**UNOVA,        INC.**

**2004        OMNIBUS INCENTIVE COMPENSATION PLAN**

**Approved        May 6, 2004**

**Amended        and Restated as of March 30, 2007**

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**UNOVA,        INC.**

**2004        OMNIBUS INCENTIVE COMPENSATION PLAN**

**TABLE        OF CONTENTS**

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**SECTION        1**
**.** **Purpose;        Definitions**

*“*
***Affiliate”***

***“Award”***

***“Award        Agreement***
**”**

***“Board”***

***“Cash-Based        Award***
**”**
** **

***“Change        of Control”***

***“Code”***

***“Commission”***

***“Committee”***

***“Company”***

***“Covered        Employee”***

***“Covered        Employee Annual Incentive Award”***
* *

***“Disability”***

***“Early        Retirement”***

***“Eligible        Individuals”***

***“Exchange        Act”***

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***“Fair        Market Value”***
**        or **
***“FMV***
**”**

***“Freestanding        SAR”***

***“Incentive        Stock Option”***
***“ISO”***

***“Non-Qualified        Stock Option”***
*        or*
***“NQSO”***

***“Normal        Retirement”***

***“Other        Stock-Based Award”***
* *

***“Performance        Measures”***
* *

***“Performance        Period”***
* *

***“Performance        Share”***
* *

***“Performance        Unit”***
* *

***Period        of Restriction”***

***“Plan”***

***“Plan        Year***
**”**

***“Qualified        Performance-Based Award”***

***“Restricted        Stock”***
* *

***“Restricted        Stock Unit”***
*        or*
***“RSU”***
* *

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***“Retirement”***

***“Rule        16b-3”***

***“Section        162(m) Exemption”***

***“Share”***

***“Stock        Appreciation Right”***

***“Stock        Option”***

***“Subsidiary”***
* *

***“Tandem        SAR”***

***“Termination        of Employment”***

**SECTION        2**
**.** **Administration**

| (a) | To                  select the Eligible Individuals to whom Awards may from time to                  time be                  granted; |
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| (b) | To                  determine the number of Shares or other amount to be covered by                  each Award                  granted hereunder; |
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| (c) | To                  determine the terms and conditions of any Award granted hereunder,                  any                  vesting condition, restriction or limitation (which may be related                  to the                  performance of the Eligible Individual, the Company, any Subsidiary,                  or                  Affiliate, or any business unit of the Company, Subsidiary or Affiliate)                  and any vesting acceleration or forfeiture waiver regarding any                  Award and                  the Shares relating thereto, based on such factors as the Committee                  shall                  determine; |
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| (d) | To                  modify, amend or adjust the terms and conditions of any Award,                  at any time                  or from time to time, including but not limited to Performance                  Measures;                  *provided,                  however,*                  that the Committee may not increase the amount payable with respect                  to a                  Qualified Performance-Based Award or waive or alter the Performance                  Measures associated therewith or cause such Qualified Performance-Based                  Award to vest earlier than                  permitted; |
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| (e) | To                  determine to what extent and under what circumstances Shares and                  other                  amounts payable with respect to an Award shall be deferred;                  and |
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| (f) | To                  determine under what circumstances an Award may be settled in cash                  or                  Shares. |
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*provided,        however,*

**SECTION        3**
**.** **Share        Authorization**

| (a) | *Shares                  Subject to the Plan.*The                  maximum number of Shares that may be issued to Eligible Individuals                  and                  their beneficiaries under the Plan shall be three million (3,000,000)                  Shares. Shares issued under the Plan may be authorized and unissued                  Shares                  or may be treasury Shares. |
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| (b) | *Incentive                  Stock Option Limit*.                  Subject to the limit set forth in Section 3(a) on the number of                  Shares                  that may be issued in the aggregate under the Plan, the maximum                  number of                  Shares that may be issued pursuant to ISOs shall be two million                  (2,000,000). |
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| (c) | *Share                  Usage.*Shares                  covered by an Award shall only be counted as used to the extent                  they are                  actually issued. Any Shares related to Awards which terminate by                  expiration, forfeiture, cancellation, or otherwise without the                  issuance of                  such Shares, are settled in cash in lieu of Shares, or are exchanged                  with                  the Committee’s permission, prior to the issuance of Shares, for Awards                  not involving Shares, shall be available again for grant under                  the Plan.                  Moreover, if the option price of any Stock Option granted under                  the Plan                  or the tax withholding requirements with respect to any Award granted                  under the Plan are satisfied by tendering Shares to the Company                  (by either                  actual delivery or by attestation), or if a SAR is exercised, only                  the                  number of Shares issued, net of the Shares tendered, if any, will                  be                  deemed delivered for purposes of determining the maximum number                  of Shares                  available for delivery under the Plan. The maximum number of Shares                  available for issuance under the Plan shall not be reduced to reflect                  any                  dividends or dividend equivalents that are reinvested into additional                  Shares or credited as additional Restricted Stock, Restricted Stock                  Units,                  Performance Shares, or Stock-Based                  Awards. |
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| (d) | *Annual                  Award Limits.*                  Unless and until the Committee determines that an Award to a Covered                  Employee shall not be designed to qualify as Qualified Performance-Based                  Award, the following limits (each an “Annual Award Limit,” and,                  collectively, “Annual Award Limits”) shall apply to grants of such Awards                  under the Plan: |
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** **
** **
** **

** **
** **

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| (e) | *Adjustments                  in Authorized Shares.*                  In                  the event of any corporate event or transaction (including, but                  not                  limited to, a change in the stock of the Company or the capitalization                  of                  the Company) such as a merger, consolidation, reorganization,                  recapitalization, separation, stock dividend, stock split, reverse                  stock                  split, split up, spin-off, or other distribution of stock or property                  of                  the Company, combination of Shares, exchange of Shares, dividend                  in kind,                  or other like change in capital structure or distribution (other                  than                  normal cash dividends) to shareholders of the Company, or any similar                  corporate event or transaction, the Committee, in its sole discretion,                  in                  order to prevent dilution or enlargement of Eligible Individuals’ rights                  under the Plan, shall substitute or adjust, as applicable, the                  number and                  kind of Shares that may be issued under the Plan or under particular                  forms                  of Awards, the number and kind of Shares subject to outstanding                  Awards,                  the option price or grant price applicable to outstanding Awards,                  the                  Annual Award Limits, and other value determinations applicable                  to                  outstanding Awards. |
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**SECTION        4**
**.** **Eligibility**

**SECTION        5**
**.** **Stock        Options**

| (a) | *Grant                  of Stock Options*.                  Subject to the terms and provisions of the Plan, Stock Options                  may be                  granted to Eligible Individuals in such number, and upon such terms,                  and                  at any time and from time to time as shall be determined by the                  Committee,                  in its sole discretion; *provided,                  however,*                  that ISOs may be granted only to eligible employees of the Company                  or of                  any corporate Subsidiary or Affiliate (as permitted by Section                  422 of the                  Code and the regulations                  thereunder). |
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| (b) | *Award                  Agreement*.                  Each Stock Option grant shall be evidenced by an Award Agreement                  that                  shall specify the option price, the maximum term of the Stock Option,                  the                  number of Shares to which the Option pertains, the conditions upon                  which                  an Option shall become vested and exercisable, and such other provisions                  as the Committee shall determine which are not inconsistent with                  the terms                  of the Plan. The Award Agreement also shall specify whether the                  Stock                  Option is intended to be an ISO or a                  NQSO. |
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| (c) | *Option                  Price*.                  The option price for each grant of a Stock Option under this Plan                  shall be                  as determined by the Committee and shall be specified in the Award                  Agreement. The option price shall be based on not less than one                  hundred                  percent (100%) of the FMV of the Shares on the date of                  grant. |
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| (d) | *Term*.                  Each Stock Option shall expire at such time as the Committee shall                  determine at the time of grant; *provided,                  however,*                  that no Stock Option shall be exercisable later than the tenth                  (10th)                  anniversary date of its grant. Notwithstanding the foregoing, for                  Stock                  Options granted to Eligible Individuals that are employed by the                  Company,                  a Subsidiary or an Affiliate outside the United States, the Committee                  has                  the authority to grant Stock Options that have a term greater than                  ten                  (10) years. |
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| (e) | *Exercise                  of Stock Options.*                  Stock Options granted under this Section 5 shall be exercisable                  at such                  times and be subject to such restrictions and conditions as the                  Committee                  shall in each instance approve, which terms and restrictions need                  not be                  the same for each grant or for each Eligible                  Individual. |
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| (f) | *Payment*.                  Stock Options granted under this Section 5 shall be exercised by                  the                  delivery of a notice of exercise to the Company or an agent designated                  by                  the Company in a form specified or accepted by the Committee, or                  by                  complying with any alternative procedures which may be authorized                  by the                  Committee, setting forth the number of Shares with respect to which                  the                  Option is to be exercised, accompanied by full payment for the                  Shares. |
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| (g) | *Restrictions                  on Share Transferability*.                  The Committee may impose such restrictions on any Shares acquired                  pursuant                  to the exercise of a Stock                  Option granted                  under this Section 5 as it may deem advisable, including, without                  limitation, minimum holding period requirements, restrictions under                  applicable federal securities laws, under the requirements of any                  stock                  exchange or market upon which such Shares are then listed                  and/or traded, or under any blue sky or state securities laws                  applicable to such Shares. |
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| (h) | *Termination                  of Employment*.** **Each                  Eligible                  Individual’s                  Award Agreement shall set forth the extent to which the Eligible                  Individual                  or                  his or her personal representative shall have the right to exercise                  the                  Stock                  Option following                  termination of the Eligible                  Individual’s                  employment or provision of services to the Company, its Affiliates,                  its                  Subsidiaries, as the case may be. Such provisions shall be determined                  in                  the sole discretion of the Committee, shall be included in the                  Award                  Agreement entered into with each Eligible                  Individual,                  need not be uniform among all Stock                  Options issued                  pursuant to this Section 5, and may reflect distinctions based                  on the                  reasons for termination. |
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| (i) | Transferability                  of Options. |
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| (a) | Incentive                  Stock Options.                  No ISO granted under the Plan may be sold, transferred, pledged,                  assigned,                  or otherwise alienated or hypothecated, other than by will or by                  the laws                  of descent and distribution. Further, all ISOs granted to an Eligible                  Individual                  under this Section 5 shall be exercisable during his or her lifetime                  only                  by such Eligible                  Individual. |
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| (b) | Nonqualified                  Stock Options.                  Except as otherwise provided in an Eligible Individual’s Award Agreement                  or otherwise determined at any time by the Committee, no NQSO granted                  under this Section 5 may be sold, transferred, pledged, assigned,                  or                  otherwise alienated or hypothecated, other than by will or by the                  laws of                  descent and distribution; *provided,                  however,*                  that the Board or Committee may permit further transferability,                  on a                  general or a specific basis, and may impose conditions and limitations                  on                  any permitted transferability. Further, except as otherwise provided                  in an                  Eligible Individual’s Award Agreement or otherwise determined at any time                  by the Committee, or unless the Board or Committee decides to permit                  further transferability, all NQSOs granted to an Eligible Individual                  under                  this Section 5 shall be exercisable during his or her lifetime                  only by                  such Eligible Individual. With respect to those NQSOs, if any,                  that are                  permitted to be transferred to another person, references in the                  Plan to                  exercise or payment of the Option Price by the Eligible Individual                  shall                  be deemed to include, as determined by the Committee, the Eligible                  Individual’s permitted transferee. |
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| (j) | *Notification                  of Disqualifying Disposition*.                  If any Eligible Individual shall make any disposition of Shares                  issued                  pursuant to the exercise of an ISO under the circumstances described                  in                  Section 421(b) of the Code (relating to certain disqualifying                  dispositions), such Eligible Individual shall notify the Company                  of such                  disposition within ten (10) days                  thereof. |
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| (k) | *Substituting                  SARs.*                  Only in the event the Company is not accounting for equity compensation                  under APB Opinion No. 25, the Committee may substitute, without                  receiving                  Eligible                  Individual                  permission, SARs paid only in Stock for outstanding Stock Options;                  *provided,                  however,*                  that the terms of such SARs are the same as the terms for the Stock                  Options and                  the aggregate difference between the Fair Market Value of the underlying                  Shares and the grant price of the SARs is equivalent to the aggregate                  difference between the Fair Market Value of the underlying Shares                  and the                  Option Price of the Stock                  Options. |
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**SECTION        6**
**.** **Stock        Appreciation Rights**

| (a) | *Grant                  of SARS.*Subject                  to the terms and conditions of the Plan, SARS may be granted to                  Eligible                  Individuals at any time and from time to time as shall be determined                  by                  the Committee. The Committee may grant Freestanding SARS, Tandem                  SARs, or                  any combination of these forms of                  SARs. |
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|   | Subject                  to the terms and conditions of the Plan, the Committee shall have                  complete                  discretion in determining the number of SARs granted to each Eligible                  Individual and, consistent with the provisions of the Plan, in                  determining                  the terms and conditions pertaining to such                  SARs. |
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|   | The                  grant price for each grant of a Freestanding SAR shall be determined                  by                  the Committee and shall be specified in the Award Agreement. The                  grant                  price may include (but not be limited to) a grant price based on                  one                  hundred percent (100%) of the FMV of the Shares on the date of                  grant, a                  grant price that is set at a premium to the FMV of the Shares on                  the date                  of grant, or is indexed to the FMV of the Shares on the date of                  grant,                  with the index determined by the Committee, in its discretion.                  The grant                  price of Tandem SARs shall be equal to the option price of the                  related                  Stock Option. |
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| (b) | *Award                  Agreement.*Each                  SAR Award shall be evidenced by an Award Agreement that shall specify                  the                  grant price, the term of the SAR, and such other provisions as                  the                  Committee shall determine. |
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| (c) | *Term                  of SAR.*The                  term of a SAR granted under the Plan shall be determined by the                  Committee,                  in its sole discretion, and except as determined otherwise by the                  Committee and specified in the Award Agreement, no SAR shall be                  exercisable later than the tenth (10th) anniversary date of its                  grant.                  Notwithstanding the foregoing, for SARs granted to Eligible Individuals                  outside the United States, the Committee has the authority to grant                  SARs                  that have a term greater than ten (10)                  years. |
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| (d) | *Exercise                  of Freestanding SARs*.                  Freestanding SARs may be exercised upon whatever terms and conditions                  the                  Committee, in its sole discretion,                  imposes. |
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| (e) | *Exercise                  of Tandem SARs.*                  Tandem SARs may be exercised for all or part of the Shares subject                  to the                  related Stock Option upon the surrender of the right to exercise                  the                  equivalent portion of the related Stock Option. A Tandem SAR may                  be                  exercised only with respect to the Shares for which its related                  Stock                  Option is then exercisable. |
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|   | Notwithstanding                  any other provision of this Plan to the contrary, with respect                  to a Tandem                  SAR granted in connection with an ISO (i) the Tandem SAR will expire                  no                  later than the expiration of the underlying ISO; (ii) the value                  of the                  payout with respect to the Tandem SAR may be for no more than one                  hundred                  percent (100%) of the excess of the Fair Market Value of the Shares                  subject to the underlying ISO at the time the Tandem SAR is exercised                  over                  the option price of the underlying ISO; and (iii) the Tandem SAR                  may be                  exercised only when the Fair Market Value of the Shares subject                  to the ISO                  exceeds the option price of the                  ISO. |
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| (f) | *Payment                  of SAR Amount.*Upon                  the exercise of a SAR, an Eligible Individual shall be entitled                  to receive                  payment from the Company in an amount determined by                  multiplying: |
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| (i) | The                  excess of the Fair Market Value of a Share on the date of exercise                  over                  the grant price; by |
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| (ii) | The                  number of Shares with respect to which the SAR is                  exercised. |
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|   | At                  the discretion of the Committee, the payment upon SAR exercise                  may be in                  cash, Shares, or any combination thereof, or in any other manner                  approved                  by the Committee in its sole discretion. The Committee’s determination                  regarding the form of SAR payout shall be set forth in the Award                  Agreement                  pertaining to the grant of the                  SAR. |
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| (g) | *Termination                  of Employment.*                  Each Award Agreement shall set forth the extent to which the Eligible                  Individual shall have the right to exercise the SAR following termination                  of the Eligible Individual’s employment with or provision of services to                  the Company, its Affiliates, and/or its Subsidiaries, as the case                  may be.                  Such provisions shall be determined in the sole discretion of the                  Committee, shall be included in the Award Agreement entered into                  with                  Eligible Individuals, need not be uniform among all SARs issued                  pursuant                  to the Plan, and may reflect distinctions based on the reasons                  for                  termination. |
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| (h) | *Nontransferability                  of SARs.*Except                  as otherwise provided in an Award Agreement or otherwise at any                  time by                  the Committee, no SAR granted under the Plan may be sold,                  transferred, pledged, assigned, or otherwise alienated or hypothecated,                  other than by will or by the laws of descent and distribution.                  Further,                  except as otherwise provided in an Award Agreement or otherwise                  at any                  time by the Committee, all SARs granted to an Eligible Individual                  under                  the Plan shall be exercisable during his or her lifetime only by                  such                  Eligible Individual. With respect to those SARs, if any, that are                  permitted to be transferred to another person, references in the                  Plan to                  exercise of the SAR by the Eligible Individual or payment of any                  amount to                  the Eligible Individual shall be deemed to include, as determined                  by the                  Committee, the Eligible Individual’s permitted                  transferee. |
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| (i) | *Other                  Restrictions.*The                  Committee shall impose such other conditions and/or restrictions                  on any                  Shares received upon exercise of a SAR granted pursuant to the                  Plan as it                  may deem advisable or desirable. These restrictions may include,                  but shall                  not be limited to, a requirement that the Eligible Individual hold                  the                  Shares received upon exercise of a SAR for a specified period of                  time. |
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**SECTION        7**
**.** **Restricted        Stock and Restricted Stock Units**

| (a) | *Grant                  of Restricted Stock or Restricted Stock Units*.                  Subject to the terms and provisions of the Plan, the Committee,                  at any                  time and from time to time, may grant Shares of Restricted Stock                  and/or                  Restricted Stock Units to Eligible Individuals in such amounts                  as the                  Committee shall determine. Restricted Stock Units shall be similar                  to                  Restricted Stock except that no Shares are actually awarded to                  the                  Eligible Individual on the date of grant. |
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| (b) | *Restricted                  Stock or Restricted Stock Unit Agreement.*                  Each Restricted Stock and/or Restricted Stock Unit grant shall                  be                  evidenced by an Award Agreement that shall specify the Period(s)                  of                  Restriction, the number of Shares of Restricted Stock or the number                  of                  Restricted Stock Units granted, and such other provisions as the                  Committee                  shall determine. |
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| (c) | *Transferability*.                  Except as provided in this Plan or an Award Agreement, the Shares                  of                  Restricted Stock and/or Restricted Stock Units granted herein may                  not be                  sold, transferred, pledged, assigned, or otherwise alienated or                  hypothecated until the end of the applicable Period of Restriction                  established by the Committee and specified in the Award Agreement                  (and in                  the case of Restricted Stock Units until the date of delivery or                  other                  payment), or upon earlier satisfaction of any other conditions,                  as                  specified by the Committee, in its sole discretion, and set forth                  in the                  Award Agreement or otherwise at any time by the Committee. All                  rights with                  respect to the Restricted Stock and/or Restricted Stock Units granted                  to                  an Eligible Individual under the Plan shall be available during                  his or her                  lifetime only to such Eligible Individual, except as otherwise                  provided in                  an Award Agreement or at any time by the Committee. |
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| (d) | *Other                  Restrictions*.                  The Committee shall impose such other conditions and/or restrictions                  on                  any Shares of Restricted Stock or Restricted Stock Units granted                  pursuant                  to the Plan as it may deem advisable including, without limitation,                  a                  requirement that Eligible Individuals pay a stipulated purchase                  price for                  each Share of Restricted Stock or each Restricted Stock Unit, restrictions                  based upon the achievement of specific performance goals, time-based                  restrictions on vesting following the attainment of the performance                  goals,                  time-based restrictions, and/or restrictions under applicable laws                  or                  under the requirements of any stock exchange or market upon which                  such                  Shares are listed or traded, or holding requirements or sale restrictions                  placed on the Shares by the Company upon vesting of such Restricted                  Stock                  or Restricted Stock Units. |
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**SECTION        8**
**.** **Performance        Units/Performance Shares**

| (a) | *Grant                  of Performance Units/Performance Shares*.                  Subject to the terms and provisions of the Plan, the Committee, at                  any time and from time to time, may grant Performance Units and/or                  Performance Shares to Eligible Individuals in such amounts and                  upon such                  terms as the Committee shall                  determine. |
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| (b) | *Value                  of Performance Units/Performance Shares*.                  Each Performance Unit shall have an initial value that is established                  by the Committee at the time of grant. Each Performance Share shall                  have                  an initial value equal to the Fair Market Value of a Share on the                  date of                  grant. The Committee shall set Performance Measures in its discretion                  which, depending on the extent to which they are met, will determine                  the                  value and/or number of Performance Units/Performance Shares that                  will be                  paid out to the Eligible Individual. |
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| (c) | *Earning                  of Performance Units/Performance Shares*.                  Subject to the terms of this Plan, after the applicable Performance                  Period has ended, the holder of Performance Units/Performance Shares                  shall                  be entitled to receive a payout of the value and number of Performance                  Units/Performance Shares earned by the Eligible Individual over                  the                  Performance Period, to be determined as a function of the extent                  to which                  the corresponding Performance Measures have been                  achieved. |
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| (d) | *Form                  and Timing of Payment of Performance Units/Performance                  Shares*.                  Payment of earned Performance Units/Performance Shares shall be                  as                  determined by the Committee and as evidenced in the Award Agreement.                  Subject to the terms of the Plan, the Committee, in its sole                  discretion, may pay earned Performance Units/Performance Shares in                  the form of cash or in Shares (or in a combination thereof) equal                  to the                  value of the earned Performance Units/Performance Shares at the                  close of                  the applicable Performance Period, or as soon as practicable after                  the end                  of the Performance Period. Any Shares may be granted subject to                  any                  restrictions deemed appropriate by the Committee. The determination                  of the                  Committee with respect to the form of payout of such Awards shall                  be set                  forth in the Award Agreement pertaining to the grant of the                  Award. |
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| (e) | *Termination                  of Employment*.                  Each Award Agreement shall set forth the extent to which the Eligible                  Individual shall have the right to retain Performance Units and/or                  Performance Shares following termination of the Eligible Individual’s                  employment with or provision of services to the Company, its Affiliates,                  and/or its Subsidiaries, as the case may be. Such provisions shall                  be                  determined in the sole discretion of the Committee, shall be included                  in                  the Award Agreement entered into with each Eligible Individual,                  need not                  be uniform among all Awards of Performance Units or Performance                  Shares                  issued pursuant to the Plan, and may reflect distinctions based                  on the                  reasons for termination. |
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| (f) | *Nontransferability*.                  Except as otherwise provided in an Eligible Individual’s Award Agreement                  or otherwise at any time by the Committee, Performance Units/Performance                  Shares may not be sold, transferred, pledged, assigned, or otherwise                  alienated or hypothecated, other than by will or by the laws of                  descent                  and distribution. Further, except as otherwise provided in an Eligible                  Individual’s Award Agreement or otherwise at any time by the Committee, an                  Eligible Individual’s rights under the Plan shall be exercisable during                  his or her lifetime only by such Eligible                  Individual. |
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**SECTION        9**
**.** **Cash-Based        Awards and Other Stock-Based Awards**

| (a) | *Other                  Stock-Based Awards.*The                  Committee may grant other types of equity-based or equity-related                  Awards                  not otherwise described by the terms of this Plan (including the                  grant or                  offer for sale of unrestricted Shares) in such amounts and subject                  to such                  terms and conditions, as the Committee shall determine. Such Awards                  may                  involve the transfer of actual Shares to Eligible Individuals,                  or payment                  in cash or otherwise of amounts based on the value of Shares and                  may                  include, without limitation, Awards designed to comply with or                  take                  advantage of the applicable local laws of jurisdictions other than                  the                  United States. |
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|   | Except                  with respect to a maximum of five percent (5%) of the Shares authorized                  in                  Section 3(d)(vi), any Awards of Other Stock-Based Awards which                  vest on the                  basis of the Eligible Individual’s continued employment with or provision                  of service to the Company shall not provide for vesting which is                  any more                  rapid than annual pro rata vesting over a three (3) year period                  and any                  Awards of Other Stock-Based Awards which vest upon the attainment                  of                  Performance Measures shall provide for a performance period of                  at least                  twelve (12) months*.* |
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| (b) | *Grant                  of Cash-Based Awards*.                  Subject to the terms and provisions of the Plan, the Committee, at                  any time and from time to time, may grant Cash-Based Awards to                  Eligible                  Individuals in such amounts and upon such terms, including the                  achievement                  of specific Performance Measures, as the Committee may                  determine. |
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| (c) | *Value                  of Cash-Based and Other Stock-Based Awards.*                  Each Cash-Based Award shall specify a payment amount or payment                  range as                  determined by the Committee. Each Other Stock-Based Award shall                  be                  expressed in terms of Shares or units based on Shares, as determined                  by                  the Committee. The Committee may establish performance goals in                  its                  discretion. If the Committee exercises its discretion to establish                  performance goals, the number and/or value of Cash-Based Awards                  or Other                  Stock-Based Awards that will be paid out to the Eligible Individual                  will                  depend on the extent to which the Performance Measures are met. |
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| (d) | *Payment                  of Cash-Based Awards and Other Stock-Based Awards*.                  Payment, if any, with respect to a Cash-Based Award or an Other                  Stock-Based Award shall be made in accordance with the terms of                  the Award,                  in cash or Shares, or any combination thereof, as the Committee                  determines. |
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| (e) | *Termination                  of Employment.*The                  Committee shall determine the extent to which the Eligible Individual                  shall have the right to receive Cash-Based Awards or Other Stock-Based                  Awards following termination of the Eligible Individual’s employment with                  or provision of services to the Company, its Affiliates, and/or                  its                  Subsidiaries, as the case may be. Such provisions shall be determined                  in                  the sole discretion of the Committee, such provisions may be included                  in                  an Award Agreement entered into with each Eligible Individual,                  but need                  not be uniform among all Awards of Cash-Based Awards or Other Stock-Based                  Awards issued pursuant to the Plan, and may reflect distinctions                  based on                  the reasons for termination. |
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| (f) | *Nontransferability.*Except                  as otherwise determined by the Committee, neither Cash-Based Awards                  nor                  Other Stock-Based Awards may be sold, transferred, pledged, assigned,                  or                  otherwise alienated or hypothecated, other than by will or by the                  laws of                  descent and distribution. Further, except as otherwise provided                  by the                  Committee, an Eligible Individual’s rights under the Plan, if exercisable,                  shall be exercisable during his or her lifetime only by such Eligible                  Individual. With respect to those Cash-Based Awards or Other Stock-Based                  Awards, if any, that are permitted to be transferred to another                  person,                  references in the Plan to exercise or payment of such Awards by                  or to the                  Eligible Individual shall be deemed to include, as determined by                  the                  Committee, the Eligible Individual’s permitted                  transferee. |
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**SECTION        10**
**.** **Performance        Measures**

| (a) | *Performance                  Measures.*Unless                  and until the Committee proposes for shareholder vote and the shareholders                  approve a change in the general Performance Measures set forth                  in this                  Section 10, the Performance Measures upon which the payment or                  vesting of                  an Award to a Covered Employee (other than a Covered Employee Annual                  Incentive Award awarded or credited pursuant to Section 11) that                  is                  intended to qualify as Qualified Performance-Based Award shall                  be limited                  to the following Performance                  Measures: |
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|  | (i) |  |
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|  | (ii) | Earnings                  per share (basic or fully diluted); |
|--|------|---------------------------------------------------------------|

|  | (iii) | Net                  sales growth or bookings growth; |
|--|-------|-------------------------------------------------------|

|  | (iv) | Net                  operating profit; |
|--|------|----------------------------------------|

|  | (v) | Return                  measures (including, but not limited to, return on assets, capital,                  net                  capital utilized, equity, or                  sales); |
|--|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (vi) | Cash                  flow (including, but not limited to, operating cash flow, free                  cash flow,                  and cash flow return on capital); |
|--|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (vii) | Earnings                  before or after taxes, interest, depreciation, and/or                  amortization; |
|--|-------|----------------------------------------------------------------------------------------------------------------|

|  | (viii) | Gross                  or operating profit; |
|--|--------|---------------------------------------------|

|  | (ix) | Productivity                  ratios; |
|--|------|---------------------------------------|

|  | (x) | Efficiency                  ratios; |
|--|-----|-------------------------------------|

|  | (xi) | Share                  price (including, but not limited to, growth measures and total                  shareholder return); |
|--|------|------------------------------------------------------------------------------------------------------------------------------|

|  | (xii) | Expense                  targets; |
|--|-------|-----------------------------------|

|  | (xiii) | Margins; |
|--|--------|----------|

|  | (xiv) | Operating                  efficiency; |
|--|-------|----------------------------------------|

|  | (xv) | Capital                  efficiency; |
|--|------|--------------------------------------|

|  | (xvi) | Strategic                  targets; |
|--|-------|-------------------------------------|

|  | (xvii) | Economic                  profit; |
|--|--------|-----------------------------------|

|  | (xviii) | Customer                  satisfaction; |
|--|---------|-----------------------------------------|

|  | (xix) | Working                  capital targets; |
|--|-------|-------------------------------------------|

|  | (xx) | Cash                  value added (“CVA”); and |
|--|------|------------------------------------------------------------|

|  | (xxi) | Economic                  value added (“EVA®”). |
|--|-------|------------------------------------------------------------------|

|   | Any                  Performance Measure(s) may be used to measure the performance of                  the                  Company, Subsidiary, and/or Affiliate as a whole or any business                  unit of                  the Company, Subsidiary, and/or Affiliate or any combination thereof,                  as                  the Committee may deem appropriate, or any of the above Performance                  Measures as compared to the performance of a group of comparator                  companies, or published or special index that the Committee, in                  its sole                  discretion, deems appropriate. The Committee also has the authority                  to                  provide for accelerated vesting of any Award based on the achievement                  of                  Performance Measures pursuant to the Performance Measures specified                  in                  this Section 10. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | *Evaluation                  of Performance.*The                  Committee may provide in any such Award that any evaluation of                  performance                  may include or exclude any of the following events that occurs                  during a                  Performance Period: (i) asset write-downs, (ii) litigation or claim                  judgments or settlements, (iii) the effect of changes in tax laws,                  accounting principles, or other laws or provisions affecting reported                  results, (iv) any reorganization and restructuring programs, (v)                  extraordinary nonrecurring items as described in Accounting Principles                  Board Opinion No. 30 and/or in Management’s Discussion and Analysis of                  Financial Condition and Results of Operations appearing in the                  Company’s                  annual report to shareholders for the applicable year, (vi) acquisitions                  or divestitures, (vii) foreign exchange gains and losses, and (viii)                  gains                  and losses on asset sales. To the extent such inclusions or exclusions                  affect Awards to Covered Employees, they shall be prescribed in                  a form                  that meets the requirements of the Section 162(m)                  Exemption. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (c) | *Adjustment                  of Qualified Performance-Based Awards.*Awards                  that are designed to qualify as Qualified Performance-Based Awards,                  and                  that are held by Covered Employees, may not be increased. The Committee                  shall retain the discretion to reduce such Awards, either on a                  formula or                  discretionary basis or any combination, as the Committee                  determines. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d) | *Committee                  Discretion.*                  In                  the event that applicable tax and/or securities laws or stock exchange                  listing requirements change to permit Committee discretion to alter                  the                  governing Performance Measures without obtaining shareholder approval                  of                  such changes, the Committee shall have sole discretion to make                  such                  changes without obtaining shareholder approval. In addition, in                  the event                  that the Committee determines that it is advisable to grant Awards                  that                  shall not qualify as Qualified Performance-Based Award, the Committee                  may                  make such grants without satisfying the requirements of Code Section                  162(m) and may base vesting on Performance Measures other than                  those set                  forth in Section 10(a). |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**SECTION        11**
**.** **Covered        Employee Annual Incentive Awards**

| (a) | *Establishment                  of Incentive Pool.*The                  Committee may designate Covered Employees who are eligible to receive                  a                  monetary payment in any Plan Year based on a percentage of an incentive                  pool equal to the greater of (i) ten percent (10%) of the Company’s gross                  profit for the Plan Year, (ii) ten percent (10%) of the Company’s                  consolidated operating earnings for the Plan Year, (iii) ten percent                  (10%)                  of the Company’s operating cash flow for the Plan Year, and (d) ten                  percent (10%) of the Company’s net income for the Plan Year. The Committee                  shall allocate an incentive pool percentage to each designated                  Covered                  Employee for each Plan Year. In no event may the incentive pool                  percentage                  for any one Covered Employee exceed twenty-five percent (25%) of                  the total                  pool for the Plan Year. The sum of the incentive pool percentages                  for all                  Covered Employees cannot exceed one hundred percent (100%) of the                  total                  pool for the Plan Year. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | *Determination                  of Covered Employees’ Portions.*                  As                  soon as possible after the determination of the incentive pool                  for a Plan                  Year, the Committee shall calculate each Covered Employee’s allocated                  portion of the incentive pool based upon the percentage established                  at the                  beginning of the Plan Year. Each Covered Employee’s incentive award then                  shall be determined by the Committee based on the Covered Employee’s                  allocated portion of the incentive pool subject to adjustment in                  the sole                  discretion of the Committee. In no event may the portion of the                  incentive                  pool allocated to a Covered Employee be increased in any way, including                  as                  a result of the reduction of any other Covered Employee’s allocated                  portion. The Committee shall retain the discretion to reduce such                  Awards. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**SECTION        12**
**.** **Term,        Amendment and Termination**

| (a) | *Term.*The                  Plan will terminate on the tenth anniversary of the effective date                  of the                  Plan, as provided in Section 18. Under the Plan, Awards outstanding                  as of                  such date shall not be affected or impaired by the termination                  of the                  Plan. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | *Amendment,                  Modification, Suspension, and Termination.*                  Subject to Section 12(d), the Committee may, at any time and from                  time to time, alter, amend, modify, suspend, or terminate the Plan                  and any                  Award Agreement in whole or in part; *provided,                  however,*                  that, without the prior approval of the Company’s shareholders and except                  as provided in Sections 3(d) and 5(k), Stock Options or SARs issued                  under                  the Plan will not be repriced, replaced, or regranted through                  cancellation, or by lowering the option price of a previously granted                  Stock Option or the grant price of a previously granted SAR, and                  no                  amendment of the Plan shall be made without shareholder approval                  if                  shareholder approval is required by law, regulation, or stock exchange                  rule. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (c) | *Adjustment                  of Awards Upon the Occurrence of Certain Unusual or Nonrecurring                  Events.*                  The Committee may make adjustments in the terms and conditions                  of, and the                  criteria included in, Awards in recognition of unusual or nonrecurring                  events (including, without limitation, the events described in                  Section                  3(e) hereof) affecting the Company or the financial conditions                  of the                  Company or of changes in applicable laws, regulations, or accounting                  principles, whenever the Committee determines that such adjustments                  are                  appropriate in order to prevent unintended dilution or enlargement                  of the                  benefits or potential benefits intended to be made available under                  the                  Plan. The determination of the Committee as to the foregoing adjustments,                  if any, shall be conclusive and binding on Eligible Individuals                  under the                  Plan. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d) | *Awards                  Previously Granted.*                  Notwithstanding any other provision of the Plan to the contrary,                  no                  termination, amendment, suspension, or modification of the Plan                  or an                  Award Agreement shall adversely affect in any material way any Award                  previously granted under the Plan, without the written consent                  of the                  Eligible Individual holding such Award. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**SECTION        13**
**.** **Change        of Control Provisions**

| (a) | *Impact                  of Event*.                  Notwithstanding any other provision of the Plan to the contrary,                  in the                  event of a Change of Control: |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (b) | *Definition                  of Change of Control*.                  For purposes of the Plan, a “Change of Control” shall mean the happening                  of any of the following events: |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*provided,        however,*
*provided        further,*

----

**SECTION        14**
**.** **Unfunded        Status of Plan**

**SECTION        15**
**.** **Uncertificated        Shares**

**SECTION        16**
**.** **Withholding**

| (a) | *Tax                  Withholding.*                  The Company shall have the power and the right to deduct or withhold,                  or                  require an Eligible Individual to remit to the Company, the minimum                  statutory amount to satisfy federal, state, and local taxes, domestic                  or                  foreign, required by law or regulation to be withheld with respect                  to any                  taxable event arising as a result of this                  Plan. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | *Share                  Withholding.*                  With respect to withholding required upon the exercise of Options                  or SARs,                  upon the lapse of restrictions on Restricted Stock and Restricted                  Stock                  Units, or upon the achievement of Performance Measures related                  to                  Performance Shares, or any other taxable event arising as a result                  of an                  Award granted hereunder, Eligible Individuals may elect, subject                  to the                  approval of the Committee, to satisfy the withholding requirement,                  in                  whole or in part, by having the Company withhold Shares having                  a Fair                  Market Value on the date the tax is to be determined equal to the                  minimum                  statutory total tax that could be imposed on the transaction. All                  such                  elections shall be irrevocable, made in writing, and signed by                  the                  Eligible Individual, and shall be subject to any restrictions or                  limitations that the Committee, in its sole discretion, deems                  appropriate. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**SECTION        17**
**.** **General        Provisions**

| (a) | The                  Committee may require each person purchasing or receiving Shares                  pursuant                  to an Award to represent to and agree with the Company in writing                  that                  such person is acquiring the Shares without a view to the distribution                  thereof. The certificates or book-entry registration for such Shares                  may                  include any legend which the Committee deems appropriate to reflect                  any                  restrictions on transfer. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | Notwithstanding                  any other provision of the Plan or agreements made pursuant thereto,                  the                  Company shall not be required to issue or deliver any Shares under                  the                  Plan prior to fulfillment of all of the following                  conditions: |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c) | Nothing                  contained in the Plan shall prevent the Company or any Subsidiary                  from                  adopting other or additional compensation arrangements for its                  employees. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d) | The                  Plan shall not constitute a contract of employment and neither                  adoption of                  the Plan nor the grant of an Award shall confer upon any employee                  any                  right to continued employment, nor shall it interfere in any way                  with the                  right of the Company or any Subsidiary to terminate the employment                  of any                  employee at any time. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (e) | The                  Committee shall establish such procedures as it deems appropriate                  for an                  Eligible Individual to designate a beneficiary to whom any amounts                  payable                  in the event of the Eligible Individual's death are to be paid                  or by whom                  any rights of the Eligible Individual, after the Eligible Individual's                  death, may be exercised. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f) | In                  the case of a grant of an Award to any employee of a Subsidiary                  of the                  Company, the Company may, if the Committee so directs, issue or                  transfer                  the Shares, if any, covered by the Award to the Subsidiary, for                  such                  lawful consideration as the Committee may specify, upon the condition                  or                  understanding that the Subsidiary will transfer the Shares to the                  employee                  in accordance with the terms of the Award specified by the Committee                  pursuant to the provisions of the Plan. All Shares underlying Awards                  that                  are forfeited or canceled shall revert to the                  Company. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g) | The                  Plan and all Awards made and actions taken thereunder shall be                  governed by                  and construed in accordance with the laws of the State of Delaware,                  without reference to principles of conflict of                  laws. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h) | Each                  person who is or shall have been a member of the Board, or a Committee                  appointed by the Board, or an officer of the company to whom authority                  was                  delegated in accordance with Section 2 shall be indemnified and                  held                  harmless by the Company against and from any loss, cost, liability,                  or                  expense that may be imposed upon or reasonably incurred by him                  or her in                  connection with or resulting from any claim, action, suit, or proceeding                  to which he or she may be a party or in which he or she may be                  involved by                  reason of any action taken or any failure to act under the Plan                  and                  against and from any and all amounts paid by him or her in settlement                  thereof, with the Company’s approval, or paid by him or her in                  satisfaction of any judgment in any such action, suit, or proceeding                  against him or her, provided he or she shall give the Company an                  opportunity, at its own expense, to handle and defend the same                  before he                  or she undertakes to handle and defend it on his or her own behalf,                  unless                  such loss, cost, liability, or expense is a result of his or her                  own                  willful misconduct or gross negligence or except as expressly provided                  by                  statute. The foregoing right of indemnification shall not be exclusive                  of                  any other rights of indemnification to which such persons may be                  entitled                  under the Company’s Certificate of Incorporation or By-Laws, as a matter                  of law, or otherwise, or any power that the Company may have to                  indemnify                  them or hold them harmless. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i) | In                  the event any provision of the Plan shall be held illegal or invalid                  for                  any reason, the illegality or invalidity shall not affect the remaining                  parts of the Plan, and the Plan shall be construed and enforced                  as if the                  illegal or invalid provision had not been                  included. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (j) | Notwithstanding                  any provision of the Plan to the contrary, in order to comply with                  the                  laws in other countries in which the Company, its Affiliates, and/or                  its                  Subsidiaries                  operate or have employees, the                  Committee, in its sole discretion, shall have the power and authority                  to: |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

**SECTION        18**
**.** **Effective        Date of Plan**