Document:

a2007equityincentivecomp

Exhibit 10.22  VISA INC.   2007 EQUITY INCENTIVE COMPENSATION PLAN  (Amended and Restated as of January 26, 2021)  ARTICLE I    ESTABLISHMENT; PURPOSES; AND DURATION  1.1 Establishment of the Plan.  The Plan permits the grant of Non-Qualified Stock  Options, Incentive Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Stock Units,  Performance Units, Performance Shares, Cash-Based Awards, and Other Stock-Based Awards.  Following  adoption of the Plan by the Board of Directors, the Plan shall become effective upon the date on which the  Plan is approved by the Company’s stockholders, which approval must occur within the period ending  twelve (12) months after the date the Plan is adopted by the Board.  The Plan shall remain in effect as  provided in Section 1.3   1.2 Purposes of the Plan.  The purposes of the Plan are to provide additional  incentives to non-employee directors of the Company and to those officers, employees, and consultants of  the Company, Subsidiaries, and Affiliates whose substantial contributions are essential to the continued  growth and success of the business of the Company and the Subsidiaries and Affiliates, in order to  strengthen their commitment to the Company and the Subsidiaries and Affiliates, and to attract and retain  competent and dedicated individuals whose efforts will result in the long-term growth and profitability of  the Company and to further align the interests of such non-employee directors, officers, employees, and  consultants with the interests of the stockholders of the Company.   1.3 Duration of the Plan.  The Plan shall commence on the Effective Date, and shall  remain in effect, subject to the right of the Board of Directors to amend or terminate the Plan at any time  pursuant to Article XVI, until all Shares subject to it shall have been delivered, and any restrictions on such  Shares have lapsed, pursuant to the Plan’s provisions.  However, in no event may an Award be granted  under the Plan on or after January 26, 2031.   ARTICLE II    DEFINITIONS   Whenever used in the Plan, the following terms shall have the meanings set forth below, and when  the meaning is intended, the initial letter of the word shall be capitalized:   2.1 “Affiliate” means any entity (other than the Company and any Subsidiary) (a) in  which the Company owns or controls, directly or indirectly, fifty percent (50%) or more of the voting power  or economic interests of such entity, or (b) that is affiliated with the Company through stock or equity  ownership or otherwise and is designated as an Affiliate for purposes of the Plan by the Committee.   2.2 “Assumed” means that pursuant to a transaction resulting in a Change of Control,  either (a) the Award is expressly affirmed by the Company or (b) the contractual obligations represented by  the Award are expressly assumed (and not simply by operation of law) by the surviving or successor  corporation or entity to the Company, or any parent or subsidiary of either thereof, or any other  corporation or entity that is a party to the transaction resulting in the Change of Control, in connection with  such Change of Control, with appropriate adjustments to the number and kind of securities of such surviving  or successor corporation or entity, or such other applicable parent, subsidiary, corporation or entity, subject  to the Award and the exercise or purchase price thereof, which preserves the compensation element of the  

 

2  Award existing at the time of such Change of Control transaction, and provides for subsequent payout in  accordance with the same (or more favorable) payment and vesting schedule applicable to such Award, as  determined in accordance with the instruments evidencing the agreement to assume the Award.  The  determination of Award comparability for this purpose shall be made by the Committee, and its  determination shall be final, binding, and conclusive.  2.3 “Award” means, individually or collectively, a grant under the Plan of Non- Qualified Stock Options, Incentive Stock Options, Stock Appreciation Rights, Restricted Stock Awards,  Restricted Stock Units, Performance Shares, Performance Units, Cash-Based Awards, and Other Stock-Based  Awards.   2.4 “Award Agreement” means either: (a) a written agreement entered into by the  Company and a Participant setting forth the terms and provisions applicable to an Award granted under the  Plan, or (b) a written or electronic statement issued by the Company to a Participant describing the terms  and provisions of such Award, including any amendment or modification thereof.  The Committee may  provide for the use of electronic, internet or other non-paper Award Agreements, and the use of electronic,  internet, or other non-paper means for the acceptance thereof and actions thereunder by a Participant.   2.5 “Beneficial Ownership” (including correlative terms) shall have the meaning given  such term in Rule 13d-3 promulgated under the Exchange Act.   2.6 “Board” or “Board of Directors” means the Board of Directors of the Company.   2.7 “Cash-Based Award” means an Award, whose value is determined by the  Committee, granted to a Participant, as described in Article IX.   2.8 “Cause” shall have the definition given such term in a Participant’s Award  Agreement or other applicable employment agreement or similar agreement between the Participant and  the Company or any of its Subsidiaries or Affiliates, or if such Award Agreement or such other applicable  agreement does not define “Cause,” then “Cause” means (i) the conviction, guilty plea, or plea of “no  contest” by the Participant to any felony or a crime involving moral turpitude or the Participant’s  commission of any other act or omission involving dishonesty or fraud, (ii) the substantial and repeated  failure of the Participant to perform duties assigned to the Participant, (iii) the Participant’s gross  negligence, willful misconduct, or breach of fiduciary duty with respect to the Company or any of its  Subsidiaries or Affiliates, (iv) any breach by the Participant of any restrictive covenants to which the  Participant is subject or breach of any other agreement between the Participant and the Company or any of  its Subsidiaries or Affiliates or any policy maintained by the Company or its Subsidiaries or Affiliates that is  applicable to the Participant, and/or (v) the Participant’s engagement in any conduct which is or can  reasonably be expected to be detrimental or injurious to the business or reputation of the Company or any  of its Subsidiaries or Affiliates.   2.9 “Change of Control” means the occurrence of any of the following:   (a) an acquisition in one transaction or a series of related transactions (other than  directly from the Company or pursuant to Awards granted under the Plan or compensatory options or other  similar awards granted by the Company) by any Person of any Voting Securities of the Company,  immediately after which such Person has Beneficial Ownership of more than fifty percent (50%) of the  combined voting power of the Company’s then outstanding Voting Securities; provided, however, that in  determining whether a Change of Control has occurred pursuant to this Section 2.9(a), Voting Securities of  the Company which are acquired in a Non-Control Acquisition shall not constitute an acquisition that would  cause a Change of Control; or   

 

3  (b) any Person acquires (or has acquired during the twelve (12)-month period ending  on the date of the most recent acquisition by such Person), other than directly from the Company or  pursuant to Awards granted under the Plan or compensatory options or other similar awards granted by the  Company, Beneficial Ownership of Voting Securities of the Company possessing thirty-five percent (35%) or  more of the combined voting power of the Company’s then outstanding Voting Securities; provided,  however, that in determining whether a Change of Control has occurred pursuant to this Section 2.9(b),  Voting Securities of the Company which are acquired in a Non-Control Acquisition shall not constitute an  acquisition that would cause a Change of Control; or   (c) the individuals who, immediately prior to the Effective Date, are members of the  Board (the “Company Incumbent Board”) cease for any reason to constitute at least a majority of the  members of the Board; provided, however, that if the election, or nomination for election of any new  director was approved by a vote of at least a majority of the Company Incumbent Board, such new director  shall, for purposes of the Plan, be considered as a member of the Company Incumbent Board; provided  further, however, that no individual shall be considered a member of the Company Incumbent Board if such  individual initially assumed office as a result of either an actual or threatened “Election Contest” (as  described in Rule 14a-12(c) promulgated under the Exchange Act) or other actual or threatened solicitation  of proxies or consents by or on behalf of a Person other than the Board (a “Company Proxy Contest”)  including by reason of any agreement intended to avoid or settle any Election Contest or Company Proxy  Contest; or   (d) the consummation of any merger, consolidation, recapitalization or  reorganization involving the Company unless:   (i) the stockholders of the Company, immediately before such  merger, consolidation, recapitalization, or reorganization, own, directly or indirectly, immediately  following such merger, consolidation, recapitalization or reorganization, more than fifty percent  (50%) of the combined voting power of the outstanding Voting Securities of the corporation  resulting from such merger or consolidation or reorganization (the “Company Surviving  Corporation”) in substantially the same proportion as their ownership of the Voting Securities of  the Company immediately before such merger, consolidation, recapitalization or reorganization;  and   (ii) the individuals who were members of the Company Incumbent  Board immediately prior to the execution of the agreement providing for such merger,  consolidation, recapitalization or reorganization constitute at least a majority of the members of  the board of directors of the Company Surviving Corporation, or a corporation Beneficially Owning,  directly or indirectly, a majority of the voting securities of the Company Surviving Corporation; and   (iii) no Person, other than (A) the Company, (B) any Related Entity,  (C) any employee benefit plan (or any trust forming a part thereof) that, immediately prior to such  merger, consolidation, recapitalization or reorganization, was maintained by the Company, the  Company Surviving Corporation, or any Related Entity or (D) any Person who, together with its  Affiliates, immediately prior to such merger, consolidation, recapitalization or reorganization had  Beneficial Ownership of more than fifty percent (50%) of the then outstanding Voting Securities of  the Company, owns, together with its Affiliates, Beneficial Ownership of more than fifty percent  (50%) of the combined voting power of the Company Surviving Corporation’s then outstanding  Voting Securities (a transaction described in clauses (d)(i) through (d)(iii) above is referred to herein  as a “Non-Control Transaction”); or   (e) any approval by the Company’s stockholders of any plan or proposal for the  complete liquidation or dissolution of the Company; or   

 

4  (f) there is consummated an agreement for any sale, lease, exchange, transfer or  other disposition (in one transaction or a series of related transactions) of all or substantially all of the assets  or business of the Company to any Person (other than (A) a transfer or distribution to a Related Entity, or (B)  a transfer or distribution to the Company’s stockholders of the stock of a Related Entity or any other assets).   Notwithstanding the foregoing, a Change of Control shall not be deemed to occur solely because  any Person (the “Subject Person”) acquired Beneficial Ownership of more than fifty percent (50%) of the  combined voting power of the then outstanding Voting Securities of the Company as a result of the  acquisition of Voting Securities of the Company by the Company which, by reducing the number of Voting  Securities of the Company then outstanding, increases the proportional number of shares Beneficially  Owned by the Subject Persons, provided that if a Change of Control would occur (but for the operation of  this sentence) as a result of the acquisition of Voting Securities by the Company and (1) before such share  acquisition by the Company the Subject Person becomes the Beneficial Owner of any new or additional  Voting Securities of the Company in a related transaction or (2) after such share acquisition by the Company  the Subject Person becomes the Beneficial Owner of any new or additional Voting Securities of the  Company which in either case increases the percentage of the then outstanding Voting Securities of the  Company Beneficially Owned by the Subject Person, then a Change of Control shall be deemed to occur.   Solely for purposes of this Section 2.9, (1) “Affiliate” shall mean, with respect to any Person, any  other Person that, directly or indirectly, controls, is controlled by, or is under common control with, such  Person, and (2) “control” (including with correlative meanings, the terms “controlling,” “controlled by” and  “under common control with”), as applied to any Person, means the possession, directly or indirectly, of the  power to direct or cause the direction of the management and policies of that Person, whether through the  ownership of voting securities or by contract or otherwise.  Any Relative (for this purpose, “Relative” means  a spouse, child, parent, parent of spouse, sibling or grandchild) of an individual shall be deemed to be an  Affiliate of such individual for this purpose.  None of the Company or any Person controlled by the Company  shall be deemed to be an Affiliate of any holder of Shares.     Notwithstanding the foregoing, to the extent required to avoid accelerated taxation and/or tax  penalties under Code Section 409A, a Change of Control shall be deemed to have occurred under the Plan  with respect to any Award that constitutes deferred compensation under Code Section 409A only if such  Change of Control is a Qualified Change of Control.    2.10 “Code” means the Internal Revenue Code of 1986, as it may be amended from  time to time, including rules and regulations promulgated thereunder and successor provisions and rules  and regulations thereto.     2.11 “Committee” means the Compensation Committee of the Board of Directors or a  subcommittee thereof, or such other committee designated by the Board to administer the Plan each of  whom satisfies such criteria of independence as the Board may establish and such additional regulatory or  listing requirements as the Board may determine to be applicable or appropriate; provided, however, that,  to the extent the Board deems it necessary or appropriate to administer “performance-based  compensation” within the meaning of Code Section 162(m), the Committee shall consist solely of two or  more members of the Board who are not Employees and who otherwise qualify as “outside directors”  within the meaning of Code Section 162(m).    2.12 “Company” means Visa Inc., a Delaware corporation.  2.13 “Company Incumbent Board” shall have the meaning provided in Section 2.9(c).   2.14 “Company Proxy Contest” shall have the meaning provided in Section 2.9(c).   2.15 “Company Surviving Corporation” has the meaning provided in Section 2.9(d)(i).   

 

5  2.16 “Consultant” means an independent contractor who is a natural person and  performs services for the Company or a Subsidiary or Affiliate in a capacity other than as an Employee or  Director.   2.17 "Disability" shall have the definition given such term in a Participant’s Award  Agreement, or if such Award Agreement does not define “Disability,” then “Disability” means permanent  and total disability within the meaning of Code Section 22(e)(3), as determined by the Committee.  2.18 “Director” means any individual who is a member of the Board of Directors of the  Company.   2.19 “Dividend Equivalents” means the equivalent value (in cash or Shares) of  dividends that would otherwise be paid on the Shares subject to an Award but that have not been issued or  delivered, as described in Article XI.   2.20 “Effective Date” means January 26, 2021.   2.21 “Employee” means any person designated as an employee of the Company, a  Subsidiary, and/or an Affiliate on the payroll records thereof.  An Employee shall not include any individual  during any period the individual is classified or treated by the Company, a Subsidiary or an Affiliate as an  independent contractor, a consultant, or any employee of an employment, consulting, or temporary agency  or any other entity other than the Company, a Subsidiary, and/or an Affiliate without regard to whether  such individual is subsequently determined to have been, or is subsequently retroactively reclassified as a  common-law employee of the Company, a Subsidiary, and/or an Affiliate during such period.  For purposes  of the Plan, upon approval by the Committee, the term Employee may also include Employees whose  employment with the Company, a Subsidiary or an Affiliate has been terminated subsequent to being  granted an Award under the Plan.  For the avoidance of doubt, a Director who would otherwise be an  “Employee” within the meaning of this Section 2.21 shall be considered an Employee for purposes of the  Plan.   2.22 “Exchange Act” means the Securities Exchange Act of 1934, as it may be amended  from time to time, including the rules and regulations promulgated thereunder and successor provisions  and rules and regulations thereto.   2.23 “Fair Market Value” means the fair market value of the Shares as determined by  the Committee by the reasonable application of such reasonable valuation method as the Committee  deems appropriate; provided, however, that, with respect to ISOs, for purposes of Section 6.3, such fair  market value shall be determined subject to Code Section 422(c)(7); provided further, however, that if the  Shares are readily tradable on an established securities market, Fair Market Value on any date shall be the  last sale price reported for the Shares on such market on such date or, if no sale is reported on such date, on  the last date preceding such date on which a sale was reported. In each case, the Committee shall  determine Fair Market Value in a manner that satisfies the applicable requirements of Code Section 409A.   2.24 “Fiscal Year” means the calendar year, or such other consecutive twelve (12)- month period as the Committee may select.  2.25 “Full Value Award” means any Award other than an Option, Stock Appreciation  Right or Cash-Based Award.   2.26 “Freestanding SAR” means an SAR that is granted independently of any Options,  as described in Article VII.   

 

6  2.27 “Good Reason” shall have the definition given such term in a Participant’s Award  Agreement, or in the absence of any such definition, as determined in good faith by the Committee.   2.28 “Grant Price” means the price established at the time of grant of an SAR pursuant  to Article VII, used to determine whether there is any payment due upon exercise of the SAR.   2.29 “Incentive Stock Option” or “ISO” means a right to purchase Shares under the  Plan in accordance with the terms and conditions set forth in Article VI and which is designated as an  Incentive Stock Option and which is intended to meet the requirements of Code Section 422.   2.30 “Insider” means an individual who is, on the relevant date, an officer, director or  ten percent (10%) Beneficial Owner of any class of the Company’s equity securities that is registered  pursuant to Section 12 of the Exchange Act, as determined by the Committee in accordance with Section 16  of the Exchange Act.   2.31 “Non-Control Acquisition” means an acquisition (whether by merger, stock  purchase, asset purchase or otherwise) by (a) an employee benefit plan (or a trust forming a part thereof)  maintained by (i) the Company or (ii) any corporation or other Person of which fifty percent (50%) or more  of its total value or total voting power of its Voting Securities or equity interests is owned, directly or  indirectly, by the Company (a “Related Entity”); (b) the Company or any Related Entity; (c) any Person in  connection with a Non-Control Transaction; or (d) any Person that owns, together with its Affiliates,  Beneficial Ownership of fifty percent (50%) or more of the outstanding Voting Securities of the Company on  the Effective Date.   2.32 “Non-Control Transaction” shall have the meaning provided in Section 2.9(d).   2.33 “Non-Employee Director” means a Director who is not an Employee.   2.34 “Non-Qualified Stock Option” or “NQSO” means a right to purchase Shares under  the Plan in accordance with the terms and conditions set forth in Article VI and which is not intended to  meet the requirements of Code Section 422 or otherwise does not meet such requirements.   2.35 “Notice” means notice provided by a Participant to the Company in a manner  prescribed by the Committee.   2.36 “Option” or “Stock Option” means an Incentive Stock Option or a Non-Qualified  Stock Option, as described in Article VI.   2.37 “Option Price” means the price at which a Share may be purchased by a  Participant pursuant to an Option.   2.38 “Other Stock-Based Award” means an equity-based or equity-related Award  described in Section 10.1, granted in accordance with the terms and conditions set forth in Article X.   2.39 “Participant” means any eligible individual as set forth in Article V who holds one  or more outstanding Awards.   2.40 “Performance Period” means the period of time during which the performance  goals must be met in order to determine the degree of payout and/or vesting with respect to, or the  amount or entitlement to, an Award.    

 

7  2.41 “Performance Share” means an Award of a performance share, whose initial  value is equal to the Fair Market Value of a Share on the date of grant, granted to a Participant, as described  in Article IX.   2.42 “Performance Unit” means an Award of a performance unit, whose initial value is  established by the Committee at the time of grant, granted to a Participant, as described in Article IX.   2.43 “Period of Restriction” means the period during which Shares of Restricted Stock  or Restricted Stock Units are subject to a substantial risk of forfeiture, and, in the case of Restricted Stock,  the transfer of Shares of Restricted Stock is limited in some way, as provided in Article VIII.   2.44 “Person” means “person” as such term is used for purposes of Section 13(d) or  14(d) of the Exchange Act, including any individual, corporation, limited liability company, partnership, trust,  unincorporated organization, government or any agency or political subdivision thereof, or any other entity  or any group of persons.  2.45 “Plan” means this Visa Inc. 2007 Equity Incentive Compensation Plan, as  amended and restated.   2.46 “Prior 162(m)” means Code Section 162(m) as in effect prior to its amendment by  the Tax Cuts and Jobs Act, P.L. 115-97, including the regulations and guidance promulgated in respect of  Code Section 162(m) as in effect prior to such amendment.  2.47 “Prior Plan” means the Plan, as in effect prior to the amendment and restatement  of the Plan effective as of the Effective Date.  2.48 “Qualified Change of Control” means a Change of Control that qualifies as a  change in the ownership or effective control of the Company, or in the ownership of a substantial portion of  the assets of the Company, within the meaning of Code Section 409A(a)(2)(A)(v).   2.49 “Replaced” means that pursuant to a transaction resulting in a Change of Control,  the Award is replaced with a comparable stock award or a cash incentive program by the Company, the  surviving or successor corporation or entity to the Company, or any parent or subsidiary of either thereof, or  any other corporation or entity that is a party to the transaction resulting in the Change of Control, in  connection with such Change of Control, which preserves the compensation element of the Award existing  at the time of such Change of Control transaction, and provides for subsequent payout in accordance with  the same (or more favorable) payment and vesting schedule applicable to such Award, as determined in  accordance with the instruments evidencing the agreement to assume the Award. The determination of  Award comparability for this purpose shall be made by the Committee, and its determination shall be final,  binding, and conclusive.  2.50 “Restricted Stock” means an Award granted to a Participant, subject to the Period  of Restriction, pursuant to Article VIII.   2.51 “Restricted Stock Unit” means an Award, whose value is equal to a Share, granted  to a Participant, subject to the Period of Restriction, pursuant to Article VIII.   2.52 “Rule 16b-3” means Rule 16b-3 under the Exchange Act, or any successor rule, as  the same may be amended from time to time.   2.53 “Section 162(m) Grandfathering” means the regulations or other guidance  promulgated in respect of transition rules under Code Section 162(m), as Code Section 162(m) is in effect  from time to time on or after the amendment and restatement of the Plan dated the Effective Date,  

 

8  extending the deductibility of Awards intended to be “qualified performance-based compensation” under  Prior Section 162(m).  2.54 “Securities Act” means the Securities Act of 1933, as it may be amended from  time to time, including the rules and regulations promulgated thereunder and successor provisions and  rules and regulations thereto.   2.55 “Separation from Service” means a Termination that qualifies as a separation  from service within the meaning of Code Section 409A(a)(2)(A)(i).   2.56 “Share” means a share of Class A common stock, par value $0.0001 per share, of  the Company (including any new, additional or different stock or securities resulting from any change in  corporate capitalization as listed in Section 4.2).   2.57 “Stock Appreciation Right” or “SAR” means an Award, granted alone (a  “Freestanding SAR”) or in connection with a related Option (a “Tandem SAR”), designated as an SAR,  pursuant to the terms of Article VII.   2.58 “Subject Person” has the meaning provided in Section 2.9.   2.59 “Subsidiary” means any present or future corporation which is or would be a  “subsidiary corporation” of the Company as the term is defined in Code Section 424(f).   2.60 “Substitute Awards” means Awards granted or Shares issued by the Company in  assumption of, or in substitution or exchange for, options or other awards previously granted, or the right or  obligation to grant future options or other awards, by a company acquired by the Company, a Subsidiary,  and/or an Affiliate or with which the Company, a Subsidiary, and/or an Affiliate combines, or otherwise in  connection with any merger, consolidation, acquisition of property or stock, or reorganization involving the  Company, a Subsidiary or an Affiliate, including a transaction described in Code Section 424(a).   2.61 “Tandem SAR” means a SAR that is granted in connection with a related Option  pursuant to Article VII.   2.62 “Termination” means the time when a Participant ceases the performance of  services for the Company, any Affiliate, and any Subsidiary, as applicable, for any reason, with or without  Cause, including a Termination by resignation, discharge, death, Disability or retirement, but excluding (a) a  Termination where there is a simultaneous reemployment (or commencement of service) or continuing  employment (or service) of a Participant by the Company, Affiliate or any Subsidiary, (b) at the discretion of  the Committee, a Termination that results in a temporary severance, and (c) at the discretion of the  Committee, a Termination of an Employee that is immediately followed by the Participant’s service as a  Non-Employee Director.   2.63 “Voting Securities” shall mean, with respect to any Person that is a corporation,  all outstanding voting securities of such Person entitled to vote generally in the election of the board of  directors of such Person.   ARTICLE III    ADMINISTRATION  3.1 General.  The Committee shall have exclusive authority to operate, manage, and  administer the Plan in accordance with its terms and conditions.  Notwithstanding the foregoing, in its  absolute discretion, the Board may at any time and from time to time exercise any and all rights, duties, and  

 

9  responsibilities of the Committee under the Plan, including establishing procedures to be followed by the  Committee, but excluding matters which under any applicable law, regulation or rule, including any  exemptive rule under Section 16 of the Exchange Act (including Rule 16b-3), are required to be determined  in the sole discretion of the Committee.  If and to the extent that the Committee does not exist or cannot  function, the Board may take any action under the Plan that would otherwise be the responsibility of the  Committee, subject to the limitations set forth in the immediately preceding sentence.   3.2 Committee.  The members of the Committee shall be appointed from time to  time by, and shall serve at the discretion of, the Board of Directors.  Appointment of Committee members  shall be effective upon their acceptance of such appointment.  Committee members may be removed by the  Board at any time either with or without cause, and such members may resign at any time by delivering  notice thereof to the Board. Any vacancy on the Committee, whether due to action of the Board or any  other reason, shall be filled by the Board.  A majority of the Committee shall constitute a quorum and a  majority of a quorum may authorize any action.  Any decision reduced to writing and signed by a majority of  the members of the Committee shall be fully effective as if it has been made at a meeting duly held.   3.3 Authority of the Committee.  The Committee shall have full discretionary  authority to grant, pursuant to the terms of the Plan, Awards to those individuals who are eligible to receive  Awards under the Plan.  Except as limited by law or by the Certificate of Incorporation or By-Laws of the  Company, and subject to the provisions herein, the Committee shall have full power, in accordance with the  other terms and provisions of the Plan, to:   (a) select Employees, Non-Employee Directors and Consultants who may receive  Awards under the Plan and become Participants;   (b) determine eligibility for participation in the Plan and decide all questions  concerning eligibility for, and the amount of, Awards under the Plan;   (c) determine the sizes and types of Awards;   (d) determine the terms and conditions of Awards, including the Option Prices of  Options and the Grant Prices of SARs;   (e) grant Awards as an alternative to, or as the form of payment for grants or rights  earned or payable under, other bonus or compensation plans, arrangements or policies of the Company or a  Subsidiary or Affiliate;   (f) grant Substitute Awards on such terms and conditions as the Committee may  prescribe, subject to compliance with the ISO rules under Code Section 422 and the non-qualified deferred  compensation rules under Code Section 409A, where applicable;   (g) make all determinations under the Plan concerning Termination of any  Participant’s employment or service with the Company or a Subsidiary or Affiliate, including whether such  Termination occurs by reason of Cause, Good Reason, Disability, retirement or in connection with a Change  of Control and whether a leave constitutes a Termination;   (h) construe and interpret the Plan and any agreement or instrument entered into  under the Plan, including any Award Agreement;   (i) establish and administer any terms, conditions, restrictions, limitations,  forfeiture, vesting, or exercise schedule, and other provisions of or relating to any Award;   

 

10  (j) establish and administer any performance goals in connection with any Awards,  including performance criteria and applicable Performance Periods, determine the extent to which any  performance goals and/or other terms and conditions of an Award are attained or are not attained;   (k) construe any ambiguous provisions, correct any defects, supply any omissions,  and reconcile any inconsistencies in the Plan and/or any Award Agreement or any other instrument relating  to any Awards;   (l) establish, adopt, amend, waive, and/or rescind rules, regulations, procedures,  guidelines, forms, and/or instruments for the Plan’s operation or administration;   (m) make all valuation determinations relating to Awards and the payment or  settlement thereof;   (n) grant waivers of terms, conditions, restrictions, and limitations under the Plan or  applicable to any Award, or accelerate the vesting or exercisability of any Award;   (o) subject to the provisions of Article XV, amend or adjust the terms and conditions  of any outstanding Award and/or adjust the number and/or class of shares of stock subject to any  outstanding Award;   (p) at any time and from time to time after the granting of an Award, specify such  additional terms, conditions, and restrictions with respect to such Award as may be deemed necessary or  appropriate to ensure compliance with any and all applicable laws or rules, including terms, restrictions, and  conditions for compliance with applicable securities laws or listing rules, methods of withholding, or  providing for the payment of required taxes and restrictions regarding a Participant’s ability to exercise  Options through a cashless (broker-assisted) exercise;   (q) subject to the provisions of Section 15.1, offer to buy out an Award previously  granted, based on such terms and conditions as the Committee shall establish with and communicate to the  Participant at the time such offer is made;   (r) determine whether, and to what extent and under what circumstances, Awards  may be settled in cash, Shares, or other property or canceled or suspended; and   (s) exercise all such other authorities, take all such other actions, and make all such  other determinations as it deems necessary or advisable for the proper operation and/or administration of  the Plan.   3.4 Award Agreements.  The Committee shall, subject to applicable laws and rules,  determine the date an Award is granted. Each Award shall be evidenced by an Award Agreement; however,  two or more Awards granted to a single Participant may be combined in a single Award Agreement.  An  Award Agreement shall not be a precondition to the granting of an Award; provided, however, that (a) the  Committee may, but need not, require as a condition to any Award Agreement’s effectiveness, that such  Award Agreement be executed on behalf of the Company and/or by the Participant to whom the Award  evidenced thereby shall have been granted (including by electronic signature or other electronic indication  of acceptance), and such executed Award Agreement be delivered to the Company, and (b) no person shall  have any rights under any Award unless and until the Participant to whom such Award shall have been  granted has complied with the applicable terms and conditions of the Award.  The Committee shall  prescribe the form of all Award Agreements, and, subject to the terms and conditions of the Plan, shall  determine the content of all Award Agreements.  In the event of any dispute or discrepancy concerning the  terms of an Award, the records of the Committee or its designee shall be determinative.   

 

11  3.5 Discretionary Authority; Decisions Binding.  The Committee shall have full  discretionary authority in all matters related to the discharge of its responsibilities and the exercise of its  authority under the Plan.  All determinations, decisions, actions, and interpretations by the Committee with  respect to the Plan and any Award Agreement, and all related orders and resolutions of the Committee shall  be final, conclusive, and binding on all Participants, the Company, and its stockholders, any Subsidiary or  Affiliate, and all persons having or claiming to have any right or interest in or under the Plan and/or any  Award Agreement.    3.6 Delegation of Administration.  Except to the extent prohibited by applicable law,  including any applicable exemptive rule under Section 16 of the Exchange Act (including Rule 16b-3), or the  applicable rules of a stock exchange, the Committee may, in its discretion, allocate all or any portion of its  responsibilities and powers under this Article III to any one or more of its members and/or delegate all or  any part of its responsibilities and powers under this Article III to any person or persons selected by it;  provided, however, that the Committee may not (a) delegate to any executive officer of the Company or an  Affiliate, or a committee that includes any such executive officer, the Committee’s authority to grant  Awards, or the Committee’s authority otherwise concerning Awards, awarded to executive officers of the  Company or an Affiliate; (b) delegate the Committee’s authority to grant Awards to consultants unless any  such Award is subject to approval by the Committee; or (c) delegate its authority to correct defects,  omissions or inconsistencies in the Plan.  Any such authority delegated or allocated by the Committee under  this Section 3.6 shall be exercised in accordance with the terms and conditions of the Plan and any rules,  regulations or administrative guidelines that may from time to time be established by the Committee, and  any such allocation or delegation may be revoked by the Committee at any time.   ARTICLE IV    SHARES SUBJECT TO THE PLAN  4.1 Number of Shares Available for Grants.  The shares of stock subject to Awards  granted under the Plan shall be Shares.  Such Shares subject to the Plan may be either authorized and  unissued Shares or previously issued Shares acquired by the Company or any Subsidiary.  Subject to  adjustment as provided in Section 4.2, the maximum aggregate number of Shares that may be issued under  the Plan is 198,000,000 Shares (the “Share Limit”). The Share Limit reflects a reduction of 38,000,000 Shares  from the 236,000,000 Shares that were originally reserved under the Plan, effective as of the Effective Date.  On September 30, 2020, 11,471,849 Shares were subject to outstanding Awards and 101,206,766 Shares  would have remained available for grant of new Awards, if the Share Limit had been in effect on such date,  with such Share amounts subject to adjustment as provided in Section 4.2   Subject to, in the case of ISOs,  any limitations applicable thereto under the Code, if (a) any Shares are subject to an Option, SAR, or other  Award which for any reason expires or is terminated or canceled without having been fully exercised or  satisfied, or are subject to any Restricted Stock Award (including any Shares subject to a Participant’s  Restricted Stock Award that are repurchased by the Company at the Participant’s cost), Restricted Stock  Unit Award or other Award granted under the Plan which are forfeited, or (b) any Award based on Shares is  settled for cash, expires or otherwise terminates without the issuance of such Shares, the Shares subject to  such Award shall, to the extent of any such expiration, termination, cancellation, forfeiture or cash  settlement, be available for delivery in connection with future Awards under the Plan. Shares used to pay  the exercise or purchase price of an Award and/or Shares withheld to satisfy the tax withholding obligations  related to an Award shall not again be available for future grant or sale under the Plan. For the avoidance of  doubt, any Shares delivered under the Plan upon settlement of an Award shall not again be available for  future grant or sale under the Plan. Any Shares delivered under the Plan upon exercise or satisfaction of  Substitute Awards shall not reduce the Shares available for delivery under the Plan; provided, however, that  the total number of Shares that may be delivered pursuant to Incentive Stock Options granted under the  Plan shall be the number of Shares set forth in the Share Limit, as adjusted pursuant to this Section 4.1.     

 

12  4.2 Adjustments in Authorized Shares.  In the event of any corporate event or  transaction (including a change in the Shares or the capitalization of the Company), such as a  reclassification, recapitalization, merger, consolidation, reorganization (whether or not such reorganization  comes within the definition of such term in Code Section 368), issuance of warrants or rights, dividend or  other distribution (whether in the form of cash, stock or other property), stock split or reverse stock split,  spin-off, split-up, combination or exchange of shares, repurchase of shares, or other like change in  corporate structure, partial or complete liquidation of the Company or distribution (other than normal cash  dividends) to stockholders of the Company, or any similar corporate event or transaction, the Committee  shall substitute or adjust, as applicable, the number, class and kind of securities which may be delivered  under Section 4.1; the number, class and kind, and/or price (such as the Option Price of Options or the  Grant Price of SARs) of securities subject to outstanding Awards; the numerical limits set forth in Section  5.3; and other value determinations applicable to outstanding Awards, in order to prevent dilution or  enlargement of Participants’ rights under the Plan; provided, however, that the number of Shares subject to  any Award shall always be a whole number.  The Committee shall also make appropriate adjustments and  modifications in the terms of any outstanding Awards to reflect or related to any such events, adjustments,  substitutions or changes.  Any adjustment, substitution or change pursuant to this Section 4.2 made with  respect to an Award intended to be an Incentive Stock Option shall be made only to the extent consistent  with such intent, unless the Committee determines otherwise.  The Committee shall not make any  adjustment pursuant to this Section 4.2 that would cause an Award that is otherwise exempt from Code  Section 409A to become subject to Code Section 409A, or that would cause an Award that is subject to Code  Section 409A to fail to satisfy the requirements of Code Section 409A.  All determinations of the Committee  as to adjustments or changes, if any, under this Section 4.2 shall be conclusive and binding on the  Participants.   4.3 No Limitation on Corporate Actions.  The existence of the Plan and any Awards  granted hereunder shall not affect in any way the right or power of the Company, any Subsidiary or any  Affiliate to make or authorize any adjustment, recapitalization, reorganization or other change in its capital  structure or business structure, any merger or consolidation, any issuance of debt, preferred or prior  preference stock ahead of or affecting the Shares, additional shares of capital stock or other securities or  subscription rights thereto, any dissolution or liquidation, any sale or transfer of all or part of its assets or  business or any other corporate act or proceeding.   ARTICLE V    ELIGIBILITY, PARTICIPATION AND INDIVIDUAL LIMITATIONS ON AWARDS  5.1 Eligibility.  Employees, Non-Employee Directors and Consultants shall be eligible  to become Participants and receive Awards in accordance with the terms and conditions of the Plan, subject  to the limitations on the granting of ISOs set forth in Section 6.8(a).   5.2 Actual Participation.  Subject to the provisions of the Plan, the Committee may,  from time to time, select Participants from all eligible Employees, Non-Employee Directors, and Consultants  and shall determine the nature and amount of each Award.   5.3 Individual Limitations on Awards.    (a) Individual Limit for Options and SARs.  The maximum number of Shares with  respect to which Options and SARs may be granted to any Participant in any Fiscal Year shall be 1,000,000.   In connection with a Participant’s commencement of service for the Company, any Affiliate or Subsidiary, as  applicable, a Participant may be granted Options and SARs for up to an additional 1,000,000 Shares which  shall not count against the limit set forth in the previous sentence.  The foregoing limitation(s) shall be  adjusted proportionately in connection with any change in the Company’s capitalization pursuant to Section  4.2.    

 

13  (b) Individual Limit for Restricted Stock, Restricted Stock Units, and Performance  Shares.  For awards of Restricted Stock, Restricted Stock Units, and Performance Shares, the maximum  number of Awards that may be granted to any Participant in any Fiscal Year shall be 1,000,000 Shares.  The  foregoing limitation shall be adjusted proportionately in connection with any change in the Company’s  capitalization pursuant to Section 4.2.   (c) Performance Units and Cash-Based Awards.  For awards of Performance Units  and Cash-Based Awards, the maximum amount that may be paid to a Participant pursuant to such Awards  for an annual Performance Period shall be $30,000,000 and for any other Performance Period, such amount  multiplied by a fraction, the numerator of which is the number of months in the Performance Period and  the denominator of which is twelve (12).  The foregoing limitation shall be adjusted proportionately in  connection with any change in the Company’s capitalization pursuant to Section 4.2.   (d) Individual Limit for Awards to Non-Employee Directors.  The maximum grant date  fair value, determined in accordance with the Company’s standard accounting principles, of Awards that  may be granted to any Non-Employee Director in any Fiscal Year shall be $500,000.    ARTICLE VI    STOCK OPTIONS  6.1 Grant of Options.  Subject to the terms and provisions of the Plan, Options may  be granted to Participants in such number, and upon such terms, and at any time and from time to time as  shall be determined by the Committee.   6.2 Award Agreement.  Each Option grant shall be evidenced by an Award Agreement  that shall specify the Option Price, the maximum duration of the Option, the number of Shares to which the  Option pertains, the conditions upon which the Option shall become exercisable, and such other provisions  as the Committee shall determine, which are not inconsistent with the terms of the Plan.  The Award  Agreement also shall specify whether the Option is intended to be an ISO or an NQSO. To the extent that  any Option does not qualify as an ISO (whether because of its provisions or the time or manner of its  exercise or otherwise), such Option, or the portion thereof which does not so qualify, shall constitute a  separate NQSO.   6.3 Option Price.  The Option Price for each Option shall be determined by the  Committee and set forth in the Award Agreement; provided that, subject to Section 6.8(c), the Option Price  of an Option shall be not less than one hundred percent (100%) of the Fair Market Value of a Share on the  date the Option is granted; provided further, that Substitute Awards or Awards granted in connection with  an adjustment provided for in Section 4.2, in the form of stock options, shall have an Option Price per Share  that is intended to maintain the economic value of the Award that was replaced or adjusted, as determined  by the Committee.   6.4 Duration of Options.  Each Option granted to a Participant shall expire at such  time as the Committee shall determine at the time of grant and set forth in the Award Agreement; provided,  however, that no Option shall be exercisable later than the tenth (10th) anniversary of its date of grant,  subject to the respective last sentences of Sections 6.5 and 6.8(c).   6.5 Exercise of Options.  Options shall be exercisable at such times and be subject to  such restrictions and conditions as the Committee shall in each instance determine and set forth in the  Award Agreement, which need not be the same for each grant or for each Option or Participant.  An Award  Agreement may provide that the period of time over which an Option other than an ISO may be exercised  shall be automatically extended if on the scheduled expiration date of such Option the Participant’s exercise  of such Option would violate applicable securities laws; provided, however, that during such extended  

 

14  exercise period the Option may only be exercised to the extent the Option was exercisable in accordance  with its terms immediately prior to such scheduled expiration date; provided further, however, that such  extended exercise period shall end not later than thirty (30) days after the exercise of such Option first  would no longer violate such laws.   6.6 Payment.  Options shall be exercised by the delivery of a written notice of  exercise to the Company, in a form specified or accepted by the Committee, or by complying with any  alternative exercise procedures that may be authorized by the Committee, setting forth the number of  Shares with respect to which the Option is to be exercised, accompanied by full payment for such Shares,  which shall include applicable taxes, if any, in accordance with Article XVII.  The Option Price upon exercise  of any Option shall be payable to the Company in full either: (a) in cash or its equivalent; (b) subject to such  terms, conditions, and limitations as the Committee may prescribe, by tendering (either by actual delivery  or attestation) unencumbered Shares previously acquired by the Participant exercising such Option having  an aggregate Fair Market Value at the time of exercise equal to the total Option Price, (c) by a combination  of (a) and (b); or (d) by any other method approved or accepted by the Committee in its sole discretion,  including, if the Committee so determines, (x) a cashless (broker-assisted) exercise that complies with all  applicable laws or (y) withholding of Shares otherwise deliverable to the Participant pursuant to the Option  having an aggregate Fair Market Value at the time of exercise equal to the total Option Price. Subject to any  governing rules or regulations, as soon as practicable after receipt of a written notification of exercise and  full payment in accordance with the preceding provisions of this Section 6.6, the Company shall deliver to  the Participant exercising an Option, in the Participant’s name, evidence of book entry Shares in an  appropriate amount based upon the number of Shares purchased under the Option, subject to Section 20.9.   Unless otherwise determined by the Committee, all payments under all of the methods described above  shall be calculated in United States (“U.S.”) dollars.   6.7 Termination of Employment or Service.  Except as otherwise provided in the  Award Agreement, an Option may be exercised only to the extent that it is then exercisable, and if at all  times during the period beginning with the date of granting of such Option and ending on the date of  exercise of such Option the Participant is an Employee, Non-Employee Director or Consultant, and shall  terminate immediately upon a Termination of the Participant. An Option shall cease to become exercisable  upon a Termination of the holder thereof.  Notwithstanding the foregoing provisions of this Section 6.7 to  the contrary, the Committee may determine in its discretion that an Option may be exercised following any  such Termination, whether or not exercisable at the time of such Termination; provided, however, that in  no event may an Option be exercised after the expiration date of such Option specified in the applicable  Award Agreement, except as provided in the last sentence of Section 6.5.   6.8 Limitations on Incentive Stock Options.    (a) General.  No ISO shall be granted to any individual otherwise eligible to  participate in the Plan who is not an Employee of the Company or a Subsidiary on the date of granting of  such Option. Any ISO granted under the Plan shall contain such terms and conditions, consistent with the  Plan, as the Committee may determine to be necessary to qualify such Option as an “incentive stock option”  under Code Section 422.  Any ISO granted under the Plan may be modified by the Committee to disqualify  such Option from treatment as an “incentive stock option” under Code Section 422.   (b) $100,000 Per Year Limitation.  Notwithstanding any intent to grant ISOs, an  Option granted under the Plan will not be considered an ISO to the extent that it, together with any other  “incentive stock options” (within the meaning of Code Section 422, but without regard to subsection (d) of  such Section) under the Plan and any other “incentive stock option” plans of the Company, any Subsidiary  and any “parent corporation” of the Company within the meaning of Code Section 424(e), are exercisable  for the first time by any Participant during any calendar year with respect to Shares having an aggregate Fair  Market Value in excess of $100,000 (or such other limit as may be required by the Code) as of the time the  

 

15  Option with respect to such Shares is granted.  The rule set forth in the preceding sentence shall be applied  by taking Options into account in the order in which they were granted.   (c) Options Granted to Certain Stockholders.  No ISO shall be granted to an  individual otherwise eligible to participate in the Plan who owns (within the meaning of Code Section  424(d)), at the time the Option is granted, more than ten percent (10%) of the total combined voting power  of all classes of stock of the Company or a Subsidiary or any “parent corporation” of the Company within the  meaning of Code Section 424(e).  This restriction does not apply if at the time such ISO is granted the Option  Price of the ISO is at least one hundred ten percent (110%) of the Fair Market Value of a Share on the date  such ISO is granted, and the ISO by its terms is not exercisable after the expiration of five (5) years from such  date of grant.   ARTICLE VII    STOCK APPRECIATION RIGHTS  7.1 Grant of SARs.  Subject to the terms and conditions of the Plan, SARs may be  granted to Participants at any time and from time to time as shall be determined by the Committee.  The  Committee may grant an SAR (a) in connection and simultaneously with the grant of an Option (a Tandem  SAR) or (b) independent of, and unrelated to, an Option (a Freestanding SAR).    7.2 Grant Price.  The Grant Price for each SAR shall be determined by the Committee  and set forth in the Award Agreement, subject to the limitations of this Section 7.2.  The Grant Price for  each Freestanding SAR shall be not less than one hundred percent (100%) of the Fair Market Value of a  Share on the date such Freestanding SAR is granted, except in the case of Substitute Awards or Awards  granted in connection with an adjustment provided for in Section 4.2.  The Grant Price of a Tandem SAR  shall be equal to the Option Price of the related Option.   7.3 Exercise of Tandem SARs.  Tandem SARs may be exercised for all or part of the  Shares subject to the related Option upon the surrender of the right to exercise the equivalent portion of  the related Option.  A Tandem SAR shall be exercisable only when and to the extent the related Option is  exercisable and may be exercised only with respect to the Shares for which the related Option is then  exercisable.  A Tandem SAR shall entitle a Participant to elect, in the manner set forth in the Plan and the  applicable Award Agreement, in lieu of exercising the Participant's unexercised related Option for all or a  portion of the Shares for which such Option is then exercisable pursuant to its terms, to surrender such  Option to the Company with respect to any or all of such Shares and to receive from the Company in  exchange therefor a payment described in Section 7.7.  An Option with respect to which a Participant has  elected to exercise a Tandem SAR shall, to the extent of the Shares covered by such exercise, be canceled  automatically and surrendered to the Company.  Such Option shall thereafter remain exercisable according  to its terms only with respect to the number of Shares as to which it would otherwise be exercisable, less  the number of Shares with respect to which such Tandem SAR has been so exercised.  Notwithstanding any  other provision of the Plan to the contrary, with respect to a Tandem SAR granted in connection with an  ISO: (a) the Tandem SAR will expire no later than the expiration of the related ISO; (b) the value of the  payment with respect to the Tandem SAR may not exceed the difference between the Fair Market Value of  the Shares subject to the related ISO at the time the Tandem SAR is exercised and the Option Price of the  related ISO; and (c) the Tandem SAR may be exercised only when the Fair Market Value of the Shares  subject to the ISO exceeds the Option Price of the ISO.   7.4 Exercise of Freestanding SARs.  Freestanding SARs may be exercised upon  whatever terms and conditions the Committee, in its sole discretion, in accordance with the Plan,  determines and sets forth in the Award Agreement. An Award Agreement may provide that the period of  time over which a Freestanding SAR may be exercised shall be automatically extended if on the scheduled  expiration date of such SAR the Participant’s exercise of such SAR would violate applicable securities laws;  

 

16  provided, however, that during such extended exercise period the SAR may only be exercised to the extent  the SAR was exercisable in accordance with its terms immediately prior to such scheduled expiration date;  provided further, however, that such extended exercise period shall end not later than thirty (30) days after  the exercise of such SAR first would no longer violate such laws.   7.5 Award Agreement.  Each SAR grant shall be evidenced by an Award Agreement  that shall specify the number of Shares to which the SAR pertains, the Grant Price, the term of the SAR, and  such other terms and conditions as the Committee shall determine in accordance with the Plan.   7.6 Term of SARs.  The term of a SAR granted under the Plan shall be determined by  the Committee, in its sole discretion; provided, however, that the term of any Tandem SAR shall be the  same as the related Option and no SAR shall be exercisable more than ten (10) years after it is granted,  subject to the last sentence of Section 6.5 in the case of a Tandem SAR.   7.7 Payment of SAR Amount.  An election to exercise SARs shall be deemed to have  been made on the date of Notice of such election to the Company.  As soon as practicable following such  Notice, the Participant shall be entitled to receive payment from the Company in an amount determined by  multiplying:   (a) The excess of the Fair Market Value of a Share on the date of exercise over the  Grant Price of the SAR; by   (b) The number of Shares with respect to which the SAR is exercised.   Notwithstanding the foregoing provisions of this Section 7.7 to the contrary, the Committee may  establish and set forth in the applicable Award Agreement a maximum amount per Share that will be  payable upon the exercise of a SAR. At the discretion of the Committee, such payment upon exercise of a  SAR shall be in cash, in Shares of equivalent Fair Market Value, or in some combination thereof.   7.8 Termination of Employment or Service.  Except as otherwise provided in the  Award Agreement, a SAR may be exercised only to the extent that it is then exercisable, and if at all times  during the period beginning with the date of granting of such SAR and ending on the date of exercise of such  SAR the Participant is an Employee, Non-Employee Director or Consultant, and shall terminate immediately  upon a Termination of the Participant.  A SAR shall cease to become exercisable upon a Termination of the  holder thereof.  Notwithstanding the foregoing provisions of this Section 7.8 to the contrary, the Committee  may determine in its discretion that a SAR may be exercised following any such Termination, whether or not  exercisable at the time of such Termination; provided, however, that in no event may a SAR be exercised  after the expiration date of such SAR specified in the applicable Award Agreement, except as provided in the  last sentence of Section 6.5 (in the case of Tandem SARs) or in the last sentence of Section 7.4 (in the case of  Freestanding SARs).  To the extent applicable to any Tandem SAR, the foregoing provisions of this Section  7.8 are subject to the provisions of Section 6.8, pursuant to the provisions Section 7.3.   ARTICLE VIII    RESTRICTED STOCK AND RESTRICTED STOCK UNITS  8.1 Awards of Restricted Stock and Restricted Stock Units.  Subject to the terms and  provisions of the Plan, the Committee, at any time and from time to time, may grant Shares of Restricted  Stock and/or Restricted Stock Units to Participants in such amounts as the Committee shall determine.   8.2 Award Agreement.  Each Restricted Stock and/or Restricted Stock Unit Award  shall be evidenced by an Award Agreement that shall specify the Period of Restriction, the number of Shares  

 

17  of Restricted Stock or the number of Restricted Stock Units granted, and such other provisions as the  Committee shall determine in accordance with the Plan.   8.3 Non-Transferability of Restricted Stock.  Except as provided in this Article VIII,  Shares of Restricted Stock may not be sold, transferred, pledged, assigned, encumbered, alienated,  hypothecated or otherwise disposed of until the end of the applicable Period of Restriction established by  the Committee and specified in the Restricted Stock Award Agreement.   8.4 Period of Restriction and Other Restrictions.  The Period of Restriction shall lapse  based on continuing service as a Non-Employee Director or Consultant or continuing employment with the  Company, a Subsidiary or an Affiliate, the achievement of performance goals, the satisfaction of other  conditions or restrictions or upon the occurrence of other events, in each case, as determined by the  Committee, at its discretion, and stated in the Award Agreement.  8.5 Delivery of Shares, Payment of Restricted Stock Units.  Subject to Section 20.9,  after the last day of the Period of Restriction applicable to a Participant’s Shares of Restricted Stock, and  after all conditions and restrictions applicable to such Shares of Restricted Stock have been satisfied or lapse  (including satisfaction of any applicable withholding tax obligations), pursuant to the applicable Award  Agreement, such Shares of Restricted Stock shall become freely transferable by such Participant.  After the  last day of the Period of Restriction applicable to a Participant’s Restricted Stock Units, and after all  conditions and restrictions applicable to Restricted Stock Units have been satisfied or lapse (including  satisfaction of any applicable withholding tax obligations), pursuant to the applicable Award Agreement,  such Restricted Stock Units shall be settled by delivery of Shares, a cash payment determined by reference  to the then-current Fair Market Value of Shares or a combination of Shares and such cash payment as the  Committee, in its sole discretion, shall determine, either by the terms of the Award Agreement or  otherwise.   8.6 Forms of Restricted Stock Awards.  Each Participant who receives an Award of  Shares of Restricted Stock shall be issued a stock certificate or certificates evidencing the Shares covered by  such Award registered in the name of such Participant, which certificate or certificates may contain an  appropriate legend.  The Committee may require a Participant who receives a certificate or certificates  evidencing a Restricted Stock Award to immediately deposit such certificate or certificates, together with a  stock power or other appropriate instrument of transfer, endorsed in blank by the Participant, with  signatures guaranteed in accordance with the Exchange Act if required by the Committee, with the  Secretary of the Company or an escrow holder as provided in the immediately following sentence.  The  Secretary of the Company or such escrow holder as the Committee may appoint shall retain physical  custody of each certificate representing a Restricted Stock Award until the Period of Restriction and any  other restrictions imposed by the Committee or under the Award Agreement with respect to the Shares  evidenced by such certificate expire or shall have been removed.  The foregoing to the contrary  notwithstanding, the Committee may, in its discretion, provide that a Participant’s ownership of Shares of  Restricted Stock prior to the lapse of the Period of Restriction or any other applicable restrictions shall, in  lieu of such certificates, be evidenced by a “book entry” (i.e., a computerized or manual entry) in the  records of the Company or its designated agent in the name of the Participant who has received such  Award. Such records of the Company or such agent shall be binding on all Participants who receive  Restricted Stock Awards evidenced in such manner.  The holding of Shares of Restricted Stock by the  Company or such an escrow holder, or the use of book entries to evidence the ownership of Shares of  Restricted Stock, in accordance with this Section 8.6, shall not affect the rights of Participants as owners of  the Shares of Restricted Stock awarded to them, nor affect the restrictions applicable to such Shares under  the Award Agreement or the Plan, including the Period of Restriction.   8.7 Voting Rights.  Unless otherwise determined by the Committee and set forth in a  Participant’s Award Agreement, to the extent permitted or required by law, as determined by the  Committee, Participants holding Shares of Restricted Stock shall be granted the right to exercise full voting  

 

18  rights with respect to those Shares during the Period of Restriction.  A Participant shall have no voting rights  with respect to any Restricted Stock Units.   8.8 Dividends and Other Distributions.  During the Period of Restriction, Participants  holding Shares of Restricted Stock shall be credited with any cash dividends paid with respect to such Shares  while they are so held, unless determined otherwise by the Committee and set forth in the Award  Agreement.  The Committee may apply any restrictions to such dividends that the Committee deems  appropriate. Except as set forth in the Award Agreement, in the event of (a) any adjustment as provided in  Section 4.2, or (b) any shares or securities are received as a dividend, or an extraordinary dividend is paid in  cash, on Shares of Restricted Stock, any new or additional Shares or securities or any extraordinary  dividends paid in cash received by a recipient of Restricted Stock shall be subject to the same terms and  conditions, including the Period of Restriction, as it relates to the original Shares of Restricted Stock.   8.9 Termination of Employment or Service.  Except as otherwise provided in this  Section 8.9, during the Period of Restriction, any Restricted Stock Units and/or Shares of Restricted Stock  held by a Participant shall be forfeited and revert to the Company (or, if Shares of Restricted Stock were sold  to the Participant, the Participant shall be required to resell such Shares to the Company at cost) upon the  Participant’s Termination or the failure to meet or satisfy any applicable performance goals or other terms,  conditions and restrictions to the extent set forth in the applicable Award Agreement.  Each applicable  Award Agreement shall set forth the extent to which, if any, the Participant shall have the right to retain  Restricted Stock Units and/or Shares of Restricted Stock, then subject to the Period of Restriction, following  such Participant’s Termination.  Such provisions shall be determined in the sole discretion of the Committee,  shall be included in the applicable Award Agreement, need not be uniform among all such Awards issued  pursuant to the Plan, and may reflect distinctions based on the reasons for, or circumstances of, such  Termination.   ARTICLE IX    PERFORMANCE UNITS, PERFORMANCE SHARES,   AND CASH-BASED AWARDS   9.1 Grant of Performance Units, Performance Shares and Cash-Based Awards.   Subject to the terms of the Plan, Performance Units, Performance Shares, and/or Cash-Based Awards may  be granted to Participants in such amounts and upon such terms, and at any time and from time to time, as  shall be determined by the Committee, in accordance with the Plan.  A Performance Unit, Performance  Share or Cash-Based Award entitles the Participant who receives such Award to receive Shares or cash upon  the attainment of performance goals and/or satisfaction of other terms and conditions determined by the  Committee when the Award is granted and set forth in the Award Agreement.  Such entitlements of a  Participant with respect to the Participant's outstanding Performance Unit, Performance Share or Cash- Based Award shall be reflected by a bookkeeping entry in the records of the Company, unless otherwise  provided by the Award Agreement.   9.2 Value of Performance Units, Performance Shares, and Cash-Based Awards.  Each  Performance Unit shall have an initial value that is established by the Committee at the time of grant.  Each  Performance Share shall have an initial value equal to the Fair Market Value of a Share on the date of grant.  Each Cash-Based Award shall have a value as shall be determined by the Committee.  The Committee shall  set performance goals in its discretion which, depending on the extent to which they are met, will  determine the number and/or value of Performance Units and Performance Shares and Cash-Based Awards  that will be paid out to the Participant.   9.3 Earning of Performance Units, Performance Shares, and Cash-Based Awards.   Subject to the terms of the Plan, after the applicable Performance Period has ended, the holder of  Performance Units, Performance Shares or Cash-Based Awards shall be entitled to receive payment on the  

 

19  number and value of Performance Units, Performance Shares or Cash-Based Awards earned by the  Participant over the Performance Period, to be determined as a function of the extent to which the  corresponding performance goals and/or other terms and conditions have been achieved or satisfied.  The  Committee shall determine the extent to which any such pre-established performance goals and/or other  terms and conditions of a Performance Unit, Performance Share or Cash-Based Award are attained or not  attained following conclusion of the applicable Performance Period.  The Committee may, in its discretion,  waive any such performance goals and/or other terms and conditions relating to any such Award.     9.4 Such performance goals also may be based solely by reference to the Company’s  performance or the performance of a Subsidiary, division, business segment or business unit of the  Company, or based upon the relative performance of other companies or upon comparisons of any of the  indicators of performance relative to other companies.  The Committee may also exclude charges related to  an event or occurrence which the Committee determines should appropriately be excluded, including  (a) restructurings, discontinued operations, extraordinary items, and other unusual or non-recurring  charges, (b) an event either not directly related to the operations of the Company or not within the  reasonable control of the Company’s management, or (c) the cumulative effects of tax or accounting  changes in accordance with U.S. generally accepted accounting principles.  The measures which constitute  the performance goals may, at the discretion of the Committee, be based on pro forma numbers and may,  as the Committee specifies, either include or exclude the effect of payment of the bonuses under the Plan  or any other bonus plans of the Company.  The performance goals may differ from Participant to  Participant. In establishing a performance goal, the Committee may provide that the attainment of the  performance goal shall be measured by appropriately adjusting the evaluation of the performance goal  performance to exclude (i) any extraordinary non-recurring items as described in Accounting Principles  Board Opinion No. 30 and/or in management’s discussion and analysis of financial condition and results of  operations appearing in the Company’s annual report to stockholders for the applicable year, or (ii) the  effect of any changes in accounting principles affecting the Company’s or a business unit’s reported results.  9.5 Form and Timing of Payment of Performance Units, Performance Shares, and  Cash-Based Awards.  Payment of earned Performance Units, Performance Shares, and Cash-Based Awards  shall be as determined by the Committee and as set forth in the Award Agreement. Subject to the terms of  the Plan, the Committee, in its sole discretion, may pay earned Performance Units, Performance Shares, and  Cash-Based Awards in the form of cash or in Shares (or in a combination thereof) which have an aggregate  Fair Market Value equal to the value of the earned Performance Units, Performance Shares, or Cash-Based  Awards as soon as practicable after the end of the Performance Period and following the Committee’s  determination of actual performance against the performance goals and/or other terms and conditions  established by the Committee.  Such Shares may be granted subject to any restrictions imposed by the  Committee, including pursuant to Section 20.9.  The determination of the Committee with respect to the  form of payment of such Awards shall be set forth in the Award Agreement pertaining to the grant of the  Award.   9.6 Rights as a Stockholder.  A Participant receiving a Performance Unit, Performance  Share or Cash-Based Award shall have the rights of a stockholder only as to Shares, if any, actually received  by the Participant upon satisfaction or achievement of the terms and conditions of such Award and not with  respect to Shares subject to the Award but not actually issued to such Participant.   9.7 Termination of Employment or Service.  Each Award Agreement shall set forth  the extent to which the Participant shall have the right to retain Performance Units, Performance Shares,  and/or Cash-Based Award following such Participant’s Termination. Such provisions shall be determined in  the sole discretion of the Committee, shall be included in the applicable Award Agreement, need not be  uniform among all such Awards issued pursuant to the Plan, and may reflect distinctions based on the  reasons for Termination.   

 

20  9.8 Prior Section 162(m).  Notwithstanding anything to the contrary herein, no  provision of the Plan is intended to result in non-deductibility of Awards that were intended to be  deductible in accordance with Prior Section 162(m), and any Awards granted under the Prior Plan and that  are outstanding as of the date the amendment and restatement of the Plan shall remain subject to the Prior  Plan to the extent necessary to comply with Code Section 162(m). The Company intends to avail itself of  transition relief applicable to such Awards, if any, in connection with Code Section 162(m) (including,  without limitation, in accordance with the Section 162(m) Grandfathering) to the maximum extent  permitted by regulations and other guidance promulgated to implement such transition relief. The  determination by the Company regarding whether transition relief is available shall be made in its sole  discretion.  ARTICLE X    OTHER STOCK-BASED AWARDS  10.1 Other Stock-Based Awards.  The Committee may grant types of equity-based or  equity-related Awards not otherwise described by the terms of the Plan (including the grant or offer for sale  of unrestricted Shares), in such amounts (subject to Article IV) and subject to such terms and conditions, as  the Committee shall determine.  Such Other Stock-Based Awards may involve the transfer of actual Shares  to Participants, or payment in cash or otherwise of amounts based on the value of Shares and may include  Awards designed to comply with or take advantage of the applicable local laws of jurisdictions other than  the United States.   10.2 Value of Other Stock-Based Awards.  Each Other Stock-Based Award shall be  expressed in terms of Shares or units based on Shares, as determined by the Committee.  The Committee  may establish performance goals in its discretion, and any such performance goals shall be set forth in the  applicable Award Agreement.  If the Committee exercises its discretion to establish performance goals, the  number and/or value of Other Stock-Based Awards that will be paid out to the Participant will depend on  the extent to which such performance goals are met.   10.3 Payment of Other Stock-Based Awards.  Payment, if any, with respect to an Other  Stock-Based Award shall be made in accordance with the terms of the Award, as set forth in the Award  Agreement, in cash or Shares as the Committee determines.   10.4 Termination of Employment or Service.  The Committee shall determine the  extent to which the Participant shall have the right to receive Other Stock-Based Awards following the  Participant’s Termination.  Such provisions shall be determined in the sole discretion of the Committee, such  provisions may be included in the applicable Award Agreement, but need not be uniform among all Other  Stock-Based Awards issued pursuant to the Plan, and may reflect distinctions based on the reasons for  Termination.   ARTICLE XI    DIVIDEND EQUIVALENTS   11.1 Dividend Equivalents.  Unless otherwise provided by the Committee, no  adjustment shall be made in the Shares issuable or taken into account under Awards on account of cash  dividends that may be paid or other rights that may be issued to the holders of Shares prior to issuance of  such Shares under such Award.  The Committee may grant Dividend Equivalents based on the dividends  declared on Shares that are subject to any Award, including any Award the payment or settlement of which  is deferred pursuant to Section 20.6. Dividend Equivalents may be credited as of the dividend payment  dates, during the period between the date the Award is granted and the date the Award becomes payable  or terminates or expires.  Dividend Equivalents may be subject to any limitations and/or restrictions  

 

21  determined by the Committee.  Dividend Equivalents granted with respect to Performance Units and/or  Performance Shares shall only be paid when and to the extent such Award(s) are otherwise earned in  accordance with their terms.  Dividend Equivalents shall be converted to cash or additional Shares by such  formula and at such time, and shall be paid at such times, as may be determined by the Committee.   ARTICLE XII    VESTING LIMITATIONS  12.1 Full Value Award Vesting Limitations.  Notwithstanding any other provision of this  Plan to the contrary, Full Value Awards made to Employees, Directors or Consultants shall become vested  over a period of not less than three (3) years (or, in the case of vesting based upon the attainment of  performance goals or other performance-based objectives, over a period of not less than one (1) year  measured from the commencement of the period over which performance is evaluated) following the date  the Award is made; provided, however, that, notwithstanding the foregoing, (a) the Committee may provide  that such vesting restrictions may lapse or be waived upon the Participant’s death, Disability, retirement,  any other specified Termination or the consummation of a Change of Control and (b) Full Value Awards that  result in the issuance of an aggregate of up to 5% of the Shares available pursuant to Section 4.1 may be  granted to any one or more Participants without respect to such minimum vesting provisions.    ARTICLE XIII    TRANSFERABILITY OF AWARDS; BENEFICIARY DESIGNATION  13.1 Transferability of Incentive Stock Options.  No ISO or Tandem SAR granted in  connection with an ISO may be sold, transferred, pledged, assigned, or otherwise alienated or  hypothecated, other than by will or by the laws of descent and distribution or in accordance with Section  13.3.  Further, all ISOs and Tandem SARs granted in connection with ISOs granted to a Participant shall be  exercisable during the Participant’s lifetime only by such Participant.   13.2 All Other Awards.  Except as otherwise provided in Section 8.5 or Section 13.3 or  a Participant’s Award Agreement or otherwise determined at any time by the Committee, no Award granted  under the Plan may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other  than by will or by the laws of descent and distribution; provided that the Committee may permit further  transferability, on a general or a specific basis, and may impose conditions and limitations on any permitted  transferability, subject to Section 13.1 and any applicable Period of Restriction; provided further, however,  that no Award may be transferred for value or other consideration except in accordance with applicable  laws and regulations.  Further, except as otherwise provided in a Participant’s Award Agreement or  otherwise determined at any time by the Committee, or unless the Committee decides to permit further  transferability, subject to Section 13.1 and any applicable Period of Restriction, all Awards granted to a  Participant under the Plan, and all rights with respect to such Awards, shall be exercisable or available  during the Participant’s lifetime only by or to such Participant.  With respect to those Awards, if any, that  are permitted to be transferred to another individual, references in the Plan to exercise or payment related  to such Awards by or to the Participant shall be deemed to include, as determined by the Committee, the  Participant’s permitted transferee.  In the event any Award is exercised by or otherwise paid to the  executors, administrators, heirs or distributees of the estate of a deceased Participant, or such a  Participant’s beneficiary, or the transferee of an Award, in any such case, pursuant to the terms and  conditions of the Plan and the applicable Award Agreement and in accordance with such terms and  conditions as may be specified from time to time by the Committee, the Company shall be under no  obligation to issue Shares thereunder unless and until the Company is satisfied, as determined in the  discretion of the Committee, that the person or persons exercising such Award, or to receive such payment,  are the duly appointed legal representative of the deceased Participant’s estate or the proper legatees or  distributees thereof or the named beneficiary of such Participant, or the valid transferee of such Award, as  

 

22  applicable. Any purported assignment, transfer or encumbrance of an Award that does not comply with this  Section 13.2 shall be void and unenforceable against the Company.   13.3 Beneficiary Designation. At the Committee’s discretion, the Committee may  permit a Participant to name a beneficiary or beneficiaries who shall be permitted to exercise the  Participant’s Option or SAR or to whom any benefit under the Plan is to be paid in case of the Participant’s  death before the Participant fully exercises the Participant’s Option or SAR or receives any or all of such  benefit.  Each such designation shall revoke all prior designations by the same Participant, shall be in a form  prescribed by the Company, and will be effective only when filed by the Participant in writing with the  Company during the Participant’s lifetime and permitted by the Committee in its discretion.  In the absence  of any such beneficiary designation, a Participant’s unexercised Option or SAR, or amounts due but  remaining unpaid to such Participant, at the Participant’s death, shall be exercised or paid as designated by  the Participant by will or by the laws of descent and distribution.   ARTICLE XIV    RIGHTS OF PARTICIPANTS  14.1 Rights or Claims.  No person shall have any rights or claims under the Plan except  in accordance with the provisions of the Plan and any applicable Award Agreement.  Unless the Committee  determines otherwise, a Participant shall not have any rights as a stockholder with respect to Shares  covered by an Award until the date the Participant becomes the holder of record with respect to such  Shares.  The liability of the Company and any Subsidiary or Affiliate under the Plan is limited to the  obligations expressly set forth in the Plan, and no term or provision of the Plan may be construed to impose  any further or additional duties, obligations, or costs on the Company, any Subsidiary or any Affiliate thereof  or the Board or the Committee not expressly set forth in the Plan.  The grant of an Award under the Plan  shall not confer any rights upon the Participant holding such Award other than such terms, and subject to  such conditions, as are specified in the Plan as being applicable to such type of Award, or to all Awards, or as  are expressly set forth in the Award Agreement evidencing such Award.  Without limiting the generality of  the foregoing, neither the existence of the Plan nor anything contained in the Plan or in any Award  Agreement shall be deemed to:   (a) Give any Employee or Non-Employee Director the right to be retained in the  service of the Company, an Affiliate, and/or a Subsidiary, whether in any particular position, at any  particular rate of compensation, for any particular period of time or otherwise;   (b) Restrict in any way the right of the Company, an Affiliate, and/or a Subsidiary to  terminate, change or modify any Employee’s employment or any Non-Employee Director’s service as a  Director at any time with or without Cause;   (c) Confer on any Consultant any right of continued relationship with the Company,  an Affiliate, and/or a Subsidiary, or alter any relationship between them, including any right of the Company  or an Affiliate or Subsidiary to terminate, change or modify its relationship with a Consultant;   (d) Constitute a contract of employment or service between the Company or any  Affiliate or Subsidiary and any Employee, Non-Employee Director, or Consultant, nor shall it constitute a  right to remain in the employ or service of the Company or any Affiliate or Subsidiary;   (e) Give any Employee, Non-Employee Director or Consultant the right to receive  any bonus, whether payable in cash or in Shares, or in any combination thereof, from the Company, an  Affiliate, and/or a Subsidiary, nor be construed as limiting in any way the right of the Company, an Affiliate,  and/or a Subsidiary to determine, in its sole discretion, whether or not it shall pay any Employee, Non- 

 

23  Employee Director, or Consultant bonuses, and, if so paid, the amount thereof and the manner of such  payment; or   (f) Give any Participant any rights whatsoever with respect to an Award except as  specifically provided in the Plan and the Award Agreement.   14.2 No Effects on Benefits.  Payments and other compensation received by a  Participant under an Award are not part of such Participant’s normal or expected compensation or salary for  any purpose, including calculating termination, indemnity, severance, resignation, redundancy, end of  service payments, bonuses, long-service awards, pension or retirement benefits or similar payments under  any laws, plans, contracts, policies, programs, arrangements or otherwise.  No claim or entitlement to  compensation or damages arises from the termination of the Plan or diminution in value of any Award or  Shares purchased or otherwise received under the Plan.   ARTICLE XV    CHANGE OF CONTROL  15.1 Treatment of Outstanding Awards.  In the event of a Change of Control, unless  otherwise specifically prohibited by any applicable laws, rules or regulations or otherwise provided in any  applicable Award Agreement, as in effect prior to the occurrence of the Change of Control, specifically with  respect to a Change of Control:   (a) In its discretion, and on such terms and conditions as it deems appropriate, the  Committee may provide, either by the terms of the Award Agreement or by resolution adopted prior to the  occurrence of such Change of Control, that any Awards which are outstanding shall, as applicable and in  whole or in part, become vested, non-forfeitable, and/or exercisable; have the restrictions, performance  goals, Period of Restriction or other conditions applicable to such Awards be canceled, terminated or  deemed achieved or have any restrictions on transfer, sale assignment, pledge or other disposition  (including with respect to Shares issuable under such Award) lapse and/or that any Award the payment or  settlement of which was deferred under Section 20.6 or otherwise may be paid or distributed immediately  prior to the Change of Control, subject to Section 17.5.  Without limiting the foregoing, in its discretion, and  on such terms and conditions as it deems appropriate, the Committee may provide, either by the terms of  the Award Agreement or by resolution adopted prior to the occurrence of such Change of Control, that the  target payment opportunities attainable under any outstanding Awards of Performance Units, Performance  Shares, Cash-Based Awards, and other Awards shall be deemed to have been fully or partially earned for any  Performance Period(s), immediately prior to the effective date of the Change of Control.   (b) In its discretion and in accordance with the terms of the Plan, provide that all or  certain Awards be Assumed or Replaced.  In the event that an Award is not Assumed or Replaced, or in the  event of a liquidation of the Company, then such Award shall, as applicable, become fully vested, non- forfeitable, and/or exercisable; have the restrictions, performance goals, Period of Restriction or other  conditions applicable to such Award canceled, terminated or deemed achieved or have any restrictions on  transfer, sale assignment, pledge or other disposition (including with respect to Shares issuable under such  Award) lapse immediately prior to the Change of Control and the target payment opportunities under such  outstanding Award of Performance Units, Performance Shares, Cash-Based Awards or other Award shall be  deemed to have been fully earned for the entire Performance Period(s) immediately prior to the Change of  Control.  Further, unless otherwise provided in any applicable Award Agreement, as in effect prior to the  occurrence of the Change of Control, if a Participant with respect to whom an Award has been Assumed or  Replaced incurs a Termination, either by the Company, an Affiliate or a Subsidiary without Cause or by the  Participant for Good Reason (a “Terminated Participant”), after the Change of Control, then subject to  Section 15.1(b)(i) all outstanding Awards that are held by such Terminated Participant, as the case may be,  shall become fully vested, non-forfeitable, and/or exercisable; have the restrictions, performance goals,  

 

24  Period of Restriction or other conditions applicable to such Award canceled, terminated or deemed  achieved or have any restrictions on transfer, sale assignment, pledge or other disposition (including with  respect to Shares issuable under such Award) lapse immediately prior to the Change of Control.  (i) Notwithstanding Section 15.1(b), with respect to outstanding  Awards of Performance Units, Performance Shares, Cash-Based Awards or other Awards, the target  payment opportunities under such outstanding Awards of Performance Units, Performance Shares,  Cash-Based Awards or other Award shall be deemed to have been fully earned for the entire  Performance Period(s) immediately prior to the Change of Control, in each case immediately  preceding, or upon the occurrence of the failure to assume or replace such Awards or upon a  Termination described in Section 15.1(b) and (I) there shall be paid out to each Participant holding  such an Award denominated in Shares, not later than five (5) days prior to the effective date of the  Change of Control, in the case of such Awards that are not Assumed or Replaced, or upon the  occurrence of such Termination, in the case of a Termination described in Section 15.1(b), a pro  rata number of Shares (or the equivalent Fair Market Value thereof, as determined by the  Committee, in cash) based upon an assumed achievement of all relevant targeted performance  goals, unless actual performance exceeds the target, in which case actual performance shall be  used, and upon the length of time within the Performance Period which has elapsed prior to the  Change of Control or such Termination, as the case may be, and (II) Awards denominated in cash  shall be paid pro rata to the applicable Participant or Participants in cash within thirty (30) days  following the effective date of the Change of Control, in the case of such Awards that are not  Assumed or Replaced, or within thirty (30) days following the occurrence of such Termination, in  the case of a Termination described in Section 15.1(b), with the pro-ration determined as a  function of the length of time within the Performance Period which has elapsed prior to the  Change of Control or Termination, as the case may be, and based on an assumed achievement of  all relevant targeted performance goals, unless actual performance exceeds the target, in which  case actual performance shall be used.  (c) In its discretion, and on such terms and conditions as it deems appropriate, the  Committee may provide, either by the terms of the Award Agreement applicable to any Award or by  resolution adopted prior to the occurrence of the Change of Control, that any outstanding Award shall be  adjusted by substituting for each Share subject to such Award immediately prior to the transaction resulting  in the Change of Control the consideration (whether stock or other securities of the surviving corporation or  any successor corporation to the Company, or a parent or subsidiary thereof, or that may be issuable by  another corporation that is a party to the transaction resulting in the Change of Control) received in such  transaction by holders of Shares for each Share held on the closing or effective date of such transaction, in  which event the aggregate Option Price or Grant Price, as applicable, of the Award shall remain the same;  provided, however, that if such consideration received in such transaction is not solely stock of a successor,  surviving or other corporation, the Committee may provide for the consideration to be received upon  exercise or payment of an Award, for each Share subject to such Award, to be solely stock or other  securities of the successor, surviving or other corporation, as applicable, equal in fair market value, as  determined by the Committee, to the per-Share consideration received by holders of Shares in such  transaction.   (d) In its discretion, and on such terms and conditions as it deems appropriate, the  Committee may provide, either by the terms of the Award Agreement applicable to any Award or by  resolution adopted prior to the occurrence of the Change of Control, that any outstanding Award (or portion  thereof) shall be converted into a right to receive cash, on or as soon as practicable following the closing  date or expiration date of the transaction resulting in the Change of Control in an amount equal to the  highest value of the consideration to be received in connection with such transaction for one Share, or, if  higher, the highest Fair Market Value of a Share during the thirty (30) consecutive business days  immediately prior to the closing date or expiration date of such transaction, less the per-Share Option Price,  

 

25  Grant Price or outstanding unpaid purchase price, as applicable to the Award, multiplied by the number of  Shares subject to such Award, or the applicable portion thereof.  (e) The Committee may, in its discretion, provide that an Award can or cannot be  exercised after, or will otherwise terminate or not terminate as of, a Change of Control.   15.2 No Implied Rights; Other Limitations.  No Participant shall have any right to  prevent the consummation of any of the acts described in Section 4.2 or 15.1 affecting the number of  Shares available to, or other entitlement of, such Participant under the Plan or such Participant’s Award.   Any actions or determinations of the Committee under this Article XV need not be uniform as to all  outstanding Awards, nor treat all Participants identically.  Notwithstanding the adjustments described in  Section 15.1, in no event may any Option or SAR be exercised after ten (10) years from the date it was  originally granted, and any changes to ISOs pursuant to this Article XV shall, unless the Committee  determines otherwise, only be effective to the extent such adjustments or changes do not cause a  “modification” (within the meaning of Code Section 424(h)(3)) of such ISOs or adversely affect the tax status  of such ISOs.   15.3 Termination, Amendment, and Modifications of Change of Control Provisions.   Notwithstanding any other provision of the Plan (but subject to the provisions of Section 15.1, the last  sentence of Section 16.1 and Section 16.2) or any Award Agreement provision, the provisions of this Article  XV may not be terminated, amended, or modified on or after the date of a Change of Control to materially  impair any Participant’s Award theretofore granted and then outstanding under the Plan without the prior  written consent of such Participant.   ARTICLE XVI    AMENDMENT, MODIFICATION, AND TERMINATION  16.1 Amendment, Modification, and Termination.  The Board may, at any time and  with or without prior notice, amend, alter, suspend, or terminate the Plan, and the Committee may, to the  extent permitted by the Plan, amend the terms of any Award theretofore granted, including any Award  Agreement, in each case, retroactively or prospectively; provided, however, that the Board shall obtain  approval of the Company’s stockholders for any amendment that would require such approval in order to  satisfy the requirements of any rules of the stock exchange on which the Shares are traded or other  applicable law, including, without limitation, any requirements under the Code relating to ISOs.  In addition, (A) no such amendment, alteration, suspension or termination of the Plan or any Award  theretofore granted, including any Award Agreement, shall be made which would materially impair the  previously accrued rights of a Participant under any outstanding Award without the written consent of such  Participant, provided, however, that the Board may amend or alter the Plan and the Committee may amend  or alter any Award, including any Award Agreement, either retroactively or prospectively, without the  consent of the applicable Participant, (x) so as to preserve or come within any exemptions from liability  under Section 16(b) of the Exchange Act, pursuant to the rules and releases promulgated by the U.S.  Securities and Exchange Commission (including Rule 16b-3), or (y) if the Board or the Committee determines  in its discretion that such amendment or alteration either (I) is required or advisable for the Company, the  Plan or the Award to satisfy, comply with or meet the requirements of any law, regulation, rule or  accounting standard or (II) is not reasonably likely to significantly diminish the benefits provided under such  Award, or that such diminishment has been or will be adequately compensated and (B) except as is provided  in Section 4.2, but notwithstanding any other provisions of the Plan, neither the Board nor the Committee  may take any action: (1) to amend the terms of an outstanding Option or SAR to reduce the Option Price or  Grant Price thereof, cancel an Option or SAR and replace it with a new Option or SAR with a lower Option  Price or Grant Price, or that has an economic effect that is the same as any such reduction or cancellation;  or (2) to cancel an outstanding Option or SAR having an Option Price or Grant Price above the then-current  

 

26  Fair Market Value of the Shares in exchange for cash or for the grant of another type of Award, without, in  each such case, first obtaining approval of the stockholders of the Company of such action.  For the avoidance of doubt, the amendment and restatement of the Plan effective as of the Effective Date  shall not materially impair the previously accrued rights of a Participant under any Award outstanding as of  the Effective Date without the written consent of such Participant.  To the extent the Committee  determines any provision of the Plan as amended and restated effective as of the Effective Date materially  impairs the previously accrued rights of a Participant under any Award outstanding as of the Effective Date  without such Participant’s consent, the relevant provision of the Plan as in effect immediately prior to the  Effective Date shall apply with respect to such Participant and/or Award.  16.2 Adjustment of Awards Upon the Occurrence of Certain Unusual or Nonrecurring  Events.  The Board or the Committee shall make adjustments in the terms and conditions of, and the criteria  included in, Awards in recognition of unusual or non-recurring events (including the events described in  Section 4.2) affecting the Company or the financial statements of the Company or of changes in applicable  laws, regulations, or accounting principles, whenever the Board or the Committee determines that such  adjustments are necessary to prevent dilution or enlargement of the benefits or potential benefits intended  to be made available under the Plan.  Any such adjustment with respect to an Award intended to be an ISO  shall be made only to the extent consistent with such intent, unless the Board or the Committee determines  otherwise.  The determination of the Committee as to the foregoing adjustments, if any, shall be conclusive  and binding on Participants under the Plan.   ARTICLE XVII    TAX WITHHOLDING AND OTHER TAX MATTERS  17.1 Tax Withholding.  The Company and/or any Subsidiary or Affiliate are authorized  to withhold from any Award granted or payment due under the Plan the amount of all federal, state, local  and non-United States taxes due in respect of such Award or payment and take any such other action as  may be necessary or appropriate, as determined by the Committee, to satisfy all obligations for the  payment of such taxes.  The recipient of any payment or distribution under the Plan shall make  arrangements satisfactory to the Company, as determined in the Committee’s discretion, for the satisfaction  of any tax obligations that arise by reason of any such payment or distribution. The Company shall not be  required to make any payment or distribution under or relating to the Plan or any Award until such  obligations are satisfied or such arrangements are made, as determined by the Committee in its discretion.   17.2 Withholding or Tendering Shares.  Without limiting the generality of Section 17.1,  the Committee may in its discretion permit a Participant to satisfy or arrange to satisfy, in whole or in part,  the tax obligations incident to an Award by: (a) electing to have the Company withhold Shares or other  property otherwise deliverable to such Participant pursuant to the Participant's Award (provided, however,  that the amount of any Shares so withheld shall not exceed the sum of all statutory maximum rates in the  Participant's applicable jurisdiction with respect to the Award, as determined by the Company ) and/or (b)  tendering to the Company Shares owned by such Participant (or by such Participant and the Participant's  spouse jointly) and purchased or held for the requisite period of time as may be required to avoid the  Company’s or the Affiliates’ or Subsidiaries’ incurring an adverse accounting charge, based, in each case, on  the Fair Market Value of the Shares on the payment date as determined by the Committee.  All such  elections shall be irrevocable, made in writing, signed by the Participant, and shall be subject to any  restrictions or limitations that the Committee, in its sole discretion, deems appropriate. Notwithstanding  the foregoing, the amount that shall be withheld with respect to an Award shall be, in the Committee’s  discretion, the minimum tax or social insurance obligations required by law to be withheld in respect of  Awards, or, if applicable, such other withholding amount (a “Greater Amount”) as mutually agreed upon by  the Company and the Participant, up to the sum of all applicable statutory maximum rates (provided, in the  case of a Participant who is an “officer” of the Company as defined in Rule 16a-1(f) promulgated pursuant to  

 

27  the Exchange Act (or any successor rule), that such other amount is approved in advance by the Committee  or the Board).  17.3 Special ISO Obligations.  The Committee may require a Participant to give prompt  written notice to the Company concerning any disposition of Shares received upon the exercise of an ISO  within: (i) two (2) years from the date of granting such ISO to such Participant or (ii) one (1) year from the  transfer of such Shares to such Participant or (iii) such other period as the Committee may from time to time  determine.  The Committee may direct that a Participant with respect to an ISO undertake in the applicable  Award Agreement to give such written notice described in the preceding sentence, at such time and  containing such information as the Committee may prescribe, and/or that the certificates evidencing Shares  acquired by exercise of an ISO refer to such requirement to give such notice.   17.4 Section 83(b) Election.  If a Participant makes an election under Code Section  83(b) to be taxed with respect to an Award as of the date of transfer of Shares rather than as of the date or  dates upon which the Participant would otherwise be taxable under Code Section 83(a), such Participant  shall deliver a copy of such election to the Company immediately after filing such election with the Internal  Revenue Service.  Neither the Company nor any Subsidiary or Affiliate shall have any liability or  responsibility relating to or arising out of the filing or not filing of any such election or any defects in its  construction.   17.5 No Guarantee of Favorable Tax Treatment.  The Plan as well as payments and  benefits under the Plan are intended to be exempt from, or to the extent subject thereto, to comply with  Code Section 409A, and, accordingly, to the maximum extent permitted, the Plan shall be interpreted in  accordance therewith. Granted Awards may be modified at any time, in the Committee’s discretion, so as to  increase the likelihood of exemption from or compliance with the rules of Code Section 409A.  Notwithstanding anything contained herein to the contrary, to the extent required in order to avoid  accelerated taxation and/or tax penalties under Code Section 409A, if a Participant experiences a  Termination that is not a Separation from Service, no payment shall be due to the Participant under the Plan  or any Award until the Participant would be considered to have incurred a Separation from Service. Any  payments described in the Plan that are due within the “short-term deferral" period as defined in Code  Section 409A shall not be treated as deferred compensation unless applicable law requires otherwise.  Notwithstanding anything to the contrary in the Plan, to the extent that any Awards (or any other amounts  payable under any plan, program or arrangement of the Company or any of its Affiliates or any of its  Subsidiaries) are payable upon a Separation from Service and such payment would result in the imposition  of any individual tax and penalty interest charges imposed under Code Section 409A, the settlement and  payment of such awards (or other amounts) shall instead be made on the first business day after the date  that is six (6) months following such Separation from Service (or death, if earlier). Each amount to be paid or  benefit to be provided under this Plan shall be construed as a separate identified payment for purposes of  Code Section 409A. The Company makes no representation that any or all of the payments or benefits  described in this Plan will be exempt from or comply with Code Section 409A and makes no undertaking to  preclude Code Section 409A from applying to any such payment. The Participant shall be solely responsible  for the payment of any taxes and penalties incurred under Code Section 409A.   ARTICLE XVIII    LIMITS OF LIABILITY; INDEMNIFICATION  18.1 Limits of Liability.    (a) Any liability of the Company or a Subsidiary or Affiliate to any Participant with  respect to any Award shall be based solely upon contractual obligations created by the Plan and the Award  Agreement.   

 

28  (b) None of the Company, any Subsidiary, any Affiliate, any member of the Board or  the Committee or any employees, stockholders, directors, or associates of the Company, any Subsidiary, or  its Affiliates shall be liable for any action or determination made in good faith with respect to the Plan or  any Award thereunder.   (c) Each member of the Committee who is concurrently serving as a Director shall be  considered to be acting in such member's capacity as a director of the Company.  Members of the Board of  Directors and members of the Committee acting under the Plan shall be fully protected in relying in good  faith upon the advice of counsel.   (d) The Company shall not be liable to a Participant or any other person as to: (i) the  non-issuance of Shares as to which the Company has been unable to obtain from any regulatory body  having relevant jurisdiction the authority deemed by the Committee or the Company’s counsel to be  necessary to the lawful issuance and sale of any Shares hereunder, and (ii) any tax consequence expected,  but not realized, by any Participant or other person due to the receipt, exercise or settlement of any Option  or other Award.   18.2 Indemnification.  Subject to the requirements of Delaware law, each individual  who is or shall have been a member of the Committee or of the Board, or an officer of the Company to  whom authority was delegated in accordance with Article III, shall be indemnified and held harmless by the  Company against and from any loss, cost, liability, or expense that may be imposed upon or reasonably  incurred by such individual in connection with or resulting from any claim, action, suit, or proceeding to  which such individual may be a party or in which such individual may be involved by reason of any action  taken or failure to act under the Plan and against and from any and all amounts paid by such individual in  settlement thereof, with the Company’s approval, or paid by such individual in satisfaction of any judgment  in any such action, suit, or proceeding against such individual, provided such individual shall give the  Company an opportunity, at its own expense, to handle and defend the same before such individual  undertakes to handle and defend it on such individual's own behalf, unless such loss, cost, liability, or  expense is a result of such individual’s own willful misconduct or except as provided by statute.  The  foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such  individual may be entitled under the Company’s Certificate of Incorporation or By-Laws, as a matter of law,  or otherwise, or any power that the Company may have to indemnify or hold harmless such individual.   ARTICLE XIX    SUCCESSORS  19.1 General.  All obligations of the Company under the Plan with respect to Awards  granted hereunder shall be binding on any successor to the Company, whether the existence of such  successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise, of all or  substantially all of the business and/or assets of the Company.   ARTICLE XX    MISCELLANEOUS  20.1 Drafting Context; Captions.  Except where otherwise indicated by the context, the  plural shall include the singular and the singular shall include the plural.  The words “Article,” “Section,” and  “paragraph” herein shall refer to provisions of the Plan, unless expressly indicated otherwise.  The words  “include,” “includes,” and “including” herein shall be deemed to be followed by “without limitation”  whether or not they are in fact followed by such words or words of similar import, unless the context  otherwise requires.  The headings and captions appearing herein are inserted only as a matter of  

 

29  convenience.  They do not define, limit, construe, or describe the scope or intent of the provisions of the  Plan.   20.2 Forfeiture Events.    (a) Notwithstanding any provision of the Plan to the contrary, the Committee shall  have the authority to determine (and may so provide in any Award Agreement) that a Participant’s  (including the Participant's estate’s, beneficiary’s or transferee’s) rights (including the right to exercise any  Option or SAR), payments, and benefits with respect to any Award shall be subject to reduction,  cancellation, forfeiture, or recoupment (to the extent permitted by applicable law) in the event of the  Participant’s Termination for Cause or due to voluntary resignation; serious misconduct; violation of the  Company’s or a Subsidiary’s or Affiliate’s policies; breach of fiduciary duty; unauthorized disclosure of any  trade secret or confidential information of the Company or a Subsidiary or Affiliate; breach of applicable  non-competition, non-solicitation, confidentiality or other restrictive covenants; or other conduct or activity  that is in competition with the business of the Company or any Subsidiary or Affiliate, or otherwise  detrimental to the business, reputation or interests of the Company and/or any Subsidiary or Affiliate; or  upon the occurrence of certain events specified in the applicable Award Agreement (in any such case,  whether or not the Participant is then an Employee, Non-Employee Director, or Consultant).  The  determination of whether a Participant’s conduct, activities, or circumstances are described in the  immediately preceding sentence shall be made by the Committee in its good faith discretion.  Following  such a determination, the Committee shall be permitted to exercise its rights and remedies with respect to  the treatment of any outstanding Awards or any portion of such outstanding Awards, including, without  limitation, suspending the exercise, payment, delivery, or settlement of a Participant’s outstanding Awards,  withholding or rescinding any such Awards, or demanding repayment for any cash proceeds that may have  been distributed to a Participant in respect of any such Awards, or any other similar action.   (b) If the Company is required to prepare an accounting restatement (x) due to the  material non-compliance of the Company, as a result of misconduct, with any financial reporting  requirement under the securities laws, if a Participant knowingly or grossly negligently engaged in such  misconduct, or knowingly or grossly negligently failed to prevent such misconduct, or if a Participant is one  of the individuals subject to automatic forfeiture under Section 304 of the Sarbanes-Oxley Act of 2002, the  Participant shall reimburse the Company the amount of any payment in settlement of an Award earned or  accrued during the twelve (12)-month period following the first public issuance or filing with the U.S.  Securities and Exchange Commission (whichever just occurred) of the financial document embodying such  financial reporting requirement, and (y) the Committee may in its discretion provide that if the amount  earned under any Participant’s Award is reduced by such restatement, such Participant shall reimburse the  Company the amount of any such reduction previously paid in settlement of such Award.   20.3 Severability.  In the event any provision of the Plan shall be unenforceable or  invalid for any reason, the unenforceability or invalidity shall not affect the remaining parts of the Plan, and  the Plan shall be construed and enforced as if the unenforceable or invalid provision had not been included.   20.4 Leave of Absence.  Awards held by a Participant who is an Employee on an  approved leave of absence shall continue to vest in accordance with their terms during the leave of absence  as if the Participant was an active employee unless otherwise agreed to in writing between the Company  and the Participant or otherwise set forth in the Award Agreement; provided, however, in the event of an  ISO, such leave of absence shall not exceed ninety (90) days unless reemployment is guaranteed by law or  contract.   20.5 Exercise and Payment of Awards.  An Award shall be deemed exercised or  claimed when the Secretary of the Company or any other Company official or other person designated by  the Committee for such purpose receives appropriate written notice from a Participant, in form acceptable  to the Committee, together with payment of the applicable Option Price, Grant Price or other purchase  

 

30  price, if any, and compliance with Article XVII, in accordance with the Plan and such Participant’s Award  Agreement.   20.6 Deferrals.  To the extent provided in the Award Agreement, the Committee may  permit or require a Participant to defer such Participant’s receipt of the payment of cash or the delivery of  Shares that would otherwise be due to such Participant by virtue of the lapse or waiver of the Period of  Restriction or other restrictions with respect to Restricted Stock or the payment or satisfaction of Restricted  Stock Units, Performance Units, Performance Shares, Cash-Based Awards or Other Stock-Based Awards.  If  any such deferral election is required or permitted, (a) such deferral shall represent an unfunded and  unsecured obligation of the Company and shall not confer the rights of a stockholder unless and until Shares  are issued thereunder; (b) the number of Shares subject to such deferral shall, until settlement thereof, be  subject to adjustment pursuant to Section 4.2; and (c) the Committee shall establish rules and procedures  for such deferrals and payment or settlement thereof, which may be in cash, Shares or any combination  thereof, and such deferrals may be governed by the terms and conditions of any deferred compensation  plan of the Company or Affiliate specified by the Committee for such purpose.    20.7 No Effect on Other Plans.  Neither the adoption of the Plan nor anything  contained herein shall affect any other compensation or incentive plans or arrangements of the Company or  any Subsidiary or Affiliate, or prevent or limit the right of the Company or any Subsidiary or Affiliate to  establish any other forms of incentives or compensation for their directors, officers, eligible employees or  consultants or grant or assume options or other rights otherwise than under the Plan.   20.8 Section 16 of Exchange Act.  Unless otherwise stated in the Award Agreement,  notwithstanding any other provision of the Plan, any Award granted to an Insider shall be subject to any  additional limitations set forth in any applicable exemptive rule under Section 16 of the Exchange Act  (including Rule 16b-3) that are requirements for the application of such exemptive rule, and the Plan and  the Award Agreement shall be deemed amended to the extent necessary to conform to such limitations.   20.9 Requirements of Law; Limitations on Awards.     (a) The granting of Awards and the issuance of Shares under the Plan shall be  subject to all applicable laws, rules, and regulations, and to such approvals by any governmental agencies or  national securities exchanges as may be required.   (b) If at any time the Committee shall determine, in its discretion, that the listing,  registration, and/or qualification of Shares upon any securities exchange or under any state, federal or non- United States law, or the consent or approval of any governmental regulatory body, is necessary or  desirable as a condition of, or in connection with, the grant, settlement, sale or purchase of Shares  hereunder, the Company shall have no obligation to allow the grant, exercise or payment of any Award, or  to issue or deliver evidence of title for Shares issued under the Plan, in whole or in part, unless and until  such listing, registration, qualification, consent, and/or approval shall have been effected or obtained, or  otherwise provided for, free of any conditions not acceptable to the Committee.   (c) If at any time counsel to the Company shall be of the opinion that any sale or  delivery of Shares pursuant to an Award is or may be in the circumstances unlawful or result in the  imposition of excise taxes on the Company or any Subsidiary or Affiliate under the statutes, rules or  regulations of any applicable jurisdiction, the Company shall have no obligation to make such sale or  delivery, or to make any application or to effect or to maintain any qualification or registration under the  Securities Act, or otherwise with respect to Shares or Awards and the right to exercise or payment of any  Option or Award shall be suspended until, in the opinion of such counsel, such sale or delivery shall be  lawful or will not result in the imposition of excise taxes on the Company or any Subsidiary or Affiliate.   

 

31  (d) Upon termination of any period of suspension under this Section 20.9(d), any  Award affected by such suspension which shall not then have expired or terminated shall be reinstated as to  all Shares available before such suspension and as to the Shares which would otherwise have become  available during the period of such suspension, but no suspension shall extend the term of any Award.   (e) The Committee may require each person receiving Shares in connection with any  Award under the Plan to represent and agree with the Company in writing that such person is acquiring  such Shares for investment without a view to the distribution thereof, and/or provide such other  representations and agreements as the Committee may prescribe.  The Committee, in its absolute  discretion, may impose such restrictions on the ownership and transferability of the Shares purchasable or  otherwise receivable by any person under any Award as it deems appropriate.  Any such restrictions shall be  set forth in the applicable Award Agreement, and the certificates evidencing such Shares may include any  legend that the Committee deems appropriate to reflect any such restrictions.   (f) An Award and any Shares received upon the exercise or payment of an Award  shall be subject to such other transfer and/or ownership restrictions and/or legending requirements as the  Committee may establish in its discretion and may be referred to on the certificates evidencing such Shares,  including restrictions under applicable federal securities laws, under the requirements of any stock  exchange or market upon which such Shares are then listed and/or traded, and under any blue sky or state  securities laws applicable to such Shares.   20.10 Participants Deemed to Accept Plan.  By accepting any benefit under the Plan,  each Participant and each person claiming under or through any such Participant shall be conclusively  deemed to have indicated their acceptance and ratification of, and consent to, all of the terms and  conditions of the Plan and any action taken under the Plan by the Board, the Committee or the Company, in  any case in accordance with the terms and conditions of the Plan.   20.11 Governing Law.  Except as to matters concerning the issuance of Shares or other  matters of corporate governance, which shall be determined, and related Plan and Award provisions, which  shall be construed, under the laws of Delaware, the Plan and each Award Agreement shall be governed by  the laws of the state set forth in the Award Agreement, or if no such governing law is set forth in an Award  Agreement then the laws of the State of California, excluding any conflicts or choice of law rule or principle  that might otherwise refer construction or interpretation of the Plan to the substantive law of another  jurisdiction.  Unless otherwise provided in the Award Agreement, Participants are deemed to submit to the  exclusive jurisdiction and venue of the federal or state courts of the State of California, to resolve any and all  issues that may arise out of or relate to the Plan or any related Award Agreement.   20.12 Plan Unfunded.  The Plan shall be unfunded.  The Company shall not be required  to establish any special or separate fund or to make any other segregation of assets to assure the issuance  of Shares or the payment of cash upon exercise or payment of any Award.  Proceeds from the sale of Shares  pursuant to Awards granted under the Plan shall constitute general funds of the Company.   20.13 Uncertificated Shares.  To the extent that the Plan provides for issuance of  certificates to reflect the transfer of Shares, the transfer of such Shares may nevertheless be effected on a  non-certificated basis, to the extent not prohibited by applicable law or the rules of any stock exchange.   20.14 No Fractional Shares.  An Option or other Award shall not be exercisable with  respect to a fractional Share.  No fractional Shares shall be issued upon the exercise or payment of an  Option or other Award.   20.15 Participants Based Outside of the United States.  Notwithstanding any provision  of the Plan to the contrary, in order to comply with the laws or practices of countries other than the United  States in which the Company, any Affiliate, and/or any Subsidiary operates or has Employees, Non- 

 

32  Employee Directors or Consultants, the Committee, in its sole discretion, shall have the power and authority  to:   (a) Determine which Affiliates and Subsidiaries shall be covered by the Plan;   (b) Determine which Employees, Non-Employee Directors and/or Consultants  outside the United States are eligible to participate in the Plan;   (c) Grant Awards (including substitutes for Awards), and modify the terms and  conditions of any Awards, on such terms and conditions as the Committee determines necessary or  appropriate to permit participation in the Plan by individuals otherwise eligible to so participate who are  non-United States nationals or employed outside the United States, or otherwise to comply with applicable  non-United States laws or conform to applicable requirements or practices of jurisdictions outside the  United States;   (d) Establish subplans and adopt or modify exercise procedures and other terms and  procedures, to the extent such actions may be necessary or advisable.  Any subplans and modifications to  Plan terms and procedures established under this Section 20.15(d) by the Committee shall be attached to  the Plan as appendices; and   (e) Take any action, before or after an Award is made, that the Committee, in its  discretion, deems advisable to obtain approval or comply with any necessary local government regulatory  exemptions or approvals.   Notwithstanding the above, the Committee may not take any actions hereunder, and no Awards shall be  granted, that would violate any applicable law.Exhibit 10.1
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SUPPORT AGREEMENT
This Support Agreement, dated as of January 27, 2021 (this “Agreement”), is entered into between Stock Yards Bancorp, Inc., a Kentucky corporation (“SYBT”), and ___________ (“Shareholder”).  
Recitals
A.Concurrently with the execution and delivery of this Agreement, SYBT, H. Meyer Merger Subsidiary, Inc., a Kentucky corporation and direct, wholly-owned subsidiary of SYBT (“Merger Subsidiary”), and Kentucky Bancshares, Inc., a Kentucky corporation (“KTYB”) and parent bank holding company of Kentucky Bank, a Kentucky banking corporation (the “Bank”) are entering into an Agreement and Plan of Merger, dated as of the date of this Agreement (as amended or supplemented from time to time, the “Merger Agreement”), pursuant to which, among other things, Merger Subsidiary shall be merged with and into KTYB, upon the terms and subject to the conditions set forth in the Merger Agreement.  Capitalized terms not otherwise defined in this Agreement shall have meanings provided in the Merger Agreement.
B.As of the date of this Agreement, Shareholder is the record and beneficial owner and has the power to vote the number of shares of KTYB Common Stock set forth, and in the manner reflected, on Attachment A to this Agreement (the shares listed on Attachment A, together with all shares of KTYB Common Stock subsequently acquired by the Shareholder during the term of this Agreement, are referred to in this Agreement as the “Owned Shares”).
C.As an inducement and condition to entering into the Merger Agreement, SYBT has required that Shareholder agree, and Shareholder has agreed, to enter into this Agreement.

NOW, THEREFORE, the parties hereto agree as follows:
aRTICLE I
VOTING AGREEMENT
Section 1.1Agreement to Vote.  Shareholder hereby agrees that, during the time this Agreement is in effect, at the KTYB Meeting, and at any other meeting of the shareholders of KTYB, however called, or any adjournment or postponement thereof, Shareholder shall: 
(a)appear at each meeting or otherwise cause the Owned Shares to be counted as present at each meeting for purposes of calculating a quorum; and
(b)vote (or cause to be voted), in person or by proxy, all of the Owned Shares (i) in favor of (A) the adoption and approval of the Merger, the Merger Agreement and the transactions contemplated thereby, (B) any other matter that is required to facilitate the transactions contemplated by the Merger Agreement and (C) any proposal to adjourn or postpone the meeting to a later date if there are not sufficient votes to approve the Merger, the Merger Agreement and the transactions contemplated thereby; (ii) against any action or agreement that could reasonably be expected to result in a breach of any covenant, representation or warranty or 

any other obligation or agreement of KTYB contained in the Merger Agreement or of Shareholder contained in this Agreement; and (iii) against any Acquisition Proposal or any other action, agreement or transaction that is intended, or could reasonably be expected, to materially impede, interfere or be inconsistent with, delay, postpone, discourage or materially and adversely affect consummation of the Merger or the transactions contemplated by the Merger Agreement or the performance by Shareholder of Shareholder’s obligations under this Agreement.
Section 1.2Shareholder Capacity.  Notwithstanding anything to the contrary contained in this Agreement, Shareholder makes no agreement or understanding in this Agreement in Shareholder’s capacity as a director or officer, as applicable, of KTYB or the KTYB Subsidiaries, and nothing in this Agreement:  (a) will limit or affect any actions or omissions taken by Shareholder in Shareholder’s capacity as such a director or officer, as applicable, of KTYB or the KTYB Subsidiaries, including in exercising rights under the Merger Agreement, and no such actions or omissions shall be deemed a breach of this Agreement; or (b) will be construed to prohibit, limit or restrict Shareholder from exercising in a manner consistent with the terms of the Merger Agreement Shareholder’s fiduciary duties as a director or officer, as applicable, to KTYB, the KTYB Subsidiaries or their respective shareholders.
ARTICLE II
REPRESENTATIONS AND WARRANTIES OF SHAREHOLDER
Shareholder represents and warrants to SYBT as follows:
Section 2.1Authority; Authorization.  
(a)Shareholder has all requisite power, right, authority and capacity to execute and deliver this Agreement, to perform Shareholder’s obligations under this Agreement, and to consummate the transactions contemplated by this Agreement.
(b)This Agreement has been duly and validly executed and delivered by Shareholder, and the execution, delivery and performance of this Agreement by Shareholder and the consummation of the transactions contemplated by this Agreement have been duly authorized by all necessary action on the part of Shareholder, and no other actions or proceedings on the part of Shareholder are necessary to authorize this Agreement or to consummate the transactions contemplated by this Agreement.
(c)Assuming the authorization, execution and delivery of this Agreement by SYBT, this Agreement constitutes a legal, valid and binding obligation of Shareholder, enforceable against Shareholder in accordance with its terms.
(d)If Shareholder is married and the Owned Shares set forth by the name of Shareholder on the signature page to this Agreement constitute property owned jointly with Shareholder’s spouse, this Agreement has been executed by Shareholder’s spouse and constitutes the valid and binding agreement of Shareholder’s spouse.  If this Agreement is being executed in a representative or fiduciary capacity, the person signing this Agreement has full power and authority to enter into and perform this Agreement.

Section 2.2Non-Contravention.  The execution and delivery of this Agreement by Shareholder does not, and the consummation of the transactions contemplated by this Agreement and the compliance with the provisions of this Agreement will not (a) to the knowledge of Shareholder, require Shareholder to obtain the consent or approval of, or make any filing with or notification to, any governmental or regulatory authority, domestic or foreign, (b) require the consent or approval of any other person pursuant to any agreement, obligation or instrument binding on Shareholder, (c) conflict with or violate any organizational document or law, rule, regulation, order, judgment or decree applicable to Shareholder, or (d) violate any other agreement to which Shareholder is a party including, without limitation, any voting agreement, shareholder agreement, irrevocable proxy or voting trust.  The Owned Shares are not, with respect to the voting or transfer of the Owned Shares, subject to any other agreement, including any voting agreement, shareholder agreement, irrevocable proxy or voting trust.
Section 2.3Ownership of Securities.  On the date of this Agreement, the Owned Shares set forth on Attachment A to this Agreement are owned of record or beneficially by Shareholder in the manner reflected on Attachment A, include all of the shares of KTYB Common Stock owned of record or beneficially by Shareholder, and are free and clear of any proxy or voting restriction, claims, liens, encumbrances and security interests (other than as created by this Agreement).  As of the date of this Agreement Shareholder has, and at the KTYB Meeting or any other shareholder meeting of KTYB in connection with the Merger, the Merger Agreement and the transactions contemplated by the Merger Agreement (except respecting Owned Shares that Shareholder is permitted to Transfer (as defined in Section 3.2(a) below) pursuant to this Agreement), Shareholder will have, sole voting power and sole dispositive power with respect to all of the Owned Shares.  For purposes of this Agreement, the term “beneficial ownership” shall be interpreted in accordance with Rule 13d-3 under the Securities Exchange Act of 1934, as amended. 
Section 2.4Absence of Litigation.  There is no suit, action, investigation or proceeding pending or, to the knowledge of Shareholder, threatened against or affecting Shareholder or any of its affiliates before or by any governmental authority that could reasonably be expected to impair the ability of Shareholder to perform its obligations under this Agreement or to consummate the transactions contemplated by this Agreement on a timely basis.
Section 2.5Reliance by SYBT.  Shareholder understands and acknowledges that SYBT is entering into the Merger Agreement in reliance upon Shareholder’s execution, delivery and performance of this Agreement.
ARTICLE III
COVENANTS
Section 3.1No Solicitation; Notice of Acquisitions; Proposals Regarding Prohibited Transactions.
(a)Shareholder agrees that during the term of this Agreement Shareholder shall not, and shall not permit any investment banker, financial advisor, attorney, accountant or other representative retained by Shareholder, directly or indirectly, to (i) take any of the actions specified in Section 5.14 of the Merger Agreement except as permitted by such Section 5.14 of 

the Merger Agreement, (ii) participate in, directly or indirectly, a “solicitation” of “proxies” (as those terms are used in the rules of the SEC) or powers of attorney or similar rights to vote, or seek to advise or influence any person with respect to the voting of, any shares of KTYB Common Stock in connection with any vote or other action on any matter of a type described in Section 1.1(b) of this Agreement, other than to recommend that shareholders of KTYB vote in favor of the adoption and approval of the Merger Agreement and the Merger and as otherwise expressly permitted by this Agreement or the Merger Agreement.  Except as permitted by the Merger Agreement, Shareholder agrees immediately to cease and cause to be terminated any activities, discussions or negotiations conducted before the date of this Agreement with any persons other than SYBT with respect to any possible Acquisition Proposal and will take all necessary steps to inform any investment banker, financial advisor, attorney, accountant or other representative retained by him, her or it of the obligations undertaken by Shareholder pursuant to this Section 3.1.
(b)Shareholder hereby agrees to notify SYBT promptly (and, in any event, within 24 hours) in writing of the number of any additional shares of KTYB Common Stock of which Shareholder acquires beneficial or record ownership on or after the date hereof. 
Section 3.2Restrictions on Transfer and Proxies; Non-Interference.  
(a)Shareholder agrees that it will not, prior to the termination of this Agreement, Transfer or agree to Transfer any Owned Shares other than with SYBT’s prior written consent.  For purposes of this Agreement, “Transfer” shall mean to, other than in connection with the Merger or the other transactions contemplated by the Merger Agreement, offer, sell, contract to sell, pledge, assign, distribute by gift or donation, or otherwise dispose of (or enter into any transaction which is designed to, or might reasonably be expected to, result in the disposition of (whether by actual disposition or effective economic disposition due to cash settlement or otherwise)), directly or indirectly, any shares of capital stock of KTYB or any securities convertible into, or exercisable or exchangeable for such capital stock, or publicly announce an intention to effect any such transaction.  Notwithstanding the foregoing, Shareholder may make gifts of Owned Shares during the term of this Agreement if the donee enters into an agreement containing covenants governing the voting and transfer of the transferred Owned Shares equivalent to those set forth in this Agreement.
(b)Shareholder hereby covenants and agrees that, except for this Agreement, it (i) has not entered into, and shall not enter into at any time while this Agreement remains in effect, any voting agreement or voting trust with respect to the Owned Shares, (ii) has not granted, and except for proxies granted as contemplated by Section 1.1(b), shall not grant at any time while this Agreement remains in effect, a proxy, consent or power of attorney with respect to the Owned Shares, (iii) has not taken any action, and shall not take any action at any time while this Agreement remains in effect, that would or is reasonably likely to (A) make any representation or warranty contained in this Agreement untrue or incorrect in any material respect or (B) have the effect of preventing Shareholder from performing its obligations under this Agreement.
Section 3.3Dissenters’ Rights.  Shareholder agrees not to exercise any right to dissent (including, without limitation, under any rights set forth in Sections 271B.13-010 through 

271B.13-310 of the KBCA) as to any Owned Shares which may arise with respect to the Merger or the transactions contemplated by the Merger Agreement.
Section 3.4Stop Transfer.  Shareholder agrees that it shall not request that KTYB register the transfer (book-entry or otherwise) of any certificate or uncertificated interest representing any Owned Shares, unless the transfer is made in compliance with this Agreement.
Section 3.5Further Assurances; Cooperation. 
(a)Shareholder, without further consideration, will (i) use all reasonable efforts to cooperate with SYBT and KTYB in furtherance of the transactions contemplated by the Merger Agreement, (ii) promptly execute and deliver all additional documents that may be reasonably necessary in furtherance of the transactions contemplated by the Merger Agreement, and take all reasonable actions as are necessary or appropriate to consummate the transactions contemplated by the Merger Agreement, and (iii) promptly provide any information, and make all filings, reasonably requested by SYBT for any regulatory application or filing made or approval sought in connection with the transactions contemplated by the Merger Agreement (including filings with any Regulatory Agencies).
(b)Shareholder consents to the publication and disclosure in the Proxy Statement (and, as and to the extent otherwise required by law or any Regulatory Agency or Governmental Entity, in any other documents or communications provided by SYBT or KTYB to any Regulatory Agency or Governmental Entity or to security holders of SYBT or KTYB) of Shareholder’s identity and beneficial and record ownership of the Owned Shares, the nature of Shareholder’s commitments, arrangements and understandings under and relating to this Agreement and the Merger Agreement and any additional requisite information regarding the relationship of Shareholder with SYBT and the SYBT Subsidiaries and/or KTYB, the Bank, and the other KTYB Subsidiaries.
Section 3.6Non-Competition and Non-Solicitation.
(a)Shareholder agrees that for (x) the period between the date of this Agreement and the Effective Time (except for service on the Board of Directors of KTYB or Bank) and (y) for a period of [three (3) years/eighteen (18) months]1 following the Effective Time, Shareholder will not:
(i)engage in a Competitive Business (as defined below) as an employee, officer or director; provided that the foregoing shall not prohibit the Shareholder from (A) continuing to engage in the activities in which the Shareholder is currently a participant which are expressly set forth on Attachment B attached hereto, or (B) holding up to two (2%) of the outstanding securities of any class of any publicly held company which is a Competitive Business; 

1 Duration will be tied to length of service on KTYB’s board (i.e. directors serving more than 5 years as of the date of the Agreement will be subject to a three (3) year period; directors serving less than 5 years as of the date of the Agreement will be subject to an eighteen (18) month period).

(ii)solicit or otherwise attempt in any manner to cause or otherwise encourage any persons who are employees of KTYB or the Bank or any other KTYB Subsidiary prior to the Closing (“KTYB Employees”) to leave the employ of SYBT or any of the SYBT Subsidiaries; or
(iii)(A)  induce, persuade, encourage or influence, or attempt to induce, persuade, encourage or influence, any person (as such term is interpreted in Section 8.6 of the Merger Agreement) having a business relationship with KTYB, the Bank, and other KTYB Subsidiary, SYBT or any of the SYBT Subsidiaries, to discontinue, reduce or restrict such relationship or (B) solicit, target or divert, or attempt to solicit, target or divert, the deposits, loans or other products and services from persons who were depositors, borrowers or customers of KTYB, the Bank, or any other KTYB Subsidiary on the date of this Agreement and/or as of the Effective Time; provided, however, nothing in this Section 3.6(a)(iii) shall prevent the Shareholder from engaging in the Shareholder’s personal, family, business or employment activities as a customer of a Competitive Business.
(iv)For purposes of this Agreement, the term “Competitive Business” shall mean the business or operations of a bank, thrift, credit union, investment, mortgage banking, financial planning or wealth management advisor, trust company, industrial bank, or any other financial institution or bank holding company either located or doing business either (A) within the Kentucky counties of Bourbon, Clark, Elliott, Fayette, Harrison, Jessamine, Madison, Rowan, Scott, and/or Woodford, or (B) within any county contiguous to any county referred to in item (A) of this Section 3.6(a)(iv). 
(b)Shareholder acknowledges and agrees that the business conducted by SYBT and the SYBT Subsidiaries is highly competitive and that the covenants made by Shareholder in this Section 3.6 are made as a necessary inducement for SYBT to enter into the Merger Agreement and to consummate the transactions contemplated by the Merger Agreement.  It is the desire and intent of the parties to this Agreement that the provisions of this Section 3.6 shall be enforced to the fullest extent permissible under the laws and public policies of each jurisdiction in which enforcement is sought.  It is expressly understood and agreed that although Shareholder and SYBT each consider the restrictions contained in this Section 3.6 to be reasonable, if a final determination is made by a court of competent jurisdiction or an arbitrator that the time or territory or any other restriction contained in this Section 3.6 is unenforceable against any party, the provisions of this Section 3.6 shall be deemed amended to apply as to the maximum time and territory and to the maximum extent as the applicable court may judicially determine or indicate to be enforceable.  The parties further agree to execute all documents necessary to evidence the applicable amendment.
(c)Shareholder acknowledges and agrees that the provisions of this Agreement are fair, reasonable and necessary to protect SYBT’s legitimate business interests and to protect the value of SYBT’s acquisition of KTYB.
(d)Shareholder will not, at any time during the [three-year/eighteen-month] period referred to in Section 3.6(a) of this Agreement, disparage SYBT or any of the SYBT Subsidiaries, or the business conducted by SYBT or any of the SYBT Subsidiaries, or any stockholder, member, director, manager, officer, employee or agent of SYBT or any of the 

SYBT Subsidiaries.
ARTICLE IV
Termination
Section 4.1Termination.  This Agreement shall terminate upon the earlier to occur of (i) the termination of the Merger Agreement in accordance with its terms and (ii) the date that is [three (3) years/eighteen (18) months] following the Effective Time.
Section 4.2Effect of Termination. In the event of termination of this Agreement pursuant to Section 4.1, this Agreement shall become void and of no effect with no liability on the part of any party hereto; provided, however, no termination of this Agreement shall relieve any party to this Agreement from any liability for any breach of this Agreement occurring prior to the termination of this Agreement or any obligations under this Agreement.
ARTICLE V
MISCELLANEOUS
Section 5.1Amendment; Waivers.  Any provision of this Agreement may be amended or waived if, and only if, the amendment or waiver is in writing and signed (a) in the case of an amendment, by SYBT and Shareholder, and (b) in the case of a waiver, by the party against whom the waiver is to be effective.  No failure or delay by any party in exercising any right, power or privilege under this Agreement shall operate as a waiver the applicable right, power or privilege, nor shall any single or partial exercise any right, power or privilege preclude any other or further exercise of the applicable right, power or privilege or the exercise of any other right, power or privilege.
Section 5.2Expenses.  Subject to Section 5.8, all costs and expenses incurred in connection with this Agreement and the transactions contemplated by this Agreement shall be paid by the party incurring the expenses.
Section 5.3Notices.  All notices, requests, instructions or other communications or documents to be given or made hereunder by one party to the other party shall be in writing and (a) served by personal delivery upon the party for whom it is intended, (b) sent by an internationally recognized overnight courier service upon the party for whom it is intended, or (c) sent by email, provided that the transmission of the e-mail is promptly confirmed:
(i)   if to Shareholder: The address provided on Attachment A hereto.
(ii)if to SYBT:  
​
Stock Yards Bancorp, Inc.
1040 E. Main St.
Louisville, KY 40206
Attention:     James A. Hillebrand, CEO
Email:           Ja.Hillebrand@syb.com
​
          with a copy to :  

​
Stock Yards Bancorp, Inc.
1040 E. Main St.
Louisville, KY 40206
Attention:     Craig Bradley, General Counsel
Email:           craig.bradley@syb.com
​
and with a copy (which shall not constitute notice) to:
​
Frost Brown Todd LLC 
400 West Market Street, 32nd Floor
Louisville, KY 40202
Attention:    R. James Straus
              Nathan L. Berger.
Email:         jstraus@fbtlaw.com
 nberger@fbtlaw.com
 ​
Section 5.4Entire Agreement; Assignment.  This Agreement constitutes the entire agreement among the parties with respect to the subject matter of this Agreement and supersedes all other prior agreements and understandings, both written and oral, among the parties with respect to the subject matter of this Agreement.  Neither this Agreement, nor any of the rights and obligations under this Agreement, shall be transferred by Shareholder without the prior written consent of SYBT.
Section 5.5Parties in Interest.  This Agreement shall be binding upon and inure solely to the benefit of each party to this Agreement and their respective successors, heirs, and permitted assigns.  Nothing in this Agreement, express or implied, is intended to or shall confer upon any other person any rights, benefits or remedies of any nature whatsoever under or by reason of this Agreement.
Section 5.6Severability.  Whenever possible, each provision or portion of any provision of this Agreement shall be interpreted in a manner as to be effective and valid under applicable law, but if any provision or portion of any provision of this Agreement is held to be invalid, illegal or unenforceable in any respect under any applicable law or rule in any jurisdiction, the invalidity, illegality or unenforceability shall not affect any other provision or portion of any provision in the applicable jurisdiction, and this Agreement shall be reformed, construed and enforced in the applicable jurisdiction so that the invalid, illegal or unenforceable provision or portion thereof shall be interpreted to be only so broad as is enforceable.
Section 5.7Specific Performance; Remedies.  Each of the parties to this Agreement agrees that this Agreement is intended to be legally binding and specifically enforceable pursuant to its terms and that SYBT would be irreparably harmed if any of the provisions of this Agreement are not performed in accordance with their specific terms and that monetary damages would not provide adequate remedy in such event.  Accordingly, in the event of any breach or threatened breach by Shareholder of any covenant or obligation contained in this Agreement, in addition to any other remedy to which SYBT may be entitled (including monetary damages), 

SYBT shall be entitled to seek injunctive relief to prevent breaches of this Agreement and to specifically enforce the terms and provisions of this Agreement.  Shareholder further agrees that neither SYBT, Merger Subsidiary nor any other person shall be required to obtain, furnish or post any bond or similar instrument in connection with or as a condition to obtaining any remedy referred to in this Section 5.7, and Shareholder irrevocably waives any right it may have to require the obtaining, furnishing or posting of any bond or similar instrument.  All rights, powers and remedies provided under this Agreement or otherwise available in respect of this Agreement at law or in equity shall be cumulative and not alternative, and the exercise of any right, power or remedy thereof by any party shall not preclude the simultaneous or later exercise of any other such right, power or remedy by such party.
Section 5.8Governing Law.  
(a)This Agreement shall be governed and construed in accordance with the laws of the Commonwealth of Kentucky without regard to any applicable conflicts of law.
(b)Each party agrees that it will bring any action or proceeding in respect of any claim arising out of or related to this Agreement or the transactions contemplated hereby exclusively in the federal or state courts located in either Louisville, Jefferson County, Kentucky or Lexington, Fayette County, Kentucky (the “Chosen Courts”), and, solely in connection with claims arising under this Agreement or the transactions that are the subject of this Agreement, (i) irrevocably submits to the exclusive jurisdiction of the Chosen Courts, (ii) waives any objection to laying venue in any action or proceeding in the Chosen Courts, (iii) waives any objection that the Chosen Courts are an inconvenient forum or do not have jurisdiction over any party and (iv) agrees that service of process upon any party in any action or proceeding will be effective if notice is given in accordance with Section 5.3.  Notwithstanding any other provision in this Agreement, in the event of any action arising out of or resulting from this Agreement, the prevailing party shall be entitled to recover its costs and expenses (including reasonable attorneys' fees and expenses) incurred in connection with the action.
Section 5.9Waiver of Jury Trial. EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES, TO THE EXTENT PERMITTED BY LAW AT THE TIME OF INSTITUTION OF THE APPLICABLE LITIGATION, ANY RIGHT THE PARTY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT.  EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT: (A) NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, (B) EACH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER, (C) EACH PARTY MAKES THIS WAIVER VOLUNTARILY, AND (D) EACH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 5.9.  

Section 5.10Headings.  The headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement. 
Section 5.11Counterparts.  This Agreement may be executed in two or more counterparts (including by facsimile, email of a PDF copy, or other electronic means) all of which shall be considered one and the same agreement and shall become effective when counterparts have been signed by each of the parties and delivered to the other parties, it being understood that all parties need not sign the same counterpart.
Section 5.12Delivery by Facsimile or Electronic Transmission.  This Agreement and any signed agreement or instrument entered into in connection with this Agreement, and any amendments or waivers hereto or thereto, to the extent signed and delivered by means of a facsimile machine or by email delivery of a “.pdf” format data file, shall be treated in all manner and respects as an original agreement or instrument and shall be considered to have the same binding legal effect as if it were the original signed version thereof delivered in person.  No party hereto or to any agreement or instrument entered into in connection with this Agreement shall raise the use of a facsimile machine or email delivery of a “.pdf” format data file to deliver a signature to this Agreement or any amendment hereto or the fact that any signature or agreement or instrument was transmitted or communicated through the use of a facsimile machine or email delivery of a “.pdf” format data file as a defense to the formation of a contract and each party hereto forever waives any defense based on the foregoing.  
[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]
​

IN WITNESS WHEREOF, each of the parties has caused this Agreement to be duly executed as of the day and year first above written.
SYBT:
Stock Yards Bancorp, Inc.
By:​ ​​ ​​ ​​ ​​ ​
James A. Hillebrand, CEO 
​
SHAREHOLDER
​ ​​ ​​ ​​ ​​ ​​ ​​
Print Name:​ ​​ ​​ ​​ ​
​
SHAREHOLDER’S SPOUSE
____________________________________
Print Name: ________________________
​
​
​
​
​
​
​
​
[Signature Page to Support Agreement]
​
​

Attachment A
Owned Shares
	Name and Address of Shareholder
	Owned Shares

	[NAME]
[                                 ]
[                                 ]
Phone:  [                   ]
Email:   [                   ]
	​

​
​

Attachment B
Current Activities

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