Document:

Accounts Receivable Purchase Agreement

 Exhibit 10.26 
  
 ACCOUNTS RECEIVABLE PURCHASE MODIFICATION AGREEMENT 
  
 This Accounts Receivable Purchase Modification Agreement is entered into as of March 25, 2003, by and between EGAIN
COMMUNICATIONS CORP. (the “Seller”) and Silicon Valley Bank (“Buyer”). 
  
 1.    DESCRIPTION OF EXISTING INDEBTEDNESS: Among other indebtedness which may be owing by Seller to Buyer, Seller is indebted to Buyer pursuant to, among other documents, an Accounts
Receivable Purchase Agreement, dated September 24, 2002 by and between Seller and Buyer, as may be amended from time to time, (the “Accounts Receivable Purchase Agreement”). Capitalized terms used without definition herein shall have the
meanings assigned to them in the Accounts Receivable Purchase Agreement. 
  
 Hereinafter, all indebtedness owing by Seller to Buyer shall be referred to as the “Indebtedness”. 
  
 Hereinafter, the above-described security documents and guaranties, together with all other documents securing repayment of the Indebtedness shall be referred to as the
“Security Documents”. Hereinafter, the Security Documents, together with all other documents evidencing or securing the Indebtedness shall be referred to as the “Existing Documents”. 
  
 2.    DESCRIPTION OF CHANGE IN TERMS. 
  

	 	A.	Modification(s) to Accounts Receivable Purchase Agreement: 

  

	 	1.	Section 2.2 entitled “Acceptance of Receivables” is hereby amended in its entirety to read as follows: 

  

	 	    	Acceptance of Receivables.    Buyer shall have no obligation to purchase any receivable listed on an Invoice Transmittal. Buyer may exercise its sole
discretion in approving the credit of each Account Debtor before buying any receivable. Upon acceptance by Buyer of all or any of the receivables described on any Invoice Transmittal, Buyer shall pay to Seller 80(%) percent of the face
amount of each receivable Buyer desires to purchase, net of deferred revenue and offsets related to each specific Account Debtor. Such payment shall be the “Advance” with respect to such receivable. Buyer may, from time to time, in its
sole discretion, change the percentage of the Advance. Upon Buyer’s acceptance of the receivable and payment to Seller of the Advance, the receivable shall become a “Purchased Receivable.” It shall be a condition to each Advance that
(i) all of the representations and warranties set forth in Section 6 of this Agreement be true and correct on and as of the date of the related Invoice Transmittal and on and as of the date of such Advance as though made at and as of each such date,
and (ii) no Event of Default or any event or condition that with notice, lapse of time or otherwise would constitute an Event of Default shall have occurred and be continuing, or would result from such Advance. Notwithstanding the foregoing, in no
event shall the aggregate amount of all Purchased Receivables outstanding at any time exceed One Million Eight Hundred Seventy Five Thousand Dollars ($1,875,000.00). 

  

	 	2.	Section 2.4 entitled “Establishment of a Reserve” is hereby amended in its entirety to read as follows: 

  

	 	    	 Establishment of a Reserve.    Upon the purchase by Buyer of each Purchased Receivable, Buyer shall establish a reserve. The reserve
shall be the amount by which the face amount of the Purchased Receivable exceeds the Advance on that Purchased Receivable (the “Reserve”); provided, the Reserve with respect to all Purchased Receivables outstanding at any one time shall be
an amount not less than 20(%) percent of the Account Balance at that time, and may be set at a higher 

	 	 
percentage at Buyer’s sole discretion. The reserve shall be a book balance maintained on the records of Buyer and shall not be a segregated fund.

  

	 	3.	Section 3.2 entitled “Finance Charges” is hereby amended in part to provide that at no time shall the Finance Charge be less than 9.25%. 

  

	 	4.	Section 16 entitled “Term and Termination” is hereby amended in part to provide that the term of this Agreement shall be through June 30, 2003. 

 

	 	5.	Sub section (G) under Section 6.2 entitled “Additional Warranties, Representations and Covenants” is hereby amended in its entirety to read as follows:

  

	 	    	Seller shall provide Buyer with, (i) as soon as available, but no later than 30 days following each Reconciliation Period, when Advances are outstanding, or prior to the purchase of
any receivables when no Advances are outstanding, a deferred revenue report; (ii) as soon as available, but no later than 30 days following each Reconciliation Period, an aged listing of accounts receivable and accounts payable (by due date), and
consolidating financial statements in summary forms covering Seller’s operations during the period, a company prepared consolidating balance sheet and income statement, prepared under GAAP, consistently applied, covering Seller’s
operations during the period; (iii) as soon as available, but no later than 120 days after the last day of Seller’s fiscal year, audited consolidated financial statements prepared under GAAP, consistently applied, together with an unqualified
opinion on the financial statements from an independent certified public accounting firm reasonably acceptable to Buyer; (iv) a prompt report of any legal actions pending or threatened against Seller that could result in damages or costs to Seller;
(v) budgets, sales projections, operating plans or other financial information Buyer reasonably requests; and (vi) prompt notice of any material change in the composition of the Intellectual Property, including any subsequent ownership right of
Seller in or to any Copyright, Patent or Trademark not shown in any intellectual property security agreement between Seller and Buyer or knowledge of an event that materially adversely affects the value of the Intellectual Property;

  

	 	6.	Sub section (L) under Section 6.2 entitled “Additional Warranties, Representations and Covenants” is hereby amended in its entirety to read as follows:

  

	 	    	As soon as available, but no later than 30 days following the end of each quarter, Seller shall provide Buyer with quarterly bank and/or brokerage statements for eGain
Communications, Ltd. in the United Kingdom; and 

  
 3.    CONSISTENT CHANGES.    The Existing Documents are each hereby amended wherever necessary to reflect the changes described above. 
  
 4.    PAYMENT OF LINE FEE.    Seller shall pay
Buyer a fee in the amount of Three Thousand Seven Hundred Dollars ($3,700.00) (“Line Fee”) plus all out-of-pocket expenses. 
  
 5.    NO DEFENSES OF SELLER.    Seller agrees that, as of this date, it has no defenses against the obligations to pay any
amounts under the Indebtedness. 
  
 6.    CONTINUING
VALIDITY.    Seller understands and agrees that in modifying the existing Indebtedness, Buyer is relying upon Seller’s representations, warranties, and agreements, as set forth in the Existing Documents. Except as
expressly modified pursuant to this Accounts Receivable Purchase Modification Agreement, the terms of the Existing Documents remain unchanged and in full force and effect. Buyer’s agreement to modifications to the existing Indebtedness pursuant
to this Accounts Receivable Purchase Modification Agreement in no way shall obligate Buyer to make any future modifications to the Indebtedness. Nothing in this Accounts Receivable Purchase Modification Agreement shall constitute a satisfaction of
the Indebtedness. It is the intention of Buyer and Seller to retain as liable parties all makers and endorsers of Existing Documents, unless the party is expressly released by Buyer in writing. No maker, endorser, or guarantor will be released by
virtue of this Accounts Receivable Purchase Modification Agreement. The terms of this paragraph apply not only to this 

 
Accounts Receivable Purchase Modification Agreement, but also to any subsequent Accounts Receivable Purchase modification agreements. 
  
 7.    CONDITIONS.    The effectiveness of this
Accounts Receivable Purchase Modification Agreement is conditioned upon payment of the Line Fee. 
  
 8.    COUNTERSIGNATURE.    This Accounts Receivable Purchase Modification Agreement shall become effective only when executed by Seller and Buyer. 
  

	 SELLER:
  
 EGAIN COMMUNICATIONS CORP.
	    	 BUYER:
  
 SILICON VALLEY BANK
	  	 
					
	By:	  	 	    	By:	  	 	  	 
	 	  	
	    	 	  	
	  	 
					
	Name:	  	 	    	Name:	  	 	  	 
	 	  	
	    	 	  	
	  	 
					
	Title:	  	 	    	Title:AFRT Amended and Restated 2002 Equity Incentive Plan

 Exhibit 4.1 
  
 AMERICAN FINANCIAL REALTY TRUST 
  
 2002 EQUITY INCENTIVE PLAN 
  
 (As Amended and Restated, Effective July 24, 2003) 

 TABLE OF CONTENTS 
  

	 	 	 	  	Page No.

			
	 ARTICLE 1.
	 	 DEFINITIONS
	  	1
			
	 1.1
	 	 General
	  	1
			
	 ARTICLE 2.
	 	 COMMON SHARES SUBJECT TO PLAN
	  	4
			
	 2.1
	 	 Common Shares Subject to Plan
	  	4
			
	 2.2
	 	 Add-back of Grants
	  	5
			
	 ARTICLE 3.
	 	 ELIGIBILITY; AWARDS; AWARD AGREEMENTS
	  	5
			
	 3.1
	 	 Eligibility
	  	5
			
	 3.2
	 	 Awards
	  	5
			
	 3.3
	 	 Provisions Applicable to Section 162(m) Participants
	  	5
			
	 3.4
	 	 Award Agreement
	  	6
			
	 ARTICLE 4.
	 	 OPTIONS
	  	7
			
	 4.1
	 	 Award Agreement for Option Grant
	  	7
			
	 4.2
	 	 Option Price
	  	7
			
	 4.3
	 	 Qualification for Incentive Stock Options
	  	7
			
	 4.4
	 	 Change in Incentive Stock Option Grant
	  	7
			
	 4.5
	 	 Option Term
	  	7
			
	 4.6
	 	 Option Exercisability and Vesting
	  	8
			
	 4.7
	 	 Fair Market Value
	  	8
			
	 4.8
	 	 Dividend Equivalents
	  	9
			
	 ARTICLE 5.
	 	 EXERCISE OF OPTIONS
	  	9
			
	 5.1
	 	 Partial Exercise
	  	9
			
	 5.2
	 	 Manner of Exercise
	  	9
			
	 5.3
	 	 Conditions to Issuance of Common Shares
	  	10
			
	 5.4
	 	 Rights as Shareholders
	  	11
			
	 5.5
	 	 Ownership and Transfer Restrictions
	  	11
			
	 5.6
	 	 Limitations on Exercise of Options
	  	11
			
	 ARTICLE 6.
	 	 AWARD OF RESTRICTED COMMON SHARES
	  	11
			
	 6.1
	 	 Award Agreement
	  	11
			
	 6.2
	 	 Award of Restricted Common Shares
	  	11
			
	 6.3
	 	 Rights as Shareholders
	  	12
			
	 6.4
	 	 Restriction
	  	12
			
	 6.5
	 	 Lapse of Restrictions
	  	13

			
	 6.6
	 	 Repurchase of Restricted Common Shares
	  	13
			
	 6.7
	 	 Escrow
	  	13
			
	 6.8
	 	 Legend
	  	13
			
	 ARTICLE 7.
	 	 SHARE APPRECIATION RIGHTS
	  	13
			
	 7.1
	 	 Award Agreement for SARs
	  	13
			
	 7.2
	 	 General Requirements
	  	13
			
	 7.3
	 	 Base Amount
	  	13
			
	 7.4
	 	 Tandem SARs
	  	13
			
	 7.5
	 	 SAR Exercisability
	  	14
			
	 7.6
	 	 Value of SARs
	  	14
			
	 7.7
	 	 Form of Payment
	  	14
			
	 ARTICLE 8.
	 	 PERFORMANCE UNITS
	  	14
			
	 8.1
	 	 Award Agreement for Performance Units
	  	14
			
	 8.2
	 	 General Requirements
	  	14
			
	 8.3
	 	 Performance Period and Performance Goals
	  	15
			
	 8.4
	 	 Payment With Respect to Performance Units
	  	15
			
	 ARTICLE 9.
	 	 OTHER EQUITY GRANTS
	  	15
			
	 9.1
	 	 Award Agreement for Equity Grants
	  	15
			
	 9.2
	 	 Award of Equity Grants
	  	15
			
	 ARTICLE 10.
	 	 DEFERRALS
	  	16
			
	 10.1
	 	 Deferrals
	  	16
			
	 ARTICLE 11.
	 	 ADMINISTRATION
	  	16
			
	 11.1
	 	 Committee
	  	16
			
	 11.2
	 	 Duties and Powers of Committee
	  	16
			
	 11.3
	 	 Compensation; Professional Assistance; Good Faith Actions
	  	16
			
	 ARTICLE 12.
	 	 MISCELLANEOUS PROVISIONS
	  	17
			
	 12.1
	 	 Transferability
	  	17
			
	 12.2
	 	 Amendment, Suspension or Termination of this Plan
	  	17
			
	 12.3
	 	Changes in Common Shares or Assets of the Company, Acquisition or Liquidation of the Company and Other Corporate Events	  	18
			
	 12.4
	 	 Continued Employment
	  	20
			
	 12.5
	 	 Tax Withholding
	  	20
			
	 12.6
	 	 Forfeiture Provisions
	  	21
			
	 12.7
	 	 Limitations Applicable to Section 16 Persons and Performance-Based Compensation
	  	21
			
	 12.8
	 	 Restrictive Legend
	  	21
			
	 12.9
	 	 Effect of Plan Upon Option and Compensation Plans
	  	21
			
	 12.10
	 	 Compliance with Laws
	  	22
			
	 12.11
	 	 Titles
	  	22
			
	 12.12
	 	 Governing Law
	  	22

 AMERICAN FINANCIAL REALTY TRUST 
 2002 EQUITY INCENTIVE PLAN 
 (As Amended and Restated, Effective July 24, 2003)

  
 American Financial Realty Trust, a Maryland real estate
investment trust (the “Company”), initially adopted the American Financial Realty Trust 2002 Equity Incentive Plan (the “Plan”), effective September 10, 2002, for the benefit of Employees, Consultants and Trustees of the Company
and First States Group, L.P. The Company hereby amends and restates the Plan, effective July 24, 2003, as set forth herein. 
  
 The purposes of this Plan are (a) to recognize and compensate selected Employees, Consultants and Trustees who contribute to the development and success
of the Company and its Affiliates and Subsidiaries, (b) to maintain the competitive position of the Company and its Affiliates and Subsidiaries by attracting and retaining, Employees, Consultants and Trustees, and (c) to provide incentive
compensation to Employees, Consultants and Trustees based upon the Company’s and/or Affiliate’s and Subsidiary’s performance. 
  
 ARTICLE 1. DEFINITIONS 
  
 1.1 General. Wherever the following initially capitalized terms are used in this Plan they shall have the meanings specified below, unless the
context clearly indicates otherwise. 
  
 “Affiliate”
shall mean any entity that directly or indirectly through one or more intermediaries, controls, is controlled by, or is under common control with the Company, including without limitation, FS OP. 
  
 “Award” shall mean the grant or award of Options, Restricted Common
Shares, SARs, Performance Units or Equity Grants under this Plan. 
  
 “Award Agreement” shall mean the agreement granting or awarding Options, Restricted Common Shares, SARs, Performance Units or Equity Grants. Such Award Agreement shall be executed by an officer of the Company and the Employee,
Consultant or Trustee receiving such grant. 
  
 “Award
Limit” shall mean, subject to adjustment as described in Section 12.3.1, not more than 3,000,000 Common Shares awarded to a Participant in any calendar year. 
  
 “Board” shall mean the Board of Trustees of the Company, as comprised from time to time. 
  
 “Cause” shall, except as otherwise defined in the
Participant’s Employment Agreement, mean (i) the conviction of the Employee of, or the entry of a plea of guilty or nolo contendere by the Employee to, a felony (exclusive of any felony relating to negligent operation of a motor vehicle
and not including a conviction, plea of guilty or nolo contendere arising solely under a statutory provision imposing criminal liability upon the Employee on a per se basis due to the Company offices held by the Employee, so long as any act
or omission of the Employee with respect to such matter was not taken or omitted in contravention of any applicable policy or directive of the Board), (ii) a willful breach of his duty of loyalty which is materially detrimental 

 
to the Company, (iii) a willful failure to perform or adhere to explicitly stated duties that are consistent with the terms of his position with the Company,
or the Company’s reasonable and customary guidelines of employment or reasonable and customary corporate governance guidelines or policies, including without limitation any business code of ethics adopted by the Board, or to follow the lawful
directives of the Board (provided such directives are consistent with the terms of the Participant’s Employment Agreement), which, in any such case, continues for thirty (30) days after written notice from the Board to the Employee, or (iv)
gross negligence or willful misconduct in the performance of the Employee’s duties. No act, or failure to act, on the Employee’s part will be deemed “gross negligence” or “willful misconduct” unless done, or omitted to
be done, by the Employee not in good faith and without a reasonable belief that the Employee’s act, or failure to act, was in the best interest of the Company. The Committee shall determine, in good faith, if an Employee has been terminated for
Cause. 
  
 “Code” shall mean the Internal Revenue Code
of 1986, as amended. 
  
 “Committee” shall mean the
Compensation and Human Resources Committee of the Board or such other committee of the Board that is appointed by the Board to serve such purpose under the Plan. 
  
 “Common Shares” shall mean the common shares of beneficial ownership, par value $0.001 per share, of the Company.

  
 “Company” shall mean American Financial Realty
Trust, a Maryland real estate investment trust, or any business organization which succeeds to its business and elects to continue this Plan. For purposes of this Plan, the term Company shall include, where applicable, the employer of the Employee
or Consultant, including without limitation FS OP or such other Affiliate or Subsidiary who employs the Employee or the Consultant. 
  
 “Consultant” shall mean a professional or technical expert, consultant or independent contractor who provides services to the Company or an
Affiliate or Subsidiary, and who may be selected to participate in the Plan. 
  
 “Dividend Equivalents” shall mean dividend equivalents granted under Section 4.8 of this Plan. 
  
 “Employee” shall mean any employee (as defined in accordance with the regulations and revenue rulings then applicable under section 2401(c) of
the Code) of the Company or an Affiliate or Subsidiary of the Company, whether such employee is so employed at the time this Plan is adopted or becomes so employed subsequent to the adoption of this Plan. 
  
 “Employment Agreement” shall mean the employment, consulting or
similar contractual agreement entered into by the Employee or the Consultant, as the case may be, and the Company governing the terms of the Employee’s or Consultant’s employment with the Company, if any. 
  
 “Equity Grants” shall mean cash, Common Shares or equity-based
awards granted under Article 9 of this Plan. 
  

 - 2 - 

 “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended. 
  
 “Fair Market Value” of a share of Common Shares, as of a given
date, shall be determined pursuant to Section 4.7. 
  
 “FS
OP” means First State Group, L.P., of which the Company is a limited partner and the sole owner of the general partner. 
  
 “Good Reason” shall only apply, and shall only have the meaning, as contained in the Participant’s Employment Agreement. Any provision
herein that relates to a Termination of Employment by the Participant for Good Reason shall have no effect if there is no Employment Agreement or the Employment Agreement does not contain a provision permitting the Participant to terminate for Good
Reason. 
  
 “Incentive Stock Option” shall mean an
option which conforms to the applicable provisions of section 422 of the Code and which is designated as an Incentive Stock Option by the Committee. 
  
 “Independent Trustee” shall mean a member of the Board who would not otherwise be classified as an Employee except for his or her position as a
member of the Board. 
  
 “Non-Qualified Stock Option”
shall mean an Option which the Committee does not designate as an Incentive Stock Option. 
  
 “OPP” shall mean the American Financial Realty Trust 2003 Outperformance Plan. 
  
 “Option” shall mean an option to purchase Common Shares that is granted under Article 4 of this Plan. An option granted under this Plan shall,
as determined by the Committee, be either a Non-Qualified Stock Option or an Incentive Stock Option; provided, however, that Options granted to Independent Trustees and Consultants shall be Non-Qualified Stock Options. 
  
 “Participant” shall mean an Employee, Consultant or Trustee who has
been determined as eligible to receive an Award pursuant to Section 3.2. 
  
 “Performance Units” shall mean performance units granted under Article 8 of this Plan. 
  
 “Permanent Disability” or “Permanently Disabled” shall, except as otherwise defined in the Participant’s Employment Agreement,
mean the inability of an Employee, Consultant or a Trustee due to a physical or mental impairment to perform the material services of his position with the Company for a period of six (6) months, whether or not consecutive, during any 365-day
period. A determination of Permanent Disability shall be made in good faith by the Committee. Notwithstanding the foregoing, if a Participant is determined to be Permanently Disabled pursuant to the terms of his Employment Agreement, he shall be
Permanently Disabled for purposes of this Plan. 
  
 “Plan” shall mean the American Financial Realty Trust 2002 Equity Incentive Plan, as embodied herein and as amended from time to time. 
  

 - 3 - 

 “Restricted Common Shares” shall mean Common Shares awarded under Article 6 of this Plan.

  
 “Retirement” or “Retire” shall, except as
otherwise defined in the Participant’s Employment Agreement, mean a Participant’s Termination of Employment with the Company on or after his 65 birthday. 
  
 “Rule 16b-3” shall mean that certain Rule 16b-3 under the Exchange Act, as such rule may be amended from time to
time. 
  
 “SAR” shall mean share appreciation rights
awarded under Article 7 of this Plan. 
  
 “Section 162(m)
Participant” shall mean any Employee the Committee designates to receive an Award whose compensation for the fiscal year in which the Employee is so designated or a future fiscal year may be subject to the limit on deductible compensation
imposed by section 162(m) of the Code, as determined by the Committee in its sole discretion. 
  
 “Subsidiary” shall mean an entity in an unbroken chain beginning with the Company if each of the entities other than the last entity in the unbroken chain owns 50 percent or more of the total combined voting
power of all classes of equity in one of the other entities in such chain. 
  
 “Termination of Employment” shall mean the date on which the employee-employer, contractual or similar relationship between a Participant and the Company is terminated for any reason, with or without Cause,
including, but not by way of limitation, a termination of employment by resignation, discharge, death, Permanent Disability or Retirement, but excluding (i) termination of employment where there is a simultaneous reemployment or continuing
employment of a Participant by the Company, and (ii) at the discretion of the Committee, termination of employment which result in a temporary severance of the employee-employer relationship. The Committee, in its absolute discretion, shall
determine the effect of all matters and questions relating to a Termination of Employment (subject to the provisions of any Employment Agreement between a Participant and the Company), including, but not limited to all questions of whether
particular leaves of absence constitute a Termination of Employment; provided, however, that, unless otherwise determined by the Committee in its discretion, a leave of absence, change in status from an employee to an independent
contractor or other change the employee-employer, contractual or similar relationship shall constitute a Termination of Employment if, and to the extent that, such leave of absence, change in status or other change interrupts employment for the
purposes of section 422(a)(2) of the Code and the then applicable regulations and revenue rulings under said section. 
  
 “Trustee” shall mean a member of the Company’s Board. 
  
 ARTICLE 2. COMMON SHARES SUBJECT TO PLAN 
  
 2.1 Common Shares Subject to Plan. 
  

	 	2.1.1	 The Common Shares subject to an Award shall be shares of the Company’s authorized but unissued, reacquired, or treasury Common 

  

 - 4 - 

	 	 
Shares. Subject to adjustment as described in Section 12.3.1, the aggregate number of such Common Shares which may be issued under the Plan is 11,375,000
Common Shares; provided, however, prior to July 24, 2003, the aggregate number of such Common Shares which could be issued upon exercise of Options was 3,125,000 Common Shares (which included any restricted Common Shares received by the Participant
as a result of the early exercise of an Option pursuant to Section 4.6.3) and the number of shares which could be granted as Restricted Common Shares was 1,500,000 Common Shares (which did not include any restricted Common Shares received by the
Participant as a result of the early exercise of an Option pursuant to Section 4.6.3). 

  

	 	2.1.2	The maximum number of Common Shares which may be awarded to any individual in any calendar year as Options and SARs shall not exceed the Award Limit. 

  
 2.2 Add-back of Grants. If any Option or SAR expires or is canceled
without having been fully exercised, is exercised in whole or in part for cash as permitted by this Plan, or is exercised prior to becoming vested as permitted under Section 4.6.3 and is forfeited prior to becoming vested, the number of Common
Shares subject to such Option or SAR but as to which such Option, SAR or other right was not exercised or vested prior to its expiration, cancellation or exercise may again be optioned, granted or awarded hereunder, subject to the limitations of
Section 2.1. Shares of Common Shares which are delivered by the Participant or withheld by the Company upon the exercise of any Option or other award under this Plan, in payment of the exercise price thereof, may again be optioned, granted or
awarded hereunder, subject to the limitations of Section 2.1. If any Common Shares granted pursuant to a Restricted Common Share, Performance Unit, Equity Grant or other equity award permitted under the Plan is forfeited by the Participant, such
Common Shares may again be optioned, granted or awarded hereunder, subject to the limitations of Section 2.1. Notwithstanding the provisions of this Section 2.2, no shares of Common Shares may again be optioned, granted or awarded pursuant to an
Incentive Stock Option if such action would cause such Option to fail to qualify as an Incentive Stock Option under section 422 of the Code. 
  
 ARTICLE 3. ELIGIBILITY; AWARDS; AWARD AGREEMENTS 
  
 3.1 Eligibility. Any Employee, Consultant or Trustee selected to participate pursuant to Section 3.2 shall be eligible to participate in the Plan.

  
 3.2 Awards. The Committee shall determine which
Employees, Consultants and/or Trustees shall receive an Award, whether the Employee, Consultant or Trustee will receive Options, Restricted Common Shares, SARs, Performance Units or Equity Grants, whether the Option grant shall be of Incentive Stock
Options and/or Non-Qualified Stock Options, and the number of Common Shares subject to such Award. 
  

 - 5 - 

 3.3 Provisions Applicable to Section 162(m) Participants. 
  

	 	3.3.1	Notwithstanding anything in the Plan to the contrary, the Committee may grant Options, Restricted Common Shares, SARs, Performance Units, Dividend Equivalents and/or Equity Grants
to a Section 162(m) Participant that vest upon the attainment of performance targets for the Company which are related to one or more of the following performance goals: (i) pre-tax income, (ii) operating income, (iii) cash flow, (iv) earnings per
share, (v) return on equity, (vi) return on invested capital or assets, (vii) cost reductions or savings, and/or (viii) such other identifiable and measurable performance objectives, as determined by the Committee. The number of Common Shares
granted to a 162(m) Participant that are intended to comply with the performance-based compensation requirements of section 162(m)(4)(C) of the Code shall not exceed the Award Limit. 

  

	 	3.3.2	To the extent necessary to comply with the performance-based compensation requirements of section 162(m)(4)(C) of the Code, no later than ninety (90) days following the commencement
of any fiscal year in question or any other designated fiscal period (or such other time as may be required or permitted by section 162(m) of the Code), the Committee shall, in writing, (i) designate one or more Section 162(m) Participants, (ii)
select the performance goal or goals applicable to the fiscal year or other designated fiscal period, (iii) establish the various targets and bonus amounts which may be earned for such fiscal year or other designated fiscal period and (iv) specify
the relationship between performance goals and targets and the amounts to be earned by each Section 162(m) Participant for such fiscal year or other designated fiscal period. Following the completion of each fiscal year or other designated fiscal
period, the Committee shall certify in writing whether the applicable performance targets have been achieved for such fiscal year or other designated fiscal period. In determining the amount earned by a Section 162(m) Participant, the Committee
shall have the right to reduce (but not to increase) the amount payable at a given level of performance to take into account additional factors that the Committee may deem relevant to the assessment of individual or corporate performance for the
fiscal year or other designated fiscal period. 

  
 3.4 Award Agreement. Upon the selection of an Employee, Consultant or Trustee to become a Participant and receive an Award, the Committee shall cause a written Award Agreement to be issued to such individual encompassing the terms
and conditions of such Award, as determined by the Committee in its sole discretion; provided, however, that if applicable, the terms of such Award Agreement shall comply with the terms of such Participant’s Employment Agreement,
if any. Such Award Agreement shall provide for the exercise price for Options and SARs, the purchase price for Restricted Common Shares, the performance criteria for Performance Units, the exercisability and vesting schedule, payment terms and such
other terms and conditions of such Award, as determined by the Committee in its sole discretion. Each Award Agreement shall be executed by the Participant and an officer or a Trustee (other than the 

  

 - 6 - 

 
Participant) of the Company authorized to sign such Award Agreement and shall contain such terms and conditions that are consistent with the Plan, including
but not limited to the exercisability and vesting schedule, if any, as the Committee in its sole discretion shall determine. All Awards shall be made conditional upon the Participant’s acknowledgment, in writing in the Award Agreement or by
acceptance of the Award, that all decisions and determinations of the Committee shall be final and binding on the Participant, his beneficiaries and any other person having or claiming an interest under such Award. 
  
 ARTICLE 4. OPTIONS 
  
 4.1 Award Agreement for Option Grant. Option grants shall be evidenced
by an Award Agreement, pursuant to Section 3.4. Award Agreements evidencing Options intended to qualify as performance-based compensation as described in section 162(m)(4)(C) of the Code shall contain such terms and conditions as may be necessary to
meet the applicable provisions of section 162(m) of the Code. Award Agreements evidencing Incentive Stock Options shall contain such terms and conditions as may be necessary to meet the applicable provisions of section 422 of the Code. 

 
 4.2 Option Price. The price per share of the Common Shares subject
to each Option shall be set by the Committee; provided, however, that such price shall not be less than 100% of the Fair Market Value of a share of Common Shares on the date the Option is granted, and in the case of Incentive Stock
Options granted to an individual then owning (within the meaning of section 424(d) of the Code) more than 10% of the total combined voting power of all classes of shares of the Company or any Subsidiary or parent corporation thereof (within the
meaning of section 422 of the Code) such price shall not be less than 110% of the Fair Market Value of a share of Common Shares on the date the Option is granted. 
  
 4.3 Qualification for Incentive Stock Options. The Committee may grant an Incentive Stock Option to an individual if
such person is an Employee of the Company or is an Employee of an Affiliate or Subsidiary as permitted under section 422(a)(2) of the Code. 
  
 4.4 Change in Incentive Stock Option Grant. Any Incentive Stock Option granted under this Plan may be modified by the Committee to disqualify such
Option from treatment as an Incentive Stock Option under section 422 of the Code. To the extent that the aggregate Fair Market Value of Common Shares with respect to which Incentive Stock Options (within the meaning of section 422 of the Code, but
without regard to section 422(d) of the Code) are exercisable for the first time by a Participant during any calendar year (under the Plan and all other Incentive Stock Option plans of the Company) exceeds $100,000, such Options shall be treated as
Non-Qualified Stock Options to the extent required or permitted by section 422 of the Code. The rule set forth in the preceding sentence shall be applied by taking Options into account in the order in which they were granted. For purposes of this
Section 4.4, the Fair Market Value of Common Shares shall be determined as of the time the Option with respect to such Common Shares is granted, pursuant to Section 4.7. 
  
 4.5 Option Term. The term of an Option shall be set by the Committee in its discretion; provided,
however, in the case of Incentive Stock Options, the term shall not be more 

  

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than ten (10) years from the date the Incentive Stock Option is granted, or five (5) years from such date if the Incentive Stock Option is granted to an
Employee then owning (within the meaning of section 424(d) of the Code) more than 10% of the total combined voting power of all classes of shares of the Company or any Subsidiary or parent corporation thereof (within the meaning of section 422 of
the Code). Such Incentive Stock Options shall be subject to Section 5.6, except as limited by the requirements of section 422 of the Code and regulations and rulings thereunder applicable to Incentive Stock Options. 
  
 4.6 Option Exercisability and Vesting. 
  

	 	4.6.1	The period during which Options in whole or in part become exercisable and vest in the Participant shall be set by the Committee and shall be as provided for in the Award Agreement.
At any time after the grant of an Option, the Committee may, in its sole and absolute discretion and subject to whatever terms and conditions it selects, accelerate the period during which an Option becomes exercisable and vests.

  

	 	4.6.2	In each Award Agreement, the Committee shall indicate whether the portion of the Option, if any, that remains non-exercisable and non-vested upon the Participant’s Termination
of Employment with the Company is forfeited. In so specifying, the Committee may differentiate between the reason for the Participant’s Termination of Employment. 

  

	 	4.6.3	At any time on or after the grant of an Option, the Committee may provide in an Award Agreement that the Participant may elect to exercise part or all of an Option before it
otherwise has become exercisable. Any Common Shares so purchased shall be restricted Common Shares and shall be subject to a repurchase right in favor of the Company during a specified restriction period, with the repurchase price equal to the
lesser of (i) the price per share paid by the Participant for the Common Shares, or (ii) the Fair Market Value of such Common Shares at the time of repurchase, or such other restrictions as the Committee deems appropriate. The Participant shall
have, unless otherwise provided by the Committee in the Award Agreement, all the rights of an owner of Common Shares, subject to the restrictions and provisions of his Award Agreement, including the right to vote such Common Shares and to receive
all dividends and other distributions paid or made with respect to Common Shares. 

  
 4.7 Fair Market Value. The Fair Market Value of a share of Common Shares as of a given date shall be (i) the closing price of a share of Common
Shares on the principal exchange on which shares of Common Shares are then trading, if any (or as reported on any composite index which includes such principal exchange), on the trading day previous to such date, or if Common Shares were not traded
on the trading day previous to such date, then on the next preceding date on which a trade occurred, or (ii) if Common Shares are not traded on an exchange but are quoted on NASDAQ or a successor quotation system, either the (a) closing sale 

  

 - 8 - 

 
price, or (b) the mean between the closing representative bid and asked prices for the Common Shares on the trading day previous to such date as reported by
NASDAQ or such successor quotation systems, as may be appropriate, or (iii) if Common Shares are not publicly traded on an exchange and not quoted on NASDAQ or a successor quotation system, the Fair Market Value of a share of Common Shares as
established by the Company acting in good faith. The Fair Market Value as determined by the Company in good faith and in the absence of fraud shall be binding and conclusive upon all parties hereto, and in any event the Participant agrees to accept
and shall not challenge any determination of Fair Market Value made by the Company. If the Company subdivides (by split, dividend or otherwise) the Common Shares into a greater number of Common Shares, or combines (by reverse split or otherwise) the
Common Shares into a smaller number of Common Shares after the Company shall have determined the Fair Market Value for the Common Shares subject to an Award (without taking into consideration such subdivision or combination) and prior to the
consummation of the purchase, the Fair Market Value shall be appropriately adjusted to reflect such subdivision or combination, and the Company’s good faith determination as to any such adjustment shall be binding and conclusive on all parties
hereto. 
  
 4.8 Dividend Equivalents. The Committee may
grant Dividend Equivalents in connection with Options granted under the Plan. Dividend Equivalents may be paid currently or accrued as contingent obligations and may be payable in cash or shares of Common Shares and upon such terms as the Committee
may establish, including, without limitation, the achievement of specific performance goals. 
  
 ARTICLE 5. EXERCISE OF OPTIONS 
  
 5.1 Partial Exercise. At any time and from time to time prior to the time when any exercisable Option or portion thereof becomes unexercisable under the Plan or the Award Agreement, such Option or portion thereof may be exercised in
whole or in part; provided, however, that the Company shall not be required to issue fractional Common Shares and the Committee may, by the terms of the Option, require any partial exercise to be with respect to a minimum number of
Common Shares. 
  
 5.2 Manner of Exercise. An exercisable
Option, or any exercisable portion thereof, may be exercised solely by delivery to the Company of all of the following prior to the time when such Option or such portion becomes unexercisable under the Plan or the Award Agreement: 
  

	 	5.2.1	A written notice signed by the Participant or other person then entitled to exercise such Option or portion thereof, stating that such Option or portion is being exercised, provided
such notice complies with all applicable rules established by the Committee from time to time; 

  

	 	5.2.2	Such representations and documents as the Committee, in its absolute discretion, deems necessary or advisable to effect compliance with all applicable provisions of the Securities
Act of 1933, as amended, and any other federal or state securities laws or regulations. The Committee may, 

  

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	 	    	in its absolute discretion, also take whatever additional actions it deems appropriate to effect such compliance including, without limitation, causing legends to be placed on
Common Share certificates and issuing stop-transfer notices to agents and registrars; 

  

	 	5.2.3	In the event that the Option shall be exercised pursuant to Section 12.1 by any person or persons other than the Participant, appropriate proof of the right of such person or
persons to exercise the Option or portion thereof; and 

  

	 	5.2.4	Full payment (in cash or by a certified check) for the Common Shares with respect to which the Option or portion thereof is exercised, including the amount of any withholding tax
due, unless with the prior written consent of the Committee: 

  

	 	5.2.4.1.	payment, in whole or in part, is made through the delivery of shares of Common Shares owned by the Participant, duly endorsed for transfer to the Company with a Fair Market Value on
the date of delivery equal to the aggregate exercise price of the Option or exercised portion thereof, provided, that shares of Common Shares used to exercise the Option have been held by the Participant for the requisite period of time to avoid
adverse accounting consequences to the Company with respect to the Option; 

  

	 	5.2.4.2.	payment, in whole or in part, is made through the surrender of shares of Common Shares then issuable upon exercise of the Option having a Fair Market Value on the date of Option
exercise equal to the aggregate exercise price of the Option or exercised portion thereof; 

  

	 	5.2.4.3.	payment through a broker at the time required in accordance with procedures permitted by Regulation T of the Federal Reserve Board; or 

  

	 	5.2.4.4.	payment is made through any combination of the consideration provided for in this Section 5.2.4 or such other method approved by the Committee consistent with applicable law.

  
 5.3 Conditions to Issuance of Common
Shares. The Company shall not be required to issue or deliver any certificate or other indicia evidencing ownership of shares of Common Shares purchased upon the exercise of any Option or portion thereof prior to fulfillment of all of the
following conditions: 
  

	 	5.3.1	The obtaining of any approval or other clearance from any state or federal governmental agency which the Committee shall, in its sole discretion, determine to be necessary or
advisable; 

  

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	 	5.3.2	The lapse of such reasonable period of time following the exercise of the Option as the Committee may establish from time to time for reasons of administrative convenience;

  

	 	5.3.3	The receipt by the Company of full payment for such Common Shares, including payment of any applicable withholding tax; and 

  

	 	5.3.4	The Participant agreeing to the terms and conditions of the Plan and the Award Agreement. 

  
 5.4 Rights as Shareholders. The holders of Options shall not be, nor have any of the rights or privileges of,
shareholders of the Company in respect of any Common Shares purchasable upon the exercise of any part of an Option unless and until certificates or other indicia representing such Common Shares have been issued by the Company to such holders.

  
 5.5 Ownership and Transfer Restrictions. The Committee,
in its absolute discretion, may impose at the time of grant such restrictions on the ownership and transferability of the Common Shares purchasable upon the exercise of an Option as it deems appropriate. Any such restriction shall be set forth in
the Award Agreement and may be referred to on the certificates or other indicia evidencing such Common Shares. 
  
 5.6 Limitations on Exercise of Options. 
  

	 	5.6.1	Vested Incentive Stock Options may not be exercised after the earlier of (i) their expiration date, (ii) twelve (12) months from the date of the Participant’s death, (iii)
twelve (12) months from the date of the Participant’s Termination of Employment by reason of his Permanent Disability, or (iv) the expiration of three (3) months from the date of the Participant’s Termination of Employment for any reason
other than such Participant’s death or Permanent Disability, unless the Participant dies within said three-month period. Leaves of absence for less than 90 days shall not cause a Termination of Employment for purposes of Incentive Stock
Options. 

  

	 	5.6.2	Non-Qualified Stock Options may be exercised up until their expiration date, unless the Committee provides otherwise in the Award Agreement. 

  
 ARTICLE 6. AWARD OF RESTRICTED COMMON SHARES 
  
 6.1 Award Agreement. Awards of Restricted Common Shares shall be
evidenced by an Award Agreement, pursuant to Section 3.4. Award Agreements evidencing Restricted Common Shares intended to qualify as performance-based compensation as described in section 162(m)(4)(C) of the Code shall contain such terms and
conditions as may be necessary to meet the applicable provisions of section 162(m) of the Code. 
  

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 6.2 Award of Restricted Common Shares. 
  

	 	6.2.1	The Committee may from time to time, in its absolute discretion, consistent with this Plan: 

  

	 	6.2.1.1.	Determine which Employees, Consultants and/or Trustees shall receive an Award of Restricted Common Shares; 

  

	 	6.2.1.2.	Determine the aggregate number of Common Shares to be awarded as Restricted Common Shares to Employees, Consultants and/or Trustees; 

  

	 	6.2.1.3.	Determine the terms and conditions applicable to such Restricted Common Shares; and 

  

	 	6.2.1.4.	Determine when the restrictions lapse. 

  

	 	6.2.2	The Committee may establish the purchase price, if any, and form of payment for Restricted Common Shares. If the Committee establishes a purchase price, the purchase price shall be
no less than the par value of the Common Shares to be purchased, unless otherwise permitted by applicable state law. 

  

	 	6.2.3	Upon the selection of an Employee, Consultant or Trustee to be awarded Restricted Common Shares, the Committee shall instruct the Secretary of the Company to issue such Restricted
Common Shares and may impose such conditions on the issuance of such Restricted Common Shares as it deems appropriate. 

  

	 	6.2.4	Restricted Common Share Awards shall vest pursuant to the Award Agreement. 

  
 6.3 Rights as Shareholders. Upon delivery of the shares of Restricted Common Shares to the Participant or the escrow holder pursuant to Section
6.7, the Participant shall have, unless otherwise provided by the Committee in the Award Agreement, all the rights of an owner of Common Shares, subject to the restrictions and provisions of his Award Agreement, including the right to receive all
dividends and other distributions paid or made with respect to the Common Shares; provided, however, that in the discretion of the Committee, any extraordinary distributions with respect to the Common Shares shall be subject to the
restrictions set forth in Section 6.4. 
  
 6.4 Restriction.
All shares of Restricted Common Shares issued under this Plan (including any Common Shares received by holders thereof with respect to shares of Restricted Common Shares as a result of stock dividends, stock splits or any other form of
recapitalization, if any) shall at the time of grant, in the terms of each individual Award Agreement, be subject to such restrictions as the Committee shall, in its sole discretion, determine, which restrictions may include, without limitation,
restrictions concerning voting rights, transferability, vesting, Company performance and individual performance; provided, however, that by action taken subsequent to the time Restricted Common Shares are issued, the Committee may, on
such terms 

  

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and conditions as it may determine to be appropriate, remove any or all of the restrictions imposed by the terms of the Award Agreement. Restricted Common
Shares may not be sold or encumbered until all restrictions are terminated or expire. 
  
 6.5 Lapse of Restrictions. The restrictions shall lapse in accordance with the terms of the Award Agreement. In the Award Agreement, the Committee shall indicate whether Restricted Common Shares then subject to
restrictions are forfeited or if the restrictions shall lapse upon the Participant’s Termination of Employment. In so specifying, the Committee may differentiate between the reason for the Participant’s Termination of Employment.

  
 6.6 Repurchase of Restricted Common Shares. The
Committee may provide in the terms of the Award Agreement awarding Restricted Common Shares that the Company shall have call rights, a right of first offer and/or a right of refusal regarding Restricted Common Shares then subject to restrictions.

  
 6.7 Escrow. The Company may appoint an escrow holder to
retain physical custody of each certificate or control of each other indicia representing Restricted Common Shares until all of the restrictions imposed under the Award Agreement with respect to the Common Shares evidenced by such certificate expire
or shall have been removed. 
  
 6.8 Legend. In order to
enforce the restrictions imposed upon shares of Restricted Common Shares hereunder, the Committee shall cause a legend or restrictions to be placed on certificates of Restricted Common Shares that are still subject to restrictions under Award
Agreements, which legend or restrictions shall make appropriate reference to the conditions imposed thereby. 
  
 ARTICLE 7. SHARE APPRECIATION RIGHTS 
  
 7.1 Award Agreement for SARs. Awards of SARs shall be evidenced by an Award Agreement, pursuant to Section 3.4. Award Agreements evidencing SARs
intended to qualify as performance-based compensation as described in section 162(m)(4)(C) of the Code shall contain such terms and conditions as may be necessary to meet the applicable provisions of section 162(m) of the Code. 
  
 7.2 General Requirements. The Committee may grant SARs separately or
in tandem with any Option (for all or a portion of the applicable Option). The Committee shall determine which Employees, Consultants and/or Trustees shall receive an Award of a SAR and the amount of such Award. 
  
 7.3 Base Amount. The Committee shall establish the base amount of the
SAR at the time the SAR is granted. Unless the Committee determines otherwise, the base amount of each SAR shall be equal to the price per share of the related Option or, if there is no related Option, the Fair Market Value of a share of Common
Shares as of the date of grant of the SAR. 
  
 7.4 Tandem
SARs. Tandem SARs may be granted either at the time the Option is granted or at any time thereafter while the Option remains outstanding; provided, however, that, in the case of an Incentive Stock Option, SARs may be granted only at the time of
grant of the 

  

 - 13 - 

 
Incentive Stock Option. In the case of tandem SARs, the number of SARs granted to an Employee, Consultant or Trustee that shall be exercisable during a
specified period shall not exceed the number of shares of Common Shares that the Employee, Consultant or Trustee may purchase upon the exercise of the related Option during such period. Upon the exercise of an Option, the SARs relating to the Common
Shares covered by such Option shall terminate. Upon the exercise of the SARs, the related Option shall terminate to the extent of an equal number of shares of Common Shares. 
  
 7.5 SAR Exercisability. 
  

	 	7.5.1	The period during which SARs in whole or in part become exercisable shall be set by the Committee and shall be as provided for in the Award Agreement. At any time after the grant of
a SAR, the Committee may, in its sole and absolute discretion and subject to whatever terms and conditions its selects, accelerate the period during which the SAR becomes exercisable. 

  

	 	7.5.2	In each Award Agreement, the Committee shall indicate whether the portion of the SAR, if any, that remains non-exercisable upon the Participant’s Termination of Employment with
the Company are forfeited. In so specifying, the Committee may differentiate between the reason for the Participant’s Termination of Employment. 

  
 7.6 Value of SARs. When a Participant exercises a SAR, the Participant shall receive in settlement of such SAR an
amount equal to the value of the share appreciation for the number of SARs exercised payable in cash, Common Shares or a combination thereof. The share appreciation for a SAR is the amount by which the Fair Market Value of the underlying Common
Shares on the date of exercise of the SAR exceeds the base amount of the SAR. 
  
 7.7 Form of Payment. The Committee shall determine whether the appreciation in a SAR shall be paid in the form of cash, Common Shares or a combination of the two, in such proportion as the Committee deems
appropriate. For purposes of calculating the number of shares of Common Shares to be received, shares of Common Shares shall be valued at their Fair Market Value on the date of exercise of the SAR. If shares of Common Shares are received upon
exercise of a SAR, cash shall be delivered in lieu of any fractional Common Shares. 
  
 ARTICLE 8. PERFORMANCE UNITS 
  
 8.1 Award Agreement for Performance Units. Awards of Performance Units shall be evidenced by an Award Agreement, pursuant to Section 3.4. Award Agreements evidencing Performance Units intended to qualify as performance-based
compensation as described in section 162(m)(4)(C) of the Code shall contain such terms and conditions as may be necessary to meet the applicable provisions of section 162(m) of the Code. 
  
 8.2 General Requirements. Each Performance Unit shall represent the right of the Participant to receive an amount
based on the value of the Performance Unit, if performance goals established by the Committee are met. A Performance Unit shall be based on the Fair 

  

 - 14 - 

 
Market Value of a share of Common Shares or such other measurement base as the Committee deems appropriate. The Committee shall determine and set forth in
the Award Agreement the number of Performance Units to be granted and the requirements applicable to such Performance Units. The Committee shall determine which Employees, Consultants and/or Trustees shall receive an Award of a Performance Unit and
the amount of such Award. 
  
 8.3 Performance Period and
Performance Goals. When Performance Units are granted, the Committee shall establish the performance period during which performance shall be measured (the “Performance Period”), performance goals applicable to the Performance Units
(“Performance Goals”) and such other conditions of the Award as the Committee deems appropriate. Performance Goals may relate to the financial performance of the Company or its Subsidiaries, the performance of Common Shares, individual
performance or such other criteria as the Committee deems appropriate. 
  
 8.4 Payment With Respect to Performance Units. At the end of each Performance Period, the Committee shall determine to what extent the Performance Goals and other conditions of the Performance Units are met, the value of the
Performance Units (if applicable), and the amount, if any, to be paid with respect to the Performance Units. Payments with respect to Performance Units shall be made in cash, in Common Shares or in a combination of the two, as determined by the
Committee. 
  
 ARTICLE 9. OTHER EQUITY GRANTS 
  
 9.1 Award Agreement for Equity Grants. Awards of Equity Grants shall
be evidenced by an Award Agreement, pursuant to Section 3.4. Award Agreements evidencing Equity Grants intended to qualify as performance-based compensation as described in section 162(m)(4)(C) of the Code shall contain such terms and conditions as
may be necessary to meet the applicable provisions of section 162(m) of the Code. 
  
 9.2 Award of Equity Grants. 
  

	 	9.2.1	The Committee may from time to time, in its absolute discretion, grant other types of stock-based awards (including the grant of unrestricted Common Shares), cash-based awards or
other equity-based awards under the Plan. The Committee, in its absolute discretion, consistent with this Plan: 

  

	 	9.2.1.1.	Determine which Employees, Consultants and/or Trustees shall receive an Award of an Equity Grant; 

  

	 	9.2.1.2.	Determine the type of stock-based, cash-based or equity-based award to be awarded as Equity Grants to Employee, Consultants and/or Trustees; 

  

	 	9.2.1.3.	Determine the aggregate number of Common Shares, total cash amount, and/or other equity that will be applicable to such Equity Grants; and 

  

 - 15 - 

	 	9.2.1.4.	Determine the terms and conditions of such Equity Grants and the timing of when any restrictions on such Equity Grants lapse. 

  

	 	9.2.2	Common Shares to be issued under the OPP to participants in the OPP shall be issued under the Plan pursuant to this Article 9. 

  
 ARTICLE 10. DEFERRALS 
  
 10.1 Deferrals. The Committee may permit or require a Participant to
defer receipt of the payment of cash or the delivery of Common Shares that would otherwise be due to such Participant in connection with any Option or SAR, the lapse or waiver of restrictions applicable to Restricted Common Shares or the
satisfaction of any requirements or objectives with respect to Performance Units or Equity Grants. If any such deferral election is permitted or required, the Committee shall, in its sole discretion, establish rules and procedures for such
deferrals. 
  
 ARTICLE 11. ADMINISTRATION 

 
 11.1 Committee. The Plan shall be administered by the Compensation
Committee of the Board. The Board may remove members, add members, and fill vacancies on the Committee from time to time, all in accordance with the Company’s Articles of Incorporation, by-laws, and with applicable law. The majority vote of the
Committee, or for acts taken in writing without a meeting by the unanimous written consent of the members of the Committee, shall be valid acts of the Committee. Appointment of Committee members shall be effective upon acceptance of appointment.
Committee members may resign at any time by delivering written notice to the Board. 
  
 11.2 Duties and Powers of Committee. It shall be the duty of the Committee to conduct the general administration of this Plan in accordance with its provisions. The Committee shall have the power to interpret
this Plan and the agreements pursuant to which Options, Restricted Common Shares, SARs, Performance Units and Equity Grants are granted or awarded, and to adopt such rules for the administration, interpretation, and application of this Plan as are
consistent therewith and to interpret, amend or revoke any such rules. Any such Award under this Plan need not be the same with respect to each Participant. Any such interpretations and rules with respect to Incentive Stock Options shall be
consistent with the provisions of section 422 of the Code. 
  
 11.3 Compensation; Professional Assistance; Good Faith Actions. Unless otherwise determined by the Board, members of the Committee shall receive no compensation for their services. All expenses and liabilities which members of the
Committee incur in connection with the administration of this Plan shall be borne by the Company. The Committee may, with the approval of the Board, employ attorneys, consultants, accountants, appraisers, brokers, or other persons. The Committee,
the Company and the Company’s officers and Trustees shall be entitled to rely upon the advice, opinions or valuations of any such persons. All actions taken and all interpretations and determinations made by the Committee or the Board in good
faith shall be final and binding upon all Participants, the Company and all other interested persons. No members of the Committee or Board shall be personally liable for any action, determination 

  

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or interpretation made in good faith with respect to this Plan and any Awards made hereunder, and all members of the Committee and the Board shall be fully
protected by the Company in respect of any such action, determination or interpretation. 
  
 ARTICLE 12. MISCELLANEOUS PROVISIONS 
  
 12.1 Transferability. 
  

	 	12.1.1	Not Transferable. No Option, Restricted Common Share, SAR, Performance Unit, Equity Grant or any right therein or part thereof shall be liable for the debts, contracts or
engagements of the Participant or his successors in interest or shall be subject to disposition by transfer, alienation, anticipation, pledge, encumbrance, assignment or any other means, whether such disposition be voluntary or involuntary or by
operation of law by judgment, levy, attachment, garnishment or any other legal or equitable proceedings (including bankruptcy), and any attempted disposition thereof shall be null and void and of no effect; provided, however, that
nothing in this Section 12.1.1 shall prevent transfers by will or by the applicable laws of descent and distribution or as permitted in Section 12.1.2 below. The Committee shall not be required to accelerate the exercisabilty of an Award or
otherwise take any action pursuant to a divorce or similar proceeding in the event Participant’s spouse is determined to have acquired a community property interest in all or any portion of an Award. Except as provided below, during the
lifetime of the Participant, only he may exercise an Award (or any portion thereof) granted to him under the Plan. After the death of the Participant, any exercisable portion of an Award, prior to the time when such portion becomes unexercisable
under the Plan or the applicable Award Agreement or other agreement, may be exercised by his personal representative or by any person empowered to do so under the deceased Participant’s will or under the then applicable laws of descent and
distribution. 

  

	 	12.1.2	Transfer of Non-Qualified Stock Options. Notwithstanding the foregoing, the Committee may provide in an Award Agreement, or amend an otherwise outstanding Award Agreement to
provide, that a Participant may transfer Non-Qualified Stock Options to family members, or one or more trusts or other entities for the benefit of or owned by family members, consistent with applicable securities laws, according to such terms as the
Committee may determine; provided that the Participant receives no consideration for the transfer of a Non-Qualified Stock Option and the transferred Non-Qualified Stock Option shall continue to be subject to the same terms and conditions as were
applicable to the Non-Qualified Stock Option immediately before the transfer. 

  

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 12.2 Amendment, Suspension or Termination of this Plan. 
  

	 	12.2.1.1.	Except as otherwise provided in this Section 12.2, this Plan may be wholly or partially amended or otherwise modified, suspended or terminated at any time or from time to time by
the Board or the Committee; provided, however, no action of the Board or the Committee may be taken that would otherwise require shareholder approval as a matter of applicable law, regulation or rule, without the consent of the
shareholders. The Board and Committee cannot reprice, replace or regrant through cancellation or by lowering the price per share of a previously granted Option, unless the shareholders of the Company provide prior approval. No amendment, suspension
or termination of this Plan shall, without the consent of the Participant, impair any rights or obligations under any Award theretofore made to the Participant, unless such right has been reserved in the Plan or the Award Agreement. No Award may be
made during any period of suspension or after termination of this Plan. In no event may any Award be made under this Plan after September 9, 2012. 

  

	 	12.2.2	Notwithstanding the foregoing, the Board or the Committee may take any action necessary to comply with a change in applicable law, irrespective of the status of any Award as vested
or unvested, exercisable or unexercisable, at the time of such change in applicable law. 

  
 12.3 Changes in Common Shares or Assets of the Company, Acquisition or Liquidation of the Company and Other Corporate Events. 
  

	 	12.3.1	In the event that the Committee determines, in its sole discretion, that any dividend or other distribution (whether in the form of cash, Common Shares, other securities, or other
property), on account of a recapitalization, reclassification, stock split, reverse stock split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase, liquidation, dissolution, or sale, transfer, exchange or other
disposition of all or substantially all of the assets of the Company, or exchange of Common Shares or other securities of the Company, issuance of warrants or other rights to purchase Common Shares or other securities of the Company, or other
similar event, affects the Common Shares such that an adjustment is appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, then the Committee may, in such manner as
it may deem equitable, adjust any or all of the following: 

  

	 	12.3.1.1.	the maximum number of Common Shares available for Awards; 

  

	 	12.3.1.2.	the maximum number of Common Shares subject to the Award Limit; 

  

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	 	12.3.1.3.	the number and kind of Common Shares with respect to which an Award may be made under the Plan; 

  

	 	12.3.1.4.	the number and kind of Common Shares subject to an outstanding Award; and 

  

	 	12.3.1.5.	the exercise price or purchase price with respect to any Award. 

  

	 	12.3.2	In the event of any transaction or event described in Section 12.3.1 or any unusual or nonrecurring transactions or events affecting the Company, any Affiliate, or the financial
statements of the Company or any Affiliate, or of changes in applicable laws, regulations, or accounting principles, the Committee in its discretion is hereby authorized to take any one or more of the following actions whenever the Committee
determines, in its sole discretion, that such action is appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan or with respect to any Award or right under this Plan,
to facilitate such transactions or events or to give effect to such changes in laws, regulations or principles: 

  

	 	12.3.2.1.	the Committee may provide, either by the terms of the Award Agreement or by action taken prior to the occurrence of such transaction or event and either automatically or upon the
Participant’s request, for (i) the purchase of any such Award for the payment of an amount of cash equal to the amount that could have been attained upon the exercise of such Award or realization of the Participant’s rights had such Award
been currently exercisable, payable, fully vested or the restrictions lapsed, or (ii) the replacement of such Award with other rights or property selected by the Committee; 

  

	 	12.3.2.2.	the Committee may provide in the terms of such Award Agreement or by action taken prior to the occurrence of such transaction or event that the Award cannot be exercised after such
event; 

  

	 	12.3.2.3.	the Committee may provide, by the terms of such Award or by action taken prior to the occurrence of such transaction or event, that for a specified period of time prior to such
transaction or event, such Award shall be exercisable, notwithstanding anything to the contrary in Section 4.6 or the provisions of such Award; 

  

	 	12.3.2.4.	the Committee may provide, by the terms of such Award or by action taken prior to the occurrence of such transaction or event, that upon such event, such Award be assumed by the
successor or survivor corporation, or a parent or subsidiary thereof, or shall be 

  

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	 	    	substituted for by similar awards covering the shares of the successor or survivor corporation, or a parent or subsidiary thereof, with appropriate adjustments as to the number and
kind of shares and prices; 

  

	 	12.3.2.5.	the Committee may make adjustments in the number, type and kind of shares of Common Shares subject to outstanding Options, Restricted Common Shares, SARs, Performance Units and
Equity Grants and/or in the terms and conditions of (including the grant or exercise price), and the criteria included in, outstanding Awards, and rights and awards which may be granted in the future; and 

  

	 	12.3.2.6.	the Committee may provide either by the terms of a Restricted Common Share Award or by action taken prior to the occurrence of such event that, for a specified period of time prior
to such event, the restrictions imposed under an Award Agreement upon some or all shares of the Restricted Common Shares may be terminated, and some or all shares of such Restricted Common Shares may cease to be subject to forfeiture under Section
6.5 or repurchase under Section 6.6 after such event. 

  

	 	12.3.3	Subject to Section 12.6, the Committee may, in its sole discretion, at the time of grant, include such further provisions and limitations in any Award Agreement or certificate, as
it may deem appropriate and in the best interests of the Company; provided, however, that no such provisions or limitations shall be contrary to the terms of the Participant’s Employment Agreement or the terms of this Plan.

  

	 	12.3.4	Notwithstanding the foregoing, in the event of a transaction or event described in Sections 12.3.1 or any unusual or nonrecurring transactions or events affecting the Company, no
action pursuant to this Section 12.3 shall be taken that is specifically prohibited under applicable law, the rules and regulations of any governing governmental agency or national securities exchange, or the terms of the Participant’s
Employment Agreement. 

  
 12.4 Continued
Employment. Nothing in this Plan or in any Award Agreement hereunder shall confer upon any Participant any right to continue his employment, consulting or similar relationship with the Company or an Affiliate, whether as an Employee, Consultant,
Trustee or otherwise, or shall interfere with or restrict in any way the rights of the Company or an Affiliate, which are hereby expressly reserved, to discharge or terminate the relationship with any Participant at any time for any reason
whatsoever, subject to the terms of any Employment Agreement entered into by the Participant and the Company or Affiliate. 
  
 12.5 Tax Withholding. The Company shall be entitled to require payment in cash or deduction from other compensation payable to each Participant of
any sums required by federal, 

  

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state or local tax law to be withheld with respect to the issuance, vesting, exercise or lapse of any restriction of any Option, Restricted Common Share,
SAR, Performance Unit or Equity Grant. The Committee may, in its sole discretion and in satisfaction of the foregoing requirement, allow such Participant to elect to have the Company withhold shares of Common Shares otherwise issuable under such
Award (or allow the return of shares of Common Shares) having a Fair Market Value equal to the sums required to be withheld; provided, however, that any Common Shares withheld shall be no greater than an amount that does not exceed the
Participant’s minimum applicable withholding tax rate for federal (including FICA), state and local tax liabilities. 
  
 12.6 Forfeiture Provisions. Pursuant to its general authority to determine the terms and conditions applicable to Awards, the Committee shall have
the right to provide, in the terms of such Award, or to require the recipient to agree by separate written instrument, that the Award shall terminate and any unexercised portion of such Award (whether or not vested) shall be forfeited, if (a) a
Termination of Employment occurs prior to a specified date, or within a specified time period following receipt or exercise of the Award, (b) the recipient at any time, or during a specified time period, engages in any activity in competition with
the Company, or which is inimical, contrary or harmful to the interests of the Company, as further defined by the Committee or as specified in the Participant’s Employment Agreement, or (c) the Company terminates the Employee with or without
Cause. 
  
 12.7 Limitations Applicable to Section 16 Persons
and Performance-Based Compensation. Notwithstanding any other provision of this Plan, any Option, Restricted Common Shares, SARs, Performance Units or Equity Grants granted or awarded to any individual who is then subject to section 16 of the
Exchange Act shall be subject to any additional limitations set forth in any applicable exemptive rule under section 16 of the Exchange Act (including any amendment to Rule 16b-3 of the Exchange Act). To the extent permitted by applicable law,
Options granted or awarded hereunder shall be deemed amended to the extent necessary to conform to such applicable exemptive rule. Furthermore, notwithstanding any other provision of this Plan to the contrary, any Award which is granted to a Section
162(m) Participant and is intended to qualify as performance-based compensation as described in section 162(m)(4)(C) of the Code shall be subject to any additional limitations set forth in section 162(m) of the Code (including any amendment to
section 162(m) of the Code) or any regulations or rulings issued thereunder that are requirements for qualification as performance-based compensation as described in section 162(m)(4)(C) of the Code, and this Plan shall be deemed amended to the
extent necessary to conform to such requirements. 
  
 12.8
Restrictive Legend. All of the Common Shares now outstanding or hereafter issued and/or owned shall be held and transferred subject to the terms of the restrictions herein contained and every certificate representing a share of Common Shares
shall contain the following legend: “These shares are held subject to the terms of a certain Company plan and such shares may only be transferred in accordance with the terms thereof. A copy of such plan is available at the office of the
Company.” 
  
 12.9 Effect of Plan Upon Option and
Compensation Plans. The adoption of this Plan shall not affect any other compensation or incentive plans in effect for the Company. Nothing in 

  

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this Plan shall be construed to limit the right of the Company (i) to establish any other forms of incentives or compensation for Employees, Consultants or
Trustees, or (ii) to grant or assume options or other rights otherwise than under this Plan in connection with any proper corporate purpose including but not by way of limitation, the grant or assumption of options in connection with the acquisition
by purchase, lease, merger, consolidation or otherwise, of the business, stock or assets of any corporation, partnership, limited liability company, firm or association. 
  
 12.10 Compliance with Laws. This Plan, the granting and vesting of Awards under this Plan and the issuance and
delivery of shares of Common Shares and the payment of money under this Plan or under Awards granted hereunder are subject to compliance with all applicable federal and state laws, rules and regulations (including but not limited to state and
federal securities law and federal margin requirements) and to such approvals by any listing, regulatory or governmental authority as may, in the opinion of counsel for the Company, be necessary or advisable in connection therewith. Any securities
delivered under this Plan shall be subject to such restrictions, and the person acquiring such securities shall, if requested by the Company, provide such assurances and representations to the Company as the Company may deem necessary or desirable
to assure compliance with all applicable legal requirements. To the extent permitted by applicable law, the Plan shall be deemed amended to the extent necessary to conform to such laws, rules and regulations. 
  
 12.11 Titles. Titles are provided herein for convenience only and are
not to serve as a basis for interpretation or construction of this Plan. 
  
 12.12 Governing Law. This Plan and any agreements hereunder shall be administered, interpreted and enforced under the laws of the Commonwealth of Pennsylvania, without regard to conflicts of laws thereof.

  

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