Document:

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                                                                    EXHIBIT 4(d)

                                  FORM OF NOTE

                             [FORM OF FACE OF NOTE]

THIS NOTE IS A "GLOBAL SECURITY" WITHIN THE MEANING OF THE INDENTURE DATED AS OF
____________ BETWEEN SEARS ROEBUCK ACCEPTANCE CORP. AND ________________________
(THE "INDENTURE"), AND IS REGISTERED IN THE NAME OF CEDE & CO. AS THE NOMINEE
FOR THE DEPOSITORY TRUST COMPANY ("DTC"). UNLESS AND UNTIL IT IS EXCHANGED FOR
SECURITIES THAT ARE NOT GLOBAL SECURITIES, THIS NOTE MAY BE TRANSFERRED, IN
WHOLE BUT NOT IN PART, ONLY TO ANOTHER NOMINEE OF DTC OR TO A SUCCESSOR
DEPOSITORY OR TO A NOMINEE OF SUCH SUCCESSOR DEPOSITORY. UNLESS THIS NOTE IS
PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF DTC TO THE ISSUER OR ITS AGENT FOR
REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY NOTE ISSUED IS REGISTERED
IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO., OR TO SUCH OTHER
ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER,
PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS
WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST
HEREIN.

Number  _____                                                       $___________

                                                            CUSIP NO.___________

                         SEARS ROEBUCK ACCEPTANCE CORP.
                          [__%] Note due ______________

Original Issue Date:  ___________
Interest Payment Dates: ___________
Maturity Date: _______________
Interest Rate: ________ per annum

Sears Roebuck Acceptance Corp., a corporation organized and existing under the
laws of the State of Delaware (the "Company"), for value received, hereby
promises to pay to CEDE & CO., or registered assigns, the principal sum of
_______________ (the "Principal Amount") upon presentation and surrender of this
Note on the Maturity Date shown above at the office or agency of the Company in
the Borough of Manhattan of The City of New York or, at the option of the Holder
hereof, any office or agency maintained by the Company in the city in which the
principal executive office of the Company is located or the city in which the
principal corporate trust office of the Trustee is located [or the City of
Luxembourg] (collectively, the "Payment Locations"), in such coin or currency of
the [United States of America] as at the time of payment is legal tender for
public and private debts, and to pay interest thereon at the Interest Rate shown
above. The Company will pay interest [semi-annually] [quarterly] [in arrears] on
the Interest Payment Dates shown above, commencing with ____________, until
payment of the Principal Amount of (plus the premium, if any, on) this Note has
been made or duly provided for. Interest on this Note will accrue from the most
recent

<PAGE>

date to which interest has been paid, or if no interest has been paid, from the
Original Issue Date shown above.

The interest so payable, and punctually paid or duly provided for, on any
Interest Payment Date shall, subject to certain exceptions provided in the
Indenture, be paid to the Person in whose name this Note is registered on the
close of business on the 15th calendar day (whether or not a Business Day)
preceding each Interest Payment Date, either, at the option of the Company, by
check mailed to the address of the person entitled thereto as such address shall
appear on the Security Register, or at any of the Payment Locations. Any such
interest not so punctually paid or duly provided for shall forthwith cease to be
payable to the registered Holder on such Interest Payment Date, and may be paid
to the Person in whose name this Note is registered at the close of business on
a Special Record Date for the payment of such Defaulted Interest to be fixed by
the Trustee, notice of which shall be given to Holders not less than 10 days
prior to such Special Record Date, or may be paid, at any time in any other
lawful manner, all as more fully set forth in the Indenture.

         If any Interest Payment Date or the Maturity Date falls on a day that
is not a Business Day, the interest or principal (or premium, if any) payment
shall be made on the next day that is a Business Day, and no interest on such
payments shall accrue for the period from and after the Interest Payment Date or
the Maturity Date to such next Business Day. [Interest on the Note will be
computed on the basis of a 360-day year of twelve 30-day months.]

         Reference is hereby made to the further provisions of this Note set
forth on the reverse hereof, and such further provisions shall for all purposes
have the same effect as though fully set forth at this place.

         This Note shall not be entitled to any benefit under the Indenture
referred to on the reverse hereof or any indenture supplemental thereto, or
become valid or obligatory for any purpose, until the certificate of
authentication hereon shall have been signed by or on behalf of the Trustee
under such Indenture.

         IN WITNESS WHEREOF, the Company has caused this instrument to be duly
executed under its corporate seal.

Dated:
       ------------

                                           Sears Roebuck Acceptance Corp.

                                           By
                                              -----------------------------
                                                      President

                                           By
                                              -----------------------------
                                                      Vice President

[Corporate Seal]

<PAGE>

                [FORM OF TRUSTEE'S CERTIFICATE OF AUTHENTICATION]

          This is one of the Securities of the series designated and referred to
in the within-mentioned Indenture.

---------------------,
      as Trustee

By:
   -----------------------------------
    Authorized Officer

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                         [FORM OF REVERSE SIDE OF NOTE]

                         SEARS ROEBUCK ACCEPTANCE CORP.

                         [____%] Note due _____________

     1. This Note is one of a duly authorized issue of debentures, notes, bonds
or other evidences of indebtedness of the Company (hereinafter called the
"Securities") of the series hereinafter specified, unlimited in aggregate
principal amount, all issued or to be issued under or pursuant to an indenture
dated as of ____________, executed between the Company and _______________, as
Trustee; to which indenture and all indentures supplemental thereto (herein
collectively called the "Indenture") reference is hereby made for a
specification of the rights and limitation of rights thereunder of the Holders
of the Securities, the rights and obligations thereunder of the Company and the
rights, duties and immunities thereunder of the Trustee. The Securities may be
issued in one or more series, which different series may be issued in various
aggregate principal amounts, may mature at different times, may bear interest
(if any) at different rates, may be subject to different redemption provisions
(if any), may be subject to different sinking, purchase or analogous funds (if
any), may be subject to different covenants and Events of Default and may
otherwise vary as in the Indenture provided. This Note is one of a series
designated as the "[___%] Notes due ____________" of the Company (hereinafter
referred to as the "Notes"). All terms used in this Note which are defined in
the Indenture shall have the meanings assigned to them in the Indenture.

     2. In case a default, as defined in the Indenture, shall occur and be
continuing with respect to the Notes, the principal amount of all Notes then
outstanding under the Indenture may be declared or may become due and payable
upon the conditions and in the manner and with the effect provided in the
Indenture. The Indenture provides that such declaration may in certain events be
annulled by the Holders of a majority in principal amount of the Notes
outstanding.

     3. To the extent permitted by, and as provided in, the Indenture,
indentures supplemental thereto may be entered into with the consent of the
Company and with the consent of the Holders of not less than a majority in
principal amount of the outstanding Securities (as defined in the Indenture) of
each series to be affected; provided, however, that no such supplemental
indenture shall (i) change the Stated Maturity of the principal of (and premium,
if any, on), or the interest on, any Security, or reduce the principal amount of
(and premium, if any, on), or the rate of interest on any Security, or change
the Currency in which the principal of (and premium, if any) or interest on such
Securities is denominated or payable, or reduce the amount of the principal of
an Original Issue Discount Security that would be payable upon a declaration of
acceleration of the Maturity thereof pursuant to Section 6.1 of the Indenture
without the consent of the Holder of each outstanding Security so affected, or
(ii) reduce the aforesaid percentage of Securities of any series the Holders of
which are required to consent to any such supplemental indenture, without the
consent of the Holders of each outstanding Security affected thereby.

     4. The Indenture also provides that the Holders of a majority in principal
amount of the Securities of any series then outstanding may waive any past
default under the Indenture and its consequences, except a default in the
payment of the principal of or interest or premium, if any, on any of the
Securities.

     5. No reference herein to the Indenture and no provision of this Note or of
the Indenture shall alter or impair the obligation of the Company, which is
absolute and unconditional, to pay

<PAGE>
the principal of and interest and premium, if any, on this Note at the place,
at the respective times, at the rate, and in the Currency, herein prescribed.

     6. This Note is transferable by the registered Holder hereof or by his
attorney duly authorized in writing at the office or agency of the Company in
the Borough of Manhattan of The City of New York or, at the option of the Holder
hereof, any Payment Locations, without charge except for any tax or other
governmental charge imposed in relation thereto, but only in the manner and
subject to the limitations provided in the Indenture and upon surrender of this
Note. Upon any such transfer a Note or Notes of authorized denominations for a
like aggregate principal amount and bearing a number not contemporaneously
outstanding will be issued in exchange herefor.

     7. The Notes are issuable only as registered Notes without coupons, in
denominations of $[1,000] and any integral multiple of $[1,000]. In the manner
and subject to the limitations provided in the Indenture, Notes are
exchangeable, without charge except for any tax or other governmental charge
imposed in relation thereto, for other Notes of authorized denominations for a
like aggregate principal amount, at the office or agency of the Company in the
Borough of Manhattan of The City of New York or, at the option of the Holder
hereof, any Payment Locations.

     8. The Company, the Trustee, any Authenticating Agent, any paying agent and
any Security registrar may deem and treat the registered Holder hereof as the
absolute owner hereof (whether or not this Note shall be overdue and
notwithstanding any notation of ownership or other writing hereon by anyone
other than the Company or any Security registrar) for the purpose of receiving
payment of or on account of the principal hereof and interest and the premium,
if any, hereon and for all other purposes, and neither the Company, the
Trustee, an Authenticating Agent, a paying agent nor a Security registrar shall
be affected by any notice to the contrary. All such payments shall be valid and
effectual to satisfy and discharge the liability upon this Note to the extent of
the sum or sums so paid.

     9. No recourse shall be had for the payment of the principal of or the
interest or premium, if any, on this Note or for any claim based hereon or
otherwise in any manner in respect hereof, or in respect of the Indenture,
against any incorporator, shareholder, officer or director, past, present or
future, of the Company or of any predecessor or successor corporation, whether
by virtue of any constitutional provision or statute or rule of law, or by the
enforcement of any assessment or penalty or in any other manner, all such
liability being expressly waived and released by the acceptance hereof and as
part of the consideration for the issue hereof. In the event of any sale or
transfer of its assets and liabilities substantially as an entirety to a
successor corporation, the predecessor corporation may be dissolved and
liquidated as more fully set forth in the Indenture.

     10. The Company will, subject to the exceptions and limitations set forth
below, pay such additional amounts (the "Additional Amounts") to any Holder of a
Note who is a United States Alien (as defined below) as may be necessary in
order that every net payment of the principal of or interest or premium, if any,
on such Note after deduction or withholding for or on account of any present or
future tax, assessment or governmental charge imposed by the United States (as
defined below) (or any political subdivision or taxing authority thereof or
therein) upon, or as a result of, such payment, will not be less than the amount
provided for in such Note to be then due and payable. However, the Company will
not be required to make any payment of Additional Amounts to any such Holder for
or on account of:

          (a) any such tax, assessment or other governmental charge imposed
because of the

<PAGE>

existence of any present or former connection between such Holder (or between a
fiduciary, settlor or beneficiary of, or a person holding a power over, such
Holder, if such Holder is an estate or trust, or a partner or shareholder of
such Holder, if such Holder is a partnership or corporation) and the United
States, including, without limitation, such Holder (or such fiduciary, settlor,
beneficiary, person holding a power, partner or shareholder) being or having
been a citizen or resident thereof or being, or having been, present in the
United States for 183 days or more in a taxable year or being, or having been,
engaged in a trade or business or present therein or having, or having had, a
permanent establishment therein;

          (b) any estate, inheritance, gift, sales, transfer or personal
property tax or similar tax, assessment or other governmental charge;

          (c) any tax, assessment or other governmental charge imposed by reason
of such Holder's past or present status as a personal holding company, foreign
personal holding company, controlled foreign corporation, passive foreign
investment company; private foundation or other tax exempt organization, in each
case with respect to the United States, or as a corporation which accumulates
earnings to avoid United States federal income tax;

          (d) any tax, assessment or other governmental charge which is payable
otherwise than by withholding from payments on or in respect of any Note;

          (e) any tax, assessment or other governmental charge that a paying
agent must withhold from any payment of principal of or interest or premium, if
any, on any Note, if another paying agent can make such payment without
withholding;

          (f) any tax, assessment or other governmental charge imposed because
of the failure to comply with certification, identification, documentation,
information or other reporting requirement concerning the nationality,
residence, identity or connection with the United States of the Holder or
beneficial owner of such Note, if such compliance is required by statute or by
regulation of the United States or of any political subdivision or taxing
authority thereof or therein as a precondition to relief or exemption from such
tax, assessment or other governmental charge;

          (g) any tax, assessment or other governmental charge imposed because
such Holder (or a partnership of which such Holder is a member) is or was the
actual or constructive owner of 10% or more of the total combined voting power
of all classes of stock of the Company entitled to vote;

          (h) any tax, assessment or other governmental charge imposed on any
Holder who is a fiduciary or partnership or other than the sole beneficial owner
of the Note, but only to the extent that a beneficiary or settlor with respect
to such fiduciary or a member of such partnership or a beneficial owner of the
Note would not have been entitled to the payment of an Additional Amount had
such beneficiary, settlor, member or beneficial owner been the Holder of such
Note; or

          (i) any combination of items (a), (b), (c), (d), (e), (f), (g) or (h).

          The term "United States" means the United States of America, the
Commonwealth of Puerto Rico and each territory and possession of the United
States of America and the area subject to its jurisdiction. The term "United
States Alien" means any person who, for United States federal income tax
purposes, is a foreign corporation, a non-resident alien individual, a

<PAGE>

non-resident alien fiduciary of a foreign estate or trust, or a foreign
partnership one or more of the members of which, as to the United States, is a
foreign corporation, a non-resident alien individual or a non-resident alien
fiduciary of a foreign estate or trust.

         For the purposes of this Note, the definition of "Additional Amounts"
shall include any additional amounts payable under this Paragraph and Paragraph
11(a) and all references herein to principal of and interest and premium, if
any, on the Notes shall include such Additional Amounts.

     11. (a) The Company may redeem this Note at any time, in whole or in part,
by paying the Holder hereof the greater of:

-    100% of the principal amount of (plus the premium, if any, on) the portion
     of this Note that the Company redeems, plus any interest that has accrued,
     but that the Company has not previously paid to the Holder hereof, up to
     but not including the date that the Company redeems that portion of this
     Note; and

-    the sum of the present values of the remaining scheduled payments of
     principal of and interest and premium, if any, on the portion of this Note
     that the Company redeems (excluding the portion of any payment of interest
     that has accrued thereon as of the date the Company redeems that portion of
     this Note), plus any interest that has accrued, but that the Company has
     not previously paid to the Holder hereof, up to but not including the date
     that the Company redeems that portion of this Note. The Company will
     appoint a Reference Treasury Dealer (as defined below) to determine the
     present values. The Reference Treasury Dealer will determine the present
     values by discounting each of the remaining scheduled payments. Each of the
     remaining scheduled payments will be discounted on a semiannual basis
     (assuming a 360-day year consisting of twelve 30-day months) at the
     Adjusted Treasury Rate (as defined below) from the date the payment is
     scheduled to be made up to but not including the date the Company redeems
     that portion of this Note.

          The Company must give the Holder hereof at least 30, but not more than
60, days notice that it will redeem any portion of this Note. Interest will
cease to accrue on that portion of this Note that the Company calls for
redemption when the redemption price is paid. Each notice shall be given in the
manner described in Paragraph 11(c).

          "Adjusted Treasury Rate" means, for any redemption date, the rate per
year equal to the semiannual equivalent yield to maturity of the Comparable
Treasury Issue, assuming that the price for the Comparable Treasury Issue
(expressed as a percentage of its principal amount) was equal to the Comparable
Treasury Price for that redemption date, plus ____%.

          "Comparable Treasury Issue" means the United States Treasury security
selected by a Reference Treasury Dealer appointed by the Company:

-    that has a maturity comparable to the remaining term of this Note; and

-    that would be used, at the time of selection and in accordance with
     customary financial practice, to price new issues of corporate debt
     securities of comparable maturity to the remaining term of this Note.

          "Comparable Treasury Price" means, for any redemption date:

-    the average of the Reference Treasury Dealer Quotations for that redemption
     date, after

<PAGE>

     excluding the highest and lowest of those quotations (if any); or

-    if the Trustee obtains fewer than three Reference Treasury Dealer
     Quotations, the average of all the quotations.

          "Reference Treasury Dealer" means each of [underwriters], and their
respective successors; provided, however, that if any of them ceases to be a
primary U.S. Government securities dealer in The City of New York, the Company
may replace that entity with another primary U.S. Government securities dealer
in The City of New York.

          "Reference Treasury Dealer Quotation" means, for each of at least four
Reference Treasury Dealers selected by the Company and any redemption date, the
average of the bid and asked prices for the Comparable Treasury Issue (expressed
in each case as a percentage of its principal amount) quoted in writing to the
Trustee by that Reference Treasury Dealer at 5:00 p.m. (New York City time) on
the third business day before that redemption date. The Trustee will determine
this average.

          (b) The Notes may also be redeemed prior to maturity as provided under
this Paragraph 11(b).

          The Notes may be redeemed at the option of the Company, as a whole but
not in part, at any time prior to maturity, upon the giving of a notice of
redemption as described below, at a redemption price equal to 100% of the
principal amount of (plus the premium, if any, on) the Notes together with
accrued interest up to but not including the date fixed for redemption (the
"Redemption Amount") if the Company determines that, as a result of (A) any
change in or amendment to the laws (or any regulations or rulings promulgated
thereunder) of the United States or of any political subdivision or taxing
authority thereof or therein, or any change in the application, official
interpretation or enforcement of such laws, regulations or rulings, including a
decision rendered by a court of competent jurisdiction in the United States or
any political subdivision thereof, whether or not such decision was rendered
with respect to the Company; or (B) the issuance of a technical advice
memorandum, letter ruling or administrative pronouncement issued by the United
States Internal Revenue Service based on a fact pattern substantially similar to
that of the Company becoming effective or being issued on or after [Original
Issue Date], there is a substantial probability that the Company has or will
become obligated to pay Additional Amounts with respect to the Notes in
accordance with Paragraph 10 hereof, and the Company cannot avoid such
obligation by taking reasonable measures available to it. Prior to the
publication of any notice of redemption of the Notes pursuant to the foregoing,
the Company shall deliver to the Trustee an opinion of legal counsel to the
Company stating that the Company is entitled to effect such redemption and a
certificate setting forth facts showing that the conditions precedent to the
right of the Company to so redeem have occurred.

          Notice of redemption will be given by the Company not less than 30 nor
more than 60 days prior to the date fixed for redemption, which date and the
redemption price will be specified in the notice. Each notice shall be given in
the manner described in Paragraph 11(c).

          (c) (i) Any redemption notice given under this Paragraph 11 shall
state the date fixed for redemption and the Redemption Amount. On the redemption
date, the Company shall be bound to redeem the Notes to which such notice
relates at their Redemption Amount upon presentment thereof. Notices to Holders
shall be mailed by the Trustee, first class postage prepaid, at their last
addresses as they appear in the Security Register. If applicable, notice of
intention to redeem the Notes also shall be given in the manner described in
subparagraph (ii) below. Such notice by publication shall be published at least
once a week for two successive

<PAGE>

weeks prior to the date fixed for redemption, the first such publication to be
not less than 30 days nor more than 60 days prior to the date fixed for
redemption.

          (ii) If and so long as the Notes are listed on the Luxembourg Stock
Exchange and such Exchange shall so require, notices to Holders of the Notes
will be given in a daily newspaper of general circulation in Luxembourg. If
publication in Luxembourg is not practical, such publication shall be made
elsewhere in Europe. The term "daily newspaper" shall mean a newspaper
customarily published on each Business Day in morning editions, whether or not
it shall be published in Saturday, Sunday or holiday editions. Such publication
is expected to be made in the Luxemburger Wort. Such notices will be deemed to
have been given on the date of such publication. If by reason of the temporary
or permanent suspension of publication of any newspaper or by reason of any
other cause, it shall be impossible to make publication of such notice in a
daily newspaper as herein provided, then such publication or other notice in
lieu thereof, as shall be made by the Trustee, shall constitute sufficient
publication of such notice, if such publication or other notice shall, so far as
may be possible, approximate the terms and conditions of the publication in lieu
of which it is given. The Trustee shall promptly furnish to the Company and each
other paying agency a copy of each such notice so published.

     12. Notwithstanding anything to the contrary in the Indenture, the term
"Business Day" shall mean, for all purposes with respect to the Notes, each
Monday, Tuesday, Wednesday, Thursday and Friday that is not a legal holiday for
banking institutions in any of the City of Wilmington, Delaware, the City of
Chicago, The City of New York, [the City of Luxembourg,] or the city in which
the principal corporate trust office of the Trustee is located.

     13. This Note shall be governed by the laws of the State of Delaware.<PAGE>
                                                                    EXHIBIT 4.1

                         ATLANTIC AMERICAN CORPORATION

                              2002 INCENTIVE PLAN

1.       PURPOSE. The purpose of the 2002 Incentive Plan (this "Plan") is to
         attract and retain directors, officers and key employees for Atlantic
         American Corporation (the "Corporation") and its Subsidiaries and to
         provide to such persons incentives and rewards for superior
         performance.

2.       DEFINITIONS. As used in this Plan,

                  "Annual Meeting" means the annual meeting of shareholders of
the Corporation.

                  "Appreciation Right" means a right granted pursuant to
Section 5 of this Plan.

                  "Board" means the Board of Directors of the Corporation and,
to the extent of any delegation by the Board to a committee (or subcommittee
thereof) pursuant to Section 16 of this Plan, such committee (or subcommittee
thereof).

                  "Code" means the Internal Revenue Code of 1986, as amended
from time to time.

                  "Common Shares" means shares of common stock, $1.00 par value
per share, of the Corporation or any security into which such Common Shares may
be changed by reason of any transaction or event of the type referred to in
Section 11 of this Plan.

                  "Covered Employee" means a Participant who is, or is
determined by the Board to be likely to become, a "covered employee" within the
meaning of Section 162(m) of the Code (or any successor provision).

                  "Date of Grant" means the date specified by the Board on
which a grant of Option Rights, Appreciation Rights, Performance Shares or
Performance Units or a grant or sale of Restricted Shares or Deferred Shares
shall become effective (which date shall not be earlier than the date on which
the Board takes action with respect thereto) and shall also include the date on
which a grant of Option Rights to a Non-Employee Director becomes effective
pursuant to Section 9 of this Plan.

                  "Deferral Period" means the period of time during which
Deferred Shares are subject to deferral limitations under Section 7 of this
Plan.

                  "Deferred Shares" means an award made pursuant to Section 7
of this Plan of the right to receive Common Shares at the end of a specified
Deferral Period.

                  "Designated Subsidiary" means a Subsidiary that is (i) not a
corporation or (ii) a corporation in which at the time the Corporation owns or
controls, directly or indirectly, less than 80 percent of the total combined
voting power represented by all classes of stock issued by such corporation.

                  "Detrimental Activity" means:

         (i)      Engaging in any activity that competes, directly or
                  indirectly, as an employee, principal, agent, or consultant
                  for another entity in any activity that competes with the
                  Corporation in any actual, researched, or prospective
                  product, service, system, or business activity for which the
                  Participant has had any direct or indirect responsibility
                  during the last five years of his or her employment with the
                  Corporation or Subsidiary, in any territory in which the
                  Corporation or a Subsidiary manufactures, sells, markets,
                  services, or installs such product, service, system, or
                  business activity.

         (ii)     Soliciting any employee of the Corporation or a Subsidiary to
                  terminate his or her employment with the Corporation or a
                  Subsidiary.

<PAGE>

         (iii)    The disclosure to anyone outside the Corporation or a
                  Subsidiary, or the use in other than the Corporation or a
                  Subsidiary's business, without prior written authorization
                  from the Corporation, of any confidential, proprietary or
                  trade secret information or material relating to the business
                  of the Corporation and its Subsidiaries, acquired by the
                  Participant either during or after employment with the
                  Corporation or its Subsidiaries or while acting as a
                  consultant for the Corporation or its Subsidiaries
                  thereafter.

         (iv)     The failure or refusal to disclose promptly and to assign to
                  the Corporation upon request all right, title and interest in
                  any invention or idea, patentable or not, made or conceived
                  by the Participant during employment by the Corporation and
                  any Subsidiary, relating in any manner to the actual or
                  anticipated business , research or development work of the
                  Corporation or any Subsidiary or the failure or refusal to do
                  anything reasonably necessary to enable the Corporation or
                  any Subsidiary to secure a patent where appropriate in the
                  United States and in other countries.

         (v)      Activity that results in Termination for Cause.

         (vi)     Any other conduct or act determined to be injurious,
                  detrimental or prejudicial to any significant interest of the
                  Corporation or any Subsidiary unless the Participant acted in
                  good faith and in a manner he or she reasonably believed to
                  be in or not opposed to the best interests of the
                  Corporation.

                  "Evidence of Award" means an agreement, certificate,
resolution or other type of writing or other evidence approved by the Board
which sets forth the terms and conditions of the Option Rights, Appreciation
Rights, Performance Units, Performance Shares, Restricted Shares, Deferred
Shares or other awards. An Evidence of Award may be in an electronic medium,
may be limited to a notation on the books and records of the Corporation and,
with the approval of the Board, need not be signed by a representative of the
Corporation or a Participant.

                  "Exchange Act" means the Securities Exchange Act of 1934, as
amended, and the rules and regulations thereunder, as such law, rules and
regulations may be amended from time to time.

                  "Incentive Stock Options" means Option Rights that are
intended to qualify as "incentive stock options" under Section 422 of the Code
or any successor provision.

                  "Management Objectives" means the measurable performance
objective or objectives established pursuant to this Plan for Participants who
have received grants of Performance Shares or Performance Units or, when so
determined by the Board, Option Rights, Appreciation Rights, Restricted Shares
and dividend credits pursuant to this Plan. Management Objectives may be
described in terms of Corporation-wide objectives or objectives that are
related to the performance of the individual Participant or of the Subsidiary,
division, department, region or function within the Corporation or Subsidiary
in which the Participant is employed. The Management Objectives may be made
relative to the performance of other corporations. The Management Objectives
applicable to any award to a Covered Employee shall be based on specified
levels of or growth in one or more of the following criteria:

                  1.       earnings;

                  2.       earnings per share (earnings per share will be
                           calculated without regard to any change in
                           accounting standards that may be required by the
                           Financial Accounting Standards Board after the goal
                           is established);

                  3.       share price;

                  4.       total shareholder return;

                  5.       return on invested capital, equity, or assets;

                  6.       operating earnings;

                  7.       sales growth;

                  8.       productivity improvement;

                  If the Board determines that a change in the business,
operations, corporate structure or capital structure of the Corporation, or the
manner in which it conducts its business, or other events or circumstances
render the Management Objectives unsuitable, the Board may in its discretion
modify such Management Objectives or the

                                       2
<PAGE>

related minimum acceptable level of achievement, in whole or in part, as the
Board deems appropriate and equitable, except in the case of a Covered Employee
where such action would result in the loss of the otherwise available exemption
under Section 162(m) of the Code. In such case, the Board shall not make any
modification of the Management Objectives or minimum acceptable level of
achievement.

                  "Market Value per Share" means, as of any particular date,
the fair market value of the Common Shares as determined by the Board.

                  "Non-Employee Director" means a director of the Corporation
who is not an employee of the Corporation or any Subsidiary.

                  "Optionee" means the optionee named in an Evidence of Award
evidencing an outstanding Option Right.

                  "Option Price" means the purchase price payable on exercise
of an Option Right.

                  "Option Right" means the right to purchase Common Shares upon
exercise of an option granted pursuant to Section 4 or Section 9 of this Plan.

                  "Participant" means a person who is selected by the Board to
receive benefits under this Plan and who is at the time an officer, or other
key employee of the Corporation or any one or more of its Subsidiaries, or who
has agreed to commence serving in any of such capacities within 90 days of the
Date of Grant and shall also include each Non-Employee Director who receives an
award of Option Rights pursuant to Section 9 of this Plan; provided, however,
that for purposes of Sections 4, 5, 7 and 8 of this Plan, Participant shall not
include such Non-Employee Director.

                  "Performance Period" means, in respect of a Performance Share
or Performance Unit, a period of time established pursuant to Section 8 of this
Plan within which the Management Objectives relating to such Performance Share
or Performance Unit are to be achieved.

                  "Performance Share" means a bookkeeping entry that records
the equivalent of one Common Share awarded pursuant to Section 8 of this Plan.

                  "Performance Unit" means a bookkeeping entry that records a
unit equivalent to $1.00 awarded pursuant to Section 8 of this Plan.

                  "Reload Option Rights" means additional Option Rights granted
automatically to an Optionee upon the exercise of Option Rights pursuant to
Section 4(f) or Section 9(a)(viii) of this Plan.

                  "Restricted Shares" means Common Shares granted or sold
pursuant to Section 6 or Section 9 of this Plan as to which neither the
substantial risk of forfeiture nor the prohibition on transfers referred to in
such Section 6 has expired.

                  "Rule l6b-3" means Rule 16b-3 of the Securities and Exchange
Commission (or any successor rule to the same effect) as in effect from time to
time.

                  "Securities Act" means the Securities Act of 1933, as
amended, and the rules and regulations thereunder, as such law, rules and
regulations may be amended from time to time.

                  "Spread" means the excess of the Market Value per Share of
the Common Shares on the date when an Appreciation Right is exercised, or on
the date when Option Rights are surrendered in payment of the Option Price of
other Option Rights, over the Option Price provided for in the related Option
Right.

                  "Subsidiary" means a corporation, company or other entity (i)
more than 50 percent of whose outstanding shares or securities (representing
the right to vote for the election of directors or other managing authority)
are, or (ii) which does not have outstanding shares or securities (as may be
the case in a partnership, joint venture or unincorporated association), but
more than 50 percent of whose ownership interest representing the right
generally to make decisions for such other entity is, now or hereafter, owned
or controlled, directly or indirectly, by the Corporation except that for
purposes of determining whether any person may be a Participant for purposes of
any grant of Incentive Stock Options, "Subsidiary" means any corporation in
which at the time the Corporation owns or controls, directly or indirectly,
more than 50 percent of the total combined voting power represented by all
classes of stock issued by such corporation.

                                       3
<PAGE>

                  "Termination for Cause" means a termination:

         (i)      due to the Participant's willful and continuous gross neglect
                  of his or her duties for which he or she is employed, or

         (ii)     due to an act of dishonesty on the part of the Participant
                  constituting a felony resulting or intended to result, direct
                  or indirectly, in his or her gain for personal enrichment at
                  the expense of the Corporation or a Subsidiary.

3.       SHARES AVAILABLE UNDER THE PLAN. (a) Subject to adjustment as provided
         in Section 11 of this Plan, the number of Common Shares that may be
         issued or transferred (i) upon the exercise of Option Rights or
         Appreciation Rights, (ii) as Restricted Shares and released from
         substantial risks of forfeiture thereof, (iii) as Deferred Shares,
         (iv) in payment of Performance Shares or Performance Units that have
         been earned, (v) as awards to Non-Employee Directors or (vi) in
         payment of dividend equivalents paid with respect to awards made under
         the Plan shall not exceed in the aggregate 2,000,000 shares plus any
         shares relating to awards that expire or are forfeited or cancelled.
         Such shares may be shares of original issuance or treasury shares or a
         combination of the foregoing. Upon the payment of any Option Price by
         the transfer to the Corporation of Common Shares or upon satisfaction
         of any withholding amount by means of transfer or relinquishment of
         Common Shares, there shall be deemed to have been issued or
         transferred under this Plan only the net number of Common Shares
         actually issued or transferred by the Corporation.

         (b)      Notwithstanding anything in this Section 3, or elsewhere in
                  this Plan, to the contrary, the aggregate number of Common
                  Shares actually issued or transferred by the Corporation upon
                  the exercise of Incentive Stock Options shall not exceed
                  2,000,000 shares. Further, no Participant shall be granted
                  Option Rights for more than 300,000 Common Shares during any
                  calendar year, subject to adjustments as provided in Section
                  11 of this Plan.

         (c)      Upon payment in cash of the benefit provided by any award
                  granted under this Plan, any shares that were covered by that
                  award shall again be available for issue or transfer
                  hereunder.

         (d)      Notwithstanding any other provision of this Plan to the
                  contrary, in no event shall any Participant in any calendar
                  year receive more than 300,000 Appreciation Rights, subject
                  to adjustments as provided in Section 11 of this plan.

         (e)      Notwithstanding any other provision of this Plan to the
                  contrary, in no event shall any Participant in any calendar
                  year receive more than 100,000 Restricted Shares or 100,000
                  Deferred Shares, subject to adjustments as provided in
                  Section 11 of this Plan.

         (f)      Notwithstanding any other provision of this Plan to the
                  contrary, in no event shall any Participant in any calendar
                  year receive an award of Performance Shares or Performance
                  Units having an aggregate maximum value as of their
                  respective Dates of Grant in excess of $500,000.

4.       OPTION RIGHTS. The Board may, from time to time and upon such terms
         and conditions as it may determine, authorize the granting to
         Participants of options to purchase Common Shares. Each such grant may
         utilize any or all of the authorizations, and shall be subject to all
         of the requirements, contained in the following provisions:

         (a)      Each grant shall specify the number of Common Shares to which
                  it pertains subject to the limitations set forth in Section 3
                  of this plan.

         (b)      Each grant shall specify an Option Price per share, which may
                  be less than the Market Value per Share on the Date of Grant,
                  except that the Option Price per share for any Incentive
                  Stock Option shall not be less than 100 percent of the Market
                  Value per Share on the Date of Grant.

         (c)      Each grant shall specify whether the Option Price shall be
                  payable (i) in cash or by check acceptable to the
                  Corporation, (ii) by the actual or constructive transfer to
                  the Corporation of nonforfeitable, unrestricted Common Shares
                  owned by the Optionee (or other

                                       4
<PAGE>

                  consideration authorized pursuant to subsection (d) below)
                  having a value at the time of exercise equal to the total
                  Option Price, or (iii) by a combination of such methods of
                  payment.

         (d)      The Board may determine, at or after the Date of Grant, that
                  payment of the Option Price of any option (other than an
                  Incentive Stock Option) may also be made in whole or in part
                  in the form of Restricted Shares or other Common Shares that
                  are forfeitable or subject to restrictions on transfer,
                  Deferred Shares, Performance Shares (based, in each case, on
                  the Market Value per Share on the date of exercise), other
                  Option Rights (based on the Spread on the date of exercise)
                  or Performance Units. Unless otherwise determined by the
                  Board at or after the Date of Grant, whenever any Option
                  Price is paid in whole or in part by means of any of the
                  forms of consideration specified in this paragraph, the
                  Common Shares received upon the exercise of the Option Rights
                  shall be subject to such risks of forfeiture or restrictions
                  on transfer as may correspond to any that apply to the
                  consideration surrendered, but only to the extent of (i) the
                  number of shares or Performance Shares, (ii) the Spread of
                  any unexercisable portion of Option Rights, or (iii) the
                  stated value of Performance Units surrendered.

         (e)      Any grant may provide for deferred payment of the Option
                  Price from the proceeds of sale through a bank or broker on a
                  date satisfactory to the Corporation of some or all of the
                  shares to which such exercise relates.

         (f)      Any grant may, at or after the Date of Grant, provide for the
                  automatic grant of Reload Option Rights to an Optionee upon
                  the exercise of Option Rights (including Reload Option
                  Rights) using Common Shares or other consideration specified
                  in paragraph (d) above. Reload Option Rights shall cover up
                  to the number of Common Shares, Deferred Shares, Option
                  Rights or Performance Shares (or the number of Common Shares
                  having a value equal to the value of any Performance Units)
                  surrendered to the Corporation upon any such exercise in
                  payment of the Option Price or to meet any withholding
                  obligations. Reload Options may have an Option Price that is
                  no less than that which represents the same percentage of the
                  Market Value per Share at the time of exercise of the Option
                  Rights that the per share Option Price represented of the
                  Market Value per Share at the time the Option Rights being
                  exercised were granted and shall be on such other terms as
                  may be specified by the Directors, which may be the same as
                  or different from those of the original Option Rights.

         (g)      Successive grants may be made to the same Participant whether
                  or not any Option Rights previously granted to such
                  Participant remain unexercised.

         (h)      Each grant shall specify the period or periods of continuous
                  service by the Optionee with the Corporation or any
                  Subsidiary which is necessary before the Option Rights or
                  installments thereof will become exercisable and may provide
                  for the earlier exercise of such Option Rights in the event
                  of a change in control or other similar transaction or event.

         (i)      Any grant of Option Rights may specify Management Objectives
                  that must be achieved as a condition to the exercise of such
                  rights.

         (j)      Option Rights granted under this Plan may be (i) options,
                  including, without limitation, Incentive Stock Options, that
                  are intended to qualify under particular provisions of the
                  Code, (ii) options that are not intended so to qualify, or
                  (iii) combinations of the foregoing.

                                       5
<PAGE>

         (k)      The Board may, at or after the Date of Grant of any Option
                  Rights (other than Incentive Stock Options), provide for the
                  payment of dividend equivalents to the Optionee on either a
                  current or deferred or contingent basis or may provide that
                  such equivalents shall be credited against the Option Price.

         (l)      The exercise of an Option Right shall result in the
                  cancellation on a share-for-share basis of any related
                  Appreciation Right authorized under Section 5 of this Plan.

         (m)      No Option Right shall be exercisable more than 10 years from
                  the Date of Grant.

         (n)      Each grant of Option Rights shall be evidenced by an Evidence
                  of Award, which shall contain such terms and provisions,
                  consistent with this Plan, as the Board may approve.

5.       APPRECIATION RIGHTS. The Board may also authorize the granting to any
         Optionee of Appreciation Rights in respect of Option Rights granted
         hereunder at any time prior to the exercise or termination of such
         related Option Rights; provided, however, that an Appreciation Right
         awarded in relation to an Incentive Stock Option must be granted
         concurrently with such Incentive Stock Option. An Appreciation Right
         shall be a right of the Optionee, exercisable by surrender of the
         related Option Right, to receive from the Corporation an amount
         determined by the Board, which shall be expressed as a percentage of
         the Spread (not exceeding 100 percent) at the time of exercise. Each
         such grant may utilize any or all of the authorizations, and shall be
         subject to all of the requirements, contained in the following
         provisions:

         (a)      Any grant may specify that the amount payable on exercise of
                  an Appreciation Right may be paid by the Corporation in cash,
                  in Common Shares or in any combination thereof and may either
                  grant to the Optionee or retain in the Board the right to
                  elect among those alternatives.

         (b)      Any grant may specify that the amount payable on exercise of
                  an Appreciation Right may not exceed a maximum specified by
                  the Board at the Date of Grant.

         (c)      Any grant may specify waiting periods before exercise and
                  permissible exercise dates or periods and shall provide that
                  no Appreciation Right may be exercised except at a time when
                  the related Option Right is also exercisable and at a time
                  when the Spread is positive.

         (d)      Any grant may specify that such Appreciation Right may be
                  exercised only in the event of a Change in Control or other
                  similar transaction or event.

         (e)      Each grant of Appreciation Rights shall be evidenced by an
                  Evidence of Award that shall describe such Appreciation
                  Rights, identify the related Option Rights, state that such
                  Appreciation Rights are subject to all the terms and
                  conditions of this Plan, and contain such other terms and
                  provisions, consistent with this Plan, as the Board may
                  approve.

         (f)      Any grant of Appreciation Rights may specify Management
                  Objectives that must be achieved as a condition of the
                  exercise of such rights.

6.       RESTRICTED SHARES. The Board may also authorize the grant or sale to
         Participants of Restricted Shares. Each such grant or sale may utilize
         any or all of the authorizations, and shall be subject to all of the
         requirements, contained in the following provisions:

         (a)      Each such grant or sale shall constitute an immediate
                  transfer of the ownership of Common Shares to the Participant
                  in consideration of the performance of services,

                                       6
<PAGE>

                  entitling such Participant to voting, dividend and other
                  ownership rights, but subject to the substantial risk of
                  forfeiture and restrictions on transfer hereinafter referred
                  to.

         (b)      Each such grant or sale may be made without additional
                  consideration or in consideration of a payment by such
                  Participant that is less than Market Value per Share at the
                  Date of Grant.

         (c)      Each such grant or sale shall provide that the Restricted
                  Shares covered by such grant or sale shall be subject to a
                  "substantial risk of forfeiture" within the meaning of
                  Section 83 of the Code for a period of time to be determined
                  by the Board on the Date of Grant, and any grant or sale may
                  provide for the earlier termination of such period in the
                  event of a change in control of the Corporation or other
                  similar transactions or events.

         (d)      Each such grant or sale shall provide that during the period
                  for which such substantial risk of forfeiture is to continue,
                  the transferability of the Restricted Shares shall be
                  prohibited or restricted in the manner and to the extent
                  prescribed by the Board at the Date of Grant (which
                  restrictions may include, without limitation, rights of
                  repurchase or first refusal in the Corporation or provisions
                  subjecting the Restricted Shares to a continuing substantial
                  risk of forfeiture in the hands of any transferee).

         (e)      Any grant of Restricted Shares may specify Management
                  Objectives which, if achieved, will result in termination or
                  early termination of the restrictions applicable to such
                  shares and each grant may specify in respect of such
                  specified Management Objectives, a minimum acceptable level
                  of achievement and shall set forth a formula for determining
                  the number of Restricted Shares on which restrictions will
                  terminate if performance is at or above the minimum level,
                  but falls short of full achievement of the specified
                  Management Objectives.

         (f)      Any such grant or sale of Restricted Shares may require that
                  any or all dividends or other distributions paid thereon
                  during the period of such restrictions be automatically
                  deferred and reinvested in additional Restricted Shares,
                  which may be Subject to the same restrictions as the
                  underlying award.

         (g)      Each grant or sale of Restricted Shares shall be evidenced by
                  an Evidence of Award that shall contain such terms and
                  provisions, consistent with this Plan, as the Board may
                  approve. Unless otherwise directed by the Board, all
                  certificates representing Restricted Shares shall be held in
                  custody by the Corporation until all restrictions thereon
                  shall have lapsed, together with a stock power executed by
                  the Participant in whose name such certificates are
                  registered, endorsed in blank and covering such Shares.

7.       DEFERRED SHARES. The Board may also authorize the granting or sale of
         Deferred Shares to Participants. Each such grant or sale may utilize
         any or all of the authorizations, and shall be subject to all of the
         requirements contained in the following provisions:

         (a)      Each such grant or sale shall constitute the agreement by the
                  Corporation to deliver Common Shares to the Participant in
                  the future in consideration of the performance of services,
                  but subject to the fulfillment of such conditions during the
                  Deferral Period as the Board may specify.

         (b)      Each such grant or sale may be made without additional
                  consideration or in consideration of a payment by such
                  Participant that is less than the Market Value per Share at
                  the Date of Grant.

                                       7
<PAGE>

         (c)      Each such grant or sale shall be subject, except (if the
                  Board shall so determine) in the event of a change in control
                  or other similar transaction or event, to a Deferral Period,
                  as determined by the Board at the Date of Grant.

         (d)      During the Deferral Period, the Participant shall have no
                  right to transfer any rights under his or her award and shall
                  have no rights of ownership in the Deferred Shares and shall
                  have no right to vote them, but the Board may, at or after
                  the Date of Grant, authorize the payment of dividend
                  equivalents on such Shares on either a current or deferred or
                  contingent basis, either in cash or in additional Common
                  Shares.

         (e)      Each grant or sale of Deferred Shares shall be evidenced by
                  an Evidence of Award containing such terms and provisions,
                  consistent with this Plan, as the Board may approve.

8.       PERFORMANCE SHARES AND PERFORMANCE UNITS. The Board may also authorize
         the granting of Performance Shares and Performance Units that will
         become payable to a Participant upon achievement of specified
         Management Objectives. Each such grant may utilize any or all of the
         authorizations, and shall be subject to all of the requirements,
         contained in the following provisions:

         (a)      Each grant shall specify the number of Performance Shares or
                  Performance Units to which it pertains, which number may be
                  subject to adjustment to reflect changes in compensation or
                  other factors; provided, however, that no such adjustment
                  shall be made in the case of a Covered Employee.

         (b)      The Performance Period with respect to each Performance Share
                  or Performance Unit shall be such period of time (not less
                  than 1 year, except in the event of a change in control or
                  other similar transaction or event, if the Board shall so
                  determine) commencing with the Date of Grant (as shall be
                  determined by the Board at the time of grant).

         (c)      Any grant of Performance Shares or Performance Units shall
                  specify Management Objectives which, if achieved, will result
                  in payment or early payment of the award, and each grant may
                  specify in respect of such specified Management Objectives a
                  minimum acceptable level of achievement and shall set forth a
                  formula for determining the number of Performance Shares or
                  Performance Units that will be earned if performance is at or
                  above the minimum level, but falls short of full achievement
                  of the specified Management Objectives. The grant of
                  Performance Shares or Performance Units shall specify that,
                  before the Performance Shares or Performance Units shall be
                  earned and paid, the Board must certify that the Management
                  Objectives have been satisfied.

         (d)      Each grant shall specify a minimum acceptable level of
                  achievement in respect of the specified Management Objectives
                  below which no payment will be made and shall set forth a
                  formula for determining the amount of payment to be made if
                  performance is at or above such minimum but short of full
                  achievement of the Management Objectives.

         (e)      Each grant shall specify the time and manner of payment of
                  Performance Shares or Performance Units which have been
                  earned. Any grant may specify that the amount payable with
                  respect thereto may be paid by the Corporation in cash, in
                  Common Shares or in any combination thereof and may either
                  grant to the Participant or retain in the Board the right to
                  elect among those alternatives.

         (f)      Any grant of Performance Shares may specify that the amount
                  payable with respect thereto may not exceed a maximum
                  specified by the Board at the Date of Grant. Any grant of
                  Performance Units may specify that the amount payable or the
                  number of

                                       8
<PAGE>

                  Common Shares issued with respect thereto may not exceed
                  maximums specified by the Board at the Date of Grant.

         (g)      The Board may, at or after the Date of Grant of Performance
                  Shares, provide for the payment of dividend equivalents to
                  the holder thereof on either a current or deferred or
                  contingent basis, either in cash or in additional Common
                  Shares.

         (h)      Each grant of Performance Shares or Performance Units shall
                  be evidenced by an Evidence of Award containing such other
                  terms and provisions, consistent with this Plan, as the Board
                  may approve.

9.       AWARDS TO NON-EMPLOYEE DIRECTORS. The Board may, from time to time and
         upon such terms and conditions as it may determine, authorize the
         granting to Non-Employee Directors of options to purchase Common
         Shares and may also authorize the grant or sale of Restricted Shares
         to Non-Employee Directors

         (a)      Each grant of Option Rights awarded pursuant to this Section
                  9 shall be evidenced by an Evidence of Award in such form as
                  shall be approved by the Board, and shall be subject to the
                  following additional terms and conditions:

                  (i)      Each grant shall specify the number of Common Shares
                           to which it pertains subject to the limitations set
                           forth in Section 3 of this plan.

                  (ii)     Each grant shall specify an Option Price per share,
                           which may not be less than the Market Value per
                           Share on the Date of Grant.

                  (iii)    Each such Option Right shall be exercisable to the
                           extent of 100% of the Common Shares subject thereto
                           commencing six months after the Date of Grant,
                           provided, that the Optionee has continuously
                           remained as a director through such date, provided
                           further, however, that any Option Right will be
                           exercisable in full upon the Optionee's death or
                           disability. Each such Option Right granted under the
                           Plan shall expire 5 years from the Date of Grant and
                           shall be subject to earlier termination as
                           hereinafter provided.

                  (iv)     In the event of the termination of service on the
                           Board by the holder of any such Option Rights, other
                           than by reason of disability or death, the then
                           outstanding Option Rights of such holder may be
                           exercised only to the extent that they were
                           exercisable on the date of such termination and
                           shall expire 90 days after such termination, or on
                           their stated expiration date, whichever occurs
                           first.

                  (v)      In the event of the death or disability of the
                           holder of any such Option Rights, each of the then
                           outstanding Option Rights of such holder may be
                           exercised at any time within one year after such
                           death or disability, but in no event after the
                           expiration date of the term of such Option Rights.

                  (vi)     If a Non-Employee Director subsequently becomes an
                           employee of the Corporation or a Subsidiary while
                           remaining a member of the Board, any Option Rights
                           held under the Plan by such individual at the time
                           of such commencement of employment shall not be
                           affected thereby.

                  (vii)    Option Rights may be exercised by a Non-Employee
                           Director only upon payment to the Corporation in
                           full of the Option Price of the Common Shares to be
                           delivered. Such payment shall be made in cash or in
                           Common Shares previously owned by the optionee for
                           more than six months, or in a combination of cash
                           and such Common Shares.

                                       9
<PAGE>

                  (viii)   Each grant may provide for the automatic grant of
                           Reload Option Rights to an Optionee upon the
                           exercise of Option Rights (including Reload Option
                           Rights) using Common Shares. Reload Option Rights
                           shall cover up to the number of Common Shares
                           surrendered to the Corporation upon any such
                           exercise in payment of the Option Price. Reload
                           Options may have an Option Price that is no less
                           than that which represents the same percentage of
                           the Market Value per Share at the time of exercise
                           of the Option Rights that the per share Option Price
                           represented of the Market Value per Share at the
                           time the Option Rights being exercised were granted
                           and shall be on such other terms as may be specified
                           by the Directors, which may be the same as or
                           different from those of the original Option Rights.

         (b)      Each grant or sale of Restricted Shares pursuant to this
                  Section 9 shall be upon terms and conditions consistent with
                  Section 6 of this Plan.

10.      TRANSFERABILITY. (a) Except as otherwise determined by the Board, no
         Option Right, Appreciation Right or other derivative security granted
         under the Plan shall be transferable by an Optionee other than by will
         or the laws of descent and distribution, except to a fully revocable
         trust of which the Optionee is treated as the owner for federal income
         tax purposes. Except as otherwise determined by the Board, Option
         Rights and Appreciation Rights shall be exercisable during the
         Optionee's lifetime only by him or her or by his or her guardian or
         legal representative. Notwithstanding the foregoing, the Board in its
         sole discretion, may provide for transferability of particular awards
         under this Plan so long as such provisions will not disqualify the
         exemption for other awards under Rule 16b-3.

         (b)      The Board may specify at the Date of Grant that part or all
                  of the Common Shares that are (i) to be issued or transferred
                  by the Corporation upon the exercise of Option Rights or
                  Appreciation Rights, upon the termination of the Deferral
                  Period applicable to Deferred Shares or upon payment under
                  any grant of Performance Shares or Performance Units or (ii)
                  no longer subject to the substantial risk of forfeiture and
                  restrictions on transfer referred to in Section 6 of this
                  Plan, shall be subject to further restrictions on transfer.

11.      ADJUSTMENTS. The Board may make or provide for such adjustments in the
         numbers of Common Shares covered by outstanding Option Rights,
         Appreciation Rights, Deferred Shares, and Performance Shares granted
         hereunder, in the prices per share applicable to such Option Rights
         and Appreciation Rights and in the kind of shares covered thereby, as
         the Board, in its sole discretion, exercised in good faith, may
         determine is equitably required to prevent dilution or enlargement of
         the rights of Participants or Optionees that otherwise would result
         from (a) any stock dividend, stock split, combination of shares,
         recapitalization or other change in the capital structure of the
         Corporation, or (b) any merger, consolidation, spin-off, split-off,
         spin-out, split-up, reorganization, partial or complete liquidation or
         other distribution of assets, issuance of rights or warrants to
         purchase securities, or (c) any other corporate transaction or event
         having an effect similar to any of the foregoing. Moreover, in the
         event of any such transaction or event, the Board, in its discretion,
         may provide in substitution for any or all outstanding awards under
         this Plan such alternative consideration as it, in good faith, may
         determine to be equitable in the circumstances and may require in
         connection therewith the surrender of all awards so replaced. The
         Board may also make or provide for such adjustments in the numbers of
         shares specified in Section 3 of this Plan and in the number of Option
         Rights to be granted automatically pursuant to Section 9 of this Plan
         as the Board in its sole discretion, exercised in good faith, may
         determine is appropriate to reflect any transaction or event described
         in this Section 11.

12.      FRACTIONAL SHARES. The Corporation shall not be required to issue any
         fractional Common Shares pursuant to this Plan. The Board may provide
         for the elimination of fractions or for the settlement of fractions in
         cash.

13.      WITHHOLDING TAXES. To the extent that the Corporation is required to
         withhold federal, state, local or foreign taxes in connection with any
         payment made or benefit realized by a Participant or other person
         under this Plan, and the amounts available to the Corporation for such
         withholding are insufficient, it shall be a condition to the receipt
         of such payment or the realization of such benefit that the
         Participant or such other person make arrangements satisfactory to the
         Corporation for payment of the balance of such taxes

                                      10
<PAGE>

         required to be withheld, which arrangements (in the discretion of the
         Board) may include relinquishment of a portion of such benefit.
         Participants shall also make such arrangements as the Corporation may
         require for the payment of any withholding tax obligations that may
         arise in connection with the disposition of shares acquired upon the
         execution of Option Rights. In no event, however, shall the
         Corporation accept Common Shares for payment of taxes in excess of
         required tax withholding rates, except that, in the discretion of the
         Committee, a Participant or such other person may surrender Common
         Shares owned for more than 6 months to satisfy any tax obligations
         resulting from any such transaction.

14.      PARTICIPATION BY EMPLOYEES OF DESIGNATED SUBSIDIARIES. As a condition
         to the effectiveness of any grant or award to be made hereunder to a
         Participant who is an employee of a Designated Subsidiary, whether or
         not such Participant is also employed by the Corporation or another
         Subsidiary, the Board may require such Designated Subsidiary to agree
         to transfer to such employee (when, as and if provided for under this
         Plan and any applicable agreement entered into with any such employee
         pursuant to this Plan) the Common Shares that would otherwise be
         delivered by the Corporation, upon receipt by such Designated
         Subsidiary of any consideration then otherwise payable by such
         Participant to the Corporation. Any such award shall be evidenced by
         an agreement between the Participant and the Designated Subsidiary, in
         lieu of the Corporation, on terms consistent with this Plan and
         approved by the Board and such Designated Subsidiary. All such Common
         Shares so delivered by or to a Designated Subsidiary shall be treated
         as if they had been delivered by or to the Corporation for purposes of
         Section 3 of this Plan, and all references to the Corporation in this
         Plan shall be deemed to refer to such Designated Subsidiary, except
         for purposes of the definition of "Board" and except in other cases
         where the context otherwise requires.

15.      FOREIGN EMPLOYEES. In order to facilitate the making of any grant or
         combination of grants under this Plan, the Board may provide for such
         special terms for awards to Participants who are foreign nationals or
         who are employed by the Corporation or any Subsidiary outside of the
         United States of America as the Board may consider necessary or
         appropriate to accommodate differences in local law, tax policy or
         custom. Moreover, the Board may approve such supplements to or
         amendments, restatements or alternative versions of this Plan as it
         may consider necessary or appropriate for such purposes, without
         thereby affecting the terms of this Plan as in effect for any other
         purpose, and the Secretary or other appropriate officer of the
         Corporation may certify any such document as having been approved and
         adopted in the same manner as this Plan. No such special terms,
         supplements, amendments or restatements, however, shall include any
         provisions that are inconsistent with the terms of this Plan as then
         in effect unless this Plan could have been amended to eliminate such
         inconsistency without further approval by the shareholders of the
         Corporation.

16.      ADMINISTRATION OF THE PLAN. (a) This Plan shall be administered by the
         Board, which may from time to time delegate all or any part of its
         authority under this Plan to a committee of the Board (or subcommittee
         thereof), consisting of not less than three Non-Employee Directors
         appointed by the Board of Directors, each of whom shall be a
         "Non-Employee Director" within the meaning of Rule 16b-3 and an
         "outside director" within the meaning of Section 162(m) of the Code. A
         majority of the committee (or subcommittee thereof) shall constitute a
         quorum, and the action of the members of the committee (or
         subcommittee thereof) present at any meeting at which a quorum is
         present, or acts unanimously approved in writing, shall be the acts of
         the committee (or subcommittee thereof).

         (b)      The interpretation and construction by the Board of any
                  provision of this Plan or of any agreement, notification or
                  document evidencing the grant of Option Rights, Appreciation
                  Rights, Restricted Shares, Deferred Shares, Performance
                  Shares or Performance Units and any determination by the
                  Board pursuant to any provision of this Plan or of any such
                  agreement, notification or document shall be final and
                  conclusive. No member of the Board shall be liable for any
                  such action or determination made in good faith.

                                      11
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17.      CORPORATION'S RIGHTS UPON OCCURRENCE OF DETRIMENTAL ACTIVITY.

                  Any Evidence of Award may provide that if a Participant,
either during employment by the Corporation or a Subsidiary or within a
specified period after termination of such employment, shall engage in any
Detrimental Activity, and the Board shall so find, forthwith upon notice of
such finding, the Participant shall:

         (a)      Return to the Corporation, in exchange for payment by the
                  Corporation of any amount actually paid therefor by the
                  Participant, all Common Shares that the Participant has not
                  disposed of that were offered pursuant to this Plan within a
                  specified period prior to the date of the commencement of
                  such Detrimental Activity, and

         (b)      With respect to any Common Shares so acquired that the
                  Participant has disposed of, pay to the Corporation in cash
                  the difference between:

                  (i)      Any amount actually paid therefor by the Participant
                           pursuant to this Plan, and

                  (ii)     The Market Value per Share of the Common Shares on
                           the date of such acquisition.

To the extent that such amounts are not paid to the Corporation, the
Corporation may set off the amounts so payable to it against any amounts that
may be owing from time to time by the Company or a Subsidiary to the
Participant, whether as wages, deferred compensation or vacation pay or in the
form of any other benefit or for any other reason.

18.      GOVERNING LAW. The Plan and all awards granted and actions taken
         thereunder shall be governed by and construed in accordance with the
         internal substantive laws of the State of Georgia.

19.      AMENDMENTS, ETC. (a) The Board may at any time and from time to time
         amend the Plan in whole or in part; provided, however, that any
         amendment which must be approved by the shareholders of the
         Corporation in order to comply with applicable law or the rules of any
         national securities exchange upon which the Common Shares are traded
         or quoted shall not be effective unless and until such approval has
         been obtained. Presentation of the Plan or any amendment thereof for
         shareholder approval shall not be construed to limit the Corporation's
         authority to offer similar or dissimilar benefits in plans that do not
         require shareholder approval.

         (b)      The Board also may permit Participants to elect to defer the
                  issuance of Common Shares or the settlement of awards in cash
                  under the Plan pursuant to such rules, procedures or programs
                  as it may establish for purposes of this Plan. The Board also
                  may provide that deferred settlements include the payment or
                  crediting of dividend equivalents or interest on the deferral
                  amounts.

         (c)      The Board may condition the grant of any award or combination
                  of awards authorized under this Plan on the surrender or
                  deferral by the Participant of his or her right to receive a
                  cash bonus or other compensation otherwise payable by the
                  Corporation or a Subsidiary to the Participant.

         (d)      In case of termination of employment by reason of death,
                  disability or normal or early retirement, or in the case of
                  hardship or other special circumstances, of a Participant who
                  holds an Option Right or Appreciation Right not immediately
                  exercisable in full, or any Restricted Shares as to which the
                  substantial risk of forfeiture or the prohibition or
                  restriction on transfer has not lapsed, or any Deferred
                  Shares as to which the Deferral Period has not been
                  completed, or any Performance Shares or Performance Units
                  which have not been fully earned, or who holds Common Shares
                  subject to any transfer restriction imposed pursuant to
                  Section 9(b) of this Plan, the Board may, in its sole
                  discretion, accelerate the time at which such Option Right or
                  Appreciation Right may be exercised or the time at which such
                  substantial risk of forfeiture or prohibition or restriction
                  on transfer will lapse or the time when such Deferral Period
                  will end or the time at which such Performance Shares or
                  Performance Units will be deemed to have been fully earned or
                  the time when such transfer restriction will terminate or may
                  waive any other limitation or requirement under any such
                  award.

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         (e)      This Plan shall not confer upon any Participant any right
                  with respect to continuance of employment or other service
                  with the Corporation or any Subsidiary, nor shall it
                  interfere in any way with any right the Corporation or any
                  Subsidiary would otherwise have to terminate such
                  Participant's employment or other service at any time. Prior
                  to exercise of any Option Right, and prior to exercise,
                  payment or delivery pursuant to any other award, the
                  Participant may be required, at the Corporation's request, to
                  certify in a manner reasonably acceptable to the Corporation
                  that the Participant has not engaged in, and has no present
                  intention to engage in the future in, any Detrimental
                  Activity.

         (f)      To the extent that any provision of this Plan would prevent
                  any Option Right that was intended to qualify as an Incentive
                  Stock Option from qualifying as such, that provision shall be
                  null and void with respect to such Option Right. Such
                  provision, however, shall remain in effect for other Option
                  Rights and there shall be no further effect on any provision
                  of this Plan.

20.      TERMINATION. No grant (other than an automatic grant of Reload Option
         Rights) shall be made under this Plan more than 10 years after its
         adoption, subject to approval of this Plan by the shareholders of the
         Corporation at the 2002 Annual Meeting of Shareholders.

                                      13

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