Document:

Exhibit 10.2

SCHOOL SPECIALTY, INC.

2014 INCENTIVE PLAN

AMENDED AND RESTATED STOCK OPTION AGREEMENT

School Specialty, Inc. (the “Company”) granted you an option (the “Option”) under the 2014 Incentive Plan of School Specialty, Inc. (the “Plan”) on April 24, 2014 pursuant the Stock Option Agreement dated as of April 24, 2014 between you and the Company.  The Option lets you purchase a specified number of shares of the Common Stock (the “Option Shares”), at price per share specified in Schedule I hereto (the “Exercise Price”).  This Amended and Restated Stock Option Agreement (this “Agreement”) supersedes and replaces the Stock Option Agreement dated as of April 24, 2014 between you and the Company.

Schedule I to this Agreement provides the details for your grant, including the number of Option Shares, the Exercise Price, the latest date the Option will expire (the “Term Expiration Date”), and any special rules that apply to your Option.  As specified in Schedule I, the Company intends this Option to be a nonqualified stock option (“NQSO”), not subject to the rules contained in Code Section 422.

The Option is subject in all respects to the applicable provisions of the Plan.  This Agreement does not cover all of the rules that apply to the Option under the Plan, and the Plan defines any terms in this Agreement that this Agreement does not.

In addition to the terms and restrictions in the Plan, the following terms and restrictions apply to each Option:

Option

While your Option remains in effect under the Expiration section below,

Exercisability 

you may exercise any exercisable portions of that Option (and buy the Option Shares) under the timing rules Schedule I specified under “Option Exercisability Provisions.”

Method of

Subject to this Agreement and the Plan, you may exercise the Option (and only to 

Exercise and

the extent such Option is vested and exercisable) by providing a written notice

Payment for

(or notice through another previously approved method, which could include a 

Shares

voice- or e-mail system) to the Secretary of the Company, an Assistant Secretary of the Company designated by the Administrator or to whomever the Administrator designates, on or before the date the Option expires.  Each such notice must satisfy whatever procedures then apply to the Option and must contain such representations (statements from you about your situation) as the Company requires.  You must, at the same time, pay the Exercise Price using one or more of the methods described below.  Please note that until the Company notifies you otherwise, or unless you indicate otherwise on your notice of option exercise, all exercises of the Option will be done on a “Net Exercise” basis, which is the preferred method under the Plan.

Net Exercise

The Company delivers the number of shares to you that equals the number of Option Shares for which the Option was exercised, reduced by the number of whole shares of common stock with a Fair Market Value on the date of exercise equal to the Exercise Price and the minimum tax withholding required by law; to the extent the combined value of the whole shares of common stock, valued at their Fair Market Value on the date of exercise, is not sufficient to equal the Exercise Price and 

minimum tax withholding obligation, the Company will withhold the additional amount from your next pay check, or if you are not employed by the Company, you must pay the additional amount in cash to the Company before delivery of the shares will be made to you; 

Cashless

an approved cashless exercise method, including directing

Exercise

the Company to send the stock certificates (or other acceptable evidence of ownership) to be issued under the Option to a licensed broker acceptable to the Company as your agent in exchange for the broker’s tendering to the Company cash (or acceptable cash equivalents) equal to the Exercise Price and any required tax withholdings (at the minimum required level); or

Cash/Check

cash, a cashier’s or certified check in the amount of the Exercise Price, and any required tax withholdings, payable to the order of the Company.

Expiration

You cannot exercise the Option after it has expired.  The Option will expire no later than the close of business on the Term Expiration Date shown on Schedule I. The “Option Expiration Rules” in Schedule I provide the circumstances under which the Option will terminate before the Term Expiration Date because of, for example, your termination of employment.  The Administrator can override the expiration provisions of Schedule I.

Compliance

You may not exercise the Option if the Company’s issuing stock upon 

with Law

such exercise would violate any applicable federal or state securities laws or other laws or regulations.  You may not sell or otherwise dispose of the Option Shares in violation of applicable law.  As part of this prohibition, you may not use the Cashless Exercise method if the Company’s insider trading policy then prohibits you from selling to the market.

Additional

The Company may postpone issuing and delivering any Option Shares 

Conditions

for so long as the Company determines to be advisable to satisfy the

to Exercise

following:

·

its completing or amending any securities registration or qualification of the Option Shares or its or your satisfying any exemption from registration under any Federal or state law, rule, or regulation;

·

its receiving proof it considers satisfactory that a person seeking to exercise the Option after your death or Disability (as defined in Schedule I) is authorized and entitled to do so;

·

your complying with any requests for representations under the Plan; and

·

your complying with any federal or state tax withholding obligations.

Additional

If you exercise the Option at a time when the Company does not have a current

Representations

registration statement (generally on Form S-8) under the Securities Act of 1933

from You

(the “Act”) that covers issuances of shares to you, you must comply with the following

before the Company will issue the Option Shares to you.  You must —

2

·

represent to the Company, in a manner satisfactory to the Company’s counsel, that you are acquiring the Option Shares for your own account and not with a view to reselling or distributing the Option Shares; and

·

agree that you will not sell, transfer, or otherwise dispose of the Option Shares unless:

-

a registration statement under the Act is effective at the time of disposition with respect to the Option Shares you propose to sell, transfer, or otherwise dispose of; or

-

the Company has received an opinion of counsel or other information and representations it considers satisfactory to the effect that, because of Rule 144 under the Act or otherwise, no registration under the Act is required.

No Effect on

Nothing in this Agreement restricts the Company’s rights or those of any 

Employment

of its affiliates to terminate your employment or other relationship at any 

or Other

time, with or without cause.  The termination of employment or other

Relationship

relationship, whether by the Company or any of its affiliates or otherwise, and regardless of the reason for such termination, has the consequences provided for under the Plan and any applicable employment or severance agreement or plan.

Not a Stockholder

You understand and agree that the Company will not consider you a stockholder, and you do not have any rights or privileges of a stockholder for any purpose with respect to any of the Option Shares unless and until you have exercised the Option, paid for the shares, and received evidence of ownership.

Governing Law

The laws of the State of Delaware will govern all matters relating to this Agreement, without regard to the principles of conflict of laws, except to the extent superseded by the laws of the United States of America.

Notices

Any notice you give to the Company must follow the procedures then in effect under the Plan and this Agreement.  If no other procedures apply, you must deliver your notice in writing by hand or by mail to the office of the Assistant Secretary designated by the Administrator.  If mailed, you should address it to the such Assistant Secretary at the Company’s then corporate headquarters, unless the Company directs optionees to send notices to another corporate department or to a third party administrator or specifies another method of transmitting notice.  The Company will address any notices to you at your office or home address as reflected on the Company’s personnel or other business records.  You and the Company may change the address for notice by like notice to the other, and the Company can also change the address for notice by general announcements to optionees.

Plan Governs

Wherever a conflict may arise between the terms of this Agreement and the terms of the Plan, the terms of the Plan will control; provided, however, that this Agreement may impose greater restrictions on, or grant lesser rights, than the Plan.

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SCHOOL SPECIALTY, INC.

2014 INCENTIVE PLAN 

AMENDED AND RESTATED STOCK OPTION AGREEMENT

OPTIONEE ACKNOWLEDGMENT

I acknowledge that I have received a copy of the Plan and this Agreement (including Schedule I).  I represent that I have read and am familiar with the  terms of the Plan and this Agreement (including Schedule I).  By signing where indicated below, I accept the Option subject to all of the terms and provisions of this Agreement (including Schedule I) and the Plan, as may be amended in accordance with its terms.  I agree to accept as binding, conclusive, and final all decisions or interpretations of the Administrator concerning any questions arising under the Plan and this Agreement with respect to the Option.

NO ONE MAY SELL, TRANSFER, OR DISTRIBUTE THE OPTION OR THE SECURITIES THAT MAY BE PURCHASED UPON EXERCISE OF THE OPTION WITHOUT AN EFFECTIVE REGISTRATION STATEMENT RELATING THERETO OR AN OPINION OF COUNSEL SATISFACTORY TO SCHOOL SPECIALTY, INC. OR OTHER INFORMATION AND REPRESENTATIONS SATISFACTORY TO SCHOOL SPECIALTY, INC. THAT SUCH REGISTRATION IS NOT REQUIRED.

		
	Employee

By:  /s/ Joseph M. Yorio                                    

       Joseph M. Yorio

Date:  March 23, 2016

	SCHOOL SPECIALTY, INC.

By:  /s/ James R. Henderson                                

Title:  Chairman of the Board

Date:  March 23, 2016

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 Grant No. 1

SCHOOL SPECIALTY, INC.

2014 INCENTIVE PLAN

AMENDED AND RESTATED STOCK OPTION AGREEMENT

SCHEDULE I

Optionee Information:

Name:

Joseph M. Yorio

Option Information:

Option:  32,608 Option Shares

Exercise Price per Share: $130.00

Date of Grant:  April 24, 2014

Term Expiration Date:  April 24, 2024

Type of Option:  Nonqualified Stock Options

		
	Option Vesting Provisions

	Except as otherwise provided in the Plan and this Agreement, the Option will vest as to one-fourth of the Option Shares on each of the first, second, third and fourth anniversaries of the Date of Grant.

	Option Exercisability Provisions

	No portion of this Option may be exercised until such portion vests, and then only in accordance with the Plan and this Agreement.  Any unvested portions of the Option will vest and become exercisable upon a Change in Control.

	Option Expiration Rules

	Any unvested portions of the Option will expire immediately after you cease to be employed by the Company, after taking into account any accelerated vesting as provided above. Any vested and exercisable portions of the Option will remain exercisable until the earliest of the following to occur, and then immediately expire:

	 
	·

termination of your employment by the Company for Cause upon your voluntary termination of employment or termination upon your nonextension of the Employment Agreement between the Company and you dated as of March 23, 2016 (the “Employment Agreement”)

·

on the 90th day after termination of employment by the Company without Cause, your resignation with Good Reason or termination upon the Company’s nonextension of the Employment Agreement

·

the earlier of (i) 180 days after your termination of employment due to a Disability (as defined in the Employment Agreement) and (ii) 30 days after you cease to have a Disability that resulted in the termination of your 

5

			
	 
	employment

·

180 days after termination of your employment due to your death 

·

if you violate Articles IV, V, VI, VII, VIII, IX or X of the Employment Agreement

the Term Expiration Date

	 
	 

6Exhibit 10.3

SCHOOL SPECIALTY, INC.

2014 INCENTIVE PLAN

RESTRICTED STOCK UNIT AGREEMENT

School Specialty, Inc. (the “Company”) hereby grants you a Restricted Stock Unit Award (the “RSU Award”) under the 2014 Incentive Plan of School Specialty, Inc. (the “Plan”).  This RSU Award entitles you to a number of shares of the Company’s common stock (the “Shares”) equal to the number of restricted stock units (the “RSUs”) granted to you as set forth in in Schedule I to this Restricted Stock Unit Agreement (this “Agreement”), subject to the terms and conditions set forth in this Agreement. 

Schedule I to this Agreement provides the details of your RSU Award.  It specifies the number of RSUs you have been granted and the vesting schedule applicable to your RSU Award. 

The RSU Award is subject in all respects to the applicable provisions of the Plan.  This Agreement does not cover all of the rules that apply to the RSU Award under the Plan, and the Plan defines any terms in this Agreement that the Agreement does not define. 

In addition to the terms and restrictions in the Plan, the following terms and restrictions apply to the RSU Award:

		
	Vesting

	The RSUs you have been granted under the RSU Award shall vest pursuant to the vesting schedule in Schedule I to this Agreement.  If your employment is terminated for any reason, the vesting of the RSUs shall, on the date of such termination, cease and any unvested RSUs shall be forfeited by you and revert to the Company.  Unless otherwise adjusted by the Administrator in accordance with the Plan, you shall be entitled to receive one Share for each RSU that vests.  

	 
	 

	Shareholder Status

	You understand and agree that the Company will not consider you a stockholder, and you do not have any rights or privileges of a stockholder for any purpose with respect to any of the RSUs granted under the RSU Award or any Shares distributable with respect to any RSUs until such Shares are so distributed.  

	 
	 

	Issuance and Delivery 

of Shares

	In accordance with the Plan, the Company shall ascribe to you a number of Shares underlying the RSUs that vest, less any Shares used to satisfy the obligation to withhold income and/or employment taxes in connection with the vesting of any RSUs, as soon as administratively practical following the date your RSUs vest but in no event later than 60 days following the date your RSUs vest.

	 
	 

	Taxes

	The Company may require payment of or withhold any income or employment tax which it believes is payable as a result of vesting of the RSUs or any payments thereon or in connection therewith, and the Company may defer making delivery with respect to the Shares until arrangements satisfactory to the Company have been made with regard to any such withholding obligation.  The Company may withhold Shares to satisfy such withholding obligations.

		
	Expiration

	If all or any portion of the RSUs granted under this RSU Award do not vest in accordance with the vesting schedule in Schedule 1 to this Agreement, this Agreement shall expire and all unvested RSUs shall be forfeited by you and revert to the Company.

	 
	 

	No Effect on

Employment 

Or Other 

Relationship 

	Nothing in this Agreement restricts the Company’s rights or those of any 

of its affiliates to terminate your employment or other relationship at any 

time, with or without cause.  The termination of employment or other

relationship, whether by the Company or any of its affiliates or otherwise, and regardless of the reason for such termination, has the consequences provided for under this Agreement.

	 
	 

	Governing Law

	The laws of the State of Delaware will govern all matters relating to this Agreement, without regard to the principles of conflict of laws, except to the extent superseded by the laws of the United States of America.

	 
	 

	Notices

	Any notice you give to the Company must follow the procedures then in effect under the Plan and this Agreement.  If no other procedures apply, you must deliver your notice in writing by hand or by mail to the office of the Assistant Secretary.  If mailed, you should address it to the Company’s Assistant Secretary at the Company’s then corporate headquarters, unless the Company directs Participants to send notices to another corporate department or to a third party administrator or specifies another method of transmitting notice.  The Company will address any notices to you at your office or home address as reflected on the Company’s personnel or other business records.  You and the Company may change the address for notice by like notice to the other, and the Company can also change the address for notice by general announcements to Participants.

	 
	 

	Plan Governs

	Wherever a conflict may arise between the terms of this Agreement and the terms of the Plan, the terms of the Plan will control; provided, however that this Agreement may impose greater restrictions on, or grant lesser rights, than the Plan.  The Administrator may adjust the number of Shares and other terms of the RSU Award from time to time as the Plan provides.

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SCHOOL SPECIALTY, INC.

2014 INCENTIVE PLAN 

RESTRICTED STOCK UNIT AGREEMENT

PARTICIPANT ACKNOWLEDGEMENT

I acknowledge I received a copy of the Plan and this Agreement (including Schedule I).  I represent that I have read and am familiar with the terms of the Plan and this Agreement (including Schedule I).  By signing where indicated below, I accept the RSU Award subject to all of the terms and provisions of this Agreement (including Schedule I) and the Plan, as may be amended in accordance with its terms.  I agree to accept as binding, conclusive, and final all decisions or interpretations of the Administrator concerning any questions arising under the Plan and this Agreement with respect to the RSU Award.  

		
	EMPLOYEE

By:                                                                      

       

Date:  

	SCHOOL SPECIALTY, INC.

By:                                                                          

Title:  

Date:  

SCHOOL SPECIALTY, INC.

2014 INCENTIVE PLAN

RESTRICTED STOCK UNIT AGREEMENT

SCHEDULE I

Participant Information:

Name:

                             

Restricted Stock Unit Information:

RSUs Granted :                                

RSUs

Date of Grant:                    

RSU Vesting Provisions

1.

Vesting Schedule.  A certain percentage of the RSUs granted to you above will vest on the third anniversary of the date of grant (the “Vesting Date”), such percentage determined by the 15 Day Volume Weighted Average Price (“15 Day VWAP”) of the Company’s common stock prior to the Vesting Date.  The percentage of RSUs that vest shall be determined in accordance with the following vesting schedule:

		
	 Vesting Schedule

	Percentage of RSUs Vesting on Vesting Date 

	15 Day VWAP

	0% of the total RSUs

	Less Than $108

	20% of the total RSUs

	At Least $108.00 But Less Than $118.00

	40% of the total RSUs

	At Least $118.00 But Less Than $128.00

	60% of the total RSUs

	At Least $128.00 But Less Than $138.00

	80% of the total RSUs

	At Least $138.00 But Less Than $148 .00

	100% of the total RSUs

	At Least $148.00

For purposes of this Agreement, the 15 Day VWAP shall be equal to the sum of the number of shares of the Company’s common stock purchased over a 15 day period multiplied by the various share purchase prices paid per share on each share purchased divided by the total number of shares of the Company’s common stock purchased in a “reported trade” over such 15 day period (i.e., [Number of Company’s shares of common stock purchased during a 15 day period x sum of prices paid for each individual share]/[Number of Company’s shares of common stock purchased during the 15 day period]).  The 15 day period is composed of the most recent 15 days on which trades on the stock have occurred which were “reported trades” ending immediately prior to the Vesting Date. For purposes of this Agreement, “reported trade” means any trade of the Company’s shares of common stock which is reported on the OTCQB Marketplace (or if the common stock is not then traded on the OTCQB Marketplace, reported on any other exchange or inter-dealer quotation system on which the common stock is listed). 

Any unvested RSUs as of the Vesting Date shall be forfeited.  

2.

Change in Control.  Notwithstanding the foregoing or any provision in the Agreement or Plan to the contrary, in the event of a Change in Control prior to the Vesting Date, a percentage of the RSUs granted above shall vest in accordance with the vesting schedule set forth in Section 1 of this Schedule I, except the Change in Control Price shall be substituted for the 15 day VWAP to determine 

the number of RSUs that shall vest upon such a Change in Control.  For purposes of this Agreement, Change in Control Price means the price per share that each shareholder of the Company receives for their common stock in a Change in Control.  If a Change in Control occurs by reason of a sale of the Company’s assets, the Change in Control Price shall be equal to the average price of a share of common stock in a “reported trade” on the last trading day immediately prior to the date of closing of the Change in Control.  If the consideration received by the Company’s shareholders consists in whole or in part of securities of another entity or property other than money (the foregoing being called “Noncash Consideration”), the Administrator shall value such Noncash Consideration for purposes of determining the Change in Control Price.  If such Noncash Consideration consists of stock or other securities for which market quotations are readily available on an established securities market, the Administrator shall value such securities at the closing price on any exchange or market where such securities are traded on the closing date of the Change in Control or, if such securities are not traded on such date, on the first business day preceding such closing date on which such securities are traded and for which quotations are available.  If any such Noncash Consideration consists of property other than marketable securities, the Administrator shall make a good faith determination of the value of such Noncash Consideration.  The valuation of the Administrator of any Noncash Consideration shall be final, conclusive and binding upon all interested parties.  Any portion of Section 13 of the Plan relating to accelerated vesting shall not apply to this Award in the event of a Change in Control.  

Any unvested RSUs as of the date of the Change in Control shall be forfeited.

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