Document:

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                                                                    Exhibit 10.6

                               LICENSE AGREEMENT
                               -----------------

This LICENSE AGREEMENT (this "Agreement") dated as of February 17, 2000, is
entered into by and

BETWEEN:       REGION WALLONNE, a duly constituted region of the Kingdom of
          Belgium, acting through the Ministere de la Region Wallonne, Direction
          generale des Technologies, de la Recherche et de l'Energie, having
          offices at Avenue Prince de Liege, 7, B-5100 Jambes (Namur), Belgium;

               Hereinafter referred to as "LICENSOR";

AND:           ESPERION THERAPEUTICS, INC., a Delaware corporation with a
               principal place of business at 3621 S. State Street, 695 KMS
               Place, Ann Arbor, MI, 48108, USA

               Hereinafter referred to as "LICENSEE".

WITNESSETH:

WHEREAS, LICENSOR has entered into various contracts with U.C.B., pursuant to
which LICENSOR has partly financed a research project led by U.C.B. relating to
Pro-Apolipoprotein A-I and lipid complexes;

WHEREAS, U.C.B. has entered into contracts with subcontractors in the frame of
the above mentioned research project, including CERIA (Brussels, Belgium),
U.L.B. - Service de Genetique Appliquee (Nivelles, Belgium), INVERESK RESEARCH -
HUNTINGDON LIFE SCIENCES (*, United Kingdom), Laboratoire SIMON (*, Belgium) and
KAROLINSKA INSTITUTE (*, Sweden).

WHEREAS, U.C.B. has terminated in 1998 its contracts with LICENSOR;

WHEREAS, as a consequence of this termination, LICENSOR owns or has exclusive
rights to certain patent rights, proprietary information and know-how with
respect to the Compound (as defined below);

WHEREAS, LICENSEE, a company specialised in novel therapies for patients with
atherosclerosis and related metabolic disorders, has an interest in acquiring
exclusive rights to such patent rights, proprietary information and know-how
with respect to the Compound;

WHEREAS, the parties desire to enter into an agreement pursuant to which
LICENSOR shall license to LICENSEE such patent rights, proprietary information
and know-how with respect to the Compound.

NOW, THEREFORE, in consideration of the premises and the mutual covenants
contained
<PAGE>

herein, the parties hereto agree as follows:

                             SECTION 1. DEFINITIONS
                             ----------------------

1.   "Affiliate" means, with respect to any Person, any other Person that
      ---------
     directly, or indirectly through one or more intermediaries, controls or is
     controlled by or is under common control with such Person.

     For purposes hereof, the term "control" (including, with its correlative
                                    -------
     meanings, the terms "controlled by" and "under common control with", with
                          -------------       -------------------------
     respect to any Person, means the possession, directly or indirectly, of the
     power to direct or cause the direction of the management and policies of
     such Person (whether through the ownership of voting securities, by
     contract or otherwise); provided, that in each event in which any Person
                             --------
     owns directly or indirectly more than 50% of the securities having ordinary
     voting power for the election of directors or other governing body of a
     corporation or more than 50% of the securities having ordinary voting power
     for the election of directors or other governing body of a corporation or
     more than 50% of the ownership interest of any other Person, such Person
     shall be deemed to control such corporation or other Person.

     The characterization of a Person as an Affiliate for the purposes of this
     Agreement is not made definitively at the date of execution of this
     Agreement.  Therefore any Person which, during the course of the present
     Agreement, will either fall within this definition while it did not at the
     date of execution of this Agreement or which, alternatively, will no longer
     fall within this definition while it did at that date, shall become or,
     alternatively, cease to be an "Affiliate", for the purposes of this
     Agreement, for the corresponding period.

1.2. "Compound" means Pro-Apolipoprotein A-I.

1.3. "Confidential Information" means any and all information (in any and every
      ------------------------
     form and media) not generally known in the relevant trade or industry,
     which was obtained from any party or any Affiliate thereof in connection
     with this Agreement or the respective rights and obligations of the parties
     hereunder, including, without limitation (a) information to trade secrets
     of such party or any Affiliate thereof, (b) information relating to
     existing or contemplated products, complexes, services, technology,
     designs, processes, formulae, research and development (in any and all
     stages) of such party or any Affiliate thereof, (c) information relating to
     the Compound or the Licensed Products, and (d) information relating to
     business plans, methods of doing business, sales or marketing methods,
     customer lists, customer usages and/or requirements and supplier
     information of such party or any Affiliate thereof.

     However,"Confidential Information" shall not include any information which
              ------------------------
     (i) the receiving party can prove was, at the time of disclosure, generally
     known to the public, (ii) the receiving party can prove became, after
     disclosure, part of the public knowledge (by publication or otherwise)
     other than by breach of this Agreement by the receiving party, (iii) the
     receiving party can prove, by written documentation, was in its possession
     at the time of disclosure and which was not obtained, directly or
<PAGE>

     indirectly, from the other party or any Affiliate thereof, (iv) the
     receiving party can prove by written documentation results from research
     and development by the receiving party or any Affiliate thereof independent
     of disclosures by the other party or any Affiliate thereof or (v) the
     receiving party can prove was obtained from any Person who had the legal
     right to disclose such information, provided that such information was not
                                         --------
     obtained to the knowledge of the receiving party or any Affiliate thereof
     by such Person, directly or indirectly, from the other party or any
     Affiliate thereof on a confidential basis.

1.4. "Control" (including, with its correlative meanings, the term "Controlled
      -------
     by") means, with respect to any Patent Rights or Know-How, the possession
     of the ability to lawfully and validly grant a license or sublicense with
     respect thereto as provided for herein without violating the terms of any
     agreement with, or the rights of, any third Person.

1.5. "Licensed Product" means any product the manufacture, use or sale of which
      ----------------
     (i) would infringe one of the issued, valid unexpired claims or one of the
     pending claims contained in the Patent Rights in any country or (ii)
     involves use of the Know-How.

1.6. "Know-How" means any and all technology, manufacturing and other know-how,
      --------
     technical information, inventions, discoveries, methods and specifications
     relating to the Compound or Pro-Apolipoprotein A-I /lipid complexes owned
     at any time or Controlled by LICENSOR.

     For the purpose of this Agreement, Know-How shall not include any
     technology manufacturing and other know-how, technical information,
     inventions, discoveries, methods and specifications that LICENSEE can prove
     (i) were in its knowledge before September 16, 1999, or (ii) are generally
     known in the relevant circles of research, trade or industry or (iii) part
     of the public domain or knowledge other than by breach of this Agreement by
     Licensee.

1.7. "Net Sales" means, calculated on a quaterly basis, gross receipts received
      ---------
     by LICENSEE and/or its Affiliates and/or its sublicensees for sale of the
     Licensed Products, less the sum of the following (collectively, "Permitted
                                                                      ---------
     Deductions"):
     ----------

     i)   discounts and rebates allowed in amounts customary in the trade;

     ii)  sales taxes, customs and tariff duties and/or use taxes directly
          imposed and with reference to particular sales;

     iii) amounts repaid, allowed or credited on returns;

     iv)  charges of transportation and delivery to Persons that are not
          Affiliates of LICENSEE.

     v)   royalties paid to third parties for license to use Dominant Patents.
          For the purpose of this Agreement, "Dominant Patents" shall mean any
          and all Patents which claim technology the use of which is necessary
          for the production, use and/or practice of the Compound as it is
          disclosed and/or claimed in the Patent Rights.

     In the event of any sale of the Licensed Products by LICENSEE to any
     Affiliate thereof for resale to its customers, "Net Sales" shall be based
                                                     ---------
     on the greater of the amount actually received by LICENSEE from its
     Affiliate or the amount actually received by such Affiliate from its
     customers for the sale of the Licensed Products, less (in either such case)
                                                      ----
     the Permitted Deductions.
<PAGE>

     If LICENSEE or any of its Affiliates sells any Licensed Products in
     combination with other items which are not Licensed Products ("Other
                                                                    -----
     Items") at a single invoice price, "Net Sales" for purposes of computing
                                         ---------
     royalty payments on the combination shall be determined as follows:

     (a) if all Licensed Products and Other Items contained in the combination
     are available separately, "Net Sales" for purposes of computing royalty
                                ---------
     payments shall be determined by multiplying Net Sales of the combination of
     the fraction A/A+B, where A is the selling price of all Licensed Products
     in the combination and B is the selling price of all Other Items in the
     combination;

     (b) if the combination includes Other Items which are not sold separately
     (but all Licensed Products contained in the combination are available
     separately), "Net Sales" for purposes of computing royalty payments shall
                   ---------
     be determined by multiplying Net Sales of the combination by A/C, where A
     is as defined above and C is the selling price of the combination; and

     (c) if neither the Licensed Products nor the Other Items contained in the
     combination are sold separately, "Net Sales" for purposes of computing
                                       ---------
     royalty payments shall be determined by multiplying Net Sales of the
     combination by the fraction D/D+E, where D is the cost of manufacture of
     all Licensed Products in the combination and E is the cost of manufacture
     of all Other Items in the combination, all as reasonably determined by
     LICENSEE;

     provided that LICENSOR shall in no event receive less than 50% of the
     --------
     royalties which would be owed to it in respect of such Licensed Products if
     they had been sold separately and not in combination with other items.

          1.8.  "Patent" means (i) unexpired letters patent (including
                 ------
     inventor's certificates) which have not been held invalid or unenforceable
     by a court of competent jurisdiction from which no appeal can be taken or
     has been taken within the required time period, including, without
     limitation, any substitution, extension, registration, confirmation,
     reissued, re-examination, renewal or any like filing thereof, and (ii)
     pending applications for letters patent, including without limitation any
     continuation, division or continuation-in-part thereof and any provisional
     applications, and any foreign counterparts and all patents that issue
     therefrom.
<PAGE>

          1.9.  "Patent Rights" means all Patents (i) which have issued as of
                 -------------
     the date of this Agreement, a list of which is attached hereto as Appendix
     A, or (ii) which issue at any time from applications pending as of the date
     of this Agreement or subsequently filed worldwide, now owned or Controlled
     during the term of this Agreement, by or on behalf of LICENSOR or any of
     its successors or Affiliates, claiming, in whole or in part, inventions
     necessary or useful to the development, manufacture, purification,
     formulation, use or sale of Compound.

          1.10.  "Person" means any individual, estate, trust, partnership,
                  ------
     joint venture, association, firm, corporation or company, or governmental
     body, agency or official, or any other entity.

          1.11.  "U.S. Dollars" and the sign "$" each mean lawful currency of
     the United States of America.

          1.12.  Numbers are expressed using US number nomenclature (e.g. 1,000
     means one thousand; 0.50 means one half).

          1.13.  Except to the extent the context otherwise requires or as
     otherwise expressly stipulated, words denoting any one gender include all
     other gender and words denoting the singular shall include the plural and
     vice versa.

                                SECTION 2. GRANT
                                ----------------

          2.1.  Grant of License.  Upon the terms and subject to the conditions
                ----------------
     herein stated, LICENSOR hereby grants LICENSEE an exclusive, worldwide
     license under the Patent Rights and Know-How to develop, make, use, import,
     offer for sale and sell, and to have developed, made, used, imported,
     offered for sale and sold, the Licensed Products.

     LICENSEE shall be entitled to grant sublicences. Such right is however
     conditional upon the obligation of LICENSEE to impose on sub-licensees all
     the terms and conditions - save for the financial terms - imposed on
     LICENSEE under this Agreement, including the obligations deriving from
     sections 3.1, 5.3 and 9.1 of this Agreement.

     LICENSEE shall provide LICENSOR with a copy of all sublicense contracts
     executed with sublicensees.

          2.2.  Delivery of Know-How and Required Documentation. LICENSOR shall
                -----------------------------------------------
     promptly deliver to LICENSEE any and all Know-How.

     LICENSOR shall moreover use its best efforts to obtain from UCB a legally
     binding commitment and warranty (hereinafter refferred to as "UCB's
     Warranty) that UCB and /or its Affiliates shall fully disclose and deliver
     to LICENSOR any and all events, data, information, materials and/or records
     related to the Compound or Pro-Apolipoprotein A- I/lipid complexes, to the
     research related thereto and to their
<PAGE>

     development and production, as required by the regulatory agencies
     (hereinafter referred to as the "Required Documentation").

     Without prejudice to the generality of the above, Required Documentation
     shall, for the purpose of this Agreement, include:

 . originals or copies of any and all scientific data and regulatory
        submissions and documentation, manufacturing process, reagents, samples,
        expressions systems, written formulations and other information relevant
        to the Compound or Pro-Apolipoprotein A-I/lipid complexes, and/or to the
        development, manufacture, purification, formulation, use or sale of any
        Licensed Products;

 . originals or copies of any and all such records, data and documentation that
        relates to, or results from, previous arrangements and/or agreements
        between LICENSOR or U.C.B. (and/or any of its Affiliates), on the one
        hand, and third parties (contract research organizations,
        subcontractors, universities, hospitals, researchers, scientists, etc.,
        hereinafter referred to as the "Subcontractors") on the other hand, with
        respect to the Compound research and development (including, without
        limitation, Compound characterization, clinical studies, production,
        formulation, purification and/or preclinical studies);

 . originals or copies of any and all agreements with researchers to which
        LICENSOR and/or U.C.B. (and/or any of its affiliates) is a party or
        otherwise has access and which relate to the Compound.

     LICENSOR shall moreover use its best efforts to obtain from UCB the
     commitment and warranty that (all this being included in UCB's Warranty):

 . U.C.B. and/or it Affiliates shall, upon request of LICENSEE and to the extent
        permitted by such agreements with Subcontractors, assign to LICENSEE any
        and all rights which LICENSOR and/or U.C.B. (and/or its Affiliates) may
        have under any or all such agreements.

 . UCB and/or its Affiliates shall, upon request of LICENSEE, authorize and/or
        direct the Subcontractors to disclose and/or provide to LICENSOR any
        element of the Required Documentation in said Subcontractors possession,
        as the said Subcontractors would do with UCB (and/or its Affiliates) or
        LICENSOR;

 . UCB and/or its Affiliates shall provide LICENSOR with a complete list of all
        the Persons which have possession of the Compound; UCB and/or its
        Affiliates shall provide full and unrestricted access to all records
        related to all hospitals and researchers which have possession of the
        Compound, including without limitation access to any material transfer
        agreements;

 . any Compound or components thereof of UCB (or its Affiliates) that is in
        storage or in the possession of others shall be and become the property
        of LICENSOR;

 . all Required Documentation possessed or Controlled by UCB, or that UCB is or
        should be aware of, have been fully disclosed and delivered to LICENSOR.

     LICENSEE shall pay for shipment of all records, data, documentation and
     Compound or components thereof to be delivered by LICENSOR pursuant to this
     Section 2.2. and which exist prior the date of this Agreement, to a
     location determined by LICENSEE.  If this Agreement terminates prior to its
     contractual term for any reason (other than due to an Event of Default on
     the part of LICENSOR), LICENSEE shall pay for return of such records, data,
     documentation, Compound and components thereof to a location in Belgium
     specified by LICENSOR.
<PAGE>

     LICENSOR shall use its best efforts to obtain UCB to execute UCB's Warranty
     at the latest 30 days following the execution of this Agreement. If
     LICENSOR fails to submit an original copy of UCB's Warranty at the latest
     30 days following the execution of this Agreement, LICENSEE shall have the
     right to terminate this Agreement by giving written notice thereof to
     LICENSOR. The termination shall than be immediate and without any period of
     notice or compensation whatsoever to be paid to LICENSOR or LICENSEE.

     All amounts to be paid by LICENSEE to LICENSOR and which become due during
     a period of time of 30 days starting on the date of this Agreement, shall
     be paid on an escrow account. In case of termination of the Agreement by
     LICENSEE pursuant to this article, the amounts paid on the escrow account
     shall immediatly be released and reimbursed to LICENSEE with interest if
     any.

     Upon execution of UCB's Warranty by UCB, LICENSOR shall have, towards
     LICENSEE, the same obligations as UCB shall have towards LICENSOR with
     respect to the disclosure and delivery of the Required Documentation. In no
     case shall the obligations of LICENSOR towards LICENSEE be greater than
     those of UCB towards LICENSOR, even if UCB fails to execute UCB's Warranty
     as hereabove defined.

     LICENSOR moreover represents and warrants to LICENSEE that LICENSOR shall
     disclose and deliver to LICENSEE any and all Required Documentation that
     LICENSOR has received or shall receive from UCB (and/or its Affiliates) or
     from any Person at any time.

     Without prejudice to section 4.7. of this Agreement, shall transfer and as
     soon as practicably possible deliver to LICENSEE, at the location(s)
     specified by LICENSEE, all of its existing supplies and materials relating
     to the Compound and/or any Licensed Products, including without limitation,
     the Compound, finished products, intermediates and formulation materials,
     master cell lines, antibodies and any available custom-designed reagents.
     LICENSEE shall pay cost of shipment and transfer.

                            SECTION 3. DUE DILIGENCE
                            ------------------------

     3.1.  Due Diligence.  LICENSEE shall use commercially reasonable efforts in
           -------------
     such portions of the Territory as is commercially reasonable, but at a
     minimum in the United States, to pursue the development of the Compound,
     including the necessary manufacturing, process development, preclinical and
     clinical trials and preparation and prosecution of regulatory submissions,
     and ultimately shall use its reasonable good faith efforts to pursue
     commercialization of the Compound, either on its own or in conjunction with
     one or more other Persons, as determined by LICENSEE.

     3.2.  Future Agreements.  While not being bound to reach or enter into any
           -----------------
     further or other agreement, with the exception provided in Section 4.6. of
     this Agreement, LICENSEE agrees that (a) it shall use best efforts to
     collaborate with known investigators in the Wallonne Region of Belgium with
     respect to development of the Compound and (b) it shall use good faith
     efforts to negotiate a supply agreement with
<PAGE>

     a manufacturer preferably in the Wallonne Region but otherwise in Belgium
     to produce the Compound, so long as the terms of such supply arrangement
     are economically feasible and such manufacturer is capable of manufacturing
     the Compound in accordance with specifications, applicable law and good
     manufacturing practices and on a timely basis.

                    SECTION 4. ROYALTIES AND OTHER PAYMENTS
                    ---------------------------------------

     4.1.  Initial licence fee. LICENSEE shall pay to LICENSOR an initial
           -------------------
     licence fee of $ 25,000, which initial fee shall be paid on the escrow
     account described in Section 2.2. of this Agreement, within 10 days after
     the execution of the Agreement.

     4.2.  Royalties.  For the rights, privileges and licenses granted
           ---------
     hereunder, LICENSEE shall pay to LICENSOR royalties in the amount of (a)
     two percent (2%) of the first $300 Million in Net Sales and (b) three
     percent (3%) of Net Sales above $300 Million.

     4.3.  Limitation on Royalties.  Notwithstanding anything to the contrary
           -----------------------
     contained herein, (a) no royalties shall be payable by LICENSEE with
     respect to the Net Sales of the Licensed Products to any of its Affiliates
     or by any of LICENSEE's Affiliates to any other Affiliate thereof, and (b)
     no multiple royalties shall be payable in the event that any of the
     Licensed Products or the manufacture, use or sale thereof is covered by
     more than one patent included in the Patent Rights.

     4.4.  Unlicensed Competition.  LICENSEE shall promptly notify LICENSOR in
           ----------------------
     writing of any substantial unlicensed competition by any Person (a

     "Competitor") making, selling or using a product in any geographic area
     -----------
     which product infringes one or more valid current claims included in the
     Patent Rights with respect to which LICENSEE has an obligation to pay
     royalties to LICENSOR hereunder.

     Upon receipt of any such notice, LICENSOR shall use reasonable efforts to
     cause such infringement by the Competitor to terminate.

     In the event that the infringement by the Competitor described in the
     notice shall not have terminated within six months after the receipt of
     such notice by LICENSOR, (a) the royalties otherwise payable by LICENSEE
     hereunder shall be abated by *% of the amount otherwise payable with
     respect to the manufacture, sale and use of the Licensed Products affected
     thereby in the country or countries in which such infringement has occurred
     (but only in such country or countries, and not elsewhere), until such
     infringement shall have terminated and (b) LICENSEE shall have the right to
     commence and prosecute such legal proceedings and LICENSOR shall assist and
     cooperate in any such proceedings so commenced by LICENSEE (including, but
     not limited to, through becoming a party to the proceedings in the
     countries where that would be mandatory or desirable).

     In the event that any royalties are so abated and LICENSEE so prosecutes
     such legal proceedings with respect to the affected Patent Rights and
     recovers any monetary damages by final, nonappealable court judgment or
     order, then after payment of all costs and expenses of LICENSEE in
     prosecuting such proceeding (including, but not
<PAGE>

     limited to, attorney fees), LICENSEE and LICENSOR shall divide any
     remaining portion of such monetary damages equally between them; provided
                                                                     ---------
     that the amount to be paid to LICENSOR pursuant to this sentence shall not
     exceed the amount of royalties so abated and all amounts of damages in
     excess of such amount so abated shall be paid solely to LICENSEE.

     4.5.  Withholding Taxes.  The parties acknowledge and agree that there may
           -----------------
     be deducted from any payments or royalties otherwise due and payable
     hereunder any taxes or other payments required to be withheld under
     applicable law with respect to such payments or royalties or otherwise
     relating to the Licensed Products.

     4.6.  Upon execution of this Agreement, LICENSEE shall enter into a
     research collaboration with Professor Alex Bollen of the Universite Libre
     de Bruxelles for an estimated amount of $50,000 for the first year.  The
     terms of such research collaboration agreement will be as mutually agreed
     upon by LICENSEE and such Professor and the Universite.  LICENSEE shall
     have the option to renew this agreement annually thereafter.

     4.7.  LICENSEE shall pay $ 10,000 to LICENSOR for the supply of the entire
     quantity of Compound (approximately 100 grams) currently being stocked in
     CERIA (Brussels), as such quantity does not meet reasonable specifications
     (as defined by LICENSEE and similar to UCB Company and its Affiliates
     specifications for its clinical trials). LICENSEE shall be entitled to take
     possession of the above quantity of Compound upon execution of the
     Agreement, at no cost to LICENSOR.

                 SECTION 5. PAYMENT OF ROYALTIES, ACCOUNTING
                 -------------------------------------------
                          FOR ROYALTIES, RECORDS, ETC
                         ---------------------------

     5.1.  Payment.  Royalties payable hereunder shall be paid within 30 days
           -------
     after the end of each calendar quarter, based on the Net Sales of the
     Licensed Products by LICENSEE and its  Affiliates during the preceding
     calendar quarter.  Such payments shall be accompanied by a statement
     setting forth the Net Sales of the Licensed Products.

     5.2.  Accounting; Foreign Currency.  The aggregate amount of the Net Sales
           ----------------------------
     of the Licensed Products used for computing the royalties payable hereunder
     shall be computed in U.S. Dollars, and all payments of such royalties shall
     be made in U.S. Dollars.  For purposes of determining the amount of
     royalties due, the amount of the Net Sales of the Licensed Products in any
     foreign currency shall be computed by converting such amounts into U.S.
     Dollars at the  prevailing commercial rate of exchange for purchasing U.S.
     Dollars, as quoted in The Wall Street Journal, on the last business day of
     the calendar quarter with respect to which such royalty payment is payable
     hereunder.

     5.3.  Records.  LICENSEE and its Sublicensees shall keep for five (5) years
           -------
     complete and accurate records of the Net Sales of the Licensed Products
     sold by LICENSEE and its Affiliates and/or its Sublicensees in sufficient
     detail to allow the royalties payable by LICENSEE to be accurately
     determined.
<PAGE>

     LICENSOR shall have the right for a period of five (5) years after
     receiving any report or statement with respect to royalties due and payable
     hereunder by LICENSEE to appoint an independent accounting firm, reasonably
     acceptable to LICENSEE, to inspect and audit the relevant records of
     LICENSEE and its Affiliates and/or its Sublicensees to verify such report
     or statement.

     LICENSEE, its Affiliates and Sublicensees shall make their records
     available for inspection and audit by such independent accounting firm
     during regular business hours at such place or places where such records
     are customarily kept, upon reasonable notice to LICENSEE, to the extent
     reasonably necessary to verify the accuracy of the reports and payments
     required hereunder.

     The cost of any such inspection and audit shall be paid by LICENSOR unless
     such inspection and audit discloses for any calendar quarter examined that
     there shall have been a discrepancy of greater than five percent (5%)
     between the royalties payable hereunder by LICENSEE and the royalties
     actually paid by LICENSEE with respect to such calendar quarter, in which
     case LICENSEE shall be responsible for the payment of the entire cost of
     such inspection and audit.

                         SECTION 6. PATENT PROSECUTION
                         -----------------------------

     6.1.  Prosecution Obligation. LICENSEE shall on behalf of LICENSOR apply
           ----------------------
     for, seek prompt issuance of, and maintain during the term of this
     Agreement any and all Patent Rights in countries in North America and
     Western Europe, in Japan, and in any other country in which LICENSEE
     desires to apply for, prosecute and/or maintain Patent Rights on behalf of
     LICENSOR.

     All reasonable costs and expenses of the prosecution and maintenance of
     such Patent Rights shall be paid by LICENSEE.

     LICENSOR shall render reasonable assistance to LICENSEE in filing and
     prosecuting such applications and maintaining the Patent Rights whenever
     requested to do so, at LICENSEE's expense.

     In the event that LICENSEE intends to cease prosecution of or otherwise
     abandon any Patent Rights in any geographic area, LICENSEE shall so notify
     LICENSOR and LICENSOR shall thereafter have the right to prosecute and
     maintain such Patent Rights in such geographic area by itself and at its
     own expense.

                   SECTION 7. REPRESENTATIONS AND WARRANTIES
                   -----------------------------------------

     7.1.  By LICENSEE.  LICENSEE hereby represents and warrants to LICENSOR
           ------------
     that (a) LICENSEE has full legal right, power and authority to execute,
     deliver and perform its obligations under this Agreement, (b) the
     execution, delivery and performance by LICENSEE of this Agreement do not
     contravene or constitute a default under any provision of applicable law or
     its articles or by-laws (or equivalent documents) or of any agreement,
     judgment, injunction, order, decree or other instrument binding upon
     LICENSEE, (c) all licenses, consents, authorizations and
<PAGE>

     approvals, if any, required for the execution, delivery and performance by
     LICENSEE of this Agreement have been obtained and are in full force and
     effect and all conditions thereof have been complied with, and no other
     action by or with respect to, or filing with, any governmental authority or
     any other Person is required in connection with this execution, delivery
     and performance by LICENSEE of this Agreement, and (d) this Agreement
     constitutes a valid and binding agreement of LICENSEE, enforceable against
     LICENSEE in accordance with its terms.

     7.2.  By LICENSOR.  LICENSOR hereby represents and warrants to LICENSEE
           -----------
     that (a) LICENSOR has full legal right, power and authority to execute,
     deliver and perform its obligations under this Agreement, (b) the
     execution, delivery and performance by LICENSOR of this Agreement do not
     contravene or constitute a default under any provision of applicable law or
     of any agreement, judgment, injunction, order, decree or other instrument
     binding upon LICENSOR or otherwise relating to the Compound, the Patent
     Rights or the Know-How, (c) all licenses, consents, authorizations and
     approvals, if any, required for the execution, delivery and performance by
     LICENSOR of this Agreement have been obtained and are in full force and
     effect and all conditions thereof have been complied with, and no other
     action by or with respect to, or filing with, any governmental authority or
     any other Person is required in connection with the execution, delivery and
     performance by LICENSOR of this Agreement, (d) LICENSOR is the exclusive
     owner of all legal and beneficial right, title and interest in and to the
     Patent Rights and the Know-How, free and clear of any lien, claim or
     encumbrance or rights of any other Person, (e) US Patents No 4,760,022 and
     No 4,757,013 (and their counterparts in other countries) disclose and claim
     technology the use of which is necessary for the production, use and/or
     practice of the Compound as it is disclosed and/or claimed in the Patent
     Rights, (f) to the best knowledge of LICENSOR, neither the practice of
     Patent Rights and/or  Know-How as contemplated by Section 2.1 hereof, nor
     the development, manufacture, use, importation, offer for sale, sale or
     commercialization of any Licensed Product, infringes or violates any patent
     or other right of any Person, except as disclosed in point (e) hereabove
     (g) this Agreement constitutes a valid and binding agreement of LICENSOR,
     enforceable against LICENSOR in accordance with its terms.

     7.3.  Survival of Representations and Warranties.  The representations and
           ------------------------------------------
     warranties contained herein shall survive the execution, delivery and
     performance of this Agreement by the parties, notwithstanding any
     investigation at any time made by or on behalf of any party or parties.

                  SECTION 8. INFRINGEMMENT AND INDEMNIFICATION
                  --------------------------------------------

     8.1.  Infringement Claims.  Without prejudice to article 4.4, each party
           -------------------
     shall promptly advise the other party of any infringements or suspected
     infringements of any Patent Rights of which such party becomes aware, and
     each party shall cooperate with and assist the other party in any action
     undertaken by the other party for the defense of infringement of any Patent
     Rights by any Person or for the defense of any claim that the Patent Rights
     infringe the rights of any other Person.  In such case, the other party
     shall retain the right to elect, in its sole discretion, which remedies to
     adopt.
<PAGE>

     8.2.  Indemnification
           ---------------

     8.2.1. Indemnification by LICENSEE.  LICENSEE hereby agrees that it shall
            ---------------------------
     be responsible for, indemnify, hold harmless and defend LICENSOR and its
     Affiliates and heirs, successors and assigns (collectively, the "LICENSOR
                                                                      --------
     Indemnitees"), from and against any and all claims, demands, losses,
     -----------
     liabilities, damages, costs and expenses (including the cost of settlement,
     reasonable legal and accounting fees and any other expenses for
     investigating or defending any actions or threatened actions)
     (collectively, "Losses") suffered or incurred by any LICENSOR Indemnitee
                     ------
     arising out of, relating to, resulting from or in connection with (a) the
     breach of any representation or warranty made by LICENSEE herein, (b) the
     default by LICENSEE in the performance or observance of any of its
     obligations to be performed or observed hereunder, and (c) any action, suit
     or other proceeding, or compromise, settlement or judgment, relating to any
     of the foregoing matters with respect to which LICENSOR Indemnitees are
     entitled to indemnification hereunder.

     The foregoing shall not apply to the extent that such Losses are due to the
     willful misconduct or gross negligence of any of the LICENSOR Indemnitees.

     8.2.2. Indemnification by LICENSOR.  LICENSOR hereby agrees that it shall
            ---------------------------
     be responsible for, indemnify, hold harmless and defend LICENSEE and its
     Affiliates and heirs, successors and assigns (collectively, the "LICENSEE
                                                                      --------
     Indemnitees"), from and against any and all losses suffered or incurred by
     -----------
     any LICENSEE Indemnitee arising out of, relating to, resulting from or in
     connection with (a) the breach of any representation or warranty made by
     LICENSOR herein, (b) the default by LICENSOR in the performance or
     observance of any of its  obligations to be performed or observed
     hereunder, and (c) any action, suit or other proceeding, or compromise,
     settlement or judgment, relating to any of the foregoing matters with
     respect to which LICENSEE Indemnitees are entitled to indemnification
     hereunder.

     The foregoing shall not apply to the extent that such Losses are due to the
     willful misconduct or gross negligence of any of the LICENSEE Indemnitees.

     8.2.3. Notice of Claims.  In the event that a claim is made pursuant to
            ----------------
     Section 8.2.1 or 8.2.2 above against any party which seeks indemnification
     hereunder (the "Indemnitee"), the Indemnitee agrees to promptly notify the
                     ----------
     other party (the "Indemnitor") of such claim or action and, in the case of
                       ----------
     any claim by a third Person against the Indemnitee, the Indemnitor may, at
     its option, elect to assume control of the defense of such claim or action;

     provided, however, that (a) the Indemnitee shall be entitled to participate
     --------  -------
     therein (through counsel of its own choosing) at the Indemnitee's sole cost
     and expense, and (b) the Indemnitor shall not settle or compromise any such
     claim or action without the prior written consent of the Indemnitee, unless
     such settlement or compromise includes a general release of the Indemnitee
     and all of the other LICENSOR Indemnitees or LICENSEE Indemnitees, as the
     case may be, from any and all liability with respect thereto.

     8.2.4. Survival of Indemnification Duties.  The indemnification duties
            ----------------------------------
     contained herein shall survive the execution, delivery and performance of
     this Agreement by the
<PAGE>

     parties, notwithstanding any investigation at any time made by or on behalf
     of any party or parties.

                           SECTION 9. CONFIDENTIALITY
                           --------------------------

     9.1.  Confidentiality.  The parties each recognize that the Confidential
           ---------------
     Information of the other party and any and all Affiliates thereof
     constitutes valuable confidential and proprietary information.

     Accordingly, the parties each agree that they and their respective
     Affiliates shall, during the term of this Agreement and for a period of
     five (5) years after the termination hereof for any reason, hold in
     confidence all Confidential Information of the other party (including this
     Agreement and the terms hereof) and not use the same for any purpose other
     than as set forth in this Agreement nor disclose the same to any other
     Person except to the extent that it is necessary for such party to enforce
            ------
     its rights under this Agreement or if required by law or any governmental
     authority (including, without limitation, any stock exchange upon which
     such party's shares or other equity securities may be traded); provided,
                                                                    --------
     however, if any party shall be required by law to disclose any such
     -------
     Confidential Information to any other Person, such party shall give prompt
     written notice thereof to the other party and shall minimize such
     disclosure to the amount required.

     Notwithstanding the foregoing, LICENSOR shall be entitled to disclose to
     U.C.B. that this Agreement has ben executed by the parties as well as the
     amount of  royalties paid by LICENSEE to LICENSOR pursuant to this
     Agreement.

     Notwithstanding the foregoing, either party may disclose Confidential
     Information of the other (a) to such party's attorneys, accountants and
     other professional advisors under an obligation of confidentiality to such
     party, (b) to such party's banks or other financial institutions or venture
     capital sources for the purpose of raising capital or borrowing money or
     maintaining compliance with agreements, arrangements and understandings
     relating thereto, and (c) to any Person who proposes to purchase or
     otherwise succeed (by merger, operation of law or otherwise) to all of such
     party's right, title and interest in, to and under this Agreement, if such
     Person agrees to maintain the confidentiality of such Confidential
     Information pursuant to a written agreement in form and substance
     reasonably satisfactory to the parties.

     The standard of care required to be observed hereunder shall be not less
     than the degree of care which each party or Affiliate thereof uses to
     protect its own information of a confidential nature.

     Parties shall procure that all their employees, counsels, agents,
     directors, sub-licensees and/or subcontractors which have access to the
     Confidential Information shall be bound and shall comply with the same
     confidentiality undertakings.

                SECTION 10. INTELLECTUAL PROPERTY; IMPROVEMENTS
                -----------------------------------------------
<PAGE>

     10.1.  Rights to Proprietary Technology. Neither party shall through this
            --------------------------------
     Agreement obtain any rights to the other party's proprietary technology
     except for such rights that are expressly granted or allocated under this
     Agreement.

     10.2.  Improvements and filing. Prosecution and Maintenance of Patents.
            ----------------------------------------------------------------

     10.2.1. Any improvement to the Patent Rights, the Know-How or any Licensed
     Product discovered or developed by any party during the term of this
     Agreement shall be owned solely by LICENSEE, provided that in the event
                                                  --------
     that any improvement to the Patent Rights, the Know-How or any Licensed
     Product is owned or controlled by a third party, LICENSOR shall provide
     assistance to LICENSEE in obtaining rights to such improvement from such
     third party.

     10.2.2. In the event that any improvements owned by LICENSEE are deemed
     patentable, Licensee shall be entitled to file and prosecute patent
     applications related thereto and maintain patents issued thereon, in its
     own name and at its own cost.  LICENSOR shall render reasonable assistance
     to LICENSEE in filing such applications whenever requested to do so, at
     LICENSEE's sole cost and expense.  LICENSOR agrees to sign and execute such
     forms and documents as may be reasonably requested by LICENSEE as being
     necessary or desirable to vest or confirm in Licensee  to all such
     improvements owned by LICENSEE.

                      SECTION 11. LIMITATIONS ON LIABILITY
                      ------------------------------------

     11.1.  No Warranties.  Except as expressly set forth in Section 7 hereof,
            -------------
     neither party makes any representations or warranties as to any matter
     whatsoever.  Each party hereby disclaims any and all other representations
     and warranties, express or implied, with respect to the Patent Rights, the
     Know-How and the Licensed Products, including, without limitation, any
     warranties of merchantability or fitness for any particular purpose.

     11.2.  Limitation of Liability.  Under no circumstances shall either party
            -----------------------
     be liable to the other party or any other person for any loss of profits or
     special, consequential or indirect damages of any kind whatsoever.

     11.3.  Force Majeure.  No party shall be liable for failure or delay in
            -------------
     performing any of its obligations hereunder if such failure or delay is
     occasioned by compliance with any governmental regulation, request or
     order, or by circumstances beyond the reasonable control of the party so
     failing or delaying, including, without limitation, Acts of God, war,
     insurrection, fire, flood, accident, labor strikes, work stoppage or
     slowdown (whether or not such labor event is within the reasonable control
     of the parties), or inability to obtain raw materials, supplies, power or
     equipment necessary to enable such party to perform its obligations
     hereunder.

     Each party shall (a) promptly notify the other party in writing of any such
     event of force majeure, the expected duration thereof and its anticipated
     effect on the ability of such party to perform its obligations hereunder,
     and (b) make reasonable efforts to remedy any such event of force majeure.
<PAGE>

                    SECTION 12. NON USE OF NAMES; INSURANCE
                    ---------------------------------------

     12.1.   Non-Use of Names.  Neither party shall use the name of the other
             ----------------
     party nor the name of any of Affiliates or employees of such other party,
     nor any adaptation thereof, in any advertising, promotional or sales
     literature without prior written consent obtained from such other party in
     each case (which consent shall not be unreasonably withheld or delayed).

     12.2.   Insurance.  LICENSEE agrees to obtain and maintain in effect, from
             ---------
     and after the first commercial sale of the Licensed Products, product
     liability insurance coverage relating to the marketing and sale of the
     Licensed Products consistent with industry standards for similar companies;

     provided that such coverage can be obtained on commercially reasonable
     --------
     terms.

     LICENSOR shall be an additional named insured under such coverage so long
     as it can be named without unreasonable expense to LICENSEE.

                        SECTION 13. TERM AND TERMINATION
                        --------------------------------

     13.1.  Term.  This Agreement shall be effective from the date of its
            ----
     execution by the parties and, unless sooner terminated in accordance with
     the provisions of this Section 13, shall continue until the later to occur
     of (i) 20 years from the date of this Agreement or (ii) the last to expire
     of any Patent included within the Patent Rights.

     13.2.  Events of Default.  Each party shall have the right to terminate
            -----------------
     this Agreement upon the occurrence of any of the following events (each, an
     "Event of Default") with respect to the other party (the "Defaulting
      ----------------                                         ----------
     Party"): (a) a decree or order shall have been entered by a court of
     competent jurisdiction adjudging the Defaulting Party bankrupt or
     insolvent, or approving as properly filed a petition seeking
     reorganization, readjustment, arrangement, composition or similar relief
     for the Defaulting Party under any bankruptcy law or any other similar
     applicable statute, law or regulation, or a decree or order of a court of
     competent jurisdiction shall have been entered for the appointment of a
     receiver or liquidator or trustee or assignee in bankruptcy or insolvency
     of the Defaulting Party or a substantial part of its property, or for the
     winding up or liquidation of its affairs; or (b) the Defaulting Party shall
     institute proceedings to be adjudicated a voluntary bankrupt, or shall
     consent to the filing of a bankruptcy petition against it, or shall file a
     petition or answer or consent seeking reorganization, readjustment,
     arrangement, composition, liquidation or similar relief under any
     bankruptcy law or any other similar applicable statute, law or regulation,
     or shall consent to the appointment of a receiver or liquidator or trustee
     or assignee in bankruptcy or insolvency of it or of a substantial part of
     its property, or shall make an assignment for the benefit of creditors, or
     shall be unable to pay its debts generally as they become due; or (c) the
     Defaulting Party shall commit a serious breach of the terms of this
     Agreement and the same and all of its effects shall not be remedied within
     30 days after written notice thereof is given by the other party to the
     Defaulting Party.  The failure by LICENSEE to pay LICENSOR any royalties or
     other payments when due and payable in accordance with the provisions of
     Section 4 hereof shall be deemed a serious breach of this Agreement.
<PAGE>

     13.3.  Termination.  Each party may terminate this Agreement upon the
            -----------
     occurrence of any Event of Default by giving written notice thereof to the
     other party, which notice shall specifically identify the reason(s) for
     such termination.

     13.4.  Consequences of Termination.  Upon the termination of this
            ---------------------------
     Agreement, all rights, privileges and licenses granted by LICENSOR to
     LICENSEE hereunder, shall revert to LICENSOR.

     The termination of this Agreement for any reason shall be without prejudice
     to (i) the right of LICENSOR to receive all amounts accrued under Section 4
     hereof prior to the effective date of such termination, (ii) the rights and
     obligations of the parties pursuant to Sections 6, 8 and 9 hereof, and
     (iii) any other remedies as may now or hereafter be available to any party,
     whether under this Agreement or otherwise.

     Upon the termination of this Agreement (a) LICENSEE and its Affiliates and
     sublicensees shall immediately discontinue the manufacture, use and sale of
     the Licensed Products, (b) each party and its Affiliates shall immediately
     cease the use of all Confidential Information obtained from the other party
     or any Affiliate thereof and (c) such Confidential Information shall be
     immediately returned to the party to which it belongs.

                           SECTION 14. MISCELLANEOUS
                           -------------------------

     14.1.  Notices.  All notices, reports and/or other communications made in
            -------
     accordance with this Agreement, shall be deemed to be duly made or given
     (i) when delivered by hand, (ii) three days after being mailed by
     registered or certified mail (air mail if mailed oversees), return receipt
     requested, or (iii) when received by the addressee, if sent by facsimile
     transmission or by Express Mail, Federal Express or other express delivery
     service (receipt requested), in each case addressed to such party at its
     address set forth below (or to such other address as such party may
     hereafter designate as to itself by notice to the other party hereto):

          In case of the LICENSEE:

               Esperion Therapeutics, Inc.
               Attention: President
               3621 S. State Street
               695 KMS Place
               Ann Arbor, MI 48108 USA
               Telecopier: (734) 332-0516

               with a copy to:

               Sills Cummis Radin Tischman
               Epstein & Gross, P.A.
               Attention: Ira A. Rosenberg, Esq.
               One Riverfront Plaza
               Newark, New Jersey 07102
               Telecopier: (973) 643-6500
<PAGE>

          In the case of LICENSOR:

               Ministere de la Region Wallonne
               Attention: Ministre
               Direction Generale des Technologies, de la Recherche et de
               l'Energie
               avenue Prince de Liege, 7
               B-5100 JAMBES - Belgium
               Telecopier: 32.81.30.66.00

     14.2.  Amendments, etc..  This Agreement may not be amended or modified,
            ----------------
     nor may any right or remedy of any party be waived, unless the same is in
     writing and signed by such party or a duly authorized representative of
     such party.  The waiver by any party of the breach of any term or provision
     hereof by any other party shall not be construed as a waiver of any other
     subsequent breach.

     14.3.  No Waiver; Remedies.  No failure or delay by any party in exercising
            -------------------
     any of its rights or remedies hereunder shall operate as a waiver thereof,
     nor shall any single or partial exercise of any such right or remedy
     preclude any other or further exercise thereof or the exercise of any other
     right or remedy.  The rights and remedies of the parties provided in this
     Agreement are cumulative and not exclusive of any rights or remedies
     provided by law.

     14.4.  Successors and Assigns.  This Agreement shall be binding upon and
            ----------------------
     inure to the benefit of the parties and their respective heirs, legal
     representatives, successors and permitted assigns; provided that, except as
                                                        --------
     expressly provided herein, neither party may assign or otherwise transfer
     this Agreement or any of its rights, duties or obligations hereunder
     without the prior written consent of the other party.

     14.5.  Relationship of Parties.  LICENSEE and LICENSOR are not (and nothing
            -----------------------
     in this Agreement shall be construed to constitute them) partners, joint
     venturers, agents, representatives or employees of the other party, nor to
     create any relationships between them other than that of an independent
     contractor.  Neither party shall have any responsibility nor liability for
     the actions of the other party except as specifically provided herein.
     Neither party shall have any right or authority to bind or obligate the
     other party in any manner or make any representation or warranty on behalf
     of the other party.

     14.6.  Expenses.  Unless otherwise provided herein, all costs and expenses
            --------
     incurred in connection with this Agreement and the transactions
     contemplated hereby shall be paid by the party which shall have incurred
     the same and the other party shall have no liability relating thereto.

     14.7.  Entire Agreement.  This Agreement constitutes the entire agreement
            ----------------
     between the parties and supersedes all prior proposals, communications,
     representations and agreements, whether oral or written, with respect to
     the subject matter hereof.

     14.8.  Severability.  Any term or provision of this Agreement which is
            ------------
     invalid or unenforceable in any jurisdiction shall, as to such
     jurisdiction, be ineffective to the extent of such invalidity or
     unenforceability without rendering invalid or
<PAGE>

     unenforceable the remaining terms and provisions of this Agreement or
     affecting the validity or enforceability of any of the terms or provisions
     hereof in any other jurisdiction.

     14.9.  Counterparts.  This Agreement may be signed in any number of
            ------------
     counterparts, each of which shall be deemed an original, with the same
     effect as if the signatures thereto and hereto were upon the same
     instrument.

     14.10.  Headings.  The headings used in this Agreement are for convenience
             --------
     of reference only and shall not affect the meaning or construction of this
     Agreement.

     14.11.  Governing Law.   This Agreement, including the performance and
             -------------
     enforceability hereof, shall be governed by and construed in accordance
     with the laws of the State of Belgium, without reference to choice of law
     doctrine.

     Any dispute arising between the parties in connection with this Agreement,
     including its existence, conclusion, validity, interpretation, performance
     or termination, and which cannot be amicably resolved by the Parties, shall
     be finally settled under the Rules of Conciliation and Arbitration of the
     International Chamber of Commerce by one or more arbitrators appointed in
     accordance with the said Rules. The place of arbitration shall be Paris
     (France). The proceedings shall be conducted in English.

     IN WITNESS WHEREOF, the parties have executed this Agreement as of the date
     first written above.

                              ESPERION THERAPEUTICS, INC.

                              By: /s/ Roger S. Newton
                                 ---------------------------
<PAGE>

                              REGION WALLONNE
                              of the Kingdom of Belgium

By: ____________________________<PAGE>

                                                         Exhibit 10.2
                                               Chicago Mercantile Exchange Inc.
                                              Registration Statement on Form S-4

                          CHICAGO MERCANTILE EXCHANGE
             SENIOR MANAGEMENT SUPPLEMENTAL DEFERRED SAVINGS PLAN
             ----------------------------------------------------

<PAGE>

                               TABLE OF CONTENTS
                               -----------------

SECTION 1......................................................................1
     General...................................................................1
          History, Purpose and Effective Date..................................1
          Administration.......................................................1
          Plan Year............................................................1
          Source of Benefit Payments...........................................1
          Expenses.............................................................2
          Effect on Other Benefit Plans........................................2
          Applicable Laws......................................................2
          Gender and Number....................................................2
          Notices..............................................................2
          Evidence.............................................................2
          Action by Exchange...................................................2

SECTION 2......................................................................3
     Participation.............................................................3
          Participant..........................................................3
          Plan Not Contract of Employment......................................3

SECTION 3......................................................................3
     Deferred Compensation; Plan Accounting....................................3
          Deferred Compensation Accounts.......................................3
          Deferral Election....................................................4
          Matching Credits.....................................................4
          Cash Balance Plan and TESP Make-Whole Credits........................4
          Adjustment of Accounts...............................................5

SECTION 4......................................................................5
     Payment of Plan Benefits..................................................5
          Vesting..............................................................5
          Termination of Employment............................................5
          Hardship Distributions...............................................6
          Beneficiary Designation..............................................6
          Distributions to Disabled Persons....................................6
          Benefits May Not be Assigned.........................................7
          Withholding for Tax Liability........................................7

SECTION 5......................................................................7
     Amendment and Termination.................................................7
          Administrative Amendments............................................7
          Amendments and Termination...........................................7

                                       i
<PAGE>

                          CHICAGO MERCANTILE EXCHANGE
             SENIOR MANAGEMENT SUPPLEMENTAL DEFERRED SAVINGS PLAN
             ----------------------------------------------------

                                   SECTION 1
                                   ---------

                                    General
                                    -------

     1.1. History, Purpose and Effective Date. The Chicago Mercantile
Exchange, an Illinois not-for-profit corporation (the "Exchange"), has
maintained the Chicago Mercantile Exchange Senior Management Supplemental
Deferred Savings Plan (the "Plan") to provide a select group of its key
management employees with the opportunity to defer receipt of compensation and
receive additional retirement income from the Exchange. The following
provisions constitute an amendment, restatement, and continuation of the Plan,
effective as of January 1, 1993 (the "Effective Date"). The Plan is intended to
constitute a plan maintained primarily for the purpose of providing deferred
compensation for a select group of management or highly compensated employees
within the meaning of sections 201(2), 301(a)(3), and 401(a)(1) of the Employee
Retirement Income Security Act of 1974, as amended ("ERISA").

     1.2. Administration. The Exchange is the Plan Administrator of the Plan.
The Plan Administrator may delegate all or any part of its responsibilities and
powers to any person or persons selected by it. Any such delegation may be
revoked at any time. Until the Plan Administrator takes action to the contrary,
the President of the Exchange shall be delegated the power and responsibility to
take all actions assigned to or permitted to be taken by the Plan Administrator
under Sections 3 and 4 hereof. The Secretary of the Exchange (or, on behalf
of the Secretary of the Exchange, any Corporate Secretary or Assistant
Secretary) shall certify to any interested person the names of the employees of
the Exchange who are, from time to time, authorized to act an behalf of the
Plan Administrator and who are responsible for the day-to-day operation and
administration of the Plan. Any interpretation of the Plan by the Plan
Administrator and any decision made by the Plan Administrator or its delegate on
any other matter within its discretion is final and binding on all persons.

     1.3. Plan Year. The term "Plan Year" means the calendar year.

     1.4. Source of Benefit Payments. Subject to the terms and conditions of the
Plan, any amount payable to or on account of a Participant under this Plan shall
be paid from the general assets of the Exchange or from one or more trusts, the
assets of which are subject to the claims of the Exchange's general creditors.
The amounts payable hereunder shall be reflected on the
<PAGE>

accounting records of the Exchange but shall not be construed to create, or
require the creation of, a trust, custodial or escrow account. None of the
individuals entitled to benefits under the Plan shall have any preferred claim
on, or any beneficial ownership interest in, any assets of the Exchange or to
any investment reserves, accounts, trusts or funds that the Exchange may
purchase, establish or accumulate to aid in providing the benefits under the
Plan, and any rights of such individuals under the Plan shall constitute
unsecured contractual rights only. Nothing contained in the Plan shall
constitute a guarantee by the Exchange that the assets of the Exchange shall be
sufficient to pay any benefits to any person. Nothing contained in the Plan and
no action taken pursuant to its provisions shall create a trust or fiduciary
relationship at any kind between the Exchange and an employee or any other
person.

     1.5. Expenses. The expenses of administering the Plan shall be borne by the
Exchange.

     1.6 Effect on Other Benefit Plans. Any amounts credited or paid under this
Plan shall not be considered to be compensation for the purposes of any
qualified plan (within the meaning of section 401(a) of the Internal Revenue
Code of 1986, as amended (the "Code")), as maintained by the Exchange. The
treatment of such amounts under other employee benefit plans shall be pursuant
to the provisions of such plans.

     1.7. Applicable Laws. The Plan shall be construed and administered in
accordance with the internal laws of the State of Illinois.

     1.8. Gender and Number. Where the context admits, words in any gender shall
include any other gender, words in the singular shall include the plural and the
plural shall include the singular.

     1.9. Notices. Any notice or document required to be given to or filed with
the Plan Administrator will be properly filed if delivered or mailed by
registered mail, postage prepaid, to the Secretary of the Exchange, at its
principal executive offices. The Plan Administrator may, by advance written
notice to affected persons, revise such notice procedure from time to time. Any
notice required under the Plan may be waived by the person entitled to notice.

     1.10. Evidence. Evidence required of anyone under the Plan may be by
certificate, affidavit, document or other information which the person acting on
it considers pertinent and reliable, and signed, made or presented by the proper
party or parties.

     1.11. Action by Exchange. Any action required or permitted to be taken by
the Exchange shall be by resolution of its Board

                                       2
<PAGE>

of Directors or its Executive Committee, or by a duly authorized officer of the
Exchange.

                                   SECTION 2
                                   ---------

                                Participation
                                -------------

     2.1. Participant. The key employees of the Exchange eligible to participate
in the Plan and the conditions for such participation shall be established, from
time to time, by the Exchange; provided, however, that Participants shall be
limited to a select group of management or highly compensated employees within
the meaning of sections 201(2), 301(a)(3), and 401(a)(1) of ERISA. If the
Exchange determines that participation by one or more Participants shall cause
the Plan to be subject to Part 2, 3 or 4 of Title I of ERISA, the entire
interest of such Participant or Participants under the Plan shall be immediately
paid to such Participant or Participants or shall otherwise be segregated from
the Plan in the discretion of the Exchange, and such Participant or Participants
shall cease to have any interest under the Plan.

     2.2. Plan Not Contract of Employment . The Plan does not constitute a
contract of employment, and participation in the Plan will not give any employee
the right to be retained in the employ of the Exchange nor any right or claim to
any benefit under the Plan, unless such right or claim has specifically accrued
under the terms of the Plan.

                                   SECTION 3
                                   ---------

                    Deferred Compensation; Plan Accounting
                    --------------------------------------

     3.1. Deferred Compensation Accounts. The Plan Administrator shall maintain,
or cause to be maintained, an Account in the name of each Participant which
shall reflect the sum of the following amounts:

     (a)  the amount of compensation deferred by the Participant in accordance
          with the provisions of subsection 3.2;

     (b)  the amount of Matching Credits to be credited to the Participant's
          Account in accordance with subsection 3.3;

     (c)  the amount of the Make-Whole Credits to be credited to the
          Participant's Account in accordance with subsection 3.4; and

                                       3
<PAGE>

     (d)  the assumed rate of earnings to be credited to the Participant's
          Account in accordance with Subsection 3.5.

The beginning balance of each Participant's Account on the Effective Date shall
be the amount credited to him under the Plan as in effect immediately prior to
the Effective Date.

     3.2.  Deferral Election. Subject to such terms, conditions, and limitations
as the Plan Administrator may, from time to time, impose, a Participant who has
elected the maximum salary reduction permitted under the Chicago Mercantile
Exchange Tax Efficient Savings Plan (the "TESP") for any Plan Year may make an
irrevocable election to defer receipt of compensation otherwise payable to him
by the Exchange for that year, by filing a deferral election in writing with the
Plan Administrator at such time and in such manner as the Plan Administrator
shall provide, but in no case later than the day preceding the first day of such
Plan Year. The maximum amount of compensation that may be deferred by a
Participant for a Plan Year shall be equal to (a) minus (b) below:

     (a)  an amount equal to 20 percent of his compensation, as defined below;

     (b)  the actual amount of the Tax Efficient Contributions made on his
          behalf under the TESP for such year.

For purposes or the Plan, a Participant's "compensation" for any Plan Year
shall mean his base salary plus any bonus otherwise payable in that Plan Year.
To the extent provided by the Plan Administrator, a Participant may make
separate deferral elections with respect to base salary and bonus amounts. The
Account of each Participant shall be credited with the amount deferred by the
Participant as of the date on which such compensation would otherwise have been
paid to the Participant or such other date as the Plan Administrator may
reasonably provide.

     3.3.  Matching Credits. Subject to such terms, conditions, and limitations
as the Plan Administrator may, from time to time, impose, for each Plan Year,
the Account of each Participant shall be credited with a "Matching Credit" at
such time as the Plan Administrator shall determine. A Participant's Matching
Credit for each Plan Year shall be equal to the total amount of compensation
otherwise payable during that Plan Year which the Participant elected to defer
in accordance with subsection 3.2 or, if less, the amount that, when added to
the Participant's Matching Contributions for the year, does not exceed 3 percent
of his compensation (excluding bonus) for such Plan Year.

     3.4.  Cash Balance Plan and TESP Make-Whole Credits. To the extent that the
amount credited to a Participant's account under the TESP in connection with the
trading volume provisions of TESP

                                       4
<PAGE>

or the Pension Plan for Employees of the Chicago Mercantile Exchange (the
"Pension Plan"), either by reason of the limitation on compensation imposed
by section 401(a)(17) of the Internal Revenue Code of 1986, as amended, or by
reason of salary deferrals under this Plan, the Account of the Participant shall
be credited with a "Make-Whole Credit" at such time as the Plan Administrator
shall determine.

     3.5.  Adjustment of Accounts. The amounts credited to a Participant's
Account in accordance with subsections 3.2 and 3.3 shall be adjusted from time
to time in accordance with uniform procedures established by the Plan
Administrator to reflect the value of an investment equal to the Participant's
Account balance in one or more assumed investments that the Plan Administrator
offers from time to time, and which the Participant, directs the Plan
Administrator to use for purposes of adjusting his Account. Such amount shall be
determined without regard to taxes that would be payable with respect to any
such assumed investment. The Plan Administrator may eliminate any assumed
investment alternative at any time; provided, however, that the Plan
Administrator may not retroactively eliminate any assumed investment
alternative. To the extent permitted by the Plan Administrator, the Participant
may elect to have different portions of his Account balance for any period
adjusted on the basis of different assumed investments. Notwithstanding the
election by Participants of certain assumed investments and the adjustment of
their Accounts based on such investment decisions, the Plan does not require,
and no trust or other instrument maintained in connection with the Plan shall
require, that any assets or amounts which are set aside in trust or otherwise
for the purpose of paying Plan benefits shall actually be invested in the
investment alternatives selected by Participants.

                                   SECTION 4
                                   ---------

                           Payment of Plan Benefits
                           ------------------------

     4.1.  Vesting.  A Participant shall have at all times a fully vested and
nonforfeitable interest in the amounts theretofore credited or required to be
credited to his Account under Section 3.

     4.2.  Termination of Employment. Upon a Participant's death or
termination of active employment, the Participant's entire Account balance,
including the Matching Credit on amounts deferred prior to the Participant's
death or termination date, shall be paid to or an account of the Participant as
follows:

     (a)  in a single lump sum payment as soon as practicable after his date of
          death or termination or employment, or

                                       5
<PAGE>

      (b)  if elected by the Participant, in annual installments over a period
           of 5 or fewer years; provided, however, that any such election by a
           Participant who resigns or is dismissed prior to his retirement
           date (within the meaning of the Pension Plan) shall require the
           consent of the Exchange.

     4.3.  Hardship Distributions. The Plan Administrator may, pursuant to rules
adopted by it and  applied in a uniform manner, accelerate the date of
distribution or a Participant's Account because of hardship at any time.
"Hardship" shall mean an unforeseeable, severe financial condition resulting
from (a) a sudden and unexpected illness or accident of the Participant or his
dependent (as defined in section 152(a) of the Code; (b) loss of the
Participants property due to casualty; or (c) other similar extraordinary and
unforeseeable circumstances arising as a result of events beyond the control of
the Participant, but which may not be relieved through other available resources
of the Participant, as determined by the Plan Administrator in accordance with
uniform rules adopted by it.

     4.4.  Beneficiary Designation. Each Participant from time to time, by
signing a form furnished by the Plan Administrator, may designate any legal or
natural person or persons (who may be designated contingently or successively)
to whom his benefits under the Plan are to be paid if he dies before he
receives all of his benefits. A beneficiary designation form will be effective
only when the signed form is filed with the Plan Administrator while the
Participant is alive and will cancel all beneficiary designation forms filed
earlier. Except as otherwise specifically provided in this subsection 4.5, if
a deceased Participant failed to designate a beneficiary as provided above, or
if the designated beneficiary of a deceased Participant dies before him or
before complete payment of the Participant's benefits, his benefits shall be
said to the legal representative or representatives of the estate of the last
to die of the Participant and his designated beneficiary.

     4.5.  Distributions to Disabled Persons. Notwithstanding the provisions of
this Section 4, if, in the Plan Administrator's opinion, a Participant or
beneficiary is under a legal disability or is in any way incapacitated so as to
be unable to manage his financial affairs, the Plan Administrator may direct
that payment be made to a relative or friend of such person for his benefit
until claim is made by a conservator or other person legally charged with the
care of his person or his estate, and such payment shall be in lieu or any such
payment to such Participant or beneficiary. Thereafter, any benefits under the
Plan to which such Participant or beneficiary is entitled shall be paid to such
conservator or other person legally charged with the care of his person or his
estate.

                                       6
<PAGE>

     4.6.  Benefits May Not be Assigned. Benefits payable under the Plan are
expressly declared to be unassignable and nontransferable. Neither the
Participant nor any other person shall have any voluntary or involuntary right
to commute, sell, assign pledge, anticipate, mortgage or otherwise encumber,
transfer, hypothecate or convey in advance of actual receipt, any benefits
payable under the Plan. No part of the benefits payable shall be, prior to
actual payment, subject to seizure or sequestration for payment of any debts,
judgements, alimony or separate maintenance owed by the Participant or any other
person, or be transferred by operation of law in the event of the Participant's
or any other person's bankruptcy or insolvency.

     4.7.  Withholding for Tax Liability. The Exchange may withhold or cause to
be withheld from any payment of benefits made pursuant to the Plan any taxes
required to be withheld and such sum as the Exchange may reasonably estimate to
be necessary to cover any taxes for which the Exchange may be liable and which
may be assessed with regard to such payment.

                                   SECTION 5
                                   ---------

                           Amendment and Termination
                           -------------------------

     5.1 Administrative Amendments. The President of the Exchange may make minor
or administrative amendments to the Plan.

     5.2  Amendments and Termination. The Exchange may amend the Plan at any
time. The Exchange may terminate the Plan at any time provided that it has made
adequate provisions for any amount payable by it under the terms of the Plan as
in effect on the date it terminates the Plan. Upon termination of the Plan, the
Exchange may, in its discretion applied in a uniform manner to all Participants,
cause a lump sum payment of all benefits for all Participants at substantially
the same time.

     Dated this 17 day of March, 1994.

                          CHICAGO MERCANTILE EXCHANGE

                          By /s/ Gerald Beyer
                            ---------------------------------

                             Its EVP
                                 ----------------------------

                                       7
<PAGE>

                                FIRST AMENDMENT
                                       TO
                          CHICAGO MERCANTILE EXCHANGE
                        SENIOR MANAGEMENT SUPPLEMENTAL
                             DEFERRED SAVINGS PLAN
                        ------------------------------

     Pursuant to the authority reserved to the Chicago Mercantile Exchange (the
"CME") by subsection 5.2 of the Chicago Mercantile Exchange Senior Management
Supplemental Deferred Savings Plan (the "Plan"), the undersigned, as a duly
authorized officer of the CME, hereby amends the Plan, effective as of January
1, 1995, by substituting the following for subsections 3.2 and 3.3 of the Plan:

     "3.2.  Deferral Election. Subject to such terms, conditions, and
limitations as the Plan Administrator may, from time to time, impose, a
Participant may make an irrevocable election to defer receipt of compensation
otherwise payable to him by the Exchange for any Plan Year, by filing a deferral
election in writing with the Plan Administrator at such time and in such manner
as the Plan Administrator shall provide, but in no case later than the day
preceding the first day of such Plan Year. The maximum amount of compensation
that may be deferred by a Participant for a Plan Year shall be equal to:

     (a)  an amount equal to 20 percent of his compensation, as defined below,
          minus

     (b)  the limit for that year established by section 402(g) of the Internal
          Revenue Code of 1986, as amended (the 'Code'), with respect to
          elective deferrals made on a pre-tax basis to tax-qualified cash or
          deferred arrangements under section 401(k) of the Code.

For purposes of the Plan, a Participant's 'compensation' for any Plan Year shall
mean his base salary plus any bonus otherwise payable in that Plan Year. To the
extent provided by the Plan Administrator, a Participant may make separate
deferral elections with respect to base salary and bonus amounts. The Account of
each Participant shall be credited with the amount deferred by the Participant
as of the date on which such compensation would otherwise have been paid to the
Participant or such other date as the Plan Administrator may reasonably provide.

     3.3.  Matching Credits. Subject to such terms, conditions, and limitations
as the Plan Administrator may, from time to time, impose, for each Plan Year,
the Account of each Participant shall be credited with a 'Matching Credit, at
such time as the Plan Administrator shall determine. A Participant's Matching
Credit for each Plan Year shall be equal to the total amount of

<PAGE>

compensation otherwise payable during that Plan Year which the Participant
elected to defer in accordance with subsection 3.2 or, if less, the amount that,
when added to the maximum amount of 'Matching Contributions' that would be
credited to the Participant for that year under the Exchange's Tax Efficient
Savings Plan ('TESP') if the Participant made 'Tax Efficient Contributions' to
TESP for that year equal to the amount set forth in 3.2(b) above, does not
exceed 3 percent of his compensation (excluding bonus) for such Plan Year."

     IN WITNESS WHEREOF, the undersigned has executed this amendment this 14th
day of December, 1994.

                                        /s/  William J. Brodsky
                                        ---------------------------
                                        William J. Brodsky, Trustee

<PAGE>

                               SECOND AMENDMENT
                                      TO
                          CHICAGO MERCANTILE EXCHANGE
             SENIOR MANAGEMENT SUPPLEMENTAL DEFERRED SAVINGS PLAN
             ----------------------------------------------------

     By virtue and in exercise of the amending authority reserved to the Chicago
Mercantile Exchange (the "Exchange") by the provisions of subsection 5.2 of the
Chicago Mercantile Exchange Senior Management Supplemental Deferred Savings Plan
(the "Plan"), and pursuant to the authority delegated to the undersigned officer
of the Exchange by resolutions of its Board of Directors adopted on November 4,
1998 and November 16, 1998, the Plan is amended in the following particulars:

     1.   Effective as of January 1, 1998, by substituting the following for
subsection 3.3 of the Plan:

     "3.3. Matching Credits. Subject to such terms, conditions, and limitations
as the Plan Administrator may, from time to time, impose, for each Plan Year,
the Account of each Participant shall be credited with a 'Matching Credit' at
such time as the Plan Administrator shall determine. A Participant's Matching
Credit for each Plan Year beginning on or after January 1, 1998 shall be equal
to the amount that, when added to the maximum amount of 'Matching Contributions'
that would be credited to the Participant for that year under the Exchange's Tax
Efficient Savings Plan ('TESP') if the Participant made 'Tax Efficient
Contributions' to TESP for that year equal to the amount set forth in paragraph
3.2(b) above, does not exceed 3 percent of his base earnings (excluding bonus)
for such Plan Year."

     2.   Effective as of November 16, 1998, by adding the following new
subsection to the Plan to follow immediately after subsection 4.7 thereof:

     "4.8. Cash-Out Election. Prior to a Participant's termination of active
employment with the Exchange, the Participant may make a one-time election (a
'Cash-Out Election') to have his entire Account balance distributed to him, in a
single lump sum payment, in cash, within 15 days following the date that such
election is filed with the Exchange, subject to the following:

     (a)   The amount actually distributed to an electing Participant under this
           subsection 4.8 shall be equal to the Participant's entire Account
           balance, reduced by an amount equal to 10 percent of such balance.
           The portion of the Participant's Account balance that is not
           distributed to the Participant pursuant to this paragraph (a) shall
           be forfeited as a penalty.

<PAGE>

     (b)  Notwithstanding the provisions of Section 3, for the remainder of the
          Plan Year in which the Cash-out Election is effective and for the next
          following Plan Year, no deferral election by the Participant under
          subsection 3.2 shall be given effect.

     (c)  A Participant's Cash-Out Election shall not be effective unless the
          Participant makes a corresponding election under the Chicago
          Mercantile Exchange Supplemental Executive Retirement Plan.

Notwithstanding the foregoing provisions of this subsection 4.8, and without
limiting the amending authority reserved to the Exchange by the provisions of
Section 5 of the Plan, the Exchange may amend this subsection 4.8 at any time
and in any respect, even as to amounts previously credited to a Participant's
Account, to the extent that the Exchange determines that such amendment is
necessary or desirable by reason of any change in tax laws or regulations or
interpretations thereof, provided, however, that no such amendment shall apply
with respect to amounts actually distributed under this subsection 4.8 before
the later of the date on which the amendment is adopted or effective."

  IN WITNESS WHEREOF, the undersigned officer of the Exchange has caused these
presents to be executed on behalf of the Exchange this 8th day of December,
1998.

                                       CHICAGO MERCANTILE EXCHANGE

                                       By  Craig S. Donohue
                                           ------------------------
                                       Its SVP & General Counsel
                                           ------------------------

                                      -2-

<PAGE>

                           Administrative Guidelines
                          Chicago Mercantile Exchange
             Senior Management Supplemental Deferred Savings Plan

These administrative guidelines for the CME Senior Management Supplemental
Deferred Savings Plan set forth the current guidelines for interpreting and
administering certain sections of the Plan. The guidelines are to be used as a
basic framework for the administration of the Plan, but may be changed at any
time.

Section 2

     2.1  Participant
          -----------

          Key employees are defined to include all CME vice presidents and above
          and the CME corporate secretary. Officers of CME subsidiaries are not
          eligible to participate unless they are also officers of the CME.

Section 3

     3.2  Deferral Election
          -----------------

          Newly eligible employees may become Participants on July 1 so long as
          they make deferral elections before July 1 and within 30 days of
          becoming a vice president or other eligible employee. A newly eligible
          employee may choose to defer the amount permitted by Section 3.2 of
          the Plan based upon either: (1) his or her total annual compensation
          (from January 1 of the calendar year in which participation begins
          through the end of that year) or (2) the compensation he or she
          receives after beginning participation in the plan.

          All deferrals permitted by Section 3.2 of the Plan will be made and
          credited to Participants' accounts on a pro rata equal basis
          throughout the deferral period. For example, a Participant who elects
          to defer 10% of his compensation will receive an account credit equal
          to 10% of his compensation each pay period.

          Unless otherwise determined by the Plan Administrator, deferral
          elections are irrevocable. The Plan Administrator retains the right to
          require participants to reduce a deferral election when that reduction
          is required to ensure that the Participant does not defer more than
          the total amount permitted by the Plan. The Plan Administrator also
          retains the right to make a distribution from a Participant's account
          if that distribution is required to ensure that the Participant has
          not deferred more than the total amount permitted by the Plan.

Effective 7/1/94; revised 4/4/96 and 7/1/96

<PAGE>

         (In 1994 only, a Participant is allowed to change his or her deferral
         election effective July 1, 1994.)

         An eligible employee will be considered a Participant for the purpose
         of receiving the Matching Credit only if he or she makes a deferral
         election.

    3.3  Matching Credits
         ----------------

         Accounts will be credited with the Matching Credits each pay period.

    3.4  Cash Balance Plan and TESP Trading Volume Make-Whole Credits
         ------------------------------------------------------------

         The TESP trading volume Make-Whole Credit will be credited to each
         Participant's account on December 31 of the year for which a trading
         volume contribution is authorized for TESP. The cash balance plan Make-
         Whole Credit will be credited to each Participant's account each pay
         period. These credits are calculated on not only the deferred amount,
         but also on any non-deferred amounts over the IRS compensation limit.

    3.5  Adjustment of Accounts
         ----------------------

         At the time of initial enrollment, each Participant shall elect the
         assumed investments for his or her account balance. Participants may
         invest in no more than two funds at any time and investment allocations
         may be made in multiples of 50% only. If a Participant fails to make an
         assumed investment for his or her account balance, the account will
         receive adjustment credits based on the Exchange's earnings rate on
         operating funds investments.

         Once a Participant makes an investment election, that election will
         stay in effect until it is changed, so long as the Participant
         continues to defer compensation as permitted by the Plan. Participants
         may reallocate their account balances and change investment direction
         with no greater frequency than once every six months.

Effective 7/1/94; revised 4/4/96 and 7/1/96

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