Common use of Exchange Control Reporting Clause in Contracts

Exchange Control Reporting. Participant acknowledges and understands that if he or she is resident or domiciled in Brazil that he or she must submit a declaration of assets and rights held outside of Brazil to the Central Bank annually, if the aggregate value of Participant’s assets and rights exceeds US$100,000. Assets and rights that must be reported include: (i) bank deposits; (ii) loans; (iii) financing transactions; (iv) leases; (v) direct investments; (vi) portfolio investments, including Shares of the Company; (vii) financial derivative investments; and (viii) other investments such as real estate. By accepting the Options, Participant agrees that he or she will comply with Brazilian law when the Shares acquired upon exercise of the Options are sold. Participant also agrees to report and pay any and all taxes associated with the exercise of the Options and sale of any Shares issued when the Options are exercised.