Document:

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                                                                Exhibit 10.11(1)
                                                                ----------------

                            INDEMNIFICATION AGREEMENT

     This AGREEMENT is made as of _____________________, by Leggett & Platt,
Incorporated, a Missouri corporation ("Leggett") and ____________________, of
_____________________ ("Indemnitee").

                                    RECITALS

     Indemnitee is a director and/or officer of Leggett and in such capacity or
capacities is performing a valuable service of Leggett.

     The Restated Articles of Incorporation and By-Laws of Leggett provide for
the indemnification of the directors and officers of Leggett and indemnification
is also authorized by Section 351.355 of the General and Business Corporation
Law of Missouri (the "Indemnification Statute").

     The Indemnification Statute and Leggett's Restated Articles of
Incorporation and By-Laws specifically provide that they are not exclusive as to
the authority to indemnify; thus, they contemplate that indemnification
agreements may be entered into between Leggett and its directors and officers.

     In accordance with the authorization provided by the Indemnification
Statute, Leggett has purchased and presently maintains a policy or policies of
directors and officers liability insurance ("D&O Insurance"), covering certain
liabilities which may be incurred by Leggett's directors and officers in the
performance of their services for Leggett and for other enterprises.

     Leggett's Board of Directors believes the policies of D&O Insurance and the
indemnification provided for in Leggett's Restated Articles of Incorporation and
By-Laws are not fully adequate to provide appropriate indemnification protection
to Leggett's directors and officers. To provide such protection and thereby
induce Indemnitee to serve or continue to serve as a director and/or officer of
Leggett, Leggett has determined and agreed to enter into this agreement with
Indemnitee.

     NOW THEREFORE, in consideration of the premises and Indemnitee's service as
director and/or officer after the date hereof, Leggett and Indemnitee do agree
as follows:

1.   Definitions

     In this Agreement the following terms have the following meanings:

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     The term "another enterprise" shall mean any corporation (other than
Leggett), partnership, joint venture, trust, employee benefit plan or other
legal entity or enterprise.

     The term "defense" when used with respect to any proceeding shall include
investigations of any proceeding as well as appeals in any proceeding and shall
also include any defense by way of cross claim or counterclaim.

     The term "fines" shall include any excise taxes assessed on Indemnitee with
respect to any employee benefit plan as well as penalties of all types.

     The term "proceeding" shall mean any threatened, pending or completed
action, suit or proceeding (including those by or in the right of Leggett)
whether civil, criminal, administrative or investigative or otherwise and
whether formal or informal.

     The term "serving at the request of Leggett" shall include any service as a
director, officer, employee or agent of Leggett which imposes duties on, or
involves services by, Indemnitee with respect to any employee benefit plan, its
participants or beneficiaries.

2.   Indemnification - General

     Leggett shall indemnify and hold harmless Indemnitee to the fullest extent
permitted or authorized by applicable law. The term "applicable law" means (i)
the Indemnification Statute (other than subsection 6 thereof and any other
subsection comparable in purpose to subsection 6) as in effect on May 7, 1986
and as thereafter amended (but in the case of any such amendment, only to the
extent such amendment permits Leggett to provide broader indemnification rights
then the Indemnification Statute permitted Leggett to provide immediately prior
to such amendment) and (ii) any other statutory indemnification provision
adopted after May 7, 1986.

3.   Additional Indemnification

     Leggett shall further indemnify and hold harmless Indemnitee if Indemnitee
was or is a party or is threatened to be made party to any proceeding (including
any proceeding by or in the right of Leggett) by reason of the fact that
Indemnitee is or was a director, officer, employee or agent of Leggett, or is or
was serving at the request of Leggett (which request need not be in writing) or
on behalf of Leggett as a director, officer, employee or agent of another
enterprise or by reason of anything done or not done by him in any such
capacities. The indemnification required by this section shall be made against
any and all judgments, fines, amounts paid in settlement and reasonable expenses
(including attorneys' fees), actually incurred by Indemnitee in connection with
the proceeding in question.

4.   Maintenance of D&O Insurance and Indemnification

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     (a) Leggett represents that it presently has the following policies of D&O
Insurance in force (the "D&O Policies"):

     Insurer           Policy No.                Amount            Deductible
     -------           ----------                ------            ----------

So long as Indemnitee shall continue to serve as a director or officer of
Leggett (or shall continue at the request of Leggett or on behalf of Leggett to
serve as director, officer, employee or agent of another enterprise) and
thereafter so long as Indemnitee shall be subject to any possible claim or
proceeding by reason of the fact that Indemnitee was a director or officer of
Leggett (or served in any of said other capacities), Leggett will purchase and
maintain in effect for the benefit of Indemnitee one or more valid, binding and
enforceable policies of D&O Insurance providing, in all respects, coverage at
least comparable to that provided pursuant to the D&O Policies in force on the
date hereof.

     (b) Notwithstanding Section 4(a) hereof, Leggett shall not be required to
maintain D&O Insurance in effect if such insurance is not reasonably available
or if, in the reasonable business judgment of the Board of Directors of Leggett
as it may exist from time to time, either (i) the premium cost for such D&O
Insurance is substantially disproportionate to the amount of coverage or (ii)
the coverage provided by such D&O Insurance is so limited by exclusions that
there is insufficient benefit provided by such D&O Insurance.

     (c) If Leggett, acting under Section 4(b) hereof, does not purchase and
maintain in effect D&O Insurance, Leggett shall indemnify and hold harmless
Indemnitee to the full extent of the coverage which would otherwise have been
provided for the benefit of Indemnitee pursuant to the D&O Policies.

5.   Limitations on Certain Indemnification

     Leggett will not hold Indemnitee harmless or provide indemnification
pursuant to Section 2, 3 or 4 hereof:

          (i) for amounts indemnified by Leggett other than pursuant to this
     Agreement and amounts paid pursuant to policies of D&O Insurance;

          (ii) in respect to remuneration paid to Indemnitee if it shall be
     determined by a final judgment or other final adjudication that such
     remuneration was in violation of law;

          (iii) on account of any suit for any accounting of profits made from
     the purchase or sale by Indemnitee of securities of Leggett pursuant to
     Section 16(b)

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     of the Securities Exchange Act of 1934 and amendments thereto or similar
     provisions of any federal, state or local law;

          (iv) on account of Indemnitee's conduct which is finally adjudged by a
     court to have been knowingly fraudulent, deliberately dishonest or willful
     misconduct; or

          (v) if a final adjudication by a court having jurisdiction in the
     matter shall determine that such indemnification is not lawful.

6.   Notification and Defense of Claim

     After receipt by Indemnitee of notice of the commencement of any
proceeding, Indemnitee will, if a claim in respect thereof may be made against
Leggett under this Agreement, promptly notify Leggett. With respect to any such
proceeding as to which Indemnitee notifies Leggett of the commencement thereof:

          (i) Leggett will be entitled to participate therein at its own
     expense.

          (ii) Except as otherwise provided in the next paragraph, Leggett,
     jointly with any other indemnifying party similarly notified, will be
     entitled to assume the defense thereof, with counsel reasonably
     satisfactory to Indemnitee. After notice from Leggett to Indemnitee of
     Leggett's election to assume the defense thereof, Leggett will not be
     liable to Indemnitee under this Agreement for any legal or other expenses
     subsequently incurred by Indemnitee in the defense thereof other than
     reasonable costs of investigation or as noted in the next paragraph of this
     subsection (ii).

          Indemnitee may employ his own counsel in such proceeding but the fees
     and expenses of such counsel incurred after notice from Leggett of its
     assumption of the defense thereof shall be at the expense of Indemnitee
     unless (a) the employment of counsel by Indemnitee has been authorized by
     Leggett or (b) Indemnitee shall have reasonably concluded that there may be
     a conflict of interest between Leggett and Indemnitee in the conduct of the
     defense of such proceeding, or (c) Leggett shall not in fact have employed
     counsel to assume the defense of such proceeding, in each of which cases
     the fees and expenses of Indemnitee's counsel shall be at the expense of
     Leggett. Leggett shall not be entitled to assume the defense of any
     proceeding brought by or on behalf of Leggett or as to which Indemnitee
     shall have made the conclusion provided for in clause (b) of this
     subsection (ii).

          (iii) Leggett shall not be liable to indemnify Indemnitee under this
     Agreement for any amounts paid in settlement of any proceeding effected
     without Leggett's written consent. Leggett shall not settle any proceeding
     in any manner which would impose any penalty or limitation on Indemnitee

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     without Indemnitee's written consent. Neither Leggett nor Indemnitee will
     unreasonably withhold their consent to any proposed settlement.

7.   Advance of Expenses, Judgments, Etc.

     The expense (including attorneys' fees) incurred by Indemnitee in defending
any proceeding shall be advanced by Leggett at the request of the Indemnitee.
Any judgments, fines or amounts to be paid in settlement shall also be advanced
by Leggett to Indemnitee upon request. If it shall ultimately be determined that
Indemnitee was not entitled to be indemnified, or was not entitled to be fully
indemnified, Indemnitee shall repay to Leggett all amounts advanced, or the
appropriate portion thereof, so advanced.

8.   Right of Indemnitee to Bring Suit

     If a claim of indemnification or a claim for an advance under this
Agreement is not paid in full by Leggett within 90 or 15 days, respectively,
after a written claim has been made to Leggett, Indemnitee may bring suit
against Leggett to recover the unpaid amount of the claim. If Indemnitee is
successful in whole or in part in such suit, Indemnitee shall also be paid the
expense of prosecuting such claim.

9.   Continuation of Indemnitee

     All agreements and obligations of Leggett contained herein shall continue
during the period Indemnitee is a director, officer, employee or agent of
Leggett (of is or was serving at the request of Leggett or on behalf of Leggett
as a director, officer, employee or agent of another enterprise) and shall
continue thereafter so long as Indemnitee shall be subject to any possible
proceeding by reason of the fact that Indemnitee was a director, officer,
employee or agent of Leggett or serving in any other capacity referred to
herein.

10.  Other Rights and Remedies

     The indemnification and other rights provided by this Agreement shall not
be deemed exclusive of any other rights to which Indemnitee may be entitled
under any provision of law, Leggett's Restated Articles of Incorporation and
Leggett's By-Laws, other agreements, vote of shareholders or disinterested
directors or otherwise, both as to action in Indemnitee's official capacity and
as to action in another capacity while occupying any of the positions or having
any of the relationships referred to in this Agreement, and shall continue after
Indemnitee has ceased to occupy such position or have such relationship.

11.  Severability

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     If any provision of this Agreement shall be held to be invalid, illegal or
unenforceable (a) the validity, legality and enforceability of the remaining
provisions of this Agreement shall not be in any way affected or impaired
thereby, and (b) to the fullest extent possible, the provisions of this
Agreement shall be construed so as to give effect to the intent manifested by
the provision held invalid, illegal or unenforceable.

     Each section of this Agreement is a separate and independent portion of
this Agreement. If the indemnification to which Indemnitee is entitled as
respects any aspect of any claim varies between two or more sections of this
Agreement, that section providing the most comprehensive indemnification shall
apply.

12.  Modification and Waiver

     No supplement or amendment of this Agreement shall be binding unless
executed in writing by both of the parties. No waiver of any of the provisions
of this Agreement shall be binding unless executed in writing by the person
making the waiver nor shall such waiver constitute a continuing waiver.

13.  Notices

     All notices, requests, demand and other communication hereunder shall be in
writing and shall be deemed to have been duly given if (i) delivered by hand and
receipted for by the party to whom said notice or other communication shall have
been directed or if (ii) mailed by certified or registered mail with postage
prepaid, on the third business day after the date on which it is so mailed:

     (i)  If to Indemnitee, to

     or to such other address as may be furnished to Leggett by Indemnitee:

     (ii) If to Leggett, to

          Leggett & Platt, Incorporated
          No. 1 Leggett Road
          Carthage, MO 64836

     or to such other address as may have been furnished to Indemnitee by
Leggett.

14.  Governing Law

     This Agreement shall be construed, enforced and governed by Missouri law.

15.  Heirs, Successors and Assigns

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     This Agreement shall inure to the benefit of and be enforceable by the
Indemnitee's personal or legal representatives, executors, administrators,
heirs, devisees and legatees.

     This Agreement is binding on the successors and assigns of Leggett. Leggett
will require any successor (whether direct or indirect, by purchase, merger,
consolidation or otherwise) to all or substantially all of the business and/or
assets of Leggett to expressly assume and agree to perform this Agreement in the
same manner and to the same extent that Leggett would be required to perform it
if no such succession had taken place (the assumption shall be by agreement in
form and substance reasonably satisfactory to Indemnitee).

16.  Miscellaneous

     This Agreement does not create any right in Indemnitee to employment with
Leggett or its affiliates.

     Leggett expressly confirms and agrees that it has entered into this
Agreement and assumed the obligations imposed on Leggett hereby in order to
induce Indemnitee to continue as a director and/or officer of Leggett and
acknowledges that Indemnitee is relying upon this Agreement in continuing in
such capacity or capacities.

     All references herein in the masculine gender shall, when appropriate,
refer to the feminine gender.

     In the event of any ambiguity, vagueness or other matter involving the
interpretation or meaning of this Agreement, this Agreement shall be liberally
construed so as to provide the Indemnitee the full benefits set out herein.

     Entered into on the day and year first above written.

ATTEST:                                     LEGGETT & PLATT, INCORPORATED

By                                          By
  --------------------------------            ----------------------------------

                                              ----------------------------------
                                                      Indemnitee

                                       7<PAGE>

                                                                EXHIBIT 10.12(1)

                          LEGGETT & PLATT, INCORPORATED

                           DIRECTOR STOCK OPTION PLAN

                      (As Amended Through February 5, 1997)

Section 1.  Purpose.

     The purpose of this Director Stock Option Plan (the "Plan") of Leggett &
Platt, Incorporated (the "Company") is to encourage ownership in the Company by
outside directors of the Company whose continued services are considered
essential to the Company's continued progress and thus to provide them with a
further incentive to continue as directors of the Company.

Section 2.  Administration.

     The Plan shall be administered by a committee (the "Committee") of three or
more persons appointed by the Board of Directors of the Company, all of whom
shall be employees of the Company, but none of whom shall be participants in the
Plan. Grants and stock options under the Plan and the amount and nature of the
awards to be granted shall be automatic as described in section 6 hereof.
However, all questions or interpretation of the Plan or of any opinions issued
under it shall be determined by the Committee and such determination shall be
final and binding upon all persons having an interest in the Plan. Any or all
powers and discretion vested in the Committee under the Plan may be exercised by
any subcommittee so authorized by the Committee.

Section 3.  Participation in the Plan.

     All directors of the Company shall be eligible to participate in the Plan
unless they are employees of the Company or any subsidiary of the Company.

Section 4.  Stock Subject to the Plan.

     The stock which is made the subject of awards granted under the Plan shall
be the Company's Common Stock ("Common Stock"), par value $.01 per share. The
total number of shares issuable under the Plan, as adjusted for all stock splits
occurring since the Plan became effective, shall not exceed 400,000 shares
(subject to adjustment under Section 12). If any outstanding option under the
Plan for any reason expires or is terminated without having been exercised in
full, the shares allocable to the unexercised portion of such option shall again
become available for grant pursuant to the Plan.

<PAGE>

Section 5.  Non-Statutory Stock Options.

     All options granted under the Plan shall be non-statutory options not
entitled to special tax treatment under Section 422 of the Internal Revenue Code
of 1986, as amended to date.

Section 6.  Terms, Conditions and Form of Options.

     Each option granted under the Plan shall be evidenced by a written
agreement in such form as the Committee shall from time to time approve (the
"Option Agreement"), which agreements shall comply with and be subject to the
following terms and conditions:

          A. Option Grant Dates. Options shall be granted automatically on the
          first trading day in any calendar quarter (the "Grant Date") of any
          year to any eligible director who prior to such Grant Date files with
          the Committee or its designate an irrevocable election to receive a
          stock option in lieu of all or twenty-five (25%), fifty (50%) or
          seventy-five (75%) percent of the annual retainer and fees which would
          be paid to the eligible director for attendance at all anticipated
          regularly scheduled meetings of the Board of Directors and its
          Committees to be earned by the director during the twelve month period
          following such Grant Date (the "Grant Year"). The percentage of fees
          to be foregone in favor of an option shall be stated in the election
          to be filed with the Committee, as provided above. In the event that
          the annual retainer or fees are increased during any particular Grant
          Year or unanticipated meetings occur for which fees are payable to the
          eligible director, an additional grant shall be made as respects the
          incremental increase or additional fee consistent with the director's
          previous election as of the day upon which such increase or additional
          fee becomes effective.

               Unless prior to the end of a Grant Year the Director notifies the
          Committee of his intent to terminate or modify the previous election,
          additional options shall be granted automatically on the first trading
          day in the calendar quarter immediately following the end of the
          preceding Grant Year consistent with the Director's previous election.

          B. Option Formula. The number of option shares granted to any eligible
          director shall be equal to the number of shares (rounded to the
          nearest whole share) determined in accordance with the following
          formula:

                        Deferred Retainer            =      Number of
                  ----------------------------
                  (Fair Market Value x .5)                  Shares

               "Deferred Retainer" shall mean the amount which the director
          would be entitled to receive for serving as a director in the relevant
          Grant Year (including attendance fees which would be paid to the
          eligible director for attendance at all anticipated regularly
          scheduled meetings of the Board of Directors and its Committees) but
          for the election referred to in Subsection 6.A above. "Fair Market
          Value" shall mean the fair market value of the Company's Common Stock

<PAGE>

          at the close of business on the relevant Grant Date as reported on the
          New York Stock Exchange Composite Tape.

          C. Options Limited Transferability. Each option granted under the Plan
          by its terms shall not be transferable by the director otherwise than
          (i) by will or, if he dies intestate, by the laws of descent and
          distribution of the state of his domicile at the time of his death, or
          (ii) to an immediate family member or trust, corporation, partnership
          or other entity controlled by the director or an immediate family
          member or in which the director or an immediate family member is a
          beneficiary, partner, shareholder or member. The term "immediate
          family member" means any child, stepchild, grandchild, parent,
          stepparent, grandparent, spouse, sibling, mother-in-law,
          father-in-law, son-in-law, daughter-in-law, brother-in-law, or
          sister-in-law, and shall include adoptive relationships. The
          transferee of a director shall not have the right to transfer the
          options transferred to him except by will or, if he dies intestate, by
          the laws of descent and distribution. A transfer to a minor shall not
          be permitted except pursuant to the Uniform Transfers to Minors Act or
          similar legislation. If a director transfers an option he shall
          immediately notify the Committee in writing of the name and address of
          the transferee, the number of options transferred and the date the
          transfer was made. Except as provided above, no option or interest
          therein may be transferred, assigned, pledged or hypothecated by the
          director during his lifetime, whether by operation of law or
          otherwise, or be made subject to execution, attachment or similar
          process.

          D. Period of Option. Subject to the paragraph below concerning options
          granted due to retainer increases during a Grant Year, options become
          exercisable on the first anniversary of the date on which they were
          granted; provided, however, that any option granted pursuant to the
          Plan shall become exercisable in full upon the death of the director,
          his retirement because of age or his total and permanent disability.
          No option shall be exercisable after the expiration of fifteen (15)
          years from the date on which such option is granted. Each option shall
          be subject to termination before its date of expiration as hereinafter
          provided.

               Options granted due to an increase in retainer during a Grant
          Year ("Increase Options") shall become exercisable and shall terminate
          at the same time and in the same manner as the options granted at the
          beginning of that Grant Year.

          E. Exercise of Option. An option granted hereunder may be exercised
          only by delivering a written notice to the Company accompanied by
          payment of the full consideration for such shares as to which such
          options are exercised. Unless otherwise prohibited by the Option
          Agreement, such consideration may be paid by delivery of shares of
          Common Stock or a combination of cash and shares of Common Stock; any
          such shares shall be valued at the fair market value of such shares on
          the date of exercise. Options may be exercised in full or in part for
          whole shares (no fractional shares will be issued) and any exercisable
          portion of an option grant not exercised may be later exercised
          subject to the expiration date

<PAGE>

          stated above. The written notice referred to above shall specify the
          number of shares the optionee then desires to purchase.

          If any option has not been fully exercised on the last day of the term
          ("expiration date"), the unexercised portion of the Option shall be
          deemed exercised on such expiration date. In such event, shares of
          Common Stock shall not be issued until the option price and any other
          required amounts have been paid.

          F. Exercise by Representative Following Death of Director. Upon the
          death of a director, his options shall be exercisable by the person or
          persons entitled to do so under his will or by written designation
          filed with the Committee, or, if the director shall fail to make
          testamentary disposition of said options or shall die instate, by the
          director's legal representative or representatives. All such options
          must be exercised prior to the specified expiration date of such
          options as provided in Section 6.D. Any exercise by a representative
          shall be subject to the provisions of this Plan.

          G. Proration. In the event an optionee ceases to be a director of the
          Company for any reason prior to such time as an option granted under
          the Plan becomes exercisable, such option shall terminate in respect
          to the nearest whole number of optioned shares as is the product of
          the total number of shares subject to such option multiplied by a
          fraction (the "Fraction"), the numerator of which is the number of
          months remaining in the Grant Year following the month in which said
          optionee ceases to be a director and the denominator of which is
          twelve (12).

               As to Increase Options the numerator of the Fraction shall be the
          number of months remaining in the Grant Year and the denominator shall
          be the number of months between the date on which the Increase Options
          were granted and the end of the Grant Year.

          If the optionee fails to attend any regularly scheduled meetings of
          the Board of Directors or its Committees, the director's option shall
          terminate as to the number of shares attributable to the attendance
          fees applicable to such meeting.

Section 7.  Modification, Extension and Renewal of Options.

     The Committee shall have the power to modify, extend or renew outstanding
options and authorize the grant of new options in substitution therefor,
provided that any such action may not have the effect of altering or impairing
any rights or obligations of any option previously granted without the consent
of the director.

Section 8.  Option Price.

     The option price per share for the shares covered by each option shall
be .5 x Fair Market Value.

<PAGE>

Section 9.  Assignability.

     The rights and benefits under this Plan shall not be assignable or
transferable by the director excepted as provided herein.

Section 10.  Time for Granting Options.

     All options for shares subject to the Plan shall be granted, if at all, not
later than May 9, 2009.

Section 11.  Limitation of Rights.

          A. No Right to Continue as a Director. Neither the Plan, nor the
          granting of an option nor any other action taken pursuant to the Plan
          shall constitute or be evidence of any agreement or understanding,
          expressed or implied, that the Company will retain a director for any
          period of time, or at any particular rate of compensation.

          B. No Shareholders' Right for Options. An optionee shall have no
          rights as a shareholder with respect to the shares covered by his
          options until the date of the issuance to him of a stock certificate
          therefor, and no adjustment will be made for dividends or other rights
          for which the record date is prior to the date such certificate is
          issued.

Section 12.  Adjustment of Number of Shares.

     In the event that a stock dividend or stock split shall hereafter be
declared with respect to the Company's Common Stock, the number of shares of
Common Stock then subject to any outstanding option under the Plan, the number
of shares as to which an option is to be granted to a director under the Plan,
and the number of shares reserved for issuance pursuant to the plan but not yet
covered by an outstanding option shall be adjusted by adding to each such shares
the number of shares which would be distributable thereon if such share had been
outstanding on the date fixed for determining the shareholders entitled to
receive such stock dividend or stock split. In the event that the outstanding
shares of Common Stock shall be changed into or exchanged for a different number
or kind of shares of stock or other securities of the Company, whether through
reorganization, recapitalization or reclassification, then there shall be
substituted for each share of Common Stock subject to an outstanding option and
for each share of Common Stock reserved for delivery pursuant to the Plan but
not yet covered by an option, the number and kind of shares of stock or other
securities in to which each outstanding share of Common stock shall be so
changed or for which each such share shall be so exchanged. In the event there
shall be any change other than as specified above in this Section 12 or in
Section 13 in the outstanding shares of Common Stock or of any stock or other
securities into which such Common Stock shall have been changed or for which it
shall have been exchanged, then the Committee may make such adjustment or
change, if any, as it deems equitable in the number or kind of shares or other
securities then subject to outstanding options. In the case of any such
substitution or adjustment provided for in this Section 12, the option price for
each share covered by outstanding options

<PAGE>

prior to such substitution or adjustment will be the option price for all shares
of stock or other securities which shall have been substituted for such share or
to which such share shall have been adjusted pursuant to this Section 12. No
adjustment or substitution provided for in this Section 12 shall require the
Company to sell a fractional share, and any fractional share resulting from any
such adjustment or substitution shall be eliminated from the option in question.

Section 13.  Business Combinations.

     In the event that, while there remain options outstanding hereunder, there
shall occur a dissolution of the Company, a merger or consolidation in which the
Company is not the surviving corporation (for such purpose, the Company shall
not be deemed the surviving corporation in any such transaction if, as a result
thereof, it becomes a wholly owned subsidiary of another corporation) or a
transfer, in one or a series of related transactions, of substantially all of
the assets of the Corporation:

          (a) If a provision is made in writing in connection with such
          transaction for the assumption and continuance of any such option, or
          the substitution for such option of a new substantially equivalent
          option covering different shares or securities, with appropriate
          adjustment as to the number and kinds of shares or other securities
          deliverable with respect thereto, the existing option, or the new
          option substituted therefor, as the case may be, shall continue in the
          manner and under the terms provided; or

          (b) If provision is not made in such transaction for the continuance
          and assumption of any such option or for the substitution of a new
          substantially equivalent option, then the holder of such option shall
          be entitled immediately prior to the effective date of any such
          transaction to purchase the full number of shares covered by such
          option whether or not then exercisable as to such shares. The
          unexercised portion of any option shall be deemed cancelled as of the
          effective date of such transaction.

Section 14.  Effective Date of Plan; Shareholder Approval.

     The Plan took effect on December 12, 1988 and was adopted by the Company's
shareholders on May 10, 1989.

Section 15.  Amendment of the Plan.

     The Board of Directors may suspend or discontinue the plan or amend it in
any respect whatsoever; provided, however, that without approval of the
shareholders of the Company, no revision or amendment shall increase the number
of shares subject to the Plan (except as provided in Section 12), change the
designation of the class of directors eligible to receive options, or materially
increase the benefits accruing to participants under the Plan.

Section 16.  Notice.

<PAGE>

     Any written notice to the Company or the Committee required by any
provisions of the Plan shall be addressed to the Secretary of the Company and
shall become effective when it is received.

Section 17.  Governing Law.

     The Plan and all determinations made and actions taken pursuant thereto
shall be governed by the laws of the State of Missouri and construed
accordingly.

Section 18.  Miscellaneous.

     Any director to whom an option was granted after December 31, 1996 may
elect to amend his option to conform to the terms of the Plan as amended through
February 5, 1997.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00036-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00036-of-00352.parquet"}]]