Document:

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                                                                   Exhibit 10.14

                       CABOT MICROELECTRONICS CORPORATION
                           2000 EQUITY INCENTIVE PLAN

1.       PURPOSE

         The purpose of this 2000 Equity Incentive Plan (the "Plan") is to
advance the interests of Cabot Microelectronics Corporation (the "Company") and
its stockholders by enhancing the Company's ability to (a) attract and retain
employees, directors, consultants and advisors who are in a position to make
significant contributions to the success of the Company and its subsidiaries;
(b) reward these individuals for these contributions; (c) encourage these
individuals to take into account the long-term interests of the Company and its
stockholders; and (d) reward individuals who have contributed to the Company's
success (including the success of the Company's initial public offering), in the
case of each of (a) through (d), through ownership of shares of the Company's
common stock, par value $.001 per share ("Stock").

2.       ADMINISTRATION

         (a) Prior to the "IPO Effective Date" (as defined in the Master
Separation Agreement, dated March 28, 2000, to which the Company is a party (the
"Master Separation Agreement")), the Plan shall be administered by the Board of
Directors of Cabot Corporation and the Board of Directors of the Company, or
either of them, and, from and after the IPO Effective Date, the Plan shall be
administered by the Compensation Committee of the Board of Directors (the
"Board") of the Company (the entity that administers the Plan, the "Committee").
The Committee shall hold meetings at such times as may be necessary for the
proper administration of the Plan. The Committee shall keep minutes of its
meetings. If the Committee consists of more than one member, a quorum shall
consist of not fewer than two members of the Committee and a majority of a
quorum may authorize any action. Any decision or determination reduced to
writing and signed by a majority of all of the members of the Committee shall be
as fully effective as if made by a majority vote at a meeting duly called and
held. The Committee shall consist of at least one director of the Company and
may consist of the entire Board; provided, however, that, from and after the IPO
Effective Date, (i) if the Committee consists of less than the entire Board,
then, with respect to any Committee action relating to an Employee who is
subject to Section 16 of the Securities Exchange Act of 1934, as amended (the
"1934 Act"), the Committee shall consist of at least two directors of the
Company, each of whom shall be a "Non-Employee Director" as defined in Rule
16b-3(b)(3) promulgated thereunder, and (ii) to the extent necessary for any
Award intended to qualify as "qualified performance-based compensation" under
Section 162(m) of the Internal Revenue Code of 1986, as amended (the "Code"), to
so qualify, each member of the Committee shall be an "outside director" (as
defined in Section 162(m) and the regulations promulgated thereunder). For
purposes of the preceding sentence, if one or more members of the Committee is
neither a Non-Employee Director nor an outside director and is recused or
abstains from voting with respect to an action taken by the Committee, then the
Committee, with respect to that action, shall be deemed to consist only of the
members of the Committee who are not so

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recused and who have not abstained from voting. Subject to applicable law, the
Committee may delegate its authority under the Plan to any other person or
persons.

         (b) No member of the Committee shall be liable for any action, failure
to act, determination or interpretation made in good faith with respect to this
Plan or any transaction hereunder. The Company hereby agrees to indemnify each
member of the Committee for all costs and expenses and, to the fullest extent
permitted by applicable law, any liability incurred in connection with defending
against, responding to, negotiating for the settlement of or otherwise dealing
with any claim, cause of action or dispute of any kind arising in connection
with any actions in administering this Plan or in authorizing or denying
authorization to any transaction hereunder.

         (c) Subject to the express terms and conditions set forth herein, the
Committee shall have the power from time to time:

                  (i) to determine the Employees to whom Awards shall be granted
under the Plan and the number of shares of Stock subject to such Awards; to
prescribe the terms and conditions (which need not be identical) of each such
Award; and to make any amendment or modification to any Award Agreement
consistent with the terms of the Plan;

                  (ii) to construe and interpret the Plan and the Awards granted
hereunder; to establish, amend and revoke rules and regulations for the
administration of the Plan, including, but not limited to, correcting any defect
or supplying any omission, or reconciling any inconsistency in the Plan or in
any Award Agreement, in the manner and to the extent it shall deem necessary or
advisable; to interpret the Plan and applicable Award Agreements so that the
Plan and its operation complies with Section 16 of the 1934 Act, Sections 162(m)
and 422 of the Code and other applicable law; and otherwise to give full effect
to the Plan;

                  (iii) to exercise its discretion with respect to the powers
and rights granted to it as set forth in the Plan; and

                  (iv) generally, to exercise such powers and to perform such
acts as are deemed by it necessary or advisable to promote the best interests of
the Company with respect to the Plan.

All decisions and determinations of the Committee in the exercise of the
foregoing powers shall be final, binding and conclusive upon the Company, its
affiliates, all Employees and all other persons claiming any interest herein.

3.       EFFECTIVE DATE AND TERM OF PLAN

         The Plan will become effective on the date on which it is adopted by
the Board, subject to the approval of Cabot Corporation as the sole stockholder
of the Company. No Award may be granted under the Plan after the tenth
anniversary of the date on which this Plan was adopted by the Board, but Awards
previously granted may extend beyond that date.

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4.       SHARES SUBJECT TO THE PLAN

         Subject to adjustment as provided in Section 8.6, and subject to the
next following sentence and Section 6.3(a), the maximum number of shares of
Stock that may be delivered under the Plan will be (a) 3,500,000 shares of
Stock; plus (b) any shares of Stock subject to Awards granted under the Plan and
thereafter forfeited; plus (c) without duplication for shares counted under the
immediately preceding clause, a number of shares of Stock equal to the number of
shares repurchased by the Company in the open market or otherwise and having an
aggregate repurchase price no greater than the amount of cash proceeds received
by the Company from the sale of shares of Stock under the Plan; plus (d) any
shares of Stock surrendered to the Company in payment of the exercise price of
Options issued under the Plan. However, in no event shall the Company issue ISOs
(as defined in Section 6.2(a)) under the Plan covering more than 1,750,000
shares of Stock.

         Stock delivered under the Plan may be either from authorized but
unissued Stock, from treasury shares or from shares of Stock purchased in
open-market transactions and private sales.

5.       ELIGIBILITY AND PARTICIPATION

         Those eligible to receive Awards under the Plan will be employees,
directors, consultants and advisors of the Company or any of its affiliates
("Employees") who, in the opinion of the Committee, are in a position to make a
significant contribution to the success of the Company and its subsidiaries. An
"affiliate" for purposes of the Plan is an entity that controls, is controlled
by or is under common control with, the Company. A "subsidiary" for purposes of
the Plan is an entity in which the Company owns, directly or indirectly, equity
interests possessing a majority of the total combined voting power of all
classes of equity. The Committee will from time to time select the Employees who
are to be granted Awards ("Participants"), but no Participant shall receive
Awards under the Plan covering more than 300,000 shares of Stock (subject to
adjustment as provided in Section 8.6) in any calendar year.

6.       TYPES OF AWARDS

         6.1.     RESTRICTED STOCK.

         (a) Nature of Restricted Stock Award. An Award of Restricted Stock
entitles the recipient to acquire, at such time or times as the Committee may
determine, shares of Stock subject to the restrictions described in paragraph
(d) below ("Restricted Stock"). The Committee may require, as a condition to an
Award of Restricted Stock, that an Employee deliver to the Company a purchase
price in any amount set by the Committee for such Restricted Stock. In no event
shall the Company issue more than 875,000 shares of Restricted Stock under the
Plan.

         (b) Payment for Restricted Stock. In the discretion of the Committee,
an Award Agreement evidencing an Award of Restricted Stock may permit the
Participant to pay some or all of the purchase price thereof, or to meet any
Withholding Requirements to be met by the Participant in connection therewith,
in the form of a note from the Participant on such terms as

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the Committee shall determine. Such terms may include forgiveness of all or a
portion of any such note upon such conditions as the Committee may specify.

         (c) Rights as a Stockholder. A Participant who receives an Award of
Restricted Stock will have all the rights of a stockholder with respect to the
Stock, including voting and dividend rights, subject to the restrictions
described in paragraph (d) below and any other conditions imposed by the
Committee in the Award Agreement at the time of grant.

         (d) Restrictions. The restrictions on each grant of Restricted Stock
will lapse at such time or times, and on such terms and conditions (including
obtaining pre-established performance goals), as the Committee may specify.
Except as otherwise specifically provided by the Plan or by the Committee in any
particular case, until these restrictions lapse, Restricted Stock may not be
sold, assigned, transferred, pledged or otherwise encumbered or disposed of,
except that Restricted Stock may be pledged as security for the purchase price
thereof, or for loans used to fund any or all of the purchase price thereof or
Withholding Requirements met in connection with the purchase thereof. If the
Participant ceases to be an Employee before such restrictions have lapsed, the
Company shall have the right to repurchase the Restricted Stock for the amount
of any consideration (excluding services) it received for the Restricted Stock
plus, if the Committee shall so determine, an amount equal to the Withholding
Requirements met by the Participant in connection with the sale of the Stock, or
for such other consideration as the Committee shall determine, including for no
consideration if no consideration other than services was paid for such
Restricted Stock. The Committee shall not accelerate the time at which the
restrictions on all or any part of a grant of Restricted Stock will lapse,
except as the Committee may determine to be appropriate in connection with a
Participant's termination as an Employee.

         6.2.     OPTIONS.

         (a) Nature of Options. An Option is an Award entitling the recipient on
exercise thereof to purchase shares of Stock at a specified exercise price. Both
incentive stock options (as defined in Section 422 of the Code) ("ISOs") and
Options that are not ISOs may be granted under the Plan.

         (b) Exercise Price. The exercise price of an Option shall be determined
by the Committee and set forth in an applicable Award Agreement; provided,
however, that the exercise price of an ISO shall not be less than the Fair
Market Value of a share of the Stock on the date the ISO is granted (110% of the
Fair Market Value of a share of Stock on the date of grant in the case of an ISO
granted to an Employee who owns (within the meaning of Section 422(b)(6) of the
Code) stock possessing more than ten percent of the total combined voting power
of all classes of stock of the Company, or of a parent or a subsidiary (such
person, a "Ten Percent Shareholder")). For purposes of this Plan, "Fair Market
Value" on any date means the closing sales price of the Stock on such date on
the principal national securities exchange on which the Stock is listed or
admitted to trading, or, if the Stock is not so listed or admitted to trading,
the average of the per share closing bid price and per share closing asked price
on such date as quoted on the National Association of Securities Dealers
Automated Quotation System or such other market in which such prices are
regularly quoted, or, if there have been no published bid or

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asked quotations with respect to shares on such date, the Fair Market Value
shall be the value established by the Board in good faith and, in the case of an
ISO, in accordance with Section 422 of the Code; provided that the "Fair Market
Value" of any Option granted prior to the IPO Effective Date shall be the
initial public offering price of the Stock.

         (c) Duration of Options. The latest date on which an Option may be
exercised will be the tenth anniversary of the date the Option was granted (five
years in the case of an ISO granted to a Ten Percent Shareholder), or such
earlier date as may have been specified by the Committee in the Award Agreement
at the time the Option was granted.

         (d) Exercise of Options. An Option will become exercisable at such time
or times, and on such terms and conditions (including obtaining pre-established
performance goals), as the Committee may specify in the Award Agreement for such
Option. The Committee may at any time accelerate the time at which all or any
part of the Option may be exercised.

         Subject to the next following sentence, any exercise of an Option must
be in writing, signed by the proper person and delivered or mailed to the
Company, accompanied by (1) any documents required by the Committee and (2)
payment in full for the number of shares for which the Option is exercised. The
exercise price for any Stock purchased pursuant to the exercise of an Option
may, if permitted under the Award Agreement applicable to the Option, be paid in
the following forms: (a) cash; (b) the transfer, either actually or by
attestation, to the Company of shares of Stock that have been held by the
Participant for at least six months (or such lesser period as may be permitted
by the Committee) prior to the exercise of the Option, such transfer to be upon
such terms and conditions as determined by the Committee; or (c) a combination
thereof. In addition, Options may be exercised through a registered
broker-dealer pursuant to such cashless exercise procedures which are, from time
to time, deemed acceptable by the Committee. Any shares of Stock transferred to
the Company as payment of the exercise price under an Option shall be valued at
their Fair Market Value on the day of exercise of such Option. If requested by
the Committee, the Participant shall deliver the Award Agreement to the
Secretary of the Company who shall endorse thereon a notation of such exercise
and return such Award Agreement to the Participant. No fractional shares of
Stock (or cash in lieu thereof) shall be issued upon exercise of an Option, and
the number of shares of Stock that may be purchased upon exercise shall be
rounded to the nearest number of whole shares.

         (e) To the extent that the aggregate Fair Market Value (determined as
of the date of the grant) of shares of Stock with respect to which ISOs granted
under the Plan and "incentive stock options" (within the meaning of Section 422
of the Code) granted under all other plans of the Company or its subsidiaries
(in either case determined without regard to this Section 6.2(e)) are
exercisable by a Participant for the first time during any calendar year exceeds
$100,000, such ISOs shall be treated as Options which are not ISOs. In applying
the limitation in the preceding sentence in the case of multiple Options,
Options which are intended to be ISOs shall be treated as Options which are not
ISOs according to the order in which they were granted, such that the most
recently granted Options are first treated as Options which are not ISOs.

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         6.3.     SUBSTITUTE AWARDS.

         (a) The Committee may grant Awards to Employees who hold outstanding
awards of stock options and restricted stock granted under the equity incentive
awards of Cabot Corporation (the "Cabot Awards"), in cancellation of the Cabot
Awards. It is intended that such Awards shall preserve for the Participants the
economic values of the equity incentives for which such Awards are substituted
and shall be subject to substantially similar terms of conditions as the Cabot
Awards (but any such Awards shall reflect the performance of the Stock and not
the performance of Cabot common stock), in each case as determined by the
Committee in its sole discretion. Any cancellation of a Cabot Award pursuant to
this Section 6.3(a) shall be subject to the terms of such Cabot Award.

         (b) In connection with any acquisition by the Company or any of its
subsidiaries, the Committee may grant Awards to persons who became Employees in
connection with such acquisition in substitution for equity incentives held by
them in the seller or acquired entity. In such case the Committee may set the
prices and other terms of the substitute Awards at such amounts and in such
manner as it, in its sole discretion, deems appropriate to preserve for the
Participants the economic values of the equity incentives for which such Awards
are substitutes (as determined by the Committee in its sole discretion) or
otherwise to provide such incentives as the Committee may determine are
appropriate.

         (c) Unless required by applicable law, any substitute Awards granted
pursuant to Section 6.3 shall not count toward the share limitations set forth
in Section 4.

7.       EVENTS AFFECTING OUTSTANDING AWARDS

         7.1.     TERMINATION OF EMPLOYMENT.

         Except as set forth in an applicable Award Agreement, after a
Participant ceases to be an Employee, (i) Options held by a Participant shall
not be exercisable and all rights of the Participant with respect thereto shall
terminate, and (ii) shares of Restricted Stock with respect to which the
restrictions have not lapsed shall be immediately forfeited and must be
transferred to the Company in accordance with Section 6.1.

         7.2      CHANGE IN CONTROL.

         The Committee shall have the discretion to provide in applicable Award
Agreements that, in the event of a "Change in Control" (as defined in Appendix
A) of the Company, the following provisions will apply:

                  (a) Each outstanding Option (or such lesser portion of each
         Option as is set forth in an applicable Award Agreement) will
         immediately become exercisable in full.

                  (b) Each outstanding share of Restricted Stock (or such lesser
         number of shares as is set forth in an applicable Award Agreement) will
         immediately become free of the restrictions.

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                  (c) In the event of a Change in Control which is a merger or
         consolidation in which the Company is not the surviving corporation or
         which results in the acquisition of substantially all the Company's
         outstanding Stock by a single person or entity or by a group of persons
         or entities acting in concert, or in the event of a sale or transfer of
         all or substantially all of the Company's assets (a "Covered
         Transaction"), for the termination of all outstanding Options as of the
         effective date of the Covered Transaction, subject to the following: If
         the Covered Transaction follows a Change in Control or would give rise
         to a Change in Control, no Option will be so terminated (without the
         consent of the Participant) prior to the expiration of 20 days
         following the later of (i) the date on which the Award became fully
         exercisable and (ii) the date on which the Participant received written
         notice of the Covered Transaction.

8.       GENERAL PROVISIONS

         8.1.     DOCUMENTATION OF AWARDS.

         Awards will be evidenced by written instruments prescribed by the
Committee from time to time (each such instrument, an "Award Agreement"). Award
Agreements may be in the form of agreements, to be executed by both the
Participant and the Company, or certificates, letters or similar instruments,
acceptance of which will evidence agreement to the terms thereof and hereof.

         8.2.     RIGHTS AS A STOCKHOLDER; DIVIDEND EQUIVALENTS.

         Except as specifically provided by the Plan, the receipt of an Award
will not give a Participant rights as a stockholder, and the Participant will
obtain such rights, subject to any limitations imposed by the Plan or the Award
Agreement, upon actual receipt of Stock. However, the Committee may, on such
conditions as it deems appropriate, provide in an Award Agreement that a
Participant will receive a benefit in lieu of cash dividends that would have
been payable on any or all Stock subject to the Participant's Award had such
Stock been outstanding. Without limitation, the Committee may provide for
payment to the Participant of amounts representing such dividends, either
currently or in the future, or for the investment of such amounts on behalf of
the Participant.

         8.3      CONDITIONS ON DELIVERY OF STOCK.

         The Company will not be obligated to deliver any shares of Stock
pursuant to the Plan or to remove any restriction from shares of Stock
previously delivered under the Plan (a) until all conditions of the Award have
been satisfied or removed, (b) until, in the opinion of the Company's counsel,
all applicable federal and state laws and regulations have been complied with,
(c) if the outstanding Stock is at the time listed on any stock exchange, until
the shares to be delivered have been listed or authorized to be listed on such
exchange upon official notice of notice of issuance and (d) until all other
legal matters in connection with the issuance and delivery of such shares have
been approved by the Company's counsel. If the sale of Stock has not been
registered under the Securities Act of 1933, as amended, the Company may
require, as a condition to exercise of the Award, such representations or
agreements as counsel for the

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Company may consider appropriate to avoid violation of such Act and may require
that the certificates evidencing such Stock bear an appropriate legend
restricting transfer.

         8.4.     TAX WITHHOLDING.

         The Company will withhold from any payment made pursuant to an Award an
amount as may be necessary sufficient to satisfy all minimum federal, state and
local withholding tax requirements (the "Withholding Requirements").

         The Committee will have the right to require that the Participant or
other appropriate person remit to the Company an amount sufficient to satisfy
the Withholding Requirements, or make other arrangements satisfactory to the
Committee with regard to such requirements, prior to the delivery of any Stock.
If and to the extent that any such withholding is required, the Committee may
permit the Participant or such other person to elect at such time and in such
manner as the Committee provides to have the Company hold back from the shares
to be delivered, or to deliver to the Company, Stock having a value calculated
to satisfy the Withholding Requirements.

         If at the time an ISO is exercised the Committee determines that the
Company could be liable for Withholding Requirements with respect to a
disposition of the Stock received upon exercise, the Committee may require as a
condition of exercise that the person exercising the ISO agree (a) to inform the
Company promptly of any disposition of Stock received upon exercise of the ISO,
and (b) to give such security as the Committee deems adequate to meet the
potential liability of the Company for the Withholding Requirements and to
augment such security from time to time in any amount reasonably deemed
necessary by the Committee to preserve the adequacy of such security.

         8.5.     NONTRANSFERABILITY OF AWARDS.

         No Option shall be transferable by a Participant otherwise than by will
or by the laws of descent and distribution or, in the case of an Option other
than an ISO, pursuant to a domestic relations order (within the meaning of Rule
16a-12 promulgated under the Exchange Act), and an Option shall be exercisable
during the lifetime of such Participant only by such Participant or such
Participant's executor or administrator or by the person or persons to whom the
Option is transferred by will or the applicable laws of descent and distribution
(such person, the Participant's "Legal Representative"). Notwithstanding the
foregoing sentence, the Committee may set forth in an Award Agreement evidencing
an Option (other than an ISO), that the Option may be transferred to members of
the Participant's immediate family, to trusts solely for the benefit of such
immediate family members and to partnerships in which such family members and/or
trusts are the only partners, and for purposes of this Plan, such a transferee
of an Option shall be deemed to be the Participant. For this purpose, "immediate
family" shall refer only to the Participant's spouse, parents, children,
stepchildren and grandchildren and the spouses of such parents, children,
stepchildren and grandchildren. The terms of an Option shall be final, binding
and conclusive upon the beneficiaries, executors, administrators, heirs and
successors of the Participant.

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         8.6.     ADJUSTMENTS IN THE EVENT OF CERTAIN TRANSACTIONS.

         In the event that the outstanding shares of Stock are changed into or
exchanged for a different number or kind of shares of stock, other securities or
other property of the Company, an affiliate or another legal entity, whether
through merger, consolidation, reorganization, recapitalization, stock dividend,
stock split-up or other substitution of securities of the Company, an affiliate
or another entity, the Committee shall make appropriate adjustments to the
maximum number and kind of shares of stock or other equity interest as to which
Awards may be granted under the Plan and the number and kind of shares of stock
or other equity interest with respect to which Awards have been granted under
the Plan, the exercise prices for such shares or other equity interest subject
to Options and any other economic terms of Awards granted under the Plan; and
provided, that, in the event of a merger of the Company with or into another
entity, any adjustment provided for in the applicable agreement and plan of
merger (or similar document) shall be conclusively deemed to be appropriate for
purposes of this Section 8.6. The Committee's adjustment shall be final and
binding for all purposes of the Plan and each Award Agreement entered into under
the Plan. Unless the Committee otherwise determines, no adjustment provided for
in this Section 8.6 shall require the Company to issue a fractional share, and,
in such event, with respect to each Award Agreement the total adjustment as to
the number of shares for which Awards have been granted shall be effected by
rounding down to the nearest whole number of shares.

         8.7.     EMPLOYMENT RIGHTS.

         Neither the adoption of the Plan nor the grant of Awards will confer
upon any person any right to continued employment with the Company or any
subsidiary or affect in any way the right of the Company or affiliate to
terminate an employment relationship at any time.

         8.8.     PAYMENT FOR STOCK; LOANS.

         Stock awarded under this Plan as Restricted Stock or received upon
exercise of an Option may be paid for with such legal consideration as the
Committee may determine. If and to the extent authorized by the Committee, the
Company may permit Participants to pay for Stock with promissory notes, and may
make loans to Participants of all or a portion of any Withholding Requirements
to be met in connection with the grant, exercise or vesting of any Award. Any
such extensions of credit may be secured by Stock or other collateral, or may be
made on an unsecured basis, as the Committee may determine.

9.       DISCONTINUANCE, CANCELLATION, AMENDMENT AND TERMINATION

         The Committee may at any time discontinue granting Awards under the
Plan. The Board may at any time or times amend the Plan and, with the consent of
the holder thereof, any outstanding Award. The Committee may at any time
terminate the Plan as to any further grants of Awards, provided that (except to
the extent expressly required or permitted by the Plan) no such amendment will,
without the approval of the stockholders of the Company, (a) increase the
maximum number of shares available under the Plan, (b) extend the time within
which Awards may be granted, or (c) amend the provisions of this Section 9, and
no amendment or termination

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of the Plan may adversely affect the rights of any Participant (without his or
her consent) under any Award previously granted.

                                            CABOT MICROELECTRONICS CORPORATION

                                            By /s/ Matthew Neville
                                               --------------------------

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                                   APPENDIX A

A "Change in Control" shall be deemed to have occurred if, following the
"Distribution" (as defined in the Master Separation Agreement):

         (a) any "person" as such term is used in Sections 13(d) and 14(d) of
the 1934 Act (other than (i) the Company, (ii) any subsidiary of the Company,
(iii) any trustee or other fiduciary holding securities under an employee
benefit plan of the Company or of any subsidiary of the Company, or (iv) any
company owned, directly or indirectly, by the stockholders of the Company in
substantially the same proportions as their ownership of stock of the Company),
is or becomes the "beneficial owner" (as defined in Section 13(d) of the 1934
Act), together with all Affiliates and Associates (as such terms are used in
Rule 12b-2 of the General Rules and Regulations under the 1934 Act) of such
person, directly or indirectly, of securities of the Company representing 25% or
more of the combined voting power of the Company's then outstanding securities;
or

         (b) the stockholders of the Company approve a merger or consolidation
of the Company with any other company, other than (i) 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), in combination with the ownership of any trustee or other fiduciary
holding securities under an employee benefit plan of the Company or any
subsidiary of the Company, at least 65% of the combined voting power of the
voting securities of the Company or such surviving entity outstanding
immediately after such merger or consolidation or (ii) a merger or consolidation
effected to implement a recapitalization of the Company (or similar transaction)
after which no "person" (with the method of determining "beneficial ownership"
used in clause (a) of this definition) owns more than 25% of the combined voting
power of the securities of the Company or the surviving entity of such merger or
consolidation; or

         (c) during any period of two consecutive years (not including any
period prior to the execution of the Plan), individuals who at the beginning of
such period constitute the Board, and any new director (other than a director
designated by a person who has conducted or threatened a proxy contest, or has
entered into an agreement with the Company to effect a transaction described in
clause (a), (b) or (d) of this definition) whose election by the Board or
nomination for election by the Company's stockholders was approved by a vote of
at least two-thirds (2/3) 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 cease for any reason to constitute at least
a majority thereof; or

         (d) the stockholders of the Company approve a plan of complete
liquidation of the Company or an agreement for the sale or disposition by the
Company of all or substantially all of the Company's assets.

                                      -11-<PAGE>   1
                                                                   Exhibit 10.15

                       CABOT MICROELECTRONICS CORPORATION
                          EMPLOYEE STOCK PURCHASE PLAN

                                    ARTICLE I

                                  INTRODUCTION

1.01  Purpose. The purpose of the Cabot Microelectronics Corporation Employee
      Stock Purchase Plan (the "Plan") is to provide employees of Cabot
      Microelectronics Corporation (the "Company") and its Designated Subsidiary
      Corporations with an opportunity to purchase Common Stock of the Company
      through accumulated payroll deductions.

1.02  Rules of Interpretation. It is the intention of the Company to have the
      Plan qualify as an "employee stock purchase plan" under Section 423 of the
      Internal Revenue Code of 1986, as amended (the "Code"), and the provisions
      of the Plan, accordingly, shall be construed so as to extend and limit
      participation in a manner consistent with the requirements of that section
      of the Code; provided, however, that the Committee shall have the
      discretion to cause the options granted in one or more Offering Periods
      under the Plan to be options to which Section 423 of the Code does not
      apply.

                                   ARTICLE II

                                   DEFINITIONS

2.01 "Board" shall mean the Board of Directors of the Company.

2.02  "Change in Capitalization" shall mean any increase or reduction in the
      number of shares of Common Stock, or any change (including, but not
      limited to, in the case of a spin-off, dividend or other distribution in
      respect of shares of Common Stock, a change in value) in the shares of
      Common Stock or exchange of shares of Common Stock for a different number
      or kind of shares, other equity interests or other property of the Company
      or another entity, by reason of a reclassification, recapitalization,
      merger, consolidation, reorganization, spin-off, split-up, issuance of
      warrants or rights or debentures, stock dividend, stock split or reverse
      stock split, cash dividend, property dividend, combination or exchange of
      shares, repurchase of shares, change in corporate structure or otherwise.

2.03 "Change in Control" shall be as defined in Appendix A.

2.04 "Code" shall mean the Internal Revenue Code of 1986, as amended.

<PAGE>   2

2.05 "Common Stock" shall mean the Common Stock of the Company.

2.06  "Company" shall mean Cabot Microelectronics Corporation, a Delaware
      corporation.

2.07  "Compensation" shall mean the gross cash compensation (including base
      salary, shift premium, overtime earnings and cash bonuses exclusive of
      relocation and sign-on bonuses) paid by the Company or a Designated
      Subsidiary Corporation in accordance with the terms of employment, but
      excluding all bonus payments, expense allowances and compensation paid in
      a form other than cash.

2.08 "Committee" shall mean the committee described in Article XI.

2.09  "Designated Subsidiary Corporation" shall mean any Subsidiary of the
      Company which has been designated by the Committee from time to time in
      its sole discretion as eligible to participate in the Plan.

2.10  "Employee" shall mean any individual who is a common law employee of the
      Company or a Designated Subsidiary Corporation for tax purposes whose
      customary employment with the Company is at least twenty (20) hours per
      week and more than five (5) months in any calendar year.

2.11 "Enrollment Date" shall mean the first day of each Offering Period.

2.12 "Exercise Date" shall mean the last day of each Offering Period.

2.13  "Fair Market Value" shall mean, as of any date, the value of a share of
      Common Stock determined as follows:

      2.13.1  If the Common Stock is listed on any established stock exchange or
              a national market system, including without limitation the Nasdaq
              National Market or The Nasdaq SmallCap Market of The Nasdaq Stock
              Market, its Fair Market Value shall be the closing sales price for
              a share of Common Stock (or the closing bid, if no sales were
              reported) as quoted on such exchange or system on the date of such
              determination, as reported in The Wall Street Journal or such
              other source as the Committee deems reliable, or;

      2.13.2  If the Common Stock is regularly quoted by a recognized securities
              dealer but selling prices are not reported, its Fair Market Value
              shall be the mean of the closing bid and asked prices for a share
              of the Common Stock on the date of such determination, as reported
              in The Wall Street Journal or such other source as the Committee
              deems reliable, or;

<PAGE>   3

      2.13.3  In the absence of an established market for the Common Stock, the
              Fair Market Value of a share thereof shall be determined in good
              faith by the Committee.

      2.13.4  Notwithstanding the above, in the case of the first day of the
              initial Offering Period, Fair Market Value shall mean the public
              offering price in the Initial Public Offering.

2.14  "Initial Public Offering" shall mean the first public offering of the
      Common Stock pursuant to the Securities Act of 1933, as amended.

2.15  "Offering Period" shall mean a period of approximately six (6) months
      commencing on the first Trading Day on or after January 1st and
      terminating on the last Trading Day in the period ending the following
      June 30th, or commencing on the first Trading Day on or after July 1st and
      terminating on the last Trading Day in the period ending the following
      December 31st, provided, however, that the first Offering Period under the
      Plan shall commence on the first date on which quotations are available
      for the Common Stock on any established stock exchange or a national
      market system and shall end on a Trading Day selected by the Committee
      consistent with Section 423 of the Code. The duration of Offering Periods
      may be changed pursuant to Sections 13.05 and 13.06.

2.16  "Plan Representative" shall mean any person designated from time to time
      by the Committee to receive certain notices and take certain other
      administrative actions relating to participation in the Plan.

2.17  "Plan" shall mean the Cabot Microelectronics Corporation Employee Stock
      Purchase Plan.

2.18  "Purchase Price" shall mean an amount set by the Committee, but not less
      than the lesser of 85% of the Fair Market Value of a share of Common Stock
      on the Enrollment Date or on the Exercise Date, whichever is lower;
      provided, however, that the Purchase Price may be adjusted by the Board
      pursuant to Section 13.06.

2.19  "Subsidiary" shall mean a corporation, domestic or foreign, of which not
      less than 50% of the voting shares are held by the Company or a
      Subsidiary, whether or not such corporation now exists or is hereafter
      organized or acquired by the Company or a Subsidiary.

2.20  "Trading Day" shall mean a day on which national stock exchanges and the
      Nasdaq System are open for trading.

<PAGE>   4

                                   ARTICLE III

                          ELIGIBILITY AND PARTICIPATION

3.01  Eligibility. Each Employee on an Enrollment Date of an Offering Period
      shall be eligible to participate in such Offering Period. Persons who are
      not Employees shall not be eligible to participate in such Offering
      Period. Employees of Cabot Corporation and its subsidiaries, other than
      the Company and its Designated Subsidiary Corporations, are not eligible
      to participate in the Plan.

3.02  Restrictions on Participation. Notwithstanding any provision of the Plan
      to the contrary, no Employee shall be granted an option to purchase shares
      of Common Stock under the Plan:

      3.02.1  If, immediately after the grant, such Employee would own stock
              and/or hold outstanding options to purchase stock possessing 5% or
              more of the total combined voting power or value of all classes of
              stock of the Company (for purposes of this paragraph, the rules of
              Section 424(d) of the Code shall apply in determining stock
              ownership of any Employee); or

      3.02.2  If such Employee's rights to purchase stock under all employee
              stock purchase plans of the Company accrue at a rate which exceeds
              $25,000 of Fair Market Value of the stock (determined at the time
              such option is granted) for each calendar year in which such
              option is outstanding at any time.

3.03  Commencement of Participation. An Employee may become a participant by
      completing an authorization for payroll deductions on the form provided by
      the Company and filing the completed form with the Plan Representative on
      or before the filing date set therefor by the Committee, which date shall
      be prior to the next Enrollment Date. Payroll deductions for a participant
      shall commence on the next following Enrollment Date after the Employee's
      authorization for payroll deductions becomes effective and shall continue
      until termination of the Plan, the participant's earlier termination of
      participation in the Plan, or the participant's change in payroll
      deductions pursuant to Section 5.03. Each participant in the Plan shall be
      deemed to continue participation until termination of the Plan or such
      participant's earlier termination of participation in the Plan pursuant to
      Article VIII below.

                                   ARTICLE IV
                     STOCK SUBJECT TO THE PLAN AND OFFERINGS

4.01  Stock Subject to the Plan. Subject to the provisions of Section 13.03 of
      the Plan, the Board shall reserve for issuance under the Plan an aggregate
      four hundred seventy-five thousand (475,000) shares of the Company's
      Common Stock, which shares shall be authorized but unissued shares of
      Common Stock, treasury

<PAGE>   5

      shares, or shares of Common Stock purchased by the Company or the Plan on
      an established stock exchange or a national market system.

4.02  Offerings. The Plan will be implemented by two annual offerings of the
      Company's Common Stock each calendar year. Each offering will be
      outstanding during the applicable Offering Period.

                                    ARTICLE V
                               PAYROLL DEDUCTIONS

5.01  Amount of Deduction. The form described in Section 3.03 will permit a
      participant to elect payroll deductions of any whole percentage from one
      percent (1%) through ten percent (10%) of such participant's Compensation
      for each pay period during an Offering Period.

5.02  Participant's Account. All payroll deductions made for a participant shall
      be credited to an account established for such participant under the Plan.
      A participant may not make any separate cash payment into such account.

5.03  Changes in Payroll Deductions. A participant may reduce or increase future
      payroll deductions (within the limits described in Section 5.01) by filing
      with the Plan Representative a form provided by the Company for such
      purpose. The effective date of any increase or reduction in future payroll
      deductions will be the next following payroll period succeeding processing
      of the change form.

                                   ARTICLE VI
                               GRANTING OF OPTION

6.01  Number of Option Shares. On an Enrollment Date each participant shall be
      deemed to have been granted an option to purchase a number of shares of
      Common Stock determined by dividing the participant's accumulated payroll
      deductions on the Exercise Date by the lower of (i) 85% of the Fair Market
      Value of a share of Common Stock on the Enrollment Date or (ii) 85% of the
      Fair Market Value of a share of Common Stock on the Exercise Date;
      subject, however, to any applicable limitations contained in this Plan. In
      addition, the maximum number of shares a participant may purchase with
      respect to any Offering Period is that number of shares determined by
      dividing $12,500 by the Fair Market Value of a share of Common Stock on
      the Enrollment Date; provided, however, the maximum number of shares a
      participant may purchase with respect to the first Offering Period is that
      number of shares determined by dividing $25,000 by the Fair Market Value
      of a share of Common Stock on the Enrollment Date.

<PAGE>   6

                                   ARTICLE VII
                               EXERCISE OF OPTION

7.01  Automatic Exercise. Subject to the next following sentence, each Plan
      participant's option for the purchase of stock with payroll deductions
      made during any Offering Period will be exercised automatically on the
      applicable Exercise Date for the purchase of the number of full and deemed
      fractional shares of Common Stock which the accumulated payroll deductions
      in the participant's account at the time will purchase at the Purchase
      Price (but not in excess of the maximum number of shares determined
      pursuant to Section 6.01), and any excess accumulated payroll deductions
      which, but for this limitation, would have been used to purchase shares,
      will be held for the purchase of Common Stock on the next following
      Exercise Date without interest. The Committee shall have the discretion to
      reduce the number of shares of Common Stock to be purchased by
      participants with respect to an Offering Period and to allocate such
      reduced number of shares of Common Stock among participants in such
      Offering Period, so long as such reduction and allocation is done in a
      manner consistent with Section 423 of the Code. Any payroll deductions not
      applied to the purchase of shares of Common Stock by reason of the
      reduction pursuant to this Section 7.01 shall be promptly refunded to
      participants after the Exercise Date of the Offering Period to which such
      reduction applies.

7.02  Withdrawal of Account. No participant in the Plan shall be entitled to
      withdraw any amount from the accumulated payroll deductions in his or her
      account; provided, however, that a participant's accumulated payroll
      deductions shall be refunded to the participant as and to the extent
      specified in Section 8.01 below upon termination of such participant's
      participation in the Plan.

7.03  Fractional Shares. Fractional shares of Common Stock will not be issued
      under the Plan. Any deemed fractional share of Common Stock purchased by a
      Participant pursuant to Section 7.01 hereof will be combined with any
      deemed fractional shares purchased by the Participant in subsequent
      Offering Periods and whole shares of Common Stock then issued therefor.
      The Fair Market Value of all deemed fractional shares shall be paid in
      cash.

7.04  Exercise of Options. During a participant's lifetime, options held by such
      participant shall be exercisable only by such participant.

7.05  Delivery of Stock. As promptly as practicable after each Exercise Date,
      the Company will deliver to each participant the shares of Common Stock
      purchased upon exercise of such participant's option. The Company may
      deliver such shares in certificated or book entry form, at the Company's
      sole election.

<PAGE>   7

                                  ARTICLE VIII
                                   WITHDRAWAL

8.01  In General. A participant may stop participating in the Plan at any time
      by giving written notice to the Plan Representative. Upon processing of
      any such written notice, no further payroll deductions will be made from
      the participant's Compensation during such Offering Period or thereafter,
      unless and until such participant elects to resume participation in the
      Plan by providing written notice to the Plan Representative pursuant to
      Section 3.03 above. Such participant's payroll deductions accumulated
      prior to processing of such notice shall be applied toward purchasing full
      and deemed fractional shares of Common Stock in the then-current Offering
      Period as provided in Section 7.01 above unless the participant requests
      in writing to have the accumulated payroll deductions and cash in lieu of
      deemed fractional shares returned to him or her.

8.02  Effect on Subsequent Participation. A participant's withdrawal from any
      Offering Period will not have any effect upon such participant's
      eligibility to participate in any succeeding Offering Period or in any
      similar plan which may hereafter be adopted by the Company and for which
      such participant is otherwise eligible.

8.03  Termination of Employment. Upon termination of a participant's employment
      with the Company or any Designated Subsidiary Corporation (as the case may
      be) for any reason, including retirement but excluding death, the
      participant's payroll deductions accumulated prior to such termination, if
      any, shall be applied toward purchasing full and deemed fractional shares
      of Common Stock in the then-current Offering Period so long as the
      Exercise Date with respect to such Offering Period occurs on or within
      three months following such termination; provided, however, that (1) the
      participant may request in writing to have the accumulated payroll
      deductions and cash in lieu of deemed fractional shares returned to him or
      her, and (2) upon termination of a participant's employment with the
      Company or any Designated Subsidiary Corporation (as the case may be) as a
      result of the participant's death, the participant's payroll deductions
      accumulated prior to such termination and cash in lieu of deemed
      fractional shares shall be paid to his or her estate.

                                   ARTICLE IX
                                    INTEREST

9.01  Payment of Interest. No interest will be paid or allowed on any money paid
      into the Plan or credited to the account of or distributed to any
      participant.

<PAGE>   8

                                    ARTICLE X
                                      STOCK

10.01 Participant's Interest in Option Stock. No participant will have any
      interest in shares of Common Stock covered by any option held by such
      participant until such option has been exercised as provided in Section
      7.01 above.

10.02 Registration of Stock. Shares of Common Stock purchased by a participant
      under the Plan will be recorded in the name of the participant, or, if the
      participant so directs by written notice to the Plan Representative prior
      to the applicable Exercise Date, in the names of the participant and the
      participant's spouse as joint tenants with rights of survivorship or as
      tenants by the entireties, to the extent permitted by applicable law.

10.03 Restrictions on Exercise. The Board may, in its discretion, require as
      conditions to the exercise of any option that the shares of Common Stock
      reserved for issuance upon the exercise of such option shall have been
      duly listed, upon official notice of issuance, upon a stock exchange or
      market, and that either:

      10.03.1  a registration statement under the Securities Act of 1933, as
               amended, with respect to said shares shall be effective, or

      10.03.2  the participant shall have represented at the time of purchase,
               in form and substance satisfactory to the Company, that it is his
               or her intention to purchase the shares for investment and not
               for resale or distribution.

                                   ARTICLE XI

                                 ADMINISTRATION

11.01  Appointment of Committee. The Plan shall be administered by the Board or
       a Committee of members of the Board appointed by the Board. The Board or
       its Committee shall have full and exclusive discretionary authority to
       construe, interpret and apply the terms of the Plan, to determine
       eligibility and to adjudicate all disputed claims filed under the Plan.
       Every finding, decision and determination made by the Board or its
       Committee shall, to the full extent permitted by law, be final and
       binding upon all parties.

11.02  Authority of Committee. Subject to the express provisions of the Plan,
       the Committee shall have plenary authority in its discretion to interpret
       and construe any and all provisions of the Plan, to adopt rules and
       regulations for administering the Plan, and to make all other
       determinations deemed necessary or advisable for administering the Plan.
       The Committee's determination of the foregoing matters shall be
       conclusive. Except as otherwise prohibited by

<PAGE>   9

       applicable law, the Committee may delegate some or all of its authority
       specified herein to the Plan Representative.

11.03  Rules Governing the Administration of the Committee. The Board may from
       time to time appoint members of the Committee in substitution for or in
       addition to members previously appointed and may fill vacancies, however
       caused, in the Committee. The Committee may select one of its members as
       its chairman, shall hold its meetings at such times and places as it
       shall deem advisable, and may hold telephonic meetings. All
       determinations of the Committee shall be made by a majority of its
       members. A decision or determination reduced to writing and signed by a
       majority of the members of the Committee shall be as fully effective as
       if it had been made by a majority vote at a meeting duly called and held.
       The Committee may appoint a secretary and shall make such rules and
       regulations for the conduct of its business as it shall deem advisable.

11.04  Rules and Procedures Applicable to Offering Periods. The Committee shall
       have the authority and discretion to adopt rules and procedures
       applicable to one or more Offering Periods under the Plan. Any such rules
       and procedures shall be established by the Committee and communicated to
       participants in advance of any Offering Period to which they apply. Such
       rules and procedures may, in the discretion of the Committee, cause the
       options granted under any such Offering Period to be options to which
       Section 423 of the Code does not apply.

                                   ARTICLE XII

                              FOREIGN JURISDICTIONS

      Notwithstanding any other provision in this Plan, the Committee may adopt
rules or procedures relating to the operation and administration of the Plan to
accommodate the specific requirements of local laws and procedures. Without
limiting the generality of the foregoing sentence, the Committee is specifically
authorized to adopt rules and procedures regarding handling of payroll
deductions, payment of interest, conversion of local currency, payroll tax,
withholding procedures and handling of stock certificates which vary in
accordance with the requirements of such local law and procedures. To the extent
that any such rules or procedures are adopted with respect to options granted in
an Offering Period to which Section 423 of the Code is intended to apply, the
Committee shall cause such rules and procedures to be consistent with Section
423 of the Code.

                                  ARTICLE XIII

                                  MISCELLANEOUS

13.01 Transferability. Neither payroll deductions credited to any participant's
      account nor any option or other rights with regard to the exercise of an
      option to receive Common Stock under the Plan may be assigned,
      transferred, pledged, or

<PAGE>   10

      otherwise disposed of in any way by the participant other than by will or
      the laws of descent and distribution. Any such attempted assignment,
      transfer, pledge or other disposition shall be without effect except that
      the Company may, in its discretion, treat such act as an election to
      withdraw from participation in the Plan in accordance with Section 8.01.

13.02 Use of Funds. All payroll deductions received or held by the Company under
      the Plan may be used by the Company for any corporate purpose. The Company
      shall not segregate such payroll deductions.

13.03 Adjustment Upon Changes in Capitalization; Change in Control.

      13.03.1     Changes in Capitalization.  Subject to any required action
                  by the stockholders of the Company, the Reserves, the
                  maximum number of shares each participant may purchase per
                  Offering Period (pursuant to Section 6.01), as well as the
                  Purchase Price and the number of shares of Common Stock
                  covered by each option under the Plan which has not yet
                  been exercised shall be proportionately adjusted for any
                  Change in Capitalization.  Such adjustment shall be made by
                  the Board, whose determination in that respect shall be
                  final, binding and conclusive.  Except as expressly
                  provided herein, no issuance by the Company of shares of
                  stock of any class shall affect, and no adjustment by
                  reason thereof shall be made with respect to, the number or
                  Purchase Price of shares of Common Stock subject to an
                  option.

      13.03.2     Change in Control. In the event of a Change in Control, the
                  Offering Period during which the Change in Control would
                  otherwise occur shall be accelerated and shall end on the last
                  payroll date immediately preceding the Change in Control.

13.04 Amendment or Termination. The Board shall have complete power and
      authority to terminate or amend the Plan; provided, however, that the
      Board shall not, without the approval of the shareholders of the Company,
      alter (i) the aggregate number of shares of Common Stock which may be
      issued under the Plan (except pursuant to Section 13.03 above), or (ii)
      the class of Employees eligible to receive options under the Plan, other
      than to designate Subsidiaries as Designated Subsidiary Corporations; and
      provided further, however, that, subject to Section 13.05 no termination,
      modification, or amendment of the Plan may, without the consent of an
      Employee then having an option under the Plan to purchase shares of Common
      Stock, adversely affect the rights of such Employee under such option. In
      addition, and notwithstanding anything contained in this Plan to the
      contrary, to the extent necessary under Section 423 of the Internal
      Revenue Code (or any successor rule or provision or any applicable law or

<PAGE>   11

      regulation), the Company shall obtain stockholder approval in such a
      manner and to such a degree as so required.

13.05 The Committee shall be entitled to change the Offering Periods, limit the
      frequency and/or number of changes in the amount withheld during an
      Offering Period, establish the exchange ratio applicable to amounts
      withheld in a currency other than U.S. dollars, permit payroll withholding
      in excess of the amount designated by a participant in order to adjust for
      delays or mistakes in the Company's processing of properly completed
      withholding elections, establish reasonable waiting and adjustment periods
      and/or accounting and crediting procedures to ensure that amounts applied
      toward the purchase of Common Stock for each participant properly
      correspond with amounts withheld from the participant's Compensation, and
      establish such other limitations or procedures as the Board (or its
      committee) determines in its sole discretion advisable which are
      consistent with the Plan, in each case so long as any such action is
      consistent with Section 423 of the Code. None of the foregoing actions
      shall be considered to have adversely affected any right of any
      participant.

13.06 In the event that the Committee determines that the ongoing operation of
      the Plan may result in unfavorable financial accounting consequences, the
      Committee may, in its discretion and, to the extent necessary or
      desirable, modify or amend the Plan to reduce or eliminate such accounting
      consequence including, but not limited to:

      13.06.1     changing the Purchase Price for any Offering Period including
                  an Offering Period underway at the time of the change in
                  Purchase Price;

      13.06.2     shortening any Offering Period so that the Offering Period
                  ends on a new Exercise Date, including an Offering Period
                  underway at the time of such action; and

      13.06.3     allocating shares of Common Stock to participants pursuant to
                  Section 7.01 hereof.

      None of the foregoing actions shall be considered to have adversely
      affected any right of any participant.

13.07 Notices. All notices or other communications by a participant to the
      Company under or in connection with the Plan shall be deemed to have been
      duly given when received in the form specified by the Company by the Plan
      Representative.

13.08 Conditions Upon Issuance of Shares. Shares shall not be issued with
      respect to an option unless the exercise of such option and the issuance
      and delivery of such shares pursuant thereto shall comply with all
      applicable provisions of law, domestic or foreign, including, without
      limitation, the Securities Act of 1933, as

<PAGE>   12

      amended, the Securities Exchange Act of 1934, as amended, the rules and
      regulations promulgated thereunder, and the requirements of any stock
      exchange upon which the shares may then be listed, and shall be further
      subject to the approval of counsel for the Company with respect to such
      compliance. As a condition to the exercise of an option, the Company may
      require the person exercising such option to represent and warrant at the
      time of any such exercise that the shares are being purchased 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 by any of the aforementioned applicable
      provisions of law.

13.09 Effective Date. The Plan shall become effective as of its adoption by the
      Board, subject to approval by the holders of a majority of the shares of
      Common Stock, and shall continue in effect until the shares of Common
      Stock reserved for issuance under the Plan have been depleted, unless
      sooner terminated under Section 13.04 hereof. If the Plan is not so
      approved, the Plan shall not become effective.

13.10 No Employment Rights. The Plan does not, directly or indirectly, create in
      any person any right with respect to employment or continuation of
      employment by the Company or any Subsidiary, and it shall not be deemed to
      interfere in any way with the Company's or any Subsidiary's right to
      terminate, or otherwise modify, any Employee's employment at any time.

13.11 Effect of Plan. The provisions of the Plan shall, in accordance with its
      terms, be binding upon, and inure to the benefit of, all successors of
      each Employee participating in the Plan, including, without limitation,
      such Employee's estate and the executors, administrators or trustees
      thereof, heirs and legatees, and any receiver, trustee in bankruptcy or
      representative of creditors of such Employee.

13.12 Governing Law. The law of the State of Delaware will govern all matters
      relating to this Plan except to the extent superseded by the federal laws
      of the United States.

                                   APPENDIX A

A "Change in Control" shall be deemed to have occurred if, following the
"Distribution" (as defined in the Master Separation Agreement, dated March 28,
2000, to which the Company and Cabot Corporation are parties):

      (a) any "person" as such term is used in Sections 13(d) and 14(d) of the
1934 Act (other than (i) the Company, (ii) any subsidiary of the Company, (iii)
any trustee or other fiduciary holding securities under an employee benefit plan
of the Company or of

<PAGE>   13

any subsidiary of the Company, or (iv) any company owned, directly or
indirectly, by the stockholders of the Company in substantially the same
proportions as their ownership of stock of the Company), is or becomes the
"beneficial owner" (as defined in Section 13(d) of the 1934 Act), together with
all Affiliates and Associates (as such terms are used in Rule 12b-2 of the
General Rules and Regulations under the 1934 Act) of such person, directly or
indirectly, of securities of the Company representing 25% or more of the
combined voting power of the Company's then outstanding securities; or

      (b) the stockholders of the Company approve a merger or consolidation of
the Company with any other company, other than (i) 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), in combination with the ownership of any trustee or other fiduciary
holding securities under an employee benefit plan of the Company or any
subsidiary of the Company, at least 65% of the combined voting power of the
voting securities of the Company or such surviving entity outstanding
immediately after such merger or consolidation or (ii) a merger or consolidation
effected to implement a recapitalization of the Company (or similar transaction)
after which no "person" (with the method of determining "beneficial ownership"
used in clause (a) of this definition) owns more than 25% of the combined voting
power of the securities of the Company or the surviving entity of such merger or
consolidation; or

      (c) during any period of two consecutive years (not including any period
prior to the execution of the Plan), individuals who at the beginning of such
period constitute the Board, and any new director (other than a director
designated by a person who has conducted or threatened a proxy contest, or has
entered into an agreement with the Company to effect a transaction described in
clause (a), (b) or (d) of this definition) whose election by the Board or
nomination for election by the Company's stockholders was approved by a vote of
at least two-thirds (2/3) 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 cease for any reason to constitute at least
a majority thereof; or

      (d) the stockholders of the Company approve a plan of complete liquidation
of the Company or an agreement for the sale or disposition by the Company of all
or substantially all of the Company's assets.

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