Exhibit 10.1

FIRST AMENDMENT TO THE

TUESDAY MORNING CORPORATION

EMPLOYEE STOCK PURCHASE PLAN

 

                THIS FIRST AMENDMENT TO THE TUESDAY MORNING CORPORATION EMPLOYEE
STOCK PURCHASE PLAN (this “Amendment”) is effective as set forth below and is
made by the Compensation Committee (the “Committee”) of Tuesday Morning
Corporation, a Delaware corporation (the “Company”).

PRELIMINARY STATEMENTS

                A.            The Company has previously established the Tuesday
Morning Corporation Employee Stock Purchase Plan (the “ESPP”), for the benefit
of eligible employees of the Company.  Capitalized terms used but not otherwise
defined herein shall have the meanings ascribed to them in the ESPP.

                B.            Pursuant to Section 8.1 of the ESPP, the Committee
has the right to make certain amendments to the ESPP.

                C.            The Committee desires to (1) establish a limit on
the number of shares of common stock that can be granted to employees pursuant
to the ESPP and (2) put a limit on the term of the ESPP.

AMENDMENT

                NOW, THEREFORE, the ESPP is hereby amended as follows, effective
September 18, 2007:

                1.  NUMBER OF SHARES; TERM.  Section 4.1 is hereby amended and
restated in its entirety to read as follows:

                “4.1         Number of Shares; Term.  The number of Shares which
the Company may offer to Participants under the Plan is limited to 250,000
Shares.  Such Shares shall be purchased in open market transactions.  Unless the
Plan is previously suspended or terminated upon the adoption of a resolution of
the Plan Administrators or the Board of Directors of the Company, purchases
under the Plan shall be permitted with respect to Employee payroll deductions
and Company matching contributions through December 31, 2007.  No Employee
payroll deductions or Company matching contributions shall be made under the
Plan for periods after December 31, 2007.  After Shares are purchased with
contributions made under the Plan for the month of December 2007, the Plan shall
terminate and the Plan Administrator shall take such actions as are required by
Section 8.2 of the Plan.”

 

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                2.  Except as expressly set forth herein, the ESPP shall remain
in full force and effect without further amendment or modification.

 

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                IN WITNESS WHEREOF, this Amendment has been executed by a duly
authorized officer of the Company as of the date specified below and effective
as set forth herein.

 

TUESDAY MORNING CORPORATION

 

 

Date:  September 19, 2007

By:

/s/ ELIZABETH A. SCHROEDER

 

Elizabeth A. Schroeder

 

Chief Financial Officer, Secretary and

 

Treasurer

 

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