Document:

<PAGE>

                                                                   EXHIBIT 10.18
                               FLUOR CORPORATION

                   1997 FLUOR STOCK APPRECIATION RIGHTS PLAN
<PAGE>

ARTICLE I
                                  DEFINITIONS

Sec. 1.1    DEFINITIONS

As used herein, the following terms shall have the meanings hereinafter set
forth unless the context clearly indicates to the contrary:

     (a)  "Change of Control" of the Company shall be deemed to have occurred
          if, (i) a third person, including a "group" as defined in Section
          13(d)(3) of the Securities Exchange Act of 1934, acquires shares of
          the Company having twenty five percent or more of the total number of
          votes that may be cast for the election of directors of the Company;
          or (ii) as the result of any cash tender or exchange offer, merger or
          other business combination, or any combination of the foregoing
          transactions (a "Transaction"), the persons who were directors of the
          Company before the Transaction shall cease to constitute a majority of
          the Board of the Company or any successor to the Company.

     (b) "Board" shall mean the Board of Directors of the Company.

     (c)  "Committee" shall mean the Organization and Compensation Committee of
          the Board.

     (d) "Company" shall mean Fluor Corporation.

     (e)  "Fair Market Value" shall mean the average of the highest price and
          the lowest price per share at which the Stock is sold in the regular
          way on the New York Stock Exchange on the day such value is to be
          determined hereunder or, in the absence of any reported sales on such
          day, the first preceding day on which there were such sales.

     (f)  "Grantee" shall mean an employee to whom Rights have been granted
          hereunder.

     (g)  "Plan" shall mean the 1997 Fluor Stock Appreciation Rights Plan, the
          terms of which are set forth herein.

     (h)  "Rights" shall mean Stock Appreciation Rights granted as provided
          herein.

     (i)  "Stock" shall mean the common stock of the Company or, in the event
          that the outstanding shares of Stock are hereafter changed into or
          exchanged for shares of a different stock or securities of the Company
          or some other corporation, such other stock or securities.

     (j)  "Stock Appreciation Rights Agreement" shall mean the agreement between
          the Company and the Grantee evidencing the grant of Rights as provided
          herein.
<PAGE>

     (k)  "Subsidiary" shall mean any corporation, the majority of the
          outstanding capital stock of which is owned, directly or indirectly,
          by the Company.

                                   ARTICLE II
                                    THE PLAN

Sec. 2.1    NAME

This plan shall be known as the "1997 Fluor Stock Appreciation Rights Plan".

Sec. 2.2    PURPOSE

The purpose of the Plan is to advance the interests of the Company and its
shareholders by providing eligible key management employees who can directly and
significantly influence the profits of the Company and therefore the market
value of its Stock a form of cash incentive compensation which is measured by
the desired increase in the market value of the Stock.

Sec. 2.3    EFFECTIVE DATE AND DURATION

The Plan shall become effective upon its adoption by the Board.  The Rights
granted hereunder must be granted within ten years from the effective date of
the Plan.

                                  ARTICLE III
                                  PARTICIPANTS

Sec. 3.1    ELIGIBILITY

Any officer or other key management employee of the Company or its Subsidiaries
shall be eligible to participate in the Plan; provided, however, that no member
of the Committee shall be eligible to participate.  The Committee may grant
Rights to any eligible employee in accordance with such determinations as the
Committee from time to time in its sole discretion shall make.

                                   ARTICLE IV
                                 ADMINISTRATION

Sec. 4.1    DUTIES AND POWERS OF COMMITTEE

The Plan shall be administered by the Committee.  Subject to the express
provisions of the Plan, the Committee shall have sole discretion and authority
to determine from among eligible employees those to whom and the time or times
at which Rights may be granted, the number of Rights to be granted and the
period for the exercise of such Rights which need not be the same for each grant
hereunder.  Subject to the express provisions of the Plan, the Committee shall
also have complete authority to interpret the Plan, to prescribe, amend and
rescind rules and regulations relating to it, to determine the details and
provisions of each Stock Appreciation Rights Agreement and to make all other
determinations necessary or advisable in the administration of the Plan.
<PAGE>

Sec. 4.2    MAJORITY RULE

A majority of the members of the Committee shall constitute a quorum, and any
action taken by a majority present at a meeting at which a quorum is present or
any action taken without a meeting evidenced by a writing executed by a majority
of the whole Committee shall constitute the action of the Committee.

Sec. 4.3    COMPANY ASSISTANCE

The Company shall supply full and timely information to the Committee on all
matters relating to eligible employees, their employment, death, retirement,
disability or other termination of employment, and such other pertinent facts as
the Committee may require.  The Company shall furnish the Committee with such
clerical and other assistance as is necessary in the performance of its duties.

                                   ARTICLE V
                            RIGHTS SUBJECT TO PLAN

Sec. 5.1    LIMITATIONS

Subject to adjustment pursuant to the provisions of Section 5.2 hereof, the
number of Rights which may be granted hereunder shall not exceed 2,000,000.
Rights granted hereunder which have been exercised as provided in Section 6.4
hereof shall not again be available for grant hereunder.  If Rights granted
hereunder shall expire, terminate or be canceled for any reason prior to being
wholly exercised, new grants may be made hereunder with respect to the number of
Rights to which such expiration, termination or cancellation relates.

Sec. 5.2    ANTIDILUTION

In the event that the outstanding shares of Stock hereafter are changed into or
exchanged for a different number or kind of shares or other securities of the
Company or of another corporation by reason of merger, consolidation, other
reorganization, recapitalization, reclassification, combination of shares, stock
splitup or stock dividend,

     (a)  the aggregate number of Rights which may be granted hereunder shall be
          adjusted appropriately;

     (b)  outstanding Rights granted hereunder, both as to number and value,
          shall be adjusted appropriately; and

     (c)  where dissolution or liquidation of the Company or any merger or
          combination in which the Company is not a surviving corporation is
          involved, each outstanding Right granted hereunder shall terminate,
          but the Grantee shall have the right, immediately prior to such
          dissolution, liquidation, merger or combination, to exercise his
          Rights in full, without regard to any installment exercise provisions,
          to the extent that such Rights shall not have been exercised.

The foregoing adjustments and the manner of application of the foregoing
provisions shall be determined solely by the Committee, and any such adjustment
may provide for the elimination of fractional Rights.
<PAGE>

                                   ARTICLE VI
                          GRANT AND EXERCISE OF RIGHTS

Sec. 6.1    RIGHTS GRANTS AND AGREEMENTS

Rights shall be granted by the Committee and the date of the grant shall be the
date of such Committee action.  Each grant shall be evidenced by minutes of a
meeting or the written consent of the Committee and by a written Stock
Appreciation Rights Agreement dated as of the date of the grant and executed by
the Grantee and the Company, which Agreement shall set forth such terms and
conditions as may be determined by the Committee consistent with the Plan.

Sec. 6.2    RIGHTS VALUE

The value of each Right granted hereunder shall be determined by the Committee,
but said value shall not be less than the Fair Market Value of the Stock on the
date said Right is granted.

Sec. 6.3    RIGHTS PERIOD

The period for the exercise of each Right granted hereunder shall be determined
by the Committee, but in no instance shall such period exceed ten years from the
date of grant.

Sec. 6.4    RIGHTS EXERCISE

      (a) Rights granted hereunder may not be exercised unless and until the
          Grantee shall have been or remained in the employ of the Company or
          its Subsidiaries for one year from and after the date of grant of such
          Rights, except as otherwise provided in Section 6.7 hereof.

     (b)  Rights granted hereunder may be exercised with respect to whole Rights
          only, in such number and within the periods permitted for the exercise
          thereof as determined by the Committee, and shall be exercised by
          written notice of intent to exercise with respect to a specified
          number of  Rights delivered to the Company at its principal office in
          the State of California.

Sec. 6.5    PAYMENT FOR RIGHTS EXERCISED

Within 30 days after Rights have been exercised in accordance with Section 6.4
hereof, the Company shall pay to the Grantee in cash an amount equal to (i) the
amount, if any, by which the Fair Market Value of the Stock on the date such
Rights are exercised exceeds the value of each such Right established in
accordance with Section 6. ' 2 hereof multiplied by (ii) the number of Rights
exercised, less all applicable federal and state withholding or other employment
taxes applicable to the taxable income of such Grantee resulting from such
exercise.  In the event of the death of such Grantee before payment is made
hereunder, such payment shall be made to the executor or administrator of such
Grantee's estate.

Sec. 6.6    NONTRANSFERABILITY OF RIGHTS

No Rights granted hereunder shall be transferred by a Grantee otherwise than by
will or the laws of descent and distribution.  During the lifetime of a Grantee,
such Rights shall be exercisable only by him.
<PAGE>

Sec. 6.7    EFFECT OF DEATH OR OTHER TERMINATION OF EMPLOYMENT

     (a)  If, prior to a date one year from the date on which Rights shall have
          been granted, the Grantee's employment with the Company or its
          Subsidiaries shall be terminated by the Company or Subsidiary with or
          without cause, or by the act of the Grantee, the Grantee's right to
          exercise such Rights shall terminate and all rights thereunder shall
          cease; provided, however, that if the Grantee shall die, retire or
          become permanently and totally disabled, as determined in accordance
          with applicable Company personnel policies, or if the Grantee's
          employment with the Company or its Subsidiaries shall be terminated
          within two years after a Change of Control of the Company and such
          termination occurs prior to a date one year from the date on which
          Rights shall have been granted, such Rights shall become exercisable
          in full on the date of such death, retirement, disability or
          termination of employment.

     (b)  if, on or after one year from the date on which Rights shall have been
          granted, a Grantee's employment with the Company or its Subsidiaries
          shall be terminated for any reason other than death, retirement or
          permanent total disability, or within two years following a Change of
          Control of the Company, the Grantee shall have the right, during the
          period ending three months after such termination, to exercise such
          Rights to the extent that they were exercisable at the date of such
          termination and shall not have been exercised, subject, however, to
          the provisions of Section 6.3 hereof.

     (c)  Upon termination of a Grantee's employment with the Company or its
          Subsidiaries by reason of retirement or permanent total disability, as
          determined in accordance with applicable Company personnel policies,
          or within two years following a Change of Control of the Company, such
          Grantee shall have the right, during the period ending three years
          after such termination, to exercise his Rights in full, without regard
          to any installment exercise provisions, to the extent that they shall
          not have been exercised, subject, however, to the provisions of
          Section 6.3 hereof.

     (d)  If a Grantee shall die (i) while in the employ of the Company or its
          Subsidiaries, or (ii) within three months after termination of
          employment where such termination did not occur either by reason of
          retirement or permanent total disability or within two years following
          a Change of Control of the Company, or (iii) within three years after
          termination of employment where such termination occurred either by
          reason of retirement or permanent total disability or within two years
          following a Change of Control of the Company, the executor or
          administrator of the estate of the decedent or the person or persons
          to whom Rights granted 'hereunder shall have been validly transferred
          by the executor or the administrator pursuant to will or the laws of
          descent and distribution shall have the right, during the period
          ending three years after the date of the Grantee's death, to exercise
          the Grantee's Rights (A) in full, without regard to any installment
          exercise provisions, to the extent that they shall not have been
          exercised, if the Grantee shall have died while in the employ of the
          Company or its Subsidiaries or within three years after termination of
          employment where such termination occurred either by reason of
          retirement or permanent total disability
<PAGE>

          or within two years following a Change of Control of the Company, or
          (B) to the extent that they were exercisable at the date of the
          Grantee's death and shall not have been exercised, if the Grantee
          shall have died within three months after termination of employment
          where such termination did not occur by reason of either retirement or
          permanent total disability or within two years following a Change of
          Control of the Company, subject, however, to the provisions of Section
          6.3 hereof.

     (e)  No transfer of Rights by a Grantee by will or by the laws of descent
          and distribution shall be effective to bind the Company unless the
          Company shall have been furnished with written notice thereof and an
          authenticated copy of the will and/or such other evidence as the
          Committee may deem necessary to establish the validity of the transfer
          and the acceptance by the transferee or transferees of the terms and
          conditions of such Rights.

     (f)  The foregoing notwithstanding, the Committee may elect, in its sole
          discretion, to make grants of Rights which have provisions regarding
          the effect of death or other termination of employment which are
          different than those set forth in paragraphs (a) through (d) of this
          Section 6.7, provided that such provisions do not materially increase
          the benefits that would otherwise accrue to a Grantee under paragraphs
          (a) through (d) of this Section 6.7.

Sec. 6.8    NO RIGHTS AS SHAREHOLDER

Nothing herein contained shall be deemed to give any Grantee any rights as a
shareholder of the Company.

                                  ARTICLE VII
                TERMINATION, AMENDMENT AND MODIFICATION OF PLAN

Sec. 7.1    TERMINATION, AMENDMENT AND MODIFICATION OF PLAN

The Board may at any time, upon recommendation of the Committee, terminate, and
may at any time and from time to time and in any respect amend or modify, the
Plan; provided, however, that no termination, amendment or modification of the
Plan shall in any manner affect any Rights theretofore granted under the Plan
without the consent of the Grantee.

                                  ARTICLE VIII
                                 MISCELLANEOUS

Sec. 8.1    EMPLOYMENT

Nothing in the Plan or in any Rights granted hereunder or in any Stock
Appreciation Rights Agreement relating thereto shall confer upon any employee
the right to continue in the employ of the Company or any Subsidiary.

Sec. 8.2    OTHER COMPENSATION PLANS

The adoption of the Plan shall not affect any stock option or incentive or other
compensation plans in effect for the Company or any Subsidiary, nor shall the
Plan preclude the Company from
<PAGE>

establishing any other forms of incentive or other compensation for employees of
the Company or any Subsidiary.

Sec. 8.3    PLAN BINDING ON SUCCESSORS

The Plan shall be binding upon the successors and assigns of the Company.

Sec. 8.4    SINGULAR, PLURAL; GENDER

Whenever used herein, nouns in the singular shall include the plural, and the
masculine pronoun shall include the feminine gender.

Sec. 8.5    HEADINGS, ETC., NO PART OF PLAN

Headings of Articles and Sections hereof are inserted for convenience and
reference; they constitute no part of the Plan.<PAGE>

                                                                     Exhibit 4.1

                              SEMTECH CORPORATION
                    Non-Director and Non-Executive Officer
                    --------------------------------------
                        Long-Term Stock Incentive Plan
                        ------------------------------

1.  The Plan

(a)  Purpose.  The purpose of this Non-Director and Non-Executive Officer Long-
Term Stock Incentive Plan (the "Plan") is to promote the longer-term financial
success of Semtech Corporation (the "Company") by providing a means to attract,
retain and award individuals who can and do contribute to such success. By using
stock-based compensation, the recipients of awards under the Plan will further
identify their interests with those of the Company's stockholders.

(b)  Effective Date.  To serve this purpose, the Plan will become effective upon
its approval by the Board of Directors of the Company (the "Board").

2.  Administration

(a)  Committee.  The Plan shall be administered by a Committee, appointed by the
Board. Notwithstanding the foregoing, the Board may assume, at its sole
discretion, administration of the Plan. The administrator of the Plan, whether a
committee of the Board or the full Board, is referred to herein as the "Plan
Administrator."

(b)  Powers and Authority.  The Plan Administrator's powers and authority
include, but are not limited to, selecting individuals who are (1) employees of
the Company or any subsidiary of the Company or other entity in which the
Company has a significant equity or other interest as determined by the Plan
Administrator, and (2) not executive officers or directors of the Company
("Eligible Participants"); determining the types and terms and conditions of all
awards granted, including performance and other earnout and/or vesting
contingencies; permitting transferability of awards to third parties;
interpreting the Plan's provisions; and administering the Plan in a manner that
is consistent with its purpose.

(c)  Award Prices.  For Plan purposes, all stock options, warrants and stock
appreciation rights shall have an exercise price which shall reflect the average
traded price of a share of the Company's common stock, par value $.01 per share
("Common Stock"), on the date as determined by the Plan Administrator, or if the
Common Stock is not traded on such date, the average price on the next preceding
day on which such Common Stock is traded. The applicable date shall be the date
on which the award is granted.
<PAGE>

3.    Shares Subject to Plan

(a)  Maximum Shares Available for Delivery. Subject to Section 3(c), the maximum
number of shares of Common Stock that may be delivered to participants and their
beneficiaries under the Plan shall be equal to 4,000,000/1/ shares of Common
Stock. Collectively the shares of Common Stock subject to this Plan are referred
to herein as "Shares." In addition, any Shares granted under the Plan which are
forfeited back to the Company because of the failure to meet an award
contingency or condition shall again be available for delivery pursuant to new
awards granted under the Plan. Any Shares covered by an award (or portion of an
award) granted under the Plan, which is forfeited or canceled, expires or is
settled in cash, shall be deemed not to have been delivered for purposes of
determining the maximum number of Shares available for delivery under the Plan.
Likewise, if any stock option is exercised by tendering Shares, either actually
or by attestation, to the Company as full or partial payment in connection with
the exercise of a stock option under this Plan or any prior plan of the Company,
only the number of Shares issued net of the Shares tendered shall be deemed
delivered for purposes of determining the maximum number of Shares available for
delivery under the Plan. Further, Shares issued under the Plan through the
settlement, assumption or substitution of outstanding awards or obligations to
grant future awards as a condition of the Company acquiring another entity shall
not reduce the maximum number of Shares available for delivery under the Plan.

(b)  Other Plan Limits.  Subject to Section 3(c), the following additional
maximums are imposed under the Plan. No Shares may be covered by stock options
intended to comply with Section 422 of the Internal Revenue Code of 1986, as
amended (the "Code"), ("Incentive Stock Options"). The maximum number of Shares
that may be issued in conjunction with awards granted pursuant to Section 4(d)
shall be 150,000 The maximum number of Shares that may be covered by awards
granted to any one individual pursuant to Sections 4(b) and 4(c) shall be
100,000 during any consecutive three calendar years. The maximum payment that
can be made for awards granted to any one individual pursuant to Sections 4(d)
and 4(e) shall be $2,500,000 for any single or combined performance goals
established for a specified performance period. If a payment under Sections 4(d)
or 4(e) is made in Shares, the value of such Shares for determining this maximum
individual payment amount will be the closing price of a Share on the first day
of the applicable performance period. A specified performance period for
purposes of this performance goal payment limit shall not exceed a sixty (60)
consecutive month period.

(c)  Payment Shares.  Subject to the overall limitation on the number of Shares
that may be delivered under the Plan, the categories of Eligible Participants
and the other limitations set forth in Section 3(b), the Plan Administrator may
use available Shares as
___________________

/1/ This number was originally 1,000,000, but has been restated here to give
effect to the Company's two two-for-one stock splits, effected as stock
dividends, which were effective on August 30, 1999 and September 5, 2000.

                                       2
<PAGE>

the form of payment for compensation, grants or rights earned or due under any
other compensation plans or arrangements of the Company, including the plan of
any entity acquired by the Company.

(d)  Adjustments for Corporate Transactions.  The Plan Administrator may
determine that:

          (i)  In the event that the outstanding shares of Common Stock of the
Company are changed into or exchanged for a different number or kind of shares
or other securities of the Company by reason of any recapitalization,
reclassification, stock split, stock dividend, combination or subdivision,
appropriate adjustment shall be made in the number of shares available under the
Plan and under any stock awards granted under the Plan. Such adjustment to
outstanding stock awards shall be made without change in the total price
applicable to the unexercised portion of such awards, and a corresponding
adjustment in the applicable exercise price per share shall be made. No such
adjustment shall be made which would, within the meaning of any applicable
provisions of the Code, constitute a modification, extension or renewal of any
award or a grant of additional benefits to the holder of an award.

          (ii) In case (A) the Company is merged or consolidated with another
corporation or other entity and the Company is not the surviving corporation,
(B) all or substantially all of the assets or more than 50% of the outstanding
voting stock of the Company is acquired by any other corporation or other entity
or (C) of a reorganization or liquidation of the Company, the Plan Administrator
or the governing body of any entity assuming the obligations of the Company,
shall, as to outstanding awards, either (x) make appropriate provision for the
protection of any such outstanding awards by the substitution on an equitable
basis of appropriate stock of the Company, or of the merged, consolidated or
otherwise reorganized corporation which will be issuable in respect of the
shares of Common Stock of the Company, provided that no additional benefits
shall be conferred upon participants as a result of such substitution, and the
excess of the aggregate fair market value of the shares subject to the awards
immediately after such substitution over the purchase price thereof is not more
than the excess of the aggregate fair market value of the shares subject to the
award immediately before such substitution over the purchase price thereof, or
(y) upon written notice to the participants, provide that all unexercised awards
must be exercised within a specified number of days of the date of such notice
or they will be terminated.  In any such case, the Plan Administrator may, in
its discretion, accelerate the exercise dates of outstanding awards; provided,
                                                                     --------
however, that subsection (iii) of this paragraph (b) shall govern acceleration
of awards with respect to the events described in clauses (A), (B) and (C) of
such paragraph.

                                       3
<PAGE>

          (iii) In case of (A) any consolidation or merger involving the Company
if the shareholders of the Company immediately before such merger or
consolidation do not own, directly or indirectly, immediately following such
merger or consolidation, more than fifty percent (50%) of the combined voting
power of the outstanding voting securities or interests of the corporation (or
its parent corporation) or other entity resulting from such merger or
consolidation in substantially the same proportion as their ownership of the
shares of Common Stock immediately before such merger or consolidation; (B) any
sale, lease, license, exchange or other transfer (in one transaction or a series
of related transactions) of all, or substantially all, of the business and/or
assets of the Company or assets representing over 50% of the operating revenue
of the Company; or (C) any person (as such term is used in Sections 13(d) and
14(d) of the Exchange Act who is not, on September 30, 1999, a "controlling
person" (as defined in Rule 405 promulgated under the Securities Act of 1933, as
amended) (a "Controlling Person") of the Company shall become (x) the beneficial
owner (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of
over 50% of the Company's outstanding Common Stock or the combined voting power
of the Company's then outstanding voting securities entitled to vote generally
or (y) a Controlling Person of the Company, all outstanding awards, regardless
of the date of grant of such awards, shall immediately become exercisable with
respect to 100% of the Shares subject to such awards.

4.  Types of Awards

(a)  General.  An award may be granted singularly, in combination with another
award(s) or in tandem whereby exercise or vesting of one award held by a
participant cancels another award held by the participant. Any award granted
under the Plan shall be evidenced by a written agreement in form and substance
satisfactory to the Plan Administrator. These agreements must conform to the
Plan. The Plan Administrator may include such terms, consistent with the Plan,
as it determines in its discretion. Subject to Section 2(c), an award may be
granted as an alternative to or replacement of an existing award under the Plan
or under any other compensation plans or arrangements of the Company, including
the plan of any entity acquired by the Company. The types of awards that may be
granted under the Plan include:

(b)  Stock Option.  A stock option represents a right to purchase a specified
number of Shares during a specified period at a price per Share which is no less
than that required by Section 2(c). A stock option may not be in the form of an
Incentive Stock Option and therefore will not qualify for favorable federal tax
treatment. The Shares covered by a stock option may be purchased by means of a
cash payment or such other means as the Plan Administrator may from time to time
permit, including without limitation (i) tendering (either actually or by
attestation) Shares valued using the market price at the time of exercise, (ii)
authorizing a third party to sell Shares (or a sufficient portion thereof)
acquired upon exercise of a stock option and to remit to the Company a
sufficient portion of the sale proceeds to pay for all the Shares acquired
through such

                                       4
<PAGE>

exercise and any tax withholding obligations resulting from such exercise; (iii)
crediting toward the purchase price amounts from individuals' deferred
compensation account balances, including accrued dividend equivalent balances;
or (iv) any combination of the above.

(c)  Stock Appreciation Right.  A stock appreciation right is a right to receive
a payment in cash, Shares or a combination, equal to the excess of the aggregate
market price at time of exercise of a specified number of Shares over the
aggregate exercise price of the stock appreciation rights being exercised.

(d)  Stock Award.  A stock award is a grant of Shares or of a right to receive
Shares (or their cash equivalent or a combination of both) in the future. Each
stock award shall be subject to such conditions, restrictions and contingencies
as the Plan Administrator shall determine. These may include continuous service
and/or the achievement of performance goals. The performance goals that may be
used by the Plan Administrator for such awards shall consist of cash generation
targets, profit, revenue and market share targets, profitability targets as
measured by return ratios, and shareholder returns. The Plan Administrator may
designate a single goal criterion or multiple goal criteria for performance
measurement purposes with the measurement based on absolute Company or business
unit performances and/or on performance as compared with that of other publicly-
traded companies.

(e)  Cash Award.  A cash award is a right denominated in cash or cash units to
receive a payment, which may be in the form of cash, Shares or a combination,
based on the attainment of pre-established performance goals and such other
conditions, restrictions and contingencies as the Plan Administrator shall
determine. The performance goals that may be used by the Plan Administrator for
such awards shall consist of cash generation targets, profits, revenue and
market share targets, profitability targets as measured by return ratios and
shareholder returns. The Plan Administrator may designate a single goal
criterion or multiple goal criteria for performance measurement purposes with
the measurement based on absolute Company or business unit performance and/or on
performance as compared with that of other publicly-traded companies.

(f)  Warrants.  A warrant represents a right to purchase a specified number of
Shares during a specified period at a price per Share which is no less than that
required by Section 2(c). A warrant may be in the form of warrant that will
qualify for favorable tax treatment in a foreign jurisdiction. The Shares
covered by a warrant may be purchased by means of a cash payment or such other
means as the Plan Administrator may from time to time permit, including without
limitation (i) tendering (either actually or by attestation) Shares valued using
the market price at the time of exercise, (ii) authorizing a third party to sell
Shares (or a sufficient portion thereof) acquired upon exercise of a warrant and
to remit to the Company a sufficient portion of the sale proceeds to pay for all
the Shares acquired through such exercise and any tax withholding obligations
resulting from such exercise; (iii) crediting toward the purchase price amounts
from

                                       5
<PAGE>

individuals' deferred compensation account balances, including accrued dividend
equivalent balances; or (iv) any combination of the above.

5.  Award Settlement and Payments

(a)  Dividends and Dividend Equivalents.  An award may contain the right to
receive dividends or dividend equivalent payments which may be paid currently or
credited to a participant's account. Any such crediting of dividends or dividend
equivalents or reinvestment in Shares may be subject to such conditions,
restrictions and contingencies as the Plan Administrator shall establish,
including the reinvestment of such credited amounts in Share equivalents.

(b)  Payments.  Awards may be settled through cash payments, the delivery of
Shares, the granting of awards or combination thereof as the Plan Administrator
shall determine. Any award settlement, including payment deferrals, may be
subject to such conditions, restrictions and contingencies as the Plan
Administrator shall determine. The Plan Administrator may permit or require the
deferral of any award payment, subject to such rules and procedures as it may
establish, which may include provisions for the payment or crediting of
interest, or dividend equivalents, including converting such credits into
deferred Share equivalents.

6.  Plan Amendment and Termination

(a)  Amendments.  The Board may amend this Plan as it deems necessary and
appropriate to better achieve the Plan's purpose; provided however, that any
amendment to the Plan which would require approval of the Company's stockholders
under applicable law, or under the rules or guidelines of any exchange or
automatic quotation system on which the Shares are traded or included, then, in
any of such events, such stockholder approval of any such amendment shall also
be obtained.

(b)  Plan Suspensions and Termination.  The Board may suspend or terminate this
Plan at any time. Any such suspension or termination shall not of itself impair
any outstanding award granted under the Plan or the applicable participant's
rights regarding such award. If not earlier terminated, this Plan shall
terminate upon the tenth anniversary of the effective date of the Plan. Unless
an earlier termination is specified, awards granted under the Plan shall
terminate upon the tenth anniversary of their date of grant.

7.  Miscellaneous

(a)  No Individual Rights.  No person shall have any claim or right to be
granted an award under the Plan. Neither the Plan nor any action taken hereunder
shall be construed as giving any employee or other person any right to continue
to be employed by or to perform services for the Company, any subsidiary or
related entity. The right to

                                       6
<PAGE>

terminate the employment of or performance of services by any Plan participant
at any time and for any reason is specifically reserved to the employing entity.

(b)  Binding Arbitration.  Any dispute or disagreement regarding participation
and/or an award recipient's rights under the Plan shall be settled solely by
binding arbitration in accordance with the applicable rules of the American
Arbitration Association.

(c)  Unfunded Plan.  The Plan shall be unfunded and shall not create (or be
construed to create) a trust or a separate fund or funds. The Plan shall not
establish any fiduciary relationship between the Company and any participant or
beneficiary of a participant. To the extent any person holds any obligation of
the Company by virtue of an award granted under the Plan, such obligation shall
merely constitute a general unsecured liability of the Company and accordingly
shall not confer upon such person any right, title or interest in any assets of
the Company.

(d)  Other Benefit and Compensation Programs.  Unless otherwise specifically
determined by the Plan Administrator, settlements of awards received by
participants under the Plan shall not be deemed a part of a participant's
regular, recurring compensation for purposes of calculating payments or benefits
from any Company benefit plan or severance program. Further, the Company may
adopt other compensation programs, plans or arrangements as it deems
appropriate.

(e)  No Fractional Shares.  No fractional Shares shall be issued or delivered
pursuant to the Plan or any award, and the Plan Administrator shall determine
whether cash shall be paid or transferred in lieu of any fractional Shares, or
whether such fractional Shares or any rights thereto shall be canceled.

                                       7

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00018-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00018-of-00352.parquet"}]]