Document:

Convergys Supplemental Executive Retirement Plan as amended

 Exhibit 10.1 
 CONVERGYS CORPORATION 
 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 
 (As amended effective February 20, 2007) 

 CONVERGYS CORPORATION 
 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 
 TABLE OF CONTENTS 
  

					
	  	  	 	  	Page
	 SECTION 1.
	  	STATEMENT OF PURPOSE.	  	1
			
	 SECTION 2.
	  	DEFINITIONS; GENDER AND NUMBER.	  	1
			
	 SECTION 3.
	  	ADMINISTRATION.	  	2
			
	 SECTION 4.
	  	BENEFITS.	  	2
			
	 SECTION 5.
	  	GENERAL PROVISIONS.	  	5
			
	 SECTION 6.
	  	PLAN MODIFICATION.	  	9
			
	 SECTION 7.
	  	COMPLIANCE WITH CODE SECTION 409A.	  	9

 CONVERGYS CORPORATION 
 SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN 
 SECTION 1. STATEMENT OF PURPOSE. 
 The purpose of the Convergys Corporation Supplemental Executive Retirement Plan (the “Plan”) is to provide supplementary pension
benefits for Senior Managers of Convergys Corporation (“Convergys”) and its affiliates. This document amends and restates the Plan effective as of February 20, 2007. Except as otherwise noted herein, the provisions of this amendment
and restatement do not apply to individuals who were Vested Senior Managers under the terms of the Plan as in effect immediately prior to this amendment and restatement and the calculation and payment of the benefits of such Vested Senior Managers
shall continue to be governed by the terms of the Plan as in effect immediately prior to the effective date of this amendment and restatement. 
 SECTION
2. DEFINITIONS; GENDER AND NUMBER. 
 2.1. For purposes of the Plan, the following terms shall have the meanings
hereinafter set forth unless the context otherwise requires: 
 2.1.1 “Board of Directors” means the Board of
Directors of Convergys. 
 2.1.2 “Committee” means the Compensation Committee of the Board of Directors.

 2.1.3 “Convergys Entity” means Convergys and each direct and indirect subsidiary of Convergys. 
 2.1.4 “Designated Beneficiary” means the person or entity designated by a Senior Manager, on forms furnished and in the manner
prescribed by the Committee, to receive any benefit payable under the Plan after the Senior Manager’s death. If a Senior Manager fails to designate a beneficiary or if, for any reason, such designation is not effective, his “Designated
Beneficiary” shall be his surviving spouse, or, if none, his estate. 
 2.1.5 “Employee” means any person who
is employed as a common law employee of a Convergys Entity. 
 2.1.6 “Pension Plan” means the Convergys Corporation
Pension Plan. 
 2.1.7 “Senior Manager” means an Employee whose participation in the Plan has been approved by the
Board of Directors or the Committee. 

 2.1.8 “Years of Service” means a Senior Manager’s full years of service as
an Employee, computed on the basis that 12 full months of service (whether or not consecutive) constitutes one full year of service. For purposes of the Plan, service with Cincinnati Bell Inc. and its affiliates prior to January 1, 1999 shall
be deemed to be service with Convergys. 
 2.2 For purposes of the Plan, words used in any gender shall include all other
genders, words used in the singular form shall include the plural form and words used in the plural form shall include the singular form. 
 SECTION 3.
ADMINISTRATION. 
 3.1 Convergys shall be the Plan Administrator and the Sponsor of the Plan as those terms are defined in
the Employee Retirement Income Security Act of 1974. 
 3.2 The Committee shall have the specific powers elsewhere herein
granted to it and shall have such other powers as may be necessary in order to enable it to administer the Plan, except for powers herein granted or provided to be granted to others. 
 3.2.1 The Committee may adopt such rules and regulations and may employ such persons as it deems appropriate for the proper
administration of the Plan. 
 3.2.2 The Committee shall grant or deny claims for benefits under the Plan, and authorize
disbursements according to this Plan. Notice shall be provided in writing to any participant or beneficiary whose claim has been denied, setting forth the specific reasons for such denial. In the event that a claim for benefits has been denied, the
Committee shall afford the claimant a full and fair review of the decision denying the claim. 
 3.2.3 The Committee shall
determine conclusively for all parties all questions arising in the administration of the Plan. 
 3.2.4 The expenses of the
Committee in administering the Plan shall be borne by the Convergys Entities in such proportions as the Committee may determine. 
 3.2.5 The Board of Directors and the Committee each may designate in writing other persons to carry out their responsibilities under the Plan, and may employ persons to advise them with regard to any such responsibilities. 
 SECTION 4. BENEFITS. 
 4.1 If a Senior
Manager who has completed at least five Years of Service ceases to be an Employee for any reason (other than his death), he shall be entitled to 

 
receive a monthly benefit, commencing six months following the date he ceases to be an Employee or, if later, the date on which he would have attained age 55
and completed at least 10 Years of Service had he remained an active Employee, and payable for his life, equal to the result obtained (not less than zero) by subtracting (a) his Pension Benefit from (b) 50% of his Average Monthly
Compensation; provided, however, that the amount determined under clause (b) of the preceding sentence shall be reduced by the sum of (i) 3.5% for each full year by which his age at termination is less than 62 and (ii) 3.5% for each
full year by which his Years of Service at termination are less than 25 years. 
 4.1.1 For purposes of this
Section 4.1, a Senior Manager’s “Average Monthly Compensation” shall be the amount obtained by dividing (a) the Senior Manager’s highest “annual cash compensation target” in effect at any time during the 5
year period ending on the date he ceases to be an Employee by (b) 12, A Senior Manager’s “annual cash compensation target” is the Senior Manager’s annual base salary and annual incentive target regardless of whether all or
part of such compensation is deferred by the Senior Manager pursuant to a deferred compensation plan or agreement, 401(k) plan and/or cafeteria plan, or paid in the form of securities or other property which are not immediately taxable to the Senior
Manager. 
 4.1.2 For purposes of this Section 4.1, “Pension Benefit” means the pension benefit (if any) which
the Senior Manager is entitled to receive under the Pension Plan, expressed as a monthly benefit commencing on the date of commencement of his benefit as described in Section 4.1, and payable for his life. If a Senior Manager has received or is
entitled to receive a benefit from a Convergys Entity which, in the opinion of the Committee, is intended to supplement or be in lieu of a benefit under the Pension Plan, the value of such other benefit shall be deemed to be a benefit under the
Pension Plan. 
 4.2 If a Senior Manager dies while an active Employee, his Designated Beneficiary shall be entitled to
receive a benefit payable in fifteen annual installments, commencing as of the day following the date of the Senior Manager’s death, which shall be actuarially equivalent (as determined by the Committee) to the Senior Manager’s accrued
benefit on the date of his death. For purposes of this Section 4.2, the accrued benefit of a Senior Manager who has completed at least five Years of Service shall be the benefit which would have been payable to the Senior Manager under
Section 4.1 if he had ceased to be an Employee (other than by reason of his death) on the date of his death. For purposes of this Section 4.2, the accrued benefit of a Senior Manager who has not completed at least five Years of Service
shall be the benefit, commencing on the date the Senior Manager would have attained age 55 and completed 10 Years of Service if he had remained an active Employee, which is a fraction of the benefit which would have been payable to the Senior
Manager under Section 4.1 if the Senior Manager had remained an active Employee through the date on which he completed five Year of Service and if the Senior Manager’s Average Monthly Compensation neither increased nor decreased after the
date of his death. The numerator of the fraction in the preceding sentence shall be equal to the number of the Senior Manager’s Years of Service as of the date of his death 

 
and the denominator of such fraction shall be the number of Years of Service the Senior Manager would have completed if he has remained an active Employee
through the date on which he completed at least five Years of Service. 
 4.2.1 In lieu of the benefit, if any, payable to a
Senior Manager’s Designated Beneficiary upon the Senior Manager’s death as provided in Section 4.2, and subject to such rules as the Committee may prescribe, a Senior Manager may elect to have the benefit, if any, payable to the
Senior Manager’s Designated Beneficiary upon the Senior Manager’s death paid in a lump sum. The lump sum shall be actuarially equivalent to the benefit otherwise payable to the Senior Manager’s Designated Beneficiary as provided in
Section 4.2. The actuarial equivalent lump sum shall be the average of the cost quotes, obtained by the Committee from at least two insurance companies that (a) have a rating equivalent to A.M. Best A+ or higher and (b) are licensed
to do business in the State of Ohio, for the purchase of an annuity contract providing the death benefit; provided however, that if the cost quotes from the two insurance companies chosen by the Committee differ by more than 5%, a third cost quote
will be obtained by the Committee from a third insurance company that meets the criteria described in this section, and the average of the two highest quotes will be used to determine the death benefit. 
 4.3 The Committee, in its sole discretion, may elect to waive in whole or in part any service or age reduction or discount, or any
minimum age or service requirement, otherwise applicable to the amount of a benefit payable to a Senior Manager under the Plan, on such terms and conditions as the Committee may prescribe. 
 4.4 In the case of a Senior Manager who retires prior to attaining age 62, the Committee may, in its sole discretion, elect to provide
the Senior Manager with a monthly Social Security supplement from the date of his retirement through the date he attains age 62 (or, if earlier, to the date of his death) in the amount of the Senior Manager’s unreduced monthly primary Social
Security benefit at age 62. This Social Security supplement shall be in addition to any other benefits provided under the Plan. 
 4.5 In lieu of a monthly benefit commencing on the date specified in Section 4.1 and payable for the life of the Senior Manager, with the consent of the Committee, and subject to such rales as the Committee may prescribe, a Senior
Manager may elect to have his benefit paid in one of the following forms commencing on the date specified in Section 4.1: (a) fifteen equal annual installments; or (b) an annuity payable for the life of the Senior Manager and
continuing to the Senior Manager’s contingent annuitant for his life at one-half of the rate payable during their joint lives. Any optional form of benefit hereunder shall be actuarially equivalent (as determined by the Committee) to the
benefit otherwise payable to the Senior Manager under Section 4.1. If a Senior Manager whose benefit is being paid in fifteen annual installments dies before receiving all of the installments, the remaining installments shall be paid, when due,
to his Designated Beneficiary. 

 4.5.1 In lieu of a monthly benefit payable for the life of the Senior Manager and any
optional form of benefit provided in Section 4.5, and subject to such rules as the Committee may prescribe, a Senior Manager may elect to have his benefit paid in the form of a lump sum payment on the date that is 6 months after the date he
ceases to be an Employee. The lump sum shall be actuarially equivalent to the benefit otherwise payable to the Senior Manager under Section 4.1. The actuarial equivalent lump sum shall be the average of the cost quotes, obtained by the
Committee from at least two insurance companies that (a) have a rating equivalent to A.M. Best A+ or higher and (b) are licensed to do business in the State of Ohio, for the purchase of an annuity contract providing the benefit described
in Section 4.1; provided however, that if the cost quotes from the two insurance companies chosen by the Committee differ by more than 5%, a third cost quote will be obtained by the Committee from a third insurance company that meets the
criteria described in this section, and the average of the two highest quotes will be used to determine the actuarial equivalent lump sum. 
 4.6 Except as otherwise provided in this Section 4 and Section 5, if a Senior Manager ceases to be an Employee for any reason, neither he nor any person claiming by or through him shall be entitled to
receive any benefit under the Plan. 
 SECTION 5. GENERAL PROVISIONS. 
 5.1 All benefits for which a Senior Manger would be otherwise eligible hereunder may be forfeited, in the sole and absolute discretion of the Committee, under the following circumstances:

 (a) The Senior Manager is discharged for cause (as determined by the Board of Directors or the Committee in its sole and
absolute discretion); or 
 (b) Determination by the Board of Directors or the Committee, in its sole and absolute
discretion, that the Senior Manager engaged in misconduct in connection with his employment with a Convergys Entity; or 
 (c) The Senior Manager, without the express written consent of the Board of Directors or the Committee, at any time is employed by, becomes associated with, renders service to, or owns an interest in any business that, in the sole and
absolute discretion of the Board of Directors or the Committee, is competitive with any Convergys Entity or with any business in which a Convergys Entity has a substantial interest (other than as a shareholder with a nonsubstantial interest in such
business). 
 5.2 Assignment or alienation of pensions or other benefits under this Plan will not be permitted or recognized.

 5.3 In all questions relating to age and service for eligibility for any benefit hereunder, or relating to term of
employment and rates of pay for determining benefits, the decision of the Committee, based upon this Plan and upon the records of the 

 
Participating Company last employing such individual and insofar as permitted by applicable law shall be final. 
 5.4 All benefits payable pursuant to the Plan shall be paid from Convergys Entity operating expenses, or through the purchase of
insurance from an insurance company or otherwise, as the Committee may determine. If any Convergys Entity elects to purchase insurance or other assets to provide benefits under the Plan, no Senior Manager, beneficiary or annuitant shall have any
right or interest in such insurance or other assets. 
 5.5 Benefits payable to a former employee or retiree unable to
execute a proper receipt may be paid to other person(s) on behalf of the former employee or retiree. 
 5.6 In the event of a
Change in Control, the provisions of this Section 5.6 will supersede any conflicting provisions of the Plan. 
 5.6.1 In
the event of a Change in Control, the full present value of all accrued benefits under the Plan and the full present value of any Excess Benefit, as determined in accordance with the provisions of the Plan and the Convergys Corporation Grantor Trust
(the “Trust”), shall be fully funded to the Trust in cash or other property acceptable to the trustee, within five business days of such Change in Control, The determination of the full present value of the accrued benefits under the Plan
shall be made using the following assumptions: (i) the date of retirement for each Senior Manager shall be considered to be the later of the date on which such Senior Manager would have attained the age of 62 and completed 25 Years of Service
or the date of the Change in Control, and (ii) the interest and mortality assumptions shall be the same as those used for funding the Pension Plan for the plan year in which the Change in Control occurs or if such assumptions are not yet
established, the assumptions used in the immediately preceding year. In addition, the following assumptions also apply to the determination of accrued benefits under the Plan: (i) for the purpose of the benefit formula under Section 4 of
this Plan (or any equivalent successor provisions of such Plan or any successor Plan) each Senior Manager who has completed at least five Years of Service will be considered to have attained age 62 and completed 25 Years of Service, and (ii) no
Social Security Supplements shall be granted. 
 5.6.2 In the event that the Plan is terminated or partially terminated on or
after a Change in Control and prior to the second anniversary of such Change in Control as defined hereinafter, each Senior Manager affected by such termination or partial determination may elect, within 90 days of the proposed distribution date (as
defined below), to receive the full present value of the benefit accrued under this Plan and the Excess Benefit, referred to in Section 5.6.3, accrued under the Pension Plan to the date of the termination in a single lump sum payment. If the
Senior Manager so elects in accordance with this Section 5.6.2 to receive a lump sum, such lump sum shall be distributed to the Senior Manager or, in the event of the Senior Manager’s death, the Senior Manager’s Designated Beneficiary
in the amount which equals the present value of the benefit or benefits projected to be paid under the Plan to the Senior Manager, 

 
actuarially determined using the assumptions used by the Plan’s actuary for funding the Plan; provided, however, that such amount shall be further
reduced by an amount equal to 10% prior to distribution of such lump sum. The proposed distribution date of the lump sum distribution shall be no later than one year following the date of the termination or partial termination of the Plan. Once such
amount is paid, the obligation of the Plan to such Senior Manager and/or his Designated Beneficiary shall be considered to be fully and irrevocably satisfied. No Senior Manager shall have any right under this Section 5.6.2 prior to the
occurrence of a Change in Control. 
 5.6.3 For purposes of the Plan, “Excess Benefit” means that portion of the
Senior Manager’s pension under the Pension Plan, determined as of the proposed distribution date, that is in excess of the permissible amount which may be distributed from the Pension Plan in accordance with Sections 401(a)(17) and 415 of the
Internal Revenue Code and with respect to which payments are to be made in accordance with the Pension Plan. 
 5.6.4 For the
purposes of this Section 5.6, a “Change in Control” means and shall be deemed to occur if: 
 (i) a tender
offer shall be made and consummated for the ownership of 30% or more of the outstanding voting securities of Convergys; 
 (ii) Convergys shall be merged or consolidated with another corporation and as a result of such merger or consolidation less than 75% of the outstanding voting securities of the surviving or resulting corporation shall be owned in the
aggregate by the former shareholders of Convergys other than affiliates (within the meaning of the Securities Exchange Act of 1934) of any party to such merger or consultation, as the same shall have existed immediately prior to such merger or
consolidation; 
 (iii) Convergys shall sell substantially all of its assets to another corporation which is not a wholly
owned subsidiary; 
 (iv) a person within the meaning of Section 3(a)(9) or of Section 13(d)(3) of the Securities
Exchange Act of 1934, shall acquire 20% or more of the outstanding voting securities of Convergys (whether directly, indirectly, beneficially or of records), or a person, within the meaning of Section 3(a)(9) or Section 13(d)(3) of the
Securities Exchange Act of 1934, controls in any manner the election of a majority of the directors of Convergys; or 
 (v)
within any period of two consecutive years, individuals who at the beginning of such period constitute the Board of Directors cease for any reason to constitute at least a majority thereof, unless the election of each director who was not a director
at the beginning of such period has been approved in advance by directors representing at least two-thirds of the directors then in office who were directors at the beginning of the period. For purposes hereof, ownership of voting securities shall

 
take into account and shall include ownership as determined by applying the provisions of Rule 13d-3(d)(l)(i) pursuant to the Securities Exchange Act of
1934. 
 5.6.5 In the event of a Change in Control, the provisions of Section 5.6 may not be deleted or amended on or
subsequent to the Change in Control in any manner whatsoever which would be adverse to one or more Senior Managers without the consent of each such Senior Manager who would be so affected; provided, however, the Board of Directors may make minor or
administrative changes to Section 5.6 or changes to conform to applicable legal requirements. This Section 5.6.5 shall not limit the Board of Directors from making any amendment to or deleting all or any portion of Section 5.6 prior
to a Change in Control. 
 5.6.6 In the case of a Change in Control, each Senior Manager who is participating in the Plan
immediately prior to the Change in Control shall be deemed to be a Vested Senior Manager for purposes of Section 6. If a Senior Manager who is participating in the Plan immediately prior to a Change in Control ceases to be an Employee for any
reason (other than his death) on or after the Change in Control, and if such Senior Manager has not completed five Years of Service, he shall be entitled to receive a monthly benefit, commencing on the date when the Senior Manager would have
attained age 62 and completed 25 Years of Service if he had remained an active Employee (or such earlier date as may be permitted under Section 5.6.2 in the event the Plan is terminated on or after the Change in Control), which is a fraction of
the benefit which would have been payable to the Senior Manager under Section 4.1 if the Senior Manager had remained an active Employee through such date. The numerator of the fraction in the preceding sentence shall be equal to the number of
the Senior Manager’s Years of Service as of the Change in Control and the denominator of such fraction shall be equal to the number of Years of Service the Senior Manager would have completed if he had remained an active Employee through the
date on which he would have attained age 62 and completed 25 Years of Service. 
 In lieu of the benefit, if any, payable to
a Senior Manager in the event he ceases to be an Employee for any reason (other than death) on or after a Change in Control, as provided in this Section 5.6.6, and subject to such rules as the Committee may prescribe, a Senior Manager may elect
to have the benefit paid in a lump sum. The lump sum shall be actuarially equivalent to the benefit otherwise payable to the Senior Manager under this Section 5,6.6, The actuarial equivalent lump sum shall be the average of the cost quotes,
obtained by the Committee from at least two insurance companies that (a) have a rating equivalent to A.M. Best A+ or higher and (b) are licensed to do business in the State of Ohio, for the purchase of an annuity contract providing the
benefit; provided however, that if the cost quotes from the two insurance companies chosen by the Committee differ by more than 5%, a third cost quote will be obtained by the Committee from a third insurance company that meets the criteria described
in this section, and the average of the two highest quotes will be used to determine the actuarial equivalent lump sum. 

 SECTION 6. PLAN MODIFICATION. 
 The Board of Directors retains the right to amend or terminate the Plan in whole or in part at any time, for any reason, with or without notice. Subject to the provisions of Section 5.6,
said amendment or termination may result, at the discretion of the Board of Directors, in the cancellation of any entitlements or future entitlements to active Senior Managers; provided, however, that the amendment, termination or partial
termination of the Plan shall not reduce the accrued benefit of any Vested Senior Manager, retired Senior Manager or his beneficiary. For purposes of the Plan, vested Senior Manager means a Senior Manager who has at least five Years of Service.

 SECTION 7. COMPLIANCE WITH CODE SECTION 409A. 
 It is intended that, with respect to amounts deferred in taxable years beginning on or after January 1, 2005 and earnings on such amounts (as determined in accordance with 1.409A-6(a)(2) of the proposed
regulations), the provisions of the Plan (both prior to and on and after the effective date of this amendment and restatement) comply with Section 409A of the Internal Revenue Code, so as to prevent the inclusion in gross income of any amounts
deferred hereunder in a taxable year prior to the taxable year or years in which such amounts would otherwise actually be distributed or made available to Senior Managers and their Designated Beneficiaries. The provisions of the Plan both as
reflected in this amendment and restatement and immediately prior to the effective date of the amendment and restatement shall be construed, administered, and governed in a manner that effects such intent, and neither the Board nor the Committee
shall take any action that would be inconsistent with such intent. Any provisions that would cause any amount deferred or payable under the Plan to be includible in the gross income of any Senior Manager or Designated Beneficiary or subject to
interest or penalties under Section 409A(a)(l) of the Code shall have no force and effect unless and until amended to cause such amount to not be so includible (which amendment may be retroactive to the extent permitted by Section 409A of
the Code). Although the Board and Committee shall use its best efforts to avoid the imposition of taxation, interest and penalties under Section 409A of the Code, the tax treatment of deferrals under this Plan is not warranted or guaranteed.
Neither the Company, its Affiliates, the Board, nor the Committee (or its designee) shall be held liable for any taxes, interest, penalties or other monetary amounts owed by any Senior Manager, Designated Beneficiary or other taxpayer as a result of
the Plan. 

 IN WITNESS WHEREOF, Convergys Corporation has hereunto caused its name to be subscribed
this 17 day of April, 2007. 
  

	
	 CONVERGYS CORPORATION

	
	 /s/ David R. Whitwam

	 By: David R. Whitwam

	 Title: Chairman of the Compensation and Benefits CommitteeCell Genesys, Inc. 2005 Equity Incentive Plan, as amended

 Exhibit 10.3 
 CELL GENESYS, INC. 
 2005 EQUITY INCENTIVE PLAN 
 1. Purposes of the Plan. The purposes of this Plan are: 
  

	 	•	 	 to attract and retain the best available personnel for positions of substantial responsibility, 

  

	 	•	 	 to provide incentives to individuals who perform services to the Company, and 

  

	 	•	 	 to promote the success of the Company’s business. 

 The Plan permits the grant of Incentive Stock Options, Nonstatutory Stock Options, Restricted Stock, SARs, Performance Units, Performance Shares and other stock awards as the Administrator may determine. 

2. Definitions. As used herein, the following definitions will apply: 
 (a) “Administrator” means the Board or any of its Committees as will be administering the Plan, in accordance with Section 4 of the Plan. 
 (b) “Applicable Laws” means the requirements relating to the administration of equity-based awards under U.S. state corporate laws, U.S.
federal and state securities laws, the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted and the applicable laws of any foreign country or jurisdiction where Awards are, or will be, granted under the Plan.

 (c) “Award” means, individually or collectively, a grant under the Plan of Options, Restricted Stock, SARs, Performance
Units, Performance Shares and other stock awards as the Administrator may determine. 
 (d) “Award Agreement” means the
written or electronic agreement setting forth the terms and provisions applicable to each Award granted under the Plan. The Award Agreement is subject to the terms and conditions of the Plan. 
 (e) “Board” means the Board of Directors of the Company. 
 (f) “Cash Position” means as to any Performance Period, the Company’ s level of cash and cash equivalents, including, without limitation, amounts classified for financial reporting purposes as
short-term investments and restricted investments. 
 (g) “Change in Control” means the occurrence of any of the following
events: 
 (i) Any “person” (as such term is used in Sections 13(d) and 14(d) of the Exchange Act) becomes the
“beneficial owner” (as defined in Rule 13d-3 of the Exchange Act), directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the total voting power represented by the Company’s then
outstanding voting securities; or 
  

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 (ii) The consummation of the sale or disposition by the Company of all or substantially
all of the Company’s assets; or 
 (iii) A change in the composition of the Board occurring within a two-year period, as
a result of which fewer than a majority of the directors are Incumbent Directors. “Incumbent Directors” means directors who either (A) are Directors as of the effective date of the Plan, or (B) are elected, or nominated for
election, to the Board with the affirmative votes of at least a majority of the Incumbent Directors at the time of such election or nomination (but will not include an individual whose election or nomination is in connection with an actual or
threatened proxy contest relating to the election of directors to the Company); or 
 (iv) The consummation of a merger or
consolidation of the Company with any other corporation, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding
or by being converted into voting securities of the surviving entity or its parent) at least fifty percent (50%) of the total voting power represented by the voting securities of the Company or such surviving entity or its parent outstanding
immediately after such merger or consolidation. 
 (h) “Code” means the Internal Revenue Code of 1986, as amended. Any
reference to a section of the Code herein will be a reference to any successor or amended section of the Code. 
 (i)
“Committee” means a committee of Directors or of other individuals satisfying Applicable Laws appointed by the Board in accordance with Section 4 hereof. 
 (j) “Common Stock” means the common stock of the Company. 
 (k) “Company” means Cell Genesys, Inc., a Delaware corporation, or any successor thereto. 
 (l) “Consultant” means any person, including an advisor, engaged by the Company or a Parent or Subsidiary to render services to such entity. 
 (m) “Determination Date” means the latest possible date that will not jeopardize the qualification of an Award granted under the Plan as “performance-based compensation” under
Section 162(m) of the Code. 
 (n) “Director” means a member of the Board. 
 (o) “Disability” means total and permanent disability as defined in Section 22(e)(3) of the Code, provided that in the case of
Awards other than Incentive Stock Options, the Administrator in its discretion may determine whether a permanent and total disability exists in accordance with uniform and non-discriminatory standards adopted by the Administrator from time to time.

 (p) “Earnings Per Share” means as to any Performance Period, the Company’s or a business unit’s Net Income,
divided by a weighted average number of Shares outstanding and dilutive equivalent Shares deemed outstanding, determined in accordance with U.S. GAAP; 

  

 2 

 
provided, however, that if Net Income as to any such Performance Period is a negative amount, then Earnings Per Share means the Company’s or business
unit’s Net Income, divided by a weighted average number of Shares outstanding, determined in accordance with U.S. GAAP. 
 (q)
“Employee” means any person, including Officers and Directors, employed by the Company or any Parent or Subsidiary of the Company. Neither service as a Director nor payment of a director’s fee by the Company will be sufficient
to constitute “employment” by the Company. 
 (r) “Exchange Act” means the Securities Exchange Act of 1934, as
amended. 
 (s) “Excluded Items” includes, without limitation, (i) incentive compensation, (ii) in-process
research and development expenses, (iii) acquisition costs, (iv) compensation expense from equity compensation, (v) operating expenses from acquired businesses, (vi) amortization of acquired intangible assets, and (vii) such
other unusual or one-time items as may be identified by the Administrator. 
 (t) “Fair Market Value” means, unless
otherwise determined or provided by the Administrator in the circumstances, the last price (in regular trading) for a share of Common Stock as furnished by the National Association of Securities Dealers, Inc. (the “NASD”) through
the NASDAQ Global Market Reporting System (the “Global Market”) for the date in question or, if no sales of Common Stock were reported by the NASD on the Global Market on that date, the last price (in regular trading) for a share of
Common Stock as furnished by the NASD through the Global Market for the next preceding day on which sales of Common Stock were reported by the NASD. The Administrator may, however, provide with respect to one or more Awards that the Fair Market
Value shall equal the last price for a share of Common Stock as furnished by the NASD through the Global Market on the last trading day preceding the date in question or the average of the high and low trading prices of a share of Common Stock as
furnished by the NASD through the Global Market for the date in question or the most recent trading day. If the Common Stock is no longer listed or is no longer actively traded on the Global Market as of the applicable date, the Fair Market Value of
the Common Stock shall be the value as reasonably determined by the Administrator for purposes of the Award in the circumstances. The Administrator also may adopt a different methodology for determining Fair Market Value with respect to one or more
Awards if a different methodology is necessary or advisable to secure any intended favorable tax, legal or other treatment for the particular Award(s) (for example, and without limitation, the Administrator may provide that Fair Market Value for
purposes of one or more Awards will be based on an average of closing prices (or the average of high and low daily trading prices) for a specified period preceding the relevant date). 
 (u) “Fiscal Year” means the fiscal year of the Company. 
 (v) “Incentive Stock Option” means an Option that by its terms qualifies and is otherwise intended to qualify as an incentive stock option within the meaning of Section 422 of the Code and the
regulations promulgated thereunder. 
 (w) “Inside Director” means a Director who is an Employee. 
  

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 (x) “Net Income” means as to any Performance Period, the Company’s or a business
unit’s income after taxes determined in accordance with U.S. GAAP, adjusted for any Excluded Items approved for exclusion by the Administrator. 
 (y) “Nonstatutory Stock Option” means an Option that by its terms does not qualify or is not intended to qualify as an Incentive Stock Option. 
 (z) “Officer” means a person who is an officer of the Company within the meaning of Section 16 of the Exchange Act and the rules
and regulations promulgated thereunder. 
 (aa) “Operating Cash Flow” means as to any Performance Period, the Company’s
or a business unit’s cash flow generated from operating activities, as reported in the Company’s cash flow statements and calculated in accordance with U.S. GAAP, adjusted for any Excluded Items approved for exclusion by the Administrator.

 (bb) “Operating Income” means as to any Performance Period, the Company’s or a business unit’s income from
operations determined in accordance with U.S. GAAP, adjusted for any Excluded Items approved for exclusion by the Administrator. 
 (cc)
“Option” means a stock option granted pursuant to the Plan. 
 (dd) “Outside Director” means a Director who
is not an Employee. 
 (ee) “Parent” means a “parent corporation,” whether now or hereafter existing, as defined
in Section 424(e) of the Code. 
 (ff) “Participant” means the holder of an outstanding Award. 
 (gg) “Performance Goals” means the goal(s) (or combined goal(s)) determined by the Administrator (in its discretion) to be applicable to
a Participant with respect to an Award granted under the Plan. As determined by the Administrator, the Performance Goals applicable to an Award may provide for a targeted level or levels of achievement using one or more of the following measures:
(a) Cash Position, (b) Earnings Per Share, (c) Net Income, (d) Operating Cash Flow, (e) Operating Income, (f) Return on Assets, (g) Return on Equity, (h) Return on Sales, (i) Revenue, (j) Total
Shareholder Return, and (k) certain pre-defined corporate milestones related to product development and other business activities. The Performance Goals may differ from Participant to Participant and from Award to Award. Prior to the
Determination Date, the Administrator will determine whether any significant element(s) will be included in or excluded from the calculation of any Performance Goal with respect to any Participant. 
 (hh) “Performance Period” means any Fiscal Year of the Company or such other period as determined by the Administrator in its sole
discretion. 
 (ii) “Performance Share” means an Award denominated in Shares which may be earned in whole or in part upon
attainment of Performance Goals or other vesting criteria as the Administrator may determine pursuant to Section 9. 
  

 4 

 (jj) “Performance Unit” means an Award which may be earned in whole or in part upon
attainment of Performance Goals or other vesting criteria as the Administrator may determine and which may be settled for cash, Shares or other securities or a combination of the foregoing pursuant to Section 9. 
 (kk) “Period of Restriction” means the period during which the transfer of Shares of Restricted Stock are subject to restrictions and
therefore, the Shares are subject to a substantial risk of forfeiture. Such restrictions may lapse based on the passage of time, the achievement of target levels of performance, or the occurrence of other events as determined by the Administrator.

 (ll) “Plan” means this 2005 Equity Incentive Plan. 
 (mm) “Restricted Stock” means Shares issued pursuant to a Restricted Stock award under Section 7 of the Plan, or issued pursuant to
the early exercise of an Option. 
 (nn) “Return on Assets” means as to any Performance Period, the percentage equal to the
Company’s or a business unit’s Operating Income divided by average net Company or business unit, as applicable, assets, determined in accordance with U.S. GAAP. 
 (oo) “Return on Equity” means as to any Performance Period, the percentage equal to the Company’s Net Income divided by average stockholder’s equity, determined in accordance with U.S. GAAP.

 (pp) “Return on Sales” means as to any Performance Period, the percentage equal to the Company’s or a business
unit’s Operating Income divided by the Company’s or the business unit’s, as applicable, Revenue. 
 (qq)
“Revenue” means as to any Performance Period, the Company’s or business unit’s net sales, determined in accordance with U.S. GAAP. 
 (rr) “Rule 16b-3” means Rule 16b-3 of the Exchange Act or any successor to Rule 16b-3, as in effect when discretion is being exercised with respect to the Plan. 
 (ss) “Section 16(b)” means Section 16(b) of the Exchange Act. 
 (tt) “Service Provider” means an Employee, Director or Consultant. 
 (uu) “Share” means a share of the Common Stock, as adjusted in accordance with Section 14 of the Plan. 
 (vv) “Stock Appreciation Right” or “SAR” means an Award, granted alone or in connection with an Option, that pursuant
to Section 8 is designated as a SAR. 
 (ww) “Subsidiary” means a “subsidiary corporation,” whether now or
hereafter existing, as defined in Section 424(f) of the Code. 
  

 5 

 (xx) “Total Shareholder Return” means as to any Performance Period, the total return
(change in share price plus reinvestment of any dividends) of a Share. 
 (yy) “U.S. GAAP” means generally accepted
accounting principles in the United States. 
 3. Stock Subject to the Plan. 
 (a) Stock Subject to the Plan. Subject to the provisions of Section 14 of the Plan, the maximum aggregate number of Shares that may be
awarded and sold under the Plan is 1,000,000 plus (a) such number of Shares which have been reserved but not issued under the Company’s 1998 Stock Plan (the “1998 Plan”) as of the date the Plan is approved by the stockholders of
the Company, plus any Shares returned to the 1998 Plan thereafter as a result of termination of options or repurchase of Shares issued under such plan, (b) such number of Shares which have been reserved but not issued under the Company’s
2001 Nonstatutory Stock Option Plan (the “2001 Plan”) as of the date the Plan is approved by the stockholders of the Company, plus any Shares returned to the 2001 Plan thereafter as a result of termination of options or repurchase of
Shares issued under such plan, and (c) such number of Shares which have been reserved but not issued under the Company’s 2001 Director Option Plan (the “2001 Director Plan”) as of the date the Plan is approved by the stockholders
of the Company, plus any Shares returned to the 2001 Director Plan thereafter as a result of termination of options or repurchase of Shares issued under such plan. The Shares may be authorized, but unissued, or reacquired Common Stock. Shares shall
not be deemed to have been issued pursuant to the Plan with respect to any portion of an Award that is settled in cash. Upon payment in Shares pursuant to the exercise of an SAR, the number of Shares available for issuance under the Plan shall be
reduced only by the number of Shares actually issued in such payment. If the exercise price of an Option is paid by tender to the Company, or attestation to the ownership, of Shares owned by the Participant, the number of Shares available for
issuance under the Plan shall be reduced by the gross number of Shares for which the Option is exercised. The Shares may be authorized, but unissued, or reacquired Common Stock. 
 (b) Lapsed Awards. If an Award expires or becomes unexercisable without having been exercised in full or, with respect to Restricted Stock,
Performance Shares or Performance Units, is forfeited to or repurchased by the Company, the unpurchased Shares (or for Awards other than Options and SARs, the forfeited or repurchased Shares) which were subject thereto will become available for
future grant or sale under the Plan (unless the Plan has terminated). With respect to SARs, only Shares actually issued pursuant to an SAR will cease to be available under the Plan; all remaining Shares under SARs will remain available for future
grant or sale under the Plan (unless the Plan has terminated). However, Shares that have actually been issued under the Plan under any Award will not be returned to the Plan and will not become available for future distribution under the Plan;
provided, however, that if unvested Shares of Restricted Stock, Performance Shares or Performance Units are repurchased by the Company or are forfeited to the Company, such Shares will become available for future grant under the Plan. To the extent
an Award under the Plan is paid out in cash rather than Shares, such cash payment will not result in reducing the number of Shares available for issuance under the Plan. Notwithstanding the foregoing and, subject to adjustment provided in
Section 14, the maximum number of Shares that may be issued upon the exercise of Incentive Stock Options shall equal the aggregate Share number stated in Section 3(a), plus, to the extent allowable under Section 422 of the Code, any
Shares that become available for issuance under the Plan under this Section 3(b). 
  

 6 

 (c) Share Reserve. The Company, during the term of this Plan, will at all times reserve and keep
available such number of Shares as will be sufficient to satisfy the requirements of the Plan. 
 4. Administration of the Plan. 
 (a) Procedure. 
 (i)
Multiple Administrative Bodies. Different Committees with respect to different groups of Service Providers may administer the Plan. 
 (ii) Section 162(m). To the extent that the Administrator determines it to be desirable to qualify Awards granted hereunder as “performance-based compensation” within the meaning of Section 162(m) of the Code, the Plan
will be administered by a Committee of two or more “outside directors” within the meaning of Section 162(m) of the Code. 
 (iii) Rule 16b-3. To the extent desirable to qualify transactions hereunder as exempt under Rule 16b-3, the transactions contemplated hereunder will be structured to satisfy the requirements for exemption under Rule
16b-3. 
 (iv) Other Administration. Other than as provided above, the Plan will be administered by (A) the Board or
(B) a Committee, which committee will be constituted to satisfy Applicable Laws. 
 (b) Powers of the Administrator. Subject to
the provisions of the Plan, and in the case of a Committee, subject to the specific duties delegated by the Board to such Committee, the Administrator will have the authority, in its discretion: 
 (i) to determine the Fair Market Value; 
 (ii) to select the Service Providers to whom Awards may be granted hereunder; 
 (iii) to
determine the terms and conditions, not inconsistent with the terms of the Plan, of any Award granted hereunder; 
 (iv) to
approve forms of agreement for use under the Plan; 
 (v) to modify or amend each Award (subject to Section 19(c) of the
Plan). Notwithstanding the previous sentence, the Administrator may not modify or amend an Option or SAR to reduce the exercise price of such Option or SAR after it has been granted (except for adjustments made pursuant to Section 14), unless
approved by the Company’s stockholders and neither may the Administrator, without the approval of the Company’s stockholders, cancel any outstanding Option or SAR and immediately replace it with a new Option or SAR with a lower exercise
price; 
  

 7 

 (vi) to construe and interpret the terms of the Plan and Awards granted pursuant to the
Plan; 
 (vii) to prescribe, amend and rescind rules and regulations relating to the Plan, including rules and regulations
relating to sub-plans established for the purpose of satisfying applicable foreign laws; 
 (viii) 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 Administrator; 
 (ix) to allow a Participant to defer the receipt of the payment of cash or the delivery of Shares that would otherwise be due to such Participant under an Award pursuant to such procedures as the Administrator may determine; 
 (x) to grant, in addition to the incentives described in Sections 6, 7, 8 and 9 below, other incentives payable in cash or Shares under
the Plan as determined by the Administrator to be in the best interests of the Company and subject to any terms and conditions the Administrator deems advisable; and 
 (xi) to make all other determinations deemed necessary or advisable for administering the Plan. 
 (c) Effect of Administrator’s Decision. The Administrator’s decisions, determinations and interpretations will be final and binding on
all Participants and any other holders of Awards. 
 5. Eligibility. Nonstatutory Stock Options, Restricted Stock, Stock Appreciation Rights,
Performance Units, Performance Shares and such stock awards as the Administrator determines may be granted to Service Providers. Incentive Stock Options may be granted only to Employees. 
 6. Stock Options. 
 (a) Limitations. 
 (i) Each Option will be designated in the Award Agreement as either an Incentive Stock Option or a Nonstatutory Stock Option. However,
notwithstanding such designation, to the extent that the aggregate Fair Market Value of the Shares with respect to which Incentive Stock Options are exercisable for the first time by the Participant during any calendar year (under all plans of the
Company and any Parent or Subsidiary) exceeds $100,000, such Options will be treated as Nonstatutory Stock Options. For purposes of this Section 6(a), Incentive Stock Options will be taken into account in the order in which they were granted.
The Fair Market Value of the Shares will be determined as of the time the Option with respect to such Shares is granted. 
 (ii) The following limitations will apply to grants of Options: 
 (1) No Service Provider will be granted, in any
Fiscal Year, Options to purchase more than 500,000 Shares. 
  

 8 

 (2) In connection with his or her initial service, a Service Provider may be granted
Options to purchase up to an additional 1,500,000 Shares, which will not count against the limit set forth in Section 6(a)(ii)(1) above. 
 (3) The foregoing limitations will be adjusted proportionately in connection with any change in the Company’s capitalization as described in Section 14. 
 (4) If an Option is cancelled in the same Fiscal Year in which it was granted (other than in connection with a transaction described in
Section 14), the cancelled Option, as applicable, will not be counted against the limits set forth in subsections (1) and (2) above. For this purpose, if the exercise price of an Option is reduced, the transaction will be treated as a
cancellation of the Option and the grant of a new Option and/or Stock Appreciation Right, as applicable. 
 (5) The exercise
price for an Option may not be reduced without the consent of the Company’s stockholders. This will include, without limitation, a repricing of the Option as well as an Option exchange program whereby the Participant agrees to cancel an
existing Option in exchange for an Option, SAR or other Award. 
 (b) Term of Option. The Administrator will determine the term of
each Option in its sole discretion. In the case of an Incentive Stock Option, the term will be ten (10) years from the date of grant or such shorter term as may be provided in the Award Agreement. Moreover, in the case of an Incentive Stock
Option granted to a Participant who, at the time the Incentive Stock Option is granted, owns stock representing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or any Parent or Subsidiary,
the term of the Incentive Stock Option will be five (5) years from the date of grant or such shorter term as may be provided in the Award Agreement. 
 (c) Option Exercise Price and Consideration. 
 (i) Exercise Price. The per
share exercise price for the Shares to be issued pursuant to exercise of an Option will be determined by the Administrator, subject to the following: 
 (1) In the case of an Incentive Stock Option 
 a) granted to an Employee who, at the time
the Incentive Stock Option is granted, owns stock representing more than ten percent (10%) of the voting power of all classes of stock of the Company or any Parent or Subsidiary, the per Share exercise price will be no less than 110% of the
Fair Market Value per Share on the date of grant. 
 b) granted to any Employee other than an Employee described in paragraph
(A) immediately above, the per Share exercise price will be no less than 100% of the Fair Market Value per Share on the date of grant. 
 (2) In the case of a Nonstatutory Stock Option, the per Share exercise price will be determined by the Administrator, but will be no less than 100% of the Fair Market Value per Share on the date of grant. 

 

 9 

 (3) Notwithstanding the foregoing, Options may be granted with a per Share exercise price
of less than 100% of the Fair Market Value per Share on the date of grant pursuant to a transaction described in, and in a manner consistent with, Section 424(a) of the Code. 
 (ii) Waiting Period and Exercise Dates. At the time an Option is granted, the Administrator will fix the period within which the
Option may be exercised and will determine any conditions that must be satisfied before the Option may be exercised. 
 (iii)
Form of Consideration. The Administrator will determine the acceptable form(s) of consideration for exercising an Option, including the method of payment, to the extent permitted by Applicable Laws. 
 (d) Exercise of Option. 
 (i) Procedure for Exercise; Rights as a Stockholder. Any Option granted hereunder will be exercisable according to the terms of the Plan and at such times and under such conditions as determined by the Administrator and set forth in
the Award Agreement. An Option may not be exercised for a fraction of a Share. 
 An Option will be deemed exercised when the
Company receives: (i) notice of exercise (in such form as the Administrator may specify from time to time) from the person entitled to exercise the Option, and (ii) full payment for the Shares with respect to which the Option is exercised
(together with an applicable withholding taxes). No adjustment will be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 14 of the Plan. 
 (ii) Termination of Relationship as a Service Provider. If a Participant ceases to be a Service Provider, other than upon the
Participant’s death or Disability, the Participant may exercise his or her Option within such period of time as is specified in the Award Agreement to the extent that the Option is vested on the date of termination (but in no event later than
the expiration of the term of such Option as set forth in the Award Agreement). In the absence of a specified time in the Award Agreement, the Option will remain exercisable for three (3) months following the Participant’s termination.
Unless otherwise provided by the Administrator, if on the date of termination the Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option will revert to the Plan. If after termination the
Participant does not exercise his or her Option within the time specified by the Administrator, the Option will terminate, and the Shares covered by such Option will revert to the Plan. 
 (iii) Disability of Participant. If a Participant ceases to be a Service Provider as a result of the Participant’s Disability,
the Participant may exercise his or her Option within such period of time as is specified in the Award Agreement to the extent the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as
set forth in the Award Agreement). In the absence of a specified time in the Award Agreement, the Option will remain exercisable for twelve (12) months following the Participant’s termination. Unless otherwise provided by the
Administrator, if on the date of termination the Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option will revert to the Plan. If after termination the Participant does not exercise his
or her Option within the time specified herein, the Option will terminate, and the Shares covered by such Option will revert to the Plan. 
  

 10 

 (iv) Death of Participant. If a Participant dies while a Service Provider, the
Option may be exercised following the Participant’s death within such period of time as is specified in the Award Agreement to the extent that the Option is vested on the date of death (but in no event may the option be exercised later than the
expiration of the term of such Option as set forth in the Award Agreement), by the Participant’s designated beneficiary, provided such beneficiary has been designated prior to Participant’s death in a form acceptable to the Administrator.
If no such beneficiary has been designated by the Participant, then such Option may be exercised by the personal representative of the Participant’s estate or by the person(s) to whom the Option is transferred pursuant to the Participant’s
will or in accordance with the laws of descent and distribution. In the absence of a specified time in the Award Agreement, the Option will remain exercisable for twelve (12) months following Participant’s death. Unless otherwise provided
by the Administrator, if at the time of death Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option will immediately revert to the Plan. If the Option is not so exercised within the time
specified herein, the Option will terminate, and the Shares covered by such Option will revert to the Plan. 
 7. Restricted Stock. 
 (a) Grant of Restricted Stock. Subject to the terms and provisions of the Plan, the Administrator, at any time and from time to time, may grant
Shares of Restricted Stock to Service Providers in such amounts as the Administrator, in its sole discretion, will determine. 
 (b)
Restricted Stock Agreement. Each Award of Restricted Stock will be evidenced by an Award Agreement that will specify the Period of Restriction, the number of Shares granted, and such other terms and conditions as the Administrator, in its
sole discretion, will determine. Notwithstanding the foregoing, during any Fiscal Year no Participant will receive more than an aggregate of 150,000 Shares of Restricted Stock; provided, however, that in connection with a Participant’s initial
service as an Employee, an Employee may be granted an aggregate of up to an additional 250,000 Shares of Restricted Stock. Unless the Administrator determines otherwise, Shares of Restricted Stock will be held by the Company as escrow agent until
the restrictions on such Shares have lapsed. 
 (c) Transferability. Except as provided in this Section 7, Shares of Restricted
Stock may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated until the end of the applicable Period of Restriction. 
 (d) Other Restrictions. The Administrator, in its sole discretion, may impose such other restrictions on Shares of Restricted Stock as it may deem advisable or appropriate. 
 (e) Removal of Restrictions. Except as otherwise provided in this Section 7, Shares of Restricted Stock covered by each Restricted Stock
grant made under the Plan will be released from escrow as soon as practicable after the last day of the Period of Restriction. The Administrator, in its discretion, may accelerate the time at which any restrictions will lapse or be removed.

  

 11 

 (f) Voting Rights. During the Period of Restriction, Service Providers holding Shares of
Restricted Stock granted hereunder may exercise full voting rights with respect to those Shares, unless the Administrator determines otherwise. 
 (g) Dividends and Other Distributions. During the Period of Restriction, Service Providers holding Shares of Restricted Stock will be entitled to receive all dividends and other distributions paid with respect to such Shares unless
otherwise provided in the Award Agreement. If any such dividends or distributions are paid in Shares, the Shares will be subject to the same restrictions on transferability and forfeitability as the Shares of Restricted Stock with respect to which
they were paid. 
 (h) Return of Restricted Stock to Company. On the date set forth in the Award Agreement, the Restricted Stock for
which restrictions have not lapsed will revert to the Company and again will become available for grant under the Plan. 
 (i)
Section 162(m) Performance Restrictions. For purposes of qualifying grants of Restricted Stock as “performance-based compensation” under Section 162(m) of the Code, the Administrator, in its discretion, may set
restrictions based upon the achievement of Performance Goals. The Performance Goals will be set by the Administrator on or before the Determination Date. In granting Restricted Stock which is intended to qualify under Section 162(m) of the
Code, the Administrator will follow any procedures determined by it from time to time to be necessary or appropriate to ensure qualification of the Award under Section 162(m) of the Code (e.g., in determining the Performance Goals). 

8. Stock Appreciation Rights. 
 (a) Grant of
SARs. Subject to the terms and conditions of the Plan, a SAR may be granted to Service Providers at any time and from time to time as will be determined by the Administrator, in its sole discretion. 
 (b) Number of Shares. The Administrator will have complete discretion to determine the number of SARs granted to any Participant, provided that
during any Fiscal Year, no Participant will be granted SARs covering more than 500,000 Shares. Notwithstanding the foregoing limitation, in connection with a Participant’s initial service as an Employee, an Employee may be granted SARs covering
up to an additional 1,500,000 Shares. 
 (c) Exercise Price and Other Terms. The Administrator, subject to the provisions of the Plan,
will have complete discretion to determine the terms and conditions of SARs granted under the Plan. In the case of a freestanding SAR, the exercise price will be not less than 100% of the Fair Market Value of a Share on the date of grant. The
exercise price of a tandem or affiliated SARs will equal the exercise price of the related Option. 
 (d) SAR Agreement. Each SAR
grant will be evidenced by an Award Agreement that will specify the exercise price, the term of the SAR, the conditions of exercise, and such other terms and conditions as the Administrator, in its sole discretion, will determine. 
  

 12 

 (e) Expiration of SARs. A SAR granted under the Plan will expire upon the date determined by the
Administrator, in its sole discretion, and set forth in the Award Agreement. Notwithstanding the foregoing, the rules of Section 6(d) also will apply to SARs. 
 (f) Payment of SAR Amount. Upon exercise of a SAR, a Participant will be entitled to receive payment from the Company in an amount determined by multiplying: 
 (i) The difference between the Fair Market Value of a Share on the date of exercise over the exercise price; times 
 (ii) The number of Shares with respect to which the SAR is exercised. 
 At the discretion of the Administrator, the payment upon SAR exercise may be in cash, in Shares of equivalent value, or in some combination thereof. 
 9. Performance Units and Performance Shares. 
 (a) Grant of Performance Units/Shares.
Performance Units and Performance Shares may be granted to Service Providers at any time and from time to time, as will be determined by the Administrator, in its sole discretion. The Administrator will have complete discretion in determining the
number of Performance Units/Shares granted to each Participant provided that during any Fiscal Year, (a) no Participant will receive Performance Units having an initial value greater than $500,000 and (b) no Participant will receive more
than 150,000 Performance Shares. Notwithstanding the foregoing limitation, in connection with a Participant’s initial service as an Employee, an Employee may be granted up to an additional 250,000 Performance Shares. 
 (b) Value of Performance Units/Shares. Each Performance Unit will have an initial value that is established by the Administrator on or before the
date of grant. Each Performance Share will have an initial value equal to the Fair Market Value of a Share on the date of grant. 
 (c)
Performance Objectives and Other Terms. The Administrator will set performance objectives or other vesting provisions (including, without limitation, continued status as a Service Provider) in its discretion which, depending on the extent to
which they are met, will determine the number or value of Performance Units/Shares that will be paid out to the Participant. Each Award of Performance Units/Shares will be evidenced by an Award Agreement that will specify the Performance Period, and
such other terms and conditions as the Administrator, in its sole discretion, will determine. 
 (i) General Performance
Objectives. The Administrator may set performance objectives based upon the achievement of Company-wide, divisional, or individual goals, or any other basis determined by the Administrator in its discretion. 
 (ii) Section 162(m) Performance Objectives. For purposes of qualifying grants of Performance Units/Shares as
“performance-based compensation” under Section 162(m) of the Code, the Administrator, in its discretion, may determine that the performance objectives applicable to Performance Units/Shares will be based on the achievement of
Performance Goals. The Administrator will set the Performance Goals on or before the Determination Date. In granting Performance Units/Shares which are intended to qualify under Section 162(m) of the 

  

 13 

 
Code, the Administrator will follow any procedures determined by it from time to time to be necessary or appropriate to ensure qualification of the
Performance Units/Shares under Section 162(m) of the Code (e.g., in determining the Performance Goals). 
 (d) Earning of Performance
Units/Shares. After the applicable Performance Period has ended, the holder of Performance Units/Shares will be entitled to receive a payout of the number of Performance Units/Shares earned by the Participant over the Performance Period, to be
determined as a function of the extent to which the corresponding performance objectives or other vesting provisions have been achieved. After the grant of a Performance Unit/Share, the Administrator, in its sole discretion, may reduce or waive any
performance objectives or other vesting provisions for such Performance Unit/Share. 
 (e) Form and Timing of Payment of Performance
Units/Shares. Payment of earned Performance Units/Shares will be made as soon as practicable after the expiration of the applicable Performance Period. The Administrator, in its sole discretion, may pay earned Performance Units/Shares in the
form of cash, in Shares (which have an aggregate Fair Market Value equal to the value of the earned Performance Units/Shares at the close of the applicable Performance Period) or in a combination thereof. 
 (f) Cancellation of Performance Units/Shares. On the date set forth in the Award Agreement, all unearned or unvested Performance Units/Shares will
be forfeited to the Company, and again will be available for grant under the Plan. 
 10. Other Stock Awards. In addition to the incentives described
in Sections 6 through 9 above, the Administrator may grant other incentives payable in Shares or cash under the Plan as it determines to be in the best interests of the Company and subject to such other terms and conditions as it deems appropriate.

 11. Leaves of Absence. Unless the Administrator provides otherwise, vesting of Awards granted hereunder will be suspended during any unpaid leave
of absence. A Service Provider will 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, its Parent, or any Subsidiary. For
purposes of Incentive Stock Options, no such leave may exceed ninety (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 (3) months following the 91st day of such leave any Incentive Stock Option held by the Participant will cease to be treated as an Incentive Stock Option and will be treated for tax purposes as a
Nonstatutory Stock Option. 
 12. Transferability of Awards. Unless determined otherwise by the Administrator, an Award may not be sold, pledged,
assigned, hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised, during the lifetime of the Participant, only by the Participant. If the Administrator makes an Award
transferable, such Award will contain such additional terms and conditions as the Administrator deems appropriate. 
  

 14 

 13. Awards to Outside Directors 
 (a) General. Outside Directors will be entitled to receive all types of Awards under this Plan, including discretionary Awards not covered under this Section 13. All grants of Options to Outside Directors
pursuant to this Section will be automatic and nondiscretionary, except as otherwise provided herein, and will be made in accordance with the following provisions: 
 (b) Granting of Awards. 
 (i) First Option. Each Outside Director who becomes
an Outside Director after the effective date of this Plan will be automatically granted a Nonstatutory Stock Option to purchase 30,000 Shares (the “First Option”) on the date on which such person first becomes an Outside Director, whether
through election by the stockholders of the Company or appointment by the Board to fill a vacancy; provided, however, that an Inside Director who ceases to be an Inside Director but who remains a Director will not receive a First Option. 

(ii) Subsequent Option. Each Outside Director will be automatically granted an Option to purchase 7,500 Shares (a
“Subsequent Option”) on June 30 of each year provided he or she is then an Outside Director and if, as of such date, he or she shall have served on the Board as an Outside Director for at least the preceding twelve (12) months.

 (c) Terms of Options. The terms of First Options and Subsequent Options granted hereunder will be as follows: 
 (i) the term of each Option will be ten (10) years. 
 (ii) the exercise price per Share will be 100% of the Fair Market Value per Share on the date of grant (with the Fair Market Value to be
determined in accordance with the definition of such term in Section 2 hereof). 
 (iii) 25% of the Shares subject to the
First Option will vest twelve (12) months after the date of grant, and 1/48 of the Shares subject to the First Option will vest each month thereafter so that 100% of the Shares subject to the First Option will be vested four (4) years from
the grant date, subject to the Outside Director remaining on through each such vesting date. 
 (iv) the Subsequent Option
shall become exercisable as to 100% of the Shares subject to the Subsequent Option on date of grant, provided that the Outside Director continues to serve as a Director on such date. 
 (d) In the event that any Option granted under the Plan would cause the number of Shares subject to outstanding Options plus the number of Shares
previously purchased under Awards to exceed the maximum number of shares that may be awarded and sold under the Plan, then the remaining Shares available for grant shall be granted under Options to the Outside Directors on a pro rata basis. No
further grants shall be made until such time, if any, as additional Shares become available for grant under the Plan through action of the Board or the stockholders to increase the number of Shares which may be issued under the Plan or through
cancellation or expiration of Awards previously granted hereunder. 
  

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 14. Adjustments; Dissolution or Liquidation; Merger or Change in Control. 
 (a) Adjustments. Subject to Sections 14(b) and 14(c), upon (or, as may be necessary to effect the adjustment, immediately prior to): any
reclassification, recapitalization, stock split (including a stock split in the form of a stock dividend) or reverse stock split; any merger, combination, consolidation, or other reorganization; any spin-off, split-up, or similar extraordinary
dividend distribution in respect of the Common Stock; or any exchange of Common Stock or other securities of the Company, or any similar, unusual or extraordinary corporate transaction in respect of the Common Stock; then the Administrator shall
equitably and proportionately adjust (1) the number and type of shares of Common Stock (or other securities) that thereafter may be made the subject of Awards (including the specific share limits, maximums and numbers of shares set forth
elsewhere in the Plan), (2) the number, amount and type of shares of Common Stock (or other securities or property) subject to any outstanding Awards, (3) the grant, purchase, or exercise price of any outstanding Awards, and/or
(4) the securities, cash or other property deliverable upon exercise or payment of any outstanding Awards, in each case to the extent necessary to preserve (but not increase) the level of incentives intended by the Plan and the then-outstanding
Awards. 
 Unless otherwise expressly provided in the applicable Award Agreement, upon (or, as may be necessary to effect the adjustment,
immediately prior to) any event or transaction described in the preceding paragraph or a sale of all or substantially all of the business or assets of the Company as an entirety, the Administrator shall equitably and proportionately adjust the
performance standards applicable to any then-outstanding performance-based Awards to the extent necessary to preserve (but not increase) the level of incentives intended by the Plan and the then-outstanding performance-based Awards. 
 It is intended that, if possible, any adjustments contemplated by the preceding two paragraphs be made in a manner that satisfies applicable U.S. legal,
tax (including, without limitation and as applicable in the circumstances, Section 424 of the Code, Section 409A of the Code and Section 162(m) of the Code) and accounting (so as to not trigger any charge to earnings with respect to
such adjustment) requirements. 
 Without limiting the generality of Section 4(c), any good faith determination by the Administrator as
to whether an adjustment is required in the circumstances pursuant to this Section 14(a), and the extent and nature of any such adjustment, shall be conclusive and binding on all persons. 
 (b) Dissolution or Liquidation. In the event of the proposed dissolution or liquidation of the Company, the Administrator will notify each
Participant as soon as practicable prior to the effective date of such proposed transaction. To the extent it has not been previously exercised, an Award will terminate immediately prior to the consummation of such proposed action. 
 (c) Change in Control. In the event of a Change in Control, each outstanding Award will be assumed or an equivalent option or right substituted by
the successor corporation or a Parent or Subsidiary of the successor corporation. In the event that the successor corporation refuses to assume or substitute for the Award, the Participant will fully vest in and have the right to exercise all of his
or her outstanding Options and Stock Appreciation Rights, including Shares as 

  

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to which such Awards would not otherwise be vested or exercisable, all restrictions on Restricted Stock will lapse, and, with respect to Performance Shares
and Performance Units, all Performance Goals or other vesting criteria will be deemed achieved at target levels and all other terms and conditions met. In addition, if an Option or Stock Appreciation Right becomes fully vested and exercisable in
lieu of assumption or substitution in the event of a Change in Control, the Administrator will notify the Participant in writing or electronically that the Option or Stock Appreciation Right will be fully vested and exercisable for a period of time
determined by the Administrator in its sole discretion, and the Option or Stock Appreciation Right will terminate upon the expiration of such period. 
 With respect to Awards granted to Outside Directors that are assumed or substituted for, if on the date of or following such assumption or substitution the Participant’s status as a Director or a director of the
successor corporation, as applicable, is terminated other than upon a voluntary resignation by the Participant, then the Participant will fully vest in and have the right to exercise Options and/or Stock Appreciation Rights as to all of the Shares
subject thereto, including Shares as to which such Awards would not otherwise be vested or exercisable, all restrictions on Restricted Stock will lapse, and, with respect to Performance Shares and Performance Units, all Performance Goals or other
vesting criteria will be deemed achieved at target levels and all other terms and conditions met. 
 For the purposes of this
Section 14(c), an Award will be considered assumed if, following the Change in Control, the Award confers the right to purchase or receive, for each Share subject to the Award immediately prior to the Change in Control, the consideration
(whether stock, cash, or other securities or property) or, in the case of a Stock Appreciation Right upon the exercise of which the Administrator determines to pay cash or a Performance Share or Performance Unit which the Administrator can determine
to pay in cash, the fair market value of the consideration received in the merger or Change in Control by holders of Common Stock for each Share held on the effective date of the transaction (and if holders were offered a choice of consideration,
the type of consideration chosen by the holders of a majority of the outstanding Shares); provided, however, that if such consideration received in the Change in Control is not solely common stock of the successor corporation or its Parent, the
Administrator may, with the consent of the successor corporation, provide for the consideration to be received upon the exercise of an Option or Stock Appreciation Right or upon the payout of a Performance Share or Performance Unit, for each Share
subject to such Award (or in the case of Performance Units, the number of implied shares determined by dividing the value of the Performance Units by the per share consideration received by holders of Common Stock in the Change in Control), to be
solely common stock of the successor corporation or its Parent equal in fair market value to the per share consideration received by holders of Common Stock in the Change in Control. 
 Notwithstanding anything in this Section 14(c) to the contrary, an Award that vests, is earned or paid-out upon the satisfaction of one or more
Performance Goals will not be considered assumed if the Company or its successor modifies any of such Performance Goals without the Participant’s consent; provided, however, a modification to such Performance Goals only to reflect the successor
corporation’s post-Change in Control corporate structure will not be deemed to invalidate an otherwise valid Award assumption. 
  

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 15. Tax Withholding 
 (a) Withholding Requirements. Prior to the delivery of any Shares or cash pursuant to an Award (or exercise thereof), the Company will have the power and the right to deduct or withhold, or require a
Participant to remit to the Company, an amount sufficient to satisfy federal, state, local, foreign or other taxes (including the Participant’s FICA obligation) required to be withheld with respect to such Award (or exercise thereof).

 (b) Withholding Arrangements. The Administrator, in its sole discretion and pursuant to such procedures as it may specify from time
to time, may permit a Participant to satisfy such tax withholding obligation, in whole or in part by (without limitation) (a) paying cash, (b) electing to have the Company withhold otherwise deliverable cash or Shares having a Fair Market
Value equal to the amount required to be withheld, (c) delivering to the Company already-owned Shares having a Fair Market Value equal to the amount required to be withheld, or (d) selling a sufficient number of Shares otherwise
deliverable to the Participant through such means as the Administrator may determine in its sole discretion (whether through a broker or otherwise) equal to the amount required to be withheld. The amount of the withholding requirement will be deemed
to include any amount which the Administrator agrees may be withheld at the time the election is made, not to exceed the amount determined by using the maximum federal, state or local marginal income tax rates applicable to the Participant with
respect to the Award on the date that the amount of tax to be withheld is to be determined. The Fair Market Value of the Shares to be withheld or delivered will be determined as of the date that the taxes are required to be withheld. 
 16. No Effect on Employment or Service. Neither the Plan nor any Award will confer upon a Participant any right with respect to continuing the Participant’s
relationship as a Service Provider with the Company, nor will they interfere in any way with the Participant’s right or the Company’s right to terminate such relationship at any time, with or without cause, to the extent permitted by
Applicable Laws. 
 17. Date of Grant. The date of grant of an Award will be, for all purposes, the date on which the Administrator makes the
determination granting such Award, or such other later date as is determined by the Administrator. Notice of the determination will be provided to each Participant within a reasonable time after the date of such grant. 
 18. Term of Plan. Subject to Section 22 of the Plan, the Plan will become effective upon its adoption by the Board. It will continue in effect for a term of
ten (10) years unless terminated earlier under Section 19 of the Plan. 
 19. Amendment and Termination of the Plan. 
 (a) Amendment and Termination. The Administrator may at any time amend, alter, suspend or terminate the Plan. 
 (b) Stockholder Approval. The Company will obtain stockholder approval of any Plan amendment to the extent necessary and desirable to comply with
Applicable Laws. 
 (c) Effect of Amendment or Termination. No amendment, alteration, suspension or termination of the Plan will
impair the rights of any Participant, unless mutually agreed 

  

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otherwise between the Participant and the Administrator, which agreement must be in writing and signed by the Participant and the Company. Termination of the
Plan will not affect the Administrator’s ability to exercise the powers granted to it hereunder with respect to Awards granted under the Plan prior to the date of such termination. 
 20. Conditions Upon Issuance of Shares. 
 (a) Legal Compliance. Shares will not be issued
pursuant to the exercise of an Award unless the exercise of such Award and the issuance and delivery of such Shares will comply with Applicable Laws and will be further subject to the approval of counsel for the Company with respect to such
compliance. 
 (b) Investment Representations. As a condition to the exercise of an Award, the Company may require the person
exercising such Award to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute such Shares if, in the opinion of counsel for the
Company, such a representation is required. 
 21. 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, will relieve the Company of any liability in respect of the failure to issue or sell such
Shares as to which such requisite authority will not have been obtained. 
 22. Stockholder Approval. The Plan will be subject to approval by the
stockholders of the Company within twelve (12) months after the date the Plan is adopted. Such stockholder approval will be obtained in the manner and to the degree required under Applicable Laws. 
  

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