PAYPALHOLDINGS,INC.2015EQUITYINCENTIVEAWARDPLAN(MARKED) ARTICLE11 ChangesinCapitalStructure 11.1 Adjustments. (a) In the event of any stock dividend, stock split, combination or exchange of shares, merger, consolidationor other distribution (other than normal cash dividends)of Companyassetsto stockholders,or any other changeaffectingthe sharesofStockorthesharepriceoftheStockotherthananEquityRestructuring,theCommitteeshallmakesuch equitableadjustments,if any, as the Committeein its discretionmay deemappropriateto reflectsuchchangewith respectto(i) the aggregatenumberandkindofsharesthatmaybeissuedunderthePlan(including,butnotlimitedto, adjustmentsofthelimitationsin Sections3.1 and3.3); (ii) the number and kind of shares (or other securitiesor property) subjecttooutstandingAwards;(iii) the termsandconditionsof anyoutstandingAwards(including,withoutlimitation, anyapplicableperformancetargetsorcriteriawithrespectthereto);and(iv)thegrantorexercisepricepersharefor anyoutstandingAwardsunderthePlan. (b) In the event of any transaction or event describedin Section 11.1 or any unusual or nonrecurringtransactionsor eventsaffectingtheCompany,anyaffiliateoftheCompany,orthefinancialstatementsoftheCompanyoranyofits affiliates, or of changes in applicable laws, regulations or accounting principles, the Committee, in its sole and absolute discretion, and on such terms and conditionsas it deems appropriate,either by the terms of the Award or by action takenpriortotheoccurrenceofsuchtransactionoreventandeitherautomaticallyorupontheParticipantsrequest,is herebyauthorizedtotakeanyoneormoreofthefollowingactionswhenevertheCommitteedeterminesthatsuch actionis appropriatein order to preventdilution or enlargementof the benefitsor potentialbenefitsintendedto be madeavailableunderthePlanorwithrespecttoanyAwardunderthePlan,tofacilitatesuchtransactionsoreventsor to give effect to such changesin laws, regulations or principles: (i) To provide for either (A) termination of any such Award in exchange for an amount of cash, if any, equal to the amountthatwouldhavebeenattainedupontheexerciseofsuchAwardorrealizationoftheParticipantsrights (and, for the avoidanceof doubt, if as of the date of the occurrenceof the transactionor event describedin this Section11.1 the Committeedeterminesingoodfaiththatnoamountwouldhavebeenattainedupontheexercise of such Awardorrealizationof the Participantsrights, then such Award may be terminatedby the Company withoutpayment)or(B)thereplacementofsuchAwardwithotherrightsorpropertyselectedbytheCommitteein its sole discretion; (ii) To provide that such Award be assumedby the successoror survivorcorporation,or a parentor subsidiary thereof, or shall be substituted for by similar options, rights or awards covering the stock of the successor or survivor corporation,or a parent or subsidiary thereof, with appropriateadjustmentsas to the number and kind of sharesandprices; (iii) To make adjustmentsin the number and type of shares of Stock (or other securitiesor property) subject to outstandingAwards,andinthenumberandkindofoutstandingRestrictedStockorDeferredStockUnitsand/orin thetermsandconditionsof(includingthegrantorexerciseprice),andthecriteriaincludedin,outstandingoptions, rights and awardsandoptions,rightsandawardswhichmaybegrantedinthefuture; (iv) To provide that such Award shall be exercisableor payable or fully vested with respect to all shares covered thereby,notwithstandinganythingtothecontraryinthePlanortheapplicableAwardAgreement;and (v) To provide that the Award cannot vest, be exercisedor becomepayableaftersuchevent. (c) In connectionwith the occurrenceof any Equity Restructuring,and notwithstandinganythingto the contraryin Sections11.1(a) and 11.1(b): (i) The number and type of securitiessubject to each outstandingAwardand the exercisepriceor grantprice thereof, if applicable, will be equitably adjusted. The adjustments provided under this Section 11.1(c)(i) shall be nondiscretionaryandshallbefinalandbindingontheaffectedParticipantandtheCompany. (ii) The Committeeshall make such equitableadjustments,if any, as the Committeein its discretionmay deem appropriateto reflect such Equity Restructuringwith respectto the aggregatenumberand kind of sharesthat may beissuedunderthePlan(including,butnotlimitedto,adjustmentsofthelimitationsinSections3.1and3.3). (iii) To the extent that such equitable adjustments result in tax consequencesto the Participant,the Participantshall beresponsibleforpaymentofsuchtaxesandshallnotbecompensatedforsuchpaymentsbytheCompanyorits Subsidiaries. (d) The existenceof the Plan, the Award AgreementandtheAwardsgrantedhereundershallnotaffectorrestrictinany waytherightorpoweroftheCompanyorthestockholdersoftheCompanytomakeorauthorizeanyadjustment, recapitalization,reorganizationor other change in the Companyscapitalstructureor its business,any mergeror 132 •2023ProxyStatement