Document:

FORM OF LOAN AGREEMENT

  Exhibit 10
    (iii) 49.

  

 THE IT GROUP,
   INC.

 LOAN
   AGREEMENT

  

 
 
  

    
        THIS LOAN AGREEMENT, made and entered into
   this            
               
         day of      
               
               
      , 199    , by and among The
   IT Group, Inc., a corporation duly organized and existing under the laws of
   the State of Delaware (the “Company”) and    
               
               
        , an officer of the Company (“Borrower
   ”). Capitalized terms used but not otherwise defined in this Agreement
   that are defined in the Program (as defined below) shall have the meanings
   specified in the Program.

  

 W I T N E S S E T
   H:

  

    
        WHEREAS, the Company has adopted the Ownership
   Guidelines which require designated employees of the Company or an affiliate
   to own a specified number of securities of the Company; and

  

    
        WHEREAS, Borrower is an employee subject to
   the Ownership Guidelines; and

  

    
        WHEREAS, the Company has adopted The IT Group,
   Inc. Executive Stock Ownership Program (the “Program”) to be
   administered by the Compensation Committee of the Board of Directors of the
   Company (the “Committee”); and

  

    
        WHEREAS, the Committee has notified Borrower
   that he/she is eligible to participate in the Program, the terms of which
   allow Borrower to borrow money from the Company to apply toward the purchase
   of shares of the Company’s Common Stock in satisfaction of the
   Ownership Guidelines; and

  

    
        WHEREAS, Borrower desires to participate in
   the Program; and

  

    
        WHEREAS, Borrower desires to obtain a term
   loan as further described below (the “Loan”) to be used as
   financing for the purchase of shares of the Company’s Common Stock;
   and

  

    
        WHEREAS, Borrower is willing and has agreed to
   execute all documents necessary to evidence his/her obligations to the
   Company, including but not limited to a promissory note evidencing the Loan
   (the “Promissory Note”).

  

    
        NOW, THEREFORE, in consideration of the
   promises and agreements herein exchanged, the sufficiency and mutuality of
   which are jointly acknowledged, the parties hereto do hereby agree as
   follows:

  

 ARTICLE
   I

  

 THE
   LOAN

  

    
        Section 1.1   
    LOAN. Subject to the terms and conditions of this Agreement,
   and for the consideration and purposes herein set forth, on the Closing
   Date, the Company agrees to extend to Borrower the Loan in the amount of 
               
               
           Dollars ($  
               
     ), as

  THE IT GROUP,
   INC.

 LOAN
   AGREEMENT

  

 
 
  

 increased under
   Sections 1.4 and 1.5 hereof. The term of this Agreement shall commence on
   the execution of this Agreement and end on the Maturity Date as defined in
   the Promissory Note unless such Maturity Date is accelerated in accordance
   with Section 1.6.2 or Section 1.7 hereof.

  

    
        Section 1.2   
    PROMISSORY NOTE.    The Loan shall be
   evidenced by and payable on the terms and conditions set forth in the
   Promissory Note, a copy of which is attached as Exhibit A and incorporated
   herein by this reference.

  

    
        Section 1.3    INTEREST
   RATE.    The Promissory Note shall bear interest at
   a fixed rate of interest equal to the Applicable Federal Rate in effect on
               
       , 199    , which was
               
        percent (      
     %) per annum.

  

    
        Section 1.4   
    PRINCIPAL AMOUNT.    The principal amount
   of the Promissory Note shall be as stated therein. The principal amount of
   the Promissory Note shall be increased by all accrued and interest unpaid as
   of the Maturity Date on the Promissory Note under Section 1.5.

  

    
        Section 1.5   
    INTEREST.    Interest shall accrue on the
   unpaid principal balance of the Promissory Note compounded semiannually with
   an interest rate as set forth in Section 1.3 herein from the date of the
   Promissory Note until final payment of the Promissory Note. Such interest
   shall be payable on the Maturity Date unless maturity of the Promissory Note
   is accelerated in accordance with Section 1.6.2 or Section 1.7.

  

    
        Section 1.6   
    MANDATORY REPAYMENTS OF PRINCIPAL.

  

    
        1.6.1    The principal
   amount of the Promissory Note shall be due on the Maturity Date unless
   maturity of the Promissory Note is accelerated in accordance with Section
   1.6.2 or Section 1.7.

  

    
        1.6.2    Notwithstanding
   the foregoing, the unpaid principal amount and accrued interest on the
   Promissory Note shall be due in full at the following times upon occurrence
   of the following events:

  

    
        (a)    Termination
   of Employment of Borrower.    In the
   event Borrower’s employment is terminated for Cause prior to the
   Maturity Date, the outstanding interest and principal payments under this
   Promissory Note shall become immediately due and payable on the Termination
   Date. In the event Borrower terminates his or her employment with the
   Company and all affiliates voluntarily prior to the Maturity Date, any
   outstanding interest and principal payments under this Promissory Note shall
   become immediately due and payable on the Termination Date. Subject to
   Section 1.6.2 (d), below, in the event Borrower’s employment is
   terminated involuntarily (other than for Cause) by the Company or an
   affiliate prior to the Maturity Date, any outstanding interest and principal
   payments under this Promissory Note shall become due and payable no later
   than seven (7) months following the Termination Date.

  

  THE IT GROUP,
   INC.

 LOAN
   AGREEMENT

  

 
 
  

    
        (b)    Retirement of
   Borrower.    In the event Borrower’s
   employment terminates on or after his or her Retirement Date prior to the
   Maturity Date, any outstanding balance (including accrued and unpaid
   interest) under this Promissory Note shall become due and payable no later
   than thirteen (13) months following the Retirement Date.

  

    
        (c)    Death or
   Disability of Borrower.    In the event
   Borrower dies or becomes Permanently Disabled prior to the Maturity Date,
   any outstanding balance (including accrued and unpaid interest) under this
   Promissory Note shall become due and payable no later than thirteen (13)
   months following the date of death or the Disability Date.

  

    
        (d)    Change of
   Control.    In the event an involuntary
   termination of employment, other than for Cause, occurs within 18 months of
   a Change of Control and prior to Maturity Date, any outstanding balance
   (including accrued and unpaid interest) under this Promissory Note shall
   become immediately due and payable on the Termination Date.

  

    
        Section 1.7    OPTIONAL
   PREPAYMENTS.    The Loan may be prepaid in whole or
   in part at any time. Any partial prepayments shall be applied first to
   accrued and unpaid interest, and then to principal.

  

    
        Section 1.8   
    SECURITY.    The Loan is
   unsecured.

  

    
        Section 1.9   
    RECOURSE.    The Loan is full recourse, and
   neither collection nor enforcement of the Loan is limited to any particular
   assets of Borrower.

  

 ARTICLE
   II

  

 BORROWER’S
   REPRESENTATIONS AND WARRANTIES

  

    
        To induce the Company to enter into and extend
   and advance funds to Borrower pursuant to this Agreement, in addition to any
   other warranties set forth herein, Borrower hereby warrants and represents
   to the Company as follows, acknowledging that the Company is relying on the
   truth and accuracy of the following representations and warranties in
   entering into this Agreement with Borrower:

  

    
        Section 2.1   
    VALIDITY.    This Agreement has been duly
   executed by Borrower and constitutes Borrower’s valid and binding
   obligation enforceable against Borrower in accordance with its
   terms.

  

    
        Section 2.2    ADEQUATE
   RESOURCES.    Borrower currently has, or on the
   dates upon which payments are due under the Promissory Note reasonably
   expects to have, adequate personal financial resources from which to repay
   the Loan.

  THE IT GROUP,
   INC.

 LOAN
   AGREEMENT

  

 
 
  

 ARTICLE
   III

  

 DEFAULT; REMEDIES;
   WAIVER

  

    
        Section 3.1    EVENTS
   OF DEFAULT.    The following events shall constitute
   Events of Default under this Agreement:

  

    
        3.1.1    Failure to
   Pay.    If Borrower fails to pay any amount of
   principal or interest as required herein, when such amount becomes due, and
   such failure continues, in whole or in part, for 90 days after the date such
   payment was due.

  

    
        3.1.2    Insolvency or
   Bankruptcy.    Borrower becomes insolvent or unable
   to pay his debts as such debts become due, or Borrower files a voluntary
   petition in bankruptcy or has an involuntary petition for bankruptcy filed
   against him or her.

  

    
        Section 3.2   
    REMEDIES.    Upon the occurrence of either
   Event of Default under Section 3.1 hereof, the Company shall have the
   following remedies:

  

    
        3.2.1    Insolvency or
   Bankruptcy.    If such event is an Event of Default
   specified in Section 3.1.2 above, the Loan and all other amounts owing under
   this Agreement and Promissory Note shall immediately become due and
   payable.

  

    
        3.2.2    Failure to
   Pay.    If such default is an Event of Default
   specified in Section 3.1.1, the Company may, by 30 days’ prior written
   notice to Borrower, declare the Loan and all other amounts owing under this
   Agreement and the Promissory Note to be due and payable in full, whereupon
   the same shall immediately become due and payable.

  

    
        3.2.3    Other
   Remedies; Setoff.    The Company may exercise any
   and all other remedies granted to it under this Agreement or at law. Without
   limiting the generality of the foregoing, the Company shall have the right
   to setoff any amount due hereunder against any amount owed by Borrower to
   Company.

  

    
        3.2.4    Remedies Not
   Exclusive.    In addition to the foregoing remedies,
   the Company shall have all the rights and remedies available to it under
   applicable law.

  

    
        Section 3.3   
    NONWAIVER.    The failure of the Company,
   for any reason, to declare a default, or to enforce or insist on the strict
   performance of the covenants of this Agreement, or to seek any redress
   available to the Company under this Agreement, shall not be deemed a waiver
   of such default or of strict performance of any covenant, obligation or
   condition of this Agreement, nor prevent a subsequent act by Borrower from
   having all the force and effect of any original default or
   breach.

  THE IT GROUP,
   INC.

 LOAN
   AGREEMENT

  

 
 
  

 ARTICLE
   IV

  

 GENERAL
   PROVISIONS

  

    
        Section 4.1   
    ASSIGNABILITY.    Borrower’s rights
   and interests under this Agreement (a) may not be sold, assigned,
   transferred, pledged, hypothecated, gifted, bequeathed or otherwise disposed
   of to any other party by Borrower or any beneficiary, executor,
   administrator, heir, distributee or other person claiming under such
   Borrower, and (b) shall not be subject to execution, attachment or similar
   process. Any attempted sale, assignment, transfer, pledge, hypothecation,
   gift, bequest or other disposition of such rights, interests or benefits
   contrary to the foregoing provisions of this Section shall be null and void
   and without effect.

  

    
        Section 4.2   
    MODIFICATION.    This Agreement may only be
   amended, modified, or supplemented by written agreement executed by the
   Company and Borrower.

  

    
        Section 4.3   
    NOTICES.    Any notice or demand given
   under the terms of this Agreement shall be deemed delivered when mailed via
   United States certified mail, addressed to the other party, at the following
   address:

  

 		 COMPANY:

   

  

 		 Corporate
     Secretary

   

 		 The IT Group,
     Inc.

   

 		 2790 Mosside
     Boulevard

   

 		 Monroeville, PA
     15146

   

  

 		 BORROWER:

   

  

 		 

   

  

 		 

   

  

 		 

   

  

 Alternatively, notice
   or demand given under the terms of this Agreement may be given by hand
   delivery to the other party. If to Company, such delivery will be effective
   when actually delivered to: Corporate Secretary, The IT Group, Inc., 2790
   Mosside Boulevard, Monroeville, PA 15146; if to Borrower, when delivered to
   the same address as listed above for mailing to Borrower.

  

    
        Section 4.4    BINDING
   EFFECT.    This Agreement shall be binding upon and
   inure to the benefit of the successors and assigns of the parties
   hereto.

  

    
        Section 4.5    ATTORNEY
   ’S FEES.    In the event any action or suit is
   taken or instituted to enforce this Agreement or the Promissory Note, the
   prevailing party shall be entitled to receive

  THE IT GROUP,
   INC.

 LOAN
   AGREEMENT

  

 
 
  

 from the defaulting
   party all costs, expenses and fees, including reasonable attorney’s
   fees, incurred by the prevailing party in enforcing this Agreement or the
   Promissory Note.

  

    
        Section 4.6   
    TERMINATION.    This Agreement shall be of
   no further force and effect when the Loan and all obligations owed to the
   Company by Borrower in connection with this Agreement have been
   satisfied.

  

    
        Section 4.7   
    SEVERABILITY.    In the event that any
   provision of this Agreement is found to be invalid or otherwise
   unenforceable by a court or other tribunal of competent jurisdiction, such
   invalidity or unenforceability shall not be construed as rendering any other
   provision contained herein invalid or unenforceable, and all such other
   provisions shall be given full force and effect to the same extent as though
   the invalid and unenforceable provision was not contained
   herein.

  

    
        Section 4.8   
    INCORPORATION OF EXHIBITS.    All exhibits
   referred to in this Agreement are incorporated by reference and made a part
   of the terms, provisions and covenants of this Agreement.

  

    
        Section 4.9   
    GOVERNING LAW.    This Agreement shall be
   governed by and construed and enforced in accordance and with the laws of
   the State of Delaware, without regard to the application of the conflicts of
   law provisions thereof.

  

    
        Section 4.10   
    CUMULATIVE REMEDIES.    All the Company
   ’s rights and remedies, whether evidenced under the terms of this
   Agreement or any other document or instrument referred to herein are
   cumulative and are not intended to exclude any other remedies or means of
   redress to which the Company may be entitled by statute or
   otherwise.

  

    
        IN WITNESS WHEREOF, the parties have executed
   this Loan Agreement on the day and year first above written.

  

 		 THE IT GROUP,
     INC.

   

  

 		 By:

   

 		 

   

  

 		 Title: Senior
     Vice President, Human Resources

   

  

 		 BORROWER

   

  

 		 By:FORM OF NON-QUALIFIED STOCK OPTION PLAN

  Exhibit 10
    (iii) 50.

  

 THE IT GROUP,
   INC.

 NON-QUALIFIED
   STOCK OPTION AGREEMENT

 Pursuant to
   the

 EXECUTIVE STOCK
   OWNERSHIP PROGRAM AND

 THE 1996 STOCK
   INCENTIVE PLAN

  

 
 
  

    
        This Non-Qualified Stock Option Agreement (
   “Agreement”) is made and entered into as of the Date of Grant
   indicated on Attachment A by and between THE IT GROUP, INC., a Delaware
   corporation (the “Company”), and the person named on Attachment A
   as Optionee. Capitalized terms used but not otherwise defined in this
   Agreement that are defined in the Program (as defined below) shall have the
   meanings specified in the Program.

  

    
        WHEREAS, Optionee is an officer of the
   Company or any of its subsidiaries or affiliates; and

  

    
        WHEREAS, pursuant to the Company’s
   Executive Stock Ownership Program (the “Program”) and 1996 Stock
   Incentive Plan (the “1996 Plan”), the committee of the Board of
   Directors of the Company administering the Program and 1996 Plan (the
   “Committee”) has approved the grant to Optionee of a non-qualified
   option to purchase shares of the Common Stock, par value $.01 per share, of
   the Company (the “Common Stock”), on the terms and conditions set
   forth herein.

  

    
        NOW THEREFORE, in consideration of the
   foregoing recitals and the covenants set forth herein, the parties hereto
   agree as follows:

  

 		1.
      

   	 Grant of
     Option: Certain Terms and Conditions. The Company hereby grants to
     Optionee, and Optionee hereby accepts, as of the Date of Grant indicated
     on Attachment A, an option or options (the “Option”) to purchase
     the number or shares of Common Stock indicated on Attachment A (the
     “Option Shares”) at the Exercise Price per share indicated on
     Attachment A, which Exercise Price shall not be less than the market value
     of the Option Shares on the Date of Grant. The Option shall expire at 5:00
     p.m., Pittsburgh time, on the Expiration Date indicated on Attachment A
     and shall be subject to all of the terms and conditions set forth in this
     Agreement. The Option is not intended to qualify as an incentive stock
     option under Section 422 of the Internal Revenue Code.

   

  

 		2.
      

   	 Vesting.
     Upon the satisfaction of certain time or performance-based criteria as
     set forth in Attachment A, the Option shall become exercisable to purchase
     (“vest with respect to”) that number of Option Shares (rounded
     to the nearest whole share) specified in Attachment A. Any Option which
     has not vested prior to the Expiration Date shall expire on such
     Expiration Date.

   

  

  

  THE IT GROUP,
   INC.

 NON-QUALIFIED
   STOCK OPTION AGREEMENT

 Pursuant to
   the

 EXECUTIVE STOCK
   OWNERSHIP PROGRAM AND

 THE 1996 STOCK
   INCENTIVE PLAN

  

 
 
  

 3.  
     Acceleration and Termination of Option.

  

 		(a)
      

   	 Termination
     of Employment of Optionee.    In the event
     Optionee’s employment is terminated for Cause, all vested and
     unvested Options shall expire immediately on the Termination Date. In the
     event Optionee terminates his or her employment with the Company and all
     affiliates voluntarily, all vested and unvested Options shall expire
     immediately on the Termination Date. Subject to Section 3(d), below, in
     the event Optionee’s employment is terminated by the Company or an
     affiliate involuntarily (other than for Cause), all vested Options shall
     expire six (6) months following the Termination Date and any unvested
     Options shall be eligible for vesting for six (6) months following the
     Termination Date. Any Option which has not vested during such six (6)
     months following the Termination Date shall expire.

   

  

 		(b)
      

   	 Retirement of
     Optionee.    In the event Optionee’s
     employment with the Company and all affiliates terminates on or after his
     or her Retirement Date, all vested Options shall expire on the second
     anniversary of the Optionee’s actual date of retirement. Any unvested
     Options shall be eligible for vesting for twelve (12) months following the
     Retirement Date. Any Option which has not vested during such twelve (12)
     months following the Retirement Date shall expire.

   

  

 		(c)
      

   	 Death or
     Disability of Optionee.    In the event
     Optionee dies or becomes Permanently Disabled, all vested Options shall
     expire at the end of the original term and any unvested Option shall be
     eligible for vesting until the end of the original term.

   

  

 		(d)
      

   	 Change of
     Control.    In the event of an involuntary
     termination of employment, other than for Cause, within 18 months
     following a Change of Control, all vested Options shall expire at the end
     of their original term and any unvested Option shall become immediately
     vested on such Termination Date and then expire at the end of the original
     term. The Committee, in its sole discretion, may accelerate the
     exercisability of the Option at any time and for any reason.

   

  

 	4.

   	 Adjustments.    In the
     event that the outstanding securities of the class then subject to the
     Option are increased, decreased or exchanged for or converted into cash,
     property or a different number or kind of shares or securities, or if
     cash, property,

   

  

  THE IT GROUP,
   INC.

 NON-QUALIFIED
   STOCK OPTION AGREEMENT

 Pursuant to
   the

 EXECUTIVE STOCK
   OWNERSHIP PROGRAM AND

 THE 1996 STOCK
   INCENTIVE PLAN

  

 
 
  

 			 shares or
     securities are distributed in respect of such outstanding securities, in
     either case a result of a reorganization, merger, consolidation,
     recapitalization, restructuring, reclassification, divided (other than a
     regular, quarterly cash dividend) or other distribution, stock split,
     reverse stock split, spin-off or the like, or, subject to the other
     provisions of this Agreement, in the event that substantially all of the
     property and assets of the Company are sold, then, unless the terms of
     such transaction shall provide otherwise, the Committee shall make
     appropriate and proportionate adjustments in the number and type of shares
     or other securities or cash or other property that may thereafter be
     acquired upon the exercise of the Option; provided, however, that any such
     adjustments in the Option shall be made without changing the aggregate
     Exercise Price of the then unexercised portion of the Option.

   

  

 		5.
      

   	 Exercise.    The Option shall be
     exercisable during Optionee’s lifetime only by Optionee, by his or
     her guardian or legal representative, and after Optionee’s death only
     by the person or entity entitled to do so under Optionee’s last will
     and testament or applicable intestate law. The Option may only be
     exercised by the delivery to the Company of a written notice of such
     exercise pursuant to the notice procedures set forth in Section 6 hereof,
     which notice shall specify the number of Option Shares to be purchased
     (the “Purchased Shares”) and the aggregate Exercise Price for
     such shares (the “Exercise Notice”), together with payment in
     full of such aggregate Exercise Price in cash or by a cashier’s or
     certified bank check payable to the Company; provided, however, that
     payment of such aggregate Exercise Price may instead be made, in whole or
     in part at, the election of Optionee, either (A) by the delivery to the
     Company of a certificate or certificates representing shares of Common
     stock, duly endorsed or accompanied by a duly executed stock powers, which
     delivery effectively transfers to the Company good and valid title to such
     shares, free and clear of any pledge, commitment, lien, claim or other
     encumbrance or (B) by authorizing the withholding by the Company of shares
     of Common Stock that otherwise would be issued to Optionee as a result of
     the exercise of the Option (such shares to be valued in either case on the
     basis of the aggregate fair market value thereof on the date of such
     exercise), provided that (i) Optionee shall have obtained the prior
     written approval of the Committee to pay the Exercise Price pursuant to
     the methods set forth in clauses (A) or (B) of this Section 4 and (ii) the
     Company is not then prohibited from purchasing or acquiring such shares of
     Common Stock.

   

  

 		6.
      

   	 Payment of
     Withholding Taxes.    If the Company is
     obligated to withhold an amount on account of any federal, state or local
     tax imposed as a result of the

   

  

  THE IT GROUP,
   INC.

 NON-QUALIFIED
   STOCK OPTION AGREEMENT

 Pursuant to
   the

 EXECUTIVE STOCK
   OWNERSHIP PROGRAM AND

 THE 1996 STOCK
   INCENTIVE PLAN

  

 
 
  

 		 exercise of the
     Option, including, without limitation, any federal, state or other income
     tax, or any F.I.C.A., state disability insurance tax or other employment
     tax, then Optionee shall, concurrently with such exercise, pay such amount
     to the Company in cash or by cashier’s or certified bank check
     payment to the Company; provided, however, that payment of such amount may
     instead be made, in whole or in part, at the election of Optionee, (A)
     either by the delivery to the Company of a certificate or certificates
     representing shares of Common stock, duly endorsed or accompanied by a
     duly executed stock powers, which delivery effectively transfers to the
     Company good and valid title to such shares, free and clear of any pledge,
     commitment, lien, claim or other encumbrance or (B) by authorizing the
     withholding by the Company of shares of Common Stock that otherwise would
     be issued to Optionee as a result of the exercise of the Option (such
     shares to be valued in either case on the basis of the aggregate fair
     market value thereof on the date of such exercise), provided that (i) the
     Company is not then prohibited from purchasing or acquiring such shares of
     Common Stock, and (ii) Optionee shall have obtained the prior written
     approval of the Committee to pay such amount pursuant to the methods set
     forth in clauses (A) or (B) of this Section 6.

   

  

 	7.
      

   	 Notices.    Any notice given to
     the Company shall be addressed to the Company at 2790 Mosside Boulevard,
     Monroeville, Pennsylvania 15146, Attention: Corporate Secretary or Senior
     Vice President, Human Resources, or at such other address as the Company
     may hereinafter designate in writing to Optionee. Any notice given to
     Optionee shall be sent to the address set forth below Optionee’s
     signature hereto, or at such other address as Optionee may hereinafter
     designate in writing to the Company. Any such notice shall be deemed duly
     given when sent by prepaid certified or registered mail and deposited in a
     post office or branch post office regularly maintained by the United
     States Government.

   

  

 	8.
      

   	 Stock
     Exchange Requirements: Applicable Laws.   
      Notwithstanding anything to the contrary in this Agreement, no
     shares of stock purchased upon exercise of the Option, and no certificate
     representing all or any part of such shares, shall be issued or delivered
     if (a) such shares have not been admitted to listing upon official notice
     of issuance on each stock exchange upon which shares of that class are
     then listed or (b) in the opinion of counsel to the Company, such issuance
     or delivery would cause the Company to be in violation of or to incur
     liability under any federal, state or other securities law, or any
     requirement of any stock exchange listing agreement to which the Company
     is a party, or any other requirement of law or of any administrative or
     regulatory body having jurisdiction over the Company; provided, however,
     the Company may, at its option, issue or

   

  

  THE IT GROUP,
   INC.

 NON-QUALIFIED
   STOCK OPTION AGREEMENT

 Pursuant to
   the

 EXECUTIVE STOCK
   OWNERSHIP PROGRAM AND

 THE 1996 STOCK
   INCENTIVE PLAN

  

 
 
  

 			 sell unregistered
     stock hereunder, and Optionee hereby waives any and all rights arising out
     of or related to issuance or sale.

   

  

 	9.
      

   	 Nontransferability.   
      Neither the Option, nor any interest therein may be sold,
     assigned, conveyed, gifted, pledged, hypothecated or otherwise transferred
     in any manner other than by will or the laws of descent and
     distribution.

   

  

 	10.
      

   	 The Program
     and 1996 Plan.    The Option is granted
     pursuant to the Program and 1996 Plan, as in effect on the Date of Grant,
     and is subject to all the terms and conditions of the Program and 1996
     Plan, as the same may be amended from time to time; provided, however,
     that no such amendment shall deprive Optionee, without his or her consent,
     of the Option or of any of Optionee’s rights under this Agreement
     provided that no such consent shall be required if the Committee
     determines in its sole discretion and prior to the date of any Change of
     Control that such amendment is not reasonably likely to significantly
     diminish the benefits provided under such Option, or that any such
     diminishment has been adequately compensated. The interpretation and
     construction by the Committee of the Program and 1996 Plan, this
     Agreement, the Option and such rules and regulations as may be adopted by
     the Committee for the purpose of administering the Program and 1996 Plan
     shall be final and binding upon Optionee. Until the Option shall expire,
     terminate or be exercised in full, the Company shall, upon written request
     therefor, send a copy of the Program and 1996 Plan, in their then-current
     form, to Optionee or any other person or entity then entitled to exercise
     the Option.

   

  

 	11.
      

   	 Stockholder
     Rights.    No person or entity shall be
     entitled to vote, receive dividends or be deemed for any purpose the
     holder of any Option Shares until the Option shall have been duly
     exercised to purchase such Option Shares in accordance with the provisions
     of this Agreement.

   

  

 	12.
      

   	 Employment
     Rights.    No provision of this
     Agreement or of the Option granted hereunder shall (a) confer upon
     Optionee, if Optionee is an employee of the Company or any of its
     subsidiaries, any right to (i) continue in the employ of the Company or
     any of its subsidiaries or (ii) participate in any employee welfare or
     benefit plan or other program of the Company or any of its subsidiaries
     other than the 1996 Plan, (b) affect the right of the Company and each of
     its subsidiaries to terminate the employment of Optionee, with or without
     cause, (c) confer upon Optionee, if Optionee is an employee of any of the
     Company’s affiliates, any right to continue his or her relationship
     with the Company notwithstanding that

   

  

  THE IT GROUP,
   INC.

 NON-QUALIFIED
   STOCK OPTION AGREEMENT

 Pursuant to
   the

 EXECUTIVE STOCK
   OWNERSHIP PROGRAM AND

 THE 1996 STOCK
   INCENTIVE PLAN

  

 
 
  

 		 Optionee remains an
     employee of an affiliate of the Company, or (d) if Optionee is an employee
     of an affiliate of the Company, affect the right of the Company to
     discontinue its relationship with such Optionee or Optionee’s
     employee. Optionee hereby acknowledges and agrees that the Company and
     each of its subsidiaries may terminate the employment of Optionee at any
     time and for any reason, or for no reason, unless Optionee and the Company
     or such subsidiary are parties to a written employment agreement that
     expressly provides otherwise.

   

  

 	13.
      

   	 Setoff.    The Company
     shall have the right to setoff any Option or other amount due hereunder
     against any amount owed by Optionee to Company.

   

  

 	14.
      

   	 Governing
     Law.    This Agreement and the Option
     granted hereunder shall be governed by and construed and enforced in
     accordance with the laws of the State of Delaware.

   

  

    
        IN WITNESS WHEREOF, the Company and
   Optionee have duly executed this Agreement as of the Date of
   Grant.

  

  

  THE IT GROUP,
   INC.

 NON-QUALIFIED
   STOCK OPTION AGREEMENT

 Pursuant to
   the

 EXECUTIVE STOCK
   OWNERSHIP PROGRAM AND

 THE 1996 STOCK
   INCENTIVE PLAN

  

 
 
  

 ATTACHMENT
   A

  

 	Optionee:	    	  
                 
                 
                 
                 
                 
              
      
	 
	Grant
     Number:	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 
	Date of
     Grant:	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 
	No. of Shares
     Purchasable:	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 
	Exercise Price Per
     Share:	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 
	Expiration
     Date:	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 
	Performance-Based
     Vesting Criteria:	    	·  50% of
     the Option Shares shall vest if
   

       and when the price of the Common
   

   Stock averages $         for
     90 calendar
   

   days
	 
	 	    	·  50% of
     the Option Shares shall vest if
   

       and when the price of the Common
   

       Stock averages $     
         for 90 calendar
   

       days
	 
	Time-Based Vesting
     Criteria:	    	·  Option
     Shares which do not vest
   

       pursuant to the above performance-
   

       based vesting criteria shall become fully
   

       vested on the date which is four years
   

       following the date of grant
	 
	THE IT GROUP,
     INC.	    	OPTIONEE
	 
	By:  
                 
                 
                 
                 
                 
       	    	  
                 
                 
                 
                 
                 
              
      
	   
              Secretary	    	Name
     (Signature)
	 
	 	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 	    	Street
     Address
	 
	 	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 	    	City, State and Zip
     Code
	 
	 	    	   
                 
                 
                 
                 
                 
          
	  	  	

	 	    	Social Security
     Number

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00006-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00006-of-00352.parquet"}]]