Document:

Exhibit 10.17

 

MANUFACTURING
AND LICENSE AGREEMENT

 

Between

 

Elite Pharmaceuticals, Inc.

 

and

 

Epic Pharma LLC

 

 

 

 

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

    	 

    	 

    

 

MANUFACTURING AND LICENSE AGREEMENT

 

This License Agreement (“Agreement”)
is entered into as of the 2nd day of October, 2013 by and between EPIC PHARMA LLC,
a Delaware limited liability company (“EPIC”), and ELITE PHARMACEUTICALS, INC., a Nevada corporation and ELITE
LABORATORIES, INC. (a subsidiary of Elite Pharmaceuticals, Inc.), a Delaware corporation (collectively, “ELITE”).

 

WHEREAS, ELITE has
ownership rights to products/ANDAs specified on Schedule A (the “Exclusive Products”) and Schedule D (the “Non-Exclusive
Products”), together (the “Products”) as of October 1, 2013, and EPIC wishes to license from ELITE the right
to manufacture, market and sell the Products on the terms and conditions set forth in this Agreement;

 

NOW, THEREFORE, in
consideration of the mutual covenants and agreements set forth in this Agreement, and for other good and valuable consideration,
the receipt of which is hereby acknowledged, the parties hereto agree as follows:

  

GRANT OF LICENSE

 

1.1Exclusive
Product License. ELITE hereby grants to EPIC a license (“License” or “Licensing Rights”) without the
right to further sublicense, to manufacture, market and sell the Exclusive Products as listed in Schedule A in the United States,
including the right to reference the ANDA Number, where appropriate, for approval to market the Products in the United States.

 

1.2Non-Exclusive
Products License. ELITE hereby grants to EPIC a non-exclusive license (“Non-Exclusive License” or “Non-Exclusive
Licensing Rights”) without the right to further sublicense, to manufacture, market and sell the Non-Exclusive Products as
listed in Schedule D in the United States, including the right to reference the ANDA Number, where appropriate, for approval to
market the Non-Exclusive Products in the United States. ELITE shall be the only other company allowed to manufacture, market and
sell the Non-Exclusive Products and ELITE shall only sell to clinics. EPIC shall not share in any profits from Non-Exclusive Products
sold by ELITE.

 

1.3Marketing
Rights. ELITE hereby grants to EPIC exclusive marketing rights (“Marketing Rights”) to market and sell the Products
in the United States, and Puerto Rico). ELITE agrees that it shall not (and it shall not authorize, permit or suffer any of its
affiliates to), directly or indirectly, sell or distribute a Product in United States at any time during the term of this agreement
unless specifically authorized or excluded under the terms of this Agreement

 

1.4Trademarks.
EPIC agrees and acknowledges that it shall not acquire by virtue of this Agreement any interest in any trademarks or trade names
of ELITE.

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

  

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1.5Manufacturing.
ELITE hereby grants to EPIC rights to manufacture the Products for marketing and sales of the Products by EPIC in the United States
and Puerto Rico.

  

1.6Regulatory
and Pharmacovigilance. EPIC shall be responsible for all regulatory and pharmacovigilance matters related to these Products.

 

1.7Licensed
Trade Secrets. The information exchanged between ELITE and EPIC pursuant to this Agreement is expressly subject to the Mutual
Confidentiality and Non-Disclosure Agreement entered into by the parties and dated October 8, 2008 (the “Confidentiality
Agreement”) and whose term is hereby made coterminous with this Agreement.

 

1.8Improvements.
Any new information, developments, or improvements relating to the Products subject to this Agreement, and any patent or copyright
rights arising from or related thereto (collectively, “Improvements”) will be owned solely by ELITE but shall be automatically
included in the License, and if EPIC develops an Improvement that may be used beyond the Products which are the subject of this
Agreement, then ELITE does now automatically grant a worldwide, non-exclusive, irrevocable, royalty-free right for EPIC to use
the Improvement.

 

1.9Quality
Agreement. In conjunction with the execution of this Agreement, the parties shall execute a Quality Agreement.

 

1.10Site
Transfer. EPIC shall be responsible for all costs related to the site transfer for all Products.

 

COMPENSATION

 

2.1.License
Fee, Milestone, and Transfer Cost Payments. In return for the Licensing Rights described in this Agreement, EPIC shall pay
to ELITE the milestone payments (“Milestone Payments”) and a license fee (“License Fee”) compensation specified
in Schedule B. If ELITE manufactures any product for sale by EPIC, then the transfer cost for the Product shall be ${***}
per 1000 units in any configuration required by marketing plus the cost of the API at cost (as documented by invoices for the API)

 

2.2.Records.
EPIC shall keep complete and accurate records of all manufacture and sales of the Products and the calculation of product costs,
net sales and gross profit of the Products. EPIC shall also provide a detailed summary of the Cost of Goods for each product on
Schedule A. ELITE shall have the right, at ELITE’s expense and after thirty (30) days’ prior written notice to EPIC,
through an independent certified public accountant, on a mutually agreeable date, to examine such records at any time within one
(1) year after the due date of the License Fee payments to which such records relate, during regular business hours, during the
life of this Agreement and for twelve (12) months after expiration of the last production lot of Product sold by EPIC, in order
to verify the accuracy of the reports to be made under this Agreement. If the accountant determines that EPIC has under-compensated
ELITE, the findings shall be shared with EPIC. If EPIC agrees that EPIC has not paid ELITE all of the compensation ELITE was entitled
to receive, or it is later determined that EPIC did not pay all of the compensation due to ELITE, then EPIC shall pay the proper
amount of compensation and all costs and expenses incurred by ELITE to hire the accountant and all of the accountant’s expenses,
and all legal expenses, to obtain the appropriate compensation. If EPIC disputes in good faith the accuracy of the results of such
examination, the parties will retain a second independent certified public accountant whose examination will be binding upon both
parties. The losing party will pay all of the expenses of both independent certified public accountant examinations.

  

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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2.3.Reports.
EPIC will provide Reports as stipulated in Schedule B.

 

2.4.Payments
by EPIC. 

 

		(a)	All Milestone Payments will be made by check and mailed to ELITE within ten (10) days after the payment becomes due.

 

		(b)	The License Fee shall be paid to ELITE in monthly payments based upon the previous month’s Products that EPIC shipped
to its customers. All License Fee payments shall be made by check and mailed to ELITE within thirty (30) days after the end of
each calendar month. A copy of the Report for the prior month will accompany the check.

 

		(c)	A late fee of 1% per month will be accrued for all payments which EPIC fails to pay when due.

 

TERM AND TERMINATION

 

3.1.Term.
This Agreement shall become effective as of the date hereof and shall continue until five (5) years from such date (the “Initial
Term”), unless terminated earlier by mutual agreement of the parties or by one of the parties in accordance with this Article
3; provided further that the parties shall have the option, by mutual agreement, to extend the Initial Term of this Agreement for
an additional five (5) years (a “Renewal Term” and collectively with the Initial Term, the “Term”) by the
parties exchanging written notice of such election not less than six (6) months prior to the expiration of the Initial Term.

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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3.2.Modification
for Lack of Licensing Fees and Minimum Unit Volumes.

 

		(a)	EPIC hereby agrees to exert commercially reasonable efforts and shall devote the same efforts to marketing the Products that
EPIC exerts for its other major pharmaceutical products being marketed in the United States.

 

		(b)	If after twelve (12) months of a Product’s launch, the Gross Profit declines for any Product to the point that the License
Fee paid to ELITE is less than $100,000 for a six (6) month period for that Product, then ELITE may terminate the Marketing Rights
granted hereunder to EPIC as it relates to that individual Product. If ELITE desires to terminate the Marketing Rights granted
hereunder, then ELITE shall give EPIC ninety (90) days written notice that it will no longer have the Marketing Rights to sell
the particular Product.

 

If EPIC’s unit volume sales
of an API specific group of Products (“ Product Group”), (initially defined as Isradipine, Dantrolene, or Loxapine
Product Groups), does not meet its minimum annual unit volume forecast for that Product Group in the initial launch year, or does
not meet its subsequent minimum annual unit volume forecast (as defined in Schedule C) for a Product Group, then EPIC shall have
the following six (6) months to achieve one-half of the prior year’s minimum annual unit volume forecast and if EPIC still
fails to meet such volume minimum during the six months described, then EPIC shall lose its Marketing Rights of such Product Group.

 

3.3.Termination
by Mutual Agreement. The parties may terminate this Agreement any time by mutual written agreement.

 

3.4.Termination
by Breach. Upon the breach or default in the performance or observance of any of the material provisions of this Agreement
by either Party, when such breach or default is not cured by the responsible Party within sixty (60) days after written notice
by the other Party, the other Party may terminate this Agreement upon an additional thirty (30) days written notice to the other
Party. Termination will be without prejudice to either Party to recover any and all damages to which it may be entitled, or to
exercise any other remedies.

 

3.5.Termination
by ELITE Upon Bankruptcy or Reorganization of EPIC. If EPIC enters into any proceeding (whether voluntary or otherwise) in
bankruptcy, reorganization or arrangement for the appointment of a receiver or trustee to take possession of its assets, or any
other proceeding under any law for the relief of creditors or makes an arrangement for the benefit of its creditors, and remains
in such proceeding for 30 days, then ELITE shall retain its rights to the Products and may terminate this Agreement without further
payment to EPIC.

 

3.6.Licensing
Rights upon Termination. Except as otherwise provided in this Agreement, upon termination of this Agreement: all rights, privileges,
and licenses will terminate and revert to ELITE, and EPIC must not thereafter make any use whatsoever of any trade secrets, except
that it is agreed that upon termination notwithstanding any other terms of this Agreement, EPIC may retain one archival copy to
have sufficient information solely to respond to state and federal regulatory inquiries regarding the Products.

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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3.7.Accrued
Rights. Expiration or termination of this Agreement shall be without prejudice to the right of either Party to receive all
payments accrued and unpaid at the effective date of such expiration or termination, without prejudice to the remedy of either
Party in respect to any previous breach of the representations, warranties or covenants herein contained, without prejudice to
any rights to indemnification set forth herein and without prejudice to any other provision hereof which expressly or necessarily
calls for performance after such expiration or termination. EPIC expressly retains the right to sell Product on-hand after termination
of this Agreement and shall remain bound to pay ELITE the Licensing Fee as provided in this Agreement.

 

3.8.Transition.
If this Agreement is terminated for any reason or if EPIC loses its Marketing Rights for any or all Products, or if EPIC stops
selling for any reasons, EPIC then shall be required to contract manufacture at cost plus {***}%
for a three (3) year period from the date the termination occurs or the date the selling ends whichever comes first.

  

REPRESENTATIONS, WARRANTIES AND COMPETITION, COOPERATION UPON BANKRUPTCY OF ELITE

 

4.1.EPIC
Representations. EPIC hereby represents and warrants to ELITE that (a) it has obtained all necessary licenses, authorizations
and approvals required by applicable Law, including those required by the FDA, DEA or any other applicable regulatory agency to
enter into this Agreement and perform its obligations hereunder; (b) the execution, delivery and performance of this Agreement
by EPIC does not conflict with or constitute a breach of any order, judgment, agreement, or instrument to which it is a party;
(c) the execution, delivery and performance of this Agreement by EPIC does not require the consent of any person; and (d) none
of its officers or directors has ever been convicted of a felony under the laws of the United States for conduct relating to the
development or approval of a drug product or relating to the marketing or sale of a drug product

 

4.2.ELITE
Representations. ELITE hereby represents and warrants to EPIC that (a) it has obtained all necessary licenses, authorizations
and approvals required by applicable Law, including those required by the FDA, DEA or any other applicable regulatory agency to
enter into this Agreement and perform its obligations hereunder; (b) the execution, delivery and performance of this Agreement
by ELITE does not conflict with or constitute a breach of any order, judgment, agreement, or instrument to which it is a party;
(c) the execution, delivery and performance of this Agreement by ELITE does not require the consent of any person; and (d) none
of its officers or directors has ever been convicted of a felony under the laws of the United States for conduct relating to the
development or approval of a drug product or relating to the marketing or sale of a drug product.

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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4.3.Non-competition
by EPIC. EPIC hereby covenants and agrees that without the prior written consent of ELITE during the Term of this Agreement,
and for 1 year after the last shipment of Product by EPIC if the agreement is terminated due to breach of the Agreement by EPIC,
EPIC will not directly or indirectly market any of the Products Licensed to EPIC by ELITE pursuant to this Agreement. This section
is not intended to prohibit EPIC from marketing and selling a product which addresses the same therapeutic indication as a Product,
as long as that other product does not contain the same API as the Product(s) in this Agreement.

 

4.4.Cooperation
Upon Bankruptcy Event of ELITE. ELITE shall use, and cause its representatives and affiliates to use, best efforts to make
all necessary arrangements and take all required actions to permit EPIC to retain all rights licensed hereunder with respect to
the Products in the event that ELITE (i) is dissolved
or liquidated, (ii) commences a voluntary case or other proceeding seeking liquidation, reorganization or other relief with respect
to itself or its debts under any bankruptcy, insolvency or other similar law, (iii) is subject to an involuntary case or other
proceeding seeking liquidation, reorganization or other relief with respect to ELITE and an order for relief entered or such proceeding
has not be dismissed or discharged within sixty (60) days of commencement, (v) has made an assignment for the benefit of creditors,
or (vi) otherwise ceases to conduct business during the Term (each, an “Extraordinary Event”).

 

INDEMNIFICATION AND INSURANCE

 

5.1.ELITE
Indemnity. Subject to Sections 5.2 and 5.4, ELITE shall indemnify and hold harmless EPIC and its Affiliates against all third
party claims, actions, costs, expenses, including court costs and legal fees or other third party liabilities ("Third Party
Liabilities") whatsoever in respect of:

 

		(a)	any breach of any representation, warranty, covenant or similar promise made under this Agreement or arising out of this Agreement;

 

		(b)	any negligence or willful misconduct by ELITE and/or any of its employees; and

 

		(c)	any product liability in connection with the Products caused by ELITE or any third party acting on behalf of ELITE or its Affiliates;

 

5.2.EPIC
Indemnity. Subject to Sections 5.1 and 5.4, EPIC shall indemnify and hold harmless ELITE and its Affiliates against all Third
Party Liabilities whatsoever in respect of:

 

		(a)	EPIC’s and/or it Affiliates’, subcontractors’ or suppliers’ failure to comply with the Product Specifications,
cGMP or applicable Laws;

 

		(b)	the use, marketing, storage, distribution, handling or sale of the Product after the Effective Date by EPIC or any third party,
other than a third party acting on behalf of ELITE or its Affiliates;

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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		(c)	any product liability in connection with the Products caused by EPIC or any third party acting on behalf of EPIC or its Affiliates;

 

		(d)	for any Product that is recalled or withdrawn from the market by reason of EPIC’s breach of any warranty or other covenant
under this Agreement or any other agreement with ELITE, ELITE will be entitled to reimbursement of all costs associated with a
recall or withdrawal, including reasonable costs associated with compliance with the recall or withdrawal (including penalties).

 

		(e)	any liabilities arising out of the presence or actions of a EPIC employee at EPIC’s manufacturing and packaging facilities
pursuant to this Agreement; and

 

		(f)	any negligent or wrongful act by EPIC and any breach by EPIC of any representation or warranty, covenant or similar promise
made under this Agreement or arising out of this Agreement.

 

5.3.Procedures
for Indemnification. In the event that a party (the "Indemnified Party") is seeking indemnification under
Sections 5.1 or 5.2, the Indemnified Party shall inform the other party (the "Indemnifying Party") of a claim
as soon as reasonably practicable after the Indemnified Party receives notice of the claim, shall permit the Indemnifying Party
to assume direction and control of the defense of the claim, and shall cooperate as requested by the Indemnifying Party (at the
expense of the Indemnifying Party) in the defense of the claim; provided, however, if the defendants in any such action include
both the Indemnified Party and the Indemnifying Party and the Indemnified Party shall have reasonably concluded that a conflict
may arise between the positions of the Indemnifying Party and the Indemnified Party in conducting the defense of any such action
or that there may be legal defenses available to it that are different from or additional to those available to the Indemnifying
Party, the Indemnified Party shall have the right to select separate counsel to assume such legal defenses and to otherwise participate
in the defense of such action or on behalf of the Indemnified Party. No Indemnifying Party shall, without the prior written consent
of the Indemnified Party, settle or compromise or consent to the entry of judgment with respect to any pending or threatened action
or claim whatsoever, in respect of which indemnification could be sought under Sections 6.1 or 6.2 (whether or not the Indemnified
Party is an actual or potential party thereto), unless such settlement, compromise or consent (i) includes an unconditional release
of the Indemnified Party in form and substance reasonably satisfactory to the Indemnified Party from all liability arising out
of such action or claim and (ii) does not include a statement as to or an admission of fault, culpability or a failure to act by
or on behalf of the Indemnified Party. The Indemnifying Party shall not be liable for settlement of any pending or threatened action
or any claim whatsoever that is effected without its written consent (which consent shall not be unreasonably withheld or delayed).

 

5.4.Mitigation.
In the event of any occurrence which may result in either party becoming liable under Section 5.1 or Section 5.2, each party
shall use its best efforts to take such actions as may be reasonably necessary to mitigate the damages payable by the other party
under Section 5.1 or Section 5.2, as the case may be.

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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5.5.Limitation
of Liability. NOTWITHSTANDING ANYTHING TO THE CONTRARY CONTAINED HEREIN, IN NO EVENT SHALL ANY PARTY, ITS DIRECTORS, OFFICERS,
EMPLOYEES, AGENTS OR AFFILIATES BE LIABLE TO THE OTHER PARTIES FOR ANY CLAIMS RELATED TO LOST PROFITS AND GOODWILL, WHETHER BASED
UPON A CLAIM OR ACTION OF CONTRACT, WARRANTY, NEGLIGENCE, STRICT LIABILITY OR OTHER TORT, OR OTHERWISE, ARISING OUT OF THIS AGREEMENT.

 

5.6.Insurance.
Each party shall maintain commercial general liability insurance through the term of this Agreement upon launch of the first Product,
which insurance shall afford limits of not less than $5,000,000 for each occurrence for personal injury or property damage liability.
Furthermore, each party shall maintain product liability insurance, through the term of this Agreement upon launch of the first
Product and for a period of three (3) years thereafter, which insurance shall afford limits of not less than $5,000,000 in
the aggregate per annum with respect to product and completed operations liability. This insurance shall be written to cover claims
incurred, discovered, manifested, or made during or after the expiration of this Agreement. Each party shall provide the other
with a certificate of insurance evidencing the above and showing the name of the issuing company, the policy number, the effective
date, the expiration date and the limits of liability. The insurance certificate shall further provide for a minimum of thirty (30)
days' written notice to the insured of a cancellation of, or material change in, the insurance. If a party is unable to maintain
the insurance policies required under this Agreement through no fault on the part of such party, then such party shall forthwith
notify the other party in writing and the parties shall in good faith negotiate appropriate amendments to the insurance provision
of this Agreement in order to provide adequate assurances. In the event that either a customer or an insurer of either party requires
such party to increase its insurance limits above the $5,000,000 described above for any policy, then the other party to this Agreement
must also match the required insurance increase, so that the parties to this Agreement are carrying the same insurance policy limits.
It is the express intention of the parties that the parties shall endeavor to avoid insurance policy limits above $10,000,000.

 

MISCELLANEOUS

 

6.1.Waiver;
Remedies and Amendment. Any waiver by any party hereto of a breach of any provisions of this Agreement will not be implied
and will not be valid unless such waiver is recited in writing and signed by such party. Failure of any party to require, in one
or more instances, performance by the other party or parties in strict accordance with the terms and conditions of this Agreement
will not be deemed a waiver or relinquishment of the future performance of any such terms or conditions or of any other terms and
conditions of this Agreement. A waiver by any party of any term or condition of this Agreement, including this Section 5.1, shall
be valid only if in writing and will not be deemed or construed to be a waiver of such term or condition for any other term. All
rights, remedies, undertakings, obligations and agreements contained in this Agreement will be cumulative and none of them will
be a limitation of any other remedy, right, undertaking, obligation or agreement of any party. This Agreement may not be amended
except in a writing signed by all parties.

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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6.2.Affiliates,
Assignment, No Inconsistent Agreements. EPIC may not assign its rights and obligations hereunder without the prior written
consent of ELITE. Neither EPIC nor ELITE will enter into any agreement that is inconsistent with its obligations hereunder.

 

6.3.Counterparts.
This Agreement may be executed in any number of counterparts, each of which when so executed will be deemed to be an original and
all of which when taken together will constitute this Agreement.

 

6.4.Governing
Law; Dispute Resolution; Venue. This Agreement will be governed by and construed in accordance with the laws of the state of
New York without regard to conflict of law or choice of law rules. Any controversy or claim pursuant to this Agreement or the breach
thereof shall be referred for decision forthwith to a senior executive of each Party not directly involved in the dispute. If no
agreement is reached within thirty (30) days of the request by one Party to the other to refer the same to such senior executive,
then such controversy or claim shall be settled by arbitration in accordance with the Commercial Arbitration Rules of the American
Arbitration Association; such arbitration to be held in Rockford, Illinois on an expedited basis. Judgment upon the award rendered
by the Arbitrator(s) may be entered in any court having jurisdiction thereof.

 

6.5.Headings.
The headings set forth at the beginning of the various sections of this Agreement are for convenience and form no part of the Agreement
between the parties.

 

6.6.Notices.
All notices, requests, instructions, consents and other communications to be given pursuant to this Agreement shall be in writing
and shall be deemed received (a) on the same day if delivered in person, by same-day courier or by facsimile, electronic mail or
other electronic transmission, (b) on the next day if delivered by overnight mail or courier, or (c) on the date indicated on the
return receipt, or if there is no such receipt, on the third calendar day (excluding Sundays) if delivered by certified or registered
mail, postage prepaid, to the party for whom intended to the following addresses:

 

	If to EPIC:	 
	
        EPIC

        22715 North Conduit Avenue

        Laurelton, NY 11413

        Attn: President

         
	 
	 	 
	If to ELITE:	 
	
        ELITE PHARMACEUTICALS, Inc.

        165 Ludlow Avenue

        Northvale, New Jersey 07647

        Attention: President and CEO
	 
	 	 

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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6.7 Notice. Each
party may by written notice given to the other in accordance with this Agreement change the address to which notices to such party
are to be delivered.

 

6.8
Severability. If any provision of this Agreement is held by a court of competent jurisdiction to be invalid or unenforceable,
it will be modified, if possible, to the minimum extent necessary to make it valid and enforceable or, if such modification
is not possible, it will be stricken and the remaining provisions will remain in full force and effect.

 

6.9 Survival. The
rights and obligations which accrue to a party during the term of this agreement shall survive the termination of this Agreement.

 

6.10 Force Majeure.
No party to this Agreement will be liable for failure or delay in the performance of any of its obligations hereunder, if such
failure or delay is due to causes beyond its reasonable control including, without limitation, acts of God, earthquakes, fires,
strikes, acts of war, or intervention of any governmental authority, but any such delay or failure will be remedied by such party
as soon as possible after the removal of the cause of such failure or delay.

 

6.11 Entire Understanding.
This Agreement, including the schedules attached hereto, contains the entire understanding relative to the matters addressed herein,
and supersedes all prior and collateral communications, reports, and understandings, if any, between the parties regarding the
matters addressed herein.

 

6.12 Drafting.
The parties have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or question
of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the parties and no presumption or
burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement.

 

6.13 Not a Joint
Venture. This Agreement does not constitute or create (and the Parties do not intend to create hereby) a joint venture, pooling
arrangement, Partnership, or formal business organization of any kind between and among any of the Parties, and the rights and
obligations of the Parties shall be only those expressly set forth herein. The relationship hereby established between EPIC and
ELITE is solely that of licensee and licensor, each is an independent contractor engaged in the operation of its own respective
business. Neither Party shall be considered to be an agent of the other for any purpose whatsoever. Each Party shall be responsible
for providing its own personnel and workers compensation, medical coverage or similar benefits and shall be solely responsible
for the payment of social security benefits, unemployment insurance, pension benefits, withholding any required amounts for income
and other employment-related taxes and benefits of its own employees, and shall make its own arrangements for injury, illness or
other insurance coverage to protect itself, its Affiliates, its subcontractors and personnel from any damages, loss and/or liability
arising out of the performance of this Agreement. Neither Party has the power or authority to act for, represent or bind the other
(or its Affiliates) in any manner.

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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IN WITNESS WHEREOF,
the parties have executed this Agreement on the date first set forth above.

 

 

 

	ELITE PHARMACEUTICALS, INC.	EPIC PHARMA LLC
	 	 
	 	 
	 	 
	By:   /s/ Nasrat Hakim                          	By:  /s/ Jai Narine                              
	
         

        Name: Nasrat Hakim
	
         

        Name: Jai Narine

	
         

        Title: CEO and President
	
         

        Title: President

	 	 
	Date: 10/2/13                                       	Date: 10/2/13                                     

 

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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SCHEDULE A

 

Exclusive Product List

 

  

 

	Name	ANDA #
	{***}	{***}
	{***}	{***}
	{***}	{***}
	{***}	{***}
	{***}	{***}
	{***}	{***}

 

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

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SCHEDULE B

 

Compensation
for Licensing Rights

 

Milestone Payments

 

EPIC shall pay to ELITE
Milestone Payments totaling $1,800,000, according to the following schedule:

 

		·	$600,000 shall be due to ELITE upon signing of this License Agreement and shall be paid no later
than November 15th, 2013.

		·	${***} shall be paid to ELITE upon filing for each
Product’s supplement with FDA as listed below:

		·	{***}

		·	{***}

		·	{***}

		·	${***} shall be paid to ELITE five business days after
FDA’s approval of the site transfer or first product launch and/or shipment whichever comes first:

		§	{***}

		§	{***}

		§	{***}

 

License Fee

 

EPIC will pay to ELITE a License Fee that is a percentage of
the product gross profit (“Product Gross Profit”) of EPIC, as defined below, generated on Products sold and shipped
to its customers by EPIC according to the following schedule:

 

		·	50% of Product Gross Profit

 

 

Product Gross Profit is defined as:

 

Net Sales – Cost of Sale - Cost of
Goods = Product Gross Profit.

 

		§	Net Sales is defined as: Net Invoice Price less the following: Charge backs, Buying Groups/Wholesaler Administrative
Fees/Rebates, Allowances, Medicaid and Returns.

 

		§	Cost of Sales is defined as 3% of Net Sales

 

		§	Cost of Goods is defined as ${***} per 1000 units in any configuration required
by marketing plus the cost of the API at cost (as documented by invoices for the API).

 

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

    	14

    	 

    

 

EPIC shall also provide a detailed summary of the Cost of Goods
for each product on Schedule B that shall be calculated based on GAAP.

 

The calculation of Product Gross Profit and the Licensing Fee
shall be performed by Epic and presented to Elite as a report (“Report”) which shall include the following information:

 

 

REPORT ITEMS

	
         

         

         

         

         

	 	 	 
	Gross Invoice Sales	 	Total Sales for Month
	Cash Discount	 	Cash Discount 
	 	 	 
	Net Invoice Sales	 	Total Sales - Cash Discount
	 	 	 
	Deductions 	 	Allowances (including; Medicaid rebate; state program rebates)  price adjustments; returns; charge backs.
	Net Sales	 	Net Invoice Sales – Deductions
	
         

        Cost of Sales

         
	 	
        3% of Net Sales

         

	
         

        Cost of Goods
	 	Total Units x Unit Cost 
	 	 	 
	 	 	 
	Gross Profit	 	Net Sales less Cost of Goods
	Margin %	 	Margin Percentage (Gross Profit divided by Gross Invoice Sales)
	 	 	 
	Amount Due 	 	Gross Profit $ x 50%
	 	 	 

  

Whenever possible, the Report will be made using actual sales,
charge backs, administrative fees/rebates, price adjustments, and returns; however, in some cases estimated numbers may be required
because of timing of CBs, fees, returns, etc. A true up Report will be completed and presented to ELITE within 60 days after the
end of each calendar year.

  

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

    	15

    	 

    

 

SCHEDULE C

 

Minimum Annual Unit Forecast for Each
Product Group

 

 

	   	Year 1	Year 2	Year 3	Year 4	Year 5

 

(Percent of Market)

{***}

{***}

{***}

 

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

    	16

    	 

    

 

SCHEDULE D

 

Non-Exclusive Product
List

 

 

 

 

 

	Name	ANDA #
	{***}	{***}
	{***}	{***}
	{***}	{***}
	{***}	{***}
	{***}	{***}
	{***}	{***}

 

 

 

{***} Confidential portions of this
exhibit have been redacted and filed separately with the Commission pursuant to a confidential treatment request in accordance
with Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Confidential 

 

    	17CITIGROUP
2014 STOCK INCENTIVE PLAN

(effective April 22, 2014)

 

 

		1.	Purpose

 

The purposes of the Citigroup 2014 Stock Incentive Plan (the
“Plan”) are to (i) align incentive compensation programs with the Company’s long-term business objectives and
the interests of stockholders; (ii) attract and retain Employees by providing compensation opportunities that are competitive within
the global financial services industry; and (iii) provide compensation opportunities that do not create incentives to take imprudent
risks.

 

		2.	Effective Date and Term

 

The Plan will become effective upon the date it is approved
by the stockholders of the Company (the “Effective Date”). Unless terminated earlier by the Committee, the Plan will
expire on the date of the annual general meeting of stockholders to be held in 2019. The Plan replaces the Prior Plan for Awards
granted on or after the Effective Date. Awards may not be granted under the Prior Plan beginning on the Effective Date, but the
adoption and effectiveness of the Plan will not affect the terms or conditions of any outstanding awards granted under the Prior
Plan or any other plan prior to the Effective Date.

 

		3.	Definitions 

 

“Award” shall mean an Option, SAR
or Stock Award granted under the Plan.

 

“Award Agreement” shall mean
the paper or electronic document evidencing an Award granted under the Plan.

 

“Board” shall mean the Board
of Directors of the company.

 

“Change of Control” shall have
the meaning set forth in Section 11.

 

“Code” shall mean the Internal
Revenue Code of 1986, as amended, including any rules and regulations promulgated thereunder.

 

“Committee” shall mean
the Personnel and Compensation Committee of the Board, or a sub-committee thereof, the members of which shall satisfy the requirements
of Rule 16b-3 of the 1934 Act and who, or another sub-committee thereof, shall also qualify, and remain qualified, as “outside
directors,” as defined in Section 162(m) of the Code; provided, however, that with respect to the application of the
Plan to Directors, unless specifically provided otherwise herein, the Board. Unless expressly provided otherwise herein or not
permitted by applicable law, “Committee” includes any authorized delegate of the Committee, including each Plan Administrator.
For avoidance of doubt, a failure of one or more members of the Committee to satisfy the requirements of Rule 16b-3 of the 1934
Act or Section 162(m) of the Code shall not impair the validity of actions taken by the Committee, including the granting of any
Award.

 

    	1

    	 

    

  

“Common Stock” shall mean
the common stock of the Company, par value $.01 per share. 

 

“Company” shall mean Citigroup
Inc., a Delaware corporation. 

 

“Covered Employee” shall mean
“covered employee” as such term is defined in Section 162(m)(3) of the Code.

 

“Deferred Stock Award” shall mean
an Award payable in shares of Common Stock at the end of a specified deferral period that is subject to the terms, conditions,
limitations and restrictions set forth in the Plan and an Award Agreement.

 

“Director” shall mean a member
of the Board who is not also an active employee or officer of the Company or a Subsidiary.

 

“Employee” shall have the meaning
set forth in General Instruction A to the Registration Statement on Form S-8 promulgated under the Securities Act of 1933,
as amended, or any successor form or statute, as determined by the Committee. Notwithstanding the foregoing, consultants and advisors
(other than Directors) shall not be eligible to receive Awards under the Plan.

 

“Fair Market Value” shall mean,
in the case of a grant of an Option or a SAR, the closing price of a share of Common Stock on the New York Stock Exchange
(or, if the Common Stock is not traded on the New York Stock Exchange, the principal national securities exchange upon which the
Common Stock is traded or quoted) on the date on which the Option or the SAR is granted. For all other purposes of administering
an Award (including Options and SARs granted as Substitute Awards), “Fair Market Value” shall be as determined pursuant
to the valuation methodology approved for such purpose by the Committee.

 

“GAAP” shall mean U.S. generally
accepted accounting principles.

 

“Gross Misconduct” shall mean
any conduct by a Participant (i) while employed by the Company or a Subsidiary that is competitive with the Company’s
or any Subsidiary’s business operations, (ii) that is in breach of any obligation that Participant owes to the Company or
any Subsidiary or of that Participant’s duty of loyalty to the Company or any Subsidiary, (iii) that is materially injurious
to the Company or any Subsidiary, or (iv) that otherwise constitutes “gross misconduct” as determined pursuant to guidelines
adopted by the Committee or a duly authorized Plan Administrator.

 

“Option” shall mean the right
to purchase a specified number of shares of Common Stock at a stated exercise price for a specified period of time subject
to the terms, conditions, limitations and restrictions set forth in the Plan and an Award Agreement.

 

“Participant” shall mean an
Employee or former Employee who holds an Award under the Plan (and the legal representative of the estate of a deceased
Participant).

 

    	2

    	 

    

  

“Performance Condition” shall
mean any condition to the vesting of an Award based on the performance of the Company (including one or more of its Subsidiaries),
the performance of any branch, business unit of the Company (or of any Subsidiary), or the performance of an individual Participant
(other than remaining employed by the Company or a Subsidiary), whether based on absolute or relative performance measures, and
whether or not the Award is intended to be a Qualified Performance-Based Award.

 

“Plan Administrator” shall mean
any officer or employee of the Company or a Subsidiary performing a function related to administration of the Plan as part
of his or her normal job duties, and any director, officer, or employee, whether acting alone or as part of a committee or other
group, or non-employee agent, to whom any authority over any matter related to administration of the Plan or any Award has been
directly or indirectly delegated by the Committee.

 

“Prior Plan” shall mean the Citigroup
2009 Stock Incentive Plan.

 

“Qualified Performance-Based Award”
shall mean any Award (other than an Option or SAR that otherwise qualifies as performance-based compensation under Section
162(m) of the Code) designated as such by the Committee at the time of grant, based upon a determination that (a) the Participant
is or may be a Covered Employee in the year in which the Company would expect to be able to claim a tax deduction with respect
to such Award, and (b) the Committee intends for the Award to satisfy the requirements of Section 162(m) of the Code.

 

“Repricing” shall mean any action
that constitutes a “repricing” under GAAP or the rules of the New York Stock Exchange (including any modification
or amendment to an outstanding Option or SAR that has the effect of reducing its exercise price, other than an adjustment to an
outstanding Award that is consistent with the requirements of Section 6(d)), and any cancellation of an Option or SAR when its
exercise price exceeds Fair Market Value in exchange for cash.

 

“Restricted Stock Award” shall
mean an Award of Common Stock that is subject to the terms, conditions, limitations, and restrictions set forth in the Plan
and an Award Agreement.

 

“SAR”
shall mean “stock appreciation right,” which is a right to receive a payment, during a specified term, in
cash, Common Stock, or a combination thereof, in an amount equal to the excess of the Fair Market Value of a specified number of
shares of Common Stock at the time the SAR is exercised over the exercise price of such SAR, which right is subject to the terms,
conditions, limitations and restrictions set forth in the Plan and an Award Agreement.

 

“Section 16(a) Officer” shall
mean an Employee who is subject to the reporting requirements of Section 16(a) of the 1934 Act.

 

“Stock Award” shall mean a Deferred
Stock Award, a Restricted Stock Award, a Stock Payment or Other Stock-Based Award.

 

“Stock Payment” shall mean an
immediately vested payment in shares of Common Stock that may or may not be in lieu of cash.

 

    	3

    	 

    

  

“Subsidiary” shall mean any of the
consolidated subsidiaries of the Company.

 

“Substitute Award” shall mean
an Award designated as such and granted in connection with a transaction between the Company or a Subsidiary and another
entity or business in substitution or exchange for, or conversion, adjustment, assumption or replacement of, awards previously
granted by such other entity to any individuals who have become Employees of the Company or any Subsidiary as a result of such
transaction or who were formerly employed by the acquired entity. An Award granted as an inducement to joining the Company or a
Subsidiary in replacement of an award forfeited when leaving a previous employer to join the Company or a Subsidiary shall not
be considered a Substitute Award.

 

“1934 Act” shall mean the Securities
Exchange Act of 1934, as amended, including the rules and regulations promulgated thereunder and any successor thereto.

 

 

		4.	The Committee 

 

		(a)	Committee Authority. The Committee shall have full and exclusive power to administer and interpret
the Plan, to grant Awards and to adopt such administrative rules, regulations, procedures and guidelines governing the Plan and
Awards as it deems appropriate from time to time. The Committee’s authority shall include, but not be limited to, the authority
to (i) determine the type of Awards to be granted under the Plan; (ii) select Award recipients and determine the extent of their
participation; and (iii) establish all other terms, conditions, limitations and restrictions applicable to Awards, Award programs
and the shares of Common Stock issued pursuant thereto. Subject to the limitations set forth in the Plan, the Committee may suspend,
accelerate or defer the vesting or payment of Awards, cancel or modify outstanding Awards, waive any conditions or restrictions
imposed with respect to Awards or the Common Stock issued pursuant to Awards, and make any and all other determinations that it
deems appropriate with respect to the administration of the Plan.

 

		(b)	Administration of the Plan. The administration of the Plan shall be managed by the Committee. The
Committee shall have the power to prescribe and modify, as necessary, the form of Award Agreement, to correct any defect, supply
any omission or clarify any inconsistency in the Plan and/or in any Award Agreement and to take such actions and make such administrative
determinations that the Committee deems appropriate. Any decision of the Committee in the administration of the Plan shall be final,
binding and conclusive on all parties concerned, including the Company, its stockholders and Subsidiaries and all Participants.

 

		(c)	Delegation of Authority. To the extent not inconsistent with applicable law, the rules of the New
York Stock Exchange or other provisions of the Plan, the Committee may at any time delegate to a Plan Administrator some or all
of its authority over the administration of the Plan, with respect to persons who are not Section 16(a) Officers or Covered Employees.
Actions taken or determinations made by or ratified by a duly authorized Plan Administrator shall have the same force and effect
as if undertaken or made by the Committee, and all references in the Plan to the Committee (except with respect to actions or determinations
related exclusively to Section 16(a) Officers or Covered Employees) shall be deemed to include a reference to a duly authorized
Plan Administrator.

 

    	4

    	 

    

 

		(d)	Prohibition
Against Repricing. Notwithstanding any provision of the Plan to the contrary, in no event shall any action
be taken under the Plan that constitutes a Repricing of any Option or SAR granted under the Plan, or of any option or stock appreciation
right granted under the Prior Plan or any other plan of the Company or of an acquired company, except with approval of the stockholders
of the Company.

  

		(e)	Indemnification. No member of the Committee or any Plan Administrator shall be
personally liable for any action or determination made with respect to the Plan, except for his or her own willful
misconduct or as expressly provided by statute. The members of the Committee and every Plan Administrator shall be entitled to
indemnification and reimbursement from the Company, to the extent permitted by applicable law and the By-laws and policies of the
Company. In the performance of its functions under the Plan, the Committee (and each member of the Committee and every Plan Administrator)
shall be entitled to rely in good faith upon information and advice furnished by the Company’s officers, employees, accountants,
counsel and any other party they deem appropriate, and neither the Committee nor any Plan Administrator shall be liable for any
action taken or not taken in reliance upon any such advice.

 

		5.	Participation 

 

		(a)	Eligible Employees. The Committee shall determine which Employees shall be eligible
to receive Awards under the Plan, provided that consultants and advisors (other than members of the Board
in their roles as such) shall not be eligible to receive Awards under the Plan. Former Employees may be eligible to receive Awards
under the Plan, but only if a Substitute Award or with respect to their last year of service. With respect to Employees subject
to U.S. income tax, Options and SARs (unless Substitute Awards) shall only be granted to such Employees who provide direct services
to the Company or a Subsidiary of the Company as of the date of grant of the Option or SAR.

 

		(b)	Participation by Employees of Subsidiaries. Employees of Subsidiaries may participate
in the Plan upon approval of Awards to such Employees by the Committee. Awards to Employees of Subsidiaries may be
conditioned upon the Subsidiary’s agreement to reimburse the Company for costs and expenses of such participation, as determined
by the Committee.

 

    	5

    	 

    

 

		(c)	Participation Outside of the United States. In order to facilitate the granting of
Awards to Employees who are foreign nationals or who are employed outside of the U.S., the Committee may provide
for such special terms and conditions, including, without limitation, substitutes for Awards, as the Committee may consider necessary
or appropriate to accommodate differences in local law, tax policy or custom.

 

		(d)	Maximum Individual Awards 

 

		(i)	Limits on Awards to Directors. Awards under the Plan in any calendar year to a Director in respect
of service as a Director (including Awards made at the election of a Director in lieu of all or any portion of his or her cash
retainers) may not exceed $900,000 in value, based on the combined grant-date fair value of each Stock Award and the grant-date
fair value (in each case as determined in accordance with GAAP) of each Option or SAR that is granted during a calendar year.

 

		(ii)	Limits on Options and SARs. The aggregate number of shares of Common Stock that
may be subject to all Options and SARs granted to an individual Employee (other than as a Director) in a calendar year
may not exceed 1,000,000 shares (subject to adjustment pursuant to Section 6(d)).

 

		(iii)	Limits on Stock Awards. The aggregate number of shares of Common Stock that may
be subject to all Stock Awards granted to an individual Employee (other than as a Director) in a calendar year may not
exceed 1,000,000 shares (subject to adjustment pursuant to Section 6(d)).

 

		(iv)	Substitute Awards. Notwithstanding the foregoing, shares subject to an Award that
is a Substitute Award shall not count against any individual Award limit in this Section 5(d).

 

		6.	Available
Shares of Common Stock 

  

		(a)	Shares Subject to the Plan. Common Stock issued pursuant to Awards granted under
the Plan may be shares that have been authorized but unissued, or have been previously issued and reacquired by the
Company, or both. Reacquired shares may consist of shares purchased in open market transactions or otherwise. Pursuant to and subject
to the other provisions of this Section 6, the aggregate number of shares of Common Stock that may be issued pursuant to Awards
granted under the Plan shall not exceed the sum of (i) the number of shares remaining available for grant under the Prior Plan
on the date of its termination (not to exceed 52 million (52,000,000) shares), and (ii) any additional number of shares that may
be authorized for issuance pursuant to any amendments to the Plan approved by stockholders of the Company after the Effective Date.

 

    	6

    	 

    

 

		(b)	Forfeited and Expired Awards. Awards granted under the Plan that are forfeited, expire
or are canceled or settled without issuance of shares shall not count against the maximum number of shares that may
be issued under the Plan as set forth in Section 6(a) and shall be available for future Awards under the Plan. Notwithstanding
the foregoing, any and all shares of Common Stock that are (i) withheld or tendered in payment of an Option exercise price; (ii)
withheld by the Company to satisfy any tax withholding obligation; (iii) covered by a SAR (to the extent that it is settled in
shares of Common Stock, without regard to the number of shares of Common Stock that are actually issued to the Participant upon
exercise); (iv) withheld by the Company to satisfy any debt or other obligation owed to the Company or any Subsidiary, and (v)
any fractional shares of Common Stock that are cancelled pursuant to Section 7(f), shall be considered issued pursuant to the Plan
and shall not be added to the maximum number of shares that may be issued under the Plan as set forth in Section 6(a).

 

		(c)	Other Items Not Included in Allocation. The maximum number of shares that may be
issued under the Plan as set forth in Section 6(a) shall not be affected by (i) the payment in cash of dividends or dividend
equivalents in connection with outstanding Awards; or (ii) the grant of Substitute Awards. Any shares purchased by or on behalf
of Participants in a dividend reinvestment program established under the Plan shall not count against the maximum number of shares
that may be issued under the Plan as set forth in Section 6(a), provided that such shares are purchased in open-market transactions
or are treasury shares purchased directly from the Company at Fair Market Value at the time of purchase. Unless the Committee determines
otherwise, Section 16(a) Officers may not participate in dividend reinvestment programs established under the Plan.

 

		(d)	Adjustments. In the event of any change in the Company’s capital structure,
including but not limited to a change in the number of shares of Common Stock outstanding, on account of (i) any
stock dividend, stock split, reverse stock split or any similar equity restructuring, or (ii) any combination or exchange of equity
securities, merger, consolidation, recapitalization, reorganization, or divesture or any other similar event affecting the Company’s
capital structure, to reflect such change in the Company’s capital structure, the Committee shall make appropriate equitable
adjustments to (i) the maximum number of shares of Common Stock that may be issued under the Plan as set forth in Section 6(a);
and (ii) to the extent permitted under Section 162(m) of the Code, the maximum number of shares that may be granted to any single
individual pursuant to the limits set forth in Section 5(d). In the event of any extraordinary dividend, divestiture or other distribution
(other than ordinary cash dividends) of assets to stockholders, or any transaction or event described above, to the extent necessary
to prevent the enlargement or diminution of the rights of Participants, the Committee shall make appropriate equitable adjustments
to the number or kind of shares subject to an outstanding Award, the exercise price applicable to an outstanding Award, and/or
a Performance Condition. Any adjustments under this Section 6(d) shall be made in a manner that does not adversely affect the exemption
provided pursuant to Rule 16b-3 under the 1934 Act or qualification under Section 162(m) of the Code, to the extent each may be
applicable. The Company shall give each Participant
notice of an adjustment to an Award hereunder and, upon notice, such adjustment shall be conclusive and binding for all purposes.
Notwithstanding the foregoing, the Committee shall decline to adjust any Award made to a Participant if such adjustment would violate
applicable law.

 

    	7

    	 

    

 

		7.	Awards Under The Plan

 

Awards under the Plan may be granted as Options, SARs
or Stock Awards, as described below. Awards may be granted singly, in combination or in tandem as determined by the Committee.
Subject to the terms of the Plan (including but not limited to the minimum vesting requirement of Section 7(d)), Awards shall have
such terms, conditions, limitations and restrictions as may be determined by the Committee from time to time, and may include vesting,
forfeiture, and clawback provisions.

 

		(a)	Options.  Options shall expire after such period, not to exceed ten years, as may be determined
by the Committee. If an Option is exercisable in installments, such installments or portions thereof that become exercisable
shall remain exercisable until the Option expires or is otherwise canceled pursuant to its terms or the terms of the Plan. In no
event shall any Option issued under the Plan be a “reload” Option or carry any similar rights.

 

		(i)	Exercise Price.  The Committee shall determine the exercise price per
share for each Option, which shall not be less than 100% of the Fair Market Value on the grant date, unless the Option
is a Substitute Award.

 

		(ii)	Exercise of Options.  Upon satisfaction of the applicable conditions
relating to vesting and exercisability, as determined by the Committee, and upon provision for the payment in full
of the exercise price and applicable taxes due, the Participant shall be entitled to exercise the Option and receive the number
of shares of Common Stock issuable in connection with the Option exercise. The shares issued in connection with the Option exercise
may be subject to such conditions and restrictions as the Committee may determine, from time to time. An Option may be exercised
by any method as may be permitted by the Committee from time to time, including but not limited to any “net exercise”
or other “cashless” exercise method.

 

    	8

    	 

    

 

		(b)	Stock Appreciation Rights. SARs granted under the Plan shall expire after such term,
not to exceed ten years, as may be determined by the Committee. The exercise price per share of Common Stock subject
to a SAR shall not be less than 100% of Fair Market Value on the grant date, unless the SAR is a Substitute Award.

 

		(c)	Stock Awards 

 

		(i)	Stock Payment. Subject to the terms of the Plan, the Committee may grant vested
shares of Common Stock as a Stock Payment. A Stock Payment may be in lieu of cash compensation, but may be subject to restrictions
on sale or transfer, or cancellation and recoupment, as determined by the Committee. A Stock Payment under the Plan may be granted
as, or in payment of, a bonus including without limitation any compensation that is intended to qualify as performance-based compensation
for purposes of Section 162(m) of the Code, determined pursuant to any other plan. Any shares of Common Stock granted as a Stock
Payment in lieu of cash compensation shall be valued at their Fair Market Value.

 

		(ii)	Restricted Stock. Unvested shares of Common Stock issued pursuant to a Restricted
Stock Award shall be entitled to voting rights as provided in Section 9, unless determined otherwise by the Committee.
Upon satisfaction of all conditions to vesting and any tax withholding obligations, and upon the lapse of any post-vesting restrictions
on sale or transfer, shares of Common Stock subject to a Restricted Stock Award shall be delivered to the Participant free of restriction.
A Restricted Stock Award may, but need not be, a Qualified Performance-Based Award.

 

		(iii)	Deferred Stock. A Deferred Stock Award represents only an unfunded, unsecured promise
to deliver shares of Common Stock in the future and does not give a Participant any greater rights than those of an unsecured general
creditor of the Company. Upon satisfaction
of all conditions to vesting and any tax withholding obligations, shares of Common Stock subject to a vested Deferred Stock Award
will be issued, and upon the lapse of any post-vesting restrictions on sale or transfer, such shares of Common Stock will be delivered
to Participant free of restriction. A Deferred Stock Award may, but need not be, a Qualified Performance-Based Award.

 

		(iv)	Other Stock-Based Awards. To the extent not prohibited by applicable law, the Committee
may grant any other Award that is denominated in shares of Common Stock and that may be settled in cash and/or by the delivery
of shares of Common Stock (for the avoidance of doubt, an award that by its terms may be settled only in cash shall not be an Award
under this Plan). An Other Stock-Based Award may, but need not be, a Qualified Performance-Based Award.

 

    	9

    	 

    

 

		(d)	Minimum Vesting. Awards shall not vest in full prior to the third anniversary of their grant date; provided,
however, that the Committee may grant Awards that vest in full in less than three years if (i) on account of a Participant’s
retirement, death, disability, leave of absence, termination of employment, or upon the sale or other disposition of a Participant’s
employer or any other similar event, as specified in the Award Agreement, (ii) upon satisfaction of a Performance Condition subject
to a performance period of at least one year, or (iii) as a Substitute Award in replacement of an award scheduled to vest in full
in less than three years from the date of grant of such Substitute Award. Notwithstanding the foregoing, up to 10% of the shares
of Common Stock authorized for issuance under the Plan pursuant to Section 6(a) (as it may be adjusted pursuant to Section 6(d))
may be granted as Stock Payments or subject to other Awards that provide for vesting in full in less than three years.

 

		(e)	Performance-Based Awards 

 

		(i)	The Committee may grant Awards that are subject to, or may vest on an accelerated basis upon, the
achievement of one or more Performance Conditions related to a period of performance of not less than one year. A premium-priced
Option or SAR that is subject to no other Performance Condition shall be considered to have a Performance Condition (for purposes
of Setion 7(d)) only if its exercise price is at least 125% of Fair Market Value on the grant date. If an Award is designated as
a Qualified Performance-Based Award, it shall be administered as set forth in Section 7(e)(ii).

 

		(ii)	The Committee may at the time of grant of any Award (other than an Option or SAR that otherwise
qualifies under Section 162(m) of the Code) designate such Award as a Qualified Performance-Based Award. Qualified Performance-Based
Awards shall be administered in accordance with the following procedures:

 

		A.	Vesting of the Award or the maximum amount of the Award eligible to vest shall be determined
based on the attainment of written objective Performance Conditions selected by the Committee in accordance with Section 7(e)(ii)(B)
for a performance period established by the Committee while the attainment of the Performance Conditions for that performance period
is substantially uncertain and not more than 90 days after the commencement of the performance period, which may not be less than
one year.

 

    	10

    	 

    

  

		B.	The vesting of a Qualified Performance-Based Award or the maximum amount of a Qualified Performance-Based
Award eligible to vest must be based on one or more of the following objective Performance Conditions and expressed in either,
or a combination of, absolute or relative values or a percentage of: revenue, revenue or product growth, net income (pre- or after-tax),
earnings, earnings per share, stockholders’ equity or return on stockholders’ equity, assets or return on assets, return
on risk-adjusted assets, capital or return on capital, return on risk capital, book value or book value per share, economic value-added
models or equivalent metrics, operating income, pre- or after-tax income, expenses or reengineering savings, margins, cash flow
or cash flow per share, stock price, total shareholder return, market share, debt reduction, net promoter scores, operating efficiency
ratios, expense ratios, liquidity
ratios, or regulatory achievements. Such Performance Conditions may be used on an absolute or relative basis to measure the performance
of the Company as a whole, any business unit(s) of the Company and its Subsidiaries and/or one or more of its branches or affiliates,
or the performance of an individual Covered Employee, and may be used in any combination as the Committee may deem appropriate.
Such Performance Conditions may be based on performance determined on a per share basis (either basic or fully diluted) and/or
as compared to the performance of a group of peer or comparator companies, prior performance periods, a published or special index
or indices that the Committee deems appropriate, or such other measures selected or defined by the Committee at the time such Performance
Conditions are established.

 

		C.	Upon the conclusion of each performance period, the Committee shall determine whether the applicable
Performance Conditions established in accordance with Section 7(e)(ii)(A) and (B) have been met with respect to each Participant,
and if so, shall certify in writing that such Performance Conditions have been met and the amount payable pursuant to each Participant’s
Qualified Performance-Based Award. No Qualified Performance-Based Award will be paid for a performance period until such certification
is made by the Committee.

 

		(iii)	Except as otherwise expressly provided, all financial terms used in defining a Performance Condition shall be as defined under
GAAP or such other objective principles (including but not limited to International Financial Reporting Standards) as may be designated
by the Committee, and may provide for such objectively determinable adjustments, modifications or amendments as the Committee deems
appropriate, including (but not limited to) with respect to items determined to be extraordinary or unusual in nature or infrequent
in occurrence, or that are related to discontinued operations, the disposal of a business or assets, or a change in accounting
principle under GAAP, or that are attributable to the business operations of any entity acquired by the Company or a Subsidiary
during a relevant performance period.

 

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		(f)	Fractional Shares. The Company shall not be obligated to issue any fractional shares
of Common Stock in settlement of Awards granted under the Plan. If an Award includes or results for any reason in
an entitlement to a fractional share, the Award shall be settled in full by issuance of the maximum whole number of shares of Common
Stock the Participant is entitled to receive pursuant to the terms of the Award (upon satisfaction of all applicable conditions
to the issuance of shares) and the Company may cancel the fractional share without any compensation to the Participant.

 

		8.	Dividends and Dividend Equivalents 

 

The Committee may provide that Stock Awards shall earn
dividends or dividend equivalents. Such dividends or dividend equivalents may be paid currently or may be credited to an account
maintained on the books of the Company. Any payment or crediting of dividends or dividend equivalents will be subject to such terms,
conditions, limitations and restrictions as the Committee may establish, from time to time, including, without limitation, reinvestment
in additional shares of Common Stock or common share equivalents. Notwithstanding the foregoing, the Committee may not provide
for the current payment of dividends or dividend equivalents with respect to any shares of Common Stock subject to an Award with
a Performance Condition; for such Awards, the Committee may only provide for the accrual of dividends or dividend equivalents that
will not be payable to a Participant unless and until, and only to the extent that, the shares of Common Stock subject to the Award
vest upon satisfaction of the relevant Performance Condition and all other applicable conditions to vesting. Dividend or dividend
equivalent rights shall be as specified in the Award Agreement, or pursuant to a resolution adopted by the Committee with respect
to outstanding Awards. No dividends or dividend equivalents shall be paid on Options or SARs.

 

		9.	Voting

 

Unless the Committee has determined otherwise, a Participant
shall have the right to direct the vote of shares of Common Stock subject to an unvested Restricted Stock Award. Unvested shares
of Common Stock that are eligible to vote shall be voted by a Plan Administrator in accordance with instructions received from
Participants (unless to do so would constitute a violation of any applicable exchange rules). Shares subject to unvested Restricted
Stock Awards as to which no instructions are received shall be voted by the Plan Administrator proportionately in accordance with
instructions received with respect to all other unvested Restricted Stock Awards (including, for these purposes, outstanding awards
granted under the Prior Plan and any other “non-qualified” stock incentive plan of the Company) that are eligible to
vote (unless to do so would constitute a violation of any applicable exchange rules).

 

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		10.	Nontransferability

 

Awards granted under the Plan, and during any period
of restriction on transferability, shares of Common Stock issued in connection with the exercise of an Option or a SAR, or vesting
of a Stock Award may not be sold, pledged, hypothecated, assigned, margined or otherwise transferred by a Participant in any manner
other than by will or the laws of descent and distribution, unless and until the shares underlying such Award have been issued,
and all restrictions applicable to such shares have lapsed or have been waived by the Committee. No Award or interest or right
therein shall be subject to the debts, contracts or engagements of a Participant or his or her successors in interest or shall
be subject to disposition by transfer, alienation, anticipation, pledge, encumbrance, assignment or any other means whether such
disposition be voluntary or involuntary or by operation of law, by judgment, lien, levy, attachment, garnishment or any other legal
or equitable proceedings (including bankruptcy and divorce), and any attempted disposition thereof shall be null and void, of no
effect, and not binding on the Company in any way. Notwithstanding the foregoing, the Committee may permit Options and/or shares
issued in connection with an Option or a SAR exercise that are subject to restrictions on transferability, to be transferred one
time and without payment or consideration to a member of a Participant’s immediate family or to a trust or similar vehicle
for the benefit of a Participant’s immediate family members. During the lifetime of a Participant, all rights with respect
to Awards shall be exercisable only by such Participant or, if applicable pursuant to the preceding sentence, a permitted transferee.

 

		11.	Change of Control of the Company 

 

		(a)	The Committee may, at the time an Award is made or at any time prior to, coincident with or after
the time of a Change of Control:

 

		(i)	provide for the adjustment of any Performance Conditions as the Committee deems necessary or appropriate
to reflect the Change of Control;

 

		(ii)	provide for the cancellation of any Awards then outstanding if the surviving entity or acquiring
entity (or the surviving or acquiring entity’s parent company) in the Change of Control replaces the Awards with new rights
of substantially equivalent value, as determined by the Committee;

 

		(iii)	provide that upon an involuntary termination of a Participant’s employment as a result of a Change of Control, any time
periods shall accelerate, and any other conditions relating to the vesting, exercise, payment or distribution of an Award shall
be waived; or

 

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		(iv)	provide that Awards shall be purchased for an amount of cash equal to the amount that could have been obtained for the shares
covered by a Stock Award if it had been vested and or by an Option or SAR if it had been exercised at the time of the Change of
Control.

 

		(b)	Notwithstanding any other provisions of the Plan or an Award Agreement to the contrary, the vesting,
payment, purchase or distribution of an Award may not be accelerated by reason of a Change of Control for any Participant unless
the Participant’s employment is involuntarily terminated as a result of the Change of Control. For purposes of this Section
11, a Participant’s employment will be deemed to have been involuntarily terminated as a result of a Change of Control if
it is involuntarily terminated other than for Gross Misconduct at any time beginning on the date of the Change of Control up to
and including the first anniversary of the Change of Control.

 

		(c)	A
“Change of Control” shall be deemed to occur if and when:

  

		(i)	any person, including a “person” as such term is used in Section 14(d)(2) of the 1934
Act (a “Person”), is or becomes a beneficial owner (as such term is defined in Rule 13d-3 under the 1934 Act), directly
or indirectly, of securities of the Company representing 30% or more of the combined voting power of the Company’s then outstanding
securities;

 

		(ii)	individuals who, as of the Effective Date, constitute the Board (the “Incumbent Board”)
cease for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director
subsequent to the Effective Date whose election, or nomination for election by the Company’s stockholders, was approved by
a vote of at least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual
were a member of the Incumbent Board, but excluding for this purpose any such individual whose initial assumption of office occurs
as a result of either an actual or threatened election contest (as such terms are used in Rule 14a-11 of Regulation 14A promulgated
under the 1934 Act) or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the
Board;

 

		(iii)	all or substantially all of the assets of the Company are sold, transferred or distributed, or
the Company is dissolved or liquidated; or

 

		(iv)	a reorganization, merger, consolidation or other corporate transaction involving the Company (a
“Transaction”) is consummated, in each case, with respect to which the stockholders of the Company immediately prior
to such Transaction do not, immediately after the Transaction, own more than 50% of the combined voting power of the Company or
other corporation resulting from such Transaction in substantially the same respective proportions as such stockholders’
ownership of the voting power of the Company immediately before such Transaction.

 

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		12.	Award Agreements 

 

Each Award under the Plan shall be evidenced by an
Award Agreement (as such may be amended from time to time) that sets forth the terms, conditions, restrictions and limitations
applicable to the Award, including, but not limited to, the provisions governing vesting, exercisability, payment, forfeiture,
and termination of employment, all or some of which may be incorporated by reference into one or more other documents delivered
or otherwise made available to a Participant in connection with an Award. The Committee need not require the formal execution or
acceptance of such document by the Participant, in which case acceptance of any benefit of the Award by the Participant shall constitute
agreement by the Participant to the terms, conditions, restrictions and limitations set forth in the Plan and the Award Agreement
as well as the administrative guidelines and practices of the Company in effect from time to time. Any assertion by an Employee
that any term, condition, limitation or restriction of the Award as specified in the Award Agreement is invalid or not binding
on such Employee because of his or her non-acceptance of the Award Agreement (or any portion thereof) shall be deemed a refusal
of the Award and the Employee shall cease to be a Participant with respect to the Award, which shall be immediately cancelled.
Each Award Agreement shall provide for forfeiture of unvested Awards if it is determined that a Participant engaged in Gross Misconduct
on or prior to a vesting date. Award Agreements and any other document required to be delivered to a Participant in connection
with an Award may be delivered in electronic form (including by posting on the Company’s intranet or other shared electronic
medium controlled by the Company to which a Participant has access).

 

		13.	Tax Withholding

 

Participants shall be solely responsible for any applicable
taxes (including without limitation income, payroll and excise taxes) and penalties, and any interest that accrues thereon, which
they incur under applicable law in connection with the receipt, vesting or exercise of any Award. The Company and its Subsidiaries
shall have the right to require payment of, or may deduct from any payment made under the Plan or otherwise to a Participant, or
may permit or require shares to be tendered or sold, including shares of Common Stock delivered or vested in connection with an
Award, in an amount sufficient to cover withholding of any federal, state, local, foreign or other governmental taxes or charges
required by
law, or hypothetical taxes required to be paid by a Participant pursuant to a tax-equalization policy for expatriate employees,
and to take such other action as may be necessary to satisfy any such withholding or payment obligations. The value of any shares
allowed to be withheld or tendered for tax withholding may not exceed the amount allowed consistent with fixed plan accounting
in accordance with GAAP, to the extent applicable. To the extent that a number of shares of Common Stock sufficient to satisfy
a tax withholding obligation of the Company may not be withheld (whether because the Award has not vested in full pursuant to its
terms, administrative procedures in effect at such time, applicable accounting principles or any other reason), it shall be a condition
to the obligation of the Company to issue shares of Common Stock upon the exercise of an Option or a SAR, or in settlement of any
vested Award, that a Participant pay to the Company, on demand, such amount as may be requested by the Company for the purpose
of satisfying any actual tax withholding (or hypothetical tax) liability. If the amount is not timely paid to the Company in cash
by such Participant, the Company may cancel the Award and refuse to issue such shares.

 

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		14.	Repayment Obligations and Right of Set-Off 

 

		(a)	If the Committee determines that all conditions to vesting and payment or distribution of an Award
(or any portion thereof), or the vesting and exercisability of an Option or SAR (or any portion thereof), were not satisfied in
full on the scheduled vesting date (including but not limited to, any Performance Condition), the Committee shall cancel such vesting
and refuse to issue or distribute shares or cash and immediately terminate the Participant’s rights with respect to such
Award (or improperly vested portion thereof). If any such Award (or portion thereof) has already been paid, distributed or exercised,
the Participant shall be obligated, upon demand, to: (i) in the case of an improperly vested Stock Award, return the amount of
any cash payment received in settlement of the Stock Award (or improperly vested portion thereof), or if settled in shares, the
number of shares of Common Stock issued in settlement of the Stock Award (or improperly vested portion thereof), or make a cash
payment in an amount equal to the Fair Market Value of such shares on their vesting date, if greater than their Fair Market Value
on the date they are due to be returned to the Company; or (ii) in the case of an improperly exercised Option or SAR, make a cash
payment in an amount equal to the gain realized upon exercise of such Option or SAR (or improperly vested or exercised portion
thereof), in each case, without reduction for any shares of Common Stock or cash withheld or paid to satisfy withholding tax or
hypothetical tax obligations in connection with such Awards or any other obligation of the Participant.

 

		(b)	To the extent not prohibited by applicable law, and consistent with the requirements of Section
409A of the Code, if applicable, the Company will have the right to offset against its obligation to deliver vested shares of Common
Stock or make any vested cash payment pursuant to any Award granted under the Plan: (i) any amounts paid by the Company or a Subsidiary
to a third party pursuant to any award, judgment, or settlement of a complaint, arbitration or lawsuit of which a Participant was
the subject; and (ii) any outstanding amounts (including, without limitation, travel and entertainment or advance account balances,
loans, repayment obligations under any Awards granted under the Plan or awards granted under any other plan, or any obligations
pursuant to a tax-equalization or housing allowance policy or other expatriate benefit) that a Participant then owes to the Company
or a Subsidiary.

 

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		15.	Other Benefit and Compensation Programs 

 

Awards granted under the Plan and amounts received
upon vesting or exercise of an Award shall not be deemed a part of a Participant’s regular, recurring compensation for purposes
of calculating payments or benefits under any Company benefit plan or severance program unless specifically provided for under
the plan or program. Unless specifically set forth in an Award Agreement, Awards under the Plan are not intended as payment for
compensation that otherwise would have been delivered in cash, and even if so intended, such Awards shall be subject to such vesting
requirements and other terms, conditions, restrictions and limitations as may be provided in the Award Agreement.

 

		16.	Unfunded Plan

 

Unless otherwise determined by the Committee, the Plan
shall be unfunded and shall not create (or be construed to create) a trust or a separate fund or funds. The Plan shall not establish
any fiduciary relationship between the Company and any Participant or other person. To the extent any Participant holds any rights
by virtue of an Award granted under the Plan, such rights shall constitute general unsecured liabilities of the Company and shall
not confer upon any Participant or any other person or entity any right, title, or interest in any assets of the Company.

 

		17.	Expenses of the Plan

 

The expenses of the administration of the Plan shall
be borne by the Company and its Subsidiaries. The Company may require Subsidiaries to pay for the Common Stock issued under the
Plan to Participants employed (or formerly employed) by such Subsidiaries.

 

		18.	Rights as a Stockholder

 

Unless the Committee determines otherwise, a Participant
shall not have any rights as a stockholder with respect to shares of Common Stock covered by an Award until the date the Participant
becomes the holder of record with respect to such shares. No adjustment will be made for dividends or other rights for which the
record date is prior to such date, except as provided in Section 6(d) or Section 8.

 

    	17

    	 

    

  

		19.	Future Rights

 

No Employee shall have any claim or right to be granted
an Award under the Plan. There shall be no obligation of uniformity of treatment of Employees under the Plan. Further, the Company
and its Subsidiaries may adopt other compensation programs, plans or arrangements as it deems appropriate or necessary. The adoption
of the Plan or the granting of any Award shall not confer upon any Employee any right to continued employment in any particular
position or at any particular rate of compensation, nor shall it interfere in any way with the right of the Company or a Subsidiary
to terminate the employment of its Employees at any time, free from any claim or liability under the Plan. Unless expressly provided
otherwise elsewhere in the Plan or in an Award Agreement, Awards under the Plan shall be made in anticipation of future service
and/or subject to other vesting conditions and will not be earned until all conditions to vesting have been satisfied.

 

		20.	Amendment and Termination

 

The Plan may be amended, suspended or terminated
at any time by the Committee, provided that no amendment shall be made without stockholder approval, if it would (i) materially
increase the number of shares available under the Plan, (ii) materially expand the types of awards available under the Plan, (iii)
materially expand the class of persons eligible to participate in the Plan, (iv) materially extend the term of the Plan, (v) materially
change the method of determining the exercise price of an Award, (vi) delete or limit the Plan’s prohibition against Repricing,
or (vii) otherwise require approval by the stockholders of the Company in order to comply with applicable law or the rules of the
New York Stock Exchange (or, if the Common Stock is not traded on the New York Stock Exchange, the principal national securities
exchange upon which the Common Stock is then traded or quoted). No such amendment referred to above shall be effective unless and
until it has been approved by the stockholders of the Company. The Committee retains the right to modify an Award without a Participant’s
prior consent if it determines that the modification is required to comply with applicable law, regulation, or regulatory guidance
(including applicable tax law). Except as may be provided by Section 7(e), Section 11 and this Section 20, any other adverse modification
shall not be effective without the Participant’s written consent. The Company shall furnish or make available to Participants
a written notice of any modification through a brochure, prospectus supplement or otherwise, which notice shall specify the effective
date of such modification.

 

		21.	Successors and Assigns

 

The Plan and any applicable Award Agreement entered
into under the Plan shall be binding upon and inure to the benefit of the respective successors and permitted assigns of Participants,
including, without limitation, the executors, administrators or trustees of a Participant’s estate, or any receiver or trustee
in bankruptcy or representative of a Participant’s creditors.

 

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		22.	Governing Law

 

The Plan and all Award Agreements entered into under
the Plan shall be construed in accordance with and governed by the laws of the State of New York, except that any principles or
provisions of New York law that would apply the law of another jurisdiction (other than applicable provisions of U.S. Federal law)
shall be disregarded. Notwithstanding the foregoing, matters with respect to indemnification, delegation of authority under the
Plan, and the legality of shares of Common Stock issued under the Plan, shall be governed by the Delaware General Corporation Law.

 

		23.	Tax Compliance

 

Awards granted hereunder shall comply with or be exempt
from Section 409A of the Code, unless otherwise determined by the Committee. If pursuant to any Award that is subject to Section
409A of the Code a Participant is entitled to receive a payment on a specified date, such payment shall be deemed made as of such
specified date if it is made (i) not earlier than 30 days before such specified date and (ii) not later than December 31 of the
year in which such specified date occurs or, if later, the fifteenth day of the third month following such specified date, provided
that the Participant shall not be permitted, directly or indirectly, to designate the taxable year in which such payment is made.
If pursuant to any Award that is subject to Section 409A of the Code a Participant is entitled to a series of installment payments,
such Participant’s right to the series of installment payments shall be treated as a right to a series of separate payments
and not as a right to a single payment. For purposes of the preceding sentence, the term “series of installment payments”
has the same meaning as provided in Section 1.409A-2(b)(2)(iii) of the regulations promulgated under the Code. Notwithstanding
any provision of this Plan to the contrary, in no event shall the Company or any Subsidiary be liable to a Participant on account
of an Award’s failure to (i) qualify for favorable U.S. or foreign tax treatment or (ii) avoid adverse tax treatment under
U.S. or foreign law, including, without limitation, Sections 409A and 457A of the Code.

 

		24.	Severability

 

If any of the provision of this Plan is finally held
to be invalid, illegal or unenforceable (whether in whole or in part), such provision shall be deemed modified to the extent, but
only to the extent, of such invalidity, illegality or unenforceability and the remaining provisions shall not be affected thereby;
provided that, if any such provision is finally held to be invalid, illegal or unenforceable because it exceeds the maximum
scope determined to be acceptable to permit such provision to be enforceable, such provision shall be deemed modified to the minimum
extent necessary in order to make such provision enforceable.

 

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