Document:

2011 Omnibus Incentive Plan

 Exhibit 10.2 

 
 EINSTEIN NOAH RESTAURANT GROUP, INC. 

2011 Omnibus Incentive Plan 
 Effective May 3, 2011 
  
  

 
  

 Contents 
  

					
	 Article 1. Establishment, Purpose and Duration
	  	 	B-3	  
	 Article 2. Definitions
	  	 	B-3	  
	 Article 3. Administration
	  	 	B-8	  
	 Article 4. Shares Subject to This Plan and Maximum Awards
	  	 	B-10	  
	 Article 5. Eligibility and Participation
	  	 	B-11	  
	 Article 6. Stock Options
	  	 	B-11	  
	 Article 7. Stock Appreciation Rights
	  	 	B-13	  
	 Article 8. Restricted Stock
	  	 	B-14	  
	 Article 9. Restricted Stock Units
	  	 	B-15	  
	 Article 10. Performance Shares
	  	 	B-16	  
	 Article 11. Performance Units
	  	 	B-16	  
	 Article 12. Other Stock-Based Awards and Cash-Based Awards
	  	 	B-17	  
	 Article 13. Transferability of Awards and Shares
	  	 	B-17	  
	 Article 14. Performance-Based Compensation and Compliance with Code Section 162(m)
	  	 	B-18	  
	 Article 15. Termination of Employment and Termination as a Third-Party Service Provider
	  	 	B-19	  
	 Article 16. Effect of a Change in Control
	  	 	B-20	  
	 Article 17. Dividend Equivalents
	  	 	B-20	  
	 Article 18. Beneficiary Designation
	  	 	B-20	  
	 Article 19. Rights of Participants
	  	 	B-21	  
	 Article 20. Amendment and Termination
	  	 	B-21	  
	 Article 21. Tax Withholding
	  	 	B-22	  
	 Article 22. General Provisions
	  	 	B-22	  

 EINSTEIN NOAH RESTAURANT GROUP, INC. 2011 Omnibus Incentive Plan 

	Article 1.	Establishment, Purpose and Duration 

 1.1    Establishment. Einstein Noah Restaurant Group, Inc., a Delaware corporation, establishes an incentive compensation plan to be known as Einstein Noah Restaurant Group, Inc
2011 Omnibus Incentive Plan, as set forth in this document. This Plan permits the grant of Nonqualified Stock Options, Incentive Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Stock Units, Performance Shares, Performance
Units, Cash-Based Awards and Other Stock-Based Awards. This Plan shall become effective upon shareholder approval (the “Effective Date”) and shall remain in effect as provided in Section 1.3. 

1.2    Purpose of this Plan. The purpose of the Plan is to foster and promote the long-term financial success
of the Company and materially increase shareholder value by (a) motivating superior performance by means of performance-related incentives, (b) encouraging and providing for the acquisition of an ownership interest in the Company by
Employees and (c) enabling the Company to attract and retain qualified and competent persons to serve as members of an outstanding management team upon whose judgment, interest, and performance are required for the successful and sustained
operations of the Company. 
 1.3    Duration of this Plan. Unless sooner terminated as provided
herein, this Plan shall terminate ten (10) years from the Effective Date. After this Plan is terminated, no Awards may be granted but Awards previously granted shall remain outstanding in accordance with their applicable terms and conditions
and this Plan’s terms and conditions. 
  

	Article 2.	Definitions 

 Whenever
used in this 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    “Annual Award Limit” or “Annual Award Limits” have the meaning set forth in Section 4.3. 

2.2    “Award” means, individually or collectively, a grant under this Plan of Nonqualified Stock
Options, Incentive Stock Options, SARs, Restricted Stock, Restricted Stock Units, Performance Shares, Performance Units, Cash-Based Awards or Other Stock-Based Awards, in each case subject to the terms of this Plan. 

2.3    “Award Agreement” means either (i) a written or electronic agreement entered into by the
Company and a Participant setting forth the terms and provisions applicable to an Award granted under this Plan, including any amendment or modification thereof, or (ii) 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. The Committee shall have the exclusive authority to determine the terms of an Award Agreement evidencing an Award granted under this Plan. The terms of an Award
Agreement need not be uniform among all Participants or among similar types of Awards. 

2.4    “Beneficial Owner” or “Beneficial Ownership” shall have the meaning ascribed
to such term in Rule 13d-3 of the General Rules and Regulations under the Exchange Act. 

2.5    “Board” or “Board of Directors” means the Board of Directors of
the Company. 
 2.6    “Cash-Based Award” means an Award, denominated in cash, granted
to a Participant as described in Article 12. 

  
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 2.7    “Cause” means, unless otherwise specified in an
Award Agreement or in an applicable employment agreement between the Company and a Participant, any one of the following: 
 (a)
willful misconduct of the Participant; 
 (b) willful failure to perform the Participant’s duties; 

(c) the conviction of the Participant by a court of competent jurisdiction of a felony or entering the plea of nolo contendere to
such crime by the Participant; or 
 (d) the commission of an act of theft, fraud, dishonesty or insubordination that is
materially detrimental to the Company or any Subsidiary. 
 2.8    A “Change in Control”
means the occurrence of one or more of the following events: 
 (a) The acquisition by any Person, directly or indirectly,
(other than Greenlight Capital, L.L.C. and its affiliates) of Beneficial Ownership of 50% or more of either (A) the then-outstanding Shares (“Outstanding Company Common Stock”) or (B) the combined voting power of the
then-outstanding voting securities of the Company entitled to vote generally in the election of directors (the “Outstanding Company Voting Securities”); provided, however, that, for purposes of this Section 2.8(a) the following
acquisitions shall not constitute a Change in Control: 
 (i) any acquisition by the Company, 

(ii) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Company, 

(iii) any entity directly or indirectly controlled by or, is under common control with, the Company, or 

(iv) any acquisition by any entity pursuant to a transaction that complies with Sections 2.8(c)(i), (ii) and (iii). 

(b) Individuals who, as of the Effective Date, constitute the Board (the “Incumbent Board”) cease for any reason to constitute
at least a majority of the Board; provided, however, that any individual becoming a Director subsequent to the Effective Date whose election, or nomination for election by the Company’s shareholders, was approved by a vote of at least a
majority of the directors then comprising the Incumbent Board shall be considered as though such individual was a member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a
result of an actual or threatened election contest with respect to the election or removal of Directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board. 

(c) Consummation of a reorganization, merger, statutory share exchange or consolidation or similar corporate transaction involving the
Company and/or any entity controlled by the Company, or a sale or other disposition of all or substantially all of the assets of the Company, or the acquisition of assets or stock of another entity by the Company or any entity controlled by the
Company (each, a “Business Combination”), in each case, provided, however, that, for purposes of this Section 2.8(c) a Business Combination shall not constitute a Change in Control if following the Business Combination: 

(i) all or substantially all of the individuals and entities that were the Beneficial Owners of the Outstanding Company Common Stock and
Outstanding Company Voting Securities immediately prior to such Business Combination beneficially own, directly or indirectly, more than 60% of the then-outstanding shares of common stock and the combined voting power of the then-outstanding voting
securities entitled to vote generally in the election of directors, as the case may be, of the corporation resulting from such Business Combination 

  
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(including, without limitation, an entity that, as a result of such transaction, owns the Company or all or substantially all of the Company’s assets either directly or through one or more
subsidiaries) in substantially the same proportions as their ownership, immediately prior to such Business Combination of the Outstanding Company Common Stock and Outstanding Company Voting Securities, as the case may be; and 

(ii) no Person (excluding any entity resulting from such Business Combination or any employee benefit plan (or related trust) of the
Company or such entity resulting from such Business Combination) beneficially owns, directly or indirectly, 50% or more of, respectively, the then-outstanding shares of common stock of the corporation resulting from such Business Combination or the
combined voting power of the then-outstanding voting securities of such corporation, except to the extent that such ownership existed prior to the Business Combination, and 
 (iii) at least a majority of the members of the board of directors of the entity resulting from such Business Combination were members of the Incumbent Board at the time of the execution of the initial
agreement, or of the action of the Board, providing for such Business Combination. 
 (d) Approval by the shareholders of
the Company of a complete liquidation or dissolution of the Company; or 
 (e) Any event or circumstance constituting a
“Change in Control” under any documentation evidencing or governing any indebtedness of the Company in a principal amount in excess of $10.0 million shall occur which results in an obligation of the Company to prepay (by acceleration or
otherwise purchase, offer to purchase, redeem or defease all or a portion of such indebtedness). 
 For the purposes of this definition of
“Change in Control” only, any Person other than the Greenlight Capital, L.L.C. and its affiliates shall be deemed to be the current beneficial owner of any shares of voting Shares of the Company, or any interests or participations in, or
measured by the profits of, the Company, that are issuable upon the exercise of any option, warrant or similar right, or upon the conversion of any convertible security, in either case owned by such Person or Group without regard to whether such
option, warrant or convertible security is currently exercisable or convertible or will become convertible or exercisable within 60 days if the exercise or conversion price thereof at the time of grant was lower than the fair market value of the
underlying security at the time of grant. 
 2.9    “Code” means the U.S. Internal Revenue
Code of 1986, as amended from time to time. For purposes of this Plan, references to sections of the Code shall be deemed to include references to any applicable regulations thereunder and any successor or similar provision. 

2.10    “Commission” means the Securities and Exchange Commission. 

2.11    “Committee” means the Compensation Committee of the Board or a subcommittee thereof or any
other committee designated by the Board to administer this Plan. The members of the Committee shall be appointed from time to time by and shall serve at the discretion of the Board. If the Committee does not exist or cannot function for any reason,
the Board may take any action under the Plan that would otherwise be the responsibility of the Committee. The Committee shall be constituted to comply with the requirements of Rule 16b-3 promulgated by the Securities and Exchange Commission under
the United States Securities Exchange Act of 1934, or such rule or any successor rule thereto which is in effect from time to time, Section 162(m) of the Code and any applicable listing or governance requirements of any securities exchange on
which the Company’s common shares are listed. 
 2.12    “Company” means Einstein Noah
Restaurant Group, Inc., and any successor thereto as provided in Section 22.21. 

  
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 2.13    “Covered Employee” means any Employee who is or
may become a “Covered Employee,” as defined in Code Section 162(m), and who is designated, either as an individual Employee or class of Employees, by the Committee within the shorter of (i) 90 days after the beginning of the
Performance Period, or (ii) 25% of the Performance Period has elapsed, as a “Covered Employee” under this Plan for such applicable Performance Period. 
 2.14    “Director” means any individual who is a member of the Board of Directors of the Company. 

2.15    “Disability” means permanent and total disability as defined in Code Section 22(e)(3).
A determination of Disability may be made by a physician selected or approved by the Committee and, in this respect, the Participant shall submit to any reasonable examination(s) required by such physician upon request. Notwithstanding the foregoing
provisions of this paragraph, in the event any Award is considered to be “deferred compensation” as that term is defined under Code Section 409A, then, in lieu of the foregoing definition and to the extent necessary to comply with the
requirements of Code Section 409A, the definition of “Disability” for purposes of such Award shall be the definition of “disability” provided for under Code Section 409A and the regulations or other guidance issued
thereunder. 
 2.16    “Dividend Equivalent” means a credit, made at the discretion of the
Committee or as provided for under an Award Agreement, to the account of a Participant in an amount equal to the dividends paid on one Share for each Share represented by an Award held by such Participant. 

2.17    “Effective Date” has the meaning set forth in Section 1.1. 

2.18    “Employee” means any individual performing services for the Company or a Subsidiary and
designated as an employee of the Company or the Subsidiary on its payroll records. An Employee shall not include any individual during any period he or she is classified or treated by the Company or Subsidiary as an independent contractor, a
consultant or an employee of an employment, consulting or temporary agency or any other entity other than the Company or Subsidiary, 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 or Subsidiary during such period. An individual shall not cease to be an Employee in the case of (i) any leave of absence approved by the Company or (ii) transfers between locations of
the Company or between the Company and any Subsidiary. For purposes of Incentive Stock Options, no such leave may exceed 90 days, unless reemployment upon expiration of such leave is guaranteed by statute or contract. If reemployment upon expiration
of a leave of absence approved by the Company is not so guaranteed, then three months following the 91st day of such leave, any Incentive Stock Option held by a Participant shall cease to be treated as an Incentive Stock Option and shall be treated
for tax purposes as a Nonqualified Stock Option. Neither service as a Director nor payment of a director’s fee by the Company shall be sufficient to constitute “employment” by the Company. 

2.19    “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time, or
any successor act thereto. 
 2.20    “Extraordinary Items” means (i) extraordinary,
unusual and/or nonrecurring items of gain or loss; (ii) gains or losses on the disposition of a business; (iii) changes in tax or accounting regulations or laws; or (iv) the effect of a merger or acquisition, all of which must be
identified in the audited financial statements, including footnotes, or the Management Discussion and Analysis section of the Company’s annual report. 
 2.21    “Fair Market Value” or “FMV” means, as applied to a specific date, the price of a Share that is based on the opening, closing, actual, high,
low or average selling prices of a Share reported on any established stock exchange or national market system including without limitation the New York Stock Exchange and the National Market System of the National Association of Securities Dealers,
Inc. Automated Quotation System on the applicable date, the preceding trading day, the next succeeding trading day, or an average of trading days, as determined by the Committee in its discretion. Unless the Committee determines otherwise or unless
otherwise 

  
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specified in an Award Agreement, Fair Market Value shall be deemed to be equal to the closing price of a Share on the most recent date on which Shares were publicly traded. 

2.22    “Grant Date” means the date an Award is granted to a Participant pursuant to the Plan.

 2.23    “Grant Price” means the price established at the time of grant of an SAR
pursuant to Article 7. 
 2.24    “Incentive Stock Option” or “ISO”
means an Award granted pursuant Article 6 that is designated as an Incentive Stock Option and that is intended to meet the requirements of Code Section 422 or any successor provision. 

2.25    “Insider” shall mean an individual who is, on the relevant date, an officer (as defined in
Rule 16a-1(f) (or any successor provision) promulgated by the Commission under the Exchange Act) or Director of the Company, or a more than 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 Board in accordance with Section 16 of the Exchange Act. 

2.26    “Nonqualified Stock Option” or “NQSO” means an Award granted pursuant to
Article 6 that is not intended to meet the requirements of Code Section 422, or that otherwise does not meet such requirements. 
 2.27    “Option” means an Award granted to a Participant pursuant to Article 6, which Award may be an Incentive Stock Option or a Nonqualified Stock Option.

 2.28    “Option Price” means the price at which a Share may be purchased by a
Participant pursuant to an Option. 
 2.29    “Other Stock-Based Award” means an
equity-based or equity-related Award not otherwise described by the terms of this Plan that is granted pursuant to Article 12. 

2.30    “Participant” means any eligible individual as set forth in Article 5 to whom an Award is
granted. 
 2.31    “Performance-Based Compensation” means compensation under an Award that
is intended to satisfy the requirements of Code Section 162(m) for certain performance-based compensation paid to Covered Employees. Notwithstanding the foregoing, nothing in this Plan shall be construed to mean that an Award that does not
satisfy the requirements for performance-based compensation under Code Section 162(m) does not constitute performance-based compensation for other purposes, including Code Section 409A. 

2.32    “Performance Measures” means measures, as described in Article 14, upon which performance
goals are based and that are approved by the Company’s shareholders pursuant to this Plan in order to qualify Awards as Performance-Based Compensation. 
 2.33    “Performance Period” means the period of time during which pre-established performance goals must be met in order to determine the degree of payout and/or
vesting with respect to an Award. 
 2.34    “Performance Share” means an Award granted
pursuant to Article 10. 
 2.35    “Performance Unit” means an Award granted pursuant
to Article 11. 

  
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 2.36    “Period of Restriction” means the period when
Restricted Stock or Restricted Stock Units are subject to a substantial risk of forfeiture (based on the passage of time, the achievement of performance goals or upon the occurrence of other events as determined by the Committee, in its discretion)
as provided in Articles 8 and 9. 
 2.37    “Person” shall have the meaning ascribed to
such term in Section 3(a)(9) of the Exchange Act and used in Sections 13(d) and 14(d) thereof, including a “group” as defined in Section 13(d) thereof. 
 2.38    “Plan” means Einstein Noah Restaurant Group, Inc. 2011 Omnibus Incentive Plan, as the same may be amended from time to time. 

2.39    “Restricted Stock” means an Award granted pursuant to Article 9. 

2.40    “Restricted Stock Unit” means an Award granted pursuant to Article 10. 

2.41    “Share” means a share of common stock of the Company. 

2.42    “Stock Appreciation Right” or “SAR” means an Award granted pursuant to
Article 7. 
 2.43    “Subsidiary” means any corporation or other entity, whether
domestic or foreign, in which the Company has or obtains, directly or indirectly, an interest of more than 50% by reason of stock ownership or otherwise. 
 2.44    “Termination of Employment” means the termination of the Participant’s employment with the Company and the Subsidiaries, regardless of the reason for the
termination of employment. 
 2.45    “Third-Party Service Provider” means any consultant,
agent, advisor or independent contractor who renders bona fide services to the Company or a Subsidiary that (a) are not in connection with the offer and sale of the Company’s securities in a capital raising transaction (b) do not
directly or indirectly promote or maintain a market for the Company’s securities, and (c) are provided by a natural person who has contracted directly with the Company or Subsidiary to render such services. 

 

	Article 3.	Administration 

3.1    General. The Committee shall be responsible for administering this Plan, subject to this Article 3 and
the other provisions of this Plan. The Committee may employ attorneys, consultants, accountants, agents and other individuals, any of whom may be an Employee, and the Committee, the Company, and its officers and Directors shall be entitled to rely
upon the advice, opinions or valuations of any such individuals. All actions taken and all interpretations and determinations made by the Committee shall be final and binding upon the Participants, the Company or Subsidiary, and all other interested
individuals. 
 3.2    Authority of the Committee. Subject to any express limitations set forth in
the Plan, the Committee shall have full and exclusive discretionary power and authority to take such actions as it deems necessary and advisable with respect to the administration of the Plan including, but not limited to, the following: 

(a) To determine from time to time which of the persons eligible under the Plan shall be granted Awards, when and how each Award shall be
granted, what type or combination of types of Awards shall be granted, the provisions of each Award granted (which need not be identical), including the time or times when a person shall be permitted to receive Shares pursuant to an Award and the
number of Shares subject to an Award; 
 (b) To construe and interpret the Plan and Awards granted under it, and to establish,
amend, and revoke rules and regulations for its administration. The Committee, in the exercise of this power, may correct any defect, 

  
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omission or inconsistency in the Plan or in an Award Agreement, in a manner and to the extent it shall deem necessary or expedient to make the Plan fully effective; 

(c) To approve forms of Award Agreements for use under the Plan; 

(d) To determine Fair Market Value of a Share in accordance with Section 2.21 of the Plan; 

(e) To amend the Plan or any Award Agreement as provided in the Plan; 

(f) To adopt sub-plans and/or special provisions applicable to stock awards regulated by the laws of a jurisdiction other than and
outside of the United States. Such sub-plans and/or special provisions may take precedence over other provisions of the Plan, but unless otherwise superseded by the terms of such sub-plans and/or special provisions, the provisions of the Plan shall
govern; 
 (g) To authorize any person to execute on behalf of the Company any instrument required to effect the grant of an
Award previously granted by the Board; 
 (h) To determine whether Awards will be settled in shares of common stock, cash or in
any combination thereof; 
 (i) To determine whether Awards will provide for Dividend Equivalents; 

(j) To establish a program whereby Participants designated by the Committee may reduce compensation otherwise payable in cash in exchange
for Awards under the Plan; 
 (k) To authorize a program permitting eligible Participants to surrender outstanding Awards in
exchange for newly granted Awards subject to any applicable shareholder approval requirements set forth in Section 20.1 of the Plan; 
 (l) To impose such restrictions, conditions or limitations as it determines appropriate as to the timing and manner of any resales by a Participant or other subsequent transfers by a Participant of any
Shares, including, without limitation, (i) restrictions under an insider trading policy and (ii) restrictions as to the use of a specified brokerage firm for such resales or other transfers; and 

(m) To provide, either at the time an Award is granted or by subsequent action, that an Award shall contain as a term thereof, a right,
either in tandem with the other rights under the Award or as an alternative thereto, of the Participant to receive, without payment to the Company, a number of Shares, cash or a combination thereof, the amount of which is determined by reference to
the value of Shares. 
 3.3    Delegation. The Committee may delegate to one or more of its members
or to one or more officers of the Company or any Subsidiary or to one or more agents or advisors such administrative duties or powers as it may deem advisable, and the Committee or any individuals to whom it has delegated duties or powers as
aforesaid may employ one or more individuals to render advice with respect to any responsibility the Committee or such individuals may have under this Plan. To the extent permitted by applicable law, the Committee may, by resolution, authorize one
or more officers of the Company to do one or both of the following on the same basis as can the Committee: (a) designate Employees to be recipients of Awards; and (b) determine the size of any such Awards; provided, however,
(i) the Committee shall not delegate such responsibilities to any such officer for Awards granted to an Employee who is considered an Insider; (ii) the resolution providing such authorization sets forth the total number of Awards such
officer(s) may grant; and (iii) the officer(s) shall report periodically to the Committee regarding the nature and scope of the Awards granted pursuant to the authority delegated. 

  
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	Article 4.	Shares Subject to This Plan and Maximum Awards 

 4.1    Number of Shares Authorized and Available for Awards. Subject to adjustment as provided under the Plan, the total number of Shares that are available for Awards under the
Plan shall be equal 1,000,000 Shares. Such Shares may be authorized and unissued Shares or treasury Shares or any combination of the foregoing, as may be determined from time to time by the Board or by the Committee. Any of the
authorized Shares may be used for any type of Award under the Plan, and any or all of the Shares may be allocated to Incentive Stock Options. 
 4.2    Share Usage. The Committee shall determine the appropriate method for determining the number of Shares available for grant under the Plan, subject to the following:

 (a) Any Shares related to an Award granted under this Plan that terminates by expiration, forfeiture, cancellation or
otherwise without the issuance of the Shares, are settled in cash in lieu of Shares, or are exchanged with the Committee’s permission, prior to the issuance of Shares, for Awards not involving Shares shall be available again for grant under
this Plan. 
 (b) Any Shares tendered (by either actual delivery or attestation) (i) to pay the Option Price of an Option
granted under this Plan or (ii) to satisfy tax withholding obligations associated with an Award granted under this Plan, shall become available again for grant under this Plan. 

(c) Any Shares that were subject to an SAR granted under this Plan that were not issued upon the exercise of such SAR shall become
available again for grant under this Plan. 
 (d) Notwithstanding the foregoing, no Shares that become available for Awards
granted under this Plan pursuant to this Section 4.2 shall be available for grants of Incentive Stock Options. 

4.3    Annual Award Limits. Subject to Section 4.4, the maximum number of Shares for which Options or
SARs may be granted to any Participant in any calendar year shall be 300,000 Shares and the maximum number of Shares that may be paid to any Participant in any calendar year in the form of Restricted Stock, Restricted Stock Units, Performance Shares
or Other Stock Based Awards, in each case that are Performance-Based Compensation, shall be 300,000 Shares determined as of the date of payout. The maximum aggregate amount that may be paid under an Award of Performance Units, Cash-Based Awards or
any other Award that is payable in cash, in each case that are Performance-Based Compensation, shall be $5,000,000, determined as of the date of payout.  
 4.4    Adjustments in Authorized Shares. Adjustment in authorized Shares available for issuance under the Plan or under an outstanding Award and adjustments in Annual Award
Limits shall be subject to the following provisions: 
 (a) In the event of any corporate event or transaction (including, but
not limited to, a change in the Shares of the Company or the capitalization of the Company), such as a merger, consolidation, reorganization, recapitalization, separation, partial or complete liquidation, stock dividend, stock split, reverse stock
split, split up, spin-off or other distribution of stock or property of the Company, combination of Shares, exchange of Shares, dividend in kind or other like change in capital structure, number of outstanding Shares or distribution (other than
normal cash dividends) to shareholders of the Company, or any similar corporate event or transaction (“Corporate Transactions”), the Committee, in order to prevent dilution or enlargement of Participants’ rights under this Plan, shall
substitute or adjust, as applicable, the number and kind of Shares that may be issued under this Plan or under particular forms of Awards, the number and kind of Shares subject to outstanding Awards, the Option Price or Grant Price applicable to
outstanding Awards, the Annual Award Limits and other value determinations applicable to outstanding Awards; provided that the Committee, in its sole discretion, shall determine the methodology or manner of making such substitution or
adjustment. 

  
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 (b) The Committee, in its sole discretion, may also make appropriate adjustments in the
terms of any Awards under this Plan to reflect or related to such Corporate Transactions and to modify any other terms of outstanding Awards, including modifications of performance goals and changes in the length of Performance Periods. 

(c) The determination of the Committee as to the foregoing adjustments, if any, shall be conclusive and binding on Participants under
this Plan. 
  

	Article 5.	Eligibility and Participation 

 5.1    Eligibility to Receive Awards. Individuals eligible to participate in this Plan include all Employees and Third-Party Service Providers. 

5.2    Participation in the Plan. Subject to the provisions of this Plan, the Committee may, from time to
time, select from all individuals eligible to participate in the Plan, those individuals to whom Awards shall be granted and shall determine, in its sole discretion, the nature of any and all terms permissible by law and the amount of each Award.

  

	Article 6.	Stock Options 

6.1    Grant of Options. 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, in its sole discretion. Each grant of an Option shall be evidenced by an Award Agreement which shall specify whether the Option is in the form of a Nonqualified Stock
Option or an Incentive Stock Option. 
 6.2    Option Price. The Option Price for each grant of an
Option shall be determined by the Committee in its sole discretion and shall be specified in the Award Agreement evidencing such Option; provided, however, the Option Price must be at least equal to 100% of the FMV of a Share as of the
Option’s Grant Date, subject to adjustment as provided for under Section 4.4. 
 6.3    Term of
Option. The term of an Option granted to a Participant shall be determined by the Committee, in its sole discretion; provided, however, no Option shall be exercisable later than the tenth anniversary date of its grant. Notwithstanding the
foregoing, for Nonqualified Stock Options granted to Participants outside the United States, the Committee has the authority to grant Nonqualified Stock Options that have a term greater than ten years. 

6.4    Exercise of Option. An Option shall be exercisable at such times (“Option Exercise Period”)
and be subject to such restrictions and conditions as the Committee shall in each instance approve, which terms and restrictions need not be the same for each grant or for each Participant. Unless an Award Agreement provides otherwise, on and after
a Participant’s Termination of Employment, an Option shall not be exercisable except during the Option Exercise Period described below: 
 (a) If the Termination of Employment is due to the Participant’s Disability, then the Option Exercise Period shall be the period ending on the earlier of (i) the one-year anniversary of such
Termination of Employment or (ii) the date the Option expires. 
 (b) If the Termination of Employment is due to the
Participant’s death or if the Participant’s death occurs during the Option Exercise Period described in paragraph (a) above or during the Option Exercise Period described in paragraph (c) below, then the Option Exercise Period
shall be the period ending on the earlier of (i) the one-year anniversary of the Participant’s death or (ii) the date the Option expires. 

  
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 (c) If the Termination of Employment is due to reasons other than the Participant’s
Disability, death or Cause, then the Option Exercise Period shall be the period ending on the earlier of (i) the three-month anniversary of such Termination of Employment or (ii) the date the Option expires. 

Notwithstanding any provision to the contrary, an Option may be exercised in accordance with paragraphs (a), (b) and (c) above only to the
extent such Option was exercisable on or before the beginning of the applicable Option Exercise Period. 

6.5    Payment of Option Price. An Option shall be exercised by the delivery of a notice of exercise to the
Company or an agent designated by the Company in a form specified or accepted by the Committee, or by complying with any alternative 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 the Shares. A condition of the issuance of the Shares as to which an Option shall be exercised shall be the payment of the Option Price. The Option Price of any exercised Option shall be
payable to the Company in accordance with one of the following methods: 
 (a) In cash or its equivalent; 

(b) By tendering (either by actual delivery or attestation) previously acquired Shares having an aggregate Fair Market Value at the time
of exercise equal to the Option Price; 
 (c) By a cashless (broker-assisted) exercise; 

(d) By any combination of (a), (b) and (c); or 
 (e) Any other method approved or accepted by the Committee in its sole discretion. 
 Unless
otherwise determined by the Committee, all payments under all of the methods indicated above shall be paid in United States dollars or Shares, as applicable. 
 6.6    Special Rules Regarding ISOs. Notwithstanding any provision of the Plan to the contrary, an Option granted in the form of an ISO to a Participant shall be subject to the
following rules: 
 (a) Special ISO definitions: 
 (i) “Parent Corporation” shall mean as of any applicable date a corporation in respect of the Company that is a parent corporation within the meaning of Code Section 424(e). 

(ii) “ISO Subsidiary” shall mean as of any applicable date any corporation in respect of the Company that is a subsidiary
corporation within the meaning of Code Section 424(f). 
 (iii) A “10% Owner” is an individual who owns stock
possessing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or its Parent Corporation or any ISO Subsidiary. 
 (b) Eligible employees. An ISO may be granted solely to eligible Employees of the Company, Parent Corporation, or ISO Subsidiary. 

(c) Specified as an ISO. An Award Agreement evidencing the grant of an ISO shall specify that such grant is intended to be an ISO.

 (d) Option price. The Option Price of an ISO granted shall be determined by the Committee in its sole discretion and
shall be specified in the Award Agreement; provided, however, the Option Price must be at least 

  
 B-12

 
equal 100% of the Fair Market Value of a Share as of the ISO’s Grant Date (in the case of 10% owners, the Option Price may not be not less than 110% of such Fair Market Value), subject to
adjustment provided for under Section 4.4. 
 (e) Right to exercise. Any ISO granted to a Participant shall be
exercisable during his or her lifetime solely by such Participant. 
 (f) Exercise period. The period during which a
Participant may exercise an ISO shall not exceed ten years (five years in the case of a Participant who is a 10% owner) from the date on which the ISO was granted. 
 (g) Termination of employment. In the event a Participant terminates employment due to death or Disability, the Participant (or, in the case of death, the person(s) to whom the Option is
transferred by will or the laws of descent and distribution) shall have the right to exercise the Participant’s ISO award during the period specified in the applicable Award Agreement solely to the extent the Participant had the right to
exercise the ISO on the date of his death or Disability; as applicable, provided, however, that such period may not exceed one year from the date of such termination of employment or if shorter, the remaining term of the ISO. In the event a
Participant terminates employment for reasons other than death or disability, the Participant shall have the right to exercise the Participant’s ISO during the period specified in the applicable Award Agreement solely to the extent the
Participant had the right to exercise the ISO on the date of such termination of employment; provided, however, that such period may not exceed three months from the date of such termination of employment or if shorter, the remaining term of the
ISO. 
 (h) Dollar limitation. To the extent that the aggregate Fair Market Value of (a) the Shares with respect to
which Options designated as Incentive Stock Options plus (b) the shares of stock of the Company, Parent Corporation and any ISO Subsidiary with respect to which other Incentive Stock Options are exercisable for the first time by a holder of an
ISO during any calendar year under all plans of the Company and Subsidiary exceeds $100,000, such Options shall be treated as Nonqualified Stock Options. For purposes of the preceding sentence, (a) Options shall be taken into account in the
order in which they were granted, and (b) the Fair Market Value of the Shares shall be determined as of the time the Option or other incentive stock option is granted. 
 (i) Duration of plan. No ISO may be granted more than ten years after the earlier of (a) adoption of this Plan by the Board and (b) the Effective Date. 

(j) Notification of disqualifying disposition. If any Participant shall make any disposition of Shares issued pursuant to the
exercise of an ISO, such Participant shall notify the Company of such disposition within 30 days thereof. The Company shall use such information to determine whether a disqualifying disposition as described in Code section 421(b) has occurred.

 (k) Transferability. No ISO may be sold, transferred, pledged, assigned or otherwise alienated or hypothecated, other
than by will or by the laws of descent and distribution; provided, however, that at the discretion of the Committee, an ISO may be transferred to a grantor trust under which Participant making the transfer is the sole beneficiary.

  

	Article 7.	Stock Appreciation Rights 

7.1    Grant of SARs. SARs 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, in its sole discretion. Each grant of SARs shall be evidenced by an Award Agreement. 
 7.2    Grant Price. The Grant Price for each grant of an SAR shall be determined by the Committee and shall be specified in the Award Agreement evidencing the SAR;
provided, however, the Grant Price must be at least equal to 100% of the FMV of a Share as of the Grant Date, subject to adjustment as provided for under Section 4.4. 

  
 B-13

 7.3    Term of SAR. The term of an SAR granted to a Participant
shall be determined by the Committee, in its sole discretion; provided, however, no SAR shall be exercisable later than the tenth anniversary date of its grant. Notwithstanding the foregoing, for SARs granted to Participants outside
the United States, the Committee has the authority to grant SARs that have a term greater than ten years. 

7.4    Exercise of SAR. An SAR shall be exercisable at such times (“SAR Exercise Period”) and be
subject to such restrictions and conditions as the Committee shall in each instance approve, which terms and restrictions need not be the same for each grant or for each Participant. Unless an Award Agreement provides otherwise, on and after a
Participant’s Termination of Employment an SAR shall not be exercisable except during the SAR Exercise Period described below: 
 (a) If the Termination of Employment is due to the Participant’s Disability, then the SAR Exercise Period shall be the period ending on the earlier of (i) the one-year anniversary of such
Termination of Employment or (ii) the date the Option expires. 
 (b) If the Termination of Employment is due to the
Participant’s death or if the Participant’s death occurs during the SAR Exercise Period described in paragraph (a) above or during the SAR Exercise Period described in paragraph (c) below, then the SAR Exercise Period shall be
the period ending on the earlier of (i) the one-year anniversary of the Participant’s death or (ii) the date the Option expires. 
 (c) If the Termination of Employment is due to reasons other than the Participant’s Disability, death or for Cause, then the SAR Exercise Period shall be the period ending on the earlier of
(i) the three-month anniversary of such Termination of Employment or (ii) the date the Option expires. 
 Notwithstanding any
provision to the contrary, an SAR may be exercised in accordance with paragraphs (a), (b) and (c) above only to the extent such SAR was exercisable on or before the beginning of the applicable SAR Exercise Period. 

7.5    Notice of Exercise. An SAR shall be exercised by the delivery of a notice of exercise to the Company or
an agent designated by the Company in a form specified or accepted by the Committee, or by complying with any alternative procedures that may be authorized by the Committee, setting forth the number of Shares with respect to which the SAR is to be
exercised. 
 7.6    Settlement of SARs. Upon the exercise of an SAR, pursuant to a notice of
exercise properly completed and submitted to the Company in accordance with Section 7.5, a Participant shall be entitled to receive payment from the Company in an amount equal to the product of (a) and (b) below: 

(a) The excess of the Fair Market Value of a Share on the date of exercise over the Grant Price. 

(b) The number of Shares with respect to which the SAR is exercised. 
 Payment shall be made in cash, Shares or a combination thereof as provided for under the applicable Award Agreement. 
  

	Article 8.	Restricted Stock 

8.1    Grant of Restricted Stock. Restricted Stock 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, in its sole discretion. Each grant of Restricted Stock shall be evidenced by an Award Agreement. 

  
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 8.2    Nature of Restrictions. Each grant of Restricted Stock
shall subject to a Restriction Period that shall lapse upon the satisfaction of such conditions and restrictions as are determined by the Committee in its sole discretion and set forth in an applicable Award Agreement. Such conditions or
restrictions may include, without limitation, one or more of the following: 
 (a) A requirement that a Participant pay a
stipulated purchase price for each Share of Restricted Stock; 
 (b) Restrictions based upon the achievement of specific
performance goals; 
 (c) Time-based restrictions on vesting following the attainment of the performance goals; 

(d) Time-based restrictions; or 
 (e) Restrictions under applicable laws and restrictions under the requirements of any stock exchange or market on which such Shares are listed or traded. 

8.3    Issuance of Shares. To the extent deemed appropriate by the Committee, the Company may retain the
certificates representing Shares of Restricted Stock in the Company’s possession until such time as all conditions or restrictions applicable to such Shares have been satisfied or lapse. Shares of Restricted Stock covered by each Restricted
Stock grant shall become freely transferable by the Participant after all conditions and restrictions applicable to such Shares have been satisfied or lapsed (including satisfaction of any applicable tax withholding obligations). 

8.4    Certificate Legend. In addition to any legends placed on certificates pursuant to Section 8.2,
each certificate representing Shares of Restricted Stock granted pursuant to this Plan may bear a legend such as the following or as otherwise determined by the Committee in its sole discretion: The sale or transfer of Shares of stock
represented by this certificate, whether voluntary, involuntary or by operation of law, is subject to certain restrictions on transfer as set forth in the Einstein Noah Restaurant Group, Inc. 2011 Omnibus Incentive Plan, and in the associated Award
Agreement. A copy of this Plan and such Award Agreement may be obtained from Einstein Noah Restaurant Group, Inc. 

8.5    Voting Rights. Unless otherwise determined by the Committee and set forth in a Participant’s
applicable Award Agreement, to the extent permitted or required by law, as determined by the Committee, a Participant holding Shares of Restricted Stock granted hereunder may be granted the right to exercise full voting rights with respect to those
Shares during the Period of Restriction. 
  

	Article 9.	Restricted Stock Units 

9.1    Grant of Restricted Stock Units. Restricted Stock Units 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, in its sole discretion. A grant of a Restricted Stock Unit or Restricted Stock Units shall not represent the grant of Shares but shall represent a
promise to deliver a corresponding number of Shares based upon the completion of service, performance conditions, or such other terms and conditions as specified in the applicable Award Agreement over the Restriction Period. Each grant of Restricted
Stock Units shall be evidenced by an Award Agreement. 
 9.2    Nature of Restrictions. Each grant of
Restricted Stock Units shall be subject to a Restriction Period that shall lapse upon the satisfaction of such conditions and restrictions as are determined by the Committee in its sole discretion and set forth in an applicable Award Agreement. Such
conditions or restrictions may include, without limitation, one or more of the following: 
 (a) A requirement that a Participant
pay a stipulated purchase price for each Restricted Stock Unit; 
 (b) Restrictions based upon the achievement of specific
performance goals; 

  
 B-15

 (c) Time-based restrictions on vesting following the attainment of the performance goals;

 (d) Time-based restrictions; and/or 
 (e) Restrictions under applicable laws or under the requirements of any stock exchange on which Shares are listed or traded. 
 9.3    Voting Rights. A Participant shall have no voting rights with respect to any Restricted Stock Units granted hereunder or the Shares corresponding to any Restricted Stock
Units granted hereunder. 
 9.4    Settlement and Payment Restricted Stock Units. Unless otherwise
elected by the Participant or otherwise provided for in the Award Agreement, Restricted Stock Units shall be settled upon the date such Restricted Stock Units vest. Such settlement may be made in Shares, cash or a combination thereof, as specified
in the Award Agreement. 
  

	Article 10.	Performance Shares 

10.1    Grant of Performance Shares. Performance Shares 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, in its sole discretion. Each grant of Performance Shares shall be evidenced by an Award Agreement. 

10.2    Value of Performance Shares. Each Performance Share shall have an initial value equal to the Fair
Market Value of a Share on the Grant Date. The Committee shall set performance goals in its discretion that, depending on the extent to which they are met over the specified Performance Period, shall determine the number of Performance Shares that
shall be paid to a Participant. 
 10.3    Earning of Performance Shares. After the applicable
Performance Period has ended, the number of Performance Shares earned by the Participant over the Performance Period shall be determined as a function of the extent to which the applicable corresponding performance goals have been achieved.
This determination shall be made solely by the Committee. 
 10.4    Form and Timing of Payment of
Performance Shares. The Committee shall pay at the close of the applicable Performance Period, or as soon as practicable thereafter, any earned Performance Shares in the form of cash or in Shares or in a combination thereof, as specified in a
Participant’s applicable Award Agreement. Any Shares paid to a Participant under this Section 10.4 may be subject to any restrictions deemed appropriate by the Committee. 

 

	Article 11.	Performance Units 

11.1    Grant of Performance Units. Subject to the terms and provisions of this Plan, Performance Units may be
granted to a Participant in such number, and upon such terms and at any time and from time to time as shall be determined by the Committee, in its sole discretion. Each grant of Performance Units shall be evidenced by an Award Agreement. 

11.2    Value of Performance Units. Each Performance Unit shall have an initial notional value equal to a
dollar amount determined by the Committee, in its sole discretion. The Committee shall set performance goals in its discretion that, depending on the extent to which they are met over the specified Performance Period, will determine the number of
Performance Units that shall be settled and paid to the Participant. 
 11.3    Earning of Performance
Units. After the applicable Performance Period has ended, the number of Performance Units earned by the Participant over the Performance Period shall be determined as a function of the extent to which the applicable corresponding
performance goals have been achieved. This determination shall be made solely by the Committee. 

  
 B-16

 11.4    Form and Timing of Payment of Performance Units. The
Committee shall pay at the close of the applicable Performance Period, or as soon as practicable thereafter, any earned Performance Units in the form of cash or in Shares or in a combination thereof, as specified in a Participant’s applicable
Award Agreement. Any Shares paid to a Participant under this Section 11.4 may be subject to any restrictions deemed appropriate by the Committee. 
  

	Article 12.	Other Stock-Based Awards and Cash-Based Awards 

 12.1    Grant of Other Stock-Based Awards and Cash-Based Awards. 
 (a) The Committee may grant Other Stock-Based Awards not otherwise described by the terms of this Plan, including, but not limited to, the grant or offer for sale of unrestricted Shares and the grant of
deferred Shares or deferred Share units, in such amounts and subject to such terms and conditions, as the Committee shall determine, in its sole discretion. Such Awards may involve the transfer of actual Shares to Participants, or payment in cash or
otherwise of amounts based on the value of Shares. 
 (b) The Committee, at any time and from time to time, may grant Cash-Based
Awards to a Participant in such amounts and upon such terms as the Committee shall determine, in its sole discretion. 
 (c)
Each grant of Other Stock-Based Awards and Cash-Based Awards shall be evidenced by an Award Agreement. 

12.2    Value of Other Stock-Based Awards and Cash-Based Awards. 

(a) Each Other Stock-Based Award shall be expressed in terms of Shares or units based on Shares, as determined by the Committee, in its
sole discretion. 
 (b) Each Cash-Based Award shall specify a payment amount or payment range as determined by the Committee, in
its sole discretion. If the Committee exercises its discretion to establish performance goals, the value of Cash-Based Awards that shall be paid to the Participant will depend on the extent to which such performance goals are met. 

12.3    Payment of Other Stock-Based Awards and Cash-Based Awards. Payment, if any, with respect to Cash-Based
Awards and Other Stock-Based Award shall be made in accordance with the terms of the applicable Award Agreement, in cash, Shares or a combination of both as determined by the Committee in its sole discretion. 

 

	Article 13.	Transferability of Awards and Shares 

 13.1    Transferability of Awards. Except as provided in Section 13.2, during a Participant’s lifetime, Options shall be exercisable only by the Participant. Awards
shall not be transferable other than by will or the laws of descent and distribution or, subject to the consent of the Committee, pursuant to a domestic relations order entered into by a court of competent jurisdiction; no Awards shall be subject,
in whole or in part, to attachment, execution or levy of any kind; and any purported transfer in violation of this Section 13.1 shall be null and void. The Committee may establish such procedures as it deems appropriate for a Participant to
designate a beneficiary to whom any amounts payable or Shares deliverable in the event of, or following, the Participant’s death may be provided. 
 13.2    Committee Action. Except as provided in Section 6.6(k), the Committee may, in its discretion, determine that notwithstanding Section 13.1, any or all Awards
shall be transferable, without compensation to the transferor, to and exercisable by such transferees, and subject to such terms and conditions, as the Committee may deem appropriate; provided, however, no Award may be transferred for
value without shareholder approval. 

  
 B-17

 13.3    Restrictions on Share Transferability. The Committee may
impose such restrictions on any Shares acquired by a Participant under the Plan as it may deem advisable, including, without limitation, minimum holding period requirements, restrictions under applicable federal securities laws, under the
requirements of any stock exchange or market upon which such Shares are then listed or traded or under any blue sky or state securities laws applicable to such Shares. 

 

	Article 14.	Performance-Based Compensation and Compliance with Code Section 162(m) 

14.1    Compliance with Section 162(m). The provisions of the Plan are intended to ensure that all Options
and SARs granted hereunder to any Participant who is or may be a Covered Employee at the time of exercise of such Option or SAR grant qualify for exemption from the limitation on deductibility imposed by Section 162(m) of the Code that is set
forth in Section 162(m)(4)(c) and that such Options and SARs shall therefore be considered Performance-Based Compensation and this Plan shall be interpreted and operated consistent with that intention. The Committee may designate any Award
(other than an Option or SAR) as Performance-Based Compensation upon grant, in each case based upon a determination that (i) the Participant is or may be a Covered Employee with respect to such Award, and (ii) the Committee wishes such
award to qualify for exemption from the limitation on deductibility imposed by Section 162(m) of the Code that is set forth in Section 162(m)(4)(c). The Committee shall have the sole authority to specify which Awards are to be granted in
compliance with Section 162(m) and treated as Performance-Based Compensation. 
 (a) Book value; 

(b) Cash flow; 

(c) Earnings (either in aggregate or on a per-share basis); 
 (d) Earnings before or after either, or any combination of, interest, taxes, depreciation, amortization, or restructuring costs; 
 (e) Economic value added (net operating profit after tax minus the sum of capital multiplied by the cost of capital); 
 (f) Expenses/costs; 
 (g) Gross or operating margins. 

(h) Gross or net revenues; 
 (i) Market share; 
 (j) Net income; 

(k) Operating income/profit; 
 (l) Operational performance measures; 
 (m) Pre-tax Income; 

(n) Profitability ratios; 
 (o) Return measures (including return on assets, equity, investment, invested capital, share price); 
 (p) Same store sales; 

  
 B-18

 (q) Share price; 
 (r) Strategic business objectives (including objective project milestones); 
 (s)
Transactions relating to acquisitions or divestitures; or 
 (t) Working capital. 

Any Performance Measure(s) may, as the Committee, in its sole discretion deems appropriate, (i) relate to the performance of the Company or any
Subsidiary as a whole or any business unit or division of the Company or any Subsidiary or any combination thereof, (ii) be compared to the performance of a group of comparator companies, or published or special index, (iii) be based on
change in the Performance Measure over a specified period of time and such change may be based on an arithmetic change over the specified period, such as cumulative change or average change, or percentage change over the specified period such as
cumulative percentage change, average percentage change and compounded percentage change, (iv) relate to or be compared to one or more other Performance Measures, or (v) any combination of the foregoing. The Committee also has the
authority to provide for accelerated vesting of any Award based on the achievement of performance goals pursuant to the Performance Measures specified in this Article 14. 
 14.3    Evaluation of Performance. The Committee may provide in any Award intended to qualify as Performance-Based Compensation that any evaluation of performance may include or
exclude any of the following events that occurs during a Performance Period: (a) asset write-downs, (b) litigation or claim judgments or settlements, (c) the effect of changes in tax laws, accounting principles or other laws or
provisions affecting reported financial results, (d) any reorganization and restructuring programs, (e) Extraordinary Items, (f) acquisitions or divestitures, and (g) foreign exchange gains and losses. To the extent such
inclusions or exclusions affect Awards to Covered Employees, they shall be prescribed in a form that meets the requirements of Code Section 162(m) for deductibility. 
 14.4    Adjustment of Performance-Based Compensation. Awards that are intended to qualify as Performance-Based Compensation may not be adjusted upward. The Committee shall
retain the discretion to adjust such Awards downward, either on a formula or discretionary basis or any combination, as the Committee determines, in its sole discretion. 
 14.5    Committee Discretion. In the event that applicable tax or securities laws change to permit Committee discretion to alter the governing Performance Measures or permit
flexibility with respect to the terms of any Award or Awards to be treated as Performance-Based Compensation without obtaining shareholder approval of such changes, the Committee shall have sole discretion to make such changes without obtaining
shareholder approval. In addition, in the event that the Committee determines that it is advisable to grant Awards that shall not qualify as Performance-Based Compensation, the Committee may make such grants without satisfying the requirements of
Code Section 162(m) and base vesting on Performance Measures other than those set forth in Section 14.2. 
  

	Article 15.	Termination of Employment and Termination as a Third-Party Service Provider 

 Each Award Agreement evidencing the grant of an Award shall provide for the following: 
 (a) The extent to which a Participant shall vest in or forfeit such Award following the Participant’s Termination of Employment or “Termination as a Third-Party Service Provider,” as
applicable. 
 (b) With respect to an Award in the form of an Option or SAR, the extent to which a Participant shall have the
right to exercise the Option or SAR following the Participant’s Termination of Employment or Termination as a Third-Party Service Provider, as applicable. 

  
 B-19

 The foregoing provisions shall be determined in the sole discretion of the Committee, shall be included in
each Award Agreement entered into with each Participant, need not be uniform among all Award Agreements and may reflect distinctions based on the reasons for termination. In addition, the Committee shall determine, in its sole discretion, the
circumstances constituting a Termination as a Third-Party Service Provider and shall set forth those circumstances in each Award Agreement entered into with each Third-Party Service Provider. 

 

	Article 16.	Effect of a Change in Control 

Notwithstanding any other provision of this Plan to the contrary, the provisions of this Article 16 shall apply in the event of a Change in Control,
unless otherwise determined by the Committee in its sole discretion, and set forth in the applicable Award Agreement: 
 (a)
Outstanding Options and SARs. Upon a Change in Control, a Participant’s then-outstanding Options and SARs shall immediately become fully vested (and, to the extent applicable, all performance conditions shall be deemed satisfied) and
exercisable over the exercise period set forth in the applicable Award Agreement. 
 (b) Awards, other than Options and SARs,
Subject to a Service Condition. Upon a Change in Control, a Participant’s then-outstanding Awards, other than Options and SARs, that are not vested and as to which vesting depends solely on the satisfaction of a service obligation by a
Participant to the Company or any Subsidiary shall become fully vested and shall be settled in cash, Shares or a combination as provided for under the applicable Award Agreement as soon as practicable following such Change in Control. 

(c) Awards, other than Options and SARs, Subject to a Performance Condition. Unless otherwise specified in a Participant’s
applicable Award Agreement, upon a Change in Control, a Participant’s then-outstanding Awards, other than Options and SARs, that are subject to one or more performance conditions shall immediately vest and all performance conditions shall be
deemed satisfied as if target performance was achieved and shall be settled in cash, Shares or a combination as provided for under the applicable Award Agreement as soon as practicable following such Change in Control; notwithstanding that the
applicable performance period, retention period or other restrictions and conditions have not been completed or satisfied. 
  

	Article 17.	Dividend Equivalents 

 The
Committee may grant dividend equivalents to a Participant based on the dividends declared on Shares that are subject to any Award granted to the Participant with such dividend equivalents credited to the Participant as of the applicable dividend
payment dates that occur during a period determined by the Committee. Such dividend equivalents shall be converted to and paid in cash or additional Shares or Awards by such formula and at such time and subject to such limitations as may be
determined by the Committee. Notwithstanding any provision to the contrary, the Committee shall not grant dividend equivalents to a Participant based on dividends declared on Shares that are subject to any Options or SARs granted to the Participant.

  

	Article 18.	Beneficiary Designation 

Each Participant under this Plan may, from time to time, name any beneficiary or beneficiaries (who may be named contingently or
successively) to whom any benefit under this Plan is to be paid in case of his death before he 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 Committee, and will be effective only when filed by the Participant in writing with the Company during the Participant’s lifetime. In the absence of any such beneficiary designation, benefits remaining unpaid or rights remaining
unexercised at the Participant’s death shall be paid to or exercised by the Participant’s executor, administrator or legal representative. 

  
 B-20

	Article 19.	Rights of Participants 

19.1    Employment. Nothing in this Plan or an Award Agreement shall (a) interfere with or limit in any
way the right of the Company or any Subsidiary to terminate any Participant’s employment with the Company or any Subsidiary at any time or for any reason not prohibited by law or (b) confer upon any Participant any right to continue his
employment or service as a Director or Third-Party Service Provider for any specified period of time. Neither an Award nor any benefits arising under this Plan shall constitute an employment contract with the Company or any Subsidiary and,
accordingly, subject to Articles 3 and 20, this Plan and the benefits hereunder may be terminated at any time in the sole and exclusive discretion of the Board without giving rise to any liability on the part of the Company, any Subsidiary, the
Committee or the Board. 
 19.2    Participation. No individual shall have the right to be selected
to receive an Award under this Plan, or, having been so selected, to be selected to receive a future Award. 

19.3    Rights as a Shareholder. Except as otherwise provided herein, a Participant shall have none of the
rights of a shareholder with respect to Shares covered by any Award until the Participant becomes the record holder of such Shares. 
  

	Article 20.	Amendment and Termination 

20.1    Amendment and Termination of the Plan and Awards. 

(a) Subject to subparagraphs (b) and (c) of this Section 20.1 and Section 20.3 of the Plan, the Board may at any time
amend or terminate the Plan or amend or terminate any outstanding Award. 
 (b) Except as provided for in Section 4.4, the
terms of an outstanding Award may not be amended, without prior shareholder approval, to: 
 (i) reduce the Option Price of an
outstanding Option or to reduce the Grant Price of an outstanding SAR, 
 (ii) cancel an outstanding Option or SAR in exchange
for other Options or SARs with an Option Price or Grant Price, as applicable, that is less than the Option Price of the cancelled Option or the Grant Price of the cancelled SAR, as applicable, or 

(iii) cancel an outstanding Option with an Option Price that is less than the Fair Market Value of a Share on the date of cancellation
or cancel an outstanding SAR with a Grant Price that is less than the Fair Market Value of a Share on the date of cancellation in exchange for cash or another Award. 
 (c) Notwithstanding the foregoing, no amendment of this Plan shall be made without shareholder approval if shareholder approval is required pursuant to rules promulgated by any stock exchange or quotation
system on which Shares are listed or quoted or by applicable U.S. state corporate laws or regulations, applicable U.S. federal laws or regulations and the applicable laws of any foreign country or jurisdiction where Awards are, or will be, granted
under the Plan. 
 20.2    Adjustment of Awards Upon the Occurrence of Certain Unusual or Nonrecurring
Events. Subject to Section 14.4, the Committee may make adjustments in the terms and conditions of, and the criteria included in, Awards in recognition of unusual or nonrecurring events (including, without limitation, the events described
in Section 4.4) affecting the Company or the financial statements of the Company or of changes in applicable laws, regulations, or accounting principles, whenever the Committee determines that such adjustments are appropriate in order to
prevent unintended dilution or enlargement of the benefits or potential benefits intended to be made available under this Plan. The determination of the Committee as to the foregoing adjustments, if any, shall be conclusive and binding on
Participants under this Plan. By accepting an Award 

  
 B-21

 
under this Plan, a Participant agrees to any adjustment to the Award made pursuant to this Section 20.2 without further consideration or action. 

20.3    Awards Previously Granted. Notwithstanding any other provision of this Plan to the contrary, other
than Sections 20.2, 20.4 and 22.14, no termination or amendment of this Plan or an Award Agreement shall adversely affect in any material way any Award previously granted under this Plan, without the written consent of the Participant holding
such Award. 
 20.4    Amendment to Conform to Law. Notwithstanding any other provision of this Plan
to the contrary, the Committee may amend the Plan or an Award Agreement, to take effect retroactively or otherwise, as deemed necessary or advisable for the purpose of conforming the Plan or an Award Agreement to any law relating to plans of this or
similar nature, and to the administrative regulations and rulings promulgated thereunder. By accepting an Award under this Plan, a Participant agrees to any amendment made pursuant to this Section 20.4 to the Plan and any Award without further
consideration or action. 
  

	Article 21.	Tax Withholding 

21.1    Minimum Tax Withholding. The Company shall have the power and the right to deduct or withhold, or
require a Participant to remit to the Company, the minimum statutory amount to satisfy applicable federal, state and local tax withholding requirements, domestic or foreign, with respect to any taxable event arising as a result of this Plan but in
no event shall such deduction or withholding or remittance exceed the minimum statutory withholding requirements. 

21.2    Share Withholding. With respect to withholding required upon the exercise of Options or SARs, upon the
lapse of restrictions on Restricted Stock, upon the settlement of Restricted Stock Units, or upon the achievement of performance goals related to Performance Shares, or any other taxable event arising as a result of an Award granted hereunder
(collectively and individually referred to as a “Share Payment”), a Participant may elect, subject to the approval of the Committee, to satisfy the withholding requirement, in whole or in part, by having the Company withhold from a Share
Payment the number of Shares having a Fair Market Value on the date the withholding is to be determined equal to the minimum statutory withholding requirement but in no event shall such withholding exceed the minimum statutory withholding
requirement. All such elections shall be irrevocable, made in writing, and signed by the Participant, and shall be subject to any restrictions or limitations that the Committee, in its sole discretion, deems appropriate. 

 

	Article 22.	General Provisions 

22.1    Forfeiture Events. 
 (a) In addition to the forfeiture events specified in Section 22.1(b), the Committee may specify in an Award Agreement that the Participant’s rights, payments and benefits with respect to an
Award shall be subject to reduction, cancellation, forfeiture or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable vesting of an Award. 

(b) A Participant’s Termination of Employment for Cause shall result in the forfeiture of the Participant’s outstanding Awards
in accordance with the following: 
 (i) Any outstanding and nonvested Options, SARs, Restricted Stock, RSUs, Performance
Shares, Performance Units, Cash-Based Awards and Other Stock-Based Awards granted to the Participant shall be forfeited as of the date immediately preceding the Participant’s Termination of Employment; and 

(ii) Any vested and unexercised Options and SARs, vested but not settled RSUs, earned but not settled Performance Shares or Performance
Units, and earned and/or vested Cash-Based Awards and Other Stock-Based Awards granted to the Participant shall be forfeited as of the date immediately preceding the Participant’s Termination of Employment. 

  
 B-22

 22.2    Legend. The certificates for Shares may include any
legend that the Committee deems appropriate to reflect any restrictions on transfer of such Shares. 

22.3    Gender and Number. Except where otherwise indicated by the context, any masculine term used herein
also shall include the feminine, the plural shall include the singular, and the singular shall include the plural. 

22.4    Severability. In the event any provision of this Plan shall be held illegal or invalid for any reason,
the illegality or invalidity shall not affect the remaining parts of this Plan, and this Plan shall be construed and enforced as if the illegal or invalid provision had not been included. 

22.5    Requirements of Law. The granting of Awards and the issuance of Shares under this 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. 
 22.6    Delivery of Title. The Company shall have no obligation to issue or deliver evidence of title for Shares issued under this Plan prior to: 

(a) Obtaining any approvals from governmental agencies that the Company determines are necessary or advisable; and 

(b) Completion of any registration or other qualification of the Shares under any applicable national or foreign law or ruling of any
governmental body that the Company determines to be necessary or advisable. 
 22.7    Inability to
Obtain Authority. The inability of the Company to obtain authority from any regulatory body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the lawful issuance and sale of any Shares hereunder,
shall relieve the Company of any liability in respect of the failure to issue or sell such Shares as to which such requisite authority shall not have been obtained. 
 22.8    Investment Representations. The Committee may require any individual receiving Shares pursuant to an Award under this Plan to represent and warrant in writing that the
individual is acquiring the Shares for investment and without any present intention to sell or distribute such Shares. 

22.9    Employees Based Outside of the United States. Notwithstanding any provision of this Plan to the
contrary, in order to comply with the laws in other countries in which the Company or any Subsidiaries operate or have Employees or Third-Party Service Providers, the Committee, in its sole discretion, shall have the power and authority to:

 (a) Determine which Subsidiaries shall be covered by this Plan; 

(b) Determine which Employees or Third-Party Service Providers outside the United States are eligible to participate in this Plan;

 (c) Modify the terms and conditions of any Award granted to Employees or Third-Party Service Providers outside the United
States to comply with applicable foreign laws; 
 (d) Establish sub-plans and modify exercise procedures and other terms and
procedures, to the extent such actions may be necessary or advisable. Any sub-plans and modifications to Plan terms and procedures established under this Section 22.9 by the Committee shall be attached to this Plan document as appendices; and

 (e) Take any action, before or after an Award is made, that it deems advisable to obtain approval or comply with any
necessary local government regulatory exemptions or approvals. 

  
 B-23

 Notwithstanding the above, the Committee may not take any actions hereunder, and no Awards shall be granted,
that would violate applicable law. 
 22.10    Uncertificated Shares. To the extent that this Plan
provides for issuance of certificates to reflect the transfer of Shares, the transfer of such Shares may be effected on a noncertificated basis, to the extent not prohibited by applicable law or the rules of any stock exchange. 

22.11    Unfunded Plan. Participants shall have no right, title or interest whatsoever in or to any
investments that the Company or any Subsidiaries may make to aid it in meeting its obligations under this Plan. Nothing contained in this Plan, and no action taken pursuant to its provisions, shall create or be construed to create a trust of any
kind, or a fiduciary relationship between the Company and any Participant, beneficiary, legal representative or any other individual. To the extent that any individual acquires a right to receive payments from the Company or any Subsidiary under
this Plan, such right shall be no greater than the right of an unsecured general creditor of the Company or the Subsidiary, as the case may be. All payments to be made hereunder shall be paid from the general funds of the Company, or the Subsidiary,
as the case may be, and no special or separate fund shall be established, and no segregation of assets shall be made to assure payment of such amounts except as expressly set forth in this Plan. 

22.12    No Fractional Shares. No fractional Shares shall be issued or delivered pursuant to this Plan or any
Award. The Committee shall determine whether cash, Awards or other property shall be issued or paid in lieu of fractional Shares or whether such fractional Shares or any rights thereto shall be forfeited or otherwise eliminated. 

22.13    Retirement and Welfare Plans. Neither Awards made under this Plan nor Shares or cash paid pursuant to
such Awards may be included as “compensation” for purposes of computing the benefits payable to any Participant under the Company’s or any Subsidiary’s retirement plans (both qualified and nonqualified) or welfare benefit plans
unless such other plan expressly provides that such compensation shall be taken into account in computing a Participant’s benefit. 
 22.14    Deferred Compensation. Unless otherwise indicated in the applicable Award Agreement, it is not intended that any Award under this Plan, in form and/or operation, will
constitute “deferred compensation” within the meaning of Code Section 409A and therefore, it is intended that each Award will not be subject to the requirements applicable to deferred compensation under section 409A of the Code and
the regulations thereunder. 
 (a) Awards that are not intended to constitute deferred compensation. With respect to an
Award that is not intended to constitute deferred compensation within the meaning of Code Section 409A, (i) to the extent necessary and permitted under Code Section 409A, the Company is authorized to amend this Plan or applicable
Award Agreement or to substitute such Award with another Award of comparable economic value so that the Award as modified or substituted and/or the Plan as modified, remains exempt from the requirements applicable to deferred compensation under Code
Section 409A of the Code (ii) the Committee shall take no action otherwise permitted under the Plan or under an Award Agreement to the extent such action shall cause such Award to be treated as deferred compensation within the meaning of
Code Section 409A. The Committee, in its sole discretion, shall determine to what extent if any, this Plan or applicable Award Agreement shall be required to be so modified or substituted. Notwithstanding any provision to the contrary, such
modification or substitution shall be made without prior notice to or consent of Participants. 
 (b) Awards that constitute
deferred compensation. With respect to an Award that constitutes deferred compensation within the meaning of Code Section 409A by form or operation (including, but not limited to, an Award referenced under paragraph (a) above that the
Committee determines is a form of deferred compensation), (i) to the extent necessary the Company is authorized to amend this Plan or applicable Award Agreement or to substitute such Award with another Award of comparable economic value so that
the Award as 

  
 B-24

 
modified or substituted and/or the Plan as modified, complies with the requirements applicable to deferred compensation under Code Section 409A and (ii) the Committee shall take no
action otherwise permitted under the Plan or under an Award Agreement to the extent such action shall cause such Award to no longer comply with the requirements applicable to deferred compensation under Code Section 409A. The Committee, in its
sole discretion, shall determine to what extent if any, this Plan or applicable Award Agreement shall be required to be so modified or substituted. Notwithstanding any provision to the contrary, such modification or substitution shall be made
without prior notice to or consent of Participants. 
 (c) Treatment of specified employees. If a Participant is a
“specified employee” as defined under Code Section 409A and the Participant’s Award is to be settled on account of the Participant’s separation from service (for reasons other than death) and such Award constitutes
“deferred compensation” as defined under Code Section 409A, then any portion of the Participant’s Award that would otherwise be settled during the six-month period commencing on the Participant’s separation from service
shall be settled as soon as practicable following the conclusion of the six-month period (or following the Participant’s death if it occurs during such six-month period). 
 22.15    Nonexclusivity of this Plan. The adoption of this Plan shall not be construed as creating any limitations on the power of the Board or Committee to adopt such other
compensation arrangements as it may deem desirable for any Participant. 
 22.16    No Constraint on
Corporate Action. Nothing in this Plan shall be construed to: (i) limit, impair, or otherwise affect the Company’s or a Subsidiary’s right or power to make adjustments, reclassifications, reorganizations or changes of its capital
or business structure, or to merge or consolidate, or dissolve, liquidate, sell or transfer all or any part of its business or assets; or, (ii) limit the right or power of the Company or a Subsidiary to take any action that such entity deems to
be necessary or appropriate. 
 22.17    Governing Law. The Plan and each Award Agreement shall be
governed by the laws of the State of Colorado excluding any conflicts or choice of law rule or principle that might otherwise refer construction or interpretation of this Plan to the substantive law of another jurisdiction. Unless otherwise provided
in the Award Agreement, recipients of an Award under this Plan are deemed to submit to the exclusive jurisdiction and venue of the federal or state courts of Colorado to resolve any and all issues that may arise out of or relate to this Plan or any
related Award Agreement. 
 22.18    Delivery and Execution of Electronic Documents. To the extent
permitted by applicable law, the Company may (i) deliver by email or other electronic means (including posting on a website maintained by the Company or by a third party under contract with the Company) all documents relating to the Plan or any
Award thereunder (including without limitation, prospectuses required by the Commission) and all other documents that the Company is required to deliver to its security holders (including without limitation, annual reports and proxy statements) and
(ii) permit Participant’s to electronically execute applicable Plan documents (including, but not limited to, Award Agreements) in a manner prescribed to the Committee. 

22.19    No Representations or Warranties Regarding Tax Effect. Notwithstanding any provision of the Plan to
the contrary, the Company, Subsidiaries, the Board and the Committee neither represent nor warrant the tax treatment under any federal, state, local or foreign laws and regulations thereunder (individually and collectively referred to as the
“Tax Laws”) of any Award granted or any amounts paid to any Participant under the Plan including, but not limited to, when and to what extent such Awards or amounts may be subject to tax, penalties and interest under the Tax Laws.

 22.20    Indemnification. Subject to requirements of Delaware law, each individual who is or shall
have been a member of the Board, or a Committee appointed by the Board, or an officer of the Company to whom authority was delegated in accordance with Article 3, 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 him or 

  
 B-25

 
her in connection with or resulting from any claim, action, suit or proceeding to which he or she may be a party or in which he or she may be involved by reason of any action taken or failure to
act under this Plan and against and from any and all amounts paid by him or her in settlement thereof, with the Company’s approval, or paid by him or her in satisfaction of any judgment in any such action, suit, or proceeding against him or
her, provided he or she shall give the Company an opportunity, at its own expense, to handle and defend the same before he or she undertakes to handle and defend it on his/her own behalf, unless such loss, cost, liability or expense is a result of
his/her own willful misconduct or except as expressly provided by statute. The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such individuals may be entitled under the Company’s
Articles of Incorporation or Bylaws, as a matter of law or otherwise, or any power that the Company may have to indemnify them or hold them harmless. 
 22.21    Successors. All obligations of the Company under this 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. 

  
 B-26Form of Restricted Stock Unit Agreement (Section 16 Participant)

 Exhibit 10.3 
 Einstein Noah Restaurant Group Inc. 
 2011 Omnibus Incentive Plan

 Restricted Stock Unit Award Agreement 
 You have been selected by the Compensation Committee of the Board of Directors of Einstein Noah Restaurant Group Inc., a Delaware corporation (the “Company”) to receive a grant of Restricted
Stock Units (“RSUs”) pursuant to the Einstein Noah Restaurant Group Inc. 2011 Omnibus Incentive Plan (the “Plan”) as specified below: 
 Participant:                               
                                         
                                         
         

Date of Grant:                    
                                         
                                         
                

Number of RSUs Granted:                  
                                         
                                      

Vesting Schedule: Except as provided otherwise in this Agreement or in the Plan, the RSUs shall vest according to the following schedule:

  

					
	 Date on Which RSUs Vest
	  	Number of RSUs Vested	  	Cumulative Number of RSUs Vested
		  	One-Third	  	One-Third
		  	One-Third	  	Two-Thirds
		  	One-Third	  	100%

 THIS AGREEMENT, effective as of the
Date of Grant set forth above, represents the grant of RSUs by the Company to the Participant named above, pursuant to the provisions of the Plan which includes additional terms and conditions governing the grant of RSUs. In the event of a conflict
between the terms and conditions of the Plan and this Agreement, the terms and conditions of the Plan shall govern. All capitalized terms in this Agreement shall have the meaning assigned to them in the Plan, unless specifically defined in this
Agreement. 
 By acceptance of this Agreement, the Participant acknowledges receipt of the Participant’s Notice of Grant of RSUs and a copy
of the Plan and the prospectus for the Plan. 
 The parties hereto agree as follows: 

 

	1.	Employment With the Company; Forfeiture Restrictions. Except as may otherwise be provided in Sections 5 or 6 of this Agreement, the RSUs granted hereunder are
granted subject to the condition that the Participant remains an employee of the Company from the Date of Grant through (and including) the date on which the RSUs become vested and are settled pursuant to Sections 2 and 3 of this Agreement and the
terms of the Plan. 

 This grant of RSUs shall not confer any right to the Participant (or any other Participant)
to be granted RSUs or other Awards in the future under the Plan. 

  

					
	 2011 Omnibus RSU Agreement
 Section 16 Participant
	 	1	 	 

	2.	Settlement. Settlement of all RSUs granted pursuant to this Agreement shall be effective as of the date on which the RSUs vest. For purposes of determining the
amount of payment under this paragraph 2 of the Agreement, the value of each RSU shall be equal to the Fair Market Value of a single share of common stock of the Company (the “Shares”) equal to the closing price of a share on the last
trading date prior to the date the RSU vests in accordance with the above Vesting Schedule. 

  

	3.	Form of Payment. Vested RSUs will be settled in whole Shares issued in the name of the Participant and will be released into the Participant’s personal
account with the Company’s third party administrator. 

  

	4.	Tax Consequences and Tax Withholding. The Participant hereby expressly acknowledges and agrees that the Company shall automatically withhold from the Shares
otherwise issuable to the Participant upon settlement of the RSUs such number of whole Shares with a value sufficient to remit the minimum applicable withholding taxes required by law in connection with such vesting or issuance as determined by the
Company (or its designee). Notwithstanding the foregoing, the Participant may satisfy his or her federal, state and local tax withholding obligations by making an irrevocable election at least 30 days in advance of the applicable vesting date to
tender payment to the Company for the required tax withholding and tender of payment in full satisfaction of such obligation on or before the vesting date. 

 

	5.	Shareholder Rights. The Participant shall not have any shareholder rights, including voting or dividend rights, with respect to any RSUs granted hereunder or the
shares corresponding to any RSUs granted hereunder. 

  

	6.	Termination of Employment. 

  

	 	(a)	By Death. In the event the continuous employment of the Participant with the Company is terminated by reason of Death prior to becoming partially or fully vested
without restriction in all or a portion of the RSUs, the Participant shall become immediately fully vested without restriction in all RSUs granted pursuant to this Agreement. 

 

	 	(b)	By Disability. In the event the continuous employment of the Participant with the Company is terminated by reason of Disability prior to the Participant becoming
partially or fully vested without restriction in all or a portion of the RSUs, the Participant shall become immediately fully vested without restriction in all RSUs granted pursuant to this Agreement. 

 

	 	(c)	For Cause. In the event the continuous employment of the Participant with the Company is involuntarily terminated for Cause, all unvested RSUs and any vested but
unpaid RSUs shall be forfeited as of the date of such termination of employment. For purposes of this Agreement, [unless otherwise defined in a separate agreement between the Participant and the Company,] Cause means: 

 

	 	i)	Willful misconduct of the Participant; 

  

	 	ii)	Willful failure to perform the Participant’s job duties; 

  

	 	iii)	Conviction of the Participant by a court of competent jurisdiction of a felony or entering the plea of nolo contendere to such crime by the Participant; or

  

					
	 2011 Omnibus RSU Agreement
 Section 16 Participant
	 	2	 	 

	 	iv)	The commission of an act of theft, fraud, dishonesty, or insubordination that is materially detrimental to the Company or any Subsidiary. 

 

	 	(d)	For Any Other Reason. If the continuous employment of the Participant with the Company shall terminate for any reason other than the reasons set forth in this
Section 5(a) through 5(c) herein, the Participant shall automatically forfeit all unvested RSUs upon such termination of employment. 

  

	7.	Change in Control. Notwithstanding anything to the contrary in this Agreement, in the event of a Change in Control of the Company prior to the Participant’s
termination of employment, the Participant shall become immediately fully vested without restriction in all RSUs granted pursuant to this Agreement. 

  

	8.	Restrictions on Transfer. Unless and until actual shares of stock of the Company are delivered in settlement of the RSUs, the RSUs granted pursuant to this
Agreement may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution, except as otherwise provided in the Plan. 

 

	9.	Beneficiary Designation. The Participant may, from time to time, designate a beneficiary or beneficiaries (who may be named contingently or successively) to whom
any benefit under this Agreement is to be paid in case of his or her death before he or she receives any or all of such benefit. Each such designation shall revoke all prior designations by the Participant, shall be in a form prescribed by the
Company, and will be effective only when filed by the Participant in writing with the Secretary of the Company during the Participant’s lifetime. In the absence of any such designation, benefits remaining unpaid at the Participant’s death
shall be paid to the Participant’s executor, administrator or legal representative. 

  

	10.	Continuation of Employment. This Agreement shall not confer upon the Participant any right to continue employment with the Company or its Subsidiaries, nor shall
this Agreement interfere in any way with the Company’s right to terminate the Participant’s employment at any time. 

  

	11.	Miscellaneous. 

  

	 	(a)	This Agreement and the rights of the Participant hereunder are subject to all the terms and conditions of the Plan, as the same may be amended from time to time, as
well as to such rules and regulations as the Compensation Committee may adopt for administration of the Plan. The Compensation Committee shall have the right to impose such restrictions on any Shares acquired pursuant to this Agreement, as it may
deem advisable, including, without limitation, 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. It is expressly understood that the Compensation Committee is authorized to administer, construe, and make all determinations necessary or appropriate to the administration of the Plan and this Agreement,
all of which shall be binding upon the Participant. 

  

	 	(b)	The Compensation Committee may terminate, amend, or modify the Plan or this Agreement; provided, however, that no such termination, amendment, or modification of the
Plan may in any material way adversely affect the Participant’s rights under this Agreement, without the written consent of the Participant. 

  

					
	 2011 Omnibus RSU Agreement
 Section 16 Participant
	 	3	 	 

	 	(c)	The Participant agrees to take all steps necessary to comply with all applicable provisions of federal and state securities laws in exercising his or her rights under
this Agreement. 

  

	 	(d)	This Agreement 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. 

  

	 	(e)	All obligations of the Company under the Plan and this Agreement, with respect to the RSUs, 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. 

 

	 	(f)	To the extent not preempted by federal law, this Agreement shall be governed by, and construed in accordance with, the laws of the state of Colorado.

  

	 	(g)	To the extent any provision of this Agreement is held by a court of competent jurisdiction to be unenforceable or invalid for any reason, the remaining provisions of
this Agreement shall not be affected by such holding and shall continue in full force in accordance with their terms. 

  

	 	(h)	Notice hereunder shall be given to the Company at its principal place of business, and shall be given to the Participant at the address then on file with the Company,
or in either case at such addresses as one party may subsequently furnish to the other party in writing. 

  

					
	 2011 Omnibus RSU Agreement
 Section 16 Participant
	 	4

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