Document:

Consulting Agreement

 Exhibit 10.1 
 CONSULTING AGREEMENT 
 Consulting Agreement, dated as of January 1, 2007, between
ATRICURE, INC. (hereinafter called “ATRICURE”), a Delaware corporation with offices at 6033 Schumacher Park Drive, West Chester, Ohio 45069, and Michael D. Hooven (hereinafter called “CONSULTANT”), an individual with a residence
at 7778 Bennington Drive, Cincinnati, Ohio 45241. 
 WITNESSETH 
 WHEREAS, ATRICURE desires to engage CONSULTANT to render professional consulting services and advice, and 
 WHEREAS, CONSULTANT desires to render such services and advice to ATRICURE; 
 NOW, THEREFORE, in consideration of the premises and of the mutual promises and convenants herein contained, the parties hereto agree as follows:

 1. Best Efforts; Field; Time Devotion. 
 (a) Best Efforts. CONSULTANT shall use his best efforts to provide consulting services and advice to ATRICURE in the Field (as defined below) in the manner described below. 
 (b) Field. As used in this Agreement, the term “Field” shall refer to the creation and development of new products and product platforms
(including but not limited to those which are less invasive) relating to (i) the diagnosis, treatment and prevention of cardiac arrhythmias and (ii) the prevention or reduction of strokes utilizing cardiac devices (including appendage
exclusion of the atrium and appendage exclusion systems, generally). 
 (c) Types of Services. The consulting services and advice
contemplated herein may include, but will not necessarily be limited to, review of technology and devices, the rendering of advice and input, discussions with ATRICURE personnel and other ATRICURE consultants, assistance and support in development
and development planning, and development of clinical and animal protocols, attending training seminars, observation of live cases, participation in animal or cadaver programs, design, development and clinical testing of devices, response to FDA
points of deficiency, and laboratory evaluation of products, technologies and/or procedures. 
 (d) Time Devotion. The parties agree
that the compensation provided for in Section 2 is based upon CONSULTANT devoting twenty (20) hours per week to the performance of his obligations hereunder. CONSULTANT agrees that he will render such 

 number of hours per week if requested by ATRICURE of if the circumstances (including the nature of the project(s) and
ATRICURE’s desired time frame) reasonably require it. In addition, CONSULTANT shall exercise his best efforts to consult with, and otherwise make himself available to, ATRICURE at such times as it may request, including attending meetings and
making himself available for conference calls. 
 2. Compensation; Expenses. 
 (a) Compensation. As consideration for all services to be rendered and performed under this Agreement and for assigning the rights to inventions,
designs, patents, trademarks and copyrights and other intellectual property as provided for in this Agreement, CONSULTANT will be compensated by ATRICURE at the rate of $12,000 per month, with appropriate proration for any periods of less than a
full month. Such amount will be paid in substantially equal installments as and when regular payments of salary are made by ATRICURE to its employees. 
 (b) Expenses. ATRICURE shall reimburse CONSULTANT for all reasonable travel and accommodation expenses incurred by him in connection with travel (e.g., for meetings), outside the greater Cincinnati area, that
has been requested by ATRICURE in connection with CONSULTANT’s performance of this Agreement. In addition, ATRICURE shall reimburse CONSULTANT for such other expenses, incurred by CONSULTANT in connection with the performance of this Agreement,
as may be approved in advance by ATRICURE. 
 3. Term. The term of this Agreement shall be for one (1) year, beginning on the
date hereof and ending on December 31, 2007; provided, however, that in the event of the consummation of a Change of Control (as defined in ATRICURE’s 2005 Equity Incentive Plan, but ignoring for these purposes subsection (iii) of
such definition), this Agreement shall automatically terminate. The date on which this Agreement shall end, whether by expiration or otherwise, shall be referred to herein as the “Termination Date.” 
 4. No Inconsistent Obligations. CONSULTANT represents that (a) he is under no obligation to any third party that would interfere or conflict
with his ability to render to ATRICURE the professional services herein described, (b) he is subject to no obligation, commitment, fiduciary duty or other duty or responsibility of any kind or nature, that would interfere with his obligations
under Section 8 hereof. CONSULTANT acknowledges that his representations contained in this Section 4 are an essential condition of ATRICURE’s agreement hereunder. 
 5. Independent Contractor. CONSULTANT’s services are made available to ATRICURE on the basis that CONSULTANT will be an independent
contractor. CONSULTANT will not be eligible for any employee benefits under any plan or program maintained by ATRICURE. CONSULTANT acknowledges that he is solely responsible for any and all applicable federal, state and local income taxes; social
security contributions; unemployment, disability or worker’s compensation insurance contributions; and any and all other payroll taxes or payroll deductions with respect to his fees and services hereunder. 

 6. Liability Limitation. CONSULTANT agrees to use his best efforts in providing consulting and
advice to ATRICURE hereunder, but shall not be responsible for any liability resulting therefrom, unless due to gross negligence or willful misconduct. 
 7. Confidential Information. 
 (a) Restrictions. Any Confidential Information (as defined
below) acquired by CONSULTANT from ATRICURE or developed or acquired in the course of performing the consulting services hereunder shall not be disclosed by CONSULTANT to others or used by CONSULTANT for CONSULTANT’s own benefit or the benefit
of any third party without the prior written consent of ATRICURE. As used in this Agreement, “Confidential Information” shall mean and include any and all proprietary, sensitive or confidential information, data, methods, techniques,
processes, formulas, designs, drawings, models, trade secrets, inventions, ideas, know-how, technical information, business records, technical data, test results, financial data or information, marketing data or business plans, customer information,
pricing information, product specifications, and any and all information of any nature whatsoever embodied or included in any of the foregoing, in whatever medium recorded or contained; provided however, that Confidential Information shall not
include: (i) information which is or becomes, through no fault of CONSULTANT, generally known to the public; or (ii) information received by CONSULTANT on a non-confidential basis from a source other than ATRICURE, provided that CONSULTANT
has no reason to believe that such source is or was under a duty of confidentiality to ATRICURE. 
 (b) Turnover. Upon the earlier to
occur of (i) termination of this Agreement and (ii) a request therefor by ATRICURE, CONSULTANT will return to ATRICURE all records, data, notes, reports and other documents or property containing or embodying Confidential Information
furnished by ATRICURE or developed pursuant to the relationship hereunder and all copies thereof in any medium. For all purposes of this Agreement, “Confidential Information” shall be deemed also to include proprietary, sensitive or
confidential information, know-how and other items of the type described above which belong to third parties and which was acquired by CONSULTANT in the course of his retention hereunder. 
 (c) Independent Development. Notwithstanding the foregoing, it is agreed that, by means of CONSULTANT’s prior training, experience,
developments and inventions, CONSULTANT may already have knowledge of aspects of the information which ATRICURE considers to be Confidential Information. CONSULTANT’s consulting relationship with ATRICURE shall not in any way limit
CONSULTANT’s right, to the extent not otherwise in conflict with his obligations hereunder, to pursue ideas, devices, and inventions, independently developed by him, alone or in conjunction with others, and/or to obtain patent protection for
said independent ideas, devices and inventions, provided that such ideas, devices or inventions do not involve the use or disclosure of Confidential Information acquired from ATRICURE or developed in the course of performing the consulting services
hereunder. 
 8. Inventions. Any inventions, ideas, original works of authorship, developments, improvements and trade secrets
(collectively, “Inventions”) made, conceived or reduced to practice by CONSULTANT, alone or jointly with others, in connection with or during the performance of consulting services for ATRICURE shall be the sole property of ATRICURE

 (and shall be deemed, upon creation, to have been automatically assigned to ATRICURE), and CONSULTANT shall execute,
acknowledge and deliver to ATRICURE such documents and papers, including assignments, applications for patents, and any and all other documents and papers, as may be reasonably requested by ATRICURE to effectuate the provisions of this
Section 8 and to permit ATRICURE to publish or protect said inventions, improvements and ideas by patent or otherwise in any and all countries and to vest title to said patents, inventions, improvements and ideas in ATRICURE or its nominees,
their successors or assigns. CONSULTANT shall render all such assistance as ATRICURE may require in any patent office proceeding or litigation, or other enforcement or defense efforts, involving said inventions, improvements or ideas. For the
removal of doubt, any Inventions that are made, conceived or reduced to practice by CONSULTANT, alone or jointly with others, but are not made, conceived or reduced to practice in connection with or during the performance of consulting
services for ATRICURE shall belong to CONSULTANT. 
 9. Non-Compete; Non-Solicitation. 
 (a) Covenant. In consideration for the compensation paid to him under this Agreement, CONSULTANT agrees that during the period beginning on the
date of this Agreement and ending on December 31, 2009 (the “Covenant Period”), he will not, directly or indirectly: 
 (i)
subject to the exception contained in Section 9(c) below, engage in (whether as an employee, consultant, proprietor, partner, director or otherwise), or assist any other person or entity in engaging in, or have any ownership interest in, or
participate in the financing, operation, management or control of, any person, firm, corporation or business that engages in a Restricted Business (as defined below) in the Restricted Territory (as defined below) (it being agreed that ownership of
(A) no more than one percent (1%) of the outstanding voting stock of a publicly traded corporation, or (B) any stock CONSULTANT shall presently own (so long as such stock shall not have been acquired in violation of the 2005 Agreement
or any predecessor thereof) shall not constitute a violation of this provision); or 
 (ii) induce any employee or independent contractor of
ATRICURE to leave the employ of, or cease the rendition of services to, ATRICURE. 
 (b) Definitions. As used herein, the terms:

 (i) “Restricted Business” shall mean the research, design, development, manufacture, distribution, sale, marketing or promotion
of medical devices that are designed to either (A) diagnose, treat or prevent cardiac arrhythmias or (B) prevent or reduce strokes through the use of products that are applied to the heart and/or cardiac structures (including appendage
exclusion systems); and 
 (ii) “Restricted Territory” shall mean the United States. 
 (c) Exception. Notwithstanding Section 9(a), it shall not be a violation of Section 9(a) for CONSULTANT to render services as an
employee or consultant to a firm, corporation or business that engages in a Restricted Business so long as the services rendered by CONSULTANT do not relate, in any material respect, to the activities of such firm, corporation or business
that constitute the Restricted Business. 

 (d) First Right of Offer. 
 (i) General. In addition to, and not in limitation of, CONSULTANT’s obligations under Section 9(a), CONSULTANT agrees that, during the
Covenant Period, CONSULTANT will not, directly or indirectly, engage (whether alone or jointly with others) in the distribution, sale, marketing or promotion of any Permitted Cardiac Device (as defined below) unless and until CONSULTANT shall have
(A) notified ATRICURE thereof, describing in reasonable detail both the Permitted Cardiac Device and CONSULTANT’s proposed activities with respect thereto and (B) if requested by ATRICURE, engaged in good faith discussions and
negotiations with ATRICURE for a reasonable amount of time (but in no event less than two (2) months, unless ATRICURE shall have notified CONSULTANT, or shall otherwise have clearly manifested, that it is no longer interested in the project)
with a view toward consummating, within such period, one or more agreements in which ATRICURE and CONSULTANT would jointly, by any means whatsoever (including sale, license, joint venture, consulting arrangement or otherwise), engage in the
activities in which CONSULTANT proposes to engage. 
 (ii) Permitted Cardiac Device. For purposes of this Agreement, the term
“Permitted Cardiac Device” shall mean any medical device that is designed to prevent, treat or diagnose cardiac diseases or disorders other than any such medical device which is already covered (i.e., prohibited) by
Section 9(a). 
 (e) Blue Pencil. If any restriction set forth in this Section 9 is found by any court of competent
jurisdiction to be unenforceable because it extends for too long a period of time or over too great a range of activities or throughout too broad a geographic area, it shall be interpreted to extend only to the maximum extent to which such court
shall deem it to be enforceable. 
 (f) Equitable Relief. In view of the fact that CONSULTANT’s breach, or threatened breach, of
the provisions of this Section 9 would be likely to cause irreparable harm to ATRICURE for which money damages would not be an adequate remedy, and without limiting any other remedies of ATRICURE, CONSULTANT agrees that equitable relief,
including injunction and specific performance would be appropriate to enforce the provisions of this Section 9 and protect the interests of ATRICURE. 
 10. Reaffirmation. Nothing in this Agreement is intended to impair or be in derogation of the CONSULTANT’S obligations under that certain Non-Competition, Proprietary Information and Inventions Agreement,
executed by the CONSULTANT on February 24, 2005 (the “2005 Agreement”), the effectiveness of which agreement (including the non-compete provisions of Section 4 thereof) is hereby reconfirmed. 
 11. Survival. The provisions of Sections 7 and 8 hereof shall survive, indefinitely, the termination of this Agreement. 

 12. Severability. If one or more of the provisions of this Agreement are deemed invalid or
unenforceable, then the remaining provisions will continue in full force and effect. 
 13. Integration. The terms and conditions set
forth in this Agreement shall supersede any and all prior or contemporaneous written or oral agreements regarding the subject matter contained herein. 
 14. Amendment. This Agreement may be changed, modified or amended by a written agreement expressly referring to this Agreement and stating that it changes, modified or amends the Agreement or portions thereof.

 15. Governing Law. This Agreement shall be governed by, construed and enforced in accordance with the laws of the State of Ohio.

 16. Arbitration. Except as set forth in Section 9(f): 
 (a) General. Any dispute, controversy or claim arising in connection with this Agreement shall be settled by binding arbitration. The arbitration
shall be conducted by one arbitrator, who shall be appointed pursuant to the rules of the American Arbitration Association (the “AAA”). The arbitration shall be held in Cincinnati, Ohio, and shall be conducted in accordance with the
commercial arbitration rules of the AAA, except that the rules set forth in this Section 16 shall govern such arbitration to the extent they conflict with the rules of the AAA. 
 (b) Best Efforts. The parties shall use their commercially reasonable best efforts to cause the arbitration to be conducted in an expeditious
manner. All other procedural matters shall be within the discretion of the arbitrator. 
 (c) Judgments. The determination of the
arbitrator shall be final and binding on the parties. Judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction. The parties shall each be responsible for their own expenses in connection with such
arbitration, including without limitation counsel fees and fees of experts; provided, however, that the parties shall share equally in the expense of the arbitrators and of the AAA. 
 IN WITNESS WHEREOF the parties hereto have caused this Agreement to be duly executed effective as of the day and year set forth above. 
  

					
	CONSULTANT:	  	ATRICURE:
			
	/s/ Michael D. Hooven	  	By:	 	/s/ David J. Drachman
	 Signature
 Michael D. Hooven
	  		 	 Signature
 David J. Drachman, President &
CEOTexas Industries, Inc. 2004 Omnibus Equity Compensation Plan, as amended

 EXHIBIT 10.9 
 Texas Industries, Inc. 
 2004 Omnibus Equity Compensation Plan 
 (as amended on October 16, 2006) 
 Table of Contents 
  

					
		  		  	Page
			
	Article 1.	  	Establishment, Purpose, and Duration	  	1
			
	Article 2.	  	Definitions	  	1
			
	Article 3.	  	Administration	  	3
			
	Article 4.	  	Shares Subject to the Plan and Maximum Awards	  	3
			
	Article 5.	  	Eligibility and Participation	  	4
			
	Article 6.	  	Stock Options	  	4
			
	Article 7.	  	Stock Appreciation Rights	  	6
			
	Article 8.	  	Restricted Stock and Restricted Stock Units	  	7
			
	Article 9.	  	Performance Units/ Performance Shares	  	8
			
	Article 10.	  	Other Stock-Based Awards	  	8
			
	Article 11.	  	Non-Employee Director Awards	  	9
			
	Article 12.	  	Dividend Equivalents	  	9
			
	Article 13.	  	Beneficiary Designation	  	9
			
	Article 14.	  	Deferrals	  	9
			
	Article 15.	  	Rights of Participants	  	10
			
	Article 16.	  	Corporate Events	  	10
			
	Article 17.	  	Amendment, Modification, Suspension, and Termination	  	10
			
	Article 18.	  	Withholding	  	11
			
	Article 19.	  	Successors	  	11
			
	Article 20.	  	General Provisions	  	11

  

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 Texas Industries, Inc. 
 2004 Omnibus Equity Compensation Plan 
 (as amended on October 16, 2006) 
 Article 1. Establishment, Purpose, and Duration 
 1.1 Establishment. Texas Industries, Inc., a Delaware corporation (hereinafter referred to as the “Company”), establishes an incentive compensation plan to be known as the 2004 Omnibus Equity Compensation Plan
(hereinafter referred to as the “Plan”), as set forth in this document. 
 The Plan permits the grant of Non-Qualified Stock
Options, Incentive Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Stock Units, Performance Shares, Performance Units, and Other Stock-Based Awards. 
 The Plan shall become effective upon Shareholder approval (the “Effective Date”) and shall remain in effect as provided in Section 1.3
hereof. 
 1.2 Purpose of the Plan. The purpose of the Plan is to promote the interests of the Company and its Shareholders by
strengthening the Company’s ability to attract, motivate and retain Employees and Directors of the Company upon whose judgment, initiative and efforts the financial success and growth of the business of the Company largely depend, and to
provide an additional incentive for such individuals through stock ownership and other rights that promote and recognize the financial success and growth of the Company and create value for Shareholders. 
 1.3 Duration of the Plan. Unless sooner terminated as provided herein, the Plan shall terminate ten years from the Effective Date. After
the Plan is terminated, no Awards may be granted but Awards previously granted shall remain outstanding in accordance with their applicable terms and conditions and the Plan’s terms and conditions. Notwithstanding the foregoing, no Incentive
Stock Options may be granted more than ten years after the Effective Date. 
 Article 2. Definitions 
 Whenever used in the Plan, the following terms shall have the meanings set forth below, and when the meaning is intended, the initial letter of the word
shall be capitalized. 
  

			
	2.1	 	“Affiliate” shall have the meaning ascribed to such term in Rule 12b-2 of the General Rules and Regulations of the Exchange Act.
		
	2.2	 	“Award” means, individually or collectively, a grant under this Plan of Non-Qualified Stock Options, Incentive Stock Options, SARs, Restricted Stock, Restricted Stock Units,
Performance Shares, Performance Units, or Other Stock-Based Awards, in each case subject to the terms of this Plan.
		
	2.3	 	“Award Agreement” means either (i) a written agreement entered into by the Company and a Participant setting forth the terms and provisions applicable to an Award granted
under this Plan, or (ii) a written statement issued by the Company to a Participant describing the terms and provisions of such Award.
		
	2.4	 	“Beneficial Owner” or “Beneficial Ownership” shall have the meaning ascribed to such term in Rule 13d-3 of the General Rules and Regulations under the
Exchange Act.
		
	2.5	 	“Board” or “Board of Directors” means the Board of Directors of the Company.
		
	2.6	 	“Code” means the U.S. Internal Revenue Code of 1986, as amended from time to time.
		
	2.7	 	“Committee” means the Compensation Committee of the Board or any other committee designated by the Board to administer this Plan.
		
	2.8.	 	“Company” means Texas Industries, Inc., a Delaware corporation, and any successor thereto as provided in Article 21 herein.
		
	2.9	 	“Director” means any individual who is a member of the Board of Directors of the Company.
		
	2.10	 	“Disability” means total and permanent disability as determined by the Committee.
		
	2.11	 	“Effective Date” has the meaning set forth in Section 1.1.
		
	2.12	 	“Employee” means any employee of the Company, its Affiliates and/or Subsidiaries.
		
	2.13	 	“Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time, or any successor act thereto.

  

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	2.14	 	“Fair Market Value” or “FMV” means a price that is based on the opening, closing, actual, high, low, or average selling price of a Share on the New York
Stock Exchange (“NYSE”) or other established stock exchange (or exchanges) on the applicable date, the preceding trading days, the next succeeding trading day, or an average of trading days, as determined by the Committee in its
discretion. Such definition(s) of FMV shall be determined by the Committee at its discretion. If, however, the required accounting standards used to account for equity Awards granted to Participants are substantially modified subsequent to the
Effective Date of the Plan such that fair value accounting for such Awards becomes required, the Committee shall have the ability to determine an Award’s FMV based on the relevant facts and circumstances. If Shares are not traded on an
established stock exchange, FMV shall be determined by the Committee based on objective criteria.
		
	2.15	 	“Freestanding SAR” means a SAR that is granted independently of any Options, as described in Article 7.
		
	2.16	 	“Grant Price” means the price established at the time of grant of a SAR pursuant to Article 7, used to determine whether there is any payment due upon exercise of the
SAR.
		
	2.17	 	“Incentive Stock Option” or “ISO” means an Option to purchase Shares granted under Article 6 to an Employee and that is designated as an Incentive Stock
Option and that is intended to meet the requirements of Code Section 422, or any successor provision.
		
	2.18	 	“Insider” shall mean an individual who is, on the relevant date, an officer, Director, or more than ten percent (10%) Beneficial Owner of any class of the Company’s
equity securities that is registered pursuant to Section 12 of the Exchange Act, as determined by the Board in accordance with Section 16 of the Exchange Act.
		
	2.19	 	“Non-Employee Director” means a Director who is not an Employee.
		
	2.20	 	“Non-Employee Director Award” means any NQSO, SAR, grant of Restricted Stock or Restricted Stock Unit, or Other Stock-Based Award, whether singly, in combination, or in
tandem, issued to a Participant who is a Non-Employee Director pursuant to such applicable terms, conditions and limitations as the Board may establish in accordance with this Plan.
		
	2.21	 	“Non-Qualified Stock Option” or “NQSO” means an Option that is not intended to meet the requirements of Code Section 422, or that otherwise does not meet
such requirements.
		
	2.22	 	“Option” means an Incentive Stock Option or a Non-Qualified Stock Option, as described in Article 6.
		
	2.23	 	“Option Price” means the price at which a Share may be purchased by a Participant pursuant to an Option.
		
	2.24	 	“Other Stock-Based Award” means an equity-based or equity-related Award not otherwise described by the terms of this Plan, granted pursuant to Article 10.
		
	2.25	 	“Participant” means any eligible person as set forth in Article 5 to whom an Award is granted.
		
	2.26	 	“Performance Share” means an Award granted to a Participant, as described in Article 9.
		
	2.27	 	“Performance Unit” means an Award granted to a Participant, as described in Article 9.
		
	2.28	 	“Period of Restriction” means the period when Restricted Stock or Restricted Stock Units are subject to a substantial risk of forfeiture (based on the passage of time, the
achievement of performance goals, or upon the occurrence of other events as determined by the Committee, in its discretion), as provided in Article 8.
		
	2.29	 	“Person” shall have the meaning ascribed to such term in Section 3(a)(9) of the Exchange Act and used in Sections 13(d) and 14(d) thereof, including a “group” as
defined in Section 13(d) thereof.
		
	2.30	 	“Plan” means the Texas Industries, Inc. 2004 Omnibus Equity Compensation Plan.
		
	2.31	 	“Plan Year” means the calendar year.
		
	2.32	 	“Restricted Stock” means an Award granted to a Participant pursuant to Article 8.
		
	2.33	 	“Restricted Stock Unit” means an Award granted to a Participant pursuant to Article 8, except no Shares are actually awarded to the Participant on the date of
grant.
		
	2.34	 	“Share” means a Share of common stock of the Company, $1.00 par value per Share.
		
	2.35	 	“Stock Appreciation Right” or “SAR” means an Award, designated as a SAR, pursuant to the terms of Article 7 herein.

  

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	2.36	 	“Subsidiary” means any corporation or other entity, whether domestic or foreign, in which the Company has or obtains, directly or indirectly, a proprietary interest of more
than fifty percent (50%) by reason of stock ownership or otherwise.
		
	2.37	 	“Tandem SAR” means a SAR that is granted in connection with a related Option pursuant to Article 7 herein, the exercise of which shall require forfeiture of the right to
purchase a Share under the related Option (and when a Share is purchased under the Option, the Tandem SAR shall similarly be canceled).

 Article 3. Administration 
 3.1 General. The Committee shall be responsible for administering the Plan, subject to this Article 3 and the other provisions of the Plan. The Committee may employ attorneys, consultants, accountants, agents,
and other persons, any of whom may be an Employee, and the Committee, the Company, and its officers and Directors shall be entitled to rely upon the advice, opinions or valuations of any such persons. All actions taken and all interpretations and
determinations made by the Committee shall be final and binding upon the Participants, the Company, and all other interested persons. The Committee shall have the authority to bring an action in the name of the Company in any court of competent
jurisdiction to enforce, define or defend any action or determination under the Plan. 
 3.2 Authority of the Committee. Subject to
the terms of the Plan, the Committee shall have full and exclusive discretionary power to interpret the terms and the intent of the Plan and any Award Agreement or other agreement or document ancillary to or in connection with the Plan, to determine
eligibility for Awards and to adopt such rules, regulations, forms, instruments and guidelines for administering the Plan as the Committee may deem necessary or proper. Such authority shall include, but not be limited to, selecting Award recipients,
establishing all Award terms and conditions, including the terms and conditions set forth in Award Agreements, and, subject to Article 19, adopting modifications and amendments to the Plan or any Award Agreement, including without limitation, any
that are necessary to comply with the laws of the countries and other jurisdictions in which the Company, its Affiliates and/or its Subsidiaries operate. 
 3.3 Delegation. The Committee may delegate to one or more of its members, or to one or more officers of the Company and/or its Subsidiaries and Affiliates, or to one or more agents or advisors such
administrative duties or powers as it may deem advisable; and the Committee or any person to whom it has delegated duties or powers as aforesaid may employ one or more persons to render advice with respect to any responsibility the Committee or such
person may have under the Plan. The Committee may, by resolution, authorize one or more officers of the Company to do any of the following on the same basis as can the Committee: (a) designate Employees to be recipients of Awards; and
(b) determine the size of any such Awards. The Committee shall not delegate such responsibilities with respect to Awards granted to an officer who is considered an Insider. The resolution providing for such delegation shall set forth the total
number of Awards such officer(s) may grant; and, the officer(s) shall report periodically to the Committee regarding the nature and scope of the Awards granted pursuant to the authority delegated. 
 Article 4. Shares Subject to the Plan and Maximum Awards 
 4.1 Number of Shares Available for Awards. 
  

	 	(a)	Subject to adjustment as provided in Section 4.3 herein, the maximum number of Shares available for issuance to Participants under the Plan (the “Share
Authorization”) shall be two million five hundred thousand (2,500,000) shares. 

  

	 	(b)	Subject to adjustment as provided in Section 4.3, and subject to the limit set forth in Section 4.1(a) on the number of Shares that may be issued in the aggregate under
the Plan, and in order to comply with the requirements of Section 422 of the Code and the regulations thereunder, the maximum number of Shares available for issuance pursuant to ISOs and NQSOs shall be: 

  

	 	(i)	Two million five hundred thousand (2,500,000) Shares that may be issued pursuant to Awards in the form of ISOs. 

  

	 	(ii)	Two million five hundred thousand (2,500,000) Shares that may be issued pursuant to Awards in the form of NQSO’s. 

 4.2 Share Usage. Shares covered by an Award shall only be counted as used to the extent they are actually issued and delivered to a Participant,
or, if permitted by the Committee, a Participant’s designated transferee. Any Shares related to Awards which terminate by expiration, forfeiture, cancellation, or otherwise without the issuance of such Shares, are settled in cash in lieu of
Shares, or are exchanged with the Committee’s permission, prior to the issuance of Shares, for Awards not involving Shares, shall be available again for grant under the Plan. Moreover, if the Option Price of any Option granted under the Plan or
the tax withholding requirements with respect to any Award granted under the 

  

 3 

 
Plan are satisfied by tendering Shares to the Company (by either actual delivery or by attestation), or if a SAR is exercised, only the number of Shares
issued, net of the Shares tendered, if any, will be deemed delivered for purposes of determining the maximum number of Shares available for delivery under the Plan. The maximum number of Shares available for issuance under the Plan shall not be
reduced to reflect any dividends or dividend equivalents that are reinvested into additional Shares or credited as additional Restricted Stock, Restricted Stock Units, Performance Shares, or Other Stock-Based Awards. The Shares available for
issuance under the Plan may be authorized and unissued Shares or treasury Shares. 
 4.3 Adjustments in Authorized Shares. In the
event of any corporate event or transaction (including, but not limited to, a change in the Shares of the Company or the capitalization of the Company) such as a merger, consolidation, reorganization, recapitalization, separation, stock dividend,
stock split, reverse stock split, split up, spin-off, or other distribution of stock or property of the Company, combination of Shares, exchange of Shares, dividend in kind, or other like change in capital structure or distribution (other than
normal cash dividends) to Shareholders of the Company, or any similar corporate event or transaction, the Committee, in order to prevent dilution or enlargement of Participants’ rights under the Plan, shall substitute or adjust, as applicable,
the number and kind of Shares that may be issued under the Plan or under particular forms of Awards, the number and kind of Shares subject to outstanding Awards, the Option Price or Grant Price applicable to outstanding Awards and other value
determinations applicable to outstanding Awards. The Committee shall also make appropriate adjustments in the terms of any Awards under the Plan to reflect or related to such changes or distributions and to modify any other terms of outstanding
Awards. The determination of the Committee as to the foregoing adjustments, if any, shall be conclusive and binding on Participants under the Plan. 
 Subject to the provisions of Article 17, without affecting the number of Shares reserved or available hereunder or the number or types of options that may be granted hereunder, the Committee may authorize the issuance or assumption of
Awards under this Plan in connection with any merger, consolidation, acquisition of property or stock or reorganization upon such terms and conditions as it may deem appropriate; provided, however, that, subject to adjustment as provided above, the
maximum amount of Shares with respect to which ISOs, NQSOs and/or other Awards may be granted under this paragraph is as set forth in section 4.1 (b) hereof. 
 Article 5. Eligibility and Participation 
 5.1 Eligibility. Individuals eligible to participate in this Plan
include all Employees and Non-Employee Directors. 
 5.2 Actual Participation. Subject to the provisions of the Plan, the Committee
may, from time to time, select from all eligible individuals, those to whom Awards shall be granted and shall determine, in its sole discretion, the nature of any and all terms permissible by law, and the amount of each Award, except that in the
case of Non-Employee Directors, such determinations shall be made by the Board pursuant to Section 11. 
 Article 6. Stock Options 
 6.1 Grant of Options. Subject to the terms and provisions of the Plan, Options may be granted to Participants in such number, and upon such terms,
and at any time and from time to time as shall be determined by the Committee, in its sole discretion; provided that ISOs may be granted only to eligible Employees of the Company or of any parent or subsidiary corporation (as permitted by
Section 422 of the Code and the regulations thereunder). 
 6.2 Award Agreement. Each Option grant shall be evidenced by an Award
Agreement that shall specify the Option Price, the maximum duration of the Option, the number of Shares to which the Option pertains, the conditions upon which an Option shall become vested and exercisable, and such other provisions as the Committee
shall determine which are not inconsistent with the terms of the Plan. The Award Agreement also shall specify whether the Option is intended to be an ISO or a NQSO. 
 6.3 Option Price. The Option Price for each grant of an Option under this Plan shall be as determined by the Committee and shall be specified in the Award Agreement; provided, however, the Option Price shall
not be less than one hundred percent (100%) of the Fair Market Value of a Share on the date the Option is granted. 
 6.4 Duration of
Options. Each Option granted to a Participant shall expire at such time as the Committee shall determine at the time of grant; provided, however, no Option shall be exercisable later than the tenth (10th) anniversary date of its grant.

 6.5 Exercise of Options. Options granted under this Article 6 shall be exercisable at such times and be subject to such
restrictions and conditions as the Committee shall in each instance approve, which terms and restrictions need not be the same for each grant or for each Participant. 
  

 4 

 6.6 Payment. Options granted under this Article 6 shall be exercised by the delivery of a notice
of exercise to the Company or an agent designated by the Company in a form specified or accepted by the Committee, or by complying with any alternative procedures which may be authorized by the Committee, setting forth the number of Shares with
respect to which the Option is to be exercised, accompanied by full payment for the Shares. 
 A condition of the issuance of the Shares as
to which an Option shall be exercised shall be the payment of the Option Price. The Option Price of any Option shall be payable to the Company in full either: (a) in cash or its equivalent; (b) by tendering (either by actual delivery or
attestation) previously acquired Shares having an aggregate Fair Market Value at the time of exercise equal to the Option Price (provided that the Shares that are tendered must have been held by the Participant for at least six (6) months prior
to their tender to satisfy the Option Price or have been purchased on the open market); (c) by a combination of (a) and (b); or (d) any other method approved or accepted by the Committee in its sole discretion. 
 Subject to any governing rules or regulations, as soon as practicable after receipt of written notification of exercise and full payment (including
satisfaction of any applicable tax withholding), the Company shall deliver to the Participant evidence of book entry Shares, or upon the Participant’s request, Share certificates in an appropriate amount based upon the number of Shares
purchased under the Option(s). 
 Unless otherwise determined by the Committee, all payments under all of the methods indicated above shall
be paid in United States dollars. 
 6.7 Restrictions on Share Transferability. The Committee may impose such restrictions on any
Shares acquired pursuant to the exercise of an Option granted under this Article 6 as it may deem advisable, including, without limitation, minimum holding period requirements, restrictions under applicable federal securities laws, under the
requirements of any stock exchange or market upon which such Shares are then listed and/or traded, or under any blue sky or state securities laws applicable to such Shares. 
 6.8 Termination of Employment. Each Participant’s Award Agreement shall set forth the extent to which the Participant shall have the right to
exercise the Option following termination of the Participant’s employment or provision of services to the Company, its Affiliates, or its Subsidiaries, as the case may be. Such provisions shall be determined in the sole discretion of the
Committee, shall be included in the Award Agreement entered into with each Participant, need not be uniform among all Options issued pursuant to this Article 6, and may reflect distinctions based on the reasons for termination. 
 6.9 Transferability of Options. 
  

	 	(a)	Incentive Stock Options. No ISO granted under the Plan may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws
of descent and distribution. Further, all ISOs granted to a Participant under this Article 6 shall be exercisable during his or her lifetime only by such Participant. 

  

	 	(b)	Non-Qualified Stock Options. Except as otherwise provided in a Participant’s Award Agreement or otherwise determined at any time by the Committee, no NQSO granted under
this Article 6 may be sold, assigned or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution; provided that the Board or Committee may permit further transferability, on a general or a specific basis,
and may impose conditions and limitations on any permitted transferability. Further, except as otherwise provided in a Participant’s Award Agreement or otherwise determined at any time by the Committee, or unless the Board or Committee decides
to permit further transferability, all NQSOs granted to a Participant under this Article 6 shall be exercisable during his or her lifetime only by such Participant. With respect to those NQSOs, if any, that are permitted to be transferred to another
person, references in the Plan to exercise or payment of the Option Price by the Participant shall be deemed to include, as determined by the Committee, the Participant’s permitted transferee. 

 6.10 Notification of Disqualifying Disposition. If any Participant shall make any disposition of Shares issued pursuant to the exercise of an ISO
under the circumstances described in Section 421(b) of the Code (relating to certain disqualifying dispositions), such Participant shall notify the Company of such disposition within ten (10) days thereof. 
 6.11 Substituting SARs. In the event the Company no longer uses APB Opinion 25 to account for equity compensation and is required to or elects to
expense the cost of Options pursuant to FAS 123 (or a successor standard), the Committee shall have the ability to substitute, without receiving Participant permission, SARs paid only in Stock (or SARs paid in Stock or cash at the Committee’s
discretion) for outstanding Options; provided the terms of the substituted Stock SARs are substantially equivalent to the terms for the Options, and the excess of the Fair Market Value of the underlying Shares over the aggregate Grant Price of the
SARs is equivalent to the excess of the Fair Market Value of the 

  

 5 

 
underlying Shares over the aggregate Option Price of the Options. If this provision creates adverse accounting consequences for the Company, it shall be
considered void by the Committee. 
 Article 7. Stock Appreciation Rights 
 7.1 Grant of SARs. Subject to the terms and conditions of the Plan, SARs may be granted to Participants at any time and from time to time as shall
be determined by the Committee. The Committee may grant Freestanding SARs, Tandem SARs, or any combination of these forms of SARs. 
 Subject
to the terms and conditions of the Plan, the Committee shall have complete discretion in determining the number of SARs granted to each Participant and, consistent with the provisions of the Plan, in determining the terms and conditions pertaining
to such SARs. 
 The Grant Price for each grant of a Freestanding SAR shall be determined by the Committee and shall be specified in the
Award Agreement. The Grant Price may be based on one hundred percent (100%) of the FMV of the Shares on the date of grant, set at a premium to the FMV of the Shares on the date of grant, or indexed to the FMV of the Shares on the date of grant,
with the index determined by the Committee, in its discretion. The Grant Price of Tandem SARs shall be equal to the Option Price of the related Option. 
 7.2 SAR Agreement. Each SAR Award shall be evidenced by an Award Agreement that shall specify the Grant Price, the term of the SAR, and such other provisions as the Committee shall determine. 
 7.3 Term of SAR. The term of a SAR granted under the Plan shall be determined by the Committee in its sole discretion, and except as determined
otherwise by the Committee and specified in the SAR Award Agreement, no SAR shall be exercisable later than the tenth (10th) anniversary date of its grant. 
 7.4 Exercise of Freestanding SARs. Freestanding SARs may be exercised upon whatever terms and conditions the Committee, in its sole discretion, imposes. 
 7.5. Exercise of Tandem SARs. Tandem SARs may be exercised for all or part of the Shares subject to the related Option upon the surrender of the
right to exercise the equivalent portion of the related Option. A Tandem SAR may be exercised only with respect to the Shares for which its related Option is then exercisable. 
 Notwithstanding any other provision of this Plan to the contrary, with respect to a Tandem SAR granted in connection with an ISO: (a) the Tandem SAR
will expire no later than the expiration of the underlying ISO; (b) the value of the payout with respect to the Tandem SAR may be for no more than one hundred percent (100%) of the excess of the Fair Market Value of the Shares subject to
the underlying ISO over the aggregate Option Price of the Shares subject to the underlying ISO at the time the Tandem SAR is exercised; and (c) the Tandem SAR may be exercised only when the Fair Market Value of the Shares subject to the ISO
exceeds the aggregate Option Price of the ISO. 
 7.6 Payment of SAR Amount. Upon the exercise of a SAR, a Participant shall be
entitled to receive payment from the Company in an amount determined by multiplying: 
  

	 	(a)	The excess of the Fair Market Value of a Share on the date of exercise over the Grant Price; by 

  

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

 At the
discretion of the Committee, the payment upon SAR exercise may be in cash, Shares, or any combination thereof, or in any other manner approved by the Committee in its sole discretion. The Committee’s determination regarding the form of SAR
payout shall be set forth in the Award Agreement pertaining to the grant of the SAR. 
 7.7 Termination of Employment. Each Award
Agreement shall set forth the extent to which the Participant shall have the right to exercise the SAR following termination of the Participant’s employment with or provision of services to the Company, its Affiliates and/or its Subsidiaries,
as the case may be. Such provisions shall be determined in the sole discretion of the Committee, shall be included in the Award Agreement entered into with Participants, need not be uniform among all SARs issued pursuant to the Plan, and may reflect
distinctions based on the reasons for termination. 
 7.8 Non-Transferability of SARs. Except as otherwise provided in a
Participant’s Award Agreement or otherwise at any time by the Committee, no SAR granted under the Plan may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and
distribution. Further, except as otherwise provided in a Participant’s Award Agreement or otherwise at any time by the Committee, all SARs granted to a Participant under the Plan shall be exercisable during his or her lifetime only by such
Participant. With respect to those SARs, if any, that are permitted to be transferred to another person, references in the Plan to exercise of the SAR by the Participant or payment of any amount to the Participant shall be deemed to include, as
determined by the Committee, the Participant’s permitted transferee. 
  

 6 

 7.9 Other Restrictions. The Committee shall impose such other conditions and/or restrictions on
any Shares received upon exercise of a SAR granted pursuant to the Plan as it may deem advisable or desirable. These restrictions may include, but shall not be limited to, a requirement that the Participant hold the Shares received upon exercise of
a SAR for a specified period of time. 
 Article 8. Restricted Stock and Restricted Stock Units 
 8.1. Grant of Restricted Stock or Restricted Stock Units. Subject to the terms and provisions of the Plan, the Committee, at any time and from time
to time, may grant Shares of Restricted Stock and/or Restricted Stock Units to Participants in such amounts as the Committee shall determine. Restricted Stock Units shall be similar to Restricted Stock except that no Shares are actually awarded to
the Participant on the date of grant. 
 8.2 Restricted Stock or Restricted Stock Unit Agreement. Each Restricted Stock and/or
Restricted Stock Unit grant shall be evidenced by an Award Agreement that shall specify the Period(s) of Restriction, the number of Shares of Restricted Stock or the number of Restricted Stock Units granted, and such other provisions as the
Committee shall determine. 
 8.3 Transferability. Except as provided in this Plan or an Award Agreement, the Shares of Restricted
Stock and/or Restricted Stock Units granted herein may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated until the end of the applicable Period of Restriction established by the Committee and specified in the Award
Agreement (and in the case of Restricted Stock Units until the date of delivery or other payment), or upon earlier satisfaction of any other conditions, as specified by the Committee, in its sole discretion, and set forth in the Award Agreement or
otherwise at any time by the Committee. All rights with respect to the Restricted Stock and/or Restricted Stock Units granted to a Participant under the Plan shall be available during his or her lifetime only to such Participant, except as otherwise
provided in an Award Agreement or at any time by the Committee. 
 8.4 Other Restrictions. The Committee shall impose such other
conditions and/or restrictions on any Shares of Restricted Stock or Restricted Stock Units granted pursuant to the Plan as it may deem advisable including, without limitation, a requirement that Participants pay a stipulated purchase price for each
Share of Restricted Stock or each Restricted Stock Unit, restrictions based upon the achievement of specific performance goals, time-based restrictions on vesting following the attainment of the performance goals, time-based restrictions and/or
restrictions under applicable laws or under the requirements of any stock exchange or market upon which such Shares are listed or traded, or holding requirements or sale restrictions placed on the Shares by the Company upon vesting of such
Restricted Stock or Restricted Stock Units. 
 To the extent deemed appropriate by the Committee, the Company may retain the certificates
representing Shares of Restricted Stock in the Company’s possession until such time as all conditions and/or restrictions applicable to such Shares have been satisfied or lapse. 
 Except as otherwise provided in this Article 8 or under applicable law, Shares of Restricted Stock covered by each Restricted Stock Award shall become
freely transferable by the Participant after all conditions and restrictions applicable to such Shares have been satisfied or lapse (including satisfaction of any applicable tax withholding obligations), and Restricted Stock Units shall be paid in
cash, Shares, or a combination of cash and Shares as the Committee in its sole discretion shall determine. 
 8.5 Certificate Legend.
In addition to any legends placed on certificates pursuant to Section 20.2, each certificate representing Shares of Restricted Stock granted pursuant to the Plan may bear a legend such as the following or as otherwise determined by the
Committee in its sole discretion: 
 The sale or transfer of Shares of stock represented by this certificate, whether voluntary, involuntary,
or by operation of law, is subject to certain restrictions on transfer as set forth in the Texas Industries, Inc. 2004 Omnibus Equity Compensation Plan, and in the associated Award Agreement. A copy of the Plan and such Award Agreement may be
obtained from Texas Industries, Inc. 
 8.6 Voting Rights. Unless otherwise determined by the Committee and set forth in a
Participant’s Award Agreement, to the extent permitted or required by law, as determined by the Committee, Participants holding Shares of Restricted Stock granted hereunder may be granted the right to exercise full voting rights with respect to
those Shares during the Period of Restriction. There shall be no voting rights with respect to any Restricted Stock Units granted hereunder. 
 8.7 Termination of Employment. Each Award Agreement shall set forth the extent to which the Participant shall have the right to retain Restricted Stock and/or Restricted Stock Units following termination of the Participant’s
employment with or provision of services to the Company, its Affiliates, and/or its Subsidiaries, as the case may be. Such 

  

 7 

 
provisions shall be determined in the sole discretion of the Committee, shall be included in the Award Agreement entered into with each Participant, need not
be uniform among all Awards of Restricted Stock or Restricted Stock Units granted pursuant to the Plan, and may reflect distinctions based on the reasons for termination. 
 8.8 Section 83(b) Election. The Committee may provide in an Award Agreement that the Award of Restricted Stock is conditioned upon the Participant making or refraining from making an election with respect
to the Award under Section 83(b) of the Code. If a Participant makes an election pursuant to Section 83(b) of the Code concerning a Restricted Stock Award, the Participant shall be required to file promptly a copy of such election with the
Company. 
 Article 9. Performance Units/ Performance Shares 
 9.1 Grant of Performance Units/Performance Shares. Subject to the terms and provisions of the Plan, the Committee, at any time and from time to time, may grant Performance Units and/or Performance Shares to
Participants in such amounts and upon such terms as the Committee shall determine. 
 9.2 Value of Performance Units/Performance Shares.
Each Performance Unit shall have an initial value that is established by the Committee at the time of grant. Each Performance Share shall have an initial value equal to the Fair Market Value of a Share on the date of grant. The Committee shall
set performance goals in its discretion which, depending on the extent to which they are met, will determine the value and/or number of Performance Units/ Performance Shares that will be paid out to the Participant. 
 9.3 Earning of Performance Units/Performance Shares. Subject to the terms of this Plan, after the applicable Performance Period has ended, the
holder of Performance Units/ Performance Shares shall be entitled to receive payout on the value and number of Performance Units/Performance Shares earned by the Participant over the Performance Period, to be determined as a function of the extent
to which the corresponding performance goals have been achieved. 
 9.4 Form and Timing of Payment of Performance Units/Performance
Shares. Payment of earned Performance Units/ Performance Shares shall be as determined by the Committee and as evidenced in the Award Agreement. Subject to the terms of the Plan, the Committee, in its sole discretion, may pay earned Performance
Units/Performance Shares in the form of cash or in Shares (or in a combination thereof) equal to the value of the earned Performance Units/Performance Shares at the close of the applicable Performance Period, or as soon as practicable after the end
of the Performance Period. Any Shares may be granted subject to any restrictions deemed appropriate by the Committee and as evidenced in the Award Agreement. The determination of the Committee with respect to the form of payout of such Awards and
restrictions shall be set forth in the Award Agreement pertaining to the grant of the Award. 
 9.5 Dividends and Other Distributions.
At the discretion of the Committee, Participants holding Performance Shares may be entitled to receive dividend equivalents with respect to dividends declared with respect to the Shares. Such dividend equivalents may be in the form of cash,
Shares, Restricted Stock, or Restricted Stock Units and may be subject to such accrual, forfeiture, or payout restrictions as determined by the Committee in its sole discretion and as evidenced in the Award Agreement. 
 9.6 Termination of Employment. Each Award Agreement shall set forth the extent to which the Participant shall have the right to retain Performance
Units and/or Performance Shares following termination of the Participant’s employment with or provision of services to the Company, its Affiliates and/or its Subsidiaries, as the case may be. Such provisions shall be determined in the sole
discretion of the Committee, shall be included in the Award Agreement entered into with each Participant, need not be uniform among all Awards of Performance Units or Performance Shares issued pursuant to the Plan, and may reflect distinctions based
on the reasons for termination. 
 9.7 Non-Transferability. Except as otherwise provided in a Participant’s Award Agreement or
otherwise determined at any time by the Committee, Performance Units/ Performance Shares may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution. Further,
except as otherwise provided in a Participant’s Award Agreement or otherwise determined at any time by the Committee, a Participant’s rights under the Plan shall be exercisable during his or her lifetime only by such Participant.

 Article 10. Other Stock-Based Awards 
 10.1 Grant of Other Stock-Based Awards. The Committee may grant other types of equity-based or equity-related Awards not otherwise described by the terms of this Plan (including the grant or offer for sale of unrestricted Shares) in
such amounts and subject to such terms and conditions as the Committee shall determine. Such Awards may involve the transfer of actual Shares to Participants, or payment in cash or otherwise of amounts based on the value of Shares and may include,
without limitation, Awards designed to comply with or take advantage of the applicable local laws of jurisdictions other than the United States. 
  

 8 

 10.2 Value of Other Stock-Based Awards. Each Other Stock-Based Award shall be expressed in terms
of Shares or units based on Shares as determined by the Committee. The Committee may establish performance goals in its discretion. If the Committee exercises its discretion to establish performance goals, the number and/or value of Other
Stock-Based Awards that will be paid out to the Participant will depend on the extent to which the performance goals are met. 
 10.3
Payment of Other Stock-Based Awards. Payment, if any, with respect to an Other Stock-Based Award shall be made in accordance with the terms of the Award, in cash or Shares as the Committee determines. 
 10.4 Termination of Employment. The Committee shall determine the extent to which the Participant shall have the right to receive Other
Stock-Based Awards following termination of the Participant’s employment with or provision of services to the Company, its Affiliates and/or its Subsidiaries, as the case may be. Such provisions shall be determined in the sole discretion of the
Committee. Such provisions may be included in an agreement entered into with each Participant, but need not be uniform among all Awards of Other Stock-Based Awards issued pursuant to the Plan, and may reflect distinctions based on the reasons for
termination. 
 10.5 Non-Transferability. Except as otherwise determined by the Committee, Other Stock-Based Awards may not be sold,
transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution. Further, except as otherwise provided by the Committee, a Participant’s rights under the Plan, if
exercisable, shall be exercisable during his or her lifetime only by such Participant. With respect to those Other Stock-Based Awards, if any, that are permitted to be transferred to another person, references in the Plan to exercise or payment of
such Awards by or to the Participant shall be deemed to include, as determined by the Committee, the Participant’s permitted transferee. 
 Article
11. Non-Employee Director Awards 
 Non-Employee Directors may only be granted Awards under the Plan in accordance with this Article 11
and which shall not be subject to management’s discretion. From time to time, the Committee, subject to the approval of the Board of Directors, shall set the amount(s) and type(s) of equity awards that shall be granted to all Non-Employee
Directors on a periodic, nondiscriminatory basis pursuant to the Plan, as well as any additional amount(s), if any, to be awarded, also on a periodic, nondiscriminatory basis, based on each of the following: the number of committees of the Board on
which a Non-Employee Director serves, service of a Non-Employee Director as the chair of a Committee of the Board, service of a Non-Employee Director as Chairman of the Board, service of a Non-Employee Director as a Lead Director or the first
selection or appointment of an individual to the Board as a Non-Employee Director and any subsequent reelection of such Non-Employee Director to the Board. Subject to the foregoing, the Board shall grant such Awards to Non-Employee Directors and the
Non-Employee Chairman of the Board and/or the Non-Employee Lead Director and grant New Non-Employee Director Awards, as it shall from time to time determine. 
 Article 12. Dividend Equivalents 
 Any Participant selected by the Committee may be granted dividend equivalents based on the
dividends declared on Shares that are subject to any Award, to be credited as of dividend payment dates, during the period between the date the Award is granted and the date the Award is exercised, vests or expires, as determined by the Committee.
Such dividend equivalents shall be converted to cash or additional Shares by such formula and at such time and subject to such limitations as may be determined by the Committee. 
 Dividend equivalents granted with respect to Options or SARs that are intended to be Performance-Based Compensation shall be payable, with respect to
pre-exercise periods, regardless of whether such Option or SAR is subsequently exercised. 
 Article 13. Beneficiary Designation 
 Each Participant under the Plan may, from time to time, name any beneficiary or beneficiaries (who may be named contingently or successively) to whom any
benefit under the Plan is to be paid in case of his or her death before he or she receives any or all of such benefit. Each such designation shall revoke all prior designations by the same Participant, shall be in a form prescribed by the Committee,
and will be effective only when filed by the Participant in writing with the Company during the Participant’s lifetime. In the absence of any such designation, benefits remaining unpaid at the Participant’s death shall be paid to the
Participant’s estate. 
 Article 14. Deferrals 
 The Committee may permit or, in an Award Agreement, require officers or Non-Employee Directors to defer receipt of the payment of cash or the delivery of Shares that would otherwise be due to such officers or
Non-Employee Directors by virtue of the exercise of an Option or SAR, the lapse or waiver of restrictions with respect to Restricted Stock or 

  

 9 

 
Restricted Stock Units, or the satisfaction of any requirements or performance goals with respect to Performance Shares, Performance Units, or Other
Stock-Based Awards. If any such deferral election is required or permitted, the Committee shall, in its sole discretion, establish rules and procedures for such payment deferrals. 
 Article 15. Rights of Participants 
 15.1 Employment. Nothing in the Plan or an Award Agreement
shall interfere with or limit in any way the right of the Company, its Affiliates and/or its Subsidiaries, to terminate any Participant’s employment or service on the Board or to the Company at any time or for any reason not prohibited by law,
nor confer upon any Participant any right to continue his or her employment, or service as a Director, for any specified period of time. 
 Neither an Award nor any benefits arising under this Plan shall constitute an employment contract with the Company, its Affiliates and/or its Subsidiaries and, accordingly, subject to Articles 3 and 17, this Plan and the benefits hereunder
may be terminated at any time in the sole and exclusive discretion of the Committee without giving rise to any liability on the part of the Company, its Affiliates and/or its Subsidiaries. 
 15.2 Participation. No individual shall have the right to be selected to receive an Award under this Plan or, having been so selected, to be
selected to receive a future Award. 
 15.3 Rights as a Shareholder. Except as otherwise provided herein, a Participant shall have
none of the rights of a Shareholder with respect to Shares covered by any Award until the Participant becomes the record holder of such Shares. 
 15.4 No Third Party Beneficiaries. This Plan does not confer any right or remedy other than to Participants, the Company, and their respective permitted successors and assigns, and no action may be brought against the Company, the
Board, the Committee, or any of the Committee’s delegates by any third party claiming as a third party beneficiary to the Plan or any Award Agreement. 
 Article 16. Corporate Events 
 Unless otherwise set forth in the Award Agreement, upon a dissolution or liquidation of the
Company, or a sale of substantially all of the assets of the Company, its Subsidiaries and its Affiliates and the acquiring entity does not substitute new and equivalent Awards for the outstanding Awards hereunder, or a merger or consolidation in
which the surviving corporation does not substitute new and equivalent Awards for the outstanding Awards hereunder (each a “Corporate Event”), each Participant shall be given at least ten days prior written notice of the occurrence of such
Corporate Event, every Award outstanding hereunder shall become fully vested and exercisable, all restrictions on such Awards shall lapse and each Participant may exercise any Award that is in the form of an Option or SAR, in whole or in part, prior
to or simultaneously with such Corporate Event. Unless otherwise set forth in the Award Agreement, upon the occurrence of any such Corporate Event, any Option or SAR not exercised pursuant hereto shall terminate. Unless otherwise set forth in the
Award Agreement, furthermore, upon the occurrence of a Corporate Event, the Company shall have the option to cancel every outstanding Award hereunder (other than Options and SARs outstanding the cancellation of which would be handled by the
preceding sentence) and to pay the holder of such Awards the value of those Awards as determined by the Board or Committee in their sole discretion. 
 Article 17. Amendment, Modification, Suspension and Termination 
 17.1 Amendment, Modification, Suspension and
Termination. Subject to Section 17.3, the Committee may, at any time and from time to time, alter, amend, modify, suspend or terminate the Plan and any Award Agreement in whole or in part; provided, however, that, without the prior approval
of the Company’s Shareholders and except as provided in Sections 4.3 and 6.11 hereof, Options issued under the Plan will not be repriced, replaced, or regranted through cancellation, or by lowering the Option Price of a previously granted
Option, and no amendment of the Plan shall be made without Shareholder approval if Shareholder approval is required by law, regulation, or stock exchange rule, including, but not limited to, the Securities Exchange Act of 1934, as amended, the
Internal Revenue Code of 1986, as amended, and, if applicable, the New York Stock Exchange Listed Company Manual. 
 17.2 Adjustment of
Awards Upon the Occurrence of Certain Unusual or Non-recurring Events. The Committee may make adjustments in the terms and conditions of, and the criteria included in, Awards in recognition of unusual or nonrecurring events (other than the
events described in Section 4.3 hereof, the adjustments for which will be governed by Section 4.3) affecting the Company or the financial statements of the Company or of changes in applicable laws, regulations or accounting principles,
whenever the Committee determines that such adjustments are appropriate in order to prevent unintended dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan. The determination of the Committee as
to the foregoing adjustments, if any, shall be conclusive and binding on Participants under the Plan. 
  

 10 

 17.3 Awards Previously Granted. Notwithstanding any other provision of the Plan to the contrary,
no termination, amendment, suspension or modification of the Plan or an Award Agreement shall adversely affect in any material way any Award previously granted under the Plan, without the written consent of the Participant holding such Award.

 Article 18. Withholding 
 18.1 Tax
Withholding. The Company shall have the power and the right to deduct or withhold, or require a Participant to remit to the Company, the minimum statutory amount to satisfy federal, state, and local taxes, domestic or foreign, required by law or
regulation to be withheld with respect to any taxable event arising as a result of this Plan. 
 18.2 Share Withholding. With respect
to withholding required upon the exercise of Options or SARs, upon the lapse of restrictions on Restricted Stock and Restricted Stock Units, or any other taxable event arising as a result of an Award granted hereunder, the Committee may decide to
permit Participants to satisfy the withholding requirement, in whole or in part, by having the Company withhold Shares having a Fair Market Value on the date the tax is to be determined equal to the minimum statutory total tax that could be imposed
on the transaction. If permitted by the Committee, all Participant elections related to share withholding shall be irrevocable, made in writing, and signed by the Participant, and shall be subject to any restrictions or limitations that the
Committee, in its sole discretion, deems appropriate. 
 Article 19. Successors 
 All obligations of the Company under the Plan with respect to Awards granted hereunder shall be binding on any successor to the Company, whether the
existence of such successor is the result of a direct or indirect purchase, merger, consolidation or otherwise, of all or substantially all of the business and/or assets of the Company. 
 Article 20. General Provisions 
 20.1 Forfeiture Events. 
  

	 	(a)	The Committee may specify in an Award Agreement that the Participant’s rights, payments and benefits with respect to an Award shall be subject to reduction, cancellation,
forfeiture or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable vesting or performance conditions of an Award. Such events may include, but shall not be limited to, termination of employment for
cause, violation of material Company, Affiliate and/or Subsidiary policies, breach of noncompetition, confidentiality or other restrictive covenants that may apply to the Participant, or other conduct by the Participant that is detrimental to the
business or reputation of the Company, its Affiliates and/or its Subsidiaries. 

  

	 	(b)	If Section 304 of the Sarbanes-Oxley Act of 2002 applies to any Award or payment in settlement of any Award, the Participant shall and hereby agrees to reimburse the Company
for any such amounts or Awards as provided by Section 304 of the Sarbanes-Oxley Act of 2002. 

 20.2 Legend. The
certificates for Shares may include any legend which the Committee deems appropriate to reflect any restrictions on transfer of such Shares. 
 20.3 Gender and Number. Except where otherwise indicated by the context, any masculine term used herein also shall include the feminine, the plural shall include the singular, and the singular shall include the plural. 
 20.4 Severability. In the event any provision of the Plan shall be held illegal or invalid for any reason, the illegality or invalidity shall not
affect the remaining parts of the Plan, and the Plan shall be construed and enforced as if the illegal or invalid provision had not been included. 
 20.5 Requirements of Law. The granting of Awards and the issuance of Shares under the Plan shall be subject to all applicable laws, rules and regulations, and to such approvals by any governmental agencies or national securities
exchanges as may be required. 
 20.6 Delivery of Title. The Company shall have no obligation to issue or deliver evidence of title
for Shares issued under the Plan prior to: 
  

	 	(a)	Obtaining any approvals from governmental agencies that the Company determines are necessary or advisable; and 

  

	 	(b)	Completion of any registration or other qualification of the Shares under any applicable national or foreign law or ruling of any governmental body that the Company determines to be
necessary or advisable. 

  

 11 

 20.7 Inability to Obtain Authority. The inability of the Company to obtain authority from any
regulatory body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the lawful issuance and sale of any Shares hereunder, shall relieve the Company of any liability in respect of the failure to issue or
sell such Shares as to which such requisite authority shall not have been obtained. 
 20.8 Investment Representations. The Committee
may require any person receiving Shares pursuant to an Award under this Plan to represent and warrant in writing that the person is acquiring the Shares for investment and without any present intention to sell or distribute such Shares. 

20.9 Employees, Directors and Participants Based Outside of the United States. 
 20.10 Notwithstanding any provision of the Plan to the contrary, in order to comply with the laws in other countries in which the Company, its
Affiliates and/or its Subsidiaries operate or have Employees, Directors or Participants, the Committee, in its sole discretion, shall have the power and authority to: 
  

	 	(a)	Determine which Affiliates and Subsidiaries shall be covered by the Plan; 

  

	 	(b)	Determine which Employees, Directors or Participants outside the United States are eligible to participate in the Plan; 

  

	 	(c)	Modify the terms and conditions of any Award granted to Employees, Directors or Participants outside the United States to comply with applicable foreign laws;

  

	 	(d)	Establish subplans and modify exercise procedures and other terms and procedures, to the extent such actions may be necessary or advisable. Any subplans and modifications to Plan
terms and procedures established under this Section 20.9 by the Committee shall be attached to this Plan document as appendices; and 

  

	 	(e)	Take any action, before or after an Award is made, that it deems advisable to obtain approval or comply with any necessary local government regulatory exemptions or approvals.

 Notwithstanding the above, the Committee may not take any actions hereunder, and no Awards shall be granted, that would
violate applicable law. 
 20.10 Uncertificated Shares. To the extent that the Plan provides for issuance of certificates to reflect
the transfer of Shares, the transfer of such Shares may be effected on a uncertificated basis, to the extent not prohibited by applicable law or the rules of any stock exchange. 
 20.11 Unfunded Plan. Participants shall have no right, title or interest whatsoever in or to any investments that the Company, and/or its
Subsidiaries and/or Affiliates may make to aid it in meeting its obligations under the Plan. Nothing contained in the Plan, and no action taken pursuant to its provisions, shall create or be construed to create a trust of any kind, or a fiduciary
relationship between the Company and any Participant, beneficiary, legal representative, or any other person. To the extent that any person acquires a right to receive payments from the Company, and/or its Subsidiaries and/or Affiliates under the
Plan, such right shall be no greater than the right of an unsecured general creditor of the Company, a Subsidiary or an Affiliate, as the case may be. All payments to be made hereunder shall be paid from the general funds of the Company, a
Subsidiary or an Affiliate, as the case may be, and no special or separate fund shall be established and no segregation of assets shall be made to assure payment of such amounts except as expressly set forth in the Plan. The Plan is not subject to
ERISA. 
 20.12 No Fractional Shares. No fractional Shares shall be issued or delivered pursuant to the Plan or any Award. The
Committee shall determine whether cash, Awards, or other property shall be issued or paid in lieu of fractional Shares or whether such fractional Shares or any rights thereto shall be forfeited or otherwise eliminated. 
 20.13 Retirement and Welfare Plans. Neither Awards made under the Plan nor Shares or cash paid pursuant to such Awards will be included as
“compensation” for purposes of computing the benefits payable to any Participant under the Company’s or any Subsidiary’s or Affiliate’s retirement plans (both qualified and non-qualified) or welfare benefit plans unless such
other plan expressly provides that such compensation shall be taken into account in computing a Participant’s benefit. 
 20.14
Nonexclusivity of the Plan. The adoption of this Plan shall not be construed as creating any limitations on the power of the Board or Committee to adopt such other compensation arrangements as it may deem desirable for any Participant.

 20.15 No Constraint on Corporate Action. Nothing in this Plan shall be construed to: (i) limit, impair or otherwise affect the
Company’s or a Subsidiary’s or an Affiliate’s right or power to make adjustments, reclassifications, reorganizations or changes of its capital or business structure, or to merge or consolidate, or dissolve, liquidate, sell or 

  

 12 

 
transfer all or any part of its business or assets; or, (ii) limit the right or power of the Company or a Subsidiary or an Affiliate to take any action
which such entity deems to be necessary or appropriate. 
 20.16 Ratification of Actions. By accepting any Award or other benefit
under the Plan, each Participant and each person claiming under or through each Participant shall be conclusively deemed to have indicated his or her acceptance and ratification of, and consent to, any action taken under the Plan by the Company, the
Board or the Committee. 
 20.17 Governing Law. The Plan and each Award Agreement shall be governed by the laws of the State of Texas
excluding any conflicts or choice of law rule or principle that might otherwise refer construction or interpretation of the Plan to the substantive law of another jurisdiction. Unless otherwise provided in the Award Agreement, recipients of an Award
under the Plan are deemed to submit to the exclusive jurisdiction and venue of the federal or state courts of Texas, to resolve any and all issues that may arise out of or relate to the Plan or any related Award Agreement. 
 20.18 Jury Waiver. Every Participant, every person claiming under or through a Participant, and the Company hereby waive to the fullest extent
permitted by applicable law any right to a trial by jury with respect to any litigation directly or indirectly arising out of, under, or in connection with the Plan or any Award Agreement issued pursuant to the Plan. 
  

 13

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