Document:

Unassociated Document

    EMPLOYMENT AGREEMENT

     

    This
EMPLOYMENT AGREEMENT is made and entered into as of the 17th day of
December, 2009 (the “Agreement”), by and
between CHINA INFRASTRUCTURE CONSTRUCTION CORPORATION, a Colorado corporation
(the “Company”), having its
principal place of business at C915 Jia Hao International Business Center, 116
Zizhuyuan Road Haidan District, Beijing, China 100097, and (the “Employee”) Yiru Shi,
with an address at 1217 South Catalina Ave. Redondo Beach, CA 90277
(collectively the “Parties”).

    

    WITNESSETH:

     

    WHEREAS,
Employee has represented that she has the experience, background and expertise
necessary to enable her to be the Company’s Chief Financial Officer;
and

     

    WHEREAS,
based on such representation, and the Company’s reasonable due diligence, the
Company wishes to employ Employee as its Chief Financial Officer, and Employee
wishes to be so employed, in each case, upon the terms hereinafter set
forth.

     

    NOW,
THEREFORE, in consideration of the foregoing premises and the mutual covenants
and agreements herein contained, and other good and valuable consideration, the
Parties agree as follows:

     

    1.      DEFINITIONS.  As
used herein, the following terms shall have the following meanings:

     

    1.1                 “Affiliate” means any
Person controlling, controlled by or under common control with the
Company.

     

    1.2                 “Board” means the
Board of Directors of the Company.

     

    1.3                 
“Common Stock”
means the Company’s common stock with no par value.

     

    1.4                 
“Cause” means
(i) conviction of any crime whether or not committed in the course of her
employment by the Company; (ii) Employee’s refusal to carry out instructions of
the Chief Executive Officer or the Board which are consistent with Executive’s
role as Chief Financial Officer; or (iii) the breach of any representation,
warranty or agreement between Employee and Company.

     

    1.5                 “Date of Termination”
means (a) in the case of a termination for which a Notice of Termination (as
hereinafter defined in Section 5.3) is required, 15 days from the date of actual
receipt of such Notice of Termination or, if later, the date specified therein,
as the case may be, and (b) in all other cases, the actual date on which the
Employee’s employment terminates during the Term of Employment (as hereinafter
defined in Section 3) (it being understood that nothing contained in this
definition of “Date of Termination” shall affect any of the cure rights provided
to the Employee or the Company in this Agreement).

     

    1.6                 “Disability” means
Employee’s inability to render, for a period of three consecutive months,
services hereunder due to her physical or mental incapacity.

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    1.7                 “Effective Date” means
December 17, 2009.

     

    1.8                 “Person(s)” means any
individual or entity of any kind or nature, including any other person as
defined in Section 3(a)(9) of the Securities Exchange Act of 1934, and as used
in Sections 13(d) and 14(d) thereof.

     

    1.9                 
“Prospective
Customer” shall mean any Person which has either (a) entered into a
nondisclosure agreement with the Company or any Company subsidiary or Affiliate
or (b) has within the preceding 12 months received a currently pending and not
rejected written proposal in reasonable detail from the Company or any of the
Company’s subsidiary or Affiliate.

     

    2.      EMPLOYMENT.

     

    2.1                 Agreement to Employ.
Effective as of the Effective Date, the Company hereby agrees to employ
Employee, and Employee hereby agrees to serve, subject to the provisions of this
Agreement, as an officer and employee of the Company.

     

    2.2                 Duties and Schedule.
Employee shall serve as the Company’s Chief Financial Officer and shall have
such responsibilities as designated by the Company’s Chief Executive Officer or
the Board that are not inconsistent with applicable laws, regulations and
rules.  Employee shall report directly to the Company’s Chief
Executive Officer or the Board, or the Audit Committee thereof, as circumstances
may require.

     

    3.      TERM OF EMPLOYMENT.
Unless Employee’s employment shall sooner terminate pursuant to Section 5, the
Company shall employ Employee for a term commencing on the Effective Date and
ending on the second anniversary thereof (the “Term”). The first
three months from the Effective Date shall be a probation period (the “Probation Period”),
during which the Employee shall be appointed as the Company’s acting Chief
Financial Officer. Subject to the review and approval of the Board of the
Employee’s performance at the end of Probation Period, the Employee shall be
appointed as the Company’s Chief Financial Officer, commencing on the fourth
month from the Effective Date. The term shall automatically renew for an
additional year unless either Party provides notice to the other that the Term
shall not continue within 30 days prior to the end of the prior Term. The period
during which Employee is employed pursuant to this Agreement shall be referred
to as the “Term” or the “Term of
Employment”.

     

    4.      COMPENSATION.

     

    4.1                 Salary. Employee’s
salary during the Term shall be a gross amount of $150,000 per annum or $12,500
per month (the “Salary”), payable
monthly in arrear from the Effective Date in US Dollars. All applicable
withholding taxes shall be deducted from such payments.

     

    4.2                 Options/Restricted Common
Stock. The Company hereby grants 300,000 shares of options of the Company
to the Employee at the exercise price of $3.9 per share to be vested pursuant to
the Vesting Schedule provided in the Option Grant Agreement as defined
below.  The options to the Employee shall be exclusively governed by
the terms of the Non-Qualified Stock Option Agreement, a form of which is
attached hereto as Exhibit A (the “Option Grant Agreement”) between the Company
and the Employee.

     

    
      
         

      

      
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    4.3                 Vacation. Employee
shall be entitled to fifteen (15) days of paid vacation per year taken at such
times so as to not materially impede her duties hereunder. Employee shall be
entitled to a pro rata
number of days of paid vacation during the period beginning on the Effective
Date through the end of the first fiscal year.  Vacation days that are
not taken in the current year may be carried over into future
years.  Sick leaves shall be consistent with the Company’s standard
policies and applicable U.S. law.  Employee should be entitled to
standard U.S. federal government holidays in addition to vacation or sick
leaves.

     

    4.4                 Business Expenses.
Employee shall be reimbursed by the Company for all ordinary and necessary
expenses incurred by Employee in the performance of her duties hereunder on
behalf of the Company, such expenses not to exceed $500 per month without the
prior written approval of the Company.  Such expenses shall include
but not be limited to the following: (i) a laptop for the Employee’s performance
of her duty hereunder; (ii) a cell phone for the Employee’s performance of her
duty hereunder; (iii) a printer/scanner for the Employee’s performance of her
duty hereunder; and (iv) service fees of a cell phone, a landline phone and the
Internet for the Employee’s performance of her duty hereunder.

     

    4.5                 Health Insurance.
During the Term and subject to the review of the Board, the Employee shall
receive a health insurance reimbursement to the extent of the costs of
her  participation of the California Blue Shield HMO Family Health
Plan.

     

    5.      TERMINATION.

     

    5.1                 Termination Due to Death or
Disability.

     

    5.1.1                 Death. This Agreement
shall terminate immediately upon the death of Employee.  Upon
Employee’s death, Employee’s estate or Employee’s legal representative, as the
case may be, shall be entitled to Employee’s accrued and unpaid Salary and
vacation as of the date of Employee’s death, plus all other compensation and
benefits that were vested through the date of Employee’s death.

     

    5.1.2                 Disability. In the
event of Employee’s Disability, this Agreement shall terminate and Employee
shall be entitled to (a) accrued and unpaid vacation through the first date that
a Disability is determined; and (b) all other compensation and benefits that
were vested through the first date that a Disability has been
determined.

     

    5.2                  Termination
.  Both the Company and the Employee may terminate the
employment hereunder by delivery of written notice to the other party at least
fifteen (15) days prior to termination date or with a shorter notice period if
agreed upon by the Parties provided, however, that in the event of a breach of
this Agreement by the Employee or an event which would constitute “Cause”, the
Company may immediately terminate this Agreement upon written notice with no
waiting period. Upon the effective date of termination under this Section 5.2,
Employee shall be entitled to (a) accrued and unpaid vacation through such
effective date; and (b) all other compensation and benefits that were vested
through such effective date.

     

    
      
         

      

      
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    5.3                  Notice of
Termination.  Any termination of the Employment by the Company
or the Employee shall be communicated by a notice in accordance with Section 8.4
of this Agreement (the “Notice of
Termination”).

     

    5.4                  Payment. The
Employee shall not be entitled to severance payments upon any termination
provided in Section 5 herein. Except as otherwise provided in this Agreement,
any payments to which the Employee shall be entitled under this Section 5,
including, without limitation, any economic equivalent of any benefit, shall be
made as promptly as possible following the Date of Termination, but in no event
more than 30 days after the Date of Termination.  If the amount of any
payment due to the Employee cannot be finally determined within 30 days after
the Date of Termination, such amount shall be reasonably estimated on a good
faith basis by the Company and the estimated amount shall be paid no later than
thirty (30) days after such Date of Termination.  As soon as
practicable thereafter, the final determination of the amount due shall be made
and any adjustment requiring a payment to Employee shall be made as promptly as
practicable.  The payment of any amounts under this Section 5 shall
not affect Employee’s rights to receive any workers’ compensation
benefits.  Notwithstanding any provision to the contrary in this
Agreement, the vesting or termination of vested options shall be solely governed
by the terms of the Option Grant Agreement.

     

    6.      EMPLOYEE’S
REPRESENTATION. The Employee represents and warrants to the Company that:
(a) she is subject to no contractual, fiduciary or other obligation which may
affect the performance of her duties under this Agreement; (b) she has
terminated, in accordance with their terms, any contractual obligation which may
affect her performance under this Agreement; and (c) her employment with the
Company will not require her to use or disclose proprietary or confidential
information of any other person or entity.

     

    7.      NON-COMPETITION:
NON-DISCLOSURE; INVENTIONS.

     

    7.1                 Trade Secrets. 
Employee acknowledges that her employment position with the Company is one of
trust and confidence. Employee further understands and acknowledges that, during
the course of Employee's employment with the Company, Employee will be entrusted
with access to certain confidential information, specialized knowledge and trade
secrets which belong to the Company, or its subsidiaries, including, but not
limited to, their methods of operation and developing customer base, its manner
of cultivating customer relations, its practices and preferences, current and
future market strategies, formulas, patterns, patents, devices, secret
inventions, processes, compilations of information, records, and customer lists,
all of which are regularly used in the operation of their business and which
Employee acknowledges have been acquired, learned and developed by them only
through the expenditure of substantial sums of money, time and effort, which are
not readily ascertainable, and which are discoverable only with substantial
effort, and which thus are the confidential and the exclusive Property of the
Company and its subsidiaries (hereinafter “Trade Secrets”). Employee covenants
and agrees to use her best efforts and utmost diligence to protect those Trade
Secrets from disclosure to third parties.  Employee further
acknowledges that, absent the protections afforded the Company and its
subsidiaries in Section 7, Employee would not be entrusted with any of such
Trade Secrets. Accordingly, Employee agrees and covenants (which agreement and
covenant shall survive the termination of this Agreement regardless of the
reason) as follows:

     

    
      
         

      

      
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    7.1.1                 Employee
will at no time take any action or make any statement that will disparage or
discredit the Company, any of its subsidiaries or their products or
services;

     

    7.1.2                 During
the period of Employee's employment with the Company and for 60 months
immediately following the termination of such employment, Employee will not
disclose or reveal to any person, firm or corporation other than in connection
with the business of the Company and its subsidiaries or as may be required by
law, any Trade Secret used or useable by the Company or any of its subsidiaries,
divisions or Affiliates (collectively the “Companies”) in
connection with their respective businesses, known to Employee as a result of
her employment by the Company, or other relationship with the Companies, and
which is not otherwise publicly available. Employee further agrees that during
the term of this Agreement and at all times thereafter, he will keep
confidential and not disclose or reveal to any person, firm or corporation other
than in connection with the business of the Companies or as may be required by
applicable law, any information received by him during the course of her
employment with regard to the financial, business, or other affairs of the
Companies, their respective officers, directors, customers or suppliers which is
not publicly available;

     

    7.1.3              Upon
the termination of Employee's employment with the Company, Employee will return
to the Company all documents, customer lists, customer information, product
samples, presentation materials, drawing specifications, equipment and other
materials relating to the business of any of the Companies, which Employee
hereby acknowledges are the sole and exclusive property of the Companies or any
one of them.  Nothing in this Agreement shall prohibit Employee from
retaining, at all times any document relating to her personal entitlements and
obligations, her rolodex, her personal correspondence files; and any additional
personal property;

     

    7.1.4              During
the term of the Agreement and, for a period of three (3) months immediately
following the termination of the Employee's employment with the Company,
Employee will not: compete, or participate as a shareholder, director, officer,
partner (limited or general), trustee, holder of a beneficial interest,
employee, agent of or representative in any business competing directly with the
Companies without the prior written consent of the Company, which may be
withheld in the Company’s sole discretion; provided, however, that nothing
contained herein shall be construed to limit or prevent the purchase or
beneficial ownership by Employee of less than five percent of any security
registered under Section 12 or 15 of the Securities Exchange Act of
1934;

     

    7.1.5              During
the term of the Agreement and, for a period of eighteen (18) months immediately
following the termination of the Employee's employment with the Company,
Employee will not:

     

    
      
         

      

      
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    7.1.5.1                      solicit
or accept competing business from any customer of any of the Companies or any
person or entity known by Employee to be or have been, during the preceding 18
months, a customer or Prospective Customer of any of the Companies without the
prior written consent of the Company;

     

    7.1.5.2                      encourage,
request or advise any such customer or Prospective Customer of any of the
Companies to withdraw or cancel any of their business from or with any of the
Companies; or

     

    7.1.6              Employee
will not during the period of her employment with the Company and, subject to
the provisions hereof for a period of eighteen (18) months immediately following
the termination of Employee's employment with the Company,

     

    7.1.6.1                      conspire
with any person employed by any of the Companies with respect to any of the
matters covered by this Section 7;

     

    7.1.6.2                      encourage,
induce or solicit any person employed by any of the Companies to facilitate
Employee's violation of the covenants contained in this Section 7;

     

    7.1.6.3                      assist
any entity to solicit the employment of any employee of any of the Companies;
or

     

    7.1.6.4                      employ
or hire any employee of any of the Companies, or solicit or induce any such
person to join the Employee as a partner, investor, coventurer, or otherwise
encourage or induce them to terminate their employment with any of the
Companies.

     

    7.2                 Employee
expressly acknowledges that all of the provisions of this Section 7 of this
Agreement have been bargained for and Employee's agreement hereto is an integral
part of the consideration to be rendered by the Employee which justifies the
rate and extent of the compensation provided for hereunder.

     

    7.3                 Employee
acknowledges and agrees that a violation of any one of the covenants contained
in this Section 7 shall cause irreparable injury to the Company, that the remedy
at law for such a violation would be inadequate and that the Company shall thus
be entitled to temporary injunctive relief to enforce that covenant until such
time that a court of competent jurisdiction either (a) grants or denies
permanent injunctive relief or (b) awards other equitable remedy(s) as it sees
fit.

     

    7.4                 Successors.

     

    7.4.1                 Employee. This
Agreement is personal to Employee and, without the prior express written consent
of the Company, shall not be assignable by Employee, except that Employee’s
rights to receive any compensation or benefits under this Agreement may be
transferred or disposed of pursuant to testamentary disposition, intestate
succession or a qualified domestic relations order or in connection with a
Disability.  This Agreement shall inure to the benefit of and be
enforceable by Employee’s estate, heirs, beneficiaries, and/or legal
representatives.

     

    
      
         

      

      
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    7.4.2                 The Company. This
Agreement shall inure to the benefit of and be binding upon the Company and its
successors and assigns.

     

    7.5                 Inventions and
Patents. The Company shall be entitled to the sole benefit and exclusive
ownership of any inventions or improvements in products, processes, or other
things that may be made or discovered by Employee while she is in the service of
the Company, and all patents for the same. During the Term, Employee shall do
all acts necessary or required by the Company to give effect to this section
and, following the Term, Employee shall do all acts reasonably necessary or
required by the Company to give effect to this section.  In all cases,
the Company shall pay all costs and fees associated with such acts by
Employee.

     

    8.      MISCELLANEOUS.

     

    8.1                 Indemnification.  The
Company and each of its subsidiaries shall, to the maximum extent provided under
applicable law, indemnify and hold Employee harmless from and against any
expenses, including reasonable attorney’s fees, judgments, fines, settlements
and other legally permissible amounts (“Losses”), incurred in
connection with any proceeding arising out of, or related to, Employee’s
employment by the Company, other than any such Losses incurred as a result of
Employee’s negligence or willful misconduct.  The Company shall, or
shall cause a subsidiary thereof to, advance to Employee any expenses, including
attorney’s fees and costs of settlement, incurred in defending any such
proceeding to the maximum extent permitted by applicable law.  Such
costs and expenses incurred by Employee in defense of any such proceeding shall
be paid by the Company or applicable subsidiary in advance of the final
disposition of such proceeding promptly upon receipt by the Company of (a)
written request for payment; (b) appropriate documentation evidencing the
incurrence, amount and nature of the costs and expenses for which payment is
being sought; and (c) an undertaking adequate under applicable law made by or on
behalf of Employee to repay the amounts so advanced if it shall ultimately be
determined pursuant to any non-appealable judgment or settlement that Employee
is not entitled to be indemnified by the Company or any subsidiary thereof. The
Company will provide Employee with coverage under all director’s and officer’s
liability insurance policies which is has in effect during the Term, with no
deductible to Employee.

     

    8.2                 Applicable Law. 
Except as may be otherwise provided herein, this Agreement shall be governed by
and construed in accordance with the laws of the State of New York, applied
without reference to principles of conflict of laws.

     

    8.3                 Amendments. 
This Agreement may not be amended or modified otherwise than by a written
agreement executed by the parties hereto or their respective successors or legal
representatives.

     

    8.4                 Notices.  All
notices and other communications hereunder shall be in writing and shall be
given by hand-delivery to the other party or by registered or certified mail,
return receipt requested, postage prepaid, addressed as follows:

     

    
      
         

      

      
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    If to the
Employee:

    

    Yiru
Shi

    1217
South Catalina Ave.

    Redondo
Beach, CA 90277

    Telephone:  949-468-7078

    E-mail:
shiyiru@hotmail.com

    

    If to the
Company:

    

    C915 Jia
Hao International Business Center

    116
Zizhuyuan Road Haidan District

    Beijing,
China 100097

    Attn:  Mr.
Rong Yang

    Tel: 86-10-5170-9287

    

    With a
copy to (which shall not constitute notice):

    

    Guzov
Ofsink, LLC

    600
Madison Avenue, 14th Floor

    New York,
New York 10022

    Attn:
Darren Ofsink

    Tel:
212-371-8008

    

    Or to
such other address as either party shall have furnished to the other in writing
in accordance herewith.  Notices and communications shall be effective
when actually received by the addressee.

    

    8.5                 Withholding. 
The Company may withhold from any amounts payable under the Agreement, such
federal, state and local income, unemployment, social security and similar
employment related taxes and similar employment related withholdings as shall be
required to be withheld pursuant to any applicable law or
regulation.

     

    8.6                 Severability. 
The invalidity or unenforceability of any provision of this Agreement shall not
affect the validity or enforceability of any other provision of this Agreement,
and any such provision which is not valid or enforceable in whole shall be
enforced to the maximum extent permitted by law.

     

    8.7                 Captions.  The
captions of this Agreement are not part of the provisions and shall have no
force or effect.

     

    8.8                 Entire
Agreement.  This Agreement contains the entire agreement among the
parties concerning the subject matter hereof and supersedes all prior
agreements, understandings, discussions, negotiations and undertakings, whether
written or oral, between the parties with respect thereto.

     

    
      
         

      

      
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    8.9                 Survivorship. 
The respective rights and obligations of the parties hereunder shall survive any
termination of this Agreement or the Employee’s employment hereunder to the
extent necessary to the intended preservation of such rights and
obligations.

     

    8.10                 Waiver. Either
Party's failure to enforce any provision or provisions of this Agreement shall
not in any way be construed as a waiver of any such provision or provisions, or
prevent that party thereafter from enforcing each and every other provision of
this Agreement.

     

    8.11                 Joint
Efforts/Counterparts.  Preparation of this Agreement shall be deemed
to be the joint effort of the parties hereto and shall not be construed more
severely against any party.  This Agreement may be signed in two or
more counterparts, each of which shall be deemed an original and all of which
together shall constitute one and the same instrument.

     

    8.12                 Representation by
Counsel.   Each Party hereby represents that it has had
the opportunity to be represented by legal counsel of its choice in connection
with the negotiation and execution of this Agreement.

     

    --
Signature page follows --

     

    

    
      
         

      

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

    

    

    
      
        
          
            
              	
                      EMPLOYEE:

                       

                       

                       

                      /s/
      Yiru Shi

                    	 	
                      CHINA
      INFRASTRUCTURE CONSTRUCTION CORPORATION

                       

                       

                       

                      By:
      /s/ Rong Yang

                    
	      
                      Yiru
      Shi

                    	 
      	      
                      Rong
      Yang

                      Chief
      Executive
Officer

                    

            

          

        

      

    

    

    
 

    
      
         

      

      
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    EXHIBIT
A

    

    OPTION
GRANT AGREEMENT

     

     

     

     

     

     

     

     

     

     

     

    11Unassociated Document

    
      NON-QUALIFIED STOCK OPTION
AGREEMENT

      

      

      THIS NON-QUALIFIED STOCK OPTION
AGREEMENT (“Agreement”) is made by and between China Infrastructure Construction
Corporation, a Colorado corporation (the “Company”), and Yiru Shi (the
“Optionee”). Capitalized term not defined in this Agreement has the meaning
assigned to them in the Employment Agreement by and between the Company and the
Optionee, dated December 17, 2009 (the “Employment Agreement”).

       

      W I T N E S S E T
H:

       

      WHEREAS, the Board of Directors of the
Company (the “Board of Directors”) has, on the date set forth on the signature
page below, granted Optionee a Non-Qualified stock option (the “Option”) to
purchase from the Company shares of the Company’s common stock, no par value
(“Common Stock”);

      

      NOW, THEREFORE, in consideration of the
mutual benefit to be derived herefrom, the Company and Optionee agree as
follows:

      

      1.           Grant of
Option.  The Company hereby transfers to Optionee, the right,
privilege and option (“Option”) to purchase 300,000 shares of its Common Stock
at an exercise price (“Exercise Price”) of $3.9 per share, in the manner and
subject to the conditions provided hereinafter.

       

      2.           Vesting
of  Option.  The Option shall become vested and
exercisable pursuant to the Vesting Schedule set forth on Exhibit
A.  If termination pursuant to Section 5 of the Employment Agreement
occurs, any unvested options shall immediately terminate on the Date of
Termination as defined under the Employment Agreement.   Any
vested options shall terminate upon the 91st day
following the Date of Termination or three years following the date of vesting,
whichever is earlier.

      

      3.           Exercise
Period.  Any exercise may be with respect to any part or all of
the shares then exercisable pursuant to such Option.  All Options must
be exercised within three years after the date of the vesting or within 90 days
following the Date of Termination, whichever is earlier.

      

      4.           Manner of Exercise.
The Option shall be exercised by written notice of exercise in the form of
Exhibit B to this Agreement addressed to the Company and signed by the Optionee
and delivered to the Company, as such Exhibit B may be amended by the Board of
Directors or the Compensation Committee from time to time. Optionee also agrees
to make such other representations as are deemed necessary or appropriate by the
Company and its counsel. If the Option is exercised in part only, the Company
shall make a record such option on its books and records reflecting the partial
exercise which shall be presumptive of the number of shares
exercised.

       

      
        
           

        

        
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      (a)            The
Exercise Price is payable by certified or official bank check or by personal
check; provided, however, that no shares of Common Stock shall be issued to
Optionee until the Company has been advised by its bank that the check has
cleared.

       

      (b)            In
lieu of delivery of the cash price or stock consideration for the option
exercise, the Optionee shall have the right, at its option, from time to time or
times during the Exercise Period, elect to exercise the Option through a
“cashless exercise” in which the Optionee shall be entitled to purchase the
shares based on the following formula:

       

      
        	 
      	
                X =
      Y [(A-B)/A]

              
	
                where:

              	 
      
	 
      	
                X =
      the number of shares the Optionee is to receive as the result of option
      exercise.

              
	 
      	
                Y =
      the number of Optioned Shares.

              
	 
      	
                A =
      the arithmetic average of the closing prices for the five trading days
      immediately prior to (but not including) the exercise
  date.

              
	 
      	
                B =
      the Exercise Price”

              

      

      

       

      (c)            (i)           In
the event of the merger or consolidation of the Company with or into any
corporation or other entity or in the event of the sale by the Company of all or
substantially all of its business and assets followed by a distribution of
assets to the stockholders in connection with a liquidation or partial
liquidation of the Company or in the event of a similar transaction (each a
“Merger Transaction”), prior to the expiration of this Option, this Option shall
be converted into the consideration payable with respect to the Common Stock in
the Merger Transaction (the “Merger Consideration”) as follows.

       

      (ii)           The
Optionee shall receive Merger Consideration having a value equal to the
appreciation, if any, of this Option.  The appreciation of this Option
shall be determined by multiplying the number of shares subject to this Option
by the difference between (i) the value of the Merger Consideration payable with
respect to one share of Common Stock and (ii) the Exercise Price of this
Option.  If the value of the Merger Consideration shall be equal to or
less than the Exercise Price, this Option shall not be converted into Merger
Consideration, but shall terminate, to the extent not exercised, at the
effective time of the Merger Transaction.

       

      (iii)           The
consideration payable to the Optionee shall be in the same form as the Merger
Consideration.  If the Merger Consideration shall consist of both cash
and non-cash consideration, the consideration payable upon conversion of this
Option shall be a combination of cash and non-cash consideration in the same
proportion as the Merger Consideration is payable to the holders of the Common
Stock.

       

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

      (iv)           If
and to the extent that the Merger Consideration is other than cash, the value of
the non-cash Merger Consideration shall be determined in good faith by the
Company’s Board of Directors, and the Company shall promptly advise the Optionee
of such determination.  If the Optionee disagrees with the
determination of the Board of Directors, the Optionee shall have the right to
exercise this Option by paying the Exercise Price as provided in Section 4(b) or
(c) of this Agreement prior to the effectiveness of the Merger
Transaction.  If the Option is not exercised prior to the
effectiveness of the Merger Transaction, the Option shall be automatically
converted or terminated, as the case may be, as provided in this Section
4(d).

       

      (d)            The
shares of Common Stock when issued upon exercise of the Option (the “Optioned
Shares”), will be duly and validly authorized and issued, fully paid and
non-assessable.

       

      (e)            In
connection with any exercise of this Option, the Optionee shall,
contemporaneously with the exercise of this Option, to the extent required by
law, pay or provide for payment of any withholding taxes due as a result of such
exercise.

       

      5.           Restrictions on Exercise and
Delivery.  The exercise of this Option, in whole or in part, shall
be subject to the condition that, if at any time the Board of Directors or the
Compensation Committee, shall determine, in its sole and absolute
discretion,

      

      (a)    the
satisfaction of any withholding tax or other withholding liabilities, is
necessary or desirable as a condition of, or in connection with, such exercise
or the delivery or purchase of Stock pursuant thereto,

      

      (b)    the listing,
registration, or qualification of any shares deliverable upon such exercise is
desirable or necessary, under any state or federal law, as a condition of, or in
connection with, such exercise or the delivery or purchase of shares pursuant
thereto, or

      

      (c)    the consent
or approval of any regulatory body is necessary or desirable as a condition of,
or in connection with, such exercise or the delivery or purchase of shares
pursuant thereto, then in any such event, such exercise shall not be effective
unless such withholding, listing, registration, qualification, consent or
approval shall have been effected or obtained free of any conditions not
acceptable to the Board of Directors or its compensation committee. Optionee
shall execute such documents and take such other actions as are required by the
Board of Directors or the Compensation Committee to enable it to effect or
obtain such withholding, listing, registration, qualification, consent or
approval. Neither the Company nor any officer or director, or member of the
Board of Directors or the Compensation Committee, shall have any liability with
respect to the non-issuance or failure to sell shares as the result of any
suspensions of exercisability imposed pursuant to this Section.

      

      
        
           

        

        
          3

          
            

          

        

        
           

        

      

      6.           Termination of
Option.  Except as otherwise provided in this Agreement, to the
extent not previously exercised, upon the first to occur of any of the following
events:

      

      (a)           The
dissolution or liquidation of the Company;

      

      (b)           The
breach by Optionee of any material provision of this Agreement and the
Employment Agreement;

      

      
        	
                 
      

              	
                (c)

              	
                The
      expiration of three years from the vesting date of any
      Options.

              

      

      

      
        	
                 
      

              	
                (d)

              	
                90
      days after the Date of Termination as defined under the Employment
      Agreement.

              

      

       

      8.            Adjustment
Provisions. The number of shares of Common Stock subject to the Option
and the Exercise Price shall be adjusted in accordance with generally accepted
accounting principles in the event of a stock dividend, stock split, stock
distribution, reverse split or other combination of shares, recapitalization or
otherwise, which affects the Common Stock.

       

      9.            Transferability. The
Option is not transferable by the Optionee except that, in the event of
Optionee’s death or incompetence, the Option may be exercised by Optionee’s
legal representative or by the persons to whom the Option is transferred by will
or the laws of descent and distribution.

       

      10.                      No Rights As a
Stockholder.  The Optionee shall have no interest in and shall
not be entitled to any voting rights or any dividend or other rights or
privileges of a stockholder of the Company with respect to any shares of Common
Stock issuable upon exercise of this Option prior to the exercise of this Option
and payment of the Exercise Price.

       

      11.                      No Rights to Continued
Service.  Nothing in this Option shall be constructed as an
employment or consulting agreement.

       

      12.                      Legality. Anything in
this Option to the contrary notwithstanding, the Optionee agrees that he or she
will not exercise the Option, and that the Company will not be obligated to
issue any shares of Common Stock pursuant to this Option, if the exercise of the
Option or the issuance of such shares shall constitute a violation by the
Optionee or by the Company of any provisions of any law or of any regulation of
any governmental authority. Any determination by the Board of Directors or the
Compensation Committee shall be final, binding and conclusive. The Company shall
not be obligated to take any affirmative action in order to cause the exercise
of the Option or the issuance of shares pursuant thereto to comply with such law
or regulation.  The Optionee understands that, unless the issuance of
the Optioned Shares is registered pursuant to the Securities Act of 1933, as
amended (the “Securities Act”), the Optioned Shares, if and when issued, will be
restricted securities, as defined in Rule 144 of the Securities and Exchange
Commission pursuant to the Securities Act. The Company shall not be required to
issue any Optioned Shares if the issuance thereof is not permitted pursuant to
the Securities Act. The Company shall not be required to register the Optioned
Shares pursuant to the Securities Act.

       

      
        
           

        

        
          4

          
            

          

        

        
           

        

      

      13.                      Action by Company.
The existence of the Option shall not effect in any way the right or power of
the Company or its stockholders to make or authorize any or all adjustments,
recapitalization, reorganizations or other changes in the Company’s capital
structure or its business, or any merger or consolidation of the Company, or any
issue of bonds, debentures, preferred or prior preference stocks ahead of or
affecting the Common Stock or the rights thereof, or the dissolution or
liquidation of the Company, or any sale or transfer of all or any part of its
assets or business, or any other corporate act or proceeding, whether of a
similar character or otherwise.

       

      14.                      Entire
Agreement.  This Agreement contains the entire understanding of
the parties with respect to the subject matter hereof and supersedes all prior
agreements, understandings, discussions and representations, oral or written,
with respect to such matters, which the parties acknowledge have been merged
into this Agreement.

       

      15.                      Interpretation. As a
condition of the granting of the Option, the Optionee and each person who
succeeds to the Optionee’s rights hereunder, agrees that any dispute or
disagreement which shall arise under or as a result of or pursuant to this
Option shall be determined by the Board of Directors or its Compensation
Committee in its sole discretion and that any interpretation by the Board of
Directors or its Compensation Committee of the terms of this Option shall be
final, binding and conclusive.

       

      16.                      Notices. Any notice
to be given under the terms of this Agreement shall be addressed to the Company
in care of its Secretary at its principal office, and any notice to be given to
Optionee shall be addressed to such Optionee at the address maintained by the
Company for such person or at such other address as the Optionee may specify in
writing to the Company.

       

      17.                      Binding Effect. This
Agreement shall be binding upon and inure to the benefit of Optionee, his heirs
and successors, and of the Company, its successors and assigns.

       

      18.                      Governing Law. This
Agreement shall be governed by the laws of the State of New York without giving
effect to principles of conflicts of laws.

       

      19.                      Descriptive
Headings.  Titles to Sections are solely for informational
purposes.

       

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

      

      IN WITNESS WHEREOF, this Agreement is
effective as of, and the date of grant shall be December 17, 2009.

      

      

      CHINA
INFRASTRUCTURE CONSTRUCTION CORPORATION

      a Colorado corporation

      

      

      By: __/s/ Rong
Yang________________

      Name: Rong Yang

      Title: Chief Executive
Officer

      

      

      OPTIONEE

      

      __/s/ Yiru
Shi______________________

      
 

      

      ____Yiru
Shi______________________

      Print Name

      

      

      

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

       

      EXHIBIT
A

      

      VESTING
SCHEDULE

      

      
        	
                 
      

              	
                ·

              	
                150,000
      shares will vest on December 17,
2010

              

      

      
        	
                 
      

              	
                ·

              	
                150,000
      shares will vest on December 17,
2011

              

      

      

      
 

      
        
           

        

        
          7

          
            

          

        

        
           

        

      

      

      
 

      EXHIBIT
B

      
 

      

      ______________, 200__

      

      

      China
Infrastructure Construction Corporation

      

      Re:           Stock
Option Exercise

      

      To Whom
It May Concern:

      

      I (the “Optionee”) hereby exercise my
right to purchase ________ shares of common stock (the “Stock”) of China
Infrastructure Construction Corporation, a Colorado corporation (the “Company”)
as set forth in the Option Agreement (the “Agreement”) with the Company granting
me ___________ shares of its common stock.

      

      o I elect to exercise
__________ option shares by delivery payment of the aggregate exercise price to
the Company.

      

      OR

      

      o I elect to exercise
__________ option shares pursuant to the following formula in lieu of delivery
of the cash price for the option exercise.

      

      
        	 
      	
                X =
      Y [(A-B)/A]

              
	
                where:

              	 
      
	 
      	
                X =
      the number of shares the Optionee is to receive as the result of option
      exercise.

              
	 
      	
                Y =
      the number of Optioned Shares.

              
	 
      	
                A =
      the arithmetic average of the closing prices for the five trading days
      immediately prior to (but not including) the exercise
  date.

              
	 
      	
                B =
      the Exercise Price

              

      

      

      

      Please
deliver to me at my address as set forth above stock certificates representing
the subject shares registered in my name.

      

      The Optionee hereby represents and
agrees as follows:

      

      
        
           

        

        
          8

          
            

          

        

        
           

        

      

       

       

      1.           The
Optionee acknowledges receipt of a copy of the Agreement. The Optionee has
carefully reviewed the Agreement.

      

      2.           The
Optionee is a resident of  __________.

      

      3.           The
Optionee represents and agrees that if the Optionee is an “affiliate” (as
defined in Rule 144 under the Securities Act of 1933) of the Company at the time
the Optionee desires to sell any of the Stock, the Optionee will be subject to
certain restrictions under, and will comply with all of the requirements of,
applicable federal and state securities laws.

      

      The foregoing representations and
warranties are given on ________ at _____________________.

      

      OPTIONEE:

      

      

      _____________________________

      

          Print
Name:______________________________

       

       

       

       

      9

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