VOTING AGREEMENT
EXHIBIT
99.16
THIS
VOTING AGREEMENT (this “Agreement”),
dated
as of February 9, 2007, is made and entered into by and among FS Acquisition
Corp., a British Columbia corporation (“Purchaser”),
Kingdom Hotels International, a Cayman Islands company (“Kingdom”),
Cascade Investment, L.L.C., a Washington limited liability company
(“Cascade”),
Triples Holdings Limited, an Ontario corporation (“Triples”),
and,
other than for purposes of Section
3(b)
hereof,
Four Seasons Hotels Inc., an Ontario corporation (the “Company”).
Kingdom, Cascade and Triples are referred to herein collectively as the
“Shareholders”
and
each individually as a “Shareholder.”
WHEREAS, Purchaser has entered into an agreement with the Company pursuant to which Purchaser has agreed to acquire all of the outstanding shares of capital stock of the Company (other than certain shares held by the Shareholders and the Xxxx and Xxxxxxx Xxxxx Foundation Trust, which shares will be contributed to the capital of Purchaser or which will be purchased by the Company) (the “Arrangement”), on the terms and subject to the conditions set forth in that certain Acquisition Agreement, dated of even date herewith between the Purchaser and the Company (as the same may be amended or supplemented, including the Plan of Arrangement, the “Acquisition Agreement”);
WHEREAS, Kingdom owns 7,389,132 Limited Voting Shares of the Company (such shares, together with any other equity interests in the Company acquired by Kingdom after the date hereof and during the term of this Agreement, the “Kingdom Subject Shares”);
WHEREAS, Cascade owns 715,850 Limited Voting Shares of the Company (such shares, together with any other equity interests in the Company acquired by Cascade after the date hereof and during the term of this Agreement, the “Cascade Subject Shares”);
WHEREAS, Triples owns 3,725,698 Variable Multiple Voting Shares of the Company (such shares, together with any other equity interests in the Company acquired by Triples after the date hereof and during the term of this Agreement, the “Triples Subject Shares,” and together with the Kingdom Subject Shares and the Cascade Subject Shares, the “Subject Shares,” and when referred to individually with respect to any Shareholder, such Shareholder’s “Subject Shares”); and
WHEREAS, as a condition to the willingness of Purchaser to enter into the Acquisition Agreement and incur the obligations set forth therein, Purchaser has required that the Shareholders agree and, in order to induce Purchaser to enter into the Acquisition Agreement, the Shareholders have agreed, to enter into this Agreement.
NOW,
THEREFORE, in consideration of the foregoing and the mutual covenants and
agreements herein contained, and intending to be legally bound hereby, the
parties hereto agree as follows:
Section
1.
Definitions.
Capitalized
terms used herein and not defined shall have the meanings specified in the
Acquisition Agreement.
Section
2.
Representations,
Warranties and Covenants of Shareholder.
Each
Shareholder represents and warrants to Purchaser, the Company and the other
Shareholders as follows:
(a)
Organization;
Authorization; No Conflicts.
Shareholder is duly organized, validly existing and in good standing under
the
laws of the jurisdiction of its organization. Shareholder has all requisite
power and authority to enter into this Agreement, perform its obligations
hereunder and to consummate the transactions contemplated hereby. The execution
and delivery of this Agreement by Shareholder, and the consummation of the
transactions contemplated hereby, have been duly authorized by all necessary
action on the part of Shareholder. This Agreement has been duly authorized,
executed and delivered by Shareholder and constitutes a legal, valid and binding
obligation of Shareholder enforceable in accordance with its terms. Neither
the
execution and delivery of this Agreement, nor the performance by such
Shareholder of its obligations hereunder or compliance with the terms hereof
require the authorization, consent, approval, license, exemption or other action
by, or filing with, any third party or Governmental Authority, do not violate
applicable law or conflict with or result in a breach of any of such
Shareholder’s organizational documents or contractual obligations applicable to
such Shareholder or to such Shareholder’s property or assets (except for any
agreements among any of the parties hereto); provided,
however,
that
the failure of this representation to be true and correct in all respects shall
not be a breach of this Agreement if such failure does not, in any manner,
impair or the delay the ability of such Shareholder to perform its obligations
under this Agreement or invalidate (in whole or in part) any actions taken
pursuant to this Agreement.
(b)
The
Subject Shares. Shareholder
is the sole record and beneficial owner of its Subject Shares. Shareholder
does
not own, of record or beneficially, any shares or beneficial interest of the
Company other than its Subject Shares. Subject to the disclosure in Triples
Form
13D filing with the SEC dated November 8, 2006 under the headings “1996 Trust
Agreement” and “Pledge”, Shareholder has the sole right to vote, or to dispose
of, its Subject Shares, and none of its Subject Shares is subject to any
agreement, arrangement or restriction with respect to the voting of its Subject
Shares, except as contemplated by this Agreement or any other agreements among
any of the parties hereto. Subject to the disclosure in Triples Form 13D filing
with the SEC dated November 8, 2006 under the headings “1996 Trust Agreement”
and “Pledge” and except for any agreements among any of the parties hereto,
there are no agreements or arrangements of any kind, contingent or otherwise,
obligating Shareholder to sell, transfer, assign, grant a participation interest
in, option, pledge, hypothecate or otherwise dispose or encumber (each, a
“Transfer”),
or
cause to be Transferred, any of its Subject Shares (other than as contemplated
by the Acquisition Agreement). No Person has any contractual or other right
or
obligation to purchase or otherwise acquire any of such Shareholder’s Subject
Shares, except as contemplated in any agreements among any of the parties
hereto.
(c)
Litigation.
There
is
no action, proceeding or investigation pending, or to the knowledge of
Shareholder threatened, against Shareholder that questions or could impact
the
validity of this Agreement or any action taken or to be taken by Shareholder
in
connection with this Agreement.
Section
3.
Agreement
to Vote in Favor and Against, Restrictions on Transfers, Irrevocable
Proxy.
Until
the
termination of this Agreement in accordance with Section
4,
each
Shareholder agrees, for the benefit of Purchaser, the Company (in respect of
Sections 3(a) and (c), but not Section 3(b)) and the other Shareholders, as
follows:
(a)
Agreement
to Vote in Favor.
At any
meeting of shareholders of the Company called to vote upon the Arrangement
and
the Acquisition Agreement or at any adjournment or postponement thereof or
in
any other circumstances upon which a vote, consent or other approval (including
by written consent in lieu of a meeting) with respect to the Arrangement and
the
Acquisition Agreement is sought, each Shareholder shall cause its Subject Shares
to be counted as present for purposes of establishing quorum and shall vote
(or
cause to be voted) its Subject Shares (i) in favor of the approval of the
Arrangement and the Acquisition Agreement and each of the transactions
contemplated by the Acquisition Agreement, and (ii) in favor of any other matter
necessary for the consummation of the Arrangement.
(b)
Agreement
to Vote Against.
At any
meeting of shareholders of the Company or at any adjournment or postponement
thereof or in any other circumstances upon which a vote, consent or other
approval of all or some of the shareholders of the Company is sought (including
by written consent in lieu of a meeting), each Shareholder shall cause its
Subject Shares to be counted as present for purposes of establishing quorum
and
shall vote (or cause to be voted) its Subject Shares against (i) any merger
agreement or merger (other than the Acquisition Agreement and the Arrangement),
consolidation, combination, sale or transfer of a material amount of assets,
amalgamation, plan of arrangement, reorganization, recapitalization,
dissolution, liquidation or winding up of or by the Company or any Acquisition
Proposal, (ii) any amendment of the Company’s charter document or bylaws or
other proposal or transaction involving the Company or any of its subsidiaries,
which amendment or other proposal or transaction would in any manner delay,
impede, frustrate, prevent or nullify the Arrangement, the Acquisition Agreement
or any of the other transactions contemplated by the Acquisition Agreement
or
change in any manner the voting rights of the Limited Voting Shares or the
Variable Multiple Voting Shares, and (iii) any action, agreement, transaction
or
proposal that would result in a breach of any representation, warranty,
covenant, agreement or other obligation of the Company in the Acquisition
Agreement.
(c)
Restrictions
on Transfer.
Except
for Transfers by any Shareholder to a controlled Affiliate of such Shareholder
that agrees to enter into a voting agreement on terms and conditions that,
prior
to such Transfer, are substantially identical to those contained in this
Agreement, each Shareholder agrees not to directly or indirectly, (i) Transfer,
or enter into any agreement, option or other arrangement (including any profit
sharing arrangement) with respect to the Transfer of, any of its Subject Shares
to any Person, other than pursuant to the Acquisition Agreement, or (ii) grant
any proxies, deposit any of its Subject Shares into any voting trust or enter
into any voting arrangement, whether by proxy, voting agreement or otherwise,
with respect to its Subject Shares, other than pursuant to this Agreement.
For
purposes of this paragraph (c), “Affiliate” means, with respect to any Person, a
Person that is controlled by such Person (it being understood that a Person
shall be deemed to “control” another Person, for purposes of this definition, if
such Person directly or indirectly has the power to direct or cause the
direction of the management and policies of such other Person, whether through
holding beneficial ownership interest in such other Person, through contracts
or
otherwise).
(d)
Certain Covenants.
From the
date hereof until the termination of this Agreement in accordance with
Section
4
hereof:
(i) Each Shareholder agrees not to take any action, other than any action permitted under Section 3(c) hereof, that would make any representation or warranty of such Shareholder contained herein untrue or incorrect or have the effect of preventing, impeding, interfering with or adversely affecting the performance by such Shareholder of its obligations under this Agreement.
(ii) Each Shareholder hereby waives any rights of appraisal or rights of dissent from the Arrangement that such Shareholder may have.
(iii) Each Shareholder hereby agrees to promptly notify Purchaser and the other Shareholders of the amount of any new equity interests in the Company acquired by such Shareholder, if any, after the date hereof. Any such equity interests shall be subject to the terms of this Agreement as though owned by such Shareholder on the date hereof.
(iv) Each Shareholder shall, from time to time, execute and deliver, or cause to be executed and delivered, such additional or further consents, documents and other instruments and shall take all such other action necessary or as Purchaser or any of the other Shareholders may reasonably request for the purpose of effectively carrying out the transactions contemplated by this Agreement.
Section
4.
Termination.
This
Agreement shall terminate upon the earlier of (i) the Effective Time and (ii)
the termination of the Acquisition Agreement in accordance with the terms
thereof. No party hereto shall be relieved from any liability for breach of
this
Agreement by reason of any such termination.
Section
5. Governing
Law; Jurisdiction; Waiver of Jury Trial.
This
Agreement shall be governed, including as to validity, interpretation and
effect, by the laws of the Province of Ontario and the laws of Canada applicable
therein, and shall be construed and treated in all respects as an Ontario
contract. Each of the parties hereby irrevocably attorns to the non-exclusive
jurisdiction of the Courts of the Province of Ontario in respect of all matters
arising under and in relation to this Agreement and the Arrangement.
EACH
PARTY TO THIS AGREEMENT HEREBY WAIVES ANY RIGHT TO TRIAL BY JURY IN ANY ACTION,
PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE)
ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY OR THE ACTIONS OF THE PARTIES IN THE NEGOTIATION, ADMINISTRATION,
PERFORMANCE AND ENFORCEMENT OF THIS AGREEMENT.
Section
6. Specific
Performance.
Each
Shareholder acknowledges and agrees that (i) the covenants, obligations and
agreements of such Shareholder contained in this Agreement relate to special,
unique and extraordinary matters, and (ii) a violation of any of the terms
of
such covenants, obligations or agreements will cause Purchaser and the other
Shareholders irreparable injury for which adequate remedies are not available
at
law. Therefore, each Shareholder agrees that Purchaser and each other
Shareholder shall be entitled to an injunction, restraining order or such other
equitable relief (without the requirement to post bond) as a court of competent
jurisdiction may deem necessary or appropriate to restrain such Shareholder
from
committing any violation of such covenants, obligations or agreements. These
injunctive remedies are cumulative and in addition to any other rights and
remedies Purchaser and the other Shareholders may have.
Section
7.
Amendment,
Waivers, Etc.
Neither
this Agreement nor any term hereof may be amended or otherwise modified other
than by an instrument in writing signed by all of the parties hereto. No
provision of this Agreement may be waived, discharged or terminated other than
by an instrument in writing signed by the party against whom the enforcement
of
such waiver, discharge or termination is sought.
Section
8.
Assignment;
No Third Party Beneficiaries.
This
Agreement shall not be assignable or otherwise transferable by a party without
the prior consent of the other parties, and any attempt to so assign or
otherwise transfer this Agreement without such consent shall be void and of
no
effect. This Agreement shall be binding upon the respective heirs, successors,
legal representatives and permitted assigns of the parties hereto. Nothing
in
this Agreement shall be construed as giving any Person, other than the parties
hereto and their heirs, successors, legal representatives and permitted assigns,
any right, remedy or claim under or in respect of this Agreement or any
provision hereof.
Section
9.
Notices.
All
notices, requests, claims, demands and other communications to any party
hereunder shall be in writing (including facsimile transmission) and shall
be
given by delivery in person, by prepaid overnight courier (providing proof
of
delivery), by facsimile or by registered or certified mail (postage prepaid,
return receipt requested) to the respective parties at the addresses or
facsimile numbers set forth on the signature page hereto or to such other
address or facsimile number as such party may hereafter specify for the purpose
by notice to the other parties hereto. All such notices, requests and other
communications shall be deemed received on the date of receipt by the recipient
thereof if received prior to 5:00 p.m. EST on a Business Day in the place of
receipt. Otherwise, any such notice, request or communication shall be deemed
to
have been received on the next succeeding Business Day in the place of
receipt.
Section
10.
Remedies.
No
failure or delay by any party in exercising any right, power or privilege
hereunder shall operate as a waiver thereof nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise
of any other right, power or privilege. The rights and remedies herein provided
shall be cumulative and not exclusive of any rights or remedies provided by
law.
Section
11.
Severability.
If
any
term, provision, covenant or restriction of this Agreement is held by a court
of
competent jurisdiction or other authority to be invalid, void or unenforceable,
the remainder of the terms, provisions, covenants and restrictions of this
Agreement shall remain in full force and effect and shall in no way be affected,
impaired or invalidated so long as the economic or legal substance of the
transactions contemplated hereby is not affected in any manner materially
adverse to any party. Upon such a determination, the parties shall negotiate
in
good faith to modify this Agreement so as to effect the original intent of
the
parties as closely as possible in an acceptable manner in order that the
transactions contemplated hereby be consummated as originally contemplated
to
the fullest extent possible.
Section
12.
Entire
Agreement.
This
Agreement and the Acquisition Agreement constitute the entire agreement between
the parties with respect to the subject matter of this Agreement and supersedes
all prior agreements and understandings, both oral and written, between the
parties with respect to the subject matter of this Agreement.
Section
13. Shareholder
Capacity.
Each
Shareholder has executed this Agreement solely in such Shareholder’s capacity as
a shareholder of the Company. Without limiting the foregoing, nothing in this
Agreement shall limit or affect any actions taken by such Shareholder, or any
representative of such Shareholder, in his or her capacity as an officer,
director, member, employee or manager of the Company.
Section
14. Section
Headings.
The
article and section headings of this Agreement are for convenience of reference
only and are not to be considered in construing this Agreement.
Section
15.
Counterparts.
This
Agreement may be executed in one 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.
[SIGNATURE
PAGE FOLLOWS]
IN
WITNESS WHEREOF, the parties hereto have executed this Voting Agreement as
of
the date first above written.
|
PURCHASER:
FS
ACQUISITION CORP.
By:
/s/ Xxxxxxx Xxxxxx
Name:
Xxxxxxx Xxxxxx
Title:
Director
|
Address: __________________________
__________________________
__________________________
Facsimile:
__________________
with
copy to:
__________________________
__________________________
__________________________
Facsimile:
__________________
|
|
KINGDOM:
KINGDOM
HOTELS INTERNATIONAL
By:
/s/ Xxxxxxx X. Xxxxx
Name:
Xxxxxxx X. Xxxxx
Title:
Authorized Signatory
|
Address: __________________________
__________________________
__________________________
Facsimile:
_________________
with
copy to:
Xxxxx
& Xxxxxxx LLP
000
00xx
Xxxxxx, XX
Xxxxxxxxxx,
XX 00000
Attn:
Xxxxx X. Xxxxxxxxx, Esq.
Facsimile:
(000) 000-0000
|
[Signatures
continue on following page.]
|
CASCADE:
CASCADE
INVESTMENT, L.L.C.
By:
/s/ Xxxxxxx Xxxxxx
Name:
Xxxxxxx Xxxxxx
Title:
Business Manager
|
Address:
__________________________
__________________________
__________________________
Facsimile:
__________________
with
copy to:
__________________________
__________________________
__________________________
Facsimile:
__________________
|
|
TRIPLES:
TRIPLES
HOLDINGS LIMITED
By:
/s/ Xxxxxxx Xxxxx
Name:
Xxxxxxx Xxxxx
Title:
President
|
Address: __________________________
__________________________
__________________________
Facsimile:
_________________
with
copy to:
__________________________
__________________________
__________________________
Facsimile:
_________________
|
|
COMPANY:
FOUR
SEASONS HOTELS INC.
By:
/s/ Xxxxxxxx Xxxxxx
Name:
Xxxxxxxx Xxxxxx
Title:
President & C.O.O.
By:
/s/ Xxxxxxxx Xxxxx
Name:
Xxxxxxxx Xxxxx
Title:
Vice President, General Counsel & Secretary
|
Address: __________________________
__________________________
__________________________
Facsimile:
_________________
with
copy to:
__________________________
__________________________
__________________________
Facsimile:
_________________
|
