Document:

Senior Officers Long-Term Incentive Plan

 Exhibit 10.3 
  
 NUCOR CORPORATION 
  
 SENIOR OFFICERS LONG-TERM INCENTIVE PLAN 
  
 Effective January 1, 2003 
  
  

 Table of Contents 
  

	 ARTICLE I
	  	INTRODUCTION	  	1
	 ARTICLE II
	  	DEFINITIONS	  	1
	 ARTICLE III
	  	ADMINISTRATION	  	2
	 ARTICLE IV
	  	PERFORMANCE AWARDS	  	3
	 4.1
	  	Performance Awards	  	3
	 4.2
	  	Performance Award Payments	  	3
	 4.3
	  	Deferrals of Restricted Stock Performance Awards	  	4
	 ARTICLE V
	  	MISCELLANEOUS	  	5
	 5.1
	  	Amendment or Termination	  	5
	 5.2
	  	Assignability	  	5
	 5.3
	  	Source of Benefits	  	5
	 5.4
	  	No Promise of Continued Employment	  	5
	 5.5
	  	Applicable Law	  	5
	 5.6
	  	Stockholder Approval	  	5

  
  

 ARTICLE I 
 INTRODUCTION 
  
 Nucor Corporation hereby adopts and establishes the Nucor Corporation Senior Officers Long-Term Incentive Plan to provide incentive compensation to senior officers based on Nucor Corporation’s long-term performance relative to that of
its principal competitors in the steel industry and of certain other high-performing companies, consistent with the “performance based compensation” requirements of Section 162(m) of the Code. 
  
 ARTICLE II 
 DEFINITIONS 
  
 For purposes of the Plan, the following terms shall have the following meanings: 
  
 “Adjusted Net Earnings” for a Performance Period means the consolidated net earnings reported by the Company and its subsidiaries for the
Performance Period in accordance with generally accepted accounting principles, before reported extraordinary items, but after charges or credits for taxes measured by income and Performance Awards under this Plan and performance awards under the
Nucor Corporation Senior Officers Annual Incentive Plan. 
  
 “Average Invested Capital” for a Performance Period means the average of the Invested Capital of the Company as of the last day of the immediately preceding Performance Period and the last day of each fiscal quarter in the
Performance Period. 
  
 “Beneficiary” means the
person or persons designated by the Eligible Employee who are to receive any amounts payable under the Plan following the death of the Eligible Employee. 
  
 “Board of Directors” or “Board” means the Board of Directors of the Company. 
  
 “Code” means the Internal Revenue Code of 1986, as amended
from time to time. 
  
 “Company” means Nucor
Corporation, a Delaware corporation. 
  
 “Compensation” means the annual base salary rate paid or payable to an Eligible Employee as of the beginning of a Performance Period, before reduction pursuant to any plan or agreement of the Company whereby compensation is
deferred, including, without limitation, a plan whereby compensation is deferred in accordance with Code Section 401(k) or reduced in accordance with Code Section 125. Compensation shall not include any other form of compensation, whether taxable or
non-taxable, including, but not limited to, annual or long-term incentive compensation, commissions, gains from the exercise or vesting of stock options, restricted stock or other equity-based awards or other forms of additional compensation.

  
 “Committee” means all members of the
Compensation and Executive Development Committee of the Board of Directors who are “outside directors” of the Company within the meaning of Section 162(m)(4)(C)(i) of the Code. 
  
 “Deferral Account” means the individual bookkeeping account maintained by the Company for an Eligible
Employee to record the deferral of the Eligible Employee’s Restricted Stock Performance Award. 
  
 “Deferral Agreement” means the agreement or agreements entered into by an Eligible Employee which provide for the deferral of the
Eligible Employee’s Restricted Stock Performance Award for a Performance Period. 
  
 “Eligible Employee” means an Employee who is designated as the Chairman or a Vice Chairman of the Board or the Chief Executive Officer, the President, the Chief Financial Officer, an Executive Vice
President or a Vice President of the Company and any other Employee who is a senior officer of the Company and designated by the Committee as an Eligible Employee. 
  
 “Employee” means any person, including a member of the Board, employed by the Company on a regular,
full-time basis. 
  
 “High-Performing Peer Group”
for a Performance Period means a group of not less than ten (10) high-performing companies in capital intensive industries designated by the Committee not later than ninety (90) days after the beginning of the Performance Period. 
  

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 “Invested Capital” means the sum of (a) long-term debt (comprising bonds, debentures and
promissory notes having a maturity at the time of execution of more than one (1) year), (b) issued capital stock, (c) additional paid-in capital and (d) earnings retained in the business and reserves created by appropriations therefrom, minus the
cost of treasury stock, all as shown in the Company’s consolidated balance sheet. 
  
 “Performance Award” means the incentive compensation awarded and payable to an Eligible Employee pursuant to Section 4.1 for the Performance Period. 
  
 “Performance Period” means: 
  
 (a)    the one (1) fiscal year period
commencing on the January 1 coinciding with or immediately preceding the date an Eligible Employee commences participation in the Plan and ending on the immediately succeeding December; 
  
 (b)    the two (2) fiscal year period commencing on the January 1 coinciding with or
immediately preceding the date an Eligible Employee commences participation in the Plan and ending on December 31 of the immediately succeeding fiscal year; and 
  
 (c)    each period of three (3) consecutive fiscal years of the Company commencing on
the January 1 coinciding with or immediately preceding the date an Eligible Employee commences participation in the Plan and on each January 1 thereafter. 
  
 “Plan” means the Nucor Corporation Senior Officers Long-Term Incentive Plan, as set forth herein and as amended from time to time.

  
 “Restricted Stock Performance Award” is
defined in Section 4.2. 
  
 “Return on Average Invested
Capital” for a Performance Period means an amount, expressed as a percentage, determined by dividing (a) the Company’s Adjusted Net Earnings for the Performance Period by (b) the Company’s Average Invested Capital for the
Performance Period. 
  
 “Steel Peer Group” for a
Performance Period means a group of not less than five (5) steel industry competitors designated by the Committee not later than ninety (90) days after the beginning of the Performance Period. 
  
 “Target Performance Award” for an Eligible Employee for a
Performance Period means that number of shares of the Company’s common stock determined by dividing (a) eighty-five percent (85%) of the Eligible Employee’s Compensation for the Performance Period by (b) the closing price at which shares
of the Company’s common stock are sold regular way on the New York Stock Exchange on the last trading day immediately preceding the beginning of the Performance Period. The Target Performance Award shall not be rounded up or down to a whole
number of shares. 
  
 Notwithstanding the foregoing, in the event
an Eligible Employee commences participation in the Plan effective as of any day other than January 1 or if the employment of an Eligible Employee is terminated during a Performance Period on or after the Eligible Employee attains age fifty-five
(55) or due to the Eligible Employee’s death or disability, then in either of such events, the Eligible Employee’s Target Performance Award shall be adjusted by multiplying such Target Performance Award by a fraction, the numerator of
which is number of complete calendar months during the Performance Period that the Eligible Employee was employed by the Company and participating in the Plan, and the denominator of which is the total number of calendar months in the Performance
Period. 
  
 ARTICLE III 
 ADMINISTRATION 
  
 This Plan shall be administered by the Committee. The Committee shall have all of the powers necessary to enable it to properly carry out its duties under
the Plan. Not in limitation of the foregoing, the Committee shall have the power to construe and interpret the Plan and to determine all questions that shall arise thereunder. The Committee shall have such other and further specified duties, powers,
authority and discretion as are elsewhere in the Plan either expressly or by necessary implication conferred upon it. The Committee may appoint such agents, who need not be members of the Committee, as it may deem necessary for the effective
performance of its duties, and may delegate to such agents such powers and duties as the Committee may deem expedient or appropriate that are not inconsistent with the intent of the Plan. The decision of the Committee upon all matters within its
scope of authority shall be final and conclusive on all persons. 
  

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 ARTICLE IV 
 PERFORMANCE AWARDS 
  

	4.1	 	Performance Awards 

  
 (a)    Maximum Performance Awards. The maximum Performance Award that may be made to an Eligible Employee with respect
to any Performance Period shall be two (2) times the Eligible Employee’s Target Performance Award for the Performance Period. All Performance Awards under the Plan shall be based on the Company’s relative Return on Average Invested Capital
in accordance with Section 4.1(b). 
  
 (b)    Awards Based on Relative Return on Average Invested Capital. 
  
 (i)    Steel Peer Group.    Fifty percent (50%) of the maximum Performance Award for a
Performance Period (i.e., 100% of the number of shares of the Company’s common stock comprising the Eligible Employee’s Target Performance Award for the Performance Period) shall be available for award based on the Company’s
Return on Average Invested Capital for the Performance Period relative to the return on average invested capital of each company in the Steel Peer Group for the Performance Period. Not later than ninety (90) days after the beginning of each
Performance Period, the Committee shall designate, in writing, the amounts of the Performance Awards that will be made to each Eligible Employee, expressed as a percentage of the number of shares comprising the Eligible Employee’s Target
Performance Award for the Performance Period, for levels of Return on Average Invested Capital for the Performance Period when ranked against the return on average invested capital of the members of the Steel Peer Group for the Performance Period.

  
 (ii)    High-Performing Peer Group.    The remaining fifty percent (50%) of the maximum Performance Award for a Performance Period (i.e., 100% of the number of shares of the
Company’s common stock comprising the Eligible Employee’s Target Performance Award for the Performance Period) shall be available for award based on the Company’s Return on Average Invested Capital for the Performance Period relative
to the return on average invested capital of each company in the High-Performing Peer Group for the Performance Period. Not later than ninety (90) days after the beginning of each Performance Period, the Committee shall designate, in writing, the
amounts of the Performance Awards that will be made to each Eligible Employee, expressed as a percentage of the number of shares comprising the Eligible Employee’s Target Performance Award for the Performance Period, for levels of Return on
Average Invested Capital for the Performance Period when ranked against the return on average invested capital of the members of the High-Performing Peer Group for the Performance Period. 
  
 The Committee’s designation of the amount of the Performance Award for the Company’s rankings against the Steel Peer Group and the
High-Performing Peer Group shall provide approximately equal progression in the amount of the award from the minimum to the maximum amount that may be awarded under Sections 4.1(b)(i) and (ii). The Company’s Steel Peer Group and High-Performing
Peer Group rankings shall be based on the most recent available financial information for the members of the Steel Peer Group and High-Performing Peer Group. 
  
 (c)    Reduction or Forfeiture of Performance Awards. Notwithstanding the foregoing: 
  
 (i)    if the Company has no reported
net earnings for a Performance Period, no Performance Awards will be made with respect to the Performance Period; 
  
 (ii)    the Committee in its sole and exclusive discretion may reduce (including a reduction to zero) the amount of
the Performance Awards otherwise payable to Eligible Employees under the Plan for a Performance Period, provided the same percentage reduction is made to all of the Performance Awards otherwise payable for the Performance Period; and 
  
 (iii)    if the employment of an
Eligible Employee is terminated during a Performance Period prior to the Eligible Employee’s attainment of age fifty-five (55) for any reason other than the Eligible Employee’s death or disability, the Eligible Employee shall not receive
any Performance Award under the Plan for the Performance Period. 
  

	4.2	 	Performance Award Payments 

  
 An Eligible Employee’s Performance Award shall be paid by the Company to the Eligible Employee within thirty (30) days after the later of (i) the
completion of the independent audit of the Company’s financial statements for the Performance Period or (ii) the date the Committee certifies in writing the amount of Performance Awards payable under Section 4.1. The value of fifty percent
(50%) of the shares comprising an Eligible Employee’s Performance Award for a Performance Period, determined by multiplying the number of such shares by the closing price at which shares of the Company’s common stock 

  

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are sold regular way on the New York Stock Exchange on the last trading day of the Performance Period, shall be paid to the Eligible Employee in cash, less
applicable payroll and withholding taxes. Subject to an Eligible Employee’s election in accordance with Section 4.3 to defer payment of the remaining portion of the Performance Award, the remaining fifty percent (50%) of the shares comprising
the Eligible Employee’s Performance Award (the “Restricted Stock Performance Award”) shall be delivered to the Eligible Employee. The Restricted Stock Performance Award shares shall become vested in the Eligible Employee upon
the Eligible Employee’s attainment of age fifty-five (55) while employed by the Company, in the event the Eligible Employee dies or becomes disabled while employed by the Company or, if earlier, in installments based on the Eligible
Employee’s continued employment with the Company through each of the following vesting dates: 
  

	 Vesting Date

	  	Vested Portion of Restricted
Stock Performance Award

	 1st anniversary of payment date
	  	33 1/3%
	 2nd anniversary of payment date
	  	66 2/3%
	 3rd anniversary of payment date
	  	100%

  
 In the event an Eligible
Employee’s employment with the Company terminates for any reason, the Eligible Employee shall, for no consideration, forfeit to the Company coincident with such termination all shares in the Restricted Stock Performance Award that have not
become vested in the Eligible Employee. 
  

	4.3	 	Deferrals of Restricted Stock Performance Awards 

  
 (a)    Deferral Agreement. Each Eligible Employee may elect, by entering into a Deferral Agreement with the Company, to defer
payment of all (and not less than all) of the Restricted Stock Performance Award otherwise payable to the Eligible Employee for a Performance Period. To be effective to defer the payment of a Restricted Stock Performance Award, an Eligible Employee
must complete and return a Deferral Agreement to the Company in accordance with procedures established by the Committee for such purpose prior to the beginning of the Performance Period; provided, however, (i) Deferral Agreements for the
deferral of Restricted Stock Performance Awards for the Performance Periods commencing January 1, 2003 may be completed within thirty (30) days of the Committee’s notification of Eligible Employees of their eligibility to participate in the
Plan and to defer Restricted Stock Performance Awards hereunder and (ii) an Employee who first becomes an Eligible Employee during a Performance Period may enter into a Deferral Agreement for the deferral of a Restricted Stock Performance Award for
the Performance Period within thirty (30) days of the date the Eligible Employee is notified of his or her eligibility to participate in the Plan. 
  
 An Eligible Employee’s Deferral Agreement shall be effective for one Performance Period. Therefore, an Eligible Employee must complete and sign a
Deferral Agreement and return the agreement to the representative of the Company designated by the Committee prior to the beginning of each Performance Period for which a deferral of a Restricted Stock Performance Award is intended to be made.

  
 (b)    Deferral Accounts. In the
event an Eligible Employee defers the payment of a Restricted Stock Performance Award, the number of shares comprising such award shall be converted into an equivalent number of common stock units, and such units shall be credited to a Deferral
Account established and maintained in the Eligible Employee’s name on the books and records of the Company. 
  
 (c)    Dividend Equivalent Payments; Adjustments to Common Stock Units. The Company shall pay to each Eligible Employee in
cash, less applicable payroll and withholding taxes, within thirty (30) days after the payment date of any cash dividend with respect to shares of the Company’s common stock a dividend equivalent payment equal to the number of common stock
units credited to the Eligible Employee’s Deferral Account as of the record date for such dividend multiplied by the per share amount of the dividend. 
  
 In the event a dividend with respect to shares of the Company’s common stock shall be declared and paid in additional shares or in the event the
outstanding shares of the Company’s common stock shall be changed into or exchanged for a different number or kind of shares of stock or other securities of the Company or of another corporation or changed into or exchanged for cash or property
or the right to receive cash or property, then the Committee shall in its discretion equitably adjust the common stock units credited to the Deferral Accounts under the Plan to prevent substantial dilution or enlargement of the rights of Eligible
Employees under the Plan. 
  
 (d)    Vesting. An Eligible Employee shall become vested in the common stock units credited to the Eligible Employee’s Deferral Account in accordance with the vesting provisions of Section 4.2 that would have
applied to the Restricted Stock Performance Award shares from which such units were derived. In the event an Eligible Employee terminates employment prior to attaining age fifty-five (55) for any reason other than death or disability, the common
stock units credited to the Eligible Employee’s Deferral Account that are not vested shall be forfeited. 
  

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 (e)    Payment of Deferral Accounts. The vested portion of an Eligible
Employee’s Deferral Account shall be paid to the Eligible Employee as soon as practicable following the termination of the Eligible Employee’s employment with the Company for any reason. The form of payment shall be one share of the
Company’s common stock for each common stock unit credited to the vested portion of the Deferral Account and cash for any fractional unit. An Eligible Employee may elect a single sum payment of the Eligible Employee’s Deferral Account or
payment in installments over a term certain of not more than five (5) years. An Eligible Employee may change the method of payment by electing a new payment method at least twelve (12) full calendar months prior to the termination of the Eligible
Employee’s employment with the Company. Payment election changes submitted less than twelve (12) full calendar months prior to the termination of an Eligible Employee’s employment with the Company shall be null and void. In the event an
Eligible Employee fails to make a valid method of payment election, distribution of the Eligible Employee’s Deferral Account shall be made in a single sum payment of shares of Company common stock and cash for any fractional unit credited to
the Deferral Account. 
  
 (f)    Payment
Following Death. An Eligible Employee may designate and change at any time the Beneficiary who is to receive distribution of the vested portion of the Participant’s Deferral Account in the event of the Eligible Employee’s death. Any
such designation or change shall not be effective until received by the representative of the Company designated by the Committee. If an Eligible Employee has not properly designated a Beneficiary, if for any reason such designation shall not be
legally effective, or if the designated Beneficiary shall predecease the Eligible Employee, then the Eligible Employee’s estate shall be treated as the Beneficiary. 
  
 In the event of an Eligible Employee’s death prior to distribution of all common stock units credited to the Eligible
Employee’s Deferral Account, the Eligible Employee’s Beneficiary shall receive a distribution of the vested portion of such units (in the form of shares of Company common stock and cash for any fractional unit credited to the Deferral
Account) as soon as practicable following the Participant’s death in a single sum payment. 
  
 ARTICLE V 
 MISCELLANEOUS 
  

	5.1	 	Amendment or Termination 

  
 The Board expressly reserves for itself and for the Committee the right and the power to amend or terminate the Plan at any time. Unless the Committee
otherwise expressly provides at the time the action is taken, no Performance Awards shall be paid to any Eligible Employee on or after the date of any termination of the Plan. 
  

	5.2	 	Assignability 

  
 Eligible Employees shall not alienate, assign, sell, transfer, pledge, encumber, attach, mortgage, or otherwise hypothecate or convey in advance of actual
receipt the amounts, if any, payable hereunder. No part of the amounts payable hereunder shall, prior to actual payment, be subject to seizure or sequestration for the payment of any debts, judgments, alimony, or separate maintenance, nor shall any
person have any other claim to any benefit payable under this Plan as a result of a divorce or the Eligible Employee’s, or any other person’s, bankruptcy or insolvency. 
  

	5.3	 	Source of Benefits 

  
 The Company shall make any cash payments due under the terms of this Plan directly from its assets or from any trust that the Company may choose to
establish and maintain from time to time. Shares of the Company’s common stock that may be issued under the Plan may be either authorized and unissued shares or shares which have been reacquired by the Company. Nothing contained in this Plan
shall give or be deemed to give any Eligible Employee or any other person any interest in any property of any such trust or in any property of the Company, nor shall any Eligible Employee or any other person have any right under this Plan not
expressly provided by the terms hereof, as such terms may be interpreted and applied by the Committee in its discretion. 
  

	5.4	 	No Promise of Continued Employment 

  
 Nothing in this Plan or in any materials describing or relating to this Plan grants, nor should it be deemed to grant, any person any employment right,
nor does participation in this Plan imply that any person has been employed for any specific term or duration or that any person has any right to remain in the employ of the Company. 
  

	5.5	 	Applicable Law 

  
 The Plan shall be construed in accordance with and governed by the laws of the State of North Carolina. 
  

	5.6	 	Stockholder Approval 

  
 The effectiveness of the Plan shall be subject to its approval and ratification by the stockholders of the Company at the 2003 annual meeting of
stockholders. 
  

 5Epicor Software Corp. Amended and Restated 1999 Nonstatutory Stock Option Plan

 EXHIBIT 4.1 
  
 EPICOR SOFTWARE CORPORATION 
  
 AMENDED AND RESTATED 1999 NONSTATUTORY STOCK OPTION PLAN 
  
 1.    Purposes of the Plan. The purposes of this Nonstatutory Stock Option Plan are: 
  

	 	•	 	to attract and retain the best available personnel for positions of substantial responsibility, 

  

	 	•	 	to provide additional incentive to Service Providers, and 

  

	 	•	 	to promote the success of the Company’s business. 

  
 Options granted under the Plan will be Nonstatutory Stock Options. Stock Purchase Rights may also be granted under the Plan. 

 
 2.    Definitions. As used herein, the
following definitions shall apply: 
  
         (a)    “Administrator” means the Board or any of its Committees as shall be administering the Plan, in accordance with Section 4 of the Plan. 

 
         (b)    “Applicable Laws” means the requirements relating to the administration of stock option plans under U.S. state corporate laws, U.S. federal and
state securities laws, the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted and the applicable laws of any foreign country or jurisdiction where Options or Stock Purchase Rights are, or will be, granted
under the Plan. 
  
         (c)    “Board” means the Board of Directors of the Company. 
  
         (d)    “Code” means the Internal Revenue Code of 1986, as amended.

  
         (e)    “Committee” means a committee of Directors appointed by the Board in accordance with Section 4 of the Plan. 
  
         (f)    “Common Stock” means the Common Stock of the Company. 
  
         (g)    “Company” means Epicor Software Corporation, a Delaware
corporation. 
  
         (h)    “Consultant” means any person, including an advisor, engaged by the Company or a Parent or Subsidiary to render services to such entity. 

 
         (i)    “Director” means a member of the Board. 
  
         (j)    “Disability” means total and permanent disability as defined
in Section 22(e)(3) of the Code. 
  

 (k)    “Employee” means any person, including Officers, employed by
the Company or any Parent or Subsidiary of the Company. A Service Provider shall not cease to be an Employee in the case of (i) any leave of absence approved by the Company or (ii) transfers between locations of the Company or between the Company,
its Parent, any Subsidiary, or any successor. Neither service as a Director nor payment of a director’s fee by the Company shall be sufficient to constitute “employment” by the Company. 
  
 (l)    “Exchange Act” means the
Securities Exchange Act of 1934, as amended. 
  
 (m)    “Fair Market Value” means, as of any date, the value of Common Stock determined as follows: 
  
         (i)    If the Common Stock is listed on any established stock exchange or a national
market system, including without limitation the Nasdaq National Market or The Nasdaq SmallCap Market of The Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for such stock (or the closing bid, if no sales were reported) as
quoted on such exchange or system for the last market trading day prior to the time of determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable; 
  
         (ii)    If the Common Stock is regularly quoted by a recognized securities dealer but selling prices are not reported, the Fair Market Value of a Share of Common Stock
shall be the mean between the high bid and low asked prices for the Common Stock on the last market trading day prior to the day of determination, as reported in The Wall Street Journal or such other source as the Administrator deems
reliable; or 
  
         (iii)    In the absence of an established market for the Common Stock, the Fair Market Value shall be determined in good faith by the Administrator. 
  
 (n)    “Notice of Grant” means a written
or electronic notice evidencing certain terms and conditions of an individual Option or Stock Purchase Right grant. The Notice of Grant is part of the Option Agreement or Restricted Stock Purchase Agreement, as the case may be. 
  
 (o)    “Officer” means a person who is
an officer of the Company within the meaning of Section 16 of the Exchange Act and the rules and regulations promulgated thereunder. 
  
 (p)    “Option” means a nonstatutory stock option granted pursuant to the Plan, that is not intended to qualify as an
incentive stock option within the meaning of Section 422 of the Code and the regulations promulgated thereunder. 
  
 (q)    “Option Agreement” means an agreement between the Company and an Optionee evidencing the terms and conditions
of an individual Option grant. The Option Agreement is subject to the terms and conditions of the Plan. 
  
 (r)    “Optioned Stock” means the Common Stock subject to an Option or Stock Purchase Right. 
  

 2 

         (s)    “Optionee”
means the holder of an outstanding Option, Stock Purchase Right and/or Restricted Stock granted under the Plan. 
  
         (t)    “Parent” means a “parent corporation,” whether now
or hereafter existing, as defined in Section 424(e) of the Code. 
  
         (u)    “Plan” means this Amended and Restated 1999 Nonstatutory Stock Option Plan. 
  
         (v)    “Restricted Stock” means shares
of Common Stock acquired pursuant to a grant of a Stock Purchase Right under Section 11 of the Plan. 
  
         (w)    “Restricted Stock Purchase Agreement” means a written
agreement between the Company and the Optionee evidencing the terms and restrictions applying to stock purchased under a Stock Purchase Right. The Restricted Stock Purchase Agreement is subject to the terms and conditions of the Plan and Notice of
Grant. 
  
         (x)    “Service Provider” means an Employee including an Officer, Consultant or employee Director. 
  
         (y)    “Share” means a share of the Common Stock, as adjusted in accordance with Section 13 of the Plan. 
  
         (z)    “Stock Purchase Right” means a right to purchase Common Stock pursuant to Section 11 of the Plan. 
  
         (aa)    “Subsidiary” means a “subsidiary corporation,” whether now or hereafter existing, as defined in Section 424(f) of the Code. 

 
 3.    Stock Subject to the Plan. Subject to the
provisions of Section 13 of the Plan, the maximum aggregate number of Shares which may be optioned and sold under the Plan is six million (6,000,000) Shares. The Shares may be authorized, but unissued, or reacquired Common Stock. 
  
 If an Option or Stock Purchase Right expires or becomes unexercisable without
having been exercised in full, the unpurchased Shares which were subject thereto shall become available for future grant or sale under the Plan (unless the Plan has terminated). However, Shares that have actually been issued under the Plan, upon
exercise of either an Option or Stock Purchase Right, shall not be returned to the Plan and shall not become available for future distribution under the Plan, except that if Shares of Restricted Stock are repurchased by the Company at their original
purchase price, such Shares shall become available for future grant under the Plan. 
  
 4.    Administration of the Plan. 
  
         (a)    Administration. The Plan shall be administered by (i) the Board or (ii) a Committee, which committee shall be constituted to satisfy
Applicable Laws. 
  

 3 

 (b)    Powers of the Administrator. Subject to the provisions of the Plan, and
in the case of a Committee, subject to the specific duties delegated by the Board to such Committee, the Administrator shall have the authority, in its discretion: 
  
         (i)    to determine the Fair Market Value of the Common
Stock; 
  
         (ii)    to select the Service Providers to whom Options and Stock Purchase Rights may be granted hereunder; 
  
         (iii)    to determine whether and to what extent Options
and Stock Purchase Rights are granted hereunder; 
  
         (iv)    to determine the number of shares of Common Stock to be covered by each Option and Stock Purchase Right granted hereunder; 
  
         (v)    to
approve forms of agreement for use under the Plan; 
  
         (vi)    to determine the terms and conditions, not inconsistent with the terms of the Plan, of any award granted hereunder. Such terms and conditions include, but are not
limited to, the exercise price, the time or times when Options or Stock Purchase Rights may be exercised (which may be based on performance criteria), any vesting acceleration or waiver of forfeiture restrictions, and any restriction or limitation
regarding any Option or Stock Purchase Right or the shares of Common Stock relating thereto, based in each case on such factors as the Administrator, in its sole discretion, shall determine; 
  
         (vii)    to construe and interpret the terms of the Plan and awards granted pursuant to the Plan; 
  
         (viii)    to prescribe, amend and rescind rules and
regulations relating to the Plan, including rules and regulations relating to sub-plans established for the purpose of qualifying for preferred tax treatment under foreign tax laws; 
  
         (ix)    to modify or amend each Option or Stock Purchase
Right (subject to Section 15(b) of the Plan), including the discretionary authority to extend the post-termination exercisability period of Options longer than is otherwise provided for in the Plan; 
  
         (x)    to
authorize any person to execute on behalf of the Company any instrument required to effect the grant of an Option or Stock Purchase Right previously granted by the Administrator; 
  
         (xi)    to determine the terms and restrictions
applicable to Options or Stock Purchase Rights; 
  
         (xii)    to allow Optionees to satisfy withholding tax obligations by electing to have the Company withhold from the Shares to be issued upon exercise or vesting of an
Option or Stock Purchase Right that number of Shares having a Fair Market Value equal to the amount required to be withheld. The Fair Market Value of the Shares to be withheld shall be determined on 
  

 4 

 the date that the amount of tax to be withheld is to be determined. All elections by an Optionee to have Shares withheld
for this purpose shall be made in such form and under such conditions as the Administrator may deem necessary or advisable; and 
  
                 (xiii)    to make all other
determinations deemed necessary or advisable for administering the Plan. 
  
 Notwithstanding the foregoing or any other provisions of the Plan, the Administrator shall not be allowed to adjust or amend the exercise price of any Options previously granted hereunder, whether through amendment,
cancellation or replacement grants or through any other means. 
  
         (c)    Effect of Administrator’s Decision. The Administrator’s decisions, determinations and interpretations shall be final and binding on all Optionees
and any other holders of Options or Stock Purchase Rights. 
  
 5.    Eligibility. Options and Stock Purchase Rights may be granted to Service Providers. 
  
 6.    Limitations. 
  
         (a)    No Guarantee of Continued Service Relationship. Neither the Plan nor any
Option or Stock Purchase Right shall confer upon an Optionee any right with respect to continuing the Optionee’s relationship as a Service Provider with the Company, nor shall they interfere in any way with the Optionee’s right or the
Company’s right to terminate such relationship at any time, with or without cause. 
  
         (b)    Internal Revenue Code Section 162(m) Limitations. The following limitations shall apply to grants of Options: 
  
                 (i)    No Service Provider shall be granted, in any fiscal year of the Company, Options to purchase more than 1,500,000
Shares. 
  
                 (ii)    In connection with his or her initial service, a Service Provider may be granted Options to purchase up to an
additional 1,500,000 Shares which shall not count against the limit set forth in subsection (i) above. 
  
                 (iii)    The foregoing limitations
shall be adjusted proportionately in connection with any change in the Company’s capitalization as described in Section 13. The foregoing limitations shall not apply to grants of Stock Purchase Rights under the Plan. 
  
 7.    Term of Plan. The Plan shall become
effective upon the date of its approval by the stockholders of the Company. It shall continue in effect for ten (10) years, unless sooner terminated under Section 15 of the Plan. 
  
 8.    Term of Option. The term of each Option shall be stated in the Option Agreement.

  

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 9.    Option Exercise Price and Consideration. 
  
 (a)    Exercise Price.    The
per share exercise price for the Shares to be issued pursuant to exercise of an Option shall be determined by the Administrator, but shall in no event be less than 100% of Fair Market Value. 
  
 (b)    Waiting Period and Exercise
Dates.    At the time an Option is granted, the Administrator shall fix the period within which the Option may be exercised and shall determine any conditions which must be satisfied before the Option may be exercised.

  
 (c)    Form of
Consideration.    The Administrator shall determine the acceptable form of consideration for exercising an Option, including the method of payment. Such consideration may consist entirely of: 
  
 (i)    cash; 
  
 (ii)    check; 
  
 (iii)    promissory note; 
  
 (iv)    other Shares which (A) in the case of Shares
acquired upon exercise of an option, have been owned by the Optionee for more than six months on the date of surrender, and (B) have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which said
Option shall be exercised; 
  
 (v)    consideration received by the Company under a cashless exercise program implemented by the Company in connection with the Plan; 
  
 (vi)    a reduction in the amount of any Company liability to the Optionee, including any liability
attributable to the Optionee’s participation in any Company-sponsored deferred compensation program or arrangement (after the payment of any applicable tax withholding); 
  
 (vii)    such other consideration and method of payment for the issuance of Shares to the extent
permitted by Applicable Laws; or 
  
 (viii)    any combination of the foregoing methods of payment. 
  
 10.    Exercise of Option. 
  
 (a)    Procedure for Exercise; Rights as a Stockholder.    Any Option granted hereunder shall be exercisable according to the terms of the Plan and at such times and
under such conditions as determined by the Administrator and set forth in the Option Agreement. An Option may not be exercised for a fraction of a Share. 
  
 An Option shall be deemed exercised when the Company receives: (i) written or electronic notice of exercise (in accordance with the Option Agreement)
from the person entitled 
  

 6 

 to exercise the Option, and (ii) full payment for the Shares with respect to which the Option is exercised. Full payment
may consist of any consideration and method of payment authorized by the Administrator and permitted by the Option Agreement and the Plan. Shares issued upon exercise of an Option shall be issued in the name of the Optionee or, if requested by the
Optionee, in the name of the Optionee and his or her spouse. Until the Shares are issued (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive dividends
or any other rights as a stockholder shall exist with respect to the Optioned Stock, notwithstanding the exercise of the Option. The Company shall issue (or cause to be issued) such Shares promptly after the Option is exercised. No adjustment will
be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 13 of the Plan. 
  
 Exercising an Option in any manner shall decrease the number of Shares thereafter available, both for purposes of the Plan and for sale under the Option,
by the number of Shares as to which the Option is exercised. 
  
 (b)    Termination of Relationship as a Service Provider.    If an Optionee ceases to be a Service Provider, other than upon the Optionee’s death or Disability, the Optionee may exercise
his or her Option, but only within such period of time as is specified in the Option Agreement, and only to the extent that the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set
forth in the Option Agreement). In the absence of a specified time in the Option Agreement, the Option shall remain exercisable for three (3) months following the Optionee’s termination. If, on the date of termination, the Optionee is not
vested as to his or her entire Option, the Shares covered by the unvested portion of the Option shall revert to the Plan. If, after termination, the Optionee does not exercise his or her Option within the time specified by the Administrator, the
Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 
  
 (c)    Disability of Optionee.    If an Optionee ceases to be a Service Provider as a result of the Optionee’s Disability, the Optionee may exercise his or her
Option within such period of time as is specified in the Option Agreement, to the extent the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Option Agreement). In
the absence of a specified time in the Option Agreement, the Option shall remain exercisable for twelve (12) months following the Optionee’s termination. If, on the date of termination, the Optionee is not vested as to his or her entire Option,
the Shares covered by the unvested portion of the Option shall revert to the Plan. If, after termination, the Optionee does not exercise his or her Option within the time specified herein, the Option shall terminate, and the Shares covered by such
Option shall revert to the Plan. 
  
 (d)    Death of Optionee.    If an Optionee dies while a Service Provider, the Option may be exercised within such period of time as is specified in the Option Agreement (but in no event later
than the expiration of the term of such Option as set forth in the Notice of Grant), by the Optionee’s estate or by a person who acquires the right to exercise the Option by bequest or inheritance, but only to the extent that the Option is
vested on the date of death. In the absence of a specified time in the Option Agreement, the Option shall remain exercisable for twelve (12) months following the Optionee’s death. If, at the time of death, the Optionee is not vested as to his
or her 
  

 7 

 entire Option, the Shares covered by the unvested portion of the Option shall immediately revert to the Plan. The Option
may be exercised by the executor or administrator of the Optionee’s estate or, if none, by the person(s) entitled to exercise the Option under the Optionee’s will or the laws of descent or distribution. If the Option is not so exercised
within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 
  
 (e)    Buyout Provisions.    The Administrator may at any time offer to buy out for a payment in cash or
Shares, an Option previously granted based on such terms and conditions as the Administrator shall establish and communicate to the Optionee at the time that such offer is made. 
  
 11.    Stock Purchase Rights. 
  
 (a)    Rights to Purchase.    Stock Purchase Rights may be issued either
alone, in addition to, or in tandem with other awards granted under the Plan and/or cash awards made outside of the Plan. After the Administrator determines that it will offer Stock Purchase Rights under the Plan, it shall advise the offeree in
writing or electronically of the terms, conditions and restrictions related to the offer, including the number of Shares that such person shall be entitled to purchase, the price to be paid, and the time within which such person must accept such
offer. The offer shall be accepted by execution of a Restricted Stock Purchase Agreement in the form determined by the Administrator. 
  
 (b)    Repurchase Option.    Unless the Administrator determines otherwise, the Restricted Stock Purchase
Agreement shall grant the Company a repurchase option exercisable upon the voluntary or involuntary termination of the purchaser’s service with the Company for any reason (including death or disability). The purchase price for Shares
repurchased pursuant to the Restricted Stock Purchase Agreement shall be the original price paid by the purchaser and may be paid by cancellation of any indebtedness of the purchaser to the Company. The repurchase option shall lapse at such rate as
the Administrator may determine. 
  
 (c)    Other Provisions.    The Restricted Stock Purchase Agreement shall contain such other terms, provisions and conditions not inconsistent with the Plan as may be determined by the
Administrator in its sole discretion. 
  
 (d)    Rights as a Shareholder.    Once the Stock Purchase Right is exercised, the purchaser shall have rights equivalent to those of a shareholder and shall be a shareholder when his or her
purchase is entered upon the records of the duly authorized transfer agent of the Company. No adjustment shall be made for a dividend or other right for which the record date is prior to the date the Stock Purchase Right is exercised, except as
provided in Section 13 of the Plan. 
  
 12.    Non-Transferability of Options and Stock Purchase Rights.    Unless determined otherwise by the Administrator, an Option or Stock Purchase Right may not be sold, pledged, assigned,
hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised, during the lifetime of the Optionee, only by the Optionee. If the Administrator makes an Option or Stock
Purchase Right transferable, such Option or Stock Purchase Right shall contain such additional terms and conditions as the Administrator deems appropriate. 
  

 8 

 13.    Adjustments Upon Changes in Capitalization or Change of Control.

  
         (a)    In the event that the outstanding shares of Common Stock of the Company are hereafter increased or decreased or changed into or exchanged for a different number or
kind of shares or other securities of the Company by reason of merger, consolidation or reorganization in which the Company is the surviving corporation or of a recapitalization, stock split, combination of shares, reclassification, reincorporation,
stock dividend (in excess of 2%), or other change in the corporate structure of the Company, appropriate adjustments shall be made by the Board of Directors in the aggregate number and kind of shares subject to this Plan, and the number and kind of
shares and the price per share subject to outstanding Options and Stock Purchase Rights in order to preserve, but not to increase, the benefits to persons then holding Options or Stock Purchase Rights. 
  
         (b)    In
the event that a Change of Control (as defined below) occurs, the vesting of all Options, Stock Purchase Rights and Restricted Stock shall be accelerated immediately prior thereto and Optionees holding such Options, Stock Purchase Rights and
Restricted Stock shall have the right to exercise their Options or Stock Purchase Rights in respect to any or all of the Shares then subject thereto. Any Company repurchase option with respect to Restricted Stock shall immediately lapse with respect
to all such Restricted Stock. To the extent possible, the Administrator shall cause written notice of the Change of Control to be given to the persons holding Options or Stock Purchase Rights not less than ten (10) days prior to the anticipated
effective date of the Change of Control. In the event of a Change of Control, the Administrator may take such other action as is equitable and fair. 
  
         (c)    For the purposes of this Agreement, the term “Change of Control”
shall mean the occurrence of any of the following: 
  
                 (i)    Any “person,” as such term is used in Section 13(d) and 14(d) of the Securities Exchange Act of 1934, as
amended (the “Exchange Act”) (other than the Company, a Company subsidiary, or a Company employee benefit plan, including any trustee of such plan acting as trustee) is or becomes the “beneficial owner” (as defined in Rule 13d-3
under the Exchange Act), directly or indirectly, of securities of the Company (or a successor to the Company) representing fifty percent (50%) or more of the combined voting power of the then outstanding securities of the Company or such successor;
or 
  
                 (ii)    At least a majority of the directors of the Company constitute persons who were not at the time of their first
election to the Board, candidates proposed by a majority of the Board of Directors in office prior to the time of such first election; or 
  
                 (iii)    A merger or consolidation in
which the Company is not the surviving entity, except for a transaction, the principal purpose of which is to change the state in which the Company is incorporated; or 
  
                 (iv)    A sale, transfer or other disposition of assets involving fifty percent (50%) or more in value of the assets of the
Company; or 
  

 9 

                 (v)    The dissolution of the Company, or liquidation of more than fifty percent (50%) in value of the Company; or

  
                 (vi)    Any reverse merger in which the Company is a surviving entity but in which securities possessing more than fifty
percent (50%) of the total combined voting power of the Company’s outstanding securities are transferred to a person or persons different from the persons holding those securities immediately prior to such reverse merger. 
  
 14.    Date of Grant. The date of grant of an
Option or Stock Purchase Right shall be, for all purposes, the date on which the Administrator makes the determination granting such Option or Stock Purchase Right, or such other later date as is determined by the Administrator. Notice of the
determination shall be provided to each Optionee within a reasonable time after the date of such grant. 
  
 15.    Amendment and Termination of the Plan. 
  
         (a)    Amendment and Termination. The Board may
at any time amend, alter, suspend or terminate the Plan. 
  
         (b)    Effect of Amendment or Termination. No amendment, alteration, suspension or termination of the Plan shall impair the rights of any Optionee, unless mutually
agreed otherwise between the Optionee and the Administrator, which agreement must be in writing and signed by the Optionee and the Company. Termination of the Plan shall not affect the Administrator’s ability to exercise the powers granted to
it hereunder with respect to options granted under the Plan prior to the date of such termination. 
  
 16.    Conditions Upon Issuance of Shares. 
  
         (a)    Legal Compliance. Shares shall not be
issued pursuant to the exercise of an Option or Stock Purchase Right unless the exercise of such Option or Stock Purchase Right and the issuance and delivery of such Shares shall comply with Applicable Laws and shall be further subject to the
approval of counsel for the Company with respect to such compliance. 
  
         (b)    Investment Representations. As a condition to the exercise of an Option or Stock Purchase Right the Company may require the person exercising such Option or
Stock Purchase Right to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute such Shares if, in the opinion of counsel for the Company,
such a representation is required. 
  
 17.    Inability to Obtain Authority. The inability of the Company to obtain authority from any regulatory body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the
lawful issuance and sale of any Shares hereunder, shall relieve the Company of any liability in respect of the failure to issue or sell such Shares as to which such requisite authority shall not have been obtained. 
  

 10 

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

 11

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