Common use of Purchase and Sale and Closing Clause in Contracts

Purchase and Sale and Closing. 2.1 Purchase and Sale 13 2.2 Purchase Price 13 2.3 Closing 14 2.4 Closing Deliveries by Seller to Buyer 15 2.5 Closing Deliveries by Buyer to Seller 15 2.6 Settlement Statements 15 2.7 Express Exclusion of Operations Services from the Purchase and Sale 17 2.8 Withholding 17 ARTICLE III REPRESENTATIONS AND WARRANTIES REGARDING TIOGA AND THE HYDROCARBON GATHERING COMPANY 3.1 Organization; Good Standing 18 3.2 Authority 18 3.3 Capitalization of the Hydrocarbon Gathering Company 18 3.4 No Conflicts; Consents and Approvals 19 3.5 Compliance with Applicable Laws 19 3.6 Intellectual Property 20 3.7 Absence of Litigation 20 3.8 Real Property 21 3.9 Personal Property 22 3.10 Purchase Orders 23 3.11 Regulatory Status 23 3.12 Environmental Matters 23 3.13 Taxes 24 3.14 Contracts 25 3.15 Employees and Plans 26 3.16 Transactions with Affiliates 27 3.17 Broker’s Commissions 27 3.18 Records 27

Purchase and Sale and Closing. 2.1 Purchase and Sale 13 11 2.2 Purchase Price 13 11 2.3 Closing 14 11 2.4 Closing Deliveries by Seller to Buyer 15 11 2.5 Closing Deliveries by Buyer to Seller 15 12 2.6 Settlement Statements 15 Working Capital Adjustment 12 2.7 Express Exclusion of Operations Services from the Earnout 13 2.8 Purchase and Sale 17 2.8 Withholding 17 Price Allocation 13 ARTICLE III REPRESENTATIONS AND WARRANTIES REGARDING TIOGA SELLER AND THE HYDROCARBON GATHERING COMPANY COMPANIES 3.1 Organization; Good Standing 18 14 3.2 Authority 18 14 3.3 Capitalization of the Hydrocarbon Gathering Company 18 United Holdings 14 3.4 Subsidiaries 15 3.5 No Conflicts; Consents and Approvals 19 3.5 15 3.6 Financial Statements 16 3.7 Undisclosed Liabilities 16 3.8 Assets of Affiliates 16 3.9 Sufficiency of Assets 16 3.10 Accounts Receivable 16 3.11 Absence of Changes 16 3.12 Compliance with Applicable Laws 19 3.6 Intellectual Property 20 3.7 17 3.13 Absence of Litigation 17 3.14 Insurance 18 3.15 Property 18 3.16 Environmental Matters 18 3.17 Taxes 19 3.18 Contracts 20 3.8 Real Property 21 3.9 Personal Property 22 3.10 3.19 Purchase Orders 23 3.11 Regulatory Status 23 3.12 Environmental Matters 23 3.13 Taxes 24 3.14 Contracts 25 3.15 21 3.20 Employees and Plans 26 3.16 Labor Matters 21 3.21 Employee Benefits 22 3.22 Intellectual Property 24 3.23 Transactions with Affiliates 27 3.17 24 3.24 Bank Accounts 24 3.25 Broker’s Commissions 24 3.26 Phantom Equity Plan 24 ARTICLE IV REPRESENTATIONS AND WARRANTIES REGARDING BUYER 4.1 Organization 25 4.2 Authority 25 4.3 No Conflicts 25 4.4 Legal Proceedings 25 4.5 Bankruptcy 25 4.6 Broker’s Commissions 25 4.7 Acquisition as Investment 26 4.8 Financial Resources 26 4.9 Opportunity for Independent Investigation 26 ARTICLE V COVENANTS 5.1 Regulatory and Other Approvals 27 3.18 Records 275.2 Access of Buyer 28 5.3 Certain Restrictions 29 5.4 Employee and Benefit Matters 30 5.5 Resignation and Removal 31 5.6 Indebtedness, Distributions 31 5.7 Tax Matters 31 5.8 Public Announcements 33 5.9 Updating 33 5.10 Escrow Funds 33 5.11 Further Assurances 34 ARTICLE VI BUYER’S CONDITIONS TO CLOSING 6.1 Representations and Warranties 34 6.2 Performance 35 6.3 Officer’s Certificate 35 6.4 Orders and Laws 35 6.5 Consents and Approvals 35 6.6 Minority Interests 35 6.7 Purchase Orders 35 6.8 Lien Releases 35 ARTICLE VII SELLER’S CONDITIONS TO CLOSING 7.1 Representations and Warranties 35 7.2 Performance 36 7.3 Officer’s Certificate 36 7.4 Orders and Laws 36 7.5 Consents and Approvals 36 ARTICLE VIII TERMINATION 8.1 Right of Termination 36 8.2 Effect of Termination 36 ARTICLE IX LIMITATIONS ON LIABILITY, WAIVERS AND ARBITRATION 9.1 Survival of Representations and Warranties 37 9.2 Indemnification of Buyer by Seller 37 9.3 Indemnification of Seller by Buyer 37 9.4 Limitations 38 9.5 Claims Procedures 39 9.6 Waiver of Other Representations 40 9.7 Waiver of Remedies 41 9.8 Access to Information 41 9.9 Dispute Resolution and Arbitration 41 9.10 Arbitration Procedures 42 9.11 Determination of Amount of Damages; Mitigation 43 9.12 Set Off 43 ARTICLE X MISCELLANEOUS 10.1 Notices 44 10.2 Entire Agreement 45 10.3 Expenses 45 10.4 Disclosure 45 10.5 Waiver 45 10.6 Amendment 46 10.7 No Third Party Beneficiary 46 10.8 Assignment; Binding Effect 46 10.10 Counterparts; Facsimile 46 10.11 Exclusive Remedy 46 10.12 Governing Law; Enforcement, Jury Trial Waiver 46 10.13 Specific Performance 47 Exhibit A – Company Assignment Agreement Exhibit B – Indemnity Escrow Agreement Exhibit C – Working Capital Escrow Agreement Exhibit D – Earnout Provisions Schedule 1.1-A – Sample Calculation of Net Working Capital Schedule 1.1-K – Individuals with Knowledge Schedule 1.1-PL – Permitted Liens Schedule 2.6 – Estimated Net Working Capital Schedule 3.4 – Subsidiaries Schedule 3.5(b) – Company Consents Schedule 3.5(d) – Seller Approvals Schedule 3.7 – Undisclosed Liabilities Schedule 3.9 – Sufficiency of Assets Schedule 3.10 – Accounts Receivable Schedule 3.11 – Absence of Changes Schedule 3.12 – Compliance with Applicable Laws Schedule 3.13 – Absence of Litigation Schedule 3.14 – Insurance Schedule 3.15(a) – Owned Real Property Schedule 3.15(b) – Leased Real Property Schedule 3.16 – Environmental Matters Schedule 3.17 – Taxes Schedule 3.18(a) – Material Contracts Schedule 3.19(a) – Sales Orders Schedule 3.19(b) – Purchase Orders Schedule 3.20 – Employees and Labor Matters Schedule 3.21 – Benefit Plans Schedule 3.22 – Intellectual Property Schedule 3.23 – Transactions with Affiliates Schedule 3.24 – Bank Accounts Schedule 5.3 – Certain Restrictions Schedule 6.5 – Closing Condition Company Consents PURCHASE AND SALE AGREEMENT This PURCHASE AND SALE AGREEMENT, dated as of February 21, 2011 (this “Agreement”) is made and entered into by and between United Engines Holding Company, LLC, a Delaware limited liability company (“Seller”) and Xxxxx Engine Systems, Inc., a Delaware corporation (“Buyer”).

Purchase and Sale and Closing. 2.1 11 Section 2.01. Purchase and Sale 13 2.2 11 Section 2.02. Purchase Price 13 2.3 11 Section 2.03. Closing 14 2.4 11 Section 2.04. Closing Deliveries by Seller to Buyer 15 2.5 11 Section 2.05. Closing Deliveries by Buyer to Seller 15 2.6 Settlement Statements 15 2.7 Express Exclusion of Operations Services from the Purchase and Sale 17 2.8 Withholding 17 12 Section 2.06. Working Capital Adjustment 12 Section 2.07. Third-Party Credits 13 ARTICLE III REPRESENTATIONS AND WARRANTIES REGARDING TIOGA AND THE HYDROCARBON GATHERING COMPANY 3.1 14 Section 3.01. Organization; Good Standing 18 3.2 Authority 18 3.3 14 Section 3.02. Capitalization of the Hydrocarbon Gathering Company 18 3.4 14 Section 3.03. No Conflicts; Consents and Approvals 19 3.5 15 Section 3.04. Financial Statements; Absence of Undisclosed Liabilities 15 Section 3.05. Absence of Changes 15 Section 3.06. Compliance with Applicable Laws 19 3.6 Intellectual Property 20 3.7 16 Section 3.07. Absence of Litigation 20 3.8 17 Section 3.08. Insurance 17 Section 3.09. Real Property 21 3.9 and Personal Property 22 3.10 Purchase Orders 23 3.11 17 Section 3.10. Regulatory Status 23 3.12 17 Section 3.11. Environmental Matters 23 3.13 18 Section 3.12. Taxes 24 3.14 18 Section 3.13. Material Contracts 25 3.15 19 Section 3.14. Bank Accounts 20 Section 3.15. Surety Bonds and Credit 21 Section 3.16. Employees and Plans 26 3.16 21 Section 3.17. No Indebtedness 21 Section 3.18. Related Party Transactions with Affiliates 27 3.17 21 Section 3.19. No Bankruptcy 21 Section 3.20. Broker’s Commissions 27 3.18 21 Section 3.21. Commercial Counterparties 22 Section 3.22. Sufficiency of Assets. . 22 Section 3.23. Books and Records 2722 ARTICLE IV REPRESENTATIONS AND WARRANTIES OF SELLER 22 Section 4.01. Organization; Good Standing 22 Section 4.02. Authority 22 Section 4.03. Ownership of the Company Interests 22 Section 4.04. No Conflicts; Consents and Approvals 23 Section 4.05. Legal Proceedings 23 Section 4.06. No Bankruptcy 23 Section 4.07. Broker’s Commissions 23 ARTICLE V REPRESENTATIONS AND WARRANTIES OF BUYER 23 Section 5.01. Organization 23

Purchase and Sale and Closing. 2.1 Purchase and Sale 13 14 2.2 Purchase Price 13 14 2.3 Closing 14 15 2.4 Closing Deliveries by Seller to Buyer 15 2.5 Closing Deliveries by Buyer to Seller 15 2.6 Settlement Statements 15 16 2.7 Express Exclusion of Operations Services from the Purchase and Sale 17 2.8 Withholding 17 18 ARTICLE III REPRESENTATIONS AND WARRANTIES REGARDING TIOGA AND THE HYDROCARBON WATER GATHERING COMPANY 3.1 Organization; Good Standing 18 3.2 Authority 18 3.3 Capitalization of Tioga and the Hydrocarbon Water Gathering Company 18 19 3.4 No Conflicts; Consents and Approvals 19 3.5 Compliance with Applicable Laws 19 20 3.6 Intellectual Property 20 3.7 Absence of Litigation 20 21 3.8 Real Property 21 3.9 Personal Property 22 23 3.10 Purchase Orders 23 3.11 Regulatory Status 23 3.12 Environmental Matters 23 24 3.13 Taxes 24 3.14 Contracts 25 26 3.15 Employees and Plans 26 27 3.16 Transactions with Affiliates 27 3.17 Broker’s Commissions 27 3.18 Records 2727 3.19 Surety Bonds and Credit 28 3.20 No Bankruptcy 28 3.21 Financial Statements; No Undisclosed Material Liabilities; Indebtedness 28 3.22 Insurance 29 3.23 Bank Accounts 29 3.24 Imbalances 29 3.25 Preferential Purchase Rights 29 i