New Jersey § 14a:10a-3

§ 14a:10a-3.

As used in this act: a. “ Affiliate ” means a person that directly, or indirectly through one or more intermediaries,

controls, or is controlled by, or is under common control with, a specified person. b. “ Announcement date ,” when used in reference to any business combination, means the date of the first

public announcement of the final, definitive proposal for that business combination. c. “ Associate ,” when used to indicate a relationship with any person, means (1) any corporation

or organization of which that person is an officer or partner or is, directly or indirectly,

the beneficial owner of 10% or more of any class of voting stock, (2) any trust or

other estate in which that person has a substantial beneficial interest or as to which

that person serves as trustee or in a similar fiduciary capacity, or (3) any relative

or spouse of that person, or any relative of that spouse, who has the same home as

that person. d. “ Beneficial owner ,” when used with respect to any stock, means a person: (1) that, individually or with or through any of its affiliates or associates, beneficially

owns that stock, directly or indirectly; (2) that, individually or with or through any of its affiliates or associates, has

(a) the right to acquire that stock (whether that right is exercisable immediately

or only after the passage of time), pursuant to any agreement, arrangement or understanding

(whether or not in writing), or upon the exercise of conversion rights, exchange rights,

warrants or options, or otherwise; provided, however, that a person shall not be

deemed the beneficial owner of stock tendered pursuant to a tender or exchange offer

made by that person or any of that person's affiliates or associates until that tendered

stock is accepted for purchase or exchange; or (b) the right to vote that stock pursuant

to any agreement, arrangement or understanding (whether or not in writing); provided,

however, that a person shall not be deemed the beneficial owner of any stock under

this subparagraph if the agreement, arrangement or understanding to vote that stock

(i) arises solely from a revocable proxy or consent given in response to a proxy or

consent solicitation made in accordance with the applicable rules and regulations

under the Exchange Act, and (ii) is not then reportable on a Schedule 13D under the

Exchange Act (or any comparable or successor report); or (3) that has any agreement, arrangement or understanding (whether or not in writing),

for the purpose of acquiring, holding, voting (except voting pursuant to a revocable

proxy or consent as described in subparagraph (b) of paragraph (2) of this subsection),

or disposing of that stock with any other person that beneficially owns, or whose

affiliates or associates beneficially own, directly or indirectly, that stock. e. “ Business combination ,” when used in reference to any resident domestic corporation and any interested

stockholder of that resident domestic corporation, means: (1) any merger or consolidation of that resident domestic corporation or any subsidiary

of that resident domestic corporation with (a) that interested stockholder or (b)

any other corporation (whether or not it is an interested stockholder of that resident

domestic corporation) which is, or after a merger or consolidation would be, an affiliate

or associate of that interested stockholder; (2) any sale, lease, exchange, mortgage, pledge, transfer or other disposition (in

one transaction or a series of transactions) to or with that interested stockholder

or any affiliate or associate of that interested stockholder of assets of that resident

domestic corporation or any subsidiary of that resident domestic corporation (a) having

an aggregate market value equal to 10% or more of the aggregate market value of all

the assets, determined on a consolidated basis, of that resident domestic corporation,

(b) having an aggregate market value equal to 10% or more of the aggregate market

value of all the outstanding stock of that resident domestic corporation, or (c) representing

10% or more of the earning power or income, determined on a consolidated basis, of

that resident domestic corporation; (3) the issuance or transfer by that resident domestic corporation or any subsidiary

of that resident domestic corporation (in one transaction or a series of transactions)

of any stock of that resident domestic corporation or any subsidiary of that resident

domestic corporation which has an aggregate market value equal to 5% or more of the

aggregate market value of all the outstanding stock of that resident domestic corporation

to that interested stockholder or any affiliate or associate of that interested stockholder,

except pursuant to the exercise of warrants or rights to purchase stock offered, or

a dividend or distribution paid or made, pro rata to all stockholders of that resident

domestic corporation; (4) the adoption of any plan or proposal for the liquidation or dissolution of that

resident domestic corporation proposed by, on behalf of or pursuant to any agreement,

arrangement or understanding (whether or not in writing) with that interested stockholder

or any affiliate or associate of that interested stockholder; (5) any reclassification of securities (including, without limitation, any stock split,

stock dividend, or other distribution of stock in respect of stock, or any reverse

stock split), or recapitalization of that resident domestic corporation, or any merger

or consolidation of that resident domestic corporation with any subsidiary of that

resident domestic corporation, or any other transaction (whether or not with, or into,

or otherwise involving that interested stockholder), proposed by, on behalf of or

pursuant to any agreement, arrangement or understanding (whether or not in writing)

with that interested stockholder or any affiliate or associate of that interested

stockholder, which has the effect, directly or indirectly, of increasing the proportionate

share of the outstanding shares of any class or series of stock or securities convertible

into voting stock of that resident domestic corporation or any subsidiary of that

resident domestic corporation which is directly or indirectly owned by that interested

stockholder or any affiliate or associate of that interested stockholder, except as

a result of immaterial changes due to fractional share adjustments; or (6) any receipt by that interested stockholder or any affiliate or associate of that

interested stockholder of the benefit, directly or indirectly (except proportionately

as a stockholder of that resident domestic corporation), of any loans, advances, guarantees,

pledges or other financial assistance or any tax credits or other tax advantages provided

by or through that corporation; provided, however, that the term “ business combination ” shall not be deemed to include the receipt of any of the foregoing benefits by that

resident domestic corporation or any of that corporation's affiliates arising from

transactions (such as intercompany loans or tax sharing arrangements) between that

resident domestic corporation and its affiliates in the ordinary course of business. f. “ Common stock ” means any stock other than preferred stock. g. “ Consummation date ,” with respect to any business combination, means the date of consummation of that

business combination. h. “ Control ,” including the terms “ controlling ,” “ controlled by ” and “ under common control with ,” means the possession, directly or indirectly, of the power to direct or cause the

direction of the management and policies of a person, whether through the ownership

of voting stock, by contract, or otherwise. A person's beneficial ownership of 10% or more of the voting power of a corporation's

outstanding voting stock shall create a presumption that that person has control of

that corporation. Notwithstanding the foregoing in this subsection, a person shall not be deemed to

have control of a corporation if that person holds voting power, in good faith and

not for the purpose of circumventing this section, as an agent, bank, broker, nominee,

custodian or trustee for one or more beneficial owners who do not individually or

as a group have control of that corporation. i. “ Exchange Act ” means the “Securities Exchange Act of 1934,” 48 Stat. 881 ( 15 U.S.C. s. 78a et seq. ) as the same has been or hereafter may be amended from time to time. j. “ Interested stockholder ,” when used in reference to any resident domestic corporation, means any person (other

than that resident domestic corporation or any subsidiary of that resident domestic

corporation) that: (1) is the beneficial owner, directly or indirectly, of 10% or more of the voting

power of the outstanding voting stock of that resident domestic corporation; or (2) is an affiliate or associate of that resident domestic corporation and at any

time within the five-year period immediately prior to the date in question was the

beneficial owner, directly or indirectly, of 10% or more of the voting power of the

then outstanding stock of that resident domestic corporation. For the purpose of determining whether a person is an interested stockholder pursuant

to this subsection, the number of shares of voting stock of that resident domestic

corporation deemed to be outstanding shall include shares deemed to be beneficially

owned by the person through application of subsection d. of this section but shall

not include any other unissued shares of voting stock of that resident domestic corporation

which may be issuable pursuant to any agreement, arrangement or understanding, or

upon exercise of conversion rights, warrants or options, or otherwise. k. “ Market value ,” when used in reference to property of any resident domestic corporation, means: (1) in the case of stock, the highest closing sale price during the 30-day period

immediately preceding the date in question of a share of that stock on the composite

tape for New York Stock Exchange-listed stocks, or, if that stock is not quoted on

that composite tape or if that stock is not listed on that exchange, on the principal

United States securities exchange registered under the Exchange Act on which that

stock is listed, or, if that stock is not listed on any such exchange, the highest

closing bid quotation with respect to a share of that stock during the 30-day period

preceding the date in question on the National Association of Securities Dealers,

Inc. Automated Quotations System, or any system then in use, or if no such quotations

are available, the fair market value on the date in question of a share of that resident

domestic stock as determined by the board of directors of that corporation in good

faith; and (2) in the case of property other than cash or stock, the fair market value of that

property on the date in question as determined by the board of directors of that resident

domestic corporation in good faith. l . “ Preferred stock ” means any class or series of stock of a resident domestic corporation which under

the bylaws or certificate of incorporation of that resident domestic corporation is

entitled to receive payment of dividends prior to any payment of dividends on some

other class or series of stock, or is entitled in the event of any voluntary liquidation,

dissolution or winding up of the resident domestic corporation to receive payment

or distribution of a preferential amount before any payments or distributions are

received by some other class or series of stock. m. “ Resident domestic corporation ” means an issuer of voting stock which is organized under the laws of this State , provided, however, that an issuer which did not have its principal executive offices

located in this State and did not have significant business operations in this State

on the date of enactment of P.L.2013, c. 40, may elect not to be a resident domestic corporation and not be governed by P.L.1986,

c. 74 ( C.14A:10A-1 et seq. ), by its board of directors adopting an amendment to its bylaws to that effect within

90 days of the date of enactment of P.L.2013, c. 40, and which amendment shall not be further amended by the board of directors . n. “ Stock ” means: (1) any stock or similar security, any certificate of interest, any participation

in any profit sharing agreement, any voting trust certificate, or any certificate

of deposit for stock; and (2) any security convertible, with or without consideration, into stock, or any warrant,

call or other option or privilege of buying stock without being bound to do so, or

any other security carrying any right to acquire, subscribe to or purchase stock. o . “ Stock acquisition date ,” with respect to any person and any resident domestic corporation, means the date

that person first becomes an interested stockholder of that resident domestic corporation. p. “ Subsidiary ” of any resident domestic corporation means any other corporation of which voting

stock having a majority of the votes entitled to be cast is owned, directly or indirectly,

by that resident domestic corporation. q. “ Voting stock ” means shares of capital stock of a corporation entitled to vote generally in the

election of directors.