Document:

Exhibit 10.6

 

AMENDED AND RESTATED EMPLOYMENT AGREEMENT

THIS AMENDED AND RESTATED EMPLOYMENT AGREEMENT (this “Agreement”), dated as of August 8, 2014, is entered into by and between Demand Media, Inc., a Delaware corporation (the “Company”) and Shawn Colo (the “Executive”).  This Agreement amends and restates in its entirety the Original Agreement (as defined below) and the Side Letter (as defined below) and is effective as of the Amended Effective Date (as defined below).

WHEREAS, the Executive and the Company previously entered into that certain (i) Employment Agreement, dated as of August 31, 2010 (the “Original Agreement”) and effective as of the date of the closing of the Company’s initial public offering of shares of its common stock and (ii) Interim President and CEO Employment Agreement Side Letter, dated October 14, 2013, as amended October 15, 2013 (collectively, the “Side Letter”);

WHEREAS, as of the Amended Effective Date, the Company desires to continue to employ the Executive, as its President, and to enter into an agreement embodying the terms of such employment; 

WHEREAS, as of the Amended Effective Date, each of the Original Agreement and the Side Letter shall terminate and be superseded by this Agreement; and

WHEREAS, the Executive desires to accept such continuation of employment with the Company, subject to the terms and conditions of this Agreement.

NOW, THEREFORE, IT IS HEREBY AGREED AS FOLLOWS:

1.Employment Period.  Subject to the provisions for earlier termination hereinafter provided, the Executive’s employment hereunder shall be for a term (the “Employment Period”) commencing on August 12, 2014 (the “Amended Effective Date”) and ending on the third (3rd) anniversary of the Amended Effective Date (such date, the “Initial Termination Date”).  If not previously terminated, the Employment Period shall automatically be extended for one (1) additional year on the Initial Termination Date and on each subsequent anniversary of the Initial Termination Date, unless either party elects not to so extend the Employment Period by notifying the other party, in writing, of such election at least ninety (90) days prior to the last day of the then-current Employment Period.  The Executive’s employment hereunder is terminable at will by the Company or by the Executive at any time (for any reason or for no reason), subject to the provisions of Section 4 hereof.  This Agreement shall become effective on the Amended Effective Date.

2.Terms of Employment.  

(a)Position and Duties.  

(i)During the Employment Period, the Executive shall serve as the Company’s President, reporting directly to the Chief Executive Officer, and shall perform such duties as are usual and customary for such position.  In addition, the Board shall appoint the Executive as a member of the Board on or as soon as practicable after the Effective Date.  At the Company’s request, the Executive shall serve the Company and/or 

 

 

its subsidiaries and affiliates in other capacities in addition to the foregoing consistent with the Executive’s role as President of the Company.  In the event that the Executive, during the Employment Period, serves in any one or more of such additional capacities, the Executive’s compensation shall not be increased beyond that specified in Section 2(b) hereof.  In addition, in the event the Executive’s service in one or more of such additional capacities is terminated, the Executive’s compensation, as specified in Section 2(b) hereof, shall not be diminished or reduced in any manner as a result of such termination provided that the Executive otherwise remains employed under the terms of this Agreement.

(ii)During the Employment Period, and excluding any periods of vacation and sick leave to which the Executive may be entitled, the Executive agrees to devote the Executive’s full business time and attention to the business and affairs of the Company.  Notwithstanding the foregoing, during the Employment Period, it shall not be a violation of this Agreement for the Executive to engage in any of the following activities: (A) serve on boards, committees or similar bodies of charitable or nonprofit organizations, or engage in charitable activities, (B) fulfill limited teaching, speaking and writing engagements, and/or (C) investing in and/or holding economic interests in companies in which the Executive does not take an operating or management role, or an active participation in the management or operation of the investment, and which investments do not violate the Company’s policies on corporate opportunities as set forth in the Company’s Code of Business Conduct and Ethics (any such investment and/or holding described in this clause (C) not to exceed a 5% interest in any company, unless otherwise approved in writing by the Board of Directors of the Company (the “Board”)).  Without limiting the provisions of any other agreement between the Executive and the Company (including without limitation the Confidentiality Agreement (as defined below)), the Executive acknowledges and agrees that during the Employment Period the Executive shall not invest or hold an economic interest in any entity that competes with any historical, current or planned business or business activities of the Company.  

(iii)During the Employment Period, the Executive shall perform the services required by this Agreement at the Company’s principal offices located in Santa Monica, California (the “Principal Location”), except for travel to other locations as may be necessary to fulfill the Executive’s duties and responsibilities hereunder.  

(b)Compensation, Benefits, Etc.

(i)Base Salary.  During the Employment Period, the Executive shall receive a base salary equal to $375,000 per annum (the “Base Salary”).  The Base Salary shall be reviewed annually by the Compensation Committee (the “Compensation Committee”) of the Board and may be increased from time to time by the Compensation Committee in its sole discretion.  The Base Salary shall be paid in installments in accordance with the Company’s applicable payroll practices, as in effect from time to time, but no less often than monthly.  The Base Salary shall not be reduced after any increase in accordance herewith and the term “Base Salary” as utilized in this Agreement shall refer to Base Salary as so increased.  

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(ii)Annual Bonus.  In addition to the Base Salary, the Executive shall be eligible to earn, for each fiscal year of the Company ending during the Employment Period, a discretionary cash performance bonus (an “Annual Bonus”) under the Company’s bonus plan or program applicable to its senior executives.  The Executive’s target Annual Bonus opportunity (the “Target Bonus”) shall be set at eighty percent (80%) of the Base Salary actually paid for such year.  The actual amount of any Annual Bonus shall be determined on the basis of the attainment of Company performance metrics applicable to senior executives and/or individual performance objectives, in each case, as established and approved by the Board or the Compensation Committee (or their designee) in their sole discretion. Payment of any Annual Bonus(es), to the extent any Annual Bonus(es) become payable, will be contingent upon the Executive’s continued employment through the applicable payment date, which shall occur on the date on which annual bonuses are paid generally to the Company’s senior executives.    

(iii)Stock Option.  

(A)Subject to approval by the Compensation Committee, the Company shall grant to the Executive, on or within 15 business days following the date of this Agreement, a nonqualified option to purchase 208,563 shares of the Company’s common stock (the “Stock Option”), at an exercise price per share equal to the Fair Market Value on the applicable grant date, provided that the Executive remains employed by the Company through the applicable grant date.  

(B)Vesting. Subject to Sections 4(a)(iv) and 4(c) hereof and the Executive’s continued employment with the Company through the applicable vesting date, the Stock Option shall vest and become exercisable with respect to 25% of the shares underlying the Stock Option on the first anniversary of the Amended Effective Date and with respect to 1/48th of the shares underlying the Stock Option on each monthly anniversary of the Amended Effective Date thereafter.

 

(C)Other Terms. The terms and conditions of the Stock Option shall, in a manner consistent with this Section 2(b)(iii), be set forth in a separate award agreement in a form prescribed by the Company, to be entered into by the Company and the Executive, which shall evidence the grant of the Stock Option.  The Stock Option shall be governed in all respects by the terms and conditions of the Plan and the form stock option agreement.

 

(iv)Annual Equity Award Eligibility.  In addition to the Stock Option, beginning in calendar year 2015 and with respect to calendar years thereafter during the Employment Period, the Executive shall be eligible to participate in the Company’s annual equity grant program applicable to its senior executives and to receive discretionary annual equity awards (each, an “Annual Equity Award”).  Any Annual Equity Award(s) granted hereunder shall (A) be in amounts determined by the Committee in its sole discretion, (B) be granted pursuant to the Plan or an applicable successor incentive award plan, as determined  by the Committee, and (C) be governed by such plan and an applicable award agreement in a form prescribed by the Company to be entered into by the Company and the Executive, which shall evidence the grant of any Annual Equity Award.

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(v)Incentive, Savings and Retirement Plans.  During the Employment Period, the Executive shall be eligible to participate in all other incentive plans, practices, policies and programs, and all savings and retirement plans, practices, policies and programs, in each case that are available generally to senior executives of the Company.

(vi)Welfare Benefit Plans.  During the Employment Period, the Executive and the Executive’s dependents shall be eligible to participate in the welfare benefit plans, practices, policies and programs (including, as applicable, medical, dental, disability, employee life, group life and accidental death insurance plans and programs) maintained by the Company for its senior executives.  

(vii)Expenses.  During the Employment Period, the Executive shall be entitled to receive prompt reimbursement for all reasonable business expenses incurred by the Executive in accordance with the policies, practices and procedures of the Company provided to senior executives of the Company.

(viii)Fringe Benefits.  During the Employment Period, the Executive shall be entitled to such fringe benefits and perquisites as are provided by the Company to its senior executives from time to time, in accordance with the policies, practices and procedures of the Company, and shall receive such additional fringe benefits and perquisites as the Company may, in its discretion, from time-to-time provide.  Nothing contained in this Section 2(b) shall, or shall be construed to, obligate the Company to adopt or maintain any incentive, savings, retirement, welfare, fringe benefit or other plan(s) or program(s) at any time.

(viii)Vacation.  During the Employment Period, the Executive shall not be entitled to a fixed number of paid vacation, personal or sick days per year.  As a salaried employee, the Company expects the Executive to use the Executive’s judgment to take time off from work for vacation or other personal time in a manner consistent with getting the Executive’s work done in a timely fashion, providing excellent service to the Company’s customers and partners and avoiding inconveniencing the Executive’s co-workers.   

3.Termination of Employment.  

(a)Death or Disability.  The Executive’s employment shall terminate automatically upon the Executive’s death during the Employment Period.  Either the Company or the Executive may terminate the Executive’s employment in the event of the Executive’s Disability during the Employment Period.  For purposes of this Agreement, “Disability” shall mean a disability as determined under the Company’s applicable long-term disability plan that prevents the Executive from performing the Executive’s duties under this Agreement (even with a reasonable accommodation by the Company) for a period of six (6) months or more or, if no such plan applies, as determined in the reasonable discretion of the Board.

(b)Cause.  The Company may terminate the Executive’s employment during the Employment Period for Cause or without Cause.  For purposes of this Agreement, “Cause” shall have the meaning set forth in the Company’s 2010 Incentive Award Plan (the “Plan”), as in effect on the Amended Effective Date; provided, however, that if the Date of Termination (as 

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defined below) occurs (i) on or within ninety (90) days before a Change in Control (as defined in the Plan) or (ii) following a Change in Control, then “Cause” shall mean the occurrence of any one or more of the following events:  

(i)the Executive’s failure (other than due to Disability) to materially comply with written Company policies generally applicable to Company officers or employees or any directive of the Board that is reasonably achievable, that is not inconsistent with the Executive’s position as President or the fulfillment of the Executive’s fiduciary duties and that is not otherwise prohibited by law or established public policy, subject to the receipt of a Notice of Termination (as defined below) and thirty (30) day cure period after the Executive’s receipt of the Notice of Termination to the extent such circumstances are curable;

(ii) the Executive’s engagement in willful misconduct against the Company that is materially injurious to the Company;

(iii) the Executive’s engagement in any activity that is a conflict of interest or competitive with the Company (other than any action not taken in bad faith and which is promptly remedied by the Executive upon notice by the Board or the participation in any activity described in any of Sections 2(a)(ii)(A)-(D) hereof);

(iv) the Executive’s engagement in any act of fraud or dishonesty against the Company or any of its Affiliates or any material breach of federal or state securities or commodities laws or regulations; 

(v) the Executive’s engagement in an act of assault or other act of violence in the workplace; or

(vi) the Executive’s conviction, guilty plea or plea of nolo contendre for any felony charge. 

For purposes of this provision, no act or failure to act, on the part of the Executive, shall be considered “willful” unless it is done, or omitted to be done, by the Executive in bad faith or without reasonable belief that the Executive’s action or omission was in the best interests of the Company.  Any act, or failure to act, based upon authority given pursuant to a resolution duly adopted by the Board or based upon the advice of counsel for the Company shall be presumed to be done, or omitted to be done, by the Executive in good faith and in the best interests of the Company.

(c)Termination by the Executive.  The Executive’s employment may be terminated by the Executive for any reason, including with Good Reason or by the Executive without Good Reason.  For purposes of this Agreement, “Good Reason” shall mean the occurrence of any one or more of the following events, in any case, without the Executive’s prior written consent, unless the Company fully corrects the circumstances constituting Good Reason (provided such circumstances are capable of correction) as provided below:

(i) any action by the Company that results in a demotion or material diminution of the Executive’s position, authority, duties or responsibilities (other than 

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any insubstantial action not taken in bad faith and which is promptly remedied by the Company upon notice by the Executive); provided that “Good Reason” does not include a change in title, authority, duties and/or responsibilities that occurs within ninety (90) days following a Change in Control if (A) the Executive’s new title is that of an executive officer of the entity surviving such Change in Control (or, if applicable, its parent company, if such entity has a parent company) reporting directly to the Chief Executive Officer of the entity surviving such Change in Control (or if applicable, its parent company, if such entity has a parent company) and the Executive’s authority, duties and responsibilities are commensurate with such title or (B) (1) the entity surviving such Change in Control (or, if applicable, its parent company if such entity has a parent company) continues to operate the Company’s principal businesses as a separate unit, division or subsidiary or combines the Company’s principal businesses with one of its existing units, divisions or subsidiaries and (2) the Executive’s new title is that of a senior officer of such unit, division or subsidiary reporting directly to a principal executive officer of such unit, division or subsidiary (or to an executive officer of the entity surviving the Change in Control or parent company thereof) and (in either case) the Executive’s authority, duties and responsibilities are commensurate with such title and are similar in scope (with respect to such unit, division or subsidiary) to the authority, duties and responsibilities of the Executive prior to the Change in Control;

(ii) a requirement that the Executive report to work more than twenty (20) miles from the Company’s Principal Location (not including normal business travel required of the Executive’s position) or, to the extent such requirement would not constitute a material change in the geographic location at which the Executive must perform services under this Agreement within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), such higher number of miles from the Company’s Principal Location as would constitute a material change in the geographic location at which the Executive must perform services under this Agreement within the meaning of Section 409A of the Code; 

(iii) a material reduction in the Executive’s base salary; or

(iv)a material breach by the Company of its obligations hereunder. 

Notwithstanding the foregoing, the Executive will not be deemed to have resigned for Good Reason unless (1) the Executive provides the Company with written notice setting forth in reasonable detail the facts and circumstances claimed by the Executive to constitute Good Reason within sixty (60) days after the date of the occurrence of any event that the Executive knows or should reasonably have known to constitute Good Reason, (2) the Company fails to cure such acts or omissions within thirty (30) days following its receipt of such notice, and (3) the effective date of the Executive’s termination for Good Reason occurs no later than sixty (60) days after the expiration of the Company’s cure period.  

(d)Notice of Termination.  Any termination by the Company for Cause, or by the Executive for Good Reason, shall be communicated by a Notice of Termination to the other parties hereto given in accordance with Section 10(b) hereof.  For purposes of this Agreement, a “Notice of Termination” means a written notice which (i) indicates the specific termination provision in this Agreement relied upon, (ii) to the extent applicable, sets forth in reasonable 

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detail the facts and circumstances claimed to provide a basis for termination of the Executive’s employment under the provision so indicated and (iii) if the Date of Termination (as defined below) is other than the date of receipt of such notice, specifies the termination date (which date shall be not more than sixty (60) days after the giving of such notice).  The failure by the Executive or the Company to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason or Cause shall not waive any right of the Executive or the Company, respectively, hereunder or preclude the Executive or the Company, respectively, from asserting such fact or circumstance in enforcing the Executive’s or the Company’s rights hereunder.

(e)Termination of Offices and Directorships.  Upon termination of the Executive’s employment for any reason, unless otherwise specified in a written agreement between the Executive and the Company, the Executive shall be deemed to have resigned from all offices, directorships, and other employment positions if any, then held with the Company, and shall take all actions reasonably requested by the Company to effectuate the foregoing.

4.Obligations of the Company upon Termination.  

(a)Without Cause, For Good Reason, Death or Disability.  Subject to Section 4(d) hereof, if the Executive incurs a “separation from service” from the Company (within the meaning of Section 409A(a)(2)(A)(i) of the Code, and Treasury Regulation Section 1.409A-1(h)) (a “Separation from Service”) during the Employment Period (such date, the “Date of Termination”) by reason of (1) a termination of the Executive’s employment by the Company without Cause; (2) a termination of the Executive’s employment by the Executive for Good Reason; or (3) a termination of the Executive’s employment by reason of the Executive’s death or Disability (each of (1), (2) and (3), a “Qualifying Termination”):

(i)The Executive (or the Executive’s estate or beneficiaries, if applicable) shall be paid, in a single lump-sum payment on the date of the Executive’s termination of employment, the aggregate amount of the Executive’s earned but unpaid Base Salary and accrued but unpaid vacation pay (if any) through the date of such termination (the “Accrued Obligations”), in each case, to the extent not previously paid.  

(ii)In addition, subject to Section 4(d) hereof and the Executive’s (or the Executive’s estate’s or beneficiaries’, if applicable) timely execution and non-revocation of a Release (as described below), the Executive (or the Executive’s estate or beneficiaries, if applicable) shall be paid: 

(A)an amount equal to three-fourths (3/4) (the “Multiplier”) times the Base Salary in effect on the Date of Termination (disregarding any reduction in Base Salary that would give rise to the Executive’s right to terminate for Good Reason), payable in substantially equal installments (the “Installments”) in accordance with the Company’s normal payroll procedures during the period commencing on the Date of Termination and ending on the nine (9)-month anniversary of the Date of Termination; provided, however, that no payments under this Section 4(a)(ii)(A) shall be made prior to the first payroll date occurring on or after the thirtieth (30th) day following the Date of Termination (such payroll date, the “First 

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Payroll Date”) (with amounts otherwise payable prior to the First Payroll Date paid on the First Payroll Date without interest thereon); provided, further, that in no event shall any of the Installments be paid later than March 15th of the year following that in which the Date of Termination occurs, and any of Installments that would otherwise be paid after such March 15th shall instead be paid on such March 15th; provided, further, that if a Change in Control occurs (1) on or within ninety (90) days after the Date of Termination, the Multiplier shall be increased to one (1) and any then-unpaid amounts owing under this Section 4(a)(ii)(A) shall be paid in a lump-sum upon such Change in Control (or, if later, on the First Payroll Date), or (2) within one (1) year before the Date of Termination, the Multiplier shall be increased to one (1) and amounts payable under this Section 4(a)(ii)(A) shall be paid in a lump-sum on the First Payroll Date;

(B)any unpaid Annual Bonus to which the Executive would have become entitled for any fiscal year of the Company that ends on or before the Date of Termination had the Executive remained employed through the payment date, payable in a single lump-sum payment on the date on which annual bonuses are paid to the Company’s senior executives generally for such calendar year, but in no event later than March 15th of the calendar year immediately following the calendar year in which the Date of Termination occurs, with the actual date within such period determined by the Company in its sole discretion; and

(C)payment in an amount not to exceed a pro-rated portion of the Executive’s Target Bonus for the partial calendar year in which the Date of Termination occurs, determined by reference to actual Company performance against applicable performance criteria during such calendar year and pro-rated based on the number of days in the calendar year in which the Date of Termination occurs through the Date of Termination (it being understood that such amount may be less than the Executive’s pro-rated Target Bonus as a result of Company underperformance of the applicable performance criteria in such calendar year), payable in a single lump-sum payment on the date on which annual bonuses are paid to the Company’s senior executives generally for such calendar year, but in no event later than March 15th of the calendar year immediately following the calendar year in which the Date of Termination occurs (with the actual date within such period determined by the Company in its sole discretion); provided, however, that in the event that a Change in Control (1) occurs on or within ninety (90) days after the Date of Termination or (2) has occurred within one (1) year before the Date of Termination, then the Executive instead shall be paid an amount equal to the Annual Bonus earned by the Executive for the calendar year immediately prior to the calendar year in which the Date of Termination occurs, payable (I) with respect to a Change in Control described in subclause (1), in a lump-sum upon such Change in Control (or, if later, the First Payroll Date) or (II) 

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with respect to a Change in Control described in subclause (2), on the First Payroll Date.

(iii)    In addition, subject to Section 4(d) hereof and conditioned upon the Executive’s timely execution and non-revocation of a Release, during the period commencing on the Date of Termination and ending on the twelve (12)-month anniversary of the Date of Termination or, if earlier, the date on which the Executive becomes eligible for coverage under the group health plan of a subsequent employer (of which eligibility the Executive hereby agrees to give prompt notice to the Company) (in any case, the “COBRA Period”), subject to the Executive’s valid election to continue healthcare coverage under Section 4980B of the Code and the regulations thereunder, the Company shall continue to provide the Executive and the Executive’s eligible dependants with coverage under its group health plans at the same levels and the same cost to the Executive as would have applied if the Executive’s employment had not been terminated based on the Executive’s elections in effect on the Date of Termination, provided, however, that (A) if any plan pursuant to which such benefits are provided is not, or ceases prior to the expiration of the period of continuation coverage to be, exempt from the application of Section 409A of the Code under Treasury Regulation Section 1.409A-1(a)(5), or (B) the Company is otherwise unable to continue to cover the Executive under its group health plans (including without limitation, Section 2716 of the Public Health Service Act), then, in either case, an amount equal to each remaining Company subsidy shall thereafter be paid to the Executive as currently taxable compensation in substantially equal monthly installments over the continuation coverage period (or the remaining portion thereof).

(iv) In addition, subject to Section 4(c) hereof, and conditioned upon the Executive’s timely execution and non-revocation of a Release, all outstanding equity awards held by the Executive on the Date of Termination, including but not limited to the Stock Option and each Annual Equity Award, (each such award, an “Unvested Award”) shall conditionally vest and become exercisable (as applicable) immediately prior to such termination with respect to such number of shares underlying each such Unvested Award that would have vested over the one (1)-year period immediately following the Date of Termination, had the Executive remained employed by the Company during such one (1)-year period (and the remainder of each Unvested Award shall be forfeited and terminated); provided, that if the Executive fails to timely execute or revokes the Release, all such conditionally vested awards (and any shares received in respect of all such awards) shall be forfeited upon such failure or revocation (subject to repayment by the Company to the Executive of any amounts (if any) paid by the Executive with respect to shares underlying such conditionally vested awards). For the avoidance of doubt: (A) to the extent that any provision of this Agreement is inconsistent with the terms and conditions of any Unvested Award agreement between the Executive and the Company, this Agreement shall constitute an amendment thereto, and (B) in no event shall any Unvested Award expire during any applicable Release consideration and revocation periods, rather, such awards shall remain outstanding and eligible to vest as provided above, subject to and conditioned upon the Executive’s execution and non-revocation of the Release and, to the extent that such awards would have vested prior to the effectiveness of the Release, such awards shall instead vest upon the effectiveness of the 

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Release and shall be forfeited if the Release does not timely become effective (but in no event shall any stock option remain exercisable beyond its outside expiration date applicable in the absence of a termination of employment). 

The payments and benefits described in the preceding Sections 4(a)(ii), (iii) and (iv) are referred to herein as the “Severance.”  Notwithstanding the foregoing, it shall be a condition to the Executive’s (or the Executive’s estate’s or beneficiaries’, if applicable) right to receive the Severance that the Executive (or the Executive’s estate or beneficiaries, if applicable) execute and deliver to the Company an effective release of claims in substantially the form attached hereto as Exhibit A (the “Release”) within twenty-one (21) days (or, to the extent required by law, forty-five (45) days) following the Date of Termination and that the Executive (or the Executive’s estate or beneficiaries, if applicable) not revoke such Release during any applicable revocation period; provided, however, that in the case of the Executive’s death, the Release shall be considered timely if executed and delivered to the Company within sixty (60) days following the Executive’s death.  

(b)For Cause, Without Good Reason or Other Terminations.  If the Company terminates the Executive’s employment for Cause, the Executive terminates the Executive’s employment without Good Reason, or the Executive’s employment terminates for any other reason not enumerated in this Section 4, in any case, during the Employment Period, the Company shall pay to the Executive the Accrued Obligations in cash within thirty (30) days after the Date of Termination (or by such earlier date as may be required by applicable law). 

(c) Equity Vesting in Connection with a Change in Control.  In addition to any payments or benefits due to the Executive (or the Executive’s estate or beneficiaries, if applicable) under Section 4(a) above (if any), subject to and conditioned upon the Executive’s timely execution and non-revocation of a Release, if the Executive’s employment is terminated by reason of a Qualifying Termination and a Change in Control (A) occurs on or within ninety (90) days after the Date of Termination or (B) has occurred within one (1) year before the Date of Termination, all outstanding compensatory equity awards (including but not limited to the Stock Option and each Annual Equity Award) that have not yet vested shall conditionally vest and, as applicable, become exercisable on the later of the Date of Termination and the date of such Change in Control (and such vesting shall become unconditional upon such execution and non-revocation of a Release); provided, that if the Executive fails to timely execute or revokes the Release, all such conditionally vested awards (and any shares received in respect of such awards) shall be forfeited upon such failure or revocation (subject to repayment by the Company to the Executive of any amounts (if any) paid by the Executive with respect to shares underlying such conditionally vested awards).  For the avoidance of doubt, if a Qualifying Termination occurs prior to a Change in Control, all outstanding, unvested compensatory equity awards (including but not limited to the Stock Option) that would otherwise terminate on the Date of Termination shall remain outstanding and eligible to vest solely upon a Change in Control occurring within ninety (90) days after the Date of Termination (but shall not otherwise vest following the Date of Termination) and shall terminate on the ninetieth (90th) day following the Date of Termination if a Change in Control has not occurred on or prior to such ninetieth (90th) day (or such earlier outside expiration date applicable to the award (other than due to a termination of employment)).  

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(d)Six-Month Delay.  Notwithstanding anything to the contrary in this Agreement, no compensation or benefits, including without limitation any severance payments or benefits payable under Section 4 hereof, shall be paid to the Executive during the six (6)-month period following the Executive’s Separation from Service if the Company determines that paying such amounts at the time or times indicated in this Agreement would be a prohibited distribution under Section 409A(a)(2)(B)(i) of the Code.  If the payment of any such amounts is delayed as a result of the previous sentence, then on the first business day following the end of such six (6)-month period (or such earlier date upon which such amount can be paid under Section 409A of the Code without resulting in a prohibited distribution, including as a result of the Executive’s death), the Company shall pay the Executive a lump-sum amount equal to the cumulative amount that would have otherwise been payable to the Executive during such period.

(e)Exclusive Benefits.  Except as expressly provided in this Section 4 and subject to Section 5 hereof, the Executive shall not be entitled to any additional payments or benefits upon or in connection with the Executive’s termination of employment.

(f)Equity Award Agreements.  For the avoidance of doubt, nothing contained in this Agreement is intended to result in any vesting terms that are less favorable to the Executive than those contained in any applicable equity award agreement and, to the extent that the vesting terms contained in any such award agreement are more favorable to the Executive than those provided herein, including, without limitation, this Section 4, the terms of such award agreement shall control.

5.Non-Exclusivity of Rights.  Amounts which are vested benefits or which the Executive is otherwise entitled to receive under any plan, policy, practice or program of or any contract or agreement with, the Company at or subsequent to the Date of Termination shall be payable in accordance with such plan, policy, practice, program or contract or agreement except as explicitly modified by this Agreement.

6.Excess Parachute Payments, Limitations on Payments.  

(a)Best Pay Cap. Notwithstanding any other provision of this Agreement, in the event that any payment or benefit received or to be received by the Executive (including any payment or benefit received in connection with a termination of the Executive’s employment, whether pursuant to the terms of this Agreement or any other plan, arrangement or agreement) (all such payments and benefits, including the payments and benefits under Section 4 hereof, being hereinafter referred to as the “Total Payments”) would be subject (in whole or part), to excise tax imposed under Section 4999 of the Code (the “Excise Tax”), then, after taking into account any reduction in the Total Payments provided by reason of Section 280G of the Code in such other plan, arrangement or agreement, the cash severance payments under this Agreement shall first be reduced, and the noncash severance payments hereunder shall thereafter be reduced, to the extent necessary so that no portion of the Total Payments is subject to the Excise Tax but only if (i) the net amount of such Total Payments, as so reduced (and after subtracting the net amount of federal, state and local income taxes on such reduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such reduced Total Payments) is greater than or equal to (ii) the net amount of such Total Payments without such reduction (but after subtracting the net amount of federal, state and local income taxes on such Total Payments and the amount of Excise Tax to which the Executive would be 

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subject in respect of such unreduced Total Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such unreduced Total Payments).  The Total Payments shall be reduced in the following order: (A) reduction of any cash severance payments otherwise payable to the Executive that are exempt from Section 409A of the Code; (B) reduction of any other cash payments or benefits otherwise payable to the Executive that are exempt from Section 409A of the Code, but excluding any payments attributable to any acceleration of vesting or payments with respect to any equity award that are exempt from Section 409A of the Code; (C) reduction of any other payments or benefits otherwise payable to the Executive on a pro-rata basis or such other manner that complies with Section 409A of the Code, but excluding any payments attributable to any acceleration of vesting and payments with respect to any equity award that are exempt from Section 409A of the Code; and (D) reduction of any payments attributable to any acceleration of vesting or payments with respect to any equity award that are exempt from Section 409A of the Code, in each case beginning with payments that would otherwise be made last in time.

(b)Certain Exclusions. For purposes of determining whether and the extent to which the Total Payments will be subject to the Excise Tax, (i) no portion of the Total Payments the receipt or enjoyment of which the Executive shall have waived at such time and in such manner as not to constitute a “payment” within the meaning of Section 280G(b) of the Code shall be taken into account; (ii) no portion of the Total Payments shall be taken into account which, in the written opinion of an independent, nationally recognized accounting firm (the “Accounting Firm”), does not constitute a “parachute payment” within the meaning of Section 280G(b)(2) of the Code (including by reason of Section 280G(b)(4)(A) of the Code) and, in calculating the Excise Tax, no portion of such Total Payments shall be taken into account which, in the opinion of the Accounting Firm, constitutes reasonable compensation for services actually rendered, within the meaning of Section 280G(b)(4)(B) of the Code, in excess of the “base amount” (as defined in Section 280G(b)(3) of the Code) allocable to such reasonable compensation; and (iii) the value of any non cash benefit or any deferred payment or benefit included in the Total Payments shall be determined by the Accounting Firm in accordance with the principles of Sections 280G(d)(3) and (4) of the Code.

7.Confidential Information and Non-Solicitation.  The Executive hereby acknowledges that the Executive has previously entered into an agreement with the Company containing confidentiality and other protective covenants (the “Confidentiality Agreement”) and that the Executive remains bound by the terms and conditions of the Confidentiality Agreement.

8.Executive Representations and Acknowledgements.  

(a) The Executive hereby represents and warrants to the Company that (i) the Executive is entering into this Agreement voluntarily and that the performance of the Executive’s obligations hereunder will not violate any agreement between the Executive and any other person, firm, organization or other entity, and (ii) the Executive is not bound by the terms of any agreement with any previous employer or other party to refrain from competing, directly or indirectly, with the business of such previous employer or other party that would be violated by the Executive’s entering into this Agreement and/or providing services to the Company pursuant to the terms of this Agreement.

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(b) Notwithstanding anything to the contrary contained herein, the Executive hereby expressly consents to the amendments to the Original Agreement and the Side Letter contained in this Agreement, including, without limitation, the changes to his position, reporting duties and compensation, and further agrees that neither such changes nor any action taken by the Company in connection therewith (including the appointment of a new Chief Executive Officer of the Company) shall constitute (i) a breach of this Agreement, the Original Agreement, the Side Letter or any other agreement between the Executive and the Company or its affiliates or (ii) a termination of the Executive’s employment without Cause or for Good Reason.

9.Successors.  

(a)No Assignment.  This Agreement is personal to the Executive and, without the prior written consent of the Company, shall not be assignable by the Executive otherwise than by will or the laws of descent and distribution.  This Agreement shall inure to the benefit of and be enforceable by the Executive’s legal representatives.

(b)Binding Agreement.  This Agreement shall inure to the benefit of and be binding upon the Company and its successors and assigns.

(c)Successors.  The Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company to assume and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place.  As used in this Agreement, “Company” shall mean the Company as hereinbefore defined and any successor to its business and/or assets as aforesaid which assumes and agrees to perform this Agreement by operation of law, or otherwise.  

10.Miscellaneous.  

(a)Governing Law.  This Agreement shall be governed by and construed in accordance with the laws of the State of California, without reference to principles of conflict of laws.  The captions of this Agreement are not part of the provisions hereof and shall have no force or effect.

(b)Notices.  All notices and other communications hereunder shall be in writing and shall be given by hand delivery to the other party or by registered or certified mail, return receipt requested, postage prepaid, addressed as follows:

If to the Executive:  at the Executive’s most recent address on the records of the Company.

If to the Company:

Demand Media, Inc.

1655 26th Street
Santa Monica, CA 90404

Attn: General Counsel

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with a copy to:

Latham & Watkins LLP
355 South Grand Ave. 
Los Angeles, CA  90071-1560
Attn: Alex Voxman

or to such other address as either party shall have furnished to the other in writing in accordance herewith.  Notice and communications shall be effective when actually received by the addressee.

(c)Sarbanes-Oxley Act of 2002.  Notwithstanding anything herein to the contrary, if the Company determines, in its good faith judgment, that any transfer or deemed transfer of funds hereunder is likely to be construed as a personal loan prohibited by Section 13(k) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and the rules and regulations promulgated thereunder, then such transfer or deemed transfer shall not be made to the extent necessary or appropriate so as not to violate the Exchange Act and the rules and regulations promulgated thereunder.

(d)Section 409A of the Code.  

(i)  To the extent applicable, this Agreement shall be interpreted in accordance with Section 409A of the Code and Department of Treasury regulations and other interpretive guidance issued thereunder.  Notwithstanding any provision of this Agreement to the contrary, if the Company determines that any compensation or benefits payable under this Agreement may be subject to Section 409A of the Code and related Department of Treasury guidance, the Company shall work in good faith with the Executive to adopt such amendments to this Agreement or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, that the Company determines are necessary or appropriate to avoid the imposition of taxes under Section 409A of the Code, including without limitation, actions intended to (A) exempt the compensation and benefits payable under this Agreement from Section 409A of the Code, and/or (B) comply with the requirements of Section 409A of the Code and related Department of Treasury guidance; provided, however, that this Section 10(d) shall not create an obligation on the part of the Company to adopt any such amendment, policy or procedure or take any such other action, nor shall the Company have any liability for failing to do so.

(ii)  Any right to a series of installment payments pursuant to this Agreement is to be treated as a right to a series of separate payments.  To the extent permitted under Section 409A of the Code, any separate payment or benefit under this Agreement or otherwise shall not be deemed “nonqualified deferred compensation” subject to Section 409A of the Code and Section 4(d) hereof to the extent provided in the exceptions in Treasury Regulation Section 1.409A-1(b)(4), Section 1.409A-1(b)(9) or any other applicable exception or provision of Section 409A of the Code.

(iii)  To the extent that any payments or reimbursements provided to the Executive under this Agreement, including, without limitation, pursuant to Section 2(b)(vii) 

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hereof, are deemed to constitute compensation to the Executive to which Treasury Regulation Section 1.409A-3(i)(1)(iv) would apply, such amounts shall be paid or reimbursed reasonably promptly, but not later than December 31 of the year following the year in which the expense was incurred.  The amount of any such payments eligible for reimbursement in one year shall not affect the payments or expenses that are eligible for payment or reimbursement in any other taxable year, and the Executive’s right to such payments or reimbursement of any such expenses shall not be subject to liquidation or exchange for any other benefit.

(e)Severability.  The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement.

(f)Withholding.  The Company may withhold from any amounts payable under this Agreement such federal, state, local or foreign taxes as shall be required to be withheld pursuant to any applicable law or regulation.  

(g)No Waiver.  The Executive’s or the Company’s failure to insist upon strict compliance with any provision of this Agreement or the failure to assert any right the Executive or the Company may have hereunder, including, without limitation, the right of the Executive to terminate employment for Good Reason pursuant to Section 3(c) hereof, shall not be deemed to be a waiver of such provision or right or any other provision or right of this Agreement.

(h)Entire Agreement.  As of the Amended Effective Date, this Agreement, together with the Confidentiality Agreement constitutes the final, complete and exclusive agreement between the Executive and the Company with respect to the subject matter hereof and replaces and supersedes any and all other agreements, offers or promises, whether oral or written, by any member of the Company and its subsidiaries and affiliates, or representative thereof.  The Executive agrees that each of the Original Agreement and the Side Letter shall be terminated and of no further force or effect from and after the Amended Effective Date.  In the event that the Executive’s employment with the Company is terminated prior to the Amended Effective Date, this Agreement (including, without limitation, the immediately preceding sentence) shall have no force or effect. 

(i)Amendment.  No amendment or other modification of this Agreement shall be effective unless made in writing and signed by the parties hereto.

(j)Counterparts.  This Agreement and any agreement referenced herein may be executed simultaneously in two or more counterparts, each of which shall be deemed an original but which together shall constitute one and the same instrument.

 

 

[SIGNATURE PAGE FOLLOWS]

 

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IN WITNESS WHEREOF, the Executive has hereunto set the Executive’s hand and, pursuant to the authorization from the Board, the Company has caused these presents to be executed in its name on its behalf, all as of the day and year first above written.

DEMAND MEDIA, INC., 
a Delaware corporation

	
By:
	
  /s/ Mel Tang
Name:  Mel Tang
Title:    CFO

“EXECUTIVE”

	
  
	
/s/ Shawn Colo
Shawn Colo

16

 

 

EXHIBIT A

 

GENERAL RELEASE

For valuable consideration, the receipt and adequacy of which are hereby acknowledged, the undersigned does hereby release and forever discharge the “Releasees” hereunder, consisting of Demand Media, Inc., a Delaware corporation (the “Company”) and each of its partners, subsidiaries, associates, affiliates, successors, heirs, assigns, agents, directors, officers, employees, representatives, lawyers, insurers, and all persons acting by, through, under or in concert with them, or any of them, of and from any and all manner of action or actions, cause or causes of action, in law or in equity, suits, debts, liens, contracts, agreements, promises, liability, claims, demands, damages, losses, costs, attorneys’ fees or expenses, of any nature whatsoever, known or unknown, fixed or contingent (hereinafter called “Claims”), which the undersigned now has or may hereafter have against the Releasees, or any of them, by reason of any matter, cause, or thing whatsoever from the beginning of time to the date hereof.  The Claims released herein include, without limiting the generality of the foregoing, any Claims in any way arising out of, based upon, or related to the employment or termination of employment of the undersigned by the Releasees, or any of them; any alleged breach of any express or implied contract of employment; any alleged torts or other alleged legal restrictions on Releasees’ right to terminate the employment of the undersigned; and any alleged violation of any federal, state or local statute or ordinance including, without limitation, Title VII of the Civil Rights Act of 1964, the Age Discrimination In Employment Act, the Americans With Disabilities Act, and the California Fair Employment and Housing Act.  Notwithstanding the foregoing, this general release (the “Release”) shall not operate to release any rights or claims of the undersigned (i) to payments or benefits under Section 4(a) and/or Section 4(c) (if applicable) of that certain Amended and Restated Employment Agreement, effective as of August 12, 2014, between Demand Media, Inc. and the undersigned (the “Employment Agreement”), whichever is applicable to the payments and benefits provided in exchange for this Release, (ii) to payments or benefits under any equity award agreement between the undersigned and the Company, (iii) with respect to Section 2(b)(vii) of the Employment Agreement, (iv) to accrued or vested benefits the undersigned may have, if any, as of the date hereof under any applicable plan, policy, practice, program, contract or agreement with the Company, (v) to any Claims, including claims for indemnification and/or advancement of expenses, arising under any indemnification agreement between the undersigned and the Company or under the bylaws, certificate of incorporation of other similar governing document of the Company, or (vi) to any Claims which cannot be waived by an employee under applicable law.

THE UNDERSIGNED ACKNOWLEDGES THAT THE EXECUTIVE HAS BEEN ADVISED BY LEGAL COUNSEL AND IS FAMILIAR WITH THE PROVISIONS OF CALIFORNIA CIVIL CODE SECTION 1542, WHICH PROVIDES AS FOLLOWS:

“A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.”

A-1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

THE UNDERSIGNED, BEING AWARE OF SAID CODE SECTION, HEREBY EXPRESSLY WAIVES ANY RIGHTS THE EXECUTIVE MAY HAVE THEREUNDER, AS WELL AS UNDER ANY OTHER STATUTES OR COMMON LAW PRINCIPLES OF SIMILAR EFFECT.

IN ACCORDANCE WITH THE OLDER WORKERS BENEFIT PROTECTION ACT OF 1990, THE UNDERSIGNED IS HEREBY ADVISED AS FOLLOWS:

(A)THE EXECUTIVE HAS THE RIGHT TO CONSULT WITH AN ATTORNEY BEFORE SIGNING THIS RELEASE;

(B)THE EXECUTIVE HAS TWENTY-ONE (21) DAYS TO CONSIDER THIS RELEASE BEFORE SIGNING IT; AND

(C)THE EXECUTIVE HAS SEVEN (7) DAYS AFTER SIGNING THIS RELEASE TO REVOKE THIS RELEASE, AND THIS RELEASE WILL BECOME EFFECTIVE UPON THE EXPIRATION OF THAT REVOCATION PERIOD.

The undersigned represents and warrants that there has been no assignment or other transfer of any interest in any Claim which the Executive may have against Releasees, or any of them, and the undersigned agrees to indemnify and hold Releasees, and each of them, harmless from any liability, Claims, demands, damages, costs, expenses and attorneys’ fees incurred by Releasees, or any of them, as the result of any such assignment or transfer or any rights or Claims under any such assignment or transfer.  It is the intention of the parties that this indemnity does not require payment as a condition precedent to recovery by the Releasees against the undersigned under this indemnity.

The undersigned agrees that if the Executive hereafter commences any suit arising out of, based upon, or relating to any of the Claims released hereunder or in any manner asserts against Releasees, or any of them, any of the Claims released hereunder, then the undersigned agrees to pay to Releasees, and each of them, in addition to any other damages caused to Releasees thereby, all attorneys’ fees incurred by Releasees in defending or otherwise responding to said suit or Claim.

The undersigned further understands and agrees that neither the payment of any sum of money nor the execution of this Release shall constitute or be construed as an admission of any liability whatsoever by the Releasees, or any of them, who have consistently taken the position that they have no liability whatsoever to the undersigned.

IN WITNESS WHEREOF, the undersigned has executed this Release this ____ day of ___________, ____.

 

Shawn Colo

 

 

A-2EX-10.1

 Exhibit 10.1 

EXECUTION VERSION 
 AMENDMENT NO.
4 
 AMENDMENT NO. 4, dated as of November 7, 2014 (this “Amendment”), to the Credit Agreement dated as of
June 8, 2011 (as amended, supplemented, amended and restated or otherwise modified from time to time) (the “Credit Agreement”) among QUINTILES TRANSNATIONAL CORP., a North Carolina corporation (the “Borrower”),
each lender from time to time party thereto (collectively, the “Lenders” and individually, a “Lender”), JPMORGAN CHASE BANK, N.A., as Administrative Agent (in such capacity, the “Administrative
Agent”), Swing Line Lender (in such capacity, the “Swing Line Lender”), L/C Issuer (in such capacity, the “L/C Issuer”) and Collateral Agent (in such capacity, the “Collateral Agent”), J.P.
Morgan Securities LLC, Barclays Capital, Citigroup Global Markets, Inc., Morgan Stanley Senior Funding, Inc. and Wells Fargo Securities, LLC, as Joint Bookrunners, Barclays Capital, as Syndication Agent, and Citicorp North America, Inc., Morgan
Stanley Senior Funding, Inc. and Wells Fargo Securities, LLC as Co-Documentation Agents. Capitalized terms used and not otherwise defined herein shall have the meanings assigned to them in the Credit Agreement. 

WHEREAS, Section 2.14 of the Credit Agreement permits the Borrower to establish New Revolving Credit Commitments with existing Revolving
Credit Lenders and/or New Revolving Credit Lenders pursuant to the terms and conditions set forth therein; 
 WHEREAS, Section 2.15 of
the Credit Agreement permits the Borrower to extend the maturity of certain of the Loans and Commitments, in each case with existing Lenders pursuant to the terms and conditions set forth therein; 

WHEREAS, Section 10.01 of the Credit Agreement permits amendment of the Credit Agreement with consent of the Administrative Agent, the
Borrower and the Lenders providing the New Revolving Credit Commitments; 
 WHEREAS, the Borrower desires to (x) obtain up to $100.0
million of New Revolving Credit Commitments (the “Amendment No. 4 Additional Revolving Credit Commitments”) which Amendment No. 4 Additional Revolving Credit Commitments will represent an increase to the Revolving Credit
Commitments under the Credit Agreement as set forth in Section 2.14(b) and (y) extend the maturity of all or a portion of the Revolving Credit Commitments; 

WHEREAS, (x) each Revolving Credit Lender that executes a Consent to Amendment No. 4 substantially in the form of Exhibit A
has agreed to be reclassified as a “Tranche C Revolving Credit Lender” and to extend the maturity of all or a portion of such Lender’s Revolving Credit Commitments in accordance with the terms and subject to the conditions set forth
herein (such Lenders, the “Extending Lender”) and (y) each other Revolving Credit Lender will continue to be a “Tranche B Revolving Credit Lender”; 

WHEREAS, each Person that executes and delivers a joinder to this Amendment substantially in the form of Exhibit B (a
“Joinder”) as an Amendment No. 4 Additional 

 
Revolving Credit Lender (as defined in Exhibit B) will provide such commitments in the amount set forth on the signature page of such Person’s Joinder on the effective date of this
Amendment to the Borrower, the proceeds of which may be used by the Borrower (i) to provide ongoing working capital and (ii) for other general corporate purposes of the Borrower and its Subsidiaries (including Restricted Payments and
Investments permitted under the Credit Agreement and any other transactions not prohibited by the Credit Agreement); 
 WHEREAS, PNC Bank,
National Association (“PNC Bank”) will be appointed as a Co-Documentation Agent and PNC Capital Markets LLC (“PNCCM”) will be appointed as a Joint Bookrunner under the Credit Agreement with respect to this Amendment
and the Amendment No. 4 Additional Revolving Credit Commitments; 
 NOW, THEREFORE, in consideration of the premises and covenants
contained herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows: 

 

	 	Section 1.	Amendments. 

 Effective as of the Amendment No. 4 Effective Date, the Credit
Agreement is hereby amended as follows: 
 (a) The following defined terms shall be added to Section 1.01 of the Credit Agreement in
alphabetical order: 
 “Amendment No. 4” means Amendment No. 4 to this Agreement dated as of
November 7, 2014. 
 “Amendment No. 4 Additional Revolving Credit Commitments” has the meaning
specified in Amendment No. 4. 
 “Amendment No. 4 Additional Revolving Credit Lenders” has the
meaning specified in the Amendment No. 4 Joinder 
 “Amendment No. 4 Effective Date” means
November 7, 2014, the date on which all conditions precedent set forth in Section 4 of Amendment No. 4 are satisfied. 

“Amendment No. 4 Joinder” means the Joinder Agreement dated November 7, 2014, entered into on the
Amendment No. 4 Effective Date. 
 (b) The definition of “Loan Documents” in Section 1.01 of the Credit Agreement is
hereby amended by deleting such definition and replacing it with the following: 
 ““Loan Documents”
means, collectively, (a) this Agreement, (b) the Notes, (c) the Guaranty, (d) the Collateral Documents , (e) each L/C Request and Letter of Credit Application, (f) Amendment No.1, (g) the Amendment No. 1
Joinder, (h) the Guarantor Consent and Reaffirmation, (i) Amendment No. 2, (j) the Amendment No. 2 Joinder, (k) Amendment No. 3, (l) the Amendment No. 3 Joinder, (m) Amendment No. 4 and
(n) the Amendment No. 4 Joinder.” 

  
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 (c) The definitions of “Existing Revolving Credit Commitments,” “Existing
Revolving Credit Lender” and “Existing Revolving Credit Loans” in Section 1.01 of the Credit Agreement are each hereby amended by replacing the words “Amendment No. 1 Effective Date” with the words “Amendment
No. 4 Effective Date”. 
 (d) The definition of “Letter of Credit Expiration Date” in Section 1.01 of the Credit
Agreement is hereby amended by replacing the words “Tranche B Revolving Credit Facility” with the words “Tranche C Revolving Credit Facility”. 

(e) The definition of “Maturity Date” in Section 1.01 of the Credit Agreement is hereby amended by deleting such definition and
replacing it with the following: 
 “Maturity Date” means (a) with respect to the Tranche B
Revolving Credit Facility, June 8, 2017, (b) with respect to the Tranche C Revolving Credit Facility, (i) December 8, 2017 or (ii) June 8, 2019, if the maturity of the Term Loans under the Existing Credit
Agreement, or any refinancings thereof, is extended to a date not earlier than June 8, 2020 and (c) with respect to the Term B-3 Loan Facility, June 8, 2018; provided that the reference to Maturity Date with respect to Other
Term Loans and Other Revolving Credit Loans shall be the final maturity date as specified in the applicable Refinancing Amendment, and with respect to Extended Term Loans and Extended Revolving Credit Commitments shall be the final maturity date as
specified in the applicable Extension Offer.” 
 (f) Section 1.10 of the Credit Agreement is hereby amended by deleting such
section and replacing it with the following: 
 “Section 1.10 Term B-3 Loans and Additional Revolving Credit
Commitments. 
 The Term B-3 Loans shall constitute New Term Loans for all purposes under this Agreement. All references
to (x) “Revolving Credit Commitments” shall be deemed to include the Additional Revolving Credit Commitments and the Amendment No. 4 Additional Revolving Credit Commitments and (y) “Revolving Credit Lenders” shall
be deemed to include the Additional Revolving Credit Lenders and the Amendment No. 4 Additional Revolving Credit Lenders.” 
 (g)
Section 2.01(b) of the Credit Agreement is hereby replaced in its entirety with the following: 
 “Revolving
Credit Borrowings and Foreign Currency Borrowings. On the Amendment No. 4 Effective Date, in accordance with, and upon the terms and conditions set forth in, Amendment No. 4, the Existing Revolving Credit Commitment of each Tranche B
Revolving Credit Lender outstanding on such date shall either (i) continue as Tranche B Revolving Credit Commitment or (ii) be reclassified as a Tranche C 

  
 -3- 

 
Revolving Credit Commitment, in each case, on such date in amounts as set forth on Schedule 1.01B of Amendment No. 4. Subject to the terms and conditions set forth herein,
(i) each Tranche B Revolving Credit Lender severally agrees to make Tranche B Revolving Credit Loans from time to time, on any Business Day during the Tranche B Revolving Credit Commitment Period, in an aggregate amount not to exceed at any
time outstanding the amount of such Lender’s Tranche B Revolving Credit Commitment; provided that after giving effect to any Tranche B Revolving Credit Borrowing, (x) the aggregate Outstanding Amount of the Tranche B Revolving
Credit Loans shall not exceed the Tranche B Revolving Credit Facility and (y) the aggregate Outstanding Amount of the Tranche B Revolving Credit Loans of any Tranche B Revolving Credit Lender, plus such Lender’s Pro Rata Share of the
Outstanding Amount of all L/C Obligations in respect of such Lender’s Tranche B Revolving Credit Commitments, plus such Lender’s Pro Rata Share of the Outstanding Amount of all Swing Line Loans in respect of such Lender’s Tranche B
Revolving Credit Commitments, plus such Lender’s Pro Rata Share of the Outstanding Amount of Foreign Currency Loans in respect of such Lender’s Tranche B Revolving Credit Commitments, shall not exceed such Lender’s Tranche B Revolving
Credit Commitment; provided further that after giving effect to any Tranche B Revolving Credit Borrowing, the Borrower shall be in Pro Forma Compliance with the covenant set forth in Section 7.10, (ii) each Tranche C
Revolving Credit Lender severally agrees to make Tranche C Revolving Credit Loans from time to time, on any Business Day during the Tranche C Revolving Credit Commitment Period, in an aggregate amount not to exceed at any time outstanding the amount
of such Lender’s Tranche C Revolving Credit Commitment; provided that after giving effect to any Tranche C Revolving Credit Borrowing, (x) the aggregate Outstanding Amount of the Tranche C Revolving Credit Loans shall not exceed the
Tranche C Revolving Credit Facility and (y) the aggregate Outstanding Amount of the Tranche C Revolving Credit Loans of any Tranche C Revolving Credit Lender, plus such Lender’s Pro Rata Share of the Outstanding Amount of all L/C
Obligations in respect of such Lender’s Tranche C Revolving Credit Commitments, plus such Lender’s Pro Rata Share of the Outstanding Amount of all Swing Line Loans in respect of such Lender’s Tranche C Revolving Credit Commitments,
plus such Lender’s Pro Rata Share of the Outstanding Amount of Foreign Currency Loans in respect of such Lender’s Tranche C Revolving Credit Commitments, shall not exceed such Lender’s Tranche C Revolving Credit Commitment;
provided further that after giving effect to any Tranche C Revolving Credit Borrowing, the Borrower shall be in Pro Forma Compliance with the covenant set forth in Section 7.10 and (iii) each Foreign Currency Lender severally
agrees to make Foreign Currency Loans from time to time, on any Business Day during the applicable Revolving Credit Commitment Period, in an aggregate amount not to exceed at any time outstanding the amount of such Lender’s Foreign Currency
Sublimit; provided that after giving effect to any Foreign Currency Borrowing, (x) the aggregate Outstanding Amount of the Foreign Currency Loans shall not exceed the Maximum Foreign Currency Sublimit and (y) the Foreign Currency
Exposure of any Foreign Currency Lender would not exceed its Foreign Currency Sublimit; provided further that after giving to any Foreign Currency Borrowing, the Borrower shall be in Pro Forma Compliance with the covenant set forth in
Section 7.10. Within the limits of each Lender’s Revolving Credit Commitment, and 

  
 -4- 

 
subject to the other terms and conditions hereof, the Borrower may borrow under this Section 2.01(b), prepay under Section 2.05, and reborrow under this Section 2.01(b). Revolving
Credit Loans may be Base Rate Loans (other than Foreign Currency Loans) or Eurodollar Rate Loans, as further provided herein; provided that all Revolving Credit Loans made by each of the Lenders pursuant to the same Borrowing shall, unless
otherwise specifically provided herein, consist entirely of Revolving Credit Loans of the same Type. From the Amendment No. 4 Effective Date until the Maturity Date of the Tranche B Revolving Credit Facility, all Revolving Credit Loans shall be
made on a pro rata basis between the Tranche B Revolving Credit Facility and the Tranche C Revolving Credit Facility. Any Existing Revolving Credit Loans outstanding on the Amendment No. 4 Effective Date shall be continued as Revolving Credit
Loans hereunder; provided that (x) the Existing Revolving Credit Loans of each Tranche B Revolving Credit Lender continue as “Tranche B Revolving Credit Loans” and (y) the Existing Revolving Credit Loans of each Tranche C
Revolving Credit Lender will be reclassified as “Tranche C Revolving Credit Loans.” 
 (h) Section 2.01(c) of the Credit
Agreement is hereby replaced in its entirety with the following: 
 “Special Provisions Relating to Reclassifications of Existing
Revolving Credit Loans into Tranche B Revolving Credit Loans and Tranche C Revolving Credit Loans. 
 (i) Notwithstanding
anything to the contrary in this Agreement: 
 (A) on the Amendment No. 4 Effective Date, (i) Tranche B Revolving
Credit Loans and Tranche C Revolving Credit Loans shall be deemed made as Eurocurrency Rate Loans in an amount equal to the principal amount of the Existing Revolving Credit Loans continued as Tranche B Revolving Credit Loans or reclassified as
Tranche C Revolving Credit Loans, as applicable, pursuant to Section 2.01(b) that were outstanding as Eurocurrency Rate Loans at the time of reclassification (such Tranche B Revolving Credit Loans and Tranche C Revolving Credit Loans to
correspond in amount to the Existing Revolving Credit Loans so converted of a given Interest Period), (ii) Interest Periods for the Tranche B Revolving Credit Loans and the Tranche C Revolving Credit Loans described in clause (i) above
shall end on the same dates as the Interest Periods applicable to the corresponding Existing Revolving Credit Loans described in clause (i) above, and the Eurocurrency Rates applicable to such Tranche B Revolving Credit Loans and Tranche C
Revolving Credit Loans during such Interest Periods shall be the same as those applicable to the Existing Revolving Credit Loans so reclassified, and (iii) Tranche B Revolving Credit Loans and Tranche C Revolving Credit Loans shall be deemed
made as Base Rate Loans in amount equal to the principal amount of Existing Revolving Credit Loans continued as Tranche B Revolving Credit Loans or reclassified into Tranche C Revolving Credit Loans, respectively, pursuant to Section 2.01(b)
that were outstanding as Base Rate Loans at the time of conversion; and 
 (B) each Tranche B Revolving Credit Loan and
Tranche C Revolving Credit Loan shall continue to be entitled to all accrued and unpaid interest with respect to the Existing Revolving Credit Loan from which such Tranche B Revolving Credit Loan and Tranche C Revolving Credit Loan, was continued or
reclassified, as applicable, up to but excluding the Amendment No. 4 Effective Date. 

  
 -5- 

 (ii) On and after the Amendment No. 4 Effective Date, each Tranche B
Revolving Credit Lender and Extending Maturity Revolving Credit Lender which holds a Revolving Credit Note shall be entitled to surrender such Revolving Credit Note to the Borrower against delivery of a new Note completed in conformity with
Section 2.11 evidencing the Tranche B Revolving Credit Loans and Tranche C Revolving Credit Loans, respectively, into which the Existing Revolving Credit Loans of such Lender were either continued or reclassified, as applicable, on the
Amendment No. 4 Effective Date; provided that if any such Revolving Credit Note is not so surrendered, then from and after the Amendment No. 4 Effective Date such Note shall be deemed to evidence the Tranche B Revolving Credit Loans
or Tranche C Revolving Credit Loans, as applicable, into which the Existing Revolving Credit Loans theretofore evidenced by such Note have been continued or converted. 

(iii) No costs shall be payable under Section 3.05 in connection with transactions consummated under this
Section 2.01(c).” 
 (i) Section 2.03(a)(iv) is hereby replaced in its entirety with the following: 

“Notwithstanding anything to the contrary in Section 2.03(l), on the Amendment No. 4 Effective Date, the
participations in any outstanding Letters of Credit shall be reallocated so that after giving effect thereto the Tranche B Revolving Credit Lenders and the Tranche C Revolving Credit Lenders shall share ratably in the Revolving Credit Exposures in
accordance with the aggregate Revolving Credit Commitments (including both the Tranche B Revolving Credit Commitments and the Tranche C Revolving Credit Commitments from time to time in effect). Thereafter, until the Maturity Date of the Tranche B
Revolving Credit Facility, the participations in any new Letters of Credit shall be allocated in accordance with the aggregate Revolving Credit Commitments (including both the Tranche B Revolving Credit Commitments and the Tranche C Revolving Credit
Commitments); provided that, notwithstanding the foregoing, participations in any new Letters of Credit that have an expiry date after the Tranche B Revolving Credit Maturity Date shall be allocated to the Tranche C Revolving Credit Lenders
ratably in accordance with their Tranche C Revolving Credit Commitments. On the Maturity Date of the Tranche B Revolving Credit Facility, the participations in the outstanding Letters of Credit of the Tranche B Revolving Credit Lenders shall be
reallocated to the Tranche C Revolving Credit Lenders ratably in accordance with their Tranche C Revolving Credit Commitments but in any case, only to the extent the sum of the participations in the outstanding Letters of Credit of the Tranche B
Revolving Credit Lenders and Tranche C Revolving Credit Lenders does not exceed the total Tranche C Revolving Credit 

  
 -6- 

 
Commitments. Commencing with the Maturity Date of the Tranche B Revolving Credit Facility, the sublimit for Letters of Credit shall be agreed with the Tranche C Revolving Credit Lenders.”

 (j) The first sentence of Section 2.04(a)(i) of the Credit Agreement is hereby amended by replacing the words “the Maturity
Date for the Tranche B Revolving Credit Facility” with the words “the Maturity Date for the Tranche C Revolving Credit Facility”. 

(k) Section 2.04(a)(ii) of the Credit Agreement is hereby replaced in its entirety with the following: 

“Notwithstanding anything to the contrary in Section 2.04(g), from the Amendment No. 4 Effective Date to the
Maturity Date of the Tranche B Revolving Credit Facility, participations in Swing Line Loans shall be allocated in accordance with the aggregate Revolving Credit Commitment (including both the Tranche B Revolving Credit Commitments and the Tranche C
Revolving Credit Commitments); provided that, notwithstanding the foregoing, participations in any Swing Line Loans that are made on or after the fifth Business Day before the Tranche B Revolving Credit Maturity Date shall be allocated to the
Tranche C Revolving Credit Lenders ratably in accordance with their Tranche C Revolving Credit Commitments. On the Maturity Date of the Tranche B Revolving Credit Facility, the Pro Rata Share of the Outstanding Amount of Swing Line Loans of each
Tranche B Revolving Credit Lender shall be reallocated to the Tranche C Revolving Credit Lenders ratably in accordance with their Tranche C Revolving Credit Commitments but in any case, only to the extent the sum of the Pro Rata Share of the
Outstanding Amount of Swing Line Loans of the Tranche B Revolving Credit Lenders and Tranche C Revolving Credit Lenders does not exceed the total Tranche C Revolving Credit Commitments. If the reallocation described in the preceding sentence cannot,
or can only partially, be effected as a result of the limitations set forth herein, the Borrower shall within one Business Day, repay Swing Line Loans the participation interests in which cannot be reallocated to Tranche C Revolving Credit Lenders
pursuant to the prior sentence.” 
 (l) Clause (iv) of Section 2.06(a) is hereby replaced in its entirety with the following:

 “on or prior to the Maturity Date for the Tranche B Revolving Credit Commitments, any termination or reduction of Tranche C Revolving
Credit Commitments must be accompanied by a corresponding termination or pro rata reduction of the Tranche B Revolving Credit Commitments” 

(m) Except as already modified by the prior clauses in this Section 1, all references to “Tranche A Revolving Credit
Borrowing,” Tranche A Revolving Credit Commitment,” “Tranche A Revolving Credit Commitment Period,” “Tranche A Revolving Credit Facility,” “Tranche A Revolving Credit Lender” and “Tranche A Revolving
Credit Loan” in the Credit Agreement and the Loan Documents shall be deemed to be references to “Tranche 

  
 -7- 

 
C Revolving Credit Borrowing,” Tranche C Revolving Credit Commitment,” “Tranche C Revolving Credit Commitment Period,” “Tranche C Revolving Credit Facility,”
“Tranche C Revolving Credit Lender” and “Tranche C Revolving Credit Loan,” respectively (other than any such references contained in the body of Amendment No. 1). 

(n) Schedule 1.01B attached hereto shall be deemed to be Schedule 1.01B of the Credit Agreement. 

 

	 	Section 2.	Representations and Warranties. 

 The Borrower represents and warrants to the
Lenders as of the date hereof and the Amendment No. 4 Effective Date that: 
 (a) Before and after giving effect to this Amendment, the
representations and warranties of the Borrower and each other Loan Party contained in Article 5 of the Credit Agreement or any other Loan Document shall be true and correct in all material respects (and in all respects if qualified by materiality)
on and as of the date of such Credit Extension, except (i) to the extent that such representations and warranties specifically refer to an earlier date, in which case they shall be true and correct in all material respects (and in all respects
if qualified by materiality) as of such earlier date and (ii) that for purposes of this Section 2, the representations and warranties contained in Section 5.05(a) of the Credit Agreement shall be deemed to refer to the most recent
financial statements furnished prior to the Amendment No. 4 Effective Date or pursuant to Section 6.01(a) and Section 6.01(b) of the Credit Agreement. 

(b) At the time of and after giving effect to this Amendment, no Default or Event of Default has occurred and is continuing. 

 

	 	Section 3.	Extension of Certain of the Revolving Credit Commitments. 

 (a) Each Lender that
is a Revolving Credit Lender on the date hereof (an “Existing Revolving Credit Lender”) may elect (an “Electing Revolving Credit Lender”) to become a Tranche C Revolving Credit Lender and holder of a Tranche C
Revolving Credit Commitment subject to all of the rights, obligations and conditions thereto under the Credit Agreement by executing the appropriate signature page in accordance the provisions hereof and delivering to the Administrative Agent such
signature page (the “Extended Maturity Revolving Commitment Extension Election”) stating the amount of such Lender’s Revolving Credit Commitments outstanding immediately prior to the Amendment No. 4 Effective Date
(“Existing Revolving Credit Commitments”) that such Lender would like to extend and reclassify to Tranche C Revolving Credit Commitments upon the Amendment No. 4 Effective Date (the “Extended Maturity Revolving Credit
Commitment Amount”). 
 (b) On the Amendment No. 4 Effective Date, each Existing Revolving Credit Lender that has executed and
delivered a counterpart to this Amendment as an “Electing Revolving Credit Lender” (each, an “Tranche C Revolving Credit Lender”) and has designated on its signature page an aggregate principal amount of its Existing
Revolving Credit Commitments to be treated as an “Extended Amount” (an “Extended Maturity Revolving Credit  

  
 -8- 

 
Commitment”) shall have the Extended Amount of its Existing Revolving Credit Commitment automatically reclassified as a Tranche C Revolving Credit Commitment and a percentage of its
Existing Revolving Credit Loans equal to the percentage of its Existing Revolving Credit Commitments to be reclassified as Tranche C Revolving Commitment Loans automatically reclassified as Tranche C Revolving Credit Loans, respectively, for the
purpose of the Credit Agreement, and such Tranche C Revolving Credit Commitments and Tranche C Revolving Credit Loans shall be outstanding under the Credit Agreement on the terms and conditions set forth therein. 

(c) The Revolving Credit Commitments of any Revolving Credit Lender that are not Tranche C Revolving Credit Commitments shall continue to
constitute “Tranche B Revolving Credit Commitments,” and the Revolving Credit Loans of any Revolving Credit Lender that are not Tranche C Revolving Credit Loans shall continue to constitute “Tranche B Revolving Credit Loans,”
under the Credit Agreement and shall continue to be in effect and outstanding under the Credit Agreement on the terms and conditions set forth therein. 
  

	 	Section 4.	Conditions to Effectiveness. 

 This Amendment shall become effective on the date
on which each of the following conditions is satisfied: 
 (a) The Administrative Agent’s receipt of the following, each of which shall
be originals or facsimiles or electronic copies (followed promptly by originals) unless otherwise specified, and each executed by a Responsible Officer of the Borrower: 

(1) executed counterparts of this Amendment; and 

(2) a Note executed by the Borrower in favor of each Lender requesting a Note at least two (2) Business Days prior to the
Amendment No. 4 Effective Date, if any. 
 (b) The Administrative Agent’s receipt of the following, each of which shall be
originals or facsimiles or electronic copies (followed promptly by originals) unless otherwise specified; 
 (1) an opinion
of (x) Smith, Anderson, Blount, Dorsett, Mitchell & Jernigan, L.L.P. special counsel to the Borrower and (y) Wollmuth Maher & Deutsch LLP, special New York counsel to the Borrower, in each case, dated the Amendment
No. 4 Effective Date and addressed to each L/C Issuer, Arranger, the Administrative Agent and the Lenders, substantially in the form previously provided to the Administrative Agent; 

(2) (A) a certificate as to the good standing of each Loan Party as of a recent date, from the Secretary of State of the state
of its organization or a similar Governmental Authority and (B) a certificate of a Responsible Officer, secretary or assistant secretary of each Loan Party dated the Amendment No. 4 Effective

  
 -9- 

 
Date and certifying (I) to the effect that (w) attached thereto is a true and complete copy of the certificate or articles of incorporation or organization such Loan Party certified as
of a recent date by the Secretary of State of the state of its organization, or in the alternative (other than in the case of the Borrower), certifying that such certificate or articles of incorporation or organization have not been amended since
the Closing Date, and that such certificate or articles are in full force and effect, (x) attached thereto is a true and complete copy of the bylaws or operating agreements of each Loan Party as in effect on the Amendment No. 4 Effective
Date, or in the alternative (other than in the case of the Borrower), certifying that such bylaws or operating agreements have not been amended since the Amendment No. 3 Effective Date and (y) attached thereto is a true and complete copy
of resolutions duly adopted by the board of directors, board of managers or member, as the case may be, of each Loan Party authorizing the execution, delivery and performance of the Loan Documents to which such Loan Party is a party, and that such
resolutions have not been modified, rescinded or amended and are in full force and effect, and (II) as to the incumbency and specimen signature of each officer executing any Loan Document on behalf of any Loan Party and signed by another officer as
to the incumbency and specimen signature of the Responsible Officer, secretary or assistant secretary executing the certificate pursuant to this clause (B); 

(3) a certificate signed by a Responsible Officer of the Borrower certifying as to the satisfaction of the conditions set forth
in paragraphs (e) and (f) of this Section 4; and 
 (4) a Guarantor Consent and Reaffirmation, dated as of the
date hereof and executed by each of the Guarantors (the “Guarantor Consent and Reaffirmation Agreement”), whereby each of the Guarantors consents to this Amendment and reaffirms each Lien granted by it to the Administrative Agent
for the benefit of the Secured Parties under each of the Loan Documents to which it is a party. 
 (c) The Borrower shall have paid to the
Administrative Agent for the account of each Revolving Credit Lender that has Amendment No. 4 Additional Revolving Credit Commitments a fee equal to 0.25% of such Revolving Credit Lender’s Amendment No. 4 Additional Revolving Credit
Commitments. 
 (d) All fees and expenses due to the Administrative Agent, any Arranger and any Lender, and required to be paid on the
Amendment No. 4 Effective Date, including the fees set forth in clause (c) above, shall have been paid. 
 (e) No Default shall
exist, or would result from the Amendment and related Credit Extension or from the application of the proceeds therefrom. 

  
 -10- 

 (f) The representations and warranties of the Borrower and each other Loan Party contained in
Article 5 of the Credit Agreement and Section 2 of this Amendment or any other Loan Document shall be true and correct in all material respects (and in all respects if qualified by materiality) on and as of the date hereof, except (A) to
the extent that such representations and warranties specifically refer to an earlier date, in which case they shall be true and correct in all material respects (and in all respects if qualified by materiality) as of such earlier date and
(B) that for purposes of this Section 4, the representations and warranties contained in Section 5.05(a) of the Credit Agreement shall be deemed to refer to the most recent financial statements furnished prior to the Amendment
No. 4 Effective Date or pursuant to Section 6.01(a) and Section 6.01(b) of the Credit Agreement. 
 (g) To the extent
requested by an Amendment No. 4 Additional Revolving Credit Lender in writing not less than three (3) Business Days prior to the Amendment No. 4 Effective Date, the Administrative Agent shall have received, prior to the effectiveness
of this Amendment, all documentation and other information with respect to the Borrower required by regulatory authorities under applicable “know-your-customer” and anti-money laundering rules and regulations, including without limitation
the PATRIOT Act. 
 (h) The Administrative Agent shall have received the executed counterparts of the Joinder executed by the Borrower and
each Amendment No. 4 Additional Revolving Credit Lender. 
 The Administrative Agent shall notify the Borrower and the Lenders of the Amendment
No. 4 Effective Date and such notice shall be conclusive and binding. 
  

	 	Section 5.	Expenses. 

 The Borrower agrees to reimburse the Administrative Agent for its
reasonable out-of-pocket expenses incurred by the Administrative Agent in connection with this Amendment, including the reasonable fees, charges and disbursements of Cahill Gordon & Reindel llp, counsel for the Administrative Agent. 

 

	 	Section 6.	Counterparts. 

 This Amendment may be executed in any number of counterparts and
by different parties hereto on separate counterparts, each of which when so executed and delivered shall be deemed to be an original, but all of which when taken together shall constitute a single instrument. Delivery of an executed counterpart of a
signature page of this Amendment by facsimile transmission or electronic transmission shall be effective as delivery of a manually executed counterpart hereof. 
  

	 	Section 7.	Governing Law and Waiver of Right to Trial by Jury. 

 THIS AMENDMENT SHALL BE
GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK. The jurisdiction and waiver of right to trial by jury provisions in Section 10.16 and 10.17 of the Credit Agreement are incorporated herein by reference mutatis
mutandis. 

  
 -11- 

	 	Section 8.	Headings. 

 The headings of this Amendment are for purposes of reference only and
shall not limit or otherwise affect the meaning hereof. 
  

	 	Section 9.	Effect of Amendment. 

 Except as expressly set forth herein, this Amendment shall
not by implication or otherwise limit, impair, constitute a waiver of or otherwise affect the rights and remedies of the Lenders or the Agents under the Credit Agreement or any other Loan Document, and shall not alter, modify, amend or in any way
affect any of the terms, conditions, obligations, covenants or agreements contained in the Credit Agreement or any other provision of the Credit Agreement or any other Loan Document, all of which are ratified and affirmed in all respects and shall
continue in full force and effect. 

  
 -12- 

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

					
	QUINTILES TRANSNATIONAL CORP.
		
	By:	 	 /s/ Kevin K. Gordon

		 	Name:	 	Kevin K. Gordon
		 	Title:	 	Chief Financial Officer

  
 [Signature Page to
Amendment No. 4] 

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

					
	 JPMORGAN CHASE BANK, N.A., as Administrative Agent, L/C Issuer and Swing Line Lender

		
	By:	 	 /s/ Vanessa Chiu

		 	Name:	 	Vanessa Chiu
		 	Title:	 	Executive Director

  
 [Signature Page to
Amendment No. 4] 

 EXHIBIT A 

CONSENT TO AMENDMENT NO. 4 
 CONSENT TO
AMENDMENT NO. 4 (this “Consent”) to Amendment No. 4 (“Amendment”) to that certain Credit Agreement, dated as of June 8, 2011 (as amended, the “Credit Agreement”), by and among Quintiles
Transnational Corp. (the “Borrower”), JPMorgan Chase Bank, N.A., as Administrative Agent (the “Administrative Agent”), the Lenders from time to time party thereto and the other parties thereto. Unless otherwise
defined herein, terms defined in the Credit Agreement and used herein shall have the meanings given to them in the Amendment. 
 By executing this signature
page, the undersigned institution agrees (i) to the terms of the Amendment and (ii) on the terms and subject to the conditions set forth in the Amendment to extend the Maturity Date of its existing Revolving Credit Commitments and to
reclassify such existing Revolving Credit Commitments into Tranche C Revolving Credit Agreements in the amounts reflected below. 
  

			
	Name of Lender:
		
	By:	 	  

		 	Name:
		 	Title:
	
	For any Institution requiring a second signature line:
		
	By:	 	  

		 	Name:
		 	Title:

  

									
	 	  	Commitment	 
	 	  	Existing Amount	 	  	Extended Amount	 
	 Revolving Credit Commitment
	  	$	            	  	  	$	            	  
		  	  
	  
	 	  	  
	  
	 

 EXHIBIT B 

JOINDER AGREEMENT 

JOINDER AGREEMENT, dated as of November 7, 2014 (this “Agreement”), by and among PNC Bank, National Association,
Barclays Bank PLC, Citicorp North America, Inc., JPMorgan Chase Bank, N.A., Morgan Stanley Bank, N.A. and Wells Fargo Bank, N.A. (each, an “Amendment No. 4 Additional Revolving Credit Lender”, or an “Additional
Lender”, and, collectively, the “Amendment No. 4 Additional Revolving Credit Lenders”, or the “Additional Lenders”), Quintiles Transnational Corp. (the “Borrower”), and JPMORGAN CHASE
BANK, N.A. (the “Administrative Agent”). 
 RECITALS: 

WHEREAS, reference is hereby made to the Credit Agreement, dated as of June 8, 2011 (as amended, restated, extended, supplemented or
otherwise modified in writing from time to time, the “Credit Agreement”), among Quintiles Transnational Corp., a North Carolina corporation (the “Borrower”), each lender from time to time party thereto and JPMorgan
Chase Bank, N.A. , as Administrative Agent, Swing Line Lender and L/C Issuer (capitalized terms used but not defined herein having the meaning provided in the Credit Agreement (as amended by Amendment No. 4)); 

WHEREAS, subject to the terms and conditions of the Credit Agreement, the Borrower may establish New Revolving Credit Commitments (the
“Amendment No. 4 Additional Revolving Credit Commitments”, or the “Additional Commitments”) with existing Revolving Credit Lenders and/or Additional Lenders; and 

WHEREAS, subject to the terms and conditions of the Credit Agreement, Additional Lenders shall become Lenders pursuant to one or more Joinder
Agreements; 
 NOW, THEREFORE, in consideration of the premises and agreements, provisions and covenants herein contained, the parties
hereto agree as follows: 
 Each Additional Lender hereby agrees to provide the Additional Commitments set forth on its signature page
hereto pursuant to and in accordance with Section 2.14 of the Credit Agreement. The Additional Commitments provided pursuant to this Agreement shall be subject to all of the terms in the Credit Agreement and to the conditions set forth in
Section 2.14 of the Credit Agreement, and shall be entitled to all the benefits afforded by the Credit Agreement and the other Loan Documents, and shall, without limiting the foregoing, benefit equally and ratably from the Guarantees and
security interests created by the Collateral Documents. 
 Each Additional Lender, the Borrower and the Administrative Agent acknowledge and
agree that the Additional Commitments provided pursuant to this Agreement shall constitute New Revolving Credit Commitments for all purposes of the Credit Agreement and the other applicable Loan Documents. Each Additional Lender hereby agrees to
make its Additional Commitment available to the Borrower on the Amendment No. 4 Effective Date in accordance with Section 2.01(b) of the Credit Agreement. 

 Each Additional Lender (i) confirms that it has received a copy of the Credit Agreement and
the other Loan Documents (including Amendment No. 4), together with copies of the financial statements referred to therein and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to
enter into this Agreement; (ii) agrees that it will, independently and without reliance upon the Administrative Agent or any other Additional Lender or any other Lender or Agent and based on such documents and information as it shall deem
appropriate at the time, continue to make its own credit decisions in taking or not taking action under the Credit Agreement; (iii) appoints and authorizes the Administrative Agent to take such action as agent on its behalf and to exercise such
powers and discretion under the Credit Agreement and the other Loan Documents as are delegated to the Administrative Agent by the terms thereof, together with such powers and discretion as are reasonably incidental thereto; and (iv) agrees that
it will perform in accordance with their terms all of the obligations which by the terms of the Credit Agreement are required to be performed by it as a Lender. 

Upon (i) the execution of a counterpart of this Agreement by each Additional Lender, the Administrative Agent and the Borrower and
(ii) the delivery to the Administrative Agent of a fully executed counterpart (including by way of telecopy or other electronic transmission) hereof, each of the undersigned Additional Lenders shall become Lenders under the Credit Agreement and
shall have the respective Additional Commitment set forth on its signature page hereto, effective as of the Amendment No. 4 Effective Date. 

For each Additional Lender, delivered herewith to the Administrative Agent are such forms, certificates or other evidence with respect to
United States federal income tax withholding matters as such Additional Lender may be required to deliver to the Administrative Agent pursuant to Section 10.15 of the Credit Agreement. 

This Agreement may not be amended, modified or waived except by an instrument or instruments in writing signed and delivered on behalf of each
of the parties hereto. 
 This Agreement, the Credit Agreement and the other Loan Documents constitute the entire agreement among the
parties with respect to the subject matter hereof and thereof and supersede all other prior agreements and understandings, both written and verbal, among the parties or any of them with respect to the subject matter hereof. 

THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF
THE STATE OF NEW YORK. 
 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 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 would be enforceable. 

  
 B-2 

 This Agreement may be executed in counterparts, each of which shall be deemed to be an original,
but all of which shall constitute one and the same agreement. 

  
 B-3 

 IN WITNESS WHEREOF, each of the undersigned has caused its duly authorized officer to execute and
deliver this Joinder Agreement as of the date first written above. 
  

			
	 [NAME OF AMENDMENT NO. 4 ADDITIONAL REVOLVING CREDIT LENDER]

		
	By:	 	  

		 	Name:
		 	Title:
	
	 If a second signature is necessary:

		
	By:	 	  

		 	Name:
		 	Title:

  

					
	Amendment No. 4 Additional Revolving Credit Commitment:
	
	$                    

  
 [SIGNATURE PAGE TO
JOINDER AGREEMENT] 

 
			
	QUINTILES TRANSNATIONAL CORP.
		
	By:	 	  

		 	Name:
		 	Title:

 [SIGNATURE PAGE TO JOINDER AGREEMENT] 

			
	Accepted:
	
	 JPMORGAN CHASE BANK, N.A.,
 as
Administrative Agent

		
	By:	 	  

		 	Name:
		 	Title:

 [SIGNATURE PAGE TO JOINDER AGREEMENT] 

 Schedule 1.01B 

Revolving Credit Commitments 
  

													
	 Lender
	  	Tranche B Revolving
Credit Commitment	 	  	Tranche C Revolving
Credit Commitment	 	  	Foreign Currency
Sublimit1	 
	 JPMorgan Chase Bank, N.A.
	  				  	$	72,000,000.00	  	  	$	75,000,000.00	  
	 Wells Fargo Bank, N.A.
	  				  	$	65,500,000.00	  	  			
	 PNC Bank, National Association
	  				  	$	65,000,000.00	  	  			
	 Barclays Bank PLC
	  				  	$	56,000,000.00	  	  			
	 Citicorp North America, Inc.
	  				  	$	52,000,000.00	  	  			
	 Morgan Stanley Bank, N.A.
	  				  	$	52,000,000.00	  	  			
	 Royal Bank of Canada
	  				  	$	15,000,000.00	  	  			
	 UBS Loan Finance LLC
	  	$	10,000,000.00	  	  				  			
	 Raymond James Bank, FSB
	  	$	7,500,000.00	  	  				  			
	 Allied Irish Banks plc
	  				  	$	5,000,000.00	  	  			
		  	  
	  
	 	  	  
	  
	 	  	  
	  
	 
	 Total:
	  	$	17,500,000.00	  	  	$	382,500,000.00	  	  	$	75,000,000.00	  
		  	  
	  
	 	  	  
	  
	 	  	  
	  
	 

  

	1 	Foreign Currency Sublimit is a sublimit under the Revolving Credit Commitment.

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