Document:

INDEPENDENT
      CONTRACTOR AGREEMENT

    

    

    This
      Independent Contractor Agreement (“Agreement”) is entered into by and between
      Gateway International Holdings, Inc., a Nevada corporation, and its subsidiaries
      (“Gateway”), and Lawrence A. Consalvi, an individual, (“Consalvi”). Gateway and
      Consalvi are each a “Party” and together the “Parties.”

    

    RECITALS

    

    WHEREAS,
      Gateway, through its subsidiaries, including, but not limited to, E.M.
      Tool
      Company, Inc., a California corporation d.b.a. Elite Machine Tool Company
      (“Elite Machine”),
      is
      a
company
      engaged in the acquisition, refurbishment, distribution and sales of pre-owned
      computer numerically controlled (“CNC”) machine tools to manufacturing customers
      across the United States of America;

    

    WHEREAS,
      Gateway has numerous CNC machines in its inventory and has a need of a
      salesperson to sell both existing inventory and procure new transactions for
      the
      purchase and sale of CNC machines;

    

    WHEREAS,
      Consalvi is the former President of Elite Machine and has extensive experience
      in acquiring and selling new and used CNC machines;

    

    WHEREAS,
      the Parties wish to enter into an agreement under which Consalvi will work
      as an
      independent contractor to assist Gateway with the acquisition and sale of new
      and used CNC machines; 

    

    NOW
      THEREFORE, in consideration of the premises and respective mutual agreements,
      covenants, representations and warranties herein contained, it is agreed between
      the Parties hereto as follows:

     

    

    I.

    RELATIONSHIP

    

    1.1 This
      Agreement is entered into between Gateway and Consalvi in order to set forth
      the
      terms of the Consalvi’s relationship with Gateway. CONSALVI EXPLICITLY
      UNDERSTANDS THAT HE IS NOT AN EMPLOYEE, AGENT OR SERVANT OF GATEWAY OR THE
      COMPANY.

    

    1.2 Consalvi
      is a commission-only independent contractor salesman for Gateway. In that
      capacity, Consalvi’s primary responsibility will be the purchase and sale of new
      and used CNC machines on behalf of Gateway and its subsidiaries. Consalvi shall
      report directly to Timothy D. Consalvi, Elite Machine’s President and Chief
      Executive Officer. Consalvi shall conduct all of his activities in a manner
      so
      as to maintain and promote the business and reputation of Gateway. Consalvi
      has
      non-exclusive rights to transact with Gateway regarding the sale and purchase
      of
      CNC machines. Nothing in this Agreement shall be construed to grant Consalvi
      exclusivity regarding Gateway’s purchase or sale of machines.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

    

    1.3 Consalvi
      may not, without specific written approval of Joseph Gledhill or Timothy D.
      Consalvi, do or contract to do, any of the following:

    

    
      	 	
              (1)

            	
              Bind
                Gateway, or its subsidiaries, to any contract or
                agreement;

            

    

    
      	 	
              (2)

            	
              Act
                as an agent or lead others to believe he is an officer, director
                or
                employee of Gateway or its
                subsidiaries;

            

    

    
      	 	
              (3)

            	
              Access
                in any way, any bank account, credit line, loan, or any other funds
                of
                Gateway or its subsidiaries;

            

    

    
      	 	
              (4)

            	
              Hire,
                terminate or reprimand any of Gateway’s employees or independent sales
                agents; 

            

    

    
      	 	
              (5)

            	
              Sell
                any used CNC machine with any warranty or other guarantee of performance,
                and in any other condition other than “as is”;
                or

            

    

    
      	 	
              (6)

            	
              Take
                any other action prohibited by Gateway’s written practices and
                policies.

            

    

     

    1.4 If
      requested, Gateway shall provide Consalvi with an office, office equipment,
      and
      supplies, including a desktop computer already in Consalvi’s possession, for
      Consalvi’s use. Gateway will also provide Consalvi with access to Elite
      Machine’s warehouse where the new and used CNC machines Elite Machine has in
      inventory are stored. However, these items remain Gateway’s property and Gateway
      has the right to inspect any of the property at any time, without notice. If
      Gateway wishes to review the information on the computer, Consalvi shall make
      the computer available at the earliest practicable time and provide any
      necessary passwords, etc., necessary to access the computer.

    

    1.5 Consalvi
      understands that as an independent contractor to Gateway and he is not entitled
      to unemployment compensation from Gateway upon termination of this Agreement.
      Consalvi understands that in the event of injury or death to her during the
      course of this Agreement, he is not entitled to Worker's Compensation from
      Gateway. Consalvi and Consalvi also understand that NO DEDUCTION FOR FEDERAL,
      STATE OR OTHER GOVERNMENTAL SUBDIVISION TAXES OR CHARGES OF ANY TYPE WILL BE
      MADE FROM THE AMOUNT DUE CONSALVI UNDER THE TERMS OF THIS AGREEMENT. CONSALVI
      FULLY AND COMPLETELY UNDERSTANDS THAT IT IS SOLELY AND TOTALLY RESPONSIBLE
      FOR
      THE PAYMENT OF ALL SUCH TAXES OR CHARGES. At the end of each calendar year,
      Consalvi shall receive a Form 1099 notifying the Internal Revenue Service of
      all
      compensation paid to Consalvi by Gateway.

     

    II.

    TERM

    

    2.1 This
      Agreement shall be effective as of October 1, 2008, and shall continue in force
      for a period of one year (1) year therefrom or until terminated as set forth
      below. Either party may terminate this Agreement at any time by giving thirty
      (30) days written notice to the other party.

    

    2.2 This
      Agreement terminates automatically on the occurrence of any of the following
      events: (a) bankruptcy or insolvency of either party; (b) sale of the business
      of either party; (c) the death of either party, or (d) the breach of a material
      term of this Agreement, including, but not limited to, Section 1.3,
      above.

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    III.

    AMOUNTS
      DUE

    

    3.1 Gateway
      agrees to compensate Consalvi as follows:

    

    (1) For
      any
      CNC machines currently in Gateway or Elite Machine’s inventory, as identified on
Exhibit
      A,
      attached hereto, the amount listed under the “10% Mark-Up” column for those CNC
      machines with no sales order; Consalvi does not receive any compensation for
      the
      CNC machines listed with a sales order; and

    

    (2) For
      any
      CNC machines that Gateway purchases, which are not in Gateway’s inventory as of
      the date of this Agreement, Gateway will mark up the machine 20% over Gateway’s
      cost and Consalvi will be entitled to any purchase price received by Gateway
      for
      the machine, minus the amount that was 20% over Gateway’s cost. 

    

    3.2 Consalvi
      will not entitled to any compensation on any sales of CNC machine until ten
      (10)
      days after Gateway
      receives
      full payment for the machine.

    

    3.3 Consistent
      with Section 1.3, Consalvi cannot enter into any transaction that will obligate
      Gateway, or any of its subsidiaries, to purchase or sell any CNC machine,
      regardless of whether or not that machine is currently in Gateway’s inventory,
      without the written approval of Joseph Gledhill or Timothy D.
      Consalvi.

    

    3.4 Other
      than as provided for in Section 1.4, Gateway will not pay any business expenses
      for Consalvi under this Agreement. Any expenses incurred by Consalvi shall
      be
      the sole responsibility of Consalvi.

    

    3.5 The
      compensation paid by Gateway to Consalvi under this Section is meant to fully
      compensate Consalvi and Consalvi for Consalvi’s services, as well as ensure
      Consalvi and Consalvi’s compliance with the terms of this Agreement, including,
      but not limited to, Section IV, below.

    

    IV.

    DISCLOSURE
      OF CONFIDENTIAL INFORMATION

    

    4.1 Consalvi
      acknowledges that Gateway has developed and is developing a unique and
      successful business of which the name, customers, goodwill, and methods of
      doing
      business are valuable assets, and also that Gateway at times does business
      with
      certain entities whose name and scope of work are confidential. In the course
      of
      Consalvi carrying out his obligations under this Agreement, Consalvi will have
      access to Gateway’s confidential information, including, but not limited to,
      trade secrets, financial information, customer lists, marketing methods, data,
      properties, personnel and internal affairs, relating to Gateway’s business and
      customers (the “Confidential Information”).

    

    4.2 Consalvi
      shall not, during the term of this Agreement and for one year thereafter,
      communicate, divulge, or use for the benefit of herself or any other person,
      partnership, association, or corporation, either directly or indirectly, any
      information or knowledge concerning Gateway and any information, including
      but
      not limited to client lists, communication techniques, invoicing, billing,
      schematics, hardware and software designs and prototypes which may be
      communicated to Consalvi by Gateway during the term of this
      Agreement.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    

    4.3 Consalvi
      covenants and agrees that during the term of this Agreement he will not do
      any
      act or fail to do any act which may be prejudicial or injurious to the business
      and goodwill of Gateway.

    

    V.

    NON-COMPETITION

    

    5.1 During
      the term of this Agreement and thereafter, Consalvi and Consalvi shall be free
      to act as an independent contractor for other companies provided, however,
      that
      during the term of this Agreement and for any period in which Consalvi is
      receiving compensation by Gateway under Exhibit
      A,
      Consalvi will not be permitted to: (a) for his own account or for the account
      of
      any other person or entity, interfere with Gateway’s relationship with any of
      its suppliers, material customers, accounts, brokers, representatives or agents;
      (b)
      call
      on, solicit, or take away any of Gateway’s clients or potential clients about
      whom Consalvi
      became
      aware as a result of Consalvi’s
      services to Gateway, either for Consalvi
      or for
      any other person or entity; or (c) solicit or take away or attempt to solicit
      or
      take away any of Gateway’s employees or contractors either for Consalvi
      or for
      any other person or entity.
      Notwithstanding the above, this Section is not intended to prohibit Consalvi
      from purchasing and/or selling CNC machines in transactions that do not involve
      Gateway or its subsidiaries (“Non-Gateway Transactions”). For any Non-Gateway
      Transaction, Consalvi agrees to offer Gateway the transaction, in writing,
      on a
      right of first refusal basis. If Gateway wishes to participate in the
      Non-Gateway Transaction, it shall notify Consalvi, in writing, within 24 hours
      of receiving Consalvi’s written notice of the transaction. If Gateway does not
      wish to participate in the Non-Gateway Transaction, Consalvi may consummate
      the
      transaction with any third party and it will not violate the provisions of
      this
      Section.

    

    VI.

    MISCELLANEOUS

    

    6.1 This
      Agreement is not assignable, in whole or in part, by either Party without the
      prior written consent of the other Party, and any assignment not approved by
      both Parties in writing shall be void. 

    

    6.2 Consalvi
      agrees to comply with all Federal, State and Municipal laws, rules and
      regulations that may now be in effect or which may be in effect in the
      future.

    

    6.3 This
      Agreement constitutes the entire Agreement of the Parties, and no oral
      representations or agreements are binding on either Party unless set forth
      in
      writing.

    

    6.4 For
      any
      notices required in this Agreement, the following addresses shall govern for
      delivery of notices to either Party, and the sending of notice by facsimile
      or
      overnight mail with confirmation of receipt, to such address shall be
      conclusively presumed to have satisfied the notice requirements of this
      Agreement.

     

    
      
        	
                Gateway:

              	
                Gateway
                  International Holdings, Inc.

              
	 	
                2672
                  Dow Avenue

              
	 	
                Tustin,
                  CA 92780

              
	 	
                Attn.
                  President

              
	 	
                Facsimile
                  No.: (714) 619-2339

              
	 	 
	 	 
	 	 
	
                Consalvi:

              	
                Lawrence
                  A. Consalvi

              
	 	
                17732
                  Neff Ranch Rd.

              
	 	
                Yorba
                  Linda, CA_ 92886

              
	 	
                Facsimile
                  No.:________

              

      

       

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

       

    

    6.5 Consalvi
      acknowledges that a remedy at law for any breach or attempted breach of any
      part
      of Article IV and Article V of this Agreement will be inadequate and agrees
      that
      Gateway shall be entitled to specific performance and injunctive and other
      equitable relief in case of any such breach or attempted breach. Consalvi
      further agrees to waive any requirement for the securing or posting of any
      bond
      in connection with the obtaining of any such injunctive or any other equitable
      relief.

    

    6.6 Whenever
      possible, each provision of this Agreement shall be interpreted in such manner
      as to be effective and valid under applicable law. If any provision of this
      Agreement shall be prohibited by or invalid under applicable law, such provision
      shall be ineffective to the extent of such provision or invalidity only, without
      invalidating the remainder of such provision or the remaining provisions of
      this
      Agreement. No waiver of Gateway of any breach or failure to enforce any
      provision hereof shall be construed as a waiver of any future breach or right
      to
      enforce any of the provisions of this Agreement.

    

    6.7 This
      Agreement shall be construed and enforced in accordance with and governed by
      the
      laws of the State of California, notwithstanding conflicts of laws principles
      thereof. Venue for any action shall be Orange County, California.

    

    6.8 Forbearance
      or failure to pursue any legal remedy or right upon default or breach hereof
      shall not constitute waiver of such right, nor shall any such forbearance,
      failure or actual waiver imply or constitute waiver of any subsequent default
      or
      breach.

    

    6.9 This
      Agreement may be executed simultaneously in one or more counterparts, each
      of
      which shall be deemed an original and all of which together shall constitute
      one
      and the same instrument. A facsimile signature shall be effective in all
      respects.

    

    6.10 This
      Agreement may not be altered, modified or amended except pursuant to a written
      instrument executed by all the Parties.

    

    6.11 Each
      Party acknowledges and represents that, in executing this Agreement, such Party
      has had the opportunity to consult legal counsel, and has not relied on any
      inducements, promises, or representations made by any Party or any party
      representing or serving such Party, unless expressly set forth
      herein. 

    

    6.12 Notwithstanding
      anything to the contrary herein, this Agreement shall not in any manner be
      construed to create a joint venture, partnership or other similar form of
      relationship, and neither Party shall have the right to: (a) commit the other
      Party to any obligation or transaction not expressly authorized by such other
      Party, or (b) act or purport to act as agent or representative of the other,
      except as expressly authorized in writing by such other Party.

    

    

    [signature
      page follows]

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    EXECUTED
      this 30th day of September 2008, in Tustin, California.

    

    
      	
              “Gateway”

            	 	
              “Consalvi”

            
	 	 	 
	
              Gateway
                International Holdings, Inc.,

            	 	
              Lawrence
                A. Consalvi

            
	
              a
                Nevada corporation

            	 	
              an
                individual

            
	 	 	 
	 	 	 
	
              /s/
                Joseph Gledhill   

            	 	
              /s/
                Lawrence A. Consalvi  

            
	
              By:
                Joseph Gledhill

            	 	
              By:
                Lawrence A. Consalvi

            
	
              Its:
                Executive Vice President

            	 	 
	 	 	 

    

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    Exhibit
      A

    

    CNC
      Machine Inventory

    
 

    
      
        
        

      

      
        7Unassociated Document

    Exhibit
      4.4

    HILL
      INTERNATIONAL, INC.

     

    2006
      EMPLOYEE STOCK OPTION PLAN

    

    As
      Amended on April 21, 2008 and

    Approved,
      as so Amended, by the Stockholders on June 10, 2008

     

    Section 1.
      Purpose

     

    The
      purpose of the Hill International, Inc. 2006 Employee Stock Option Plan (the
      “Plan”) is to enable Hill International, Inc. (the “Company”) to attract,
      retain, motivate and provide additional incentive to certain directors,
      officers, employees, consultants and advisors, whose contributions are essential
      to the growth and success of the Company, by enabling them to participate in
      the
      long-term growth of the Company through stock ownership. 

     

    Section 2.
      Definitions

     

    As
      used
      in the Plan:

     

    “Code”
      means the Internal Revenue Code of 1986, as amended, and the rules and
      regulations promulgated thereunder.

     

    “Board”
      means the Board of Directors of the Company.

     

    “Cause”
      means the termination of a Participant’s employment, consulting or advisory
      relationship with the Company or the termination of a Participant’s membership
      on the Board because of the occurrence of any of the following
      events:

     

    (i)
      the
      Participant materially breaches any of his obligations as an employee or
      director of the Company;

     

    (ii)
      the
      Participant conducts his duties with respect to the Company in a manner that
      is
      improper or negligent; or

     

    (iii)
      the
      Participant fails to perform his obligations faithfully as provided in any
      employment agreement executed between the Company and the Participant, engages
      in habitual drunkenness, drug abuse, or commits a felony, fraud or willful
      misconduct which has resulted, or is likely to result, in material damage to
      the
      Company, or as the Board in its sole discretion may determine.

     

    “Committee”
      means the Compensation Committee of the Board (or any successor committee of
      the
      Board) or such other committee that is responsible for making recommendations
      to
      the Board (or for exercising authority delegated to it by the Board pursuant
      to
      Section 3 of the Plan, if any) with respect to the grant and terms of
      Options under the Plan; provided, however, that (i) with respect to Options
      to any employees who are officers of the Company or members of the Board for
      purposes of Section 16 of the Exchange Act, Committee means all of the
      members of the Compensation Committee who are “non-employee directors” within
      the meaning of Rule 16b-3 adopted under the Exchange Act, or any successor
      rule,
      (ii) with respect to Options to any employees who are officers of the
      Company or members of the Board for purposes of Section 16 and who are
      intended to satisfy the requirements for “performance based compensation” within
      the meaning of Section 162(m)(4)(C) of the Code, the regulations
      promulgated thereunder, and any successors thereto, Committee means all of
      the
      members of the Compensation Committee who are “outside directors” within the
      meaning of Section 162(m) of the Code, and (iii) with respect to all
      Options, the Committee shall be comprised of “independent”
directors.

     

    “Company”
      means Hill International, Inc., a Delaware corporation, and any present or
      future parent or subsidiary corporations (as defined in Section 424 of the
      Code) or any successor to such corporations.

     

    “Common
      Stock” or “Stock” means the common stock, $0.0001 par value per share, of the
      Company.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    “Disability”
      means permanent and total disability as defined in Section 22(e)(3) of the
      Code.

     

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

     

    “Fair
      Market Value”, with respect to Common Stock, shall be determined as
      follows:

     

    (i)
      If
      the Common Stock is at the time listed on any stock exchange or the Nasdaq
      National Market or the Nasdaq SmallCap Market, then the Fair Market Value shall
      be the closing selling price per share of Common Stock on the date in question
      on the stock exchange or the Nasdaq Market determined by the Board to be the
      primary market for the Common Stock, as such price is officially reported on
      such exchange or market. If there is no closing selling price for the Common
      Stock on the date in question, then the Fair Market Value shall be the closing
      selling price on the last preceding date for which such quotation
      exists.

     

    (ii)
      If
      the Common Stock is at the time traded on the Over-The-Counter Bulletin Board
      (“OTCBB”), then the Fair Market Value shall be the closing selling price per
      share of Common Stock on the date in question, as such price is quoted on the
      OTCBB or any successor system. If there is no closing selling price for the
      Common Stock on the date in question, then the Fair Market Value shall be the
      closing selling price on the last preceding date for which such quotation
      exists.

     

    (iii)
      If
      the Common Stock is not listed or traded on any stock exchange or Nasdaq System
      or the OTCBB, the Fair Market Value shall be determined by the Board in good
      faith and in the manner established by the Board from time to time using a
      reasonable valuation method.

     

    “Incentive
      Stock Option” means an option to purchase shares of Common Stock awarded to a
      Participant under the Plan which is designated as such or is otherwise intended
      to meet the requirements of Section 422 of the Code or any successor
      provision.

     

    “Non-Employee
      Director” means a member of the Board who is not an employee of the
      Company.

     

    “Non-Qualified
      Stock Option” means an option to purchase shares of Common Stock granted to a
      Participant under the Plan which is designated as such or is otherwise not
      intended to be an Incentive Stock Option.

     

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

     

    “Participant”
      means an eligible person selected by the Board to receive an Option under the
      Plan.

     

    “Plan”
      means the Arpeggio Acquisition Corporation 2006 Employee Stock Option
      Plan.

     

    “Retirement”
      means termination of employment in accordance with the retirement provisions
      of
      any retirement plan maintained by the Company.

     

    Section 3.
      Administration

     

    (a)
      The
      Plan shall be administered by the Board. Among other things, the Board shall
      have authority, subject to the terms of the Plan including, without limitation,
      the provisions governing participation in the Plan, to grant Options, to
      determine the individuals to whom and the time or times at which Options may
      be
      granted and to determine the terms and conditions of any Option granted
      hereunder. Subject to paragraph (d) of this Section 3, the Board may
      solicit the recommendations of the Committee with respect to any of the
      foregoing, but shall not be bound to follow any such
      recommendations.

     

    (b)
      Subject to the provisions of this Plan, the Board shall have authority to adopt,
      alter and repeal such administrative rules, guidelines and practices governing
      the operation of the Plan as it shall from time to time consider advisable,
      to
      interpret the provisions of the Plan and any Option and to decide all disputes
      arising in connection
      with the Plan. The Board’s decision and interpretations shall be final and
      binding. Any action of the Board with respect to the administration of the
      Plan
      shall be taken pursuant to a majority vote or by the unanimous written consent
      of its members.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

       

    

    (c)
      The
      Board may employ such legal counsel, consultants and agents as it may deem
      desirable for the administration of the Plan and may rely upon any opinion
      received from any such counsel or consultant and any computation received from
      any such consultant or agent. The Board shall keep minutes of its actions under
      the Plan.

     

    (d)
      The
      Board shall have the authority to delegate all or any portion of the authority
      granted to it (consistent with applicable law) under this Section 3 or
      elsewhere under the Plan to the Committee. If such authority is so delegated
      by
      Board, the Committee shall have such rights and authority to make determinations
      and administer the Plan as are specified in the delegation of authority. To
      the
      extent that the Board delegates its authority as provided by this
      Section 3(d), all references in the Plan to the Board’s authority to grant
      Options and make determinations with respect thereto shall be deemed to include
      the Committee.

     

    Section 4.
      Eligibility

     

    All
      officers, employees, consultants and advisors of the Company who are from time
      to time responsible for the management, growth and protection of the business
      of
      the Company, and all directors of the Company, shall be eligible to participate
      in the Plan. The Participants under the Plan shall be selected from time to
      time
      by the Board, in its sole discretion, from among those eligible, and the Board
      shall determine in its sole discretion the numbers of shares to be covered
      by
      the Option or Options granted to each Participant. Options intended to qualify
      as Incentive Stock Options shall be granted only to key employees while actually
      employed by the Company. Non-Employee Directors, consultants and advisors shall
      not be entitled to receive Incentive Stock Options under the Plan.

     

    Section 5.
      Shares of Stock Available for Options

     

    (a)
      Options may be granted under the Plan for up to 3,000,000 shares of Common
      Stock. If any Option in respect of shares of Common Stock expires or is
      terminated before exercise or is forfeited for any reason, without a payment
      in
      the form of Common Stock being granted to the Participant, the shares of Common
      Stock subject to such Option, to the extent of such expiration, termination
      or
      forfeiture, shall again be available for grant under the Plan. Shares of Common
      Stock issued under the Plan may consist in whole or in part of authorized and
      unissued shares, shares purchased in the open market or otherwise, treasury
      shares, or any combination thereof, as the Board may from time to time
      determine.

     

    (b)
      In
      the event that the Board determines, in its sole discretion, that any stock
      dividend, extraordinary cash dividend, creation of a class of equity securities,
      recapitalization, reclassification, reorganization, merger, consolidation,
      stock
      split, spin-off, combination, exchange of shares, warrants or rights offering
      to
      purchase Common Stock at a price substantially below Fair Market Value, or
      other
      similar transaction affects the Common Stock such that an adjustment is required
      in order to preserve the benefits or potential benefits intended to be granted
      under the Plan to Participants, the Board shall have the right to adjust
      equitably any or all of (i) the number of shares of Common Stock in respect
      of which Options may be granted under the Plan to Participants, (ii) the
      number and kind of shares subject to outstanding Options held by Participants,
      and (iii) the exercise price with respect to any Options held by
      Participants, and if considered appropriate, the Board may make provision for
      a
      cash payment with respect to any outstanding Options held by a Participant,
      provided that the number of shares subject to any Option shall always be a
      whole
      number.

     

    Section 6.
      Incentive Stock Options

     

    (a)
      Subject to Federal statutes then applicable and the provisions of the Plan,
      the
      Board may grant Incentive Stock Options and determine the number of shares
      to be
      covered by each such Option, the option price therefor, the
      term
      of such Option, the vesting schedule of such Option, and the other conditions
      and limitations applicable to the exercise of the Option. The terms and
      conditions of Incentive Stock Options shall be subject to and shall comply
      with
      Section 422 of the Code, or any successor provision, and any regulations
      thereunder. Anything in the Plan to the contrary notwithstanding, no term of
      the
      Plan relating to Incentive Stock Options shall be interpreted, amended or
      altered, nor shall any discretion or authority granted to the Board under the
      Plan be so exercised, so as to disqualify, without the consent of the
      Participant, any Incentive Stock Option granted under the Plan pursuant to
      Section 422 of the Code. The foregoing notwithstanding, any Option that
      fails to be an ISO shall remain outstanding according to its terms and shall
      be
      treated by the Company as a Non-Qualified Stock Option.

     

    (b)
      The
      option price per share of Common Stock purchasable under an Incentive Stock
      Option shall not be less than 100% of the Fair Market Value of the Common Stock
      on the date of grant. If the Participant owns or is deemed to own (by reason
      of
      the attribution rules applicable under Section 424(d) of the Code) more
      than 10% of the combined voting power of all classes of stock of the Company
      or
      any subsidiary or parent corporation of the Company and an Incentive Stock
      Option is granted to such Participant, the option price shall be not less than
      110% of Fair Market Value of the Common Stock on the date of grant.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

       

    

    (c)
      No
      Incentive Stock Option shall be exercisable more than ten (10) years after
      the date such option is granted. If a Participant owns or is deemed to own
      (by
      reason of the attribution rules of Section 424(d) of the Code) more than
      10% of the total combined voting power of all classes of stock of the Company
      or
      any subsidiary or parent corporation of the Company and an Incentive Stock
      Option is granted to such Participant, such Option shall not be exercisable
      after the expiration of five (5) years from the date of grant.

     

    (d)
      Unless otherwise determined by the Board at the time of grant, in the event
      a
      Participant’s employment terminates by reason of Retirement or Disability, any
      Incentive Stock Option granted to such Participant which is then outstanding
      may
      be exercised at any time prior to the expiration of the term of such Incentive
      Stock Option or within three (3) months in the case of Retirement and
      twelve (12) months in case of Disability (or such shorter period as the
      Board shall determine at the time of grant) following the Participant’s
      termination of employment, whichever period is shorter.

     

    (e)
      Unless otherwise determined by the Board at the time of grant, in the event
      a
      Participant’s employment is terminated by reason of death, any Incentive Stock
      Option granted to such Participant which is then outstanding may be exercised
      by
      the Participant’s legal representative at any time prior to the expiration date
      of the term of the Incentive Stock Option or within twelve (12) months (or
      such shorter period as the Board shall determine at the time of grant) following
      the Participant’s termination of employment, whichever period is
      shorter.

     

    (f)
      Unless otherwise determined by the Board at or after the time of grant, in
      the
      event a Participant’s employment shall terminate for Cause, any Incentive Stock
      Option granted to such Participant which is then outstanding shall be canceled
      and shall terminate.

     

    (g)
      Unless otherwise determined by the Board at or after the time of grant, in
      the
      event the a Participant’s employment shall terminate for any reason other than
      death, Disability, Retirement or Cause, any Incentive Stock Option granted
      to
      such Participant which is then outstanding may be exercised at any time prior
      to
      the expiration of the term of such option or within three (3) months (or
      such shorter period as the Board shall determine at the time of grant) following
      Participant’s termination of employment, whichever period is
      shorter.

     

    (h)
      The
      aggregate Fair Market Value of Common Shares first becoming subject to exercise
      as an Incentive Stock Option by a Participant during any given calendar year
      shall not exceed the sum of One Hundred Thousand Dollars ($100,000.00). Such
      aggregate Fair Market Value shall be determined as of the date such Option
      is
      granted.

     

     

    Section 7.
      Non-Qualified Stock Options

     

    (a)
      Subject to the provisions of the Plan, the Board may grant Non-Qualified Stock
      Options and determine the number of shares to be covered by each such Option,
      the option price therefor, the term of such Option, the vesting schedule and
      the
      other conditions and limitations applicable to the exercise of the Non-Qualified
      Stock Options.

     

    (b)
      The
      option price per share of Common Stock purchasable under a Non-Qualified Stock
      Option shall be the price determined by the Board, which may be less than,
      equal
      to or greater than the Fair Market Value of the Common Stock on the date of
      grant.

     

    (c)
      No
      Non-Qualified Stock Option shall be exercisable more than ten (10) years
      after the date such option is granted.

     

    (d)
      Unless otherwise determined by the Board at the time of grant, in the event
      a
      Participant’s employment by the Company or membership on the Board terminates by
      reason of Retirement or Disability, any Non-Qualified Stock Option granted
      to
      such Participant which is then outstanding may be exercised at any time prior
      to
      the expiration of the term of such Non-Qualified Stock Option or within three
      (3) months in the case of Retirement and twelve (12) months in case of
      Disability (or such shorter period as the Board shall determine at the time
      of
      grant) following the Participant’s termination of employment, whichever period
      is shorter.

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

       

    

    (e)
      Unless otherwise determined by the Board at the time of grant, in the event
      a
      Participant’s employment by the Company or membership on the Board is terminated
      by reason of death, any Non-Qualified Stock Option granted to such Participant
      which is then outstanding may be exercised by the Participant’s legal
      representative at any time prior to the expiration date of the term of the
      Non-Qualified Stock Option or within twelve (12) months (or such shorter
      period as the Board shall determine at the time of grant) following the
      Participant’s termination of employment, whichever period is
      shorter.

     

    (f)
      Unless otherwise determined by the Board at or after the time of grant, in
      the
      event a Participant’s employment by the Company or membership on the Board shall
      terminate for Cause, any Non-Qualified Stock Option granted to such Participant
      which is then outstanding shall be canceled and shall terminate.

     

    (g)
      Unless otherwise determined by the Board at or after the time of grant, in
      the
      event a Participant’s employment by the Company or membership on the Board shall
      terminate for any reason other than death, Disability, Retirement or Cause,
      any
      Non-Qualified Stock Option granted to such Participant which is then outstanding
      may be exercised at any time prior to the expiration of the term of such Option
      or within three (3) months (or such shorter period as the Board shall
      determine at the time of grant) following Participant’s termination, whichever
      period is shorter.

     

    Section 8.
      General Provisions Applicable to Options

     

    (a)
      Each
      Option under the Plan shall be evidenced by a writing delivered to the
      Participant specifying the terms and conditions thereof and containing such
      other terms and conditions not inconsistent with the provisions of the Plan
      as
      the Board considers necessary or advisable to achieve the purposes of the Plan
      or comply with applicable tax and regulatory laws and accounting
      principles.

     

    (b)
      Each
      Option may be granted alone, in addition to or in relation to any other Option.
      The terms of each Option need not be identical, and the Board need not treat
      Participants uniformly. Except as otherwise provided by the Plan or a particular
      Option, any determination with respect to an Option may be made by the Board
      at
      the time of grant or at any time thereafter.

     

    (c)
      The
      Board shall determine whether Options are settled in whole or in part in cash,
      Common Stock, other securities of the Company, or other property, and may,
      in
      its discretion, permit “cashless exercises” pursuant to such procedures as may
      be established by the Board.

     

     

    (d)
      No
      shares shall be delivered pursuant to any exercise of an Option until payment
      in
      full of the option price therefor is received by the Company. Such payment
      may
      be made in whole or in part in cash or by certified or bank check or, to the
      extent permitted by the Board at or after the grant of the Option, by delivery
      of shares of Common Stock owned by the Participant valued at their Fair Market
      Value on the date of delivery, or such other lawful consideration as the Board
      may in its sole discretion determine.

     

    (e)
      No
      Option shall be transferable by the Participant otherwise than by will or by
      the
      laws of descent and distribution, and all Options shall be exercisable during
      the Participant’s lifetime only by the Participant or the Participant’s duly
      appointed guardian or personal representative.

     

    (f)
      The
      Board may at any time accelerate the exercisability of all or any portion of
      any
      Option.

     

    (g)
      The
      Participant shall pay to the Company, or make provision satisfactory to the
      Board for payment of, any taxes required by law to be withheld in respect of
      Options under the Plan no later than the date of the event creating the tax
      liability. In the Board’s sole discretion, a Participant may elect to have such
      tax obligations paid, in whole or in part, in shares of Common Stock, including
      shares retained from the Option creating the tax obligation. For withholding
      tax
      purposes, the value of the shares of Common Stock shall be the Fair Market
      Value
      on the date the withholding obligation is incurred. The Company may, to the
      extent permitted by law, deduct any such tax obligations from any payment of
      any
      kind otherwise due to the Participant.

     

    (h)
      For
      purposes of the Plan, the following events shall not be deemed a termination
      of
      employment of a Participant:

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

       

    

    (i)
      a
      transfer to the employment of the Company from a subsidiary or from the Company
      to a subsidiary, or from one subsidiary to another, or

     

    (ii)
      an
      approved leave of absence for military service or sickness, or for any other
      purpose approved by the Company, if the Participant’s right to reemployment is
      guaranteed either by a statute or by contract or under the policy pursuant
      to
      which the leave of absence was granted or if the Board otherwise so provides
      in
      writing.

     

    For
      purposes of the Plan, employees of a subsidiary of the Company shall be deemed
      to have terminated their employment on the date on which such subsidiary ceases
      to be a subsidiary of the Company.

     

    (i)
      The
      Board may amend, modify or terminate any outstanding Option held by a
      Participant, including substituting therefor another Option of the same or
      a
      different type, changing the date of exercise or realization, and converting
      an
      Incentive Stock Option to a Non-Qualified Stock Option, provided that the
      Participant’s consent to each action shall be required unless the Board
      determines that the action, taking into account any related action, would not
      materially and adversely affect the Participant.

     

    Section 9.
      Miscellaneous

     

    (a)
      No
      person shall have any claim or right to be granted an Option, and the grant
      of
      an Option shall not be construed as giving a Participant the right to continued
      employment. The Company expressly reserves the right at any time to dismiss
      a
      Participant free from any liability or claim under the Plan, except as expressly
      provided in the applicable Option.

     

    (b)
      Nothing contained in the Plan shall prevent the Company from adopting other
      or
      additional compensation arrangements for its employees.

     

    (c)
      Subject to the provisions of the applicable Option, no Participant shall have
      any rights as a shareholder with respect to any shares of Common Stock to be
      distributed under the Plan until he or she becomes the holder
      thereof.

     

     

    (d)
      Notwithstanding anything to the contrary expressed in this Plan, any provisions
      hereof that vary from or conflict with any applicable Federal or State
      securities laws (including any regulations promulgated thereunder) shall be
      deemed to be modified to conform to and comply with such laws.

     

    (e)
      No
      member of the Board shall be liable for any action or determination taken or
      granted in good faith with respect to this Plan nor shall any member of the
      Board be liable for any agreement issued pursuant to this Plan or any grants
      under it. Each member of the Board shall be indemnified by the Company against
      any losses incurred in such administration of the Plan, unless his action
      constitutes willful misconduct.

     

    (f)
      The
      Plan shall be effective as of the date that the shareholders of the Company
      approve the Plan.

     

    (g)
      The
      Board may amend, suspend or terminate the Plan or any portion thereof at any
      time, provided that no amendment shall be granted without shareholder approval
      if such approval is necessary to comply with any applicable tax laws or
      regulatory requirement.

     

    (h)
      Options may not be granted under the Plan after June 27, 2016, but
      then-outstanding Options may be exercised in accordance with their terms after
      such date.

     

    (i)
      To
      the extent that State laws shall not have been preempted by any laws of the
      United States, the Plan shall be construed, regulated, interpreted and
      administered according to the other laws of the State of Delaware.

     

    (j)
      Options may be granted to employees of the Company who are foreign nationals
      or
      employed outside the United States, or both, on such terms and conditions
      different from those specified in the Plan as may, in the judgment of the Board,
      be necessary or desirable in order to recognize differences in local law or
      tax
      policy. The Board may also impose conditions on the exercise or vesting of
      Options in order to minimize the Company’s obligation with respect to tax
      equalization for employees on assignments outside their home
      country.

     

    
      
        
        

      

      
        6

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