(b) if the undersigned is a Named Executive Officer, commencing on the first anniversary of the Closing Date, the undersigned may Transfer or Encumber his, her or its vested Existing Interests as follows:
(1) on or after the first anniversary of the Closing Date, the undersigned may Transfer or Encumber one-third of his, her or its vested Existing Interests;
(2) on or after the second anniversary of the Closing Date, the undersigned may Transfer or Encumber an additional one-third of his, her or its vested Existing Interests; and
(3) on or after the third anniversary of the Closing Date, the undersigned may Transfer or Encumber all of his, her or its vested Existing Interests;
(c) if the undersigned experiences a termination of employment with the Company and its affiliates the undersigned may Transfer or Encumber all of his, her or its vested Existing Interests;
(d) notwithstanding the restrictions contained in this Letter Agreement, the undersigned may Transfer his, her or its Restricted Interests to a Qualified Living Trust; provided that if the trust ceases to be a Qualified Living Trust at any time when it is the record owner of the Restricted Interests, the undersigned promptly shall Transfer all of the Restricted Interests from the trust back to the undersigned; and
(e) notwithstanding the restrictions contained in this Letter Agreement, if the Board of Directors so authorizes, in its sole discretion, the undersigned may Transfer his, her or its Restricted Interests either to the Company or pursuant to a broker-assisted sale, in either case, in order to satisfy applicable tax withholding obligations that arise with respect to the vesting of such Restricted Interests, provided that, in each case, that such Transfer is permitted pursuant to the terms and conditions of the applicable equity incentive plan, any award agreement and any Company insider trading or other applicable policy.
For purposes of this Letter Agreement, the following terms shall be defined as follows:
“Named Executive Officer” means Robert Morse, Jonathan Slager, Dean Allara, Adam O’Farrell and Chad Briggs.
“Qualified Living Trust” means a revocable living trust established by the undersigned pursuant to which: (a) the undersigned is and remains the sole trustee of the living trust (unless the undersigned ceases to be the sole trustee as a result of his or her death or disability), (b) the trustee of the living trust agrees in writing to be bound by this Letter Agreement, (c) the governing documents for the living trust provide that they are in all regards subject to the terms and conditions of this Letter Agreement, and (d) any distribution of Restricted Interests from the living trust shall only be to the undersigned. In addition, in order for a living trust to be a “Qualified Living Trust,” the governing documents for the living trust must have been submitted to the Company for review and approval, and the Company must have agreed in writing that such trust governing documents include terms that provide for the foregoing and do not contain any terms inconsistent with the foregoing.
“Stockholders’ Agreement” means the Stockholders’ Agreement, by and between the Company the other parties named therein, as amended from time to time.
The transfer restrictions set forth in this Letter Agreement are in addition to any restrictions that may apply to the undersigned under any applicable agreement, law or regulation, or under the employee trading, black-out, window period or other policies of the Company and/or its affiliates that may apply to the undersigned from time to time.
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