Document:

Exhibit 10.12

Exhibit 10.12

STOCKHOLDERS AGREEMENT

Dated as of October 13, 2010

By and Among

CAREY INVESTMENT HOLDINGS CORP.,

CAREY INTERMEDIATE HOLDINGS CORP.,

ASSOCIATED MATERIALS, LLC

and

THE STOCKHOLDERS SIGNATORY HERETO

 

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page	 
	 
	 	 	 	 
	ARTICLE I

CERTAIN DEFINITIONS

	 
	 	 	 	 
	Section 1.1. Certain Definitions
	 	 	1	 
	 
	 	 	 	 
	ARTICLE II

TRANSFER OF EQUITY SECURITIES

	 
	 	 	 	 
	Section 2.1. General Restrictions on Transfers
	 	 	10	 
	Section 2.2. Permitted Transfers; Restrictions on Transfers by Non-H&F Stockholders Transfers
	 	 	13	 
	Section 2.3. Tag-Along Rights
	 	 	13	 
	Section 2.4. Drag-Along Rights
	 	 	15	 
	Section 2.5. Grant of Preemptive Rights to Stockholders
	 	 	17	 
	Section 2.6. Company’s Right
	 	 	19	 
	Section 2.7. Certain Transfers after an Initial Public Offering.
	 	 	21	 
	Section 2.8. Termination of this Article II
	 	 	21	 
	 
	 	 	 	 
	ARTICLE III

REGISTRATION RIGHTS

	 
	 	 	 	 
	Section 3.1. Required Registration
	 	 	21	 
	Section 3.2. Incidental Registration
	 	 	24	 
	Section 3.3. Registration Procedures
	 	 	25	 
	Section 3.4. Preparation; Reasonable Investigation
	 	 	29	 
	Section 3.5. Rights of Requesting Holders
	 	 	29	 
	Section 3.6. Registration Expenses
	 	 	29	 
	Section 3.7. Indemnification; Contribution
	 	 	29	 
	Section 3.8. Holdback Agreements; Registration Rights to Others
	 	 	32	 
	Section 3.9. Availability of Information
	 	 	32	 
	Section 3.10. Additional Registration Rights
	 	 	32	 
	 
	 	 	 	 
	ARTICLE IV

GOVERNANCE AND STOCKHOLDER MATTERS

	 
	 	 	 	 
	Section 4.1. Board of Directors and Certain Other Governance Matters Prior to an Initial Public Offering
	 	 	32	 
	Section 4.2. Board of Directors and Certain Other Governance Matters After an Initial Public Offering
	 	 	34	 
	Section 4.3. VCOC Stockholders
	 	 	35	 
	Section 4.4. Other Matters
	 	 	37	 

 

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	 	 	Page	 
	 
	 	 	 	 
	ARTICLE V

MISCELLANEOUS

	 
	 	 	 	 
	Section 5.1. Entire Agreement
	 	 	38	 
	Section 5.2. Captions; Rules of Interpretation
	 	 	38	 
	Section 5.3. Counterparts
	 	 	38	 
	Section 5.4. Severability
	 	 	38	 
	Section 5.5. Notices
	 	 	38	 
	Section 5.6. Successors and Assigns; Additional Stockholders
	 	 	40	 
	Section 5.7. GOVERNING LAW
	 	 	40	 
	Section 5.8. Submission to Jurisdiction
	 	 	40	 
	Section 5.9. Remedies; Jury Trial
	 	 	41	 
	Section 5.10. Benefits Only to Parties
	 	 	41	 
	Section 5.11. Indemnification of H&F Investors
	 	 	42	 
	Section 5.12. Termination; Survival of Benefits
	 	 	43	 
	Section 5.13. Publicity
	 	 	44	 
	Section 5.14. Confidentiality
	 	 	44	 
	Section 5.15. Amendments; Waivers
	 	 	44	 
	Section 5.16. Agreement Governs in Event of Conflict
	 	 	45	 
	Section 5.17. Consents, Approvals and Actions
	 	 	45	 

 

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STOCKHOLDERS AGREEMENT

This STOCKHOLDERS AGREEMENT (this “Agreement”), dated as of October 13, 2010, by and
among Carey Investment Holdings Corp., a Delaware corporation (together with its successors and
assigns, the “Company”), Carey Intermediate Holdings Corp., a Delaware corporation
(together with its successors and assigns, “Holdings”), Associated Materials, LLC, a
Delaware limited liability company, Hellman & Friedman Capital Partners VI, L.P., a Delaware
limited partnership (“H&F VI”), Hellman & Friedman Capital Partners VI (Parallel), L.P., a
Delaware limited partnership (“H&F VI Parallel”), Hellman & Friedman Capital Executives VI,
L.P., a Delaware limited partnership (“H&F Executives VI”), Hellman & Friedman Capital
Associates VI, L.P., a Delaware limited partnership (“H&F Associates VI”), certain
stockholders and holders of Options of the Company listed on the Executive Signature Page hereto
(collectively, the “Executives”) and any other stockholder or holder of Options of the
Company who from time to time becomes a party hereto pursuant to Section 5.6(b).

W I T N E S S E T H :

WHEREAS, pursuant to a Subscription Agreement, dated as of October 13, 2010, among the
Company, H&F VI, H&F Parallel VI, H&F Executives VI and H&F Associates VI, H&F VI, H&F Parallel VI,
H&F Executives VI and H&F Associates V, severally and not jointly, subscribed for shares of Common
Stock and Convertible Notes as set forth on Schedule 1 to such agreement;

WHEREAS, each of the Executives, pursuant to Subscription Agreements, dated as of October 13,
2010, between the Company and such Executive, agreed to acquire shares of Common Stock for cash
upon the terms and subject to the conditions set forth therein and, as a condition of receipt of
such shares, is required to enter into this Agreement;

WHEREAS, the Company, Holdings, Associated and the Stockholders each desire to enter into this
Agreement to, inter alia, regulate and limit certain rights relating to the Equity Securities and
to limit the sale, assignment, transfer, encumbrance or other disposition of such Equity Securities
and to provide for the management of the Company, Holdings and Associated as set forth herein.

NOW, THEREFORE, in consideration of the mutual covenants set forth herein and other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties
hereto hereby agree as follows:

ARTICLE I

CERTAIN DEFINITIONS

Section 1.1. Certain Definitions. For purposes of this Agreement, the following terms shall have the following meanings:

“Affiliate” shall mean, with respect to any Person, any other Person directly
or indirectly controlling or controlled by or under direct or indirect common control with
such Person. Notwithstanding the foregoing, (i) the Company, its Subsidiaries and its other
controlled Affiliates shall not be considered Affiliates of any Stockholder or any of such
Stockholder’s Affiliates (other than the Company, its Subsidiaries and its other controlled
Affiliates) and (ii) none of the H&F Investors shall be considered Affiliates of any
portfolio company in which the H&F Investors or any of their investment fund Affiliates have
made a debt or equity investment (and vice versa).

 

 

 

“Agreement” shall have the meaning set forth in the preamble to this Agreement.

“Applicable Employee” shall mean (i) with respect to any Management Stockholder
who is a director, employee or consultant of the Company or any of its Subsidiaries, such
director, employee or consultant and (ii) with respect to any Management Stockholder who is
not a director, employee or consultant of the Company or any of its Subsidiaries, the
director, employee or consultant of the Company or any of its Subsidiaries with respect to
whom such Management Stockholder is a Permitted Transferee.

“Applicable Law” shall mean, with respect to any Person, all provisions of
laws, statutes, ordinances, rules, regulations, permits or certificates of any Governmental
Authority applicable to such Person or any of its assets or property, and all judgments,
injunctions, orders and decrees of all courts, arbitrators or Governmental Authorities in
proceedings or actions in which such Person is a party or by which any of its assets or
properties are bound.

“Associated” shall have the meaning set forth in the recitals to this
Agreement.

“Automatic Shelf Registration Statement” shall have the meaning set forth in
Rule 405 (or any successor provision) of the Securities Act.

“Board” shall mean the Board of Directors of the Company.

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

“Bylaws” shall mean the bylaws of the Company, as amended from time to time.

“Capital Stock” shall mean:

(a) in the case of a corporation, corporate stock (including common and preferred
stock);

(b) in the case of a partnership or limited liability company, partnership or
membership interests (whether general or limited); and

(c) in the case of an association or other business entity, any and all shares,
interests, participations, rights or other equivalents (however designated) of corporate
stock.

 

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As used herein, unless the context otherwise requires, “Capital Stock” shall refer to the
capital stock of the Company.

“Cause” means, with respect to any Applicable Employee, the meaning given to
such term in the employment agreement, consulting agreement or other similar agreement
specifying the terms of such Applicable Employee’s employment with, service to, or
engagement by, the Company or one of its Affiliates, or if no such agreement exists with
respect to such Applicable Employee or “Cause” is not defined in such agreement for such
Applicable Employee, any of the following: (i) embezzlement, theft or misappropriation by
the Applicable Employee of any property of the Company or any of its Affiliates; (ii) any
breach by the Applicable Employee of any restrictive covenants applicable to such Applicable
Employee; (iii) any breach by the Applicable Employee of any provision of his or her
employment agreement or consulting agreement (or other similar agreement specifying the
terms of such Applicable Employee’s employment with, service to, or engagement by, the
Company or one of its Affiliates), which breach is not cured, to the extent susceptible to
cure, within fourteen (14) days after the Company has given written notice to the Applicable
Employee describing such breach; (iv) failure or refusal by the Applicable Employee to
perform any directive of the Board or the duties of his or her employment, service or
engagement which continues for a period of fourteen (14) days following notice thereof by
the Company to the Applicable Employee; (v) any act by the Applicable Employee constituting
a felony or otherwise involving theft, fraud, dishonesty, misrepresentation or moral
turpitude; (vi) the Applicable Employee’s conviction of, or a plea of nolo contendere (or a
similar plea) to, any criminal offense; (vii) gross negligence or willful misconduct on the
part of the Applicable Employee in the performance of his or her duties as an employee,
officer or director of the Company or any of its Affiliates; (viii) the Applicable
Employee’s breach of his or her fiduciary obligations, or disloyalty, to the Company or any
of its Affiliates; (ix) any act or omission to act of the Applicable Employee intended to
harm or damage the business, property, operations, financial condition or reputation of the
Company or any of its Affiliates; (x) any chemical dependence of the Applicable Employee
which adversely affects the performance of his or her duties and responsibilities to the
Company or any of its Affiliates; or (xi) the Applicable Employee’s violation of the
Company’s or any of its Affiliate’s code of ethics, code of business conduct or similar
policies applicable to such Applicable Employee. The existence or non-existence of Cause
with respect to any Applicable Employee will be determined in good faith by the Board.

“Certificate of Incorporation” shall mean the Certificate of Incorporation of
the Company, as amended from time to time.

“Closing” has the meaning set forth in the Merger Agreement.

“Common Stock” shall mean the Common Stock of the Company, par value $0.01 per
share.

“Company” shall have the meaning set forth in the preamble to this Agreement.

 

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“control” (including, with correlative meanings, the terms
“controlling,” “controlled by” and “under common control with”), as
used with respect to any Person, shall mean the possession, directly or indirectly, of the
power to direct or cause the direction of the management or policies of such Person, whether
through the ownership of voting securities, by agreement or otherwise.

“Controlled Entity” shall mean any other corporation, limited liability
company, partnership, joint venture, trust, employee benefit plan or other enterprise
controlled by the Company.

“Convertible Note” means the $5,000,000 in aggregate principal amount of
Subordinated Convertible Promissory Notes executed by the Company in favor of the H&F
Investors, as they may be amended from time to time.

“Designated Sale Event” shall mean any transaction or series of related
transactions that would result in the sale of fifteen percent (15%) or more of the Equity
Securities of the Company (calculated by assuming conversion of the Convertible Notes into
Common Stock).

“Director” shall mean a member of the Board.

“Dispute” shall have the meaning set forth in Section 5.8.

“Drag Along Event” shall mean a transaction or series of related transactions
(whether pursuant to a merger, consolidation, direct or indirect sale of Equity Securities
or otherwise) that would result in the sale of at least 50% of the Equity Securities of the
Company (which may include Equity Securities held by the Drag Sellers, Other Drag
Stockholders and/or other holders of Equity Securities) or a sale of all or substantially
all of the assets of the Company, in each case to a Person that is not an Affiliate of any
Drag Seller.

“Drag Seller” shall have the meaning set forth in Section 2.4(a) of this
Agreement.

“Equity Securities” shall mean, as of any applicable date of determination, the
 shares of Capital Stock of the Company outstanding as of such date of determination.

“Escrow Holder” shall have the meaning set forth in Section 2.1(g) of this
Agreement.

“Excess New Securities” shall have the meaning set forth in Section 2.5(a) of
this Agreement.

“Excess Participants” shall have the meaning set forth in Section 2.3(b) of
this Agreement.

“Excess Tag Securities” shall have the meaning set forth in Section 2.3(b) of
this Agreement.

 

4

 

“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, and
the rules and regulations of the SEC promulgated thereunder.

“Executives” shall have the meaning set forth in the preamble to this
Agreement.

“Governmental Authority” shall mean any U.S. or non-U.S. federal, state,
municipal or other governmental department, board, bureau, agency or instrumentality, or any
court.

“H&F Investor” and “H&F Investors” shall mean, as of any applicable
date of determination, H&F VI, H&F VI Parallel, H&F Executives VI, H&F Associates VI and any
of their Affiliates that hold as of such date of determination Equity Securities of the
Company.

“Holders’ Counsel” shall have the meaning set forth in the definition of
“Registration Expenses.”

“Holdings” shall have the meaning set forth in the recitals to this Agreement.

“Incentive Securities” shall mean and include, at any time, (a) all Stock
Options and (b) all shares of Capital Stock issued upon the exercise of Stock Options.

“Incidental Registration” shall have the meaning set forth in Section 3.2(a) of
this Agreement.

“In-Kind Distribution” shall mean any Transfer pursuant to which any H&F
Investor effects a bona fide distribution of Equity Securities to their partners, members,
stockholders or beneficiaries that is made without payment of consideration therefor in
accordance with the governing documents of such H&F Investor.

“Management Stockholder” shall mean, as of any applicable date of
determination, each of the Executives, each of the members of management or other employees,
consultants or directors of the Company or its Subsidiaries and each Permitted Transferee of
any of the foregoing individuals who, from time to time, becomes party to this Agreement
pursuant to Section 5.6(b) hereto and, in each case, who hold as of such date of
determination Equity Securities and/or Options of the Company.

“Management Stockholder Group” means each Executive for so long as he or she
holds Equity Securities and/or Options of the Company and any of his or her Permitted
Transferees that hold Equity Securities and/or Options of the Company and have become
parties to this Agreement pursuant to Section 5.6(b).

“Merger Agreement” means the Agreement and Plan of Merger, dated as of
September 8, 2010, among the Company, Holdings, Carey Acquisition Corp. and AMH Holdings,
Inc., as amended from time to time.

“NASDAQ” shall mean The Nasdaq Stock Market, Inc.

 

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“New Securities” shall mean any Capital Stock of the Company or any of its
Subsidiaries, whether authorized now or in the future, and any rights, options or warrants
to purchase any Capital Stock (“Options”), provided that “New Securities”
shall not include (a) Capital Stock sold in a Public Offering or in a transaction pursuant
to Rule 144A of the Securities Act, (b) Capital Stock issued as consideration in any merger
or Recapitalization of the Company or issued as consideration for the acquisition of another
Person or assets of another Person, (c) any issuance of Capital Stock approved by the H&F
Investors to any Person which is determined by the Board to be strategically beneficial to
the operations of the Company (other than solely as a source of capital), (d) Options issued
to a commercial bank, commercial leasing company or other Person whose principal business is
the extension of financing to third parties as part of any financing transaction, so long as
such Options are not the only security or other financing component of such financing
transaction, (e) Incentive Securities or (f) Capital Stock issued by any direct or indirect
wholly owned Subsidiary of the Company to the Company and/or any one or more of its other
wholly owned Subsidiaries.

“New Securities Price” shall have the meaning set forth in Section 2.5(a) of
this Agreement.

“Non-H&F Stockholder” shall mean each of the Stockholders other than the H&F
Investors.

“Options” shall have the meaning set forth in the definition of “New
Securities.”

“Other Drag Stockholders” shall have the meaning set forth in Section 2.4(b) of
this Agreement.

“Other Tag Stockholders” shall have the meaning set forth in Section 2.3(a) of
this Agreement.

“Participant” shall have the meaning set forth in Section 2.3(b) of this
Agreement.

“Permitted Transferee” shall mean, with respect to a Management Stockholder,
(i) a trust or custodianship the beneficiaries of which may include only the Applicable
Employee for such Management Stockholder, and the spouse and lineal descendants (including
children by adoption and step children) of such Applicable Employee and with respect to
which such Applicable Employee is the sole trustee or custodian or (ii) any limited
liability company or partnership (A) with respect to which all of the outstanding equity
interests are beneficially owned solely by the Applicable Employee for such Management
Stockholder, and the spouse and lineal descendants (including children by adoption and step
children) of such Applicable Employee and (B) with respect to which such Applicable Employee
is the sole manager or managing member (if a limited liability
company) or the sole general partner (if a limited partnership) and otherwise has the
sole power to direct or cause the direction of the management and policies, directly or
indirectly, of such limited liability company or partnership, whether through the ownership
of voting securities, by contract or otherwise.

 

6

 

“Person” shall mean and include natural persons, corporations, limited
partnerships, general partnerships, limited liability companies, joint stock companies,
joint ventures, associations, companies, trusts, banks, trust companies, land trusts,
business trusts or other organizations, whether or not legal entities, and governments and
agencies and political subdivisions thereof.

“Plan Asset Regulations” shall mean the regulations issued by the U.S.
Department of Labor at Section 2510.3-101 of Part 2510 of Chapter XXV, Title 29 of the Code
of Federal Regulations, or any successor regulations.

“Post-IPO Release Event” shall have the meaning set forth in Section 2.7.

“Preemptive Exercise Notice” shall have the meaning set forth in Section 2.5(a)
of this Agreement.

“Preemptive Notice” shall have the meaning set forth in Section 2.5(a) of this
Agreement.

“Pro Rata Amount” shall mean, at any time, (x) with respect to any H&F Investor
in connection with any issuance of New Securities, the quotient (expressed as a percentage)
obtained by dividing (a) the number of Equity Securities held by such Stockholder at such
time (calculated by assuming conversion of the Convertible Notes into Common Stock) by (b)
the aggregate number of Equity Securities outstanding at such time (such quotient, the
“Maximum Pro Rata Amount”) and (y) with respect to any Non-H&F Stockholder in
connection with any issuance of New Securities, the Maximum Pro Rata Amount multiplied by
the quotient (which in no event shall exceed one) obtained by dividing (a) the aggregate
amount of such New Securities that the H&F Investors, in the aggregate, request to purchase
in their Preemptive Exercise Notices with respect to such issuance by (b) the H&F Investors’
(taken together) Maximum Pro Rata Amount of such New Securities. For the avoidance of
doubt, it is understood that if the H&F Investors do not deliver any Preemptive Exercise
Notice in connection with an issuance of New Securities, the Pro Rata Amount of each Non-H&F
Stockholder with respect to such issuance of New Securities shall be 0%.

“Pro Rata Transfer” shall have the meaning set forth in Section 2.7(a).

“Public Offering” shall mean a sale of Common Stock through an underwritten
public offering pursuant to an effective registration statement filed with the SEC.

“Recapitalization” shall mean a transaction or series of related transactions
that result in a distribution by repurchase to holders of Equity Securities (including any
debt or equity financing related to such distribution by repurchase).

“Registration” shall mean each Required Registration and each Incidental
Registration.

 

7

 

“Registration Expenses” shall mean, with respect to the Company, all expenses
incident to the Company’s performance of or compliance with Article III including, without
limitation, all registration and filing fees, fees and expenses of compliance with
securities or blue sky laws (including reasonable fees and disbursements of counsel in
connection with blue sky qualifications of the Registrable Securities), expenses of printing
certificates for the Registrable Securities in a form eligible for deposit with the
Depository Trust Company, messenger and delivery expenses, internal expenses (including,
without limitation, all salaries and expenses of its officers and employees performing legal
or accounting duties), and fees and disbursements of counsel for the Company and its
independent certified public accountants (including the expenses of any management review,
cold comfort letters or any special audits required by or incident to such performance and
compliance), securities acts liability insurance (if the Company elects to obtain such
insurance), the reasonable fees and expenses of any special experts retained by the Company
in connection with such registration, fees and expenses of other Persons retained by the
Company, the fees and expenses of one (1) counsel and applicable local counsel (the
“Holders’ Counsel”) which represents the holders of Registrable Securities to be
included in the relevant Registration that are H&F Investors, selected by the holders of a
majority of the Registrable Securities held by the H&F Investors to be included in such
Registration; but not including any underwriting fees, discounts or commissions attributable
to the sale of securities or fees and expenses of counsel representing the holders of
Registrable Securities included in such Registration (other than the Holders’ Counsel)
incurred in connection with the sale of Registrable Securities.

“Registrable Securities” shall mean, at any time (x) any shares of Common
Stock; and (y) any securities issued or issuable in respect of shares of Common Stock
(including, without limitation, by way of stock dividend, stock split, distribution,
exchange, combination, merger, recapitalization, reorganization or otherwise). As to any
particular Registrable Securities once issued, such Registrable Securities shall cease to be
Registrable Securities:

(a) when a registration statement with respect to the sale of such securities
shall have become effective under the Securities Act and such securities shall have
been disposed of in accordance with such registration statement;

(b) a registration statement on Form S-8 (or any successor form) covering such
securities is effective;

(c) such security is sold pursuant to Rule 144 or 145 promulgated under the
Securities Act (or another exemption from the registration requirements of the
Securities Act);

(d) the holder thereof (together with (i) his, her or its Family Affiliates and
Beneficiaries if such holder is a Management Stockholder or (ii) his, her or its
Affiliates if such holder is a H&F Investor), beneficially owns (excluding any
securities covered by the foregoing clause (b)) less than one percent (1%) of the
 shares of Common Stock that are outstanding at such time and such holder is able to
dispose of all of his, her or its Registrable Securities in any ninety (90) day
period pursuant to Rule 144 (or any similar or analogous rule) promulgated under the
Securities Act; or

 

8

 

(e) when such securities shall have ceased to be outstanding.

For the avoidance of doubt, it is understood that, with respect to any Registrable
Securities for which a Stockholder holds vested but unexercised Stock Options or other
Options exercisable for, convertible into or exchangeable for Registrable Securities, to the
extent that such Registrable Securities are to be sold pursuant to Article III, such
Stockholder must exercise, convert or exchange the relevant Stock Option or other Option and
transfer the relevant underlying securities that are Registrable Securities (rather than the
Stock Option or other Option) (in each case, net of any amounts required to be withheld by
the Company or any of its Subsidiaries in connection with such exercise, conversion or
exchange).

“Required Registration” shall have the meaning set forth in Section 3.1(a) of
this Agreement.

“Rollover Shares” shall mean the shares of Common Stock purchased by any
Management Stockholder for cash on or prior to the earlier of (i) the maturity date of the
Convertible Note or (ii) such date on which the Convertible Note shall no longer be
outstanding (whether due to prepayment, redemption, conversion or otherwise).

“SEC” shall mean, at any time, the Securities and Exchange Commission or any
other federal agency at such time administering the Securities Act.

“Securities Act” shall mean the Securities Act of 1933, as amended, and the
rules and regulations of the SEC promulgated thereunder.

“Stock Options” shall mean all options to purchase Equity Securities granted to
members of management and key employees of the Company pursuant to a stock option or similar
equity plan approved by the Board.

“Stock Option Plan” shall mean the Carey Investment Holdings Corp. Stock
Incentive Plan, as such plan may be amended from time to time.

“Stockholder” shall mean, as of any applicable date of determination, each H&F
Investor, each Management Stockholder, each Executive and each other Person who becomes a
party to this Agreement pursuant to Section 5.6(b) and, in each case, who holds Equity
Securities of the Company as of such date of determination.

 

9

 

“Subsidiary” shall mean, with respect to any Person at any time, any
corporation, partnership, business trust, joint stock company, association, limited
liability company or other business entity of which (a) if a corporation, a majority of the
total voting power of
stock entitled (without regard to the occurrence of any contingency) to vote in the
election of directors or trustees thereof is at such time owned or controlled, directly or
indirectly, by that Person or one or more of the other Subsidiaries of that Person or a
combination thereof, or (b) if a partnership, limited liability company, business trust,
joint stock company, association or other business entity other than a corporation, a
majority of the partnership, membership or other similar ownership interests thereof is at
such time owned or controlled, directly or indirectly, by that Person or one or more of the
other Subsidiaries of that Person or a combination thereof. For purposes hereof, a Person or
Persons shall be deemed to have a majority ownership interest in a partnership, limited
liability company, business trust, joint stock company, association or other business entity
other than a corporation if such Person or Persons shall be allocated a majority of the
partnership, association or other business entity gains or losses or shall be or control the
managing director, manager, a general partner or the trustee of such partnership, limited
liability company, business trust, joint stock company, association or other business
entity.

“Tag-Eligible Securities” shall mean Equity Securities and shares of Common
Stock issuable upon the exercise of Stock Options that are vested as of any applicable date
of determination that are of the same class, series and type of Equity Securities set forth
in the relevant Transfer Notice.

“Tag Sellers” shall have the meaning set forth in Section 2.3(a) of this
Agreement.

“Transfer” shall have the meaning set forth in Section 2.1(a) of this
Agreement.

“Transfer Notice” shall have the meaning set forth in Section 2.3(a) of this
Agreement.

“Voting Stock” shall mean the Common Stock any other Capital Stock of the
Company entitled to vote in the election of directors of the Company.

“Well-Known Seasoned Issuer” shall have the meaning set forth in Rule 405 (or
any successor provision) of the Securities Act.

ARTICLE II

TRANSFER OF EQUITY SECURITIES

Section 2.1. General Restrictions on Transfers.

(a) Prior to the consummation of an initial Public Offering, no Stockholder may, directly or
indirectly sell, exchange, assign, pledge, hypothecate, gift or otherwise or transfer, dispose of
or encumber (all of which acts shall be deemed included in the term “Transfer” as used in
this Agreement) any Equity Securities or any legal, economic or beneficial interest in any Equity
Securities (in each case, whether held in its own right or by its
representative and whether voluntary or involuntary or by operation of law) unless (i) such
Transfer of Equity Securities is made on the books of the Company and is not in violation of the
provisions of this ARTICLE II and (ii) the transferee of such Equity Securities (if other than (A)
the Company, any of its Subsidiaries or another Stockholder, (B) a transferee in a sale of Equity
Securities made under Rule 144, or (C) a transferee of Shares pursuant to an offer and sale
registered under the Securities Act) agrees to become a party to this Agreement pursuant to Section
5.6(b) and executes such further documents as may be necessary, in the reasonable judgment of the
Company, to make him, her or it a party hereto. For the avoidance of doubt, it is understood that
a transfer of limited partnership interests, limited liability company interests or similar
interests in any of the H&F Investors, any other private equity fund or any parent entity with
respect to any such H&F Investor or private equity fund shall not constitute a Transfer for
purposes of this Agreement.

 

10

 

(b) From and after the date hereof until this Agreement is terminated, all certificates or
other instruments representing Equity Securities held by any of the Stockholders shall bear a
legend which shall substantially state as follows:

“THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO AND HAVE THE
BENEFIT OF A STOCKHOLDERS AGREEMENT DATED AS OF OCTOBER 13, 2010, AS THE
SAME MAY BE AMENDED FROM TIME TO TIME. A COPY OF SUCH STOCKHOLDERS
AGREEMENT HAS BEEN FILED IN THE CHIEF EXECUTIVE OFFICE OF THE COMPANY WHERE
THE SAME MAY BE INSPECTED DAILY DURING BUSINESS HOURS.

THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”),
OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION AND SUCH
SECURITIES MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT
(I) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT
OR PURSUANT TO AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT AND (II) IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF
ANY STATE OF THE UNITED STATES.”

Notwithstanding the foregoing provisions of this Section 2.1(b), the legend required by the
paragraph immediately above shall be removed from any such certificates representing Equity
Securities (i) when and so long as such Equity Securities shall have been effectively registered
under the Securities Act and disposed of pursuant thereto or (ii) if and when requested by the
Company, the Company shall have received an opinion of counsel reasonably satisfactory to it that
such Equity Securities may be freely Transferred at any time without registration thereof under the
Securities Act and that such legend may be removed.

(c) Any purported Transfer of Equity Securities or any interest in any Equity Securities other
than in accordance with this Agreement by any Stockholder shall be null and
void, and the Company shall refuse to recognize any such Transfer for any purpose and shall
not reflect in its records any change in record ownership of Equity Securities pursuant to any such
Transfer.

 

11

 

(d) Without the prior written consent of the H&F Investors, the Company shall not issue any
Equity Securities upon original issue or reissue or otherwise dispose of any Equity Securities
(other than Equity Securities registered under the Securities Act) unless the recipient or
transferee of such Equity Securities (if other than a Stockholder) shall agree to become a party to
this Agreement pursuant to Section 5.6(b) hereof and executes such further documents as may be
necessary, in the reasonable judgment of the Company, to make him, her or it a party hereto or
thereto.

(e) Each Stockholder acknowledges that the Equity Securities have not been registered under
the Securities Act and may not be Transferred except pursuant to an effective registration
statement under the Securities Act or pursuant to an exemption from registration under the
Securities Act. Each Stockholder agrees that it will not Transfer any Equity Securities at any
time if such action would constitute a violation of any securities laws of any applicable
jurisdiction or a breach of the conditions to any exemption from registration of Equity Securities
under any such laws or a breach of any undertaking or agreement of such Stockholder entered into
pursuant to such laws or in connection with obtaining an exemption thereunder. Each Stockholder
agrees that any Equity Securities to be held by it, him or her shall bear the restrictive legend
set forth in Section 2.1(b).

(f) No Stockholder shall grant any proxy or enter into or agree to be bound by any voting
trust with respect to any Equity Securities or enter into any agreements or arrangements of either
kind with any person with respect to any Equity Securities inconsistent with the provisions of this
Agreement (whether or not such agreements and arrangements are with other Stockholders or holders
of Equity Securities who are not parties to this Agreement), including agreements or arrangements
with respect to the acquisition, disposition or voting (if applicable) of any Equity Securities,
nor shall any Stockholder act, for any reason, as a member of a group or in concert with any other
Persons in connection with the acquisition, disposition or voting (if applicable) of any Equity
Securities in any manner which is inconsistent with the provisions of this Agreement.

(g) Each Non-H&F Stockholder agrees that, with respect to any stock certificate(s) evidencing
any Equity Securities owned by such Non-H&F Stockholder, the Company shall deliver (or cause to be
delivered) such certificate(s) to the Secretary of the Company or other designee of the Company
(the “Escrow Holder”), who is hereby appointed to hold such certificate(s) in escrow and to
take all such actions and to effectuate all such Transfers of such Equity Securities as are in
accordance with the terms of this Agreement. The Company agrees to provide such Non-H&F
Stockholder with a photocopy of such stock certificate(s) upon such Non-H&F Stockholder’s request.
The Non-H&F Stockholder and the Company agree that the Escrow Holder will not be liable to any
party to this Agreement (or to any other party) for any actions or omissions unless the Escrow
Holder is grossly negligent or intentionally fraudulent in carrying out the duties of the Escrow
Holder under this Agreement. The Escrow Holder may rely upon any letter, notice or other document
executed with any signature purported
to be genuine and may rely on the advice of counsel and obey any order of any court with
respect to the transactions contemplated by this Agreement.

 

12

 

Section 2.2. Permitted Transfers; Restrictions on Transfers by Non-H&F Stockholders
Transfers.

(a) Each Stockholder (other than a Management Stockholder) may (i) Transfer any or all of the
Equity Securities held by it to any of its Affiliates without complying with the provisions of this
ARTICLE II, other than Section 2.1; provided, however, that, with respect to a
Transfer to an Affiliate, (x) such Affiliate shall have agreed with all parties hereto, in a
written instrument reasonably satisfactory to the Company, that it will immediately convey record
and beneficial ownership of all Equity Securities and all rights and obligations hereunder to such
Stockholder or another Affiliate of such Stockholder if it ceases to be an Affiliate of such
Stockholder and (y) as a condition to such Transfer, such Affiliate shall become a party to this
Agreement as provided in Section 2.1(a), and (ii) after the consummation of the initial Public
Offering, distribute any or all of the Equity Securities held by it pursuant to an In-Kind
Distribution without complying with the provisions of this ARTICLE II, other than Section 2.1 (but
excluding clause (ii) of Section 2.1(a)) and Section 2.7.

(b) Each Stockholder that is a Management Stockholder may Transfer any or all of the Equity
Securities held by him or her to a Permitted Transferee without complying with the provisions of
this ARTICLE II other than Section 2.1; provided that (i) such Permitted Transferee shall have
agreed with all parties hereto, in a written instrument reasonably satisfactory to the Company,
that he, she or it will immediately convey record and beneficial ownership of all Equity Securities
and all rights and obligations hereunder to such Management Stockholder or another Permitted
Transferee of such Management Stockholder if he, she or it ceases to be a Permitted Transferee of
such Management Stockholder and (ii) as a condition to such Transfer, such Permitted Transferee
shall become a party to this Agreement as provided in Section 5.6(b); provided,
however, that in no event shall the aggregate number of members of any Management
Stockholder Group at any time exceed three at such time.

(c) With respect to each Non-H&F Stockholder, during the period beginning on the date hereof
and ending on the first anniversary of the consummation of an initial Public Offering (the
“Transfer Restriction Period”), such Non-H&F Stockholder shall not Transfer any Equity
Securities to any Person, except Transfers (i) to Affiliates or Permitted Transferees, as
applicable, pursuant to Section 2.2(a) and 2.2(b), (ii) pursuant to and in compliance with Section
2.3, Section 2.4, Section 2.5 (if such Non-H&F Stockholder is an Alternative Procedure Purchaser),
Section 2.6 or Section 2.7, (iii) in a Public Offering pursuant to and in compliance with ARTICLE
III or (iv) upon receipt of the prior written consent of the H&F Investors.

Section 2.3. Tag-Along Rights.

(a) Subject to Section 2.3(e), in the event that any H&F Investor or group of H&F Investors
(“Tag Sellers”) propose to effect a Transfer of Equity Securities that will result in
a Designated Sale Event, such Tag Sellers shall give written notice (the “Transfer
Notice”) to the Company and each of the other Stockholders and holders of vested Stock Options
that are not Tag Sellers (the “Other Tag Stockholders”) at least fifteen (15) days prior to
the scheduled consummation of such Transfer. The Transfer Notice shall describe in reasonable
detail the proposed Transfer including, without limitation, the identity of the proposed purchaser,
the type and number of shares of Equity Securities to be sold, the purchase price of each such
share of Equity Securities to be sold, the form of consideration, the amount of any escrow, the
nature of any other material terms of such sale and the date such proposed sale is expected to be
consummated.

 

13

 

(b) Each of the Other Tag Stockholders shall have the right, exercisable upon delivery of an
irrevocable written notice to the Tag Seller within ten (10) days after receipt of the Transfer
Notice (the “Response Deadline”), to participate in such proposed Transfer on substantially
the same terms and conditions as set forth in the Transfer Notice including, without limitation,
the making of representations and warranties as to due incorporation, existence and good standing,
power and authority of such Other Tag Stockholder, ownership of the Equity Securities and such
other representations and warranties to be made by the Tag Sellers, the granting of all
indemnifications and participating in any escrow arrangements to the extent of their respective pro
rata portion and similar agreements agreed to by the Tag Seller, provided that the indemnification
obligation of any Other Tag Stockholder to a proposed transferee with respect to the breach of any
representation or warranty concerning the Company shall be limited to the lesser of its respective
pro rata portion of the obligation and the proceeds to be received by such Other Tag Stockholder in
connection with such Transfer. For the avoidance of doubt, it is understood that in order to be
entitled to exercise his, her or its right to sell Equity Securities in a Transfer pursuant to this
Section 2.3, each Other Tag Stockholder must agree to make to the proposed purchaser the same
representations, warranties, covenants, indemnities and agreements as the Tag Sellers agree to make
in connection with such Transfer. For an Other Tag Stockholder to participate in such Transfer
with respect to its vested Stock Options (a “Tag Option Holder”), such Tag Option Holder,
by the Response Deadline, must deliver to the Company (1) its notice of election to exercise a
number of Stock Options up to its pro rata portion (as described below), (2) payment for the
aggregate exercise price for such exercise and (3) if not already a party to this Agreement, an
executed signature page to this Agreement. Each Other Tag Stockholder electing to participate in
the Transfer described in the Transfer Notice (each, a “Participant”) shall indicate in its
notice of election to the Tag Seller the maximum number of Tag-Eligible Securities it desires to
Transfer. Each such Participant shall be entitled to Transfer a number of Tag-Eligible Securities
equal to such holder’s pro rata portion of the total number of Tag-Eligible Securities to be
Transferred, as set forth in the Transfer Notice, up to such maximum number, provided that the H&F
Investors may, at their option, indicate the number of Tag-Eligible Securities that they desire to
Transfer in the aggregate instead of per Participant. For purposes of this Section 2.3(b) and
Section 2.3(c), “pro rata portion” shall mean for each Participant, with the H&F Investors being
treated as one Participant if so requested, a fraction, the numerator of which is the number of
Tag-Eligible Securities held by such Participant (calculated assuming conversion of the Convertible
Notes into Common Stock) immediately prior to the Transfer proposed in the Transfer Notice and the
denominator of which is the total number of Tag-Eligible Securities (calculated assuming conversion
of the Convertible Notes into Common Stock) included in such Transfer outstanding immediately prior
to the Transfer proposed in the Transfer Notice held by the Tag Seller and the Other Tag
Stockholders
collectively. In the event that any Stockholder does not elect to sell all of its respective
pro rata portion, the Tag-Eligible Securities that were available for sale by such non-electing
Other Tag Stockholders but are not being so sold (the “Excess Tag Securities”) shall
automatically be deemed to be accepted for sale by (i) each Other Tag Stockholder who indicated in
their written response to the Transfer Notice a desire to participate in the sale of Tag-Eligible
Securities in excess of its pro rata portion and (ii) the Tag Seller (collectively, the “Excess
Participants”). Unless otherwise agreed by all of the Excess Participants, each Excess
Participant shall sell a number of Excess Tag Securities equal to the lesser of (x) the number of
Excess Tag Securities indicated in the written response to the Transfer Notice or, in the case of
the Tag Seller, the Transfer Notice, if any, and (y) an amount equal to the product of (A) the
aggregate number of Excess Tag Securities and (B) a fraction, the numerator of which is the number
of Tag-Eligible Securities held at such time by such Excess Participant (calculated assuming
conversion of the Convertible Notes into Common Stock) and the denominator of which is the
aggregate number of Tag-Eligible Securities held at such time by all Excess Participants
(calculated assuming conversion of the Convertible Notes into Common Stock).

 

14

 

(c) Each Participant shall effect its participation in the Transfer by delivering to the Tag
Seller (to hold in trust as agent for such Participant), or the Escrow Holder shall deliver to the
Tag Seller on behalf of such Participant, in each case, at least three (3) Business Days prior to
the date scheduled for such Transfer as set forth in the Transfer Notice, one or more certificates
or other instruments, as applicable, in proper form for transfer, which represent the number of
Tag-Eligible Securities that such Participant desires to Transfer in accordance with Section
2.3(b). Such certificate or certificates or other instruments, as applicable, shall be delivered
by the Tag Seller to such Transferee on the date scheduled for such Transfer in consummation of the
Transfer pursuant to the terms and conditions specified in the definitive agreement for the
Transfer and such Transferee shall remit to each such Participant its pro rata portion of the sale
proceeds (net of any costs and expenses incurred by the Tag Seller in connection with such
Transfer) to which such Participant is entitled by reason of its participation in such sale. The
Tag Seller’s sale of Equity Securities in any sale proposed in a Transfer Notice shall be effected
on terms and conditions not substantially more favorable than those set forth in such definitive
agreement for the Transfer and applicable to the other Participants. In the event the proposed
Transfer is not consummated within twenty (20) Business Days of the date such certificate or
certificates have been delivered to the Tag Seller for such Transfer, the Participant shall have
the right to request the Tag Seller in writing to promptly return all certificates and/or
instruments received from such Participant.

(d) Notwithstanding the delivery of any Transfer Notice, all determinations as to whether to
complete any such Transfer and as to the timing, manner, price and other terms and conditions of
any such Transfer shall be at the sole discretion of the Tag Sellers. The exercise or non-exercise
of the rights of any of the Other Tag Stockholders hereunder to participate in one or more
Transfers of Equity Securities made by the Tag Seller shall not adversely affect their rights to
participate in subsequent Transfers of Equity Securities subject to this Section 2.3. Nothing in
this Section 2.3 shall change the limitations and obligations set forth in Section 2.1 and 2.2.

(e) This Section 2.3 shall not apply to (i) any Transfer to an Affiliate pursuant to Section
2.2(a), (ii) any Transfer in a Public Offering, (iii) any Transfer pursuant to Rule 144 (or any
similar or analogous rule) promulgated under the Securities Act, (iv) any Transfer
pursuant to Section 2.5 (if such H&F Investor is an Alternative Procedure Purchaser) or (v)
any In-Kind Distribution after the consummation of an Initial Public Offering.

Section 2.4. Drag-Along Rights.

(a) Each Stockholder agrees that a Drag Along Event may be initiated by a written consent to
do so executed by the H&F Investors. Each party initiating the Drag Along Event pursuant to the
immediately preceding sentence is referred to herein as a “Drag Seller” and all such
initiating parties as “Drag Sellers.”

 

15

 

(b) At the written request of the Drag Seller or Drag Sellers, each of the other Stockholders
that is not an H&F Investor (the “Other Drag Stockholders”) agrees to vote all of its
Voting Stock, at a special or annual meeting of Stockholders or by written consent in lieu of a
meeting, in favor of and, if applicable, shall sell its pro rata portion of the amount of Equity
Securities and Stock Options to be Transferred in connection with, the Drag Along Event. In order
to effect the foregoing covenant, each Stockholder that is an Other Drag Stockholder under this
Section 2.4 hereby grants to the H&F Investors, to the extent the H&F Investors are a Drag Seller
pursuant to this Section 2.4, with respect to all of such Stockholder’s Voting Stock an irrevocable
proxy (which is deemed to be coupled with an interest) for the term of this Agreement with respect
to any stockholder vote or action by written consent solely to effect such Drag Along Event in
compliance with this Section 2.4.

(c) The Company and the Other Drag Stockholders each hereby agree to cooperate fully
(including by waiving any other appraisal rights to which such Other Drag Stockholder may be
entitled under Applicable Law and each such Stockholder does hereby waive all such appraisal
rights) with, and to take all actions requested by, the Drag Sellers and the purchaser in any such
Drag Along Event and, to execute and deliver promptly (and, in any event, by no later than the
dates requested by the Drag Seller) all documents (including, without limitation, purchase
agreements) and instruments as the Drag Sellers and such purchaser request to effect such Drag
Along Event including, without limitation, the making of representations and warranties as to due
incorporation, existence and good standing, power and authority of such Other Drag Stockholder,
ownership of Equity Securities or Stock Options and such other representations and warrants to be
made by the Drag Sellers and the granting of all indemnifications and the execution of all
agreements (including, without limitation, participating in any escrow arrangements to the extent
of their respective pro rata portion) and substantially similar arrangements which the Drag Sellers
is making or executing, provided that the indemnification obligation of any Other Drag Stockholder
to proposed purchaser with respect to the breach of any representation or warranty concerning the
Company shall be limited to the lesser of the pro rata portion of the obligation and the proceeds
to be received by such Other Drag Stockholder in connection with such Drag Along Event. Upon the
closing of such Drag Along Event, each Stockholder shall receive its pro rata portion of the
proceeds (net of any costs and expenses incurred by the H&F Investors in connection with such Drag
Along Event, but only to the extent not paid or payable by the Company) and such sale shall be on
substantially the same terms and conditions as afforded to the Drag Seller(s); provided,
however, that, in the case of a sale of Common Stock, with respect to any shares of Common
Stock for which a
Stockholder holds exercisable and vested but unexercised Options, the price per share shall be
reduced by the exercise price of such Options or, if required pursuant to the terms of such Options
or such Drag Along Event, such Stockholder must exercise the relevant Option and transfer the
relevant shares of Common Stock (rather than the Option) (in each case, net of any amounts required
to be withheld by the Company); and provided, further, that, notwithstanding
anything to the contrary set forth herein, in any event the Company shall be permitted to cause all
outstanding Options to be treated in such Drag Along Event in any manner as permitted by their
terms, including any applicable equity plans of the Company. Subject to the transaction costs and
expenses discussed in the immediately preceding sentence, for purposes of Section 2.4(b) and
2.4(c), “pro rata portion” shall mean with respect to each Stockholder a fraction, the numerator of
which is the number of Equity Securities (including, for such purposes, the number Stock Options to
be exercised prior to such Transfer or to be cashed-out, assumed or substituted in such Transfer)
held by such Stockholder immediately prior to such Drag Along Event and the denominator of which is
the total number of such Equity Securities (including, for such purposes, the aggregate number
Stock Options to be exercised prior to such Transfer or to be cashed-out, assumed or substituted in
such Transfer) outstanding immediately prior to such Drag Along Event, in each case calculated on
an as-converted basis and taking into account for each holder of Stock Options that are cashed-out,
assumed or substituted in the Transfer, rather than exercised prior to the Transfer for shares of
Common Stock, the aggregate exercise price of any such Stock Options cashed-out, assumed or
substituted in the Transfer.

 

16

 

Section 2.5. Grant of Preemptive Rights to Stockholders.

(a) In the event that, at any time, the Company or any of its Subsidiaries shall decide to
undertake an issuance of New Securities that is permitted by this Agreement, unless the H&F
Investors have notified the Company in writing that they will not exercise their rights under this
Section 2.5 with respect o such issuance (in which case it is understood that the Company shall
have no further obligations under this Section 2.5 with respect to such issuance), the Company
shall at such time deliver to each Stockholder written notice of the Company’s or such Subsidiary’s
decision, describing the amount, type and principal terms (including the exercise price and
expiration date thereof in the case of any Options) of such New Securities, the purchase price per
New Security (the “New Securities Price”) to be paid by the purchasers of such New
Securities and the other principal terms upon which the Company or such Subsidiary has decided to
issue such New Securities, including, without limitation, the expected timing of such issuance,
which shall not be less than twenty (20) Business Days after the date upon which such notice is
given (the “Preemptive Notice”). Each Stockholder shall have ten (10) Business Days from
the date on which they receive the Preemptive Notice to agree by irrevocable written notice to the
Company (a “Preemptive Exercise Notice”) to purchase up to their Pro Rata Amount of such
New Securities (and any Excess New Securities) for the New Securities Price and upon the general
terms specified in the Preemptive Notice by giving irrevocable written notice to the Company and
stating therein the quantity of New Securities to be purchased by any such Stockholder. In the
event that in connection with such a proposed issuance of New Securities, such Stockholder shall
for any reason fail or refuse to give such written notice to the Company within such ten (10)
Business Days period, such Stockholder shall, for all purposes of this Section 2.5, be deemed to
have refused (in that particular instance only) to purchase any of
such New Securities and to have waived (in that particular instance only) all of its rights
under this Section 2.5 to purchase any of such New Securities. In the event that any Non-H&F
Stockholder does not elect to purchase all of its respective Pro Rata Amount of such New
Securities, the New Securities that were available for purchase by such non-electing Stockholders
(the “Excess New Securities”) shall automatically be deemed to be accepted for purchase by
the Stockholders who indicated in their Preemptive Exercise Notice a desire to participate in the
purchase of New Securities in excess of their Pro Rata Amount. Unless otherwise agreed by all of
the Stockholders participating in the purchase of such New Securities, each Stockholder who
indicated to purchase more than its Pro Rata Amount shall purchase a number of Excess New
Securities equal to the lesser of (i) the number of Excess New Securities indicated in the
Preemptive Exercise Notice, if any, and (ii) an amount equal to the product of (A) the aggregate
number of Excess New Securities and (B) a fraction, the numerator of which is the number of Equity
Securities held at such time by such Stockholder and the denominator of which is the aggregate
number of Equity Securities held at such time by all Stockholders who
participate in the purchase
of Excess New Securities. Each such

 

17

 

Stockholder shall take or cause to be taken all such
reasonable actions as may be necessary or reasonably desirable in order to consummate expeditiously
each such issuance of New Securities pursuant to this Section 2.5 and any related transactions,
including (1) executing, acknowledging and delivering consents, assignments, waivers and other
documents or instruments; (2) filing applications, reports, returns, filings and other documents or
instruments with governmental authorities; and (3) otherwise cooperating with the Company, such
Subsidiary and the other prospective purchasers of such New Securities. Without limiting the
generality of the foregoing, each such Stockholder agrees to execute and deliver such subscription
and other agreements specified by the Company to which such Stockholder will be party.
Notwithstanding anything to the contrary set forth herein, a Stockholder shall not be entitled to
participate in an issuance of New Securities pursuant to this Section 2.5 unless at the time of
such issuance the Company shall be reasonably satisfied that (x) such Stockholder is an “accredited
investor” as defined in Regulation D of the Securities Act or such issuance, after giving effect to
the participation of such Stockholder therein, would satisfy the requirements of any other
exemption from registration available at such time under the Securities Act with respect to such
issuance and (y) an exemption from registration or qualification under any state securities laws or
foreign securities laws applicable to such issuance due to the participation of such Stockholder
therein would be available with respect to such issuance. All costs and expenses incurred by the
Company and its Subsidiaries in connection with any proposed issuance of New Securities (whether or
not consummated), including all attorney’s fees and charges, all accounting fees and charges and
all finders, brokerage or investment banking fees, charges or commissions, shall be paid by the
Company or such Subsidiary. In connection with such proposed issuance of New Securities (whether
or not consummated), the Company shall pay the fees and out-of-pocket expenses of a single law firm
for all the H&F Investors. Any other costs and expenses incurred by or on behalf of any
Stockholder in connection with such proposed issuance of New Securities (whether or not
consummated) shall be borne by such holder.

(b) In the event any New Securities to be issued by the Company or such Subsidiary are not
subject to a Preemptive Exercise Notice, the Company or such Subsidiary shall be free to issue such
New Securities to any Person, provided that (i) the price per New Security at which such New
Securities are being issued to and purchased by such Person is not less than the New Securities
Price, (ii) the other terms and conditions pursuant to which such
Person purchases such New Securities are substantially equivalent to the terms set forth in
the Preemptive Notice and (iii) such issuance of New Securities takes place within ninety (90) days
of the Preemptive Notice. After expiration of the 90-day period, any such New Securities to be
issued by the Company or such Subsidiary shall be subject to this Section 2.5.

(c) Notwithstanding any provision hereof to the contrary, if the Company or one of its
Subsidiaries elects to issue New Securities other than in compliance with Section 2.5(a), which the
Company or such Subsidiary may elect to do only with the prior approval of the H&F Investors and
only if the H&F Investors determine that there are exigent circumstances, the Company shall give
notice to the Stockholders within ten (10) Business Days after the issuance of such New Securities.
Such notice shall set forth the principal terms and conditions of the issuance, including the
purchase price of the New Securities, the date on which such New Securities were issued and the
identities and addresses of the Persons to whom the New Securities were sold (the “Alternate
Procedure Purchasers”). Each Stockholder shall have ten
(10) Business Days after the date the
Company’s notice is given to elect, by giving

 

18

 

notice to the Company and the Alternate Procedure
Purchasers, to purchase from the Alternate Procedure Purchasers up to the number of New Securities
that such Stockholder would otherwise have the right to purchase pursuant to Section 2.5(a) above
had the Company or such Subsidiary complied with the provisions of Section 2.5(a) in connection
with the issuance of such New Securities under the terms and conditions set forth in the Company’s
notice pursuant to this Section 2.5(c). The closing of sales from the Alternate Procedure
Purchasers to the Stockholders pursuant to this Section 2.5(c) shall occur within thirty (30)
Business Days of the date notice is given to the Stockholders (subject to extension to the extent
necessary to obtain required governmental or other approvals). The Company shall cause any
definitive agreements relating to issuances of New Securities to Alternate Procedure Purchasers to
include all such provisions as are necessary to give effect to this Section 2.5(c), including the
Alternate Procedure Purchasers’ agreement to sell such New Securities to the Stockholders, to the
extent applicable, on a pro rata basis (based on the number of New Securities purchased by each
Alternate Procedure Purchaser in the applicable issuance).

Section 2.6. Company’s Right to Purchase Common Stock.

(a) Upon termination under any circumstances of an Applicable Employee’s employment with,
service to, or engagement by, the Company or any of its Affiliate, the Company shall have the
right, but not the obligation, to purchase, from time to time, any or all of the Common Stock held
by such Applicable Employee and/or his or her Family Affiliates and Beneficiaries (including, as
provided herein, following the exercise of any Option) by delivering written notice (the
“Repurchase Notice”) to such Applicable Employee within sixty (60) calendar days after the
date of such termination of employment, service or engagement, as applicable (or, if such Common
Stock is acquired upon the exercise, conversion or exchange of an Option, subject to the proviso
set forth below in this Section 2.6(a) within sixty (60) calendar days after the last date such
Option may be exercised, converted or exchanged in accordance with its terms), at the purchase
price determined in accordance with Section 2.6(b), Section 2.6(c) or Section 2.6(d), as
applicable; provided, however, that if any such share of Common Stock has been held
by such Applicable Employee, Family Affiliate or Beneficiary, as the case may be, for
six (6) months or less at any time the Company is entitled to exercise its right to purchase
such share of Common Stock under this Section 2.6(a) but for this proviso, the Company may exercise
such right to purchase such share of Common Stock within (but only within) sixty (60) calendar days
after such share of Common Stock has first been held by such Applicable Employee, Family Affiliate
or Beneficiary for greater than six (6) months; provided, further, that in no event
shall this Section 2.6 apply to any Rollover Shares purchased by any director of the Company or any
of its Affiliates who, at the time of such purchase, is also neither an employee of the Company or
any of its Affiliates nor a managing director or employee of the H&F Investors or any of their
Affiliates.

(b) Subject to Section 2.6(d), if such termination of the Applicable Employee’s employment,
service or engagement, as applicable, is under circumstances other than as described in Section
2.6(c), the purchase price to be paid by the Company for any shares of Common Stock to be purchased
by the Company pursuant to Section 2.6(a) shall be the fair market value of such shares of Option
Stock as of the date the Company purchases such shares in accordance with Section 2.6(a), as
determined in good faith by the compensation committee of the Board (without discount for lack of
marketability or minority interest), based upon a customary appraisal prepared by an independent
appraisal company, or such other reasonable valuation method as such committee shall select and
apply as of the given date.

 

19

 

(c) If such termination of the Applicable Employee’s employment is by the Company or an
Affiliate thereof for Cause or by the Applicable Employee resigning his or her employment with,
service to, or engagement by, the Company or an Affiliate thereof for any reason, the purchase
price to be paid by the Company for any shares of Common Stock to be purchased by the Company
pursuant to Section 2.6(a) shall be the lesser of: (A) the fair market value (as determined by the
compensation committee of the Board in accordance with Section 2.6(b)) of such shares of Common
Stock as of the date the Company purchases such shares in accordance with this Section 2.6(a) and
(B) the purchase price paid for such shares of Common Stock.

(d) Notwithstanding Section 2.6(b) and Section 2.6(c), the purchase price to be paid by the
Company for any shares of Common Stock to be purchased by the Company pursuant to Section 2.6(a)
that are Rollover Shares shall be the fair market value (as determined by the compensation
committee of the Board in accordance with Section 2.6(b)) of such shares of Common Stock as of the
date the Company purchases such shares in accordance with this Section 2.6(a).

(e) If the Company shall elect to exercise its right to purchase any share of Common Stock
under Section 2.6(a), the closing of such purchase by the Company shall take place no later than
forty-five (45) days after the exercise of such right, which time (i) in the case of the death of
the Applicable Employee may be extended to provide for probate of such Applicable Employee’s estate
and (ii) may be extended in the circumstances set forth in the last sentence of this Section
2.6(e). On the date scheduled for such closing, the price for the shares of Common Stock to be
purchased by the Company, determined in accordance with Section 2.6(b), Section 2.6(c) and/or
Section 2.6(d), as applicable, shall be paid by the Company by check or checks to the record holder
of such shares against delivery of a certificate or certificates representing the purchased shares
in proper form for transfer. Notwithstanding the immediately
preceding sentence to the contrary, the Company may pay such price for the shares of Common
Stock to be purchased by the Company, in whole or in part, by offsetting amounts outstanding under
any indebtedness or obligations owed by the Applicable Employee and/or any of his or her Family
Affiliates or Beneficiaries to the Company or any Affiliate thereof. In connection with such
closing, such record holder shall warrant in writing to the Company good and marketable title to
such shares of Common Stock, free and clear of all claims, liens, charges, encumbrances and
security interests of any nature whatsoever except those under this Agreement. Notwithstanding
anything to the contrary contained herein, all repurchases of Common Stock by the Company will be
subject to applicable restrictions contained under Delaware law and in the Company’s and any
Affiliate’s debt and equity financing agreements. If any such restrictions prohibit the Company’s
purchase of shares of Common Stock pursuant to Section 2.6(a) which the Company is otherwise
entitled to make, the Company may make such purchases as soon as it is permitted to do so under
such restrictions, and all restrictions on the transfer of Common Stock in effect on the date such
Company purchase right arose shall remain in effect until fifteen (15) days after the end of the
period in which the Company is permitted to make such purchases.

 

20

 

(f) If, at any time prior to the date on which the Company’s purchase right with respect to
any shares of Common Stock pursuant to Section 2.6(a) terminates, the Company shall determine not
to exercise such purchase right with respect to such shares of Common Stock, then the Company shall
promptly notify the H&F Investors of such determination. In such event, the H&F Investors shall
have the right to exercise such purchase right pursuant to the terms and conditions of this Section
2.6 in the same manner as the Company.

Section 2.7. Certain Transfers after an Initial Public Offering.

(a) After the consummation of an initial Public Offering, in the event that any of the H&F
Investors makes an In-Kind Distribution or a Transfer of Equity Securities pursuant to Rule 144 (or
any similar or analogous rule) promulgated under the Securities Act (each such Transfer, a
“Post-IPO Release Event”), then each of the Non-H&F Stockholders will be entitled to
Transfer to any Person at any time after the completion of such Post-IPO Release Event a number of
Equity Securities held by such Non-H&F Stockholder (including any Equity Securities that may be
issued upon exercise of a vested Stock Option) equal to the product of the following: (x) the
number of Equity Securities held by such Non-H&F Stockholder immediately prior to such Post-IPO
Release Event multiplied by (y) a fraction, the numerator of which is the aggregate number of
Equity Securities Transferred by the H&F Investors in such Post-IPO Release Event and the
denominator of which equals the aggregate number of Equity Securities held by the H&F Investors
immediately prior to such Post-IPO Release Event.

Section 2.8. Termination of this Article II. Except for Section 2.5 and Section 2.6, this Article II shall terminate and be of no
further force or effect on the one-year anniversary of the consummation of an initial Public
Offering. Section 2.5 and Section 2.6 shall terminate and be of no further force or effect upon
the consummation of an initial Public Offering.

ARTICLE III

REGISTRATION RIGHTS

Section 3.1. Required Registration.

(a) Required Registration. At any time after the occurrence of the initial Public
Offering of the Company, the H&F Investors shall have the right to require (a “Demand
Request”) the Company to register under the Securities Act all or a portion of such number of
Registrable Securities as such Stockholders shall designate for sale in a written request to the
Company (each, a “Required Registration”) and such request shall specify the amount and
intended method of disposition thereof, which may include, among other things, a shelf registration
statement pursuant to Rule 415 (or its successor provision) of the Securities Act (a “Shelf
Registration”).

 

21

 

(b) Piggyback Rights. Upon receipt by the Company of a Demand Request or a request
for a Shelf Take-Down that will include a Marketed Underwritten Offering (a “Marketed
Underwritten Take-Down”), the Company shall deliver a written notice (a “Demand
Notice”) to each of the other Stockholders stating that the Company intends to comply with such
Demand Request or request for such a Shelf Take-Down and informing each such Stockholder of its
right to include Registrable Securities in such Required Registration or such Shelf Take-Down.
Within five (5) Business Days after receipt of such Demand Notice or request for such a Shelf
Take-Down, each such other Stockholder shall have the right to request in writing that the Company
include all or a specific portion of the Registrable Securities held by such other Stockholder in
such Required Registration or such Shelf Take-Down.

(c) Postponement. The Company may postpone any Required Registration for a reasonable
period of time, not to exceed ninety (90) days once in every twelve (12) month period, if the Board
determines in good faith that such Required Registration would (i) require the disclosure of a
material transaction or other matter and such disclosure would be disadvantageous to the Company or
(ii) adversely affect a material financing, acquisition, disposition of assets or stock, merger or
other comparable transaction.

(d) Time for Filing and Effectiveness. As promptly as practicable after a Demand
Request but in no event later than the date which is thirty (30) days after such Demand Request,
the Company shall file with the SEC the Required Registration with respect to all Registrable
Securities to be so registered (which shall be designated by the Company as an Automatic Shelf
Registration if the Company is a Well-Known Seasoned Issuer at the time of filing such Shelf
Registration with the SEC), and shall use its reasonable efforts to cause such Required
Registration to become effective as promptly as practicable after the filing thereof, but in no
event later than the day which is ninety (90) days after the date of the Demand Request. The
Company will use its reasonable best efforts to keep any Required Registration filed pursuant to
this Section 3.1 effective for the period beginning on the date on which the Required Registration
is declared effective and ending on the earlier of (i) the date of full distribution of the
Registrable Securities included in such Required Registration and (ii) (x) in the case of a
Shelf Registration, such shorter period as the H&F Investors may agree in writing or (y) in
the case of any other Required Registration, the date that is one hundred eighty (180) days from
the date of first effectiveness.

(e) Selection of Underwriters. In the event (i) that the Registrable Securities to be
registered pursuant to a Required Registration are to be disposed of in an underwritten Public
Offering or (ii) any Underwritten Shelf Take-Down, the underwriters of such Public Offering or
Underwritten Shelf Take-Down shall be one or more underwriting firms of nationally recognized
standing selected by the H&F Investors.

(f) Priority on Required Registrations. In the event that, in the case of any
Required Registration or Marketed Underwritten Take-Down, the managing underwriter for the Public
Offering or Marketed Underwritten Take-Down contemplated by Section 3.1(e) shall advise the Company
in writing (with a copy to each holder of Registrable Securities requesting a sale) that, in such
underwriter’s opinion, the amount of securities requested to be included in such Required
Registration or Marketed Underwritten Take-Down would adversely affect the Public Offering and sale
(including pricing) of such Registrable Securities, then the Registrable Securities that shall be
included in the Required Registration or Marketed Underwritten Take-Down shall be reduced to the
extent necessary to avoid such adverse affect and each Stockholder (including the H&F Investors)
that requested to include Registrable Securities in such Required Registration or Marketed
Underwritten Take-Down shall be entitled to include its pro rata share
of such Registrable

 

22

 

Securities, based upon the number of Registrable Securities requested to be included by such
Stockholders in such Required Registration or Marketed Underwritten Take-Down; provided,
however, that if such managing underwriter shall advise the Company that, in such
underwriter’s opinion, the inclusion of Registrable Securities held by Management Stockholders
would adversely affect the offering and sale (including pricing) of such securities, then the
number of Registrable Securities held by such Management Stockholders to be included in such Public
Offering may be disproportionately reduced to avoid such adverse result. If the underwriter has
not limited the number of Registrable Securities to be underwritten, the Company may include
securities for its own account (or for the account of any other Persons) in such registration if
the underwriter so agrees and if the number of Registrable Securities would not thereby be limited.

(g) Shelf Take-Downs. Any of the H&F Investors whose Registrable Securities have been
registered pursuant to a Shelf Registration may initiate an offering or sale of Registrable
Securities pursuant to such Shelf Registration (each, a “Shelf Take-Down”) and, except as
set forth in this Section 3.1 with respect to Marketed Underwritten Take-Downs, such H&F Investor
shall not be required to permit the offer and sale of Registrable Securities by any other
Stockholder in connection with such Shelf Take-Down. If the initiating H&F Investors so elect by
written request to the Company, a Shelf Take-Down may be in the form of an underwritten offering
(an “Underwritten Shelf Take-Down”), and the Company shall, if so requested, file and
effect an amendment or supplement of the Shelf Registration for such purpose as soon as
practicable. Only the H&F Investors shall have the right to initiate an Underwritten Shelf
Take-Down, and any such Underwritten Shelf Take-Down that is a Marketed Underwritten Take-Down
shall be deemed to be a registration pursuant to this Section 3.1 and the Company shall provide
notice to the other Stockholders of such registration in accordance with the provisions of Section
2.5(b).

(h) Suspension of Shelf Registrations. The Company may suspend the sale of
Registrable Securities pursuant to any Shelf Registration for a reasonable period of time, not to
exceed ninety (90) days once in every twelve (12) month period, if the Board determines in good
faith that sales of Registrable Securities pursuant to such Shelf Registration would (i) require
the disclosure of a material transaction or other matter and such disclosure would be
disadvantageous to the Company or (ii) adversely affect a material financing, acquisition,
disposition of assets or stock, merger or other comparable transaction. Each Stockholder shall
keep confidential the fact that such suspension is in effect for the permitted duration of such
suspension or until otherwise notified by the Company, except (A) for disclosure to such
Stockholder’s employees, agents and professional advisers who need to know such information and are
obligated to keep it confidential, (B) for disclosures to the extent required in order to comply
with reporting obligations to its limited partners who have agreed to keep such information
confidential and (C) as required by Applicable Law. In the case of a Shelf Suspension, the
Stockholders agree to suspend use of the applicable prospectus for the permitted duration of such
suspension in connection with any sale or purchase of, or offer to sell or purchase, Registrable
Securities, upon receipt of the notification referred to above. The Company shall immediately
notify the Stockholders upon the termination of any such suspension, and shall amend or supplement
the prospectus, if necessary, so it does not contain any material misstatement or omission prior to
the expiration of the suspension and furnish to the Stockholders such numbers of copies of the
prospectus as so amended or supplemented as the Stockholders may reasonably request. The Company
agrees, if necessary, to supplement or make amendments to the Shelf Registration if required by the
registration form used by the Company for the Shelf Registration or by the instructions applicable
to such registration form or by the Securities Act or as may reasonably be requested by the H&F
Investors.

 

23

 

Section 3.2. Incidental Registration.

(a) Filing of Registration Statement. If the Company at any time proposes to
register, for its own account or the account of another Person, any of its securities (an
“Incidental Registration”) under the Securities Act (other than (1) in a registration
relating solely to employee benefit plans, (2) a registration statement on Form S-4 or S-8 (or such
other similar successor forms then in effect under the Securities Act), (3) a registration pursuant
to which the Company is offering to exchange its own securities for other securities, (4) a
registration statement relating solely to dividend reinvestment or similar plans, (5) a shelf
registration statement pursuant to which only the initial purchasers and subsequent transferees of
debt securities of the Company or any of its Subsidiary that are convertible for Registrable
Securities and that are initially issued pursuant to Rule 144A and/or Regulation S (or any
successor provision) of the Securities Act may resell such notes and sell the Registrable
Securities into which such notes may be converted or (6) a registration pursuant to Section 3.1
hereof), for sale to the public in a Public Offering, it will at each such time give prompt written
notice to all Stockholders of its intention to do so, which notice shall be given at least ten (10)
Business Days prior to the date that a registration statement relating to such registration is
proposed to be filed with the SEC. Upon the written request of any Stockholder to include
Registrable Securities held by it under such registration statement (which request shall (i) be
made within five (5) Business Days after the receipt of any such notice, and (ii) specify the
Registrable Securities
intended to be included by such holder), the Company will use its reasonable efforts to effect
the registration of all Registrable Securities that the Company has been so requested to register
by such Stockholder; provided, however, that if, at any time after giving written
notice of its intention to register any securities and prior to the effective date of the
registration statement filed in connection with such registration, the Company shall determine for
any reason to terminate such registration statement and not to register such securities, the
Company may, at its election, give written notice of such determination to each such holder and,
thereupon, shall be relieved of its obligation to register any Registrable Securities of such
Persons in connection with such registration.

(b) Selection of Underwriters. Notice of the Company’s intention to register such
securities shall designate the proposed underwriters of such Public Offering and shall contain the
Company’s agreement to use its reasonable efforts, if requested to do so, to arrange for such
underwriters to include in such underwriting the Registrable Securities that the Company has been
so requested to sell pursuant to this Section 3.2, it being understood that the holders of
Registrable Securities shall have no right to select different underwriters for the disposition of
their Registrable Securities.

 

24

 

(c) Priority on Incidental Registrations. If the managing underwriter for the Public
Offering contemplated by this Section 3.2 shall advise the Company in writing that, in such
underwriter’s opinion, the number of securities requested to be included in such Incidental
Registration would adversely affect the Public Offering and sale (including pricing) of such
securities the Company shall include in such Incidental Registration the number of securities that
the Company is so advised should be sold in such Public Offering, in the following amounts and
order of priority:

(i) first, securities proposed to be sold by the Company for its own account;

(ii) second, the Registrable Securities requested to be registered by
Stockholders (including the H&F Investors) pro rata among such Stockholders on the
basis of the number of Registrable Securities requested to be sold by such
Stockholders pursuant to this Section 3.2; provided, however, that
if such managing underwriter shall advise the Company that, in such underwriter’s
opinion, the inclusion of Registrable Securities held by Management Stockholders
would adversely affect the offering and sale (including pricing) of such securities,
then the number of Registrable Securities held by such Management Stockholders to be
included in such Public Offering may be disproportionately reduced to avoid such
adverse result; and

(iii) third, all other Registrable Securities and securities proposed to be
sold for the account of any other Person.

Section 3.3. Registration Procedures. The Company will use its reasonable efforts to effect each Required Registration pursuant to
Section 3.1 and each Incidental Registration pursuant to Section 3.2, and to cooperate
with the sale of such Registrable Securities in accordance with the intended method of
disposition thereof as quickly as possible, and the Company will as expeditiously as possible:

(a) subject, in the case of an Incidental Registration, to the proviso to
Section 3.2(a), prepare and file with the SEC the registration statement and use its
reasonable efforts to cause the Registration to become effective; provided,
however, that, to the extent practicable, the Company will furnish to the
holders of the Registrable Securities covered by such registration statement and
their counsel, copies of all such documents proposed to be filed and any such holder
shall have the opportunity to comment on any information pertaining solely to such
holder and its plan of distribution that is contained therein and the Company shall
make the corrections reasonably requested by such holder with respect to such
information prior to filing any such registration statement or amendment;

(b) subject, in the case of an Incidental Registration, to the proviso to
Section 3.2(a), prepare and file with the SEC such amendments and post-effective
amendments to any registration statement and any prospectus used in connection
therewith as may be necessary to keep such registration statement effective and to
comply with the provisions of the Securities Act with respect to the disposition of
all Registrable Securities covered by such registration statement until such time as
all of such Registrable Securities have been disposed of in accordance with the
intended methods of disposition by the seller or sellers thereof set forth in such
registration statement and cause the prospectus to be supplemented by any required
prospectus supplement, and as so supplemented to be filed pursuant to Rule 424 under
the Securities Act;

 

25

 

(c) furnish, upon request, to each holder of Registrable Securities to be
included in such Registration and the underwriter or underwriters, if any, without
charge, at least one signed copy of the registration statement and any
post-effective amendment thereto, and such number of conformed copies thereof and
such number of copies of the prospectus (including each preliminary prospectus and
each prospectus filed under Rule 424 under the Securities Act), any amendments or
supplements thereto and any documents incorporated by reference therein, as such
holder or underwriter may reasonably request in order to facilitate the disposition
of the Registrable Securities being sold by such holder (it being understood that
the Company consents to the use of the prospectus and any amendment or supplement
thereto by each holder of Registrable Securities covered by such registration
statement and the underwriter or underwriters, if any, in connection with the Public
Offering and sale of the Registrable Securities covered by the prospectus or any
amendment or supplement thereto);

(d) notify each holder of the Registrable Securities to be included in such
Registration and the underwriter or underwriters, if any:

(i) of any stop order or other order suspending the effectiveness of
any registration statement, issued or threatened by the
SEC in connection therewith, and take all reasonable actions required
to prevent the entry of such stop order or to remove it or obtain withdrawal
of it at the earliest possible moment if entered;

(ii) when such registration statement or any prospectus used in
connection therewith, or any amendment or supplement thereto, has been filed
and, with respect to such registration statement or any post-effective
amendment thereto, when the same has become effective;

(iii) of any written request by the SEC for amendments or supplements
to such registration statement or prospectus; and

(iv) of the receipt by the Company of any notification with respect to
the suspension of the qualification of any Registrable Securities for sale
under the applicable securities or blue sky laws of any jurisdiction;

(e) if requested by the managing underwriter or underwriters or any holder of
Registrable Securities to be included in such Registration in connection with any
sale pursuant to a registration statement, promptly incorporate in a prospectus
supplement or post-effective amendment such information relating to such
underwriting as the managing underwriter or underwriters or such holder reasonably
requests to be included therein; and make all required filings of such prospectus
supplement or post-effective amendment as soon as practicable after being notified
of the matters incorporated in such prospectus supplement or post-effective
amendment;

 

26

 

(f) on or prior to the date on which a Registration is declared effective, use
its reasonable efforts to register or qualify, and cooperate with the holders of
Registrable Securities to be included in such Registration, the underwriter or
underwriters, if any, and their counsel, in connection with the registration or
qualification of the Registrable Securities covered by such Registration for offer
and sale under the securities or “blue sky” laws of each state and other
jurisdiction of the United States as any such holder or underwriter reasonably
requests in writing; use its reasonable efforts to keep each such registration or
qualification effective, including through new filings, or amendments or renewals,
during the period such registration statement is required to be kept effective; and
do any and all other acts or things necessary or advisable to enable the disposition
of the Registrable Securities in all such jurisdictions reasonably requested covered
by such Registration; provided, however, that the Company shall not
be required to qualify generally to do business in any jurisdiction where it is not
then so qualified or to take any action which would subject it to general service of
process in any such jurisdiction where it is not then so subject;

(g) in connection with any sale pursuant to a Registration, cooperate with the
holders of Registrable Securities to be included in such Registration and the
managing underwriter or underwriters, if any, to facilitate the
timely preparation and delivery of certificates (not bearing any restrictive
legends) representing securities to be sold under such Registration, and enable such
securities to be in such denominations and registered in such names as the managing
underwriter or underwriters, if any, or such holders may request;

(h) use its reasonable efforts to cause the Registrable Securities to be
registered with or approved by such other governmental agencies or authorities
within the United States and having jurisdiction over the Company or any Subsidiary
as may be necessary to enable the seller or sellers thereof or the underwriter or
underwriters, if any, to consummate the disposition of such securities;

(i) use its reasonable efforts to obtain:

(A) at the time of effectiveness of each Registration, a
“comfort letter” from the Company’s independent certified public
accountants covering such matters of the type customarily covered by
“cold comfort letters” as the holders of a majority of the
Registrable Securities to be included in such Registration and the
underwriters reasonably request; and

 

27

 

(B) at the time of any underwritten sale pursuant to the
registration statement, a “bring-down comfort letter,” dated as of
the date of such sale, from the Company’s independent certified
public accountants covering such matters of the type customarily
covered by comfort letters as the Requisite Holders and the
underwriters reasonably request;

(j) use its reasonable efforts to obtain, at the time of effectiveness of each
Registration and at the time of any sale pursuant to each Registration, an opinion
or opinions addressed to the holders of the Registrable Securities to be included in
such Registration and the underwriter or underwriters, if any, in customary form and
scope from counsel for the Company;

(k) notify each seller of Registrable Securities covered by such Registration,
upon discovery that, or upon the happening of any event as a result of which, the
prospectus included in such Registration, as then in effect, includes an untrue
statement of a material fact or omits to state any material fact required to be
stated therein or necessary to make the statements therein not misleading, and
promptly prepare and file with the SEC and furnish to such seller or holder a
reasonable number of copies of a supplement to or an amendment of such prospectus as
may be necessary so that, as thereafter delivered to the purchasers or prospective
purchasers of such securities, such prospectus shall not include an untrue statement
of a material fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein not misleading in the light of the
circumstances under which they are made;

(l) otherwise comply with all applicable rules and regulations of the SEC, and
make generally available to its security holders (as contemplated by Section 11(a)
under the Securities Act) an earnings statement satisfying the provisions of Rule
158 under the Securities Act no later than ninety (90) days after the end of the
twelve (12) month period beginning with the first month of the Company’s first
fiscal quarter commencing after the effective date of the registration statement,
which statement shall cover said twelve (12) month period;

(m) provide and cause to be maintained a transfer agent and registrar for all
Registrable Securities covered by each Registration from and after a date not later
than the effective date of such Registration;

(n) use its reasonable efforts to cause all Registrable Securities covered by
each Registration to be listed subject to notice of issuance, prior to the date of
first sale of such Registrable Securities pursuant to such Registration, on each
securities exchange on which the Common Stock are then listed, and admitted to
trading on NASDAQ, if the Common Stock or any such other securities of the Company
are then admitted to trading on NASDAQ;

(o) use reasonable best efforts to make available the executive officers of the
Company and its Subsidiaries to participate and to cooperate with the holders of
Registrable Securities and any underwriters in any “road shows” or other selling
efforts that may be reasonably be requested upon reasonable notice thereof by the
Stockholders in connection with a firm commitment underwritten offering for the
Registrable Securities with respect to a Required Registration (an underwritten
offering contemplated by this 3.3(o), a “Marketed Underwritten Offering”);
and

 

28

 

(p) enter into such agreements (including underwriting agreements in customary
form) and take such other actions as the Requisite Holders shall reasonably request
in order to expedite or facilitate the disposition of such Registrable Securities.

The Company may require each holder of Registrable Securities that will be included in such
Registration to furnish the Company with such information in respect of such holder of its
Registrable Securities that will be included in such Registration as the Company may reasonably
request in writing and as is required by Applicable Law.

Section 3.4. Preparation; Reasonable Investigation. In connection with the preparation and filing of each registration statement registering
Registrable Securities under the Securities Act, the Company shall give the holders of such
Registrable Securities so registered, their underwriters, if any, and their respective counsel and
accountants access to its books and records and an opportunity to discuss the business of the
Company with its officers and the independent public accountants who have certified its financial
statements as shall be necessary, in the opinion of such holders’ or such underwriters’
to conduct a reasonable investigation within the meaning of Section 11(b)(3) of the Securities
Act.

Section 3.5. Rights of Requesting Holders. Each holder of Registrable Securities to be included in a Registration which makes a written
request therefor in Section 3.1 or 3.2, as the case may be, shall have the right to receive within
thirty (30) days of receipt by the Company of such request copies of the information, notices and
other documents described in Section 3.3(l) and Section 3.3(p).

Section 3.6. Registration Expenses. The Company will pay all Registration Expenses in connection with each registration of
Registrable Securities, including, without limitation, any such registration in which the Company
does not sell any securities for its own account.

Section 3.7. Indemnification; Contribution.

(a) The Company shall indemnify, to the fullest extent permitted by Applicable Law, each
holder of Registrable Securities, its officers, directors, partners, employees and agents, if any,
and each Person, if any, who controls such holder within the meaning of Section 15 of the
Securities Act, against all losses, claims, damages, liabilities (or proceedings in respect
thereof) and expenses (under the Securities Act or common law or otherwise), joint or several,
resulting from any violation by the Company of the provisions of the Securities Act or any untrue
statement or alleged untrue statement of a material fact contained in any registration statement or
prospectus (and as amended or supplemented if amended or supplemented) or any preliminary
prospectus or caused by any omission or alleged omission to state therein a material fact required
to be stated therein or necessary to make the statements therein (in the case

 

29

 

of any  prospectus, in
light of the circumstances under which they were made) not misleading, except to the extent that
such losses, claims, damages, liabilities (or proceedings in respect thereof) or expenses are
caused by any untrue statement or alleged untrue statement contained in or by any omission or
alleged omission from information concerning any holder furnished in writing to the Company by such
holder expressly for use therein. If the Public Offering pursuant to any registration statement
provided for under this Article III is made through underwriters, no action or failure to act on
the part of such underwriters (whether or not such underwriter is an Affiliate of any holder of
Registrable Securities) shall affect the obligations of the Company to indemnify any holder of
Registrable Securities or any other Person pursuant to the preceding sentence. If the Public
Offering pursuant to any registration statement provided for under this Article III is made through
underwriters, the Company agrees to enter into an underwriting agreement in customary form with
such underwriters and the Company agrees to indemnify such underwriters, their officers, directors,
employees and agents, if any, and each Person, if any, who controls such underwriters within the
meaning of Section 15 of the Securities Act to the same extent as herein before provided with
respect to the indemnification of the holders of Registrable Securities; provided that the Company
shall not be required to indemnify any such underwriter, or any officer, director or employee of
such underwriter or any Person who controls such underwriter
within the meaning of Section 15 of the Securities Act, to the extent that the loss, claim,
damage, liability (or proceedings in respect thereof) or expense for which indemnification is
claimed results from such underwriter’s failure to send or give a copy of an amended or
supplemented final prospectus to the Person asserting an untrue statement or alleged untrue
statement or omission or alleged omission at or prior to the written confirmation of the sale of
Registrable Securities to such Person if such statement or omission was corrected in such amended
or supplemented final prospectus prior to such written confirmation and the underwriter was
provided with such amended or supplemented final prospectus.

(b) In connection with any registration statement in which a holder of Registrable Securities
is participating, each such holder, severally and not jointly, shall indemnify, to the fullest
extent permitted by Applicable Law, the Company, each underwriter and their respective officers,
directors, employees and agents, if any, and each Person, if any, who controls the Company or such
underwriter within the meaning of Section 15 of the Securities Act, against any losses, claims,
damages, liabilities (or proceedings in respect thereof) and expenses resulting from any untrue
statement or alleged untrue statement of a material fact, or any omission or alleged omission of a
material fact required to be stated in the registration statement or prospectus or preliminary
prospectus or any amendment thereof or supplement thereto or necessary to make the statements
therein (in the case of any prospectus, in light of the circumstances under which they were made)
not misleading, but only to the extent that such untrue statement is contained in or such omission
is from information so concerning a holder furnished in writing by such holder expressly for use
therein; provided that such holder’s obligations hereunder shall be limited to an amount equal to
the net proceeds to such holder of the Registrable Securities sold pursuant to such registration
statement. It is understood and agreed that the indemnification obligations of each holder of
Registrable Securities pursuant to any underwriting agreement entered into in connection with any
such registration statement shall be limited to the obligations contained in this Section 3.7(b).

 

30

 

(c) Any Person entitled to indemnification under the provisions of this Section 3.7 shall (i)
give prompt notice to the indemnifying party of any claim with respect to which it seeks
indemnification and (ii) unless in such indemnified party’s reasonable judgment a conflict of
interest between such indemnified and indemnifying parties may exist in respect of such claim,
permit such indemnifying party to assume the defense of such claim, with counsel reasonably
satisfactory to the indemnified party; and if such defense is so assumed, such indemnifying party
shall not enter into any settlement without the consent of the indemnified party if such settlement
attributes liability to the indemnified party and such indemnifying party shall not be subject to
any liability for any settlement made without its consent (which shall not be unreasonably
withheld); and any underwriting agreement entered into with respect to any registration statement
provided for under this Article III shall so provide. In the event an indemnifying party shall not
be entitled, or elects not, to assume the defense of a claim, such indemnifying party shall not be
obligated to pay the fees and expenses of more than one counsel or firm of counsel for all parties
indemnified by such indemnifying party in respect of such claim, unless in the reasonable judgment
of any such indemnified party a conflict of interest may exist between such indemnified party and
any other of such indemnified parties in respect to such claim.

(d) If for any reason the foregoing indemnity is unavailable, then the indemnifying party
shall contribute to the amount paid or payable by the indemnified party as a result of such losses,
claims, damages, liabilities or expenses (i) in such proportion as is appropriate to reflect the
relative benefits received by the indemnifying party on the one hand and the indemnified party on
the other or (ii) if the allocation provided by clause (i) above is not permitted by Applicable Law
or provides a lesser sum to the indemnified party than the amount hereinafter calculated, in such
proportion as is appropriate to reflect not only the relative benefits received by the indemnifying
party on the one hand and the indemnified party on the other but also the relative fault of the
indemnifying party and the indemnified party as well as any other relevant equitable
considerations. Notwithstanding the foregoing, no holder of Registrable Securities shall be
required to contribute any amount in excess of the amount such holder would have been required to
pay to an indemnified party if the indemnity under Section 3.7(b) was available. No Person guilty
of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall
be entitled to contribution from any Person who was not guilty of such fraudulent
misrepresentation. The obligation of any Person to contribute pursuant to this Section 3.7 shall be
several and not joint.

(e) An indemnifying party shall make payments of all amounts required to be made pursuant to
the foregoing provisions of this Section 3.7 to or for the account of the indemnified party from
time to time promptly upon receipt of bills or invoices relating thereto or when otherwise due or
payable.

(f) The indemnity and contribution agreements contained in this Section 3.7 shall remain in
full force and effect regardless of any investigation made by or on behalf of a participating
holder of Registrable Securities, its officers, directors, agents or any Person, if any, who
controls such holder as aforesaid, and shall survive the Transfer of Equity Securities by such
holder and the termination of this Agreement for any reason.

 

31

 

Section 3.8. Holdback Agreements; Registration Rights to Others. In the event and to the extent requested by the managing underwriter with respect to the
initial Public Offering of the Company (or, if the Registrable Securities are being disposed of in
any other underwritten Public Offering, if requested by the managing underwriter thereof and the
H&F Investors have consented in writing to the application of this Section 3.8 to such underwritten
Public Offering), each Stockholder agrees not to sell, make any short sale of, grant any option for
the purchase of, or otherwise dispose of any securities of the Company, other than those
Registrable Securities included in such Registration pursuant to Section 3.1(a), 3.1(b) or 3.2(a)
for the thirty (30) days prior to and the one hundred eighty days (180) days (or ninety (90) days
in the case of any other Public Offering of the Company), subject to any customary “booster shot”
extensions, after the effectiveness of the registration statement pursuant to which such Public
Offering shall be made (or such shorter period of time as is sufficient and appropriate, in the
opinion of the managing underwriter or, as the case may be, the Company in order to complete the
sale and distribution of the securities included in such Public Offering; provided that in
no event shall such shorter period of time with respect to any Stockholder be shorter than any such
period for any other Stockholder). Each Stockholder agrees that it shall deliver to the
underwriter or underwriters of any Public Offering to which this
Section 3.8 is applicable a customary agreement reflecting its agreement set forth in this
Section 3.8.

Section 3.9. Availability of Information. Following the Company’s initial Public Offering, the Company shall comply with the reporting
requirements of Sections 13 and 15(d) of the Exchange Act and will comply with all other public
information reporting requirements of the SEC as from time to time in effect, and cooperate with
Stockholders who are holders of Registrable Securities, so as to permit disposition of the
Registrable Securities pursuant to an exemption from the Securities Act for the sale of any
Registrable Securities (including, without limitation, the current public information requirements
of Rule 144(c) and Rule 144A under the Securities Act). The Company shall also cooperate with each
Stockholder who is a holder of any Registrable Securities in supplying such information as may be
necessary for such holder to complete and file any information reporting forms presently or
hereafter required by the SEC as a condition to the availability of an exemption from the
Securities Act for the sale of any Registrable Securities.

Section 3.10. Additional Registration Rights. Nothing contained in this Agreement shall prevent the Company from granting additional
registration rights to any Person if approved by the H&F Investors.

ARTICLE IV

GOVERNANCE AND STOCKHOLDER MATTERS

Section 4.1. Board of Directors and Certain Other Governance Matters Prior to an Initial
Public Offering.

(a) Prior to the consummation of an initial Public Offering, each Stockholder agrees to vote,
at any time and from time to time, all of the Voting Stock held by such Stockholder and all other
Voting Stock over which he, she or it has voting control and shall take all other necessary or
desirable action within his, her or its control (whether in his, her or its capacity as a
stockholder, director or officer of the Company or otherwise), and the Company shall take all
necessary or desirable action within its control, in order to elect and maintain a six (6) member
Board (or such lesser or greater number of members as shall be established from time to time
pursuant to the Bylaws), which shall include: (i) unless otherwise determined in writing by the
H&F Investors, the chief executive officer of Associated and (ii) such other Directors as shall be
designated from time to time by the H&F Investors (with at least one of such Directors being
designated by H&F VI for so long as H&F VI owns any Equity Securities or Options).

 

32

 

(b) In the event that any Director designated by the H&F Investors pursuant to this Section
4.1 for any reason ceases to serve as a Director during his or her term of office, the resulting
vacancy on the Board shall be filled by a Director promptly designated by the H&F Investors.

(c) The removal of any Director designated pursuant to this Section 4.1 may be only at the
written request of the Person who designated such Director and shall be effective upon the
Company’s receipt of such written request. The Stockholders shall take all steps necessary to
implement any such removal in accordance with the terms of this Agreement.

(d) In order to effectuate the provisions of this Agreement (including, without limitation,
the provisions set forth in Sections 4.1(a) through (c) hereof), and in connection with any matter
put to a vote of the Stockholders under this Agreement or Applicable Law (but subject to the
provisions of Section 5.14), prior to the consummation of an initial Public Offering, each Non-H&F
Stockholder hereby grants to the H&F Investors, an irrevocable proxy (which proxy is coupled with
an interest) to vote at any annual or special meeting of stockholders, or to take action by written
consent in lieu of such meeting, with respect to all of the shares of Capital Stock or other voting
or non-voting securities of the Company owned or held of record by such Non-H&F Stockholder, as
determined by the H&F Investors, with respect to (A) the election of Directors designated in
accordance with this Section 4.1, (B) the removal of Directors in accordance with this Section 4.1,
(C) the election of a Director to fill any vacancy on the Board in accordance with this Section
4.1, (D) amending the certificate of incorporation of the Company but, excluding changes that would
disproportionately and adversely affect the rights of the Management Stockholders as compared to
the H&F Investor and (E) the taking of any other action by the Stockholders under this Agreement or
approving or voting on any matter in accordance with Applicable Law (but subject to the provisions
of Section 5.14); provided, that in exercising such proxy, the H&F Investors shall not
agree to waive or amend any rights of such Non-H&F Stockholder under this Agreement. The H&F
Investors shall use their commercially reasonable efforts to provide each Non-H&F Stockholder with
written prior notice of any exercise of the proxy granted pursuant to this Section 4.1(d);
provided, however, that failure to provide such written prior notice shall not
affect the exercise of such proxy by the H&F Investors.

(e) The Company shall cause the boards of directors of each of Holdings and Associated to have
the exact composition as provided for in this Section 4.1, and for such boards to be subject to the
same rules and operating procedures as set forth in this Section 4.1, mutatis mutandis.

 

33

 

(f) Without the prior written consent of the H&F Investors, prior to an initial Public
Offering, the Company shall not issue any options or other equity grants or awards under the
Company Plan or any employee equity program unless such options, grants or other awards, and any
resulting Equity Interests, are subject to the terms and provisions of this Agreement.

(g) This Section 4.1 shall terminate and be of no further force or effect upon the
consummation of the initial Public Offering of the Company.

Section 4.2. Board of Directors and Certain Other Governance Matters After an Initial
Public Offering.

(a) After the consummation of an initial Public Offering, to the extent permitted by
Applicable Law and the rules of the principal stock exchange or inter-dealer quotation system on
which the Common Stock is then traded or listed, in connection with each election of Directors, the
H&F Investors shall have the right to nominate a number of individuals for election to the Board
equal to the product of the following (such individuals, the “H&F Nominees”) (with at least
one of such nominees initially being nominated by H&F VI if it shall continue to be a Stockholder
at such time): (i) the percentage of the outstanding Equity Securities beneficially owned by the
H&F Investors, taken together, and (ii) the number of directors then on the Board;
provided, however that such product shall be rounded up to the nearest whole
number.

(b) For so long as the H&F Investors have the right to nominate H&F Nominees for election
pursuant to Section 4.2(a), in connection with each election of Directors, the Company shall
nominate such H&F Nominees for election as a Director as part of the slate that is included in the
proxy statement (or consent solicitation or similar document) of the Company relating to the
election of Directors, and shall provide the highest level of support for the election of such H&F
Nominees as it provides to any other individual standing for election as a Director of the Company
as part of the Company’s slate of Directors. Each Stockholder other than the H&F Investors shall
vote all of its, his or her Voting Stock in favor of each H&F Nominee nominated in accordance
therewith, except to the extent the H&F Investors may otherwise consent in writing.

(c) In the event that an H&F Nominee shall cease to serve as a Director for any reason (other
than the failure of the stockholders of the Company to elect such individual as a director), the
H&F Investors shall have the right to appoint another H&F Nominee to fill the vacancy resulting
therefrom. For the avoidance of doubt, it is understood that the failure of the stockholders of
the Company to elect any H&F Nominee shall not affect the right of the H&F Investors to designate
any H&F Nominee for election pursuant to Section 4.2(a) in connection with any future election of
Directors.

(d) After the consummation of the initial Public Offering, each committee and subcommittee of
the Company shall include a Director nominated by the H&F Investors unless otherwise agreed in
writing by the H&F Investors; provided, that, the Board shall, only to the extent
necessary to comply with Applicable Law and the rules of any stock exchange on which the Common
Stock is listed, modify the composition of such committee or subcommittee to the extent required to
comply with Applicable Law and the rules of any such stock exchange.

 

34

 

Section 4.3. VCOC Stockholders.

(a) With respect to each H&F Investor and, at the request of any H&F Investor, each Affiliate
thereof that directly or indirectly has an interest in the Company, in each case that is intended
to qualify as a “venture capital operating company” as defined in the Plan Asset Regulations (each,
a “VCOC Stockholder”), for so long as the VCOC Stockholder, directly or through one or more
conduit subsidiaries, continues to hold any Equity Interests, in each case, without limitation or
prejudice of any the rights provided to any of the H&F Investors hereunder, the Company shall, with
respect to each such VCOC Stockholder:

(i) Provide such VCOC Stockholder or its designated representative with the
following:

(A) the right to visit and inspect any of the offices and
properties of the Company and its Subsidiaries and inspect and copy
the books and records of the Company and its Subsidiaries, at such
times as the VCOC Stockholder shall reasonably request;

(B) as soon as available and in any event within thirty (30)
days after the end of each monthly fiscal period of the Company,
consolidated balance sheets of the Company and its Subsidiaries as of
the end of such period, and consolidated statements of income and
cash flows of the Company and its Subsidiaries for the period then
ended, in each case prepared in conformity with generally accepted
accounting principles in the United States applied on a consistent
basis, except as otherwise noted therein, and subject to the absence
of footnotes and to year-end adjustments;

(C) as soon as available and in any event within forty-five (45)
days after the end of each of the first three (3) quarters of each
fiscal year of the Company, consolidated balance sheets of the
Company and its Subsidiaries as of the end of such period, and
consolidated statements of income and cash flows of the Company and
its Subsidiaries for the period then ended, in each case prepared in
conformity with generally accepted accounting principles in the
United States applied on a consistent basis, except as otherwise
noted therein, and subject to the absence of footnotes and to
year-end adjustments;

(D) as soon as available and in any event within ninety (90)
days after the end of each fiscal year of the Company, a consolidated
balance sheet of the Company and its Subsidiaries as of the end of
such year, and consolidated statements of income and cash flows of
the Company and its Subsidiaries for the year then ended prepared in
conformity with generally accepted accounting
principles in the United States applied on a consistent basis,
except as otherwise noted therein, together with an auditor’s report
thereon of a firm of established national reputation;

 

35

 

(E) as soon as available, the annual budget and such other
financial and business information regarding the Company and its
Subsidiaries as such VCOC Stockholder shall reasonably request from
time to time;

(F) to the extent the Company or any of its Subsidiaries is
required by Applicable Law or pursuant to the terms of any
outstanding indebtedness of the Company or such Subsidiary to prepare
such reports, any annual reports, quarterly reports and other
periodic reports pursuant to Section 13 or 15(d) of the Exchange Act,
actually prepared by the Company or such Subsidiary as soon as
available; and

(G) copies of all materials provided to the Board at
substantially the same time as provided to the members of the Board
and, if requested copies of the materials provided to the board of
directors (or equivalent governing body) of any Subsidiary of the
Company, provided, that the Company or such Subsidiary shall
be entitled to exclude portions of such materials to the extent
providing such portions would be reasonably likely to result in the
waiver of attorney-client privilege.

(ii) Make appropriate officers of the Company and its Subsidiaries and members
of the Board available periodically and at such times as reasonably requested by
such VCOC Stockholder for consultation with such VCOC Stockholder or its designated
representative with respect to matters relating to the business and affairs of the
Company and its Subsidiaries, including significant changes in management personnel
and compensation of employees, introduction of new products or new lines of
business, important acquisitions or dispositions of plants and equipment,
significant research and development programs, the purchasing or selling of
important trademarks, licenses or concessions or the proposed commencement or
compromise of significant litigation;

(iii) Give such VCOC Stockholder, if such VCOC Stockholder does not at such
time have the right to designate one or more Directors pursuant to Section 4.1 above
or a nominee of such VCOC Stockholder has not been elected pursuant to Section 4.2
above, the right to designate one (1) non-voting board observer who will be entitled
to attend all meetings of the Board and participate in all deliberations of the
Board, provided that such observer shall have no voting rights with respect
to actions taken or elected not to be taken by the Board, and provided,
further, that the Company shall be entitled to exclude such observer from
such portions of a Board meeting to the extent such observer’s presence would be
reasonably likely to result in the waiver of attorney-client privilege or to
the extent the removal of such observer is required under Applicable Law or the
rules of any stock exchange applicable to the Company;

 

36

 

(iv) To the extent consistent with Applicable Law (and with respect to events
which require public disclosure, only following the Company’s public disclosure
thereof through applicable securities law filings or otherwise), inform the VCOC
Stockholder or its designated representative in advance with respect to any
significant corporate actions, including extraordinary dividends, mergers,
acquisitions or dispositions of assets, issuances of significant amounts of debt or
equity and material amendments to the certificate of incorporation or bylaws (or
equivalent governing documents) of the Company or any of its Subsidiaries, and to
provide the VCOC Stockholder or its designated representative with the right to
consult with the Company and its subsidiaries with respect to such actions; and

(v) Provide such VCOC Stockholder or its designated representative with such
other rights of consultation which such VCOC Stockholder’s counsel may determine to
be reasonably necessary under applicable legal authorities promulgated after the
date hereof to qualify its investment in the Company as a “venture capital
investment” for purposes of the Plan Assets Regulation.

(b) The Company agrees to consider, in good faith, the recommendations of each VCOC
Stockholder or its designated representative in connection with the matters on which it is
consulted as described above, recognizing that the ultimate discretion with respect to all such
matters shall be retained by the Company.

Section 4.4. Other Matters.

(a) The Company, Holdings and Associated shall reimburse each of the respective members of its
board of directors pursuant hereto who are not employees of the Company for their travel and
out-of-pocket expenses incurred in connection with their serving on such board. Employees of the
Company, Holdings and Associated who incur expenses in connection with their attendance of meetings
of the board of directors of such entity in the performance of their duties shall also be
reimbursed in accordance with the Company’s usual expense reimbursement policies.

(b) The Company, Holdings and Associated shall obtain customary director and officer indemnity
insurance on commercially reasonable terms as determined by the Board and that is reasonably
acceptable to the H&F Investors.

 

37

 

(c) At or promptly after the Closing, the Company will pay directly or reimburse, or cause to
be paid directly or reimbursed, the H&F Investors and their respective Affiliates for their
reasonable out-of-pocket expenses incurred in connection with the transactions contemplated by the
Merger Agreement and the debt and equity financing in connection therewith. After the Closing, the
Company will pay directly or reimburse, or cause to be paid directly or reimbursed, the H&F
Investors and each of their respective Affiliates the actual and reasonable out-of-pocket costs and
expenses incurred by the H&F Investors and their
respective Affiliates in connection with the monitoring of their investment in the Company,
including (a) fees and actual and reasonable out-of-pocket disbursements of any independent
professionals and organizations, including independent accountants, outside legal counsel or
consultants retained by the H&F Investors or any of their Affiliates, (b) reasonable costs of any
outside services or independent contractors such as financial printers, couriers, business
publications, on-line financial services or similar services, retained or used by the H&F Investors
or any of their respective Affiliates and (c) transportation, word processing expenses or any
similar expense not associated with their or their Affiliates’ ordinary operations. All payments
or reimbursement for such expenses pursuant to this Section 4.4(d) will be made by wire transfer in
same-day funds to the bank account designated by the H&F Investors or their relevant Affiliate
promptly upon or as soon as practicable following request for reimbursement; provided,
however, that, such H&F Investor or Affiliate has provided the Company with such supporting
documentation reasonably requested by the Company.

ARTICLE V

MISCELLANEOUS

Section 5.1. Entire Agreement. This Agreement contains the entire understanding between the parties hereto with respect to
the subject matter hereof and supersedes all prior arrangements or understandings (whether written
or oral) with respect thereto.

Section 5.2. Captions; Rules of Interpretation. The Article and Section captions used herein are for reference purposes only and shall not
in any way affect the meaning or interpretation of this Agreement. When a reference is made in
this Agreement to an Article, Section, Exhibit or Schedule, such reference is to an Article or
Section of, or a Schedule to, this Agreement unless otherwise indicated. Whenever the words
“include,” “includes” or “including” are used in this Agreement, they are deemed to be followed by
the words “without limitation.” The words “hereof,” “herein” and “hereunder” and words of similar
import, when used in this Agreement, refer to this Agreement as a whole and not to any particular
provision of this Agreement. The definitions contained in this Agreement are applicable to the
singular as well as the plural forms of such terms. The use of “or” is not intended to be exclusive
unless expressly indicated otherwise. If an ambiguity or question of intent or interpretation
arises, this Agreement will be construed as if drafted jointly by the parties and no presumption or
burden of proof will arise favoring or disfavoring any party because of the authorship of any
provision of this Agreement.

Section 5.3. Counterparts. For the convenience of the parties, any number of counterparts of this Agreement may be
executed by the parties hereto and each such executed counterpart shall be deemed to be an original
instrument.

Section 5.4. Severability. If any portion of this Agreement shall be declared void or unenforceable by any court or
administrative body of competent jurisdiction, such portion shall be deemed severable from the
remainder of this Agreement, which shall continue in all respects valid and enforceable.

 

38

 

Section 5.5. Notices. All notices, consents, requests, instructions, approvals and other communications provided
for herein and all legal process in regard hereto shall be validly given, made or served, if in
writing and delivered by personal delivery, overnight courier or registered or certified mail,
return-receipt requested and postage prepaid addressed as follows:

If to the Company, Holdings or Associated, to:

Associated Materials, LLC

3773 State Road

Cuyahoga Falls, Ohio 44223

Attention: Chief Financial Officer

Facsimile: (330) 922-2296

with copies (which shall not constitute notice) to:

c/o Hellman & Friedman LLC

One Maritime Plaza, 12th Floor

San Francisco, California 94111

Attention: Erik Ragatz

                   Arrie Park

Facsimile: (415) 788-0176

and

Simpson Thacher & Bartlett LLP

2550 Hanover Street

Palo Alto, California 94304

Attention: Chad Skinner

Facsimile: (650) 251-5002

If to the H&F Investors, to:

c/o Hellman & Friedman LLC

One Maritime Plaza, 12th Floor

San Francisco, California 94111

Attention: Erik Ragatz

                   Arrie Park

Facsimile: (415) 788-0176

with a copy (which shall not constitute notice) to:

Simpson Thacher & Bartlett LLP

2550 Hanover Street

Palo Alto, California 94304

Attention: Chad Skinner

Facsimile: (650) 251-5002

If to any of the Management Stockholders, to the address of such Management
Stockholder set forth opposite the name of such Management Stockholder on Schedule
I;

 

39

 

or, in each case, to such other address as any such party hereto may, from time to time, designate
in writing to all other parties hereto, and any such communication shall be deemed to be given,
made or served as of the date so delivered, in the case of any communication delivered by mail, as
of the date so received, or if given by facsimile, on the day of transmittal thereof if given
during the normal business hours of the recipient, and on the Business Day during which such normal
business hours next occur if not given during such hours on any day.

Section 5.6. Successors and Assigns; Additional Stockholders.

(a) This Agreement shall be binding upon and inure to the benefit of the Company, the
Stockholders and their respective successors and assigns. The rights of a Stockholder, a Management
Stockholder or a H&F Investor under this Agreement may not be assigned or otherwise conveyed by any
such Stockholder, Management Stockholder or H&F Investor, except in connection with a Transfer of
Equity Securities which, until termination of Article II pursuant to Section 5.12, is in compliance
with this Agreement.

(b) Additional parties may be added to and be bound by and receive the benefits afforded by
this Agreement upon the signing and delivery of a counterpart of this Agreement by the Company and
the acceptance thereof by such additional parties and, to the extent permitted by Section 5.15,
amendments may be effected to this Agreement reflecting such rights and obligations, consistent
with the terms of this Agreement, of such Stockholder as the H&F Investors and such Stockholder may
agree. Promptly after signing and delivering such a counterpart of this Agreement, the Company
will deliver a conformed copy thereof to all of the parties.

Section 5.7. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS
OF THE STATE OF DELAWARE, WITHOUT REGARD TO SUCH STATE’S CHOICE OF LAW PROVISIONS THAT WOULD RESULT
IN THE APPLICATION OF THE LAWS OF ANY OTHER STATE.

Section 5.8. Submission to Jurisdiction.

(a) Each of the parties hereto hereby irrevocably acknowledges and consents that any legal
action or proceeding brought with respect to any of the obligations arising under or relating to
this Agreement may be brought in the courts of the State of Delaware or in the United States
District Court for the District of Delaware and each of the parties hereto hereby irrevocably
submits to and accepts with regard to any such action or proceeding, for itself and in respect of
its property, generally and unconditionally, the exclusive jurisdiction of the aforesaid courts.
Each party hereby further irrevocably waives any claim that any such courts lack jurisdiction over
such party, and agrees not to plead or claim, in any legal action or proceeding with respect to
this Agreement or the transactions contemplated hereby brought in any of the aforesaid courts, that
any such court lacks jurisdiction over such party. Each party irrevocably consents to the service
of process in any such action or proceeding by the mailing of copies thereof by registered or
certified mail, postage prepaid, to such party, at its address for notices set forth in Section
5.5, such service to become effective ten (10) days after such mailing. Each party hereby
irrevocably waives any objection to such service of process and further irrevocably

 

40

 

waives and
agrees not to plead or claim in any action or proceeding commenced hereunder or under any other
documents contemplated hereby that service of process was in any way invalid or ineffective.
Subject to Section 5.8(b), the foregoing shall not limit the rights of any party to serve process
in any other manner permitted by Applicable Law. The foregoing consents to jurisdiction shall not
constitute general consents to service of process in the State of Delaware for any purpose except
as provided above and shall not be deemed to confer rights on any Person other than the respective
parties to this Agreement.

(b) Each of the parties hereto hereby waives any right it may have under the laws of any
jurisdiction to commence by publication any legal action or proceeding with respect to this
Agreement. To the fullest extent permitted by Applicable Law, each of the parties hereto hereby
irrevocably waives the objection which it may now or hereafter have to the laying of the venue of
any suit, action or proceeding arising out of or relating to this Agreement in any of the courts
referred to in Section 5.8(a) and hereby further irrevocably waives and agrees not to plead or
claim that any such court is not a convenient forum for any such suit, action or proceeding

(c) The parties hereto agree that any judgment obtained by any party hereto or its successors
or assigns in any action, suit or proceeding referred to above may, in the discretion of such party
(or its successors or assigns), be enforced in any jurisdiction, to the extent permitted by
Applicable Law.

Section 5.9. Remedies; Jury Trial.

(a) The parties hereto agree that the remedy at law for any breach of this Agreement may be
inadequate and that should any dispute arise concerning the sale or disposition of any securities
or the voting thereof or any other similar matter hereunder, this Agreement shall be enforceable in
a court of equity by an injunction or a decree of specific performance. Such remedies shall,
however, be cumulative and nonexclusive, and shall be in addition to any other remedies which the
parties hereto may have hereunder.

(b) The parties hereto waive all right to trial by jury in any action or proceeding to enforce
or defend any rights under this Agreement.

Section 5.10. Benefits Only to Parties. Nothing expressed by or mentioned in this Agreement is intended or shall be construed to
give any Person, other than Persons indemnified pursuant to Section 3.7 and Section 5.11 (which
Persons shall be express, intended third party beneficiaries of such Sections), the Affiliates of
the H&F Investors pursuant to Section 4.4(d) (which Affiliates shall be express, intended third
party beneficiaries of such Section) and the directors of the Company, Holdings and Associates (who
shall be express, intended third party beneficiaries of Section 4.4(a) and Section 4.4(b)), the
parties hereto and their respective successors or assigns, any legal or equitable right, remedy or
claim under or in respect of this Agreement or any provision herein contained, this Agreement and
all conditions and provisions hereof being intended to be and being for the sole and exclusive
benefit of the parties hereto and their respective successors and assigns, and for the benefit of
no other Person.

 

41

 

Section 5.11. Indemnification of H&F Investors.

(a) The Company will indemnify, exonerate and hold the H&F Investors and each of their
respective partners, stockholders, members, Affiliates, directors, officers, fiduciaries, managers,
controlling Persons, employees and agents and each of the partners, stockholders, members,
Affiliates, directors, officers, fiduciaries, managers, controlling Persons, employees and agents
of each of the foregoing (collectively, the “Indemnitees”) free and harmless from and
against any and all actions, causes of action, suits, claims, liabilities, losses, damages and
costs and out-of-pocket expenses in connection therewith (including reasonable attorneys’ fees and
expenses) incurred by the Indemnitees or any of them before or after the date of this Agreement
(collectively, the “Indemnified Liabilities”), arising out of any action, cause of action,
suit, arbitration or claim arising directly or indirectly out of, or in any way relating to, (i)
such H&F Investor’s or its Affiliates’ ownership of Equity Interests or other securities of the
Company or such H&F Investor’s or its Affiliates’ control or ability to influence the Company or
any of its Subsidiaries (other than any such Indemnified Liabilities to the extent such Indemnified
Liabilities arise out of any breach of this Agreement by such Indemnitee or its Affiliates or other
related Persons or the breach of any fiduciary or other duty or obligation of such Indemnitee to
its direct or indirect equity holders, creditors or Affiliates or to the extent such control or the
ability to control the Company or any of its Subsidiaries derives from such H&F Investor’s or its
Affiliates’ capacity as an officer or director of the Company or any of its Subsidiaries) or (ii)
the business, operations, properties, assets or other rights or liabilities of the Company or any
of its Subsidiaries; provided, however that if and to the extent that the foregoing
undertaking may be unavailable or unenforceable for any reason, the Company hereby agrees to make
the maximum contribution to the payment and satisfaction of each of the Indemnified Liabilities
which is permissible under Applicable Law. For the purposes of this Section 5.11, none of the
circumstances described in the limitations contained in the proviso in the immediately preceding
sentence shall be deemed to apply absent a final non-appealable judgment of a court of competent
jurisdiction to such effect, in which case to the extent any such limitation is so determined to
apply to any Indemnitee as to any previously advanced indemnity payments made by the Company, then
such payments shall be promptly repaid by such Indemnitee to the Company. The rights of any
Indemnitee to indemnification hereunder will be in addition to any other rights any such Person may
have under any other agreement or instrument to which such Indemnitee is or becomes a party or is
or otherwise becomes a beneficiary or under Applicable Law or under the certificate of
incorporation or bylaws (or equivalent governing documents) of the Company or any of its
Subsidiaries.

(b) The Company acknowledges and agrees that the Company shall, and to the extent applicable
shall cause the Controlled Entities to, be fully and primarily responsible for the payment to the
Indemnitee in respect of Indemnified Liabilities in connection with any Jointly Indemnifiable
Claims (as defined below), pursuant to and in accordance with (as applicable) the terms of (i) the
Delaware General Corporation Law, as amended, (ii) the Certificate of Incorporation, (iii) the
Bylaws, (iv) any director indemnification agreement, (v) this Agreement, (vi) any other agreement
between the Company or any Controlled Entity and the Indemnitee pursuant to which the Indemnitee is
indemnified, (vii) the laws of the jurisdiction of
incorporation or organization of any Controlled Entity and/or (viii) the certificate of
incorporation, certificate of organization, bylaws, partnership agreement, operating agreement,
certificate of formation, certificate of limited partnership or other organizational or governing
documents of any

 

42

 

 Controlled Entity ((i) through (viii) collectively, the “Indemnification
Sources”), irrespective of any right of recovery the Indemnitee may have from any corporation,
limited liability company, partnership, joint venture, trust, employee benefit plan or other
enterprise (other than the Company, any Controlled Entity or the insurer under and pursuant to an
insurance policy of the Company or any Controlled Entity) from whom an Indemnitee may be entitled
to indemnification with respect to which, in whole or in part, the Company or any Controlled Entity
may also have an indemnification obligation (collectively, the “Indemnitee-Related
Entities”). Under no circumstance shall the Company or any Controlled Entity be entitled to
any right of subrogation or contribution by the Indemnitee-Related Entities and no right of
advancement or recovery the Indemnitee may have from the Indemnitee-Related Entities shall reduce
or otherwise alter the rights of the Indemnitee or the obligations of the Company or any Controlled
Entity under the Indemnification Sources. In the event that any of the Indemnitee-Related Entities
shall make any payment to the Indemnitee in respect of indemnification with respect to any Jointly
Indemnifiable Claim, (x) the Company shall, and to the extent applicable shall cause the Controlled
Entities to, reimburse the Indemnitee-Related Entity making such payment to the extent of such
payment promptly upon written demand from such Indemnitee-Related Entity, (y) to the extent not
previously and fully reimbursed by the Company and/or any Controlled Entity pursuant to clause (x),
the Indemnitee-Related Entity making such payment shall be subrogated to the extent of the
outstanding balance of such payment to all of the rights of recovery of the Indemnitee against the
Company and/or any Controlled Entity, as applicable, and (z) Indemnitee shall execute all papers
reasonably required and shall do all things that may be reasonably necessary to secure such rights,
including the execution of such documents as may be necessary to enable the Indemnitee-Related
Entities effectively to bring suit to enforce such rights. The Company and Indemnitee agree that
each of the Indemnitee-Related Entities shall be third-party beneficiaries with respect to this
Section 5.11(b), entitled to enforce this Section 5.11(b) as though each such Indemnitee-Related
Entity were a party to this Agreement. The Company shall cause each of the Controlled Entities to
perform the terms and obligations of this Section 5.11 (b) as though each such Controlled Entity
was a party to this Agreement. For purposes of this Section 5.11 (b), the term “Jointly
Indemnifiable Claims” shall be broadly construed and shall include, without limitation, any
Indemnified Liabilities for which the Indemnitee shall be entitled to indemnification from both (1)
the Company and/or any Controlled Entity pursuant to the Indemnification Sources, on the one hand,
and (2) any Indemnitee-Related Entity pursuant to any other agreement between any
Indemnitee-Related Entity and the Indemnitee pursuant to which the Indemnitee is indemnified, the
laws of the jurisdiction of incorporation or organization of any Indemnitee-Related Entity and/or
the certificate of incorporation, certificate of organization, bylaws, partnership agreement,
operating agreement, certificate of formation, certificate of limited partnership or other
organizational or governing documents of any Indemnitee-Related Entity, on the other hand.

Section 5.12. Termination; Survival of Benefits. This Agreement shall terminate only (i) by written consent of the H&F Investors and the
Management Stockholders, (ii) by written consent of the H&F Investors in connection with a Drag
Along Event or (iii) upon the dissolution or liquidation of the Company; provided,
however, that (a) Article V and (b) the rights and obligations of the Stockholders and the
Company under Section 3.7, Section 4.4(c) and Section 5.11 shall survive any termination of this
Agreement.

 

43

 

Section 5.13. Publicity. None of the parties hereto shall issue or cause to be issued any press release or make or
cause to be made any other public statement or disclosure in each case relating to or connected
with or arising out of this Agreement or the matters contained herein, without obtaining the prior
written consent of parties mentioned in such press release or public disclosure or statement and
the Company in advance to the contents and the manner of presentation and publication thereof.
Notwithstanding the foregoing, each of the parties hereto may, in documents required to be filed by
it with the SEC or other regulatory bodies, make such statements with respect to the transactions
contemplated hereby as each may be advised by counsel is legally necessary or advisable, and may
make such disclosure as it is advised by its counsel is required by Applicable Law.

Section 5.14. Confidentiality. Each of the parties hereto hereby agrees that throughout the term of this Agreement it
shall keep (and shall cause its directors, officers, employees, representatives and outside
advisors and its Affiliates to keep) all non-public information received as a Stockholder relating
to the Company and its Subsidiaries (including any such information received prior to the date
hereof) confidential except information which (a) becomes known to such Stockholder from a source,
other than the Company and its Subsidiaries or any of their respective directors, officers,
employees, representatives or outside advisors, which source is not obligated to the Company or any
of its Subsidiaries to keep such information confidential or (b) becomes generally available to the
public through no breach of this Agreement by any party hereto. Each of the parties hereto agrees
that such non-public information shall be communicated only to those of its directors, officers,
employees, representatives, outside advisors and Affiliates who need to know such non-public
information and for the H&F Investors to their current and prospective investors, partners and
members in a manner consistent with past practice, and, if requested, to rating agencies and, if
required by Applicable Law, applicable regulatory authorities. Notwithstanding the foregoing, a
party hereto may disclose non-public information if required to do so by a court of competent
jurisdiction or by any governmental agency; provided, however, that if legally
permissible prompt notice of such required disclosure shall be given to the Company and the H&F
Investors prior to the making of such disclosure so that the Company and/or the H&F Investors may
seek a protective order or other appropriate remedy. In the event that such protective order or
other remedy is not obtained, the party hereto required to disclose the non-public information will
disclose only that portion which such party is advised by opinion of counsel is legally required to
be disclosed and will request that confidential treatment be accorded such portion of the
non-public information.

Section 5.15. Amendments; Waivers. The failure of any party to seek redress for the violation of or to insist upon the strict
performance of any term of this Agreement shall not constitute a waiver of such term and such party
shall be entitled to enforce such term without regard to such forbearance. This Agreement may be
amended, each party hereto may take any action herein prohibited or omit to take action herein
required to be performed by it, and any breach of or compliance with any covenant, agreement,
warranty or representation may be waived, only by the prior written consent or written waiver of
the Company and the H&F Investors; provided, however, that (a) no amendment,
modification or waiver shall adversely and disproportionately affect the rights of the Management
Stockholders as compared to the H&F Investors without the Management Stockholders’ prior written
consent and (b) any amendment, modification or waiver to Section 2.6 that is adverse to any
Management Stockholder relative to any other Management Stockholder shall require the prior written
consent of such Management Stockholder.

 

44

 

Section 5.16. Agreement Governs in Event of Conflict. In the event the provisions of this Agreement conflict with or are inconsistent with the
provisions of the Certificate of Incorporation or the Bylaws, this Agreement shall govern to the
extent permitted by Applicable Law.

Section 5.17. Consents, Approvals and Actions.

(a) If any consent, approval or action of the H&F Investors is required at any time pursuant
to this Agreement, such consent, approval or action shall be deemed given if the holders of a
majority of the outstanding shares of Common Stock held by the H&F Investors at such time provide
such consent, approval or action in writing at such time.

(b) If any consent, approval or action of the Management Stockholders is required at any time
pursuant to this Agreement, such consent, approval or action shall be deemed given if the
beneficial owners of a majority of the shares of Common Stock beneficially owned by the Management
Stockholders at such time provide such consent, approval or action in writing at such time.

*     *     *

 

45

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first set
forth above.

	 	 	 	 	 
	 	CAREY INVESTMENT HOLDINGS CORP.

 	 
	 	By:  	/s/ Stephen E. Graham
 	 
	 	 	Name:  	Stephen E. Graham 	 
	 	 	Title:  	Vice President—Chief Financial Officer,
Treasurer and Secretary 	 
	 
	 	CAREY INTERMEDIATE HOLDINGS CORP.

 	 
	 	By:  	/s/ Stephen E. Graham
 	 
	 	 	Name:  	Stephen E. Graham 	 
	 	 	Title:  	Vice President—Chief Financial Officer,
Treasurer and Secretary 	 
	 
	 	ASSOCIATED MATERIALS, LLC

 	 
	 	By:  	/s/ Stephen E. Graham
 	 
	 	 	Name:  	Stephen E. Graham 	 
	 	 	Title:  	Vice President—Chief Financial Officer,
Treasurer and Secretary 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

	 	 	 	 	 
	 	HELLMAN & FRIEDMAN CAPITAL PARTNERS VI, L.P.

 	 
	 	By:  	Hellman & Friedman Investors VI, L.P., its

General Partner

 	 
	 	By:  	Hellman & Friedman LLC, its General Partner

 	 
	 	By:  	/s/ Erik D. Ragatz
 	 
	 	 	Name:  	Erik Ragatz 	 
	 	 	Title:  	Managing Director 	 
	 
	 	HELLMAN & FRIEDMAN CAPITAL PARTNERS VI (PARALLEL), L.P.

 	 
	 	By:  	Hellman & Friedman Investors VI, L.P., its

General Partner

 	 
	 	By:  	Hellman & Friedman LLC, its General Partner

 	 
	 	By:  	/s/ Erik D. Ragatz
 	 
	 	 	Name:  	Erik Ragatz 	 
	 	 	Title:  	Managing Director 	 
	 
	 	HELLMAN & FRIEDMAN CAPITAL EXECUTIVES VI, L.P.

 	 
	 	By:  	
Hellman & Friedman Investors VI, L.P., its

General Partner

 	 
	 	By:  	Hellman & Friedman LLC, its General Partner

 	 
	 	By:  	/s/ Erik D. Ragatz
 	 
	 	 	Name:  	Erik Ragatz 	 
	 	 	Title:  	Managing Director 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

	 	 	 	 	 
	 	HELLMAN & FRIEDMAN CAPITAL ASSOCIATES VI, L.P.

 	 
	 	By:  	
Hellman & Friedman Investors VI, L.P., its

General Partner

 	 
	 	By:  	
Hellman & Friedman LLC, its General Partner

 	 
	 	By:  	/s/ Erik D. Ragatz
 	 
	 	 	Name:  	Erik Ragatz 	 
	 	 	Title:  	Managing Director 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Warren J. Arthur
 	 
	 	Name:  	Warren J. Arthur 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Charles A. Carroll
 	 
	 	Name:  	Charles A. Carroll 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Thomas N. Chieffe
 	 
	 	Name:  	Thomas N. Chieffe 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Daniel Dolson
 	 
	 	Name:  	Daniel Dolson 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Robert M. Franco
 	 
	 	Name:  	Robert M. Franco 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Stephen E. Graham
 	 
	 	Name:  	Stephen E. Graham 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ John F. Haumesser
 	 
	 	Name:  	John F. Haumesser 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ David L. King
 	 
	 	Name:  	David L. King 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Thomas Naples
 	 
	 	Name:  	Thomas Naples 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ Robert A. Schindler
 	 
	 	Name:  	Robert A. Schindler 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]

 

 

 

EXECUTIVE SIGNATURE PAGE

	 	 	 	 	 
	 	/s/ David M. Thompson
 	 
	 	Name:  	David M. Thompson 	 
	 	 	 
	 

[Stockholders Agreement Signature Page]Exhibit 10.13

Exhibit 10.13

Carey Investment Holdings Corp.

2010 Stock Incentive Plan

1. Purpose of the Plan.

The purpose of this Carey Investment Holdings Corp. 2010 Stock Incentive Plan (the
“Plan”) is to aid Carey Investment Holdings Corp., a Delaware corporation (the
“Company”), and its Affiliates in recruiting and retaining employees, directors and other
service providers of outstanding ability and to motivate such persons to exert their best efforts
on behalf of the Company and its Affiliates by providing incentives through the granting of Stock
Awards. The Company expects that it will benefit from aligning the interests of such persons with
those of the Company and its Affiliates by providing them with equity-based awards with respect to
the shares of the Company’s common stock.

2. Definitions. For purposes of this Plan, the following capitalized terms shall have their
respective meanings set forth below:

(a) “Affiliate” shall have the meaning given to such term in the Stockholders
Agreement.

(b) “Applicable Law” shall mean the legal requirements relating to the
administration of an equity compensation plan under applicable U.S. federal and state
corporate and securities laws, the Code, any stock exchange rules or regulations, and the
applicable laws of any other country or jurisdiction, as such laws, rules, regulations and
requirements shall be in place from time to time.

(c) “Beneficial Owner” shall have the meaning given to such term in Rule 13d-3
and Rule 13d-5 under the Exchange Act (or any successor rules thereto). For the avoidance
of doubt, no stockholder of the Company shall be deemed to “beneficially own” any securities
of the Company or any of its Subsidiaries held by any other holder of such securities solely
by virtue of the provisions of the Stockholders Agreement.

(d) “Board” shall mean the Board of Directors of the Company.

(e) “Cause” shall have the meaning given to such term in the Employment
Agreement between the Company or any of its Affiliates and the applicable Participant, or if
no such Employment Agreement exists or if “Cause” is not defined therein, then Cause shall
mean any of the following: (i) embezzlement, theft or misappropriation by the Participant
of any property of the Company or any of its Affiliates; (ii) any breach by the Participant
of any restrictive covenants applicable to such Participant; (iii) any breach by the
Participant of any provision of his or her Employment Agreement, which breach is not cured,
to the extent susceptible to cure, within 14 days after the Company has given written notice
to the Participant describing such breach; (iv) failure or refusal by the Participant to
perform any directive of the Board or the duties of his or her employment which continues
for a period of 14 days following notice thereof by the Company to the Participant; (v) any
act by the Participant constituting a felony or otherwise involving theft, fraud,
dishonesty, misrepresentation or moral turpitude; (vi) the Participant’s conviction of, or a
plea of nolo contendere (or a similar plea) to, any criminal offense; (vii) gross negligence
or willful

 

 

misconduct on the part of the Participant in the
performance of his or her duties as an employee, officer or director of the Company or
any of its Affiliates; (viii) the Participant’s breach of his or her fiduciary obligations,
or disloyalty, to the Company or any of its Affiliates; (ix) any act or omission to act of
the Participant intended to harm or damage the business, property, operations, financial
condition or reputation of the Company or any of its Affiliates; (x) any chemical dependence
of the Participant which adversely affects the performance of his or her duties and
responsibilities to the Company or any of its Affiliates; or (xi) the Participant’s
violation of the Company’s or any of its Affiliate’s code of ethics, code of business
conduct or similar policies applicable to such Participant. The existence or non-existence
of Cause with respect to any Participant will be determined in good faith by the Board.

(f) “Change in Control” shall mean the occurrence, in a single transaction or
in a series of related transactions, of any one or more of the following events:

(i) the sale or disposition, in one or a series of related transactions, of
all or substantially all of the assets of the Company and its Subsidiaries, taken
as a whole, to any “person” or “group” (as such terms are used for purposes of
Sections 13(d)(3) and 14(d)(2) of the Exchange Act) other than to the Initial
Investors or any of their respective Affiliates;

(ii) any person or group, other than any of the Initial Investors or any of
their respective Affiliates, is or becomes the Beneficial Owner, directly or
indirectly, of more than fifty percent (50%) of the total voting power of the
outstanding voting stock of the Company, including by way of merger, consolidation
or otherwise; or

(iii) prior to an Initial Public Offering, the Initial Investors and their
respective Affiliates do not have the ability to cause the election of a majority
of the members of the Board and any person or group, other than the Initial
Investors and their respective Affiliates, Beneficially Owns outstanding voting
stock representing a greater percentage of voting power with respect to the
general election of members of the Board than the shares of outstanding voting
stock the Initial Investors and their respective Affiliates collectively
Beneficially Own.

(g) “Code” shall mean the Internal Revenue Code of 1986, as amended from time
to time.

(h) “Committee” shall mean the Compensation Committee of the Board (or a
subcommittee thereof), or such other committee of the Board to which the Board has delegated
power to act pursuant to the provisions of this Plan; provided that in the absence
of any such committee, the term “Committee” shall mean the Board. For the avoidance of
doubt, the Board shall at all times be authorized to act as the Committee under or pursuant
to any provisions of this Plan.

(i) “Common Stock” shall mean the common stock, par value $0.01 per share, of
the Company.

 

2

 

(j) “Consultant” shall mean any person engaged by the Company or any of its
Affiliates as a consultant or independent contractor to render consulting, advisory or other
services and who is compensated for such services.

(k) “Disability” shall have the meaning given to such term in the Employment
Agreement between the Company or any of its Affiliates and the applicable Participant, or if
no such Employment Agreement exists or if “Disability” is not defined therein, then
Disability shall have the meaning ascribed to such term under Section 409A(a)(2)(C)(i) of
the Code for all purposes, except to the extent necessary for qualification of Options as
ISOs, then Disability shall mean the permanent and total disability of a person within the
meaning of Section 22(e)(3) of the Code. Without limiting the foregoing and except as
otherwise provided in a Participant’s Employment Agreement, the existence of a Disability
shall be determined by the Committee in good faith in accordance with Applicable Law.

(l) “Effective Date” shall mean the date the Board approves this Plan, or such
later date as designated by the Board.

(m) “Employment” shall mean (i) a Participant’s employment if the Participant
is an employee of the Company or any of its Affiliates, (ii) a Participant’s services as a
Consultant, if the Participant is a Consultant, and (iii) a Participant’s services as a
non-employee member of the Board or the board of directors (or equivalent governing body) of
any Affiliate of the Company.

(n) “Employment Agreement” shall mean the employment or other similar
agreement, if any, specifying the terms of a Participant’s employment by the Company or one
of its Affiliates.

(o) “Exchange Act” shall mean the Securities Exchange Act of 1934 and the rules
and regulations promulgated thereunder, as each may be amended from time to time.

(p) “Fair Market Value” shall mean, as of any date, the value of a Share of
Common Stock determined as follows: (i) if there should be a public market for the Shares on
such date, the closing price of the Shares as reported on such date on the Composite Tape of
the principal national securities exchange on which such Shares are listed or admitted to
trading, or if the Shares are not listed or admitted on any national securities exchange,
the arithmetic mean of the per Share closing bid price and per Share closing asked price on
such date as quoted on the National Association of Securities Dealers Automated Quotation
System (or such market in which such prices are regularly quoted) (“NASDAQ”), or, if
no sale of Shares shall have been reported on the Composite Tape of any national securities
exchange or quoted on the NASDAQ on such date, then the immediately preceding date on which
sales of the Shares have been so reported or quoted shall be used, and (ii) if there should
not be a public market for the Shares on such date, then Fair Market Value shall be the
price determined in good faith by the Board (or a committee thereof). Notwithstanding
anything to the contrary herein, the “Fair Market Value” of the Shares shall at all times be
determined in a manner intended to be consistent with Section 409A of the Code (and the
regulations and guidance promulgated thereunder), as may be amended from time to time, and the same method shall be used by
the Company for determining all applicable income tax consequences resulting from the
exercise of an Option.

 

3

 

(q) “Good Reason” shall have the meaning given to such term in the Employment
Agreement between the Company or any of its Affiliates and the applicable Participant, or if
no such Employment Agreement exists or if “Good Reason” is not defined therein, then Good
Reason shall mean a substantial reduction in the Participant’s base salary without the
Participant’s consent; provided that the occurrence of the foregoing event shall
only constitute Good Reason if the Company fails to cure such event within 90 days after
receiving written notice from the Participant of such occurrence; provided,
further, that Good Reason shall cease to exist following the later of 30 days
following its occurrence or Participant’s knowledge thereof, unless Participant has given
the Company written notice thereof prior to such date.

(r) “Initial Investors” shall mean Hellman & Friedman Capital Partners VI,
L.P., a Delaware limited partnership, Hellman & Friedman Capital Partners VI (Parallel),
L.P., a Delaware limited partnership, Hellman & Friedman Capital Executives VI, L.P., a
Delaware limited partnership and Hellman & Friedman Capital Associates VI, L.P., a Delaware
limited partnership.

(s) “Initial Public Offering” shall mean the consummation of the initial
underwritten public offering of equity interests in the Company or any of its respective
subsidiaries, which offering is registered under the Securities Act of 1933, as amended, or,
if earlier, the initial widely distributed underwritten public offering outside the U.S.
pursuant to which the equity interests in the Company or any of their respective
subsidiaries are registered on a non-U.S. stock exchange.

(t) “ISO” shall mean a stock option to acquire Shares that is intended to
qualify as an “incentive stock option” within the meaning of Section 422 of the Code and the
regulations promulgated thereunder, as amended from time to time.

(u) “Option” shall mean a stock option granted pursuant to Section 6 of this
Plan.

(v) “Option Price” shall mean the purchase price per Share of an Option, as
determined pursuant to Section 6(a) of this Plan.

(w) “Other Stock-Based Awards” shall mean Stock Awards granted pursuant to
Section 8 of this Plan.

(x) “Participant” shall mean a person eligible to receive a Stock Award
pursuant to Section 4 and who actually receives a Stock Award or, if applicable, such other
Person who holds an outstanding Stock Award.

(y) “Person” shall mean a “person” as such term is used for purposes of 13(d)
or 14(d) of the Exchange Act, or any successor section thereto.

 

4

 

(z) “Plan” shall mean this Carey Investment Holdings Corp. 2010 Stock Incentive
Plan, as may be amended from time to time.

(aa) “Securities Act” shall mean the Securities Act of 1933 and the rules and
regulations promulgated thereunder, as each may be amended from time to time.

(bb) “Shares” shall mean the shares of Common Stock.

(cc) “Stock Appreciation Right” shall mean a stock appreciation right granted
pursuant to Section 7 of this Plan.

(dd) “Stock Award” shall mean an Option, Stock Appreciation Right or Other
Stock-Based Award granted pursuant to this Plan.

(ee) “Stock Award Agreement” shall mean a written agreement between the Company
and a holder of a Stock Award, executed by the Company, evidencing the terms and conditions
of the Stock Award.

(ff) “Stockholders Agreement” shall mean the Stockholders Agreement, dated as
of October 13, 2010, among the Company, the Initial Investors and the other parties thereto,
as it may be amended from time to time.

(gg) “Subsidiary” shall mean, with respect to the Company, (i) any corporation
of which more than fifty percent (50%) of the outstanding capital stock having ordinary
voting power to elect a majority of the board of directors of such corporation (irrespective
of whether, at the time, stock of any other class or classes of such corporation shall have
or might have voting power by reason of the happening of any contingency) is at the time,
directly or indirectly, Beneficially Owned by the Company, and (ii) any entity in which the
Company has a direct or indirect interest (whether in the form of voting or participation in
profits or capital contribution) of more than fifty percent (50%).

3. Administration by Committee.

This Plan shall be administered by the Committee, which may delegate its duties and powers in
whole or in part to any subcommittee thereof. Additionally, the Committee may delegate the
authority to grant Stock Awards under the Plan to any employee or group of employees of the Company
or an Affiliate; provided that such delegation and grants are consistent with Applicable
Law and guidelines established by the Board from time to time. Stock Awards may, in the discretion
of the Committee, be made under the Plan in assumption of, or in substitution for, outstanding
awards previously granted by any entity acquired by the Company or with which the Company combines.
The number of Shares underlying such substitute awards shall be counted against the aggregate
number of Shares available for Stock Awards under the Plan. The Committee is authorized to
interpret the Plan, to establish, amend and rescind any rules and regulations relating to the Plan,
and to make any other determinations that it deems necessary or desirable for the administration of
the Plan. The Committee may correct any defect or supply any omission or reconcile any
inconsistency in the Plan in the manner and to the extent the Committee deems necessary or
desirable. Any decision of the Committee in the interpretation and administration of the Plan, as
described herein, shall lie
within its sole and absolute discretion and shall be final, conclusive and

 

5

 

 binding on all
parties concerned (including, but not limited to, Participants and their beneficiaries or
successors). The Committee shall have the full power and authority to establish the terms and
conditions of any Stock Award consistent with the provisions of the Plan and to waive any such
terms and conditions at any time (including, without limitation, accelerating or waiving any
vesting conditions). The Committee shall require payment of any amount it may reasonably determine
to be necessary to withhold for federal, state, local and/or non-U.S. taxes as a result of the
exercise, grant or vesting of a Stock Award (including, without limitation, any applicable income,
employment and social security taxes or contributions). The Committee shall also determine the
acceptable form or forms pursuant to which the Participant will be able to elect to pay a portion
of or all such withholding taxes. To the extent permitted by the Committee in the Stock Award or
otherwise and, in each case, as permitted under Applicable Law, a Participant may elect to pay a
portion or all of any withholding taxes (but no more than the minimum amount required to be
withheld) by (a) delivery in Shares, or (b) having Shares withheld by the Company from any Shares
that would have otherwise been received by the Participant.

4. Shares Subject to the Plan and Participation.

Subject to Section 9, the total number of Shares which may be issued under this Plan is
6,150,076, which number is also the maximum number of Shares for which ISOs may be granted. The
Shares may consist, in whole or in part, of unissued Shares or treasury Shares. The issuance of
Shares or the payment of cash upon the exercise of a Stock Award or in consideration of the
cancellation or termination of a Stock Award shall reduce the total number of Shares available
under this Plan, as applicable. Shares which are subject to Stock Awards which terminate or lapse
without the payment of consideration may be granted again under the Plan, unless prohibited by
Applicable Law.

Employees, directors and other service providers of the Company and its Affiliates (subject to
Section 5(b) of this Plan) shall be eligible to be selected to receive Stock Awards under the Plan;
provided that ISOs may only be granted to employees of the Company and its Subsidiaries.

5. General Limitations.

(a) Tenth Anniversary. No Stock Award may be granted under this Plan after the
tenth anniversary of the Effective Date, but Stock Awards theretofore granted may extend
beyond such date.

(b) Consultants. Prior to an Initial Public Offering, a Consultant shall not
be eligible for the grant of a Stock Award if, at the time of grant, either the offer or the
sale of the Company’s securities to such Consultant is not exempt under Rule 701 of the
Securities Act (“Rule 701”), unless the Company determines that such grant need not
comply with the requirements of Rule 701 and will satisfy another exemption under the
Securities Act, as well as comply with the securities laws of any other relevant
jurisdictions.

 

6

 

6. Terms and Conditions of Options.

Options granted under this Plan shall be, as determined by the Committee, non-qualified or
ISOs for federal income tax purposes, as evidenced by the related Stock Award Agreements, and shall
be subject to the foregoing and the following terms and conditions and to such other terms and
conditions, not inconsistent therewith, as the Committee shall determine.

(a) Option Price. The Option Price per Share shall be determined by the
Committee, but shall not be less than 100% of the Fair Market Value of a Share on the date
an Option is granted (other than in the case of Options granted in substitution of
previously granted awards, as described in Section 3 hereof).

(b) Exercisability. Options granted under this Plan shall be exercisable at
such time and upon such terms and conditions as may be determined by the Committee, but in
no event shall an Option be exercisable more than ten years after the date it is granted.

(c) Exercise of Options. Except as otherwise provided in this Plan or in the
applicable Stock Award Agreement, an Option may be exercised for all, or from time to time
any part, of the Shares for which it is then exercisable. For purposes of this Section 6,
the exercise date of an Option shall be the later of the date a notice of exercise is
received by the Company and, if applicable, the date payment is received by the Company
pursuant to clauses (i), (ii), (iii), (iv) or (v) of the following sentence. The purchase
price for the Shares as to which an Option is exercised shall be paid to the Company as
designated by the Committee, pursuant to one or more of the following methods: (i) in cash
or its equivalent (e.g., by personal check or wire transfer), (ii) in Shares having a Fair
Market Value equal to the aggregate Option Price for the Shares being purchased and
satisfying such other reasonable requirements as may be imposed by the Committee;
provided that such Shares have been held by the Participant for no less than six
months (or such other period as established from time to time by the Committee in order to
avoid adverse accounting treatment applying generally accepted accounting principles), (iii)
partly in cash and partly in such Shares, (iv) following an Initial Public Offering, through
the delivery of irrevocable instructions to a broker to sell Shares obtained upon the
exercise of the Option and to deliver promptly to the Company an amount out of the proceeds
of such sale equal to the aggregate Option Price for the Shares being purchased, or (v) to
the extent explicitly permitted by the Committee in the applicable Stock Award Agreement or
otherwise, through net settlement in Shares. No Participant shall have any rights to
dividends or other rights of a stockholder with respect to Shares subject to an Option until
the Participant has given written notice of exercise of the Option, paid in full for such
Shares and, if applicable, has satisfied any other conditions imposed by the Committee
pursuant to this Plan.

 

7

 

(d) ISOs. The Committee may grant Options under the Plan that are intended to
be ISOs. Such ISOs shall comply with the requirements of Section 422 of the Code (or any
successor section thereto). No ISO may be granted to any Participant who at the time of
such grant, owns more than ten percent of the total combined voting power of all classes of
stock of the Company or of any Subsidiary, unless (i) the Option Price for such ISO is at
least 110% of the Fair Market Value of a Share on the date the ISO is granted
and (ii) the date on which such ISO terminates is a date not later than the day
preceding the fifth anniversary of the date on which the ISO is granted. Any Participant
who disposes of Shares acquired upon the exercise of an ISO either (i) within two years
after the date of grant of such ISO or (ii) within one year after the transfer of such
Shares to the Participant, shall notify the Company of such disposition and of the amount
realized upon such disposition. All Options granted under the Plan are intended to be
nonqualified stock options, unless the applicable Stock Award Agreement expressly states
that the Option is intended to be an ISO. If an Option is intended to be an ISO, and if for
any reason such Option (or portion thereof) shall not qualify as an ISO, then, to the extent
of such nonqualification, such Option (or portion thereof) shall be regarded as a
nonqualified stock option granted under this Plan; provided that such Option (or
portion thereof) otherwise complies with this Plan’s requirements relating to nonqualified
stock options. In no event shall any member of the Committee, the Company or any of its
Affiliates (or their respective employees, officers or directors) have any liability to any
Participant (or any other Person) due to the failure of an Option to qualify for any reason
as an ISO.

(e) Attestation. Wherever in this Plan or any Stock Award Agreement a
Participant is permitted to pay the exercise price of an Option or taxes relating to the
exercise of an Option by delivering Shares, the Participant may, subject to procedures
satisfactory to the Committee, satisfy such delivery requirement by presenting proof of
beneficial ownership of such Shares, in which case the Company shall treat the Option as
exercised without further payment and/or shall withhold such number of Shares from the
Shares acquired by the exercise of the Option, as appropriate.

7. Terms and Conditions of Stock Appreciation Rights.

(a) Grants. The Committee may grant (i) a Stock Appreciation Right independent
of an Option or (ii) a Stock Appreciation Right in connection with an Option, or a portion
thereof. A Stock Appreciation Right granted pursuant to clause (ii) of the preceding
sentence (A) may be granted at the time the related Option is granted or at any time prior
to the exercise or cancellation of the related Option, (B) shall cover the same number of
Shares covered by an Option (or such lesser number of Shares as the Committee may determine)
and (C) shall be subject to the same terms and conditions as such Option except for such
additional limitations as are contemplated by this Section 7 (or such additional limitations
as may be included in the applicable Stock Award Agreement).

 

8

 

(b) Terms. The exercise price per Share of a Stock Appreciation Right shall be
an amount determined by the Committee but in no event shall such amount be less than the
Fair Market Value of a Share on the date the Stock Appreciation Right is granted (other than
in the case of Stock Appreciation Rights granted in substitution of previously granted
awards, as described in Section 4); provided, however, that in the case of a
Stock Appreciation Right granted in conjunction with an Option, or a portion thereof, the
exercise price may not be less than the Option Price of the related Option. Each Stock
Appreciation Right granted independent of an Option shall entitle a Participant upon
exercise to an amount equal to (i) the excess of (A) the Fair Market Value on the exercise
date of one Share over (B) the exercise price per Share, times (ii) the number of
Shares covered by the Stock Appreciation Right. Each Stock Appreciation Right granted in
conjunction with an Option, or a portion thereof, shall entitle a Participant to surrender
to the Company the unexercised Option, or any portion thereof, and to receive from the
Company in exchange therefore an amount equal to (i) the excess of (A) the Fair Market Value
on the exercise date of one Share over (B) the Option Price per Share, times (ii) the number
of Shares covered by the Option, or portion thereof, which is surrendered. In addition,
each Stock Appreciation Right that is granted in conjunction with an Option or a portion
thereof shall automatically terminate upon the exercise of such Option or portion thereof,
as applicable. Payment shall be made in Shares or in cash, or partly in Shares and partly
in cash (any such Shares valued at such Fair Market Value), all as shall be determined by
the Committee. Stock Appreciation Rights may be exercised from time to time upon actual
receipt by the Company of written notice of exercise stating the number of Shares with
respect to which the Stock Appreciation Right is being exercised. The date a notice of
exercise is received by the Company shall be the exercise date. No fractional Shares will
be issued in payment for Stock Appreciation Rights, but instead cash will be paid for a
fraction or, if the Committee should so determine, the number of Shares will be rounded
downward to the next whole Share.

(c) Limitations. The Committee may impose, in its discretion, such conditions
upon the exercisability of Stock Appreciation Rights as it may deem fit, but in no event
shall a Stock Appreciation Right be exercisable more than ten years after the date it is
granted.

8. Other Stock-Based Awards.

The Committee, in its sole discretion, may grant or sell Stock Awards of Shares, Stock Awards
of restricted Shares and Stock Awards that are valued in whole or in part by reference to, or are
otherwise based on the Fair Market Value of, Shares (“Other Stock-Based Awards”). Such
Other Stock-Based Awards shall be in such form, and dependent on such conditions, as the Committee
shall determine, including, without limitation, the right to receive, or vest with respect to, one
or more Shares (or the equivalent cash value of such Shares) upon the completion of a specified
period of service, the occurrence of an event and/or the attainment of performance objectives.
Other Stock-Based Awards may be granted alone or in addition to any other Stock Awards granted
under the Plan. Subject to the provisions of the Plan, the Committee shall determine to whom and
when Other Stock-Based Awards will be made; the number of Shares to be awarded under (or otherwise
related to) such Other Stock-Based Awards; whether such Other Stock-Based Awards shall be settled
in cash, Shares or a combination of cash and Shares; and all other terms and conditions of such
Other Stock-Based Awards (including, without limitation, the vesting provisions thereof and
provisions ensuring that all Shares so awarded and issued shall be fully paid and non-assessable).

 

9

 

9. Adjustments upon Certain Events.

Notwithstanding any other provision in this Plan to the contrary, the following provisions
shall apply to all Stock Awards granted hereunder:

(a) Generally. In the event of any change in the outstanding Shares after the
Effective Date by reason of any Share dividend or split, reorganization, recapitalization,
merger, consolidation, spin-off, combination, transaction or exchange of Shares or other
corporate exchange, or any cash dividend or distribution to shareholders other than ordinary
cash dividends or any transaction similar to the foregoing, the Committee shall, in its sole
discretion in good faith, make such substitution or adjustment, if any, as it deems to be
equitable (subject to Section 17), as to (i) the number or kind of Shares or other
securities issued or reserved for issuance pursuant to the Plan or pursuant to outstanding
Stock Awards, (ii) the Option Price or exercise price of any Stock Appreciation Right and/or
(iii) any other affected terms of such Stock Awards; provided, that, for the
avoidance of doubt, in the case of the occurrence of any of the foregoing events that is an
“equity restructuring” (within the meaning of the Financial Accounting Standards Board
Accounting Standard Codification (ASC) Section 718, Compensation — Stock Compensation (FASB
ASC 718)), the Committee shall make an equitable adjustment to outstanding Stock Awards to
reflect such event.

(b) Change in Control. In the event of a Change in Control after the Effective
Date, the Committee may (subject to Section 17), but shall not be obligated to, (i)
accelerate, vest or cause the restrictions to lapse with respect to all or any portion of a
Stock Award, (ii) cancel such Stock Awards for fair value (as determined by the Committee in
its sole discretion in good faith) which, in the case of Options and Stock Appreciation
Rights, may equal the excess, if any, of value of the consideration to be paid in the Change
in Control transaction, directly or indirectly, to holders of the same number of Shares
subject to such Options or Stock Appreciation Rights (or, if no consideration is paid in any
such transaction, the Fair Market Value of the Shares subject to such Options or Stock
Appreciation Rights) over the aggregate Option Price of such Options or exercise price of
such Stock Appreciation Rights, (iii) subject to any limitations or reductions as may be
necessary to comply with Sections 424 or 409A of the Code and, in each case, the applicable
regulations thereunder, provide for the issuance of substitute Stock Awards that will
preserve the rights under, and the otherwise applicable terms of, any affected Stock Awards
previously granted hereunder as determined by the Committee in its sole discretion in good
faith, or (iv) provide that for a period of at least 15 days prior to the Change in Control,
such Options shall be exercisable as to all Shares subject thereto (whether or not vested)
and that upon the occurrence of the Change in Control, such Options shall terminate and be
of no further force and effect.

10. No Right to Employment or Stock Awards.

The granting of a Stock Award under this Plan shall impose no obligation on the Company or any
of its Affiliate to continue the Employment of a Participant and shall not lessen or affect the
Company’s right or any its Affiliates’ rights to terminate the Employment of such Participant. No
Participant or other Person shall have any claim to be granted any Stock Award, and there is no
obligation for uniformity of treatment of Participants, or holders or beneficiaries of Stock
Awards. The terms and conditions of Stock Awards and the Committee’s determinations and
interpretations with respect thereto need not be the same with respect to each Participant (whether
or not such Participants are similarly situated).

 

10

 

11. Successors and Assigns.

This Plan shall be binding on all successors and assigns of the Company and each Participant,
including without limitation, the estate of each such Participant and the executor, administrator
or trustee of any such estate and, if applicable, any receiver or trustee in bankruptcy or
representative of the creditors of any such Participant.

12. Nontransferability of Awards.

Unless expressly permitted by the Committee in a Stock Award Agreement or otherwise in
writing, and, in each case, to the extent permitted by Applicable Law, a Stock Award shall not be
transferable or assignable by the applicable Participant other than by will or by the laws of
descent and distribution. A Stock Award exercisable after the death of a Participant may be
exercised by the legatees, personal representatives or distributees of the Participant.

13. Amendments or Termination.

The Board may amend, alter or discontinue the Plan, but no amendment, alteration or
discontinuation shall be made, (a) without the approval of the shareholders of the Company, if such
action would (except as is provided in Section 9 of the Plan), increase the total number of Shares
reserved for the purposes of the Plan or, if applicable, change the maximum number of Shares for
which Stock Awards may be granted to any Participant, or (b) without the consent of a Participant,
if such action would diminish any of the rights of such Participant under any Stock Award
theretofore granted to such Participant under the Plan; provided, however, that the
Committee may amend the Plan in such manner as it deems necessary to permit the granting of Stock
Awards meeting the requirements of the Code or other Applicable Laws (including, without
limitation, to avoid adverse tax consequences to the Company or to Participants).

14. Choice of Law.

This Plan and the Stock Awards granted hereunder shall be governed by and construed in
accordance with the law of the State of Delaware, without regard to conflicts of laws principles
thereof.

15. Effectiveness of the Plan.

This Plan shall be effective as of the Effective Date.

16. Exchange Act Exemption.

Notwithstanding anything to the contrary in the Plan or any Stock Award Agreement, until such
time as the Company becomes subject to the reporting requirements of Sections 12 or 15(d) of the
Exchange Act, if the Company is relying on the exemption from registration under the Exchange Act
set forth in Rule 12h-1(f) under the Exchange Act (the “Employee Options Exemption”) in
connection with the grant of Options hereunder or the issuance of Shares upon the exercise of such
Options, the Plan, the Options granted hereunder and the Stock Award Agreements entered into in
connection with such grants are intended to comply with the
 Employee Options Exemption and, accordingly, to the maximum extent permitted, the Plan, such
Options and such Stock Award Agreements shall be interpreted to be in compliance therewith.

 

11

 

17. Section 409A.

Notwithstanding other provisions of this Plan or any Stock Award Agreements hereunder, no
Stock Award shall be granted, deferred, accelerated, extended, paid out or modified under this Plan
in a manner that would result in the imposition of an additional tax under Section 409A of the Code
upon a Participant. In the event that it is reasonably determined by the Committee that, as a
result of Section 409A of the Code, payments in respect of any Stock Award under the Plan may not
be made at the time contemplated by the terms of the Plan or the relevant Stock Award Agreement, as
the case may be, without causing the Participant holding such Stock Award to be subject to taxation
under Section 409A of the Code, the Company will make such payment on the first day that would not
result in the Participant incurring any tax liability under Section 409A of the Code. The Company
shall use commercially reasonable efforts to implement the provisions of this Section 17 in good
faith; provided that neither the Company, the Committee nor any of the Company’s employees,
directors or representatives shall have any liability to any Participant with respect to this
Section 17.

 

12

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