•] Shares NEUSTAR, INC. CLASS A COMMON STOCK, $0.001 PAR VALUE PER SHARE UNDERWRITING AGREEMENT
Exhibit 1.1
[•] Shares
NEUSTAR, INC.
CLASS A COMMON STOCK, $0.001 PAR VALUE PER SHARE
UNDERWRITING AGREEMENT
December , 2005
X.X. Xxxxxx Securities Inc. | ||
Credit Suisse First Boston LLC | ||
Banc of America Securities LLC | ||
As representatives (the “Managers”) of the several Underwriters | ||
c/o
|
X.X. Xxxxxx Securities Inc. 000 Xxxx Xxxxxx Xxx Xxxx, Xxx Xxxx 00000 |
Dear Sirs and Mesdames:
Certain stockholders (the “Selling Shareholders”) of NeuStar, Inc., a Delaware corporation
(the “Company”), named in Schedule I hereto severally propose to sell to the several Underwriters
named in Schedule II hereto (the “Underwriters”), an aggregate of [•] shares (the “Firm Shares”) of
the Class A Common Stock, $0.001 par value per share, of the Company, each Selling Shareholder
selling the amount set forth opposite such Selling Shareholder’s name in Schedule I hereto.
The Selling Shareholders also propose to sell to the several Underwriters not more than an
additional [•] shares in the aggregate (the “Additional Shares”) of the Company’s Class A Common
Stock, $0.001 par value per share, each Selling Shareholder selling up to the amount set forth
opposite such Selling Shareholder’s name in Schedule I hereto, if and to the extent that you, as
Managers of the offering, shall have determined to exercise, on behalf of the Underwriters, the
right to purchase such shares of Class A Common Stock granted to the Underwriters in Section 3
hereof. The Firm Shares and the Additional Shares are hereinafter collectively referred to as the
“Shares.” The shares of Class A common stock, $0.001 par value per share, of the Company to be
outstanding after giving effect to the sales contemplated hereby are hereinafter referred to as the
“Common Stock.”
The Company has filed with the Securities and Exchange Commission (the “Commission”) a
registration statement, including a prospectus, relating to
the Shares. The registration statement as amended at the time it becomes effective, including
the information (if any) deemed to be part of the registration statement at the time of
effectiveness pursuant to Rule 430A under the Securities Act of 1933, as amended (the “Securities
Act”), is hereinafter referred to as the “Registration Statement”; the prospectus in the form first
used to confirm sales of Shares (or in the form first made available to the Underwriters by the
Company to meet requests of purchasers pursuant to Rule 173 under the Securities Act) is
hereinafter referred to as the “Prospectus.” If the Company has filed an abbreviated registration
statement to register additional shares of Common Stock pursuant to Rule 462(b) under the
Securities Act (the “Rule 462 Registration Statement”), then any reference herein to the term
“Registration Statement” shall be deemed to include such Rule 462 Registration Statement. For
purposes of this Agreement, “Time of Sale” means [ ] p.m., New York City time, on the date of
this Agreement. At or prior to the Time of Sale, the Company had prepared the following
information: a preliminary prospectus dated November 23, 2005 (the “Preliminary Prospectus”), and
each “free-writing prospectus” (as defined pursuant to Rule 405 under the Securities Act) listed on
Schedule V hereto (the Preliminary Prospectus and each free-writing prospectus listed on Schedule V
hereto, together with the information described in the following sentence, the “Time of Sale
Information”). In addition, the Underwriters have or will orally provide the pricing information
set forth on Schedule V hereto to prospective purchasers prior to confirming sales. If, subsequent
to the date of this Agreement, the Company and the Managers have determined that such Time of Sale
Information included an untrue statement of a material fact or omitted a statement of material fact
necessary to make the statements therein, in the light of the circumstances under which they were
made, not misleading and have agreed to provide an opportunity to purchasers of the Shares to
terminate their old purchase contracts and enter into new purchase contracts, then “Time of Sale
Information” will refer to the information available to purchasers at the time of entry into the
first such new purchase contract.
1. Representations and Warranties of the Company. The Company represents and warrants to and
agrees with each of the Underwriters that:
(a) The Registration Statement has become effective; no stop order suspending the
effectiveness of the Registration Statement is in effect and no proceedings for such purpose are
pending before or, to the Company’s knowledge, threatened by the Commission.
(b) (i) The Registration Statement, when it became effective, did not contain and, as amended
or supplemented, if applicable, will not, as of the date of such amendment or supplement, as
applicable, contain any untrue statement of a material fact or omit to state a material fact
required to be stated therein or necessary to make the statements therein not misleading, (ii) the
Registration Statement and the Prospectus comply and, as amended or supplemented, if applicable,
will comply in all material respects with the Securities Act and the applicable rules and
regulations of the Commission thereunder and (iii) the
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Prospectus does not contain and, as amended or supplemented, if applicable, will not, as of
the date of such amendment or supplement, as applicable, contain any untrue statement of a material
fact or omit to state a material fact necessary to make the statements therein, in the light of the
circumstances under which they were made, not misleading, except that the representations and
warranties set forth in this paragraph do not apply to statements or omissions in the Registration
Statement or the Prospectus based upon information relating to any Underwriter furnished to the
Company in writing by such Underwriter through you expressly for use therein.
(c) The Time of Sale Information, at the Time of Sale did not, and at the Closing Date will
not, contain any untrue statement of a material fact or omit to state a material fact necessary to
make the statements therein, in the light of the circumstances under which they were made, not
misleading, except that the representations and warranties set forth in this paragraph do not apply
to statements or omissions in the Time of Sale Information based upon information relating to any
Underwriter furnished to the Company in writing by such Underwriter through you expressly for use
therein. No statement of material fact included in the Prospectus has been omitted from the Time
of Sale Information and no statement of material fact included in the Time of Sale Information that
is required to be included in the Prospectus has been omitted therefrom.
(d) Other than the Preliminary Prospectus and the Prospectus, the Company (including its
agents and representatives, other than the Underwriters in their capacity as such) has not used or
referred to or authorized any other person to use or refer to, and will not use or refer to or
authorize any other person to use or refer to, any “written communication” (as defined in Rule 405
under the Securities Act) that constitutes an offer to sell or solicitation of an offer to buy the
Shares (each such communication by the Company or its agents and representatives (other than a
communication referred to in clause (i) below) an “Issuer Free Writing Prospectus”) other than (i)
any document not constituting a prospectus pursuant to Section 2(a)(10)(a) of the Securities Act or
Rule 134 under the Securities Act or (ii) the documents listed on Schedule V hereto and other
written communications approved in writing in advance by the Managers. Each such Issuer Free
Writing Prospectus complied in all material respects with the Securities Act, has been filed in
accordance with the Securities Act (to the extent required thereby) and, when taken together with
the Preliminary Prospectus accompanying, or delivered prior to delivery of, such Issuer Free
Writing Prospectus, did not, and at the Closing Date will not, contain any untrue statement of a
material fact or omit to state a material fact necessary to make the statements therein, in the
light of the circumstances under which they were made, not misleading, except that the
representations and warranties set forth in this paragraph do not apply to statements or omissions
made in each such Issuer Free Writing Prospectus based upon information relating to any Underwriter
furnished to the Company in writing by such Underwriter through you expressly for use in any Issuer
Free Writing Prospectus.
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(e) The Company has been duly incorporated, is validly existing as a corporation in good
standing under the laws of the State of Delaware, has the corporate power and authority to own its
property and to conduct its business as described in each of the Time of Sale Information and the
Prospectus and is duly qualified to transact business and is in good standing in each jurisdiction
in which the conduct of its business or its ownership or leasing of property requires such
qualification, except to the extent that the failure to be so qualified or be in good standing
would not have a material adverse effect on the Company and its subsidiaries, taken as a whole, and
each such jurisdiction is set forth on Schedule III hereto.
(f) Each subsidiary of the Company has been duly incorporated, is validly existing as a
corporation in good standing under the laws of the jurisdiction of its incorporation, has the
corporate power and authority to own its property and to conduct its business as described in each
of the Time of Sale Information and the Prospectus and is duly qualified to transact business and
is in good standing in each jurisdiction in which the conduct of its business or its ownership or
leasing of property requires such qualification, except to the extent that the failure to be so
qualified or be in good standing would not have a material adverse effect on the Company and its
subsidiaries, taken as a whole, and each such jurisdiction is set forth on Schedule III hereto; all
of the issued shares of capital stock of each subsidiary of the Company have been duly and validly
authorized and issued, are fully paid and non-assessable and are owned directly or indirectly by
the Company, free and clear of all liens, encumbrances, equities or claims, except that Melbourne
IT Limited owns 10% of the outstanding shares of common stock of NeuLevel, Inc.
(g) This Agreement has been duly authorized, executed and delivered by the Company.
(h) The authorized capital stock of the Company conforms as to legal matters to the
description thereof contained in each of the Time of Sale Information and the Prospectus.
(i) All of the issued shares of capital stock of the Company outstanding have been duly
authorized and are validly issued, fully paid and non-assessable; the shares of Common Stock have
been duly authorized and will be validly issued, fully paid and non-assessable on the Closing Date.
(j) The execution and delivery by the Company of, and the performance by the Company of its
obligations under, this Agreement will not contravene any provision of (i) applicable law, (ii) the
certificate of incorporation or bylaws of the Company, (iii) any agreement or other instrument
binding upon the Company or any of its subsidiaries or (iv) any judgment, order or decree of any
governmental body, agency or court having jurisdiction over the Company or any of its subsidiaries,
except, in the case of clauses (i), (iii) or (iv), where such contravention would not have a
material adverse effect on the Company and its
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subsidiaries, taken as a whole, and no consent, approval, authorization or order of, or
qualification with, any governmental body or agency is required to be obtained by the Company for
the performance of its obligations under this Agreement, except such as may be required by the
securities or Blue Sky laws of the various states in connection with the offer and sale of the
Shares or as have been obtained.
(k) There has not occurred any material adverse change, or any development involving a
prospective material adverse change, in the condition, financial or otherwise, or in the earnings,
business or operations of the Company and its subsidiaries, taken as a whole, from that set forth
in each of the Time of Sale Information and the Prospectus.
(l) There are no legal or governmental proceedings pending or threatened to which the Company
or any of its subsidiaries is a party or to which any of the properties of the Company or any of
its subsidiaries is subject that are required to be described in the Registration Statement or the
Prospectus and are not so described or any statutes, regulations, contracts or other documents that
are required to be described in the Registration Statement or the Prospectus or to be filed as
exhibits to the Registration Statement that are not described or filed as required.
(m) Each preliminary prospectus filed as part of the registration statement as originally
filed or as part of any amendment thereto, or filed pursuant to Rule 424 under the Securities Act,
and delivered by the Underwriters to prospective purchasers of the Shares complied when so filed in
all material respects with the Securities Act and the applicable rules and regulations of the
Commission thereunder.
(n) The Company is not, and after giving effect to the offering and sale of the Shares will
not be, required to register as an “investment company” as such term is defined in the Investment
Company Act of 1940, as amended.
(o) The Company and its subsidiaries (i) are in compliance with any and all applicable
foreign, federal, state and local laws and regulations relating to the protection of human health
and safety, the environment or hazardous or toxic substances or wastes, pollutants or contaminants
(“Environmental Laws”), (ii) have received all permits, licenses or other approvals required of
them under applicable Environmental Laws to conduct their respective businesses and (iii) are in
compliance with all terms and conditions of any such permit, license or approval, except where such
noncompliance with Environmental Laws, failure to receive required permits, licenses or other
approvals or failure to comply with the terms and conditions of such permits, licenses or approvals
would not, singly or in the aggregate, reasonably be expected to have a material adverse effect on
the Company and its subsidiaries, taken as a whole.
(p) There are no costs or liabilities associated with Environmental Laws (including, without
limitation, any capital or operating expenditures
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required for clean-up, closure of properties or compliance with Environmental Laws or any
permit, license or approval, any related constraints on operating activities and any potential
liabilities to third parties) which would, singly or in the aggregate, reasonably be expected to
have a material adverse effect on the Company and its subsidiaries, taken as a whole.
(q) Except as disclosed in each of the Time of Sale Information and the Prospectus, there are
no contracts, agreements or understandings between the Company and any person granting such person
the right to require the Company to file a registration statement under the Securities Act with
respect to any securities of the Company or to require the Company to include such securities with
the Shares registered pursuant to the Registration Statement.
(r) Subsequent to the respective dates as of which information is given in each of the
Registration Statement, the Time of Sale Information and the Prospectus, (i) the Company and its
subsidiaries have not incurred any material liability or obligation, direct or contingent, nor
entered into any material transaction not in the ordinary course of business; (ii) the Company has
not purchased any of its outstanding capital stock, nor declared, paid or otherwise made any
dividend or distribution of any kind on its capital stock other than ordinary and customary
dividends; and (iii) there has not been any material change in the capital stock, short-term debt
or long-term debt of the Company and its subsidiaries, except in each case as disclosed in each of
the Registration Statement, the Time of Sale Information and the Prospectus.
(s) The Company and its subsidiaries have good and marketable title in fee simple to all real
property and title to all personal property owned by them which is material to the business of the
Company and its subsidiaries, taken as a whole, in each case free and clear of all liens,
encumbrances and defects except such as are described in each of the Time of Sale Information and
the Prospectus or such as do not materially affect the value of such property and do not interfere
with the use made and proposed to be made of such property by the Company and its subsidiaries; and
any real property and buildings held under lease by the Company and its subsidiaries are held by
them under valid, subsisting and enforceable leases with such exceptions as are not material and do
not interfere with the use made and proposed to be made of such property and buildings by the
Company and its subsidiaries, in each case except as described in each of the Time of Sale
Information and the Prospectus.
(t) Except as disclosed in each of the Time of Sale Information and the Prospectus, the
Company and its subsidiaries own or possess, or can acquire on reasonable terms, all patents,
patent rights, licenses, inventions, copyrights, know-how (including trade secrets and other
unpatented and/or unpatentable proprietary or confidential information, systems or procedures),
trademarks, service marks and trade names currently employed by them in connection with the
business now operated by them, except where such failure to own or possess, or such inability to
acquire on reasonable terms, would not reasonably be expected
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to have a material adverse effect on the Company and its subsidiaries, taken as a whole, and
neither the Company nor any of its subsidiaries has received any notice of infringement of or
conflict with asserted rights of others with respect to any of the foregoing which, singly or in
the aggregate, if the subject of an unfavorable decision, ruling or finding, would reasonably be
expected to have a material adverse effect on the Company and its subsidiaries, taken as a whole.
(u) No material labor dispute with the employees of the Company or any of its subsidiaries
exists, except as disclosed in each of the Time of Sale Information and the Prospectus, or, to the
knowledge of the Company, is imminent.
(v) The Company and each of its subsidiaries are insured by insurers of recognized financial
responsibility against such losses and risks and in such amounts as are in management’s judgment
prudent and customary in the businesses in which they are engaged; neither the Company nor any of
its subsidiaries has been refused any insurance coverage sought or applied for; and neither the
Company nor any of its subsidiaries has any reason to believe that it will not be able to renew its
existing insurance coverage as and when such coverage expires or to obtain similar coverage from
similar insurers as may be necessary to continue its business at a cost that would not have a
material adverse effect on the Company and its subsidiaries, taken as a whole, except as described
in each of the Time of Sale Information and the Prospectus.
(w) The Company and its subsidiaries possess all certificates, authorizations and permits
issued by the appropriate federal, state or foreign regulatory authorities necessary to conduct
their respective businesses, and neither the Company nor any of its subsidiaries has received any
notice of proceedings relating to the revocation or modification of any such certificate,
authorization or permit which, singly or in the aggregate, if the subject of an unfavorable
decision, ruling or finding, would reasonably be expected to have a material adverse effect on the
Company and its subsidiaries, taken as a whole, except as described in each of the Time of Sale
Information and the Prospectus.
(x) Except as described in each of the Time of Sale Information and the Prospectus, the
Company has not sold, issued or distributed any shares of capital stock during the six-month period
preceding the date hereof, including any sales pursuant to Rule 144A under, or Regulation D or S
of, the Securities Act, other than shares issued pursuant to (i) employee benefit plans, qualified
stock option plans or other employee compensation plans, (ii) outstanding options, rights or
warrants and (iii) the acquisition of Fiducianet, Inc.
(y) Ernst & Young LLP, who have certified the financial statements of the Company and its
subsidiaries, are independent public accountants with respect to the foregoing entities as required
by the Securities Act and the rules and regulations of the Commission thereunder.
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(z) The financial statements included in the Registration Statement, the Time of Sale
Information and the Prospectus, together with the related schedules and notes, present fairly in
all material respects the financial position, results of operations, stockholders’ equity and cash
flows of the Company and its consolidated subsidiaries at the dates indicated and for the periods
specified; such financial statements have been prepared in conformity with generally accepted
accounting principles applied on a consistent basis throughout the periods covered thereby.
(aa) The Company and its subsidiaries maintain a consolidated system of internal control over
financial reporting (as such term is defined in Rule 13a-15(f) of the Securities Exchange Act of
1934 (the “Exchange Act”)) that complies with the requirements of the Exchange Act and has been
designed by the Company’s principal executive officer and principal financial officer, or under
their supervision, to provide reasonable assurance regarding the reliability of financial reporting
and the preparation of financial statements for external purposes in accordance with generally
accepted accounting principles; the Company’s internal control over financial reporting is
effective and the Company is not aware of any material weaknesses in its internal control over
financial reporting.
(bb) The Company maintains disclosure controls and procedures (as such term is defined in Rule
13a-15(e) of the Exchange Act) that comply with the requirements of the Exchange Act, such
disclosure controls and procedures have been designed to ensure that material information relating
to the Company and its subsidiaries is made known to the Company’s principal executive officer and
principal financial officer by others within those entities; such disclosure controls and
procedures are effective.
(cc) The Company is not an ineligible issuer as defined under the Securities Act, in each case
at the times specified in Rule 164 under the Securities Act in connection with the offering of the
Shares.
2. Representations and Warranties of the Selling Shareholders. Each Selling Shareholder,
severally and not jointly, represents and warrants to and agrees with each of the Underwriters
that:
(a) This Agreement has been duly authorized (if a non-natural person), executed and delivered
by or on behalf of such Selling Shareholder.
(b) The execution and delivery by such Selling Shareholder of, and the performance by such
Selling Shareholder of its obligations under, this Agreement will not contravene any provision of
(i) applicable law, (ii) the certificate of incorporation or bylaws or similar organizational
documents of such Selling Shareholder, in the case of a non-natural person, (iii) any agreement or
other instrument binding upon such Selling Shareholder or (iv) any judgment, order or decree of any
governmental body, agency or court having jurisdiction over such
8
Selling Shareholder, except, in the case of clauses (i), (iii) or (iv), where such
contravention would not impair in any material respects the consummation of such Selling
Shareholder’s obligations under this Agreement and no consent, approval, authorization or order of,
or qualification with, any governmental body or agency is required for the performance by such
Selling Shareholder of its obligations under this Agreement except such as have been obtained under
the Securities Act and as may be required by the securities or Blue Sky laws of the various states
or the rules and regulations of the National Association of Securities Dealers, Inc. (the “NASD”),
in each case, in connection with the offer and sale of the Shares.
(c) To the extent such Selling Shareholder is party to the Voting Trust Agreement dated
September 24, 2004, by and among the Company, certain other shareholders of the Company, certain
members and former members of management of the Company and the trustees of such agreement (the
“Trust Agreement”), upon the transfer to such Selling Shareholder of any Shares to be sold by such
Selling Shareholder, and, in the case of certain Selling Shareholders listed on Schedule IV hereto,
the exercise of options with respect to underlying shares of Common Stock, such Selling Shareholder
will, as the Closing Date, have, valid title to the Shares to be sold by such Selling Shareholder
free and clear of all security interests, claims, liens, equities or other encumbrances and the
legal right and power, and all authorization and approval required by law, to enter into this
Agreement and to sell, transfer and deliver the Shares to be sold by such Selling Shareholder.
(d) Upon payment for the Shares to be sold by such Selling Shareholder pursuant to this
Agreement, transfer of such Shares, as directed by the Underwriters, to Cede & Co. (“Cede”) or such
other nominee as may be designated by the Depository Trust Company (“DTC”), registration of such
Shares in the name of Cede or such other nominee and the crediting of such Shares on the books of
DTC to securities accounts of the Underwriters (assuming that neither DTC nor any such Underwriter
has notice of any adverse claim (within the meaning of the New York Uniform Commercial Code (the
“UCC”)) to such Shares), (A) DTC shall be a “protected purchaser” of such Shares within the meaning
of Section 8-303 of the UCC, (B) under Section 8-501 of the UCC, the Underwriters will acquire a
security entitlement in respect of such Shares and (C) no action based on any “adverse claim”,
within the meaning of Section 8-102 of the UCC, to such Shares may be asserted against the
Underwriters with respect to such security entitlement; for purposes of this representation, such
Selling Shareholder may assume that when such payment, delivery and crediting occur, (w) such
Shares will have been registered in the name of Cede or another nominee designated by DTC, in each
case on the Company’s share registry in accordance with its certificate of incorporation, bylaws
and applicable law, (x) DTC will be registered as a “clearing corporation” within the meaning of
Section 8-102 of the UCC, (y) appropriate entries to the accounts of the several Underwriters on
the records of DTC will have been made pursuant to the UCC and (z) with respect to
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DTC, the “securities intermediary’s jurisdiction” within the meaning of Section 8-110(e) of
the UCC is New York.
(e) Such Selling Shareholder is not prompted by any information concerning the Company or its
subsidiaries which is not set forth in each of the Time of Sale Information and the Prospectus to
sell its Shares pursuant to this Agreement.
(f) (i) The Registration Statement, when it became effective, did not contain and, as amended
or supplemented, if applicable, will not, as of the date of such amendment or supplement, as
applicable, contain any untrue statement of a material fact or omit to state a material fact
required to be stated therein or necessary to make the statements therein not misleading, (ii) the
Registration Statement and the Prospectus comply and, as amended or supplemented, if applicable,
will comply, as of the date of such amendment or supplement, as applicable, in all material
respects with the Securities Act and the applicable rules and regulations of the Commission
thereunder, (iii) the Time of Sale Information, at the Time of Sale did not, and at the Closing
Date will not, contain any untrue statement of a material fact or omit to state a material fact
necessary to make the statements therein, in the light of the circumstances under which they were
made, not misleading and (iv) the Prospectus does not contain and, as amended or supplemented, if
applicable, will not, as of the date of such amendment or supplement, as applicable, contain any
untrue statement of a material fact or omit to state a material fact necessary to make the
statements therein, in the light of the circumstances under which they were made, not misleading,
except that the representations and warranties set forth in this paragraph 2(f) are limited to
statements and omissions made in reliance upon information relating to such Selling Shareholder
furnished to the Company in writing by the Selling Shareholder expressly for use in the
Registration Statement, the Time of Sale Information, the Prospectus or any amendments or
supplements thereto, it being understood and agreed that the only information so furnished by such
Selling Shareholder consists of the name of such Selling Shareholder, the number of offered Shares
and the other information with respect to such Selling Shareholder (excluding percentages) which
appear in the table (and corresponding footnotes) under the caption “Principal and Selling
Stockholders” in the Prospectus (with respect to each Selling Shareholder, the “Shareholder
Information”).
3. Agreements to Sell and Purchase. Each Selling Shareholder, severally and not jointly,
hereby agrees to sell to the several Underwriters, and each Underwriter, upon the basis of the
representations and warranties herein contained, but subject to the conditions hereinafter stated,
agrees, severally and not jointly, to purchase from such Selling Shareholder at $[•] a share (the
“Purchase Price”) the number of Firm Shares (subject to such adjustments to eliminate fractional
shares as you may determine) that bears the same proportion to the number of Firm Shares to be sold
by such Selling Shareholder as the number of Firm Shares set forth in Schedule II hereto opposite
the name of such Underwriter bears to the total number of Firm Shares.
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On the basis of the representations and warranties contained in this Agreement, and subject to
its terms and conditions, each Selling Shareholder agrees, severally and not jointly, to sell to
the Underwriters the number of Additional Shares set forth in Schedule I hereto opposite the name
of such Selling Shareholder, and the Underwriters shall have the right to purchase, severally and
not jointly, up to [•] Additional Shares at the Purchase Price. If less than the maximum number of
Additional Shares are purchased, each Selling Shareholder will sell the amount which bears the same
proportion to the number of Additional Shares purchased by the Underwriters as the number of
Additional Shares set forth in Schedule I hereto opposite the name of such Selling Shareholder
bears to the total number of Additional Shares. You may exercise this right on behalf of the
Underwriters in whole or from time to time in part by giving written notice not later than 30 days
after the date of this Agreement; provided that you shall be limited to three such notices in the
aggregate. Any exercise notice shall specify the number of Additional Shares to be purchased by
the Underwriters and the date on which such shares are to be purchased. Each purchase date must be
at least one business day after the written notice is given and may not be earlier than the closing
date for the Firm Shares nor later than ten business days after the date of such notice.
Additional Shares may be purchased as provided in Section 5 hereof solely for the purpose of
covering over-allotments made in connection with the offering of the Firm Shares. On each day, if
any, that Additional Shares are to be purchased (an “Option Closing Date”), each Underwriter
agrees, severally and not jointly, to purchase the number of Additional Shares (subject to such
adjustments to eliminate fractional shares as you may determine) that bears the same proportion to
the total number of Additional Shares to be purchased on such Option Closing Date as the number of
Firm Shares set forth in Schedule II hereto opposite the name of such Underwriter bears to the
total number of Firm Shares.
The Company and each Selling Shareholder other than those listed on Schedule IV hereto hereby
agree that, without the prior written consent of the Managers on behalf of the Underwriters, it
will not, and will not publicly announce any intention to, during the period ending 90 days after
the date of the Prospectus, (1) offer, pledge, sell, contract to sell, sell any option or contract
to purchase, purchase any option or contract to sell, grant any option, right or warrant to
purchase, lend, or otherwise transfer or dispose of, directly or indirectly, any shares of Common
Stock or any securities convertible into or exercisable or exchangeable for Common Stock, including
shares of Class B Common Stock, $0.001 par value per share (the “Class B Common Stock”); (2) enter
into any swap or other arrangement that transfers to another, in whole or in part, any of the
economic consequences of ownership of the Common Stock or any securities convertible into or
exercisable or exchangeable for Common Stock, including Class B Common Stock, whether any such
transaction described in clause (1) or (2) above is to be settled by delivery of Common Stock or
such other securities, in cash or otherwise; or (3) file any registration statement with the
Commission relating to the offering of any shares of Common Stock or any securities convertible
into or exercisable or exchangeable for Common Stock.
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The restrictions contained in the preceding paragraph shall not apply to (a) the sale of the
Shares to the Underwriters, (b) the issuance by the Company of shares of Common Stock upon the
exercise of an option or warrant or the conversion of a security outstanding on the date hereof of
which the Managers have been advised in writing; provided that the underlying shares of Common
Stock and Class B Common Stock issued to any Selling Shareholder or other person who has delivered
a lock-up agreement pursuant to Section 6(h) hereto shall continue to be subject to the
restrictions contained in the immediately preceding paragraph or such lock-up agreement, as
applicable; (c) the issuance by the Company of shares of Common Stock and Class B Common Stock or
options to purchase shares of Common Stock to, or the repurchase by the Company of unvested shares
of Common Stock and Class B Common Stock upon termination of service from, an employee, director,
consultant other service provider, pursuant to the Company’s stock incentive plans in effect on the
date hereof; provided that the shares of Common Stock and Class B Common Stock or options to
purchase shares of Common Stock and Class B Common Stock issued to the Company’s directors and
executive officers shall be subject to the restrictions contained in the lock-up agreements
delivered pursuant to Section 6(h) hereof; (d) the filing by the Company of any registration
statement with the Commission on Form S-8 relating to the offering of securities pursuant to the
terms of a stock incentive plan of the Company in effect on the date hereof; (e) transfers by a
Selling Shareholder of shares of Common Stock or any security convertible into Common Stock as a
bona fide gift or for no consideration and transfers by a Selling Shareholder by will or intestate,
provided that in each case, each recipient of such shares or convertible securities agrees in
writing to be subject to the restrictions described in the immediately preceding paragraph and no
filing by any party with the Commission shall be required or shall be voluntarily made in
connection with such transfer; (f) transfers by a Selling Shareholder of shares of Common Stock or
any security convertible into Common Stock to any trust, partnership or limited liability company
for the direct or indirect benefit of such person and/or the immediately family of such Selling
Shareholder for estate planning purposes, provided that (i) the trustee of the trust, partnership
or limited liability company, as the case may be, agrees in writing to be subject to the
restrictions described in the immediately preceding paragraph, (ii) any such transfer shall not
involve a disposition for value, and (iii) no filing by any party with the Commission shall be
required or shall be voluntarily made in connection with such transfer; (g) a sale that is required
by the restrictions on ownership and transfer set forth in the Company’s Amended Certificate of
Incorporation; (h) the exercise of outstanding options or warrants by a Selling Shareholder;
provided that the underlying shares of Common Stock and Class B Common Stock will be subject to the
restrictions described in the immediately preceding paragraph upon exercise or conversion; (i) any
transfer by a Selling Shareholder to an affiliate (as that term is defined in Rule 405 under the
Securities Act) of such Selling Shareholder, provided that such affiliate agrees in writing to be
subject to the restrictions contained in the immediately preceding paragraph and that no filing by
any party with the Commission shall be required or shall be voluntarily made in connection with any
12
such transfer, (j) transactions by a Selling Shareholder relating to shares of Common Stock or
other securities acquired in open market transactions after the completion of the offering of the
Shares, provided that no filing by any party with the Commission shall be required or shall be
voluntarily made in connection with such open market transactions; or (k) the issuance by the
Company of shares of Common Stock in connection with acquisitions of other companies up to an
amount equal to 19.9% of the Company’s fully-diluted Common Stock (measured as of the Closing
Date), provided that each recipient of such shares agrees in writing to be subject to the
restrictions described in the immediately preceding paragraph. In addition, each Selling
Shareholder, agrees that, without the prior written consent of the Managers on behalf of the
Underwriters, it will not, and will not publicly announce the intention to, during the period
commencing on the date hereof and ending 90 days after the date of the Prospectus, make any demand
for, or exercise any right with respect to, the registration of any shares of Common Stock or any
security convertible into or exercisable or exchangeable for Common Stock, including any shares of
Class B Common Stock. Each Selling Shareholder also agrees and consents to the entry of stop
transfer instructions with the Company’s transfer agent and registrar against the transfer of any
Shares held by such Selling Shareholder except in compliance with the foregoing restrictions.
Notwithstanding the foregoing, if (1) during the last 17 days of the 90-day restricted period the
Company issues an earnings release or material news or a material event relating to the Company
occurs; or (2) prior to the expiration of the 90-day restricted period, the Company announces that
it will release earnings results during the 16-day period beginning on the last day of the 90-day
period, the restrictions imposed by this agreement shall continue to apply until the expiration of
the 18-day period beginning on the issuance of the earnings release or the occurrence of the
material news or material event. The Company shall promptly notify the Managers of any earnings
release, news or event that may give rise to an extension of the initial 90-day restricted period.
4. Terms of Public Offering. The Selling Shareholders are advised by you that the Underwriters
propose to make a public offering of their respective portions of the Shares as soon after the
Registration Statement and this Agreement have become effective as in your judgment is advisable.
The Selling Shareholders are further advised by you that the Shares are to be offered to the public
initially at $[•] a share (the “Public Offering Price”) and to certain dealers selected by you at a
price that represents a concession not in excess of $[•] a share under the Public Offering Price.
5. Payment and Delivery. Payment for the Firm Shares to be sold by each Selling Shareholder
shall be made to such Selling Shareholder in Federal or other funds immediately available in New
York City against delivery of such Firm Shares for the respective accounts of the several
Underwriters at 10:00 a.m., New York City time, on [•], 2005, or at such other time on the same or
such other date, not later than [•], 2005, as shall be designated in writing by you. The time and
date of such payment are hereinafter referred to as the “Closing Date.”
13
Payment for any Additional Shares to be sold by each Selling Shareholder shall be made to such
Selling Shareholder in Federal or other funds immediately available in New York City against
delivery of such Additional Shares for the respective accounts of the several Underwriters at 10:00
a.m., New York City time, on the date specified in the corresponding notice described in Section 3
or at such other time on the same or on such other date, in any event not later than [•], 2005, as
shall be designated in writing by you.
The Firm Shares and Additional Shares shall be registered in such names and in such
denominations as you shall request in writing not later than one full business day prior to the
Closing Date or the applicable Option Closing Date, as the case may be. The Firm Shares and
Additional Shares shall be delivered to you on the Closing Date or an Option Closing Date, as the
case may be, for the respective accounts of the several Underwriters, with any transfer taxes
payable in connection with the transfer of the Shares to the Underwriters duly paid, against
payment of the Purchase Price therefor.
6. Conditions to the Underwriters’ Obligations. The obligations of the Selling Shareholders to
sell the Shares to the Underwriters and the several obligations of the Underwriters to purchase and
pay for the Shares on the Closing Date are subject to the condition that the Registration Statement
shall have become effective not later than 4:00 p.m. (New York City time) on the date hereof.
The several obligations of the Underwriters are subject to the following further conditions:
(a) Subsequent to the execution and delivery of this Agreement and prior to the Closing Date:
(i) there shall not have occurred any downgrading, nor shall any notice have been
given of any intended or potential downgrading or of any review for a possible change that
does not indicate the direction of the possible change, in the rating accorded any of the
securities of the Company by any “nationally recognized statistical rating organization,”
as such term is defined for purposes of Rule 436(g)(2) under the Securities Act; and
(ii) there shall not have occurred any change, or any development involving a
prospective change, in the condition, financial or otherwise, or in the earnings, business
or operations of the Company and its subsidiaries, taken as a whole, from that set forth
in each of the Time of Sale Information and the Prospectus that, in your judgment, is
material and adverse and that makes it, in your judgment, impracticable to market the
Shares on the terms and in the manner contemplated in each of the Time of Sale Information
and the Prospectus.
14
(b) The Underwriters shall have received on the Closing Date a certificate of the Company,
dated the Closing Date and signed by an executive officer of the Company, to the effect set forth
in Section 6(a)(i) above and to the effect that the representations and warranties of the Company
contained in this Agreement are true and correct as of the Closing Date and that the Company has
complied with all of the agreements and satisfied all of the conditions on its part to be performed
or satisfied hereunder on or before the Closing Date.
The officer signing and delivering such certificate may rely upon the best of his or her
knowledge as to proceedings threatened.
(c) The Underwriters shall have received on the Closing Date an opinion of Xxxxxx, Xxxx &
Xxxxxxxx LLP, outside counsel for the Company, dated the Closing Date, to the effect that:
(i) the Company is a validly existing corporation in good standing under the laws of
the State of Delaware with the requisite corporate power and authority to own its
properties and to conduct its business as described in each of the Time of Sale
Information and the Prospectus and is qualified to do business as a foreign corporation in
the jurisdictions listed on Schedule III hereto;
(ii) each subsidiary of the Company is a validly existing corporation in good
standing under the laws of the jurisdiction of its incorporation, has the requisite
corporate power and authority to own its properties and to conduct its business as
described in each of the Time of Sale Information and the Prospectus and is qualified to
do business in the jurisdictions listed on Schedule III hereto;
(iii) the Company has an authorized capitalization as set forth in each of the Time
of Sale Information and the Prospectus;
(iv) the Shares of Common Stock have been duly authorized;
(v) based solely upon a certificate of the chief financial officer of the Company and
a review of minute books and stock ledgers of each subsidiary of the Company, the Company
is the record owner of all of the shares of capital stock of each of its subsidiaries
(other than the shares of NeuLevel, Inc. owned by Melbourne IT Limited);
(vi) the execution, delivery and performance of this Agreement have been duly
authorized by all necessary corporate action; this Agreement has been duly executed and
delivered by the Company;
(vii) the execution, delivery and performance by the Company of this Agreement: (i)
do not and will not violate the certificate of incorporation or bylaws of the Company and
(ii) do not and will not breach the terms of (a) any agreement or other instrument
identified to
15
such counsel in a certificate of the chief financial officer of the Company as being
all such agreements or instruments that are material and binding on the Company or (b) any
order, judgment or decree of any court or other agency of government identified to such
counsel in a certificate of the general counsel of the Company as constituting all orders,
judgments or decrees binding on the Company (other than orders, judgments or decrees of
the Federal Communications Commission or any federal advisory agency appointed or
established by the Federal Communications Commission or under any federal, state or
foreign communications or telecommunications law), in either case based solely on such
counsel’s review of such agreements, orders, judgments or decrees;
(viii) the execution, delivery and performance by the Company of this Agreement: (i)
do not and will not violate any law, rule or regulation of the United States of America
applicable to the Company or its subsidiaries that, in such counsel’s experience, is
generally applicable to transactions in the nature of those contemplated by this
Agreement, or the Delaware General Corporation Law or the laws of the State of New York,
in each case as currently in effect; it being understood, however, that no opinion need be
rendered with respect to federal, state or foreign securities, communications or
telecommunications laws; and (ii) do not and will not require any filing with or approval,
consent, authorization or order of, or qualification with, any governmental authority or
regulatory body of the State of Delaware, the State of New York or the United States of
America or under the Delaware General Corporation Law, the laws of the State of New York
or any law or regulation of the United States of America applicable to the Company, in
each case as currently in effect, except for (A) such filings or approvals as already have
been made or obtained, (B) such as may be required by the securities or Blue Sky laws of
the various states and foreign jurisdictions in connection with the offer and sale of the
Shares, (C) approval of the underwriting terms by the NASD; or (D) any approval that may
be required by the Federal Communications Commission or any federal advisory agency
appointed or established by the Federal Communications Commission;
(ix) the statements relating to legal or regulatory matters, documents or proceedings
included in (A) the Time of Sale Information and the Prospectus under the captions
“Certain Relationships and Related Party Transactions,” “Description of Capital Stock” and
“Underwriting” and (B) the Registration Statement in Items 14 and 15, in each case fairly
summarize in all material respects such matters, documents or proceedings;
(x) after due inquiry, such counsel does not know of any legal or governmental
proceedings pending or threatened to which the Company or any of its subsidiaries is a
party or to which any of the properties of the Company or any of its subsidiaries is
subject that are required to be
16
described in the Registration Statement or the Prospectus and are not so described or
of any statutes, regulations, contracts or other documents that are required to be
described in the Registration Statement or the Prospectus or to be filed as exhibits to
the Registration Statement that are not described or filed as required; provided that the
opinion set forth in this clause 6(c)(x) may be delivered by the General Counsel of the
Company; and
(xi) the Company is not, and after giving effect to the offering and sale of the
Shares by the Selling Shareholders will not be, required to register as an “investment
company” as such term is defined in the Investment Company Act of 1940, as amended.
In addition, the Underwriters shall have received on the Closing Date a letter from Xxxxxx,
Xxxx & Xxxxxxxx LLP, outside counsel for the Company, dated the Closing Date to the effect that (A)
the Registration Statement and the Prospectus (except for the financial statements and financial
schedules and other financial data included therein, as to which such counsel need not express any
belief) appear on their face to be appropriately responsive in all material respects to the
requirements of the Securities Act and the applicable rules and regulations of the Commission
thereunder, and (B) nothing has come to the attention of such counsel that causes such counsel to
believe that (i) the Registration Statement (except for the financial statements and financial
schedules and other financial data included therein, as to which such counsel need not express any
belief) at the time the Registration Statement became effective contained an untrue statement of a
material fact or omitted to state a material fact required to be stated therein or necessary to
make the statements therein not misleading, (ii) the Time of Sale Information (except for the
financial statements and financial schedules and other financial data included therein, as to which
such counsel need not express any belief) as of the Time of Sale or as of the Closing Date
contained or contains any untrue statement of a material fact or omitted or omits to state a
material fact necessary in order to make the statements therein, in the light of the circumstances
under which they were made, not misleading or (iii) the Prospectus (except for the financial
statements and financial schedules and other financial data included therein, as to which such
counsel need not express any belief) as of its date or as of the Closing Date contained or contains
an untrue statement of a material fact or omitted or omits to state a material fact necessary in
order to make the statements therein, in the light of the circumstances under which they were made,
not misleading.
(d) The Underwriters shall have received on the Closing Date an opinion of each of Xxxxxxx
Xxxx & Xxxxxxxxx LLP, counsel for the Warburg Pincus Entities (as defined in the Prospectus),
Xxxxxxxx & Xxxxx LLP, counsel for MidOcean Capital Investors, L.P., Xxxxx & Xxxxxxx LLP, counsel
for the ABS Capital Partners Entities (as defined in the Prospectus), and any separate counsel for
the other Selling Shareholders, each dated the Closing Date, in a form reasonably acceptable to the
Underwriters, to the effect that:
17
(i) such Selling Shareholder has duly authorized, in the case of a non-natural
person, executed and delivered this Agreement;
(ii) the execution and delivery by such Selling Shareholder of, and the performance
by such Selling Shareholder of its obligations under, this Agreement will not contravene
(a) any provision of applicable law, (b) the organizational documents of such Selling
Shareholder, in the case of a non-natural person, (c) to such counsel’s knowledge, any
agreement or other instrument binding upon such Selling Shareholder or (d) to such
counsel’s knowledge, any judgment, order or decree of any governmental body, agency or
court having jurisdiction over such Selling Shareholder, except in the case of clauses
(a), (c), or (d) for such contraventions as would not, individually or in the aggregate,
materially adversely impact such Selling Shareholder’s ability to perform its obligations
under this Agreement, it being understood that no opinion need be rendered with respect to
federal, state or foreign securities, communications or telecommunications laws;
(iii) no consent, approval, authorization or order of, or qualification with, any
governmental body or agency is required for the consummation of the transactions
contemplated by this Agreement in connection with the sale of the Shares offered by such
Selling Shareholder hereunder, except such (a) as have been made or obtained under the
Securities Act, (b) as may be required under foreign securities or state “Blue Sky” laws
in connection with the purchase and distribution of the Shares offered by such Selling
Shareholder, (c) approval of the underwriting terms by the NASD, (d) any approval that may
be required by the Federal Communications Commission or any federal advisory agency
appointed or established by the Federal Communications Commission or under any federal,
state or foreign communications or telecommunications laws or (e) as have been obtained;
(iv) such Selling Shareholder has the legal right and power, and all authorization
and approval required by law, to enter into this Agreement and to sell, transfer and
deliver the Shares to be sold by such Selling Shareholder; and
(v) upon payment for the Shares to be sold by such Selling Shareholder pursuant to
this Agreement, transfer of such Shares, as directed by the Underwriters, to Cede or such
other nominee as may be designated by DTC, registration of such Shares in the name of Cede
or such other nominee and the crediting of such Shares on the books of DTC to securities
accounts of the Underwriters (assuming that neither DTC nor any such Underwriter has
notice of any adverse claim within the meaning of Section 8-105 of the UCC to such
Shares), (A) DTC shall be a “protected purchaser” of such Shares within the meaning of
Section 8-303 of the UCC, (B) under Section 8-501 of the UCC, the Underwriters will
18
acquire a security entitlement in respect of such Shares and (C) no action based on
any “adverse claim” (within the meaning of Section 8-102 of the UCC) to such Shares may be
asserted against the Underwriters with respect to such security entitlement; in giving
this opinion, counsel for such Selling Shareholder may assume that when such payment,
delivery and crediting occur, (w) such Shares will have been registered in the name of
Cede or another nominee designated by DTC, in each case on the Company’s share registry in
accordance with its certificate of incorporation, bylaws and applicable law, (x) DTC will
be registered as a “clearing corporation” within the meaning of Section 8-102 of the UCC,
(y) appropriate entries to the accounts of the several Underwriters on the records of DTC
will have been made pursuant to the UCC and (z) with respect to DTC, the “securities
intermediary’s jurisdiction” within the meaning of Section 8-110(e) of the UCC is New
York.
(e) The Underwriters shall have received on the Closing Date an opinion of Xxxxxxxx &
Xxxxxxxx, regulatory counsel for the Company, dated the Closing Date, to the effect that:
(i) the execution, delivery and performance by the Company of this Agreement do not
and will not breach the terms of any order, judgment or decree of the Federal
Communications Commission or any federal advisory agency appointed or established by the
Federal Communication Commission or under any federal, state or foreign communications or
telecommunications law, based solely on our review of such orders, judgments or decrees;
(ii) the execution, delivery and performance by the Company of this Agreement: (i) do
not and will not violate any communications or telecommunications law, rule or regulation
of the United States of America applicable to the Company or its subsidiaries, in each
case as currently in effect; and (ii) do not and will not require any filing with or
approval, consent, authorization or order of, or qualification with the Federal
Communications Commission or any federal advisory agency appointed or established by the
Federal Communications Commission, except such as have been obtained; and
(iii) the statements relating to legal or regulatory matters, documents or
proceedings included in the Time of Sale Information and the Prospectus under the caption
“Business-Regulatory Environment” fairly summarize in all material respects such matters,
documents or proceedings; provided that, with respect to any statements relating to legal
or regulatory matters, documents or proceedings included in the Time of Sale Information
and the Prospectus under the caption “Business¯Regulatory Environment¯Internet Domain Name
Registrations”, such opinion may be delivered by the General Counsel of the Company.
19
(f) The Underwriters shall have received on the Closing Date an opinion of Cravath, Swaine &
Xxxxx LLP, counsel for the Underwriters, dated the Closing Date, covering the matters referred to
in Sections 6(c)(ix) (but only as to the statements in each of the Time of Sale Information and the
Prospectus under “Underwriting”) and the letter described in the last paragraph of Section 6(c)
above.
With respect to the letter described in the last paragraph of Section 6(c)above, Xxxxxx, Xxxx
& Xxxxxxxx LLP and Cravath, Swaine & Xxxxx LLP, may state that their beliefs are based upon their
participation in the preparation of the Registration Statement, the Time of Sale Information and
Prospectus and any amendments or supplements thereto and review and discussion of the contents
thereof, but are without independent check or verification, except as specified.
The opinions of Xxxxxx, Xxxx & Xxxxxxxx LLP and counsel for the various Selling Shareholders
described in Sections 6(c) and 6(d) above shall be rendered to the Underwriters at the request of
the Company or one or more of the Selling Shareholders, as the case may be, and shall so state
therein.
(g) The Underwriters shall have received, on each of the date hereof and the Closing Date, a
letter dated the date hereof or the Closing Date, as the case may be, in form and substance
satisfactory to the Underwriters, from Ernst & Young LLP, independent public accountants,
containing statements and information of the type ordinarily included in accountants’ “comfort
letters” to underwriters with respect to the financial statements and certain financial information
contained in the Registration Statement, the Time of Sale Information and the Prospectus; provided
that the letter delivered on the Closing Date shall use a “cut-off date” not earlier than the date
hereof.
(h) The “lock-up” agreements, each substantially in the form of Exhibit A hereto, between you
and certain officers and directors of the Company relating to sales and certain other dispositions
of shares of Common Stock or certain other securities, delivered to you on or before the date
hereof, shall be in full force and effect on the Closing Date.
The several obligations of the Underwriters to purchase Additional Shares hereunder are
subject to the delivery to you on the applicable Option Closing Date of such documents as you may
reasonably request with respect to the good standing of the Company, the due authorization of the
Additional Shares to be sold on such Option Closing Date and other matters related to such
Additional Shares.
7. Covenants of the Company. In further consideration of the agreements of the Underwriters
herein contained, the Company covenants with each Underwriter as follows:
20
(a) To furnish to you, without charge, five signed copies of the Registration Statement
(including exhibits thereto) and for delivery to each other Underwriter a conformed copy of the
Registration Statement (without exhibits thereto) and to furnish to you in New York City, without
charge, prior to 10:00 a.m. New York City time on the business day next succeeding the date of this
Agreement and during the period mentioned in Section 7(c) below, as many copies of the Time of Sale
Information, the Prospectus and any supplements and amendments thereto or to the Registration
Statement as you may reasonably request.
(b) Before amending or supplementing the Registration Statement, the Time of Sale Information
or the Prospectus, to furnish to you a copy of each such proposed amendment or supplement and not
to file any such proposed amendment or supplement to which you reasonably object, and to file with
the Commission within the applicable period specified in Rule 424(b) under the Securities Act any
prospectus required to be filed pursuant to such Rule.
(c) To furnish to you a copy of each proposed Issuer Free Writing Prospectus to be prepared by
or on behalf of, used by, or referred to by the Company and not to use or refer to any proposed
Issuer Free Writing Prospectuses to which you reasonably object.
(d) If at any time prior to the Closing Date (A) (i) any event shall occur or condition shall
exist as a result of which the Time of Sale Information as then amended or supplemented would
include any untrue statement of a material fact or omit to state any material fact necessary in
order to make the statements therein, in the light of the circumstances under which they were made,
not misleading or (ii) it is necessary to amend or supplement the Time of Sale Information to
comply with law, to immediately notify the Managers thereof and forthwith prepare and, subject to
paragraph (c) above, file with the Commission (to the extent required) and furnish to the
Underwriters and to such dealers as the Managers may designate, such amendments or supplements to
the Time of Sale Information as may be necessary so that the statements in the Time of Sale
Information as so amended or supplemented will not, in the light of the circumstances, be
misleading or so that the Time of Sale Information will comply with law and (B) any event shall
occur or condition shall exist as a result of which an Issuer Free Writing Prospectus conflicted or
would conflict with the information then contained in the Registration Statement, to immediately
notify the Managers thereof and forthwith prepare and, subject to paragraph (c) above, file with
the Commission (to the extent required) and furnish to the Underwriters and to such dealers as the
Managers may designate, such amendments or supplements to such Issuer Free Writing Prospectus as
may be necessary to eliminate or correct such conflict.
(e) If, during such period after the first date of the public offering of the Shares as in the
opinion of counsel for the Underwriters the Prospectus (or in lieu thereof the notice referred to
in Rule 173(a) under the Securities Act) is
21
required by law to be delivered in connection with sales by an Underwriter or dealer, any
event shall occur or condition exist as a result of which it is necessary to amend or supplement
the Prospectus in order to make the statements therein, in the light of the circumstances when the
Prospectus (or in lieu thereof the notice referred to in Rule 173(a) under the Securities Act) is
delivered to a purchaser, not misleading, or if, in the opinion of counsel for the Underwriters, it
is necessary to amend or supplement the Prospectus to comply with applicable law, forthwith to
prepare, file with the Commission and furnish, at its own expense, to the Underwriters and to the
dealers (whose names and addresses you will furnish to the Company) to which Shares may have been
sold by you on behalf of the Underwriters and to any other dealers upon request, either amendments
or supplements to the Prospectus so that the statements in the Prospectus as so amended or
supplemented will not, in the light of the circumstances when the Prospectus (or in lieu thereof
the notice referred to in Rule 173(a) under the Securities Act) is delivered to a purchaser, be
misleading or so that the Prospectus, as amended or supplemented, will comply with law.
(f) To endeavor to qualify the Shares for offer and sale under the securities or Blue Sky laws
of such jurisdictions as you shall reasonably request; provided, however, that the Company shall
not be obligated to qualify to do business in any jurisdiction where it is not now so qualified or
to take any action which would subject it to general service of process in any jurisdiction where
it is not now so subject.
(g) To make generally available to the Company’s security holders and to you as soon as
practicable an earning statement covering the twelve-month period ending [December 31, 2006], that
satisfies the provisions of Section 11(a) of the Securities Act and the rules and regulations of
the Commission thereunder.
(h) Pursuant to reasonable procedures developed in good faith, to retain copies of each Issuer
Free Writing Prospectus that is not filed with the Commission in accordance with Rule 433 under the
Securities Act.
8. Covenants of the Underwriters. Each Underwriter hereby severally agrees as follows:
(a) To not use or refer to, or authorize any other person to use or refer to, or participate
in the planning for use of, any “free writing prospectus”, as defined in Rule 405 under the
Securities Act (which term includes use of any written information furnished to the Commission by
the Company and not incorporated by reference into the Registration Statement and any press release
issued by the Company) other than (i) a free writing prospectus that contains no “issuer
information” (as defined in Rule 433(h)(2) under the Securities Act) that was not included in the
Preliminary Prospectus or a previously filed Issuer Free Writing Prospectus, (ii) any Issuer Free
Writing Prospectus listed on Schedule V hereto or prepared pursuant to Section 1(d) or Section 7(b)
above, or (iii) any free writing prospectus prepared by such Underwriter and approved by the
Company
22
in advance in writing (each such free writing prospectus referred to in clauses (i) or (iii),
an “Underwriter Free Writing Prospectus”).
(b) To not distribute any Underwriter Free Writing Prospectus referred to in Section 8(a)(i)
in a manner reasonably designed to lead to its broad unrestricted dissemination.
(c) To not, without the prior written consent of the Company, use any free writing prospectus
that contains the final terms of the Shares unless such terms have previously been included in a
free writing prospectus filed with the Commission.
(d) Pursuant to reasonable procedures developed in good faith, to retain copies of each free
writing prospectus used or referred to by it, in accordance with Rule 433 under the Securities Act.
(e) If at any time prior to the Closing Date any event shall occur or condition shall exist as
a result of which any Underwriter Free Writing Prospectus would include any untrue statement of a
material fact or conflicted or would conflict with the information then contained in the
Registration Statement, to immediately notify the Company thereof and forthwith prepare and furnish
to the Company, such amendments or supplements to such Underwriter Free Writing Prospectus as may
be necessary so that the statements in such Underwriter Free Writing Prospectus as so amended or
supplemented will not include such an untrue statement of a material fact or will not conflict with
the Registration Statement, as the case may be.
9. Expenses. Whether or not the transactions contemplated in this Agreement are consummated
or this Agreement is terminated, the Company and the Selling Shareholders agree to pay or cause to
be paid all expenses incident to the performance of their obligations under this Agreement,
including: (i) the fees, disbursements and expenses of the Company’s counsel, the Company’s
accountants and counsel for the Selling Shareholders in connection with the registration and
delivery of the Shares under the Securities Act and all other fees or expenses in connection with
the preparation and filing of the Registration Statement, the Preliminary Prospectus, the Time of
Sale Information, the Prospectus, any free writing prospectus prepared by or on behalf of, used by,
or referred to by the Company and amendments and supplements to any of the foregoing, including all
printing costs associated therewith, and the mailing and delivering of copies thereof to the
Underwriters and dealers, in the quantities hereinabove specified, (ii) all costs and expenses
related to the transfer and delivery of the Shares to the Underwriters, including any transfer or
other taxes payable thereon, (iii) the cost of printing or producing any Blue Sky or Legal
Investment memorandum in connection with the offer and sale of the Shares under state securities
laws and all expenses in connection with the qualification of the Shares for offer and sale under
state securities laws as provided in Section 7(f) hereof, including filing fees and the reasonable
fees and disbursements of counsel
23
for the Underwriters in connection with such qualification and in connection with the Blue Sky
or Legal Investment memorandum, (iv) all filing fees and the reasonable fees and disbursements of
counsel to the Underwriters incurred in connection with the review and qualification of the
offering of the Shares by the National Association of Securities Dealers, Inc., (v) all costs and
expenses incident to listing the Shares on the New York Stock Exchange, (vi) the cost of printing
certificates representing the Shares, (vii) the costs and charges of any transfer agent, registrar
or depositary, (viii) the costs and expenses of the Company relating to investor presentations on
any “road show” undertaken in connection with the marketing of the offering of the Shares,
including, without limitation, expenses associated with the preparation or dissemination of any
electronic roadshow, expenses associated with the production of road show slides and graphics, fees
and expenses of any consultants engaged in connection with the road show presentations with the
prior approval of the Company, travel and lodging expenses of the representatives and officers of
the Company and any such consultants, and the cost of any aircraft chartered in connection with the
road show, subject to the prior approval of the Company, (ix) the document production charges and
expenses associated with printing this Agreement , (x) all expenses in connection with any offer
and sale of the Shares outside of the United States, including filing fees and the reasonable fees
and disbursements of counsel for the Underwriters in connection with offers and sales outside of
the United States and (xi) all other costs and expenses incident to the performance of the
obligations of the Company hereunder for which provision is not otherwise made in this Section;
provided, however, that in no event shall this Section 9 supercede any obligation the Company may
have to reimburse the Selling Shareholders in respect of any payments by the Selling Shareholders
of any such expenses. It is understood, however, that except as provided in this Section, Section
10 entitled “Indemnity and Contribution”, and the last paragraph of Section 13 below, the
Underwriters will pay all of their costs and expenses, including fees and disbursements of their
counsel, stock transfer taxes payable on resale of any of the Shares by them and any advertising
expenses connected with any offers they may make.
The provisions of this Section shall not supersede or otherwise affect any agreement that the
Company and the Selling Shareholders may otherwise have for the allocation of such expenses among
themselves.
10. Indemnity and Contribution. (a) The Company agrees to indemnify and hold harmless each
Underwriter, each person, if any, who controls any Underwriter within the meaning of either Section
15 of the Securities Act or Section 20 of the Exchange Act, and each affiliate of any Underwriter
within the meaning of Rule 405 under the Securities Act from and against any and all losses,
claims, damages and liabilities (including, without limitation, any legal or other expenses
reasonably incurred in connection with defending or investigating any such action or claim) caused
by any untrue statement or alleged untrue statement of a material fact contained in the
Registration Statement or any amendment thereof, the Preliminary Prospectus, the Time of Sale
Information, any Issuer Free Writing Prospectus or the Prospectus or, in each case, any amendment
or
24
supplement thereto, or caused by any omission or alleged omission to state therein a material
fact required to be stated therein or necessary to make the statements therein not misleading,
except insofar as such losses, claims, damages or liabilities are caused by any such untrue
statement or omission or alleged untrue statement or omission based upon information relating to
any Underwriter furnished to the Company in writing by such Underwriter through you expressly for
use therein; provided, however, that the foregoing indemnity agreement with respect to the
Preliminary Prospectus shall not inure to the benefit of any Underwriter from whom the person
asserting any such losses, claims, damages or liabilities purchased Shares, or any person
controlling such Underwriter, if a copy of the Time of Sale Information or the Prospectus (in each
case, as then amended or supplemented if the Company shall have furnished any amendments or
supplements thereto) was not sent or given by or on behalf of such Underwriter to such person, if
required by law to have been delivered, at or prior to the written confirmation of the sale of the
Shares to such person, and if the Time of Sale Information or the Prospectus (in each case, as so
amended or supplemented), as applicable, would have cured the defect giving rise to such losses,
claims, damages or liabilities, unless such failure is the result of noncompliance by the Company
with Section 7(a) hereof.
(b) Each Selling Shareholder agrees, severally and not jointly, to indemnify and hold harmless
each Underwriter and each person, if any, who controls any Underwriter within the meaning of either
Section 15 of the Securities Act or Section 20 of the Exchange Act, from and against any and all
losses, claims, damages and liabilities (including, without limitation, any legal or other expenses
reasonably incurred in connection with defending or investigating any such action or claim) caused
by any untrue statement or alleged untrue statement of a material fact contained in the
Registration Statement or any amendment thereof, the Preliminary Prospectus, the Time of Sale
Information, any Issuer Free Writing Prospectus or the Prospectus or, in each case, any amendment
or supplement thereto, or caused by any omission or alleged omission to state therein a material
fact required to be stated therein or necessary to make the statements therein not misleading, but
only with reference to such Selling Shareholder’s Shareholder Information; provided, however, that
the foregoing indemnity agreement with respect to any preliminary prospectus shall not inure to the
benefit of any Underwriter from whom the person asserting any such losses, claims, damages or
liabilities purchased Shares, or any person controlling such Underwriter, if a copy of the Time of
Sale Information or the Prospectus (in each case, as then amended or supplemented if the Company
shall have furnished any amendments or supplements thereto) was not sent or given by or on behalf
of such Underwriter to such person, if required by law to have been delivered, at or prior to the
written confirmation of the sale of the Shares to such person, and if the Time of Sale Information
or the Prospectus (in each case, as so amended or supplemented), as applicable, would have cured
the defect giving rise to such losses, claims, damages or liabilities, unless such failure is the
result of noncompliance by the Company with Section 7(a) hereof. The liability of each Selling
Shareholder under the indemnity agreement contained in this paragraph
25
shall be limited to an amount equal to the aggregate Public Offering Price of the Shares sold
by such Selling Shareholder under this Agreement (before payment of fees and expenses but after
deducting discounts and commissions paid to the Underwriters).
(c) Each Underwriter agrees, severally and not jointly, to indemnify and hold harmless the
Company, the Selling Shareholders, the directors of the Company, the officers of the Company who
sign the Registration Statement and each person, if any, who controls the Company or any Selling
Shareholder within the meaning of either Section 15 of the Securities Act or Section 20 of the
Exchange Act from and against any and all losses, claims, damages and liabilities (including,
without limitation, any legal or other expenses reasonably incurred in connection with defending or
investigating any such action or claim) caused by any untrue statement or alleged untrue statement
of a material fact contained in the Registration Statement or any amendment thereof, the
Preliminary Prospectus, the Time of Sale Information, any Issuer Free Writing Prospectus or the
Prospectus or, in each case, any amendment or supplement thereto, or caused by any omission or
alleged omission to state therein a material fact required to be stated therein or necessary to
make the statements therein not misleading, but only with reference to information relating to such
Underwriter furnished to the Company in writing by such Underwriter through you expressly for use
in the Registration Statement, the Preliminary Prospectus, the Time of Sale Information, any Issuer
Free Writing Prospectus or the Prospectus or, in each case, any amendments or supplements thereto.
(d) In case any proceeding (including any governmental investigation) shall be instituted
involving any person in respect of which indemnity may be sought pursuant to Section 10(a), 10(b)
or 10(c), such person (the “indemnified party”) shall promptly notify the person against whom such
indemnity may be sought (the “indemnifying party”) in writing and the indemnifying party, upon
request of the indemnified party, shall retain counsel reasonably satisfactory to the indemnified
party to represent the indemnified party and any others the indemnifying party may designate in
such proceeding and shall pay the fees and disbursements of such counsel related to such
proceeding. In any such proceeding, any indemnified party shall have the right to retain its own
counsel, but the fees and expenses of such counsel shall be at the expense of such indemnified
party unless (i) the indemnifying party and the indemnified party shall have mutually agreed to the
retention of such counsel or (ii) the named parties to any such proceeding (including any impleaded
parties) include both the indemnifying party and the indemnified party and representation of both
parties by the same counsel would be inappropriate due to actual or potential differing interests
between them. It is understood that the indemnifying party shall not, in respect of the legal
expenses of any indemnified party in connection with any proceeding or related proceedings in the
same jurisdiction, be liable for (i) the fees and expenses of more than one separate firm (in
addition to any local counsel) for all Underwriters and all persons, if any, who control any
Underwriter within the meaning of either Section 15 of the Securities Act or Section 20 of the
26
Exchange Act or who are affiliates of any Underwriter within the meaning of Rule 405 under the
Securities Act, (ii) the fees and expenses of more than one separate firm (in addition to any local
counsel) for the Company, its directors, its officers who sign the Registration Statement and each
person, if any, who controls the Company within the meaning of either such Section and (iii) the
fees and expenses of more than one separate firm (in addition to any local counsel) for all Selling
Shareholders and all persons, if any, who control any Selling Shareholder within the meaning of
either such Section, and that all such fees and expenses shall be reimbursed as they are incurred.
In the case of any such separate firm for the Underwriters and such control persons and affiliates
of any Underwriters, such firm shall be designated in writing by the Managers. In the case of any
such separate firm for the Company, and such directors, officers and control persons of the
Company, such firm shall be designated in writing by the Company. In the case of any such separate
firm for the Selling Shareholders and such control persons of any Selling Shareholders, such firm
shall be designated in writing by the Selling Shareholders. The indemnifying party shall not be
liable for any settlement of any proceeding effected without its written consent, but if settled
with such consent or if there be a final judgment for the plaintiff, the indemnifying party agrees
to indemnify the indemnified party from and against any loss or liability by reason of such
settlement or judgment. Notwithstanding the foregoing sentence, if at any time an indemnified
party shall have requested an indemnifying party to reimburse the indemnified party for fees and
expenses of counsel as contemplated by the second and third sentences of this paragraph, the
indemnifying party agrees that it shall be liable for any settlement of any proceeding effected
without its written consent if (i) such settlement is entered into more than 30 days after receipt
by such indemnifying party of the aforesaid request, (ii) such indemnifying party shall not have
reimbursed the indemnified party in accordance with such request prior to the date of such
settlement and (iii) such proceeding was one in respect of which indemnity may have been sought
pursuant to Section 10(a), 10(b) or 10(c). No indemnifying party shall, without the prior written
consent of the indemnified party, effect any settlement of any pending or threatened proceeding in
respect of which any indemnified party is or could have been a party and indemnity could have been
sought hereunder by such indemnified party, unless such settlement includes an unconditional
release of such indemnified party from all liability on claims that are the subject matter of such
proceeding.
(c) To the extent the indemnification provided for in Section 10(a), 10(b) or 10(c) is
unavailable to an indemnified party or insufficient in respect of any losses, claims, damages or
liabilities referred to therein, then each indemnifying party under such paragraph, in lieu of
indemnifying such indemnified party thereunder, shall contribute to the amount paid or payable by
such indemnified party as a result of such losses, claims, damages or liabilities (i) in such
proportion as is appropriate to reflect the relative benefits received by the indemnifying party or
parties on the one hand and the indemnified party or parties on the other hand from the offering of
the Shares or (ii) if the allocation provided by clause 10(e)(i) above is not permitted by
applicable law, in such
27
proportion as is appropriate to reflect not only the relative benefits referred to in clause
10(e)(i) above but also the relative fault of the indemnifying party or parties on the one hand and
of the indemnified party or parties on the other hand in connection with the statements or
omissions that resulted in such losses, claims, damages or liabilities, as well as any other
relevant equitable considerations. The relative benefits received by the Company and the Selling
Shareholders on the one hand and the Underwriters on the other hand in connection with the offering
of the Shares shall be deemed to be in the same respective proportions as the net proceeds from the
offering of the Shares (before deducting expenses) received by the Selling Shareholders and the
total underwriting discounts and commissions received by the Underwriters, in each case as set
forth in the table on the cover of the Prospectus, bear to the aggregate Public Offering Price of
the Shares. The relative fault of the Company and the Selling Shareholders on the one hand and the
Underwriters on the other hand shall be determined by reference to, among other things, whether the
untrue or alleged untrue statement of a material fact or the omission or alleged omission to state
a material fact relates to information supplied by the Company or the Selling Shareholders or by
the Underwriters and the parties’ relative intent, knowledge, access to information and opportunity
to correct or prevent such statement or omission. The Underwriters’ respective obligations to
contribute pursuant to this Section 10 are several in proportion to the respective number of Shares
they have purchased hereunder, and not joint. The liability of each Selling Shareholder under the
contribution agreement contained in this paragraph shall be several and limited to an amount equal
to the aggregate Public Offering Price of the Shares sold by such Selling Shareholder under this
Agreement (before payment of fees and expenses but after deducting discounts and commissions paid
to the Underwriters).
(f) The Company and the Selling Shareholders and the Underwriters agree that it would not be
just or equitable if contribution pursuant to this Section 10 were determined by pro rata
allocation (even if the Underwriters were treated as one entity for such purpose) or by any other
method of allocation that does not take account of the equitable considerations referred to in
Section 10(e). The amount paid or payable by an indemnified party as a result of the losses,
claims, damages and liabilities referred to in the immediately preceding paragraph shall be deemed
to include, subject to the limitations set forth above, any legal or other expenses reasonably
incurred by such indemnified party in connection with investigating or defending any such action or
claim. Notwithstanding the provisions of this Section 10, no Underwriter shall be required to
contribute any amount in excess of the amount by which the total price at which the Shares
underwritten by it and distributed to the public were offered to the public exceeds the amount of
any damages that such Underwriter has otherwise been required to pay by reason of such untrue or
alleged untrue statement or omission or alleged omission. No person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the Securities Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent misrepresentation. The remedies
provided for in this Section 10 are not exclusive and shall not limit any rights or
28
remedies which may otherwise be available to any indemnified party at law or in equity.
(g) The indemnity and contribution provisions contained in this Section 9 and the
representations, warranties and other statements of the Company and the Selling Shareholders
contained in this Agreement shall remain operative and in full force and effect regardless of (i)
any termination of this Agreement, (ii) any investigation made by or on behalf of any Underwriter,
any person controlling any Underwriter or any affiliate of any Underwriter, any Selling Shareholder
or any person controlling any Selling Shareholder, or the Company, its officers or directors or any
person controlling the Company and (iii) acceptance of and payment for any of the Shares.
11. No Fiduciary Duty. Each of the Company and the Selling Shareholders acknowledges and
agrees that the Underwriters are acting solely in the capacity of an arm’s length contractual
counterparty to the Selling Shareholders with respect to the offering of Shares contemplated hereby
(including in connection with determining the terms of the offering) and not as a financial advisor
or a fiduciary to, or an agent of, the Company, the Selling Shareholders or any other person.
Additionally, neither the Managers nor any other Underwriter is advising the Company, the Selling
Shareholders or any other person as to any legal, tax, investment, accounting or regulatory matters
in any jurisdiction. The Company and the Selling Shareholders shall consult with their own
advisors concerning such matters and shall be responsible for making their own independent
investigation and appraisal of the transactions contemplated hereby, and the Underwriters shall
have no responsibility or liability to the Company or the Selling Shareholders with respect
thereto. Any review by the Underwriters of the Company, the transactions contemplated hereby or
other matters relating to such transactions will be performed solely for the benefit of the
Underwriters and shall not be on behalf of the Company or the Selling Shareholders.
12. Termination. The Underwriters may terminate this Agreement by notice given by you to the
Company, if after the execution and delivery of this Agreement and prior to the Closing Date (i)
trading generally shall have been suspended or materially limited on, or by, as the case may be,
any of the New York Stock Exchange, the American Stock Exchange, the Nasdaq National Market, the
Chicago Board of Options Exchange, the Chicago Mercantile Exchange or the Chicago Board of Trade,
(ii) trading of any securities of the Company shall have been suspended on any exchange or in any
over-the-counter market, (iii) a material disruption in securities settlement, payment or clearance
services in the United States shall have occurred, (iv) any moratorium on commercial banking
activities shall have been declared by Federal or New York State authorities, (v) there shall have
occurred any outbreak or escalation of hostilities, or any change in financial markets or any
calamity or crisis that, in your judgment, is material and adverse and which, singly or together
with any other event specified in this clause (v), makes it, in your judgment, impracticable
29
or inadvisable to proceed with the offer, sale or delivery of the Shares on the terms and in
the manner contemplated in the Time of Sale Information or the Prospectus or (vi) the
representation in Section 1(c) is incorrect in any respect.
13. Effectiveness; Defaulting Underwriters. This Agreement shall become effective upon the
execution and delivery hereof by the parties hereto.
If, on the Closing Date or an Option Closing Date, as the case may be, any one or more of the
Underwriters shall fail or refuse to purchase Shares that it has or they have agreed to purchase
hereunder on such date, and the aggregate number of Shares which such defaulting Underwriter or
Underwriters agreed but failed or refused to purchase is not more than one-tenth of the aggregate
number of the Shares to be purchased on such date, the other Underwriters shall be obligated
severally in the proportions that the number of Firm Shares set forth opposite their respective
names in Schedule II bears to the aggregate number of Firm Shares set forth opposite the names of
all such non-defaulting Underwriters, or in such other proportions as you may specify, to purchase
the Shares which such defaulting Underwriter or Underwriters agreed but failed or refused to
purchase on such date; provided that in no event shall the number of Shares that any Underwriter
has agreed to purchase pursuant to this Agreement be increased pursuant to this Section 13 by an
amount in excess of one-ninth of such number of Shares without the written consent of such
Underwriter. If, on the Closing Date, any Underwriter or Underwriters shall fail or refuse to
purchase Firm Shares and the aggregate number of Firm Shares with respect to which such default
occurs is more than one-tenth of the aggregate number of Firm Shares to be purchased on such date,
and arrangements satisfactory to you, the Company and the Selling Shareholders for the purchase of
such Firm Shares are not made within 36 hours after such default, this Agreement shall terminate
without liability on the part of any non-defaulting Underwriter, the Company or the Selling
Shareholders. In any such case either you or the relevant Selling Shareholders shall have the
right to postpone the Closing Date, but in no event for longer than seven days, in order that the
required changes, if any, in the Registration Statement, in the Time of Sale Information, in the
Prospectus or in any other documents or arrangements may be effected. If, on an Option Closing
Date, any Underwriter or Underwriters shall fail or refuse to purchase Additional Shares and the
aggregate number of Additional Shares with respect to which such default occurs is more than
one-tenth of the aggregate number of Additional Shares to be purchased on such Option Closing Date,
the non-defaulting Underwriters shall have the option to (i) terminate their obligation hereunder
to purchase the Additional Shares to be sold on such Option Closing Date or (ii) purchase not less
than the number of Additional Shares that such non-defaulting Underwriters would have been
obligated to purchase in the absence of such default. Any action taken under this paragraph shall
not relieve any defaulting Underwriter from liability in respect of any default of such Underwriter
under this Agreement.
If this Agreement shall be terminated by the Underwriters, or any of them, because of any
failure or refusal on the part of the Company or any Selling
30
Shareholder to comply with the terms or to fulfill any of the conditions of this Agreement, or
if for any reason the Company or any Selling Shareholder shall be unable to perform its obligations
under this Agreement, the Company and the Selling Shareholders will reimburse the Underwriters or
such Underwriters as have so terminated this Agreement with respect to themselves, severally, for
all out-of-pocket expenses (including the fees and disbursements of their counsel) reasonably
incurred by such Underwriters in connection with this Agreement or the offering contemplated
hereunder; provided, however, that in no event shall this Section 13 supercede any obligation the
Company may have to reimburse the Selling Shareholders in respect of any payments by the Selling
Shareholders of any such expenses.
14. Counterparts. This Agreement may be signed in two or more counterparts, each of which
shall be an original, with the same effect as if the signatures thereto and hereto were upon the
same instrument.
15. Applicable Law. This Agreement shall be governed by and construed in accordance with the
internal laws of the State of New York.
31
16. Headings. The headings of the sections of this Agreement have been inserted for convenience
of reference only and shall not be deemed a part of this Agreement.
17. Notices. All communications hereunder shall be in writing and effective only upon receipt
and if to the Underwriters shall be delivered, mailed or faxed and confirmed to you in care of X.X.
Xxxxxx Securities Inc., 000 Xxxx Xxxxxx, Xxx Xxxx, Xxx Xxxx 00000, Attention: Equity Syndicate
Group (fax: (000) 000-0000), Credit Suisse First Boston LLC, 00 Xxxxxxx Xxxxxx, Xxx Xxxx, Xxx Xxxx
00000, Attention: Transactions Advisory Group (fax: (000) 000-0000) and Banc of America Securities
LLC, 0 Xxxx 00xx Xxxxxx, Xxx Xxxx, Xxx Xxxx 00000, Attention: General Counsel (fax: (000) 000-0000)
if to the Company shall be delivered, mailed or sent to 00000 Xxxxxx Xxx Xxxxx, Xxxxxxxx, Xxxxxxxx
00000, Attention: Xxxxxx Xxxxx and if to the Selling Shareholders shall be delivered, mailed or
sent to c/o Warburg Pincus LLC, 000 Xxxxxxxxx Xxxxxx, Xxx Xxxx, Xxx Xxxx 00000, Attention: Bilge
Ogut.
Very truly yours, | ||||
NEUSTAR, INC. | ||||
By: | ||||
Name: | ||||
Title: |
32
WARBURG, XXXXXX EQUITY PARTNERS, X.X. | ||||
XXXXXXX, XXXXXX NETHERLANDS EQUITY PARTNERS I, X.X. | ||||
XXXXXXX, XXXXXX NETHERLANDS EQUITY PARTNERS III, C.V. | ||||
Each by: Warburg Pincus Partners, LLC, its General Partner |
||||
By: Warburg Pincus & Co., its Managing Member | ||||
By | ||||
Name: | ||||
Title: | ||||
MIDOCEAN CAPITAL INVESTORS, L.P. | ||||
By: | MidOcean Capital Partners, L.P., its General Partner | |||
By: | Existing Fund GP, Ltd., its General Partner | |||
By | ||||
Name: | ||||
Title: | ||||
ABS CAPITAL PARTNERS IV, L.P. | ||||
ABS CAPITAL PARTNERS IV OFFSHORE, L.P. | ||||
ABS CAPITAL PARTNERS IV-A, L.P. | ||||
ABS CAPITAL PARTNERS IV SPECIAL OFFSHORE, L.P. | ||||
Each by: | ABS Partners IV, L.L.C., as General Partner | |||
By | ||||
Name: | ||||
Title: |
33
The Selling Shareholders named in Schedule IV hereto, acting severally | ||||
By | ||||
Xxxx Xxxxxx | ||||
By | ||||
Xxxx Xxxxxxx | ||||
By | ||||
Xxxxxx X. Xxxxx |
34
Accepted as of the date hereof | ||||
X.X. Xxxxxx Securities Inc. | ||||
Credit Suisse First Boston LLC | ||||
Banc of America Securities LLC | ||||
Acting severally on behalf of themselves and the several Underwriters named in Schedule II hereto | ||||
By:
|
X.X. Xxxxxx Securities Inc. | |||
By: |
||||
Name: | ||||
Title: | ||||
By:
|
Credit Suisse First Boston LLC | |||
By: |
||||
Name: | ||||
Title: | ||||
By:
|
Banc of America Securities LLC | |||
By: |
||||
Name: Xxx Xxxxxxxx | ||||
Title: Managing Director |
35
SCHEDULE I
Maximum Number | ||||
Number of Firm | of Additional | |||
Selling Shareholder | Shares To Be Sold | Shares To Be Sold | ||
Warburg, Xxxxxx Equity Partners, X.X. |
||||
Xxxxxxx, Xxxxxx Netherlands Equity Partners I, XX |
||||
Xxxxxxx, Xxxxxx Netherlands Equity Partners III, CV |
||||
MidOcean Capital Investors, L.P. |
||||
ABS Capital Partners IV, L.P. |
||||
ABS Capital Partners IV Offshore, L.P. |
||||
ABS Capital Partners IV-A, L.P. |
||||
ABS Capital Partners IV Special Offshore, L.P. |
||||
Xxxx Xxxxxx
|
— | |||
Xxxx Xxxxxxx
|
— | |||
Xxxxxx X. Xxxxx
|
— | |||
Total: |
||||
I-1
SCHEDULE II
Number of Firm | ||
Underwriter | Shares To Be Purchased | |
X.X. Xxxxxx Securities Inc. |
||
Credit Suisse First Boston LLC |
||
Banc of America Securities LLC |
||
UBS Securities LLC |
||
Bear, Xxxxxxx & Co. Inc |
||
Xxxxxxxxx & Company, Inc. |
||
ThinkEquity Partners LLC |
||
Total: |
||
II-1
SCHEDULE III
Foreign Qualifications of the Company and Its Subsidiaries
Entity (Jurisdiction of Organization) | Foreign Qualifications | |||
1.
|
NeuStar, Inc. (Delaware) | California | ||
Colorado | ||||
District of Columbia | ||||
Illinois | ||||
Iowa | ||||
Missouri | ||||
New York | ||||
North Carolina | ||||
Oregon | ||||
Pennsylvania | ||||
Texas | ||||
Xxxxxxxx | ||||
Xxxxxxxxxx | ||||
2.
|
BizTelOne, Inc. (Delaware) | Virginia | ||
3.
|
NeuLevel, Inc. (Delaware) | Virginia | ||
4.
|
NeuStar Funding, LLC (Delaware) | None | ||
5.
|
NeuStar International, Inc. (Delaware) | None | ||
6.
|
NeuStar International Services, Inc. (Delaware) | Virginia | ||
7.
|
NeuStar Secretariat Services, LLC (Delaware) | None | ||
8.
|
NeuStar Subsidiary Corporation (Delaware) | None |
III-1
SCHEDULE IV
Management Selling Shareholders Executing
Underwriting Agreement
Underwriting Agreement
Xxxx Xxxxxx
Xxxx Xxxxxxx
Xxxxxx X. Xxxxx
Xxxx Xxxxxxx
Xxxxxx X. Xxxxx
XX-1
SCHEDULE V
Issuer Free Writing Prospectuses
None.
Pricing Information
Price per Share: $[ ]
V-1