Document:

Form of Nonqualified Incentive Award Agreement

 Exhibit 10.4 
 MIMEDX, INC. 
 2006 STOCK INCENTIVE PLAN 
 Nonqualified Stock Option Award Agreement 
 (Non-employee Directors and Independent Contractors) 
 THIS AGREEMENT (together with Schedule A, attached
hereto, the “Agreement”), effective as of the date specified as the “Grant Date” on Schedule A attached hereto, between MIMEDX, INC., a Florida corporation (the “Corporation”), and the individual identified on Schedule
A attached hereto, an individual in service to the Corporation or an Affiliate (the “Participant”). 
 R E C
I T A L S : 
 In furtherance of the purposes of the MiMedx, Inc. 2006 Stock Incentive
Plan, as it may be hereafter amended (the “Plan”), the Corporation and the Participant hereby agree as follows: 
 1. Incorporation of Plan. The rights and duties of the Corporation and the Participant under this Agreement shall in all respects be subject to and governed by the provisions of the Plan, the terms of which are incorporated herein by
reference. In the event of any conflict between the provisions in the Agreement and those of the Plan, the provisions of the Plan shall govern. Unless otherwise defined herein, capitalized terms in this Agreement shall have the same definitions as
set forth in the Plan. 
 2. Grant of Option; Term of Option. The Corporation hereby grants to the Participant
pursuant to the Plan, as a matter of separate inducement and agreement in connection with his or her service to the Corporation, and not in lieu of any salary or other compensation for his or her services, the right and Option (the
“Option”) to purchase all or any part of such aggregate number of shares (the “Shares”) of common stock of the Corporation (the “Common Stock”) at a purchase price (the “Option Price”) as specified on Schedule
A, attached hereto and subject to such other terms and conditions as may be stated herein or in the Plan or on Schedule A. The Participant expressly acknowledges that the terms of Schedule A shall be incorporated herein by reference and shall
constitute part of this Agreement. The Corporation and the Participant further acknowledge and agree that the signatures of the Corporation and the Participant on the Grant Notice contained in Schedule A shall constitute their acceptance of all of
the terms of this Agreement and their agreement to be bound by the terms of this Agreement. The Option shall be designated as a Nonqualified Option, as stated on Schedule A. Except as otherwise provided in the Plan or this Agreement, this Option
will expire if not exercised in full by the Expiration Date specified on Schedule A. 
 3. Exercise of Option. Subject
to the terms of the Plan and this Agreement, the Option shall become exercisable on the date or dates, and subject to such conditions, 

 
as are set forth on Schedule A attached hereto. To the extent that an Option which is exercisable is not exercised, such Option shall accumulate and be
exercisable by the Participant in whole or in part at any time prior to expiration of the Option, subject to the terms of the Plan and this Agreement. The Participant expressly acknowledges that the Option may vest and be exercisable only upon
such terms and conditions as are provided in this Agreement and the Plan. Upon the exercise of an Option in whole or in part and payment of the Option Price in accordance with the provisions of the Plan and this Agreement, the Corporation shall,
as soon thereafter as practicable, deliver to the Participant a certificate or certificates for the Shares purchased. Payment of the Option Price may be made (i) in cash or by cash equivalent; and, where permitted by applicable law, payment may
also be made (ii) by delivery (by either actual delivery or attestation) of shares of Common Stock owned by the Participant (subject to such terms and conditions, if any, as may be determined by the Administrator); (iii) by shares of
Common Stock withheld upon exercise but only if and to the extent that payment by such method does not result in variable accounting or other accounting consequences deemed unacceptable to the Corporation; (iv) in the event that a Public Market
(as defined in the Plan) for the Common Stock exists, by delivery of written notice of exercise to the Corporation and delivery to a broker of written notice of exercise and irrevocable instructions to promptly deliver to the Corporation the amount
of sale or loan proceeds to pay the Option Price; (v) by such other payment methods as may be approved by the Administrator and which are acceptable under applicable law; or (vi) by any combination of the foregoing methods. Shares
delivered or withheld in payment of the Option Price shall be valued at their Fair Market Value on the date of exercise, determined in accordance with the terms of the Plan. 
 4. No Right of Employment or Service; Forfeiture of Option. Neither the Plan, this Agreement nor any other action related to the Plan shall confer upon the Participant any right to
continue in the employment or service of the Corporation or an Affiliate or interfere with the right of the Corporation or an Affiliate to terminate the Participant’s employment or service at any time. Except as otherwise expressly provided in
the Plan or this Agreement or as determined by the Administrator, all rights of the Participant with respect to the Option shall terminate upon termination of the services of the Participant with the Corporation or an Affiliate. Notwithstanding any
thing to the contrary herein or in the Plan, if Participant’s services as director, consultant or otherwise on behalf of the Corporation terminate for any reason prior to the expiration of ninety (90) days from the date of commencement of
such services, then all Options granted, whether or not vested, shall upon such termination be forfeited in full and shall no longer be of any force or effect. 
 5. Termination of Service. Unless the Administrator determines otherwise (and unless the Participant becomes an Employee after the date of this Agreement, in which case he or she shall be
subject to the provisions of Section 7(d)(iii) of the Plan), subject to any requirements imposed under Code Section 409A, the Option may be exercised only to the extent vested and exercisable on the Participant’s Termination Date
(unless the termination was for Cause, and must be exercised, if at all , prior to the first to occur of the following, as applicable: (a) the close of the period of three months next succeeding the Termination Date; or (b) the close of
the Option Period. If the services of 

  

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he Participant are terminated for Cause (as defined in the Plan), the Option shall lapse and no longer be exercisable as of his or her Termination Date, as
determined by the Administrator. 
 6. Nontransferability of Option. The Option shall not be transferable (including
by sale, assignment, pledge or hypothecation) other than by will or the laws of intestate succession, except as may be permitted by the Administrator in a manner consistent with the registration provisions of the Securities Act of 1933, as amended
(the “Securities Act”). Except as may be permitted by the preceding sentence, the Option shall be exercisable during the Participant’s lifetime only by him or her or by his or her guardian or legal representative. The designation of a
beneficiary in accordance with the Plan does not constitute a transfer. 
 7. Superseding Agreement; Binding Effect.
This Agreement supersedes any statements, representations or agreements of the Corporation with respect to the grant of the Option or any related rights, and the Participant hereby waives any rights or claims related to any such statements,
representations or agreements. This Agreement does not supersede or amend any existing confidentiality agreement, nonsolicitation agreement, noncompetition agreement, employment agreement or any other similar agreement between the Participant and
the Corporation, including, but not limited to, any restrictive covenants contained in such agreements. This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective executors, administrators, heirs,
successors and assigns. 
 8. Governing Law. Except as otherwise provided in the Plan or herein, this Agreement shall
be construed and enforced according to the laws of the State of Florida, without regard to the conflict of laws provisions of any state, and in accordance with applicable federal laws of the United States. 
 9. Amendment and Termination; Waiver. Subject to the terms of the Plan, this Agreement may be modified or amended only by the
written agreement of the parties hereto. The waiver by the Corporation of a breach of any provision of the Agreement by the Participant shall not operate or be construed as a waiver of any subsequent breach by the Participant. Notwithstanding the
foregoing, the Administrator shall have unilateral authority to amend the Plan and this Agreement (without Participant consent) to the extent necessary to comply with applicable law or changes to applicable law (including but in no way limited to
Code Section 409A, Code Section 422 and federal securities laws). 
 10. No Rights as Stockholder. The
Participant and his or her legal representatives, legatees and distributees shall not be deemed to be the holder of any Shares subject to the Option and shall not have any rights of a stockholder unless and until certificates for such Shares have
been issued and delivered to him or her or them. 
 11. Withholding; Tax Matters. 
  

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 (a) The Participant acknowledges that the Corporation shall require the
Participant to pay the Corporation in cash the amount of any tax or other amount required by any governmental authority to be withheld and paid over by the Corporation to such authority for the account of the Participant, and the Participant agrees,
as a condition to the grant of the Option and delivery of the Shares or any other benefit, to satisfy such obligations. Notwithstanding the foregoing, the Corporation may establish procedures to permit the Participant to satisfy such obligations in
whole or in part, and any other local, state, federal, foreign or other income tax obligations relating to the Option, by electing (the “election”) to have the Corporation withhold shares of Common Stock from the Shares to which the
Participant is entitled. The number of Shares to be withheld shall have a Fair Market Value as of the date that the amount of tax to be withheld is determined as nearly equal as possible to (but not exceeding) the amount of such obligations being
satisfied. Each election must be made in writing to the Administrator in accordance with election procedures established by the Administrator. 
 (b) The Participant acknowledges that the Corporation has made no warranties or representations to the Participant with respect to the tax consequences (including, but not limited to, income tax
consequences) related to the transactions contemplated by this Agreement, and the Participant is in no manner relying on the Corporation or its representatives for an assessment of such tax consequences. The Participant acknowledges that there may
be adverse tax consequences upon acquisition or disposition of the Shares subject to the Option and that the Participant should consult a tax advisor prior to such exercise or disposition. The Participant acknowledges that he or she has been advised
that he or she should consult with his own attorney, accountant, and/or tax advisor regarding the decision to enter into this Agreement and the consequences thereof. The Participant also acknowledges that the Corporation has no responsibility to
take or refrain from taking any actions in order to achieve a certain tax result for the Participant. 
 12.
Administration. The authority to construe and interpret this Agreement and the Plan, and to administer all aspects of the Plan, shall be vested in the Administrator, and the Administrator shall have all powers with respect to this Agreement
as are provided in the Plan. Any interpretation of the Agreement by the Administrator and any decision made by it with respect to the Agreement is final and binding. 
 13. Notices. Except as may be otherwise provided by the Plan or determined by the Administrator, any written notices provided for in this Agreement or the Plan shall be in writing and
shall be deemed sufficiently given if either hand delivered or if sent by fax or overnight courier, or by postage paid first class mail. Notices sent by mail shall be deemed received three business days after mailed but in no event later than the
date of actual receipt. Notices shall be directed, if to the Participant, at the Participant’s address indicated on Schedule A (or such other address as may be designated by the Participant in a manner acceptable to the Administrator), or, if
to the Corporation, at the Corporation’s 

  

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principal executive offices, attention Chief Financial Officer, MiMedx, Inc. Notice may also be provided by electronic submission, if and to the extent
permitted by the Administrator. 
 14. Severability. The provisions of this Agreement are severable and if any one or
more provisions may be determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions shall nevertheless be binding and enforceable. 
 15. Restrictions on Option and Shares. The Corporation may impose such restrictions on the Option and the Shares or other benefits underlying the Option as it may deem advisable, including
without limitation restrictions under the federal securities laws, the requirements of any stock exchange or similar organization and any blue sky, state or foreign securities laws applicable to such Option or Shares. Notwithstanding any other
provision in the Plan or the Agreement to the contrary, the Corporation shall not be obligated to issue, deliver or transfer shares of Common Stock, to make any other distribution of benefits, or to take any other action, unless such delivery,
distribution or action is in compliance with all applicable laws, rules and regulations (including but not limited to the requirements of the Securities Act). The Corporation may cause a restrictive legend to be placed on any certificate for Shares
issued pursuant to the exercise of the Option in such form as may be prescribed from time to time by applicable laws and regulations or as may be advised by legal counsel. 
 16. Effect of Changes in Status. Unless the Administrator, in its sole discretion, determines otherwise (or unless required by Code Section 409A), the Option shall not be affected by
any change in the terms, conditions or status of the Participant’s service, provided that the Participant continues to be in service to the Corporation or an Affiliate. Without limiting the foregoing, the Administrator has sole discretion to
determine, subject to Code Section 409A, at the time of grant of the Option or at any time thereafter, the effect, if any, on the Option if the Participant’s status as an Independent Contractor changes. 
 17. Right of Offset. Notwithstanding any other provision of the Plan or the Agreement, the Corporation may reduce the amount of
any payment otherwise payable to or on behalf of the Participant by the amount of any obligation of the Participant to the Corporation that is or becomes due and payable and the Participant shall be deemed to have consented to such reduction.

 18. Counterparts; Further Instruments. This Agreement may be executed in two or more counterparts, each of which
shall be deemed an original but all of which together shall constitute one and the same instrument. The parties hereto agree to execute such further instruments and to take such further action as may be reasonably necessary to carry out the purposes
and intent of this Agreement. 
 [Signatures of the Corporation and the Participant follow on Schedule A/Grant Notice.] 
  

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 MIMEDX, INC. 
 2006 STOCK INCENTIVE PLAN 
 Nonqualified Stock Option Agreement 
 (Non-employee Directors and Independent Contractors) 
 Schedule A/Grant Notice 
 1. Pursuant to the terms and conditions of the
Corporation’s 2006 Stock Incentive Plan (the “Plan”), you (the “Participant”) have been granted an option (the “Option”) to purchase
                     shares (the “Shares”) of our Common Stock as outlined below. 
  

					
	 Name of Participant:
	  	  
	  	
	 Address:
	  	  
	  	
		  	  
	  	
		  	  
	  	
		  	  
	  	
	 Grant Date:
	  	                         , 20
	  	
	 Number of Shares Subject to Option:
	  	  
	  	
	 Option Price:
	  	   $
	  	
	 Type of Option:
	  	   Nonqualified Stock Option
	  	
	 Expiration Date (Last day of Option Period):
	  	                         , 20
	  	
	 Vesting Schedule/Conditions:
	  	  
	  	
		  	  
	  	
		  	  
	  	

 2. By my signature below, I, the Participant hereby acknowledge receipt of this
Grant Notice and the Option Award Agreement (the “Agreement”) dated                     , 200  , between the
Participant and MiMedx, Inc. (the “Corporation”) which is attached to this Grant Notice. I understand that the Grant Notice and other provisions of Schedule A herein are incorporated by reference into the Agreement and constitute a part of
the Agreement. By my signature below, I further agree to be bound by the terms of the Plan and the Agreement, including but not limited to the terms of this Grant Notice and the other provisions of Schedule A contained herein. The Corporation
reserves the right to treat the Option and the Agreement as cancelled, void and of no effect if the Participant fails to return a signed copy of the Grant Notice within 30 days of grant date stated above. 

									
	     Signature:
	 	  
	 		 	 Date:
	 	  

				
		 		 		 	 Agreed to by:

				
		 		 		 	 MiMedx, Inc.

					
		 		 		 	 By:
	 	  

					
		 		 		 	 Name:
	 	  

					
	     Attest:
	 		 		 	 Its:
	 	  

				
	  
	 		 		 	
	     Secretary
	 		 		 		 	

 The following directors were granted nonqualified stock options under the MiMedx, Inc. 2006 Stock Incentive Plan

  

							
	Name	  	Exercise
Price	  	Number
of
Options	  	 
				
	 Charles & Pamela N. Koob
	  	$1.00	  	309,142	  	
	 Larry Papasan
	  	$2.40	  	154,571MiMedx, Inc. 2005 Assumed Stock Plan

 EXHIBIT 10.5 
 SPINEMEDICA CORP. 
 2005 EMPLOYEE, DIRECTOR AND CONSULTANT STOCK PLAN 
 1. DEFINITIONS. Unless otherwise specified or unless the context otherwise requires, the following terms, as used in this
SpineMedica Corp. 2005 Employee, Director and Consultant Stock Plan, have the following meanings: 
 Administrator
means the Board of Directors, unless it has delegated power to act on its behalf to the Committee, in which case the Administrator means the Committee. 
 Affiliate means a corporation which, for purposes of Section 424 of the Code, is a parent or subsidiary of the Company, direct or indirect. 
 Board of Directors means the Board of Directs of the Company. 
 Code means the United States Internal Revenue Code of 1986, as amended. 
 Committee means the committee of the Board of Directors to which the Board of Directors has delegated power to act under or
pursuant to the provisions of the Plan. 
 Common Stock means shares of the Company common stock, $.001 par value per
share. 
 Company means SpineMedica Corp., a Florida corporation. 
 Disability or Disabled means permanent and total disability as defined in Section 22(e)(3) of the Code. 
 Employee means any employee of the Company or of an Affiliate (including, without limitation, an employee who is also serving as
an officer or director of the Company or of an Affiliate), designated by the Administrator to be eligible to be granted one or more Stock Rights under the Plan. 
 Fair Market Value of a Share of Common Stock means: 
 (1) If the Common Stock is listed on a national securities exchange or traded in the over-the-counter market and sales prices are regularly reported for the Common Stock, the closing or last price of the Common Stock on the Composite Tape
or other comparable reporting system for the trading day immediately preceding the applicable date; 
 (2) If
the Common Stock is not traded on a national securities exchange but is traded on the over-the-counter market, if sales prices are not regularly reported for the Common Stock for the trading day referred to in clause (1), and if bid and asked prices
for the Common Stock are regularly reported, the mean between the bid and the asked price for the Common Stock at the close of trading in the over-the-counter market for the trading day on which Common Stock was traded immediately preceding the
applicable date; and 

 (3) If the Common Stock is neither listed on a national securities
exchange nor traded in the over-the-counter market, except as otherwise provided in the applicable Option Agreement or Stock Grant Agreement, such value as the Administrator, in good faith, shall determine. 
 ISO means an option meant to qualify as an incentive stock option under Section 422 of the Code. 
 Non-Qualified Option means an option which is not intended to qualify as an ISO. 
 Option means an ISO or Non-Qualified Option granted under the Plan. 
 Option Agreement means an agreement between the Company and a Participant delivered pursuant to the Plan, in such form as the
Administrator shall approve. 
 Participant means an Employee, director or consultant of the Company or an Affiliate
to whom one or more Stock Rights are granted under the Plan. As used herein, “Participant” shall include “Participant’s Survivors” where the context requires. 
 Plan means this SpineMedica Corp. 2005 Employee, Director and Consultant Stock Plan. 
 Shares means shares of the Common Stock as to which Stock Rights have been or may be granted under the Plan or any shares of
capital stock into which the Shares are changed or for which they are exchanged within the provisions of Paragraph 3 of the Plan. The Shares issued under the Plan may be authorized and unissued shares or shares held by the Company in its
treasury, or both. 
 Stock Grant Agreement means an agreement between the Company and a Participant delivered
pursuant to the Plan, in such form as the Administrator shall approve. 
 Stock Right means a right to Shares of the
Company granted pursuant to the Plan, an ISO, a Non-Qualified Option or a Stock Grant. 
 Survivor means a deceased
Participant’s legal representatives and/or any person or persons who acquired the Participant’s rights to a Stock Right by will or by the laws of descent and distribution. 
 2. PURPOSES OF THE PLAN. The Plan is intended to encourage ownership of Shares by Employees and directors of and certain
consultants to the Company in order to attract such people, to induce them to work for the benefit of the Company or of an Affiliate and to provide additional incentive for them to promote the success of the Company or of an Affiliate. The Plan
provides for the granting of ISOs, Non-Qualified Options and Stock Grants. 
 3. SHARES SUBJECT TO THE PLAN. The
number of Shares which may be issued from time to time pursuant to this Plan shall be 1,500,000 Shares, or the equivalent of such number of Shares after the Administrator, in its sole discretion, has interpreted the effect of any stock split, stock
dividend, combination, recapitalization or similar transaction in accordance with Paragraph 23 of the Plan. If an Option ceases to be “outstanding”, in whole or in part, or if 

  

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the Company shall reacquire any Shares issued pursuant to a Stock Grant, the Shares which were subject to such Option and any Shares so reacquired by the
Company shall be available for the granting of other Stock Rights under the Plan. Any Option shall be treated as “outstanding” until such Option is exercised in fill, or terminates or expires under the provisions of the Plan, or by
agreement of the parties to the pertinent Option Agreement. 
 4. ADMINISTRATION OF THE PLAN. The Administrator of the
Plan will be the Board of Directors, except to the extent the Board of Directors delegates its authority to the Committee, in which case the Committee shall be the Administrator. Subject to the provisions of the Plan, the Administrator is authorized
to: 
 a. Interpret the provision of the Plan or of any Option or Stock Grant and to make all rules and
determinations which it deems necessary or advisable for the administration of the Plan; 
 b. Determine which
Employees, directors and consultants shall be granted Stock Rights; 
 c. Specify the terms and conditions
upon which a Stock Right or Stock Rights may be granted; and 
 d. Adopt any sub-plans applicable to residents
of any specified jurisdiction as it deems necessary or appropriate in order to comply with or take advantage of any tax laws applicable to the Company or to Plan Participants or to otherwise facilitate the administration of the Plan, which sub-plans
may include additional restrictions or conditions applicable to Options or Shares acquired upon exercise of Options. 
 provided, however, that all such interpretations, rules, determinations, terms and conditions shall be made and prescribed in the context of preserving the tax status under Section 422 of the Code of those Options which are designated
as ISOs. Subject to the foregoing, the interpretation and construction by the Administrator of any provisions of the Plan or of any Stock Right granted under it shall be final, unless otherwise determined by the Board of Directors, if the
Administrator is the Committee. In addition, if the Administrator is the Committee, the Board of Directors may take any action under the Plan that would otherwise be the responsibility of the Committee. If permissible under applicable law, the Board
of Directors or the Committee may allocate all or any portion of its responsibilities and powers to any one or more of its members and may delegate all or any portion of its responsibilities and powers to any other person selected by it. Any such
allocation or delegation may be revoked by the Board of Directors or the Committee at any time. 
 5. ELIGIBILITY FOR
PARTICIPATION. The Administrator will, in its sole discretion, name the Participants in the Plan, provided, however, that each Participant must be an Employee, director or consultant of the Company or of an Affiliate at the time a Stock Right is
granted. Notwithstanding the foregoing, the Administrator may authorize the grant of a Stock Right to a person not then an Employee, director or consultant of the Company or of an Affiliate, provided, however, that the actual grant of such Stock
Right shall be conditioned upon such person becoming eligible to become a Participant at or prior to the time of the execution of the 

  

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Agreement evidencing such Stock Right. ISOs may be granted only to Employees. Non-Qualified Options and Stock Grants may be granted to any Employee, director
or consultant of the Company or an Affiliate. The granting of any Stock Right to any individual shall neither entitle that individual to, nor disqualify him or her from, participation in any other grant of Stock Rights. 
 6. TERMS AND CONDITIONS OF OPTIONS. Each Option shall be set forth in writing in an Option Agreement, duly executed by the Company
and, to the extent required by law or requested by the Company, by the Participant. The Administrator may provide that Options be granted subject to such terms and conditions, consistent with the terms and conditions specifically required under this
Plan, as the Administrator may deem appropriate including, without limitation, subsequent approval by the shareholders of the Company of this Plan or any amendments thereto. The Option Agreements shall be subject to at least the following terms and
conditions 
 A. Non-Qualified Options: Each Option intended to be a Non-Qualified Option shall be
subject to the terms and conditions which the Administrator determines to be appropriate and in the best interest of the Company, subject to the following minimum standards for any such Non-Qualified Option. 
 a. Option Price: Each Option Agreement shall state the option price (per share) of the Shares covered by each Option,
which option price shall be determined by the Administrator but shall not be less than the par value per share of Common Stock. 
 b. Each Option Agreement shall state the number of Shares to which it pertains; 
 c. Each Option Agreement shall state the date or dates on which it first is exercisable and the date after which it may no longer be exercised, and may provide that the Option rights accrue or become exercisable in installments over a
period of months or years, or upon the occurrence of certain conditions or the attainment of stated goals or events; and 
 d. Exercise of any Option may be conditioned upon the Participant’s execution of a Share purchase agreement in form satisfactory to the Administrator providing for certain protections for the Company and its
other shareholders, including requirements that: 
 i. The Participant’s or the Participant’s
Survivors’ right to sell or transfer the Shares may be restricted; and 
 ii. The Participant or the
Participant’s Survivors may be required to execute letters of investment intent and must also acknowledge that the. Shares will bear legends noting any applicable restrictions. 
 B. ISOs: Each Option intended to be an ISO shall be issued only to an Employee and be subject to the following
terms and conditions, with such additional 

  

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restrictions or changes as the Administrator determines are appropriate but not in conflict with Section 422 of the Code and relevant regulations and
rulings of the Internal Revenue Service: 
 a. Minimum standards: The ISO shall meet the minimum standards
required of Non-Qualified Options, as described in Paragraph 6(A) above, except clause (a) thereunder. 
 b. Option Price: Immediately before the ISO is granted, if the Participant owns, directly or by reason of the applicable attribution rules in Section 424(d) of the Code: 
 i. 10% or less of the total combined voting power of all classes of stock of the Company or an Affiliate, the Option
price per share of the Shares covered by each ISO shall not be less than 100% of the Fair Market Value per share of the Shares on the date of the grant of the Option; or 
 ii. More than 10% of the total combined voting power of all classes of stock of the Company or an Affiliate, the Option
price per share of the Shares covered by each ISO shall not be less than 110% of the said Fair Market Value on the date of grant. 
 c. Term of Option: For Participants who own: 
 i. 10% or less of the total
combined voting power of all classes of stock of the Company or an Affiliate, each ISO shall terminate not more than ten years from the date of the grant or at such earlier time as the Option Agreement may provide; or 
 ii. More than 10% of the total combined voting power of all classes of stock of the company or an Affiliate, each ISO
shall terminate not more than five years from the date of the grant or at such earlier time as the Option Agreement may provide. 
 d. Limitation on Yearly Exercise: The Option Agreements shall restrict the amount of ISOs which may become exercisable in any calendar year (under this or any other ISO plan of the Company or an Affiliate) so that the
aggregate Fair Market Value (determined at the time each ISO is granted) of the stock with respect to which ISOs are exercisable for the first time by the Participant in any calendar year does not exceed $100,000. 
 7. TERMS AND CONDITIONS OF STOCK GRANTS. Each offer of a Stock Grant to a Participant shall state the date prior to which the
Stock Grant must be accepted by the Participant, and the principal terms of each Stock Grant shall be set forth in a Stock Grant Agreement, duly executed by the Company and, to the extent required by law or requested by the Company, by the
Participant. The Stock Grant Agreement shall be in a form approved by the 

  

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Administrator and shall contain terms and conditions which the Administrator determines to be appropriate and in the best interest of the Company, subject to
the following minimum standards: 
 (a) Each Stock Grant Agreement shall state the purchase price (per share),
if any, of the Shares covered by each Stock Grant, which purchase price shall be determined by the Administrator but shall not be less than the par value per share of Common Stock on the date of the grant of the Stock Grant; 
 (b) Each Stock Grant Agreement shall state the number of Shares to which the Stock Grant pertains; and 
 (c) Each Stock Grant Agreement shall include the term of any right of the company to restrict or reacquire the Shares
subject to the Stock Grant, including the time and events upon which such reacquisition rights shall accrue and the purchase price therefore, if any. 
 8. EXERCISE OF OPTIONS AND ISSUE OF SHARES. An Option (or any part or installment thereof) shall be exercised by giving written notice to the Company or its designee, together with provision for payment of the
full purchase price in accordance with this Paragraph for the Shares as to which the Option is being exercised, and upon compliance with any other condition(s) set forth in the Option Agreement. Such notice shall be signed by the person exercising
the Option, shall state the number of Shares with respect to which the Option is being exercised and shall contain any representation required by the Plan or the Option Agreement. Payment of the purchase price for the Shares as to which such Option
is being exercised shall be made (a) in United States dollars in cash or by check, or (b) at the discretion of the Administrator, through delivery of shares of Common Stock having a Fair Market Value equal as of the date of the exercise to
the cash exercise price of the Option and held for at least six months, or (c) at the discretion of the Administrator, by delivery of the grantee’s personal note, for full, partial or no recourse, bearing interest payable not less than
annually at market rate on the date of exercise and at no less than 100% of the applicable Federal rate, as defined in Section 1274(d) of the Code, with or without the pledge of such Shares as collateral, or (d) at the discretion of the
Administrator, in accordance with a cashless exercise program established with a securities brokerage firm, and approved by the Administrator, or (e) at the discretion of the Administrator, by any combination of (a), (b), (c) and
(d) above. Notwithstanding the foregoing, the Administrator shall accept only such payment on exercise of an ISO as is permitted by Section 422 of the Code. The Company shall then reasonably promptly deliver the Shares as to which such
Option was exercised to the Participant (or to the Participant’s Survivors, as the case may be). In determining what constitutes “reasonably promptly,” it is expressly understood that the issuance and delivery of the Shares may be
delayed by the Company in order to comply with any law or regulation (including, without limitation, state securities or “blue sky” laws) which requires the Company to take any action with respect to the Shares prior to their issuance. The
Shares shall, upon delivery, be fully paid, non-assessable Shares. 
 The Administrator shall have the right to accelerate
the date of exercise of any installment of any Option, provided that the Administrator shall not accelerate the exercise date of any installment of any Option granted to an Employee as an ISO (and not previously converted into a Non-Qualified Option
pursuant to Paragraph 26) if such acceleration would 

  

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violate the annual vesting limitation contained in Section 422(d) of the Code, as described in Paragraph 6.B.d. The Administrator may, in its
discretion, amend any term or condition of an outstanding Option provided (i) such term or condition as mended is permitted by the Plan, (ii) any such amendment shall be made only with the consent of the Participant to whom the Option was
granted, or in the event of the death of the Participant, the Participant’s Survivors, if the amendment is adverse to the Participant and (iii) any such amendment of any ISO shall be made only after the Administrator determines whether
such amendment would constitute a “modification” of any Option which is an ISO (as that term is defined Section 424(h) of the Code) or would cause any adverse tax consequences for the holder of such ISO. 
 9. ACCEPTANCE OF STOCK GRANT AND ISSUE OF SHARES. A Stock Grant (or any part or installment thereof) shall be accepted by
executing the Stock Grant Agreement and delivering it to the company or its designee, together with provision for payment of the full purchase price, if any, in accordance with this Paragraph for the Shares as to which such Stock Grant is being
accepted, and upon compliance with any other conditions set forth in the Stock Grant Agreement. Payment of the purchase price for the Shares as to which such Stock Grant is being accepted shall be made (a) in United States dollars in cash or by
check, or (b) at the discretion of the Administrator, through delivery of shares of Common Stock held for at least six months and having a Fair Market Value equal as of the date of acceptance of the Stock Grant to the purchase price of the
Stock Grant, or (c) at the discretion of the Administrator, by delivery of the grantee’s personal note, for full or partial recourse as determined by the Administrator, bearing interest payable not less than annually at no less than 100%
of the applicable Federal rate, as defined in Section 1274(d) of the Code, or (d) at the discretion of the Administrator, by any combination of (a), (b) and (c) above. The Company shall then reasonably promptly deliver the Shares
as to which such Stock Grant was accepted to the Participant (or to the Participant’s Survivors, as the case may be), subject to any escrow provision set forth in the Stock Grant Agreement. In determining what constitutes “reasonably
promptly,” it is expressly understood that the issuance and delivery of the Shares may be delayed by the Company in order to comply with any law or regulation (including, without limitation, state securities or “blue sky” laws) which
requires the Company to take any action with respect to the Shares prior to their issuance. The Administrator may, in its discretion, amend any term or condition of an outstanding Stock Grant or Stock Grant Agreement provided (1) such term or
condition as amended is permitted by the Plan and (ii) any such amendment shall be made only with the consent of the Participant to whom the Stock Grant was made, if the amendment is adverse to the Participant. 
 10. RIGHTS AS A SHAREHOLDER. No Participant to whom a Stock Right has been granted shall have rights as a shareholder with respect to any
Shares covered by such Stock Right, except after due exercise of the Option or acceptance of the Stock Grant and tender of the full purchase price, if any, for the Shares being purchased pursuant to such exercise or acceptance and registration of
the Shares in the Company’s share register in the name of the Participant. 
 11. ASSIGNABILITY AND TRANSFERABILITY OF
STOCK RIGHTS. By its terms, a Stock Right granted to a Participant shall not be transferable by the Participant other than (i) by will or by the laws of descent and distribution, or (ii) as approved by the Administrator in its discretion
and set forth in the applicable Option Agreement or Stock Grant Agreement. Notwithstanding the foregoing, an ISO transferred except in compliance with clause 

  

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(1) above shall no longer qualify as an ISO. The designation of a beneficiary of a Stock Right by a Participant, with the prior approval of the Administrator
and in such form as the Administrator shall prescribe, shall not be deemed a transfer prohibited by this Paragraph. Except as provided above, a Stock Right shall only be exercisable or may only be accepted, during the Participant’s lifetime,
only by such Participant (or by his or her legal representative) and shall not be assigned, pledged or hypothecated in any way (whether by operation of law or otherwise) and shall not be subject to execution, attachment or similar process. Any
attempted transfer, assignment, pledge, hypothecation or other disposition of any Stock Right or of any rights granted thereunder contrary to the provisions of this Plan, or the levy of any attachment or similar process upon a Stock Right, shall be
null and void. 
 12. EFFECT ON OPTIONS OF TERMINATION OF SERVICE OTHER THAN “FOR CAUSE” OR DEATH OR
DISABILITY. Except as otherwise provided in a Participant’s Option Agreement, in the event of a termination of service (whether as an employee, director or consultant) with the Company or an Affiliate before the Participant has exercised an
Option, the following rules apply: 
 a. A participant who cases to be an employee, director or consultant of
the Company or of an Affiliate (for any reason other than termination “for cause,” Disability, or death for which events there are special rules in Paragraphs 13, 14 and 15, respectively), may exercise any Option granted to him or her to
the extent that the Option is exercisable on the date of such termination of service, but only within such term as the Administrator has designated in a Participant’s Option Agreement. 
 b. Except as provided in Subparagraph (c) below, or Paragraph 14 or 15, in no event may an Option intended to be an
ISO, be exercised later than three months after the Participant’s termination of employment. 
 c. The
provisions of this Paragraph, and not the provisions of Paragraph 14 or 15, shall apply to a Participant who subsequently becomes Disabled or dies after the termination of employment, director status or consultancy, provided, however, in the case of
a Participant’s Disability or death within three months after the termination of employment, director status or consultancy, the Participant or the Participant’s Survivors may exercise the Option within one year after the date of the
Participant’s termination of service, but in no event after the date of expiration of the term of the Option. 
 d. Notwithstanding anything herein to the contrary, if subsequent to a Participant’s termination of employment, termination of director status or termination of consultancy, but prior to the exercise of an Option, the Board of
Directors determines that, either prior or subsequent to the Participant’s termination, the Participant engaged in conduct which would constitute “cause”, then such Participant shall forthwith cease to have any right to exercise any
Option. 
 e. A Participant to whom an Option has been granted under the Plan who is absent from work with the
Company or with an Affiliate because of temporary disability (any disability other than a permanent and total Disability as defined in Paragraph I hereof), or who is on leave of absence for any purpose, shall not, during the period of any 

  

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such absence, be deemed, by virtue of such absence alone, to have terminated such Participant’s employment; director status or consultancy with the
Company or with an Affiliate, except as the Administrator may otherwise expressly provide. 
 f. Except as
required by law or as set forth in a Participant’s Option Agreement, Options granted under the Plan shall not be affected by any change of a Participant’s status within or among the Company and any Affiliates, so long as the Participant
continues to be an director or consultant of the Company or any Affiliate. 
 13. EFFECT ON OPTIONS OF TERMINATION OF
SERVICE “FOR CAUSE”. Except as otherwise provided in a Participant’s Option Agreement, the following rules apply if the Participant’s service (whether as an employee, director or consultant) with the Company or an Affiliate
is terminated “for cause” prior to the time that all his or her outstanding Options have been exercised: 
 a. All outstanding and unexpected Options as of the time the Participant is notified his or her service is terminated “for cause” will immediately be forfeited. 
 b. For purposes of this Plan, “cause” shall include (and is not limited to) dishonesty with respect to the
Company or any Affiliate, insubordination, substantial malfeasance or non-feasance of duty, unauthorized disclosure of confidential information, breach by the Participant if any provision of any employment, consulting, advisory, nondisclosure,
non-competition or similar agreement between the Participant and the Company, and conduct substantially prejudicial to the business of the Company or any Affiliate. The determination of the Administrator as to the existence of “cause” will
be conclusive on the Participant and the Company. 
 c. “Cause” is not limited to events which have
occurred prior to a Participant’s termination of service, nor is it necessary that the Administrator’s finding of “cause” occur prior to termination. If the Administrator determines, subsequent to a Participant’s termination
of service but prior to the exercise of an Option, that either prior or subsequent to the Participant’s termination the Participant engaged in conduct which would constitute “cause”, then the right to exercise any Option is forfeited.

 d. Any definition in an agreement between the Participant and the Company or an Affiliate, which contains a
conflicting definition of “cause” for termination and which is in effect at the time of such termination, shall supersede the definition in this Plan with respect to that Participant. 
 14. EFFECT ON OPTIONS OF TERMINATION OF SERVICE FOR DISABILITY. Except as otherwise provided in a Participant’s Option
Agreement, a Participant who ceases to be an employee, director or consultant of the Company or of an Affiliate by reason of Disability may exercise any Option granted to such Participant: 
 a. To the extent that the Option has become exercisable but has not been exercised on the date of Disability; and

  

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 b. In the event rights to exercise the Option accrue periodically, to the
extent of a pro rata portion through the date of Disability of any additional vesting rights that would have accrued on the next vesting date had the Participant not become Disabled. The proration shall be based upon the number of days accrued in
the current vesting period prior to the date of Disability. 
 A Disabled Participant may exercise such rights only within
the period ending one year after the date of the Participant’s termination of employment, directorship or consultancy, as the case may be, notwithstanding that the Participant might have been able to exercise the Option as to some or all of the
Shares on a later date if the Participant had not become Disabled and had continued to be an employee, director or consultant or, if earlier, within the originally prescribed term of the Option. The Administrator shall make the determination both of
whether Disability has occurred and the date of its occurrence (unless a procedure for such determination is set forth in another agreement between the Company and such Participant, in which case such procedure shall be used for such determination).
If requested, the Participant shall be examined by a physician selected or approved by the Administrator, the cost of which examination shall be paid 
 15. EFFECT ON OPTIONS OF DEATH WHILE AN EMPLOYEE, DIRECTOR OR CONSULTANT. Except as otherwise provided in a Participant’s Option Agreement, in the event of the death of a Participant while the Participant
is an employee, director or consultant of the Company or of an Affiliate, such Option may be exercised by the Participant’s Survivors: 
 a. To the extent that the Option has become exercisable but has not been exercised on the date of death; and 
 b. In the event rights to exercise the Option accrue periodically to the extent of a pro rata portion through the date of death of any additional vesting rights that would have accrued on the
next vesting date had the Participant not died. The proration shall be based upon the number of days accrued in the current vesting period prior to the Participant’s date of death. 
 If the Participant’s Survivors wish to exercise the Option, they must take all necessary steps to exercise the Option within one
year after the date of death of such Participant, notwithstanding that the decedent might have been able to exercise the Option as to some, or all of the Shares on a later date if he or she had not died and had continued to be an employee, director
or consultant or, if earlier, within the originally prescribed term of the Option. 
 16. EFFECT OF TERMINATION OF SERVICE
ON STOCK GRANTS. In the event of a termination of service (whether as an employee, director or consultant) with the Company or an Affiliate for any reason before the Participant has accepted a Stock Grant, such offer shall terminate. For
purposes of this Paragraph 16 and Paragraph 17 below, a Participant to whom a Stock Grant has been offered and accepted under the Plan who is absent from work with the Company or with an Affiliate because of temporary disability (any disability
other than a permanent and total Disability as defined in Paragraph 1 hereof), or who is on leave of absence for any purpose, shall not, during the period of any such absence, be deemed, by virtue of such absence alone, to have terminated such
Participant’s employment, director status or consultancy with the Company or with an Affiliate, except as the Administrator may otherwise expressly 

  

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provide. In addition, for purposes of this Paragraph 16 and Paragraph 17 below, any change of employment or other service within or among the Company and any
Affiliates shall not be treated as a termination of employment, director status or consultancy so long as the Participant continues to be an employee, director or consultant of the Company or any Affiliate. 
 17. EFFECT ON STOCK GRANTS OF TERMINATION OF SERVICE OTHER THAN “FOR CAUSE” OR DEATH OR DISABILITY. Except as otherwise
provided in a Participant’s Stock Grant Agreement, in the event of a termination of service (whether as an employee, director or consultant), other than termination “for cause,” Disability, or death for which events there are special
rules in Paragraphs 18, 19 and 20, respectively, before all Company rights of repurchase shall have lapsed, then the Company shall have the right to repurchase that number of Shares subject to a Stock Grant as to which the Company’s repurchase
rights have not lapsed. 
 18. EFFECT ON STOCK GRANTS OF TERMINATION OF SERVICE “FOR CAUSE”. Except as
otherwise provided in a Participant’s Stock Grant Agreement, the following rules apply if the Participant’s service (whether as an employee, director or consultant) with the Company or an Affiliate is terminated “for cause.”

 a. All Shares subject to any Stock Grant shall be immediately subject to repurchase by the Company at a
price per Share equal to the purchase price, if any, thereof. 
 b. For purposes of this Plan,
“cause” shall include (and is not limited to) dishonesty with respect to the employer, insubordination, substantial malfeasance or non-feasance of duty, unauthorized disclosure of confidential information, breach by the Participant of any
provision of any employment, consulting, advisory, nondisclosure, non-competition or similar agreement between the Participant and the Company, and conduct substantially prejudicial to the business of the Company or any Affiliate. The determination
of the Administrator as to the existence of “cause” will be conclusive on the Participant and the Company. 
 c. “Cause” is not limited to events which have occurred prior to a Participant’s termination of service, nor is it necessary that the Administrator’s finding of “cause” occur prior to termination. If the
Administrator determines, subsequent to a Participant’s termination of service, that either prior or subsequent to the Participant’s termination the Participant engaged in conduct which would constitute “cause,” then the
Company’s right to repurchase all of such Participant’s Shares shall apply. 
 d. Any definition in
an agreement between the Participant and the Company or an Affiliate, which contains a conflicting definition of “cause” for termination and which is in effect at the time of such termination, shall supersede the definition in this Plan
with respect to that Participant. 
 19. EFFECT ON STOCK GRANTS OF TERMINATION OF SERVICE FOR DISABILITY. Except as
otherwise provided in a Participant’s Stock Grant Agreement, the following rules apply if a Participant ceases to be an employee, director or consultant of the 

  

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Company or of an Affiliate by reason of Disability. To the extent the Company’s rights of repurchase have not lapsed on the date of Disability, they
shall be exercisable, provided, however, that in the event such rights of repurchase lapse periodically, such rights shall lapse to the extent of a pro rata portion of the Shares subject to such Stock Grant through the date of Disability. The
Administrator shall make the determination both of whether Disability has occurred and the date of its occurrence (unless a procedure for such determination is set forth in another agreement between the Company and such Participant, in which case
such procedure shall be used for such determination). If requested, the Participant shall be examined by a physician selected or approved by the Administrator, the cost of which examination shall be paid for by the Company. 
 20. EFFECT ON STOCK GRANTS OF DEATH WHILE AN EMPLOYEE, DIRECTOR OR CONSULTANT. Except as otherwise provided in a
Participant’s Stock Grant Agreement, the following rules apply in the event of the death of a Participant while the Participant is an employee, director or consultant of the Company or of an Affiliate. To the extent the Company’s rights of
repurchase have not lapsed on the date of death, they shall be exercisable, provided, however, that in the event such rights of repurchase laps periodically, such rights shall lapse to the extent of a pro rata portion of the Shares subject to such
Stock Grant through the date of death as would have lapsed had the Participant not died. The proration shall be based upon the number of days accrued prior to the Participant’s death. 
 21. PURCHASE FOR INVESTMENT. Unless the offering and sale of the Shares to be issued upon the particular exercise or acceptance of
a Stock Right shall have been effectively registered under the Securities Act of 1933, as now in force or hereafter amended (the “1933 Act”), the Company shall be under no obligation to issue the Shares covered by such exercise unless and
until the following conditions have been fulfilled: 
 a. The person(s) who exercise(s) or accept(s) such
Stock Right shall warrant to the Company, prior to the receipt of such Shares, that such person(s) are acquiring such Shares for their own respective accounts, for investment, and not with a view to, or for sale in connection with, the distribution
of any such Shares, in which event the person(s) acquiring such Shares shall be bound by the provisions of the following legend which shall be endorsed upon the certificate(s) evidencing their Shares issued pursuant to such exercise or such grant:

 “THE SHARES REPRESENTED BY THIS CERTIFICATE HAS BEEN TAKEN FOR INVESTMENT AND THEY MAY NOT BE SOLD OR OTHERWISE
TRANSFERRED BY ANY PERSON, INCLUDING A PLEDGEE, UNLESS (1) EITHER (A) A REGISTRATION STATEMENT WITH RESPECT TO SUCH SHARES SHALL BE EFFECTIVE UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) THE COMPANY SHALL HAVE RECEIVED AN
OPINION OF COUNSEL SATISFACTORY TO IT THAT AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT IS THEN AVAILABLE AND (2) THERE SHALL HAVE BEEN COMPLIANCE WITH ALL APPLICABLE STATE SECURITIES LAWS.” 
  

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 b. At the discretion of the Administrator, the Company shall have
received an opinion of its counsel that the Shares may be issued upon such particular exercise or acceptance in compliance with the 1933 Act without registration thereunder. 
 22. DISSOLUTION OR LIQUIDATION OF THE COMPANY. Upon the dissolution or liquidation of the Company, all Options granted under this Plan which as of such date shall not have been exercised
and all Grants which have not been accepted will terminate and become null and void, provided however, that if the rights of a Participant or a Participant’s Survivors have not otherwise terminated and expired, the Participant or the
Participant’s Survivors will have the right immediately prior to such dissolution or liquidation to exercise or accept any Stock Right to the extent that the Stock Right is exercisable or subject to acceptance as of the date immediately prior
to such dissolution or liquidation. 
 23. ADJUSTMENTS. Upon the occurrence of any of the following events, a
Participant’s rights with respect to any Stock Right granted to him or her hereunder shall be adjusted as hereinafter provided, unless otherwise specifically provided in a Participant’s Option Agreement or Stock Grant Agreement:

 A. Stock Dividends and Stock Splits. If (i) the shares of Common Stock shall be subdivided or
combined into a greater or smaller number of shares or if the Company shall issue any shares of Common Stock as a stock dividend on its outstanding Common Stock, or (ii) additional shares or new or different shares or other securities of the
Company or other non-cash assets are distributed with respect to such shares of Common Stock, the number of shares of Common Stock deliverable upon the exercise or acceptance of such Stock Right may be appropriately increased or decreased,
proportionately, and appropriate adjustments may be made including, in the purchase price per share, to reflect such events. 
 B. Corporate Transactions. If the Company is to be consolidated with or acquired by another entity in a merger, sale of all or substantially all of the Company’s assets other than a transaction to merely
change the state of incorporation (a “Corporate Transaction”), the Administrator or the board of directors of any entity assuming the obligations of the Company hereunder (the “Successor Board”), shall, as to outstanding Options,
either (i) make appropriate provision for the continuation of such Options by substituting on an equitable basis for the Shares then subject to such Options either the consideration payable with respect to the outstanding shares of Common Stock
in connection with the Corporate Transaction or securities of any successor or acquiring entity, or (ii) upon written notice to the Participants, provide that all Options must be exercised (either to the extent then exercisable or, at the
discretion of the Administrator, or, upon a change of control of the Company, all Options being made fully exercisable for purposes of this Subparagraph), within a specified number of days of the date of such notice, at the end of which period the
Options shall terminate, or (iii) terminate all Options in exchange for a cash payment equal to the excess of the Fair Market Value of the Shares subject to such Options (either to the extent then exercisable or, at the discretion of the
Administration, all Options being made full exercisable for purposes of this Subparagraph) over the exercise price thereof. With respect to outstanding Stock Grants, the Administrator or the Successor Board, shall either (i) make appropriate

  

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provisions for the continuation of such Stock Grants by substituting on an equitable basis for the Shares then subject to such Stock Grants either the
consideration payable with respect to the outstanding Shares of Common Stock in connection with the Corporate Transaction or securities of any successor or acquiring entity, or (ii) upon written notice to the Participants, provide that all
Stock Grants must be accepted (to the extent then subject to acceptance) within a specified number of days of the date of such notice, at the end of which period the offer of the Stock Grants shall terminate, or (in) terminate all Stock Grants in
exchange for a cash payment equal to the excess of the Fair Market Value of the Shares subject to such Stock Grants over the purchase price thereof, if any. In addition, in the event of a Corporate Transaction, the Administrator may waive any or all
Company repurchase rights with respect to outstanding Stock Grants. 
 C. Recapitalization or
Reorganization. In the event of a recapitalization or reorganization of the Company other than a Corporate Transaction pursuant to which securities of the Company or of another corporation are issued with respect to the outstanding shares of
Common Stock, a Participant upon exercising or accepting a Stock Right after the recapitalization or reorganization shall be entitled to receive for the purchase price paid upon such exercise or acceptance the number of replacement securities which
would have been received if such Stock Right had been exercised or accepted prior to such recapitalization or reorganization. 
 D. Modification of ISOs. Notwithstanding the foregoing, any adjustments made pursuant to Subparagraph A, B or C above with respect to ISOs shall be made only after the Administrator determines whether such
adjustments would constitute a “modification” of such ISOs (as that term is defined in Section 424(h) of the Code) or would cause any adverse tax consequences for the holders of such ISOs. If the Administrator, determines that such
adjustments made with respect to ISOs would constitute a modification of such ISOs, it may refrain from making such adjustments, unless the bolder of an ISO specifically requests in writing that such adjustment be made and such writing indicates
that the holder has full knowledge of the consequences of such “modification” on his or her income tax treatment with respect to the ISO. 
 24. ISSUANCES OF SECURITIES. Except as expressly provided herein, no issuance by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall affect, and no
adjustment by reason thereof shall be made with respect to, the number or price of shares subject to Stock Rights. Except as expressly provided herein, no adjustments shall be made for dividends paid in cash or in property (including without
limitation, securities) of the Company prior to any issuance of Shares pursuant to a Stock Right. 
 25. FRACTIONAL
SHARES. No fractional shares shall be issued under the Plan and the person exercising a Stock Right shall receive from the Company cash in lieu of such fractional shares equal to the Fair Market Value. 
 26. CONVERSION OF ISOs INTO NON-QUALIFIED OPTIONS; TERMINATION OF ISOs. The Administrator, at the written request of any
Participant, may in its discretion take such actions as may be necessary to convert such Participant’s ISOs (or any portions thereof) that have not been exercised on the date of conversion into Non-Qualified Options at any time 

  

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prior to the expiration of such ISOs, regardless of whether the Participant is an employee of the Company or an Affiliate at the time of such conversation.
At the time of such conversion, the Administrator (with the consent of the Participant) may impose such conditions on the exercise of the resulting Non-Qualified Options as the Administrator in its discretion may determine, provided that such
conditions shall not be inconsistent with this Plan. Nothing in the Plan shall be deemed to give any Participant the right to have such Participant’s ISOs converted into Non-Qualified Options, and no such conversion shall occur until and unless
the Administrator takes appropriate action. The Administrator, with the consent of the Participant, may also terminate any portion of any ISO that has not been exercised at the time of such conversion. 
 27. WITHHOLDING. In the event that any federal, state, or local income taxes, employment taxes, Federal Insurance Contributions
Act (“F.I.C.A.”) withholdings or other amounts are required by applicable law or governmental regulation to be withheld from the Participant’s salary, wages or other remuneration in connection with the exercise or acceptance of a
Stock Right or in connection with a Disqualifying Disposition (as defined in Paragraph 28) or upon the lapsing of any right of repurchase, the Company may withhold from the Participant’s compensation, if any, or may require that the Participant
advance in cash to the Company, or to any Affiliate of the Company which employs or employed the Participant, the statutory minimum amount of such withholdings unless a different withholding arrangement, including the use of shares of the
Company’s Common Stock or a promissory note, is authorized by the Administrator (and permitted by law). For purposes hereof, the fair market value of the shares withheld for purposes of payroll withholding shall be determined in the manner
provided in Paragraph 1 above, as of the most recent practicable date prior to the date of exercise. If the fair market value of the shares withheld is less than the amount of payroll withholdings required, the Participant may be required to advance
the difference in cash to the Company or the Affiliate employer. The Administrator in its discretion may condition the exercise of an Option for less than the then Fair Market Value on the Participant’s payment of such additional withholding.

 28. NOTICE TO COMPANY OF DISQUALIFYING DISPOSITION. Each Employee who receives an ISO must agree to notify the
Company in writing immediately after the Employee makes a Disqualifying Disposition of any shares acquired pursuant to the exercise of an ISO. A Disqualifying Disposition is defined in Section 424(c) of the Code and includes any disposition
(including any sale or gift) of such shares before the later of (a) two years after the date the Employee was granted the ISO, or (b) one year after the date the Employee acquired Shares by exercising the ISO, except as otherwise provided
in Section 424(c) of the Code. If the Employee has died before such stock is sold, these holding period requirements do not apply and no Disqualifying Disposition can occur thereafter. 
 29. TERMINATION OF THE PLAN. The Plan will terminate on the date which is ten years from the earlier of the date of its adoption
by the Board of Directors and the date of its approval by the shareholders. The Plan may be terminated at an earlier date by vote of the shareholders or the Board of Directors of the Company, provided however, that any such earlier termination shall
not affect any Option Agreements or Stock Grant Agreements executed prior to the effective date of such termination. 
 30.
AMENDMENT OF THE PLAN AND AGREEMENTS. The Plan may be amended by the shareholders of the Company. The Plan may also be amended by the 

  

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Administrator, including, without limitation, to the extent necessary to qualify any or all outstanding Stock Rights granted under the Plan or Stock Rights
to be granted under the Plan for favorable federal income tax treatment (including deferral of taxation upon exercise) as may be afforded incentive stock options under Section 422 of the Code, and to the extent necessary to qualify the shares
issuable upon exercise or acceptance of any outstanding Stock Rights granted, or Stock Rights to be granted, under the Plan for listing on any national securities exchange or quotation in any national automated quotation system of securities
dealers. Any amendment approved by the Administrator which the Administrator determines is of a scope that requires shareholder approval shall be subject to obtaining such shareholder approval. Any modification or amendment of the Plan shall not,
without the consent of a Participant, adversely affect his or her rights under a Stock Right previously granted to him or her. With the consent of the Participant affected, the Administrator may amend outstanding Option Agreements and Stock Grant
Agreements in a manner which may be adverse to the Participant but which is not inconsistent with the Plan. In the discretion of the Administrator, outstanding Option Agreements and Stock Grant Agreements may be amended by the Administrator in a
mariner which is not adverse to the Participant. 
 31. EMPLOYMENT OR OTHER RELATIONSHIP. Nothing in this Plan or any
Option Agreement or Stock Grant Agreement shall be deemed to prevent the Company or an Affiliate from terminating the employment, consultancy or director status of a Participant, nor to prevent a Participant from terminating his or her own
employment, consultancy or director status or to give any Participant a right to be retained in employment or other service by the Company or any Affiliate for any period of time. 
 32. GOVERNING LAW. This Plan shall be construed and enforced in accordance with the law of the State of Florida. 
  

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