Document:

<PAGE>

                     FIRST AMENDMENT TO GUARANTEE AGREEMENT

                          Dated as of October 18, 2001

                                     Between

                              CALPINE CORPORATION,

                                  AS GUARANTOR

                                       and

                            WILMINGTON TRUST COMPANY,

                                   AS TRUSTEE

                        Amending the Guarantee Agreement

                          Dated as of October 18, 2001

<PAGE>

                This FIRST AMENDMENT TO GUARANTEE AGREEMENT, dated as of October
18, 2001 (the "First Amendment"), is between Calpine Corporation, a Delaware
corporation, as guarantor (the "Guarantor"), and Wilmington Trust Company, a
Delaware banking corporation, as trustee under the Indenture referred to below
("the Trustee").

                WHEREAS, the Guarantor executed and delivered the Guarantee
Agreement dated as of October 18, 2001 (the "Guarantee Agreement") to the
Trustee, which guarantees Securities (as defined below) issued under the
Indenture dated as of October 18, 2001 (the "Indenture") between Calpine Canada
Energy Finance II ULC, an unlimited liability company organized under the laws
of Nova Scotia, Canada (the "Company"), and the Trustee, as provided in the
Guarantee Agreement;

                WHEREAS, simultaneously with the execution of this First
Amendment, the Company is issuing Pound Sterling200,000,000 8-7/8% Senior Notes
Due October 15, 2011 (the "Sterling 8-7/8% Notes") and E175,000,000 8-3/8%
Senior Notes Due October 15, 2008 (the "Euro 8-3/8% Notes") pursuant to the
Indenture and the Guarantor is guaranteeing each Sterling 8-7/8% Note and each
Euro 8-3/8% Note pursuant to the Guarantee Agreement;

                WHEREAS, the Guarantor and the Trustee desire to amend the
Guarantee Agreement to add to the covenants of the Guarantor solely for the
benefit of the Holders (as defined below) of the Sterling 8-7/8% Notes and the
Holders of the Euro 8-3/8% Notes and to make related changes to the Guarantee
Agreement;

                WHEREAS, Section 4.01 of the Guarantee Agreement provides that
the Guarantee Agreement may be amended by the Guarantor and the Trustee without
notice to or the consent of any Securityholder (as defined below) for such
purpose provided certain conditions are met;

                WHEREAS, all things necessary to make this First Amendment a
valid agreement of the Guarantor and the Trustee, in accordance with its terms,
and a valid amendment of the Guarantee Agreement have been done.

                NOW THEREFORE, for and in consideration of the premises and
mutual covenants herein contained, the Guarantor and the Trustee agree as
follows:

                                    ARTICLE I

                                   DEFINITIONS

                Section 1.1 Definition of Terms.

                Unless the context otherwise requires:

                (a) capitalized terms used herein that are not otherwise defined
herein shall have the meaning assigned to such terms in the Guarantee Agreement;

                (b) the singular includes the plural and vice versa; and

                (c) headings are for convenience of reference only and do not
affect interpretation.

<PAGE>

                                   ARTICLE II
                      AMENDMENTS TO THE GUARANTEE AGREEMENT

                Section 2.1 Amendment.

                (a) Article V of the Guarantee Agreement is amended to add the
following new Section 5.06:

                SECTION 5.06. Performance by a Subsidiary of the Guarantor of
                Certain Covenants Under Term Debenture.

                Solely for the benefit of the Holders of Sterling 8-7/8% Notes
                and the Holders of Euro 8-3/8% Notes, the Guarantor shall cause
                Calpine Canada Resources Ltd., a wholly-owned subsidiary of the
                Guarantor, to comply in all respects with its obligations under
                Section 7.1 of the Term Debenture, dated August 23, 2001,
                between the Company and Calpine Canada Resources Ltd.

                (b) Article II of the Guarantee Agreement is amended to add the
following new Section 2.05:

                SECTION 2.05. Additional Amounts.

                Whenever in this Guarantee Agreement there is mentioned, in any
                context, the payment of, or the guarantee of the payment of, the
                principal of or any premium, interest or any other amounts on,
                or in respect of, any Security of any Series, such mention shall
                be deemed to include mention of the payment of any additional
                amounts provided by the terms of the Sterling 8-7/8% Notes or
                the Euro 8-3/8% Notes, as applicable, established pursuant to
                the Indenture to the extent that, in such context, additional
                amounts are, were or would be payable in respect thereof
                pursuant to such terms, and express mention of the payment of,
                or the guarantee of the payment of, additional amounts (if
                applicable) in any provision hereof shall not be construed as
                excluding the payment of, or the guarantee of the payment of,
                additional amounts in those provisions hereof where such express
                mention is not made.

                                   ARTICLE III
                                  MISCELLANEOUS

                Section 3.1 Ratification of Guarantee Agreement.

                The Guarantee Agreement, as supplemented by this First
Amendment, is in all respects ratified and confirmed and this First Amendment
shall be deemed part of the Guarantee Agreement in the manner and to the extent
herein and therein provided.

                Section 3.2 Governing Law.

                The laws of the State of New York govern this First Amendment,
without regard to the conflicts of laws rules thereof.

                                       2
<PAGE>

                Section 3.3 Separability Clause.

                In case any provision in this First Amendment shall be invalid,
illegal or unenforceable, the validity, legality and enforceability of the
remaining provisions shall not in any way be affected or impaired thereby.

                Section 3.4 Duplicate Originals.

                The parties may sign any number of copies of this First
Amendment. One signed copy is enough to prove this First Amendment.

                Section 3.5 Effectiveness.

                This First Amendment shall be effective and binding when
executed by the Guarantor and the Trustee.

                Section 3.6 Trustee Not Responsible for Recitals.

                The recitals herein contained are made by the Guarantor and not
by the Trustee and the Trustee assumes no responsibility for the correctness
thereof. The Trustee makes no representation as to the validity or sufficiency
of this First Amendment.

                                      * * *

                                       3
<PAGE>

                IN WITNESS WHEREOF, the parties hereto have caused this First
Amendment to be duly executed as of the day and year first above written.

                                            CALPINE CORPORATION,
                                            as Guarantor

                                            By:  /s/ ERIC PRYOR
                                                --------------------------------
                                                Eric Pryor
                                                Senior Vice President

Agreed and Accepted:

WILMINGTON TRUST COMPANY,
as Trustee under the Indenture

By:  /s/ BRUCE L. BISSON
    --------------------------------
    Name:
    Title: Vice President

                                       4<PAGE>
                                                                    Exhibit 10.5

                             TURNSTONE SYSTEMS, INC.

             AMENDED AND RESTATED 2000 EMPLOYEE STOCK PURCHASE PLAN

                     ADOPTED BY THE BOARD ON OCTOBER 3, 2001

The following constitute the provisions of the 2000 Employee Stock Purchase Plan
of Turnstone Systems, Inc.

        1. Purpose. The purpose of the Plan is to provide employees of the
Company and its Designated Affiliates with an opportunity to purchase Common
Stock of the Company. It is the intention of the Company to have the Plan
qualify as an "Employee Stock Purchase Plan" under Section 423 of the Internal
Revenue Code of 1986, as amended. The provisions of the Plan, accordingly, shall
be construed so as to extend and limit participation in a manner consistent with
the requirements of that section of the Code. In addition, this Plan includes a
non-Code Section 423 plan under which the Company may grant options and issue
shares that do not qualify under Code section 423 pursuant to such rules,
procedures or sub-plans adopted by the Board to achieve the desired tax or other
objectives in particular locations outside the United States ("U.S.").

        2. Definitions.

               (a)"Affiliate" shall mean any Subsidiary or other entity in which
the Company owns or controls an equity interest.

               (b)"Board" shall mean the Board of Directors of the Company or
any committee thereof designated by the Board of Directors of the Company in
accordance with Section 14 of the Plan.

               (c)"Code" shall mean the Internal Revenue Code of 1986, as
amended.

               (d)"Common Stock" shall mean the common stock of the Company.

               (e)"Company" shall mean Turnstone Systems, Inc., a Delaware
Corporation, and any Designated Affiliate of the Company.

               (f)"Compensation" shall mean all base straight time gross
earnings and commissions, but exclusive of payments for overtime, shift premium,
incentive compensation, incentive payments, bonuses and other compensation.

               (g)"Designated Affiliate" shall mean any Affiliate that has been
designated by the Board from time to time in its sole discretion as eligible to
participate in the Plan.

                                      -1-
<PAGE>
               (h)"Employee" shall mean any individual who is an Employee of the
Company for tax purposes. For purposes of the Plan, the employment relationship
shall be treated as continuing intact while the individual is on sick leave or
other leave of absence approved by the Company. Where the period of leave
exceeds 90 days and the individual's right to reemployment is not guaranteed
either by statute or by contract, the employment relationship shall be deemed to
have terminated on the 91st day of such leave.

               (i)"Enrollment Date" shall mean the first Trading Day of each
Offering Period.

               (j)"Exercise Date" shall mean the last Trading Day of each
Purchase Period.

               (k)"Fair Market Value" shall mean, as of any date, the value of
Common Stock determined as follows:

                          (i) If the Common Stock is listed on any established
stock exchange or a national market system, including without limitation the
Nasdaq National Market or The Nasdaq SmallCap Market of The Nasdaq Stock Market,
its Fair Market Value shall be the closing sales price for such stock (or the
closing bid, if no sales were reported) as quoted on such exchange or system for
the last market trading day prior to the date of determination, as reported in
The Wall Street Journal or such other source as the Board deems reliable;

                          (ii) If the Common Stock is regularly quoted by a
recognized securities dealer but selling prices are not reported, its Fair
Market Value shall be the mean of the closing bid and asked prices for the
Common Stock prior to the date of determination, as reported in The Wall Street
Journal or such other source as the Board deems reliable;

                          (iii) In the absence of an established market for the
Common Stock, the Fair Market Value thereof shall be determined in good faith by
the Board; or

                          (iv) For purposes of the Enrollment Date of the first
Offering Period under the Plan, the Fair Market Value shall be the initial price
to the public as set forth in the final prospectus included within the
registration statement in Form S-1 filed with the U.S. Securities and Exchange
Commission for the initial public offering of the Company's Common Stock (the
"Registration Statement").

               (l) "Offering Periods" shall mean the periods of approximately
twenty-four (24) months during which an option granted pursuant to the Plan may
be exercised, commencing on the first Trading Day on or after November 1 and May
1 of each year and terminating on the last Trading Day in the periods ending
twenty-four months later; provided, however, that the first Offering Period
under the Plan shall commence with the first Trading Day on or after the date on
which the U.S. Securities and Exchange Commission declares the Company's
Registration Statement effective and end on the last Trading Day on or before
October 31, 2001. The duration and timing of Offering Periods may be changed
pursuant to Section 4 of this Plan.

               (m) "Plan" shall mean this 2000 Employee Stock Purchase Plan.

                                      -2-
<PAGE>
               (n) "Purchase Period" shall mean the approximately six-month
period commencing after one Exercise Date and ending with the next Exercise
Date, except that the first Purchase Period of any Offering Period shall
commence on the Enrollment Date and end with the next Exercise Date; provided,
however, that the first Purchase Period under the Plan shall commence with the
first Trading Day on or after the date on which the U.S. Securities and Exchange
Commission declares the Company's Registration Statement effective and end on
the last Trading Day on or before October 31, 2000.

               (o) "Purchase Price" shall mean 85% of the Fair Market Value of a
share of Common Stock on the Enrollment Date or on the Exercise Date, whichever
is lower; provided however, that the Purchase Price may be adjusted by the Board
pursuant to Section 20.

               (p) "Reserves" shall mean the number of shares of Common Stock
covered by each option under the Plan which have not yet been exercised and the
number of shares of Common Stock which have been authorized for issuance under
the Plan but not yet placed under option.

               (q) "Subsidiary" shall mean any corporation (other than the
Company), domestic or foreign, whether or not such corporation now exists or is
hereafter organized or acquired by the Company or a Subsidiary, in an unbroken
chain of corporations beginning with the Company if, at the time of granting
options under the Plan, each of the corporations (other than the last
corporation) in the unbroken chain owns stock possessing 50% or more of the
total combined voting power of all classes of stock in one of the other
corporations in such chain.

               (r) "Trading Day" shall mean a day on which national stock
exchanges and the Nasdaq System are open for trading.

        3. Eligibility.

               (a) Any Employee who shall be employed by the Company on a given
Enrollment Date shall be eligible to participate in the Plan.

               (b) Any provisions of the Plan to the contrary notwithstanding,
no Employee shall be granted an option under the Plan (i) to the extent that,
immediately after the grant, such Employee (or any other person whose stock
would be attributed to such Employee pursuant to Section 424(d) of the Code)
would own capital stock of the Company and/or hold outstanding options to
purchase such stock possessing five percent (5%) or more of the total combined
voting power or value of all classes of the capital stock of the Company or of
any Subsidiary, or (ii) to the extent that his or her rights to purchase stock
under all employee stock purchase plans of the Company and its Subsidiaries
accrues at a rate which exceeds Twenty-Five Thousand Dollars (U.S.$25,000) worth
of stock (determined at the fair market value of the shares at the time such
option is granted) for each calendar year in which such option is outstanding at
any time.

        4. Offering Periods. The Plan shall be implemented by consecutive,
overlapping Offering Periods with a new Offering Period commencing on the first
Trading Day on or after November 1 and May 1 each year, or on such other date as
the Board shall determine, and continuing thereafter

                                      -3-
<PAGE>
until terminated in accordance with Section 20 hereof; provided, however, that
the first Offering Period under the Plan shall commence with the first Trading
Day on or after the date on which the U.S. Securities and Exchange Commission
declares the Company's Registration Statement effective and ending on the last
Trading Day on or before October 31, 2001. The Board shall have the power to
change the duration of Offering Periods (including the commencement dates
thereof) with respect to future offerings without shareholder approval if such
change is announced at least five (5) days prior to the scheduled beginning of
the first Offering Period to be affected thereafter.

        5. Participation.

               (a) An eligible Employee may become a participant in the Plan by
completing a subscription agreement authorizing contributions to the Plan in the
form provided by the Company and filing it prior to the applicable Enrollment
Date with (i) the Company's payroll office for eligible Employees employed by
the Company or (ii) the officer or other designate of the applicable Designated
Affiliate responsible for administering the Plan for eligible Employees employed
by any such Designated Affiliate. The Board shall have the power to establish a
date prior to the applicable Enrollment Date by which all enrollment forms for
that Enrollment Date must be received by the Company.

               (b) Contributions to the Plan by a participant shall commence on
the first payroll following the Enrollment Date and shall end on the last
payroll in the Offering Period to which such authorization is applicable, unless
sooner terminated by the participant as provided in Section 10 hereof.

        6. Payroll Deductions/Contributions.

               (a) At the time a participant files his or her subscription
agreement, he or she shall elect to contribute to the Plan in the form of
payroll deductions made on each pay day during the Offering Period in an amount
not exceeding fifteen percent (15%) of the Compensation which he or she receives
on each pay day during the Offering Period, unless the participant resides in a
country which does not permit participation in the Plan by means of payroll
deductions in which case the Board may authorize participation by an alternative
method. The Board shall have the power to change the percentage of the
Compensation which a participant elects to contribute to the Plan.

               (b)All payroll deductions made for a participant shall be
credited to his or her account under the Plan and shall be withheld in whole
percentages only.

               (c) A participant may discontinue his or her participation in the
Plan as provided in Section 10 hereof, or may increase or decrease the rate of
his or her payroll deductions during the Offering Period by completing or filing
with the Company a new subscription agreement authorizing a change in payroll
deduction rate. The Board may, in its discretion, limit the number of
participation rate changes during any Offering Period. The change in rate shall
be effective with the first full payroll period following five (5) business days
after the Company's receipt of the new subscription agreement unless the Company
elects to process a given change in participation more

                                      -4-
<PAGE>
quickly. A participant's subscription agreement shall remain in effect for
successive Offering Periods unless terminated as provided in Section 10 hereof.

               (d) Notwithstanding the foregoing, to the extent necessary to
comply with Section 423(b)(8) of the Code and Section 3(b) hereof, a
participant's contributions to the Plan may be decreased at any time during a
Purchase Period. Contributions to the Plan shall recommence at the rate provided
in such participant's subscription agreement at the beginning of the first
Purchase Period which is scheduled to end in the following calendar year, unless
terminated by the participant as provided in Section 10 hereof.

               (e) At the time the option is exercised, in whole or in part, or
at the time some or all of the Company's Common Stock issued under the Plan is
disposed of, the participant must make adequate provision for the Company's
federal, state, or other tax and social charges withholding obligations, if any,
which arise upon the exercise of the option or the disposition of the Common
Stock. At any time, the Company may, but shall not be obligated to, withhold
from the participant's compensation the amount necessary for the Company to meet
applicable withholding obligations, including any withholding required to make
available to the Company any tax deductions or benefits attributable to sale or
early disposition of Common Stock by the Employee.

        7. Grant of Option. On the Enrollment Date of each Offering Period, each
eligible Employee participating in such Offering Period shall be granted an
option to purchase on each Exercise Date during such Offering Period (at the
applicable Purchase Price) up to a number of shares of the Company's Common
Stock determined by dividing such Employee's contributions to the Plan
accumulated prior to such Exercise Date and retained in the Participant's
account as of the Exercise Date by the applicable Purchase Price; provided that
in no event shall an Employee be permitted to purchase during each Purchase
Period more than 1,000 shares of the Company's Common Stock (subject to any
adjustment pursuant to Section 19), and provided further that such purchase
shall be subject to the limitations set forth in Sections 3(b) and 13 hereof.
The Board may, for future Offering Periods, increase or decrease, in its
absolute discretion, the maximum number of shares of the Company's Common Stock
an Employee may purchase during each Purchase Period of such Offering Period.
Exercise of the option shall occur as provided in Section 8 hereof, unless the
participant has withdrawn pursuant to Section 10 hereof. The option shall expire
on the last day of the Offering Period.

        8. Exercise of Option.

               (a) Unless a participant withdraws from the Plan as provided in
Section 10 hereof, his or her option for the purchase of shares shall be
exercised automatically on the Exercise Date, and the maximum number of full
shares subject to the option shall be purchased for such participant at the
applicable Purchase Price with the accumulated payroll deductions in his or her
account. No fractional shares shall be purchased; any payroll deductions
accumulated in a participant's account which are not sufficient to purchase a
full share shall be maintained in the account and be used for the purchase of
shares in the next Purchase Period, unless otherwise restricted by local law.
Any other monies left over in a participant's account after the Exercise Date
shall also be maintained in the account and be used for the purchase of shares
in the next Purchase Period, unless otherwise

                                      -5-
<PAGE>
restricted by local law. During a participant's lifetime, a participant's option
to purchase shares hereunder is exercisable only by him or her.

               (b) If the Board determines that, on a given Exercise Date, the
number of shares with respect to which options are to be exercised may exceed
(i) the number of shares of Common Stock that were available for sale under the
Plan on the Enrollment Date of the applicable Offering Period, or (ii) the
number of shares available for sale under the Plan on such Exercise Date, the
Board may in its sole discretion (x) provide that the Company shall make a pro
rata allocation of the shares of Common Stock available for purchase on such
Enrollment Date or Exercise Date, as applicable, in as uniform a manner as shall
be practicable and as it shall determine in its sole discretion to be equitable
among all participants exercising options to purchase Common Stock on such
Exercise Date, and continue all Offering Periods then in effect, or (y) provide
that the Company shall make a pro rata allocation of the shares available for
purchase on such Enrollment Date or Exercise Date, as applicable, in as uniform
a manner as shall be practicable and as it shall determine in its sole
discretion to be equitable among all participants exercising options to purchase
Common Stock on such Exercise Date, and terminate any or all Offering Periods
then in effect pursuant to Section 20 hereof. The Company may make pro rata
allocation of the shares available on the Enrollment Date of any applicable
Offering Period pursuant to the preceding sentence, notwithstanding any
authorization of additional shares for issuance under the Plan by the Company's
shareholders subsequent to such Enrollment Date.

        9. Delivery. Upon the exercise of an option on each Exercise Date, the
Company shall deliver (by electronic or other means) to the participant a record
of the shares purchased, except as specified below. The Board may permit or
require that shares be deposited directly with a broker designated by the Board
(or a broker selected by the Board) or to a designated agent of the Company, and
the Board may utilize electronic or automated methods of share transfer. The
Board may require that shares be retained with such broker or agent for a
designated period of time (and may restrict dispositions during that period)
and/or may establish other procedures to permit tracking of disqualifying
dispositions of such shares or to restrict transfer of such shares.

        10. Withdrawal.

               (a) A participant may withdraw all but not less than all the
contributions to the Plan credited to his or her account and not yet used to
exercise his or her option under the Plan at any time by giving written notice
to the Company in the form of Exhibit A to this Plan. All of the participant's
contributions to the Plan credited to his or her account shall be paid to such
participant promptly after receipt of notice of withdrawal and such
participant's option for the Offering Period shall be automatically terminated,
and no further payroll deductions for the purchase of shares shall be made for
such Offering Period. If a participant withdraws from an Offering Period,
payroll deductions shall not resume at the beginning of the succeeding Offering
Period unless the participant delivers to the Company a new subscription
agreement.

               (b) A participant's withdrawal from an Offering Period shall not
have any effect upon his or her eligibility to participate in any similar plan
which may hereafter be adopted by the

                                      -6-
<PAGE>
Company or in succeeding Offering Periods which commence after the termination
of the Offering Period from which the participant withdraws.

        11. Termination of Employment.

               Upon a participant's ceasing to be an Employee, for any reason,
he or she shall be deemed to have elected to withdraw from the Plan and the
contributions to the Plan credited to such participant's account during the
Offering Period but not yet used to exercise the option shall be returned to
such participant or, in the case of his or her death, to the person or persons
entitled thereto under Section 15 hereof, if any, and such participant's option
shall be automatically terminated. The preceding sentence notwithstanding, a
participant who receives payment in lieu of notice of termination of employment
shall be treated as continuing to be an Employee for the participant's customary
number of hours per week of employment during the period in which the
participant is subject to such payment in lieu of notice.

        12. Interest. No interest shall accrue on the payroll deductions of a
participant in the Plan, unless required by local law.

        13. Stock.

               (a) Subject to adjustment upon changes in capitalization of the
Company as provided in Section 19 hereof, the maximum number of shares of the
Company's Common Stock which shall be made available for sale under the Plan
shall be 500,000 shares plus an annual increase to be added on the first day of
the Company's fiscal year beginning in 2001, equal to the lesser of (i) 750,000
shares, (ii) 2% of the outstanding shares on such date, or (iii) a lesser amount
determined by the Board.

               (b) The participant shall have no interest or voting right in
shares covered by his option until such option has been exercised.

               (c) Shares to be delivered to a participant under the Plan shall
be registered in the name of the participant or in the name of the participant
and his or her spouse.

        14. Administration.

               (a) The Plan shall be administered by the Board or a committee of
members of the Board appointed by the Board. The Board or its committee shall
have full and exclusive discretionary authority to construe, interpret and apply
the terms of the Plan, to determine eligibility and to adjudicate all disputed
claims filed under the Plan. Every finding, decision and determination made by
the Board or its committee shall, to the full extent permitted by law, be final
and binding upon all parties.

               (b) The Board has the discretion to adopt any rules regarding the
Plan administration to conform to local laws or to enable foreign (non-U.S.)
Employees of the Company to participate in the Plan at the discretion of the
Board. Without limiting the generality of the foregoing, the Board is
specifically authorized to adopt rules and procedures regarding handling of
payroll deductions,

                                      -7-
<PAGE>
payment of interest and handling of stock certificates which vary according to
local requirements. The Board has the authority to suspend or limit foreign
(non-U.S.) participation in the Plan for any reason, including administrative or
economic reasons. The Board may also adopt rules, procedures or sub-plans
applicable to particular Affiliates or locations, which sub-plans may be
designed to be outside the scope of Code Section 423.

        15. Designation of Beneficiary.

               (a) A U.S. participant may file a written designation of a
beneficiary who is to receive any shares and cash, if any, from the
participant's account under the Plan in the event of such participant's death
subsequent to an Exercise Date on which the option is exercised but prior to
delivery to such participant of such shares and cash. In addition, a U.S.
participant may file a written designation of a beneficiary who is to receive
any cash from the participant's account under the Plan in the event of such
participant's death prior to exercise of the option. If a U.S. participant is
married and the designated beneficiary is not the spouse, spousal consent shall
be required for such designation to be effective.

               (b) Such designation of beneficiary may be changed by the U.S.
participant at any time by written notice. In the event of the death of a U.S.
participant and in the absence of a beneficiary validly designated under the
Plan who is living at the time of such participant's death, the Company shall
deliver such shares and/or cash to the executor or administrator of the estate
of the U.S. participant, or if no such executor or administrator has been
appointed (to the knowledge of the Company), the Company, in its discretion, may
deliver such shares and/or cash to the spouse or to any one or more dependents
or relatives of the U.S. participant, or if no spouse, dependent or relative is
known to the Company, then to such other person as the Company may designate.

               (c) Employees of a foreign (non-U.S.) Designated Affiliate may
not make a beneficiary designation unless they are U.S. citizens or U.S.
permanent residents and green card holders.

        16. Transferability. Neither contributions credited to a participant's
account nor any rights with regard to the exercise of an option or to receive
shares under the Plan may be assigned, transferred, pledged or otherwise
disposed of in any way (other than by will, the laws of descent and distribution
or as provided in Section 15 hereof) by the participant. Any such attempt at
assignment, transfer, pledge or other disposition shall be without effect,
except that the Company may treat such act as an election to withdraw funds from
an Offering Period in accordance with Section 10 hereof.

        17. Use of Funds. All contributions to the Plan received or held by the
Company under the Plan may be used by the Company for any corporate purpose, and
the Company shall not be obligated to segregate such contributions, unless
required by local law.

        18. Reports. Individual accounts shall be maintained for each
participant in the Plan. Statements of account shall be given to participating
Employees at least annually, which statements shall set forth the amounts of
payroll deductions, the Purchase Price, the number of shares purchased and the
remaining cash balance, if any.

                                      -8-
<PAGE>
        19. Adjustments Upon Changes in Capitalization, Dissolution,
Liquidation, Merger or Asset Sale.

               (a) Changes in Capitalization. Subject to any required action by
the shareholders of the Company, the Reserves, the maximum number of shares each
participant may purchase each Purchase Period (pursuant to Section 7), as well
as the price per share and the number of shares of Common Stock covered by each
option under the Plan which has not yet been exercised shall be proportionately
adjusted for any increase or decrease in the number of issued shares of Common
Stock resulting from a stock split, reverse stock split, stock dividend,
combination or reclassification of the Common Stock, or any other increase or
decrease in the number of shares of Common Stock effected without receipt of
consideration by the Company; provided, however, that conversion of any
convertible securities of the Company shall not be deemed to have been "effected
without receipt of consideration." Such adjustment shall be made by the Board,
whose determination in that respect shall be final, binding and conclusive.
Except as expressly provided herein, no issuance by the Company of shares of
stock of any class, or securities convertible into shares of stock of any class,
shall affect, and no adjustment by reason thereof shall be made with respect to,
the number or price of shares of Common Stock subject to an option.

               (b) Dissolution or Liquidation. In the event of the proposed
dissolution or liquidation of the Company, the Offering Period then in progress
shall be shortened by setting a new Exercise Date (the "New Exercise Date"), and
shall terminate immediately prior to the consummation of such proposed
dissolution or liquidation, unless provided otherwise by the Board. The New
Exercise Date shall be before the date of the Company's proposed dissolution or
liquidation. The Board shall notify each participant in writing, at least ten
(10) business days prior to the New Exercise Date, that the Exercise Date for
the participant's option has been changed to the New Exercise Date and that the
participant's option shall be exercised automatically on the New Exercise Date,
unless prior to such date the participant has withdrawn from the Offering Period
as provided in Section 10 hereof.

               (c) Merger or Asset Sale. In the event of a proposed sale of all
or substantially all of the assets of the Company, or the merger of the Company
with or into another corporation, each outstanding option shall be assumed or an
equivalent option substituted by the successor corporation or a Parent or
Subsidiary of the successor corporation. In the event that the successor
corporation refuses to assume or substitute for the option, any Purchase Periods
then in progress shall be shortened by setting a new Exercise Date (the "New
Exercise Date") and any Offering Periods then in progress shall end on the New
Exercise Date. The New Exercise Date shall be before the date of the Company's
proposed sale or merger. The Board shall notify each participant in writing, at
least ten (10) business days prior to the New Exercise Date, that the Exercise
Date for the participant's option has been changed to the New Exercise Date and
that the participant's option shall be exercised automatically on the New
Exercise Date, unless prior to such date the participant has withdrawn from the
Offering Period as provided in Section 10 hereof.

        20. Amendment or Termination.

               (a) The Board of Directors of the Company may at any time and for
any reason terminate or amend the Plan. Except as provided in Section 19 hereof,
no such termination can

                                      -9-
<PAGE>
affect options previously granted, provided that an Offering Period may be
terminated by the Board on any Exercise Date if the Board determines that the
termination of the Offering Period or the Plan is in the best interests of the
Company and its shareholders. Except as provided in Section 19 and this Section
20 hereof, no amendment may make any change in any option theretofore granted
which adversely affects the rights of any participant. To the extent necessary
to comply with Section 423 of the Code (or any successor rule or provision or
any other applicable law, regulation or stock exchange rule), the Company shall
obtain shareholder approval in such a manner and to such a degree as required.

               (b) Without shareholder consent and without regard to whether any
participant rights may be considered to have been "adversely affected," the
Board shall be entitled to change the Offering Periods, limit the frequency
and/or number of changes in the amount withheld during an Offering Period,
establish the exchange ratio applicable to amounts withheld in a currency other
than U.S. dollars, permit payroll withholding in excess of the amount designated
by a participant in order to adjust for delays or mistakes in the Company's
processing of properly completed withholding elections, establish reasonable
waiting and adjustment periods and/or accounting and crediting procedures to
ensure that amounts applied toward the purchase of Common Stock for each
participant properly correspond with amounts withheld from the participant's
Compensation, and establish such other limitations or procedures as the Board
determines in its sole discretion advisable which are consistent with the Plan.

               (c) In the event the Board determines that the ongoing operation
of the Plan may result in unfavorable financial accounting consequences, the
Board may, in its discretion and, to the extent necessary or desirable, modify
or amend the Plan to reduce or eliminate such accounting consequence including,
but not limited to:

                          (i) altering the Purchase Price for any Offering
Period including an Offering Period underway at the time of the change in
Purchase Price;

                          (ii) shortening any Offering Period so that Offering
Period ends on a new Exercise Date, including an Offering Period underway at the
time of the Board action; and

                          (iii) allocating shares.

               Such modifications or amendments shall not require stockholder
approval or the consent of any Plan participants.

        21. Notices. All notices or other communications by a participant to the
Company under or in connection with the Plan shall be deemed to have been duly
given when received in the form specified by the Company at the location, or by
the person, designated by the Company for the receipt thereof.

        22. Conditions Upon Issuance of Shares. Shares shall not be issued with
respect to an option unless the exercise of such option and the issuance and
delivery of such shares pursuant thereto shall comply with all applicable
provisions of law, domestic or foreign, including, without limitation, the

                                      -10-
<PAGE>
U.S. Securities Act of 1933, as amended, the U.S. Securities Exchange Act of
1934, as amended, the rules and regulations promulgated thereunder, and the
requirements of any stock exchange upon which the shares may then be listed, and
shall be further subject to the approval of counsel for the Company with respect
to such compliance.

               As a condition to the exercise of an option, the Company may
require the person exercising such option to represent and warrant at the time
of any such exercise that the shares are being purchased only for investment and
without any present intention to sell or distribute such shares if, in the
opinion of counsel for the Company, such a representation is required by any of
the aforementioned applicable provisions of law.

        23. Term of Plan. The Plan shall become effective upon the earlier to
occur of its adoption by the Board or its approval by the shareholders of the
Company. It shall continue in effect for a term of ten (10) years unless sooner
terminated under Section 20 hereof.

        24. Automatic Transfer to Low Price Offering Period. To the extent
permitted by any applicable laws, regulations, or stock exchange rules if the
Fair Market Value of the Common Stock on the Enrollment Date of a subsequent
Offering Period is lower than the Fair Market Value of the Common Stock on the
Enrollment Date of the current Offering Period, then all participants in the
current Offering Period shall be automatically withdrawn from the current
Offering Period and automatically re-enrolled in such subsequent Offering Period
as of the first day thereof.

                                      -11-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00031-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00031-of-00352.parquet"}]]