Document:

Form of Stock Option Award Notice for Executive Officers with Employment Agmts.

 Exhibit 10.3 
 IPO OPTION GRANT—INDIVIDUALS WITH 
 EXISTING EMPLOYMENT AGREEMENTS 
 NYMEX HOLDINGS, INC. 
 NOTICE OF
GRANT OF STOCK OPTION 
 Conditioned upon the consummation of the initial
public offering of NYMEX Holdings, Inc. common stock,                      (the “Grantee”) has been granted an
option (the “Option”) to purchase certain shares of NYMEX Holdings, Inc. common stock, par value $0.01 per share (the “Stock”), pursuant to the NYMEX Holdings, Inc. 2006 Omnibus Long-Term Incentive
Plan (the “Plan”), as follows: 
  

			
	 Grant Date:
	  	November 17, 2006
		
	 Number of Option Shares:
	  	
		
	 Exercise Price (per share):
	  	$59.00
		
	 Expiration Date:
	  	November 17, 2014
		
	 Tax Status of Option:
	  	Non-Qualified Stock Option

 Vested Shares: Except as provided below, and provided that the Grantee’s Service has
not terminated prior to any applicable date set forth below, the number of Vested Shares as of each date set forth below shall be: 
  

				
	 Vesting Date
	  	Percentage Vested	 
	 November 17, 2007
	  	25	%
	 November 17, 2008
	  	25	%
	 November 17, 2009
	  	25	%
	 November 17, 2010
	  	25	%

 Notwithstanding the foregoing, all Options awarded hereunder shall 100% vest if the Grantee is
terminated without Cause or terminates as a result of a Constructive Discharge during the eighteen (18) month period following a Change in Control. 
 By signing below, the Grantee hereby agrees that the Option is governed by this Notice, and by the provisions of the Plan and the attached Terms and Conditions, both of which are incorporated herein and made a part of
this document. The Grantee acknowledges receipt of a copy of the Plan and the attached Terms and Conditions, represents that the Grantee has read and is familiar with their provisions, and hereby accepts the Option subject to all of their terms and
conditions. Capitalized terms used in this Notice and the attached Terms and Conditions shall have the meaning assigned in the Plan, unless otherwise indicated. This Notice may be executed in two or more counterparts, each of which shall be deemed
an original, but all of which shall constitute one and the same document. 
  

									
	NYMEX HOLDINGS, INC.	 		 	GRANTEE
				
	By:	 	  
	 		 	  

	Name:	 		 		 	Name:	 	
	Title:	 		 		 		 	
	Address:	 	 One North End Avenue
 World Financial
Center
 New York, NY 10282-1101
	 		 	Address:	 	  

		 	 	 	 	  

		 	 	 	 	  

 IPO OPTION GRANT—INDIVIDUALS
WITH 
 EXISTING EMPLOYMENT
AGREEMENTS 
 TERMS AND CONDITIONS

 Pursuant to the NYMEX Holdings, Inc. 2006 Omnibus Long-Term Incentive Plan (the “Plan”), and conditioned upon
the consummation of the initial public offering of NYMEX Holdings, Inc. common stock, NYMEX Holdings, Inc., a Delaware corporation (together with all successors thereto, the “Company”), the person (the
“Grantee”) named in the Notice of Grant of Stock Option (the “Notice”) to which these Terms and Conditions are attached is hereby granted an option (together with the Notice, referred to herein as the
“Option”) to purchase on or prior to the expiration date specified in the Notice (the “Expiration Date”), or such earlier date as is specified herein, all or any part of the number of shares of Stock
of the Company indicated in the Notice (the “Option Shares,” and such shares once issued shall be referred to as the “Issued Shares,” each as adjusted pursuant to Section 15 of the Plan), at the
exercise price per share specified in the Notice (the “Exercise Price”), subject to these Terms and Conditions, the Notice and the Plan. All capitalized terms used herein and not otherwise defined shall have the respective
meanings set forth in the Notice and the Plan (as applicable). 
 If this Option is designated as an Incentive Stock Option in the Notice,
this Option is intended to qualify as an “incentive stock option” as defined in Section 422(b) of the Code. To the extent that any portion of this Option does not so qualify as an Incentive Stock Option or, if this Option is
designated as a Non-Qualified Stock Option in the Notice, it shall be deemed a Non-Qualified Stock Option. The Grantee should consult with the Grantee’s own tax advisor regarding the tax effects of this Option (and any requirements necessary to
obtain favorable income tax treatment under Section 422 of the Code, including, but not limited to, holding period requirements). 
 1.
Exercise of Option. 
 (a) The Grantee may exercise this Option only by delivering (1) an exercise notice (an “Exercise
Notice”) in substantially the form of Appendix A attached hereto to the Company’s Chief Financial Officer or, if none, the Chief Executive Officer, indicating his or her election to purchase some or all of the Option Shares with
respect to which this Option has vested at the time of delivery of such Exercise Notice (which amount shall be specified in the Exercise Notice), and (2) payment in full of the aggregate Exercise Price; provided that such exercise shall be
effective only upon receipt by such officer of the Exercise Notice and the aggregate Exercise Price. Payment of the aggregate Exercise Price for the Option Shares elected to be purchased by the Grantee may be made by one or more of the following
methods: 
 (i) in cash, by certified or bank check, or other instrument acceptable to the Board in U.S. funds payable to the order of the
Company in an amount equal to the aggregate Exercise Price of such Option Shares; 
 (ii) by the Grantee delivering to the Company a
promissory note in a form approved by the Board, if the Board has expressly authorized the loan of funds to the Grantee for the purpose of enabling or assisting the Grantee to effect the exercise of the Grantee’s Option; provided that at least
so much of the Exercise Price as represents the par value of the shares of Stock to be issued shall be paid other than with a promissory note if otherwise required by state law; 
 (iii) if permitted by the Board, (x) by having the Company withhold from such Option Shares shares having a Fair Market Value equal to the
aggregate Exercise Price of the Option Shares, (y) through the delivery (or attestation to the ownership) of shares of Stock that have 

 IPO OPTION GRANT—INDIVIDUALS
WITH 
 EXISTING EMPLOYMENT
AGREEMENTS 
 been purchased by the Grantee on the open market or that have been held by the Grantee for at
least six (6) months and are not subject to restrictions under any plan of the Company, (z) by the Grantee delivering to the Company a properly executed Exercise Notice together with irrevocable instructions to a broker to promptly deliver
to the Company cash or a check payable and acceptable to the Company to pay the aggregate Exercise Price of such Option Shares, provided that in the event the Grantee chooses such payment procedure, the Grantee and the broker shall comply with such
procedures and enter into such agreements of indemnity and other agreements as the Board shall prescribe as a condition of such payment procedure; or 
 (iv) a combination of the payment methods set forth in clauses (i), (ii) and (iii) above, if applicable. 
 (b) The Company shall not be required to issue fractional shares upon the exercise of this Option. 
 2. Subject to Plan.

 Notwithstanding anything in these Terms and Conditions or the Notice to the contrary, to the extent of any conflict between the terms of
the Plan, these Terms and Conditions and the Notice, the terms of the Plan shall control. 
 3. Transferability. 
 This Option is personal to the Grantee and is not transferable by the Grantee in any manner other than by will or by the laws of descent and distribution;
provided that if this Option is designated as a Non-Qualified Stock Option, such Non-Qualified Stock Option may also be transferred with the prior written consent of the Company by the Grantee, without consideration for the transfer, to any
of the Grantee’s Family Members (the “Permitted Transferees”), provided that the transferee agrees in writing with the Company to be bound by all of the terms and conditions of the Plan, the Notice and these Terms and
Conditions, and all references to the Grantee herein shall be deemed to include the Permitted Transferee. This Option may be exercised during the Grantee’s lifetime only by the Grantee (or by the Grantee’s legal representative or guardian
in the event of the Grantee’s incapacity) or by a Permitted Transferee pursuant to this Section 3. 
 4. Effect of Certain
Transactions. 
 Upon the effectiveness of (i) a merger, reorganization or consolidation between the Company and another person or
entity (other than a holding company or parent or subsidiary of the Company) as a result of which the holders of the Company’s outstanding Common Stock immediately prior to the transaction hold less than a majority of the outstanding voting
stock of the surviving entity immediately after the transaction, or (ii) the sale of all or substantially all of the assets of the Company to an unrelated person or entity (in each case, a “Transaction”), unless
provision is made in connection with the Transaction for the assumption of all outstanding Awards, or the substitution of such Awards with new Awards of the successor entity or parent thereof, with appropriate adjustment as to the number and kind of
shares and, if appropriate, the per share exercise prices, as provided in Section 15 of the Plan (an “Assumption”), this Option shall terminate. In the event of such termination, the Grantee shall be permitted to
exercise the Option prior to the anticipated effective date of the Transaction to the extent the Option is then vested and exercisable; provided, however, that the Grantee may, but will not be required to, condition such exercise upon
the effectiveness of the Transaction. 

 IPO OPTION GRANT—INDIVIDUALS
WITH 
 EXISTING EMPLOYMENT
AGREEMENTS 
 5. Lock-up Provision. 
 In connection with a public offering by the Company of its Common Stock, the Grantee (including any Permitted Transferee), if requested in good faith by
the Company and the managing underwriter of the Company’s securities, shall agree not to, directly or indirectly, offer, sell, pledge, contract to sell (including any short sale), grant any option to purchase or otherwise dispose of any
securities of the Company held by them (except for any securities sold pursuant to such registration statement) or enter into any Hedging Transaction (as defined below) relating to any securities of the Company for a period to be determined by the
managing underwriter. For purposes of this Section 5, “Hedging Transaction” means any short sale (whether or not against the box) or any purchase, sale or grant of any right (including without limitation, any put
or call option) with respect to any security (other than a broad-based market basket or index) that includes, relates to or derives any significant part of its value from the Company’s Common Stock. 
 6. Restrictive Covenants. 
 (a) Non
Competitive Behavior. Grantee understands, acknowledges and agrees that the Award contemplated herein is offered, in part, based on his being bound by the requirements of Section 6 of the Employment Agreement dated as of March 31,
2003, as subsequently amended March 31, 2006 and as further amended as of November 17, 2006, by and between the Company and the Grantee (“Employment Agreement”), the terms of such Section 6 of the Employment Agreement are
incorporated herein by reference. 
 (b) Forfeiture. If, at any time following the Grant Date, the Grantee’s Service to the
Company is terminated by the Company for Cause, or the Grantee violates the terms of this Section 6, all Option Shares shall immediately expire and shall no longer be exercisable by the Grantee, and all Issued Shares then-held by the Grantee
shall be immediately forfeited to the Company (and the Grantee hereby acknowledges and agrees that the Company may take any and all actions it deems appropriate to effect such forfeiture); provided, however, if the Grantee has sold or otherwise
transferred the Issued Shares prior to any required forfeiture hereunder, then the Grantee agrees to pay to the Company an amount equal to the difference between the aggregate Fair Market Value (determined as of the date of termination or breach, as
applicable) of the Issued Shares the Grantee held prior to such sale or transfer over the aggregate Exercise Price for such Issued Shares. 
 (c) Survival of Acknowledgements and Agreements. The Grantee’s acknowledgements and agreements set forth in this Section 6 will survive the termination of the Options, Issued Shares and/or the termination of the Employment
Agreement or Grantee’s Service to the Company for any reason or for no reason. 
 7. Constructive Discharge. 
 A “Constructive Discharge” termination means that the Grantee voluntarily terminates his employment upon (or in connection with) or within the
18 month period following a Change in Control after the occurrence of any of the following: (i) a material diminution in the Grantee’s position, authority, duties, responsibilities or status (including without limitation diminution in:
office, title, reporting relationships, level of responsibility, scope of authority, sophistication of work, 

 IPO OPTION GRANT—INDIVIDUALS
WITH 
 EXISTING EMPLOYMENT
AGREEMENTS 
 or material diminution of number of direct reports, among other things) as in effect immediately
prior to the Change in Control, (ii) a reduction in the Grantee’s base salary from his or her highest base salary in effect at any time within 12 months preceding the Change in Control, (iii) the Grantee’s involuntary cessation
of participation in any compensation plan in which he or she participated immediately prior to the Change in Control (or in a substitute or alternative plan) on a basis not materially less favorable, both in terms of the amount of benefits provided
and the level of the Grantee’s participation relative to similarly situated employees, (iv) without the Grantee’s express written consent, relocation of Grantee’s work situs to a location that is not in the New York City
metropolitan area, or (v) the failure of the Company to obtain an agreement satisfactory to the Grantee from any successor to the Company to assume and agree to perform the Company’s obligations under this Agreement or any other agreement
between the Grantee and the Company. For these purposes, the Grantee will be deemed to have voluntarily terminated his employment based on a Constructive Discharge “in connection with” a Change in Control prior to the closing date of a
Change in Control if any of the occurrences identified above occur on or after the date the Company formally begins to consider a Change in Control or has knowledge that a Change in Control is imminent, and a Change in Control actually occurs.

 8. Miscellaneous Provisions. 
 (a) Integrated Agreement. The Notice, the Plan and these Terms and Conditions constitute the entire understanding and agreement between the Grantee and the Company with respect to the subject matter contained herein and supersedes
any prior agreements, understandings, restrictions, representations, or warranties among the Grantee and the Company with respect to such subject matter except as provided for herein. To the extent contemplated herein, the provisions of these Terms
and Conditions shall survive any exercise of this Option and shall remain in full force and effect. 
 (b) Change and Modifications.
The Board may terminate or amend the Plan or this Option at any time; provided, however, that except as provided in Section 4 hereof in connection with a Transaction, no such termination or amendment may adversely affect this Option without the
consent of the Grantee unless such termination or amendment is necessary to comply with any applicable law, rule or regulation or, to the extent that this Option is designated as an Incentive Stock Option, is required to enable this Option to
continue to qualify as an Incentive Stock Option. 
 (c) Notices. All notices, requests, consents and other communications shall be in
writing and be deemed given when delivered personally, by facsimile transmission or one (1) business day after deposit with a nationally recognized expedited delivery service, such as Federal Express. Notices to the Company or the Grantee shall
be addressed to such address or addresses as may have been furnished by such party in writing to the other. 

 IPO OPTION GRANT—INDIVIDUALS
WITH 
 EXISTING EMPLOYMENT
AGREEMENTS 
 Appendix A 
 STOCK OPTION EXERCISE NOTICE 
 Form for Unregistered Shares 
  

			
	NYMEX Holdings, Inc.	  	
	One North End Avenue	  	
	World Financial Center	  	
	New York, NY 10282-1101	  	
	Attention: Chief Financial Officer	  	Date:                     

 Pursuant to the terms of the Notice of Grant of Stock Option dated
                     and the accompanying Terms and Conditions granted pursuant to the NYMEX Holdings, Inc. 2006 Omnibus Long-Term Incentive
Plan and entered into by NYMEX Holdings, Inc. (the “Company”) and me on such date, I hereby partially/fully exercise circle one such option by including herein payment in the amount of
$             representing the purchase price for                     
shares of the Company’s common stock, all of which have vested in accordance with the Notice of Grant of Stock Option. I hereby authorize payroll withholding or otherwise will make adequate provision for federal, state, foreign and local tax
withholding obligations of the Company, if any, that arise in connection with the option. 
 I acknowledge that the shares are being acquired
in accordance with and subject to the terms, provisions and conditions of the Plan, the Notice of Grant of Stock Option, and the accompanying Terms and Conditions, copies of which I have received and carefully read and understand, to all of which I
hereby expressly assent. 
 I hereby represent that I am purchasing the shares of common stock for my own account and not with a view to any
sale or distribution thereof. I understand that such shares cannot be resold unless they are registered in accordance with the Securities Act of 1933, as amended, or pursuant to an exemption from such registration requirements. I further understand
that Rule 144, promulgated under the Securities Act of 1933, as amended, which permits limited public resale of securities acquired in a nonpublic offering is available only if certain conditions are satisfied. I acknowledge that any sale of such
shares that might be made in reliance on Rule 144 may only be made in limited amounts in accordance with the terms and conditions of such rule and that a copy of Rule 144 will be delivered to me upon my request. Finally, I agree that, if the
option is designated as an “incentive stock option” in the Notice of Grant of Stock Option, that I will promptly notify the Chief Financial Officer of the Company if I transfer any of the shares acquired pursuant to the option within
one (1) year from the date of exercise of all or part of the option or within two (2) years of the date of grant of the option. 
 Sincerely yours, 
  

			
	Signature:	 	  

	Print Name:	 	  

	Address:	 	  

		 	  

	Telephone:	 	  

	e-mail:	 	  

 IPO OPTION GRANT—INDIVIDUALS
WITH 
 EXISTING EMPLOYMENT
AGREEMENTS 
 Appendix A 
 STOCK OPTION EXERCISE NOTICE 
 Form for Registered Shares 
  

			
	NYMEX Holdings, Inc.	  	
	One North End Avenue	  	
	World Financial Center	  	
	New York, NY 10282-1101	  	
	Attention: Chief Financial Officer	  	Date:                     

 Pursuant to the terms of the Notice of Grant of Stock Option dated
                     and the accompanying Terms and Conditions granted pursuant to the NYMEX Holdings, Inc. 2006 Omnibus Long-Term Incentive
Plan and entered into by NYMEX Holdings, Inc. (the “Company”) and me on such date, I hereby partially/fully exercise circle one such option by including herein payment in the amount of
$             representing the purchase price for                     
shares of the Company’s common stock, all of which have vested in accordance with the Notice of Grant of Stock Option. I hereby authorize payroll withholding or otherwise will make adequate provision for federal, state, foreign and local tax
withholding obligations of the Company, if any, that arise in connection with the option. 
 I acknowledge that the shares are being acquired
in accordance with and subject to the terms, provisions and conditions of the Plan, the Notice of Grant of Stock Option, and the accompanying Terms and Conditions, copies of which I have received and carefully read and understand, to all of which I
hereby expressly assent. 
 I understand the nature of the investment I am making and the financial risks thereof. I am aware that it is my
responsibility to have consulted with competent tax and legal advisors about the relevant national, state and local income tax and securities laws affecting the exercise of the Option and the purchase and subsequent sale of the shares. 

I agree that, if the option is designated as an “incentive stock option” in the Notice of Grant of Stock Option, that I will promptly
notify the Chief Financial Officer of the Company if I transfer any of the shares acquired pursuant to the option within one (1) year from the date of exercise of all or part of the option or within two (2) years of the date of grant of
the option. 
 Sincerely yours, 
  

			
	Signature:	 	  

	Print Name:	 	  

	Address:	 	  

		 	  

	Telephone:	 	  

	e-mail:Form of Restricted Stock Unit Award Notice for Executive Officers

 Exhibit 10.4 
 NOTICE OF IPO RSU GRANT—INDIVIDUALS WITH EXISTING 
 EMPLOYMENT AGREEMENTS 
 NYMEX HOLDINGS, INC. 
 NOTICE
OF RESTRICTED STOCK UNIT AWARD 
 Conditioned upon the consummation of the initial public offering of NYMEX Holdings, Inc. common stock,
                                     (the
“Grantee”) has been granted an Award of Restricted Stock Units under the terms of the NYMEX Holdings, Inc. 2006 Omnibus Long-Term Incentive Plan (the “Plan”), which provides, subject to the terms of
this Award and the terms of the Plan, the Grantee with the opportunity to receive common stock of NYMEX Holdings, Inc., par value $0.01 per share (the “Stock”) as follows: 
  

			
	Grant Date:	  	November 17, 2006
		
	Number of Restricted Stock Units Awarded:	  	
		
	Dividend Equivalents:	  	No
		
	Settlement in Cash:	  	No

 Vesting of Restricted Stock Units: Except as provided below, and provided that the
Grantee’s Service has not terminated prior to any applicable date set forth below, the number of Restricted Stock Units vested as of each date set forth below shall be: 
  

				
	 Vesting Date
	  	Percentage Vested	 
	 November 17, 2007
	  	25	%
	 November 17, 2008
	  	25	%
	 November 17, 2009
	  	25	%
	 November 17, 2010
	  	25	%

 Notwithstanding the foregoing, all Restricted Stock Units awarded hereunder shall 100% vest if the
Grantee is terminated without Cause or terminates as a result of a Constructive Discharge during the eighteen (18) month period following a Change in Control. 
 By signing below, the Grantee hereby agrees that the Award of Restricted Stock Units is governed by this Notice, and by the provisions of the Plan and the attached Terms and Conditions, both of which are incorporated
herein and made a part of this document. The Grantee acknowledges receipt of a copy of the Plan and the attached Terms and Conditions, represents that the Grantee has read and is familiar with their provisions, and hereby accepts the Award of
Restricted Stock Units subject to all of their terms and conditions. Capitalized terms used in this Notice and the attached Terms and Conditions shall have the meaning assigned in the Plan, unless otherwise indicated. This Notice may be executed in
two or more counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same document. 
  

									
	NYMEX HOLDINGS, INC.	 		 	GRANTEE
				
	By:	 	  
	 		 	  

	Name:	 		 		 	Name:	 	
					
	Title:	 		 		 	Address:	 	  

	Address:	 	 One North End Avenue
 World Financial Center

New York, NY 10282-1101
	 		 		 	  
  
  
  

 TERMS AND CONDITIONS 
 Pursuant to the NYMEX Holdings, Inc. 2006 Omnibus Long-Term Incentive Plan (the “Plan”), and conditioned upon the consummation of
the initial public offering of NYMEX Holdings, Inc. common stock, NYMEX Holdings, Inc., a Delaware corporation (together with all successors thereto, the “Company”), hereby grants to the person (the
“Grantee”) named in the Notice of Restricted Stock Unit Award (the “Notice”) to which these Terms and Conditions are attached, an Award of Restricted Stock Units (together with the Notice, referred to
herein as the “Award”) to receive prior to the expiration date specified in the Notice (the “Expiration Date”), or such earlier date as is specified herein, all or any part of the number of shares of
Stock of the Company indicated in the Notice (the “Shares,” and such shares once issued shall be referred to as the “Issued Shares,” each as adjusted pursuant to Section 15 of the Plan), subject
to these Terms and Conditions, the Notice and the Plan. All capitalized terms used herein and not otherwise defined shall have the respective meanings set forth in the Notice and the Plan (as applicable). 
 1. Restricted Stock Units. 
 (a)
Conditioned upon the consummation of the initial public offering of NYMEX Holdings, Inc. common stock, as of the date of grant (the “Grant Date”), the Company grants to the Grantee
                                 Restricted Stock Units (the “Units”),
which represent shares of the Company’s common stock, par value $.01 per share (“Common Stock”). The Units are subject to the restrictions set forth in Section 2 of these Terms and Conditions and the provisions of the Notice and
Plan. 
 (b) The Units granted under this Agreement shall be reflected in a bookkeeping account maintained by the Company. If and when
restrictions described herein, in the Notice and in the Plan expire in accordance with the terms hereof, and upon the satisfaction of all other applicable conditions as to the Units, such Units (and any related Dividend Units described in
Section 1(c) below) not forfeited hereunder shall be settled in shares of Common Stock or in cash, as set forth in Section 1(e) below. 
 (c) If the Notice indicates that the Grantee is entitled to Dividend Equivalents, then, in accordance with Section 10.4.2 of the Plan, with respect to each Unit, whether or not vested, that has not been forfeited (but only to the
extent such award of Units has not been settled for Common Stock), the Company shall, with respect to any cash dividends paid on the Common Stock, accrue and credit to the Grantee’s bookkeeping account a number of Units having a Fair Market
Value as of the date such dividend is paid equal to the cash dividends that would have been paid with respect to such Unit if it were an outstanding share of Common Stock (the “Dividend Units”). These Dividend Units thereafter shall
(i) be treated as Units for purposes of future dividend accruals pursuant to this Section 1(c), and (ii) vest in such amounts (rounded to the nearest whole Unit) at the same time as the Units with respect to which such Dividend Units
were received. If the Notice indicates that the Grantee is not entitled to Dividend Equivalents, then, in accordance with Section 10.4.2 of the Plan, this Section 1(c) shall not apply. 
  

 2 

 (d) The Company’s obligations hereunder shall be unfunded and unsecured, and no special or separate
fund shall be established and no other segregation of assets shall be made. The rights of a Grantee hereunder shall be no greater than those of a general unsecured creditor of the Company. In addition, the Units shall be subject to such restrictions
as the Company may deem advisable under the rules, regulations and other requirements of the Securities and Exchange Commission, any stock exchange upon which Common Stock is then listed, and any applicable federal or state securities law.

 (e) Except as otherwise provided in this Award, settlement of the Units in accordance with the provisions of this Section 1 shall be
delivered as soon as practicable following satisfaction of all applicable conditions as to the Units (including the payment by the Grantee of all applicable withholding taxes). At such time, the Company shall deliver to the Grantee one share of
Common Stock for each Unit, or, if the Notice specifically provides, the cash equivalent to the Fair Market Value of such Units, in accordance with Section 10.4.1 of the Plan. Common Stock or cash issued to a Grantee for vested Units shall be
issued or paid within the time period set forth in Section 16.9.1 of the Plan, unless otherwise specifically provided in the Notice. The Company shall not be required to issue fractional shares for an Award and the value of any fractional
shares shall be paid in cash. 
 2. Restrictions. 
 (a) The Grantee shall have no rights as a stockholder of the Company by virtue of any Unit unless and until such Unit vests and resulting shares of Common Stock are issued to the Grantee. 
 (b) None of the Units may be sold, transferred, assigned, pledged or otherwise encumbered or disposed of prior to the receipt of Issued Shares.

 (c) Any attempt to dispose of the Units or any interest in the Units in a manner contrary to the restrictions set forth herein shall be
void and of no effect. 
 (d) Units shall vest in accordance with the vesting schedule set forth in the Notice. Unvested Units shall be
subject to forfeiture and return to the Company, except as specifically provided for in the Notice. 
 3. Subject to Plan. 

Notwithstanding anything in these Terms and Conditions or the Notice to the contrary, to the extent of any conflict between the terms of the Plan,
these Terms and Conditions and the Notice, the terms of the Plan shall control. 
 4. Effect of Certain Transactions. 
 Upon the effectiveness of (i) a merger, reorganization or consolidation between the Company and another person or entity (other than a holding
company or parent or subsidiary of the Company) as a result of which the holders of the Company’s outstanding Common Stock immediately prior to the transaction hold less than a majority of the outstanding voting stock of the surviving entity
immediately after the transaction, or (ii) the sale of all or substantially all of 
  

 3 

 the assets of the Company to an unrelated person or entity (in each case, a “Transaction”),
unless provision is made in connection with the Transaction for the assumption of all outstanding Awards, or the substitution of such Awards with new Awards of the successor entity or parent thereof, with appropriate adjustment as to the number and
kind of shares and, if appropriate, the per share purchase prices, as provided in Section 15 of the Plan (an “Assumption”), this Award shall terminate. In the event of such termination, the Grantee shall receive Issued
Shares or cash (if so provided in the Notice) prior to the anticipated effective date of the Transaction to the extent the Unit is then vested; provided, however, that the Grantee may, but will not be required to, condition such award
upon the effectiveness of the Transaction. 
 5. Lock-up Provision. 
 In connection with a public offering by the Company of its Common Stock, the Grantee, if requested in good faith by the Company and the managing
underwriter of the Company’s securities, shall agree not to, directly or indirectly, offer, sell, pledge, contract to sell (including any short sale), grant any option to purchase or otherwise dispose of any securities of the Company held by
them (except for any securities sold pursuant to such registration statement) or enter into any Hedging Transaction (as defined below) relating to any securities of the Company for a period to be determined by the managing underwriter. For purposes
of this Section 5, “Hedging Transaction” means any short sale (whether or not against the box) or any purchase, sale or grant of any right (including without limitation, any put or call option) with respect to any
security (other than a broad-based market basket or index) that includes, relates to or derives any significant part of its value from the Company’s Common Stock. 
 6. Restrictive Covenants. 
 (a) Non Competitive Behavior. Grantee understands, acknowledges and
agrees that the Award contemplated herein is offered, in part, based on his being bound by the requirements of Section 6 of the Employment Agreement dated as of March 31, 2003, as subsequently amended March 31, 2006 and as further
amended as of November 17, 2006, by and between the Company and the Grantee (“Employment Agreement”), the terms of such Section 6 of the Employment Agreement are incorporated herein by reference. 
 (b) Forfeiture. If, at any time following the Grant Date, the Grantee’s Service to the Company is terminated by the Company for Cause, or the
Grantee violates the terms of this Section 6, all Option Shares shall immediately expire and shall no longer be exercisable by the Grantee, and all Issued Shares then-held by the Grantee shall be immediately forfeited to the Company (and the
Grantee hereby acknowledges and agrees that the Company may take any and all actions it deems appropriate to effect such forfeiture); provided, however, if the Grantee has sold or otherwise transferred the Issued Shares prior to any required
forfeiture hereunder, then the Grantee agrees to pay to the Company an amount equal to the difference between the aggregate Fair Market Value (determined as of the date of termination or breach, as applicable) of the Issued Shares the Grantee held
prior to such sale or transfer over the aggregate Exercise Price for such Issued Shares. 
 (c) Survival of Acknowledgements and
Agreements. The Grantee’s acknowledgements and agreements set forth in this Section 6 will survive the termination of the Options, Issued Shares and/or the termination of the Employment Agreement or Grantee’s Service to the
Company for any reason or for no reason. 
  

 4 

 7. Constructive Discharge. 
 A “Constructive Discharge” termination means that the Grantee voluntarily terminates his employment upon (or in connection with) or within the
18 month period following a Change in Control after the occurrence of any of the following: (i) a material diminution in the Grantee’s position, authority, duties, responsibilities or status (including without limitation diminution in:
office, title, reporting relationships, level of responsibility, scope of authority, sophistication of work, or material diminution of number of direct reports, among other things) as in effect immediately prior to the Change in Control, (ii) a
reduction in the Grantee’s base salary from his or her highest base salary in effect at any time within 12 months preceding the Change in Control, (iii) the Grantee’s involuntary cessation of participation in any compensation plan in
which he or she participated immediately prior to the Change in Control (or in a substitute or alternative plan) on a basis not materially less favorable, both in terms of the amount of benefits provided and the level of the Grantee’s
participation relative to similarly situated employees, (iv) without the Grantee’s express written consent, relocation of Grantee’s work situs to a location that is not in the New York City metropolitan area, or (v) the failure
of the Company to obtain an agreement satisfactory to the Grantee from any successor to the Company to assume and agree to perform the Company’s obligations under this Agreement or any other agreement between the Grantee and the Company. For
these purposes, the Grantee will be deemed to have voluntarily terminated his employment based on a Constructive Discharge “in connection with” a Change in Control prior to the closing date of a Change in Control if any of the occurrences
identified above occur on or after the date the Company formally begins to consider a Change in Control or has knowledge that a Change in Control is imminent, and a Change in Control actually occurs. 
 8. Miscellaneous Provisions. 
 (a)
Integrated Agreement. The Notice, the Plan and these Terms and Conditions constitute the entire understanding and agreement between the Grantee and the Company with respect to the subject matter contained herein and supersedes any prior
agreements, understandings, restrictions, representations, or warranties among the Grantee and the Company with respect to such subject matter except as provided for herein. To the extent contemplated herein, the provisions of these Terms and
Conditions shall survive the issuance of any Issued Shares and shall remain in full force and effect. 
 (b) Change and Modifications.
The Board may terminate or amend the Plan or the terms of this Award at any time; provided, however, that except as provided in Section 4 hereof in connection with a Transaction, no such termination or amendment may adversely affect this Award
without the consent of the Grantee unless such termination or amendment is necessary to comply with any applicable law, rule or regulation. 
 (c) Notices. All notices, requests, consents and other communications shall be in writing and be deemed given when delivered personally, by facsimile transmission or one (1) business day after deposit with a nationally
recognized expedited delivery service, such as Federal Express. Notices to the Company or the Grantee shall be addressed to such address or addresses as may have been furnished by such party in writing to the other. 
  

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