19 October 2016

Merger Implementation Deed

Attached is a copy of the Merger Implementation Deed entered into between Tatts Group Limited and Tabcorp Holdings Limited.

Page 1 of 1

Deed

EXECUTION

Merger implementation deed

Tabcorp Holdings Limited Tatts Group Limited

rodd.levy@hsf.com

101 Collins Street Melbourne Vic 3000 Australia GPO Box 128A Melbourne Vic 3001 Australia

T +61 3 9288 1234 F +61 3 9288 1567

herbertsmithfreehills.com DX 240 Melbourne

Contents

Table of contents

  1. Definitions and interpretation 2

  2. Definitions 2

  3. Interpretation 15

  4. Interpretation of inclusive expressions 16

  5. Business Day 16

  6. Deed components 16

  7. Awareness 16

  8. Agreement to proceed with the Transaction 16
  9. Conditions Precedent and pre-implementation steps 17

  10. Conditions Precedent 17

  11. Reasonable endeavours 18

  12. Waiver of Conditions Precedent 19

  13. Termination on failure of Condition Precedent 19

  14. Certain notices relating to Conditions Precedent 21

  15. Transaction steps 21

  16. Scheme 21

  17. Scheme Consideration 21

  18. New Tabcorp Shares 22

  19. Ineligible Foreign Shareholders 23

  20. Provision of Tatts Share information. 23

  21. No amendment to the Scheme without consent 23

  22. Excluded Tatts Shareholders 23

  23. Implementation 24

  24. Timetable 24

  25. 5.2 ......................................................................................................24

    5.3 ...............................................................................................27

    1. Tatts Board recommendation 29

    2. Responsibility statements 29

    3. Conduct of Court proceedings 30

    4. Executive Incentive Arrangements 30

      1. Conduct of business and Permitted Dividends 31

      2. Conduct of business 31

      3. Permitted Ordinary Course Dividends 34

      4. Tatts Special Dividend 34

      5. Profile of Merged Entity 35

      6. Tabcorp board composition 35

      7. Tatts board composition 35

      8. Chairman and Chief Executive Officer 35

      9. Senior management 35

      10. Integration Planning 35

      11. Pre-Implementation Date Integration planning 35

      12. Integration Due Diligence 36

        46160947.90 Printed 18/10/16 (17:54) Merger implementation deed Contents 1

        Contents

        8.3 Change of control provisions 36

      13. Representations and warranties 37

      14. 9.1 ..............................................................37

        9.2 .................................................................................................37

        9.3 ..............37

        9.4 ......................................................................38

        9.5 ........................................................................................................38

        9.6 .....................38

        1. Survival of representations and warranties 38

        2. Survival of indemnities 38

        3. Timing of representations and warranties 38

        4. No representation or reliance 39

          1. Releases 39

          2. Tatts and Tatts directors and officers 39

          3. Tabcorp and Tabcorp directors and officers 39

          4. Deeds of indemnity and insurance 40

          5. Public announcement 40

          6. Announcement of the Transaction 40

          7. Subsequent announcements and disclosure 41

          8. Confidentiality 41
          9. Exclusivity 41

          10. No shop and no talk 41

          11. Fiduciary exception 42

          12. Notification of approaches 42

          13. Matching right 42

          14. Receipt of Competing Proposal by Tabcorp 43

          15. No shop 43

          16. Notification of approaches 44

          17. Provision of information by Tatts 44

          18. Compliance with law 44

          19. Reimbursement Fee and Competition Approval Reimbursement Fee 45

          20. Background to Reimbursement Fee and Competition Approval Reimbursement Fee 45

          21. Tatts Reimbursement Fee triggers 45

          22. Tabcorp Reimbursement Fee triggers 46

          23. Timing of payment of Reimbursement Fee 46

          24. Basis of Reimbursement Fee and Competition Approval Reimbursement Fee 47

          25. Compliance with law 47

          26. Reimbursement Fee payable only once 48

          27. Other Claims 48

          28. No Reimbursement Fee or Competition Approval Reimbursement Fee if

            Scheme Effective 48

          29. Competition Approval Reimbursement Fee 48

          30. Termination 48

          31. Termination for material breach 48

          32. Termination for breach of representations and warranties 50

          33. 46160947 Merger implementation deed Contents 2

      Tatts Group Limited published this content on 19 October 2016 and is solely responsible for the information contained herein.
      Distributed by Public, unedited and unaltered, on 18 October 2016 23:13:04 UTC.

      Original documenthttps://tattsgroup.s3.amazonaws.com/2+16.10.19+TAH+TTS+MID.pdf

      Public permalinkhttp://www.publicnow.com/view/799EFC784B5246D3A5D80D6AE3D1A17BD866AC9A