Griffin Paper Corporation - Page 10

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                    9.  (a) The Board of Directors of LRFP shall                      
               consist of ten persons, eight of whom shall be                         
               nominated by LRC (the LRC Directors), and two of whom                  
               shall be nominated by [Griffin] (the [Griffin]                         
               Directors). As long as LRC owns shares of the Preferred                
               Stock and Common Stock, it will vote its shares so as                  
               to provide for the election of the two persons                         
               nominated by [Griffin], and as long as [Griffin] owns                  
               shares of the Preferred Stock and Common Stock, it will                
               vote its shares so as to provide for the election of                   
               the eight persons nominated by LRC.  * * *                             
               *      *       *        *        *       *       *                     
                         (b)  The by-laws of LRFP shall provide                       
                    that a majority of the whole Board of                             
                    Directors of LRFP shall constitute a quorum                       
                    for the transaction of business and that the                      
                    act of a majority of the directors present at                     
                    a meeting at which a quorum is present shall                      
                    be the act of the Board of Directors.                             
               *      *       *        *        *       *       *                     
                    10.  The authorization of any of the corporate                    
               actions set forth below shall require the favorable                    
               vote or consent in writing of the holders of at least                  
               96 percent of the outstanding shares of the Common                     
               Stock:                                                                 
                         (a)  Any merger or consolidation of LRFP                     
                    which would reduce [Griffin's] interest in                        
                    the Common Stock of LRFP to less than 5                           
                    percent or the dissolution or liquidation of                      
                    LRFP.                                                             
                         (b)  Any issuance by LRFP of additional                      
                    shares of the Common Stock (except as stock-                      
                    splits or stock dividends).                                       
                         (c)  Any method of financing LRFP                            
                    involving the purchase by [Griffin] of                            
                    additional securities of LRFP, but nothing                        
                    herein shall preclude LRFP from issuing any                       
                    securities of any kind, including additional                      
                    shares of the Preferred Stock, to any person,                     
                    provided the interest, dividend or other rate                     




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Last modified: May 25, 2011