  
 ARTICLE III 
 INITIAL CAPITAL OF THE COMPANY 
  
 Section 3.1. Membership Interests. Membership Interests in the Company shall be divided into Class A Units and Class B Units (“Class A Units” and “Class B Units”). The
Class A Units and the Class B Units shall be equal in all respects as to interests in the profits and losses of the Company and, following contribution by LTM of an amount equal to the Contribution Amount as more particularly described in Section
4.3 below, rights upon the liquidation or termination of the Company. As more fully provided below under Section 7.2 and subject to Section 4.8., Members holding Class A Units shall be entitled to elect one half of the number of members of the Board
of Directors and Members holding Class B Units shall be entitled to elect the other half of the number of members of the Board of Directors. 
  

 -2 

 ARTICLE IV 
 CLOSING AND RELATED PROVISIONS 
  
 Section 4.1. Pre-Closing Matters. (a) On the date of this Agreement, LTM shall subscribe for 750 Class A Units at a par value of Pesetas 500,000 per Unit, for an aggregate purchase price of Pesetas 375,000,000, - payable in cash.

  
 (b) On the date of this Agreement, the Company shall enter
into the Loan Agreement with Yelmo Films, for the amount of Pesetas 363,267,410, which Yelmo Films shall use (in whole or in part) to purchase all of the equity interests in the Yelmo Group Companies held by Persons other than RE, subject to the
terms of this Agreement. 
  
 Section 4.2. Closing. Subject
to the terms and conditions of this Agreement, promptly following satisfaction or waiver of the conditions set forth in Article XI, but in no event later than 5 business days thereafter, the following transactions shall occur, which transactions
shall be deemed to occur simultaneously: 
  

	 	(a)	LTM shall subscribe for 3,249 Class A Units at Pesetas 500,000 per Unit, for an aggregate purchase price of Pesetas 1,624,500,000, payable in cash. 

  

	 	(b)	The Company shall purchase from RE and RE shall sell to the Company 9,556 shares of Yelmo Stock, representing 15.92% of Yelmo Films for Pesetas 1,136,732,590 in cash in accordance
with the terms of the Sale and Purchase Agreement. 

  

	 	(c)	RE shall subscribe for 12,000 Class B Units at Pesetas 500,000 per Unit in consideration for which RE will contribute to the Company all of the remaining shares of Yelmo Stock owned
by him in a tax-free share for share exchange. 

  
 Section 4.3. Subsequent LTM Funding. (a) From time to time during the period commencing on the Closing Date and ending on the date 24 months following the Closing Date, as directed by the Board of Directors, LTM shall make additional
capital contributions to the Company in cash up to an aggregate amount (including the initial share capital of the Company subscribed to by LTM and LTM’s initial capital contribution pursuant to Sections 4.1 .and 4.2.) equal to the Contribution
Amount. 
  
 (b) For each cash contribution by LTM, the Members
shall cause the Company (i) to issue to LTM that number of Class A Units so that, following determination of the Contribution Amount and the contribution by LTM of an amount equal thereto, the number of Class A Units held by LTM is equal to the
number of Class 

  

 -3 

 
B Units held by RE and (ii) to amend the Estatutos so that the number of votes which the holder of Class A Units are entitled to cast, the amount of
dividends and the amounts to be received at liquidation in excess of par value, after satisfying creditors, which the holder of Class A Units is entitled to are equal to those of the holder of Class B Units. The parties agree that any amount funded
by LTM in excess of Pesetas 6,000,000,000 (including its initial capital contribution and its contribution pursuant to Sections 4.1 and 4.2.) will be treated as share premium which will be allocated equally between the holders of Class A Units and
the holders of Class B Units. In addition, the parties agree that they shall cause a Members’ meeting to be held for purposes of effecting the matters referred to in this Section 4.3. (b). 
  
 Section 4.4. Closing Date Contribution Amount Adjustment (a) No more
than 90 days following Closing, RE shall prepare and deliver to LTM a statement (the “Initial Statement” setting forth (i) RE’s calculation of Net Working Capital and (ii) the principal amount of Debt, in each case, of the
Yelmo Group Companies as of the Closing Date. LTM shall have 45 days after receipt thereof, to review the Initial Statement. If, within that 45 day period LTM and RE agree on the calculation of Net Working Capital and the principal amount of Debt,
the Initial Statement shall be amended to reflect that agreement and shall be final and binding on RE and LTM. If the parties cannot agree on the calculation of Net Working Capital or the principal amount of Debt within the 45 day period referred to
above, the matters in dispute shall be referred to the Auditor (as defined in Section 4.6.) who shall be instructed to deliver his report to RE and LTM within 20 days of the date the disputed matters are referred to him, which report shall be final
and binding on RE and LTM. The amount of Net Working Capital and the principal amount of Debt as agreed to by the parties or as determined by the Auditor, as the case may be, is hereafter referred to as “Final Net Working Capital”
and “Final Debt”, respectively. 
  
 (b) The
Contribution Amount shall be (i) increased by the amount of positive Final Net Working Capital of the Yelmo Group Companies or decreased by the amount of negative Final Net Working Capital of the Yelmo Group Companies, and (ii) decreased by the
amount by which the principal amount of Final Debt of the Yelmo Group Companies exceeds Pesetas 3,300,000,000, or increased by the amount by which the principal amount of Final Debt of the Yelmo Group Companies is less than Pesetas 3.300,000,000.

  
 Section 4.5. Post-Closing Contribution Amount
Adjustment, (a) Subject to the terms contained herein, from and after the Closing Date, the Contribution Amount, as adjusted pursuant to Section 4.4, shall be further adjusted as follows: if the EBITDA (earnings before interest, income taxes,
depreciation and amortization) of those operations of the Yelmo Group Companies set forth in Schedule 4.5 (a) (i) over a consecutive 12 month period (the “Calculation Period”) falling between 

  

 -4 

 
August 1, 1997 and July 31, 1999, as selected by RE is less than or greater than Pesetas 1,100,000,000 (the “EBITDA Base Levels, the Contribution
Amount, as adjusted pursuant to Section 4.4, shall be reduced or increased, as the case may be, in accordance with the table set forth in Schedule 4.5 (a)(ii), it being understood and agreed that, subject to Section 4.5(b), the Contribution
Amount shall not be (i) less than Pesetas 6,300,000,000 plus any increase or minus any decrease (as the case may be) of the Contribution Amount pursuant to Section 4.4 (the “Minimum Funding Amount”) or (ii) greater than Pesetas
7,900,000,000 plus any increase or minus any decrease (as the case may be) of the Contribution Amount pursuant to Section 4.4. 
  
 (b) If the Members mutually agree to close a theater prior to or during the Calculation Period then (i) the EBITDA Base Level shall be decreased by the
pro-forma annual amount contributed by that closed theater to such EBITDA Base Level and (ii) the Peseta 6,300,000,000 minimum and Pesetas 7,900,000,000 maximum Contribution Amount level referred to in Section 4.5(a) shall be reduced by an amount
equal to ten times the reduction in the EBITDA Base Level as determined in Section 4.5(b)(i). In addition, if overhead expenses (i.e., salaries, employee benefit expense and head office rent expense) of the Yelmo Group Companies, calculated on an
annualized basis, during any portion of the Calculation Period falling after Closing are greater than those overhead expenses for the twelve month period ending on the Closing Date and such increase is a result of the transactions contemplated by
this Agreement, such increase shall not be taken into account in calculating the EBITDA of the Yelmo Group Companies for purposes of Section 4.5. 
  
 (c) RE shall deliver to LTM on or before September 30, 1999, a statement setting forth his calculation of EBITDA for the Calculation Period. 

 
 Section 4.6. Independent Auditors. If LTM and RE cannot agree on
the adjustments to the Contribution Amount as described in Sections 4.4 and 4.5, they shall each have the right, on five days notice to the other, to require the Company to appoint an independent auditor (the “Auditor”) to determine
the adjustments to the Contribution Amount. If LTM and RE cannot agree on an Auditor within ten days of the notice referred to above, each shall appoint an auditor which will appoint the Auditor. The Auditor’s determination of the Contribution
Amount adjustments will be final and binding on LTM and RE. 
  
 Section 4.7. Repayment of Overfunding. Until such time as the Contribution Amount is finally determined, any contribution made to the Company by LTM in excess of the Minimum Funding Amount shall, at LTM’s option, be treated as
an advance on capital by LTM to the Company (the “Advance”). If the Contribution Amount as finally determined exceeds the Minimum Funding Amount, the Advance, to the extent of that excess, shall be capitalized. The remaining amount
of the Advance shall be treated 

  

 -5 

 
as a loan and shall bear interest at 0.5% above the Madrid interbank borrowing rate (“MIBOR”) in effect from time to time, from the date
that the Contribution Amount is finally determined until repaid in full. The Members shall cause the remaining amount of the Advance, plus accrued interest (if any) thereon, to be repaid by the Company to LTM out of 100% of the Cashflow of the
Company and its Subsidiaries. For the avoidance of doubt, repayment of the Advance shall be made from the first peseta and each peseta thereafter of Cashflow until fully repaid. 
  
 Section 4.8. Failure of LTM to Fund, (a) If LTM fails to comply with its funding obligations pursuant to Section 4.3,
the parties agree that, in addition to any other remedies RE may have for breach of contract, the Company’s estatutos shall be amended so that the voting rights attached to the Class A Units and the Class B Units shall entitle the holders
thereof to one vote per Unit only, and that the dividend and liquidation rights of holders of Class A Units and Class B Units shall be in proportion to their interest in the capital of the Company, it being understood and agreed that except with
respect the matters referred to in Section 4.8(b), the provisions of Section 7.2. (c) requiring a Director appointed by the holders of Class A Units to form a quorum for attendance and voting at Board meetings shall no longer apply. 
  
 (b) The parties agree that, if LTM fails to comply with its funding
obligations pursuant to Section 4.3, the limitations set forth in Sections 7.4 (a) and (b) shall cease to apply and the following shall apply instead: 
  
 (I) The Managing Director shall not and shall not permit the Company or any Subsidiary of the Company to take or agree to take any of the following
actions or engage in any of the following transactions without the prior approval of the Board of Directors, including the vote of a director representing Class A Units, in accordance with the provisions of this Agreement: 
  
 (i) sale, transfer or disposal of assets of the Company or
any of its Subsidiaries, in each case, in any single or series of related transactions for a consideration in excess of Pesetas 300,000,000; 
  
 (ii) engaging by the Company or any of its Subsidiaries in any business other than as provided in Section 2.2; 
  
 (iii) varying the Company’s accounting policies and
practices in any material respect, other than to comply with GAAP. 
  
 (iv) entering into, amending or waiving the provision of any agreements or transactions with any Member or any Affiliate of any Member after the Closing Date except as expressly provided for in this Agreement and
except relating to the exhibition and settlement of motion pictures; 
  

 -6 

 (v) entering into any arrangements in connection with the Excluded Assets other than as
contemplated by the Ancillary Agreements; 
  
 (vi) entering into any joint venture, partnership agreement or similar arrangement with a Competitor of LTM; or 
  
 (vii) incurring any debt for borrowed money in excess of Pesetas 500,000,000. 
  
 (II) Neither the Company nor any Subsidiary of the Company shall take any of
the following actions without the unanimous approval of the Members: 
  
 (i) varying any of the rights attaching to the Membership Interests except as set forth in this Agreement; 
  
 (ii) taking any steps to effect the winding-up, liquidation, dissolution or voluntary bankruptcy of the Company or any of its
Subsidiaries; 
  
 (iii) entering into any merger,
amalgamation, consolidation or other business combination with a Competitor of LTM. 
  
 (III) The Estatutos of the Company shall, as applicable, reflect the special voting requirements of the Board of Directors mentioned in I above of this section. The Estatutos of the Company shall also, as applicable,
reflect the supermajority voting requirements for the members meeting established in II above of this section by requiring a quorum of eighty percent of the members to hold a members meeting that will deal with the matters enumerated in II above and
an eighty percent voting majority to approve a resolution concerning said matters. 
  
 Section 4.9. Failure of RE to purchase Minorities. If at or after Closing, Yelmo Films or its Subsidiaries has, as its shareholders, any Person other than RE, LTM or any other Subsidiary of Yelmo Films, all
costs, expenses, reserves, losses or liabilities, including without limitation, rights to distributions, (together, “Minority Costs” ) associated with such Persons shall be for the account of RE and RE shall indemnify and hold
harmless LTM against such Minority Costs, it being understood and agreed that, except as provided for in Section 4.8, LTM shall be entitled to 50% of the profits, losses and payments on liquidation, of the Company and its Subsidiaries before taking
into account any Minority Costs. 
  

 -7 

 ARTICLE V 
 EXCLUDED ASSETS 
  
 Section 5.1.
Excluded Assets. Prior to the Closing Date, RE shall cause to be transferred out of the Yelmo Group Companies those assets described in Section 2.01(a) of the Asset Transfer Agreement and in the Yelmo Arco Iris Share Transfer Agreement (the
“Excluded Assets”) in accordance with the terms of those Agreements. Any taxes, costs, losses and expenses relating to such transfers, to the extent actually determined by the Closing Date, shall be recorded in the books and records
of the Yelmo Group Companies as a liability and taken into account in the calculation of Working Capital pursuant to Section 4.4 and, to the extent not determined on or prior to the Closing Date, shall be borne by RE who shall reimburse the Yelmo
Group Companies in cash within ten days of determination thereof for any such taxes, costs, losses or expenses actually paid by any Yelmo Group Company. 
  
 ARTICLE VI 
 REPRESENTATIONS AND WARRANTIES

  
 The representations and warranties of the parties to this
Agreement are set forth in Appendix B. 
  
 ARTICLE VII

 CORPORATE GOVERNANCE; CERTAIN CORPORATE ACTIONS 
  
 Section 7.1. Voting of Membership Interests. From and after the Closing Date, each Member shall vote all Membership Interests owned or controlled
by it, and shall take all other necessary or desirable actions Within its control (including, without limitation, attendance at meetings in person or by proxy for purposes of obtaining a quorum and execution of written consents in lieu of meetings),
to effectuate the provisions of this Agreement. 
  
 Section 7.2.
Composition of the Board of Directors. Each Member shall vote all Membership Interests owned or controlled by it and shall take all necessary action within its control, so that the composition of the Board of Directors and the manner of
selecting members thereof shall be as follows: 
  
 (a) On the
Closing Date, the Board of Directors shall be comprised of six persons, three of which shall be designated by the holders of Class A Units and three of which shall be designated by the holders of Class B Units. All such designations shall be
notified in writing to the Company, which shall notify all of the Members. A list of the initial Directors and their positions is set forth in Schedule 7.2. 
  
 (b) Each holder of Class A Units and Class B Units, respectively, shall have the right by notice in writing to the Company
to require the Board of Directors to 

  

 -8 

 
call a meeting of the Members (i) to remove, with or without cause, any Director designated by such holder pursuant to this Section 7.2 and (ii) to designate
any replacement for a Director designated by such holder pursuant to this Section 7.2, upon the death, resignation, retirement, disqualification or removal from office of such Director. 
  
 (c) At all meetings of the Board of Directors, a quorum shall consist of not less than four Directors provided that such
quorum consists of at least one Director designated by holders of Class A Units and one Director designated by holders of Class B Units. Written notice shall be duly given to each Director at least five (5) business days in advance of each meeting,
provided no notice need be given to any Director who signs a written waiver of notice at or in advance of a meeting, or who attends the meeting without protesting any lack of notice. Unless a higher vote is specifically required by this Agreement,
all actions of the Board of Directors shall be determined by the vote of a simple majority (i.e., greater than 50%) of the Directors attending the meeting; provided that such majority includes at least one Director designated by holders of
Class A Units and one Director designated by holders of Class B Units. 
  
 (d) Board of Directors meetings shall be held no less frequently than three times per year with at least one meeting being held between January 1 and March 31 in each year for purposes of considering the annual financial statements of the
Company and its Subsidiaries. Minutes of the Board of Directors meetings shall be taken and a copy of the minutes shall be distributed to each Director in a timely fashion. 
  
 Section 7.3. Managing Director and Other Executives. (a) Effective as of the Closing Date, RE shall be appointed as
the initial Managing Director on the terms set forth in the Employment Agreement. The Managing Director will report to the Board of Directors. The Managing Director, subject to the control of the Board of Directors, shall have general charge and
control of all of the Company’s business and affairs and shall perform all duties incident to the office of Managing Director; provided that neither he nor any other executive of the Company shall take or shall be entitled to take, and each
Member shall use its best efforts to prevent the Company or any of its Subsidiaries from taking, any of the actions specified in Section 7.4 (a) without the prior approval of the Board of Directors in accordance with this Agreement. The Managing
Director may attend all meetings of the Members Committee and shall have such other powers and perform such other duties as may from time to time be assigned to him by the Board of Directors. 
  
 (b) Except as provided in the next sentence, the Managing Director shall have
the right to appoint the senior executives of the Company and its Subsidiaries subject to the reasonable approval of LTM. LTM shall have the right, after consultation with RE, to appoint one senior executive of the Company and its Subsidiaries and
to remove such executive from office. 
  

 -9 

 Section 7.4. Approval of Certain Matters. (a) The Managing Director shall not and shall not permit
the Company or any Subsidiary of the Company to take or agree to take any of the following actions or engage in any of the following transactions without the prior approval of the Board of Directors in accordance with the provisions of this
Agreement: 
  
 (i) expenditure of any sum of
Pesetas 7,500,000 or more that is not included in an Approved Budget, it being understood and agreed that expenditures on film rental, to the extent such expenditures are determined by reference to box-office sales, shall not be restricted by this
clause (i); 
  
 (ii) sale, transfer or disposal
of assets of the Company or any of its Subsidiaries, or purchase or other acquisition of assets or businesses, in each case in any single or series of related transactions for a consideration in excess of Pesetas 7,500,000; 
  
 (iii) engaging by the Company or any of its Subsidiaries in
any business other than as provided in Section 2.2; 
  
 (iv) varying the Company’s accounting policies and practices in any material respect, other than to comply with GAAP; 
  
 (v) entering into, amending or waiving the provision of any agreements or transactions with any Member or any Affiliate of any Member
after the Closing Date except as expressly provided for in this Agreement and except relating to the exhibition and settlement of motion pictures; 
  
 (vi) entering into any arrangements in connection with the Excluded Assets other than as contemplated by the Ancillary Agreements;

  
 (vii) establishing any place of business
outside Spain; 
  
 (viii) commencing or settling
litigation where the amount involved exceeds Pesetas 7,500,000; 
  
 (ix) entering into any joint venture, partnership agreement or similar arrangement; 
  
 (x) approving and adopting the annual budget or the Business Plan or any change thereto; 
  
 (xi) incurring any debt for borrowed money in excess of
Pesetas 7,500,000; or 
  

 -10 

 (xii) entering into employment agreements or consulting agreements with any Person
involving the payment in any such agreement of an amount in excess of Pesetas 7,500,000, or authorizing any Person to enter into employment agreements or consulting agreements. 
  
 (b) Neither the Company nor any Subsidiary of the Company shall take any of the following actions without the unanimous
approval of the Members: 
  
 (i) varying any of
the rights attaching to the Membership Interests except as set forth in this Agreement; 
  
 (ii) modifying the Estatutos; 
  
 (iii) taking any steps to effect the winding-up, liquidation, dissolution or voluntary bankruptcy of the Company or any of its
Subsidiaries; 
  
 (iv) except as provided in
Sections 4.1, 4.2. or 4.3, the issuance of additional Membership Interests or other equity interests by the Company; 
  
 (v) entering into any merger, amalgamation, consolidation or other business combination to which the Company or any of its Subsidiaries is
a party; 
  
 (vi) declaring any dividend or
making any other distribution with respect to, or the redemption, repurchase or other acquisition of, any class of equity securities of the Company; 
  
 (vii) changing the name of the Company; or 
  
 (viii) calling for capital contributions from Members in excess of the Contribution Amount. 
  
 ARTICLE VIII 
 TRANSFER AND SALE 
  
 Section 8.1. Transfer Restrictions. No Member shall sell, transfer, assign, pledge or otherwise dispose of (a “Transfer”) all or part of any Membership Interests beneficially owned by it or him (i) except in
compliance with the provisions of this Article VIII and the Estatutos, and (ii) without obtaining a written agreement in form and substance reasonably satisfactory to the Company executed by the transferee to be bound by the terms of this Agreement,
and any Transfer not in compliance with clauses 

  

 -11 

 
(i) and (ii) and any other provisions of this Article VIII shall have no effect and be null and void. 
  
 Section 8.2. Consent. Until the fifth anniversary of the date of
formation of the Company (the “Transfer Waiver Date”), no Member will Transfer any Membership Interests without the prior written consent of the other Members other than to a Permitted Transferee. 
  
 Section 8.3. First Refusal. (a) If, following the Transfer Waiver
Date, either LTM (on behalf of itself and its Permitted Transferees) or RE (for himself and on behalf of his Permitted Transferees) (as appropriate, the “Transferring Member”) desires to Transfer, directly or indirectly, all
or any portion of the Membership Interests owned by it (other than to a Permitted Transferee), the Transferring Member shall provide the other Member (the “Non-Transferring Member”) with a written notice (the “First Refusal
Notice”), with a copy to the Company, setting forth: 
  
 (i) the number of Membership Interests to be offered; 
  
 (ii) the terms and conditions of the proposed Transfer including the price (the “Offering Price”) at which the
Transferring Member proposes to Transfer such Membership Interests; and 
  
 (iii) the name of the proposed transferee and a statement specifying whether that transferee is a Competitor or not. 
  
 Within 30 business days following the delivery of the First Refusal Notice, the Non-Transferring Member shall, by notice in writing to the Transferring Member (copied to
the Company), have the opportunity and right to purchase 100% of the Membership Interests referred to in the First Refusal Notice (on the terms specified in the First Refusal Notice or on any other terms as are agreed by the parties). If the
Non-Transferring Member fails to exercise or waive its right to purchase 100% of the Membership Interests referred to in the First Refusal Notice, then the Transferring Member shall be free, for a three-month period commencing at the end of such
30-day period to enter into a definitive agreement to Transfer the offered Membership Interests to any third party other than a Competitor (which shall be the subject of Section 8.3(b)), on terms (including, without limitation, all terms affecting
price) no more favorable to the proposed purchaser than the terms specified in the First Refusal Notice, it being understood, however, that if the Transferring Member does not complete the Transfer of the Membership Interests within one month
following the end of such three month period, or if the definitive agreement is subsequently terminated, the Transferring Member shall once again be subject to all the provisions of this Section 8.3. 
  

 -12 

 (b) In the event that a proposed transferee is a Competitor, the Transferring Member shall provide the
Non-Transferring Member with a written notice (a “Competitor Notice”), copied to the Company, which shall include the information required in a First Refusal Notice and shall also include an indication of whether the Competitor is
prepared to purchase 100% of the outstanding equity of the Company. Within 30 business days following the delivery of the Competitor Notice, the Non-Transferring Member shall, by notice in writing to the Transferring Member (copied to the Company),
have the opportunity and right (i) to purchase 100% of the Membership Interests referred to in the Competitor Notice (at 90% of the Offering Price specified in that notice) or (ii) to notify the Transferring Member that it wishes to sell to the
Competitor all of the Membership Interests owned by it on terms specified in the Competitor Notice in which case, the Transferring Member shall only be entitled to sell its Membership Interests to the Competitor specified in the Competitor Notice if
the Non Transferring Member’s Membership Interests are also purchased by that Competitor. If the Non-Transferring Member fails to exercise or waives its right to purchase the Membership Interests referred to in that notice or fails to exercise
or waives its right to sell its membership interests to the Competitor specified in the Competitor Notice, then the Transferring Member shall be free, for a three-month period commencing at the end of such 30-day period to enter into a definitive
agreement to Transfer the offered Membership Interests to the Competitor specified in the Competitor Notice on terms (including, without limitation, all terms affecting price) no more favorable to the buyer than the terms specified in that notice,
it being understood, however, that if the Transferring Member does not complete the Transfer of the Membership Interests within one month following the end of such three-month period, or if the definitive agreement is subsequently terminated, the
Transferring Members shall once again be subject to all the provisions of this Section 8.3. 
  
 (c) Each acceptance made hereunder shall constitute a separate, binding contract obligating the Transferring Member to sell, and the Non-Transferring Member to purchase, the Membership Interests accepted on the terms
specified in the relevant notice (or on any other terms as the parties shall have agreed). The parties agree to negotiate in good faith to consummate the transaction as soon as possible, but in no event later than the date 120 days after the date
the First Refusal Notice or Competitor Notice (as the case may be) was given. Notwithstanding any provision of this Agreement to the contrary, in the event of failure by the Non-Transferring Member to close the transaction within the 120-day time
periods referred to above, as extended if applicable, the Transferring Member shall be entitled, in addition to all other available remedies, to treat that failure as a waiver under Section 8.3(a) or 8.3(b), as the case may be, by the
Non-Transferring Member, entitling the Transferring Member to take the action specified in Sections 8.3(a) or 8.3(b), as the case may be, pursuant to that waiver. 
  

 -13 

 (d) If the Offering Price, specified in the First Refusal Notice or the Competitor Notice as the case may
be, includes any property other than cash, the fair market value of any non-cash property shall be determined in the following manner: 
  
 (i) The fair market value of securities which are publicly traded shall be deemed to be the average of the daily closing prices of those
securities for the five consecutive trading days immediately prior to the date of the First Refusal Notice or the Competitor Notice, as the case may be (or the date of the last written proposal made by the Transferring Member); and 
  
 (ii) The fair market value of any other property shall be
determined by the good faith agreement of the Transferring Member and the accepting Non-Transferring Member or, if such parties are unable to agree, by an appropriate expert mutually selected by such parties. If the parties cannot mutually agree on
an expert, each party shall select an expert and those experts shall select an independent expert to resolve the dispute. The costs and expenses of the appraisal shall be borne by the Transferring Member. 
  
 Notwithstanding anything to the contrary in this Section 8.3, each
Non-Transferring Member may pay the Offering Price in cash, with any non-cash property valued as provided above. 
  
 ARTICLE IX 
 COVENANTS OF RE 
  
 RE hereby covenants and agrees with LTM as follows: 
  
 Section 9.1. Cooperation by RE. RE shall use all reasonable efforts,
and will cooperate with the Company and LTM, to secure all necessary consents, approvals, authorizations, exemptions and waivers from third parties as shall be required in order to enable RE to effect the transactions contemplated hereby, and shall
otherwise use all reasonable efforts to cause the consummation of such transactions in accordance with the terms and conditions hereof. 
  
 Section 9.2. Conduct of Business. Except as otherwise expressly permitted by the terms of this Agreement or except as LTM may otherwise consent to
in writing, from the date hereof until the Closing, RE will cause each of the Yelmo Group Companies to (i) conduct its business only in the ordinary course in substantially the same manner as presently conducted; (ii) preserve intact in all material
respects its business organization; (iii) maintain its properties, machinery and equipment in sufficient operating condition and repair to enable it to conduct its business in all material respects in the manner in which its business is currently
conducted; (iv) continue all existing 

  

 -14 

 
insurance policies (or similar insurance) in full force and effect; (v) not increase the rate or terms of compensation payable or to become payable to its
directors, officers, members, managers, key employees, consultants or RE’s family members and not increase the rate or terms of any bonus, pension or other employee benefit plan covering any of its directors, officers, members, managers, key
employees, consultants or family members, except, in each case, increases occurring in the ordinary course of business in accordance with its customary practices (including normal periodic performance reviews and related compensation and benefit
increases) or as required by any pre-existing Material Contract or applicable collective bargaining agreement; (vi) preserve as far as possible its relationships with its suppliers, customers, licensors and licensees and others having business
dealings with it; (vii) not declare or pay any dividend or make any other distribution to its members or stockholders whether or not in respect of any equity interests; (viii) not amend its Estatutos except amendments required to effect the
transactions contemplated by this Agreement, which amendments are provided to and approved in writing by LTM; (ix) not redeem or otherwise acquire any of its equity interests or issue any equity interests or any option, warrant or right relating
thereto or any securities convertible into or exchangeable for any equity interests; (x) not adopt or amend in any material respect any employee benefit plan except as required by Law; (xi) not incur or assume any Debt except in the ordinary course
of business; (xii) not permit, allow, or suffer any of its assets to become subjected to any Lien or other restriction of any nature except as required by Law or this Agreement; (xiii) not waive any claims or rights of substantial value; (xiv) not
pay, loan or advance any amount to, or sell, transfer or lease any assets to, or enter into any agreement or arrangement with RE or any Person affiliated with RE, other than with respect to the Excluded Assets; (xv) not sell, exchange, lease,
transfer or otherwise dispose of any assets of the Yelmo Group Companies, other than the sale of inventory in the ordinary course of business and other than the sale or transfer of the Excluded Assets; (xvi) not make any amendment to the terms upon
which the Excluded Assets were transferred out of the Yelmo Group Companies; (xvii) not acquire any assets, business or securities, other than the acquisition of current assets in the ordinary course of business, except as provided for in this
Agreement; (xviii) not incur any capital expenditures in excess of Pesetas 7,500,000; (xix) not change its accounting principles or policies except as required by GAAP or by Law; and (xx) not agree, whether in writing or otherwise, to do any of the
foregoing. 
  
 Section 9.3. Access. RE shall provide the
Company and LTM with such information as the Company and LTM may from time to time reasonably request with respect to the Yelmo Group Companies, and the transactions contemplated by this Agreement and provide the Company and LTM and its
representatives reasonable access during regular business hours and upon reasonable notice to the properties, books and records of the Yelmo Group Companies as LTM may from time to time reasonably request. 
  

 -15 

 Section 9.4. Required Notices. From the date hereof until the Closing Date, RE shall cause the
Yelmo Group Companies to promptly, upon obtaining knowledge thereof, give written notice to the Company and LTM of (i) any facts or circumstances or the occurrence of any event or the failure of any event to occur, which will, or could reasonably be
expected to, result in a Material Adverse Effect, (ii) any failure by RE to comply in all material respects with any covenant, condition or agreement contained in this Agreement, (iii) any complaints, investigations, proceedings or hearings of any
Governmental Entity with respect to the Yelmo Group Companies or this Agreement, (iv) any institution or threat of institution of any litigation or similar action or (v) the occurrence of any event which will or could reasonably be expected to
result in the failure by RE to satisfy any condition set forth in Article XI. 
  
 Section 9.5. Certain Tax Matters. RE agrees that he shall file his personal Tax returns consistent with the terms of the transactions contemplated hereby including, without limitation, consistent with the
treatment of the share for share exchange referred to in Section 4.2(c) as a tax free transaction and that he shall not take any actions inconsistent with the treatment of such share for share exchange as a tax-free transaction. 
  
 Section 9.6. Use of Certain Names. Promptly following the Closing
Date, but in no event later than 30 days thereafter, RE shall cause Yelmo Arco Iris, S.L. and any other Excluded Asset that uses the name “Yelmo” to (i) change its name to exclude the word “Yelmo” and (ii) remove the name
“Yelmo” and associated graphics from its signs, purchase orders, invoices, sales orders, labels, letterheads, shipping documents, and other items and materials. 
  
 ARTICLE X 
 CERTAIN AGREEMENTS 
  
 Section 10.1.
Non-Competition. (a) Subject to and except as permitted by Section 10.1(d), as long as LTM or any of its Permitted Transferees directly or indirectly owns any Membership Interests, and until the fifth anniversary of the date that LTM and its
Permitted Transferees cease to own any Membership Interests, LTM shall not directly or indirectly have any equity or other ownership or participation interest in (other than passive investments of no more than 5% of the equity of a company whose
equity securities are publicly traded) any motion picture exhibition business (which business includes the concessions business associated with exhibition of motion pictures) in Spain other than the Company. 
  
 (b) Subject to and except as permitted by Sections 10.1(c) and 10.1(d), as
long as RE or his Permitted Transferees directly or indirectly own Membership Interests, and until the fifth anniversary of the date that RE and his Permitted Transferees 

  

 -16 

 
cease to own any Membership Interests, RE shall not directly or indirectly have any equity or other ownership or participation interest (other than passive
investments of no, more than 5% of the equity of a company whose equity securities are publicly traded) in any motion picture exhibition business (which business includes the concessions business associated with exhibition of motion pictures) in
Spain other than the Company. 
  
 (c) Notwithstanding Section
10.1(b), RE shall be entitled (i) to retain a passive minority interest in Multidulce, S.L., Confiterias Regaliz, S.L., and Multifiesta, S.L. and (ii) to retain an interest in Yelmo Arco Iris, S.L., provided that the activities of Yelmo Arco Iris,
S.L. do not, directly or indirectly, breach the provisions of Section 10.1(b). 
  
 (d) If either LTM or RE wishes to participate in or undertake any business venture which would otherwise be prohibited by Section 10.1(a) or 10.1(b) (a “New Venture”), the party proposing such New
Venture (the “Proposing Party”) shall first offer it to the Company by providing written notice (a “Notice of New Venture”) to the Company containing a detailed description of the nature, structure and terms of such
New Venture as well as a copy of any proposed agreements relating thereto. The Company shall have thirty days to determine whether it wishes to pursue the New Venture, it being agreed that such determination shall be made by the Directors
representing the non-Proposing Party. In the event that the Company determines not to participate in such New Venture, then the Proposing Party (and/or its Affiliates) shall have the right to enter into the New Venture as described in the Notice of
New Venture independently or with such third Persons as it selects; provided that the terms related to such New Venture shall be no more favorable than the terms offered to the Company. Notwithstanding the foregoing sentence, to the extent that
there is a material change in the details of the New Venture as described in the Notice of New Venture, a Proposing Party will not have the right to directly or indirectly, participate in or undertake the New Venture without giving an additional
Notice of New Venture to the Company pursuant to this Section 10.1(c). 
  
 Section 10.2. Access to Company. Upon five business days’ notice, each Member and its representatives shall be permitted to inspect the books and records of the Company for any proper purpose and make copies thereof at any
reasonable time during normal business hours, it being acknowledged that any information provided under this Section 10.2 shall be subject to the provisions of Section 13.4. 
  
 Section 10.3. Financial Reporting Obligations. The Members shall cause the Company to deliver to each of the Members
(i) as soon as available, but in any event not later than 60 days after the end of each fiscal year of the Company, a copy of the consolidated balance sheet of the Company as at the end of such year and the related consolidated statements of net
income and retained earnings and of cash flows of the Company for such year setting forth in each case in comparative form the figures for the previous year, (ii) as soon as available, but in any event not later than 90 days after the 

  

 -17 

 
end of the fiscal year of the Company, its financial statements referred to in clause (i), reported on by independent certified public accountants of
internationally recognized standing, (iii) as soon as available, but in any event not later than 30 days after the end of each of the first three quarterly periods of each fiscal year of the Company, the unaudited consolidated balance sheet of the
Company as at the end of such quarter and the related unaudited consolidated statements of net income and retained earnings and of cash flows of the Company for such quarter and the portion of the fiscal year through the end of such quarter, setting
forth in each case in comparative form the figures for the previous year, certified by the Chief Financial Officer or equivalent director or employee of the Company as being fairly stated in all material respects (subject to normal year-end audit
adjustments) and (iv) as soon as available, but in any event not later than 30 days after the end of each month of each fiscal year of the Company, the unaudited consolidated balance sheet of the Company as at the end of such month and the related
unaudited consolidated statements of net income and retained earnings and of cash flows of the Company for such month certified by the Chief Financial Officer or equivalent director or employee of the Company as being fairly stated in all material
respects (subject to normal year-end audit adjustments). All such financial statements shall be prepared in reasonable detail and in accordance with GAAP applied consistently throughout the periods reflected therein and with prior periods (except as
any inconsistent application of GAAP is approved by such accountants or officer, as the case may be, and disclosed therein). 
  
 Section 10.4. Conduct of Business. The Members shall cause the Company to adopt and maintain an integrity policy satisfactory to LTM and RE.

  
 ARTICLE XI 
 CONDITIONS TO CLOSING AND TERMINATION 
  
 Section 11.1. Conditions to Obligations of LTM. The obligation of LTM (other than incorporation of the Company) to consummate the transactions
contemplated by this Agreement shall be subject to the satisfaction (or waiver, where permissible) at or prior to the Closing of all of the following conditions: 
  
 (a) Representations. Warranties and Covenants of RE. RE shall have complied in all material respects with all of his
agreements and covenants contained herein to be performed on or prior to the Closing Date, and all the representations and warranties of RE contained herein shall be true in all material respects on and as of the Closing Date with the same effect as
though made on and as of the Closing Date. The Company shall have received a certificate executed by RE, dated as of the Closing Date, certifying as to the fulfillment of the conditions set forth in this Section 11.1. 
  

 -18 

 (b) No Prohibition. No statute, rule or regulation or order of any court or administrative agency
shall be in effect which prohibits the parties from consummating the transactions contemplated hereby. 
  
 (c) Consents. All consents, approvals, authorizations, exemptions and waivers from any Governmental Entity or any third party including those set
forth in Schedule 11.(c) hereof that shall be required in connection with the transactions contemplated hereby shall have been obtained. 
  
 (d) Certificates and Resolutions. LTM shall have received copies, in form and substance reasonably satisfactory to it, of such certificates of good
standing, board resolutions, officers and secretaries’ certificates and other documents with respect to the Yelmo Group Companies as LTM or its counsel shall reasonably request. 
  
 (e) Minority Interests. Except for the Persons identified in Schedule 11.1(e) holding the interests in the
Yelmo Group Companies identified on that Schedule, no Person other than RE shall have an equity interest in any Yelmo Group Company and LTM shall have received evidence to that effect satisfactory to it. 
  
 (f) Excluded Assets. The Excluded Assets shall have been transferred
out of the Yelmo Group Companies in accordance with the terms of the Asset Transfer Agreement and LTM shall have received evidence to that effect satisfactory to it. 
  
 (g) Certain Payments. RE shall have paid to Yelmo Films (whether in repayment of a debt or otherwise) an amount of
Pesetas 31,976,000 and LTM shall have received evidence to that effect satisfactory to it. 
  
 (h) Intercompany Accounts. All intercompany balances between Yelmo Group Companies on the one hand and any Affiliates of RE on the other hand shall have been eliminated, and for the sake of clarity there shall
be no intercompany balance between Yelmo Group Companies and the Excluded Assets, and both of these requirements shall be evidenced in a manner satisfactory to LTM. 
  
 (i) Ancillary Agreements. The Ancillary Agreements shall have been executed by LTM, the Company, RE, Yelmo Films,
Multidulce, S.L., Multifiesta, S.L. and Confiterias Regaliz, S.L., as appropriate. 
  
 (j) Certain Business Combinations. The business combination of LTM Holdings, Inc and Cineplex Odeon Corporation contemplated by the agreement among these companies and others, dated September 30, 1997, shall
have been consummated. 
  
 Section 11.2. Conditions to
Obligations of RE. The obligation of RE to consummate the transactions contemplated by this Agreement shall be subject to the 

  

 -19 

 
satisfaction (or waiver, where permissible) at or prior to the Closing of all of the following conditions: 
  
 (a) Representations, Warranties and Covenants of LTM. LTM shall have
complied in all material respects with all of its agreements and covenants contained herein to be performed on or prior to the Closing Date, and the representations and warranties of LTM contained herein shall be true in all material respects on and
as of the Closing Date with the same effect as though made on and as of the Closing Date. RE shall have received a certificate executed by or on behalf of the Company and LTM, dated as of the Closing Date, certifying as to the fulfillment of the
conditions set forth in this Section 11.2. 
  
 (b) No
Prohibition. No statute, rule or regulation or order of any court or administrative agency shall be in effect which prohibits the parties from consummating transactions contemplated 
  
 (c) Incorporation of the Company. The Company shall have been incorporated by LTM, and have a paid in share capital
of 2,000,000,000 pesetas, (said amount need not be registered with the Mercantile Registry at closing). 
  
 (d) Certificates and Resolutions. RE shall have received copies, in form and substance reasonably satisfactory to him, of such certificates of good
standing, board resolutions, officers, and secretaries’ certificates and other documents with respect to LTM as RE or his counsel shall reasonably request. 
  

(e) Ancillary Agreements. The Ancillary Agreements shall have been executed by LTM, the Company, RE, Yelmo Films, Multidulce, S.L., Multifiesta,
S.L. and Confiterias Regaliz, S.L., as appropriate. 
  
 (f)
Delivery of the principal amount to be loaned under the Loan Agreement. 
  
 11.3.
Termination. This Agreement may be terminated at any time prior to the Closing by the mutual written consent of RE and LTM or in writing by either RE or LTM, as the case may be, if the conditions to Closing set forth in this article XI
applicable to the obligation of RE or LTM, as the case may be, to close shall not have been satisfied on or before the date 30 working days following the date of this Agreement. 
  
 ARTICLE XII 
 INDEMNIFICATION 
  
 Section 12.1. Survival. The
representations and warranties made in this Agreement (which, for the avoidance of doubt, are made as of the Closing Date and not 

  

 -20 

 
thereafter) shall survive the Closing and remain in full force and effect (i) in the case of all such representations and warranties, other than those
contained in paragraphs A3, A4, A12 and A21 of Appendix B for a period of two years after the Closing Date, (ii) in the case of the representations and warranties contained in paragraphs A3 and A4 of Appendix B, indefinitely, (iii) in the case of
the representations and warranties contained in paragraph A12 of Appendix B, for a period equal to 90 days in excess of the applicable statute of limitations therefor and (iv) in the case of the representations and warranties contained in paragraph
A21 of Appendix B, for a period of seven years after the Closing Date. 
  
 Section 12.2. Losses. For purposes of this Agreement, the terms “Loss” or “Losses” shall mean each and all of the following items to the extent actually incurred: claims, losses, liabilities,
damages, judgments, awards, costs and expenses (including, without limitation, reasonable fees and disbursements of counsel). Losses shall exclude all consequential damages. 
  
 Section 12.3. Indemnification by RE. RE shall indemnify and hold harmless LTM, the Company and their respective
Affiliates from and against any and all Losses based upon, arising out of, or resulting from, any of the folk wing: 
  
 (i) any breach by RE of any of the representations or warranties made by RE in this Agreement; 
  
 (ii) any failure by RE to perform any of his covenants or
agreements contained in this Agreement; 
  
 (iii)
all Pre-Closing Taxes for which the Yelmo Group Companies are liable; 
  
 (iv) the Excluded Assets (without duplication of amounts recovered pursuant to Section 5.1.), to the extent relating to the period prior to the Closing Date or as a result of the transfer thereof; and 
  
 (v) the matters set forth on Schedule 12.3.

  
 Section 12.4. Indemnification by LTM. LTM shall
indemnify and hold harmless RE, the Company and its Affiliates from and against any and all Losses based upon or resulting from any of the following: 
  
 (i) any breach by LTM of any of the representations or warranties made by LTM in this Agreement; or 
  
 (ii) any failure by LTM to perform any of its covenants or
agreements contained in this Agreement. 
  

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 Section 12.5. Indemnification by the Company. (a) The Members shall cause the Company to indemnify
and hold harmless each Member and each Director, each Affiliate of each holder of Membership Interests, each of the foregoing’s respective directors, officers, employees and agents and each of the heirs, executors, successors and assigns of any
of the foregoing, from and against any and all Losses based upon or resulting from, (i) any Liability of the Company or (ii) any act or omission performed or omitted to be performed by such Person in its or his capacity as a Member, member of the
Members Committee or holder of Membership Interests (or as an Affiliate, director, officer, employee, agent, heir, executor, successor or assign of such Member, holder, member of the Members Committee or Affiliate) except for acts or omissions
constituting gross negligence, bad faith, fraud or willful misconduct, or breach of this Agreement, provided that no Person shall have any obligation or liability under this Section 12.5 with respect to any Losses for which such Person is
indemnified or is entitled to indemnification pursuant to Section 12.3 or 12.4. 
  
 (b) The Members shall cause the Company to timely indemnify and hold harmless RE from and against all capital gains tax and any penalties and interest associated therewith, up to a maximum aggregate amount of Pesetas
326,000,000, actually incurred by RE directly and exclusively as a result of the share for share exchange referred to in Section 4.2(c) being finally determined to constitute a taxable transaction by the competent Spanish authorities and not
susceptible to appeal (the “Indemnified Amount”). RE undertakes to pay the Indemnified Amount to the competent Spanish authorities within a period of three working days from receipt by RE of the Indemnified Amount and provide immediately
after payment evidence satisfactory to the Company of said payment. The Indemnified Amount is to be paid by the Company to RE in the manner which best protects the interests of both the Members and the Company. 
  
 (c) Except as expressly provided in this Article XII, no Member or holder of
Membership Interests will have any obligation or Liability to any Member or holder of Membership Interests arising out of or relating to any Liability of the Company. 
  
 Section 12.6. Claims. (a) When a party seeking indemnification under Section 12.3,12.4 or 12.5(a) (the
“Indemnified Party”) receives notice of any claims made by third parties (“Third Party Claims”) or has any other claim for indemnification other than a Third Party Claim, which is to be the basis for a claim for
indemnification hereunder, the Indemnified Party shall give prompt written notice thereof to the other party or parties (the “Indemnifying Party”) reasonably indicating (to the extent known) the nature of such claims and the basis
thereof; provided, however, that failure of the Indemnified Party to give the Indemnifying Party prompt notice as provided herein shall not relieve the Indemnifying Party of any of its obligations hereunder unless and only to the
extent that the Indemnifying Party shall have been materially prejudiced thereby. The Indemnified Party shall have the right to either (i) assume the defense of any Third Party 

  

 -22 

 
Claim or (ii) request that the Indemnifying Party assume the defense of such Third Party Claim. No compromise or settlement in respect of any Third Party
Claims may be effected by the Indemnifying Party without the Indemnified Party’s prior written consent (which consent shall not be unreasonably withheld or delayed). Regardless of whether the Indemnified Party assumes the defense of a Third
Party Claim or requests the Indemnifying Party to assume such defense, the Indemnifying Party shall pay all costs and expenses thereof, including without limitation fees and expenses of legal counsel. 
  
 (b) If RE receives notice of any claim which is the basis for a claim for
indemnification under Section 12.5(b), he shall give prompt written notice thereof to the Company and LTM describing in detail the amount of such claim and the basis thereof. The Company shall have the right to assume the defense of such claim and
the Company shall have the right to compromise or settle such claim to the extent such compromise or settlement is for the payment of cash in an amount equal to or less than Pesetas 326,000,000. No compromise or settlement in respect of any such
claims may otherwise be effected by the Company without RE’s prior written consent (which consent shall not be unreasonably withheld or delayed). Notwithstanding anything in this Agreement to the contrary, the Company shall exercise its rights
under this Section 12.6(b) with the consent of, and at the direction of, LTM, it being understood and agreed that, except as expressly provided in this Section 12.6(b), RE shall not be entitled to prevent the Company (whether in his capacity as a
Member or as Managing Director or otherwise) from complying with LTM’s direction under this Section 12.6(b). Without limiting the Company’s rights pursuant to the foregoing, it is understood and agreed that, if RE has appointed his own
counsel to defend a tax related claim of which a claim covered by this Section 12.6(b) is part, counsel appointed by the Company shall keep RE’s counsel informed of the progress of the defense of the claim covered by this Section 12.6x(b) and
shall cooperate in a reasonable manner with RE’s counsel. 
  
 ARTICLE XIII 
 GENERAL 
  
 Section 13.1. Arbitration. In the event a dispute occurs with respect to any matter in connection with this Agreement, RE and LTM will promptly
attempt to settle such dispute through consultation and negotiation in good faith and in a spirit of mutual cooperation. If agreement is reached concerning the resolution of such dispute, then such agreement shall be final, conclusive and binding on
RE and LTM. If, on or before the tenth day after written notice of such dispute is given by one party to the other, such dispute has not been resolved by the agreement of RE and LTM, LTM and RE shall each appoint an arbitrator who shall, within five
days of their appointment, agree on a third arbitrator to whom the dispute shall be referred. If the two independent arbitrators appointed by LTM and RE cannot agree on an appropriate third arbitrator, the matter 

  

 -23 

 
shall be referred to the Dean of the Bar of Madrid which shall appoint an arbitrator. The finally appointed arbitrator shall be instructed to apply the laws
of Spain. The arbitrator’s decision and award with respect to the dispute referred to shall be final and binding on RE and LTM and may be entered in any court with jurisdiction. The cost of the arbitration proceeding and any proceeding in court
to confirm or to vacate any arbitration award, as applicable (including, without limitation, attorneys’ fees and costs), shall be borne by the unsuccessful party to the dispute and shall be awarded as part of the arbitrator’s award;
provided, however, that (i) each of LTM and RE shall bear its own attorneys’ fees and costs in connection with the arbitration proceedings and (ii) if the arbitrator does not find one of LTM or RE to be unsuccessful then the cost
of the arbitral proceeding shall be paid equally by LTM and RE. . 
  
 Section 13.2. Notices. Any notice required to be given hereunder shall be sufficient if in writing, and sent by facsimile transmission or by courier service (with proof of service), hand delivery or certified or registered mail
(return receipt requested and first-class postage prepaid), addressed as follows: 
  

			
	 If to the Company:
	  	 If to LTM:

		
	 Jacometrezo 4 - 7°,
 28013, Madrid
 Attention: Managing Director
 Facsimile: (3491) 5231658
	  	 LOEWS THEATRES
 711 Fifth Avenue,
 New York, N.Y. 10022

		
	 	  	 Attention: John Cormie
 McBride.
 General Counsel
 Facsimile: (212) 833.83.79

		
	 With a copy to:
	  	 With a copy to:

		
	 Gomez-Acebo & Pombo
 Castellana 164,
 28046 Madrid
 Attn. Richard Silberstein
 Facsimile: (3491) 582 9114
	  	 Lawrence J. Ruisi
 Chief Executive Officer
 Loews Theatres
 711 Fifth Avenue
 New York, New York 10022
 Facsimile: 212 833 67 80

  

 -24 

			
	Lawrence J. Ruisi	  	John J. Walker
	Chief Executive Officer	  	Chief Financial Officer
	Loews Theatres	  	Loews Theatres
	711 Fifth Avenue	  	711 Fifth Avenue
	New York, New York 10022	  	New York, New York 10022
	Facsimile: 212 833 67 80	  	Facsimile: 212 833 62 70
		
	John J. Walker	  	Fried, Frank, Harris, Shriver &
	Chief Financial Officer	  	Jacobson
	Loews Theatres	  	1 New York Plaza
	711 Fifth Avenue	  	New York, NY, 10004
	New York, New York 10022	  	Attention: Sanford Kieger
	Facsimile: 212 833 62 70	  	Facsimile: (212) 859 40 00
		
	If to RE:	  	 
	c/o Yelmo Films, S.A.	  	 
	Jacometrezo, 4-7°	  	 
	28001 Madrid	  	 
	Facsimile: (3491) 523 1658	  	 
		
	With a copy to:	  	 
		
	Bufete Ramon Hermosilla	  	 
	Claudio Coello, 32 - 1°	  	 
	Attention: Ramon Hermosilla Gimeno	  	 
	Facsimile: (3491) 435 6366	  	 

  
 or to such other address as any party
or other addressee shall specify by written notice so given, and such notice shall be deemed to have been delivered as of the date so telecommunicated, personally delivered or mailed. 
  
 Section 13.3. Assignment: Binding Effect: Benefit. Except as expressly contemplated herein, neither this Agreement
nor any of the rights, interests or obligations hereunder shall be assigned by any of the parties hereto (whether by operation of law or otherwise) without the prior written consent of the other parties, except any rights, interests or obligations
relating to Membership Interests Transferred to a Permitted Transferee, provided that no such assignment will relieve the assigning party of any of its obligations hereunder, and provided further that the foregoing restriction
shall not apply 

  

 -25 

 
to any assignment to any successor Person in connection with any merger or consolidation or sale of all or substantially all of the assets. Subject to the
preceding sentence, this Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. Notwithstanding anything contained in this Agreement to the contrary, nothing in this
Agreement, express or implied, is intended to confer on any Person other than the parties hereto or their respective successors and assigns any rights, remedies, obligations or liabilities under or by reason of this Agreement. 
  
 Section 13.4. Confidentiality. Each Member agrees that it shall keep
all information regarding the business, affairs or plans of the Company strictly confidential and shall maintain and protect all information regarding the business, affairs or plans of the Company in no less careful a manner than it maintains and
protects its own confidential business information; provided, however, that such information may be disclosed by a Member or holder if, in the reasonable opinion of counsel to such Member or holder, and after prior consultation with
the Members and their counsel (but not their consent), such disclosure is required by law or applicable rules of any securities exchange; provided further, that the provisions of this Section 13.4 shall not apply to information which
(i) becomes generally available to the public other than as a result of a disclosure by such Member or holder or its representatives, (ii) was available to such Member or holder on a non-confidential basis prior to its disclosure to such Member or
holder by any other Member or holder or their representatives, or (iii) becomes available to such Member or holder on a non-confidential basis from a source other than any other Member or its representatives. 
  
 Section 13.5. Entire Agreement. This Agreement has been prepared and
executed in both English and Spanish, and both versions shall be binding on the parties hereto, provided that, in the event that any provision of the Spanish version conflicts with or is inconsistent with any provision of the English version of this
Agreement, the provisions of the English version shall control and be binding upon each of the parties hereto. This Agreement (in both English and Spanish), the exhibits, appendices and schedules hereto and any certificate delivered by the parties
in connection herewith constitute the entire agreement among the parties with respect to the subject matter hereof and supersede all prior agreements and understandings (oral and written) among the parties with respect thereto. 
  
 Section 13.6. Amendment. This Agreement may not be amended or modified
except by an instrument in writing signed by or on behalf of each of the parties hereto. 
  
 Section 13.7. Counterparts. This Agreement may be executed by the parties hereto in separate counterparts, each of which when so executed and delivered shall be an original, but all such counterparts shall
together constitute one and the same instrument. Each counterpart may consist of a number of copies of this Agreement, each 

  

 -26 

 
of which may be signed by less than all of the parties hereto, but together all such copies are signed by all of the parties hereto. 
  
 Section 13.8. Headings. Headings of the Articles and Sections of this
Agreement are for the convenience of the parties only, and shall be given no substantive or interpretive effect whatsoever. 
  
 Section 13.9. Interpretation. In this Agreement, unless the context otherwise requires, words describing the singular number shall include the
plural, and vice versa, “including” shall mean “including, without limitation,” words denoting any gender shall include all genders and references to a Person include such Person’s successors and permitted assigns. In this
Agreement, unless defined herein, all accounting terms shall have the meaning given to them under GAAP. 
  
 Section 13.10. Incorporation of Exhibits and Schedules. All exhibits, appendices and schedules hereto are hereby incorporated herein and made a
part hereof for all purposes as if fully set forth herein. 
  
 Section 13.11. Severability. Any term or provision of this Agreement which is invalid or unenforceable in any jurisdiction shall, as to that jurisdiction, be ineffective to the extent of such invalidity or unenforceability without
rendering invalid or unenforceable the remaining terms and provisions of this Agreement or otherwise affecting the validity or enforceability of any of the terms or provisions of this Agreement in any other jurisdiction. If any provision of this
Agreement is so broad as to be unenforceable, the provision shall be interpreted to be only so broad as is enforceable. 
  
 Section 13.12. Enforcement of Agreement. The parties hereto agree that irreparable damage would occur in the event that any of the provisions of
Articles VII and VIII or Section 10.1 of this Agreement was not performed in accordance with its specific terms or was otherwise breached. It is accordingly agreed that the parties shall be entitled to an injunction or injunctions to prevent
breaches of Articles VII and VIII or Section 10.1 of this Agreement and to enforce specifically the terms and provisions of Articles VII and VIII or Section 10.1 of this Agreement in any court of competent jurisdiction, this being in addition to any
other remedy to which they may be entitled at law or in equity. 
  

 -27 

 IN WITNESS WHEREOF, the parties have executed this Agreement and caused the same to be duly delivered on
their behalf as of the day and year first written above. 
  

					
	LTM SPANISH HOLDINGS, INC.
		
	By:	 	/s/    JOHN CORMIE
MCBRIDE        
	 	 	 Name:
	 	John Cormie McBride
	 	 	 Title:
	 	Senior Vice President and General Counsel
	
	RICARDO EVOLE MARTIL
	
	/s/    Illegible

  

 -28Amended and Restated Joint Venture Agreement Dated as of July 25, 2002

 Exhibit 10.11 
  
 EXECUTION COPY 

  
 AMENDED AND RESTATED JOINT VENTURE AGREEMENT 
  
 by and among 
  
 LOEWS CINEPLEX ENTERTAINMENT CORPORATION 
  
 and 
  
 LOEWS CINEPLEX INTERNATIONAL HOLDINGS, INC. 
  
 and 
  
 MEDIAPLEX, INC. 
  
 and 
  
 MEGABOX CINEPLEX, INC. 
  

 TABLE OF CONTENTS 
  

					
	 ARTICLE I DEFINITIONS
	  	2
	 Section 1.1.
	  	 Definitions
	  	2
		
	 ARTICLE II ORGANIZATION OF THE COMPANY
	  	3
	 Section 2.1.
	  	 Organizational Documents; Shareholder Resolutions
	  	3
	 Section 2.2.
	  	 Purpose
	  	3
		
	 ARTICLE III EFFECTIVENESS OF PRIOR AGREEMENTS
	  	3
	 Section 3.1.
	  	 Replacement of Prior Agreements
	  	3
	 Section 3.2.
	  	 Conditional Effectiveness
	  	3
		
	 ARTICLE IV CAPITAL CONTRIBUTIONS
	  	4
	 Section 4.1.
	  	 Subsequent Capital Contributions
	  	4
		
	 ARTICLE V REPRESENTATIONS AND WARRANTIES
	  	4
		
	 ARTICLE VI CORPORATE GOVERNANCE; CERTAIN CORPORATE ACTIONS
	  	4
	 Section 6.1.
	  	 Voting of Shares
	  	4
	 Section 6.2.
	  	 Composition of the Board of Directors
	  	4
	 Section 6.3.
	  	 Representative Directors, Chief Operating Officer, Chief Financial Officer and Statutory Auditor
	  	5
	 Section 6.4.
	  	 Approval of Certain Matters
	  	6
		
	 ARTICLE VII TRANSFER AND SALE
	  	8
	 Section 7.1.
	  	 Transfer Restrictions
	  	8
	 Section 7.2.
	  	 Consent
	  	8
	 Section 7.3.
	  	 First Refusal
	  	8
	 Section 7.4.
	  	 Tag-Alone Rights
	  	10
		
	 ARTICLE VIII COVENANTS OF THE PARTIES
	  	11
	 Section 8.1.
	  	 Access
	  	11
		
	 ARTICLE IX CERTAIN AGREEMENTS
	  	11
	 Section 9.1.
	  	 Non-Competition
	  	11
	 Section 9.2.
	  	 Access to Company
	  	12
	 Section 9.3.
	  	 Financial Reporting Obligations
	  	12
	 Section 9.4.
	  	 Related Party Transactions
	  	13

  

 i 

					
	 Section 9.5.
	  	 Excess Cash Distributions
	  	13
	 Section 9.6.
	  	 Sale of Shares by Means of Public Offering
	  	14
		
	 ARTICLE X CONDITIONS TO CLOSING
	  	14
		
	 ARTICLE XI INDEMNIFICATION
	  	14
	 Section 11.1.
	  	 Survival
	  	14
	 Section 11.2.
	  	 Losses
	  	14
	 Section 11.3.
	  	 Indemnification by Mediaplex
	  	14
	 Section 11.4.
	  	 Indemnification by LCE
	  	15
	 Section 11.5.
	  	 Indemnification by the Company
	  	15
	 Section 11.6.
	  	 Claims
	  	15
	 Section 11.7.
	  	 Contribution
	  	16
		
	 ARTICLE XII TERMINATION AND LIQUIDATION
	  	16
	 Section 12.1.
	  	 General
	  	16
	 Section 12 2.
	  	 Termination by LCE
	  	16
	 Section 12.3.
	  	 Termination by Mediaplex
	  	17
	 Section 12.4.
	  	 Termination by Mutual Agreement
	  	17
	 Section 12.5.
	  	 Remedies upon Termination
	  	17
		
	 ARTICLE XIII GENERAL
	  	18
	 Section 13.1.
	  	 Arbitration
	  	18
	 Section 13.2.
	  	 Notices
	  	19
	 Section 13.3.
	  	 Assignment; Binding Effect; Benefit
	  	20
	 Section 13.4.
	  	 Confidentiality
	  	20
	 Section 13.5.
	  	 Entire Agreement
	  	21
	 Section 13.6.
	  	 Amendment
	  	21
	 Section 13.7.
	  	 Counterparts
	  	21
	 Section 13.8.
	  	 Headings
	  	21
	 Section 13.9.
	  	 Interpretation
	  	21
	 Section 13.10.
	  	 Incorporation of Exhibits and Schedules
	  	21
	 Section 13.11.
	  	 Severability
	  	21
	 Section 13.12.
	  	 Enforcement of Agreement
	  	22

  

			
	 APPENDIX A - Definitions

	
	 APPENDIX B - Representations and Warranties

  
 EXHIBITS 
  

			
	
	Exhibit 2.1 - Amended and Restated Articles of Incorporation

  

 ii 

 AMENDED AND RESTATED JOINT VENTURE AGREEMENT 
  
 THIS AMENDED AND RESTATED JOINT VENTURE AGREEMENT, dated as of July 25, 2002
(this “Agreement”), by and among Megabox Cineplex, Inc., a corporation established under the laws of the Republic of Korea and having its offices at 7F, Cinehouse B/D, 91-6 Nonhyun-dong, Kangnam-ku, Seoul, Republic of Korea
(hereinafter the “Company”), Mediaplex, Inc., a corporation established under the laws of the Republic of Korea and having its offices at 7F, Cinehouse B/D, 91-6 Nonhyun-dong, Kangnam-ku, Seoul, Republic of Korea (hereinafter
“Mediaplex”), Loews Cineplex Entertainment Corporation, a corporation established under the laws of the State of Delaware, United States of America, and having its offices at 711 Fifth Avenue, New York, NY 10022, U.S.A (hereinafter
“LCE”) and Loews Cineplex International Holdings, Inc., a corporation established under the laws of the State of Delaware, United States of America and having its offices at 711 Fifth Avenue, New York, NY 10022, U.S.A. (hereinafter
“LCI”) 
  
 W I T N E S S E T H:

  
 WHEREAS, Mediaplex and LCE have entered into a Heads of
Agreement dated October 21, 1999, as amended by the First Amendment to Heads of Agreement dated November 14, 1999, the Second Amendment to Heads of Agreement dated May 9, 2000, the Third Amendment to Heads of Agreement dated August 8, 2000 and the
Fourth Amendment to Heads of Agreement dated August 24, 2000 (the “Heads of Agreement”) establishing the basic framework of a joint venture to develop, construct, own and operate new state-of-the-art multiplex theaters of high
quality in key locations in the Republic of Korea; 
  
 WHEREAS, in
order to facilitate the transfer of the rights and obligations under a Lease Agreement dated July 28, 1998 between Daewoo Corporation (“Daewoo”) and the Korea International Trade Association (“KITA”) regarding the
UEC Multiplex located at KITA’s ASEM MALL (the “UEC Multiplex”), Daewoo and LCE executed an Agreement for the Formation of a Joint Venture Agreement (the “JVA”) on October 21, 1999, pursuant to which each of
Daewoo and LCE subscribed to 1,200,000 shares of the Company at the time of the Company’s incorporation on November 16, 1999; 
  
 WHEREAS, as contemplated by the Heads of Agreement, Mediaplex acquired all of the 1,200,000 shares of the Company owned by Daewoo pursuant to a Share
Transfer Agreement dated November 25, 1999; 
  
 WHEREAS,
Mediaplex, LCI and the Company have entered into a Joint Venture Agreement dated May 9, 2000 (the “Joint Venture Agreement”), in which the parties agreed to consummate Mediaplex’s subscription to 2,479,840 Common Shares of the
Company (as defined therein), LCE’s transfer of all of its Common Shares of the Company to LCI and LCI’s subscription to 2,479,840 Convertible Preferred Shares of the Company (as defined therein) by August 8, 2000; 
  

 1 

 WHEREAS, due to unforeseen circumstances, the closing of the Joint Venture Agreement was rescheduled to
August 25, 2000 by the First Amendment to Joint Venture Agreement dated August 8, 2000 by and among Mediaplex, LCI and the Company (the “First Amendment”), and subsequently to October 15, 2000 by the Supplemental Agreement and
Second Amendment to Joint Venture Agreement dated August 24, 2000 by and among Mediaplex, LCI and the Company (the “Second Amendment”); 
  
 WHEREAS, as the closing did not occur on or prior to October 15, 2000 due to a cause solely attributable to LCI/LCE, pursuant to Article 4 of the Second
Amendment, Mediaplex subscribed to 2,479,840 Common Shares of the Company on November 11, 2000, resulting in the shareholding ratio of Mediaplex and LCE being 75.4% and 24.6%, respectively, and certain provisions of the Joint Venture Agreement were
amended to reflect the dilution of LCE’s shareholding ratio; 
  
 WHEREAS, under Article 4(o) of the Second Amendment, LCI has the right to subscribe to or purchase from Mediaplex on or prior to October 15, 2003 such number of shares of the Company that will result in both Mediaplex and LCI having equal
equity interests in the Company; 
  
 WHEREAS, concurrently with
the execution of this Agreement, Mediaplex, LCE and the Company have entered into a Stock Purchase and Subscription Agreement (the “Stock Purchase and Subscription Agreement”), in which LCE agreed to purchase from Mediaplex
1,015,518 shares of the Company’s common stock owned by Mediaplex, and to subscribe to 448,804 new shares of the Company’s common stock on the terms and conditions set forth therein, such that each of Mediaplex and LCE shall have 50%
equity interest in the Company; and 
  
 WHEREAS, in connection
with LCE’s purchase and subscription of the shares of the Company contemplated in the Stock Purchase and Subscription Agreement, the parries hereto wish to amend the Joint Venture Agreement. 
  
 NOW, THEREFORE, in consideration of the mutual premises and covenants
contained herein, the parties hereto agree as follows: 
  
 ARTICLE
I 
 DEFINITIONS 
  
 Section 1.1. Definitions 
  
 Capitalized terms used herein are defined in Appendix A. 
  

 2 

 ARTICLE II 
 ORGANIZATION OF THE COMPANY 
  
 Section 2.1. Organizational Documents; Shareholder Resolutions. The parties hereto agree that, on or prior to the Closing, the Company will take such action as is necessary to amend the Company’s Articles of Incorporation (the
“Articles of Incorporation”) so that they shall be as set forth in Exhibit 2.1 attached to this Agreement, effective upon the Closing. From the Closing, in the event that the relevant Korean registration authorities considers
that any portion of the Articles of Incorporation should be changed from the form contained in Exhibit 2.1, the parties will amend the Articles of Incorporation so as to reflect as closely as possible the agreements set forth herein.
Notwithstanding anything herein or in the Articles of Incorporation to the contrary, to the extent that any provision of the Articles of Incorporation conflicts with, or otherwise is inconsistent with, any provision of this Agreement with respect to
any matter, or this Agreement covers any matter that is not covered in the Articles of Incorporation, the provisions of this Agreement with respect to such matter shall control and shall be binding upon each of the parties hereto. 
  
 Section 2.2. Purpose. The purpose of the Company will be to develop
and operate, either itself or through its Subsidiaries, the UEC Multiplex and to conduct such other business as prescribed in Article 2 of the Articles of Incorporation, as amended from time to time. 
  
 ARTICLE III 
 EFFECTIVENESS OF PRIOR AGREEMENTS 
  
 Section 3.1. Replacement of Prior Agreements. 
  
 Subject to Section 3.2 hereof, the parties hereto agree that this Agreement shall replace and supersede the Heads of Agreement, the JVA, the Joint Venture Agreement, the First Amendment and the Second Amendment,
regardless of whether the Closing occurs. Any and all rights and obligations of the parties under such prior agreements shall forthwith become null and void upon the execution of this Agreement; provided, however, that each party shall
continue to be liable for its breach of such prior agreements, if any, prior to the date of this Agreement; provided further, that Mediaplex’s right to retain the payment by LCI of $2,000,000 in accordance with Article 4 of the
Second Agreement shall not be affected by this Agreement. 
  
 Section 3.2. Conditional Effectiveness. 
  
 Notwithstanding anything to the contrary herein, none of the provisions in Articles VI and IX of this Agreement shall be effective until the Closing. Until the Closing, Articles VI, and IX of the Joint Venture Agreement, as amended by
Article 4 of the Second Amendment, shall remain in full force and effect, except that all references to LCI in the Joint Venture Agreement, the First Amendment and the Second Amendment shall be interpreted as references to LCE. 
  

 3 

 ARTICLE IV 
 CAPITAL CONTRIBUTIONS 
  
 Section
4.1. Subsequent Capital Contributions. 
  
 (a) All capital
contributions called for by the Board of Directors subsequent to the payment for the New Shares (as defined in the Stock Purchase and Subscription Agreement) will be made on a pro rata basis based on the percentage of outstanding Shares held by each
Shareholder. 
  
 (b) If at any time any Shareholder shall fail to
subscribe for all or part of the Shares which such Shareholder is required to make under this Agreement on the date so required pursuant to written notice (a “Funding Notice”) provided by the Board of Directors (which date shall not
be sooner than 45 days following the date of such notice), the Shareholder failing to subscribe for such shares shall be deemed to be a “Non-Contributing Shareholder” and the other Shareholder shall be deemed to be
“Contributing Shareholder.” In such event, the Contributing Shareholder may subscribe for such Shares for which the Non-Contributing Shareholder has failed to subscribe with written notice to the Board of Directors. 
  
 (c) All capital contributions made pursuant to this Agreement shall be in
Won. The capital contributions required to be made to the Company pursuant to Section 4.1 shall be made in the form of subscriptions for additional Shares at such subscription price per Share as shall be determined by the Board of Directors and set
forth in the relevant Funding Notice. 
  
 (d) No Shareholder shall
be required to make contributions pursuant to Section 4.1 unless the other Shareholder shall have made or concurrently be making its contribution pursuant to such Section. 
  
 ARTICLE V 
 REPRESENTATIONS AND WARRANTIES 
  
 The representations
and warranties of the parties to this Agreement are set forth in Appendix B. 
  
 ARTICLE VI 
 CORPORATE GOVERNANCE; CERTAIN CORPORATE ACTIONS 
  
 Section 6.1. Voting of Shares. Each Shareholder shall vote all Shares
owned or controlled by it, and shall take all other necessary or desirable actions within its control (including, without limitation, attendance at meetings in person or by proxy for purposes of obtaining a quorum and execution of written consents
in lieu of meetings), to effectuate the provisions of this Agreement. 
  
 Section 6.2. Composition of the Board of Directors. Each Shareholder shall vote all Shares owned or controlled by it and shall take all necessary action within its control, so that the composition of the Board of Directors and the
manner of selecting members thereof shall be as follows: 
  
 (a)
From and after the Closing Date, the Board of Directors shall be comprised of four persons, two of whom shall be designated by LCE and two of whom shall be designated by Mediaplex. All such designations shall be notified in writing to the Company,
which shall notify all of the Shareholders. 
  

 4 

 (b) Each Shareholder shall have the right by notice in writing to the Company to require the Board of
Directors to call a shareholder meeting (i) to remove, with or without cause, any Director designated by such shareholder pursuant to this Section 6.2 and (ii) to designate any replacement for a Director designated by such shareholder pursuant to
this Section 6.2, upon the death, resignation, retirement, disqualification or removal from office of such Director; provided, however, that the Shareholder proposing to remove any Director it has designated shall be responsible for
any claims, actions, losses, expenses or damage arising out of or in relation to such removal and shall indemnify and hold harmless the other Shareholder and the Company from any claim, actions, losses, expenses or damages arising out of or in
relation to such removal. 
  
 (c) At all meetings of the Board of
Directors, a quorum shall consist of not less than three Directors provided that such quorum consists of at least one Director designated by LCE and one Director designated by Mediaplex. Written notice shall be duly given to each Director at least
fifteen (15) business days in advance of each meeting, provided no notice need be given to any Director who signs a written waiver of notice at or in advance of a meeting, or who attends the meeting without protesting any lack of notice. Unless a
higher vote is specifically required by this Agreement, all actions of the Board of Directors shall be determined by the vote of a simple majority (i.e., greater than 50%) of the Directors attending the meeting; provided that such majority
includes at least one Director designated by LCE and one Director designated by Mediaplex. Directors shall be entitled to participate at meetings of the Board of Directors telephonically in the event telephonic participation becomes permissible
under the law of the Republic of Korea. 
  
 (d) Board of Directors
meetings shall be held no less frequently than once per year. Minutes of the Board of Directors meetings shall be taken and a copy of the minutes shall be distributed to each Director in a timely fashion. 
  
 Section 6.3. Representative Director, Chief Operating Officer, Chief
Financial Officer and Statutory Auditor. (a) The Company’s Representative Director shall be elected by the Board of Directors from among the members of the Board of Directors nominated by Mediaplex. The Company shall also have one
Statutory Auditor who shall be nominated by Mediaplex and elected at the General Meeting of Shareholders, one Chief Operating Officer who shall be an individual nominated by Mediaplex and approved by LCE (and who shall be a resident of the Republic
of Korea) and one Chief Financial Officer who shall be nominated by Mediaplex and approved by LCE (and who shall be a resident of the Republic of Korea). The day-to-day affairs of the Company shall be managed by the Chief Operating Officer.

  
 (b) The Representative Director shall represent the Company
and act on all matters of the Company. The Representative Director and the Chief Operating Officer will 

  

 5 

 
report to the Board of Directors. The Chief Operating Officer, subject to the control of the Board of Directors, shall have general charge and control of all
of the Company’s business and affairs and shall perform all duties incident to his office; provided that neither the Representative Director, the Chief Operating Officer nor any other executive of the Company (acting individually or jointly)
shall take or shall be entitled to take, and each Shareholder shall use its best efforts to prevent the Company or any of its Subsidiaries from taking, any of the actions specified in Section 6.4 (a) without the prior approval of the Board of
Directors in accordance with this Agreement. The Representative Director and the Chief Operating Officer shall have such other powers and perform such other duties as may from time to time be assigned to them by the Board of Directors. 

 
 (c) The Representative Director shall delegate all matters concerning the
day-to-day operations of the Company to the Chief Operating Officer and shall authorize the Chief Operating Officer to take, without approval of the Representative Director, any and all actions concerning the Company not otherwise requiring the
approval of the Board of Directors or Shareholders pursuant to Section 6.4. 
  
 Section 6.4. Approval of Certain Matters. (a) The Representative Director and the Chief Operating Officer, acting individually or jointly, shall not and shall not permit the Company or any Subsidiary of the
Company to take or agree to take any of the following actions or engage in any of the following transactions without the prior approval of the Board of Directors in accordance with the provisions of this Agreement: 
  
 (i) expenditure of any Company sum or sums in excess of
$400,000 in the aggregate in any fiscal year that is not included in an Approved Budget for the then current fiscal year, it being understood and agreed that all such expenditures shall be directly related to the construction, renovation,
development or improvement of the Company’s theatres, it being further understood and agreed that expenditures on film rental, to the extent such expenditures are determined by reference to box-office sales, shall not be restricted by this
clause (i); provided, however, that at the end of the three-year period referenced in Section 6.3(a) above, the parties hereto shall review the provisions of this Section 6.4(a)(i) and shall jointly determine whether it would be
appropriate to modify the terms hereof; 
  
 (ii)
sale, transfer or disposal of assets of the Company or any of its Subsidiaries, or purchase or other acquisition of assets or businesses, in each case in any single or series of related transactions, for a consideration in excess of $100,000;

  
 (iii) engagement by the Company or any of its
Subsidiaries in any business other than as prescribed in the Articles of Incorporation; 
  
 (iv) varying the Company’s accounting policies and practices in any material respect, other than to comply with Korean GAAP;

  

 6 

 (v) entering into, amending or waiving the provision of any agreement or transaction with
any Shareholder or any Affiliate of any Shareholder after the Closing Date, except as expressly provided for in this Agreement, and except relating to the exhibition and settlement of motion pictures; 
  
 (vi) establishing any place of business outside the Republic
of Korea; 
  
 (vii) commencing or settling
litigation where the amount involved exceeds $100,000 in the aggregate in any fiscal year or consenting to any injunction; 
  
 (viii) entering into any joint venture, partnership, agreement or similar arrangement requiring capital funding; 
  
 (ix) approving and adopting the annual budget or the
Business Plan or any change thereto; 
  
 (x)
incurring any debt for borrowed money in excess of $100,000 in the aggregate in any fiscal year; or 
  
 (xi) entering into any employment agreement or consulting agreement with any Person involving the payment of any amount in excess of
$100,000 per year or authorizing any Person to enter into any such employment agreement or consulting agreement. 
  
 (b) Neither the Company nor any Subsidiary of the Company shall take any of the following actions without the approval of the Shareholders by a two-thirds
(2/3) vote: 
  
 (i) varying any of the rights
attaching to the Shares; 
  
 (ii) modifying the
Articles of Incorporation; 
  
 (iii) taking any
steps to effect the winding-up, liquidation, dissolution or voluntary bankruptcy of the Company or any of its subsidiaries; 
  
 (iv) the issuance of additional Shares by the Company (except for the issuance of new shares to third parties other than the shareholders
of the Company); provided, however, that the Shareholders shall undertake discussions in good faith as and when requested by a Shareholder concerning capital raising activities, including the possible sale of private or public equity in the Company;

  
 (v) entering into any merger, amalgamation,
consolidation or other business combination to which the Company or any of its subsidiaries is a party; 
  
 (vi) declaring dividend, distribution of liquidation proceeds or purchase of treasury stock; 
  

 7 

 (vii) other actions requiring a special resolution of a General Meeting of Shareholders
pursuant to the Korean Commercial Code; 
  
 (viii) changing the name of the Company; 
  
 (ix) the removal of a Director or the Statutory Auditor; 
  
 (x) the transfer of all or a significant part of the business of the Company; 
  
 (xi) the issuance of shares of the Company at a price less than par value; or 
  
 (xii) reduction of paid-in capital of the Company.

  
 ARTICLE VII 
 TRANSFER AND SALE 
  
 Section 7.1. Transfer Restrictions. Other than to a Permitted Transferee, no Shareholder shall sell, transfer, assign, pledge or otherwise dispose
of (a “Transfer”) all or part of any Shares beneficially owned by it (i) except in compliance with the provisions of this Article VII and the Articles of Incorporation, and (ii) without obtaining a written agreement in form and
substance reasonably satisfactory to the Company executed by the transferee to be bound by the terms of this Agreement, and any Transfer not in compliance with clauses (i) and (ii) and any other provisions of this Article VII shall have no effect
and be null and void. Notwithstanding the foregoing restrictions, either Shareholder may pledge all or part of any Shares beneficially owned by it to a third party for financing purposes, the period of which pledge must expire no later than one (1)
year from the Closing Date; provided, that transfer restrictions set forth in this Article 7 shall apply with the same force and effect to the sale, transfer or disposal of such pledged shares by such third party. 
  
 Section 7.2. Consent. Until May 9, 2005 (the “Transfer Waiver
Date”), no Shareholder shall Transfer any Shares without the prior written consent of the other Shareholders other than to a Permitted Transferee. 
  
 Section 7.3. First Refusal. (a) If, following the Transfer Waiver Date, either LCE (on behalf of itself and its Permitted Transferees) or Mediaplex
(on behalf of itself and its Permitted Transferees) (as appropriate, the “Transferring Shareholder”) desires to Transfer, directly or indirectly, all or any portion of the Shares owned by it (other than to a Permitted Transferee),
the Transferring Shareholder shall provide the other Shareholder (the “Non-Transferring Shareholder”) with a written notice (the “First Refusal Notice”), with a copy to the Company, setting forth: 
  
 (i) the number of Shares to be offered; 
  

 8 

 (ii) the terms and conditions of the proposed Transfer, including the price (the
“Offering Price”) at which the Transferring Shareholder proposes to Transfer such Shares; and 
  
 (iii) the name of the proposed transferee and a statement specifying whether that transferee is a Competitor or not. 
  
 Within 30 Business Days following the delivery of the First Refusal Notice,
the Non-Transferring Shareholder shall, by notice in writing to the Transferring Shareholder (copied to the Company), have the opportunity and right to purchase 100% (but not less than 100%) of the Shares referred to in the First Refusal Notice (on
the terms specified in the First Refusal Notice or on any other terms as are agreed by the parties). If the Non-Transferring Shareholder fails to exercise or waive its right to purchase 100% of the Shares referred to in the First Refusal Notice,
then the Transferring Shareholder shall be free, for a three-month period commencing at the end of such 30-day period to enter into a definitive agreement to Transfer the offered Shares to any third party, on terms (including, without limitation,
all terms affecting price) no more favorable to the proposed purchaser than the terms specified in the First Refusal Notice, it being understood, however, that if the Transferring Shareholder does not complete the Transfer of the Shares within one
month following the end of such three month period, or if the definitive agreement is subsequently terminated, the Transferring Shareholder shall once again be subject to all the provisions of this Section 7.3. 
  
 (b) Each acceptance made hereunder shall constitute a separate, binding
contract obligating the Transferring Shareholder to sell, and the Non-Transferring Shareholder to purchase, the Shares accepted on the terms specified in the relevant notice (or on any other terms as the parties shall have agreed). The parties agree
to negotiate in good faith to consummate the transaction as soon as possible, but in no event later than the date 120 days after the date the First Refusal Notice was given. Notwithstanding any provision of this Agreement to the contrary, in the
event of failure by the Non-Transferring Shareholder to close the transaction within such 120-day time periods referred to above, the Transferring Shareholder shall be entitled, in addition to all other available remedies, to treat that failure as a
waiver under Section 7.3(a) by the Non-Transferring Shareholder of its purchase rights, entitling the Transferring Shareholder to take the action specified in Section 7.3(a) pursuant to that waiver. 
  
 (c) If the Offering Price specified in the First Refusal Notice includes any
property other than cash, the fair market value of any non-cash property shall be determined in the following manner: 
  
 (i) The fair market value of securities which are publicly traded shall be deemed to be the average of the daily closing prices of those
securities for the five consecutive trading days immediately prior to the date of the First Refusal Notice (or the date of the last written proposal made by the Transferring Shareholder); and 
  
 (ii) The fair market value of any other property shall be
determined by the good faith agreement of the Transferring Shareholder and the accepting Non-Transferring Shareholder or, if such parties are unable to agree, by an appropriate expert 

  

 9 

 
mutually selected by such parties. If the parties cannot mutually agree on an expert, each party shall select an expert, and those experts shall select an
independent expert to resolve the dispute. The costs and expenses of the appraisal shall be borne by the Transferring Shareholder. 
  
 Notwithstanding anything to the contrary in this Section 7.3, each Non-Transferring Shareholder may pay the Offering Price in cash, with any non-cash
property valued as provided above. 
  
 Section 7.4. Tag-Along
Rights. 
  
 (a) If, following the Transfer Waiver Date, a
Transferring Shareholder desires to Transfer, directly or indirectly, all or any portion of the Shares beneficially owned by it and its Affiliates, the Transferring Shareholder shall provide the Non-Transferring Shareholder with written notice (the
“Tag Along Notice”) (which may, but need not be, incorporated into the First Refusal Notice required pursuant to Section 7.3) setting forth: 
  

(i) the number of Shares proposed to be Transferred; 
  
 (ii) all terms and conditions of the proposed Transfer including the Offering Price at which the
Transferring Shareholder proposes to Transfer such Shares; 
  
 (iii) the name of the proposed transferee and a statement specifying whether or not that transferee is a Competitor; and 
  
 (iv) that the Transferring Shareholder is offering the Non-Transferring Shareholder the right to participate in such Transfer on
the same terms and conditions as are applicable to the Transferring Shareholder. 
  
 (b) If the proposed transferee is a Competitor of a Non-Transferring Shareholder then, within 10 Business Days following delivery of the Tag Along Notice, such Non-Transferring Shareholder may, by notice in writing to
the Transferring Shareholder, require the Transferring Shareholder to request the proposed transferee to purchase all of the Shares held by the Non-Transferring Shareholder and its Affiliates on the terms specified in the Tag Along Notice. If the
Transferring Shareholder declines to make such request or the proposed transferee rejects the request, the Transferring Shareholder shall not be entitled to sell the Shares which are the subject of the Tag Along Notice to that proposed transferee. .

  
 (c) If the proposed transferee is not a Competitor of any
Non-Transferring Shareholder, then, within 10 Business Days following the delivery of the Tag Along Notice, such Non-Transferring Shareholder shall, by notice in writing to the Transferring Shareholder, have the opportunity to sell to the
prospective purchaser (upon the same terms and conditions as the Transferring Shareholder) up to that number of Shares owned by such Non-Transferring Shareholder as shall equal the product of (x) a fraction, the numerator of which is the number of
Shares owned by such Non-Transferring Shareholder as of the date of such Tag Along Notice, and the denominator of which is the aggregate number of Shares owned as of the date of such Tag Along Notice by the Transferring Shareholder and the
Non-Transferring Shareholder, and (y) 

  

 10 

 
the number of Shares proposed to be sold. The amount of Shares to be sold by the Transferring Shareholder shall be reduced if and to the extent necessary to
provide for such sale of Shares by the Non-Transferring Shareholder. 
  
 (d) If the Non-Transferring Shareholder does not elect to require the Transferring Shareholder to effectuate the sale specified in Section 7.4(b) or does not elect to participate in a sale specified in Section 7.4 (c) within the 10 Business
Day periods referred to in those Sections, the Transferring Shareholder shall be entitled to consummate such sale within 100 days following delivery of the Tag Along Notice without the participation of the Non-Transferring Shareholder. 

 
 ARTICLE VIII 
 COVENANTS OF THE PARTIES 
  
 Section 8.1. Access. The Company shall provide LCE and Mediaplex with such information as either LCE or Mediaplex may from time to time reasonably request with respect to the Company, and the transactions
contemplated by this Agreement and provide LCE, Mediaplex and their representatives reasonable access during regular business hours and upon reasonable notice to the properties, books and records of the Company as LCE or Mediaplex may from time to
time reasonably request. 
  
 ARTICLE IX 
 CERTAIN AGREEMENTS 
  
 Section 9.1. Non-Competition. (a) As long as LCE or any of its Permitted Transferees directly or indirectly owns any Shares, and until the fifth
anniversary of the date that LCE and its Permitted Transferees cease to own any Shares, neither LCE nor its Affiliates shall directly or indirectly have any equity or other ownership or participation interest in (other than passive investments of no
more than 5% of the equity of a company whose equity securities are publicly traded) any motion picture exhibition business (which business includes the concessions business associated with exhibition of motion pictures) in the Republic of Korea
other than the Company or in such other territories in Asia in which the Company is then authorized to operate in accordance with the Articles of Incorporation. 
  

(b) Subject to and except as permitted by Sections 9.1(c), as long as Mediaplex or any of its Permitted Transferees directly or indirectly own any
Shares, and until the fifth anniversary of the date that Mediaplex and its Permitted Transferees cease to own any Shares, neither Mediaplex nor its Affiliates shall directly or indirectly have any equity or other ownership or participation interest
(other than passive investments of no more than 5% of the equity of a company whose equity securities are publicly traded) in any motion picture exhibition business (which business includes the concessions business associated with exhibition of
motion pictures) in the Republic of Korea other than the Company or in such other territories in Asia in which the Company is then authorized to operate in accordance with the Articles of Incorporation. 
  

 11 

 (c) Notwithstanding Section 9.1(b), Mediaplex shall be entitled to retain a one hundred percent (100%)
interest in the Cinehouse Theatre. 
  
 (d) If either LCE or
Mediaplex wishes to participate in or undertake any business venture which would otherwise be prohibited by Section 9.1(a) or 9.1(b) (a “New Venture”), the party proposing such New Venture (the “Proposing
Party”) shall first offer it to the Company by providing written notice (a “Notice of New Venture”) to the Company containing a detailed description of the nature, structure and terms of such New Venture as well as a copy
of any proposed agreements relating thereto. The Company shall have thirty (30) days to determine whether it wishes to pursue the New Venture, it being agreed that such determination shall be made by the Directors representing the non-Proposing
Party. In the event that the Company determines not to participate in such New Venture, then the Proposing Party (and/or its Affiliates) shall have the right to enter into the New Venture as described in the Notice of New Venture independently or
with such third Persons as it selects; provided that the terms related to such New Venture shall be no more favorable than the terms offered to the Company. Notwithstanding the foregoing sentence, to the extent that there is a material change in the
details of the New Venture as described in the Notice of New Venture, a Proposing Party will not have the right to directly or indirectly, participate in or undertake the New Venture without giving an additional Notice of New Venture to the Company
pursuant to this Section 9.1(d). 
  
 (e) Notwithstanding anything
to the contrary herein, within the time prescribed in Sections 9.1(a) and (b), neither LCE (or its Affiliates) nor Mediaplex (or its Affiliates) may participate in or undertake any New Venture regardless of whether a first offer has been made to the
Company pursuant to Section 9.1(d), if such New Venture has or is to have any place of business within a ten kilometer radius from one of the Company’s places of business (six kilometers if within metropolitan Seoul) or if such New Venture is
conducted by any Competitor or Affiliate thereof. 
  
 Section 9.2.
Access to Company. Upon ten Business Days’ notice, each Shareholder and its representatives shall be permitted to inspect the books and records of the Company for any proper purpose and make copies thereof at any reasonable time during
normal business hours, it being acknowledged that any information provided under this Section 9.2 shall be subject to the provisions of Section 13.4. 
  
 Section 9.3. Financial Reporting Obligations. The Shareholders shall cause the Company to deliver to each of the Shareholders (and shall allow the
Company to hire adequate personnel for such tasks) (i) as soon as available, but in any event not later than 60 days after the end of each fiscal year of the Company, a copy of the consolidated balance sheet of the Company as at the end of such year
and the related unaudited consolidated statements of net income and retained earnings and of cash flows of the Company for such year setting forth in each case in comparative form the figures for the previous year, (ii) as soon as available, but in
any event not later than 90 days after the end of the fiscal year of the Company, its financial statements referred to in clause (i), reported on by independent certified public accountants of internationally recognized standing, (iii) as soon as
available, but in any event not later than 30 days after the end of each of the first three quarterly periods of each fiscal year of the Company, the unaudited consolidated balance sheet of the Company as at the end of such quarter and the 

  

 12 

 
related unaudited consolidated statements of net income and retained earnings and of cash flows of the Company for such quarter and the portion of the fiscal
year through the end of such quarter, setting forth in each case in comparative form the figures for the previous year, certified by the Chief Financial Officer or equivalent director or employee of the Company as being fairly stated in all material
respects (subject to normal year-end audit adjustments) and (iv) as soon as available, but in any event not later than 30 days after the end of each month of each fiscal year of the Company, the unaudited consolidated balance sheet of the Company as
at the end of such month and the related unaudited consolidated statements of net income and retained earnings and of cash flows of the Company for such month certified by the Chief Financial Officer or equivalent director or employee of the Company
as being fairly stated in all material respects (subject to normal year-end audit adjustments). All such financial statements shall be prepared in reasonable detail and in accordance with Korean GAAP applied consistently throughout the periods
reflected therein and with prior periods (except as any inconsistent application of Korean GAAP is approved by such accountants or officer, as the case may be, and disclosed therein). The Company shall also prepare such financial statements in
accordance with U.S. GAAP and shall prepare all information required under this Section 9.3 in English if so requested by LCE. The Company’s independent certified public accountants shall be a Korean affiliate of PriceWaterhouseCoopers unless
otherwise decided by the Board of Directors. 
  
 Section 9.4
Related Party Transactions. In the event the Company elects to enter into one or more business transactions with a third party in which Mediaplex or LCE has a direct or indirect ownership or beneficial interest greater than five percent (5%)
(each a “Related Party”), all such transactions shall be conducted on an arm’s length basis, without consideration of the Related Party’s status or the beneficial interest of either Mediaplex or LCE, as the case may be. All
contracts, agreements or other business arrangements between Mediaplex’s or LCE’s production or distribution Affiliates, on the one hand, and the Company, on the other hand, shall be on terms no less favorable to the Company than those
offered to similarly situated non-related exhibition companies. 
  
 Section 9.5 Excess Cash Distributions. Notwithstanding anything to the contrary herein, if, at the end of each fiscal year, Excess Cash (as hereinafter defined) is positive, the Company shall distribute such Excess Cash to the
Shareholders in proportion to their respective ownership interest in the Company no later than 60 days after completion and submission of the audited financial statements for the relevant fiscal year; provided, however, that the automatic
distribution of Excess Cash provided for hereunder may be waived by the unanimous consent of the Shareholders. For purposes of this Agreement, “Excess Cash” means, for the applicable fiscal year, an amount equal to (i) the amount for such
fiscal year of EBITDA minus (ii) the sum, without duplication, of the amounts for such period of (a) voluntary and scheduled repayments of debt actually made, (b) capital expenditures (net of any proceeds of any related financings with respect to
such expenditures), (c) interest expenses to the extent paid in cash, (d) authorized investments and acquisitions to the extent made in cash (net of any proceeds of any related financings with respect to such authorized investments and
acquisitions), (e) provisions for Taxes to the extent paid in cash with respect to such fiscal year, (f) any management fees or dividends paid in cash and (g) $3 million (the threshold level which must be achieved after deducting (a) through (f)
before cash distributions are payable). 
  

 13 

 Section 9.6 Sale of Shares by Means of Public Offering. At any time during the three year period
commencing on the Closing Date of the Stock Purchase and Subscription Agreement, Mediaplex and LCE shall, at either party’s request, meet to explore in good faith the timeliness of a sale of the Company’s stock by means of a public
offering taking into account, among other things, current market conditions, the needs of the Company, the needs of the Shareholders and the applicable competitive environment. In the event the Company has not completed a sale of the Company’s
stock by means of public offering during such three-year period, a meeting shall be convened by the Representative Director no later than 60 days after the expiration of such period in order to establish a mutually acceptable deadline by which date
the Company shall have conducted a sale of shares of the Company’s stock by means of a public offering. 
  
 ARTICLE X 
 CONDITIONS TO CLOSING 
  
 [Deleted in its entirety] 
  
 ARTICLE XI 
 INDEMNIFICATION 
  
 Section 11.1. Survival. The representations and warranties made in this Agreement shall survive the Closing and remain in full force and effect for a period of eighteen (18) months after the Closing Date. 
  
 Section 11.2. Losses. For purposes of this Agreement, the terms
“Loss” or “Losses” shall mean each and all of the following items to the extent actually incurred: claims, losses, liabilities, damages, judgments, awards, costs and expenses (including, without limitation,
reasonable fees and disbursements of counsel). Losses shall exclude all consequential damages. 
  
 Section 11.3. Indemnification by Mediaplex. (a) Mediaplex shall indemnify and hold harmless LCE, the Company and their respective Affiliates from and against any and all Losses based upon, arising out of, or
resulting from, any of the following: 
  
 (i) any
breach by Mediaplex of any of the representations or warranties made by Mediaplex in this Agreement; and 
  
 (ii) any failure by Mediaplex to perform any of its covenants or agreements contained in this Agreement. 
  
 (b) Notwithstanding anything to the contrary contained herein, Mediaplex

  
 (i) shall not be obligated to pay any amount
for indemnification under this Section 11.3 until the aggregate amount of indemnification required to be made under this Section 11.3 exceeds $50,000 (the “Basket Amount”), whereupon Mediaplex shall be obligated to pay all amounts
for such indemnification in excess of the Basket Amount; and 
  

 14 

 (ii) shall not be obligated to make any payments for indemnification under this Section
11.3 which exceed LCE’s total investment in the Company. 
  
 Section 11.4. Indemnification by LCE. (a) LCE shall indemnify and hold harmless Mediaplex, the Company and its Affiliates from and against any and all Losses based upon or resulting from any of the following: 
  
 (i) any breach by LCE of any of the representations or
warranties made by LCE in this Agreement; or 
  
 (ii) any failure by LCE to perform any of its covenants or agreements contained in this Agreement. 
  
 (b) Notwithstanding anything to the contrary contained herein, LCE 
  
 (i) shall not be obligated to pay any amount for indemnification under this Section 11.4 until the aggregate
amount of indemnification required to be made under this Section 11.4 exceeds the Basket Amount, whereupon LCE shall be obligated to pay all amounts for such indemnification in excess of the Basket Amount; and 
  
 (ii) shall not be obligated to make any payments for
indemnification under this Section 11.4 which exceed Mediaplex’s total investment in the Company. 
  
 Section 11.5. Indemnification by the Company. (a) The Shareholders shall cause the Company to indemnify and hold harmless each Shareholder and each
Director, each Affiliate of each Shareholder, each of the foregoing’s respective directors, officers, employees and agents and each of the heirs, executors, successors and assigns of any of the foregoing, from and against any and all Losses
based upon or resulting from, (i) any Liability of the Company or (ii) any act or omission performed or omitted to be performed by such Person in its or his capacity as a Shareholder, Director or an Affiliate of a Shareholder or as a director,
officer, employee, agent, successor or assign of such Shareholder, Director or Affiliate) except for acts or omissions constituting gross negligence, bad faith, fraud or willful misconduct, or breach of this Agreement, provided that no Person
shall have any obligation or liability under this Section 11.5 with respect to any Losses for which such Person is indemnified or is entitled to indemnification pursuant to Section 11.3 or 11.4. 
  
 (b) Except as expressly provided in this Article XI, no Shareholder will have
any obligation or Liability to any other Shareholder arising out of or relating to any Liability of the Company. 
  
 Section 11.6. Claims. (a) When a party seeking indemnification under Section 11.3,11.4 or 11.5(a) (the “Indemnified Party”)
receives notice of any claims made by third parties (“Third Party Claims”) or has any other claim for indemnification other than a Third Party Claim, which is to be the basis for a claim for indemnification hereunder, the
Indemnified Party shall give prompt written notice thereof to the other party or parties (the “Indemnifying Party”) reasonably indicating (to the extent known) the nature of such claims and the basis thereof; provided, however, that failure of the Indemnified Party to give the Indemnifying Party 

  

 15 

 
prompt notice as provided herein shall not relieve the Indemnifying Party of any of its obligations hereunder unless and only to the extent that the
Indemnifying Party shall have been materially prejudiced thereby. The Indemnified Party shall have the right to either (i) assume the defense of any Third Party Claim or (ii) request that the Indemnifying Party assume the defense of such Third Party
Claim. No compromise or settlement in respect of any Third Party Claims may be effected by the Indemnifying Party without the Indemnified Party’s prior written consent (which consent shall not be unreasonably withheld or delayed). Regardless of
whether the Indemnified Party assumes the defense of a Third Party Claim or requests the Indemnifying Party to assume such defense, the Indemnifying Party shall pay all costs and expenses thereof, including without limitation fees and expenses of
legal counsel. 
  
 Section 11.7. Contribution. 

 
 Except as otherwise provided in Section 11.3 or 11.4, as the case may be,
in the event that any Shareholder shall pay in good faith or become obligated to pay any proper obligation of the Company, such Shareholder shall be entitled to contribution from the other Shareholder(s) to the extent necessary so that, after giving
effect to such contribution, each Shareholder shall bear no more than that part of such obligation which corresponds to its total share subscription capital contributions at the time of the occurrence, circumstances, events or conditions giving rise
to such obligation. 
  
 ARTICLE XII 
 TERMINATION AND LIQUIDATION 
  
 Section 12.1. General. 
  
 This Agreement shall terminate thirty (30) days after issuance of a termination notice (hereinafter a “Termination Notice”) in accordance
with Sections 12.2 and 12.3, provided that such Termination Notice has not been revoked by the Shareholder that issued it prior to the expiration of such thirty (30) day period. If the Termination Notice has not been revoked within such thirty (30)
days, it shall become effective as of the expiration of such period. Issuance of a Termination Notice pursuant to Section 12.2 or 12.3 shall operate without prejudice to the issuing Shareholder’s rights with respect to a claim, if applicable
for damages. 
  
 Section 12.2 Termination by LCE.

  
 LCE shall be entitled to terminate this Agreement pursuant to
Section 12.1 by issuing a Termination Notice to Mediaplex following the occurrence of any of the following events: 
  
 (i) the breach by Mediaplex of any term of this Agreement if not cured by Mediaplex within sixty (60) days after receipt by Mediaplex of
written notice of such breach from LCE, which notice shall set forth in reasonable details the facts forming the basis of the breach; or 
  

 16 

 (ii) any Governmental Entity issues a notice terminating or ordering the liquidation of
the Company; or 
  
 (iii) Mediaplex or its assets
become the subject of bankruptcy, insolvency, receivership, liquidation or similar proceedings with respect to the rights of creditors, which proceedings are not dismissed or otherwise terminated within sixty (60) days after their commencement.

  
 Section 12.3. Termination by Mediaplex. 
  
 Mediaplex shall be entitled to terminate this Agreement pursuant to Section
12.1 by issuing a Termination Notice to LCE following the occurrence of any of the following events: 
  
 (i) the breach by LCE of any term of this Agreement if not cured by LCE within sixty (60) days after receipt by LCE of written notice of
such breach from Mediaplex, which notice shall set forth in reasonable details the facts forming the basis of the breach; or 
  
 (ii) any Governmental Entity issues a notice terminating or ordering the liquidation of the Company; or 
  
 (iii) LCE or its assets become the subject of bankruptcy,
insolvency, receivership, liquidation or similar proceedings with respect to the rights of creditors, which proceedings are not dismissed or otherwise terminated within sixty (60) days after their commencement. 
  
 Section 12.4. Termination by Mutual Agreement. 
  
 This Agreement may also be terminated by the unanimous agreement of the
Shareholders. 
  
 Section 12.5. Remedies upon Termination.

  
 Upon termination of this Agreement pursuant to this Article
XII, the Company shall be liquidated. The Board of Directors shall appoint a liquidation commission (hereinafter the “Liquidation Commission”) and shall determine their powers, remuneration and procedures of liquidation. The
Liquidation Commission shall consist of three (3) members, one to be appointed by Mediaplex, one to be appointed by LCE and one to act as an umpire. If the Board of Directors fails to appoint the two Shareholder representatives to the Liquidation
Commission or the umpire within thirty (30) days after the delivery of a Termination Notice, then the Shareholder representatives to the Liquidation Commission and/or the umpire shall be appointed by the Chairman of the Singapore Arbitration Centre
(hereinafter “SIAC”) at the request of either Shareholder. The two Shareholder representatives to the Liquidation Commission and the 

  

 17 

 
umpire shall act jointly but not separately. In the event the Board of Directors is unable to approve the proposals of the Liquidation Commission concerning
liquidation, then the decision of the umpire shall be binding upon the Liquidation Commission, the Shareholders, the Board of Directors and the Company. 
  
 The proceeds of the liquidation after satisfaction of the debts of the Company (including, but not limited to, debts owed to the Shareholders) and any
expenses, including remuneration of the members of the Liquidation Commission and the umpire, shall be distributed between the Shareholders in proportion to the amount of capital contributions actually contributed to the Company and shall be
allocated first to the refund to the Shareholders of the value of their capital contributions. After liquidation, the Liquidation Commission shall prepare and submit to the Board of Directors a report detailing the liquidation of the Company for
approval. After approval, the Board of Directors shall submit such report to the appropriate Governmental Entities and shall ensure that the liquidation of the Company is registered. 
  
 ARTICLE XIII 
 GENERAL 
  
 Section 13.1. Arbitration. In the
event a dispute occurs with respect to any matter in connection with this Agreement, Mediaplex and LCE will promptly attempt to settle such dispute through consultation and negotiation in good faith and in a spirit of mutual cooperation. If
agreement is reached concerning the resolution of such dispute, then such agreement shall be final, conclusive and binding on Mediaplex and LCE. If, on or before the twentieth day after written notice of such dispute is given by one party to the
other, such dispute has not been resolved by the agreement of Mediaplex and LCE, the dispute shall be resolved by submission of such dispute for settlement to SIAC in accordance with UNCITRAL Arbitration Rules as in force and effect on the date of
this Agreement. The language of the arbitration proceedings shall be English. There shall be three (3) arbitrators, one of whom shall be appointed by LCE, one of whom shall be appointed by Mediaplex and one of whom shall be appointed by the Chairman
of SIAC and who shall serve as chairman of the panel. The arbitrators shall be instructed to apply the laws of the Republic of Korea. The arbitrator’s decision and award with respect to the dispute referred to shall be final and binding on
Mediaplex and LCE and may be entered in any court with jurisdiction. The cost of the arbitration proceeding and any proceeding in court to confirm or to vacate any arbitration award, as applicable (including, without limitation, attorneys’ fees
and costs), shall be borne by the unsuccessful party to the dispute and shall be awarded as part of the arbitrator’s award; provided, however, that (i) each of LCE and Mediaplex shall bear its own attorneys’ fees and costs in
connection with the arbitration proceedings and (ii) if the arbitrator does not find one of LCE or Mediaplex to be unsuccessful then the cost of the arbitral proceedings shall be paid equally by LCE and Mediaplex. 
  

 18 

 Section 13.2. Notices. Any notice required to be given hereunder shall be sufficient if in
writing, and (i) sent by facsimile transmission or by courier service (with proof of service) for international delivery or (ii) hand delivery or certified or registered mail (return receipt requested and first-class postage prepaid) for domestic
delivery, addressed as follows: 
  
 If to the Company: 

 
 Megabox Cineplex, Inc. 
 7F, Cinehouse B/D 
 91-6 Nonhyun-dong

 Kangnam-ku 
 Seoul, Republic of
Korea 
 Attention: Representative Director 
 Facsimilie: 82 2 3218 5600 
  
 With copies to: 
  
 Woo Taek Kim 
 Mediaplex, Inc. 
 7F, Cinehouse B/D

 91-6 Nonhyun-dong 
 Kangnam-ku

 Seoul, Republic of Korea 
 Facsimile: 82 2 3218 5600 
  
 And

  
 Kim & Chang 
 Seyang Building 
 223 Naeja-dong 

Seoul, 110-720, Republic of Korea 
 Attention: Dong Shik Choi 
 Facsimile: 82 2 737 9091 
  
 If to Mediaplex: 
  
 Mediaplex, Inc. 
 7F, Cinehouse B/D

 91-6 Nonhyun-dong 
 Kangnam-ku

 Seoul, Republic of Korea 
 Attention: Woo Taek Kim 
  
 If to LCE or LCI: 

 
 Loews Cineplex Entertainment 
 Corporation 
 711 Fifth Avenue, 
 New York, N.Y. 10022 
 Attention: John C.
McBride, Jr. 
 General Counsel 
 Facsimile: 212 833 8379 
  
 With copies to: 

 
 John J. Walker 
 Senior Vice President and Chief 
 Financial
Officer 
 Loews Cineplex Entertainment 
 Corporation 
 711 Fifth Avenue 
 New York, New York 10022 
 Facsimile: 212 833 6270 
  
 Travis Reid 
 President and CEO 
 Loews Cineplex Entertainment 
 Corporation 
 711 Fifth Avenue 
 New York, New York 10022 
 Facsimile: 212 833 6375 
  
 And 
  
 DW Partners 
 KMD Bldg. 7th Floor

 652-16, Shinsa-dong, Kangnam-ku 
 Seoul, 135-897, Republic of Korea 
 Attention: Chunghwan Choi 
 Facsimile: 82 2 512 6060 
 Facsimilie: 82 2
3218 5600 
  

 19 

 With a copy to: 
  

Kim & Chang 
 Seyang Building

 223 Naeja-dong 
 Seoul,
110-720, Republic of Korea 
 Attention: Dong Shik Choi 
 Facsimile: 82 2 737 9091 
  
 or to such other
address as any party or other addressee shall specify by written notice so given, and such notice shall be deemed to have been delivered as of the date so telecommunicated, personally delivered or received if by courier. 
  
 Section 13.3. Assignment; Binding Effect; Benefit. Except as expressly
contemplated herein, neither this Agreement nor any of the rights, interests or obligations hereunder shall be assigned by any of the parties hereto (whether by operation of law or otherwise) without the prior written consent of the other parties,
except any rights, interests or obligations relating to Shares transferred to a Permitted Transferee, provided that no such assignment will relieve the assigning party of any of its obligations hereunder, and provided further
that the foregoing restriction shall not apply to any assignment to any successor Person in connection with any merger or consolidation or sale of all or substantially all of a party’s assets. Subject to the preceding sentence, this Agreement
shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. Notwithstanding anything contained in this Agreement to the contrary, nothing in this Agreement, express or implied, is intended
to confer on any Person other than the parties hereto or their respective successors and assigns any rights, remedies, obligations or liabilities under or by reason of this Agreement. 
  
 Section 13.4. Confidentiality. Each Shareholder agrees that it shall keep all information regarding the business,
affairs and plans of the Company strictly confidential and shall maintain and protect all information regarding the business, affairs and plans of the Company in no less careful a manner than it maintains and protects its own confidential business
information; provided, however, that such information may be disclosed by a Shareholder if, in the reasonable opinion of counsel to such Shareholder, and after prior consultation with the other Shareholders and their counsel (but not
their consent), such disclosure is required by law or applicable rules of any securities exchange; provided further, that the provisions of this Section 13.4 shall not apply to information which (i) becomes generally available to the
public other than as a result of a disclosure by such Shareholder or holder or its representatives, (ii) was available to such Shareholder on a non-confidential basis prior to its disclosure to such Shareholder by any other Shareholder or its
representatives, or (iii) becomes available to such Shareholder on a non-confidential basis from a source other than any other Shareholder or its representatives. 
  

 20 

 Section 13.5. Entire Agreement. This Agreement has been prepared and executed in the English
language, shall be binding on the parties hereto and shall prevail over any translations thereof. Except as otherwise provided herein, this Agreement, the exhibits, appendices and schedules hereto and any certificate delivered by the parties in
connection herewith shall constitute the entire agreement between the parties with respect to the subject matter hereof and shall supersede all prior agreements and understandings (oral and written) among the parties with respect thereto.

  
 Section 13.6. Amendment. This Agreement may not be
amended or modified except by an instrument in writing signed by or on behalf of each of the parties hereto. 
  
 Section 13.7. Counterparts. This Agreement may be executed by the parties hereto in separate counterparts, each of which when so executed and
delivered shall be an original, but all such counterparts shall together constitute one and the same instrument. Each counterpart may consist of a number of copies of this Agreement, each of which may be signed by less than all of the parties
hereto, but together all such copies are signed by all of the parties hereto. 
  
 Section 13.8. Headings. Headings of the Articles and Sections of this Agreement are for the convenience of the parties only, and shall be given no substantive or interpretive effect whatsoever. 
  
 Section 13.9. Interpretation. In this Agreement, unless the context
otherwise requires, words describing the singular number shall include the plural, and vice versa, “including” shall mean “including, without limitation,” words denoting any gender shall include all genders, and references to a
Person shall include such Person’s successors and permitted assigns. In this Agreement, unless defined herein, all accounting terms shall have the meaning given to them under Korean GAAP. 
  
 Section 13.10. Incorporation of Exhibits and Schedules. All exhibits,
appendices and schedules hereto are hereby incorporated herein and made a part hereof for all purposes as if fully set forth herein. 
  
 Section 13.11. Severability. Any term or provision of this Agreement which is invalid or unenforceable in any jurisdiction shall, as to that
jurisdiction, be ineffective to the extent of such invalidity or unenforceability without rendering invalid or unenforceable the remaining terms and provisions of this Agreement or otherwise affecting the validity or enforceability of any of the
terms or provisions of this Agreement in any other jurisdiction. If any provision of this Agreement is so broad as to be unenforceable, the provision shall be interpreted to be only so broad as is enforceable. 
  

 21 

 Section 13.12. Enforcement of Agreement. The parties hereto agree that irreparable damage would
occur in the event that any of the provisions of Article VI, Article VII or Section 9.1 of this Agreement was not performed in accordance with its specific terms or was otherwise breached. It is accordingly agreed that the parties shall be entitled
to an injunction or injunctions to prevent breaches of Article VI, Article VII or Section 9.1 of this Agreement and to enforce specifically the terms and provisions of Articles VI, Article VII or Section 9.1 of this Agreement in any court of
competent jurisdiction, this being in addition to any other remedy to which they may be entitled at law or in equity. 
  

 22 

 IN WITNESS WHEREOF, the parties have executed this Agreement and caused the same to be duly delivered on
their behalf as of the day and year first written above. 
  

					
	LOEWS CINEPLEX INTERNATIONAL HOLDINGS, INC.
			
	 By:
	 	 	 	/s/    JOHN C. MCBRIDE,
JR.        
	 	 	 Name:
	 	John C. McBride, Jr.
	 	 	 Title:
	 	Senior Vice President & General Counsel
	
	LOEWS CINEPLEX ENTERTAINMENT CORPORATION
			
	By:	 	 	 	/s/    Illegible        
	 	 	 Name:
	 	 
	 	 	 Title:
	 	 
	
	MEDIAPLEX, INC.
			
	By:	 	 	 	/s/    TAM, CHUL
KON        
	 	 	 Name:
	 	Tam, Chul Kon
	 	 	 Title:
	 	President
	
	MEGABOX CINEPLEX, INC.
			
	 By:
	 	 	 	/s/    TAM, CHUL
KON        
	 	 	 Name:
	 	Tam, Chul Kon
	 	 	 Title:
	 	Representative Director

  

 23 

 Appendix A 
  

Definitions 
  
 “$”: means United States dollar, the lawful currency of the United States of America. 
  
 “Affiliate”: means with respect to a specified Person, any
Person that, directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with, the specified Person. As used in this definition, the term “control” means the possession, directly or
indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through ownership of voting securities, as trustee or executor, by contract or otherwise. If a Person is a natural person, the term
Affiliate also includes the wife, parents, children, siblings, nieces, nephews and grandchildren of such natural person, any trusts established for their benefit and any legal entities in which they are partners or of which they own (legally or
beneficially), directly or indirectly, more than 50% of such entity’s voting securities. 
  
 “Agreement”: as defined in the preamble to this Agreement. 
  
 “Approved Budget”: for any fiscal year means the annual budget of the Company for such fiscal year as approved by the Shareholders
pursuant to this Agreement. 
  
 “Articles of
Incorporation”: as defined in Section 2.1. 
  
 “Basket Amount”: as defined in Section 11.3(b)(i). 
  
 “Board of Directors”: means the board of directors of the Company duly elected in accordance with the Company’s Articles of Incorporation. 
  
 “Business Day”: means a day on which banks are open for
business in Korea. 
  
 “Business Plan”: means the
business plan of the Company as approved and adopted by the Board of Directors from time to time. 
  
 “Cinehouse Theatre”: means the four-screen multiplex Cinehouse Theatre located at Cinehouse B/D, 91-6 Nonhyun-dong, Kangnam-ku, Seoul,
Republic of Korea, and currently owned and operated by Mediaplex. 
  
 “Closing”: as defined in the Stock Purchase and Subscription Agreement. 
  
 “Closing Date”: as defined in the Stock Purchase and Subscription Agreement  
  
 “Company”: as defined in the preamble to this Agreement.

  
 “Competitor”: means any person which engages
in the business of distributing or exhibiting motion pictures in the Republic of Korea or the United States of America. 
  
 “Daewoo”: as defined in the preamble to this Agreement. 
  

 A-1 

 “Debt”: means indebtedness for borrowed money (including pursuant to capital leases) of
the Company outstanding as of the time of measurement. 
  
 “Director”: means a member of the Board of Directors. 
  
 “Excess Cash”: as defined in Section 9.5. 
  
 “First Amendment”: as defined in the preamble to this Agreement. 
  
 “First Refusal Notice”: as defined in Section 7.3(a). 
  
 “Funding Notice”: as defined in Section 4.2(b). 
  
 “GAAP”: means generally accepted accounting principles.

  
 “Governmental Entity”: means any central,
provincial, local or foreign government or any court of competent jurisdiction, administrative agency or commission or other governmental authority or instrumentality, domestic or foreign. 
  
 “Heads of Agreement”: as defined in the preamble to this
Agreement. 
  
 “Indemnified Party”: as defined in
Section 11.6. 
  
 “Indemnifying Party”: as
defined in Section 11.6.  
  
 “JVA”: as
defined in the preamble to this Agreement. 
  
 “Joint
Venture Agreement”: as defined in the preamble to this Agreement. 
  
 “KITA”: as defined in the preamble to this Agreement. 
  
 “Korean GAAP”: means generally accepted accounting principles of the Republic of Korea. 
  
 “Laws”: means applicable laws (including statutes and
judicial and administrative decisions, orders and decrees), rules and regulations. 
  
 “LCE”: as defined in the preamble to this Agreement. 
  
 “LCI”: as defined in the preamble to this Agreement. 
  
 “Liabilities”: means, as to any Person, all debts, liabilities and obligations, direct, indirect, absolute
or contingent of such Person, whether accrued, vested or otherwise, whether known or unknown and whether or not actually reflected, or required by Korean GAAP to be reflected, in such Person’s balance sheets or other books and records,
including, for the avoidance of doubt, accrued interest. 
  
 “Liquidation Commission”: as defined in Section 12.5. 
  

 A-2 

 “Losses”: as defined, in Section 11.2.  
  
 “Mediaplex”: as defined in the preamble to this Agreement.

  
 “New Venture”: as defined in Section 9.1(d).
 
  
 “Non-Transferring Shareholder”: as
defined in Section 7.3(a).  
  
 “Notice of New
Venture”: as defined in Section 9.1(d).  
  
 “Offering Price”: as defined in Section 7.3(a). 
  
 “Permitted Transferee”: means, with respect to a Shareholder, any direct or indirect Subsidiary of such Shareholder, provided that such transferee (i) must continue to be a Subsidiary of LCE or
Mediaplex, as the case may be, as long as such transferee holds any Shares, and if at any time after such Transfer the transferee ceases to be a Subsidiary of LCE or Mediaplex, as the case may be, the transferee must immediately Transfer any Shares
it holds back to the transferring Shareholder from whom it received its Shares and (ii) has agreed in writing to be bound by the terms of this Agreement. For the avoidance of any doubt, any direct or indirect Subsidiary of the third party pledgee
referred to in Article 7.1 hereof shall not be interpreted as a Permitted Transferee. 
  
 “Person”: means any natural person, corporation, company, partnership, firm, association, trust, government, governmental agency or other entity, whether acting in an individual, fiduciary or other
capacity. 
  
 “Proposing Party”: as defined in
Section 9.1(c). 
  
 “Related Party”: as defined
in Section 9.4. 
  
 “Second Amendment”: as
defined in the preamble to this Agreement. 
  
 “Share” or “Shares”: means the shares of the Company’s common stock.  
  
 “Shareholder”: means either Mediaplex or LCE. 
  
 “SIAC”: as defined in Section 12.5. 
  
 “Subsidiary”: of any Person shall mean any corporation or other legal entity of which such Person (either alone or through or together
with its Subsidiaries) owns, directly or indirectly, 50% or more of the stock or other equity interests, the holders of which are generally entitled to vote for the election of the board of directors or other governing body of such corporation or
other legal entity. 
  
 “Stock Purchase and Subscription
Agreement”: as defined in the preamble to this Agreement. 
  
 “Tag Along Notice”: As defined in Section 7.4. 
  

 A-3 

 “Tax” or “Taxes”: means taxes of any kind, levies or other like
assessments, duties, imposts, charges or fees, including any interest, penalties or additions to tax attributable to any such Tax or requirement to report information with respect thereto, and any damages, costs, fees or other liability arising from
such Tax or reporting requirement. 
  
 “Termination
Notice”: as defined in Section 12.1. 
  
 “Third
Party Claims”: as defined in Section 11.6. 
  
 “Transfer”: as defined in Section 7.1. 
  
 “Transfer Waiver Date”: as defined in Section 7.2. 
  
 “Transferring Shareholder”: as defined in Section 7.3(a). 
  
 “UEC Multiplex”: as defined in the preamble to this Agreement. 
  
 “US GAAP”: means generally accepted accounting principles of the United States of America. 
  
 “Won”: means the lawful currency of the Republic of Korea.

  

 A-4 

 Appendix B 
  

Representations and Warranties 
  

	A.	Mediaplex hereby represents and warrants to LCE as follows: 

  
 1. Organization. Mediaplex is a corporation duly organized and validly existing under the laws of its jurisdiction of incorporation and has all
requisite power and authority to enable it to own, lease or otherwise hold its properties and assets and to carry on its business as it is now being conducted. 
  

2. Authority. Mediaplex has full corporate power and authority to execute and deliver this Agreement and any ancillary agreement to which it is
a party, and to perform its obligations hereunder and thereunder. The execution and delivery by Mediaplex of this Agreement and any ancillary agreements to which it is party have been duly authorized by all necessary action (corporate or otherwise)
of Mediaplex. This Agreement and any ancillary agreements have been duly and validly executed and delivered by Mediaplex and constitute the valid and binding obligations of Mediaplex, enforceable against it in accordance with its terms. 

 
 3. No Conflicts. The execution and delivery by Mediaplex of this
Agreement and any ancillary agreements to which it is party will not (i) violate, conflict with, result in a breach of, or default under, or permit the termination of, or require consent under any agreement, obligation or commitment to which
Mediaplex is bound, or to which any of its properties or assets is subject, (ii) violate any provision of any Laws to which Mediaplex is subject, (iii) violate any order, judgment or decree applicable to Mediaplex, or (iv) conflict with, or result
in a breach of or default under, any term or condition of the governing documents of Mediaplex 
  
 4. Consents. No consent, license, approval, waiver, expiration of waiting period or authorization of, or registration or declaration with, any Governmental Entity is required to be obtained or made by Mediaplex
(in connection with the execution, delivery and performance of this Agreement and any ancillary agreements to which it is party. 
  
 5. Broker’s and Finder’s Fee. Mediaplex has not employed any broker, finder, or financial intermediary in connection with the
transactions contemplated by this Agreement and any ancillary agreements to which it is party that would be entitled to a broker’s, finder’s or similar fee or commission in connection therewith. 
  

	B.	LCE hereby represents and warrants to Mediaplex as follows: 

  
 1. Organization. LCE is a corporation duly organized and validly existing under the laws of its jurisdiction of incorporation and has all requisite
power and authority to enable it to own, lease or otherwise hold its properties and assets and to carry on its business as it is now being conducted. 
  
 2. Authority. LCE has full corporate power and authority to execute and deliver this Agreement and any ancillary agreement to which it is a party,
to perform its 

  

 B-1 

 
obligations hereunder and thereunder. The execution and delivery by LCE of this Agreement and any ancillary agreements to which it is party have been duly
authorized by all necessary action (corporate or otherwise) of LCE. This Agreement and any ancillary agreements have been duly and validly executed and delivered by LCE and constitute the valid and binding obligations of LCE, enforceable against it
in accordance with its terms. 
  
 3. No Conflicts. The
execution and delivery by LCE of this Agreement and any ancillary agreements to which it is party will not (i) violate, conflict with, result in a breach of, or default under, or permit the termination of, or require consent under any agreement,
obligation or commitment to which LCE is bound, or to which any of its properties or assets is subject, (ii) violate any provision of any Laws to which LCE is subject, (iii) violate any order, judgment or decree applicable to LCE, or (iv) conflict
with, or result in a breach of or default under, any term or condition of the governing documents of LCE 
  
 4. Consents. No consent, license, approval, waiver, expiration of waiting period or authorization of, or registration or declaration with, any
Governmental Entity is required to be obtained or made by LCE (other than registration with the U. S. Securities and Exchange Commission) in connection with the execution, delivery and performance of this Agreement and any ancillary agreements to
which it is party. 
  
 5. Broker’s and Finder’s
Fee. LCE has not employed any broker, finder, or financial intermediary in connection with the transactions contemplated by this Agreement and any ancillary agreements to which it is party that would be entitled to a broker’s, finder’s
or similar fee or commission in connection therewith. 
  

 B-2

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