Document:

<PAGE>   1

                                                                   EXHIBIT 10.15

       THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE
       SECURITIES ACT OF 1933, AS AMENDED (THE "1933 ACT"), OR UNDER THE
       SECURITIES LAWS OF CERTAIN STATES. THESE SECURITIES ARE SUBJECT TO
       RESTRICTIONS ON TRANSFERABILITY AND RESALE AND MAY NOT BE TRANSFERRED OR
       RESOLD EXCEPT AS PERMITTED UNDER THE 1933 ACT AND APPLICABLE STATE
       SECURITIES LAWS, PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM.
       INVESTORS SHOULD BE AWARE THAT THEY MAY BE REQUIRED TO BEAR THE FINANCIAL
       RISKS OF THIS INVESTMENT FOR AN INDEFINITE PERIOD OF TIME. THE ISSUER OF
       THESE SECURITIES MAY REQUIRE AN OPINION OF COUNSEL IN FORM AND SUBSTANCE
       REASONABLY SATISFACTORY TO THE ISSUER TO THE EFFECT THAT ANY PROPOSED
       TRANSFER OR RESALE IS IN COMPLIANCE WITH THE 1933 ACT AND ANY APPLICABLE
       STATE SECURITIES LAWS.

Warrant No. __

                        WARRANT TO PURCHASE COMMON STOCK

                                       OF

                               ICX ELECTRONICS.COM

                          VOID AFTER DECEMBER __, 2005

       This certifies that ______________ or its registered assigns ("Holder"),
for valuable consideration received, is entitled, on the terms set forth below,
at any time or from time-to-time during the period beginning on December ___,
2000 and ending at 5:00 P.M., Pacific Daylight Time, ending on the earlier of,
five (5) years thereafter, or as set forth in Section 5 hereof (the "Exercise
Period"), to purchase from ICX Electroncs, a California corporation (the
"Company"), up to two thousand (2,000) shares of the Common Stock of the Company
(the "Warrant Shares") at a price per share equal to Eight Dollars ($8.00) (the
"Exercise Price"). The term "Warrant" as used herein shall include this Warrant
and any warrants delivered in substitution or exchange therefor as provided
herein.

       1. EXERCISE AND PAYMENT. This Warrant may be exercised at any time in
full for the maximum number of Warrant Shares called for hereby, or from
time-to-time for any lesser number thereof, on any business day during the
Exercise Period, by delivering to the principal office of the Company the
subscription in the form attached hereto as Exhibit A duly executed along with
payment equal to the product of (i) the number of Warrant Shares then being
purchased under this Warrant multiplied by (ii) the Exercise Price (the
"Purchase Price"). The Purchase Price may be paid by delivery of cash, check or
wire transfer, or as provided in Section 2 below. Upon any partial exercise of
this Warrant, this Warrant shall be surrendered, and a new Warrant of the same
tenor and for the purchase of the number of such shares not purchased upon such
exercise shall be issued by the Company to Holder. A Warrant shall be deemed to
have been exercised immediately prior to the

<PAGE>   2

close of business on the date of its surrender for exercise as provided above,
and the person entitled to receive the Warrant Shares shall be treated for all
purposes as the holder of such shares of record as of the close of business on
such date. As soon as practicable on or after such date, the Company shall issue
and deliver to the person or persons entitled to receive the same a certificate
or certificates for the number of full Warrant Shares issuable upon such
exercise, together with cash, in lieu of any fraction of a share, equal to such
fraction of the current market value of one full share.

       2. NET ISSUANCE. In lieu of payment of all or a portion of the Purchase
Price described in Section 1, the Holder may elect to receive, without the
payment by the Holder of any additional consideration, shares equal to the value
of this Warrant or any portion hereof by the surrender of this Warrant or such
portion to the Company. Upon such election, the Company shall issue to the
Holder such number of fully paid and nonassessable shares of Common Stock as is
computed using the following formula:

                     where: X = Y (A-B)
                                   ---
                                    A

                     X = the number of shares to be issued to the Holder
pursuant to this Section 2.

                     Y = the number of shares covered by this Warrant in respect
of which the net issuance election is made pursuant to this Section 2.

                     A = the fair market value of one share of Common Stock, as
determined in accordance with the provisions of this Section 2.

                     B = the Exercise Price in effect under this Warrant at the
time the net issuance election is made pursuant to this Section 2.

                     For purposes of this Section 2, the "fair market value" per
share of the Common Stock shall be determined as follows:

                     If the Common Stock is listed on a national securities
exchange or admitted to unlisted trading privileges on such an exchange or is
listed on the National Association of Securities Dealers Automated Quotation
System ("NASDAQ"), the current fair market value shall be the last reported sale
price of the Common Stock on such exchange or NASDAQ on the last business day
prior to the date of exercise of this Warrant or if no such sale is made on such
day, the mean of the closing bid and asked prices for such day on such exchange
or NASDAQ;

                     If the Common Stock is not then listed or admitted to
trading on a NASDAQ or a national securities exchange which reports closing sale
prices, the current fair market value shall be the average of the closing bid
and asked prices of the Common Stock in the over-the-counter market on the date
of valuation; or

                     If the Common Stock is not so listed or admitted to
unlisted trading privileges and bid and asked prices are not so reported, the
current fair market value shall be an amount, not

                                       2
<PAGE>   3

less than book value, determined in such reasonable manner as may be prescribed
by the Company's Board of Directors in good faith.

       3. PAYMENT OF TAXES. All Warrant Shares issued upon the exercise of a
Warrant shall be validly issued, fully paid and non-assessable, and the Company
shall pay all taxes and other governmental charges that may be imposed in
respect of the issue or delivery thereof, except any transfer taxes that may be
payable in respect of any transfer involved in the issuance of any certificate
for shares in a name other than that of the Holder or Holder's transferee.

       4. TRANSFER AND EXCHANGE. This Warrant may be transferred only in
compliance with applicable federal and state securities laws and in compliance
with the restrictions herein and in that certain Subscription Agreement of even
date herein pursuant to which this Warrant is issued and only upon surrender of
the original Note for registration of transfer, duly endorsed, or accompanied by
a duly executed written instrument of transfer in form satisfactory to the
Borrower. Upon any partial transfer, the Company will issue and deliver to the
Holder a new Warrant or Warrants with respect to the portion of the Warrant not
so transferred. This Warrant is exchangeable at the principal office of the
Company for Warrants for the same aggregate number of Warrant Shares, each new
Warrant to represent the right to purchase such number of Warrant Shares as
Holder shall designate at the time of such exchange.

       5. MERGERS, CONSOLIDATIONS, ASSET SALES AND DISSOLUTIONS. If at any time
there shall be any consolidation or merger of the Company with another
corporation, a sale of all or substantially all of the Company's assets to
another corporation, a voluntary or involuntary dissolution, liquidation or
winding-up of the Company or the closing of a firm commitment underwritten
public offering pursuant to an effective registration statement under the 1933
Act covering the offer and sale of securities to the general public for the
account of the Company, then the Company shall give, by certified or registered
mail, postage prepaid, addressed to the registered Holder of this Warrant at the
address of such Holder as shown on the books of the Company, at least thirty
(30) days prior written notice of the date when the same shall take place. Upon
receipt of such notice, the Holder shall have the right to exercise this
Warrant, either in full or in any lesser amount prior to the occurrence of an
event described above. If the Holder of this Warrant does not exercise this
Warrant prior to the occurrence of an event described above, this Warrant shall
expire and be of no effect to the extent that it has not been exercised by the
Holder prior to the occurrence of the event.

       6. FRACTIONAL SHARES. The Company shall not issue any fractional shares
or script representing fractional shares upon the exercise or exchange of this
Warrant. With respect to any fraction of a share resulting from the exercise or
exchange hereof, the Company shall pay to the Holder an amount in cash equal to
such fraction multiplied by the current fair market value per share of Common
Stock, be the then current fair market value determined in such reasonable
manner as may be prescribed by the Company's Board of Directors in good faith
but in no event less than book value.

       7. NON-IMPAIRMENT. The Company will not, by amendment of its Certificate
of Incorporation or through reorganization, consolidation, merger, dissolution,
issue or sale of securities, sale of assets or any other voluntary action, avoid
or seek to avoid the observance or performance of any of the terms of the
Warrant, but will at all times in good faith assist in the

                                       3
<PAGE>   4

carrying out of all such terms and in the taking of all such action as may be
necessary or appropriate in order to protect the rights of the Holder of the
Warrant against dilution or other impairment.

       8. ANTIDILUTION ADJUSTMENTS. The number of Warrant Shares purchasable
upon the exercise of this Warrant and the Exercise Price shall be subject to
adjustment as follows:

              (a) Stock Dividends. If at any time prior to the exercise of this
Warrant in full (i) the Company shall fix a record date for the issuance of any
stock dividend payable in shares of Common Stock or (ii) the number of shares of
Common Stock shall have been increased by a subdivision or split-up of shares of
Common Stock, then, on the record date fixed for the determination of holders of
Common Stock entitled to receive such dividend or immediately after the
effective date of subdivision or split-up, as the case may be, the number of
shares of Common Stock to be delivered upon exercise of this Warrant will
increased so that Holder will be entitled to receive the number of shares of
Common Stock that such Holder would have owned immediately following such action
had this Warrant been exercised immediately prior thereto, and the Exercise
Price will be adjusted as provided below in paragraph (d).

              (b) Combination of Stock. If at any time prior to the exercise of
this Warrant in full the number of shares of Common Stock outstanding shall have
been decreased by a combination of the outstanding shares of Common Stock, then,
immediately after the effective date of such combination, the number of shares
of Common Stock to be delivered upon exercise of this Warrant will be decreased
so that the Holder thereafter will be entitled to receive the number of shares
of Common Stock that such Holder would have owned immediately following such
action had this Warrant been exercised immediately prior thereto, and the
Exercise Price will be adjusted as provided below in paragraph (d).

              (c) Carryover. Notwithstanding any other provision of this Section
8, no adjustment shall be made to the number of shares of Common Stock to be
delivered to the Holder (or to the Exercise Price) if such adjustment represents
less than 1% of the number of shares to be so delivered, but any lesser
adjustment shall be carried forward and shall be made at the time and together
with the next subsequent adjustment which together with any adjustments so
carried forward shall amount to 1% or more of the number of shares to be so
delivered.

              (d) Exercise Price Adjustment. Whenever the number of Warrant
Shares purchasable upon the exercise of the Warrant is adjusted, as herein
provided, the Exercise Price payable upon the exercise of this Warrant shall be
adjusted by multiplying such Exercise Price immediately prior to such adjustment
by a fraction, of which the numerator shall be the number of Warrant Shares
purchasable upon the exercise of the Warrant immediately prior to such
adjustment, and of which the denominator shall be the number of Warrant Shares
purchasable immediately thereafter.

              (e) No Duplicate Adjustments. Notwithstanding anything else to the
contrary contained herein, in no event will an adjustment be made under the
provisions of this Section 8 to the number of Warrant Shares issuable upon
exercise of this Warrant or the Exercise Price for any event if an adjustment
having substantially the same effect to the Holder as any adjustment that
otherwise would be made under the provisions of this Section 8 is made by the
Company for any such event to the number of shares of Common Stock (or other
securities) issuable upon exercise of this Warrant.

                                       4
<PAGE>   5

              (f) Notice of Adjustment. Whenever the number of Warrant Shares or
the Exercise Price of such Warrant Shares is adjusted, as herein provided, the
Company shall promptly mail by first class, postage prepaid, to the Holder,
notice of such adjustment or adjustments and a certificate of the chief
financial officer of the Company setting forth the number of Warrant Shares and
the Exercise Price of such Warrant Shares after such adjustment, setting forth a
brief statement of the facts requiring such adjustment and setting forth the
computation by which such adjustment was made.

       9. LOSS OR MUTILATION. Upon receipt by the Company of evidence
satisfactory to it (in the exercise of reasonable discretion) of the ownership
of and the loss, theft, destruction or mutilation of any Warrant, the Company
will execute and deliver in lieu thereof a new Warrant of like tenor.

       10. RESERVATION OF COMMON STOCK. The Company shall at all times reserve
and keep available for issue upon the exercise of Warrant such number of its
authorized but unissued shares of Common Stock as will be sufficient to permit
the exercise in full of this Warrant.

       11. RESTRICTIVE LEGEND. Each certificate representing (i) this Warrant or
(ii) Warrant Shares shall (unless such securities have been registered under the
1933 Act or sold under Rule 144 promulgated under the 1933 Act) be stamped or
otherwise imprinted with a legend substantially in the following form (in
addition to any other legend required under any applicable state securities
law):

       THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
       UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "1933 ACT"), HAVE BEEN
       TAKEN FOR INVESTMENT AND MAY NOT BE PLEDGED, HYPOTHECATED, SOLD,
       TRANSFERRED OR OTHERWISE DISPOSED OF EXCEPT AS MAY BE AUTHORIZED UNDER
       THE 1933 ACT OR THE RULES AND REGULATIONS PROMULGATED THEREUNDER.

       12. NOTICES. Unless otherwise provided, all notices and other
communications required or permitted under this Agreement shall be in writing
and shall be mailed by United States first-class mail, postage prepaid, sent by
facsimile or delivered personally by hand or by a courier addressed to the party
to be notified at the address or facsimile number furnished to the Company in
writing by the last Holder of this Warrant who shall have furnished an address
to the Company in writing.

       13. CHANGE; WAIVER. This Warrant is one in a series of warrants for the
Company's Common Stock (collectively, the "Financing Warrants") of similar tenor
issued by the Company on the date hereof pursuant to the offering set forth in
that certain Private Placement Memorandum delivered to Holder therefor. This
Warrant, and any term hereof, may be changed, waived, discharged or terminated
only by an instrument in writing executed by the Company and holders of a
majority of shares issuable upon exercise of the Financing Warrants, provided
that such change, waiver, discharge or termination shall be made to all
Financing Warrants; provided, further, that Holder and the Company may waive
individually any term herein.

       14. TITLES AND SUBTITLES. The headings in this Warrant are for
convenience only and are not to be considered in construing or interpreting this
Warrant.

                                       5
<PAGE>   6

       15. GOVERNING LAW. This Agreement shall be governed by and construed
under the laws of the State of California as applied to agreements among
California residents entered into and to be performed entirely within
California.

                                       6
<PAGE>   7

       IN WITNESS WHEREOF, the undersigned has executed this Warrant as of
December __, 2000.

                                      ICX ELECTRONICS.COM

                                      By:
                                         ---------------------------------------
                                         Gary E. Lotzer, Chief Executive Officer

                                       7
<PAGE>   8

                                    Exhibit A

                                SUBSCRIPTION FORM

                 (To be executed only upon exercise of Warrant)

       The undersigned registered owner of this Warrant irrevocably exercises
this Warrant and purchases ___________ shares of Common Stock (the "Common
Stock") of ICX ELECTRONICS.COM, purchasable with this Warrant, and herewith
makes payment therefor, all at the price and on the terms and conditions
specified in this Warrant.

       The undersigned hereby represents and warrants that the undersigned is
acquiring such stock for its own account and not for resale or with a view to,
or for resale in connection with, the distribution of any part thereof, and
accepts such shares subject to the restrictions of contained in the Warrant.

DATED:
      ------------------------

                                  ----------------------------------------------
                                  (Signature of Registered Owner)

                                  ----------------------------------------------
                                  (Street Address)

                                  ----------------------------------------------
                                  (City)               (State)             (Zip)

                                  ----------------------------------------------
                                  Social Security No. or Federal Tax I.D. Number<PAGE>   1
                                                                     Exhibit 4.1

                                    CRAY INC.

                             1999 STOCK OPTION PLAN

1.      Purpose. The purpose of the 1999 Stock Option Plan (the "Plan") is to
enable Cray Inc. (the "Company") to attract, reward and retain the services or
advice of the Company's current or future employees, officers, directors, agents
and consultants, and to provide added incentives to them by encouraging stock
ownership in the Company.

2.      Stock Subject to This Plan. Subject to adjustment as provided below and
in Section 6 hereof, the stock subject to this Plan shall consist of shares of
the Company's common stock (the "Common Stock"), and the total number of shares
of Common Stock to be delivered upon the exercise of all options granted under
this Plan shall not exceed 6,000,000 shares, as such Common Stock was
constituted on the effective date of this Plan. If any option granted under this
Plan shall expire, be surrendered, exchanged for another option, cancelled or
terminated for any reason without having been exercised in full, the unpurchased
shares subject to such option shall again be available for purposes of this
Plan, including for replacement options which may be granted in exchange for
such surrendered, cancelled or terminated options. Shares issued upon exercise
of options granted under this Plan may be subject to such restrictions on
transfer, repurchase rights or other restrictions as may be determined by the
Board.

3.      Administration. This Plan shall be administered by the Board of
Directors of the Company (the "Board"). The Board may suspend, amend or
terminate this Plan as provided in Section 8.

        3.1     Powers. Subject to the specific provisions of this Plan, the
Board shall have the authority, in its discretion from time to time: (a) to
grant the stock options described in Section 5, including Incentive Stock
Options and Non-Qualified Stock Options, and to designate each option granted as
an Incentive Stock Option or a Non-Qualified Stock Option; (b) to determine, in
accordance with Section 5.1(f) of this Plan, the fair market value of the shares
of Common Stock subject to options; (c) to determine the exercise price per
share of options; (d) to determine the Optionees (as defined herein) to whom,
and the time or times at which, options shall be granted and the number of
shares of Common Stock to be represented by each option; (e) to interpret this
Plan; (f) to prescribe, amend and rescind rules and regulations relating to this
Plan; (g) to determine the terms and provisions of each option granted (which
need not be identical) and, with the consent of the holder thereof, modify or
amend each option; (h) to reduce the exercise price per share of outstanding and
unexercised options; (i) to

<PAGE>   2
defer, with the consent of the Optionee, or to accelerate the exercise date of
any option; (j) to waive or modify any term or provision contained in any option
applicable to the underlying shares of Common Stock; (k) to authorize any person
to execute on behalf of the Company any instrument required to effectuate the
grant of an option previously granted by the Board; (l) to correct any defect or
supply any omission or reconcile any inconsistency in the Plan or in any stock
option agreement in the manner and to the extent it shall deem expedient to
carry the Plan into effect; and (m) to make all other determinations deemed
necessary or advisable for the administration of this Plan. The interpretation
and construction by the Board of any terms or provisions of this Plan, any
option issued hereunder or of any rule or regulation promulgated in connection
herewith and all actions taken by the Board shall be conclusive and binding on
all interested parties. The Board may delegate administrative functions to
individuals who are officers or employees of the Company.

        3.2     Limited Liability. No member of the Board or officer of the
Company shall be liable for any action or inaction of the entity or body, or
another person or, except in circumstances involving bad faith, of himself or
herself. Subject only to compliance with the explicit provisions hereof, the
Board may act in its absolute discretion in all matters related to this Plan.

        3.3     Securities Exchange Act of 1934. At any time that the Company
has a class of securities registered pursuant to Section 12 of the Securities
Exchange Act of 1934, as amended (the "Exchange Act"), this Plan shall be
administered by the Board in accordance with Rule 16b-3 adopted under the
Exchange Act, as such rule may be amended from time to time.

        3.4     Committee. The Board by resolution may delegate to a committee
of the Board consisting of one or more members (the "Committee") any or all
authority for administration of the Plan. If a Committee is appointed, all
references to the Board of Directors in the Plan shall mean and relate to such
Committee, except that only the Board of Directors may amend, modify, suspend or
terminate the Plan as provided in Section 8.

4.      Eligibility. The Board may award options to any current or future
employee, officer, director, agent or consultant of the Company. Any party to
whom an option is granted under this Plan is referred to as an "Optionee."

5.      Awards. The Board, may take the following actions from time to time,
separately or in combination, under this Plan: (a) grant Incentive Stock
Options, as defined in Section 422 of the Internal Revenue Code of 1986, as
amended (the "Code"), to any employee of the Company or its subsidiaries, as
provided in Section 5.1 of this Plan; (b) grant options other than Incentive
Stock Options ("Non-Qualified Stock Options"), as provided in Section 5.2 of
this Plan; (c) grant

                                       10
<PAGE>   3
options to officers, employees and others in foreign jurisdictions, as provided
in Section 5.7 of this Plan; and (d) grant options in certain acquisition
transactions, as provided in Section 5.8 of this Plan. No person may be granted
options to acquire more than 300,000 shares of Common Stock in any fiscal year
of the Company.

        5.1     Incentive Stock Options. Incentive Stock Options shall be
subject to the following terms and conditions:

                (a)     Incentive Stock Options may be granted under this Plan
only to employees of the Company or its subsidiaries, including employees who
are directors.

                (b)     No employee may be granted Incentive Stock Options under
this Plan to the extent that the aggregate fair market value, on the date of
grant, of the Common Stock with respect to which Incentive Stock Options are
exercisable for the first time by that employee during any calendar year, under
this Plan and under any other incentive stock option plan (within the meaning of
Section 422 of the Code) of the Company or any subsidiary, exceeds $100,000. To
the extent that any option designated as an Incentive Stock Option exceeds the
$100,000 limit, such option shall be treated as a Non-Qualified Stock Option. In
making this determination, options shall be taken into account in the order in
which they were granted, and the fair market value of the shares of Common Stock
shall be determined as of the time that the option with respect to such shares
was granted.

                (c)     An Incentive Stock Option may be granted under this Plan
to an employee possessing more than 10% of the total combined voting power of
all classes of stock of the Company (as determined pursuant to the attribution
rules contained in Section 424(d) of the Code) only if the exercise price is at
least 110% of the fair market value of the Common Stock subject to the option on
the date the option is granted, as described in Section 5.1(f) of this Plan, and
only if the option by its terms is not exercisable after the expiration of five
years from the date it is granted.

                (d)     Except as provided in Section 5.5 of this Plan, no
Incentive Stock Option granted under this Plan may be exercised unless at the
time of such exercise the Optionee is employed by the Company or any subsidiary
of the Company and the Optionee has been so employed continuously since the date
such option was granted.

                (e)     Subject to Sections 5.1(c) and 5.1(d) of this Plan,
Incentive Stock Options granted under this Plan shall continue in effect for the
period fixed by the Board, except that no Incentive Stock Option shall be
exercisable after the

                                       11
<PAGE>   4
expiration of 10 years from the date it is granted.

                (f)     The exercise price shall not be less than 100% of the
fair market value of the shares of Common Stock covered by the Incentive Stock
Option at the date the option is granted. The fair market value of shares shall
be the closing price per share of the Common Stock on the date of grant as
reported on a securities quotation system or stock exchange or other principal
market for the Common Stock. If such shares are not so reported or listed, the
Board shall from time to time determine the fair market value of the shares of
Common Stock in its discretion.

                (g)     The provisions of clauses (b) and (c) of this Section
shall not apply if either the applicable sections of the Code or the regulations
thereunder are amended so as to change or eliminate such limitations or to
permit appropriate modifications of those requirements by the Board.

        5.2     Non-Qualified Stock Options. Non-Qualified Stock Options shall
be subject to the following terms and conditions:

                (a)     The exercise price may be more or less than or equal to
the fair market value of the shares of Common Stock covered by the Non-Qualified
Stock Option on the date the option is granted, and the exercise price may
fluctuate based on criteria determined by the Board. The fair market value of
shares of Common Stock covered by a Non-Qualified Stock Option shall be
determined by the Board, as described in Section 5.1(f).

                (b)     Unless otherwise established by the Board, any
Non-Qualified Stock Option shall terminate 10 years after the date it is
granted.

        5.3     Vesting. To ensure that the Company will achieve the purposes of
and receive the benefits contemplated in this Plan, the Board, at its
discretion, may establish a vesting schedule, change such vesting schedule or
provide for no vesting schedule for options granted under the Plan. In
establishing a vesting schedule, the Board may set a "Base Date", meaning a
reference date for the specific option grant and Optionee. If no Base Date is
established by the Board for a specific option grant, then the date of grant of
the option by the Board shall constitute the Base Date.

        5.4     Nontransferability. Each option granted under this Plan and the
rights and privileges conferred hereby may not be transferred, assigned, pledged
or hypothecated in any manner (whether by operation of law or otherwise) other
than by will or by the applicable laws of descent and distribution or pursuant
to a qualified domestic relations order. The foregoing notwithstanding, the
Board on conditions it determines may permit the transferability of a
Non-Qualified

                                       12
<PAGE>   5
Stock Option by an Optionee solely to members of the Optionee's family members
or to one or more trusts or partnerships for the benefit of such family members.
Any purported transfer or assignment in violation of this provision shall be
void.

        5.5    Termination of Options.

                5.5.1   Generally. Unless otherwise determined by the Board or
specified in the Optionee's Option Agreement, if the Optionee's employment or
service with the Company terminates for any reason other than for cause,
resignation, retirement, disability or death, and unless by its terms the option
sooner terminates or expires, then the Optionee may exercise, for a three-month
period, that portion of the Optionee's option which was exercisable at the time
of such termination of employment or service (provided the conditions of Section
5.6.4 and any other conditions specified in the Option Agreement shall have been
met by the date of exercise of such option).

                5.5.2   For Cause; Resignation.

                        (a)     If an Optionee is terminated for cause or
resigns in lieu of dismissal, any option granted hereunder shall be deemed to
have terminated as of the time of the first act which led or would have led to
the termination for cause or resignation in lieu of dismissal, and such Optionee
shall thereupon have no right to purchase any shares of Common Stock pursuant to
the exercise of such option, and any such exercise shall be null and void.
Termination for "cause" shall include (i) the violation by the Optionee of any
reasonable rule or policy of the Board of Directors or the Optionee's superiors
or the chief executive officer or the President of the Company that results in
damage to the Company or which, after notice to do so, the Optionee fails to
correct within a reasonable time; (ii) any willful misconduct or gross
negligence by the Optionee in the responsibilities assigned to him or her; (iii)
any willful failure to perform his or her job as required to meet the objectives
of the Company; (iv) any wrongful conduct of an Optionee which has an adverse
impact on the Company or which constitutes a misappropriation of the assets of
the Company; (v) unauthorized disclosure of confidential information; or (vi)
the Optionee's performing services for any other company or person which
competes with the Company while he or she is employed by or provides services to
the Company, without the prior written approval of the Chairman or President of
the Company. "Resignation in lieu of dismissal" shall mean a resignation by an
Optionee of employment with or service to the Company if (i) the Company has
given prior notice to such Optionee of its intent to dismiss the Optionee for
circumstances that constitute cause, or (ii) within two months of the Optionee's
resignation, the Chairman or President of the Company or the Board of Directors
determines, which determination shall be final and binding, that such
resignation was related to an

                                       13
<PAGE>   6
act which would have led to a termination for cause.

                        (b)     If an Optionee resigns from the Company, the
right of the Optionee to exercise his or her option shall be suspended for a
period of two months from the date of resignation, unless the Chairman or the
President of the Company or the Board of Directors determines otherwise in
writing. Thereafter, unless there is a determination that the Optionee resigned
in lieu of dismissal, the option may be exercised at any time prior to the
earlier of (i) the expiration date of the option (which shall have been
similarly suspended) or (ii) the expiration of three months after the date of
resignation, for that portion of the Optionee's option which was exercisable at
the time of such resignation (provided the conditions of Section 5.6.4 and any
other conditions specified in the Option Agreement shall have been met at the
date of exercise of such option).

                5.5.3   Retirement. Unless otherwise determined by the Board, if
an Optionee's employment or service with the Company is terminated with the
Company's approval for reasons of age, the Option may be exercised at any time
prior to the earlier of (a) the expiration date of the option or (b) the
expiration of three months after the date of such termination of employment or
service, for that portion of the Optionee's option which was exercisable at the
time of such termination of employment or service (provided the conditions of
Section 5.6.4 and any other conditions specified in the Option Agreement shall
have been met at the date of exercise of such option).

                5.5.4   Disability. Unless otherwise determined by the Board, if
an Optionee's employment or relationship with the Company terminates because of
a permanent and total disability (as defined in Section 22(e)(3) of the Code),
the Option may be exercised at any time prior to the earlier of (a) expiration
date of the Option or (b) the expiration of 12 months after the date of such
termination for up to the full number of shares of Common Stock covered thereby,
including any portion not yet vested (provided the conditions of Section 5.6.4
and any other conditions specified in the Option Agreement shall have been met
by the date of exercise of such Option).

                5.5.5   Death. Unless otherwise determined by the Board, in the
event of the death of an Optionee while employed by or providing service to the
Company, the Option may be exercised at any time prior to the earlier of (a) the
expiration date of the Option or (b) the expiration of 12 months after the date
of death by the person or persons to whom such Optionee's rights under the
option shall pass by the Optionee's will or by the applicable laws of descent
and distribution for up to the full number of shares of Common Stock covered
thereby, including any portion not yet vested (provided the conditions of
Section 5.6.4 and any other conditions specified in the Option Agreement shall
have been met by the date of exercise of such Option).

                                       14
<PAGE>   7
                5.5.6   Extension of Exercise Period. The Board, at the time of
grant or at any time thereafter, may extend the three-month and 12-month
exercise periods to any length of time not longer than the original expiration
date of the option, and may increase the portion of an option that is
exercisable, subject to such terms and conditions as the Board may determine;
provided, that any extension of the exercise period or other modification of an
Incentive Stock Option shall be subject to the written agreement and
acknowledgment by the Optionee that the extension or modification disqualifies
the option as an Incentive Stock Option.

                5.5.7   Failure to Exercise Option. To the extent that the
option of any deceased Optionee or of any Optionee whose employment or service
terminates is not exercised within the applicable period, all rights to purchase
shares of Common Stock pursuant to such options shall cease and terminate.

                5.5.8   Leaves. For purposes of this Section 5.5, with respect
to Incentive Stock Options, employment shall be deemed to continue while the
Optionee is on military leave, sick leave or other bona fide leave of absence
(as determined by the Board) in accordance with the policies of the Company.

        5.6     Exercise.

                5.6.1   Procedure. Subject to the provisions of Section 5.3
above, each Option may be exercised in whole or in part; provided, however, that
no fewer than 100 shares (or the remaining shares then purchasable under the
Option, if less than 100 shares) may be purchased upon any exercise of any
Option granted hereunder and that only whole shares will be issued pursuant to
the exercise of any Option (the number of 100 shares shall not be changed by any
transaction or action described in Section 6 unless the Board determines that
such a change is appropriate). Options shall be exercised by delivery to the
Secretary of the Company or his or her designated agent of written notice of the
number of shares with respect to which the Option is exercised, together with
payment in full of the exercise price.

                5.6.2   Payment. Payment of the option exercise price shall be
made in full at the time the written notice of exercise of the option is
delivered to the Secretary of the Company or his or her designated agent and
shall be in cash or check or pursuant to irrevocable instructions to a stock
broker to deliver the amount of sales proceeds necessary to pay the appropriate
exercise price and withholding tax obligations, all in accordance with
applicable governmental regulations, for the shares of Common Stock being
purchased. The Board may determine at the time the option is granted for
Incentive Stock Options, or at any

                                       15
<PAGE>   8
time before exercise for Non-Qualified Stock Options, that additional forms of
payment will be permitted, including without limitation full recourse promissory
notes. In addition, with the prior consent of the Board, an Optionee may deliver
previously owned shares of Common Stock or apply automatically the shares to be
received upon the exercise of a portion of a stock option (even though stock
certificates have not yet been issued) to satisfy the purchase price for
additional portions of the option.

                5.6.3   Withholding. Prior to the issuance of shares of Common
Stock upon the exercise of an option, the Optionee shall pay to the Company the
amount of any applicable federal, state or local tax withholding obligations.
The Company may withhold any distribution in whole or in part until the Company
is so paid. The Company shall have the right to withhold such amount from any
other amounts due or to become due from the Company, as the case may be, to the
Optionee, including salary (subject to applicable law) or to retain and withhold
a number of shares having a market value not less than the amount of such taxes
required to be withheld by the Company to reimburse it for any such taxes and
cancel (in whole or in part) any such shares so withheld.

                5.6.4   Conditions Precedent to Exercise. The Board may
establish conditions precedent to the exercise of any option, which shall be
described in the relevant Option Agreement.

        5.7     Foreign Qualified Grants. Options under this Plan may be granted
to officers and employees of the Company and other persons described in Section
4 who reside in foreign jurisdictions as the Board may determine from time to
time. The Board may adopt such supplements to the Plan as are necessary to
comply with the applicable laws of such foreign jurisdictions and to afford
Optionees favorable treatment under such laws; provided, however, that no award
shall be granted under any such supplement on terms which are more beneficial to
such Optionees than the terms permitted by this Plan.

        5.8     Corporate Mergers, Acquisitions, Etc. The Board may also grant
options under this Plan having terms, conditions and provisions that vary from
those specified in this Plan provided that such options are granted in
substitution for, or in connection with the assumption of, existing options
granted, awarded or issued by another corporation and assumed or otherwise
agreed to be provided for by the Company pursuant to or by reason of a
transaction involving a corporate merger, consolidation, acquisition of property
or stock, reorganization or liquidation to which the Company is a party.

        5.9     Holding Period. Unless otherwise determined by the Board, if a
person subject to Section 16 of the Exchange Act exercises an option within six
months of the date of grant of the option, the shares of Common Stock acquired

                                       16
<PAGE>   9
upon exercise of the option may not be sold until six months after the date of
grant of the option.

        5.10    Option Agreements. Options granted under this Plan shall be
evidenced by written stock option agreements ("Option Agreements") which shall
contain such terms, conditions, limitations and restrictions as the Board shall
deem advisable and which are consistent with this Plan. All Option Agreements
shall include or incorporate by reference the applicable terms and conditions
contained in this Plan.

6.      Adjustments Upon Changes in Capitalization.

        6.1     Stock Splits, Capital Stock Adjustments. The aggregate number
and class of shares for which options may be granted under this Plan, the number
and class of shares covered by each outstanding option and the exercise price
per share thereof (but not the total price), and each such option, shall all be
proportionately adjusted for any increase or decrease in the number of issued
shares of Common Stock of the Company resulting from a stock split, stock
dividend or consolidation of shares or any like capital stock adjustment.

        6.2     Effect of Merger, Sale of Assets, Liquidation or Dissolution.

                6.2.1   Termination Unless Assumption or Substitution. Upon the
effective date of a merger, consolidation or plan of exchange (other than a
merger, consolidation or plan of exchange involving the Company in which the
holders of voting securities of the Company immediately prior to such
transaction own at least 50% of the voting power of the outstanding securities
of the surviving corporation or a parent of the surviving corporation after such
transaction), or a sale of all or substantially all the assets of the Company,
or a liquidation or dissolution of the Company, the Plan and any option
theretofore granted hereunder shall terminate, unless provisions be made in
writing in connection with such transaction for the continuance of the Plan and
for the assumption of options theretofore granted, or the substitution for such
options, with new options covering the shares of a successor corporation, or a
parent, affiliate or subsidiary thereof, with appropriate adjustments as to
number and kind of shares and prices thereof, in which event the Plan and the
options granted under it, or the new options substituted therefor, shall
continue in the manner and under the terms so provided.

                6.2.2   Exercise and Vesting. If provision is not made pursuant
to the preceding Section 6.2(a) in connection with such a transaction for the
continuance of the Plan and for the assumption of options, or the substitution
for such options of new options covering the shares of a successor employer
corporation or a parent, affiliate or subsidiary thereof, then each Optionee

                                       17
<PAGE>   10
under the Plan shall be entitled, prior to the effective date of any such
transaction, to exercise the option for the full number of shares covered
thereby, including any portion not yet vested (provided that the conditions of
Section 5.6.4 and any other conditions specified in the Option Agreement shall
have been met at the date of exercise of such option).

        6.3     Fractional Shares. In the event of any adjustment in the number
of shares covered by any option, any fractional shares resulting from such
adjustment shall be disregarded and each such option shall cover only the number
of full shares resulting from such adjustment.

        6.4     Determination of Board to Be Final. All adjustments under this
Section 6 shall be made by the Board of Directors, and its determination as to
what adjustments shall be made, and the extent thereof, shall be final, binding
and conclusive. Unless an Optionee agrees otherwise, any change or adjustment to
an Incentive Stock Option shall be made, if possible, in such a manner so as not
to constitute a "modification," as defined in Section 424(h) of the Code, and so
as not to cause the Optionee's Incentive Stock Option to fail to continue to
qualify as an Incentive Stock Option.

7.      Securities Regulations.

        7.1     Compliance with Law. Shares of Common Stock shall not be issued
with respect to an option granted under this Plan unless the exercise of such
option and the issuance and delivery of such shares pursuant thereto shall
comply with all relevant provisions of law, including, without limitation, any
applicable state securities laws, the Securities Act of 1933, as amended, the
Exchange Act, the rules and regulations promulgated thereunder, applicable laws
of foreign countries and other jurisdictions and the requirements of any
quotation service or stock exchange upon which the shares may then be listed,
and shall be further subject to the approval of counsel for the Company with
respect to such compliance, including the availability of an exemption from
registration for the issuance and sale of any shares hereunder. The inability of
the Company to obtain, from any regulatory body having jurisdiction, the
authority deemed by the Company's counsel to be necessary for the lawful
issuance and sale of any shares hereunder or the unavailability of an exemption
from registration for the issuance and sale of any shares hereunder shall
relieve the Company of any liability with respect of the nonissuance or sale of
such shares as to which such requisite authority shall not have been obtained.

        7.2     Investment Purpose. As a condition to the exercise of an option,
the Company may require the Optionee to represent and warrant at the time of any
such exercise that the shares of Common Stock are being purchased only for
investment and without any present intention to sell or distribute such shares
if,

                                       18
<PAGE>   11
in the opinion of counsel for the Company, such a representation is required
by any relevant provision of the aforementioned laws. The Company may place a
stop-transfer order against any shares of Common Stock on the official stock
books and records of the Company, and a legend may be stamped on stock
certificates to the effect that the shares of Common Stock may not be pledged,
sold or otherwise transferred unless an opinion of counsel is provided
(concurred in by counsel for the Company) stating that such transfer is not in
violation of any applicable law or regulation. The Board may also require such
other action or agreement by the Optionees as may from time to time be necessary
to comply with the federal and state securities laws. THIS PROVISION SHALL NOT
OBLIGATE THE COMPANY TO UNDERTAKE REGISTRATION OF THE OPTIONS OR STOCK
THEREUNDER.

8.      Amendment and Termination.

        8.1     Plan. The Board of Directors may at any time suspend, amend or
terminate this Plan, provided that, except as set forth in Section 6, the
approval of the Company's shareholders is necessary within 12 months before or
after the adoption by the Board of Directors of any amendment that will:

                (a)     increase the number of shares of Common Stock that are
to be reserved for the issuance of options under this Plan;

                (b)     permit the granting of stock options to a class of
persons other than those presently permitted to receive stock options under this
Plan; or

                (c)     require shareholder approval under applicable law,
including Section 16(b) of the Exchange Act, and the regulations of any
securities market or exchange on which the Common Stock is then listed for
trading or quotation.

        8.2     Options. Subject to the requirements of Section 422 of the Code
with respect to Incentive Stock Options and to the terms and conditions and
within the limitations of this Plan, the Board may modify or amend outstanding
options granted under this Plan. The modification or amendment of an outstanding
option shall not, without the consent of the Optionee, impair or diminish any of
his or her rights or any of the obligations of the Company under such option.
Except as otherwise provided in this Plan, no outstanding option shall be
terminated without the consent of the Optionee. Unless the Optionee agrees
otherwise, any changes or adjustments made to outstanding Incentive Stock
Options granted under this Plan shall be made in such a manner so as not to
constitute a "modification," as defined in Section 424(h) of the Code, and so as
not to cause any Incentive Stock Option issued hereunder to fail to continue to
qualify as an Incentive Stock Option as defined in Section 422(b) of the Code.

                                       19
<PAGE>   12
        8.3     Automatic Termination. Unless sooner terminated by the Board of
Directors, this Plan shall terminate ten years from the date on which this Plan
is adopted by the Board. No option may be granted after such termination or
during any suspension of this Plan. The amendment or termination of this Plan
shall not, without the consent of the Optionee, alter or impair any rights or
obligations under any option theretofore granted under this Plan.

9.      Miscellaneous.

        9.1     Time of Granting Options. The date of grant of an option shall,
for all purposes, be the date on which the Company completes the required
corporate action relating to the grant of an option; the execution of an Option
Agreement and the conditions to the exercise of an option shall not defer the
date of grant.

        9.2     No Status as Shareholder. Neither the Optionee nor any party to
which the Optionee's rights and privileges under the option may pass shall be,
or have any of the rights or privileges of, a shareholder of the Company with
respect to any of the shares of Common Stock issuable upon the exercise of any
option granted under this Plan unless and until such option has been exercised
and the issuance (as evidenced by the appropriate entry on the books of the
Company or duly authorized transfer agent of the Company) of the stock
certificate evidencing such shares.

        9.3     Status as an Employee. Nothing in this Plan or in any option
granted pursuant to this Plan shall confer upon any Optionee any right to
continue in the employ of the Company, or to interfere in any way with the right
of the Company to terminate his or her employment or other relationship with the
Company at any time.

        9.4     Reservation of Shares. The Company, during the term of this
Plan, at all times will reserve and keep available such number of shares of
Common Stock as shall be sufficient to satisfy the requirements of this Plan.

10.     Effectiveness of This Plan. This Plan shall become effective upon
adoption by the Board so long as it is approved by the Company's shareholders
any time within 12 months after the adoption of this Plan. No option granted
under this Plan to any officer or director of the Company shall become
exercisable, however, until the Plan is approved by the shareholders, and any
options granted prior to such approval shall be conditioned upon and are subject
to such approval.

                                       20
<PAGE>   13
Adopted by the Board of Directors as of February 3, 1999, and approved by the
Shareholders as of May 5, 1999, as amended by the Board of Directors on April
14, 2000

                                       21

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00023-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00023-of-00352.parquet"}]]