Document:

THIS
      PATENT LICENSE AND SALES EXCLUSIVITY AGREEMENT is made on November 9,
      2005

    

    

    BETWEEN

    

    Asia
      Vital Components Co., Ltd., whose registered office is at 7F-3, No.24, Wu Chuang
      2 Rd., Hsin Chuan City, Taipei, Taiwan, R.O.C. ("AVC"); and 

    

    iCurie
      Lab Holdings Limited whose registered office is at 12 Plumtree Court, London,
      EC4A 4HT ("iCurie").

    

    

    1. Summary

    

    
      	
              1.1

            	
              AVC
                is a company incorporated in Taiwan. It has the expertise and
                infrastructure required for the manufacture of cooling devices and
                the
                incorporation of such devices into PC applications. The said “PC”
                hereunder means desktops, laptops and
                notebooks.

            

    

     

    

    
      	
              1.2

            	
              iCurie
                is a company incorporated in the United Kingdom and its Korean subsidiary
                has developed and patented a technology relating to a new microfluidic
                cooling system (“MCS”).

            

    

     

    

    
      	
              1.3

            	
              iCurie
                Lab, Inc., the Korean subsidiary of iCurie, as described in sub-section
                1.2, is a corporation incorporated under the laws of Republic of
                Korea
                (“Korea”) and having its principal place of business at 3F Joyang Bldg,
                23-1, Seokchon Dong Songpa Gu, Seoul,
                Korea.

            

    

    

    
      	
              1.4

            	
              AVC
                and iCurie Lab, Inc. entered into a Collaboration Agreement
                dated December
                11, 2002 for the development of a cooling device using MCS technology,
                and
                agreed to certain terms and conditions in connection with the business
                relationship, including but not limited to “Manufacturing” (section 3),
                “Supply and Purchase Products” (section 4), “Distribution and Sales Right”
                (section 5), “Intellectual Property Rights” (section 6) and “Use of
                Technologies” (section 7). This Agreement replaces the Collaboration
                Agreement in its entirety and the Collaboration Agreement is hereby
                made
                null, void and of no further
                effect.

            

    

    

    

    
      	
              1.5

            	
              AVC
                and iCurie signed a Letter of Intent dated on
                April 28, 2005,
                procuring
                a further agreement about the development of cooling device using
                MCS
                technology. This Agreement replaces the Letter of Intent in its entirety
                and the Letter of Intent is by made null, void and of no further
                effect.

            

    

    

    

    
      
         

      

      
        1

        
          

        

      

      
         

      

    

    
      	
              1.6

            	
              AVC
                and iCurie have agreed to enter into this patent license and sales
                exclusivity agreement in furtherance of the “Collaboration Agreement”
                (mentioned as in sub-section 1.4) and “Letter of Intent” (mentioned as in
                sub-section 1.5) to create a stand alone metal cooling device using
                the
                MCS technology for use in PCs (the “MCS Part”).

            

    

    

    

    
      	
              1.7

            	
              iCurie
                will grant AVC (i) a worldwide, perpetual, non-revocable license
                to use,
                manufacture, have manufactured and import the MCS Part and to incorporate
                the MCS Part into AVC cooling devices for PCs (the combination of
                which
                shall be called the “AVC Part”); and (ii) an exclusive right to sell and
                offer for sale the MCS Part and the AVC Part only to PC manufacturers
                headquartered anywhere in the world, except Korea and Japan.
                

            

    

    

    

    
      	
              1.8

            	
              AVC
                will grant iCurie (i) a royalty for each MCS Part or AVC Part sold
                by AVC;
                (ii) the right to purchase the MCS Part and the AVC Part from AVC;
                and
                (ii) an exclusive right to sell the MCS Part and the AVC Part to
                PC
                manufacturers only headquartered in Korea and Japan. 

            

    

    

    

    
      	
              1.9

            	
              AVC
                and iCurie anticipate that the MCS Part and the AVC Part will be
                ready for
                sale by December 31, 2005.

            

    

    

    
      	
              2.

            	
              Patent
                License
                Grant

            

    

    

    
      	
              2.1

            	
              iCurie
                grants to AVC, and AVC accepts, subject to the terms of this agreement,
                a
                worldwide, perpetual, non-revocable license to use any and all existent
                intellectual property related to the patents listed on Schedule A
                (the
                “Patents”), solely for the purpose of manufacturing, having manufactured,
                using, importing, supplying, offering to supply, selling and similar
                disposing of the MCS Parts for use in PCs only. AVC may not grant
                sub-licences under this license.

            

    

    

    
      	
              2.2

            	
              Any
                and all improvement to the Patents, whether or not patented or patentable,
                which is created or developed by iCurie or iCurie’s subsidiary after the
                date of this Agreement shall be disclosed to AVC, and iCurie grants
                AVC
                hereby a license for such improvement under the terms of this
                agreement.

            

    

    

    
      	
              3.

            	
              Sales
                Exclusivity

            

    

    

    
      	
              3.1

            	
              iCurie
                hereby grants to AVC an exclusive right to sell and offer for sale
                the MCS
                Part and the AVC Part only to PC manufacturers headquartered anywhere
                in
                the world, except Korea and Japan. 

            

    

    

    

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    
      	
              3.2

            	
              AVC
                hereby grants to iCurie (i) the right to purchase the MCS Part and
                the AVC
                Part from AVC for a markup of 15% above AVC’s manufacturing costs; and
                (ii) an exclusive right to sell the MCS Part and the AVC Part to
                PC
                manufacturers headquartered in Korea and
                Japan.

            

    

    

    

    
      	
              3.3

            	
              iCurie
                shall have the exclusive right for (i) sales of the MCS Part or the
                AVC
                Part to third parties other than PC manufacturers; and (ii) sales
                of
                non-metal cooling devices using MCS
                technology.

            

    

    

    
      	
              3.4

            	
              Without
                prior written consent of iCurie, AVC shall not sell the MCS Part
                or AVC
                Part to PC manufacturers headquartered in Korea or Japan. Equally,
                without
                prior written consent of AVC, iCurie shall not sell the MCS Part
                or AVC
                Part to PC manufacturers other than headquartered in Korea or
                Japan.

            

    

    

    
      	
              4.

            	
              Royalty

            

    

    

    
      	
              4.1

            	
              In
                consideration of the rights and exclusivities granted to AVC by iCurie
                under this Agreement, AVC shall, within 30 days of the end of each
                month
                during the term of this Agreement, pay to iCurie royalties per
                MCS Part or AVC Part sold by AVC during the term of this Agreement,
                except
                MCS Part or AVC Part supplied to iCurie, whether directly or indirectly.
                The royalties are payable as outlined below:

            

    

     

    
      	 	Yearly Volumes 	Royalties per MCS Part 
	 	 	 
	 	1 - 2,000,000	10 % of AVC’s
              average sale price 
	 	2,000,001 - 4,000,000	9% of AVC’s
              average sale price 
	 	4,000,001 - 6,000,000	8 % of AVC’s
              average sale price 
	 	6,000,001 - 8,000,000	7 % of AVC’s
              average sale price
	 	8,000,001 - or more	6 % of AVC’s
              average sale price
	 	 	 
	 	 	 
	 	Yearly Volumes 	Royalties per AVC Part
	 	 	 
	 	1 - 2,500,000 	7% of AVC’s
              average sale price 
	 	2,500,001 - 5,250,000	6 % of AVC’s
              average sale price
	 	5,250,001 - 8,000,000	5 % of AVC’s
              average sale price
	 	8,000,001 - or more	4 % of AVC’s
              average sale price

    

         

    Each
      of
      the parties hereby agree and acknowledge that the above-stated “Yearly Volumes”
are based on the amount of sales during a single calendar year, and are not
      cumulative. Furthermore, iCurie shall have the right to audit AVC for the
      determination of the “Yearly Volume” and AVC’s “average sale
      price.”

    

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    
      	
              5.

            	
              Term
                of Agreement

            

    

    

    
      	
              5.1

            	
              The
                term of this Agreement (and the licenses and rights granted herein)
                shall
                be from the date this Agreement is executed through December 31,
                2008;
                provided however, iCurie shall have the right but not the obligation
                to
                terminate the sales exclusivity granted in Section 3.1 if AVC fails
                to
                sell the following volumes of MCS Parts and AVC Parts for the following
                calendar years:

            

    

     

     

    
      	 	Calendar Year	Number of MCS Parts and AVC Parts
              Sold
	 	 	 
	 	2006 	3,000,000
	 	2007 	8,000,000 
	 	2008	19,000,000

  

    The
      termination of the sales exclusivity in Section 3.1 does not preclude AVC from
      continuing to exclusively sell to its then current customers at the time of
      the
      termination. Furthermore, if the MCS Part or AVC Part is not ready for sale
      by
      December 31, 2005, iCurie agrees to adjust the 2006 sales volume pro rata to
      reflect the first date of AVC’s sale of the MCS Parts or AVC Parts (i.e., if AVC
      does not sale a MCS Part or AVC Part until May 1, 2006, then the volume
      requirement for calendar year 2006 will be adjusted pro rata to
      2,000,000).

    

    
      	
              5.2

            	
              Upon
                expiration or termination of this Agreement, all rights and obligations
                hereunder shall terminate forthwith except the provisions of Sections
                2
                and 13.

            

    

    

    
      	
              6.

            	
              Severability.

            

    

    

    
      	
              6.1

            	
              If
                any term or provision in this Agreement shall in whole or in part
                be held
                to any extent to be illegal or unenforceable by any court or other
                competent authority that term or provision or part shall to that
                extent be
                deemed to be deleted and not form part of this agreement and the
                enforceability of the remainder of this agreement shall not be affected.
                In the event of any such deletion the parties shall negotiate in
                good
                faith in order to agree an alternative provision in place of the
                provision
                so deleted.

            

    

    

    
      	
              7.

            	
              Modifications.

            

    

    

    
      	
              7.1

            	
              Modifications
                to this Agreement shall not be effective unless they are in writing
                and
                signed on behalf of all parties by an authorized
                signatory.

            

    

    

    
      	
              8.

            	
              Assigning
                and Change of Control.

            

    

    

    
      	
              8.1

            	
              Neither
                party may assign or otherwise deal in any of its rights under this
                Agreement or sub-contract the performance of any of its obligations
                under
                this Agreement without the consent of the other
                party.

            

    

    

    
      	
              8.2

            	
              If
                ownership or management of either party is about to be subject to
                a change
                of control then such party shall give notice of the proposed change
                of
                control to the other party. In the event of a change of control of
                the
                ownership or management of a party, the other party may at any time
                within
                six months of such event coming to its attention terminate this agreement
                immediately by giving notice to changed
                party.

            

    

    

    

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    

    
      	
              9.

            	
              Relationship
                between the Parties.

            

    

    

    
      	
              9.1

            	
              Nothing
                in this Agreement creates a partnership, agency relationship, franchise,
                employment relationship between the parties. No party is permitted
                to
                enter into any Agreement with a third party on behalf of any other,
                nor
                make any representation or give any warranty to a third party on
                behalf of
                any other to act as, or represent that it is an agent of any other
                party,
                or otherwise bind any other party in any manner whatsoever without
                the
                consent of that other.

            

    

    

    
      	
              10.

            	
              Entire
                Agreement.

            

    

    

    
      	
              10.1

            	
              This
                Agreement constitutes the entire agreement between the parties and
                supersedes any previous agreement between the parties in relation
                to the
                subjects covered by them. Each party acknowledges and agrees that
                it has
                not been induced to enter into this Agreement in reliance upon any
                representation, warranty or other term other than as expressly set
                out in
                this agreement. The only remedy available to a party for breach of
                such
                representation, warranty or term shall be for breach of contract.
                Nothing
                in this agreement shall limit or exclude liability for fraud or fraudulent
                misrepresentation. Except as expressly set out in this agreement
                all
                conditions, warranties, representations and other terms, whether
                express
                or implied by statute, common law, trade practice or howsoever, are
                excluded.

            

    

    

    
      	
              11.

            	
              Notices.

            

    

    

    
      	
              11.1

            	
              All
                notices and consents relating to this Agreement must be in writing
                and
                signed by an authorised signatory. Notices may be sent by
                internationally-recognized courier to the addressee's address (or
                such
                other address as it may have notified to the party giving the notice)
                and
                any notice so sent shall be considered served on the date that it
                would
                have been received in the normal course of post. Notices may be sent
                by
                fax provided (a) an acknowledgment of receipt is received by the
                sending
                machine and (b) a copy of the notice is sent by internationally-recognized
                courier the same or the following
                day.

            

    

    

    
      	
              12.

            	
              Waiver.

            

    

    

    
      	
              12.1

            	
              If
                a party delays in enforcing its rights under this Agreement (whether
                in
                relation to a breach by the other party or otherwise) then unless
                the
                party concerned expressly agrees otherwise, that delay shall not
                be
                treated as waiving the rights of the party concerned. The single
                or
                partial exercise of any right, power or remedy shall not preclude
                any
                other or further exercise of that right, power or remedy. Any waiver
                of a
                party's rights in relation to a particular breach of this Agreement
                shall
                not operate as a waiver of any subsequent breach. No custom or practice
                of
                the parties at variance with the terms of this Agreement shall constitute
                a waiver of the rights of either party under this
                Agreement.

            

    

    

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    

    
      	
              13.

            	
              Indemnity

            

    

    

    
      	
              13.1

            	
              iCurie
                shall at its expense, defend, indemnify and hold harmless AVC, its
                subsidiaries, its subcontractors and its customers and any of their
                officers, directors, employees or agents, from and against any and
                all
                damages, claims, losses and/or expenses, including, without limitation,
                reasonable attorney’s fees, arising out of, in connection with or relating
                to any and all action or claim that the MCS Part infringe or
                misappropriate any patent, copyright, trade secret, trademark or
                other
                intellectual property rights of any third party; provided that AVC
                shall
                (i) notify iCurie in writing of the action or claim, (ii) provide
                iCurie
                with reasonable information and assistance at iCurie’s expense for the
                defense or settlement of the action or claim, and (iii) grant iCurie
                reasonable control of the defense or settlement of the action or
                claim
                through representatives reasonably acceptable to
                AVC.

            

    

    

    
      	
              13.2

            	
              In
                the event that the MCS Part (or AVC Part because of MCS Part) are
                held to
                infringe or misappropriate any patent, copyright, trade secret, trademark
                or other intellectual property rights of any third party or their
                use is
                enjoined, an injunction issues as a result of any action or claim
                iCurie
                shall at its own expense, and AVC’s option to either (i) procure for AVC,
                its subsidiaries, its subcontractors and its customers the royalty-free
                right to continue distributing, using, manufacturing, importing,
                selling
                and offering for sale MCS Part and AVC Part; or (ii) refund to AVC
                the
                royalty paid for any MCS Part and AVC Part.  

            

    

    

    
      	
              14.

            	
              Cumulative
                Remedies.

            

    

    

    
      	
              14.1

            	
              Any
                right, remedy or power to which either party is or may become entitled
                under this Agreement or in consequence of another's conduct may be
                enforced from time to time separately or concurrently with any right
                or
                remedy given by this Agreement or now or afterwards provided for
                and
                arising by operation of law so that such rights and remedies are
                not
                exclusive of the other or others but are
                cumulative.

            

    

    

    
      	
              15.

            	
              Rights
                of Third Parties.

            

    

    

    
      	
              15.1

            	
              No
                term of this agreement shall be enforceable by a party other than
                the
                parties to this Agreement. The parties reserve the right to rescind
                or
                vary this Agreement without the consent of any person who is not
                a party
                to the Agreement.

            

    

    

    
      	
              16.

            	
              Further
                Assurance.
                

            

    

    

    
      	
              16.1

            	
              Each
                party to this Agreement shall at the request and expense of the others
                execute and do any deeds and things reasonably necessary to give
                effect to
                this Agreement.

            

    

    

    

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    

    
      	
              17.

            	
              Publicity.

            

    

    

    
      	
              17.1

            	
              No
                party may include another's name or any information concerning the
                transactions referred to in this Agreement in any of its publicity
                material, press announcements or other communications without first
                obtaining that other party's written consent, except that nothing
                shall
                restrict the parties from complying with any regulation or legislation
                pertaining to public announcements.

            

    

    

    
      	
              18.

            	
              Precedence.

            

    

    

    
      	
              18.1

            	
              In
                the event of any conflict between the provisions of this Agreement
                and the
                provisions of any subsequent confirmatory or formal license the provisions
                of this Agreement shall prevail.

            

    

    

    
      	
              19.

            	
              Counterparts.

            

    

    

    
      	
              19.1

            	
              This
                Agreement may be executed in any number of counterparts, each of
                which
                shall be deemed to be an original, and which together shall constitute
                one
                and the same agreement. Unless otherwise provided in this agreement,
                this
                agreement shall become effective and be dated (and each counterpart
                shall
                be dated) on the date on which this Agreement (or a counterpart of
                this
                agreement) is signed by the last of the parties to execute this agreement
                or, as the case may be, a counterpart
                thereof.

            

    

    

    
      	
              20.

            	
              Governing
                law and dispute resolution.

            

    

    

    
      	
              20.1

            	
              This
                agreement is governed by and shall be construed in accordance with
                the law
                of the Republic of South Korea. 

            

    

    

    
      	
              20.2

            	
              Any
                disagreement, dispute, controversy or claim arising out of or relating
                to
                this Agreement or the interpretation hereof or any arrangements relating
                hereto or contemplated herein or the breach, termination or invalidity
                hereof shall be settled exclusively and finally by arbitration. It
                is
                specifically understood and agreed that any disagreement, dispute
                or
                controversy which cannot be resolved between the Parties, including
                without limitation any matter relating to the interpretation of this
                Agreement, shall be submitted to
                arbitration.

            

    

    

    
      	
              20.3

            	
              The
                arbitration shall be conducted pursuant to the Rules of Conciliation
                and
                Arbitration of the International Chamber of Commerce (the "ICC
                Rules").

            

    

    

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    
      	
              20.4

            	
              The
                arbitration shall be (i) conducted in Seoul, Korea, if brought by
                AVC, and
                (ii) conducted in Taipei, Taiwan, if brought by
                iCurie.

            

    

    

    
      	
              20.5

            	
              The
                language used in the arbitration shall be the English
                language.

            

    

    

    
      	
              20.6

            	
              Any
                decision or award of the arbitral tribunal shall be final and binding
                upon
                the Parties to the arbitration proceeding. The Parties waive to the
                extent
                permitted by law any rights to appeal or to review of such award
                by any
                court or tribunal. The Parties hereto agree that the arbitral award
                may be
                enforced against the Parties to the arbitration proceeding or their
                assets
                wherever they may be found and that a judgment upon the arbitral
                award may
                be entered in any court having jurisdiction
                thereof.

            

    

    

    ACCEPTED
      AND AGREED:

     

    
 

    
      	“iCURIE”	“AVC”	 
	 	 	 
	iCurie Lab Holdings Limited	Asia Vital Components, Inc.	 
	 	 	 
	Signed: /s/
              Hakan Wretsell 	Signed: /s/
              J.C. Lin	 
	 	 	 
	Name: Hakan
              Wretsell 	Name: J.C.
              Lin	 
	 	 	 
	Title: CEO	Title: CTO	 

    

        

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    SCHEDULE
      A

    

    PATENTS
      LICENSED FROM iCURIE TO AVC

    

    
      	
               

              Description

            	
               

              Country

            	
              Patent

              Registration/Application
                Number

            
	
               

              Micro
                cooling device

            	
               

              Korea

            	
               

              Registration
                Number:

              0294317

            
	
               

              Planar
                type heat transferring device and manufacturing method
                thereof

            	
               

               

              Korea

            	
               

               

              Application
                Number:

              10-2004-0091617

            
	
               

              Heat
                transfer device and manufacturing method thereof using hydrophilic
                wick

            	
               

               

              Korea

            	
               

               

              Application
                Number:

              10-2005-0001028

            

    

    

    
      
         

      

      
        9EXHIBIT 10.1

                           2006 STOCK OPTION AGREEMENT

                                       6
<PAGE>

                           2006 STOCK OPTION AGREEMENT

      THIS 2006 STOCK OPTION AGREEMENT (this "Agreement") is made as of the 23rd
day of March, 2006, by and between Capital City Bank Group, Inc., a Florida
corporation (the "Company"), and William G. Smith, Jr. (the "Participant").

      WHEREAS, the Participant is a key executive officer and associate of the
Company and certain of its subsidiaries that has been selected to receive a
Stock Option Grant under the 2005 Plan by the Committee appointed by the
Company's Board of Directors (the "Board") to administer the 2005 Plan, subject
to the terms and conditions contained herein, which award has been ratified and
approved by the Board.

      NOW, THEREFORE, in consideration of the premises and the mutual covenants
contained herein, and for other good and valuable consideration, the receipt and
adequacy of which are hereby acknowledged, the parties hereto agree as follows:

      1. Definitions. Capitalized terms used and not otherwise defined herein
shall have the meanings attributed thereto in the Capital City Bank Group, Inc.
2005 Associate Incentive Plan (the "2005 Plan"). The following terms shall have
the meanings set forth below:

            (a) Compounded Earnings Per Share Growth Rate. The Compounded
Earnings Per Share Growth Rate means that rate which would discount over a three
(3) year period the Company's earnings per share for the year ended December
31st of the terminal year to a present value equal to the Company's earnings per
share for the base year. For purposes of this calculation, 2004 shall serve as
the base year and 2006 shall serve as the terminal year. The Compounded Earnings
Per Share Growth Rate for the common stock shall be calculated based upon the
audited financials for CCBG and shall be calculated by the Company's auditors in
accordance with Generally Accepted Accounting Principals using diluted earnings
per share before extraordinary items. The Compounded Earnings Per Share Growth
Rate is to be compared to the target rates in section 3(b) for purposes of
calculating the Economic Value.

            (b) Stock Option Award. The Stock Option Award means the number of
stock options to be awarded under this Agreement and shall be determined by
dividing the Economic Value by the Black-Scholes Valuation.

            (c) Economic Value. The Economic Value shall mean the absolute
dollar value calculated pursuant to Section 3 that will range from $0 to
$500,000.

            (d) Black-Scholes Valuation. The Black-Scholes Valuation shall mean
the economic value of one Stock Option that is calculated by taking into account
the Date of Grant, Risk-Free Rate, Stock Option Term, Exercise Price and
Volatility. The Black-Scholes calculation is based upon a European Call that
takes into consideration dividend payments and shall be calculated as described
on Schedule A.

            (e) Date of Grant. Subject to Section 4, the Date of Grant shall be
the date the Participant will be eligible to receive the Stock Option Award.
This date will be no later than 60 days after the fiscal year 2006 audited
earnings of the Company have been released to the general public.

                                       7
<PAGE>

            (f) Risk-Free Rate. The Risk-Free Rate means the rate of interest on
a debt security issued by the United States Government Treasury that has a term
from one to 10 years in duration which security shall be selected by the
Committee, in its sole discretion.

            (g) Stock Option Term. The Stock Option Term shall be a period of 10
years from the Date of Grant.

            (h) Stock Option Type. The Stock Option Type shall be Non-Qualified
Stock Options as defined under Section 2(r), "Non-Qualified Stock Options," of
the 2005 Plan. The options under this Agreement are not intended to qualify as
incentive stock options under Section 422 of the Internal Revenue Code of 1986
(the "Code").

            (i) Exercise Price. The Exercise price means the closing price of a
share of Common Stock of the Company as reported on the NASDAQ National Market
or any successor automated quotation system or exchange on which Common Stock is
traded (as accurately reported in the Wall Street Journal or any successor
publication selected by the Committee) as of the Date of Grant.

            (j) Volatility. Volatility means the standard deviation of the daily
closing price of a share of Common Stock of the Company over the calendar year
immediately preceding the Date of Grant.

            (k) Dividend Rate. The Dividend Rate means the annualized dividend
rate that is paid to a shareholder of Common Stock of the Company that is in
effect as of the Date of Grant.

      2. Stock Option Grant. Upon the Company achieving the earnings per share
conditions in Section 3, the Participant shall receive the Stock Option Award,
subject to the vesting provisions of Section 4 and all terms and conditions of
this Agreement.

      3. Earnings Per Share Conditions.

            (a) Subject to Section 4, the Participant shall be eligible to
receive the Stock Option Award based on an Economic Value of up to $500,000
which shall be calculated pursuant to the Compounded Earnings Per Share Growth
Rate conditions set forth in Section 3(b). Notwithstanding the foregoing, the
Stock Option Award pursuant to this Agreement shall not be delivered to the
Participant unless and until the Participant satisfies the vesting conditions of
Section 4.

            (b) The Compounded Earnings Per Share Growth Rate shall be
calculated within 30 days of the reporting to the public of the 2006 earnings
per share of CCBG. If the Compounded Earnings Per Share Growth Rate is below the
Minimum Performance Level set forth below, then no Stock Option Award will be
granted to the Participant under this Agreement. Assuming the Compounded
Earnings Per Share Growth Rate is at or above the Minimum Performance Level,
then the Economic Value will be as follows:

<TABLE>
<CAPTION>
                                           Target Compounded Earnings            Economic Value of the Amount
   Financial Performance                      Per Share Growth Rate                     of Stock Options
   ---------------------                      ---------------------                     ----------------
<S>                                                         <C>                                     <C>
Minimum Performance Level                                   7 1/2%                                    $ 0

Target Performance Level                                    10%                                    $ 250,000

Maximum Performance Level                                  12 1/2%                                 $ 500,000
</TABLE>

If the Compounded Earnings Per Share Growth Rate is greater than the Minimum
Performance Level and less than or equal to the Maximum Performance Level, then
the Economic Value for calculating the Stock Option Award will be awarded on a
pro-rata basis. For example, if the Compounded Earnings Per Share Growth Rate is
eleven percent (11%), a factor would be calculated by subtracting the Minimum
Performance Level from eleven percent (11%) and dividing this amount by five
percent (5%) which is the difference between the Maximum and Minimum Performance
Levels (i.e., 11% - 7 1/2% / 5% = .7). This factor should then be multiplied by
$500,000 (the maximum Economic Value) to determine the actual Economic Value. In
this example, the Economic Value would be $350,000 (i.e., .7 x $500,000).

      4. Vesting.

            (a) Provided the Participant remains in the employ of the Company
and its subsidiaries, the Stock Option Award will vest at a rate of one-third
(1/3) on each of the first, second and third anniversaries of the Date of Grant.
For example, if 9,000 stock options were granted on March 1, 2007, then 3,000
options would vest on each of March 1, 2008, March 1, 2009 and March 1, 2010. If
the Participant fails to satisfy the vesting period with respect to any portion
of the Stock Option Award granted pursuant to Section 3(a) hereof, he shall
forfeit his interest in such unvested portion of the Stock Option Award and the
right to receive any shares of Common Stock thereunder unless (i) the Committee
waives this condition at the time his employment actually terminates or (ii) the
Participant's employment with the Company and its subsidiaries terminates by
reason of (x) his death, (y) his disability (as determined by the Committee in
its sole discretion using a standard which is no less rigorous than the standard
for disability described in Section 22(c)(3) of the Code, or (z) a Change in
Control.

            (b) Except as otherwise provided in Sections 10 and 11, any Stock
Options underlying a Stock Option Award which the Participant does not forfeit
under Section 4(a) may be exercised by the Participant, in accordance with
Section 7(b) of the 2005 Plan and any forfeiture conditions under this Agreement
or the Plan, as soon as practicable after the vesting period under Section 4(a)
has been satisfied; provided, however, if the Committee at any time before such
transfer reasonably determines that the Participant might have violated any
applicable civil or criminal law or did violate any standard of conduct or
ethics applicable generally for officers, directors or associates of the Company
and its subsidiaries, the Committee shall have the right to completely revoke
the Participant's interest in such Stock Option Award and the shares of Common
Stock underlying such Stock Option Award without regard to whether (i) the
Participant has satisfied the vesting periods set forth in Section 4(a) before
the date the Committee makes such determination, or (ii) the Participant's
employment is (or might have been) terminated as a result of such conduct.

      5. Representations and Warranties of the Participant. The Participant
represents, warrants and covenants that:

            (a) Knowledge and Experience. The Participant has such knowledge and
experience in financial and business matters that he, together with his
professional advisor is capable of evaluating the merits and risks of receipt of
this Agreement and the Stock Options underlying such award (collectively, the
"Securities"). The Participant has had access to such information concerning the
Company, including its current financial statements, as the Participant deems
necessary to enable him to make an informed decision concerning receipt of the
Securities.

            (b) Withholding Taxes. The Participant acknowledges and agrees that
the Company may withhold from the Participant's cash compensation (whether paid
in the form of salary, bonus or other type of cash payment) an amount calculated
on the taxable income recognized by the Participant with respect to an exercise
of the Stock Options as dictated under the 2005 Plan, calculated at the maximum
withholding rate permitted for the Company under the Code. The date or dates of
such taxable income recognition, and the Company's corresponding right to
withhold from the Participant's cash compensation, shall be as determined by the
Code.

                                       8
<PAGE>

            (c) Agreement to Purchase for Investment. By acceptance of this
Agreement, the Participant agrees that a purchase of shares under this Agreement
will not be made with a view to their distribution, as that term is used in the
Securities Act of 1933, as amended (the "Act"), unless in the opinion of counsel
to the Company such distribution is in compliance with or exempt from the
registration and prospectus requirements of the Act, or a registration statement
is in effect pursuant to the Act with respect to the shares, and the Participant
agrees to sign a certificate to such effect at the time of exercising this
option and agrees that the certificate for the shares so purchased may be
inscribed with a legend to ensure compliance with the Act.

      6. Partial Exercise. Exercise of Stock Option Awards up to the extent
above stated may be made in part at any time and from time to time within the
above limits, except that these options may not be exercised for a fraction of a
share. Any fractional share with respect to which an installment of these
options cannot be exercised because of the limitation contained in the preceding
sentence shall remain subject to this Agreement and shall be available for later
purchase by the Participant in accordance with the terms hereof.

      7. Payment of Price. The Exercise Price is payable (i) in cash, (ii) by
personal check, certified check or bank cashier's check payable to the order of
the Company in the amount of such purchase price, (iii) by delivery to the
Company of Common Stock having a fair market value equal to such purchase price,
provided that such Common Stock has been owned by the Participant for at least
six (6) months or such longer period as the Compensation Committee of the Board
may determine as necessary to avoid adverse accounting treatment by the Company,
(iv) by irrevocable instructions to a broker to deliver promptly to the Company
the amount of sale or loan proceeds necessary to pay such purchase price and to
sell the Common Stock to be issued upon exercise of the option and deliver the
cash proceeds less commissions and brokerage fees to the Participant or to
deliver the remaining shares of Common Stock to the Participant, or (v) by any
combination of the methods of payment described in (i) through (iv) above.

      8. Method of Exercising Option. Subject to the terms and conditions of
this Agreement, vested Stock Options may be exercised by written notice to the
Company, at the principal executive office of the Company, or to such transfer
agent as the Company shall designate. Such notice shall state the election to
exercise an option and the number of shares in respect of which it is being
exercised and shall be signed by the person or persons so exercising this
option. Such notice shall be accompanied by payment as set forth in Section 7 of
the full purchase price of such shares, and the Company shall deliver a
certificate or certificates representing such shares as soon as practicable
after such payment shall be received. The certificate or certificates for the
shares as to which the vested Stock Options shall have been so exercised shall
be registered in the name of the person or persons so exercising this option
(or, if this option shall be exercised by the Participant and if the Participant
shall so request in the notice exercising this option, shall be registered in
the name of the Participant and another person jointly, with right of
survivorship) and shall be delivered as provided above to or upon the written
order of the person or persons exercising this option. In the event this option
shall be exercised by any person or persons other than the Participant (if in
compliance with the 2005 Plan), such notice shall be accompanied by appropriate
proof of the right of such person or persons to exercise the vested Stock
Options. All shares that shall be purchased upon the exercise of the vested
Stock Options as provided herein shall be fully paid and non-assessable.

                                       9
<PAGE>

      9. No Obligation to Exercise Option. The grant and acceptance of this
Agreement imposes no obligation on the Participant to exercise any vested Stock
Options.

      10. Death or Disability of the Participant. In the event of the
Participant's death or termination due to disability, the Stock Option Award or
any part thereof granted to the Participant which has not vested under Section
4(a) shall, as of the date of death or disability, become vested with respect to
the Participant and may be exercised by the Participant or his legal
representative free of any restriction or forfeiture conditions under this
Agreement, subject to the 2005 Plan.

      11. Change in Control. In the event of Change in Control as defined in
Section 2(f) of the 2005 Plan, all of the Stock Options awarded to the
Participant pursuant to Stock Option Award shall become immediately vested with
respect to the Participant and may be exercised by the Participant free of any
restriction or forfeiture condition under this Agreement, subject to the 2005
Plan.

      12. Capital Changes and Business Successions. The 2005 Plan contains
provisions covering this treatment of options in a number of contingencies such
as stock splits and mergers. Provisions in the 2005 Plan for adjustment with
respect to stock subject to options and the related provisions with respect to
successors to the business of the Company are hereby made applicable hereunder
and are incorporated herein by reference.

      13. Reservation of Common Stock. The Company will at all times reserve and
keep available for issuance upon the exercise of this Agreement such number of
its authorized but unissued shares of Common Stock as will be sufficient to
permit the exercise in full hereof, and upon such issuance such shares of Common
Stock will be validly issued, fully paid, and nonassessable.

      14. No Shareholder Rights or Obligation. This Agreement will not entitle
the Participant (or subsequent holder of this Agreement) to any voting rights or
other rights as a shareholder of the Company as to any unexercised Stock
Options. No provision of this Agreement will give rise to any obligation of the
Participant for the Exercise Price for unexercised Stock Options or cause the
Participant to have any obligation as a shareholder of the Company regarding any
unexercised Stock Options.

      15. Termination Rights. Nothing in the Agreement shall confer upon the
Participant any right to continue in the employ of the Company or any of its
subsidiaries or interfere in any way with the right of the Company to change or
terminate the employment of the Participant as any time, for any reason
whatsoever, with or without cause. Designation as a Participant pursuant to this
Agreement will not confer any right on the Participant to be designated as a
Participant in the future. Notwithstanding the foregoing, however, this
paragraph shall not change the terms and conditions of any employment agreement
in effect between the Participant and the Company.

      16. Interpretation. The Committee's interpretation of this Agreement, the
2005 Plan and all other decisions and determinations by the Committee shall be
final and binding upon the parties hereto. The Committee may amend any provision
of this Agreement at any time; provided that, except with the written consent of
the Participant, no amendment of this Agreement will impair the rights of the
Participant to the Securities except as otherwise set forth in this Agreement.

      17. Company Rights. This Agreement shall not in any way affect the right
of the Company to make changes of its capital structure or to merge or
consolidate or to dissolve, liquidate or sell all or any part of its business or
its assets.

      18. 2005 Plan. The terms and provision of the 2005 Plan are incorporated
herein by reference, and the Participant agrees to be bound by all such terms
and provisions. In the event of a conflict or inconsistency between any terms
and conditions of this Agreement and the 2005 Plan, the 2005 Plan shall govern
and control. Determinations made in connection with this Agreement pursuant to
the 2005 Plan shall be governed by the 2005 Plan as it exists on this date.

                                       10
<PAGE>

      19. Miscellaneous. This Agreement represents the entire understanding and
agreement between the parties with respect to the subject matter of this
Agreement, and supersedes all other negotiations, understandings and
representations (if any) made by and between the parties. All of the terms and
provisions of this Agreement shall be binding upon, inure to the benefit of, and
be enforceable by the parties and their respective heirs, legal representatives,
successors and permitted assigns, whether so expressed or not. No party shall
assign its rights or obligations under this Agreement without the prior written
consent of each other party to this Agreement.

            The headings contained in this Agreement are for convenience of
reference only, and shall not limit or otherwise affect in any way the meaning
or interpretation of this Agreement. If any part of this Agreement or any other
agreement entered into pursuant to this Agreement is contrary to, prohibited by
or deemed invalid under applicable law or regulation, such provision shall be
inapplicable and deemed omitted to the extent so contrary, prohibited or
invalid, but the remainder of this Agreement shall not be invalidated thereby
and shall be given full force and effect so far as possible. All covenants,
agreements, representations and warranties made in this Agreement or otherwise
made in writing by any party pursuant to this Agreement shall survive the
execution and delivery of this Agreement and the consummation of the
transactions contemplated hereby.

            The parties acknowledge that a substantial portion of the
negotiations and anticipated performance of this Agreement occurred or shall
occur in Leon County, Florida. Any civil action or legal proceeding arising out
of or relating to this Agreement shall be brought in the courts of record of the
State of Florida in Leon County or the United States District Court, Northern
District of Florida. Each party consents to the jurisdiction of this court in
any civil action or legal proceeding and waives any objection to the laying of
venue of any civil action or legal proceeding in court. Service of any court
paper may be effected on a party by mail, as provided in this Agreement, or in
any other manner as may be provided under applicable laws, rules of procedure or
local rules.

            All notices required under this Agreement shall be in writing and
shall be deemed to have been given, made, and received only upon (a) delivery,
if personally delivered to a party; (b) one business day after the date of
dispatch, if by facsimile; (c) one business day after deposit, if delivered by a
nationally recognized courier service offering guaranteed overnight delivery; or
(d) three business days after deposit in the mail, if by United States certified
mail, postage prepaid, return receipt requested, at the address appearing on the
records of the party sending the notice (which address may be changed by a
notice complying with the foregoing).

            This Agreement and all transactions contemplated by this Agreement
shall be governed by, and construed and enforced in accordance with, the
internal laws of the State of Florida without regard to principles of conflicts
of laws. If any legal action or other proceeding is brought for the enforcement
of this Agreement, or because of an alleged dispute, breach, default, or
misrepresentation in connection with any provision of this Agreement, the
successful or prevailing party or parties shall be entitled to recover
reasonable attorneys' fees, sales and use taxes, court costs, and all other
expenses even if not taxable as court costs. This Agreement may be executed in
one or more counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same instrument.

                                       11
<PAGE>

      IN WITNESS WHEREOF, the parties have caused this Agreement to be signed as
of the date first written above.

         Witnesses:                       CAPITAL CITY BANK GROUP, INC.

                                          By: /s/J. Kimbrough Davis
-------------------------------------         ----------------------------------
                                              J. Kimbrough Davis
                                              Executive Vice President and
                                              Chief Financial Officer

                                              /s/ William G. Smith
-------------------------------------         ----------------------------------
                                              William G. Smith, Jr.

                                       12
<PAGE>

                                   SCHEDULE A

                            Black-Scholes Calculation

The Black-Scholes model that prices a stock option where the underlying stock
pays a dividend utilizes the option pricing formula for a European call:

         Black-Scholes Valuation = Se-qtN(d1) -Xe-rtN(d2)

Where we have the following variables:

     o   X:       Exercise Price, per Definition 1(i)

     o   S:       Stock price (which equals the Exercise Price)

     o   q:       Dividend Rate, per Definition 1(k)

     o   T:       Stock Option Term, per Definition 1(g)

     o   r:       Risk-Free Rate, per Definition 1(f)

     o   v:       Volatility, per Definition 1(j)

     o   d1:      In(S/X)+(r-q+v2/2)T
                  -------------------
                          --
                         /
                      V\/T

     o   d2:      d1-vT

And the following functions:

     o   e(z):    Is the exponential function raised to the stated the power of
                  the quantity z

     o   N(z):    The cumulative normal distribution function of the quantity z

     o   ln(z):   The natural logarithmic function of the quantity z

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00100-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00100-of-00352.parquet"}]]