Document:

Exhibit 10.2

 

2016
RSU Award Notice and Agreement

 

 

RESTRICTED
STOCK UNIT AWARD NOTICE

 

HMS
Holdings Corp.

2016
Omnibus Incentive Plan

 

Dear <Participant Name>,

 

Congratulations, HMS Holdings
Corp. (the “Company”) has granted you restricted stock units (“RSUs”) under
the Company’s 2016 Omnibus Incentive Plan, as it may be amended from time to time (the “Plan”).
An RSU entitles you to receive a share of the Company’s common stock at a future date, assuming that you satisfy the terms
and conditions of the Plan and the attached implementing Restricted Stock Unit Award Agreement (the “Award Agreement”).
We would like you to have an opportunity to share in the success of the Company through this RSU award under the Plan. The following
represents a brief description of your individual award.

 

Restricted Stock Unit Award
Summary: 

 

	Date of Grant	<Date>
	RSU
    Shares	<Number
    of Shares Covered by the RSUs Granted>
	Vesting
    	[One-sixth/one-fourth/one-third]
    of the RSU Shares shall vest on the first, second and third anniversaries of the Date of Grant[, with the remainder
    vesting in accordance with the applicable schedule for the Performance RSUs set forth in Appendix B to the Award Agreement].  Each
    of those dates is a “Vesting Date.”
	Participant
    Management-Level 	<Management
    level of Participant at Date of Grant>

 

		•	You
                                         have been granted RSUs for shares of the Company’s common stock (“Shares”)
                                         for the total number of Shares specified under “RSU Shares”
                                         in the chart above.
	 	 	 

		•	The
                                         potential value of your RSUs increases if the price of the Company’s stock increases,
                                         but you also have to continue to provide services to the Company (except as the Award
                                         Agreement provides) to actually receive such value. Of course, the value of the stock
                                         may go up and down over time.
	 	 	 

		•	You
                                         will not receive the Shares represented by the RSUs unless and until the RSUs vest. Your
                                         RSUs vest as provided in the chart above under “Vesting,” assuming
                                         you remain an employee or a member of the Board of Directors of the Company and subject
                                         to the terms in the Award Agreement.
	 	 	 

		•	Once
                                         you have received the Shares, you will own them and may decide whether to hold the stock,
                                         sell the stock or give the stock to someone as a gift.
	 	 	 

		•	Additional
                                         details regarding your RSU award are provided in the Plan and the Award Agreement.
	 	 	 

 

You can access the Merrill
Lynch website, including updates and additional information at: https://www29.benefits.ml.com/login/login.aspx. Please
email EquityAdministration@hms.com with any questions regarding the Merrill Lynch website. 

 

     

     

    

RESTRICTED
STOCK UNIT AWARD AGREEMENT

FOR
EMPLOYEES

 

HMS
Holdings Corp.

2016
Omnibus Incentive Plan

 

HMS Holdings
Corp. (the “Company”) has granted you, the individual named in the attached Restricted Stock Unit Award
Notice (the “Award Notice”), restricted stock units (the “RSUs”) under the
HMS Holdings Corp. 2016 Omnibus Incentive Plan (as it may be amended from time to time) (the “Plan”),
the terms of which are incorporated by reference herein in their entirety. Each RSU lets you receive a share (an “RSU
Share”) of the Company’s common stock (the “Shares”) and is subject in all respects
to the applicable provisions of the Plan, the Award Notice and this Restricted Stock Unit Award Agreement (the “Award
Agreement”). Any term used in this Award Agreement that is not specifically defined herein or in the Award Notice
shall have the meaning specified in the Plan.

 

Please
refer to the attached Award Notice for individualized details regarding your RSU award, including the Date of Grant, the total
number of RSU Shares granted to you, and the schedule for Vesting and applicable vesting dates (the “Vesting Dates”).

 

 

 

 

 

The Plan document and the Prospectus
for the Plan are available on the Merrill Lynch website. The Company’s Registration Statement on Form S-8, the Company’s
Annual Report on Form 10-K, and other filings the Company makes with the Securities and Exchange Commission are available for
your review under the Investor Relations tab on the Company’s web site (http://investor.hms.com/financials.cfm).
You may also obtain paper copies of these documents, without charge, upon request to the Company’s Corporate Secretary,
5615 High Point Drive, Irving, Texas 75038, telephone: 972-916-2380.

 

Neither the Company nor anyone
else is making any representations or promises regarding the duration of your service, vesting of the RSUs, the value of the Shares
or of these RSUs, or the Company's prospects. The Company is not providing any advice regarding tax consequences to you or your
decisions regarding the RSUs; you agree to rely only upon your own personal advisors.

 

NO
ONE MAY SELL, TRANSFER, OR DISTRIBUTE THE RSUS OR THE SECURITIES THAT MAY BE RECEIVED UNDER THEM WITHOUT AN EFFECTIVE REGISTRATION
STATEMENT RELATING THERETO OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY OR OTHER INFORMATION AND REPRESENTATIONS SATISFACTORY
TO IT THAT SUCH REGISTRATION IS NOT REQUIRED.

 

 

 

 

 

 

    	Page 2

     

    

In addition
to the Plan’s terms and restrictions, the following terms and restrictions apply:

 

	Vesting Schedule		Your RSUs become nonforfeitable
(“Vested”) as provided in the Award Notice, assuming that you remain
an employee of the Company or a member of the Company’s Board of Directors (the “Board”) through
each Vesting Date. For purposes of this Award Agreement, employment with the Company will include employment with any Affiliate
whose employees are then eligible to receive awards under the Plan. Unless the Compensation Committee (the “Committee”)
of the Board determines otherwise, if an entity employing you ceases to be an Affiliate, your employment with the Company will
be treated as ended even though you continue to be employed by that entity.

 

			Unless otherwise specified in
                                                                                                                                            your employment or separation agreement, if your employment or service ends as a result of your disability, your RSUs will
                                                                                                                                            become fully vested on your termination of employment. For this purpose “disability” means
                                                                                                                                            permanent and total disability as defined by Section 22(e)(3) of the Internal Revenue Code. Unless otherwise specified in
                                                                                                                                            your employment or separation agreement, if your employment ends as a result of your death, your RSUs (including the
                                                                                                                                            Performance RSUs) will immediately vest in full upon your death.

 

			If your employment or service ends
                                                                                                                                            as a result of Retirement, you will be treated as continuing in service for vesting purposes until the earlier to occur
                                                                                                                                            of (i) the second anniversary of your Retirement and (ii) the last of the applicable Vesting Dates (the
                                                                                                                                            “Retirement Period”). Unless determined by the Committee otherwise, any unvested RSUs on the last
                                                                                                                                            day of the Retirement Period shall be forfeited. “Retirement” for the purpose of this Award
                                                                                                                                            Agreement means cessation of employment or service on or after attaining age 60 and completing five years of service with the
                                                                                                                                            Company.

 

	Change in Control		In addition
to any terms and conditions under your employment or separation agreement, if applicable,
in the event a Change in Control occurs, the RSUs, including any Performance RSUs, will be treated as provided in Section 11 of
the Plan (and, if applicable, your employment or separation agreement) if within 24 months following the Change in Control, your
employment or service ends on (i) a termination without Gross Misconduct, (ii) a resignation for good reason as specified under
your employment agreement, if applicable, or (iii) Retirement.

 

	Termination due 
 to Misconduct		 If the Company
terminates your employment or service for Gross Misconduct, the
RSUs will immediately terminate without regard to whether they are then Vested in whole or in part. “Gross Misconduct”
for purposes of this Award Agreement: (i) shall have the same meaning as “cause” in your employment or separation
agreement if you have an employment or separation agreement with the Company and cause is defined in such agreement; or (ii) if
you do not have an employment or separation agreement or your agreement does not define cause, “gross misconduct”
shall mean the occurrence of one of the following events: (A) your conviction or plea of guilty or nolo contendere to any felony
(or to a felony charge reduced to a misdemeanor) or with respect to your employment to any misdemeanor (other than a traffic violation),
(B) theft or embezzlement of assets of the Company or an Affiliate, or (C) violation of the terms of any non-competition, non-disclosure
or similar agreement with respect to the Company or any Affiliate to which the Plan participant is a party, including the terms
of Appendix A.

 

    	Page 3

     

    

 

	Distribution Date		Subject
to any overriding provisions in the Plan, you will receive a distribution of the shares of common stock of the Company (“Shares”)
equivalent to your Vested RSU Shares as soon as practicable following the date(s) on which they become Vested (with the actual
date being the "Distribution Date”) and, in any event, no later than 30 days following an applicable
Vesting Date, unless the Committee determines that you may make a timely deferral election to defer distribution to a later date
and you have made such an election (in which case the deferred date will be the “Distribution Date”).

 

			Vesting that accelerates after
                                                                                                                                            a Change in Control will only accelerate the Distribution Date if and to the extent permitted under Section 409A of the
                                                                                                                                            Internal Revenue Code (“Section 409A”).

 

	Restrictions and Forfeiture		You may not sell, assign,
pledge, encumber, or otherwise transfer any interest (“Transfer”)
in the RSUs or RSU Shares until the RSU Shares are distributed to you. Any attempted
Transfer that precedes the Distribution Date is invalid.

 

			Unless otherwise specified in
                                                                                                                                            your employment or separation agreement, this Award Agreement, or the Committee determines otherwise, if your employment or
                                                                                                                                            service with the Company terminates for any reason before your RSUs are Vested, then you will forfeit the unvested RSUs (and
                                                                                                                                            the Shares to which they relate) to the extent that the RSUs do not otherwise vest as a result of the termination in
                                                                                                                                            accordance with the rules in the Vesting Schedule section above. The forfeited RSUs will then immediately revert to
                                                                                                                                            the Company. You will receive no payment for the RSUs if you forfeit them.

 

	Taxes and Withholding		The RSUs provide
tax deferral, meaning that the RSU Shares are not taxable until you actually receive
the RSU Shares on or around the Distribution Date. You will then owe taxes at ordinary income tax rates as of the Distribution
Date at the Shares' value. As an employee of the Company, you may owe FICA and HI (Social Security and Medicare) taxes before
the Distribution Date.

 

			The issuance of Shares under the
                                                                                                                                            RSUs is contingent on satisfaction of all obligations with respect to required tax or other required withholdings (for
                                                                                                                                            example, in the United States, any applicable Federal, state, and local taxes). The Company may take any action permitted
                                                                                                                                            under Section 14(c) of the Plan to satisfy such obligation, including, as permitted by the Committee, satisfying the tax
                                                                                                                                            obligations by (i) reducing the number of RSU Shares to be issued to you by that number of Shares (valued at their Fair
                                                                                                                                            Market Value on the date of distribution) that would equal all taxes required to be withheld (at their minimum withholding
                                                                                                                                            levels, except as otherwise permitted by the Committee or the Board), (ii) accepting payment of the withholdings directly
                                                                                                                                            from you or from a broker in connection with a sale of the RSU Shares, or (iii) taking any other action under Section
                                                                                                                                            14(c) of the Plan.

 

	Compliance with Law		The Company will not issue
the RSU Shares if doing so would violate any applicable
Federal or state securities laws or other laws or regulations. You may not sell or otherwise dispose of the RSU Shares in violation
of applicable law.

 

    	Page 4

     

    

 

	Additional Conditions to Receipt		The Company may postpone
issuing and delivering any RSU Shares for so long as the Company determines
to be advisable to satisfy the following:

its completing or amending
any securities registration or qualification of the RSU Shares or its or your satisfying any exemption from registration
under any Federal or state law, rule, or regulation;

 

its receiving proof
it considers satisfactory that a person seeking to receive the RSU Shares after your death is entitled to do so;

 

your complying with
any requests for representations under the Plan; and/or

 

your complying with
any Federal, state, or local tax withholding obligations.

 

	Additional
Representations from
You		If the vesting provisions
of the RSUs are satisfied and you are entitled to receive RSU
                                         Shares at a time when the Company does not have a current registration statement (generally on Form S-8) under the Securities Act of 1933 (the “Act”) that covers
issuances of shares to you, you must comply with the following before the Company will issue the RSU Shares to you. You must —

represent to the Company,
in a manner satisfactory to the Company’s counsel, that you are acquiring the RSU Shares for your own account and not with
a view to reselling or distributing the RSU Shares; and

 

agree that you will
not sell, transfer, or otherwise dispose of the RSU Shares unless:

 

a registration statement
under the Act is effective at the time of disposition with respect to the RSU Shares you propose to sell, transfer, or otherwise
dispose of; or

 

the Company has received
an opinion of counsel or other information and representations it considers satisfactory to the effect that, because of Rule 144
under the Act or otherwise, no registration under the Act is required.

 

	No Effect on Employment
or Other Relationship		Nothing in this Award
                                                                 Agreement restricts the Company’s rights or those of any of its Affiliates to terminate your employment or other
                                                                 relationship at any time and for any or no reason. The termination of employment or other relationship, whether by the Company or any of its Affiliates or otherwise, and regardless of the reason for such termination, has the consequences provided for under the Plan and any applicable employment or severance agreement or plan.

  

  

 

	Limited Status		You understand
and agree that the Company will not consider you a shareholder for any purpose with respect to the RSU Shares, unless and until
the RSU Shares have been issued to you on the Distribution Date. You will not receive dividends with respect to the RSUs, but
the Company will credit additional whole or fractional RSUs to this grant equal to the result of dividing (i) the product of the
total number of RSUs credited to you under this grant on the record date for such dividend (and not yet distributed in Shares)
and the per share amount of such dividend by (ii) the Fair Market Value of one Share on the date such dividend is paid by the
Company to shareholders. The additional RSUs will be or become Vested to the same extent as the RSUs that resulted in the crediting
of such additional units and may be paid out in cash or Shares under the timing rules provided in Section 8(e) of the Plan.

 

    	Page 5

     

    

 

	Voting		You may not vote the RSUs.
You may not vote the RSU Shares unless and until the Shares are distributed to you or for your account.

 

	No Effect on Running
Business		You understand
and agree that the existence of the RSUs will not affect in any way the right or power of the Company or its shareholders to make or authorize any adjustments, recapitalizations,
reorganizations, or other changes in the Company’s capital structure or its business, or any merger or consolidation of
the Company, or any issuance of bonds, debentures, preferred or other stock, with preference ahead of or convertible into, or
otherwise affecting the Shares or the rights thereof, or the dissolution or liquidation of the Company, or any sale or transfer
of all or any part of its assets or business, or any other corporate act or proceeding, whether or not of a similar character
to those described above.

 

	Section 409A		The RSUs are
intended to comply with the requirements of Section 409A and must be construed consistently with that section. Notwithstanding
anything in the Plan or this Award Agreement to the contrary, if the RSUs Vest in connection with your “separation from
service” within the meaning of Section 409A, as determined by the Company, and if (x) you are then a “specified employee”
within the meaning of Section 409A at the time of such separation from service (as determined by the Company, by which determination
you agree you are bound) and (y) the distribution of RSU Shares under such RSUs will result in the imposition of additional tax
under Section 409A if distributed to you within the six month period following your separation from service, then the distribution
under such accelerated RSUs will not be made until the earlier of (i) the date six months and one day following the date
of your separation from service or (ii) the 10th day after your date of death. Neither the Company nor you shall have the right
to accelerate or defer the delivery of any such RSU Shares or benefits except to the extent specifically permitted or required
by Section 409A. In no event may the Company or you defer the delivery of the RSU Shares beyond the date specified in the Distribution
Date section, unless such deferral complies in all respects with Treasury Regulation Section 1.409A-2(b) related to subsequent
changes in the time or form of payment of nonqualified deferred compensation arrangements, or any successor regulation. In
any event, the Company makes no representations or warranty and shall have no liability to you or any other person, if any provisions
of or distributions under this Award Agreement are determined to constitute deferred compensation subject to Section 409A but
not to satisfy the conditions of that section.

 

	Unsecured Creditor		The RSUs create a contractual
obligation on the part of the Company to make a distribution of the RSU Shares at the time provided for in this Award Agreement. Neither you nor any other party claiming an interest in deferred compensation hereunder shall have any interest whatsoever in any specific assets of the Company. Your right to receive distributions hereunder is that of an unsecured general creditor of Company.

  

 

	Governing Law		The laws of
the State of Delaware will govern all matters relating to the RSUs without regard to the principles of conflict of laws, except
as otherwise specified herein or in an appendix attached hereto.

 

    	Page 6

     

    

 

	Clawbacks		The Committee may cancel
these RSUs if you have engaged in or are engaging in activity that is in conflict with or adverse to the interest of the Company
while employed by or providing services to the Company or any subsidiary, including fraud or conduct contributing to any financial
restatements or irregularities. The Committee may cause you to forfeit any compensation, gain or other value realized thereafter
on the vesting or settlement of these RSUs or the sale of Shares acquired in respect of the RSUs, and must promptly repay such
amounts to the Company. You agree that the Committee may require you to promptly repay to the Company any amount in excess of
what you should have received under the terms of the RSUs for any reason (including without limitation by reason of a financial
restatement, mistake in calculations or other administrative error). Furthermore, to the extent required by applicable law (including,
without limitation, Section 304 of the Sarbanes-Oxley Act and Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection
Act) and/or the rules and regulations of NASDAQ or any other securities exchange or inter-dealer quotation service on which the
Shares are listed or quoted, or if so required pursuant to a written policy adopted by the Company, these RSUs shall be subject
(including on a retroactive basis) to clawback, forfeiture or similar requirements.

 

	Restrictive Covenants		Attached to this Award Agreement
is Appendix A regarding your applicable “Restrictive Covenants” (as defined therein). Your confirmation of receipt of these RSUs provides your consent to the Restrictive Covenants and to the additional clawback rules set forth in Appendix A.

 

	Notices		Unless the Company specifies
another method of transmitting notice, any notice to the Company under this Award Agreement must be sent in writing, by hand or
by mail, to the office of the Company’s Corporate Secretary at the Company’s then corporate headquarters. The Company
will address any notices to you using its standard electronic communications methods, or to your current office or home address,
as reflected in the Company’s personnel or other business records. You and the Company may change the address for notice
by like notice to the other, and the Company may also change the address for notice by general announcements to the Plan participants.

 

	Amendment		The Committee may amend the
RSUs without your consent provided that it concludes such amendment is not materially adverse to you, is required for compliance
with Section 409A, or is permitted under Section 12 of the Plan.

 

	Plan Governs		Wherever
a conflict may arise between the terms of this Award Agreement and the terms of the Plan, the terms of the Plan will control.
The Committee may adjust the number of RSU Shares and other terms of the RSUs from time to time as the Plan provides.

 

	Electronic Execution of 

Award
Agreement		You, by your electronic execution of
                                                     this Award Agreement, agree to the terms and conditions contained herein, including the terms set forth in Appendix A [and, if applicable, Appendix B], and further agree to execute any documents requested by
the Company required to effect the conversion of the RSUs into Shares.

 

    	Page 7

     

    

Appendix
A

 

Restrictive
Covenants

<Insert
Applicable Restrictive Covenants>

 

 

 

 

 

 

 

    	Page 8

     

    

Appendix B

 

Performance
RSUs for Executive Vice Presidents and Senior Vice Presidents

 

<Insert
Applicable Vesting Schedule>

 

 

 

 

 

 

 

 

Page 9Exhibit 10.3

 

2016
NQSO Award Notice and Agreement

 

 

NONQUALIFIED
STOCK OPTION AWARD NOTICE

 

HMS
Holdings Corp.

2016
Omnibus Incentive Plan

 

Dear <Participant Name>,

 

Congratulations, HMS Holdings
Corp. (the “Company”) has granted you a stock option award under the Company’s 2016 Omnibus Incentive
Plan, as it may be amended from time to time (the “Plan”). A stock option gives you the right to purchase
a specific number of shares of the Company’s common stock at a fixed price, assuming that you satisfy the terms and conditions
of the Plan and the attached implementing Nonqualified Stock Option Award Agreement (the “Award Agreement”).
We would like you to have an opportunity to share in the success of the Company through this stock option award under the Plan.
The following represents a brief description of your individual award.

 

Stock Option Award Summary:

 

	Date of Grant	<Date>
	Option
    Shares	<Number
    of Shares Covered by the Option Granted>
	Option
    Exercise Price per Share	$_____
	Exercisability
    	_______________________.  Each
    of those dates is an “Exercisability Date.”
	Option
    Expiration Date	<Date
    of tenth anniversary of the Date of Grant>

 

		•	You
                                         have been granted a nonqualified stock option (the “Option”) to purchase
                                         shares of the Company’s common stock (“Shares”). The
                                         total number of Shares covered by the Option granted to you is in the chart above under
                                         “Option Shares” and the price per share is under “Option
                                         Exercise Price per Share.”
	 	 	 

		•	The
                                         potential value of your stock option award increases if the price of the Company’s
                                         stock increases, but you also have to continue to provide services to the Company (except
                                         as the Award Agreement provides) to actually receive such value. Of course, the value
                                         of the stock may go up and down over time.
	 	 	 

		•	You
                                         cannot exercise the Option (actually purchase Shares) until it becomes exercisable. Your
                                         stock option becomes exercisable as provided in the chart above under “Exercisability,”
                                         assuming you remain a member of the Board of Directors of the Company or an employee
                                         of the Company through each Exercisability Date and subject to the terms in the Award
                                         Agreement.
	 	 	 

		•	Additional
                                         details regarding your stock option award are provided in the Plan and the Award Agreement.
	 	 	 

		•	Whether
                                         or not you decide to exercise your stock option and purchase the Shares is your decision,
                                         and you have until the stock option expires (which will be no later than the tenth
                                         anniversary of the “Date of Grant” but can end earlier
                                         in various situations) to make that decision.
	 	 	 

		•	Once
                                         you have purchased the Shares, you will own them and may decide whether to hold the stock,
                                         sell the stock or give the stock to someone as a gift.
	 	 	 

 

You can access the Merrill
Lynch website, including updates and additional information at: https://www29.benefits.ml.com/login/login.aspx. Please
email EquityAdministration@hms.com with any questions regarding the Merrill Lynch website. 

 

     

     

    

NONQUALIFIED
STOCK OPTION AWARD AGREEMENT

FOR
NON-EMPLOYEE DIRECTORS 

 

HMS
Holdings Corp.

2016
Omnibus Incentive Plan

 

HMS Holdings
Corp. (the “Company”) has granted you, the individual named in the attached Nonqualified Stock Option
Award Notice (the “Award Notice”), an option (the “Option”) to purchase from
the Company a specific number of shares of the Company’s common stock (“Shares”) at a specified
price per Share (the “Option Exercise Price”) under the HMS Holdings Corp. 2016 Omnibus Incentive Plan
(as it may be amended from time to time) (the “Plan”), the terms of which are incorporated by reference
herein in their entirety. The Option is subject in all respects to the applicable provisions of the Plan, the Award Notice and
this Nonqualified Stock Option Award Agreement (the “Award Agreement”). Any term used in this Award
Agreement that is not specifically defined herein or in the Award Notice shall have the meaning specified in the Plan.

 

Please
refer to the attached Award Notice for individualized details regarding your stock Option award, including the Date of Grant,
the total number of Shares covered by the Option granted to you (the “Option Shares”), the Option Exercise
Price per Share, the schedule for Exercisability and applicable Exercisability Dates, and the latest date the Option will expire
(the “Option Expiration Date”).

 

 

 

 

 

 

The Plan document and the Prospectus
for the Plan are available on the Merrill Lynch website. The Company’s Registration Statement on Form S-8, the Company’s
Annual Report on Form 10-K, and other filings the Company makes with the Securities and Exchange Commission are available for
your review under the Investor Relations tab on the Company’s web site (http://investor.hms.com/financials.cfm).
You may also obtain paper copies of these documents, without charge, upon request to the Company’s Corporate Secretary,
5615 High Point Drive, Irving, Texas 75038, telephone: 972-916-2380.

 

Neither the Company nor anyone
else is making any representations or promises regarding the duration of your service, exercisability of the Option, the value
of the Shares or of this Option, or the Company's prospects. The Company is not providing any advice regarding tax consequences
to you or your decisions regarding the Option; you agree to rely only upon your own personal advisors.

 

NO
ONE MAY SELL, TRANSFER, OR DISTRIBUTE THE OPTION OR THE SECURITIES THAT MAY BE PURCHASED UPON EXERCISING THE OPTION WITHOUT AN
EFFECTIVE REGISTRATION STATEMENT RELATING THERETO OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY OR OTHER INFORMATION AND
REPRESENTATIONS SATISFACTORY TO IT THAT SUCH REGISTRATION IS NOT REQUIRED.

 

 

 

 

 

 

    	Page 2

     

    

In addition
to the Plan’s terms and restrictions, the following terms and restrictions apply:

 

	Option Exercisability		While the Option remains
in effect under the Option Expiration section below, you may exercise any exercisable portions of the Option (and buy the Option Shares) under the timing rules of this section.

  

 

			The Option will become vested and
                                                                                                                                            exercisable according to the schedule provided in the Award Notice assuming that you remain a member of the
                                                                                                                                            Company’s Board of Directors (the “Board”) or an employee of the Company through each
                                                                                                                                            Exercisability Date, as designated by the Compensation Committee (the “Committee”) of the
                                                                                                                                            Board.

 

			Unless otherwise determined by
                                                                                                                                            the Committee, if your service with the Board ends as a result of your disability or death, the Option will become vested and
                                                                                                                                            fully exercisable on your termination of service. For this purpose, “disability” means permanent
                                                                                                                                            and total disability as defined by Section 22(e)(3) of the Internal Revenue Code.

 

			If your service ends as a result of
                                                                                                                                            Retirement, you will be treated as continuing in service for vesting purposes and the portion of the Option that was
                                                                                                                                            exercisable on the date of Retirement shall remain exercisable until (i) the earlier to occur of second anniversary of your
                                                                                                                                            Retirement and (ii) the Option Expiration Date. “Retirement” for the purpose of this Award
                                                                                                                                            Agreement means cessation of service on or after attaining age 60 and completing five years of service with the
                                                                                                                                            Company.

 

	Change in		In the event
a Change in Control occurs, the Option will be treated as provided in Section 11 of the Plan if within 24 months following the
Change in Control, your service ends on a termination without Gross Misconduct, provided also that the Option will remain outstanding
for twelve months following such termination but not beyond the Option Expiration Date.

 

	Option Expiration		The
Option will expire no later than the close of business on the Option Expiration Date. Unless the Committee determines otherwise,
unexercisable portions of the Option expire immediately when you cease to be a Director (unless you are concurrently remaining
or becoming an employee, or, for an employee, concurrently remaining or becoming a member of the Board). If the Company terminates
your service for Gross Misconduct, the Option will immediately expire without regard to whether it is then exercisable. “Gross
Misconduct” for purposes of this Award Agreement shall mean the occurrence of one of the following events: (A) your
conviction or plea of guilty or nolo contendere to any felony (or to a felony charge reduced to a misdemeanor), (B) theft or embezzlement
of assets of the Company or an Affiliate, or (C) violation of the terms of any non-competition, non-disclosure, confidentiality
or similar obligation or agreement with respect to the Company or any Affiliate to which the Plan participant is a party.

 

			Exercisable portions of the Option
                                                                                                                                            remain exercisable until the first to occur of the following (the “Final Exercise Date”), each as
                                                                                                                                            defined further in the Plan or this Award Agreement:

 

		•	Three
                                         months (measured to the corresponding date in the month) after your employment (or directorship)
                                         ends if you resign or if the Company terminates your employment or service without Gross
                                         Misconduct, except as provided above under the Change in Control section;
	 	 	 
	

    	Page 3

     

    

	 	 	 

		•	For
                                         death or disability, the first anniversary of the date employment or service ends;
	 	 	 

		•	For
                                         Retirement, the end of the second year following your date of Retirement; or
	 	 	 

		•	The
                                         Option Expiration Date.

 

			The Committee can override
                                                                                                                                            the expiration provisions of this Award Agreement as provided in Section 6(b) of the Plan (including without limitation as a
                                                                                                                                            result of a legal prohibition on exercise or an applicable “black-out period” or “lock-up”
                                                                                                                                            agreement).

 

	Method of 
 Exercise
and Payment for 

Shares		Subject to this Award
                                                                  Agreement and the Plan, you may exercise the Option only by providing a written notice (or notice through another previously
                                                                  approved method, which could include a voice- or web-based, other electronic, or e-mail system) to the Corporate Secretary of the Company or the Corporate Secretary’s designee, received on or before the date the Option expires. Each such notice must satisfy whatever then-current procedures apply to that Option and must contain such representations (statements from you about your situation) as the Company requires. You must, at the same time, pay the Option Exercise Price using one or more of the following methods:

  

 

	 	Cash/

Check		by cash or check in the amount
of the Option Exercise Price payable to the order of the Company;

 

	 	Cashless Exercise		through an approved
                                                                                                                                                                   cashless exercise method, including directing the
Company to send the stock certificates (or other acceptable evidence of ownership) to be issued under the Option to a licensed
broker acceptable to the Company as your agent in exchange for the broker’s tendering to the Company cash (or acceptable
cash equivalents) equal to the Option Exercise Price and, if you so elect, any required tax withholdings;

 

	 	Net  Exercise		by
delivery of a notice of “net exercise” to us or as directed by the Company, as a result of which you will receive
(i) the number of Shares underlying the portion of the Option being exercised less (ii) such number of shares as is equal to (x)
the aggregate Option Exercise Price for the portion of the Option being exercised divided by (y) the Fair Market Value on the
date of exercise;

 

	 	Stock		if permitted by the Committee, by delivery of Shares that you already own having a Fair Market Value equal to the Option Exercise Price on the date of exercise, provided that (i) applicable law then permits such method of payment, (ii) you owned such Shares, if acquired directly from the Company, for such minimum period of time, if any, as the Committee may establish in its discretion, and (iii) the Shares are not subject to any repurchase, forfeiture, unfulfilled vesting, or other similar restrictions; or
	 	 	 	 
	 	 	 	any
combination of the above permitted forms for payment.

 

	Withholding		The issuance of the Option
Shares is contingent on satisfaction of all obligations with respect to required tax or other required withholdings (for example,
in the United States, any applicable Federal, state, and local taxes). The Company may take any action permitted under Section
14(c) of the Plan to satisfy such obligation, including, as permitted by the Committee, satisfying the tax obligations by (i)
reducing the number of Option Shares to be issued to you in connection with any exercise of such Option by the number of Option
Shares (valued at their Fair Market Value on the date of exercise) that would equal all taxes required to be withheld (at their
minimum withholding levels, except as otherwise permitted by the Committee or the Board), (ii) accepting payment of the withholdings
directly from you or from a broker in connection with a Cashless Exercise of the Option (as set forth above under Cashless
Exercise), or (iii) taking any other action under Section 14(c) of the Plan.

 

    	Page 4

     

    

 

	Compliance 

with
Law		You may not exercise the
Option if the Company’s issuing stock upon such exercise would violate any applicable Federal or state securities laws or other laws or regulations. You may not sell
or otherwise dispose of the Option Shares in violation of applicable law. As part of this prohibition, you may not use the Cashless
Exercise methods if the Company’s insider trading policy then prohibits you from selling to the market.

 

	Additional Conditions to Exercise		The Company may postpone
issuing and delivering any Option Shares for so long as the Company determines to be advisable to satisfy the following:

 

its completing or amending
any securities registration or qualification of the Option Shares or its or your satisfying any exemption from registration
under any Federal or state law, rule, or regulation;

 

its receiving proof
it considers satisfactory that a person seeking to exercise the Option after your death is entitled to do so;

 

your complying with
any requests for representations under the Plan; and/or

 

your complying with
any Federal, state, or local tax withholding obligations.

 

	Additional
Representations from
You		If you exercise the Option at a time
                                               when the Company does not have a current registration statement (generally on Form S-8) under the Securities Act of 1933 (the “Act”) that covers issuances of shares to you, you must comply with the following before
the Company will issue the Option Shares to you. You must —

  

 

represent to the Company,
in a manner satisfactory to the Company’s counsel, that you are acquiring the Option Shares for your own account and not
with a view to reselling or distributing the Option Shares; and

 

agree that you will
not sell, transfer, or otherwise dispose of the Option Shares unless:

 

a registration statement
under the Act is effective at the time of disposition with respect to the Option Shares you propose to sell, transfer, or otherwise
dispose of; or

 

the Company has received
an opinion of counsel or other information and representations it considers satisfactory to the effect that, because of Rule 144
under the Act or otherwise, no registration under the Act is required.

 

    	Page 5

     

    

 

	No Effect on Employment

Other 

Relationship		Nothing in this Award Agreement
                                                                                                                                                                               restricts the Company’s rights or those of any of its Affiliates to terminate your employment or other relationship at
                                                                                                                                                                               any time or and for any or no reason. The termination of employment or other relationship, whether by the Company or any of its Affiliates or otherwise, and regardless of the reason for such termination, has the consequences provided for under the Plan and any applicable employment or severance agreement or plan.

  

  

 

	Not a Shareholder		You
understand and agree that the Company will not consider you a shareholder for any purpose with respect to any of the Option Shares
until you have exercised the Option, paid for the shares, and received evidence of ownership.

 

	No Effect on Running
Business		You understand
and agree that the existence of the Option will not affect in any way the right or power of the Company or its shareholders to make or authorize any adjustments, recapitalizations,
reorganizations, or other changes in the Company’s capital structure or its business, or any merger or consolidation of
the Company, or any issuance of bonds, debentures, preferred or other stock, with preference ahead of or convertible into, or
otherwise affecting the Shares or the rights thereof, or the dissolution or liquidation of the Company, or any sale or transfer
of all or any part of its assets or business, or any other corporate act or proceeding, whether or not of a similar character
to those described above.

 

	Governing Law		The laws of
the State of Delaware will govern all matters relating to the Option, without regard to the principles of conflict of laws.

 

	Clawbacks		The Committee may cancel
this Option if you have engaged in or are engaging in activity that is in conflict with or adverse to the interest of the Company
while employed by or providing services to the Company or any subsidiary, including fraud or conduct contributing to any financial
restatements or irregularities. The Committee may cause you to forfeit any compensation, gain or other value realized thereafter
on the vesting or exercise of the Option or the sale of Shares acquired under the Option, and must promptly repay such amounts
to the Company. You agree that the Committee may require you to promptly repay to the Company any amount in excess of what you
should have received under the terms of the Option for any reason (including without limitation by reason of a financial restatement,
mistake in calculations or other administrative error). Furthermore, to the extent required by applicable law (including, without
limitation, Section 304 of the Sarbanes-Oxley Act and Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection
Act) and/or the rules and regulations of NASDAQ or any other securities exchange or inter-dealer quotation service on which the
Shares are listed or quoted, or if so required pursuant to a written policy adopted by the Company, the Option shall be subject
(including on a retroactive basis) to clawback, forfeiture or similar requirements.

 

	Notices		Unless the Company specifies
another method of transmitting notice, any notice to the Company under this Award Agreement must be sent in writing, by hand or
by mail, to the office of the Company’s Corporate Secretary at the Company’s then corporate headquarters. The Company
will address any notices to you using its standard electronic communications methods, or to your current office or home address,
as reflected in the Company’s personnel or other business records. You and the Company may change the address for notice
by like notice to the other, and the Company may also change the address for notice by general announcements to the Plan participants.

 

    	Page 6

     

    

 

	Amendment		The Committee may amend the
Option without your consent provided that it concludes such amendment is not materially adverse to you, is required for compliance
with Section 409A, or is permitted under Section 12 of the Plan.

 

	Plan Governs		Wherever
a conflict may arise between the terms of this Award Agreement and the terms of the Plan, the terms of the Plan will control.
The Committee may adjust the number of Option Shares, the Option Exercise Price, and other terms of the Option from time to time
as the Plan provides.

 

	Electronic Execution of 

Award
Agreement		You, by your electronic execution of
                                                     this Award Agreement, agree to the terms and conditions contained herein and further agree to execute any documents requested by the Company required to effect the issuance of stock to you in connection with your exercise of
the Option.

 

 

 

 

Page
7

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