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**COBALIS      CORP.**

**2006      STOCK OPTION AND AWARD PLAN**

**APPROVED      BY BOARD ON: October 16, 2006**

**APPROVED      BY STOCKHOLDERS:                    ,      2006**

**TERMINATION      DATE: October 16, 2016**

| **1.  ** | **General** |
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| ***(a)  *** | ***Successor              to and Continuation of Prior Stock Awards.**** *This              Plan was adopted by the Board on the Adoption Date to be effective              as              provided in Section 11 on the Effective Date. The Plan is intended as              the successor to and continuation of the Prior Stock Awards Agreements              (the ***“Prior              Stock Awards”***).              All outstanding stock awards granted under the Prior Stock Awards shall              remain subject to the terms of the Prior Stock Awards, except that              the              Board may elect to extend one or more of the features of the Plan to              stock              awards granted under the Prior Stock Awards. Any shares subject to              outstanding stock awards granted under the Prior Stock Awards that              expire              or terminate for any reason prior to exercise or settlement shall be              added              to the share reserve of this Plan and become available for issuance              pursuant to Stock Awards granted hereunder. All Stock Awards granted              subsequent to the Effective Date of this Plan shall be subject to the              terms of this Plan. |
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| ***(b)  *** | ***Eligible              Award Recipients.**** *The              persons eligible to receive Awards are Employees, Directors and              Consultants. |
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| ***(c)  *** | ***Available              Awards.**** *The              Plan provides for the grant of the following Awards: (i) Incentive              Stock Options, (ii) Nonstatutory Stock Options, (iii) Restricted              Stock Awards, (iv) Restricted Stock Unit Awards, (v) Stock              Appreciation Rights, (vi) Performance Stock Awards,              (vii) Performance Cash Awards, and (viii) Other Stock Awards. |
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| ***(d)  *** | ***General              Purpose.**** *The              Company, by means of the Plan, seeks to secure and retain the services              of              the group of persons eligible to receive Awards as set forth in              Section 1(b), to provide incentives for such persons to exert maximum              efforts for the success of the Company and any Affiliate and to provide              a              means by which such eligible recipients may be given an opportunity              to              benefit from increases in value of the Common Stock through the granting              of Stock Awards. |
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| **2.  ** | **Administration** |
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| ***(a)  *** | ***Administration              by Board.**** *The              Board shall administer the Plan unless and until the Board delegates              administration of the Plan to a Committee or Committees, as provided              in              Section 2(c). |
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| ***(b)  *** | ***Powers              of Board.**** *The              Board shall have the power, subject to, and within the limitations              of, the              express provisions of the Plan: |
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| (i)   | To              determine from time to time (A) which of the persons eligible under              the Plan shall be granted Awards; (B) when and how each Award shall              be granted; (C) what type or combination of types of Award shall be              granted; (D) the provisions of each Award granted (which need not be              identical), including the time or times when a person shall be permitted              to receive cash or Common Stock pursuant to a Stock Award; and              (E) the number of shares of Common Stock with respect to which a              Stock Award shall be granted to each such              person. |
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| (ii)   | To              construe and interpret the Plan and Awards granted under it, and to              establish, amend and revoke rules and regulations for its administration.              The Board, in the exercise of this power, may correct any defect, omission              or inconsistency in the Plan or in any Stock Award Agreement or in              the              written terms of a Performance Cash Award, in a manner and to the extent              it shall deem necessary or expedient to make the Plan or Award fully              effective. |
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| (iii)   | To              settle all controversies regarding the Plan and Awards granted under              it. |
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| (iv)   | To              accelerate the time at which a Stock Award may first be exercised or              the              time during which an Award or any part thereof will vest in accordance              with the Plan, notwithstanding the provisions in the Award stating              the              time at which it may first be exercised or the time during which it              will              vest. |
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| (v)   | To              suspend or terminate the Plan at any time. Suspension or termination              of              the Plan shall not impair rights and obligations under any Stock Award              granted while the Plan is in effect except with the written consent              of the              affected Participant. |
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| (vi)   | To              amend the Plan in any respect the Board deems necessary or advisable,              including, without limitation, relating to Incentive Stock Options              and              certain nonqualified deferred compensation under 409A of the Code and/or              to bring the Plan or Stock Awards granted under the Plan into compliance              therewith, subject to the limitations, if any, of applicable law. However,              except as provided in Section 9(a) relating to Capitalization              Adjustments, stockholder approval shall be required for any amendment              of              the Plan that either (i) materially increases the number of shares of              Common Stock available for issuance under the Plan, (ii) materially              expands the class of individuals eligible to receive Awards under the              Plan, (iii) materially increases the benefits accruing to              Participants under the Plan or materially reduces the price at which              shares of Common Stock may be issued or purchased under the Plan,              (iv) materially extends the term of the Plan, or (v) expands the              types of Awards available for issuance under the Plan, but only to              the              extent required by applicable law or listing requirements. Except as              provided herein, rights under any Award granted before amendment of              the              Plan shall not be impaired by any amendment of the Plan unless              (i) the Company requests the consent of the affected Participant, and              (ii) such Participant consents in writing. |
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| (vii)   | To              submit any amendment to the Plan for stockholder approval, including,              but              not limited to, amendments to the Plan intended to satisfy the              requirements of (i) Section 162(m) of the Code and the              regulations thereunder regarding the exclusion of performance-based              compensation from the limit on corporate deductibility of compensation              paid to Covered Employees, (ii) Section 422 of the Code              regarding Incentive Stock Options or (iii) Rule 16b-3. |
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| (viii)   | To              approve forms of Award Agreements for use under the Plan and to amend              the              terms of any one or more Awards or stock awards granted under the Prior              Stock Awards, including, but not limited to, amendments to provide              terms              more favorable than previously provided in the Award Agreement, subject              to              any specified limits in the Plan that are not subject to Board discretion;              *provided              however*,              that, the rights under any Award shall not be impaired by any such              amendment unless (i) the Company requests the consent of the affected              Participant, and (ii) such Participant consents in writing.              Notwithstanding the foregoing, subject to the limitations of applicable              law, if any, and without the affected Participant’s consent, the Board may              amend the terms of any one or more Awards if necessary to maintain              the              qualified status of the Award as an Incentive Stock Option or to bring              the              Award into compliance with Code Section 409A and the related guidance              thereunder. |
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| (ix)   | Generally,              to exercise such powers and to perform such acts as the Board deems              necessary or expedient to promote the best interests of the Company              and              that are not in conflict with the provisions of the Plan or Awards. |
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| (x)   | To              adopt such procedures and sub-plans as are necessary or appropriate              to              permit participation in the Plan by Employees, Directors or Consultants              who are foreign nationals or employed outside the United              States. |
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| ***(c)  *** | ***Delegation              to Committee.*** |
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| *(i)  * | *General.*The              Board may delegate some or all of the administration of the Plan to              a              Committee or Committees. If administration of the Plan is delegated              to a              Committee, the Committee shall have, in connection with the administration              of the Plan, the powers theretofore possessed by the Board that have              been              delegated              to the Committee, including the power to delegate to a subcommittee              of the              Committee any of the administrative powers the Committee is authorized              to              exercise (and references in this Plan to the Board shall thereafter              be to              the Committee or subcommittee), subject, however, to such resolutions,              not              inconsistent with the provisions of the Plan, as may be adopted from              time              to time by the Board. The Board may retain the authority to concurrently              administer the Plan with the Committee and may, at any time, revest              in the              Board some or all of the powers previously              delegated. |
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| *(ii)  * | *Section 162(m)              and Rule 16b-3 Compliance.*In              the sole discretion of the Board, the Committee may consist solely              of two              or more Outside Directors, in accordance with Section 162(m) of the              Code, or solely of two or more Non-Employee Directors, in accordance              with              Rule 16b-3. In addition, the Board or the Committee, in its sole              discretion, may (A) delegate to a Committee of Directors who need not              be Outside Directors the authority to grant Awards to eligible persons              who              are either (I) not then Covered Employees and are not expected to be              Covered Employees at the time of recognition of income resulting from              such              Stock Award, or (II) not persons with respect to whom the Company              wishes to comply with Section 162(m) of the Code, or              (B) delegate to a Committee of Directors who need not be Non-Employee              Directors the authority to grant Stock Awards to eligible persons who              are              not then subject to Section 16 of the Exchange              Act. |
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| ***(d)  *** | ***Delegation              to an Officer.**** *The              Board may delegate to one or more Officers the authority to do one              or both              of the following (i) designate Employees who are not Officers to be              recipients of Options (and, to the extent permitted by applicable law,              other Stock Awards) and the terms thereof, and (ii) determine the              number of shares of Common Stock to be subject to such Stock Awards              granted to such Employees; *provided,              however*,              that the Board resolutions regarding such delegation shall specify              the              total number of shares of Common Stock that may be subject to the Stock              Awards granted by such Officer and that such Officer may not grant              a Stock              Award to himself or herself. Notwithstanding anything to the contrary              in              this Section 2(d), the Board may not delegate to an Officer authority              to determine the Fair Market Value of the Common Stock pursuant to              Section 13(v)(ii) below. |
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| ***(e)  *** | ***Effect              of Board’s Decision.**** *All              determinations, interpretations and constructions made by the Board              in              good faith shall not be subject to review by any person and shall be              final, binding and conclusive on all              persons. |
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| ***(f)  *** | ***Cancellation              and Re-Grant of Stock Awards.**** *Neither              the Board nor any Committee shall have the authority to: (i) reprice              any outstanding Stock Awards under the Plan, or (ii) cancel and              re-grant any outstanding Stock Awards under the Plan, unless the              stockholders of the Company have approved such an action within twelve              (12) months prior to such an event. |
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| ***(g)  *** | ***Arbitration.**** *Any              dispute or claim concerning any Stock Awards granted (or not granted)              pursuant to the Plan or any disputes or claims relating to or arising              out              of the Plan shall be fully, finally and exclusively resolved by binding              and confidential arbitration conducted pursuant to the Commercial              Arbitration Rules of the American Arbitration Association in Orange              County, California. The Company and the Participant shall each pay              50% of              the arbitration fees. In addition to any other relief, the arbitrator              may              award to the prevailing party recovery of its attorneys’ fees and costs.              By accepting a Stock Award, Participants and the Company waive their              respective rights to have any such disputes or claims tried by a judge              or              jury. |
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| **3.  ** | **Shares              Subject to the Plan.** |
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| ***(a)  *** | ***Share              Reserve.**** *Subject              to the provisions of Section 9(a) relating to Capitalization              Adjustments, the aggregate number of shares of Common Stock that may              be              issued pursuant to Stock Awards after the Effective Date shall consist              of              the sum of (i) the number of allocated shares available for issuance              under the Prior Stock Awards, (ii) an additional 2,000,000 (two              million) shares to be approved by the stockholders at the 2006 Annual              Meeting as part of the approval of this Plan and (iii) the number of              shares added to the reserve pursuant to Section 3(b) (the              ***“Share              Reserve”***).              For clarity, the limitation in this subsection 3(a) is a limitation              in the number of shares of the Company’s common stock that may be issued              pursuant to the Plan. Accordingly, this subsection 3(a) does not              limit the granting of Stock Awards except as provided in              subsection 7(a). Shares may be issued in connection with a merger or              acquisition as permitted by NASD Rule 4350(i)(1)(A)(iii) or, if              applicable, NYSE Listed Company              Manual Section 303A.08, or AMEX Company Guide Section 711 and              such issuance shall not reduce the number of shares available for issuance              under the Plan. Furthermore, if a Stock Award (i) expires or              otherwise terminates without having been exercised in full or (ii) is              settled in cash (i.e*.,*              the holder of the Stock Award receives cash rather than stock), such              expiration, termination or settlement shall not reduce (or otherwise              offset) the number of shares of the Company’s common stock that may be              issued pursuant to the Plan. |
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| ***(b)  *** | ***Additions              to the Share Reserve.**** *The              share reserve under the Plan also shall be increased from time to time              by              a number of shares equal to the number of shares of Common Stock that              (i) are issuable pursuant to options or stock awards outstanding as              of the Effective Date of the Plan. |
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| ***(c)  *** | ***Reversion              of Shares to the Share Reserve.**** *If              any shares of common stock issued pursuant to a Stock Award are forfeited              back to the Company because of the failure to meet a contingency or              condition required to vest such shares in the Participant, then the              shares              which are forfeited shall revert to and again become available for              issuance under the Plan. Also, any shares reacquired by the Company              pursuant to subsection 8(g) or as consideration for the exercise of              an Option shall again become available for issuance under the Plan.              Notwithstanding the provisions of this subsection 3(c), any such              shares shall not be subsequently issued pursuant to the exercise of              Incentive Stock Options. |
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| ***(d)  *** | ***Incentive              Stock Option Limit.**** *Notwithstanding              anything to the contrary in this Section 3(d), subject to the              provisions of Section 9(a) relating to Capitalization Adjustments the              aggregate maximum number of shares of Common Stock that may be issued              pursuant to the exercise of Incentive Stock Options shall be the number              of              shares of Common Stock in the Share              Reserve. |
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| ***(e)  *** | ***Section 162(m)              Limitation on Annual Grants****.*Subject              to the provisions of Section 9(a) relating to Capitalization              Adjustments, at such time as the Company may be subject to the applicable              provisions of Section 162(m) of the Code, no Employee shall be              eligible to be granted during any calendar year Stock Awards whose              value              is determined by reference to an increase over an exercise or strike              price              of at least one hundred percent (100%) of the Fair Market Value of              the              Common Stock on the date the Stock Award is granted covering more than              One              Million (1,000,000) shares of Common              Stock. |
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| ***(f)  *** | ***Source              of Shares.**** *The              stock issuable under the Plan shall be shares of authorized but unissued              or reacquired Common Stock, including shares repurchased by the Company              on              the market or otherwise. |
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| **4.  ** | **Eligibility.** |
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| ***(a)  *** | ***Eligibility              for Specific Stock Awards.**** *Incentive              Stock Options may be granted only to employees of the Company or a              parent              corporation or subsidiary corporation (as such terms are defined in              Code              Sections 424(e) and (f)). Stock Awards other than Incentive Stock              Options may be granted to Employees, Directors and              Consultants. |
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| ***(b)  *** | ***Ten              Percent Stockholders.**** *A              Ten Percent Stockholder shall not be granted an Incentive Stock Option              unless the exercise price of such Option is at least one hundred ten              percent (110%) of the Fair Market Value of the Common Stock on the              date of              grant and the Option is not exercisable after the expiration of five              (5) years from the date of grant. |
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| ***(c)  *** | ***Consultants****.*A              Consultant shall not be eligible for the grant of a Stock Award only              if,              at the time of grant, a Form S-8 Registration Statement under the              Securities Act ***(“Form               S-8”)***is              not available to register either the offer or the sale of the Company’s              securities to such Consultant because of the nature of the services              that              the Consultant is providing to the Company, because the Consultant              is not              a natural person, or because of any other rule governing the use of              Form  S-8. |
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| **5.  ** | **Option              Provisions.** |
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*provided,      however*

| ***(a)  *** | ***Term.**** *Subject              to the provisions of Section 4(b) regarding Ten Percent Stockholders,              no Option shall be exercisable after the expiration of ten (10) years              from the date of its grant or such shorter period specified in the              Option              Agreement. |
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| ***(b)  *** | ***Exercise              Price.**** *Subject              to the provisions of Section 4(b) regarding Ten Percent Stockholders,              the exercise price of each Option shall be not less than one hundred              percent (100%) of the Fair Market Value of the Common Stock subject              to the              Option on the date the Option is granted. Notwithstanding the foregoing,              an Option may be granted with an exercise price lower than one hundred              percent (100%) of the Fair Market Value of the Common Stock subject              to the              Option if such Option is granted pursuant to an assumption or substitution              for another option in a manner consistent with the provisions of              Section 424(a) of the Code (whether or not such options are Incentive              Stock Options). |
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| ***(c)  *** | ***Consideration.**** *The              purchase price of Common Stock acquired pursuant to the exercise of              an              Option shall be paid, to the extent permitted by applicable law and              as              determined by the Board in its sole discretion, by any combination              of the              methods of payment set forth below. The Board shall have the authority              to              grant Options that do not permit all of the following methods of payment              (or otherwise restrict the ability to use certain methods) and to grant              Options that require the consent of the Company to utilize a particular              method of payment. The methods of payment permitted by this              Section 5(c) are: |
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| (i)   | by              cash, check, bank draft or money order payable to the Company; |
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| (ii)   | pursuant              to a program developed under Regulation T as promulgated by the              Federal Reserve Board that, prior to the issuance of the stock subject              to              the Option, results in either the receipt of cash (or check) by the              Company or the receipt of irrevocable instructions to pay the aggregate              exercise price to the Company from the sales proceeds; |
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| (iii)   | by              delivery to the Company (either by actual delivery or attestation)              of              shares of Common Stock; |
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| (iv)   | by              a “net exercise” arrangement pursuant to which the Company will reduce the              number of shares of Common Stock issued upon exercise by the largest              whole              number of shares with a Fair Market Value that does not exceed the              aggregate exercise price; *provided,              however*,              that the Company shall accept a cash or other payment from the Participant              to the extent of any remaining balance of the aggregate exercise price              not              satisfied by such reduction in the number of whole shares to be issued;              *provided,              further*,              that shares of Common Stock will no longer be outstanding under an              Option              and will not be exercisable thereafter to the extent that (A) shares              are used to pay the exercise price pursuant to the “net exercise,”              (B) shares are delivered to the Participant as a result of such              exercise, and (C) shares are withheld to satisfy tax withholding              obligations; or |
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| (v)   | in              any other form of legal consideration that may be acceptable to the              Board. |
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| ***(d)  *** | ***Transferability              of Options.**** *The              Board may, in its sole discretion, impose such limitations on the              transferability of Options as the Board shall determine. In the absence              of              such a determination by the Board to the contrary, the following              restrictions on the transferability of Options shall apply: |
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| *(i)  * | *Restrictions              on Transfer.*An              Option shall not be transferable except by will or by the laws of descent              and distribution and shall be exercisable during the lifetime of the              Optionholder only by              the Optionholder; provided, however, that the Board may, in its sole              discretion, permit transfer of the Option in a manner consistent with              applicable tax and securities laws upon the Optionholder’s request. |
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| *(ii)  * | *Domestic              Relations Orders.*Notwithstanding              the foregoing, an Option may be transferred pursuant to a domestic              relations order, *provided,              however*,              that an Incentive Stock Option may be deemed to be a Nonqualified Stock              Option as a result of such transfer. |
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| *(iii)  * | *Beneficiary              Designation.*Notwithstanding              the foregoing, the Optionholder may, by delivering written notice to              the              Company, in a form provided by or otherwise satisfactory to the Company,              designate a third party who, in the event of the death of the              Optionholder, shall thereafter be entitled to exercise the Option. |
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| ***(e)  *** | ***Vesting              Generally.**** *The              total number of shares of Common Stock subject to an Option may vest              and              therefore become exercisable in periodic installments that may or may              not              be equal. The Option may be subject to such other terms and conditions              on              the time or times when it may or may not be exercised (which may be              based              on the satisfaction of Performance Goals or other criteria) as the              Board              may deem appropriate. The vesting provisions of individual Options              may              vary. The provisions of this Section 5(e) are subject to any Option              provisions governing the minimum number of shares of Common Stock as              to              which an Option may be exercised. |
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| ***(f)  *** | ***Termination              of Continuous Service.**** *Unless              explicitly provided otherwise in the applicable Option Agreement or              other              agreement between the Optionholder and the Company, in the event that              an              Optionholder’s Continuous Service terminates (other than for Cause or upon              the Optionholder’s death or Disability), the Optionholder may exercise his              or her Option (to the extent that the Optionholder was entitled to              exercise such Option as of the date of termination of Continuous Service)              but only within such period of time ending on the earlier of (i) the              date three (3) months following the termination of the Optionholder’s              Continuous Service (or such longer or shorter period specified in the              Option Agreement), or (ii) the expiration of the term of the Option              as set forth in the Option Agreement. If, after termination of Continuous              Service, the Optionholder does not exercise his or her Option within              the              time specified herein or in the Option Agreement (as applicable), the              Option shall terminate. |
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| ***(g)  *** | ***Disability              of Optionholder.***** **Unless              explicitly provided otherwise in the applicable Option Agreement or              other              agreement between the Optionholder and the Company, in the event that              an              Optionholder’s Continuous Service terminates as a result of the              Optionholder’s Disability, the Optionholder may exercise his or her Option              (to the extent that the Optionholder was entitled to exercise such              Option              as of the date of termination of Continuous Service), but only within              such              period of time ending on the earlier of (i) the date twelve              (12) months following such termination of Continuous Service (or such              longer or shorter period specified in the Option Agreement), or              (ii) the expiration of the term of the Option as set forth in the              Option Agreement. If, after termination of Continuous Service, the              Optionholder does not exercise his or her Option within the time specified              herein or in the Option Agreement (as applicable), the Option shall              terminate. |
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| ***(h)  *** | ***Death              of Optionholder.***              Unless explicitly provided otherwise in the applicable Option Agreement              or              other agreement between the Optionholder and the Company, in the event              that (i) an Optionholder’s Continuous Service terminates as a result              of the Optionholder’s death, or (ii) the Optionholder dies within the              period (if any) specified in the Option Agreement after the termination              of              the Optionholder’s Continuous Service for a reason other than death, then              the Option may be exercised (to the extent the Optionholder was entitled              to exercise such Option as of the date of death) by the Optionholder’s              estate, by a person who acquired the right to exercise the Option by              bequest or inheritance or by a person designated to exercise the option              upon the Optionholder’s death, but only within the period ending on the              earlier of (i) the date twelve (12) months following the date of              death (or such longer or shorter period specified in the Option              Agreement), or (ii) the expiration of the term of such Option as set              forth in the Option Agreement. If, after the Optionholder’s death, the              Option is not exercised within the time specified herein or in the              Option              Agreement (as applicable), the Option shall terminate. |
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| ***(i)  *** | ***Extension              of Termination Date.**** *Unless              explicitly provided otherwise in the applicable Option Agreement or              other              agreement between the Optionholder and the Company, if the exercise              of the              Option following the termination of the Optionholder’s Continuous Service              (other than for Cause) would be prohibited at any time solely because              the              issuance of shares of Common Stock would violate the registration              requirements under the Securities Act, then the Option shall terminate              on              the earlier of (i) the expiration of a period equal to the              post-termination exercise period described in Section 5(f), 5(g) or              5(h) above after the termination of the Optionholder’s Continuous Service              during which the exercise of the Option would not be in violation of              such              registration requirements, or (ii) the expiration of the term of the              Option as set forth in the Option Agreement. In addition, unless otherwise              provided in an Optionholder’s Option Agreement, if the sale of the Common              Stock received upon exercise of an Option following the termination              of the              Optionholder’s Continuous Service (other than for Cause) would violate the              Company’s insider trading policy, then the Option shall terminate on the              earlier of (i) the expiration of a period equal to the              post-termination exercise period described in Section 5(f), 5(g) or              5(h) above after the termination of the Optionholder’s Continuous Service              during which the exercise of the Option would not be in violation of              the              Company’s insider trading policy, (ii) the 15th day of the third              month after the date on which the Option would cease to be exercisable              but              for this Section 5(i), or such longer period as would not cause the              Option to become subject to Section 409A(a)(1) of the Code; or              (iii) the expiration of the term of the Option as set forth in the              Option Agreement. |
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| ***(j)  *** | ***Termination              for Cause.**** *Unless              explicitly provided otherwise in an Optionholder’s Option Agreement or              other agreement between the Optionholder and the Company, in the event              that an Optionholder’s Continuous Service is terminated for Cause, the              Option shall terminate upon the termination date of such Optionholder’s              Continuous Service, and the Optionholder shall be prohibited from              exercising his or her Option from and after the time of such termination              of Continuous Service. |
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| ***(k)  *** | ***Non-Exempt              Employees.**** *No              Option granted to an Employee that is a non-exempt employee for purposes              of the Fair Labor Standards Act shall be first exercisable for any              shares              of Common Stock until at least six months following the date of grant              of              the Option. The foregoing provision is intended to operate so that              any              income derived by a non-exempt employee in connection with the exercise              or              vesting of an Option will be exempt from his or her regular rate of              pay. |
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| **6.  ** | **Provisions              of Stock Awards other than              Options.** |
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| ***(a)  *** | ***Restricted              Stock Awards.**** *Each              Restricted Stock Award Agreement shall be in such form and shall contain              such terms and conditions as the Board shall deem appropriate. To the              extent consistent with the Company’s Bylaws, at the Board’s election,              shares of Common Stock may be (i) held in book entry form subject to              the Company’s instructions until any restrictions relating to the              Restricted Stock Award lapse; or (ii) evidenced by a certificate,              which certificate shall be held in such form and manner as determined              by              the Board. The terms and conditions of Restricted Stock Award Agreements              may change from time to time, and the terms and conditions of separate              Restricted Stock Award Agreements need not be identical, *provided,              however*,              that each Restricted Stock Award Agreement shall include (through              incorporation of provisions hereof by reference in the agreement or              otherwise) the substance of each of the following provisions: |
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| *(i)  * | *Consideration.*A              Restricted Stock Award may be awarded in consideration for (A) past              or future services actually rendered to the Company or an Affiliate,              or              (B) any other form of legal consideration that may be acceptable to              the Board in its sole discretion and permissible under applicable law. |
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| *(ii)  * | *Vesting.*Shares              of Common Stock awarded under the Restricted Stock Award Agreement              may be              subject to forfeiture to the Company in accordance with a vesting schedule              to be determined by the Board. |
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| *(iii)  * | *Termination              of Participant’s Continuous Service.*In              the event a Participant’s Continuous Service terminates, the Company may              receive via a forfeiture condition, any or all of the shares of Common              Stock held by the Participant which have not vested as of the date              of              termination of Continuous Service under the terms of the Restricted              Stock              Award Agreement. |
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| *(iv)  * | *Transferability.*Rights              to acquire shares of Common Stock under the Restricted Stock Award              Agreement shall be transferable by the Participant only upon such terms              and conditions as are set forth in the Restricted Stock Award Agreement,              as the Board shall determine in its sole discretion, so long as Common              Stock awarded under the Restricted Stock Award Agreement remains subject              to the terms of the Restricted Stock Award              Agreement. |
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| ***(b)  *** | ***Restricted              Stock Unit Awards.**** *Each              Restricted Stock Unit Award Agreement shall be in such form and shall              contain such terms and conditions as the Board shall deem appropriate.              The              terms and conditions of Restricted Stock Unit Award Agreements may              change              from time to time, and the terms and conditions of separate Restricted              Stock Unit Award Agreements need not be identical, *provided,              however*,              that each Restricted Stock Unit Award Agreement shall include (through              incorporation of the provisions hereof by reference in the Agreement              or              otherwise) the substance of each of the following provisions: |
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| *(i)  * | *Consideration.*At              the time of grant of a Restricted Stock Unit Award, the Board will              determine the consideration, if any, to be paid by the Participant              upon              delivery of each share of Common Stock subject to the Restricted Stock              Unit Award. The consideration to be paid (if any) by the Participant              for              each share of Common Stock subject to a Restricted Stock Unit Award              may be              paid in any form of legal consideration that may be acceptable to the              Board in its sole discretion and permissible under applicable law. |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| *(ii)  * | *Vesting.*At              the time of the grant of a Restricted Stock Unit Award, the Board may              impose such restrictions or conditions to the vesting of the Restricted              Stock Unit Award as it, in its sole discretion, deems appropriate. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(iii)  * | *Payment.*A              Restricted Stock Unit Award may be settled by the delivery of shares              of              Common Stock, their cash equivalent, any combination thereof or in              any              other form of consideration, as determined by the Board and contained              in              the Restricted Stock Unit Award Agreement. |
|---------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(iv)  * | *Additional              Restrictions.*At              the time of the grant of a Restricted Stock Unit Award, the Board,              as it              deems appropriate, may impose such restrictions or conditions that              delay              the delivery of the shares of Common Stock (or their cash equivalent)              subject to a Restricted Stock Unit Award to a time after the vesting              of              such Restricted Stock Unit Award. |
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| *(v)  * | *Dividend              Equivalents.*Dividend              equivalents may be credited in respect of shares of Common Stock covered              by a Restricted Stock Unit Award, as determined by the Board and contained              in the Restricted Stock Unit Award Agreement. At the sole discretion              of              the Board, such dividend equivalents may be converted into additional              shares of Common Stock covered by the Restricted Stock Unit Award in              such              manner as determined by the Board. Any additional shares covered by              the              Restricted Stock Unit Award credited by reason of such dividend              equivalents will be subject to all the terms and conditions of the              underlying Restricted Stock Unit Award Agreement to which they relate. |
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| *(vi)  * | *Termination              of Participant’s Continuous Service.*Except              as otherwise provided in the applicable Restricted Stock Unit Award              Agreement, such portion of the Restricted Stock Unit Award that has              not              vested will be forfeited upon the Participant’s termination of Continuous              Service. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(vii)  * | *Compliance              with Section 409A of the Code.*Notwithstanding              anything to the contrary set forth herein, any Restricted Stock Unit              Award              granted under the Plan that is not exempt from the requirements of              Section 409A of the Code shall contain such provisions so that such              Restricted Stock Unit Award will comply with the requirements of              Section 409A of the Code. Such restrictions, if any, shall be              determined by the Board and contained in the Restricted Stock Unit              Award              Agreement evidencing such Restricted Stock Unit Award. For example,              such              restrictions may include, without limitation, a requirement that any              Common Stock that is to be issued in a year following the year in which              the Restricted Stock Unit Award vests must be issued in accordance              with a              fixed pre-determined schedule. |
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| ***(c)  *** | ***Stock              Appreciation Rights.**** *Each              Stock Appreciation Right Agreement shall be in such form and shall              contain              such terms and conditions as the Board shall deem appropriate. Stock              Appreciation Rights may be granted as stand-alone Stock Awards or in              tandem with other Stock Awards. The terms and conditions of Stock              Appreciation Right Agreements may change from time to time, and the              terms              and conditions of separate Stock Appreciation Right Agreements need              not be              identical; *provided,              however,*              that each Stock Appreciation Right Agreement shall include (through              incorporation of the provisions hereof by reference in the Agreement              or              otherwise) the substance of each of the following              provisions: |
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| *(i)  * | *Term.*No              Stock Appreciation Right shall be exercisable after the expiration              of ten              (10) years from the date of its grant or such shorter period              specified in the Stock Appreciation Right Agreement. |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| *(ii)  * | *Strike              Price.*Each              Stock Appreciation Right will be denominated in shares of Common Stock              equivalents. The strike price of each Stock Appreciation Right shall              not              be less than one hundred percent (100%) of the Fair Market Value of              the              Common Stock equivalents subject to the Stock Appreciation Right on              the              date of grant. |
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| *(iii)  * | *Calculation              of Appreciation.*The              appreciation distribution payable on the exercise of a Stock Appreciation              Right will be not greater than an amount equal to the excess of              (A) the aggregate Fair Market Value (on the date of the exercise of              the Stock Appreciation Right) of a number of shares of Common Stock              equal              to the number of share of Common Stock equivalents in which the              Participant is vested under such Stock Appreciation Right, and with              respect to which the Participant is exercising the Stock Appreciation              Right on such date, over (B) the strike price that will be determined              by the Board at the time of grant of the Stock Appreciation Right. |
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| *(iv)  * | *Vesting.*At              the time of the grant of a Stock Appreciation Right, the Board may              impose              such restrictions or conditions to the vesting of such Stock Appreciation              Right as it, in its sole discretion, deems appropriate. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(v)  * | *Exercise.*To              exercise any outstanding Stock Appreciation Right, the Participant              must              provide written notice of exercise to the Company in compliance with              the              provisions of the Stock Appreciation Right Agreement evidencing such              Stock              Appreciation Right. |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(vi)  * | *Payment.*The              appreciation distribution in respect to a Stock Appreciation Right              may be              paid in Common Stock, in cash, in any combination of the two or in              any              other form of consideration, as determined by the Board and contained              in              the Stock Appreciation Right Agreement evidencing such Stock Appreciation              Right. |
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| *(vii)  * | *Termination              of Continuous Service.*In              the event that a Participant’s Continuous Service terminates (other than              for Cause), the Participant may exercise his or her Stock Appreciation              Right (to the extent that the Participant was entitled to exercise              such              Stock Appreciation Right as of the date of termination) but only within              such period of time ending on the earlier of (A) the date three              (3) months following the termination of the Participant’s Continuous              Service (or such longer or shorter period specified in the Stock              Appreciation Right Agreement), or (B) the expiration of the term of              the Stock Appreciation Right as set forth in the Stock Appreciation              Right              Agreement. If, after termination, the Participant does not exercise              his or              her Stock Appreciation Right within the time specified herein or in              the              Stock Appreciation Right Agreement (as applicable), the Stock Appreciation              Right shall terminate. |
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| *(viii)  * | *Extension              of Termination Date.*Unless              otherwise provided in a Participant’s Stock Appreciation Right Agreement,              if the exercise of the Stock Appreciation Right following the termination              of the Participant’s Continuous Service (other than for Cause) would be              prohibited at any time solely because the issuance of shares of Common              Stock would violate the registration requirements under the Securities              Act, then the Stock Appreciation Right shall terminate on the earlier              of              (i) the expiration of a period equal to the post-termination exercise              period described in Section 6(c)(vii) above after the termination of              the Participant’s Continuous Service during which the exercise of the              Stock Appreciation Right would not be in violation of such registration              requirements, or (ii) the expiration of the term of the Stock              Appreciation Right as set forth in the Stock Appreciation Right Agreement.              In addition, unless otherwise provided in a Participant’s Stock              Appreciation Right Agreement, if the sale of the Common Stock received              upon exercise of a Stock Appreciation Right following the termination              of              the Participant’s Continuous Service (other than for Cause) would violate              the Company’s insider trading policy, then the Stock Appreciation Right              shall terminate on the earlier of (i) the expiration of a period              equal to the post-termination exercise period described in              Section 6(c)(vii) above after the termination of the Participant’s              Continuous Service during which the exercise of the Stock Appreciation              Right would not be in violation of the Company’s insider trading policy,              (ii) the 15th day of the third month after the date on which the              Stock Appreciation Right would cease to be exercisable but for this              Section 6(c)(viii), or such longer period as would not cause the              Stock Appreciation Right to become subject to Section 409A(a)(1) of              the Code; or (iii) the expiration of the term of the Stock              Appreciation Right as set forth in the Stock Appreciation Right Agreement. |
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| *(ix)  * | *Termination              for Cause.*Except              as explicitly provided otherwise in an Participant’s Stock Appreciation              Right Agreement, in the event that a Participant’s Continuous Service is              terminated for Cause, the Stock Appreciation Right shall terminate              upon              the termination date of such Participant’s Continuous Service, and the              Participant shall be prohibited from exercising his or her Stock              Appreciation Right from and after the time of such termination of              Continuous Service. |
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| *(x)  * | *Compliance              with Section 409A of the Code.*Notwithstanding              anything to the contrary set forth herein, any Stock Appreciation Rights              granted under the Plan that are not exempt from the requirements of              Section 409A of the Code shall contain such provisions so that such              Stock Appreciation Rights will comply with the requirements of              Section 409A of the Code. Such restrictions, if any, shall be              determined by the Board and contained in the Stock Appreciation Right              Agreement evidencing such Stock Appreciation Right. For example, such              restrictions may include, without limitation, a requirement that a              Stock              Appreciation Right that is to be paid wholly or partly in cash must              be              exercised and paid in accordance with a fixed pre-determined              schedule. |
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| ***(d)  *** | ***Performance              Awards.**** * |
|-----------------------|------------------------------------------------|

| *(i)  * | *Performance              Stock Awards.*A              Performance Stock Award is a Stock Award that may be granted, may vest,              or              may be exercised based upon the attainment during a Performance Period              of              certain Performance Goals. A Performance Stock Award may, but need              not,              require the completion of a specified period of Continuous Service.              The              length of any Performance Period, the Performance Goals to be achieved              during the Performance Period, and the measure of whether and to what              degree such Performance Goals have been attained shall be conclusively              determined by the Committee or the Board in its sole discretion. The              maximum number of shares that may be granted to any Participant in              a              calendar year attributable to Stock Awards described in this              Section 6(d)(i) shall not exceed Five Hundred Thousand (500,000)              shares of Common Stock. In addition, to the extent permitted by applicable              law and the applicable Award Agreement, the Board may determine that              cash              may be used in payment of Performance Stock Awards. |
|-------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(ii)  * | *Performance              Cash Awards.*A              Performance Cash Award is a cash award that may be granted upon the              attainment during a Performance Period of certain Performance Goals.              A              Performance Cash Award may also require the completion of a specified              period of Continuous Service. The length of any Performance Period,              the              Performance Goals to be achieved during the Performance Period, and              the              measure of whether and to what degree such Performance Goals have been              attained shall be conclusively determined by the Committee in its sole              discretion. The maximum value that may be granted to any Participant              in a              calendar year attributable to cash awards described in this              Section 6(d)(ii) shall not exceed Five Hundred Thousand dollars              ($500,000). The Board may provide for or, subject to such terms and              conditions as the Board may specify, may permit a Participant to elect              for, the payment of any Performance Cash Award to be deferred to a              specified date or event. The Committee or the Board may specify the              form              of payment of Performance Cash Awards, which may be cash or other              property, or may provide for a Participant to have the option for his              or              her Performance Cash Award, or such portion thereof as the Board may              specify, to be paid in whole or in part in cash or other property.              In              addition, to the extent permitted by applicable law and the applicable              Award Agreement, the Board may determine that Common Stock authorized              under this Plan may be used in payment of Performance Cash Awards,              including additional shares in excess of the Performance Cash Award              as an              inducement to hold shares of Common Stock. |
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----

| ***(e)  *** | ***Other              Stock Awards.**** *Other              forms of Stock Awards valued in whole or in part by reference to, or              otherwise based on, Common Stock may be granted either alone or in              addition to Stock Awards provided for under Section 5 and the              preceding provisions of this Section 6. Subject to the provisions of              the Plan, the Board shall have sole and complete authority to determine              the persons to whom and the time or times at which such Other Stock              Awards              will be granted, the number of shares of Common Stock (or the cash              equivalent thereof) to be granted pursuant to such Other Stock Awards              and              all other terms and conditions of such Other Stock Awards. |
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| **7.  ** | **Covenants              of the Company.** |
|--------------------|--------------------------------------------|

| ***(a)  *** | ***Availability              of Shares.**** *During              the terms of the Stock Awards, the Company shall keep available at              all              times the number of shares of Common Stock required to satisfy such              Stock              Awards. |
|-----------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(b)  *** | ***Securities              Law Compliance.***The              Company shall seek to obtain from each regulatory commission or agency              having jurisdiction over the Plan such authority as may be required              to              grant Stock Awards and to issue and sell shares of Common Stock upon              exercise of the Stock Awards; *provided,              however*,              that this undertaking shall not require the Company to register under              the              Securities Act the Plan, any Stock Award or any Common Stock issued              or              issuable pursuant to any such Stock Award. If, after reasonable efforts,              the Company is unable to obtain from any such regulatory commission              or              agency the authority that counsel for the Company deems necessary for              the              lawful issuance and sale of Common Stock under the Plan, the Company              shall              be relieved from any liability for failure to issue and sell Common              Stock              upon exercise of such Stock Awards unless and until such authority              is              obtained. |
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| ***(c)  *** | ***No              Obligation to Notify.**** *The              Company shall have no duty or obligation to any holder of a Stock Award              to              advise such holder as to the time or manner of exercising such Stock              Award. Furthermore, the Company shall have no duty or obligation to              warn              or otherwise advise such holder of a pending termination or expiration              of              a Stock Award or a possible period in which the Stock Award may not              be              exercised. The Company has no duty or obligation to minimize the tax              consequences of a Stock Award to the holder of such Stock Award. |
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| **8.  ** | **Miscellaneous.** |
|--------------------|--------------------|

| ***(a)  *** | ***Use              of Proceeds from Sales of Common Stock.**** *Proceeds              from the sale of shares of Common Stock pursuant to Stock Awards shall              constitute general funds of the Company. |
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| ***(b)  *** | ***Corporate              Action Constituting Grant of Stock Awards.**** *Corporate              action constituting a grant by the Company of a Stock Award to any              Participant shall be deemed completed as of the date of such corporate              action, unless otherwise determined by the Board, regardless of when              the              instrument, certificate, or letter evidencing the Stock Award is              communicated to, or actually received or accepted by, the              Participant. |
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| ***(c)  *** | ***Stockholder              Rights.**** *No              Participant shall be deemed to be the holder of, or to have any of              the              rights of a holder with respect to, any shares of Common Stock subject              to              such Stock Award unless and until such Participant has exercised the              Stock              Award pursuant to its terms and the Participant shall not be deemed              to be              a stockholder of record until the issuance of the Common Stock pursuant              to              such exercise has been entered into the books and records of the Company. |
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| ***(d)  *** | ***No              Employment or Other Service Rights.**** *Nothing              in the Plan, any Stock Award Agreement or other instrument executed              thereunder or in connection with any Award granted pursuant to the              Plan              shall confer upon any Participant any right to continue to serve the              Company or an Affiliate in the capacity in effect at the time the Stock              Award was granted or shall affect the right of the Company or an Affiliate              to terminate (i) the employment of an Employee with or without notice              and with or without cause, (ii) the service of a Consultant pursuant              to the terms of such Consultant’s agreement with the Company or an              Affiliate, or (iii) the service of a Director pursuant to the Bylaws              of the Company or an Affiliate, and any applicable provisions of the              corporate law of the state in which the Company or the Affiliate is              incorporated, as the case may be. |
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| ***(e)  *** | ***Incentive              Stock Option $100,000 Limitation.**** *To              the extent that the aggregate Fair Market Value (determined at the              time of              grant) of Common Stock with respect to which Incentive Stock Options              are              exercisable for the first time by any Optionholder during any calendar              year (under all plans of the Company and any Affiliates) exceeds one              hundred thousand dollars ($100,000), the Options or portions thereof              that              exceed such limit (according to the order in which they were granted)              shall be treated as Nonstatutory Stock Options, notwithstanding any              contrary provision of the applicable Option Agreement(s). |
|-----------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(f)  *** | ***Investment              Assurances.**** *The              Company may require a Participant, as a condition of exercising or              acquiring Common Stock under any Stock Award, (i) to give written              assurances satisfactory to the Company as to the Participant’s knowledge              and experience in financial and business matters and/or to employ a              purchaser representative reasonably satisfactory to the Company who              is              knowledgeable and experienced in financial and business matters and              that              he or she is capable of evaluating, alone or together with the purchaser              representative, the merits and risks of exercising the Stock Award;              and              (ii) to give written assurances satisfactory to the Company stating              that the Participant is acquiring Common Stock subject to the Stock              Award              for the Participant’s own account and not with any present intention of              selling or otherwise distributing the Common Stock. The foregoing              requirements, and any assurances given pursuant to such requirements,              shall be inoperative if (i) the issuance of the shares upon the              exercise or acquisition of Common Stock under the Stock Award has been              registered under a then currently effective registration statement              under              the Securities Act, or (ii) as to any particular requirement, a              determination is made by counsel for the Company that such requirement              need not be met in the circumstances under the then applicable securities              laws. The Company may, upon advice of counsel to the Company, place              legends on stock certificates issued under the Plan as such counsel              deems              necessary or appropriate in order to comply with applicable securities              laws, including, but not limited to, legends restricting the transfer              of              the Common Stock. |
|-----------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(g)  *** | ***Withholding              Obligations.**** *Unless              prohibited by the terms of a Stock Award Agreement, the Company may,              in              its sole discretion, satisfy any federal, state or local tax withholding              obligation relating to an Award by any of the following means (in addition              to the Company’s right to withhold from any compensation paid to the              Participant by the Company) or by a combination of such means:              (i) causing the Participant to tender a cash payment;              (ii) withholding shares of Common Stock from the shares of Common              Stock issued or otherwise issuable to the Participant in connection              with              the Award; (iii) withholding cash from an Award settled in cash; or              (iv) by such other method as may be set forth in the Award              Agreement. |
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| ***(h)  *** | ***Electronic              Delivery.**** *Any              reference herein to a “written” agreement or document shall include any              agreement or document delivered electronically, or posted on the Company’s              intranet. |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(i)  *** | ***Deferrals.**** *To              the extent permitted by applicable law, the Board, in its sole discretion,              may determine that the delivery of Common Stock or the payment of cash,              upon the exercise, vesting or settlement of all or a portion of any              Award              may be deferred and may establish programs and procedures for deferral              elections to be made by Participants. Deferrals by Participants will              be              made in accordance with Section 409A of the Code. Consistent with              Section 409A of the Code, the Board may provide for distributions              while a Participant is still an employee. The Board is authorized to              make              deferrals of Stock Awards and determine when, and in what annual              percentages, Participants may receive payments, including lump sum              payments, following the Participant’s termination of employment or              retirement, and implement such other terms and conditions consistent              with              the provisions of the Plan and in accordance with applicable              law. |
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| ***(j)  *** | ***Compliance              with 409A****.*To              the extent that the Board determines that any Award granted under the              Plan              is subject to Section 409A of the Code, the Award Agreement              evidencing such Award shall incorporate the terms and conditions necessary              to avoid the consequences specified in Section 409A(a)(1) of the              Code. To the extent applicable, the Plan and Award Agreements shall              be              interpreted in accordance with Section 409A of the Code and              Department of Treasury regulations and other interpretive guidance              issued              thereunder, including without limitation any such regulations or other              guidance that may be issued or amended after the Effective Date.              Notwithstanding any provision of the Plan to the contrary, in the event              that following the Effective Date the Board determines that any Award              may              be subject to Section 409A of the Code and related Department of              Treasury guidance (including such Department of Treasury guidance as              may              be issued after the Effective Date), the Board may adopt such amendments              to the Plan and the applicable Award              Agreement or adopt other policies and procedures (including amendments,              policies and procedures with retroactive effect), or take any other              actions, that the Board determines are necessary or appropriate to              (1) exempt the Award from Section 409A of the Code and/or              preserve the intended tax treatment of the benefits provided with respect              to the Award, or (2) comply with the requirements of              Section 409A of the Code and related Department of Treasury guidance. |
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| **9.  ** | **Adjustments              upon Changes in Common Stock; Other Corporate              Events.** |
|--------------------|-------------------------------------------------------------------------------------------------|

| ***(a)  *** | ***Capitalization              Adjustments.**** *In              the event of a Capitalization Adjustment, the Board shall appropriately              adjust: (i) the class(es) and maximum number of securities subject to              the Plan pursuant to Section 3(a), (ii) the class(es) and              maximum number of securities that may be issued pursuant to the exercise              of Incentive Stock Options pursuant to Section 3(d), (iii) the              class(es) and maximum number of securities that may be awarded to any              person pursuant to Section 3(e) and 6(d)(i), and (iv) the              class(es) and number of securities and price per share of stock subject              to              outstanding Stock Awards. The Board shall make such adjustments, and              its              determination shall be final, binding and              conclusive. |
|-----------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(b)  *** | ***Corporate              Transaction.**** *The              following provisions shall apply to Stock Awards in the event of a              Corporate Transaction unless otherwise provided in the instrument              evidencing the Stock Award or any other written agreement between the              Company or any Affiliate and the holder of the Stock Award or unless              otherwise expressly provided by the Board at the time of grant of a              Stock              Award. |
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| *(i)  * | *Stock              Awards May Be Assumed.*Except              as otherwise stated in the Stock Award Agreement, in the event of a              Corporate Transaction, any surviving corporation or acquiring corporation              (or the surviving or acquiring corporation’s parent company) may assume or              continue any or all Stock Awards outstanding under the Plan or may              substitute similar stock awards for Stock Awards outstanding under              the              Plan (including but not limited to, awards to acquire the same              consideration paid to the stockholders of the Company pursuant to the              Corporate Transaction), and any reacquisition or repurchase rights              held by              the Company in respect of Common Stock issued pursuant to Stock Awards              may              be assigned by the Company to the successor of the Company (or the              successor’s parent company, if any), in connection with such Corporate              Transaction. A surviving corporation or acquiring corporation (or its              parent) may choose to assume or continue only a portion of a Stock              Award              or substitute a similar stock award for only a portion of a Stock Award.              The terms of any assumption, continuation or substitution shall be              set by              the Board in accordance with the provisions of Section 2. |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| *(ii)  * | *Stock              Awards Held by Current Participants.*Except              as otherwise stated in the Stock Award Agreement, in the event of a              Corporate Transaction in which the surviving corporation or acquiring              corporation (or its parent company) does not assume or continue such              outstanding Stock Awards or substitute similar stock awards for such              outstanding Stock Awards, then with respect to Stock Awards that have              not              been assumed, continued or substituted and that are held by Participants              whose Continuous Service has not terminated prior to the effective              time of              the Corporate Transaction (referred to as the ***“Current              Participants”***),              the vesting of such Stock Awards (and, if applicable, the time at which              such Stock Awards may be exercised) shall (contingent upon the              effectiveness of the Corporate Transaction) be accelerated in full              to a              date prior to the effective time of such Corporate Transaction as the              Board shall determine (or, if the Board shall not determine such a              date,              to the date that is five (5) days prior to the effective time of the              Corporate Transaction), and such Stock Awards shall terminate if not              exercised (if applicable) at or prior to the effective time of the              Corporate Transaction, and any reacquisition or repurchase rights held              by              the Company with respect to such Stock Awards shall lapse (contingent              upon              the effectiveness of the Corporate Transaction). |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(iii)  * | *Stock              Awards Held by Persons other than Current Participants.*Except              as otherwise stated in the Stock Award Agreement, in the event of a              Corporate Transaction in which the surviving corporation or acquiring              corporation (or its parent company) does not assume or continue such              outstanding Stock Awards or substitute similar stock awards for such              outstanding Stock Awards, then with respect to Stock Awards that have              not              been assumed, continued or substituted and that are held by persons              other              than Current Participants, the vesting of such Stock Awards (and, if              applicable, the time at which such Stock Award              may be exercised) shall not be accelerated and such Stock Awards (other              than a Stock Award consisting of vested and outstanding shares of Common              Stock not subject to the Company’s right of repurchase) shall terminate if              not exercised (if applicable) prior to the effective time of the Corporate              Transaction; *provided,              however*,              that any reacquisition or repurchase rights held by the Company with              respect to such Stock Awards shall not terminate and may continue to              be              exercised notwithstanding the Corporate Transaction. |
|---------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| *(iv)  * | *Payment              for Stock Awards in Lieu of Exercise.*Notwithstanding              the foregoing, in the event a Stock Award will terminate if not exercised              prior to the effective time of a Corporate Transaction, the Board may              provide, in its sole discretion, that the holder of such Stock Award              may              not exercise such Stock Award but will receive a payment, in such form              as              may be determined by the Board, equal in value to the excess, if any,              of              (A) the value of the property the holder of the Stock Award would              have received upon the exercise of the Stock Award, over (B) any              exercise price payable by such holder in connection with such              exercise. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(c)  *** | ***Change              in Control.**** *Except              as specifically provided otherwise in the Stock Award Agreement covering              a              Stock Award or other written agreement between the Company or any              Affiliate and the Participant and notwithstanding any other provisions              of              the Plan to the contrary, if (i) a Change in Control occurs and              (ii) within the period beginning six (6) months before such              Change in Control and ending twelve (12) months after the effective              date of such Change in Control a Participant’s Continuous Service              (including service with a successor to the Company or an Affiliate)              terminates due to an involuntary termination (not including death or              Disability) without Cause or due to a voluntary termination for Good              Reason, then, as of the date of such termination, (x) each Stock              Award held by such Participant shall automatically become fully vested              (and any reacquisition or repurchase rights held by the Company with              respect to the shares of Common Stock subject to such acceleration              shall              lapse in full, as appropriate) and, if applicable, each such Stock              Award              shall become immediately exercisable in full, and (y) the Participant              may exercise his or her Option or Stock Appreciation Right until the              earlier of (i) the date one (1) year following such termination,              or (ii) the expiration of the term of the Option or Stock              Appreciation Right as set forth in the applicable Award Agreement.              In              addition, a Stock Award may be subject to additional acceleration of              vesting and exercisability upon or after a Change in Control as may              be              provided in the Stock Award Agreement for such Stock Award or as may              be              provided in any other written agreement between the Company or any              Affiliate and the Participant. |
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| ***(d)  *** | ***Potential              Reduction of Parachute Payments****.* |
|-----------------------|-----------------------------------------------------------------|

| (i)   | If              the acceleration of the vesting and exercisability of Stock Awards              provided for in Sections 9(b) and 9(c), together with payments and              other benefits of a Participant (collectively, the ***“Payment”***)              (i) constitute a “parachute payment” within the meaning of              Section 280G of the Code, or any comparable successor provisions, and              (ii) but for this Section 9(d) would be subject to the excise              tax imposed by Section 4999 of the Code, or any comparable successor              provisions (the ***“Excise              Tax”***),              then such Payment shall be either (1) provided to such Participant in              full, or (2) provided to such Participant as to such lesser extent              that would result in no portion of such Payment being subject to the              Excise Tax, whichever of the foregoing amounts, when taking into account              applicable federal, state, local and foreign income and employment              taxes,              the Excise Tax, and any other applicable taxes, results in the receipt              by              such Participant, on an after-tax basis, of the greatest amount of              the              Payment, notwithstanding that all or some portion of the Payment may              be              subject to the Excise Tax. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | The              Company shall appoint a nationally recognized independent accounting              firm              or consulting firm (the ***“Accountant”***)              to make the determinations required hereunder, which accounting firm              shall              not then be serving as accountant or auditor for the individual, entity              or              group that effected the Change in Control. The Company shall bear all              costs and expenses with respect to the determinations the Accountant              may              reasonably incur in connection with any calculations contemplated by              this              Section 9(d). |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | Unless              the Company and such Participant otherwise agree in writing, any              determination required under this Section 9(d) shall be made in              writing in good faith by the Accountant. If a reduction in the Payment              is              to be made as provided above, reductions shall occur in the following              order unless the Participant elects              in writing a different order (*provided,              however*,              that such election shall be subject to Company approval if made on              or              after the date that triggers the Payment or a portion thereof): (A)              reduction of cash payments; (B) cancellation of accelerated vesting              of Options and other Stock Awards; and (C) reduction of other              benefits paid to the Participant. If acceleration of vesting of Stock              Awards is to be reduced, such acceleration of vesting shall be cancelled              in the reverse order of date of grant of the Stock Awards (*i.e.*,              the earliest granted Stock Award cancelled last) unless the Participant              elects in writing a different order for              cancellation. |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | For              purposes of making the calculations required by this Section 9(d),              the Accountant may make reasonable assumptions and approximations              concerning applicable taxes and may rely on reasonable, good faith              interpretations concerning the application of the Code and other              applicable legal authority. The Company and the Participant shall furnish              to the Accountant such information and documents as the Accountant              may              reasonably request in order to make such a              determination. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | If,              notwithstanding any reduction described above, the Internal Revenue              Service (the ***“IRS”***)              determines that the Participant is liable for the Excise Tax as a result              of the Payment, then the Participant shall be obligated to pay back              to the              Company, within thirty (30) days after a final IRS determination or,              in the event that the Participant challenges the final IRS determination,              a final judicial determination, a portion of the Payment (the ***“Repayment              Amount”***).              The Repayment Amount with respect to the Payment shall be the smallest              such amount, if any, as shall be required to be paid to the Company              so              that the Participant’s net after-tax proceeds with respect to the Payment              (after taking into account the payment of the Excise Tax and all other              applicable taxes imposed on the Payment) shall be maximized. The Repayment              Amount with respect to the Payment shall be zero if a Repayment Amount              of              more than zero would not result in the Participant’s net after-tax              proceeds with respect to the Payment being maximized. If the Excise              Tax is              not eliminated pursuant to this paragraph, the Participant shall pay              the              Excise Tax. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (vi)   | Notwithstanding              any other provision of this Section 9(d), if (A) there is a              reduction in the Payment as described above, (B) the IRS later              determines that the Participant is liable for the Excise Tax, the payment              of which would result in the maximization of the Participant’s net              after-tax proceeds of the Payment (calculated as if the Payment had              not              previously been reduced), and (C) the Participant pays the Excise              Tax, then the Company shall pay or otherwise provide to the Participant              that portion of the Payment that was reduced pursuant to this              Section 9(d) contemporaneously or as soon as administratively              possible after the Participant pays the Excise Tax so that the              Participant’s net after-tax proceeds with respect to the Payment are              maximized. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*provided,      however*

| **10.  ** | **Termination              or Suspension of the Plan.** |
|---------------------|---------------------------------------------------------|

| ***(a)  *** | ***Plan              Term.**** *Unless              sooner terminated by the Board pursuant to Section 3, the Plan shall              automatically terminate on the day before the tenth (10th) anniversary              of              the date the Plan is adopted by the Board or approved by the stockholders              of the Company, whichever is earlier. No Awards may be granted under              the              Plan while the Plan is suspended or after it is              terminated. |
|-----------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(b)  *** | ***No              Impairment of Rights.**** *Termination              of the Plan shall not impair rights and obligations under any Award              granted while the Plan is in effect except with the written consent              of the              affected Participant. |
|-----------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| **11.  ** | **Effective              Date of Plan.** |
|---------------------|------------------------------------------|

the      Plan      is so approved, (i) the Prior Stock Awards shall be deemed merged into the      Plan and to cease their separate existence and (ii) outstanding options and      other awards granted pursuant to the Prior Stock Awards shall automatically      become Stock Awards. Notwithstanding that the Prior Stock Awards are merged      into      the Plan, the terms of the Prior Stock Awards shall continue to govern any      Stock      Awards granted prior to the Effective Date. 

| **12.  ** | **Choice              of Law.** |
|---------------------|---------------------------------|

----

| **13.  ** | **Definitions.** |
|---------------------|------------------|

| ***(a)  *** | ***“******Adoption****** ******Date******”***means              October 16, 2006, the date the Plan was adopted by the Board. |
|-----------------------|------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(b)  *** | ***“******Affiliate******”**** *means,              at the time of determination, any “parent” or “subsidiary” as such terms              are defined in Rule 405 of the Securities Act. The Board shall have              the authority to determine the time or times at which “parent” or              “subsidiary” status is determined within the foregoing definition. |
|-----------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(c)  *** | ***“******Award******”**** *means              a Stock Award or a Performance Cash Award. |
|-----------------------|------------------------------------------------------------------------------------------------------------|

| ***(d)  *** | ***“******Board******”**** *means              the Board of Directors of the Company. |
|-----------------------|--------------------------------------------------------------------------------------------------------|

| ***(e)  *** | ***“******Capitalization****** ******Adjustment******”**** *means              any change that is made in, or other events that occur with respect              to,              the Common Stock subject to the Plan or subject to any Stock Award              after              the Effective Date without the receipt of consideration by the Company              (through merger, consolidation, reorganization, recapitalization,              reincorporation, stock dividend, dividend in property other than cash,              stock split, liquidating dividend, combination of shares, exchange              of              shares, change in corporate structure or other transaction not involving              the receipt of consideration by the Company. Notwithstanding the              foregoing, the conversion of any convertible securities of the Company              shall not be treated as a transaction “without receipt of consideration”              by the Company. |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(f)  *** | ***“******Cause******”**** *means              with respect to a Participant, the occurrence of any of the following              events: (i) such Participant’s commission of any felony or any crime              involving fraud or moral turpitude under the laws of the United States              or              any state thereof; (ii) such Participant’s attempted commission of,              or participation in, a fraud or act of dishonesty against the Company;              (iii) such Participant’s intentional, material violation of any              contract or agreement between the Participant and the Company or of              any              statutory duty owed to the Company; (iv) such Participant’s              intentional unauthorized use or intentional disclosure of the Company’s              confidential information or trade secrets; or (v) such Participant’s              gross misconduct. The determination that a termination of the              Participant’s Continuous Service is either for Cause or without Cause              shall be made by the Company in good faith in its sole discretion.              Any              determination by the Company that the Continuous Service of a Participant              was terminated by reason of dismissal without Cause for the purposes              of              outstanding Awards held by such Participant shall have no effect upon              any              determination of the rights or obligations of the Company or such              Participant for any other purpose. |
|-----------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(g)  *** | ***“******Change****** ******In****** ******Control******,”**** *with              respect to Awards granted on or after the Effective Date, will be deemed              to have occurred upon the first to occur of an event set forth in any              one              of the following paragraphs: |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | the              acquisition (other than from the Company, by any person (as such term              is              defined in Section 13(c) or 14(d) of the Securities Exchange Act of              1934, as amended (the ***“1934 Act”***))              of beneficial Ownership (within the meaning of Rule 13d-3 promulgated              under the 1934 Act) of thirty percent (30%) or more of the combined              voting power of the Company’s then outstanding voting securities; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |   |
|--------|--------|--------|

| (ii)   | the              individuals who, as of the Effective Date, are members of the Board              (the              ***“Incumbent              Board”***),              cease for any reason to constitute at least a majority of the Board,              unless the election, or nomination for election by the Company’s              stockholders, of any new director was approved by a vote of at least              a              majority of the Incumbent Board, and such new director shall, for purposes              of this Plan, be considered as a member of the Incumbent Board; or |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |   |
|--------|--------|--------|

| (iii)   | the              closing of: |
|-------------------|------------------------------|

----

| (1)   | a              merger or consolidation involving the Company if the stockholders of              the              Company, immediately before such merger or consolidation, do not, as              a              result of such merger or consolidation, Own, directly or indirectly,              more              than fifty percent (50%) of the combined voting power of the then              outstanding voting securities of the corporation resulting from such              merger or consolidation in substantially the same proportion as their              Ownership of the combined voting power of the voting securities of              the              Company outstanding immediately before such merger or              consolidation; or |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2)   | a              complete liquidation or dissolution of the Company, or an agreement              for              the sale or other disposition of all or substantially all of the assets              of              the Company. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*provided,      however*

***“Change      in Control”***

| ***(h)  *** | ***“******Code******”**** *means              the Internal Revenue Code of 1986, as amended. |
|-----------------------|---------------------------------------------------------------------------------------------------------------|

| ***(i)  *** | ***“******Committee******”**** *means              a committee of one (1) or more Directors to whom authority has been              delegated by the Board in accordance with Section 2(c). |
|-----------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(j)  *** | ***“******Common****** ******Stock******”**** *means              the common stock of the Company. |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------|

| ***(k)  *** | ***“******Company******”**** *means              Cobalis Corp., a Nevada corporation. |
|-----------------------|--------------------------------------------------------------------------------------------------------|

| ***(l)  *** | ***“******Consultant******”**** *means              any person, including an advisor, who is (i) engaged by the Company              or an Affiliate to render consulting or advisory services and is              compensated for such services, or (ii) serving as a member of the              board of directors of an Affiliate and is compensated for such services.              However, service solely as a Director, or payment of a fee for such              service, shall not cause a Director to be considered a “Consultant” for              purposes of the Plan. |
|-----------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(m)  *** | ***“******Continuous****** ******Service******”**** *means              that the Participant’s service with the Company or an Affiliate, whether              as an Employee, Director or Consultant, is not interrupted or terminated.              A change in the capacity in which the Participant renders service to              the              Company, or an Affiliate as an Employee, Consultant              or Director, or a change in the entity for which the Participant renders              such service, provided that there is no interruption or termination              of the              Participant’s service with the Company or an Affiliate, shall not              terminate a Participant’s Continuous Service. For example, a change in              status from an employee of the Company to a consultant to an Affiliate              or              to a Director shall not constitute an interruption of Continuous Service.              To the extent permitted by law, the Board, or the President, or the              Chief              Executive Officer of the Company, in that party’s sole discretion, may              determine whether Continuous Service shall be considered interrupted              in              the case of any leave of absence approved by that party, including              sick              leave, military leave or any other personal leave. Notwithstanding              the              foregoing, a leave of absence shall be treated as Continuous Service              for              purposes of vesting in a Stock Award only to such extent as may be              provided in the Company’s leave of absence policy, in the written terms of              any leave of absence agreement or policy applicable to the Participant,              or              as otherwise required by law. |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ***(n)  *** | ***“******Corporate****** ******Transaction******”**** *means              the occurrence, in a single transaction or in a series of related              transactions, of any one or more of the following events: |
|-----------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | a              sale or other disposition of all or substantially all, as determined              by              the Board in its sole discretion, of the consolidated assets of the              Company and its Subsidiaries; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |   |
|--------|--------|--------|

| (ii)   | a              sale or other disposition of at least ninety percent (90%) of the              outstanding securities of the Company; |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | the              consummation of a merger, consolidation or similar transaction following              which the Company is not the surviving corporation; or |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | the              consummation of a merger, consolidation or similar transaction following              which the Company is the surviving corporation but the shares of Common              Stock outstanding immediately preceding the merger, consolidation or              similar transaction are converted or exchanged by virtue of the merger,              consolidation or similar transaction into other property, whether in              the              form of securities, cash or otherwise. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(o)  *** | ***“******Covered****** ******Employee******”**** *shall              have the meaning provided in Section 162(m)(3) of the Code and the              regulations promulgated thereunder. |
|-----------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(p)  *** | ***“******Director******”**** *means              a member of the Board. |
|-----------------------|-------------------------------------------------------------------------------------------|

| ***(q)  *** | ***“******Disability******”**** *means,              with respect to a Participant, the inability of such Participant to              engage              in any substantial gainful activity by reason of any medically              determinable physical or mental impairment which can be expected to              result              in death or can be expected to last for a continuous period of not              less              than 12 months, as provided in Section 22(e)(3) and              409A(a)(2)(c)(i) of the Code. |
|-----------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(r)  *** | ***“******Effective****** ******Date******”**** *means              the effective date of this Plan document, which is the date of the              annual              meeting of stockholders of the Company held in 2006 provided this Plan              is              approved by the Company’s stockholders at such meeting. |
|-----------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(s)  *** | ***“******Employee******”**** *means              any person employed by the Company or an Affiliate. However, service              solely as a Director, or payment of a fee for such services, shall              not              cause a Director to be considered an “Employee” for purposes of the Plan. |
|-----------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(t)  *** | ***“******Entity******”**** *means              a corporation, partnership, limited liability company or other entity. |
|-----------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| ***(u)  *** | ***“******Exchange              Act******”**** *means              the Securities Exchange Act of 1934, as amended. |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------|

| ***(v)  *** | ***“******Fair****** ******Market****** ******Value******”**** *means,              as of any date, the value of the Common Stock determined as follows: |
|-----------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (i)   | If              the Common Stock is listed on any established stock exchange or traded              on              the Nasdaq National Market or the Nasdaq SmallCap Market, the Fair              Market              Value of a share of Common Stock shall be the closing sales price for              such              stock (or the closing bid, if no sales were reported) as quoted on              such              exchange or market (or the exchange or market with the greatest volume              of              trading in the Common Stock) on the date of determination, as reported              in              *The              Wall Street Journal*or              such other              source as the Board deems reliable. Unless otherwise provided by the              Board, if there is no closing sales price (or closing bid if no sales              were              reported) for the Common Stock on the date of determination, then the              Fair              Market Value shall be the closing selling price (or closing bid if              no              sales were reported) on the last preceding date for which such quotation              exists. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   |   |
|--------|--------|--------|

| (ii)   | In              the absence of such markets for the Common Stock, the Fair Market Value              shall be determined by the Board in good faith. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(w)  *** | ***“******Good****** ******Reason******”**** *means,              with respect to a particular Participant, the occurrence of any of              the              following events, conditions or actions taken by the Company without              Cause              and without such Participant’s consent: (i) Participant’s duties or              responsibilities are materially diminished (and not simply a change              in              title or reporting relationships); *provided,              however*,              that the Participant shall not have “Good Reason” to terminate if the              Company is retained as a separate legal entity or business unit following              the effective date of a Change of Control and the Participant holds              the              same position in such legal entity or business unit as the eligible              employee held before the effective date of such Change of Control,              (ii) any reduction in such Participant’s level of base salary (except              for salary decreases generally applicable to the Company’s other              similarly-situated employees), (iii) any significant reduction, in              the aggregate, in the employee benefit programs made available to the              Participant other than a reduction in such employee benefit programs              affecting all employees of the Company substantially equally, or              (iv) an increase in the Participant’s one-way driving distance from              the Participant’s principal personal residence to the principal office or              business location at which the Participant is required to perform services              of more than 20 miles, except for required travel for the Company’s              business to an extent substantially consistent with the Participant’s              prior business travel obligations;. |
|-----------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(x)  *** | ***“******Incentive****** ******Stock****** ******Option******”**** *means              an Option that is intended to be, and qualifies as, an “incentive stock              option” within the meaning of Section 422 of the Code and the              regulations promulgated thereunder. |
|-----------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(y)  *** | ***“******Non******-******Employee****** ******Director******”**** *means              a Director who either (i) is not a current employee or officer of the              Company or an Affiliate, does not receive compensation, either directly              or              indirectly, from the Company or an Affiliate for services rendered              as a              consultant, or in any capacity other than as a Director (except for              an              amount as to which disclosure would not be required under Item 404(a)              of Regulation  S-K promulgated pursuant to the Securities Act              ***(“Regulation               S-K”)***),              does not possess an interest in any other transaction for which disclosure              would be required under Item 404(a) of Regulation  S-K, and is              not engaged in a business relationship for which disclosure would be              required pursuant to Item 404(b) of Regulation S-K; or              (ii) is otherwise considered a “non-employee director” for purposes              of Rule  16b-3. |
|-----------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(z)  *** | ***“******Nonstatutory****** ******Stock****** ******Option******”**** *means              any Option that does not qualify as an Incentive Stock Option. |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(aa)  *** | ***“******Officer******”**** *means              a person who is an officer of the Company within the meaning of              Section 16 of the Exchange Act and the rules and regulations              promulgated thereunder. |
|------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(bb)  *** | ***“******Option******”**** *means              an Incentive Stock Option or a Nonstatutory Stock Option to purchase              shares of Common Stock granted pursuant to the Plan. |
|------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ***(cc)  *** | ***“******Option****** ******Agreement******”**** *means              a written agreement between the Company and an Optionholder evidencing              the              terms and conditions of an Option grant. Each Option Agreement shall              be              subject to the terms and conditions of the Plan. |
|------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(dd)  *** | ***“******Optionholder******”**** *means              a person to whom an Option is granted pursuant to the Plan or, if              permitted under the terms of this Plan, such other person who holds              an              outstanding Option. |
|------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(ee)  *** | ***“******Other****** ******Stock****** ******Award******”**** *means              an award based in whole or in part by reference to the Common Stock              which              is granted pursuant to the terms and conditions of Section 6(d). |
|------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(ff)  *** | ***“******Other****** ******Stock****** ******Award****** ******Agreement******”**** *means              a written agreement between the Company and a holder of an Other Stock              Award evidencing the terms and conditions of an Other Stock Award grant.              Each Other Stock Award Agreement shall be subject to the terms and              conditions of the Plan. |
|------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(gg)  *** | ***“******Outside****** ******Director******”***means              a Director who either (i) is not a current employee of the Company or              an “affiliated corporation” (within the meaning of Treasury Regulations              promulgated under Section 162(m) of the Code), is not a former              employee of the Company or an “affiliated corporation” who receives              compensation for prior services (other than benefits under a tax-qualified              retirement plan) during the taxable year, has not been an officer of              the              Company or an “affiliated corporation,” and does not receive remuneration              from the Company or an “affiliated corporation,” either directly or              indirectly, in any capacity other than as a Director, or (ii) is              otherwise considered an “outside director” for purposes of              Section 162(m) of the Code. |
|------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(hh)  *** | ***“******Own******,”              “******Owned******,”              “******Owner******,”              “******Ownership******”**** *A              person or Entity shall be deemed to “Own,” to have “Owned,” to be the              “Owner” of, or to have acquired “Ownership” of securities if such person              or Entity, directly or indirectly, through any contract, arrangement,              understanding, relationship or otherwise, has or shares voting power,              which includes the power to vote or to direct the voting, with respect              to              such securities. |
|------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(ii)  *** | ***“******Participant******”**** *means              a person to whom an Award is granted pursuant to the Plan or, if              applicable, such other person who holds an outstanding Stock Award. |
|------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(jj)  *** | ***“******Performance****** ******Cash****** ******Award******”**** *means              an award of cash granted pursuant to the terms and conditions of              Section 6(d)(ii). |
|------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(kk)  *** | ***“******Performance              Criteria******”**** *means              the one or more criteria that the Board shall select for purposes of              establishing the Performance Goals for a Performance Period. The              Performance Criteria that shall be used to establish such Performance              Goals may be based on any one of, or combination of, the following:              (i) earnings per share; (ii) earnings before interest, taxes and              depreciation; (iii) earnings before interest, taxes, depreciation and              amortization; (iv) total stockholder return; (v) return on              equity; (vi) return on assets, investment, or capital employed;              (vii) operating margin; (viii) gross margin; (ix) operating              income; (x) net income (before or after taxes); (xi) net              operating income; (xii) net operating income after tax;              (xiii) pre-tax profit; (xiv) operating cash flow;              (xv) sales or revenue targets; (xvi) increases in revenue or              product revenue; (xvii) expenses and cost reduction goals;              (xviii) improvement in or attainment of working capital levels;              (xix) economic value added (or an equivalent metric);              (xx) market share; (xxi) cash flow; (xxii) cash flow per              share; (xxiii) share price performance; (xxiv) debt reduction;              (xxv) implementation or completion of projects or processes;              (xxvi) customer satisfaction; (xxvii) stockholders’ equity; and              (xxviii) to the extent that an Award is not intended to comply with              Section 162(m) of the Code, other measures of performance selected by              the Board. Partial achievement of the specified criteria may result              in the              payment or vesting corresponding to the degree of achievement as specified              in the Stock Award Agreement or the written terms of a Performance              Cash              Award. The Board shall, in its sole discretion, define the manner of              calculating the Performance Criteria it selects to use for such              Performance Period. |
|------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ***(ll)  *** | ***“******Performance****** ******Goals******”**** *means,              for a Performance Period, the one or more goals established by the              Board              for the Performance Period based upon the Performance Criteria.              Performance Goals may be based on a Company-wide basis, with respect              to              one or more business units, divisions, Affiliates, or business segments,              and in either absolute terms or relative to the performance of one              or more              comparable companies or the performance of one or more relevant indices.              At the time of the grant of any Award, the Board is authorized to              determine whether, when calculating the attainment of Performance Goals              for a Performance Period: (i) to exclude restructuring and/or other              nonrecurring charges; (ii) to exclude exchange rate effects, as              applicable, for non-U.S. dollar denominated net sales and operating              earnings; (iii) to exclude the effects of changes to generally              accepted accounting standards required by the Financial Accounting              Standards Board; (iv) to exclude the effects of any statutory              adjustments to corporate tax rates; and (v) to exclude the effects of              any “extraordinary items” as determined under              generally accepted accounting principles. In addition, the Board retains              the discretion to reduce or eliminate the compensation or economic              benefit              due upon attainment of Performance Goals. |
|------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(mm)  *** | ***“******Performance****** ******Period******”**** *means              the period of time selected by the Board over which the attainment              of one              or more Performance Goals will be measured for the purpose of determining              a Participant’s right to and the payment of a Stock Award or a Performance              Cash Award. Performance Periods may be of varying and overlapping              duration, at the sole discretion of the Board. |
|------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(nn)  *** | ***“******Performance****** ******Stock****** ******Award******”**** *means              a Stock Award granted under the terms and conditions of              Section 6(d)(i). |
|------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(oo)  *** | ***“******Plan******”**** *means              this Cobalis Corp. 2006 Stock Option and Award Plan. |
|------------------------|---------------------------------------------------------------------------------------------------------------------|

| ***(pp)  *** | ***“******Restricted****** ******Stock****** ******Award******”**** *means              an award of shares of Common Stock which is granted pursuant to the              terms              and conditions of Section 6(a). |
|------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(qq)  *** | ***“******Restricted****** ******Stock****** ******Award****** ******Agreement******”**** *means              a written agreement between the Company and a holder of a Restricted              Stock              Award evidencing the terms and conditions of a Restricted Stock Award              grant. Each Restricted Stock Award Agreement shall be subject to the              terms              and conditions of the Plan. |
|------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(rr)  *** | ***“******Restricted****** ******Stock****** ******Unit****** ******Award******”**** *means              a right to receive shares of Common Stock which is granted pursuant              to the              terms and conditions of Section 6(b). |
|------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(ss)  *** | ***“******Restricted****** ******Stock****** ******Unit****** ******Award****** ******Agreement******”**** *means              a written agreement between the Company and a holder of a Restricted              Stock              Unit Award evidencing the terms and conditions of a Restricted Stock              Unit              Award grant. Each Restricted Stock Unit Award Agreement shall be subject              to the terms and conditions of the Plan. |
|------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(tt)  *** | ***“******Rule****** 16b-3”**** *means              Rule 16b-3 promulgated under the Exchange Act or any successor to              Rule  16b-3, as in effect from time to time. |
|------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(uu)  *** | ***“******Securities****** ******Act******”**** *means              the Securities Act of 1933, as amended. |
|------------------------|-----------------------------------------------------------------------------------------------------------------------------------|

| ***(vv)  *** | ***“******Stock****** ******Appreciation****** ******Right******”**** *means              a right to receive the appreciation on Common Stock that is granted              pursuant to the terms and conditions of Section 6(c). |
|------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(ww)  *** | ***“******Stock****** ******Appreciation****** ******Right****** ******Agreement******”**** *means              a written agreement between the Company and a holder of a Stock              Appreciation Right evidencing the terms and conditions of a Stock              Appreciation Right grant. Each Stock Appreciation Right Agreement shall              be              subject to the terms and conditions of the Plan. |
|------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| ***(xx)  *** | ***“******Stock****** ******Award******”**** *means              any right to receive Common Stock granted under the Plan, including              an              Incentive Stock Option, a Nonstatutory Stock Option, a Restricted Stock              Award, a Restricted Stock Unit Award, a Stock Appreciation Right, a              Performance Stock Award or any Other Stock Award. |
|------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(yy)  *** | ***“******Stock****** ******Award****** ******Agreement******”**** *means              a written agreement between the Company and a Participant evidencing              the              terms and conditions of a Stock Award grant. Each Stock Award Agreement              shall be subject to the terms and conditions of the Plan. |
|------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(zz)  *** | ***“******Subsidiary******”**** *means,              with respect to the Company, (i) any corporation of which more than              fifty percent (50%) of the outstanding capital stock having ordinary              voting power to elect a majority of the board of directors of such              corporation (irrespective of whether, at the time, stock of any other              class or classes of such corporation shall have or might have voting              power              by reason of the happening of any contingency) is at the time, directly              or              indirectly, Owned by the Company, and (ii) any partnership in which              the Company has a direct or indirect interest (whether in the form              of              voting or participation in profits or capital contribution) of more              than              fifty percent (50%). |
|------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ***(aaa)  *** | ***“******Ten****** ******Percent****** ******Stockholder******”**** *means              a person who Owns (or is deemed to Own pursuant to Section 424(d) of              the Code) stock possessing more than ten percent (10%) of the total              combined voting power of all classes of stock of the Company or any              Affiliate. |
|-------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|