Document:

Exhibit

Exhibit 4.10
ABERCROMBIE & FITCH CO. 
2016 LONG-TERM INCENTIVE PLAN FOR ASSOCIATES
1. Purpose. The purpose of this 2016 Long-Term Incentive Plan for Associates (the “Plan”) is to aid Abercrombie & Fitch Co., a Delaware corporation (together with its successors and assigns, the “Company”), in attracting, retaining, motivating and rewarding certain associates of the Company or its subsidiaries or affiliates, to provide for equitable and competitive compensation opportunities, to recognize individual contributions and reward achievement of Company goals, and to promote the creation of long-term value for stockholders of the Company by closely aligning the interests of Participants with those of stockholders. The Plan authorizes equity‐based incentives for Participants. 
2. Definitions. In addition to the terms defined in Section 1 above and elsewhere in the Plan, the following capitalized terms used in the Plan have the respective meanings set forth in this Section: 
(a) “Annual Limit” shall have the meaning specified in Section 5(b). 
(b) “Award” means any Option, SAR, Restricted Stock or Restricted Stock Unit, together with any related right or interest, granted to a Participant under the Plan. 
(c) “Beneficiary” means the legal representatives of the Participant’s estate entitled by will or the laws of descent and distribution to receive the benefits under a Participant’s Award upon a Participant’s death, provided that, if and to the extent authorized by the Committee, a Participant may be permitted to designate a Beneficiary, in which case the “Beneficiary” instead will be the person, persons, trust or trusts (if any are then surviving) which have been designated by the Participant in his or her most recent written and duly filed beneficiary designation to receive the benefits specified under the Participant’s Award upon such Participant’s death. 
(d) “Board” means the Company’s Board of Directors. 
(e) “Change of Control” has the meaning specified in Section 9. 
(f) “Code” means the Internal Revenue Code of 1986, as amended. References to any provision of the Code or regulation thereunder shall include any successor provisions and regulations, and reference to regulations includes any applicable guidance or pronouncement of the Department of the Treasury and the Internal Revenue Service. 
(g) “Committee” means the Compensation and Organization Committee of the Board, the composition and governance of which is established in the Committee’s charter as approved from time to time by the Board and subject to Section 303A.05 of the Listed Company Manual of the New York Stock Exchange, and other corporate governance documents of the Company. No action of the Committee shall be void or deemed to be without authority due to the failure of any member, at the time the action was taken, to meet any qualification standard set forth in the Committee’s charter or the Plan. The full Board may perform any function of the Committee hereunder except to the extent limited under Section 303A.05 of the Listed Company Manual of the New York Stock Exchange, in which case the term “Committee” shall refer to the Board. 
(h) “Covered Associate” means an Eligible Person who is a Covered Associate as specified in Section 11(j). 
(i) “Effective Date” means the effective date specified in Section 11(q). 
(j) “Eligible Person” has the meaning specified in Section 5. 
(k) “Exchange Act” means the Securities Exchange Act of 1934, as amended. References to any provision of the Exchange Act or rule (including a proposed rule) thereunder shall include any successor provisions and rules. 
(l) “Fair Market Value” means the fair market value of Stock, Awards or other property as determined in good faith by the Committee or under procedures established by the Committee. Unless otherwise determined by the Committee, the Fair Market Value of Stock shall be the closing price per share of Stock reported on a consolidated basis for securities listed on the principal stock exchange or market on which Stock is traded on the day as of which 

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such Fair Market Value is being determined or, if there is no closing price on that day, then the closing price on the last previous day on which a closing price was reported. 
(m) “Incentive Stock Option” or “ISO” means any Option designated as an incentive stock option within the meaning of Code Section 422 and qualifying thereunder. 
(n) “Option” means a right, granted under the Plan, to purchase Stock. 
(o) “Participant” means a person who has been granted an Award under the Plan which remains outstanding, including a person who is no longer an Eligible Person. 
(p) “Restricted Stock” means Stock granted under the Plan which is subject to certain restrictions and to a risk of forfeiture. 
(q) “Restricted Stock Unit” or “RSU” means a right, granted under the Plan, to receive Stock, cash or other Awards or a combination thereof at the end of a specified deferral period. 
(r) “Retirement” means, unless otherwise stated by the Committee (or the Board) in an applicable Award agreement, a Participant’s voluntary termination of employment after achieving 65 years of age. 
(s) “Rule 16b-3” means Rule 16b-3, as from time to time in effect and applicable to Participants, promulgated by the Securities and Exchange Commission under Section 16 of the Exchange Act. 
(t) “Share Pool” has the meaning specified in Section 4. 
(u) “Stock” means the Company’s Class A Common Stock, par value $0.01 per share, and any other equity securities of the Company or another issuer that may be substituted or resubstituted for Stock pursuant to Section 11(c). 
(v) “Stock Appreciation Right” or “SAR” means a right granted to a Participant under Section 6(c). 
3. Administration. 
(a) Authority of the Committee. The Plan shall be administered by the Committee, which shall have full and final authority, in each case subject to and consistent with the provisions of the Plan, to select Eligible Persons to become Participants; to grant Awards; to determine the type and number of Awards, the dates on which Awards may be exercised and on which the risk of forfeiture shall lapse or terminate, the acceleration of any such dates, the expiration date of any Award, whether, to what extent, and under what circumstances an Award may be settled, or the exercise price of an Award may be paid, in cash, Stock, other Awards, or other property, and other terms and conditions of, and all other matters relating to, Awards; to prescribe documents evidencing or setting terms of Awards (such Award documents need not be identical for each Participant), amendments thereto, and rules and regulations for the administration of the Plan and amendments thereto (including outstanding Awards); to construe and interpret the Plan and Award documents and correct defects, supply omissions or reconcile inconsistencies therein; and to make all other decisions and determinations as the Committee may deem necessary or advisable for the administration of the Plan. Decisions of the Committee with respect to the administration and interpretation of the Plan shall be final, conclusive and binding upon all persons interested in the Plan, including Participants, Beneficiaries, transferees under Section 11(b) and other persons claiming rights from or through a Participant, and stockholders of the Company. 
(b) Manner of Exercise of Committee Authority. The express grant of any specific power to the Committee, and the taking of any action by the Committee, shall not be construed as limiting any power or authority of the Committee. The Committee may act through subcommittees, including for purposes of perfecting exemptions under Rule 16b-3 or qualifying Awards under Code Section 162(m) as performance-based compensation, in which case the subcommittee shall be subject to and have authority under the charter applicable to the Committee, and the acts of the subcommittee shall be deemed to be acts of the Committee hereunder. The Committee may delegate the administration of the Plan to one or more officers or associates of the Company, and such administrator(s) may have the authority to execute and distribute Award agreements or other documents evidencing or relating to Awards granted by the Committee under this Plan, to maintain records relating to Awards, to process or oversee the issuance of Stock under Awards, to interpret and administer the terms of Awards and to take such other actions as may be 

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necessary or appropriate for the administration of the Plan and of Awards under the Plan, provided that in no case shall any such administrator be authorized (i) to grant Awards under the Plan, (ii) to take any action that would result in the loss of an exemption under Rule 16b-3 for Awards granted to or held by Participants who at the time are subject to Section 16 of the Exchange Act in respect of the Company or that would cause Awards intended to qualify as “performance-based compensation” under Code Section 162(m) to fail to so qualify, (iii) to take any action inconsistent with Section 157 and other applicable provisions of the Delaware General Corporation Law, or (iv) to make any determination required to be made by the Committee under the New York Stock Exchange corporate governance standards applicable to listed company compensation committees (currently, Rule 303A.05). Any action by any such administrator within the scope of its delegation shall be deemed for all purposes to have been taken by the Committee and, except as otherwise specifically provided, references in this Plan to the Committee shall include any such administrator. The Committee established pursuant to Section 3(a) and, to the extent it so provides, any subcommittee, shall have sole authority to determine whether to review any actions and/or interpretations of any such administrator, and if the Committee shall decide to conduct such a review, any such actions and/or interpretations of any such administrator shall be subject to approval, disapproval or modification by the Committee. 
(c) Limitation of Liability. The Committee and each member thereof, and any person acting pursuant to authority delegated by the Committee, shall be entitled, in good faith, to rely or act upon any report or other information furnished by any executive officer, other officer or associate of the Company or a subsidiary or affiliate of the Company, the Company’s independent auditors, consultants or any other agents assisting in the administration of the Plan. Members of the Committee, any person acting pursuant to authority delegated by the Committee, and any officer or associate of the Company or a subsidiary or affiliate of the Company acting at the direction or on behalf of the Committee or a delegee shall not be personally liable for any action or determination taken or made in good faith with respect to the Plan, and shall, to the extent permitted by law, be fully indemnified and protected by the Company with respect to any such action or determination. 
4. Stock Subject to Plan. 
(a) Overall Number of Shares Available for Delivery. The total number of shares of Stock reserved and available for delivery in connection with Awards under the Plan shall be 3,500,000 (the “Share Pool”). Subject to limitations provided in Section 6(b)(iv), up to 500,000 authorized shares may be granted as ISOs under the Plan. The total number of shares available is subject to adjustment as provided in Section 11(c). Any shares of Stock delivered under the Plan shall consist of authorized and unissued shares or treasury shares. 
(b) Share Counting Rules. The Committee may adopt reasonable counting procedures to ensure appropriate counting, avoid double counting (as, for example, in the case of tandem or substitute awards) and make adjustments in accordance with this Section 4(b). (i) Except as set forth below, to the extent that an Award granted under the Plan expires or is forfeited, cancelled, surrendered or otherwise terminated without issuance of shares to the Participant, settled only in cash or settled by the issuance of fewer shares than the number underlying the Award, the shares retained by or tendered to the Company will be available under the Plan. (ii) Shares that are withheld from an Award of Restricted Stock or RSUs granted under the Plan to cover withholding tax obligations related to that Award or shares that are separately tendered by the Participant (either by delivery or attestation) in payment of such taxes shall be deemed to constitute shares not delivered to the Participant and will be available for future grants under the Plan. (iii) Shares that are withheld from, or that are tendered by a Participant (either by delivery or attestation) in connection with, an Award of Options or SARs granted under the Plan to cover withholding tax obligations related to that Award or the exercise price of that Award, shall be deemed to constitute shares delivered to the Participant and shall not be available for future grants under the Plan. For purposes of clarity, upon the exercise of an Option or SAR, the gross number of shares exercised, and not solely the net number of shares delivered upon such exercise, shall be treated as issued pursuant to the Plan and the shares subject to the exercised Option or SAR that are not issued or delivered upon such exercise will not be available for future grants under the Plan. (iv) In addition, in the case of any Award granted through the assumption of, or in substitution for, an outstanding award granted by of a company or business acquired by the Company or a subsidiary or affiliate of the Company or with which the Company or a subsidiary or affiliate of the Company merges, consolidates or enters into a similar corporate transaction, shares issued or issuable in connection with such substitute Award shall not be counted against the Share Pool. 

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5. Eligibility; Per-Person Award Limitations. 
(a) Eligibility. Awards may be granted under the Plan only to Eligible Persons. For purposes of the Plan, an “Eligible Person” means an associate of the Company or any subsidiary or affiliate of the Company, including any person who has been offered employment by the Company or a subsidiary or affiliate of the Company, provided that such prospective associate may not receive any payment or exercise any right relating to an Award until such person has commenced employment with the Company or a subsidiary or affiliate of the Company. An associate on leave of absence may be considered as still in the employ of the Company or a subsidiary or affiliate of the Company for purposes of eligibility for participation in the Plan, if so determined by the Committee. For purposes of the Plan, a joint venture in which the Company or a subsidiary of the Company has a substantial direct or indirect equity investment shall be deemed an affiliate, if so determined by the Committee. Holders of awards granted by a company or business acquired by the Company or a subsidiary or affiliate of the Company, or with which the Company or a subsidiary or affiliate of the Company merges, consolidates or enters into a similar corporate transaction, who will become Eligible Persons are eligible for grants of substitute awards granted through the assumption of, or in substitution for, such outstanding awards previously granted, under the Plan in connection with such transaction, if so determined by the Committee. 
(b) Per-Person Award Limitations. During any calendar year during any part of which the Plan is in effect, an Eligible Person may be granted Awards under Section 6(b), Section 6(c), Section 6(d), or Section 6(e) up to the Annual Limit (such Annual Limit to apply in the aggregate for all types of Award authorized under the Plan). A Participant’s Annual Limit, in any calendar year during any part of which the Participant is then eligible under the Plan, shall equal 1,000,000 shares, subject to adjustment as provided in Section 11(c). 
6. Specific Terms of Awards. 
(a) General. Awards may be granted on the terms and conditions set forth in this Section 6. In addition, the Committee may impose on any Award or the exercise thereof, at the date of grant or thereafter (subject to Section 11(e) and Section 11(k)), such additional terms and conditions, not inconsistent with the provisions of the Plan, as the Committee shall determine, including terms requiring forfeiture of Awards in the event of termination of employment or service by the Participant and terms permitting a Participant to make elections relating to his or her Award. The Committee shall retain full power and discretion with respect to any term or condition of an Award that is not mandatory under the Plan, subject to Section 11(k). The Committee shall require the payment of lawful consideration for an Award to the extent necessary to satisfy the requirements of the Delaware General Corporation Law, and may otherwise require payment of consideration for an Award except as limited by the Plan. The minimum vesting and minimum exercisability conditions described below need not apply (i) in the case of the death, disability or Retirement of the Participant or termination of employment of a Participant in connection with a Change of Control, and (ii) with respect to up to an aggregate of 5% of the shares of Stock authorized under the Plan, which  may be granted (or regranted upon forfeiture) in any form permitted under the Plan without regard to such minimum vesting or minimum exercisability requirements.  
(b) Options. The Committee is authorized to grant Options to Participants on the following terms and conditions: 
(i) Exercise Price. The exercise price per share of Stock purchasable under an Option (including both ISOs and non-qualified Options) shall be determined by the Committee, provided that, notwithstanding anything contained herein to the contrary, such exercise price shall be (A) fixed as of the grant date, and (B) not less than the Fair Market Value of a share of Stock on the grant date. Notwithstanding the foregoing, any substitute award granted through the assumption of, or in substitution for, an outstanding award granted by a company or business acquired by the Company or a subsidiary or affiliate of the Company, or with which the Company or a subsidiary or affiliate of the Company merges, consolidates or enters into a similar corporate transaction, may be granted with an exercise price per share of Stock other than as required above. 
(ii) No Repricing. Without the approval of stockholders of the Company, the Committee will not amend or replace previously granted Options in a transaction that constitutes a “repricing,” meaning any reduction in exercise price, cancellation of an Option or exchange for another Option with a lower exercise price, cancellation of an Option for cash, or cancellation of an Option for another grant if the exercise price 

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of the cancelled Option is greater than the Fair Market Value of the shares of Stock subject to the cancelled Option at the time of cancellation, other than in conjunction with a Change of Control or other adjustment under Section 11(c), or any other “repricing” as that term is used in Section 303A.08 of the Listed Company Manual of the New York Stock Exchange (or any successor provision). 
(iii) Option Term; Time and Method of Exercise. The Committee shall determine the term of each Option, provided that in no event shall the term of any Option exceed a period of ten years from the date of grant. The Committee shall determine the time or times at which or the circumstances under which an Option may be exercised in whole or in part, provided that, notwithstanding anything contained herein to the contrary, the sole and exclusive basis for determining both the vesting and exercisability of an Option will be the passage of a specific period of time (which at a minimum shall be a period of one year) or the occurrence or non-occurrence of certain specific performance related or non-performance related events (e.g., death, disability, termination of employment in connection with a Change of Control). In addition, the Committee shall determine the methods by which such exercise price may be paid or deemed to be paid and the form of such payment (subject to Section 11(k) and Section 11(l)), including, without limitation, cash, Stock (including by withholding Stock deliverable upon exercise), other Awards or awards granted under other plans of the Company or any subsidiary or affiliate of the Company, or other property (including through broker-assisted “cashless exercise” arrangements, to the extent permitted by applicable law), and the methods by or forms in which Stock will be delivered or deemed to be delivered in satisfaction of Options to Participants. 
(iv) ISOs. Notwithstanding anything to the contrary in this Section 6, in the case of the grant of an Option intending to qualify as an ISO: (A) if the Participant owns stock possessing more than 10 percent of the combined voting power of all classes of stock of the Company (a “10% Stockholder”), the purchase price of such Option must be at least 110 percent of the fair market value of the Common Stock on the date of grant and the Option must expire within a period of not more than five years from the date of grant, and (B) termination of employment will occur when the person to whom an Award was granted ceases to be an associate (as determined in accordance with Section 3401(c) of the Code and the regulations promulgated thereunder) of the Company and its subsidiaries. Notwithstanding anything in this Section 6 to the contrary, Options designated as ISOs shall not be eligible for treatment under the Code as ISOs to the extent that either (X) the aggregate fair market value of shares of Common Stock (determined as of the time of grant) with respect to which such Options are exercisable for the first time by the Participant during any calendar year (under all plans of the Company and any Subsidiary) exceeds $100,000, taking Options into account in the order in which they were granted, or (Y) such Options otherwise remain exercisable but are not exercised within three months of termination of employment (or such other period of time provided in Section 422 of the Code). 
(c) Stock Appreciation Rights. The Committee is authorized to grant SARs to Participants on the following terms and conditions: 
(i) Right to Payment. An SAR shall confer on the Participant to whom the SAR is granted a right to receive, upon exercise thereof, shares of Stock having a value equal to the excess of (A) the Fair Market Value of one share of Stock on the date of exercise (or, in the case of a “Limited SAR,” the Fair Market Value determined by reference to the Change of Control Price, as defined under the applicable award agreement) over (B) the exercise or settlement price of the SAR as determined by the Committee. Stock Appreciation Rights may be granted to Participants from time to time either in tandem with or as a component of other Awards granted under the Plan (“tandem SARs”) or not in conjunction with other Awards (“freestanding SARs”) and may, but need not, relate to a specific Option granted under Section 6(b). The per share price for exercise or settlement of SARs (including both tandem SARs and freestanding SARs) shall be determined by the Committee, but in the case of SARs that are granted in tandem with an Option shall not be less than the exercise price of the Option and in the case of freestanding SARs shall be (X) fixed as of the grant date, and (Y) not less than the Fair Market Value of a share of Stock on the grant date. 
(ii) No Repricing. Without the approval of stockholders of the Company, the Committee will not amend or replace previously granted SARs in a transaction that constitutes a “repricing,” meaning any reduction in exercise price, cancellation of an SAR in exchange for another SAR with a lower exercise 

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price, cancellation of an SAR for cash, or cancellation of an SAR for another grant if the exercise price of the cancelled SAR is greater than the Fair Market Value of the shares of Stock subject to the cancelled SAR at the time of cancellation, other than in conjunction with a Change of Control or other adjustment under Section 11(c), or any other “repricing” as that term is used in Section 303A.08 of the Listed Company Manual of the New York Stock Exchange (or any successor provision). 
(iii) Other Terms. The Committee shall determine the term of each SAR, provided that in no event shall the term of an SAR exceed a period of ten years from the date of grant. The Committee shall determine at the date of grant or thereafter, the time or times at which and the circumstances under which an SAR may be exercised in whole or in part (including based on future service requirements which at a minimum shall be a period of one year), the method of exercise, method of settlement, method by or forms in which Stock will be delivered or deemed to be delivered to Participants, and whether or not an SAR shall be freestanding or in tandem or combination with any other Award. Limited SARs, that may only be exercised in connection with a Change of Control or termination of service following a Change of Control as specified by the Committee, may be granted on such terms, not inconsistent with this Section 6(c), as the Committee may determine. The Committee may require that an outstanding Option be exchanged for an SAR exercisable for Stock having vesting, expiration and other terms substantially the same as the Option, so long as such exchange will not result in additional accounting expense to the Company. 
(d) Restricted Stock. The Committee is authorized to grant Restricted Stock to Participants on the following terms and conditions: 
(i) Grant and Restrictions. Subject to Section 6(d)(ii), Restricted Stock shall be subject to such restrictions on transferability, risk of forfeiture and other restrictions, if any, as the Committee may impose, which restrictions may lapse separately or in combination at such times, under such circumstances (including based on achievement of performance conditions and/or future service requirements), in such installments or otherwise and under such other circumstances as the Committee may determine at the date of grant or thereafter. Except to the extent restricted under the terms of the Plan and any Award document relating to the Restricted Stock, a Participant granted Restricted Stock shall have all of the rights of a stockholder, including the right to vote the Restricted Stock and the right to receive dividends thereon (subject to any mandatory reinvestment or other requirement imposed by the Committee). Upon any forfeiture of Restricted Stock, a Participant shall cease to have any rights of a stockholder of the Company and shall return any certificates representing such Restricted Stock to the Company. 
(ii) Limitation on Vesting. The grant, issuance, retention, vesting and/or settlement of Restricted Stock shall occur at such time and in such installments as determined by the Committee or under criteria established by the Committee. Subject to Section 10, the Committee shall have the right to make the timing of the grant and/or the issuance, ability to retain, vesting and/or settlement of Restricted Stock subject to continued employment, passage of time and/or such performance conditions as deemed appropriate by the Committee; provided that the grant, issuance, retention, vesting and/or settlement of a Restricted Stock Award that is based in whole or in part on performance conditions and/or the level of achievement versus such performance conditions shall be subject to a performance period of not less than one year, and any Award based solely upon continued employment or the passage of time shall vest over a period of not less than three years from the date the Award is made, provided that such vesting may occur in pro rata installments over the three-year period, with the first installment vesting no sooner than the first anniversary of the date of grant of such Award. 
(iii) Certificates for Stock. Restricted Stock granted under the Plan may be evidenced in such manner as the Committee shall determine. If certificates representing Restricted Stock are registered in the name of the Participant, the Committee may require that such certificates bear an appropriate legend referring to the terms, conditions and restrictions applicable to such Restricted Stock, that the Company retain physical possession of the certificates, and that the Participant deliver a stock power to the Company, endorsed in blank, relating to the Restricted Stock. 
(iv) Dividends and Splits. As a condition to the grant of an Award of Restricted Stock, the Committee may require that any dividends paid on a share of Restricted Stock shall be either (A) paid with respect to such Restricted Stock at the dividend payment date in cash, in kind, or in a number of shares of 

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unrestricted Stock having a Fair Market Value equal to the amount of such dividends, or (B) automatically reinvested in additional Restricted Stock or held in kind, which shall be subject to the same terms as applied to the original Restricted Stock to which it relates. Unless otherwise determined by the Committee, Stock distributed in connection with a Stock split or Stock dividend, and other property distributed as a dividend, shall be subject to restrictions and a risk of forfeiture to the same extent as the Restricted Stock with respect to which such Stock or other property has been distributed. 
(e) Restricted Stock Units. The Committee is authorized to grant RSUs to Participants, subject to the following terms and conditions: 
(i) Award and Restrictions. Subject to Section 6(e)(ii), RSUs shall be subject to such restrictions on transferability, risk of forfeiture and other restrictions, if any, as the Committee may impose, which restrictions may lapse separately or in combination at such times, under such circumstances (including based on achievement of performance conditions and/or future service requirements), in such installments or otherwise and under such other circumstances as the Committee may determine at the date of grant or thereafter. A Participant granted RSUs shall not have any of the rights of a stockholder of the Company, including the right to vote, until Stock shall have been issued in the Participant’s name pursuant to the RSUs, except that the Committee may provide for dividend equivalents pursuant to Section 6(e)(iii) below. 
(ii) Limitation on Vesting. The grant, issuance, retention, vesting and/or settlement of RSUs shall occur at such time and in such installments as determined by the Committee or under criteria established by the Committee. Subject to Section 10, the Committee shall have the right to make the timing of the grant and/or the issuance, ability to retain, vesting and/or settlement of RSUs subject to continued employment, passage of time and/or such performance conditions as deemed appropriate by the Committee; provided that the grant, issuance, retention, vesting and/or settlement of an RSU that is based in whole or in part on performance conditions and/or the level of achievement versus such performance conditions shall be subject to a performance period of not less than one year, and any Award based solely upon continued employment or the passage of time shall vest over a period of not less than three years from the date the Award is made, provided that such vesting may occur in pro rata installments over the three-year period, with the first installment vesting no sooner than the first anniversary of the date of grant of such Award. 
(iii) Dividend Equivalents. Unless otherwise determined by the Committee, dividend equivalents on the specified number of shares of Stock covered by an Award of RSUs shall be either (A) paid with respect to such RSUs at the dividend payment date in cash or in shares of unrestricted Stock having a Fair Market Value equal to the amount of such dividends, or (B) deferred with respect to such RSUs, either as a cash deferral or with the amount or value thereof automatically deemed reinvested in additional RSUs, other Awards or other investment vehicles having a Fair Market Value equal to the amount of such dividends, as the Committee shall determine or permit a Participant to elect. 
7. Performance-Based Compensation. 
(a) Performance Goals Generally. If the Committee specifies that any Restricted Stock or RSU Award is intended to qualify as “performance-based compensation” for purposes of Code Section 162(m), the grant, issuance, vesting and/or settlement of such Award shall be contingent upon achievement of preestablished performance goals and other terms set forth in this Section 7. The performance goal for such Awards shall consist of one or more business criteria and the level or levels of performance with respect to each of such criteria, as specified by the Committee consistent with this Section 7. The performance goal shall be an objective business criteria enumerated under Section 7(c) and shall otherwise meet the requirements of Code Section 162(m) and regulations thereunder, including the requirement that the level or levels of performance targeted by the Committee result in the achievement of performance goals being “substantially uncertain”. Performance goals may differ for Awards granted to any one Participant or to different Participants. 
(b) Timing for Establishing Performance Conditions. A performance goal shall be established not later than the earlier of (i) 90 days after the beginning of any performance period applicable to such performance-based Award or (ii) the time 25% of such performance period has elapsed. 
(c) Business Criteria. For purposes of this Plan, a “performance goal” shall mean any one or more of the following business criteria, either individually, alternatively or in any combination, applied to either the Company as 

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a whole or to a business unit or subsidiary, either individually, alternatively or in any combination, and measured either annually or cumulatively over a period of years, on an absolute basis or relative to a pre-established target, to previous years’ results or to a designated comparison group, in each case as specified by the Committee: 
(i) gross sales, net sales, comparable store sales or comparable sales; 
(ii) gross margin, cost of goods sold, mark-ups or mark-downs; 
(iii) selling, general and administrative expenses; 
(iv) operating income, earnings from operations, earnings before or after taxes, earnings before or after interest, depreciation, amortization, or extraordinary or special items; 
(v) net income or net income per common share (basic or diluted); 
(vi) inventory turnover or inventory shrinkage; 
(vii) return on assets, return on investment, return on capital, or return on equity; 
(viii) cash flow, free cash flow, cash flow return on investment, or net cash provided by operations; 
(ix) economic profit or economic value created; 
(x) stock price or total stockholder return; and 
(xi) market penetration, geographic expansion or new concept development; customer satisfaction; staffing; diversity; training and development; succession planning; associate satisfaction; or acquisitions or divestitures of subsidiaries, affiliates or joint ventures. 
(d) Written Determinations. Determinations by the Committee as to the establishment of performance conditions, the amount potentially payable in respect of performance-based Awards, the level of actual achievement of the specified performance conditions relating to such Awards, and the amount of any final Award shall be recorded in writing in the case of Awards intended to qualify under Code Section 162(m). Specifically, the Committee shall certify in writing, in a manner conforming to applicable regulations under Code Section 162(m), prior to settlement of each such Award granted to a Covered Associate, that the performance objective relating to the performance-based Award and other material terms of the Award upon which settlement of the Award was conditioned have been satisfied. 
(e) Settlement of performance-based Awards; Other Terms. Settlement of performance-based Awards shall be in cash or Stock, in the Committee’s discretion. The Committee may, in its discretion, reduce the amount of a settlement otherwise to be made in connection with such Awards. Any settlement which changes the form of payment from that originally specified shall be implemented in a manner such that the Award and other related Awards do not, solely for that reason, fail to qualify as “performance-based compensation” for purposes of Code Section 162(m). The Committee shall specify the circumstances in which such Awards shall be paid or forfeited in the event of a Participant’s death, disability or Retirement, in connection with a Change of Control or, subject to the one-year performance condition set forth in Section 6(d)(ii) and Section 6(e)(ii), in connection with any other termination of employment prior to the end of a performance period or settlement of such Awards. 
(f) Right of Recapture. If at any time after the date on which a Participant has been granted or becomes vested in an Award pursuant to the achievement of a performance goal under Section 7(c), the Committee determines that the earlier determination as to the achievement of the performance goal was based on incorrect data and that in fact the performance goal had not been achieved or had been achieved to a lesser extent than originally determined and a portion of an Award would not have been granted, vested or paid, given the correct data, then (i) such portion of the Award that was granted shall be forfeited and any related shares (or if such shares were disposed of, the cash equivalent) shall be returned to the Company as provided by the Committee, (ii) such portion of the Award that became vested shall be deemed to be not vested and any related shares (or if such shares were disposed of, the cash equivalent) shall be returned to the Company as provided by the Committee, and (iii) such 

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portion of the Award paid to the Participant shall be paid by the Participant to the Company upon notice from the Company as provided by the Committee. 
8. Certain Provisions Applicable to Awards. 
(a) Stand-Alone, Additional, and Tandem Awards. Awards granted under the Plan may, in the Committee’s discretion, be granted either alone or in addition to, in tandem with, or in substitution or exchange for, any other Award or any award granted under another plan of the Company, any subsidiary or affiliate of the Company, or any business entity to be acquired by the Company or a subsidiary or affiliate of the Company, or any other right of a Participant to receive payment from the Company or any subsidiary or affiliate of the Company. Awards granted in addition to or in tandem with other Awards or awards may be granted either as of the same time as or a different time from the grant of such other Awards or awards. 
(b) Term of Awards. The term of each Award shall be for such period as may be determined by the Committee, subject to the express limitations set forth in Section 6(b)(iii) and Section 6(c)(iii) or elsewhere in the Plan. 
(c) Form and Timing of Payment under Awards. Subject to the terms of the Plan (including Section 11(k) and Section 11(l)) and any applicable Award document, payments to be made by the Company or a subsidiary or affiliate of the Company upon the exercise of an Option or other Award or settlement of an Award may be made in such forms as the Committee shall determine, including, without limitation, cash, Stock, other Awards or other property, and may be made in a single payment or transfer, in installments, or on a deferred basis. The settlement of any Award may be accelerated, and cash paid in lieu of Stock in connection with such settlement, in the Committee’s discretion or upon occurrence of one or more specified events, subject to Section 6(b)(iv), Section 11(k) and Section 11(l). 
9. Change of Control. 
(a) Impact of Event. Unless the Board or the Committee provides otherwise (either at the time of grant of an Award or thereafter) prior to a Change of Control, this Section 9(a) shall govern the treatment of any Option, SAR, Restricted Stock or RSU, the exercisability, vesting and/or settlement of which is based solely upon continued employment or passage of time. In the case of an Award subject to this Section 9(a) that the acquiring or surviving company in the Change of Control assumes upon and maintains following the Change of Control (which Award shall be adjusted as to the number and kind of shares as may be determined appropriate by the Committee prior to the Change of Control), if there occurs an involuntary termination without cause of the Participant holding such Award (excluding voluntary resignation, death, disability or Retirement) within three months prior to or eighteen months following the Change of Control, such Award shall be treated as provided in clause (i) or clause (ii) of this Section 9(a), as applicable. In the case of an Award subject to this Section 9(a) that the acquiring or surviving company in the Change of Control does not assume upon the Change of Control, immediately prior to the Change of Control, such Award shall be treated as provided in clause (i) or clause (ii) of this Section 9(a), as applicable. The treatment provided for under this Section 9(a) is as follows: 
(i) in the case of an Option or SAR, the Participant shall have the ability to exercise such Option or SAR, including any portion of the Option or SAR not previously exercisable, until the earlier of the expiration of the Option or SAR under its original term and a date that is two years (or such longer post-termination exercisability term as may be specified in the Option or SAR) following such date of termination of employment; and 
(ii) in the case of Restricted Stock or RSUs, the Award shall become fully vested and shall be settled in full. 
The Committee may also, through the terms of an Award or otherwise, provide for an absolute or conditional exercise, payment or lapse of conditions or restrictions on an Award which shall only be effective if, upon the announcement of a transaction intended to result in a Change of Control, no provision is made in such transaction for the assumption and continuation of outstanding Awards. 
(b) Effect of Change of Control upon performance-based Awards. Unless the Committee specifies otherwise in the terms of an Award prior to a Change of Control, this Section 9(b) shall control the treatment of any 

9

Restricted Stock or RSU if, at the time of the Change of Control, the grant, issuance, retention, vesting and/or settlement of such Award is based in whole or in part on performance criteria and level of achievement versus such criteria. In the case of an Award subject to this Section 9(b) in which fifty percent (50%) or more of the performance period applicable to the Award has elapsed as of the date of the Change of Control, the Participant shall be entitled to payment, vesting or settlement of such Award based upon performance through a date occurring within three months prior to the date of the Change of Control, as determined by the Committee prior to the Change of Control, and pro-rated based upon the percentage of the performance period that has elapsed between the date such Award was granted and the date of the Change of Control. In the case of an Award subject to this Section 9(b) in which less than fifty percent (50%) of the performance period applicable to the Award has elapsed as of the date of the Change of Control, the Participant shall be entitled to payment, vesting or settlement of the target amount of such Award, as determined by the Committee prior to the Change of Control, pro-rated based upon the percentage of the performance period that has elapsed between the date such Award was granted and the date of the Change of Control. The Committee may determine either in advance or at the time of the Change of Control the treatment of the pro-rata portion of an Award attributable to the portion of the performance period occurring after the date of the Change of Control. 
Notwithstanding the foregoing, in no event shall the treatment specified in Section 9(a) and Section 9(b) apply with respect to an Award prior to the earliest to occur of (i) the date such amounts would have been distributed in the absence of the Change of Control, (ii) a Participant’s “separation from service” (as defined under Section 409A of the Code) with the Company (or six months thereafter for “specified associates”), (iii) the Participant’s death or “disability” (as defined in Section 409A(a)(2)(C) of the Code), or (iv) a “change in the ownership or effective control” of the Company or in the “ownership of a substantial portion of the assets” of the Company within the meanings ascribed to such terms in Treasury Department regulations issued under Section 409A of the Code, if and to the extent that the Committee determines, in its sole discretion, that the effect of such treatment prior to the time specified in this Section 9(b)(i), (ii), (iii) or (iv) would be the imposition of the additional tax under Section 409A(a)(1)(B) of the Code on a Participant holding such Award. 
(c) Definition of Change of Control. For purposes of the Plan, the term “Change of Control” shall mean, unless otherwise defined in an Award agreement, an occurrence of a nature that would be required to be reported by the Company in response to Item 6(e) of Schedule 14A of Regulation 14A issued under the Exchange Act. Without limiting the inclusiveness of the definition in the preceding sentence, a Change of Control of the Company shall be deemed to have occurred as of the first day that any one or more of the following conditions is satisfied: 
(i) any person is or becomes the “beneficial owner” (as that term is defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company representing 20% or more of the combined voting power of the Company’s then outstanding securities; or 
(ii) any of the following occur: (A) any merger or consolidation of the Company, other than a merger or consolidation in which the voting securities of the Company immediately prior to the merger or consolidation continue to represent (either by remaining outstanding or being converted into securities of the surviving entity) 80% or more of the combined voting power of the Company or surviving entity immediately after the merger or consolidation with another entity; (B) any sale, exchange, lease, mortgage, pledge, transfer or other disposition (in a single transaction or a series of related transactions) of assets or earning power aggregating more than 50% of the assets or earning power of the Company on a consolidated basis; (C) any complete liquidation or dissolution of the Company; (D) any reorganization, reverse stock split or recapitalization of the Company that would result in a Change of Control as otherwise defined herein; or (E) any transaction or series of related transactions having, directly or indirectly, the same effect as any of the foregoing. 
10. Additional Award Forfeiture Provisions. 
(a) Forfeiture of Options and Other Awards and Gains Realized Upon Prior Option Exercises or Award Settlements. Unless otherwise determined by the Committee, each Award granted shall be subject to the following additional forfeiture conditions, to which the Participant, by accepting an Award hereunder, agrees. If any of the events specified in Section 10(b)(i), (ii), or (iii) occurs (a “Forfeiture Event”), all of the following forfeitures will result: 

10

(i) The unexercised portion of each Option held by the Participant, whether or not vested, and any other Award not then settled will be immediately forfeited and canceled upon the occurrence of the Forfeiture Event; and 
(ii) The Participant will be obligated to repay to the Company, in cash, within five business days after demand is made therefor by the Company, the total amount of Award Gain (as defined herein) realized by the Participant upon each exercise of an Option or settlement of an Award that occurred on or after (A) the date that is six months prior to the occurrence of the Forfeiture Event, if the Forfeiture Event occurred while the Participant was employed by the Company or a subsidiary or affiliate of the Company, or (B) the date that is six months prior to the date the Participant’s employment by the Company or a subsidiary or affiliate of the Company terminated, if the Forfeiture Event occurred after the Participant ceased to be so employed. For purposes of this Section, the term “Award Gain” shall mean (X) in respect of a given Option exercise, the product of (1) the Fair Market Value per share of Stock at the date of such exercise (without regard to any subsequent change in the market price of shares) minus the exercise price times (2) the number of shares as to which the Option was exercised at that date, and (Y) in respect of any other settlement of an Award granted to the Participant, the Fair Market Value of the cash or Stock paid or payable to the Participant (regardless of any elective deferral) less any cash or the Fair Market Value of any Stock or property (other than an Award or award which would have itself then been forfeitable hereunder and excluding any payment of tax withholding) paid by the Participant to the Company as a condition of or in connection such settlement. 
(b) Events Triggering Forfeiture. The forfeitures specified in Section 10(a) will be triggered upon the occurrence of any one of the following Forfeiture Events at any time during a Participant’s employment by the Company or a subsidiary or affiliate of the Company, or during the one-year period following termination of such employment: 
(i) The Participant, acting alone or with others, directly or indirectly, (A) engages, either as employee (associate), employer, consultant, advisor, or director, or as an owner, investor, partner, or stockholder unless the Participant’s interest is insubstantial, in any business in an area or region in which the Company or a subsidiary or affiliate of the Company conducts business at the date the event occurs, which is directly in competition with a business then conducted by the Company or a subsidiary or affiliate of the Company; (B) induces any customer or supplier of the Company or a subsidiary or affiliate of the Company, with which the Company or a subsidiary or affiliate of the Company has a business relationship, to curtail, cancel, not renew, or not continue his or her or its business with the Company or any subsidiary or affiliate of the Company; or (C) induces, or attempts to influence, any associate of or service provider to the Company or a subsidiary or affiliate of the Company to terminate such employment or service. The Committee shall, in its discretion, determine which lines of business the Company and the subsidiaries and affiliates of the Company conduct on any particular date and which third parties may reasonably be deemed to be in competition with the Company or a subsidiary or affiliate of the Company. For purposes of this Section 10(b)(i), a Participant’s interest as a stockholder is insubstantial if it represents beneficial ownership of less than five percent of the outstanding class of stock, and a Participant’s interest as an owner, investor, or partner is insubstantial if it represents ownership, as determined by the Committee in its discretion, of less than five percent of the outstanding equity of the entity; 
(ii) The Participant discloses, uses, sells, or otherwise transfers, except in the course of employment with or other service to the Company or any subsidiary or affiliate of the Company, any confidential or proprietary information of the Company or any subsidiary or affiliate of the Company, including but not limited to information regarding the Company’s and its subsidiaries’ and affiliates’ current and potential customers, organization, associates, finances, and methods of operations and investments, so long as such information has not otherwise been disclosed to the public or is not otherwise in the public domain (other than by the Participant’s breach of this provision), except as required by law or pursuant to legal process, or the Participant makes statements or representations, or otherwise communicates, directly or indirectly, in writing, orally, or otherwise, or takes any other action which may, directly or indirectly, disparage or be damaging to the Company or any of its subsidiaries or affiliates or their respective officers, directors, associates, advisors, businesses or reputations, except as required by law or pursuant to legal process; or 

11

(iii) The Participant fails to cooperate with the Company or any subsidiary or affiliate of the Company in any way, including, without limitation, by making himself or herself available to testify on behalf of the Company or such subsidiary or affiliate of the Company in any action, suit, or proceeding, whether civil, criminal, administrative, or investigative, or otherwise fails to assist the Company or any subsidiary or affiliate of the Company in any way, including, without limitation, in connection with any such action, suit, or proceeding by providing information and meeting and consulting with members of management of, other representatives of, or counsel to, the Company or such subsidiary or affiliate, as reasonably requested. 
(iv) The Participant, alone or in conjunction with another person, (I) interferes with or harms, or attempts to interfere with or harm, the relationship of the Company or any subsidiary or affiliate of the Company with any person who at any time was a customer or supplier of the Company or any subsidiary or affiliate of the Company or otherwise had a business relationship with the Company or any subsidiary or affiliate of the Company; or (II) hires, solicits for hire, aids in or facilitates the hire, or causes to be hired, either as an employee, contractor or consultant, any person who is currently employed, or was employed at any time during the six-month period prior thereto, as an employee, contractor or consultant of the Company or any subsidiary or affiliate of the Company.
(c) Agreement Does Not Prohibit Competition or Other Participant Activities. Although the conditions set forth in this Section 10 shall be deemed to be incorporated into an Award, a Participant is not thereby prohibited from engaging in any activity set forth in Section 10(B)(i), including but not limited to competition with the Company and its subsidiaries and affiliates. The non-occurrence of the Forfeiture Events set forth in Section 10(b) is a condition to the Participant’s right to realize and retain value from his or her compensatory Options and Awards, and the consequence under the Plan if the Participant engages in an activity giving rise to any such Forfeiture Event are the forfeitures specified herein. The Company and a Participant shall not be precluded by this provision or otherwise from entering into other agreements concerning the subject matter of Section 10(a) and Section 10(b). 
(d) Committee Discretion. The Committee may, in its discretion, waive in whole or in part the Company’s right to forfeiture under this Section 10, but no such waiver shall be effective unless evidenced by a writing signed by a duly authorized officer of the Company. In addition, the Committee may impose additional conditions on Awards, by inclusion of appropriate provisions in the document evidencing or governing any such Award. 
11. General Provisions. 
(a) Compliance with Legal and Other Requirements. The Company may, to the extent deemed necessary or advisable by the Committee and subject to Section 11(k), postpone the issuance or delivery of Stock or payment of other benefits under any Award until completion of such registration or qualification of such Stock or other required action under any federal or state law, rule or regulation, listing or other required action with respect to any stock exchange or automated quotation system upon which the Stock or other securities of the Company are listed or quoted, or compliance with any other obligation of the Company, as the Committee may consider appropriate, and may require any Participant to make such representations, furnish such information and comply with or be subject to such other conditions as the Committee may consider appropriate in connection with the issuance or delivery of Stock or payment of other benefits in compliance with applicable laws, rules, and regulations, listing requirements, or other obligations. The foregoing notwithstanding, in connection with a Change of Control, the Company shall take or cause to be taken no action, and shall undertake or permit to arise no legal or contractual obligation, that results or would result in any postponement of the issuance or delivery of Stock or payment of benefits under any Award or the imposition of any other conditions on such issuance, delivery or payment, to the extent that such postponement or other condition would represent a greater burden on a Participant than existed on the 90th day preceding the Change of Control. 
(b) Limits on Transferability; Beneficiaries. No Award or other right or interest of a Participant under the Plan shall be pledged, hypothecated or otherwise encumbered or subject to any lien, obligation or liability of such Participant to any party (other than the Company or a subsidiary or affiliate thereof), or assigned or transferred by such Participant otherwise than by will or the laws of descent and distribution or to a Beneficiary upon the death of a Participant, and such Awards or rights that may be exercisable shall be exercised during the lifetime of the Participant only by the Participant or his or her guardian or legal representative, except that Awards and other rights (other than ISOs and SARs in tandem therewith) may be transferred to one or more transferees during the lifetime of 

12

the Participant, and may be exercised by such transferees in accordance with the terms of such Award, but only if and to the extent such transfers are permitted by the Committee, subject to any terms and conditions which the Committee may impose thereon (which may include limitations the Committee may deem appropriate in order that offers and sales under the Plan will meet applicable requirements of registration forms under the Securities Act of 1933 specified by the Securities and Exchange Commission). A Beneficiary, transferee, or other person claiming any rights under the Plan from or through any Participant shall be subject to all terms and conditions of the Plan and any Award document applicable to such Participant, except as otherwise determined by the Committee, and to any additional terms and conditions deemed necessary or appropriate by the Committee. 
(c) Adjustments. In the event that any large, special and non-recurring dividend or other distribution (whether in the form of cash or property other than Stock), recapitalization, forward or reverse Stock split, Stock dividend, reorganization, merger, consolidation, spin-off, combination, repurchase, share exchange, liquidation, dissolution or other similar corporate transaction or event affects the Stock, then the Committee shall, in an equitable manner as determined by the Committee, adjust any or all of (i) the number and kind of shares of Stock or other securities of the Company or other issuer which are subject to the Plan, including the share limits, (ii) the number and kind of shares of Stock or other securities of the Company or other issuer by which annual per-person Award limitations are measured under Section 5, (iii) the number and kind of shares of Stock or other securities of the Company or other issuer subject to or deliverable in respect of outstanding Awards and (iv) the exercise price, settlement price or purchase price relating to any Award or, if deemed appropriate, the Committee may make provision for a payment of cash or property to the holder of an outstanding Option (subject to Section 11(k) and Section 11(l)) or other Award. In addition, the Committee is authorized to make adjustments in the terms and conditions of, and the criteria included in, Awards (including performance-based Awards and performance goals and any hypothetical funding pool relating thereto) in recognition of unusual or nonrecurring events (including, without limitation, events described in the preceding sentence, as well as acquisitions and dispositions of businesses and assets affecting any performance conditions), or in response to changes in applicable laws, regulations, or accounting principles; provided that no such adjustment shall be authorized or made if and to the extent that the existence of such authority (i) would cause Options, SARs, Restricted Stock or RSUs granted under the Plan to Participants designated by the Committee as Covered Associates and intended to qualify as “performance-based compensation” under Code Section 162(m) and regulations thereunder to otherwise fail to qualify as “performance-based compensation” under Code Section 162(m) and regulations thereunder, or (ii) would cause the Committee to be deemed to have authority to change the targets, within the meaning of Treasury Regulation 1.162-27(e)(4)(vi), under the performance goals relating to Options or SARs granted to Covered Associates and intended to qualify as “performance-based compensation” under Code Section 162(m) and regulations thereunder. 
(d) Tax Provisions. 
(i) Withholding. The Company and any subsidiary or affiliate of the Company is authorized to withhold from any Award granted, any payment relating to an Award under the Plan, including from a distribution of Stock, or any payroll or other payment to a Participant, amounts of withholding and other taxes due or potentially payable in connection with any transaction or event involving an Award, or to require a Participant to remit to the Company an amount in cash or other property (including Stock) to satisfy such withholding before taking any action with respect to an Award, and to take such other action as the Committee may deem advisable to enable the Company and Participants to satisfy obligations for the payment of withholding taxes and other tax obligations relating to any Award. This authority shall include authority to withhold or receive Stock or other property and to make cash payments in respect thereof in satisfaction of a Participant’s withholding obligations, either on a mandatory or elective basis in the discretion of the Committee, or in satisfaction of other tax obligations. The Company can delay the delivery to a Participant of Stock under any Award to the extent necessary to allow the Company to determine the amount of withholding to be collected and to collect and process such withholding. 
(ii) Required Consent to and Notification of Code Section 83(b) Election. No election under Section 83(b) of the Code (to include in gross income in the year of transfer the amounts specified in Code Section 83(b)) or under a similar provision of the laws of a jurisdiction outside the United States may be made unless expressly permitted by the terms of the Award document or by action of the Committee in writing prior to the making of such election. In any case in which a Participant is permitted to make such an election in connection with an Award, the Participant shall notify the Company of such election within ten days of filing notice of the election with the Internal Revenue Service or other governmental authority, in 

13

addition to any filing and notification required pursuant to regulations issued under Code Section 83(b) or other applicable provision. 
(iii) Requirement of Notification Upon Disqualifying Disposition Under Code Section 421(b). If any Participant shall make any disposition of shares of Stock delivered pursuant to the exercise of an ISO under the circumstances described in Code Section 421(b) (i.e., a disqualifying disposition), such Participant shall notify the Company of such disposition within ten days thereof. 
(e) Changes to the Plan. The Board may amend, suspend or terminate the Plan or the Committee’s authority to grant Awards under the Plan without the consent of stockholders of the Company or Participants; provided, however, that any amendment to the Plan shall be submitted to the Company’s stockholders for approval not later than the earliest annual meeting for which the record date is at or after the date of such Board action: 
(i) if such stockholder approval is required by any federal or state law or regulation or the rules of the New York Stock Exchange or any other stock exchange or automated quotation system on which the Stock may then be listed or quoted; or 
(ii) if such amendment would materially increase the number of shares reserved for issuance and delivery under the Plan; or 
(iii) if such amendment would alter the provisions of the Plan restricting the Company’s ability to grant Options or SARs with an exercise price that is not less than the Fair Market Value of Stock; or 
(iv) in connection with any action to amend or replace previously granted Options or SARs in a transaction that constitutes a “repricing,” as such term is used in Section 303A.08 of the Listed Company Manual of the New York Stock Exchange. 
The Board may otherwise, in its discretion, determine to submit other amendments to the Plan to stockholders of the Company for approval; and provided further, that, without the consent of an affected Participant, no such Board (or any Committee) action may materially and adversely affect the rights of such Participant under any outstanding Award (for this purpose, actions that alter the timing of federal income taxation of a Participant will not be deemed material unless such action results in an income tax penalty on the Participant). With regard to other terms of Awards, the Committee shall have no authority to waive or modify any such Award term after the Award has been granted to the extent the waived or modified term would be mandatory under the Plan for any Award newly granted at the date of the waiver or modification. 
(f) Right of Setoff. The Company or any subsidiary or affiliate of the Company may, to the extent permitted by applicable law, deduct from and set off against any amounts the Company or a subsidiary or affiliate of the Company may owe to the Participant from time to time (including amounts payable in connection with any Award, owed as wages, fringe benefits, or other compensation owed to the Participant), such amounts as may be owed by the Participant to the Company, including but not limited to amounts owed under Section 10(a), although the Participant shall remain liable for any part of the Participant’s payment obligation not satisfied through such deduction and setoff. By accepting any Award granted hereunder, the Participant agrees to any deduction or setoff under this Section 11(f). 
(g) Unfunded Status of Awards; Creation of Trusts. To the extent that any Award is deferred compensation, the Plan is intended to constitute an “unfunded” plan for deferred compensation with respect to such Award. With respect to any payments not yet made to a Participant or obligation to deliver Stock pursuant to an Award, nothing contained in the Plan or any Award shall give any such Participant any rights that are greater than those of a general creditor of the Company; provided that the Committee may authorize the creation of trusts and deposit therein cash, Stock, other Awards or other property, or make other arrangements to meet the Company’s obligations under the Plan. Such trusts or other arrangements shall be consistent with the “unfunded” status of the Plan unless the Committee otherwise determines with the consent of each affected Participant. 
(h) Nonexclusivity of the Plan. Neither the adoption of the Plan by the Board nor its submission to the stockholders of the Company for approval shall be construed as creating any limitations on the power of the Board or a committee thereof to adopt such other incentive arrangements, apart from the Plan, as it may deem desirable, 

14

including incentive arrangements and awards which do not qualify under Code Section 162(m), and such other arrangements may be either applicable generally or only in specific cases. 
(i) Payments in the Event of Forfeitures; Fractional Shares. Unless otherwise determined by the Committee, in the event of a forfeiture of an Award with respect to which a Participant paid cash consideration, the Participant shall be repaid the amount of such cash consideration. In addition, nothing herein shall prevent the Committee from authorizing the payment in cash of any amounts with respect to forfeited Awards. No fractional shares of Stock shall be issued or delivered pursuant to the Plan or any Award. The Committee shall determine whether cash, other Awards or other property shall be issued or paid in lieu of such fractional shares or whether such fractional shares or any rights thereto shall be forfeited or otherwise eliminated. 
(j) Compliance with Code Section 162(m). It is the intent of the Company that Options and SARs granted to Covered Associates and other Awards designated as Awards to Covered Associates subject to Section 7 shall constitute qualified “performance-based compensation” within the meaning of Code Section 162(m) and regulations thereunder, unless otherwise determined by the Committee at the time of allocation of an Award. Accordingly, the terms of Section 7, including the definitions of Covered Associate and other terms used therein, shall be interpreted in a manner consistent with Code Section 162(m) and regulations thereunder. The foregoing notwithstanding, because the Committee cannot determine with certainty whether a given Participant will be a Covered Associate with respect to a fiscal year that has not yet been completed, the term Covered Associate as used herein shall mean only a person designated by the Committee as likely to be a Covered Associate with respect to a specified fiscal year. If any provision of the Plan or any Award document relating to an Award that is designated as intended to comply with Code Section 162(m) does not comply or is inconsistent with the requirements of Code Section 162(m) or regulations thereunder, such provision shall be construed or deemed amended to the extent necessary to conform to such requirements, and no provision shall be deemed to confer upon the Committee or any other person discretion to increase the amount of compensation otherwise payable in connection with any such Award upon attainment of the applicable performance objectives. 
(k) Certain Limitations on Awards to Ensure Compliance with Code Section 409A. Notwithstanding anything herein to the contrary, any Award that is deferred compensation within the meaning of Code Section 409A shall be automatically modified and limited to the extent that the Committee determines necessary to avoid the imposition of the additional tax under Section 409A(a)(1)(B) of the Code on a Participant holding such Award. 
(l) Certain Limitations Relating to Accounting Treatment of Awards. Other provisions of the Plan notwithstanding, the Committee’s authority under the Plan (including under Section 8(c), Section 11(c) and Section 11(d)) is limited to the extent necessary to ensure that any Option or other Award of a type that the Committee has intended to be subject to “equity” accounting with a measurement date at the date of grant under applicable accounting standards shall not become subject to “liability” accounting solely due to the existence of such authority, unless the Committee specifically determines that the Award shall remain outstanding despite such “liability” accounting. 
(m) Governing Law. The validity, construction, and effect of the Plan, any rules and regulations relating to the Plan and any Award document shall be determined in accordance with the laws of the State of Delaware, without giving effect to principles of conflicts of laws, and applicable provisions of federal law. 
(n) Awards to Participants Outside the United States. The Committee may modify the terms of any Award under the Plan made to or held by a Participant who is then resident or primarily employed outside of the United States in any manner deemed by the Committee to be necessary or appropriate in order that such Award shall conform to laws, regulations, and customs of the country in which the Participant is then resident or primarily employed, or so that the value and other benefits of the Award to the Participant, as affected by foreign tax laws and other restrictions applicable as a result of the Participant’s residence or employment abroad shall be comparable to the value of such an Award to a Participant who is resident or primarily employed in the United States. An Award may be modified under this Section 11(n) in a manner that is inconsistent with the express terms of the Plan, so long as such modifications will not contravene any applicable law or regulation or result in actual liability under Section 16(b) for the Participant whose Award is modified. 
(o) Limitation on Rights Conferred under Plan. Neither the Plan nor any action taken thereunder shall be construed as (i) giving any Eligible Person or Participant the right to continue as an Eligible Person or Participant or 

15

in the employ or service of the Company or a subsidiary or affiliate of the Company, (ii) interfering in any way with the right of the Company or a subsidiary or affiliate of the Company to terminate any Eligible Person’s or Participant’s employment at any time (subject to the terms and provisions of any separate written agreements), (iii) giving an Eligible Person or Participant any claim to be granted any Award under the Plan or to be treated uniformly with other Participants and associates, or (iv) conferring on a Participant any of the rights of a stockholder of the Company unless and until the Participant is duly issued or transferred shares of Stock in accordance with the terms of an Award or an Option is duly exercised. Except as expressly provided in the Plan and an Award document, neither the Plan nor any Award document shall confer on any person other than the Company and the Participant any rights or remedies thereunder. 
(p) Severability; Entire Agreement. If any of the provisions of the Plan or any Award document is finally held to be invalid, illegal or unenforceable (whether in whole or in part), such provision shall be deemed modified to the extent, but only to the extent, of such invalidity, illegality or unenforceability, and the remaining provisions shall not be affected thereby; provided, that , if any of such provisions is finally held to be invalid, illegal, or unenforceable because it exceeds the maximum scope determined to be acceptable to permit such provision to be enforceable, such provision shall be deemed to be modified to the minimum extent necessary to modify such scope in order to make such provision enforceable hereunder. The Plan and any agreements or documents designated by the Committee as setting forth the terms of an Award contain the entire agreement of the parties with respect to the subject matter thereof and supersede all prior agreements, promises, covenants, arrangements, communications, representations and warranties between them, whether written or oral with respect to the subject matter thereof. 
(q) Plan Effective Date and Termination. The Plan shall become effective if, and at such time as, the stockholders of the Company have approved the Plan in accordance with applicable law and stock exchange requirements (such date, the “Effective Date”). Unless earlier terminated by action of the Board, the authority of the Committee to make grants under the Plan shall terminate on the date that is ten years after the latest date upon which stockholders of the Company have approved the Plan, and the Plan will remain in effect until such time as no Stock remains available for delivery under the Plan or as set forth above and the Company has no further rights or obligations under the Plan with respect to outstanding Awards under the Plan. 

16Exhibit 10.1

 

 

3D SYSTEMS CORPORATION

 

SEVERANCE AGREEMENT

 

THIS SEVERANCE AGREEMENT (this “Agreement”)
is made as of this 15th day of June, 2016 (the “Effective Date”), by and between 3D Systems Corporation,
a corporation organized and existing under the laws of the State of Delaware (“Company”), and Mark Wright (“Executive”).

 

RECITALS

 

WHEREAS, Executive’s employment
with the Company will end on June 17, 2016 (the “Separation Date”); and

 

WHEREAS, the parties now desire to amicably
end their association and enter into this Agreement to set forth the terms and conditions relating to the end of Executive’s
employment with the Company.

 

NOW THEREFORE, in consideration of the
foregoing premises, of the mutual agreements and covenants contained herein and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties agree as follows, effective as of the Effective Date:

 

AGREEMENT

 

		1.	End of Employment.

 

The Executive’s last day of employment
with the Company is the Separation Date. After the Separation Date, the Executive will not represent himself as being an employee,
officer, attorney, agent or representative of the Company for any purpose. Except as otherwise set forth in this Agreement, the
Separation Date will be the employment termination date for the Executive for all purposes, meaning the Executive will no longer
be entitled to any further compensation, monies or other benefits from the Company, including coverage under any benefits plans
or programs sponsored by the Company, except as specifically provided herein.

 

		2.	Return of Company Property.

 

By the Separation Date, the Executive must return
to the Company all Company property, including identification cards or badges, access codes or devices, keys, laptops, computers,
telephones, mobile phones, hand-held electronic devices, credit cards, electronically stored documents or files, physical files
and any other Company property in the Executive’s possession.

 

    	 	2	 

     

    

		3.	Separation Benefits.

 

In consideration for the Executive’s execution,
non-revocation of, and compliance with this Agreement, including the waiver and release of claims in Section 5, the Company agrees
to provide the following benefits:

 

3.1             
Accrued, Unpaid Base Salary. Within the time period required by applicable law, the Executive will
receive in one lump-sum payment any Base Salary amounts that have accrued but have not been paid as of the Separation Date, less
any applicable local, state, or federal withholding. As used herein, “Base Salary” means the Executive’s
current monthly base salary in effect as of the Effective Date.

 

3.2             
Accrued, Unused Vacation Time. Within the time period required by applicable law, the Executive
will receive in one lump-sum payment any unused vacation time accrued in the calendar year of 2016, less any applicable local,
state, or federal withholding.

 

3.3             
Severance Benefits. Subject to the terms and conditions of Section 3.6 and provided the Executive
has not forfeited his rights under this Agreement in accordance with Section 3.7, the Executive will receive the following severance
benefits:

 

3.3.1       
Payment of an amount (“Severance”) equal to up to 12 months of the Executive’s Base
Salary, less all required withholdings and taxes. The Company shall pay the Severance to the Executive in equal installments over
a 12-month period in accordance with its normal payroll practices, with the first installment commencing on the first payroll date
coinciding with or immediately following the 60th day following the Effective Date (the “First Payment Date”),
provided that the conditions set forth in Section 3.6 have been satisfied as of such date, and installments continuing until the
earlier of (i) the date the Executive breaches the provisions of Section 4 below; or (ii) the last payroll period in the 12-month
period. The amount payable to the Executive on the First Payment Date shall equal the portion of the Executive’s Base Salary
that he would have earned during the 60-day period immediately following the Effective Date.

 

3.3.2       
During the 12-month period following the Separation Date, the Company will provide Executive with certain relocation
assistance in connection with Executive’s move from the Charlotte, NC area including (i) home marketing assistance and direct
reimbursement of closing costs and (ii) moving services (the “Relocation Assistance”). The Relocation Assistance
will be paid on June 17, 2017, subject to receipt of satisfactory documentation of the costs incurred and shall not exceed $100,000
in the aggregate.

 

3.3.3       
Twelve (12) months of outplacement services offered through one of the Company’s currently-approved providers.

 

3.4             
Performance Bonus. Executive is eligible to receive an annual cash bonus for 2016 in accordance
with the Company’s Management By Objectives bonus program (“MBO Bonus”). Such MBO Bonus, if any, shall
be calculated on a pro-rata basis through the Severance Date and shall be determined based solely on the Company’s corporate
MBO Bonus goals as determined by management of the Company and approved by the Compensation Committee of the Board of Directors.
Executive’s 2016 MBO Bonus shall be pro-rated based on the previously approved target amount of $208,000 and to the extent
payable, will be paid in 2017 in accordance with customary bonus payout practices, which is expected to be prior to April 1, 2017.

 

    	 	3	 

     

    

3.5             
COBRA Payment. Subject to the terms and conditions of Section 3.6 and provided the Executive has
not forfeited his rights under this Agreement in accordance with Section 3.7, if the Executive timely elects continuation of his
health benefits under the Company’s group health plan in accordance with the Consolidated Omnibus Budget Reconciliation Act
of 1985, as amended (“COBRA”), then for a period of up to twelve (12) months following the Separation Date,
the Company will continue to pay a portion of the premiums such that Executive’s contribution to such plans will remain the
same as if Executive were employed by Company, such contributions to be paid by Executive in the same period (e.g., monthly, bi-weekly,
etc.) as all other employees of Company (but deductions from Executive’s monthly severance payments may be deemed acceptable
for this purpose in the discretion of Company) (the “COBRA Payment”); provided, however that Company may terminate
such coverage if payment from Executive is not made within ten (10) days of the date on which Executive receives written notice
from Company that such payment is due. Executive acknowledges and agrees that the amount of any such premiums paid by the Company
will constitute taxable wages for income and employment tax purposes. Payment of premiums under this section will commence on the
First Payment Date and thereafter will be made on the first payroll date in each month following until the earlier of (i) the date
the payment of the Severance terminates; or (ii) the date the Executive’s coverage under the Company’s health plan
terminates for any reason. The amount paid on the First Payment Date shall include the employer portion of the premiums due for
coverage during the 60-day period immediately following the Effective Date.

 

3.6             
Eligibility. The right to payment of the Severance, COBRA Payment, and Performance Bonus is conditioned
upon: (i) the Executive’s continued compliance with the restrictive covenants in Section 4 below; and (ii) Executive’s
execution and non-revocation of the release of claims in Section 5 below. Notwithstanding any provisions to the contrary, the Severance,
COBRA Payment, and Performance Bonus shall not be paid unless and until such binding release in Section 5 is effective and the
revocation period has expired.

 

3.7             
Forfeiture. The Executive shall forfeit any right to the Severance immediately upon (a) Executive’s
failure to execute the release of claims in Section 5 below; (b) Executive’s revocation of the release of claims in Section
5 below; or (c) the Executive’s breach of any restrictive covenant set forth in Section 4 below.

 

		4.	Restrictive Covenants.

 

The growth and development of Company and its
affiliates and subsidiaries (collectively, “3D Systems”) depends to a significant degree on the possession and
protection of its customer list, customer information and other confidential and proprietary information relating to 3D Systems’
products, services, methods, pricing, costs, research and development and marketing. All 3D Systems employees and others engaged
to perform services for 3D Systems have a common interest and responsibility in seeing that such customer information and other
Confidential Information, as that term is defined in Section 4.6 below, is not disclosed to any unauthorized persons or used other
than for 3D Systems’ benefit. This Section 4 expresses a common understanding concerning Company’s and Executive’s
mutual responsibilities. Therefore, in consideration for the severance benefits payable pursuant to Sections 3.3, 3.4 and 3.5,
Executive covenants and agrees as follows, which covenant and agreement is essential to this Agreement:

 

    	 	4	 

     

    

4.1             
Non-Solicitation; No-Hire. Executive acknowledges that the identity and particular needs of 3D
Systems’ customers are not generally known and were not known to Executive prior to Executive’s employment with 3D
Systems; that 3D Systems has relationships with, and a proprietary interest in the identity of, its customers and their particular
needs and requirements; and that documents and information regarding 3D Systems’ pricing, sales, costs and specialized requirements
of 3D Systems’ customers are highly confidential and constitute trade secrets. Accordingly, Executive covenants and agrees
that for a period of twelve (12) months after the Separation Date, regardless of the reason for such termination, Executive will
not directly or indirectly: (i) call on, sell to, solicit or otherwise deal with any accounts, customers or prospects of 3D
Systems which Executive called upon, contacted, solicited, sold to, or about which Executive learned Confidential Information (as
defined herein) while employed by 3D Systems, for the purpose of soliciting, selling and/or providing, to any such account, customer
or prospect, any products or services similar to or in competition with any products or services then being sold by 3D Systems;
or (ii) solicit, or accept if offered to Executive, with or without solicitation, the services of any person who is an employee
of 3D Systems; or (iii) solicit any employee of 3D Systems to terminate employment with 3D Systems; or (iv) agree to hire on behalf
of Executive or any entity or other person any employee of 3D Systems into employment with Executive or any other person or entity.
Executive agrees not to solicit, directly or indirectly, such accounts, customers, prospects or employees for Executive or for
any other person or entity. For purposes of this paragraph, “prospects” means entities or individuals which
have had more than de minimis contact with 3D Systems in the context of entering into a relationship with 3D Systems being a provider
or seller of products or services to such entity or individual.

 

4.2             
Non-Interference with Business Relationships. Executive covenants and agrees that for a period
of twenty-four (24) months after the Separation Date Executive will not interfere with the relationship or prospective relationship
between 3D Systems and any person or entity with which 3D Systems has a business relationship, or with which 3D Systems is preparing
to have a business relationship.

 

4.3             
Non-Competition.

 

Executive agrees that for a period of twelve
(12) months after the Separation Date Executive shall not, directly or indirectly, for Executive’s own benefit or for the
benefit of others, render services for a Competing Organization in connection with Competing Products or Services anywhere within
the Restricted Territory. These prohibitions shall apply regardless of where such services physically are rendered.

 

For purposes of this Agreement, “Competing
Products or Services” means products, processes, or services of any person or organization other than 3D Systems, in
existence or under development, which are substantially the same, may be substituted for, or applied to substantially the same
end use as any product, process, or service of 3D Systems with which Executive works or worked during the time of Executive’s
employment with 3D Systems or about which Executive acquires or acquired Confidential Information through Executive’s work
with 3D Systems and in any event includes, but is not limited to, providing 3D content-to-print solutions including 3D printers,
print materials, on-demand custom parts services and 3D authoring solutions for professionals and consumers.

 

    	 	5	 

     

    

For purposes of this Agreement, “Competing
Organization” means persons or organizations, including Executive, engaged in, or about to become engaged in research
or development, production, distribution, marketing, providing or selling of a Competing Product or Service, specifically including
but not limited to those organizations identified in a list of competitors agreed to by the Executive and the Company as of the
date hereof, which list may be amended from time to time as mutually agreed to by Executive and Company to reflect reasonable restrictions
on Executive and the ongoing legitimate business protection needed by Company without the need for additional consideration.

 

Executive agrees that, because 3D Systems’ business is commonly
conducted via the Internet and telephone, and because 3D Systems’ customers are located across the United States and the
world, an effort to narrowly limit the geographic scope of the noncompetition provision would render it ineffective. Accordingly,
for purposes of this Agreement, “Restricted Territory” shall mean:

 

4.3.1       
All markets in the United States and the world in which 3D Systems has conducted business or directed material
resources in soliciting business in the prior twenty-four (24) month period.

 

4.3.2       
In the event the preceding subsection 4.3.1 shall be determined by judicial action to be unenforceable, the “Restricted
Territory” shall be within the United States (including its territories) and within any other country that at any time was
within the scope of Executive’s employment and duties with 3D Systems.

 

4.3.3       
In the event the preceding subsection 4.3.2 shall be determined by judicial action to be unenforceable, the “Restricted
Territory” shall be within the United States (including its territories) and within any other country that at any time during
the last two (2) years of Executive’s employment with 3D Systems was within the scope of Executive’s employment
and duties for 3D Systems.

 

4.3.4       
In the event the preceding subsection 4.3.3 shall be determined by judicial action to be unenforceable, the “Restricted
Territory” shall be within any geographic region(s) that at any time during the last two (2) years of Executive’s
employment with 3D Systems was within the scope of Executive’s employment and duties for 3D Systems.

 

4.3.5       
In the event the preceding subsection 4.3.4 shall be determined by judicial action to be unenforceable, the “Restricted
Territory” shall be within any state in the United States that at any time during the last two (2) years of Executive’s
employment with 3D Systems was within the scope of Executive’s employment and duties for 3D Systems.

 

    	 	6	 

     

    

Executive agrees that in the event a court determines
the length of time or the geographic area or the activities prohibited under this Section 4 are too restrictive to be enforceable,
the court may reduce the scope of the restriction or may sever the unenforceable provision in accordance with Section 9.4 below
to the extent necessary to make the restriction enforceable.

 

4.4             
Reasonableness of Restriction. Executive acknowledges that the foregoing non-solicitation, non-competition
and non-interference restrictions placed upon Executive are necessary and reasonable to avoid the improper disclosure or use of
Confidential Information, and that it has been made clear to Executive that Executive’s compliance with Section 4 of this
Agreement is a material condition to Executive’s receipt of benefits under this Agreement. Executive further acknowledges
and agrees that, if Executive breaches any of the requirements of Sections 4.1, 4.2 or 4.3, the restricted periods set forth therein
shall be tolled during the time of such breach, but not for longer than the length of the restricted periods set forth therein.

 

Executive further acknowledges and agrees that
3D Systems has attempted to impose the restrictions contained hereunder only to the extent necessary to protect 3D Systems from
unfair competition and the unauthorized use or disclosure of Confidential Information. However, should the scope or enforceability
of any restrictive covenant be disputed at any time, Executive specifically agrees that a court may modify or enforce the covenant
to the full extent it believes to be reasonable under the circumstances existing at the time.

 

4.5             
Non-Disclosure. Executive further agrees that Executive will not use for Executive’s benefit
or for others or divulge or convey to any other person (except those persons designated by 3D Systems) any Confidential Information
obtained by Executive during the period of Executive’s employment with 3D Systems. Executive agrees to continue to observe
all Company policies and procedures concerning such Confidential Information. Executive’s obligations under this Agreement
will continue with respect to Confidential Information until such information becomes generally available from public sources through
no fault of Executive’s. Executive shall not disclose to any person the terms and conditions of Executive’s employment
by 3D Systems, except: (i) to close family members, (ii) to legal and accounting professionals who require the information to provide
a service to Executive, (iii) as required by law or (iv) to the extent necessary to inform a prospective or actual subsequent employer
of Executive’s duties and obligations under this Agreement. If Executive is requested, becomes legally compelled by subpoena
or otherwise, or is required by a regulatory body to make any disclosure that is prohibited by this Section 4.5, Executive will,
except to the extent prohibited by law, promptly notify Company so that 3D Systems may seek a protective order or other appropriate
remedy if 3D Systems deems such protection or remedy necessary under the circumstances. Subject to the foregoing, Executive may
furnish only that portion of Confidential Information that Executive is legally compelled or required to disclose. The restrictions
set forth herein are in addition to and not in lieu of any obligations Executive may have by law with respect to Confidential Information,
including any obligations Executive may have under the Uniform Trade Secrets Act and/or similar statutes as applicable in the state
of Executive’s residence and/or the state of Executive’s primary work location. Despite the foregoing, nothing in this
Agreement shall be deemed to restrict Executive from communicating with any member of the United States Congress, from giving truthful
testimony in any legal proceeding instituted or maintained, or from fully and candidly cooperating in connection with any investigation,
inquiry or proceeding undertaken by, any agency or representative of the United States government, any State, or any of their respective
political subdivisions having authority over any aspect of Company’s business operations, nor shall any such provision be
deemed to require any party to seek the authority of the other in connection therewith. Further, the Executive is hereby notified
in accordance with the Defend Trade Secrets Act of 2016 that the Executive will not be held criminally or civilly liable under
any federal or state trade secret law for the disclosure of a trade secret that: (a) is made (i) in confidence to a federal, state,
or local government official, either directly or indirectly, or to an attorney; and (ii) solely for the purpose of reporting or
investigating a suspected violation of law; or (b) is made in a complaint or other document that is filed under seal in a lawsuit
or other proceeding.

 

    	 	7	 

     

    

4.6             
Definition of Confidential Information. As used herein, “Confidential Information”
shall include, but is not limited to, the following categories of information, knowledge, or data currently known or later developed
or acquired relating to 3D Systems’ business or received by 3D Systems in confidence from or about third parties, in each
case when the same is not in the public domain or otherwise publicly available (other than as result of a wrongful act of an agent
or employee of 3D Systems):

 

4.6.1       
Any information concerning 3D Systems’ products, business, business relationships, business plans or strategies,
marketing plans, contract provisions, actual or prospective suppliers or vendors, services, actual or anticipated research or development,
new product development, inventions, prototypes, models, solutions, discussion guides, documentation, techniques, actual or planned
patent applications, technological or engineering data, formulae, processes, designs, production plans or methods, or any related
technical or manufacturing know-how or other information;

 

4.6.2       
Any information concerning 3D Systems’ financial or profit data, pricing or cost formulas, margins, marketing
information, sales representative or distributor lists, or any information relating to corporate developments (including possible
acquisitions or divestitures);

 

4.6.3       
Any information concerning 3D Systems’ current or prospective customer lists or arrangements, equipment
or methods used or preferred by 3D Systems’ customers, or the customers or patients of customers;

 

4.6.4       
Any information concerning 3D Systems’ use of computer software, source code, object code, or algorithms
or architecture retained in or related to 3D Systems’ computer or computer systems;

 

4.6.5       
Any personal or performance information about any 3D Systems’ employee;

 

4.6.6       
Any information supplied to or acquired by 3D Systems under an obligation to keep such information confidential,
including without limitation Protected Health Information (PHI) as that term is defined by the Health Insurance Portability and
Accountability Act (HIPAA);

 

4.6.7       
Any information, whether or not designated as confidential, obtained or observed by Executive or other 3D Systems
employees during training sessions related to Executive’s work for 3D Systems; and

 

    	 	8	 

     

    

4.6.8       
Any other information treated as trade secrets or otherwise confidential by 3D Systems.

 

Executive hereby acknowledges that some of this
information may not be a “trade secret” under applicable law. Nevertheless, Executive agrees not to disclose it.

 

4.7             
Inventions, Discoveries, and Work for Hire. Executive recognizes and agrees that all ideas, works
of authorship, inventions, patents, copyrights, designs, processes (e.g., development processes), methodologies (e.g., development
methodologies), machines, manufactures, compositions of matter, enhancements, and other developments or improvements and any derivative
works based thereon, including, without limitation, potential marketing and sales relationships, research, plans for products or
services, marketing plans, computer software (including source code and object code), computer programs, original works of authorship,
characters, know-how, trade secrets, information, data, developments, discoveries, improvements, modifications, technology and
algorithms, whether or not subject to patent or copyright protection (the “Inventions”) that (i) were made,
conceived, developed, authored or created by Executive, alone or with others, during the time of Executive’s employment,
whether or not during working hours, that relate to the business of 3D Systems or to the actual or demonstrably anticipated research
or development of 3D Systems, (ii) were used by Executive or other personnel of 3D Systems during the time of Executive’s
employment, even if such Inventions were made, conceived, developed, authored or created by Executive prior to the start of Executive’s
employment, (iii) are made, conceived, developed, authored or created by Executive, alone or with others, within one (1) year
from the Separation Date and that relate to the business of 3D Systems or to the actual or demonstrably anticipated research or
development of 3D Systems, or (iv) result from any work performed by Executive for 3D Systems (collectively with (i)-(iii),
the “Company Inventions”) are the sole and exclusive property of Company.

 

Notwithstanding the foregoing, Company Inventions
do not include any Inventions made, conceived, developed, authored or created by Executive, alone or with others, for which no
equipment, supplies, facility or trade secret information of 3D Systems was used and which were developed entirely on Executive’s
own time, unless (1) the Invention relates (A) to the business of 3D Systems, or (B) to the actual or demonstrably anticipated
research or development of 3D Systems, or (2) the Company Invention results from any work performed by Executive for 3D Systems.

 

For the avoidance of doubt, Executive expressly
disclaims any and all right title and interest in and to all Company Inventions. Executive acknowledges that Executive has and
shall forever have no right, title or interest in or to any patents, copyrights, trademarks, industrial designs or other rights
in connection with any Company Inventions.

 

Executive hereby assigns to Company all present
and future right, title and interest Executive has or may have in and to the Company Inventions. Executive further agrees that
(i) Executive will promptly disclose all Company Inventions to 3D Systems; and (ii) all of the Company Inventions, to
the extent protectable under copyright laws, are “works made for hire” as that term is defined by the Copyright Act,
17 U.S.C. § 101, et seq.

 

    	 	9	 

     

    

At the request of and without charge to Company,
Executive will do all things deemed by Company to be reasonably necessary to perfect title to the Company Inventions in Company
and to assist in obtaining for Company such patents, copyrights or other protection in connection therewith as may be provided
under law and desired by Company, including but not limited to executing and signing any and all relevant applications, assignments,
or other instruments. Executive further agrees to provide, at Company’ request, declarations or affidavits and to give testimony,
in depositions, hearings or trials, in support of inventorship. These obligations continue even after the Separation Date. Company
agrees that Executive will be reimbursed for reasonable expenses incurred in providing such assistance to Company. In the event
Company is unable, after reasonable effort, to secure Executive’s signature on any document or documents needed to apply
for or prosecute any patent, copyright or other right or protection relating to any Company Invention, for any reason whatsoever,
Executive hereby irrevocably designates and appoints Company and its duly authorized officers and agents as Executive’s agent
and attorney-in-fact to act for and on Executive’s behalf to execute and file any such application or other document and
to do all other lawfully permitted acts to further the prosecution and issuance of patents, copyrights, or similar protections
thereon with the same legal force and effect as if executed by Executive.

 

For purposes of this Agreement, a Company Invention
shall be deemed to have been made during Executive’s employment if, during such period, the Company Invention was conceived,
in part or in whole, or first actually reduced to practice or fixed in a tangible medium during Executive’s employment with
Company. Executive further agrees and acknowledges that any patent or copyright application filed within one (1) year after
the Separation Date shall be presumed to relate to a Company Invention made during the term of Executive’s employment unless
Executive can provide evidence to the contrary.

 

4.8             
Covenants Are Independent Elements. The parties acknowledge that the restrictive covenants contained
in this Section 4 are essential independent elements of this Agreement and that, but for Executive agreeing to comply with them,
Company would not provide the compensation herein. Accordingly, the existence or assertion of any claim by Executive against Company,
whether based on this Agreement or otherwise, shall not operate as a defense to Company’s enforcement of the covenants this
Section 4. An alleged or actual breach of the Agreement by the Company will not be a defense to enforcement of the provisions of
Section 4 or other obligations of Executive to the Company.

 

4.9             
Non-Disparagement. Executive agrees that Executive will not make any statement, nor imply any meaning
through Executive’s action or inaction, if such statement or implication would be adverse to the interests of 3D Systems,
its customers or its vendors or may reasonably cause any of the foregoing embarrassment or humiliation; nor will Executive otherwise
cause or contribute to any of the foregoing being held in disrepute by the public or any other 3D Systems customer(s), vendor(s)
or employee(s). Company agrees to instruct its officers, directors and agents speaking regarding Executive with the prior knowledge
and the express approval of an executive officer or director of the Company not to disparage Executive to future employers of the
Executive or others; provided, however, that nothing contained in this Section 4.9 will restrict or impede Company from (i) complying
with any applicable law, legal process, regulation or stock exchange requirement, including disclosure obligations under securities
laws and regulations, or a valid order of a court of competent jurisdiction or an authorized government agency or entity; (ii)
making any statement required or reasonably desirable in connection with the enforcement or defense of any claim, legal proceeding
or investigation involving Executive or the Company or any of their respective Affiliates; or (iii) providing information to any
future employer or prospective employer of Executive regarding Executive’s obligations under this Agreement or any other
agreement to which Executive is a party. Nothing herein prevents disclosure, in the sole discretion of the Company and its employees,
of this Agreement, or discussion of Executive’s employment with, and separation of employment from, the Company, by and among
employees and other agents of Company with a business need to know such information. The restrictions of this Section 4.9 shall
apply to, but are not limited to, communication via the Internet, any intranet, or other electronic means, such as social media
web sites, electronic bulletin boards, blogs, email messages, text messages or any other electronic message. The restrictions of
this Section 4.9 shall not be construed to prohibit or limit Executive, Company or any other Person from testifying truthfully
in any proceeding, arbitration or governmental investigation.

 

    	 	10	 

     

    

4.10         
Injunctive Relief and Additional Remedies for Breach. Executive further expressly acknowledges
and agrees that any breach or threatened breach of the provisions of this Section 4 shall entitle 3D Systems, in addition to any
other legal remedies available to it, to obtain injunctive relief, to prevent any violation of this Section 4 without the necessity
of 3D Systems posting bond or furnishing other security and without proving special damages or irreparable injury. Executive recognizes,
acknowledges and agrees that such injunctive relief is necessary to protect 3D Systems’ interest. Executive understands that
in addition to any other remedies available to 3D Systems at law or in equity or under this Agreement for violation of this Agreement,
other agreements or compensatory or benefit arrangements Executive has with 3D Systems may include provisions that specify certain
consequences thereunder that will result from Executive’s violation of this Agreement, which consequences may include repaying
3D Systems or foregoing certain equity awards or monies, and any such consequences shall not be considered by Executive or any
trier of fact as a forfeiture, penalty, duplicative remedy or exclusive remedy. Notwithstanding Section 9.9, the exclusive venue
for any action for injunctive or declaratory relief with respect to this Section 4 shall be the state or federal courts located
in York County, South Carolina. Company and Executive hereby irrevocably consent to any such courts’ exercise of jurisdiction
over them for such purpose.

 

4.11         
Notification to Third Parties. Company may, at any time during or after the termination of Executive’s
employment with Company, notify any person, corporation, partnership or other business entity employing or engaging Executive or
evidencing an intention to employ or engage Executive as to the existence and provisions of this Agreement

 

4.12         
Cooperation. The parties agree that certain matters in which the Executive was involved during
his employment with the Company may necessitate the Executive’s cooperation in the future. Accordingly, following the termination
of the Executive’s employment for any reason, to the extent reasonably requested by the Board, the Executive shall cooperate
with the Company in connection with matters arising out of the Executive’s service to the Company; provided that, the Company
shall make reasonable efforts to minimize disruption of the Executive’s other activities. The Company shall reimburse the
Executive for reasonable expenses incurred in connection with such cooperation and, to the extent that the Executive is required
to spend substantial time on such matters, the Company shall compensate the Executive at an hourly rate based on the Executive’s
Base Salary on the Separation Date.

 

    	 	11	 

     

    

		5.	Release.

 

5.1             
General Release and Waiver of Claims.

 

In exchange for the consideration provided in
this Agreement, the Executive and his heirs, executors, representatives, agents, insurers, administrators, successors and
assigns (collectively, the “Releasors”) irrevocably and unconditionally fully and forever waive, release and
discharge the Company, including the Company’s parents, subsidiaries, affiliates, predecessors, successors and assigns, and
all of their respective officers, directors, employees, and shareholders, in their corporate and individual capacities (collectively,
the “Releasees”) from any and all claims, demands, actions, causes of actions, obligations, judgments, rights,
fees, damages, debts, obligations, liabilities and expenses (inclusive of attorneys' fees) of any kind whatsoever (collectively,
“Claims”), whether known or unknown, from the beginning of time to the date of the Executive’s execution
of this Agreement, including, without limitation, any claims under any federal, state, local or foreign law, that Releasors
may have, have ever had or may in the future have arising out of, or in any way related to the Executive’s hire, benefits,
employment, termination or separation from employment with the Company and any actual or alleged act, omission, transaction, practice,
conduct, occurrence or other matter, including, but not limited to (i) any and all claims under Title VII of the Civil Rights Act,
as amended, the Americans with Disabilities Act, as amended, the Family and Medical Leave Act, as amended, with respect to existing
but not prospective claims, the Fair Labor Standards Act, the Equal Pay Act, as amended, the Employee Retirement Income Security
Act, as amended (with respect to unvested benefits), the Civil Rights Act of 1991, as amended, Section 1981 of U.S.C. Title 42,
the Worker Adjustment and Retraining Notification Act, as amended, the National Labor Relations Act, as amended, the Age Discrimination
in Employment Act, as amended, the Uniform Services Employment and Reemployment Rights Act, as amended, the Genetic Information
Nondiscrimination Act of 2008, the California Fair Employment and Housing Act, and all of their respective implementing regulations
and/or any other federal, state, local or foreign law (statutory, regulatory or otherwise) that may be legally waived and released;
(ii) any and all claims for compensation of any type whatsoever, including but not limited to claims for salary, wages, bonuses,
commissions, incentive compensation, vacation and/or severance; (iii) any and all claims arising under tort, contract and/or
quasi-contract law, including but not limited to claims of breach of an expressed or implied contract, tortious interference with
contract or prospective business advantage, breach of the covenant of good faith and fair dealing, promissory estoppel, detrimental
reliance, invasion of privacy, nonphysical injury, personal injury or sickness or any other harm, wrongful or retaliatory discharge,
fraud, defamation, slander, libel, false imprisonment, negligent or intentional infliction of emotional distress; and (iv) any
and all claims for monetary or equitable relief, including but not limited to attorneys' fees, back pay, front pay, reinstatement,
experts' fees, medical fees or expenses, costs and disbursements.

 

However, this general release and waiver of
claims excludes, and the Executive does not waive, release or discharge, (i) any right to file an administrative charge or complaint
with the Equal Employment Opportunity Commission or other administrative agency, although the Executive waives any right to monetary
relief related to such a charge or administrative complaint; and (ii) claims which cannot be waived by law, such as claims for
unemployment benefit rights and workers' compensation.

 

    	 	12	 

     

    

5.2             
Specific Release of ADEA Claims.

 

In further consideration of the payments and
benefits provided to the Executive in this Agreement, the Releasors hereby irrevocably and unconditionally fully and forever
waive, release and discharge the Releasees from any and all Claims, whether known or unknown, from the beginning of time to the
date of the Executive’s execution of this Agreement arising under the Age Discrimination in Employment Act (ADEA),
as amended, and its implementing regulations. By signing this Agreement, the Executive hereby acknowledges and confirms that:
(i) the Executive has read this Agreement in its entirety and understands all of its terms; (ii) the Executive has been
advised of and has availed himself of his right to consult with his attorney prior to executing this Agreement; (iii) the
Executive knowingly, freely and voluntarily assents to all of the terms and conditions set out in this Agreement including,
without limitation, the waiver, release and covenants contained herein; (iv) the Executive is executing this Agreement, including
the waiver and release, in exchange for good and valuable consideration in addition to anything of value to which he is otherwise
entitled; (v) the Executive was given at least twenty-one (21) days to consider the terms of this Agreement and consult
with an attorney of his choice, although he may sign it sooner if desired; (vi) the Executive understands that he has seven (7)
days from the date he signs this Agreement to revoke the release in this paragraph by delivering notice of revocation
to the Company in the manner provided by this Agreement before the end of such seven-day period; and (vii) the Executive understands
that the release contained in this paragraph does not apply to rights and claims that may arise after the date on which the Executive
signs this Agreement.

 

5.3             
Knowing and Voluntary Acknowledgment.

 

The Executive specifically agrees and acknowledges
that: (i) the Executive has read this Agreement in its entirety and understands all of its terms; (ii) the Executive has been advised
of and has availed himself of his right to consult with his attorney prior to executing this Agreement; (iii) the Executive knowingly,
freely and voluntarily assents to all of its terms and conditions including, without limitation, the waiver, release and covenants
contained herein; (iv) the Executive is executing this Agreement, including the waiver and release, in exchange for good and valuable
consideration in addition to anything of value to which he is otherwise entitled; (v) the Executive is not waiving or releasing
rights or claims that may arise after his execution of this Agreement; and (vi) the Executive understands that the waiver and release
in this Agreement is being requested in connection with the cessation of his employment with the Company.

 

		6.	No Mitigation.

 

In no event shall Executive be obligated to
seek other employment or take any other action by way of mitigation of the amounts payable to Executive under any of the provisions
of this Agreement and, except as otherwise provided herein, such amounts shall not be reduced whether or not Executive obtains
other employment.

 

    	 	13	 

     

    

		7.	Clawback.

 

All incentive compensation paid to Executive
pursuant to this Agreement or otherwise in connection with Executive’s employment with Company shall be subject to forfeiture,
recovery by Company or other action pursuant to any clawback or recoupment policy which Company may adopt from time to time.

 

		8.	Amendments to Existing Stock Awards.

 

Contemporaneously with or as soon as practicable
following the Effective Date, Executive and Company shall enter into amendments to the Restricted Stock Purchase Agreement and
Restricted Stock Award Agreement described on Exhibit “A” attached hereto. The forms of such amendments are
attached hereto as Exhibit “B”, and shall be customized in respect of the Restricted Stock Purchase Agreements
and Restricted Stock Award Agreement to which Executive is a party in the sole discretion of the Compensation Committee.

 

		9.	Miscellaneous.

 

9.1             
Valid Obligation. This Agreement has been duly authorized, executed and delivered by Company and
has been duly executed and delivered by Executive and is a legal, valid and binding obligation of Company and of Executive, enforceable
in accordance with its terms.

 

9.2             
No Conflicts. Executive represents and warrants that the performance by Executive of the duties
that are reasonably expected to be performed hereunder will not result in a material breach of any agreement to which Executive
is a party.

 

9.3             
Applicable Law. This Agreement shall be construed in accordance with the laws of the State of South
Carolina (the “Applicable State Law”), without reference to South Carolina’s choice of law statutes or
decisions.

 

9.4             
Severability. The provisions of this Agreement shall be deemed severable, and the invalidity or
unenforceability of any one or more of the provisions hereof shall not affect the validity or enforceability of any other provision.
If any provision of this Agreement shall be prohibited by or invalid under the Applicable State Law, the prohibited or invalid
provision(s) shall be deemed severed herefrom and shall be unenforceable to the extent of such prohibition or invalidity without
invalidating the remainder of such provision or the remaining provisions of this Agreement. In the event any clause of this Agreement
is deemed to be invalid, the parties shall endeavor to modify that clause in a manner which carries out the intent of the parties
in executing this Agreement.

 

9.5             
No Waiver. The waiver of a breach of any provision of this Agreement by any party shall not be
deemed or held to be a continuing waiver of such breach or a waiver of any subsequent breach of any provision of this Agreement
or as nullifying the effectiveness of such provision, unless agreed to in writing by the parties.

 

9.6             
Notices. All demands, notices, requests, consents and other communications required or permitted
under this Agreement shall be in writing and shall be personally delivered or sent by facsimile machine (with a confirmation copy
sent by one of the other methods authorized in this Section), or by commercial overnight delivery service, to the parties at the
addresses set forth below:

 

    	 	14	 

     

    

To Company:                      3D Systems
Corporation
 333 Three D Systems Circle
 Rock Hill, South Carolina 29730
 Attention: Chairman of the Board of
Directors

 

			With a copy to the Chief Legal Officer

 

To Executive:                     At the address
and/or fax number most recently contained in Company’s records

 

Notices shall be deemed given upon the earliest to occur of (i) receipt
by the party to whom such notice is directed, if hand delivered; (ii) if sent by facsimile machine, on the day (other than
a Saturday, Sunday or legal holiday in the jurisdiction to which such notice is directed) such notice is sent if sent (as evidenced
by the facsimile confirmed receipt) prior to 5:00 p.m. Central Time and, if sent after 5:00 p.m. Central Time, on the
day (other than a Saturday, Sunday or legal holiday in the jurisdiction to which such notice is directed) after which such notice
is sent; or (iii) on the first business day (other than a Saturday, Sunday or legal holiday in the jurisdiction to which such
notice is directed) following the day the same is deposited with the commercial carrier if sent by commercial overnight delivery
service. Each party, by notice duly given in accordance therewith may specify a different address for the giving of any notice
hereunder.

 

9.7             
Assignment of Agreement. This Agreement shall be binding upon and inure to the benefit of Executive
and Company, their respective successors and permitted assigns and Executive’s heirs and personal representatives. Executive
may not assign any rights or obligations hereunder to any person or entity without the prior written consent of Company. This Agreement
shall be personal to Executive for all purposes.

 

9.8             
Entire Agreement; Termination of Prior Agreements; Amendments. Subject to the immediately following
sentence and except as otherwise provided herein, this Agreement contains the entire understanding between the parties, and there
are no other agreements or understandings between the parties with respect to Executive’s employment by Company and Executive’s
obligations thereto other than Executive’s indemnification or related rights under Company’s certificate of incorporation
or Bylaws or under any indemnification agreement between Company and Executive and Executive’s rights under any equity incentive
plans or bonus plans of Company. The agreements designated for termination on Exhibit “A” attached hereto are
hereby terminated, and Executive releases the Company of and from any and all liability or further obligation in connection with
such agreements, and the agreements designated on Exhibit “A” attached hereto as surviving the making of this
Agreement shall survive the making of this Agreement. Executive acknowledges that Executive is not relying upon any representations
or warranties concerning Executive’s employment by Company except as expressly set forth herein. No amendment or modification
to the Agreement shall be valid except by a subsequent written instrument executed by the parties hereto.

 

    	 	15	 

     

    

9.9             
Dispute Resolution and Arbitration. The following procedures shall be used in the resolution of
disputes:

 

9.9.1       
Dispute. In the event of any dispute or disagreement between the parties under this Agreement (excluding
an action for injunctive or declaratory relief as provided in Section 4.10), the disputing party shall provide written notice to
the other party that such dispute exists. The parties will then make a good faith effort to resolve the dispute or disagreement.
If the dispute is not resolved upon the expiration of fifteen (15) days from the date a party receives such notice of dispute,
the entire matter shall then be submitted to arbitration as set forth in Section 9.9.2.

 

9.9.2       
Arbitration. Should any legal claim (other than those excepted below) arising out of or in any
way relating to this Agreement or Executive's employment or the termination of Executive's employment not be resolved by negotiation
or mediation, it shall be subject to binding and final arbitration in Rock Hill, South Carolina, which is in York County, the cost
of which shall be equally shared between the parties. Any demand for arbitration shall be in writing and must be communicated to
the other party prior to the expiration of the applicable statute of limitations. Unless otherwise provided herein, the arbitration
shall be conducted by a single arbitrator in accordance with the Employment Arbitration Rules and Mediation Procedures published
by the American Arbitration Association. If the arbitrator selected as set forth herein determines that this location constitutes
a significant hardship on the Executive and constitutes an impermissible barrier to Executive’s efforts to enforce Executive’s
statutory or contractual rights, such arbitration may be conducted in some other place determined to be reasonable by the arbitrator.
The arbitrator shall be selected by mutual agreement of the parties. If the parties cannot agree on an arbitrator within thirty
(30) days after written request for arbitration is made by one party to the controversy, a neutral arbitrator shall be appointed
according to the procedures set forth in the American Arbitration Association Employment Arbitration Rules and Mediation Procedures.
In rendering the award, the arbitrator shall have the authority to resolve only the legal dispute between the parties, shall not
have the authority to abridge or enlarge substantive rights or remedies available under existing law, and shall determine the rights
and obligations of the parties according to the substantive laws of the Applicable State Law and any applicable federal law. In
addition, the arbitrator's decision and award shall be in writing and signed by the arbitrator, and accompanied by a concise written
explanation of the basis of the award. The award rendered by the arbitrator shall be final and binding, and judgment on the award
may be entered in any court having jurisdiction thereof. The arbitrator is authorized to award any party a sum deemed proper for
the time, expense, and trouble of arbitration, including arbitration fees and attorneys’ fees.

 

9.9.3       
Types of Claims. All legal claims brought by Executive or Company related to this Agreement, the employment
relationship, terms and conditions of Executive’s employment, and/or termination from employment are subject to this dispute
resolution procedure. These include, by way of example and without limitation, any legal claims based on alleged discrimination
or retaliation on the basis of race, sex (including sexual harassment), religion, national origin, age, disability or other protected
classification, whether based on state or federal law; payment of wages, bonuses, or commissions; workers’ compensation retaliation;
defamation; invasion of privacy; infliction of emotional distress and/or breach of an express or implied contract. Disputes and
actions excluded from Section 9.9 are: (1) claims for workers’ compensation or unemployment benefits; (2) claims for benefits
under a Company plan or program that provides its own process for dispute resolution; (3) claims for declaratory or injunctive
relief (any such proceedings will be without prejudice to the parties’ rights under Section 9.9 to obtain additional relief
in arbitration with respect to such matters); (4) claims for unfair labor practices filed with the National Labor Relations Board;
and (5) actions to compel arbitration or to enforce or vacate an arbitrator's award under Section 9.9, such action to be governed
by the Federal Arbitration Act (“FAA”) and the provisions of Section 9.9. Nothing in this Agreement shall be
interpreted to mean that Executive is precluded from filing complaints with the Equal Employment Opportunity Commission, the National
Labor Relations Board or any similar state or federal agency. Any controversy over whether a dispute is arbitrable or as to the
interpretation of Section 9.9 with respect to such arbitration will be determined by the arbitrator.

 

    	 	16	 

     

    

9.10         
Headings. Section headings used in this Agreement are for convenience of reference only and shall
not be used to construe the meaning of any provision of this Agreement.

 

9.11         
Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but both of which together shall constitute one and the same instrument. Signatures delivered via facsimile or electronic
file shall be the same as original signatures.

 

9.12         
Taxes. Executive shall be solely responsible for taxes imposed on Executive by reason of any compensation
and benefits provided under this Agreement and all such compensation and benefits shall be subject to applicable withholding.

 

9.13         
Section 409A of the Code. It is intended that this Agreement will comply with Section 409A of the
Code (and any regulations and guidelines issued thereunder) to the extent the Agreement is subject thereto, and the Agreement shall
be interpreted on a basis consistent with such intent. If an amendment of the Agreement is necessary in order for it to comply
with Section 409A, the parties hereto will negotiate in good faith to amend the Agreement in a manner that preserves the original
intent of the parties to the extent reasonably possible. No action or failure by Company in good faith to act, pursuant to this
Section 9.13, shall subject Company to any claim, liability, or expense, and Company shall not have any obligation to indemnify
or otherwise protect Executive from the obligation to pay any taxes pursuant to Section 409A of the Code.

 

In addition, notwithstanding any provision to
the contrary in this Agreement, if Executive is deemed on the date of Executive’s “separation from service”
(within the meaning of Treas. Reg. Section 1.409A-1(h)) to be a “specified employee” (within the meaning of
Treas. Reg. Section 1.409A-1(i)), then with regard to any payment that is required to be delayed pursuant to Section 409A(a)(2)(B)
of the Code (the “Delayed Payments”), such payment shall not be made prior to the earlier of (i) the expiration
of the six (6) month period measured from the date of Executive’s “separation from service” and (ii) the date
of Executive’s death. Any payments due under this Agreement other than the Delayed Payments shall be paid in accordance with
the normal payment dates specified herein. In no case will the delay of any of the Delayed Payments by Company constitute a breach
of Company’s obligations under this Agreement. For the provision of payments and benefits under this Agreement upon termination
of employment, reference to Executive’s “termination of employment” (and corollary terms) with Company shall
be construed to refer to Executive’s “separation from service” from Company (as determined under Treas. Reg.
Section 1.409A-1(h), as uniformly applied by Company) in tandem with Executive’s termination of employment with Company.

 

    	 	17	 

     

    

In addition, to the extent that any reimbursement
or in-kind benefit under this Agreement or under any other reimbursement or in-kind benefit plan or arrangement in which Executive
participates during the term of Executive’s employment under this Agreement or thereafter provides for a “deferral
of compensation” within the meaning of Section 409A of the Code, (i) the amount eligible for reimbursement or in-kind
benefit in one calendar year may not affect the amount eligible for reimbursement or in-kind benefit in any other calendar year
(except that a plan providing medical or health benefits may impose a generally applicable limit on the amount that may be reimbursed
or paid), (ii) the right to reimbursement or an in-kind benefit is not subject to liquidation or exchange for another benefit,
and (iii) subject to any shorter time periods provided herein, any such reimbursement of an expense or in-kind benefit must
be made on or before the last day of the calendar year following the calendar year in which the expense was incurred.

 

For purposes of Section 409A of the Code (including,
without limitation, for purposes of Treasury Regulation Section 1.409A-2(b)(2)(iii)), Executive’s right to receive the severance
payments shall be treated as a right to receive a series of separate payments and, accordingly, each installment payment shall
at all times be considered a separate and distinct payment.

 

 

9.14         
Payment by Subsidiaries. Executive acknowledges and agrees that Company may satisfy its obligations
to make payments to Executive under this Agreement by causing one or more of its subsidiaries to make such payments to Executive.
Executive agrees that any such payment made by any such subsidiary shall fully satisfy and discharge Company’s obligation
to make such payment to Executive hereunder (but only to the extent of such payment).

 

[ Signature Page to Follow ]

 

    	 	18	 

     

    

IN WITNESS WHEREOF, the parties have
executed this Agreement as of the date and year first above written, to be effective at the Effective Date.

 

EXECUTIVE

 

/s/Mark W. Wright                                     

Mark W. Wright

 

 

 

3D Systems Corporation

 

By: /s/Andrew M. Johnson                         

Name: Andrew M. Johnson

Title: Executive Vice President, Chief Legal

          Officer and Secretary

 

 

 

    	 

     

    

EXHIBIT A

 

PRIOR AGREEMENTS

 

Agreements that terminate upon execution and delivery of this Agreement:

 

		1.	Non-Compete and Non-Solicitation Agreement, October 27, 2014, by and between 3D Systems Corporation and Mark Wright

 

		2.	Employee Confidentiality and Non-Solicitation and Arbitration Agreement, dated October 27, 2014, by and between 3D Systems
Corporation and Mark Wright

 

 

Agreements that survive the making of this Agreement:

 

		1.	3D Systems Insider-Trading Policy

 

 

Stock Awards to Be Amended Pursuant to Section 8 of this Agreement:

 

		1.	Restricted Stock Purchase Agreement, dated October 27, 2014, by and between 3D Systems Corporation and Mark Wright

 

		2.	Restricted Stock Award Agreement, dated November 13, 2015, by and between 3D Systems Corporation and Mark Wright

 

 

    	 

     

    

EXHIBIT B

 

FORM OF AMENDMENTS

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