CONTROL AGREEMENT
Exhibit
99.10
EXECUTION COPY
Control Agreement, dated as of December 9, 2009, between NOMURA SECURITIES INTERNATIONAL,
INC., as collateral agent for the Secured Parties (in such capacity as collateral agent, the
“Collateral Agent”); JJ MEDIA INVESTMENT HOLDING LIMITED, an international business company
organized and existing under the laws of the British Virgin Islands (“Pledgor”); and NOMURA
SECURITIES INTERNATIONAL, INC., as securities intermediary (in such capacity,
“Intermediary”).
PREAMBLE:
1. Intermediary has established a securities account, number 011-497320, in the name of
Pledgor (the “Account”).
2. Pledgor has granted Collateral Agent, on behalf of the Secured Parties, a security interest
in the Account pursuant to the Security Agreement, dated as of December 9, 2009, as may from time
to time be amended, modified or restated, between Pledgor and Collateral Agent (the “Security
Agreement”).
3. Collateral Agent, Pledgor and Intermediary are entering into this Agreement to perfect the
security interest of Collateral Agent, on behalf of the Secured Parties, in the Account.
TERMS:
Section 1. The Account. All parties agree that the Account is a “securities account” within
the meaning of Article 8 of the Uniform Commercial Code as in effect from time to time in the State
of New York (the “UCC”) and that all property held by Intermediary in the Account will be
treated as financial assets under the UCC. Intermediary has not agreed and will not agree with any
third party to comply with entitlement orders or other directions concerning the Account originated
by such third party without the prior written consent of Collateral Agent and Pledgor.
Section 2. Subordination of Lien. Intermediary hereby agrees and acknowledges that any
security interest or lien in favor of Intermediary on the Account or any property credited to the
Account as a result of any indebtedness of Pledgor to Intermediary (including, without limitation,
any fees or commissions in respect of the Account) shall be subject and subordinate to the security
interest in favor of Collateral Agent.
Section 3. Control. Intermediary will comply with entitlement orders originated by
Collateral Agent concerning the Account or any financial asset credited thereto without further
consent by Pledgor, unless otherwise required by legal or regulatory requirements, including
Regulation T promulgated by the Board of Governors of the Federal Reserve System and Rule 431 of
the New York Stock Exchange. Intermediary will not act on any entitlement order or other
instruction of Pledgor without the written consent of Collateral Agent (provided that
Pledgor shall retain its right to exercise any voting rights with respect to any securities
held in or credited to the Account without such consent).
Section 4. Representations, Warranties and Covenants of Intermediary. Intermediary
represents and warrants to and agrees with Collateral Agent as follows:
(i) The Account will be maintained in the manner set forth herein until termination of this
Agreement, and Intermediary will not change the name or account number of the Account
without the prior consent of Collateral Agent.
(ii) This Agreement has been duly authorized by and is the legal, valid and binding
obligation of Intermediary, enforceable against it in accordance with its terms.
(iii) Intermediary has not entered into, and until the termination of this Agreement will
not enter into, (x) any other agreement pursuant to which it agrees to comply with
entitlement orders with respect to the Account, or (y) any other agreement purporting to
limit or condition the obligation of the Intermediary to comply with entitlement orders
originated by Collateral Agent as set forth in Section 3 hereof.
(iv) Intermediary has no knowledge of any claim to or interest in the Account, other than
the interests therein of Collateral Agent and Pledgor. If any person or entity asserts any
lien, encumbrance or adverse claim (including any writ, garnishment, judgment, warrant of
attachment, execution or similar process) against the Account, Intermediary will use its
best efforts to notify Collateral Agent and Pledgor promptly thereof.
(v) Intermediary will use its best efforts to deliver promptly to Collateral Agent copies
of all statements, confirmations and other communications by Intermediary relating to the
Account.
Section 5. Indemnification of Intermediary. Pledgor hereby agrees to indemnify and hold
harmless Intermediary, its directors, officers, agents and employees against any and all claims,
causes of action, liabilities, lawsuits, demands and damages, including without limitation, any and
all court costs and reasonable attorney’s fees, in any way related to or arising out of or in
connection with this Agreement or any action taken or not taken pursuant hereto, except to the
extent caused by Intermediary’s gross negligence or willful misconduct.
Section 6. Customer Agreement. In the event of a conflict between this Agreement and any
other agreement between Intermediary and Pledgor, the terms of this Agreement will prevail, unless
otherwise required by legal or regulatory requirements, including Regulation T promulgated by the
Board of Governors of the Federal Reserve System and Rule 431 of the New York Stock Exchange;
provided, however, that this Agreement shall not alter or affect any mandatory
arbitration provision currently in effect between Intermediary and Pledgor pursuant to a separate
agreement.
Section 7. Termination. This Agreement shall continue in effect until Collateral Agent has
notified Intermediary in writing that this Agreement, or its security interest in the Account, is
terminated. Upon receipt of such notice the obligations of Intermediary hereunder with respect
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to the operation and maintenance of the Account after the receipt of such notice shall
terminate, Collateral Agent shall have no further right to originate entitlement orders concerning
the Account.
Section 8. Amendments. No amendment or waiver of any provision of this Agreement shall be
effective unless in writing signed by the parties hereto, and each such waiver or consent shall be
effective only in the specific instance and for the specific purpose for which given.
Section 9. Severability. If any provision of this Agreement is held to be illegal, invalid
or unenforceable, (a) the legality, validity and enforceability of the remaining provisions of this
Agreement shall not be affected or impaired thereby and (b) the parties shall endeavor in good
faith negotiations to replace the illegal, invalid or unenforceable provisions with valid
provisions the economic effect of which comes as close as possible to that of the illegal, invalid
or unenforceable provisions. The invalidity of a provision in a particular jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction.
Section 10. Successors. The terms of this Agreement shall be binding upon, and shall inure
to the benefit of, the parties hereto and their respective corporate successors or heirs and
personal representatives. This Agreement may be assigned by Collateral Agent to any successor of
Collateral Agent under the Margin Loan Agreement entered into by Pledgor and the Secured Parties on
December 9, 2009, provided that written notice thereof is given by Collateral Agent to
Intermediary.
Section 11. Notices. Except as otherwise expressly provided herein, any notice, order,
instruction, request or other communication required or permitted to be given under this Agreement
shall be in writing and deemed to have been properly given when delivered in person, or when sent
by telecopy or other electronic means and electronic confirmation of error-free receipt is received
or upon receipt of notice sent by certified or registered United States mail, return receipt
requested, postage prepaid, addressed to the party at the address set forth next to such party’s
name at the heading of this Agreement. Any party may change its address for notices in the manner
set forth above.
Section 12. Counterparts. This Agreement may be executed in any number of counterparts, all
of which shall constitute one and the same instrument, and any party hereto may execute this
Agreement by signing and delivering one or more counterparts. Delivery of an executed counterpart
of a signature page to this Agreement by telecopier shall be effective as delivery of an original
executed counterpart of this Agreement.
Section 13. Choice of Law. This Agreement (including, without limitation, the establishment
and maintenance of the account and all rights and obligations with respect thereto) shall be
governed by and construed in accordance with the law of the State of New York. The parties agree
that the securities intermediary’s jurisdiction (within the meaning of Article 8 of the UCC) with
respect to the Account and the transactions contemplated hereby is the State of New York.
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Section 14. Entire Agreement. This Agreement constitutes the entire agreement among the
parties hereto with respect to the subject matter hereof.
[Signatures on following page]
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed and
delivered as of the day and year first above written.
| JJ MEDIA INVESTMENT HOLDING LIMITED, as Pledgor |
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| By: | /s/ Xxxxx Xxxxxxx Xxxxx | |||
| Name: | Xxxxx Xxxxxxx Xxxxx | |||
| Title: | Director | |||
| NOMURA SECURITIES INTERNATIONAL, INC., as Collateral Agent |
||||
| By: | /s/ Xxxxxxx Xxxxx | |||
| Name: | Xxxxxxx Xxxxx | |||
| Title: | Managing Director | |||
| NOMURA SECURITIES INTERNATIONAL, INC., as Intermediary |
||||
| By: | /s/ Xxxxxxx Xxxxx | |||
| Name: | Xxxxxxx Xxxxx | |||
| Title: | Managing Director | |||
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