Document:

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                                                                    Exhibit 10.1

                       HAIGHTS CROSS COMMUNICATIONS, INC.

                   RESTATED 2000 STOCK OPTION AND GRANT PLAN

SECTION 1         GENERAL PURPOSE OF THE PLAN; DEFINITIONS
                  ----------------------------------------

         The name of the plan is the Haights Cross Communications, Inc. Restated
2000 Stock Option and Grant Plan (the "Plan"). The purpose of the Plan is to
encourage and enable the officers, employees, directors, consultants and other
key persons of Haights Cross Communications, Inc., a Delaware corporation (the
"Company"), and its Subsidiaries upon whose judgment, initiative and efforts the
Company largely depends for the successful conduct of its business to acquire a
proprietary interest in the Company. It is anticipated that providing such
persons with a direct stake in the Company's welfare will assure a closer
identification of their interests with those of the Company, thereby stimulating
their efforts on the Company's behalf and strengthening their desire to remain
with the Company.

         The following terms shall be defined as set forth below:

         "ACT" means the Securities Act of 1933, as amended, and the rules and
regulations thereunder.

         "AWARD" or "AWARDS," except where referring to a particular category of
grant under the Plan, shall include Incentive Stock Options, Non-Qualified Stock
Options, Restricted Stock Awards, Unrestricted Stock Awards, or any combination
of the foregoing.

         "BOARD" means the Board of Directors of the Company or its successor
entity.

         "CAUSE" means that the grantee has:

                  (i)      Acted with negligence or willful misconduct in
connection with the performance of his or her material duties;

                  (ii)     Acted in an insubordinate, recalcitrant, disobedient,
refractory, truculent, or unmanageable manner;

                  (iii)    Acted in a violent manner;

                  (iv)     Used abusive language toward any manager or employee;

                  (v)      Been the subject of excessive unreported or
unexcused absences;

                  (vi)     Committed a material act of common law fraud against
the Company or any of its officers;

                  (vii)    Been convicted of a felony;

                  (viii)   Breached a fiduciary duty owed to the Company;

                  (ix)     Embezzled assets of the Company;
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                  (x)      Failed to adequately treat a drug or alcohol
dependency problem which has an adverse impact on the performance of the
grantee's duties;

                  (xi)     Violated any material policy of the Company,
including the Company's Equal Employment and Harassment Policy; or

                  (xii)    Voluntarily resigned his or her employment with the
Company or any of its Subsidiaries.

         "CODE" means the Internal Revenue Code of 1986, as amended, and any
successor Code, and related rules, regulations and interpretations.

         "COMMITTEE" has the meaning specified in Section 2.

         "EFFECTIVE DATE" means the date on which the Plan is approved by
stockholders as set forth at the end of this Plan.

         "EXCHANGE ACT" means the Securities Exchange Act of 1934, as amended,
and the rules and regulations thereunder.

         "FAIR MARKET VALUE" of the Stock on any given date means the fair
market value of the Stock determined in good faith by the Committee; PROVIDED,
HOWEVER, that (i) if the Stock is admitted to quotation on the National
Association of Securities Dealers Automated Quotation System ("NASDAQ"), the
Fair Market Value on any given date shall not be less than the average of the
highest bid and lowest asked prices of the Stock reported for such date or, if
no bid and asked prices were reported for such date, for the last day preceding
such date for which such prices were reported, or (ii) if the Stock is admitted
to trading on a national securities exchange or the NASDAQ National Market
System, the Fair Market Value on any date shall not be less than the last
reported closing price for the Stock on such exchange or system; PROVIDED
FURTHER, HOWEVER, that if the date for which Fair Market Value is determined is
the first day when trading prices for the Stock are reported on NASDAQ or
trading on a national securities exchange, the Fair Market Value shall be the
"Price to the Public" (or equivalent) set forth on the cover page for the final
prospectus relating to the Company's Initial Public Offering.

         "GOOD REASON" means the occurrence of any of the following events: (i)
a substantial adverse change in the nature or scope of the grantee's
responsibilities, authorities, powers, functions or duties; (ii) a reduction in
the grantee's annual base salary except for across-the-board salary reductions
similarly affecting all or substantially all management employees; or (iii) the
relocation of the offices at which the grantee is principally employed to a
location more than 50 miles from such offices.

         "INCENTIVE STOCK OPTION" means any Stock Option designated and
qualified as an "incentive stock option" as defined in Section 422 of the Code.

         "INITIAL PUBLIC OFFERING" means the consummation of the first fully
underwritten, firm commitment public offering pursuant to an effective
registration statement under the Act, other than on Forms S-4 or S-8 or their
then equivalents, covering the offer and sale by the Company of its equity
securities, or such other event as a result of or following which the Stock
shall be publicly held.

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         "NON-QUALIFIED STOCK OPTION" means any Stock Option that is not an
Incentive Stock Option.

         "OPTION" or "STOCK OPTION" means any option to purchase shares of Stock
granted pursuant to Section 5.

         "OUTSIDE DIRECTOR" means a member of the Board who is not also an
employee or officer of the Company or any Subsidiary.

         "RESTRICTED STOCK AWARD" means Awards granted pursuant to Section 6.

         "STOCK" means the Common Stock, par value $.001 per share, of the
Company, subject to adjustments pursuant to Section 3.

         "SUBSIDIARY" means any corporation, limited liability company or other
entity (other than the Company) in any unbroken chain of corporations, limited
liability companies or other entities beginning with the Company if each of the
corporations, limited liability companies or entities (other than the last
corporation or entity in the unbroken chain) owns stock or other interests
possessing 50 percent or more of the economic interest or the total combined
voting power of all classes of stock or other interests in one of the other
corporations, limited liability companies or entities in the chain.

         "UNRESTRICTED STOCK AWARD" means any Award granted pursuant to Section
7.

SECTION 2         ADMINISTRATION OF PLAN; COMMITTEE AUTHORITY TO SELECT
                  GRANTEES AND DETERMINE AWARDS
                  -----------------------------

         (a) ADMINISTRATION OF PLAN. The Plan shall be administered by the
Board, or at the discretion of the Board, by a committee of the Board,
comprised, except as contemplated by Section 2(c), of not less than two
Directors. All references herein to the Committee shall be deemed to refer to
the group then responsible for administration of the Plan at the relevant time
(i.e., either the Board of Directors or a committee or committees of the Board,
as applicable).

         (b) POWERS OF COMMITTEE. The Committee shall have the power and
authority to grant Awards consistent with the terms of the Plan, including the
power and authority:

             (i)      to select the individuals to whom Awards may from time to
 time be granted;

             (ii)     to determine the time or times of grant, and the extent,
if any, of Incentive Stock Options, Non-Qualified Stock Options, Restricted
Stock Awards, Unrestricted Stock Awards, or any combination of the foregoing,
granted to any one or more grantees;

             (iii)    to determine the number of shares of Stock to be covered
by any Award;

             (iv)     to determine and modify from time to time the terms and
conditions, including restrictions, not inconsistent with the terms of the Plan,
of any Award, which terms and conditions may differ among individual Awards and
grantees, and to approve the form of written instruments evidencing the Awards;

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             (v)      to accelerate at any time the exercisability or vesting of
 all or any portion of any Award;

             (vi)     to impose any limitations on Awards granted under the
Plan, including limitations on transfers, repurchase provisions and the like and
to exercise repurchase rights or obligations;

             (vii)    subject to the provisions of Section 5(a)(ii), to extend
at any time the period in which Stock Options may be exercised;

             (viii)   to determine at any time whether, to what extent, and
under what circumstances distribution or the receipt of Stock and other amounts
payable with respect to an Award shall be deferred either automatically or at
the election of the grantee and whether and to what extent the Company shall pay
or credit amounts constituting interest (at rates determined by the Committee)
or dividends or deemed dividends on such deferrals; and

             (ix)     to adopt, alter and repeal at any time such rules,
guidelines and practices for administration of the Plan and for its own acts and
proceedings as it shall deem advisable; to interpret the terms and provisions of
the Plan and any Award (including related written instruments); to make all
determinations it deems advisable for the administration of the Plan; to decide
all disputes arising in connection with the Plan; and to otherwise supervise the
administration of the Plan.

         All decisions and interpretations of the Committee shall be binding on
all persons, including the Company and Plan grantees.

         (c) DELEGATION OF AUTHORITY TO GRANT AWARDS. The Committee, in its
discretion, may delegate to the Chief Executive Officer of the Company all or
part of the Committee's authority and duties with respect to the granting of
Awards at Fair Market Value to individuals who are not subject to the reporting
and other provisions of Section 16 of the Exchange Act or "covered employees"
within the meaning of Section 162(m) of the Code. Any such delegation by the
Committee shall include a limitation as to the amount of Awards that may be
granted during the period of the delegation and shall contain guidelines as to
the determination of the exercise price of any Option, the conversion ratio or
price of other Awards and the vesting criteria of Awards. The Committee may
revoke or amend the terms of a delegation at any time but such action shall not
invalidate any prior actions of the Committee's delegate or delegates that were
consistent with the terms of the Plan.

         (d) INDEMNIFICATION. Neither the Board nor the Committee, nor any
member of either or any delegatee thereof, shall be liable for any act,
omission, interpretation, construction or determination made in good faith in
connection with the Plan, and the members of the Board and the Committee (and
any delegatee thereof) shall be entitled in all cases to indemnification and
reimbursement by the Company in respect of any claim, loss, damage or expense
(including, without limitation, reasonable attorneys' fees) arising or resulting
therefrom to the fullest extent permitted by law and/or under any directors' and
officers' liability insurance coverage which may be in effect from time to time.

SECTION 3    STOCK ISSUABLE UNDER THE PLAN; MERGERS; SUBSTITUTION
             ----------------------------------------------------

         (a) STOCK ISSUABLE. The maximum number of shares of Stock reserved and
available for issuance under the Plan shall be 2,400,000 shares, subject to
adjustment as provided in

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Section 3(b). For purposes of this limitation, the shares of Stock underlying
any Awards which are forfeited, canceled, reacquired by the Company, satisfied
without the issuance of Stock or otherwise terminated (other than by exercise)
shall be added back to the shares of Stock available for issuance under the
Plan. Subject to such overall limitation, shares of Stock may be issued up to
such maximum number pursuant to any type or types of Award. The shares available
for issuance under the Plan may be authorized but unissued shares of Stock or
shares of Stock reacquired by the Company and held in its treasury.

         (b) CHANGES IN STOCK. Subject to Section 3(c) hereof, if, as a result
of any reorganization, recapitalization, reclassification, stock dividend, stock
split, reverse stock split or other similar change in the Company's capital
stock, the outstanding shares of Stock are increased or decreased or are
exchanged for a different number or kind of shares or other securities of the
Company, or additional shares or new or different shares or other securities of
the Company or other non-cash assets are distributed with respect to such shares
of Stock or other securities, or, if, as a result of any merger, consolidation
or sale of all or substantially all of the assets of the Company, the
outstanding shares of Stock are converted into or exchanged for different number
or kind of securities of the Company or any successor entity (or a parent or
subsidiary thereof), the Committee shall make an appropriate or proportionate
adjustment in (i) the maximum number of shares reserved for issuance under the
Plan, (ii) the number of Stock Options that can be granted to any one individual
grantee, (iii) the number and kind of shares or other securities subject to any
then outstanding Awards under the Plan, (iv) the repurchase price per share
subject to each outstanding Restricted Stock Award, and (v) the exercise price
and/or exchange price for each share subject to any then outstanding Stock
Options under the Plan, without changing the aggregate exercise price (i.e., the
exercise price multiplied by the number of Stock Options ) as to which such
Stock Options remain exercisable. The adjustment by the Committee shall be
final, binding and conclusive. No fractional shares of Stock shall be issued
under the Plan resulting from any such adjustment, but the Committee in its
discretion may make a cash payment in lieu of fractional shares.

         The Committee may also adjust the number of shares subject to
outstanding Awards and the exercise price and the terms of outstanding Awards to
take into consideration material changes in accounting practices or principles,
extraordinary dividends, acquisitions or dispositions of stock or property or
any other event if it is determined by the Committee that such adjustment is
appropriate to avoid distortion in the operation of the Plan, PROVIDED THAT no
such adjustment shall be made in the case of an Incentive Stock Option, without
the consent of the grantee, if it would constitute a modification, extension or
renewal of the Option within the meaning of Section 424(h) of the Code.

         (c) MERGERS AND OTHER SALE EVENTS. In the case of and subject to the
consummation of (i) the dissolution or liquidation of the Company, (ii) the sale
of all or substantially all of the assets of the Company on a consolidated basis
to an unrelated person or entity, (iii) a merger, reorganization or
consolidation in which the outstanding shares of Stock are converted into or
exchanged for a different kind of securities of the successor entity and the
holders of the Company's outstanding voting power immediately prior to such
transaction do not own a majority of the outstanding voting power of the
successor entity immediately upon completion of such transaction, or (iv) the
sale of all of the Stock of the Company to an unrelated person or entity (in
each case, regardless of the form thereof, a "Sale Event"), unless otherwise
provided in the Award agreement, the Plan and all outstanding Awards issued
hereunder shall terminate upon the effective time of any such Sale Event, unless
provision is made in connection with such transaction in the sole discretion of
the parties thereto for the assumption or continuation of Awards theretofore
granted (after taking into account any acceleration hereunder or under the

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Award Agreement) by the successor entity, or the substitution of such Awards
with new Awards of the successor entity or a parent or subsidiary thereof, with
such adjustment as to the number and kind of shares and the per share exercise
prices as such parties shall agree (after taking into account any acceleration
hereunder or under the Award Agreement). In the event of such termination, each
grantee shall be permitted, within a specified period of time prior to the
consummation of the Sale Event as determined by the Committee, to exercise all
outstanding Options held by such grantee which are then exercisable or will
become exercisable as of the effective time of the Sale Event; provided,
however, that the exercise of Options not exercisable prior to the Sale Event
shall be subject to the consummation of the Sale Event.

          Notwithstanding anything herein to the contrary, in the event that
provision is made in connection with the Sale Event for the assumption or
continuation of Awards, or the substitution of such Awards with new Awards of
the successor entity or parent thereof, then, except as the Committee may
otherwise determine with respect to particular Awards, any Award so assumed or
continued or substituted therefor shall be deemed vested and exercisable in full
upon the date on which the grantee's employment or service relationship with the
Company and its subsidiaries or successor entity, as the case may be, terminates
if such termination occurs (i) within 18 months after such Sale Event and (ii)
such termination is by the Company or its Subsidiaries or successor entity
without Cause or by the grantee for Good Reason.

         (d) SUBSTITUTE AWARDS. The Committee may grant Awards under the Plan in
substitution for stock and stock based awards held by employees, directors or
other key persons of another corporation in connection with a merger or
consolidation of the employing corporation with the Company or a Subsidiary or
the acquisition by the Company or a Subsidiary of property or stock of the
employing corporation. The Committee may direct that the substitute awards be
granted on such terms and conditions as the Committee considers appropriate in
the circumstances. Any substitute Awards granted under the Plan shall not count
against the share limitation set forth in Section 3(a).

SECTION 4    ELIGIBILITY
             -----------

         Grantees under the Plan will be such full or part-time officers,
employees, directors, consultants and other key persons (including prospective
employees) of the Company and its Subsidiaries who are responsible for, or
contribute to, the management, growth or profitability of the Company and its
Subsidiaries as are selected from time to time by the Committee in its sole
discretion.

SECTION 5    STOCK OPTIONS
             -------------

         Any Stock Option granted under the Plan shall be pursuant to a Stock
Option Agreement which shall be in such form as the Committee may from time to
time approve. Option agreements need not be identical.

         Stock Options granted under the Plan may be either Incentive Stock
Options or Non-Qualified Stock Options. Incentive Stock Options may be granted
only to employees of the Company or any Subsidiary that is a "subsidiary
corporation" within the meaning of Section 424(f) of the Code. To the extent
that any Option does not qualify as an Incentive Stock Option, it shall be
deemed a Non-Qualified Stock Option.

         No Incentive Stock Option shall be granted under the Plan after the
date which is 10 years from the date the Plan is approved by the Board.

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         (a) TERMS OF STOCK OPTIONS. Stock Options granted under the Plan shall
be subject to the following terms and conditions and shall contain such
additional terms and conditions, not inconsistent with the terms of the Plan, as
the Committee shall deem desirable. If the Committee so determines, Stock
Options may be granted in lieu of cash compensation at the grantee's election,
subject to such terms and conditions as the Committee may establish, as well as
in addition to other compensation.

                  (i) EXERCISE PRICE. The exercise price per share for the Stock
covered by a Stock Option shall be determined by the Committee at the time of
grant but shall not be less than 100 percent of the Fair Market Value on the
date of grant in the case of Incentive Stock Options. If an employee owns or is
deemed to own (by reason of the attribution rules of Section 424(d) of the Code)
more than 10 percent of the combined voting power of all classes of stock of the
Company or any parent or subsidiary corporation and an Incentive Stock Option is
granted to such employee, the option price of such Incentive Stock Option shall
be not less than 110 percent of the Fair Market Value on the grant date.

                  (ii) OPTION TERM. The term of each Stock Option shall be fixed
by the Committee, but no Stock Option shall be exercisable more than 10 years
after the date the Stock Option is granted. If an employee owns or is deemed to
own (by reason of the attribution rules of Section 424(d) of the Code) more than
10 percent of the combined voting power of all classes of stock of the Company
or any parent or subsidiary corporation and an Incentive Stock Option is granted
to such employee, the term of such Stock Option shall be no more than five years
from the date of grant.

                  (iii) EXERCISABILITY; RIGHTS OF A STOCKHOLDER. Stock Options
shall become exercisable at such time or times, whether or not in installments,
as shall be determined by the Committee at or after the grant date. The
Committee may at any time accelerate the exercisability of all or any portion of
any Stock Option. An optionee shall have the rights of a stockholder only as to
shares acquired upon the exercise of a Stock Option and not as to unexercised
Stock Options.

                  (iv) METHOD OF EXERCISE. Stock Options may be exercised in
whole or in part, by giving written notice of exercise to the Company,
specifying the number of shares to be purchased. Payment of the purchase price
may be made by one or more of the following methods to the extent provided in
the Award agreement:

                           (A)      In cash, by certified or bank check, other
instrument acceptable to the Committee in U.S. funds payable to the order of the
Company in an amount equal to the aggregate exercise price of such Option
Shares;

                           (B)      By the optionee delivering to the Company a
promissory note if the Board has expressly authorized the loan of funds to the
optionee for the purpose of enabling or assisting the optionee to effect the
exercise of his or her Stock Option; provided that at least so much of the
exercise price as represents the par value of the Stock shall be paid other than
with a promissory note if otherwise required by state law;

                           (C)      If  permitted by the Committee, through the
delivery (or attestation to the ownership) of shares of Stock that have been
purchased by the optionee on the open market or have been beneficially owned by
the optionee for at least six months and are not

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then subject to restrictions under any Company plan. Such surrendered shares
shall be valued at Fair Market Value on the exercise date;

                           (D)      If permitted by the Committee, by the
optionee 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 purchase price;
PROVIDED that in the event the optionee chooses to pay the purchase price as so
provided, the optionee and the broker shall comply with such procedures and
enter into such agreements of indemnity and other agreements as the Committee
shall prescribe as a condition of such payment procedure.

         Payment instruments will be received subject to collection. No
certificates for shares of Stock so purchased will be issued to optionee until
the Company has completed all steps required by law to be taken in connection
with the issuance and sale of the shares, including without limitation (i)
receipt of a representation from the optionee at the time of exercise of the
Option that the optionee is purchasing the shares for the optionee's own account
and not with a view to any sale or distribution thereof, (ii) the legending of
any certificate representing the shares to evidence the foregoing
representations and restrictions, and (iii) obtaining from optionee payment or
provision for all withholding taxes due as a result of the exercise of the
Option. The delivery of certificates representing the shares of Stock to be
purchased pursuant to the exercise of a Stock Option will be contingent upon
receipt from the optionee (or a purchaser acting in his or her stead in
accordance with the provisions of the Stock Option) by the Company of the full
purchase price for such shares and the fulfillment of any other requirements
contained in the Option Award agreement or applicable provisions of laws. In the
event an optionee chooses to pay the purchase price by previously-owned shares
of Stock through the attestation method, the shares of Stock transferred to the
optionee upon the exercise of the Stock Option shall be net of the number of
shares attested to.

         (b) ANNUAL LIMIT ON INCENTIVE STOCK OPTIONS. To the extent required for
"incentive stock option" treatment under Section 422 of the Code, the aggregate
Fair Market Value (determined as of the time of grant) of the shares of Stock
with respect to which Incentive Stock Options granted under this Plan and any
other plan of the Company or its parent and subsidiary corporations become
exercisable for the first time by an optionee during any calendar year shall not
exceed $100,000. To the extent that any Stock Option exceeds this limit, it
shall constitute a Non-Qualified Stock Option.

         (c) RELOAD OPTIONS. At the discretion of the Committee, Options granted
under the Plan may include a "reload" feature pursuant to which an optionee
exercising an Option by the delivery of a number of shares of Stock in
accordance with Section 5(a)(iv)(C) hereof would automatically be granted an
additional Option (with an exercise price equal to the Fair Market Value of the
Stock on the date the additional Option is granted and with such other terms as
the Committee may provide) to purchase that number of shares of Stock equal to
the sum of (i) the number delivered to exercise the original Option and (ii) the
number withheld to satisfy any tax liabilities.

         (d) NON-TRANSFERABILITY OF OPTIONS. No Stock Option shall be
transferable by the optionee otherwise than by will or by the laws of descent
and distribution and all Stock Options shall be exercisable, during the
optionee's lifetime, only by the optionee, or by the optionee's legal
representative or guardian in the event of the optionee's incapacity.
Notwithstanding the foregoing, the Committee, in its sole discretion, may
provide in the Award agreement regarding a given Option that the optionee may
transfer, without consideration for the transfer, his or her

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Non-Qualified Stock Options to members of his or her immediate family, to trusts
for the benefit of such family members, or to partnerships in which such family
members are the only partners, provided that the transferee agrees in writing
with the Company to be bound by all of the terms and conditions of this Plan and
the applicable Option.

SECTION 6    RESTRICTED STOCK AWARDS
             -----------------------

         (a) NATURE OF RESTRICTED STOCK AWARDS. A Restricted Stock Award is an
Award pursuant to which the Company may, in its sole discretion, grant or sell,
at such purchase price as determined by the Committee, in its sole discretion,
shares of Stock subject to such restrictions and conditions as the Committee may
determine at the time of grant ("Restricted Stock"), which purchase price shall
be payable in cash or by promissory note (recourse, partial recourse, or
nonrecourse) acceptable to the Committee. Conditions may be based on continuing
employment (or other service relationship) and/or achievement of pre-established
performance goals and objectives. The grant of a Restricted Stock Award is
contingent on the grantee executing the Restricted Stock Award agreement. The
terms and conditions of each such agreement shall be determined by the
Committee, and such terms and conditions may differ among individual Awards and
grantees.

         (b) RIGHTS AS A STOCKHOLDER. Upon execution of a written instrument
setting forth the Restricted Stock Award and payment of any applicable purchase
price, a grantee shall have the rights of a stockholder with respect to the
voting of the Restricted Stock, subject to such conditions contained in the
written instrument evidencing the Restricted Stock Award. Unless the Committee
shall otherwise determine, certificates evidencing the Restricted Stock shall
remain in the possession of the Company until such Restricted Stock is vested as
provided in subsection (d) below of this Section, and the grantee shall be
required, as a condition of the grant, to deliver to the Company a stock power
endorsed in blank.

         (c) RESTRICTIONS. Restricted Stock may not be sold, assigned,
transferred, pledged or otherwise encumbered or disposed of except as
specifically provided herein or in the Restricted Stock Award agreement. If a
grantee's employment (or other service relationship) with the Company and its
Subsidiaries terminates under the conditions specified in the relevant
instrument relating to the Award, or upon such other event or events as may be
stated in the instrument evidencing the Award, the Company or its assigns shall
have the right or shall agree, as may be specified in the relevant instrument,
to repurchase some or all of the shares of Stock subject to the Award at such
purchase price as is set forth in such instrument.

         (d) VESTING OF RESTRICTED STOCK. The Committee at the time of grant
shall specify the date or dates and/or the attainment of pre-established
performance goals, objectives and other conditions on which Restricted Stock
shall become vested, subject to such further rights of the Company or its
assigns as may be specified in the instrument evidencing the Restricted Stock
Award.

         (e) WAIVER, DEFERRAL AND REINVESTMENT OF DIVIDENDS.  The Restricted
Stock Award agreement may require or permit the immediate payment, waiver,
deferral or investment of dividends paid on the Restricted Stock.

SECTION 7    UNRESTRICTED STOCK AWARDS
             -------------------------

         (a) GRANT OR SALE OF UNRESTRICTED STOCK. The Committee may, in its sole
discretion, grant (or sell at par value or such higher purchase price determined
by the Committee) an

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Unrestricted Stock Award to any grantee, pursuant to which such grantee may
receive shares of Stock free of any vesting restrictions ("Unrestricted Stock")
under the Plan. Unrestricted Stock Awards may be granted or sold as described in
the preceding sentence in respect of past services or other valid consideration,
or in lieu of any cash compensation due to such individual.

         (b) ELECTIONS TO RECEIVE UNRESTRICTED STOCK IN LIEU OF COMPENSATION.
Upon the request of a grantee and with the consent of the Committee, each such
grantee may, pursuant to an advance written election delivered to the Company no
later than the date specified by the Committee, receive a portion of the cash
compensation otherwise due to such grantee in the form of shares of Unrestricted
Stock either currently or on a deferred basis.

         (c) RESTRICTIONS ON TRANSFERS. The right to receive shares of
Unrestricted Stock on a deferred basis may not be sold, assigned, transferred,
pledged or otherwise encumbered, other than by will or the laws of descent and
distribution.

SECTION 8    TAX WITHHOLDING
             ---------------

         (a) PAYMENT BY GRANTEE. Each grantee shall, no later than the date as
of which the value of an Award or of any Stock or other amounts received
thereunder first becomes includable in the gross income of the grantee for
Federal income tax purposes, pay to the Company, or make arrangements
satisfactory to the Committee regarding payment of, any federal, state, or local
taxes of any kind required by law to be withheld with respect to such income.
The Company and its Subsidiaries shall, to the extent permitted by law, have the
right to deduct any such taxes from any payment of any kind otherwise due to the
grantee.

         (b) PAYMENT IN STOCK. Subject to approval by the Committee, a grantee
may elect to have the minimum required tax withholding obligation satisfied, in
whole or in part, by (i) authorizing the Company to withhold from shares of
Stock to be issued pursuant to any Award a number of shares with an aggregate
Fair Market Value (as of the date the withholding is effected) that would
satisfy the withholding amount due, or (ii) transferring to the Company shares
of Stock owned by the grantee with an aggregate Fair Market Value (as of the
date the withholding is effected) that would satisfy the withholding amount due.

SECTION 9    TRANSFER, LEAVE OF ABSENCE, ETC.
             -------------------------------

         For purposes of the Plan, the following events shall not be deemed a
termination of employment:

         (a) a transfer to the employment of the Company from a Subsidiary or
from the Company to a Subsidiary, or from one Subsidiary to another; or

         (b) an approved leave of absence for military service or sickness, or
for any other purpose approved by the Company, if the employee's right to
re-employment is guaranteed either by a statute or by contract or under the
policy pursuant to which the leave of absence was granted or if the Committee
otherwise so provides in writing.

SECTION 10   AMENDMENTS AND TERMINATION
             --------------------------

         The Board may, at any time, amend or discontinue the Plan and the
Committee may, at any time, amend or cancel any outstanding Award (or provide
substitute Awards at the same or reduced exercise or purchase price or with no
exercise or purchase price in a manner not

                                       10
<PAGE>

inconsistent with the terms of the Plan), but such price, if any, must satisfy
the requirements which would apply to the substitute or amended Award if it were
then initially granted under this Plan for the purpose of satisfying changes in
law or for any other lawful purpose, but no such action shall adversely affect
rights under any outstanding Award without the holder's consent. If and to the
extent determined by the Committee to be required by the Code to ensure that
Incentive Stock Options granted under the Plan are qualified under Section 422
of the Code, Plan amendments shall be subject to approval by the Company's
stockholders who are eligible to vote at a meeting of stockholders. Nothing in
this Section 10 shall limit the Board's or Committee's authority to take any
action permitted pursuant to Section 3(c).

SECTION 11   STATUS OF PLAN
             --------------

         With respect to the portion of any Award that has not been exercised
and any payments in cash, Stock or other consideration not received by a
grantee, a grantee shall have no rights greater than those of a general creditor
of the Company unless the Committee shall otherwise expressly determine in
connection with any Award or Awards. In its sole discretion, the Committee may
authorize the creation of trusts or other arrangements to meet the Company's
obligations to deliver Stock or make payments with respect to Awards hereunder,
PROVIDED that the existence of such trusts or other arrangements is consistent
with the foregoing sentence.

                                       11
<PAGE>

SECTION 12   GENERAL PROVISIONS
             ------------------

         (a) NO DISTRIBUTION; COMPLIANCE WITH LEGAL REQUIREMENTS. The Committee
may require each person acquiring Stock pursuant to an Award to represent to and
agree with the Company in writing that such person is acquiring the shares
without a view to distribution thereof. No shares of Stock shall be issued
pursuant to an Award until all applicable securities law and other legal and
stock exchange or similar requirements have been satisfied. The Committee may
require the placing of such stop-orders and restrictive legends on certificates
for Stock and Awards as it deems appropriate.

         (b) DELIVERY OF STOCK CERTIFICATES. Stock certificates to grantees
under this Plan shall be deemed delivered for all purposes when the Company or a
stock transfer agent of the Company shall have mailed such certificates in the
United States mail, addressed to the grantee, at the grantee's last known
address on file with the Company.

         (c) OTHER COMPENSATION ARRANGEMENTS; NO EMPLOYMENT RIGHTS. Nothing
contained in this Plan shall prevent the Board from adopting other or additional
compensation arrangements, including trusts, and such arrangements may be either
generally applicable or applicable only in specific cases. The adoption of this
Plan and the grant of Awards do not confer upon any employee any right to
continued employment with the Company or any Subsidiary.

         (d) TRADING POLICY RESTRICTIONS. Option exercises and other Awards
under the Plan shall be subject to such Company's insider-trading-policy-related
restrictions, terms and conditions as may be established by the Committee, or in
accordance with policies set by the Committee, from time to time.

         (e) LOANS TO AWARD RECIPIENTS. The Company shall have the authority to
make loans to recipients of Awards hereunder (including to facilitate the
purchase of shares) and shall further have the authority to issue shares for
promissory notes hereunder.

SECTION 13   EFFECTIVE DATE OF PLAN
             ----------------------

         This Plan shall become effective upon approval by the holders of a
majority of the votes cast at a meeting of stockholders at which a quorum is
present or by written consent in accordance with applicable law. Subject to such
approval by the stockholders and to the requirement that no Stock may be issued
hereunder prior to such approval, Stock Options and other Awards may be granted
hereunder on and after adoption of this Plan by the Board.

SECTION 14   GOVERNING LAW
             -------------

         This Plan and all Awards and actions taken thereunder shall be governed
by Delaware law, applied without regard to conflict of law principles.

ADOPTED BY BOARD OF DIRECTORS:      December 8, 1999 (Amended March 29, 2000)

APPROVED BY STOCKHOLDERS:           December 8, 1999

AMENDED:                            December 28, 2001, September 29, 2003
                                       12<PAGE>

                                                                    EXHIBIT 10.2

                        INCENTIVE STOCK OPTION AGREEMENT
                  UNDER THE HAIGHTS CROSS COMMUNICATIONS, INC.
                        2000 STOCK OPTION AND GRANT PLAN

NAME OF OPTIONEE:             [NAME] (the "Optionee")

NO. OF OPTION SHARES:         [Number] Shares of Common Stock

GRANT DATE:                   [Date] (the "Grant Date")

EXPIRATION DATE:              [Date] (the "Expiration Date")

OPTION EXERCISE PRICE/SHARE:  [Price] (the "Option Exercise Price")

      Pursuant to the Haights Cross Communications, Inc. 2000 Stock Option and
Grant Plan (the "Plan"), Haights Cross Communications, Inc., a Delaware
corporation (together with all successors thereto, the "Company"), hereby grants
to the Optionee, who is an employee of the Company or any of its Subsidiaries,
an option (the "Stock Option") to purchase on or prior to the Expiration Date,
or such earlier date as is specified herein, all or any part of the number of
shares of Common Stock, par value $.001 per share ("Common Stock"), of the
Company indicated above (the "Option Shares," and such shares once issued shall
be referred to as the "Issued Shares"), at the Option Exercise Price, subject to
the terms and conditions set forth in this Incentive Stock Option Agreement
(this "Agreement") and in the Plan. This Stock Option is intended to qualify as
an "incentive stock option" as defined in Section 422(b) of the Internal Revenue
Code of 1986, as amended from time to time (the "Code"). To the extent that any
portion of the Stock Option does not so qualify, it shall be deemed a
non-qualified stock option.

      DEFINITIONS. For the purposes of this Agreement, the following terms shall
have the following respective meanings. All capitalized terms used herein and
not otherwise defined shall have the respective meanings set forth in the Plan.

            "Act" shall mean the Securities Act of 1933, as amended, and the
rules and regulations thereunder.

            An "Affiliate" of any Person means a Person that directly or
indirectly, through one or more intermediaries, controls, is controlled by or is
under common control with the first mentioned Person. A Person shall be deemed
to control another Person if such first Person possesses directly or indirectly
the power to direct, or cause the direction of, the management and policies of
the second Person, whether through the ownership or voting securities, by
contract or otherwise.

            "Bankruptcy" shall mean (i) the filing of a voluntary petition under
any bankruptcy or insolvency law, or a petition for the appointment of a
receiver or the making of an assignment for the benefit of creditors, with
respect to the Optionee or any Permitted Transferee, or (ii) the Optionee or any
Permitted Transferee being subjected involuntarily to such a petition or
assignment or to an attachment or other legal or equitable interest with respect
to the

<PAGE>

Optionee's assets, which involuntary petition or assignment or attachment is not
discharged within 60 days after its date, and (iii) the Optionee or any
Permitted Transferee being subject to a transfer of the Stock Option or the
Issued Shares by operation of law, except by reason of death.

            "Board" shall mean the Board of Directors of the Company or its
successor entity.

            "Cause" shall mean that the Optionee has:

                  Acted with negligence or willful misconduct in connection with
      the performance of his or her material duties;

                  Acted in an insubordinate, recalcitrant, disobedient,
      refractory, truculent, or unmanageable manner;

                  Acted in a violent manner;

                  Used abusive language toward any manager or employee;

                  Been the subject of excessive unreported or unexcused
            absences;

                  Committed a material act of common law fraud against the
      Company or any of its officers;

                  Been convicted of a felony;

                  Breached a fiduciary duty owed to the Company;

                  Embezzled assets of the Company;

                  Failed to adequately treat a drug or alcohol dependency
      problem which has an adverse impact on the performance of the Optionee's
      duties;

                  Violated any material policy of the Company, including the
      Company's Equal Employment and Harassment Policy; or

                  Voluntarily resigned his or her employment with the Company or
      any of its Subsidiaries.

            "Committee" shall mean the Board or a committee of the Board then
responsible for administration of the Plan.

            "Common Stock" shall mean the Company's Common Stock, par value
$.001 per share, together with any shares into which Common Stock may be
converted or exchanged, as provided above and herein.

            "Exchange Act" shall mean the Securities Exchange Act of 1934, as
amended, and the rules and regulations thereunder.

                                       2
<PAGE>

            "Good Reason" shall mean the occurrence of any of the following
events: (i) a substantial adverse change in the nature or scope of the
Optionee's responsibilities, authorities, powers, functions or duties; (ii) a
reduction in the Optionee's annual base salary except for across-the-board
salary reductions similarly affecting all or substantially all management
employees; or (iii) the relocation of the offices at which the Optionee is
principally employed to a location more than fifty (50) miles from such offices.

            "Initial Public Offering" shall mean the consummation of the first
fully underwritten, firm commitment public offering pursuant to an effective
registration statement under the Act, other than on Forms S-4 or S-8 or their
then equivalents, covering the offer and sale by the Company of its equity
securities, or such other event as a result of or following which the Common
Stock shall be publicly held.

            "Permitted Transferees" shall mean any of the following to whom the
Optionee may transfer Issued Shares hereunder: the Optionee's spouse, children
(natural or adopted), stepchildren or a trust for their sole benefit of which
the Optionee is the settlor; provided, however, that any such trust does not
require or permit distribution of any Issued Shares during the term of this
Agreement unless subject to its terms.

            "Person" shall mean any individual, corporation, partnership
(limited or general), limited liability company, limited liability partnership,
association, trust, joint venture, unincorporated organization or any similar
entity.

            "Sale Event" shall mean, regardless of form thereof, consummation of
(i) the dissolution or liquidation of the Company, (ii) the sale of all or
substantially all of the assets of the Company on a consolidated basis to an
unrelated person or entity, (iii) a merger, reorganization or consolidation in
which the holders of the Company's outstanding voting power immediately prior to
such transaction do not own a majority of the outstanding voting power of the
successor entity immediately upon completion of such transaction, (iv) the sale
of all or a majority of the outstanding capital stock of the Company to an
unrelated person or entity or (v) any other transaction in which the owners of
the Company's outstanding voting power immediately prior to such transaction do
not own at least a majority of the outstanding voting power of the successor
entity immediately upon completion of the transaction.

            "Service Relationship" shall mean any relationship as an employee,
part-time employee, director or consultant of the Company or any Subsidiary of
the Company such that, for example, a Service Relationship shall be deemed to
continue without interruption in the event the Optionee's status changes from
full-time employee to part-time employee or consultant.

            "Subsidiary" shall mean any corporation, limited liability company
or other entity (other than the Company) in any unbroken chain of corporations,
limited liability companies or other entities beginning with the Company if each
of the corporations, limited liability companies or entities (other than the
last corporation or entity in the unbroken chain) owns stock or other interests
possessing 50 percent or more of the economic interest or the total combined
voting power of all classes of stock or other interests in one of the other
corporations, limited liability companies or entities in the chain.

                                       3
<PAGE>

      VESTING AND EXERCISABILITY.

            No portion of this Stock Option may be exercised until such portion
shall have vested.

            Except as set forth below and in Section 6, and subject to the
determination of the Committee in its sole discretion to accelerate the vesting
schedule hereunder, this Stock Option shall vest and be exercisable with respect
to the percentage of the Option Shares on the respective dates indicated below:

<TABLE>
<CAPTION>
Incremental (Aggregate Percentage)
     Option Shares Exercisable                             Vesting Date
     -------------------------                             ------------
<S>                                                        <C>
             [ %] ( %)                                        [Date]
             [ % ]( %)                                        [Date]
             [ % ]( %)                                        [Date]
             ---------
            100% (100%)
</TABLE>

Notwithstanding anything herein to the contrary, but without limitation of
Section 6, in the event that this Stock Option is assumed or continued by the
Company or its successor entity in the sole discretion of the parties to a Sale
Event and thereafter remains in effect following such Sale Event as contemplated
by Section 6, then this Stock Option shall be deemed vested and exercisable in
full upon the date on which the Optionee's Service Relationship with the Company
and its Subsidiaries or successor entity, as the case may be, terminates if (i)
such termination occurs within 18 months of such Sale Event and (ii) such
termination is by the Company or a Subsidiary or successor entity of the Company
without Cause or by the Optionee for Good Reason.

            In the event the Optionee's Service Relationship with the Company
and its Subsidiaries is terminated by the Company for Cause, this Stock Option
shall immediately expire and be null and void as of the date of such
termination. In the event that the Optionee's Service Relationship with the
Company and its Subsidiaries terminates for any other reason or under any other
circumstances, including the Optionee's resignation, retirement or termination
by the Company (other than for Cause), or upon the Optionee's death or
disability (as defined in Section 422(c)(6) of the Code), this Stock Option may
thereafter be exercised, to the extent it was vested and exercisable on the date
of such termination, until the date specified in Section 1(d) below. Any portion
of the Stock Option that is not exercisable on the date of such termination of
the Service Relationship shall immediately expire and be null and void.

            Subject to the provisions of Section 2(c) and Section 6 below, once
any portion of this Stock Option becomes vested and exercisable, it shall
continue to be exercisable by the Optionee or his or her successors as
contemplated herein at any time or times prior to the earliest of (i) the date
which is (A) twelve (12) months following the date on which the Optionee's
Service Relationship with the Company and its Subsidiaries terminates due to
death or disability or (B) 90 days following the date on which the Optionee's
Service Relationship with the Company terminates if the termination is due to
any other reason (other than termination by the Company for Cause), or (ii) the
Expiration Date. For purposes of this Agreement the Committee

                                       4
<PAGE>

shall have sole discretion to determine the reason for the termination of the
Optionee's Service Relationship with the Company or any Subsidiary.

            It is understood and intended that this Stock Option is intended to
qualify as an "incentive stock option" as defined in Section 422 of the Code to
the extent permitted under applicable law. Accordingly, the Optionee understands
that in order to obtain the benefits of an incentive stock option under Section
422 of the Code, no sale or other disposition may be made of Issued Shares for
which incentive stock option treatment is desired within the one-year period
beginning on the day after the day of the transfer of such Issued Shares to him
or her, nor within the two-year period beginning on the day after the grant of
this Stock Option and further that this Stock Option must be exercised within
three months after termination of employment (or twelve months in the case of
death or disability) to qualify as an incentive stock option. If the Optionee
disposes (whether by sale, gift, transfer or otherwise) of any such Issued
Shares within either of these periods, he or she will notify the Company within
thirty (30) days after such disposition. The Optionee also agrees to provide the
Company with any information concerning any such dispositions required by the
Company for tax purposes. Further, to the extent Option Shares and any other
incentive stock options of the Optionee having an aggregate Fair Market Value in
excess of $100,000 (determined as of the Grant Date) vest in any year, such
options will not qualify as incentive stock options.

      EXERCISE OF STOCK OPTION.

            The Optionee may exercise this Stock Option only in the following
manner: Prior to the Expiration Date (subject to Section 6), the Optionee may
deliver a Stock Option exercise notice (an "Exercise Notice") in the form of
Appendix A hereto indicating his or her election to purchase some or all of the
Option Shares with respect to which this Stock Option is exercisable at the time
of such notice. Such notice shall specify the number of Option Shares to be
purchased. Payment of the purchase price may be made by one or more of the
following methods:

                  in cash, by certified or bank check, or other instrument
      acceptable to the Committee in U.S. funds payable to the order of the
      Company in an amount equal to the purchase price of such Option Shares;

                  by the Optionee delivering to the Company a promissory note if
      the Board has expressly authorized the loan of funds to the Optionee for
      the purpose of enabling or assisting the Optionee to effect the exercise
      of his or her Stock Option; provided that at least so much of the exercise
      price as represents the par value of the Stock shall be paid other than
      with a promissory note if otherwise required by state law;

                  if the Initial Public Offering covering the offer and sale of
      Common Stock of the Company to the public has occurred, then (A) through
      the delivery (or attestation to ownership) of shares of Common Stock that
      have been purchased by the Optionee on the open market or that have been
      held by the Optionee for at least six months and are not subject to
      restrictions under any plan of the Company, (B) by the Optionee 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

                                       5
<PAGE>

      the Company to pay the option purchase price, provided that in the event
      the Optionee chooses to pay the option purchase price as so provided, the
      Optionee and the broker shall comply with such procedures and enter into
      such agreements of indemnity and other agreements as the Committee shall
      prescribe as a condition of such payment procedure, or (C) a combination
      of (i), (iii)(A) and (iii)(B) above. Payment instruments will be received
      subject to collection.

            Certificates for the Option Shares so purchased will be issued and
delivered to the Optionee upon compliance to the satisfaction of the Committee
with all requirements under applicable laws or regulations in connection with
such issuance. Until the Optionee shall have complied with the requirements
hereof and of the Plan, the Company shall be under no obligation to issue the
Option Shares subject to this Stock Option, and the determination of the
Committee as to such compliance shall be final and binding on the Optionee. The
Optionee shall not be deemed to be the holder of, or to have any of the rights
of a holder with respect to, any shares of Common Stock subject to this Stock
Option unless and until this Stock Option shall have been exercised pursuant to
the terms hereof, the Company shall have issued and delivered the Option Shares
to the Optionee, and the Optionee's name shall have been entered as a
stockholder of record on the books of the Company. Thereupon, the Optionee shall
have full dividend and other ownership rights with respect to such Issued
Shares, subject to the terms of this Agreement.

            Notwithstanding any other provision hereof or of the Plan, no
portion of this Stock Option shall be exercisable after the Expiration Date.

            INCORPORATION OF PLAN. Notwithstanding anything herein to the
contrary, this Stock Option shall be subject to and governed by all the terms
and conditions of the Plan.

            TRANSFERABILITY. This Agreement is personal to the Optionee and is
not transferable by the Optionee in any manner other than by will or by the laws
of descent and distribution. The Stock Option may be exercised during the
Optionee's lifetime only by the Optionee (or by the Optionee's guardian or
personal representative in the event of the Optionee's incapacity). The Optionee
may elect to designate a beneficiary by providing written notice of the name of
such beneficiary to the Company, and may revoke or change such designation at
any time by filing written notice of revocation or change with the Company; such
beneficiary may exercise the Optionee's Stock Option in the event of the
Optionee's death to the extent provided herein. If the Optionee does not
designate a beneficiary, or if the designated beneficiary predeceases the
Optionee, the executor of the Optionee may exercise this Stock Option to the
extent provided herein in the event of the Optionee's death.

            EFFECT OF CERTAIN TRANSACTIONS. In the case of a Sale Event, this
Stock Option shall terminate upon the effective time of any such Sale Event
unless provision is made in connection with such transaction in the sole
discretion of the parties thereto for the assumption of this Stock Option
heretofore granted, or the substitution of this Stock Option with a new Stock
Option of the successor entity or a parent thereof, with such adjustment as to
the number and kind of shares and the per share exercise prices as such parties
shall agree. In the event of such termination, the Optionee shall be permitted,
for a specified period of time prior to the consummation of the Sale

                                       6
<PAGE>

Event as determined by the Committee, to exercise all portions of the Stock
Option which are then exercisable.

      WITHHOLDING TAXES. The Optionee shall, not later than the date as of which
the exercise of this Stock Option becomes a taxable event for federal income tax
purposes, pay to the Company or make arrangements satisfactory to the Committee
for payment of any federal, state and local taxes required by law to be withheld
on account of such taxable event. Subject to approval by the Committee, the
Optionee may elect to have the minimum tax withholding obligation satisfied, in
whole or in part, by authorizing the Company to withhold from shares of Common
Stock to be issued, or transferring to the Company, a number of shares of Common
Stock with an aggregate Fair Market Value that would satisfy the withholding
amount due. The Optionee acknowledges and agrees that the Company or any
Subsidiary of the Company has the right to deduct from payments of any kind
otherwise due to the Optionee, or from the Option Shares to be issued in respect
of an exercise of this Stock Option, any federal, state or local taxes of any
kind required by law to be withheld with respect to the issuance of Option
Shares to the Optionee.

      RESTRICTIONS ON TRANSFER OF ISSUED SHARES. None of the Issued Shares
acquired upon exercise of the Stock Option shall be sold, assigned, transferred,
pledged, hypothecated, given away or in any other manner disposed of or
encumbered, whether voluntarily or by operation of law, unless such transfer is
in compliance with all applicable securities laws (including, without
limitation, the Act), and such disposition is in accordance with the terms and
conditions of Sections 8 and 9. In connection with any transfer of Issued
Shares, the Company may require the transferor to provide at the Optionee's own
expense an opinion of counsel to the transferor, satisfactory to the Company,
that such transfer is in compliance with all foreign, federal and state
securities laws (including, without limitation, the Act). Any attempted
disposition of Issued Shares not in accordance with the terms and conditions of
Sections 8 and 9 shall be null and void, and the Company shall not reflect on
its records any change in record ownership of any Issued Shares as a result of
any such disposition, shall otherwise refuse to recognize any such disposition
and shall not in any way give effect to any such disposition of any Issued
Shares. Subject to the foregoing general provisions, Issued Shares may be
transferred pursuant to the following specific terms and conditions:

            Transfers to Permitted Transferees. The Optionee may sell, assign,
transfer or give away any or all of the Issued Shares to Permitted Transferees;
provided, however, that such Permitted Transferee(s) shall, as a condition to
any such transfer, agree to be subject to the provisions of this Agreement to
the same extent as the Optionee (including, without limitation, the provisions
of Sections 8, 9 and 11) and shall have delivered a written acknowledgment to
that effect to the Company.

            Transfers Upon Death. Upon the death of the Optionee, any Issued
Shares then held by the Optionee at the time of such death and any Issued Shares
acquired thereafter by the Optionee's legal representative pursuant to this
Agreement shall be subject to the provisions of Sections 8 and 9, if applicable,
and the Optionee's estate, executors, administrators, personal representatives,
heirs, legatees and distributees shall be obligated to convey such Issued Shares
to the Company or its assigns under the terms contemplated hereby.

                                       7
<PAGE>

            Company's Right of First Refusal. In the event that the Optionee (or
any transferee holding Issued Shares subject to this Section 8(c)) desires to
transfer all or any part of the Issued Shares to any person other than the
Company (an "Offeror"), the Optionee shall: (i) obtain in writing an irrevocable
and unconditional bona fide offer (the "Offer") for the purchase thereof from
the Offeror; and (ii) give written notice (the "Option Notice") to the Company
setting forth the Optionee's desire to transfer such shares, which Option Notice
shall be accompanied by a photocopy of the Offer and shall set forth the name
and address of the Offeror and the price and terms of the Offer. Upon receipt of
the Option Notice, the Company shall have an assignable option to purchase any
or all of such Issued Shares (the "Company Option Shares") specified in the
Option Notice, such option to be exercisable by giving, within 30 days after
receipt of the Option Notice, a written counternotice to the Optionee. If the
Company elects to purchase any or all of such Company Option Shares, it shall be
obligated to purchase, and the Optionee shall be obligated to sell to the
Company, such Company Option Shares at the price and terms indicated in the
Offer within 30 days from the date of delivery by the Company of such
counternotice.

            Sale of Option Shares to Offeror. The Optionee may, for 60 days
after the expiration of the 30-day option period as set forth in Section 8(c),
sell to the Offeror, pursuant to the terms of the Offer, any or all of such
Company Option Shares not purchased or agreed to be purchased by the Company or
its assignee. If any or all of such Company Option Shares are not sold pursuant
to an Offer within the time permitted above, the unsold Company Option Shares
shall remain subject to the terms of this Section 8.

            Adjustments for Changes in Capital Structure. If, as a result of any
reorganization, recapitalization, reclassification, stock dividend, stock split,
reverse stock split or other similar change in the Common Stock, the outstanding
shares of Common Stock are increased or decreased or are exchanged for a
different number or kind of shares of the Company's stock, the restrictions
contained in this Section 8 shall apply with equal force to additional and/or
substitute securities, if any, received by the Optionee in exchange for, or by
virtue of his or her ownership of, Issued Shares.

      COMPANY'S RIGHT OF REPURCHASE.

            Right of Repurchase. The Company shall have the right (the
"Repurchase Right") upon the occurrence of any of the events specified in
Section 9(b) below (the "Repurchase Event") to repurchase from the Optionee (or
his or her estate) some or all (as determined by the Company) of the Issued
Shares held or subsequently acquired upon exercise of this Stock Option in
accordance with the terms hereof by the Optionee (or his or her estate) at the
price per share specified below. The Repurchase Right may be exercised by the
Company within 19 months following the date of such event (the "Repurchase
Period"). The Repurchase Right shall be exercised by the Company by giving the
holder written notice on or before the last day of the Repurchase Period of its
intention to exercise the Repurchase Right, and, together with such notice,
tendering to the holder an amount equal to the Fair Market Value of the Issued
Shares, determined as provided in Section 9(c). The Company may assign the
Repurchase Right to one or more persons. Upon exercise of the Repurchase Right
in the manner provided in this Section 9(a), the Optionee (or his or her estate)
shall deliver to the Company the stock certificate or

                                       8
<PAGE>

certificates representing the shares being repurchased, duly endorsed and free
and clear of any and all liens, charges and encumbrances.

      If Issued Shares are not purchased under the Repurchase Right, the
Optionee and his or her successor in interest, if any, will hold any such shares
in his or her possession subject to all of the provisions of this Section 8 and
Section 9 and Section 11 hereof.

            Company's Right to Exercise Repurchase Right. The Company shall have
the Repurchase Right in the event that any of the following events shall occur:

                  The termination of the Optionee's Service Relationship with
      the Company and its Subsidiaries for any reason whatsoever, regardless of
      the circumstances thereof, and including, without limitation, upon death,
      disability, retirement, discharge or resignation for any reason, whether
      voluntarily or involuntarily; or

                  The Optionee's Bankruptcy.

            Determination of Fair Market Value. The Fair Market Value of the
Issued Shares shall be, for purposes of this Section 9, reasonably determined by
the Board in good faith as of the date the Board decides to exercise the
Repurchase Right.

      ESCROW ARRANGEMENT.

            Escrow. In order to carry out the provisions of Sections 8 and 9 of
this Agreement more effectively, the Company shall hold any Issued Shares in
escrow together with separate stock powers executed by the Optionee in blank for
transfer, and any Permitted Transferee shall, as an additional condition to any
transfer of Issued Shares, execute a like stock power as to such Issued Shares.
The Company shall not dispose of the Issued Shares except as otherwise provided
in this Agreement. In the event of any purchase by the Company (or any of its
assigns), the Company is hereby authorized by the Optionee and any Permitted
Transferee, as the Optionee's and each such Permitted Transferee's
attorney-in-fact, to date and complete the stock powers necessary for the
transfer of the Issued Shares being purchased and to transfer such Issued Shares
in accordance with the terms hereof. At such time as any Issued Shares are no
longer subject to the Company's Repurchase Right and first refusal rights, the
Company shall, at the written request of the Optionee, deliver to the Optionee
(or the relevant Permitted Transferee) a certificate representing such Issued
Shares with the balance of the Issued Shares to be held in escrow pursuant to
this Section 10.

            Remedy. Without limitation of any other provision of this Agreement
or other rights, in the event that the Optionee, any Permitted Transferees or
any other person or entity is required to sell the Optionee's Issued Shares
pursuant to the provisions of Section 8, Section 9, and Section 11 of this
Agreement and in the further event that he or she refuses or for any reason
fails to deliver to the Company or its designated purchaser of such Issued
Shares the certificate or certificates evidencing such Issued Shares together
with a related stock power, the Company or such designated purchaser may deposit
the applicable purchase price for such Issued Shares with a bank designated by
the Company, or with the Company's independent public accounting firm, as agent
or trustee, or in escrow, for the Optionee, any Permitted Transferees or other
person or entity, to be held by such bank or accounting firm for the benefit of
and for delivery to

                                       9
<PAGE>

him, them or it, and/or, in its discretion, pay such purchase price by
offsetting any indebtedness then owed by the Optionee as provided above. Upon
any such deposit and/or offset by the Company or its designated purchaser of
such amount and upon notice to the person or entity who was required to sell the
Issued Shares to be sold pursuant to the provisions of Sections 8, 9 and 11,
such Issued Shares shall at such time be deemed to have been sold, assigned,
transferred and conveyed to such purchaser, the holder thereof shall have no
further rights thereto (other than the right to withdraw the payment thereof
held in escrow, if applicable), and the Company shall record such transfer in
its stock transfer book or in any appropriate manner.

      DRAG ALONG RIGHT. In the event the holders of a majority of the Company's
equity securities then outstanding (the "Majority Shareholders") determine that
the Company should enter into a Sale Event, the Optionee, including any
Permitted Transferees, shall be obligated to and shall upon the written request
of the Majority Shareholders (subject to Section 6): (a) sell, transfer and
deliver, or cause to be sold, transferred and delivered, to the purchaser in
such Sale Event, his or her Issued Shares (including for this purpose all of
such Optionee's or his or her Permitted Transferee's Issued Shares that
presently or as a result of any such transaction may be acquired upon the
exercise of options (following the payment of the exercise price therefor)) on
substantially the same terms applicable to the Majority Shareholders (with
appropriate adjustments to reflect the conversion of convertible securities, the
redemption of redeemable securities and the exercise of exercisable securities
as well as the relative preferences and priorities of preferred stock); and (b)
execute and deliver such instruments of conveyance and transfer and take such
other action, including voting such Issued Shares in favor of any Sale proposed
by the Majority Shareholders and executing any purchase agreements, merger
agreements, indemnity agreements, escrow agreements or related documents, as the
Majority Shareholders or such purchaser may reasonably require in order to carry
out the terms and provisions of this Section 11.

      LOCKUP PROVISION. The Optionee agrees, if requested by the Company and any
underwriter engaged by the Company, not to sell or otherwise transfer or dispose
of any securities of the Company (including, without limitation pursuant to Rule
144 under the Act) held by him or her for such period following the effective
date of any registration statement of the Company filed under the Act as the
Company or such underwriter shall specify reasonably and in good faith, not to
exceed 180 days in the case of the Company's Initial Public Offering or 90 days
in the case of any other public offering.

      MISCELLANEOUS PROVISIONS.

            Equitable Relief. The parties hereto agree and declare that legal
remedies may be inadequate to enforce the provisions of this Agreement and that
equitable relief, including specific performance and injunctive relief, may be
used to enforce the provisions of this Agreement.

            Change and Modifications. This Agreement may not be orally changed,
modified or terminated, nor shall any oral waiver of any of its terms be
effective. This Agreement may be changed, modified or terminated only by an
agreement in writing signed by the Company and the Optionee.

                                       10
<PAGE>

            Governing Law. This Agreement shall be governed by and construed in
accordance with the law of the State of Delaware without regard to conflict of
law principles.

            Headings. The headings are intended only for convenience in finding
the subject matter and do not constitute part of the text of this Agreement and
shall not be considered in the interpretation of this Agreement.

            Saving Clause. If any provision(s) of this Agreement shall be
determined to be illegal or unenforceable, such determination shall in no manner
affect the legality or enforceability of any other provision hereof.

            Notices. All notices, requests, consents and other communications
shall be in writing and be deemed given when delivered personally, by telex or
facsimile transmission or when received if mailed by first class registered or
certified mail, postage prepaid. Notices to the Company or the Optionee shall be
addressed as set forth underneath their signatures below, or to such other
address or addresses as may have been furnished by such party in writing to the
other.

            Benefit and Binding Effect. This Agreement shall be binding upon and
shall inure to the benefit of the parties hereto, their respective successors,
permitted assigns, and legal representatives. The Company has the right to
assign this Agreement, and such assignee shall become entitled to all the rights
of the Company hereunder to the extent of such assignment.

            Dispute Resolution. Except as provided below, any dispute arising
out of or relating to this Agreement or the breach, termination or validity
hereof shall be finally settled by binding arbitration conducted expeditiously
in accordance with the J.A.M.S./Endispute Comprehensive Arbitration Rules and
Procedures (the "J.A.M.S. Rules"). The arbitration shall be governed by the
United States Arbitration Act, 9 U.S.C. Sections 1-16, and judgment upon the
award rendered by the arbitrators may be entered by any court having
jurisdiction thereof. The place of arbitration shall be New York, New York.

      The parties covenant and agree that the arbitration shall commence within
60 days of the date on which a written demand for arbitration is filed by any
party hereto. In connection with the arbitration proceeding, the arbitrator
shall have the power to order the production of documents by each party and any
third-party witnesses. In addition, each party may take up to three depositions
as of right, and the arbitrator may in his or her discretion allow additional
depositions upon good cause shown by the moving party. However, the arbitrator
shall not have the power to order the answering of interrogatories or the
response to requests for admission. In connection with any arbitration, each
party shall provide to the other, no later than 7 business days before the date
of the arbitration, the identity of all persons that may testify at the
arbitration and a copy of all documents that may be introduced at the
arbitration or considered or used by a party's witness or expert. The
arbitrator's decision and award shall be made and delivered within 6 months of
the selection of the arbitrator. The arbitrator's decision shall set forth a
reasoned basis for any award of damages or finding of liability. The arbitrator
shall not have power to award damages in excess of actual compensatory damages
and shall not multiply actual damages or award punitive damages or any other
damages that are specifically excluded under this Agreement, and each party
hereby irrevocably waives any claim to such damages.

                                       11
<PAGE>

      The parties covenant and agree that they will participate in the
arbitration in good faith. This Section 13(h) applies equally to requests for
temporary, preliminary or permanent injunctive relief, except that in the case
of temporary or preliminary injunctive relief any party may proceed in court
without prior arbitration for the limited purpose of avoiding immediate and
irreparable harm.

      Each of the parties hereto (i) hereby irrevocably submits to the
jurisdiction of any United States District Court of competent jurisdiction for
the purpose of enforcing the award or decision in any such proceeding, (ii)
hereby waives, and agrees not to assert, by way of motion, as a defense, or
otherwise, in any such suit, action or proceeding, any claim that it is not
subject personally to the jurisdiction of the above-named courts, that its
property is exempt or immune from attachment or execution (except as protected
by applicable law), that the suit, action or proceeding is brought in an
inconvenient forum, that the venue of the suit, action or proceeding is improper
or that this Agreement or the subject matter hereof may not be enforced in or by
such court, and hereby waives and agrees not to seek any review by any court of
any other jurisdiction which may be called upon to grant an enforcement of the
judgment of any such court. Each of the parties hereto hereby consents to
service of process by registered mail at the address to which notices are to be
given. Each of the parties hereto agrees that its, his or her submission to
jurisdiction and its, his or her consent to service of process by mail is made
for the express benefit of the other parties hereto. Final judgment against any
party hereto in any such action, suit or proceeding may be enforced in other
jurisdictions by suit, action or proceeding on the judgment, or in any other
manner provided by or pursuant to the laws of such other jurisdiction.

            Counterparts. For the convenience of the parties and to facilitate
execution, this Agreement 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.

            Termination. The Company's repurchase rights under Section 9, the
restrictions on transfer of Issued Shares under Section 8 and the drag along
obligations under Section 11 shall terminate upon the closing of the Company's
Initial Public Offering or upon consummation of any Sale Event, as a result of
which shares of the Company (or the surviving or resulting entity) of the same
class as the Issued Shares are registered under Section 12 of the Exchange Act
and publicly traded on NASDAQ/NMS or any national security exchange.

                                       12
<PAGE>

      The foregoing Agreement is hereby accepted and the terms and conditions
thereof hereby agreed to by the undersigned as of the Grant Date first above
written.

                                       HAIGHTS CROSS COMMUNICATIONS, INC.

                                       By: ____________________________________
                                           Name: Peter J. Quandt
                                           Title: Chairman and Chief Executive
                                                  Officer

                                       Address:

                                           10 New King Street
                                           Suite 102
                                           White Plains, NY  10604

      The foregoing Agreement is hereby accepted and the terms and conditions
thereof hereby agreed to by the undersigned as of the Grant Date first above
written.

                                       OPTIONEE:

                                       ________________________________________
                                       Name  :

                                       Address:
                                       ________________________________________
                                       ________________________________________
                                       ________________________________________

SPOUSE'S CONSENT(1)
I acknowledge that I have read the
foregoing Incentive Stock Option Agreement
and understand the contents thereof.

_______________________________________
Name:

--------------------------
      (1) Only required if Optionee's state of residence is AZ, CA, ID, LA, NM,
NV, TX, WA or WI.

                                       13
<PAGE>

                                       DESIGNATED BENEFICIARY:

                                       ________________________________________

                                       Beneficiary's Address:

                                            ___________________________________
                                            ___________________________________
                                            ___________________________________

                                       14
<PAGE>

                                   APPENDIX A

                          STOCK OPTION EXERCISE NOTICE

Haights Cross Communications, Inc.
10 New King Street
Suite 102
White Plains, NY  10604

Attention: Chief Financial Officer

      Pursuant to the terms of my stock option agreement dated __________ (the
"Agreement") under the Haights Cross Communications, Inc. 2000 Stock Option and
Grant Plan, I, [Insert Name] ________________, hereby [Circle One]
partially/fully exercise such option by including herein payment in the amount
of $______ representing the purchase price for [Fill in number of Option Shares]
_______ option shares. I have chosen the following form(s) of payment:

            [ ]   1.  Cash

            [ ]   2.  Certified or bank check payable to Haights Cross
                      Communications, Inc.

            [ ]   3.  Other (as described in the Agreement (please describe))

                                       ___________________________________
                                       Sincerely yours,

                                       ___________________________________
                                       Name:

                                       Address:
                                               ___________________________
                                               ___________________________
                                               ___________________________

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