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                                                                    Exhibit 10.1

                               TRANSGENOMIC, INC.
                           THIRD AMENDED AND RESTATED
                             1997 STOCK OPTION PLAN

                                    ARTICLE I

                                NAME AND PURPOSES

     Section 1.1. NAME. The name of the plan shall be the Transgenomic, Inc.
1997 Stock Option Plan (the "Plan"). The Plan was originally adopted as of the
Effective Date set forth in Section 11.3 hereof and is hereby amended and
restated as provided herein as of the 23rd day of May, 2001.

     Section 1.2. PURPOSE. The purpose of the Plan is to enable the Employees,
directors and Advisors of Transgenomic, Inc. (the "Company") to share in the
growth and prosperity of the Company by encouraging stock ownership by
Employees, directors and Advisors and to assist the Company to obtain and retain
key management personnel. Either Incentive Stock Options or Nonqualified Stock
Options may be granted to Employees of the Company under the Plan but only
Nonqualified Stock Options may be granted to Non-Employee Directors and Advisors
under the Plan.

                                   ARTICLE II

                                   DEFINITIONS

     "ADVISOR" means a person who is not an employee of the Company but who has
agreed to serve as a source of information and advice regarding scientific,
technical or other matters relating to the Company's business and products.

     "BOARD" means the Board of Directors of the Company.

     "CAUSE" means conduct involving fraud, gross negligence, breach of a
fiduciary duty or criminal activity.

     "CHANGE OF CONTROL" means the approval by the Company's shareholders of (a)
a merger or consolidation of the Company with or into another corporation (other
than a merger or consolidation in which the Company is the surviving corporation
and which does not result in any capital reorganization or reclassification or
other change in the Company's then outstanding shares of common stock); (b) a
sale or disposition of all or substantially all of the Company's assets; or (c)
a plan of liquidation or dissolution of the Company.

     "CODE" means the Internal Revenue Code of 1986, as amended.

     "COMMITTEE" means the Compensation Committee of the Board. If the Board
does not have a Compensation Committee, the Board shall constitute the
Compensation Committee.

     "COMPANY" means Transgenomic, Inc., a Delaware corporation, and its
successors.

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     "COMPANY STOCK" means shares of the common stock, par value $.01 per share,
of the Company.

     "EMPLOYEE" means any person employed by the Company as an employee and not
as an independent contractor.

     "EXCHANGE ACT" means the Securities and Exchange Act of 1934, as amended.

     "FAIR MARKET VALUE" means the fair market value of the Company Stock as of
the relevant time under this Agreement. If the Company Stock is not publicly
traded, Fair Market Value shall be reasonably determined by the Committee. If
the Company Stock is publicly traded, then the Fair Market Value will be equal
to the average of the closing sales price per share for the five trading days
immediately preceding the date of the determination.

     "INCENTIVE STOCK OPTION" means any stock option granted to an Employee
under the Plan, which the Committee intends at the time it is granted to be an
incentive stock option within the meaning of Section 422 of the Code.

     "NON-EMPLOYEE DIRECTOR" means any person who is a member of the Board but
is not an Employee of the Company and has not been an Employee of the Company or
any subsidiary of the Company at any time during the preceding 12 months.
Service as a director does not in itself constitute employment for purposes of
this definition.

     "NONQUALIFIED STOCK OPTION" means any stock option granted to an Employee,
Non-Employee Director or Advisor under the Plan which is not a stock option
within the meaning of Section 422 of the Code.

     "OPTIONEE" is any Employee, Non-Employee Director or Advisor who has been
granted Options under the Plan.

     "OPTIONS" mean Nonqualified Stock Options and Incentive Stock Options.

     "PARTICIPANT" means any Employee, Non-Employee Director or Advisor who
meets the requirements for participation in the Plan as described in Article
III.

     "PERMANENT AND TOTAL DISABILITY" means, as determined by the Committee, an
illness or injury of a potentially permanent nature, expected to last for a
continuous period of at least 12 months, certified by a physician selected by or
satisfactory to the Committee, which prevents the Participant from engaging in
any occupation for wage or profit for which the Participant is reasonably fitted
by training, education or experience.

     "QUALIFYING STOCK" means Company Stock which has been owned by an Employee
for at least six months prior to the date of exercise of an Option and has not
been used in a stock-for-stock swap transaction within the preceding six months.

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                                   ARTICLE III

                          ELIGIBILITY AND PARTICIPATION

     Every Employee, Non-Employee Director and Advisor shall be eligible to
become a Participant in the Plan. Only Employees shall be eligible for the
Incentive Stock Options, and Employees, Non-Employee Directors and Advisors
shall be eligible for the Nonqualified Stock Options. The Committee shall
determine the number and type of Options granted and Participants to receive
awards under the Plan.

                                   ARTICLE IV

                                OPTION CONDITIONS

     Section 4.1. NO OPTION COMBINATIONS. Options under the Plan may only be
granted as either Incentive Stock Options or as Nonqualified Stock Options
dependent upon whether the Participant is an Employee, a Non-Employee Director
or an Advisor. Incentive Stock Options may only be granted to Employees, and
Nonqualified Stock Options may be granted to Employees, Non-Employee Directors
or Advisors.

     Section 4.2. OPTION CONDITIONS. Without limiting the Committee's authority,
the Committee may make the grant of Options conditional upon an election by a
Participant to defer payment of a portion of his or her compensation and subject
to any condition or conditions consistent with the terms of the Plan that the
Committee in its sole discretion may determine.

     Section 4.3. COMMITTEE MEMBERS. Voting members of the Committee shall
neither receive any Option pursuant to the Plan while serving on the Committee
unless such an Option is a formula award within the meaning of Rule 16b-3 under
the Exchange Act nor have received any such Option or any other grant or award
of equity securities pursuant to the Plan or any other plan of the Company or
any of its affiliates or subsidiaries at any time within one year prior to his
or her service on the Committee or, if different, for the time period necessary
to fulfill the then current requirements of Rule 16b-3 under the Exchange Act.
However, provided that, if for any reason the Committee does not qualify to
administer the Plan, as contemplated by Rule 16b-3 of the Exchange Act, then the
Board may appoint a new Committee so as to comply with Rule 16b-3.

     Section 4.4. EFFECTIVE DATE OF PRIOR SECTION. Section 4.3 hereof shall take
effect on the day following the date on which a registration statement filed by
the Company with the Securities and Exchange Commission is first declared
effective under the Securities Act of 1933, as amended.

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                                    ARTICLE V

                          COMPANY STOCK SUBJECT TO PLAN

     The total number of Company Stock for which Options may be granted under
the Plan shall not exceed 7,000,000 shares of Company Stock subject always to
the provisions of Article VIII. The Company Stock issued under the Plan may be
authorized and unissued shares or treasury shares.

     In the event that any outstanding Option issued pursuant to the Plan shall
expire or terminate, additional Options for the number of shares of Company
Stock which were subject to such expired or terminated Options may be granted
under the Plan. In addition, if shares of Company Stock are used by an Optionee
to pay all or a part of the exercise price of any Option (or applicable
withholding taxes), additional Options for the number of shares of Company Stock
so used may be granted under the Plan, including Replacement Options granted
under Section 6.3 hereof.

                                   ARTICLE VI

                                     OPTIONS

     Section 6.1. TERMS OF OPTIONS. (a) The Committee from time to time may
grant Options. Each Option granted shall be embodied in a written agreement
between the Company and the Participant in such form and containing such
provisions as the Committee from time to time shall deem appropriate, consistent
with the requirements of the Plan and this Amendment. Option agreements need not
be identical, and the Option agreement shall specify whether or not an Option is
an Incentive Stock Option.

     (b)  The exercise price for each Option granted under the Plan shall be
fixed by the Committee in good faith, but in no event shall the exercise price
of any Incentive Stock Option be less than 100% of the Fair Market Value of the
Company Stock on the date such Incentive Stock Option is granted.

     (c)  The Committee shall fix the term or duration of all Options issued
under this Plan, provided that such term shall not exceed ten years after the
date on which the Option was granted.

     (d)  At all times during the period beginning on the date of the grant of
an Incentive Stock Option and ending on the day three months before the date of
the exercise of such Incentive Stock Option, the Optionee must be an Employee of
the Company. Options designated as Incentive Stock Options that fail to meet the
requirements of Section 422 of the Code shall be redesignated as Nonqualified
Stock Options for federal income tax purposes automatically without further
action by the Committee on the date of such failure to continue to meet the
requirements of Section 422 of the Code.

     Section 6.2. TRANSFERABILITY OF OPTIONS. Options shall not be transferable
otherwise than by will or the laws of descent and distribution or pursuant to a
qualified domestic relations

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order, as defined in the Code, and during the Participant's lifetime such
Options shall be exercisable only by the Participant.

     Section 6.3. REPLACEMENT OPTION. The Committee may grant a replacement
option (a "Replacement Option") to any Employee who exercises all or part of an
Option granted under this Plan using Qualifying Stock as payment for the
exercise price. A Replacement Option shall grant to the Employee the right to
purchase, at a price not less than the Fair Market Value of the Company Stock as
of the date of said grant, the number of shares of stock equal to the sum of the
number of whole shares (i) used by the Employee in payment of the exercise price
for the Option which was exercised and (ii) used by the Employee in connection
with applicable withholding taxes on such transaction. A Replacement Option may
not be exercised for six months following the date of grant, and shall expire on
the same date as the Option which it replaces.

                                   ARTICLE VII

                                 ADMINISTRATION

     Section 7.1. AUTHORITY OF THE COMMITTEE. (a) The Plan shall be administered
by the Committee. A majority vote of the Committee at which a quorum is present,
or acts reduced to or approved in writing by a majority of the members of the
Committee, shall be the valid acts of the Committee for the purposes of this
Plan.

     (b)  The Committee shall have plenary authority in its discretion, but
subject to the express provisions of the Plan, to determine the terms of all
Options granted under the Plan, including, without limitation, the purchase
price, if any, the Participants to whom and the time or times at which Options
shall be granted, when an Option can be exercised and whether in whole or in
installments, and the number of shares covered by an Option and to interpret the
Plan and to make all other determinations deemed advisable for the
administration of the Plan. All determinations of the Committee shall be made by
not less than a majority of its members. The Committee may designate Employees
of the Company to assist the Committee in the administration of the Plan and may
grant authority to such persons to execute Option agreements or other documents
on behalf of the Committee.

     (c)  The Committee may make such rules and regulations and establish such
procedures as it deems appropriate for the administration of the Plan.

     (d)  In the event of a disagreement as to the interpretation of the Plan or
any amendment hereto or any rule, regulation or procedure thereunder or as to
any right or obligation arising from or related to the Plan, the decision of the
Committee shall be final and binding. No member of the Committee shall be liable
for any action or determination made in good faith with respect to the Plan or
any benefit granted under it.

     Section 7.2. PAYMENT FOR OPTIONS. Payment in full for the number of shares
purchased under any Option shall be made to the Company at the time of such
exercise. The Committee, in its discretion, may provide that any Option by its
terms may permit a Participant to elect, subject to Committee approval, to pay
for an exercised Option in any combination of cash and Company Stock. Shares of
Company Stock used to pay all or a part of the exercise price of an Option will
be valued at their Fair Market Value on the date of the exercise of the Option.

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                                  ARTICLE VIII

                        ADJUSTMENT UPON CHANGES OF STOCK

     If any change is made with respect to the Company Stock by reason of any
stock dividend, stock split or combination of shares, appropriate adjustments
shall be made by the Committee to the maximum number of shares subject to the
Plan and the number of shares and price per share of Company Stock subject to
each outstanding Option. No fractional shares of Company Stock resulting from
any such adjustment shall be issued upon exercise of an Option, but the Fair
Market Value of any such fractional share shall be paid in cash upon such
exercise.

                                   ARTICLE IX

                           EFFECT OF CORPORATE CHANGES

     An Optionee shall not have any additional right to exercise any outstanding
Options, whether or not vested, in whole or in part, solely by reason of any
Change of Control, merger, consolidation, reorganization, recapitalization,
exchange of shares, or change in corporate structure (including an initial
public offering), than such Optionee had prior to such an event. If a Change of
Control, merger, consolidation, reorganization, recapitalization, exchange of
shares, or change in corporate structure (including an initial public offering)
shall occur, the Committee may, but shall not be required to, accelerate or
adjust the vesting of Options, solely at the discretion of the Committee and
subject to the terms of the Plan.

                                    ARTICLE X

                             TERMINATION OF OPTIONS

     Section 10.1. DEATH OF OPTIONEE. (a) If the Optionee shall die at any time
after the date an Option is granted and prior to any termination thereof, the
executor or administrator of the estate of the Optionee or the person or persons
to whom the Option shall have been validly transferred by the executor or the
administrator pursuant to will or the laws of descent and distribution shall
have the right, during the period ending one year after the date of the
Optionee's death, to exercise the Option to the extent that it was exercisable
at the date of death and shall not have been exercised. Any Options not
exercised within said time period shall terminate and all rights thereunder
shall cease. In the event of the Optionee's death, any Options not vested as of
the date of the Optionee's death shall become immediately vested; provided,
however, that the Optionee was continuously employed by the Company, or
continuously served on the Board or as an Advisor, for at least three years, or
such shorter period as the Committee determines in its sole discretion.

     (b)  Notwithstanding the foregoing, no transfer of an Option by will or the
laws of descent and distribution shall be effective to bind the Company unless
the Company shall have been furnished with written notice thereof and an
authenticated copy of the will and/or such other evidence as the Committee may
deem necessary to establish the validity of the transfer and the acceptance by
the transferee or transferees of the terms and conditions of the Option.

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     Section 10.2. PERMANENT AND TOTAL DISABILITY. If the Optionee becomes
Permanently and Totally Disabled at any time after the date an Option is granted
and prior to any termination thereof, the Optionee (or in the case of the
Optionee becoming mentally incapacitated, his guardian or legal representative)
shall have the right, during a period ending one year after such Permanent and
Total Disability, to exercise the Option to the extent that it was exercisable
at the date of such Permanent and Total Disability and shall not have been
exercised. Any Options not exercised within said time period shall terminate and
all rights thereunder shall cease. In the event of the Optionee's Permanent and
Total Disability, any Options not vested as of the date of the Optionee's
Permanent and Total Disability shall become immediately vested; provided,
however, that the Optionee was continuously employed by the Company, or
continuously served on the Board or as an Advisor, for at least three years, or
such shorter period as the Committee determines in its sole discretion.

     Section 10.3. OTHER. (a) In the event of an Optionee's termination of
employment with the Company or from the Board or as an Advisor, or in the event
an Optionee's employment is terminated for any reason other than death or
Permanent and Total Disability, any Options not vested as of the date of the
Optionee's resignation or termination shall immediately terminate and all rights
thereunder shall cease unless the Committee determines otherwise in its sole
discretion.

     (b) If the Optionee's employment or directorship with the Company or
service as an Advisor is terminated by the Company for Cause, the Optionee's
right to exercise an Option, whether or not vested, shall immediately terminate
and all rights thereunder shall cease unless the Committee determines otherwise
in its sole discretion.

                                   ARTICLE XI

                                  MISCELLANEOUS

     Section 11.1. RIGHTS OF EMPLOYEES AND NON-EMPLOYEE DIRECTORS. Neither this
Plan nor any Option granted hereunder shall confer upon any Employee or
Non-Employee Director any right to continue to serve as an employee or director
of the Company.

     Section 11.2. WITHHOLDING. The Company shall have the right to withhold
with respect to any payments made to Participants under the Plan any taxes
required by law to be withheld because of such payments. With respect to any
such withholding:

          (a)  Each Participant shall take whatever action that the Committee
     deems appropriate to comply with the law regarding withholding of federal,
     state and local taxes.

          (b)  When a Participant is obligated to pay to the Company an amount
     required to be withheld under applicable income tax laws in connection with
     an Option, the Committee may, in its discretion and subject to such rules
     as it may adopt, permit the Participant to satisfy this obligation, in
     whole or in part, either (i) by having the Company withhold from the shares
     to be issued upon the exercise of an Option or (ii) by delivering to the
     Company already-owned shares to satisfy the withholding amount.

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     Section 11.3. EFFECTIVE DATE. This Plan is effective on June 27, 1997
("Effective Date"). Options hereunder may be granted at any time subject to the
limitations contained within the Plan. No Company Stock may be issued unless the
Plan is approved by a vote of the holders of a majority, or as otherwise
provided in the Company's First Amended and Restated Articles of Incorporation,
of the outstanding shares of the Company's common stock at a meeting of the
stockholders of the Company held within 12 months following the Effective Date.

                                   ARTICLE XII

                                  MISCELLANEOUS

     Section 12.1. AMENDMENT. The Board may amend the Plan from time to time as
it deems desirable or as necessitated by any applicable rules and regulations
and such amendments shall include the ability of the Board to amend the Plan
and, with shareholder approval, to increase the number of shares subject to the
Plan; provided, however, the Plan may not be amended to decrease the price at
which Incentive Stock Options may be granted. Any amendment to the Plan shall
not apply to (i) Options granted to Non-Employee Directors prior to the
effective date of the amendment or (ii) Options granted to Employees or Advisors
that have vested prior to the effective date of the amendment unless, in either
case, it has been otherwise agreed to, in writing, by the Committee and the
affected Plan Participant.

     Section 12.2. TERMINATION OF PLAN. The Board may, in its discretion,
terminate the Plan at any time, but no such termination shall deprive
Participants of their rights under outstanding Options.

     Section 12.3. GOVERNING LAW. This Plan shall be construed in accordance
with and governed by the laws of the State of Delaware.

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                                                                    Exhibit 10.2

                               TRANSGENOMIC, INC.
                              AMENDED AND RESTATED
                        2001 EMPLOYEE STOCK PURCHASE PLAN

     Section 1. PURPOSE. The purpose of the Transgenomic, Inc. 2001 Employee
Stock Purchase Plan (the "Plan") is to provide an opportunity to current
employees of Transgenomic, Inc. (the "Company") or any Participating Subsidiary
of the Company to purchase its Common Stock. By encouraging such stock
ownership, the Company seeks to attract, retain and motivate such employees to
devote their best efforts to the financial success of the Company. It is
intended that the Plan qualify as an "employee stock purchase plan" under
Section 423 of the Internal Revenue Code of 1986, as amended (the "Code"). In
addition, the Plan authorizes the grant of Options and issuance of Common Stock
which do not qualify under Section 423 of the Code pursuant to sub-plans adopted
by the Committee designed to achieve desired tax or other objectives in
particular locations outside the United States.

     Section 2. DEFINITIONS. For purposes of the Plan, the following terms used
herein shall have the following meanings, unless a different meaning is clearly
required by the context.

     2.01. "BASE PAY" shall mean the monthly pay rate of a salaried Employee or
the hourly pay rate of an hourly Employee. Base Pay shall not include payments
for overtime, allowances, bonuses and other special payments, commissions and
other marketing incentive payments.

     2.02. "BOARD OF DIRECTORS" shall mean the Board of Directors of the
Company.

     2.03. "COMMITTEE" shall mean the committee of the Board of Directors
referred to in Section 5 hereof.

     2.04. "COMMON STOCK" shall mean the Class A Common Stock of the Company.

     2.05. "EMPLOYEE" shall mean any person, including any officer or
employee-director of the Company or any Participating Subsidiary of the Company,
who is actively and customarily employed for 20 hours or more per week by the
Company or a Participating Subsidiary of the Company.

     2.06. "FAIR MARKET VALUE" shall mean the closing last trade on the date in
question, as such price is reported by the National Association of Securities
Dealers on the NASDAQ National Market or any successor system for a share of
Common Stock.

     2.07. "OFFERING" shall have the meaning described in Section 4.01.

     2.08. "OPTION" shall mean any option to purchase Common Stock granted to an
Employee pursuant to this Plan.

     2.09. "PARTICIPANT" shall mean any Employee that is eligible to participate
in the Plan in accordance with Section 3 and who elects to participate in the
Plan.

     2.10 "PARTICIPATING SUBSIDIARY OF THE COMPANY" means any Subsidiary of the
Company that has been designated by the Board of Directors as eligible to
participate in the Plan with respect to its Employees.

     2.11. "PARTICIPATION PERIOD" shall mean the period beginning on December 1,
2001 and ending on February 28, 2002 and each three-month period thereafter
during the term of the Plan. The Plan shall be in effect from December 1, 2001,
to November 30, 2006. There shall be twenty Participation Periods during the
term of the Plan.

     2.12. "SUBSIDIARY OF THE COMPANY" means any foreign or U.S. domestic
corporation (other than the Company) in an unbroken chain of corporations
beginning with the Company if each of the corporations other than the last
corporation in the unbroken chain owns stock possessing 50 percent or more of
the total combined voting power of all classes of stock in one of the other
corporations in such chain.

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     Section 3. ELIGIBILITY AND PARTICIPATION. The following provisions shall
govern the eligibility of Employees to participate in the Plan.

     3.01. ELIGIBILITY. Any Employee who shall have completed three months of
employment with the Company or any Participating Subsidiary of the Company shall
be eligible to participate in the Offering as of the first day of the next
Participation Period; PROVIDED, HOWEVER, that any Employee who has terminated
his or her participation in the Offering pursuant to Section 9.01 hereof will
not be eligible to again participate in the Offering until the first day of the
second Participation Period to begin after the date of such termination. The
Committee may also determine that a designated group of highly compensated
Employees are ineligible to participate in the Plan so long as the excluded
category fits within the definition of "highly compensated employee" in Code
Section 414(q). The Committee may impose restrictions on eligibility and
participation of Employees who are officers or directors to facilitate
compliance with federal or state securities laws or foreign laws.

     3.02. RESTRICTIONS ON PARTICIPATION. Notwithstanding any provisions of the
Plan to the contrary, no Employee shall be granted an Option under the Plan:

     (a)  if, immediately after such grant, such Employee would own stock
possessing five percent or more of the total combined voting power or value of
all classes of stock of the Company or any Subsidiary of the Company, such
ownership to be determined by applying the rules of Section 424(d) of the Code
and treating stock which the employee may purchase under outstanding options as
stock owned by the Employee; or

     (b)  which would permit his or her rights to purchase stock under the Plan
(and under any other plans of the Company or any Subsidiary of the Company
qualifying under Section 423 of the Code) to accrue at a rate which exceeds the
lesser of (i) $25,000 or (ii) 10% of the Employee's Base Pay of fair market
value of the stock (determined on the basis of the fair market value of the
stock at the time such Option is granted) for each calendar year in which such
Option is outstanding.

     3.03. COMMENCEMENT OF PARTICIPATION. A Participant may elect to participate
in the Offering by executing the enrollment form prescribed for such purpose by
the Committee which enrollment form may include an application for an account
with the Company's designated broker. A Participant will begin participation in
the Offering on the first day of the next Participation Period to begin after
submission of the Participant's enrollment form as long as such enrollment form
is submitted to the Committee at least 15 days prior to the first day of such
Participation Period. Participants that submit their enrollment form after such
date will begin participation in the Offering on the first day of the following
Participation Period (provided that their enrollment forms are submitted at
least 15 days prior to the first day of such following Participation Period).
The Participant shall designate on the enrollment form the percentage of his or
her Base Pay which he or she elects to have withheld for the purchase of Common
Stock, which may be any whole percentage from 1% to 10%. Once enrolled, a
Participant will continue to participate in the Plan for each succeeding
Participation Period until he or she terminates participation or ceases to
qualify as an Employee.

     Section 4. COMMON STOCK SUBJECT TO THE PLAN.

     4.01. NUMBER OF SHARES. The total number of shares of Common Stock for
which Options may be granted under this Plan shall not exceed in the aggregate
500,000 shares of Common Stock. The Plan will be implemented by an Offering of
shares of Common Stock (the "Offering"). The Offering shall begin on December 1,
2001 and shall terminate on November 30, 2006.

     4.02. REISSUANCE. The shares of Common Stock that may be subject to Options
granted under this Plan may be either authorized and unissued shares of Common
Stock or shares of Common Stock reacquired at any time and now or hereafter held
as treasury stock of the Company as the Committee may determine. In the event
that any outstanding Option expires or is terminated for any reason, the shares
allocable to the unexercised portion of such Option may again be subject to an
Option granted under this Plan. If any shares of Common Stock acquired pursuant
to the exercise of an Option shall have been repurchased by the Company, then
such shares shall again become available for issuance pursuant to the Plan.

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     Section 5. ADMINISTRATION OF THE PLAN.

     5.01. COMMITTEE. The Plan shall be administered by the Compensation
Committee of the Board of Directors, or such other committee established by the
Board of Directors (the "Committee") consisting of no less than two persons. The
Committee shall be appointed from time to time by, and shall serve at the
pleasure of, the Board of Directors.

     5.02. INTERPRETATION. The Committee shall be authorized (i) to interpret
the Plan and decide any matters arising thereunder, and (ii) to adopt such
rules, regulations and procedures, not inconsistent with the provisions of the
Plan, as it may deem advisable to carry out the purpose of this Plan.

     5.03. FINALITY. The interpretation and construction by the Committee of any
provision of the Plan, any Option granted hereunder or any agreement evidencing
any such Option shall be final, conclusive and binding upon all parties.

     5.04. VOTING BY COMMITTEE MEMBERS. Only members of the Committee shall vote
on any matter affecting the administration of the Plan or the granting of
Options under the Plan.

     5.05. EXPENSES. All expenses and liabilities incurred by the Committee in
the administration of the Plan shall be borne by the Company. The Committee may
employ attorneys, consultants, accountants or other persons in connection with
the administration of the Plan. The Company, and its officers and directors,
shall be entitled to rely upon the advice, opinions or valuations of any such
persons. No member of the Board of Directors or the Committee shall be liable
for any action, determination or interpretation taken or made in good faith with
respect to the Plan or any Option granted hereunder.

     5.06 NON-U.S. PARTICIPATION. The Committee may adopt rules or procedures
relating to the operation and administration of the Plan to accommodate the
specific requirements of local laws and procedures. Without limiting the
generality of the foregoing, the Committee is specifically authorized to adopt
rules and procedures regarding handling of payroll deductions, payment of
interest, conversion of local currency, payroll tax and withholding procedures
which vary with local requirements. With respect to any Participating Subsidiary
which employs Participants who reside outside of the United States, and
notwithstanding anything herein to the contrary, the Committee may in its sole
discretion amend or vary the terms of the Plan in order to conform such terms
with the requirements of local law or to meet the objectives and purpose of the
Plan, and the Committee may, where appropriate, establish one or more sub-plans
to reflect such amended or varied provisions which sub-plans may be designed to
be outside the scope of Code Section 423. The provisions of such sub-plans may
take precedence over other provisions of the Plan, with the exception of Section
4.01, but unless otherwise superseded by the terms of such sub-plan, the
provisions of the Plan shall govern the operation of such sub-plan.

     Section 6. PAYROLL DEDUCTIONS.

     6.01. AMOUNT OF DEDUCTION. At the time a Participant files his or her
enrollment form authorizing payroll deductions pursuant to Section 3.03, he or
she shall elect to have deductions made from his or her Base Pay on each payday
during the time he or she is a Participant in the Offering.

     6.02. PARTICIPANT'S ACCOUNT; NO INTEREST. All payroll deductions made for a
Participant shall be credited to his or her account under the Plan. A
Participant may not make any separate cash payment into such account. No
interest shall accrue on amounts credited to a Participant's account under the
Plan, regardless of whether or not the funds in such account are ultimately used
to acquire shares of Common Stock, unless required under local law.

     6.03. CHANGES IN PAYROLL DEDUCTIONS. A Participant may change the rate of
payroll deductions, effective for the next Participation Period, by filing a new
enrollment form with the Committee at any time prior to the first day of the
Participation Period for which such change is to be effective. A Participant may
also discontinue his or her participation in the Plan by notifying the Committee
in accordance with the procedures established by the Committee for such purpose.

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     6.04. USE OF FUNDS. All payroll deductions received or held by the Company
under the Plan may be used by the Company for any corporate purpose, and the
Company shall not be obligated to segregate such payroll deductions unless
required under local law.

     Section 7. GRANT OF OPTION.

     7.01. TERMS AND CONDITIONS. A description of the terms and conditions of
the Plan shall be made available to Participants in such form and manner as the
Committee shall approve.

     7.02. NUMBER OF OPTION SHARES. On the first business day of each
Participation Period during the term of the Plan, each Participant shall be
deemed to have been granted an Option, subject to the limitations of Section
3.02, to purchase a maximum number of shares of Common Stock during the
Participation Period equal to the number obtained by multiplying (i) the
percentage of the Employee's Base Pay for that Participation Period which he or
she has elected to have withheld pursuant to Section 6.01 by (ii) the Employee's
Base Pay for that Participation Period and dividing the resulting product by
(iii) 85% of the Fair Market Value of one share of Common Stock of the Company
on the first business day or on the last business day of that Participation
Period, whichever is lower, provided, however, that in no event shall the total
number of shares of Common Stock for which Options are granted exceed the number
of shares set forth in Section 4.01. If the total number of shares of Common
Stock for which Options would have been granted to Participants pursuant to the
preceding sentence would have exceeded the number of shares set forth in Section
4.01 (absent the proviso in the preceding sentence), the Committee shall make a
pro rata allocation of the shares of Common Stock available for grant to
Participants' Options in such manner as it shall determine, in its sole
discretion, to be reasonably practicable, uniform and equitable.

     7.03. OPTION PRICE. The Option price per share of the Common Stock subject
to an Option shall be 85% of the Fair Market Value of one share of Common Stock
on the first business day or on the last business day of the applicable
Participation Period, whichever is lower.

     7.04. INTEREST IN OPTION STOCK. A Participant shall have no interest in
shares of Common Stock covered by his or her Option until such Option has been
exercised.

     7.05. TRANSFERABILITY. Neither payroll deductions credited to a
Participant's account nor Options granted to a Participant shall be transferable
other than by will or the laws of descent and distribution and, during a
Participant's lifetime, an Option shall be exercisable only by the Participant.

     7.06 TAX WITHHOLDING. In the event that the Company or any Subsidiary of
the Company is required to withhold any Federal, state, local or foreign taxes
in respect of any compensation income realized by the Participant as a result of
any "disqualifying disposition" of any shares of Common Stock acquired upon
exercise of an Option granted hereunder, the Company or such Subsidiary of the
Company shall deduct from any payments of any kind otherwise due to such
Participant the aggregate amount of such Federal, state, local or foreign taxes
required to be so withheld or, if such payments are insufficient to satisfy such
Federal, state, local or foreign taxes, such Participant will be required to pay
to the Company or such Subsidiary of the Company, or make other arrangements
satisfactory to the Company or such Subsidiary of the Company regarding payment
to the Company or such Subsidiary of the Company of, the aggregate amount of any
such taxes. All matters with respect to the total amount of taxes to be withheld
in respect of any such compensation income shall be determined by the Committee
in its sole discretion. Subject to approval by the Committee, a Participant may
elect to have such tax withholding obligation satisfied, in whole or in part, by
(i) authorizing the Company to withhold from shares of Common Stock to be
acquired upon exercise of an Option, a number of shares of Common Stock with an
aggregate Fair Market Value (as of the date the withholding is effected) that
would satisfy the withholding amount due, or (ii) transferring to the Company
shares of Common Stock owned by the Participant with an aggregate Fair Market
Value (as of the date the withholding is effected) that would satisfy the
withholding amount due.

     Section 8. EXERCISE OF OPTIONS.

     8.01. AUTOMATIC EXERCISE. Unless a Participant gives written notice to the
Company of withdrawal pursuant to Section 9.01, his or her Option to acquire
Common Stock with payroll deductions credited to his or her account for

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any Participation Period will be deemed to have been exercised automatically on
the last business day of the applicable Participation Period for the purchase of
the number of full shares of Common Stock which the accumulated payroll
deductions credited to his or her account at that time will purchase at the
applicable Option price (but not in excess of the number of shares of Common
Stock for which Options have been granted to the Employee pursuant to Section
7.02), and any excess credited to his or her account at that time will be
carried forward to the next Participation Period.

     8.02. FRACTIONAL SHARES. Fractional shares will not be issued under the
Plan and any accumulated payroll deductions which would have been used to
purchase fractional shares will be carried over to the next following
Participation Period.

     8.03. DELIVERY OF STOCK. As soon as reasonably practicable after each
Participation Period, the Company will deliver to the Participant's account with
the Company's designated broker, in such Participant's name, the shares of
Common Stock purchased upon exercise of such Participant's Option. It is a
condition of participation in the Plan that each Participant maintain an account
with the broker designated by the Company. The Company reserves the right to
change its designated broker from time to time in its sole discretion.

     Section 9. WITHDRAWAL.

     9.01. IN GENERAL. A Participant may withdraw payroll deductions credited to
his or her account for a Participation Period under the Plan at any time prior
to the last business day of such Participation Period by giving written notice
to the Committee. As soon as reasonably practicable after receipt by the
Committee of his or her notice of withdrawal, the payroll deductions credited to
the Participant's account for such Participation Period will be paid to him or
her without interest (except to the extent required by local law), and no
further payroll deductions will be made from his or her Base Pay for such
Participation Period.

     9.02. CESSATION OF EMPLOYEE STATUS. In the event a Participant shall cease
to be an Employee during a Participation Period for any reason, other than as a
result of his or her death, the payroll deductions credited to his or her
account for such Participation Period will be returned to him or her without
interest (except to the extent required by local law) as soon as reasonably
practicable thereafter.

     9.03. TERMINATION DUE TO DEATH. In the event a Participant shall cease to
be an Employee during a Participation Period by reason of his or her death, his
or her legal representative shall have the right to elect, by written notice to
the Committee prior to the last business day of the Participation Period:

     (a)  to withdraw all of the payroll deductions credited to the
Participant's account under the Plan for such Participation Period without
interest (except to the extent required by local law), or

     (b)  to exercise the Participant's Option for such Participation Period
with any excess in the Participant's account after exercise of the Option to be
returned to the Participant's legal representative.

     In the event that no such written notice of election is duly and timely
received by the Committee, the Participant's legal representative shall
automatically be deemed to have elected, pursuant to clause (b) above, to
exercise the Participant's Option.

     Section 10. ADJUSTMENTS.

     10.01. CHANGES IN CAPITALIZATION. In the event that the outstanding shares
of the Company's Common Stock shall be increased or decreased or changed into or
exchanged for a different number or kind of shares of stock or other securities
of the Company or of another corporation, effected without the receipt of
consideration by the Company, through reorganization, merger or consolidation,
recapitalization, reclassification, stock split, reverse stock split, split-up,
combination or exchange of shares or declaration of any dividends payable in
Common Stock, the Board of Directors shall appropriately adjust, subject to any
required action by the stockholders of the Company, (i)the number of shares of
Common Stock (and the Option price per share) subject to the unexercised portion
of any outstanding Option (to the nearest possible full share), provided,
however, that the limitations of Section 424 of the

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Code shall apply with respect to such adjustments and (ii) the number of shares
of Common Stock for which Options may be granted under the Plan, as set forth in
Section 4.01 hereof, and such adjustments shall be final, conclusive and binding
for all purposes of the Plan. Except as expressly provided herein, no issuance
by the Company of shares of stock of any class shall affect, and no adjustment
by reason thereof shall be made with respect to, the number or price of shares
of Common Stock subject to an Option.

     10.02. ACQUISITION, MERGER, SALE OF ASSETS, DISSOLUTION OR LIQUIDATION.
Notwithstanding the foregoing, in the event of (i) any offer or proposal to
holders of the Company's Common Stock relating to the acquisition of their
shares, including, without limitation, through purchase, merger or otherwise, or
(ii) any transaction generally relating to the acquisition of substantially all
of the assets or business of the Company, or (iii) the dissolution or
liquidation of the Company, the Board of Directors may make such adjustment as
it deems equitable in respect of outstanding Options (and in respect of the
shares of Common Stock for which Options may be granted under the Plan),
including, without limitation, the revision, cancellation, or termination of any
outstanding Options, or the change, conversion or exchange of the shares of the
Company's Common Stock under outstanding Options (and of the shares of the
Company's Common Stock for which Options may be granted under the Plan) into or
for securities or other property of another corporation. Any such adjustments by
the Board of Directors shall be final, conclusive and binding for all purposes
of the Plan.

     Section 11. EFFECT OF THE PLAN ON EMPLOYMENT RELATIONSHIP. Neither this
Plan nor any Option granted hereunder to a Participant shall be construed as
conferring upon such Participant any right to continue in the employ of the
Company or any Subsidiary of the Company as the case may be, or limit in any
respect the right of the Company or any Subsidiary of the Company to terminate
such Participant's employment with the Company or any Subsidiary of the Company,
as the case may be, at any time.

     Section 12. AMENDMENT OF THE PLAN. The Board of Directors may amend the
Plan from time to time as it deems desirable in its sole discretion without
approval of the stockholders of the Company, except to the extent stockholder
approval is required by applicable NASDAQ National Market or stock exchange
rules, applicable provisions of the Code, or other applicable laws or
regulations.

     Section 13. TERMINATION OF THE PLAN. The Board of Directors may terminate
the Plan at any time in its sole discretion. No Option may be granted hereunder
after termination of the Plan. The termination or amendment of the Plan shall
not alter or impair any rights or obligations under any Option theretofore
granted under the Plan in any material adverse way without the consent of the
affected Participant.

     Section 14. GOVERNING LAW. The Plan and any and all Option agreements
executed in connection with the Plan shall be governed by and construed in
accordance with the laws of the State of Delaware, without regard to conflict of
laws principles.

     Section 15. NO STRICT CONSTRUCTION. No rule of strict construction shall be
applied against the Company, the Committee, or any other person in the
interpretation of any of the terms of the Plan, any Option agreement, any Option
granted under the Plan, or any rule, regulation or procedure established by the
Committee.

     Section 16. SUCCESSORS. This Plan is binding on and will inure to the
benefit of any successor to the Company, whether by way of merger,
consolidation, purchase, or otherwise.

     Section 17. SEVERABILITY. If any provision of the Plan or an Option
agreement shall be held illegal or invalid for any reason, such illegality or
invalidity shall not affect the remaining provisions of the Plan or such
agreement, and the Plan and such agreement shall each be construed and enforced
as if the invalid provisions had never been set forth therein.

     Section 18. PLAN PROVISIONS CONTROL. Except as otherwise provided in
Section 5.06, the terms of the Plan govern all Options granted under the Plan,
and in no event will any Option be granted under the Plan which is contrary to
any of the provisions of the Plan. In the event any provision of any Option
granted under the Plan shall conflict with any term in the Plan as constituted
on the grant date of such Option, the term in the Plan as constituted on the
grant date of such Option shall control except as otherwise provided in Section
5.06.

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     Section 19. HEADINGS. The headings used in the Plan are for convenience
only, do not constitute a part of the Plan, and shall not be deemed to limit,
characterize, or affect in any way any provisions of the Plan, and all
provisions of the Plan shall be construed as if no captions had been used in the
Plan.

     Section 20. EFFECTIVE DATE OF THE PLAN. The Plan shall be submitted to the
stockholders of the Company for approval and ratification at the next regular or
special meeting thereof to be held after January 1, 2001. Unless at such meeting
the Plan is approved and ratified by the stockholders of the Company, in the
manner provided by the Company's By-Laws, then and in such event, the Plan shall
become null and void and of no further force and effect. Subject to the
immediately preceding sentence, the Plan shall be effective as of December 1,
2001. The Plan shall continue in effect until November 30, 2006 unless sooner
terminated under Section 13.

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