Document:

Exhibit 4.3

 

EXECUTION
COPY

 

THE
SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”)
OR ANY STATE SECURITIES OR “BLUE SKY” LAWS, AND MAY NOT BE OFFERED, SOLD, TRANSFERRED, ASSIGNED, PLEDGED OR HYPOTHECATED
ABSENT AN EFFECTIVE REGISTRATION THEREOF UNDER SUCH ACT OR COMPLIANCE WITH RULE 144 PROMULGATED UNDER SUCH ACT, OR UNLESS THE
COMPANY HAS RECEIVED AN OPINION OF COUNSEL, REASONABLY SATISFACTORY TO THE COMPANY AND ITS COUNSEL, THAT SUCH REGISTRATION IS
NOT REQUIRED.

 

SUBJECT
TO THE TERMS OF THIS WARRANT, THIS WARRANT SHALL BE VOID AFTER 5:00 P.M. EASTERN TIME ON MARCH 30, 2022.

 

	No. 002	Original
    Issue Date: March 30, 2019

 

IDW
MEDIA HOLDINGS, INC.

 

WARRANT
TO PURCHASE CLASS B COMMON STOCK

 

For
VALUE RECEIVED, Howard Jonas or his registered assigns (“Warrantholder”) , is entitled to purchase, subject to the
provisions of this Warrant, from IDW Media Holdings, Inc., a Delaware corporation (the “Company”) , at any time
not later than 5:00 P.M., Eastern time, on the Expiration Date (as defined below) , at an exercise price per share equal to
$26.44 (subject to appropriate adjustment pursuant to Section 8)  (the exercise price in effect being herein called the
“Warrant Price”) , up to 98,336 (“Warrant Shares”)  of Class B Common Stock, par value $0.01 per share
(“Class B Stock”) . The number of Warrant Shares purchasable upon exercise of this Warrant and the Warrant Price
shall be subject to adjustment from time to time as described herein. This Warrant was originally issued as of the Issue Date
specified in the caption above. The “Expiration Date” is the earlier of (i)  5:00 P.M., Eastern Time, on March 30,
2022. and (ii)  the consummation of a Liquidation Event (to the extent this Warrant is not exercised in connection with such
Liquidation Event, and subject to the Company’s compliance with its obligations under Section 3(e)  hereof) . If the
Warrant is exercised following the Warrantholder’s receipt of written notice of a Liquidation Event in accordance with
Section 3(e)  hereof, the Warrant shall be deemed to have been exercised immediately prior to the consummation of such
Liquidation Event. For purposes of this Warrant, the term “Liquidation Event” means (i)  the acquisition of the
Company by another entity by means of any transaction or series of related transactions to which the Company is party
(including, without limitation, any stock acquisition, reorganization, merger or consolidation but excluding any sale of
stock for capital raising purposes)  other than a transaction or series of related transactions in which the holders of the
voting securities of the Company outstanding immediately prior to such transaction or series of related transactions continue
to hold, immediately after such transaction or series of related transactions, at least a majority of the total voting power
represented by the outstanding voting securities of the Company or such other surviving or resulting entity (or if the
Company or such other surviving or resulting entity is a wholly-owned subsidiary immediately following such
acquisition, its parent) ; (ii)  a sale, lease or other disposition by the Company and/or its subsidiaries of all or
substantially all of the assets of the Company and its subsidiaries taken as a whole by means of
any arms-length transaction or series of related transactions, with an unrelated third-party; or (iii)
any liquidation, dissolution or winding up of the Company, whether voluntary or involuntary.

 

     

     

    

 

Section
1. Registration. The Company shall maintain books for the transfer and registration of the Warrant. Upon the initial
issuance of this Warrant, the Company shall issue and register the Warrant in the name of the Warrantholder.

 

This
Warrant was originally issued in connection with a secured loan made to the Company pursuant to that certain Bridge Loan Facility
Agreement, dated as of September 21, 2018, (the “Loan Agreement”) , and the related promissory note (the “Note”)
issued to the holder of this Warrant (or the Warrant in respect of which this Warrant was issued) , as a Lender under the Loan
Agreement (the “Lender”) , dated as of September 21, 2018.

 

Section
2. Transfers. As provided herein, this Warrant may be transferred only pursuant to a registration statement filed
under the Securities Act of 1933, as amended (the “Securities Act”) , or an exemption from such registration. Subject
to such restrictions, the Company shall transfer this Warrant from time to time upon the books to be maintained by the Company
for that purpose, upon surrender thereof for transfer properly endorsed or accompanied by appropriate instructions for transfer
and such other documents as may be reasonably required by the Company, including, if required by the Company, an opinion of its
counsel to the effect that such transfer is exempt from the registration requirements of the Securities Act, to establish that
such transfer is being made in accordance with the terms hereof, and a new Warrant shall be issued to the transferee and the surrendered
Warrant shall be canceled by the Company.

 

    2

     

    

 

Section
3. Exercise of Warrant; Acceleration; Notice of Certain Events; Registration Rights.

 

(a)
Subject to the provisions hereof, the Warrantholder may exercise this Warrant in whole or in part at any time and from time
to time as set forth herein prior to its expiration (x)  if required, as provided below, upon surrender of the Warrant,
together with (y)  delivery of the duly executed Warrant exercise form attached hereto as Appendix A (the “Exercise
Agreement”) , the delivery of which Exercise Agreement may be made by hand, mail, courier, fax or email to the
Company’s notice address provided below, and, (z)  payment of the aggregate Warrant Price (unless by cashless exercise)
for that number of Warrant Shares then being purchased, to the Company during normal business hours on any business day at
the Company’s principal executive offices (or such other office or agency of the Company as it may designate by notice
to the Warrantholder) , by cash, certified check or wire transfer of funds or pursuant to the cashless exercise procedure
specified in Section 3(b)  below. The conditions of clauses (x) , (y)  and (z)  of the immediately preceding sentence, each to
the extent relevant to a particular exercise are referred to as the “Exercise Conditions.” The Exercise Agreement
shall indicate the number and type of Warrant Shares then being purchased pursuant to such exercise and the manner of payment
of the Warrant Price (unless by cashless exercise) . The date on which all of the Exercise Conditions, to the extent
applicable, have been satisfied is the “Exercise Date.” Any exercise of this Warrant shall be for not less than
100 Warrant Shares, or such lesser amount as may then remain unexercised. The Warrant Shares so purchased shall be deemed to
be issued to the Warrantholder or the Warrantholder's designee, as the record owner of such Warrant Shares, as of the close
of business on the date on which (x)  if required, as provided below, this Warrant shall have been surrendered (or evidence of
loss, theft or destruction thereof and security or indemnity satisfactory to the Company) , (y)  the Warrant Price shall have
been paid and (z)  the completed Exercise Agreement shall have been delivered. The Company shall provide certificates for the
Warrant Shares so purchased (or have such Warrant Shares credited by book entry to an account designated by such
Warrantholder) , representing the aggregate number of Warrant Shares specified in the Exercise Agreement, to be delivered to
the Warrantholder as provided below in this Section 3. The certificates so delivered shall be in such denominations as may be
requested by the Warrantholder and shall be registered in the name of the Warrantholder or such other name as shall be
designated by the Warrantholder. If the exercise referred to in an Exercise Agreement represents the full exercise of the
outstanding balance of the Warrant, the Warrantholder shall tender this Warrant Certificate to the Company within five (5)
Trading Days thereafter. If this Warrant shall have been exercised only in part, the Warrantholder shall tender this Warrant
to the Company (which tender shall be deemed to apply only to the portion of the Warrant exercised to the date of such tender
and not to the entire Warrant) , then, unless this Warrant has expired, the Company shall, at its expense, within two business
days of such tender, deliver to the Warrantholder a new Warrant of the same tenor (including, but not limited to, reference
to the Original Issue Date specified in the caption of this Warrant)  representing the number of Warrant Shares with respect
to which this Warrant shall not then have been exercised; provided, however, that even before the Warrantholder receives such
replacement Warrant, the Warrantholder may nevertheless exercise, in whole or in part and from time to time, the remaining
portion of this Warrant in accordance with its terms, and, in the case of a full exercise of the balance of this Warrant, any
obligation to deliver the Warrant Certificate to the Company shall be deemed satisfied. As used herein, “business
day” means a day, other than a Saturday or Sunday, on which banks in New York City are open for the general transaction
of business.

 

(b)  Cashless
Exercise. At any time after the date hereof, this Warrant may also be exercised, in whole or in part, at such time by
means of a “cashless exercise” in which the Warrantholder shall be entitled to receive a number of Warrant Shares
equal to the quotient obtained by dividing [(A-B)  (X) ] by (A) , where:

 

(A)
= the VWAP on the Trading Day immediately preceding the date on which Warrantholder elects to exercise this Warrant by means
of a “cashless exercise,” as set forth in the applicable Notice of Exercise;

 

(B)
= the Exercise Price of this Warrant, as adjusted hereunder; and

 

    3

     

    

 

(X)
= the number of Warrant Shares that would be issuable upon exercise of this Warrant in accordance with the terms of this
Warrant if such exercise were by means of a cash exercise rather than a cashless exercise.

 

If
Warrant Shares are issued in such a cashless exercise, the parties acknowledge and agree that in accordance with Section 3(a) (9)
of the Securities Act, the Warrant Shares shall take on the registered characteristics of the Warrant being exercised, and the
holding period of the portion of the Warrant being exercised may be tacked on to the holding period of the Warrant Shares. The
Company agrees not to take any position contrary to this Section 3(b) .

 

(c)
For purposes of this Warrant, the following terms have the meanings indicated:

 

“Trading
Day” means any day during which the Principal Trading Market shall be open for business.

 

“Principal
Trading Market” means the Trading Market on which the Class B Stock is principally traded at the relevant time.

 

“VWAP”
means, for any security as of any date, the dollar volume- weighted average price for such security on the Principal Trading Market
(or, if the Principal Trading Market is not the principal trading market for such security, then on the principal securities exchange
or securities market on which such security is then traded)  during the period beginning at 9:30:01 a.m., New York time, and ending
at 4:00:00 p.m., New York time, as reported by Bloomberg through its “Volume at Price” function or, if the foregoing
does not apply, the dollar volume-weighted average price of such security in the over-the-counter market on
the electronic bulletin Board of Directors for such security during the period beginning at 9:30:01 a.m., New York time, and ending
at 4:00:00 p.m., New York time, as reported by Bloomberg, or, if no dollar volume-weighted average price is reported
for such security by Bloomberg for such hours, the average of the highest closing bid price and the lowest closing ask price of
any of the market makers for such security as reported by the Principal Trading Market. If the VWAP cannot be calculated for such
security on such date on any of the foregoing bases, the VWAP of such security on such date shall be the fair market value as
mutually determined by the Company and the Warrantholder. All such determinations shall be appropriately adjusted for any stock
dividend, stock split, stock combination, recapitalization or other similar transaction during such period.

 

(d)
Upon the appropriate payment, if any, of the Warrant Price for the Warrant Shares purchased, together with the surrender of
this Warrant, the Warrantholder shall be entitled to receive a certificate or certificates for the Warrant Shares so
purchased or to have such Warrant Shares credited by book entry to an account designated by the Warrantholder. The Company
shall deliver such certificates representing the Warrant Shares, or credit such Warrant Shares by book entry, in accordance
with the instructions of the Warrantholder as provided in the Exercise Agreement (such certificates or such credit by book
entry, referred to herein as the “Warrant Share Certificates”)  within three (3)  Trading Days (such third Trading
Day, a “Share Delivery Date”)  of the Exercise Date.

 

    4

     

    

 

(e) At
least fifteen (15)  days prior to the consummation of any Liquidation Event, the Company must provide the Warrantholder with written
notice of the consummation of such Liquidation Event, which notice shall explain in reasonable detail why such event constitutes
a Liquidation Event for purposes of this Warrant and whether the Company is requiring the Warrantholder to (i)  elect to exercise
the Warrant in full or (ii)  if the Warrantholder elects to not have the Warrant so exercised, have the Warrant expire and be cancelled.
If the Warrantholder elects to exercise this Warrant by written notice to the Company within five (5)  business days of receipt
of the Company’s notice, then such exercise shall be deemed to have taken place immediately prior to the Liquidation Event
and the Warrant Shares issuable in connection with such exercise shall for all purposes be deemed issued and outstanding immediately
prior to the Liquidation Event.

 

Section
4. Compliance with the Securities Act of 1933. So long as is required by applicable securities laws, the Company may
cause the first paragraph legend set forth on the first page of this Warrant (beginning with the phrase “The Securities
represented hereby ...”)  to be set forth on each Warrant.

 

Section
5. Payment of Taxes. The Company will pay any documentary stamp taxes attributable to the initial issuance of Warrant
Shares issuable upon the exercise of the Warrant; provided, however, that the Company shall not be required to pay any tax or
taxes which may be payable in respect of any transfer involved in the issuance or delivery of any certificates for Warrant Shares
in a name other than that of the Warrantholder in respect of which such shares are issued, and in such case, the Company shall
not be required to issue or deliver any certificate for Warrant Shares or any Warrant until the person requesting the same has
paid to the Company the amount of such tax or has established to the Company's reasonable satisfaction that such tax has been
paid. The Warrantholder shall be responsible for income taxes due under federal, state or other law, if any such tax is due.

 

Section
6. Mutilated or Missing Warrant. In case this Warrant shall be mutilated, lost, stolen, or destroyed, the Company
shall issue in exchange and substitution of and upon cancellation of the mutilated Warrant, or in lieu of and substitution for
the Warrant lost, stolen or destroyed, a new Warrant of like tenor (including, but not limited to, reference to the Original Issue
Date specified in the caption of this Warrant)  and for the purchase of a like number of Warrant Shares, but only upon receipt
of evidence reasonably satisfactory to the Company of such loss, theft or destruction of the Warrant, and with respect to a lost,
stolen or destroyed Warrant, reasonable indemnity or bond with respect thereto, if requested by the Company.

 

    5

     

    

 

Section
7. Reservation of Class B Stock. The Company hereby represents and warrants that there have been reserved, and the
Company shall at all times keep reserved and available, solely for issuance and delivery upon exercise of the Warrant, out of
the authorized and unissued shares of its Class B Stock, such number of shares of Class B Stock as from time to time shall be
issuable upon the exercise of the rights of purchase represented by this Warrant. If, at any time while this Warrant is outstanding,
the Company has a transfer agent for its shares of Class B Stock, the Company will provide irrevocable written instructions to
such transfer agent to reserve the number of shares contemplated to be reserved pursuant to and for the purposes of contemplated
by the immediately preceding sentence. The Company agrees that all Warrant Shares issued upon due exercise of the Warrant shall
be, at the time of delivery of the certificates for such Warrant Shares, duly authorized, validly issued, fully paid and non-assessable shares
of Class B Stock of the Company.

 

Section
8. Adjustments. Subject and pursuant to the provisions of this Section 8, unless waived in a particular case by the
Warrantholder, the Warrant Price and number of Warrant Shares subject to this Warrant shall be subject to adjustment from time
to time as set forth hereinafter.

 

(a)
If the Company shall, at any time or from time to time while this Warrant is outstanding, pay a dividend or make a
distribution on its Class B Stock in shares of Common Stock, subdivide its outstanding shares of Class B Stock into a greater
number of shares or combine its outstanding shares of Class B Stock into a smaller number of shares or issue by
reclassification of its outstanding shares of Class B Stock any shares of its capital stock (including any such
reclassification in connection with a consolidation or merger in which the Company is the continuing corporation) , then the
number of Warrant Shares composed of such Class B Stock purchasable upon exercise of the Warrant and the Warrant Price in
effect immediately prior to the date upon which such change shall become effective, shall be adjusted by the Company so that
the Warrantholder thereafter exercising the Warrant shall be entitled to receive the number of shares of Class B Stock or
other capital stock which the Warrantholder would have received if the Warrant had been exercised immediately prior to such
event upon payment of a Warrant Price (unless by cashless exercise)  that has been adjusted to reflect a fair allocation of
the economics of such event to the Warrantholder. Such adjustments shall be made successively whenever any event listed above
shall occur.

 

(b)
If any capital reorganization or reclassification of the capital stock of the Company that does not constitute a Liquidation
Event shall be effected, then, as a condition of such reorganization or reclassification, lawful and adequate provision shall
be made whereby each Warrantholder shall thereafter have the right to then, following such reorganization or
reclassification, the Warrantholder shall receive upon exercise hereof the kind and amount of securities, cash or other
property which the Warrantholder would have been entitled to receive pursuant to such reorganization or reclassification if
such exercise had taken place immediately prior to such reorganization or reclassification. In any such case, appropriate
adjustment (as determined in good faith by the Board of Directors) shall be made in the application of the provisions set
forth herein with respect to the rights and interests thereafter of the Warrantholder, to the end that the provisions set
forth in this Section 8 (including provisions with respect to changes in and other adjustments of the Warrant Price) shall
thereafter be applicable, as nearly as reasonably may be, in relation to any securities, cash or other property thereafter
deliverable upon the exercise of this Warrant. The provisions of this paragraph (b) shall similarly apply to successive
reorganizations, reclassifications, consolidations, mergers, sales, transfers or other dispositions.

 

    6

     

    

 

(c)  In
the event that, as a result of an adjustment made pursuant to this Section 8, the Warrantholder shall become entitled to receive
any shares of capital stock of the Company other than shares of Class B Stock, the number of such other shares so receivable upon
exercise of this Warrant shall be subject thereafter to adjustment from time to time in a manner and on terms as nearly equivalent
as practicable to the provisions with respect to the Warrant Shares contained in this Warrant.

 

Section
9. Fractional Interest. The Company shall not be required to issue fractions of Warrant Shares upon the exercise of
this Warrant. If any fractional share of Class B Stock would, except for the provisions of the first sentence of this Section
9, be deliverable upon such exercise, the Company, in lieu of delivering such fractional share, shall pay to the Warrantholder
an amount in cash equal to the Market Price of such fractional share of Class B Stock on the date of exercise. The term “Market
Price” shall mean the price determined by the first of the following clauses that applies: (a)  if the shares of Class B
Stock are then listed or quoted on an Eligible Market or any other national securities exchange, the closing bid price per share
of Class B Stock for such date (or the nearest preceding date)  on an Eligible Market or exchange on which the shares of Class
B Stock are then listed or quoted; (b)  if prices for the shares of Class B Stock are then reported in the “Pink Sheets”
published by OTC Markets Group Inc. (or a similar organization or agency succeeding to its functions of reporting prices) , the
most recent bid price per share of Class B Stock so reported; or (c)  in all other cases, the fair market value of a share of Class
B Stock as determined by an independent appraiser selected in good faith by the Warrantholder. The term “Eligible Market”
used herein means any of the following markets or exchanges on which the shares of Class B Stock are listed or quoted for trading
on the date in question: the OTC Bulletin Board, The NASDAQ Global Market, The NASDAQ Global Select Market, The NASDAQ Capital
Market, the New York Stock Exchange, NYSE Arca, the NYSE MKT, or the OTCQX Marketplace or the OTCQB Marketplace operated by OTC
Markets Group Inc. (or any successor to any of the foregoing) .

 

Section
10. Benefits. Nothing in this Warrant shall be construed to give any person, firm or corporation (other than the Company
and the Warrantholder)  any legal or equitable right, remedy or claim, it being agreed that this Warrant shall be for the sole
and exclusive benefit of the Company and the Warrantholder.

 

Section
11. Notices to Warrantholder. Upon the happening of any event requiring an adjustment of the Warrant Price, the Company
shall promptly give written notice thereof to the Warrantholder at the address appearing in the records of the Company, stating
the adjusted Warrant Price and the adjusted number of Warrant Shares resulting from such event and setting forth in reasonable
detail the method of calculation and the facts upon which such calculation is based. Failure to give such notice to the Warrantholder
or any defect therein shall not affect the legality or validity of the subject adjustment.

 

    7

     

    

 

Section
12. Notices. Unless otherwise provided, any notice required or permitted under this Warrant shall be given in writing
and shall be deemed effectively given as hereinafter described (i)  if given by personal delivery, then such notice shall be deemed
given upon such delivery, (ii)  if given by telex or facsimile or email, then such notice shall be deemed given upon receipt of
confirmation of complete transmittal, (iii)  if given by mail, then such notice shall be deemed given upon the earlier of (A)  receipt
of such notice by the recipient or (B)  three days after such notice is deposited in first class mail, postage prepaid, and (iv)
if given by an internationally recognized overnight air courier, then such notice shall be deemed given one business day after
delivery to such carrier. All notices shall be addressed as follows (or at such other address as the Warrantholder or the Company
may designate by ten days' advance written notice to the other):

 

If
to the Warrantholder:

 

Warrantholder’s
address as set forth in the Company’s books and records

 

If
to the Company:

 

IDW
Media Holdings, Inc.

520
Broad Street

Newark,
NJ 07102

Attention:
Ezra Rosensaft

 

Section
13. Successors. All the covenants and provisions hereof by or for the benefit of the Warrantholder shall bind and
inure to the benefit of its respective successors and assigns hereunder.

 

Section
14. Governing Law; Consent to Jurisdiction; Waiver of Jury Trial. This Warrant shall be governed by, and construed
in accordance with, the internal laws of the State of New York, without reference to the choice of law provisions thereof. The
Company and, by accepting this Warrant, the Warrantholder, each irrevocably submits to the exclusive jurisdiction of the courts
of the State of New York located in New York County and the United States District Court for the Southern District of New York
for the purpose of any suit, action, proceeding or judgment relating to or arising out of this Warrant and the transactions contemplated
hereby. Service of process in connection with any such suit, action or proceeding may be served on each party hereto anywhere
in the world by the same methods as are specified for the giving of notices under this Warrant. The Company and, by accepting
this Warrant, the Warrantholder, each irrevocably consents to the jurisdiction of any such court in any such suit, action or proceeding
and to the laying of venue in such court. The Company and, by accepting this Warrant, the Warrantholder, each irrevocably waives
any objection to the laying of venue of any such suit, action or proceeding brought in such courts and irrevocably waives any
claim that any such suit, action or proceeding brought in any such court has been brought in an inconvenient forum.

 

    8

     

    

 

EACH
OF THE COMPANY AND, BY ITS ACCEPTANCE HEREOF, THE WARRANTHOLDER HEREBY WAIVES ANY RIGHT TO REQUEST A TRIAL BY JURY IN ANY LITIGATION
WITH RESPECT TO THIS WARRANT AND REPRESENTS THAT COUNSEL HAS BEEN CONSULTED SPECIFICALLY AS TO THIS WAIVER.

 

Section
15. No Rights as Stockholder. Prior to the exercise of this Warrant, the Warrantholder shall not have or exercise
any rights as a stockholder of the Company by virtue of its ownership of this Warrant.

 

Section
16. Amendment; Waiver. Any term of this Warrant may be amended or waived upon the written consent of the Company and
the Warrantholder.

 

Section
17. Section Headings. The section headings in this Warrant are for the convenience of the Company and the Warrantholder
and in no way alter, modify, amend, limit or restrict the provisions hereof.

 

[Signature
page follows]

 

    9

     

    

 

IN
WITNESS WHEREOF, the Company has caused this Warrant to be duly executed, as of the 30th day of March 2019.

 

	 	IDW MEDIA HOLDINGS, INC.
	 	 	 	 
	 	By:	/s/ Ezra Rosensaft
	 	 	Name: 	Ezra Rosensaft 
	 	 	Title:	Chief Financial Officer

 

    10

     

    

 

APPENDIX
A

IDW
MEDIA HOLDINGS, INC.

WARRANT
EXERCISE FORM

 

		To:	IDW
Media Holdings, Inc.., Inc. (the “Company”) 

Attn: Chief Financial officer 

Fax: (___)  ___-_____

 

The
undersigned (the “Warrantholder”) hereby irrevocably elects to exercise the right of purchase represented by the Warrant
No. ___, dated as of ______________, 20__, issued by the Company (“Warrant”) for, and to purchase thereunder by the
payment of the aggregate Warrant Price as indicated below, _______________ shares (“Exercise Shares”) of Class B Common
Stock of the Company as provided for therein, and requests that certificates for the Warrant Shares be issued as follows:

 

Name

 

Address

 

Federal
Tax ID or Social Security No.

 

and
delivered by to the above address or to                                                                                 
                                                                                                                                                                                                                                                              
                                                                                                                                                                                                                                               .

 

☐
This Exercise Shares represents the full exercise of the outstanding balance of the Warrant Shares. The Warrantholder
either

 

☐
has previously surrendered the Warrant to the Company; or

 

☐
will surrender (or cause to be surrendered) the Warrant to the Company at the address indicated above by express courier
within five (5) Trading Days after delivery or facsimile transmission of this Exercise Agreement.

 

☐
The Exercise Shares represent less than the outstanding balance of the Warrant Shares.

 

☐
The Warrantholder is tendering the Warrant to the Company, subject to the provisions of Section 3 of the Warrant regarding
such tender. As contemplated by such section, that the Company shall issue a new Warrant for the balance of the Warrant
Shares purchasable upon exercise of this Warrant be registered in the name of the undersigned Warrantholder or the
undersigned's Assignee as below indicated and delivered to the address stated below.

 

	 	 
	 	 
	 	 

 

    11

     

    

 

Payment
of Warrant Price is being tendered in cash as follows:

 

	☐	CASH:$	= (Warrant Price x Exercise
    Shares) 

 

Payment
is being made by:

☐
enclosed check

☐
wire transfer

☐
other

 

	☐	REDUCTION
IN AMOUNT OUTSTANDING UNDER THE PROMISSORY NOTE:$
	 	 	= (Warrant Price x Exercise Shares)

 

OR

 

		☐	“CASHLESS
EXERCISE” WITH RESPECT TO __________ WARRANT SHARES.

 

    12

     

    

 

As
contemplated by the Warrant, this Exercise Agreement is being sent by facsimile or email to the telecopier/fax number or email
address and officer indicated above. This Warrant Exercise Form is subject to the terms of the Warrant. To the extent there is
a conflict between this Warrant Exercise Form and the Warrant the terms of the Warrant shall govern.

 

Dated:
___________________, ____

 

Note:
The signature must correspond with the name of the Warrantholder as written on the first page of the Warrant in every particular,
without alteration or enlargement or any change whatever, unless the Warrant has been assigned.

 

	 	WARRANTHOLDER NAME: ___________________________
	 	 
	 	Warrantholder Signature: By: ____________________________
	 	 
	 	Name (please print): ____________________________________
	 	 
	 	Assignee: _________________________________________

 

 

13Exhibit 10.1

 

IDW MEDIA
HOLDINGS, INC.

2009 STOCK OPTION AND INCENTIVE PLAN

 

(Amended and Restated on October 6, 2016)

 

1. Purpose; Types
of Awards; Construction.

 

The purpose of the IDW Media
Holdings, Inc. 2009 Stock Option and Incentive Plan (the “Plan”) is to provide incentives to executive officers, employees,
directors and consultants of IDW Media Holdings, Inc. (the “Company”), or any subsidiary of the Company which now exists
or hereafter is organized or acquired by the Company, to acquire a proprietary interest in the Company, to continue as officers,
employees, directors or consultants, to increase their efforts on behalf of the Company and to promote the success of the Company’s
business. The provisions of the Plan are intended to satisfy the requirements of Section 16(b) of the Securities Exchange Act of
1934, as amended, and of Section 162(m) of the Internal Revenue Code of 1986, as amended, and shall be interpreted in a manner
consistent with the requirements thereof.

 

2. Definitions.

 

As used in this Plan, the following words and phrases
shall have the meanings indicated:

 

(a)
“Agreement” shall mean a written agreement entered into between the Company and a Grantee in connection with an
award under the Plan.

 

(b) “Board”
shall mean the Board of Directors of the Company.

 

(c) “Change in Control” means a change
in ownership or control of the Company effected through either of the following:

 

(i) any
“person,” as such term is used in Sections 13(d) and 14(d) of the Exchange Act (other than (A) the Company, (B) any
trustee or other fiduciary holding securities under an employee benefit plan of the Company, (C) any corporation or other entity
owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of common
stock, or (D) any person who, immediately prior to the Initial Public Offering, owned more than 25% of the combined voting power
of the Company’s then outstanding voting securities), is or becomes the “beneficial owner” (as defined in Rule
13d-3 under the Exchange Act), directly or indirectly, of securities of the Company (not including in the securities beneficially
owned by such person any securities acquired directly from the Company or any of its affiliates other than in connection with the
acquisition by the Company or its affiliates of a business) representing 25% or more of the combined voting power of the Company’s
then outstanding voting securities; or

 

(ii) during
any period of not more than two consecutive years, not including any period prior to the initial adoption of this Plan by the Board,
individuals who at the beginning of such period constitute the Board, and any new director (other than a director whose initial
assumption of office is in connection with an actual or threatened election contest, including, but not limited to a consent solicitation,
relating to the election of directors of the Company) whose election by the Board or nomination for election by the Company’s
stockholders was approved by a vote of at least two-thirds (2/3) of the directors then still in office who either were directors
at the beginning of the period or whose election or nomination for election was previously so approved, cease for any reason to
constitute at least a majority thereof.

 

(d) “Class A Common Stock” shall mean
shares of Class A Common Stock, par value $.01 per share, of the Company.

 

(e) “Class B Common Stock” shall mean
shares of Class B Common Stock, par value $.01 pershare, of the Company.

 

     

     

    

 

(f)
“Code” shall mean the Internal Revenue Code of 1986, as amended from time to time.

 

(g)
“Committee” shall mean the Compensation Committee of the Board or such other committee as the Board may designate
from time to time to administer the Plan.

 

(h) “Common Stock”
shall mean shares of Common Stock, par value $.01 per share, of the Company.

 

(i) “Company” shall
mean IDW Media Holdings, Inc., a corporation incorporated under the laws ofthe State of Delaware, or any successor corporation.

 

(j) “Continuous Service” means that
the provision of services to the Company or a Related Entity in any capacity of officer, employee, director or consultant is
not interrupted or terminated. Continuous Service shall not be considered interrupted in the case of (i) any approved leave
of absence, (ii) transfers between locations of the Company or among the Company, any Related Entity or any successor in any
capacity of officer, employee, director or consultant, or (iii) any change in status as long as the individual remains in the
service of the Company or a Related Entity in any capacity of officer, employee, director or consultant (except as otherwise
provided in the applicable Agreement). An approved leave of absence shall include sick leave, maternity leave, military leave
(including without limitation service in the National Guard or the Army Reserves) or any other personal leave approved by the
Committee. For purposes of Incentive Stock Options, no such leave may exceed ninety (90) days unless reemployment upon
expiration of such leave is guaranteed by statute or contract.

 

(k) “Corporate
Transaction” means any of the following transactions:

 

(i) a
merger or consolidation of the Company with any other corporation or other entity, other than (A) a merger or consolidation which
would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining
outstanding or by being converted into voting securities of the surviving or parent entity) 80% or more of the combined voting
power of the voting securities of the Company or such surviving or parent entity outstanding immediately after such merger or consolidation
or (B) a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no “person”
(as defined in the Exchange Act) acquired 25% or more of the combined voting power of the Company’s then outstanding securities;
or

 

(ii) a
plan of complete liquidation of the Company or an agreement for the sale or disposition by the Company of all or substantially
all of its assets (or any transaction having a similar effect).

 

(l) “Deferred Stock Units” mean a
Grantee’s rights to receive shares of Class A Common Stock or Class B Common Stock, as applicable, on a deferred basis,
subject to such restrictions, forfeiture provisions and other terms and conditions as shall be determined by the
Committee.

 

(m) “Disability” shall mean a
Grantee’s inability to perform his or her duties with the Company or any of its affiliates by reason of any medically
determinable physical or mental impairment, as determined by a physician selected by the Grantee and acceptable to the
Company.

 

(n) “Exchange
Act” shall mean the Securities Exchange Act of 1934, as amended from time to time.

 

(o) “Fair Market
Value” per share as of a particular date shall mean (i) the closing sale price per share of Class A Common Stock or
Class B Common Stock, as applicable, on the national securities exchange on which the Class A Common Stock or Class B Common
Stock, as applicable, is principally traded for the last preceding date on which there was a sale of such Class A Common
Stock or Class B Common Stock, as applicable, on such exchange, or (ii) if the shares of Class A Common Stock or Class B
Common Stock, as applicable, are then traded in an over-the-counter market, the average of the closing bid and asked prices
for the shares of Class A Common Stock or Class B Common Stock, as applicable, in such over-the-counter market for the last
preceding date on which there was a sale of such Class A Common Stock or Class B Common Stock, as applicable, in such market,
or (iii) if the shares of Class A Common Stock or Class B Common Stock, as applicable, are not then listed on a national
securities exchange or traded in an over-the-counter market, such value as the Committee, in its sole discretion, shall
determine.

 

    2

     

    

 

(p) “Grantee”
shall mean a person who receives a grant of Options, Stock Appreciation Rights, Limited Rights, Deferred Stock Units or Restricted
Stock under the Plan.

 

(q) “Incentive
Stock Option” shall mean any option intended to be, and designated as, an incentive stock option within the meaning of Section
422 of the Code.

 

(r) “Insider”
shall mean a Grantee who is subject to the reporting requirements of Section 16(a) of the Exchange Act.

 

(s) “Insider
Trading Policy” shall mean the Insider Trading Policy of the Company, as may be amended from time to time.

 

(t) “Limited
Right” shall mean a limited stock appreciation right granted pursuant to Section 10 of the Plan.

 

(u) “Nonqualified
Stock Option” shall mean any option not designated as an Incentive Stock Option.

 

(v) “Option”
or “Options” shall mean a grant to a Grantee of an option or options to purchase shares of Class A Common Stock or
Class B Common Stock, as applicable,.

 

(w) “Option
Agreement” shall have the meaning set forth in Section 6 of the Plan.

 

(x) “Option
Price” shall mean the exercise price of the shares of Class A Common Stock or Class B Common Stock, as applicable, covered
by an Option.

 

(y) “Parent”
shall mean any company (other than the Company) in an unbroken chain of companies ending with the Company if, at the time of granting
an award under the Plan, each of the companies other than the Company owns stock possessing fifty percent (50%) or more of the
total combined voting power of all classes of stock in one of the other companies in such chain.

 

(z) “Plan”
means this IDW Media Holdings, Inc. 2009 Stock Option and Incentive Plan, as amended or restated from time to time.

 

(aa) “Related Entity” means
any Parent, Subsidiary or any business, corporation, partnership, limited liability company or other entity in which the Company,
a Parent or a Subsidiary holds a substantial ownership interest, directly or indirectly.

 

(bb) “Related Entity Disposition”
means the sale, distribution or other disposition by the Company of all or substantially all of the Company’s interest in
any Related Entity effected by a sale, merger or consolidation or other transaction involving such Related Entity or the sale of
all or substantially all of the assets of such Related Entity.

 

(cc) “Restricted Period” shall have
the meaning set forth in Section 11(b) of the Plan.

 

(dd) “Restricted Stock”
means shares of Class A Common Stock or Class B Common Stock, as applicable, issued under the Plan to a Grantee for such consideration,
if any, and subject to such restrictions on transfer, rights of refusal, repurchase provisions, forfeiture provisions and other
terms and conditions as shall be determined by the Committee.

 

(ee) “Retirement” shall
mean a Grantee’s retirement in accordance with the terms of any tax-qualified retirement plan maintained by the Company or
any of its affiliates in which the Grantee participates.

 

(ff) “Rule 16b-3”
shall mean Rule 16b-3, as from time to time in effect, promulgated under the Exchange Act, including any successor to such Rule.

 

    3

     

    

 

(gg)
“Stock Appreciation Right” shall mean the right, granted to a Grantee under Section 9 of the Plan, to be paid an amount
measured by the appreciation in the Fair Market Value of a share of Class A Common Stock or Class B Common Stock, as applicable,
from the date of grant to the date of exercise of the right, with payment to be made in cash or Class A Common Stock or Class
B Common Stock, as applicable,, as specified in the award or determined by the Committee.

 

(hh) “Subsidiary”
shall mean any company (other than the Company) in an unbroken chain of companies beginning with the Company if each of the companies
other than the last company in the unbroken chain owns stock possessing fifty percent (50%) or more of the total combined voting
power of all classes of stock in one of the other companies in such chain.

 

(ii) “Tax Event” shall have the meaning
set forth in Section 17 of the Plan.

 

(jj) “Ten Percent Stockholder”
shall mean a Grantee who at the time an Incentive Stock Option is granted, owns stock possessing more than ten percent (10%) of
the total combined voting power of all classes of stock of the Company or any Parent or Subsidiary.

 

3. Administration.

 

(a) The Plan shall be administered
by the Committee, the members of which may be composed of (i) “non-employee directors” under Rule 16b-3 and “outside
directors” under Section 162(m) of the Code, or (ii) any other members of the Board.

 

(b) The Committee shall have the authority in
its discretion, subject to and not inconsistent with the express provisions of the Plan, to administer the Plan and to
exercise all the powers and authorities either specifically granted to it under the Plan or necessary or advisable in the
administration of the Plan, including, without limitation, the authority to grant Options, Stock Appreciation Rights, Limited
Rights, Deferred Stock Units and Restricted Stock; to determine which options shall constitute Incentive Stock Options and
which Options shall constitute Nonqualified Stock Options; to determine which Options (if any) shall be accompanied by
Limited Rights; to determine the purchase price of the shares of Class A Common Stock or Class B Common Stock, as applicable,
covered by each Option; to determine the persons to whom, and the time or times at which awards shall be granted; to
determine the number of shares to be covered by each award; to interpret the Plan and any award under the Plan; to reconcile
any inconsistent terms in the Plan or any award under the Plan; to prescribe, amend and rescind rules and regulations
relating to the Plan; to determine the terms and provisions of the Agreements (which need not be identical) and to cancel or
suspend awards, as necessary; and to make all other determinations deemed necessary or advisable for the administration of
the Plan.

 

(c) All decisions, determination and
interpretations of the Committee shall be final and binding on all Grantees of any awards under this Plan. No member of the
Board or Committee shall be liable for any action taken or determination made in good faith with respect to the Plan or any
award granted hereunder.

 

(d) The Committee may delegate to one or more
executive officers of the Company the authority to (i) grant awards under the Plan to employees of the Company and its
Subsidiaries who are not officers or directors of the Company, (ii) execute and deliver documents or take such other
ministerial actions on behalf of the Committee with respect to awards and (iii) to make interpretations of the Plan. The
grant of authority in this Section 3(d) shall be subject to such conditions and limitations as may be determined by the
Committee. If the Committee delegates authority to any such executive officer or executive officers of the Company pursuant
to this Section 3(d), and such executive officer or executive officers grant awards pursuant to such delegated authority,
references in this Plan to the “Committee” as they relate to such awards shall be deemed to refer to such
executive officer or executive officers, as applicable.

 

    4

     

    

 

4. Eligibility.

 

Awards may be granted
to executive officers, employees, directors and consultants of the Company or of any Subsidiary. In determining the persons to
whom awards shall be granted and the number of shares to be covered by each award, the Committee shall take into account the duties
of the respective persons, their present and potential contributions to the success of the Company
and such other factors as the Committee shall deem relevant in connection with accomplishing the purposes of the Plan.

 

 5. Stock.

 

(a) The
maximum number of shares of Class A Common Stock reserved for the grant of awards under the Plan shall be zero (0), subject to
adjustment as provided in Section 13 of the Plan. Such shares may, in whole or in part, be authorized but unissued shares or shares
that shall have been or may be reacquired by the Company.

 

(b) The
maximum number of shares of Class B Common Stock reserved for the grant of awards under the Plan shall be two hundred eighty-five
thousand eight hundred sixty (285,860) , subject to adjustment as provided in Section 13 of the Plan. Such shares may, in whole
or in part, be authorized but unissued shares or shares that shall have been or may be reacquired by the Company.

 

(c) If
any outstanding award under the Plan should, for any reason expire, be canceled or be forfeited (other than in connection with
the exercise of a Stock Appreciation Right or a Limited Right), without having been exercised in full, the shares of Class A Common
Stock or Class B Common Stock, as applicable, allocable to the unexercised, canceled or terminated portion of such award shall
(unless the Plan shall have been terminated) become available for subsequent grants of awards under the Plan, unless otherwise
determined by the Committee.

 

 6. Terms and Conditions of Options.

 

(a) OPTION
AGREEMENT. Each Option granted pursuant to the Plan shall be evidenced by a written agreement between the Company and the Grantee
(the “Option Agreement”), in such form and containing such terms and conditions as the Committee shall from time to
time approve, which Option Agreement shall comply with and be subject to the following terms and conditions, unless otherwise specifically
provided in such Option Agreement. For purposes of interpreting this Section 6, a director’s service as a member of the Board
or a consultant’s service shall be deemed to be employment with the Company.

 

(b) NUMBER
OF SHARES. Each Option Agreement shall state the number of shares of Class A Common Stock or Class B Common Stock, as applicable,
to which the Option relates.

 

(c) TYPE
OF OPTION. Each Option Agreement shall specifically state that the Option constitutes an Incentive Stock Option or a Nonqualified
Stock Option. In the absence of such designation, the Option will be deemed to be a Nonqualified Stock Option.

 

(d) OPTION
PRICE. Each Option Agreement shall state the Option Price, which, in the case of an Incentive Stock Option, shall not be less than
one hundred percent (100%) of the Fair Market Value of the shares of Class A Common Stock or Class B Common Stock, as applicable,
covered by the Option on the date of grant. The Option Price shall be subject to adjustment as provided in Section 13 of the Plan.

 

(e) MEDIUM
AND TIME OF PAYMENT. The Option Price shall be paid in full, at the time of exercise, in cash or in shares of Class A Common Stock
or Class B Common Stock, as applicable, having a Fair Market Value equal to such Option Price or in a combination of cash and Class
A Common Stock or Class B Common Stock, as applicable, including a cashless exercise procedure through a broker-dealer; provided,
however, that in the case of an Incentive Stock Option, the medium of payment shall be determined at the time of grant and set
forth in the applicable Option Agreement.

 

(f) TERM
AND EXERCISABILITY OF OPTIONS. Each Option Agreement shall provide the exercise schedule for the Option as determined by the Committee,
provided, that, the Committee shall have the authority to accelerate the exercisability of any outstanding option at such time
and under such circumstances as it, in its sole discretion, deems appropriate. The exercise period will be ten (10) years from
the date of the grant of the option unless otherwise determined by the Committee; provided, however, that in the case of an Incentive
Stock Option, such exercise period shall not exceed ten (10) years from the date of grant of such Option. The exercise period
shall be subject to earlier termination as provided in Sections 6(g) and 6(h) of the Plan. An Option may be exercised, as to any
or all full shares of Class A Common Stock or Class B Common Stock, as applicable, as to which the Option has become exercisable,
by written notice delivered in person or by mail to the administrator designated by the Company, specifying the number of shares
of Class A Common Stock or Class B Common Stock, as applicable, with respect to which the Option is being exercised.

 

    5

     

    

 

(g) TERMINATION.
Except as provided in this Section 6(g) and in Section 6(h) of the Plan, an Option may not be exercised unless the Grantee is then
in the employ of or maintaining a director or consultant relationship with the Company or a Subsidiary thereof (or a company or
a Parent or Subsidiary of such company issuing or assuming the Option in a transaction to which Section 424(a) of the Code applies),
and unless the Grantee has remained in Continuous Service with the Company or any Subsidiary since the date of grant of the Option.
In the event that the employment or consultant relationship of a Grantee shall terminate (other than by reason of death, Disability
or Retirement), all Options of such Grantee that are exercisable at the time of Grantee’s termination may, unless earlier
terminated in accordance with their terms, be exercised within one hundred eighty (180 ) days after the date of termination (or
such different period as the Committee shall prescribe).

 

(h) DEATH,
DISABILITY OR RETIREMENT OF GRANTEE. If a Grantee shall die while employed by, or maintaining a director or consultant relationship
with, the Company or a Subsidiary thereof, or within thirty (30) days after the date of termination of such Grantee’s employment,
director or consultant relationship (or within such different period as the Committee may have provided pursuant to Section 6(g)
of the Plan), or if the Grantee’s employment, director or consultant relationship shall terminate by reason of Disability,
all Options theretofore granted to such Grantee (to the extent otherwise exercisable) may, unless earlier terminated in accordance
with their terms, be exercised by the Grantee or by the Grantee’s estate or by a person who acquired the right to exercise
such Options by bequest or inheritance or otherwise by result of death or Disability of the Grantee, at any time within one hundred
eighty (180) days after the death or Disability of the Grantee (or such different period as the Committee shall prescribe). In
the event that an Option granted hereunder shall be exercised by the legal representatives of a deceased or former Grantee, written
notice of such exercise shall be accompanied by a certified copy of letters testamentary or equivalent proof of the right of such
legal representative to exercise such Option. In the event that the employment or consultant relationship of a Grantee shall terminate
on account of such Grantee’s Retirement, all Options of such Grantee that are exercisable at the time of such Retirement
may, unless earlier terminated in accordance with their terms, be exercised at any time within one hundred eighty (180) days after
the date of such Retirement (or such different period as the Committee shall prescribe).

 

(i) OTHER
PROVISIONS. The Option Agreements evidencing awards under the Plan shall contain such other terms and conditions not inconsistent
with the Plan as the Committee may determine.

 

7. Nonqualified
Stock Options.

 

Options
granted pursuant to this Section 7 are intended to constitute Nonqualified Stock Options and shall be subject only to the general
terms and conditions specified in Section 6 of the Plan.

 

8. Incentive Stock
Options.

 

Options granted pursuant to this
Section 8 are intended to constitute Incentive Stock Options and shall be subject to the following special terms and conditions,
in addition to the general terms and conditions specified in Section 6 of the Plan:

 

(a) LIMITATION ON VALUE OF SHARES. To the
extent that the aggregate Fair Market Value of shares of Class A Common Stock or Class B Common Stock, as applicable, subject
to Options designated as Incentive Stock Options which become exercisable for the first time by a Grantee during any calendar
year (under all plans of the Company or any Subsidiary) exceeds $100,000, such excess Options, to the extent of the shares
covered thereby in excess of the foregoing limitation, shall be treated as Nonqualified Stock Options. For this purpose,
Incentive Stock Options shall be taken into account in the order in which they were granted, and the Fair Market Value of the
shares of Class A Common Stock or Class B Common Stock, as applicable, shall be determined as of the date that the Option
with respect to such shares was granted.

 

    6

     

    

 

(b)
TEN PERCENT STOCKHOLDER. In the case of an Incentive Stock Option granted to a Ten Percent Stockholder, (i) the Option Price
shall not be less than one hundred ten percent (110%) of the Fair Market Value of the shares of Class A Common Stock or Class
B Common Stock, as applicable, on the date of grant of such Incentive Stock Option, and (ii) the exercise period shall not
exceed five (5) years from the date of grant of such Incentive Stock Option.

 

9.
Stock Appreciation Rights.

 

The
Committee shall have authority to grant a Stock Appreciation Right, either alone or in tandem with any Option. A Stock Appreciation
Right granted in tandem with an Option shall, except as provided in this Section 9 or as may be determined by the Committee, be
subject to the same terms and conditions as the related Option. Each Stock Appreciation Right granted pursuant to the Plan shall
be evidenced by a written Agreement between the Company and the Grantee in such form as the Committee shall from time to time
approve, which Agreement shall comply with and be subject to the following terms and conditions, unless otherwise specifically
provided in such Agreement:

 

(a)
TIME OF GRANT. A Stock Appreciation Right may be granted at such time or times as may be determined by the Committee.

 

(b)
PAYMENT. A Stock Appreciation Right shall entitle the holder thereof, upon exercise of the Stock Appreciation Right or any portion
thereof, to receive payment of an amount computed pursuant to Section 9(d) of the Plan.

 

(c)
EXERCISE. A Stock Appreciation Right shall be exercisable at such time or times and only to the extent determined by the Committee,
and will not be transferable. A Stock Appreciation Right granted in connection with an Incentive Stock Option shall be exercisable
only if the Fair Market Value of a share of Class A Common Stock or Class B Common Stock, as applicable, on the date of exercise
exceeds the purchase price specified in the related Incentive Stock Option. Unless otherwise approved by the Committee, no Grantee
shall be permitted to exercise any Stock Appreciation Right during the period beginning two weeks prior to the end of each of
the Company’s fiscal quarters and ending on the second business day following the day on which the Company releases to the
public a summary of its fiscal results for such period.

 

(d)
AMOUNT PAYABLE. Upon the exercise of a Stock Appreciation Right, the Optionee shall be entitled to receive an amount determined
by multiplying (i) the excess of the Fair Market Value of a share of Class A Common Stock or Class B Common Stock, as applicable,
on the date of exercise of such Stock Appreciation Right over the exercise or other base price of the Stock Appreciation Right
or, if applicable, the Option Price of the related Option, by (ii) the number of shares of Class A Common Stock or Class B Common
Stock, as applicable, as to which such Stock Appreciation Right is being exercised.

 

(e)
TREATMENT OF RELATED OPTIONS AND STOCK APPRECIATION RIGHTS UPON EXERCISE. Upon the exercise of a Stock Appreciation Right, the
related Option, if any, shall be canceled to the extent of the number of shares of Class A Common Stock or Class B Common Stock,
as applicable, as to which the Stock Appreciation Right is exercised. Upon the exercise or surrender of an option granted in connection
with a Stock Appreciation Right, the Stock Appreciation Right shall be canceled to the extent of the number of shares of Class
A Common Stock or Class B Common Stock, as applicable, as to which the Option is exercised or surrendered.

 

(f)
METHOD OF EXERCISE. Stock Appreciation Rights shall be exercised by a Grantee only by a written notice delivered to the Company
in accordance with procedures specified by the Company from time to time. Such notice shall state the number of shares of Class
A Common Stock or Class B Common Stock, as applicable, with respect to which the Stock Appreciation Right is being exercised.
A Grantee may also be required to deliver to the Company the underlying Agreement evidencing the Stock Appreciation Right being
exercised and any related Option Agreement so that a notation of such exercise may be made thereon, and such Agreements shall
then be returned to the Grantee.

 

    7

     

    

 

(g)
FORM OF PAYMENT. Payment of the amount determined under Section 9(d) of the Plan may be made solely in whole shares of Class
A Common Stock or Class B Common Stock, as applicable, in a number based upon their Fair Market Value on the date of exercise
of the Stock Appreciation Right or, alternatively, at the sole discretion of the Committee, solely in cash, or in a
combination of cash and shares of Class A Common Stock or Class B Common Stock, as applicable, as the Committee deems
advisable. If the Committee decides to make full payment in shares of Class A Common Stock or Class B Common Stock, as
applicable, and the amount payable results in a fractional share, payment for the fractional share will be made in
cash.

 

10.
Limited Stock Appreciation Rights.

 

The
Committee shall have authority to grant a Limited Right, either alone or in tandem with any Option. Each Limited Right granted
pursuant to the Plan shall be evidenced by a written Agreement between the Company and the Grantee in such form as the Committee
shall from time to time approve, which Agreement shall comply with and be subject to the following terms and conditions, unless
otherwise specifically provided in such Agreement:

 

(a)
TIME OF GRANT. A Limited Right may be granted at such time or times as may be determined by the Committee.

 

(b)
EXERCISE. A Limited Right may be exercised only (i) during the ninety-day period following the occurrence of a Change in
Control or (ii) immediately prior to the effective date of a Corporate Transaction. A Limited Right shall be exercisable at
such time or times and only to the extent determined by the Committee, and will not be transferable except to the extent any
related Option is transferable or as otherwise determined by the Committee. A Limited Right granted in connection with an
Incentive Stock Option shall be exercisable only if the Fair Market Value of a share of Class A Common Stock or Class B
Common Stock, as applicable, on the date of exercise exceeds the purchase price specified in the related Incentive Stock
Option.

 

(c)
AMOUNT PAYABLE. Upon the exercise of a Limited Right, the Grantee thereof shall receive in cash whichever of the following
amounts is applicable:

 

(i)
in the case of the realization of Limited Rights by reason of an acquisition of common stock described in clause (i) of the definition
of “Change in Control” (Section 2(c) above), an amount equal to the Acquisition Spread as defined in Section 10(d)(ii)
below; or

 

(ii)
in the case of the realization of Limited Rights by reason of stockholder approval of an agreement or plan described in clause
(i) of the definition of “Corporate Transaction” (Section 2(j) above), an amount equal to the Merger Spread as defined
in Section 10(d)(iv) below; or

 

(iii)
in the case of the realization of Limited Rights by reason of the change in composition of the Board described in clause (ii)
of the definition of “Change in Control” or stockholder approval of a plan or agreement described in clause (ii) of
the definition of Corporate Transaction, an amount equal to the Spread as defined in Section 10(d)(v) below.

 

Notwithstanding
the foregoing provisions of this Section 10(c) (or unless otherwise approved by the Committee), in the case of a Limited Right
granted in respect of an Incentive Stock Option, the Grantee may not receive an amount in excess of the maximum amount that will
enable such option to continue to qualify under the Code as an Incentive Stock Option.

 

(d)
DETERMINATION OF AMOUNTS PAYABLE. The amounts to be paid to a Grantee pursuant to Section 10 (c) shall be determined as
follows:

 

(i)
The term “Acquisition Price per Share” as used herein shall mean, with respect to the exercise of any Limited Right
by reason of an acquisition of common stock described in clause (i) of the definition of Change in Control, the greatest of (A)
the highest price per share shown on the Statement on Schedule 13D or amendment thereto filed by the holder of 25% or more of
the voting power of the Company that gives rise to the exercise of such Limited Right, (B) the highest price paid in any tender
or exchange offer which is in effect at any time during the ninety-day period ending on the date of exercise of the Limited Right,
or (C) the highest Fair Market Value per share of common stock during the ninety day period ending on the date the Limited Right
is exercised.

  

    8

     

    

 

(ii)
The term “Acquisition Spread” as used herein shall mean an amount equal to the product computed by multiplying (A)
the excess of (1) the Acquisition Price per Share over (2) the exercise or other base price of the Limited Right or, if applicable,
the Option Price per share of common stock at which the related Option is exercisable, by (B) the number of shares of common stock
with respect to which such Limited Right is being exercised.

 

(iii)
The term “Merger Price per Share” as used herein shall mean, with respect to the exercise of any Limited Right by
reason of stockholder approval of an agreement described in clause (i) of the definition of Corporate Transaction, the greatest
of (A) the fixed or formula price for the acquisition of shares of common stock specified in such agreement, if such fixed or
formula price is determinable on the date on which such Limited Right is exercised, (B) the highest price paid in any tender or
exchange offer which is in effect at any time during the ninety-day period ending on the date of exercise of the Limited Right,
(C) the highest Fair Market Value per share of common stock during the ninety-day period ending on the date on which such Limited
Right is exercised.

 

(iv)
The term “Merger Spread” as used herein shall mean an amount equal to the product. computed by multiplying (A) the
excess of (1) the Merger Price per Share over (2) the exercise or other base price of the Limited Right or, if applicable, the
Option Price per share of common stock at which the related Option is exercisable, by (B) the number of shares of common stock
with respect to which such Limited Right is being exercised.

 

(v)
The term “Spread” as used herein shall mean, with respect to the exercise of any Limited Right by reason of a change
in the composition of the Board described in clause (ii) of the definition of Change in Control or stockholder approval of a plan
or agreement described in clause (ii) of the definition of Corporate Transaction, an amount equal to the product computed by multiplying
(i) the excess of (A) the greater of (1) the highest price paid in any tender or exchange offer which is in effect at any time
during the ninety-day period ending on the date of exercise of the Limited Right or (2) the highest Fair Market Value per share
of common stock during the ninety day period ending on the date the Limited Right is exercised over (B) the exercise or other
base price of the Limited Right or, if applicable, the Option Price per share of common stock at which the related Option is exercisable,
by (ii) the number of shares of common stock with respect to which the Limited Right is being exercised.

 

(e)
TREATMENT OF RELATED OPTIONS AND LIMITED RIGHTS UPON EXERCISE. Upon the exercise of a Limited Right, the related Option, if any,
shall cease to be exercisable to the extent of the shares of Class A Common Stock or Class B Common Stock, as applicable, with
respect to which such Limited Right is exercised but shall be considered to have been exercised to that extent for purposes of
determining the number of shares of Class A Common Stock or Class B Common Stock, as applicable, available for the grant of future
awards pursuant to this Plan. Upon the exercise or termination of a related Option, if any, the Limited Right with respect to
such related Option shall terminate to the extent of the shares of Class A Common Stock or Class B Common Stock, as applicable,
with respect to which the related Option was exercised or terminated.

 

(f)
METHOD OF EXERCISE. To exercise a Limited Right, the Grantee shall (i) deliver written notice to the Company specifying the number
of shares of Class A Common Stock or Class B Common Stock, as applicable, with respect to which the Limited Right is being exercised,
and (ii) if requested by the Committee, deliver to the Company the Agreement evidencing the Limited Rights being exercised and,
if applicable, the Option Agreement evidencing the related Option; the Company shall endorse thereon a notation of such exercise
and return such Agreements to the Grantee. The date of exercise of a Limited Right that is validly exercised shall be deemed to
be the date on which there shall have been delivered the instruments referred to in the first sentence of this paragraph (f).

 

    9

     

    

 

11.
Restricted Stock.

 

The
Committee may award shares of Restricted Stock to any eligible employee, director or consultant of the Company or of any Subsidiary.
Each award of Restricted Stock under the Plan shall be evidenced by a written Agreement between the Company and the Grantee, in
such form as the Committee shall from time to time approve, which Agreement shall comply with and be subject to the following
terms and conditions, unless otherwise specifically provided in such Agreement:

 

(a)
NUMBER OF SHARES. Each Agreement shall state the number of shares of Restricted Stock to be subject to an award.

 

(b)
RESTRICTIONS. Shares of Restricted Stock may not be sold, assigned, transferred, pledged, hypothecated or otherwise disposed of,
except by will or the laws of descent and distribution, for such period as the Committee shall determine from the date on which
the award is granted (the “Restricted Period”). The Committee may also impose such additional or alternative restrictions
and conditions on the shares as it deems appropriate including, but not limited to, the satisfaction of performance criteria.
Such performance criteria may include sales, earnings before interest and taxes, return on investment, earnings per share, any
combination of the foregoing or rate of growth of any of the foregoing, as determined by the Committee. The Company may, at its
option, maintain issued shares in book entry form. Certificates, if any, for shares of stock issued pursuant to Restricted Stock
awards shall bear an appropriate legend referring to such restrictions, and any attempt to dispose of any such shares of stock
in contravention of such restrictions shall be null and void and without effect. During the Restricted Period, any such certificates
shall be held in escrow by an escrow agent appointed by the Committee. In determining the Restricted Period of an award, the Committee
may provide that the foregoing restrictions shall lapse with respect to specified percentages of the awarded shares on successive
anniversaries of the date of such award.

 

(c)
FORFEITURE. Subject to such exceptions as may be determined by the Committee, if the Grantee’s Continuous Service with the
Company or any Subsidiary shall terminate for any reason prior to the expiration of the Restricted Period of an award, any shares
remaining subject to restrictions (after taking into account the provisions of Subsection (e) of this Section 11) shall thereupon
be forfeited by the Grantee and transferred to, and retired by, the Company without cost to the Company or such Subsidiary, and
such shares shall become available for subsequent grants of awards under the Plan, unless otherwise determined by the Committee.

 

(d)
OWNERSHIP. During the Restricted Period, the Grantee shall possess all incidents of ownership of such shares, subject to Subsection
(b) of this Section 11, including the right to receive dividends with respect to such shares and to vote such shares.

 

(e)
ACCELERATED LAPSE OF RESTRICTIONS. Upon the occurrence of any of the events specified in Section 14 of the Plan (and subject to
the conditions set forth therein), all restrictions then outstanding on any shares of Restricted Stock awarded under the Plan
shall lapse as of the applicable date set forth in Section 14. The Committee shall have the authority (and the Agreement may so
provide) to cancel all or any portion of any outstanding restrictions prior to the expiration of the Restricted Period with respect
to any or all of the shares of Restricted Stock awarded on such terms and conditions as the Committee shall deem appropriate.

 

12.
Deferred Stock Units.

 

The
Committee may award Deferred Stock Units to any outside director, eligible employee or consultant of the Company or of any Subsidiary.
Each award of Deferred Stock Units under the Plan shall be evidenced by a written Agreement between the Company and the Grantee,
in such form as the Committee shall from time to time approve, which Agreement shall comply with and be subject to the following
terms and conditions, unless otherwise specifically provided in such Agreement:

 

(a)
NUMBER OF SHARES. Each Agreement for Deferred Stock Units shall state the number of shares of Class A Common Stock or Class B
Common Stock, as applicable, to be subject to an award.

 

    10

     

    

 

(b) RESTRICTIONS.
Deferred Stock Units may not be sold, assigned, transferred, pledged, hypothecated or otherwise disposed of, except by will
or the laws of descent and distribution, until shares of Class A Common Stock or Class B Common Stock, as applicable, are
payable with respect to an award. The Committee may impose such vesting restrictions and conditions on the payment of shares
as it deems appropriate including the satisfaction of performance criteria. Such performance criteria may include sales,
earnings before interest and taxes, return on investment, earnings per share, any combination of the foregoing or rate of
growth of any of the foregoing, as determined by the Committee.

 

(c)
FORFEITURE. Subject to such exceptions as may be determined by the Committee, if the Grantee’s Continuous Service with the
Company or any Subsidiary shall terminate for any reason prior to the Grantee becoming fully vested in the award, then the Grantee’s
rights under any unvested Deferred Stock Units shall be forfeited without cost to the Company or such Subsidiary.

 

(d)
OWNERSHIP. Until shares are delivered with respect to Deferred Stock Units, the Grantee shall not possess any incidents of ownership
of such shares, including the right to receive dividends with respect to such shares and to vote such shares.

 

(e)
ACCELERATED LAPSE OF RESTRICTIONS. Upon the occurrence of any of the events specified in Section 14 of the Plan (and subject to
the conditions set forth therein), all restrictions then outstanding on any Deferred Stock Units awarded under the Plan shall
lapse as of the applicable date set forth in Section 14. The Committee shall have the authority (and the Agreement may so provide)
to cancel all or any portion of any outstanding restrictions prior to the expiration of any restricted period with respect to
any or all of the shares of Deferred Stock Units awarded on such terms and conditions as the Committee shall deem appropriate.

 

13.
Effect of Certain Changes.

 

(a)
ADJUSTMENTS UPON CHANGES IN CAPITALIZATION. In the event of any extraordinary dividend, stock dividend, recapitalization,
merger, consolidation, stock split, warrant or rights issuance, or combination or exchange of such shares, or other similar
transactions, the Committee shall equitably adjust (i) the maximum number of Options or shares of Restricted Stock that may
be awarded to a Grantee in any calendar year (as provided in Section 5 hereof), (ii) the number of shares of Class A Common
Stock or Class B Common Stock, as applicable, available for awards under the Plan, (iii) the number and/or kind of shares
covered by outstanding awards and (iv) the price per share of Options or the applicable market value of Stock Appreciation
Rights or Limited Rights, in each such case so as to reflect such event and preserve the value of such awards; provided,
however, that any fractional shares resulting from such adjustment shall be eliminated.

 

(b)
CHANGE IN CLASS A COMMON STOCK OR CLASS B COMMON STOCK STOCK. In the event of a change in the Class A Common Stock or Class B
Common Stock, as applicable, as presently constituted that is limited to a change of all of its authorized shares of Class A Common
Stock or Class B Common Stock, as applicable,, into the same number of shares with a different par value or without par value,
the shares resulting from any such change shall be deemed to be the Class A Common Stock or Class B Common Stock, as applicable,
within the meaning of the Plan.

 

14.
Corporate Transaction; Change in Control; Related Entity Disposition.

 

(a)
CORPORATE TRANSACTION. In the event of a Corporate Transaction, each award which is at the time outstanding under the Plan
shall automatically become fully vested and exercisable and, in the case of an award of Restricted Stock or an award of
Deferred Stock Units, shall be released from any restrictions on transfer (except with regard to the Insider Trading Policy
and such other agreements between the Grantee and the Company) and repurchase or forfeiture rights, immediately prior to the
specified effective date of such Corporate Transaction. Effective upon the consummation of the Corporate Transaction, all
outstanding awards of Options, Stock Appreciation Rights and Limited Rights under the Plan shall terminate, unless otherwise
determined by the Committee. However, all such awards shall not terminate if the awards are, in connection with the Corporate
Transaction, assumed by the successor corporation or Parent thereof.

 

    11

     

    

 

(b)
CHANGE IN CONTROL. In the event of a Change in Control (other than a Change in Control which is also a Corporate Transaction),
each award which is at the time outstanding under the Plan automatically shall become fully vested and exercisable and, in the
case of an award of Restricted Stock or an award of Deferred Stock Units, shall be released from any restrictions on transfer
and repurchase or forfeiture rights, immediately prior to the specified effective date of such Change in Control.

 

(c)
RELATED ENTITY DISPOSITION. The Continuous Service of each Grantee (who is primarily engaged in service to a Related Entity at
the time it is involved in a Related Entity Disposition) shall terminate effective upon the consummation of such Related Entity
Disposition, and each outstanding award of such Grantee under the Plan shall become fully vested and exercisable and, in the case
of an award of Restricted Stock or an award of Deferred Stock Units, shall be released from any restrictions on transfer (except
with regard to the Insider Trading Policy and such other agreements between the Grantee and the Company). Unless otherwise determined
by the Committee, the Continuous Service of a Grantee shall not be deemed to terminate (and each outstanding award of such Grantee
under the Plan shall not become fully vested and exercisable and, in the case of an award of Restricted Stock or an award of Deferred
Stock Units, shall not be released from any restrictions on transfer) if (i) a Related Entity Disposition involves the spin-off
of a Related Entity, for so long as such Grantee continues to remain in the service of such entity that constituted the Related
Entity immediately prior to the consummation of such Related Entity Disposition (“SpinCo”) in any capacity of officer,
employee, director or consultant or (ii) an outstanding award is assumed by the surviving corporation (whether SpinCo or otherwise)
or its parent entity in connection with a Related Entity Disposition.

 

(d)
SUBSTITUTE AWARDS. The Committee may grant awards under the Plan in substitution of stock-based incentive awards held by employees,
consultants or directors of another entity who become employees, consultants or directors of the Company or any Subsidiary by
reason of a merger or consolidation of such entity with the Company or any Subsidiary, or the acquisition by the Company or a
Subsidiary of property or equity of such entity, upon such terms and conditions as the Committee may determine, and such awards
shall not count against the share limitation set forth in Section 5 of the Plan.

 

15.
Period During which Awards May Be Granted.

 

Awards
may be granted pursuant to the Plan from time to time within a period of ten (10) years from August 6, 2009, the date the Board
initially adopted the Plan and the Company’s sole stockholder approved the Plan.

 

16.
Transferability of Awards.

 

(a)
Incentive Stock Options and Stock Appreciation Rights may not be sold, pledged, assigned, hypothecated, transferred or disposed
of in any manner other than by the laws of descent and distribution and may be exercised, during the lifetime of the Grantee,
only by the Grantee or his or her guardian or legal representative.

 

(b)
Nonqualified Stock Options shall be transferable in the manner and to the extent acceptable to the Committee, as evidenced by
a writing signed by the Company and the Grantee. Nonqualified Stock Options (together with any Stock Appreciation Rights or Limited
Rights related thereto) shall be transferable by a Grantee as a gift to the Grantee’s “family members” (as defined
in Form S-8) under such terms and conditions as may be established by the Committee; provided that the Grantee receives no consideration
for the transfer. Notwithstanding the transfer by a Grantee of a Nonqualified Stock Option, the transferred Nonqualified Stock
Option shall continue to be subject to the same terms and conditions as were applicable to the Nonqualified Stock Option immediately
before the transfer (including, without limitation, the Insider Trading Policy) and the Grantee will continue to remain subject
to the withholding tax requirements set forth in Section 17 hereof.

 

(c)
The terms of any award granted under the Plan, including the transferability of any such award, shall be binding upon the executors,
administrators, heirs and successors of the Grantee.

 

    12

     

    

 

(d)
Restricted Stock shall remain subject to the Insider Trading Policy after the expiration of the Restricted Period. Deferred
Stock Units shall remain subject to the Insider Trading Policy after payment thereof.

 

17.
Agreement by Grantee regarding Withholding Taxes.

 

If
the Committee shall so require, as a condition of exercise of an Option, Stock Appreciation Right or Limited Right, the expiration
of a Restricted Period or payment of a Deferred Stock Unit (each, a “Tax Event”), each Grantee shall agree that no
later than the date of the Tax Event, the Grantee will pay to the Company or make arrangements satisfactory to the Committee regarding
payment of any federal, state or local taxes of any kind required by law to be withheld upon the Tax Event. Unless determined
otherwise by the Committee, a Grantee shall permit, to the extent permitted or required by law, the Company to withhold federal,
state and local taxes of any kind required by law to be withheld upon the Tax Event from any payment of any kind due to the Grantee.
Unless otherwise determined by the Committee, any such above-described withholding obligation may, in the discretion of the Company,
be satisfied by the withholding by the Company or delivery to the Company of Class A Common Stock or Class B Common Stock, as
applicable.

 

18.
Rights as a Stockholder.

 

Except
as provided in Section 11(d) of the Plan, a Grantee or a transferee of an award shall have no rights as a stockholder with respect
to any shares covered by the award until the date of the issuance of such shares to him or her. No adjustment shall be made for
dividends (ordinary or extraordinary, whether in cash, securities or other property) or distribution of other rights for which
the record date is prior to the date such shares are issued, except as provided in Section 12(a) of the Plan.

 

19.
No Rights to Employment; Forfeiture of Gains.

 

Nothing
in the Plan or in any award granted or Agreement entered into pursuant hereto shall confer upon any Grantee the right to continue
as a director of, in the employ of, or in a consultant relationship with, the Company or any Subsidiary or to be entitled to any
remuneration or benefits not set forth in the Plan or such Agreement or to interfere with or limit in any way the right of the
Company or any such Subsidiary to terminate such Grantee’s employment or consulting relationship. Awards granted under the
Plan shall not be affected by any change in duties or position of a Grantee as long as such Grantee continues to be employed by,
or in a consultant relationship with, or a director of the Company or any Subsidiary. The Agreement for any award under the Plan
may require the Grantee to pay to the Company any financial gain realized from the prior exercise, vesting or payment of the award
in the event that the Grantee engages in conduct that violates any non-compete, non-solicitation or non-disclosure obligation
of the Grantee under any agreement with the Company or any Subsidiary, including, without limitation, any such obligations provided
in the Agreement.

 

20.
Beneficiary.

 

A
Grantee may file with the Committee a written designation of a beneficiary on such form as may be prescribed by the Committee
and may, from time to time, amend or revoke such designation. If no designated beneficiary survives the Grantee, the executor
or administrator of the Grantee’s estate shall be deemed to be the Grantee’s beneficiary.

 

21.
Approval; Amendment and Termination of the Plan.

 

(a)
APPROVAL. The Plan initially became effective when adopted by the Board on August 6,, 2009 and shall terminate on the tenth anniversary
of such date. The Plan was ratified by the Company’s sole stockholder on August 6, 2009. The Board amended the Plan on June
16, 2016 to increase the amount of authorized shares under the Plan to 285,860 shares of Class B Common Stock. The Company’s
stockholders ratified such amendment to the Plan on October 6, 2016.

 

(b)
AMENDMENT AND TERMINATION OF THE PLAN. The Board, or the Committee if so delegated by the Board, at any time and from time to
time may suspend, terminate, modify or amend the Plan; however, unless otherwise determined by the Board, or the Committee if
applicable, an amendment that requires stockholder approval in order for the Plan to continue to comply with any law, regulation
or stock exchange requirement shall not be effective unless approved by the requisite vote of stockholders. Except as provided
in Section 14(a) of the Plan, no suspension, termination, modification or amendment of the Plan may adversely affect any award
previously granted, unless the written consent of the Grantee is obtained.

 

22.
Governing Law.

 

The
Plan and all determinations made and actions taken pursuant hereto shall be governed by the laws of the State of Delaware.

 

23.
Section 409A of the Code.

 

It
is the intention of the Company that no award shall be “deferred compensation” subject to Section 409A of the Code,
unless and to the extent that the Committee specifically determines otherwise as provided in this Section 23, and the Plan and
the terms and conditions of all awards shall be interpreted accordingly. The terms and conditions governing any awards that the
Committee determines will be subject to Section 409A of the Code shall be set forth in the applicable award Agreement and shall
comply in all respects with Section 409A of the Code. Notwithstanding any provision of this Plan to the contrary, if one or more
of the payments or benefits received or to be received by a Grantee pursuant to an award would cause the Grantee to incur any
additional tax or interest under Section 409A of the Code, the Committee may reform such provision to maintain to the maximum
extent practicable the original intent of the applicable provision without violating the provisions of Section 409A of the Code.
Although the Company intends to administer the Plan so that Awards will be exempt from, or will comply with, the requirements
of Section 409A of the Code, the Company does not warrant that any Award under the Plan will qualify for favorable tax treatment
under Section 409A of the Code or any other provision of federal, state, local or foreign law. The Company shall not be liable
to any Grantee for any tax, interest, or penalties that Grantee might owe as a result of the grant, holding, vesting, exercise,
or payment of any award under the Plan.

 

 

14

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