Document:

Exhibit 10.1

 

Dated the 15th day of July, 2019 

 

 

 

AGREEMENT FOR SALE AND PURCHASE

 

 

 

CHIU & PARTNERS 

SOLICITORS

40th Floor

Jardine House

1 Connaught Place

Tel No.: 2111-3200

Fax No.: 2111-3299

 

Ref. No.: LC/CSC/CSL/TON/LTL/TLL/190210

 

Formal-SP (Ford Glory Plaza)

 

     

     

    

  

THIS AGREEMENT is
made on 15 July 2019

 

BETWEEN :

 

		(1)	The vendor whose brief particulars are set out in Part
I of Schedule I (the “Vendor”); and

 

		(2)	The purchaser whose brief particulars are set out in
Part II of Schedule 1 (the “Purchaser”).

 

IT IS AGREED as follows:

 

		1.	DEFINITION AND INTERPRETATION

 

		1.1	In this Agreement, including the recitals (if any) and
the Schedules, unless the context requires otherwise, the following expressions have the following meanings:

 

	“Building”	 	the building(s) or estate of which the Property forms part
	 	 	 
	“Business Day”	 	
        any day of the week when licensed banks in Hong Kong are open
        for business in Hong Kong, but excluding the following:

        

	 	 	(a)	Saturdays         and Sundays;
	 	 	(b)	public         holidays; and
	 	 	(c)	gale         warning days or black rainstorm warning days as defined in Section 71(2) of the Interpretation and
        General Clauses Ordinance (Cap.         1 of the Laws of Hong Kong) and published in the Gazette.
	 	 	 
	“Completion” 	 	completion of the sale and purchase of the Property in accordance with the terms of this Agreement
	 	 	 
	“Completion Date”	 	the date on which completion of this Agreement is to take place and is specified in Part II of Schedule 3, or such other date as may be agreed in writing by the parties
	 	 	 
	“Conditions Precedent” 	 	the conditions to Completion set out in Clause 4.1
	 	 	 
	“CPO Ordinance”	 	the Conveyancing and Property Ordinance (Cap.219 of the Laws of Hong Kong)
	 	 	 
	“Deed of Mutual 	 	the deed of mutual covenant or deed of mutual

 

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	Covenant”	 	covenant and management agreement or document of similar nature, which regulates the rights, interests and obligations of all the co-owners of the Building and where applicable, the management of the Building, and is registered in the Land Registry against the Property

 

	“Deposit”	 	the amount specified in Part I of Schedule 3 paid or to be paid by the Purchaser as deposit
	 	 	 
	“Government”	 	the Government of Hong Kong
	 	 	 
	“Government Authorities”	 	the Government, any governmental, semi-governmental, administrative, or judicial body, department, commission, authority, tribunal, agency or entity in Hong Kong, and any person authorised by Laws to give consent, approval, permission, licence, certification, waiver or impose conditions and/or requirements;
	 	 	 
	“Government Lease”	 	the Government lease within the meaning of section 3 of the Interpretation and General Clauses Ordinance (Cap.1 of the Laws of Hong Kong) under which the Property is now held from the Government
	 	 	 
	“Hong Kong”	 	the Hong Kong Special Administrative Region of the People’s Republic of China
	 	 	 
	“Hong Kong dollars” or	 	Hong Kong dollars, the lawful currency of Hong Kong “HK$”
	 	 	 
	“Jerash Holdings”	 	Jerash Holdings (US) Inc., a company incorporated in the State of Delaware of the United States of America and with its common stock listed on the Nasdaq and the direct holding company of the Purchaser
	 	 	 
	“Land Registry”	 	the Land Registry of Hong Kong

 

	“Laws”	 	any laws, ordinances, bye-laws, rules and regulations of Hong Kong (including without limitation, the Buildings Ordinance (Cap.123 of the Laws of Hong Kong), the Dangerous Goods Ordnance (Cap. 296 of the Laws of Hong Kong), the Fire Services Ordinance (Cap. 95 of the Laws of Hong Kong), the Fire Safety (Buildings) Ordinance (Cap. 572 of the Laws of Hong Kong), the Town Planning Ordinance (Cap. 131 of the Laws of Hong Kong) and environmental legislation) and any directives, directions, decrees, decisions, orders, demands, judgments, decisions, rulings, codes of practice, circulars, guidance notes or notices of or from any Government Authorities

 

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	“Listco”	 	VICTORY CITY INTERNATIONAL HOLDINGS LIMITED, a company incorporated in Bermuda, the shares of which are listed
    on the Main Board of the Stock Exchange (stock code: 539) and the indirect holding company of the Vendor
	 	 	 
	“Listing Rules”	 	The Rules Governing the Listing of Securities on the Stock Exchange

 

	“Long Stop Date”	 	31 October 2019 (or such later date as the parties may agree in writing), being the date by which the Conditions Precedent are to be fulfilled (or insofar as any of them can be waived, waived in accordance with the terms of this Agreement)
	 	 	 
	“Mortgage”	 	the instrument (if any) by which the Property or any part thereof is charged in favour of the Mortgagee, brief particulars of which are set out in Schedule 4
	 	 	 
	“Mortgagee”	 	the person (if any) in whose favour the Property or any part thereof is charged under the Mortgage, whose brief particulars are set out in Schedule 4
	 	 	 
	“party” or “parties”	 	party or parties to this Agreement
	 	 	 
	“Property”	 	the property or properties forming the subject matter of this Agreement, brief particulars of which are set out in Schedule 2, the Workshop A of which is in this Agreement referred to as “Workshop A” and the Car Parking Spaces nos.P21, P22, P23 and P24 of which are in this Agreement referred to as “Car Parking Spaces”
	 	 	 
	“Purchase Price”	 	the amount set out in Part I of Schedule 3, which is the agreed consideration for the sale and purchase of the Property

 

	“Purchaser’s Solicitors”	 	the firm of solicitors for the time being acting for the Purchaser in the purchase of the Property
	 	 	 
	“Special Conditions”	 	the special conditions set out in Schedule 6
	 	 	 
	“Stamp Duty Ordinance”	 	the Stamp Duty Ordinance (Cap.117 of the Laws of Hong Kong)
	 	 	 
	“Structures”	 	any structures, erections, walls, fences, partitions, works, alterations or additions exists in, on, at, within or appertain to the Property which are not in compliance with any or all of the Government Lease and the Laws
	 	 	 
	“Stock Exchange”	 	The Stock Exchange of Hong Kong Limited

 

	“Vendor’s Solicitors”	 	the firm of solicitors for the time being acting for the Vendor in the sale of the Property

 

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		1.2	In this Agreement, unless the context otherwise requires:

 

		(1)	words importing a gender shall include every gender;

 

		(2)	references to the singular shall be deemed to include references to the plural and vice versa;

 

		(3)	references to any person shall include an individual, firm, body corporate or unincorporate;

 

		(4)	the headings contained in this Agreement are inserted for convenience and for reference only and
in no way define, limit or describe the scope or the intent of any provision of this Agreement and shall be ignored in construing
or interpreting this Agreement;

 

		(5)	references to “Clauses”, “Sub-clauses” and the “Schedules” are to
clauses and sub-clauses of and the schedules to this Agreement;

 

		(6)	references to statutory provisions shall be construed as references to those provisions as replaced,
amended, modified or re-enacted from time to time;

 

		(7)	where any party comprises two or more persons, all obligations, agreements, covenants, and undertakings
(implied or expressed) of that party shall be deemed to be made and given by such persons jointly and severally;

 

		(8)	the Recitals (if any) and the Schedules form part of this Agreement and have the same force and
effect as if expressly set out in the body of this Agreement; and

 

		(9)	references to times of the day are, unless otherwise specified, to Hong Kong time.

 

		2.	AGREEMENT TO SELL

 

		2.1	On and subject to the terms and conditions of this Agreement, the Vendor agrees to sell and the
Purchaser agrees to purchase the Property for the residue of the term of years created by the Government Lease.

 

		2.2	The Vendor will only assign the Property to the Purchaser upon Completion but not to anyone else.
Without limiting the generality of the foregoing the Purchaser shall not do or enter into agreement to do all or any of the following
on or prior to Completion:

 

		(1)	sub-sell the Property or any part thereof;

 

		(2)	sell, transfer, assign or otherwise dispose of all or any of its right, title, benefit and interest
of and in the Property or any part thereof comprised in this Agreement; or

 

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		(3)	nominate any other person to take up the assignment of the Property or any part thereof, notwithstanding any rule of law or equity to the
contrary.

  

		3.	PURCHASE PRICE

 

		3.1	The consideration payable by the Purchaser for the purchase of the Property is in an amount of
the Purchase Price.

 

		3.2	The Purchaser shall pay and satisfy the Purchase Price to the Vendor at the times and in the manner
specified in Part I of Schedule 3.

 

		3.3	In respect of each payment of the Purchase Price or any part of it, the Purchaser shall deliver
to the Vendor or the Vendor’s Solicitors on the date on which such payment is required to be made, one or more cashier order(s)
issued by a licensed bank in Hong Kong and/or solicitors’ cheque(s) drawn on account of a licensed bank in Hong Kong (or in such
other manner as the parties may agree) in favour of the Vendor (or as the Vendor or the Vendor’s Solicitors may direct in writing)
for the relevant amount.

 

		3.4	Both the Vendor and the Vendor’s Solicitors (as the Vendor hereby authorises) shall be entitled
to require the Purchaser to:

 

		(1)	effect payment of the Purchase Price (or any part of it) to such person or persons as the Vendor
or the Vendor’s Solicitors may direct in writing; and

 

		(2)	deliver to the Vendor or the Vendor’s Solicitors one or more cashier order(s) issued by a licensed
bank in Hong Kong and/or solicitors’ cheque(s) drawn on account of a licensed bank in Hong Kong issued in favour of such person
or persons for the relevant amount(s) so directed and a separate cashier order issued by a licensed bank in Hong Kong and/or solicitors’
cheque drawn on account of a licensed bank in Hong Kong in favour of the Vendor for the balance.

 

		3.5	The Purchaser shall not be deemed to have discharged the obligation to make payment under this
Agreement unless in making such payment, the Purchaser also complies with the provisions of this Clause.

 

		4.	CONDITIONS PRECEDENT

 

		4.1	This Agreement and the obligations of the parties to effect Completion are conditional upon fulfillment
of the following conditions precedent:

 

		(1)	(if necessary) the obtaining of the approval of the independent shareholders of Listco to this
Agreement and the transactions contemplated hereunder in accordance with the Listing Rules;

 

		(2)	(if necessary) Listco having obtained all other necessary approvals, consents, clearance and/or
waiver as may be required under the Listing Rules and/or other applicable rules and regulations from the Stock Exchange or any
other regulators in respect of the entering into and performance of this Agreement and the transactions contemplated hereunder;
and

 

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		(3)	(if necessary) the obtaining of the approval of a special committee formed or to be formed by independent
directors of Jerash Holdings.

 

		4.2	The Vendor shall procure the fulfillment of the Conditions Precedent set out in Clause 4.1.(1)
and (2). The Purchaser shall procure the fulfillment of the Conditions Precedent set out in Clause 4.1(3). None of the Conditions
Precedent can be waived by any parties.

 

		4.3	A party shall assist the other party by rendering all necessary assistance and providing all necessary
information and documents as may be required for the purpose of procuring fulfillment of the Conditions Precedent.

 

		4.4	If the Conditions Precedent shall not have been fulfilled in full before 5:00 p.m. on the Long
Stop Date, all rights and obligations of the parties under this Agreement shall cease and terminate, save and except that
the Vendor shall effect a full refund of-the Deposit but without interest, costs or compensation to Purchaser within five (5)
Business Days after the Long Stop Date and no party shall have any claim against the other save for claim (if any) in respect of
antecedent breach of this Agreement and if this Agreement shall have been registered at the Land Registry, the Vendor shall have
the right to register at the Land Registry an instrument signed by the Vendor alone evidencing such determination and to vacate
the registration of this Agreement.

 

		5.	COMPLETION

 

		5.1	Subject to fulfillment of the Conditions Precedent, Completion shall take place at the offices
of the Vendor’s Solicitors on the Completion Date, which shall in no event be a day which is not a Business Day, when all the acts
and requirements set out in Clauses 5.2 and 5.3 shall be complied with in full by the parties.

 

		5.2	At Completion, the Purchaser shall:

 

		(1)	make payment of the balance of the Purchase Price in accordance with the manner and within the
times set out in Clause 3;

 

		(2)	unless otherwise agreed by the parties in writing, make payment of all other moneys which the Purchaser
has to effect payment upon Completion under the terms of this Agreement;

 

		(3)	deliver to the Vendor’s Solicitors the assignment of the Property, which shall be in form and substance
previously approved by the Vendor, duly executed by the Purchaser; and

 

		(4)	in regard to Workshop A, either to execute a sub-deed of mutual covenant (“Sub-DMC”)
regulating the rights and obligations of all the owners of the 19th Floor of the Building in such form as the Vendor may require
or to take Workshop A subject to and together with the benefit of the Sub-DMC.

 

		5.3	Against full performance and compliance of all acts and requirements set out in Clause 5.2 by
the Purchaser, or where the parties have agreed on any applicable undertakings following performance and compliance of such acts
and requirements and in compliance with the applicable undertakings, the Vendor and all other necessary parties (if any) will execute
a proper assignment of the Property to the Purchaser subject as disclosed in this Agreement but otherwise free from encumbrances.

 

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		5.4	Completion shall take place between the hours of 9:30 a.m. and 5:00 p.m. on the Completion Date.

 

		5.5	If the Completion Date, or the date stipulated for payment of any moneys or performance of any
obligations in this Agreement, shall fall on a day which is not a Business Day, the Completion Date or such date for payment or
performance (as the case may be) shall automatically be postponed to the next Business Day.

 

		5.6	The Vendor and the Purchaser agree and authorise their respective solicitors to complete the transaction
on the basis of solicitors’ undertakings in the form from time to time recommended by The Law Society of Hong Kong with such variations
as they may agree.

 

		6.	STATUS OF VENDOR

 

		6.1	The Vendor shall on Completion assign the Property to the Purchaser in the capacity set out in
Part I of Schedule 1.

 

		7.	TITLE INSPECTION AND REQUISITIONS

 

		7.1	Any requisitions or objections in respect of the title or otherwise shall be delivered in writing
to the Vendor’s Solicitors within the time limit set out in Clause 7.2, otherwise the Purchaser shall conclusively be deemed
to have waived his right to raise or insist on any such requisitions or objections and accepted the Vendor’s title (in which respect
time shall be of the essence of this Agreement).

 

		7.2	The time for delivery of the requisitions or objections
referred to in Clause 7.1 is:

 

		(1)	within 7 Business Days (including Saturdays) after the day of receipt by the Purchaser or the Purchaser’s
Solicitors of the title documents of the Property; and

 

		(2)	for further requisitions or objections in respect of title or otherwise, which arise upon the reply
made by the Vendor’s Solicitors to any requisitions or objections raised by the Purchaser’s Solicitors, within 5 Business Days
(including Saturdays) after the day of receipt of such reply by the Purchaser’s Solicitors.

 

		7.3	If the Purchaser shall make and insist on any objections or requisitions as to title or any matter
appearing on the title deeds or otherwise which the Vendor shall be unable or (on the grounds of difficulty, delay or expense or
on any reasonable ground) unwilling to remove or comply with, or if the title of the Vendor shall be defective, the Vendor shall
notwithstanding any previous negotiation or litigation be at liberty to cancel the sale on giving to the Purchaser or the Purchaser’s
Solicitors seven (7) Business Days’ notice in writing to this effect, in which case unless the objections or requisitions shall
have been in the meantime withdrawn by the Purchaser, the sale of the Property shall on the expiry of the notice be cancelled and
the Purchaser shall be entitled to the return of the Deposit but without interest, cost or compensation and the parties shall at
their own respective costs enter into and cause to be registered at the Land Registry an agreement for cancellation of this Agreement.

 

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		8.	TITLE AND TITLE DOCUMENTS

 

		8.1	Subject to the Special Conditions, the Vendor shall give title to the Property in accordance
with Section 13A of the CPO Ordinance. The Vendor shall show and prove his title to the Property in accordance with Section 13
of the CPO Ordinance.

 

		8.2	The Vendor shall show and prove its title to the Property at the Vendor’s own expense and shall
at the like expense produce to the Purchaser for his perusal such certified or attested copies of any deeds or documents of title
and copies of matters of public record as may be necessary to prove title in accordance with Section 13 of the CPO Ordinance.

 

		8.3	The costs of verifying the title by inspection and examination, including without limitation, search
fees, shall be borne solely by the Purchaser who shall also, if the Purchaser requires certified copies of any documents of title
in the Vendor’s possession relating to other property retained by the Vendor as well as to the Property, pay the cost of such certified
copies.

 

		8.4	Such of the documents of title as relate exclusively to the Property and are in the possession
of the Vendor which are required for the purpose of giving title in accordance with Section 13A of the CPO Ordinance (collectively,
the “Original Documents of Title”) shall be delivered to the Purchaser. All other documents of title in the possession
of the Vendor shall be retained by the Vendor who shall, if so required on Completion, give to the Purchaser a covenant for safe
custody, production and delivery of certified copies or copies of such documents of title, such covenant to be prepared by and
at the expense of the Purchaser.

 

		8.5	Notwithstanding the provisions relating to the production of title deeds and documents of title
in Section 13 of the CPO Ordinance and anything contained in this Agreement or otherwise implied to the contrary, it is hereby
expressly agreed by the parties that:

 

		(1)	production of copies of documents of title other than the Original Documents of Title, which the
Purchaser is entitled (collectively, the “Documents of Title”), coupled with an undertaking by the Vendor (or
the Vendor’s Solicitors) to furnish certified or attested copies of the Documents of Title within 30 days after Completion, shall
be a full and complete discharge of the Vendor’s obligation to produce the Documents of Title for the purpose of showing and proving
title to the Property;

 

		(2)	where copy of any document of title, which is registered with the Land Registry, cannot be obtained
from or produced by the Land Registry, the Purchaser shall accept from the Vendor as conclusive proof of title, a certified copy
of the related Memorial (whether with or without its annexure (if any)); and

 

		(3)	the failure of the Vendor to furnish certified or attested copies of any of the Documents of Title
to the Purchaser on or prior to Completion shall not by itself be a ground for delay of Completion by the Purchaser or be treated
as or constitute a default or failure on the part of the Vendor to complete the sale and purchase in accordance with the terms
of this Agreement.

 

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		9.	EASEMENTS, RIGHTS AND LIABILITIES

 

		9.1	The Vendor warrants that the Property is not adversely affected by any easement, right, privilege
or liability of which the Vendor is aware or could have ascertained on reasonable inquiry other than:

 

		(1)	those disclosed in this Agreement; or

 

		(2)	those of which the Purchaser is aware or could have ascertained on reasonable inspection of the
Property.

 

		9.2	Subject to Clause 9.1, the Property is sold subject
to:

 

		(1)	the exceptions, reservations, easements, rights, privileges, covenants, restrictions, terms and
conditions contained in the Government Lease and the Deed of Mutual Covenant; and

 

		(2)	all easements, rights, privileges and liabilities adversely or beneficially affecting it.

 

		10.	DUE INSPECTION, PHYSICAL STATE AND CONDITION AND POSSESSION

 

		10.1	The Purchaser hereby declares and confirms that he has or caused to be inspected the Property and
the Furniture (if any) and is satisfied with the existing physical state and condition of the Property, all its fixtures, fittings
and finishes and the Furniture (if any). The Purchaser acknowledges and confirms that he is fully aware that he is purchasing the
Property in its present physical state and condition and agrees not to make any objection or requisition to or in connection with
the physical state and condition of any part of the Property.

 

		10.2	The Purchaser, being the current tenant of, inter alia, Workshop A, shall not require delivery
of vacant possession of the Workshop A upon Completion. Upon Completion, the Vendor shall arrange delivery of vacant possession
of the Car Parking Spaces.

 

		10.3	The parties confirm that the Property is sold and purchased on an “as is” basis and in
the physical state and condition as it stands. In particular and without limiting the generality of the foregoing, no warranty
or representation is or has been given or made by the Vendor or the Vendor’s agents regarding:

 

		(1)	the physical state and condition, quality or fitness of the fixtures, fittings and finishes, installation,
appliances (if any) and the Furniture (if any) incorporated in the Property or the Building;

 

		(2)	the physical state and condition or the legality of the user of the Property or the Building;

 

		(3)	the area and delineation of the Property; and

 

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		(4)	the composition of the Property or of the Building or the nature or manner of their construction.

 

		10.4	Immediately after the date of signing of the agreement specified in paragraph (f) of Schedule
5 or, if none, the date of signing of this Agreement, the Property and the Furniture (if any) shall as between the Vendor and
the Purchaser be at the Purchaser’s risk. The Purchaser is hereby advised to take out proper insurance coverage on the Property
for his own protection and benefit.

 

		10.5	The Vendor does not warrant that any or any adequate policy of insurance exists relating to the
Property or, if any such policy exists, that it will be renewed on expiration. The Vendor will not transfer the insurance policy
(if any) on the Property or the benefit of such insurance policy to the Purchaser.

 

		10.6	Subject to Completion, (1) the rental deposit in the sum of HK$239,080.00 less any deductions
as may be made by the Vendor as landlord under the terms of the letting of, inter alia, Workshop A by the Vendor as landlord to
the Purchaser as tenant shall be refunded to the Purchaser in accordance with the terms of the said letting; and (2) the tenancy
agreement in respect of the said letting shall forthwith be terminated upon Completion save that the Vendor shall refund the rental
deposit to the Purchaser as tenant as aforesaid.

 

		11.	PROFITS, OUTGOINGS AND APPORTIONMENT

 

The rents and profits shall
be received and all outgoings shall be discharged by the Vendor up to and inclusive of the Completion Date, and subject to Completion,
as from but exclusive of that day, all profits shall be received and all outgoings shall be discharged by the Purchaser. All such
rents, profits and outgoings shall, if necessary, be apportioned between the parties and paid on Completion.

 

		11.2	On Completion, the Purchaser shall reimburse and pay to the Vendor all deposits and funds that
are not refundable to the Vendor but are transferable to the new owner of the Property under the terms of the Deed of Mutual Covenant
which are paid in respect of the Property and are being held by the manager appointed under the Deed of Mutual Covenant (or as
the case may be, by the owners’ incorporation or by the management committee), upon production of evidence proving payments of
such deposits and funds which is acceptable to the manager appointed under the Deed of Mutual Covenant or as the case may be, the
owners’ incorporation or management committee, for the purpose of such transfer provided that if such transfer to the new owner
shall be effected automatically upon change of ownership of the Property, no evidence proving payments of such deposits and/or
funds will require to be provided by the Vendor.

 

		12.	WARRANTIES AND UNDERTAKINGS

 

		12.1	The Vendor gives no warranty as to whether the Property is included in any lay-out plans (draft
or approved) under the Town Planning Ordinance (Cap.131 of the Laws of Hong Kong), the applications of any provisions or redevelopment
restrictions under any Ordinances and related rules and regulations would affect the Property, its occupation, value, user or enjoyment.
In respect of these, the Purchaser shall be responsible for making his own enquiry and investigation and shall raise no objection
to or requisition on any of those matters. The Purchaser is bound to proceed to Completion notwithstanding that the Property is
or may be included in or affected by any of such plans, provisions or restrictions.

 

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		12.2	The Vendor warrants that the Vendor has not received any notice under the Lands Resumption Ordinance
(Cap. 124 of the Laws of Hong Kong) or the Mass Transit Railway (Land Resumption and Related Provisions) Ordinance (Cap. 276 of
the Laws of Hong Kong) or the Roads (Works, Use and Compensation) Ordinance (Cap.370 of the Laws of Hong Kong) which relates to
the resumption of the Property or any part of it, or any other notice of similar nature issued under other Ordinances. If any such
notice existed prior to the date of this Agreement or if such notice shall be issued before the Completion Date, the Purchaser
shall be entitled to rescind this Agreement by giving written notice to the Vendor to this effect before the Completion Date whereupon
the Deposit shall forthwith upon written demand by the Purchaser be returned by the Vendor to the Purchaser in full but without
any compensation, interest or costs and neither party shall have any claim against the other hereon and the parties shall at their
own costs enter into and where applicable cause to be registered at the Land Registry an agreement for cancellation of this Agreement.

 

		12.3	The Vendor warrants that the Vendor is the sole legal and beneficial owner of the Property and
no other person (save for the Mortgagee (if any)) has any right or interest, whether legal or equitable, in the Property. In the
event of the Vendor is unable to assign the Property free from any third party right or interest upon Completion, the Vendor shall
forthwith return the Deposit to the Purchaser but without prejudice to the Purchaser’s right to claim against the Vendor for all
losses and damages sustained by the Purchaser by reason of the Vendor’s failure and/or inability to complete the sale in accordance
with the terms of this Agreement and it shall not be necessary for the Purchaser to tender an assignment of the Property to the
Vendor for execution.

 

		12.4	The Vendor undertakes to notify the Purchaser in writing upon receipt of the notices mentioned
in Clauses 12.1 and 12.2.

 

		12.5	The specified information required by Section 29B(1) of the Stamp Duty Ordinance is set out in
Schedule 5. Each party warrants, represents to and undertakes with the other that such information is in all respects correct
and accurate insofar as within the knowledge of such party. The parties agree and acknowledge that the information contained in
paragraph (d) of Schedule 5 is included merely to comply with that Section 29B(1) and no warranty or representation, expressed
or implied, is or has been given by the Vendor on the user of the Property.

 

		12.6	In case the Property is subject to the Mortgage in favour of the Mortgagee, the Purchaser acknowledges
and admits that the Purchaser is fully aware of and has been advised of the Property is subject to the Mortgage. The Vendor undertakes
to obtain a discharge, release or reassignment of the Property from the Mortgage, which shall be dated no later than the actual
day of Completion, or if the parties or their respective solicitors have agreed on any applicable undertakings on such discharge,
release or reassignment, in accordance with the terms of the undertakings, so that the Purchaser or the Purchaser’s nominee or
sub-purchaser can obtain the Property free from the Mortgage. If the discharge, release or reassignment of the Mortgage shall be
executed by an attorney of the Mortgagee whose appointment was made more than 12 months prior to the date of execution of such
discharge, release or reassignment, the Vendor shall at the Vendor’s own costs and expenses provide the Purchaser with either a
statutory declaration made pursuant to Section 5(4)(b) of the Powers of Attorney Ordinance (Cap.3 1 of the Laws of Hong
Kong), or a certified copy of the written confirmation from the Mortgagee confirming the non-revocation of the relevant power of
attorney, within one month from the actual day of Completion.

 

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		13.	DEFAULT

 

		13.1	Should the Purchaser fail to observe or comply with any of the terms and conditions of this Agreement
(including without limitation any failure to pay the Purchase Price or any part of it in the manner, on the dates and within the
time stipulated in this Agreement), the Deposit paid shall be absolutely forfeited to the Vendor who shall be at liberty if the
Vendor sees fit without being obliged to tender an assignment to the Purchaser to determine this Agreement by giving notice of
termination in writing to the Purchaser or the Purchaser’s Solicitors to such effect and the Vendor shall thereupon be entitled
to re-enter upon the Property and repossess the same and the Furniture (if any) if possession shall have been given to the Purchaser
free from any right or interest of the Purchaser therein.

 

		13.2	Upon determination of this Agreement, the Vendor may resell the Property and the Furniture (if
any), either as a whole or in lots, and either by public auction or by tender or by private contract, or partly by the one and
partly by the other of such methods, subject to such stipulations as to title or otherwise as the Vendor may think fit and any
increase in price on a resale shall belong to the Vendor. On a resale, any deficiency in price shall be made good and all expenses
attending such resale shall be borne by the Purchaser and such deficiency and expenses shall be recoverable by the Vendor as and
for liquidated damages. This clause shall not preclude or be deemed to preclude the Vendor from taking other steps or remedies
(including obtaining a decree for specific performance of this Agreement) to enforce the Vendor’s rights whether under this Agreement
or otherwise or prevent the Vendor from recovering, in addition to liquidated damages, damages representing interest paid or lost
by the Vendor by reason of the Purchaser’s failure.

 

		133	On the exercise of the Vendor’s right of determination pursuant to any provisions of this Agreement,
the Vendor shall have the right, if this Agreement shall have been registered at the Land Registry, to register at the Land Registry
an instrument signed by the Vendor alone evidencing such determination and to vacate the registration of this Agreement. On the
signing of the said instrument by the Vendor, the Purchaser shall be deemed to have been divested of any interest in the Property
and the Furniture (if any) under this Agreement. Upon registration of such an instrument in the Land Registry, a tenant, purchaser,
mortgagee or any other person dealing with the Vendor shall not be bound to see or enquire whether the Vendor was entitled to determine
this Agreement and so far as regards the safety and protection of such tenant, purchaser or mortgagee or any other person, this
Agreement shall be deemed to have been duly terminated and the remedy (if any) of the Purchaser shall be against the Vendor in
damages only.

 

		13.4	In the event of the Vendor failing to complete the sale in accordance with the terms of this Agreement,
all Deposits paid by the Purchaser to the Vendor pursuant to the terms of this Agreement shall be returned to the Purchaser but
without prejudice to the right of the Purchaser to recover from the Vendor damages (if any) which the Purchaser may sustain by
reason of the failure on the part of the Vendor to complete the sale and it shall not be necessary for the Purchaser to tender
an assignment to the Vendor for execution before taking proceedings to enforce specific performance of this Agreement or for damages
for breach of this Agreement.

 

    	 	- 12 -	 

     

    

  

		13.5	Nothing in this Agreement shall be so construed as to prevent either the Vendor or the Purchaser
from bringing an action and obtaining a decree for specific performance of this Agreement either in lieu of the aforesaid damages
or in addition to such damages as the party bringing such action may have sustained by reason of the breach by the other party
to this Agreement.

 

		14.	STAMP DUTY, REGISTRATION FEES AND COSTS

 

		14.1	The ad valorem stamp duty and registration fees payable on the prior agreement for sale (if any)
made between the same parties in respect of the Property, this Agreement, any chargeable agreement for sale within the meaning
of Section 29(A) of the Stamp Duty Ordinance in respect of the Property and the subsequent assignment made pursuant to this Agreement
shall be borne and paid by the Purchaser absolutely. In the event of the consideration stated in any of those documents not being
accepted by the Collector of Stamp Revenue as representing the true value of the Property, the excess stamp duty being charged
in accordance with his valuation of the Property shall also be borne and paid by the Purchaser and the Purchaser shall indemnify
and keep the Vendor fully indemnified in respect thereof. The provisions of this Clause shall survive Completion. The buyer’s stamp
duty, if any, payable in respect of this Agreement and the subsequent assignment made pursuant to this Agreement under the Stamp
Duty Ordinance shall be borne and paid by the Purchaser absolutely.

 

		14.2	The Purchaser shall not less than 30 days from the date of this Agreement, provide the Vendor with
evidence proving due payment of the ad valorem stamp duty and where applicable, the buyer’s stamp duty on this Agreement.

 

		14.3	Each party shall bear its own solicitors’ costs and disbursements of and incidental to the preparation,
approval, completion and registration of this Agreement and the subsequent assignment.

 

		14.4	If the Purchaser shall require the Vendor to execute more than one deed of assignment in respect
of the Property, the Purchaser shall on Completion pay the additional cost charged by the Vendor’s Solicitors for approving
the additional deed or deeds.

 

		14.5	Notwithstanding anything herein contained, it is hereby agreed by the parties that the costs for
preparing all certified copies of title deeds and documents for the purpose of proving title in accordance with Section 13 of the
CPO Ordinance shall be borne and paid by the Purchaser on Completion.

 

		14.6	The Purchaser shall upon Completion reimburse the Vendor for all costs for the plans of Workshop
A, if any, annexed to this Agreement and those to be annexed to the subsequent assignment of the Property.

 

		14.7	The Purchaser shall upon Completion reimburse the Vendor for the costs incurred by the Vendor in
the preparation and execution of the sub-DMC in an amount in proportion to the undivided shares of Workshop A bear to the total
number of undivided shares of the whole of the 19th Floor of the Building.

 

    	 	- 13 -	 

     

    

 

		15.	VENDOR’S SOLICITORS AGENCY

 

		15.1	The Vendor declares that Chiu & Partners are the Vendor’s agent for the purposes of receiving
all moneys payable to the Vendor pursuant to this Agreement, including the Deposit and any part of the Purchase Price. The Vendor
further authorizes Chiu & Partners to apply such amount of the Purchase Price as may be necessary in or towards redemption
of the Mortgage (if any) or other encumbrances of the Property.

 

		15.2	The Vendor further declares that subject to compliance by the Purchaser of the provisions for the
dates, times and manner of payment of the Purchase Price contained in this Agreement, the payment to Chiu & Partners as agent
of any Deposit, instalments and the balance of the Purchase Price shall be a full and sufficient discharge of the Purchaser’s obligations
under this Agreement in respect of that payment.

 

		15.3	The Vendor may revoke the authority of Chiu & Partners as agent and appoint another solicitor
as an agent in their place. No revocation of agency shall be valid unless it:

 

		(1)	is in writing addressed to the Purchaser;

 

		(2)	is delivered to the Purchaser care of the Purchaser’s Solicitors at least 7 clear days prior to Completion; and

 

		(3)	specifically identifies this Agreement.

 

		16.	IMPLIED CONDITIONS

 

		16.1	The conditions set out in Part A of the Second Schedule to the CPO Ordinance shall not apply to this Agreement.

 

		17.	TIME OF THE ESSENCE

 

		17.1	Time shall in every respect be of the essence of this
Agreement.

 

		18.	SPECIAL CONDITIONS

 

		18.1	The Special Conditions form part of this Agreement and shall prevail in the event of any inconsistency or conflict with the
other terms and conditions of this Agreement.

 

		19.	FULL AGREEMENT

 

		19.1	This Agreement set out the full agreement between the parties and supersedes any other commitments,
agreements, warranties or understandings, written or verbal, that the parties may have had with respect to the subject matter of
this Agreement. Without prejudice to the generality of the foregoing and the warranties made or given in this Agreement, no warranties
or representations, express or implied, of any kind other than those set out in this Agreement are or have been made or given by
the Vendor or by any person on the Vendor’s behalf, and if any such warranties or representations, express or implied, has been
made, they are withdrawn or deemed to have been withdrawn immediately before the signing of this Agreement.

 

    	 	- 14 -	 

     

    

		19.2	Any variation to this Agreement shall be binding only if it is recorded in a document signed by
the parties.

 

		20.	THIRD PARTY RIGHTS

 

		20.1	The parties do not intend any term of this Agreement to be enforceable pursuant to the Contracts
(Rights of Third Parties) Ordinance (Cap. 623 of the Laws of Hong Kong).

 

		21.	CONFIDENTIALITY

 

		21.1	Except as required by law, the Listing Rules or the Stock Exchange to which Listco is subject,
the relevant listing rules of Nasdaq to which Jerash Holdings is subject, neither party shall make any public announcement or issue
any circular or release or disclose any term of or information concerning this Agreement and the transactions herein referred to
(save disclosure to its professional advisers under a duty of confidentiality or its directors, secretary and shareholders, or
for giving effect to the provisions herein contained) without the prior written consent of the other party, such consent not to
be unreasonably withheld or delayed.

 

		22.	NOTICES

 

		22.1	Any notice, claim, demand, court process, document or other communication to be given under this
Agreement (collectively “communication” in this Clause 22):
	 	 	 
	 	 	(1) shall be in writing in the English language;
	 	 	 
	 	 	(2) may be
served or given to the addressee (or to the solicitors of the addressee if it is represented) either personally, or sent to the
address below:

 

		(a)	the address stated after its name in Schedule 1; or

 

		(b)	the last address notified in writing with specific reference to this Agreement by the addressee (or its solicitors) to the
addressor (or its solicitors); or

 

		(c)	the address of its process agent as stated in this Agreement; and

 

	 	 	(3) shall
be served by the following means and the addressee of a communication shall be deemed to have received the same within the time
stated adjacent to the relevant means of despatch:

 

	Means of despatch	 	Time of deemed receipt
	 	 	 
	Personal delivery	 	at time of delivery
	 	 	 
	Local mail or courier	 	24 hours after despatch
	 	 	 
	Facsimile	 	on despatch
	 	 	 
	Air courier	 	3 days after despatch
	 	 	 
	Airmail	 	5 days after despatch

 

    	 	- 15 -	 

     

    

 

		22.2	A communication served in accordance with Clause 22.1 shall be deemed to have been sufficiently
served and in proving service and/or receipt of a communication, it shall be sufficient to prove that such communication was, as
the case may be, left at the addressee’s address or that the envelope containing such communication was properly addressed and
posted or despatched to the addressee’s address or that the communication was properly transmitted by facsimile to the addressee.
A communication served by facsimile shall be deemed properly despatched on receipt of a satisfactory transmission report printed
out by the sending facsimile machine. Any communication given under this Agreement outside working hours between 9:30 a.m. to 5:30
p.m. on a Business Day shall be deemed not to have been given until the start of the next period of working hours on the next Business
Day.

 

		22.3	Nothing in this Clause 22 shall preclude the service of communication or the proof of such
service by any mode permitted by law.

 

		23.	GOVERNING LAW

 

		23.1	This Agreement is governed by and shall be construed in accordance with the laws of Hong Kong and
each of the parties hereby submit to the non-exclusive jurisdiction of the Hong Kong courts in connection herewith.

 

		23.2	The submission to the non-exclusive jurisdiction of the Hong Kong courts shall not limit the right
of any party to take any suit, action or proceeding against any of the other parties hereto in whatsoever jurisdictions shall to
it seem fit nor shall the taking of any such suit, action or proceeding in any one or more jurisdictions preclude the taking of
suit, action or proceeding in any other jurisdictions, whether concurrently or not.

 

AS WITNESS the hands of the parties the day and year
first above written.

 

    	 	- 16 -	 

     

    

 

SCHEDULE I

 

PART I: The Vendor

 

	Name	:	FORD GLORY INTERNATIONAL LIMITED
	Registered Office	:	19th Floor, Ford Glory Plaza, 37-39 Wing Hong Street, Cheung Sha Wan, Kowloon, Hong Kong
	Business Registration number	:	20356702
	Capacity	:	Beneficial owner

 

PART II: The Purchaser

 

	Name	:	TREASURE SUCCESS INTERNATIONAL LIMITED
	Registered Office	:	19th Floor, Ford Glory Plaza, 37-39 Wing Hong Street, Cheung Sha Wan, Kowloon, Hong Kong
	Business Registration number	:	66378944
	Capacity	:	Sole owner

 

    	 	- 17 -	 

     

    

 

SCHEDULE 2

 

The Property :-

 

		(1)	ALL THOSE 511 equal undivided parts or shares of and in ALL THOSE 1,038 equal undivided 30,000th
parts or shares of and in ALL THOSE pieces or parcels of ground registered in the Land Registry as The Remaining Portion of New
Kowloon Inland Lot No.2828, The Remaining Portion of Section A of New Kowloon Inland Lot No.2828 and The Remaining Portion of Subsection
2 of Section A of New Kowloon Inland Lot No.2828 (“Land”) And of and in the messuages, erections and building
thereon and now known as “FORD GLORY PLAZA”, Kowloon, Hong Kong (“the Building”) TOGETHER with the sole
and exclusive right and privilege to hold use occupy and enjoy ALL THAT WORKSHOP A on the 19TH FLOOR of the Building which is for
the purpose of identification as shown on the floor plan annexed to this Agreement and thereon coloured Pink and marked “Workshop
A”; and

 

		(2)	ALL THOSE 44 equal undivided 30,000th parts or shares of and in the Lands and of and in the Building
TOGETHER with the sole and exclusive right and privilege to hold use occupy and enjoy ALL THOSE CAR PARKING SPACES NOS.P21, P22,
P23 and P24 on the 2ND FLOOR of the Building.

 

    	 	- 18 -	 

     

    

 

CHEDULE 3

 

PART I: Purchase Price and Manner of Payment

 

Purchase Price: HK$63,000,000 and shall be
paid by the Purchaser to the Vendor in the following manner:-

 

	(1)	HK$6,300,000	being deposit (and in part payment of the Purchase Price upon Completion) is to be paid by the Purchaser to the Vendor upon signing of this Agreement; and
	 	 	 
	(2)	HK$56,700,000	being balance of the Purchase Price is to be paid by the Purchaser to the Vendor on the Completion Date by no later than 5:00 p.m..

 

PART II: The Completion Date

 

The seventh Business Day after fulfillment of all
the Conditions Precedent (or such other date as the parties may agree in writing).

 

SCHEDULE 4

 

The Mortgage:

 

None.

 

    	 	- 19 -	 

     

    

 

SCHEDULE 5

 

Matters required to be specified under Section 29B(5)
of the Stamp Duty Ordinance:-

 

	(a)	(1)	Name of the Vendor - see Part I of Schedule 1 
	 	 	Address of the Vendor - see Part I of Schedule 1
	 	(2)	Name of the Purchaser - see Part II of Schedule 1 
	 	 	Address of the Purchaser - see Part II of Schedule 1
	 	 	 
	(b)	(1)	Identification Number of the Vendor - see Part I of Schedule 1
	 	(2)	Identification Number of the Purchaser - see Part II of Schedule 1

 

		(c)	Description and location of the Property - see Part I
of the Schedule 2

 

		(d)	The Property comprises non-residential property within
the meaning of Section 29A(1) of the Stamp Duty Ordinance.

 

		(e)	Date of this Agreement - see Page 1

 

		(f)	The date of any preceding unwritten sale agreement or
agreement for sale made between the same parties on the same terms: none

 

		(g)	Agreed date for the conveyance on sale or assignment
of the Property (as the case may be) see Part II of Schedule 3.

 

		(h)	There is an agreed consideration for the conveyance on
sale or assignment that is to, or may, take place pursuant to this Agreement and the amount of the consideration is set out in
Part I of the Schedule 3.

 

		(i)	Amount or value of any other consideration which the
parties signing this Agreement know has been paid or given, or has been agreed to be paid or given, to any person for or in connection
with this Agreement or any conveyance on sale or agreement pursuant to this Agreement (excluding legal expenses or agent commission):
none

 

    	 	- 20 -	 

     

    

 

SCHEDULE 6

 

(“Special Conditions”)

 

		(1)	The sale and purchase of the Property is subject to the
Structures, if any.

 

		(2)	The Purchaser agrees to purchase the Property and proceed
to Completion subject to the Structures, if any and hereby waives all its rights in their entirety to make or otherwise raise
requisitions or objections on the title to the Property in respect of or in connection with the Structures, if any and that the
Vendor shall neither be under any obligation to take or effect any actions, rectification, removal, alteration, modification,
demolition and/or reinstatement in respect of any of the Structures in any circumstances nor has any liability to bear the related
costs and expenses in respect thereof, all of which obligations and liabilities shall be assumed and borne by the Purchaser solely
and absolutely.

 

		(3)	The Vendor reserves the right to revise the number of
undivided shares allocated to Workshop A prior to Completion upon advice by its architect in accordance with, among others, the
gross floor area of Workshop A.

 

    	 	- 21 -	 

     

    

 

The Vendor

 

	SIGNED by Mr. Choi Lin Hung	)	For and on behalf of Ford Glory International Limited

 

	for and on behalf of FORD GLORY	) 	 
	INTERNATIONAL LIMITED	)	/s/ Choi Lin Hung
	in the presence of/whose	)	 
	signature(s) is/are verified by :-	)	 

 

    	 	- 22 -	 

     

    

 

The Purchaser

 

	SIGNED by Mr. Ng Tsze Lun	)	For and on behalf of Treasure Success International Limited

 

	for and on behalf of TREASURE	)	 
	SUCCESS INTERNATIONAL LIMITED	)	/s/ Ng Tsze Lun
	in the presence of/whose	)	 
	 signature(s) is/are verified by :-	 	 

 

    	 	- 23 -	 

     

    

  

	RECEIVED on the day and year first above written of 	)	 
	 	 	 
	and from the Purchaser the sum of DOLLARS SIX 	)	 
	MILLION AND THREE HUNDRED THOUSAND 	)	 
	 	 	 
	Hong Kong Currency being the Deposit	)	HK$6,300,000
	 	 	 
	 	 	For and on behalf of the Vendor FORD GLORY
	 	 	INTERNATIONAL LIMITED
	 	 	 
	 	 	/s/ Choi Lin Hung
	 	 	Choi Lin Hung

 

    	 	- 24 -	 

     

    

 

 

     

     

    

 

19/F, FORD GLORY PLAZA, NO. 37-39 WING HONG STREET

AND 72 KING LAM STREET, CHEUNG SHA WAN, KOWLOON 

N.K.I.L. 2828 R.P., S.A.R.P., & S.A.S.S.2.R.P. 

 

ALLOCATION OF UNDIVIDED SHARES 

 

	UNIT	 	SALEABLE AREA 

(APPROXIMATE)	 	UNDIVIDED SHARES
	WORKSHOP ‘A’	 	365.593 SQ.M	 	511
	WORKSHOP ‘B’	 	99.061 SQ.M	 	139
	WORKSHOP ‘C’	 	96.159 SQ.M	 	134
	WORKSHOP ‘D’	 	100.652 SQ.M	 	141
	COMMON AREA	 	80.694 SQ.M	 	113
	TOTAL	 	742.159 SQ.M	 	1038

 

	 	FOR IDENTIFICATION ONLY
	 	 
	 	 
	 	LEE SIU MAN, ERVIN
	 	AUTHORIZED PERSON LIST 1

 REGISTERED ARCHITECTBADU
HOLDINGS, INC.

 

2019
STOCK INCENTIVE PLAN

 

1.
Purpose of Plan.

 

The
purpose of the Badu Holdings, Inc. 2019 Stock Incentive Plan (the “Plan”) is to advance the interests of Badu Holdings,
Inc. (the “Company”) and its stockholders by enabling the Company and its Subsidiaries to attract and retain qualified
individuals through opportunities for equity participation in the Company, and to reward those individuals who contribute to the
Company’s achievement of its economic objectives.

 

2.
Definitions.

 

The
following terms will have the meanings set forth below, unless the context clearly otherwise requires:

 

2.1
“Board” means the Company’s Board of Directors.

 

2.2
“Broker Exercise Notice” means a written notice pursuant to which a Participant, upon exercise of an Option,
irrevocably instructs a broker or dealer to sell a sufficient number of shares or loan a sufficient amount of money to pay all
or a portion of the exercise price of the Option and/or any related withholding tax obligations and remit such sums to the Company
and directs the Company to deliver stock certificates to be issued upon such exercise directly to such broker or dealer or their
nominee.

 

2.3
“Cause” means (i) dishonesty, fraud, misrepresentation, embezzlement or deliberate injury or attempted injury,
in each case related to the Company or any Subsidiary, (ii) any unlawful or criminal activity of a serious nature, (iii) any intentional
and deliberate breach of a duty or duties that, individually or in the aggregate, are material in relation to the Participant’s
overall duties, (iv) any material breach of any confidentiality or noncompete agreement entered into with the Company or any Subsidiary,
or (v) with respect to a particular Participant, any other act or omission that constitutes “cause” as may be defined
in any employment, consulting or similar agreement between such Participant and the Company or any Subsidiary.

 

2.4
“Change in Control” means an event described in Section 11.1 of the Plan.

 

2.5
“Code” means the Internal Revenue Code of 1986, as amended.

 

2.6
“Committee” means the group of individuals administering the Plan, as provided in Section 3 of the Plan.

 

2.7
“Common Stock” means the common stock of the Company, $0.001 par value per share, or the number and kind of
shares of stock or other securities into which such Common Stock may be changed in accordance with Section 4.3 of the Plan.

 

2.8
“Disability” means the disability of the Participant means the permanent and total disability of the Participant
within the meaning of Section 22(e)(3) of the Code.

 

    	 	 	 

    	 

    

 

2.9
“Effective Date” means January 11, 2019, but no Incentive Stock Option shall be exercised unless and until
the Plan has been approved by the stockholders of the Company, which approval shall be within twelve (12) months before or after
the date the Plan is adopted by the Board.

 

2.10
“Eligible Recipients” means all employees, officers and directors of the Company or any Subsidiary, and any
person who has a relationship with the Company or any Subsidiary.

 

2.11
“Exchange Act” means the Securities Exchange Act of 1934, as amended.

 

2.12
“Fair Market Value” means, with respect to the Common Stock, as of any date: (i) the mean between the reported
high and low sale prices of the Common Stock at the end of the regular trading session if the Common Stock is listed, admitted
to unlisted trading privileges, or reported on any national securities exchange or on the NASDAQ Global Select or Global Market
on such date (or, if no shares were traded on such day, as of the next preceding day on which there was such a trade); or (ii)
if the Common Stock is not so listed, admitted to unlisted trading privileges, or reported on any national exchange or on the
NASDAQ Global Select or Global Market, the closing bid price as of such date at the end of the regular trading session, as reported
by the Nasdaq Capital Market, OTC Bulletin Board, The OTC Market, or other comparable service; or (iii) if the Common Stock is
not so listed or reported, such price as the Committee determines in good faith in the exercise of its reasonable discretion.

 

2.13
“Incentive Award” means an Option, Restricted Stock Award or Performance Stock Award granted to an Eligible
Recipient pursuant to the Plan.

 

2.14
“Incentive Stock Option” means a right to purchase Common Stock granted to an Eligible Recipient pursuant to
Section 6 of the Plan that qualifies as an “incentive stock option” within the meaning of Section 422 of the Code.

 

2.15
“Non-Statutory Stock Option” means a right to purchase Common Stock granted to an Eligible Recipient pursuant
to Section 6 of the Plan that does not qualify as an Incentive Stock Option.

 

2.16
“Option” means an Incentive Stock Option or a Non-Statutory Stock Option.

 

2.17
“Participant” means an Eligible Recipient who receives one or more Incentive Awards under the Plan.

 

2.18
“Performance Criteria” means the performance criteria that may be used by the Committee in granting Performance
Stock Awards contingent upon achievement of such performance goals as the Committee may determine in its sole discretion. The
Committee may select one criterion or multiple criteria for measuring performance, and the measurement may be based upon Company,
Subsidiary or business unit performance, or the individual performance of the Eligible Recipient, either absolute or by relative
comparison to other companies, other Eligible Recipients or any other external measure of the selected criteria.

 

2.19
“Performance Stock Awards” means an award of Common Stock granted to an Eligible Recipient pursuant to Section
8 of the Plan and which may be subject to the future achievement of Performance Criteria or be free of any performance or vesting
conditions.

 

    	 	 	 

    	 

    

 

2.20
“Previously Acquired Shares” means shares of Common Stock that are already owned by the Participant or, with
respect to any Incentive Award, that are to be issued upon the grant, exercise or vesting of such Incentive Award.

 

2.21
“Restricted Stock Award” means an award of Common Stock granted to an Eligible Recipient pursuant to Section
7 of the Plan that is subject to the restrictions on transferability and the risk of forfeiture imposed by the provisions of such
Section 7.

 

2.22
“Retirement” means normal or approved early termination of employment or service.

 

2.23
“Securities Act” means the Securities Act of 1933, as amended.

 

2.24
“Subsidiary” means any entity that is directly or indirectly controlled by the Company or any entity in which
the Company has a significant equity interest, as determined by the Committee.

 

3.
Plan Administration.

 

3.1.
The Committee. The Plan will be administered by the Board or by a committee of the Board. So long as the Company has a
class of its equity securities registered under Section 12 of the Exchange Act, any committee administering the Plan will consist
solely of two or more members of the Board who are “non-employee directors” within the meaning of Rule 16b-3 under
the Exchange Act. Such a committee, if established, will act by majority approval of the members (unanimous approval with respect
to action by written consent), and a majority of the members of such a committee will constitute a quorum. As used in the Plan,
“Committee” will refer to the Board or to such a committee, if established. To the extent consistent with applicable
corporate law of the Company’s jurisdiction of incorporation, the Committee may delegate to any officers of the Company
the duties, power and authority of the Committee under the Plan pursuant to such conditions or limitations as the Committee may
establish; provided, however, that only the Committee may exercise such duties, power and authority with respect to Eligible Recipients
who are subject to Section 16 of the Exchange Act. The Committee may exercise its duties, power and authority under the Plan in
its sole and absolute discretion without the consent of any Participant or other party, unless the Plan specifically provides
otherwise. Each determination, interpretation or other action made or taken by the Committee pursuant to the provisions of the
Plan will be conclusive and binding for all purposes and on all persons, and no member of the Committee will be liable for any
action or determination made in good faith with respect to the Plan or any Incentive Award granted under the Plan.

 

3.2.
Authority of the Committee.

 

(a)
In accordance with and subject to the provisions of the Plan, the Committee will have the authority to determine all provisions
of Incentive Awards as the Committee may deem necessary or desirable and as consistent with the terms of the Plan, including,
without limitation, the following: (i) the Eligible Recipients to be selected as Participants; (ii) the nature and extent of the
Incentive Awards to be made to each Participant (including the number of shares of Common Stock to be subject to each Incentive
Award, any exercise price, the manner in which Incentive Awards will vest or become exercisable and whether Incentive Awards will
be granted in tandem with other Incentive Awards) and the form of written agreement, if any, evidencing such Incentive Award;
(iii) the time or times when Incentive Awards will be granted; (iv) the duration of each Incentive Award; and (v) the restrictions
and other conditions to which the payment or vesting of Incentive Awards may be subject. In addition, the Committee will have
the authority under the Plan in its sole discretion to pay the economic value of any Incentive Award in the form of cash, Common
Stock or any combination of both.

 

    	 	 	 

    	 

    

 

(b)
Subject to Section 3.2(d), below, the Committee will have the authority under the Plan to amend or modify the terms of any outstanding
Incentive Award in any manner, including, without limitation, the authority to modify the number of shares or other terms and
conditions of an Incentive Award, extend the term of an Incentive Award, accelerate the exercisability or vesting or otherwise
terminate any restrictions relating to an Incentive Award, accept the surrender of any outstanding Incentive Award or, to the
extent not previously exercised or vested, authorize the grant of new Incentive Awards in substitution for surrendered Incentive
Awards; provided, however that the amended or modified terms are permitted by the Plan as then in effect and that any Participant
adversely affected by such amended or modified terms has consented to such amendment or modification.

 

(c)
In the event of (i) any reorganization, merger, consolidation, recapitalization, liquidation, reclassification, stock dividend,
stock split, combination of shares, rights offering, extraordinary dividend or divestiture (including a spin-off) or any other
change in corporate structure or shares; (ii) any purchase, acquisition, sale, disposition or write-down of a significant amount
of assets or a significant business; (iii) any change in accounting principles or practices, tax laws or other such laws or provisions
affecting reported results; or (iv) any other similar change, in each case with respect to the Company or any other entity whose
performance is relevant to the grant or vesting of an Incentive Award, the Committee (or, if the Company is not the surviving
corporation in any such transaction, the board of directors of the surviving corporation) may, without the consent of any affected
Participant, amend or modify the vesting criteria (including Performance Criteria) of any outstanding Incentive Award that is
based in whole or in part on the financial performance of the Company (or any Subsidiary or division or other subunit thereof)
or such other entity so as equitably to reflect such event, with the desired result that the criteria for evaluating such financial
performance of the Company or such other entity will be substantially the same (in the sole discretion of the Committee or the
board of directors of the surviving corporation) following such event as prior to such event; provided, however, that the amended
or modified terms are permitted by the Plan as then in effect.

 

(d)
Notwithstanding any other provision of this Plan other than Section 4.3, the Committee may not, without prior approval of the
Company’s stockholders, seek to effect any re-pricing of any previously granted, “underwater” Option by: (i)
amending or modifying the terms of the Option to lower the exercise price; (ii) canceling the underwater Option and granting either
(A) replacement Options having a lower exercise price; (B) Restricted Stock Awards; or (C) Performance Stock Awards in exchange;
or (iii) repurchasing the underwater Options and granting new Incentive Awards under this Plan. For purposes of this Section 3.2(d)
and Section 11.4, an Option will be deemed to be “underwater” at any time when the Fair Market Value of the Common
Stock is less than the exercise price of the Option.

 

4.
Shares Available for Issuance.

 

4.1.
Maximum Number of Shares Available; Certain Restrictions on Awards. Subject to adjustment as provided in Section 4.3 of
the Plan, the maximum number of shares of Common Stock that will be available for issuance under the Plan will be 30,000,000.
The shares available for issuance under the Plan may, at the election of the Committee, be either treasury shares or shares authorized
but unissued, and, if treasury shares are used, all references in the Plan to the issuance of shares will, for corporate law purposes,
be deemed to mean the transfer of shares from treasury.

 

    	 	 	 

    	 

    

 

4.2.
Accounting for Incentive Awards. Shares of Common Stock that are issued under the Plan or that are subject to outstanding
Incentive Awards will be applied to reduce the maximum number of shares of Common Stock remaining available for issuance under
the Plan; provided, however, that shares subject to an Incentive Award that lapses, expires, is forfeited (including issued shares
forfeited under a Restricted Stock Award) or for any reason is terminated unexercised or unvested or is settled or paid in cash
or any form other than shares of Common Stock will automatically again become available for issuance under the Plan. To the extent
that the exercise price of any Option and/or associated tax withholding obligations are paid by tender or attestation as to ownership
of Previously Acquired Shares, or to the extent that such tax withholding obligations are satisfied by withholding of shares otherwise
issuable upon exercise of the Option, only the number of shares of Common Stock issued net of the number of shares tendered, attested
to or withheld will be applied to reduce the maximum number of shares of Common Stock remaining available for issuance under the
Plan.

 

4.3.
Adjustments to Shares and Incentive Awards. In the event of any reorganization, merger, consolidation, recapitalization,
liquidation, reclassification, stock dividend, stock split, combination of shares or any other change in the corporate structure
or shares of the Company, the Committee (or, if the Company is not the surviving corporation in any such transaction, the board
of directors of the surviving corporation) will make appropriate adjustment (which determination will be conclusive) as to the
number and kind of securities or other property (including cash) available for issuance or payment under the Plan and, in order
to prevent dilution or enlargement of the rights of Participants, the number and kind of securities or other property (including
cash) subject to outstanding Incentive Awards and the exercise price of outstanding Options.

 

5.
Participation.

 

Participants
in the Plan will be those Eligible Recipients who, in the judgment of the Committee, have contributed, are contributing or are
expected to contribute to the achievement of economic objectives of the Company or its Subsidiaries. Eligible Recipients may be
granted from time to time one or more Incentive Awards, singly or in combination or in tandem with other Incentive Awards, as
may be determined by the Committee in its sole discretion. Incentive Awards will be deemed to be granted as of the date specified
in the grant resolution of the Committee, which date will be the date of any related agreement with the Participant.

 

6.
Options.

 

6.1.
Grant. An Eligible Recipient may be granted one or more Options under the Plan, and such Options will be subject to such
terms and conditions, consistent with the other provisions of the Plan, as may be determined by the Committee in its sole discretion.
The Committee may designate whether an Option is to be considered an Incentive Stock Option or a Non-Statutory Stock Option. To
the extent that any Incentive Stock Option granted under the Plan ceases for any reason to qualify as an “incentive stock
option” for purposes of Section 422 of the Code, such Incentive Stock Option will continue to be outstanding for purposes
of the Plan but will thereafter be deemed to be a Non-Statutory Stock Option.

 

6.2.
Exercise Price. The per share price to be paid by a Participant upon exercise of an Option will be determined by the Committee
in its discretion at the time of the Option grant; provided, however, that such price will not be less than 100% of the Fair Market
Value of one share of Common Stock on the date of grant with respect to any Incentive Stock Option (110% of the Fair Market Value
with respect to an Incentive Stock Option if, at the time such Incentive Stock Option is granted, the Participant owns, directly
or indirectly, more than 10% of the total combined voting power of all classes of stock of the Company or any parent or subsidiary
corporation of the Company).

 

    	 	 	 

    	 

    

 

6.3.
Exercisability and Duration. An Option will become exercisable at such times and in such installments and upon such terms
and conditions as may be determined by the Committee in its sole discretion at the time of grant (including without limitation
(i) the achievement of one or more of the Performance Criteria and/or (ii) that the Participant remain in the continuous employ
or service of the Company or a Subsidiary for a certain period); provided, however, that if the Committee does not specify the
expiration date of the Option, the expiration date shall be 10 years from the date on which the Option was granted. In no case
may an Option may be exercisable after 10 years from its date of grant (five years from its date of grant in the case of an Incentive
Stock Option if, at the time the Incentive Stock Option is granted, the Participant owns, directly or indirectly, more than 10%
of the total combined voting power of all classes of stock of the Company or any parent or subsidiary corporation of the Company).

 

6.4.
Payment of Exercise Price. The total purchase price of the shares to be purchased upon exercise of an Option will be paid
entirely in cash (including check, bank draft or money order); provided, however, that the Committee, in its sole discretion and
upon terms and conditions established by the Committee, may allow such payments to be made, in whole or in part, by tender of
a Broker Exercise Notice, by tender, or attestation as to ownership, of Previously Acquired Shares that have been held for the
period of time necessary to avoid a charge to the Company’s earnings for financial reporting purposes and that are otherwise
acceptable to the Committee, or by a combination of such methods. For purposes of such payment, Previously Acquired Shares tendered
or covered by an attestation will be valued at their Fair Market Value on the exercise date.

 

6.5.
Manner of Exercise. An Option may be exercised by a Participant in whole or in part from time to time, subject to the conditions
contained in the Plan and in the agreement evidencing such Option, by delivery in person, by facsimile or electronic transmission
or through the mail of written notice of exercise to the Company at its legal department and by paying in full the total exercise
price for the shares of Common Stock to be purchased in accordance with Section 6.4 of the Plan.

 

7.
Restricted Stock Awards.

 

7.1.
Grant. An Eligible Recipient may be granted one or more Restricted Stock Awards under the Plan, and such Restricted Stock
Awards will be subject to such terms and conditions, consistent with the other provisions of the Plan, as may be determined by
the Committee in its sole discretion. The Committee may impose such restrictions or conditions, not inconsistent with the provisions
of the Plan, to the vesting of such Restricted Stock Awards as it deems appropriate, including, without limitation, (i) the achievement
of one or more of the Performance Criteria and/or (ii) that the Participant remain in the continuous employ or service of the
Company or a Subsidiary for a certain period.

 

7.2.
Rights as a Stockholder; Transferability. Except as provided in Sections 7.1, 7.3, 7.4 and 12.3 of the Plan, a Participant
will have all voting, dividend, liquidation and other rights with respect to shares of Common Stock issued to the Participant
as a Restricted Stock Award under this Section 7 upon the Participant becoming the holder of record of such shares as if such
Participant were a holder of record of shares of unrestricted Common Stock.

 

7.3.
Dividends and Distributions. Unless the Committee determines otherwise in its sole discretion (either in the agreement
evidencing the Restricted Stock Award at the time of grant or at any time after the grant of the Restricted Stock Award), any
dividends or distributions (other than regular quarterly cash dividends) paid with respect to shares of Common Stock subject to
the unvested portion of a Restricted Stock Award will be subject to the same restrictions as the shares to which such dividends
or distributions relate. The Committee will determine in its sole discretion whether any interest will be paid on such dividends
or distributions.

 

7.4.
Enforcement of Restrictions. To enforce the restrictions referred to in this Section 7, the Committee may place a legend
on the stock certificates referring to such restrictions and may require the Participant, until the restrictions have lapsed,
to keep the stock certificates, together with duly endorsed stock powers, in the custody of the Company or its transfer agent,
or to maintain evidence of stock ownership, together with duly endorsed stock powers, in a certificateless book-entry stock account
with the Company’s transfer agent.

 

    	 	 	 

    	 

    

 

8.
Performance Stock Awards.

 

8.1.
An Eligible Recipient may be granted one or more Performance Stock Awards under the Plan, and the issuance of shares of Common
Stock pursuant to such Performance Stock Awards will be subject to such terms and conditions, if any, consistent with the other
provisions of the Plan, as may be determined by the Committee in its sole discretion, including, but not limited to, the achievement
of one or more of the Performance Criteria.

 

8.2.
Restrictions on Transfers. The right to receive shares of Performance Stock Awards on a deferred basis may not be sold,
assigned, transferred, pledged or otherwise encumbered, other than by will or the laws of descent and distribution.

 

9.
Effect of Termination of Employment or Other Service.

 

9.1.
Termination Due to Death or Disability. In the event a Participant’s employment or other service with the Company
and all Subsidiaries is terminated by reason of death or Disability:

 

(a)
All outstanding Options then held by the Participant will, to the extent exercisable as of such termination, remain exercisable
for a period of six (6) months after such termination (but in no event after the expiration date of any such Option); and

 

(b)
All Restricted Stock Awards then held by the Participant that have not vested as of such termination will be terminated and forfeited;
and

 

(c)
All outstanding Performance Stock Awards then held by the Participant that have not vested as of such termination will be terminated
and forfeited.

 

9.2.
Termination Due to Retirement. Subject to Section 9.5 of the Plan, in the event a Participant’s employment or other
service with the Company and all Subsidiaries is terminated by reason of Retirement:

 

(a)
All outstanding Options then held by the Participant will, to the extent exercisable as of such termination, remain exercisable
in full for a period of three (3) months after such termination (but in no event after the expiration date of any such Option).
Options not exercisable as of such Retirement will be forfeited and terminate; and

 

(b)
All Restricted Stock Awards then held by the Participant that have not vested as of such termination will be terminated and forfeited;
and

 

(c)
All outstanding Performance Stock Awards then held by the Participant that have not vested as of such termination will be terminated
and forfeited.

 

    	 	 	 

    	 

    

 

9.3.
Termination for Reasons Other than Death, Disability or Retirement. Subject to Section 9.5 of the Plan, in the event a
Participant’s employment or other service is terminated with the Company and all Subsidiaries for any reason other than
death, Disability or Retirement, or a Participant is in the employ of a Subsidiary and the Subsidiary ceases to be a Subsidiary
of the Company (unless the Participant continues in the employ of the Company or another Subsidiary):

 

(a)
All outstanding Options then held by the Participant will, to the extent exercisable as of such termination, remain exercisable
in full for a period of 90 days after such termination (but in no event after the expiration date of any such Option). Options
not exercisable as of such termination will be forfeited and terminate; and

 

(b)
All Restricted Stock Awards then held by the Participant that have not vested as of such termination will be terminated and forfeited;
and

 

(c)
All outstanding Performance Stock Awards then held by the Participant that have not vested as of such termination will be terminated
and forfeited.

 

9.4.
Modification of Rights Upon Termination. Notwithstanding the other provisions of this Section 9, the Committee may, in
its sole discretion (which may be exercised in connection with the grant or after the date of grant, including following such
termination), determine that upon a Participant’s termination of employment or other service with the Company and all Subsidiaries,
any Options (or any part thereof) then held by such Participant may become or continue to become exercisable and/or remain exercisable
following such termination of employment or service, and Restricted Stock Awards and Performance Stock Awards then held by such
Participant may vest and/or continue to vest or become free of restrictions and conditions to issuance, as the case may be, following
such termination of employment or service, in each case in the manner determined by the Committee.

 

9.5.
Effects of Actions Constituting Cause. Notwithstanding anything in the Plan to the contrary, in the event that a Participant
is determined by the Committee, acting in its sole discretion, to have committed any action which would constitute Cause as defined
in Section 2.3, irrespective of whether such action or the Committee’s determination occurs before or after termination
of such Participant’s employment or service with the Company or any Subsidiary, all rights of the Participant under the
Plan and any agreements evidencing an Incentive Award then held by the Participant shall terminate and be forfeited without notice
of any kind. The Company may defer the exercise of any Option or the vesting of any Restricted Stock Award for a period of up
to ninety (90) days in order for the Committee to make any determination as to the existence of Cause.

 

9.6.
Determination of Termination of Employment or Other Service. Unless the Committee otherwise determines in its sole discretion,
a Participant’s employment or other service will, for purposes of the Plan, be deemed to have terminated on the date recorded
on the personnel or other records of the Company or the Subsidiary for which the Participant provides employment or service, as
determined by the Committee in its sole discretion based upon such records.

 

10.
Payment of Withholding Taxes.

 

10.1.
General Rules. The Company is entitled to (a) withhold and deduct from future wages of the Participant (or from other amounts
that may be due and owing to the Participant from the Company or a Subsidiary), or make other arrangements for the collection
of, all legally required amounts necessary to satisfy any and all federal, foreign, state and local withholding and employment-related
tax requirements attributable to an Incentive Award, including, without limitation, the grant, exercise or vesting of, or payment
of dividends with respect to, an Incentive Award or a disqualifying disposition of stock received upon exercise of an Incentive
Stock Option, or (b) require the Participant promptly to remit the amount of such withholding to the Company before taking any
action, including issuing any shares of Common Stock, with respect to an Incentive Award.

 

    	 	 	 

    	 

    

 

10.2.
Special Rules. The Committee may, in its sole discretion and upon terms and conditions established by the Committee, permit
or require a Participant to satisfy, in whole or in part, any withholding or employment-related tax obligation described in Section
10.1 of the Plan by electing to tender, or by attestation as to ownership of, Previously Acquired Shares that have been held for
the period of time necessary to avoid a charge to the Company’s earnings for financial reporting purposes and that are otherwise
acceptable to the Committee, by delivery of a Broker Exercise Notice or a combination of such methods. For purposes of satisfying
a Participant’s withholding or employment-related tax obligation, Previously Acquired Shares tendered or covered by an attestation
will be valued at their Fair Market Value.

 

11.
Change in Control.

 

11.1.
A “Change in Control” shall be deemed to have occurred if the event set forth in any one of the following paragraphs
has occurred:

 

(a)
the sale, lease, exchange or other transfer, directly or indirectly, of substantially all of the assets of the Company (in one
transaction or in a series of related transactions) to any Successor;

 

(b)
the approval by the stockholders of the Company of any plan or proposal for the liquidation or dissolution of the Company;

 

(c)
any Successor (as defined in Section 11.2 below), other than a Bona Fide Underwriter (as defined in Section 11.2 below), becomes
after the effective date of the Plan the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly
or indirectly, of (i) 25% or more, but not 50% or more, of the combined voting power of the Company’s outstanding securities
ordinarily having the right to vote at elections of directors, unless the transaction resulting in such ownership has been approved
in advance by the Continuity Directors (as defined in Section 11.2 below), or (ii) more than 50% of the combined voting power
of the Company’s outstanding securities ordinarily having the right to vote at elections of directors (regardless of any
approval by the Continuity Directors);

 

(d)
a merger or consolidation to which the Company is a party if the stockholders of the Company immediately prior to effective date
of such merger or consolidation have “beneficial ownership” (as defined in Rule 13d-3 under the Exchange Act), immediately
following the effective date of such merger or consolidation, of securities of the surviving corporation representing (i) 50%
or more, but not more than 80%, of the combined voting power of the surviving corporation’s then outstanding securities
ordinarily having the right to vote at elections of directors, unless such merger or consolidation has been approved in advance
by the Continuity Directors, or (ii) less than 50% of the combined voting power of the surviving corporation’s then outstanding
securities ordinarily having the right to vote at elections of directors (regardless of any approval by the Continuity Directors);
or

 

(e)
the Continuity Directors cease for any reason to constitute at least 50% or more of the Board.

 

    	 	 	 

    	 

    

 

11.2.
Change in Control Definitions. For purposes of this Section 11:

 

(a)
“Continuity Directors” of the Company will mean any individuals who are members of the Board on the effective
date of the Plan and any individual who subsequently becomes a member of the Board whose election, or nomination for election
by the Company’s stockholders, was approved by a vote of at least a majority of the Continuity Directors (either by specific
vote or by approval of the Company’s proxy statement in which such individual is named as a nominee for director without
objection to such nomination).

 

(b)
“Bona Fide Underwriter” means an entity engaged in business as an underwriter of securities that acquires securities
of the Company through such entity’s participation in good faith in a firm commitment underwriting until the expiration
of 40 days after the date of such acquisition.

 

(c)
“Successor” means any individual, corporation, partnership, group, association or other “person,”
as such term is used in Section 13(d) or Section 14(d) of the Exchange Act, other than the Company, any “affiliate”
(as defined below) or any benefit plan(s) sponsored by the Company or any affiliate that succeeds to, or has the practical ability
to control (either immediately or solely with the passage of time), the Company’s business directly, by merger, consolidation
or other form of business combination, or indirectly, by purchase of the Company’s outstanding securities ordinarily having
the right to vote at the election of directors or all or substantially all of its assets or otherwise. For this purpose, an “affiliate”
is (i) any corporation at least a majority of whose outstanding securities ordinarily having the right to vote at elections of
directors is owned directly or indirectly by the Company; (ii) any other form of business entity in which the Company, by virtue
of a direct or indirect ownership interest, has the right to elect a majority of the members of such entity’s governing
body or (iii) any entity that at the time of the approval of this Plan owns in excess of 10% of the Company’s common stock
and its affilates.

 

11.3.
Acceleration of Vesting. Without limiting the authority of the Committee under Sections 3.2 and 4.3 of the Plan, if a Change
in Control of the Company occurs, then, if approved by the Committee in its sole discretion either in an agreement evidencing
an Incentive Award at the time of grant or at any time after the grant of an Incentive Award: (a) all Options that have been outstanding
for at least six months will become immediately exercisable in full and will remain exercisable in accordance with their terms;
(b) all Restricted Stock Awards that have been outstanding for at least six months will become immediately fully vested and non-forfeitable;
and (c) any conditions to the issuance of shares of Common Stock pursuant to Performance Stock Awards that have been outstanding
for at least six months will lapse.

 

11.4.
Cash Payment. If a Change in Control of the Company occurs, then the Committee, if approved by the Committee in its sole
discretion either in an agreement evidencing an Incentive Award at the time of grant or at any time after the grant of an Incentive
Award, and without the consent of any Participant affected thereby, may determine that:

 

(a)
Some or all Participants holding outstanding Options will receive, with respect to some or all of the shares of Common Stock subject
to such Options (“Option Shares”), either (i) as of the effective date of any such Change in Control, cash in an amount
equal to the excess of the Fair Market Value of such Option Shares on the last business day prior to the effective date of such
Change in Control over the exercise price per share of such Option Shares, (ii) immediately prior to such Change of Control, a
number of shares of Common Stock having an aggregate Fair Market Value equal to the excess of the Fair Market Value of the Option
Shares as of the last business day prior to the effective date of such Change in Control over the exercise price per share of
such Option Shares; or (iii) any combination of cash or shares of Common Stock with the amount of each component to be determined
by the Committee not inconsistent with the foregoing clauses (i) and (ii), as proportionally adjusted; and

 

    	 	 	 

    	 

    

 

(b)
any Options which, as of the effective date of any such Change in Control, are “underwater” (as defined in Section
3.2(d)) shall terminate as of the effective date of any such Change in Control; and

 

(c)
some or all Participants holding Performance Stock Awards will receive, with respect to some or all of the shares of Common Stock
subject to such Performance Stock Awards that remain subject to issuance based upon the future achievement of Performance Criteria
as of the effective date of any such Change in Control of the Company, cash in an amount equal the Fair Market Value of such shares
immediately prior to the effective date of such Change in Control.

 

11.5.
Limitation on Change in Control Payments. Notwithstanding anything in Section 11.3 or 11.4 of the Plan to the contrary,
if, with respect to a Participant, the acceleration of the exercisability of an Option as provided in Section 11.3 or the payment
of cash or shares of Common Stock in exchange for all or part of an Option as provided in Section 11.4 (which acceleration or
payment could be deemed a “payment” within the meaning of Section 280G(b)(2) of the Code), together with any other
“payments” that such Participant has the right to receive from the Company or any corporation that is a member of
an “affiliated group” (as defined in Section 1504(a) of the Code without regard to Section 1504(b) of the Code) of
which the Company is a member, would constitute a “parachute payment” (as defined in Section 280G(b)(2) of the Code),
then the “payments” to such Participant pursuant to Section 11.3 or 11.4 of the Plan will be reduced to the largest
amount as will result in no portion of such “payments” being subject to the excise tax imposed by Section 4999 of
the Code; provided, however, that if a Participant is subject to a separate agreement with the Company or a Subsidiary which specifically
provides that payments attributable to one or more forms of employee stock incentives or to payments made in lieu of employee
stock incentives will not reduce any other payments under such agreement, even if it would constitute an excess parachute payment,
or provides that the Participant will have the discretion to determine which payments will be reduced in order to avoid an excess
parachute payment, then the limitations of this Section 11.4 will, to that extent, not apply.

 

12.
Rights of Eligible Recipients and Participants; Transferability.

 

12.1.
Employment or Service. Nothing in the Plan will interfere with or limit in any way the right of the Company or any Subsidiary
to terminate the employment or service of any Eligible Recipient or Participant at any time, nor confer upon any Eligible Recipient
or Participant any right to continue in the employ or service of the Company or any Subsidiary.

 

12.2.
Rights as a Stockholder. As a holder of Incentive Awards (other than Restricted Stock Awards), a Participant will have
no rights as a stockholder unless and until such Incentive Awards are exercised for, or paid in the form of, shares of Common
Stock and the Participant becomes the holder of record of such shares. Except as otherwise provided in the Plan, no adjustment
will be made for dividends or distributions with respect to such Incentive Awards as to which there is a record date preceding
the date the Participant becomes the holder of record of such shares, except as the Committee may determine in its discretion.

 

12.3.
Restrictions on Transfer.

 

(a)
Except pursuant to testamentary will or the laws of descent and distribution or as otherwise expressly permitted by subsections
(b) and (c) below, no right or interest of any Participant in an Incentive Award prior to the exercise (in the case of Options)
or vesting (in the case of Restricted Stock Awards) of such Incentive Award will be assignable or transferable, or subjected to
any lien, during the lifetime of the Participant, either voluntarily or involuntarily, directly or indirectly, by operation of
law or otherwise.

 

    	 	 	 

    	 

    

 

(b)
A Participant will be entitled to designate a beneficiary to receive an Incentive Award upon such Participant’s death, and
in the event of such Participant’s death, payment of any amounts due under the Plan will be made to, and exercise of any
Options (to the extent permitted pursuant to Section 9 of the Plan) may be made by, such beneficiary. If a deceased Participant
has failed to designate a beneficiary, or if a beneficiary designated by the Participant fails to survive the Participant, payment
of any amounts due under the Plan will be made to, and exercise of any Options (to the extent permitted pursuant to Section 9
of the Plan) may be made by, the Participant’s legal representatives, heirs and legatees. If a deceased Participant has
designated a beneficiary and such beneficiary survives the Participant but dies before complete payment of all amounts due under
the Plan or exercise of all exercisable Options, then such payments will be made to, and the exercise of such Options may be made
by, the legal representatives, heirs and legatees of the beneficiary.

 

(c)
Upon a Participant’s request, the Committee may, in its sole discretion, permit a transfer of all or a portion of a Non-Statutory
Stock Option, other than for value, to such Participant’s child, stepchild, grandchild, parent, stepparent, grandparent,
spouse, former spouse, sibling, niece, nephew, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, or sister-in-law,
any person sharing such Participant’s household (other than a tenant or employee), a trust in which any of the foregoing
have more than fifty percent of the beneficial interests, a foundation in which any of the foregoing (or the Participant) control
the management of assets, and any other entity in which these persons (or the Participant) own more than fifty percent of the
voting interests. Any permitted transferee will remain subject to all the terms and conditions applicable to the Participant prior
to the transfer. A permitted transfer may be conditioned upon such requirements as the Committee may, in its sole discretion,
determine, including, but not limited to execution and/or delivery of appropriate acknowledgements, opinion of counsel, or other
documents by the transferee.

 

12.4.
Non-Exclusivity of the Plan. Nothing contained in the Plan is intended to modify or rescind any previously approved compensation
plans or programs of the Company or create any limitations on the power or authority of the Board to adopt such additional or
other compensation arrangements as the Board may deem necessary or desirable.

 

13.
Securities Law and Other Restrictions.

 

Notwithstanding
any other provision of the Plan or any agreements entered into pursuant to the Plan, the Company will not be required to issue
any shares of Common Stock under this Plan, and a Participant may not sell, assign, transfer or otherwise dispose of shares of
Common Stock issued pursuant to Incentive Awards granted under the Plan, unless (a) there is in effect with respect to such shares
a registration statement under the Securities Act and any applicable securities laws of a state or foreign jurisdiction or an
exemption from such registration under the Securities Act and applicable state or foreign securities laws, and (b) there has been
obtained any other consent, approval or permit from any other U.S. or foreign regulatory body which the Committee, in its sole
discretion, deems necessary or advisable. The Company may condition such issuance, sale or transfer upon the receipt of any representations
or agreements from the parties involved, and the placement of any legends on certificates representing shares of Common Stock,
as may be deemed necessary or advisable by the Company in order to comply with such securities law or other restrictions.

 

    	 	 	 

    	 

    

 

14.
Plan Amendment, Modification and Termination.

 

The
Board may suspend or terminate the Plan or any portion thereof at any time, and may amend the Plan from time to time in such respects
as the Board may deem advisable in order that Incentive Awards under the Plan will conform to any change in applicable laws or
regulations or in any other respect the Board may deem to be in the best interests of the Company; provided, however, that no
such amendments to the Plan will be effective without approval of the Company’s stockholders if: (i) stockholder approval
of the amendment is then required pursuant to Section 422 of the Code or the rules of any stock exchange or the NASDAQ Global
Select, Global or Capital Market or similar regulatory body; or (ii) such amendment seeks to modify Section 3.2(d) hereof. No
termination, suspension or amendment of the Plan may adversely affect any outstanding Incentive Award without the consent of the
affected Participant; provided, however, that this sentence will not impair the right of the Committee to take whatever action
it deems appropriate under Sections 3.2(c), 4.3 and 11 of the Plan.

 

15.
Effective Date and Duration of the Plan.

 

The
Plan is effective as of the Effective Date. The Plan will terminate at midnight on January 11, 2029, and may be terminated prior
to such time by Board action. No Incentive Award will be granted after termination of the Plan. Incentive Awards outstanding upon
termination of the Plan may continue to be exercised, or become free of restrictions, according to their terms.

 

16.
Miscellaneous.

 

16.1.
Governing Law. Except to the extent expressly provided herein or in connection with other matters of corporate governance
and authority (all of which shall be governed by the laws of the Company’s jurisdiction of incorporation), the validity,
construction, interpretation, administration and effect of the Plan and any rules, regulations and actions relating to the Plan
will be governed by and construed exclusively in accordance with the laws of the State of Nevada notwithstanding the conflicts
of laws principles of any jurisdictions.

 

16.2.
Successors and Assigns. The Plan will be binding upon and inure to the benefit of the successors and permitted assigns
of the Company and the Participants.

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