Document:

Exhibit 10.1

 

SUPERIOR INDUSTRIES INTERNATIONAL,
INC.

AMENDED AND RESTATED 2008 EQUITY
INCENTIVE PLAN

(Effective May 17, 2013)

SECTION 1

BACKGROUND AND PURPOSE

1.1           Background
The Plan permits the grant of Nonqualified Stock Options, Incentive Stock Options, Stock Appreciation Rights (SARs), Restricted
Stock, Restricted Stock Units and Performance Awards.

1.2           Purpose
of the Plan The Plan is intended to attract, motivate and retain the following individuals: (a) employees of the Company or
its Affiliates; (b) consultants who provide significant services to the Company or its Affiliates and (c) directors of the Company
or any of its Affiliates who are employees of neither the Company nor any Affiliate. The Plan is also designed to encourage stock
ownership by such individuals, thereby aligning their interests with those of the Company’s shareholder.

SECTION 2

DEFINITIONS

The following words and phrases shall
have the following meanings unless a different meaning is plainly required by the context:

2.1           “1934
Act” means the Securities Exchange Act of 1934, as amended. Reference to a specific section of the Act shall include
such section, any valid rules or regulations promulgated under such section, and any comparable provisions of any future legislation,
rules or regulations amending, supplementing or superseding any such section, rule or regulation.

2.2           “Administrator”
means, collectively, (i) the Board, (ii) a committee of the Board designated in accordance with Section 4.1, or (iii) one or more
Directors or executive officers of the Company designated by the Board to administer the Plan or specific portions thereof as provided
in Section 4.4; provided, however, that Awards to Nonemployee Directors and Awards that are intended to be Qualified Performance-Based
Awards may only be granted by a committee of the Board consisting of two or more Independent Directors.

2.3           “Affiliate”
means any corporation or any other entity (including, but not limited to, Subsidiaries, partnerships and joint ventures) controlling,
controlled by, or under common control with the Company.

2.4           “Applicable
Law” means the legal requirements relating to the administration of Options, SARs, Restricted Stock, Restricted Stock
Units, Performance Awards and similar incentive plans under any applicable laws, including but not limited to federal and state
employment, labor, privacy and securities laws, the Code, and applicable rules and regulations promulgated by any stock exchange
or quotation system upon which the Shares may then be listed or quoted.

2.5           “Award”
means, individually or collectively, a grant under the Plan of Nonqualified Stock Options, Incentive Stock Options, SARs, Restricted
Stock, Restricted Stock Units, and Performance Awards.

2.6           “Award
Agreement” means the written agreement or program document setting forth the terms and provisions applicable to each
Award granted under the Plan, including the Grant Date.

2.7           “Board”
or “Board of Directors” means the Board of Directors of the Company.

2.8           “Change
in Control” means the occurrence of any of the following:

(a)           Any
“person” (as such term is used in Sections 13(d) and 14(d) of the 1934 Act) becomes the “beneficial owner”
(as defined in Rule 13d-3 of the 1934 Act), directly or indirectly, of securities of the Company representing fifty percent (50%)
or more of the total voting power represented by the Company’s then outstanding voting securities;

(b)           The
consummation of the sale or disposition by the Company of all or substantially all of the Company’s assets;

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(c)           The
consummation of a merger or consolidation of the Company with any other corporation, other than a merger or consolidation which
would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining
outstanding or by being converted into voting securities of the surviving entity or its parent) at least fifty percent (50%) of
the total voting power represented by the voting securities of the Company or such surviving entity or its parent outstanding immediately
after such merger or consolidation; or

(d)           Other
events specified by the Administrator in the Participant’s Award Agreement.

2.9           “Code”
means the Internal Revenue Code of 1986, as amended. Reference to a specific section of the Code or regulation thereunder shall
include such section or regulation, any valid regulation promulgated under such section, and any comparable provision of any future
legislation or regulation amending, supplementing or superseding such section or regulation.

2.10          “Committee”
means any committee of the Board designated to administer the Plan in accordance with Section 4.1.

2.11          “Company”
means Superior Industries International, Inc., or any successor thereto.

2.12         “Consultant”
means any consultant, independent contractor or other person who provides significant services (other than capital-raising activities)
to the Company or its Affiliates or any employee or affiliate of any of the foregoing, but who is neither an Employee nor a Director.

2.13         “Continuous
Service” means that a Participant’s employment or service relationship with the Company or any Affiliate is not
interrupted or terminated. Continuous Service shall not be considered interrupted in the following cases: (i) any leave of absence
approved by the Company or (ii) transfers between locations of the Company or between the Company and any Subsidiary or successor.
A leave of absence approved by the Company shall include sick leave, military leave or any other personal leave approved by an
authorized representative of the Company. For purposes of Incentive Stock Options, no leave of absence may exceed ninety (90) days,
unless reemployment upon expiration of such leave is guaranteed by statute or contract. If such reemployment is approved by the
Company but not guaranteed by statute or contract, then such employment will be considered terminated on the ninety-first (91st)
day of such leave and on such date any Incentive Stock Option held by the Participant shall cease to be treated as an Incentive
Stock Option and shall be treated for tax purposes as a Nonqualified Stock Option. In the event a Participant’s status changes
among the positions of Employee, Director and Consultant, the Participant's Continuous Service shall not be considered terminated
solely as a result of any such changes in status. Whether military, government or other service or other leave of absence shall
constitute a termination of Continuous Service shall be determined in each case by the Administrator at its discretion, and any
determination by the Administrator shall be final and conclusive; provided, however, that for purposes of any Award that is subject
to Section 409A of the Code, the determination of a leave of absence must comply with the requirements of a “bona fide leave
of absence” as provided in Treasury Regulations Section 1.409A-1(h).

2.14         “Covered
Employee” means a covered employee as defined in Code Section 162(m)(3).

2.15         “Director”
means any individual who is a member of the Board of Directors of the Company or an Affiliate of the Company.

2.16         “Disability”
means a permanent and total disability within the meaning of Section 22(e)(3) of the Code, provided that in the case of Awards
other than Incentive Stock Options, the Administrator in its discretion may determine whether a permanent and total disability
exists in accordance with uniform and non-discriminatory standards adopted by the Administrator from time to time.

2.17         “Eligible
Participant” means an Employee, Director or Consultant.

2.18         “Employee”
means any individual who is a common-law employee (including a leased employee) of the Company or of an Affiliate.

2.19         “Exercise
Price” means the price at which a Share may be purchased by a Participant pursuant to the exercise of an Option, and
the base price used to determine the amount of cash or number of Shares payable to a Participant upon the exercise of a SAR.

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2.20         “Fair
Market Value” means for a share of Common Stock, as of any date, the closing sales price for such stock on the
Grant Date of the Award, provided the Common Stock is listed on an established stock exchange or a national market system, including
without limitation the New York Stock Exchange (“NYSE”). If no sales were reported on such Grant Date of the Award,
the Fair Market Value of a share of Common Stock shall be the closing price for such stock as quoted on the NYSE (or the exchange
with the greatest volume of trading in the Common Stock) on the last market trading day with reported sales prior to the date of
determination. In the case where the Company is not listed on an established stock exchange or national market system, Fair Market
Value shall be determined by the Board in good faith in accordance with Code Section 409A and the applicable Treasury regulations.

2.21         “Fiscal
Year” means a fiscal year of the Company.

2.22         “Full-Value
Award” means an Award other than in the form of an Option or SAR, and which is settled by the issuance of Shares (or
at the discretion of the Administrator, settled in cash valued by reference to Share value).

2.23         “Full-Value
Award Limitation” means the limit on Full-Value Awards specified in Section 5.4.

2.24         “Grant
Date” means the first date on which all necessary corporate action has been taken to approve the grant of the Award as
provided in the Plan, or such later date as is determined and specified as part of that authorization process. Notice of the grant
shall be provided to the grantee within a reasonable time after the Grant Date.

2.25         “Incentive
Stock Option” means an Option to purchase Shares, which is designated as an Incentive Stock Option and is intended to
meet the requirements of Section 422 of the Code.

2.26         “Independent
Director” means a Nonemployee Director who is (i) a “nonemployee director” within the meaning of Rule 16b-3
of the 1934 Act, (ii) “independent” as determined under the applicable rules of the NYSE, and (iii) an “outside
director” under Treasury Regulation Section 1.162-27(e)(3), as any of these definitions may be modified or supplemented from
time to time.

2.27         “Individual
Objectives” means as to a Participant, the objective and measurable goals set by a “management by objectives”
process and approved by the Administrator in its discretion.

2.28         “Misconduct”
shall include commission of any act in competition with any activity of the Company (or any Affiliate) or any act contrary or harmful
to the interests of the Company (or any Affiliate) and shall include, without limitation: (a) conviction of a felony or crime involving
moral turpitude or dishonesty, (b) violation of Company (or any Affiliate) policies, with or acting against the interests of the
Company (or any Affiliate), including employing or recruiting any present, former or future employee of the Company (or any Affiliate),
(c) misuse of any confidential, secret, privileged or non-public information relating to the Company’s (or any Affiliate’s)
business, or (e) participating in a hostile takeover attempt of the Company or an Affiliate. The foregoing definition shall not
be deemed to be inclusive of all acts or omissions that the Company (or any Affiliate) may consider as Misconduct for purposes
of the Plan.

2.29         “Nonemployee
Director” means a Director who is not employed by the Company or an Affiliate.

2.30         “Nonqualified
Stock Option” means an option to purchase Shares that is not intended to be an Incentive Stock Option.

2.31         “NYSE”
means the New York Stock Exchange.

2.32         “Option”
means an Incentive Stock Option or a Nonqualified Stock Option.

2.33         “Participant”
means an Employee, Consultant or Nonemployee Director who has an outstanding Award.

2.34         “Performance
Award” means an Award granted to a Participant pursuant to Section 10 of the Plan, the vesting of which is contingent
on the satisfaction of specified performance conditions.

2.35         “Period
of Restriction” means the period during which the transfer of Shares of Restricted Stock are subject to restrictions
that subject the Shares to a substantial risk of forfeiture.

2.36         “Plan”
means this Superior Industries International, Inc. Amended and Restated 2008 Equity Incentive Plan, as set forth in this instrument
and as hereafter amended from time to time.

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2.37          “Qualified
Performance-Based Award” means an Award that is either (i) intended to qualify for the Section 162(m) Exemption and is
made subject to performance goals based on Qualified Business Criteria as set forth in Section 11.2, or (ii) an Option or SAR having
an exercise price equal to or greater than the Fair Market Value of the underlying Shares as of the Grant Date.

2.38         “Qualified
Business Criteria” means one or more of the Business Criteria listed in Section 11.2 upon which performance goals for
certain Qualified Performance-Based Awards may be established by the Administrator.

2.39         “Restricted
Stock” means an Award granted to a Participant pursuant to Section 9. An Award of Restricted Stock constitutes a transfer
of ownership of Shares to a Participant from the Company subject to restrictions against transferability, assignment, and hypothecation.
Under the terms of the Award, the restrictions against transferability are removed when the Participant has met the specified vesting
requirement.

2.40         “Restricted
Stock Unit” means an Award granted to a Participant pursuant to Section 9. An Award of Restricted Stock Units constitutes
the right to receive Shares (or the equivalent value in cash or other property if the Administrator so provides) in the future,
which right is subject to certain restrictions and to risk of forfeiture.

2.41         “Retirement”
shall mean satisfactory completion of the Company’s guidelines for retirement as specified by the Company’s retirement
policy.

2.42         “SEC”
means the U.S. Securities and Exchange Commission.

2.43         “Section
162(m) Exemption” means the exemption from the limitation on deductibility imposed by Section 162(m) of the Code that
is set forth in Section 162(m)(4)(C) of the Code or any successor provision thereto.

2.44         “Section
16 Person” means a person who, with respect to the Shares, is subject to Section 16 of the 1934 Act.

2.45         “Shares”
means shares of common stock of the Company.

2.46         “Stock
Appreciation Right” or “SAR” means an Award granted to a Participant pursuant to Section 8. Upon exercise,
a SAR gives a Participant a right to receive a payment in cash, or the equivalent value in Shares, equal to the difference between
the Fair Market Value of the Shares on the exercise date and the Exercise Price. Both the number of SARs and the Exercise Price
are determined on the Grant Date. For example, assume a Participant is granted 100 SARs at an Exercise Price of $10 and the award
agreement specifies that the SARs will be settled in Shares. Also assume that the SARs are exercised when the underlying Shares
have a Fair Market Value of $20 per Share. Upon exercise of the SAR, the Participant is entitled to receive 50 Shares [(($20-$10)x100)/$20].

2.47         “Subsidiary”
means any corporation in an unbroken chain of corporations beginning with the Company if each of the corporations other than the
last corporation in the unbroken chain then owns stock possessing fifty percent (50%) or more of the total combined voting power
of all classes of stock in one of the other corporations in such chain.

SECTION 3

EFFECTIVE DATE AND TERM

3.1           Effective
Date. The Superior Industries International, Inc. 2008 Equity Incentive Plan was originally approved by the Company’s
shareholders at the 2008 Annual Meeting of shareholders and became effective on May 30, 2008. Subject to the approval by the Company’s
shareholders at the 2013 Annual Meeting, this Amended and Restated 2008 Equity Incentive Plan, the Plan will become effective on
the date that it is adopted by the shareholders (the “2013 Effective Date”).

3.2           Term.
Unless earlier terminated as provided herein, the Plan shall continue in effect until May 30, 2018. The termination of the Plan
on such date shall not affect the validity of any Award outstanding on the date of termination, which shall continue to be governed
by the applicable terms and conditions of the Plan.

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SECTION 4

ADMINISTRATION

4.1           The
Administrator. The Plan shall be administered by a Committee of the Board appointed by the Board (which Committee shall consist
of at least two Directors) or, at the discretion of the Board from time to time, the Plan may be administered by the Board. It
is intended that at least two of the Directors appointed to serve on the Committee shall be Independent Directors and that any
such members of the Committee who do not so qualify shall abstain from participating in any decision to make or administer Awards
that are made to Eligible Participants who at the time of consideration for such Award (i) are Section 16 Persons, or (ii) are
reasonably anticipated to become Covered Employees during the term of the Award. However, the mere fact that a Committee member
shall fail to qualify as an Independent Director or shall fail to abstain from such action shall not invalidate any Award made
by the Committee which Award is otherwise validly made under the Plan. The members of the Committee shall be appointed by, and
may be changed at any time and from time to time in the discretion of, the Board. Unless and until changed by the Board, the Compensation
and Benefits Committee of the Board is designated as the Administrator to administer the Plan. The Board may reserve to itself
any or all of the authority and responsibility of the Committee under the Plan or may act as administrator of the Plan for any
and all purposes. Notwithstanding any of the foregoing, grants of Awards to Nonemployee Directors under the Plan shall be subject
to the applicable award limit set forth in Section 5.4 hereof

4.2           Action
and Interpretation by the Administrator. For purposes of administering the Plan, the Administrator may from time to time adopt
rules, regulations, guidelines and procedures for carrying out the provisions and purposes of the Plan and make such other determinations,
not inconsistent with the Plan, as the Administrator may deem appropriate. The Administrator may correct any defect, supply any
omission or reconcile any inconsistency in the Plan or in any Award in the manner and to the extent it deems necessary to carry
out the intent of the Plan. The Administrator’s interpretation of the Plan, any Awards granted under the Plan, any Award
Agreement and all decisions and determinations by the Administrator with respect to the Plan are final, binding, and conclusive
on all persons and shall be given the maximum deference permitted by Applicable Law. Each member of the Administrator is entitled
to, in good faith, rely or act upon any report or other information furnished to that member by any officer or other employee of
the Company or any Affiliate, the Company’s or an Affiliate’s independent certified public accountants, Company counsel
or any executive compensation consultant or other professional retained by the Company to assist in the administration of the Plan.
No member of the Administrator will be liable for any good faith determination, act or omission in connection with the Plan or
any Award.

4.3           Authority
of the Administrator. It shall be the duty of the Administrator to administer the Plan in accordance with the Plan’s
provisions and in accordance with Applicable Law. The Administrator shall have all powers and discretion necessary or appropriate
to administer the Plan and to control its operation, including, but not limited to, the power to: (a) determine which Employees,
Consultants and Directors shall be granted Awards; (b) determine the terms and conditions of the Awards, (c) interpret the Plan,
(d) adopt rules for the administration, interpretation and application of the Plan as are consistent therewith, (e) interpret,
amend or revoke any such rules, and (f) adopt such modifications, procedures, and subplans as may be necessary or desirable to
comply with provisions of the laws of the United States or any non-U.S. jurisdictions in which the Company or any Affiliate may
operate, in order to assure the viability of the benefits of Awards granted to participants located in the United States or such
other jurisdictions and to further the objectives of the Plan.

4.4           Delegation.
The Board may, by resolution, expressly delegate to a special committee, consisting of one or more Board members who may but need
not be officers of the Company, the authority, within specified parameters as to the number and terms of Awards, to (i) designate
Eligible Participants to be recipients of Awards under the Plan, and (ii) to determine the number of such Awards to be received
by any such Participants; provided, however, that such delegation of duties and responsibilities to an officer of the Company may
not be made with respect to the grant of Awards to Eligible Participants (a) who are Nonemployee Directors, (b) who are Section
16 Persons at the Grant Date, or (c) who as of the Grant Date are reasonably anticipated to be become Covered Employees during
the term of the Award. The acts of such delegates shall be treated hereunder as acts of the Board and such delegates shall report
regularly to the Board and the Compensation and Benefits Committee regarding the delegated duties and responsibilities and any
Awards so granted. The administrator may also delegate nondiscretionary administrative duties to other parties as it deems appropriate.

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SECTION 5

SHARES SUBJECT TO THE PLAN

5.1           Number
of Shares. Subject to adjustment, as provided in Section 5.3, the total number of Shares available for grant under the Plan
shall be three million five hundred thousand (3,500,000) Shares, including Shares issued with respect to Awards granted since May
30, 2008. Shares granted under the Plan may be authorized but unissued Shares or reacquired Shares bought on the market or otherwise.

5.2           Share
Counting. Shares covered by an Award shall be subtracted from the Plan share reserve as of the Grant Date, but shall be added
back to the Plan share reserve in accordance with this Section 5.2:

a.           To
the extent that an Award is canceled, terminates, expires, is forfeited or lapses for any reason, any unissued or forfeited Shares
originally subject to the Award will be added back to the Plan share reserve and again be available for issuance pursuant to Awards
granted under the Plan.

b.           Shares
subject to Awards settled in cash will be added back to the Plan share reserve and again be available for issuance pursuant to
Awards granted under the Plan.

c.           The
following Shares may not again be made available for issuance as Awards under the Plan: (i) Shares not issued or delivered as a
result of the net settlement of an outstanding Option or SAR, (ii) Shares used to pay the Exercise Price or withholding taxes related
to an outstanding Option or SAR, (iii) Shares repurchased on the open market with the proceeds of the exercise price of an Option
or (iv) Shares surrendered or withheld to cover taxes due upon the vesting of an Award.

d.           To
the extent that the full number of Shares subject to an Award other than an Option or SAR is not issued for any reason, including
by reason of failure to achieve maximum performance goals, the unissued Shares originally subject to the Award will be added back
to the Plan share reserve and again be available for issuance pursuant to Awards granted under the Plan.

e.           Substitute
Awards granted pursuant to Section 5.6 of the Plan shall not count against the Shares otherwise available for issuance under the
Plan under Section 5.1.

f.           Subject
to applicable stock exchange requirements, shares available under a shareholder-approved plan of a company acquired by the Company
(as appropriately adjusted to Shares to reflect the transaction) may be issued under the Plan pursuant to Awards granted to individuals
who were not employees of the Company or its Affiliates immediately before such transaction and will not count against the maximum
share limitation specified in Section 5.1.

5.3           Adjustments
in Awards and Authorized Shares. The number and kind of shares authorized for grant under the Plan in Section 5.1, the Award
limits in Section 5.4, the number and kind of shares covered by each outstanding Award, and the per share exercise price of each
such Option or SAR, shall be proportionately adjusted for any increase or decrease in the number of issued Shares of common stock
resulting from a stock split, reverse stock split, recapitalization, combination, reclassification, spin-off, stock dividend on
the common stock, or any other increase or decrease in the number of such Shares of common stock effected without receipt of consideration
by the Company; provided, however, that conversion of any convertible securities of the Company shall not be deemed to have been
“effected without receipt of consideration.” The Board shall make such adjustments to the Plan and Awards as it deems
necessary, in its sole discretion, to prevent dilution or enlargement of rights immediately resulting from such transaction, and
the decisions of the Board in that respect shall be final, binding and conclusive. Except as expressly provided herein, no issue
by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall affect, and
no adjustment by reason thereof shall be made with respect to, the number or price of Shares of common stock subject to an Option.
Notwithstanding any anti-dilution provision in the Plan, the Administrator shall not make any adjustments to outstanding Options
or SARs that would constitute a modification or substitution of the stock right under Treasury Regulations Sections 1.409A-1(b)(5)(v)
that would be treated as the grant of a new stock right or change in the form of payment for purposes of Code Section 409A.

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5.4           Limitations
on Awards. Notwithstanding any provision in the Plan to the contrary (but subject to adjustment as provided in Section 5.3):

a.           Incentive
Stock Options Limitation. No more than 3,000,000 Shares may be granted over the life of the Plan in the form of Incentive Stock
Options.

b.           Full-Value
Award Limitation. No more than 600,000 Shares may be issued over the life of the Plan in the form of Full Value Awards that
are settled in Shares. To the extent that the full number of Shares subject to a Full Value Award is not issued for any reason,
including by reason of failure to achieve maximum performance goals, the unissued Shares originally subject to the Award will not
count against the Full-Value Award Limitation. Cash-settled Full Value Awards shall not count against this Full-Value Award Limitation.

c.           Options
or SARs. The maximum aggregate number of Shares subject to Options or SARs granted under the Plan in any 12-month period to
any one Participant shall be 200,000.

d.           Restricted
Stock or Restricted Stock Units. The maximum aggregate number of Shares underlying Awards of Restricted Stock or Restricted
Stock Units (whether or not performance-based Awards) granted under the Plan in any 12-month period to any one Participant shall
be 100,000.

e.           Awards
to Nonemployee Directors. The maximum aggregate number of Shares associated with any Award granted under the Plan in any 12-month
period to any one Nonemployee Director shall be 10,000 Shares.

5.5           Minimum
Vesting Requirements. Except in the case of substitute Awards granted pursuant to Section 5.5 and to the following sentence,
Awards that vest solely on the Continuous Service of the Participant shall be subject to a minimum vesting period of three years
(which may include graduated vesting within such three-year period), and Award that have performance-based vesting criteria shall
be subject to a minimum vesting period of one year. Notwithstanding the foregoing, (i) the Administrator may permit acceleration
of vesting of an Award in the event of the Participant’s death, Disability, or Retirement, or the occurrence of a Change
in Control (subject to the requirements of Section 11 in the case of Qualified Performance-Based Awards), and (ii) the Administrator
may grant Awards covering 10% or fewer of the total number of Shares authorized under the Plan without respect to the above-described
minimum vesting requirements.

5.6           Substitute
Awards. In the event that the Company or an Affiliate consummates a transaction described in Section 424(a) of the Code (e.g.,
the acquisition of property or stock from an unrelated corporation), persons who become Employees, Directors or Consultants on
account of such transaction may be granted Awards in substitution for awards granted by their former employer, and any such substitute
such Options or SARs may be granted with an Exercise Price less than the Fair Market Value of a Share on the Grant Date; provided,
however, the grant of such substitute Option or SAR shall not constitute a “modification” as defined in Code Section
424(h)(3) and the applicable Treasury regulations.

SECTION 6

ELIGIBILITY

6.1           General.
Awards may be granted only to Eligible Participants. Incentive Stock Options may be granted only to Eligible Participants who are
employees of the Company or a Subsidiary as defined in Section 424(e) and (f) of the Code. Eligible Participants who are service
providers to an Affiliate may be granted Options or SARs under this Plan only if the Affiliate qualifies as an “eligible
issuer of service recipient stock” within the meaning of Treasury Regulations §1.409A-1(b)(5)(iii)(E).

SECTION 7

STOCK OPTIONS

7.1           Grant
of Options. Subject to the terms and provisions of the Plan, Options may be granted at any time and from time to time as determined
by the Administrator in its discretion. The Administrator may grant Incentive Stock Options, Nonqualified Stock Options, or a combination
thereof, and the Administrator, in its discretion and subject to Section 5.4, shall determine the number of Shares subject to each
Option. If the Award does not specifically state whether the Options are Incentive Stock Options or Nonqualified Stock Options,
the Award shall be treated as if the Administrator determined that the Award shall be Incentive Stock Options to the maximum extent
permitted by Applicable Law. Unless otherwise determined by the Administrator, all options shall vest at a rate of 25% per year
over the four year period beginning on the date of the grant.

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7.2           Award
Agreement. Each Option shall be evidenced by an Award Agreement that shall specify the Exercise Price, the expiration date
of the Option, the number of Shares to which the Option pertains, any conditions to exercise the Option, and such other terms and
conditions as the Administrator, in its discretion, shall determine. The Award Agreement shall also specify whether the Option
is intended to be an Incentive Stock Option or a Nonqualified Stock Option.

7.3           Exercise
Price. The Administrator shall determine the Exercise Price for each Option subject to the provisions of this Section 7.3.
Other than an Option issued as a substitute Award pursuant to Section 5.6, the per Share exercise price of an Option shall not
be less than one hundred percent (100%) of the Fair Market Value of a Share on the Grant Date.

7.4           Incentive
Stock Options. The grant of Incentive Stock Options shall be subject to all of the requirements of Code Section 422, including
the following limitations:

(a)           The
Exercise Price of an Incentive Stock Option shall be not less than one hundred percent (100%) of the Fair Market Value of a Share
on the Grant Date; provided, however, that if on the Grant Date, the Employee (together with persons whose stock ownership is attributed
to the Employee pursuant to Section 424(d) of the Code) owns stock possessing more than 10% of the total combined voting power
of all classes of stock of the Company or any of its Subsidiaries, the Exercise Price shall be not less than one hundred and ten
percent (110%) of the Fair Market Value of a Share on the Grant Date;

(b)           Incentive
Stock Options may be granted only to persons who are, as of the Grant Date, Employees of the Company or a Subsidiary, and may not
be granted to Consultants or Nonemployee Directors.

(c)           To
the extent that the aggregate Fair Market Value of the Shares with respect to which Incentive Stock Options are exercisable for
the first time by the Participant during any calendar year (under all plans of the Company and any parent or Subsidiary) exceeds
$100,000, such Options shall be treated as Nonqualified Stock Options. For purposes of this Section 7.4(c), Incentive Stock Options
shall be taken into account in the order in which they were granted. The Fair Market Value of the Shares shall be determined as
of the time the Option with respect to such Shares is granted; and

(d)           In
the event of a Participant's change of status from Employee to Consultant or Director, an Incentive Stock Option held by the Participant
shall cease to be treated as an Incentive Stock Option and shall be treated for tax purposes as a Nonqualified Stock Option three
(3) months and one (1) day following such change of status.

7.5           Expiration
of Options

7.5.1           Expiration
Dates. Unless otherwise specified in the Award Agreement, but in any event no later than ten (10) years from the Grant Date,
each Option shall terminate no later than the first to occur of the following events:

(a)           Date
in Award Agreement. The date for termination of the Option set forth in the written Award Agreement;

(b)           Termination
of Service. The thirtieth (30th) day following the date the Participant’s Continuous Service terminates (other
than for a reason described in subsections (c), (d), (e), or (f) below);

(c)           Misconduct.
In the event a Participant’s Continuous Service terminates because the Participant has performed an act of Misconduct as
determined by the Administrator, all unexercised Options held by such Participant shall expire immediately following written notice
from the Company to the Participant;

(d)           Disability.
In the event that a Participant's Continuous Service terminates as a result of the Participant's Disability, the Participant may
exercise his or her Option at any time within twelve (12) months following the date of such termination, but only to the extent
that the Participant was entitled to exercise it at the date of such termination (but in no event later than the expiration of
the term of the Option as set forth in the Award Agreement). If, at the date of termination, the Participant is not entitled to
exercise his or her entire Option, the Shares covered by the unexercisable portion of the Option shall revert to the Plan. If,
after termination, the Participant does not exercise his or her Option within the time specified herein, the Option shall terminate,
and the Shares covered by such Option shall revert to the Plan;

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(e)           Death.
In the event of the death of a Participant, the Participant’s Option may be exercised at any time within twelve (12) months
following the date of death (but in no event later than the expiration of the term of such Option as set forth in the Award Agreement),
by the Participant's estate or by a person who acquired the right to exercise the Option by bequest or inheritance, but only to
the extent that the Participant was entitled to exercise the Option at the date of death. If, at the time of death, the Participant
was not entitled to exercise his or her entire Option, the Shares covered by the unexercisable portion of the Option shall immediately
revert to the Plan. If, after death, the Participant's estate or a person who acquired the right to exercise the Option by bequest
or inheritance does not exercise the Option within the time specified herein, the Option shall terminate, and the Shares covered
by such Option shall revert to the Plan; or

(f)           Ten
Years from Grant. An Option shall expire no more than ten (10) years after the Grant Date; provided, however, that if an Incentive
Stock Option is granted to an Employee who, together with persons whose stock ownership is attributed to the Employee pursuant
to Section 424(d) of the Code, owns stock possessing more than 10% of the total combined voting power of all classes of the stock
of the Company or any of its Subsidiaries, such Incentive Stock Option may not be exercised after the expiration of five (5) years
from the Grant Date.

7.5.2           Administrator
Discretion. Notwithstanding the foregoing, the Administrator may, after an Option is granted, extend the exercise period that
an Option is exercisable following termination of a Participant’s Continuous Service (subject to limitations applicable to
Incentive Stock Options); provided, however that such extension does not exceed the maximum term of the Option.

7.6           Exercise
of Options. Options granted under the Plan shall be exercisable at such times and be subject to such restrictions as set forth
in the Award Agreement and conditions as the Administrator shall determine in its discretion. However, an Option that becomes exercisable
based solely on the Participant’s Continuous Service must require no less than a three (3) year ratable-vesting period for
such Option to become exercisable in full. After an Option is granted, in no event may the Administrator accelerate the time upon
when the Option is exercisable except in the case of the Participant’s death, Disability, Retirement or a Change in Control
of the Company.

7.7           Exercise
and Payment. Options shall be exercised by the Participant’s delivery of a written notice of exercise to the Secretary
of the Company (or its designee), setting forth the number of Shares with respect to which the Option is to be exercised, accompanied
by full payment for the Shares.

7.7.1           Form
of Consideration. Upon the exercise of any Option, the Exercise Price shall be payable to the Company in full. The Administrator
shall determine the methods by which the exercise price of an Option may be paid, the form of payment, and the methods by which
Shares shall be delivered or deemed to be delivered to Participants. Unless otherwise determined by the Administrator at or after
the Grant Date, payment of the exercise price of an Option may be made in, in whole or in part, in the form of (i) cash or cash
equivalents, (ii) delivery (by either actual delivery or attestation) of previously-acquired Shares based on the Fair Market Value
of the Shares on the date the Option is exercised, (iii) withholding of Shares from the Option based on the Fair Market Value of
the Shares on the date the Option is exercised, (iv) broker-assisted market sales, or (v) by any other means that the Administrator,
in its discretion, determines to provide legal consideration for the Shares and to be consistent with the purposes of the Plan.

7.7.2           Delivery
of Shares. As soon as practicable after receipt of a written notification of exercise and full payment for the Shares purchased,
the Company shall deliver Shares to the Participant (or the Participant’s designated broker), which may be in book entry
form or certificated form.

7.8           No
“Re-Pricing” Without Shareholder Approval. Except as otherwise provided in Section 5.3, without the prior approval
of shareholders of the Company: (i) the Exercise Price of an Option may not be reduced, directly or indirectly, (ii) an Option
may not be cancelled in exchange for cash, other Awards, or Options or SARs with an Exercise Price that is less than the Exercise
Price of the original Option, or otherwise, and (iii) the Company may not repurchase an Option for value (in cash or otherwise)
from a Participant if the current Fair Market Value of the Shares underlying the Option is lower than the Exercise Price per share
of the Option.

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7.9           No
Deferral Feature. No Option shall provide for any feature for the deferral of compensation other than the deferral of recognition
of income until the exercise or disposition of the Option.

7.10         No
Dividend Equivalents. No Option shall provide for dividend equivalents.

SECTION 8

STOCK APPRECIATION RIGHTS

8.1           Grant
of SARs. Subject to the terms and provisions of the Plan, SARs may be granted at any time and from time to time as determined
by the Administrator in its discretion.

8.1.1           Number
of Shares. The Administrator shall have complete discretion to determine the number of SARs granted to any Participant; subject
to Section 5.4.

8.1.2           Exercise
Price and Other Terms. The Administrator, subject to the provisions of the Plan, shall have discretion to determine the terms
and conditions of SARs granted under the Plan, including whether upon exercise the SARs will be settled in Shares or cash. However,
other than a SAR issued as a substitute Award pursuant to Section 5.6, the Exercise Price of a SAR shall be no less than one hundred
percent (100%) of the Fair Market Value of a Share on the Grant Date.

8.2           Exercise
of SARs. SARs granted under the Plan shall be exercisable at such times and be subject to such restrictions as set forth in
the Award Agreement and conditions as the Administrator shall determine in its discretion. However, a SAR that becomes exercisable
based solely on the Participant’s Continuous Service must require no less than a three (3) year ratable-vesting period for
such SAR to become exercisable in full. After a SAR is granted, in no event may the Administrator accelerate the time upon when
the SAR is exercisable except in the case of the Participant’s death, Disability, Retirement or a Change in Control of the
Company.

8.3           SAR
Agreement. Each SAR grant shall be evidenced by an Award Agreement that shall specify the Exercise Price, the term of the SAR,
the conditions of exercise and such other terms and conditions as the Administrator shall determine.

8.4           Expiration
of SARs. A SAR granted under the Plan shall expire upon the date determined by the Administrator in its discretion as set forth
in the Award Agreement, or otherwise pursuant to the provisions relating to the expiration of Options as set forth in Section 7.5.

8.5           Payment
of SAR Amount. Upon exercise of a SAR, a Participant shall be entitled to receive from the Company either (whichever is specified
in the Award Agreement) (a) a cash payment in an amount equal to (x) the difference between the Fair Market Value of a Share on
the date of exercise and the SAR Exercise Price, multiplied by (y) the number of Shares with respect to which the SAR is exercised,
or (b) a number of Shares determined by dividing such cash amount by the Fair Market Value of a Share on the exercise date. If
the Administrator designates in the Award Agreement that the SAR will be settled in cash, upon Participant’s exercise of
the SAR the Company shall make a cash payment to Participant as soon as reasonably practical.

8.6           No
“Re-Pricing” Without Shareholder Approval. Except as otherwise provided in Section 5.3, without the prior approval
of shareholders of the Company: (i) the Exercise Price of a SAR may not be reduced, directly or indirectly, (ii) a SAR may not
be cancelled in exchange for cash, other Awards, or Options or SARs with an Exercise Price that is less than the Exercise Price
of the original SAR, or otherwise, and (iii) the Company may not repurchase a SAR for value (in cash or otherwise) from a Participant
if the current Fair Market Value of the Shares underlying the SAR is lower than the Exercise Price per share of the SAR.

8.7           No
Deferral Feature. No SAR shall provide for any feature for the deferral of compensation other than the deferral of recognition
of income until the exercise or disposition of the SAR.

8.8           No
Dividend Equivalents. No SAR shall provide for dividend equivalents.

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SECTION 9

RESTRICTED STOCK OR RESTRICTED STOCK UNITS

9.1           Grant
of Restricted Stock. Subject to the terms and provisions of the Plan, the Administrator, at any time and from time to time,
may grant Shares of Restricted Stock or Restricted Stock Units to Eligible Participants in such amounts as the Administrator, in
its discretion, shall determine, subject to the Full-Value Award Limitation in Section 5.4.

9.2           Award
Agreement. An Award of Restricted Stock or Restricted Stock Units shall be evidenced by an Award Agreement setting forth the
terms, conditions, and restrictions applicable to the Award, as the Administrator, in its discretion, shall determine. Unless the
Administrator determines otherwise, Shares of Restricted Stock shall be held by the Company as escrow agent until the restrictions
on such Shares have lapsed.

9.3           Transferability.
Except as provided in this Section 9, Shares of Restricted Stock or Awards of Restricted Stock Units may not be sold, transferred,
pledged, assigned, or otherwise alienated or hypothecated until expiration of the applicable Period of Restriction.

9.4           Other
Restrictions. Restricted Stock and Restricted Stock Units shall be subject to such other restrictions as the Administrator
may impose. These restrictions may lapse separately or in combination at such times, under such circumstances, in such installments,
upon the satisfaction of performance goals or otherwise, as the Administrator determines at the time of the grant of the Award
or thereafter, subject to Section 5.5.

9.5           Legend
on Certificates. The Administrator, in its discretion, may place a legend or legends on the certificates representing Restricted
Stock to give appropriate notice of such restrictions.

9.6           Removal
of Restrictions. Except as otherwise provided in this Section 9, Shares of Restricted Stock covered by each Restricted Stock
grant made under the Plan shall be released from escrow as soon as practicable after expiration of the Period of Restriction. After
the restrictions have lapsed, the Participant shall be entitled to have any legend or legends under Section 9.5 removed from his
or her Share certificate, and the Shares shall be freely transferable by the Participant, subject to Applicable Law.

9.7           Voting
Rights. During the Period of Restriction, Participants holding Shares of Restricted Stock granted hereunder may exercise full
voting rights with respect to those Shares, unless otherwise provided in the Award Agreement. Except as otherwise provided in an
Award Agreement, a Participant shall have none of the rights of a shareholder with respect to Restricted Stock Units until such
time as Shares are paid in settlement of such Awards.

9.8           Dividends
and Other Distributions. During the Period of Restriction, Participants holding Shares of Restricted Stock shall be entitled
to receive all dividends and other distributions paid with respect to such Shares unless otherwise provided in the Award Agreement.
If any such dividends or distributions are paid in Shares, the Shares shall be subject to the same restrictions on transferability
and forfeitability as the Shares of Restricted Stock with respect to which they were paid. Notwithstanding the foregoing, if any
Restricted Stock or Restricted Stock Unit Award is granted as a Performance Award, in no event shall dividends or dividend equivalents
on such Award be paid or distributed until the performance-based vesting provisions of the Performance Award lapse.

9.9           Return
of Restricted Stock to Company. On the date that any forfeiture event set forth in the Award Agreement occurs, the Restricted
Stock or Restricted Stock Units for which restrictions have not lapsed shall revert to the Company and again shall become available
for grant under the Plan.

SECTION 10

PERFORMANCE AWARDS

10.1         Grant
of Performance Awards. The Administrator is authorized to grant any Award under this Plan, including Options, SARs, Restricted
Stock or Restricted Stock Units, with performance-based vesting criteria, on such terms and conditions as may be selected by the
Administrator. Any such Awards with performance-based vesting criteria are referred to herein as Performance Awards. The Administrator
shall have the complete discretion to determine the number of Performance Awards granted to each Participant, subject to Section
5.4, and to designate the provisions of such Performance Awards as provided in Section 10.2. All Performance Awards shall be evidenced
by an Award Agreement or a written program established by the Administrator, pursuant to which Performance Awards are awarded under
the Plan under uniform terms, conditions and restrictions set forth in such written program.

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10.2         Performance
Goals. The Administrator may establish performance goals for Performance Awards which may be based on any criteria selected
by the Administrator. Such performance goals may be described in terms of Company-wide objectives or in terms of objectives that
relate to the performance of the Participant, an Affiliate or a division, region, department or function within the Company or
an Affiliate. The time period during which the performance goals or other vesting provisions must be met will be called the “Performance
Period.” If the Administrator determines that a change in the business, operations, corporate structure or capital structure
of the Company or the manner in which the Company or an Affiliate conducts its business, or other events or circumstances render
performance goals to be unsuitable, the Administrator may modify such performance goals in whole or in part, as the Administrator
deems appropriate. If a Participant is promoted, demoted or transferred to a different business unit or function during a performance
period, the Administrator may determine that the performance goals or performance period are no longer appropriate and may (i)
adjust, change or eliminate the performance goals or the applicable performance period as it deems appropriate to make such goals
and period comparable to the initial goals and period, or (ii) make a cash payment to the participant in an amount determined by
the Administrator. The foregoing two sentences shall not apply with respect to a Performance Award that is intended to be a Qualified
Performance-Based Award.

SECTION
11

QUALIFIED PERFORMANCE-BASED AWARDS

11.1         Options
and SARs. The provisions of the Plan are intended to enable Options and SARs granted hereunder to any Covered Employee to qualify
for the Section 162(m) Exemption.

11.2         Other
Awards. When granting any other Award, the Committee may designate such Award as a Qualified Performance-Based Award, based
upon a determination that the recipient is or may be a Covered Employee with respect to such Award, and the Committee wishes such
Award to qualify for the Section 162(m) Exemption. If an Award is so designated, the Committee shall establish performance goals
for such Award within the time period prescribed by Section 162(m) of the Code based on one or more of the following Qualified
Business Criteria, which may be expressed in terms of Company-wide objectives or in terms of objectives that relate to the performance
of an Affiliate or a division, region, department or function within the Company or an Affiliate: net
sales; gross sales; return on net assets; return on assets; return on equity; return on capital; return on revenues; asset turnover;
economic value added; total stockholder return; net income; pre-tax income; operating profit margin; net income margin; sales margin;
market share; inventory turnover; days sales outstanding; sales growth; capacity utilization; increase in customer base; cash flow;
book value; earnings per share; stock price earnings ratio; earnings before interest, taxes, depreciation and amortization expenses
(“EBITDA”); earnings before interest and taxes (“EBIT”); or EBITDA, EBIT or earnings before taxes and unusual
or nonrecurring items as measured either against the annual budget or as a ratio to revenue.

Performance goals
with respect to the foregoing Qualified Business Criteria may be specified in absolute terms, in percentages, or in terms of growth
from period to period or growth rates over time, as well as measured relative to the performance of a group of comparator companies,
or a published or special index, or a stock market index, that the Committee deems appropriate. Any member of a comparator group
or an index that ceases to exist during a measurement period shall be disregarded for the entire
measurement period. Performance goals need not be based upon an increase or positive result under a business criterion and could
include, for example, the maintenance of the status quo or the limitation of economic losses (measured, in each case, by reference
to a specific business criterion).

11.3         Performance
Goals. Each Qualified Performance-Based Award (other than a market-priced Option or SAR) shall be earned, vested and payable
(as applicable) only upon the achievement of performance goals established by the Committee based upon one or more of the Qualified
Business Criteria, together with the satisfaction of any other conditions, such as continued employment, as the Committee may determine
to be appropriate; provided, however, that the Committee may provide, either in connection with the grant thereof
or by amendment thereafter, that achievement of such performance goals will be waived, in whole or in part, upon (i) the termination
of employment of a Participant by reason of death or Disability, or (ii) the occurrence of a Change in Control. Performance
periods established by the Committee for any such Qualified Performance-Based Award may be as short as three months and may be
any longer period up to ten years. In addition, the Committee has the right, in connection with the grant of a Qualified
Performance-Based Award, to exercise negative discretion to determine that the portion of such Award actually earned, vested and/or
payable (as applicable) shall be less than the portion that would be earned, vested and/or payable based solely upon application
of the applicable performance goals.

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11.4         Inclusions
and Exclusions from Performance Criteria. The Committee may provide in any Qualified Performance-Based
Award, at the time the performance goals are established, that any evaluation of performance
shall exclude or otherwise objectively adjust for any specified circumstance or event that occurs during a performance period,
including by way of example but without limitation the following: (a) asset write-downs or impairment charges; (b) litigation or
claim judgments or settlements; (c) the effect of changes in tax laws, accounting principles or other laws or provisions affecting
reported results; (d) accruals for reorganization and restructuring programs; (e) extraordinary nonrecurring items as described
in then-current accounting principles; (f) extraordinary nonrecurring items as described in management’s discussion and analysis
of financial condition and results of operations appearing in the Company’s annual report
to shareholders for the applicable year; (g) acquisitions or divestitures; and (h) foreign exchange gains and losses. To the extent
such inclusions or exclusions affect Awards to Covered Employees, they shall be prescribed in a form that meets the requirements
of Code Section 162(m) for deductibility.

11.5         Certification
of Performance Goals. Any payment of a Qualified Performance-Based Award granted with performance goals pursuant to Section
11.3 above shall be conditioned on the written certification of the Committee in each case that
the performance goals and any other material conditions were satisfied. Except as specifically provided in Section 11.3, no Qualified
Performance-Based Award held by a Covered Employee or by an employee who in the reasonable judgment of the Committee may be a Covered
Employee on the date of payment, may be amended, nor may the Committee exercise any discretionary authority it may otherwise have
under the Plan with respect to a Qualified Performance-Based Award under the Plan, in any manner to waive the achievement of the
applicable performance goal based on Qualified Business Criteria or to increase the amount payable pursuant thereto or the value
thereof, or otherwise in a manner that would cause the Qualified Performance-Based Award to cease to qualify for the Section 162(m)
Exemption.

11.6         Award
Limits. Section 5.4 sets forth the maximum number of Shares that may be granted in any one-year period to a Participant in
designated forms of Awards.

11.7         Mandatory
Deferral of Income. The Committee, in its sole discretion, may require that one or more Award Agreements contain provisions
which provide that, in the event Section 162(m) of the Code, or any successor provision relating to excessive employee remuneration,
would operate to disallow a deduction by the Company with respect to all or part of any Award, a Participant’s receipt of
the benefit relating to such award that would not be deductible by the Company shall be deferred until the next succeeding year
or years in which the Participant’s remuneration does not exceed the limit set forth in such provisions of the Code; provided,
however, that such deferral does not violate Code Section 409A.

SECTION 12

MISCELLANEOUS

12.1         Change
In Control. Unless otherwise provided in the Award Agreement, in the event of a Change in Control, unless an Award is assumed
or substituted by the successor corporation, then (i) all outstanding Options or SARs shall become fully vested and exercisable
as of the date of the Change in Control, whether or not otherwise then exercisable, (ii) all service-based restrictions and conditions
on any Award then outstanding shall lapse as of the date of the Change in Control, and (iii) the payout level under all Performance
Awards shall be deemed to have been earned as of the date of the Change in Control based upon an assumed achievement of all relevant
performance goals at the “target” level. If an Award is assumed or substituted by the successor corporation, then if
within two (2) years after the effective date of the Change in Control, a Participant’s employment is terminated without
Cause or the Participant resigns for Good Reason, then as of the date of employment termination (i) all of that Participant’s
outstanding Options and SARs shall become fully vested and exercisable, (ii) all service-based vesting restrictions on his or her
outstanding Awards shall lapse, and (iii) the payout level under all of that Participant’s Performance Awards that were outstanding
immediately prior to effective time of the Change in Control shall be determined and deemed to have been earned as of the date
of employment termination based upon an assumed achievement of all relevant performance goals at the “target” level.
With regard to each Award, a Participant shall not be considered to have resigned for Good Reason unless either (i) the Award Agreement
includes such provision or (ii) the Participant is party to an employment, severance or similar agreement with the Company or an
Affiliate that includes provisions in which the Participant is permitted to resign for Good Reason. To the extent that this provision
causes Incentive Stock Options to exceed the dollar limitation set forth in Code Section 422(d), the excess Options shall be deemed
to be Nonqualified Stock Options.

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12.2         Transfers
Upon a Change in Control. In the sole and absolute discretion of the Administrator, an Award Agreement may provide that in
the event of certain Change in Control events, which may include any or all of the Change in Control events described in Section
2.8, Shares obtained pursuant to this Plan shall be subject to certain rights and obligations, which include but are not limited
to the following: (i) the obligation to vote all such Shares in favor of such Change in Control transaction, whether by vote at
a meeting of the Company’s shareholders or by written consent of such shareholders; (ii) the obligation to sell or exchange
all such Shares and all rights to acquire Shares, under this Plan pursuant to the terms and conditions of such Change in Control
transaction; (iii) the right to transfer less than all but not all of such Shares pursuant to the terms and conditions of such
Change in Control transaction, and (iv) the obligation to execute all documents and take any other action reasonably requested
by the Company to facilitate the consummation of such Change in Control transaction.

12.3         Dissolution
or Liquidation. In the event of the proposed dissolution or liquidation of the Company, the Administrator shall notify each
Participant as soon as practicable prior to the effective date of such proposed transaction. Notwithstanding anything to the contrary
contained in this Plan or in any Award Agreement, the Participant shall have the right to exercise his or her Award for a period
not less than ten (10) days immediately prior to such dissolution or liquidation as to all of the Shares covered thereby, including
Shares as to which the Award would not otherwise be exercisable.

12.4         No
Effect on Employment or Service. Nothing in the Plan shall interfere with or limit in any way the right of the Company or an
Affiliate to terminate any Participant’s employment or service at any time, with or without cause. Unless otherwise provided
by written contract, employment or service with the Company or any of its Affiliates is on an at-will basis only. Additionally,
the Plan shall not confer upon any Director any right with respect to continuation of service as a Director or nomination to serve
as a Director, nor shall it interfere in any way with any rights which such Director or the Company may have to terminate his or
her directorship at any time.

12.5         Compensation
Recoupment Policy. Awards under the Plan shall be subject to any compensation recoupment policy that the Company may adopt
from time to time that is applicable by its terms to the Participant.

12.6         Participation.
No Employee, Consultant or Nonemployee Director shall have the right to be selected to receive an Award under this Plan, or, having
been so selected, to be selected to receive a future Award.

12.7         Successors.
All obligations of the Company under the Plan, with respect to Awards granted hereunder, shall be binding on any successor to the
Company, whether the existence of such successor is the result of a direct or indirect purchase, merger, consolidation or, otherwise,
sale or disposition of all or substantially all of the business or assets of the Company.

12.8         Beneficiary
Designations. If permitted by the Administrator, a Participant under the Plan may name a beneficiary or beneficiaries to whom
any vested but unpaid Award shall be paid in the event of the Participant’s death. Each such designation shall revoke all
prior designations by the Participant and shall be effective only if given in a form and manner acceptable to the Administrator.
In the absence of any such designation, any vested benefits remaining unpaid at the Participant’s death shall be paid to
the Participant’s estate and, subject to the terms of the Plan and of the applicable Award Agreement, any unexercised vested
Award may be exercised by the administrator or executor of the Participant’s estate.

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12.9         Limited
Transferability of Awards. No Award granted under the Plan may be sold, transferred, pledged, assigned, or otherwise alienated
or hypothecated, other than by will or by the laws of descent and distribution. All rights with respect to an Award granted to
a Participant shall be available during his or her lifetime only to the Participant. Notwithstanding the foregoing, the Participant
may, in a manner specified by the Administrator, (a) transfer a Nonqualified Stock Option to a Participant’s spouse, former
spouse or dependent pursuant to a court-approved domestic relations order which relates to the provision of child support, alimony
payments or marital property rights and (b) transfer a Nonqualified Stock Option by bona fide gift and not for any consideration
to (i) a member or members of the Participant’s immediate family, (ii) a trust established for the exclusive benefit of the
Participant and/or member(s) of the Participant’s immediate family, (iii) a partnership, limited liability company of other
entity whose only partners or members are the Participant and/or member(s) of the Participant’s immediate family or (iv)
a foundation in which the Participant and/or member(s) of the Participant’s immediate family control the management of the
foundation’s assets.

12.10       Restrictions
on Share Transferability. The Administrator may impose such restrictions on any Shares acquired pursuant to the exercise of
an Award as it may deem advisable, including, but not limited to, restrictions related to applicable federal securities laws, the
requirements of any national securities exchange or system upon which Shares are then listed or traded or any blue sky or state
securities laws.

12.11       Legal
Compliance. Shares shall not be issued pursuant to the making or exercise of an Award unless the exercise of Options and rights
and the issuance and delivery of Shares shall comply with the Securities Act of 1933, as amended, the 1934 Act and other Applicable
Law, and shall be further subject to the approval of counsel for the Company with respect to such compliance. Any Award or exercise
made in violation hereof shall be null and void.

12.12           Investment
Representations. As a condition to the exercise of an Option or other right, the Company may require the person exercising
such Option or right to represent and warrant at the time of exercise that the Shares are being acquired only for investment and
without any present intention to sell or distribute such Shares if, in the opinion of counsel for the Company, such a representation
is required.

SECTION 13

SPECIAL PROVISIONS RELATED TO SECTION 409A OF THE CODE.

13.1         General.
It is intended that the payments and benefits provided under the Plan and any Award shall either be exempt from the application
of, or comply with, the requirements of Section 409A of the Code. The Plan and all Award Agreements shall be construed in a manner
that effects such intent. Nevertheless, the tax treatment of the benefits provided under the Plan or any Award is not warranted
or guaranteed. Neither the Company, its Affiliates nor their respective directors, officers, employees or advisers (other than
in his or her capacity as a Participant) shall be held liable for any taxes, interest, penalties or other monetary amounts owed
by any Participant or other taxpayer as a result of the Plan or any Award.

13.2         Definitional
Restrictions. Notwithstanding anything in the Plan or in any Award Agreement to the contrary, to the extent that any amount
or benefit that would constitute non-exempt “deferred compensation” for purposes of Section 409A of the Code (“Non-Exempt
Deferred Compensation”) would otherwise be payable or distributable, or a different form of payment (e.g., lump sum or installment)
of such Non-Exempt Deferred Compensation would be effected, under the Plan or any Award Agreement by reason of the occurrence of
a Change in Control, or the Participant’s Disability or separation from service, such Non-Exempt Deferred Compensation will
not be payable or distributable to the Participant, and/or such different form of payment will not be effected, by reason of such
circumstance unless the circumstances giving rise to such Change in Control, Disability or separation from service meet any description
or definition of “change in control event”, “disability” or “separation from service”, as the
case may be, in Section 409A of the Code and applicable regulations (without giving effect to any elective provisions that may
be available under such definition). This provision does not affect the dollar amount or prohibit the vesting of any Award upon
a Change in Control, Disability or separation from service, however defined. If this provision prevents the payment or distribution
of any amount or benefit, or the application of a different form of payment of any amount or benefit, such payment or distribution
shall be made at the time and in the form that would have applied absent the non-409A-conforming event.

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13.3         Allocation
among Possible Exemptions. If any one or more Awards granted under the Plan to a Participant could qualify for any separation
pay exemption described in Treasury Regulations Section 1.409A-1(b)(9), but such Awards in the aggregate exceed the dollar limit
permitted for the separation pay exemptions, the Company (acting through the Administrator or the General Counsel) shall determine
which Awards or portions thereof will be subject to such exemptions.

13.4         Six-Month
Delay in Certain Circumstances. Notwithstanding anything in the Plan or in any Award Agreement to the contrary, if any amount
or benefit that would constitute Non-Exempt Deferred Compensation would otherwise be payable or distributable under this Plan or
any Award Agreement by reason of a Participant’s separation from service during a period in which the Participant is a Specified
Employee (as defined below), then, subject to any permissible acceleration of payment by the Administrator under Treasury Regulations
Section 1.409A-3(j)(4)(ii) (domestic relations order), (j)(4)(iii) (conflicts of interest), or (j)(4)(vi) (payment of employment
taxes): (i) the amount of such Non-Exempt Deferred Compensation that would otherwise be payable during the six-month period immediately
following the Participant’s separation from service will be accumulated through and paid or provided on the first day of
the seventh month following the Participant’s separation from service (or, if the Participant dies during such period, within
30 days after the Participant's death) (in either case, the “Required Delay Period”); and (ii) the normal payment or
distribution schedule for any remaining payments or distributions will resume at the end of the Required Delay Period. For purposes
of this Plan, the term “Specified Employee” has the meaning given such term in Code Section 409A and the final regulations
thereunder; provided, however, that, as permitted in such final regulations, the Company’s Specified Employees and its application
of the six-month delay rule of Code Section 409A(a)(2)(B)(i) shall be determined in accordance with rules adopted by the Board
or any committee of the Board, which shall be applied consistently with respect to all nonqualified deferred compensation arrangements
of the Company, including this Plan.

13.5         Installment
Payments. If, pursuant to an Award, a Participant is entitled to a series of installment payments, such Participant’s
right to the series of installment payments shall be treated as a right to a series of separate payments and not to a single payment.
For purposes of the preceding sentence, the term “series of installment payments” has the meaning provided in Treasury
Regulations Section 1.409A-2(b)(2)(iii) (or any successor thereto).

13.6         Timing
of Release of Claims. Whenever an Award conditions a payment or benefit on the Participant’s execution and non-revocation
of a release of claims, such release must be executed and all revocation periods shall have expired within 60 days after the date
of termination of the Participant’s employment; failing which such payment or benefit shall be forfeited. If such payment
or benefit is exempt from Section 409A of the Code, the Company may elect to make or commence payment at any time during such 60-day
period. If such payment or benefit constitutes Non-Exempt Deferred Compensation, then, subject to Section 12.4, (i) if such 60-day
period begins and ends in a single calendar year, the Company may make or commence payment at any time during such period at its
discretion, and (ii) if such 60-day period begins in one calendar year and ends in the next calendar year, the payment shall be
made or commence during the second such calendar year (or any later date specified for such payment under the applicable Award),
even if such signing and non-revocation of the release occur during the first such calendar year included within such 60-day period.
In other words, a Participant is not permitted to influence the calendar year of payment based on the timing of signing the release.

13.7         Permitted
Acceleration. The Company shall have the sole authority to make any accelerated distribution permissible under Treasury Regulations
section 1.409A-3(j)(4) to Participants of deferred amounts, provided that such distribution(s) meets the requirements of Treasury
Regulations section 1.409A-3(j)(4).

13.8         Timing
of Distribution of Dividend Equivalents. Unless otherwise provided in the applicable Award Agreement, any dividend equivalents
granted with respect to an Award hereunder (other than Options or SARs, which shall have no dividend equivalents) will be paid
or distributed no later than the 15th day of the 3rd month following the later of (i) the calendar year in which the corresponding
dividends were paid to shareholders, or (ii) the first calendar year in which the Participant’s right to such dividends equivalents
is no longer subject to a substantial risk of forfeiture.

    	16

    	 

    

SECTION 14

AMENDMENT, SUSPENSION, AND TERMINATION

14.1         Amendment,
Suspension, or Termination. Except as provided in Section 14.2, the Board, in its sole discretion, may amend, suspend or terminate
the Plan, or any part thereof, at any time and for any reason. The amendment, suspension or termination of the Plan shall not,
without the consent of the Participant, materially adversely alter or impair any rights or obligations under any Award theretofore
granted to such Participant. No Award may be granted during any period of suspension or after termination of the Plan.

14.2         No
Amendment without Shareholder Approval. The Company shall obtain shareholder approval of any material Plan amendment (including
but not limited to any provision to reduce the exercise or purchase price of any outstanding Options or other Awards after the
Grant Date (other than for adjustments made pursuant Section 5.3), or to cancel and re-grant Options or other rights at a lower
exercise price), to the extent necessary or desirable to comply with Applicable Law.

SECTION 15

TAX WITHHOLDING

15.1         Withholding
Requirements. Prior to the delivery of any Shares or cash pursuant to an Award (or exercise thereof), the Company shall have
the power and the right to deduct or withhold, or require a Participant to remit to the Company, an amount sufficient to satisfy
federal, state, and local taxes (including the Participant’s FICA obligation) required to be withheld with respect to such
Award (or exercise thereof).

15.2         Withholding
Arrangements. The Administrator, in its discretion and pursuant to such procedures as it may specify from time to time, may
permit a Participant to satisfy such tax withholding obligation, in whole or in part by (a) electing to have the Company withhold
otherwise deliverable Shares or (b) delivering to the Company already-owned Shares having a Fair Market Value equal to the minimum
amount required to be withheld. The amount of the withholding requirement shall be deemed to include any amount which the Administrator
agrees may be withheld at the time the election is made; provided, however, in the case Shares are withheld by the Company to satisfy
the tax withholding that would otherwise be issued to the Participant, the amount of such tax withholding shall be determined by
applying the statutory minimum federal, state or local income tax rates applicable to the Participant with respect to the Award
on the date that the amount of tax to be withheld is to be determined. The Fair Market Value of the Shares to be withheld or delivered
shall be determined as of the date taxes are required to be withheld.

SECTION 16

LEGAL CONSTRUCTION

16.1         Liability
of Company. The inability of the Company to obtain authority from any regulatory body having jurisdiction, which authority
is deemed by the Company's counsel to be necessary to the lawful grant or any Award or the issuance and sale of any Shares hereunder,
shall relieve the Company, its officers, Directors and Employees of any liability in respect of the failure to grant such Award
or to issue or sell such Shares as to which such requisite authority shall not have been obtained.

16.2         Grants
Exceeding Allotted Shares. If the Shares covered by an Award exceed, as of the date of grant, the number of Shares, which may
be issued under the Plan without additional shareholder approval, such Award shall be void with respect to such excess Shares,
unless shareholder approval of an amendment sufficiently increasing the number of Shares subject to the Plan is timely obtained.

16.3         Gender
and Number. Except where otherwise indicated by the context, any masculine term used herein also shall include the feminine;
the plural shall include the singular and the singular shall include the plural.

16.4         Severability.
In the event any provision of the Plan shall be held illegal or invalid for any reason, the illegality or invalidity shall not
affect the remaining parts of the Plan, and the Plan shall be construed and enforced as if the illegal or invalid provision had
not been included.

    	17

    	 

    

16.5         Requirements
of Law. The granting of Awards and the issuance of Shares under the Plan shall be subject to all applicable laws, rules, and
regulations, and to such approvals by any governmental agencies or national securities exchanges as may be required.

16.6         Governing
Law. The Plan and all Award Agreements shall be construed in accordance with and governed by the laws of the State of California.

16.7         Captions.
Captions are provided herein for convenience only, and shall not serve as a basis for interpretation or construction of the Plan.

SECTION 17

EXECUTION

IN WITNESS WHEREOF, the Company, by its
duly authorized officer, has executed this Plan on the date indicated below.

		SUPERIOR INDUSTRIES INTERNATIONAL, INC.
	 	 
		By: 	/s/ Steven J. Borick
			Steven J. Borick, Chairman, CEO and President
		Dated: May 22, 2013

 

 

 

 

    	18DLTR-2013-05-04-10Q-Ex 10.1

Exhibit 10.1

Dollar Tree, Inc.
500 Volvo Parkway
Chesapeake, Virginia 23320
 
April 16, 2013
 
James A. Paisley

Retention Agreement
 

 
Dear Mr. Paisley:
 
Dollar Tree, Inc., a Virginia corporation (the “Company”), considers it in the best interests of the Company and its stockholders to take reasonable steps to retain key management personnel.  Further, the Board of Directors of the Company (the “ Board ”) recognizes that the uncertainty and questions which might arise among management in the context of a Change in Control could result in the departure or distraction of management personnel to the detriment of the Company and its stockholders.
 
The Board has determined, therefore, that appropriate steps should be taken to reinforce and encourage the continued attention and dedication of key members of management to their assigned duties without distraction in the face of potentially disturbing circumstances arising from any possible Change in Control.
 
The Board has identified you as a key member of management.  In order to induce you to remain in the employ of the Company, the Company has determined to enter into this letter agreement (this “Agreement”) which addresses the terms and conditions of your employment in the event of a Change in Control.  Capitalized words which are not otherwise defined herein shall have the meanings assigned to such words in Section 8 of this Agreement.
 
1. Term of the Agreement.   The term of your employment under this Agreement shall commence on the Change in Control Date (after application of Section 2(e)) and shall continue until the second anniversary of the Change in Control Date (the “ Term ”).  Subject to Section 2(e), you shall have no rights and obligations under this Agreement, and no compensation or benefits will be payable to you hereunder, if your employment with the Company ends for any reason prior to the Change in Control Date.
 
2. Involuntary Termination During the Term.
 
(a) Severance Payment.   In the event of your Involuntary Termination during the Term, the Company will pay you the following amounts:

 
	
		
	(i)
	Within 5 days of the date of such Involuntary Termination, the Company will pay you in a cash lump sum:  (1) the full amount of any earned but unpaid base salary through the Date of Termination at the rate in effect at the time such base salary was earned by you;  plus  (2) the amount, if any, of any earned but unpaid cash bonus for the annual performance year ended immediately prior to the Date of Termination; plus  (3) the amount of your accrued and unused vacation time as of the Date of Termination (calculated in accordance with the Company's vacation policy for executives, as in effect on the Date of Termination or, if more favorable to you, as in effect at any time within the two-year period ending on the Date of Termination).

 
	
		
	(ii)
	The Company will also pay you within 5 days of the Date of Termination a pro rata annual bonus for the year in which your Involuntary Termination occurs, equal to the product of A multiplied by B, where “ A ” is the number of days in the performance year up to and including the Date of Termination during which you were employed by the Company divided by the number of days in such calendar year; and where “ B ” is your Reference Bonus.

 

	
		
	(iii)
	In addition, subject to the last sentence of this Section 2(a)(iii), the Company will pay you an amount (the “ Severance Payment ”) equal to the product of C multiplied by D, where “ C ” is the Multiplier and where “ D ” is the sum of your Reference Salary  plus  your Reference Bonus.  The Severance Payment shall be paid to you in substantially equal payroll installments (payable no less frequently than monthly) over the twelve-month period commencing immediately following your Date of Termination.

 
(b) Benefit Payment.   In the event of your Involuntary Termination during the Term, you and your eligible dependents shall continue to be eligible to participate during the Benefit Continuation Period in the medical, dental, health and life insurance plans applicable to you immediately prior to your Involuntary Termination on the same terms and conditions in effect for you and your dependents immediately prior to such Involuntary Termination.  For purposes of the previous sentence, “ Benefit Continuation Period ” means the period beginning on the Date of Termination and ending on the earliest to occur of (i) the last day of the Multiplier Period, (ii) the date that you and your dependents are eligible for coverage under the plans of a subsequent employer and (iii) the last day of the month, if any, in which you deliver notice to the Company that you are exercising your right in accordance with the definition of Restricted Period in Section 8 to cease receiving Severance Payments under this Agreement.
 
(c) Outstanding Long-Term Awards.
 
 
	
		
	(i)
	In the event of your Involuntary Termination during the Term, then all Service-Based Conditions (as defined below) contained in all equity awards such as outstanding options, shares of restricted stock and restricted stock units granted to you prior to the Change in Control Date under the Long Term Plans which are outstanding as of your Date of Termination (“Outstanding Awards”) shall be deemed to have been satisfied on the Date of Termination.  For purposes of this Agreement, "Service-Based Conditions" shall mean any conditions for exercise, settlement or payment contained in an award under the Long Term Plans that require that you continue to be employed by the Company through a stated date.

 
	
		
	(ii)
	Notwithstanding anything in this Agreement or any award under the Long Term Plans to the contrary, you agree with the Company that all such awards shall be subject to the provisions of Section 3.

         
(d) Date and Notice of Termination.  Any termination of your employment by the Company or by you during the Term shall be communicated by a notice of termination to the other party hereto (the “ Notice of Termination ”).  The Notice of Termination shall indicate the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of your employment under the provision so indicated.  The date of your termination of employment with the Company and its subsidiaries (the “ Date of Termination ”) shall be determined as follows:  (i) if your employment is terminated for Disability, 30 days after a Notice of Termination is given (provided that you shall not have returned to the full-time performance of your duties during such 30-day period), (ii) if your employment is terminated by the Company in an Involuntary Termination, five days after the date the Notice of Termination is received by you and (iii) if your employment is terminated by the Company for Cause, the later of the date specified in the Notice of Termination or ten days following the date such notice is received by you.  If the basis for your Involuntary Termination is your resignation for Good Reason, the Date of Termination shall be ten days after the date your Notice of Termination is received by the Company.  The Date of Termination for a resignation of employment other than for Good Reason shall be the date set forth in the applicable notice, which shall be no earlier than ten days after the date such notice is received by the Company.
 
(e) Early Commencement of the Term.  If your employment with the Company ends in an Involuntary Termination within the six-month period ending on the Change in Control Date (as such term is defined in Section 8 prior to application of this Section 2(e)), and it is reasonably demonstrated that your Involuntary Termination (i) was caused by, or at the request of, the third party who has taken steps reasonably calculated to effect the Change in Control or (ii) otherwise arose in connection with or in anticipation of the Change in Control, then, for all purposes of this Agreement:
 
(A)  the Term shall be deemed to have commenced on the date immediately prior to the date of such Involuntary Termination;

(B)  any payments required under Section 2(a)(ii) shall be made within 5 days  after the Change in Control Date and any payments required under Section 2(a)(iii) shall be made in substantially equal payroll installments (payable no less frequently than monthly) over the twelve-month period commencing immediately following the Change in Control Date;

(C)  for purposes of any Outstanding Award only, you shall be deemed to have continued in service until the Change in Control Date and all Service-Based Conditions shall be deemed to have been satisfied on the Change in Control Date; and
 
(D)  with respect to Outstanding Awards, the expiration date for exercise shall be extended until on the earlier of the 90-day anniversary of the Change in Control Date or the ten-year anniversary of the relevant grant date.
 
(f)   Other Terminations or Resignations.  No amounts shall be payable to you under this Agreement if your employment ends during the Term for any reason other than an Involuntary Termination.  If your employment ends during the Term for any reason other than an Involuntary Termination, you shall be entitled to receive only the compensation and benefits contemplated by the terms and provisions of the Company's plans and arrangements then in effect.
 
(g) No Mitigation or Offset.  You will not be required to mitigate the amount of any payment provided for in this Agreement by seeking other employment or otherwise, nor will the amount of any payment or benefit provided for in this Agreement be reduced by any compensation earned by you as the result of employment by another employer or by pension benefits paid by the Company or another employer after the Date of Termination or otherwise, except as specifically provided in clause (ii) of the last sentence of Section 2(b).
 
(h)  Effective of Breach of Section 4.  Except for rights and benefits described in Section 2(a)(i), you shall immediately forfeit your right to any payments of benefits under this Section 2 if you violate the provisions of Section 4.  Such forfeiture by you shall be in addition to, and not in substitution for, any remedies otherwise available to the Company at law or in equity as a result of such violation by you.
 
3. Limitation of Payments.
 
(a) Claw-back.  Notwithstanding anything herein to the contrary, if any Payments to you would be subject to the excise tax imposed by Section 4999 of the Code (the “ Excise Tax ”), the Company shall take such action as shall be reasonably necessary to reduce the aggregate amount of Payments due to you (the “ Claw-back Amount ”) such that the present value of all such Payments (as determined under the Code and regulations) is equal to 2.99 times your “ base amount ” (as defined in Section 280G(b)(3) of the Code).  No Claw-back Amount shall be necessary hereunder if the Accounting Firm determines that none of the Payments are subject to the Excise Tax.  The Company shall reduce Payments in a manner that is reasonably intended to maximize the aggregate amount of the compensation and benefits retained by you under this Agreement and under any other compensation and benefit arrangements that result in Payments to you, including the Long-Term Plans.  The Company and the Accounting Firm shall implement the provisions of this Section 3 in a manner that is consistent with any claw-back provisions in the Long-Term Plans.
   
(b) Determination of Claw-back Amount.  Subject to the provisions of Section 3(c), all determinations required under this Section 3, including the amount of the Payments constituting excess parachute payments, within the meaning of Section 280G(b)(1) of the Code, the Claw-back Amount, and the Payments to which the Claw-back Amount shall be applied in accordance with the last sentence of Section 3(a), shall be made by the Accounting Firm, which shall provide detailed supporting calculations both to you and the Company within 90 days of the Change in Control Date, your Date of Termination or any other date reasonably requested by you or the Company on which a determination under this Section 3 is necessary or advisable.  Any determination by the Accounting Firm shall be binding upon you and the Company.
 
(c) Procedures.   You shall notify the Company in writing of any claim by the Internal Revenue Service that, if successful, would require the payment of the Excise Tax.  Such notice shall be given as soon as practicable after you know of such claim and shall apprise the Company of the nature of the claim and the date on which the claim is requested to be paid.  You agree not to pay the claim until the expiration of the 30-day period following the date on which you notify the Company, or such shorter period ending on the date the taxes with respect to such claim are due (the “ Notice Period ”).  If the Company notifies you in writing prior to the expiration of the Notice Period that it desires to contest the claim, you shall:  (i) give the Company any information reasonably requested by the Company relating to the claim; (ii) take such action in connection with the claim as the Company may reasonably request, including  accepting legal representation with respect to such claim by an attorney reasonably selected by the Company and reasonably acceptable to you; (iii) cooperate with the Company in good faith in contesting the claim; and (iv) permit the Company to participate in any proceedings relating to the claim.  You shall permit the Company to control all proceedings related to the claim and, at its option, permit the Company to pursue or forgo any and all administrative appeals, proceedings, hearings, and conferences with the taxing authority in respect of such claim.
 

(d) Further Assurances.  The Company shall indemnify you and hold you harmless, on an after-tax basis, from any costs, expenses, penalties, fines, interest or other liabilities (“ Losses ”) incurred by you with respect to the exercise by the Company of any of its rights under this Section 3(c), including any Losses related to the Company's decision to contest a claim or any action taken on your behalf by the Company hereunder.  The Company shall pay all legal fees and expenses incurred under this Section 3, and shall promptly reimburse you for the reasonable expenses incurred by you in connection with any actions taken by the Company or required to be taken by you under this Section 3.  The Company shall also pay all of the fees and expenses of the Accounting Firm.
 
4. Protective Covenants.
  
(a) Nondisparagement.  You shall not, during the Restricted Period, make any statement, in written, oral or electronic form, in disparagement of the Companies or of any of the officers, shareholders, directors, employees, agents, or associates of any of the Companies (including, but not limited to, negative references to any of the Companies and the products, services, or corporate policies of any of the Companies) to the general public or the employees, employees, customers, suppliers, potential suppliers, business partners or potential business partners of any of the Companies.
  
(b) Nonsolicitation.  You shall not, during the Restricted Period, either directly or indirectly, for yourself or on behalf of any other person or entity, solicit, induce, recruit, or encourage any employees of any of the Companies to leave their employment, or take away such employees, or attempt to solicit, induce, recruit, encourage, take-away, or hire any such employees either for your benefit or for the benefit of any other person or entity.
 
(c) Noncompetition.  You shall not, during the Restricted Period, either directly or indirectly, provide services to any Competitor, including as a spokesperson, endorser, creditor, guarantor, financial backer, investor, stockholder, director, officer, consultant, adviser, employee, member, trustee or agent, or in any similar capacity.  Notwithstanding the foregoing, the provisions of this Section 4(c) shall not be deemed to prohibit your purchase or ownership, as a passive investment, of not more than 5% of the issued and outstanding stock or other securities of a corporation listed on a national securities exchange or traded in the over-the-counter market.
 
(d) Confidential Information.  You shall not, during the Restricted Period, disclose any confidential information or trade secrets related to the business or operations of any of the Companies that you acquired in connection with your employment by or association with any of the Companies.
 
5. Indemnification.  If you are made a party, are threatened to be made a party to, or otherwise receive any other legal process in, any action, suit or proceeding, whether civil, criminal, administrative or investigative (a “ Proceeding ”), by reason of the fact that you are or were a director, officer or employee of any of the Companies or are or were serving at the request of the Company as a director, officer, member, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, including service with respect to employee benefit plans, whether or not the basis of such Proceeding is your alleged action in an official capacity while serving as director, officer, member, employee or agent of any of the Companies, the Company shall indemnify you and hold you harmless to the fullest extent permitted or authorized by the Company's Articles of Incorporation, By Laws or under the laws of the Commonwealth of Virginia, but in no event greater than permitted by applicable state law, against all cost, expense, liability and loss (including attorney's fees, judgments, fines, excise taxes or penalties and amounts paid or to be paid in settlement and any cost and fees incurred in enforcing your rights to indemnification or contribution) reasonably incurred or suffered by you in connection therewith.  To the extent that the Company maintains officers' and directors' liability insurance, you will be covered under such policy subject to the exclusions and limitations set forth therein.
 
6. Legal Fees and Expenses.  The Company shall pay or reimburse you on an after-tax basis for all reasonable legal fees and expenses (including court costs) incurred by you as a result of any claim by you (or on your behalf) that is successful on the merits or settled in your favor (i) arising out of your termination of employment during the Term, (ii) contesting, disputing or enforcing any right, benefits or obligations under this Agreement or (iii) arising out of or challenging the validity, advisability or enforceability of this Agreement or any provision thereof.  You shall be responsible to reimburse the Company for all reasonable legal fees and expenses (including court costs) incurred by the Company as a result of any claim by you that is determined by a court having final jurisdiction over such claim, to have been frivolous.
  
7. Successors; Binding Agreement.
 
(a) Assumption by Successor.  The Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business or assets of the Company expressly to 

assume and to agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it if no such succession had taken place;  provided ,  however , that no such assumption shall relieve the Company of its obligations hereunder without your prior written consent.
 
(b) Enforceability; Beneficiaries.  This Agreement shall be binding upon and inure to the benefit of you and the Company and any organization which succeeds to substantially all of the business or assets of the Company, whether by means of merger, consolidation, acquisition of all or substantially all of the assets of the Company or otherwise, including as a result of a Change in Control or by operation of law.  This Agreement shall inure to the benefit of and be enforceable by your personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees.  If you should die while any amount would still be payable to you hereunder if you had continued to live, all such amounts, unless otherwise provided herein, shall be paid in accordance with the terms of this Agreement to your devisee, legatee or other designee or, if there is no such designee, to your estate.
 
8. Definitions and Rules of Construction.
 
(a) For purposes of this Agreement, the following capitalized words shall have the meanings set forth below:
 
“Accounting Firm” shall mean a nationally recognized accounting firm designated by the Company and approved by you, which approval shall not be unreasonably withheld.
 
“Agreement” shall have the meaning set forth in the third paragraph of this Agreement.
 
“Benefit Continuation Period” shall have the meaning set forth in Section 2(b).
 
“Board” shall have the meaning set forth in the second paragraph of this Agreement.
 
“Catch-Up Amount” shall have the meaning set forth in Section 10.
 
“Cause” shall mean a termination of your employment during the Term by the Company as a result of any of the following occurring during the Term:
 
	
		
	(i)
	your felony conviction, whether following trial or by plea of guilty or nolo contendere (or similar plea);

 
	
		
	(ii)
	your engaging in any fraudulent or dishonest conduct with respect to the performance of your duties with the Companies;

	
		
	(iii)
	your engaging in any intentional act that is injurious in a material respect to the Companies;

 
	
		
	(iv)
	your engaging in any other act of moral turpitude;

 
	
		
	(v)
	your willful disclosure of material trade secrets or other material confidential information related to the business of the Companies;

 
	
		
	(vi)
	your willful and continued failure substantially to perform your duties with the Companies (other than any such failure resulting from your incapacity due to physical or mental illness or any such actual or anticipated failure resulting from a resignation by you for Good Reason) after a written demand for substantial performance is delivered to you by the Board, which demand specifically identifies the manner in which the Board believes that you have not substantially performed your duties, and which performance is not substantially corrected by you within thirty days of receipt of such demand.  For purposes of this clause (v), no act or failure to act on your part shall be deemed “willful” unless done, or omitted to be done, by you not in good faith and without reasonable belief that your action or omission was in the best interest of the Company.

 

Notwithstanding the foregoing, you shall not be deemed to have been terminated for Cause unless and until there shall have been delivered to you a copy of a resolution duly adopted by the affirmative vote of not less than three-fourths (3/4ths) of the entire membership of the Board at a meeting of the Board called and held for such purpose (after reasonable notice to you and an opportunity for you, together with your counsel, to be heard before the Board), finding that in the good faith opinion of the Board you were guilty of conduct set forth above constituting Cause and specifying the particulars thereof.  For purposes of this definition, “ Board ” shall mean the Board of Directors of the Company or of any successor to the Company.
 
“Change in Control” shall mean a change in control of the Company of a nature that would be required to be reported in response to Item 6(e) of Schedule 14A of Regulation 14A promulgated under the Exchange Act, whether or not the Company is then subject to such reporting requirement;  provided ,  however , that, anything in this Agreement to the contrary notwithstanding, a Change in Control shall be deemed to have occurred if:
 
	
		
	(i)  
	any individual, partnership, firm, corporation, association, trust, unincorporated organization or other entity or person, or any syndicate or group deemed to be a person under Section 14(d)(2) of the Exchange Act, is or becomes the “beneficial owner” (as defined in Rule 13d-3 of the General Rules and Regulations under the Exchange Act), directly or indirectly, of securities of the Company representing 50% or more of the combined voting power of the Company's then outstanding securities entitled to vote in the election of directors of the Company;

 
	
		
	(ii)  
	during any period of two (2) consecutive years (not including any period prior to the execution of this Agreement), individuals who at the beginning of such period constituted the Board and any new directors, whose election by the Board or nomination for election by the Company's stockholders was approved by a vote of at least three-fourths (3/4ths) of the directors then still in office who either were directors at the beginning of the period or whose election or nomination for election was previously so approved (the “ Incumbent Directors ”), cease for any reason to constitute a majority thereof;

  
	
		
	(iii)  
	there occurs a Transaction with respect to which the stockholders of the Company immediately prior to such Transaction do not, immediately after the Transaction, own more than 50% of the combined voting power of the Company or other corporation resulting from such Transaction; or

 
	
		
	(iv)  
	all or substantially all of the assets of the Company are sold, liquidated or distributed.

 
“Change in Control Date” shall mean, subject to Section 2(e), the earliest of (i) the date on which the Change in Control occurs, (ii) the date on which the Company executes an agreement, the consummation of which would result in the occurrence of a Change in Control, (iii) the date the Board approves a transaction or series of transactions, the consummation of which would result in a Change in Control, and (iv) the date the Company fails to satisfy its obligations to have this Agreement assumed by any successor to the Company in accordance with Section 7(a) of this Agreement.  If the Change in Control Date occurs as a result of an agreement described in clause (ii) of the previous sentence or as a result of the approval of the Board described in clause (iii) of the previous sentence and the Change in Control to which such agreement or approval relates (the “ Contemplated Change in Control ”) subsequently does not occur, then the Term shall expire on the sixtieth day (the “ Reset Date ”) following the date the Board certifies by resolution duly adopted by three-fourths (3/4ths) of the Incumbent Directors then in office that the Contemplated Change in Control is not reasonably likely to occur;  provided ,  however , that this sentence shall not apply if (A) an Involuntary Termination of your employment with the Company has occurred on and after the Change in Control Date and on or prior to the Reset Date or (B) the Contemplated Change in Control subsequently occurs within three months following the Reset Date.  Following the Reset Date, the provisions of this Agreement shall remain in effect and a new Term shall commence upon the occurrence of a subsequent Change in Control Date.  If the Change in Control Date occurs without the subsequent occurrence of a Reset Date, then the Term shall be determined in accordance with Section 1 and no subsequent Change in Control Date shall occur hereunder, even if a subsequent Change in Control occurs during the Term or thereafter.
 
“Claw-back Account” shall have the meaning set forth in Section 3(a).
 
“Code” shall mean the Internal Revenue Code of 1986, as amended, and the applicable rulings and regulations thereunder.
 
“Companies” shall mean the Company and each subsidiary corporation of the Company (as such term is defined in Section 424(f) of the Code).

  
“Company” shall have the meaning set forth in the first paragraph of the Agreement.
 
“Competitor” shall be limited to Family Dollar Stores, Inc., a Delaware corporation, Dollar General Corporation, a Tennessee corporation, and 99¢ Only Stores, a California corporation (collectively, the “ Named Competitors ”), and any successor by sale, consolidation, reorganization, merger or otherwise to all or substantial all of the business or assets of a Named Competitor;  provided ,  however , that, if any such successor engages in one or more businesses that are separate and apart from the business of the Named Competitor, the term “Competitor” shall be limited to only that portion of such successor's organization that engages in the Named Competitor's business.
 
“Date of Termination” shall have the meaning set forth in Section 2(d).
 
“Disability” shall mean (i) your incapacity due to physical or mental illness which causes you to be absent from the full-time performance of your duties with the Company for six (6) consecutive months and (ii) your failure to return to full-time performance of your duties for the Company within thirty (30) days after written Notice of Termination due to Disability is given to you.  Any question as to the existence of your Disability upon which you and the Company cannot agree shall be determined by a qualified independent physician selected by you (or, if you are unable to make such selection, such selection shall be made by any adult member of your immediate family), and approved by the Company.  The determination of such physician made in writing to the Company and to you shall be final and conclusive for all purposes of this Agreement.
 
“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended, and the applicable rulings and regulations thereunder.
 
“Excise Tax” shall have the meaning set forth in Section 3(a).
 
“Good Reason” shall mean your resignation of employment during the Term with the Company as a result of any of the following occurring during the Term:
 
	
		
	(i)
	Your ceasing to hold the position of Chief Information Officer of the Company (or the surviving entity resulting from the merger or consolidation, through one or more related transactions, of the Company with another entity);

 
	
		
	(ii)
	A material, adverse change in your duties and responsibilities with the Company from those in effect prior to the Change in Control Date.

 
	
		
	(iii)
	A reduction that is more than immaterial in your annual base salary as in effect immediately prior to the Change in Control Date or as the same may be increased from time to time thereafter;

 
	
		
	(iv)
	A reduction that is more than immaterial in your target annual bonus (expressed as a percentage of base salary) below the target in effect for you prior to the Change in Control Date;

 
	
		
	(v)
	The relocation of the office of the Company where you are primarily employed to a location which is more than 50 miles from the place where you are primarily employed by the Company immediately prior to the Change in Control Date;

 
	
		
	(vi)
	The failure of the Company to obtain an agreement reasonably satisfactory to you from any successor to assume and agree to perform this Agreement or, if the business for which your services are principally performed is sold at any time after a Change in Control, the failure of the Company to obtain such an agreement from the purchaser of such business;

 
	
		
	(vii)
	Any termination (or purported termination) of your employment which is not effected pursuant to the terms of this Agreement; or

 

	
		
	(viii)
	Any material breach by the Company of this Agreement.

 
Notwithstanding the above, an event shall not constitute Good Reason unless it is communicated by you to the Company in writing within 90 days following the date you know of the occurrence of such event, and such event is not corrected by the Company in a manner which is reasonably satisfactory to you (including full retroactive correction with respect to any monetary matter) within 10 days of the Company's receipt of such written notice from you.
 
“Involuntary Termination” shall mean (i) your termination of employment by the Company and its subsidiaries during the Term other than for Cause or Disability or (ii) your resignation of employment with the Company and its subsidiaries during the Term for Good Reason.
 
“Long-Term Plans” shall mean the Company's 2004 Executive Officer Equity Plan, as amended, the Company's 2003 Equity Incentive Plan, as amended, and any other plan or arrangement of the Company applicable to you that provides for the grant of long-term equity incentive compensation.
 
“Losses” shall have the meaning set forth in Section 3(d).
 
“Multiplier” shall mean 1.5.
 
“Multiplier Period” shall mean a period of years equal to the Multiplier and commencing on the Date of Termination.
 
“Notice of Termination” shall have the meaning set forth in Section 2(d).
 
“Notice Period” shall have the meaning set forth in Section 3(c).
 
“Payment” shall mean a “payment,” as defined in Section 280G(b)(2) of the Code, to you from the Company or any corporation which is a member of an “affiliate group” (as defined in Section 1504(a) of the Code without regard to Section 1504(b) of the Code) of which the Company is a member, which would reasonably constitute a “parachute payment,” as defined in Section 280G(b)(2) of the Code.
 
“Proceeding” shall have the meaning set forth in Section 5.
 
“Reference Bonus” shall mean the average of the actual cash bonuses earned and paid (or payable) to you for the three performance years ended prior to the year in which occurs your Date of Termination (but in no event greater than the target bonus for the year in which the Date of Termination occurs).  If there are fewer than three performance years ended prior to the year in which occurs your Date of Termination, the actual number of performance years (and the bonuses for such years) shall be used in calculating such average and, in the event that you are first employed by the Company in the year in which occurs your Date of Termination, your reference bonus shall equal 75% of your target bonus for such year.  For purposes of calculating your Reference Bonus, the Company shall disregard any signing or similar-type payment to you and shall exclude from the calculation of the average a performance year if you were not employed by the Company during all of that year.

“Reference Salary” shall mean the highest annual rate of base salary paid to you by the Company at any time during the three-year period ending on the Date of Termination.
 
“Restricted Period” shall mean the period beginning on the date you become entitled to a Severance Payment and ending on the earlier of twelve-months thereafter or the date you deliver notice to the Company electing to terminate your right to continue to receive Severance Payments.
 
“Severance Payment” shall have the meaning set forth in Section 2(a)(iii).
 
“Term” shall have the meaning set forth in Section 1.
 
“Transaction” shall mean a reorganization, merger, consolidation or other similar corporate transaction involving the Company.
 
(b)   Rules of Construction.  All references to dates and times refer to dates and times in Chesapeake, Virginia

.  Use of the masculine pronoun or the feminine pronoun shall be deemed to encompass the use of the opposite gender, and the use of the singular shall be deemed to encompass the plural, unless the context clearly requires otherwise.  Unless otherwise expressly noted herein, paragraph, section and exhibit references are to the paragraphs, sections and exhibits of this Agreement.  Whenever the words “include,” “includes” or “including” are used in this Agreement, they are deemed to be followed by the words “without limitation,” unless the context clearly requires otherwise.  The headings contained in this Agreement are intended solely for convenience of reference and shall not affect the rights of the parties to this Agreement.
 
9. Notice.  All notices, requests, consents and other communications required or permitted under this Agreement shall be in writing (including electronic transmission) and shall be (as elected by the person giving such notice) hand delivered by messenger or courier service, electronically transmitted, or mailed (airmail if international) by registered or certified mail (postage prepaid), return receipt requested, addressed to the Board of Directors, Dollar Tree, Inc., 500 Volvo Parkway, Chesapeake, VA 23320, with a copy to the General Counsel of the Company, or to you at the address set forth on the first page of this Agreement or to such other address as any party may designate by notice complying with the provisions of this Section 9.  Each such notice shall be deemed delivered (a) on the date delivered if by personal delivery; (b) on the date of transmission with confirmed answer back if by electronic transmission; and (c) on the date upon which the return receipt is signed or delivery is refused or the notice is designated by the postal authorities as not deliverable, as the case may be, if mailed.
  
10. Section 409A Compliance.  Solely to the extent necessary to comply with Section 409A of the Code, any amounts payable to you pursuant this Agreement during the period beginning on your Date of Termination and ending on the six-month anniversary of such date shall be delayed and not paid to you until the first business day following such sixth-month anniversary date, at which time such delayed amounts will be paid to you in a cash lump sum (the “ Catch-up Amount ”).  If payment of an amount is delayed as a result of this Section 10, such amount shall be increased with interest from the date on which such amount would otherwise have been paid to you but for this Section 10 to the day prior to the date the Catch-up Amount is paid.  The rate of interest shall be the applicable short-term federal rate applicable under Section 7872(f)(2)(A) of the Code for the month in which occurs your Date of Termination.  Such interest shall be paid at the same time that the Catch-up Amount is paid.  If you die on or after your Date of Termination and prior to the sixth-month anniversary of such date, any amount delayed pursuant to this Section 10 shall be paid to your estate or beneficiary, as applicable, together with interest, within 30 days following the date of your death.  The provisions of this Section 10 shall apply notwithstanding any provision of this Agreement related to the timing of payments following your Date of Termination.

To the extent a payment under this Agreement is not made with in the short-term deferral period or another permitted exemption or exception from application of Code Section 409A, payments under this Agreement are intended to comply, and this Agreement shall be interpreted as necessary to comply, with Code Section 409A and the regulations promulgated thereunder.  Any provision of this Agreement that cannot be so interpreted or applied consistent with Code Section 409A is deemed amended to comply with Code Section 409A or, if such amendment is not possible, is void.
In the event you become entitled to indemnification for any Losses or other expenses, costs, fees or in-kind benefits under Section 3 of this Agreement and such Losses, expenses, costs, fees or in-kind benefits are not exempt from Code Section 409A pursuant to Treasury Regulation § (b)(9)(v) because such Losses, expenses, costs, fees or in-kind benefits were not incurred or provided by the last day of the second taxable year following your Involuntary Termination, then the Company will satisfy any such right to indemnification by reimbursement or providing in-kind benefits in accordance with Treasury Regulation § 1.409A-3(i)(1)(iv) as follows:

(i)    Reimbursement or in-kind benefits may be paid or provided during the period of your lifetime;
		
	(ii)
	Reimbursement of an eligible expense will be made on or before the last day of your taxable year following the taxable year in which the expenses were incurred;

		
	(iii)
	The amount of expenses eligible for reimbursement, or in-kind benefits provided, during a taxable year may not affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other taxable year; and

		
	(iv)
	The right to reimbursement or in-kind benefits is not subject to liquidation or exchange for another benefit.

For purposes of Section 10 of this Agreement, the term “in-kind benefits” refers to services provided to you or on your behalf by the Company, such as legal or accounting services.”

 
11. Miscellaneous.
 

(a) Amendments, Waivers, Etc.  No provision of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is agreed to in a writing signed by you and the Company.  No waiver by either party hereto at any time of any breach by the other party hereto of, or compliance with, any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time.  No agreements or representations, oral or otherwise, express or implied, with respect to the subject matter hereof have been made by either party which are not expressly set forth in this Agreement and this Agreement shall supersede all prior agreements, negotiations, correspondence, undertakings and communications of the parties, oral or written, with respect to the subject matter hereof;  provided ,  however , that, except as expressly set forth herein, this Agreement shall not supersede the terms of Long-Term Plans and applicable award documents thereunder.
 
(b) Validity.  The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement, which shall remain in full force and effect.
 
(c) Severability.  In the event that any provision or term of this Agreement is held to be invalid, prohibited or unenforceable for any reason, such provision or term shall be deemed severed from this Agreement, without invalidating the remaining provisions, which shall remain in full force and effect.
 
(d) Counterparts.  This Agreement may be executed in several counterparts, each of which shall be deemed to be an original but all of which together will constitute one and the same instrument.
 
(e) No Contract of Employment.  Nothing in this Agreement shall be construed as giving you any right to be retained in the employ of the Company or shall affect the terms and conditions of your employment with the Company prior to the commencement of the Term hereof or, if your employment with the Company continues after the Term, following the expiration of the Term.
 
(f) Withholding.  Amounts paid to you hereunder shall be subject to all applicable federal, state and local withholding taxes.
 
(g) Source of Payments.  All payments provided under this Agreement, other than payments made pursuant to a plan which provides otherwise, shall be paid in cash from the general funds of the Company, and no special or separate fund shall be established, and no other segregation of assets made, to assure payment.  You will have no right, title or interest whatsoever in or to any investments which the Company may make to aid it in meeting its obligations hereunder.  To the extent that any person acquires a right to receive payments from the Company hereunder, such right shall be no greater than the right of an unsecured creditor of the Company.
 
(h) Governing Law.  The validity, interpretation, construction, and performance of this Agreement shall be governed by the laws of the Commonwealth of Virginia applicable to contracts entered into and performed in such Commonwealth.
 
If this letter sets forth our agreement on the subject matter hereof, kindly sign and return to the Company the enclosed copy of this letter which will then constitute our agreement on this subject.
 
Sincerely,
 
DOLLAR TREE, INC.
 

 
By _/s/ Bob Sasser____________________________
Bob Sasser
President and CEO

 Agreed to as of this 16 day of April, 2013
 

 
/s/ James A. Paisley____
James A. Paisley

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