Credit Suisse Investment Banking Pitch Book
CONFIDENTIAL
Preliminary Summary of Transaction Terms (Cont'd)
TERM
Fees and Expenses
Funds Guarantee
SUMMARY DESCRIPTION
▸ Solar shall pay Parent's expenses, up to $25 million if Parent terminates due to the breach of a
Solar representation, warranty or covenant
▸ Solar shall pay Parent a termination fee of $300 million if
CREDIT FIRST
SUISSE BOSTON
Parent terminates due to the breach of a Solar representation, warranty or covenant, or
either party terminates due to the failure to obtain the required stockholder approval, and (a)
at or prior to the time of termination a competing proposal has been publicly announced that
is reasonably likely to have caused the approval of Solar's stockholders not to have been
obtained and (b) no later than 12 months after such termination, Solar enters into a definitive
agreement with respect to a transaction
Parent terminates due to the occurrence of a board termination act, or Solar terminates to
accept a superior proposal, unless, in either case, such termination is in connection with the
sale of Solar's availability services business, in which case the termination fee shall be $200
million
▸ Parent shall pay Solar a termination fee of $300 million if.
Solar terminates due to the breach of a Parent or Merger Sub representation, warranty or
covenant
Solar terminates due to the failure to consummate the Merger by [September 15, 2005],
unless the financing marketing period ends in the period from August 19, 2005 to September
2, 2005, then by [September 30, 2005), and Parent's and Merger Sub's conditions to close
have been satisfied, or
All the conditions to the obligations of Parent and Merger Sub to close have been satisfied
and the Merger is not consummated on the earlier of (a) the last day of the 15 business day
financing marketing period and the third business day after Parent has obtained the high
yield financing
[The Funds affiliated with Parent will jointly and severally, provide a guarantee for the obligations
and liabilities of Parent and Merger Sub under the Merger Agreement, up to a maximum amount of
$300 million]
Source: Based on Shearman and Sterling draft as of March 22, 2005.
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