Document:

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                            FIRST NATIONAL BANCORP, INC.

                    EMPLOYEE PROFIT SHARING AND RETIREMENT PLAN

                                AMENDED AND RESTATED

                                    JUNE 1, 2000

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                                 TABLE OF CONTENTS
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<S>                                                                                <S>
ARTICLE I  DEFINITIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-1. ACCOUNTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-2. CODE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-3. COMMITTEE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-4. COMPANY STOCK. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-5. COMPANY STOCK ACCOUNT. . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-6. COMPENSATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-7. CONTROLLED GROUP . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2
     1-8. EMPLOYEE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
     1-9. ERISA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
     1-10. FISCAL YEAR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
     1-11. LIMITATION YEAR . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
     1-12. OTHER INVESTMENTS ACCOUNT . . . . . . . . . . . . . . . . . . . . . . . .3
     1-13. PARTICIPANT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
     1-14. RELATED PLAN. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
     1-15. TRUST FUND. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3
     1-16. VALUATION DATE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3

ARTICLE II  SERVICE COMPUTATIONS . . . . . . . . . . . . . . . . . . . . . . . . . .4
     2-1. SERVICE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4
     2-2. HOUR OF SERVICE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4
     2-3. ONE-YEAR BREAK-IN-SERVICE. . . . . . . . . . . . . . . . . . . . . . . . .4
             (a) GENERAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4
             (b) PREGNANCY OR BIRTH OR ADOPTION OF A CHILD . . . . . . . . . . . . .5
     2-4. YEAR OF SERVICE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5
     2-5. SERVICE WITH AFFILIATED COMPANIES. . . . . . . . . . . . . . . . . . . . .5

ARTICLE III  PLAN PARTICIPATION. . . . . . . . . . . . . . . . . . . . . . . . . . .6
     3-1. ELIGIBILITY FOR PARTICIPATION. . . . . . . . . . . . . . . . . . . . . . .6

ARTICLE IV  ANNUAL COMPANY CONTRIBUTIONS . . . . . . . . . . . . . . . . . . . . . .7
     4-1. ANNUAL COMPANY CONTRIBUTION. . . . . . . . . . . . . . . . . . . . . . . .7
     4-2. LIMITATION ON AMOUNT OF ANNUAL COMPANY CONTRIBUTION. . . . . . . . . . . .7
     4-3. WHEN CONTRIBUTIONS MADE. . . . . . . . . . . . . . . . . . . . . . . . . .7
     4-4. MANNER OF PAYMENT. . . . . . . . . . . . . . . . . . . . . . . . . . . . .7

ARTICLE V  INVESTMENT OF TRUST ASSETS. . . . . . . . . . . . . . . . . . . . . . . .8
     5-1. INVESTMENT POLICY. . . . . . . . . . . . . . . . . . . . . . . . . . . . .8
     5-2. SALES OF COMPANY STOCK . . . . . . . . . . . . . . . . . . . . . . . . . .8

ARTICLE VI  PARTICIPANTS' ACCOUNTS AND ANNUAL ADJUSTMENTS. . . . . . . . . . . . . .9
     6-1. ACCOUNTS FOR PARTICIPANTS. . . . . . . . . . . . . . . . . . . . . . . . .9
     6-2. CHARGES TO ACCOUNTS. . . . . . . . . . . . . . . . . . . . . . . . . . . .9
     6-3. COMPANY STOCK ACCOUNT. . . . . . . . . . . . . . . . . . . . . . . . . . .9

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     6-4. OTHER INVESTMENTS ACCOUNT. . . . . . . . . . . . . . . . . . . . . . . . .9
     6-5. ALLOCATIONS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9
     6-6. LIMITATION ON ALLOCATIONS TO PARTICIPANTS. . . . . . . . . . . . . . . . .9
             (a) GENERAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9
             (b) ALLOCATIONS OF EXCESS AMOUNTS . . . . . . . . . . . . . . . . . . 10
     6-7. ADJUSTING TO VALUE OF TRUST FUND . . . . . . . . . . . . . . . . . . . . 10
     6-8. PARTICIPANT STATEMENTS . . . . . . . . . . . . . . . . . . . . . . . . . 11

ARTICLE VII  RETIREMENT DATES, TERMINATION DATE. . . . . . . . . . . . . . . . . . 12
     7-1. NORMAL RETIREMENT DATE . . . . . . . . . . . . . . . . . . . . . . . . . 12
     7-2. DISABILITY RETIREMENT DATE . . . . . . . . . . . . . . . . . . . . . . . 12
     7-3. EARLY RETIREMENT DATE. . . . . . . . . . . . . . . . . . . . . . . . . . 12
     7-4. RETIREMENT DATE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
     7-5. TERMINATION DATE . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

ARTICLE VIII  VESTING OF ACCOUNT BALANCES. . . . . . . . . . . . . . . . . . . . . 13
     8-1. VESTING ON RETIREMENT. . . . . . . . . . . . . . . . . . . . . . . . . . 13
     8-2. VESTING ON DEATH . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
     8-3. VESTING ON OTHER TERMINATION . . . . . . . . . . . . . . . . . . . . . . 13
     8-4. DETERMINATION OF ACCOUNT BALANCES. . . . . . . . . . . . . . . . . . . . 13

ARTICLE IX  DISTRIBUTION OF PLAN BENEFITS. . . . . . . . . . . . . . . . . . . . . 14
     9-1. METHOD OF DISTRIBUTION . . . . . . . . . . . . . . . . . . . . . . . . . 14
     9-2. FORM OF DISTRIBUTION . . . . . . . . . . . . . . . . . . . . . . . . . . 14
     9-3. DISTRIBUTIONS AFTER DEATH. . . . . . . . . . . . . . . . . . . . . . . . 14
     9-4. TIME OF DISTRIBUTION . . . . . . . . . . . . . . . . . . . . . . . . . . 14
             (a) GENERAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
             (b) DEFERRAL OF DISTRIBUTION. . . . . . . . . . . . . . . . . . . . . 15
             (c) SPECIAL RULES . . . . . . . . . . . . . . . . . . . . . . . . . . 15
     9-5. IN-SERVICE DISTRIBUTIONS . . . . . . . . . . . . . . . . . . . . . . . . 15
             (a) DIVIDENDS . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
             (b) WITHDRAWALS . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
     9-6. DISTRIBUTIONS TO PERSONS UNDER DISABILITY. . . . . . . . . . . . . . . . 16
     9-7. BENEFITS MAY NOT BE ASSIGNED OR ALIENATED. . . . . . . . . . . . . . . . 16
     9-8. NO GUARANTEE OF BENEFITS . . . . . . . . . . . . . . . . . . . . . . . . 16
     9-9. BENEFICIARIES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
     9-10. BENEFITS OF PERSONS WHO CANNOT BE LOCATED . . . . . . . . . . . . . . . 17
     9-11. DISTRIBUTION WITHHOLDING. . . . . . . . . . . . . . . . . . . . . . . . 17

ARTICLE X  SHAREHOLDER RIGHTS AND RESTRICTIONS . . . . . . . . . . . . . . . . . . 18
     10-1. VOTING OF COMPANY STOCK . . . . . . . . . . . . . . . . . . . . . . . . 18

ARTICLE XI  PLAN ADMINISTRATION. . . . . . . . . . . . . . . . . . . . . . . . . . 19
     11-1. PLAN ADMINISTRATION . . . . . . . . . . . . . . . . . . . . . . . . . . 19
     11-2. THE TRUST . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

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<S>                                                                                <C>

     11-3. CLAIMS PROCEDURE. . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
             (a) PROCEDURE . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
             (b) PROCEDURE FOR REVIEW OF A DENIED CLAIM  . . . . . . . . . . . . . 19
     11-4. PROCEDURES WITH RESPECT TO DOMESTIC RELATIONS ORDERS. . . . . . . . . . 20
             (a) DEFINITIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
             (b) PROCEDURES. . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
             (c) NOTICE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
             (d) SEGREGATION OF ACCOUNT. . . . . . . . . . . . . . . . . . . . . . 21

ARTICLE XII  THE COMMITTEE . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
     12-1. MEMBERSHIP. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
     12-2. RIGHTS, POWERS, AND DUTIES OF THE COMMITTEE . . . . . . . . . . . . . . 22
     12-3. APPLICATION OF RULES. . . . . . . . . . . . . . . . . . . . . . . . . . 23
     12-4. REMUNERATION AND EXPENSES . . . . . . . . . . . . . . . . . . . . . . . 23
     12-5. EXERCISE OF COMMITTEE'S DUTIES. . . . . . . . . . . . . . . . . . . . . 23
     12-6. RESIGNATION OR REMOVAL OF COMMITTEE MEMBERS . . . . . . . . . . . . . . 23
     12-7. APPOINTMENT OF SUCCESSOR COMMITTEE MEMBERS. . . . . . . . . . . . . . . 23

ARTICLE XIII  AMENDMENT AND TERMINATION. . . . . . . . . . . . . . . . . . . . . . 24
     13-1. AMENDMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
     13-2. TERMINATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
     13-3. MERGER OR CONSOLIDATION OF PLAN, TRANSFER OF PLAN ASSETS. . . . . . . . 24
     13-4. VESTING AND DISTRIBUTION ON TERMINATION AND PARTIAL TERMINATION . . . . 24

ARTICLE XIV  TOP-HEAVY PROVISIONS. . . . . . . . . . . . . . . . . . . . . . . . . 25
     14-1. TOP-HEAVY DETERMINATION . . . . . . . . . . . . . . . . . . . . . . . . 25
     14-2. MINIMUM CONTRIBUTION. . . . . . . . . . . . . . . . . . . . . . . . . . 25
     14-3. AGGREGATION OF PLANS. . . . . . . . . . . . . . . . . . . . . . . . . . 25

ARTICLE XV  MISCELLANEOUS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
     15-1. NO REVERSION TO COMPANY . . . . . . . . . . . . . . . . . . . . . . . . 26
     15-2. NOTICES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
     15-3. INDEPENDENT APPRAISER . . . . . . . . . . . . . . . . . . . . . . . . . 26
     15-4. INDEMNIFICATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
     15-5. SUBSIDIARY AND AFFILIATED COMPANIES . . . . . . . . . . . . . . . . . . 26
     15-6. PARTICIPATION NOT GUARANTEE OF EMPLOYMENT . . . . . . . . . . . . . . . 26
     15-7. GENDER AND NUMBER . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
     15-8. GOVERNING LAWS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
     15-9. TEXT TO CONTROL . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
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                            FIRST NATIONAL BANCORP, INC.

                    EMPLOYEE PROFIT SHARING AND RETIREMENT PLAN

                                      RECITALS

       WHEREAS, First National Bancorp, Inc., an Illinois corporation (the
"Company"), desires to recognize and reward the contribution by its employees,
to its successful operation, and to provide incentive for such employees, to
increase their productivity, by enabling them to acquire stock ownership
interests in the Company and to share in the profits of the Company; and

       WHEREAS, the Company adopted the First National Bancorp, Inc. Employee
Profit Sharing and Retirement Plan (the "Plan"), effective as of January 1, 1998
(the "Effective Date"); and

       WHEREAS, the Company has entered into a trust agreement, known as the
"First National Bancorp, Inc. Employee Profit Sharing and Retirement Plan Trust"
(the "Trust Agreement"), with First National Bank of Joliet, as "Trustee,"
pursuant to which all contributions made by the Company under this plan are
held, managed, and controlled by the Trustee;

       NOW, THEREFORE, the Company hereby amends and restates the Plan,
effective as of June 1, 2000.

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                                     ARTICLE I

                                    DEFINITIONS

       Whenever used herein, the following words and phrases shall have the
meanings stated below, unless a different meaning is plainly required by the
context:

       1-1.   ACCOUNTS.  The term "Accounts" means, collectively, a
Participant's Company Stock Account and Other Investments Account.

       1-2.   CODE.  The term "Code" means the Internal Revenue Code of 1986, as
amended from time to time.  Reference to a section of the Code shall include
that section and any comparable section or sections of any future legislation
that amend, supplement, or supersede such section.

       1-3.   COMMITTEE.  The term "Committee" means the committee appointed by
the Board of Directors of the Company to administer the Plan.

       1-4.   COMPANY STOCK.  The term "Company Stock" means the shares of
common stock issued by the Company, provided that such shares constitute
"employer securities" as that term is defined in Section 409(l) of the Code.

       1-5.   COMPANY STOCK ACCOUNT.  The term "Company Stock Account" means the
account established for a Participant by the Administrator pursuant to Section
6-1 and to which the Participant's share of the Company's contribution made or
invested in Company Stock shall be allocated pursuant to Sections 6-3 and 6-5.

       1-6.   COMPENSATION.  Except as otherwise provided in Section 6-6, the
term "Compensation" means a Participant's total earnings from the Company or
member of the Controlled Group paid during a Fiscal Year for services rendered
within the meanings of Section 3401(a) of the Code, including bonuses, overtime,
and commissions and any amounts deferred pursuant to Code Sections 401(k) and
125 .  However, the term "Compensation" shall not include any earnings in excess
of such amount as is determined under Section 401(a)(17) of the Code.  In any
case where a Participant commences his participation in the Plan, or resumes his
active participation in the Plan after incurring a One-Year Break-in-Service, on
any day other than the first day of a Fiscal Year, his Compensation for that
Fiscal Year shall be that portion of his compensation as determined under this
Section 1-6 paid during the period of his participation in the Plan for that
Fiscal Year.

       1-7.   CONTROLLED GROUP.  The term "Controlled Group" means: (a) the
Company and one (1) or more other corporations which are members of a
"controlled group" of corporations within the meaning of Section 414(b) of the
Code and the regulations thereunder; (b) the Company and one (1) or more
unincorporated trades or businesses that are under "common control" within the
meaning of Section 414(c) of the Code and the regulations thereunder; (c) the
Company and one (1) or more other organizations that are members of an
"affiliated service group", as determined under Section 414(m) of the Code and
the regulations

                                      2

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thereunder; and (d) the Company and such other entities as must be treated as
a "controlled group" under Section 414(o) of the Code and the regulations
thereunder.

       1-8.   EMPLOYEE.  The term "Employee" means any person employed by the
Company or a member of the Controlled Group, including any officer, who receives
regular Compensation other than retirement benefits under this Plan.

       1-9.   ERISA.  The term "ERISA" means Public Law No. 93-406, the Employee
Retirement Income Security Act of 1974, as amended from time to time.

       1-10.  FISCAL YEAR.  The term "Fiscal Year" means the year that begins on
January 1 and that ends on December 31.

       1-11.  LIMITATION YEAR.  The term "Limitation Year" means the period of
twelve (12) consecutive months to be used in determining whether the Plan is in
compliance with the provisions of Section 415 of the Code and of the regulations
thereunder.  The Company shall take all actions necessary to ensure that the
Limitation Year is the same twelve (12)-month period as the Fiscal Year.

       1-12.  OTHER INVESTMENTS ACCOUNT.  The term "Other Investments Account"
means the account established for a Participant by the Administrator pursuant to
Section 6-1 and to which the Participant's share of the Company's contributions
made in cash or property other than Company Stock shall be allocated pursuant to
Sections 6-4 and 6-5.

       1-13.  PARTICIPANT.  The term "Participant" means an Employee who becomes
a participant in the Plan under the provisions of Section 3-1.

       1-14.  RELATED PLAN.  The term "Related Plan" means any other defined
contribution plan (as defined in Section 415 of the Code) maintained by the
Company or by any other employer that is:  (a) a member of a "controlled group"
of corporations (as defined in Section 414(b) of the Code, as modified by
Section 415(h) thereof) that includes the Company; (b) under "common control"
(as defined in Section 414(c) of the Code, as modified by Section 415(h)
thereof) with the Company; (c) part of an "affiliated service group" (as defined
in Section 414(m) of the Code) that includes the Company; or (d) required to be
treated as a member of a "controlled group" under Section 414(o) of the Code and
the regulations thereunder that includes the Company.

       1-15.  TRUST FUND.  The term "Trust Fund" means all property held by the
Trustee under the Trust Agreement.

       1-16.  VALUATION DATE.  The term "Valuation Date" means the date of
termination or partial termination of the Plan, the last day of each Fiscal
Year, and such other dates as may be determined by the Company.

                                      3

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                                     ARTICLE II

                                SERVICE COMPUTATIONS

       2-1.   SERVICE.  The term "Service" means the period of employment of an
Employee or Participant for which he receives credit pursuant to the provisions
of this Article II.

       2-2.   HOUR OF SERVICE.  The term "Hour of Service" means, with respect
to any Employee or Participant:

              (a)    Each hour for which he is directly or indirectly paid, or
                     entitled to payment, by the Company for the performance of
                     duties during the applicable computation period;

              (b)    Each hour for which he has been awarded back pay or for
                     which the Company has agreed to award him back pay,
                     irrespective of mitigation of damages; and

              (c)    Each hour for which he is directly or indirectly paid, or
                     entitled to payment, by the Company for reasons other than
                     the performance of duties during the applicable computation
                     period (such as for vacation, sickness, injury, or
                     disability).

Hours of Service shall not be credited under more than one (1) of the preceding
subsections.  Hours described in clause (a) above shall be credited to the
Employee or Participant for the computation periods in which the duties were
performed.  Employees for whom the Company does not maintain records of their
hours worked shall be credited with Hours of Service on the basis of a forty
(40)-hour workweek or, in the case of a partial workweek, on the basis of an
eight (8)-hour workday.  Hours described in clause (b) above shall be credited
to the Employee or Participant for the computation periods to which the award or
agreement pertains, rather than for the computation periods in which either
payment is actually made or amounts payable to the Employee or Participant
become due.  Hours described in clause (c) above shall be credited to the
Employee or Participant for the computation periods during which the events
giving rise to the payments occurred.  Hours of service shall be computed in
accordance with paragraphs (b) and (c) of Section 2530.200b-2 of the Department
of Labor Regulations under ERISA and any successor regulations.  The provisions
of this Section 2-2 shall be construed so as to resolve any ambiguities in favor
of crediting an Employee or Participant with Hours of Service.

       2-3.   ONE-YEAR BREAK-IN-SERVICE.

              (a)    GENERAL.  The term "One-Year Break-in-Service" means any
                     Fiscal Year during which a Participant completes five
                     hundred (500) or fewer Hours of Service with the Company.

                                      4

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              (b)    PREGNANCY OR BIRTH OR ADOPTION OF A CHILD.  For purposes of
                     determining whether a One-Year Break-in-Service has
                     occurred, an Employee or Participant shall be given credit
                     for the Hours of Service which normally would have been
                     credited to such Employee or Participant but for an absence
                     from work for any period for any of the following reasons:
                     (i) by reason of the pregnancy of such Employee or
                     Participant; (ii) by reason of the birth of a child of such
                     Employee or Participant; (iii) by reason of the placement
                     of a child with such Employee or Participant in connection
                     with the adoption of such child by such Employee or
                     Participant; or (iv) for purposes of caring for such child
                     for a period beginning immediately following such birth or
                     placement.  If the Administrator is unable to determine the
                     hours which normally would have been credited to an
                     Employee or Participant but for an absence of the kind
                     described above, there shall be credited to such Employee
                     or Participant eight (8) Hours of Service per day of such
                     absence; provided, however, that the total number of hours
                     treated as Hours of Service by reason of an absence of the
                     kind described above shall not exceed five hundred and one
                     (501) hours.  The hours described in the preceding sentence
                     shall be treated as Hours of Service either:  (i) only in
                     the year in which the absence from work begins, if a
                     Participant would be prevented from incurring a One-Year
                     Break-in-Service in such year solely because the period of
                     absence is treated as Hours of Service; or (ii) in any
                     other case, in the immediately following year.

       2-4.   YEAR OF SERVICE.  The term "Year of Service" means any Fiscal Year
during which an Employee or Participant has completed at least one thousand
(1,000) Hours of Service with the Company; provided, however, that for purposes
of eligibility to participate in the Plan as provided in Article III, the term
"Year of Service" shall mean the twelve (12)-consecutive month period beginning
on the date on which the Employee first completes an Hour of Service and each
anniversary thereof, in which the Employee has completed at least one thousand
(1,000) Hours of Service with the Company.  Each Employee and each Participant
shall receive credit for each Year of Service for all purposes of the Plan,
including Years of Service with the Company prior to the Effective Date, except
that Years of Service completed by an Employee or Participant prior to the
attainment of age eighteen (18) shall be disregarded.

       2-5.   SERVICE WITH AFFILIATED COMPANIES.  For purposes of determining
Hours of Service and Years of Service under this Article II and the vested
portion of a Participant's Accounts under Article VIII, credit shall be granted
for service with another entity which, together with the Company, is a member of
a Controlled Group.

                                      5

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                                    ARTICLE III

                                 PLAN PARTICIPATION

       3-1.   ELIGIBILITY FOR PARTICIPATION.  Each Employee shall become a
Participant in this Plan on the January 1st  or July 1st after which he first
meets the following requirements:

              (a)    He has completed one (1) Year of Service;

              (b)    He has attained age twenty one (21); and

       (c)    He is not included in a unit of Employees covered by a collective
              bargaining agreement between Employee representatives and the
              Company, if retirement benefits were the subject of good faith
              bargaining between such Employee representatives and the Company
              and if, as a result of such negotiations, either he is covered by
              another retirement plan to which the Company makes contributions
              or there has been no agreement between such parties for his
              coverage under this Plan.

Each Participant who incurs a One-Year Break-in-Service and who returns to
the employ of the Company shall again become a Participant immediately upon
his reemployment by the Company if he was at least twenty percent (20%)
vested in his Company Stock and Other Investment Accounts pursuant to Section
8-3.  If an employee or a Participant is not at least twenty percent (20%)
vested in his Company Stock and Other Investment Accounts and incurs five (5)
consecutive One-Year Breaks-in-Service, then for purposes of this Section
3-1, his Years of Service prior to such One-Year Breaks-in-Service shall be
disregarded.

                                       6
<PAGE>

                                     ARTICLE IV

                            ANNUAL COMPANY CONTRIBUTIONS

       4-1.   ANNUAL COMPANY CONTRIBUTION.  Subject to the following provisions
of this Article IV, for any Fiscal Year the Company may pay over to the Trustee,
as an annual contribution to the Plan for that year, such sum, if any, as is
determined by resolution of the Board of Directors of the Company.  Payment of
such contributions shall be conditioned on qualification of the Plan under
Section 401(a) of the Code and on deductibility of the contributions under
Section 404 of the Code.

       4-2.   LIMITATION ON AMOUNT OF ANNUAL COMPANY CONTRIBUTION.  In no event
shall the amount of the Company's contribution under the Plan for any Fiscal
Year exceed the maximum amount allowable as a deduction in computing its taxable
income for that year for federal income tax purposes.

       4-3.   WHEN CONTRIBUTIONS MADE.  The Company's contribution under the
Plan for any Fiscal Year shall be due on the last day of that Fiscal Year and
shall be paid over to the Trustee not later than the time prescribed by law for
filing the Company's federal income tax return for that Fiscal Year (including
any extensions thereof).

       4-4.   MANNER OF PAYMENT.  The Company's contributions shall be made in
cash or shares of Company Stock.  Any shares of Company Stock contributed to the
Plan shall be valued at their fair market value as of the date of the
contribution, as determined by the Trustee based upon a valuation by an
independent appraiser.

                                       7

<PAGE>

                                     ARTICLE V

                             INVESTMENT OF TRUST ASSETS

       5-1.   INVESTMENT POLICY.  Assets held in the Trust Fund may be invested
by the Trustee primarily in Company Stock.  Contributions made by the Company to
the Plan and other assets of the Trust Fund may be used to acquire shares of
Company Stock from any shareholder of the Company or from the Company.  The
Trustee also may invest assets of the Trust Fund in such other properties as the
Trustee deems appropriate for the Trust Fund, as provided in Section III of the
Trust Agreement.  All purchases of Company Stock by the Trustee shall be made
only at prices which do not exceed the fair market value of the shares
purchased, as determined by the Trustee based upon a valuation by an independent
appraiser.

       5-2.   SALES OF COMPANY STOCK.  The Trustee may sell shares of Company
Stock to any person, including the Company.  Any such sale must be made at a
price not less than the fair market value of the shares, as determined by the
Trustee. If such sale is between the Trustee and a "disqualified person," as
defined in Section 4975(e)(2) of the Code, the fair market value of the shares
shall be determined as of the date of the sale.  If such sale is between the
Trustee and a person who is not a "disqualified person," the fair market value
of the shares shall be determined as of the most recent Valuation Date.  The
Trustee may not sell shares of Company Stock in a sale that would be a
"prohibited transaction" within the meaning of the Code and ERISA.

                                       8

<PAGE>

                                     ARTICLE VI

                   PARTICIPANTS' ACCOUNTS AND ANNUAL ADJUSTMENTS

       6-1.   ACCOUNTS FOR PARTICIPANTS.  The Administrator shall establish and
maintain a Company Stock Account and an Other Investments Account for each
Participant.

       6-2.   CHARGES TO ACCOUNTS.  When a Valuation Date occurs, any
distributions made to or on behalf of any Participant or beneficiary since the
last preceding Valuation Date shall be charged to the proper Accounts maintained
for such Participant or beneficiary.

       6-3.   COMPANY STOCK ACCOUNT.  Subject to the provisions of Section 6-6,
as of the last day of each Fiscal Year, the Trustee shall credit to each
Participant's Company Stock Account:  (a) the Participant's allocable share of
Company Stock purchased by the Trustee or contributed by the Company to the
Trust Fund for that year; (b) the Participant's allocable share of any
forfeitures of Company Stock arising under the Plan during that year; and (c)
any stock dividends declared and paid during that year on Company Stock
allocated to the Participant's Company Stock Account.

       6-4.   OTHER INVESTMENTS ACCOUNT.  As of the last day of each Fiscal
Year, the Trustee shall credit to each Participant's Other Investments Account:
(a) the Participant's allocable share of any contribution for that year made by
the Company in cash or in property other than Company Stock; and (b) the
Participant's allocable share of any forfeitures from the Other Investments
Accounts of other Participants.  As of the last day of each Fiscal Year and as
more frequently as the Plan Administrator determines, the Trustee shall credit
to each Participant's Other Investments Account:  (y) any cash dividends paid
during that year on Company Stock allocated to the Participant's Company Stock
Account; and (z) the share of the net income or loss of the Trust Fund properly
allocable to that Participant's Other Investments Account, as provided in
Section 6-7.

       6-5.   ALLOCATIONS.  Subject to the provisions of this Section 6-5 and
Section 6-6, the Company's contribution for any Fiscal Year and the forfeitures
arising under the Plan during that year shall be allocated among Participants
who are credited with a Year of Service for such Fiscal Year; and who are
employed by the Company on the last day of such Fiscal Year or who died or
retired on a Retirement Date (as defined in Section 7-4) during such Fiscal
Year, in the proportion that each Participant's Compensation for the year bears
to all Participants' Compensation for that year.

       6-6.   LIMITATION ON ALLOCATIONS TO PARTICIPANTS.

              (a)    GENERAL.  Notwithstanding any other provisions of the Plan
                     to the contrary, the amounts credited to a Participant's
                     Accounts in accordance with this Article VI for any
                     Limitation Year, other than allocations of earnings and
                     losses of the Trust Fund and amounts excepted by Section
                     415 of the Code and the Treasury Regulations thereunder,
                     shall not exceed an amount equal to the lesser of:

                                       9

<PAGE>

                     (i)    thirty thousand dollars ($30,000), adjusted each
                            Limitation Year to take into account any
                            cost-of-living increase adjustment provided for that
                            year under Section 415(d) of the Code; or

                     (ii)   twenty-five percent (25%) of the Compensation paid
                            to the Participant by the Company in that Limitation
                            Year.

                     If the limitations of this Section 6-6 shall apply to the
                     Accounts of any Participant for any Limitation Year, the
                     amount credited to his accounts under this Plan shall be
                     reduced to the extent required under this Section 6-6
                     before any reduction is made in the amount credited to his
                     Accounts under any Related Plan.  For purposes of this
                     Section 6-6 the term "Compensation" shall include only
                     those items specified in Section 1.415-2(d)(1)(i) of the
                     Treasury Regulations and shall exclude all items listed in
                     Section 1.415-2(d)(2) thereof.

              (b)    ALLOCATIONS OF EXCESS AMOUNTS.  Subject to the limitations
                     of this Section 6-6, the portions of any Company
                     contributions and of any forfeitures which have been
                     allocated to a Participant under this Plan for a Limitation
                     Year but which cannot be credited to his Accounts because
                     of the limitations imposed by this Section 6-6 (the "excess
                     amounts"), shall be held in a suspense account.  The
                     amounts held in the suspense account with respect to a
                     Participant shall be allocated to his Accounts in the
                     following year before any Company contributions are
                     allocated to his Accounts for such following year.  If such
                     Participant is not covered by the Plan as of the last day
                     of such following Limitation Year, then such excess amounts
                     shall again be held in a suspense account and shall be
                     allocated in the following year as if they were forfeitures
                     occurring on the first day of the following year.  All
                     amounts held in a suspense account pursuant to this Section
                     6-6(b) shall not share in the increase or decrease in the
                     net worth of the Trust Fund.

       6-7.   ADJUSTING TO VALUE OF TRUST FUND.  As of each Valuation Date, the
Trustee shall determine: (i) the net worth of that portion of the Trust Fund
which consists of properties other than Company Stock (which portion of the
Trust Fund hereinafter is referred to as the "Investment Fund"); and (ii) the
increase or decrease in the net worth of the Investment Fund since the last
Valuation Date.  The net worth of the Investment Fund shall be the fair market
value of all properties held by the Trustee under the Trust Agreement other than
Company Stock, net of liabilities other than liabilities to Participants and
their beneficiaries.  The Trustee shall allocate to the Other Investments
Account of each Participant that percentage of the increase or decrease in the
net worth of the Investment Fund equal to the ratio which the balances credited
to such Participant's Other Investments Account bear to the total amount
credited to all Other Investments Account.

                                       10

<PAGE>

       6-8.   PARTICIPANT STATEMENTS.  Each Fiscal Year, the Trustee will
provide each Participant with a statement of his Account balances as of the most
recent Valuation Date.  Such statement shall show the value of the Company Stock
credited to a Participant's Company Stock Account, which value shall be
determined by the Trustee based upon a valuation by an independent appraiser.

                                       11

<PAGE>

                                    ARTICLE VII

                         RETIREMENT DATES, TERMINATION DATE

       7-1.   NORMAL RETIREMENT DATE.  The term "Normal Retirement Date" means
the date on which a Participant's employment with the Company is terminated for
any reason on or after the date on which he attains age fifty-nine and one-half
(59 1/2) and completes five (5) Years of Service.

       7-2.   DISABILITY RETIREMENT DATE.  The term "Disability Retirement Date"
means the date that the Participant's employment with the Company is terminated
because of disability.  For purposes of this Section 7-2, a Participant shall be
deemed to be disabled if, because of a physical or mental disability, is not
expected to live or the Participant is, or is expected to be, unable to perform
the duties of his customary position of employment (or is unable to engage in
any substantial gainful activity) for an indefinite period of at least twelve
(12) months.  A Participant also is disabled if he incurs the permanent loss or
loss of use of a member or function of the body, or is permanently disfigured,
and his employment with the Company is terminated because of such loss, loss of
use or disfigurement.  The Administrator may require a Participant to submit to
a physical examination in order to confirm disability.

       7-3.   EARLY RETIREMENT DATE.  The term "Early Retirement Date" means the
date on which a Participant's employment with the Company is terminated for any
reason on or after the date on which he attains age fifty-five (55) and
completes twenty-five (25) Years of Service.

       7-4.   RETIREMENT DATE.  The term "Retirement Date" means a Participant's
Normal Retirement Date, Early Retirement Date or Disability Retirement Date as
the case may be.

       7-5.   TERMINATION DATE.  The term "Termination Date" means the date on
which a Participant's employment with the Company is terminated for any reason
prior to a Retirement Date.

                                       12

<PAGE>

                                    ARTICLE VIII

                            VESTING OF ACCOUNT BALANCES

       8-1.   VESTING ON RETIREMENT.  If a Participant retires or is retired on
a Retirement Date, the balances credited to his Accounts will be fully vested
and will be distributed to the Participant or for his benefit, as provided in
Article IX.

       8-2.   VESTING ON DEATH.  If a Participant dies while in the employ of
the Company, the balances credited to his Accounts will be fully vested and will
be distributed to his beneficiary or for his beneficiary's benefit, as provided
in Article IX.

       8-3.   VESTING ON OTHER TERMINATION.  A Participant shall have a vested
and nonforfeitable right to a percentage of the balances credited to his Company
Stock and Other Investments Accounts according to the following schedule:

           YEARS OF SERVICE        VESTED PERCENTAGE

            fewer than 2                  0%
            2                             20%
            3                             40%
            4                             60%
            5                             80%
            6                             100%

If a Participant's employment with the Company is terminated on a Termination
Date and before he is completely vested, the forfeitable balances credited to
his Company Stock and Other Investments Accounts will be forfeited and will be
allocated and credited in accordance with Section 6-5.

       8-4.   DETERMINATION OF ACCOUNT BALANCES.  All determinations of the
balances credited to the Accounts of Participants required pursuant to this
Article VIII shall be made as of the Valuation Date coincident with or
immediately preceding the event giving rise to the determination.  All Other
Investments Accounts shall continue to share in the changes in the value of the
Investment Fund, pursuant to Section 6-8, until such Accounts are distributed.

                                       13

<PAGE>

                                     ARTICLE IX

                           DISTRIBUTION OF PLAN BENEFITS

       9-1.   METHOD OF DISTRIBUTION.  Subject to the provisions of this Article
IX, distribution of the balances credited to a Participant's Accounts will be
made by the Trustee by payment in a lump sum.

       9-2.   FORM OF DISTRIBUTION.  Distribution of the balance credited to a
Participant's Company Stock Account shall be made in whole shares of Company
Stock, except that the value of any fractional shares shall be paid in cash, and
the balance credited to his Other Investments Account shall be made in cash.

       9-3.   DISTRIBUTIONS AFTER DEATH.  If a Participant dies before the
entire balance credited to his Accounts has been distributed, such balance shall
be payable in full upon the death of the Participant to the Participant's
surviving spouse.  However, such balance may be paid to a beneficiary designated
by the Participant in accordance with Section 9-9 if one of the following
conditions is satisfied:  either (a) the surviving spouse of such Participant
has consented in writing to the payment of the balance credited to the
Participant's Accounts to such beneficiary and the spouse's consent acknowledges
the effect of such consent and has been witnessed by the Administrator or by a
notary public; or (b) it is established to the satisfaction of the Administrator
that such consent could not be obtained because the Participant was not married,
because the Participant's spouse cannot be located, or because of such other
circumstances as the Secretary of the Treasury may prescribe by regulation.  Any
consent by a spouse under this Section 9-3, or any establishment that the
consent of a spouse cannot be obtained, shall be effective only with respect to
that spouse.  Any consent by a spouse under this Section 9-3 must acknowledge
the beneficiary designated by the Participant, including any class of
beneficiaries or any contingent beneficiaries; and the Participant may not
subsequently change beneficiaries without the consent of his or her spouse.  Any
consent by a spouse pursuant to this Section 9-3 shall be irrevocable.  If there
is no surviving spouse upon the death of a Participant, the balance in such
Participant's Accounts shall be paid to the beneficiary designated by such
Participant in accordance with Section 9-9.

       9-4.   TIME OF DISTRIBUTION.

              (a)    GENERAL.  If a Participant dies, becomes disabled, or
                     retires, distribution of the balance credited to his
                     Accounts shall be made within one (1) year after the close
                     of the Fiscal Year in which he terminates his employment
                     with the Company.  If a Participant's service with the
                     Company is terminated for any reason other than death,
                     disability, or retirement, distribution of the balances
                     credited to his Accounts  shall be made not later than one
                     (1) year after the close of the Fiscal Year which is the
                     fifth (5th) Fiscal Year following the Fiscal Year in which
                     the Participant's employment with the Company is terminated
                     (unless the Participant is

                                       14

<PAGE>

                     reemployed by the Company before distributions are required
                     to be made or commence).

              (b)    DEFERRAL OF DISTRIBUTION.  A Participant whose Account
                     balances exceed five thousand dollars ($5,000) may elect to
                     defer distribution of his benefits hereunder until a date
                     not later than April 1st of the year immediately following
                     the year in which he attains age seventy and one-half
                     (70 1/2).  Distributions made or commenced due to the
                     Participant's attainment of age seventy and one-half
                     (70 1/2) shall be made in accordance with Section 401(a)(9)
                     of the Code and the regulations thereunder.

              (c)    SPECIAL RULES.  Notwithstanding anything to the contrary
                     set forth in paragraphs (a) or (b) of this Section 9-4,
                     unless a Participant elects a later date, distribution of
                     his benefits shall be made not later than the sixtieth
                     (60th) day after the close of the Fiscal Year in which the
                     later of the following events occurs:  (1) the attainment
                     of age sixty-five (65) or normal retirement age, if
                     earlier, by the Participant; or (2) the termination of the
                     Participant's service with the Company.  However, if the
                     Participant is a "five percent owner," as such term is
                     defined in Section 416 of the Code, in no event shall the
                     balance credited to such a Participant's Accounts begin to
                     be distributed later than April 1st of the calendar year
                     immediately following the calendar year in which he attains
                     the age seventy and one-half (70 1/2).

       9-5.   IN-SERVICE DISTRIBUTIONS.

              (a)    DIVIDENDS.  If so determined by the Board of Directors of
                     the Company, any cash dividend received by the Trustee on
                     Company Stock allocated to the Company Stock Accounts of
                     Participants may be paid currently (or within ninety (90)
                     days after the end of the Limitation Year in which the
                     dividends are paid to the Trustee) in cash by the Trustee
                     to the Participants (or to their beneficiaries), in
                     proportion to the amounts of Company Stock allocated to
                     their Company Stock Accounts as of the record date of the
                     dividend.  Alternatively, the Company may pay such
                     dividends directly to Participants or beneficiaries.  Any
                     distribution of cash dividends may be limited to dividends
                     on shares of Company Stock which are then vested or may be
                     applicable to cash dividends on all shares allocated to
                     Participants' Company Stock Accounts.

              (b)    WITHDRAWALS.  A Participant who has attained age fifty-five
                     (55) and who has completed at least ten (10) years of
                     participation in the Plan after the Effective Date shall be
                     notified of his right to withdraw a portion of the balance
                     credited to his Company Stock Account.  An election to
                     withdraw must be made on the prescribed form and be filed
                     with the

                                       15

<PAGE>

                     Administrator within the ninety (90)-day period
                     immediately following the close of any Limitation Year
                     within the "Election Period".  The "Election Period" is the
                     period of six (6) consecutive Fiscal Years beginning with
                     the Limitation Year in which the Participant first becomes
                     eligible to make a withdrawal.  For each of the first five
                     (5) Limitation Years in the Election Period, the
                     Participant may elect to withdraw an amount which does not
                     exceed twenty-five percent (25%) of the balance credited to
                     his Company Stock Account, less all amounts previously
                     withdrawn under this Section 10-5.  In the case of the last
                     Limitation Year in the Election Period, the Participant may
                     elect to withdraw an amount which does not exceed fifty
                     percent (50%) of the balance credited to his Company Stock
                     Account, less all amounts previously withdrawn.  Any amount
                     which a Participant elects to withdraw under this Section
                     9-5 shall be distributed within ninety (90) days after the
                     ninety (90)-day period in which the election may be made.
                     A withdrawal shall be treated as a distribution which is
                     subject to the provisions of this Article X.

       9-6.   DISTRIBUTIONS TO PERSONS UNDER DISABILITY.  Notwithstanding any
provisions of this Article IX to the contrary, if a Participant, surviving
spouse, or beneficiary is declared incompetent and a conservator or other person
legally charged with the care of his or her person or of his or her estate is
appointed, any benefits to which such Participant, surviving spouse, or
beneficiary is entitled shall be paid to such conservator or other person.
Except as provided above in this Section 9-6, when the Administrator, in its
sole discretion, determines that a Participant, surviving spouse, or beneficiary
is unable to manage his or her financial affairs, the Administrator may direct
the Trustee to make distributions to any person for the benefit of the
Participant, surviving spouse, or beneficiary.

       9-7.   BENEFITS MAY NOT BE ASSIGNED OR ALIENATED.  The benefits payable
to any person under this Plan may not be voluntarily or involuntarily assigned
or alienated.  However, the provisions of this Section 9-7 shall not apply to
the creation, assignment, or recognition of a right to any benefit payable with
respect to a Participant pursuant to a "qualified domestic relations order," as
that term is defined in Section 414(p) of the Code.

       9-8.   NO GUARANTEE OF BENEFITS.  The benefits provided under the Plan
for any Participant shall be paid solely from that Participant's Accounts.

       9-9.   BENEFICIARIES.  Subject to the provisions of Section 9-3, each
Participant may designate any legal or natural person to receive any benefits
payable under the Plan on account of his death.  Each designation by a
Participant shall be in writing and shall be filed with the Administrator in
such form as it may require.  Subject to the provisions of Section 9-3, a
beneficiary may change or revoke a direction as to the manner in which his
benefits are to be paid, or may make such a direction if none has been made, at
any time prior to the payment of his benefits by the Trustee.  Subject to the
provisions of Section 9-3, by a writing filed with the Administrator, a
Participant may change his beneficiary designation at any time and from time

                                       16
<PAGE>

to time without the consent of or notice to any person or persons previously
designated by him.  If no person or persons have been designated by a
Participant, or if all persons so designated predecease the Participant or die
prior to complete distribution of his benefits, then the Administrator, in its
sole discretion, shall direct the Trustee to distribute the Participant's
benefits to:

              (a)    one (1) or more of the Participant's relatives by blood,
                     adoption, or marriage, as the Trustee decides; or

              (b)    the Participant's executor or administrator.

In no event may the beneficiary of a deceased Participant designate a
beneficiary.

       9-10.  BENEFITS OF PERSONS WHO CANNOT BE LOCATED.  If the Administrator
notifies a Participant or a beneficiary designated in accordance with Sections
9-3 and 9-9 in writing at his last known address that he is entitled to benefits
under the Plan and the Participant or beneficiary fails to claim his benefits
within seven (7) calendar years after notification, his benefits will be
distributed to one (1) or more of the Participant's or beneficiary's relatives
by blood, adoption, or marriage, as the Administrator shall in its sole
discretion decide.

       9-11.  DISTRIBUTION WITHHOLDING.  Unless a Participant or beneficiary
elects under Section 401(a)(31)(A) of the Code to have his benefits paid
directly to an "eligible retirement plan," the Trustee shall withhold federal
tax in an amount equal to twenty percent (20%) of such benefits; provided
however, that the maximum amount that the Trustee may withhold shall be the
value of any non-Company Stock amounts held under the Plan.  An "eligible
retirement plan" is a plan described in Section 401(a)(31)(D) of the Code.
Within a reasonable period of time before distributing a Participant's benefits,
the Trustee shall provide the Participant or beneficiary with a written
explanation of the following matters:  (a) the provisions of this Plan under
which the Participant or beneficiary may have his benefits transferred directly
to another eligible retirement plan; (b) the Code provision which requires the
withholding of tax on the distribution if it is not directly transferred to
another eligible retirement plan; (c) the provisions of the Code under which the
distribution will not be subject to tax if transferred to an eligible retirement
plan within sixty (60) days after the date on which the recipient receives the
distribution; and (d) such other matters as to which an explanation is required
by law.

                                       17
<PAGE>

                                     ARTICLE X

                        SHAREHOLDER RIGHTS AND RESTRICTIONS

       10-1.  VOTING OF COMPANY STOCK.  If the Company has a registration-type
class of securities, then each Participant will be entitled to direct the
Trustee as to how to vote the shares of Company Stock allocated to his Company
Stock Account with respect to all matters.  If the Company does not have a
registration-type class of securities, each Participant will be entitled to
direct the Trustee as to how to vote the shares of Company Stock allocated to
his Company Stock Account with respect to any proposed merger or consolidation,
recapitalization, reclassification, liquidation, dissolution, sale of
substantially all the assets of a trade or business, or such similar
transactions as are specified in Treasury Regulations under Section 409(c)(3) of
the Code.  The Trustee shall vote all shares of Company Stock which are not
allocated to any Participant's Company Stock Account, including shares placed in
the suspense account referred to in Section 6-6(b), and the shares of allocated
Company Stock with respect to which no direction is received from the
Participants to whose Accounts the shares are allocated in the manner it deems
appropriate.

                                       18
<PAGE>

                                     ARTICLE XI

                                PLAN ADMINISTRATION

       11-1.  PLAN ADMINISTRATION.  The authority to control and manage the
operation and administration of the Plan is vested in a Committee, as described
in Article XI.  The Committee shall designate a responsible person as the
Administrator of the Plan, having the rights, duties and obligations of an
"administrator" under the provisions of ERISA.  If the Committee fails to
designate an Administrator, the Company shall be the Administrator of the Plan.
The Company shall be the "Named Fiduciary" (as described in Section 402 of
ERISA) under the Plan.

       11-2.  THE TRUST.  All contributions made under the Plan will be held,
managed, and controlled by a trustee acting under a trust which forms a part of
the Plan.  The terms of the trust are set forth in a Trust Agreement known as
the First National Bancorp, Inc. Employee Profit Sharing and Retirement Plan
Trust Agreement.  All rights which may accrue to any person under the Plan shall
be subject to all of the terms and provisions of the Trust Agreement as in
effect from time to time.

       11-3.  CLAIMS PROCEDURE.

              (a)    PROCEDURE.  Claims for benefits under the Plan shall be
                     made in writing to the Committee.  The Committee shall have
                     full discretion to render a decision with respect to any
                     claim.  If a claim for benefits is wholly or partially
                     denied by the Committee, the Committee shall notify the
                     claimant in writing of the denial of the claim within a
                     reasonable period of time, not to exceed ninety (90) days
                     after receipt of the claim.  A notice of denial shall be
                     written in a manner calculated to be understood by the
                     claimant, and it shall set forth:  (i) the specific reason
                     or reasons for denial of the claim; (ii) a specific
                     reference to the pertinent Plan provisions upon which the
                     denial is based; (iii) a description of any additional
                     material or information necessary for the claimant to
                     perfect the claim, together with an explanation of why such
                     material or information is necessary; and (iv) appropriate
                     information regarding the steps to be taken if the claimant
                     wishes to submit his claim for review.  If the Committee
                     shall fail to notify the claimant either that his claim has
                     been granted or that it has been denied within ninety (90)
                     days after the claim is received by the Committee, the
                     claim shall be deemed to have been denied.

              (b)    PROCEDURE FOR REVIEW OF A DENIED CLAIM.  Within sixty (60)
                     days of the receipt by the claimant of a written notice of
                     denial of his claim, or within sixty (60) days after the
                     claim is deemed denied as set forth in subsection (a)
                     above, if applicable, the claimant may file a written
                     request with the Committee that it conduct a full and fair
                     review of the

                                       19
<PAGE>

                     denial of his claim for benefits.  In connection with
                     the claimant's appeal of the denial of his benefits, the
                     claimant may review pertinent documents and may submit
                     issues and comments in writing.  The Committee shall
                     have full discretion to fully and fairly review the
                     claim, and the Committee shall render a decision on the
                     claim appeal promptly.  Such decision shall be rendered
                     not later than sixty (60) days after the receipt of the
                     claimant's request for review, unless special
                     circumstances (such as the need to hold a hearing)
                     require an extension of time for processing, in which
                     case the sixty (60)-day period may be extended to one
                     hundred and twenty (120) days.  The Committee shall
                     notify the claimant in writing of any such extension.
                     The decision upon review shall: (i) include specific
                     reasons for the decision; (ii) be written in a manner
                     calculated to be understood by the claimant; and (iii)
                     contain specific references to the pertinent Plan
                     provisions upon which the decision is based.

       11-4.  PROCEDURES WITH RESPECT TO DOMESTIC RELATIONS ORDERS.

              (a)    DEFINITIONS.  For purposes of this Section 11-4, the
                     following terms shall have the following meanings:  (i) the
                     term "domestic relations order" shall mean any judgment,
                     decree, or order (including approval of a property
                     settlement agreement) which relates to the provision of
                     child support, alimony payments, or marital property rights
                     to a spouse, former spouse, child, or other dependent of a
                     Participant and which is made pursuant to a state domestic
                     relations law, including a community property law; (ii) the
                     term "qualified domestic relations order" shall have the
                     meaning set forth in Section 414(p) of the Code; and (iii)
                     the term "alternate payee" shall mean any spouse, former
                     spouse, child, or other dependent of a Participant who is
                     recognized by a domestic relations order as having a right
                     to receive all or a portion of the benefits payable under
                     the Plan with respect to such Participant.

              (b)    PROCEDURES.  The Committee shall establish reasonable
                     procedures with respect to the following matters:  (i) the
                     manner for determining whether a domestic relations order
                     constitutes a qualified domestic relations order; and (ii)
                     the administration of distributions under such qualified
                     orders.

              (c)    NOTICE.  Promptly following the receipt of any domestic
                     relations order, the Committee shall notify the Participant
                     affected by such order, and any other alternate payee, of
                     the receipt of such order and of the procedures established
                     under the Plan for determining the qualified status of
                     domestic relations orders.  Within a reasonable period of
                     time after receipt of any domestic relations order, the
                     Committee shall determine whether such order is a qualified
                     domestic relations order and shall

                                       20
<PAGE>

                     notify the Participant affected by such order and each
                     alternate payee of such determination.

              (d)    SEGREGATION OF ACCOUNT.  During any period in which the
                     issue whether a domestic relations order is a qualified
                     domestic relations order is being determined by the
                     Committee, by a court of competent jurisdiction, or
                     otherwise, the Committee shall instruct the Trustee to
                     segregate in a separate account under the Trust Fund or to
                     deposit in an escrow account the amounts which would have
                     been payable to the alternate payee during such period if
                     the order had been determined to be a qualified domestic
                     relations order.  If the order or any modification thereof
                     is determined to be a qualified domestic relations order
                     within eighteen months, the Committee shall pay the
                     segregated amounts, plus any interest thereon, to the
                     persons entitled thereto.  If within eighteen (18) months
                     either it is determined that the order is not a qualified
                     domestic relations order or the issue whether such order is
                     a qualified domestic relations order is not resolved, then
                     the Committee shall pay the segregated amounts, plus any
                     interest thereon, to the persons who would have been
                     entitled to such amounts if there had been no order.  Any
                     determination that an order is a qualified domestic
                     relations order which is made after the close of the
                     eighteen (18)-month period described above shall be applied
                     prospectively only.

                                       21
<PAGE>

                                    ARTICLE XII

                                   THE COMMITTEE

       12-1.  MEMBERSHIP.  The Committee referred to in Section 11-1 shall
consist of three (3) or more members, who shall be appointed by the Board of
Directors of the Company.  In controlling and managing the operation and
administration of the Plan, the Committee shall act by the concurrence of a
majority of its members at a meeting or by writing without a meeting.  By
unanimous written consent, the Committee may authorize any one (1) of its
members to execute any document, instrument or direction on its behalf.  A
written statement by a majority of the Committee members or by an authorized
Committee member shall be conclusive in favor of any person (including the
Trustee) acting in reliance thereon.

       12-2.  RIGHTS, POWERS, AND DUTIES OF THE COMMITTEE.  The Committee shall
have such discretionary authority as may be necessary to efficiently administer
the Plan.  The rights, powers, and duties of the Committee shall include the
following:

              (a)    to interpret and construe the provisions of the Plan;

              (b)    to determine all questions relating to the eligibility,
                     benefits, and other rights of Employees, Participants, and
                     beneficiaries under the Plan;

              (c)    to adopt such rules of procedure and regulations as are
                     consistent with the provisions of the Plan and as the
                     Committee deems necessary and proper;

              (d)    to maintain and keep adequate records concerning the Plan,
                     and concerning the proceedings and acts of the Committee,
                     in such form and detail as the Committee may decide;

              (e)    to appoint investment managers to manage any assets of the
                     Trust Fund, and to authorize such managers to acquire and
                     dispose of assets of the Trust Fund;

              (f)    to employ one or more persons to render advice with respect
                     to any responsibility which the Committee has under the
                     Plan;

              (g)    to delegate such authority and duties, including the
                     authority to execute any documents, as the Committee may
                     deem appropriate to the Trustee or to other agents,
                     provided that the Committee shall exercise reasonable care
                     in the selection of any agents; and

              (h)    to act as the agent for the service of legal process.

                                       22
<PAGE>

       12-3.  APPLICATION OF RULES.  In operating and administering the Plan,
the Committee shall apply all rules of procedure and regulations adopted by it
in a uniform and non-discriminatory manner.

       12-4.  REMUNERATION AND EXPENSES.  No remuneration shall be paid to any
Committee member as such.  However, the reasonable expenses of a Committee
member incurred in the performance of a Committee function shall be reimbursed
by the Company.

       12-5.  EXERCISE OF COMMITTEE'S DUTIES.  Notwithstanding any other
provisions of the Plan, the Committee shall discharge its duties hereunder
solely in the interests of the Plan Participants and their beneficiaries, and:

              (a)    for the exclusive purpose of providing benefits to Plan
                     Participants and their beneficiaries; and

              (b)    with the care, skill, prudence, and diligence under the
                     circumstances then prevailing that a prudent person acting
                     in a like capacity and familiar with such matters would use
                     in the conduct of an enterprise of a like character and
                     with like aims.

       12-6.  RESIGNATION OR REMOVAL OF COMMITTEE MEMBERS.  A Committee member
may resign at any time by giving ten (10) days' advance written notice to the
Company, the Trustee and the other members of the Committee.  The Company may
remove a Committee member by giving advance written notice to him, the Trustee
and the other members of the Committee.  A Committee member who is a Participant
shall be automatically removed on his Retirement or Termination Date.

       12-7.  APPOINTMENT OF SUCCESSOR COMMITTEE MEMBERS.  The Board of
Directors of the Company may fill any vacancy in the membership of the Committee
and shall give prompt written notice thereof to the other Committee members and
to the Trustee.  While there is a vacancy in the membership of the Committee,
the remaining Committee members shall have the same powers as the full Committee
until the vacancy is filled.

                                       23
<PAGE>

                                    ARTICLE XIII

                             AMENDMENT AND TERMINATION

       13-1   AMENDMENT.  Subject to the provisions of Section 15-1, the Company
reserves the right to amend the Plan at any time by action of its Board of
Directors or of a person designated by resolution of its Board of Directors.
However, no amendment shall divest a Participant of any amount that he would
have received had he resigned from the Company's employ immediately prior to the
effective date of the amendment.

       13-2.  TERMINATION.  The Company reserves the right to terminate the Plan
at any time by action of its Board of Directors.  The Plan will terminate on the
earliest of the following dates:

              (a)    the date the Company is judicially declared bankrupt or
                     insolvent;

              (b)    the date the Company completely discontinues its
                     contributions under the Plan; or

              (c)    the date the Company is dissolved, merged, consolidated, or
                     reorganized, or sells all or substantially all of its
                     assets, except that, subject to the provisions of Section
                     13-3, provision may be made by the successor or purchaser
                     for continuing the Plan (and in that event, the successor
                     or purchaser shall be substituted for the Company under the
                     Plan).

       13-3.  MERGER OR CONSOLIDATION OF PLAN, TRANSFER OF PLAN ASSETS.  In the
case of any merger or consolidation with, or transfer of assets and liabilities
to, any other pension or profit sharing plan, provision shall be made so that
each Participant in the Plan on the date of the merger, consolidation, or
transfer would receive a benefit immediately after the merger, consolidation, or
transfer if the Plan then terminated which is equal to or greater than the
benefit he would have been entitled to receive immediately prior to the merger,
consolidation, or transfer if the Plan had terminated then.

       13-4.  VESTING AND DISTRIBUTION ON TERMINATION AND PARTIAL TERMINATION.
Notwithstanding any other provision of the Plan to the contrary, on termination
of the Plan in accordance with Section 13-2 or on partial termination of the
Plan by operation of law, the date of termination or partial termination will be
a Valuation Date and, after all adjustments required on a Valuation Date have
been made, each affected Participant's benefits will be nonforfeitable.  On
termination of the Plan the Company may instruct the Trustee to (a) liquidate
the Trust Fund and distribute all benefits as soon as administratively possible;
or (b) retain the Trust Fund and distribute all benefits in accordance with the
provisions of Article VI.  The provisions of Article VI will continue to apply
until the benefits of all affected Participants have been distributed to them.

                                       24
<PAGE>

                                    ARTICLE XIV

                                TOP-HEAVY PROVISIONS

       14-1.  TOP-HEAVY DETERMINATION.  The Plan will be top-heavy if, as of the
first day of the first Fiscal Year or, as of the day next preceding the first
day of any later Fiscal Year (the "Determination Date"), the aggregate present
value of the Account balances of all "Key Employees," as defined in Section
416(i) of the Code, and their beneficiaries exceeds sixty percent (60%) of the
aggregate present value of the Account balances of all Participants and
beneficiaries.  The aggregate present value of the Account balances of a
Participant who has not performed any services for the Company or a member of
the Controlled Group during the five (5)-year period ending on the Determination
Date shall not be taken into account.

       14-2.  MINIMUM CONTRIBUTION.  For each Fiscal Year that the Plan is
top-heavy, the aggregate amount of Company contributions allocated to the
accounts of each Participant who is not a Key Employee and who is employed by
the Company or a member of the Controlled Group as of the last day of the
Fiscal Year shall not be less than the lesser of:

              (a)    three percent (3%) of his Compensation for the Fiscal Year;
                     or

              (b)    that percent of his Compensation equal to the percentage of
                     Company contributions allocated to the Accounts of the Key
                     Employee with the highest allocation percentage.

       14-3.  AGGREGATION OF PLANS.  As required by Section 416(g)(2) of the
Code, other plans maintained by the Company or a member of the Controlled Group
shall be aggregated with this Plan for purposes of determining whether the Plan
is top-heavy.

                                       25
<PAGE>

                                     ARTICLE XV

                                   MISCELLANEOUS

       15-1.  NO REVERSION TO COMPANY.  No part of the corpus or income of the
Trust Fund shall revert to the Company or be used for or diverted to purposes
other than for the exclusive benefit of Participants and their beneficiaries,
except as specifically provided in Article V of the Trust Agreement.

       15-2.  NOTICES.  Any notice required to be filed with any person under
the Plan will be properly filed if delivered or mailed to such person, in care
of the Company, at 78 North Chicago Street, Joliet, Illinois 60432, or at such
other address as the Company may designate from time to time.

       15-3.  INDEPENDENT APPRAISER.  If the Company Stock is not readily
tradable on an established securities market, then all determinations of fair
market value required under the Plan shall be based upon a valuation by an
independent appraiser.

       15-4.  INDEMNIFICATION.  The Company shall indemnify the Trustee, the
Administrator, and any other person acting as a fiduciary with respect to the
Plan for, and hold them harmless against, any and all liabilities, losses,
costs, or expenses of any kind or nature which may be imposed on, incurred by,
or asserted against them at any time by reason of their service under this Plan
(including legal fees and expenses), to the extent such liability, loss, cost,
or expense is not insured against or exceeds any insurance recovery.  However,
no person shall be entitled to indemnity under this Section if he acted
dishonestly or in willful or grossly negligent violation of the law or
regulation under which such liability, loss, cost, or expense arises.

       15-5.  SUBSIDIARY AND AFFILIATED COMPANIES.  With the approval of the
Board of Directors of the Company, any subsidiary or affiliate of the Company
may become a party to this Plan, and become entitled to all of the benefits and
subjected to all of the obligations hereof, by executing an acceptance of this
Plan in such form as the Company and the Trustee shall approve.  Upon acceptance
of this Plan by any subsidiary or affiliate, employees of such subsidiary or
affiliate may become Participants upon meeting the eligibility requirements
herein provided; and when so qualified such employees shall be subject to the
same obligations and entitled to the same rights and benefits as if they were
employees of the Company.  The contributions to be made in respect of employees
of any subsidiary or affiliate of the Company which becomes a party to this Plan
shall be made by the subsidiary or affiliate and not by the Company.  The
subsidiary or affiliate shall have no right to defer payment of its contribution
or to terminate the Plan in respect of itself or its participating employees
without the written consent of the Board of Directors of the Company.

       15-6.  PARTICIPATION NOT GUARANTEE OF EMPLOYMENT.  Participation in the
Plan does not constitute a guarantee or contract of employment with the Company.

                                       26
<PAGE>

       15-7.  GENDER AND NUMBER.  In this Plan, where the context admits, words
in the masculine gender include the feminine and neuter genders, words in the
singular include the plural, and the plural includes the singular.

       15-8.  GOVERNING LAWS.  The Plan shall be construed and administered
according to the laws of the State of Illinois, to the extent that such laws are
not preempted by the laws of the United States of America.

       15-9.  TEXT TO CONTROL.  The Article and Section headings and numbers in
this Plan are included solely for convenience of reference, and if there be any
conflict between such headings and numbers and the text of this Plan, the text
shall control.

       The foregoing is a true and correct copy of the First National Bancorp,
Inc. Employee Profit Sharing and Retirement Plan.

       Dated at Joliet, Illinois, this ___ day of June, 2000.

                                                 FIRST NATIONAL BANCORP, INC.

                                                 By:
                                                        ------------------------
                                                        Its President

                                       27<PAGE>

                                                                     EXHIBIT 4.1

                           ULTIMATE ELECTRONICS, INC.
                           2000 EQUITY INCENTIVE PLAN

                                    SECTION 1
                                  INTRODUCTION

         1.1 ESTABLISHMENT. Ultimate Electronics, Inc., a Delaware
corporation (together with its subsidiaries, the "Company"), hereby
establishes the 2000 Equity Incentive Plan (the "Plan") for certain key
employees, non-employee directors and consultants of the Company.

         1.2 PURPOSES. The purposes of the Plan are to provide Participants
with added incentives to continue in the long-term service of the Company and
to create in such persons a more direct interest in the future success of the
operations of the Company by relating incentive compensation to increases in
stockholder value. The Plan is also designed to attract key employees and to
retain and motivate key employees by providing an opportunity for investment
in the Company.

                                    SECTION 2
                                   DEFINITIONS

         2.1 DEFINITIONS. The following terms shall have the meanings set
forth below:

                  (a) "AWARD" means a grant made under this Plan in the form of
         Stock, Options, Restricted Stock, Performance Units or Performance
         Shares.

                  (b) "BOARD" means the board of directors of the Company.

                  (c) "EFFECTIVE DATE" means the date of the adoption of the
         Plan by the Board.

                  (d) "ELIGIBLE EMPLOYEES" means key employees (including,
         without limitation, officers and directors who are also employees) of
         the Company whose judgment, initiative and efforts is, or will be,
         important to the successful conduct of the Company's business.

                  (e) "FAIR MARKET VALUE" shall be determined in good faith by
         the Plan Administrator after such consultation with outside legal,
         accounting and other experts as the Plan Administrator may deem
         advisable.

                  (f) "INSIDER" means any person who is a beneficial owner,
         directly or indirectly, of more than 10% of any equity securities of
         the Company registered pursuant to Section 12 of the Securities
         Exchange Act of 1934, as amended (the

<PAGE>

         "1934 Act").

                  (g) "INCENTIVE STOCK OPTION" means any Option designated as
         such and granted in accordance with the requirements of Section 422 of
         the Internal Revenue Code of 1986, as amended (the "Code").

                  (h) "NON-EMPLOYEE DIRECTOR" means, at any time, any member of
         the Board who is not also an employee of the Company.

                  (i) "NON-INSIDER" means any person who is not an Insider.

                  (j) "NON-STATUTORY OPTION" means any Option other than an
         Incentive Stock Option.

                  (k) "OPTION" means a right to purchase Stock at a stated price
         for a specified period of time.

                  (l) "OPTION PRICE" means the price at which Shares subject to
         an Option may be purchased, determined in accordance with Section
         7.3(b) of this Plan.

                  (m) "PARTICIPANT" means an Eligible Employee, Non-employee
         Director or consultant to the Company designated by the Plan
         Administrator from time to time during the term of the Plan to receive
         one or more Awards under the Plan.

                  (n) "PERFORMANCE CYCLE" means the period of time as specified
         by the Plan Administrator over which Performance Units are to be
         earned.

                  (o) "PERFORMANCE SHARES" means an Award made pursuant to
         Section 9 which entitles a Participant to receive Shares based on the
         achievement of performance targets during a Performance Cycle.

                  (p) "PERFORMANCE UNITS" means an Award made pursuant to
         Section 9 which entitles a Participant to receive cash, Shares or a
         combination thereof based on the achievement of performance targets
         during a Performance Cycle.

                  (q) "PLAN ADMINISTRATOR" shall mean the particular entity,
         whether the Plan Committee or Board, that is authorized to administer
         Incentive Stock Options or Non-Statutory Options to the extent such
         entity is carrying out its administrative functions under those
         programs with respect to the persons under its jurisdiction.

                  (r) "PLAN COMMITTEE" means a committee consisting of at least
         two Non-employee Directors who are authorized by the Board hereunder to
         take actions in the administration of the Plan. No Member of the Plan
         Committee may be a person who (i) is a current employee of the Company,
         (ii) is a former employee who receives compensation for prior services
         (other than benefits under a tax-qualified retirement plan) during the
         current Plan Year, (iii) is a former officer of the Company, or (iv)
         receives remuneration, directly or indirectly, in exchange for any
         goods or

<PAGE>

         services, from the Company in any capacity other than director. The
         Plan Committee shall be so constituted at all times as to permit the
         Plan to comply with Rule 16b-3 or any successor rule promulgated under
         the 1934 Act and Treasury Regulation Section 1.162-27(e)(3). Members of
         the Plan Committee shall: (i) be appointed from time to time by the
         Board and (ii) serve at the pleasure of the Board and may resign at any
         time upon written notice to the Board.

                  (s) "PLAN YEAR" means each 12-month period beginning February
         1 and ending the following January 31, except that for the first year
         of the Plan it shall begin on the Effective Date and extend to January
         31 of the following year.

                  (t) "PREDECESSOR PLAN" shall mean the Company's Employee Stock
         Purchase Plan as in effect prior to the adoption of the Plan.

                  (u) "RESTRICTED STOCK" means Stock granted under Section 8
         that is subject to restrictions imposed pursuant to said Section.

                  (v) "SHARE" means a share of Stock.

                  (w) "STOCK" means the common stock, $.01 par value, of the
         Company.

         2.2 GENDER AND NUMBER. Except when otherwise indicated by the
context, the masculine gender shall also include the feminine gender, and the
definition of any term herein in the singular shall also include the plural.

                                    SECTION 3
                               PLAN ADMINISTRATION

         3.1 GENERAL. The Plan shall be administered by the Board, which may
from time to time delegate all or part of its authority under this Plan to a
Plan Committee. If authorized by duly passed resolutions of the Board, the
Plan Committee shall have sole and exclusive authority to administer the
Incentive Stock Option grants and Non-Statutory Option grants with respect to
Insiders. The Plan Committee may also, at the Board's discretion, administer
Incentive Stock Options and Non-Statutory Stock Options to Non-Insiders.

         3.2 PLAN ADMINISTRATOR'S AUTHORITY. References in this Plan to the
Plan Administrator refer to the Board or, to the extent the Board delegates
its administrative authority to the Plan Committee, to the Plan Committee. In
accordance with the provisions of the Plan, the Plan Administrator shall, in
its sole discretion, select Participants to whom Awards will be granted, the
form of each Award, the amount of each Award and any other terms and
conditions of each Award as the Plan Administrator may deem necessary or
desirable and consistent with the terms of the Plan. The Plan Administrator
shall determine the form or forms of the agreements which shall evidence the
particular provisions, terms, conditions, rights and duties of the Company
and the Participants with respect to Awards granted pursuant to the Plan,
which provisions need not be identical except as may be provided herein. The
Plan Administrator may from time to time adopt such rules and regulations for
carrying out the

<PAGE>

purposes of the Plan as it may deem proper and in the best interests of the
Company. The Plan Administrator may correct any defect, supply any omission
or reconcile any inconsistency in the Plan or in any agreement entered into
hereunder in the manner and to the extent it shall deem proper and in the
best interest of the Company. No member of the Plan Administrator shall be
liable for any action or determination made in good faith, and all members of
the Plan Administrator shall, in addition to their rights as directors, be
fully indemnified by the Company with respect to any such action,
determination or interpretation. The determination, interpretations and other
actions of the Plan Administrator pursuant to the provisions of the Plan
shall be binding and conclusive for all purposes and on all persons.

                                    SECTION 4
                           SHARES SUBJECT TO THE PLAN

         4.1 NUMBER OF SHARES. 300,000 Shares are authorized for issuance
under the Plan in accordance with the provisions of the Plan and subject to
such restrictions or other provisions as the Plan Administrator may from time
to time deem necessary. The number of Shares authorized for issuance under
the Plan shall automatically increase on the first trading day of each fiscal
year during the term of the Plan, beginning with the fiscal year 2002, by
100,000 Shares. The aggregate number of shares that may be issued under the
Plan shall not exceed 1,200,000. The Shares may be divided among the various
Plan components as the Plan Administrator shall determine.

         4.2 UNUSED AND FORFEITED STOCK. Any Shares that are subject to an
Award under this Plan that are not used because the terms and conditions of
the Award are not met, including any Shares that are subject to an Option
that expires or is terminated for any reason, any Shares which are used for
full or partial payment of the purchase price of Shares with respect to which
an Option is exercised and any Shares retained by the Company pursuant to
Section 16 of this Plan, shall automatically become available for use under
the Plan. Notwithstanding the foregoing, with respect to any Shares withheld
by the Company in satisfaction of withholding taxes incurred upon the
exercise of Incentive Stock Options or as part of the purchase price of the
Shares underlying such Incentive Stock Options, the number of Shares
available for issuance under this Plan shall be reduced by the number of
Shares so withheld.

         4.3 ADJUSTMENTS FOR STOCK SPLIT, STOCK DIVIDEND, ETC. If the Company
shall at any time increase or decrease the number of its outstanding Shares
or change in any way the rights and privileges of such Shares by means of the
payment of a stock dividend or any other distribution upon such Shares
payable in Shares, or through a stock split, subdivision, consolidation,
combination, reclassification or recapitalization involving the Shares, then
in relation to the Shares that are affected by one or more of the above
events, the numbers, rights and privileges of the following shall be
increased, decreased or changed in like manner as if they had been issued and
outstanding, fully paid and nonassessable at the time of such occurrence: (i)
the Shares as to which Awards may be granted under the Plan and (ii) the
Shares then included in each outstanding Option or Performance Unit granted
hereunder.

         4.4 DIVIDEND PAYABLE IN STOCK OF ANOTHER CORPORATION, ETC. If the
Company shall at any time pay or make any dividend or other distribution upon
the Shares payable in

<PAGE>

securities of another corporation or other property (except money or Shares),
a proportionate part of such securities or other property shall be set aside
and delivered to any Participant then holding an Award for the particular
type of Shares for which the dividend or other distribution was made, upon
exercise thereof in the case of Options, and the vesting thereof in the case
of other Awards. Prior to the time that any such securities or other property
are delivered to a Participant in accordance with the foregoing, the Company
shall be the owner of such securities or other property and shall have the
right to vote the securities, receive any dividends payable on such
securities, and in all other respects shall be treated as the owner. If
securities or other property which have been set aside by the Company in
accordance with this Section 4.4 are not delivered to a Participant because
an Award is not exercised or otherwise vested, then such securities or other
property shall remain the property of the Company and shall be dealt with by
the Company as it shall determine in its sole discretion.

         4.5 OTHER CHANGES IN SHARES. In the event there shall be any change,
other than as specified in Sections 4.3 and 4.4, in the number or kind of
outstanding Shares of any stock or other securities into which the Shares
shall be changed or for which it shall have been exchanged, and if the Plan
Administrator shall in its discretion determine that such change equitably
requires an adjustment in the number or kind of Shares subject to outstanding
Awards or which have been reserved for issuance pursuant to the Plan but are
not then subject to an Award, then such adjustments shall be made by the Plan
Administrator and shall be effective for all purposes of the Plan and on each
outstanding Award that involves the particular type of stock for which a
change was effected.

         4.6 RIGHTS TO SUBSCRIBE. If the Company shall at any time grant to
the holders of its Shares rights to subscribe pro rata for additional Shares
thereof or for any other securities of the Company or of any other
corporation, there shall be reserved with respect to the Shares then subject
to an Award held by any Participant of the particular class of Shares
involved, the Shares or other securities which the Participant would have
been entitled to subscribe for if immediately prior to such grant the
Participant had exercised his entire Option, or otherwise vested in his
entire Award. If, upon exercise of any such Option or the vesting of any
other Award, the Participant subscribes for the additional Shares or other
securities, the Participant shall pay to the Company the price that is
payable by the Participant for such Shares or other securities.

         4.7 GENERAL ADJUSTMENT RULES. If any adjustment or substitution
provided for in this Section 4 shall result in the creation of a fractional
Share under any Award, the Company shall, in lieu of selling or otherwise
issuing such fractional Share, pay to the Participant a cash sum in an amount
equal to the product of such fraction multiplied by the Fair Market Value of
a Share on the date the fractional Share would otherwise have been issued. In
the case of any such substitution or adjustment affecting an Option, the
total Option Price for the Shares then subject to an Option shall remain
unchanged but the Option Price per Share under each such Option shall be
equitably adjusted by the Plan Administrator to reflect the greater or lesser
number of Shares or other securities into which the Shares subject to the
Option may have been changed.

         4.8 DETERMINATION BY THE PLAN ADMINISTRATOR. Adjustments under this
Section 4 shall be made by the Plan Administrator, whose determinations with
regard thereto shall be final

<PAGE>

and binding upon all parties thereto.

         4.9 INDIVIDUAL LIMITATIONS ON AWARDS. The fair market value of
Performance Units (other than Performance Shares) that may be granted
pursuant to this 2000 Plan to any employee in any Plan Year shall not exceed
$100,000, Subject to Section 4.3, no more than 100,000 Shares may be issued
to any employee in any Plan Year as Performance Shares, and no Options may be
issued pursuant to this Plan in any Plan Year to any employee for the
purchase of more than 100,000 Shares.

         4.10 TREATMENT OF PREDECESSOR PLAN. This 2000 Plan shall serve as
the successor to the Predecessor Plan, and no further Awards shall be made
under the Predecessor Plan after the Effective Date. Each outstanding Award
under Predecessor Plan shall continue to be governed solely by the terms of
the documents evidencing such Award, and no provision of the 2000 Plan shall
affect or otherwise modify the rights or obligations of the holder of such
Award.

                                    SECTION 5
                                  PARTICIPATION

         Participants in the Plan shall be Non-employee Directors and those
Eligible Employees or consultants who, in the judgment of the Plan
Administrator, are performing, or during the term of their incentive
arrangement will perform, important services in the management, operation and
development of the Company, and significantly contribute, or are expected to
significantly contribute, to the achievement of long-term corporate economic
objectives. Participants may be granted from time to time one or more Awards;
provided, however, that the grant of each such Award shall be separately
approved by the Plan Administrator, and receipt of one such Award shall not
result in automatic receipt of any other Award. Written notice shall be given
to such person, specifying the terms, conditions, rights and duties related
to each Award.

                                    SECTION 6
                          REORGANIZATION OR LIQUIDATION

         In the event that the Company is merged or consolidated with another
corporation (other than a merger or consolidation in which the Company is the
continuing corporation and which does not result in any reclassification or
change of outstanding Shares), or if all or substantially all of the assets
or more than 50% of the outstanding voting stock of the Company is acquired
by any other corporation, business entity or person (other than a sale or
conveyance in which the Company continues as a holding company of an entity
or entities that conduct the business or businesses formerly conducted by the
Company), or in the case of a reorganization (other than a reorganization
under the United States Bankruptcy Code) or liquidation of the Company, and
if the provisions of Section 10 do not apply, the Plan Administrator, or the
board of directors of any corporation assuming the obligations of the
Company, shall have the power and discretion to prescribe the terms and
conditions for the exercise of, or modification of, any outstanding Awards
granted hereunder. By way of illustration, and not by way of limitation, the
Plan Administrator or the board of directors of the corporation assuming the
obligations of the Company may provide for the complete or

<PAGE>

partial acceleration of the dates of exercise of the Options, or may provide
that such Options will be exchanged or converted into options to acquire
securities of the surviving or acquiring corporation, or may provide for a
payment or distribution in respect of outstanding Options (or the portion
thereof that is currently exercisable) in cancellation thereof. The Plan
Administrator or the board of directors of the corporation assuming the
obligations of the Company may remove restrictions on Restricted Stock and
may modify the performance requirements for any other Awards. The Plan
Administrator may provide that Options or other Awards granted hereunder must
be exercised in connection with the closing of such transaction, and that if
not so exercised such Awards will expire. Any such determinations by the Plan
Administrator or the board of directors of the corporation assuming the
obligations of the Company may be made generally with respect to all
Participants, or may be made on a case-by-case basis with respect to
particular Participants. The provisions of this Section 6 shall not apply to
any transaction undertaken for the purpose of reincorporating the Company
under the laws of another jurisdiction if such transaction does not
materially affect the beneficial ownership of the Company's capital stock.

                                    SECTION 7
                                  STOCK OPTIONS

         7.1 AUTOMATIC GRANT OF OPTIONS. Each Non-employee Director shall be
automatically granted Non-Statutory Options to purchase 4,000 Shares (subject
to adjustment pursuant to Section 7.3(j) hereof) effective as of February 1
of each year, which Options will become exercisable one year from the date of
grant.

         7.2 DISCRETIONARY GRANT OF OPTIONS. The Plan Committee may make
discretionary grants of Options to Non-employee Directors, Eligible Employees
and consultants. The Plan Administrator in its sole discretion shall
designate whether an Option is to be considered an Incentive Stock Option or
a Non-Statutory Option. Notwithstanding any other provision of the Plan,
Non-employee Directors and consultants may only be awarded Non-Statutory
Options, provided, however, that the Board must approve such Award and the
interested Non-employee Director must abstain from voting on the Award.
Eligible Employees may be awarded Non-Statutory Options, Incentive Stock
Options, or both. The Plan Administrator may grant both an Incentive Stock
Option and a Non-Statutory Option to the same employee at the same time
(which Options may or may not be evidenced in the same agreement) or at
different times. Incentive Stock Options and Non-Statutory Options, whether
granted at the same or different times, shall be deemed to have been awarded
in separate grants, shall be clearly identified, and in no event shall the
exercise of one Option affect the right to exercise any other Option or
affect the number of Shares for which any other Option may be exercised.

         7.3 AN OPTION AGREEMENT IS REQUIRED FOR EACH AWARD. Each Option
granted under the Plan shall be evidenced by a written stock option agreement
which shall be entered into and signed by a representative of the Company and
the Participant to whom the Option is granted (the "Option Holder"), and
which agreement shall contain the following terms and conditions, as well as
such other terms and conditions not inconsistent therewith, as the Plan
Administrator may consider appropriate in each case.

                  (a) NUMBER OF SHARES. Each stock option agreement shall state
         that it

<PAGE>

         covers a specified number of Shares, as determined by the Plan
         Administrator. Notwithstanding any other provision of the Plan, the
         aggregate Fair Market Value of the Shares relating to Incentive Stock
         Options exercisable for the first time in any one calendar year by any
         individual, under the Plan or otherwise, shall not exceed $100,000. For
         this purpose, the Fair Market Value of the Shares shall be determined
         as of the time an Option is granted.

                  (b) PRICE. The price at which each Share covered by an Option
         may be purchased shall be determined in each case by the Plan
         Administrator and set forth in the stock option agreement. In no event
         shall the Option Price for each Share covered by an Option grant to an
         Eligible Employee be granted at any price less than the Fair Market
         Value of the Stock on the date the Option is granted. In addition, the
         Option Price for each Share covered by an Incentive Stock Option
         awarded to an Eligible Employee who then owns stock representing more
         than 10% of the total combined voting power of all classes of stock of
         the Company or any parent or subsidiary corporation of the Company must
         be at least 110% of the Fair Market Value of the Stock subject to the
         Incentive Stock Option on the date the Option is granted. The Option
         Price for each Share covered by a Non-Statutory Option awarded to a
         Non-employee Director, or a consultant may be granted at a price less
         than the Fair Market Value of the Stock on the date of the grant.

                  (c) DURATION OF OPTIONS. Each stock option agreement shall
         state the period of time, determined by the Plan Administrator, within
         which the Option may be exercised by the Option Holder (the "Option
         Period").

                           (i) The Option Period for Incentive Stock Options and
                  Non-Statutory Stock Options, must expire not more than ten
                  years from the date the Option is granted.

                           (ii) The Option Period of an Incentive Stock Option
                  granted to an Eligible Employee who then owns stock
                  representing more than 10% of the total combined voting power
                  of all classes of stock of the Company or any parent or
                  subsidiary corporation of the Company must expire not more
                  than five years from the date such an Option is granted.

                  (d) VESTING OPTIONS. Each stock option agreement shall also
         state the periods of time, if any, as determined by the Plan
         Administrator, when incremental portions of each Option shall vest.

                  (e) TERMINATION OF EMPLOYMENT, DEATH, DISABILITY, ETC. Except
         as otherwise determined by the Plan Administrator, each stock option
         agreement shall provide as follows with respect to the exercise of the
         Option upon termination of the employment or the death of the Option
         Holder:

                           (i)      TERMINATION OF DIRECTORSHIP OF NON-EMPLOYEE
                                    DIRECTORS.

                                    (A) If a Non-employee Director's term as a
                           director of the

<PAGE>

                           Company shall terminate for any reason other than
                           death or disability, any Option held by the Option
                           Holder, to the extent exercisable under the
                           applicable stock option agreement shall remain
                           exercisable after termination of his director
                           status for a period of three months, but in no event
                           beyond the Option Period.

                                    (B) If a Non-employee Director's term as a
                           director of the Company terminates because the
                           Participant dies while, or within three months after,
                           serving as a director, or is disabled within the
                           meaning of Section 22(e)(3) of the Code, any Options
                           then held by the Participant, to the extent then
                           exercisable under the applicable stock option
                           agreement(s), shall remain exercisable after the
                           termination of his directorship for a period of
                           twelve months, but in no event beyond the Option
                           Period. If the Options are not exercised during the
                           applicable period, they shall be deemed to have been
                           forfeited and of no further force or effect.

                           (ii)     TERMINATION OF EMPLOYMENT.

                                    (A) If the employment of the Option Holder
                           is terminated within the Option Period for cause, as
                           determined by the Company, the Option shall
                           thereafter be void for all purposes. As used in this
                           subsection 7.2(e)(ii), "cause" shall mean a gross
                           violation, as determined by the Board, of the
                           Company's established policies and procedures. The
                           effect of this subsection 7.2(e)(ii) shall be limited
                           to determining the consequences of a termination, and
                           nothing in this subsection 7.2(e)(ii) shall restrict
                           or otherwise interfere with the Company's discretion
                           with respect to the termination of any employee.

                                    (B) If the Option Holder terminates his
                           employment with the Company in a manner determined by
                           the Board, in its sole discretion, to constitute
                           retirement (which determination shall be communicated
                           to the Option Holder within 10 days of such
                           termination), the Option may be exercised by the
                           Option Holder, or in the case of death, by the
                           persons specified in subsection 7.2(e)(ii)(C), within
                           three months following his or her retirement if the
                           Option is an Incentive Stock Option or within twelve
                           months following his or her retirement if the Option
                           is a Non-Statutory Stock Option (provided in each
                           case that such exercise must occur within the Option
                           Period), but not thereafter. In any such case, the
                           Option may be exercised only as to the Shares as to
                           which the Option had become exercisable on or before
                           the date of the Option Holder's termination of
                           employment.

                                    (C) If the Option Holder dies, or if the
                           Option Holder becomes disabled (within the meaning of
                           Section 22(e)(3) of the Code, during the Option
                           Period while still employed, the Option may,

<PAGE>

                           in the case of death, be exercised by those entitled
                           to do so under the Option Holder's will or by the
                           laws of descent and distribution within twelve months
                           following the Option Holder's death, but not
                           thereafter (provided that such exercise must occur
                           within the Option Period). In the case of disability,
                           the Option may be exercised within twelve months
                           following the Option Holder's disability, but not
                           thereafter (provided that such exercise must occur
                           within the Option Period). In any such case, the
                           Option may be exercised only as to the number of
                           Shares exercisable on or before the date of the
                           Option Holder's death or disability (provided that
                           such exercise must occur within the Option Period).

                                    (D) If the employment of the Option Holder
                           by the Company is terminated within the Option Period
                           for any reason other than cause, retirement as
                           provided in subsection 7.2(e)(ii)(B) above,
                           disability or the Option Holder's death, the Option
                           may be exercised by the Option Holder within three
                           months following the date of such termination
                           (provided that such exercise must occur within the
                           Option Period), but not thereafter. In any such case,
                           the Option may be exercised only as to the number of
                           Shares exercisable on or before the date of
                           termination of employment.

                  (f) TRANSFERABILITY. Each stock option agreement shall provide
         that during the lifetime of the Option Holder, Incentive Stock Options
         shall be exercisable only by the Option Holder and Non-Statutory
         Options shall not be assignable or transferable except in the limited
         circumstances as set forth in Section 12 of this Plan.

                  (g)      EXERCISE, PAYMENTS, ETC.

                           (i) Each stock option agreement shall provide that
                  the method for exercising the Option granted therein shall be
                  by delivery to the Secretary of the Company (the "Secretary")
                  of written notice specifying the number of Shares with respect
                  to which such Option is exercised and payment of the Option
                  Price. Such notice shall be in a form satisfactory to the Plan
                  Administrator and shall specify the particular Option (or
                  portion thereof) that is being exercised and the number of
                  Shares with respect to which the Option is being exercised.
                  The exercise of the Option shall be deemed effective upon
                  receipt of such notice by the Secretary and payment to the
                  Company of the appropriate Option Price. The purchase of
                  Shares shall take place at the principal offices of the
                  Company upon delivery of such notice, at which time the Option
                  Price shall be paid in full by any of the methods or any
                  combination of the methods set forth in (ii) below. A properly
                  executed certificate or certificates representing the Shares
                  shall be issued by the Company and delivered to the Option
                  Holder as soon as practicable after payment of the Option
                  Price.

                           (ii) The Option Price shall be paid by any of the
                  following methods

<PAGE>
                  or any combination of the following methods:

                                    (A) in cash;

                                    (B) by cashier's check payable to the
                           order of the Company;

                                    (C) by delivery to the Company of
                           certificates representing the number of Shares then
                           owned by the Option Holder, the Fair Market Value of
                           which equals the Option Price for the Shares to be
                           purchased pursuant to the Option, properly endorsed
                           for transfer to the Company; provided however, that
                           Shares used for this purpose must have been held by
                           the Option Holder for such minimum period of time as
                           may be established from time to time by the Plan
                           Administrator. For purposes of this Plan, the Fair
                           Market Value of any Shares delivered in payment of
                           the Option Price upon exercise of the Option shall be
                           the Fair Market Value as of the exercise date and the
                           exercise date shall be the day the delivery of the
                           certificates for the Shares used as payment of the
                           Option Price; or

                                    (D) by delivery to the Company of a properly
                           executed notice of exercise together with irrevocable
                           instructions to a broker to deliver to the Company
                           promptly the amount of the proceeds of the sale of
                           all or a portion of the Shares or of a loan from the
                           broker to the Option Holder necessary to pay the
                           Option Price.

<PAGE>

                           (iii) In the discretion of the Plan Administrator,
                  the Company may provide a loan or guaranty a third-party loan
                  obtained by a Participant to pay part or all of the Option
                  Price of the Shares provided that such loan or the Company's
                  guaranty is properly secured by the Shares.

                  (h)      WITHHOLDING.

                           (i) NON-STATUTORY OPTIONS. Each stock option
                  agreement covering Non-Statutory Options shall provide that,
                  upon exercise of the Option, the Option Holder shall make
                  appropriate arrangements with the Company to provide for the
                  amount of additional withholding required by applicable
                  federal and state income tax laws, including payment of such
                  taxes through delivery of Shares or by withholding Shares to
                  be issued upon the exercise of the Option, as provided in
                  Section 16.

                           (ii) INCENTIVE STOCK OPTIONS. In the event that a
                  Participant makes a disposition (as defined in Section 424(c)
                  of the Code) of any Stock acquired pursuant to the exercise of
                  an Incentive Stock Option prior to the expiration of two years
                  from the date on which the Incentive Stock Option was granted
                  or prior to the expiration of one year from the date on which
                  the Option was exercised, the Participant shall send written
                  notice to the Secretary at the Company's principal office in
                  Denver, Colorado of the date of such disposition, and any
                  other information relating to such disposition as the Company
                  may reasonably request. The Participant shall, in the event of
                  such a disposition, make appropriate arrangements with the
                  Company to provide for the amount of additional withholding,
                  if any, required by applicable federal and state income tax
                  laws.

                  (i) DATE OF GRANT. An Option shall be considered as having
         been granted on the date specified in the grant resolution of the Plan
         Administrator.

                  (j) ADJUSTMENT OF OPTIONS. Subject to the limitations
         contained in Section 15, the Plan Administrator may make any adjustment
         in the Option Price, the number of Shares subject to, or the terms of,
         an outstanding Option and a subsequent granting of an Option by
         amendment or by substitution of an outstanding Option. Such amendment,
         substitution or re-grant may result in terms and conditions (including
         Option Price, number of Shares covered, vesting schedule or exercise
         period) that differ from the terms and conditions of the original
         Option. The Plan Administrator may not, however, adversely affect the
         rights of any Participant to previously granted Options without the
         consent of such Participant.

         7.4 NO RIGHTS AS A STOCKHOLDER. No Option Holder shall have any
rights as a stockholder with respect to any Shares covered by an Option until
the Option Holder becomes the holder of record of such Shares, and no
adjustments shall be made for dividends or other distributions or other
rights as to which there is a record date preceding the date such Option
Holder becomes the holder of record of such Shares, except as provided in
herein.

<PAGE>

                                   SECTION 8
                            RESTRICTED STOCK AWARDS

         8.1 AWARDS GRANTED BY THE PLAN ADMINISTRATOR. Coincident with or
following designation for participation in the Plan, a Participant may be
granted one or more Awards of Restricted Stock consisting of Shares. The
number of Shares granted as an Award of Restricted Stock shall be determined
by the Plan Administrator.

         8.2 RESTRICTIONS. A Participant's right to retain an Award of
Restricted Stock granted to him under Section 8.1 shall be subject to such
restrictions, including but not limited to his continuous employment by the
Company for a certain period specified by the Plan Administrator, or the
attainment of specified performance goals and objectives, as may be
established by the Plan Administrator with respect to such Award. The Plan
Administrator may in its sole discretion require different periods of
employment or different performance goals and objectives with respect to
different Participants, to different Awards of Restricted Stock or to
separate, designated portions of the Shares constituting an Award of
Restricted Stock.

         8.3 PRIVILEGES OF A STOCKHOLDER, TRANSFERABILITY. A Participant
shall have all voting, dividend, liquidation and other rights with respect to
Stock in accordance with the terms of the Award of Restricted Stock upon his
becoming the holder of record of such Restricted Stock; provided, however,
that the Participant's right to sell, encumber or otherwise transfer such
Restricted Stock shall be subject to the limitations of Section 12 hereof.

         8.4 ENFORCEMENT OF RESTRICTIONS. The Plan Administrator may in its
sole discretion require one or more of the following methods of enforcing the
restrictions referred to in Section 8.2 and 8.3:

                  (a) Placing a legend on the stock certificates referring
         to the restrictions;

                  (b) Requiring the Participant to keep the stock certificates,
         duly endorsed, in the custody of the Company while the restrictions
         remain in effect; or

                  (c) Requiring that the stock certificates, duly endorsed, be
         held in the custody of a third party while the restrictions remain in
         effect.

         8.5 TERMINATION OF EMPLOYMENT, DEATH, DISABILITY, ETC. In the event
of the death or disability (within the meaning of Section 22(e)(3) of the
Code) of a Participant, or the retirement of a Participant as provided in
Section 7.3(e)(ii), all employment period and other restrictions applicable
to Awards of Restricted Stock then held by him shall lapse, and such awards
shall become fully nonforfeitable. Subject to Sections 6 and 10, in the event
of a Participant's termination of employment for any other reason, any Award
of Restricted Stock as to which the employment period or other restrictions
have not been satisfied shall be forfeited.

<PAGE>

                                    SECTION 9
                                PERFORMANCE UNITS

         9.1 PERFORMANCE RELATED AWARDS. Coincident with or following
designation for participation in the Plan, a Participant may be granted
Performance Units.

         9.2 AMOUNT OF AWARD. The Plan Administrator shall establish a
maximum amount of a Participant's Award, which amount shall be denominated in
Shares or in dollars.

         9.3 COMMUNICATION OF AWARD. Written notice of the maximum amount of
a Participant's Award and the Performance Cycle determined by the Plan
Administrator shall be given to a Participant as soon as practicable after
grant of the Award by the Plan Administrator.

         9.4 AMOUNT OF AWARD PAYABLE. The Plan Committee shall establish
maximum and minimum performance targets to be achieved during the applicable
Performance Cycle. Performance targets established by the Plan Committee
shall relate to corporate, group, unit or individual performance and may be
established in terms of earnings, growth in earnings, ratios of earnings to
equity or assets. The Plan Committee shall establish the method for computing
the amount of an Award payable to a Participant upon satisfaction of each of
the performance targets, and shall designate the Participants who are
eligible for such Awards, within 90 days after the commencement of the
Performance Cycle to which the Awards relate or, if earlier, before 25
percent of such Performance Cycle has elapsed. Multiple performance targets
may be used and the components of multiple performance targets may be given
the same or different weight in determining the amount of an Award earned,
and may relate to absolute performance or relative performance measured
against other groups, units, individuals or entities. Each performance
target, and the methods for computing the amount of an Award to which an
employee shall be entitled as a result of the achievement of one or more
performance targets, shall be stated in terms of an objective formula or
standard. Achievement of the maximum performance target shall entitle the
Participant to payment (subject to Section 9.5) at the full or maximum amount
specified with respect to the Award; provided, however, that notwithstanding
any other provisions of this Plan, in the case of an Award of Performance
Units, the Plan Administrator in its discretion may establish an upper limit
on the amount payable (whether in cash or Shares) as a result of the
achievement of the maximum performance target. The Plan Committee may also
establish that a portion of a full or maximum amount of a Participant's Award
will be paid (subject to Section 9.5) for performance which exceeds the
minimum performance target but falls below the maximum performance target
applicable to such Award.

         9.5 ADJUSTMENTS. At any time prior to payment of an Award of
Performance Units, the Plan Committee may adjust previously established
performance targets or other terms and conditions to reflect events such as
changes in laws, regulations, or accounting practice, or mergers,
acquisitions or divestitures, or such other events as the Plan Administrator
deems appropriate, in its sole discretion, provided that the Plan Committee
may not, at any time after 90 days have elapsed from the commencement of the
Performance Cycle to which the Award relates, or, if earlier, after 25
percent of the Performance Cycle to which the Award relates has elapsed,
increase the amount of any Award payable that would otherwise be due upon
attainment of one or more performance targets.

<PAGE>

         9.6 PAYMENTS OF AWARDS. Following the conclusion of each Performance
Cycle, the Plan Committee shall determine the extent to which performance
targets have been attained, and the satisfaction of any other terms and
conditions with respect to an Award relating to such Performance Cycle. The
Plan Administrator shall certify what, if any, payment is due with respect to
an Award and whether such payment shall be made in cash, Shares or some
combination. Payment shall be made in a lump sum or installments, as
determined by the Plan Committee, commencing as promptly as practicable
following the end of the applicable Performance Cycle, subject to such terms
and conditions and in such form as may be prescribed by the Plan Committee.

         9.7 TERMINATION OF EMPLOYMENT. If a Participant ceases to be a
employee before the end of a Performance Cycle by reason of his death,
permanent disability or retirement as provided in Section 7.3(e)(ii), the
Performance Cycle for such Participant for the purpose of determining the
amount of the Award payable shall end at the end of the calendar quarter
immediately preceding the date on which such Participant ceased to be an
employee. The amount of an Award payable to a Participant to whom the
preceding sentence is applicable shall be paid at the end of the Performance
Cycle and shall be that fraction of the Award computed pursuant to the
preceding sentence, the numerator of which is the number of calendar quarters
during the Performance Cycle during all of which said Participant was an
employee and the denominator of which is the number of full calendar quarters
in the Performance Cycle. Upon any other termination of employment of a
Participant during a Performance Cycle, participation in the Plan shall cease
and all outstanding Awards of Performance Units to such Participant shall be
canceled.

                                   SECTION 10
                                CHANGE IN CONTROL

         10.1 OPTIONS, RESTRICTED STOCK. In the event of a change in control
of the Company as defined in Section 10.3, the Board may, in its sole
discretion, without obtaining stockholder approval, to the extent permitted
in Section 15, take any or all of the following actions: (a) accelerate the
exercise dates of any outstanding Options or make all such Options fully
vested and exercisable; (b) grant a cash bonus award to any Option Holder in
an amount necessary to pay the Option Price of all or any portion of the
Options then held by such Option Holder; (c) pay cash to any or all Option
Holders in exchange for the cancellation of their outstanding Options in an
amount equal to the difference between the Option Price of such Options and
the greater of the price offered by a third party for the Common Stock or the
Fair Market Value of the Shares on the date of the cancellation of the
Options; (d) make any other adjustments or amendments to the outstanding
Options; and (e) eliminate all restrictions with respect to Restricted Stock
and deliver Shares free of restrictive legends to any Participant.

         10.2 PERFORMANCE UNITS. Under the circumstances described in Section
10.1, the Board may, in its sole discretion, and without obtaining
stockholder approval, to the extent permitted in Section 15, provide for
payment of outstanding Performance Units at the maximum award level or any
percentage thereof.

<PAGE>

         10.3 DEFINITION. For purposes of the Plan, a "change in control"
shall be deemed to have occurred if (a) any "person" or "group" (within the
meaning of Sections 13(d) and 14(d)(2) of the 1934 Act), other than William
J. Pearse, a trustee or other fiduciary holding securities under an employee
benefit plan of the Company, is or becomes the "beneficial owner" (as defined
in Rule 13d-3 under the 1934 Act), directly or indirectly, of more than 33
1/3% of the then outstanding voting stock of the Company; or (b) at any time
during any period of three consecutive years (not including any period prior
to the Effective Date), individuals who at the beginning of such period
constitute the Board (and any new director whose election by the Board or
whose nomination for election by the Company's stockholders was approved by a
vote of at least two-thirds of the directors then still in office who either
were directors at the beginning of such period or whose election or
nomination for election was previously so approved) cease for any reason to
constitute a majority thereof; or (c) the stockholders of the Company approve
a merger or consolidation of the Company with any other corporation, other
than a merger or consolidation which 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) at least 80% of the combined voting power of the
voting securities of the Company or such surviving entity outstanding
immediately after such merger or consolidation, or the stockholders approve a
plan of complete liquidation of the Company or an agreement for the sale or
disposition by the Company of all or substantially all of the Company's
assets.

                                   SECTION 11
                   RIGHTS OF EMPLOYEES AND OTHER PARTICIPANTS

         Nothing contained in the Plan or in any Award granted under the Plan
shall confer upon any Participant any right with respect to the continuation
of his or her employment by the Company, or interfere in any way with the
right of the Company, subject to the terms of any separate employment
agreement to the contrary, at any time to terminate such employment or to
increase or decrease the compensation of the Participant from the rate in
existence at the time of the grant of an Award. Whether an authorized leave
of absence or absence due to military or government service shall constitute
a termination of employment shall be determined by the Plan Administrator at
the relevant time.

                                   SECTION 12
                                 TRANSFERABILITY

         During the lifetime of the Option Holder, Incentive Stock Options
shall be exercisable only by the Option Holder and shall not be assignable or
transferable; provided, however, that in the event of the Option Holder's
death, any Option may be exercised by the personal representative of the
Option Holder's estate, or by the person(s) to whom the option is transferred
pursuant to the Option Holder's will or in accordance with the laws of
descent and distribution. Upon the prior written consent of the Board and
subject to any conditions associated with such consent, a Non-Statutory
Option may be assigned in whole or in part during the Option Holder's
lifetime to one or more members of the Option Holder's immediate family or to
a trust established exclusively for one or more such family members. In
addition, the Board, in its sole discretion, may allow a Non-Statutory Option
to be assigned in other circumstances deemed appropriate. The terms
applicable to the assigned portion shall be the

<PAGE>

same as those in effect for the Option immediately prior to such assignment
and shall be set forth in such documents issued to the assignee as the Board
may deem appropriate.

                                   SECTION 13
                              GENERAL RESTRICTIONS

         13.1 INVESTMENT REPRESENTATIONS. The Company may require any person
to whom an Option or other Award is granted, as a condition of exercising
such Option or receiving Shares under the Award, to give written assurances
in substance and form satisfactory to the Company and its counsel to the
effect that such person is acquiring the Shares subject to the Option or the
Award for his own account for investment and not with any present intention
of selling or otherwise distributing the same and to such other effects as
the Company deems necessary or appropriate in order to comply with federal
and applicable state securities laws. Legends evidencing such restrictions
may be placed on the certificates evidencing the Shares.

         13.2 COMPLIANCE WITH SECURITIES LAWS. Each Award shall be subject to
the requirement that, if at any time counsel to the Company shall determine
that the listing, registration or qualification of the Shares subject to such
Award upon any securities exchange or under any state or federal law, or the
consent or approval of any governmental or regulatory body, is necessary as a
condition of, or in connection with, the issuance or purchase of Shares
thereunder, such Award may not be accepted or exercised in whole or in part
unless such listing, registration, qualification, consent or approval shall
have been effected or obtained on conditions acceptable to the Plan
Administrator. Nothing herein shall be deemed to require the Company to apply
for or to obtain such listing, registration or qualification.

         13.3 STOCK RESTRICTION AGREEMENT. The Plan Administrator may provide
that Shares issuable upon the exercise of an Option shall, under certain
conditions, be subject to restrictions whereby the Company has a right of
first refusal with respect to such Shares or a right or obligation to
repurchase all or a portion of such Shares, which restrictions may survive a
Participant's term of employment with the Company. The acceleration of time
or times at which an Option becomes exercisable may be conditioned upon the
Participant's agreement to such restrictions.

                                   SECTION 14
                             OTHER EMPLOYEE BENEFITS

         The amount of any compensation deemed to be received by a
Participant as a result of the exercise of an Option or the grant or vesting
of any other Award shall not constitute "earnings" with respect to which any
other employee benefits of such employee are determined, including without
limitation benefits under any pension, profit sharing, stock purchase, life
insurance or salary continuation plan.

<PAGE>

                                   SECTION 15
            PLAN AMENDMENT, MODIFICATION AND TERMINATION BY THE BOARD

         15.1 BOARD'S EXCLUSIVE AUTHORITY TO TERMINATE, AMEND OR MODIFY PLAN.
The Board shall have complete and exclusive authority to terminate and from
time-to-time amend or modify the Plan in any and all respects unless and only
to the extent that stockholder approval of such amendments or modifications
is required under applicable law or, if the Company, on the advice of its
counsel, determines that stockholder approval is otherwise necessary or
desirable. No amendment, modification or termination of the Plan shall in any
manner adversely affect any Awards theretofore granted under the Plan,
without the consent of the Participant holding such Awards.

         15.2 OPTIONS IN EXCESS OF THE NUMBER OF AVAILABLE SHARES. Options in
excess of the number of Shares then available for issuance may be granted
under this Plan, provided, however, that any excess Shares actually issued
under this Plan shall be held in escrow until the action that is necessary to
approve a sufficient increase in the number of Shares available for issuance
under the Plan is taken. If such further action is not obtained within 12
months after the date the first such excess grants are made, then: (i) any
unexercised Options granted on the basis of such excess Shares shall
terminate and cease to be outstanding and (ii) the Company shall promptly
refund to the Option Holders the Option Price paid for any excess Options
that were exercised or issued under the Plan and held in escrow, together
with interest on the Option Price that was held in escrow, and any such
Options and Shares shall thereupon be automatically canceled and cease to be
outstanding.

                                   SECTION 16
                                   WITHHOLDING

         16.1 WITHHOLDING REQUIREMENT. The Company's obligations to deliver
Shares upon the exercise of an Option, or upon the vesting of any other
Award, shall be subject to the Participant's satisfaction of all applicable
federal, state and local income and other tax withholding requirements.

         16.2 WITHHOLDING WITH STOCK. The Board may, in its discretion,
provide any or all holders of Non-Statutory Options with the right to use
Shares in satisfaction of all or part of the taxes incurred by such holders
in connection with the exercise of such Options. Such right may be provided
to any such holder in either or both of the following formats:

                  (a) The election to have the Company withhold, from the Shares
         otherwise issuable upon the exercise of such Non-Statutory Option, a
         portion of those Shares with an aggregate Fair Market Value less than
         or equal to the amount of taxes due as designated by such holder; or

                  (b) The election to deliver to the Company, at the time the
         Non-Statutory Option is exercised, one or more Shares previously
         acquired by such holder with an aggregate Fair Market Value less than
         or equal to the amount of taxes due as designated by such holder.

<PAGE>

                                   SECTION 17
                             BROKERAGE ARRANGEMENTS

         The Plan Administrator may, in its discretion, enter into
arrangements with one or more banks, brokers or other financial institutions
to facilitate the disposition of Shares acquired upon exercise of Options,
including, without limitation, arrangements for the simultaneous exercise of
Options and sale of the Shares acquired upon such exercise.

                                   SECTION 18
                           NONEXCLUSIVITY OF THE PLAN

         Neither the adoption of the Plan by the Board nor the submission of
the Plan to stockholders of the Company for approval shall be construed as
creating any limitations on the power or authority of the Board to adopt such
other or additional incentive or other compensation arrangements of whatever
nature as the Board may deem necessary or desirable or preclude or limit the
continuation of any other plan, practice or arrangement for the payment of
compensation or fringe benefits to employees generally, or to any class or
group of employees, which the Company or any affiliated Corporation now has
lawfully put into effect, including, without limitation, any retirement,
pension, savings and stock purchase plan, insurance, death and disability
benefits and executive short-term incentive plans.

                                   SECTION 19
                               REQUIREMENTS OF LAW

         19.1 REQUIREMENTS OF LAW. The issuance of Shares and the payment of
cash pursuant to the Plan shall be subject to all applicable laws, rules and
regulations.

         19.2 FEDERAL SECURITIES LAW REQUIREMENTS. If a Participant is an
officer or director of the Company within the meaning of Section 16 of the
1934 Act, Awards granted hereunder shall be subject to all conditions
required under Rule 16b-3 of the 1934 Act, or any successor rule promulgated
under the 1934 Act, to qualify the Award for any exception from the
provisions of Section 16(b) of the 1934 Act available under that Rule. Such
conditions are hereby incorporated herein by reference and shall be set forth
in the agreement with the Participant which describes the Award.

         19.3 CONFLICTS. If the terms of a particular stock option agreement
that evidences an Award conflict with the terms of the Plan, the terms of the
Plan will control and such Participant will be subject to the terms and
conditions of the Plan.

         19.4 GOVERNING LAW. The Plan and all agreements hereunder shall be
construed in accordance with and governed by the laws of the State of
Delaware.

                                   SECTION 20
                              DURATION OF THE PLAN

         The Plan shall be effective on the Effective Date, provided that any
Options or Shares that may be granted or issued under the Plan prior to
shareholder approval will be granted or issued subject to the approval of the
Company's shareholders. The Plan shall terminate at such time as may be
determined by the Board, and no Award shall be granted after such
termination. If not sooner terminated under the preceding sentence, the Plan
shall fully cease and expire at midnight of the day which is ten years from
the Effective Date. Awards outstanding at the time of the Plan termination
may continue to be exercised or earned in accordance with their terms.

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