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                                                                    EXHIBIT 10.1

                QUANTUM FUEL SYSTEMS TECHNOLOGIES WORLDWIDE, INC.

                            2002 STOCK INCENTIVE PLAN

     1. Purposes of the Plan. The purposes of this Stock Incentive Plan are to
attract and retain the best available personnel, to provide additional incentive
to Employees, Directors and Consultants, to issue Options in connection with the
Spin-Off pursuant to the Employee Benefit Matters Agreement and to promote the
success of the Company's business.

     2. Definitions. As used herein, the following definitions shall apply:

             (a) "Administrator" means the Board or any of the Committees
appointed to administer the Plan.

             (b) "Applicable Laws" means the legal requirements relating to the
administration of stock incentive plans, if any, under applicable provisions of
federal securities laws, state corporate and securities laws, the Code, the
rules of any applicable stock exchange or national market system, and the rules
of any foreign jurisdiction applicable to Awards granted to residents therein.

             (c) "Assumed" means that (i) pursuant to a Corporate Transaction
defined in Section (n)(i), (n)(ii) or (n)(iii) or a Related Entity Disposition,
the contractual obligations represented by the Award are expressly assumed (and
not simply by operation of law) by the successor entity or its Parent in
connection with the Corporate Transaction or Related Entity Disposition or (ii)
pursuant to a Corporate Transaction defined in Section (n)(iv) or (n)(v), the
Award is expressly affirmed by the Company. The Award shall not be deemed
"Assumed" for purposes of terminating the Award (in the case of a Corporate
Transaction) and the termination of the Continuous Service of the Grantee (in
the case of a Related Entity Disposition) if pursuant to a Corporate Transaction
or a Related Entity Disposition the Award is replaced with a comparable award
with respect to shares of capital stock of the successor entity of its Parent.
The determination of Award comparability shall be made by the Administrator and
its determination shall be final, binding and conclusive.

             (d) "Award" means the grant of an Option, Restricted Stock, or
other right or benefit under the Plan.

             (e) "Award Agreement" means the written agreement evidencing the
grant of an Award executed by the Company and the Grantee, including any
amendments thereto.

             (f) "Board" means the Board of Directors of the Company.

             (g) "Cause" means, with respect to the termination by the Company,
a Related Entity, IMPCO or a Subsidiary of IMPCO of the Grantee's Continuous
Service, that such termination is for "Cause" as such term is expressly defined
in a then-effective written agreement between the Grantee and the Company, such
Related Entity, IMPCO or such Subsidiary of

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IMPCO, or in the absence of such then-effective written agreement and
definition, is based on, in the determination of the Administrator, the
Grantee's: (i) performance of any act or failure to perform any act in bad faith
and to the detriment of the Company, a Related Entity, IMPCO or a Subsidiary of
IMPCO; (ii) dishonesty, intentional misconduct or material breach of any
agreement with the Company, a Related Entity, IMPCO or a Subsidiary of IMPCO; or
(iii) commission of a crime involving dishonesty, breach of trust, or physical
or emotional harm to any person.

             (h) "Code" means the Internal Revenue Code of 1986, as amended.

             (i) "Committee" means any committee appointed by the Board to
administer the Plan.

             (j) "Common Stock" means the common stock of the Company.

             (k) "Company" means Quantum Fuel Systems Technologies Worldwide,
Inc., a Delaware corporation.

             (l) "Consultant" means any person (other than an Employee or a
Director, solely with respect to rendering services in such person's capacity as
a Director) who is engaged by the Company or any Related Entity to render
consulting or advisory services to the Company, or such Related Entity so long
as such person (i) renders bona fide services that are not in connection with
the offer and sale of the Company's securities in a capital raising transaction
and (ii) does not directly or indirectly promote or maintain a market for the
Company's securities.

             (m) "Continuous Service" means that the provision of services to
the Company, a Related Entity, IMPCO or a Subsidiary of IMPCO in any capacity of
Employee, Director or Consultant, is not interrupted or terminated. Continuous
Service shall not be considered interrupted in the case of (i) any approved
leave of absence, (ii) transfers among the Company, any Related Entity, IMPCO,
any Subsidiary of IMPCO or any successor, in any capacity of Employee, Director
or Consultant, or (iii) any change in status as long as the individual remains
in the service of the Company, a Related Entity, IMPCO or a Subsidiary of IMPCO
in any capacity of Employee, Director or Consultant (except as otherwise
provided in the Award Agreement). An approved leave of absence shall include
sick leave, military leave, or any other authorized personal leave. For purposes
of each Incentive Stock Option granted under the Plan, if such leave exceeds
ninety (90) days, and reemployment upon expiration of such leave is not
guaranteed by statute or contract, then the Incentive Stock Option shall be
treated as a Non-Qualified Stock Option on the day three (3) months and one (1)
day following the expiration of such ninety (90) day period.

             (n) "Corporate Transaction" means any of the following
transactions:

             (i) a merger or consolidation in which the Company is not the
surviving entity, except for a transaction the principal purpose of which is to
change the state in which the Company is incorporated;

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                 (ii)  the sale, transfer or other disposition of all or
substantially all of the assets of the Company (including the capital stock of
the Company's subsidiary corporations);

                 (iii) the complete liquidation or dissolution of the Company;

                 (iv)  any reverse merger in which the Company is the surviving
entity but in which securities possessing more than fifty percent (50%) of the
total combined voting power of the Company's outstanding securities are
transferred to a person or persons different from those who held such securities
immediately prior to such merger; or

                 (v)  acquisition in a single or series of related transactions
by any person or related group of persons (other than the Company or by a
Company-sponsored employee benefit plan) of beneficial ownership (within the
meaning of Rule 13d-3 of the Exchange Act) of securities possessing more than
fifty percent (50%) of the total combined voting power of the Company's
outstanding securities but excluding any such transaction or series of related
transactions that the Administrator determines shall not be a Corporate
Transaction.

             (o) "Covered Employee" means an Employee who is a "covered
employee" under Section 162(m)(3) of the Code.

             (p) "Director" means a member of the Board or the board of
directors of any Related Entity, IMPCO or a Subsidiary of IMPCO.

             (q) "Disability" means as defined under the long-term disability
policy of the Company, IMPCO or Subsidiary of IMPCO or the Related Entity to
which the Grantee provides services regardless of whether the Grantee is covered
by such policy. If the Company, IMPCO or Subsidiary of IMPCO or the Related
Entity to which the Grantee provides service does not have a long-term
disability plan in place, "Disability" means that a Grantee is unable to carry
out the responsibilities and functions of the position held by the Grantee by
reason of any medically determinable physical or mental impairment. A Grantee
will not be considered to have incurred a Disability unless he or she furnishes
proof of such impairment sufficient to satisfy the Administrator in its
discretion.

             (r) "Employee" means any person, including an Officer or Director,
who is in the employ of the Company, any Related Entity, IMPCO or a Subsidiary
of IMPCO subject to the control and direction of the Company, any Related
Entity, IMPCO or a Subsidiary of IMPCO as to both the work to be performed and
the manner and method of performance. The payment of a director's fee by the
Company, a Related Entity, IMPCO or a Subsidiary of IMPCO shall not be
sufficient to constitute "employment" by the Company.

             (s) "Employee Benefit Matters Agreement" means the Employee Benefit
Matters Agreement dated July 23, 2002, between IMPCO and the Company.

             (t) "Exchange Act" means the Securities Exchange Act of 1934, as
amended.

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             (u) "Fair Market Value" means, as of any date, the value of Common
Stock determined as follows:

                 (i)   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 such stock (or the
closing bid, if no sales were reported) as quoted on such exchange or system on
the date of determination (or, if no closing sales price or closing bid was
reported on that date, as applicable, on the last trading date such closing
sales price or closing bid was reported), as reported in The Wall Street Journal
or such other source as the Administrator deems reliable;

                 (ii)  If the Common Stock is regularly quoted on an automated
quotation system (including the OTC Bulletin Board) or by a recognized
securities dealer, but selling prices are not reported, the Fair Market Value of
a Share shall be the mean between the high bid and low asked prices for the
Common Stock on date of determination (or, if no such prices were reported on
that date, on the last date such prices were reported), as reported in The Wall
Street Journal or such other source as the Administrator deems reliable; or

                 (iii) In the absence of an established market for the Common
Stock of the type described in (i) and (ii), above, the Fair Market Value
thereof shall be determined by the Administrator in good faith.

             (v) "Grantee" means an Employee, Director or Consultant who
receives an Award under the Plan.

             (w) "Immediate Family" means any child, stepchild, grandchild,
parent, stepparent, grandparent, spouse, former spouse, sibling, niece, nephew,
mother-in-law, father-in-law, son-in law, daughter-in-law, brother-in-law, or
sister-in-law, including adoptive relationships, any person sharing the
Grantee's household (other than a tenant or employee), a trust in which these
persons (or the Grantee) have more than fifty percent (50%) of the beneficial
interest, a foundation in which these persons (or the Grantee) control the
management of assets, and any other entity in which these persons (or the
Grantee) own more than fifty percent (50%) of the voting interests.

             (x) "IMPCO" means IMPCO Technologies, Inc., a Delaware corporation.

             (y) "Incentive Stock Option" means an Option intended to qualify as
an incentive stock option within the meaning of Section 422 of the Code

             (z) "Non-Qualified Stock Option" means an Option not intended to
qualify as an Incentive Stock Option.

             (aa) "Officer" means a person who is an officer of the Company, a
Related Entity, IMPCO or a Subsidiary of IMPCO within the meaning of Section 16
of the Exchange Act and the rules and regulations promulgated thereunder.

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             (bb) "Option" means an option to purchase Shares pursuant to an
Award Agreement granted under the Plan.

             (cc) "Parent" means a "parent corporation," whether now or
hereafter existing, as defined in Section 424(e) of the Code.

             (dd) "Performance-Based Compensation" means compensation qualifying
as "performance-based compensation" under Section 162(m) of the Code.

             (ee) "Plan" means this 2002 Stock Incentive Plan.

             (ff) "Registration Date" means the first to occur of (i) the
closing of the first sale to the general public pursuant to a registration
statement filed with and declared effective by the Securities and Exchange
Commission under the Securities Act of 1933, as amended, of (A) the Common Stock
or (B) the same class of securities of a successor corporation (or its Parent)
issued pursuant to a Corporate Transaction in exchange for or in substitution of
the Common Stock; (ii) in the event of a Corporate Transaction, the date of the
consummation of the Corporate Transaction if the same class of securities of the
successor corporation (or its Parent) issuable in such Corporate Transaction
shall have been sold to the general public pursuant to a registration statement
filed with and declared effective by the Securities and Exchange Commission
under the Securities Act of 1933, as amended, on or prior to the date of
consummation of such Corporate Transaction; and (iii) the effective date of a
registration statement on Form 10 under the Exchange Act of any class of
securities of the Company.

             (gg) "Related Entity" means any Parent or Subsidiary of the Company
and any business, corporation, partnership, limited liability company or other
entity in which the Company or a Parent or a Subsidiary of the Company holds a
substantial ownership interest, directly or indirectly.

             (hh) "Related Entity Disposition" means the sale, distribution or
other disposition by the Company or a Parent or a Subsidiary of the Company of
all or substantially all of the interests of the Company or a Parent or a
Subsidiary of the Company in any Related Entity effected by a sale, merger or
consolidation or other transaction involving that Related Entity or the sale of
all or substantially all of the assets of that Related Entity, other than any
Related Entity Disposition to the Company or a Parent or a Subsidiary of the
Company.

             (ii) "Restricted Stock" means Shares issued under the Plan to the
Grantee for such consideration, if any, and subject to such restrictions on
transfer, rights of first refusal, repurchase provisions, forfeiture provisions,
and other terms and conditions as established by the Administrator.

             (jj) "Rule 16b-3" means Rule 16b-3 promulgated under the Exchange
Act or any successor thereto.

             (kk) "Share" means a share of the Common Stock.

             (ll) "Spin-Off" means the distribution by IMPCO to its stockholders
of all or any portion of the securities of the Company.

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             (mm) "Subsidiary" means a "subsidiary corporation," whether now or
hereafter existing, as defined in Section 424(f) of the Code.

             (nn) "Tax Matters Agreement" means the Tax Allocation and
Indemnification Agreement dated July 23, 2002, between IMPCO and the Company.

     3. Stock Subject to the Plan.

             (a) Subject to the provisions of Section 10, below, the maximum
aggregate number of Shares which may be issued pursuant to all Awards (including
Incentive Stock Options) is three million five hundred thousand (3,500,000)
Shares, plus an annual increase to be added on the first day of the Company's
2004 fiscal year equal to three percent (3%) of the number of Shares outstanding
as of such date or a lesser number of Shares determined by the Administrator.
Notwithstanding the foregoing, subject to the provisions of Section 10, below,
of the number of Shares specified above, the maximum aggregate number of Shares
available for grant of Incentive Stock Options shall be three million five
hundred thousand (3,500,000) Shares, plus an annual increase to be added on the
first day of the Company's 2004 fiscal year equal to the lesser of (x) one
million (1,000,000) Shares, (y) three percent (3%) of the number of Shares
outstanding as of such date, or (z) a lesser number of Shares determined by the
Administrator. The Shares to be issued pursuant to Awards may be authorized, but
unissued, or reacquired Common Stock.

             (b) Any Shares covered by an Award (or portion of an Award) which
is forfeited, canceled or expires, shall be deemed not to have been issued for
purposes of determining the maximum aggregate number of Shares which may be
issued under the Plan. Shares that actually have been issued under the Plan
pursuant to an Award shall not be returned to the Plan and shall not become
available for future issuance under the Plan, except that if unvested Shares are
forfeited, or repurchased by the Company at their original purchase price, such
Shares shall become available for future grant under the Plan.

     4. Administration of the Plan.

             (a) Plan Administrator.

                 (i) Administration with Respect to Directors and Officers. With
respect to grants of Awards to Directors or Employees who are also Officers or
Directors of the Company, the Plan shall be administered by (A) the Board or (B)
a Committee designated by the Board, which Committee shall be constituted in
such a manner as to satisfy the Applicable Laws and to permit such grants and
related transactions under the Plan to be exempt from Section 16(b) of the
Exchange Act in accordance with Rule 16b-3. Once appointed, such Committee shall
continue to serve in its designated capacity until otherwise directed by the
Board.

                 (ii) Administration With Respect to Consultants and Other
Employees. With respect to grants of Awards to Employees or Consultants who are
neither Directors nor Officers of the Company, the Plan shall be administered by
(A) the Board or (B) a Committee designated by the Board, which Committee shall
be constituted in such a manner as to satisfy the Applicable Laws. Once
appointed, such Committee shall continue to serve in its designated

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capacity until otherwise directed by the Board. The Board may authorize one or
more Officers to grant such Awards and may limit such authority as the Board
determines from time to time.

               (iii)  Administration With Respect to Covered Employees.
Notwithstanding the foregoing, grants of Awards to any Covered Employee intended
to qualify as Performance-Based Compensation shall be made only by a Committee
(or subcommittee of a Committee) which is comprised solely of two or more
Directors of the Company eligible to serve on a committee making Awards
qualifying as Performance-Based Compensation. In the case of such Awards granted
to Covered Employees, references to the "Administrator" or to a "Committee"
shall be deemed to be references to such Committee or subcommittee.

               (iv)   Administration Errors. In the event an Award is granted in
a manner inconsistent with the provisions of this subsection (a), such Award
shall be presumptively valid as of its grant date to the extent permitted by the
Applicable Laws.

        (b) Powers of the Administrator. Subject to Applicable Laws and the
provisions of the Plan (including any other powers given to the Administrator
hereunder), and except as otherwise provided by the Board, the Administrator
shall have the authority, in its discretion:

               (i)    to select the Employees, Directors and Consultants to whom
Awards may be granted from time to time hereunder;

               (ii)   to determine whether and to what extent Awards are granted
hereunder;

               (iii)  to determine the number of Shares or the amount of other
consideration to be covered by each Award granted hereunder;

               (iv)   to approve forms of Award Agreements for use under the
Plan;

               (v)    to determine the terms and conditions of any Award granted
hereunder;

               (vi)   to amend the terms of any outstanding Award granted under
the Plan, provided that any amendment that would adversely affect the Grantee's
rights under an outstanding Award shall not be made without the Grantee's
written consent;

               (vii)  to construe and interpret the terms of the Plan and
Awards, including without limitation, any notice of award or Award Agreement,
granted pursuant to the Plan;

               (viii) to establish additional terms, conditions, rules or
procedures to accommodate the rules or laws of applicable foreign jurisdictions
and to afford Grantees favorable treatment under such rules or laws; provided,
however, that no Award shall be granted under any such additional terms,
conditions, rules or procedures with terms or conditions which are inconsistent
with the provisions of the Plan; and

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               (ix)  to take such other action, not inconsistent with the terms
of the Plan, as the Administrator deems appropriate.

     5. Eligibility. Awards other than Incentive Stock Options may be granted to
Employees, Directors and Consultants. Incentive Stock Options may be granted
only to Employees of the Company or a Parent or a Subsidiary of the Company. An
Employee, Director or Consultant who has been granted an Award may, if otherwise
eligible, be granted additional Awards. Awards may be granted to such Employees,
Directors or Consultants who are residing in foreign jurisdictions as the
Administrator may determine from time to time.

     6. Terms and Conditions of Awards.

          (a)  Type of Awards. The Administrator is authorized under the Plan to
award any type of arrangement to an Employee, Director or Consultant that is not
inconsistent with the provisions of the Plan and that by its terms involves or
might involve the issuance of Shares or an Option.

          (b)  Designation of Award. Each Award shall be designated in the Award
Agreement. In the case of an Option, the Option shall be designated as either an
Incentive Stock Option or a Non-Qualified Stock Option. However, notwithstanding
such designation, to the extent that the aggregate Fair Market Value of Shares
subject to Options designated as Incentive Stock Options which become
exercisable for the first time by a Grantee during any calendar year (under all
plans of the Company or any Parent or Subsidiary of the Company) exceeds
$100,000, such excess Options, to the extent of the Shares covered thereby in
excess of the foregoing limitation, shall be treated as Non-Qualified Stock
Options. For this purpose, Incentive Stock Options shall be taken into account
in the order in which they were granted, and the Fair Market Value of the Shares
shall be determined as of the grant date of the relevant Option.

          (c)  Conditions of Award. Subject to the terms of the Plan, the
Administrator shall determine the provisions, terms, and conditions of each
Award including, but not limited to, the Award vesting schedule, repurchase
provisions, rights of first refusal, forfeiture provisions, form of payment
(cash, Shares, or other consideration) upon settlement of the Award, payment
contingencies, and satisfaction of any performance criteria. The performance
criteria established by the Administrator may be based on any one of, or
combination of, increase in share price, earnings per share, total stockholder
return, return on equity, return on assets, return on investment, net operating
income, cash flow, revenue, economic value added, personal management
objectives, or other measure of performance selected by the Administrator.
Partial achievement of the specified criteria may result in a payment or vesting
corresponding to the degree of achievement as specified in the Award Agreement.
With respect to any Award intended to qualify as Performance-Based Compensation,
the Committee shall certify in writing that any performance criteria have been
satisfied to the extent necessary to comply with Section 162(m) of the Code and
the regulations thereunder. Notwithstanding the foregoing, Options granted
pursuant to the Employee Benefit Matters Agreement shall contain terms that are
substantially the same as the terms contained in the IMPCO options to which they
relate.

          (d)  Acquisitions and Other Transactions. The Administrator may issue
Awards under the Plan in settlement, assumption or substitution for, outstanding
awards or obligations to

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grant future awards in connection with the Company or a Related Entity acquiring
another entity, an interest in another entity or an additional interest in a
Related Entity whether by merger, stock purchase, asset purchase or other form
of transaction. In addition, the Administrator may issue Options under the Plan
in connection with the Spin-Off, and the terms of such Options, including the
exercise price and the number of Shares subject to the Option, shall be
determined pursuant to the Employee Benefit Matters Agreement.

          (e) Deferral of Award Payment. The Administrator may establish one or
more programs under the Plan to permit selected Grantees the opportunity to
elect to defer receipt of consideration upon exercise of an Award, satisfaction
of performance criteria, or other event that absent the election would entitle
the Grantee to payment or receipt of Shares or other consideration under an
Award (but only to the extent that such deferral programs would not result in an
accounting compensation charge unless otherwise determined by the
Administrator). The Administrator may establish the election procedures, the
timing of such elections, the mechanisms for payments of, and accrual of
interest or other earnings, if any, on amounts, Shares or other consideration so
deferred, and such other terms, conditions, rules and procedures that the
Administrator deems advisable for the administration of any such deferral
program.

          (f) Separate Programs. The Administrator may establish one or more
separate programs under the Plan for the purpose of issuing particular forms of
Awards to one or more classes of Grantees on such terms and conditions as
determined by the Administrator from time to time.

          (g) Individual Option Limit. The maximum number of Shares with respect
to which Options may be granted to any Grantee in any fiscal year of the Company
shall be six hundred thousand (600,000) Shares. In connection with a Grantee's
commencement of Continuous Service, a Grantee may be granted Options for up to
an additional four hundred (400,000) Shares which shall not count against the
limit set forth in the previous sentence. The foregoing limitations shall be
adjusted proportionately in connection with any change in the Company's
capitalization pursuant to Section 10, below. To the extent required by Section
162(m) of the Code or the regulations thereunder, in applying the foregoing
limitations with respect to a Grantee, if any Option is canceled, the canceled
Option shall continue to count against the maximum number of Shares with respect
to which Options may be granted to the Grantee. For this purpose, the repricing
of an Option shall be treated as the cancellation of the existing Option and the
grant of a new Option.

          (h) Early Exercise. The Award Agreement may, but need not, include a
provision whereby the Grantee may elect at any time while an Employee, Director
or Consultant to exercise any part or all of the Award prior to full vesting of
the Award. Any unvested Shares received pursuant to such exercise may be subject
to a repurchase right in favor of the Company or a Related Entity or to any
other restriction the Administrator determines to be appropriate.

          (i) Term of Award. The term of each Award shall be the term stated in
the Award Agreement, provided, however, that the term of an Incentive Stock
Option shall be no more than ten (10) years from the date of grant thereof.
However, in the case of an Incentive Stock Option granted to a Grantee who, at
the time the Option is granted, owns stock representing more than ten percent
(10%) of the voting power of all classes of stock of the

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Company or any Parent or Subsidiary, the term of the Incentive Stock Option
shall be five (5) years from the date of grant thereof or such shorter term as
may be provided in the Award Agreement.

          (j) Transferability of Awards. Incentive Stock Options may not be
sold, pledged, assigned, hypothecated, transferred, or disposed of in any manner
other than by will or by the laws of descent or distribution and may be
exercised, during the lifetime of the Grantee, only by the Grantee; provided,
however, that the Grantee may designate a beneficiary of the Grantee's Incentive
Stock Option in the event of the Grantee's death on a beneficiary designation
form provided by the Administrator. Other Awards may be transferred by will and
by the laws of descent and distribution, and during the lifetime of the Grantee,
by gift or pursuant to a domestic relations order to members of the Grantee's
Immediate Family to the extent and in the manner determined by the
Administrator.

          (k) Time of Granting Awards. The date of grant of an Award shall for
all purposes be the date on which the Administrator makes the determination to
grant such Award, or such other date as is determined by the Administrator.
Notice of the grant determination shall be given to each Employee, Director or
Consultant to whom an Award is so granted after the date of such grant.

     7. Award Exercise or Purchase Price, Consideration and Taxes.

          (a) Exercise or Purchase Price. The exercise or purchase price, if
any, for an Award shall be as follows:

                 (i)   In the case of an Incentive Stock Option:

                       (A) granted to an Employee who, at the time of the grant
of such Incentive Stock Option owns stock representing more than ten percent
(10%) of the voting power of all classes of stock of the Company or any Parent
or Subsidiary of the Company, the per Share exercise price shall be not less
than one hundred ten percent (110%) of the Fair Market Value per Share on the
date of grant; or

                       (B) granted to any Employee other than an Employee
described in the preceding paragraph, the per Share exercise price shall be not
less than one hundred percent (100%) of the Fair Market Value per Share on the
date of grant.

                 (ii)  In the case of a Non-Qualified Stock Option, the per
Share exercise price shall be not less than eighty-five percent (85%) of the
Fair Market Value per Share on the date of grant unless otherwise determined by
the Administrator.

                 (iii) In the case of Awards intended to qualify as
Performance-Based Compensation, the exercise or purchase price, if any, shall be
not less than one hundred percent (100%) of the Fair Market Value per Share on
the date of grant.

                 (iv)  In the case of other Awards, such price as is determined
by the Administrator.

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                 (v)   Notwithstanding the foregoing provisions of this Section
7(a), in the case of an Award issued pursuant to Section 6(d), above, the
exercise or purchase price for the Award shall be determined in accordance with
the provisions of the relevant instrument evidencing the agreement to issue such
Award.

          (b) Consideration. Subject to Applicable Laws, the consideration to be
paid for the Shares to be issued upon exercise or purchase of an Award,
including the method of payment, shall be determined by the Administrator (and,
in the case of an Incentive Stock Option, shall be determined at the time of
grant). In addition to any other types of consideration the Administrator may
determine, the Administrator is authorized to accept as consideration for Shares
issued under the Plan the following, provided that the portion of the
consideration equal to the par value of the Shares must be paid in cash or other
legal consideration permitted by the Delaware General Corporation Law:

                 (i)   cash;

                 (ii)  check;

                 (iii) delivery of Grantee's promissory note with such recourse,
interest, security, and redemption provisions as the Administrator determines as
appropriate (but with such interest rate that would not result in an accounting
compensation charge with respect to the use of a promissory note unless
otherwise determined by the Administrator);

                 (iv)  if the exercise or purchase occurs on or after the
Registration Date, surrender of Shares or delivery of a properly executed form
of attestation of ownership of Shares as the Administrator may require
(including withholding of Shares otherwise deliverable upon exercise of the
Award) which have a Fair Market Value on the date of surrender or attestation
equal to the aggregate exercise price of the Shares as to which said Award shall
be exercised (but only to the extent that such exercise of the Award would not
result in an accounting compensation charge with respect to the Shares used to
pay the exercise price unless otherwise determined by the Administrator);

                 (v)   with respect to Options, if the exercise occurs on or
after the Registration Date, payment through a broker-dealer sale and remittance
procedure pursuant to which the Grantee (A) shall provide written instructions
to a Company designated brokerage firm to effect the immediate sale of some or
all of the purchased Shares and remit to the Company, out of the sale proceeds
available on the settlement date, sufficient funds to cover the aggregate
exercise price payable for the purchased Shares and (B) shall provide written
directives to the Company to deliver the certificates for the purchased Shares
directly to such brokerage firm in order to complete the sale transaction; or

                 (vi)  any combination of the foregoing methods of payment.

          (c) Taxes. No Shares shall be delivered under the Plan to any Grantee
or other person until such Grantee or other person has made arrangements
acceptable to the Administrator for the satisfaction of any foreign, federal,
state, or local income and employment tax withholding obligations, including,
without limitation, obligations incident to the receipt of Shares or the
disqualifying disposition of Shares received on exercise of an Incentive Stock

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Option. Subject to the Tax Matters Agreement, upon exercise of an Award the
Company shall withhold or collect from Grantee an amount sufficient to satisfy
such tax obligations.

     8. Exercise of Award.

          (a) Procedure for Exercise; Rights as a Stockholder.

                (i)   Any Award granted hereunder shall be exercisable at such
times and under such conditions as determined by the Administrator under the
terms of the Plan and specified in the Award Agreement.

                (ii)  An Award shall be deemed to be exercised when written
notice of such exercise has been given to the Company in accordance with the
terms of the Award by the person entitled to exercise the Award and full payment
is received for the Shares with respect to which the Award is exercised,
including, to the extent selected, use of the broker-dealer sale and remittance
procedure to pay the purchase price as provided in Section 7(b)(v).
Notwithstanding the foregoing, an Option issued pursuant to the Employee Benefit
Matters Agreement shall be deemed to be exercised in accordance with the
procedures outlined in the Employee Benefit Matters Agreement. Until the
issuance (as evidenced by the appropriate entry on the books of the Company or
of a duly authorized transfer agent of the Company) of the stock certificate
evidencing such Shares, no right to vote or receive dividends or any other
rights as a stockholder shall exist with respect to Shares subject to an Award,
notwithstanding the exercise of an Option or other Award. The Company shall
issue (or cause to be issued) such stock certificate promptly upon exercise of
the Award. No adjustment will be made for a dividend or other right for which
the record date is prior to the date the stock certificate is issued, except as
provided in the Award Agreement or Section 10, below.

          (b) Exercise of Award Following Termination of Continuous Service.

                (i)   An Award may not be exercised after the termination date
of such Award set forth in the Award Agreement and may be exercised following
the termination of a Grantee's Continuous Service only to the extent provided in
the Award Agreement.

                (ii)  Where the Award Agreement permits a Grantee to exercise an
Award following the termination of the Grantee's Continuous Service for a
specified period, the Award shall terminate to the extent not exercised on the
last day of the specified period or the last day of the original term of the
Award, whichever occurs first.

                (iii) Any Award designated as an Incentive Stock Option to the
extent not exercised within the time permitted by law for the exercise of
Incentive Stock Options following the termination of a Grantee's Continuous
Service shall convert automatically to a Non-Qualified Stock Option and
thereafter shall be exercisable as such to the extent exercisable by its terms
for the period specified in the Award Agreement.

     9. Conditions Upon Issuance of Shares.

          (a) Shares shall not be issued pursuant to the exercise of an Award
unless the exercise of such Award and the issuance and delivery of such Shares
pursuant thereto shall

                                       12

<PAGE>

comply with all Applicable Laws, and shall be further subject to the approval of
counsel for the Company with respect to such compliance.

           (b) As a condition to the exercise of an Award, the Company may
require the person exercising such Award 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
Applicable Laws.

     10. Adjustments Upon Changes in Capitalization. Subject to any required
action by the stockholders of the Company, the number of Shares covered by each
outstanding Award, and the number of Shares which have been authorized for
issuance under the Plan but as to which no Awards have yet been granted or which
have been returned to the Plan, the exercise or purchase price of each such
outstanding Award, the maximum number of Shares with respect to which Options
may be granted to any Grantee in any fiscal year of the Company, as well as any
other terms that the Administrator determines require adjustment shall be
proportionately adjusted for (i) any increase or decrease in the number of
issued Shares resulting from a stock split, reverse stock split, stock dividend,
combination or reclassification of the Shares, or similar transaction affecting
the Shares, (ii) any other increase or decrease in the number of issued Shares
effected without receipt of consideration by the Company, or (iii) as the
Administrator may determine in its discretion, any other transaction with
respect to Common Stock including a corporate merger, consolidation, acquisition
of property or stock, separation (including a spin-off or other distribution of
stock or property), reorganization, liquidation (whether partial or complete) or
any similar transaction; provided, however that conversion of any convertible
securities of the Company shall not be deemed to have been "effected without
receipt of consideration." Such adjustment shall be made by the Administrator
and its determination shall be final, binding and conclusive. Except as the
Administrator determines, no issuance by the Company of shares of stock of any
class, or securities convertible into shares of stock of any class, shall
affect, and no adjustment by reason hereof shall be made with respect to, the
number or price of Shares subject to an Award.

     11. Corporate Transactions/Related Entity Dispositions.

           (a) Termination of Award to Extent Not Assumed.

                    (i)  Corporate Transaction. Effective upon the consummation
of a Corporate Transaction, all outstanding Awards under the Plan shall
terminate. However, all such Awards shall not terminate to the extent they are
Assumed in connection with the Corporate Transaction.

                    (ii) Related Entity Disposition. Effective upon the
consummation of a Related Entity Disposition, for purposes of the Plan and all
Awards, there shall be a deemed termination of Continuous Service of each
Grantee who is at the time engaged primarily in service to the Related Entity
involved in such Related Entity Disposition and each Award of such Grantee which
is at the time outstanding under the Plan shall be exercisable in accordance
with the terms of the Award Agreement evidencing such Award. However, such
Continuous Service shall not be deemed to terminate as to the portion of any
such award that is Assumed.

                                       13

<PAGE>

            (b) Acceleration of Award Upon Corporate Transaction/Related Entity
Disposition. The Administrator shall have the authority, exercisable either in
advance of any actual or anticipated Corporate Transaction or Related Entity
Disposition or at the time of an actual Corporate Transaction or Related Entity
Disposition and exercisable at the time of the grant of an Award under the Plan
or any time while an Award remains outstanding, to provide for the full or
partial automatic vesting and exercisability of one or more outstanding unvested
Awards under the Plan and the release from restrictions on transfer and
repurchase or forfeiture rights of such Awards in connection with a Corporate
Transaction or Related Entity Disposition, on such terms and conditions as the
Administrator may specify. The Administrator also shall have the authority to
condition any such Award vesting and exercisability or release from such
limitations upon the subsequent termination of the Continuous Service of the
Grantee within a specified period following the effective date of the Corporate
Transaction or Related Entity Disposition. The Administrator may provide that
any Awards so vested or released from such limitations in connection with a
Related Entity Disposition, shall remain fully exercisable until the expiration
or sooner termination of the Award.

            (c) Effect of Acceleration on Incentive Stock Options. The portion
of any Incentive Stock Option accelerated under this Section 11 in connection
with a Corporate Transaction or Related Entity Disposition shall remain
exercisable as an Incentive Stock Option under the Code only to the extent the
$100,000 dollar limitation of Section 422(d) of the Code is not exceeded. To the
extent such dollar limitation is exceeded, the accelerated excess portion of
such Option shall be exercisable as a Non-Qualified Stock Option.

     12. Effective Date and Term of Plan. The Plan shall become effective upon
the earlier to occur of its adoption by the Board or its approval by the
stockholders of the Company. It shall continue in effect for a term of ten (10)
years unless sooner terminated. Subject to Section 17, below, and Applicable
Laws, Awards may be granted under the Plan upon its becoming effective.

     13. Amendment, Suspension or Termination of the Plan.

            (a) The Board may at any time amend, suspend or terminate the Plan.
To the extent necessary to comply with Applicable Laws, the Company shall obtain
stockholder approval of any Plan amendment in such a manner and to such a degree
as required.

            (b) No Award may be granted during any suspension of the Plan or
after termination of the Plan.

            (c) Any amendment, suspension or termination of the Plan (including
termination of the Plan under Section 12, above) shall not affect Awards already
granted, and such Awards shall remain in full force and effect as if the Plan
had not been amended, suspended or terminated, unless mutually agreed otherwise
between the Grantee and the Administrator, which agreement must be in writing
and signed by the Grantee and the Company.

     14. Reservation of Shares.

            (a) The Company, during the term of the Plan, will at all times
reserve and keep available such number of Shares as shall be sufficient to
satisfy the requirements of the Plan.

                                       14

<PAGE>

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

     15. No Effect on Terms of Employment/Consulting Relationship. The Plan
shall not confer upon any Grantee any right with respect to the Grantee's
Continuous Service, nor shall it interfere in any way with his or her right or
the right of the Company or IMPCO to terminate the Grantee's Continuous Service
at any time, with or without cause, and with or without notice.

     16. No Effect on Retirement and Other Benefit Plans. Except as specifically
provided in a retirement or other benefit plan of the Company, a Related Entity,
IMPCO, or a Subsidiary of IMPCO, Awards shall not be deemed compensation for
purposes of computing benefits or contributions under any retirement plan of the
Company, a Related Entity, IMPCO, or a Subsidiary of IMPCO, and shall not affect
any benefits under any other benefit plan of any kind or any benefit plan
subsequently instituted under which the availability or amount of benefits is
related to level of compensation. The Plan is not a "Retirement Plan" or
"Welfare Plan" under the Employee Retirement Income Security Act of 1974, as
amended.

     17. Stockholder Approval. The grant of Incentive Stock Options under the
Plan shall be subject to approval by the stockholders of the Company within
twelve (12) months before or after the date the Plan is adopted excluding
Incentive Stock Options issued in substitution for outstanding Incentive Stock
Options pursuant to Section 424(a) of the Code. Such stockholder approval shall
be obtained in the degree and manner required under Applicable Laws. The
Administrator may grant Incentive Stock Options under the Plan prior to approval
by the stockholders, but until such approval is obtained, no such Incentive
Stock Option shall be exercisable. In the event that stockholder approval is not
obtained within the twelve (12) month period provided above, all Incentive Stock
Options previously granted under the Plan shall be exercisable as Non-Qualified
Stock Options.

     18. Effect of Section 162(m) of the Code. Following the Registration Date,
the Plan, and all Awards issued thereunder, are intended to be exempt from the
application the stockholder approval requirements of Section 162(m) of the Code,
which restricts under certain circumstances the Federal income tax deduction for
compensation paid by a public company to named executives in excess of $1
million per year. The exemption is based on Treasury Regulation Section
1.162-27(f)(4)(iii), in the form existing on the effective date of the Plan,
with the understanding that such regulation generally exempts from the
application of the stockholder approval requirements of Section 162(m) of the
Code compensation paid pursuant to a plan of a subsidiary of a public company
that becomes publicly held. Under Treasury Regulation Section
1.162-27(f)(4)(iii), and in the event of a Registration Date, this exemption is
available to the Plan for the duration of the period that lasts until the first
regularly scheduled meeting of the stockholders of the Company that occurs more
than 12 months after the Registration Date. The Committee may, without
stockholder approval, amend the Plan retroactively and/or prospectively to the
extent it determines such amendment is necessary in order to comply with any
subsequent clarification of Section 162(m) of the Code required to preserve the
Company's Federal income tax deduction for compensation paid pursuant to the
Plan. To the extent that the

                                       15

<PAGE>

Administrator determines as of the date of grant of an Award that (i) the Award
is intended to qualify as Performance-Based Compensation and (ii) the exemption
described above is no longer available with respect to such Award, such Award
shall not be effective until any stockholder approval required under Section
162(m) of the Code has been obtained.

                                       16

<PAGE>

                QUANTUM FUEL SYSTEMS TECHNOLOGIES WORLDWIDE, INC.
                            2002 STOCK INCENTIVE PLAN

                          NOTICE OF STOCK OPTION AWARD

         Grantee's Name and Address:       ___________________________________

                                           ___________________________________

                                           ___________________________________

         You have been granted an option to purchase shares of Common Stock,
subject to the terms and conditions of this Notice of Stock Option Award (the
"Notice"), the Quantum Fuel Systems Technologies Worldwide, Inc. 2002 Stock
Incentive Plan, as amended from time to time (the "Plan") and the Stock Option
Award Agreement (the "Option Agreement") attached hereto, as follows. Unless
otherwise defined herein, the terms defined in the Plan shall have the same
defined meanings in this Notice.

         Award Number                      ___________________________________

         Date of Award                     ___________________________________

         Vesting Commencement Date         ___________________________________

         Exercise Price per Share          $__________________________________

         Total Number of Shares Subject
         to the Option (the "Shares")      ___________________________________

         Total Exercise Price              $__________________________________

         Type of Option:                   ______  Incentive Stock Option

                                           ______  Non-Qualified Stock Option

         Expiration Date:                  ___________________________________

         Post-Termination Exercise Period: Thirty (30) Days

Vesting Schedule:

         Subject to Grantee's Continuous Service and other limitations set forth
in this Notice, the Plan and the Option Agreement, the Option may be exercised,
in whole or in part, in accordance with the following schedule:

         [25% of the Shares subject to the Option shall vest twelve months after
the Vesting Commencement Date, and an additional 25% of the Shares subject to
the Option shall vest on each yearly anniversary of the Vesting Commencement
Date thereafter.]

         During any authorized leave of absence, the vesting of the Option as
provided in this schedule shall be suspended after the leave of absence exceeds
a period of ninety (90) days. Vesting of the Option shall resume upon the
Grantee's termination of the leave of absence and return to service to the
Company or a Related Entity. The Vesting Schedule of the Option shall be
extended by the length of the suspension.

<PAGE>

     In the event of the Grantee's change in status from Employee to Consultant
or from an Employee whose customary employment is 20 hours or more per week to
an Employee whose customary employment is fewer than 20 hours per week, vesting
of the Option shall continue only to the extent determined by the Administrator
as of such change in status.

     In the event of termination of the Grantee's Continuous Service for Cause,
the Grantee's right to exercise the Option shall terminate concurrently with the
termination of the Grantee's Continuous Service, except as otherwise determined
by the Administrator.

     IN WITNESS WHEREOF, the Company and the Grantee have executed this Notice
and agree that the Option is to be governed by the terms and conditions of this
Notice, the Plan, and the Option Agreement.

                                             Quantum Fuel Systems Technologies
                                             Worldwide, Inc.,
                                             a Delaware corporation

                                             By:______________________________

                                             Title:___________________________

THE GRANTEE ACKNOWLEDGES AND AGREES THAT THE SHARES SUBJECT TO THE OPTION SHALL
VEST, IF AT ALL, ONLY DURING THE PERIOD OF THE GRANTEE'S CONTINUOUS SERVICE (NOT
THROUGH THE ACT OF BEING HIRED, BEING GRANTED THE OPTION OR ACQUIRING SHARES
HEREUNDER). THE GRANTEE FURTHER ACKNOWLEDGES AND AGREES THAT NOTHING IN THIS
NOTICE, THE OPTION AGREEMENT, OR THE PLAN SHALL CONFER UPON THE GRANTEE ANY
RIGHT WITH RESPECT TO FUTURE AWARDS OR CONTINUATION OF GRANTEE'S CONTINUOUS
SERVICE, NOR SHALL IT INTERFERE IN ANY WAY WITH THE GRANTEE'S RIGHT OR THE RIGHT
OF THE GRANTEE'S EMPLOYER TO TERMINATE GRANTEE'S CONTINUOUS SERVICE, WITH OR
WITHOUT CAUSE, AND WITH OR WITHOUT NOTICE. THE GRANTEE ACKNOWLEDGES THAT UNLESS
THE GRANTEE HAS A WRITTEN EMPLOYMENT AGREEMENT WITH THE COMPANY TO THE CONTRARY,
GRANTEE'S STATUS IS AT WILL.

     The Grantee acknowledges receipt of a copy of the Plan and the Option
Agreement, and represents that he or she is familiar with the terms and
provisions thereof, and hereby accepts the Option subject to all of the terms
and provisions hereof and thereof. The Grantee has reviewed this Notice, the
Plan, and the Option Agreement in their entirety, has had an opportunity to
obtain the advice of counsel prior to executing this Notice, and fully
understands all provisions of this Notice, the Plan and the Option Agreement.
The Grantee hereby agrees that all disputes arising out of or relating to this
Notice, the Plan and the Option Agreement shall be resolved in accordance with
Section 13 of the Option Agreement. The Grantee further agrees to notify the
Company upon any change in the residence address indicated in this Notice.

Dated: ______________________          Signed: ________________________________
                                                          Grantee

                                       2

<PAGE>

                                                       Award Number: ___________

                QUANTUM FUEL SYSTEMS TECHNOLOGIES WORLDWIDE, INC.
                            2002 STOCK INCENTIVE PLAN

                          STOCK OPTION AWARD AGREEMENT

     1. Grant of Option. Quantum Fuel Systems Technologies Worldwide, Inc., a
Delaware corporation (the "Company"), hereby grants to the Grantee (the
"Grantee") named in the Notice of Stock Option Award (the "Notice"), an option
(the "Option") to purchase the Total Number of Shares of Common Stock subject to
the Option (the "Shares") set forth in the Notice, at the Exercise Price per
Share set forth in the Notice (the "Exercise Price") subject to the terms and
provisions of the Notice, this Stock Option Award Agreement (the "Option
Agreement") and the Company's 2002 Stock Incentive Plan, as amended from time to
time (the "Plan"), which are incorporated herein by reference. Unless otherwise
defined herein, the terms defined in the Plan shall have the same defined
meanings in this Option Agreement.

     If designated in the Notice as an Incentive Stock Option, the Option is
intended to qualify as an Incentive Stock Option as defined in Section 422 of
the Code. However, notwithstanding such designation, to the extent that the
aggregate Fair Market Value of Shares subject to Options designated as Incentive
Stock Options which become exercisable for the first time by the Grantee during
any calendar year (under all plans of the Company or any Parent or Subsidiary)
exceeds $100,000, such excess Options, to the extent of the Shares covered
thereby in excess of the foregoing limitation, shall be treated as Non-Qualified
Stock Options. For this purpose, Incentive Stock Options shall be taken into
account in the order in which they were granted, and the Fair Market Value of
the Shares shall be determined as of the date the Option with respect to such
Shares is awarded.

     2. Exercise of Option.

          (a) Right to Exercise. The Option shall be exercisable during its term
in accordance with the Vesting Schedule set out in the Notice and with the
applicable provisions of the Plan and this Option Agreement. The Option shall be
subject to the provisions of Section 11 of the Plan relating to the
exercisability or termination of the Option in the event of a Corporate
Transaction or Related Entity Disposition. The Grantee shall be subject to
reasonable limitations on the number of requested exercises during any monthly
or weekly period as determined by the Administrator. In no event shall the
Company issue fractional Shares.

          (b) Method of Exercise. The Option shall be exercisable by delivery of
an exercise notice (a form of which is attached as Exhibit A) or by such
procedure as specified from time to time by the Administrator which shall state
the election to exercise the Option, the whole number of Shares in respect of
which the Option is being exercised, and such other provisions as may be
required by the Administrator. The exercise notice shall be delivered in person,
by certified mail, or by such other method (including electronic transmission)
as determined from time to time by the Administrator to the Company accompanied
by payment of the Exercise

                                       1

<PAGE>

Price. The Option shall be deemed to be exercised upon receipt by the Company of
such written notice accompanied by the Exercise Price, which, to the extent
selected, shall be deemed to be satisfied by use of the broker-dealer sale and
remittance procedure to pay the Exercise Price provided in Section 3(d), below.

          (c) Taxes. No Shares will be delivered to the Grantee or other person
pursuant to the exercise of the Option until the Grantee or other person has
made arrangements acceptable to the Administrator for the satisfaction of
applicable income tax and employment tax withholding obligations, including,
without limitation, such other tax obligations of the Grantee incident to the
receipt of Shares or the disqualifying disposition of Shares received on
exercise of an Incentive Stock Option. Upon exercise of the Option, the Company
or the Grantee's employer may offset or withhold (from any amount owed by the
Company or the Grantee's employer to the Grantee) or collect from the Grantee or
other person an amount sufficient to satisfy such tax obligations and/or the
employer's withholding obligations.

     3. Method of Payment. Payment of the Exercise Price shall be made by any of
the following, or a combination thereof, at the election of the Grantee;
provided, however, that such exercise method does not then violate any
Applicable Law and, provided further, that the portion of the Exercise Price
equal to the par value of the Shares must be paid in cash or other legal
consideration permitted by the Delaware General Corporation Law:

          (a) cash;

          (b) check;

          (c) surrender of Shares or delivery of a properly executed form of
attestation of ownership of Shares as the Administrator may require (including
withholding of Shares otherwise deliverable upon exercise of the Option) which
have a Fair Market Value on the date of surrender or attestation equal to the
aggregate Exercise Price of the Shares as to which the Option is being exercised
(but only to the extent that such exercise of the Option would not result in an
accounting compensation charge with respect to the Shares used to pay the
exercise price); or

          (d) payment through a broker-dealer sale and remittance procedure
pursuant to which the Grantee (i) shall provide written instructions to a
Company-designated brokerage firm to effect the immediate sale of some or all of
the purchased Shares and remit to the Company, out of the sale proceeds
available on the settlement date, sufficient funds to cover the aggregate
exercise price payable for the purchased Shares and (ii) shall provide written
directives to the Company to deliver the certificates for the purchased Shares
directly to such brokerage firm in order to complete the sale transaction.

     4. Restrictions on Exercise. The Option may not be exercised if the
issuance of the Shares subject to the Option upon such exercise would constitute
a violation of any Applicable Laws.

     5. Termination or Change of Continuous Service. In the event the Grantee's
Continuous Service terminates, other than for Cause, the Grantee may, but only
during the Post-Termination Exercise Period, exercise the portion of the Option
that was vested at the date of such

                                       2

<PAGE>

termination (the "Termination Date"). In the event of termination of the
Grantee's Continuous Service for Cause, the Grantee's right to exercise the
Option shall, except as otherwise determined by the Administrator, terminate
concurrently with the termination of the Grantee's Continuous Service (also the
"Termination Date"). In no event shall the Option be exercised later than the
Expiration Date set forth in the Notice. In the event of the Grantee's change in
status from Employee, Director or Consultant to any other status of Employee,
Director or Consultant, the Option shall remain in effect; provided, however,
that with respect to any Incentive Stock Option that shall remain in effect
after a change in status from Employee to Director or Consultant, such Incentive
Stock Option shall cease to be treated as an Incentive Stock Option and shall be
treated as a Non-Qualified Stock Option on the day three (3) months and one (1)
day following such change in status. Except as provided in Sections 6 and 7
below, to the extent that the Option was unvested on the Termination Date, or if
the Grantee does not exercise the vested portion of the Option within the
Post-Termination Exercise Period, the Option shall terminate.

     6. Disability of Grantee. In the event the Grantee's Continuous Service
terminates as a result of his or her Disability, the Grantee may, but only
within twelve (12) months from the Termination Date (and in no event later than
the Expiration Date), exercise the portion of the Option that was vested on the
Termination Date; provided, however, that if such Disability is not a
"disability" as such term is defined in Section 22(e)(3) of the Code and the
Option is an Incentive Stock Option, such Incentive Stock Option shall cease to
be treated as an Incentive Stock Option and shall be treated as a Non-Qualified
Stock Option on the day three (3) months and one (1) day following the
Termination Date. To the extent that the Option was unvested on the Termination
Date, or if the Grantee does not exercise the vested portion of the Option
within the time specified herein, the Option shall terminate.

     7. Death of Grantee. In the event of the termination of the Grantee's
Continuous Service as a result of his or her death, or in the event of the
Grantee's death during the Post-Termination Exercise Period or during the twelve
(12) month period following the Grantee's termination of Continuous Service as a
result of his or her Disability, the Grantee's estate, or a person who acquired
the right to exercise the Option by bequest or inheritance, may exercise the
portion of the Option that was vested at the date of termination within twelve
(12) months from the date of death (but in no event later than the Expiration
Date). To the extent that the Option was unvested on the date of death, or if
the vested portion of the Option is not exercised within the time specified
herein, the Option shall terminate.

     8. Transferability of Option. The Option, if an Incentive Stock Option, may
not be transferred in any manner other than by will or by the laws of descent
and distribution and may be exercised during the lifetime of the Grantee only by
the Grantee; provided, however, that the Grantee may designate a beneficiary of
the Grantee's Incentive Stock Option in the event of the Grantee's death on a
beneficiary designation form provided by the Administrator. The Option, if a
Non-Qualified Stock Option, may be transferred to any person by will and by the
laws of descent and distribution. Non-Qualified Stock Options also may be
transferred during the lifetime of the Grantee by gift and pursuant to a
domestic relations order to members of the Grantee's Immediate Family to the
extent and in the manner determined by the Administrator. The terms of the
Option shall be binding upon the executors, administrators, heirs, successors
and transferees of the Grantee.

                                       3

<PAGE>

     9.  Term of Option. The Option may be exercised no later than the
Expiration Date set forth in the Notice or such earlier date as otherwise
provided herein.

     10. Tax Consequences. Set forth below is a brief summary as of the date of
this Option Agreement of some of the federal tax consequences of exercise of the
Option and disposition of the Shares. THIS SUMMARY IS NECESSARILY INCOMPLETE,
AND THE TAX LAWS AND REGULATIONS ARE SUBJECT TO CHANGE. THE GRANTEE SHOULD
CONSULT A TAX ADVISER BEFORE EXERCISING THE OPTION OR DISPOSING OF THE SHARES.

          (a) Exercise of Incentive Stock Option. If the Option qualifies as an
Incentive Stock Option, there will be no regular federal income tax liability
upon the exercise of the Option, although the excess, if any, of the Fair Market
Value of the Shares on the date of exercise over the Exercise Price will be
treated as income for purposes of the alternative minimum tax for federal tax
purposes and may subject the Grantee to the alternative minimum tax in the year
of exercise. However, the Internal Revenue Service issued proposed regulations
which would subject the Grantee to withholding at the time the Grantee exercises
an Incentive Stock Option for Social Security, Medicare and other payroll taxes
(not including income tax) based upon the excess, if any, of the Fair Market
Value of the Shares on the date of exercise over the Exercise Price. These
proposed regulations are subject to further modification by the Internal Revenue
Service and, if adopted, would be effective only for the exercise of an
Incentive Stock Option that occurs two years after the regulations are issued in
final form.

          (b) Exercise of Incentive Stock Option Following Disability. If the
Grantee's Continuous Service terminates as a result of Disability that is not
total and permanent disability as defined in Section 22(e)(3) of the Code, to
the extent permitted on the date of termination, the Grantee must exercise an
Incentive Stock Option within three (3) months of such termination for the
Incentive Stock Option to be qualified as an Incentive Stock Option.

          (c) Exercise of Non-Qualified Stock Option. On exercise of a
Non-Qualified Stock Option, the Grantee will be treated as having received
compensation income (taxable at ordinary income tax rates) equal to the excess,
if any, of the Fair Market Value of the Shares on the date of exercise over the
Exercise Price. If the Grantee is an Employee or a former Employee, the Company
will be required to withhold from the Grantee's compensation or collect from the
Grantee and pay to the applicable taxing authorities an amount in cash equal to
a percentage of this compensation income at the time of exercise, and may refuse
to honor the exercise and refuse to deliver Shares if such withholding amounts
are not delivered at the time of exercise.

          (d) Disposition of Shares. In the case of a Non-Qualified Stock
Option, if Shares are held for more than one year, any gain realized on
disposition of the Shares will be treated as long-term capital gain for federal
income tax purposes and subject to tax at a maximum rate of 20%. In the case of
an Incentive Stock Option, if Shares transferred pursuant to the Option are held
for more than one year after receipt of the Shares and are disposed more than
two years after the Date of Award, any gain realized on disposition of the
Shares also will be treated as capital gain for federal income tax purposes and
subject to the same tax rates and holding periods that apply to Shares acquired
upon exercise of a Non-Qualified Stock Option. If Shares purchased

                                       4

<PAGE>

under an Incentive Stock Option are disposed of prior to the expiration of such
one-year or two-year periods, any gain realized on such disposition will be
treated as compensation income (taxable at ordinary income rates) to the extent
of the difference between the Exercise Price and the lesser of (i) the Fair
Market Value of the Shares on the date of exercise, or (ii) the sale price of
the Shares.

     11.  Entire Agreement: Governing Law. The Notice, the Plan and this Option
Agreement constitute the entire agreement of the parties with respect to the
subject matter hereof and supersede in their entirety all prior undertakings and
agreements of the Company and the Grantee with respect to the subject matter
hereof, and may not be modified adversely to the Grantee's interest except by
means of a writing signed by the Company and the Grantee. Nothing in the Notice,
the Plan and this Option Agreement (except as expressly provided therein) is
intended to confer any rights or remedies on any persons other than the parties.
The Notice, the Plan and this Option Agreement are to be construed in accordance
with and governed by the internal laws of the State of California without giving
effect to any choice of law rule that would cause the application of the laws of
any jurisdiction other than the internal laws of the State of California to the
rights and duties of the parties. Should any provision of the Notice, the Plan
or this Option Agreement be determined by a court of law to be illegal or
unenforceable, such provision shall be enforced to the fullest extent allowed by
law and the other provisions shall nevertheless remain effective and shall
remain enforceable.

     12.  Headings. The captions used in the Notice and this Option Agreement
are inserted for convenience and shall not be deemed a part of the Option for
construction or interpretation.

     13.  Dispute Resolution The provisions of this Section 13 shall be the
exclusive means of resolving disputes arising out of or relating to the Notice,
the Plan and this Option Agreement. The Company, the Grantee, and the Grantee's
assignees (the "parties") shall attempt in good faith to resolve any disputes
arising out of or relating to the Notice, the Plan and this Option Agreement by
negotiation between individuals who have authority to settle the controversy.
Negotiations shall be commenced by either party by notice of a written statement
of the party's position and the name and title of the individual who will
represent the party. Within thirty (30) days of the written notification, the
parties shall meet at a mutually acceptable time and place, and thereafter as
often as they reasonably deem necessary, to resolve the dispute. If the dispute
has not been resolved by negotiation, the parties agree that any suit, action,
or proceeding arising out of or relating to the Notice, the Plan or this Option
Agreement shall be brought in the United States District Court for the Central
District of California (or should such court lack jurisdiction to hear such
action, suit or proceeding, in a California state court in the County of Los
Angeles) and that the parties shall submit to the jurisdiction of such court.
The parties irrevocably waive, to the fullest extent permitted by law, any
objection the party may have to the laying of venue for any such suit, action or
proceeding brought in such court. THE PARTIES ALSO EXPRESSLY WAIVE ANY RIGHT
THEY HAVE OR MAY HAVE TO A JURY TRIAL OF ANY SUCH SUIT, ACTION OR PROCEEDING. If
any one or more provisions of this Section 13 shall for any reason be held
invalid or unenforceable, it is the specific intent of the parties that such
provisions shall be modified to the minimum extent necessary to make it or its
application valid and enforceable.

                                       5

<PAGE>

     14.  Notices. Any notice required or permitted hereunder shall be given in
writing and shall be deemed effectively given upon personal delivery or upon
deposit in the United States mail by certified mail (if the parties are within
the United States) or upon deposit for delivery by an internationally recognized
express mail courier service (for international delivery of notice), with
postage and fees prepaid, addressed to the other party at its address as shown
beneath its signature in the Notice, or to such other address as such party may
designate in writing from time to time to the other party.

                                       6

<PAGE>

                                    EXHIBIT A

                QUANTUM FUEL SYSTEMS TECHNOLOGIES WORLDWIDE, INC.
                            2002 STOCK INCENTIVE PLAN

                                 EXERCISE NOTICE

Quantum Fuel Systems Technologies Worldwide, Inc.
17872 Cartwright Road
Irvine, California 92614
Attention: Secretary

     1.   Exercise of Option. Effective as of today, ______________, ___ the
undersigned (the "Grantee") hereby elects to exercise the Grantee's option to
purchase ___________ shares of the Common Stock (the "Shares") of Quantum Fuel
Systems Technologies Worldwide, Inc. (the "Company") under and pursuant to the
Company's 2002 Stock Incentive Plan, as amended from time to time (the "Plan")
and the [ ] Incentive [ ] Non-Qualified Stock Option Award Agreement (the
"Option Agreement") and Notice of Stock Option Award (the "Notice") dated
______________, ________. Unless otherwise defined herein, the terms defined in
the Plan shall have the same defined meanings in this Exercise Notice.

     2.   Representations of the Grantee. The Grantee acknowledges that the
Grantee has received, read and understood the Notice, the Plan and the Option
Agreement and agrees to abide by and be bound by their terms and conditions.

     3.   Rights as Stockholder. Until the stock certificate evidencing such
Shares is issued (as evidenced by the appropriate entry on the books of the
Company or of a duly authorized transfer agent of the Company), no right to vote
or receive dividends or any other rights as a stockholder shall exist with
respect to the Shares, notwithstanding the exercise of the Option. The Company
shall issue (or cause to be issued) such stock certificate promptly after the
Option is exercised. No adjustment will be made for a dividend or other right
for which the record date is prior to the date the stock certificate is issued,
except as provided in Section 10 of the Plan.

     4.   Delivery of Payment. The Grantee herewith delivers to the Company the
full Exercise Price for the Shares, which, to the extent selected, shall be
deemed to be satisfied by use of the broker-dealer sale and remittance procedure
to pay the Exercise Price provided in Section 3(d) of the Option Agreement.

     5.   Tax Consultation. The Grantee understands that the Grantee may suffer
adverse tax consequences as a result of the Grantee's purchase or disposition of
the Shares. The Grantee represents that the Grantee has consulted with any tax
consultants the Grantee deems advisable in connection with the purchase or
disposition of the Shares and that the Grantee is not relying on the Company for
any tax advice.

     6.   Taxes. The Grantee agrees to satisfy all applicable foreign, federal,
state and local income and employment tax withholding obligations and herewith
delivers to the Company the full amount of such obligations or has made
arrangements acceptable to the Company to satisfy such obligations. In the case
of an Incentive Stock Option, the Grantee also agrees, as

                                       1

<PAGE>

partial consideration for the designation of the Option as an Incentive Stock
Option, to notify the Company in writing within thirty (30) days of any
disposition of any shares acquired by exercise of the Option if such disposition
occurs within two (2) years from the Date of Award or within one (1) year from
the date the Shares were transferred to the Grantee. If the Company is required
to satisfy any foreign, federal, state or local income or employment tax
withholding obligations as a result of such an early disposition, the Grantee
agrees to satisfy the amount of such withholding in a manner that the
Administrator prescribes.

     7.   Successors and Assigns. The Company may assign any of its rights under
this Exercise Notice to single or multiple assignees, and this agreement shall
inure to the benefit of the successors and assigns of the Company. This Exercise
Notice shall be binding upon the Grantee and his or her heirs, executors,
administrators, successors and assigns.

     8.   Headings. The captions used in this Exercise Notice are inserted for
convenience and shall not be deemed a part of this agreement for construction or
interpretation.

     9.   Dispute Resolution. The provisions of Section 13 of the Option
Agreement shall be the exclusive means of resolving disputes arising out of or
relating to this Exercise Notice.

     10.  Governing Law; Severability. This Exercise Notice is to be construed
in accordance with and governed by the internal laws of the State of California
without giving effect to any choice of law rule that would cause the application
of the laws of any jurisdiction other than the internal laws of the State of
California to the rights and duties of the parties. Should any provision of this
Exercise Notice be determined by a court of law to be illegal or unenforceable,
such provision shall be enforced to the fullest extent allowed by law and the
other provisions shall nevertheless remain effective and shall remain
enforceable.

     11.  Notices. Any notice required or permitted hereunder shall be given in
writing and shall be deemed effectively given upon personal delivery or upon
deposit in the United States mail by certified mail (if the parties are within
the United States) or upon deposit for delivery by an internationally recognized
express mail courier service (for international delivery of notice), with
postage and fees prepaid, addressed to the other party at its address as shown
below beneath its signature, or to such other address as such party may
designate in writing from time to time to the other party.

     12.  Further Instruments. The parties agree to execute such further
instruments and to take such further action as may be reasonably necessary to
carry out the purposes and intent of this agreement.

     13.  Entire Agreement. The Notice, the Plan and the Option Agreement are
incorporated herein by reference and together with this Exercise Notice
constitute the entire agreement of the parties with respect to the subject
matter hereof and supersede in their entirety all prior undertakings and
agreements of the Company and the Grantee with respect to the subject matter
hereof, and may not be modified adversely to the Grantee's interest except by
means of a writing signed by the Company and the Grantee. Nothing in the Notice,
the Plan, the Option Agreement and this Exercise Notice (except as expressly
provided therein) is intended to confer any rights or remedies on any persons
other than the parties.

                                       2

<PAGE>

Submitted by:                   Accepted by:

GRANTEE:                        QUANTUM FUEL SYSTEMS TECHNOLOGIES
                                WORLDWIDE, INC.

                                By: ____________________________________________

                                Title: _________________________________________
-------------------------
       (Signature)

Address:                        Address:
-------                         -------

_________________________       17872 Cartwright Road
_________________________       Irvine, California 92614

                                       3<PAGE>

                                                                    Exhibit 10.1

                      Master Separation and Sale Agreement

                                  by and among

                        Schlumberger Technologies, Inc.,

                      Schlumberger Technology Corporation,

                                 Schlumberger BV

                                       and

                                  NPTest, Inc.

                                _______ __, 2002

<PAGE>

                                TABLE OF CONTENTS
                                -----------------

<TABLE>
<CAPTION>
                                                                                                                Page
                                                                                                                ----
<S>                                                                                                              <C>
ARTICLE I SEPARATION .......................................................................................      2

     Section 1.1      Separation Date.......................................................................      2

     Section 1.2      Closing of Transactions...............................................................      2

     Section 1.3      Exchange of Secretary's Certificates..................................................      2

     Section 1.4      No Derogation from Prior Transfers....................................................      2

     Section 1.5      Transfers to NPT Include Transfers to Other Members of the NPT Group..................      2

ARTICLE II DOCUMENTS AND ITEMS TO BE DELIVERED ON OR PRIOR TO THE SEPARATION DATE ..........................      3

     Section 2.1      Documents to Be Delivered by Schlumberger.............................................      3

     Section 2.2      Documents to Be Delivered by NPT......................................................      4

ARTICLE III THE IPO AND ACTIONS PENDING THE IPO ............................................................      4

     Section 3.1      Transactions Prior to the IPO.........................................................      4

     Section 3.2      Cooperation...........................................................................      4

     Section 3.3      Conditions Precedent to Consummation of the IPO.......................................      5

ARTICLE IV THE SALE ........................................................................................      6

     Section 4.1      The Sale..............................................................................      6

ARTICLE V COVENANTS AND OTHER MATTERS ......................................................................     6

     Section 5.1      Other Agreements......................................................................      6

     Section 5.2      Further Instruments...................................................................      6

     Section 5.3      Intentionally Omitted.................................................................      7

     Section 5.4      Agreement for Exchange of Information.................................................      7

     Section 5.5      Auditors and Audits; Annual and Quarterly Statements and Accounting...................      8

     Section 5.6      Consistency with Past Practices.......................................................     10

     Section 5.7      Payment of Expenses...................................................................     10

     Section 5.8      Dispute Resolution....................................................................     10

     Section 5.9      Governmental Approvals................................................................     11

     Section 5.10     No Representation or Warranty.........................................................     12

     Section 5.11     Employee Agreements:  Definition......................................................     12
</TABLE>

<PAGE>

<TABLE>
<S>                                                                                                                   <C>
          Section 5.12     Cooperation in Obtaining New Agreements.................................................   14

          Section 5.13     Property Damage to NPT Assets Prior to the Separation Date..............................   14

          Section 5.14     Charter/bylaw Amendments................................................................   14

          Section 5.15     NPTest Board Representation.............................................................   15

     ARTICLE VI MISCELLANEOUS .....................................................................................   16

          Section 6.1      Limitation of Liability.................................................................   16

          Section 6.2      Entire Agreement........................................................................   17

          Section 6.3      Governing Law...........................................................................   17

          Section 6.4      Descriptive Headings....................................................................   17

          Section 6.5      Termination.............................................................................   17

          Section 6.6      Notices.................................................................................   17

          Section 6.7      Counterparts............................................................................   18

          Section 6.8      Binding Effect; Assignment..............................................................   18

          Section 6.9      Severability............................................................................   19

          Section 6.10     Failure or Indulgence Not Waiver; Remedies Cumulative...................................   19

          Section 6.11     Amendment...............................................................................   19

          Section 6.12     Authority...............................................................................   19

          Section 6.13     Conflicting Agreements..................................................................   19

     ARTICLE VII DEFINITIONS ......................................................................................   20

          Section 7.1      Affiliate...............................................................................   20

          Section 7.2      "Ancillary Agreements"..................................................................   20

          Section 7.3      Employee Agreement......................................................................   20

          Section 7.4      Governmental Approvals..................................................................   20

          Section 7.5      Governmental Authority..................................................................   20

          Section 7.6      Information.............................................................................   20

          Section 7.7      IPO Closing Date........................................................................   20

          Section 7.8      Local Transfer Agreements...............................................................   20

          Section 7.9      NPT Assets..............................................................................   20

          Section 7.10     NPT Group...............................................................................   20

          Section 7.11     NPT's Auditors..........................................................................   21

          Section 7.12     Person..................................................................................   21

          Section 7.13     Schlumberger Group......................................................................   21

          Section 7.14     Schlumberger's Auditors.................................................................   21

          Section 7.15     Subsidiary..............................................................................   21
</TABLE>

                                       ii

<PAGE>

                      MASTER SEPARATION AND SALE AGREEMENT

         This Master Separation and Sale Agreement (this "Agreement") is entered
into as of _______ __, 2002, by and among Schlumberger Technologies, Inc., a
Delaware corporation ("STI"), Schlumberger Technology Corporation, a Texas
corporation ("STC"), Schlumberger BV, a company organized and existing under the
laws of the Netherlands ("SBV" and, together with STI, and STC, "Schlumberger"),
and NPTest, Inc. ("NPT"), a Delaware corporation. Capitalized terms used herein
and not otherwise defined herein shall have the meanings ascribed to such terms
in Article VII hereof.

                                    RECITALS

         WHEREAS, STI and SBV collectively own all of the currently issued and
outstanding common stock of NPT;

         WHEREAS, NPT is engaged in certain aspects of the automated test
equipment business and related businesses (collectively, the "NPT Business") as
described in the Registration Statement on Form S-1, Registration No. 333-88710
(as amended or supplemented from time to time, the "IPO Registration
Statement");

         WHEREAS, the Board of Directors of each of STI, STC, SBV and NPT has
determined that it would be appropriate and desirable for Schlumberger to
contribute and transfer to NPT, and for NPT to receive and assume, directly or
indirectly, certain assets and liabilities currently held, directly or
indirectly, by Schlumberger and associated with the NPT Business, as identified
in more detail herein (the "Separation");

         WHEREAS, effective as of May 10, 2002, STI contributed and transferred
to NPT, and NPT received and assumed, assets and liabilities theretofore held by
Schlumberger and associated with the NPT Business that was theretofore conducted
by Schlumberger in the United States (the "U.S. Transfer");

         WHEREAS, on or prior to the date of this Agreement, members of the
Schlumberger Group have transferred to members of the NPT Group certain assets
and liabilities associated with the NPT Business that was theretofore conducted
by Schlumberger outside the United States (together with the U.S. Transfer, the
"Prior Transfers"), with the intent of completing the Prior Transfers on or
before the Separation Date;

         WHEREAS, Schlumberger and NPT currently contemplate that, following the
contribution and assumption of the assets and liabilities associated with the
NPT Business as identified herein, NPT will make an initial public offering
("IPO") of an amount of its common stock pursuant to the IPO Registration
Statement that will reduce STI's and SBV's combined ownership of NPT's issued
and outstanding shares of common stock after the IPO to not more than ____%,
assuming no exercise of the underwriters' over-allotment option;

         WHEREAS, each of STI and SBV currently intends to divest its remaining
ownership in NPT through public or private sales of all of the shares of NPT
common stock owned by it at a time subsequent to the date of the IPO (the
"Sale"); and

<PAGE>

         WHEREAS, the parties intend in this Agreement, including the Exhibits
hereto, to set forth the principal arrangements between them regarding the
separation of NPT and the NPT Business from Schlumberger.

         NOW, THEREFORE, in consideration of the foregoing and the covenants and
agreements set forth below, the parties hereto agree as follows:

                                   ARTICLE I

                                   SEPARATION

         Section 1.1 Separation Date. Unless otherwise provided in this
Agreement, or in any agreement to be executed in connection with this Agreement,
the effective time and date of each transfer of property, assumption of
liability, license, undertaking, or agreement in connection with the Separation
shall be 12:01 a.m., Pacific Time, _______ __, 2002 or such other date as may be
fixed by the parties (the "Separation Date").

         Section 1.2 Closing of Transactions. Unless otherwise provided herein,
the closing of the transactions contemplated in Article II shall occur by the
lodging of each of the executed instruments of transfer, assumptions of
liability, undertakings, agreements, instruments or other documents executed or
to be executed with Skadden, Arps, Slate, Meagher & Flom LLP ("SASM&F"), 525
University Avenue, Palo Alto, California 94301, to be held in escrow for
delivery as provided in Section 1.3.

         Section 1.3 Exchange of Secretary's Certificates.

           Upon receipt of a certificate of the Secretary or an Assistant
Secretary of each of STI, STC and SBV in the form attached to this Agreement as
Exhibit A, SASM&F shall deliver to NPT on behalf of STI, STC and SBV all of the
items required to be delivered by them hereunder pursuant to Section 2.1 and
each such item shall be deemed to be delivered to NPT as of the Separation Date
upon delivery of such certificate. Upon receipt of a certificate of the
Secretary or an Assistant Secretary of NPT in the form attached to this
Agreement as Exhibit B, SASM&F shall deliver to STI, STC and SBV on behalf of
NPT all of the items required to be delivered by NPT pursuant to Section 2.2
hereunder and each such item shall be deemed to be delivered to STI, STC and SBV
as of the Separation Date upon receipt of such certificate.

         Section 1.4 No Derogation from Prior Transfers. For convenience, this
Agreement and the Ancillary Agreements may speak in the future tense as to
transfers to NPT or other members of the NPT Group of certain assets and
liabilities associated with the NPT Business, but nothing in this Agreement or
any Ancillary Agreement shall derogate from the fact that the Prior Transfers
have already been completed, and any reference to either or both of the Prior
Transfers in the future tense shall be construed as confirmatory of the same.

         Section 1.5 Transfers to NPT Include Transfers to Other Members of the
NPT Group. References in this Agreement and the Ancillary Agreements to
transfers of assets and liabilities to NPT shall, where appropriate, include
transfers of certain assets and liabilities to other members of the NPT Group.

                                       2

<PAGE>

                                   ARTICLE II

     DOCUMENTS AND ITEMS TO BE DELIVERED ON OR PRIOR TO THE SEPARATION DATE

         Section 2.1 Documents to Be Delivered by Schlumberger. On the
Separation Date or such other date as agreed in connection with the Prior
Transfers, each of STI and SBV will deliver, or will cause its appropriate
Affiliates to deliver, to NPT all of the following items and agreements
(collectively, together with all agreements and documents contemplated by such
agreements, the "Ancillary Agreements"):

                 (a) A duly executed General Assignment and Assumption Agreement
(the "Assignment Agreement") substantially in the form attached hereto as
Exhibit C;

                 (b) A duly executed Master Technology Ownership and License
Agreement substantially in the form attached hereto as Exhibit D-1, a duly
executed Master Patent Ownership Agreement substantially in the form attached
hereto as Exhibit D-2 and a duly executed Master Trademark Ownership and License
Agreement substantially in the form attached as Exhibit D-3;

                 (c) A duly executed Employee Matters Agreement substantially in
the form attached hereto as Exhibit E;

                 (d) A duly executed Tax Sharing Agreement substantially in the
form attached hereto as Exhibit F;

                 (e) A duly executed Master Transitional Services Agreement
substantially in the form attached hereto as Exhibit G;

                 (f) A duly executed Real Estate Matters Agreement substantially
in the form attached hereto as Exhibit H;

                 (g) A duly executed Master Confidential Disclosure Agreement
substantially in the form attached hereto as Exhibit I;

                 (h) A duly executed Indemnification and Insurance Matters
Agreement substantially in the form attached hereto as Exhibit J;

                 (i) A duly executed Registration Rights Agreement substantially
in the form attached hereto as Exhibit K;

                 (j) The agreements, documents and instruments relating to the
Prior Transfers;

                 (k) Resignations of each person who is an officer or director
of Schlumberger or its Affiliates immediately prior to the Separation Date, and
who will be an employee of NPT or its Subsidiaries from and after the Separation
Date; and

                                       3

<PAGE>

                 (l) Such other agreements, documents or instruments as the
parties may agree are necessary or desirable in order to achieve the purposes
hereof.

         Section 2.2 Documents to Be Delivered by NPT. As of the Separation
Date, NPT will deliver to each of STI and SBV all of the following:

                 (a) In each case where NPT is a party to any agreement or
instrument referred to in Section 2.1, a duly executed counterpart of such
agreement or instrument; and

                 (b) Resignations of each person who is an officer or director
of NPT or its Subsidiaries immediately prior to the Separation Date, and who
will be an employee of Schlumberger or its Affiliates (excluding NPT and its
controlled Affiliates) from and after the Separation Date.

                                   ARTICLE III

                       THE IPO AND ACTIONS PENDING THE IPO

         Section 3.1 Transactions Prior to the IPO. Subject to the conditions
specified in Section 3.3, STI, SBV and NPT shall each use their reasonable
efforts to consummate the IPO. Such efforts shall include, but not necessarily
be limited to, those specified in this Section 3.1.

                 (a) Registration Statement. NPT, STI, STC and SBV shall
cooperate in preparing, filing with the Securities and Exchange Commission (the
"Commission") and causing to become effective a registration statement
registering the common stock of NPT under the Securities and Exchange Act of
1934, as amended (the "Exchange Act"), and any registration statements or
amendments thereof which are required to reflect the establishment of, or
amendments to, any employee benefit and other plans necessary or appropriate in
connection with the IPO, the Separation, the Sale or the other transactions
contemplated by this Agreement. NPT shall file such amendments or supplements to
the IPO Registration Statement as may be necessary in order to cause the same to
become and remain effective as required by law or by the underwriters for the
IPO (the "Underwriters"), including, but not limited to, filing such amendments
to the IPO Registration Statement as may be required by the underwriting
agreement to be entered into among NPT, STI, STC and SBV and the Underwriters
(in form and substance reasonably acceptable to NPT, STI, STC and SBV, the
"Underwriting Agreement"), the Commission, or federal, state or foreign
securities laws.

                 (b) Underwriting Agreement. Each of NPT, STI, STC and SBV shall
enter into the Underwriting Agreement, and shall comply with its obligations
thereunder, except as may otherwise be waived by the underwriters.

                 (c) NASDAQ or NYSE Listing. NPT shall use reasonable efforts to
apply to have its shares of the common stock to be issued in the IPO quoted on
The NASDAQ Stock Market's National Market (the "Nasdaq") or The New York Stock
Exchange ("NYSE") (each hereinafter being referred to as a "National Exchange"),
subject to official notice of issuance.

         Section 3.2 Cooperation. NPT shall consult, and cooperate in all
respects, with STI and SBV in connection with the pricing of the common stock of
NPT to be offered in the IPO

                                       4

<PAGE>

and shall, at their direction, promptly take any and all actions necessary or
desirable to consummate the IPO as contemplated by the IPO Registration
Statement and the Underwriting Agreement. Schlumberger shall have final
authority over the pricing for the NPT common stock to be offered in the IPO of
the secondary shares and number of shares to be so offered.

         Section 3.3 Conditions Precedent to Consummation of the IPO. The IPO
closing is currently scheduled to occur on or before _______ __, 2002 (the "IPO
Closing Date"). The obligations of the parties to use their reasonable efforts
to consummate the IPO on or before the IPO Closing Date shall be conditioned on
the satisfaction of the following conditions:

                 (a) Registration Statement. The IPO Registration Statement
shall have been filed and declared effective by the Commission, and there shall
be no stop-order in effect with respect thereto.

                 (b) Blue Sky. The actions and filings with regard to state
securities and blue sky laws of the United States (and any comparable laws under
any foreign jurisdictions) shall have been taken and, where applicable, have
become effective or been accepted.

                 (c) National Exchange Listing. The common stock of NPT to be
issued in the IPO shall have been accepted for quotation on a National Exchange,
subject to official notice of issuance.

                 (d) Underwriting Agreement. Each of NPT, STI, STC and SBV shall
have entered into the Underwriting Agreement and all conditions to the
obligations of NPT and the Underwriters shall have been satisfied or waived.

                 (e) No Legal Restraints. No order, injunction or decree issued
by any court or agency of competent jurisdiction or other legal restraint or
prohibition preventing the consummation of the Separation or the IPO or any of
the other transactions contemplated by this Agreement shall be in effect.

                 (f) Regulatory Compliance. All regulatory notices or relevant
permissions have been received with respect to the IPO and Separation and all
relevant waiting periods have lapsed.

                 (g) Separation. The Separation shall have become effective by
execution and delivery of this Agreement and the Ancillary Agreements.

                 (h) Board Approval. The execution of this agreement and those
other agreements contemplated hereunder have been duly authorized by the Board
of Directors of each party.

                 (i) Other Actions. Such other actions as the parties hereto
may, based upon the advice of counsel, reasonably request to be taken prior to
the IPO in order to assure the successful completion of the IPO shall have been
taken.

                 (j) No Termination. This Agreement shall not have been
terminated in accordance with its terms.

                                       5

<PAGE>

                                   ARTICLE IV

                                    THE SALE

         Section 4.1 The Sale. The Sale may occur at one or more times (subject
to any agreed to lockup periods or required quiet periods) and in amounts to be
determined solely at the discretion of STI and SBV, taking into account business
and market conditions. NPT shall cooperate with STI and SBV in all respects to
accomplish each such Sale and shall, at their direction, promptly take any and
all actions necessary or desirable to effect any such Sale, including, without
limitation, the registration under the Securities Act of 1933, as amended (the
"Securities Act") of the common stock of NPT on an appropriate registration form
or forms to be designated by STI or SBV in accordance with the terms and
conditions set forth in the Registration Rights Agreement, or as otherwise
mutually agreed to among NPT, STI and SBV. Schlumberger shall have the sole
right to select any investment banker(s), manager(s) and underwriter(s) in
connection with the Sale, as well as any financial printer, except as otherwise
provided in the Registration Rights Agreement with respect to "piggyback"
rights; provided, however, that nothing herein shall prohibit each of NPT, STI
and SBV from engaging (at its own expense) its own financial, legal, accounting
and other advisors in connection with the Sale.

                                   ARTICLE V

                           COVENANTS AND OTHER MATTERS

         Section 5.1 Other Agreements. Schlumberger, SBV and NPT agree to
execute or cause to be executed by the appropriate parties and deliver, as
appropriate, such other agreements, instruments and other documents as may be
necessary or desirable in order to effect the purposes of this Agreement and the
Ancillary Agreements.

         Section 5.2 Further Instruments. At the request of NPT, and without
further consideration, STI, STC and SBV will execute and deliver, and will cause
their respective applicable Affiliates to execute and deliver, to NPT and its
applicable Subsidiaries such other instruments of transfer, conveyance,
assignment, substitution and confirmation and take such action as NPT may
reasonably deem necessary or desirable to transfer, convey and assign to NPT and
its Subsidiaries and confirm NPT's and its Subsidiaries' title to all of the
assets, rights and other things of value contemplated to be transferred to NPT
and its Subsidiaries pursuant to this Agreement, the Ancillary Agreements and
any documents referred to therein, to put NPT and its Subsidiaries in actual
possession and operating control thereof and to permit NPT and its Subsidiaries
to exercise all rights with respect thereto (including, without limitation,
rights under contracts and other arrangements as to which the consent of any
third party to the transfer thereof shall not have previously been obtained). At
the request of STI, STC or SBV and without further consideration, NPT will
execute and deliver, and will cause its applicable Subsidiaries to execute and
deliver, to Schlumberger and its applicable Affiliates all instruments,
assumptions, novations, undertakings, substitutions or other documents and take
such other action as STI or SBV may reasonably deem necessary or desirable in
order to have NPT fully and unconditionally assume and discharge the liabilities
contemplated to be assumed by NPT under this Agreement or any document in
connection herewith and to relieve the Schlumberger Group of any liability or
obligation with respect thereto and evidence the same to third parties. Neither

                                       6

<PAGE>

STI, STC, SBV nor NPT shall be obligated, in connection with the foregoing, to
expend money other than reasonable out-of-pocket expenses, attorneys' fees and
recording or similar fees. Furthermore, each party, at the request of the other
party hereto, shall execute and deliver such other instruments and do and
perform such other acts and things as may be necessary or desirable for
effecting completely the consummation of the transactions contemplated hereby.

         Section 5.3 Intentionally Omitted.

         Section 5.4 Agreement for Exchange of Information.

                (a)  Generally. Each of STI, SBV and NPT agrees to provide, or
cause to be provided, to each other, at any time before or after the IPO Closing
Date, as soon as reasonably practicable after written request therefor, any
Information in the possession or under the control of such party that the
requesting party reasonably needs (i) to comply with reporting, disclosure,
filing or other requirements imposed on the requesting party (including under
applicable securities laws) by a Governmental Authority having jurisdiction over
the requesting party, (ii) for use in any other judicial, regulatory,
administrative or other proceeding or in order to satisfy audit, accounting,
claims, regulatory, litigation or other similar requirements, (iii) to comply
with its obligations under this Agreement or any Ancillary Agreement or (iv) in
connection with the ongoing businesses of STI, SBV or NPT, or their respective
Affiliates, as the case may be; provided, however, that (a) any Confidential
Information so disclosed shall be subject to the terms of the Master
Confidential Disclosure Agreement, and (b) further provided that in the event
that any party determines that any such provision of Information could be
commercially detrimental, violate any law or agreement or waive any
attorney-client privilege, the parties shall take all reasonable measures to
permit the compliance with such obligations in a manner that avoids any such
harm or consequence.

                (b)  Internal Accounting Controls; Financial Information. After
the Separation Date, (i) each party shall maintain in effect at its own cost and
expense adequate systems and controls for its business to the extent necessary
to enable the other party to satisfy its reporting, accounting, audit and other
obligations, and (ii) each party shall provide, or cause to be provided, to the
other party and its Affiliates in such form as such requesting party shall
request, at no charge to the requesting party, all financial and other data and
information as the requesting party determines necessary or advisable in order
to prepare its financial statements and reports or filings with any Governmental
Authority.

                (c)  Ownership of Information. Any Information owned by a party
that is provided to a requesting party pursuant to this Section 5.4 shall be
deemed to remain the property of the providing party. Unless specifically set
forth herein, nothing contained in this Agreement shall be construed as granting
or conferring rights of license or otherwise in any such Information.

                (d)  Record Retention. To facilitate the possible exchange of
Information pursuant to this Section 5.4 and other provisions of this Agreement
after the Separation Date, each party agrees to use its reasonable efforts to
retain all Information in its respective possession or control on the Separation
Date substantially in accordance with the policies of Schlumberger as in effect
on the Separation Date. However, except as set forth in the Tax

                                       7

<PAGE>

Sharing Agreement, at any time after the Separation Date, each party may amend
its respective record retention policies at such party's discretion; provided,
however, that if a party desires to effect the amendment within three years
after the Separation Date, the amending party must give 30 days' prior written
notice of such change in the policy to the other party to this Agreement.

                  (i)  No party will destroy, or permit any of its Subsidiaries
to knowingly destroy, any Information that exists on the Separation Date (other
than Information that is permitted to be destroyed under the current record
retention policies of Schlumberger) and that falls under the categories listed
in Section 5.4(a), without first using reasonable efforts to notify the other
party of the proposed destruction and giving the other party the opportunity to
take possession of such Information prior to such destruction.

                (e)  Limitation of Liability. No party shall have any liability
to any other party in the event that any Information exchanged or provided
pursuant to this Section 5.4 is found to be inaccurate, in the absence of gross
negligence or willful misconduct by the party providing such Information. No
party shall have any liability to any other party if any Information is
destroyed or lost after reasonable efforts by such party to comply with the
provisions of this Section 5.4.

                (f)  Other Agreements Providing for Exchange of Information. The
rights and obligations granted under this Section 5.4 are subject to any
specific limitations, qualifications or additional provisions on the sharing,
exchange or confidential treatment of Information set forth in this Agreement
and any Ancillary Agreement, including the provisions of the Confidential
Disclosure Agreement.

                (g)  Production of Witnesses; Records; Cooperation. After the
Separation Date, except in the case of a legal or other proceeding by one party
against another party (which shall be governed by such discovery rules as may be
applicable under Section 5.10 or otherwise), each party hereto shall use its
reasonable efforts to make available to each other party, upon written request,
the former, current and future directors, officers, employees, other personnel
and agents of such party as witnesses and any books, records or other documents
within its control or which it otherwise has the ability to make available, to
the extent that any such person (giving consideration to business demands of
such directors, officers, employees, other personnel and agents) or books,
records or other documents may reasonably be required in connection with any
legal, administrative or other proceeding in which the requesting party may from
time to time be involved, regardless of whether such legal, administrative or
other proceeding is a matter with respect to which indemnification may be sought
hereunder. The requesting party shall bear all costs and expenses in connection
therewith, including legal fees.

         Section 5.5 Auditors and Audits; Annual and Quarterly Statements and
Accounting. Each party agrees that, for so long as Schlumberger is required in
accordance with United States generally accepted accounting principles to
consolidate or record under the equity method NPT's results of operations and
financial position:

                (a)  Selection of Auditors. NPT shall not select a different
accounting firm from that used by Schlumberger to serve as its (and its
Subsidiaries') independent certified public accountants ("NPT's Auditors") for
purposes of providing an opinion on its consolidated

                                       8

<PAGE>

financial statements without Schlumberger's prior written consent (which consent
may be withheld at Schlumberger's sole discretion).

         (b) Date of Auditors' Opinion and Quarterly Reviews. NPT shall use its
reasonable efforts to enable the NPT Auditors to complete their audit such that
they will date their opinion on NPT's audited annual financial statements on the
same date that Schlumberger's independent certified public accountants
("Schlumberger's Auditors") date their opinion on Schlumberger's audited annual
financial statements, and to enable Schlumberger to meet its timetable for the
printing, filing and public dissemination of Schlumberger's annual financial
statements. NPT shall use its reasonable commercial efforts to enable the NPT
Auditors to complete their quarterly review procedures such that they will
provide clearance on NPT's quarterly financial statements on the same date that
Schlumberger's Auditors provide clearance on Schlumberger's quarterly financial
statements.

         (c) Annual and Quarterly Financial Statements. NPT shall provide to
Schlumberger on a timely basis all Information that Schlumberger reasonably
requires to meet its schedule for the preparation, printing, filing, and public
dissemination of Schlumberger's annual and quarterly financial statements in
accordance with Schlumberger's financial procedures. Without limiting the
generality of the foregoing, NPT will provide all required financial Information
with respect to NPT and its Subsidiaries to NPT's Auditors in a sufficient and
reasonable time and in sufficient detail to permit NPT's Auditors to take all
steps and perform all reviews necessary to provide sufficient assistance to
Schlumberger's Auditors with respect to financial Information to be included or
contained in Schlumberger's annual and quarterly financial statements.
Similarly, Schlumberger shall provide to NPT on a timely basis all financial
Information that NPT reasonably requires to meet its schedule for the
preparation, printing, filing, and public dissemination of NPT's annual and
quarterly financial statements. Without limiting the generality of the
foregoing, Schlumberger will provide all required financial Information with
respect to Schlumberger and its Subsidiaries to Schlumberger's Auditors in a
sufficient and reasonable time and in sufficient detail to permit Schlumberger's
Auditors to take all steps and perform all reviews necessary to provide
sufficient assistance to NPT's Auditors with respect to Information that is
required to be included or contained in NPT's annual and quarterly financial
statements.

         (d) Identity of Personnel Performing the Annual Audit and Quarterly
Reviews. NPT shall authorize NPT's Auditors to make available to Schlumberger's
Auditors both the personnel who performed or will perform the annual audits and
quarterly reviews of NPT and work papers related to the annual audits and
quarterly reviews of NPT, in all cases within a reasonable time prior to NPT's
Auditors' opinion date, so that Schlumberger's Auditors are able to perform the
procedures they consider necessary to take responsibility for the work of NPT's
Auditors as it relates to Schlumberger's Auditors' report on Schlumberger's
financial statements, all within sufficient time to enable Schlumberger to meet
its timetable for the printing, filing and public dissemination of
Schlumberger's annual and quarterly statements. Similarly, Schlumberger shall
authorize Schlumberger's Auditors to make available to NPT's Auditors both the
personnel who performed or will perform the annual audits and quarterly reviews
of Schlumberger and work papers related to the annual audits and quarterly
reviews of Schlumberger, in all cases within a reasonable time prior to
Schlumberger's Auditors' opinion date, so that NPT's Auditors are able to
perform the procedures they consider necessary to take

                                       9

<PAGE>

responsibility for the work of Schlumberger's Auditors as it relates to NPT's
Auditors' report on NPT's statements, all within sufficient time to enable NPT
to meet its timetable for the printing, filing and public dissemination of NPT's
annual and quarterly financial statements.

            (e)  Access to Books and Records. NPT shall provide Schlumberger's
internal auditors and their designees access to NPT's and its Subsidiaries'
books and records so that Schlumberger may conduct reasonable audits relating to
the financial statements provided by NPT pursuant hereto as well as to the
internal accounting controls and operations of NPT and its Subsidiaries.

            (f)  Notice of Change in Accounting Principles. NPT shall give
Schlumberger as much prior notice as reasonably practicable of any proposed
determination of, or any significant changes in, its accounting estimates or
accounting principles from those in effect on the Separation Date. NPT will
consult with Schlumberger and, if requested by Schlumberger, NPT will consult
with Schlumberger's independent public accountants with respect thereto.
Schlumberger shall give NPT as much prior notice as reasonably practicable of
any proposed determination of, or any significant changes in, its accounting
estimates or accounting principles with respect to NPT from those in effect on
the Separation Date.

            (g)  Conflict with Third-Party Agreements. Nothing in Sections 5.4
or 5.5 shall require NPT to violate any agreement with any third party regarding
the confidentiality of confidential and proprietary information relating to that
third party or its business; provided, however, that in the event that NPT is
required under Sections 5.4 or 5.5 to disclose any such Information, NPT shall
use reasonable efforts to seek to obtain such third party's consent to the
disclosure of such information.

     Section 5.6 Consistency with Past Practices. At all times before the
Separation Date, Schlumberger and NPT will conduct the NPT Business in the
ordinary course, consistent with past practices.

     Section 5.7 Payment of Expenses. Except as otherwise provided in this
Agreement, the Ancillary Agreements or any other agreement between the parties
relating to the Separation, the IPO or the Sale, all costs and expenses of the
parties hereto in connection with the Separation, other than certain taxes (as
specified in the Ancillary Agreements) shall be borne by Schlumberger. The costs
and expenses of the parties hereto in connection with the IPO (other than
underwriting discounts and commissions) and the Sale shall be borne by STI and
SBV. Each party hereto shall be responsible for its own internal costs incurred
in connection with the Separation, the IPO and the Sale.

     Section 5.8 Dispute Resolution.

            (a)  If a dispute, controversy or claim ("Dispute") arises between
the parties relating to the interpretation or performance of this Agreement or
the Ancillary Agreements, or the grounds for the termination hereof, appropriate
senior executives (e.g. director or V.P. level) of each party who shall have the
authority to resolve the matter shall meet to attempt in good faith to negotiate
a resolution of the Dispute prior to pursuing other available remedies. The
initial meeting between the appropriate senior executives shall be referred to
herein as the

                                       10

<PAGE>

"Dispute Resolution Commencement Date." Discussions and correspondence relating
to trying to resolve such Dispute shall be treated as confidential information
developed for the purpose of settlement and shall be exempt from discovery or
production and shall not be admissible. If the senior executives are unable to
resolve the Dispute within 30 days from the Dispute Resolution Commencement
Date, and either party wishes to pursue its rights relating to such Dispute,
then the Dispute will be mediated by a mutually acceptable mediator appointed
pursuant to the mediation rules of JAMS/Endispute within 30 days after written
notice by one party to the other demanding non-binding mediation. Neither party
may unreasonably withhold consent to the selection of a mediator or the location
of the mediation. Both parties will share the costs of the mediation equally,
except that each party shall bear its own costs and expenses, including
attorney's fees, witness fees, travel expenses, and preparation costs. The
parties may also mutually agree to replace mediation with some other form of
non-binding or binding ADR.

            (b)  Any Dispute which the parties cannot resolve through mediation
within 90 days of the Dispute Resolution Commencement Date, unless otherwise
mutually agreed, shall be submitted to final and binding arbitration under the
then current Commercial Arbitration Rules of the American Arbitration
Association ("AAA"), by three arbitrators in Santa Clara County, California.
Such arbitrators shall be selected by the mutual agreement of the parties or,
failing such agreement, shall be selected according to the aforesaid AAA rules.
The arbitrators will be instructed to prepare and deliver a written, reasoned
opinion stating their decision within 30 days of the completion of the
arbitration. The prevailing party in such arbitration shall be entitled to
expenses, including costs and reasonable attorneys' and other professional fees,
incurred in connection with the arbitration (but excluding any costs and fees
associated with prior negotiation or mediation). The decision of the arbitrator
shall be final and non-appealable and may be enforced in any court of competent
jurisdiction. The use of any ADR procedures will not be construed under the
doctrine of laches, waiver or estoppel to adversely affect the rights of either
party.

            (c)  Any Dispute regarding the following is not required to be
negotiated, mediated or arbitrated prior to seeking relief from a court of
competent jurisdiction: breach of any obligation of confidentiality;
infringement, misappropriation, or misuse of any intellectual property right;
any other claim where interim or equitable relief from the court is sought to
prevent serious and irreparable injury to one of the parties or to others.
However, the parties to the Dispute shall make a good faith effort to negotiate
and mediate such Dispute, according to the above procedures, while such court
action is pending.

            (d)  Continuity of Service and Performance. Unless otherwise agreed
in writing, the parties will continue to provide service and honor all other
commitments under this Agreement and each Ancillary Agreement during the course
of dispute resolution pursuant to the provisions of this Section 5.8 with
respect to all matters not subject to such dispute, controversy or claim.

     Section 5.9 Governmental Approvals. To the extent that the Separation
requires any Governmental Approvals, the parties will use their best efforts to
obtain any such Governmental Approvals.

                                       11

<PAGE>

     Section 5.10 No Representation or Warranty. Schlumberger does not, in this
Agreement or any other agreement, instrument or document contemplated by this
Agreement, make any representation as to, warranty of or covenant with respect
to:

             (a)  the value of any asset or thing of value previously
transferred or to be transferred to NPT;

             (b)  the freedom from encumbrance or claims of any asset or thing
of value previously transferred or to be transferred to NPT;

             (c)  the transferability of rights, obligations, or licenses of
third parties with respect to the assets of the NPT Business;

             (d)  the absence of defenses or freedom from counterclaims with
respect to any claim previously transferred or to be transferred to NPT; or

             (e)  the legal sufficiency of any assignment, document or
instrument delivered or previously delivered hereunder to convey title to any
asset or thing of value upon its execution, deliver and filing.

Except as may expressly be set forth herein or in any Ancillary Agreement, all
assets previously transferred or to be transferred to NPT shall have been or
will be transferred "AS IS, WHERE IS" and NPT shall bear the economic and legal
risk that any conveyance shall prove to be insufficient to vest in NPT good and
marketable title, free and clear of any lien, claim, equity or other
encumbrance. NPT ACKNOWLEDGES AND AGREES THAT SCHLUMBERGER MAKES NO
REPRESENTATIONS OR EXTENDS ANY WARRANTIES WHATSOEVER, EXPRESS, IMPLIED OR
STATUTORY, WITH RESPECT THERETO, INCLUDING WITHOUT LIMITATION ANY WARRANTIES
CONCERNING THE QUALITY, SUFFICIENCY OR USEABILITY OF THE ASSETS TRANSFERRED
HEREUNDER, AND ANY IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A
PARTICULAR PURPOSE, TITLE, ENFORCEABILITY OR NON-INFRINGEMENT. NPT ACKNOWLEDGES
THAT IT IS SOLELY RESPONSIBLE FOR ANY RESULTS OBTAINED FROM THE USE OF THE
ASSETS AND NPT HEREBY IRREVOCABLY WAIVES ANY CLAIMS IT MAY HAVE OR LATER MAY
HAVE AGAINST SCHLUMBERGER AND THE SCHLUMBERGER GROUP IN CONNECTION WITH SUCH
USE.

     Section 5.11 Employee Agreements:  Definition.  As used in this Section
5.11, "Employee Agreement" means the Patent and Confidential Information
Agreement and corresponding agreements in foreign countries executed by each
Schlumberger employee.

             (a)  Survival of Employee Agreement Obligations and Schlumberger's
Common Law Rights. The Employee Agreements of all Schlumberger employees
transferred to NPT as of the IPO Closing Date shall remain in full force and
effect according to their terms; provided, however, that none of the following
acts committed by former Schlumberger employees within the scope of their NPT
employment shall constitute a breach of such Schlumberger Employee Agreements:
(i) the use or disclosure of Confidential Information (as that term is defined
in the former Schlumberger employee's Schlumberger Employee Agreement)

                                       12

<PAGE>

for or on behalf of NPT, if such disclosure is consistent with the rights
granted to NPT and restrictions imposed on NPT under this Agreement, any
Ancillary Agreement or any other agreement between the parties; (ii) the
disclosure and assignment to NPT of rights in proprietary developments authored
or conceived by the former Schlumberger employee after the Separation Date and
resulting from the use of, or based upon intellectual property (whether patented
or not) which is retained by Schlumberger; provided, however, that in no event
shall such disclosure and assignment be regarded as assigning rights in or to
the underlying intellectual property to NPT, which rights are defined in the
Ancillary Agreements; or (iii) the rendering of any services, directly or
indirectly, to NPT to the extent such services are consistent with the
assignment or license of rights granted to NPT and the restrictions imposed on
NPT under this Agreement, any Ancillary Agreement or any other agreement between
the parties. Schlumberger retains any rights it has under statute or common law
with respect to actions by its former employees to the extent such actions are
inconsistent with the rights granted to NPT and restrictions imposed on NPT
under this Agreement, any Ancillary Agreement or any other agreement between the
parties.

         (b)   Assignment, Cooperation for Compliance and Enforcement.

            (i)   Schlumberger retains all rights under the Schlumberger
Employee Agreements of all former Schlumberger employees necessary to permit
Schlumberger to protect the rights and interests of Schlumberger, but hereby
transfers and assigns to NPT its rights under the Schlumberger Employee
Agreements of all former Schlumberger employees to the extent required to permit
NPT to enjoin, restrain, recover damages from or obtain specific performance of
the Schlumberger Employee Agreements or obtain other remedies against any
employee who breaches his/her Schlumberger Employee Agreement with respect to
matters relating to the NPT Business.

            (ii)  Schlumberger and NPT agree, at their own respective cost and
expense, to use their reasonable efforts to cooperate as follows: (A) NPT shall
advise Schlumberger of: (1) any violation(s) of the Schlumberger Employee
Agreements by former Schlumberger employees, and (2) any violation(s) of the NPT
Employee Agreement which affect Schlumberger's rights; and (B) Schlumberger
shall advise NPT of any violations of the Schlumberger Employee Agreements by
current or former Schlumberger employees which affect NPT's rights; provided,
however, that the foregoing obligations shall only apply to violations which
become known to an attorney within the legal department of the party obligated
to provide notice thereof.

            (iii) Schlumberger and NPT each may separately enforce the
Schlumberger Employee Agreements of former Schlumberger employees to the extent
necessary to reasonably protect their respective interests, provided, however,
that (i) NPT shall not commence any legal action relating thereto without first
consulting with Schlumberger's General Counsel or his/her designee and (ii)
Schlumberger shall not commence any legal action relating thereto against any
former Schlumberger employee who is at the time an NPT employee without first
consulting with NPT's General Counsel or his/her designee. If either party, in
seeking to enforce any Schlumberger Employee Agreement, notifies the other party
that it is, in their legal advisor's reasonable opinion, desirable for such
party to join in such action, then the other party shall do so, provided however
that the party bringing such action and requiring such joinder shall pay any

                                       13

<PAGE>

expenses and costs (including legal fees) incurred by the other party. In
addition, if either party commences or becomes a party to any action to enforce
a Schlumberger Employee Agreement of a former Schlumberger employee, the other
party shall, whether or not it becomes a party to the action, cooperate with the
other party by making available its files and employees who have information or
knowledge relevant to the dispute, subject to appropriate measures to protect
the confidentiality of any proprietary or confidential information that may be
disclosed in the course of such cooperation or action and subject to any
relevant privacy laws and regulations. Any such action shall be conducted at the
expense of the party bringing the action and the parties shall agree on a case
by case basis on compensation, if any, of the other party for the value of the
time of such other party's employees as reasonably required in connection with
the action.

              (iv)   Schlumberger and NPT understand and acknowledge that
matters relating to the making, performance, enforcement, assignment and
termination of employee agreements are typically governed by the laws and
regulations of the national, federal, state or local governmental unit where an
employee resides, or where an employee's services are rendered, and that such
laws and regulations may supersede or limit the applicability or enforceability
of this Section 5.11. In such circumstances, Schlumberger and NPT agree to take
action with respect to the employee agreements that best accomplishes the
parties' objectives as set forth in this Section 5.11 and that is consistent
with applicable law.

     Section 5.12 Cooperation in Obtaining New Agreements. The parties
understand that, prior to the Separation Date, NPT has derived benefits under
certain agreements and relationships between Schlumberger and third parties,
which agreements and relationships are not being assigned or transferred to NPT
in connection with the Separation. During the first year following the
Separation Date and upon the request of NPT, Schlumberger agrees to make
introductions of appropriate NPT personnel to Schlumberger's contacts at such
third parties, and agrees to provide reasonable assistance to NPT, at
Schlumberger's own expense, so that NPT may seek to enter into agreements or
relationships with such third parties. Such assistance may include, but is not
limited to, (i) requesting and encouraging such third parties to enter into such
agreements or relationships with NPT and (ii) attending meetings with NPT and
such third parties. The parties further understand that certain agreements
between Schlumberger and third parties which are being assigned to NPT in
connection with the Separation may require the consent of the applicable third
party. Schlumberger shall reasonably assist NPT in seeking to obtain the consent
of such third parties to such assignment(s).

     Section 5.13 Property Damage to NPT Assets Prior to the Separation Date. In
the event of any property damage, other than ordinary wear and tear, to any NPT
Assets held by Schlumberger which occurs prior to the Separation Date,
Schlumberger shall, at its sole discretion, make its reasonable efforts to
repair or otherwise address such damage in the ordinary course of business
consistent with past practices; provided, however, that nothing in this clause
shall restrict Schlumberger from disposing of any Assets in the ordinary course
of business consistent with past practices.

     Section 5.14 Charter/bylaw Amendments. So long as the Schlumberger Group
owns shares representing [ ]% of the voting power of all of the outstanding
shares of Common Stock of NPT, NPT will not, without the prior consent of
Schlumberger, adopt any amendments to its certificate of incorporation or bylaws
or take or recommend to its stockholders any action that

                                       14

<PAGE>

would (i) impose limitations on the legal rights of the Schlumberger Group as
NPT stockholders other than those imposed pursuant to the express terms of this
Agreement, including, without limitation, any action which would impose
restrictions (A) based upon the size of security holding, the business in which
a security holder is engaged or considerations applicable to the Schlumberger
Group and not to security holders generally, or (B) with reference to the Common
Stock generally, by means of the issuance of or proposal to issue any other
class of securities having voting power disproportionately greater than the
equity investment in NPT represented by such securities; (ii) involve the
issuance or corporate action providing for the issuance of any warrant, capital
stock, rights or other security that has rights (including rights of redemption)
that are dependent upon the amount of voting securities owned by the
Schlumberger Group; (iii) deny any benefit to the Schlumberger Group
proportionately as holders of any class of voting securities that is made
available to other holders of the same class of voting securities generally; or
(iv) alter voting or other rights of the holders of any class of voting
securities so that any such rights (or the vote required with respect to any
matter) are determined with reference to the amount of voting securities held by
the Schlumberger Group; provided, that this Section 5.14 shall not prohibit NPT
from adopting a customary shareholder rights plan, reasonably satisfactory to
Schlumberger, or taking any action otherwise prohibited hereby, so long as the
Schlumberger Group is either expressly or as part of a class of stockholders
which includes the Schlumberger Group exempted from such action or the
limitations on legal rights imposed thereby with respect to the number of shares
of Common Stock owned by them at the time such plan is adopted.

     Section 5.15  NPT Board Representation.

             (a)   For so long as the Schlumberger Group beneficially owns
shares representing less than 50% but more than 10% of the voting power of all
of the outstanding Common Stock, Schlumberger shall have the right to designate
for nomination by the NPT Board (or any nominating committee thereof) to the NPT
Board a proportionate number of members of the NPT Board, as calculated in
accordance with Section 5.15(d). Notwithstanding anything to the contrary set
forth herein, NPT's obligations with respect to the election or appointment of
Schlumberger designated members shall be limited to the obligations set forth
under subsections (b) and (c) below.

             (b)   NPT shall exercise all authority under applicable law and
shall use its best efforts to cause three persons designated by Schlumberger to
be elected to the NPT Board effective at or prior to the Separation Date.
Commencing with the annual meeting of stockholders of NPT to be held in 2003 and
prior to each annual meeting of stockholders of NPT thereafter, Schlumberger
shall be entitled to present to the NPT Board or any nominating committee
thereof such number of designees of Schlumberger (each, a "Schlumberger
Designee") for election at such annual meeting as would result in Schlumberger
having the appropriate number of Schlumberger Designees on the NPT Board as
determined pursuant to subsection (a) above.

             (c)   NPT shall at all such times exercise all authority under
applicable law and use its best efforts to cause all such designees to be
nominated as Board members by the nominating committee of the NPT Board if there
is such a committee or by the NPT Board otherwise. NPT shall cause each
Schlumberger Designee for election to the NPT Board to be

                                       15

<PAGE>

included in the slate of designees recommended by the NPT Board to NPT's
stockholders for election as directors at each annual meeting of the
stockholders of NPT (or at any special meeting held for the election of
directors) and shall use its best efforts to cause the election of each such
Schlumberger Designee, including soliciting proxies in favor of the election of
such person. In the event that any Schlumberger Designee elected to the NPT
Board shall cease to serve as a director for any reason, the vacancy resulting
therefrom shall be filled by the NPT Board with a substitute Schlumberger
Designee, unless such vacancy was caused by action of stockholders (in which
case, in accordance with NPT's Restated Certificate of Incorporation, the
stockholders shall fill such vacancy). In the event that as a result of an
increase in the size of the NPT Board, Schlumberger is entitled to have one or
more additional Schlumberger Designees elected to the NPT Board pursuant to
subsection (a) above, the NPT Board shall appoint the appropriate number of such
additional Schlumberger Designees, unless such increase in size of the NPT Board
was caused by the action of stockholders (in which case, in accordance with
NPT's Restated Certificate of Incorporation, the stockholders shall elect such
additional director or directors). The parties hereto agree that the directors
of NPT identified in the Registration Statement include three Schlumberger
Designees.

               (d)    If at any time that Schlumberger Designees are to serve on
the NPT Board, Schlumberger beneficially owns shares representing less than 50%
but more than 10% of the total voting power of all of the outstanding Common
Stock of NPT, the number of persons Schlumberger shall be entitled to designate
for nomination by the NPT Board (or any nominating committee thereof) for
election to the NPT Board shall be equal to the number of directors computed
using the following formula (rounded to the nearest whole number): the product
of (1) the percentage of the voting power of all of the outstanding shares of
Common Stock of NPT beneficially owned by the Schlumberger Group and (2) the
number of directors then on the NPT Board (assuming no vacancies exist).
Notwithstanding the foregoing, if Schlumberger beneficially owns shares of
Common Stock of NPT representing less than 50% of the total voting power of all
outstanding shares of voting stock of NPT and the calculation of the formula set
forth in the foregoing sentence would result in Schlumberger being entitled to
elect a majority of the members of the NPT Board, the formula will be
recalculated with the product being rounded down to the nearest whole number. If
the number of Schlumberger Designees serving on the NPT Board exceeds the number
determined pursuant to the foregoing sentences of this Section 5.15(d) (such
difference being herein called the "Excess Director Number"), then Schlumberger
shall, upon request of the NPT Board (with the Schlumberger Designees
abstaining), use its reasonable best efforts to cause Schlumberger Designees
selected by Schlumberger in its sole discretion (the number of which designees
shall be equal to the Excess Director Number) to promptly resign from the NPT
Board, and, to the extent such persons do not so resign, Schlumberger shall
assist NPT in increasing the size of the NPT Board, so that after giving effect
to such increase, the number of Schlumberger Designees on the NPT Board is in
accordance with the provisions of this Section 5.15(d).

                                   ARTICLE VI

                                 MISCELLANEOUS

         Section 6.1  Limitation of Liability.  IN NO EVENT SHALL ANY MEMBER OF
THE SCHLUMBERGER GROUP OR NPT GROUP BE LIABLE TO ANY OTHER MEMBER

                                       16

<PAGE>

OF THE SCHLUMBERGER GROUP OR NPT GROUP FOR ANY SPECIAL, CONSEQUENTIAL, INDIRECT,
INCIDENTAL OR PUNITIVE DAMAGES, LOST PROFITS, LOSS OF BUSINESS, LOSS OF USE OF
ASSETS, LOSS OF VALUE OF ASSETS, LOSS OF DATA, COST OF COVER, OR BUSINESS
INTERRUPTION HOWEVER CAUSED AND ON ANY THEORY OF LIABILITY (INCLUDING
NEGLIGENCE) ARISING IN ANY WAY OUT OF THIS AGREEMENT, WHETHER OR NOT SUCH PARTY
HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES; PROVIDED, HOWEVER, THAT THE
FOREGOING LIMITATIONS SHALL NOT LIMIT EACH PARTY'S INDEMNIFICATION OBLIGATIONS
FOR THOSE LIABILITIES THAT ARE SET FORTH IN THE INDEMNIFICATION AND INSURANCE
MATTERS AGREEMENT. THE FOREGOING LIMITATION WILL NOT LIMIT EITHER PARTY'S
OBLIGATIONS WITH RESPECT TO PAYMENT OF DAMAGES OF ANY KIND INCLUDED IN AN AWARD
OR SETTLEMENT OF A THIRD PARTY CLAIM UNDER ANY INDEMNITY OR INFRINGEMENT DEFENSE
PROVISIONS SPECIFIED HEREIN OR IN THE ANCILLARY AGREEMENTS.

         Section 6.2 Entire Agreement. This Agreement, the Ancillary Agreements,
the Exhibits and Schedules referenced or attached hereto and thereto and the
agreements and documents pertaining to the Prior Transfers constitute the entire
agreement between the parties with respect to the subject matter hereof and
thereof and shall supersede all prior written and oral and all contemporaneous
oral agreements and understandings with respect to the subject matter hereof and
thereof.

         Section 6.3 Governing Law. This Agreement shall be construed in
accordance with and all Disputes hereunder shall be governed by the laws of the
State of Delaware, excluding its conflict of law rules and the United Nations
Convention on Contracts for the International Sale of Goods.

         Section 6.4 Descriptive Headings. The headings contained in this
Agreement, in any Exhibit or Schedule hereto and in the table of contents to
this Agreement are for reference purposes only and shall not affect in any way
the meaning or interpretation of this Agreement. Any capitalized term used in
any Exhibit or Schedule but not otherwise defined therein, shall have the
meaning assigned to such term in this Agreement. When a reference is made in
this Agreement to an Article or a Section, Exhibit or Schedule, such reference
shall be to an Article or Section of, or an Exhibit or Schedule to, this
Agreement unless otherwise indicated.

         Section 6.5 Termination. This Agreement and all Ancillary Agreements
may be terminated and the IPO Closing abandoned at any time prior to the IPO
Closing Date by and in the sole discretion of Schlumberger without the approval
of NPT. This Agreement may be terminated at any time after the IPO Closing Date
and before the Sale Date by mutual consent of Schlumberger and NPT. In the event
of termination pursuant to this Section 6.5, no party shall have any liability
of any kind to the other party.

         Section 6.6 Notices. Notices, offers, requests or other communications
required or permitted to be given by either party pursuant to the terms of this
Agreement shall be given in writing to the respective parties to the following
addresses:

                                       17

<PAGE>

                  if to STI:

                            Schlumberger Technologies, Inc.
                            [To Come]
                            Attention:   [__________]
                            Telephone:   [__________]
                            Facsimile:   [__________]

                  if to SBV:

                            Schlumberger BV
                            [To Come]
                            Attention:   [__________]
                            Telephone:   [__________]
                            Facsimile:   [__________]

                  if to STC:

                            Schlumberger Technology Corporation
                            [To Come]
                            Attention:   [__________]
                            Telephone:   [__________]
                            Facsimile:   [__________]

                  if to NPT:

                            NPTest, Inc.
                            [To Come]
                            Attention:   General Counsel
                            Telephone:   [__________]
                            Facsimile:   [__________]

or to such other address as the party to whom notice is given may have
previously furnished to the other in writing as provided herein. Any notice
involving non-performance, termination, or renewal shall be sent by hand
delivery, recognized overnight courier or, within the United States, may also be
sent via certified mail, return receipt requested. All other notices may also be
sent by fax, confirmed by first class mail. All notices shall be deemed to have
been given and received on the earlier of actual delivery or three days from the
date of postmark.

         Section 6.7 Counterparts. This Agreement, including the Ancillary
Agreement and the Exhibits and Schedules hereto and thereto and the other
documents referred to herein or therein, may be executed in counterparts, each
of which shall be deemed to be an original but all of which shall constitute one
and the same agreement.

         Section 6.8 Binding Effect; Assignment. No party may, directly or
indirectly, in whole or in part, whether by operation of law or otherwise,
assign or transfer this Agreement, without the other parties' prior written
consent, and any attempted assignment, transfer or

                                       18

<PAGE>

delegation without such prior written consent shall be voidable at the sole
option of such other parties. Notwithstanding the foregoing, each party (or its
permitted successive assignees or transferees hereunder) may assign or transfer
this Agreement as a whole without consent to an entity that succeeds to all or
substantially all of the business or assets of such party. Without limiting the
foregoing, this Agreement will be binding upon and inure to the benefit of the
parties and their permitted successors and assigns.

         Section 6.9  Severability. If any term or other provision of this
Agreement or the Exhibits or Schedules attached hereto is determined by a court,
administrative agency or arbitrator to be invalid, illegal or incapable of being
enforced by any rule of law or public policy, all other conditions and
provisions of this Agreement shall nevertheless remain in full force and effect
so long as the economic or legal substance of the transactions contemplated
hereby is not affected in any manner materially adverse to either party. Upon
such determination that any term or other provision is invalid, illegal or
incapable of being enforced, the parties hereto shall negotiate in good faith to
modify this Agreement so as to effect the original intent of the parties as
closely as possible in an acceptable manner to the end that transactions
contemplated hereby are fulfilled to the fullest extent possible.

         Section 6.10 Failure or Indulgence Not Waiver; Remedies Cumulative. No
failure or delay on the part of either party hereto in the exercise of any right
hereunder shall impair such right or be construed to be a waiver of, or
acquiescence in, any breach of any representation, warranty or agreement herein,
nor shall any single or partial exercise of any such right preclude other or
further exercise thereof or of any other right. All rights and remedies existing
under this Agreement or the Exhibits or Schedules attached hereto are cumulative
to, and not exclusive of, any rights or remedies otherwise available.

         Section 6.11 Amendment. No change or amendment will be made to this
Agreement or the Exhibits or Schedules attached hereto except by an instrument
in writing signed on behalf of each of the parties to such agreement.

         Section 6.12 Authority. Each of the parties hereto represents to the
other that (a) it has the corporate or other requisite power and authority to
execute, deliver and perform this Agreement, (b) the execution, delivery and
performance of this Agreement by it have been duly authorized by all necessary
corporate or other actions, (c) it has duly and validly executed and delivered
this Agreement, and (d) this Agreement is a legal, valid and binding obligation,
enforceable against it in accordance with its terms subject to applicable
bankruptcy, insolvency, reorganization, moratorium or other similar laws
affecting creditors' rights generally and general equity principles.

         Section 6.13 Conflicting Agreements. In the event of conflict between
this Agreement and any Ancillary Agreement or other agreement executed in
connection herewith, including any agreements executed in connection with the
Prior Transfers, the provisions of such other agreement shall prevail.

                                       19

<PAGE>

                                  ARTICLE VII

                                  DEFINITIONS

         Section 7.1  Affiliate. "Affiliate" of any Person means any entity that
controls, is controlled by, or is under common control with such Person. As used
herein, "control" means the possession, directly or indirectly, of the power to
direct or cause the direction of the management and policies of such entity,
whether through ownership of voting securities or other interests, by contract
or otherwise.

         Section 7.2  Ancillary Agreements

         "Ancillary Agreements" has the meaning set forth in Section 2.1 hereof.

         Section 7.3  Employee Agreement.

         "Employee Agreement" has the meaning set forth in Section 5.11 hereof.

         Section 7.4  Governmental Approvals. "Governmental Approvals" means any
notices, reports or other filings to be made, or any consents, registrations,
approvals, permits or authorizations to be obtained from, any Governmental
Authority.

         Section 7.5  Governmental Authority. "Governmental Authority" shall
mean any federal, state, local, foreign or international court, government,
department, commission, board, bureau, agency, official or other regulatory,
administrative or governmental authority.

         Section 7.6  Information. "Information" means information, whether or
not patentable or copyrightable, in written, oral, electronic or other tangible
or intangible forms, stored in any medium, including studies, reports, records,
books, contracts, instruments, surveys, discoveries, ideas, concepts, know-how,
techniques, designs, specifications, drawings, blueprints, diagrams, models,
prototypes, samples, flow charts, data, computer data, disks, diskettes, tapes,
computer programs or other software, marketing plans, customer names,
communications by or to attorneys (including attorney-client privileged
communications), memos and other materials prepared by attorneys or under their
direction (including attorney work product), and other technical, financial,
employee or business information or data.

         Section 7.7  IPO Closing Date. "IPO Closing Date" has the meaning set
forth in the Section 3.3 hereof.

         Section 7.8  Local Transfer Agreements. "Local Transfer Agreements"
means the agreements, documents and instruments relating to the Prior Transfers.

         Section 7.9  NPT Assets. "NPT Assets" has the meaning set forth in
Section 1.2 of the Assignment Agreement.

         Section 7.10 NPT Group. "NPT Group" means NPT and each Subsidiary
immediately after the Separation Date or that is contemplated to be a Subsidiary
pursuant to this Agreement or

                                       20

<PAGE>

the General Assignment and Assumption Agreement and each Person that becomes a
Subsidiary after the Separation Date.

         Section 7.11  NPT's Auditors. "NPT's Auditors" means NPT's independent
certified public accountants.

         Section 7.12  Person. "Person" means an individual, a partnership, a
corporation, a limited liability company, an association, a joint stock company,
a trust, a joint venture, an unincorporated organization and a governmental
entity or any department, agency or political subdivision thereof.

         Section 7.13  Schlumberger Group. "Schlumberger Group" means
Schlumberger Limited, and each Subsidiary and Affiliate of Schlumberger Limited
(other than any member of the NPT Group).

         Section 7.14  Schlumberger's Auditors. "Schlumberger's Auditors" means
Schlumberger's independent certified public accountants.

         Section 7.15  Subsidiary. "Subsidiary" of any Person means a
corporation or other organization whether incorporated or unincorporated of
which at least a majority of the securities or interests having by the terms
thereof ordinary voting power to elect at least a majority of the board of
directors or others performing similar functions with respect to such
corporation or other organization is directly or indirectly owned or controlled
by such Person or by any one or more of its Subsidiaries, or by such Person and
one or more of its Subsidiaries; provided, however, that no Person that is not
directly or indirectly wholly-owned by any other Person shall be a Subsidiary of
such other Person unless such other Person controls, or has the right, power or
ability to control, that Person.

                                       21

<PAGE>

         WHEREFORE, the parties have signed this Master Separation and Sale
Agreement effective as of the date first set forth above.

Schlumberger Technologies, Inc.        NPTest, Inc.

By: _______________________________    By: ____________________________________
    Name:                                  Name:
    Title:                                 Title:

Schlumberger BV

By: _______________________________
    Name:
    Title:

Schlumberger Technology Corporation

By: _______________________________
    Name:
    Title:

                                       22

<PAGE>

                                    EXHIBITS

Exhibit A     Certificate of Secretary of STI or SBV

Exhibit B     Certificate of Secretary of NPT

Exhibit C     General Assignment and Assumption Agreement

Exhibit D-1   Master Technology Ownership and License Agreement
Exhibit D-2   Master Patent Ownership Agreement
Exhibit D-3   Master Trademark Ownership and License Agreement

Exhibit E     Employee Matters Agreement

Exhibit F     Tax Sharing Agreement

Exhibit G     Master Transitional Services Agreement

Exhibit H     Real Estate Matters Agreement

Exhibit I     Master Confidential Disclosure Agreement

Exhibit J     Indemnification and Insurance Matters Agreement

Exhibit K     Registration Rights Agreement

<PAGE>

                                    EXHIBIT A

                           CERTIFICATE OF SECRETARY OF

              [SCHLUMBERGER TECHNOLOGIES, INC. OR SCHLUMBERGER BV]

                             SECRETARY'S CERTIFICATE

         I, _______________________________, Secretary of [Schlumberger
Technologies, Inc. or Schlumberger BV], a ____________ organized and existing
under the laws of __________________, DO HEREBY CERTIFY that attached hereto are
true and correct copies of certain resolutions adopted at a duly convened
meeting of the [Schlumberger Technologies, Inc. or Schlumberger BV] Board of
Directors on __________, 2002, which resolutions have not been amended, modified
or rescinded and remain in full force and effect on the date hereof.

         IN WITNESS WHEREOF, I have hereunder set my hand and affixed the seal
of [Schlumberger Technologies, Inc. or Schlumberger BV] this __________ day of
__________, 2002.

                                         _______________________________________
                                                         Secretary

<PAGE>

                                    EXHIBIT B

                      CERTIFICATE OF SECRETARY OF NPT, INC.

                             SECRETARY'S CERTIFICATE

         I, ___________________________, Secretary of NPT, a corporation
organized and existing under the laws of the State of Delaware (the "Company"),
DO HEREBY CERTIFY that attached hereto are true and correct copies of certain
resolutions adopted at a duly convened meeting of the Company's Board of
Directors on __________, 2002, which resolutions have not been amended, modified
or rescinded and remain in full force and effect on the date hereof.

         IN WITNESS WHEREOF, I have hereunder set my hand and affixed the seal
of the Company this __________ day of __________, 2002.

                                         _______________________________________
                                                         Secretary

<PAGE>

                                    EXHIBIT C

                   GENERAL ASSIGNMENT AND ASSUMPTION AGREEMENT

<PAGE>

                                   EXHIBIT D-1

                MASTER TECHNOLOGY OWNERSHIP AND LICENSE AGREEMENT

<PAGE>

                                  EXHIBIT D-2

                       MASTER PATENT OWNERSHIP AGREEMENT

<PAGE>

                                  EXHIBIT D-3

                MASTER TRADEMARK OWNERSHIP AND LICENSE AGREEMENT

<PAGE>

                                    EXHIBIT E

                           EMPLOYEE MATTERS AGREEMENT

<PAGE>

                                   EXHIBIT F

                             TAX SHARING AGREEMENT

<PAGE>

                                    EXHIBIT G

                     MASTER TRANSITIONAL SERVICES AGREEMENT

<PAGE>

                                   EXHIBIT H

                         REAL ESTATE MATTERS AGREEMENT

<PAGE>

                                    EXHIBIT I

                    MASTER CONFIDENTIAL DISCLOSURE AGREEMENT

<PAGE>

                                    EXHIBIT J

                INDEMNIFICATION AND INSURANCE MATTERS AGREEMENT

<PAGE>

                                    EXHIBIT K

                          REGISTRATION RIGHTS AGREEMENT

<PAGE>

                                   EXHIBIT L

                          REORGANIZATION OF OPERATIONS
                          (DOMESTIC AND INTERNATIONAL)

                                       37

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