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Exhibit 10.22  


 
 

Amended and Restated 1996 Long-Term Incentive Plan    
    
    Sabre Holdings Corporation    
    
    As Amended May 14, 2002    






 
CONTENTS  



	 
	 	Page

	Section 1. Purpose; Definitions	 	1
	

Section 2. Administration	
 	

2
	

Section 3. Stock Subject to Plan	
 	

4
	

Section 4. Eligibility	
 	

4
	

Section 5. Stock Options	
 	

4
	

Section 6. Stock Appreciation Rights	
 	

7
	

Section 7. Restricted Stock	
 	

8
	

Section 8. Deferred Stock	
 	

9
	

Section 9. Stock Purchase Rights	
 	

10
	

Section 10. Other Stock-Based Awards	
 	

10
	

Section 11. Performance Related Awards	
 	

11
	

Section 12. Change in Control Provisions	
 	

12
	

Section 13. Amendments and Termination	
 	

15
	

Section 14. Unfunded Status of Plan	
 	

15
	

Section 15. General Provisions	
 	

15
	

Section 16. Term of Plan	
 	

16




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Sabre Holdings Corporation

Amended and Restated 1996 Long-Term Incentive Plan  


Section 1. Purpose; Definitions  


        The purpose of the Sabre Holdings Corporation Amended and Restated 1996 Long-Term Incentive Plan (the "Plan") is to enable Sabre Holdings Corporation
(the "Company") to attract, retain, and reward non-employee directors, officers, managers, and key employees of the Company and its Subsidiaries and Affiliates, and strengthen the
mutuality of interests between such individuals and the Company's shareholders, by offering such individuals performance-based stock incentives and/or other equity interests or equity-based incentives
in the Company, as well as performance-based incentives payable in cash. The Plan is intended to replace and supersede the Company's 1996 Long-Term Incentive Plan (the "1996 Plan"). 


        For
purposes of the Plan, the following terms shall be defined as set forth below 


        (a)   "Affiliate" means any entity other than the Company and its Subsidiaries that is designated by the Board as a
participating employer under the Plan, provided that the Company directly or indirectly owns at least twenty percent (20%) of the combined voting power of all classes of stock of such entity or at
least twenty percent (20%) of the ownership interests in such entity. 


        (b)   "Board" means the Board of Directors of the Company. 


        (c)   "Book Value" means, as of any given date, on a per share basis (a) the Stockholders' Equity in the Company as of
the end of the immediately preceding fiscal year as reflected in the Company's consolidated balance sheet, subject to such adjustments as the Committee shall specify at or after grant, divided by
(b) the number of then outstanding shares of Stock as of such year-end date (as adjusted by the Committee for subsequent events). 


        (d)   "Cause" means, but is not limited to, any of the following actions: theft, dishonesty or fraud, insubordination,
persistent inattention to duties or excessive absenteeism, violation of the Company's work rules, code of conduct or policies or state or federal law, or any other conduct which would disqualify the
participant from entitlement to unemployment benefits. The determination of whether Cause exists shall be made in the Company's sole discretion. 



        (e)   "Code" means the Internal Revenue Code of 1986, as amended from time to time, and any successor thereto. 


        (f)    "Committee" means the Committee referred to in Section 2 of the Plan. If at any time no Committee shall be in
office, then the functions of the Committee specified in the Plan shall be exercised by the Board. 


        (g)   "Company" means Sabre Holdings Corporation, a corporation organized under the laws of the State of Delaware, or any
successor corporation. 


        (h)   "Deferred Stock" means an award made pursuant to Section 8 below of the right to receive Stock at the end of a
specified deferral period. 


        (i)    "Disability" means disability as determined under procedures established by the Committee for purposes of this Plan. 


        (j)    "Early Retirement" means retirement, with the express consent for purposes of this Plan of the Committee at or before the
time of such retirement, from active employment with the Company and any Subsidiary or Affiliate. For purposes of this plan, and unless otherwise defined in a specific equity grant the participant
will be deemed to have Early Retired if they voluntarily leave employment with the Company when their age is 55 or greater and their years of service are equal to 10 or more. 


        (k)   "Effective Date" means May 14, 2002. 


        (l)    "Exchange Act" means the Securities Exchange Act of 1934, as amended from time to time, and any successor thereto. 





 



        (m)  "Fair Market Value" means, as of any given date, unless otherwise determined by the Committee in good faith, the mean
between the highest and lowest quoted selling price, regular was, of the Stock on the New York Stock Exchange or, if no such sale of Stock occurs on the New York Stock Exchange on such date, the fair
market value of the Stock as determined by the Committee in good faith. 



        (n)   "Incentive Stock Option" means any Stock Option intended to be and designated as and incentive Stock Option" within the
meaning of Section 422 of the Code. 


        (o)   "Nonqualified Stock Option" means any Stock Option that is not an Incentive Stock Option. 


        (p)   "Normal Retirement" means, unless otherwise determined by the Committee, retirement from active employment by or service
with the Company and any Subsidiary or Affiliate on or after age 65. 



        (q)   "Other Stock-Based Award" means an award under Section 10 below that is valued in whole or in part by reference
to, or is otherwise based on, Stock. 


        (r)   "Performance Award" means an award under Section 11 below that is valued based on the level of attainment of
performance objectives related to the performance measures set forth in Section 11. 


        (s)   "Person" means "person" as defined in Section 3(a)(9) of the Exchange Act and as used in Sections 13(d) and 14(d)
thereof, including a "group" as defined in Section 13(d) of the Exchange Act but excluding the Company and Subsidiary and any employee benefit plan sponsored or maintained by the Company or any
Subsidiary (including any trustee of such plan acting as trustee). 


        (t)    "Phantom Award" means an award issued prior to the Effective Date by the Company pursuant to a stock appreciation right
agreement or a phantom stock appreciation right agreement. 


        (u)   "Plan" means Sabre Holdings Corporation's Amended and Restated 1996 Long-Term Incentive Plan, as hereinafter
amended from time to time. 


        (v)   "Restricted Stock" means an award of shares of Stock that is subject to restrictions under Section 7 below. 


        (w)  "Retirement" means Normal or Early Retirement. 


        (x)   "Stock" means the Class A Common Stock, $.01 par value per share, of the Company. 



        (y)   "Stock Appreciation Right" means the right to participate in an increase in the value of a share of Stock pursuant to an
award granted under Section 6. 


        (z)   "Stock Option" or "Option" means any option to purchase shares of Stock
(including Restricted Stock and Deferred Stock, if the Committee so determines) granted pursuant to Section 5 below. 


        (aa) "Stock Purchase Right" means the right to purchase Stock pursuant to Section 9. 



        (bb) "Subsidiary" means a corporation (other than the Company) in an unbroken chain of corporations beginning with the
Company if each of the corporations (other than the last corporation in the unbroken chain) owns stock possessing fifty percent (50%) or more of the total combined voting power of all classes of stock
in one of the other corporations in the chain. 


        In
addition, the terms "Change in Control," "Potential Change in Control," "Change in Control Price," "Good Reason," and "Notice of Termination" shall have the meanings set forth,
respectively, in Sections 12(b), (c), (d), (e), and (f) below. 



Section 2. Administration  


        The Plan shall be administered by a committee of not less than two members of the Board, who shall be appointed by, and serve at the pleasure of, the Board. In
selecting the members of the Committee, the Board shall take into account the requirements for the members of the Committee to be treated as 


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"Outside
Directors" within the meaning of Section 162(m) of the Code and "Non-Employee Directors" for purposes of Rule 16b-3, as promulgated under
Section 16 of the Exchange Act. The functions of the Committee specified in the Plan shall be exercised by the Board, if and to the extent that no Committee exists which has the authority to so
administer the Plan or to the extent that the Committee is not comprised solely of Non-Employee Directors for purposes of Rule 16b-3, as promulgated under
Section 16 of the Exchange Act. 


        The
Committee shall have full authority to grant, pursuant to the terms of the Plan, to non-employee directors, officers, managers, and key Employees, eligible under
Section 4: (i) Stock Options and Incentive Stock Options: (ii) Stock Appreciation Rights: (iii) Restricted Stock: (iv) Deferred Stock: (v) Stock Purchase
Rights: (vi) Other Stock-Based Awards: and/or (vii) Performance Awards. 


        In
particular the Committee shall have the authority: 



	(i)
	To
select the non-employee directors, officers, managers, and key employees of the Company and its Subsidiaries and Affiliates to whom Stock Options,
Incentive Stock Options, Stock Appreciation Rights, Restricted Stock, Deferred Stock, Stock Purchase Rights, Other Stock-Based Awards, and/or Performance Awards may from time to time be granted
hereunder;



	(ii)
	To
determine whether and to what extent Incentive Stock Options, Nonqualified Stock Options, Stock Appreciation Rights, Restricted Stock, Deferred Stock, Stock Purchase
Rights, Other Stock Based Awards, and/or Performance Awards or any combination thereof, are to be granted hereunder to one or more eligible employees and non-employee directors;



	(iii)
	Subject
to the provisions of Sections 3, 5 and 11, to determine the number of shares to be covered by each such award granted hereunder;



	(iv)
	To
determine the terms and conditions, not inconsistent with the terms of the Plan, of any award granted hereunder (including, but not limited to, the share price and
any restriction or limitation, or any vesting acceleration or waiver of forfeiture restrictions regarding any Stock Option or other award and or the shares of Stock relating thereto, based in each
case on such factors as the Committee shall determine in its sole discretion);



	(v)
	To
determine whether and under what circumstances a Stock Option may be settled in cash, Restricted Stock and/or Deferred Stock under Section 5(l) or (m), as
applicable, instead of Stock;



	(vi)
	To
determine whether and under what circumstances an award of Restricted Stock or Deferred Stock may be settled in cash;



	(vii)
	To
determine whether, to what extent and under what circumstances Option grants and/or other awards under the Plan and/or other cash awards made by the Company are to
be made, and operate, on a tandem basis vis-à-vis other awards under the Plan and/or cash awards made outside of the Plan, or on an additive basis;



	(viii)
	To
determine whether, to what extent and under what circumstances Stock and other amounts payable with respect to an award under this Plan shall be deferred either
automatically or at the election of the participant (including providing for and determining the amount (if any) of any deemed earnings on any deferred amount during any deferral period);



	(ix)
	To
determine the terms and restrictions applicable to Stock Purchase Rights and the Stock purchased by exercising such Rights; and



	(x)
	To
designate the Corporate Secretary of the Company, other officers or employees of the Company or competent professional advisors to assist the Committee in the
administration of the Plan, and to grant authority to such persons to execute agreements or other documents on its behalf. 



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        The
Committee shall have the authority to adopt, alter, and repeal such rules, guidelines and practices governing the Plan as it shall, from time to time, deem advisable: to interpret
the terms and provisions of the Plan and any award issued under the Plan (and any agreements relating thereto): and to otherwise supervise the administration of the Plan. 


        All
decisions made by the Committee pursuant to the provisions of the Plan shall be made in the Committee's sole discretion and shall be final and binding on all persons, including the
Company and Plan participants. 


Section 3. Stock Subject to Plan  


        Effective May 14, 2002, the total number of shares of Stock reserved and available for distribution under the Plan shall be increased by 14,000,000 shares.
Along with the 13,000,000 shares previously reserved (which have grown to be 13,635,410 as a result of the adjustment for the dividend preceding the Company's spin-off from AMR
Corporation) the total number of shares reserved under the plan is 27,635,410 shares. However, no more than two million (2,000,000) shares of Stock shall be granted on or after May 14, 2002 in
the form of Restricted Stock; the 2 million (2,000,000) share limit is inclusive of the approximately one hundred and ninety-two thousand (192,000) shares remaining of the previous
one million (1,000,000) share Restricted Stock limit. In addition, no more than one million (1,000,000) shares of Stock shall be granted on or after May 14, 2002 in the form of Deferred Stock,
Stock Purchase Rights, Other Stock Based Awards, Performance Awards or Phantom Awards. 



        Subject
to Section 6(b)(iv) below, if any shares of Stock that have been optioned cease to be subject to a Stock Option or an Incentive Stock Option, or if any such shares
of Stock that are subject to any Restricted Stock or Deferred Stock award, Stock Purchase Right, Performance Awards, or Other Stock-Based Award granted hereunder are forfeited or any such award
otherwise terminates without a payment being made to the participant in the form of Stock, such shares shall not be counted against the share limits set forth in this Section 3 and shall again
be available for distribution in connection with future awards under the Plan. 


        In
the event of any merger, reorganization, consolidation, recapitalization, Stock dividend, large non-recurring cash dividend (as determined by the Committee), Stock split
or other change in corporate structure affecting the Stock, such substitution or adjustment shall be made in the aggregate number of shares reserved for issuance under the Plan, in the number and
option price of shares subject to outstanding Options granted under the Plan, in the number and purchase price of shares subject to outstanding Stock Purchase Rights under the Plan, and in the number
of shares subject to other outstanding awards granted under the Plan as may be determined to be appropriate by the Committee, in its sole discretion, provided that the number of shares subject to any
award shall always be a whole number. Such adjusted option price shall also be used to determine the amount payable by the Company upon the exercise of any Stock Appreciation Right. 



Section 4. Eligibility  


        Non-employee directors, officers, managers, and other key employees of the Company and its Subsidiaries and Affiliates who are responsible for or
contribute to the management, growth and/or profitability of the business of the Company and/or its Subsidiaries and Affiliates are eligible to be granted awards under the Plan. 


Section 5. Stock Options  


        Stock Options may be granted alone, in addition to or in tandem with other awards granted under the Plan. Any Stock Option granted under the Plan shall be in such
form as the Committee may from time to time approve. 


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        Stock
Options granted under the Plan may be of two types: (i) Incentive Stock Options and (ii) Nonqualified Stock Options. 


        The
Committee shall have the authority to grant to any optionee Incentive Stock Options, Nonqualified Stock Options, or both types of Stock Options (in each case with or without Stock
Appreciation Rights); provided that, in no event shall the number of shares of Stock subject to any Stock Options granted to any employee during any twelve (12) month period (determined without
regard to whether any option is cancelled) exceed one million (1,000,000) shares, as such number may be adjusted pursuant to Section 3. 


        Options
granted under the Plan shall be subject to the following terms and conditions and shall contain such additional terms and conditions, not inconsistent with the terms of the Plan,
as the Committee shall deem desirable: 


        (a)    Option Price.    The Option price per share of Stock purchasable under a Stock Option
shall be determined by the Committee at the time of grant but shall be not less than one hundred percent (100%) of the Fair Market Value of the Stock at grant, provided however, that (i) the
Option price per share of Stock purchasable under a Stock Option that is granted to an optionee in replacement of a Phantom Award may be less than one hundred percent (100%) of the Fair Market Value
of the Stock at the time of grant, subject to an overall limit of fifty thousand (50,000) shares of Stock purchasable under
such Stock Options replacing Phantom Awards; and (ii) the Option price per share of Stock purchasable under a Stock Option that is granted in connection with a merger, stock exchange, or other
acquisition as a substitute or replacement award for options held by optionees of the acquired entity may be less than one hundred percent (100%) of the Fair Market Value of the Stock at the time of
grant. 


        (b)    Option Term.    The term of each Stock Option shall be fixed by the Committee, but no
Stock Option shall be exercisable more than ten (10) years after the date the Option is granted. 


        (c)    Exercisability.    Stock Options shall be exercisable at such time or times and subject
to such terms and conditions as shall be determined by the Committee at or after grant: provided, however, that, except as provided in Section 12, or unless otherwise determined by the
Committee at or after grant, no Stock Option shall be exercisable prior to the first anniversary date of the granting of the Option. If the Committee provides, in its sole discretion, that any Stock
Option is exercisable only in installments, the Committee may waive such installment exercise provisions at any time at or after grant in whole or in part, based on such factors as the Committee shall
determine, in its sole discretion. 


        (d)    Method of Exercise.    Subject to whatever installment exercise provisions apply under
Section 5(c), Stock Options may be exercised in whole or in part at any time during the option period, by giving written notice of exercise to the Company, or its designated representative,
specifying the number of shares to be purchased. 


        Such
notice shall be accompanied by payment in full of the purchase price, either by check, note or such other instrument as the Committee may accept. As determined by the Committee, in
its sole discretion, at or after grant, payment in full or in part may also be made in the form of unrestricted Stock already owned by the optionee or, in the case of the exercise of a Nonqualified
Stock Option, in the form of Restricted Stock, or Deferred Stock subject to an award hereunder (based, in each case, on the Fair Market Value of the Stock on the date the Option is exercised). 



        If
payment of the option exercise price of a Nonqualified Stock Option is made in whole or in part in the form of Restricted Stock or Deferred Stock, such Restricted Stock or Deferred
Stock (and any replacement shares relating thereto) shall remain (or be) restricted or deferred, as the case may be, in accordance with the original terms of the Restricted Stock award or Deferred
Stock award in question, and any additional Stock received upon the exercise shall be subject to the same forfeiture restrictions or deferral limitations, unless otherwise determined by the Committee,
in its sole discretion, at or after grant. 


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        No shares of Stock shall be issued until full payment therefore has been made. An optionee shall generally have the rights to dividends or other rights of a shareholder with respect to
the shares subject to the Option when the optionee has given written notice of exercise, has paid in full for such shares, and, if requested, has given the representation described in
Section 15(a). 


        (e)    Transferability of Options.    Unless the Committee shall permit (on such terms and
conditions as it shall establish) an Option to be transferred to a member of the participant's immediate family or to a trust or similar vehicle for the benefit of such immediate family members, no
Option shall be assignable or transferable except by will or the laws of descent and distribution, and except to the extent required by law, no right or interest of any participants shall be subject
to any lien, obligation or liability of the participant. 


        (f)    Termination by Death.    Subject to Section 5(k), if an optionee's employment by
or service with the Company and any Subsidiary or Affiliate terminates by reason of death, any Stock Option held by such optionee may thereafter be exercised in accordance with the terms and
conditions established by the Committee. 


        (g)    Termination by Reason of Disability.    Subject to Section 5(k), if an
optionee's employment by or service with the Company and any Subsidiary or Affiliate terminates by reason of Disability, any Stock Option held by such optionee may thereafter be exercised by the
optionee in accordance with the terms and conditions established by the Committee. In the event of termination of employment or service by reason of Disability, if an Incentive Stock Option is
exercised after the expiration of the exercise periods that apply for purposes of Section 422 of the Code, such Stock Option will thereafter be treated as a Nonqualified Stock Option. 


        (h)    Termination by Reason of Retirement.    Subject to Section 5(k), if an
optionee's employment by or service with the Company and any Subsidiary or Affiliate terminates by reason of Normal or Early Retirement, any Stock Option held by such optionee may thereafter be
exercised by the optionee, in accordance with the terms and conditions established by the Committee. In the event of termination of employment by reason of Retirement, if an Incentive Stock Option is
exercised after the expiration of the exercise periods that apply for purposes of Section 422 of the Code, such Stock Option will thereafter be treated as Nonqualified Stock Option. 


        (i)    Termination for Cause.    Subject to Section 5(k), if an optionee's employment
by the Company and any Subsidiary or Affiliate is terminated for Cause, the Stock Option shall thereupon terminate, whether or not exercisable at that time. 


        (j)    Other Termination.    Unless otherwise determined by the Committee, if an optionee's
employment by or service with the Company and any Subsidiary or Affiliate terminates for any reason other than death, Disability or Normal or Early Retirement, the Stock Option shall thereupon
terminate. 


        (k)    Incentive Stock Options.    Anything in the Plan to the contrary notwithstanding, no
term of this Plan relating to Incentive Stock Options shall be interpreted, amended or altered, nor shall any discretion or authority granted under the Plan be so exercised, so as to disqualify the
Plan under Section 422 of the Code, or, without the consent of the optionee(s) affected, to disqualify any Incentive Stock Option under such Section 422. 


        (l)    Buyout Provisions.    The Committee may at any time offer to buy out for payment in
cash, Stock, Deferred Stock or Restricted Stock, an Option previously granted, based on such terms and conditions as the Committee shall establish and communicate to the participant at the time that
such offer is made. 


        (m)    Settlement Provisions.    If the option agreement so provides at grant or is amended
after grant but prior to the exercise to so provide (with the optionee's consent), the Committee may require that all or part of the shares to be issued with respect to the spread value of an
exercised Option take the form of Deferred or Restricted Stock, which shall be valued on the date of exercise on the basis of the Fair Market 


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Value
(as determined by the Committee) of such Deferred or Restricted Stock determined without regard to the deferral limitations and/or forfeiture restrictions involved. 


        (n)    Repricing.    The price payable for any Share issued under the Plan may not be
decreased after the date of grant, nor may an Option or Stock Appreciation Right granted under the Plan be surrendered to the Company as consideration for the grant of a new Option or Stock
Appreciation Right with a lower price payable per Share; except that the Committee may make adjustments pursuant to Section 3. 


Section 6. Stock Appreciation Rights  


        (a)    Grant and Exercise.    Stock Appreciation Rights may be granted alone or in conjunction
with all or part of any Stock Option granted under the Plan: provided that, in no event shall the number of shares of Stock Appreciation Rights granted to any employee during any twelve
(12) month period exceed one million (1,000,000) shares, as such number may be adjusted pursuant to Section 3. In the case of a Nonqualified Stock Option, such rights may be granted
either at or after the time of the grant of such Stock Option. In the case of an Incentive Stock Option, such rights may be granted only at the time of grant of such Stock Option. 


        The
term of each Stock Appreciation Right granted independent of a Stock Option shall be fixed by the Committee, but no Stock Appreciation Right shall be exercisable more than ten
(10) years after the date the Stock Appreciation Right is granted. A Stock Appreciation Right or applicable portion thereof granted with respect to a given Stock Option shall terminate and no
longer be exercisable upon the termination or exercise of the related Stock Option, subject to such provisions as the Committee may specify at grant where a Stock Appreciation Right is granted with
respect to less than the full number of shares covered by a related Stock Option. 


        A
Stock Appreciation Right may be exercised by an optionee, subject to Section 6(b), in accordance with the procedures established by the Committee for such purposes. Upon such
exercise, the optionee shall be entitled to receive an amount determined in the manner prescribed in Section 6(b). Stock Options relating to exercised Stock Appreciation Rights shall no longer
be exercisable to the extent that the related Stock Appreciation Rights have been exercised. 


        (b)    Terms and Conditions.    Stock Appreciation Rights shall be subject to such terms and
conditions, not inconsistent with the provisions of the Plan, as shall be determined from time to time by the Committee, including the following: 




	(i)
	Stock
Appreciation Rights shall be exercisable at such time or times as shall be determined by the Committee at or after grant: provided, however, that Stock
Appreciation Rights granted in conjunction with Stock Options shall be exercisable only at such time or times and to the extent that the Stock Options to which they relate shall be exercisable in
accordance with the provisions of Section 5 and this Section 6 of the Plan.



	(ii)
	Upon
the exercise of a Stock Appreciation Right, an optionee shall be entitled to receive an amount in cash and/or shares of Stock equal in value to the excess of the
Fair Market Value on the date of exercise of one share of Stock over the exercise price per share determined by the Committee at the time of grant multiplied by the number of shares in respect of
which the Stock Appreciation Right shall have been exercised, with the Committee having the right to determine the form of payment. When payment is to be made, the amount and/or number of shares (when
payment is to be made in shares) to be paid shall be calculated on the basis of the Fair Market Value of the shares on the date of exercise.



	(iii)
	Except
to the extent the Committee may authorize or permit Stock Appreciation Rights to be transferred to, or for the benefit of, members of the participant's family,
no Stock Appreciation Right shall be transferable by the participant otherwise than by will or by the 




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law's
of descent and distribution, and all Stock Appreciation Rights shall be exercisable, during the participant's lifetime only by the participant. 



	(iv)
	Upon
the exercise of a Stock Appreciation Right granted in conjunction with a Stock Option under the Plan, the number of shares issued under such Stock Appreciation
Right based on the value of the Stock Appreciation Right at the time of exercise shall be deemed to be issued for purposes of the share authorization set forth in Section 3 of the Plan. 





Section 7. Restricted Stock  


        (a)    Administration.    Subject to the limitations set forth in Section 3, shares of
Restricted Stock may be issued either alone or, in addition to, or in tandem with, other awards granted under the Plan and or cash awards made outside of the Plan. The Committee shall determine the
eligible persons to whom, and the time or times at which, grants of Restricted Stock will be made, the number of shares to be awarded, the price (if any) to be paid by the recipient of Restricted
Stock (subject to Section 7(b)), the time or times within which such awards may be subject to forfeiture, and all other terms and conditions of the awards. 


        The
Committee may condition the grant of Restricted Stock upon the attainment of specified performance goals or such other factors as the Committee may determine, in its sole discretion. 


        The
provisions of Restricted Stock awards need not be the same with respect to each recipient. 


        (b)    Awards and Certificates.    The prospective recipient of a Restricted Stock award shall
not have any rights with respect to such award, unless and until such recipient has executed an agreement evidencing
the award and has delivered a fully executed copy thereof to the Company, and has otherwise complied with the applicable terms and conditions of such award. 




	(i)
	The
purchase price for shares of Restricted Stock shall be equal to or less than their par value and may be zero.



	(ii)
	Awards
of Restricted Stock must be accepted within a reasonable period (or such specific period as the Committee may specify at grant) after the award date, by
executing an award agreement and paying whatever price (if any) is required under Section 7(b)(i). 





        (c)    Terms and Conditions.    The shares of Restricted Stock awarded pursuant to this
Section 7 shall he subject to the following restrictions and conditions: 




	(i)
	Subject
to the provisions of this Plan and the award agreement, during a period set by the Committee commencing with the date of such award (the "Restriction Period"),
the participant shall not be permitted to sell, transfer, pledge or assign shares of Restricted Stock awarded under the Plan. Within these limits, the Committee, in its sole discretion, may provide
for the lapse of such restrictions in installments and may accelerate or waive such restrictions in whole or in part, based on service, performance and or such other factors or criteria as the
Committee may determine, in its sole discretion.



	(ii)
	Except
as provided in this paragraph (ii) and Section 7(c)(i), the Committee, in its sole discretion, as determined at the time of the award, may permit
the participant to have, with respect to the shares of Restricted Stock, all of the rights of a shareholder of the Company, including the right to vote the shares, and the right to receive any cash
dividends. The Committee, in its sole discretion, as determined at the time of award, may permit or require the payment of cash dividends and may permit or require such cash dividends to be deferred
and, if the Committee so determines, reinvested, subject to Section 15(e), in additional Restricted Stock to the extent shares are available under Section 3, or otherwise reinvested.
Pursuant to Section 3 above, Stock dividends issued with respect to Restricted Stock shall be treated as additional shares of Restricted Stock that are subject to the same restrictions and 




8





 



other
terms and conditions that apply to the shares with respect to which such dividends are issued, 



	(iii)
	Subject
to the applicable provisions of the award agreement and this Section 7, upon termination of a participant's employment or service with the Company and
any Subsidiary or Affiliate for any reason during the Restriction Period, all shares still subject to restriction will vest, or be forfeited, in accordance with the terms and conditions established by
the Committee at or after grant.



	(iv)
	If
and when the Restriction Period expires without a prior forfeiture of the Restricted Stock subject to such Restriction Period, certificates for an appropriate number
of unrestricted shares shall be delivered to the participant promptly (unless the Committee decides pursuant to Section 2(vi) to settle the award in cash). 





        (d)    Minimum Value Provisions.    In order to better ensure that award payments actually
reflect the performance of the Company, Subsidiaries, Affiliates and service of the participant, the Committee may provide, in its sole discretion, for a tandem performance-based or other award
designed to guarantee a minimum value, payable in cash or Stock to the recipient of a Restricted Stock award, subject to such performance, future service, deferral and other terms and conditions as
may be specified by the Committee. 


Section 8. Deferred Stock  


        (a)    Administration.    Deferred Stock may be awarded either alone, in addition to, or in
tandem with other awards granted under the Plan and/or cash awards made outside of the Plan. The Committee shall determine the eligible persons to whom and the time or times at which Deferred Stock
shall be awarded, the number of shares of Deferred Stock to be awarded to any person, the duration of the period (the "Deferral Period") during which, and the conditions under which, receipt of the
Stock will be deferred, and the other terms and conditions of the award in addition to those set forth in Section 8(b). 


        The
Committee may condition the grant of Deferred Stock upon the attainment of specified performance goals or such other factors or criteria as the Committee shall determine, in its sole
discretion. 


        The
provisions of Deferred Stock awards need not be the same with respect to each recipient. 



        (b)    Terms and Conditions.    The shares of Deferred Stock awarded pursuant to this
Section 8(b) shall be subject to the following terms and conditions: 




	(i)
	Subject
to the provision of this Plan and the award agreement referred to in Section 8(b)(vi) below, Deferred Stock awards may not be sold, assigned,
transferred, pledged or otherwise encumbered during the Deferral Period. At the expiration of the Deferral Period (or the Elective Deferral Period referred to in Section 8(b)(v), where
applicable), share certificates shall be delivered to the participant, or his legal representative, in a number equal to the shares covered by the Deferred Stock award (unless the Committee decides
pursuant to Section 2(vi) to settle the award in cash).



	(ii)
	Unless
otherwise determined by the Committee at grant, amounts equal to any dividends declared during the Deferral Period with respect to the number of shares covered
by a Deferred Stock award will be paid to the participant currently, or deferred and deemed to be reinvested in additional Deferred Stock, or otherwise reinvested, all as determined at or after the
time of the award by the Committee, in its sole discretion.



	(iii)
	Subject
to the provisions of the award agreement and this Section 8, upon termination of a participant's employment or service with the Company and any
Subsidiary or Affiliate for any reason during the Deferral Period for a given award, the Deferred Stock in question will 




9





 



vest,
or be forfeited, in accordance with the terms and conditions established by the Committee at or after grant. 



	(iv)
	Based
on service, performance, and/or such other factors or criteria as the Committee may determine, the Committee may, at or after grant, accelerate the vesting of all
or any part of any Deferred Stock award and/or waive the deferral limitations for all or any part of such award.



	(v)
	A
participant may elect to further defer receipt of an award (or an installment of an award) for a specified period or until a specified event (the "Elective Deferral
Period"), subject to the Committee's approval and to such terms as are determined by the Committee, all in its sole discretion. Subject to any exceptions adopted by the Committee, such election must
generally be made at least twelve (12) months prior to completion of the Deferral Period of such Deferred Stock award (or such installment).



	(vi)
	Each
award shall be confirmed by, and subject to the terms of, a Deferred Stock agreement executed by the Company and the participant. 





        (c)    Minimum Value Provisions.    In order to better ensure that award payments actually
reflect the performance of the Company, Subsidiaries, Affiliates and service of the participant, the Committee may provide, in its sole discretion, for a tandem performance-based or other award
designed to guarantee a minimum value, payable in cash or Stock to the recipient of a Deferred Stock award, subject to such performance, future service, deferral and other terms and conditions as may
be specified by the Committee. 


Section 9. Stock Purchase Rights  


        (a)    Awards and Administration.    The Committee may grant eligible participants Stock
Purchase Rights which shall enable such participants to purchase Stock (including Deferred Stock and Restricted Stock) at price(s) determined by the Committee at or after grant. 



        The
Committee shall also impose such deferral, forfeiture, and/or other terms and conditions as it shall determine, in its sole discretion, on such Stock Purchase Rights or the exercise
thereof. 


        The
terms of Stock Purchase Rights awards need not be the same with respect to each participant. 


        Each
Stock Purchase Right award shall be confirmed by, and be subject to the terms of, a Stock Purchase Rights agreement. 



        (b)    Exercisability.    Stock Purchase Rights shall be exercisable for such period after
grant as is determined by the Committee. 


Section 10. Other Stock-Based Awards  


        (a)    Administration.    Other awards of Stock and other awards that are valued in whole or
in part by reference to, or are otherwise based on, Stock ("Other Stock-Based Awards"), including, without limitation, stock purchase rights, performance shares, convertible preferred stock,
convertible debentures, exchangeable securities and Stock awards or options valued by reference to Book Value or subsidiary performance, may be granted either along with, or in addition to, or in
tandem with, Stock Options, Stock Appreciation Rights, Restricted Stock, Deferred Stock, or Stock Purchase Rights granted under the Plan and/or cash awards made outside of the Plan. 


        Subject
to the provisions of the Plan, the Committee shall have authority to determine the persons to whom and the time or times at which such awards shall be made, the number of shares
of Stock to be awarded pursuant to such awards, and all other conditions of the awards. The Committee may also provide for the grant of Stock upon the completion of a specified performance period. 


10





 



        The
provision of Other Stock-Based Awards need not be the same in respect to each recipient. 


        (b)    Terms and Conditions.    Other Stock-Based Awards made pursuant to this
Section 10 shall be subject to the following terms and conditions: 




	(i)
	Subject
to the provisions of this Plan and the award agreement referred to in Section 10(b)(v) below, shares subject to awards made under this
Section 10 may not be sold, assigned, transferred, pledged, or otherwise encumbered prior to the date on which the shares are issued, or, if later, the date on which any applicable restriction,
performance, or deferral period lapses.



	(ii)
	Subject
to the provision of this Plan and the award agreement and unless otherwise determined by the Committee at grant, the recipient of an award under this
Section 10 shall be entitled to receive, currently, or on a deferred basis, interest or dividends or interest or dividend equivalents with respect to the number of shares covered by the award,
as determined at the time of the award by the Committee, in its sole discretion, and the Committee may provide that such amounts (if any) shall be deemed to have been reinvested in additional Stock or
otherwise reinvested.



	(iii)
	Any
award under Section 10 and any Stock covered by any such award shall vest or be forfeited to the extent so provided in the award agreement as determined by
the Committee, in its sole discretion.



	(iv)
	In
the event of the participant's Retirement, Disability or death, or in cases of special circumstances, the Committee may, in its sole discretion, waive in whole or in
part any or all of the remaining limitations imposed hereunder (if any) with respect to any or all of an award under this Section 10.



	(v)
	Each
award under this Section 10 shall be confirmed by, and subject to the terms of, an agreement or other instrument by the Company and by the participant.



	(vi)
	Stock
(including securities convertible into Stock) issued on a bonus basis under this Section 10 may be issued for no cash consideration. Stock (including
securities convertible into Stock) purchased pursuant to a purchase right awarded under this Section 10 shall be priced at least fifty percent (50%) of the Fair Market Value of the Stock on the
date of grant. 





Section 11. Performance Related Awards  



        (a)    Performance Objectives.    Notwithstanding anything else contained in the Plan to the
contrary, unless the Committee otherwise determines at the time of grant, a cash-based award or any award of Restricted Stock, Deferred Stock, or Other Stock-Based Awards to an officer who
is subject to the reporting requirements of Section 16(a) of the Exchange Act, as amended, other than an award which will vest solely on the basis of the passage of time, shall become vested,
if at all, upon the determination by the Committee that performance objectives established by the Committee have been attained, in whole or in part (a "Performance Award"). Such performance objectives
shall be determined over a measurement period or periods established by the Committee and related to at least one of the following criteria, which may be determined solely by reference to the
performance of (i) the Company, (ii) a Subsidiary, (iii) an Affiliate, (iv) a division or unit of any of the foregoing, or based on comparison performance of any of the
foregoing relative to other companies: (A) return on assets: (B) return on equity; (C) total shareholder return: (D) revenues: (E) cash flows, revenues, and/or
earnings relative to other parameters: (F) operating income: (G) return on investment: (H) changes in the value of the Company's common stock: and (I) operating margin (the
"Performance Criteria"). Excluding Stock Options and/or Stock Appreciation Rights granted hereunder, the maximum number of shares of Stock that may be awarded to any one participant and that may be
subject to any such Performance Award in any twelve (12) month period shall not exceed 100,000 shares, as such number may be adjusted pursuant to Section 3. 


11





 

        (b)    Annual Incentive Compensation.    The Committee may, in addition to the Performance
Awards described above, pay cash amounts under the Plan to any officer of the Company and any Subsidiary or Affiliate who is subject to the reporting requirements of Section 16(a) of the
Exchange Act upon the achievement, in whole or in part, of performance goals or objectives established in writing by the Committee with respect to such performance periods as the Committee shall
determine. Any such goals or objectives shall be based on one or more of the Performance Criteria. Notwithstanding anything else contained herein to the contrary, the maximum amount of any such cash
payment to any single officer with respect to any calendar year shall not exceed the lesser of (A) $2,000,000 and (B) twice the officer's annual base salary as in effect on the last day
of the preceding fiscal year. 


        (c)    Interpretation.    Notwithstanding anything else in the Plan to the contrary, to the
extent a Performance Related Award is intended to qualify as performance-based compensation within the meaning of Section 162(m)(4)(C) of the Code, the Committee shall not be entitled to
exercise any discretion if the exercise of such discretion would cause such award to fail to qualify as performance-based compensation. 


Section 12. Change in Control Provisions  


        (a)    Impact of Event.    In the event of either: 




	(1)
	a
"Change in Control" as defined in Section 12(b), or



	(2)
	a
"Potential Change in Control" as defined in Section 12(c), but only if and to the extent so determined by the Committee or the Board at or after grant subject to any right of
approval expressly reserved by the Committee or the Board at the time of such determination, 





the
following shall occur: 




	(i)
	Any
issued and outstanding Stock Options, Stock Appreciation Rights, Restricted Stock, Performance Shares, Stock Equivalent Units, Deferred Stock, Stock Purchase Rights,
Other Stock-Based Awards, Performance Awards, or any other equity-based compensation (collectively, "Equity Awards") shall continue in effect or, if such continuation is not possible, shall be
equitably converted to equivalent Equity Awards of any successor entity.



	(ii)
	If
such continuation or conversion is not possible (but only if it is not possible), all such Equity Awards shall become fully vested and exercisable in accordance with
the following:



	(A)
	Any
Stock Appreciation Rights and any Stock Options awarded under the Plan not previously exercisable and vested shall become fully exercisable and vested.



	(B)
	The
restrictions or deferral limitations applicable to any Restricted Stock, Deferred Stock, Stock Purchase Rights. Other Stock-Based Awards, and Performance Awards in each case to
the extent not already vested under the Plan, shall lapse and such shares and awards shall be deemed fully vested and any Performance Criteria shall be deemed met at target.






	(iii)
	If
any Equity Awards are not vested in accordance with (ii) above, but rather are continued or converted as provided in (i) above, then they shall become
vested if the participant is involuntarily terminated without Cause or voluntarily terminates for Good Reason (as defined herein) within one (1) year after a Change in Control, and, if subject
to an exercise right, shall remain fully exercisable for at least three (3) months following such termination (or, if longer, pursuant to the terms of such Equity Awards).



	(iv)
	If
any Equity Awards are not continued or converted, but rather become fully vested and exercisable as provided in paragraph (ii) above, then the value of all
outstanding Stock Options, Stock Appreciation Rights, Restricted Stock, Deferred Stock, Stock Purchase 




12





 



Rights,
Other Stock-Based Awards, and Performance Awards in each case to the extent vested, shall, unless determined otherwise by the Committee in its sole discretion at or after grant but prior to
any Change in Control, be cashed out on the basis of the "Change in Control Price" as defined in Section 12(d) as of the date such Change in Control or such Potential Change in Control is
determined to have occurred or such other date as the Committee may determine prior to the Change in Control. 






        (b)    Definition of "Change in Control".    For purposes of Section 12(a), a "Change
in Control" means the happening of any of the following: 




	(i)
	When
any Person, directly or indirectly, becomes the "beneficial owner" (as defined in Rule 13d-3 under the Exchange Act, as amended from time to
time) of securities of the Company representing twenty-five percent (25%) or more of the combined voting power of the Company's then outstanding securities:



	(ii)
	The
individuals who, as of the Effective Date of this Plan, constitute the Board (the "Incumbent Board") cease for any reason to constitute at least a majority of the
Board; provided, however, that any individual becoming a director subsequent to the Effective Date of the Plan whose election, or nomination for election by the Company's shareholders, was approved by
a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose,
any such individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents by or on behalf of a Person other than the Board; or



	(iii)
	Consummation
of a reorganization, merger or consolidation or sale or other disposition of all or substantially all of the assets of the Company or the acquisition of
assets of another corporation (a "Business Combination"), in each case, unless, following such Business Combination, (A) all or substantially all of the individuals and entities who were the
beneficial owners, respectively, of the then outstanding share of stock of the Company (the "Outstanding Company Stock") and the combined voting power of the then outstanding voting securities of the
Company entitled to vote generally in the election of directors (the "Outstanding Company Voting Securities") immediately prior to such Business Combination beneficially own, directly or indirectly,
more than sixty percent (60%) of, respectively, the then Outstanding Company Stock and the combined voting power of the then Outstanding Company Voting Securities entitled to vote generally in the
election of directors, as the case may be, of the corporation resulting from such Business Combination (including, without limitation, a corporation which as a result of such transaction owns the
Company or all or substantially all of the Company's assets either directly or throughout one or more subsidiaries), (B) no Person (excluding any employee benefit plan (or related trust) of the
Company or such corporation resulting from such Business Combination) beneficially owns, directly or indirectly, twenty-five percent (25%) or more of respectively, the then Outstanding
Company Stock resulting from such Business Combination or the combined voting power of the then Outstanding Company Voting Securities except to the extent that such ownership existed prior to the
Business Combination, and (C) at least a majority of the members of the board of directors of the corporation resulting from such Business Combination were members of the Incumbent Board at the
time of the execution of the initial agreement, or of the action of the Board, providing for such Business Combination; or



	(iv)
	Approval
by the shareholders of the Company of a complete liquidation or dissolution of the Company. 




13





 





        (c)    Definition of Potential Change in Control.    For purposes of Section 12(a), a
"Potential Change in Control" means the happening of any one of the following: 




	(i)
	The
approval by shareholders of an agreement by the Company, the consummation of which would result in a Change in Control of the Company as defined in
Section 12(b); or



	(ii)
	The
acquisition of beneficial ownership, directly or indirectly, by any entity, person or group (other than the Company or a Subsidiary or any Company employee benefit
plan (including any trustee of such plan acting as such trustee)) of securities of the Company representing five percent (5%) or more of the combined voting power of the Company's outstanding
securities and the adoption by the Board of Directors of a resolution to the effect that a Potential Change in Control of the Company has occurred for purposes of this Plan. 





        (d)    Change in Control Price.    For the purposes of the Section 12, "Change in
Control Price" means the highest price per share paid in any transaction reported on the New York Stock Exchange Composite Index, or paid or offered in any bona fide transaction related to a potential
or actual Change in Control of the Company at any time during the sixty (60) day period immediately preceding the occurrence of the Change in Control (or, where applicable, the occurrence of
the Potential Change in Control event), in each case as determined by the Committee except that, in the case of Incentive Stock Options and Stock Appreciation Rights relating to Incentive Stock
Options, such price shall be based only on transactions reported for the date on which the optionee exercises such Stock Appreciation Rights or, where applicable, the date on which a cashout occurs
under Section 12(a)(iv). 


        (e)    Definition of Good Reason.    For purposes of Section 12(a) above, the
participant will be entitled to terminate employment with the Company and its Subsidiaries for "Good Reason" after a Change in Control if: 




	(i)
	without
the participant's written consent, one or more of the following events occurs at any time during the first twelve (12) months after such Change in
Control:



	(1)
	the
participant's base salary rate or annual incentive compensation target is reduced below that in effect immediately prior to the Change in Control for any reason other than for
Cause;



	(2)
	the
participant's principal office is moved, without the participant's consent, to a location that is more than fifty (50) statute miles from its location immediately prior to
the Change in Control;



	(3)
	for
any reason other than for Cause, the participant suffers a significant adverse change in the nature or scope of the authorities, powers, functions, responsibilities or duties
attached to the position with the Company which the participant held immediately prior to the Change in Control;



	(5)
	a
successor where applicable, does not assume and agree to the terms of this Plan; or



	(6)
	the
Company purports to terminate participant's employment other than in accordance with a Notice of Termination, as described below.






	(ii)
	the
participant notifies the Company in writing (addressed in care of the Chairman of the Board of the Company) of the occurrence of such event;



	(iii)
	within
thirty (30) days following receipt of such written notice, the Company does not cure such event to the reasonable satisfaction of the participant and
deliver to the participant a written statement that it has done so; and



	(iv)
	within
sixty (60) days following the expiration of the period specified in Section (12)(e)(iii) above (without the occurrence of a cure and written
notice thereof as 




14





 



described
in Section (12)(e)(iii) above), the participant voluntarily terminates employment with the Company. 



	(v)
	Notwithstanding
anything to the contrary in Section 12(e), no accelerated vesting will occur by reason of this Plan in the event of:



	(A)
	Termination
of the participant's employment with the Company by reason of the participant's death or Disability, so long as neither the participant nor the Company previously received
a Notice of Termination for the participant;



	(B)
	Termination
by the participant of the participant's employment with the Company at or after age sixty-five (65) if the participant is then eligible for retirement;
or



	(C)
	Termination
of the participant's employment with the Company for Cause. 








        (f)    Notice of Termination.    Any termination of the participant's employment, by the
Participant, as contemplated by Section 12(e) above will be communicated by written notice to the Company delivered in person or by certified mail. Any "Notice of Termination" will:
(i) state the effective date of termination, which will not be less than thirty (30) days or more than sixty (60) days after the date the Notice of Termination is delivered (the
"Termination Date"), (ii) state the specific provision in this Plan being relied upon for termination; (iii) state the facts and circumstances claimed to provide a basis for such
termination in reasonable detail. 


Section 13. Amendments and Termination  


        The Board may amend, alter, or discontinue the Plan, but no amendment, alteration, or discontinuation shall be made which would impair the rights of an optionee
or participant under a Stock Option,
Incentive Stock Option, Stock Appreciation Right, Restricted or Deferred Stock award, Stock Purchase Right, Other Stock-Based Award, or Performance Award theretofore granted, without the optionee's or
participant's consent. 


        The
Committee may amend the terms of any Stock Option or other award theretofore granted, prospectively or retroactively, except that, unless otherwise permitted by Section 3
above, (i) no such amendment shall impair the rights of any holder without the holder's consent; (ii) no such amendment may decrease the minimum Stock Option Exercise Price set forth in
subsection 5(a), unless any such amendment is approved by the Company's shareholders; and (iii) the provisions of subsection 5(n) may not be amended, unless any such amendment is approved by
the Company's shareholders. 


        Subject
to the above provisions, the Board shall have broad authority to amend the Plan to take in to account changes in applicable securities and tax laws and accounting rules, as well
as other developments. 


Section 14. Unfunded Status of Plan  


        The Plan is intended to constitute an "unfunded" plan for incentive and deferred compensation. With respect to any payments not yet made to a participant or
optionee by the Company, nothing contained herein shall give any such participant or optionee any rights that are greater than those of a general creditor of the Company. In its sole discretion, the
Committee may authorize the creation of trusts or other arrangements to meet the obligations created under the Plan to deliver Stock or payments in lieu of or with respect to awards hereunder:
provided, however, that unless the Committee otherwise determines with the consent of the affected participant, the existence of such trusts or other arrangements is consistent with the "unfunded"
status of the Plan. 


Section 15. General Provisions  


        (a)   The
Committee may require each person purchasing shares pursuant to a Stock Option or other award under the Plan to represent to and agree with the Company in writing
that the optionee or 


15





 

participant
is acquiring the shares without a view to distribution thereof. The certificates for such shares may include any legend, which the Committee deems appropriate to reflect any restrictions
on transfer. 


        All
certificates for shares of Stock or other securities delivered under the Plan shall be subject to such stock-transfer orders and other restrictions as the Committee may deem
advisable under the rules, regulations, and other requirements of the Securities and Exchange Commission, any stock exchange upon which the Stock is then listed, and any applicable federal or state
securities law, and the Committee may cause a legend or legends to be put on any such certificates to make appropriate reference to such restrictions. 



        (b)   Nothing
contained in this Plan shall prevent the Board from adopting other or additional compensation arrangements, subject to stockholder approval if such approval is
required, and such arrangements may be either generally applicable or applicable only in specific cases. 


        (c)   The
adoption of the Plan shall not confer upon any employee of the Company or any Subsidiary or Affiliate any right to continued employment or service as a director with
the Company or a Subsidiary or Affiliate, as the case may be, nor shall it interfere in any way with the right of the Company or a Subsidiary or Affiliate to terminate the employment of any of its
employees or service of a director at any time. 


        (d)   Except
as the participant and the Company may otherwise agree, no later than the date as of which an amount first becomes includable in the gross income of the
participant for federal income tax purposes with respect to any award under the Plan, the participant shall pay to the Company, or make arrangements satisfactory to the Committee regarding the payment
of any federal, state, or local taxes of any kind required by law to be withheld with respect to such amount. Unless otherwise determined by the Committee, withholding obligations may be settled with
Stock, including Stock that is part of the award that gives rise to the withholding requirement. The obligations of the Company under the Plan shall be conditional on such payment of arrangements and
the Company and its Subsidiaries or Affiliates shall, to the extent permitted by law, have the right to deduct any such taxes from any payment of any kind otherwise due to the participant. 


        (e)   The
actual or deemed reinvestment of dividends or dividend equivalents in additional Restricted Stock (or in Deferred Stock or other types of Plan awards) at the time of
any dividend payment shall only be permissible if sufficient shares of Stock are available under Section 3 for such reinvestment (taking into account then outstanding Stock Options. Stock
Purchase Rights, and other Plan awards). 



        (f)    The
Plan and all awards made and actions taken thereunder shall be governed by and construed in accordance with the laws of the State of Delaware. 


Section 16. Term of Plan  


        No Stock Option, Incentive Stock Option, Stock Appreciation Right, Restricted Stock award, Deferred Stock award, Stock Purchase Right, Other Stock-Based Award, or
Performance Award shall be granted pursuant to the Plan on or after the tenth (10th) anniversary of the date of shareholder approval, but awards granted prior to such tenth (10th) anniversary may
extend beyond that date. 


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Amended and Restated 1996 Long-Term Incentive Plan Sabre Holdings Corporation As Amended May 14, 2002