Document:

2011 Incentive Compensation Plan

 Exhibit 10.1 
 TURBINE TRUCK ENGINES, INC. 
 2011 INCENTIVE COMPENSATION PLAN

  

					
	 1.      Purpose
	  	 	1	  
		
	 2.      Definitions
	  	 	1	  
		
	 3.      Administration
	  	 	5	  
		
	 4.      Shares Subject to Plan
	  	 	5	  
		
	 5.      Eligibility; Per-Person Award Limitations
	  	 	6	  
		
	 6.      Specific Terms of Awards
	  	 	6	  
		
	 7.      Certain Provisions Applicable to Awards
	  	 	10	  
		
	 8.      Code Section 162(m) Provisions
	  	 	11	  
		
	 9.      Change in Control
	  	 	12	  
		
	 10.    General Provisions
	  	 	14	  

  
 i 

 TURBINE TRUCK ENGINES, INC. 

2011 INCENTIVE COMPENSATION PLAN 
 1. Purpose. The purpose of this 2011 INCENTIVE COMPENSATION PLAN (the “Plan”) is to assist TURBINE TRUCK ENGINES, INC., a Nevada corporation (the “Company”) and its
Related Entities (as hereinafter defined) in attracting, motivating, retaining and rewarding high-quality executives and other employees, officers, directors, consultants and other persons who provide services to the Company or its Related Entities
by enabling such persons to acquire or increase a proprietary interest in the Company in order to strengthen the mutuality of interests between such persons and the Company’s shareholders, and providing such persons with performance incentives
to expend their maximum efforts in the creation of shareholder value. 
 2. Definitions. For purposes of the Plan,
the following terms shall be defined as set forth below, in addition to such terms defined in Section 1 hereof. 
 (a) “Award” means any Option, Stock Appreciation Right, Restricted Stock Award, Deferred Stock Award, Share granted as a bonus or in lieu of another Award, Dividend Equivalent,
Other Stock-Based Award or Performance Award, together with any other right or interest, granted to a Participant under the Plan. 
 (b) “Award Agreement” means any written agreement, contract or other instrument or document evidencing any Award granted by the Committee hereunder. 

(c) “Beneficiary” means the person, persons, trust or trusts that have been designated by a
Participant in his or her most recent written beneficiary designation filed with the Committee to receive the benefits specified under the Plan upon such Participant’s death or to which Awards or other rights are transferred if and to the
extent permitted under Section 10(b) hereof. If, upon a Participant’s death, there is no designated Beneficiary or surviving designated Beneficiary, then the term Beneficiary means the person, persons, trust or trusts entitled by will or
the laws of descent and distribution to receive such benefits. 
 (d) “Beneficial Owner”
shall have the meaning ascribed to such term in Rule 13d-3 under the Exchange Act and any successor to such Rule. 
 (e) “Board” means the Company’s Board of Directors. 
 (f) “Cause” shall, with respect to any Participant, have the meaning specified in the Award Agreement. In the absence of any definition in the Award Agreement, “Cause”
shall have the equivalent meaning or the same meaning as “cause” or “for cause” set forth in any employment, consulting, or other agreement for the performance of services between the Participant and the Company or a Related
Entity or, in the absence of any such agreement or any such definition in such agreement, such term shall mean (i) the failure by the Participant to perform, in a reasonable manner, his or her duties as assigned by the Company or a Related
Entity, (ii) any violation or breach by the Participant of his or her employment, consulting or other similar agreement with the Company or a Related Entity, if any, (iii) any violation or breach by the Participant of any non-competition,
non-solicitation, non-disclosure and/or other similar agreement with the Company or a Related Entity, (iv) any act by the Participant of dishonesty or bad faith with respect to the Company or a Related Entity, (v) use of alcohol, drugs or
other similar substances in a manner that adversely affects the Participant’s work performance, or (vi) the commission by the Participant of any act, misdemeanor, or crime reflecting unfavorably upon the Participant or the Company or any
Related Entity. The good faith determination by the Committee of whether the Participant’s Continuous Service was terminated by the Company for “Cause” shall be final and binding for all purposes hereunder. 

(g) “Change in Control” means a Change in Control as defined in Section 9(b) of the Plan.

 (h) “Code” means the Internal Revenue Code of 1986, as amended from time to time,
including regulations hereunder and successor provisions and regulations thereto. 

  
 1 

 (i) “Committee” means a committee designated by the
Board to administer the Plan; provided, however, that if the Board fails to designate a committee or if there are no longer any members on the committee so designated by the Board, then the Board shall serve as the Committee. The Committee shall
consist of at least two directors, and each member of the Committee shall be (i) a “non-employee director” within the meaning of Rule 16b-3 (or any successor rule) under the Exchange Act, unless administration of the Plan by
“non-employee directors” is not then required in order for exemptions under Rule 16b-3 to apply to transactions under the Plan, (ii) an “outside director” within the meaning of Section 162(m) of the Code, and
(iii) “Independent”. 
 (j) “Consultant” means any person (other than an
Employee or a Director, solely with respect to rendering services in such person’s capacity as a director) who is engaged by the Company or any Related Entity to render consulting or advisory services to the Company or such Related Entity.

 (k) “Continuous Service” means the uninterrupted provision of services to the Company
or any Related Entity in any capacity of Employee, Director, Consultant or other service provider. Continuous Service shall not be considered to be interrupted in the case of (i) any approved leave of absence, (ii) transfers among the
Company, any Related Entities, or any successor entities, in any capacity of Employee, Director, Consultant or other service provider, or (iii) any change in status as long as the individual remains in the service of the Company or a Related
Entity in any capacity of Employee, Director, Consultant or other service provider (except as otherwise provided in the Award Agreement). An approved leave of absence shall include sick leave, military leave, or any other authorized personal leave.

 (l) “Covered Employee” means an Eligible Person who is a “covered employee”
within the meaning of Section 162(m)(3) of the Code, or any successor provision thereto. 
 (m)
“Deferred Stock” means a right to receive Shares, including Restricted Stock, cash measured based upon the value of Shares or a combination thereof, at the end of a specified deferral period. 

(n) “Deferred Stock Award” means an Award of Deferred Stock granted to a Participant under
Section 6(e) hereof. 
 (o) “Director” means a member of the Board or the board of
directors of any Related Entity. 
 (p) “Disability” means a permanent and total
disability (within the meaning of Section 22(e) of the Code), as determined by a medical doctor satisfactory to the Committee. 
 (q) “Dividend Equivalent” means a right, granted to a Participant under Section 6(g) hereof, to receive cash, Shares, other Awards or other property equal in value to
dividends paid with respect to a specified number of Shares, or other periodic payments. 
 (r)
“Effective Date” means the effective date of the Plan, which shall be the date of the Board of Directors resolution adopting said Plan. 
 (s) “Eligible Person” means each officer, Director, Employee, Consultant and other person who provides services to the Company or any Related Entity. The foregoing notwithstanding,
only employees of the Company, or any parent corporation or subsidiary corporation of the Company (as those terms are defined in Sections 424(e) and (f) of the Code, respectively), shall be Eligible Persons for purposes of receiving any
Incentive Stock Options. An Employee on leave of absence may be considered as still in the employ of the Company or a Related Entity for purposes of eligibility for participation in the Plan. 

(t) “Employee” means any person, including an officer or Director, who is an employee of the
Company or any Related Entity. The payment of a director’s fee by the Company or a Related Entity shall not be sufficient to constitute “employment” by the Company. 

(u) “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time,
including rules there under and successor provisions and rules thereto. 

  
 2 

 (v) “Fair Market Value” means the fair market value
of Shares, Awards or other property as determined by the Committee, or under procedures established by the Committee. Unless otherwise determined by the Committee, the Fair Market Value of a Share as of any given date shall be the closing sale price
per Share reported on a consolidated basis for stock listed on the principal stock exchange or market on which Shares are traded on the date immediately preceding the date as of which such value is being determined or, if there is no sale on that
date, then on the last previous day on which a sale was reported. 
 (w) “Good Reason”
shall, with respect to any Participant, have the meaning specified in the Award Agreement. In the absence of any definition in the Award Agreement, “Good Reason” shall have the equivalent meaning or the same meaning as “good
reason” or “for good reason” set forth in any employment, consulting or other agreement for the performance of services between the Participant and the Company or a Related Entity or, in the absence of any such agreement or any such
definition in such agreement, such term shall mean (i) the assignment to the Participant of any duties inconsistent in any material respect with the Participant’s duties or responsibilities as assigned by the Company or a Related Entity,
or any other action by the Company or a Related Entity which results in a material diminution in such duties or responsibilities, excluding for this purpose an isolated, insubstantial and inadvertent action not taken in bad faith and which is
remedied by the Company or a Related Entity promptly after receipt of notice thereof given by the Participant; (ii) any material failure by the Company or a Related Entity to comply with its obligations to the Participant as agreed upon, other
than an isolated, insubstantial and inadvertent failure not occurring in bad faith and which is remedied by the Company or a Related Entity promptly after receipt of notice thereof given by the Participant; or (iii) the Company’s or
Related Entity’s requiring the Participant to be based at any office or location outside of fifty miles from the location of employment or service as of the date of Award, except for travel reasonably required in the performance of the
Participant’s responsibilities. 
 (x) “Incentive Stock Option” means any Option
intended to be designated as an incentive stock option within the meaning of Section 422 of the Code or any successor provision thereto. 
 (y) “Independent”, when referring to either the Board or members of the Committee, shall have the same meaning as used in the rules of the NASDAQ Stock Market or any national
securities exchange on which any securities of the Company are listed for trading, and if not listed for trading, by the rules of the NASDAQ Stock Market. 
 (z) “Incumbent Board” means the Incumbent Board as defined in Section 9(b)(ii) of the Plan. 

(aa) “Option” means a right granted to a Participant under Section 6(b) hereof, to purchase
Shares or other Awards at a specified price during specified time periods. 
 (bb)
“Optionee” means a person to whom an Option is granted under this Plan or any person who succeeds to the rights of such person under this Plan. 

(cc) “Other Stock-Based Awards” means Awards granted to a Participant under Section 6(i)
hereof. 
 (dd) “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. 
 (ee)
“Performance Award” shall mean any Award of Performance Shares or Performance Units granted pursuant to Section 6(h). 
 (ff) “Performance Period” means that period established by the Committee at the time any Performance Award is granted or at any time thereafter during which any performance goals
specified by the Committee with respect to such Award are to be measured. 
 (gg) “Performance
Share” means any grant pursuant to Section 6(h) of a unit valued by reference to a designated number of Shares, which value may be paid to the Participant by delivery of such property as the Committee shall determine, including
cash, Shares, other property, or any combination 

  
 3 

 
thereof, upon achievement of such performance goals during the Performance Period as the Committee shall establish at the time of such grant or thereafter. 

(hh) “Performance Unit” means any grant pursuant to Section 6(h) of a unit valued by
reference to a designated amount of property (including cash) other than Shares, which value may be paid to the Participant by delivery of such property as the Committee shall determine, including cash, Shares, other property, or any combination
thereof, upon achievement of such performance goals during the Performance Period as the Committee shall establish at the time of such grant or thereafter. 
 (ii) “Person” shall have the meaning ascribed to such term in Section 3(a)(9) of the Exchange Act and used in Sections 13(d) and 14(d) thereof, and shall include a
“group” as defined in Section 13(d) thereof. 
 (jj) “Prior Plan” means
the Company’s 2008 Stock Incentive Plan, as amended. 
 (kk) “Related Entity” means
any Subsidiary, and any business, corporation, partnership, limited liability company or other entity designated by Board in which the Company or a Subsidiary holds a substantial ownership interest, directly or indirectly. 

(ll) “Restricted Stock” means any Share issued with the restriction that the holder may not sell,
transfer, pledge or assign such Share and with such risks of forfeiture and other restrictions as the Committee, in its sole discretion, may impose (including any restriction on the right to vote such Share and the right to receive any dividends),
which restrictions may lapse separately or in combination at such time or times, in installments or otherwise, as the Committee may deem appropriate. 
 (mm) “Restricted Stock Award” means an Award granted to a Participant under Section 6(d) hereof. 

(nn) “Rule 16b-3” means Rule 16b-3, as from time to time in effect and applicable to the Plan and
Participants, promulgated by the Securities and Exchange Commission under Section 16 of the Exchange Act. 

(oo) “Shareholder Approval Date” means the date on which this Plan is ratified by shareholders of
the Company eligible to vote in the election of directors, by a vote sufficient to meet the requirements of Code Sections 162(m) (if applicable) and 422, Rule 16b-3 under the Exchange Act (if applicable), applicable requirements under the rules of
any stock exchange or automated quotation system on which the Shares may be listed on quoted, and other laws, regulations and obligations of the Company applicable to the Plan. 

(pp) “Shares” means the shares of common stock of the Company, par value $.001 per share, and such
other securities as may be substituted (or resubstituted) for Shares pursuant to Section 10(c) hereof. 

(qq) “Stock Appreciation Right” means a right granted to a Participant under Section 6(c)
hereof. 
 (rr) “Subsidiary” means any corporation or other entity in which the Company
has a direct or indirect ownership interest of 50% or more of the total combined voting power of the then outstanding securities or interests of such corporation or other entity entitled to vote generally in the election of directors or in which the
Company has the right to receive 50% or more of the distribution of profits or 50% or more of the assets on liquidation or dissolution. 
 (ss) “Substitute Awards” shall mean Awards granted or Shares issued by the Company in assumption of, or in substitution or exchange for, Awards previously granted, or the right or
obligation to make future Awards, by a company acquired by the Company or any Related Entity or with which the Company or any Related Entity combines. 

  
 4 

 3. Administration.  

(a) Authority of the Committee. The Plan shall be administered by the Committee, except to the extent the
Board elects to administer the Plan, in which case the Plan shall be administered by only those directors who are Independent Directors, in which case references herein to the “Committee” shall be deemed to include references to the
Independent members of the Board. The Committee shall have full and final authority, subject to and consistent with the provisions of the Plan, to select Eligible Persons to become Participants, grant Awards, determine the type, number and other
terms and conditions of, and all other matters relating to, Awards, prescribe Award Agreements (which need not be identical for each Participant) and rules and regulations for the administration of the Plan, construe and interpret the Plan and Award
Agreements 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. In exercising any
discretion granted to the Committee under the Plan or pursuant to any Award, the Committee shall not be required to follow past practices, act in a manner consistent with past practices, or treat any Eligible Person or Participant in a manner
consistent with the treatment of other Eligible Persons or Participants. 
 (b) Manner of Exercise of
Committee Authority. The Committee, and not the Board, shall exercise sole and exclusive discretion on any matter relating to a Participant then subject to Section 16 of the Exchange Act with respect to the Company to the extent
necessary in order that transactions by such Participant shall be exempt under Rule 16b-3 under the Exchange Act. Any action of the Committee shall be final, conclusive and binding on all persons, including the Company, its Related Entities,
Participants, Beneficiaries, transferees under Section 10(b) hereof or other persons claiming rights from or through a Participant, and shareholders. 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 delegate to officers or managers of the Company or any Related Entity, or committees thereof, the authority, subject to such terms as the
Committee shall determine, to perform such functions, including administrative functions as the Committee may determine to the extent that such delegation will not result in the loss of an exemption under Rule 16b-3(d)(1) for Awards granted to
Participants subject to Section 16 of the Exchange Act in respect of the Company and will not cause Awards intended to qualify as “performance-based compensation” under Code Section 162(m) to fail to so qualify. The Committee may
appoint agents to assist it in administering the Plan. 
 (c) Limitation of Liability. The
Committee and the Board, and each member thereof, shall be entitled to, in good faith, rely or act upon any report or other information furnished to him or her by any officer or Employee, the Company’s independent auditors, Consultants or any
other agents assisting in the administration of the Plan. Members of the Committee and the Board, and any officer or Employee acting at the direction or on behalf of the Committee or the Board, 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. Shares Subject to Plan.  
 (a) Limitation on Overall Number of Shares Available for Delivery Under Plan. Subject to adjustment as provided in Section 10(c) hereof, the total number of Shares reserved and
available for delivery under the Plan shall be 5,000,000. Any Shares delivered under the Plan may consist, in whole or in part, of authorized and unissued shares or treasury shares. 

(b) Application of Limitation to Grants of Award. No Award may be granted if the number of Shares to be
delivered in connection with such an Award or, in the case of an Award relating to Shares but settled only in cash (such as cash-only Stock Appreciation Rights), the number of Shares to which such Award relates, exceeds the number of Shares
remaining available for delivery under the Plan, minus the number of Shares deliverable in settlement of or relating to then outstanding Awards. 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 if the number of Shares actually delivered differs from the number of Shares previously counted in connection with an Award. 

  
 5 

 (c) Availability of Shares Not Delivered under Awards and Adjustments
to Limits.  
 (i) If any Shares subject to an Award are forfeited, expire or otherwise terminate without
issuance of such Shares, or any Award is settled for cash or otherwise does not result in the issuance of all or a portion of the Shares subject to such Award, the Shares shall, to the extent of such forfeiture, expiration, termination, cash
settlement or non-issuance, again be available for Awards under the Plan, subject to Section 4(c)(v) below. 

(ii) Awards that are settled or exercised through the payment of Shares shall be counted in full against the number of
Shares available for award under the Plan, regardless of the number of Shares actually issued upon settlement or exercise of any such Award. 
 (iii) Substitute Awards shall not reduce the Shares authorized for grant under the Plan or authorized for grant to a Participant in any period. Additionally, in the event that a company acquired by the
Company or any Related Entity or with which the Company or any Related Entity combines has shares available under a pre-existing plan approved by shareholders and not adopted in contemplation of such acquisition or combination, the shares available
for delivery pursuant to the terms of such pre-existing plan (as adjusted, to the extent appropriate, using the exchange ratio or other adjustment or valuation ratio or formula used in such acquisition or combination to determine the consideration
payable to the holders of common stock of the entities party to such acquisition or combination) may be used for Awards under the Plan and shall not reduce the Shares authorized for delivery under the Plan; provided that Awards using such available
shares shall not be made after the date awards or grants could have been made under the terms of the pre-existing plan, absent the acquisition or combination, and shall only be made to individuals who were not Employees or Directors prior to such
acquisition or combination. 
 (iv) Any Shares that again become available for delivery pursuant to this
Section 4(c) shall be added back as one (1) Share. 
 (v) Notwithstanding anything in this
Section 4(c) to the contrary and solely for purposes of determining whether Shares are available for the delivery of Incentive Stock Options, the maximum aggregate number of shares that may be granted under this Plan shall be determined without
regard to any Shares restored pursuant to this Section 4(c) that, if taken into account, would cause the Plan to fail the requirement under Code Section 422 that the Plan designate a maximum aggregate number of shares that may be issued.

 (d) No Further Awards Under Prior Plan. In light of the adoption of this Plan, no further awards shall
be made under the Prior Plan after the Effective Date. 
 5. Eligibility; Per-Person Award Limitations. Awards may
be granted under the Plan only to Eligible Persons. Subject to adjustment as provided in Section 10(c), in any fiscal year of the Company during any part of which the Plan is in effect, no Participant may be granted Awards with respect to more
than 1,000,000,000 Shares. In addition, the maximum dollar value payable to any one Participant with respect to Performance Units is (x) $1,000,000 with respect to any 12 month Performance Period (pro-rated for any Performance Period that is
less than 12 months based upon the ratio of the number of days in the Performance Period as compared to 365), and (y) with respect to any Performance Period that is more than 12 months, $2,000,000. 

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 10(e)), 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 the Participant’s Continuous Service and terms permitting a Participant to make elections relating to his or her Award. The Committee shall retain full power and discretion to accelerate, waive or modify, at any time, any term or condition
of an Award that is not mandatory under the Plan. Except in cases in which the Committee is authorized to require other forms of consideration under the Plan, or to the 

  
 6 

 
extent other forms of consideration must be paid to satisfy the requirements of Nevada law, no consideration other than services may be required for the grant (but not the exercise) of any Award.

 (b) Options. The Committee is authorized to grant Options to any Eligible Person on the
following terms and conditions: 
 (i) Exercise Price. Other than in connection with Substitute
Awards, the exercise price per Share purchasable under an Option shall be determined by the Committee, provided that such exercise price shall not be less than 100% of the Fair Market Value of a Share on the date of grant of the Option and shall
not, in any event, be less than the par value of a Share on the date of grant of the Option. If an Employee owns or is deemed to own (by reason of the attribution rules applicable under Section 424(d) of the Code) more than 10% of the combined
voting power of all classes of stock of the Company (or any parent corporation or subsidiary corporation of the Company, as those terms are defined in Sections 424(e) and (f) of the Code, respectively) and an Incentive Stock Option is granted
to such employee, the exercise price of such Incentive Stock Option (to the extent required by the Code at the time of grant) shall be no less than 110% of the Fair Market Value a Share on the date such Incentive Stock Option is granted. Other than
pursuant to Section 10(c), the Committee shall not be permitted to (A) lower the exercise price per Share of an Option after it is granted, (B) cancel an Option when the exercise price per Share exceeds the Fair Market Value of the
underlying Shares in exchange for another Award (other than in connection with Substitute Awards), or (C) take any other action with respect to an Option that may be treated as a repricing, without approval of the Company’s shareholders.

 (ii) Time and Method of Exercise. 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 (including based on achievement of performance goals and/or future service requirements), the time or times at which Options shall cease to be or become exercisable
following termination of Continuous Service or upon other conditions, the methods by which the exercise price may be paid or deemed to be paid (including in the discretion of the Committee a cashless exercise procedure), the form of such payment,
including, without limitation, cash, Shares, other Awards or Awards granted under other plans of the Company or a Related Entity, or other property (including notes or other contractual obligations of Participants to make payment on a deferred basis
provided that such deferred payments are not in violation of the Sarbanes-Oxley Act of 2002, or any rule or regulation adopted there under or any other applicable law), and the methods by or forms in which Shares will be delivered or deemed to be
delivered to Participants. 
 (iii) Incentive Stock Options. The terms of any Incentive Stock
Option granted under the Plan shall comply in all respects with the provisions of Section 422 of the Code. Anything in the Plan to the contrary notwithstanding, no term of the Plan relating to Incentive Stock Options (including any Stock
Appreciation Right issued in tandem therewith) shall be interpreted, amended or altered, nor shall any discretion or authority granted under the Plan be exercised, so as to disqualify either the Plan or any Incentive Stock Option under
Section 422 of the Code, unless the Participant has first requested, or consents to, the change that will result in such disqualification. Thus, if and to the extent required to comply with Section 422 of the Code, Options granted as
Incentive Stock Options shall be subject to the following special terms and conditions: 
 (A) the Option shall
not be exercisable more than ten years after the date such Incentive Stock Option is granted; provided, however, that if a Participant owns or is deemed to own (by reason of the attribution rules of Section 424(d) of the Code) more than 10% of
the combined voting power of all classes of stock of the Company (or any parent corporation or subsidiary corporation of the Company, as those terms are defined in Sections 424(e) and (f) of the Code, respectively) and the Incentive Stock
Option is granted to such Participant, the term of the Incentive Stock Option shall be (to the extent required by the Code at the time of the grant) for no more than five years from the date of grant; and 

(B) The aggregate Fair Market Value (determined as of the date the Incentive Stock Option is granted) of the Shares with
respect to which Incentive Stock Options granted under the Plan and all other option plans of the Company (and any parent corporation or subsidiary corporation of the Company, as those terms are defined in Sections 424(e) and (f) of the Code,
respectively) during any calendar year exercisable for the first time by the Participant during any calendar year shall not (to the extent required by the Code at the time of the grant) exceed $100,000. 

  
 7 

 (c) Stock Appreciation Rights. The Committee may grant Stock
Appreciation Rights to any Eligible Person in conjunction with all or part of any Option granted under the Plan or at any subsequent time during the term of such Option (a “Tandem Stock Appreciation Right”), or without regard to any Option
(a “Freestanding Stock Appreciation Right”), in each case upon such terms and conditions as the Committee may establish in its sole discretion, not inconsistent with the provisions of the Plan, including the following: 

(i) Right to Payment. A Stock Appreciation Right shall confer on the Participant to whom it is granted a
right to receive, upon exercise thereof, the excess of (A) the Fair Market Value of one Share on the date of exercise over (B) the grant price of the Stock Appreciation Right as determined by the Committee. The grant price of a Stock
Appreciation Right shall not be less than the Fair Market Value of a Share on the date of grant, in the case of a Freestanding Stock Appreciation Right, or less than the associated Option exercise price, in the case of a Tandem Stock Appreciation
Right. Other than pursuant to Section 10(c), the Committee shall not be permitted to (A) lower the grant price per Share of a Stock Appreciation Right after it is granted, (B) cancel a Stock Appreciation Right when the grant price per
Share exceeds the Fair Market Value of the underlying Shares in exchange for another Award (other than in connection with Substitute Awards), or (C) take any other action with respect to a Stock Appreciation Right that may be treated as a
repricing, without shareholder approval. 
 (ii) Other Terms. The Committee shall determine at the
date of grant or thereafter, the time or times at which and the circumstances under which a Stock Appreciation Right may be exercised in whole or in part (including based on achievement of performance goals and/or future service requirements), the
time or times at which Stock Appreciation Rights shall cease to be or become exercisable following termination of Continuous Service or upon other conditions, the method of exercise, method of settlement, form of consideration payable in settlement,
method by or forms in which Shares will be delivered or deemed to be delivered to Participants, whether or not a Stock Appreciation Right shall be in tandem or in combination with any other Award, and any other terms and conditions of any Stock
Appreciation Right. 
 (iii) Tandem Stock Appreciation Rights. Any Tandem Stock Appreciation Right
may be granted at the same time as the related Option is granted or, for Options that are not Incentive Stock Options, at any time thereafter before exercise or expiration of such Option. Any Tandem Stock Appreciation Right related to an Option may
be exercised only when the related Option would be exercisable and the Fair Market Value of the Shares subject to the related Option exceeds the exercise price at which Shares can be acquired pursuant to the Option. In addition, if a Tandem Stock
Appreciation Right exists with respect to less than the full number of Shares covered by a related Option, then an exercise or termination of such Option shall not reduce the number of Shares to which the Tandem Stock Appreciation Right applies
until the number of Shares then exercisable under such Option equals the number of Shares to which the Tandem Stock Appreciation Right applies. Any Option related to a Tandem Stock Appreciation Right shall no longer be exercisable to the extent the
Tandem Stock Appreciation Right has been exercised, and any Tandem Stock Appreciation Right shall no longer be exercisable to the extent the related Option has been exercised. 

(d) Restricted Stock Awards. The Committee is authorized to grant Restricted Stock Awards to any Eligible
Person on the following terms and conditions: 
 (i) Grant and Restrictions. Restricted Stock
Awards shall be subject to such restrictions on transferability, risk of forfeiture and other restrictions, if any, as the Committee may impose, or as otherwise provided in this Plan, covering a period of time specified by the Committee (the
“Restriction Period”). The terms of any Restricted Stock Award granted under the Plan shall be set forth in a written Award Agreement which shall contain provisions determined by the Committee and not inconsistent with the Plan. The
restrictions may lapse separately or in combination at such times, under such circumstances (including based on achievement of performance goals and/or future service requirements), in such installments or otherwise, 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 Agreement relating to a Restricted Stock Award, a Participant granted Restricted Stock shall have all of the rights of a shareholder,
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). During the 

  
 8 

 
Restriction Period, subject to Section 10(b) below, the Restricted Stock may not be sold, transferred, pledged, hypothecated, margined or otherwise encumbered by the Participant. 

(ii) Forfeiture. Except as otherwise determined by the Committee, upon termination of a Participant’s
Continuous Service during the applicable Restriction Period, the Participant’s Restricted Stock that is at that time subject to a risk of forfeiture that has not lapsed or otherwise been satisfied shall be forfeited and reacquired by the
Company; provided that the Committee may provide, by rule or regulation or in any Award Agreement, or may determine in any individual case, that forfeiture conditions relating to Restricted Stock Awards shall be waived in whole or in part in the
event of terminations resulting from specified causes. 
 (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 a Restricted Stock Award, the Committee may require or permit a Participant to elect that any cash dividends paid on a Share of Restricted Stock be automatically reinvested in additional Shares of Restricted Stock or applied to the purchase of
additional Awards under the Plan. Unless otherwise determined by the Committee, Shares 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 Shares or other property have been distributed. 
 (e) Deferred Stock Award. The Committee is authorized to grant Deferred Stock Awards to any Eligible Person on the following terms and conditions: 

(i) Award and Restrictions. Satisfaction of a Deferred Stock Award shall occur upon expiration of the
deferral period specified for such Deferred Stock Award by the Committee (or, if permitted by the Committee, as elected by the Participant). In addition, a Deferred Stock Award shall be subject to such restrictions (which may include a risk of
forfeiture) as the Committee may impose, if any, which restrictions may lapse at the expiration of the deferral period or at earlier specified times (including based on achievement of performance goals and/or future service requirements), separately
or in combination, in installments or otherwise, as the Committee may determine. A Deferred Stock Award may be satisfied by delivery of Shares, cash equal to the Fair Market Value of the specified number of Shares covered by the Deferred Stock, or a
combination thereof, as determined by the Committee at the date of grant or thereafter. Prior to satisfaction of a Deferred Stock Award, a Deferred Stock Award carries no voting or dividend or other rights associated with Share ownership.

 (ii) Forfeiture. Except as otherwise determined by the Committee, upon termination of a
Participant’s Continuous Service during the applicable deferral period or portion thereof to which forfeiture conditions apply (as provided in the Award Agreement evidencing the Deferred Stock Award), the Participant’s Deferred Stock Award
that is at that time subject to a risk of forfeiture that has not lapsed or otherwise been satisfied shall be forfeited; provided that the Committee may provide, by rule or regulation or in any Award Agreement, or may determine in any individual
case, that forfeiture conditions relating to a Deferred Stock Award shall be waived in whole or in part in the event of terminations resulting from specified causes, and the Committee may in other cases waive in whole or in part the forfeiture of
any Deferred Stock Award. 
 (iii) Dividend Equivalents. Unless otherwise determined by the
Committee at date of grant, any Dividend Equivalents that are granted with respect to any Deferred Stock Award shall be either (A) paid with respect to such Deferred Stock Award 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 Deferred Stock Award and the amount or value thereof automatically deemed reinvested in additional Deferred Stock, other Awards or
other investment vehicles, as the Committee shall determine or permit the Participant to elect. 

  
 9 

 (f) Bonus Stock and Awards in Lieu of Obligations. The
Committee is authorized to grant Shares to any Eligible Persons as a bonus, or to grant Shares or other Awards in lieu of obligations to pay cash or deliver other property under the Plan or under other plans or compensatory arrangements, provided
that, in the case of Eligible Persons subject to Section 16 of the Exchange Act, the amount of such grants remains within the discretion of the Committee to the extent necessary to ensure that acquisitions of Shares or other Awards are exempt
from liability under Section 16(b) of the Exchange Act. Shares or Awards granted hereunder shall be subject to such other terms as shall be determined by the Committee. 

(g) Dividend Equivalents. The Committee is authorized to grant Dividend Equivalents to any Eligible Person
entitling the Eligible Person to receive cash, Shares, other Awards, or other property equal in value to the dividends paid with respect to a specified number of Shares, or other periodic payments. Dividend Equivalents may be Awarded on a
free-standing basis or in connection with another Award. The Committee may provide that Dividend Equivalents shall be paid or distributed when accrued or shall be deemed to have been reinvested in additional Shares, Awards, or other investment
vehicles, and subject to such restrictions on transferability and risks of forfeiture, as the Committee may specify. 
 (h) Performance Awards. The Committee is authorized to grant Performance Awards to any Eligible Person payable in cash, Shares, or other Awards, on terms and conditions established by the
Committee, subject to the provisions of Section 8 if and to the extent that the Committee shall, in its sole discretion, determine that an Award shall be subject to those provisions. The performance criteria to be achieved during any
Performance Period and the length of the Performance Period shall be determined by the Committee upon the grant of each Performance Award. Except as provided in Section 9 or as may be provided in an Award Agreement, Performance Awards will be
distributed only after the end of the relevant Performance Period. The performance goals to be achieved for each Performance Period shall be conclusively determined by the Committee and may be based upon the criteria set forth in Section 8(b),
or in the case of an Award that the Committee determines shall not be subject to Section 8 hereof, any other criteria that the Committee, in its sole discretion, shall determine should be used for that purpose. The amount of the Award to be
distributed shall be conclusively determined by the Committee. Performance Awards may be paid in a lump sum or in installments following the close of the Performance Period or, in accordance with procedures established by the Committee, on a
deferred basis. 
 (i) Other Stock-Based Awards. The Committee is authorized, subject to
limitations under applicable law, to grant to any Eligible Person such other Awards that may be denominated or payable in, valued in whole or in part by reference to, or otherwise based on, or related to, Shares, as deemed by the Committee to be
consistent with the purposes of the Plan. Other Stock-Based Awards may be granted to Participants either alone or in addition to other Awards granted under the Plan, and such Other Stock-Based Awards shall also be available as a form of payment in
the settlement of other Awards granted under the Plan. The Committee shall determine the terms and conditions of such Awards. Shares delivered pursuant to an Award in the nature of a purchase right granted under this Section 6(i) shall be
purchased for such consideration, (including without limitation loans from the Company or a Related Entity provided that such loans are not in violation of the Sarbanes Oxley Act of 2002, or any rule or regulation adopted there under or any other
applicable law) paid for at such times, by such methods, and in such forms, including, without limitation, cash, Shares, other Awards or other property, as the Committee shall determine. 

7. Certain Provisions Applicable to Awards.  

(a) Stand-Alone, Additional, Tandem, and Substitute Awards. Awards granted under the Plan may, in the
discretion of the Committee, 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 Related Entity, or any business entity to be
acquired by the Company or a Related Entity, or any other right of a Participant to receive payment from the Company or any Related Entity. Such additional, tandem, and substitute or exchange Awards may be granted at any time. If an Award is granted
in substitution or exchange for another Award or award, the Committee shall require the surrender of such other Award or award in consideration for the grant of the new Award. In addition, Awards may be granted in lieu of cash compensation,
including in lieu of cash amounts payable under other plans of the Company or any Related Entity, in which the value of Stock subject to the Award is equivalent in value to the cash compensation

  
 10 

 
(for example, Deferred Stock or Restricted Stock), or in which the exercise price, grant price or purchase price of the Award in the nature of a right that may be exercised is equal to the Fair
Market Value of the underlying Stock minus the value of the cash compensation surrendered (for example, Options or Stock Appreciation Right granted with an exercise price or grant price “discounted” by the amount of the cash compensation
surrendered). 
 (b) Term of Awards. The term of each Award shall be for such period as may be
determined by the Committee; provided that in no event shall the term of any Option or Stock Appreciation Right exceed a period of ten years (or in the case of an Incentive Stock Option such shorter term as may be required under Section 422 of
the Code). 
 (c) Form and Timing of Payment Under Awards; Deferrals. Subject to the terms of the
Plan and any applicable Award Agreement, payments to be made by the Company or a Related Entity 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, Shares, other Awards or other property, and may be made in a single payment or transfer, in installments, or on a deferred basis. Any installment or deferral provided for in the preceding sentence shall, however, be subject to the
Company’s compliance with the provisions of the Sarbanes-Oxley Act of 2002, the rules and regulations adopted by the Securities and Exchange Commission there under, and all applicable rules of the NASDAQ Stock Market or any national securities
exchange on which the Company’s securities are listed for trading and, if not listed for trading on either the NASDAQ Stock Market or a national securities exchange, then the rules of the NASDAQ Stock Market. The settlement of any Award may be
accelerated, and cash paid in lieu of Shares in connection with such settlement, in the discretion of the Committee or upon occurrence of one or more specified events (in addition to a Change in Control). Installment or deferred payments may be
required by the Committee (subject to Section 10(e) of the Plan, including the consent provisions thereof in the case of any deferral of an outstanding Award not provided for in the original Award Agreement) or permitted at the election of the
Participant on terms and conditions established by the Committee. Payments may include, without limitation, provisions for the payment or crediting of a reasonable interest rate on installment or deferred payments or the grant or crediting of
Dividend Equivalents or other amounts in respect of installment or deferred payments denominated in Shares. 

(d) Exemptions from Section 16(b) Liability. It is the intent of the Company that the grant of any
Awards to or other transaction by a Participant who is subject to Section 16 of the Exchange Act shall be exempt from Section 16 pursuant to an applicable exemption (except for transactions acknowledged in writing to be non-exempt by such
Participant). Accordingly, if any provision of this Plan or any Award Agreement does not comply with the requirements of Rule 16b-3 then applicable to any such transaction, such provision shall be construed or deemed amended to the extent necessary
to conform to the applicable requirements of Rule 16b-3 so that such Participant shall avoid liability under Section 16(b). 
 (e) Code Section 409A. If and to the extent that the Committee believes that any Awards may constitute a “nonqualified deferred compensation plan” under Section 409A of
the Code, the terms and conditions set forth in the Award Agreement for that Award shall be drafted in a manner that is intended to comply with, and those provisions (and the provisions of the Plan applicable thereto) shall be interpreted in a
manner consistent with, the applicable requirements of Section 409A of the Code. 
 8. Code Section 162(m)
Provisions.  
 (a) Covered Employees. The Committee, in its discretion, may
determine at the time an Award is granted to an Eligible Person who is, or is likely to be, as of the end of the tax year in which the Company would claim a tax deduction in connection with such Award, a Covered Employee, that the provisions of this
Section 8 shall be applicable to such Award. 
 (b) Performance Criteria. If an Award is
subject to this Section 8, then the lapsing of restrictions thereon and the distribution of cash, Shares or other property pursuant thereto, as applicable, shall be contingent upon achievement of one or more objective performance goals.
Performance goals shall be objective and shall otherwise meet the requirements of Section 162(m) of the Code and regulations there under including the requirement that the level or levels of performance targeted by the Committee result in the
achievement of performance goals being “substantially uncertain.” One or more of the following 

  
 11 

 
business criteria for the Company, on a consolidated basis, and/or for Related Entities, or for business or geographical units of the Company and/or a Related Entity (except with respect to the
total shareholder return and earnings per share criteria), shall be used by the Committee in establishing performance goals for such Awards: (1) earnings per share; (2) revenues or margins; (3) cash flow; (4) operating margin;
(5) return on net assets, investment, capital, or equity; (6) economic value added; (7) direct contribution; (8) net income; pretax earnings; earnings before interest and taxes; earnings before interest, taxes, depreciation and
amortization; earnings after interest expense and before extraordinary or special items; operating income; income before interest income or expense, unusual items and income taxes, local, state or federal and excluding budgeted and actual bonuses
which might be paid under any ongoing bonus plans of the Company; (9) working capital; (10) management of fixed costs or variable costs; (11) identification or consummation of investment opportunities or completion of specified
projects in accordance with corporate business plans, including strategic mergers, acquisitions or divestitures; (12) total shareholder return; and (13) debt reduction. Any of the above goals may be determined on an absolute or relative
basis or as compared to the performance of a published or special index deemed applicable by the Committee including, but not limited to, the Standard & Poor’s 500 Stock Index or a group of companies that are comparable to the Company.
The Committee shall exclude the impact of an event or occurrence which the Committee determines should appropriately be excluded, including without limitation (i) restructurings, discontinued operations, extraordinary items, and other unusual
or non-recurring charges, (ii) an event either not directly related to the operations of the Company or not within the reasonable control of the Company’s management, or (iii) a change in accounting standards required by generally
accepted accounting principles. 
 (c) Performance Period; Timing For Establishing Performance
Goals. Achievement of performance goals in respect of such Performance Awards shall be measured over a Performance Period no shorter than 12 months and no longer than 5 years, as specified by the Committee. Performance goals shall be
established not later than 90 days after the beginning of any Performance Period applicable to such Performance Awards, or at such other date as may be required or permitted for “performance-based compensation” under Code
Section 162(m). 
 (d) Adjustments. The Committee may, in its discretion, reduce the amount of
a settlement otherwise to be made in connection with Awards subject to this Section 8, but may not exercise discretion to increase any such amount payable to a Covered Employee in respect of an Award subject to this Section 8. The
Committee shall specify the circumstances in which such Awards shall be paid or forfeited in the event of termination of Continuous Service by the Participant prior to the end of a Performance Period or settlement of Awards. 

(e) Committee Certification. No Participant shall receive any payment under the Plan that is subject to this
Section 8 unless the Committee has certified, by resolution or other appropriate action in writing, that the performance criteria and any other material terms previously established by the Committee or set forth in the Plan, have been satisfied
to the extent necessary to qualify as “performance based compensation” under Code Section 162(m). 
 9.
Change in Control.  
 (a) Effect of “Change in Control.” If and only to
the extent provided in the Award Agreement, or to the extent otherwise determined by the Committee, upon the occurrence of a “Change in Control,” as defined in Section 9(b): 

(i) Any Option or Stock Appreciation Right that was not previously vested and exercisable as of the time of the Change in
Control, shall become immediately vested and exercisable, subject to applicable restrictions set forth in Section 10(a) hereof. 
 (ii) Any restrictions, deferral of settlement, and forfeiture conditions applicable to a Restricted Stock Award, Deferred Stock Award or an Other Stock-Based Award subject only to future service
requirements granted under the Plan shall lapse and such Awards shall be deemed fully vested as of the time of the Change in Control, except to the extent of any waiver by the Participant and subject to applicable restrictions set forth in
Section 10(a) hereof. 

  
 12 

 (iii) With respect to any outstanding Award subject to achievement of
performance goals and conditions under the Plan, the Committee may, in its discretion, deem such performance goals and conditions as having been met as of the date of the Change in Control. 

(b) Definition of “Change in Control”. Unless otherwise specified in an Award Agreement, a
“Change in Control” shall mean the occurrence of any of the following: 
 (i) The acquisition by any
Person of Beneficial Ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of more than fifty percent (50%) of either (A) the then outstanding shares of common stock of the Company (the “Outstanding Company
Common Stock”) or (B) the combined voting power of the then outstanding voting securities of the Company entitled to vote generally in the election of directors (the “Outstanding Company Voting Securities) (the foregoing Beneficial
Ownership hereinafter being referred to as a “Controlling Interest”); provided, however, that for purposes of this Section 9(b), the following acquisitions shall not constitute or result in a Change of Control: (v) any
acquisition directly from the Company; (w) any acquisition by the Company; (x) any acquisition by any Person that as of the Effective Date owns Beneficial Ownership of a Controlling Interest; (y) any acquisition by any employee
benefit plan (or related trust) sponsored or maintained by the Company or any Subsidiary; or (z) any acquisition by any corporation pursuant to a transaction which complies with clauses (A), (B) and (C) of subsection (iii) below;
or 
 (ii) During any period of two (2) consecutive years (not including any period prior to the Effective
Date) individuals who constitute the Board on the Effective Date (the “Incumbent Board”) cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director subsequent to the
Effective Date whose election, or nomination for election by the Company’s shareholders, was approved by a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a
member of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other
actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or 

(iii) Consummation of a reorganization, merger, statutory share exchange or consolidation or similar corporate transaction
involving the Company or any of its Subsidiaries, a sale or other disposition of all or substantially all of the assets of the Company, or the acquisition of assets or stock of another entity by the Company or any of its Subsidiaries (each a
“Business Combination”), in each case, unless, following such Business Combination, (A) all or substantially all of the individuals and entities who were the Beneficial Owners, respectively, of the Outstanding Company Common Stock and
Outstanding Company Voting Securities immediately prior to such Business Combination beneficially own, directly or indirectly, more than fifty percent (50%) of the then outstanding shares of common stock and the combined voting power of the
then outstanding voting securities entitled to vote generally in the election of directors, as the case may be, of the corporation resulting from such Business Combination (including, without limitation, a corporation which as a result of such
transaction owns the Company or all or substantially all of the Company’s assets either directly or through one or more subsidiaries) in substantially the same proportions as their ownership, immediately prior to such Business Combination of
the Outstanding Company Common Stock and Outstanding Company Voting Securities, as the case may be, (B) no Person (excluding any employee benefit plan (or related trust) of the Company or such corporation resulting from such Business
Combination or any Person that as of the Effective Date owns Beneficial Ownership of a Controlling Interest) beneficially owns, directly or indirectly, fifty percent (50%) or more of the then outstanding shares of common stock of the
corporation resulting from such Business Combination or the combined voting power of the then outstanding voting securities of such corporation except to the extent that such ownership existed prior to the Business Combination and (C) at least
a majority of the members of the Board of Directors of the corporation resulting from such Business Combination were members of the Incumbent Board at the time of the execution of the initial agreement, or of the action of the Board, providing for
such Business Combination; or 
 (iv) Approval by the shareholders of the Company of a complete liquidation or
dissolution of the Company. 

  
 13 

 10. General Provisions.  

(a) Compliance With Legal and Other Requirements. The Company may, to the extent deemed necessary or
advisable by the Committee, postpone the issuance or delivery of Shares or payment of other benefits under any Award until completion of such registration or qualification of such Shares 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 Shares or other Company securities 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 it may consider appropriate in connection with the issuance or
delivery of Shares or payment of other benefits in compliance with applicable laws, rules, and regulations, listing requirements, or other obligations. 
 (b) Limits on Transferability; Beneficiaries. No Award or other right or interest granted under the Plan shall be pledged, hypothecated or otherwise encumbered or subject to any lien,
obligation or liability of such Participant to any party, 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 Incentive Stock Options and Stock Appreciation
Rights in tandem therewith) may be transferred to one or more Beneficiaries or other transferees during the lifetime of 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 pursuant to the express terms of an Award Agreement (subject to any terms and conditions which the Committee may impose thereon). 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 Agreement 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.  

(i) Adjustments to Awards. In the event that any extraordinary dividend or other distribution (whether in
the form of cash, Shares, or other property), recapitalization, forward or reverse split, reorganization, merger, consolidation, spin-off, combination, repurchase, share exchange, liquidation, dissolution or other similar corporate transaction or
event affects the Shares and/or such other securities of the Company or any other issuer such that a substitution, exchange, or adjustment is determined by the Committee to be appropriate, then the Committee shall, in such manner as it may deem
equitable, substitute, exchange or adjust any or all of (A) the number and kind of Shares which may be delivered in connection with Awards granted thereafter, (B) the number and kind of Shares by which annual per-person Award limitations
are measured under Section 5 hereof, (C) the number and kind of Shares subject to or deliverable in respect of outstanding Awards, (D) the exercise price, grant price or purchase price relating to any Award and/or make provision for
payment of cash or other property in respect of any outstanding Award, and (E) any other aspect of any Award that the Committee determines to be appropriate. 

(ii) Adjustments in Case of Certain Corporate Transactions. In the event of any merger, consolidation or
other reorganization in which the Company does not survive, or in the event of any Change in Control, any outstanding Awards may be dealt with in accordance with any of the following approaches, as determined by the agreement effectuating the
transaction or, if and to the extent not so determined, as determined by the Committee: (a) the continuation of the outstanding Awards by the Company, if the Company is a surviving corporation, (b) the assumption or substitution for, as
those terms are defined in Section 9(b)(iv) hereof, the outstanding Awards by the surviving corporation or its parent or subsidiary, (c) full exercisability or vesting and accelerated expiration of the outstanding Awards, or
(d) settlement of the value of the outstanding Awards in cash or cash equivalents or other property followed by cancellation of such Awards (which value, in the case of Options or Stock Appreciation Rights, shall be measured by the amount, if
any, by which the Fair Market Value of a Share exceeds the exercise or grant price of the Option or Stock Appreciation Right as of the effective date of the transaction). The Committee shall give written notice of any proposed transaction referred
to in this Section 10(c)(ii) a reasonable period of time prior to the closing date for such transaction (which notice may be given either before or after the 

  
 14 

 
approval of such transaction), in order that Participants may have a reasonable period of time prior to the closing date of such transaction within which to exercise any Awards that are then
exercisable (including any Awards that may become exercisable upon the closing date of such transaction). A Participant may condition his exercise of any Awards upon the consummation of the transaction. 

(iii) Other Adjustments. The Committee (and the Board if and only to the extent such authority is not
required to be exercised by the Committee to comply with Section 162(m) of the Code) is authorized to make adjustments in the terms and conditions of, and the criteria included in, Awards (including Performance Awards, or performance goals
relating thereto) in recognition of unusual or nonrecurring events (including, without limitation, acquisitions and dispositions of businesses and assets) affecting the Company, any Related Entity or any business unit, or the financial statements of
the Company or any Related Entity, or in response to changes in applicable laws, regulations, accounting principles, tax rates and regulations or business conditions or in view of the Committee’s assessment of the business strategy of the
Company, any Related Entity or business unit thereof, performance of comparable organizations, economic and business conditions, personal performance of a Participant, and any other circumstances deemed relevant, provided that no such adjustment
shall be authorized or made if and to the extent that such authority or the making of such adjustment would cause Options, Stock Appreciation Rights, Performance Awards granted pursuant to Section 8(b) hereof to Participants designated by the
Committee as Covered Employees and intended to qualify as “performance-based compensation” under Code Section 162(m) and the regulations there under to otherwise fail to qualify as “performance-based compensation” under Code
Section 162(m) and regulations there under. 
 (d) Taxes. The Company and any Related Entity
are authorized to withhold from any Award granted, any payment relating to an Award under the Plan, including from a distribution of Shares, or any payroll or other payment to a Participant, amounts of withholding and other taxes due or potentially
payable in connection with any transaction involving an Award, and to take such other action as the Committee may deem advisable to enable the Company or any Related Entity 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 Shares or other property and to make cash payments in respect thereof in satisfaction of a Participant’s tax obligations, either on a
mandatory or elective basis in the discretion of the Committee. 
 (e) Changes to the Plan and
Awards. The Board may amend, alter, suspend, discontinue or terminate the Plan, or the Committee’s authority to grant Awards under the Plan, without the consent of shareholders or Participants, except that any amendment or alteration to
the Plan shall be subject to the approval of the Company’s shareholders not later than the annual meeting next following such Board action if such shareholder approval is required by any federal or state law or regulation (including, without
limitation, Rule 16b-3 or Code Section 162(m)) or the rules of any stock exchange or automated quotation system on which the Shares may then be listed or quoted, and the Board may otherwise, in its discretion, determine to submit other such
changes to the Plan to shareholders for approval; provided that, without the consent of an affected Participant, no such Board action may materially and adversely affect the rights of such Participant under any previously granted and outstanding
Award. The Committee may waive any conditions or rights under, or amend, alter, suspend, discontinue or terminate any Award theretofore granted and any Award Agreement relating thereto, except as otherwise provided in the Plan; provided that,
without the consent of an affected Participant, no such Committee or the Board action may materially and adversely affect the rights of such Participant under such Award. 

(f) Limitation on Rights Conferred Under Plan. Neither the Plan nor any action taken hereunder or under any
Award shall be construed as (i) giving any Eligible Person or Participant the right to continue as an Eligible Person or Participant or in the employ or service of the Company or a Related Entity; (ii) interfering in any way with the right
of the Company or a Related Entity to terminate any Eligible Person’s or Participant’s Continuous Service at any time, (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 Employees, or (iv) conferring on a Participant any of the rights of a shareholder of the Company including, without limitation, any right to receive dividends or distributions, any right to vote or act by
written consent, any right to attend meetings of shareholders or any right to receive any information concerning the Company’s business, financial condition, results of operation or prospects, unless and until

  
 15 

 
such time as the Participant is duly issued Shares on the stock books of the Company in accordance with the terms of an Award. None of the Company, its officers or its directors shall have any
fiduciary obligation to the Participant with respect to any Shares awarded pursuant to this Plan unless and until the Participant is duly issued Shares on the stock books of the Company in accordance with the terms of an Award. Neither the Company
nor any of the Company’s officers, directors, representatives or agents are granting any rights under the Plan to the Participant whatsoever, oral or written, express or implied, other than those rights expressly set forth in this Plan or the
Award Agreement. 
 (g) Unfunded Status of Awards; Creation of Trusts. The Plan is intended to
constitute an “unfunded” plan for incentive and deferred compensation. With respect to any payments not yet made to a Participant or obligation to deliver Shares 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, Shares, 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. The trustee of such trusts may be authorized to dispose of trust assets and reinvest the proceeds in alternative investments, subject to such terms and conditions as the Committee may specify and in accordance with applicable law.

 (h) Nonexclusivity of the Plan. Neither the adoption of the Plan by the Board nor its submission
to the shareholders 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 as it may deem desirable including incentive arrangements and
awards which do not qualify under Section 162(m) of the Code. 
 (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 or other consideration, the Participant shall be repaid the amount of such
cash or other consideration. No fractional Shares 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)
Governing Law. The validity, construction and effect of the Plan, any rules and regulations under the Plan, and any Award Agreement shall be determined in accordance with the laws of the State of Nevada without giving effect to
principles of conflict of laws, and applicable federal law. 
 (k) Non-U.S. Laws. The Committee
shall have the authority to adopt such modifications, procedures, and subplans as may be necessary or desirable to comply with provisions of the laws of foreign countries in which the Company or its Subsidiaries may operate to assure the viability
of the benefits from Awards granted to Participants performing services in such countries and to meet the objectives of the Plan. 
 (l) Plan Effective Date and Shareholder Approval; Termination of Plan. The Plan shall become effective on the Effective Date, which is the date the Plan was approved by the Board of
Directors. The Plan shall be submitted for ratification by the Company’s shareholders not later than the annual meeting next following such Board action, if such shareholder approval is required by any federal or state law or regulation
(including, without limitation, Rule 16b-3 or Code Section 162(m)) shareholders of the Company eligible to vote in the election of directors, by a vote sufficient to meet the requirements of Code Sections 162(m) (if applicable) and 422, Rule
16b-3 under the Exchange Act (if applicable), applicable requirements under the rules of any stock exchange or automated quotation system on which the Shares may be listed or quoted, and other laws, regulations, and obligations of the Company
applicable to the Plan. The Plan shall terminate at the earliest of (a) such time as no Shares remain available for issuance under the Plan, (b) termination of this Plan by the Board, or (c) the tenth anniversary of the Effective
Date. Awards outstanding upon expiration of the Plan shall remain in effect until they have been exercised or terminated, or have expired. 

  
 16First Amendment to Second Amended and Restated Loan and Security Agreement

 Exhibit 10.1 
 [Conformed Copy] 
 FIRST AMENDMENT TO SECOND AMENDED 

AND RESTATED LOAN AND SECURITY AGREEMENT 
 THIS FIRST AMENDMENT TO SECOND AMENDED AND RESTATED LOAN AND SECURITY AGREEMENT (this “Amendment”) is dated September 28, 2011, by and among COLTEC INDUSTRIES INC, a
Pennsylvania corporation (“Coltec”), COLTEC INDUSTRIAL PRODUCTS LLC, a Delaware limited liability company (“CIP”), GGB LLC, a Delaware limited liability company (“GGB LLC”),
CORROSION CONTROL CORPORATION, a Colorado corporation (“CCC”), STEMCO LP, a Texas limited partnership (“Stemco LP (TX)”), STEMCO KAISER INCORPORATED, a Michigan corporation
(“Kaiser”), TECHNETICS GROUP LLC, a North Carolina limited liability company (“Technetics”), TECHNETICS GROUP DAYTONA, INC., a Delaware corporation formerly known as Tara Technologies Corporation
(“Technetics Daytona”), KENLEE DAYTONA LLC, a Delaware limited liability company (“KenLee”), APPLIED SURFACE TECHNOLOGY, INC., a California corporation (“Applied Surface”), BELFAB,
INC., a Delaware corporation (“Belfab”; Coltec, CIP, GGB LLC, CCC, Stemco LP (TX), Kaiser, Technetics, Technetics Daytona, KenLee, Applied Surface, and Belfab are each individually referred to herein as a
“Borrower” and collectively as “Borrowers”), ENPRO INDUSTRIES, INC., a North Carolina corporation (“Parent”), COLTEC INTERNATIONAL SERVICES CO., a Delaware corporation (“Coltec
International”), GGB, INC., a Delaware corporation (“GGB Inc.”), STEMCO HOLDINGS, INC., a Delaware corporation (“Stemco Holdings”), COMPRESSOR PRODUCTS HOLDINGS, INC., a Delaware
corporation (“Compressor Products”), COMPRESSOR SERVICES HOLDINGS, INC., a Delaware corporation (“Compressor Services”), BEST HOLDINGS I, INC., a Delaware corporation (“Best Holdings”;
Coltec International, GGB Inc., Stemco Holdings, Compressor Products, Compressor Services, and Best Holdings are each individually referred to herein as a “Subsidiary Guarantor” and collectively as “Subsidiary
Guarantors”); the various financial institutions party to the Loan Agreement (as defined below) from time to time (together with their respective successors and permitted assigns, the “Lenders”); and BANK OF AMERICA,
N.A., a national banking association, in its capacity as a Lender and collateral and administrative agent for the Lenders (together with its successors in such capacity, “Agent”). 

Recitals: 
 Parent, Borrowers, Subsidiary Guarantors, Agent, and the Lenders are parties to that certain Second Amended and Restated Loan and Security Agreement dated March 31, 2011 (as at any time amended,
restated, modified or supplemented, the “Loan Agreement”), pursuant to which Agent and the Lenders have extended certain loans and other financial accommodations to Borrowers. 

Parent, Borrowers, and Subsidiary Guarantors have requested that Agent and the Lenders agree to amend the Loan Agreement to, among other
things, increase the amount of the “Revolver Commitments” from $125,000,000 to $175,000,000. 
 Subject to the terms
and conditions set forth herein, Agent and the Lenders are willing to enter into this Amendment. 
 NOW, THEREFORE, for TEN
DOLLARS ($10.00) in hand paid and other good and valuable consideration, the receipt and sufficiency of which are hereby severally acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows: 

1. Definitions. All capitalized terms used in this Amendment, unless otherwise defined herein, shall have the meaning
ascribed to such terms in the Loan Agreement. 

 2. Amendments to Loan Agreement. The Loan Agreement is hereby amended as
follows: 
 (a) By deleting the definitions of “Applicable Margin”, “Borrowing Base”,
“Cash Dominion Cure Event”, “Cash Dominion Period”, “Fixed Charges”, “Permitted Fixed Asset Debt”, “Permitted Term Loan”, “Revolver Commitment”,
and “Secured Bank Product Provider” set forth in Section 1.1 of the Loan Agreement, and by substituting in lieu thereof the following new definitions: 

Applicable Margin - a percentage on a per annum basis equal to 0.75% with respect to Revolver Loans that are Base
Rate Loans, and 1.75% with respect to Revolver Loans that are LIBOR Loans, provided, that, following Agent’s receipt of the financial statements and Compliance Certificate required pursuant to Section 10.1.3 for each Fiscal
Quarter ending on or after December 31, 2011, the Applicable Margin shall be increased or (if no Default or Event of Default exists) decreased (provided that upon any waiver or cure of an applicable Event of Default, the decrease
to the Applicable Margin shall be implemented on the Business Day next succeeding the date of such waiver or cure), based upon Average Availability, as follows: 
  

											
	 Level
	  	Average Availability	  	LIBOR Loans	 	 	Base Rate Loans	 
	 I
	  	<$45,000,000	  	 	2.25	% 	 	 	1.25	% 
	 II
	  	3$45,000,000 but <$85,000,000	  	 	2.00	% 	 	 	1.00	% 
	 III
	  	3$85,000,000	  	 	1.75	% 	 	 	0.75	% 

 The Applicable Margin shall be subject to reduction or increase, as applicable and as set forth in the
table above, on a quarterly basis according to Average Availability for the Fiscal Quarter period ending on the last day of each Fiscal Quarter. Except as set forth in the last sentence hereof (or in the parenthetical set forth above), any such
increase or reduction in the Applicable Margin provided for herein shall be effective three (3) Business Days after receipt by Agent of the financial statements and corresponding Compliance Certificate for each Fiscal Quarter. If the financial
statements and the Compliance Certificate are not received by Agent by the date required pursuant to Section 10.1.3 (after giving effect to the applicable cure period set forth in Section 12.1.3), at the election of the
Required Lenders the Applicable Margin shall be determined based on Level I in the above table until such time as such financial statements and Compliance Certificate are received and any Event of Default resulting from a failure timely to
deliver such financial statements or Compliance Certificate is waived in writing by Agent and Lenders; provided, however, that Agent and Lenders shall be entitled to accrue and receive interest at the Default Rate to the extent
authorized by Section 3.1.5; provided, further, that no change shall be made in the levels set forth above solely due to any termination of the Commitments and, in such event, the levels shall be determined as of the date
of such termination and shall no longer be subject to reduction or increase. 
 Borrowing Base - on any
date of determination thereof, an amount equal to (i) the sum of (a) 85% of the Net Amount of Eligible Accounts of Borrowers on such date, plus (b) the Inventory Formula Amount, plus (c) the Fixed Asset Formula
Amount, 

 
minus (ii) the Availability Reserve. Notwithstanding anything in this Agreement to the contrary, the amount of the Inventory Formula Amount comprising the Borrowing Base shall not at
any time exceed 50% of the total amount of the Borrowing Base. 
 Cash Dominion Cure Event - means,
following the commencement of a Cash Dominion Period, (a) no Event of Default exists and (b) Availability is greater than or equal to the greater of (i) the lesser of 15% of (A) the Borrowing Base or (B) the Commitments, or
(ii) $17,500,000, in each case, on each day for a period of three (3) consecutive months. 
 Cash
Dominion Period - the period commencing on the day that (a) an Event of Default occurs, or (b) Availability is less than an amount equal to the greater of (i) the lesser of 15% of (A) the Borrowing Base or (B) the
Commitments, or (ii) $17,500,000, and ending on the date that a Cash Dominion Cure Event occurs. 
 Fixed
Charges - with respect to any fiscal period of Parent and its consolidated Subsidiaries on a Consolidated basis, without duplication, (i) interest expense (but excluding from interest expense any non-cash interest expense attributable to
the accretion of Debt discount to the extent that such non-cash interest expense is included therein), plus (ii) Capital Expenditures (excluding Capital Expenditures funded with Debt other than Revolver Loans, but including, without
duplication, principal payments with respect to such Debt), plus (iii) scheduled principal payments of Debt, plus (iv) federal, state, local and foreign income taxes (excluding deferred taxes), plus (v) all
Distributions made by Parent during such fiscal period, plus (vi) the amortization of the Fixed Asset Formula Amount component of the Borrowing Base. Notwithstanding anything herein to the contrary, in no event shall any PIK Interest be
included in the calculation of “Fixed Charges” under this Agreement; provided, however, that, in all events, any payments made in cash under the Coltec Subordinated Note or the Stemco Subordinated Note, including pursuant to
Section 1 of the Coltec Subordinated Note or Section 1 of the Stemco Subordinated Note, shall constitute “Fixed Charges” under this Agreement. 

Permitted Fixed Asset Debt - Debt of Obligors and their Subsidiaries that is (i) not in excess of $10,000,000
in aggregate principal amount outstanding at any time and secured only by a Fixed Asset Lien, or (ii) the Permitted Term Loan. For the purposes of this definition, (a) any such Debt (but not any increase in the principal amount thereof
after the Closing Date) that is listed on Schedule 10.2.3 shall not be included in the calculation of the amount of Permitted Fixed Asset Debt and (b) the principal amount of any Debt consisting of capitalized leases shall be computed as
a Capitalized Lease Obligation. Agent and the Lenders agree to subordinate the Lien granted in favor of Agent on Pledged Fixed Assets granted under this Agreement and the other Loan Documents to any Fixed Asset Lien granted in connection with
Permitted Fixed Asset Debt permitted to be incurred pursuant to clause (i) of the first sentence of this definition if (x) the holder of such Fixed Asset Lien requests that Agent and the Lenders agree to subordinate Agent’s Lien, and
(y) the agreement pursuant to which such Fixed Asset Lien is granted is permitted by the terms of this Agreement. 
 Permitted Term Loan - a term loan, the proceeds of which shall be solely used for the financing of one or more acquisitions, 

(a) up to a principal amount that, after giving pro forma effect thereto, does not result in a pro forma
Senior Secured Leverage Ratio 

  
 - 3 -

 
greater than 2.50 to 1.00 (and, in all events, is not greater than $200,000,000), 
 (b) on generally accepted market terms and conditions (including (i) a maturity date that is on or after the date that is 90 days after the Commitment Termination Date, and (ii) a weighted
average life to maturity from the incurrence of the initial tranche of the Permitted Term Loan that is at least four years), 
 (c) secured by any or all of the Property of Obligors that does not constitute Collateral under this Agreement (such Property is referred to herein as the “Other Assets”), it being
acknowledged that the Pledged Fixed Assets may secure a Permitted Term Loan in accordance with clause (iii) of the following proviso, provided that, 

(i) in the event such Permitted Term Loan shall be secured by a Lien upon any portion of the Collateral (other than
Pledged Fixed Assets), Obligors shall grant to Agent, for the benefit of itself and Lenders, a second priority Lien upon the Other Assets, 
 (ii) in the event the Obligors agree to grant to Agent, for the benefit of itself and Lenders, a second priority Lien upon the Other Assets, Agent and the Lenders agree to permit Obligors to grant, for
the benefit of the lenders of the Permitted Term Loan, a second priority Lien upon the Collateral (other than Pledged Fixed Assets), and 
 (iii) in the event such Permitted Term Loan shall be secured by a first priority Lien on the Pledged Fixed Assets, (A) Agent shall subordinate its first priority Lien upon the Pledged Fixed Assets so
that, after giving effect to such Permitted Term Loan, Agent shall have a second priority Lien upon the Pledged Fixed Assets, and (B) the Fixed Asset Formula Amount shall be eliminated from the Borrowing Base, and if an Out-of-Formula Condition
shall exist, Borrowers shall, on the sooner to occur of the first Business Day after any Borrower has obtained knowledge thereof or Agent’s demand, repay the outstanding Revolver Loans in accordance with Section 5.2.1(iii) of this
Agreement, 
 (d) subject to an intercreditor agreement satisfactory to the Required Lenders in their sole and
absolute discretion, and 
 (e) that may be incurred if, immediately before and immediately after giving pro
forma effect thereto, (i) no Default or Event of Default shall exist, and (ii) Availability is not less than an amount equal to the greater of (A) the lesser of 15% of (I) the Borrowing Base or (II) the Commitments, or
(B) $20,000,000. 

  
 - 4 -

 Revolver Commitment - at any date for any Lender, the obligation of
such Lender to make Revolver Loans and to purchase participations in LC Obligations pursuant to the terms and conditions of this Agreement, which shall not exceed the principal amount set forth opposite such Lender’s name under the heading
“Revolver Commitment” on Schedule I to this Agreement or the principal amount set forth in the Assignment and Acceptance by which it became a Lender, as modified from time to time pursuant to the terms of this Agreement (including
Section 2.2) or to give effect to any applicable Assignment and Acceptance; and “Revolver Commitments” means the aggregate principal amount of the Revolver Commitments of all Lenders, the maximum amount of which on any
date shall be $175,000,000 as increased from time to time pursuant to Section 2.2. 
 Secured Bank
Product Provider - (a) BofA or any of its Affiliates; and (b) any other Lender or Affiliate of a Lender that is providing a Bank Product, provided such provider delivers written notice to Agent, in form and substance satisfactory to Agent,
by 10 days after the Closing Date for Bank Products in existence on the Closing Date or 10 days following creation of the Bank Product for Bank Products created after the Closing Date, (i) describing the Bank Product and setting forth the
maximum amount to be secured by the Collateral and the methodology to be used in calculating such amount, and (ii) agreeing to be bound by Section 13.20. Such provider may thereafter provide written notice to Agent from time to time
(but not more frequently than monthly) updating such maximum amount and the methodology for calculating such amount. 
 (b) By
adding the following new definitions of “Eligible Equipment”, “Eligible Real Property”, “First Amendment Date”, “Fixed Asset Formula Amount”, “Fixed Asset
Sublimit”, “Permitted De Minimis Liens”, and “Pledged Fixed Assets” to Section 1.1 of the Loan Agreement, in proper alphabetical sequence: 

Eligible Equipment - Equipment that Agent, in its Credit Judgment, deems to be Eligible Equipment. Without limiting
the generality of the foregoing, no Equipment shall be Eligible Equipment unless: (a) such Borrower has good title to such Equipment, and such Equipment is owned by a Borrower, is subject to Agent’s first priority Lien and no other Lien or
interest that is not a Permitted Lien (other than a Permitted De Minimis Lien), shall be in good working order and condition (ordinary wear and tear excepted), and is used or held for use by such Borrower in the Ordinary Course of Business;
(b) it is located in the United States of America at premises owned or leased by a Borrower, provided that, if such Equipment is located on premises leased by a Borrower, (i) the lessor of such premises shall have delivered
in favor of Agent a Lien Waiver with respect to such premises, or (ii) a Rent Reserve with respect to such premises has been established by Agent; (c) a Borrower has the right (whether contractually or otherwise) to grant to Agent a Lien
upon such Equipment, and such Equipment shall not be subject to any Restrictive Agreement; (d) it does not constitute a fixture; (e) it is insured in an amount acceptable to Agent, and Agent is named lender’s loss payee in respect of
such insurance; (f) it does not constitute an accession to Equipment that does not meet the criteria to qualify as Eligible Equipment; and (g) Agent shall have received appraisals for such Equipment that (i) with respect to appraisals
received before April 1, 2012, are acceptable to the Required Lenders in their reasonable judgment exercised in a manner consistent with their customary practices or otherwise in good faith (it being acknowledged that the appraisals of
Equipment received by the Agent in the month of September 2011 are acceptable to the Required Lenders), and (ii) with respect to 

  
 - 5 -

 
appraisals received on or after April 1, 2012, are acceptable to Agent in its Credit Judgment. For the avoidance of doubt, each Borrower acknowledges and agrees that Equipment subject to
Permitted Fixed Asset Debt shall not be Eligible Equipment. 
 Eligible Real Property - Real Property that
Agent, in its Credit Judgment, deems to be Eligible Real Property. Without limiting the generality of the foregoing, no Real Property shall be Eligible Real Property unless: (a) it is owned by a Borrower; (b) it is located in the United
States of America; (c) it is subject to Agent’s first priority Lien and no other Lien or interest that is not a Permitted Lien (other than a Permitted De Minimis Lien); (d) if any improvements are located thereon, such improvements
are insured in an amount acceptable to Agent in its Credit Judgment, and Agent is named mortgagee in respect of such insurance; (e) Agent is the insured under a mortgagee title insurance policy that contains no exceptions to title that are not
Permitted Liens (other than a Permitted De Minimis Lien) or that are not otherwise acceptable to Agent in its Credit Judgment, which title insurance policy is otherwise acceptable to Agent in its Credit Judgment; and (f) with respect to such
Real Property, Agent shall have received, in form and substance satisfactory to Agent in its Credit Judgment, (i) a completed Phase I (and, if requested by Agent, Phase II) environmental assessment report that, among other things, does not
indicate any material pending, threatened, or existing environmental liability or non-compliance with Environmental Laws or other Applicable Law, (ii) an ALTA survey (or such other survey that is acceptable to Agent in its Credit Judgment) by a
land surveyor duly registered and licensed in the state in which such Real Property is located, (iii) a flood zone certificate or report and, if requested by Agent, flood insurance satisfactory to Agent shall have been procured and evidence
thereof provided to Agent, (iv) a legal opinion from Borrowers’ counsel who practice in the jurisdiction in which such Real Property is located, which legal opinion shall address, among other things, the enforceability and perfection of
Agent’s Liens upon such Real Property, (v) estoppel certificates from any third party tenants of such Real Property, and (vi) appraisals of such Real Property as requested by Agent that are in compliance with all Applicable Law,
including the Financial Institutions Reform, Recovery, and Enforcement Act of 1989, Pub. L. No. 101-73. 103 Stat. 183 (1989), provided that, with respect to appraisals of Real Property delivered before April 1, 2012, such
appraisals shall be acceptable to the Required Lenders in their reasonable judgment exercised in a manner consistent with their customary practices or otherwise in good faith. 

First Amendment Date - September 28, 2011. 

Fixed Asset Formula Amount - on any date of determination, the Fixed Asset Sublimit, as amortized on a 7-year
straight line basis commencing on April 1, 2012, and on the first day of each Fiscal Quarter thereafter; provided that, (a) with the consent of all Lenders, Borrowers shall have a one-time option to restart the amortization
of the Fixed Asset Formula Amount after April 1, 2012, by demonstrating to Agent and the Lenders, through the appraisal or pledge, or both, of additional Fixed Assets or otherwise, that the Fixed Asset Sublimit equals $50,000,000 at the time of
such amortization restart, (b) on the date that the Permitted Term Loan shall be secured by a first priority Lien on the Pledged Fixed Assets, the Fixed Asset Formula Amount shall be $0 on such date and at all times thereafter, and (c) in
connection with any disposition of Pledged Fixed Assets in accordance with a Permitted Asset Disposition (including pursuant to the disposition of a business unit or business line) that are included in calculating the Fixed Asset Formula Amount and
that are not replaced with Pledged Fixed Assets of like function and value acquired before or contemporaneously with such disposition and that are not encumbered 

  
 - 6 -

 
by any Liens, the Fixed Asset Formula Amount shall be reduced by an amount equal to (i) the applicable advance rate set forth in the definition of Fixed Asset Sublimit, multiplied by
(ii) the appraised value of the Pledged Fixed Assets included in the calculation of the Fixed Asset Formula Amount that are disposed of, as amortized at such time, unless, after giving effect to such Permitted Asset Disposition, the amount
calculated pursuant to clause (b) of the definition of Fixed Asset Sublimit, as amortized and in effect at such time, exceeds the Fixed Asset Sublimit, as amortized and in effect at that time. 

Fixed Asset Sublimit - on any date of determination, an amount equal to the lesser of (a) $50,000,000 and
(b) the sum of (i) 80% of the appraised net orderly liquidation value of Eligible Equipment, plus (ii) 75% of the appraised fair market value of Eligible Real Property. 

Permitted De Minimis Liens - Liens on Obligors’ Property with an aggregate fair market value that is not
greater than $1,000,000, and securing aggregate obligations that are not greater than $1,000,000; provided, however, that such Liens shall not encumber more than $250,000 of Collateral that would otherwise be included in
calculating the Borrowing Base. 
 Pledged Fixed Assets - with respect to each Obligor, (a) all of
such Obligor’s existing and future Equipment, (b) contracts and other documents that evidence the ownership of or that otherwise directly relate to, any such Equipment, (c) all General Intangibles that relate in any way to any such
Equipment, (d) to the extent pledged by such Obligor pursuant to a mortgage, deed of trust or similar documentation in favor of Agent, for the benefit of Secured Parties, the Real Property of such Obligor, and (e) all proceeds and products
of the foregoing. 
 (c) By deleting clause (xv) of the definition of “Eligible Account” set forth in
Section 1.1 of the Loan Agreement, and by substituting in lieu thereof the following new clause (xv): 
 (xv) the
Account is subject to a Lien other than a Permitted Lien (other than a Permitted De Minimis Lien); 
 (d) By deleting clause
(vii) of the definition of “Eligible Inventory” set forth in Section 1.1 of the Loan Agreement, and by substituting in lieu thereof the following new clause (vii): 

(vii) it is at all times subject to Agent’s duly perfected, first priority security interest and no other Lien except, in each case,
a Permitted Lien (other than a Permitted De Minimis Lien); 
 (e) By deleting the reference to “and” at the end of
clause (x) of the definition of “Restricted Investment” in Section 1.1 of the Loan Agreement, by re-designating clause (xi) of such definition as clause (xii), and by adding the following new clause
(xi) to such definition, in proper numerical sequence: 
 (xi) any Permitted Distribution constituting a
Distribution under clause (ii) of the definition thereof, including the purchase of the call option entered into by Parent in connection with its issuance of the Convertible Debentures that entitles Parent to purchase shares of its stock from
BofA at $33.79 per share; and 
 (f) By deleting the reference to “$175,000,000” set forth in
Section 2.2.1 of the Loan 

  
 - 7 -

 
Agreement, and by substituting in lieu thereof a reference to “$225,000,000”. 
 (g) By deleting the second to last sentence of Section 2.2.1 of the Loan Agreement, and by substituting in lieu thereof the following new sentence: 

Upon the addition of any Lender, or the increase in the Commitment of any Lender, Commitments set forth on Schedule I to this
Agreement shall be amended by Agent and the Borrowers to reflect such addition or such increase. 
 (h) By deleting
Section 3.2.2 of the Loan Agreement, and by substituting in lieu thereof the following new Section 3.2.2: 
 3.2.2 Unused Line Fee. Borrowers shall be jointly and severally obligated to pay to Agent for the Pro Rata benefit of Lenders a fee equal to 0.375% per annum of the amount by which the Average
Revolver Loan Balance for any month (or portion thereof that the Commitments are in effect) is less than the Commitments, such fee to be paid monthly, in arrears, on the first day of each month; but if the Commitment Termination Date shall occur on
a day other than the first day of a month, then any such fee payable for the month in which termination shall occur shall be paid on the Commitment Termination Date. 
 (i) By adding the following sentence to the end of clause (iii) of Section 5.2.1 of the Loan Agreement: 
 Without limiting the generality of the foregoing, on the date that the Permitted Term Loan shall be secured by a first priority Lien on the Pledged Fixed Assets, and if an Out-of-Formula Condition shall
exist at the time (or as a result) thereof, Borrowers shall repay the outstanding Revolver Loans to reduce the aggregate unpaid principal amount of all Revolver Loans by an amount equal to such excess in accordance with the terms and provisions set
forth in this clause (iii). 
 (j) By deleting Section 7.1 of the Loan Agreement, and by substituting in lieu
thereof the following new Section 7.1: 
 7.1 Grant of Security Interest. To secure the
prompt payment and performance of all of the Obligations, each Obligor hereby (a) confirms the mortgage, pledge and assignment to Agent, for the benefit of the Secured Parties of the Collateral under (and as defined in) the Existing Loan
Agreement and the other Existing Loan Documents, and the creation in favor of Agent, for the benefit of the Secured Parties, under the Existing Loan Agreement and such other Existing Loan Documents of a continuing Lien in such Collateral, all as
security for the Obligations, in each case solely to the extent such Collateral is subject to the grant set forth in paragraph (b) below and thus continues to constitute Collateral as defined in this Agreement, and (b) grants to Agent, for
the benefit of Secured Parties, a continuing security interest in and Lien upon the following Property and interests in Property of such Obligor, whether now owned or existing or hereafter created, acquired or arising and wheresoever located:

  

	 	(i)	all Inventory; 

  

	 	(ii)	 all contracts, documents of title and other Documents that evidence the ownership of or right to receive or possess, or that

  
 - 8 -

	 	
otherwise directly relate to, any Inventory, including contracts and documents that relate to the acquisition or sale or other disposition of any Inventory; 

 

	 	(iii)	all rights of an unpaid vendor with respect to Inventory; 

  

	 	(iv)	all Accounts and other Receivables (other than Receivables arising from the sale or other disposition of Real Property) and other than receivables related to any
asbestos insurance policies of any Obligor; 

  

	 	(v)	all contracts out of which any Receivable included in the Collateral has arisen and all rights under each such contract; 

 

	 	(vi)	all Deposit Accounts Collateral; 

  

	 	(vii)	all Intercompany Loans, however evidenced and whenever made; 

  

	 	(viii)	all General Intangibles (including Intellectual Property affixed to any Inventory or used in connection with the sale or marketing thereof), Instruments, Chattel Paper
(including Electronic Chattel Paper), Documents, Letter-of-Credit Rights and Supporting Obligations, in each case to the extent arising out of, relating to, given in exchange or settlement for, governing or involving any of the Collateral;

  

	 	(ix)	all cash and Cash Equivalents of any kind, including cash and Cash Equivalents of any kind (a) at any time deposited with or held by Agent or any other agent under
this Agreement or any other Secured Party, or (b) acquired at any time by an Obligor with proceeds of any Collateral or proceeds of Loans or other extensions of credit under this Agreement; 

 

	 	(x)	all Commercial Tort Claims; 

  

	 	(xi)	all rights in or under any business interruption insurance policy, including all rights to payment thereunder; 

 

	 	(xii)	all Pledged Fixed Assets; 

  

	 	(xiii)	all substitutions for and replacements, products and cash and non-cash Proceeds of any of the foregoing items of Collateral, including Proceeds of any insurance
policies, claims against third parties, and condemnation or requisition payments with respect to all or any of the foregoing items of the Collateral; and 

  

	 	(xiv)	 all books and records (including all Receivable Records, records relating to Inventory, and all other books, records, account ledgers, data processing
records and data stored electronically) to the extent evidencing, relating to or referring to any of the 

  
 - 9 -

	 	
foregoing items of Collateral. 

 Agent and each Lender
hereby (x) waive any failure of any Obligor to pledge any intercompany promissory notes under the Existing Loan Documents, and (y) acknowledge and agree that the grant set forth in this Section 7.1 of this Agreement excludes
(1) rights under (but not proceeds of) any contract that contains an enforceable restriction on an Obligor’s right to grant a security interest to Agent, unless and until such Obligor shall have obtained consent from the relevant party or
parties thereto to the grant of the security interest, (2) all Investment Property (including all Equity Interests of any Obligor or any Subsidiary of any Obligor), (3) all Fixed Assets that do not constitute Pledged Fixed Assets, and
(4) all Software and Intellectual Property embedded in Fixed Assets that do not constitute Pledged Fixed Assets. 
 (k) By
deleting the third sentence of Section 10.1.1 of the Loan Agreement, and by substituting in lieu thereof the following new sentence: 
 Agent shall have the right to (but not the obligation to request or obtain) an Orderly Liquidation Value Appraisal if the Aggregate Revolver Outstandings at any time exceed an amount equal to 50% of the
lesser of (i) the Borrowing Base, or (ii) the Commitments. 
 (l) By deleting the reference to “and” at the
end of clause (xiii) of Section 10.2.5 of the Loan Agreement, by re-designating clause (xiv) of Section 10.2.5 of the Loan Agreement as clause (xv), and by adding the following new clause (xiv) to
Section 10.2.5 of the Loan Agreement, in proper numerical sequence: 
  

	 	(xiv)	Permitted De Minimis Liens; and 

(m) By deleting Section 10.3.1 of the Loan Agreement, and by substituting in lieu thereof the following new
Section 10.3.1: 
 10.3.1 Fixed Charge Coverage Ratio. If Availability at any time is
less than an amount equal to the greater of (a) the lesser of 15% of (i) the Borrowing Base or (ii) the amount of the Commitments, or (b) $20,000,000 (which amount, in the event of any increase in the Commitments in accordance
with Section 2.2, shall be increased by an amount equal to 12.0% of the amount of such increase) (such event being a “Covenant Trigger”), Obligors shall be required to maintain a Fixed Charge Coverage Ratio of at least
1.00 to 1.00 as of the immediately preceding fiscal month-end for which financial statements have been (or were required to be) delivered hereunder and as of each subsequent fiscal month end; provided, that (a) a breach of such covenant
when so tested shall not be cured by a subsequent increase of Availability above the limit set forth above, and (b) following a Covenant Trigger, the requirement to comply with the Fixed Charge Coverage Ratio shall no longer apply if Borrowers
have maintained Availability greater than or equal to an amount equal to the greater of (i) the lesser of 15% of (A) the Borrowing Base or (B) the amount of the Commitments, or (ii) $20,000,000 (which amount, in the event of any
increase in the Commitments in accordance with Section 2.2, shall be increased by an amount equal to 12.0% of the amount of such increase) for three (3) consecutive months, after which time the requirement to comply with the Fixed
Charge Coverage Ratio shall not apply unless a subsequent Covenant Trigger occurs. If Obligors fail to deliver financial statements on the due date therefor (without giving effect to any cure periods), such that the Fixed Charge Coverage Ratio
cannot be calculated, the Fixed Charge Coverage Ratio shall be deemed to be less than 1.00 to 1.00 

  
 - 10 -

 
until such time as the required financial statements are actually delivered. 
 (n) By attaching to the Loan Agreement the Schedule I attached to this Amendment. 
 (o) By deleting each Revolver Commitment reference set forth on each Lender’s signature page to the Loan Agreement. 
 (p) By amending Schedule 8.1.1 to the Loan Agreement to reflect that the Real Property located at 6525 Goforth Street, Houston, Texas 77021 is leased (and not owned) by the PSI division of
Corrosion Control Corporation. 
 (q) By deleting Schedule 9.1.4 to the Loan Agreement, and by attaching in lieu thereof
Schedule 9.1.4 to this Amendment. 
 3. Acknowledgement Regarding Appraisal of Additional Pledged Fixed Assets.
Each party hereto acknowledges and agrees that if, as a result of the advance rates with respect to Eligible Equipment and Eligible Real Property set forth in the Fixed Asset Sublimit applied to appraised values of Borrowers’ Pledged Fixed
Assets received by Agent prior to the date of this Amendment, Availability under the Fixed Asset Formula Amount on the date of this Amendment is less than $50,000,000, the parties may agree to close this Amendment and pursue appraisals of additional
Pledged Fixed Assets of Borrowers to increase Availability under the Fixed Asset Formula Amount to $50,000,000 (as the same may be reduced at such time based on the amortization schedule provided in the definition of Fixed Asset Formula Amount) on a
post-closing basis after the date of this Amendment until April 1, 2012. As used in this Section, the terms “Eligible Equipment”, “Eligible Real Property”, “Fixed Asset Formula Amount”,
“Fixed Asset Sublimit”, and “Pledged Fixed Assets” shall have the meanings set forth in the Loan Agreement upon giving effect to the terms of this Amendment. 

4. Acknowledgement Regarding Fixture Filings. Borrowers acknowledge and agree that, on or before November 30, 2011,
Borrowers shall (a) assist Agent in preparing and filing any and all amendments to fixture filings recorded by Agent naming a Borrower as debtor on or before the date hereof, including, without limitation, amendments to modify the legal
descriptions attached to such fixture filings, and (b) use commercially reasonable efforts to deliver to Agent Lien Waivers with respect to leased locations at which any Borrower maintains or stores any Eligible Equipment, in each case, in form
and substance satisfactory to Agent in its Credit Judgment. 
 5. Technetics Daytona Name Change. Borrowers
previously informed Agent and the Lenders that Technetics Daytona changed its name from “Tara Technologies Corporation” (“Tara”) to “Technetics Group Daytona, Inc.”. Technetics Daytona hereby acknowledges and
agrees that it is a “Borrower” under the Loan Agreement and the other Loan Documents, and affirms its Obligations as a Borrower under the Loan Agreement and the other Loan Documents, which Obligations are and shall remain in full force and
effect, both before and after giving effect to the above-described name change. Technetics Daytona hereby further acknowledges and agrees that, prior to giving effect to the above-described name change, Tara granted to Agent, for the benefit of the
Secured Parties, a security interest in and Lien upon all Collateral of Tara to secure the prompt payment and performance of all of the Obligations, and such security interest in and Lien upon all Collateral of Tara continues in the Collateral of
Technetics Daytona after giving effect to the above-described name change with full force and effect and without interruption or release of any kind. 
 6. Grant and Re-Grant of Lien. To secure the prompt payment and performance of all of the Obligations, each Obligor hereby (a) confirms the mortgage, pledge and assignment to
Agent, for the benefit of the Secured Parties of the Collateral under (and as defined in) the Existing Loan Agreement and 

  
 - 11 -

 
the other Existing Loan Documents, and the creation in favor of Agent, for the benefit of the Secured Parties, under the Existing Loan Agreement and such other Existing Loan Documents of a
continuing Lien in such Collateral, all as security for the Obligations, in each case solely to the extent such Collateral is subject to the grant set forth in paragraph (b) below and thus continues to constitute Collateral as defined in the
Loan Agreement, and (b) grants, and re-grants, to Agent, for the benefit of Secured Parties, a continuing security interest in and Lien upon the following Property and interests in Property of such Obligor, whether now owned or existing or
hereafter created, acquired or arising and wheresoever located: 
  

	 	(i)	all Inventory; 

  

	 	(ii)	all contracts, documents of title and other Documents that evidence the ownership of or right to receive or possess, or that otherwise directly relate to, any
Inventory, including contracts and documents that relate to the acquisition or sale or other disposition of any Inventory; 

  

	 	(iii)	all rights of an unpaid vendor with respect to Inventory; 

  

	 	(iv)	all Accounts and other Receivables (other than Receivables arising from the sale or other disposition of Real Property) and other than receivables related to any
asbestos insurance policies of any Obligor; 

  

	 	(v)	all contracts out of which any Receivable included in the Collateral has arisen and all rights under each such contract; 

 

	 	(vi)	all Deposit Accounts Collateral; 

  

	 	(vii)	all Intercompany Loans, however evidenced and whenever made; 

  

	 	(viii)	all General Intangibles (including Intellectual Property affixed to any Inventory or used in connection with the sale or marketing thereof), Instruments, Chattel Paper
(including Electronic Chattel Paper), Documents, Letter-of-Credit Rights and Supporting Obligations, in each case to the extent arising out of, relating to, given in exchange or settlement for, governing or involving any of the Collateral;

  

	 	(ix)	all cash and Cash Equivalents of any kind, including cash and Cash Equivalents of any kind (a) at any time deposited with or held by Agent or any other agent under
the Loan Agreement or any other Secured Party, or (b) acquired at any time by an Obligor with proceeds of any Collateral or proceeds of Loans or other extensions of credit under the Loan Agreement; 

 

	 	(x)	all Commercial Tort Claims; 

  

	 	(xi)	all rights in or under any business interruption insurance policy, including all rights to payment thereunder; 

  
 - 12 -

	 	(xii)	all Pledged Fixed Assets; 

  

	 	(xiii)	all substitutions for and replacements, products and cash and non-cash Proceeds of any of the foregoing items of Collateral, including Proceeds of any insurance
policies, claims against third parties, and condemnation or requisition payments with respect to all or any of the foregoing items of the Collateral; and 

  

	 	(xiv)	all books and records (including all Receivable Records, records relating to Inventory, and all other books, records, account ledgers, data processing records and data
stored electronically) to the extent evidencing, relating to or referring to any of the foregoing items of Collateral. 

 Agent and each Lender hereby (x) waive any failure of any Obligor to pledge any intercompany promissory notes under the Existing Loan Documents, and (y) acknowledge and agree that the grant set
forth in this Section excludes (1) rights under (but not proceeds of) any contract that contains an enforceable restriction on an Obligor’s right to grant a security interest to Agent, unless and until such Obligor shall have obtained
consent from the relevant party or parties thereto to the grant of the security interest, (2) all Investment Property (including all Equity Interests of any Obligor or any Subsidiary of any Obligor), (3) all Fixed Assets that do not
constitute Pledged Fixed Assets, and (4) all Software and Intellectual Property embedded in Fixed Assets that do not constitute Pledged Fixed Assets. 
 7. Ratification and Reaffirmation. Each Borrower hereby ratifies and reaffirms the Obligations, each of the Loan Documents to which it is a party and all of such Borrower’s covenants,
duties, indebtedness and liabilities under the Loan Agreement and the other Loan Documents to which it is a party. 
 8.
Acknowledgments and Stipulations. Each Borrower and Guarantor acknowledges and stipulates that the Loan Agreement and the other Loan Documents executed by such Borrower are legal, valid and binding obligations of such Borrower or
Guarantor that are enforceable against such Borrower or Guarantor in accordance with the terms thereof, except as the enforceability thereof may be limited by bankruptcy, insolvency, reorganization, moratorium or other similar laws of general
application affecting the enforcement of creditors’ rights generally or by general equitable principles; all of the Obligations are owing and payable without defense, offset or counterclaim (and to the extent there exists any such defense,
offset or counterclaim on the date hereof, the same is hereby waived by such Borrower or Guarantor); and the security interests and Liens granted by such Borrower or Guarantor in favor of Agent, for the benefit of itself and the Lenders, are duly
perfected, first priority security interests and Liens (except with respect to those Permitted Liens that are permitted to have priority pursuant to the Loan Documents); provided, that, no representation or warranty is made by any
Obligor as to the perfection of Agent’s Lien in any Pledged Collateral (as defined in any Pledge Agreement) under foreign law. 
 9. Representations and Warranties. Each Borrower and Guarantor represents and warrants to Agent and the Lenders, to induce Agent and the Lenders to enter into this Amendment, that, after
giving effect to the consents, waivers, and amendments set forth in this Amendment, no Event of Default exists on the date hereof, and all of the representations and warranties made by such Borrower or Guarantor in the Loan Agreement are true and
correct on and as of the date hereof (except for those representations which expressly relate to an earlier date); and the execution, delivery and performance of this Amendment have been duly authorized by all requisite corporate action on the part
of such Borrower or Guarantor and this Amendment has been duly executed and delivered by such Borrower or Guarantor. 

  
 - 13 -

 10. Reference to Loan Agreement. Upon the Effective Date, each reference in
the Loan Agreement or any other Loan Document to “this Agreement,” “hereunder,” or words of like import shall mean and be a reference to the Loan Agreement or such other Loan Document, as amended, modified and supplemented by
this Amendment. 
 11. Breach of Amendment. This Amendment shall be part of the Loan Agreement and each of the
other Loan Documents and a breach of any representation, warranty or covenant herein shall constitute an Event of Default. 

12. Conditions Precedent. The effectiveness of the amendments contained in Section 2 of this Amendment is
subject to the satisfaction of each of the following conditions precedent, each in form and substance satisfactory to Agent (and, if expressly indicated below, Lenders), on or before September 28, 2011, unless satisfaction thereof is
specifically waived in writing by Agent: 
  

	 	(a)	Agent shall have received this Amendment, in form and substance satisfactory to Lenders, duly executed and delivered by a Senior Officer of each Obligor and an
authorized officer of each Lender; 

  

	 	(b)	Agent shall have completed its due diligence review of Obligors, including appraisals of Borrowers’ Equipment satisfactory to Lenders (it being acknowledged that
the appraisals of Equipment received in September 2011 by Agent are satisfactory to the Lenders); 

  

	 	(c)	In the opinion of Agent, no material adverse change shall have occurred with respect to Borrowers’ assets, liabilities, business, financial condition, business
prospects, or, taken as a whole, results of operations; 

  

	 	(d)	Agent shall be satisfied with all environmental aspects relating to Borrowers and their business; 

 

	 	(e)	Agent shall have received such historic financial statements, pro forma financial statements, and projections with respect to Borrowers as Agent deems appropriate;

  

	 	(f)	Agent shall have received from each Obligor resolutions, certified by a secretary or Senior Officer of such Obligor, evidencing such Obligor’s authorization to
enter into this Amendment; and 

  

	 	(g)	Borrowers shall have paid all fees and expenses set forth in (i) the Fee Letter dated August 19, 2011, among Borrowers, Agent, and Merrill Lynch, Pierce,
Fenner & Smith Incorporated, and (ii) Section 13 of this Amendment. 

 13.
Expenses of Agent. Borrowers agree to pay, on demand, all costs and expenses incurred by Agent in connection with the preparation, negotiation and execution of this Amendment and any other Loan Documents executed pursuant hereto
and any and all amendments, modifications, and supplements thereto, including, without limitation, the costs and fees of Agent’s legal counsel and any taxes or expenses associated with or incurred in connection with any instrument or agreement
referred to herein or contemplated hereby. 

  
 - 14 -

 14. Governing Law. This Amendment shall be governed by and construed in
accordance with the internal laws of the State of North Carolina. 
 15. Successors and Assigns. This Amendment
shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. 
 16.
No Novation, etc. Except as otherwise expressly provided in this Amendment, nothing herein shall be deemed to amend or modify any provision of the Loan Agreement or any of the other Loan Documents, each of which shall remain in full force
and effect. This Amendment is not intended to be, nor shall it be construed to create, a novation or accord and satisfaction, and the Loan Agreement and the other Loan Documents as herein modified shall continue in full force and effect. 

17. Counterparts; Telecopied Signatures. This Amendment may be executed in any number of counterparts and by different
parties to this Amendment on separate counterparts, each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute one and the same agreement. Any signature delivered by a party by facsimile or electronic
(PDF) transmission shall be deemed to be an original signature hereto. 
 18. Further Assurances. Each Borrower
and Guarantor agrees to take such further actions as Agent shall reasonably request from time to time in connection herewith to evidence or give effect to the amendments set forth herein or any of the transactions contemplated hereby. 

19. Section Titles. Section titles and references used in this Amendment shall be without substantive meaning or content of
any kind whatsoever and are not a part of the agreements among the parties hereto. 
 20. Release of Claims. To induce
Agent and the Lenders to enter into this Amendment, each Borrower and Guarantor hereby releases, acquits and forever discharges Agent and each Lender, and all officers, directors, agents, employees, successors and assigns of Agent and each Lender,
from any and all liabilities, claims, demands, actions or causes of action of any kind or nature (if there be any), whether absolute or contingent, disputed or undisputed, at law or in equity, or known or unknown, that such Borrower or Guarantor now
has or ever had against Agent or any Lender arising under or in connection with any of the Loan Documents. Each Borrower and Guarantor represents and warrants to Agent and each Lender that such Borrower or Guarantor has not transferred or assigned
to any Person any claim that such Borrower or Guarantor ever had or claimed to have against Agent or any Lender. 

21. Waiver of Jury Trial. To the fullest extent permitted by applicable law, the parties hereto each hereby waives the
right to trial by jury in any action, suit, counterclaim or proceeding arising out of or related to this Amendment. 
 [Remainder of page intentionally left blank; Signatures begin on following page.] 

  
 - 15 -

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed under
seal and delivered by their respective duly authorized officers on the date first written above. 
  

					
	BORROWERS:	 	COLTEC INDUSTRIES INC
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	COLTEC INDUSTRIAL PRODUCTS LLC
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	GGB LLC
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	CORROSION CONTROL CORPORATION
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	STEMCO LP
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	STEMCO KAISER INCORPORATED
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

 [Signatures continue on following page.] 
 First Amendment to Second Amended and Restated Loan and Security Agreement 

 
			
	TECHNETICS GROUP LLC 
		
	By:	 	 /s/ Robert S. McLean

	Name:	 	 Robert S. McLean

	Title:	 	 Vice President and Secretary

	
	TECHNETICS GROUP DAYTONA, INC. 
		
	By:	 	 /s/ Robert S. McLean

	Name:	 	 Robert S. McLean

	Title:	 	 Vice President

	
	KENLEE DAYTONA LLC
		
	By:	 	 /s/ Robert S. McLean

	Name:	 	 Robert S. McLean

	Title:	 	 Vice President and Secretary

	
	APPLIED SURFACE TECHNOLOGY, INC. 
		
	By:	 	 /s/ Robert S. McLean

	Name:	 	 Robert S. McLean

	Title:	 	 Vice President and Secretary

	
	BELFAB, INC.
		
	By:	 	 /s/ Robert S. McLean

	Name:	 	 Robert S. McLean

	Title:	 	 Vice President and Secretary

 [Signatures continue on following page.] 
 First Amendment to Second Amended and Restated Loan and Security Agreement 

					
	GUARANTORS:	 	ENPRO INDUSTRIES, INC.
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Vice President and Treasurer

		
		 	COLTEC INTERNATIONAL SERVICES CO.
			
		 	By:	 	 /s/ Robert S. McLean

		 	Name:	 	 Robert S. McLean

		 	Title:	 	 Vice President

		
		 	GGB, INC.
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	STEMCO HOLDINGS, INC.
			
		 	By:	 	 /s/ Robert P. McKinney

		 	Name:	 	 Robert P. McKinney

		 	Title:	 	 Vice President and Secretary

		
		 	COMPRESSOR PRODUCTS HOLDINGS, INC.
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	COMPRESSOR SERVICES HOLDINGS, INC.
			
		 	By:	 	 /s/ Orville Lunking

		 	Name:	 	 Orville G. Lunking

		 	Title:	 	 Treasurer

		
		 	BEST HOLDINGS I, INC.
			
		 	By:	 	 /s/ Robert S. McLean

		 	Name:	 	 Robert S. McLean

		 	Title:	 	 Vice President and Secretary

 [Signatures continue on following page.] 
 First Amendment to Second Amended and Restated Loan and Security Agreement 

					
	ADMINISTRATIVE AGENT:	 	BANK OF AMERICA, N.A., as Agent 
			
		 	By:	 	 /s/ Andrew R. Doherty

		 	Name:	 	 Andrew A. Doherty

		 	Title:	 	 Senior Vice President

		
	LENDERS:	 	BANK OF AMERICA, N.A.
			
		 	By:	 	 /s/ Andrew R. Doherty

		 	Name:	 	 Andrew A. Doherty

		 	Title:	 	 Senior Vice President

 [Signatures continue on following page.] 
 First Amendment to Second Amended and Restated Loan and Security Agreement 

 
			
	WELLS FARGO BANK, NATIONAL ASSOCIATION
		
	By:	 	 /s/ Mark Bradford

	Name:	 	 Mark Bradford

	Title:	 	 Vice President

 [Signatures continue on following page.] 
 First Amendment to Second Amended and Restated Loan and Security Agreement 

 
			
	SUNTRUST BANK
		
	By:	 	 /s/ Nigel Fabien

	Name:	 	 Nigel Fabien

	Title:	 	 Vice President

 [Signatures continue on following page.] 
 First Amendment to Second Amended and Restated Loan and Security Agreement 

 
			
	KEYBANK NATIONAL ASSOCIATION
		
	By:	 	 /s/ Andrew C. Ashley

	Name:	 	 Andrew C. Ashley

	Title:	 	 Assistant Vice President

 

	
	Notice Information:
	
	OH-01-27-1814
	127 Public Square
	Cleveland, Ohio 44114-1306
	Attention: Andrew Ashley
	Facsimile Number: (216) 689-8470

 First Amendment to Second Amended and Restated Loan and Security Agreement 

 Schedule I 

Revolver Commitments 
  

					
	 Lender
	  	Revolver Commitment	 
		
	 Bank of America, N.A.
	  	$	70,000,000	  
		
	 Wells Fargo Bank, National Association
	  	$	45,000,000	  
		
	 SunTrust Bank
	  	$	30,000,000	  
		
	 KeyBank National Association
	  	$	30,000,000	  
		
	 TOTAL:
	  	$	175,000,000	  

 Schedule 9.1.4 

Capital Structure 
 [See attached.] 

 Schedule 9.1.4 
 Capital Structure 
  
  

									
	Name	  	 Jurisdiction of
 Incorporation
	  	Authorized	  	Issued	  	Issued To1
	EnPro Industries, Inc.	  	North Carolina	  	 100,000,000 Common Shares;

50,000,000 Preferred Shares;
 204,150 Series A
Junior Participating Preferred Shares
	  	 20,669,747 Common Shares;
 0
Preferred Shares;
 0 Series A Junior Participating Preferred Shares
	  	 Coltec Industries Inc (235,167 Common Shares)
  

Public (20,434,580 Common Shares)

					
	Allwest Compressor Products ULC	  	Canada	  	1,000 shares	  	650 shares	  	Compressor Products Holdings, Inc.
					
	Alpha Engineering SRL	  	Italy	  	—	  	12,688 EUR issued equity interests (of which EnPro holds 2,288 EUR)	  	EnPro Luxembourg Holding Company S.a.r.l. (18.03%)
					
	The Anchor Packing Company	  	North Carolina	  	3,750 shares	  	1,000 shares	  	Garrison Litigation Management Group, Ltd.
					
	Applied Surface Technology, Inc.	  	California	  	1,000,000	  	1,000,000	  	Technetics Group Daytona, Inc. (f/k/a Tara Technologies Corporation)
					
	Belfab, Inc.	  	Delaware	  	1,000,000	  	100	  	Technetics Group Daytona, Inc. (f/k/a Tara Technologies Corporation)
					
	Best Holdings I, Inc.	  	Delaware	  	 750,000 Preferred
 250,000
Common
	  	 0 Preferred
 91.82
Common
	  	Technetics Group LLC
					
	CAB Compressores Industrie e Comercio Ltda.	  	Brazil	  	774.00 quotas	  	774.00 quotas	  	Compressor Products International Ltda.
					
	Coltec do Brasil Produtos Industrias Ltda.	  	Brazil	  	10,309 quotas	  	10,309 quotas	  	 Coltec Industries Inc -
 9,175
quotas (89%)
  
 Coltec International Services Co. - 1,134 quotas
(11%)

  

	1 	 Unless otherwise noted , all Equity Interests are common or the equivalent and all ownership percentages are 100%. 

 Schedule 9.1.4 
 Capital Structure 
  
  

									
	Name	  	 Jurisdiction of
 Incorporation
	  	Authorized	  	Issued	  	Issued To1
					
	Coltec Finance Company Ltd.	  	United Kingdom	  	100 shares	  	100 shares	  	Coltec Industries Inc
					
	Coltec Industrial Products LLC	  	Delaware	  	1,000 units	  	1,000 units	  	Coltec Industries Inc
					
	Coltec Industries Inc	  	Pennsylvania	  	1,000 shares	  	1,000 shares	  	EnPro Industries, Inc.
					
	Coltec Industries France SAS	  	France	  	60.250.000 francs	  	60.250.000 francs	  	Garlock GmbH
					
	Coltec Industries Pacific Pte. Ltd.	  	Singapore	  	100,000$$	  	100$$	  	Coltec Industries Inc
					
	Coltec International Services Co	  	Delaware	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	Compressor Products Holdings, Inc.	  	Delaware	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	Compressor Products Holdings, Limited	  	United Kingdom	  	10,000 shares	  	10,000 shares	  	Coltec Industries Inc
					
	Compressor Products International Canada, Inc.	  	Canada	  	unlimited	  	11,000,001	  	EnPro Luxembourg Holding Company S.a.r.l.
					
	Compressor Products International GMBH	  	Germany	  	25,000 shares	  	25,000 shares	  	Garlock GmbH
					
	Compressor Products International, Limited	  	United Kingdom	  	 10,000 Preferred Ordinary

109,964 New Ordinary
	  	 10,000 Preferred Ordinary

109,964 New Ordinary
	  	Compressor Products Holdings, Limited
					
	Compressor Products International Ltda.	  	Brazil	  	5,000,000 reals	  	5,000,000 reals	  	 Compressor Products International, Limited (99%)
  

CPI Investments Limited (1%)

					
	Compressor Products International (Shanghai) Co., Ltd.	  	China	  	$1,400,000	  	$950,000	  	EnPro Hong Kong Holdings Company Limited

 Schedule 9.1.4 
 Capital Structure 
  
  

									
	Name	  	 Jurisdiction of
 Incorporation
	  	Authorized	  	Issued	  	Issued To1
	Compressor Sales & Services Co., Ltd	  	Thailand	  	100,000 shares	  	100,000 shares	  	 Coltec Industries Pacific Pte Ltd – 45,000 shares (45.000%)

 
 CPI Asia Co., Ltd – 54,999 shares (54.999%)

 
 Samuel Phillip Dunseath – 1 sharee (0.001%)

					
	Compressor Services Holdings, Inc.	  	Delaware	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	Corrosion Control Corporation	  	Colorado	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	CPI Investments Limited	  	United Kingdom	  	1,000 shares	  	1,000 shares	  	Compressor Products International, Limited
					
	CPI-Liard SAS	  	France	  	€ 3,014,350	  	€ 3,014,350	  	Compressor Products International Ltd.
					
	CPI Pacific Pty Limited	  	Australia	  	1,000 shares	  	1,000 shares	  	Compressor Products International, Limited
					
	EnPro Corporate Management Consulting (Shanghai) Co., Ltd.	  	China	  	$150,000	  	$70,000	  	EnPro Hong Kong Holdings Company Limited
					
	EnPro German Holding GmbH	  	Germany	  	25,000 shares	  	25,000 shares	  	EnPro Luxembourg Holding Company S.a.r.l.
					
	EnPro Hong Kong Holdings Company Limited	  	China	  	HKD 10,000	  	HKD 10,000	  	Coltec Industries Inc
					
	EnPro India Private Limited	  	India	  	10,000 shares	  	10,000 shares	  	Coltec Industries Pacific Pte. Ltd.
					
	EnPro Industries International Trading (Shanghai) Co., Ltd.	  	China	  	$140,000 USD	  	$140,000 USD	  	Coltec Industries Inc

 Schedule 9.1.4 
 Capital Structure 
  
  

									
	Name	  	Jurisdiction of
Incorporation	  	Authorized	  	Issued	  	Issued To1
	EnPro Luxembourg Holding Company S.a.r.l.	  	Luxembourg	  	30,000 shares	  	30,000 shares	  	GGB, Inc.
					
	Franken Plastik GmbH	  	Germany	  	1 share, with a nominal value of DEM 2 million	  	1 share, with a nominal value of DEM 2 million	  	Garlock GmbH
					
	GGB, Inc.	  	Delaware	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	GGB LLC	  	Delaware	  	1,000 units	  	1,000 units	  	Coltec Industries Inc
					
	GGB Austria GmbH	  	Austria	  	13.000.000 EUR	  	13.000.000 EUR	  	GGB, Inc.
					
	GGB Bearing Technology (Suzhou) Co., Ltd.	  	China	  	$6,400,000	  	$6,400,000	  	GGB, Inc.
					
	GGB Brasil Industria de Mancais e Componentes Ltda.	  	Brasil	  	4,315,422 quotas	  	4,315,422 quotas	  	GGB, Inc. (4,315,421 quotas)
		  		  		  		  	 Coltec Industries Inc (1 quota)

					
	GGB France E.U.R.L.	  	France	  	8,000 shares	  	8,000 shares	  	GGB Holdings E.U.R.L.
					
	GGB Heilbronn GmbH	  	Germany	  	25.000,00 EUR	  	25.000,00 Euro	  	EnPro German Holding GmbH
					
	GGB Holdings E.U.R.L.	  	France	  	8.000 EUR	  	8.000 EUR	  	GGB, Inc.
					
	GGB Italy s.r.l	  	Italy	  	10.000 EUR	  	10.000 EUR	  	GGB, Inc.
					
	GGB Kunststoff-Technologie GmbH	  	Germany	  	35.000 EUR	  	35.000 EUR	  	GGB Heilbronn GmbH
					
	GGB Real Estate GmbH	  	Germany	  	25.000 EUR	  	25.000 EUR	  	GGB, Inc.
					
	GGB Slovakia s.r.o	  	Slovakia	  	500,000 SKK	  	500,000 SKK	  	GGB, Inc.

 Schedule 9.1.4 
 Capital Structure 
  

									
	Name	  	Jurisdiction of
Incorporation	  	Authorized	  	Issued	  	Issued To1
	GGB Tristar Suisse S.A.	  	Switzerland	  	250 shares	  	250 shares	  	 GGB, Inc. (246 shares)
 Hans
Hussy (1 share)
 Horst Matzner (1 share)

Jean de Raemy (1 share)
 Bernd Fischer (1
share)

					
	Garlock de Mexico, S.A. de C.V.	  	Mexico	  	156,000 (CF)	  	156,000 (CF)	  	 Garlock Sealing
 Technologies
LLC –155,998 (CF);

					
		  		  	1,995,000 (CV)	  	1,995,000 (CV)	  	1,995,000 (CV)
					
		  		  	 2,151,000 (total

capital fijo and variable)
	  	 2,151,000 (total

capital fijo and variable)
	  	Garlock Overseas Corporation – 2 (CF)
					
	Garlock France SAS	  	France	  	302,500	  	302,500	  	Coltec Industries France SAS
					
	Garlock GmbH	  	Germany	  	150,000 DM	  	150,000 DM	  	EnPro German Holding GmbH
					
	Garlock (Great Britain) Limited	  	United Kingdom	  	40,000 shares	  	15,000 shares	  	Coltec Industries Inc
					
	Garlock International Inc	  	Delaware	  	1,000 shares	  	1,000 shares	  	Garlock Sealing Technologies LLC
					
	Garlock of Canada Ltd.	  	Canada	  	100 shares	  	100 shares	  	Garlock International Inc
					
	Garlock Overseas Corporation	  	Delaware	  	500 Common Shares	  	1 Common Share	  	Garlock Sealing Technologies LLC
		  		  	500 Preferred Shares	  		  	
					
	Garlock Pty Limited	  	Australia	  	500,000 shares	  	300,000 shares	  	Garlock Sealing Technologies LLC
					
	Garlock Sealing Technologies LLC	  	North Carolina	  	100 units	  	100 units	  	Coltec Industries Inc
					
	Garlock Sealing Technologies (Shanghai) Co., Ltd.	  	China	  	1,700,000 shares	  	1,700,000 shares	  	EnPro Hong Kong Holdings Company Limited
					
	Garlock Valqua Japan, Inc.	  	Japan	  	1,600 shares	  	1,600 shares	  	Garlock Sealing Technologies LLC (49%)

 Schedule 9.1.4 
 Capital Structure 
  

									
	Name	  	Jurisdiction of
Incorporation	  	Authorized	  	Issued	  	Issued To1
					
	Garrison Litigation Management Group, Ltd.	  	North Carolina	  	1,500,000 Common Shares	  	1,300,000 Common Shares	  	Coltec Industries Inc
		  		  	300,000 Preferred Shares	  	250,000 Preferred Shares	  	
					
	HTCI, Inc.	  	Michigan	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	Kenlee Daytona LLC	  	Delaware	  	—	  	—	  	Best Holdings I, Inc. (100% Membership Interest)
					
	Link Seal Japan Ltd.	  	Japan	  	800 shares	  	200 shares	  	Coltec Industries Pacific Pte. Ltd. (50 %)
					
	QFM Sales and Services, Inc.	  	Delaware	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	Pipeline Seal & Insulator Co. Limited	  	United Kingdom	  	1,500,000 shares	  	1,500,000 shares	  	Garlock (Great Britain) Limited
					
	Player & Cornish P.E.T. Limited	  	United Kingdom	  	1,000 shares	  	1,000 shares	  	Compressor Products International Limited
					
	PSI Products GmbH	  	Germany	  	100,000 DEM /1 share with a nominal value 51,200 EUR	  	100,000 DEM /1 share with a nominal value 51,200 EUR	  	Franken Plastik GmbH
					
	PSI (SEA) SDN BHD	  	Malaysia	  	1 million ordinary shares	  	600,000 ordinary shares	  	Coltec Industries Pacific Pte. Ltd. (50 %)
					
	Robix Limited	  	United Kingdom	  	100,000 shares	  	100,000 shares	  	Compressor Products International, Limited
					
	Stemco Crewson LLC	  	Texas	  	—	  	—	  	Stemco LP (20%)
					
	STEMCO Kaiser Incorporated	  	Michigan	  	 10,000 Preferred Shares
 2,000
Common Shares
	  	540 Common Shares	  	Coltec Industries Inc

 Schedule 9.1.4 
 Capital Structure 
  

									
	Name	  	Jurisdiction of
Incorporation	  	Authorized	  	Issued	  	Issued To1
					
	Stemco LP	  	Texas	  	Partnership Interest	  	Partnership Interest	  	 Coltec Industries Inc – General Partner (1%)
  

Stemco Holdings, Inc. – Limited Partner (99%)

					
	Stemco Holdings, Inc.	  	Delaware	  	1,000 shares	  	1,000 shares	  	Coltec Industries Inc
					
	 StemPro de Mexico, S. de R.L.
 De C.V.
	  	Mexico	  	3,000 Pesos	  	3,000 Pesos	  	 Coltec Industries Inc (75%)
  

Coltec Internacional Services Co. (25%)

					
	Technetics Group Daytona, Inc. (f/k/a Tara Technologies Corporation)	  	Delaware	  	1,000,000	  	100	  	Best Holdings I, Inc.
					
	Technetics Group LLC	  	North Carolina	  	—  	  	—  	  	Coltec Industries Inc (100% Membership Interest)
					
	Texflo Compressor Services ULC	  	Canada	  	14,000,000 shares	  	1,000 shares	  	Compressor Services Holdings, Inc.
					
	Wide Range Elastomers Limited	  	United Kingdom	  	200 shares	  	200 shares	  	Garlock (Great Britain) Limited

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00194-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00194-of-00352.parquet"}]]