Document:

Exhibit 10.102

CATALYST
SEMICONDUCTOR, INC.

SEVERANCE
AGREEMENT

This Severance
Agreement (the “Agreement”) is
made and entered into by and between Scott Brown (“Employee”) and Catalyst Semiconductor, Inc., a Delaware
Corporation (the “Company”),
effective as of September 10, 2007 (the “Effective
Date”).

RECITALS

1.             It is expected that the Company
from time to time will consider the possibility of an acquisition by another
company or other change of control.  The
Board of Directors of the Company (the “Board”)
recognizes that such consideration can be a distraction to Employee and can
cause Employee to consider alternative employment opportunities.  The Board has determined that it is in the
best interests of the Company and its stockholders to assure that the Company
will have the continued dedication and objectivity of Employee, notwithstanding
the possibility, threat or occurrence of a Change of Control.

2.             The Board believes that it is in
the best interests of the Company and its stockholders to provide Employee with
an incentive to continue his or her employment and to motivate Employee to
maximize the value of the Company for the benefit of its stockholders.

3.             The Board believes that it is
imperative to provide Employee with certain benefits upon Employee’s
termination of employment without cause or following a Change of Control.  These benefits will provide Employee with
enhanced financial security and incentive and encouragement to remain with the
Company.

4.             Certain capitalized terms used in
the Agreement are defined in Section 5 below.

AGREEMENT

NOW, THEREFORE, in
consideration of the mutual covenants contained herein, the parties hereto
agree as follows:

1.             Term of Agreement.  This Agreement will terminate upon the date
that all of the obligations of the parties hereto with respect to this
Agreement have been satisfied.

2.             At-Will Employment.  The Company and Employee acknowledge that
Employee’s employment is and will continue to be at-will, as defined under
applicable law, except as may otherwise be specifically provided under the
terms of any written formal employment agreement or offer letter between the
Company and Employee (an “Employment
Agreement”).  If Employee’s
employment terminates for any reason, Employee will not be entitled to any
payments, benefits, damages, awards or compensation other than as provided by
this Agreement, including any payments or benefits Employee would otherwise be
entitled to under his or her Employment Agreement.

3.             Termination Benefits.

(a)           Involuntary
Termination other than for Cause, Death or Disability Prior to a Change of
Control or after Twelve Months Following a Change of Control.  If the Company (or any parent or subsidiary
of the Company employing Employee) terminates Employee’s employment with the
Company (or any parent or subsidiary of the Company) without Employee’s consent
and for a reason other than Cause, Employee becoming Disabled or Employee’s
death, any of which occur prior to a Change of Control or after twelve (12) months
following a Change of Control (any such termination, an “Involuntary Termination”) and Employee
signs, delivers and does not revoke a separation agreement and release of
claims in a form satisfactory to the Company, then following such termination
of employment, or, if later, the effective date of the separation agreement and
release of claims, Employee will receive the following payments and other
benefits from the Company:

(i)    Accrued
Compensation.  Employee will be
entitled to receive all accrued vacation, expense reimbursements and any other
benefits due to Employee through the date of termination of employment in
accordance with the Company’s then existing employee benefit plans, policies
and arrangements.

(ii)   Consulting
Arrangement.  At the Company’s
option, the Company and Employee will enter into a consulting arrangement for a
period of six (6) months from the date of such termination the “Consulting Period”), which arrangement will
provide for (A) payment by the Company based upon a full-time monthly rate
equal to 100% of Employee’s monthly base salary as of the date of such
termination and (B) such other terms of service as shall be negotiated in good
faith by the Company and Employee; provided, however, that if the Company
determines not to enter into the negotiation of a consulting arrangement, or
the Company and Employee cannot, following good-faith negotiation, agree upon
the terms of such consulting arrangement, then promptly following such
determination or the termination of such negotiations, as the case may be,
Employee will be paid a lump-sum amount of cash equal to six (6) months of
Employee’s base salary as of the date of such termination, less applicable
withholding; provided further, however, that if during the Consulting Period
Employee engages in Competition or breaches the covenants in Section 6 or
in the separation agreement and release of claims, all payments pursuant to this
subsection will immediately cease.

(iii)  Continued
Employee Benefits.  Employee will
receive continuing Company-paid coverage for a period of six (6) months
following such termination for Employee and Employee’s eligible dependents
under the Company’s Benefit Plans; provided, however, that if during such
period Employee engages in Competition or breaches the covenants in Section 6
or in the separation agreement and release of claims, all Company-paid coverage
pursuant to this subsection will immediately cease.

(iv)  Options.  With respect to all of Employee’s options (the “Options”) to purchase Company common stock
outstanding on the date of such termination (whether granted on, before
or after the date of this Agreement), Employee will have the period following
such termination of employment to exercise such Options that is specified in the stock plans, if any, under which the
Options were granted and in any applicable agreements between the Company and 

 2
 

Employee;
provided, however, to the extent that, pursuant to the provisions of such stock
plans and applicable agreements, such Options continue to vest during the
period, if any, that Employee provides consulting services to the Company
pursuant to Section 3(a)(ii) or otherwise, then Employee will have the
period following the termination of such consulting services to exercise such
Options that is specified in such
stock plans and applicable agreements; provided further, however, that
all Options will immediately terminate and Employee will have no further rights
with respect to such Options in the event Employee engages in Competition or
breaches the covenants in Section 6 or in the separation agreement and
release of claims during such period.  In all other respects, such Options will
continue to be subject to the terms and conditions of the stock plans, if any,
under which they were granted and any applicable agreements between the Company
and Employee.

(v)   Payments
or Benefits Required by Law. 
Employee will receive such other compensation or benefits from the
Company as may be required by law (for example, “COBRA” coverage under
Section 4980B of the Internal Revenue Code of 1986, as amended (the “Code”)).

(b)           Involuntary Termination other than for Cause,
Death or Disability or Termination for Good Reason within Twelve Months of a
Change of Control.  If (i)
within twelve (12) months following a Change of Control (A) Employee terminates
his or her employment with the Company (or any parent or subsidiary of the
Company) for Good Reason or (B) the Company (or any parent or subsidiary of the
Company) terminates Employee’s employment for other than Cause, Employee
becoming Disabled or Employee’s death (any such termination, a “Change of Control Termination”) and (ii)
Employee signs, delivers and does not revoke a separation agreement and release
of claims in a form satisfactory to the Company, then promptly following such
termination of employment, or, if later, the effective date of the separation
agreement and release of claims, Employee will receive the following payments
and other benefits from the Company:

(i)    Accrued
Compensation.  Employee will be
entitled to receive all accrued vacation, expense reimbursements and any other
benefits due to Employee through the date of termination of employment in
accordance with the Company’s then existing employee benefit plans, policies
and arrangements.

(ii)   Consulting
Arrangement.  At the Company’s
option, the Company and Employee will enter into a consulting arrangement for a
period of nine (9)  months from the date
of such termination (the “Change of Control
Consulting Period”), which arrangement will provide for (A) payment
by the Company based upon a full-time monthly rate equal to 100% of Employee’s
monthly base salary as of the date of such termination and (B) such other terms
of service as shall be negotiated in good faith by the Company and Employee;
provided, however, that if the Company determines not enter into the
negotiation of a consulting arrangement, or if the Company and Employee cannot,
following good-faith negotiation, agree upon the terms of such consulting
arrangement, then promptly following such determination or the termination of
such negotiations, as the case may be, Employee will be paid a lump-sum amount
of cash equal to nine (9) months of Employee’s base salary as of the date of
such termination, less applicable withholding; provided further, however, that
if during the Change of Control Consulting Period Employee engages in
Competition or breaches the covenants in Section 6 or in the separation
agreement and release of claims, all payments pursuant to this subsection will
immediately cease.

 3
 

(iii)  Options
and Restricted Stock.  100% of the
unvested shares subject to all of Employee’s Options and 100% any of Employee’s shares of Company
common stock subject to a Company repurchase right upon Employee’s termination
of employment for any reason (the “Restricted
Stock”) whether acquired by
Employee on, before or after the date of this Agreement, will immediately vest
upon such termination.  With
respect to all of Employee’s Options
outstanding on the date of such termination (whether granted on, before
or after the date of this Agreement), Employee will have the period following
such termination of employment to exercise such Options that is specified in the stock plans, if any, under which the
Options were granted and in any applicable agreements between the Company and
Employee; provided, however, that all Options will immediately terminate
and Employee will have no further rights with respect to such Options in the
event Employee engages in Competition or breaches the covenants in
Section 6 or in the separation agreement and release of claims during such
period.  In all other respects, such Options will continue to be subject to the
terms and conditions of the stock plans, if any, under which they were granted
and any applicable agreements between the Company and Employee.

(iv)  Continued
Employee Benefits.  Employee will
receive continuing Company-paid coverage for a period of nine (9) months
following such termination for Employee and Employee’s eligible dependents
under the Company’s Benefit Plans; provided, however, that if during such period
Employee engages in Competition or breaches the covenants in Section 6 or in
the separation agreement and release of claims, all Company-paid coverage
pursuant to this subsection will immediately cease.

(v)   Payments
or Benefits Required by Law.  Employee
will receive such other compensation or benefits from the Company as may be
required by law (for example, “COBRA” coverage under Section 4980B of the
Code).

(c)           Other Terminations.  If
Employee voluntarily terminates Employee’s employment with the Company or any
parent or subsidiary of the Company (other than for Good Reason within twelve
(12) months of a Change of Control) or if the Company (or any parent or
subsidiary of the Company employing Employee) terminates Employee employment
with the Company (or any parent or subsidiary of the Company) for Cause, then
Employee will (i) receive his or her earned but unpaid base salary through
the date of termination of employment, (ii) receive all accrued vacation,
expense reimbursements and any other benefits due to Employee through the date
of termination of employment in accordance with established Company plans,
policies and arrangements, and (iii) not be entitled to any other
compensation or benefits (including, without limitation, accelerated vesting of
Options or Restricted Stock) from the Company except to the extent provided
under the applicable stock option agreement(s) or as may be required by law
(for example, “COBRA” coverage under Section 4980B of the Code).

(d)           Termination due to Death or Disability.  If
Employee’s employment with the Company (or any parent or subsidiary of the
Company) is terminated due to Employee’s death or Employee’s becoming Disabled,
then Employee or Employee’s estate (as the case may be) will (i) receive
the earned but unpaid base salary through the date of termination of
employment, (ii) receive all accrued vacation, expense reimbursements and
any other benefits due to Employee through the date of termination of
employment in accordance with Company-provided or paid plans, policies and
arrangements, and (iii) not be entitled to any other compensation or
benefits from the 

 4
 

Company
except to the extent required by law (for example, “COBRA” coverage under
Section 4980B of the Code).

(e)           Exclusive
Remedy.  In the event of a termination
of Employee’s employment with the Company (or any parent or subsidiary of the
Company), the provisions of this Section 3 are intended to be and are exclusive
and in lieu of any other rights or remedies to which Employee or the Company
may otherwise be entitled (including any contrary provisions in the Employment
Agreement), whether at law, tort or contract, in equity, or under this
Agreement.  Employee will be entitled to
no benefits, compensation or other payments or rights upon termination of employment
other than those benefits expressly set forth in this Section 3.

4.             Limitation on Payments.  In the event that the severance and other
benefits provided for in this Agreement or otherwise payable to Employee (i)
constitute “parachute payments” within the meaning of Section 280G of the Code
and (ii) but for this Section 4, would be subject to the excise tax imposed by
Section 4999 of the Code, then Employee’s severance benefits under Section
4(a)(i) will be either:

(a)           delivered in full, or

(b)                                 delivered as to such lesser extent
which would result in no portion of such severance benefits being subject to
excise tax under Section 4999 of the Code,

whichever of the foregoing amounts, taking into account the applicable
federal, state and local income taxes and the excise tax imposed by Section
4999, results in the receipt by Employee on an after-tax basis, of the greatest
amount of severance benefits, notwithstanding that all or some portion of such
severance benefits may be taxable under Section 4999 of the Code.  Unless the Company and Employee otherwise
agree in writing, any determination required under this Section 4 will be made
in writing by the Company’s independent public accountants immediately prior to
Change of Control (the “Accountants”),
whose determination will be conclusive and binding upon Employee and the
Company for all purposes.  For purposes
of making the calculations required by this Section 4, the Accountants may
make reasonable assumptions and approximations concerning applicable taxes and
may rely on reasonable, good faith interpretations concerning the application
of Sections 280G and 4999 of the Code. 
The Company and Employee will furnish to the Accountants such
information and documents as the Accountants may reasonably request in order to
make a determination under this Section. 
The Company will bear all costs the Accountants may reasonably incur in
connection with any calculations contemplated by this Section 4.

5.             Definition of Terms.  The following terms referred to in this Agreement
will have the following meanings:

(a)           Benefit
Plans.  “Benefit Plans” means plans, policies or arrangements that
the Company sponsors (or participates in) and that immediately prior to
Employee’s termination of employment provide Employee and/or Employee’s
eligible dependents with medical, dental, and/or vision benefits.  Benefit Plans do not include any other type
of benefit (including, but not by way of limitation, disability, life insurance
or retirement benefits). A requirement that the Company provide Employee and
Employee’s eligible dependents with coverage under the Benefit Plans will not
be satisfied unless the coverage is no less favorable than that provided to
Employee and Employee’s 

 5
 

eligible dependents immediately prior to
Employee’s termination of employment. 
Notwithstanding any contrary provision of this Section 5(a), but subject
to the immediately preceding sentence, the Company may, at its option, satisfy
any requirement that the Company provide coverage under any Benefit Plan by (i) reimbursing Employee’s premiums under
COBRA after Employee has properly elected continuation coverage under COBRA (in
which case Employee will be solely responsible for electing such coverage for
Employee and Employee’s eligible dependents), or (ii) instead
providing coverage under a separate plan or plans providing coverage that is no
less favorable or by paying Employee a lump sum payment sufficient to provide
Employee and Employee’s eligible dependents with equivalent coverage under a
third party plan that is reasonably available to Employee and Employee’s
eligible dependents.

(b)           Cause.  “Cause”
means (i) a willful failure by Employee to substantially perform Employee’s
duties as an employee, other than a failure resulting from the Employee’s
complete or partial incapacity due to physical or mental illness or impairment,
(ii) a willful act by Employee that constitutes gross misconduct and that is
injurious to the Company, (iii) circumstances where Employee willfully imparts
material confidential information relating to the Company or its business to
competitors or to other third parties other than in the course of carrying out
Employee’s duties, (iv) a material and willful violation by Employee of a
federal or state law or regulation applicable to the business of the Company
that is injurious  to the Company, or (v) Employee’s
conviction or plea of guilty or no contest to a felony, which the Company reasonably believes has or will negatively reflect on
the Company’s business or reputation. 
No act or failure to act by Employee will be considered “willful” unless
committed without good faith and without a reasonable belief that the act or
omission was in the Company’s best interest.

(c)           Change
of Control.  “Change of Control” means the occurrence of any of the
following:

(i)    the
sale, lease, conveyance or other disposition of all or substantially all of the
Company’s assets to any “person” (as such term is used in Section 13(d) of the
Securities Exchange Act of 1934, as amended), entity or group of persons acting
in concert;

(ii)   any
person or group of persons becoming the “beneficial owner” (as defined in Rule
13d-3 under said Act), directly or indirectly, of securities of the Company
representing 50% or more of the total voting power represented by the Company’s
then outstanding voting securities;

(iii)  a
merger or consolidation of the Company with any other corporation, other than a
merger or consolidation that would result in the voting securities of the
Company outstanding immediately prior thereto continuing to represent (either
by remaining outstanding or by being converted into voting securities of the
surviving entity or its controlling entity) at least 50% of the total voting
power represented by the voting securities of the Company or such surviving entity
(or its controlling entity) outstanding immediately after such merger or
consolidation; or

(iv)  a
contest for the election or removal of members of the Board that results in the
removal from the Board of at least 50% of the incumbent members of the Board.

 6
 

(d)           Competition.  “Competition”
will mean Employee’s direct or indirect engagement in (whether as an employee, consultant, agent, proprietor, principal,
partner, stockholder, corporate officer, director or otherwise), or ownership
interest in or participation in the financing, operation, management or control
of, any person, firm, corporation or business that competes with Company or is
a customer of the Company.

(e)           Disability.  “Disability”
will mean that Employee has been unable to perform the principal functions of
Employee’s duties due to a physical or mental impairment, but only if such
inability has lasted or is reasonably expected to last for at least six
months.  Whether Employee has a
Disability will be determined by the Board based on evidence provided by one or
more physicians selected by the Board.

(f)            Good
Reason.  “Good Reason” means (without Employee’s consent) (i) a
material reduction in Employee’s title, authority, status, or responsibilities,
(ii) the reduction of Employee’s aggregate base salary and target bonus
opportunity as in effect immediately prior to such reduction (other than a
reduction applicable to executives generally), or (iii) a relocation of
Employee’s principal place of employment by more than fifty (50) miles.

6.             Non-Solicitation.  For a period beginning on the Effective Date
and ending six (6) months after Employee ceases to be employed by the Company
(the “Non-Solicitation Period”), Employee,
directly or indirectly, whether as employee, owner, sole proprietor, partner,
director, member, consultant, agent, founder, co-venturer or otherwise, will
not: (i) solicit, induce or influence any person to leave employment with
the Company; or (ii) directly or indirectly solicit business from any of
the Company’s customers and users on behalf of any business that directly
competes with the principal business of the Company; provided, however, that
the Non-Solicitation Period shall end six (6) months after Employee ceases to
be employed by the Company in the event Employee’s employment is terminated
pursuant to an Involuntary Termination; provided further, however, that the
Non-Solicitation Period shall end nine (9) months after Employee ceases to be
employed by the Company in the event Employee’s employment is terminated
pursuant to a Change of Control Termination.

7.             Successors.

(a)           The
Company’s Successors.  Any successor
to the Company (whether direct or indirect and whether by purchase, merger,
consolidation, liquidation or otherwise) to all or substantially all of the
Company’s business and/or assets will assume the obligations under this
Agreement and agree expressly to perform the obligations under this Agreement
in the same manner and to the same extent as the Company would be required to
perform such obligations in the absence of a succession.  For all purposes under this Agreement, the
term “Company” will
include any successor to the Company’s business and/or assets which executes
and delivers the assumption agreement described in this Section 7(a) or which
becomes bound by the terms of this Agreement by operation of law.

(b)           The
Employee’s Successors.  The terms of
this Agreement and all rights of Employee hereunder will inure to the benefit
of, and be enforceable by, Employee’s personal or legal representatives,
executors, administrators, successors, heirs, distributees, devisees and
legatees.

 7
 

8.             Notice.

(a)           General.  Notices and all other communications
contemplated by this Agreement will be in writing and will be deemed to have
been duly given when personally delivered or when mailed by U.S. registered or
certified mail, return receipt requested and postage prepaid.  In the case of Employee, mailed notices will
be addressed to him or her at the home address which he or she most recently
communicated to the Company in writing. 
In the case of the Company, mailed notices will be addressed to its
corporate headquarters, and all notices will be directed to the attention of
its President.

(b)           Notice
of Termination.  Any termination by
the Company for Cause or by Employee for Good Reason or as a result of a
voluntary resignation will be communicated by a notice of termination to the
other party hereto given in accordance with Section 8(a) of this
Agreement.  Such notice will indicate the
specific termination provision in this Agreement relied upon, will set forth in
reasonable detail the facts and circumstances claimed to provide a basis for
termination under the provision so indicated, and will specify the termination
date (which will be not more than thirty (30) days after the giving of such
notice).  The failure by Employee to
include in the notice any fact or circumstance which contributes to a showing
of Good Reason will not waive any right of Employee hereunder or preclude
Employee from asserting such fact or circumstance in enforcing his or her
rights hereunder.

9.             Miscellaneous Provisions.

(a)           Code
Section 409A.  This Agreement will be
deemed amended to the extent necessary to avoid imposition of any additional
tax or income recognition under Code Section 409A and any temporary or final
Treasury Regulations and guidance promulgated thereunder prior to any payment
to Employee.

(b)           No
Duty to Mitigate.  Employee will not
be required to mitigate the amount of any payment contemplated by this
Agreement, nor will any such payment be reduced by any earnings that Employee
may receive from any other source.

(c)           Waiver.  No provision of this Agreement will be
modified, waived or discharged unless the modification, waiver or discharge is
agreed to in writing and signed by Employee and by an authorized officer of the
Company (other than Employee).  No waiver
by either party of any breach of, or of compliance with, any condition or
provision of this Agreement by the other party will be considered a waiver of
any other condition or provision or of the same condition or provision at
another time.

(d)           Headings.  All captions and section headings used in
this Agreement are for convenient reference only and do not form a part of this
Agreement.

(e)           Entire
Agreement.  This Agreement
constitutes the entire agreement of the parties hereto and supersedes in their
entirety all prior representations, understandings, undertakings or agreements
(whether oral or written and whether expressed or implied) of the parties with
respect to the subject matter hereof, including (without limitation) the
Employment Agreement).  No future
agreements between the Company and Employee may supersede this Agreement,
unless they are in writing and specifically mention this Section 9(e).

 8
 

(f)            Choice
of Law.  The laws of the State of
California (without reference to its choice of laws provisions) will govern the
validity, interpretation, construction and performance of this Agreement.

(g)           Severability.  The invalidity or unenforceability of any
provision or provisions of this Agreement will not affect the validity or
enforceability of any other provision hereof, which will remain in full force
and effect.

(h)           Withholding.  All payments made pursuant to this Agreement
will be subject to withholding of applicable income and employment taxes.

(i)            Counterparts.  This Agreement may be executed in
counterparts, each of which will be deemed an original, but all of which
together will constitute one and the same instrument.

[Remainder of Page Intentionally Left Blank]

 9
 

IN WITNESS WHEREOF,
each of the parties has executed this Agreement, in the case of the Company by
its duly authorized officer, as of the day and year set forth below.

	
  COMPANY

  	
  CATALYST SEMICONDUCTOR, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Gelu Voicu

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  President and Chief Executive Officer

  
	
   

  	
   

  	
   

  
	
  EXECUTIVE

  	
  SCOTT BROWN

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Scott Brown

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Vice President, Marketing for Analog/Mixed Signal
  Products

  

 

 10Exhibit
10.1

CASCADE
CORPORATION

STOCK APPRECIATION RIGHTS AND RESTRICTED STOCK PLAN

(As amended and restated effective June 5, 2007)

1.             Purposes.

This Plan is intended to
enable Cascade Corporation (the “Corporation”) to recognize the contribution
of  executives of the Corporation and its
subsidiaries to the Corporation’s success, 
to provide them incentives to enhance the Corporation’s business
prospects and to recognize their role and that of the Board of Directors (the “Board”)
in increasing value over the long term.

2.             Effective Date and Duration of Plan.

(a)           Effective Date.
This amended and restated Plan shall become effective upon approval by the
shareholders of the Corporation

(b)           Duration. No
stock appreciation rights (“Rights”) or restricted shares of Cascade
Corporation common stock (“Restricted Shares”) may be granted under the Plan
after May 31, 2013.  However, the Plan
shall continue in effect until all rights issued under the Plan have been exercised
or have expired. The Board may suspend or terminate the Plan at any time,
except with respect to outstanding Rights and Restricted Shares.  Termination shall not affect any outstanding  Rights or Restricted Shares, or the
forfeitability of Rights or Restricted Shares granted under the Plan.

3.             Administration.

The Plan shall be
administered by the Compensation Committee of the Board (the “Committee”). The
Committee shall have full power and authority, subject to the provisions of the
Plan, to:

 1
 

(a)           Designate employee
participants;

(b)           Determine
the amount and other terms and conditions of Rights to employees, such
determinations to be subject to Board approval in the case of grants to
officers of the Corporation.

(c)           Determine
the amount, conditions and restrictions for grants of Restricted Shares, which
may be based upon continuous service with the Company or the attainment of
certain performance goals, such determinations to be subject to Board approval
in the case of grants to officers of the Corporation, and those terms and
conditions of Restricted Share grants to non-employee members of the Board of
Directors which are not stated in Section 11 of the Plan.

(d)           Adopt
and amend rules and regulations relating to administration of the Plan, advance
the lapse of any waiting period, accelerate any exercise date,  and make all other determinations in the
judgment of the Committee necessary or desirable for the  administration of the Plan.

Decisions of the
Committee as to interpretation of, any Rights or Restricted Shares granted
pursuant to, the Plan and any related agreement shall be final. The Committee
in its sole discretion may correct any defect or supply any omission or
reconcile any inconsistency in the Plan or in any related agreement.

4.             Eligibility.

The Committee may from
time to time grant Rights  (“Rights”) or
Restricted Shares to such key executive employees of the Corporation (“Participants”)
or of any subsidiary as the Committee may deem eligible.

5.             Rights / Share Limitation

(a)           A Right is a right
granted under the Plan which enables the holder to receive at the time of
exercise an amount, payable solely in the form of Cascade Corporation common
shares valued at Fair Market Value, equal to the difference between the Fair
Market Value of a single common share of Cascade Corporation stock and the Base
Price of a single common share of Cascade Corporation stock.

(b)           In no event shall more
than 750,000 Cascade Corporation common shares, as adjusted by the Committee to
reflect proportionately any 

 2
 

recapitalization, reclassification, stock split,
combination of shares, or dividend payable in shares in connection with Cascade
Corporation common shares be issued pursuant to the Plan.

(c)           In no event shall more
than 100,000 Cascade Corporation shares, as adjusted by the Committee to
reflect proportionately any recapitalization, reclassification, stock split,
combination of shares, or dividend payable in shares in connection with Cascade
Corporation common shares, be issued to any one individual pursuant to the
exercise of Rights granted to such individual under the Plan in a single fiscal
year.

6.             Required Terms and Conditions
of Rights.

The Committee may grant
Rights under the Plan, subject to such rules, terms, and conditions as the
Committee prescribes in accordance with the provisions of the Plan, including
the following:

(a)           Base Price.   The Base Price of each Right shall be
established by the Committee and may not be less than the Fair Market Value of
a common share of Cascade Corporation common stock on the date the grant is
made.

(b)           Fair Market Value.     The Fair Market Value of a common share of
Cascade Corporation common stock means the closing price quoted on the New York
Stock  Exchange, or if the shares did not
trade that date, on the last prior date on which the shares were traded.

(c)           Maximum Term of
Right.  A Right shall be exercisable
during such period of time as the Committee may specify, provided that no Right
shall be exercisable after the expiration of 10 years from the date on which it
is granted.

(d)           Installment Exercise
Limitations.       Each grant of
Rights shall generally become exercisable in equal cumulative annual
installments over such period as the Committee may establish, except to the
extent that other terms of exercise are specifically provided by other terms of
the Plan.  The Committee shall have
discretion to establish vesting periods and limitations on amounts to be
realized upon exercise in connection with grants it may make.

(e)           Termination of
Employment.

        (i)     Death.    If a Participant dies while
entitled to exercise Rights granted under this Plan, such Rights may be
exercised for a period of one year after the Participant’s death.  Rights 

 3
 

not exercisable at the time of death, and Rights not
exercised during the period provided by this subparagraph, will expire.  In the event of a Participant’s death,  Rights exercisable as of the date of the
Participant’s death may be exercised by such beneficiary as the Participant may
have designated in writing in a manner determined by the Committee.  In the absence of such a designation, the
Participant’s estate shall have the right to exercise such Rights.

(ii)            Retirement.  If a Participant terminates employment after
age 62 under circumstances which the Committee in its sole discretion deems
equivalent to retirement, any Rights the Participant was entitled to exercise
at the date of retirement may be exercised for a period of one year following
retirement.  Rights not exercisable at
the time of retirement, and Rights not exercised during the period provided by
this subparagraph, will expire. The provisions of this subparagraph (ii) shall
apply also to retirements due to physical or mental disability which the
Committee determines is of such a nature as to prevent further performance of
job duties.   Should a retired
Participant die while entitled to exercise Rights, the provisions of
subparagraph (i) above shall apply to the exercise of  such Rights, which may be exercised for a
period of one year following the Participant’s death.

(iii)           Other
Termination of Employment – Not For Cause.   Should   a
Participant cease to be employed by the Corporation or its subsidiaries for
reasons other than Death or Retirement, any Rights the Participant was entitled
to exercise at the date of termination may be exercised for a period of 90 days
following termination or, if longer, until 30 days have elapsed following the
public dissemination of the Corporation’s financial results for the first
fiscal period ending after the termination of the Participant’s employment.  Rights not exercisable at the time of
termination, and Rights not exercised during such 90-day or extended period,
shall expire.  Should a terminated
Participant die while entitled to exercise Rights, the provisions of
subparagraph (i) above shall apply to the exercise of such Rights, which may be
exercised for a period of one year following the Participant’s death.  The rights granted by this subparagraph (iii)
shall not apply to a Participant who is terminated for Cause, or whom the
Committee determines in its sole discretion has entered into competition with
the Corporation.

(iv)          Termination for Cause.     Participants whose employment is
terminated for (A) willful failure to perform reasonable directives of the
Corporation’s  management; (B) use of
alcohol or illegal drugs which interferes with the Participant’s performance of

 4
 

duties
in the judgment of the Corporation’s management; (C) dishonesty affecting the
Corporation or any related entity or conviction of a felony or any crime
involving fraud or misrepresentation;  
(D) gross negligence or willful misconduct resulting in substantial loss
to the Corporation, damage to the Corporation’s reputation, or theft,
embezzlement or similar loss to the Corporation; or (E) other conduct which the Committee in
its sole discretion determines sufficiently harmful to the interests of the
Corporation to constitute cause for termination shall forfeit all outstanding
Rights awarded under this Plan.

          (f)            Acceleration of Vesting.  The Committee shall have discretion to
provide in an individual Participant’s grant agreement for the exercise of all or a portion of Rights
granted to the Participant which would not otherwise be exercisable, in the
event of the Participant’s Death or Retirement.

(g)           Exercise.

(i)            Subject to
subparagraph (v) of this paragraph (g), the Committee shall establish the time
or times for exercise of Rights.

(ii)           Each Right shall
entitle   the holder, upon exercise, to
receive from the Corporation an amount equal in value to the excess of the Fair
Market Value on the date of exercise of one Right over its Base Price.  Such amount shall be payable solely in the
form of Cascade Corporation common shares valued at Fair Market Value.  No Right shall be   exercisable at a time that the amount determined
under this Subsection is negative. No fractional shares shall be issued as
payment hereunder.

(iv)          The Corporation shall
make no payment hereunder prior to taking steps necessary to assure that it
will receive from a participant who has exercised a Right amounts necessary to
satisfy any applicable federal, state or local tax withholding requirements,
including social security and other normal withholdings.

(v)           Rights may be exercised
only during the 30-day period following the third business day after public
dissemination of the Corporation’s financial results for any fiscal quarter or
for its fiscal year.

          (h)           Non-Transferability.   During a Participant’s lifetime, Rights
shall be exercisable only by the Participant, the Participant’s payee pursuant to
a valid order by a domestic relations court with jurisdiction, or by 

 5
 

a legally designated guardian or conservator.  With the Committee’s prior consent, a
Participant may transfer Rights to a trust for his or her benefit established
for estate planning purposes.

7.             Required
Terms and Conditions of
Restricted Stock Awards

The Committee may award
shares of Cascade common stock to Participants, which shares shall be subject
to such terms and conditions as the Committee may prescribe, including the
following:

(a)           Employment Requirement.  A recipient of a grant of Restricted Shares
must remain in the employment of the Corporation during a period designated by
the Committee (“Restriction Period”) in order to retain the shares under the
Grant.  If the recipient ceases to be
employed by the Corporation during the Restriction Period, the Restricted Share
grant shall terminate and the shares of Common Stock shall be immediately
returned to the Corporation; however, the Committee may, at the time of grant,
provide for the employment restriction to lapse with respect to a portion or
portions of the Grant of Restricted Shares at different times during the
Restriction Period.  The Committee shall
have discretion to provide for such exceptions to, or waivers of, the employment
restriction as it may deem appropriate.

(b)           Lapse of
Restrictions.         All
restrictions imposed under the Restricted Share grant shall lapse when the
restriction period expires if the employment requirement above and any other
restrictions or performance goals have been met.  The recipient shall then be entitled to
certificates representing shares as to which the restriction has expired, with
restrictive legends placed pursuant to this Plan removed.

(c)           Dividends.             Any dividends
declared on the Restricted Shares during the Restriction Period shall be paid
to the recipient.

8.             Changes in Capital
Structure, Mergers, Etc..

                (a)           Change in Capital
Structure.           If
the outstanding shares of Common Stock of the Corporation are hereafter
increased, decreased or changed into or exchanged for a different number or
kind of shares of the Corporation or of another corporation by reason of any
recapitalization, reclassification, stock split, combination of shares or
dividend payable in shares, the Committee shall make appropriate adjustments in
the price and number of outstanding Rights or portions thereof then
unexercised, so that the participant’s proportionate interest before and after
the occurrence of the event is maintained; provided, 

 6
 

however, that this Section 8(a) shall not apply with
respect to transactions referred to in Section 8(b).  Any such adjustment made by the Committee
shall be conclusive.

(b)  Reorganization
or Liquidation.

(i)                Cash, Stock or Other Property for Stock. Except as provided
in Section 8(b)(ii), upon a merger, consolidation, reorganization, plan of
exchange or liquidation involving the Corporation, as a result of which the
shareholders of the Corporation receive cash, stock or other property in
exchange for or in connection with their Common Stock (any such transaction to
be referred to in this Section 8 as an “Accelerating Event”), any Right granted
hereunder shall terminate, except as specified in the first sentence of Section
8(b)(ii), but the employee shall have the right during the 30-day period
immediately prior to any such Accelerating Event to elect to exercise Rights
awarded him or her,  in whole or in part,
without any limitation on exercisability; provided, however, that such exercise
shall be deemed to occur immediately prior to such Accelerating Event and shall
be contingent upon the occurrence of such Accelerating Event.

(ii)         Stock for
Stock. If the shareholders of the Corporation receive capital stock
of another Corporation (“Exchange Stock”) in exchange for their Common Stock in
any transaction involving a merger, consolidation, reorganization, or plan of
exchange, all Rights granted hereunder shall be converted into stock
appreciation rights and awards measured by the Exchange Stock, unless the
Committee, in its sole discretion, determines that any or all such Rights shall
not be converted, but instead shall terminate in accordance with the provisions
of Section 8(b)(i) The amount and price of converted Rights shall be determined
by adjusting the amount and price of the Rights or other awards granted
hereunder to take into account the relative values of the Exchange Stock and
Corporation’s common shares in the transaction.

(iii)        Mergers,
Acquisitions, Etc.   The
Committee may also grant  Rights with
terms, conditions and provisions that vary from those specified in the Plan
if  such awards are granted in
substitution for, or in connection with the assumption of, stock appreciation
rights awarded by another Corporation and assumed or otherwise agreed to be
provided 

 7
 

for by the Corporation
pursuant to or by reason of a transaction involving a corporate merger,
consolidation, acquisition of property or stock, separation, reorganization or
liquidation to which the Corporation or a parent or subsidiary Corporation of
the Corporation is a party.

9.             Amendment of Plan.

The Board may modify or
amend the Plan in such respects as it deems advisable but no such amendment may
(a)  increase the number of shares available under the Plan (other than an
increase solely to reflect a reorganization, recapitalization, stock spit,
stock dividend, combination of shares, merger, consolidation or any other
change in corporate structure of the Corporation affecting the Common Stock, or
any distribution to shareholders other than a cash dividend); (b) change the types
of awards available under the Plan; (c) extend the term of the Plan; or (d)
constitute a “material revision” to the Plan or other modification requiring
stockholder approval pursuant to the New York Stock Exchange Corporate
Governance Listing Standards.  No change in an award already granted shall
be made without the written consent of the holder of such award.

10.           Employment and Service Rights.

Nothing in the Plan or
any award pursuant to the Plan shall (a) confer upon any employee any right to
be continued in the employment of the Corporation or any parent or subsidiary
Corporation of the Corporation or interfere in any way with the right of the
Corporation or any subsidiary of the Corporation by whom such employee is
employed to terminate such employee’s employment at any time, for any reason,
with or without cause, or increase or decrease such employee’s compensation or
benefits; or (b) confer upon any person engaged by the Corporation or any
parent or subsidiary Corporation of the Corporation any right to be retained or
employed by the Corporation or any parent or subsidiary Corporation of the
Corporation or to the continuation, extension, renewal, or modification of any
compensation, contract, or arrangement with or by the Corporation or any subsidiary
of the Corporation.

11.           Participation by
Directors

Commencing June 5, 2007,
after every annual meeting of the 

 8
 

shareholders, each non-employee director of the
Corporation shall be awarded a number of Restricted Shares which most nearly
totals $60,000  in value, based upon the
closing price of the Corporation’s common shares quoted on the New York Stock
Exchange on the business day  following
the next  quarterly announcement of  the Corporation’s earnings.  (the “Valuation Date”)   No fractional shares shall be issued.
Restricted Share Grants to  directors
shall be issued as of the Valuation Date and shall vest and become free of all
restrictions 25% after one year and 25% following each year of director service
thereafter. Such awards shall be subject to the provisions of this Plan in all
other respects.  All Rights which may
have been granted to a director prior to the effective date of this Plan as
amended and restated shall be exercisable whether or not they would otherwise
be subject to exercise, and all restrictions applicable to grants of restricted
shares shall lapse, upon the director’s death or reaching of the mandatory
retirement age established for directors.

12.           Rights as a Shareholder.

(a)                                  Recipients of Rights. The recipient of any award  of Rights under the Plan shall have no rights
as a shareholder with respect to any Right, and except as otherwise expressly
provided in the Plan, no adjustment shall be made for dividends or other rights
issued to shareholders.  Shares issued
pursuant to the exercise of Rights may bear such restrictions on sale or other
transfer as counsel to the Corporation may determine are required under
securities or other applicable laws.

(b)                                 Recipients of Restricted Shares.       Recipients of awards of Restricted Stock
shall be entitled to vote such shares on any issue presented to the
shareholders for a vote.   Recipients of
awards of Restricted Stock shall not be entitled to sell or otherwise transfer
such shares except as permitted by the agreement evidencing the award.  Restricted Shares may bear such restrictions
on sale or other transfer as counsel to the Corporation may determine are
required under securities or other applicable laws.

13.           Governing Law.

The provisions of this
Plan shall be governed by and interpreted in accordance with the laws of the
State of Oregon.

 9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00129-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00129-of-00352.parquet"}]]