Document:

Registration Rights Agreement

 Exhibit 4.4 
  

SEITEL, INC. 
  
 REGISTRATION RIGHTS AGREEMENT 
  
 Dated as of July 2, 2004 

 REGISTRATION RIGHTS AGREEMENT 
  
 This REGISTRATION RIGHTS AGREEMENT is dated as of July 2, 2004, by and between Seitel, Inc, a Delaware corporation (the
“Company”), Mellon HBV Alternative Strategies LLC (“HBV”), a Delaware limited liability company, acting on behalf of itself and certain affiliated funds and accounts managed by it whose names are set forth on
Schedule 1 hereto (each sometimes referred to herein as an “Investor”, or collectively as, the “Investors”). 
  
 WHEREAS, in connection with and pursuant to the Third Amended Joint Plan of Reorganization of Seitel, Inc, dated January 17, 2004 and confirmed by the
Bankruptcy Court on March 18, 2004, as heretofore supplemented and amended (the “Plan”), the Company has distributed to its equity holders as of the Ledger Closing Date (as defined in the Plan) warrants (the
“Warrants”) representing the right to purchase an aggregate of 125,000,000 shares of reorganized common stock (the “Offered Shares”) of the Company, at an aggregate exercise price of $75 million; and 
  
 WHEREAS, in connection with and pursuant to the Plan, and pursuant to the
Standby Funding Commitment Letter entered into by and between the Company and the Investors, dated as of January 5, 2004, the Investors have agreed and committed to purchase all of the Offered Shares, not purchased as a result of the exercise of all
of the Stockholder Warrants, subject to the terms and conditions, set forth therein; and 
  
 WHEREAS, in connection with and pursuant to the Plan, the Company has agreed with the Investors to provide certain rights as set forth herein. 
  
 NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth in this Agreement, and for other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: 
  
 1. Demand Registrations. 
  
 (a) Demand Registrations. During the Effective Period, one or more Initiating Holders owning, individually or in the aggregate, at least 10% of the
Common Stock comprising the Registrable Securities may request in writing, with a copy of such request delivered simultaneously to each non-Initiating Holder, that the Company file a Registration Statement under the Securities Act (“Demand
Registration”) covering the registration of at least 10% of the Registrable Securities and the intended plan and method of disposition of such shares. The making of such demand by an Initiating Holder shall be binding upon all Investors
with respect to the number of demand registration rights provided for in Section 1(c) hereof. After the date on which the Company receives such a request, the Company shall use reasonable best efforts (i) to file a Registration Statement under the
Securities Act on the appropriate form therefor (using Form S-3 or other “short form,” if available pursuant to the advice of counsel) covering all of the Registrable Securities specified by the Initiating Holders within 45 days after the
date of such request; provided, however, that such 45 day period shall be extended by the number of days having elapsed from the time the Company furnishes to the Initiating Holders a reasonably complete draft of the proposed
Registration Statement to be filed, and the date on which a 

 majority of the Registrable Securities to which the proposed Registration Statement relates notifies the Company that
such draft is acceptable to such Initiating Holders insofar as the draft of the proposed Registration Statement contains information that relates to them and the intended method or methods of distribution as furnished by them to the Company and (ii)
to cause such Registration Statement to be declared effective as quickly as reasonably possible after the filing referenced in clause (i) above. The Company will keep the Demand Registration current and effective for at least 120 days (such 120 day
period to be calculated without regard to any Deferral Period), or a shorter period during which the holders of such demand shall have sold all Registrable Securities covered by the Demand Registration. 
  
 (b) Demand Withdrawal. If an Initiating Holder makes a demand to
register pursuant to Section 1(a) and later determines, prior to the Registration Statement being declared effective by the Commission, not to sell Registrable Securities pursuant to such registration, the Company shall cease all efforts to register
the offer and sale of such holder’s Registrable Securities and shall take all action necessary to prevent the effectiveness for any pending registration prepared in connection with the withdrawn request, and such holder’s Demand
Registration shall be reinstated as if never exercised; provided, however, that such Initiating Holder withdrawing such demand shall pay in full to the Company, within 10 days after presentation of an invoice by the Company therefor,
all reasonably documented costs and expenses incurred by the Company in connection with such withdrawn demand registration, including, but not limited to, Registration Expenses, unless the withdrawal is a result of a breach by the Company of its
obligations under this Agreement or action by the Company under Section 1(d). 
  
 (c) Two Demands. The Investors and their permitted transferees and assigns collectively as a group shall be entitled in the aggregate to make no more than two Demand Registrations pursuant to Section 1(a), and
the making of an appropriate Demand under Section 1(a) by any one Investor, subject to Section 1(b), shall be binding upon all Investors for the purpose of determining the number of Demand Registration rights provided for in this Section 1(c).

  
 (d) Company Rights. Notwithstanding the provisions of
Section 1(a), if the Company is requested to file any Demand Registration: 
  
 (i) The Company shall have the right to defer the filing of a Registration Statement relating to a Demand Registration until the earlier of (x) the 90-day-period following the effective date of any other Registration
Statement pertaining to an underwritten public offering of securities for the account of the Company or for the account of selling security holders of the Company or (y) the date as such distribution shall be completed; or 
  
 (ii) The Company shall have the right to defer the filing
after receipt of the Initiating Holders’ request or if a Registration Statement pertaining to any Demand Registration has already been filed, the Company may cause the Registration Statement to be withdrawn and its effectiveness to be
terminated, or may postpone amending or supplementing the Registration Statement, until the Board of Directors determines that the circumstances requiring the withdrawal or 
  

 2 

 postponement no longer exist, if, in the judgment of the Company, (i) it is advisable to suspend use of
the Prospectus for a period of time due to pending material corporate developments or similar material events that have not yet been publicly disclosed and as to which the Company believes public disclosure will be prejudicial to the Company or
(iii) the Board of Directors of the Company determines in good faith that there is a valid business purpose or reason for delaying such filing or effectiveness. The Company shall deliver a certificate in writing, signed by its Chief Executive
Officer, Chief Financial Officer or General Counsel, to the holders of Registrable Securities, the Special Counsel and the Managing Underwriters, if any, to the effect of the foregoing and, upon receipt of such certificate, each such holder’s
Selling Period will not commence until such holder’s receipt of copies of a supplemented or amended Prospectus, or until it is advised in writing by the Company that the Prospectus may be used, and has received copies of any additional or
supplemental filings that are incorporated or deemed incorporated by reference in such Prospectus. The Company will use reasonable best efforts to ensure that the use of the Prospectus may be resumed, and the Selling Period will recommence, upon the
earlier of (x) public disclosure of such pending material corporate development or similar material event or (y) a determination by the Company that, in the judgment of the Company, public disclosure of such material corporate development or similar
material event would not be prejudicial to the Company. Notwithstanding the foregoing, the Company shall not under any circumstances be entitled to exercise its right under this Section 1(d)(ii) to defer the commencement of a Selling Period more
than ninety (90) days during any twelve (12)-month period. 
  
 (e)
Demand Effectiveness. A Demand Registration shall not count as such until a Registration Statement becomes effective; provided, that if, after it has become effective, the offering pursuant to the Registration Statement is interfered
with by any stop order injunction or other order or requirement of the SEC or any other governmental authority, such registration shall be deemed not to have been effected unless such stop order, injunction or other order shall subsequently have
been vacated or otherwise removed within 60 days of the imposition thereof. 
  
 (f) Selection of Underwriter. The Initiating Holders shall select the underwriter or underwriters (including Managing Underwriter) of any offering pursuant to a Demand Registration, subject to the approval of
the Company, which approval shall not be unreasonably withheld (e.g., taking account of the terms and conditions contained in the underwriting agreement). 
  
 (g) Registration Expenses. The Company will pay all lawful Registration Expenses incurred in connection with any Demand Registration that is not
subsequently withdrawn under Section 1(b) (including, without limitation, the cost of one special counsel which shall be selected by the Initiating Holders). 
  
 (h) Registration Statement Form. Demand Registrations shall be on such appropriate registration form promulgated by the Commission as shall be
selected by the Company, and shall be reasonably acceptable to the holders of a majority of the Registrable Securities to which such registration relates, and shall permit the disposition of such Registrable 
  

 3 

 Securities in accordance with the intended method or methods specified in their request for such registration. Anything
to the contrary notwithstanding provided in Sections 1(a) and 2(a) hereof, the time within which a Demand Registration Statement is otherwise to be filed following receipt of a demand by the Initiating Holders shall be extended by the number of days
having elapsed from the time the Company furnishes to the Initiating Holders a reasonably complete draft of the proposed Registration Statement to be filed, and the date on which a majority of the Registrable Securities to which the proposed
Registration Statement relates notifies the Company that such draft is acceptable to such Initiating Holders insofar as the draft of the proposed Registration Statement contains information that relates to them and the intended method or methods of
distribution as furnished by them to the Company. 
  
 (i)
Priority in Cutback Registrations. If a Demand Registration becomes a Cutback Registration, the Company will include in any such registration to the extent of the number which the Managing Underwriter advises the Company can be sold in such
offering (i) first, Registrable Securities requested to be included in such registration by the Initiating Holders, pro rata on the basis of the number of Registrable Securities requested to be included by such holders, and
(ii) second, other Registrable Securities requested to be included in such registration by the other Requesting Holders, pro rata on the basis of the number of Registrable Securities requested as to be included by such holders,
and (iii) third, other securities of the Company proposed to be included in such registration, allocated among the holders thereof in accordance with the priorities then existing among the Company and the holders of such other securities; and
any securities so excluded shall be withdrawn from and shall not be included in such Demand Registration. 
  
 2. Shelf Registration. 
  
 (a) Shelf Registration. On or after the 90th day on which the Company becomes eligible to effect a Registration Statement on Form S-3 (or any successor form), and provided that two Demands provided for in Section 1(c) hereof have not previously
been made, within (60) days after receipt by the Company of a written request by an Initiating Holder or Holders of not less than ten percent (10%) of the common stock comprising the Registrable Securities, the Company shall prepare and file with
the SEC a Registration Statement for an offering to be made on a continuous basis pursuant to Rule 415 of the Securities Act (a “Shelf Registration”), registering the resale from time to time by the holders of all of the Registrable
Securities (the “Initial Shelf Registration”). Such request shall constitute a Demand Registration request for the purposes of Section 1(c) hereof. The Registration Statement for any Shelf Registration shall be on Form S-3 or
another available form permitting registration of such Registrable Securities for resale by such holders in the manner or manners designated by them. Subject to the provisions of Section 1(d)(ii) and 2(b) hereof, the Company shall keep the Shelf
Registration continuously effective for a period ending on the earlier of (i) the date that is the two-year anniversary of the date upon which such registration statement is declared effective by the Commission, (ii) the date such Registrable
Securities have been disposed of pursuant to an effective registration statement, (iii) the date such Registrable Securities have been disposed of (A) pursuant to and in accordance with Rule 144 (or any similar provision then in force), or (B)
pursuant to another exemption from the registration requirements of the Securities Act pursuant to which the Registrable Securities are thereafter freely transferable without restriction under the Securities Act, (iv) the date such Registrable
Securities may be disposed of pursuant to Rule 144 
  

 4 

 (or any similar provision then in force) within the volume limitations thereunder within a ninety (90) day period or
pursuant to Rule 144(k) (or any similar provision then in force) under the Securities Act, or (v) the date such Registrable Securities cease to be outstanding. 
  

(b) Suspension of Effectiveness. If the Shelf Registration or any Subsequent Shelf Registration (as defined below) ceases to be effective for
any reason at any time during the Effective Period (other than because all Registrable Securities shall have been sold, shall have ceased to be Registrable Securities or may otherwise become eligible to be disposed of pursuant to Rule 144(k) (or any
similar provision then in force) under the Securities Act), the Company shall use reasonable best efforts to obtain the prompt withdrawal of any order suspending the effectiveness thereof, and in any event shall, as soon as reasonably practicable,
amend the Shelf Registration in a manner reasonably expected to obtain the withdrawal of the order suspending the effectiveness thereof, or file an additional Shelf Registration covering all of the Registrable Securities (a “Subsequent Shelf
Registration”). If a Subsequent Shelf Registration is filed, the Company shall use reasonable best efforts to cause the Subsequent Shelf Registration to become effective as promptly as is practicable after such filing and to keep such
Registration Statement continuously effective as provided in Section 2(a) with respect to an Initial Shelf Registration. 
  
 (c) Supplements and Amendments. The Company shall supplement and amend the Shelf Registration if required by the rules, regulations or instructions
applicable to the registration form used by the Company for such Shelf Registration, if required by the Securities Act, or if reasonably requested by any holder of the Registrable Securities covered by such Registration Statement or by any Managing
Underwriter of such Registrable Securities. Such supplement or amendment shall be at the expense of any holder of Registrable Securities making such request if the request has been made by the holder to correct any misstatement of a material fact in
the Shelf Registration made by such holder or omission made by such holder to state a material fact necessary to be stated in order to make any statements contained in the Shelf Registration not misleading as pertains to such holder. 
  
 (d) Shelf Registration Procedures. Each holder of Registrable
Securities agrees that if it wishes to sell any Registrable Securities pursuant to a Shelf Registration and related Prospectus, it will do so only in accordance with this Section 2. Each holder of Registrable Securities agrees to give written
notice to the Company at least six (6) Business Days prior to any intended distribution of Registrable Securities under the Shelf Registration, which notice shall specify the date on which such holder intends to begin such distribution and any
information with respect to such holder and the intended distribution of Registrable Securities by such holder required to amend or supplement the Registration Statement with respect to such intended distribution of Registrable Securities by such
holder; provided, that no holder may give such notice unless such notice, together with notices given by other holders of Registrable Securities joining in such notice or giving similar notices, covers at least ten percent (10%) of the
Registrable Securities. As promptly as is practicable after the date such notice is provided, and in any event within five (5) Business Days after such date, the Company shall either: 
  
 (i) (A) prepare and file with the SEC a post-effective amendment to the Shelf Registration or a supplement
to the related Prospectus or a supplement or amendment to any document incorporated therein by reference or any other required document, so that such Registration Statement will not contain any 
  

 5 

 untrue statement of a material fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein not misleading and so that, as thereafter delivered to purchasers of the Registrable Securities being sold thereunder, such Prospectus will not contain any untrue statement of a material fact or omit to state
a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading; (B) provide each Initiating Holder a copy of any documents filed pursuant to
Section 2(d)(i)(A); and (C) inform each Initiating Holder that the Company has complied with its obligations in Section 2(d)(i)(A) and that the Registration Statement and related Prospectus may be used for the purpose of selling all or
any of such Registrable Securities (or that, if the Company has filed a post-effective amendment to the Shelf Registration which has not yet been declared effective, the Company will notify each Initiating Holder to that effect, will use reasonable
best efforts to secure the effectiveness of such post-effective amendment and will immediately so notify each Initiating Holder when the amendment has become effective); each Initiating Holder will sell all or any of such Registrable Securities
pursuant to the Shelf Registration and related Prospectus only during the sixty (60) day period in the case of registration on Form S-3, or the ninety (90) day period in the case of registration on any other form available for registration,
commencing with the date on which the Company gives notice (such sixty (60) or ninety (90) day period, as the case may be, to be calculated without regard to any Deferral Period), pursuant to Section 2(d)(i)(C), that the Registration
Statement and Prospectus may be used for such purpose; each Initiating Holder agrees that it will not sell any Registrable Securities pursuant to such Registration Statement or Prospectus after such Selling Period without giving a new notice of
intention to sell pursuant to Section 2(d) hereof and receiving a further notice from the Company pursuant to Section 2(d)(i)(C) hereof; or 
  
 (ii) if, in the judgment of the Company, it is advisable to suspend use of the Prospectus for a period of time due to pending material
corporate developments or similar material events that have not yet been publicly disclosed and as to which the Company believes public disclosure will be prejudicial to the Company, the Company shall deliver a certificate in writing, signed by its
Chief Executive Officer and Chief Financial Officer, to the Initiating Holders, the Special Counsel and the Managing Underwriters, if any, to the effect of the foregoing and, upon receipt of such certificate, each such Initiating Holder’s
Selling Period will not commence until such Initiating Holder’s receipt of copies of the supplemented or amended Prospectus provided for in Section 2(d)(i)(A) hereof, or until it is advised in writing by the Company that the Prospectus
may be used, and has received copies of any additional or supplemental filings that are incorporated or deemed incorporated by reference in such Prospectus. The Company will use its reasonable best efforts to ensure that the use of the Prospectus
may be resumed, and the Selling Period will commence, upon the earlier of (x) public disclosure of such pending material corporate development or similar material event or (y) a determination by the Company that, in the judgment of the Company,
public disclosure of such material corporate development or similar material event would not be prejudicial to the Company. 
  

 6 

 (e) Registration Expenses. Subject to Section 1(b) hereof, the Company will pay all Registration
Expenses incurred in connection with any Shelf Registration (including, without limitation, the reasonable cost of one special counsel). 
  
 3. Preemption of Demand or Shelf Registrations. 
  
 Notwithstanding anything to the contrary contained herein, at any time within twenty (20) days after receiving a written request for a Demand Registration
or Shelf Registration, the Company may elect to effect an underwritten primary registration in lieu of the requested registration if the Company’s Board of Directors believes that such primary registration would be in the best interests of the
Company or if the Managing Underwriter for the requested registration advises the Company in writing that in its opinion, in order to sell the Registrable Securities to be sold, the Company should include its own securities. If the Company so elects
to effect a primary registration, the Company shall give prompt written notice to all holders of Registrable Securities of its intention to effect such a registration and shall afford the holders of the Registrable Securities rights contained in
Section 4 with respect to Piggyback Registrations. In the event that the Company so elects to effect a primary registration after receiving a request for a requested registration, the requests for such a registration shall be deemed to have been
withdrawn and such primary registration shall not be deemed to be an Effective Registration. 
  
 4. Piggyback Registrations. 
  
 (a) Right to Include Registrable Securities. Notwithstanding any limitation contained in Section 1 and Section 2, if the Company at any time proposes after the date hereof to effect a Piggyback Registration, including
in accordance with Section 3, it will each, at such time, give prompt written notice (a “Notice of Piggyback Registration”) at least twenty (20) days prior to the anticipated filing date, to all holders of Registrable Securities of
its intention to do so and of such holders’ rights under this Section 4, which Notice of Piggyback Registration shall include a description of the intended method of disposition of such securities. Upon the written request of any such
holder made within 15 days after receipt of a Notice of Piggyback Registration (which request shall specify the Registrable Securities intended to be disposed of by such holder and the intended method of disposition thereof), the Company will,
subject to the other provisions of this Agreement, include in the registration statement relating to such Piggyback Registration all Registrable Securities which the Company has been so requested to register, all to the extent requisite to permit
the disposition of such Registrable Securities in accordance with the intended method of disposition set forth in the Notice of Piggyback Registration. Notwithstanding the foregoing, if, at any time after giving a Notice of Piggyback Registration
and prior to the effective date of the registration statement filed in connection with such registration, the Company shall determine for any reason not to register or to delay registration of such securities, the Company may, at its election, give
written notice of such determination to each holder of Registrable Securities and, thereupon, (i) in the case of a determination not to register, shall be relieved of its obligation to register any Registrable Securities in connection with such
registration (but not from its obligation to pay the Registration Expenses in connection therewith) without prejudice, however, to the rights of any Requesting 
  

 7 

 Holder entitled to do so to request that such registration be effected as a Demand Registration under Section 1 or
a Shelf Registration under Section 2, as applicable, and (ii) in the case of a determination to delay registering, shall be permitted to delay registering any Registrable Securities for the same period as the delay in registering such other
securities. No registration effected under this Section 4 shall relieve the Company of its obligations to effect a registration under Section 1 or Section 2. 
  
 (b) Registration Expenses. All Registration Expenses incurred in connection with any Piggyback Registration shall be
allocated among all Persons (including the Company if it sells shares) on whose behalf securities of the Company are included in such registration, pro rata on the basis of the respective amounts of the securities then being registered
on their behalf. 
  
 (c) Priority in Cutback Registrations.
If a Piggyback Registration becomes a Cutback Registration, the Company will include in such registration to the extent of the amount of the securities which the Managing Underwriter advises the Company can be sold in such offering: 
  
 (i) if such registration as initially proposed by the
Company was solely a primary registration of its securities, (A) first, the securities proposed by the Company to be sold for its own account, (B) second, any Registrable Securities requested to be included in such registration by
Requesting Holders, pro rata on the basis of the number of Registrable Securities requested to be included by such holders, and (C) third, any other securities of the Company proposed to be included in such registration,
allocated among the holders thereof in accordance with the priorities then existing among the Company and such holders pro rata; and 
  
 (ii) if such registration as initially proposed by the Company was in whole or in part requested by holders of securities of the Company,
other than holders of Registrable Securities in their capacities as such, pursuant to demand registration rights, (A) first, such securities held by the holders initiating such registration and, if applicable, any securities proposed by the
Company to be sold for its own account, allocated in accordance with the priorities then existing among the Company and such holders, (B) second, any Registrable Securities requested to be included in such registration by Requesting Holders,
pro rata on the basis of the number of Registrable Securities requested to be included by such holders, and (C) third, any other securities of the Company proposed to be included in such registration, allocated among the holders
thereof in accordance with the priorities then existing among the Company and the holders of such other securities; 
  
 and any securities so excluded shall be withdrawn from and shall not be included in such Piggyback Registration. 
  
 5. Demand and Piggyback Registration Procedures. If and whenever the
Company is required to effect the registration of any Registrable Securities under the Securities Act pursuant to Section 1, Section 2 and Section 4 of this Agreement, the Company will use its reasonable best efforts to effect
the registration of such Registrable Securities. Without limiting 
  

 8 

 the foregoing, the Company in each such case will, as expeditiously as possible, use its reasonable best efforts:

  
 (a) to prepare and file with the Commission
(in the case of a Demand Registration, not later than forty five (45) days after the Company’s receipt of the request therefor from the Initiating Holders or as soon thereafter as possible) the requisite registration statement to effect such
registration and to cause such registration statement to become effective; provided, that as far in advance as practical before filing such registration statement or any amendment thereto, the Company will furnish to the Requesting Holders
copies of reasonably complete drafts of all such documents proposed to be filed (including exhibits), and any such holder shall have the opportunity to object to any information pertaining solely to such holder that is contained therein, and the
Company will make the corrections reasonably requested by such holder with respect to such information prior to filing any such registration statement or amendment; 
  
 (b) prepare and file with the Commission such amendments and supplements to such registration statement and
any prospectus used in connection therewith as may be necessary to maintain the effectiveness of such registration statement during the period of time during which such registration statement is to remain effective as provided in this Agreement and
to comply with the provisions of the Securities Act with respect to the disposition of all Registrable Securities covered by such registration statement, in accordance with the intended methods of disposition thereof, until the earlier of (i) such
time as all of such securities have been disposed of in accordance with the intended methods of disposition by the seller or sellers thereof set forth in such registration statement and (ii) ninety (90) days after such registration statement becomes
effective; 
  
 (c) promptly notify each
Requesting Holder and the underwriter or underwriters, if any: 
  
 (i) when such registration statement or any prospectus used in connection therewith, or any amendment or supplement thereto, has been filed and, with respect to such registration statement or any post-effective
amendment thereto, when the same has become effective; 
  
 (ii) of any written comments from the Commission with respect to any filing referred to in clause (i) and of any written request by the Commission for amendments or supplements to such registration statement or prospectus; 
  
 (iii) of the notification to the Company by the Commission
of its initiation of any proceeding with respect to the issuance by the Commission of, or of the issuance by the Commission of, any stop order suspending the effectiveness of such registration statement; and 
  
 (iv) of the receipt by the Company of any notification with
respect to the suspension of the qualification of any Registrable Securities for sale under the applicable securities or blue sky laws of any jurisdiction; 
  

 9 

 (d) furnish to each seller of Registrable Securities covered by such registration
statement such number of conformed copies of such registration statement and of each amendment and supplement thereto (in each case including all exhibits and documents incorporated by reference), such number of copies of the prospectus contained in
such registration statement (including each preliminary prospectus and any summary prospectus) and any other prospectus filed under Rule 424 promulgated under the Securities Act relating to such holder’s Registrable Securities, and such other
documents, as such seller may reasonably request to facilitate the disposition of its Registrable Securities; 
  
 (e) to register or qualify all Registrable Securities covered by such registration statement under such other securities or blue sky laws
of such jurisdictions as each holder thereof shall reasonably request, to keep such registration or qualification in effect for so long as such registration statement remains in effect, and take any other action which may be reasonably necessary or
advisable to enable such holder to consummate the disposition in such jurisdictions of the Registrable Securities owned by such holder, except that the Company shall not for any such purpose be required (i) to qualify generally to do business as a
foreign corporation in any jurisdiction wherein it would not but for the requirements of this paragraph (e) be obligated to be so qualified, (ii) to subject itself to taxation in any such jurisdiction or (iii) to consent to general service of
process in any jurisdiction; 
  
 (f) use its
reasonable best efforts to cause all Registrable Securities covered by such registration statement to be registered with or approved by such other governmental agencies or authorities as may be necessary to enable each holder thereof to consummate
the disposition of such Registrable Securities; 
  
 (g) furnish to each Requesting Holder a signed counterpart, addressed to such holder (and the underwriters, if any), of 
  
 (i) an opinion of counsel for the Company, dated the effective date of such registration statement (or, if such registration includes an
underwritten Public Offering, dated the date of any closing under the underwriting agreement), reasonably satisfactory in form and substance to such holder, and 
  
 (ii) if received by the Company, a “comfort” letter, dated the effective date of such registration
statement (and, if such registration includes an underwritten Public Offering, dated the date of any closing under the underwriting agreement), signed by the independent public accountants who have issued an opinion with respect to the
Company’s financial statements included in such registration statement, 
  
 in each case covering substantially the same matters with respect to such registration statement (and the prospectus included therein) and, in the case of the accountants’ letter, with respect to events
subsequent to the date of such financial statements, as are customarily covered in opinions of issuer’s counsel and in accountants’ letters delivered to the underwriters in underwritten Public Offerings of securities; provided,
however, (x) the opinion of counsel to the Company shall be limited as to subject matter, form and scope to 
  

 10 

	 	(i)	a negative assurance opinion that such counsel has participated in conferences with officers and other representatives of the Company, representatives of the independent public or
certified public accountants for the Company and with representatives of the underwriters, if any, at which the contents of the registration statement were discussed and, although such counsel will neither pass upon nor assume any responsibility
for, the accuracy, completeness or fairness of the statements contained or incorporated by reference in the registration statement or the prospectus, and any supplements or amendments thereto, and have not made any independent check or verification
thereof, during the course of such participation nothing has come to such counsel’s attention which would lead them to believe that either the registration, at the time the registration statement became effective or as of the date of their
opinion, contained or contains an untrue statement of a material fact or omitted or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading or that the prospectus, as of its issue date
or as of the date of their opinion, contained an untrue statement of a material fact or omitted to state a material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading (it being
understood that such counsel will express no belief as to the financial statements, schedules and other financial and statistical data, included or incorporated by reference in the registration statement or the prospectus or any amendments or
supplements thereto); 

  

	 	(ii)	opining that the registration statement and the prospectus, and each amendment or supplement thereto (other than (i) the financial statements, notes or schedules thereto and
(ii) other financial and statistical information included or incorporated by reference in the registrations statement or the prospectus or omitted therefrom) as of their respective effective or issue dates, appeared on their face to comply as to
form in all material respects with the requirements for registration statements on the Form under which the registration statement was filed under the Securities Act and the Exchange Act and the rules and regulations of the Commission thereunder;
and 

  

	 	(iii)	opining that the registration statement has been declared effective by the Commission under the Securities Act and to the knowledge of such counsel, no stop order suspending the
effectiveness of the registration statement has been issued under the Securities Act and no proceedings for such purpose have been instituted or are pending or are contemplated or threatened by the Commission, 

  

 11 

	 	    	and (y) all other matters pertaining to the Company and the registration statement as customarily covered in opinions of issuer’s counsel shall be the subject of a separate
opinion of the General Counsel to the Company. 

  
 (h) notify, in writing, each holder of Registrable Securities covered by such registration statement, at any time when a prospectus relating thereto is required to be delivered under the Securities Act, of the
happening of any event as a result of which any prospectus included in such registration statement, as then in effect, includes an untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary to
make the statements therein, in the light of the circumstances under which they were made, not misleading (which notice shall include a certificate of the Chief Executive Officer or President of the Company as to the nature of such event), and at
the request of any such holder promptly prepare and furnish to such holder a reasonable number of copies of a supplement to or an amendment of such prospectus as may be necessary so that, as thereafter delivered to the purchasers of such securities,
such prospectus shall not include an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not
misleading; 
  
 (i) otherwise use its reasonable
best efforts to comply with all applicable rules and regulations of the Commission, and make available to its securityholders, if required, as soon as reasonably practicable, an earnings statement covering the period of at least twelve (12) months,
but not more than eighteen (18) months, beginning with the first full calendar month after the effective date of such registration statement, which earnings statement shall satisfy the provisions of Section 11(a) of the Securities Act and Rule 158
promulgated thereunder; 
  
 (j) make available
for inspection by any underwriter participating in any disposition pursuant to such registration statement and any attorney, accountant or other agent retained by any such underwriter (collectively, the “Inspectors”), all financial
and other records, pertinent corporate documents and properties of the Company (collectively, the “Records”) as shall be reasonably necessary to enable them to exercise their due diligence responsibility, and cause the
Company’s officers, directors and employees to supply all information reasonably requested by any such Inspector in connection with such registration statement. Records which the Company determines, in good faith, to be confidential and which
it notifies the Inspectors are confidential shall not be disclosed by the Inspectors unless (i) the disclosure of such Records is necessary to avoid or correct a misstatement or omission in the registration statement, (ii) the release of such
Records is ordered pursuant to a subpoena or other order from a court of competent jurisdiction or (iii) the information in such Records has been made generally available to the public. The seller of Registrable Securities agrees by acquisition of
such Registrable Securities that it will, upon learning that disclosure of such Records is sought in a court of competent jurisdiction, give notice to the Company and allow the Company, at the Company’s expense, to undertake appropriate action
to prevent disclosure of the Records deemed confidential; 
  

 12 

 (k) provide a transfer agent and registrar for all Registrable Securities covered by such
registration statement not later than the effective date of such registration statement; and 
  
 (l) use its reasonable best efforts to cause all Registrable Securities covered by such registration statement to be listed, upon official
notice of issuance, on any securities exchange on which any of the securities of the same class as the Registrable Securities are then listed. 
  
 The Company may require each holder of Registrable Securities as to which any registration is being effected to, and each such holder, as a condition to
including Registrable Securities in such registration, shall, furnish the Company with such information and affidavits regarding such holder and the distribution of such securities as the Company may from time to time reasonably request in writing
in connection with such registration. Any delay in providing such requested information shall toll the time periods provided for in this Agreement for the filing of any registration statement provided for in this Agreement. 
  
 Each holder of Registrable Securities agrees by acquisition of such
Registrable Securities that upon receipt of any notice from the Company of the happening of any event of the kind described in paragraph (h), such holder will forthwith discontinue such holder’s disposition of Registrable Securities
pursuant to the registration statement relating to such Registrable Securities until such holder’s receipt of the copies of the supplemented or amended prospectus contemplated by paragraph (h) and, if so directed by the Company, will
deliver to the Company (at the Company’s expense) all copies, other than permanent file copies, then in such holder’s possession of the prospectus relating to such Registrable Securities current at the time of receipt of such notice. In
the event the Company shall give any such notice, the period referred to in paragraph (b) shall be extended by a number of days equal to the number of days during the period from and including the giving of notice pursuant to paragraph
(h) and to and including the date when each holder of any Registrable Securities covered by such registration statement shall receive the copies of the supplemented or amended prospectus contemplated by paragraph (h). 
  
 6. Underwritten Offerings. 
  
 (a) Underwritten Requested Offerings. In the case of any underwritten
Public Offering being effected pursuant to Demand or Shelf Registrations, subject to Section 1(f), the Managing Underwriter and any other underwriter or underwriters with respect to such offering shall be selected, after consultation with the
holders of the Registrable Securities to be included in such underwritten offering, by the Company with the consent of the holders of a majority of the Registrable Securities to be included in such underwritten offering, which consent shall not be
unreasonably withheld. The Company shall not be required to consult with the holders of Registrable Securities with respect to an underwritten primary public offering of any securities of the Company. The Company shall enter into an underwriting
agreement in customary form with such underwriter or underwriters, which shall include, among other provisions, indemnities and reciprocal indemnities to the effect and to the extent provided in Section 6. The holders of Registrable
Securities to be distributed by such underwriters shall be parties to such underwriting agreement and may, at their option, require that any or all of the representations and warranties by, and the other agreements on the part of, the Company to and
for the benefit of such 
  

 13 

 underwriters also be made to and for their benefit and that any or all of the conditions precedent to the obligations of
such underwriters under such underwriting agreement also be conditions precedent to their obligations. No holder of Registrable Securities shall be required to make any representations or warranties to or agreements with the Company or the
underwriters other than representations, warranties or agreements regarding such holder and its ownership of the securities being registered on its behalf and such holder’s intended method of distribution and any other representation required
by law. No Requesting Holder may participate in such underwritten offering unless such holder agrees to sell its Registrable Securities on the basis provided in such underwriting agreement and completes and executes all questionnaires, powers of
attorney, indemnities and other documents reasonably required under the terms of such underwriting agreement. If any Requesting Holder disapproves of the terms of an underwriting, such holder may elect to withdraw therefrom and from such
registration by notice to the Company and the Managing Underwriter, and each of the remaining Requesting Holders shall be entitled to increase the number of Registrable Securities being registered to the extent of the Registrable Securities so
withdrawn in the proportion which the number of Registrable Securities being registered by such remaining Requesting Holder bears to the total number of Registrable Securities being registered by all such remaining Requesting Holders. 
  
 (b) Underwritten Piggyback Offerings. If the Company at any time
proposes to register any of its securities in a Piggyback Registration and such securities are to be distributed by or through one or more underwriters, the Company will, subject to the provisions of Section 1(i) and Section 4(c), use
its reasonable best efforts, if requested by any holder of Registrable Securities, to arrange for such underwriters to include the Registrable Securities to be offered and sold by such holder among the securities to be distributed by such
underwriters, and such holders shall be obligated to sell their Registrable Securities in such Piggyback Registration through such underwriters on the same terms and conditions as apply to the other Company securities to be sold by such underwriters
in connection with such Piggyback Registration. The holders of Registrable Securities to be distributed by such underwriters shall be parties to the underwriting agreement between the Company and such underwriter or underwriters and may, at their
option, require that any or all of the representations and warranties by, and the other agreements on the part of, the Company to and for the benefit of such underwriters also be made to and for their benefit and that any or all of the conditions
precedent to the obligations of such underwriters under such underwriting agreement also be conditions precedent to their obligations. No holder of Registrable Securities shall be required to make any representations or warranties to or agreements
with the Company or the underwriters other than representations, warranties or agreements regarding such holder and its ownership of the securities being registered on its behalf and such holder’s intended method of distribution and any other
representation required by law. No Requesting Holder may participate in such underwritten offering unless such holder agrees to sell its Registrable Securities on the basis provided in such underwriting agreement and completes and executes all
questionnaires, powers of attorney, indemnities and other documents reasonably required under the terms of such underwriting agreement. If any Requesting Holder disapproves of the terms of an underwriting, such holder may elect to withdraw therefrom
and from such registration by notice to the Company and the Managing Underwriter, and each of the remaining Requesting Holders shall be entitled to increase the number of Registrable Securities being registered to the extent of the Registrable
Securities so withdrawn in the proportion which the number of Registrable Securities being registered by such remaining Requesting Holder bears to the total number of Registrable Securities being registered by all such remaining Requesting Holders.

  

 14 

 7. Holdback Agreements. 
  
 (a) By the Holders of Registrable Securities. If and to the extent requested by the Managing Underwriter (or, in the
case of a non-underwritten Public Offering, the Company), each holder of Registrable Securities, by acquisition of such Registrable Securities, agrees, to the extent permitted by law, not to effect any public sale or distribution (including a sale
under Rule 144) of such securities, or any securities convertible into or exchangeable or exercisable for such securities, during the thirty (30) days prior to and the ninety (90) days after the effective date of any registration statement filed by
the Company in connection with a Public Offering (or for such longer period of time as is sufficient and appropriate, in the opinion of the Managing Underwriter (or, in the case of a non-underwritten Public Offering, the Company), in order to
complete the sale and distribution of the securities included in such registration), except as part of such registration statement, whether or not such holder participates in such registration. 
  
 (b) By the Company and Other Securityholders. If and to the extent
requested by the Managing Underwriter, the Company agrees (i) not to effect any public sale or distribution of its equity securities, or any securities convertible into or exchangeable or exercisable for such securities, during the thirty (30) days
prior to and the ninety (90) days after the effective date of the registration statement filed in connection with an underwritten offering made pursuant to a Demand Registration or a Shelf Registration or a Piggyback Registration (or for such longer
period of time as is sufficient and appropriate, in the opinion of the Managing Underwriter, in order to complete the sale and distribution of the securities included in such registration), except as part of such underwritten registration and except
pursuant to registrations on Form S-4 or Form S-8 promulgated by the Commission or any successor or similar forms thereto, and (ii) to cause each holder of its equity securities, or of any securities convertible into or exchangeable or exercisable
for such securities, in each case purchased from the Company at any time after the date of this Agreement (other than in a Public Offering), to agree, to the extent permitted by law, not to effect any such public sale or distribution of such
securities (including a sale under Rule 144), during such period, except as part of such underwritten registration. 
  
 (c) Exception. The foregoing provisions shall not apply to any holder of securities of the Company to the extent such holder is prohibited by
applicable law from agreeing to withhold from sale or to the extent such holder is acting in its capacity as a fiduciary or an investment adviser. Without limiting the scope of the term “fiduciary”, a holder shall be deemed to be acting as
a fiduciary or an investment adviser if its actions or the shares proposed to be sold are subject to the Employee Retirement Income Security Act, the Investment Company Act of 1940 or the Investment Advisers Act of 1940 or if such shares are held in
a separate account under applicable insurance law or regulation. 
  
 8. Indemnification. 
  
 (a) Indemnification by
the Company. The Company shall, to the full extent permitted by law, indemnify and hold harmless each seller of Registrable Securities included in any registration statement filed in connection with a Demand Registration, Shelf Registration or

  

 15 

 a Piggyback Registration, its directors and officers, and each other Person, if any, who controls any such seller within
the meaning of the Securities Act, against any losses, claims, damages, expenses or liabilities, joint or several (together, “Losses”), to which such seller or any such director or officer or controlling Person may become subject
under the Securities Act or otherwise, insofar as such Losses (or actions or proceedings, whether commenced or threatened, in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact
contained in any such registration statement, any preliminary prospectus, final prospectus or summary prospectus contained therein, or any amendment or supplement thereto, or any omission or alleged omission to state therein a material fact required
to be stated therein or necessary to make the statements therein (in the case of a prospectus, in the light of the circumstances under which they were made) not misleading, and the Company will reimburse such seller and each such director, officer
and controlling Person for any legal or any other expenses reasonably incurred by them in connection with investigating or defending any such Loss (or action or proceeding in respect thereof); provided, that the Company shall not be liable in
any such case to the extent that any such Loss (or action or proceeding in respect thereof) arises out of or is based upon (i) an untrue statement or alleged untrue statement or omission or alleged omission made in any such registration statement,
preliminary prospectus, final prospectus, summary prospectus, amendment or supplement in reliance upon and in conformity with written information furnished to the Company by such seller specifically stating that it is for use in the preparation
thereof or (ii) such seller’s failure to send or give a copy of the final prospectus to the Persons asserting an untrue statement or alleged untrue statement or omission or alleged omission at or prior to the written confirmation of the sale of
Registrable Securities to such Person if such statement or omission was corrected in such final prospectus. Such indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of such seller or any such
director, officer or controlling Person, and shall survive the transfer of such securities by such seller. The Company shall also indemnify each other Person who participates (including as an underwriter) in the offering or sale of Registrable
Securities, their officers and directors and each other Person, if any, who controls any such participating Person within the meaning of the Securities Act to the same extent as provided above with respect to sellers of Registrable Securities.

  
 (b) Indemnification by the Sellers. Each holder of
Registrable Securities which are included or are to be included in any registration statement filed in connection with a Demand Registration, Shelf Registration or a Piggyback Registration, as a condition to including Registrable Securities in such
registration statement, shall, to the full extent permitted by law, indemnify and hold harmless the Company, its directors and officers, and each other Person, if any, who controls the Company within the meaning of the Securities Act, against any
Losses to which the Company or any such director or officer or controlling Person may become subject under the Securities Act or otherwise, insofar as such Losses (or actions or proceedings, whether commenced or threatened, in respect thereof) arise
out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any such registration statement, any preliminary prospectus, final prospectus or summary prospectus contained therein, or any amendment or
supplement thereto, or any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statements therein (in the case of a prospectus, in the light of the circumstances under which they were
made) not misleading, if such untrue statement or alleged untrue statement or omission or alleged omission was made in reliance upon and in conformity with written information furnished to the Company through an 
  

 16 

 instrument duly executed by such seller specifically stating that it is for use in the preparation of such registration
statement, preliminary prospectus, final prospectus, summary prospectus, amendment or supplement; provided, however, that the obligation to provide indemnification pursuant to this Section 8(b) shall be several, and not joint
and several, among such Indemnifying Parties on the basis of the number of Registrable Securities included in such registration statement and the aggregate amount which may be recovered from any holder of Registrable Securities pursuant to the
indemnification provided for in this Section 8(b) in connection with any registration and sale of Registrable Securities shall be limited to the total proceeds received by such holder from the sale of such Registrable Securities. Such
indemnity shall remain in full force and effect regardless of any investigation made by or on behalf of the Company or any such director, officer or controlling Person and shall survive the transfer of such securities by such seller. Such holders
shall also indemnify each other Person who participates (including as an underwriter) in the offering or sale of Registrable Securities, their officers and directors and each other Person, if any, who controls any such participating Person within
the meaning of the Securities Act to the same extent as provided above with respect to the Company. 
  
 (c) Notices of Claims, etc. Promptly after receipt by an Indemnified Party of notice of the commencement of any action or proceeding involving a
claim referred to in the preceding paragraph (a) or (b) of this Section 8, such Indemnified Party will, if a claim in respect thereof is to be made against an Indemnifying Party pursuant to such paragraphs, give written notice to the
latter of the commencement of such action; provided, that the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of its obligations under the preceding paragraphs of this Section
8, except to the extent that the Indemnifying Party is actually prejudiced by such failure to give notice. In case any such action is brought against an Indemnified Party, the Indemnifying Party shall be entitled to participate in and, unless,
in the reasonable judgment of any Indemnified Party, a conflict of interest between such Indemnified Party and any Indemnifying Party exists with respect to such claim, to assume the defense thereof, jointly with any other Indemnifying Party
similarly notified to the extent that it may wish, with counsel reasonably satisfactory to such Indemnified Party, and after notice from the Indemnifying Party to such Indemnified Party of its election so to assume the defense thereof, the
Indemnifying Party shall not be liable to such Indemnified Party for any legal or other expenses subsequently incurred by the latter in connection with the defense thereof other than reasonable costs of investigation; provided, that the
Indemnified Party may participate in such defense at the Indemnified Party’s expense; and provided further, that the Indemnified Party or Indemnified Parties shall have the right to employ one counsel to represent it or them if,
in the reasonable judgment of the Indemnified Party or Indemnified Parties, it is advisable for it or them to be represented by separate counsel by reason of having legal defenses which are different from or in addition to those available to the
Indemnifying Party, and in that event the reasonable fees and expenses of such one counsel shall be paid by the Indemnifying Party. If the Indemnifying Party is not entitled to, or elects not to, assume the defense of a claim, it will not be
obligated to pay the fees and expenses of more than one counsel for the Indemnified Parties with respect to such claim, unless in the reasonable judgment of any Indemnified Party a conflict of interest may exist between such Indemnified Party and
any other Indemnified Parties with respect to such claim, in which event the Indemnifying Party shall be obligated to pay the fees and expenses of such additional counsel for the Indemnified Parties or counsels. No Indemnifying Party shall consent
to entry of any judgment or enter into any settlement without the consent of the Indemnified Party which does not include as an unconditional term thereof the 
  

 17 

 giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect to such claim or
litigation. No Indemnifying Party shall be subject to any liability for any settlement made without its consent, which consent shall not be unreasonably withheld. 
  
 (d) Contribution. If the indemnity and reimbursement obligation provided for in any paragraph of this Section
8 is unavailable or insufficient to hold harmless an Indemnified Party in respect of any Losses (or actions or proceedings in respect thereof) referred to therein, then the Indemnifying Party shall contribute to the amount paid or payable by the
Indemnified Party as a result of such Losses (or actions or proceedings in respect thereof) in such proportion as is appropriate to reflect the relative fault of the Indemnifying Party on the one hand and the Indemnified Party on the other hand in
connection with statements or omissions which resulted in such Losses, as well as any other relevant equitable considerations. The relative fault shall be determined by reference to, among other things, whether the untrue or alleged untrue statement
of a material fact or the omission or alleged omission to state a material fact relates to information supplied by the Indemnifying Party or the Indemnified Party and the parties’ relative intent, knowledge, access to information and
opportunity to correct or prevent such untrue statement or omission. The parties hereto agree that it would not be just and equitable if contributions pursuant to this paragraph were to be determined by pro rata allocation or by any
other method of allocation which does not take account of the equitable considerations referred to in the first sentence of this paragraph. The amount paid by an Indemnified Party as a result of the Losses referred to in the first sentence of this
paragraph shall be deemed to include any legal and other expenses reasonably incurred by such Indemnified Party in connection with investigating or defending any Loss which is the subject of this paragraph. 
  
 No Indemnified Party guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Securities Act) shall be entitled to contribution from the Indemnifying Party if the Indemnifying Party was not guilty of such fraudulent misrepresentation. 
  
 (e) Other Indemnification. Indemnification similar to that specified
in the preceding paragraphs of this Section 8 (with appropriate modifications) shall be given by the Company and each seller of Registrable Securities with respect to any required registration or other qualification of securities under any
federal or state law or regulation of any governmental authority other than the Securities Act. The provisions of this Section 8 shall be in addition to any other rights to indemnification or contribution which an Indemnified Party may have
pursuant to law, equity, contract or otherwise. 
  
 (f)
Indemnification Payments. The indemnification required by this Section 8 shall be made by periodic payments of the amount thereof during the course of the investigation or defense, as and when bills are received or Losses are incurred,
provided that the Indemnified Party executes an agreement in form reasonably satisfactory to the Company to repay all such advances upon a finding that the Company was not liable therefor by reason of the provisions contained in Section 8(a) hereof.

  
 9. Covenants Relating to Rule 144. The Company will
file reports in compliance with the Exchange Act, will comply with all rules and regulations of the Commission applicable in connection with the use of Rule 144 and take such other actions and furnish such holder with such other information as such
holder may request in order to avail 
  

 18 

 itself of such rule or any other rule or regulation of the Commission allowing such holder to sell any Registrable
Securities without registration. If at any time the Company is not required to file reports in compliance with either Section 13 or Section 15(d) of the Exchange Act, the Company at its expense will, forthwith upon the written request of the holder
of any Registrable Securities, make available adequate current public information with respect to the Company within the meaning of paragraph (c)(2) of Rule 144. 
  
 10. Other Registration Rights. 
  
 (a) No Existing Agreements. The Company represents and warrants to the Investor that there is not in effect on the
date hereof any agreement by the Company (other than this Agreement) pursuant to which any holders of the Offered Shares have a right to cause the Company to register or qualify such securities under the Securities Act or any securities or blue sky
laws of any jurisdiction. 
  
 (b) Future Agreements. From
and after the date hereof and until there are no longer any Registrable Securities outstanding or the date that such Registrable Securities may be disposed of pursuant to Rule 144 (or any similar provision then in force) within the volume
limitations thereunder within a 90 day period or pursuant to Rule 144(k) (or any similar provision then in force) under the Act, the Company will not enter into any registration rights or similar agreements, contracts or understandings which are
inconsistent with or which frustrate the purpose, intent and provisions of this Agreement. 
  
 11. Definitions. 
  
 (a)
All capitalized terms used but not defined in this agreement have the respective meanings ascribed thereto in the Plan. Except as otherwise specifically indicated, the following terms will have the following meanings for all purposes of this
Agreement: 
  
 “Agreement” means this
Registration Rights Agreement, as the same shall be amended from time to time. 
  
 “Business Day” means a day other than Saturday, Sunday or any other day on which banks located in the State of Delaware are authorized or obligated to close. 
  
 “Commission” means the United States Securities and Exchange
Commission, or any successor governmental agency or authority. 
  
 “Common Stock” means shares of Common Stock, par value $0.01 per share, of the Company, as constituted on the date hereof, and any stock into which such Common Stock shall have been changed or any stock resulting from any
reclassification of such Common Stock. 
  
 “Company” has the meaning ascribed to it in the preamble. 
  
 “Cutback Registration” means any Demand Registration to be effected as an underwritten Public Offering in which the Managing Underwriter with respect thereto advises the Company and the Initiating
Holders in writing that, in its opinion, the number of securities requested to be included in such registration (including securities of the Company which are not 
  

 19 

 Registrable Securities) exceed the number which can be sold in such offering without a material reduction in the selling
price anticipated to be received for the securities to be sold in such Public Offering. 
  
 “Deferral Period” means the period during which the Company has elected to postpone the sale or other transfer of Registrable Securities by the holders thereof pursuant to the applicable terms of
Section 1 or Section 2 of this Agreement or any other period during which a stop order or other order suspending the effectiveness of a Registration Statement is in effect. 
  
 “Demand Registration” means any registration of Registrable Securities under the Securities Act effected in
accordance with Section 1, and further includes a Cutback Registration and Shelf Registration. 
  
 “Effective Date” means the effective date of the Plan, but in no event, later than July 31, 2004. 
  
 “Effective Period” means the period commencing on the date
hereof and ending the earlier of the date that all of the Offered Shares shall have ceased to be Registrable Securities or July 1, 2011. 
  
 “Effective Registration” means, subject to the last sentence of Section 3, a Demand or Shelf Registration which (a) has been
declared or ordered effective in accordance with the rules of the Commission, and (b) has been kept effective for the period of time contemplated by Section 5(b). 
  
 “Exchange Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations
promulgated thereunder. 
  
 “Form S-1” means Form
S-1 promulgated by the Commission under the Securities Act, or any successor or similar long-form registration statement. 
  
 “Form S-3” means Form S-3 promulgated by the Commission under the Securities Act, or any successor or similar short-form registration
statement. 
  
 “Indemnified Party” means a party
entitled to indemnity in accordance with Section 8. 
  
 “Indemnifying Party” means a party obligated to provide indemnity in accordance with Section 8. 
  
 “Initiating Holders” means any holder or holders of Registrable Securities making a written request pursuant to Section 1 or
Section 2 for the registration of Registrable Securities. 
  
 “Inspectors” has the meaning ascribed to it in Section 5(j). 
  
 “Losses” has the meaning ascribed to it in Section 8(a). 
  

 20 

 “Managing Underwriter” means, with respect to any Public Offering, the underwriter or
underwriters managing such Public Offering. 
  
 “NASD” means the National Association of Securities Dealers. 
  
 “Notice of Piggyback Registration” has the meaning ascribed to it in Section 2(a). 
  
 “Person” means any natural person, corporation, general partnership, limited partnership, proprietorship, other business organization,
trust, union or association. 
  
 “Piggyback
Registration” means any registration of equity securities of the Company under the Securities Act (other than a registration in respect of a dividend reinvestment or similar plan for stockholders of the Company or on Form S-4 or Form S-8
promulgated by the Commission, or any successor or similar forms thereto), whether for sale for the account of the Company or for the account of any holder of securities of the Company (other than Registrable Securities), including a registration by
the Company under the circumstances described in Section 3. 
  
 “Public Offering” means any offering of Common Stock to the public, either on behalf of the Company or any of its securityholders, pursuant to an effective registration statement under the Securities Act. 
  
 “Records” has the meaning ascribed to it in Section
5(j). 
  
 “Record Date” means the date two
(2) business days before the Effective Date. 
  
 “Registrable Securities” means (i) the Offered Shares issued by the Company to the Investors, (ii) the shares of Common Stock issued by the Company to the Investors on the Effective Date of the Plan, (iii) the Guarantor
Warrants issued by the Company to the Investors, (iv) the shares of Common Stock issuable upon exercise of the Guarantor Warrants, and (v) any additional shares of Common Stock issued or distributed by way of a dividend, stock split or other
distribution in respect of shares of Common Stock issued by the Company to the Investors under the Plan, or acquired by way of any rights offering or similar offering made in respect of such shares of Common Stock. As to any particular Registrable
Securities, once issued such securities shall cease to be Registrable Securities when (A) a registration statement with respect to the sale of such securities shall have become effective under the Securities Act and such securities shall have been
disposed of in accordance with such registration statement, (B) they shall have been distributed to the public pursuant to Rule 144 under the Securities Act, (C) they are transferred to or become owned by a Person who is not an Investor, or (D) they
shall have ceased to be outstanding. 
  
 “Registration
Expenses” means all expenses of the Company incident to the Company’s performance of or compliance with its obligations under this Agreement to effect the registration of Registrable Securities in a Demand Registration, Shelf
Registration or a Piggyback Registration, including, without limitation, all registration, filing, securities exchange listing and NASD fees, all registration, filing, qualification and other fees and expenses of complying with securities or blue
sky laws, all word processing, duplicating and printing expenses, messenger and delivery expenses, the fees and disbursements of counsel for the 
  

 21 

 Company and of its independent public accountants, including the expenses of “cold comfort” letters required by
or incident to such performance and compliance, subject to Section 1(b), the reasonable fees and disbursements of a single counsel retained by the holders of a majority of the Registrable Securities being registered, and any fees and disbursements
of underwriters customarily paid by issuers or sellers of securities, but excluding underwriting discounts and commissions, and transfer taxes, if any, in respect of Registrable Securities, which shall be payable by each holder thereof,
provided, that, in any case where Registration Expenses are not to be borne by the Company, such expenses shall not include salaries of Company personnel or general overhead expenses of the Company, auditing fees, premiums or other expenses
relating to liability insurance required by underwriters of the Company or other expenses for the preparation of financial statements or other data normally prepared by the Company in the ordinary course of its business or which the Company would
have incurred in any event. 
  
 “Requesting
Holders” means, with respect to any Demand Registration, Shelf Registration or Piggyback Registration, the holders of Registrable Securities requesting to have Registrable Securities included in such registration in accordance with this
Agreement. 
  
 “Rule 144” means Rule 144
promulgated by the Commission under the Securities Act, and any successor provision thereto. 
  
 “Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder. 
  
 “Selling Period” means the period during which a holder of Registrable Securities shall be entitled to sell
its Offered Shares pursuant to a Prospectus under applicable provision of Section 1 of this Agreement. 
  
 “Special Counsel” means any law firm retained from time to time by holders of ten percent (10%) or more of the common stock comprising
the Registrable Securities on a fully diluted basis to be sold pursuant to a Registration Statement or during any Selling Period, as shall be specified by such shareholders to the Company and to whom the Company has no reasonable objection;
provided that at no time shall there be more than one Special Counsel the fees and expenses of which will be paid by the Company pursuant to this Agreement, subject to the provisions of Section 1(b) in which case the Company shall have no
obligation or responsibility for such fees. 
  
 (b) Unless the
context of this Agreement otherwise requires, (i) words of any gender include each other gender, (ii) words using the singular or plural number also include the plural or singular number, respectively, (iii) the terms “hereof,”
“herein,” “hereby” and derivative or similar words refer to this entire Agreement; and (iv) the term “Section” refers to the specified Section of this Agreement. Whenever this Agreement refers to a number of days, such
number shall refer to calendar days unless Business Days are specified. 
  

 22 

 12. Miscellaneous. 
  
 (a) Notices. All notices, requests and other communications hereunder must be in writing and will be deemed to have
been duly given only if delivered personally or by 
  
 facsimile transmission or
mailed (first class postage prepaid) to the parties at the following addresses or facsimile numbers: 
  
 If to Mellon, to: 
  
 Mellon HBV Alternative Strategies LLC 
 200 Park Avenue 
 Suite 3300 
 New York, N.Y. 10166-3399 
 Facsimile No.: (212) 808-3055 
 Attn: George J. Kononmos 
  
 with a copy to: 
  
 Milbank, Tweed, Hadley & McCloy LLP 
 1 Chase Manhattan Plaza 
 New York, NY 10005 
 Facsimile No.: 1-212-822-5544 
 Attn: Stephen J. Blauner 
  
 If to the Company, to: 
  
 Seitel, Inc. 
 10811 S. Westview Circle Drive 
 Houston, Texas 77043 
 Facsimile No.: (713) 881-8901 
 Attn: General Counsel 
  
 with a
copy to: 
  
 Greenberg Traurig, LLP 

200 Park Avenue 
 New York, NY 10166 
 Facsimile No.: (212) 801-6400 
 Attn: Clifford E. Neimeth, Esq. 
  
 With respect to any other holder of Registrable Securities, such notices, requests and other communications shall be sent to the addresses set forth in the stock transfer
records regularly maintained by the Company. All such notices, requests and other communications will (i) if delivered personally to the address as provided in this Section, be deemed given upon delivery, (ii) if delivered by facsimile transmission
to the facsimile number as provided in this Section, be deemed given upon receipt, and (iii) if delivered by mail in the manner described above to the address as provided in this Section, be deemed given upon receipt (in each case regardless of
whether such notice, request or other communication is received by any other Person to whom a copy of such notice is to be delivered pursuant to this Section). Any party from time to time may change its address, facsimile number or other information
for the purpose of notices to that party by giving notice specifying such change to the other parties hereto. 
  

 23 

 (b) Entire Agreement. This Agreement supersedes all prior discussions and agreements between the
parties with respect to the subject matter hereof, and contains the sole and entire agreement between the parties hereto with respect to the subject matter hereof. 
  
 (c) Amendment. This Agreement may be amended, supplemented or modified only by a written instrument (which may be
executed in any number of counterparts) duly executed by or on behalf of each of the Company and Persons owning fifty-one percent (51%) or more of the Registrable Securities. 
  
 (d) Waiver. Subject to paragraph (e) of this Section, any term or condition of this Agreement may be waived at
any time by the party that is entitled to the benefit thereof, but no such waiver shall be effective unless set forth in a written instrument duly executed by or on behalf of the party waiving such term or condition. No waiver by any party of any
term or condition of this Agreement, in any one or more instances, shall be deemed to be or construed as a waiver of the same term or condition of this Agreement on any future occasion. 
  
 (e) Consents and Waivers by Holders of Registrable Securities. Any consent of the holders of Registrable Securities
pursuant to this Agreement, and any waiver by such holders of any provision of this Agreement, shall be in writing (which may be executed in any number of counterparts) and may be given or taken by Persons owning fifty-one percent (51%) or more of
the then remaining Registrable Securities, and any such consent or waiver so given or taken will be binding on all the holders of Registrable Securities. 
  
 (f) No Third Party Beneficiary. The terms and provisions of this Agreement are intended solely for the benefit of each party hereto, their
respective successors or permitted assigns and any other holder of Registrable Securities, and it is not the intention of the parties to confer third-party beneficiary rights upon any other Person other than any Person entitled to indemnity under
Section 6. 
  
 (g) Successors and Assigns. This
Agreement is binding upon, inures to the benefit of and is enforceable by the parties hereto and their respective successors and assigns; provided, however, that such transferee shall, as a condition to the effectiveness of such
assignment, be required to execute a counterpart to this Agreement agreeing to be treated as if an original party hereto, whereupon such transferee shall have the benefits of and shall be subject to the restrictions contained in this Agreement as if
such transferee was originally included in the definition of an Initiating Holder and had originally been a party hereto. The Company may not assign any of its rights or delegate any of its duties under this Agreement without the prior written
consent of the designated representative of the Initial Holder, provided that as a condition to any merger, reorganization or consolidation of the Company with any person (as defined in the Securities Act) in which the holders of Common Stock
receive securities of any other person (the “Successor Issuer”) the Company shall assign all of its rights, and delegate all of its obligations under this Agreement to such Successor Issuer in which event the Successor Issuer will
agree in writing to become the “Company” for all purposes of this Agreement. Any purported assignment, merger, reorganization or consolidation in violation of this Section shall be void. 
  

 24 

 (h) Headings. The headings used in this Agreement have been inserted for convenience of reference
only and do not define or limit the provisions hereof. 
  
 (i)
Invalid Provisions. If any provision of this Agreement is held to be illegal, invalid or unenforceable under any present or future law, and if the rights or obligations of any party hereto under this Agreement will not be materially and
adversely affected thereby, (i) such provision will be fully severable, (ii) this Agreement will be construed and enforced as if such illegal, invalid or unenforceable provision had never comprised a part hereof and (iii) the remaining provisions of
this Agreement will remain in full force and effect and will not be affected by the illegal, invalid or unenforceable provision or by its severance herefrom. 
  
 (j) Remedies; Specific Performance. Except as otherwise expressly provided for herein, no remedy conferred by any of the specific provisions of
this Agreement is intended to be exclusive of any other remedy, and each and every remedy shall be cumulative and shall be in addition to every other remedy given hereunder or now or hereafter existing at law or in equity or by statute or otherwise.
The election of any one or more remedies by any party hereto shall not constitute a waiver by any such party of the right to pursue any other available remedies. 
  
 Damages in the event of breach of this Agreement by a party hereto or any other holder of Registrable Securities would be
difficult, if not impossible, to ascertain, and it is therefore agreed that each such Person, in addition to and without limiting any other remedy or right it may have, will have the right to an injunction or other equitable relief in any court of
competent jurisdiction, enjoining any such breach, and enforcing specifically the terms and provisions hereof and the Company and each holder of Registrable Securities, by its acquisition of such Registrable Securities, hereby waives any and all
defenses it may have on the ground of lack of jurisdiction or competence of the court to grant such an injunction or other equitable relief. The existence of this right will not preclude any such Person (including the Company) from pursuing any
other rights and remedies at law or in equity which such Person may have or to assert any defense, counter-claim, cross-claim, or third-party claim available to such person or which may be asserted by such person; provided, however, that no party
hereto may recover from any other party any consequential or punitive damages by reason of the breach of this Agreement. With respect to the construction, interpretation and application of this paragraph, any period of time contained in this
Agreement within which or during which the Company is to do, commence doing, complete doing or refrain from doing any act shall not be of the essence; provided, however, that the Company has acted in good faith and utilized its reasonable best
efforts. 
  
 (k) Governing Law. This Agreement shall be
governed by and construed in accordance with the laws of the State of New York applicable to a contract executed and performed in New York, without giving effect to the conflicts of laws principles thereof. 
  
 (l) Counterparts. This Agreement may be executed in any number of
counterparts, each of which will be deemed an original, but all of which together will constitute one and the same instrument. 
  

 25 

 IN WITNESS WHEREOF, this Registration Rights Agreement has been duly executed and delivered by the duly
authorized officer of each party hereto as of the date first above written. 
  

			
	 SEITEL, INC.

		
	By:	 	 /s/ Randall D. Stilley

	 	 	 Name: Randall D. Stilley
 Title: Chief Executive Officer and President

	
	 MELLON HBV ALTERNATIVE STRATEGIES
 LLC, on behalf of itself and certain managed and
 designated accounts set forth on Schedule 1 hereto:

		
	By:	 	 /s/ George J. Konomos

	 	 	 Name: George J. Kosomos
 Title: Portfolio Manager

  
 [Remainder of
Page Left Intentionally Blank] 
  

 26 

 SCHEDULE 1 
  

Names of HBV Affiliated Funds and Managed Accounts 
  
 Mellon HBV Master Multi-Strategy Fund LP 
  
 Master Rediscovered Opportunities Fund LP 
  
 Distressed Recovery Fund LP 
  
 Mellon HBV Special Situations Fund LP 
  
 Mellon
HBV Capital Partners LP 
  
 HFR DS Performance Master Trust 
  
 Axis – RDO Limited 
  

 1Stock Option Plan

 Exhibit 10.1 
  
 SEITEL, INC. 
  

  
 2004 Stock Option Plan 
  

 Seitel, Inc. 
 2004 Stock Option Plan 
  
 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page

	 1.
	  	 Purpose
	  	1
			
	 2.
	  	 Definitions
	  	1
			
	 3.
	  	 Administration.
	  	4
	 	  	 (a)    Authority of the Committee
	  	4
	 	  	 (b)    Manner of Exercise of Committee Authority
	  	4
	 	  	 (c)    Limitation of Liability
	  	4
			
	 4.
	  	 Stock Subject to Plan.
	  	4
	 	  	 (a)    Overall Number of Shares Available for Delivery
	  	4
	 	  	 (b)    Application of Limitation to Grants of Awards
	  	5
	 	  	 (c)    Availability of Shares Not Delivered under Awards
	  	5
			
	 5.
	  	 Eligibility; Per-Person Award Limitations
	  	5
			
	 6.
	  	 Specific Terms of Awards.
	  	5
	 	  	 (a)    General
	  	5
	 	  	 (b)    Options
	  	6
	 	  	 (c)    Stock Appreciation Rights
	  	6
	 	  	 (d)    Restricted Stock
	  	7
	 	  	 (e)    RSUs
	  	8
	 	  	 (f)     Bonus Stock and Awards in Lieu of Obligations
	  	8
	 	  	 (g)    Dividend Equivalents
	  	9
	 	  	 (h)    Annual Incentive and Performance Awards
	  	9
	 	  	 (i)     Other Stock-Based Awards
	  	9
			
	 7.
	  	 Certain Provisions Applicable to Awards.
	  	9
	 	  	 (a)    Stand-Alone, Additional, Tandem, and Substitute Awards
	  	9
	 	  	 (b)    Term of Awards
	  	10
	 	  	 (c)    Form and Timing of Payment under Awards; Deferrals
	  	10
	 	  	 (d)    Exemptions from Section 16(b) Liability
	  	10
			
	 8.
	  	 Performance and Annual Incentive Awards.
	  	10
	 	  	 (a)    Performance Conditions
	  	10
	 	  	 (b)    Performance Awards Granted to Designated Covered Employees
	  	11
	 	  	 (c)    Annual Incentive Awards Granted to Designated Covered Employees
	  	12
	 	  	 (d)    Written Determinations
	  	13
	 	  	 (e)    Status of Section 8(b) and 8(c) Awards under Code Section 162(m)
	  	13
			
	 9.
	  	 Change in Control.
	  	14

  

 i 

					
	 	  	 (a)    Effect of “Change In Control”
	  	14
	 	  	 (b)    Definition of “Change In Control”
	  	14
	 	  	 (c)    Definition of “Change In Control Price”
	  	15
			
	10.	  	 General Provisions.
	  	16
	 	  	 (a)    Compliance with Legal and Other Requirements
	  	16
	 	  	 (b)    Limits on Transferability; Beneficiaries
	  	16
	 	  	 (c)    Adjustments
	  	16
	 	  	 (d)    Taxes
	  	17
	 	  	 (e)    Changes to the Plan and Awards
	  	17
	 	  	 (f)     Limitation on Rights Conferred under Plan
	  	17
	 	  	 (g)    Unfunded Status of Awards, Creation of Trusts
	  	17
	 	  	 (h)    Nonexclusivity of the Plan
	  	17
	 	  	 (i)     Payments in the Event of Forfeitures; Fractional Shares
	  	18
	 	  	 (j)     Governing Law
	  	18
	 	  	 (k)    Plan Authorization, Bankruptcy Court Confirmation Order and Shareholder Approval
	  	18
	 	  	 (l)     Term of Plan
	  	18

  

 ii 

 Seitel, Inc. 
 2004 Stock Option Plan 
  
 1. Purpose. The purpose of this 2004 Stock Option Plan (the “Plan”) is to assist Seitel, Inc., a Delaware corporation (the “Corporation”), and its subsidiaries in attracting, retaining and rewarding high-quality
executives, employees, directors and other persons who provide services to the Corporation and/or its subsidiaries, enabling such persons to acquire or increase a proprietary interest in the Corporation to strengthen the mutuality of interests
between such persons and the Corporation’s shareholders, and providing such persons with annual and long-term performance incentives to expend their maximum efforts in the creation of shareholder value. The Plan is also intended to qualify
certain compensation awarded under the Plan for tax deductibility under Code Section 162(m) (as hereafter defined) to the extent deemed appropriate by the Committee (as hereafter defined) (or any successor committee) of the Board of Directors of the
Corporation. 
  
 2. Definitions. For purposes of the Plan,
the following terms shall be defined as set forth below, in addition to such terms defined in Section 1 hereof: 
  
 (a) “Annual Incentive Award” means a conditional right granted to a Participant under Section 8(c) hereof to receive a cash payment, Stock or
other Award, unless otherwise determined by the Committee, after the end of a specified fiscal year. 
  
 (b) “Authorization Date” means the date upon which an Order confirming the Second Amended Plan of Reorganization of Seitel, Inc., or any amended
or successor plan, is entered on the docket of the Untied States Bankruptcy Court for the District of Delaware. 
  
 (c) “Award” means any Option, SAR (including Limited SAR), Restricted Stock, RSU, Stock granted as a bonus or in lieu of another award, Dividend
Equivalent, Other Stock-Based Award, Performance Award or Annual Incentive Award, together with any other right or interest granted to a Participant under the Plan. 
  
 (d) “Beneficiary” means the person, persons, trust or trusts that have been designated by a Participant in his or
her most recent written beneficiary designation filed with the Committee to receive the benefits specified under the Plan upon such Participant’s death or to which Awards or other rights are transferred if and to the extent permitted under
Section 10 (b) hereof. If, upon a Participant’s death, there is no designated Beneficiary or surviving designated Beneficiary, then the term Beneficiary means person, persons, trust or trusts entitled by will or the laws of descent and
distribution to receive such benefits. 
  
 (e) “Beneficial
Owner” shall have the meaning ascribed to such term in Rule 13d-3 under the Exchange Act and any successor to such Rule. 
  
 (f) “Board” means the Corporation’s Board of Directors. 
  
 (g) “Change in Control” means Change in Control as defined with related terms in Section 9 of the Plan.

  

 1 

 (h) “Change In Control Price” means the amount calculated in accordance with Section 9(c) of
the Plan. 
  
 (i) “Code” means the Internal Revenue Code
of 1986, as amended from time to time, including regulations thereunder and successor provisions and regulations thereto. 
  
 (j) “Committee” means a committee designated by the Board to administer the Plan and consisting solely of two or more directors, each of whom
shall be (i) a “non-employee director” within the meaning of Rule 16b-3 under the Exchange Act, (ii) an “outside director” as defined under Code Section 162(m), and (iii) “independent” as defined by the rules of any
national securities exchange or the Nasdaq National Market, as the case may be, on which any securities of the Corporation are listed for trading. 
  
 (k) “Covered Employee” means an Eligible Person who is a Covered Employee as specified in Section 8(e) of the Plan. 
  
 (l) “Dividend Equivalent” means a right granted to a Participant
under Section 6(g), to receive cash, Stock, other Awards or other property equal in value to dividends paid with respect to a specified number of shares of Stock, or other periodic payments. 
  
 (m) “Effective Date” means the date within 12 months following the
Authorization Date that the Plan is adopted by the shareholders of the Corporation at an annual or special meeting of shareholders. 
  
 (n) “Eligible Person” means each Executive Officer and other officers and employees of the Corporation or of any subsidiary, and other persons
who provide services to the Corporation or any of its subsidiaries, including consultants and directors of the Corporation. An employee on leave of absence may be considered as still in the employ of the Corporation or a subsidiary for purposes of
eligibility for participation in the Plan. 
  
 (o) “Exchange
Act” means the Securities Exchange Act of 1934, as amended from time to time, including rules thereunder and successor provisions and rules thereto. 
  
 (p) “Executive Officer” means an executive officer of the Corporation as defined under the Exchange Act. 
  
 (q) “Fair Market Value” means the fair market value of Stock,
Awards or other property as determined by the Committee or under procedures established by the Committee. The Fair Market Value of Stock shall mean, at any date with respect to the Stock, the closing price of a share of Stock, as quoted on The
Nasdaq Stock Market, any national securities exchange on which the shares of the Corporation’s Stock are listed for trading or the OTC Bulletin Board, if the Stock is so listed or traded on the date on which the determination of fair market
value is being made, or if no shares of Stock were traded on such date, then the last trading date prior thereto. 
  
 (r) “Incentive Stock Option” or “ISO” means any Option intended to be and designated as an incentive stock option within the meaning
of Code Section 422 or any successor provision thereto. 
  

 2 

 (s) “Independent”, when referring to either the either the Board or members of the Committee,
shall have the same meaning as used in the rules of the Nasdaq Stock Market or any national securities exchange on which any securities of the Corporation are listed for trading, and if not listed for trading, by the rules of Nasdaq. 
  
 (t) “Limited SAR” means a right granted to a Participant under
Section 6(c) hereof, in connection with a Change of Control. 
  
 (u) “Option” means a right, granted to a Participant under Section 6(b) hereof, to purchase Stock or other Awards at a specified price during specified time periods. 
  
 (v) “Other Stock-Based Awards” means Awards granted to a Participant under Section 6(h) hereof. 
  
 (w) “Participant” means a person who has been granted an Award
under the Plan that remains outstanding, including a person who is no longer an Eligible Person. 
  
 (x) “Performance Award” means a right, granted to a Participant under Section 8 hereof, to receive Awards based upon performance criteria
specified by the Committee. 
  
 (y) “Person” shall have
the meaning ascribed to such term in Section 3(a)(9) of the Exchange Act and used in Sections 13(d) and 14(d) thereof, and shall include a “group” as defined in Section 13(d) thereof. 
  
 (z) “Qualified Member” means a member of the Committee who is a
“Non-Employee Director” within the meaning of Rule 16b-3(b)(3), an “outside director” within the meaning of Regulation 1.162-27 under Code Section 162(m), and who is “independent”, as defined by the rules of any
national securities market or Nasdaq, on which any securities of the Corporation are listed for trading. 
  
 (aa) “Restricted Stock” means Stock granted to a Participant under Section 6(d) hereof, that is subject to certain restrictions and to a risk of
forfeiture. 
  
 (bb) “Restricted Stock Unit or
“RSU” means a right, granted to a Participant under Section 6(e) hereof, to receive Stock, cash or a combination thereof at the end of a specified deferral period. 
  
 (cc) “Rule 16b-3” means Rule 16b-3, as from time to time in effect and applicable to the Plan and Participants,
promulgated by the Securities and Exchange Commission under Section 16 of the Exchange Act. 
  
 (dd) “Stock” means the Corporation’s Common Stock, $0.01 par value per share, and such other securities as may be substituted (or resubstituted) for Stock pursuant to Section 10(c) hereof. 

 
 (ee) “Stock Appreciation Rights” or “SAR” means a
right granted to a Participant under Section 6(c) hereof. 
  

 3 

 3. Administration. 
  
 (a) Authority of the Committee. The Plan shall be administered by the Committee except, if the Corporation is not a
publicly held corporation with securities required to be registered under Section 12 of the Exchange Act, to the extent the Board elects to administer the Plan, in which case the Plan shall be administered by only those directors who are Independent
directors, in which case references herein to the “Committee” shall be deemed to include references to the Independent members of the “Board.” The Committee shall have full and final authority, in each case subject to and
consistent with the provisions of the Plan, to select Eligible Persons to become Participants, grant Awards, determine the type, number and other terms and conditions of, and all other matters relating to, Awards, prescribe Award agreements (which
need not be identical for each Participant) and rules and regulations for the administration of the Plan, construe and interpret the Plan and Award agreements and correct defects, supply omissions or reconcile inconsistencies therein, and to make
all other decisions and determinations as the Committee may deem necessary or advisable for the administration of the Plan. 
  
 (b) Manner of Exercise of Committee Authority. Any action of the Committee shall be final, conclusive and binding on all persons, including the
Corporation, its subsidiaries, Participants, Beneficiaries, transferees under Section 10(b) hereof or other persons claiming rights from or through a Participant and shareholders. The express grant of any specific power to the Committee, and the
taking of any action by the Committee, shall not be construed as limiting any power or authority of the Committee. The Committee may delegate to officers or managers of the Corporation or any subsidiary, or committees thereof, the authority, subject
to such terms as the Committee shall determine, to perform such functions, including administrative functions, as the Committee may determine, to the extent that such delegation will not result in the loss-of an exemption under Rule 16b-3(d)(1) for
Awards granted to Participants subject to Section 16 of the Exchange Act in respect of the Corporation and will not cause Awards intended to qualify as “performance-based compensation” under Code Section 162(m) to fail to so qualify. The
Committee may appoint agents to assist it in administering the Plan. 
  
 (c) Limitation of Liability. The Committee and each member thereof shall be entitled to, in good faith, rely or act upon any report or other information furnished to him or her by any executive officer, other officer or employee of
the Corporation or a subsidiary, the Corporation’s independent auditors, consultants or any other agents assisting in the administration of the Plan. Members of the Committee and any officer or employee of the Corporation or a subsidiary acting
at the direction or on behalf of the Committee shall not be personally liable for any action or determination taken or made in good faith with respect to the Plan, and shall, to the extent permitted by the Corporation’s certificate of
incorporation, by-laws, or policies, be fully indemnified and protected by the Corporation with respect to any such action or determination. 
  
 4. Stock Subject to Plan. 
  
 (a) Overall Number of Shares Available for Delivery. Subject to adjustment as provided in Section 10(c) hereof, the total number of shares of Stock
reserved and available for delivery in connection with Awards under the Plan shall be 7,500,000 and the total number of 
  

 4 

 such authorized shares of Stock reserved under this Plan that shall be available for ISO awards shall be 7,500,000. Any
shares of Stock delivered under the Plan shall consist of authorized and unissued shares or treasury shares. 
  
 (b) Application of Limitation to Grants of Awards. No Award may be granted if the number of shares of Stock to be delivered in connection with such
Award or, in the case of an Award relating to shares of Stock but settleable only in cash (such as cash-only SARs), the number of shares to which such Award relates, exceeds the number of shares of Stock remaining available under the Plan minus the
number of shares of Stock issuable in settlement of or relating to then outstanding Awards. The Committee may adopt reasonable counting procedures to ensure appropriate counting, avoid double counting (as, for example, in the case of tandem or
substitute awards) and make adjustments if the number of shares of Stock actually delivered differs from the number of shares previously counted in connection with an Award. 
  
 (c) Availability of Shares Not Delivered under Awards. Shares of Stock subject to an Award under the Plan that are
canceled, expired, forfeited, settled in cash or otherwise terminated without a delivery of shares to the Participant, including (i) the number of shares withheld in payment of any exercise or purchase price of an Award or award or taxes relating to
Awards or awards, and (ii) the number of shares surrendered in payment of any exercise or purchase price of an Award or award or taxes relating to any Award or award, will again be available for Awards under the Plan, except that if any such shares
could not again be available for Awards to a particular Participant under any applicable law or regulation, such shares shall be available exclusively for Awards to Participants who are not subject to such limitation. Notwithstanding the foregoing,
with respect to any Option or SAR to purchase Stock that is cancelled or repriced, the number of shares of Stock shall continue to count against the maximum number of shares of Stock that may be granted to a Participant who is a Covered Employee and
in this regard such maximum number shall be determined in accordance with Code Section 162(m). 
  
 5. Eligibility; Per-Person Award Limitations. Awards may be granted under the Plan only to Eligible Persons. Over the term of the Plan, an Eligible Person may not be granted Awards relating to more than
1,750,000 shares of Stock, subject to adjustment as provided in Section 10(c), under each of Sections 6(b), 6(c), 6(d), 6(e), 6(f), 6(g), 6(h), 8(b) and 8(c). In addition, the maximum amount that may be earned as an Annual Incentive Award or other
annual cash Award in any fiscal year by any one Participant shall be $2,500,000, and the maximum amount that may be earned as a Performance Award or other cash Award in respect of a performance period by any one Participant shall be $5,000,000 in a
calendar year. 
  
 6. Specific Terms of Awards. 

 
 (a) General. Awards may be granted, in a written agreement, on the
terms and conditions set forth in this Section 6. In addition, the Committee may impose on any Award or the exercise thereof, at the date of grant or thereafter (subject to Section 10(e)), such additional terms and conditions, not inconsistent with
the provisions of the Plan, as the Committee shall determine, including terms requiring forfeiture of Awards in the event of termination of employment by the Participant and terms permitting a Participant to make elections relating to his or her
Award. The Committee shall retain full power and discretion to accelerate, waive or 
  

 5 

 modify, at any time, any term or condition of an Award that is not mandatory under the Plan; provided, however, that the
Committee shall not have any discretion to accelerate, waive or modify any term or condition of an Award that is intended to qualify as “performance-based compensation” for purposes of Code Section 162(m) if such discretion would cause the
Award not to so qualify. 
  
 (b) Options. The Committee is
authorized to grant Options to Participants on the following terms and conditions: 
  
 (i) Exercise Price. The exercise price per share of Stock purchasable under an Option shall be determined by the Committee, provided that such exercise price shall be not less than the Fair Market Value of a
share of Stock on the date of grant of such Option, except as provided under Section 7(a) hereof. 
  
 (ii) Time and Method of Exercise. The Committee shall determine the time or times at which or the circumstances under which an Option may be
exercised in whole or in part (including based on achievement of performance goals and/or future service requirements), the methods by which such exercise price may be paid or deemed to be paid, the form of such payment, including, without
limitation, cash, Stock, other Awards or awards granted under other plans of the Corporation or any subsidiary, or other property (including other contractual obligations of Participants to make payment on a deferred basis provided that such
deferred payments are not in violation of the Sarbanes-Oxley Act of 2002, or any rule or regulation adopted thereunder), and the methods by or forms in which Stock will be delivered or deemed to be delivered to Participants. In no event may an
Option remain exercisable more than ten years following the date of grant. 
  
 (iii) ISOs. ISOs may only be granted to employees as defined in Code Section 422 and 3401(c). The terms of any ISO granted under the Plan shall comply in all respects with the provisions of Code Section 422. No
ISO may be granted to a Participant who at the time the Option is granted owns Stock possessing more than 10% of the total combined voting power of the Stock of the Company, its parent and subsidiaries within the meaning of Code Section 422, unless
the exercise price is at least 110% of the Fair Market Value of a share of Stock on the date of grant or for a period greater than five years after the date of grant. Anything in the Plan to the contrary notwithstanding, no term of the Plan relating
to ISOs (including any SAR in tandem therewith) shall be interpreted, amended or altered, nor shall any discretion or authority granted under the Plan be exercised, so as to disqualify either the Plan or any ISO under Code Section 422. 

 
 (c) Stock Appreciation Rights. The Committee is authorized to grant
SAR’s to Participants on the following terms and conditions: 
  
 (i) Right to Payment. A SAR shall confer on the Participant to whom it is granted a right to receive, upon exercise thereof, the excess of (A) the Fair Market Value of one share of Stock on the date of exercise (or, in the case of a
“Limited SAR”, the Fair Market Value determined by reference to the Change in Control Price, as defined under Section 9(c) hereof) over (B) the grant price of the SAR as determined by the Committee provided that such grant price shall not
be less than the Fair Market Value of a share of Stock on the date of grant of such SAR except as provided under Section 7(a) hereof. 
  

 6 

 (ii) Other Terms. The Committee shall determine at the date of grant or thereafter, the time or
times at which and the circumstances under which a SAR may be exercised in whole or in part (including based on achievement of performance goals and/or future service requirements), the method of exercise, method of settlement, form of consideration
payable in settlement, method by or forms in which Stock will be delivered or deemed to be delivered to Participants, whether or not a SAR shall be in tandem or in combination with any other Award, and any other terms and conditions of any SAR.
Limited SARs that may only be exercised in connection with a Change in Control or other event as specified by the Committee may be granted on such terms, not inconsistent with this Section 6(c), as the Committee may determine. SARs and Limited SARs
may be either freestanding or in tandem with other Awards. 
  
 (d)
Restricted Stock. The Committee is authorized to grant Restricted Stock to Participants on the following terms and conditions: 
  
 (i) Grant and Restrictions. Restricted Stock shall be subject to such restrictions on transferability, risk of forfeiture and other restrictions,
if any, as the Committee may impose, which restrictions may lapse separately or in combination at such times, under such circumstances (including based on achievement of performance goals and/or future service requirements), in such installments or
otherwise, as the Committee may determine at the date of grant or thereafter. Except to the extent restricted under the terms of the Plan and any Award agreement relating to the Restricted Stock, a Participant granted Restricted Stock shall have all
of the rights of a shareholder, including the right to vote the Restricted Stock and the right to receive dividends thereon (subject to any mandatory reinvestment or other requirement imposed by the Committee). During the restricted period
applicable to the Restricted Stock, subject to Section 10(b) below, the Restricted Stock may not be sold, transferred, pledged, hypothecated, margined or otherwise encumbered by the Participant. 
  
 (ii) Forfeiture. Except as otherwise determined by the Committee,
upon termination of employment during the applicable restriction period, Restricted Stock that is at that time subject to restrictions shall be forfeited and reacquired by the Corporation; provided that the Committee may provide, by rule or
regulation or in any Award agreement, or may determine in any individual case, that restrictions or forfeiture conditions relating to Restricted Stock shall be waived in whole or in part in the event of terminations resulting from specified causes,
and the Committee may in other cases waive in whole or in part the forfeiture of Restricted Stock. 
  
 (iii) Certificates for Stock. Restricted Stock granted under the Plan may be evidenced in such manner as the Committee shall determine. If
certificates representing Restricted Stock are registered in the name of the Participant, the Committee may require that such certificates bear an appropriate legend referring to the terms, conditions and restrictions applicable to such Restricted
Stock, that the Corporation retain physical possession of the certificates, and that the Participant deliver a stock power to the Corporation, endorsed in blank, relating to the Restricted Stock. 
  

 7 

 (iv) Dividends and Splits. As a condition to the grant of an Award of Restricted Stock, the
Committee may require or permit a Participant to elect that any cash dividends paid on a share of Restricted Stock be automatically reinvested in additional shares of Restricted Stock or applied to the purchase of additional Awards under the Plan.
Unless otherwise determined by the Committee, Stock distributed in connection with a Stock split or Stock dividend, and other property distributed as a dividend, shall be subject to restrictions and a risk of forfeiture to the same extent as the
Restricted Stock with respect to which such Stock or other property has been distributed. 
  
 (e) RSUs. The Committee is authorized to grant RSUs to Participants, which are rights to receive Stock, cash, or a combination thereof at the end of a specified deferral period, subject to the following terms
and conditions: 
  
 (i) Award and Restrictions.
Satisfaction of an Award of RSUs shall occur upon expiration of the deferral period specified for such RSUs by the Committee (or, if permitted by the Committee, as elected by the Participant). In addition, RSUs shall be subject to such restrictions
(which may include a risk of forfeiture) as the Committee may impose, if any, which restrictions may lapse at the expiration of the deferral period or at earlier specified times (including based on achievement of performance goals and/or future
service requirements), separately or in combination, in installments or otherwise, as the Committee may determine. RSUs may be satisfied by delivery of Stock, cash equal to the Fair Market Value of the specified number of shares of Stock covered by
the RSUs, or a combination thereof, as determined by the Committee at the date of grant or thereafter. 
  
 (ii) Forfeiture. Except as otherwise determined by the Committee, upon termination of employment during the applicable deferral period or portion
thereof to which forfeiture conditions apply (as provided in the Award agreement evidencing the RSUs), all RSUs that are at that time subject to deferral (other than a deferral at the election of the Participant) shall be forfeited; provided that
the Committee, may provide, by rule or regulation or in any Award agreement, or may determine in any individual case, that restrictions or forfeiture conditions relating to RSUs shall be waived in whole or in part in the event of terminations
resulting from specified causes, and the Committee may in other cases waive in whole or in part the forfeiture of RSUs. 
  
 (iii) Dividend Equivalents. Unless otherwise determined by the Committee at date of grant, Dividend Equivalents on the specified number of shares
of Stock covered by an Award of RSUs shall be either (A) paid with respect to such RSUs at the dividend payment date in cash or in shares of unrestricted Stock having a Fair Market Value equal to the amount of such dividends, or (B) deferred with
respect to such RSUs and the amount or value thereof automatically deemed reinvested in additional RSUs, other Awards or other investment vehicles, as the Committee shall determine or permit the Participant to elect. 
  
 (f) Bonus Stock and Awards in Lieu of Obligations. The Committee is
authorized to grant Stock as a bonus, or to grant Stock or other Awards in lieu of obligations to pay cash or deliver other property under the Plan or under other plans or compensatory arrangements, provided that, in the case of Participants subject
to Section 16 of the Exchange Act, the amount of such grants remains within the discretion of the Committee to the extent 
  

 8 

 necessary to ensure that acquisitions of Stock or other Awards are exempt from liability under Section 16(b) of the
Exchange Act. Stock or Awards granted hereunder shall be subject to such other terms as shall be determined by the Committee. 
  
 (g) Dividend Equivalents. The Committee is authorized to grant Dividend Equivalents to a Participant, entitling the Participant to receive cash,
Stock, other Awards, or other property equal in value to dividends paid with respect to a specified number of shares of Stock, or other periodic payments. Dividend Equivalents may be awarded on a free-standing basis or in connection with another
Award. The Committee may provide that Dividend Equivalents shall be paid or distributed when accrued or shall be deemed to have been reinvested in additional Stock, Awards, or other investment vehicles, and subject to such restrictions on
transferability and risks of forfeiture, as the Committee may specify. 
  
 (h) Annual Incentive and Performance Awards. The Committee is authorized to make Annual Incentive Awards and Performance Awards payable in cash, Shares, or other Awards, on terms and conditions established by the Committee, subject
to Section 8 in the event of Annual Incentive Awards or Performance Awards intended to qualify as “performance-based compensation” for purposes of Code Section 162(m). 
  
 (i) Other Stock-Based Awards. The Committee is authorized, subject to limitations under applicable law, to grant to
Participants such other Awards that may be denominated or payable in, valued in whole or in part by reference to, or otherwise based on, or related to, Stock, as deemed by the Committee to be consistent with the purposes of the Plan, including,
without limitation, convertible or exchangeable debt securities, other rights convertible or exchangeable into Stock, purchase rights for Stock, Awards with value and payment contingent upon performance of the Corporation or any other factors
designated by the Committee, and Awards valued by reference to the book value of Stock or the value of securities of or the performance of specified subsidiaries. The Committee shall determine the terms and conditions of such Awards. Stock delivered
pursuant to an Award in the nature of a purchase right granted under this Section 6(i) shall be purchased for such consideration, paid for at such times, by such methods, and in such forms including, without limitation, cash, Stock, other Awards, or
other property, as the Committee shall determine. Cash awards, as an element of or supplement to any other Award under the Plan, may also be granted pursuant to this Section 6(i). 
  
 7. Certain Provisions Applicable to Awards. 
  
 (a) Stand-Alone, Additional, Tandem, and Substitute Awards. Awards granted under the Plan may, in the discretion of
the Committee, be granted either alone or in addition to, in tandem with, or in substitution or exchange for, any other Award or any award granted under another plan of the Corporation, any subsidiary, or any business entity to be acquired by the
Corporation or a subsidiary, or any other right of a Participant to receive payment from the Corporation or any subsidiary. Such additional, tandem, and substitute or exchange Awards may be granted at any time. If an Award is granted in substitution
or exchange for another Award or award, the Committee shall require the surrender of such other Award or award in consideration for the grant of the new Award. In addition, Awards may be granted in lieu of cash compensation, including in lieu of
cash amounts payable under other plans of the Corporation or any subsidiary, in which the value of Stock subject to the Award is equivalent in value to the 
  

 9 

 cash compensation (for example, RSUs or Restricted Stock), or in which the exercise price, grant price or purchase price
of the Award in the nature of a right that may be exercised is equal to the Fair Market Value of the underlying Stock minus the value of the cash compensation surrendered (for example, Options granted with an exercise price “discounted” by
the amount of the cash compensation surrendered). 
  
 (b) Term
of Awards. The term of each Award shall be for such period as may be determined by the Committee; provided that in no event shall the term of any Option or SAR exceed a period of ten years (or such shorter term as may be required in respect of
an ISO under Code Section 422) from the date of grant. 
  
 (c)
Form and Timing of Payment under Awards; Deferrals. Subject to the terms of the Plan and any applicable Award agreement, payments to be made by the Corporation or a subsidiary upon the exercise of an Option or other Award or settlement of an
Award may be made in such forms as the Committee shall determine, including, without limitation, cash, Stock, other Awards or other property, and may be made in a single payment or transfer, in installments, or on a deferred basis. Any installment
or deferral provided for in the preceding sentence shall, however, be subject to the Corporation’s compliance with the provisions of the Sarbanes-Oxley Act of 2002, the rules and regulations adopted by the Securities and Exchange Commission
thereunder, and all applicable rules of the Nasdaq Stock Market or any national securities exchange on which the Corporation’s securities are listed for trading and, if not listed for trading on either the Nasdaq Stock Market or a national
securities exchange, then the rules of the Nasdaq Stock Market. The settlement of any Award may be accelerated, and cash paid in lieu of Stock in connection with such settlement, in the discretion of the Committee or upon occurrence of one or more
specified events (in addition to a Change in Control). Installment or deferred payments may be required by the Committee (subject to Section 10(e) of the Plan, including the consent provisions thereof in the case of any deferral of an outstanding
Award not provided for in the original Award agreement) or permitted at the election of the Participant on terms and conditions established by the Committee. Payments may include, without limitation, provisions for the payment or crediting of
reasonable interest on installment or deferred payments or the grant or crediting of Dividend Equivalents or other amounts in respect of installment or deferred payments denominated in Stock. 
  
 (d) Exemptions from Section 16(b) Liability. It is the intent of the
Corporation that the grant of any Awards to or other transaction by a Participant who is subject to Section 16 of the Exchange Act shall be exempt from Section 16 pursuant to an applicable exemption (except for transactions acknowledged in writing
to be non-exempt by such Participant). Accordingly, if any provision of this Plan or any Award agreement does not comply with the requirements of Rule 16b-3 as then applicable to any such transaction, such provision shall be construed or deemed
amended to the extent necessary to conform to the applicable requirements of Rule 16b-3 so that such Participant shall avoid liability under Section 16(b). 
  
 8. Performance and Annual Incentive Awards. 
  
 (a) Performance Conditions. The right of a Participant to exercise or receive a grant or settlement of any Award, and the timing thereof, may be
subject to such performance conditions as may be specified by the Committee. The Committee may use such business criteria 
  

 10 

 and other measures of performance as it may deem appropriate in establishing any performance conditions, and may exercise
its discretion to reduce or increase the amounts payable under any Award subject to performance conditions, except as limited under Sections 8(b) and 8(c) hereof in the case of a Performance Award or Annual Incentive Award intended to qualify under
Code Section 162(m). 
  
 (b) Performance Awards Granted to
Designated Covered Employees. If the Committee determines that a Performance Award to be granted to an Eligible Person who is designated by the Committee as likely to be a Covered Employee should qualify as “performance-based
compensation” for purposes of Code Section 162(m), the grant, exercise and/or settlement of such Performance Award shall be contingent upon achievement of preestablished performance goals and other terms set forth in this Section 8(b).

  
 (i) Performance Goals Generally. The performance goals
for such Performance Awards shall consist of one or more business criteria and a targeted level or levels of performance with respect to each of such criteria, as specified by the Committee consistent with this Section 8(b). Performance goals shall
be objective and shall otherwise meet the requirements of Code Section 162(m) and regulations thereunder (including Regulation 1.162-27 and successor regulations thereto), including the requirement that the level or levels of performance targeted by
the Committee result in the achievement of performance goals being “substantially uncertain.” The performance goals for the Plan must be submitted to the Board in writing by the Committee. The performance goals may be altered, adjusted,
and modified from time to time. The Committee may determine that such Performance Awards shall be granted, exercised and/or settled upon achievement of any one performance goal or that two or more of the performance goals must be achieved as a
condition to grant, exercise and/or settlement of such Performance Awards. Performance goals may differ for Performance Awards granted to any one Participant or to different Participants. 
  
 (ii) Business Criteria. One or more of the following business criteria for the Corporation, on a consolidated basis,
and/or for specified subsidiaries or business or geographical units of the Corporation (except with respect to the total shareholder return and earnings per share criteria), shall be used by the Committee in establishing performance goals for such
Performance Awards: (1) earnings per share, (2) increase in revenues or margin: (3) increase in cash flow; (4) operating margin; (5) return on net assets, return on assets, return on investment, return on capital, return on equity; (6) economic
value added; (7) direct contribution; (8) net income; pretax earnings: pretax earnings before interest, taxes, depreciation and amortization (EBITDA); pretax earnings after interest expense and before extraordinary or special items; operating
income; income before interest income or expense, unusual items and income taxes (local, state or federal) and excluding budgeted and actual bonuses which might be paid under any ongoing bonus plans of the Corporation; (9) working capital; (10)
management of fixed costs or variable costs; (11) identification or consummation of investment opportunities or completion of specified projects in accordance with corporate business plans, including strategic mergers, acquisitions or divestitures;
(12) total shareholder return; (13) debt reduction; and (14) any of the above goals determined on an absolute or relative basis or as compared to the performance of a published or special index deemed applicable by the Committee including, but not
limited to, the Standard & Poor’s 500 Stock Index or a group of comparable companies. One or more of the foregoing business criteria shall also be exclusively used in establishing performance goals for Annual Incentive Awards granted to a
Covered Employee under Section 8(c) hereof. 
  

 11 

 (iii) Performance Period; Timing for Establishing Performance Goals. Achievement of performance
goals in respect of such Performance Awards shall be measured over a performance period of up to ten years, as specified by the Committee. Performance goals shall be established not later than 90 days after the beginning of any performance period
applicable to such Performance Awards, or at such other date as may be required or permitted for “performance-based compensation” under Code Section 162(m). 
  
 (iv) Performance Award Pool. The Committee may establish a Performance Award pool, which shall be an unfunded pool,
for purposes of measuring performance of the Corporation in connection with Performance Awards. The amount of such Performance Award pool shall be based upon the achievement of a performance goal or goals based on one or more of the business
criteria set forth in Section 8(b)(ii) hereof during the given performance period, as specified by the Committee in accordance with Section 8(b)(iii) hereof. The Committee may specify the amount of the Performance Award pool as a percentage of any
of such business criteria, a percentage thereof in excess of a threshold amount, or as another amount which need not bear a strictly mathematical relationship to such business criteria. 
  
 (v) Settlement of Performance Awards; Other Terms. After the end of each performance period, the Committee shall
determine the amount, if any, of (A) the Performance Award pool, and the maximum amount of potential Performance Award payable to each Participant in the Performance Award pool, or (B) the amount of potential Performance Award otherwise payable to
each Participant. Settlement of such Performance Awards shall be in cash, Stock, other Awards or other property, in the discretion of the Committee. The Committee may, in its discretion, reduce the amount of a settlement otherwise to be made in
connection with such Performance Awards, but may not exercise discretion to increase any such amount payable to a Covered Employee in respect of a Performance Award subject to this Section 8(b). The Committee shall specify the circumstances in which
such Performance Awards shall be paid or forfeited in the event of termination of employment by the Participant prior to the end of a performance period or settlement of Performance Awards. 
  
 (c) Annual Incentive Awards Granted to Designated Covered Employees.
If the Committee determines that an Annual Incentive Award to be granted to an Eligible Person who is designated by the Committee as likely to be a Covered Employee should qualify as a performance-based compensation” for purposes of Code
Section 162(m), the grant, exercise and/or settlement of such Annual Incentive Award shall be contingent upon achievement of preestablished performance goals and other terms set forth in this Section 8(c). 
  
 (i) Annual Incentive Award Pool. The Committee may establish an
Annual Incentive Award pool, which shall be an unfunded pool, for purposes of measuring performance of the Corporation in connection with Annual Incentive Awards. The amount of such Annual Incentive Award pool shall be based upon the achievement of
a performance goal or goals based on one or more of the business criteria set forth in Section 8(b)(ii) hereof during the given performance period, as specified by the Committee in accordance with Section 8(b)(iii) hereof. The Committee may specify
the amount of the Annual Incentive Award pool as a 
  

 12 

 percentage of any of such business criteria, a percentage thereof in excess of a threshold amount, or as another amount
which need not bear a strictly mathematical relationship to such business criteria. 
  
 (ii) Potential Annual Incentive Awards. Not later than the end of the 90th day of each fiscal year, or at such other date as may be required or permitted in the case of Awards intended to be
“performance-based compensation” under Code Section 162(m), the Committee shall determine the Eligible Persons who will potentially receive Annual Incentive Awards, and the amounts potentially payable thereunder, for that fiscal year,
either out of an Annual Incentive Award pool established by such date under Section 8(c)(i) hereof or as individual Annual Incentive Awards. In the case of individual Annual Incentive Awards intended to qualify under Code Section 162(m), the amount
potentially payable shall be based upon the achievement of a performance goal or goals based on one or more of the business criteria set forth in Section 8(b)(ii) hereof in the given performance year, as specified by the Committee; in other cases,
such amount shall be based on such criteria as shall be established by the Committee. In all cases, the maximum Annual Incentive Award of any Participant shall be subject to the limitation set forth in Section 5 hereof. 
  
 (iii) Payout of Annual Incentive Awards. After the end of each fiscal
year, the Committee shall determine the amount, if any, of (A) the Annual Incentive Award pool, and the maximum amount of potential Annual Incentive Award payable to each Participant in the Annual Incentive Award pool, or (B) the amount of potential
Annual Incentive Award otherwise payable to each Participant. The Committee may, in its discretion, determine that the amount payable to any Participant as a final Annual Incentive Award shall be increased or reduced from the amount of his or her
potential Annual Incentive Award, including a determination to make no final Award whatsoever, but may not exercise discretion to increase any such amount in the case of an Annual Incentive Award intended to qualify under Code Section 162(m). The
Committee shall specify the circumstances in which an Annual Incentive Award shall be paid or forfeited in the event of termination of employment by the Participant prior to the end of a fiscal year or settlement of such Annual Incentive Award.

  
 (d) Written Determinations. All determinations by the
Committee as to the establishment of performance goals, the amount of any Performance Award pool or potential individual Performance Awards and as to the achievement of performance goals relating to Performance Awards under Section 8(b), the amount
of any Annual Incentive Award pool or potential individual Annual Incentive Awards and the amount of final Annual Incentive Awards under Section 8(c), shall be made within the time periods required by Code Section 162(m) before any payment thereof
in writing in the case of any Award intended to qualify under Code Section 162(m). The Committee may not delegate any responsibility relating to such Performance Awards or Annual Incentive Awards. 
  
 (e) Status of Section 8(b) and 8(c) Awards under Code Section 162(m).
It is the intent of the Corporation that Performance Awards and Annual Incentive Awards under Sections 8(b) and 8(c) hereof granted to persons who are designated by the Committee as likely to be Covered Employees within the meaning of Code Section
162(m) and regulations thereunder (including Regulation 1.162-27 and successor regulations thereto) shall, if so designated by the Committee, constitute “performance-based compensation” within the meaning 
  

 13 

 of Code Section 162(m) and regulations thereunder. Accordingly, the terms of Sections 8(b), (c), (d) and (e), including
the definitions of Covered Employee and other terms used therein, shall be interpreted in a manner consistent with Code Section 162(m) and regulations thereunder. The foregoing notwithstanding, because the Committee cannot determine with certainty
whether a given Participant will be a Covered Employee with respect to a fiscal year that has not yet been completed, the term Covered Employee as used herein shall mean only a person designated by the Committee, at the time of grant of Performance
Awards or an Annual Incentive Award, as likely to be a Covered Employee with respect to that fiscal year. If any provision of the Plan as in effect on the date of adoption or any agreements relating to Performance Awards or Annual Incentive Awards
that are designated as intended to comply with Code Section 162(m) does not comply or is inconsistent with the requirements of Code Section 162(m) or regulations thereunder, such provision shall be construed or deemed amended to the extent necessary
to conform to such requirements. 
  
 9. Change in Control.

  
 (a) Effect of “Change In Control”. In the
event of a “Change in Control,” the following provisions shall apply unless otherwise provided in the Award agreement: 
  
 (i) Any Award carrying a right to exercise that was not previously exercisable and vested shall become fully exercisable and vested as of the time of the
Change in Control and shall remain exercisable and vested for the balance of the stated term of such Award, subject to provisions, if any, contained in the Award, and subject further to applicable restrictions set forth in Section 10(a) hereof;

  
 (ii) The restrictions, deferral of settlement and forfeiture
conditions applicable to any other Award granted under the Plan shall lapse and such Awards shall be deemed fully vested as of the time of the Change in Control, except to the extent of any waiver by the Participant and subject to applicable
restrictions set forth in Section 10(a) hereof; and 
  
 (iii)
With respect to any outstanding Award subject to achievement of performance goals and conditions under the Plan, such performance goals and other conditions will be deemed to be met if and to the extent so provided in the Award agreement relating to
such Award. 
  
 (b) Definition of “Change In
Control”. A “Change in Control” shall be deemed to have occurred if: 
  
 (i) any Person (other than the Corporation, any trustee or other fiduciary holding securities under any employee benefit plan of the Corporation, or any
company owned, directly or indirectly, by the stockholders of the Corporation immediately prior to the occurrence with respect to which the evaluation is being made in substantially the same proportions as their ownership of the common stock of the
Corporation) acquires securities of the Corporation and immediately thereafter is the Beneficial Owner (except that a Person shall be deemed to be the Beneficial Owner of all shares that any such Person has the right to acquire pursuant to any
agreement or arrangement or upon exercise of conversion rights, warrants or options or otherwise, without regard to the 60-day period referred to in Rule 13d-3 under the 
  

 14 

 Exchange Act), directly or indirectly, of securities of the Corporation representing 50% or more of the combined voting
power of the Corporation’s then outstanding securities (except that an acquisition of original issue securities directly from the Corporation shall not be deemed an acquisition for purposes of this clause (i)); 
  
 (ii) during any period of two consecutive years, individuals who at the
beginning of such period constitute the Board, and any new director (other than a director designated by a person who has entered into an agreement with the Corporation to effect a transaction described in clause (i), (iii), or (iv) of this
paragraph) whose election by the Board or nomination for election by the Corporation’s stockholders was approved by a vote of at least two thirds of the directors then still in office who either were directors at the beginning of the two-year
period or whose election or nomination for election was previously so approved but excluding for this purpose any such new director whose initial assumption of office occurs as a result of either an actual or threatened election contest (as such
terms are used in Rule 14a-11 of Regulation 14A promulgated under the Exchange Act) or other actual or threatened solicitation of proxies or consents by or on behalf of an individual, corporation, partnership, group, associate or other entity or
Person other than the Board, cease for any reason to constitute at least a majority of the Board; 
  
 (iii) the consummation of a merger or consolidation of the Corporation with any other entity, other than (i) a merger or consolidation which would result
in the voting securities of the Corporation outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving or resulting entity) more than 50% of the
combined voting power of the surviving or resulting entity outstanding immediately after such merger or consolidation or (ii) a merger or consolidation in which no premium is intended to be paid to any shareholder participating in the merger or
consolidation; 
  
 (iv) the stockholders of the Corporation
approve a plan or agreement for the sale or disposition of all or substantially all of the consolidated assets of the Corporation (other than such a sale or disposition immediately after which such assets will be owned directly or indirectly by the
stockholders of the Corporation, in substantially the same proportions as their ownership of the common stock of the Corporation immediately prior to such sale or disposition) in which case the Board shall determine the effective date of the Change
in Control resulting therefrom; or 
  
 (v) any other event occurs
which the Board determines, in its discretion, would materially alter the structure of the Corporation or its ownership. 
  
 (c) Definition of “Change In Control Price”. The “Change in Control Price” means an amount in cash equal to the higher of (i)
the amount of cash and fair market value of property that is the highest price per share paid (including extraordinary dividends) in any transaction triggering the Change in Control or any liquidation of shares following a sale of substantially all
assets of the Corporation, or (ii) the highest Fair Market Value per share at any time during the 60-day period preceding and 60-day period following the Change in Control. 
  

 15 

 10. General Provisions. 
  
 (a) Compliance with Legal and Other Requirements. The Corporation may, to the extent deemed necessary or advisable by
the Committee, postpone the issuance or delivery of Stock or payment of other benefits under any Award until completion of such registration or qualification of such Stock or other required action under any federal or state law, rule or regulation,
listing or other required action with respect to any stock exchange or automated quotation system upon which the Stock or other securities of the Corporation are listed or quoted, or compliance with any other obligation of the Corporation, as the
Committee may consider appropriate, and may require any Participant to make such representations, furnish such information and comply with or be subject to such other conditions as it may consider appropriate in connection with the issuance or
delivery of Stock or payment of other benefits in compliance with applicable laws, rules, and reasons, listing requirements or other obligations. 
  
 (b) Limits on Transferability; Beneficiaries. No Award or other right or interest granted under the Plan shall be pledged, hypothecated or
otherwise encumbered or subject to any lien, obligation or liability of such Participant to any party (other than the Corporation or a subsidiary), or assigned or transferred by such Participant otherwise than by will or the laws of descent and
distribution or to a Beneficiary upon the death of a Participant, and such Awards or rights that may be exercisable shall be exercised during the lifetime of the Participant only by the Participant or his or her guardian or legal representative,
except that Awards and other rights (other than ISOs and SARs in tandem therewith) may be transferred to one or more Beneficiaries or other transferees during the lifetime of the Participant, and may be exercised by such transferees in accordance
with the terms of such Award, but only if and to the extent such transfers are permitted by the Committee pursuant to the express terms of an Award agreement (subject to any terms and conditions which the Committee may impose thereon). A
Beneficiary, transferee, or other person claiming any rights under the Plan from or through any Participant shall be subject to all terms and conditions of the Plan and any Award agreement applicable to such Participant, except as otherwise
determined by the Committee, and to any additional terms and conditions deemed necessary or appropriate by the Committee. 
  
 (c) Adjustments. In the event that any dividend or other distribution (whether in the form of cash, Stock, or other property), recapitalization,
forward or reverse split, reorganization, merger, consolidation, spin-off, combination, repurchase, share exchange, liquidation, dissolution or other similar transaction or event affects the Stock such that an adjustment is determined by the
Committee to be appropriate under the Plan, then the Committee shall, in such manner as it may deem equitable, adjust any or all of (i) the number and kind of shares of Stock which may be delivered in connection with Awards granted thereafter, (ii)
the number and kind of shares of Stock by which annual per-person Award limitations are measured under Section 5 hereof, (iii) the number and kind of shares of Stock subject to or deliverable in respect of outstanding Awards and (iv) the exercise
price, grant price or purchase price relating to any Award and/or make provision for payment of cash or other property in respect of any outstanding Award; provided, that no such adjustment shall be authorized or made if and to the extent that such
authority or the making of such adjustment would cause Options, SARs, Performance Awards granted under Section 8(b) hereof or Annual Incentive Awards granted under Section 8(c) hereof to Participants designated by the Committee as Covered Employees
and intended to qualify as “performance-based compensation” under Code Section 162(m) and regulations thereunder to otherwise fail to qualify as “performance-based compensation” under Code Section 162(m) and regulations
thereunder. 
  

 16 

 (d) Taxes. The Corporation and any subsidiary is authorized to withhold from any Award granted,
any payment relating to an Award under the Plan, including from a distribution of Stock, or any payroll or other payment to a Participant, amounts of withholding and other taxes due or potentially payable in connection with any transaction involving
an Award, and to take such other action as the Committee may deem advisable to enable the Corporation and Participants to satisfy obligations for the payment of withholding taxes and other tax obligations relating to any Award. This authority shall
include authority to withhold or receive Stock or other property and to make cash payments in respect thereof in satisfaction of a Participant’s tax obligations, either on a mandatory or elective basis in the discretion of the Committee.

  
 (e) Changes to the Plan and Awards. The Board may
amend, alter, suspend, discontinue or terminate the Plan or the Committee’s authority to grant Awards under the Plan without the consent of shareholders or Participants, except that any amendment or alteration to the Plan shall be subject to
the approval of the Corporation’s shareholders not later than the annual meeting next following such Board action if such shareholder approval is required by any federal or state law or regulation or the rules of any stock exchange or automated
quotation system on which the Stock may then be listed or quoted, and the Board may otherwise, in its discretion, determine to submit other such changes to the Plan to shareholders for approval; provided, that without the consent of an affected
Participant, no such Board action may materially and adversely affect the rights of such Participant under any previously granted and outstanding Award. The Committee may waive any conditions or rights under, or amend, alter, suspend, discontinue or
terminate any Award theretofore granted and any Award agreement relating thereto, except as otherwise provided in the Plan; provided that, without the consent of an affected Participant, no such Committee action may materially and adversely affect
the rights of such Participant under such Award. In addition, the Board shall also have the authority to modify the Plan, to the extent it deems necessary or desirable in its sole discretion, to minimize the taxes incurred by either the Corporation
or any Participant relating to any Award. 
  
 (f) Limitation on
Rights Conferred under Plan. Neither the Plan nor any action taken hereunder shall be construed as (i) giving any Eligible Person or Participant the right to continue as an Eligible Person or Participant or in the employ or service of the
Corporation or a subsidiary, (ii) interfering in any way with the right of the Corporation or a subsidiary to terminate any Eligible Person’s or Participant’s employment or service at any time, (iii) giving an Eligible Person or
Participant any claim to be granted any Award under the Plan or to be treated uniformly with other Participants and employees, or (iv) conferring on a Participant any of the rights of a shareholder of the Corporation unless and until the Participant
is duly issued or transferred shares of Stock in accordance with the terms of an Award. 
  
 (g) Unfunded Status of Awards, Creation of Trusts. The Plan is intended to constitute an “unfunded” plan for certain incentive awards and deferred compensation. With respect to any payments not yet
made to a Participant or obligation to deliver Stock pursuant to an Award, nothing contained in the Plan or any Award shall give any such Participant any rights that are greater than those of a general creditor of the Corporation. 
  
 (h) Nonexclusivity of the Plan. Neither the adoption of the Plan by
the Board nor its submission to the shareholders of the Corporation for approval shall be construed as 
  

 17 

 creating any limitations on the power of the Board or a committee thereof to adopt such other incentive arrangements as
it may deem desirable including incentive arrangements and awards which do not qualify under Code Section 162(m). 
  
 (i) Payments in the Event of Forfeitures; Fractional Shares. Unless otherwise determined by the Committee, in the event of a forfeiture of an Award
with respect to which a Participant paid cash or other consideration, the Participant shall be repaid the amount of such cash or other consideration. No fractional shares of Stock shall be issued or delivered pursuant to the Plan or any Award. The
Committee shall determine whether cash, other Awards or other property shall be issued or paid in lieu of such fractional shares or whether such fractional shares or any rights thereto shall be forfeited or otherwise eliminated. 
  
 (j) Governing Law. The validity, construction and effect of the Plan,
any rules and regulations under the Plan, and any Award agreement shall be determined in accordance with the laws of the State of Delaware, without giving effect to principles of conflict of laws, and applicable federal law. 
  
 (k) Plan Authorization, Bankruptcy Court Confirmation Order and
Shareholder Approval. The Plan shall be authorized on the date upon which an Order confirming the Second Amended Plan of Reorganization of Seitel, Inc., or an amended or successor plan, is entered on the docket of the United States Bankruptcy
Court for the District of Delaware, and shall be effective on such date as the Plan is adopted by the shareholders of the Corporation at an annual or special meeting of shareholders held within twelve months from the Plan authorization date.

  
 (l) Term of Plan. The term of the Plan shall be ten
(10) years from the Effective Date after which no Awards may be granted hereunder. 
  

	
	 
	/S/ ROBERT D. MONSON
	 Name: Robert D. Monson
 Title: Secretary
  
 December 15, 2004

  

 18

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00076-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00076-of-00352.parquet"}]]