X0306 4 2016-08-22 0 0000725876 Function(x) Inc. FNCX 0000940128 SILLERMAN ROBERT F X 902 BROADWAY FLOOR 11 NEW YORK NY 10010 1 1 1 0 Chairman & CEO Common Stock 30811268 I 1 Common Stock 37268 D Common Stock 8750000 I 2 Series C Preferred Stock 2016-08-22 4 A 0 23264 12 A 2016-08-22 Common Stock 16 I 1 Series C Preferred Stock 2016-08-22 4 A 0 153 13 A 2016-08-22 Common Stock 16 D Series C Preferred Stock 2016-08-22 4 A 0 4050 A 2016-08-22 Common Stock 16 I 2 Series C Preferred Stock 2016-08-22 4 A 0 3608 A 2016-08-22 Common Stock 16 I 3 Restricted Stock Unit Common Stock 93054 93054 D Warrants (right to buy) 1.78 2015-03-16 2020-03-16 Common Stock 350000 350000 I 1 Warrants (right to buy) 3.51 2014-10-24 2019-10-24 Common Stock 225000 225000 I 1 Warrants (right to buy) 2.98 2014-11-25 2019-11-25 Common Stock 150000 150000 I 1 Warrants (right to buy) 3.63 2014-12-15 2019-12-15 Common Stock 775000 775000 I 1 Warrants (right to buy) 80 2013-03-11 2018-03-11 Common Stock 125000 125000 I 1 Warrants (right to buy) 55.2 2013-09-16 2018-09-16 Common Stock 62500 62500 I 1 Warrants (right to buy) 80 Common Stock 175563 175563 I 10 Held by Sillerman Investment Company III LLC ("SIC III"), of which the Reporting Person is the manager and sole member. These shares were acquired in a transaction exempt from the provisions of Section 16(b) pursuant to Rule 16-b(3) thereunder. Held by Sillerman Investment Company IV LLC ("SIC IV"), of which the reporting person is the manager and sole member. These shares were acquired in a transaction exempt from the provisions of Section 16(b) pursuant to Rule 16b-3 thereunder. Held by Sillerman Investment Company VI ("SIC VI"), of which the Reporting Person is the manager and sole member. These shares were acquired in a transaction exempt from the provisions of Section 16(b) pursuant to Rule 16b-3 thereunder. Warrants previously acquired by SIC III, exercisable at $1.78 per share. Warrants previously acquired by SIC III, exercisable at $3.51 per share. Warrants previously acquired by SIC III, exercisable at $2.98 per share. Warrants previously acquired by SIC III, exercisable at $3.63 per share. Warrants previously acquired by the Reporting Person, exercisable at $80.00 per share. Warrants previously acquired by Sillerman Investment Company II, LLC ("SIC II"), of which the Reporting Person is the manager and sole member, exercisable at $55.20 per share. Warrants previously acquired by SIC II, exercisable at $80.00 per share. Restricted stock units in respect of 155,090 shares of Common Stock granted pursuant to the Company's 2011 Executive Incentive Plan. These restricted stock units vested as to 31,018 shares on May 1, 2015 and an additional 31,018 shares will vest on each of May 1, 2017, May 1, 2018 and May 1, 2019. Each restricted stock unit represents the right to receive, at settlement, one (1) share of common stock. This transaction represents the settlement of restricted stock units in shares of common stock on their scheduled vesting date. Debt held by SIC III was exchanged for shares of Series C Preferred Stock. Debt held by the Reporting Person was exchanged for shares of Series C Preferred Stock. Debt held by SIC IV was exchanged for shares of Series C Preferred Stock. Debt held by SIC VI was exchanged for shares of Series C Preferred Stock. Subject to the existing Exchange Agreement, the Series C Preferred Shares are exchangeable for common shares, the number of which will be based on the pricing at the time of exchange. The Series C Preferres Shares are exchangeable for common shares pursuant to a pre-existing exchange agreement. Any exchange is subject to certain conditions but there is no expiration on the time at which such exchange may occur. /s/ Robert F.X. Sillerman 2016-08-26