Document:

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                                                                   EXHIBIT 10.1B

                     AMENDED AND RESTATED SECURITY AGREEMENT

         THIS AMENDED AND RESTATED SECURITY AGREEMENT (the "Agreement"), made as
of February 22, 1999 and amended and restated in its entirety as of February 5,
2002, by Leigh S. Belden and Deborah Tinker Belden, Trustees U/A Dated 12/9/98
("Debtor") for the benefit of Verilink Corporation, a Delaware corporation
("Secured Party"), Beltech, Inc., a California corporation ("Beltech"), Leigh S.
Belden (the "Borrower") and Deborah Tinker Belden, each an individual resident
of the State of California (together, the "Beldens") in consideration of certain
credit extended by Secured Party to the Borrower.

                                    RECITALS:

A.       Debtor and Secured Party are parties to that certain Security Agreement
         dated February 22, 1999 (the "Original Pledge Agreement");

B.       Debtor has pledged to Secured Party certain shares of common stock to
         secure certain obligations of Borrower to Secured Party;

C.       Debtor and Secured Party desire to amend the Original Pledge Agreement
         in certain respects and to restate the Original Pledge Agreement, as
         amended, in its entirety;

D.       Beltech and the Beldens desire to become parties to the Agreement and,
         in particular, to be bound by the negative pledge granted in Section 4
         below.

         In consideration of the mutual covenants contained herein and for other
good and valuable consideration, the adequacy and receipt of which is hereby
acknowledged, the parties hereby amend and restate the Original Pledge Agreement
and agree as follows:

         1. GRANT AND SECURITY INTEREST. Debtor hereby pledges, assigns and
grants to Secured Party a perfected, first priority security interest in all of
Debtor's right, title and interest, whether presently existing or hereafter
created or acquired, wherever located, in the property (referred to collectively
as the "Collateral") described in Exhibit A hereto.

         2. OBLIGATIONS SECURED. The security interest granted hereby secures
all indebtedness and obligations of Borrower to Secured Party now existing or
hereafter arising pursuant to that certain promissory note dated February 10,
1998 in the original principal amount of $800,000, and that certain promissory
note dated February 22, 1999 in the original principal amount of $3,000,000,
both as modified by modification agreements dated as of September 22, 1999 and
February 5, 2002 (the "Modification Agreement") as the same may be renewed,
modified or extended from time to time; all costs and expenses of Secured Party,
including reasonable attorneys fees, to obtain, preserve, perfect, enforce and
defend this Agreement and maintain, preserve, collect, protect, perfect Secured
Party's interest in and realize upon the Collateral and all covenants,
agreements, representations and warranties of Debtor, Beltech and the Beldens
contained herein (collectively, the "Obligations").

<PAGE>

         3. PERFECTION AND SECURITY INTEREST. Debtor from time to time, at the
request of Secured Party, shall execute such financing statements, control
agreements, and other documents, each of which shall be in form and substance
acceptable to Secured Party, and take such actions as may be necessary or
appropriate to perfect or continue the perfection and priority of Secured
Party's security interests in the Collateral. Debtor shall promptly notify
Secured Party if Debtor changes Debtor's name or moves Debtor's principal
residence or location or the place where Debtor keeps its records from the
address set forth below. Debtor shall promptly furnish to Secured Party any
information with respect to the Collateral or the Debtor as Secured Party
reasonably may request.

         4. NEGATIVE PLEDGE. Neither Debtor, Beltech, Borrower nor the Beldens
will create, assume or suffer or permit to exist any security interest, lien,
charge, encumbrance or claim on any securities issued by Verilink Corporation
and now or hereafter owned of record or beneficially by Debtor (other than the
security interest in favor of Holder granted by Debtor hereunder), Borrower,
Beltech or the Beldens, nor will any of them permit or make any sale or other
transfer or disposition of such securities unless such sale or disposition is
made in good faith to an unaffiliated, third-party, bona fide purchaser in an
arms-length transaction, and an amount equal to any net proceeds thereof is
applied to prepay the Obligations as provided in the Notes as modified by the
Modification Agreement of even date herewith.

         5. REPRESENTATIONS, WARRANTIES AND COVENANTS. Debtor represents,
warrants and covenants that:

                  (a) TITLE. Apart from the security interest in the Collateral
granted to Secured Party hereunder, Debtor has good and valid title to the
Collateral, free and clear of any and all liens, charges, claims, security
interests, set offs, restrictions and encumbrances of any kind whatsoever. To
the extent the Collateral consists of securities, such securities are duly
authorized, validly issued, fully paid and nonassessable.

                  (b) TRANSFER OF COLLATERAL. Debtor shall not sell, assign,
transfer, encumber or otherwise dispose of any of the Collateral or any interest
therein without the prior written consent of Secured Party. If any such
encumbrance is imposed, Debtor shall give Secured Party immediate written notice
and take immediate action to discharge the same.

                  (c) AUTHORITY; ENFORCEABILITY. Debtor has full legal capacity,
power and authority to make, enter into and perform this Agreement and no
consent or approval of or notice to any person or entity is required in
connection with this Agreement. This Agreement is a valid, binding and
enforceable obligation of Debtor.

                  (d) NOTICE OF THIRD PARTY ACTIONS. Debtor shall promptly
notify Secured Party of any Event of Default or any levy, execution or
attachment against the Collateral or any other event or condition that affects
the Collateral and shall promptly take all necessary action to preserve, perfect
and protect Secured Party's first priority security interest in the Collateral.

         6. POWER OF ATTORNEY. Debtor hereby appoints Secured Party and any
officer thereof as Debtor's attorney-in-fact to execute and file any writings in
connection with the Collateral, to take any other actions that are appropriate
to collect any proceeds of the Collateral and, subject to the provisions of
Section 8 below, to vote or exercise consensual rights with respect to the
Stock. This appointment shall constitute a power coupled with an interest, shall
survive the termination, death or incapacity of Debtor and shall be irrevocable
until the Obligations are paid in full.

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         7. EVENTS OF DEFAULT. An "Event of Default" shall occur when Debtor or
the Borrower (a) fails to pay or perform any of the Obligations (or Debtor,
Beltech, Borrower or the Beldens fails to perform any of the covenants or
agreements contained herein) when due; (b) becomes insolvent, a receiver is
appointed for any part of Debtor's or Borrower's property, Debtor or Borrower
makes an assignment for the benefit of creditors, or any proceeding is commenced
either by Debtor or Borrower or against Debtor or Borrower under any bankruptcy
or insolvency laws; or (c) sells or otherwise disposes of or encumbers all or a
substantial part of Debtor's or Borrower's assets. At any time after an Event of
Default, in addition to exercising any other rights and remedies, Secured Party
may, after consultation with Borrower as provided below: (a) sell or dispose of
the Collateral in a public or private sale as Secured Party deems appropriate
for the purposes of paying or performing the Obligations; (b) declare
immediately due and payable all of the Obligations owing to Secured Party; (c)
apply any Collateral to the Obligations in such order as Secured Party may
determine, any Stock so applied being valued at its market price on the date
Secured Party gives notice to Debtor of such application of Stock to satisfy
Obligations; (d) enter into any agreement relating to the Collateral and
exercise all voting rights to the exclusion of Debtor; (e) make any settlement
that Secured Party deems appropriate in respect of the Collateral; (f) collect
any sums payable in connection with the Collateral; and (g) make, adjust and
receive payment under insurance claims, claims for breach of warranty and the
like in connection with the Collateral.

         Secured Party shall consult with Borrower regarding the exercise of
Secured Party's rights against the Collateral prior to exercising its rights, so
that Secured Party's exercise of those rights is accomplished in the best
interests of Secured Party, its stockholders, Debtor and Borrower. Secured Party
in all events shall have the rights, powers and remedies set forth above as well
as all of the rights, powers and remedies otherwise afforded to a secured
creditor under the Uniform Commercial Code of the State where the Debtor is
located.

         Debtor specifically understands and agrees that any sale by Secured
Party of all or part of the Collateral pursuant to the terms of this Agreement
may be effected by Secured Party at a time or times and in a manner or manners
which could result in the proceeds of such sale being significantly and
materially less than might have been received if such sale had occurred at
different times or in different manners, and Debtor, to the fullest extent
permitted by law, hereby releases Secured Party and its officers and
representatives from and against any and all obligations and liabilities arising
out of or related to the timing or manner of any such sale.

         The Collateral consisting of Stock (as defined in Exhibit A) may be not
registered or qualified under the various federal or state securities laws of
the United States, or may consist of securities the disposition of which after
default may be restricted to one or more private (instead of public) sales.
Debtor understands that upon such disposition, Secured Party may approach only a
restricted number of potential purchasers and further understands that a sale
under such circumstances may yield a lower price for the Stock than if the Stock
were registered and qualified pursuant to federal and state securities laws or
otherwise sold on the open market. Debtor, therefore, agrees that:

                  (a) if Secured Party shall, pursuant to the terms of this
         Agreement, sell or cause the Stock or any portion thereof to be sold at
         a private sale, Secured Party shall have the right to rely upon the
         advice and opinion of any national brokerage or investment firm and/or
         counsel of its choosing (but shall not be obligated to seek such advice
         and the failure to do so shall not be considered in determining the
         commercial reasonableness of such action) as to the best manner in
         which to expose the Stock for sale and as to the best price reasonably
         obtainable at the private sale thereof; and

<PAGE>

                  (b) that such reliance shall be conclusive evidence that
         Secured Party has handled such disposition in a commercially reasonable
         manner.

         8. VOTING RIGHTS. Debtor shall have the right to exercise all voting
and other consensual rights with respect to the Stock until such time as an
Event of Default shall have occurred and Secured Party shall have given written
notice to Debtor that Debtor's rights to vote the Stock are terminated, at which
time Secured Party shall become entitled to vote the Stock. For so long as
Debtor shall have the right to vote the Stock, Debtor shall not vote the Stock
in a manner that would be adverse to Secured Party's security interest in the
Stock or Secured Party's rights under this Agreement.

         9. ADDITIONAL ACTIONS AND DOCUMENTS. At the request of Secured Party
from time to time, Debtor, Borrower, Beltech and the Beldens shall execute and
deliver such further writings, documents and instruments and shall take such
further actions, including the filing of financing statements and amendments
thereto, all at Debtor's expense, as may be required or appropriate to carry out
the intent and purposes of this Agreement.

         10. SUCCESSORS AND ASSIGNS. This Agreement shall bind and inure to the
benefit of the parties hereto and their respective successors and assigns.

         11. AMENDMENTS, WAIVERS AND CONSENTS; TIME. This Agreement shall not be
changed or modified, in whole or in part, except by supplemental agreement
signed by the parties. Any party may waive compliance by any other party of any
of the covenants or conditions of this Agreement, but no waiver shall be binding
unless executed in writing by the party making the waiver. No waiver of any of
the provisions of this Agreement shall be deemed, or shall constitute, a waiver
of any other portion, whether or not similar, nor shall any waiver constitute a
continuing waiver. Any consent under this Agreement shall be in writing and
shall be effective only to the extent specifically set forth in such writing.
For the protection of all parties, amendments, waiver and consents that are not
in writing may be enforced only if they are detrimentally relied upon and proved
by clear and convincing evidence (other than any alleged reliance). Time is of
the essence of this Agreement.

         12. NOTICE. Any notice, instrument or communication required or
permitted to be given under this Agreement to any party shall be in writing and
shall be deemed given when actually received or, if earlier, five days after
deposit in the United States Mail by certified or express mail, return receipt
requested, postage prepaid, addressed to the principal office of such party or
to such other address as such party may request by written notice. The parties'
principal offices are present located at the addresses set forth below their
signatures.

         13. ATTORNEYS' FEES. The prevailing party shall be entitled to recover
a reasonable allowance for attorneys' fees and litigation expenses in addition
to court costs in any suit, action, counterclaim or arbitration brought to
enforce the Obligations or this Agreement. "Prevailing Party" within the meaning
of this paragraph includes, without limitation, a party who agrees to dismiss an
action or proceeding upon the other's payment of the sums allegedly due or
performance of the covenants allegedly breached, or who obtains substantially
the relief sought by it.

         14. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED
IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF CALIFORNIA APPLICABLE TO
CONTRACTS MADE AND PERFORMED IN SUCH STATE, WITHOUT REGARD TO ANY CONFLICTS OR
CHOICE OF LAW RULE OR PRINCIPLE THAT MIGHT OTHERWISE REFER CONSTRUCTION OR
INTERPRETATION OF THIS MODIFICATION TO THE SUBSTANTIVE LAW OF ANOTHER
JURISDICTION.

<PAGE>

         15. WAIVER. (a) No delay of Secured Party in exercising any power or
right shall operate as a waiver thereof; nor shall any single or partial
exercise of any power or right preclude other or further exercise thereof or the
exercise of any other power or right. No waiver by Secured Party of any right
hereunder or of any default by Debtor shall be binding upon Secured Party unless
in writing, and no failure by Secured Party to exercise any power or right
hereunder or waiver of any default by Debtor shall operate as a waiver of any
other or further exercise of such right or power or of any further default. Each
right, power and remedy of Secured Party as provided for herein, or which shall
now or hereafter exist at law or in equity or by statute or otherwise, shall be
cumulative and concurrent and shall be in addition to every other such right,
power or remedy. The exercise or beginning of the exercise by Secured Party of
any one or more of such rights, powers or remedies shall not preclude the
simultaneous or later exercise by Secured Party of any or all other such rights,
powers or remedies.

                  (b) Debtor further waives notice of the creation, advance,
increase, existence, extension or renewal of, and of any indulgence with respect
to, the Obligations; waives presentment, demand, notice of dishonor, and
protest; waives notice of the amount of the Obligations outstanding at any time,
notice of any change in financial condition of any person liable for the
Obligations or any part thereof, notice of any Event of Default, and all other
notices respecting the Obligations; and agrees that maturity of the Obligations
and any part thereof may be accelerated, extended or renewed one or more times
by Secured Party in its discretion, without notice to Debtor. Debtor waives any
right to require that any action be brought against any other person or to
require that resort be had to any other security for the Obligations. Debtor
further waives any right of subrogation or to enforce any right of action
against Borrower, Beltech or the Beldens until the Obligations are paid in full.

         16. COUNTERPARTS. This Agreement may be executed in counterparts,
including facsimiles thereof, each of which shall constitute an original and all
of which together shall constitute one and the same instrument.

<PAGE>

         IN WITNESS WHEREOF, Debtor has caused this Security Agreement to be
duly executed and delivered as of the date first written above.

                                     SECURED PARTY:

                                     Verilink Corporation

                                     By:     /s/ Howard Oringer
                                             -----------------------------------
                                     Title:  Chairman of the Board of Directors
                                             -----------------------------------
                                     Address:    127 Jetplex Circle
                                                 Madison, Alabama  35758

                                     DEBTOR:

                                     Leigh S. Belden and Deborah Tinker Belden,
                                     Trustees U/A Dated 12/9/98

                                         /s/ Leigh S. Belden, Trustee
                                     -------------------------------------------
                                     Leigh S. Belden, Trustee

                                         /s/ Deborah Tinker Belden, Trustee
                                     -------------------------------------------
                                     Deborah Tinker Belden, Trustee

                                     Address:    136 Tidewater Drive
                                                 Madison, Alabama  35758

                                     BELTECH

                                     Beltech, Inc.

                                     By:       /s/ Leigh S. Belden
                                         ---------------------------------------
                                         Name:    Leigh S. Belden
                                                --------------------------------
                                         Title:   President
                                                --------------------------------

                                     Address:
                                              P.O. Box 780
                                         ---------------------------------------
                                              937 Tahoe Blvd.
                                         ---------------------------------------
                                              Suite 200
                                         ---------------------------------------
                                              Incline Village, NV 89451
                                         ---------------------------------------

Signature Page 1 of 2

<PAGE>

                                     BORROWER:

                                         /s/ Leigh S. Belden
                                     -------------------------------------------
                                     Leigh S. Belden

                                     Address:    136 Tidewater Drive
                                                 Madison, Alabama  35758

                                     BELDENS:

                                         /s/ Leigh S. Belden
                                     -------------------------------------------
                                     Leigh S. Belden

                                         /s/ Deborah Tinker Belden
                                     -------------------------------------------
                                     Deborah Tinker Belden

                                     Address:    136 Tidewater Drive
                                                 Madison, Alabama  35758

Signature Page 2 of 2

<PAGE>

                                    EXHIBIT A

COLLATERAL. The security interest is granted in the following collateral (the
"Collateral"):

         A. DESCRIPTION OF COLLATERAL. The shares of common stock of Verilink
Corporation listed on Exhibit A-1 attached hereto and incorporated by reference
herein, as amended from time to time, now or hereafter held in the possession of
Secured Party or its bailee, together with any and all security entitlements,
investment property, certificated or uncertificated securities, documents,
instruments, general intangibles, deposit accounts, supporting obligations,
payment intangibles, and cash hereafter delivered to Secured Party or held in
any securities account or deposit account over which Secured Party has control
in substitution therefor or in addition thereto (collectively, the "Stock").

         B. PROCEEDS. All additions, substitutions and replacements for and
proceeds of the above Stock (including all income and benefits resulting from
any of the above, such as dividends or other distributions payable or
distributable in cash, property or stock; interest, premium and principal
payments; redemption proceeds and subscription rights; and shares or other
proceeds of conversions or splits of any securities in the Collateral). Any
security entitlements, investment property, certificated or uncertificated
securities, documents, instruments, general intangibles, supporting obligations,
payment intangibles, and cash received by Debtor or held in any deposit account,
which shall comprise such additions, substitutions and replacements for, or
proceeds of, the Collateral, shall be held in trust for Secured Party shall be
delivered immediately to Secured Party, its bailee, or deposited in a deposit
account or a securities account over which Secured Party has control. Any cash
proceeds shall be held in trust for Secured Party and shall be delivered
immediately to Secured Party, its bailee, or deposited in a deposit account over
which Secured Party has control or a securities account over which Secured Party
has control.

<PAGE>

                                   EXHIBIT A-1

<TABLE>
<CAPTION>
                    Certificate No.                            No. of Shares
                    ---------------                            --------------
<S>                                                            <C>
                          469                                      500,000
                        FBU 0297                                   100,000
                        FBU 1158                                   109,240
                        FBU 1220                                    85,000
                        FBU 0772                                    47,500
                        FBU 0305                                    49,540
                                                                  --------

                  Total No. of Shares                              891,280
</TABLE><PAGE>
                                                                    Exhibit 10.1

                              CITRIX SYSTEMS, INC.

                           THIRD AMENDED AND RESTATED
                        1995 EMPLOYEE STOCK PURCHASE PLAN

ARTICLE 1 - PURPOSE.

         This Third Amended and Restated 1995 Employee Stock Purchase Plan (the
"Plan") is effective as of July 1, 2002, and is intended to encourage stock
ownership by all eligible employees of Citrix Systems, Inc. (the "Company"), a
Delaware corporation, and its participating subsidiaries (as defined in Article
17) so that they may share in the growth of the Company by acquiring or
increasing their proprietary interest in the Company. The Plan is designed to
encourage eligible employees to remain in the employ of the Company and its
participating subsidiaries. The Plan is intended to constitute an "employee
stock purchase plan" within the meaning of Section 423(b) of the Internal
Revenue Code of 1986, as amended (the "Code").

ARTICLE 2 - ADMINISTRATION OF THE PLAN.

         The Plan may be administered by a committee appointed by the Board of
Directors of the Company (the "Committee"). The Committee shall consist of not
less than two members of the Company's Board of Directors. The Board of
Directors may from time to time remove members from, or add members to, the
Committee. Vacancies on the Committee, howsoever caused, shall be filled by the
Board of Directors. The Committee may select one of its members as Chairman, and
shall hold meetings at such times and places as it may determine. Acts by a
majority of the Committee, 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.

         The interpretation and construction by the Committee of any provisions
of the Plan or of any option granted under it shall be final, unless otherwise
determined by the Board of Directors. The Committee may from time to time adopt
such rules and regulations for carrying out the Plan as it may deem best,
provided that any such rules and regulations shall be applied on a uniform basis
to all employees under the Plan. No member of the Board of Directors or the
Committee shall be liable for any action or determination made in good faith
with respect to the Plan or any option granted under it.

         In the event the Board of Directors fails to appoint or refrains from
appointing a Committee, the Board of Directors shall have all power and
authority to administer the Plan. In such event, the word "Committee" wherever
used herein shall be deemed to mean the Board of Directors.

         Each member of the Committee shall be a "disinterested director" --
i.e., except as otherwise permitted under Section 16(b) of the Securities
Exchange Act of 1934 (the "Exchange

<PAGE>
                                      -2-

Act") and paragraph (c)(2)(i) of Rule 16b-3 thereunder, no member of the
Committee shall be granted, nor shall have been granted, "equity securities"
(within the meaning of 17 C.F.R. ss. 240.16a-1(d)) pursuant to the Plan or
any other plan of the Company or its "affiliates" (as defined in the Exchange
Act) at any time during the period commencing with the date which is one year
after date on which his service on the Committee ceases. Notwithstanding the
preceding sentence, (i) the grant or award of such an equity security to a
member of the Committee prior to the date of the effectiveness of the Company's
initial registration statement under Section 12 of the Exchange Act shall not
cause the Committee member to fail to be "disinterested," and (ii) a member of
the Committee may receive stock options under the Citrix Systems, Inc. 1995
Non-Employee Director Stock Option Plan.

ARTICLE 3 - ELIGIBLE EMPLOYEES.

         All employees of the Company or any of its participating subsidiaries
whose customary employment is more than twenty (20) hours per week and for more
than five (5) months in any calendar year shall be eligible to receive options
under the Plan to purchase common stock of the Company, and all eligible
employees shall have the same rights and privileges hereunder. Persons who are
eligible employees on the first business day of any Payment Period (as defined
in Article 5) shall receive their options as of such day. Persons who become
eligible employees after any date on which options are granted under the Plan
shall be granted options on the first day of the next succeeding Payment Period
on which options are granted to eligible employees under the Plan. Directors who
are not employees of the Company shall not be eligible to receive options under
this Plan. In no event, however, may an employee be granted an option if such
employee, immediately after the option was granted, would be treated as owning
stock possessing five percent (5%) or more of the total combined voting power or
value of all classes of stock of the Company or of any parent corporation or
subsidiary corporation, as the terms "parent corporation" and "subsidiary
corporation" are defined in Section 424(e) and (f) of the Code. For purposes of
determining stock ownership under this paragraph, the rules of Section 424(d) of
the Code shall apply, and stock which the employee may purchase under
outstanding options shall be treated as stock owned by the employee.

ARTICLE 4 - STOCK SUBJECT TO THE PLAN.

         The stock subject to the options under the Plan shall be shares of the
Company's authorized but unissued common stock, par value $0.001 per share (the
"Common Stock"), or shares of Common Stock reacquired by the Company, including
shares purchased in the open market. The aggregate number of shares which may be
issued pursuant to the Plan is 9,000,000 (as adjusted for stock splits that
occurred prior to the second amendment and restatement of the Plan), subject to
adjustment as provided in Article 12. If any option granted under the Plan shall
expire or terminate for any reason without having been exercised in full or
shall cease for any reason to be exercisable in whole or in part, the
unpurchased shares subject thereto shall again be available under the Plan.

<PAGE>
                                      -3-

ARTICLE 5 - PAYMENT PERIOD AND STOCK OPTIONS.

         The payment periods during which payroll deductions will be accumulated
under the Plan , shall consist of periods commencing on July 15 and January 15
and ending on February 1 and August 1 of each calendar year, respectively (each,
a "Payment Period" and collectively, the "Payment Periods"); provided that the
initial Payment Period shall commence on July 1, 2002, and end on February 1,
2003.

         Twice each year, on the first business day of each Payment Period, the
Company will grant to each eligible employee who is then a participant in the
Plan an option to purchase on the last day of such Payment Period, at the Option
Price hereinafter provided for, a maximum of 12,000 shares (as adjusted for
stock splits that occurred prior to the second amendment and restatement of the
Plan), on condition that such employee remains eligible to participate in the
Plan throughout the remainder of such Payment Period. The participant shall be
entitled to exercise the option so granted only to the extent of the
participant's accumulated payroll deductions on the14th day of the month
immediately preceding the last day of a Payment Period (each, a "Payroll Cut-off
Date"). Any payroll deductions accumulated between a Payroll Cut-off Date and
the end of the Payment Period to which such Payroll Cut-off Date applies shall
be applied to the Payment Period that commenced immediately after such Payroll
Cut-off Date. If a participant's accumulated payroll deductions on a Payroll
Cut-off Date would enable a participant to purchase more than 12,000 shares
except for the 12,000 share limitation, the excess of the amount of the
accumulated payroll deductions over the aggregate purchase price of the 12,000
shares shall be promptly refunded to such participant by the Company, without
interest. The Option Price per share for each Payment Period shall be the lesser
of (i) 85% of the fair market value of the Common Stock on the first business
day of the Payment Period and (ii) 85% of the fair market value of the Common
Stock on the last business day of the Payment Period, in either event rounded up
to the nearest whole cent. The foregoing limitation on the number of shares
subject to option and the Option Price shall be subject to adjustment as
provided in Article 12.

         For purposes of the Plan, "fair market value of the Common Stock" on
any business day shall mean (i) the average (on that date) of the high and low
prices of the Common Stock on the principal national securities exchange on
which the Common Stock is traded, if the Common Stock is then traded on a
national securities exchange; or (ii) the last reported sale price (on that
date) of the Common Stock on the Nasdaq Stock Market, if the Common Stock is not
then traded on a national securities exchange; or (iii) the average of the
closing bid and asked prices last quoted (on that date) by an established
quotation service for over-the-counter securities, if the Common Stock is not
reported on the Nasdaq Stock Market; or (iv) if the Common Stock is not publicly
traded, the fair market value of the Common Stock as determined by the Committee
after taking into consideration all factors which it deems appropriate,
including, without limitation, recent sale and offer prices of the Common Stock
in private transactions negotiated at arm's length.

<PAGE>
                                      -4-

         For purposes of the Plan, the term "business day" means a day on which
there is trading on the Nasdaq Stock Market or the aforementioned national
securities exchange, whichever is applicable pursuant to the preceding
paragraph.

         No employee shall be granted an option which permits the employee's
right to purchase stock under the Plan, and under all other Section 423(b)
employee stock purchase plans of the Company and any parent or subsidiary
corporations, to accrue at a rate which exceeds $25,000 of fair market value of
such stock (determined on the date or dates that options on such stock were
granted) for each calendar year in which such option is outstanding at any time.
The purpose of the limitation in the preceding sentence is to comply with
Section 423(b)(8) of the Code. If the participant's accumulated payroll
deductions on the last day of the Payment Period with respect to such Payment
Period would otherwise enable the participant to purchase Common Stock in excess
of the Section 423(b)(8) limitation described in this paragraph, the excess of
the amount of the accumulated payroll deductions over the aggregate purchase
price of the shares actually purchased shall be promptly refunded to the
participant by the Company, without interest.

ARTICLE 6 - EXERCISE OF OPTION.

         Each eligible employee who continues to be a participant in the Plan on
the last day of a Payment Period shall be deemed to have exercised his or her
option on such date and shall be deemed to have purchased from the Company such
number of full shares of Common Stock reserved for the purpose of the Plan as
the participant's accumulated payroll deductions on the applicable Payroll
Cut-off Date will pay for at the Option Price, subject to the 12,000 share limit
of the option and the Section 423(b)(8) limitation described in Article 5. If
the individual is not a participant on the last day of a Payment Period, then he
or she shall not be entitled to exercise his or her option. Only full shares of
Common Stock may be purchased under the Plan. With respect to any Payment
Period, unused payroll deductions remaining in a participant's account by reason
of the inability to purchase a fractional share shall be applied to the most
recently commenced Payment Period.

ARTICLE 7 - AUTHORIZATION FOR ENTERING THE PLAN.

         An employee may elect to enter the Plan by filling out, signing and
delivering to the Company an authorization:

                  A. Stating the percentage to be deducted regularly from the
employee's pay;

                  B. Authorizing the purchase of stock for the employee in each
Payment Period in accordance with the terms of the Plan; and

                  C. Specifying the exact name or names in which stock purchased
for the employee is to be issued as provided under Article 11 hereof.

<PAGE>
                                      -5-

Such authorization must be received by the Company at least ten business days
before the first day of the next succeeding Payment Period and shall take effect
only if the employee is an eligible employee on the first business day of such
Payment Period.

         Unless a participant files a new authorization or withdraws from the
Plan, the deductions and purchases under the authorization the participant has
on file under the Plan will continue from one Payment Period to succeeding
Payment Periods as long as the Plan remains in effect.

         The Company will accumulate and hold for each participant's account the
amounts deducted from his or her pay. No interest will be paid on these amounts.

ARTICLE 8 - MAXIMUM AMOUNT OF PAYROLL DEDUCTIONS.

         An employee may authorize payroll deductions in an amount (expressed as
a whole percentage) not less than one percent (1%) but not more than ten percent
(10%) of the employee's total compensation, including base pay or salary and any
overtime, bonuses or commissions.

ARTICLE 9 - CHANGE IN PAYROLL DEDUCTIONS.

         Deductions may not be increased or decreased between the commencement
of a Payment Period and the Payroll Cut-off Date applicable to such Payment
Period. However, a participant may withdraw in full from the Plan at any time,
except, with respect to withdrawal from a Payment Period, on the last day of
such Payment Period.

ARTICLE 10 - WITHDRAWAL FROM THE PLAN.

         An employee may withdraw from the Plan (in whole but not in part) at
any time, except, with respect to withdrawal from a Payment Period, on the last
day of such Payment Period, by delivering a withdrawal notice to the Company, in
which case the Company will promptly refund the entire balance of the employee's
deductions not previously used to purchase stock under the Plan.

         To re-enter the Plan, an employee who has previously withdrawn must
file a new authorization at least ten business days before the first day of the
next Payment Period in which he or she wishes to participate. The employee's
re-entry into the Plan becomes effective at the beginning of such Payment
Period, provided that he or she is an eligible employee on the first business
day of such Payment Period.

ARTICLE 11 - ISSUANCE OF STOCK.

         Certificates for stock issued to participants shall be delivered as
soon as practicable after each Payment Period by the Company's transfer agent.

<PAGE>
                                      -6-

         Stock purchased under the Plan shall be issued only in the name of the
participant, or if the participant's authorization so specifies, in the name of
the participant and another person of legal age as joint tenants with rights of
survivorship.

ARTICLE 12 - ADJUSTMENTS.

         Upon the happening of any of the following described events, a
participant's rights under options granted under the Plan shall be adjusted as
hereinafter provided:

                  A. In the event that the shares of Common Stock shall be
subdivided or combined into a greater or smaller number of shares or if, upon a
reorganization, split-up, liquidation, recapitalization or the like of the
Company, the shares of Common Stock shall be exchanged for other securities of
the Company, each participant shall be entitled, subject to the conditions
herein stated, to purchase such number of shares of Common Stock or amount of
other securities of the Company as were exchangeable for the number of shares of
Common Stock that such participant would have been entitled to purchase except
for such action, and appropriate adjustments shall be made in the purchase price
per share to reflect such subdivision, combination or exchange; and

                  B. In the event the Company shall issue any of its shares as a
stock dividend upon or with respect to the shares of stock of the class which
shall at the time be subject to option hereunder, each participant upon
exercising such an option shall be entitled to receive (for the purchase price
paid upon such exercise) the shares as to which the participant is exercising
his or her option and, in addition thereto (at no additional cost), such number
of shares of the class or classes in which such stock dividend or dividends were
declared or paid, and such amount of cash in lieu of fractional shares, as is
equal to the number of shares thereof and the amount of cash in lieu of
fractional shares, respectively, which the participant would have received if
the participant had been the holder of the shares as to which the participant is
exercising his or her option at all times between the date of the granting of
such option and the date of its exercise.

         Upon the happening of any of the foregoing events, the class and
aggregate number of shares set forth in Article 4 hereof which are subject to
options which have been or may be granted under the Plan and the limitations set
forth in the second paragraph of Article 5 shall also be appropriately adjusted
to reflect the events specified in paragraphs A. and B. above. Notwithstanding
the foregoing, any adjustments made pursuant to paragraphs A. or B. shall be
made only after the Committee, based on advice of counsel for the Company,
determines whether such adjustments would constitute a "modification" (as that
term is defined in Section 424 of the Code). If the Committee determines that
such adjustments would constitute a modification, it may refrain from making
such adjustments.

         If the Company is to be consolidated with or acquired by another entity
in a merger, a sale of all or substantially all of the Company's assets or
otherwise (an "Acquisition"), the Committee shall, with respect to options then
outstanding under the Plan, either (i) make appropriate provision for the
exchange of such options on an equitable basis for the consideration

<PAGE>
                                      -7-

payable with respect to the outstanding shares of the Company's Common Stock in
connection with the Acquisition, or (ii) terminate all outstanding options in
exchange for a cash payment equal to the excess of the fair market value of the
shares subject to the options (determined as of the date of the Acquisition)
over the Option Price thereof (determined with reference only to the first
business day of the applicable Payment Period).

         The Committee shall determine the adjustments to be made under this
Article 12, and its determination shall be conclusive.

ARTICLE 13 - NO TRANSFER OR ASSIGNMENT OF EMPLOYEE'S RIGHTS.

         An employee's rights under the Plan are the employee's alone and may
not be transferred or assigned to, or availed of by, any other person other than
by will or the laws of descent and distribution. Any option granted under the
Plan to an employee may be exercised, during the employee's lifetime, only by
the employee.

ARTICLE 14 - TERMINATION OF EMPLOYEE'S RIGHTS.

         Whenever a participant ceases to be an eligible employee because of
retirement, voluntary or involuntary termination, resignation, layoff,
discharge, death or for any other reason, his or her rights under the Plan shall
immediately terminate, and the Company shall promptly refund, without interest,
the entire balance of his or her payroll deduction account under the Plan.
Notwithstanding the foregoing, eligible employment shall be treated as
continuing intact while a participant is on military leave, sick leave or other
bona fide leave of absence, for up to 90 days, or for so long as the
participant's right to re-employment is guaranteed either by statute or by
contract, if longer than 90 days.

         If a participant's payroll deductions are interrupted by any legal
process, a withdrawal notice will be considered as having been received from the
participant on the day the interruption occurs.

ARTICLE 15 - TERMINATION AND AMENDMENTS TO PLAN.

         Unless terminated sooner as provided below, the Plan shall terminate on
September 29, 2005. The Plan may be terminated at any time by the Company's
Board of Directors but such termination shall not affect options then
outstanding under the Plan. It will terminate in any case when all or
substantially all of the unissued shares of stock reserved for the purposes of
the Plan have been purchased. If at any time shares of stock reserved for the
purpose of the Plan remain available for purchase but not in sufficient number
to satisfy all then unfilled purchase requirements, the available shares shall
be apportioned among participants in proportion to the amount of payroll
deductions accumulated on behalf of each participant that would otherwise be
used to purchase stock, and the Plan shall terminate. Upon such termination or
any other termination of the Plan, all payroll deductions not used to purchase
stock will be refunded, without interest.

<PAGE>
                                      -8-

         The Committee or the Board of Directors may from time to time adopt
amendments to the Plan provided that, without the approval of the stockholders
of the Company, no amendment may (i) materially increase the number of shares
that may be issued under the Plan; (ii) change the class of employees eligible
to receive options under the Plan, if such action would be treated as the
adoption of a new plan for purposes of Section 423(b) of the Code; or (iii)
cause Rule 16b-3 under the Securities Exchange Act of 1934 to become
inapplicable to the Plan.

ARTICLE 16 - LIMITS ON SALE OF STOCK PURCHASED UNDER THE PLAN.

         The Plan is intended to provide shares of Common Stock for investment
and not for resale. The Company does not, however, intend to restrict or
influence any employee in the conduct of his or her own affairs. An employee
may, therefore, sell stock purchased under the Plan at any time the employee
chooses, subject to compliance with any policies of the Company, applicable
federal or state securities laws and subject to any restrictions imposed under
Article 21 to ensure that tax withholding obligations are satisfied. THE
EMPLOYEE ASSUMES THE RISK OF ANY MARKET FLUCTUATIONS IN THE PRICE OF THE STOCK.

ARTICLE 17 - PARTICIPATING SUBSIDIARIES.

         The term "participating subsidiary" shall mean any present or future
subsidiary of the Company, as that term is defined in Section 424(f) of the
Code, which is designated from time to time by the Board of Directors to
participate in the Plan. The Board of Directors shall have the power to make
such designation before or after the Plan is approved by the stockholders.

ARTICLE 18 - OPTIONEES NOT STOCKHOLDERS.

         Neither the granting of an option to an employee nor the deductions
from his or her pay shall constitute such employee a stockholder of the shares
covered by an option until such shares have been actually purchased by the
employee.

ARTICLE 19 - APPLICATION OF FUNDS.

         The proceeds received by the Company from the sale of Common Stock
pursuant to options granted under the Plan will be used for general corporate
purposes.

ARTICLE 20 - NOTICE TO COMPANY OF DISQUALIFYING DISPOSITION.

         By electing to participate in the Plan, each participant agrees to
notify the Company in writing immediately after the participant transfers Common
Stock acquired under the Plan, if such transfer occurs within two years after
the first business day of the Payment Period in which such Common Stock was
acquired. Each participant further agrees to provide any information about such
a transfer as may be requested by the Company or any subsidiary corporation in
order to assist it in complying with the tax laws. Such dispositions generally
are treated as "disqualifying dispositions" under Sections 421 and 424 of the
Code, which have certain tax consequences to participants and to the Company and
its participating subsidiaries.

<PAGE>
                                      -9-

ARTICLE 21 - WITHHOLDING OF ADDITIONAL INCOME TAXES.

         By electing to participate in the Plan, each participant acknowledges
that the Company and its participating subsidiaries are required to withhold
taxes with respect to the amounts deducted from the participant's compensation
and accumulated for the benefit of the participant under the Plan, and each
participant agrees that the Company and its participating subsidiaries may
deduct additional amounts from the participant's compensation, when amounts are
added to the participant's account, used to purchase Common Stock or refunded,
in order to satisfy such withholding obligations. Each participant further
acknowledges that when Common Stock is purchased under the Plan the Company and
its participating subsidiaries may be required to withhold taxes with respect to
all or a portion of the difference between the fair market value of the Common
Stock purchased and its purchase price, and each participant agrees that such
taxes may be withheld from compensation otherwise payable to such participant.
It is intended that tax withholding will be accomplished in such a manner that
the full amount of payroll deductions elected by the participant under Article 7
will be used to purchase Common Stock. However, if amounts sufficient to satisfy
applicable tax withholding obligations have not been withheld from compensation
otherwise payable to any participant, then, notwithstanding any other provision
of the Plan, the Company may withhold such taxes from the participant's
accumulated payroll deductions and apply the net amount to the purchase of
Common Stock, unless the participant pays to the Company, prior to the exercise
date, an amount sufficient to satisfy such withholding obligations. Each
participant further acknowledges that the Company and its participating
subsidiaries may be required to withhold taxes in connection with the
disposition of stock acquired under the Plan and agrees that the Company or any
participating subsidiary may take whatever action it considers appropriate to
satisfy such withholding requirements, including deducting from compensation
otherwise payable to such participant an amount sufficient to satisfy such
withholding requirements or conditioning any disposition of Common Stock by the
participant upon the payment to the Company or such subsidiary of an amount
sufficient to satisfy such withholding requirements.

ARTICLE 22 - GOVERNMENTAL REGULATIONS.

         The Company's obligation to sell and deliver shares of Common Stock
under the Plan is subject to the approval of any governmental authority required
in connection with the authorization, issuance or sale of such shares.

         Government regulations may impose reporting or other obligations on the
Company with respect to the Plan. For example, the Company may be required to
identify shares of Common Stock issued under the Plan on its stock ownership
records and send tax information statements to employees and former employees
who transfer title to such shares.

ARTICLE 23 - GOVERNING LAW.

         The validity and construction of the Plan shall be governed by the laws
of the State of Delaware, without giving effect to the principles of conflicts
of law thereof.

<PAGE>
                                      -10-

ARTICLE 24 - APPROVAL OF BOARD OF DIRECTORS AND STOCKHOLDERS OF THE COMPANY.

         The Plan was adopted by the Board of Directors on September 28, 1995
and was approved by the stockholders of the Company as of October 16, 1995.

         The Plan was amended and restated by the Board of Directors on June 14,
2000 to, effective January 1, 2001, a) delete a requirement in Article 3 that
employees have completed one year of employment to be eligible to participate in
the Plan and b) increase the maximum amount of payroll deductions in Article 8
from 5% to 10% of such employee's total compensation.

         No stockholder approval was required.

         The Plan was further amended and restated by the Board of Directors on
January 31, 2002 to, effective July 1, 2002, change the Payment Periods to
periods commencing on July 15 and January 15 of each year and ending on February
1 and August 1 of each year.

         No stockholder approval was required.

         The Plan was further amended by the Board of Directors on June 27, 2002
to, effective July 1, 2002, revise the definition of the Option Price so that
the Option Price per share is rounded up to the nearest whole cent.

         No stockholder approval was required.

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