Document:

Exhibit 10.16

 

Director RSA

 

NEXTNAV
INC. 

2021
OMNIBUS INCENTIVE PLAN

 

RESTRICTED
Stock Agreement

COVER
SHEET

 

NextNav
Inc., a Delaware corporation (the “Company”), hereby grants shares of the Company’s common stock, par value
$0.0001 per share (the “Stock”), to the Grantee named below, subject to the vesting conditions set forth below (the
“Restricted Shares”). Additional terms and conditions of the Restricted Shares are set forth on this cover sheet and
in the attached Restricted Stock Agreement (together, the “Agreement”) and in the NextNav Inc. 2021 Omnibus Incentive
Plan (as it has been or may be amended and/or restated from time to time, the “Plan”).

 

	Grant Date:	 	 
	 	 	 
	Name of Grantee:	 	 
	 	 	 
	Number of Restricted Shares:	 	 
	 	 	 
	Vesting Commencement Date:	 	 
	 	 	 
	Vesting Schedule:	 	 

  

By
your electronic acknowledgement of this Agreement, you agree to all of the terms and conditions described in the Agreement and in the
Plan (a copy of which has been made available to you and will be provided on request). You acknowledge that you have carefully reviewed
the Plan and agree that the Plan shall control in the event any provision of this Agreement should appear to be inconsistent with the
Plan. You must accept your award no later than 5 pm Eastern Time, five (5) business days prior to the first vesting date or your entire
award will be cancelled.

 

	Grantee:	 	 	Date:	 	 
	 	(Signature)	 	 	 	 
	 	 	 	 	 	 
	Company:	 	 	Date:	 	 
	 	(Signature)	 	 	 	 
	 

    Name:
	 	 	 	 	 
	 	 	 	 	 	 
	Title:	 	 	 	 	 

 

Attachment

 

This
is not a stock certificate or a negotiable instrument.

 

    

     

    

 

Nextnav
INC.

2021
oMNIBUS INCENTIVE PLAN 

 

RESTRICTED
Stock Agreement

 

	Restricted
    Stock 	This
    Agreement evidences an award of Restricted Shares in the number set forth on the cover sheet and subject to the terms and conditions
    set forth in the Agreement and the Plan. 
	 	 
	Issuance	The
    Company will issue your Restricted Shares in the name set forth on the cover sheet as of the Grant Date.

                                                                                                     

    The
    issuance of the Restricted Shares will be evidenced in such a manner as the Company, in its discretion, deems appropriate, including,
    without limitation, (i) book-entry registration or (ii) issuance of one or more share certificates, with any unvested Restricted
    Shares bearing the appropriate restrictions imposed by this Agreement. As your interest in the Restricted Shares vests, the recordation
    of the number of Restricted Shares attributable to you will be appropriately modified if necessary.

	 	 
	Vesting	Your
    right to the Restricted Shares will vest in accordance with the vesting schedule set forth on the cover sheet of this Agreement,
    so long as you continue in Service on the applicable vesting date.

                                                                                                     

    You
    cannot vest in more than the number of shares of Stock set forth on the cover sheet of this Agreement.

     

    Notwithstanding
    the vesting schedule set forth on the cover sheet of this Agreement, your unvested Restricted Shares will become one hundred percent
    (100%) vested: (i) upon your termination of Service due to your death or Disability, (ii) upon your termination of Service by the
    Company without Cause, and (ii) subject to your continued Service as of immediately prior to the consummation of a Change in Control,
    upon the consummation of a Change in Control. No additional Restricted Shares will vest after your Service has terminated for any
    reason.

     

    For
    purposes of this Agreement, “Cause” means, as determined by a majority of the disinterested members of the Board: (a)
    false or fraudulent misrepresentation inducing your appointment; (b) your repeated failure to participate in Board meetings on a
    regular basis despite having received proper notice of the meetings in advance; (c) your commission of any act of theft, fraud, or
    material dishonesty involving the property or affairs of the Company or its Affiliates or your breach of fiduciary duty; (d) conviction
    of, or plea of guilty or nolo contendere to, any misdemeanor involving moral turpitude or any felony, other than a traffic violation;
    or (e) gross negligence or willful misconduct in the performance of your Service to the Company and its Affiliates.

	 	 
	Forfeiture
    of Unvested Restricted Shares	Unless
    the termination of your Service triggers accelerated vesting or other treatment of your Restricted Shares pursuant to the terms of
    this Agreement, the Plan, a written compensatory agreement between you and the Company or an Affiliate, or a written compensatory
    program or policy of the Company or an Affiliate otherwise applicable to you, you will immediately and automatically forfeit to the
    Company all of your unvested Restricted Shares in the event your Service terminates for any reason.

    

 

    2

     

    

 

	Code
    Section 83(b) Election	Under
    Code Section 83, the difference between the Purchase Price paid for the Restricted Shares and their Fair Market Value on the date
    any forfeiture restrictions applicable to such shares lapse will be reportable as ordinary income at that time. For this purpose,
    “forfeiture restrictions” include the forfeiture of unvested Restricted Shares described above. You may elect
    to be taxed at the time the shares of Restricted Stock are acquired, rather than when such shares cease to be subject to such forfeiture
    restrictions, by filing an election under Code Section 83(b) with the Internal Revenue Service within thirty (30) days after the
    Grant Date. You will have to make a tax payment to the extent the Purchase Price is less than the Fair Market Value of the shares
    on the Grant Date. No tax payment will have to be made to the extent the Purchase Price is at least equal to the Fair Market Value
    of the shares on the Grant Date. Failure to make this filing within the thirty (30)-day period will result in the recognition of
    ordinary income by you (in the event the Fair Market Value of the shares as of the vesting date exceeds the Purchase Price) as the
    forfeiture restrictions lapse.

                                                                                                                 

    YOU
    ACKNOWLEDGE THAT IT IS YOUR SOLE RESPONSIBILITY, AND NOT THE COMPANY’S, TO FILE A TIMELY ELECTION UNDER CODE SECTION 83(b),
    EVEN IF YOU REQUEST THE COMPANY OR ITS REPRESENTATIVES TO MAKE THIS FILING ON YOUR BEHALF. YOU ARE RELYING SOLELY ON YOUR OWN ADVISORS
    WITH RESPECT TO THE DECISION AS TO WHETHER OR NOT TO FILE ANY CODE SECTION 83(b) ELECTION.

	 	 
	Withholding
    	You
    agree as a condition of this Agreement that you will make acceptable arrangements to pay any withholding or other taxes that may
    be due relating to the grant and vesting of, or other payment with respect to, the Restricted Shares. In the event that the Company
    or any Affiliate determines that any federal, state, local, or foreign tax or withholding payment is required relating to the Restricted
    Shares, the Company or any Affiliate shall have the right, in the Committee’s discretion, to (i) require you to tender a cash
    payment, (ii) deduct the tax or withholding payment from payments of any kind otherwise due to you, (iii) permit or require you to
    enter into a “same day sale” commitment with a broker-dealer that is a member of the Financial Industry Regulatory Authority
    (a “FINRA Dealer”), whereby you irrevocably elect to sell a portion of the shares of Stock resulting from the
    vesting of the Restricted Shares to satisfy withholding obligations and whereby the FINRA Dealer irrevocably commits to forward the
    proceeds necessary to satisfy the withholding obligations directly to the Company or any Affiliate, or (iv) withhold or cancel shares
    of Stock otherwise vesting under this Agreement to meet such obligations, provided that, to the extent required to avoid adverse
    accounting consequences to the Company, the shares of Stock so withheld or cancelled will have an aggregate Fair Market Value not
    exceeding the minimum amount of tax required to be withheld by Applicable Laws.

                                                                                                     

    You
    agree that the Company or any Affiliate shall be entitled to use whatever method it may deem appropriate to recover such taxes. You
    further agree that the Company or any Affiliate may, as it reasonably considers necessary, amend or vary this Agreement to facilitate
    such recovery of taxes.

	 	 
	Transferability
    

     
	To
    the extent not yet vested, your Restricted Shares may not be sold, assigned, transferred, pledged, hypothecated, or otherwise encumbered,
    whether by operation of law or otherwise, nor may the Restricted Shares be made subject to execution, attachment, or similar process.  If
    you attempt to do any of these things, you will immediately and automatically forfeit your Restricted Shares. 

 

    3

     

    

 

	Trading
    Restrictions

     

     
	In
    the event that any Restricted Shares are scheduled to vest on a date (the “Original Vesting Date”) that does
    not occur: (i) during an open “window period” applicable to you, as determined by the Company in accordance with the
    Company’s then-effective policy on trading in Company securities (the “Policy”); (ii) on a date on
    which you are permitted to sell shares of Stock pursuant to a written plan that meets the requirements of Rule 10b5-1 under the Exchange
    Act, as determined by the Company in accordance with the Policy; or (iii) on a date when you are otherwise permitted to sell
    shares of Stock on the open market, then such shares will not vest on such Original Vesting Date and will instead vest as of the
    earlier of (A) the first date you are not subject to any such policy or restriction and (B) the later of (1) the last day of the
    calendar year in which such vesting would otherwise have been made, and (2) a date that is immediately prior to the expiration of
    two and one-half months following the date such vesting would otherwise have occurred.  
	 	 
	Stockholder
    Rights	You
                                            have the right to vote the Restricted Shares and to receive any dividends declared or paid
                                            on the Restricted Shares.  Any stock distributions you receive with respect to unvested
                                            Restricted Shares as a result of any stock split, stock dividend, combination of shares,
                                            or other similar transaction shall be deemed to be a part of the grant of Restricted Shares
                                            and subject to the same conditions and restrictions applicable thereto.  No adjustments
                                            to your Stock shall be made for dividends, distributions, or other rights on or with respect
                                            to the Stock generally if the applicable record date for any such dividend, distribution,
                                            or right occurs before your certificate is issued (or an appropriate book entry is made),
                                            except as described in the Plan.

                                                                                                     

    You
    may at any time obtain a copy of the prospectus related to your Award pursuant to this Agreement by accessing the prospectus at [Address]. 
    Additionally, you may receive a paper copy of the prospectus free of charge from the Company by contacting [Contact],
    [Address], [Telephone Number], and [Email Address].

	 	 
	No
    Right to Continued Service	This
    Agreement and the Restricted Shares evidenced by this Agreement do not give you the right to expectation of Service with, or to continue
    in the Service of, the Company or any Affiliate. 
	 	 
	Corporate
    Activity	Your
    Restricted Shares shall be subject to the terms of any applicable agreement of merger, liquidation, or reorganization in the event
    the Company is subject to such corporate activity, consistent with Section 16 of the Plan.

    

	 	 
	Clawback	The
    Restricted Shares are subject to mandatory repayment by you to the Company in the circumstances specified in the Plan, including
    to the extent you are or in the future become subject to any Company “clawback” or recoupment policy or Applicable Laws
    that require the repayment by you to the Company of compensation paid by the Company to you in the event that you fail to comply
    with, or violate, the terms or requirements of such policy or Applicable Laws.

     

	Governing
    Law & Venue	You
    understand and agree that the Company is a Delaware corporation and that your Restricted Shares may be part of a contemporaneous
    grant of many similar awards to individuals located in numerous jurisdictions. You agree that this Agreement and the Plan shall be
    governed by, and construed and interpreted in accordance with, the laws of the State of Delaware, United States of America, other
    than any conflicts or choice of law rule or principle that might otherwise refer construction or interpretation of this Agreement
    to the substantive law of any other jurisdiction.

                                                          

    The
    exclusive venue for any and all disputes arising out of or in connection with this Agreement shall be New Castle County, Delaware,
    United States of America, and the courts sitting exclusively in New Castle County, Delaware, United States of America shall have
    exclusive jurisdiction to adjudicate such disputes. Each party hereby expressly consents to the exercise of jurisdiction by such
    courts and hereby irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do so, any objection
    that it may now or hereafter have to such laying of venue (including the defense of inconvenient forum).

 

    4

     

    

 

	Compliance
    with Foreign Exchange Laws	Local
foreign exchange laws may affect your Restricted Shares or the vesting of your Restricted Shares. You are responsible for obtaining any
exchange control approval that may be required in connection with such events. Neither the Company nor any of its Affiliates will be
responsible for obtaining such approvals or liable for the failure on your part to obtain or abide by such approvals. This statement
does not constitute legal or tax advice upon which you should rely. You should consult with your personal legal and tax advisers to ensure
your compliance with local laws. You agree to comply with all Applicable Laws and pay any and all applicable taxes associated with the
grant of, vesting of, or otherwise relating to the Restricted Shares.

	 	 
	The
    Plan 

    

    	The
    text of the Plan is incorporated into this Agreement by reference.

                                                                                                     

    Certain
    capitalized terms used in this Agreement are defined in the Plan and have the meaning set forth in the Plan.

     

    This
    Agreement and the Plan constitute the entire understanding between you and the Company regarding the Restricted Shares. Any prior
    agreements, commitments, or negotiations concerning the Restricted Shares are superseded, except that any written employment, consulting,
    confidentiality, non-competition, non-solicitation, and/or severance agreement between you and the Company or an Affiliate, as applicable,
    shall supersede this Agreement with respect to its subject matter.

     

	Data
    Privacy	As
    a condition of the grant of the Restricted Shares, you consent to the collection, use, and transfer of personal data as described
    in this paragraph. You understand that the Company and its Affiliates hold certain personal information about you, including your
    name, home address and telephone number, date of birth, social security number or equivalent, compensation, nationality, job title,
    ownership interests or directorships held in the Company or its Affiliates, and details of all equity awards or other entitlements
    to shares of Stock awarded, cancelled, exercised, vested or unvested (“Data”). You further understand
    that the Company and its Affiliates will transfer Data amongst themselves as necessary for the purposes of implementation, administration,
    and management of your participation in the Plan, and that the Company and any of its Affiliates may each further transfer Data to
    any third parties assisting the Company in the implementation, administration, and management of the Plan.  You understand
    that these recipients may be located in the European Economic Area or elsewhere, such as the United States.  You authorize
    them to receive, possess, use, retain, and transfer such Data as may be required for the administration of the Plan or the holding
    of shares of Stock on your behalf, in electronic or other form, for the purposes of implementing, administering, and managing your
    participation in the Plan, including any requisite transfer to a broker or other third party with whom you may elect to deposit any
    shares of Stock acquired under the Plan. You understand that you may, at any time, view such Data or require any necessary amendments
    to the Data.

 

	Notice
    Delivery	By
    accepting the Restricted Shares, you agree that notices may be given to you in writing either at your home or mailing address as
    shown in the records of the Company or an Affiliate or by electronic transmission (including e-mail or reference to a website or
    other URL) sent to you through the normal process employed by the Company or the Affiliate, as applicable, for communicating electronically
    with its directors.
	 	 
	Code
    Section 409A	The
    grant of shares of Restricted Stock under this Agreement is intended to comply with the “restricted property” exemption
    from Code Section 409A (“Section 409A”) and, accordingly, to the
    maximum extent permitted, this Agreement shall be interpreted and administered to be in compliance with the exemption. Notwithstanding
    anything to the contrary in the Plan or this Agreement, none of the Company, its Affiliates, the Board, or the Committee will have
    any obligation to take any action to prevent the assessment of any excise tax or penalty on you under Section 409A, and none of the
    Company, its Affiliates, the Board, or the Committee will have any liability to you for such tax or penalty.

                                                          

    

By
accepting this Agreement, you agree to all of

the terms and conditions described above and in the Plan.

 

 

5Document

Exhibit 4.5

DESCRIPTION OF THE REGISTRANT’S SECURITIES
REGISTERED PURSUANT TO SECTION 12 OF THE
SECURITIES EXCHANGE ACT OF 1934
The following summary of the capital stock of Hillenbrand, Inc. does not purport to be complete and is qualified in its entirety by reference to our restated and amended articles of incorporation (as amended, our “Articles of Incorporation”), our amended and restated code of by-laws (our “By-Laws”, and together with our Articles of Incorporation, our “organizational documents”), each of which are incorporated by reference as an exhibit to the Annual Report on Form 10-K of which this Exhibit is a part, and certain provisions of Indiana law. Unless the context requires otherwise, all references to “we”, “us,” “our” and “Hillenbrand” in this section refer solely to Hillenbrand, Inc. and not to our subsidiaries.

General

Our authorized capital structure consists of:

•199,000,000 shares of common stock, without par value: and
•1,000,000 shares of preferred stock

As of November 11, 2021, there were 72,234,037 shares of common stock and no shares of preferred stock issued and outstanding.

Common Stock

Voting

The holders of our common stock are entitled to one vote for each share held of record on each matter submitted to a vote of shareholders, including the election of directors, and do not have any right to cumulate votes in the election of directors.

Dividends

Subject to the rights and preferences of the holders of any series of preferred stock which may at the time be outstanding, holders of our common stock are entitled to share equally such dividends as our board of directors may declare out of funds legally available.

Liquidation Rights

The holders of our common stock are entitled to receive our net assets upon dissolution except as may otherwise be provided in an amendment to our Articles of Incorporation setting out the terms for a series of preferred stock.

Other matters

Holders of our common stock have no conversion, preemptive or other subscription rights and there are no redemption rights or sinking fund provisions with respect to the common stock.

Our common stock is traded on the New York Stock Exchange under the symbol “HI.”

The transfer agent and registrar for our common stock is Computershare Trust Company, N.A.

Preferred Stock

We are authorized to issue up to 1,000,000 shares of preferred stock in one or more series. Our Articles of Incorporation authorize our board of directors to fix the rights, preferences, privileges and restrictions granted to or imposed upon the preferred stock, including voting rights, dividend rights, conversion rights, terms of redemption, liquidation preference, sinking fund terms, subscription rights and the number of shares constituting any series or the designation of a series. All shares of preferred stock of the same series must be identical with each other in all respects. 

If we issue preferred stock, we will provide specific information at that time about the particular class or series being issued. This information will include some or all of the following:

•the serial designation and the number of shares in that series;

•the dividend rate or rates, whether dividends shall be cumulative and, if so, from what date, the payment date or dates for dividends, and any participating or other special rights with respect to dividends;

•any voting powers of the shares;

•whether the shares will be redeemable and, if so, the price or prices at which, and the terms and conditions on which the shares may be redeemed;

•the amount or amounts payable upon the shares in the event of voluntary or involuntary liquidation, dissolution or winding up of us prior to any payment or distribution of our assets to any class or classes of our stock ranking junior to the preferred stock;

•whether the shares will be entitled to the benefit of a sinking or retirement fund and, if so entitled, the amount of the fund and the manner of its application, including the price or prices at which the shares may be redeemed or purchased through the application of the fund;

•whether the shares will be convertible into, or exchangeable for, shares of any other class or of any other series of the same or any other class of our stock or the stock of another issuer, and if so convertible or exchangeable, the conversion price or prices, or the rates of exchange, and any adjustments to the conversion price or rates of exchange at which the conversion or exchange may be made, and any other terms and conditions of the conversion or exchange; and

•any other preferences, privileges and powers, and relative, participating, optional, or other special rights, and qualifications, limitations or restrictions, as our board of directors may deem advisable and as shall not be inconsistent with the provisions of our Articles of Incorporation.

Depending on the rights prescribed for a series of preferred stock, the issuance of preferred stock could have an adverse effect on the voting power of the holders of common stock and could adversely affect holders of common stock by delaying or preventing a change in control of us, making removal of 

our present management more difficult or imposing restrictions upon the payment of dividends and other distributions to the holders of common stock.

The preferred stock, when issued, will be fully paid and non-assessable. Unless the certificate of designation for a series of preferred stock provides otherwise, the preferred stock will have no preemptive rights to subscribe for any additional securities which may be issued by us in the future. The transfer agent and registrar for the preferred stock will be specified in the applicable prospectus supplement.

Certain Anti-Takeover Matters

Certain provisions of our organizational documents, as well as certain provisions of the Indiana Business Corporation Law (the “IBCL”), may have the effect of encouraging persons considering unsolicited tender offers or other unilateral takeover proposals to negotiate with our board of directors rather than pursue non-negotiated takeover attempts. These provisions include:

Classified Board of Directors

Our Articles of Incorporation and By-Laws provide for our board of directors to be composed of not fewer than seven directors and to be divided into three classes of directors, as nearly equal in number as possible, serving staggered terms. Our By-Laws also provide that our board of directors shall not consist of more than thirteen directors. Approximately one-third of our board will be elected each year. Under our Articles of Incorporation, our directors can be removed only for cause and only upon the affirmative vote of the holders of at least two-thirds of the voting power of all shares of our capital stock entitled to vote generally in the election of directors, voting together as a single class. The provisions for our classified board and certain other board of director matters may be amended, altered or repealed only upon the affirmative vote of the holders of at least two-thirds of the voting power of all shares of our capital stock entitled to vote generally in the election of directors, voting together as a single class.

Under Chapter 23 of the IBCL, a corporation with a class of voting shares registered with the SEC under Section 12 of the Exchange Act must have a classified board unless the corporation adopted a by-law expressly electing not to be governed by this provision by the later of July 31, 2009 or 30 days after the corporation’s voting shares are registered under Section 12 of the Exchange Act. The IBCL now also provides that such a corporation governed by this provision on July 1, 2021 may adopt a by-law expressly electing not to be governed by this provision.  We adopted a by-law electing not to be subject to this mandatory requirement on July 15, 2009. 

The provision for a classified board in our Articles of Incorporation could prevent a party that acquires control of a majority of the outstanding voting stock from obtaining control of our board until the second annual shareholders’ meeting following the date the acquiror obtains the controlling stock interest. The classified board provision could have the effect of discouraging a potential acquiror from making a tender offer for our shares or otherwise attempting to obtain control of us and could increase the likelihood that our incumbent directors will retain their positions.

We believe that a classified board helps to assure the continuity and stability of our board and our business strategies and policies as determined by our board, because a majority of the directors at any given time will have prior experience on our board. The classified board provision also helps to ensure that our board, if confronted with an unsolicited proposal from a third party that has acquired a block of our voting stock, will have sufficient time to review the proposal and appropriate alternatives and to seek the best available result for all shareholders.

Our directors will serve three-year terms. At each annual meeting of shareholders, a class of directors will be elected for a three-year term to succeed the directors of the same class whose terms are then expiring.

Our Articles of Incorporation further provide that vacancies or newly created directorships in our board may only be filled by the vote of a majority of the directors then in office, and any director so chosen will hold office until the next annual meeting of shareholders.

At any annual or special meeting of directors, our By-Laws require the presence of a majority of the duly elected and qualified members then occupying office as a quorum. Our Articles of Incorporation provide for a quorum of one-third of such members unless the By-Laws otherwise specify (which they do).

Removal of Directors Only for Cause; Filling Vacancies

Our organizational documents provide that, subject to the right of holders of any series of preferred stock to elect directors, any director may be removed from office, but only for cause and only by the affirmative vote of the holders of at least 2/3 of the combined voting power of all of the shares of our capital stock entitled to vote generally in the election of directors, voting together as a single class. Our organizational documents also provide that, subject to the right of holders of any series of preferred stock to elect directors, any newly created directorships resulting from an increase in the number of directors and any vacancy on the board shall be filled by the affirmative vote of a majority of the remaining directors then in office. Any director elected in accordance with the preceding sentence will hold office for a term expiring at the next annual meeting of shareholders and until such director’s successor is duly elected and qualified. No decrease in the number of directors constituting the board of directors shall shorten the term of any incumbent director.

The director removal and vacancy provisions restrict the ability of a third party to remove incumbent directors and simultaneously gain control of the board of directors by filling the vacancies created by removal with its own nominees.

Shareholder Proposals

At any meeting of shareholders, only business that is properly brought before the meeting will be conducted. To be properly brought before a meeting of shareholders, business must be specified in the notice of the meeting, brought before the meeting by or at the direction of our board of directors, our chairman of the board or our chief executive officer or properly brought before the meeting by a shareholder.

For business to be properly brought before any meeting of shareholders by a shareholder, the shareholder must have given timely notice thereof in writing to our secretary at our principal place of business. To be timely, a shareholder’s notice must be delivered to or mailed and received by our secretary not later than 100 days prior to the anniversary of the date of the immediately preceding annual meeting which was specified in the initial formal notice of such meeting (but if the date of the forthcoming annual meeting is more than 30 days after such anniversary date, such written notice will also be timely if received by our secretary by the later of 100 days prior to the forthcoming meeting date and the close of business 10 days following the date on which we first make public disclosure of the meeting date).

A shareholder’s notice must set forth, as to each matter the shareholder proposes to bring before the meeting:

•a brief description of the business desired to be brought before the meeting;

•the name and address of the shareholder proposing such business;

•the class and number of shares that are owned beneficially by the shareholder proposing such business; 

•any interest of the shareholder in such business;

•a description of any agreement, arrangement or understanding (including, without limitation, any derivative or short positions, profit interests, options, hedging transactions, and borrowed or loaned shares) that has been entered into as of the date of the shareholder’s notice by, or on behalf of, the Shareholder or any of its affiliates or associates, the effect or intent of which is to mitigate loss to, manage risk or benefit of share price changes for, or increase or decrease the voting power of the shareholder or any of its affiliates or associates with respect to common stock; and 

•an undertaking by the shareholder to notify the corporation in writing of any change in the information called for the preceding three bullets as of the record date for such meeting, by notice received by the secretary of the corporation not later than the 10th day following such record date, and thereafter by notice so given and received within two business days of any change in such information, and, in any event, as of the close of business of the day preceding the meeting date.

Shareholder Nomination of Candidates for Election to Our Board

Our By-Laws provide that nominations of persons for election to our board of directors may be made at any meeting of shareholders by or at the direction of the board of directors or by any shareholder entitled to vote for the election of members of the board of directors at the meeting. For nominations to be made by a shareholder, the shareholder must have given timely notice thereof in writing to our secretary at our principal place of business and any nominee must satisfy the qualifications established by the board of directors from time to time as contained in the proxy statement for our immediately preceding annual meeting or posted on our website. To be timely, a shareholder’s nomination must be delivered to or mailed and received by the secretary not later than (i) in the case of the annual meeting, 100 days prior to the anniversary of the date of the immediately preceding annual meeting which was specified in the initial formal notice of such meeting (but if the date of the forthcoming annual meeting is more than 30 days after such anniversary date, such written notice will also be timely if received by the secretary by the later of 100 days prior to the forthcoming meeting date and the close of business 10 days following the date on which we first make public disclosure of the meeting date) and (ii) in the case of a special meeting, the close of business on the tenth day following the date on which we first make public disclosure of the meeting date.

The notice given by a shareholder must set forth:

•the name and address of the shareholder who intends to make the nomination and of the person or persons to be nominated;
•a representation that the shareholder is a holder of record, setting forth the shares so held, and intends to appear in person or by proxy as a holder of record at the meeting to nominate the person or persons specified in the notice;

•a description of any agreement, arrangement or understanding (including, without limitation, any derivative or short positions, profit interests, options, hedging transactions, and borrowed or loaned shares) that has been entered into as of the date of the shareholder’s notice by, or on behalf of, the shareholder or any of its affiliates or associates, the effect or intent of which is to mitigate loss to, manage risk or benefit of share price changes for, or increase or decrease the voting power of the shareholder or any of its affiliates or associates with respect to common stock;

•a description of all arrangements or understandings between such shareholder and each nominee proposed by the shareholder and any other person or persons (identifying such person or persons) pursuant to which the nomination or nominations are to be made by the shareholders;

•such other information regarding each nominee proposed by such shareholder as would be required to be included in a proxy statement filed pursuant to the proxy rules of the SEC;

•the consent in writing of each nominee to serve as a director if so elected;

•a description of the qualifications of such nominee to serve as a director; and 

•an undertaking by the shareholder to notify the corporation in writing of any change in the information called for by the second, third and fourth bullets above as of the record date for such meeting, by notice received by the secretary of the corporation not later than the 10th day following such record date, and thereafter by notice so given and received within two business days of any change in such information, and, in any event, as of the close of business of the day preceding the meeting date.

Shareholder Action; Special Meetings of Shareholders

Our Articles of Incorporation provide that shareholder action required or permitted to be taken at any meeting of the shareholders may be taken without a meeting if a written consent setting forth the action so taken is signed by all the holders of our issued and outstanding capital stock entitled to vote thereon. Our By-Laws provide that special meetings of the shareholders can only be called by our board of directors, our president or shareholders holding not less than one-fourth of the outstanding shares of our common stock.

Restrictions on Certain Related Party Business Combination Transactions

Under our Articles of Incorporation, any contract or other transaction between us and (i) any of our directors or (ii) any legal entity (A) in which any of our directors has a material financial interest or is a general partner or (B) of which any of our directors is a director, officer or trustee of such other legal entity (collectively, a “Conflict Transaction”) is only valid if (1) the material facts of such Conflict Transaction and our director’s interest in such were disclosed to or known by our board of directors, any 

of our committees with authority to act on the Conflict Transaction, or our shareholders entitled to vote on such Conflict Transaction and (2) the Conflict Transaction was properly authorized, approved or ratified by, as applicable:

•Our board of directors or authorized committee, if it receives the affirmative vote of a majority of the directors who have no interest in the Conflict Transaction; provided, however, that the vote not be of a single director; and

•Our shareholders, if it receives the vote of a majority of the shares entitled to be counted, in which shares owned or voted under the contract of any director who or legal entity that has an interest in the Conflict Transaction may be counted. 

Amendment of Articles and Bylaws

Except as otherwise expressly provided in our Articles of Incorporation, any proposal to amend, alter, change or repeal any provision of our Articles of Incorporation, except as may be provided in the terms of any preferred stock, requires approval by our board of directors and our shareholders. In general, such a proposal would be approved by our shareholders if the votes cast favoring the proposal exceed the votes cast opposing the proposal at a meeting at which a quorum is present, except that any amendment or repeal of the provisions of our Articles of Incorporation relating to our directors, including the number of directors, the classification of our board of directors, the filling of vacancies on our board of directors, or the removal of our directors requires the affirmative vote of the holders of at least two-thirds of the voting power of all of the shares entitled to vote generally in the election of directors, voting as a single class. 

Our By-Laws may be made, altered, amended, or repealed by either (a) our board of directors by affirmative vote of a number of directors equal to a majority of the number who would constitute a full board at the time of such action, or (b) the affirmative vote, at a meeting of shareholders, of at least a majority of the votes entitled to be cast by the holders of the outstanding shares of all classes of stock  of the corporation entitled to vote generally in the election of directors, considered for these purposes as a single voting group, provided, however, that no By-Law may be adopted that is inconsistent with the IBCL. 

Indiana Business Corporation Law

As an Indiana corporation, we are governed by the IBCL. Under specified circumstances, the following provisions of the IBCL may delay, prevent or make more difficult unsolicited acquisitions or changes of control of us. These provisions also may have the effect of preventing changes in our management. It is possible that these provisions could make it more difficult to accomplish transactions which shareholders may otherwise deem to be in their best interest.

Control share acquisitions. Although Chapter 42 of the IBCL contains certain restrictions on control share acquisitions, our By-Laws provide that Chapter 42 of the IBCL shall not apply to control share acquisitions of shares of our capital stock.

Certain business combinations. Chapter 43 of the IBCL restricts the ability of a “resident domestic corporation” to engage in any combinations with an “interested shareholder” for five years after the date the interested shareholder became such, unless the combination or the purchase of shares by the interested shareholder on the interested shareholder’s date of acquiring shares is approved by the board of 

directors of the resident domestic corporation before that date. If the combination was not previously approved, the interested shareholder may effect a combination after the five-year period only if that shareholder receives approval from a majority of the disinterested shares or the offer meets specified fair price criteria. For purposes of the above provisions, “resident domestic corporation” means an Indiana corporation that has 100 or more shareholders. “Interested shareholder” means any person, other than the resident domestic corporation or its subsidiaries, who is (i) the beneficial owner, directly or indirectly, of 10% or more of the voting power of the outstanding voting shares of the resident domestic corporation or (ii) an affiliate or associate of the resident domestic corporation, which at any time within the five-year period immediately before the date in question, was the beneficial owner, directly or indirectly, of 10% or more of the voting power of the then outstanding shares of the resident domestic corporation. Although under certain circumstances a corporation may opt out of Chapter 43 of the IBCL, our Articles of Incorporation do not exclude us from the restrictions imposed by Chapter 43 of the IBCL.

Directors’ duties and liability. Under Chapter 35 of the IBCL, directors are required to discharge their duties:

•in good faith;

•with the care an ordinarily prudent person in a like position would exercise under similar circumstances; and

•in a manner the directors reasonably believe to be in the best interests of the corporation.

However, the IBCL also provides that a director is not liable for any action taken as a director, or any failure to act, regardless of the nature of the alleged breach of duty, including alleged breaches of the duty of care, the duty of loyalty and the duty of good faith, unless the director has breached or failed to perform the duties of the director’s office in accordance with the foregoing standard and such action or failure to act constitutes willful misconduct or recklessness. The exculpation from liability under the IBCL does not affect the liability of directors for violations of the federal securities laws.

Consideration of effects on other constituents. Chapter 35 of the IBCL also provides that a board of directors, in discharging its duties, may consider, in its discretion, both the long-term and short-term best interests of the corporation, taking into account, and weighing as the directors deem appropriate, the effects of an action on the corporation’s shareholders, employees, suppliers and customers and the communities in which offices or other facilities of the corporation are located and any other factors the directors consider pertinent. Directors are not required to consider the effects of a proposed corporate action on any particular corporate constituent group or interest as a dominant or controlling factor. If a determination is made with the approval of a majority of the disinterested directors of the board, that determination is conclusively presumed to be valid unless it can be demonstrated that the determination was not made in good faith after reasonable investigation. Chapter 35 specifically provides that specified judicial decisions in Delaware and other jurisdictions, which might be looked upon for guidance in interpreting Indiana law, including decisions that propose a higher or different degree of scrutiny in response to a proposed acquisition of the corporation, are inconsistent with the proper application of the business judgment rule under that section.

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