Document:

Exhibit 10.1

 

EMPLOYMENT AGREEMENT

 

EMPLOYMENT AGREEMENT
(the “Agreement”), dated as of May 16, 2016, between Black Diamond, Inc., a Delaware corporation (the “Company”),
and Aaron Kuehne (the “Employee”).

 

W I T N E S S E T H :

 

WHEREAS, the
Company desires to employ the Employee as the Chief Administrative Officer, Chief Financial Officer, Secretary and Treasurer of
the Company and to be assured of his services on the terms and conditions hereinafter set forth; and

 

WHEREAS, the
Employee is willing to be employed as the Chief Administrative Officer, Chief Financial Officer, Secretary and Treasurer of the
Company on such terms and conditions.

 

NOW THEREFORE,
in consideration of the mutual covenants and agreements set forth in this Agreement, the Company and the Employee hereby agree
as follows:

 

		1.	Employment and Term.

 

The Company hereby employs the
Employee as the Chief Administrative Officer, Chief Financial Officer, Secretary and Treasurer of the Company, and the Employee
accepts such employment, upon the terms and subject to the conditions set forth in this Agreement. The term of this Agreement shall
commence and be effective only on July 1, 2016 provided that Employee remains in the employ of the Company and this Agreement has
not been terminated as of such date (the “Commencement Date”), and shall terminate on the fourth anniversary of the
Commencement Date (the “Term”), subject to earlier termination as provided herein. This Agreement shall automatically
terminate prior to the Commencement Date if the Employee is not employed by the Company at any time between the date hereof and
the Commencement Date.

 

		2.	Duties; Work Site.

 

(a) 
During the Term of this Agreement, the Employee shall serve as the Chief Administrative Officer, Chief Financial Officer,
Secretary and Treasurer of the Company and shall perform all duties commensurate with his positions and as may be assigned to him
by the Executive Chairman of the Board or the Executive Vice Chairman of the Board of the Company (the “Board”) or
their designees. The Employee shall devote his full business time and energies to the business and affairs of the Company and shall
use his best efforts, skills and abilities to promote the interests of the Company, and to diligently and competently perform the
duties of his positions.

 

(b) 
The Employee shall report to and shall communicate regularly with the Executive Chairman of the Board, the Executive Vice
Chairman of the Board or their designees.

 

(c) 
The Employee and the Company agree that the Employee’s duties will be discharged from the Company’s Salt Lake
City, Utah location. The Employee agrees to travel for business purposes in such amount as is necessary in order for the Employee
to fully and competently perform his duties hereunder.

 

    	 	 	 

     

    

		3.	Compensation, Bonus, Benefits, etc.

 

(a) 
Salary. During the Term of this Agreement, the Company shall pay to the Employee, and the Employee shall accept
from the Company, as compensation for the performance of services under this Agreement and the Employee’s observance and
performance of all of the provisions hereof, an annual salary at the rate of $300,000 (the “Base Compensation”). The
Base Compensation shall be payable in accordance with the normal payroll practices of the Company.

 

(b) 
Bonus. In addition to the Base Compensation described above, the Employee shall, in the sole and absolute
discretion of the Board or the Compensation Committee of the Board, be entitled to an annual performance bonus of up to twenty-five
percent (25%) of the Base Compensation which may be based upon a variety of factors, including qualitative and quantitative Company
objectives, all as determined annually in the sole and absolute discretion of the Board or Compensation Committee of the Board.
In addition, the Employee may be entitled to participate in such other bonus plans, during the Term of this Agreement, as the Board
or the Compensation Committee of the Board may, in its sole and absolute discretion, determine. Any such bonus, as determined by
the Board or the Compensation Committee of the Board, shall be payable to the Employee no later than the date that is two weeks
after the filing of the Company’s Form 10-K for the year in which it was earned. For the fiscal year ending December 31,
2016, the Employee’s target bonus shall be $50,000, subject, however, to final determination by the Board or the Compensation
Committee of the Board.

 

(c) 
Stock Options. On the Commencement Date, provided that the Employee remains employed by the Company and this
Agreement has not been terminated as of such date, the Company shall issue to the Employee options (the “Stock Options”)
to purchase 125,000 shares of the Company’s common stock, par value $0.0001 per share, (the “Common Stock”),
having an exercise price equal to the closing trading price of the Company’s Common Stock on NASDAQ or other national or
regional stock exchange on which such securities are listed on the Commencement Date. The Stock Options shall vest as follows:
(i) 41,667 shares on the first anniversary of the date of grant, (ii) 41,667 shares on the second anniversary of the date of grant
and (iii) 41,666 shares on the third anniversary of the date of grant; provided, that, the Stock Options shall accelerate
and vest earlier in accordance with the terms of this Agreement; provided, further, that all Stock Options shall
expire on the tenth anniversary of the Commencement Date, unless sooner terminated in accordance with the terms of this Agreement.
The terms and provisions of the Stock Options shall be set forth in a stock option agreement in form and substance satisfactory
to the Company.

 

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(d)  Restricted Stock. On the
Commencement Date, provided that the Employee remains employed by the Company and this Agreement has not been terminated as
of such date, the Company shall issue to the Employee 100,000 restricted shares of Common Stock (the “Restricted
Stock”), which shall be subject to the vesting and lapse of restrictions on such Restricted Stock based on the timing
set forth below:

 

(i)The Restricted Stock shall vest upon the
achievement of a closing price of at least $15 per share of Common Stock on NASDAQ or other national or regional stock exchange
on which such securities are then listed for a period of twenty (20) consecutive trading days;

 

(ii)Any shares not vested based on the foregoing
closing share price of Common Stock prior to the fourth anniversary of the Commencement Date shall be forfeited and be null and
void; and

 

(iii)The vesting, and/or forfeiture, of the
Restricted Stock, may be accelerated in accordance with the terms of this Agreement.

 

The terms and provisions of the Restricted
Stock shall be set forth in a restricted stock agreement in form and substance satisfactory to the Company.

 

(e) 
Benefits. During the Term of this Agreement, the Employee shall be entitled to participate in or benefit from,
in accordance with the eligibility and other provisions thereof, the Company’s medical insurance and other fringe benefit
plans or policies as the Company may make available to, or have in effect for, its senior executive officers from time to time.
The Company and its affiliates retain the right to terminate or alter any such plans or policies from time to time. The Employee
shall also be entitled to four weeks paid vacation each year, sick leave and other similar benefits in accordance with policies
of the Company from time to time in effect for its senior executive officers.

 

(f) 
Reimbursement of Business Expenses. During the Term of this Agreement, upon submission of proper invoices,
receipts or other supporting documentation reasonably satisfactory to the Company and in accordance with and subject to the Company’s
expense reimbursement policies, the Employee shall be reimbursed by the Company for all reasonable business expenses actually and
necessarily incurred by the Employee on behalf of the Company in connection with the performance of services under this Agreement.

 

(g) 
Taxes. The Base Compensation and any other compensation paid to Employee, including, without limitation, any
bonus, shall be subject to withholding for applicable taxes and other amounts.

 

		4.	Representations of Employee.

 

The Employee represents
and warrants that he is not party to, or bound by, any agreement or commitment, or subject to any restriction, including but not
limited to agreements related to previous employment containing confidentiality or noncompetition covenants, which limit the ability
of the Employee to perform his duties under this Agreement.

 

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5.   
Confidentiality, Noncompetition, Nonsolicitation and Non-Disparagement.

 

For purposes of this
Section 5, all references to the Company shall be deemed to include the Company’s affiliates and subsidiaries and their respective
subsidiaries, whether now existing or hereafter established or acquired. In consideration for the compensation and benefits provided
to the Employee pursuant to this Agreement, the Employee agrees with the provisions of this Section 5.

 

(a) 
Confidential Information.

 

              
(i) The Employee acknowledges that as
a result of his retention by the Company, the Employee has and will continue to have knowledge of, and access to, proprietary
and confidential information of the Company including, without limitation, research and development plans and results, software,
databases, technology, inventions, trade secrets, technical information, know-how, plans, specifications, methods of operations,
product and service information, product and service availability, pricing information (including pricing strategies), financial,
business and marketing information and plans, and the identity of customers, clients and suppliers (collectively, the “Confidential
Information”), and that the Confidential Information, even though it may be contributed, developed or acquired by the Employee,
constitutes valuable, special and unique assets of the Company developed at great expense which are the exclusive property of
the Company. Accordingly, the Employee shall not, at any time, either during or subsequent to the Term of this Agreement, use,
reveal, report, publish, transfer or otherwise disclose to any person, corporation, or other entity, any of the Confidential Information
without the prior written consent of the Company, except to responsible officers and employees of the Company and other responsible
persons who are in a contractual or fiduciary relationship with the Company and who have a need for such Confidential Information
for purposes in the best interests of the Company, and except for such Confidential Information which is or becomes of general
public knowledge from authorized sources other than by or through the Employee.

 

            
(ii) 
The Employee acknowledges that the Company would not enter into this Agreement without the assurance that all the Confidential
Information will be used for the exclusive benefit of the Company.

 

(b) 
Return of Confidential Information. Upon the termination of this Agreement or upon the request of the Company,
the Employee shall promptly return to the Company all Confidential Information in his possession or control, including but not
limited to all drawings, manuals, computer printouts, computer databases, disks, data, files, lists, memoranda, letters, notes,
notebooks, reports and other writings and copies thereof and all other materials relating to the Company’s business, including,
without limitation, any materials incorporating Confidential Information.

 

(c) 
Inventions, etc. During the Term and for a period of one year thereafter, the Employee will promptly disclose
to the Company all designs, processes, inventions, improvements, developments, discoveries, processes, techniques, and other information
related to the business of the Company conceived, developed, acquired, or reduced to practice by him alone or with others during the Term
of this Agreement, whether or not conceived during regular working hours, through the use of Company time, material or facilities
or otherwise (“Inventions”).

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The Employee agrees
that all copyrights created in conjunction with his service to the Company and other Inventions, are “works made for hire”
(as that term is defined under the Copyright Act of 1976, as amended). All such copyrights, trademarks, and other Inventions shall
be the sole and exclusive property of the Company, and the Company shall be the sole owner of all patents, copyrights, trademarks,
trade secrets, and other rights and protection in connection therewith. To the extent any such copyright and other Inventions may
not be works for hire, the Employee hereby assigns to the Company any and all rights he now has or may hereafter acquire in such
copyrights and any other Inventions. Upon request the Employee shall deliver to the Company all drawings, models and other data
and records relating to such copyrights, trademarks and Inventions. The Employee further agrees as to all such Inventions, to assist
the Company in every proper way (but at the Company’s expense) to obtain, register, and from time to time enforce patents,
copyrights, trademarks, trade secrets, and other rights and protection relating to said Inventions in any and all countries, and
to that end the Employee shall execute all documents for use in applying for and obtaining such patents, copyrights, trademarks,
trade secrets and other rights and protection on and enforcing such Inventions, as the Company may reasonably request, together
with any assignments thereof to the Company or persons designated by it. Such obligation to assist the Company shall continue beyond
the termination of the Employee’s service to the Company, but the Company shall compensate the Employee at a reasonable rate
after termination of service for time actually spent by the Employee at the Company’s request for such assistance. In the
event the Company is unable, after reasonable effort, to secure the Employee’s signature on any document or documents needed
to apply for or prosecute any patent, copyright, trademark, trade secret, or other right or protection relating to an Invention,
whether because of the Employee’s physical or mental incapacity or for any other reason whatsoever, the Employee hereby irrevocably
designates and appoints the Company and its duly authorized officers and agents, during the Term of this Agreement and for a period
of two years after termination of this Agreement, as his agent coupled with an interest and attorney-in-fact, to act for and in
his behalf and stead to execute and file any such application or applications and to do all other lawfully permitted acts to further
the prosecution and issuance of patents, copyrights, trademarks, trade secrets, or similar rights or protection thereon with the
same legal force and effect as if executed by the Employee.

 

(d) 
Non-Competition.The Employee agrees not to utilize his special knowledge of the Business and his relationships
with customers, prospective customers, suppliers and others or otherwise to compete with the Company in the Business during the
Restricted Period. During the Restricted Period, the Employee shall not, and shall not permit any of his respective employees,
agents or others under his control, directly or indirectly, on behalf of the Employee or any other Person, to engage or have an
interest, anywhere in the world in which the Company conducts business or markets or sells its products, alone or in association
with others, as principal, officer, agent, employee, director, partner or stockholder (except as an owner of two percent or less
of the stock of any company listed on a national securities exchange or traded in the

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over-the-counter market), whether through the investment of
capital, lending of money or property, rendering of services or capital, or otherwise, in any Competitive Business. During the
Restricted Period, the Employee shall not, and shall not permit any of his respective employees, agents or others under his control,
directly or indirectly, on behalf of the Employee or any other Person, to accept Competitive Business from, or solicit the Competitive
Business of any Person who is a customer of the Business conducted by the Company, or, to the Employee’s knowledge, is a
customer of the Business conducted by the Company at any time during the Restricted Period.  

 

(e) 
Non-Disparagement and Non-Interference. The Employee shall not, either directly or indirectly, (i) during
the Restricted Period, make or cause to be made, any statements that are disparaging or derogatory concerning the Company or its
business, reputation or prospects; (ii) during the Restricted Period, request, suggest, influence or cause any party, directly
or indirectly, to cease doing business with or to reduce its business with the Company or do or say anything which could reasonably
be expected to damage the business relationships of the Company; or (iii) at any time during or after the Restricted Period, use
or purport to authorize any Person to use any Intellectual Property owned by the Company or exclusively licensed to the Company
or to otherwise infringe on the intellectual property rights of the Company.

 

(f) 
Non-Solicitation. During the Restricted Period, the Employee shall not recruit or otherwise solicit
or induce any Person who is an employee or consultant of, or otherwise engaged by Company, to terminate his or her employment or
other relationship with the Company, or such successor, or hire any person who has left the employ of the Company during the preceding
one year.

 

(g) 
Certain Definitions. For purposes of this Agreement: (i) the term “Business” shall mean
the business of designing, manufacturing, assembling, licensing, distributing, marketing and selling active outdoor performance
products and apparel for climbing, mountaineering, backpacking, skiing, cycling and other outdoor recreation activities, avalanche
transceiver technology, alpine safety products, and any other business that the Company or its subsidiaries may be engaged in during
the Term of this Agreement; (ii) the term “Competitive Business” shall mean any business competitive with the Business;
and (iii) the term “Restricted Period” shall mean the Term of this Agreement and a period of two years after termination
of this Agreement; provided, that, if Employee breaches the covenants set forth in this Section 5, the Restricted Period shall
be extended for a period equal to the period that a court having jurisdiction has determined that such covenant has been breached.
“Person” shall mean an individual, a partnership, a joint venture, a corporation, a limited liability company, a trust,
an unincorporated organization or other entity and a government or any department or agency thereof.

 

6.   
Remedies.The restrictions set forth in Section 5 are considered by the parties to be fair and reasonable.
The Employee acknowledges that the restrictions contained in Section 5 will not prevent him from earning a livelihood. The Employee
further acknowledges that the Company would be irreparably harmed and that monetary damages would not provide an adequate remedy
in the event of a breach of the provisions of Section 5. Accordingly, the Employee agrees that, in addition to any other remedies

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available to the Company, the Company shall be entitled to injunctive
and other equitable relief to secure the enforcement of these provisions. In connection with seeking any such equitable remedy,
including, but not limited to, an injunction or specific performance, the Company shall not be required to post a bond as a condition
to obtaining such remedy. In any such litigation, the prevailing party shall be entitled to receive an award of reasonable attorneys’
fees and costs. If any provisions of Sections 5 or 6 relating to the time period, scope of activities or geographic area of restrictions
is declared by a court of competent jurisdiction to exceed the maximum permissible time period, scope of activities or geographic
area, the maximum time period, scope of activities or geographic area, as the case may be, shall be reduced to the maximum which
such court deems enforceable. If any provisions of Sections 5 or 6 other than those described in the preceding sentence are adjudicated
to be invalid or unenforceable, the invalid or unenforceable provisions shall be deemed amended (with respect only to the jurisdiction
in which such adjudication is made) in such manner as to render them enforceable and to effectuate as nearly as possible the original
intentions and agreement of the parties. For purposes of this Section 6, all references to the Company shall be deemed to include
the Company's affiliates and subsidiaries, whether now existing or hereafter established or acquired.

 

7.   
Termination.This Agreement shall terminate at the end of the Term set forth in Section 1. In addition, this
Agreement may be terminated prior to the end of the Term set forth in Section 1 upon the occurrence of any of the events set forth
in, and subject to the terms of, this Section 7. For purposes of this Section 7, the term “stock options” shall include
the Stock Options and the term “restricted stock” shall include the Restricted Stock.

 

(a) 
Death or Permanent Disability. If the Employee dies or becomes permanently disabled, this Agreement shall
terminate effective upon the Employee’s death or when his disability is deemed to have become permanent. If the Employee
is unable to perform his normal duties for the Company because of illness or incapacity (whether physical or mental) for 45 consecutive
days during the Term of this Agreement, or for 60 days (whether or not consecutive) out of any calendar year during the Term of
this Agreement, his disability shall be deemed to have become permanent. If this Agreement is terminated on account of the death
or permanent disability of the Employee, then the Employee or his estate shall be entitled to receive accrued Base Compensation
through the date of such termination, all granted but unvested stock options and unvested restricted stock held by the Employee
shall immediately vest and the Employee or the Employee’s estate, as applicable, shall have no further entitlement to Base
Compensation, bonus, stock options or benefits from the Company following the effective date of such termination, except as provided
in Section 3(b) of this Agreement; provided, however, that any bonus pursuant to Section 3(b) of this Agreement shall
be paid only for the year in which such termination occurred pro rated for the portion of such year prior to such termination and
shall be paid at such time as the Board determines the bonuses for all senior executive officers of the Company for such year,
but no later than the date that is two weeks after the filing of the Company’s Form 10-K for the year in which it was earned.

 

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(b) 
Cause. This Agreement may be terminated at the Company’s option, immediately upon notice to the Employee,
upon the occurrence of any of the following (“Cause”): (i) breach by the Employee of any material provision of this
Agreement and the expiration of a 10-business day cure period for such breach after written notice thereof has been given to the
Employee (which cure period shall not be applicable to clauses (ii) through (v) of this Section 7(b)); (ii) gross negligence or
willful misconduct of the Employee in connection with the performance of his duties under this Agreement; (iii) Employee’s
failure to perform any reasonable directive of the Board; (iv) fraud, criminal conduct, dishonesty or embezzlement by the Employee;
or (v) Employee’s misappropriation for personal use of any assets (having in excess of nominal value) or business opportunities
of the Company. If this Agreement is terminated by the Company for Cause, then the Employee shall be entitled to receive accrued
Base Compensation through the date of such termination, all stock options, whether vested or unvested, will be forfeited by the
Employee and be null and void, all granted but unvested restricted stock shall be forfeited and be null and void and the Employee
shall have no further entitlement to Base Compensation, bonus, stock options, or benefits from the Company following the effective
date of such termination; provided, however, that in the event of a termination for Cause pursuant to Section 7(b)(iii) hereof,
the Employee shall be entitled to retain any vested stock options, but subject to the terms and conditions thereof.

 

(c) 
Without Cause. This Agreement may be terminated, at any time by the Company without Cause immediately upon
giving written notice to the Employee of such termination. Upon the termination of this Agreement by the Company without Cause,
the Employee shall be entitled to receive one year of Base Compensation and reimbursement of any COBRA premium payments made by
the Employee during such one-year period upon receipt of a COBRA billing statement, in each case payable in accordance with the
Company’s normal payroll practices, subject to withholding for applicable taxes and other amounts, all granted but unvested
stock options and all unvested restricted stock shall be forfeited and be null and void and the Employee shall have no further
entitlement to Base Compensation, bonus, stock options or benefits from the Company following the effective date of such termination.

 

(d) 
By Employee. The Employee may terminate this Agreement at any time upon providing the Company with 90 days’
prior written notice. If this Agreement is terminated by the Employee pursuant to this Section 7(d), then the Employee shall be
entitled to receive his accrued Base Compensation and benefits through the effective date of such termination, all granted but
unvested stock options and all unvested restricted stock shall be forfeited and be null and void and the Employee shall have no
further entitlement to Base Compensation, bonus, stock options, or benefits from the Company following the effective date of such
termination.

 

(e) 
Change in Control. Upon the occurrence of a Change in Control (as hereinafter defined), the Employee shall
have the right to terminate this Agreement within 30 days of the occurrence of such Change in Control; provided, however,
that if requested to do so by the Company or the acquiror of the business of the Company in such Change of Control, the Employee
shall provide consulting services to the Company or such acquiror, as applicable, for transition purposes for a period of up to
six months following the effective date of such Change in Control and his termination of this Agreement, and the Company or such
acquiror shall pay consulting fees to the Employee

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for such six month period in an amount equal to the compensation
he would have otherwise received under this Agreement had it been in effect for such six month period. Upon the termination of
this Agreement by either party within 30 days of the occurrence of a Change in Control (other than a termination by the Company
for Cause during such period, in which event the provisions of Section 7(b) shall apply), the Employee shall be entitled to receive
one year of Base Compensation in one lump sum within five business days after the effective date of such termination and reimbursement
of any COBRA premium payments made by the Employee during such one-year period upon receipt of a COBRA billing statement, subject
to withholding for applicable taxes and other amounts, and all granted but unvested stock options and all unvested restricted stock
held by the Employee shall immediately vest; provided, however, that if the Company or the acquiror described above
requests Employee to provide the consulting services described above, then the one year of Base Compensation that is payable in
one lump sum shall become due and payable in one lump sum upon the expiration of such consulting period, and shall not be payable
if the Employee does not render such consulting services. For purposes of this Agreement, a “Change in Control” of
the Company shall be deemed to have occurred in the event that: (i) individuals who, as of the date hereof, constitute the Board
cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming
a director subsequent to the date hereof whose election, or nomination for election by the Company’s stockholders, was approved
by a vote of at least a majority of the directors then comprising the Board shall be considered as though such individual was a
member of the Board as of the date hereof; (ii) the Company shall have been sold by either (A) a sale of all or substantially all
its assets, or (B) a merger or consolidation, other than any merger or consolidation pursuant to which the Company acquires another
entity, or (C) a tender offer, whether solicited or unsolicited; or (iii) any party, other than the Company, is or becomes the
“beneficial owner” (as defined in Rule 13d-3 under the Securities Exchange Act of 1934, as amended), directly or indirectly,
of voting securities of the Company representing 50% or more of the total voting power of all the then-outstanding voting securities
of the Company.

 

(f) 
Return of Payments and Cancellation of Benefits. In the event that the Employee fails to comply with any of
his obligations under this Agreement, including, without limitation, the covenants contained in Section 5 hereof, the Employee
shall repay to the Company any payments received by the Company in respect of the one year Base Compensation required to be paid
pursuant to Section 7(c) or Section 7(e) hereof as of the date of such failure to comply, the Company’s obligation to provide
the remainder, if any, of such one year Base Compensation shall terminate and be null and void as of such date, and the Employee
will have no further rights in or to such amounts and benefits.

 

		8.	Miscellaneous.

 

(a) 
Survival. The provisions of Sections 4, 5, 6, 7 and 8 shall survive the termination of this Agreement.

 

(b) 
Entire Agreement. This Agreement sets forth the entire understanding of the parties and, except as specifically
set forth herein, merges and supersedes any prior or contemporaneous agreements between the parties pertaining to the subject matter hereof.

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(c) 
Modification. This Agreement may not be modified or terminated orally, and no modification, termination or
attempted waiver of any of the provisions hereof shall be binding unless in writing and signed by the party against whom the same
is sought to be enforced.

 

(d) 
Waiver. Failure of a party to enforce one or more of the provisions of this Agreement or to require at any
time performance of any of the obligations hereof shall not be construed to be a waiver of such provisions by such party nor to
in any way affect the validity of this Agreement or such party’s right thereafter to enforce any provision of this Agreement,
nor to preclude such party from taking any other action at any time which it would legally be entitled to take.

 

(e) 
Successors and Assigns. Neither party shall have the right to assign this Agreement, or any rights or obligations
hereunder, without the consent of the other party; provided, however, that upon the sale of all or substantially
all of the assets, business and goodwill of the Company to another company, or upon the merger or consolidation of the Company
with another company, this Agreement shall inure to the benefit of, and be binding upon, both Employee and the company purchasing
such assets, business and goodwill, or surviving such merger or consolidation, as the case may be, in the same manner and to the
same extent as though such other company were the Company; and provided, further, that the Company shall have the
right to assign this Agreement to any affiliate or subsidiary of the Company. Subject to the foregoing, this Agreement shall inure
to the benefit of, and be binding upon, the parties hereto and their legal representatives, heirs, successors and assigns.

 

(f) 
Communications. All notices, requests, demands and other communications under this Agreement shall be in writing
and shall be deemed to have been given at the time personally delivered or when mailed in any United States post office enclosed
in a registered or certified postage prepaid envelope and addressed to the addresses set forth below, or to such other address
as any party may specify by notice to the other party; provided, however, that any notice of change of address
shall be effective only upon receipt.

 

	
        If to the Company:

         

        Black Diamond, Inc.

        2084 East 3900 South

        Salt Lake City, Utah 84124

        Facsimile: (801) 278-5544

        Attention: Warren B. Kanders
	
        With a copy to:

         

        Kane Kessler, P.C.

        1350 Avenue of the Americas

        New York, New York 10019

        Facsimile: (212) 245-3009

        Attention: Robert L. Lawrence, Esq.

         

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        If to the Employee:

         

        Aaron Kuehne

        1448 South Via La Costa Way

        Kaysville, UT 84037

         
	
         

         

(g) 
Severability. If any provision of this Agreement is held to be invalid or unenforceable by a court of competent
jurisdiction, such invalidity or unenforceability shall not affect the validity and enforceability of the other provisions of this
Agreement and the provisions held to be invalid or unenforceable shall be enforced as nearly as possible according to its original
terms and intent to eliminate such invalidity or unenforceability.

 

(h) 
Jurisdiction; Venue. This Agreement shall be subject to the non-exclusive jurisdiction of the federal courts
or state courts of the State of Delaware, County of New Castle, for the purpose of resolving any disputes among them relating to
this Agreement or the transactions contemplated by this Agreement and waive any objections on the grounds of forum non conveniens
or otherwise. The parties hereto agree to service of process by certified or registered United States mail, postage prepaid, addressed
to the party in question. The prevailing party in any proceeding instituted in connection with this Agreement shall be entitled
to an award of its/his reasonable attorneys’ fees and costs.

 

(i) 
Governing Law. This Agreement is made and executed and shall be governed by the laws of the State of Delaware,
without regard to the conflicts of law principles thereof.

 

(j) 
Counterparts. This Agreement may be executed in any number of counterparts (and by facsimile or other electronic
signature), but all counterparts will together constitute but one agreement.

 

(k) 
Third Party Beneficiaries. This Agreement is for the sole and exclusive benefit of the parties hereto and,
except as provided herein, shall not be deemed for the benefit of any other person or entity.

 

(l)  
Headings and References. The headings contained in this Agreement are for reference purposes only and shall
not affect in any way the meaning or interpretation of this Agreement. References in this Agreement to any section refer to such
section of this Agreement unless the context otherwise requires.

 

(m) 
IRC Section 409A. The parties to this Agreement intend that the Agreement complies with Section 409A of the
Internal Revenue Code of 1986, as amended (the “Code”), where applicable, and this Agreement shall be interpreted in
a manner consistent with that intention. To the extent not otherwise provided by this Agreement, and solely to the extent required
by Section 409A of the Code, no payment or other distribution required to be made to the Employee hereunder (including any payment
of cash, any transfer of property and any provision of taxable benefits) as a result of his termination of employment with the
Company shall be made earlier than the date that is six (6) months and one day following the date on which the Employee
separates from service with the Company and its affiliates (within the meaning of Section 409A of the Code).

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(n) 
Recovery of Compensation. All payments and benefits provided under this Agreement shall be subject to any
compensation recovery or clawback policy as required under applicable law, rule or regulation or otherwise adopted by the Company
from time to time.

 

(o) 
Participation of the Parties. The parties hereto acknowledge and agree that (i) this Agreement and all matters
contemplated herein have been negotiated among all parties hereto and their respective legal counsel, if any, (ii) each party has
had, or has been afforded the opportunity to have, this Agreement and the transactions contemplated hereby reviewed by independent
counsel of its own choosing, (iii) all such parties have participated in the drafting and preparation of this Agreement from the
commencement of negotiations at all times through the execution hereof, and (iv) any ambiguities contained in this Agreement shall
not be construed against any party hereto.

 

 

[SIGNATURE PAGE FOLLOWS]

 

    	 	12	 

     

    

IN WITNESS WHEREOF, each of the parties
hereto has duly executed this Employment Agreement as of the date set forth above.

 

	
        Black Diamond, Inc.

         

         

        By:  /s/ Warren B. Kanders

Name: Warren B. Kanders

Title: Executive
Chairman
	
        Employee

         

         

/s/
Aaron Kuehne

        Aaron Kuehne

	 	 

 

 

 

(Signature Page to Employment Agreement
of Aaron Kuehne)Exhibit 10.1

 

ENERGOUS CORPORATION

 

2013 EQUITY INCENTIVE PLAN

 

(AS AMENDED AND RESTATED MAY 19, 2016)

 

Energous Corporation sets forth herein the
terms and conditions of its 2013 Equity Incentive Plan (as Amended and Restated May 19, 2016), as follows:

 

		1.	PURPOSE

 

The Plan is intended to enhance the Company’s
and its Affiliates’ ability to attract and retain highly qualified officers, Non-Employee Directors, key employees and Consultants,
and to motivate such officers, Non-Employee Directors, key employees and Consultants to serve the Company and its Affiliates and
to expend maximum effort to improve the business results and earnings of the Company, by providing to such persons an opportunity
to acquire or increase a direct proprietary interest in the operations and future success of the Company. To this end, the Plan
provides for the grant of stock options, stock appreciation rights, restricted stock, restricted stock units, unrestricted stock,
other share-based awards and cash awards. Any of these awards may, but need not, be made as performance incentives to reward attainment
of performance goals in accordance with the terms and conditions hereof. Stock options granted under the Plan may be non-qualified
stock options or incentive stock options, as provided herein.

 

		2.	DEFINITIONS

 

For purposes of interpreting the Plan and
related documents (including Award Agreements), the following definitions shall apply:

 

2.1. “Acquiror” shall
have the meaning set forth in Section 15.2.

 

2.2. “Affiliate” means
any company or other trade or business that “controls,” is “controlled by” or is “under common control
with” the Company within the meaning of Rule 405 of Regulation C under the Securities Act, including any Subsidiary.

 

2.3. “Annual Incentive Award”
means a cash-based Performance Award with a performance period that is the Company’s fiscal year or other 12-month (or shorter)
performance period as specified under the terms and conditions of the Award as approved by the Committee.

 

2.4. “Award” means a
grant of an Option, SAR, Restricted Stock, RSU, Other Share-based Award or cash award under the Plan.

 

2.5. “Award Agreement”
means a written agreement between the Company and a Grantee, or notice from the Company or an Affiliate to a Grantee that evidences
and sets out the terms and conditions of an Award.

 

2.6. “Board” means the
Board of Directors of the Company.

 

2.7. “Business Combination”
shall have the meaning set forth in Section 15.2.

 

2.8. “Cause” shall be
defined as that term is defined in the Grantee’s offer letter or other applicable employment agreement; or, if there is no
such definition, “Cause” means, unless otherwise provided in the applicable Award Agreement: (i) the commission
of any act by the Grantee constituting financial dishonesty against the Company or its Affiliates (which act would be chargeable
as a crime under applicable law); (ii) the Grantee’s engaging in any other act of dishonesty, fraud, intentional misrepresentation,
moral turpitude, illegality or harassment that would (a) materially adversely affect the business or the reputation of the
Company or any of its Affiliates with their respective current or prospective customers, suppliers, lenders or other third parties
with whom such entity does or might do business or (b) expose the Company or any of its Affiliates to a risk of civil or criminal
legal damages, liabilities or penalties; (iii) the repeated failure by the Grantee to follow the directives of the Chief Executive
Officer of the Company or any of its Affiliates or the Board; or (iv) any material misconduct, violation of the Company’s
or Affiliates’ policies, or willful and deliberate non-performance of duty by the Grantee in connection with the business
affairs of the Company or its Affiliates.

 

    	 	 	 

     

    

 

2.9. “Change in Control”
shall have the meaning set forth in Section 15.2.

 

2.10. “Code” means the
Internal Revenue Code of 1986.

 

2.11. “Committee” means
the Compensation Committee of the Board or any committee or other person or persons designated by the Board to administer the Plan.
The Board will cause the Committee to satisfy the applicable requirements of any securities exchange on which the Common Stock
may then be listed. For purposes of Awards to Covered Employees intended to qualify as “performance-based compensation”
under Section 162(m), to the extent required by Section 162(m), Committee means all of the members of the Committee who
are “outside directors” within the meaning of Section 162(m). For purposes of Awards to Grantees who are subject
to Section 16 of the Exchange Act, Committee means all of the members of the Committee who are “non-employee directors”
within the meaning of Rule 16b-3 adopted under the Exchange Act.

 

2.12. “Company” means
Energous Corporation, a Delaware Corporation, or any successor corporation.

 

2.13. “Common Stock”
means the common stock of the Company.

 

2.14. “Consultant” means
a consultant or advisor that provides bona fide services to the Company or any Affiliate and who qualifies as a consultant or advisor
under Form S-8.

 

2.15. “Covered Employee”
means a Grantee who is a “covered employee” within the meaning of Section 162(m), as qualified by Section 12.4.

 

2.16. “Disability” shall
be defined as that term is defined in the Grantee’s offer letter or other applicable employment agreement; or, if there is
no such definition, “Disability” means, unless otherwise provided in the applicable Award Agreement, the Grantee is
unable to perform each of the essential duties of such Grantee’s position by reason of a medically determinable physical
or mental impairment that is potentially permanent in character or that can be expected to last for a continuous period of not
less than 12 months; provided, however, that, with respect to rules regarding expiration of an Incentive Stock Option
following termination of the Grantee’s Service, “Disability” means “permanent and total disability”
as set forth in Code Section 22(e)(3).

 

2.17. “Effective Date”
means May 19, 2016, the date the Plan was most recently approved by the Stockholders.

 

2.18. “Exchange Act”
means the Securities Exchange Act of 1934.

 

2.19. “Fair Market Value”
of a Share as of a particular date means (i) if the Common Stock is listed on a national securities exchange, the closing or last
price of the Common Stock on the composite tape or other comparable reporting system for the applicable date, or if the applicable
date is not a trading day, the trading day immediately preceding the applicable date, or (ii) if the Common Stock is not then listed
on a national securities exchange, the closing or last price of the Common Stock quoted by an established quotation service for
over-the-counter securities, or (iii) if the Common Stock is not then listed on a national securities exchange or quoted by an
established quotation service for over-the-counter securities, or the value of the Common Stock is not otherwise determinable,
such value as determined by the Committee.

 

2.20. “Family Member”
means a person who is a spouse, former spouse, child, stepchild, grandchild, parent, stepparent, grandparent, niece, nephew, mother-in-law,
father-in-law, son-in-law, daughter-in-law, brother, sister, brother-in-law or sister-in-law, including adoptive relationships,
of the applicable individual, any person sharing the applicable individual’s household (other than a tenant or employee),
a trust in which any one or more of these persons have more than 50% of the beneficial interest, a foundation in which any one
or more of these persons (or the applicable individual) control the management of assets, and any other entity in which one or
more of these persons (or the applicable individual) own more than 50% of the voting interests.

 

    	 	2	 

     

    

 

2.21. “Grant Date” means
the latest to occur of (i) the date as of which the Committee approves an Award, (ii) the date on which the recipient
of an Award first becomes eligible to receive an Award under Section 6 or (iii) such other date as may be specified
by the Committee in the Award Agreement.

 

2.22. “Grantee” means
a person who receives or holds an Award.

 

2.23. “Incentive Stock Option”
means an “incentive stock option” within the meaning of Code Section 422.

 

2.24. “Incumbent Directors”
shall have the meaning set forth in Section 15.2.

 

2.25. “Non-Employee Director”
means a member of the Board or the board of directors of an Affiliate, in each case who is not an officer or employee of the Company
or any Affiliate.

 

2.26. “Non-qualified Stock Option”
means an Option that is not an Incentive Stock Option.

 

2.27. “Option” means
an option to purchase one or more Shares pursuant to the Plan.

 

2.28. “Option Price”
means the exercise price for each Share subject to an Option.

 

2.29. “Other Share-based Awards”
means Awards consisting of Share units, or other Awards, valued in whole or in part by reference to, or otherwise based on, Common
Stock, other than Options, SARs, Restricted Stock and RSUs.

 

2.30. “Performance Award”
means an Award made subject to the attainment of performance goals (as described in Section 12) over a performance
period of at least one year established by the Committee, and includes an Annual Incentive Award.

 

2.31. “Person” means
an individual, entity or group within the meaning of Section 13(d)(3) or 14(d)(2) of the Exchange Act.

 

2.32. “Plan” means this
Energous Corporation 2013 Equity Incentive Plan.

 

2.33. “Purchase Price”
means the purchase price for each Share pursuant to a grant of Restricted Stock.

 

2.34. “Restricted Period”
shall have the meaning set forth in Section 10.1.

 

2.35. “Restricted Stock”
means restricted Shares that are subject to specified terms and conditions, awarded to a Grantee pursuant to Section 10.

 

2.36. “Restricted Stock Unit”
or “RSU” means a bookkeeping entry representing the right to receive Shares or their cash equivalent subject
to the satisfaction of specified terms and conditions, awarded to a Grantee pursuant to Section 10.

 

2.37. “SAR Exercise Price”
means the per Share exercise price of a SAR granted to a Grantee under Section 9.

 

2.38. “SEC” means the
United States Securities and Exchange Commission.

 

2.39. “Section 162(m)”
means Code Section 162(m).

 

    	 	3	 

     

    

 

2.40. “Section 409A”
means Code Section 409A.

 

2.41. “Securities Act”
means the Securities Act of 1933.

 

2.42. “Separation from Service”
means the termination of a Service Provider’s Service, whether initiated by the Service Provider or the Company or an Affiliate;
provided that if any Award governed by Section 409A is to be distributed on a Separation from Service, then the definition
of Separation from Service for such purposes shall comply with the definition provided in Section 409A.

 

2.43. “Service” means
service as a Service Provider to the Company or an Affiliate. Unless otherwise provided in the applicable Award Agreement, a Grantee’s
change in position or duties shall not result in interrupted or terminated Service, so long as such Grantee continues to be a Service
Provider to the Company or an Affiliate.

 

2.44. “Service Provider”
means an employee, officer, Non-Employee Director or Consultant of the Company or an Affiliate.

 

2.45. “Share” means a
share of Common Stock.

 

2.46. “Stock Appreciation Right”
or “SAR” means a right granted to a Grantee pursuant to Section 9.

 

2.47. “Stockholder” means
a stockholder of the Company.

 

2.48. “Subsidiary” means
any “subsidiary corporation” of the Company within the meaning of Code Section 424(f).

 

2.49. “Substitute Award”
means any Award granted in assumption of or in substitution for an award of a company or business acquired by the Company or
an Affiliate or with which the Company or an Affiliate combines.

 

2.50. “Ten Percent Stockholder”
means an individual who owns more than 10% of the total combined voting power of all classes of outstanding stock of the Company,
its parent or any of its Subsidiaries. In determining stock ownership, the attribution rules of Code Section 424(d) shall
be applied.

 

2.51. “Termination Date”
means the date that is 10 years after the Effective Date, unless the Plan is earlier terminated by the Board under Section 5.2.

 

2.52. “Voting Securities”
shall have the meaning set forth in Section 15.2.

 

		3.	ADMINISTRATION OF THE PLAN

 

3.1. General

 

The Board shall have such powers and authorities
related to the administration of the Plan as are consistent with the Company’s certificate of incorporation and bylaws and
applicable law. The Board shall have the power and authority to delegate its responsibilities hereunder to the Committee, which
shall have full authority to act in accordance with its charter, and with respect to the power and authority of the Board to act
hereunder, all references to the Board shall be deemed to include a reference to the Committee, unless such power or authority
is specifically reserved by the Board. Except as specifically provided in Section 14 or as otherwise may be required
by applicable law, regulatory requirement or the certificate of incorporation or the bylaws of the Company, the Board shall have
full power and authority to take all actions and to make all determinations required or provided for under the Plan, any Award
or any Award Agreement, and shall have full power and authority to take all such other actions and make all such other determinations
not inconsistent with the specific terms and conditions of the Plan that the Board deems to be necessary or appropriate to the
administration of the Plan. The Committee shall administer the Plan; provided that, the Board shall retain the right to
exercise the authority of the Committee to the extent consistent with applicable law and the applicable requirements of any securities
exchange on which the Common Stock may then be listed. All actions, determinations and decisions by the Board or the Committee
under the Plan, any Award or any Award Agreement shall be in the Board’s (or the Committee’s, as applicable) sole discretion
and shall be final, binding and conclusive. Without limitation, the Committee shall have full and final power and authority, subject
to the other terms and conditions of the Plan, to:

 

		(i)	designate Grantees;

 

    	 	4	 

     

    

 

		(ii)	determine the type or types of Awards to be made to Grantees;

 

		(iii)	determine the number of Shares to be subject to an Award;

 

		(iv)	establish the terms and conditions of each Award (including the Option Price of any Option, the nature and duration of any
restriction or condition (or provision for lapse thereof) relating to the vesting, exercise, transfer or forfeiture of an Award
or the Shares subject thereto and any terms or conditions that may be necessary to qualify Options as Incentive Stock Options;

 

		(v)	prescribe the form of each Award Agreement; and

 

		(vi)	amend, modify or supplement the terms or conditions of any outstanding Award including the authority, in order to effectuate
the purposes of the Plan, to modify Awards to foreign nationals or individuals who are employed outside the United States
to recognize differences in local law, tax policy or custom.

 

To the extent permitted by applicable law,
the Committee may delegate its authority as identified herein to any individual or committee of individuals (who need not be directors),
including the authority to make Awards to Grantees who are not subject to Section 16 of the Exchange Act or who are not Covered
Employees. To the extent that the Committee delegates its authority to make Awards as provided by this Section 3.1,
all references in the Plan to the Committee’s authority to make Awards and determinations with respect thereto shall be deemed
to include the Committee’s delegate. Any such delegate shall serve at the pleasure of, and may be removed at any time by,
the Committee.

 

3.2. No Repricing

 

Notwithstanding any provision herein to
the contrary, the repricing of Options or SARs is prohibited without prior approval of the Stockholders. For this purpose, a “repricing”
means any of the following (or any other action that has the same effect as any of the following): (i) changing the terms of an
Option or SAR to lower its Option Price or SAR Exercise Price; (ii) any other action that is treated as a “repricing”
under generally accepted accounting principles; and (iii) repurchasing for cash or canceling an Option or SAR at a time when its
Option Price or SAR Exercise Price is greater than the Fair Market Value of the underlying Shares in exchange for another award,
unless the cancellation and exchange occurs in connection with a change in capitalization or similar change under Section 15.
A cancellation and exchange under clause (iii) would be considered a “repricing” regardless of whether it is treated
as a “repricing” under generally accepted accounting principles and regardless of whether it is voluntary on the part
of the Grantee.

 

3.3. Award Agreements; Clawbacks

 

The grant of any Award may be contingent
upon the Grantee executing the appropriate Award Agreement. The Company may retain the right in an Award Agreement to cause a forfeiture
of the gain realized by a Grantee on account of actions taken by the Grantee in violation or breach of or in conflict with any
employment agreement, non-competition agreement, any agreement prohibiting solicitation of employees or clients of the Company
or any Affiliate thereof or any confidentiality obligation with respect to the Company or any Affiliate thereof, or otherwise in
competition with the Company or any Affiliate thereof, to the extent specified in such Award Agreement applicable to the Grantee.
Furthermore, the Company may annul an Award if the Grantee is terminated for Cause.

 

    	 	5	 

     

    

 

All awards, amounts or benefits received
or outstanding under the Plan shall be subject to clawback, cancellation, recoupment, rescission, payback, reduction or other similar
action in accordance with the terms of any Company clawback or similar policy or any applicable law related to such actions, as
may be in effect from time to time. A Grantee’s acceptance of an Award shall be deemed to constitute the Grantee’s
acknowledgement of and consent to the Company’s application, implementation and enforcement of any applicable Company clawback
or similar policy that may apply to the Grantee, whether adopted prior to or following the Effective Date, and any provision of
applicable law relating to clawback, cancellation, recoupment, rescission, payback or reduction of compensation, and the Grantee’s
agreement that the Company may take such actions as may be necessary to effectuate any such policy or applicable law, without further
consideration or action.

 

3.4. Deferral Arrangement

 

The Committee may permit or require the
deferral of any Award payment into a deferred compensation arrangement, subject to such rules and procedures as it may establish
and in accordance with Section 409A, which may include provisions for the payment or crediting of interest or dividend equivalents,
including converting such credits into deferred Share units.

 

3.5. No Liability

 

No member of the Board or of the Committee
shall be liable for any action or determination made in good faith with respect to the Plan, any Award or Award Agreement.

 

3.6. Book Entry

 

Notwithstanding any other provision of the
Plan to the contrary, the Company may elect to satisfy any requirement under the Plan for the delivery of stock certificates through
the use of book entry.

 

		4.	STOCK SUBJECT TO THE PLAN

 

4.1. Authorized Number of Shares

 

Subject to adjustment under Section 15,
the aggregate number of Shares authorized to be issued under the Plan is 4,485,967. Shares issued under the Plan may consist in
whole or in part of authorized but unissued Shares, treasury Shares or Shares purchased on the open market or otherwise, all as
determined by the Board from time to time.

 

4.2. Share Counting

 

4.2.1. General

 

Each Share granted in connection with an Award
shall be counted as one Share against the limit in Section 4.1, subject to the provisions of this Section 4.2.

 

4.2.2. Cash-Settled Awards

 

Any Award settled in cash shall not be counted
as issued Shares for any purpose under the Plan.

 

4.2.3. Expired or Terminated Awards

 

If any Award expires, or is terminated, surrendered
or forfeited, in whole or in part, the unissued Shares covered by such Award shall again be available for the grant of Awards.

 

    	 	6	 

     

    

 

4.2.4. Payment of Option Price or Tax
Withholding in Shares

 

If Shares issuable upon exercise, vesting
or settlement of an Award, or Shares owned by a Grantee (which are not subject to any pledge or other security interest) are surrendered
or tendered to the Company in payment of the Option Price or Purchase Price of an Award or any taxes required to be withheld in
respect of an Award, in each case, in accordance with the terms and conditions of the Plan and any applicable Award Agreement,
such surrendered or tendered Shares shall again be available for the grant of Awards. For a stock-settled SAR, only the net Shares
actually issued upon exercise of the SAR shall be counted against the limit in Section 4.1.

 

4.2.5. Substitute Awards

 

Substitute Awards shall not be counted against
the number of Shares reserved under the Plan.

 

4.3. Award Limits

 

4.3.1. Incentive Stock Options

 

Subject to adjustment under Section 15,
4,485,967 Shares available for issuance under the Plan shall be available for issuance as Incentive Stock Options.

 

4.3.2. Individual Award Limits for Section 162(m)
– Share-Based Awards

 

Subject to adjustment under Section 15,
the maximum number of each type of Award (other than cash-based Performance Awards) intended to qualify as “performance-based
compensation” under Section 162(m) granted to any Grantee in any calendar year shall not exceed the following number
of Shares: (i) Options and SARs: 2,000,000 Shares; and (ii) all share-based Performance Awards (including Restricted Stock, RSUs
and Other Share-based Awards that are Performance Awards): 2,000,000 Shares.

 

4.3.3. Individual Award Limits for Section 162(m)
– Cash-Based Awards

 

The maximum amount of cash-based Performance
Awards intended to constitute “performance-based compensation” under Section 162(m) granted to any Grantee in
any calendar year shall not exceed the following: (i) Annual Incentive Awards: $1.0 million; and (ii) all other cash-based Performance
Awards: $1.0 million.

 

4.3.4. Limits on Awards to Non-Employee
Directors

 

The maximum value of Awards granted during
any calendar year to any Non-Employee Director, taken together with any cash fees paid to such Non-Employee Director during the
calendar year and the value of awards granted to the Non-Employee Director under any other equity compensation plan of the Company
or an Affiliate during the calendar year, shall not exceed the following in total value (calculating the value of any Awards or
other equity compensation plan awards based on the grant date fair value for financial reporting purposes): (i) $500,000 for
the Chair of the Board and (ii) $300,000 for each Non-Employee Director other than the Chair of the Board; provided, however,
that awards granted to Non-Employee Directors upon their initial election to the Board or the board of directors of an Affiliate
shall not be counted towards the limit under this Section 4.3.4. Any Awards or other equity compensation plan awards
that are scheduled to vest over a period of more than one calendar year shall be applied pro rata (based on grant date fair value
as provided above) for purposes of the limit under this Section 4.3.4 based on the number of years over which such
awards are scheduled to vest.

 

    	 	7	 

     

    

 

		5.	EFFECTIVE DATE, DURATION AND AMENDMENTS

 

5.1. Term

 

The Plan shall be effective as of the Effective
Date, provided that it has been approved by the Stockholders. The Plan shall terminate automatically on the 10-year anniversary
of the Effective Date and may be terminated on any earlier date as provided in Section 5.2.

 

5.2. Amendment and Termination of the
Plan

 

The Board may, at any time and from time
to time, amend, suspend or terminate the Plan as to any Awards that have not been made. An amendment shall be contingent on approval
of the Stockholders to the extent stated by the Board, required by applicable law or required by applicable securities exchange
listing requirements. No Awards shall be made after the Termination Date. The applicable terms and conditions of the Plan, and
any terms and conditions applicable to Awards granted prior to the Termination Date shall survive the termination of the Plan and
continue to apply to such Awards. No amendment, suspension or termination of the Plan shall, without the consent of the Grantee,
materially impair rights or obligations under any Award theretofore awarded.

 

		6.	AWARD ELIGIBILITY AND LIMITATIONS

 

6.1. Service Providers

 

Subject to this Section 6.1,
Awards may be made to any Service Provider as the Committee may determine and designate from time to time.

 

6.2. Successive Awards

 

An eligible person may receive more than
one Award, subject to such restrictions as are provided herein.

 

6.3. Stand-Alone, Additional, Tandem,
and Substitute Awards

 

Awards may be granted either alone or in
addition to, in tandem with or in substitution or exchange for, any other Award or any award granted under another plan of the
Company, any Affiliate or any business entity to be acquired by the Company or an Affiliate, or any other right of a Grantee to
receive payment from the Company or any Affiliate. Such additional, tandem or substitute or exchange Awards may be granted at any
time. If an Award is granted in substitution or exchange for another award, the Committee shall have the right to require the surrender
of such other award in consideration for the grant of the new Award. Subject to the requirements of applicable law, the Committee
may make Awards in substitution or exchange for any other award under another plan of the Company, any Affiliate or any business
entity to be acquired by the Company or an Affiliate. In addition, Awards may be granted in lieu of cash compensation, including
in lieu of cash amounts payable under other plans of the Company or any Affiliate, in which the value of Shares subject to the
Award is equivalent in value to the cash compensation (for example, RSUs or Restricted Stock).

 

		7.	AWARD AGREEMENT

 

The grant of any Award may be contingent
upon the Grantee executing an appropriate Award Agreement, in such form or forms as the Committee shall from time to time determine.
Without limiting the foregoing, an Award Agreement may be provided in the form of a notice that provides that acceptance of the
Award constitutes acceptance of all terms and conditions of the Plan and the notice. Award Agreements granted from time to time
or at the same time need not contain similar provisions but shall be consistent with the terms and conditions of the Plan. Each
Award Agreement evidencing an Award of Options shall specify whether such Options are intended to be Non-qualified Stock Options
or Incentive Stock Options, and in the absence of such specification such options shall be deemed Non-qualified Stock Options.

 

    	 	8	 

     

    

 

		8.	TERMS AND CONDITIONS OF OPTIONS

 

8.1. Option Price

 

The Option Price of each Option shall be
fixed by the Committee and stated in the related Award Agreement. The Option Price of each Option (except those that constitute
Substitute Awards) shall be at least the Fair Market Value on the Grant Date; provided, however, that in the event
that a Grantee is a Ten Percent Stockholder as of the Grant Date, the Option Price of an Option granted to such Grantee that is
intended to be an Incentive Stock Option shall be not less than 110% of the Fair Market Value on the Grant Date. In no case shall
the Option Price of any Option be less than the par value of a Share.

 

8.2. Vesting

 

Subject to Section 8.3, each
Option shall become exercisable at such times and under such conditions (including performance requirements) as stated in the Award
Agreement.

 

8.3. Term

 

Each Option shall terminate, and all rights
to purchase Shares thereunder shall cease 10 years from the Grant Date, or under such circumstances and on such date prior thereto
as is set forth in the Plan or as may be fixed by the Committee and stated in the related Award Agreement; provided, however,
that in the event that the Grantee is a Ten Percent Stockholder, an Option granted to such Grantee that is intended to be an Incentive
Stock Option at the Grant Date shall not be exercisable after the expiration of five years from its Grant Date.

 

8.4. Limitations on Exercise of Option

 

Notwithstanding any other provision of the
Plan, in no event may any Option be exercised, in whole or in part, (i) prior to the date the Plan is approved by the Stockholders
as provided herein or (ii) after the occurrence of an event that results in termination of the Option.

 

8.5. Method of Exercise

 

An Option that is exercisable may be exercised
by the Grantee’s delivery of a notice of exercise to the Company, setting forth the number of Shares with respect to which
the Option is to be exercised, accompanied by full payment for the Shares. To be effective, notice of exercise must be made in
accordance with procedures established by the Company from time to time.

 

8.6. Rights of Holders of Options

 

Unless otherwise provided in the applicable
Award Agreement, an individual holding or exercising an Option shall have none of the rights of a Stockholder (for example, the
right to receive cash or dividend payments or distributions attributable to the subject Shares or to direct the voting of the subject
Shares) until the Shares covered thereby are fully paid and issued to him. Except as provided in Section 15 or the
related Award Agreement, no adjustment shall be made for dividends, distributions or other rights for which the record date is
prior to the date of such issuance.

 

8.7. Delivery of Stock Certificates

 

Subject to Section 3.6, promptly
after the exercise of an Option by a Grantee and the payment in full of the Option Price, such Grantee shall be entitled to the
issuance of a stock certificate or certificates evidencing his or her ownership of the Shares subject to the Option.

 

    	 	9	 

     

    

 

8.8. Limitations on Incentive Stock Options

 

An Option shall constitute an Incentive
Stock Option only (i) if the Grantee is an employee of the Company or any Subsidiary, (ii) to the extent specifically
provided in the related Award Agreement and (iii) to the extent that the aggregate Fair Market Value (determined at the time
the Option is granted) with respect to which all Incentive Stock Options held by such Grantee become exercisable for the first
time during any calendar year (under the Plan and all other plans of the Grantee’s employer and its Affiliates) does not
exceed $100,000. This limitation shall be applied by taking Options into account in the order in which they were granted.

 

		9.	TERMS AND CONDITIONS OF STOCK APPRECIATION RIGHTS

 

9.1. Right to Payment

 

A SAR shall confer on the Grantee a right
to receive, upon exercise thereof, the excess of (i) the Fair Market Value on the date of exercise over (ii) the SAR
Exercise Price, as determined by the Committee. The Award Agreement for a SAR (except those that constitute Substitute Awards)
shall specify the SAR Exercise Price, which shall be fixed on the Grant Date as not less than the Fair Market Value on that date.
SARs may be granted alone or in conjunction with all or part of an Option or at any subsequent time during the term of such Option
or in conjunction with all or part of any other Award. A SAR granted in tandem with an outstanding Option following the Grant Date
of such Option shall have a grant price that is equal to the Option Price; provided, however, that the SAR’s
grant price may not be less than the Fair Market Value on the Grant Date of the SAR to the extent required by Section 409A.

 

9.2. Other Terms

 

The Committee shall determine the time or
times at which and the circumstances under which a SAR may be exercised in whole or in part (including based on achievement of
performance goals and/or future service requirements), the time or times at which SARs shall cease to be or become exercisable
following Separation from Service or upon other conditions, the method of exercise, whether or not a SAR shall be in tandem or
in combination with any other Award and any other terms and conditions of any SAR.

 

9.3. Term of SARs

 

The term of a SAR shall be determined by
the Committee; provided, however, that such term shall not exceed 10 years.

 

9.4. Payment of SAR Amount

 

Upon exercise of a SAR, a Grantee shall
be entitled to receive payment from the Company (in cash or Shares, as determined by the Committee) in an amount determined by
multiplying:

 

		(i)	the difference between the Fair Market Value on the date of exercise over the SAR Exercise Price; by

 

		(ii)	the number of Shares with respect to which the SAR is exercised.

 

		10.	TERMS AND CONDITIONS OF RESTRICTED STOCK AND RESTRICTED STOCK UNITS

 

10.1. Restrictions

 

At the time of grant, the Committee may
establish a period of time (a “Restricted Period”) and any additional restrictions including the satisfaction
of corporate or individual performance objectives applicable to an Award of Restricted Stock or RSUs. Each Award of Restricted
Stock or RSUs may be subject to a different Restricted Period and additional restrictions. Neither Restricted Stock nor RSUs may
be sold, transferred, assigned, pledged or otherwise encumbered or disposed of during the Restricted Period or prior to the satisfaction
of any other applicable restrictions.

 

    	 	10	 

     

    

 

10.2. Restricted Stock Certificates

 

The Company shall issue Shares, in the name
of each Grantee to whom Restricted Stock has been granted, stock certificates or other evidence of ownership representing the total
number of Shares of Restricted Stock granted to the Grantee, as soon as reasonably practicable after the Grant Date. The Committee
may provide in an Award Agreement that either (i) the Secretary of the Company shall hold such certificates for the Grantee’s
benefit until such time as the Restricted Stock is forfeited to the Company or the restrictions lapse, or (ii) such certificates
shall be delivered to the Grantee; provided, however, that such certificates shall bear a legend or legends that
comply with the applicable securities laws and regulations and make appropriate reference to the restrictions imposed under the
Plan and the Award Agreement.

 

10.3. Rights of Holders of Restricted
Stock

 

Unless the otherwise provided in the applicable
Award Agreement and subject to Section 17.10, holders of Restricted Stock shall have rights as Stockholders, including
voting and dividend rights.

 

10.4. Rights of Holders of RSUs

 

10.4.1. Settlement of RSUs

 

RSUs may be settled in cash or Shares, as
determined by the Committee and set forth in the Award Agreement. The Award Agreement shall also set forth whether the RSUs shall
be settled (i) within the time period specified for “short term deferrals” under Section 409A or (ii) otherwise
within the requirements of Section 409A, in which case the Award Agreement shall specify upon which events such RSUs shall
be settled.

 

10.4.2. Voting and Dividend Rights

 

Unless otherwise provided in the applicable
Award Agreement and subject to Section 17.10, holders of RSUs shall not have rights as Stockholders, including voting
or dividend or dividend equivalents rights.

 

10.4.3. Creditor’s Rights

 

A holder of RSUs shall have no rights other
than those of a general creditor of the Company. RSUs represent an unfunded and unsecured obligation of the Company, subject to
the terms and conditions of the applicable Award Agreement.

 

10.5. Purchase of Restricted Stock

 

The Grantee shall be required, to the extent
required by applicable law, to purchase the Restricted Stock from the Company at a Purchase Price equal to the greater of (i) the
aggregate par value of the Shares represented by such Restricted Stock or (ii) the Purchase Price, if any, specified in the
related Award Agreement. If specified in the Award Agreement, the Purchase Price may be deemed paid by Services already rendered.
The Purchase Price shall be payable in a form described in Section 11 or, if so determined by the Committee, in consideration
for past Services rendered.

 

10.6. Delivery of Shares

 

Upon the expiration or termination of any
Restricted Period and the satisfaction of any other conditions prescribed by the Committee, the restrictions applicable to Shares
of Restricted Stock or RSUs settled in Shares shall lapse, and, unless otherwise provided in the applicable Award Agreement, a
stock certificate for such Shares shall be delivered, free of all such restrictions, to the Grantee or the Grantee’s beneficiary
or estate, as the case may be.

 

    	 	11	 

     

    

 

		11.	FORM OF PAYMENT FOR OPTIONS AND RESTRICTED STOCK

 

11.1. General Rule

 

Payment of the Option Price for the Shares
purchased pursuant to the exercise of an Option or the Purchase Price for Restricted Stock shall be made in cash or in cash equivalents
acceptable to the Company, except as provided in this Section 11.

 

11.2. Surrender of Shares

 

To the extent the Award Agreement so provides,
payment of the Option Price for Shares purchased pursuant to the exercise of an Option or the Purchase Price for Restricted Stock
may be made all or in part through the tender to the Company of Shares, which Shares shall be valued, for purposes of determining
the extent to which the Option Price or Purchase Price for Restricted Stock has been paid, at their Fair Market Value on the date
of exercise or surrender. Notwithstanding the foregoing, in the case of an Incentive Stock Option, the right to make payment in
the form of already-owned Shares may be authorized only at the time of grant.

 

11.3. Cashless Exercise

 

With respect to an Option only (and not
with respect to Restricted Stock), to the extent permitted by law and to the extent the Award Agreement so provides, payment of
the Option Price may be made all or in part by delivery (on a form acceptable to the Company) of an irrevocable direction to a
licensed securities broker acceptable to the Company to sell Shares and to deliver all or part of the sales proceeds to the Company
in payment of the Option Price and any withholding taxes described in Section 17.3.

 

11.4. Other Forms of Payment

 

To the extent the Award Agreement so provides,
payment of the Option Price or the Purchase Price for Restricted Stock may be made in any other form that is consistent with applicable
laws, regulations and rules, including the Company’s withholding of Shares otherwise due to the exercising Grantee.

 

		12.	TERMS AND CONDITIONS OF PERFORMANCE AWARDS

 

12.1. Performance Conditions

 

The right of a Grantee to exercise or receive
a grant or settlement of any Award, and the timing thereof, may be subject to such performance conditions as may be specified by
the Committee. The Committee may use such business criteria and other measures of performance as it may deem appropriate in establishing
any performance conditions.

 

12.2. Performance Awards Granted to Designated
Covered Employees

 

If and to the extent that the Committee
determines that a Performance Award to be granted to a Grantee who is designated by the Committee as likely to be a Covered Employee
should qualify as “performance-based compensation” for purposes of Section 162(m), the grant, exercise and/or
settlement of such Performance Award shall be contingent upon achievement of pre-established performance goals and other terms
and conditions set forth in this Section 12.2. Notwithstanding anything herein to the contrary, the Committee may provide
for Performance Awards to Covered Employees that are not intended to qualify as “performance-based compensation” for
purposes of Section 162(m).

 

    	 	12	 

     

    

 

12.2.1. Performance Goals Generally

 

The performance goals for Performance Awards
shall consist of one or more business criteria and a targeted level or levels of performance with respect to each of such criteria,
as specified by the Committee consistent with this Section 12.2. Performance goals shall be objective and shall otherwise
meet the requirements of Section 162(m), including the requirement that the level or levels of performance targeted by the
Committee result in the achievement of performance goals being “substantially uncertain.” The Committee may determine
that Performance Awards shall be granted, exercised and/or settled upon achievement of any one performance goal or that two or
more of the performance goals must be achieved as a condition to grant, exercise and/or settlement of the Performance Awards. Performance
goals may be established on a Company-wide basis, or with respect to one or more business units, divisions, Affiliates or business
segments, as applicable. Performance goals may be absolute or relative (to the performance of one or more comparable companies
or indices). To the extent consistent with the requirements of Section 162(m), the Committee may determine at the time that
goals under this Section 12 are established the extent to which measurement of performance goals may exclude the impact
of charges for restructuring, discontinued operations, extraordinary items, debt redemption or retirement, asset write downs, litigation
or claim judgments or settlements, acquisitions or divestitures, foreign exchange gains and losses and other extraordinary, unusual
or non-recurring items, and the cumulative effects of tax or accounting changes (each as defined by generally accepted accounting
principles and as identified in the Company’s financial statements or other SEC filings). Performance goals may differ for
Performance Awards granted to any one Grantee or to different Grantees.

 

12.2.2. Business Criteria

 

One or more of the following business criteria
for the Company, on a consolidated basis, and/or specified Affiliates or business units of the Company (except with respect to
the total stockholder return and earnings per share criteria), shall be used exclusively by the Committee in establishing performance
goals for Performance Awards: (i) cash flow; (ii) earnings per share, as adjusted for any stock split, stock dividend or other
recapitalization; (iii) earnings measures (including EBIT and EBITDA)); (iv) return on equity; (v) total stockholder return; (vi)
share price performance, as adjusted for any stock split, stock dividend or other recapitalization; (vii) return on capital; (viii)
revenue; (ix) income; (x) profit margin; (xi) return on operating revenue; (xii) brand recognition or acceptance; (xiii) customer
metrics (including customer satisfaction, customer retention, customer profitability or customer contract terms); (xiv) productivity;
(xv) expense targets; (xvi) market share; (xvii) cost control measures; (xviii) balance sheet metrics; (xix) strategic initiatives;
(xx) implementation, completion or attainment of measurable objectives with respect to recruitment or retention of personnel or
employee satisfaction; (xxi) return on assets; (xxii) growth in net sales; (xxiii) the ratio of net sales to net working capital;
(xxiv) stockholder value added; (xxv) improvement in management of working capital items (inventory, accounts receivable or accounts
payable); (xxvi) sales from newly-introduced products; (xxvii) successful completion of, or achievement of milestones or objectives
related to, financing or capital raising transactions, strategic acquisitions or divestitures, joint ventures, partnerships, collaborations
or other transactions; (xxviii) product quality, safety, productivity, yield or reliability (on time and complete orders); (xxix)
funds from operations; (xxx) regulatory body approval for commercialization of a product; (xxxi) debt levels or reduction or debt
ratios; (xxxii) economic value; (xxxiii) operating efficiency; (xxxiv) research and development achievements; or (xxxv) any combination
of the forgoing business criteria; provided, however, that such business criteria shall include any derivations of
business criteria listed above (e.g., income shall include pre-tax income, net income and operating income).

 

12.2.3. Timing for Establishing Performance
Goals

 

Performance goals shall be established not
later than 90 days after the beginning of any performance period applicable to Performance Awards, or at such other date as may
be required or permitted for “performance-based compensation” under Section 162(m).

 

12.2.4. Settlement of Performance Awards;
Other Terms

 

Settlement of Performance Awards may be in
cash, Shares, other Awards or other property, as determined by the Committee. The Committee may reduce the amount of a settlement
otherwise to be made in connection with Performance Awards.

 

12.3. Written Determinations

 

All determinations by the Committee as to
the establishment of performance goals, the amount of any Performance Award pool or individual Performance Awards and as to the
achievement of performance goals relating to Performance Awards, shall be made in writing in the case of any Award intended to
qualify as “performance-based compensation” under Section 162(m) as required by Section 162(m). To the extent
permitted by Section 162(m), the Committee may delegate any responsibility relating to such Performance Awards.

 

    	 	13	 

     

    

 

12.4. Status of Section 12.2 Awards
under Section 162(m)

 

It is the intent of the Company that Performance
Awards under Section 12.2 granted to persons who are designated by the Committee as likely to be Covered Employees
within the meaning of Section 162(m) shall, if so designated by the Committee, qualify as “performance-based compensation”
within the meaning of Section 162(m). Accordingly, the terms and conditions of Section 12.2, including the definitions
of Covered Employee and other terms used therein, shall be interpreted in a manner consistent with Section 162(m). The foregoing
notwithstanding, because the Committee cannot determine with certainty whether a given Grantee will be a Covered Employee with
respect to a fiscal year that has not yet been completed, the term Covered Employee as used herein shall mean only a person designated
by the Committee, at the time of grant of Performance Awards, as likely to be a Covered Employee with respect to that fiscal year
or any subsequent fiscal year. If any provision of the Plan or any agreement relating to such Performance Awards does not comply
or is inconsistent with the requirements of Section 162(m), such provision shall be construed or deemed amended to the extent
necessary to conform to such requirements.

 

		13.	other SHARE-based awards

 

13.1. Grant of Other Share-based Awards

 

Other Share-based Awards may be granted
either alone or in addition to or in conjunction with other Awards. Other Share-based Awards may be granted in lieu of other cash
or other compensation to which a Service Provider is entitled from the Company or may be used in the settlement of amounts payable
in Shares under any other compensation plan or arrangement of the Company. Subject to the provisions of the Plan, the Committee
shall have the authority to determine the persons to whom and the time or times at which such Awards will be made, the number of
Shares to be granted pursuant to such Awards, and all other terms and conditions of such Awards. Unless the Committee determines
otherwise, any such Award shall be confirmed by an Award Agreement, which shall contain such provisions as the Committee determines
to be necessary or appropriate to carry out the intent of the Plan with respect to such Award.

 

13.2. Terms of Other Share-based Awards

 

Any Common Stock subject to Awards made
under this Section 13 may not be sold, assigned, transferred, pledged or otherwise encumbered prior to the date on
which the Shares are issued, or, if later, the date on which any applicable restriction, performance or deferral period lapses.

 

		14.	REQUIREMENTS OF LAW 

 

14.1. General

 

The Company shall not be required to sell
or issue any Shares under any Award if the sale or issuance of such Shares would constitute a violation by the Grantee, any other
individual exercising an Option or the Company of any provision of any law or regulation of any governmental authority, including
any federal or state securities laws or regulations. If at any time the Committee determines that the listing, registration or
qualification of any Shares subject to an Award upon any securities exchange or under any governmental regulatory body is necessary
or desirable as a condition of, or in connection with, the issuance or purchase of Shares hereunder, no Shares may be issued or
sold to the Grantee or any other individual exercising an Option pursuant to such Award unless such listing, registration, qualification,
consent or approval shall have been effected or obtained free of any conditions not acceptable to the Company, and any delay caused
thereby shall in no way affect the date of termination of the Award. Specifically, in connection with the Securities Act, upon
the exercise of any Option or the delivery of any Shares underlying an Award, unless a registration statement under such Act is
in effect with respect to the Shares covered by such Award, the Company shall not be required to sell or issue such Shares unless
the Committee has received evidence satisfactory to it that the Grantee or any other individual exercising an Option may acquire
such Shares pursuant to an exemption from registration under the Securities Act. The Company may, but shall in no event be obligated
to, register any securities covered hereby pursuant to the Securities Act. The Company shall not be obligated to take any affirmative
action in order to cause the exercise of an Option or the issuance of Shares pursuant to the Plan to comply with any law or regulation
of any governmental authority. As to any jurisdiction that expressly imposes the requirement that an Option shall not be exercisable
until the Shares covered by such Option are registered or are exempt from registration, the exercise of such Option (under circumstances
in which the laws of such jurisdiction apply) shall be deemed conditioned upon the effectiveness of such registration or the availability
of such an exemption.

 

    	 	14	 

     

    

 

14.2. Section 25102(o) of the California
Corporations Code.

 

The Plan is intended to comply with Section
25102(o) of the California Corporations Code. In that regard, to the extent required by Section 25102(o), (i) the terms of any
Options or SARs, to the extent vested and exercisable upon a Grantee’s Separation from Service, shall include any minimum
exercise periods following Separation from Service specified by Section 25102(o), and (ii) any repurchase right of the Company
with respect to Shares issued under the Plan shall include a minimum 90-day notice requirement. Any provision of the Plan that
is inconsistent with Section 25102(o) shall, without further act or amendment by the Company, be reformed to comply with the requirements
of Section 25102(o).

 

14.3. Rule 16b-3

 

During any time when the Company has a class
of equity security registered under Section 12 of the Exchange Act, it is the intent of the Company that Awards and the exercise
of Options granted hereunder will qualify for the exemption provided by Rule 16b-3 under the Exchange Act. To the extent that any
provision of the Plan or action by the Board or Committee does not comply with the requirements of Rule 16b-3, it shall be deemed
inoperative to the extent permitted by law and deemed advisable by the Committee, and shall not affect the validity of the Plan.
In the event that Rule 16b-3 is revised or replaced, the Committee may modify the Plan in any respect necessary to satisfy the
requirements of, or to take advantage of any features of, the revised exemption or its replacement.

 

		15.	EFFECT OF CHANGES IN CAPITALIZATION

 

15.1. Adjustments for Changes in Capital
Structure

 

Subject to any required action by the Stockholders,
in the event of any change in the Shares effected without receipt of consideration by the Company, whether through merger, consolidation,
reorganization, reincorporation, recapitalization, reclassification, stock dividend, stock split, reverse stock split, split-up,
split-off, spin-off, combination of shares, exchange of shares or similar change in the capital structure of the Company, or in
the event of payment of a dividend or distribution to the Stockholders in a form other than Shares (excepting normal cash dividends)
that has a material effect on the Fair Market Value of Shares, appropriate and proportionate adjustments shall be made in the number
and class of shares subject to the Plan and to any outstanding Awards, and in the Option Price, SAR Exercise Price or Purchase
Price per Share of any outstanding Awards in order to prevent dilution or enlargement of Grantees’ rights under the Plan.
For purposes of the foregoing, conversion of any convertible securities of the Company shall not be treated as “effected
without receipt of consideration by the Company.” If a majority of the shares which are of the same class as the shares that
are subject to outstanding Awards are exchanged for, converted into, or otherwise become (whether or not pursuant to a Change in
Control) shares of another corporation (the “New Shares”), the Committee may unilaterally amend the outstanding
Awards to provide that such Awards are for New Shares. In the event of any such amendment, the number of Shares subject to, and
the Option Price, SAR Exercise Price or Purchase Price per Share of, the outstanding Awards shall be adjusted in a fair and equitable
manner as determined by the Committee. Any fractional share resulting from an adjustment pursuant to this Section 15.1 shall
be rounded down to the nearest whole number and the Option Price, SAR Exercise Price or Purchase Price per share shall be rounded
up to the nearest whole cent. In no event may the exercise price of any Award be decreased to an amount less than the par value,
if any, of the stock subject to the Award. The Committee may also make such adjustments in the terms of any Award to reflect, or
related to, such changes in the capital structure of the Company or distributions as it deems appropriate. Adjustments determined
by the Committee pursuant to this Section 15.1 shall be made in accordance with Section 409A to the extent applicable.

 

    	 	15	 

     

    

 

15.2. Change in Control

 

15.2.1. Consequences of a Change in Control

 

Subject to the requirements and limitations
of Section 409A if applicable, the Committee may provide for any one or more of the following in connection with a Change
in Control:

 

(i)           Accelerated Vesting. The Committee
may provide in any Award Agreement or, in the event of a Change in Control, may take such actions as it deems appropriate to provide
for the acceleration of the exercisability, vesting and/or settlement in connection with such Change in Control of each or any
outstanding Award or portion thereof and shares acquired pursuant thereto upon such conditions, including termination of the Grantee’s
Service prior to, upon, or following such Change in Control, to such extent as the Committee shall determine.

 

(ii)           Assumption, Continuation or Substitution.
In the event of a Change in Control, the surviving, continuing, successor or purchasing corporation or other business entity or
parent thereof, as the case may be (the “Acquiror”), may, without the consent of any Grantee, either assume
or continue the Company’s rights and obligations under each or any Award or portion thereof outstanding immediately prior
to the Change in Control or substitute for each or any such outstanding Award or portion thereof a substantially equivalent award
with respect to the Acquiror’s stock, as applicable. For purposes of this Section 15.2, if so determined by the Committee,
an Award denominated in Shares shall be deemed assumed if, following the Change in Control, the Award confers the right to receive,
subject to the terms and conditions of the Plan and the applicable Award Agreement, for each Share subject to the Award immediately
prior to the Change in Control, the consideration (whether stock, cash, other securities or property or a combination thereof)
to which a holder of a Share on the effective date of the Change in Control was entitled; provided, however, that
if such consideration is not solely common stock of the Acquiror, the Committee may, with the consent of the Acquiror, provide
for the consideration to be received upon the exercise or settlement of the Award, for each Share subject to the Award, to consist
solely of common stock of the Acquiror equal in Fair Market Value to the per share consideration received by Stockholders pursuant
to the Change in Control. If any portion of such consideration may be received by Stockholders pursuant to the Change in Control
on a contingent or delayed basis, the Committee may determine such Fair Market Value as of the time of the Change in Control on
the basis of the Committee’s good faith estimate of the present value of the probable future payment of such consideration.
Any Award or portion thereof which is neither assumed or continued by the Acquiror in connection with the Change in Control nor
exercised or settled as of the time of consummation of the Change in Control shall terminate and cease to be outstanding effective
as of the time of consummation of the Change in Control.

 

(iii)           Cash-Out of Awards. The Committee
may, in its discretion and without the consent of any Grantee, determine that, upon the occurrence of a Change in Control, each
or any Award or a portion thereof outstanding immediately prior to the Change in Control and not previously exercised or settled
shall be canceled in exchange for a payment with respect to each vested Share (and each unvested Share, if so determined by the
Committee) subject to such canceled Award in (i) cash, (ii) stock of the Company or of a corporation or other business
entity a party to the Change in Control or (iii) other property which, in any such case, shall be in an amount having a Fair
Market Value equal to the Fair Market Value of the consideration to be paid per Share in the Change in Control, reduced by the
exercise or purchase price per share, if any, under such Award. If any portion of such consideration may be received by Stockholders
pursuant to the Change in Control on a contingent or delayed basis, the Committee may determine such Fair Market Value as of the
time of the Change in Control on the basis of the Committee’s good faith estimate of the present value of the probable future
payment of such consideration. In the event such determination is made by the Committee, the amount of such payment (reduced by
applicable withholding taxes, if any) shall be paid to Grantees in respect of the vested portions of their canceled Awards as soon
as practicable following the date of the Change in Control and in respect of the unvested portions of their canceled Awards in
accordance with the vesting schedules applicable to such Awards. For avoidance of doubt, if the amount determined pursuant to this
Section 15.2 for an Option or SAR is zero or less, the affected Option or SAR may be cancelled without any payment therefore.

 

    	 	16	 

     

    

 

15.2.2. Change in Control Defined

 

Unless otherwise provided in the applicable
Award Agreement, a “Change in Control” means the consummation of any of the following events:

 

		(i)	The acquisition, other than from the Company, by any individual, entity or group (within the meaning of Section 13(d)(3)
or Section 14(d)(2) of the Exchange Act), other than the Company or any subsidiary, affiliate (within the meaning of Rule
144 promulgated under the Securities Act) or employee benefit plan of the Company, of beneficial ownership (within the meaning
of Rule 13d-3 promulgated under the Exchange Act) of more than 50% of the combined voting power of the then outstanding voting
securities of the Company entitled to vote generally in the election of directors (the “Voting Securities”);
or

 

		(ii)	A reorganization, merger, consolidation or recapitalization of the Company (a “Business Combination”), other
than a Business Combination in which more than 50% of the combined voting power of the outstanding voting securities of the surviving
or resulting entity immediately following the Business Combination is held by the Persons who, immediately prior to the Business
Combination, were the holders of the Voting Securities; or

 

		(iii)	A complete liquidation or dissolution of the Company, or a sale of all or substantially all of the assets of the Company; or

 

		(iv)	During any period of 24 consecutive months, the Incumbent Directors cease to constitute a majority of the Board; “Incumbent
Directors” means individuals who were members of the Board at the beginning of such period or individuals whose election
or nomination for election to the Board by the Stockholders was approved by a vote of at least a majority of the then Incumbent
Directors (but excluding any individual whose initial election or nomination is in connection with an actual or threatened proxy
contest relating to the election of directors).

 

Notwithstanding the foregoing, if it is determined
that an Award is subject to the requirements of Section 409A and payable upon a Change in Control, the Company will not be
deemed to have undergone a Change in Control for purposes of the Plan unless the Company is deemed to have undergone a “change
in control event” pursuant to the definition of such term in Section 409A.

 

15.3. Adjustments

 

Adjustments under this Section 15
related to Shares or securities of the Company shall be made by the Committee. No fractional Shares or other securities shall be
issued pursuant to any such adjustment, and any fractions resulting from any such adjustment shall be eliminated in each case by
rounding downward to the nearest whole Share.

 

		16.	No Limitations on Company

 

The making of Awards shall not affect or
limit in any way the right or power of the Company to make adjustments, reclassifications, reorganizations or changes of its capital
or business structure or to merge, consolidate, dissolve or liquidate, or to sell or transfer all or any part of its business or
assets.

 

    	 	17	 

     

    

 

		17.	TERMS APPLICABLE GENERALLY TO AWARDS

 

17.1. Disclaimer of Rights

 

No provision in the Plan or in any Award
Agreement shall be construed to confer upon any individual the right to remain in the employ or service of the Company or any Affiliate,
or to interfere in any way with any contractual or other right or authority of the Company or any Affiliate either to increase
or decrease the compensation or other payments to any individual at any time, or to terminate any employment or other relationship
between any individual and the Company or any Affiliate. In addition, notwithstanding anything contained in the Plan to the contrary,
unless otherwise provided in the applicable Award Agreement, no Award shall be affected by any change of duties or position of
the Grantee, so long as such Grantee continues to be a Service Provider. The obligation of the Company to pay any benefits pursuant
to the Plan shall be interpreted as a contractual obligation to pay only those amounts described herein, in the manner and under
the conditions prescribed herein. The Plan shall in no way be interpreted to require the Company to transfer any amounts to a third
party trustee or otherwise hold any amounts in trust or escrow for payment to any Grantee or beneficiary under the terms and conditions
of the Plan.

 

17.2. Nonexclusivity of the Plan

 

Neither the adoption of the Plan nor the
submission of the Plan to the Stockholders for approval shall be construed as creating any limitations upon the right and authority
of the Board or its delegate to adopt such other compensation arrangements as the Board or its delegate determines desirable.

 

17.3. Withholding Taxes

 

The Company or an Affiliate, as the case
may be, shall have the right to deduct from payments of any kind otherwise due to a Grantee any federal, state or local taxes of
any kind required by law to be withheld (i) with respect to the vesting of or other lapse of restrictions applicable to an
Award, (ii) upon the issuance of any Shares upon the exercise of an Option or SAR or (iii) otherwise due in connection
with an Award. At the time of such vesting, lapse or exercise, the Grantee shall pay to the Company or the Affiliate, as the case
may be, any amount that the Company or the Affiliate may reasonably determine to be necessary to satisfy such withholding obligation.
Subject to the prior approval of the Committee, the Grantee may elect to satisfy such obligations, or the Company may require such
obligations to be satisfied, in whole or in part, (i) by causing the Company or the Affiliate to withhold the minimum required
number of Shares otherwise issuable to the Grantee as may be necessary to satisfy such withholding obligation or (ii) by delivering
to the Company or the Affiliate Shares already owned by the Grantee. The Shares so delivered or withheld shall have an aggregate
Fair Market Value equal to such withholding obligations. The Fair Market Value used to satisfy such withholding obligation shall
be determined by the Company or the Affiliate as of the date that the amount of tax to be withheld is to be determined. A Grantee
who has made an election pursuant to this Section 17.3 may satisfy his or her withholding obligation only with Shares
that are not subject to any repurchase, forfeiture, unfulfilled vesting or other similar requirements.

 

17.4. Other Provisions

 

Each Award Agreement may contain such other
terms and conditions not inconsistent with the Plan as may be determined by the Committee. In the event of any conflict between
the terms and conditions of an employment agreement and the Plan, the terms and conditions of the employment agreement shall govern.

 

17.5. Severability

 

If any provision of the Plan or any Award
Agreement shall be determined to be illegal or unenforceable by any court of law in any jurisdiction, the remaining provisions
hereof and thereof shall be severable and enforceable in accordance with their terms and conditions, and all provisions shall remain
enforceable in any other jurisdiction.

 

    	 	18	 

     

    

 

17.6. Governing Law

 

The Plan shall be governed by and construed
in accordance with the laws of the State of Delaware without giving effect to the principles of conflicts of law, and applicable
Federal law.

 

17.7. Section 409A

 

The Plan is intended to comply with Section 409A
to the extent subject thereto, and, accordingly, to the maximum extent permitted, the Plan shall be interpreted and administered
to be in compliance therewith. Any payments described in the Plan that are due within the “short-term deferral period”
as defined in Section 409A shall not be treated as deferred compensation unless applicable laws require otherwise. Notwithstanding
anything to the contrary in the Plan, to the extent required to avoid accelerated taxation and tax penalties under Section 409A,
amounts that would otherwise be payable and benefits that would otherwise be provided pursuant to the Plan during the six-month
period immediately following the Grantee’s Separation from Service shall instead be paid on the first payroll date after
the six-month anniversary of the Grantee’s Separation from Service (or the Grantee’s death, if earlier). Notwithstanding
the foregoing, neither the Company nor the Committee shall have any obligation to take any action to prevent the assessment of
any excise tax or penalty on any Grantee under Section 409A and neither the Company nor the Committee shall have any liability
to any Grantee for such tax or penalty.

 

17.8. Separation from Service

 

The Committee shall determine the effect
of a Separation from Service upon Awards, and such effect shall be set forth in the applicable Award Agreement. Without limiting
the foregoing, the Committee may provide in the Award Agreements at the time of grant, or any time thereafter with the consent
of the Grantee, the actions that will be taken upon the occurrence of a Separation from Service, including accelerated vesting
or termination, depending upon the circumstances surrounding the Separation from Service.

 

17.9. Transferability of Awards

 

17.9.1. Transfers in General

 

Except as provided in Section 17.9.2,
no Award shall be assignable or transferable by the Grantee, other than by will or the laws of descent and distribution, and, during
the lifetime of the Grantee, only the Grantee personally (or the Grantee’s personal representative) may exercise rights under
the Plan.

 

17.9.2. Family Transfers

 

If authorized in the applicable Award Agreement,
a Grantee may transfer, not for value, all or part of an Award (other than Incentive Stock Options) to any Family Member. For the
purpose of this Section 17.9.2, a “not for value” transfer is a transfer that is (i) a gift, (ii) a
transfer under a domestic relations order in settlement of marital property rights or (iii) a transfer to an entity in which
more than 50% of the voting interests are owned by Family Members (or the Grantee) in exchange for an interest in that entity.
Following a transfer under this Section 17.9.2, any such Award shall
continue to be subject to the same terms and conditions as were applicable immediately prior to transfer. Subsequent transfers
of transferred Awards are prohibited except to Family Members of the original Grantee in accordance with this Section 17.9.2
or by will or the laws of descent and distribution.

 

17.10. Dividends and Dividend Equivalent
Rights

 

If specified in the Award Agreement, the
recipient of an Award may be entitled to receive, currently or on a deferred basis, dividends or dividend equivalents with respect
to the Common Stock or other securities covered by an Award. The terms and conditions of a dividend equivalent right may be set
forth in the Award Agreement. Dividend equivalents credited to a Grantee may be paid currently or may be deemed to be reinvested
in additional Shares or other securities of the Company at a price per unit equal to the Fair Market Value on the date that such
dividend was paid to Stockholders, as determined by the Committee. Notwithstanding the foregoing, in no event will dividends or
dividend equivalents on any Award that is subject to the achievement of performance criteria be payable before the Award has become
earned and payable.

 

    	 	19	 

     

    

 

17.11. Plan Construction

 

In the Plan, unless otherwise stated, the
following uses apply: (i) references to a statute or law refer to the statute or law and any amendments and any successor
statutes or laws, and to all valid and binding governmental regulations, court decisions and other regulatory and judicial authority
issued or rendered thereunder, as amended, or their successors, as in effect at the relevant time; (ii) in computing periods
from a specified date to a later specified date, the words “from” and “commencing on” (and the like) mean
“from and including,” and the words “to,” “until” and “ending on” (and the like)
mean “to and including”; (iii) indications of time of day shall be based upon the time applicable to the location
of the principal headquarters of the Company; (iv) the words “include,” “includes” and “including”
(and the like) mean “include, without limitation,” “includes, without limitation” and “including,
without limitation” (and the like), respectively; (v) all references to articles and sections are to articles and sections
in the Plan; (vi) all words used shall be construed to be of such gender or number as the circumstances and context require;
(vii) the captions and headings of articles and sections have been inserted solely for convenience of reference and shall
not be considered a part of the Plan, nor shall any of them affect the meaning or interpretation of the Plan or any of its provisions;
(viii) any reference to an agreement, plan, policy, form, document or set of documents, and the rights and obligations of
the parties under any such agreement, plan, policy, form, document or set of documents, shall mean such agreement, plan, policy,
form, document or set of documents as amended from time to time, and any and all modifications, extensions, renewals, substitutions
or replacements thereof; and (ix) all accounting terms not specifically defined shall be construed in accordance with generally
accepted accounting principles.

 

The Plan was originally approved by the
Board and the Stockholders in December 2013. An amendment of the Plan was subsequently approved by the Board and the Stockholders
in March 2014. This amended and restated version of the Plan was approved by the Board on April 1, 2016 and by the Stockholders
on May 19, 2016.

 

 

 

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