Document:

Exhibit 10.1

 

Amendment to 2018 Equity Incentive Plan,
dated August 15, 2018

 

The Wize Pharma, Inc. 2018 Equity Incentive Plan (the “Plan”)
is hereby amended as follows:

 

Section 6.1 is hereby amended and restated to read as follows:

 

“6.1 Subject to the provisions
of Section 11, the maximum aggregate number of Shares that may be issued under this Plan is 2,500,000 Shares. Such number of
Shares will be increased on the first day of each Fiscal Year beginning with the 2019 Fiscal Year, by an amount equal to the
lower of (i) 1,000,000 Shares, or (ii) 5% of the outstanding Shares on the last day of the immediately preceding Fiscal Year.
Such number of Shares may be increased as determined by the Board, and to the extent required by Applicable Law, by the
stockholders of the Company.”

 

Section 4(d) of Appendix B to the Plan is hereby amended and
restated to read as follows:

 

“Maximum amount. Subject
to the provision of Section 11 of the Plan, to the extent consistent with Section 422 of the Code, not more than an aggregate
of 2,500,000 Shares may be issued as ISOs under the Plan, plus to the extent allowable under Section 422 of the Code, any Shares
subject to ISOs that are forfeited. Such number of Shares will be increased on the first day of each Fiscal Year beginning with
the 2019 Fiscal Year, by an amount equal to the lower of (i) 1,000,000 Shares, or (ii) 5% of the outstanding Shares on the last
day of the immediately preceding Fiscal Year. Such number of Shares may be increased as determined by the Board, and to the extent
required by Applicable Law, by the stockholders of the Company.”

 

All other terms and conditions of the Plan not otherwise modified
hereby shall remain in full force and effect.EXHIBIT 10.1

 

 

LSI INDUSTRIES INC.

NAMED EXECUTIVE OFFICER

FY2019 SHORT TERM INCENTIVE PLAN

Document date: August 15, 2018

LSI INDUSTRIES INC.

NAMED EXECUTIVE OFFICER

FY2019 SHORT TERM INCENTIVE PLAN

August 15, 2018

The Fiscal Year 2019 Short Term Incentive Plan (FY19 STIP) for Named Executive Officers (NEOs) is designed to motivate the NEOs to achieve the Company's FY19 operating plan and its net sales and operating income objectives. The FY19 STIP has been approved by the Compensation Committee of the Board of Directors and provides for the payment of cash incentive awards if the stated FY19 operating plan objectives are achieved.  There are three elements of the STIP.

	
1.

	
Bonus Potential determines the percentage incentive award payout to the NEOs based on the achievement of the FY19 operating plan objectives.

 

	 	 	
Threshold Plan Achievement

	
Target 100% Plan Achievement

	
Maximum 110% Plan Achievement

	
B6

	
CEO

	
50.0%

	
100.0%

	
200.0%

	
B5A

	
CFO & CCO

	
25.0%

	
50.0%

	
100.0%

	
B5

	
Other NEOs

	
20.0%

	
40.0%

	
80.0%

	
2.

	
Performance Mix determines the bonus weighting assigned to the performance of the Company and / or to the performance of a specific business segment.  The FY19 STIP assigns a 100% weighting factor to Company performance for the NEOs.

	
3.

	
Metrics determine the performance objectives and the percentage weighting assigned to each performance metric.  The FY19 STIP maintains the net sales objective (50% weighting) and an operating income objective (50% weighting).

	
Metrics %

	
FY 2018

	
FY 2019

	
Sales

	
50%

	
50%

	
Operating Income

	
50%

	
50%

	
Total

	
100%

	
100%

The payment of any FY19 STIP incentive award is conditioned on achievement of the operating income threshold which for purposes of the FY19 STIP is $9,612,000.

The following example calculation is provided for illustrative purposes only.  It shows the incentive award calculation for a category B5 NEO.

The following rules govern the FY19 STIP:

	
A.

	
The FY19 STIP will take into account the Company's consolidated results. The use of consolidated results as a determinant of the FY19 STIP incentive award provides motivation for each NEO to work for the success of the entire corporate enterprise.

	
B.

	
The Compensation Committee may make modifications to the calculated incentive award to decrease or increase an incentive award for special objectives, achievements and other factors or circumstances.

	
C.

	
The determination of the achievement of the Company's net sales and operating income objectives will be calculated based upon actual reported FY19 results and may be adjusted for certain unusual or non-recurring items as approved by the Compensation Committee.  There will be a straight line interpolation of actual achievement compared to the FY19 business objectives when determining the actual incentive payment percentage.

	
D.

	
FY19 STIP participants must be employed by the Company on the date when incentive awards are paid related to FY19.  Any NEO who terminates employment or whose employment is terminated on or before the incentive payment date is not eligible for an incentive payment.

	
E.

	
Any type of lengthy leave of absence may result in an adjustment of the calculated incentive award.  A leave of absence includes time away from work for reasons of short term disability, FMLA leave, military leave, or other leave of absence.

	
F.

	
If an NEO retires during the fiscal year at normal retirement age or under a Company approved plan of retirement, the Compensation Committee may consider payment of a pro-rated incentive award based upon the actual amount of base salary received during the fiscal year prior to the date of retirement.

	
G.

	
If an NEO becomes disabled (as defined by Social Security) or dies during the fiscal year, the Compensation Committee may consider the payment of a pro-rata incentive award to such NEO's beneficiary based upon the actual amount of base salary received during the fiscal year prior to the date of death or disability.

	
H.

	
FY19 STIP incentive awards are subject to assignment laws and other laws that may require payment of the incentive award to an individual other than the named executive officer (e.g., IRS tax levies, child support arrearages, etc.).  The Company will comply with all such applicable assignment laws.

	
I.

	
The Company reserves the right to amend, reduce, modify, interpret or discontinue all or part of the FY19 STIP with or without reason as the Compensation Committee deems advisable in its sole and absolute discretion.

	
J.

	
The FY19 STIP does not create or imply the existence of a contract of employment.

	
K.

	
The NEO's base salary rate in effect as of January 1, 2019 shall be used to calculate the incentive award under the FY19 STIP.

	
L.

	
The Company reserves the right to require each NEO to execute and deliver to the Company a non-compete / non-solicitation agreement as a condition of the payment of any incentive award under the FY19 STIP.EXHIBIT 10.2

 

 

LSI INDUSTRIES INC.

NAMED EXECUTIVE OFFICER

FY19 LONG TERM INCENTIVE PLAN

Document Date: August 15, 2018

LSI INDUSTRIES INC.

NAMED EXECUTIVE OFFICER

FY19 LONG TERM INCENTIVE PLAN

August 15, 2018

The LSI Industries Inc. Amended and Restated 2012 Stock Incentive Plan authorizes the Compensation Committee of the Board of Directors to issue share-based incentive awards.  The Fiscal Year 2019 Long Term Incentive Plan (FY19 LTIP) for Named Executive Officers (NEOs) has been approved by the Compensation Committee of the Board of Directors and provides for the issuance of two types of share-based awards, service-based stock options and performance stock units.  All FY19 LTIP awards are granted effective the close of business on August 16, 2018 such date and at such other times and in such other manner as may be approved or authorized by the Compensation Committee.

	
1.

	
Service – Based Stock Options.  The Company may grant service – based stock option awards to the NEOs as a retention tool to encourage the NEOs to maintain long term employment with the Company.  Awards of stock options issued to the NEOs are approved by the Compensation Committee.  Service-based stock option awards have a ten year exercise term; a three year ratable vesting period; and a stated and fixed exercise price set by the Compensation Committee at the closing price of a share of Company common stock on the date of the grant.

	
2.

	
Performance Stock Units.  The Company may grant performance stock units (PSUs) to the NEOs to align NEO long-term incentive compensation with long-term shareholder interests and to motivate the NEOs to achieve the Company's business plan and long-term objectives.  Awards of PSUs to the NEOs are approved by the Compensation Committee.  The vesting of such PSUs is subject to the achievement of RONA and EDITDA objectives over a three-year performance cycle as set forth in Exhibit A.  As part of the transition from the FY18 LTIP one-year performance cycle to the FY19 LTIP three-year performance cycle, the Compensation Committee has approved a FY19 LTIP feature that provides that one-third of FY19 PSU awards may vest and be paid on the first anniversary grant date if specified one-year RONA and EBITDA objectives, as set forth in Exhibit A, are achieved.  If such one-year metrics are not achieved, the entire amount of the FY19 PSU awards may be earned over the three-year performance cycle.

The following rules govern the FY19 LTIP:

	
A.

	
The determination of the achievement of the FY19 LTIP objectives will be calculated based upon actual reported FY19 results and may be adjusted for certain unusual or non-recurring items or developments as may be approved by the Compensation Committee.  There will be a straight line interpolation of actual achievement compared to FY19 business objectives when determining the actual achievement percentage.

	
B.

	
FY19 LTIP participants must be employed by the Company on the specified award vesting date in order to vest in such award or portion of such award.  Vesting will be determined in accordance with "retirement eligibility" rules as defined in the 2012 Stock Incentive Plan.

	
C.

	
Any type of lengthy leave of absence may result in an adjustment of the calculated award.  Leaves of absence include time away from work for reasons of short term disability, FMLA leave, military leave, or other leave of absence.

	
D.

	
If an NEO retires during the plan period at normal retirement age or under a Company approved plan of retirement, the Compensation Committee may consider a pro-rated award based upon the actual amount of base salary received during the plan period, subject to the terms and conditions of the 2012 Stock Incentive Plan.

	
E.

	
If an NEO becomes disabled (as defined by Social Security) or dies during the plan period, the Compensation Committee may consider an adjusted award for such NEO's beneficiary, subject to the terms and conditions of the 2012 Stock Incentive Plan.

	
F.

	
FY19 LTIP awards may be subject to assignment laws and other laws that require payment of the incentive award to an individual other than the NEO (such as IRS tax levies, child support arrearages, etc.).  The Company will comply with all such applicable assignment laws.

	
G.

	
The Company reserves the right to amend, reduce, modify, interpret or discontinue all or part of the FY19 LTIP with or without reason as the Compensation Committee deems advisable in its sole and absolute discretion, subject to the terms and conditions of the 2012 Stock Incentive Plan.

	
H.

	
The FY19 LTIP does not create or imply the existence of a contract of employment.

	
I.

	
In the event the Company is required to prepare an accounting restatement due to the material noncompliance of the Company with any financial reporting requirement under the federal securities laws, the Compensation Committee shall require reimbursement to the Company of any performance-based awards granted hereunder where: (i) the payment was predicated upon achieving certain financial results that were subsequently the subject of a substantial restatement of the Company's financial statements filed with the SEC; (ii) the Compensation Committee determines the officer engaged in intentional misconduct that caused or substantially caused the need for the accounting restatement; and (iii) a lower payment would have been made to such officer based upon the restated financial results. In each such instance, the Company will, to the extent practicable, seek to recover from the officer the amount by which any performance-based awards paid to such officer for the relevant period exceeded the lower payment that would have been made based on the restated financial results. This compensation recovery policy applies to financial statements for periods ending after June 30, 2016.

 

	
J.

	
In the event and to the extent Company common shares are issued pursuant to awards granted under the FY19 LTIP, each NEO who receives such Company common shares is required to retain for one year 100% of net after tax shares received upon exercise of the stock options or vesting of PSUs, as the case may be.

	
K.

	
The Company reserves the right to require each NEO to execute and deliver to the Company a non-compete / non-solicitation agreement as a condition of the grant of any award or the payment of any amounts as may be due under the FY19 LTIP.

File:  FY19 NEO LTIP

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