Document:

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                                                                    Exhibit 10.2

                                                                [Execution Copy]

                  THE TRANSFER OF THIS AGREEMENT IS SUBJECT TO
                   CERTAIN PROVISIONS CONTAINED HEREIN AND TO
                        THE RESALE RESTRICTIONS UNDER THE
                       SECURITIES ACT OF 1933, AS AMENDED

                             STOCK OPTION AGREEMENT

                  This STOCK OPTION AGREEMENT dated as of July 2, 2000 is by and
 between EGL, Inc., a Texas corporation ("Issuer"), and Circle International
Group, Inc., a Delaware corporation ("Grantee").

                                    RECITALS

                  The Grantee, the Issuer and EGL Delaware I, Inc., a Delaware
corporation ("Merger Sub"), propose to enter into an Agreement and Plan of
Merger (the "Merger Agreement") providing, among other things, for the merger
(the "Merger") pursuant to the Merger Agreement of Merger Sub with and into the
Grantee, which shall be the surviving corporation.

                  As a condition and inducement to Grantee's willingness to
enter into the Merger Agreement, Grantee has requested that Issuer agree, and
Issuer has agreed, to grant Grantee the Option (as defined below).

                  The Board of Directors of Issuer has approved the Merger
Agreement, the Merger and this Agreement and has recommended approval of the
Merger Agreement by the holders of common stock, par value $.001 per share, of
Issuer ("Issuer Common Stock").

                  The Board of Directors of Grantee has approved the Merger
Agreement, the Merger and this Agreement and has recommended approval of the
Merger Agreement by its shareholders.

                  NOW, THEREFORE, in consideration of the foregoing and the
respective representations, warranties, covenants and agreements set forth
herein and in the Merger Agreement, Issuer and Grantee agree as follows:

                  1. Capitalized Terms. Those capitalized terms used but not
defined herein that are defined in the Merger Agreement are used herein with the
same meanings as ascribed to them therein. Those capitalized terms used in this
Agreement that are not defined in the Merger Agreement are defined in Annex A
hereto and are used herein with the meanings ascribed to them therein.

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                  2.       The Option.

                  a. Grant of Option. Subject to the terms and conditions set
forth herein, Issuer hereby grants to Grantee an irrevocable option to purchase
up to a number of shares of Issuer Common Stock, together with any shares
theretofore issued pursuant to the Option, equal to 10.1% of the sum of (i) the
number of shares of Issuer Common Stock issued and outstanding as of the Closing
Date (as defined below) and (ii) the number of shares of Issuer Common Stock
issuable as of the Closing Date pursuant to any options, warrants, calls,
subscriptions, convertible securities or other rights, agreements or commitments
which obligate the Issuer to issue such shares (the "Option Shares"), at the
Exercise Price.

                  b. Exercise Price. The exercise price (the "Exercise Price")
per Option Share of the Option shall be the average of the closing prices (or,
if such securities should not trade on any trading day, the average of the bid
and asked prices therefor on such day) of common stock, par value $1.00 per
share, of Grantee as reported on the Nasdaq National Market during the 20
consecutive trading days ending on (and including) the fifth trading day
immediately prior to the Notice Date (as defined below) or, if such shares are
not quoted thereon, on the principal trading market (as defined in Regulation M
under the Exchange Act) on which such shares are traded as reported by a
recognized source during such 20 trading day period.

                  c. Term. The Option shall be exercisable at any time and from
time to time following the occurrence of an Exercise Event and shall remain in
full force and effect until the earliest to occur of (i) the Effective Time,
(ii) April 15, 2001 and (iii) termination of the Merger Agreement in accordance
with its terms unless the Issuer is obligated to pay the fee specified in
Section 9.5 of the Merger Agreement in connection with such termination (the
"Option Term"). If the Option is not theretofore exercised, the rights and
obligations set forth in this Agreement shall terminate at the expiration of the
Option Term. Issuer shall notify Grantee promptly in writing of the occurrence
of any Exercise Event, it being understood that the giving of such notice by
Issuer shall not be a condition to the right of Grantee to exercise the Option
or for an Exercise Event to have occurred.

                  d. Exercise of Option.

                  (i) Grantee may exercise the Option, in whole or in part, at
any time and from time to time during the Option Term. Notwithstanding the
expiration of the Option Term, Grantee shall be entitled to purchase those
Option Shares with respect to which it has exercised the Option in accordance
with the terms hereof prior to the expiration of the Option Term.

                  (ii) If Grantee wishes to exercise the Option, it shall send a
written notice (an "Exercise Notice") (the date of which being herein referred
to as the "Notice Date") to Issuer specifying (i) the total number of Option
Shares it intends to purchase pursuant to such exercise and (ii) a place and a
date (the "Closing Date") not earlier than three Business Days nor later than 15
Business Days from the Notice Date for the closing of the purchase and sale
pursuant to the Option (the "Closing").

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                  (iii) If the Closing cannot be effected by reason of the
application of any Law, Regulation or Order (including, without limitation, the
HSR Act), the Closing Date shall be extended to the tenth Business Day following
the expiration or termination of the restriction imposed by such Law, Regulation
or Order. Without limiting the foregoing, if prior notification to, or
Authorization of, any Governmental Authority is required in connection with the
purchase of such Option Shares by virtue of the application of such Law,
Regulation or Order, Grantee and, if applicable, Issuer shall promptly file the
required notice or application for Authorization and Grantee, with the
cooperation of Issuer, shall expeditiously process the same.

                  (iv) Issuer shall at all times maintain, free from preemptive
rights, a sufficient number of authorized shares of Issuer Common Stock (and
other securities issuable pursuant hereto) so that the Option may be exercised
without additional authorization of Issuer Common Stock (or such other
securities) after giving effect to all other options, warrants, convertible
securities and other rights to purchase Issuer Common Stock (or such other
securities).

                  e. Payment and Delivery of Certificates.

                  (i) At each Closing, Grantee shall pay to Issuer in
immediately available funds by wire transfer to a bank account designated by
Issuer an amount equal to the Exercise Price multiplied by the number of Option
Shares to be purchased on such Closing Date.

                  (ii) At each Closing, simultaneously with the delivery of
immediately available funds as provided above, Issuer shall deliver to Grantee a
certificate or certificates representing the Option Shares to be purchased at
such Closing, which Option Shares shall be duly authorized, validly issued,
fully paid and nonassessable and free and clear of all Liens, and Grantee shall
deliver to Issuer its written agreement that Grantee will not offer to sell or
otherwise dispose of such Option Shares in violation of applicable Law or the
provisions of this Agreement.

                  f. Certificates. Certificates for the Option Shares delivered
at each Closing shall be endorsed with a restrictive legend that shall read
substantially as follows:

                  THE TRANSFER OF THE SHARES REPRESENTED BY THIS CERTIFICATE IS
         SUBJECT TO RESTRICTIONS ARISING UNDER THE SECURITIES ACT OF 1933, AS
         AMENDED, AND PURSUANT TO THE TERMS OF A STOCK OPTION AGREEMENT DATED AS
         OF JULY 2, 2000. A COPY OF SUCH AGREEMENT WILL BE PROVIDED TO THE
         HOLDER HEREOF WITHOUT CHARGE UPON RECEIPT BY THE ISSUER OF A WRITTEN
         REQUEST THEREFOR.

A new certificate or certificates evidencing the same number of shares of Issuer
Common Stock will be issued to Grantee in lieu of the certificate bearing the
above legend, and such new certificate shall not bear such legend, insofar as it
applies to the Securities Act, if Grantee shall have delivered to Issuer a copy
of a letter from the staff of the SEC, or an opinion of counsel in form and
substance reasonably satisfactory to Issuer and its counsel, to the effect that
such legend is not required for purposes of the Securities Act.

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                  3. Adjustment Upon Changes in Capitalization, Etc.

                  a. In the event of any change in Issuer Common Stock by reason
of a stock dividend, split-up, combination, recapitalization, exchange of shares
or similar transaction, the type and number of shares or securities subject to
the Option, and the Exercise Price therefor, shall be adjusted appropriately,
and proper provision shall be made in the agreements governing such transaction,
so that Grantee shall receive upon exercise of the Option the same class and
number of outstanding shares or other securities or property that Grantee would
have received in respect of Issuer Common Stock if the Option had been exercised
immediately prior to such event, or the record date therefor, as applicable.

                  b. To the extent any of the provisions of this Agreement apply
to the Exercise Price, they shall be deemed to refer to the Exercise Price as
adjusted pursuant to this Section 3.

                  4. Repurchase at the Option of Grantee.

                  a. At the request of Grantee made at any time and from time to
time after the occurrence of an Exercise Event and prior to 120 days after the
expiration of the Option Term, Issuer (or any successor thereto) shall, at the
election of Grantee (the "Put Right"), repurchase from Grantee (i) that portion
of the Option relating to all or any part of the Unexercised Option Shares (or
as to which portion the Option has been exercised but the Closing has not
occurred) and (ii) all or any portion of the shares of Issuer Common Stock
purchased by Grantee pursuant hereto and with respect to which Grantee then has
ownership. The date on which Grantee exercises its rights under this Section 4
is referred to as the "Put Date." Subject to Section 7 hereof, such repurchase
shall be at an aggregate price (the "Put Consideration") equal to the sum of:

                           (i) the aggregate Exercise Price paid by Grantee for
                  any Option Shares which Grantee owns and as to which Grantee
                  is exercising the Put Right; plus

                           (ii) (x) the excess, if any, of the Applicable Price
                  over the Exercise Price paid by Grantee for each Option Share
                  as to which Grantee is exercising the Put Right multiplied by
                  (y) the number of such shares; plus

                           (iii) (x) the excess, if any, of (1) the Applicable
                  Price over (2) the Exercise Price multiplied by (y) the number
                  of Unexercised Option Shares as to which Grantee is exercising
                  the Put Right.

                  b. If Grantee exercises its rights under this Section 4,
Issuer shall, within five Business Days after the Put Date, pay the Put
Consideration to Grantee in immediately available funds, and Grantee shall
surrender to Issuer the Option or portion of the Option and the certificates
evidencing the shares of Issuer Common Stock purchased thereunder. Grantee shall
warrant to Issuer that, immediately prior to the repurchase thereof pursuant to
this Section 4, Grantee had sole record and Beneficial Ownership of the Option
or such shares, or both, as the case may be, and that the Option or such shares,
or both, as the case may be, were then held free and clear of all Liens.

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                  c. If the Option has been exercised, in whole or in part, as
to any Option Shares subject to the Put Right but the Closing thereunder has not
occurred, the payment of the Put Consideration shall, to that extent, render
such exercise null and void.

                  d. Notwithstanding any provision to the contrary in this
Agreement, Grantee may not exercise its rights pursuant to this Section 4 in a
manner that would result in Total Profit of more than the Profit Cap; provided,
however, that nothing in this sentence shall limit Grantee's ability to exercise
the Option for the applicable number of Option Shares in accordance with its
terms.

                  5. Registration Rights.

                  a. Issuer shall, if requested by Grantee at any time and from
time to time during the Registration Period, as expeditiously as practicable,
prepare, file and cause to be made effective up to two registration statements
under the Securities Act if such registration is required in order to permit the
offering, sale and delivery of any or all shares of Issuer Common Stock or other
securities that have been acquired by or are issuable to Grantee upon exercise
of the Option in accordance with the intended method of sale or other
disposition stated by Grantee, including, at the sole discretion of Issuer, a
"shelf" registration statement under Rule 415 under the Securities Act or any
successor provision, and Issuer shall use all reasonable efforts to qualify such
shares or other securities under any applicable state securities laws. Issuer
shall use all reasonable efforts to cause each such registration statement to
become effective, to obtain all consents or waivers of other parties that are
required therefor and to keep such registration statement effective for such
period not in excess of 180 days from the day such registration statement first
becomes effective as may be reasonably necessary to effect such sale or other
disposition. The obligations of Issuer hereunder to file a registration
statement and to maintain its effectiveness may be suspended for one or more
periods of time not exceeding 90 days in the aggregate if the Board of Directors
of Issuer shall have determined in good faith that the filing of such
registration or the maintenance of its effectiveness would require disclosure of
nonpublic information that would materially and adversely affect Issuer. For
purposes of determining whether two requests have been made under this Section
5, only requests relating to a registration statement that has become effective
under the Securities Act and maintained effective for at least 180 days or such
shorter period required to permit Grantee to dispose of all shares covered
thereby (excluding any shares covered by an over-allotment option) in the manner
contemplated therein shall be counted.

                  b. The Registration Expenses shall be for the account of
Issuer; provided, however, that Issuer shall not be required to pay any
Registration Expenses with respect to such registration if the registration
request is subsequently withdrawn at the request of Grantee unless Grantee
agrees to forfeit its right to request one registration.

                  c. Grantee shall provide all information reasonably requested
by Issuer for inclusion in any registration statement to be filed hereunder. If
during the Registration Period Issuer shall propose to register under the
Securities Act the offering, sale and delivery of Issuer Common Stock for cash
for its own account or for any other stockholder of Issuer pursuant to a firm
underwriting, it shall, in addition to Issuer's other obligations under this
Section 5, allow Grantee the right to participate in such registration provided
that Grantee participates in the underwriting;

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provided, however, that, if the managing underwriter of such offering advises
Issuer in writing that in its opinion the number of shares of Issuer Common
Stock requested to be included in such registration exceeds the number that can
be sold in such offering, Issuer shall, after fully including therein all
securities to be sold by Issuer, include the shares requested to be included
therein by Grantee pro rata (based on the number of shares intended to be
included therein) with the shares intended to be included therein by Persons
other than Issuer.

                  d. In connection with any offering, sale and delivery of
Issuer Common Stock pursuant to a registration statement effected pursuant to
this Section 5, Issuer and Grantee shall provide each other and each underwriter
of the offering with customary representations, warranties and covenants,
including covenants of indemnification and contribution.

                  6. First Refusal. Subject to the provisions of Section 4, at
any time after the first occurrence of an Exercise Event and prior to the second
anniversary of the first purchase of shares of Issuer Common Stock pursuant to
the Option, if Grantee shall desire to sell, assign, transfer or otherwise
dispose of all or any of the Option Shares or other securities acquired by it
pursuant to the Option, it shall give Issuer written notice of the proposed
transaction (an "Offeror's Notice"), identifying the proposed transferee,
accompanied by a copy of a binding offer to purchase such shares or other
securities signed by such transferee and setting forth the terms of the proposed
transaction. An Offeror's Notice shall be deemed an offer by Grantee to Issuer,
which may be accepted, in whole but not in part, within 20 Business Days of the
receipt of such Offeror's Notice, on the same terms and conditions and at the
same price at which Grantee is proposing to transfer such shares or other
securities to such transferee. The purchase of any such shares or other
securities by Issuer shall be settled within 10 Business Days of the date of the
acceptance of the offer and the purchase price shall be paid to Grantee in
immediately available funds. If Issuer shall fail or refuse to purchase all the
shares or other securities covered by an Offeror's Notice, Grantee may, within
60 days from the date of the Offeror's Notice, sell all, but not less than all,
of such shares or other securities to the proposed transferee at no less than
the price specified and on terms no more favorable than those set forth in the
Offeror's Notice; provided, however, that the provisions of this sentence shall
not limit the rights Grantee may otherwise have if Issuer has accepted the offer
contained in the Offeror's Notice and wrongfully refuses to purchase the shares
or other securities subject thereto. The requirements of this Section 6 shall
not apply to (a) any disposition as a result of which the proposed transferee
would own beneficially not more than 4.9% of the outstanding voting power of
Issuer, (b) any disposition of Issuer Common Stock or other securities by a
Person to whom Grantee has assigned its rights under the Option with the consent
of Issuer, (c) any sale by means of a public offering registered under the
Securities Act or (d) any transfer to a wholly owned Subsidiary of Grantee which
agrees in writing to be bound by the terms hereof; provided, however, that
Grantee shall be permitted to sell any Option Shares if such sale is made
pursuant to a tender or exchange offer that has been approved or recommended by
a majority of the members of Issuer's Board of Directors.

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                  7.       Profit Limitation.

                  a. Notwithstanding any other provision of this Agreement, in
no event shall Grantee's Total Profit exceed the Profit Cap and, if it otherwise
would exceed such amount, Grantee, at its sole election, shall either (i)
deliver to Issuer for cancellation Option Shares previously purchased by
Grantee, (ii) pay cash or other consideration to Issuer, (iii) reduce the amount
of the fee payable to Grantee under Section 9.5 of the Merger Agreement or (iv)
undertake any combination thereof, so that Grantee's Total Profit shall not
exceed the Profit Cap after taking into account the foregoing actions.

                  b. Notwithstanding any other provision of this Agreement, this
Stock Option may not be exercised for a number of Option Shares that would, as
of the Notice Date, result in a Notional Total Profit of more than the Profit
Cap, and, if exercise of the Option otherwise would exceed the Profit Cap,
Grantee, at its sole option, may increase the Exercise Price for that number of
Option Shares set forth in the Exercise Notice so that the Notional Total Profit
shall not exceed the Profit Cap; provided, however, that nothing in this
sentence shall restrict any exercise of the Option otherwise permitted by this
Section 7(b) on any subsequent date at the Exercise Price set forth in Section
2(b) if such exercise would not then be restricted under this Section 7(b).

                  8. Listing. If Issuer Common Stock or any other securities
then subject to the Option are then listed on the Nasdaq National Market,
Issuer, upon the occurrence of an Exercise Event, will promptly file an
application to list on the Nasdaq National Market the shares of Issuer Common
Stock or other securities then subject to the Option and will use all reasonable
efforts to cause such listing application to be approved as promptly as
practicable.

                  9. Replacement of Agreement. Upon receipt by Issuer of
evidence reasonably satisfactory to it of the loss, theft, destruction or
mutilation of this Agreement, and (in the case of loss, theft or destruction) of
reasonably satisfactory indemnification, and upon surrender and cancellation of
this Agreement, if mutilated, Issuer, in replacement of this Agreement, will
execute and deliver a new Agreement of like tenor and date.

                  10. Representations and Warranties.

                  (a) Representation and Warranty of Issuer; Authorized Stock.
Issuer hereby represents and warrants to Grantee that Issuer has taken all
necessary corporate and other action to authorize and reserve and, subject to
the expiration or termination of any required waiting period under the HSR Act,
to permit it to issue, and, at all times from the date hereof until the
obligation to deliver Option Shares upon the exercise of the Option terminates,
shall have authorized and reserved for issuance Issuer Common Stock sufficient
for Grantee to exercise the Option, and Issuer has taken all necessary corporate
action to authorize and reserve for issuance all additional Issuer Common Stock
or other securities which may be issued pursuant to Section 2 upon exercise of
the Option. The Issuer Common Stock to be issued upon exercise of the Option,
and all other securities which may be issuable upon exercise of the Option or
any other securities which may be issued pursuant to Section 2, upon issuance
pursuant hereto, will be validly issued, fully paid and nonassessable, and will
be delivered free and clear of all Liens.

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<PAGE>   8

                  (b) Representations and Warranties of Grantee. Grantee hereby
represents and warrants to Issuer that any Option Shares or other securities
acquired by Grantee upon exercise of the Option will not be, and the Option is
not being, acquired by Grantee with a view to the public distribution thereof in
violation of any federal or state securities laws. Neither the Option nor any of
the Option Shares will be offered, sold, pledged or otherwise transferred except
in compliance with, or pursuant to a valid exemption from, the registration
requirements of the Securities Act.

                  11. Miscellaneous.

                  (a) Expenses. Except as otherwise provided in the Merger
Agreement or as otherwise expressly provided herein, each of the parties hereto
shall bear and pay all costs and expenses incurred by it or on its behalf in
connection with the transactions contemplated hereunder, including fees and
expenses of its own financial consultants, investment bankers, accountants and
counsel.

                  (b) Waiver and Amendment. Any provision of this Agreement may
be waived in writing at any time by the party that is entitled to the benefits
of such provision. The waiver by any party hereto of a breach of any provision
hereunder shall not operate or be construed as a waiver of any prior or
subsequent breach of the same or any other provision hereunder. This Agreement
may not be modified, amended, altered or supplemented except upon the execution
and delivery of a written agreement executed by the parties hereto.

                  (c) Entire Agreement; No Third Party Beneficiary. This
Agreement (i) (together with the Merger Agreement and the other documents and
instruments referred to herein and therein) constitutes the entire agreement and
supersedes all prior agreements and understandings, both written and oral,
between the parties with respect to the subject matter hereof and (ii) is not
intended to confer upon any Person other than the parties hereto any rights or
remedies hereunder.

                  (d) Severability. Any term or provision of this Agreement
which is invalid or unenforceable in any jurisdiction shall, as to that
jurisdiction, be ineffective to the extent of such invalidity or
unenforceability without rendering invalid or unenforceable the remaining terms
and provisions of this Agreement or affecting the validity or enforceability of
any of the terms or provisions of this Agreement in any other jurisdiction. If
any provision of this Agreement is so broad as to be unenforceable, the
provision shall be interpreted to be only so broad as is enforceable.

                  (e) Governing Law. This Agreement shall be governed by and
construed in accordance with the Laws of the State of Delaware, without regard
to its rules of conflict of law.

                  (f) Descriptive Headings. The descriptive headings contained
herein are for convenience or reference only and shall not affect in any way the
meaning or interpretation of this Agreement.

                  (g) Notices. All notices and other communications required to
be given hereunder shall be sufficient if in writing, and sent by facsimile
transmission or by courier service (with proof of service), hand delivery or
certified or registered mail (return receipt requested and first-class

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postage prepaid) to the parties at the addresses, or if sent by electronic
transmission to the telecopier numbers, set forth in Section 10.2 of the Merger
Agreement.

                  (h) Counterparts. This Agreement and any amendments hereto may
be executed in counterparts, each of which when so executed and delivered shall
be an original, but all such counterparts shall together constitute one and the
same instrument. Each counterpart may consist of a number of copies hereof each
signed by less than all, but together signed by all of the parties hereto.

                  (i) Assignment. Neither this Agreement nor any of the rights,
interests or obligations hereunder or under the Option shall be sold, assigned
or otherwise disposed of or transferred by either of the parties hereto (whether
by operation of law or otherwise) without the prior written consent of the other
party, except as otherwise provided herein and except that Grantee may assign
this Agreement to a wholly owned Subsidiary of Grantee; provided, however, that
no such assignment shall have the effect of releasing Grantee from its
obligations hereunder. Subject to the preceding sentence, this Agreement shall
be binding upon, inure to the benefit of and be enforceable by the parties and
their respective successors and assigns.

                  (j) Further Assurances. In the event of any exercise of the
Option by Grantee, Issuer and Grantee shall execute and deliver all other
documents and instruments and take all other action that may be reasonably
necessary in order to consummate the transactions provided for by such exercise.

                  (k) Enforcement of Agreement. The parties hereto agree that
irreparable damage would occur in the event that any of the provisions of this
Agreement were not performed in accordance with its specific terms or was
otherwise breached. It is accordingly agreed that the parties shall be entitled
to an injunction or injunctions to prevent breaches of this Agreement and to
enforce specifically the terms and provisions hereof, this being in addition to
any other remedy to which they are entitled at law or in equity.

                  (l) Presence at Meetings. For a period of 18 months from the
date of exercise of the Option, so long as Grantee beneficially owns any Option
Shares, Grantee agrees to be present, in person or represented by proxy, at all
stockholder meetings of Issuer, so that all Option Shares beneficially owned by
Grantee may be counted for the purpose of determining the presence of a quorum
at such meetings.

                            [Signature Page Follows]

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                  IN WITNESS WHEREOF, Issuer and Grantee have caused this Stock
Option Agreement to be signed by their respective officers thereunto duly
authorized, all as of the day and year first written above.

                                    EGL, INC.

                                    By:    /s/  Elijio V. Serrano
                                    -----------------------------------------
                                    Name:  Elijio V. Serrano
                                    Title: Chief Financial Officer

                                    CIRCLE INTERNATIONAL GROUP, INC.

                                    By:    /s/Peter Gibert
                                    -----------------------------------------
                                    Name:  Peter Gibert
                                    Title: Chairman and Chief Executive Officer

<PAGE>   11
                                                                         ANNEX A

                            SCHEDULE OF DEFINED TERMS

                  The following terms when used in the Stock Option Agreement
shall have the meanings set forth below unless the context shall otherwise
require:

                  "Agreement" shall mean this Stock Option Agreement.

                  "Applicable Price" means the highest of (i) the highest
purchase price per share paid pursuant to a third party's tender or exchange
offer made for shares of Issuer Common Stock after the date hereof and on or
prior to the Put Date, (ii) the price per share to be paid by any third Person
for shares of Issuer Common Stock pursuant to an agreement for a Business
Combination Transaction entered into on or prior to the Put Date, and (iii) the
Current Market Price. If the consideration to be offered, paid or received
pursuant to either of the foregoing clauses (i) or (ii) shall be other than in
cash, the value of such consideration shall be determined in good faith by an
independent nationally recognized investment banking firm jointly selected by
Grantee and Issuer, which determination shall be conclusive for all purposes of
this Agreement.

                  "Authorization" shall mean any and all permits, licenses,
authorizations, orders certificates, registrations or other approvals granted by
any Governmental Authority.

                  "Beneficial Ownership," "Beneficial Owner" and "Beneficially
Own" shall have the meanings ascribed to them in Rule 13d-3 under the Exchange
Act.

                  "Business Combination Transaction" shall mean (i) a
consolidation, exchange of shares or merger of Issuer with any Person, other
than Grantee or one of its Subsidiaries, and, in the case of a merger, in which
Issuer shall not be the continuing or surviving corporation, (ii) a merger of
Issuer with a Person, other than Grantee or one of its Subsidiaries, in which
Issuer shall be the continuing or surviving corporation but the then outstanding
shares of Issuer Common Stock shall be changed into or exchanged for stock or
other securities of Issuer or any other Person or cash or any other property, or
the shares of Issuer Common Stock outstanding immediately before such merger
shall after such merger represent less than 80% of the shares of common stock
and common stock equivalents of Issuer outstanding immediately after the merger
or (iii) a sale, lease or other transfer of all or substantially all the assets
of Issuer to any Person, other than Grantee or one of its Subsidiaries.

                  "Business Day" shall mean a day other than Saturday, Sunday or
a federal holiday.

                  "Closing" shall have the meaning ascribed to such term in
Section 2 herein.

                  "Closing Date" shall have the meaning ascribed to such term in
Section 2 herein.

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                  "Court" shall mean any court or arbitration tribunal of the
United States, any foreign country or any domestic or foreign state, and any
political subdivision thereof, and shall include the European Court of Justice.

                  "Current Market Price" shall mean, as of any date, the average
of the closing prices (or, if such securities should not trade on any trading
day, the average of the bid and asked prices therefor on such day) of Issuer
Common Stock as reported on the Nasdaq National Market during the 20 consecutive
trading days ending on (and including) the fifth trading day immediately prior
to such date or, if the shares of Issuer Common Stock are not quoted thereon, on
the principal trading market (as defined in Regulation M under the Exchange Act)
on which such shares are traded as reported by a recognized source during such
20 trading day period.

                  "Exercise Event" shall mean any of the events giving rise to
the obligation of Issuer to pay the $16 million fee under Section 9.5 of the
Merger Agreement.

                  "Exercise Notice" shall have the meaning ascribed to such term
in Section 2(d) herein.

                  "Exercise Price" shall have the meaning ascribed to such term
in Section 2 herein.

                  "Governmental Authority" shall mean any governmental agency or
authority (other than a Court) of the United States, any foreign country, or any
domestic or foreign state, and any political subdivision thereof, and shall
include any multinational authority having governmental or quasi-governmental
powers.

                  "Law" shall mean all laws, statutes and ordinances of the
United States, any state of the United States, any foreign country, any foreign
state, and any political subdivision thereof, including all decisions of Courts
having the effect of law in each such jurisdiction.

                  "Lien" shall mean any mortgage, pledge, security interest,
adverse claim, encumbrance, lien or charge of any kind (including any agreement
to give any of the foregoing), any conditional sale or other title retention
agreement, any lease in the nature thereof or the filing of or agreement to give
any financing statement under the Laws of any jurisdiction.

                  "Merger Agreement" shall mean that certain Agreement and Plan
of Merger dated as of the date hereof between Grantee, Merger Sub and Issuer.

                  "Notice Date" shall have the meaning ascribed to such term in
Section 2 herein.

                  "Notional Total Profit" shall mean, with respect to any number
of Option Shares as to which Grantee may propose to exercise the Option, the
Total Profit determined as of the date of the Exercise Notice assuming that the
Option were exercised on such date for such number of Option Shares and assuming
such Option Shares, together with all other Option Shares held by Grantee and
its Affiliates as of such date, were sold for cash at the closing market price
for Issuer Common Stock as of the close of business on the preceding trading day
and including all amounts theretofore

                                      A-2
<PAGE>   13

received or concurrently being paid to Grantee pursuant to clauses (i), (ii) and
(iii) of the definition of Total Profit.

                  "Option" shall mean the option granted by Issuer to Grantee
pursuant to Section 2 herein.

                  "Option Shares" shall have the meaning ascribed to such term
in Section 2 herein.

                  "Option Term" shall have the meaning ascribed to such term in
Section 2 herein.

                  "Order" shall mean any judgment, order or decree of any Court
or Governmental Authority, federal, foreign, state or local, of competent
jurisdiction.

                  "Person" shall have the meaning specified in Sections 3(a)(9)
and 13(d)(3) of the Exchange Act.

                  "Profit Cap" shall mean $16 million.

                  "Put Consideration" shall have the meaning ascribed to such
term in Section 4 herein.

                  "Put Date" shall have the meaning ascribed to such term in
Section 4 herein.

                  "Put Right" shall have the meaning ascribed to such term in
Section 4 herein.

                  "Registration Expenses" shall mean the expenses associated
with the preparation and filing of any registration statement pursuant to
Section 5 herein and any sale covered thereby (including any fees related to
blue sky qualifications and filing fees in respect of the National Association
of Securities Dealers, Inc.), but excluding underwriting discounts or
commissions or brokers' fees in respect to shares to be sold by Grantee and the
fees and disbursements of Grantee's counsel.

                  "Registration Period" shall mean, subject to Section 5 hereof,
the period of two years following the first exercise of the Option by Grantee.

                  "Regulation" shall mean any rule or regulation of any
Governmental Authority having the effect of Law or of any rule or regulation of
any self-regulatory organization, such as the NYSE.

                  "Total Profit" shall mean the aggregate (before income taxes)
of the following: (a) the aggregate amount of (i) all amounts received by
Grantee or concurrently being paid to Grantee pursuant to Section 4 for the
repurchase by Issuer of all or part of the unexercised portion of the Option,
(ii) (A) the amounts received by Grantee or concurrently being paid to Grantee
pursuant to Section 4 for the repurchase by Issuer of all or part of the Option
Shares owned by Grantee (or any other securities into which such Option Shares
are converted or exchanged), less (B) Grantee's purchase price for such Option
Shares, (iii) (A) the amounts received by Grantee or concurrently

                                      A-3
<PAGE>   14
being paid to Grantee pursuant to the arm's length sale of all or part of the
Option Shares (or any other securities into which such Option Shares are
converted or exchanged) to any unaffiliated party, including sale made pursuant
to a registration statement under the Securities Act or any exemption therefrom,
less (B) Grantee's purchase price for such Option Shares and (iv) all amounts
received by Grantee from Issuer or concurrently being paid to Grantee pursuant
to Section 9.5 of the Merger Agreement; minus (b) the amount of any cash
theretofore paid to Issuer pursuant to Section 7 plus the value of any Option
Shares theretofore delivered to Issuer for cancellation pursuant to Section 7.

                  "Unexercised Option Shares" shall mean, from and after the
Exercise Date until the expiration of the Option Term, those Option Shares as to
which the Option remains unexercised from time to time.

                                      A-4<PAGE>   1
                                                                   EXHIBIT 10.3

                                                              [Execution Copy]

                              STOCKHOLDER AGREEMENT

            This Stockholder Agreement (this "Agreement") dated as of July 2,
2000 is between EGL, Inc., a Texas corporation ("Parent"), and those persons set
forth on Exhibit A (each, a "Stockholder" and collectively, the "Stockholders").

                                    RECITALS

            WHEREAS, Parent, EGL Delaware I, Inc., a Delaware corporation and a
direct, wholly owned subsidiary of Parent ("Merger Sub"), and Circle
International Group, Inc., a Delaware corporation (the "Company"), are entering
into an Agreement and Plan of Merger dated as of the date hereof (as amended
from time to time pursuant thereto, the "Merger Agreement");

            WHEREAS, each Stockholder is the record and beneficial owner of the
number of shares of common stock, par value $1.00 per share, of the Company (the
"Company Common Stock") set forth opposite such Stockholder's name on Exhibit A
(such shares of Company Common Stock, together with any shares of capital stock
of the Company acquired by such Stockholder after the date hereof and during the
term of this Agreement, being collectively referred to herein as such
Stockholder's "Shares");

            WHEREAS, as a condition to the willingness of Parent to enter into
the Merger Agreement, and as an inducement to it to do so, the Stockholder has
agreed for the benefit of Parent as set forth in this Agreement; and

            WHEREAS, the Board of Directors of the Company has approved the
Stockholder's entering into this Agreement, the form of this Agreement and the
transactions contemplated hereby;

            NOW, THEREFORE, in consideration of the foregoing, and of the
representations, warranties, covenants and agreements contained herein, the
parties hereby agree as follows (terms defined in the Merger Agreement and used
but not defined herein having the meanings assigned to such terms in the Merger
Agreement):

                                    ARTICLE 1

                          COVENANTS OF THE STOCKHOLDERS

            Each Stockholder hereby covenants as follows:

                                       1
<PAGE>   2
            Section 1.1 Agreement to Vote. At any meeting of the stockholders of
the Company held prior to the earlier of (a) the Effective Time of the Merger
and (b) the close of business on the date 45 days after the termination of the
Merger Agreement, provided such date shall be extended (but in no event beyond
May 15, 2001) if a Company Acquisition Proposal is pending until the close of
business on the third business day after any Stockholder gives Parent notice of
the consummation, withdrawal or termination of the Company Acquisition Proposal
if at such time no other Company Acquisition Proposal is pending (such earlier
time being herein referred to as the "Voting Termination Date"), however called,
and at every adjournment or postponement thereof prior to the Voting Termination
Date, or in connection with any written consent of the stockholders of the
Company given prior to the Voting Termination Date, such Stockholder shall vote
or cause to be voted such Stockholder's Shares (together with (a) any additional
shares of capital stock of the Company or any securities or other property that
the Stockholder is or becomes entitled to receive from the Company by reason of
being a record holder of such number of Shares, (b) any capital stock,
securities or other property into which any such number of Shares shall have
been or shall be converted or changed, whether by amendment to the Certificate
of Incorporation of the Company, merger, consolidation, reorganization, capital
change or otherwise, (c) any additional Company Common Stock acquired by the
Stockholder as the result of the Stockholder's exercising an option, warrant or
other right to acquire shares of capital stock from the Company issued with
respect to such number of Shares (all of the foregoing hereinafter collectively
referred to as such Stockholder's "Additional Shares")) in favor of the approval
of the Merger and each of the other transactions contemplated by the Merger
Agreement and in favor of the approval and adoption of the Merger Agreement and
any actions required in furtherance hereof and thereof. Such Stockholder shall
not enter into any agreement or understanding with any person prior to the
Voting Termination Date, directly or indirectly, to vote, grant any proxy or
give instructions with respect to the voting of such Stockholder's Shares (and
any Additional Shares) in any manner inconsistent with the preceding sentence.

            Section 1.2 Proxies and Voting Agreements. Such Stockholder hereby
revokes any and all previous proxies granted with respect to matters set forth
in Section 1.1. Prior to the Voting Termination Date, such Stockholder shall
not, directly or indirectly, except as contemplated hereby, grant any proxies or
powers of attorney with respect to matters set forth in Section 1.1, deposit any
of such Stockholder's Shares (or any Additional Shares) or enter into a voting
agreement with respect to any of such shares.

            Section 1.3 No Solicitation.

            (a) From and after the date hereof until the Voting Termination
Date, such Stockholder will not, and will not authorize or permit any of its
officers, directors, employees, agents or representatives (collectively,
"Stockholder Representatives") to, or upon becoming aware of it will stop such
person from continuing to, directly or indirectly, solicit, initiate or
encourage (including by way of furnishing material non-public information), or
take any action designed to facilitate, directly or indirectly, any inquiry,
proposal or offer (including, without limitation, any proposal or offer to the
Company's stockholders) with respect to a Company Acquisition Proposal

                                       2
<PAGE>   3
or cooperate with or assist, participate or engage in any substantive
discussions or negotiations concerning a Company Acquisition Proposal.

            (b) Such Stockholder shall immediately cease and cause to be
terminated any existing negotiations with any parties conducted heretofore by
such Stockholder or any Stockholder Representatives with respect to any Company
Acquisition Proposal.

            (c) Prior to the Voting Termination Date, such Stockholder will
promptly notify Parent orally and in writing of any requests for information
made to such Stockholder or any Stockholder Representative or the receipt of any
Company Acquisition Proposal made to such Stockholder or any Stockholder
Representative or any inquiry with respect to (including, without limitation,
any inquiry as to the Company's willingness or ability to entertain offers,
proposals or engage in discussions or negotiations), or which could reasonably
be expected to lead to, a Company Acquisition Proposal, including the identity
of the person or group engaging in such discussions or negotiations, requesting
such information or making such Company Acquisition Proposal, and the material
terms and conditions of any Company Acquisition Proposal.

            (d) Prior to the Voting Termination Date, such Stockholder shall not
enter into any agreement with any person or group that provides for, or in any
way facilitates, a Company Acquisition Proposal.

            (e) The provisions of this Section 1.3 do not prohibit any
Stockholder or Stockholder Representative who also serves in the capacity of
officer, director, employee, agent or other representative of the Company from
taking actions in such other capacity to the extent permitted by Section 7.3 of
the Merger Agreement.

            Section 1.4 Other Actions. Prior to the Voting Termination Date,
such Stockholder shall not take any action that would in any way restrict,
limit, impede or interfere with the performance of its obligations hereunder or
the transactions contemplated hereby or by the Merger Agreement.

                                    ARTICLE 2

             REPRESENTATIONS, WARRANTIES AND ADDITIONAL COVENANTS
                               OF THE STOCKHOLDERS

            Each Stockholder represents, warrants and covenants to Parent that:

            Section 2.1 Ownership. Such Stockholder is as of the date hereof the
beneficial and record owner of such Stockholder's Shares, such Stockholder has
the sole right to vote such Stockholder's Shares and there are no restrictions
on rights of disposition or other lien, pledge, security interest, charge or
other encumbrance or restriction pertaining to such Stockholder's Shares. None
of such Stockholder's Shares is subject to any voting trust or other agreement,
arrangement

                                       3
<PAGE>   4
or restriction with respect to the voting of the such Stockholder's Shares, and
no proxy, power of attorney or other authorization has been granted with respect
to any of such Stockholder's Shares.

            Section 2.2 Authority and Non-Contravention. Such Stockholder has
the right, power and authority, and such Stockholder has been duly authorized by
all necessary action (including consultation, approval or other action by or
with any other person), to execute, deliver and perform this Agreement and
consummate the transactions contemplated hereby. Such actions by such
Stockholder (a) require no action by or in respect of, or filing with, any
governmental or regulatory authority with respect to such Stockholder, and (b)
do not and will not contravene or constitute default under any provision of
applicable law or regulation or any agreement, judgment, injunction, order,
decree or other instrument binding on such Stockholder or result in the
imposition of any lien, pledge, security interest, charge or other encumbrance
or restriction on any of such Stockholder's Shares (other than as provided in
this Agreement with respect to such Stockholder's Shares).

            Section 2.3 Binding Effect. This Agreement has been duly executed
and delivered by such Stockholder and is the valid and binding agreement of such
Stockholder, enforceable against such Stockholder in accordance with its terms,
except as enforcement may be limited by bankruptcy, insolvency, moratorium or
other similar laws relating to creditors' rights generally and by equitable
principles to which the remedies of specific performance and injunctive and
similar forms of relief are subject.

            Section 2.4 Total Shares. Such Stockholder's Shares are the only
shares of capital stock of the Company owned beneficially or of record as of the
date hereof by such Stockholder, and such Stockholder does not have any option
to purchase or right to subscribe for or otherwise acquire any securities of the
Company (except for options outstanding under Company Stock Option Plans) and
has no other interest in or voting rights with respect to any other securities
of the Company.

            Section 2.5 Finder's Fees. No investment banker, broker or finder is
entitled to a commission or fee from the Company, Parent or Merger Sub in
respect of this Agreement based upon any arrangement or agreement made by or on
behalf of such Stockholder, except as otherwise provided in the Merger
Agreement.

            Section 2.6 Reasonable Efforts. Prior to the Voting Termination
Date, such Stockholder shall use reasonable efforts to take, or cause to be
taken, all actions, and to do, or cause to be done, and to assist and cooperate
with the Company and Parent in doing, all things necessary, proper or advisable
to consummate and make effective the Merger and the other transactions
contemplated by the Merger Agreement and this Agreement.

                                       4
<PAGE>   5
                                    ARTICLE 3

              REPRESENTATIONS, WARRANTIES AND COVENANTS OF PARENT

            Parent represents, warrants and covenants to each Stockholder that:

            Section 3.1 Corporate Power and Authority. Parent has all requisite
corporate power and authority to enter into this Agreement and to perform its
obligations hereunder. The execution, delivery and performance by Parent of this
Agreement and the consummation by Parent of the transactions contemplated hereby
have been duly authorized by all necessary corporate action on the part of
Parent.

            Section 3.2 Binding Effect. This Agreement has been duly executed
and delivered by Parent and is a valid and binding agreement of Parent,
enforceable against Parent in accordance with its terms, except as enforcement
may be limited by bankruptcy, insolvency, moratorium or other similar laws
relating to creditors' rights generally and by equitable principles to which the
remedies of specific performance and injunctive and similar forms of relief are
subject.

                                    ARTICLE 4

                               GENERAL PROVISIONS

            Section 4.1 Expenses; Attorneys' Fees. Each party hereto shall pay
its own expenses incident to preparing for, entering into and carrying out this
Agreement and the consummation of the transactions contemplated hereby. If any
action at law or in equity is necessary to enforce or interpret the terms of
this Agreement, the prevailing party shall be entitled to reasonable attorneys'
fees, costs and necessary disbursements, in addition to any other relief to
which such party may be entitled.

            Section 4.2 Further Assurances. From time to time, at the request of
any other party, each party shall execute and deliver or cause to be executed
and delivered such additional documents and instruments and take all such
further action as may be necessary or desirable to consummate the transactions
contemplated by this Agreement.

            Section 4.3 Notices. Any notice required to be given hereunder shall
be sufficient if in writing, and sent by facsimile transmission or by courier
service (with confirmation of receipt or proof of service), hand delivery or
certified or registered mail (return receipt requested and first-class postage
prepaid), addressed as follows:

                                       5
<PAGE>   6
            (a)   if to Parent:

                        James R. Crane
                        President, Chief Executive Officer and
                        Chairman of the Board of Directors
                        EGL, Inc.
                        15350 Vickery Drive
                        Houston, Texas  77032
                        Facsimile: (281) 618-3204

                  with a copy to:

                        Gene J. Oshman, Esq.
                        Baker Botts L.L.P.
                        One Shell Plaza
                        910 Louisiana
                        Houston, Texas  77002-4995
                        Facsimile:  (713) 229-1522

            (b)   if to any Stockholder, at such address or facsimile number
                  indicated opposite the name of such Stockholder on Exhibit A.

                  with a copy to:

                        John F. Seegal, Esq.
                        Orrick, Herrington & Sutcliffe LLP
                        Old Federal Reserve Bank Building
                        400 Sansome Street
                        San Francisco, California 94111-3143
                        Facsimile:  (415) 773-5759

or to such other address as any party shall specify by written notice so given,
and such notice shall be deemed to have been delivered as of the date so
telecommunicated or personally delivered or three business days after so mailed.

            Section 4.4 Assignment; Binding Effect; Benefit. Neither this
Agreement nor any of the rights, interests or obligations hereunder shall be
assigned by any of the parties hereto (whether by operation of law or otherwise)
without the prior written consent of the other parties. Subject to the preceding
sentence, this Agreement shall be binding upon and shall inure to the benefit of
the parties hereto and their respective successors and assigns. Notwithstanding
anything contained in this Agreement to the contrary, nothing in this Agreement,
expressed or implied, is intended to confer on any person other than the parties
hereto or their respective heirs, successors,

                                       6
<PAGE>   7
executors, administrators and assigns any rights, remedies, obligations or
liabilities under or by reason of this Agreement. Each Stockholder agrees that
this Agreement and the obligations hereunder shall attach to the Shares
beneficially owned by such Stockholder and shall be binding upon any person to
which legal or beneficial ownership of such shares shall pass, whether by
operation of law or otherwise.

            Section 4.5 Entire Agreement. This Agreement and any documents
delivered by the parties in connection herewith constitute the entire agreement
among the parties with respect to the subject matter hereof and supersede all
prior agreements and understandings among the parties with respect thereto.

            Section 4.6 Amendments.  This Agreement may not be amended except
by an instrument in writing signed on behalf of each of the parties hereto.

            Section 4.7 Governing Law. This Agreement shall be governed by and
construed in accordance with the laws of the State of Delaware without regard to
its rules of conflict of laws.

            Section 4.8 Counterparts. This Agreement may be executed by the
parties hereto in separate counterparts, each of which when so executed and
delivered shall be an original, but all such counterparts shall together
constitute one and the same instrument. Each counterpart may consist of a number
of copies hereof each signed by less than all, but together signed by all of the
parties hereto.

            Section 4.9 Headings. Headings of the Articles and Sections of this
Agreement are for the convenience of the parties only, and shall be given no
substantive or interpretative effect whatsoever.

            Section 4.10 Interpretation. Unless the context otherwise requires,
words describing the singular number shall include the plural and vice versa,
and words denoting any gender shall include all genders and words denoting
natural persons shall include corporations and partnerships and vice versa.

            Section 4.11 Waivers. Except as provided in this Agreement, no
action taken pursuant to this Agreement, including, without limitation, any
investigation by or on behalf of any party, shall be deemed to constitute a
waiver by the party taking such action of compliance with any representations,
warranties, covenants or agreements contained in this Agreement. The waiver by
any party hereto of a breach of any provision hereunder shall not operate or be
construed as a waiver of any prior or subsequent breach of the same or any other
provision hereunder.

            Section 4.12 Severability. Any term or provision of this Agreement
which is invalid or unenforceable in any jurisdiction shall, as to that
jurisdiction, be ineffective to the extent of such invalidity or
unenforceability without rendering invalid or unenforceable the remaining terms
and provisions of this Agreement or affecting the validity or enforceability of
any of the terms or

                                       7
<PAGE>   8
provisions of this Agreement in any other jurisdiction. If any provision of this
Agreement is so broad as to be unenforceable, the provision shall be interpreted
to be only so broad as is enforceable.

            Section 4.13 Enforcement of Agreement. The parties hereto agree that
irreparable damage would occur in the event that any of the provisions of this
Agreement were not performed in accordance with its specific terms or was
otherwise breached. It is accordingly agreed that the parties shall be entitled
to an injunction or injunctions to prevent breaches of this Agreement and to
enforce specifically the terms and provisions hereof, this being in addition to
any other remedy to which they are entitled at law or in equity.

                            [Signature Page Follows]

                                       8
<PAGE>   9
            IN WITNESS WHEREOF, Parent and the Stockholders have caused this
Agreement to be duly executed as of the day and year first above written.

                                          EGL, INC.

                                          By: /s/  Elijio V. Serrano
                                              -------------------------------
                                          Name:    Elijio V. Serrano
                                              -------------------------------
                                          Title:   Chief Financial Officer
                                              -------------------------------

                                          STOCKHOLDERS

                                              /s/  Peter Gibert
                                          -----------------------------------
                                                   Peter Gibert

                                          RAY AND JO ROBINSON TRUST

                                              /s/  Ray C. Robinson, Jr.
                                          -----------------------------------
                                          Ray C. Robinson, Jr., as trustee of
                                          the Ray and Jo Robinson Trust

                                       9
<PAGE>   10
                                                                       EXHIBIT A

<TABLE>
<CAPTION>
                                                                  ADDRESS AND
STOCKHOLDER                 NUMBER OF SHARES OWNED              FACSIMILE NUMBER
-----------                 ----------------------              ----------------
<S>                                <C>                     <C>
Peter Gibert                       1,004,500               260 Townsend Street
                                                           San Francisco, California 94107
                                                           Facsimile:  (415) 978-0773

Ray and Jo Robinson Trust          1,673,656               260 Townsend Street
                                                           San Francisco, California 94107
                                                           Facsimile:  (415) 978-0773

                                       10
</TABLE>

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