Document:

Exhibit 4.2

 

 

AMENDED AND RESTATED

NOTE AGENCY AGREEMENT

 

 

TOYOTA MOTOR CREDIT CORPORATION

 

and

 

 

THE BANK OF NEW YORK MELLON SA/NV, LUXEMBOURG
BRANCH

as Registrar

 

and

 

 

THE BANK OF NEW YORK MELLON,

acting through its London branch

as Transfer Agent

 

€50,000,000,000 Euro Medium Term
Note Programme

 

of

 

TOYOTA MOTOR FINANCE (NETHERLANDS) B.V.

TOYOTA CREDIT CANADA INC.

TOYOTA FINANCE AUSTRALIA LIMITED (ABN
48 002 435 181)

TOYOTA MOTOR CREDIT CORPORATION

 

as Issuers

 

 

 

Dated 8 September
2017

 

     

     

    

TABLE OF CONTENTS

 

 

	1.	Definitions and Interpretation	1
	2.	Appointment of Registrar; Transfer Agent; Paying Agents	4
	3.	Forms of Notes and Terms of Issue	5
	4.	Issue of Global Registered Notes	7
	5.	Issue of Definitive Registered Notes	9
	6.	Registration, Transfers and Exchanges	9
	7.	Special Provisions relating to Registered Global Notes	11
	8.	Payments	11
	9.	Mutilated, Destroyed, Stolen or Lost Note Certificates	14
	10.	Maturity, Redemption and Purchases	14
	11.	Cancellation and Destruction	15
	12.	Publication of Notices	15
	13.	Limit on Liability	15
	14.	Rights and Liabilities of Registrar, Transfer Agent and Paying Agents	15
	15.	Commissions, Expenses and Indemnities	17
	16.	Changes in Registrar, Transfer Agent and Paying Agents	18
	17.	Meetings of Noteholders	20
	18.	Further Issues	22
	19.	Reports	22
	20.	Forwarding of Notice	22
	21.	Amendments	22
	22.	Redenomination and Exchange	23
	23.	Notices	23
	24.	Deed Poll	24
	25.	Contracts (Rights of Third Parties) Act 1999	25
	26.	Governing Law and Submission to Jurisdiction	25
	27.	Counterparts	25
	28.	Headings	25
	29.	Stamp and Other Taxes	26

 

 

	SCHEDULE 1 FORM OF REGISTERED GLOBAL NOTE	29
	SCHEDULE 2 FORM OF DEFINITIVE REGISTERED NOTE	39
	SCHEDULE 3 FORM OF OPERATING AND ADMINISTRATIVE PROCEDURES MEMORANDUM	44
	ANNEX  SETTLEMENT PROCEDURES – EUROCLEAR/CLEARSTREAM, LUXEMBOURG	46
	SCHEDULE 4 ADDITIONAL DUTIES OF THE REGISTRAR AND THE TRANSFER AGENT	50

     

     

    

 

THIS AMENDED AND RESTATED NOTE AGENCY
AGREEMENT is made as of 8 September 2017, among:

 

		(1)	TOYOTA MOTOR CREDIT CORPORATION of 6565 Headquarters Drive, Mailstop W2–3D, Plano,
Texas 75024–5965, U.S.A. (“TMCC”);

 

		(2)	THE BANK OF NEW YORK MELLON SA/NV, LUXEMBOURG BRANCH of Vertigo Building – Polaris,
2-4 rue Eugène Ruppert, L-2453 Luxembourg as registrar and transfer agent (along with its successors, the “Registrar”);
and

 

		(3)	THE BANK OF NEW YORK MELLON, acting through its London branch, One Canada Square, Canary
Wharf, London E14 5AL, United Kingdom, as transfer agent and paying agent (along with its successors, the “Transfer
Agent”).

 

WHEREAS:

 

		(A)	TMCC, Toyota Motor Finance (Netherlands) B.V., Toyota Credit Canada Inc. and Toyota Finance Australia
Limited (together, the “Issuers”) have entered into an Amended and Restated Programme Agreement dated 8 September
2017 with the Dealers named therein (as amended and supplemented or restated from time to time, the “Programme Agreement”)
pursuant to which any of the Issuers may issue Euro Medium Term Notes (the “Notes”) in an aggregate nominal
amount of up to €50,000,000,000 (or its equivalent in other currencies) outstanding at any time (the “Programme”)
(including Notes issued prior to 28 September 2007 by TMCC under its U.S.$30,000,000,000 Euro Medium-Term Note Program last updated
on 28 September 2006 (and further amended on 4 March 2011 with respect to certain Notes) which remain outstanding).  

 

		(B)	Under the Programme TMCC may issue Notes in bearer form or in registered form (“Registered
Notes”).

 

		(C)	Notes are issued under the Programme subject to and with the benefit of an amended and restated
agency agreement dated 8 September 2017 (the “Programme
Agency Agreement”) between the Issuers, the Transfer Agent as issuing agent, and (unless specified otherwise in the applicable
Final Terms) paying agent and calculation agent (the “Agent”).

 

		(D)	It is necessary for TMCC to appoint a registrar and a transfer agent and paying agent in relation
to the Registered Notes issued by it under the Programme.

 

		(E)	The parties hereto entered into an amended and restated note agency agreement dated 9 September
2016 (the “Note Agency Agreement”).  The parties hereto agree to make certain modifications to the
Note Agency Agreement.  This Agreement amends and restates the Note Agency Agreement.

 

		1.	Definitions and Interpretation

 

		1.1	Terms and expressions defined in the Programme Agreement or the Programme Agency Agreement or the
Conditions or used in the applicable Final Terms shall have the same meanings in this Agreement, except where the context requires
otherwise.

 

     

     

    

		1.2	Without prejudice to the foregoing:

 

“Clearing System”
means Euroclear, Clearstream, Luxembourg or any additional or alternative clearing system approved by TMCC, the Registrar and the
Transfer Agent, as indicated in the applicable Final Terms.

 

“Code” means
the US Internal Revenue Code of 1986.

 

“Definitive Registered
Note” means a Registered Note issued in definitive form substantially in the form appended to this Agreement as Schedule
2 (or such other form as may be agreed between TMCC, the Registrar, the Transfer Agent and the relevant Purchaser(s)).

 

“Eurosystem-eligible
Note” means a Registered Note which is intended to be held in a manner which would allow Eurosystem eligibility, as stated
in the applicable Final Terms.

 

“FATCA Withholding Tax”
means any withholding or deduction required pursuant to an agreement described in Section 1471(b) of the Code or any withholding
or deduction otherwise imposed pursuant to Sections 1471 through 1474 of the Code (or any regulations, agreements or undertakings
thereunder or official interpretations thereof) or any intergovernmental agreement between the United States and another jurisdiction
facilitating the implementation thereof (or any law implementing such an intergovernmental agreement).

 

“Noteholders”
means the several persons who are for the time being holders of outstanding Registered Notes, being the several persons whose names
are entered in the register of holders of such Notes as the holders thereof save that, in respect of Registered Notes of any Series,
for so long as such Notes or any part thereof are represented by a Registered Global Note, each person who is for the time being
shown in the records of the applicable Clearing System as the holder of a particular nominal amount of such Notes (other than a
clearing system (including Clearstream, Luxembourg and Euroclear) that is itself an account holder of the other applicable Clearing
System for a Series of Notes) (in which regard any certificate or other document issued by the applicable Clearing System as to
the nominal amount of such Notes standing to the account of any person shall be conclusive and binding for all purposes save in
the case of manifest error) shall be treated by TMCC, the Registrar, the Transfer Agent and any other Paying Agent as a holder
of such nominal amount of such Notes for all purposes other than for the payment of principal (including premium (if any)) or interest
on such Notes, the right to which shall be vested, as against TMCC, the Registrar, the Transfer Agent and any other Paying Agent
solely in the person whose name is entered in the register of holders of such Notes as the holder of the Registered Global Note
in accordance with and subject to its terms (and the expressions Noteholder, holder of Notes and related expressions
shall be construed accordingly).

 

“NSS” means
the new safekeeping structure for holding Registered Notes that are intended to be Eurosystem-eligible Notes.

 

“Paying Agents”
means the Transfer Agent and each such additional transfer agent or paying agent appointed by TMCC under this Agreement.

 

“Procedures Memorandum”
means the non-binding Operating and Administrative Procedures Memorandum set out in Schedule 3 hereto as amended or varied from
time to time, in respect of any Tranche of Registered Notes, by agreement between TMCC and the Purchaser of such Tranche with the
approval in writing of the Registrar or Transfer Agent, as applicable.

 

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“Registered Global Note”
means a Registered Note issued in global form substantially in the form appended to this Agreement as Schedule 1 (or such other
form as may be agreed between TMCC, the Registrar, the Transfer Agent and the relevant Purchaser(s)) representing a certain number
of underlying Notes (the “Underlying Notes”) and any registered global note issued upon any transfer or exchange
thereof or in replacement therefor.

 

“Relevant Account Holder”
means any account holder with the relevant Clearing System which has a certain number of Underlying Notes credited to its securities
account from time to time.

 

“Relevant Time”
means the time at which a Registered Global Note becomes void in the circumstances which are specified in that Registered Global
Note.

 

“Stock Exchange”
means the London Stock Exchange or any other or further stock exchange(s) on which any Notes may from time to time be listed or
admitted to trading, as the case may be; and references in this Agreement to the relevant Stock Exchange shall, in relation
to any Notes, be references to the Stock Exchange on which such Notes are from time to time, or are intended to be, listed or admitted
to trading.

 

		1.3	Any references to Notes shall, unless the context otherwise requires, include any Registered Global
Note(s) or definitive certificates representing such Notes.

 

		1.4	For the purposes of this Agreement, the Notes of each Series shall form a separate series of Notes
and accordingly, the provisions of this Agreement shall apply mutatis mutandis separately and independently to the Notes
of each Series and in such provisions the expressions “Notes” and “Noteholders”, shall be
construed accordingly.

 

		1.5	As used herein, in relation to any Notes which are to have a "listing" or be "listed"
(i) on the London Stock Exchange, “listing” and “listed” shall be construed to mean that
such Notes have been admitted to the Official List in accordance with the listing rules of the UK Listing Authority and admitted
to trading on the London Stock Exchange’s Regulated Market and (ii) on any other Stock Exchange in a jurisdiction within
the European Economic Area, “listing” and “listed” shall be construed to mean that Notes
have been admitted to trading on a market within that jurisdiction which is a regulated market for the purposes of the Markets
in Financial Instruments Directive (Directive 2004/39/EC).

 

		1.6	All references in this Agreement to a Directive include any relevant implementing measure of each
Member State of the European Economic Area which has implemented such Directive.

 

		1.7	In this Agreement, unless the contrary intention appears or the context requires otherwise, a reference
to:

 

		(a)	an “amendment” includes a supplement, restatement or novation and “amended”
is to be construed accordingly;

 

		(b)	a “person” includes any individual, company, unincorporated association, government,
state agency, international organisation or other entity;

 

		(c)	the “records” of the Clearing System shall be to the records that the relevant
Clearing System holds for its participants, which reflect the amount of each such participant’s interest in the Notes;

 

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		(d)	a provision of a law or statute shall be deemed to be a reference to that law or statute as from
time to time modified, extended, amended or re-enacted;

 

		(e)	a Section, Subsection, paragraph or Schedule is a reference to a section, subsection or paragraph
of, or a schedule to, this Agreement;

 

		(f)	a person includes its successors and assigns;

 

		(g)	a document is a reference to that document as amended from time to time; and

 

		(h)	a time of day is a reference to London time.

 

		2.	Appointment of Registrar; Transfer Agent; Paying Agents

 

		2.1	TMCC hereby appoints The Bank of New York Mellon SA/NV,
Luxembourg Branch, at present having its principal office at Vertigo Building – Polaris, 2-4 rue Eugène Ruppert,
L-2453 Luxembourg, as registrar and transfer agent of TMCC for Registered Notes, upon the terms and conditions set forth herein.  The
Bank of New York Mellon SA/NV, Luxembourg Branch accepts such appointments as such registrar and transfer agent.  TMCC
hereby appoints The Bank of New York Mellon, acting through its London branch, at present having its principal office at One Canada
Square, Canary Wharf, London E14 5AL, United Kingdom as transfer agent and paying agent of TMCC for Registered Notes, upon the
terms and conditions set forth herein.  The Bank of New York Mellon, acting through its London branch, accepts such
appointments as such transfer agent and paying agent. For this purpose the Registrar is authorised on behalf of TMCC to act as
registrar and transfer agent of TMCC and the Transfer Agent is authorised on behalf of TMCC to act as transfer agent and paying
agent of TMCC, and in respect of any Registered Notes settling in Euroclear and Clearstream, Luxembourg:

 

		(a)	to prepare the Registered Global Note(s) and to complete,
in accordance with the applicable Final Terms, the necessary details on such Registered Global Note(s) and attach a copy of the
applicable Final Terms to such Registered Global Note(s);

 

		(b)	to authenticate such Registered Global Note(s);

 

		(c)	if the Registered Global Note(s) is/are not held in
the NSS, to deliver such Registered Global Note(s) (i) to the specified common depositary of Euroclear, Clearstream, Luxembourg
and/or such other applicable clearing agency as is specified in the applicable Final Terms against receipt from such common depositary
of confirmation that such common depositary is holding the Registered Global Note(s) in safe custody for the account of Euroclear,
Clearstream, Luxembourg or such other applicable clearing agency and to instruct Euroclear, Clearstream, Luxembourg and/or such
other applicable clearing agency to credit the Notes represented by such Registered Global Note(s), unless otherwise agreed in
writing between the Registrar and TMCC or the Transfer Agent and TMCC, as the case may be, to the Registrar’s or the Transfer
Agent’s, as the case may be, distribution account, or (ii) as otherwise agreed in writing between TMCC and the Registrar
or TMCC and the Transfer Agent, as the case may be;

 

		(d)	if the Registered Global Note(s) is/are held in the
NSS, to deliver such Registered Global Note(s) to the specified common safekeeper of Euroclear and/or Clearstream, Luxembourg
against receipt from such common safekeeper of confirmation that such common safekeeper is holding the Registered Global Note(s)
in safe custody for the

 

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account
of Euroclear and Clearstream, Luxembourg and, in the case of a Registered Global Note which is a Eurosystem-eligible Note, to
instruct the common safekeeper to effectuate the same; and

 

		(e)	if the Registered Global Note(s) is/are held in the
NSS, to instruct Euroclear and Clearstream, Luxembourg to make the appropriate entries in their records to record the initial
outstanding aggregate nominal amount of the relevant Tranche of Registered Notes.

 

		2.2	Each of the Registrar and the Transfer Agent shall only be required to perform its obligations
under paragraph 2.1(a) if it holds a master Registered Global Note duly executed by a person or persons authorised to execute the
same on behalf of TMCC, which may be used by the Registrar or the Transfer Agent, as the case may be, for the purpose of preparing
Registered Global Note(s) in accordance with paragraph 2.1(a).

 

		2.3	Each of the Registrar and the Transfer Agent shall provide Euroclear, Clearstream, Luxembourg and/or
such other applicable clearing agency with the notifications, instructions or other information to be given by the Registrar or
the Transfer Agent, as the case may be, to Euroclear, Clearstream, Luxembourg and/or such other applicable clearing agency.

 

		2.4	Any of the duties and obligations of the Registrar in this Section 2 may be delegated by the Registrar
to the Transfer Agent with respect to a particular Series of Registered Notes provided that the Registrar may not delegate its
duty and obligation to maintain the Register (as defined in Subsection 6.1) in Luxembourg and any of the duties and obligations
of the Registrar or the Transfer Agent set forth in this Section 2 may, with the consent of TMCC, be delegated by the Registrar
or the Transfer Agent with respect to a particular Series of Registered Notes to a third party, provided such third party’s
performance is subject to the overall supervision and control of the Registrar or the Transfer Agent and provided further that
the Registrar may not delegate its duty and obligation to maintain the Register in Luxembourg.

 

		2.5	TMCC, the Registrar and the Transfer Agent acknowledge that the Agent has been instructed to elect
Euroclear as common safekeeper in relation to each issue of Eurosystem-eligible Notes, including Registered Global Notes held in
the NSS.  TMCC, the Registrar and the Transfer Agent acknowledge that the Agent and TMCC may from time to time agree
to vary this election and that any such election is subject to the right of Euroclear and Clearstream, Luxembourg to jointly determine
that the other shall act as common safekeeper in relation to any such issue.  

 

		2.6	Where the Registrar or the Transfer Agent delivers any authenticated Registered Global Note that
is held in the NSS to a common safekeeper for effectuation using electronic means, it is authorised and instructed to destroy the
Registered Global Note retained by it following its receipt of confirmation by the common safekeeper that the relevant Registered
Global Note has been effectuated.

 

		3.	Forms of Notes and Terms of Issue

 

		3.1	Each series of Registered Notes shall initially be issued in the form of a Registered Global Note
without coupon, as amended and supplemented by the applicable Final Terms in relation to such Series of Registered Notes and in
accordance with the provisions of the Procedures Memorandum set out in Schedule 3 hereto (as from time to time varied, with the
prior approval of the Registrar or the Transfer Agent, as the case may be, by TMCC and by the relevant Purchaser or Purchasers
of the Registered Notes of such issue).

 

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		3.2	All Registered Notes (including any Registered Global Note) shall be executed on behalf of TMCC
by the signature, manual or in facsimile, of any person who shall for the time being have been duly authorised by the executive
committee of the board of directors in the name of and on behalf of TMCC.  

 

		3.3	In the event that any officer of TMCC who shall have signed a Registered Note shall cease to hold
such office or authority before the Registered Note so signed shall actually have been authenticated, registered or delivered,
such Registered Note nevertheless may be authenticated, registered and delivered with the same force and effect as though such
person who signed such Registered Note had not ceased to be such official of TMCC.  In the event that a person who has
signed on behalf of TMCC a master Registered Global Note or Definitive Registered Notes not yet issued but held by the Transfer
Agent or the Registrar, as the case may be, in accordance with Subsections 2.1 and 3.4 ceases to be authorised, the Registrar and
Transfer Agent shall (unless TMCC gives notice to the Registrar and the Transfer Agent that Registered Notes signed by that person
do not constitute valid and binding obligations of TMCC or otherwise until replacements have been provided to the Registrar and
the Transfer Agent) continue to have authority to issue any such Registered Notes, and TMCC hereby warrants to the Registrar and
the Transfer Agent that such Registered Notes shall, unless notified as aforesaid, be valid and binding obligations of TMCC.  Promptly
upon such person ceasing to be authorised, TMCC shall provide the Registrar and the Transfer Agent with a replacement master Registered
Global Note and (if applicable) Definitive Registered Notes and the Registrar or the Transfer Agent, as the case may be, shall
cancel and destroy the master Registered Global Note(s) and (if applicable) Definitive Registered Notes held by it which are signed
by such person and shall provide to TMCC a confirmation of destruction in respect thereof specifying the Registered Notes so cancelled
and destroyed.

 

		3.4	The Registrar and the Transfer Agent shall cause all master Registered Global Notes and Definitive
Registered Notes delivered to and held by it under this Agreement to be maintained in safe custody and shall ensure that such Registered
Notes are issued only in accordance with the provisions of this Agreement and the Registered Global Note and Conditions.

 

		3.5	Subject to the procedures set out in the Procedures Memorandum, for the purposes of Subsection
3.4 the Registrar or Transfer Agent is entitled to treat a telephone or facsimile communication from a person purporting to be
(and who the Registrar or Transfer Agent, after making reasonable investigation, believes in good faith to be) the authorised representative
of TMCC named in the list referred to in, or notified pursuant to, Subsection
14.6 of this Agreement as sufficient instructions and authority of TMCC for the Registrar or Transfer Agent to act in accordance
with Subsection 3.4.

 

		3.6	In respect of Registered Notes settling in a Clearing System (including Euroclear and Clearstream,
Luxembourg):

 

		(a)	unless otherwise agreed in writing between TMCC and the Registrar or the Transfer Agent, as the
case may be, each Registered Note credited to the Registrar’s or the Transfer Agent’s distribution account with Euroclear
and Clearstream, Luxembourg (or, in the case of Registered Notes not held in the NSS, such other applicable clearing agency) following
the delivery of a Registered Global Note to a common depositary or, as the case may be, a common safekeeper, shall be held to the
order of TMCC.  Each of the Registrar and the Transfer Agent shall procure that the nominal amount of Registered Notes
which the relevant Purchaser has agreed to purchase is:

 

		(i)	debited from the Registrar’s or the Transfer Agent’s distribution account; and

 

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		(ii)	credited to the securities account of such Purchaser with Euroclear, Clearstream, Luxembourg or,
in the case of Registered Notes not held in the NSS, such other clearing agency (as specified in the applicable Final Terms), in
each case only upon receipt by the Registrar or the Transfer Agent (as the case may be) on behalf of TMCC of the purchase price
due from the relevant Purchaser in respect of such Registered Notes.

 

		(b)	unless otherwise agreed in writing between TMCC and the Registrar or the Transfer Agent, as the
case may be, if the Registrar or the Transfer Agent, as the case may be, pays an amount (the “Advance”) to TMCC
on the basis that a payment (the “Payment”) will be received from a Purchaser and if the Payment is not received
by the Registrar or the Transfer Agent, as the case may be, on the date the Registrar or the Transfer Agent, as the case may be,
pays TMCC, the Registrar or the Transfer Agent, as the case may be (and if the Registrar fails to do so, the Transfer Agent), shall
notify TMCC by facsimile that the Payment has not been received and TMCC shall repay to the Registrar or the Transfer Agent, as
the case may be, the Advance and shall pay interest on the Advance (or the unreimbursed portion thereof) from (and including) the
date such Advance is made to (but excluding) the earlier of repayment of the Advance and receipt by the Registrar or the Transfer
Agent, as the case may be, of the Payment (at a rate quoted at that time by the Registrar or the Transfer Agent, as the case may
be) as its cost of funding the Advance provided that evidence of the basis of such rate is given to TMCC);  and

 

		(c)	unless otherwise agreed in writing between TMCC and the Registrar or the Transfer Agent, as the
case may be, if on the relevant Issue Date a Purchaser does not pay the full purchase price due from it in respect of any Registered
Note (the “Defaulted Note”) and, as a result, the Defaulted Note remains in the Registrar’s or the Transfer
Agent’s distribution account with Euroclear and/or Clearstream, Luxembourg (or, in the case of Registered Notes not held
in the NSS, such other applicable clearing agency) after such Issue Date, the Registrar or the Transfer Agent, as the case may
be, will continue to hold the Defaulted Note to the order of TMCC.  The Registrar or the Transfer Agent, as the case
may be (and if the Registrar fails to do so, the Transfer Agent), shall notify TMCC forthwith of the failure of the Purchaser to
pay the full purchase price due from it in respect of any Defaulted Note and, subsequently, shall notify TMCC forthwith upon receipt
from the Purchaser of the full purchase price in respect of such Defaulted Note.

 

		3.7	In the event of an issue of Registered Notes that are listed on a Stock Exchange, the Registrar
or the Transfer Agent, as the case may be, will promptly, and in any event prior to the Issue Date in respect of such issue, send
the applicable Final Terms to the relevant Stock Exchange.

 

		3.8	Execution in facsimile of any Registered Notes and any photostatic copying or other duplication
of the master Registered Global Note (in unauthenticated form, but executed manually on behalf of TMCC as stated above) shall be
binding upon TMCC in the same manner as if such Registered Notes were signed manually by such signatories.

 

		4.	Issue of Global Registered Notes

 

		4.1	Upon receipt of a Registered Global Note(s) duly executed on behalf of TMCC (unless a master Registered
Global Note is to be used) and a copy of the applicable Final Terms duly executed on behalf of TMCC, together with a written order
or orders to authenticate and deliver a Registered Global Note(s) in a stated aggregate nominal amount, the Registrar or the

 

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Transfer Agent,
as the case may be, shall authenticate and the Registrar shall register the stated aggregate nominal amount of Registered Notes.

 

		4.2	In respect of Registered Notes settling in a Clearing System (including Euroclear and Clearstream,
Luxembourg):

 

		(a)	where the applicable Final Terms indicate the Registered Global Note(s) is/are not intended to
be held in the NSS, the Registrar or the Transfer Agent, as the case may be, shall deliver such Registered Global Note(s) (i) to
the specified depository of the relevant Clearing System (or, in the case of Euroclear and Clearstream, Luxembourg a common depositary)
against receipt from such depository of confirmation that such depository is holding the Registered Global Note(s) in safe custody
for the account of Euroclear, Clearstream Luxembourg or such other clearing agency and instruct Euroclear, Clearstream, Luxembourg
and/or such other applicable clearing agency (as the case may be) to credit the Notes represented by such Registered Global Note(s),
unless otherwise agreed in writing between the Registrar or the Transfer Agent, as the case may be, and TMCC, to the Registrar’s
or the Transfer Agent’s distribution account, or (ii) as otherwise agreed in writing between TMCC and the Registrar or the
Transfer Agent, as the case may be; and

 

		(b)	where the applicable Final Terms indicate the Registered Global Note(s) is/are intended to be held
in the NSS, the Registrar or the Transfer Agent, as the case may be (and if the Registrar fails to do so, the Transfer Agent),
shall (i) deliver such Registered Global Note(s) to the specified common safekeeper of Euroclear and Clearstream, Luxembourg against
receipt from such common safekeeper of confirmation that such common safekeeper is holding the Registered Global Note(s) in safe
custody for the account of Euroclear and Clearstream, Luxembourg and instruct the common safekeeper to effectuate the same; and
(ii) instruct Euroclear and Clearstream, Luxembourg to make the appropriate entries in their records to reflect the initial outstanding
aggregate nominal amount of the relevant Tranche of Registered Notes.

 

		4.3	Where the Registrar or the Transfer Agent, as the case may be, delivers any authenticated Registered
Global Note that is to be held in the NSS to a common safekeeper for effectuation using electronic means, it is authorised and
instructed to destroy the Registered Global Note retained by it following its receipt of confirmation from the common safekeeper
that the relevant Registered Global Note has been effectuated.

 

		4.4	The Registrar or the Transfer Agent, as the case may be (and if the Registrar fails to do so, the
Transfer Agent), shall provide Euroclear, Clearstream, Luxembourg and/or such other applicable clearing agency with the notifications,
instructions or other information to be given by the Registrar or the Transfer Agent, as the case may be, to Euroclear, Clearstream,
Luxembourg and/or such other applicable clearing agency.

 

		4.5	In respect of each Registered Global Note that is to be held in the NSS, the Registrar or the Transfer
Agent, as the case may be (and if the Registrar fails to do so, the Transfer Agent), shall also perform the duties set out in Schedule
4 to this Agreement.

 

		4.6	Any of the duties and obligations of the Registrar in this Section 4 may be delegated by the Registrar
to the Transfer Agent with respect to a particular Series of Registered Notes provided that the Registrar may not delegate its
duty and obligation to maintain the Register in Luxembourg.  Any of the duties and obligations of the Registrar or the
Transfer Agent in this Section 4 may, with the consent of TMCC, be delegated by the Registrar or the Transfer Agent with respect
to a particular Series of Registered Notes to a third party, provided such

 

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third party’s
performance is subject to the overall supervision and control of the Registrar or the Transfer Agent and provided further that
the Registrar may not delegate its duty and obligation to maintain the Register in Luxembourg.

 

		5.	Issue of Definitive Registered Notes

 

		5.1	A Registered Global Note will be exchanged in whole, but not in part only, for Definitive Registered
Notes only upon the occurrence of an Exchange Event, as that term is defined in the applicable Registered Global Note.

 

		5.2	Upon the occurrence of an Exchange Event, (i) TMCC will promptly give notice to the Registrar,
the Transfer Agent and any other Paying Agents and to Noteholders in accordance with Condition 16 and the Clearing System (acting
on the instructions of any holder of an interest in the Registered Global Note) may give notice to the Registrar and/or the Transfer
Agent requesting exchange; and (ii) TMCC shall execute Definitive Registered Notes and provide them to the Transfer Agent.  The
Transfer Agent, upon receipt thereof, shall either authenticate and deliver, or procure the Registrar to authenticate and deliver,
such Definitive Registered Notes, without coupons, in such denominations as are specified in the applicable Final Terms, in an
aggregate nominal amount equal to the aggregate nominal amount of the Registered Global Note as of the exchange date.

 

		5.3	Any such exchange shall occur not later than 45 days after the date of receipt of the first relevant
notice by the Registrar or the Transfer Agent, as the case may be.  The exchange will be made upon presentation of the
Registered Global Note by the registered holder thereof on any day (other than a Saturday or Sunday) on which banks are open for
general business in London and Luxembourg.  The aggregate nominal amount of Definitive Registered Notes issued upon an
exchange of the Registered Global Note will be equal to the aggregate nominal amount of the Registered Global Note at the time
of such exchange.  On an exchange of the whole of the Registered Global Note, the Registered Global Note shall be surrendered
to the Registrar or the Transfer Agent and the Registrar or the Transfer Agent, as the case may be, shall cancel such Registered
Global Note.

 

		5.4	Definitive Registered Notes issued in exchange for the Registered Global Note pursuant to Subsection
5.2 shall be registered by the Registrar in such name as the relevant Clearing System, pursuant to instructions from its direct
or indirect participants or otherwise, shall instruct the Registrar, the Transfer Agent or TMCC.  The Registrar or the
Transfer Agent, as the case may be (and if the Registrar fails to do so the Transfer Agent), shall deliver such Definitive Registered
Notes to or as directed by the persons in whose names such Definitive Registered Notes are so registered by the Registrar and shall
direct all payments to be made in respect of such Definitive Registered Notes to the registered holders thereof on or after such
exchange regardless of whether such exchange occurred after the record date for such payment.

 

		5.5	All Definitive Registered Notes issued upon the exchange of the Registered Global Note shall be
valid obligations of TMCC, evidencing the same debt, entitled to the same benefits and subject to the same terms and conditions
(except insofar as they relate specifically to a Registered Global Note) as the Registered Global Note surrendered upon such exchange.

 

		6.	Registration, Transfers and Exchanges

 

		6.1	The Registrar, as agent of TMCC for such purpose, shall at all times keep at its principal offices
in Luxembourg, a central securities register (hereinafter the “Register”) for the registration of Registered
Notes and registration of transfers and exchanges of Registered

 

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Notes, in which
shall be entered the names, alphabetically arranged, and the latest known address of each person who is or has been a registered
holder of Registered Notes, the number of Registered Notes held by them, and the date and particulars of the issue and transfer
of each Registered Note.  

 

		6.2	The Transfer Agent shall notify the Registrar of each registration required to be made by the Registrar
in the Register and the Registrar shall make a corresponding registration in the Register.

 

		6.3	Subject to Section 7 hereof, upon surrender for registration of transfer of any Registered Note
at its office, the Registrar or the Transfer Agent, as the case may be, shall authenticate, register and deliver, in the name of
the transferee or transferees, a new Registered Note or Registered Notes for a like aggregate nominal amount.

 

		6.4	Subject to Section 7 hereof, upon surrender of any Registered Note at its office for exchange,
the Registrar or the Transfer Agent, as the case may be, shall authenticate, register (in the case of the Registrar), procure the
Registrar to register (in the case of the Transfer Agent) and deliver, in exchange for such Registered Note, a new Registered Note
or Registered Notes of the appropriate authorised denomination(s) and for a like aggregate nominal amount in accordance with the
provisions of the Registered Notes.  TMCC, the Registrar and the Transfer Agent shall not be required to make any exchange
of Registered Notes if as a result thereof, TMCC would incur adverse tax or other similar consequences under the laws or regulations
of any jurisdiction in effect at the time of the exchange.

 

		6.5	All new Registered Notes authenticated and delivered by the Registrar or the Transfer Agent, as
the case may be, upon registration of transfer or in exchange for Registered Notes of other denominations shall be so dated that
neither gain nor loss of interest shall result from such registration of transfer or exchange.

 

		6.6	All Registered Notes presented or surrendered for registration of transfer or exchange shall be
accompanied by a written instrument or instruments of transfer in form satisfactory to the Registrar or the Transfer Agent, as
the case may be, which form shall be substantially in the form appended to the Registered Notes and otherwise in accordance with
the prevailing transfer regulations and practices of the relevant Clearing System and duly executed by the registered holder or
its duly authorised attorney.

 

		6.7	The Registrar or the Transfer Agent, as the case may be, shall not impose any service charge on
the registered holder on any such registration of transfer or exchange of Registered Notes; however TMCC may require of
the party requesting such transfer or exchange, as a condition precedent to the exercise of any right of transfer or exchange contained
in this Agreement or in the Registered Notes, the payment of a sum sufficient to cover any stamp or other tax or other governmental
charge payable in connection therewith.

 

		6.8	TMCC, the Registrar, the Transfer Agent and any other Paying Agent may (except as ordered by a
court of competent jurisdiction or as required by law) treat the person in whose name any Registered Note is registered as the
absolute owner of such Registered Note for the purpose of receiving payment of principal of and interest on such Registered Note,
subject to the provisions of the Registered Global Note, whether or not such Registered Note be overdue and notwithstanding any
notice of ownership, theft or loss or any writing thereon made by anyone, and any such payment shall be a good and sufficient discharge
to TMCC, the Registrar, the Transfer Agent and any other Paying Agent for the amount so paid, provided that where the Registrar,
the Transfer Agent or any other Paying Agent, as the case may be, has notified TMCC of the presentation and surrender of any Registered
Note in accordance with

 

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Subsection
9.2, the Registrar, the Transfer Agent or any other Paying Agent shall not make payment thereon until so instructed by TMCC.

 

		6.9	The Registrar shall not be required to register, and the Transfer Agent shall not be required to
procure the Registrar to register, any transfer or exchange of Registered Notes during the period from any Regular Record Date
(as defined in the Registered Notes) to the corresponding Interest Payment Date (as defined in the applicable Final Terms) or Maturity
Date (as defined in the applicable Final Terms) or from the close of business on the Redemption Record Date (as defined in the
Registered Notes) to the Redemption Date (as defined in the Registered Notes) and for the purposes of any interest payment made
in accordance with Section 8 hereof, such payment shall be made to those persons in whose names the Registered Notes are registered
on such Regular Record Date or Redemption Record Date, as the case may be.

 

		7.	Special Provisions relating to Registered Global Notes

 

		7.1	Unless otherwise agreed by TMCC, the relevant Purchaser, the Registrar and the Transfer Agent,
each Registered Global Note shall be registered on issue in the name of a nominee of the relevant Clearing System (or a common
nominee), or such other name as is advised by an authorised representative of the relevant Clearing System, and deposited on issue
with a depository for the relevant Clearing System (or a common depositary).

 

		7.2	As long as the relevant Clearing System or its nominee (or a common nominee) is the registered
holder of the Registered Global Note it will be considered the sole owner and holder of the Registered Notes for purposes of receiving
payment of principal and interest hereunder and under the Registered Global Note.  None of TMCC, the Registrar, the Transfer
Agent or any other Paying Agent will have any responsibility or liability for any aspect of the records of the relevant Clearing
System relating to payments made by such Clearing System on account of beneficial interests in the Registered Global Note.  Except
as provided in Subsection 5.1 hereof, owners of beneficial interests in the Registered Global Note will not be entitled to have
Registered Notes registered in their names and will not receive or be entitled to receive Definitive Registered Notes.

 

		7.3	Unless the Registered Global Note is presented by an authorised representative of the relevant
Clearing System to TMCC, the Registrar, the Transfer Agent or any other Paying Agent for registration of transfer, exchange or
payment, and any replacement Registered Global Note issued is registered in the name of, or in the name of a nominee (or common
nominee) of, the relevant Clearing System, or in such other name as is requested by an authorised representative of the relevant
Clearing System (and any payment is made to such nominee (or common nominee) or to such other entity as is requested by an authorised
representative of the relevant Clearing System), any transfer, pledge or other use of the Registered Global Note for value or otherwise
by or to any person shall be wrongful since the registered holder thereof has an interest therein.

 

		8.	Payments

 

		8.1	TMCC will pay to the Transfer Agent, in same day funds, in the Specified Currency, to an account
to be specified by the Transfer Agent, prior to 9:30 am (London time) on the day on which the same shall become due (or the next
following Business Day (as defined below) if such due date falls upon a day which is not a Business Day), all amounts to be paid
on the Registered Notes for principal and interest on that date as required by the terms of the Registered Notes, and TMCC hereby
authorises and directs the Transfer Agent, from the funds so paid to it, to make payment of the principal and interest in respect
of the Registered

 

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Notes in accordance
with their terms and the provisions set forth below.  For the purposes hereof, “Business Day” means
a day on which banking institutions in London, England or
the applicable place of payment are not authorised or obligated by law or executive order to be closed.

 

		8.2	Payment of principal and interest on the Registered Global Note shall be made by the Transfer Agent
to the registered holder in the Specified Currency and in accordance with the regular procedures established from time to time
by the relevant Clearing System and the Transfer Agent.

 

		8.3	Payment of principal in respect of Definitive Registered Notes issued pursuant to Subsection 5.1
hereof shall be made in the Specified Currency at the office of the Registrar in Luxembourg, the office of the Transfer Agent in
London, England or at the specified office of any other Paying Agent, provided no such payment shall be made at a specified office
of any Paying Agent within the United States.

 

		8.4	The Transfer Agent shall arrange with the Registrar and each other Paying Agent for the payment,
as provided herein, of the principal of and interest on the Registered Global Notes on terms approved by TMCC provided no such
payment shall be made at a specified office of any Paying Agent within the United States.  Notwithstanding the foregoing
such payment may be made at the specified office of a Paying Agent in the United States (which expression, as used herein, means
the United States of America (including the States and the District of Columbia and its possessions) only if:

 

		(a)	Paying Agents with specified offices outside the United States have been appointed with the reasonable
expectation that such Paying Agents would be able to make payments at such specified offices outside the United States of the full
amount owing in respect to such Registered Global Notes in the manner provided above when due;

 

		(b)	payment of the full amount owing in respect of such Registered Global Notes at all such specified
offices outside the United States is illegal or effectively precluded by the imposition of exchange controls or other similar restrictions
on the full amount; and

 

		(c)	such payment is then permitted under United States law without involving, in the opinion of TMCC,
adverse tax consequences to TMCC.

 

		8.5	Payment of interest due prior to or at maturity or on any date of early redemption will be made
by credit or transfer to an account in the relevant Specified Currency maintained by the payee with,
or at the option of the payee by a cheque in such Specified Currency drawn on, a bank in the principal financial centre of the
country of such Specified Currency unless specified otherwise in the applicable Final Terms, delivered to the registered
addresses of registered holders of Registered Notes.  Such cheque shall be dated the due date for payment and made payable
to the order of the registered holder or, in the case of joint registered holders, to the order of all such joint holders (failing
instructions from them to the contrary) and shall be sent to the address of that one of such joint holders whose name stands first
in the register as one of such joint holders.  The Registrar, the Transfer Agent or any Paying Agent appointed by TMCC
for such purpose shall mail or otherwise deliver such cheques to the names and addresses of registered holders of Registered Notes
sufficiently in advance of the relevant due date for payment that receipt of such cheques by registered holders on or before the
due date is reasonably assured.

 

		8.6	All moneys paid to the Transfer Agent under Subsection 8.1 hereof shall be held by it for the registered
holders of Registered Notes to be applied by the Transfer Agent to payments due on

 

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the Registered
Notes at the time and in the manner provided for in this Agreement and the Registered Notes.  Any money deposited with
the Transfer Agent for the payment of the principal or interest in respect of any Registered Note remaining unclaimed for five
years after such principal or interest shall have become due and payable shall be repaid to TMCC without interest, and the registered
holder of a Registered Note may thereafter look only to TMCC for any payment to which such holder may be entitled.  All
funds held by the Transfer Agent need not be segregated from other funds, except as required by law.

 

		8.7	Subject to the Transfer Agent being satisfied in its sole discretion that payment will be duly
made as provided in Subsection 8.1, the Transfer Agent or the relevant Paying Agent shall pay or cause to be paid all amounts due
in respect of the Registered Notes on behalf of TMCC in the manner provided in the Conditions.  If any payment provided
for in Subsection 8.1 is made late but otherwise in accordance with the provisions of this Agreement, the Transfer Agent and each
Paying Agent shall nevertheless make payments in respect of the Registered Notes as aforesaid following receipt by it of such payment.

 

		8.8	If for any reason the Transfer Agent considers in its sole discretion that the amounts to be received
by the Transfer Agent pursuant to Subsection 8.1 will be, or the amounts actually received by it pursuant thereto are, insufficient
to satisfy all claims in respect of all payments then falling due in respect of the Registered Notes, the Transfer Agent shall
then forthwith notify TMCC of such insufficiency and, until such time as the Transfer Agent has received the full amount of all
such payments, neither the Transfer Agent nor any Paying Agent shall be obliged to pay any such claims.

 

		8.9	Without prejudice to Subsections 8.7 and 8.8, if the Transfer Agent pays any amounts to the holders
of Registered Note or to any Paying Agent at a time when it has not received payment in full in respect of the relevant Registered
Note in accordance with Subsection 8.1 (the excess of the amounts so paid over the amounts so received being the “Shortfall”),
TMCC shall, in addition to paying amounts due under Subsection 8.1, pay to the Transfer Agent on demand interest (at a rate which
represents the Transfer Agent’s actual overnight cost of funding the Shortfall as evidenced to TMCC by the provision of details
of the calculation of the cost of funding) on the Shortfall (or the unreimbursed portion thereof) from (and including) the date
such Shortfall is paid by the Transfer Agent to the holders of the Registered Notes or to any Paying Agent to (but excluding) the
date of receipt in full by the Transfer Agent of the Shortfall.  The Transfer Agent shall notify TMCC by facsimile as
soon as practicable, it being understood that TMCC shall have the right to make such payment subsequently with good value as of
such Business Day.

 

		8.10	The Transfer Agent shall on demand promptly reimburse each Paying Agent for payments in respect
of Registered Notes properly made by such Paying Agent in accordance with this Agreement and the Conditions unless the Transfer
Agent has notified the Paying Agent, prior to the opening of business in the location of the office of the Paying Agent through
which payment in respect of the Registered Notes can be made on the due date of a payment in respect of the Registered Notes, that
the Transfer Agent does not expect to receive sufficient funds to make payment of all amounts falling due in respect of such Registered
Notes.

 

		8.11	The Transfer Agent shall be entitled to deduct any applicable FATCA Withholding Tax and shall have
no obligation to gross-up any payment hereunder or to pay any additional amount as a result of such applicable FATCA Withholding
Tax.

 

		8.12	If TMCC reasonably determines that it will be required to withhold or deduct any FATCA Withholding
Tax in connection with any payment due on any Notes, then TMCC will be entitled to re-direct or reorganise any such payment in
any way that it sees fit in order that the

 

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payment may
be made without FATCA Withholding Tax provided that any such re-direction or reorganisation of any payment is made through a recognised
institution of international standing and such payment is otherwise made in accordance with this Agreement.

 

		9.	Mutilated, Destroyed, Stolen or Lost Note Certificates

 

		9.1	If any Registered Note certificate is mutilated, defaced, destroyed, stolen or lost, application
for replacement shall be made to the Registrar or the Transfer Agent, as the case may be, who shall promptly transmit such application
to TMCC. Such application shall be accompanied by the mutilated or defaced certificate or proof, satisfactory to TMCC in its discretion,
of the destruction, theft or loss of the certificate, and upon receipt by TMCC of an indemnity satisfactory to it, TMCC shall execute
a new certificate of like tenor, and upon written instructions from TMCC, the Registrar or the Transfer Agent, as the case may
be, shall thereupon cancel the mutilated or defaced certificate and the Registrar shall, or the Transfer Agent shall procure that
the Registrar shall, adjust the Register to reflect the destruction, theft or loss of a certificate, as the case may be, and authenticate,
register (in the case of the Registrar only) and deliver such new certificate in exchange for the mutilated or defaced certificate
or in substitution for the destroyed, stolen or lost certificate. Such replacement certificate shall be so dated that neither gain
nor loss in interest will result from such exchange or substitution. All expenses associated with procuring any indemnity and with
the preparation, authentication and delivery of a replacement certificate will be borne by the registered holder of the mutilated,
defaced, destroyed, stolen or lost Registered Note certificate.

 

		9.2	Whenever any Registered Note certificate, alleged to have been lost, stolen or destroyed for which
a replacement Registered Note certificate has been issued, is presented to the Registrar, Transfer Agent or any Paying Agent for
payment at maturity or redemption or for registration of transfer or exchange, the Registrar, Transfer Agent or the Paying Agent,
as the case may be, shall immediately notify TMCC in respect thereof and shall deal with such Registered Note only in accordance
with TMCC’s instructions.

 

		10.	Maturity, Redemption and Purchases

 

		10.1	Unless previously redeemed as provided in the Conditions, or repurchased by TMCC as provided below,
the nominal amount of the Registered Notes is due and payable on the Maturity Date or such other date or dates as set out in the
applicable Final Terms.

 

		10.2	TMCC may, if not in default under the Conditions and the terms of the Registered Notes, at any
time, purchase Registered Notes in the open market, or by tender or by private contract at any price, in accordance with applicable
law and shall cause the Registrar or the Transfer Agent, as the case may be, to cancel any Registered Notes so purchased.

 

		10.3	If TMCC elects to purchase and have cancelled any Registered Notes of a Series when such Registered
Notes have been issued in the form of one or more Registered Global Notes, it shall require the Registrar to register such cancellation
in the Register and the Registrar or the Transfer Agent, as the case may be (and if the Registrar fails to do so, the Transfer
Agent), shall instruct the relevant Clearing System to reduce the outstanding aggregate nominal amount of the Registered Global
Note(s) of such Series in accordance with the regular procedures of such Clearing System in effect at such time.  Where
a Global Registered Note is held in the NSS, the Registrar or the Transfer Agent, as the case may be (and if the Registrar fails
to do so, the Transfer Agent), shall instruct the ICSDs to make entries in their records to reflect the cancellation and reduction
of the outstanding aggregate nominal amount of such Registered Global Note. In addition, upon TMCC’s cancellation of any
such Registered Notes,

 

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the Registrar
shall deem that the maximum amount of the Registered Notes of such Series to be issued and outstanding at any time shall be reduced
by the nominal amount of the Registered Notes so cancelled.

 

		11.	Cancellation and Destruction

 

All Registered Notes which are paid at
maturity or upon early redemption, or surrendered for registration of transfer or exchange for other certificates, shall be cancelled
by the Registrar or the Transfer Agent and the Registrar shall, and the Transfer Agent shall procure that the Registrar shall,
register such cancellation. The Registrar shall, as soon as practicable after the date of cancellation of Registered Notes under
this Section, Subsection 10.2 or Subsection 10.3 hereof or the date that the Register is adjusted to reflect the destruction, theft
or loss of a certificate pursuant to Subsection 9.1 hereof, furnish or procure that the Transfer Agent furnishes, TMCC, the Registrar
or the Transfer Agent (as applicable) and the Agent with a certificate or certificates stating the serial numbers and total number
of Registered Notes that have been cancelled. The Registrar or the Transfer Agent, as the case may be, shall destroy all cancelled
Registered Notes in accordance with the instructions of TMCC and shall furnish to TMCC, on a timely basis, certificates of destruction
stating the serial numbers, dollar value and total number of all Registered Notes destroyed hereunder, copied to the Registrar
or the Transfer Agent, as the case may be.

 

		12.	Publication of Notices

 

On behalf of and at the request and expense
of TMCC, the Transfer Agent shall cause to be published all notices required to be given by TMCC in relation to Registered Notes
in accordance with the Conditions.  Forthwith upon the receipt by the Registrar or the Transfer Agent, as the case may
be, of a demand or notice from any Noteholder in accordance with the Conditions, the Registrar or the Transfer Agent, as the case
may be, shall forward a copy thereof to TMCC.

 

		13.	Limit on Liability

 

In acting under this Agreement, the Registrar,
the Transfer Agent and any other Paying Agent are acting solely as agents of TMCC and do not assume any obligation or relationship
of agency or trust for or with any of the holders of the Registered Notes.

 

		14.	Rights and Liabilities of Registrar, Transfer Agent and Paying Agents

 

		14.1	The Registrar and the Transfer Agent may rely without further investigation or inquiry upon and
shall incur no liability for, or in respect of, any action taken, omitted to be taken or suffered by it in reliance upon any Registered
Note, certificate, affidavit, instruction, notice, request, direction, order, statement or other paper, document or communication
reasonably believed by it to be genuine. Any order, certificate, affidavit, instruction, notice, request, direction, statement
or other communication from TMCC made or given by it and sent, delivered or directed to the Registrar or the Transfer Agent under,
pursuant to, or as permitted by, any provision of this Agreement shall be sufficient for purposes of this Agreement if such communication
is in writing and signed by the duly authorised representatives of and certified as such by TMCC.  The Registrar and
the Transfer Agent shall retain the right not to act and shall not be held liable for refusing to act unless it has received clear
and reasonable documentation which complies with the terms of this Agreement.  The Registrar and the Transfer Agent shall
be entitled to rely on, and act upon, any direction, order, instruction, notice or other communication provided to it hereunder
which is sent to it by facsimile transmission.

 

    Page 15

     

    

		14.2	The Registrar, the Transfer Agent and each other Paying Agent, and their officers, directors and
employees, may become the holder of, or acquire any interest in, any Notes, with the same rights that it or they would have if
it were not the Registrar, Transfer Agent or a Paying Agent hereunder, or they were not such officers, directors or employees,
and may engage or be interested in any financial or other transaction with TMCC and may act on, or as depository, trustee or agent
for, any committee or body of holders of Notes or other obligations of TMCC as freely as if it were not the Registrar, Transfer
Agent or a Paying Agent hereunder or they were not such officers, directors or employees.

 

		14.3	The Registrar and the Transfer Agent may in connection with its services hereunder:

 

		(a)	consult with legal and other professional advisers and the opinion of such advisers shall be full
and complete protection in respect of any action taken, omitted or suffered hereunder in good faith and in accordance with the
opinion of such advisers;

 

		(b)	assume that the terms of the Registered Notes as issued are correct;

 

		(c)	refer any question relating to the ownership of any Registered Note, or the adequacy or sufficiency
of any evidence supplied in connection with the replacement, transfer or exchange of any Registered Note to TMCC for determination
by TMCC and in good faith conclusively rely upon any determination so made; and

 

		(d)	whenever in the administration of this Agreement it shall deem it desirable that a matter be proved
or established prior to taking, suffering or omitting any action hereunder, in the absence of bad faith or negligence or wilful
misconduct on its part, accept a certificate signed by any person duly authorised on behalf of TMCC as to any fact or matter prima
facie within the knowledge of TMCC as sufficient evidence thereof.

 

		14.4	No provisions of this Agreement shall require the Registrar or the Transfer Agent to expend its
own funds or assume a financial commitment to a person not party to this Agreement (other than in the ordinary course of its business)
in the performance of any of its duties hereunder, or in the exercise of any of its rights or powers hereunder.

 

		14.5	The Transfer Agent, the Registrar and any other Paying Agent shall be obliged to perform such duties
and only such duties as are set out in this Agreement (including Schedule 4), the Conditions, the Procedures Memorandum and the
Registered Notes or are otherwise agreed in writing by TMCC, the Registrar, the Transfer Agent and any Paying Agent, as applicable,
and no implied duties or obligations shall be read into this Agreement or the Registered Notes against the Transfer Agent, the
Registrar and Paying Agents other than the duty to act honestly and in good faith and to exercise the diligence of a reasonably
prudent registrar, transfer agent and paying agent, as applicable, in such circumstances.

 

		14.6	TMCC will supply the Registrar and the Transfer Agent with the names and specimen signatures of
its authorised signatories.

 

		14.7	The sending of a cheque by the Transfer Agent or the sending of moneys by credit or wire transfer
by the Transfer Agent will satisfy and discharge the liability for any amounts due to the extent of the sum or sums represented
thereby (plus the amount of any tax deducted or withheld as required by law) unless such cheque, credit or wire is not honoured
on presentation; provided that, in the event of the non-receipt of such cheque, credit or wire by the payee, or the loss or destruction
thereof, the Transfer Agent, upon being furnished with

 

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reasonable
evidence of such non-receipt, loss or destruction and indemnity reasonably satisfactory to it, will issue to such payee a replacement
cheque, credit or wire.

 

		14.8	The amount of the Programme may be increased by the Issuers in accordance with the procedure set
out in the Programme Agreement.  Upon any increase being effected, all references in this Agreement to the amount of
the Programme shall be deemed to be references to the increased amount.

 

		14.9	The Transfer Agent and each Paying Agent shall be a person payments to whom are free from FATCA
Withholding Tax at the time of such Transfer Agent’s or Paying Agent’s appointment.

 

		14.10	The Transfer Agent and any other Paying Agent that is for the purposes of receiving payments under
this Agreement not a “foreign person” within the meaning of U.S. Treasury Regulations Section 1.1441-1T(c)(2): (i)
represents that it is a financial institution within the meaning of U.S. Treasury Regulations Section 1.1441-1T(c)(5), (ii) confirms
that it will comply with all withholding requirements imposed on payments with respect to the Notes under Sections 1441, 1442,
and the Foreign Account Tax Compliance Act and (iii) agrees that upon its appointment it will provide TMCC with a properly
completed, signed and valid IRS Form

W-9.

 

		14.11	The Transfer Agent and any other Paying Agent that is for the purposes of receiving payments under
this Agreement a “foreign person” within the meaning of U.S. Treasury Regulations Section 1.1441-1T(c)(2): (i) represents
that it is a “qualified intermediary” within the meaning of U.S. Treasury Regulations Section 1.1441-1T(e)(5)(ii),
will remain so, and will assume primary chapter 3 and chapter 4 withholding and 1099 reporting and (ii) agrees that upon its appointment
it will provide TMCC with a properly, completed, signed and valid IRS Form W-8IMY, with its Global Intermediary Identification
Number included thereon and identifying itself as a qualified intermediary that has undertaken primary responsibility for chapter
3 and chapter 4 withholding and 1099 reporting.

 

		14.12	Payments made by TMCC are from U.S. source for U.S. federal tax purposes and are “withholdable
payments” within the meaning of Section 1473(1) of the Code.

 

		15.	Commissions, Expenses and Indemnities

 

		15.1	TMCC agrees to pay to the Registrar and Transfer Agent such fees and commissions as TMCC, the Registrar
and Transfer Agent may separately agree in respect of the services of the Registrar and the Transfer Agent hereunder, together
with any out-of-pocket expenses (including legal, printing, postage, tax, cable and advertising expenses required in connection
with the Registered Notes issued hereunder) properly incurred by the Registrar and the Transfer Agent in connection with their
said services.

 

		15.2	TMCC will indemnify the Registrar, the Transfer Agent and each other Paying Agent against any direct
losses, liabilities, costs, claims, actions, demands or expenses (including, but not limited to, all reasonable costs, charges
and expenses paid or incurred in disputing or defending any of the foregoing but excluding loss of profits) which it may incur
or which may be made against the Registrar, the Transfer Agent and each other Paying Agent as a result of, or in connection with
its appointment by TMCC or the exercise of its powers and duties under this Agreement except such as may result from the Registrar’s,
the Transfer Agent’s or any other Paying Agent’s own wilful default, negligence or bad faith or that of its officers,
directors or employees or the breach by it of the terms of this Agreement.  Such indemnity shall survive the termination
or expiry of this Agreement.

 

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		15.3	The Registrar, the Transfer Agent and each other Paying Agent shall not be liable for any action
taken or omitted hereunder except for their own wilful default, negligence or bad faith or that of their respective officers, directors
or employees or the breach by any of them of the terms of this Agreement.  The Agent, the Transfer Agent and each other
Paying Agent shall not be liable for any consequential loss (being loss of business, goodwill, opportunity or profit) suffered
by TMCC.

 

		15.4	The Registrar, the Transfer Agent and each other Paying Agent shall not be responsible for the
acts or failure to act of any other of them and each of the Registrar, the Transfer Agent and each other Paying Agent shall severally
indemnify TMCC against any loss, liability, cost, claim, action, demand or expense (including, but not limited to, all reasonable
costs, legal fees, charges and expenses paid or incurred in disputing or defending any of the foregoing) which TMCC may incur or
which may be made against it as a result of the breach by the Registrar, the Transfer Agent or such other Paying Agent of the terms
of this Agreement or its wilful default, negligence or bad faith or that of its officers, directors or employees.  Such
indemnity shall survive the termination or expiry of this Agreement.

 

		15.5	If, under any applicable law and whether pursuant to a judgment being made or registered against
TMCC or in the liquidation, insolvency or analogous process of TMCC or for any other reason, any payment under or in connection
with this Agreement is made or is to be satisfied in a currency (the “other currency”) other than that in which
the relevant payment is expressed to be due (the “required currency”) under this Agreement, then, to the extent
that the payment (when converted into the required currency at the rate of exchange on the date of payment or, if it is not practicable
for the Transfer Agent or the relevant Paying Agent to purchase the required currency with the other currency on the date of payment,
at the rate of exchange as soon thereafter as it is practicable for it to do so or, in the case of a liquidation, insolvency or
analogous process at the rate of exchange on the latest date permitted by applicable law for the determination of liabilities in
such liquidation, insolvency or analogous process) actually received by the Transfer Agent or the relevant Paying Agent falls short
of the amount due under the terms of this Agreement, TMCC undertakes that it shall, as a separate and independent obligation, indemnify
and hold harmless the Transfer Agent and the relevant Paying Agent against the amount of such shortfall.  For the purpose
of this Subsection 15.5, “rate of exchange” means the rate at which the Transfer Agent or the relevant Paying
Agent is able on the London foreign exchange market on the relevant date to purchase the required currency with the other currency
and shall take into account any premium and other costs of exchange.

 

		16.	Changes in Registrar, Transfer Agent and Paying Agents

 

		16.1	TMCC agrees that until no Registered Note is outstanding or until moneys for the payment of all
amounts in respect of all outstanding Registered Notes have been made available to the Transfer Agent and have been returned to
TMCC as provided herein (whichever is the later):

 

		(a)	there shall at all times be a Registrar and a Transfer Agent hereunder;

 

		(b)	so long as any Notes are admitted to trading or listed on any Stock Exchange or other relevant
authority, there will at all times be a Paying Agent with a specified office in such place as may be required by the rules and
regulations of the relevant Stock Exchange or other relevant authority; and

 

		(c)	there will at all times be a Paying Agent in a Member State of the European Union that will not
be obliged to withhold or deduct tax pursuant to the European Council

 

    Page 18

     

    

Directive 2003/48/EC
or any law implementing or complying with or introduced to conform to, such Directive;

 

provided
that TMCC, whenever possible, may choose to act at any time as its own registrar, transfer agent and paying agent.

 

		16.2	Neither the Registrar nor the Transfer Agent shall transfer or assign this Agreement or any interest
or obligation herein without TMCC's prior written consent. Any corporation into which the Registrar or the Transfer Agent may be
amalgamated, merged or converted, or any corporation with which the Registrar or the Transfer Agent may be consolidated, or any
corporation resulting from any amalgamation, merger, conversion or consolidation to which the Registrar or the Transfer Agent shall
sell or otherwise transfer all or substantially all of its corporate trust or bond agency business shall be the successor Registrar
or the Transfer Agent, as the case may be, under this Agreement without the execution or filing of any paper or any further act
on the part of any of the parties hereto, but subject to prior notice to and the prior approval of TMCC.

 

		16.3	The Registrar may at any time resign by giving written notice to TMCC of its resignation, specifying
the date on which its resignation shall become effective (which shall not be less than 60 days after the date on which such notice
is given unless TMCC shall agree to a shorter period); provided that no such notice shall expire less than 30 days before or less
than 30 days after the due date for any payment of principal or interest in respect of the Notes.  TMCC may remove the
Registrar at any time by giving written notice to the Registrar specifying the date on which such removal shall become effective.  Such
resignation or removal shall only take effect upon the appointment by TMCC of a successor Registrar and upon the acceptance of
such appointment by such successor Registrar. The Transfer Agent and any other Paying Agent may resign or may be removed at any
time upon like notice, and TMCC in any such case may appoint in substitution therefor a new Transfer Agent or Paying Agent.

 

		16.4	TMCC may from time to time appoint one or more additional agents in relation to the Registered
Notes (which may include the agents appointed under the Programme Agency Agreement) for the processing of applications for registration
of transfer and exchange of Registered Notes and/or for the payment (subject to the applicable laws and regulations) of the principal
of and interest on the Registered Notes and shall provide notice of such appointment to the Registrar, the Transfer Agent and the
Agent; provided, however, that the Register shall at all times be maintained by the Registrar.  The obligations of the
Transfer Agent, Registrar, other Paying Agent or additional agent appointed in relation to the Registered Notes are several and
not joint.

 

		16.5	TMCC may at any time terminate the appointment of the Registrar, the Transfer Agent or any Paying
Agent appointed in relation to Registered Notes.  TMCC will keep the Registrar, the Transfer Agent and the Agent informed
as to the name, address and telephone and facsimile numbers of each Paying Agent appointed by it in relation to Registered Notes
and will notify the Registrar, the Transfer Agent and the Agent of the resignation or removal of the Registrar, the Transfer Agent
or any Paying Agent in relation to Registered Notes.

 

		16.6	The appointment of the Registrar, the Transfer Agent or any Paying Agent hereunder shall forthwith
terminate, whether or not notice of such termination shall have been given, if at any time the Registrar, the Transfer Agent or
such Paying Agent becomes incapable of performing its duties hereunder, or is adjudged bankrupt or insolvent, or files a voluntary
petition in bankruptcy or makes an assignment for the benefit of its creditors or consents to the appointment of a liquidator or
receiver of all or any substantial part of its property or admits in writing its inability to pay or meet its debts as they mature
or suspends payment thereof, or if a

 

    Page 19

     

    

resolution
is passed or an order made for the winding up or dissolution of the Registrar, the Transfer Agent or such Paying Agent, or if a
liquidator or receiver of the Registrar, the Transfer Agent or such Paying Agent of all or any substantial part of its property
is appointed, or if any order of any court is entered approving any petition filed by or against it under the provisions of any
applicable bankruptcy or insolvency law, or if any public officer takes charge or control of the Registrar, the Transfer Agent
or such Paying Agent or its property or affairs for the purposes of rehabilitation, conservation or liquidation.

 

		16.7	Prior to the effective date of any such resignation or removal of the Registrar, the Transfer Agent
or Paying Agent, or if the Registrar, the Transfer Agent or Paying Agent shall become unable to act as such, TMCC shall appoint
a successor Registrar, Transfer Agent or Paying Agent. Upon the appointment of a successor Registrar, Transfer Agent or Paying
Agent and its acceptance of such appointment, the retiring Registrar, Transfer Agent or Paying Agent shall, at the direction of
TMCC, deliver and pay over to its successor any and all securities, money and any other properties then in its possession as Registrar,
Transfer Agent or Paying Agent and shall thereupon cease to act hereunder.

 

		16.8	Any variation, termination, appointment or change shall only take effect (other than termination
under Subsection 16.6 hereof above, when it shall be of immediate effect) after not less than 30 or more than 45 days’ prior
notice thereof shall have been given to the Noteholders in accordance with Condition 16.

 

		16.9	Not less than 60 days prior to the date of any affected payment, the Transfer Agent and each Paying
Agent agrees that it shall notify TMCC in writing if any of Subsection 14.9 and Subsection 14.10 or 14.11, as applicable to such
Transfer Agent or Paying Agent, cease to be true, or if the Transfer Agent or any other Paying Agent believes that it will no longer
be able to comply with such Subsections.  Any such notice shall constitute notice of resignation by such Paying Agent
under Subsection 16.3.

 

		17.	Meetings of Noteholders

 

		17.1	Each of the Registrar, the Transfer Agent and the Paying Agents, on the request of any holder of
Registered Notes, shall issue voting certificates and block voting instructions and shall forthwith give notice to TMCC and the
Registrar by fax, with the original notice to follow by first class prepaid post, of any revocation or amendment of a block voting
instruction.  Each of the Registrar, the Transfer Agent and the Paying Agents will keep a full and complete record of
all voting certificates and block voting instructions issued by it and will, not less than 24 hours before the time appointed for
holding a meeting or adjourned meeting, deposit at such place as may be notified to the Transfer Agent and the Paying Agents by
the Registrar, for the purpose full particulars, all voting certificates and block voting instructions issued by it in respect
of such meeting or adjourned meeting.

 

		17.2	A meeting of holders of Registered Notes may be called by the holders of at least 10 per cent.
in nominal amount of the outstanding Registered Notes affected thereby at any time and from time to time to make, give or take
any request, demand, authorisation, direction, notice, consent, waiver or other action provided by this Agreement or the Registered
Notes to be made, given or taken by holders of Registered Notes.

 

		17.3	The Registrar may at any time call a meeting of holders of Registered Notes of any Series for any
purpose specified in Section 21 to be held at such time and at such place in Luxembourg or in London, England as the Registrar
and TMCC shall determine.  Notice of every meeting of holders of Registered Notes, setting forth the time and the place
of such meeting and in general terms the action proposed to be taken at such meeting, shall be given by the Registrar

 

    Page 20

     

    

to TMCC and
to the holders of the Registered Notes, in the same manner as provided in Condition 16, not less than 21 nor more than 180 days
prior to the date fixed for the meeting.  If at any time TMCC or the holders of at least 10 per cent. in nominal amount
of the outstanding Registered Notes shall have requested the Registrar to call a meeting of the holders to take any action authorised
in Section 21, by written request setting forth in reasonable detail the action proposed to be taken at the meeting, and the Registrar
shall not have given notice of such meeting within 21 days after receipt of such request or shall not thereafter proceed to cause
the meeting to be held as provided herein, then TMCC, or the holders of Registered Notes in the amount above-specified, as the
case may be, may determine the time and the place in Luxembourg or London for such meeting and may call such meeting by giving
notice thereof as provided in this Subsection 17.3.

 

		17.4	To be entitled to vote at any meeting of holders of Registered Notes, a person shall be a registered
holder of outstanding Registered Notes at the time of such meeting, or a person appointed by an instrument in writing as proxy
for such holder.

 

		17.5	The quorum at any meeting called to adopt a resolution will be persons holding or representing
a majority in aggregate nominal amount of the Registered Notes then outstanding affected thereby. In the absence of a quorum, within
30 minutes of the time appointed for any such meeting, the meeting may be adjourned for a period of not less than 10 days as determined
by the chairman of the meeting prior to the adjournment of such meeting.  In the absence of a quorum at any such adjourned
meeting, such adjourned meeting may be further adjourned for a period of not less than 10 days as determined by the chairman of
the meeting prior to the adjournment of such adjourned meeting.  Notice of the reconvening of any adjourned meeting shall
be given as provided in Subsection 17.3 except that such notice need be given not less than five days prior to the date on which
the meeting is scheduled to be reconvened.  Notice of the reconvening of an adjourned meeting shall state expressly the
percentage of the nominal amount of the outstanding Registered Notes which shall constitute a quorum.

 

The quorum
at any adjourned meeting will be one or more persons holding or representing 25 per cent. in aggregate nominal amount of such
Registered Notes then outstanding affected thereby. Any meeting of holders of Registered Notes at which a quorum is present may
be adjourned from time to time by vote of a majority in nominal amount of the outstanding Registered Notes represented at the meeting,
and the meeting may be held as so adjourned without further notice.  At a meeting or an adjourned meeting duly reconvened
and at which a quorum is present as aforesaid, any resolution and all matters shall be effectively passed and decided if passed
or decided by the persons entitled to vote a majority in nominal amount of the outstanding Registered Notes represented and voting
at such meeting, provided that such amount approving such resolution shall be not less than 25 per cent. in nominal amount of the
outstanding Registered Notes.

 

		17.6	Any modifications, amendments or waivers under this Section 17 or Section 21 to this Agreement
or to the terms and conditions of the Registered Notes will be conclusive and binding on all holders of Registered Notes whether
or not they have given such consent or were present at any meeting, and whether or not notation of such modifications, amendments
or waivers is made upon the Registered Notes.  It shall not be necessary for the consent of the holders of Registered
Notes under Condition 15 to approve the particular form of any proposed amendment, but it shall be sufficient if such consent shall
approve the substance thereof.

 

		17.7	Registered Notes authenticated and delivered after the execution of any amendment under this Section
17 or Section 21 to this Agreement may bear a notation in form approved by the

 

    Page 21

     

    

Registrar and
the Transfer Agent as to any matter provided for in such amendment to this Agreement. New Registered Notes so modified as to conform,
in the opinion of the Registrar, the Transfer Agent and TMCC, to any modification contained in any such amendment may be prepared
by TMCC, authenticated by the Registrar or the Transfer Agent and delivered in exchange for or on transfer or the Registered Notes
then outstanding affected thereby.

 

		17.8	The Registrar may make such reasonable regulations as it may deem advisable for any meeting of
holders of Registered Notes in regard to proof of the holding of Registered Notes and of the appointment of proxies and in regard
to the appointment and duties of inspectors of votes, the submission and examination of proxies, certificates and other evidence
of the right to vote, and such other matters concerning the conduct of the meeting as it shall deem appropriate.  The
Registrar shall, by an instrument in writing, appoint a temporary chairman of the meeting, unless the meeting shall have been called
by TMCC or holders of Registered Notes as provided above, in which case TMCC or the holders of Registered Notes calling the meeting,
as the case may be, shall in like manner appoint a temporary chairman.  A permanent chairman and a permanent secretary
of the meeting shall be elected by vote of the persons entitled to vote a majority in nominal amount of the outstanding Registered
Notes represented at the meeting.  The chairman of the meeting shall have no right to vote, except as a holder of Registered
Notes or proxy.  A record, at least in triplicate, of the proceedings of each meeting of holders of Registered Notes
shall be prepared, and one such copy shall be delivered to TMCC and another to the Registrar to be preserved by the Registrar.

 

		18.	Further Issues

 

TMCC shall be at liberty from time to time
without the consent of the holders of the Registered Notes to create and issue further Registered Notes ranking pari passu
in all respects (or in all respects save for the Issue Date, the amount and the date of the first payment of interest thereon and/or
the purchase price) and so that the same shall be consolidated and form a single series with the outstanding Registered Notes and
references in this Agreement to “Registered Notes” shall be construed accordingly.

 

		19.	Reports

 

The Registrar and the Transfer Agent shall
furnish to TMCC such reports as may be required by TMCC relative to the Registrar's and the Transfer Agent’s performance
under this Agreement.  TMCC may, whenever it deems it necessary, inspect books and records maintained by the Registrar
and the Transfer Agent pursuant to this Agreement, if any.

 

		20.	Forwarding of Notice

 

If the Registrar shall receive any notice
or demand addressed to TMCC pursuant to the provisions of the Registered Notes, the Registrar shall promptly forward such notice
or demand to TMCC.

 

		21.	Amendments

 

This Agreement and the Registered Notes
may be amended by TMCC and the Registrar and the Transfer Agent, without the consent of the holder of any Registered Note (a) for
the purpose of curing any ambiguity, or of curing, correcting or supplementing any defective provision contained herein or therein,
or to evidence the succession of another corporation to TMCC as provided in Condition 13 or provide for substitution of TMCC as
provided in Condition 14, (b) to make any further modifications of the terms of this Agreement necessary or desirable to allow
for the issuance of any additional Registered Notes (which modifications shall not be materially adverse to holders of outstanding
Registered Notes), or (c) in any manner which TMCC and the Registrar and the Transfer Agent may

 

    Page 22

     

    

deem necessary or desirable and which shall
not materially adversely affect the interests of the holders of the Registered Notes.  In addition, with the written
consent of the holders of a majority in aggregate nominal amount of the Registered Notes then outstanding affected thereby, or
by resolution adopted by the holders of a majority in aggregate nominal amount of Registered Notes then outstanding present or
represented at a meeting of the holders of the Registered Notes affected thereby at which a quorum is present (provided that such
resolution shall be approved by the holders of not less than 25 per cent. of the aggregate nominal amount of Registered Notes then
outstanding affected thereby), this Agreement or the terms and conditions of the Registered Notes may be modified or amended by
the parties hereto or thereto, and future compliance and past defaults waived, in each case as provided in Conditions 9 and 15
and subject to the limitations therein provided (including that no such agreement shall, without the consent or the affirmative
vote of the holder of each Registered Note affected thereby, (i) change the stated maturity of the principal of or any instalment
of interest on any Registered Note, (ii) reduce the nominal amount of or interest on any Registered Note, (iii) change
the obligation of TMCC to pay Additional Amounts as provided in Condition 7, (iv) reduce the percentage in nominal amount
of outstanding Registered Notes the consent of the holders of which is necessary to modify or amend this Agreement or the terms
and conditions of the Registered Notes or to waive any future compliance or past default, or (v) reduce the percentage in
nominal amount of outstanding Registered Notes the consent of the holders of which is required at any meeting of holders of Registered
Notes at which a resolution is adopted).

 

		22.	Redenomination and Exchange

 

Clause 30 of the Programme Agency Agreement
is incorporated in this agreement mutatis mutandis.

 

		23.	Notices

 

		23.1	Any communications to the Registrar with respect to this Agreement shall be addressed to The Bank
of New York Mellon SA/NV, Luxembourg Branch, Vertigo Building – Polaris, 2-4 rue Eugène Ruppert, L-2453 Luxembourg,
Attention: Corporate Trust Admin., Fax No.: +352 24 525 329;

 

		23.2	Any communications to the Transfer Agent with respect to this Agreement shall be addressed to The
Bank of New York Mellon, One Canada Square, Canary Wharf, London E14 5AL, United Kingdom, Attention: Mark Elsom, Corporate Trust,
Fax No.: +44 (0)20 7964 2536; and

 

		23.3	Any communications to TMCC with respect to this Agreement shall be addressed to 6565 Headquarters
Drive, Mailstop W2–3D, Plano, Texas 75024–5965, United States, Attention: TFS Treasury Operations, Email: TFS_Treasury_Operations@toyota.com,
Fax No. +1 310 381 7739;

 

(or such other address as shall
be specified in writing by the Registrar, the Transfer Agent or TMCC, as the case may be) and shall be delivered in person or sent
by first class prepaid post, email or by facsimile transmission subject, in the case of email or facsimile transmission, to confirmation
of receipt by telephone. Such notice shall take effect in the case of delivery in person, at the time of delivery, in the case
of delivery by first class prepaid post seven (7) Business Days after dispatch and in the case of delivery by email or facsimile
transmission, at the time of confirmation by telephone.

 

All notices to the holders of Registered
Notes will be mailed or delivered to such holders at their addresses indicated in records maintained by the Registrar.  Any
such notice shall be deemed to have been given on the date of such delivery or publication, as the case may be, or in the case
of mailing, on the second Business Day after such mailing.  For as long as the Registered Notes are represented by

 

    Page 23

     

    

one or more Registered Global Notes, the
Registrar or the Transfer Agent may provide such notices to the applicable Clearing System to be provided by the applicable Clearing
System to its direct and indirect participants holding an interest in the Registered Notes in accordance with the rules and procedures
of the applicable Clearing System.

 

		24.	Deed Poll

 

		24.1	If any Registered Global Note becomes void in accordance with its terms, TMCC covenants with each
Relevant Account Holder (other than any Relevant Account Holder which is an account holder of any other Relevant Clearing System)
that each Relevant Account Holder shall automatically acquire at the Relevant Time, without the need for any further action on
behalf of any person, against TMCC all those rights which the Relevant Account Holder would have had if at the Relevant Time it
held and beneficially owned executed and authenticated Definitive Registered Notes in respect of each Underlying Note (as defined
in the definition of Registered Global Note) represented by the Registered Global Note which the Relevant Account Holder has credited
to its securities account with the Relevant Clearing System at the Relevant Time.  TMCC’s obligation under this
Section 24 shall be a separate and independent obligation by reference to each Underlying Note which a Relevant Account Holder
has credited to its securities account with the Relevant Clearing System and TMCC agrees that a Relevant Account Holder may assign
its rights under this Section 24 in whole or in part.

 

		24.2	The records of the relevant Clearing System shall be conclusive evidence of the identity of the
Relevant Account Holders and the number of Underlying Notes credited to the securities account of each Relevant Account Holder.
For these purposes a statement issued by the relevant Clearing System stating:

 

		(a)	the name of the Relevant Account Holder to which the statement is issued; and

 

		(b)	the aggregate nominal amount of Underlying Notes credited to the securities account of the Relevant
Account Holder as at the opening of business on the first day following the Relevant Time on which the Relevant Clearing System
is open for business,

 

shall be conclusive evidence
of the records of the Relevant Clearing System at the Relevant Time.

 

		24.3	In the event of a dispute, the determination of the Relevant Time by the Relevant Clearing System
shall (in the absence of manifest error) be final and conclusive for all purposes in connection with the Relevant Account Holders
with securities accounts with the relevant Clearing System.

 

		24.4	TMCC undertakes in favour of each Relevant Account Holder that, in relation to any payment to be
made by it under this Section 24, it will comply with the provisions of Condition 7 to the extent that they apply to any payments
in respect of Underlying Notes as if those provisions had been set out in full in this Section 24.

 

		24.5	TMCC will pay any stamp and other duties and taxes, including interest and penalties, payable on
or in connection with the execution of this Agreement and any action taken by any Relevant Account Holder to enforce the provisions
of this Section 24.

 

		24.6	This Section 24 and Section 26 shall take effect as a Deed Poll for the benefit of the Relevant
Account Holders from time to time.  This Agreement shall be deposited with and held by the common depositary or common
safekeeper, as the case may be, for Euroclear and

 

    Page 24

     

    

Clearstream,
Luxembourg until all the obligations of TMCC under this Section 24  have been discharged in full.

 

		24.7	TMCC acknowledges the right of every Relevant Account Holder to the production of, and the right
of every Relevant Account Holder to obtain (upon payment of a reasonable charge) a copy of, this Agreement, and further acknowledges
and covenants that the obligations binding upon it contained in this Section 24 are owed to, and shall be for the account of, each
and every Relevant Account Holder, and that each Relevant Account Holder shall be entitled severally to enforce those obligations
against TMCC.

 

		25.	Contracts (Rights of Third Parties) Act 1999

 

Save for Section 24,
a person who is not a party to this Agreement has no right by virtue of the Contracts (Rights of Third Parties) Act 1999 to enforce
any term of this Agreement, but this does not affect any right or remedy of a third party which exists or is available apart from
that Act.

 

		26.	Governing Law and Submission to Jurisdiction

 

		26.1	This Agreement and any non-contractual obligations arising out of or in connection with this Agreement
shall be governed by, and construed in accordance with, the laws of England.

 

		26.2	TMCC hereby irrevocably agrees, for the exclusive benefit of the Registrar, the Transfer Agent,
the Paying Agents and the Relevant Account Holders, that the courts of England are to have jurisdiction to settle any disputes
which may arise out of or in connection with this Agreement (including a dispute relating to any non-contractual obligations arising
out of or in connection with this Agreement), and that accordingly any suit, action or proceedings (together referred to as “Proceedings”)
arising out of or in connection with this Agreement (including any Proceedings relating to any non-contractual obligations arising
out of or in connection with this Agreement) may be brought in such courts.  TMCC hereby irrevocably waives any objection
which it may have to the laying of the venue of any such Proceedings in any such court and any claim that any such Proceedings
have been brought in an inconvenient forum and hereby further irrevocably agrees that a judgment in any such Proceedings brought
in the English courts shall be conclusive and binding upon TMCC and may be enforced in the courts of any other jurisdiction.  Nothing
contained in this Section 26 shall limit any right to take Proceedings against TMCC in any other court of competent jurisdiction,
nor shall the taking of Proceedings in one or more jurisdictions preclude the taking of Proceedings in any other jurisdiction,
whether concurrently or not.  TMCC hereby appoints Toyota Financial Services (UK) PLC of Great Burgh, Burgh Heath, Epsom,
Surrey KT18 5UZ, England as its agent for service of process, and agrees that, in the event of Toyota Financial Services (UK) PLC
ceasing so to act or ceasing to be registered in England, it will appoint another person as its agent for service of process in
England in respect of any Proceedings.

 

		27.	Counterparts

 

This Agreement may be
signed in any number of counterparts, and by each party on separate counterparts.  Each counterpart is an original, but
all counterparts shall together constitute one and the same instrument.  Delivery of a counterpart of this Agreement
by e-mail attachment or telecopy shall be an effective mode of delivery.

 

		28.	Headings

 

The headings for the sections of this Agreement
are for convenience only and are not part of this Agreement.

 

    Page 25

     

    

		29.	Stamp and Other Taxes

 

TMCC agrees to pay any and all taxes, stamp
and other documentary taxes or duties which may be payable in connection with the execution, delivery, performance and enforcement
of this Agreement by the Registrar, the Transfer Agent and the Paying Agents.

 

    Page 26

     

    

IN WITNESS WHEREOF, TMCC has executed
this Agreement as a deed and the Registrar and Transfer Agent have executed this Agreement, as of the date first above written.

 

	 	TOYOTA MOTOR CREDIT CORPORATION
	 	 
	 	  	/s/ CINDY WANG	 
	 	  	 	 
	 	By:	Name:	Cindy Wang	 
	 	 	Title: 	Vice President - Treasury	 
	 	 	 	 	 
	 	 	6565 Headquarters Drive, Mailstop W2–3D	 
	 	 	Plano	 
	 	 	Texas 75024–5965	 
	 	 	United States	 
	 	 	 	 

	 	Telephone:	+1 469 486 9013
	 	Telefax:	+1 310 381 7739
	 	Email:	TFS_Treasury_Operations@toyota.com
	 	Attention:	TFS Treasury Operations
	 	 	 
	 	 	 

	 	THE BANK OF NEW YORK MELLON SA/NV, LUXEMBOURG BRANCH
	 	 	 	 	 
	 	 	 	 	 
	 	 	/s/ PAUL CATTERMOLE	 
	 	  	   	 
	 	By:	Name:	Paul Cattermole	 
	 	 	Title:	Vice President	 
	 	 	 	 	 
	 	 	Vertigo Building – Polaris 	 
	 	 	2-4 rue Eugène Ruppert 	 
	 	 	L-2453 Luxembourg 	 
	 	 	 	 	 
	 	 	Telephone: +352 24 52 5329	 
	 	 	Telefax:  +352 24 52 4204	 

 

    Page 27

     

    

 

	 	THE BANK OF NEW YORK MELLON
	 	acting through its London branch
	 	 	 	 	 
	 	 	 	 	 
	 	 	/s/ PAUL CATTERMOLE	 
	 	  	   	 
	 	By:	Name:	Paul Cattermole	 
	 	 	Title:	Vice President	 
	 	 	 	 	 
	 	 	One Canada Square	 
	 	 	Canary Wharf	 
	 	 	London E14 5AL	 
	 	 	United Kingdom	 
	 	 	 	 	 
	 	 	Telephone:  +44 (0) 1202 689511	 
	 	 	Telefax:  +44 (0)20 7964 2536	 

    Page 28

     

    

SCHEDULE 1

FORM OF REGISTERED GLOBAL NOTE

 

THE NOTES REPRESENTED BY THIS REGISTERED
GLOBAL NOTE HAVE NOT BEEN REGISTERED UNDER THE US SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) OR WITH
ANY SECURITIES REGULATORY AUTHORITY OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES AND MAY NOT BE OFFERED, SOLD, PLEDGED
OR OTHERWISE TRANSFERRED UNDER THE SECURITIES ACT EXCEPT IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE 903 OR RULE 904 OF
REGULATION S UNDER THE SECURITIES ACT.

 

	ISIN:  [                              ]	Certif. No.:  [                             ]
	Common Code:  [                              ]	Serial Number:  [                       ]
	Series Number:  [                          ]	 

 

TOYOTA MOTOR CREDIT CORPORATION

(a company incorporated with limited liability in California, United States)

 

REGISTERED GLOBAL NOTE

 

representing

 

[Specified Currency and Nominal Amount
of Series]

NOTES DUE [Year of Maturity]

 

The Issuer hereby certifies that [Name
of registered holder] is, at the date hereof, entered in the Register (defined below) as the holder of the aggregate Nominal Amount
of                                            
of a duly authorised issue of Notes of [Specified Currency and Denomination] (the “Notes”) of Toyota Motor Credit
Corporation (the “Issuer”). References herein to the Conditions shall be to the Terms and Conditions of the
Notes as set out in [Appendix A to the Programme Agency Agreement (as defined below)] [specify other document in which Conditions
set out if in a different form] as supplemented and replaced or modified (as referred to in the said Terms and Conditions) by the
Final Terms relating to the Notes, a copy of which is annexed hereto (the “Conditions”).  Words and
expressions defined in the Conditions shall bear the same meanings when used in this Registered Global Note.  This Registered
Global Note is issued subject to, and with the benefit of, the Conditions and an amended and restated agency agreement dated 8
September 2017 (the “Programme Agency Agreement” which expression shall be construed as a reference to that
agreement as the same may be amended, supplemented and/or restated from time to time) and made between Toyota Motor Finance (Netherlands)
B.V., Toyota Credit Canada Inc., Toyota Finance Australia Limited, Toyota Motor Credit Corporation and The Bank of New York Mellon,
acting through its London branch, as agent for the holders of the Notes.

 

In addition, this Registered Global Note
and all the rights of the registered holder hereof are expressly subject to an amended and restated note agency agreement dated
8 September 2017 (the “Note Agency Agreement” which expression shall be construed as a reference to that agreement
as the same may be amended, supplemented and/or restated from time to time), between the Issuer and The Bank of New York Mellon
SA/NV, Luxembourg Branch, as registrar and transfer agent (the “Registrar”, which term includes any successor
as registrar and transfer agent) and The Bank of New York Mellon, acting through its London branch, as transfer agent and paying
agent (the “Transfer Agent” which

 

    Page 29

     

    

term includes any successor as transfer
agent and paying agent).  This Registered Global Note, the Programme Agency Agreement and the Note Agency Agreement together
constitute a contract. The registered holder by acceptance of this Registered Global Note assents to and is deemed to have notice
of the Programme Agency Agreement and the Note Agency Agreement.  Further references herein to principal or interest
shall be deemed to also refer to any additional amounts which may be payable hereunder.

 

The Issuer, the Agent, the Registrar and
the Transfer Agent may treat the holder in whose name this Registered Global Note is registered as the absolute owner hereof for
all purposes, whether or not this Registered Global Note is overdue, and none of the Issuer, the Registrar or the Transfer Agent
shall be affected by notice to the contrary. All payments to or on the order of the registered holder of this Registered Global
Note are valid and effectual to discharge the liability of the Issuer and the Registrar and the Transfer Agent hereon to the extent
of the sum or sums paid.

 

The Issuer, subject to and in accordance
with the Conditions, the Programme Agency Agreement and the Note Agency Agreement, agrees to pay to such registered holder on the
Maturity Date and/or on such earlier date(s) as the Notes or any of them may become due and repayable in accordance with the Conditions,
the Programme Agency Agreement and the Note Agency Agreement, the amount payable in respect of the Notes represented by this Registered
Global Note (as specified above) or such lesser amount as is payable following any such redemption or purchase and cancellation
as is referred to below and to pay interest (if any) on the nominal amount of the Notes from time to time represented by this Registered
Global Note calculated and payable as provided in the Conditions, the Programme Agency Agreement and the Note Agency Agreement
together with any other sums payable under the Conditions, the Programme Agency Agreement and the Note Agency Agreement, upon presentation
and, at maturity, surrender of this Registered Global Note at the specified office of the Registrar at Luxembourg or at the specified
office of the Transfer Agent at London, England [insert  in the case of Notes clearing in a Clearing System] or
such other specified office as may be specified for this purpose in accordance with the Conditions.  

 

On any redemption or payment of interest
being made in respect of, or purchase and cancellation of, any of the Notes represented by this Registered Global Note details
of such redemption, payment or purchase and cancellation (as the case may be) shall be entered by or on behalf of the Issuer in
Schedule One hereto and the relevant space in Schedule One hereto recording any such redemption, payment or purchase and cancellation
(as the case may be) shall be signed by or on behalf of the Issuer.  Upon any such redemption, payment or purchase and
cancellation the nominal amount of this Registered Global Note and the Notes held by the registered holder hereof shall be reduced
by the nominal amount of such Notes so redeemed or purchased and cancelled.  On any redemption or purchase and cancellation
of any of the Notes represented by this Registered Global Note, details of such redemption or purchase and cancellation shall be
entered by or on behalf of the Issuer in the Register (as defined below) recording any such redemption, payment or purchase and
cancellation and shall be signed by or on behalf of the Issuer and, where the applicable Final Terms indicates this Registered
Global Note is intended to be held in a manner that would allow Eurosystem eligibility, the Transfer Agent shall instruct Euroclear
and Clearstream, Luxembourg to make the appropriate entries in their records to reflect such redemption, payment or purchase and
cancellation and the remaining outstanding aggregate nominal amount of the Notes.  The nominal amount of this Registered
Global Note and of the Notes held by the registered holder hereof following any such redemption, payment or purchase and cancellation
as aforesaid or any transfer or exchange as referred to below shall be the nominal amount most recently entered in the Register
and reflected in the relevant column in Part II or III of Schedule One hereto or in Schedule Two hereto.

 

Interest payable, and punctually paid or
duly provided for, on any Interest Payment Date and the principal payable on the Maturity Date will be paid to the person in whose
name this Registered Global Note (or one or more predecessor Registered Global Notes) is registered at close of the business day
of Euroclear and Clearstream, Luxembourg (or any other agreed clearing system in

 

    Page 30

     

    

which this Registered Global Note is being
held) prior to such Interest Payment Date or the Maturity Date, as the case may be (each such day a “Regular Record Date”).
Any such interest or principal, as the case may be, not so punctually paid or duly provided for will be paid to the person in whose
name this Registered Global Note (or one or more predecessor Registered Global Note) is registered at the close of business on
a special record date for the payment of such defaulted interest or principal to be fixed by the Registrar, notice whereof shall
be given to the registered holder hereof not less than 10 days prior to such special record date, or be paid at any time in any
other lawful manner.

 

In the event that this Registered Global
Note (or any part of it) has become due and repayable in accordance with Condition 9 and payment in full of the amount due has
not been made to the registered holder in accordance with the provisions set out above then this Registered Global Note will become
void at 8.00 p.m. (London time) on such day and the registered holder will have no further rights under this Registered Global
Note (but without prejudice to the rights which the registered holder or any other person may have under Section 24 of the Note
Agency Agreement in respect of the Notes issued under the Programme Agreement pursuant to which this Registered Global Note is
issued).

 

This Registered Global Note may be exchanged
in whole but not in part (free of charge) for Notes in definitive registered form (each a “Definitive Registered Note”)
without coupons attached only upon the occurrence of an Exchange Event.

 

An “Exchange Event”
means:

 

		(1)	an Event of Default (as defined in Condition 9) has occurred and is continuing; or

 

		(2)	the Issuer has been notified that both Euroclear and Clearstream, Luxembourg (or any other agreed
clearing system in which this Registered Global Note is being held) have been closed for business for a continuous period of 14
days (other than by reason of holiday, statutory or otherwise) or have announced an intention permanently to cease business or
have in fact done so and, as a result, Euroclear and Clearstream, Luxembourg or such other agreed clearing system in which this
Registered Global Note is being held are no longer willing or able to discharge properly their responsibilities with respect to
this Registered Global Note and the Transfer Agent and the Issuer are unable to locate a qualified successor; or

 

		(3)	the Issuer has or will become subject to adverse tax consequences which would not be suffered were
the Notes represented by this Registered Global Note in definitive registered form.

 

Upon the occurrence of an Exchange Event
the Issuer will promptly give notice to Noteholders in accordance with Condition 16; and the relevant Clearing System (acting on
the instructions of any holder of an interest in this Registered Global Note) may give notice to the Registrar or the Transfer
Agent requesting exchange.  

 

Any such exchange shall occur not later
than 45 days after the date of receipt of the first relevant notice by the Registrar or the Transfer Agent, as the case may be.  The
exchange will be made upon presentation of this Registered Global Note by the registered holder hereof on any day (other than a
Saturday or Sunday) on which banks are open for general business in London, England and Luxembourg.  The aggregate nominal
amount of Definitive Registered Notes issued upon an exchange of this Registered Global Note will be equal to the aggregate nominal
amount of this Registered Global Note at the time of such exchange.  On an exchange of the whole of this Registered Global
Note, this Registered Global Note shall be surrendered to the Registrar or the Transfer Agent, as the case may be, and, where the
applicable Final Terms indicates this Registered Global Note is intended to be held in a manner that would allow Eurosystem eligibility,
the Transfer Agent shall instruct Euroclear and Clearstream, Luxembourg to make the appropriate entries in their records to reflect
such exchange.  

 

    Page 31

     

    

On or after such exchange, the Registrar,
the Transfer Agent and any other Paying Agent shall make all payments to be made in respect of such Definitive Registered Notes
to the registered holders thereof regardless of whether such exchange occurred after the record date for such payment.

 

Notes represented by this Registered Global
Note are transferable only in accordance with, and subject to, the provisions hereof and of the Note Agency Agreement (as amended
and supplemented or restated from time to time) and the rules and operating procedures of the relevant Clearing System.

 

Title to this Registered Global Note passes
by due endorsement in the Register.  The Issuer shall procure that due registration of transfer shall be entered in the
Register maintained by the Registrar.  Unless otherwise required by law, only the duly registered holder or if more than
one person is so registered, the first-named of such persons is entitled to payment in respect of this Registered Global Note.

 

The Registrar has been appointed registrar
for the Notes, and the Registrar will maintain at its office in Luxembourg, a register (herein, the “Register”)
for the registration of, and the registration of transfers and exchanges of, Notes. Subject to the limitations, terms and conditions
set forth in the Conditions, herein and in the Note Agency Agreement, this Registered Global Note may be transferred at the aforesaid
office of the Registrar or at the office of the Transfer Agent by surrendering this Registered Global Note for cancellation, and
thereupon the Registrar shall issue and register, or the Transfer Agent shall issue and procure the Registrar to register, in the
name of the transferee, in exchange herefor, a new Registered Global Note having identical terms and conditions and having a like
aggregate nominal amount in authorised denominations. If this Registered Global Note is surrendered for transfer, it shall be accompanied
by a written instrument of transfer in form satisfactory to the Registrar or the Transfer Agent and executed by the registered
holder in person or by the holder’s attorney duly authorised in writing. No service charge will be imposed for any such transfers
and exchanges, but the Issuer may require payment of a sum sufficient to cover any stamp or other tax or other governmental charge
in connection therewith.

 

The Registrar and the Transfer Agent shall
not be required to register or procure registration of any transfer or exchange of this Registered Global Note during the period
from any Regular Record Date to the corresponding Interest Payment Date or Maturity Date or from the close of business on the 15th
calendar day (whether or not such day is a business day in Luxembourg) preceding the date of early redemption (the “Redemption
Record Date”) to the date of early redemption (the “Redemption Date”). None of the Issuer, the Registrar
or the Transfer Agent shall be required to make any exchange of Notes if as a result thereof, the Issuer may incur adverse tax
or other similar consequences under the laws or regulations of any jurisdiction in effect at the time of the exchange.

 

On any transfer pursuant to which either
(i) Notes represented by this Registered Global Note are no longer to be so represented or (ii) Notes not so represented are to
be so represented details of such transfer shall be entered by or on behalf of the Issuer in Schedule Two hereto and the relevant
space in Schedule Two hereto recording such transfer shall be signed by or on behalf of the Issuer and in the Register, whereupon
the nominal amount of this Registered Global Note and the Notes held by the registered holder hereof shall be increased or reduced
(as the case may be) by the nominal amount so transferred.  Where the applicable Final Terms indicates this Registered
Global Note is intended to be held in a manner that would allow Eurosystem eligibility, the Transfer Agent shall instruct Euroclear
and Clearstream, Luxembourg to make the appropriate entries in their records to reflect such transfer of the Notes.

 

Subject as provided in the Note Agency
Agreement, each person who is for the time being shown in the records of the relevant Clearing System as entitled to a particular
nominal amount of the Notes represented by this Registered Global Note (in which regard any certificate or other document issued
by the relevant Clearing System as to the nominal amount of such Notes standing to the account of any person shall be conclusive
and binding for all purposes save in the case of manifest error) shall be deemed to be the holder of such nominal amount of the
Notes for all purposes other than with respect to payments on and voting, giving consents and making requests in respect of, such
nominal amount of

 

    Page 32

     

    

such Notes for which purpose the registered
holder of this Registered Global Note shall be deemed to be the holder of such nominal amount of the Notes in accordance with and
subject to the terms of this Registered Global Note.

 

Upon a further issue of Notes, as contemplated
by the Note Agency Agreement and the Conditions, details of such further issue shall be entered by or on behalf of the Issuer in
Schedule One hereto to reflect the increase of the nominal amount by an amount equal to the aggregate nominal amount of Notes so
issued and to be registered in the name of [         ], whereupon the nominal amount hereof
shall be increased for all purposes by the amount so issued and so noted, or the Issuer shall issue or cause to be issued an additional
Registered Global Note to evidence such further issue of Notes. Where the applicable Final Terms indicates this Registered Global
Note is intended to be held in a manner that would allow Eurosystem eligibility, the Transfer Agent shall instruct Euroclear and
Clearstream, Luxembourg to make the appropriate entries in their records to reflect such further issue and the increase in the
outstanding aggregate nominal amount of the Notes.

 

In the event of any discrepancy between
the nominal amount of this Registered Global Note or any Schedule to this Registered Global Note and the nominal amount of this
Registered Global Note as shown on the Register, the nominal amount of this Registered Global Note as shown on the Register shall
prevail.

 

This Registered Global Note and any non-contractual
obligations arising out of or in connection with it shall be governed by, and construed in accordance with, English law.

 

No rights are conferred on any person by
virtue of the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this Registered Global Note, but this does not
affect any right or remedy of any person which exists or is available apart from that Act.

 

This Registered Global Note shall not be
valid unless authenticated by [The Bank of New York Mellon SA/NV, Luxembourg Branch, as Registrar] [The Bank of New York Mellon,
acting through its London branch, as Transfer Agent]1,
and, if the Final Terms indicate that this Registered Global Note is intended to be held under the New Safekeeping Structure  (i)
which is intended to be held in a manner which would allow Eurosystem eligibility, or (ii) in respect of which the Issuer has notified
[The Bank of New York Mellon SA/NV, Luxembourg Branch, as Registrar] [The Bank of New York Mellon, acting through its London branch,
as Transfer Agent]1 that effectuation is to be applicable, effectuated by the entity appointed as common safekeeper
by the relevant Clearing Systems.  This Registered Global Note may be duly executed on behalf of the Issuer by manual
or facsimile signature.

 

IN
WITNESS whereof the Issuer has caused this Registered Global Note to be duly executed on its behalf.

 

[Date]

 

 

TOYOTA MOTOR CREDIT CORPORATION

 

	By: 	 	 
	 	Authorised Signatory	 

 

 

 

 

		1	Delete as applicable.

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Authenticated by

[The Bank of New York Mellon SA/NV, Luxembourg Branch, as Registrar][The Bank of New York Mellon, acting through its London branch,
as Transfer Agent]2.

 

	By: 	 	 
	Authorised Signatory	 	 

3Effectuated
without recourse,

warranty or liability by:

 

[insert name of common safekeeper]

as common safekeeper

 

	By:	  	 

 

 

 

 

		2	Delete as applicable.

		3	This should only be completed
where the Final Terms indicate that this Registered Global Note is intended to be held in the New Safekeeping Structure.

    Page 34

     

    

Schedule One

PART I

INTEREST PAYMENTS

 

	Interest

Payment

Date	Date of Payment	Total Amount of Interest Payable	Amount of Interest Paid	Confirmation of payment by or on behalf of the Issuer
	First	 	 	 	 
	 	 	 	 	 
	Second	 	 	 	 

 

[continue numbering until the appropriate
number of Interest Payment Dates for the particular issue of Notes is reached]

 

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PART II

 

REDEMPTIONS

 

	Date made	 	Part of nominal amount of this Registered Global Note redeemed	 	Remaining nominal amount of this Registered Global Note following such redemption	 	Remaining amount payable under this Registered Global Note following such redemption*	 	Confirmation of redemption by or on behalf or the Issuer
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

 

 

 

 

		*	See most recent entry in
Part II or III or Schedule Two in order to determine this amount.

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PART III

 

PURCHASES AND CANCELLATIONS

 

	Date made	 	Part of nominal amount of this Registered Global Note purchased and cancelled	 	Remaining nominal amount of this Registered Global Note following such purchase and cancellation	 	Remaining amount payable under this Registered Global Note following such purchase and cancellation*	 	Confirmation of purchase and cancellation by or on behalf of the Issuer
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

 

 

 

		*	See most recent entry in
Part II or III or Schedule Two in order to determine this amount.

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Schedule Two

SCHEDULE OF TRANSFERS AND EXCHANGES

 

The following transfers affecting the nominal
amount of this Registered Global Note have been made:

 

	Date made	 	
        Nominal amount

        of Notes

        transferred or exchanged

         
	 	Remaining/increased nominal amount of this Registered Global Note following such transfer*or exchange	 	Notation made by or on behalf of the Issuer
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 

 

 

 

 

		*	See most recent entry in
Part II or III of Schedule One or in this Schedule Two in order to determine this amount.

    Page 38

     

    

SCHEDULE 2

FORM OF DEFINITIVE REGISTERED NOTE

 

THE NOTES REPRESENTED BY THIS NOTE HAVE
NOT BEEN REGISTERED UNDER THE US SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) OR WITH ANY SECURITIES REGULATORY
AUTHORITY OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES AND MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED
UNDER THE SECURITIES ACT EXCEPT IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE 903 OR RULE 904 OF REGULATION S UNDER THE SECURITIES
ACT.

 

	ISIN:  [                              ]	 	Certif. No.:  [                             ]
	[Common Code:  [                              ]]	 	Serial Number:  [                       ]
	Series Number:  [                          ]	 	 

 

TOYOTA MOTOR CREDIT CORPORATION

(a company incorporated with limited liability in California, United States)

 

DEFINITIVE REGISTERED NOTE

 

representing

[Specified Currency and Nominal Amount
of Series]

NOTES DUE [Year of Maturity]

 

This Note is one of a Series of Notes of
[Specified Currency and Denomination] each (“Notes”) of Toyota Motor Credit Corporation (the “Issuer”)
issued as of the date specified in the Final Terms attached hereto or endorsed hereon and maturing on the date so specified.  References
herein to the Conditions shall be to the Terms and Conditions endorsed hereon as supplemented or modified by the Final Terms.  This
Note is issued subject to, and with the benefit of, an amended and restated agency agreement dated 8 September 2017 (the “Programme
Agency Agreement” which expression shall be construed as a reference to that agreement as the same may be amended, supplemented
and/or restated from time to time) and made between, inter alia, Toyota Motor Finance (Netherlands) B.V., Toyota Credit
Canada Inc., Toyota Finance Australia Limited, Toyota Motor Credit Corporation and The Bank of New York Mellon, acting through
its London branch, as Agent for the holders of the Notes.  In addition, this Note and all the rights of the registered
holder hereof are expressly subject to the Programme Agency Agreement and an amended and restated note agency agreement dated 8
September 2017 (the “Note Agency Agreement” which expression shall be construed as a reference to that agreement
as the same may be amended, supplemented and/or restated from time to time), between the Issuer, The Bank of New York Mellon SA/NV,
Luxembourg Branch, as registrar and transfer agent (the “Registrar”, which term includes any successor as registrar
and transfer agent) and The Bank of New York Mellon, acting through its London branch, as transfer agent and paying agent (the
“Transfer Agent” which term includes any successor as transfer agent and paying agent).

 

This Note, the Programme Agency Agreement
and the Note Agency Agreement together constitute a contract. The registered holder by acceptance of this Note assents to and is
deemed to have notice of the Programme Agency Agreement and the Note Agency Agreement.  Further references herein to
principal or interest shall be deemed to also refer to any additional amounts which may be payable hereunder.

 

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THIS IS TO CERTIFY that                                                          
is/are the registered holder(s) of one of the above-mentioned Notes and is/are entitled on the Maturity Date or on such earlier
date as this Note may become due and repayable in accordance with the Conditions, the Note Agency Agreement and the Programme Agency
Agreement, to the amount payable on redemption of this Note and to receive interest (if any) on the nominal amount of this Note
calculated and payable as provided in the Conditions, the Note Agency Agreement and the Programme Agency Agreement together with
any other sums payable under the Conditions, the Note Agency Agreement and the Programme Agency Agreement.

 

Title to this Note passes by due endorsement
in the Register (as defined below).  The Issuer shall procure that due registration of transfer shall be entered in the
Register maintained by the Registrar.  Unless otherwise required by law, only the duly registered holder or if more than
one person is so registered, the first-named of such persons is entitled to payment in respect of this Note.

 

The Registrar has been appointed registrar
for the Notes, and the Registrar will maintain at its office in Luxembourg, a register (herein, the “Register”)
for the registration of, and the registration of transfers and exchanges of, Notes. Subject to the limitations, terms and conditions
set forth in the Conditions, herein and in the Note Agency Agreement, this Note may be transferred at the aforesaid office of the
Registrar by surrendering this Note for cancellation, and thereupon the Registrar shall issue and register in the name of the transferee,
in exchange herefor, a new Note having identical terms and conditions and having a like aggregate nominal amount in authorised
denominations. If this Note is surrendered for transfer, it shall be accompanied by a written instrument of transfer in form satisfactory
to the Registrar and executed by the registered holder in person or by the holder's attorney duly authorised in writing. No service
charge will be imposed for any such transfers and exchanges, but the Issuer may require payment of a sum sufficient to cover any
stamp or other tax or other governmental charge in connection therewith.

 

The Issuer, the Agent, the Registrar, the
Transfer Agent and any other Paying Agent may treat the holder in whose name this Note is registered as the absolute owner hereof
for all purposes, whether or not this Note is overdue, and none of the Issuer, the Registrar, the Transfer Agent or any other Paying
Agent shall be affected by notice to the contrary. All payments to or on the order of the registered holder of this Note are valid
and effectual to discharge the liability of the Issuer and the Registrar, the Transfer Agent and any other Paying Agent hereon
to the extent of the sum or sums paid.

 

Interest payable, and punctually paid or
duly provided for, on any Interest Payment Date and the principal payable on the Maturity Date will be paid to the person in whose
name this Note (or one or more predecessor Notes) is registered at 5:00 p.m., Luxembourg time, on the 15th calendar day (whether
or not such day is a business day in Luxembourg) prior to such Interest Payment Date or the Maturity Date, as the case may be (each
such day a “Regular Record Date”). Any such interest or principal, as the case may be, not so punctually paid
or duly provided for will be paid to the person in whose name this Note (or one or more predecessor Note) is registered at the
close of business on a special record date for the payment of such defaulted interest or principal to be fixed by the Registrar,
notice whereof shall be given to the registered holder hereof not less than 10 days prior to such special record date, or be paid
at any time in any other lawful manner.

 

The Registrar shall not be required to
register any transfer or exchange of this Note during the period from any Regular Record Date to the corresponding Interest Payment
Date or Maturity Date or from the close of business on the 15th calendar day (whether or not such day is a business day in Luxembourg)
preceding the date of early redemption (the “Redemption Record Date”) to the date of early redemption (the “Redemption
Date”). Neither the Issuer nor the Registrar shall be required to make any exchange of Notes if as a result thereof,
the Issuer may incur adverse tax or other similar consequences under the laws or regulations of any jurisdiction in effect at the
time of the exchange.

 

    Page 40

     

    

This Note shall not be valid unless authenticated
by [The Bank of New York Mellon SA/NV, Luxembourg Branch, as Registrar] [The Bank of New York Mellon, acting through its London
branch, as Transfer Agent]4.

 

No rights are conferred on any person by
virtue of the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this Note, but this does not affect any right
or remedy of any person which exists or is available apart from that Act.

 

IN
WITNESS whereof the Issuer has caused this Note to be duly executed on its behalf.

 

[Date]

 

TOYOTA MOTOR CREDIT CORPORATION

 

	By: 	 	 
	 	Authorised Signatory	 

 

 

Authenticated by

[The Bank of New York Mellon SA/NV, Luxembourg Branch, as Registrar][The Bank of New York Mellon, acting through its London branch,
as Transfer Agent]5.

 

 

	By: 	 	 
	 	Authorised Signatory	 

 

 

 

 

 

		4	Delete as applicable.

		5	Delete as applicable.

    Page 41

     

    

Terms and Conditions

 

[Terms and Conditions to be as set out
in Appendix A to the Programme Agency Agreement or in such other form as may be agreed between the TMCC, the Registrar and the
relevant Purchaser(s)] [Endorsed on or attached to the Terms and Conditions is to be the applicable Final Terms]

 

    Page 42

     

    

FORM OF TRANSFER OF REGISTERED
NOTE

 

FOR VALUE RECEIVED the undersigned hereby
sell(s), assign(s) and transfer(s) to

 

(Please print or type name and address (including
postal code) of transferee)

 

[Specified Currency][           ]
nominal amount of this Note and all rights hereunder, hereby irrevocably constituting and appointing [                     ]
as attorney to transfer such nominal amount of this Note in the register maintained by [                          ]
with full power of substitution.

 

	 	Signature(s)	 	 

 

 

Date:

 

 

N.B.:       This
form of transfer must be accompanied by such documents, evidence and information as may be required pursuant to the Conditions
and must be executed under the hand of the transferor or, if the transferor is a corporation, either under its common seal or under
the hand of two of its officers duly authorised in writing and, in such latter case, the document so authorising such officers
must be delivered with this form of transfer.

 

    Page 43

     

    

SCHEDULE 3

FORM OF OPERATING AND ADMINISTRATIVE

PROCEDURES MEMORANDUM

 

All terms with initial capitals used herein
without definition shall have the meanings given to them in the Prospectus dated 8 September 2017 as supplemented or replaced from
time to time (the “Prospectus”) or, as the case may be, in the Programme Agreement dated 8 September 2017 between
Toyota Motor Finance (Netherlands) B.V. (“TMF”), Toyota Credit Canada Inc. (“TCCI”), Toyota
Finance Australia Limited (“TFA”) and Toyota Motor Credit Corporation (“TMCC” and together
with TMF, TCCI and TFA, the “Issuers”) and the Dealers named therein as amended, supplemented, novated or restated
from time to time (the “Programme Agreement”) pursuant to which the Issuers may issue Notes.

 

As used herein in relation to any Notes
which are to have a “listing” or to be “listed” (i) on the London Stock Exchange, “listing”
and “listed” shall be construed to mean that such Notes have been admitted to the Official List in accordance
with the listing rules of the UK Listing Authority and admitted to trading on the London Stock Exchange’s Regulated Market
and (ii) on any other Stock Exchange within the European Economic Area, “listing” and “listed”
shall be construed to mean that the Notes have been admitted to trading on a market within that jurisdiction which is a regulated
market for the purposes of the Markets in Financial Instruments Directive (Directive 2004/39/EC).

 

This Operating and Administrative Procedures
Memorandum applies to Notes issued on and after

8 September 2017.  The procedures set out in Annex 1 may be varied by agreement between TMCC, the Registrar, the Transfer
Agent and the relevant Purchaser, including to take account of any standardised procedures published by Euroclear and/or Clearstream,
Luxembourg (together, the “ICSDs”) and/or the International Capital Market Services Association (“ICMSA”)
and/or the International Capital Market Association (“ICMA”).  The timings set out in these procedures
represent optimum timings to ensure a smooth settlement process. Each of the ICSDs has its own published deadlines for taking certain
of the actions described herein (which may be later than the timings described herein).  The Issuer, the Registrar, the
relevant Purchaser, and the depository, common depositary, or common service provider and common safekeeper, as the case may be,
may agree to vary the timings described herein subject to compliance with such deadlines.

 

    Page 44

     

    

OPERATING PROCEDURES

 

Purchasers must confirm all trades directly
with TMCC and the Registrar and/or Transfer Agent.

 

1.       RESPONSIBILITIES
OF THE REGISTRAR AND/OR TRANSFER AGENT

 

The Registrar and/or the Transfer Agent
will, in addition to the responsibilities in relation to settlement described in the Annex, be responsible for the following:

 

(1)       in
the case of Registered Notes which are to be listed on a stock exchange (the relevant Stock Exchange), distributing to the relevant
Stock Exchange and any other relevant authority such number of copies of the Final Terms as they may reasonably require; and

 

(2)       where
applicable, providing the Ministry of Finance of Japan with all required notifications and reports (including any monthly reports
as to amounts, issue dates and other terms of each Tranche of Yen-denominated Registered Notes).

 

2.       RESPONSIBILITIES
OF THE LISTING AGENT/ARRANGER/LEAD MANAGER/ DEALER

 

(1)       The
Lead Manager/Dealer/other Purchaser shall be responsible for preparing the applicable Final Terms to the Prospectus giving details
of the Registered Notes to be issued.

 

(2)       In
the case of Registered Notes to be listed on a relevant Stock Exchange, the Listing Agent/Arranger or Lead Manager will be responsible
for ensuring compliance with the Prospectus Rules (if applicable) and the Listing Rules and obtaining all necessary approvals for
listing the Registered Notes on the relevant Stock Exchange.  TMCC recognises with respect to this Clause 2(2) its continuing
obligation so long as any Registered Notes under the Programme are outstanding to apprise the applicable Dealers of any material
adverse change in its (consolidated, if applicable) financial position or its business operations.

 

3.       RESPONSIBILITIES
OF TMCC

 

TMCC shall execute and deliver the Final
Terms to the Registrar/Transfer Agent and the Arranger or the Lead Manager/Dealer/other Purchaser.

 

4.       SETTLEMENT

 

The settlement procedures set out in the
Annex shall apply to each issue of Registered Notes settling in Euroclear/Clearstream, Luxembourg unless otherwise agreed between
TMCC and the relevant Dealer or Dealers.  

 

    Page 45

     

    

ANNEX

SETTLEMENT PROCEDURES – EUROCLEAR/CLEARSTREAM, LUXEMBOURG

 

The procedures set out below have been discussed and agreed
by the ICSDs, representatives of ICMA and representatives of ICMSA.  It is recommended that these procedures are adopted
without material amendment to facilitate standardisation in the market and a smooth closing procedure. ****

 

Times set out below are London times and represent the latest
time for taking the action concerned. It is recommended that where possible the action concerned is taken in advance of these times.

 

The Registrar may delegate all its duties hereunder to the Transfer
Agent, save and except that the Registrar must maintain the Register in Luxembourg.

 

	Day	Latest time	Action
	No later than Issue Date minus 3	2:00 p.m.	TMCC or its designated agent may agree to terms with one or more of the Purchasers for the issue and purchase of Notes.  The relevant Purchaser instructs the Registrar or the Transfer Agent to obtain a common code and ISIN for the Notes from one of the ICSDs.
	Issue Date minus 2	5:00 p.m.	If a Purchaser has reached agreement with TMCC by telephone, the Purchaser confirms the terms of the agreement to TMCC attaching a copy of the applicable Final Terms (substantially in the form set out in Annex B to the Programme Agency Agreement) by electronic communication.  The Purchaser sends a copy of that electronic communication to the Registrar or the Transfer Agent for information.
	 	 	TMCC confirms its agreement to the terms on which the issue of Notes is to be made (including the form of the Final Terms) by signing and returning a copy of the Final Terms to the relevant Purchaser and the Registrar or the Transfer Agent.  The details set out in the signed Final Terms shall be conclusive evidence of the agreement (save in the case of manifest error) and shall be binding on the parties accordingly.  TMCC also confirms its instructions to the Registrar or the Transfer Agent to carry out the duties to be carried out by the Registrar or the Transfer Agent under these Settlement Procedures and the Note Agency Agreement including preparing and authenticating a Registered Global Note for the Tranche of Notes which is to be purchased.
	 	 	In the case of Floating Rate Notes, the Agent notifies the Registrar, the Transfer Agent, the ICSDs, TMCC, (if applicable) the relevant Stock Exchange and any other relevant authority and the relevant Purchaser of the Rate of Interest for the first Interest Period (if already determined).  Where the Rate of Interest has not yet been determined, this will be notified in accordance with this paragraph as soon as it has been determined.

 

 

	 	****	In the case of a syndicated Note issue, certain of the Settlement Procedures set forth below will be revised as appropriate.

    Page 46

     

    

	 	 	If TMCC has agreed with two or more Purchasers to issue Notes on a syndicated basis, it is to enter into an agreement with such Purchasers in the form or substantially the form set out in Appendix 5 to the Programme Agreement.
	No later than Issue Date minus 1	2:00 p.m.	In the case of Notes which are to be listed on a Stock Exchange or publicly offered in a European Economic Area Member State, the Registrar or the Transfer Agent, as the case may be, also notifies the Stock Exchange and/or any other relevant authority, as the case may be, by electronic communication or by hand of the details of the Notes to be issued by sending the applicable Final Terms to the Stock Exchange and/or any other relevant authority, as the case may be. 
	Issue Date minus 1	10:00 a.m. (for prior day currencies1)	The relevant Purchaser and the Registrar or the Transfer Agent, as the case may be, give settlement instructions to the relevant ICSD(s) to effect the payment of the purchase price, against delivery of the Notes, to the Registrar’s or the Transfer Agent’s account with the relevant ICSD(s) on the Issue Date.   
	 	12.00 noon (for other currencies)	The parties (which for this purpose shall include the Registrar or the Transfer Agent, as the case may be) may agree to arrange for “free delivery” to be made through the relevant ICSD(s) if specified in the applicable Final Terms, in which case these Settlement Procedures will be amended accordingly.
	Issue Date minus 1	ICSD deadlines for the relevant currency	For prior day currencies, the Registrar or the Transfer Agent, as the case may be, instructs the relevant ICSD(s) to debit its account and pay for value on the Issue Date the aggregate purchase moneys received by it to the account of TMCC previously notified to the Registrar or the Transfer Agent, as the case may be, for the purpose. 
	Issue Date minus 1	3.00 p.m.	The Registrar or the Transfer Agent, as the case may be, prepares and authenticates a Registered Global Note for each Tranche of Notes which is to be purchased, attaching the applicable Final Terms.
	 	 	Each Registered Global Note which is not to be held in the NSS is then delivered by the Registrar or the Transfer Agent, as the case may be, to the Common Depositary.  Each Global Note which is to be held in the NSS is then delivered by the Registrar or the Transfer Agent, as the case may be, to the common safekeeper, together (if applicable) with an effectuation instruction.  In the event that the common service provider and the common safekeeper are not the same entity, the Registrar or the Transfer Agent, as the case may be, should also deliver the applicable Final Terms to the common service provider.

 

 

		1	The most common prior day
currencies are Australian dollars (AUD), Hong Kong dollars (HKD), Japanese yen (JPY) and New Zealand dollars (NZD) but other currencies
in similar time zones may also be prior day currencies. The parties should establish whether or not a particular currency is a
prior day currency as soon as possible.

    Page 47

     

    

	 	 	For Notes held in the NSS, the Registrar or the Transfer Agent, as the case may be, then instructs the ICSDs, through the common service provider, to make the necessary entries in their records to record the outstanding amount of the Registered Global Note.
	Issue Date minus 1	5.00 p.m.	The conditions of issue in the Programme Agreement are satisfied and/or waived.
	 	 	In the case of each Registered Global Note which is held in the NSS, the common safekeeper confirms deposit and effectuation (if applicable)2 of the Registered Global Note to the Registrar or the Transfer Agent, as the case may be, the common service provider and the ICSDs.
	Issue Date minus 1	6.00 p.m.	In the case of each Registered Global Note which is not held in the NSS, the Common Depositary confirms deposit of the Registered Global Note to the Registrar or the Transfer Agent, as the case may be, and the ICSDs. 
	 	 	In the case of each Registered Global Note which is held in the NSS, the common service provider relays the Registrar’s or the Transfer Agent’s instruction to record the issue outstanding amount of the Registered Global Note to the ICSDs.
	Issue Date	According to ICSD settlement procedures	The ICSDs debit and credit accounts in accordance with instructions received from the Registrar or the Transfer Agent, as the case may be, and the relevant Purchaser.
	Issue Date	ICSD deadlines for the relevant currency	For non-prior day currencies, the Registrar or the Transfer Agent, as the case may be, instructs the relevant ICSD(s) to debit its account and pay for value on the Issue Date the aggregate purchase moneys received by it to the account of TMCC previously notified to the Registrar for the purpose.
	Issue Date	5.00 p.m.	The Registrar or the Transfer Agent, as the case may be, forwards a copy of the signed Final Terms to each ICSD.
	On or subsequent to the Issue Date	 	The Registrar or the Transfer Agent, as the case may be, notifies TMCC immediately in the event that a Purchaser does not pay the purchase price due from it in respect of a Note. 
	 	 	The Registrar or the Transfer Agent, as the case may be, notifies TMCC of the issue of Notes giving details of the Registered Global Note(s) and the nominal amount represented thereby.
	 	 	The Registrar or the Transfer Agent, as the case may be, confirms the issue of Notes to the relevant Stock Exchange and any other relevant authority.
	 	 	The relevant Purchaser promptly notifies the Registrar or the Transfer Agent, as the case may be, that the distribution of 

 

 

		2	This assumes that an effectuation
authorisation has been delivered by the Issuer to the common safekeeper (i.e. Euroclear or Clearstream, Luxembourg) at the update
of the programme. If this is not the case, such an authorisation should be delivered at least 2 business days prior to the closing
of the first issue of Eurosystem-eligible New Global Notes under the Programme.

    Page 48

     

    

	 	 	the Notes purchased by it has been completed.

Explanatory Notes to Annex

 

(a)       Each
Day is a day on which banks and foreign exchange markets are open for general business in London (including dealings in foreign
exchange and foreign currency deposits), counted in reverse order from the proposed Issue Date.

 

(b)       The
Issue Date must be a Business Day.  For the purposes of this Annex, Business Day means a day which is:

 

(1)       a
day on which commercial banks and foreign exchange markets settle payments and are open for general business (including dealing
in foreign exchange and foreign currency deposits) in London and any other place specified in the applicable Final Terms as an
Additional Business Centre;

 

(2)       (i)
in relation to Notes denominated in a Specified Currency other than euro and Renminbi, a day on which commercial banks and foreign
exchange markets settle payments and are open for general business (including dealings in foreign exchange and foreign currency
deposits) in the principal financial centre of the country of the relevant Specified Currency; (ii) in relation to Notes denominated
in euro, a day on which the TARGET2 system is open; or (iii) in relation to any sum payable in Renminbi, a day on which commercial
banks and foreign exchange markets are open for business and settlement of Renminbi payments in Hong Kong.  Unless provided
otherwise in the applicable Final Terms, the principal financial centre of any country shall be as provided in the 2006 ISDA Definitions
(except in the case of Australia and New Zealand, where the principal financial centre will be Sydney or Auckland, respectively);
and

 

(3)       a
day on which the ICSDs and any other relevant clearing system is open for general business.

 

(c)       Times
given can be modified upon the mutual agreement of the Purchaser, the Registrar and TMCC.

 

(d)       If
at any time the Registrar is notified by TMCC or the relevant Stock Exchange that the listing of a Series of Notes has been refused
or otherwise will not take place, the Registrar shall immediately notify TMCC, the Dealer and all the relevant Purchaser(s) (if
not the Dealer).

 

(e)       If
any final terms or information to be included in the applicable Final Terms constitute “significant new factors” and
consequently trigger the need for a supplement to the Prospectus under Article 16 of the Prospectus Directive the timings outlined
above will change as the Final Terms will need to be approved by the relevant authority as a supplement, which can take up to seven
working days.

 

(f)       Where
a clearing system other than Euroclear or Clearstream, Luxembourg is used for an issue, references to the ICSDs shall be interpreted
accordingly.

 

    Page 49

     

    

SCHEDULE 4

ADDITIONAL DUTIES OF THE REGISTRAR AND THE TRANSFER AGENT

 

In relation to each
Series of Registered Notes that are held in the NSS, the Registrar and the Transfer Agent shall comply with the following provisions:

 

1.       Each
of the Registrar and the Transfer Agent will inform each of Euroclear and Clearstream, Luxembourg (the “ICSDs”),
through the common service provider appointed by the ICSDs to service the Registered Notes (the “CSP”), of the
initial issue outstanding amount (“IOA”) for each Tranche on or prior to the relevant Issue Date.

 

2.       If
any event occurs that requires a mark up or mark down of the records which an ICSD holds for its customers to reflect such customers’
interest in the Registered Notes, each of the Registrar and the Transfer Agent will (to the extent known to it) promptly provide
details of the amount of such mark up or mark down, together with a description of the event that requires it, to the ICSDs (through
the CSP) to ensure that the records of the ICSDs reflecting the IOA of the Registered Notes remains at all times accurate.

 

3.       Each
of the Registrar and the Transfer Agent will at least monthly perform a reconciliation process with the ICSDs (through the CSP)
with respect to the IOA for the Registered Notes and will promptly inform the ICSDs (through the CSP) of any discrepancies.

 

4.       Each
of the Registrar and the Transfer Agent will promptly assist the ICSDs (through the CSP) in resolving any discrepancy identified
in the records reflecting the IOA of the Registered Notes.

 

5.       Each
of the Registrar and the Transfer Agent will promptly provide to the ICSDs (through the CSP) details of all amounts paid by it
under the Registered Notes (or, where the Registered Notes provide for delivery of assets other than cash, of the assets so delivered).

 

6.       Each
of the Registrar and the Transfer Agent will (to the extent known to it) promptly provide to the ICSDs (through the CSP) notice
of any changes to the Registered Notes that will affect the amount of, or date for, any payment due under the Registered Notes.

 

7.       Each
of the Registrar and the Transfer Agent will (to the extent known to it) promptly provide to the ICSDs (through the CSP) copies
of all information that is given to the holders of the Registered Notes.

 

8.       Each
of the Registrar and the Transfer Agent will promptly pass on to TMCC all communications it receives from the ICSDs directly or
through the CSP relating to the Registered Notes.

 

9.       Each
of the Registrar and the Transfer Agent will (to the extent known to it) promptly notify the ICSDs (through the CSP) of any failure
by the Issuer to make any payment or delivery due under the Registered Notes when due.

 

    Page 50Exhibit 10.1 2015 Stock Incentive Plan, as amended

 

 

VOLITIONRX LIMITED

2015 STOCK INCENTIVE PLAN

As adopted by the Board of Directors on August 18, 2015 and amended on August 5, 2016 and June 13, 2017

 

ARTICLE 1

 

PURPOSES OF THE PLAN

 

1.1Purposes. The purposes of the Plan are (a) to enhance the Company’s ability to attract and retain the services of qualified employees, officers, directors, consultants and other service providers upon whose judgment, initiative and efforts the successful conduct and development of the Company’s business largely depends and (b) to provide additional incentives to such persons or entities to devote their utmost effort and skill to the advancement and betterment of the Company, by providing them an opportunity to participate in the ownership of the Company and thereby have an interest in the success and increased value of the Company. 

 

ARTICLE 2

 

DEFINITIONS

 

For purposes of this Plan, terms not otherwise defined herein will have the meanings indicated below:

 

2.1“Affiliate” means (i) any entity that, directly or indirectly, is controlled by, controls or is under common control with, the Company and (ii) any entity in which the Company has a significant equity interest, in either case as determined by the Committee, whether now or hereafter existing. 

 

2.2“Award” means any award under the Plan, including any Option, Restricted Stock, Stock Bonus, Stock Appreciation Right, Restricted Stock Unit or Performance Awards. 

 

2.3“Award Agreement” means, with respect to each Award, the written or electronic agreement between the Company and the Participant setting forth the terms and conditions of the Award, and country-specific appendix thereto for grants to non-U.S. Participants, which will be in substantially a form (which need not be the same for each Participant) that the Committee (or in the case of Award agreements that are not used for Insiders, the Committee’s delegate(s)) has from time to time approved, and will comply with and be subject to the terms and conditions of this Plan. 

 

2.4“Board” means the Board of Directors of the Company. 

 

2.5“Cause” means termination of Service because of (a) any willful, material violation by the Participant of any law or regulation applicable to the business of the Company or a Parent, Subsidiary or Affiliate of the Company, the Participant’s conviction for or guilty plea to a felony or a crime involving moral turpitude or any willful perpetration by the Participant of a common law fraud; (b) the Participant’s commission of an act of personal dishonesty which involves personal profit in connection with the Company or any other entity having a business relationship with the Company; (c) any material breach by the Participant of any provision of any agreement or understanding between the Company or any Parent, Subsidiary or Affiliate of the Company and the Participant regarding the terms of the Participant’s Service, including the willful and continued failure or refusal of the Participant to perform the material duties required of such Participant as an Employee, Officer, Director, Non-Employee Director or Consultant of the Company or a Parent, Subsidiary or Affiliate of the Company, other than as a result of having a Disability or a breach of any applicable invention assignment and confidentiality agreement or similar agreement between the Company or a Parent, Subsidiary or Affiliate of the Company and the Participant; (d) Participant’s disregard of the policies of the Company or any Parent, Subsidiary or Affiliate of the Company so as to cause loss, damage or injury to the property, reputation or employees of the Company or a Parent, Subsidiary or Affiliate of the Company or (e) any other misconduct by the Participant which is materially injurious to the financial condition or business reputation of or is otherwise materially injurious to the Company or a Parent, Subsidiary or Affiliate of the Company. The determination as to whether a Participant is being terminated for Cause will be made in good faith by the Company and will be final and binding on the Participant. The foregoing definition does not in any way limit the Company’s ability to terminate a Participant’s employment or consulting relationship at any time as provided in Section 13.11, and the term “Company” will be interpreted to include any Affiliate, Subsidiary or Parent, as appropriate. Notwithstanding the foregoing, the foregoing definition of “Cause” may, in part or in whole, be modified or replaced in each individual employment agreement or Award Agreement with any Participant, provided that such document supersedes the definition provided in this Section 2.5. 

1

2.6“Code” means the United States Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder. 

 

2.7“Committee” means the Compensation Committee of the Board or those persons to whom administration of the Plan or part of the Plan has been delegated as permitted by law. 

 

2.8“Common Stock” means the Common Stock of the Company. 

 

2.9“Company” means VolitionRx Limited or any successor corporation. 

 

2.10“Consultant” means any natural person, including an advisor or independent contractor, engaged by the Company or a Parent, Subsidiary or Affiliate to render services to such entity. 

 

2.11“Corporate Transaction” means the occurrence of any of the following events: (a) any “Person” (as such term is used in Sections 13(d) and 14(d) of the Exchange Act) becomes the “beneficial owner” (as defined in Rule 13d-3 of the Exchange Act), directly or indirectly, of securities of the Company representing more than fifty percent (50%) of the total voting power represented by the Company’s then-outstanding voting securities; provided, however, that for purposes of this clause (a) the acquisition of additional securities by any one Person who is considered to own more than fifty percent (50%) of the total voting power of the securities of the Company will not be considered a Corporate Transaction; (b) the consummation of the sale or disposition by the Company of all or substantially all of the Company’s assets; (c) the consummation of a merger or consolidation of the Company with any other corporation, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or its parent) at least fifty percent (50%) of the total voting power represented by the voting securities of the Company or such surviving entity or its parent outstanding immediately after such merger or consolidation; (d) any other transaction which qualifies as a “corporate transaction” under Section 424(a) of the Code wherein the stockholders of the Company give up all of their equity interest in the Company (except for the acquisition, sale or transfer of all or substantially all of the outstanding shares of the Company) or (e) a change in the effective control of the Company that occurs on the date that a majority of members of the Board is replaced during any twelve (12) month period by member of the Board whose appointment or election is not endorsed by as majority of the members of the Board prior to the date of the appointment or election; provided, however, that for purposes of this clause (e), if any Person is considered to be in effective control of the Company, the acquisition of additional control of the Company by the same Person will not be considered a Corporate Transaction. For purposes of this definition, Persons will be considered to be acting as a group if they are owners of a corporation that enters into a merger, consolidation, purchase or acquisition of stock or similar business transaction with the Company. Notwithstanding the foregoing, to the extent that any amount constituting deferred compensation (as defined in Section 409A of the Code) would become payable under this Plan by reason of a Corporate Transaction, such amount will become payable only if the event constituting a Corporate Transaction would also qualify as a change in ownership or effective control of the Company or a change in the ownership of a substantial portion of the assets of the Company, each as defined within the meaning of Section 409A of the Code, as it has been and may be amended from time to time, and any proposed or final Treasury Regulations and IRS guidance that has been promulgated or may be promulgated thereunder from time to time. 

 

2.12“Director” means a member of the Board. 

 

2.13“Disability” means in the case of incentive stock options, total and permanent disability as defined in Section 22(e)(3) of the Code and in the case of other Awards, that the Participant is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months. 

 

2.14“Dividend Equivalent Right” means the right of a Participant, granted at the discretion of the Committee or as otherwise provided by the Plan, to receive a credit for the account of such Participant in an amount equal to the cash, stock or other property dividends in amounts equal equivalent to cash, stock or other property dividends for each Share represented by an Award held by such Participant. 

 

2.15“Effective Date” means October 30, 2015, the date on which the Plan was approved by the affirmative vote of the holders of a majority of the Shares of Common Stock of the Company which are entitled to be voted and are voted on the proposal to approve this Plan (and for such purpose, any “broker non-votes” will not be counted as being entitled to be voted on that proposal, but will be counted for quorum purposes). 

 

2.16“Employee” means any person, including Officers and Directors, providing services as an employee to the Company or any Parent, Subsidiary or Affiliate. Neither service as a Director nor payment of a director’s fee by the Company will be sufficient to constitute “employment” by the Company. 

2

2.17“Exchange Act” means the United States Securities Exchange Act of 1934, as amended. 

 

2.18“Exercise Price” means, with respect to an Option, the price at which a holder may purchase the Shares issuable upon exercise of an Option and with respect to a SAR, the price at which the SAR is granted to the holder thereof. 

 

2.19“Fair Market Value” means, as of any date, the value of a share of the Company’s Common Stock determined as follows: (a) if such Common Stock is publicly traded and is then listed on a national securities exchange, its closing price on the date of determination on the principal national securities exchange on which the Common Stock is listed or admitted to trading as reported in The Wall Street Journal or such other source as the Committee deems reliable; (b) if such Common Stock is publicly traded but is neither listed nor admitted to trading on a national securities exchange, the average of the closing bid and asked prices on the date of determination as reported in The Wall Street Journal or such other source as the Committee deems reliable or (c) if none of the foregoing is applicable, by the Board or the Committee in good faith using any reasonable method of evaluation in a manner consistent with the valuation principles under Section 409A of the Code. 

 

2.20“Insider” means an officer or director of the Company or any other person whose transactions in the Company’s Common Stock are subject to Section 16 of the Exchange Act. 

 

2.21“IRS” means the United States Internal Revenue Service. 

 

2.22“Non-Employee Director” means a Director who is not an Employee of the Company or any Parent or Subsidiary. 

 

2.23“Option” means an award of an option to purchase Shares pursuant to Article 4 or Article 10. 

 

2.24“Parent” means any corporation (other than the Company) in an unbroken chain of corporations ending with the Company if each of such corporations other than the Company owns stock possessing fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. 

 

2.25“Participant” means a person who holds an Award under this Plan. 

 

2.26“Performance Award” means cash or stock granted pursuant to Article 9 or Article 10. 

 

2.27“Performance Factors” means any of the factors selected by the Committee and specified in an Award Agreement, from among the following objective measures, either individually, alternatively or in any combination, applied to the Company as a whole or any business unit or Subsidiary, either individually, alternatively or in any combination, on a GAAP or non-GAAP basis, and measured, to the extent applicable on an absolute basis or relative to a pre-established target or index or group of comparator companies, to determine whether the performance goals established by the Committee with respect to applicable Awards have been satisfied: (a) profit before tax; (b) billings; (c) revenue; (d) net revenue; (e) earnings (which may include earnings before interest; earnings before interest and taxes; earnings before interest, taxes and depreciation; earnings before interest, taxes, depreciation and amortization; net earnings and other metrics based on or derived from earnings); (f) operating income; (g) operating margin; (h) operating profit; (i) controllable operating profit; (j) net operating profit; (k) net profit; (l) gross margin; (m) operating expenses or operating expenses as a percentage of revenue; (n) net income; (o) earnings per share; (p) total stockholder return; (q) market share; (r) return on assets or net assets; (s) the Company’s stock price; (t) growth in stockholder value relative to a pre-determined index; (u) return on equity; (v) return on invested capital; (w) cash flow (including free cash flow or operating cash flows); (x) cash conversion cycle; (y) economic value added; (z) individual confidential business objectives; (aa) contract awards or backlog; (bb) overhead or other expense reduction; (cc) credit rating; (dd) strategic plan development and implementation; (ee) succession plan development and implementation; (ff) improvement in workforce diversity; (gg) customer indicators; (hh) new product invention or innovation; (ii) attainment of research and development milestones; (jj) improvements in productivity; (kk) bookings and (ll) attainment of objective operating goals and employee metrics. The Committee may provide for one or more adjustments to the Performance Factors in accordance with Section 11.3. 

 

2.28“Performance Period” means the period of service determined by the Committee, not to exceed five (5) years, during which years of service or performance is to be measured for the Award. 

 

2.29“Performance Share” means an Award granted pursuant to Article 9 or Article 10. 

3

2.30“Permitted Transferee” means any child, stepchild, grandchild, parent, stepparent, grandparent, spouse, former spouse, sibling, niece, nephew, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law or sister-in-law (including adoptive relationships) of the Employee, any person sharing the Employee’s household (other than a tenant or employee), a trust in which these persons (or the Employee) have more than 50% of the beneficial interest, a foundation in which these persons (or the Employee) control the management of assets, and any other entity in which these persons (or the Employee) own more than 50% of the voting interests. 

 

2.31“Plan” means this VolitionRx Limited 2015 Stock Incentive Plan, as amended. 

 

2.32“Purchase Price” means the price to be paid for Shares acquired under the Plan, other than Shares acquired upon exercise of an Option or SAR. 

 

2.33“Restricted Stock Award” means an award of Shares pursuant to Article 5 or Article 10 or issued pursuant to the early exercise of an Option. 

 

2.34“Restricted Stock Unit” means an Award granted pursuant to Article 8 or Article 10. 

 

2.35“SEC” means the United States Securities and Exchange Commission. 

 

2.36“Securities Act” means the United States Securities Act of 1933, as amended. 

 

2.37“Service” means service as an Employee, Consultant, Director or Non-Employee Director, to the Company or a Parent, Subsidiary or Affiliate, subject to such further limitations as may be set forth in the Plan or the applicable Award Agreement. An Employee will not be deemed to have ceased to provide Service in the case of (a) sick leave; (b) military leave or (c) any other leave of absence approved by the Company; provided, that such leave is for a period of not more than 90 days (x) unless reemployment upon the expiration of such leave is guaranteed by contract or statute or (y) unless provided otherwise pursuant to formal policy adopted from time to time by the Company and issued and promulgated to employees in writing. In the case of any Employee on an approved leave of absence or a reduction in hours worked (for illustrative purposes only, a change in schedule from that of full-time to part-time), the Committee may make such provisions respecting suspension of or modification of vesting of the Award while on leave from the employ of the Company or a Parent, Subsidiary or Affiliate or during such change in working hours as it may deem appropriate, except that in no event may an Award be exercised after the expiration of the term set forth in the applicable Award Agreement. In the event of military leave, if required by applicable laws, vesting will continue for the longest period that vesting continues under any other statutory or Company approved leave of absence and, upon a Participant’s returning from military leave (under conditions that would entitle him or her to protection upon such return under the Uniform Services Employment and Reemployment Rights Act), he or she will be given vesting credit with respect to Awards to the same extent as would have applied had the Participant continued to provide services to the Company throughout the leave on the same terms as he or she was providing services immediately prior to such leave. An employee will have terminated employment as of the date he or she ceases to provide services (regardless of whether the termination is in breach of local employment laws or is later found to be invalid) and employment will not be extended by any notice period or garden leave mandated by local law, provided however, that a change in status from an employee to a consultant or advisor will not terminate the service provider’s Service, unless determined by the Committee, in its discretion. The Committee will have sole discretion to determine whether a Participant has ceased to provide Services and the effective date on which the Participant ceased to provide Services. 

 

2.38“Shares” means shares of the Company’s Common Stock and the common stock of any successor entity. 

 

2.39“Stock Appreciation Right” means an Award granted pursuant to Article 7 or Article 10. 

 

2.40“Stock Bonus” means an Award granted pursuant to Article 6 or Article 10. 

 

2.41“Subsidiary” means any corporation (other than the Company) in an unbroken chain of corporations beginning with the Company if each of the corporations other than the last corporation in the unbroken chain owns stock possessing fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. 

 

2.42“Treasury Regulations” means regulations promulgated by the United States Treasury Department. 

 

2.43“Unvested Shares” means Shares that have not yet vested or are subject to a right of repurchase in favor of the Company (or any successor thereto). 

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ARTICLE 3

 

PLAN SHARES

 

3.1Number of Shares Available. Subject to adjustment as provided in Section 3.5, the total number of Shares reserved and available for grant and issuance pursuant to this Plan is two million five hundred thousand (2,500,000) Shares. 

 

3.2Lapsed, Returned Awards. If any Shares subject to an Award are forfeited, an Award expires or otherwise terminates without issuance of Shares or an Award is settled for cash (in whole or in part) or otherwise does not result in the issuance of all or a portion of the Shares subject to such Award (including on payment in Shares on exercise of a SAR), such Shares shall, to the extent of such forfeiture, expiration, termination, cash settlement or non-issuance, be added to the Shares available for grant under the Plan. If (i) any Award granted hereunder is exercised through the tendering of Shares (either actually or by attestation) or by the withholding of Shares by the Company or (ii) withholding tax liabilities arising from such Award are satisfied by the tendering of Shares (either actually or by attestation) or by the withholding of Shares by the Company, then in each such case the Shares so tendered or withheld shall be added to the Shares available for grant under the Plan on a one-for-one basis. 

 

3.3Minimum Share Reserve. At all times the Company will reserve and keep available a sufficient number of Shares as will be required to satisfy the requirements of all outstanding Awards granted under this Plan. 

 

3.4Limitations; Eligibility. No more than two million five hundred thousand (2,500,000) Shares will be issued pursuant to the exercise of ISOs. ISOs may be granted only to Employees. All other Awards may be granted to Employees, Consultants, Directors and Non-Employee Directors; provided such Consultants, Directors and Non-Employee Directors render bona fide services not in connection with the offer and sale of securities in a capital-raising transaction. Subject to adjustment as provided in Section 3.5, no Participant may be granted (a) Options or SARs during any 12-month period with respect to more than five hundred thousand (500,000) Shares and (b) Restricted Stock Awards, Restricted Stock Unit Awards, Performance Awards or Stock Bonus Awards during any calendar year that are intended to comply with the performance-based exception under Section 162(m) of the Code and are denominated in Shares under which more than five hundred thousand (500,000) Shares may be earned for each twelve (12) months in the vesting period or Performance Period. Each of the limitations in the preceding sentence of this Section 3.4 shall be multiplied by two (2) with respect to Awards granted to a Participant during the first calendar year in which the Participant commences employment with the Company and its Subsidiaries. If an Award is cancelled, the cancelled Award shall continue to be counted toward the applicable limitation in this Section 3.4. 

 

3.5Adjustment of Shares. If the number of outstanding Shares is changed by a stock dividend, extraordinary dividends or distributions (whether in cash, shares or other property, other than a regular cash dividend), recapitalization, stock split, reverse stock split, subdivision, combination, reclassification, spin-off or similar change in the capital structure of the Company, then (a) the number of Shares reserved for issuance and future grant under the Plan set forth in Section 3.1; (b) the Exercise Prices of and number of Shares subject to outstanding Options and SARs; (c) the number of Shares subject to other outstanding Awards; (d) the maximum number of shares that may be issued as ISOs or other Awards set forth in Section 3.4 and (e) the maximum number of Shares that may be issued to an individual or to a new Employee in any one calendar year set forth in Section 3.4, will be proportionately adjusted, subject to any required action by the Board or the stockholders of the Company and in compliance with applicable securities laws, provided that fractions of a Share will not be issued. 

 

ARTICLE 4

 

OPTIONS

 

4.1Options. An Option is the right but not the obligation to purchase a Share, subject to certain conditions, if applicable. The Committee may grant Options to eligible Employees, Consultants and Directors and will determine whether such Options will be Incentive Stock Options within the meaning of the Code (“ISOs”) or Nonqualified Stock Options (“NSOs”), the number of Shares subject to the Option, the Exercise Price of the Option, the period during which the Option may vest and be exercised, and all other terms and conditions of the Option, subject to the following terms of this Section 4.1. 

 

4.2Option Grant. Each Option granted under this Plan will identify the Option as an ISO or an NSO. An Option may be, but need not be, awarded upon satisfaction of such Performance Factors during any Performance Period as are set out in advance in the Participant’s individual Award Agreement. If the Option is being earned upon the satisfaction of Performance Factors, then the Committee will: (a) determine the nature, length and starting date of any Performance Period for each Option and (b) select from among the Performance Factors to be used to measure the performance, if any. Performance Periods may overlap and Participants may participate simultaneously with respect to Options that are subject to different performance goals and other criteria. 

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4.3Date of Grant. The date of grant of an Option will be the date on which the Committee makes the determination to grant such Option or a specified future date. The Award Agreement and a copy of this Plan will be delivered to the Participant within a reasonable time after the granting of the Option. 

 

4.4Exercise Period. Options may be vested and exercisable within the times or upon the conditions as set forth in the Award Agreement governing such Option; provided, however, that no Option will be exercisable after the expiration of ten (10) years from the date the Option is granted; and provided further that no ISO granted to a person who, at the time the ISO is granted, directly or by attribution owns more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or of any Parent or Subsidiary of the Company (“Ten Percent Stockholder”) will be exercisable after the expiration of five (5) years from the date the ISO is granted. The Committee also may provide for Options to become exercisable at one time or from time to time, periodically or otherwise, in such number of Shares or percentage of Shares as the Committee determines. 

 

4.5Exercise Price. The Exercise Price of an Option will be determined by the Committee when the Option is granted, provided that (a) the Exercise Price of an Option will be not less than one hundred percent (100%) of the Fair Market Value of the Shares on the date of grant and (b) the Exercise Price of any ISO granted to a Ten Percent Stockholder will not be less than one hundred ten percent (110%) of the Fair Market Value of the Shares on the date of grant. Payment for the Shares purchased may be made in accordance with Section 13.1 and the Award Agreement and in accordance with any procedures established by the Company. 

 

4.6Method of Exercise. Any Option granted hereunder will be vested and exercisable according to the terms of the Plan and at such times and under such conditions as determined by the Committee and set forth in the Award Agreement. An Option may not be exercised for a fraction of a Share. An Option will be deemed exercised when the Company receives: (a) notice of exercise (in such form as the Committee may specify from time to time) from the person entitled to exercise the Option (and/or via electronic execution through the authorized third party administrator) and (b) full payment for the Shares with respect to which the Option is exercised (together with applicable withholding taxes). Full payment may consist of any consideration and method of payment authorized by the Committee and permitted by the Award Agreement and the Plan. Shares issued upon exercise of an Option will be issued in the name of the Participant. Until the Shares are issued (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive dividends or any other rights as a stockholder will exist with respect to the Shares, notwithstanding the exercise of the Option. The Company will issue (or cause to be issued) such Shares promptly after the Option is exercised. No adjustment will be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 3.5. Exercising an Option in any manner will decrease the number of Shares thereafter available, both for purposes of the Plan and for sale under the Option, by the number of Shares as to which the Option is exercised. 

 

4.7Termination of Service. Unless otherwise provided in the Award Agreement, if the Participant’s Service terminates for any reason except for Cause or the Participant’s death or Disability, then the Participant may exercise such Participant’s Options only to the extent that such Options would have been exercisable by the Participant on the date Participant’s Service terminates no later than three (3) months after the date Participant’s Service terminates (or such shorter or longer time period as may be determined by the Committee, with any exercise beyond three (3) months after the date Participant’s Service terminates deemed to be the exercise of an NSO), but in any event no later than the expiration date of the Options. Unless otherwise provided in the Award Agreement, if the Participant’s Service terminates because of the Participant’s death (or the Participant dies within three (3) months after Participant’s Service terminates other than for Cause or because of the Participant’s Disability), then the Participant’s Options may be exercised only to the extent that such Options would have been exercisable by the Participant on the date Participant’s Service terminates and must be exercised by the Participant’s legal representative or authorized assignee no later than twelve (12) months after the date Participant’s Service terminates (or such shorter time period or longer time period as may be determined by the Committee), but in any event no later than the expiration date of the Options. Unless otherwise provided in the Award Agreement, if the Participant’s Service terminates because of the Participant’s Disability, then the Participant’s Options may be exercised only to the extent that such Options would have been exercisable by the Participant on the date Participant’s Service terminates and must be exercised by the Participant (or the Participant’s legal representative or authorized assignee) no later than twelve (12) months after the date Participant’s Service terminates (or such shorter or longer time period as may be determined by the Committee, with any exercise beyond (a) three (3) months after the date Participant’s Service terminates when the termination of Service is for a Disability that is not a “permanent and total disability” as defined in Section 22(e)(3) of the Code or (b) twelve (12) months after the date Participant’s Service terminates when the termination of Service is for a Disability that is a “permanent and total disability” as defined in Section 22(e)(3) of the Code, deemed to be exercise of an NSO), but in any event no later than the expiration date of the Options. Unless otherwise provided in the Award Agreement, if the Participant is terminated for Cause, then Participant’s Options will expire on such Participant’s date of termination of Service or at such later time and on such conditions as are determined by the Committee, but in any no event later than the expiration date of the Options. Unless otherwise provided in the Award Agreement, Cause will have the meaning set forth in the Plan. 

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4.8Limitations on Exercise. The Committee may specify a minimum number of Shares that may be purchased on any exercise of an Option, provided that such minimum number will not prevent any Participant from exercising the Option for the full number of Shares for which it is then exercisable. 

 

4.9Limitations on ISOs. With respect to Awards granted as ISOs, to the extent that the aggregate Fair Market Value of the Shares with respect to which such ISOs are exercisable for the first time by the Participant during any calendar year (under all plans of the Company and any Parent or Subsidiary) exceeds one hundred thousand dollars ($100,000), such Options will be treated as NSOs. For purposes of this Section 4.9, ISOs will be taken into account in the order in which they were granted. The Fair Market Value of the Shares will be determined as of the time the Option with respect to such Shares is granted. In the event that the Code or the regulations promulgated thereunder are amended after the Effective Date to provide for a different limit on the Fair Market Value of Shares permitted to be subject to ISOs, such different limit will be automatically incorporated herein and will apply to any Options granted after the effective date of such amendment. 

 

4.10Modification or Extension. Subject in all cases to Section 13.8, the Committee may modify or extend outstanding Options (but not beyond their original term) and authorize the grant of new Options in substitution therefor, provided that any such action may not, without the written consent of a Participant, impair any of such Participant’s rights under any Option previously granted. Any outstanding ISO that is modified, extended or otherwise altered will be treated in accordance with Section 424(h) of the Code. 

 

4.11No Disqualification. Notwithstanding any other provision in this Plan, no term of this Plan relating to ISOs will be interpreted, amended or altered, nor will any discretion or authority granted under this Plan be exercised, so as to disqualify this Plan under Section 422 of the Code or, without the consent of the Participant affected, to disqualify any ISO under Section 422 of the Code. 

 

ARTICLE 5

 

RESTRICTED STOCK AWARDS

 

5.1Restricted Stock Awards. A Restricted Stock Award is an offer by the Company to sell to an eligible Employee, Consultant or Director Shares that are subject to restrictions (“Restricted Stock”). The Committee will determine to whom an offer will be made, the number of Shares the Participant may purchase, the Purchase Price (if any), the restrictions under which the Shares will be subject and all other terms and conditions of the Restricted Stock Award, subject to the Plan. 

 

5.2Award Agreement. All Restricted Stock Awards will be evidenced by an Award Agreement. Except as may otherwise be provided in an Award Agreement, a Participant accepts a Restricted Stock Award by signing and delivering to the Company an Award Agreement with full payment of the Purchase Price (if any), within thirty (30) days from the date the Award Agreement was delivered to the Participant. If the Participant does not accept such Award within thirty (30) days, then the offer of such Restricted Stock Award will terminate, unless the Committee determines otherwise. 

 

5.3Purchase Price. The Purchase Price (if any) for a Restricted Stock Award will be determined by the Committee and may be less than Fair Market Value on the date the Restricted Stock Award is granted. Payment of the Purchase Price (if any) must be made in accordance with Section 13.1, the Award Agreement and any procedures established by the Company. 

 

5.4Terms of Restricted Stock Awards. Restricted Stock Awards will be subject to such restrictions as the Committee may impose or are required by law. These restrictions may be based on completion of a specified number of years of service with the Company or upon completion of Performance Factors, if any, during any Performance Period as set out in advance in the Participant’s Award Agreement. Prior to the grant of a Restricted Stock Award, the Committee will: (a) determine the nature, length and starting date of any Performance Period for the Restricted Stock Award; (b) select from among the Performance Factors to be used to measure performance goals, if any and (c) determine the number of Shares that may be awarded to the Participant. Performance Periods may overlap and a Participant may participate simultaneously with respect to Restricted Stock Awards that are subject to different Performance Periods and having different performance goals and other criteria. 

 

5.5Termination of Service. Except as may be set forth in the Participant’s Award Agreement, vesting ceases on such date Participant’s Service terminates (unless determined otherwise by the Committee). 

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ARTICLE 6

 

STOCK BONUS AWARDS

 

6.1Stock Bonus Awards. A Stock Bonus Award is an award to an eligible Employee, Consultant or Director of Shares for Services to be rendered or for past Services already rendered to the Company or any Parent or Subsidiary. All Stock Bonus Awards will be made pursuant to an Award Agreement. No payment from the Participant will be required for Shares awarded pursuant to a Stock Bonus Award. 

 

6.2Terms of Stock Bonus Awards. The Committee will determine the number of Shares to be awarded to the Participant under a Stock Bonus Award and any restrictions thereon. These restrictions may be based upon completion of a specified number of years of service with the Company or upon satisfaction of performance goals based on Performance Factors during any Performance Period as set out in advance in the Participant’s Stock Bonus Agreement. Prior to the grant of any Stock Bonus Award the Committee will: (a) determine the nature, length and starting date of any Performance Period for the Stock Bonus Award; (b) select from among the Performance Factors to be used to measure performance goals (if any) and (c) determine the number of Shares that may be awarded to the Participant. Performance Periods may overlap and a Participant may participate simultaneously with respect to Stock Bonus Awards that are subject to different Performance Periods and different performance goals and other criteria. 

 

6.3Form of Payment to Participant. Payment may be made in the form of cash, whole Shares or a combination thereof, based on the Fair Market Value of the Shares earned under a Stock Bonus Award on the date of payment, as determined in the sole discretion of the Committee. 

 

6.4Termination of Service. Except as may be set forth in the Participant’s Award Agreement, vesting ceases on such date Participant’s Service terminates (unless determined otherwise by the Committee). 

 

ARTICLE 7

 

STOCK APPRECIATION RIGHTS

 

7.1Stock Appreciation Rights. A Stock Appreciation Right (“SAR”) is an award to an eligible Employee, Consultant or Director that may be settled in cash or Shares (which may consist of Restricted Stock) having a value equal to (a) the difference between the Fair Market Value on the date of exercise over the Exercise Price multiplied by (b) the number of Shares with respect to which the SAR is being settled (subject to any maximum number of Shares that may be issuable as specified in an Award Agreement). All SARs will be made pursuant to an Award Agreement. 

 

7.2Terms of SARs. The Committee will determine the terms of each SAR, including: (a) the number of Shares subject to the SAR; (b) the Exercise Price and the time or times during which the SAR may be settled; (c) the consideration to be distributed on settlement of the SAR and (d) the effect of the Participant’s termination of Service on each SAR. The Exercise Price of the SAR will be determined by the Committee when the SAR is granted, and may not be less than Fair Market Value. A SAR may be awarded upon satisfaction of Performance Factors, if any, during any Performance Period as are set out in advance in the Participant’s individual Award Agreement. If the SAR is being earned upon the satisfaction of Performance Factors, then the Committee will: (x) determine the nature, length and starting date of any Performance Period for each SAR and (y) select from among the Performance Factors to be used to measure the performance, if any. Performance Periods may overlap and Participants may participate simultaneously with respect to SARs that are subject to different Performance Factors and other criteria. 

 

7.3Exercise Period and Expiration Date. A SAR will be exercisable within the times or upon the occurrence of events determined by the Committee and set forth in the Award Agreement governing such SAR. The SAR Agreement will set forth the expiration date; provided that no SAR will be exercisable after the expiration of ten (10) years from the date the SAR is granted. The Committee may also provide for SARs to become exercisable at one time or from time to time, periodically or otherwise (including upon the attainment during a Performance Period of performance goals based on Performance Factors), in such number of Shares or percentage of the Shares subject to the SAR as the Committee determines. Except as may be set forth in the Participant’s Award Agreement, vesting ceases on the date Participant’s Service terminates (unless determined otherwise by the Committee). Notwithstanding the foregoing, the rules of Section 4.7 also will apply to SARs. 

 

7.4Form of Settlement. Upon exercise of a SAR, a Participant will be entitled to receive payment from the Company in an amount determined by multiplying (a) the difference between the Fair Market Value of a Share on the date of exercise over the Exercise Price; times (b) the number of Shares with respect to which the SAR is exercised. At the discretion of the Committee, the payment from the Company for the SAR exercise may be in cash, in Shares of equivalent value or in some combination thereof. The portion of a SAR being settled may be paid currently or on a deferred basis with such interest or dividend equivalent, if any, as the Committee determines, provided that the terms of the SAR and any deferral satisfy the requirements of Section 409A of the Code. 

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7.5Termination of Service. Except as may be set forth in the Participant’s Award Agreement, vesting ceases on such date Participant’s Service terminates (unless determined otherwise by the Committee). 

 

ARTICLE 8

 

RESTRICTED STOCK UNITS

 

8.1Restricted Stock Units. A Restricted Stock Unit (“RSU”) is an award to an eligible Employee, Consultant or Director covering a number of Shares that may be settled in cash and/or by issuance of Shares (which may consist of Restricted Stock). All RSUs will be made pursuant to an Award Agreement. 

 

8.2Terms of RSUs. The Committee will determine the terms of an RSU including: (a) the number of Shares subject to the RSU; (b) the time or times during which the RSU may be settled; (c) the amount (including any minimum amount), nature (which may include cash, Shares or a combination of both) and valuation of the consideration to be paid or distributed on settlement; (d) the effect of the Participant’s termination of Service on each RSU; and (e) such other terms as the Committee may determine. An RSU may be awarded upon satisfaction of such performance goals based on Performance Factors during any Performance Period as are set out in advance in the Participant’s Award Agreement. If the RSU is being earned upon satisfaction of Performance Factors, then the Committee will: (x) determine the nature, length and starting date of any Performance Period for the RSU; (y) select from among the Performance Factors to be used to measure the performance, if any and (z) determine the number of Shares deemed subject to the RSU. Performance Periods may overlap and participants may participate simultaneously with respect to RSUs that are subject to different Performance Periods and different performance goals and other criteria. 

 

8.3Timing of Settlement. Payment of earned RSUs will be made as soon as practicable after the date(s) determined by the Committee and set forth in the Award Agreement. The Committee may permit a Participant to defer payment under a RSU to a date or dates after the RSU is earned provided that the terms of the RSU and any deferral satisfy the requirements of Section 409A of the Code. 

 

8.4Termination of Service. Except as may be set forth in the Participant’s Award Agreement, vesting ceases on such date Participant’s Service terminates (unless determined otherwise by the Committee). 

 

ARTICLE 9

 

PERFORMANCE AWARDS

 

9.1Performance Awards. A Performance Award is an award to an eligible Employee, Consultant or Director of a cash bonus or an award of Performance Shares denominated in Shares that may be settled in cash or by issuance of those Shares (which may consist of Restricted Stock). Grants of Performance Awards will be made pursuant to an Award Agreement. 

 

9.2Terms of Performance Shares. The Committee will determine, and each Award Agreement will set forth, the terms of each Performance Award including: (a) the amount of any cash bonus; (b) the number of Shares deemed subject to an award of Performance Shares; (c) the Performance Factors and Performance Period that will determine the time and extent to which each Performance Award will be settled; (d) the consideration to be distributed on settlement and (e) the effect of the Participant’s termination of Service on each Performance Award. In establishing Performance Factors and the Performance Period the Committee will: (x) determine the nature, length and starting date of any Performance Period; (y) select from among the Performance Factors to be used and (z) determine the number of Shares deemed subject to the award of Performance Shares. Prior to settlement the Committee will determine the extent to which Performance Awards have been earned. Performance Periods may overlap and Participants may participate simultaneously with respect to Performance Awards that are subject to different Performance Periods and different performance goals and other criteria. During any calendar year no Participant may be granted Performance Awards that are intended to comply with the performance-based exception under Section 162(m) of the Code and are denominated in cash under which more than $10,000,000 may be earned for each twelve (12) months in the Performance Period. This limitation shall be multiplied by two (2) with respect to Awards granted to a Participant during the first calendar year in which the Participant commences employment with the Company and its Subsidiaries. If an Award is cancelled, the cancelled Award shall continue to be counted toward the limitation in this Section 9.2. 

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9.3Value, Earning and Timing of Performance Shares. Each Performance Share will have an initial value equal to the Fair Market Value of a Share on the date of grant. After the applicable Performance Period has ended, the holder of Performance Shares will be entitled to receive a payout of the number of Performance Shares earned by the Participant over the Performance Period, to be determined as a function of the extent to which the corresponding Performance Factors or other vesting provisions have been achieved. The Committee, in its sole discretion, may pay earned Performance Shares in the form of cash, in Shares (which have an aggregate Fair Market Value equal to the value of the earned Performance Shares at the close of the applicable Performance Period) or in a combination thereof. 

 

9.4Termination of Service. Except as may be set forth in the Participant’s Award Agreement, vesting ceases on the date Participant’s Service terminates (unless determined otherwise by the Committee). 

 

ARTICLE 10

 

GRANTS TO NON-EMPLOYEE DIRECTORS

 

10.1Grants To Non-Employee Directors. Non-Employee Directors are eligible to receive any type of Award offered under this Plan except ISOs. Awards pursuant to this Article 10 may be automatically made pursuant to policy adopted by the Board or made from time to time as determined in the discretion of the Board. No Non-Employee Director may be granted Awards pursuant to this Article 10 in any calendar year with a grant date fair value (determined in accordance with U.S. generally accepted accounting principles) of more than $1,000,000. The limitation in the preceding sentence of this Section 10.1 shall be multiplied by two (2) with respect to Awards granted to a Non-Employee Director during the first calendar year in which the Non-Employee Director provides services as a Non-Employee Director. 

 

10.2Eligibility. Awards pursuant to this Article 10 will be granted only to Non-Employee Directors. A Non-Employee Director who is elected or re-elected as a member of the Board will be eligible to receive an Award under this Article 10. 

 

10.3Vesting, Exercisability and Settlement. Except as set forth in Article 12, Awards will vest, become exercisable and be settled as determined by the Board. With respect to Options and SARs, the exercise price granted to Non-Employee Directors will not be less than the Fair Market Value of the Shares at the time that such Option or SAR is granted. 

 

10.4Election to receive Awards in Lieu of Cash. A Non-Employee Director may elect to receive his or her annual retainer payments and/or meeting fees from the Company in the form of cash or Awards or a combination thereof, as determined by the Committee. Such Awards will be issued under the Plan. An election under this Section 10.4 will be filed with the Company on the form prescribed by the Company. 

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ARTICLE 11

 

ADMINISTRATION OF THE PLAN

 

11.1Committee Composition; Authority. This Plan will be administered by the Committee or by the Board acting as the Committee. Subject to the general purposes, terms and conditions of this Plan, and to the direction of the Board, the Committee will have full power to implement and carry out this Plan, except, however, the Board will establish the terms for the grant of an Award to Non-Employee Directors. The Committee will have the authority to: (a) construe and interpret this Plan, any Award Agreement and any other agreement or document executed pursuant to this Plan; (b) prescribe, amend and rescind rules and regulations relating to this Plan or any Award; (c) select persons to receive Awards; (d) determine the form and terms and conditions, not inconsistent with the terms of the Plan, of any Award granted hereunder, including the exercise price, the time or times when Awards may vest and be exercised (which may be based on performance criteria) or settled, any vesting acceleration or waiver of forfeiture restrictions, the method to satisfy tax withholding obligations or any other tax liability legally due and any restriction or limitation regarding any Award or the Shares relating thereto, based in each case on such factors as the Committee will determine; (e) determine the number of Shares or other consideration subject to Awards; (f) determine the Fair Market Value in good faith and interpret the applicable provisions of this Plan and the definition of Fair Market Value in connection with circumstances that impact the Fair Market Value, if necessary; (g) determine whether Awards will be granted singly, in combination with, in tandem with, in replacement of or as alternatives to other Awards under this Plan or any other incentive or compensation plan of the Company or any Parent or Subsidiary of the Company; (h) grant waivers of Plan or Award conditions; (i) determine the vesting, exercisability and payment of Awards; (j) correct any defect, supply any omission or reconcile any inconsistency in this Plan, any Award or any Award Agreement; (k) determine whether an Award has been earned; (l) reduce or waive any criteria with respect to Performance Factors (subject to any applicable requirements or limitations under Section 162(m) of the Code); (m) adjust Performance Factors in accordance with Section 11.3 with respect to persons whose compensation is subject to Section 162(m) of the Code; (n) adopt terms and conditions, rules and procedures (including the adoption of any sub-plan under this Plan) relating to the operation and administration of the Plan to accommodate requirements of local law and procedures outside of the United States; (o) make all other determinations necessary or advisable for the administration of this Plan and (p) delegate any of the foregoing to a subcommittee consisting of one or more executive officers pursuant to a specific delegation as permitted by applicable law, including Section 157(c) of the Delaware General Corporation Law. 

 

11.2Committee Interpretation and Discretion. Any determination made by the Committee with respect to any Award will be made in its sole discretion at the time of grant of the Award or, unless in contravention of any express term of the Plan or Award, at any later time, and such determination will be final and binding on the Company and all persons having an interest in any Award under the Plan. Any dispute regarding the interpretation of the Plan or any Award Agreement will be submitted by the Participant or Company to the Committee for review. The resolution of such a dispute by the Committee will be final and binding on the Company and the Participant. The Committee may delegate to one or more executive officers the authority to review and resolve disputes with respect to Awards held by Participants who are not Insiders, and such resolution will be final and binding on the Company and the Participant. 

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11.3Section 162(m) of the Code and Section 16 of the Exchange Act. When necessary or desirable for an Award to qualify as “performance-based compensation” under Section 162(m) of the Code the Committee will include at least two persons who are “outside directors” (as defined under Section 162(m) of the Code) and at least two of such “outside directors” (or a majority if more than two “outside directors” then serve on the Committee) will approve the grant of such Award and timely determine (as applicable) the Performance Period and any Performance Factors upon which vesting or settlement of any portion of such Award is to be subject. If the Committee determines that an Award (other than an Option or SAR) is intended to qualify as “performance-based compensation” under Section 162(m) of the Code, the lapsing of restrictions thereon and the distribution of cash, Shares or other property pursuant thereto, as applicable, shall be subject to the achievement of one or more objective performance goals established by the Committee, which shall be based on the attainment of specified levels of one or any combination of the Performance Factors. Such performance goals (and any exclusions) shall (a) be set by the Committee prior to the earlier of 90 days after the commencement of the applicable Performance Period and the expiration of 25% of the Performance Period and (b) otherwise comply with the requirements of Section 162(m) of the Code and the regulations thereunder. When required by Section 162(m) of the Code, prior to settlement of any such Award at least two (or a majority if more than two then serve on the Committee) of such “outside directors” then serving on the Committee will determine and certify in writing the extent to which such Performance Factors have been timely achieved and the extent to which the Award has thereby been earned, and the Committee may adjust downwards, but not upwards, the amount payable pursuant to such Award. Awards granted to Participants who are subject to Section 16 of the Exchange Act must be approved by two or more “non-employee directors” (as defined in the regulations promulgated under Section 16 of the Exchange Act). With respect to Participants whose compensation is subject to Section 162(m) of the Code, the Committee may specify, in its sole discretion, at the time of the initial grant of the Award, the manner of adjustment of any Performance Factors upon which vesting or settlement of any portion of such Award is to be subject to the extent necessary to prevent dilution or enlargement of any Award as a result of extraordinary events or circumstances, as determined by the Committee, or to exclude the effects of an event or occurrence which the Committee determines should appropriately be excluded, including: extraordinary, unusual, infrequent, or non-recurring items; an event either not directly related to the operations of the Company or not within the reasonable control of the Company’s management; changes in applicable laws, regulations or accounting principles or standards; currency fluctuations; discontinued operations; non-cash items, such as amortization, depreciation, or reserves; asset impairment; or any recapitalization, restructuring, reorganization, merger, acquisition, divestiture, consolidation, spin-off, split-up, combination, liquidation, dissolution, sale of assets, or other similar corporate transaction, but only to the extent such adjustments would be permitted under Section 162(m) of the Code. 

 

11.4Documentation. The Award Agreement for a given Award, the Plan and any other documents may be delivered to, and accepted by, a Participant or any other person in any manner (including electronic distribution or posting) that meets applicable legal requirements. 

 

11.5Foreign Award Recipients. Notwithstanding any provision of the Plan to the contrary, in order to comply with the laws and practices in other countries in which the Company and its Subsidiaries operate or have employees or other individuals eligible for Awards, the Committee, in its sole discretion, will have the power and authority to: (a) determine which Subsidiaries and Affiliates will be covered by the Plan; (b) determine which individuals outside the United States are eligible to participate in the Plan, which may include individuals who provide services to the Company, Subsidiary or Affiliate under an agreement with a foreign nation or agency; (c) modify the terms and conditions of any Award granted to individuals outside the United States or foreign nationals to comply with applicable foreign laws, policies, customs and practices; (d) establish sub-plans and modify exercise procedures and other terms and procedures, to the extent the Committee determines such actions to be necessary or advisable (and such sub-plans and/or modifications will be attached to this Plan as appendices); provided, however, that no such sub-plans and/or modifications will increase the share limitations contained in Section 3.4 hereof and (e) take any action, before or after an Award is made, that the Committee determines to be necessary or advisable to obtain approval or comply with any local governmental regulatory exemptions or approvals. Notwithstanding the foregoing, the Committee may not take any actions hereunder, and no Awards will be granted, that would violate the Exchange Act or any other applicable United States securities law, the Code or any other applicable United States governing statute or law. 

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ARTICLE 12

 

CORPORATE TRANSACTIONS

 

12.1Assumption or Replacement of Awards by Successor. In the event of a Corporate Transaction, any or all outstanding Awards may be assumed or replaced by the successor corporation, which assumption or replacement will be binding on all Participants. In the alternative, the successor corporation may substitute equivalent Awards or provide substantially similar consideration to Participants as was provided to stockholders (after taking into account the existing provisions of the Awards). The successor corporation may also issue, in place of outstanding Shares of the Company held by the Participant, substantially similar shares or other property subject to repurchase restrictions no less favorable to the Participant. In the event such successor or acquiring corporation (if any) refuses to assume, convert, replace or substitute Awards, as provided above, pursuant to a Corporate Transaction, then notwithstanding any other provision in this Plan to the contrary, such Awards will have their vesting accelerate as to all shares subject to such Award (and any applicable right of repurchase fully lapse) immediately prior to the Corporate Transaction. In addition, in the event such successor or acquiring corporation (if any) refuses to assume, convert, replace or substitute Awards, as provided above, pursuant to a Corporate Transaction, the Committee will notify the Participants in writing or electronically that such Award will be exercisable for a period of time determined by the Committee in its sole discretion, and such Award will terminate upon the expiration of such period. Awards need not be treated similarly in a Corporate Transaction. 

 

12.2Assumption of Awards by the Company. The Company, from time to time, also may substitute or assume outstanding awards granted by another company, whether in connection with an acquisition of such other company or otherwise, by either; (a) granting an Award under this Plan in substitution of such other company’s award or (b) assuming such award as if it had been granted under this Plan if the terms of such assumed award could be applied to an Award granted under this Plan (“Substitute Awards”). Such substitution or assumption will be permissible if the holder of the substituted or assumed award would have been eligible to be granted an Award under this Plan if the other company had applied the rules of this Plan to such grant. In the event the Company assumes an award granted by another company, the terms and conditions of such award will remain unchanged (except that the Purchase Price or the Exercise Price, as the case may be, and the number and nature of Shares issuable upon exercise or settlement of any such Award will be adjusted appropriately pursuant to Section 424(a) of the Code). In the event the Company elects to grant a new Option in substitution rather than assuming an existing option, such new Option may be granted with a similarly adjusted Exercise Price. Substitute Awards shall not reduce the Shares authorized for grant under the Plan or the limitations on grants to a Participant under Section 3.4, nor shall Shares subject to a Substitute Award be added to the Shares available for Awards under the Plan. Additionally, in the event that a company acquired by the Company or any Subsidiary or with which the Company or any Subsidiary combines has shares available under a pre-existing plan approved by stockholders and not adopted in contemplation of such acquisition or combination, the shares available for grant pursuant to the terms of such pre-existing plan (as adjusted, to the extent appropriate, using the exchange ratio or other adjustment or valuation ratio or formula used in such acquisition or combination to determine the consideration payable to the holders of common stock of the entities party to such acquisition or combination) may be used for Awards under the Plan and shall not reduce the Shares authorized for grant under the Plan (and Shares subject to such Awards shall not be added to the Shares available for Awards under the Plan); provided that Awards using such available shares shall not be made after the date awards or grants could have been made under the terms of the pre-existing plan, absent the acquisition or combination, and shall only be made to individuals who were not Employees or Directors prior to such acquisition or combination. 

 

12.3Non-Employee Directors’ Awards. Notwithstanding any provision to the contrary herein, in the event of a Corporate Transaction, the vesting of all Awards granted to Non-Employee Directors will accelerate and such Awards will become exercisable (as applicable) in full prior to the consummation of such event at such times and on such conditions as the Committee determines. 

 

ARTICLE 13

 

MISCELLANEOUS

 

13.1Payment For Share Purchases. Payment from a Participant for Shares purchased pursuant to this Plan may be made in cash or by check or, where expressly approved for the Participant by the Committee and where permitted by law (and to the extent not otherwise set forth in the applicable Award Agreement): (a) by cancellation of indebtedness of the Company to the Participant; (b) by surrender of shares of the Company held by the Participant that have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which said Award will be exercised or settled; (c) by waiver of compensation due or accrued to the Participant for services rendered or to be rendered to the Company or a Parent or Subsidiary of the Company; (d) by consideration received by the Company pursuant to a broker-assisted or other form of cashless exercise program implemented by the Company in connection with the Plan; (e) by any combination of the foregoing or (f) by any other method of payment as is permitted by applicable law. 

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13.2Withholding Taxes. Whenever Shares are to be issued in satisfaction of Awards granted under this Plan or the applicable tax event occurs, the Company may require the Participant to remit to the Company or to the Parent or Subsidiary employing the Participant an amount sufficient to satisfy applicable U.S. federal, state, local and international withholding tax requirements or any other tax or social insurance liability legally due from the Participant prior to the delivery of Shares pursuant to exercise or settlement of any Award. Whenever payments in satisfaction of Awards granted under this Plan are to be made in cash, such payment will be net of an amount sufficient to satisfy applicable U.S. federal, state, local and international withholding tax or social insurance requirements or any other tax liability legally due from the Participant. The Fair Market Value of the Shares will be determined as of the date that the taxes are required to be withheld and such Shares will be valued based on the value of the actual trade or, if there is none, the Fair Market Value of the Shares as of the previous trading day. The Committee, or its delegate(s), as permitted by applicable law, in its sole discretion and pursuant to such procedures as it may specify from time to time and to limitations of local law, may require or permit a Participant to satisfy such tax withholding obligation or any other tax liability legally due from the Participant, in whole or in part by paying cash, electing to have the Company withhold otherwise deliverable cash or Shares having a Fair Market Value equal to the minimum statutory amount required to be withheld (or such other amount that will not cause an adverse accounting consequence or cost), delivering to the Company already-owned Shares having a Fair Market Value equal to the minimum amount required to be withheld or withholding from the proceeds of the sale of otherwise deliverable Shares acquired pursuant to an Award either through a voluntary sale or through a mandatory sale arranged by the Company. 

 

13.3Transferability. Unless determined otherwise by the Committee, an Award may not be sold, pledged, assigned, hypothecated, transferred or disposed of in any manner other than by will or by the laws of descent or distribution. If the Committee makes an Award transferable, including by instrument to an inter vivos or testamentary trust in which the Awards are to be passed to beneficiaries upon the death of the trustor (settlor) or by gift or by domestic relations order to a Permitted Transferee, such Award will contain such additional terms and conditions as the Committee deems appropriate. All Awards will be exercisable: (a) during the Participant’s lifetime only by (i) the Participant or (ii) the Participant’s guardian or legal representative; (b) after the Participant’s death, by the legal representative of the Participant’s heirs or legatees and (c) in the case of all awards except ISOs, by a Permitted Transferee. 

 

13.4Voting and Dividends. No Participant will have any of the rights of a stockholder with respect to any Shares until the Shares are issued to the Participant, except for any Dividend Equivalent Rights permitted by an applicable Award Agreement. Any Dividend Equivalent Rights will be subject to the same vesting or performance conditions as the underlying Award. In addition, the Committee may provide that any Dividend Equivalent Rights permitted by an applicable Award Agreement will be deemed to have been reinvested in additional Shares or otherwise reinvested. After Shares are issued to the Participant, the Participant will be a stockholder and have all the rights of a stockholder with respect to such Shares, including the right to vote and receive all dividends or other distributions made or paid with respect to such Shares; provided, that if such Shares are Restricted Stock, then any new, additional or different securities the Participant may become entitled to receive with respect to such Shares by virtue of a stock dividend, stock split or any other change in the corporate or capital structure of the Company will be subject to the same restrictions as the Restricted Stock; provided, further, that the Participant will have no right to retain such stock dividends or stock distributions with respect to Shares that are repurchased at the Participant’s Purchase Price or Exercise Price, as the case may be, pursuant to Section 13.5. 

 

13.5Restrictions on Shares. At the discretion of the Committee, the Company may reserve to itself and/or its assignee(s) a right to repurchase (a “Right of Repurchase”) a portion of any or all Unvested Shares held by a Participant following such Participant’s termination of Service at any time within ninety (90) days (or such longer or shorter time determined by the Committee) after the later of the date Participant’s Service terminates and the date the Participant purchases Shares under this Plan, for cash and/or cancellation of purchase money indebtedness, at the Participant’s Purchase Price or Exercise Price, as the case may be. Dividend Equivalent Rights will not be granted in connection with any Options or SARs. 

 

13.6Certificates. All Shares or other securities whether or not certificated, delivered under this Plan will be subject to such stock transfer orders, legends and other restrictions as the Committee may deem necessary or advisable, including restrictions under any applicable U.S. federal, state or foreign securities law or any rules, regulations and other requirements of the SEC or any stock exchange or automated quotation system upon which the Shares may be listed or quoted and any non-U.S. exchange controls or securities law restrictions to which the Shares are subject. 

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13.7Escrow; Pledge of Shares. To enforce any restrictions on a Participant’s Shares, the Committee may require the Participant to deposit all certificates representing Shares, together with stock powers or other instruments of transfer approved by the Committee, appropriately endorsed in blank, with the Company or an agent designated by the Company to hold in escrow until such restrictions have lapsed or terminated, and the Committee may cause a legend or legends referencing such restrictions to be placed on the certificates. Any Participant who is permitted to execute a promissory note as partial or full consideration for the purchase of Shares under this Plan will be required to pledge and deposit with the Company all or part of the Shares so purchased as collateral to secure the payment of the Participant’s obligation to the Company under the promissory note; provided, however, that the Committee may require or accept other or additional forms of collateral to secure the payment of such obligation and, in any event, the Company will have full recourse against the Participant under the promissory note notwithstanding any pledge of the Participant’s Shares or other collateral. In connection with any pledge of the Shares, the Participant will be required to execute and deliver a written pledge agreement in such form as the Committee will from time to time approve. The Shares purchased with the promissory note may be released from the pledge on a pro rata basis as the promissory note is paid. 

 

13.8Repricing Prohibited. Other than pursuant to Section 3.5, the Committee will not (a) amend the terms of outstanding Options or SARs to reduce the Exercise Price of outstanding Options or SARs; (b) cancel outstanding Options or SARs when the Exercise Price per Share exceeds the Fair Market Value of one Share in exchange for cash or another Award (other than in connection with a Corporate Transaction); or (c) take any other action with respect to an Option or SAR that would be treated as a repricing under the rules and regulations of the principal U.S. national securities exchange on which the Shares are listed, in any case without prior stockholder approval. 

 

13.9Deferrals. The Committee may determine that the delivery of Shares, payment of cash or a combination thereof upon the exercise, vesting or settlement of all or a portion of any Award may be deferred and may establish programs and procedures for deferral elections to be made by Participants. Deferrals by Participants will be made only in accordance with Section 409A of the Code. Consistent with Section 409A of the Code, the Committee may provide for distributions while a Participant is providing Services to the Company or any Parent or Subsidiary. 

 

13.10Securities Law and Other Regulatory Compliance. An Award will not be effective unless such Award is in compliance with all applicable U.S. and foreign federal and state securities and exchange control laws, rules and regulations of any governmental body, and the requirements of any stock exchange or automated quotation system upon which the Shares may then be listed or quoted, as they are in effect on the date of grant of the Award and also on the date of exercise or other issuance. Notwithstanding any other provision in this Plan, the Company will have no obligation to issue or deliver certificates for Shares under this Plan prior to: (a) obtaining any approvals from governmental agencies that the Company determines are necessary or advisable and (b) completion of any registration or other qualification of such Shares under any state or federal or foreign law or ruling of any governmental body that the Company determines to be necessary or advisable. The Company will be under no obligation to register the Shares with the SEC or to effect compliance with the registration, qualification or listing requirements of any foreign or state securities laws, exchange control laws, stock exchange or automated quotation system, and the Company will have no liability for any inability or failure to do so. 

 

13.11No Obligation To Employ. Nothing in this Plan or any Award granted under this Plan will confer or be deemed to confer on any Participant any right to continue in the employ of or to continue any other relationship with the Company or any Parent, Subsidiary or Affiliate or limit in any way the right of the Company or any Parent, Subsidiary or Affiliate to terminate Participant’s employment or other relationship at any time. 

 

13.12Adoption and Stockholder Approval. This Plan was submitted for the approval of the Company’s stockholders, consistent with applicable laws, within twelve (12) months after the date this Plan is adopted by the Board, and such approval was obtained on October 30, 2015. 

 

13.13Term of Plan; Governing Law. Unless earlier terminated as provided herein, this Plan will become effective on the Effective Date and will terminate on August 18, 2025, which is ten (10) years from the date this Plan is adopted by the Board. This Plan and all Awards granted hereunder will be governed by and construed in accordance with the laws of the State of Delaware (excluding its conflict of law rules). 

 

13.14Amendment or Termination of Plan. The Board may at any time terminate or amend this Plan in any respect, including amendment of any form of Award Agreement or instrument to be executed pursuant to this Plan; provided, however, that the Board will not, without the approval of the stockholders of the Company, amend this Plan in any manner that requires such stockholder approval or amend Section 13.8; provided further, that a Participant’s Award will be governed by the version of this Plan then in effect at the time such Award was granted. 

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13.15Nonexclusivity of the Plan. Neither the adoption of this Plan by the Board, the submission of this Plan to the stockholders of the Company for approval, nor any provision of this Plan will be construed as creating any limitations on the power of the Board to adopt such additional compensation arrangements as it may deem desirable, including the granting of stock awards and bonuses otherwise than under this Plan, and such arrangements may be either generally applicable or applicable only in specific cases. 

 

13.16Insider Trading Policy. Each Participant who receives an Award will comply with any policy adopted by the Company from time to time covering transactions in the Company’s securities by Employees, officers and/or directors of the Company. 

 

13.17All Awards Subject to Company Clawback or Recoupment Policy. All Awards, subject to applicable law, will be subject to clawback or recoupment pursuant to any compensation clawback or recoupment policy adopted by the Board or required by law during the term of Participant’s employment or other service with the Company that is applicable to executive officers, employees, directors or other service providers of the Company, and in addition to any other remedies available under such policy and applicable law, may require the cancellation of outstanding Awards and the recoupment of any gains realized with respect to Awards. 

 

13.18Compliance with Section 409A of the Code. This Plan is intended to comply and shall be administered in a manner that is intended to comply with Section 409A of the Code and shall be construed and interpreted in accordance with such intent. To the extent that an Award or the payment, settlement or deferral thereof is subject to Section 409A of the Code, the Award shall be granted, paid, settled or deferred in a manner that will comply with Section 409A of the Code, including regulations or other guidance issued with respect thereto, except as otherwise determined by the Committee. Any provision of this Plan that would cause the grant of an Award or the payment, settlement or deferral thereof to fail to satisfy Section 409A of the Code shall be amended to comply with Section 409A of the Code on a timely basis, which may be made on a retroactive basis, in accordance with regulations and other guidance issued under Section 409A of the Code. Notwithstanding any contrary provision in the Plan or any Award Agreement, any payment(s) of “nonqualified deferred compensation” (within the meaning of Section 409A) that are otherwise required to be made under the Plan or any Award Agreement to a “specified employee” (as defined under Section 409A) as a result of his or her “separation from service” (as defined below) (other than a payment that is not subject to Section 409A) shall be delayed for the first six (6) months following such “separation from service” and shall instead be paid (in a manner set forth in the Award Agreement) on the payment date that immediately follows the end of such six-month period (or, if earlier, within 10 business days following the date of death of the specified employee) or as soon as administratively practicable within 60 days thereafter, but in no event later than the end of the applicable taxable year. A termination of employment shall not be deemed to have occurred for purposes of any provision of the Plan or any Award Agreement providing for the payment of any amounts or benefits that are considered nonqualified deferred compensation under Section 409A upon or following a termination of employment, unless such termination is also a “separation from service” within the meaning of Section 409A and the payment thereof prior to a “separation from service” would violate Section 409A. For purposes of any such provision of the Plan or any Award Agreement relating to any such payments or benefits, references to a “termination,” “termination of employment,” “termination of continuous Service” or like terms shall mean “separation from service.” 

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