Document:

Exhibit 10.1

 

 

BUSINESS COMBINATION AGREEMENT

 

BETWEEN:

 

DARIEN BUSINESS DEVELOPMENT CORP.

 

- and -

 

VIREO HEALTH, INC.

 

- and -

 

VIREO FINCO (CANADA) INC.

 

- and –

 

1197027 B.C. LTD.

 

- and –

 

DARIEN MERGER SUB, LLC

 

Dated February 13, 2019

 

     

     

    

 

TABLE OF CONTENTS

 

	Article I GENERAL	3
	1.1        Defined Terms	3
	1.2        Pre-Business Combination – Name Change, Reclassification, Creation of Shares, and Consolidation	3
	1.3        Business Combination – Financing of Canadian Finco	3
	1.4        Business Combination – Preferred Stockholders of Vireo Become Common Stockholders of Vireo	3
	1.5        Business Combination – Contribution of Interests to Darien	3
	1.6        Business Combination – Exchange of Vireo Shares for Darien Shares pursuant to the Merger with US Subco	4
	1.7        Business Combination – Exchange of Subscription Receipts	5
	1.8        Business Combination - Amalgamation	5
	1.9        Business Combination – Wind up of Amalco	7
	1.10      U.S. Tax Matters	8
	1.11      Board of Directors and Officers	8
	 	 
	Article II REPRESENTATIONS AND WARRANTIES OF VIREO	9
	2.1        Organization and Good Standing	8
	2.2        Consents, Authorizations, and Binding Effect	9
	2.3        Litigation and Compliance	10
	2.4        Financial Statements	11
	2.5        Brokers	11
	2.6        Taxes	11
	 	 
	Article III REPRESENTATIONS AND WARRANTIES OF CANADIAN FINCO	12
	3.1        Organization and Good Standing	12
	3.2        Consents, Authorizations, and Binding Effect	12
	 	 
	Article IV REPRESENTATIONS AND WARRANTIES OF Darien, B.C. Subco AND US SUBCO	13
	4.1        Organization and Good Standing	14
	4.2        Consents, Authorizations, and Binding Effect	14
	4.3        Litigation and Compliance	15
	4.4        Public Filings; Financial Statements	16
	4.5        Taxes	17
	4.6        Pension and Other Employee Plans and Agreement	17
	4.7        Labour Relations	17
	4.8        Contracts, Etc.	18
	4.9        Absence of Certain Changes, Etc.	18
	4.10      Subsidiaries	19
	4.11      Capitalization	19
	4.12      Environmental Matters	20
	4.13      Licence and Title	20
	4.14      Indebtedness	20
	4.15      Undisclosed Liabilities	20
	4.16      Due Diligence Investigations	21
	4.17      Brokers	21
	4.18      Anti-Bribery Laws	21
	 	 
	Article V CONDITIONS TO OBLIGATIONS OF Darien, B.C. Subco or US Subco	22
	5.1        Conditions Precedent to Completion of the Business Combination	22

 

     

     

    

 

	Article VI CONDITIONS TO OBLIGATIONS OF Vireo AND CANADIAN FINCO	22
	6.1        Conditions Precedent to Completion of the Business Combination	22
	 	 
	Article VII MUTUAL CONDITIONS PRECEDENT	23
	7.1        Mutual Conditions Precedent	23
	 	 
	Article VIII CLOSING	24
	8.1        Closing	24
	8.2        Termination of this Agreement	24
	8.3        Survival of Representations and Warranties; Limitation	24
	 	 
	Article IX MISCELLANEOUS	25
	9.1        Further Actions	25
	9.2        Entire Agreement	25
	9.3        Descriptive Headings	25
	9.4        Notices	25
	9.5        Governing Law	26
	9.6        Enurement and Assignability	26
	9.7        Confidentiality	26
	9.8        Remedies	27
	9.9        Waivers and Amendments	27
	9.10      Illegalities	27
	9.11      Currency	27
	9.12      Third-Party Beneficiaries	27
	9.13      Counterparts	27
	 	 
	Schedule A DEFINITIONS	A-1
	 	 
	Schedule B MERGER AGREEMENT	B-1

 

     

     

    

 

BUSINESS COMBINATION AGREEMENT

 

THIS AGREEMENT dated February 13,
2019 is made

 

BETWEEN:

 

DARIEN BUSINESS DEVELOPMENT
CORP., a corporation existing under the laws of British Columbia

 

(hereinafter referred to as
 “Darien”)

 

- and -

 

VIREO HEALTH, INC.,
a corporation existing under the laws of Delaware

 

(hereinafter referred to as
 “Vireo”)

 

-and
-

 

DARIEN MERGER SUB, LLC,
a limited liability company existing under the laws of Delaware

 

(hereinafter referred to as
 “US Subco”)

 

-and
-

 

VIREO FINCO (CANADA) INC.,
a corporation existing under the laws of British Columbia

 

(hereinafter referred to as
 “Canadian Finco”)

 

-and
-

 

1197027 B.C. LTD., a
corporation existing under the laws of British Columbia

 

(hereinafter referred to as
 “B.C. Subco”)

 

WHEREAS the
Parties (as hereinafter defined) have agreed, subject to the satisfaction of certain conditions precedent, concurrently with the
Amalgamation (as hereinafter defined), and the US Merger (as hereinafter defined) to complete a Business Combination (as hereinafter
defined) pursuant to which the business of Vireo shall become the business of Darien;

 

AND WHEREAS,
prior to the Business Combination, Darien will consolidate (the “Consolidation”) its common shares in an amount
to be agreed between Vireo and Darien, such that the outstanding post-consolidation common shares of Darien (the “Darien
Shares”) will have an aggregate value of US$3 million, based on the issue price of the Subscription Receipts (as hereinafter
defined).

 

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AND WHEREAS,
prior to the Amalgamation and the US Merger, Vireo will recapitalize its share structure so that:

 

		(i)	each share of preferred stock of Vireo (“Vireo Preferred Stock”) will be automatically
converted into one fully paid and non-assessable share of common stock of Vireo (“Vireo Common Stock”); and

 

		(ii)	certain stockholders of Vireo will exchange their shares of Vireo Common Stock for Subordinate
Voting Shares (as hereinafter defined).

 

AND WHEREAS prior
to the Effective Time (as hereinafter defined), Darien will (i) complete the Name Change (as hereinafter defined), (ii) complete
the Reclassification (as hereinafter defined) whereby Darien will alter the Articles and notice of articles of Darien to re-designate
the Darien Shares as Subordinated Voting Shares (as hereinafter defined); (iii) create a new class of Multiple Voting Shares (as
hereinafter defined) and Super Voting Shares (as hereinafter defined); and (iv) complete the Consolidation (as hereinafter defined).

 

AND WHEREAS
the Parties have agreed, subject to the satisfaction of certain conditions precedent concurrently with the US Merger, that Darien,
Canadian Finco and B.C. Subco will carry out a three-cornered Amalgamation pursuant to Section 269 of the Business Corporations
Act (British Columbia) (the “BCBCA”) pursuant to which, among other things:

 

		(i)	each B.C. Subco Share (as hereinafter defined) will be exchanged for one Amalco Share (as hereinafter
defined); and

 

		(ii)	each Canadian Finco Share (as hereinafter defined) held by Canadian Finco Shareholders (as hereinafter
defined) will be exchanged for one Subordinated Voting Share;

 

AND WHEREAS
the Parties have agreed, subject to the satisfaction of certain conditions precedent, concurrently with the Amalgamation, to carry
out a merger of Vireo and US Subco, whereby US Subco will be merged with and into Vireo, pursuant to Title 8, Section 267 of the
Delaware General Corporation Law (the “DGCL”) and Title 6, Section 209 of the Delaware Limited Liability Company
Act (the “DLLCA”) pursuant to which, among other things:

 

		(i)	each class or series of capital stock of US Subco issued and outstanding, immediately prior to
the Effective Time will be cancelled;

 

		(ii)	certain stockholders of Vireo will thereafter exchange their Vireo Common Stock for Subordinate
Voting Shares at an exchange rate ranging from 38 to 46 Subordinate Voting Shares for each share of Vireo Common Stock held (with
the actual exchange ratio depending on the pre-money valuation of Vireo estimated to be between $500 million and $600 million).
All other holders of Vireo Common Stock will exchange their Vireo Common Stock for Multiple Voting Shares at an exchange rate ranging
from 0.38 to 0.46 of a Multiple Voting Share per share of Vireo Common Stock held (with the actual exchange ratio depending on
the pre-money valuation of Vireo estimated to be between $500 million and $600 million) or Super Voting Shares at an exchange rate
ranging from 0.38 to 0.46 of a Super Voting Share per share of Vireo Common Stock held (with the actual exchange ratio depending
on the pre-money valuation of Vireo estimated to be between $500 million and $600 million); and

 

		(iii)	US Subco will merge with and into Vireo, with Vireo continuing as the surviving corporation with
Darien being the sole stockholder of the merged company, and the separate existence of US Subco will cease (altogether, the “US
Merger”).

 

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AND WHEREAS,
the Parties wish to make certain representations, warranties, covenants and agreements in connection with the Business Combination;

 

NOW THEREFORE,
in consideration of the mutual benefits to be derived and the representations and warranties, conditions and promises herein contained
and other good and valuable consideration (the receipt and sufficiency of which is hereby acknowledged) and intending to be legally
bound hereby, the Parties agree as follows:

 

Article I

GENERAL

 

		1.1	Defined Terms

 

Capitalized terms used
herein and not otherwise defined has the meanings ascribed to such terms in Schedule A.

 

		1.2	Pre-Business Combination – Name Change, Reclassification, Creation of Shares, and Consolidation

 

Immediately prior to
the steps in sections 1.3 and 1.4, Darien shall take all necessary steps to give effect to and implement the Name Change, the Consolidation,
the Reclassification, the creation of the Super Voting Shares and Multiple Voting Shares, upon and subject to the terms of this
Agreement.

 

		1.3	Business Combination – Financing of Canadian Finco

 

Certain investors will
invest cash for subscription receipts (the “Subscription Receipts”) of Canadian Finco, with each Subscription
Receipt representing the right of the holder thereof to receive, upon the occurrence of certain events set forth in the terms attached
to the Subscription Receipts, one Canadian Finco Share, without any further act or formality, and for no additional consideration.

 

		1.4	Business Combination – Preferred Stockholders of Vireo Become Common Stockholders of Vireo

 

Prior to the US Merger
and the Amalgamation, pursuant to a recapitalization of Vireo, holders of Vireo Preferred Stock will convert their Vireo Preferred
Stock into Vireo Common Stock in accordance with the terms of the Vireo Preferred Stock.

 

		1.5	Business Combination – Contribution of Interests to Darien

 

Prior to the US Merger
and the Amalgamation, Vireo will provide Canadian holders of Vireo Common Stock the opportunity to contribute those shares to Darien
for Subordinate Voting Shares pursuant to the elective provisions of s 85(1) of the Income Tax Act (Canada)

 

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		1.6	Business Combination – Exchange of Vireo Shares for Darien Shares pursuant to the Merger
with US Subco

 

		(a)	Darien, US Subco and Vireo agree to enter into a merger agreement whereby US Subco will merge with
and into Vireo in accordance with Title 8, Section 267 of the Delaware General Corporation Law (the “DGCL”)
and Title 6, Section 209 of the Delaware Limited Liability Company Act (the “DLLCA”) (the “Merger Agreement”).

 

		(b)	Contemporaneously with the execution of the Merger Agreement, Vireo and Darien shall execute and
file with the secretary of state of the State of Delaware as soon as practicable thereafter, a certificate of merger in accordance
with the DGCL and the DLLCA.

 

		(c)	Immediately prior to the Effective Time, Vireo will effectuate a recapitalization pursuant to which
each share of Vireo Preferred Stock shall be exchanged for one fully paid and non-assessable share of Vireo Common Stock and Canadian
stockholders of Vireo will exchange their Vireo Common Stock for Subordinate Voting Shares.

 

		(d)	At the Effective Time and as a result of the US Merger:

 

		(i)	each share of capital stock of US Subco issued and outstanding immediately prior to the Effective
Time will be canceled and no consideration shall be issued in respect thereof.

 

		(ii)	US Subco will merge with and into Vireo, with Vireo continuing as the surviving corporation and
the separate existence of US Subco shall cease.

 

		(iii)	following paragraph 1.8(c) to this Agreement, each person outside the United States shall receive
approximately 38-46 Subordinate Voting Shares (with the actual exchange ratio depending on the pre-money valuation of Vireo estimated
to be between $500 million and $600 million) for each share of Vireo Common Stock held immediately prior to the Effective Time.

 

		(iv)	following paragraph 1.8(c) to this Agreement, each person in the United States shall receive approximately
0.38-0.46 of a Multiple Voting Share (with the actual exchange ratio depending on the pre-money valuation of Vireo estimated to
be between $500 million and $600 million) in exchange for each issued and outstanding share of Vireo Common Stock held immediately
prior to the Effective Time.

 

		(v)	following paragraph 1.8(c) to this Agreement, Kyle Kingsley shall receive approximately 0.38-0.46
of a Super Voting Share (with the actual exchange ratio depending on the pre-money valuation of Vireo estimated to be between $500
million and $600 million) in exchange for each issued and outstanding share of Vireo Common Stock held immediately prior to the
Effective Time.

 

		(vi)	each warrant issued and outstanding immediately prior to the Effective Time will be exchanged for
a warrant entitling the holder to receive, in lieu of Vireo Preferred Stock or Vireo Common Stock, that many Subordinate Voting
Shares that such holder would have been entitled to receive, if on the effective date thereof, the holder had been the registered
holder of the number of Vireo Preferred Stock or Vireo Common Stock to which he or she was entitled to receive upon the exercise of
the warrants and on the same terms and conditions set forth in the applicable warrant certificate.

 

		(vii)	each option, stock appreciation right, restricted stock units and restricted stock issued and outstanding
immediately prior to the Effective Time will be exchanged for an option, stock appreciation right, restricted stock units and restricted
stock entitling the holder to receive, in lieu of Vireo Preferred Stock or Vireo Common Stock, that many Subordinate Voting Shares
that such holder would have been entitled to receive if, on the effective date thereof, the holder had been the registered holder
of the number of Vireo Preferred Stock or Vireo Common Stock to which he or she was entitled to receive upon the exercise or settlement
of such award and on the same terms and conditions as set forth in Vireo’s Equity Incentive Plan and the applicable award
agreement.

 

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		1.7	Business Combination – Exchange of Subscription Receipts

 

The Subscription Receipts
will automatically be exchanged for Canadian Finco Shares pursuant to the terms and conditions of the Subscription Receipts and
the Subscription Receipt Agreement.

 

		1.8	Business Combination - Amalgamation

 

		(a)	Canadian Finco and Darien agree to effect the combination of their respective businesses and assets
by way of a “three-cornered amalgamation” among Darien, B.C. Subco and Canadian Finco.

 

		(b)	Darien has called the Darien Meeting and prepared and mailed the Darien Circular to the Darien
Shareholders. Darien shall not amend or supplement the Darien Circular without the prior written consent of Vireo, such consent
not to be unreasonably withheld or delayed.

 

		(c)	(i) Canadian Finco has obtained the written consent resolution of the Canadian Finco Shareholders
approving the Amalgamation; and (ii) Darien has executed a written consent resolution approving the B.C. Subco Amalgamation Resolution.

 

		(d)	Upon the completion of the Consolidation, the Name Change, the Reclassification and the creation
of the Multiple Voting Shares and Super Voting Shares, B.C. Subco and Canadian Finco shall jointly complete and file the Amalgamation
Application with the British Columbia Registrar of Companies under the BCBCA.

 

		(e)	Upon the issue of a Certificate of Amalgamation
giving effect to the Amalgamation, B.C. Subco and Canadian Finco shall be amalgamated and shall continue as one corporation
effective on the date of the Certificate of Amalgamation (the “Effective Date”) under the terms and conditions
prescribed in the Amalgamation Agreement.

 

		(f)	At the Effective Time and as a result of the Amalgamation:

 

		(i)	each holder of Canadian Finco Shares shall receive one fully-paid and non-assessable Subordinated
Voting Share for each Canadian Finco Share held, following which all such Canadian Finco Shares shall be cancelled;

 

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		(ii)	Darien shall receive one fully paid and non-assessable Amalco Share for each one B.C. Subco Share
held by Darien, following which all such B.C. Subco Shares shall be cancelled;

 

		(iii)	each holder of Canadian Finco Compensation Options shall receive one Darien Compensation Option
for each Canadian Finco Compensation Option held, following which all such Canadian Finco Compensation Options shall be cancelled.

 

		(iv)	in consideration of the issuance of Subordinated Voting Shares pursuant to paragraph 1.6(f)(i),
Amalco shall issue to Darien one Amalco Share for each Subordinated Voting Share issued;

 

		(v)	Darien shall add to the capital maintained in respect of the Subordinated Voting Shares an amount
equal to the aggregate paid-up capital for purposes of the ITA of the Canadian Finco Shares immediately prior to the Effective
Time;

 

		(vi)	Amalco shall add to the capital maintained in respect of the Amalco Shares an amount such that
the stated capital of the Amalco Shares shall be equal to the aggregate paid-up capital for purposes of the ITA of the B.C. Subco
Shares and Canadian Finco Shares immediately prior to the Amalgamation;

 

		(vii)	no fractional Subordinated Voting Shares shall be issued to holders of Canadian Finco Shares; in
lieu of any fractional entitlement, the number of Subordinated Voting Shares issued to each former holder of Canadian Finco Shares
shall be rounded down to the next lesser whole number of Subordinated Voting Shares without any payment in respect of such fractional
Subordinated Voting Share;

 

		(viii)	Darien shall be entitled to deduct and withhold from any consideration otherwise payable pursuant
to transactions contemplated by this Agreement to any holder of Canadian Finco Shares such amounts as are required to be deducted
and withheld with respect to such payment under the ITA or any provision of provincial, state, local or foreign tax law, in each
case as amended; to the extent that amounts are so withheld, such withheld amounts shall be treated for all purposes hereof as
having been paid to the holder of the Canadian Finco Shares in respect of which such deduction and withholding was made, provided
that such withheld amounts are actually remitted to the appropriate taxing authority; and

 

		(ix)	Amalco will become a wholly-owned subsidiary of Darien.

 

		(g)	At the Effective Time:

 

		(i)	subject to subsection 1.6(f)(i), the registered holders of Canadian Finco Shares shall become the
registered holders of the Subordinated Voting Shares to which they are entitled, calculated in accordance with the provisions hereof;
Darien shall deliver the Subordinated Voting Shares to former holders of Canadian Finco Shares electronically or in physical form
in accordance with the instructions of the former holder thereof, without the need for such holder to surrender certificates representing
the Canadian Finco Shares and absent such instructions, Darien shall provide
the Subordinated Voting Shares in the same form as such holder previously held the Subscription Receipts; and

 

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		(ii)	Darien shall become the registered holder of the Amalco Shares to which it is entitled, calculated
in accordance with the provisions hereof, and shall be entitled to receive a share certificate representing the number of Amalco
Shares to which it is entitled, calculated in accordance with the provisions hereof.

 

		(h)	At the Effective Time, the registered holders of Canadian Finco Compensation Options shall become
the registered holders of Darien Compensation Options to which they are entitled in accordance with the provisions hereof. Darien
shall deliver certificates representing the Darien Compensation Options to former holders of Canadian Finco Compensation Options
in accordance with the instructions of former holders thereof.

 

		(i)	Subject to the provisions of the BCBCA, the following provisions shall apply to Amalco:

 

		(i)	without in any way restricting the powers conferred upon Amalco or its board of directors by the
BCBCA, as now enacted or as the same may from time to time be amended, re-enacted or replaced, the board of directors may from
time to time, without authorization of the shareholders, in such amounts and on such terms as it deems expedient:

 

		(A)	borrow money upon the credit of Amalco;

 

		(B)	issue, re-issue, sell or pledge debt obligations of Amalco;

 

		(C)	subject to the provisions of the BCBCA, as now enacted or as the same may from time to time be
amended, re-enacted or replaced, give a guarantee on behalf of Amalco to secure performance of an obligation of any person; and

 

		(D)	mortgage, hypothecate, pledge or otherwise create a security interest in all or any property of
Amalco owned or subsequently acquired, to secure any obligation of Amalco; and

 

		(ii)	the board of directors may from time to time delegate to a director, a committee of directors or
an officer of Amalco any or all of the powers conferred on the board as set out above, to such extent and in such manner as the
board shall determine at the time of such delegation.

 

		1.9	Business Combination – Wind up of Amalco

 

Amalco will be wound
up into Darien and the assets of Amalco (which will consist of the funds invested by the investors for Subscription Receipts, net
of expenses) will be transferred to Darien.

 

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		1.10	U.S. Tax Matters

 

Each Party agrees
that: (a) the contributions described in Section 1.5 (Contribution of Interests to Vireo) are intended to constitute a single
integrated transaction qualifying as a tax-deferred contribution pursuant to Section 351 of the Code; and (b) the
transactions set forth in Section 1.3 (Financing of Canadian Finco), Section 1.4 (Preferred Stockholders of Vireo Become
Common Stockholders of Vireo), Section 1.5 (Contribution of Interests to Darien), Section 1.6 (Exchange of Vireo Shares for
Darien Shares pursuant to the Merger with US Subco), Section 1.7 (Exchange of Subscription Receipts), Section 1.8
(Amalgamation), Section 1.9 (Wind up of Amalco), are intended to constitute a single integrated transaction qualifying as a
tax-deferred contribution pursuant to Section 351 of the Code, (c) such Party shall retain such records and file such
information as is required to be retained and filed pursuant to Treasury Regulations section 1.351-3 in connection with each
of the transactions set forth in subsections (a) and (b), and (d) such Party shall otherwise use its best efforts to cause
the transactions set forth in subsections (a) and (b) to qualify as a tax-deferred contribution, in each case pursuant to
Section 351 of the Code. In connection with transactions described in subsection (b), the Parties agree to treat Darien as a
United States domestic corporation for U.S. federal income tax purposes under Section 7874(b) of the Code. Except as
otherwise required by this Agreement, no Party shall take any action, fail to take any action, cause any action to be taken
or cause any action to fail to be taken that could reasonably be expected to prevent (1) the transactions described in
subsections (a) and (b) from each qualifying as a tax-deferred contribution within the meaning of Section 351 of the Code, or
(2) Darien from being treated as a United States domestic corporation for U.S. federal income tax purposes under Section
7874(b) of the Code. Each Party hereto agrees to act in good faith, consistent with the terms of this Agreement and the
intent of the Parties and the intended treatment of such transactions as set forth in this Section 1.10. Notwithstanding the
foregoing, no Party makes any representation, warranty or covenant to any other party or to any shareholder of Vireo, US
Subco or Canadian Finco or other holder of Vireo, US Subco or Canadian Finco securities (including, without limitation, stock
options, warrants, subscription receipts, debt instruments or other similar rights or instruments) regarding the tax
treatment of the transactions contemplated by this Agreement, including, but not limited to, whether the transactions
described in subsections (a) and (b) will each qualify as a tax-deferred contribution within the meaning of Section 351 of
the Code or whether Darien will be treated as a United States domestic corporation for U.S. federal income tax purposes under
Section 7874(b) of the Code as a result of the transactions set forth in subsection (b).

 

		1.11	Board of Directors and Officers

 

Each of the Parties
hereby agrees that concurrently with the completion of the Business Combination, all of the current directors and officers of Darien,
B.C. Subco and US Subco shall resign without payment by or any liability to Darien, Canadian Finco, US Subco, B.C. Subco or Amalco,
and each such director and officer shall execute and deliver a release in favour of Darien, B.C. Subco, Canadian Finco, US Subco
and Amalco, in a form acceptable to Darien and Vireo, each acting reasonably, and the board of directors of Darien shall be set
at seven directors and consist initially of seven directors and be comprised of the following persons, or such other other person
as may be designated by Vireo (collectively, the “New Darien Directors”):

 

	Kyle Kingsley	Chairman
	Amber Shimpa	Director
	Ari Hoffnung	Director
	Chad Martinson	Director
	Judd Nordquist	Director
	Amy Langer	Director
	Chelsea Grayson	Director

 

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Article II

REPRESENTATIONS AND WARRANTIES OF VIREO

 

Vireo represents and
warrants to and in favour of Darien, B.C. Subco and US Subco and acknowledges that Darien, B.C. Subco and US Subco are relying
on such representations and warranties in connection with this Agreement and the transactions contemplated herein:

 

		2.1	Organization and Good Standing

 

		(a)	Vireo is a corporation duly organized, validly existing, and in good standing under the Laws of
the jurisdiction of its incorporation and is qualified to transact business and is in good standing as a foreign corporation in
the jurisdictions where it is required to qualify in order to conduct its business as presently conducted, except where the failure
to be so qualified would not have a Material Adverse Effect on Vireo.

 

		(b)	Vireo has the corporate power and authority
to own, lease or operate its properties and to carry on its business as now conducted.

 

		2.2	Consents, Authorizations, and Binding Effect

 

		(a)	Vireo may execute, deliver and
perform this Agreement without the necessity of obtaining any consent, approval, authorization or waiver, or giving any notice
or otherwise, except:

 

		(i)	Approval of the Vireo shareholders;

 

		(ii)	consents, approvals, authorizations and waivers which have been obtained (or will be obtained prior
to the Effective Date) and are unconditional, and in full force and effect, and notices which have been given on a timely basis;
or

 

		(iii)	those which, if not obtained or made, would not prevent or delay the consummation of the Business
Combination or otherwise prevent Vireo from performing its respective obligations under this Agreement and would not be reasonably
likely to have a Material Adverse Effect on Vireo.

 

		(b)	Vireo has full corporate power
and authority to execute and deliver this Agreement and to perform its obligations hereunder.

 

		(c)	This Agreement has been duly executed and delivered by Vireo
and constitutes a legal, valid, and binding obligation of each, enforceable against Vireo in accordance with its terms,
except:

 

		(i)	as may be limited by bankruptcy, reorganization, insolvency and similar Laws of general application
relating to or affecting the enforcement of creditors’ rights or the relief of debtors; and

 

		(ii)	that the remedy of specific performance and injunctive and other forms of equitable relief may
be subject to equitable defenses and to the discretion of the court before which any proceeding therefor may be brought.

 

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		(d)	The execution, delivery, and performance of this Agreement will not:

 

		(i)	constitute a violation of the constating documents of Vireo;

 

		(ii)	conflict with, result in the breach of or constitute a default or give to others a right of termination,
cancellation, creation or acceleration of any obligation under or the loss of any material benefit under or the creation of any
benefit or right of any third party under any material Contract, material permit or material license to which Vireo is a party
or as to which any of its property is subject which in any such case would have a Material Adverse Effect on Vireo;

 

		(iii)	constitute a violation of any Law applicable or relating to Vireo or its business except for such
violations which would not have a Material Adverse Effect on Vireo; or

 

		(iv)	result in the creation of any lien upon any of the assets of Vireo other than such liens as would
not have a Material Adverse Effect on Vireo.

 

		(e)	Other than pursuant to this Agreement, neither Vireo nor any Affiliate or Associate of Vireo nor,
to the knowledge of Vireo, any director or officer of Vireo beneficially owns or has the right to acquire a beneficial interest
in any Darien Shares.

 

		2.3	Litigation and Compliance

 

		(a)	There are no actions, suits, claims or proceedings, whether in equity or at law or, any Governmental
investigations pending or, to the knowledge of Vireo, threatened:

 

		(i)	against or affecting Vireo or with respect to or affecting any asset or property owned, leased
or used by Vireo; or

 

		(ii)	which question or challenge the validity of this Agreement, or the Business Combination or any
action taken or to be taken pursuant to this Agreement, or the Business Combination;

 

except for actions, suits, claims
or proceedings which would not, in the aggregate, have a Material Adverse Effect on Vireo nor is Vireo aware of any basis for any
such action, suit, claim, proceeding or investigation.

 

		(b)	Other than in respect of laws of the United States Federal government relating to cannabis and
its derivatives, Vireo has conducted and is conducting its business in compliance with, and is not in default or violation under,
and has not received notice asserting the existence of any default or violation under, any Law applicable to its business or operations,
except for non-compliance, defaults and violations which would not, in the aggregate, have a Material Adverse Effect on Vireo.

 

		(c)	Neither Vireo, nor any asset of Vireo is subject to any judgment, order or decree entered in any
lawsuit or proceeding which has had, or which is reasonably likely to have, a Material Adverse Effect on Vireo or which is reasonably
likely to prevent Vireo from performing its obligations under this Agreement.

 

		(d)	Vireo has duly filed or made all reports and returns required to be filed by it with any Government
and has obtained all permits, licenses, consents, approvals, certificates, registrations and authorizations (whether Governmental,
regulatory or otherwise) which are required in connection with
its business and operations, except where the failure to do so has not had and would not have a Material Adverse Effect on Vireo.

 

    10 

     

    

 

		2.4	Financial Statements

 

		(a)	The financial statements (including, in each case, any notes thereto) of the Vireo Group of Companies
for the years ended December 31, 2017 and 2016 and for the nine month period ended September 30, 2018 were prepared in accordance
with IFRS, applied on a consistent basis during the periods involved (except as may be indicated therein or in the notes thereto)
and fairly presented in all material respects the consolidated assets, liabilities and financial condition of the Vireo Group of
Companies as of the respective dates thereof and the consolidated earnings, results of operations and changes in financial position
of the Vireo Group of Companies for the periods then ended.

 

		(b)	Other than as contemplated herein or disclosed in the financial statements or
in employment agreements entered into in the ordinary course, there are no contracts with Vireo, on the one hand, and: (i) any
officer or director of Vireo; (ii) any holder of 5% or more of the equity securities of Vireo; or (iii) an Associate or Affiliate
of a person in (i) or (ii), on the other hand.

 

		2.5	Brokers

 

Other than in connection
with the Financing, neither Vireo nor to the knowledge of Vireo any of its Associates, Affiliates or Advisors have retained any
broker or finder in connection with the Amalgamation or the other transactions contemplated hereby, nor have any of the foregoing
incurred any liability to any broker or finder by reason of any such transaction.

 

		2.6	Taxes

 

Each Vireo Group Member
has timely filed, or has caused to be timely filed on its behalf, all Tax Returns required to be filed by it prior to the date
hereof, all such Tax Returns are complete and accurate in all material respects. All Taxes shown to be due on such Tax Returns,
or otherwise owed, have been timely paid, other than those which are being contested in good faith and in respect of which adequate
reserves have been provided in the most recently published financial statements of Vireo. Vireo's most recent audited consolidated
financial statements reflect a reserve in accordance with IFRS for all Taxes payable by the Vireo Group Members for all taxable
periods and portions thereof through the date of such financial statements. No deficiency with respect to any Taxes has been proposed,
asserted or assessed in writing against any Vireo Group Member, there are no actions, suits, proceedings, investigations or claims
pending or threatened against any Vireo Group Member in respect of Taxes or any matters under discussion with any Government relating
to Taxes, in each case which are likely to have a Material Adverse Effect on the Vireo Group, and no waivers or written requests
for waivers of the time to assess any such Taxes are outstanding or pending. Each Vireo Group Member has remitted to the appropriate
tax authorities within the time limits required all amounts collected by it in respect of Taxes. There are no liens for Taxes upon
any asset of the Vireo Group except liens for Taxes not yet due.

 

    11 

     

    

 

Article III

REPRESENTATIONS AND WARRANTIES OF CANADIAN FINCO

 

Canadian Finco represents
and warrants to and in favour of Darien and B.C. Subco and acknowledges that Darien and B.C. Subco are relying on such representations
and warranties in connection with this Agreement and the transactions contemplated herein:

 

		3.1	Organization and Good Standing

 

		(i)	Canadian Finco is a corporation duly organized, validly existing, and in good standing under the
Laws of the jurisdiction of its incorporation and is qualified to transact business and is in good standing as a foreign corporation
in the jurisdictions where it is required to qualify in order to conduct its business as presently conducted, except where the
failure to be so qualified would not have a Material Adverse Effect on Canadian Finco. There are no subsidiaries of Canadian Finco.

 

		(ii)	Canadian Finco has the corporate power and authority to own, lease or operate its properties and
to carry on its business as now conducted.

 

		3.2	Consents, Authorizations, and Binding Effect

 

		(i)	Canadian Finco may execute, deliver and perform this Agreement without the necessity of obtaining
any consent, approval, authorization or waiver, or giving any notice or otherwise, except:

 

		(A)	consents, approvals, authorizations and waivers which have been obtained (or will be obtained prior
to the Effective Date) and are unconditional, and in full force and effect, and notices which have been given on a timely basis;

 

		(B)	the written consent resolution of the Canadian Finco Shareholders approving the Amalgamation;

 

		(C)	the filing of a Form 13 (Amalgamation Application) with the British Columbia Registrar of Companies
under the BCBCA; or

 

		(D)	those which, if not obtained or made, would not prevent or delay the consummation of the Amalgamation
or otherwise prevent Canadian Finco from performing its obligations under this Agreement and would not be reasonably likely to
have a Material Adverse Effect on Canadian Finco.

 

		(ii)	Canadian Finco has full corporate power and authority to execute and deliver this Agreement and
to perform its obligations hereunder and to complete the Amalgamation, subject to the approval of the Canadian Finco Amalgamation
Resolution by the Canadian Finco Shareholders.

 

		(iii)	The sole director of Canadian Finco has: (i) approved the Business Combination and the execution,
delivery and performance of this Agreement and (ii) directed that the Canadian Finco Amalgamation
Resolution be submitted to the Canadian Finco Shareholders.

 

    12 

     

    

 

		(iv)	This Agreement has been duly executed and delivered by Canadian Finco and constitutes a legal,
valid, and binding obligation of Canadian Finco, enforceable against it in accordance with its terms, except:

 

		(A)	as may be limited by bankruptcy, reorganization, insolvency and similar Laws of general application
relating to or affecting the enforcement of creditors’ rights or the relief of debtors; and

 

		(B)	that the remedy of specific performance and injunctive and other forms of equitable relief may
be subject to equitable defenses and to the discretion of the court before which any proceeding therefor may be brought.

 

		(v)	The execution, delivery, and performance of this Agreement will not:

 

		(A)	constitute a violation of the notice of articles or articles, as amended, of Canadian Finco;

 

		(B)	conflict with, result in the breach of or constitute a default or give to others a right of termination,
cancellation, creation or acceleration of any obligation under or the loss of any material benefit under or the creation of any
benefit or right of any third party under any material Contract, material permit or material license to which Canadian Finco is
a party or as to which any of its property is subject which in any such case would have a Material Adverse Effect on Canadian Finco;

 

		(C)	constitute a violation of any Law applicable or relating to Canadian Finco or its business except
for such violations which would not have a Material Adverse Effect on Canadian Finco; or

 

		(D)	result in the creation of any lien upon any of the assets of Canadian Finco other than such liens
as would not have a Material Adverse Effect on Canadian Finco.

 

Article IV

REPRESENTATIONS AND WARRANTIES OF Darien, B.C. Subco AND US SUBCO

 

Each of Darien, B.C.
Subco and US Subco hereby represents and warrants to Vireo and Canadian Finco as follows and acknowledges that each of Vireo and
Canadian Finco is relying on such representations and warranties in entering into this Agreement and completing the transactions
contemplated herein:

 

    13 

     

    

 

		4.1	Organization and Good Standing

 

		(a)	Each Darien Group Member is a corporation duly organized, validly existing, and in good
                                                               standing under the Laws of the jurisdiction of its incorporation and is qualified to transact business and is in good
                                                               standing as a foreign corporation in the jurisdictions where it is required to qualify in order to conduct its business as
                                                               presently conducted, except where the failure to be
so qualified would not have a Material Adverse Effect on Darien or on any such company. Except for B.C. Subco and US Subco, there
are no other subsidiaries of Darien.

 

		(b)	Each Darien Group Member has the corporate power and authority to own, lease, or operate its properties
and to carry on its business as now conducted.

 

		4.2	Consents, Authorizations, and Binding Effect

 

		(a)	Each of Darien, B.C. Subco and US Subco has full corporate power and authority to execute and deliver
this Agreement and to perform its respective obligations hereunder, subject to the approval of
the matters set out in the Darien Circular by Darien Shareholders at the Darien Meeting.

 

		(b)	Each of Darien and B.C. Subco has full corporate power and authority to complete the Amalgamation,
subject to the B.C. Subco Amalgamation Resolution.

 

		(c)	Each of Darien and US Subco has full corporate power and authority to execute and deliver the Merger
Agreement and to perform its respective obligations thereunder, subject to the US Subco Merger
Resolution.

 

		(d)	The board of directors of Darien have unanimously: (i) approved the Business Combination and the
execution, delivery and performance of this Agreement; (ii) directed that the matters set out
in the Darien Circular be submitted to the Darien Shareholders at the Darien Meeting, and unanimously recommended approval
thereof; and (iii) approved the execution and delivery of the B.C. Subco Amalgamation Resolution by Darien.

 

		(e)	The board of directors of US Subco have unanimously: (i) approved the US Merger and the execution,
delivery and performance of the Merger Agreement; (ii) directed that the Merger Agreement and
the US Merger be submitted to Darien as sole holder of the limited liability company interests of US Subco, and unanimously
recommended approval thereof; (iii) approved the execution and delivery of the resolution approving the Merger Agreement and the
US Merger by Darien.

 

		(f)	The board of directors of B.C. Subco have unanimously approved the Amalgamation and the execution,
delivery and performance of this Agreement.

 

		(g)	This Agreement has been duly executed and delivered by Darien, B.C. Subco and US Subco and constitutes
a legal, valid, and binding obligation of Darien, B.C. Subco and US Subsco enforceable against each of them in accordance with
its terms, except:

 

		(i)	as may be limited by bankruptcy, reorganization, insolvency and similar Laws of general application
relating to or affecting the enforcement of creditors’ rights or the relief of debtors; and

 

		(ii)	that the remedy of specific performance and injunctive and other forms of equitable relief may
be subject to equitable defences and to the discretion of the court before which any proceeding therefor may be brought.

 

    14 

     

    

 

		(h)	The execution, delivery, and performance of this Agreement will not:

 

		(i)	constitute a violation of the notice of articles or articles of Darien, the notice of articles
or articles of B.C. Subco, or the certificate of formation and operating agreement of US Subco;

 

		(ii)	conflict with, result in the breach of or constitute a default or give to others a right of termination,
cancellation, creation or acceleration of any obligation under, or the loss of any material benefit under or the creation of any
benefit or right of any third party under any material Contract, material permit or material license to which any Darien Group
Member is a party or as to which any of their property is subject which would in any such case have a Material Adverse Effect on
the Darien Group;

 

		(iii)	constitute a violation of any Law applicable or relating to any Darien Group Member or their respective
businesses except for such violations which would not have a Material Adverse Effect on any Darien Group Member; or

 

		(iv)	result in the creation of any lien upon any of the assets of any Darien Group Member, other than
such liens as would not have a Material Adverse Effect on the Darien Group.

 

		(i)	No Darien Group Member or any Affiliate or Associate of any Darien Group Member, nor to the knowledge
of Darien, any director or officer of any Darien Group Member, beneficially owns or has the right to acquire a beneficial interest
in any Canadian Finco Shares.

 

		4.3	Litigation and Compliance

 

		(a)	There are no actions, suits, claims or proceedings, whether in equity or at law, or any Governmental
investigations pending or, to the knowledge of Darien, threatened:

 

		(i)	against or affecting any Darien Group Member or with respect to or affecting any asset or property
owned, leased or used by any Darien Group Member; or

 

		(ii)	which question or challenge the validity of this Agreement or the Amalgamation or any action taken
or to be taken pursuant to this Agreement or the Amalgamation;

 

nor is Darien aware of any basis
for any such action, suit, claim, proceeding or investigation.

 

		(b)	Each Darien Group Member has conducted and is conducting its business in compliance with, and is
not in default or violation under, and has not received notice asserting the existence of any default or violation under, any Law
applicable to the businesses or operations of the Darien Group, except for non-compliance, defaults, and violations which would
not, in the aggregate, have a Material Adverse Effect on the Darien Group.

 

		(c)	No Darien Group Member, and no asset of any Darien Group Member, is subject to any judgment, order
or decree entered in any lawsuit or proceeding which has had, or which is reasonably likely to have, a Material Adverse Effect
on the Darien Group or which is reasonably likely to prevent Darien, B.C. Subco or US Subco from performing its respective obligations
under this Agreement.

 

		(d)	Each Darien Group Member has duly filed or made all reports and returns required to be filed by
it with any Government and has obtained all permits, licenses, consents, approvals, certificates, registrations and authorizations
(whether Governmental, regulatory or otherwise) which are required in connection with the business and operations of the Darien
Group, except where the failure to do so has not had and will not have a Material Adverse Effect on the Darien Group.

 

    15 

     

    

 

		4.4	Public Filings; Financial Statements

 

		(a)	Darien has filed all documents required pursuant to applicable Canadian Securities Laws (the “Darien
Securities Documents”). As of their respective dates, the Darien Securities Documents complied in all material respects
with the then applicable requirements of the Canadian Securities Laws (and all other applicable securities laws) and, at the respective
times they were filed, none of the Darien Securities Documents contained any untrue statement of a material fact or omitted to
state a material fact required to be stated therein or necessary to make any statement therein, in light of the circumstances under
which it was made, not misleading. Darien has not filed any confidential disclosure reports which have not at the date hereof become
public knowledge.

 

		(b)	The consolidated financial statements (including, in each case, any notes thereto) of Darien for
the years ended December 30, 2017 and 2016 and for the three and nine month periods ended September 30, 2018 and 2017 included
in the Darien Securities Documents were prepared in accordance with IFRS applied on a consistent basis during the periods involved
(except as may be indicated therein or in the notes thereto) and fairly present in all material respects the consolidated assets,
liabilities and financial condition of Darien and its consolidated subsidiaries as of the respective dates thereof and the consolidated
earnings, results of operations and changes in financial position of Darien and its consolidated subsidiaries for the periods then
ended (subject, in the case of unaudited statements, to the absence of footnote disclosure and to customary year-end audit adjustments
and to any other adjustments described therein). Except as disclosed in the Darien Securities Documents, Darien has not, since
September 30, 2018, made any change in the accounting practices or policies applied in the preparation of its financial statements.

 

		(c)	Darien is now, and on the Effective Date will be, a “reporting issuer” (or its equivalent)
under Canadian Securities Laws of each of the Provinces of Alberta and British Columbia and Ontario. Darien is not currently in
default in any material respect of any requirement of Canadian Securities Laws and Darien is not included on a list of defaulting
reporting issuers maintained by any of the securities commissions or similar regulatory authorities in each of such Provinces.

 

		(d)	There has not been any reportable event (within the meaning of National Instrument 51-102 –
Continuous Disclosure Obligations of the Canadian Securities Administrators) since December 30, 2017 with the present or
former auditors of the Darien Group.

 

		(e)	No order ceasing or suspending trading in securities of any Darien Group Member or prohibiting
the sale of securities by any Darien Group Member has been issued that remains outstanding and, to the knowledge of Darien, no
proceedings for this purpose have been instituted, are pending, contemplated or threatened by any securities commission, self-regulatory
organization or the TSX-V, except the pending voluntary de-listing from the TSX-V in connection with this Agreement.

 

		(f)	Darien maintains a system of internal accounting controls appropriate for a company of its size
and sufficient to provide reasonable assurance that: (i) transactions are executed in accordance with management’s general
or specific authorizations; (ii) access to assets is permitted only in accordance with management’s general or specific authorization;
and (iii) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action
is taken with respect to any differences.

 

		(g)	There are no contracts with Darien, on the one hand, and: (i) except for a verbal agreement for
management fees to Gunther Roehlig, any officer or director of the Darien Group; (ii) any holder of 5% or more of the equity securities
of Darien; or (iii) an associate or affiliate of a person in (i) or (ii), on the other hand.

 

    16 

     

    

 

		4.5	Taxes

 

Each Darien Group Member
has timely filed, or has caused to be timely filed on its behalf, all Tax Returns required to be filed by it prior to the date
hereof, all such Tax Returns are complete and accurate in all material respects. All Taxes shown to be due on such Tax Returns,
or otherwise owed, have been timely paid, other than those which are being contested in good faith and in respect of which adequate
reserves have been provided in the most recently published financial statements of Darien. Darien’s most recent audited consolidated
financial statements reflect a reserve in accordance with IFRS for all Taxes payable by the Darien Group Members for all taxable
periods and portions thereof through the date of such financial statements. No deficiency with respect to any Taxes has been proposed,
asserted or assessed in writing against any Darien Group Member, there are no actions, suits, proceedings, investigations or claims
pending or threatened against any Darien Group Member in respect of Taxes or any matters under discussion with any Government relating
to Taxes, in each case which are likely to have a Material Adverse Effect on the Darien Group, and no waivers or written requests
for waivers of the time to assess any such Taxes are outstanding or pending. Each Darien Group Member has withheld from each payment
made to any of their past or present employees, officers or directors, and to any non-resident of Canada, the amount of all Taxes
required to be withheld therefrom and have paid the same to the proper tax or receiving officers within the time required under
applicable Law. Each Darien Group Member has remitted to the appropriate tax authorities within the time limits required all amounts
collected by it in respect of Taxes. There are no liens for Taxes upon any asset of the Darien Group except liens for Taxes not
yet due. US Subco, at all time since its formation through the Effective Time, will be a disregarded entity for United States income
tax purposes.

 

		4.6	Pension and Other Employee Plans and Agreement

 

Except for stock options
granted by Darien, Darien does not maintain or contribute to any Employee Plan.

 

		4.7	Labour Relations

 

		(a)	No employees of any Darien Group Member are covered by any collective bargaining agreement.

 

		(b)	There are no representation questions, arbitration proceedings, labour strikes, slow-downs or stoppages,
material grievances, or other labour troubles pending or, to the knowledge of Darien, threatened with respect to the employees
of any Darien Group Member; and (ii) to the best of Darien’s knowledge, there are no present or pending applications for
certification (or the equivalent procedure under any applicable Law) of any union as the bargaining agent for any employees of
any Darien Group Member.

 

    17 

     

    

 

		4.8	Contracts, Etc.

 

		(a)	No Darien Group Member is a party to or bound by any Contract other than as disclosed in writing
to Vireo.

 

		(b)	Each Darien Group Member and, to the knowledge of Darien, each of the other parties thereto, is
in material compliance with all covenants under any material Contract, and no default has occurred which, with notice or lapse
of time or both, would directly or indirectly constitute such a default, except for such non-compliance or default under any material
Contract as has not had and will not have a Material Adverse Effect on the Darien Group.

 

		(c)	No Darien Group Member is a party to or bound by any Contract that provides for any payment as
a result of the consummation of any of the matters contemplated by this Agreement that would result in Darien having a cash balance
of less than $nil at the time of the completion of the Business Combination.

 

		4.9	Absence of Certain Changes, Etc.

 

Except as contemplated
by the Business Combination and this Agreement, since September 30, 2018:

 

		(a)	there has been no Material Adverse Change in the Darien Group;

 

		(b)	no Darien Group Member has:

 

		(i)	sold, transferred, distributed, or otherwise disposed of or acquired a material amount of its assets,
or agreed to do any of the foregoing, except in the ordinary course of business, except as disclosed in the Darien Circular, by
news release or in the Letter of Intent;

 

		(ii)	incurred any liability or obligation of any nature (whether absolute, accrued, contingent or otherwise)
which has had or is likely to have a Material Adverse Effect on the Darien Group;

 

		(iii)	made or agreed to make any material capital expenditure or commitment for additions to property,
plant, or equipment in excess of $25,000;

 

		(iv)	made or agreed to make any material increase in the compensation payable to any employee or director
except for increases made in the ordinary course of business and consistent with presently existing policies or agreement or past
practice or as disclosed in writing to Vireo or as will not result in a cash balance of less than $nil as at the Effective Date;

 

		(v)	conducted its operations in any way other than in all material respects in the normal course of
business;

 

		(vi)	entered into any material transaction or material Contract, or amended or terminated any material
transaction or material Contract, except transactions or Contracts entered into in the ordinary course of business; or

 

		(vii)	agreed or committed to do any of the foregoing; and

 

    18 

     

    

 

		(c)	there has not been any declaration, setting aside or payment of any dividend with respect to Darien’s
share capital.

 

		4.10	Subsidiaries

 

		(a)	All of the outstanding shares in the capital of B.C. Subco are owned of record and beneficially
by Darien free and clear of all liens. All of the outstanding limited liability company interests in the capital of US Subco are
owned of record and beneficially by Darien free and clear of all liens. Darien does not own, directly or indirectly, any equity
interest of or in any entity or enterprise organized under the Laws of any domestic or foreign jurisdiction other than B.C. Subco
and US Subco.

 

		(b)	All outstanding shares in the capital of, or other equity interests in, Darien have been duly authorized
and are validly issued, fully paid and non-assessable.

 

		4.11	Capitalization

 

		(a)	As at the date hereof, the authorized capital of Darien consists of an unlimited number of Darien
Shares without nominal or par value, of which 12,455,815 Darien Shares are issued and outstanding (prior to giving effect to the
Consolidation). Darien has also granted options to purchase a total of 1,240,000 Darien Shares.

 

		(b)	All issued and outstanding shares in the capital of Darien have been duly authorized and are validly
issued, fully paid and non-assessable, free of pre-emptive rights.

 

		(c)	There are no authorized, outstanding or existing:

 

		(i)	voting trusts or other agreements or understandings with respect to the voting of any Darien Shares
to which any Darien Group Member is a party;

 

		(ii)	securities issued by any Darien Group Member that are convertible into or exchangeable for any
Darien Shares;

 

		(iii)	except for options to purchase 1,240,000 Darien Shares, agreements, options, warrants, or other
rights capable of becoming agreements, options or warrants to purchase or subscribe for any Darien Shares or securities convertible
into or exchangeable or exercisable for any such common shares, in each case granted, extended or entered into by any Darien Group
Member;

 

		(iv)	agreements of any kind to which any Darien Group Member is party relating to the issuance or sale
of any Darien Shares, or any securities convertible into or exchangeable or exercisable for any Darien Shares or requiring Darien
to qualify securities of any Darien Group Member for distribution by prospectus under Canadian Securities Laws; or

 

		(v)	agreements of any kind which may obligate Darien to issue or purchase any of its securities.

 

    19 

     

    

 

		4.12	Environmental Matters

 

Each Darien Group Member
is in compliance with all applicable Environmental Laws and has not violated any then current environmental laws as applied at
that time. All operations of the Darien Group, past or present, conducted on any real property, leased or owned by any member of
the Darien Group, past or present, and such properties themselves while occupied by a member of the Darien Group have been and
are in compliance with all Environmental Laws. No Darien Group Member is the subject of: (i) any proceeding, application, order
or directive which relates to any environmental, health or safety matter; or (ii) any demand or notice with respect to any Environmental
Laws. Each Darien Group Member has made adequate reserves for all reclamation obligations and has made appropriate arrangements,
through obtaining reclamation bonds or otherwise to discharge such reclamation obligations, to the extent applicable. No member
of the Darien Group has caused or permitted the release of any hazardous substances on or to any of the assets or any other real
property owned or leased or occupied by any member of the Darien Group, either past or present, (including underlying soils and
substrata, surface water and groundwater) in such a manner as: (A) would be reasonably likely to impose liability for cleanup,
natural resource damages, loss of life, personal injury, nuisance or damage to other property; (B) would be reasonably likely to
result in imposition of a lien, charge or other encumbrance on or the expropriation of any of the assets; or (C) at levels which
exceed remediation and/or reclamation standards under any Environmental Laws or standards published or administered by those Governmental
Authorities responsible for establishing or applying such standards. There is no environmental liability or factors likely to give
rise to any environmental liability (i) affecting any of the properties of any Darien Group Member; or (ii) retained in any manner
by any Darien Group Member in connection with properties disposed by any Darien Group Member.

 

		4.13	Licence and Title

 

Darien is the absolute
legal and beneficial owner of, and has good and marketable title to, all of its material property or assets (real and personal,
tangible and intangible, including leasehold interests) including all the properties and assets reflected in the balance sheet
forming part of Darien’s financial statements for the year ended December 30, 2017, except as indicated in the notes thereto,
and such properties and assets are not subject to any mortgages, liens, charges, pledges, security interests, encumbrances, claims,
demands, Encumbrances or defect in title of any kind except as is reflected in the balance sheets forming part of such financial
statements and in the notes thereto and Darien owns, possesses, or has obtained and is in compliance in all material respects with,
all licences, permits, certificates, orders, grants and other authorizations of or from any Governmental Authority necessary to
conduct its business as currently conducted, in accordance in all material respects with applicable Laws.

 

		4.14	Indebtedness

 

As at the date of this
Agreement, no indebtedness was owing or guaranteed by any Darien Group Member.

 

		4.15	Undisclosed Liabilities

 

There are no material
liabilities of the Darien Group of any kind whatsoever, whether or not accrued and whether or not determined or determinable, in
respect of which any Darien Group Member may become liable on or after the consummation of the transactions contemplated hereby
other than:

 

		(a)	liabilities disclosed on or reflected or provided for in the most recent financial statements of
Darien included in the Darien Securities Documents; and

 

		(b)	liabilities incurred in the ordinary and usual course of business of the Darien Group and attributable
to the period since December 30, 2017, none of which has had or may reasonably be expected to have a Material Adverse Effect on
the Darien Group.

 

    20 

     

    

 

		4.16	Due Diligence Investigations

 

All
information relating to the business, assets, liabilities, properties, capitalization or financial condition of the Darien Group,
or any member thereof provided by any Darien Group Member or any of its Advisers to Vireo is true, accurate and complete in all
material respects.

 

		4.17	Brokers

 

Except as disclosed
to Vireo in writing, no Darien Group Member or, to the knowledge of Darien, any of its respective Associates, Affiliates or Advisers,
have retained any broker or finder in connection with the transactions contemplated hereby, nor have any of the foregoing incurred
any Liability to any broker or finder by reason of any such transaction.

 

		4.18	Anti-Bribery Laws

 

None of Darien, B.C.
Subco or US Subco nor to the knowledge of Darien, any director, officer, employee or consultant of the foregoing, has (i) violated
any anti-bribery or anti-corruption laws applicable to Darien, B.C. Subco or US Subco including but not limited to the U.S.
Foreign Corrupt Practices Act and Canada’s Corruption of Foreign Public Officials Act, or (ii) offered, paid,
promised to pay, or authorized the payment of any money, or offered, given, promised to give, or authorized the giving of anything
of value, that goes beyond what is reasonable and customary and/or of modest value: (X) to any Government Official, whether directly
or through any other person, for the purpose of influencing any act or decision of a Government Official in his or her official
capacity; inducing a Government Official to do or omit to do any act in violation of his or her lawful duties; securing any improper
advantage; inducing a Government Official to influence or affect any act or decision of any Governmental Authority; or assisting
any representative of Darien, B.C. Subco or US Subco in obtaining or retaining business for or with, or directing business to,
any person; or (Y) to any person, in a manner which would constitute or have the purpose or effect of public or commercial bribery,
or the acceptance of or acquiescence in extortion, kickbacks, or other unlawful or improper means of obtaining business or any
improper advantage. None of Darien, B.C. Subco or US Subco nor to the knowledge of Darien, any director, officer, employee, consultant,
representative or agent of foregoing, has (i) conducted or initiated any review, audit, or internal investigation that concluded
Darien, B.C. Subco or US Subco or any director, officer, employee, consultant, representative or agent of the foregoing violated
such laws or committed any material wrongdoing, or (ii) made a voluntary, directed, or involuntary disclosure to any Governmental
Authority responsible for enforcing anti-bribery or anti-corruption Laws, in each case with respect to any alleged act or omission
arising under or relating to non-compliance with any such Laws, or received any notice, request, or citation from any person alleging
non-compliance with any such Laws.

 

    21 

     

    

 

Article V

CONDITIONS TO OBLIGATIONS OF Darien, B.C. Subco or US Subco

 

		5.1	Conditions Precedent to Completion of the Business Combination

 

The obligation of Darien,
B.C. Subco or US Subco to complete the Business Combination is subject to the satisfaction of the following conditions on or prior
to the Effective Date, each of which may be waived by Darien, B.C. Subco or US Subco:

 

		(a)	The representations and warranties of Vireo set forth in Article II and of Canadian Finco
set forth in Article III qualified as to materiality shall be true and correct, and the representations and warranties not
so qualified shall be true and correct in all material respects, in each case as of the date of this Agreement and on the Effective
Date as if made on the Effective Date, except for such representations and warranties made expressly as of a specified date which,
if qualified as to materiality shall be true and correct, or otherwise shall be true and correct in all material respects, as of
such date.

 

		(b)	Each of Vireo and Canadian Finco shall have performed and complied in all material respects with
all covenants and agreements required by this Agreement to be performed or complied with by them prior to or on the Effective Date.

 

		(c)	There shall not have occurred any Material Adverse Change in Vireo or in Canadian Finco since the
date of this Agreement.

 

		(d)	The Darien Shareholders shall have approved the matters set out in the Darien Circular at the Darien
Meeting.

 

		(e)	The shareholders of Vireo shall have approved the Merger.

 

Article VI

CONDITIONS TO OBLIGATIONS OF Vireo AND CANADIAN FINCO

 

		6.1	Conditions Precedent to Completion of the Business Combination

 

The obligation of each
of Vireo and Canadian Finco to complete the Business Combination is subject to the satisfaction of the following conditions on
or prior to the Effective Date, each of which may be waived by each of Vireo and Canadian Finco:

 

		(a)	The representations and warranties of Darien, B.C. Subco or US Subco set forth in Article IV
qualified as to materiality shall be true and correct, and the representations and warranties not so qualified shall be true and
correct in all material respects as of the date hereof and on the Effective Date as if made on the Effective Date, except for such
representations and warranties made expressly as of a specified date which, if qualified as to materiality shall be true and correct,
or otherwise shall be true and correct in all material respects, as of such date.

 

		(b)	Darien, B.C. Subco or US Subco shall have performed and complied in all material respects with
all covenants and agreements required by this Agreement to be performed or complied with by Darien, B.C. Subco or US Subco, respectively,
prior to or on the Effective Date.

 

		(c)	There shall not have occurred any Material Adverse Change of Darien or the Darien Group since the
date of this Agreement.

 

		(d)	The Darien Shareholders shall have approved the matters set out
in the Darien Circular at the Darien Meeting.

 

		(e)	The shareholders of Vireo shall have approved the Merger.

 

    22 

     

    

 

		(f)	Darien shall have completed and filed all necessary documents
in accordance with the BCBCA in respect of the matters set out in the Darien Circular to be approved at the Darien Meeting and
the Name Change shall be effective.

 

		(g)	Each of Vireo and Canadian Finco shall be satisfied that the exchange of Multiple Voting Shares
or Super Voting Shares, as applicable, for shares of Vireo and US Subco, and for shares of Canadian Finco, as applicable, shall
be exempt from registration under all applicable United States federal and state securities laws.

 

		(h)	All of the current directors and officers of Darien and B.C. Subco, and managers and officers of
US Subco, shall have resigned without payment by or any liability to Darien, Vireo, US Subco, Canadian Finco, B.C. Subco or Amalco,
and each such director, manager and officer shall have executed and delivered a release in favour of Darien, B.C. Subco, Vireo,
US Subco, Canadian Finco and Amalco, in a form acceptable to Darien and Vireo, each acting reasonably.

 

		(i)	Vireo shall be satisfied in its sole discretion that: (A) at the time of the completion of the
Business Combination, Darien has a cash balance of not less than $0; and (B) Darien, B.C. Subco and US Subco have no liabilities.

 

Article VII

MUTUAL CONDITIONS PRECEDENT

 

		7.1	Mutual Conditions Precedent

 

The obligations of
Darien, B.C. Subco, US Subco, Vireo and Canadian Finco to complete the Business Combination are subject to the satisfaction of
the following conditions on or prior to the Effective Date, each of which may be waived only with the consent in writing of Darien
and Vireo:

 

		(a)	all consents, waivers, permits, exemptions, orders, consents and approvals required to permit the
completion of the Business Combination, the failure of which to obtain could reasonably be expected to have a Material Adverse
Effect on Vireo or Darien or materially impede the completion of the Business Combination, shall have been obtained;

 

		(b)	no temporary restraining order, preliminary injunction, permanent injunction or other order preventing
the consummation of the Business Combination shall have been issued by any federal, state, or provincial court (whether domestic
or foreign) having jurisdiction and remain in effect;

 

		(c)	the Subordinate Voting Shares to be issued pursuant to the Business Combination shall have been
conditionally approved for listing on the CSE, subject to standard conditions on the Effective Date or as soon as practicable thereafter;

 

		(d)	on the Effective Date, no cease trade order or similar restraining order of any other provincial
securities administrator relating to the Darien Shares, the Subordinate Voting Shares, the Multiple Voting Shares, the Super Voting
Shares, the Canadian Finco Shares, the B.C. Subco Shares, the US Subco Membership Interests, or the Amalco Shares shall be in effect;

 

		(e)	there shall not be pending or threatened any suit, action or proceeding by any Governmental Entity,
before any court or Governmental Authority, agency or tribunal, domestic or foreign, that has a
significant likelihood of success, seeking to restrain or prohibit the consummation of the Business Combination or any of the other
transactions contemplated by this Agreement;

 

    23 

     

    

 

		(f)	the distribution of Amalco Shares, Subordinate Voting Shares, Multiple Voting Share and Super Voting
Shares pursuant to the Business Combination shall be exempt from the prospectus and registration requirements of applicable Canadian
Securities Law either by virtue of exemptive relief from the securities regulatory authorities of each of the provinces of Canada
or by virtue of applicable exemptions under Canadian Securities Laws and shall not be subject to resale restrictions under applicable
Canadian Securities Laws (other than as applicable to control persons) or pursuant to section 2.6 of National Instrument 45-102
 – Resale of Securities of the Canadian Securities Administrators); and

 

		(g)	this Agreement shall not have been terminated in accordance with its terms.

 

Article VIII

CLOSING

 

		8.1	Closing

 

The Closing shall take
place at the offices of Vireo’s counsel, Cassels Brock & Blackwell LLP at 11:00 a.m. (Toronto time) on the Effective
Date or on such other date as Vireo and Darien may agree.

 

		8.2	Termination of this Agreement

 

This Agreement may
be terminated at any time prior to the Effective Time, whether before or after approval of the B.C. Subco Amalgamation Resolution
by Darien or the US Subco Merger Resolution by Darien or the matters set out in the Darien Circular by the Darien Shareholders
or any other matters presented in connection with the Business Combination:

 

		(a)	by mutual written consent of the Parties;

 

		(b)	by Darien or Vireo if there has been a breach of any of the representations, warranties, covenants
and agreements on the part of the other Party (the “Breaching Party”) set forth in this Agreement, which breach
has or is likely to result in the failure of the conditions set forth in Section 4.1, 5.1 or 6.1, as the case may, to be satisfied
and in each case has not been cured within ten (10) Business Days following receipt by the Breaching Party of written notice of
such breach from the non-breaching Party (the “Non-Breaching Party”);

 

		(c)	by any Party if any permanent order, decree, ruling or other action of a court or other competent
authority restraining, enjoining or otherwise preventing the consummation of the Business Combination shall have become final and
non-appealable.

 

		8.3	Survival of Representations and Warranties; Limitation

 

The representations
and warranties set forth in herein shall expire and be terminated on the earlier of the Effective Date or the termination of this
Agreement.

 

    24 

     

    

 

Article IX

MISCELLANEOUS

 

		9.1	Further Actions

 

From time to time,
as and when requested by any Party, the other Parties shall execute and deliver, and use all commercially reasonable efforts to
cause to be executed and delivered, such documents and instruments and shall take, or cause to be taken, such further or other
actions as may be reasonably requested in order to:

 

		(a)	carry out the intent and purposes of this Agreement;

 

		(b)	effect the Amalgamation (or to evidence the foregoing); and

 

		(c)	consummate and give effect to the other transactions, covenants and agreements contemplated by
this Agreement.

 

		9.2	Entire Agreement

 

This Agreement, which
includes the Schedules hereto and the other documents, agreements, and instruments executed and delivered pursuant to or in connection
with this Agreement, contains the entire Agreement between the Parties with respect to matters dealt within herein and, except
as expressly provided herein, supersedes all prior arrangements or understandings with respect thereto, including the Letter of
Intent.

 

		9.3	Descriptive Headings

 

The descriptive headings
of this Agreement are for convenience only and shall not control or affect the meaning or construction of any provision of this
Agreement.

 

		9.4	Notices

 

All notices or other
communications which are required or permitted hereunder shall be in writing and sufficient if delivered personally or sent by
electronic mail, nationally recognized overnight courier, or registered or certified mail, postage prepaid, addressed as follows:

 

		(a)	If to Darien or B.C. Subco:

 

Darien Business Development Corp.

410-1040 West Georgia Street

Vancouver, British Columbia

V6E4H1

 

		Attention:	Gunther Roehlig
		E-mail:	groehlig@gmail.com

 

		(b)	If to Vireo or to Canadian Finco:

 

c/o Vireo Health, Inc.

1330 Lagoon Avenue, 4th Floor

Minneapolis, MN 55408 USA

 

		Attention:	Michael Schroeder
		E-mail:	michaelschroeder@vireohealth.com

 

    25 

     

    

 

with a copy (which shall not constitute
notice) to:

 

Cassels Brock & Blackwell LLP

2100 Scotia Plaza, 40 King Street
West

Toronto, ON M5H 3C2

 

		Attention:	Frank DeLuca
		Email:	fdeluca@casselsbrock.com

 

Any such notices or
communications shall be deemed to have been received: (i) if delivered personally or sent by nationally recognized overnight courier
or by electronic mail, on the date of such delivery; or (ii) if sent by registered or certified mail, on the third Business Day
following the date on which such mailing was postmarked. Any Party may by notice change the address to which notices or other communications
to it are to be delivered or mailed.

 

		9.5	Governing Law

 

This Agreement shall
be governed by and construed in accordance with the Laws of the Province of British Columbia and the federal laws of Canada applicable
therein, but references to such laws shall not, by conflict of laws, rules or otherwise require application of the law of any jurisdiction
other than the Province of British Columbia and the Parties hereby further irrevocably attorn to the jurisdiction of the Courts
of the Province of British Columbia in respect of any matter arising hereunder or in connection with the transactions contemplated
in this Agreement.

 

		9.6	Enurement and Assignability

 

This Agreement shall
be binding upon and shall enure to the benefit of and be enforceable by the Parties and their respective successors and permitted
assigns, provided that this Agreement shall not be assignable otherwise than by operation of law by any Party without the prior
written consent of the other Parties, and any purported assignment by any Party without the prior written consent of the other
Parties shall be void.

 

		9.7	Confidentiality

 

The Parties agree that
no disclosure or announcement, public or otherwise, in respect of the Business Combination, this Agreement or the transactions
contemplated herein shall be made by any Party or its representatives without the prior agreement of the other Parties as to timing,
content and method, hereto, provided that the obligations herein will not prevent any Party from making, after consultation with
the other Parties, such disclosure as its counsel advises is required by applicable Law or the rules and policies of the CSE, TSX-V
(or any other relevant stock exchange). If any of Darien, Vireo, Canadian Finco, US Subco or B.C. Subco is required by applicable
Law or regulatory instrument, rule or policy to make a public announcement with respect to the Business Combination, such Party
hereto will provide as much notice to the other of them as reasonably possible, including the proposed text of the announcement.

 

Except as and
only to the extent required by applicable Law, the Receiving Party will not disclose or use, and it will cause its
representatives not to disclose or use, any Confidential Information furnished by a Disclosing Party or its representatives
to the Receiving Party or its representatives at any time or in any manner, other than for the purposes of evaluating the
Business Combination.

 

    26 

     

    

 

		9.8	Remedies

 

The Parties acknowledge
that an award of money damages may be inadequate for any breach of the obligations undertaken by the Parties and that the Parties
shall be entitled to seek equitable relief, in addition to remedies at law. In the event of any action to enforce the provisions
of this Agreement, each of the Parties waive the defense that there is an adequate remedy at law. Without limiting any remedies
any Party may otherwise have, in the event any Party refuses to perform its obligations under this Agreement, the other Party shall
have, in addition to any other remedy at law or in equity, the right to specific performance.

 

		9.9	Waivers and Amendments

 

Any waiver of any term
or condition of this Agreement, or any amendment or supplementation of this Agreement, shall be effective only if in writing. A
waiver of any breach or failure to enforce any of the terms or conditions of this Agreement shall not in any way affect, limit,
or waive a Party’s rights hereunder at any time to enforce strict compliance thereafter with every term or condition of this
Agreement.

 

		9.10	Illegalities

 

In the event that any
provision contained in this Agreement shall be determined to be invalid, illegal, or unenforceable in any respect for any reason,
the validity, legality and enforceability of any such provision in every other respect and the remaining provisions of this Agreement
shall not, at the election of the Party for whose benefit the provision exists, be in any way impaired.

 

		9.11	Currency

 

Except as otherwise
set forth herein, all references to amounts of money in this Agreement are to United States Dollars.

 

		9.12	Third-Party Beneficiaries

 

This Agreement is strictly
between the Parties and, except as specifically provided herein, no other person or entity and no director, officer, stockholder,
employee, agent, independent contractor or any other person or entity shall be deemed to be a third-party beneficiary of this Agreement.

 

		9.13	Counterparts

 

This Agreement may
be executed in any number of counterparts by original or telefacsimile signature, each of which will be an original as regards
any party whose signature appears thereon and all of which together will constitute one and the same instrument. This Agreement
will become binding when one or more counterparts hereof, individually or taken together, bears the signatures of all the parties
reflected hereon as signatories.

 

[REMAINDER OF THE AGREEMENT
IS INTENTIONALLY BLANK]

 

    27 

     

    

 

IN WITNESS WHEREOF,
the undersigned have executed and delivered this Agreement as of the day and year first above written.

 

	 	DARIEN BUSINESS DEVELOPMENT CORP.
	 	 
	 	By:	/s/ Gunther Roehlig
	 	 	Name:  	Gunther Roehlig
	 	 	Title:	President
	 	 	 	 
	 	VIREO HEALTH, INC.
	 	 
	 	By:	/s/ Amber Shimpa
	 	 	Name:	Amber Shimpa
	 	 	Title: 	CFO
	 	 	 	 
	 	VIREO FINCO (CANADA) INC.
	 	 
	 	By:	/s/ Amber Shimpa
	 	 	Name:	Amber Shimpa
	 	 	Title: 	President and Director
	 	 	 	 
	 	1197027 B.C. LTD.
	 	 
	 	By:	/s/ Gunther Roehlig
	 	 	Name:	Gunther Roehlig
	 	 	Title: 	President
	 	 	 	 
	 	DARIEN MERGER SUB, LLC
	 	 
	 	By:	/s/ Gunther Roehlig
	 	 	Name:	Gunther Roehlig
	 	 	Title: 	President

 

     

     

    

 

Schedule A 

DEFINITIONS

 

“Advisers”
when used with respect to any Person, shall mean such Person’s directors, officers, employees, representatives, agents, counsel,
accountants, advisers, engineers, and consultants.

 

“Affiliate”
has the meaning ascribed to such term in National Instrument 45-106 – Prospectus Exemptions of the Canadian Securities
Administrators.

 

“Agreement”
means this Business Combination Agreement, as it may be amended or supplemented at any time and from time to time after the date
hereof.

 

“Amalco”
means the corporation resulting from the Amalgamation.

 

“Amalco Shares”
means common shares in the capital of Amalco.

 

“Amalgamation”
means an amalgamation of B.C. Subco and Canadian Finco pursuant to Section 269 of the BCBCA, on the terms and subject to the conditions
set out in the Amalgamation Agreement and this Agreement, subject to any amendments or variations thereto made in accordance with
the provisions of the Amalgamation Agreement and this Agreement.

 

“Amalgamation
Agreement” means the amalgamation agreement in a form to be agreed between Darien and Vireo, each acting reasonably to
be entered into between B.C. Subco and Canadian Finco pursuant to Section 269 of the BCBCA, to effect the Amalgamation.

 

“Amalgamation
Application” means the Form 13 to be jointly completed and filed by Darien and Canadian Finco with the Registrar of Companies
under the BCBCA, in a form to be agreed between Darien and Vireo, each acting reasonabl,y giving effect to the Amalgamation of
B.C. Subco and Canadian Finco upon and subject to the terms of this Agreement.

 

“Associate”
has the meaning ascribed to such term in the Securities Act (British Columbia).

 

“BCBCA”
means the Business Corporations Act (British Columbia), as amended;

 

“B.C.
Subco” means 1197027 B.C. Ltd., a wholly-owned subsidiary of Darien, created for the
purpose of effecting the Business Combination.

 

“B.C. Subco
Amalgamation Resolution” means the resolution of Darien, as sole shareholder of B.C. Subco, approving the Amalgamation
and adopting the Amalgamation Agreement.

 

“B.C.
Subco Shares” means the common shares in the capital of B.C. Subco.

 

“Breaching Party”
has the meaning ascribed to such term in Section 7.2(b).

 

“Business Combination”
means the completion of the steps set out in Article I on the basis set out in this Agreement.

 

“Business Day”
means any day other than a Saturday or Sunday or other day on which Canadian Chartered Banks located in the City of Vancouver or
the City of Toronto are required or permitted to close.

 

“Canadian
Finco Amalgamation Resolution” means the resolution of the sole shareholder of Canadian Finco, approving the
Amalgamation and adopting the Amalgamation Agreement.

 

    A-1

     

    

 

“Canadian Finco
Compensation Options” means options to acquire securities of Canadian Finco granted to certain agents as compensation
pursuant to the Financing.

 

“Canadian Finco
Shareholders” means the holders of the issued and outstanding Canadian Finco Shares.

 

“Canadian Finco
Shares” means the common shares in the capital of Canadian Finco.

 

“Canadian Securities
Laws” means the Securities Act (or equivalent legislation) in each of the provinces and territories of Canada
and the respective regulations under such legislation together with applicable published rules, regulations, policy statements,
national instruments and memoranda of understanding of the Canadian Provincial Securities Administrators and the securities regulatory
authorities in such provinces and territories.

 

“Certificate
of Amalgamation” means the certificate of amalgamation to be used by the Registrar of Companies under the BCBCA pursuant
to section 281 of the BCBCA following the following the filing of the Amalgamation Application.

 

“Code”
means the U.S. Internal Revenue Code of 1986, as amended.

 

“Confidential
Information” means any information concerning the Disclosing Party or its business, properties and assets made available
to the Receiving Party; provided that it does not include information which: (a) is generally available to or known by the public
other than as a result of improper disclosure by the Receiving Party or pursuant to a breach of Section 8.7 by the Receiving Party;
(b) is obtained by the Receiving Party from a source other than the Disclosing Party, provided that, to the reasonable knowledge
of the Receiving Party, such source was not bound by a duty of confidentiality to the Disclosing Party or another party with respect
to such information; (c) is developed by the Receiving Party independently of any disclosure by the Disclosing Party; or (d) was
in the Receiving Party’s possession prior to its disclosure by the Disclosing Party.

 

“Consolidation”
has the meaning given to that term in the Recitals.

 

“Contract”
means any contract, lease, agreement, instrument, license, commitment, order, or quotation, written or oral.

 

“CSE” means the Canadian
Securities Exchange.

 

“Darien”
means Darien Business Development Corp., a corporation existing under the BCBCA.

 

“Darien Circular”
means the management information circular of Darien dated February 8, 2019 in respect of a special meeting of shareholders to be
held on March 8, 2019, as the same may be amended or supplemented in accordance with this agreement from time to time.

 

“Darien Compensation
Options” means options to acquire securities of Darien to be issued to former holders of Canadian Finco Compensation
Options, which options will be substantially on the same terms and conditions as the Canadian Finco Compensation Options except
for the right to receive Subordinate Voting Shares in lieu of common shares of Canadian Finco upon, among other things, payment
of the applicable exercise price.

 

“Darien Group”
means and includes Darien, B.C. Subco and US Subco, and the other Darien Group Members.

 

    A-2

     

    

 

“Darien Group
Member” means and includes Darien and any corporation, partnership or company in which Darien beneficially owns or controls,
directly or indirectly, more than 50% of the equity, voting rights, profit interest, capital or other similar interest thereof
or any joint venture in which Darien has a direct or indirect interest.

 

“Darien Meeting”
means the special meeting of the Darien Shareholders to be held to approve the matters set out in the Darien Circular and any and
all adjournments or postponements of such meeting.

 

“Darien Securities
Documents” has the meaning ascribed to such term in Section 3.4(a).

 

“Darien
Shareholders” means the holders of Darien Shares.

 

“Darien Shares”
means the common shares in the capital of Darien prior to giving effect to the Consolidation and the Reclassification.

 

“Disclosing
Party” means any Party or its representatives disclosing Confidential Information to the Receiving Party.

 

“Effective Date”
has the meaning ascribed to such term in Section 1.6(e).

 

“Effective Time”
means the time of filing of the Amalgamation Application with the British Columbia Registrar of Companies under the BCBCA on the
Effective Date.

 

“Employee Plans”
means all plans, arrangements, agreements, programs, policies or practices, whether oral or written, formal or informal, funded
or unfunded, maintained for employees, including, without limitation:

 

		(a)	any employee benefit plan or material fringe benefit plan;

 

		(b)	any retirement savings plan, pension plan or compensation plan, including, without limitation,
any defined benefit pension plan, defined contribution pension plan, group registered retirement savings plan or supplemental pension
or retirement income plan;

 

		(c)	any bonus, profit sharing, deferred compensation, incentive compensation, stock compensation, stock
purchase, hospitalization, health, drug, dental, legal disability, insurance (including without limitation unemployment insurance),
vacation pay, severance pay or other benefit plan, arrangement or practice with respect to employees or former employees, individuals
working on contract, or other individuals providing services of a kind normally provided by employees; and

 

		(d)	where applicable, all statutory plans, including, without limitation, the Canada or Québec
Pension Plans.

 

“Encumbrance”
includes any mortgage, pledge, assignment, charge, lien, claim, security interest, adverse interest, adverse claim, other third
party interest or encumbrance of any kind, whether contingent or absolute, and any agreement, option, right or privilege (whether
by Law, contract or otherwise) capable of becoming any of the foregoing.

 

“Environmental
Laws” means Laws regulating or pertaining to the generation, discharge, emission or release into the environment
(including without limitation ambient air, surface water, groundwater or land), spill, receiving, handling, use, storage,
containment, treatment, transportation, shipment, disposition or remediation or clean-up of any Hazardous Substance, as such
Laws are amended and in effect as of the date hereof.

 

    A-3

     

    

 

“Financing”
means the private placement of Subscription Receipts prior to the Effective Date.

 

“Government”
means:

 

		(a)	the government of Canada, the United States or any other foreign country;

 

		(b)	the government of any Province, State, county, municipality, city, town, or district of Canada,
the United States or any other foreign country; and

 

		(c)	any ministry, agency, department, authority, commission, administration, corporation, bank, court,
magistrate, tribunal, arbitrator, instrumentality, or political subdivision of, or within the geographical jurisdiction of, any
government described in the foregoing clauses (a) and (b), and for greater certainty, includes the TSX-V and the CSE.

 

“Government
Official” means:

 

		(a)	any official, officer, employee, or representative of, or any person acting in an official capacity
for or on behalf of, any Governmental Authority;

 

		(b)	any salaried political party official, elected member of political office or candidate for political
office; or

 

		(c)	any company, business, enterprise or other entity owned or controlled by any person described in
the foregoing clauses.

 

“Governmental”
means pertaining to any Government.

 

“Governmental
Authority” means and includes, without limitation, any Government or other political subdivision of any Government, judicial,
public or statutory instrumentality, court, tribunal, commission, board, agency (including those pertaining to health, safety or
the environment), authority, body or entity, or other regulatory bureau, authority, body or entity having legal jurisdiction over
the activity or Person in question and, for greater certainty, includes the TSX-V.

 

“Hazardous Substance”
means any pollutant, contaminant, waste or chemical or any toxic, radioactive, ignitable, corrosive, reactive or otherwise hazardous
or deleterious substance, waste or material, including hydrogen sulphide, arsenic, cadmium, copper, lead, mercury, petroleum, polychlorinated
biphenyls, asbestos and urea-formaldehyde insulation, and any other material, substance, pollutant or contaminant regulated or
defined pursuant to, or that could result in liability under, any applicable Environmental Law.

 

“IFRS”
means International Financial Reporting Standards.

 

“ITA”
means the Income Tax Act (Canada), as amended and all regulations thereunder.

 

“Income Tax”
means any Tax based on or measured by income (including without limitation, based on net income, gross income, income as specifically
defined, earnings, profits or selected items of income, earnings or profits); and any interest, penalties and additions to tax
with respect to any such tax (or any estimate or payment thereof).

 

    A-4

     

    

 

“knowledge of
Vireo” means the actual knowledge of Kyle Kingsley, Amber Shimpa, Ari Hoffnung, Chad Martinson and Judd Nordquist, without
additional inquiry.

 

“Law”
means any of the following of, or issued by, any Government, in effect on or prior to the date hereof, including any amendment,
modification or supplementation of any of the following from time to time subsequent to the original enactment, adoption, issuance,
announcement, promulgation or granting thereof and prior to the date hereof: any statute, law, act, ordinance, code, rule or regulation
of any writ, injunction, award, decree, judgment or order.

 

“Letter of Intent”
means the letter of intent, dated January 10, 2019, between Vireo and Darien related to the Business Combination.

 

“Liability”
of any Person means and include:

 

		(a)	any right against such Person to payment, whether or not such right is reduced to judgment, liquidated,
unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured or unsecured;

 

		(b)	any right against such Person to an equitable remedy for breach of performance if such breach gives
rise to a right to payment, whether or not such right to any equitable remedy is reduced to judgment, fixed, contingent, matured,
unmatured, disputed, undisputed, secured or unsecured; and

 

		(c)	any obligation of such Person for the performance of any covenant or agreement (whether for the
payment of money or otherwise).

 

“Listing Statement”
means the listing statement of Darien to be prepared in accordance with the requirements of the CSE and filed with the CSE in connection
with the Business Combination.

 

“Material Adverse
Change” or “Material Adverse Effect” means, with respect to any Party any change, event, effect, occurrence
or state of facts that has, or could reasonably be expected to constitute a material adverse change in respect of or to have a
material adverse effect on, the business, properties, assets, liabilities (including contingent liabilities), results of operations
or financial condition of the party and its subsidiaries, as applicable, taken as a whole. The foregoing shall not include any
change or effects attributable to: (i) any matter that has been disclosed in writing to the other Party or any of its Advisers
by a Party or any of its Advisers in connection with this Agreement; (ii) changes relating to general economic, political or financial
conditions; or (iii) relating to the state of securities markets in general.

 

“Merger Agreement”
has the meaning ascribed to such term in Section 1.6(a).

 

“Multiple Voting
Shares” means the Multiple Voting Shares of Darien and will have the terms and conditions set out in Schedule C.

 

“Name Change”
means the change of Darien’s name to “Vireo Health International, Inc.”, or such other name designated by Vireo
and that is acceptable to the regulatory authorities.

 

“New Darien
Directors” has the meaning ascribed to such term in Section 1.11.

 

“Non-Breaching
Party” has the meaning ascribed to such term in Section 7.2(b).

 

    A-5

     

    

 

“Parties”
and “Party” means the parties to this Agreement.

 

“penalty”
means any civil or criminal penalty (including any interest thereon), fine, levy, lien, assessment, charge, monetary sanction or
payment, or any payment in the nature thereof, of any kind, required to be made to any Government under any Law.

 

“Person”
means any corporation, partnership, limited liability company or partnership, joint venture, trust, unincorporated association
or organization, business, enterprise or other entity; any individual; and any Government.

 

“Receiving Party”
means any Party or its representatives receiving Confidential Information from a Disclosing Party.

 

“Reclassification”
means the reclassification of the Darien Shares into Subordinated Voting Shares.

 

“Subordinated
Voting Shares” means the Subordinated Voting Shares into which the Darien Shares will be reclassified and will have the
terms and conditions set out in Schedule C.

 

“Subscription
Receipt Agreement” means the subscription receipt agreement among Canadian Finco, Vireo, Eight Capital, Canaccord Genuity
Corp. and Odyssey Trust Company setting out the terms and conditions of the Subscription Receipts.

 

“Subscription
Receipts” has the meaning ascribed to such term in Section 1.3.

 

“subsidiary”
means, with respect to a specified corporation, any corporation of which more than fifty per cent (50%) of the outstanding shares
ordinarily entitled to elect a majority of the board of directors thereof (whether or not shares of any other class or classes
shall or might be entitled to vote upon the happening of any event or contingency) are at the time owned directly or indirectly
by such specified corporation, and shall include any corporation in like relation to a subsidiary.

 

“Super Voting
Shares” means the Super Voting Shares of Darien and will have the terms and conditions set out in Schedule C.

 

“Tax”
means any tax, levy, charge or assessment imposed by or due any Government, together with any interest, penalties, and additions
to tax relating thereto, including without limitation, any of the following:

 

		(a)	any Income Tax;

 

		(b)	any franchise, sales, use and value added tax or any license or withholding tax; any payroll, employment,
excise, severance, stamp, occupation, premium, windfall profits, alternative or add-on minimum tax; and any customs duties or other
taxes;

 

		(c)	any tax on property (real or personal, tangible or intangible, based on transfer or gains);

 

		(d)	any estimate or payment of any of tax described in the foregoing clauses (a) through (d); and

 

		(e)	any interest, penalties and additions to tax with respect to any tax (or any estimate or payment
thereof) described in the foregoing clauses (a) through (e).

 

“Tax Return”
means all returns, amended returns and reports (including elections, declarations, disclosures, schedules, estimates and information
returns) required to be supplied to a Tax authority with jurisdiction over the applicable party.

 

    A-6

     

    

 

“TSX-V”
means the TSX Venture Exchange.

 

“US Merger”
has the meaning ascribed to such term in the recitals to this Agreement.

 

“US
Subco” means Darien Merger Sub, LLC,
a Delaware limited liability company and a wholly-owned subsidiary of Darien, created for the purpose of effecting the Business
Combination.

 

“US Subco Membership
Interests” means the limited liability company membership interests in the capital and profits of US Subco.

 

“US Subco Merger
Resolution” means the resolution of Darien, as sole holder of the US Subco Membership Interests, approving the Merger
and adopting the Merger Agreement.

 

“Vireo Common
Stock” means the common stock in the capital of Vireo.

 

“Vireo’s
Equity Incentive Plan” means the 2018 Equity Incentive Plan of Vireo.

 

“Vireo Group
Member” means and includes Vireo and any corporation, partnership or company in which Vireo beneficially owns or controls,
directly or indirectly, more than 50% of the equity, voting rights, profit interest, capital or other similar interest thereof
or any joint venture in which Vireo has a direct or indirect interest.

 

“Vireo Preferred
Stock” means, collectively, the Class A, Class B, Class C-1, Class C-2, Class C-3, Class C-4, Class C-5 and Class D preferred
stock in the capital of Vireo.

 

    A-7

     

    

 

Schedule B 

MERGER AGREEMENT

 

See Attached.

 

    B-1

     

    

 

Schedule C 

TERMS OF THE SUBORDINATE, SUPER VOTING AND MULTIPLE VOTING SHARES

 

Appendix
1

TO SCHEDULE C

 

Part 27:

 

		1.	An unlimited number of Subordinate Voting Shares, without nominal or par value, having attached
thereto the special rights and restrictions as set forth below:

 

(a)       Voting
Rights. Holders of Subordinate Voting Shares shall be entitled to notice of and to attend at any meeting of the shareholders
of the Company, except a meeting of which only holders of another particular class or series of shares of the Company shall have
the right to vote. At each such meeting holders of Subordinate Voting Shares shall be entitled to one vote in respect of each Subordinate
Voting Share held.

 

(b)       Alteration
to Rights of Subordinate Voting Shares. As long as any Subordinate Voting Shares remain outstanding, the Company will not,
without the consent of the holders of the Subordinate Voting Shares by separate special resolution, prejudice or interfere with
any right or special right attached to the Subordinate Voting Shares.

 

(c)       Dividends.
Holders of Subordinate Voting Shares shall be entitled to receive as and when declared by the directors, dividends in cash or property
of the Company. No dividend will be declared or paid on the Subordinate Voting Shares unless the Company simultaneously declares
or pays, as applicable, equivalent dividends (on an as-converted to Subordinate Voting Share basis) on the Multiple Voting Shares
and Super Voting Shares.

 

(d)       Liquidation,
Dissolution or Winding-Up. In the event of the liquidation, dissolution or winding-up of the Company, whether voluntary or
involuntary, or in the event of any other distribution of assets of the Company among its shareholders for the purpose of winding
up its affairs, the holders of Subordinate Voting Shares shall, subject to the prior rights of the holders of any shares of the
Company ranking in priority to the Subordinate Voting Shares be entitled to participate rateably along with all other holders of
Multiple Voting Shares (on an as-converted to Subordinate Voting Share basis), Subordinate Voting Shares and Super Voting Shares
(on an as-converted to Subordinate Voting Share basis).

 

(e)       Rights
to Subscribe; Pre-Emptive Rights. The holders of Subordinate Voting Shares are not entitled to a right of first refusal to
subscribe for, purchase or receive any part of any issue of Subordinate Voting Shares, or bonds, debentures or other securities
of the Company now or in the future.

 

(f)        Subdivision
or Consolidation. No subdivision or consolidation of the Subordinate Voting Shares, Multiple Voting Shares or Super Voting
Shares shall occur unless, simultaneously, the Subordinate Voting Shares, Multiple Voting Shares and Super Voting Shares are subdivided
or consolidated in the same manner or such other adjustment is made so as to maintain and preserve the relative rights of the holders
of the shares of each of the said classes.

 

    C-1

     

    

 

(g)       Conversion
of Subordinate Voting Shares Upon an Offer. In the event that an offer is made to purchase Multiple Voting Shares, and
the offer is one which is required, pursuant to applicable securities legislation or the rules of a stock exchange, if any,
on which the Multiple Voting Shares are then listed, to be made to all or substantially all the holders of Multiple Voting
Shares in a province or territory of Canada to which the requirement applies, each Subordinate Voting Share shall become
convertible at the option of the holder into Multiple Voting Shares at the inverse of the Conversion Ratio (as defined in
Part 29) then in effect, at any time while the offer is in effect until one day after the time prescribed by applicable
securities legislation for the offeror to take up and pay for such shares as are to be acquired pursuant to the offer. The
conversion right may only be exercised in respect of Subordinate Voting Shares for the purpose of depositing the resulting
Multiple Voting Shares under the offer, and for no other reason. In such event, the transfer agent for the Subordinated
Voting Shares shall deposit under the offer the resulting Multiple Voting Shares, on behalf of the holder. To exercise such
conversion right, the holder or his or its attorney duly authorized in writing shall:

 

(i)          give
written notice to the transfer agent of the exercise of such right, and of the number of Subordinate Voting Shares in respect of
which the right is being exercised;

 

(ii)         deliver
to the transfer agent the share certificate or certificates representing the Subordinate Voting Shares in respect of which the
right is being exercised, if applicable; and

 

(iii)        pay
any applicable stamp tax or similar duty on or in respect of such conversion.

 

No share certificates
representing the Multiple Voting Shares, resulting from the conversion of the Subordinate Voting Shares will be delivered to the
holders on whose behalf such deposit is being made. If Multiple Voting Shares, resulting from the conversion and deposited pursuant
to the offer, are withdrawn by the holder or are not taken up by the offeror, or the offer is abandoned, withdrawn or terminated
by the offeror or the offer otherwise expires without such Multiple Voting Shares being taken up and paid for, the Multiple Voting
Shares resulting from the conversion will be re-converted into Subordinate Voting Shares at the then Conversion Ratio and a share
certificate representing the Subordinate Voting Shares will be sent to the holder by the transfer agent. In the event that the
offeror takes up and pays for the Multiple Voting Shares resulting from conversion, the transfer agent shall deliver to the holders
thereof the consideration paid for such shares by the offeror.

 

    C-2

     

    

 

Appendix
2

TO SCHEDULE C

 

Part 28:

 

		1.	An unlimited number of Super Voting Shares, without nominal or par value, having attached thereto
the special rights and restrictions as set forth below:

 

(a)       Issuance.
The Super Voting Shares are only issuable in connection with the closing of the Business Combination. For the purposes hereof,
 “Business Combination” means the business combination of the Company, Vireo, Vireo Finco (Canada) Inc. and certain
subsidiaries of the Company to be formed under applicable Canadian and U.S. law, pursuant to a business combination agreement entered
into prior to the filing of these articles.

 

(b)       Voting
Rights. Holders of Super Voting Shares shall be entitled to notice of and to attend at any meeting of the shareholders of the
Company, except a meeting of which only holders of another particular class or series of shares of the Company shall have the right
to vote. At each such meeting, holders of Super Voting Shares will be entitled to 10 votes in respect of each Subordinate Voting
Share into which such Super Voting Share could ultimately then be converted, which for greater certainty, shall initially equal
1,000 votes per Super Voting Share.

 

(c)       Alteration
to Rights of Super Voting Shares. As long as any Super Voting Shares remain outstanding, the Company will not, without the
consent of the holders of the Super Voting Shares by separate special resolution, prejudice or interfere with any right or special
right attached to the Super Voting Shares. Consent of the holders of a majority of the outstanding Super Voting Shares shall be
required for any action that authorizes or creates shares of any class having preferences superior to or on a parity with the Super
Voting Shares. In connection with the exercise of the voting rights contained in this paragraph (b) each holder of Super Voting
Shares will have one vote in respect of each Super Voting Share held.

 

(d)       Dividends.
The holder of Super Voting Shares shall have the right to receive dividends, out of any cash or other assets legally available
therefor, pari passu (on an as converted to Subordinated Voting Share basis) as to dividends and any declaration or payment of
any dividend on the Subordinate Voting Shares. No dividend will be declared or paid on the Super Voting Shares unless the Company
simultaneously declares or pays, as applicable, equivalent dividends (on an as-converted to Subordinate Voting Share basis) on
the Subordinate Voting Shares and Multiple Voting Shares.

 

(e)       Liquidation,
Dissolution or Winding-Up. In the event of the liquidation, dissolution or winding-up of the Company, whether voluntary or
involuntary, or in the event of any other distribution of assets of the Company among its shareholders for the purpose of winding
up its affairs, the holders of Super Voting Shares will, subject to the prior rights of the holders of any shares of the Company
ranking in priority to the Super Voting Shares, be entitled to participate rateably along with all other holders of Super Voting
Shares (on an as-converted to Subordinate Voting Share basis), Subordinate Voting Shares and Multiple Voting Shares (on an as-converted
to Subordinate Voting Share basis).

 

(f)        Rights
to Subscribe; Pre-Emptive Rights. The holders of Super Voting Shares are not entitled to a right of first refusal to subscribe
for, purchase or receive any part of any issue of Subordinate Voting Shares, or bonds, debentures or other securities of the Company
now or in the future.

 

    C-3

     

    

 

(g)       Conversion.
Holders of Super Voting Shares shall have conversion rights as follows (the “Conversion Rights”):

 

(i)        Right
to Convert. Each Super Voting Share shall be convertible, at the option of the holder thereof, at any time after the date of
issuance of such share at the office of the Company or any transfer agent for such shares, into one fully paid and non-assessable
Multiple Voting Share as is determined by multiplying the number of Super Voting Shares held by the Conversion Ratio applicable
to such share, determined as hereafter provided, in effect on the date the Super Voting Share is surrendered for conversion. The
initial “Conversion Ratio” for Super Voting Shares shall be one Multiple Voting Share for each Super Voting
Share; provided, however, that the Conversion Ratio shall be subject to adjustment as set forth in subsections (iv) and (v).

 

(ii)       Automatic
Conversion. A Super Voting Share shall automatically be converted without further action by the holder thereof into one Multiple
Voting Share upon the transfer by the holder thereof to anyone other than (i) another Initial Holder, an immediate family member
of an Initial Holder or a transfer for purposes of estate or tax planning to a company or person that is wholly beneficially owned
by an Initial Holder or immediate family members of an Initial Holder or which an Initial Holder or immediate family members of
an Initial Holder are the sole beneficiaries thereof; or (ii) a party approved by the Company. Each Super Voting Share held by
a particular Initial Holder shall automatically be converted without further action by the holder thereof into Multiple Voting
Shares at the Conversion Ratio for each Super Voting Share held if at any time the aggregate number of issued and outstanding Super
Voting Shares beneficially owned, directly or indirectly, by that Initial Holder and that Initial Holder’s predecessor or
transferor, permitted transferees and permitted successors, divided by the number of Super Voting Shares beneficially owned, directly
or indirectly, by that Initial Holder (and the Initial Holder’s predecessor or transferor, permitted transferees and permitted
successors) as at the date of completion of the Business Combination is less than 50%. The holders of Super Voting Shares will,
from time to time upon the request of the Company, provide to the Company evidence as to such holders’ direct and indirect
beneficial ownership (and that of its permitted transferees and permitted successors) of Super Voting Shares to enable the Company
to determine if its right to convert has occurred. For purposes of these calculations, a holder of Super Voting Shares will be
deemed to beneficially own Super Voting Shares held by an intermediate company or fund in proportion to their equity ownership
of such company or fund, unless such company or fund holds such shares for the benefit of such holder, in which case they will
be deemed to own 100% of such shares held for their benefit. For the purposes hereof, “Initial Holders” means Kyle
Kingsley.

 

(iii)      Mechanics
of Conversion. Before any holder of Super Voting Shares shall be entitled to convert Super Voting Shares into Multiple Voting
Shares, the holder thereof shall surrender the certificate or certificates therefor, duly endorsed, at the office of the Company
or of any transfer agent for Multiple Voting Shares, and shall give written notice to the Company at its principal corporate office,
of the election to convert the same and shall state therein the name or names in which the certificate or certificates for Multiple
Voting Shares are to be issued (each, a “Conversion Notice”). The Company shall (or shall cause its transfer
agent to), as soon as practicable thereafter, issue and deliver at such office to such holder, or to the nominee or nominees of
such holder, a certificate or certificates for the number of Multiple Voting Shares to which such holder shall be entitled as aforesaid.
Such conversion shall be deemed to have been made immediately prior to the close of business on the date of such surrender of the
shares of Super Voting Shares to be converted, and the person or persons entitled to receive the Multiple Voting Shares issuable
upon such conversion shall be treated for all purposes as the record holder or holders of such Multiple Voting Shares as of such
date.

 

(iv)      Adjustments
for Distributions. In the event the Company shall declare a distribution to holders of Multiple Voting Shares payable in
securities of other persons, evidences of indebtedness issued by the Company or other persons, assets (excluding cash
dividends) or options or rights not otherwise causing adjustment to the Conversion Ratio (a
 “Distribution”), then, in each such case for the purpose of this subsection (g)(iv), the holders of Super
Voting Shares shall be entitled to a proportionate share of any such Distribution as though they were the holders of the
number of Multiple Voting Shares into which their Super Voting Shares are convertible as of the record date fixed for the
determination of the holders of Multiple Voting Shares entitled to receive such Distribution.

 

    C-4

     

    

 

(v)       Recapitalizations;
Stock Splits. If at any time or from time-to-time, the Company shall (i) effect a recapitalization of the Multiple Voting Shares;
(ii) issue Multiple Voting Shares as a dividend or other distribution on outstanding Multiple Voting Shares; (iii) subdivide the
outstanding Multiple Voting Shares into a greater number of Multiple Voting Shares; (iv) consolidate the outstanding Multiple Voting
Shares into a smaller number of Multiple Voting Shares; or (v) effect any similar transaction or action (each, a “Recapitalization”),
provision shall be made so that the holders of Super Voting Shares shall thereafter be entitled to receive, upon conversion of
Super Voting Shares, the number of Multiple Voting Shares or other securities or property of the Company or otherwise, to which
a holder of Multiple Voting Shares deliverable upon conversion would have been entitled on such Recapitalization. In any such case,
appropriate adjustment shall be made in the application of the provisions of this Section (g) with respect to the rights of the
holders of Super Voting Shares after the Recapitalization to the end that the provisions of this Section (g) (including adjustment
of the Conversion Ratio then in effect and the number of Multiple Voting Shares issuable upon conversion of Super Voting Shares)
shall be applicable after that event as nearly equivalent as may be practicable.

 

(vi)      No
Fractional Shares and Certificate as to Adjustments. No fractional Multiple Voting Shares shall be issued upon the conversion
of any share or shares of Super Voting Shares and the number of Multiple Voting Shares to be issued shall be rounded up to the
nearest whole Multiple Voting Share. Whether or not fractional Multiple Voting Shares are issuable upon such conversion shall be
determined on the basis of the total number of shares of Super Voting Shares the holder is at the time converting into Multiple
Voting Shares and the number of Multiple Voting Shares issuable upon such aggregate conversion.

 

(vii)     Adjustment
Notice. Upon the occurrence of each adjustment or readjustment of the Conversion Ratio pursuant to this Section (g), the Company,
at its expense, shall promptly compute such adjustment or readjustment in accordance with the terms hereof and prepare and furnish
to each holder a certificate setting forth such adjustment or readjustment and showing in detail the facts upon which such adjustment
or readjustment is based. The Company shall, upon the written request at any time of any holder, furnish or cause to be furnished
to such holder a like certificate setting forth (A) such adjustment and readjustment, (B) the Conversion Ratio for Super Voting
Shares at the time in effect, and (C) the number of Multiple Voting Shares and the amount, if any, of other property which at the
time would be received upon the conversion of a Super Voting Share.

 

(viii)    Effect
of Conversion. All Super Voting Shares which shall have been surrendered for conversion as herein provided shall no longer
be deemed to be outstanding and all rights with respect to such shares shall immediately cease and terminate at the time of conversion
(the “Conversion Time”), except only the right of the holders thereof to receive Multiple Voting Shares in exchange
therefor and to receive payment in lieu of any fraction of a share otherwise issuable upon such conversion.

 

    C-5

     

    

 

(ix)       Notice.
On the date of a Mandatory Conversion, the Company will issue or cause its transfer agent to issue each holder of Super Voting
Shares of record on the Mandatory Conversion Date certificates representing the number of Multiple Voting Shares into which the
Super Voting Shares are so converted and each certificate representing the Super Voting Shares shall be null and void.

 

(x)        Retirement
of Shares. Any Super Voting Share converted shall be retired and cancelled and may not be reissued as shares of such series
or any other class or series, and the Company may thereafter take such appropriate action (without the need for shareholder action)
as may be necessary to reduce the authorized number of Super Voting Shares accordingly.

 

(xi)       Disputes.
Any holder of Super Voting Shares that beneficially owns more than 5% of the issued and outstanding Super Voting Shares may submit
a written dispute as to the determination of the conversion ratio or the arithmetic calculation of the Conversion Ratio, the conversion
ratio of Multiple Voting Shares to Subordinate Voting Shares (the “Subordinate Conversion Ratio”) or of the
40% Threshold, FPI Protective Restriction or the Beneficial Ownership Limitation (each as defined in the terms of the Multiple
Voting Shares) by the Company to the Board of Directors with the basis for the disputed determinations or arithmetic calculations.
The Company shall respond to the holder within five (5) Business Days of receipt, or deemed receipt, of the dispute notice with
a written calculation of the Conversion Ratio, Subordinate Conversion Ratio, 40% Threshold, FPI Protective Restriction or the Beneficial
Ownership Limitation, as applicable. If the holder and the Company are unable to agree upon such determination or calculation of
the Conversion Ratio, Subordinate Conversion Ratio, FPI Protective Restriction or the Beneficial Ownership Limitation, as applicable,
within five (5) Business Days of such response, then the Company and the holder shall, within one (1) Business Day thereafter submit
the disputed arithmetic calculation of the Conversion Ratio, Subordinate Conversion Ratio, FPI Protective Restriction or the Beneficial
Ownership Limitation to the Company’s independent, outside accountant. The Company, at the Company’s expense, shall
cause the accountant to perform the determinations or calculations and notify the Company and the holder of the results no later
than five (5) Business Days from the time it receives the disputed determinations or calculations. Such accountant’s determination
or calculation, as the case may be, shall be binding upon all parties absent demonstrable error.

 

(h)       Notices
of Record Date. Except as otherwise provided under applicable law, in the event of any taking by the Company of a record of
the holders of any class of securities for the purpose of determining the holders thereof who are entitled to receive any dividend
(other than a cash dividend) or other distribution, any right to subscribe for, purchase or otherwise acquire any shares of any
class or any other securities or property, or to receive any other right, the Company shall mail to each holder of Super Voting
Shares, at least 20 days prior to the date specified therein, a notice specifying the date on which any such record is to be taken
for the purpose of such dividend, distribution or right, and the amount and character of such dividend, distribution or right.

 

 

    C-6

     

    

 

Appendix
3

TO sCHEDULE C

 

Part 29:

 

		1.	An unlimited number of Multiple Voting Shares, without nominal or par value, having attached thereto
the special rights and restrictions as set forth below:

 

(a)       Voting
Rights. Holders of Multiple Voting Shares shall be entitled to notice of and to attend at any meeting of the shareholders of
the Company, except a meeting of which only holders of another particular class or series of shares of the Company shall have the
right to vote. At each such meeting, holders of Multiple Voting Shares will be entitled to one vote in respect of each Subordinate
Voting Share into which such Multiple Voting Share could ultimately then be converted, which for greater certainty, shall initially
equal 100 votes per Multiple Voting Share.

 

(b)       Alteration
to Rights of Multiple Voting Shares. As long as any Multiple Voting Shares remain outstanding, the Company will not, without
the consent of the holders of the Multiple Voting Shares and Super Voting Shares by separate special resolution, prejudice or interfere
with any right or special right attached to the Multiple Voting Shares. Consent of the holders of a majority of the outstanding
Multiple Voting Shares and Super Voting Shares shall be required for any action that authorizes or creates shares of any class
having preferences superior to or on a parity with the Multiple Voting Shares. In connection with the exercise of the voting rights
contained in this paragraph (b) each holder of Multiple Voting Shares will have one vote in respect of each Multiple Voting Share
held.

 

(c)       Dividends.
The holder of Multiple Voting Shares shall have the right to receive dividends, out of any cash or other assets legally available
therefor, pari passu (on an as converted basis, assuming conversion of all Multiple Voting Shares into Subordinate Voting Shares
at the Conversion Ratio) as to dividends and any declaration or payment of any dividend on the Subordinate Voting Shares. No dividend
will be declared or paid on the Multiple Voting Shares unless the Company simultaneously declares or pays, as applicable, equivalent
dividends (on an as-converted to Subordinate Voting Share basis) on the Subordinate Voting Shares and Super Voting Shares.

 

(d)       Liquidation,
Dissolution or Winding-Up. In the event of the liquidation, dissolution or winding-up of the Company, whether voluntary or
involuntary, or in the event of any other distribution of assets of the Company among its shareholders for the purpose of winding
up its affairs, the holders of Multiple Voting Shares will, subject to the prior rights of the holders of any shares of the Company
ranking in priority to the Multiple Voting Shares, be entitled to participate rateably along with all other holders of Multiple
Voting Shares (on an as-converted to Subordinate Voting Share basis), Subordinate Voting Shares and Super Voting Shares (on an
as-converted to Subordinate Voting Share basis).

 

(e)       Rights
to Subscribe; Pre-Emptive Rights. The holders of Multiple Voting Shares are not entitled to a right of first refusal to subscribe
for, purchase or receive any part of any issue of Subordinate Voting Shares, or bonds, debentures or other securities of the Company
now or in the future.

 

(f)        Conversion.
Subject to the Conversion Restrictions set forth in this section (f), holders of Multiple Voting Shares Holders shall have conversion
rights as follows (the “Conversion Rights”):

 

(i)        Right
to Convert. Each Multiple Voting Share shall be convertible, at the option of the holder thereof, at any time after the
date of issuance of such share at the office of the Company or any transfer agent for such shares, into fully paid and
non-assessable Subordinate Voting Shares as is determined by multiplying the number of Multiple Voting Shares by the
Conversion Ratio applicable to such share, determined as hereafter provided, in effect on the date the Multiple Voting Share
is surrendered for conversion. The initial “Conversion Ratio” for shares of Multiple Voting Shares shall
be 100 Subordinate Voting Shares for each Multiple Voting Share; provided, however, that the Conversion Ratio shall be
subject to adjustment as set forth in subsections (f)(viii) and (ix).

 

    C-7

     

    

 

(ii)       Conversion
Limitations. Before any holder of Multiple Voting Shares shall be entitled to convert the same into Subordinate Voting Shares,
the Board of Directors (or a committee thereof) shall designate an officer of the Company to determine if any Conversion Limitation
set forth in Section (f)(iii) or (v) shall apply to the conversion of Multiple Voting Shares.

 

(iii)      Foreign
Private Issuer Protection Limitation: The Company will use commercially reasonable efforts to maintain its status as a “foreign
private issuer” (as determined in accordance with Rule 3b-4 under the Securities Exchange Act of 1934, as amended (the “Exchange
Act”). Accordingly, the Company shall not effect any conversion of Multiple Voting Shares, and the holders of Multiple
Voting Shares shall not have the right to convert any portion of the Multiple Voting Shares, pursuant to Section (f) or otherwise,
to the extent that after giving effect to all permitted issuances after such conversions of Multiple Voting Shares, the aggregate
number of Subordinate Voting Shares, Super Voting Shares and Multiple Voting Shares held of record, directly or indirectly, by
residents of the United States (as determined in accordance with Rules 3b-4 and 12g3-2(a) under the Exchange Act (“U.S.
Residents”)) would exceed forty percent (40%) (the “40% Threshold”) of the aggregate number of Subordinate
Voting Shares, Super Voting Shares and Multiple Voting Shares issued and outstanding after giving effect to such conversions (the
 “FPI Protective Restriction”). The Board of Directors may by resolution increase the 40% Threshold to an amount
not to exceed 50% and in the event of any such increase all references to the 40% Threshold herein, shall refer instead to the
amended threshold set by such resolution.

 

Conversion Limitations.
In order to effect the FPI Protection Restriction, each holder of Multiple Voting Shares will be subject to the 40% Threshold based
on the number of Multiple Voting Shares held by such holder as of the date of the initial issuance of the Multiple Voting Shares
and thereafter at the end of each of the Company’s subsequent fiscal quarters (each, a “Determination Date”),
calculated as follows:

 

X = [(A x 0.4) - B] x (C/D)

 

Where on the Determination Date:

 

X =       Maximum
Number of Subordinate Voting Shares Available For Issue upon Conversion of Multiple Voting Shares by a holder.

 

A =       The
Number of Subordinate Voting Shares, Multiple Voting Shares and Super Voting Shares issued and outstanding on the Determination
Date.

 

B =       Aggregate
number of Subordinate Voting Shares, Multiple Voting Shares and Super Voting Shares held of record, directly or indirectly, by
U.S. Residents on the Determination Date.

 

C =       Aggregate
number of Multiple Voting Shares held by holder on the Determination Date.

 

D =       Aggregate
number of all Multiple Voting Shares on the Determination Date.

 

    C-8

     

    

 

For purposes of this subsection
(f)(iii), the Board of Directors (or a committee thereof) shall designate an officer of the Company to determine as of each Determination
Date: (A) the 40% Threshold and (B) the FPI Protective Restriction. Within thirty (30) days of the end of each Determination Date
(a “Notice of Conversion Limitation”), the Company will provide each holder of record a notice of the FPI Protection
Restriction and the impact the FPI Protective Provision has on the ability of each holder to exercise the right to convert Multiple
Voting Shares held by the holder. To the extent that requests for conversion of Multiple Voting Shares subject to the FPI Protection
Restriction would result in the 40% Threshold being exceeded, the number of such Multiple Voting Shares eligible for conversion
held by a particular holder shall be prorated relative to the number of Multiple Voting Shares submitted for conversion. To the
extent that the FPI Protective Restriction contained in this Section (f) applies, the determination of whether Multiple Voting
Shares are convertible shall be in the sole discretion of the Company.

 

(iv)       Mandatory
Conversion. Notwithstanding subsection (f)(iii), the Company may require each holder of Multiple Voting Shares to convert all,
and not less than all, the Multiple Voting Shares at the applicable Conversion Ratio (a “Mandatory Conversion”)
if at any time all the following conditions are satisfied (or otherwise waived by special resolution of holders of Multiple Voting
Shares):

 

(A)       the
Subordinate Voting Shares issuable upon conversion of all the Multiple Voting Shares are registered for resale and may be sold
by the holder thereof pursuant to an effective registration statement and/or prospectus covering the Subordinate Voting Shares
under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”);

 

(B)        the
Company is subject to the reporting requirements of Section 13 or 15(d) of the U.S. Exchange Act; and

 

(C)        the
Subordinate Voting Shares are listed or quoted (and are not suspended from trading) on a recognized North American stock exchange
or by way of reverse takeover transaction on the Toronto Stock Exchange, the TSX Venture Exchange, the Canadian Securities Exchange
or Aequitas NEO Exchange (or any other stock exchange recognized as such by the Ontario Securities Commission).

 

The Company will issue or cause
its transfer agent to issue each holder of Multiple Voting Shares of record a Mandatory Conversion Notice at least 20 days prior
to the record date of the Mandatory Conversion, which shall specify therein, (i) the number of Subordinate Voting Shares into which
the Multiple Voting Shares are convertible and (ii) the address of record for such older. On the record date of a Mandatory Conversion,
the Company will issue or cause its transfer agent to issue each holder of record on the Mandatory Conversion Date certificates
representing the number of Subordinate Voting Shares into which the Multiple Voting Shares are so converted and each certificate
representing the Multiple Voting Shares shall be null and void.

 

(v)       Beneficial
Ownership Restriction: The Company shall not effect any conversion of Multiple Voting Shares, and a holder thereof shall
not have the right to convert any portion of its Multiple Voting Shares, pursuant to section (f) or otherwise, to the extent
that after giving effect to such issuance after conversion as set forth on the applicable Conversion Notice, the Holder
(together with the Holder’s Affiliates (each, an “Affiliate” as defined in Rule 12b-2 under the U.S.
Exchange Act), and any other persons acting as a group together with the Holder or any of the Holder’s Affiliates),
would beneficially own in excess of 9.99% of the number of the Subordinate Voting Shares outstanding immediately after giving
effect to the issuance of Subordinate Voting Shares issuable upon conversion of the Multiple Voting Shares subject to the
Conversion Notice (the “Beneficial Ownership Limitation”).

 

    C-9

     

    

 

For purposes of the foregoing
sentence, the number of Subordinate Voting Shares beneficially owned by the holder and its Affiliates shall include the number
of Subordinate Voting Shares issuable upon conversion of Multiple Voting Shares with respect to which such determination is being
made, but shall exclude the number of Subordinate Voting Shares which would be issuable upon (i) conversion of the remaining, non-converted
portion of Multiple Voting Shares beneficially owned by the holder or any of its Affiliates and (ii) exercise or conversion of
the unexercised or non-converted portion of any other securities of the Company subject to a limitation on conversion or exercise
analogous to the limitation contained herein beneficially owned by the holder or any of its Affiliates. In any case, the number
of outstanding Subordinate Voting Shares shall be determined after giving effect to the conversion or exercise of securities of
the Company, including Multiple Voting Shares subject to the Conversion Notice, by the holder or its Affiliates since the date
as of which such number of outstanding Subordinate Voting Shares was reported. Except as set forth in the preceding sentence, for
purposes of this Section (f)(v), beneficial ownership shall be calculated in accordance with Section 13(d) of the U.S. Exchange
Act and the rules and regulations promulgated thereunder based on information provided by the shareholder to the Company in the
Conversion Notice.

 

To the extent that the limitation
contained in this Section (f)(v) applies and the Company can convert some, but not all, of such Multiple Voting Shares submitted
for conversion, the Company shall convert Multiple Voting Shares up to the Beneficial Ownership Limitation in effect, based on
the number of Multiple Voting Shares submitted for conversion on such date. The determination of whether Multiple Voting Shares
are convertible (in relation to other securities owned by the holder together with any Affiliates) and of which Multiple Voting
Shares are convertible shall be in the sole discretion of the Company, and the submission of a Conversion Notice shall be deemed
to be the holder’s certification as to the holder’s beneficial ownership of Subordinate Voting Shares of the Company,
and the Company shall have the right, but not the obligation, to verify or confirm the accuracy of such beneficial ownership.

 

The holder, upon notice to the
Company, may increase or decrease the Beneficial Ownership Limitation provisions of this Section (f)(v), provided that the Beneficial
Ownership Limitation in no event exceeds 19.99% of the number of the Subordinate Voting Shares outstanding immediately after giving
effect to the issuance of Subordinate Voting Shares upon conversion of Multiple Voting Shares subject to the Conversion Notice
and the provisions of this Section (f)(v) shall continue to apply. Any increase in the Beneficial Ownership Limitation will not
be effective until the 61st day after such notice is delivered to the Company. The provisions of this paragraph shall be construed
and implemented in a manner otherwise than in strict conformity with the terms of this Section (f)(v) to correct this paragraph
(or any portion hereof) which may be defective or inconsistent with the intended Beneficial Ownership Limitation herein contained
or to make changes or supplements necessary or desirable to properly give effect to such limitation. The limitations contained
in this paragraph shall apply to a successor holder of Multiple Voting Shares.

 

(vi)      Disputes.
In the event of a dispute as to the number of Subordinate Voting Shares issuable to a Holder in connection with a conversion of
Multiple Voting Shares, the Company shall issue to the Holder the number of Subordinate Voting Shares not in dispute and resolve
such dispute in accordance with Section(f)(xiii).

 

    C-10

     

    

 

(vii)     Mechanics
of Conversion. Before any holder of Multiple Voting Shares shall be entitled to convert Multiple Voting Shares into Subordinate
Voting Shares, the holder thereof shall surrender the certificate or certificates therefor, duly endorsed, at the office of the
Company or of any transfer agent for Subordinate Voting Shares, and shall give written notice to the Company at its principal corporate
office, of the election to convert the same and shall state therein the name or names in which the certificate or certificates
for Subordinate Voting Shares are to be issued (each, a “Conversion Notice”). The Company shall (or shall cause
its transfer agent to), as soon as practicable thereafter, issue and deliver at such office to such holder, or to the nominee or
nominees of such holder, a certificate or certificates for the number of Subordinate Voting Shares to which such holder shall be
entitled as aforesaid. Such conversion shall be deemed to have been made immediately prior to the close of business on the date
of such surrender of the Multiple Voting Shares to be converted, and the person or persons entitled to receive the Subordinate
Voting Shares issuable upon such conversion shall be treated for all purposes as the record holder or holders of such Subordinate
Voting Shares as of such date.

 

(viii)    Adjustments
for Distributions. In the event the Company shall declare a distribution to holders of Subordinate Voting Shares payable in
securities of other persons, evidences of indebtedness issued by the Company or other persons, assets (excluding cash dividends)
or options or rights not otherwise causing adjustment to the Conversion Ratio (a “Distribution”), then, in each
such case for the purpose of this subsection (f)(viii), the holders of Multiple Voting Shares shall be entitled to a proportionate
share of any such Distribution as though they were the holders of the number of Subordinate Voting Shares into which their Multiple
Voting Shares are convertible as of the record date fixed for the determination of the holders of Subordinate Voting Shares entitled
to receive such Distribution.

 

(ix)       Recapitalizations;
Stock Splits. If at any time or from time-to-time, the Company shall (i) effect a recapitalization of the Subordinate Voting
Shares; (ii) issue Subordinate Voting Shares as a dividend or other distribution on outstanding Subordinate Voting Shares; (iii)
subdivide the outstanding Subordinate Voting Shares into a greater number of Subordinate Voting Shares; (iv) consolidate the outstanding
Subordinate Voting Shares into a smaller number of Subordinate Voting Shares; or (v) effect any similar transaction or action (each,
a “Recapitalization”), provision shall be made so that the holders of Multiple Voting Shares shall thereafter
be entitled to receive, upon conversion of Multiple Voting Shares, the number of Subordinate Voting Shares or other securities
or property of the Company or otherwise, to which a holder of Subordinate Voting Shares deliverable upon conversion would have
been entitled on such Recapitalization. In any such case, appropriate adjustment shall be made in the application of the provisions
of this Section (f) with respect to the rights of the holders of Multiple Voting Shares after the Recapitalization to the end that
the provisions of this Section (f) (including adjustment of the Conversion Ratio then in effect and the number of Multiple Voting
Shares issuable upon conversion of Multiple Voting Shares) shall be applicable after that event as nearly equivalent as may be
practicable.

 

(x)        No
Fractional Shares and Certificate as to Adjustments. No fractional Subordinate Voting Shares shall be issued upon the conversion
of any Multiple Voting Shares and the number of Subordinate Voting Shares to be issued shall be rounded up to the nearest whole
Subordinate Voting Share. Whether or not fractional Subordinate Voting Shares are issuable upon such conversion shall be determined
on the basis of the total number of shares of Multiple Voting Shares the holder is at the time converting into Subordinate Voting
Shares and the number of Subordinate Voting Shares issuable upon such aggregate conversion.

 

    C-11

     

    

 

(xi)       Adjustment
Notice. Upon the occurrence of each adjustment or readjustment of the Conversion Ratio pursuant to this Section (f), the Company,
at its expense, shall promptly compute such adjustment or readjustment in accordance with the terms hereof and prepare and furnish
to each holder of Multiple Voting Shares a certificate setting forth such adjustment or readjustment and showing in detail the
facts upon which such adjustment or readjustment is based. The Company shall, upon the written request at any time of any holder
of Multiple Voting Shares, furnish or cause to be furnished to such holder a like certificate setting forth (A) such adjustment
and readjustment, (B) the Conversion Ratio for Multiple Voting Shares at the time in effect, and (C) the number of Subordinate
Voting Shares and the amount, if any, of other property which at the time would be received upon the conversion of a Multiple Voting
Share.

 

(xii)      Effect
of Conversion. All Multiple Voting Shares which shall have been surrendered for conversion as herein provided shall no longer
be deemed to be outstanding and all rights with respect to such shares shall immediately cease and terminate at the time of conversion
(the “Conversion Time”), except only the right of the holders thereof to receive Subordinate Voting Shares in
exchange therefor and to receive payment in lieu of any fraction of a share otherwise issuable upon such conversion.

 

(xiii)     Disputes.
Any holder of Multiple Voting Shares that beneficially owns more than 5% of the issued and outstanding Multiple Voting Shares may
submit a written dispute as to the determination of the conversion ratio or the arithmetic calculation of the conversion ratio
of Multiple Voting Shares to Subordinate Voting Shares, the Conversion Ratio, 40% Threshold, FPI Protective Restriction or the
Beneficial Ownership Limitation by the Company to the Board of Directors with the basis for the disputed determinations or arithmetic
calculations. The Company shall respond to the holder within five (5) Business Days of receipt, or deemed receipt, of the dispute
notice with a written calculation of the conversion ratio, the Conversion Ratio, 40% Threshold, FPI Protective Restriction or the
Beneficial Ownership Limitation, as applicable. If the holder and the Company are unable to agree upon such determination or calculation
of the Conversion Ratio, FPI Protective Restriction or the Beneficial Ownership Limitation, as applicable, within five (5) Business
Days of such response, then the Company and the holder shall, within one (1) Business Day thereafter submit the disputed arithmetic
calculation of the conversion ratio, Conversion Ratio, FPI Protective Restriction or the Beneficial Ownership Limitation to the
Company’s independent, outside accountant. The Company, at the Company’s expense, shall cause the accountant to perform
the determinations or calculations and notify the Company and the holder of the results no later than five (5) Business Days from
the time it receives the disputed determinations or calculations. Such accountant’s determination or calculation, as the
case may be, shall be binding upon all parties absent demonstrable error.

 

(g)       Conversion
Upon an Offer. In addition to the conversion rights set out in Section (f), in the event that an offer is made to purchase
Subordinate Voting Shares, and the offer is one which is required, pursuant to applicable securities legislation or the rules of
a stock exchange, if any, on which the Subordinate Voting Shares are then listed, to be made to all or substantially all the holders
of Subordinate Voting Shares in a province or territory of Canada to which the requirement applies, each Multiple Voting Share
shall become convertible at the option of the holder into Subordinate Voting Shares at the Conversion Ratio then in effect, at
any time while the offer is in effect until one day after the time prescribed by applicable securities legislation for the offeror
to take up and pay for such shares as are to be acquired pursuant to the offer. The conversion right in this Section (g) may only
be exercised in respect of Multiple Voting Shares for the purpose of depositing the resulting Subordinate Voting Shares under the
offer, and for no other reason. In such event, the transfer agent for the Subordinate Voting Shares shall deposit under the offer
the resulting Subordinate Voting Shares, on behalf of the holder.

 

    C-12

     

    

 

To exercise such conversion right, the
holder or his or its attorney duly authorized in writing shall:

 

(i)        give
written notice to the transfer agent of the exercise of such right, and of the number of Multiple Voting Shares in respect of which
the right is being exercised;

 

(ii)      deliver
to the transfer agent the share certificate or certificates representing the Multiple Voting Shares in respect of which the right
is being exercised, if applicable; and (iii) pay any applicable stamp tax or similar duty on or in respect of such conversion.

 

No share certificates representing the
Subordinate Voting Shares, resulting from the conversion of the Multiple Voting Shares will be delivered to the holders on whose
behalf such deposit is being made. If Subordinate Voting Shares, resulting from the conversion and deposited pursuant to the offer,
are withdrawn by the holder or are not taken up by the offeror, or the offer is abandoned, withdrawn or terminated by the offeror
or the offer otherwise expires without such Subordinate Voting Shares being taken up and paid for, the Subordinate Voting Shares
resulting from the conversion will be reconverted into Multiple Voting Shares at the inverse of Conversion Ratio then in effect
and a share certificate representing the Multiple Voting Shares will be sent to the holder by the transfer agent. In the event
that the offeror takes up and pays for the Subordinate Voting Shares resulting from conversion, the transfer agent shall deliver
to the holders thereof the consideration paid for such shares by the offeror.

 

(h)       Notices
of Record Date. Except as otherwise provided under applicable law, in the event of any taking by the Company of a record of
the holders of any class of securities for the purpose of determining the holders thereof who are entitled to receive any dividend
(other than a cash dividend) or other distribution, any right to subscribe for, purchase or otherwise acquire any shares of any
class or any other securities or property, or to receive any other right, the Company shall mail to each holder of Multiple Voting
Shares, at least 20 days prior to the date specified therein, a notice specifying the date on which any such record is to be taken
for the purpose of such dividend, distribution or right, and the amount and character of such dividend, distribution or right.

 

Appendix
4

TO AMENDMENT RESOLUTION

 

Part 30:

 

Redemption by the Company.

 

		(1)	Interpretation. For the purposes of this Section,
the following terms have the meanings specified below:

 

“Business”
means the conduct of any activities relating to the cultivation, manufacturing and dispensing of cannabis and cannabis - derived
products in the United States, which include the owning and operating of cannabis licenses.

 

“Fair Market Value”
will equal: (i) the volume weighted average trading price (VWAP) of the Subordinate Voting Shares for the five (5) Trading Day
period immediately after the date of the Redemption Notice on the Canadian Securities Exchange or other national or regional securities
exchange on which such shares are listed, or (ii) if no such quotations are available, the fair market value per share of the Subordinate
Voting Shares to be redeemed as set forth in the Valuation Opinion.

 

    C-13

     

    

 

“Governmental Authority”
or “Governmental Authorities” means any United States or foreign, federal, state, county, regional, local or
municipal government, any agency, administration, board, bureau, commission, department, service, or other instrumentality or political
subdivision of the foregoing, and any Person with jurisdiction exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government or monetary policy (including any court or arbitration authority).

 

“Licenses”
means all licenses, permits, approvals, orders, authorizations, registrations, findings of suitability, franchises, exemptions,
waivers and entitlements issued by a Governmental Authority required for, or relating to, the conduct of the Business.

 

“Ownership”
(and derivatives thereof) means (i) ownership of record as evidenced in the Company’s share register, (ii) “beneficial
ownership” as defined in Section 1 of the Business Corporations Act (British Columbia), or (iii) the power to exercise
control or direction over a security;

 

“Person” means
an individual, partnership, corporation, limited liability company, trust or any other entity.

 

“Redemption”
has the meaning ascribed in Section 5.

 

“Redemption Date”
means the date on which the Company will redeem and pay for the Subordinate Voting Shares pursuant to Section 5. The Redemption
Date will be not less than thirty (30) Trading Days following the date of the Redemption Notice unless a Governmental Authority
requires that the Subordinate Voting Shares be redeemed as of an earlier date, in which case, the Redemption Date will be such
earlier date and if there is an outstanding Redemption Notice, the Company will issue an amended Redemption Notice reflecting the
new Redemption Date forthwith.

 

“Redemption Notice”
has the meaning ascribed thereto in Section 6.

 

“Redemption Price”
means the price per Subordinate Voting Share to be paid by the Company on the Redemption Date for the redemption of Shares pursuant
to Section 5 and will be equal to the Fair Market Value of a Subordinate Voting Share, unless otherwise required by any Governmental
Authority;

 

“Significant Interest”
means ownership of five percent (5%) or more of all of the issued and outstanding Subordinate Voting Shares of the Company, assuming
conversion of all Multiple Voting Shares and Super Voting Shares into Subordinate Voting Shares.

 

“Subject Shareholder”
means a person, a group of persons acting in concert or a group of persons who, the board reasonably believes, are acting jointly
or in concert.

 

“Trading Day”
means a day on which trades of the Subordinate Voting Shares are executed on the Canadian Securities Exchange or any national or
regional securities exchange on which the Subordinate Voting Shares are listed.

 

“Unsuitable
Person” means (i) any person (including a Subject Shareholder) with a Significant Interest who a Governmental
Authority granting the Licenses has determined to be unsuitable to own Subordinate Voting Shares; or (ii) any person
(including a Subject Shareholder) with a Significant Interest whose ownership of Subordinate Voting Shares may result in the
loss, suspension or revocation (or similar action) with respect to any Licenses or in the Company being unable to obtain any
new Licenses in the normal course, including, but not limited to, as a result of such person's failure to apply for a
suitability review from or to otherwise fail to comply with the requirements of a Governmental Authority, as determined by
the board, in its sole discretion, after consultation with legal counsel and if a license application has been filed, after
consultation with the applicable Governmental Authority.

 

    C-14

     

    

 

“Valuation Opinion”
means a valuation and fairness opinion from an investment banking firm of nationally recognized standing in Canada (qualified to
perform such task and which is disinterested in the contemplated redemption and has not in the then past two years provided services
for a fee to the Company or its affiliates) or a disinterested nationally recognized accounting firm.

 

		(2)	Subject to Section 4, no Subject Shareholder will acquire or dispose of a Significant Interest,
directly or indirectly, in one or more transactions, without providing 15 days' advance written notice to the Company by mail sent
to the Company's registered office to the attention of the Corporate Secretary.

 

		(3)	If the board reasonably believes that a Subject Shareholder may have failed to comply with the
provisions of Section 2, the Company may apply to the Supreme Court of British Columbia, or such other court of competent jurisdiction
for an order directing that the Subject Shareholder disclose the number of Shares held.

 

		(4)	The provisions of Sections 2 and 3 will not apply to the ownership, acquisition or disposition
of Subordinate Voting Shares as a result of:

 

		(a)	any transfer of Subordinate Voting Shares occurring by operation of law including, inter alia,
the transfer of Subordinate Voting Shares of the Company to a trustee in bankruptcy;

 

		(b)	an acquisition or proposed acquisition by one or more underwriters or portfolio managers who hold
Subordinate Voting Shares for the purposes of distribution to the public or for the benefit of a third party provided that such
third party is in compliance with Section 2; or

 

		(c)	the conversion, exchange or exercise of securities of the Company (other than the Subordinate Voting
Shares) duly issued or granted by the Company, into or for Subordinate Voting Shares, in accordance with their respective terms.

 

		(5)	At the option of the Company, Shares owned by an Unsuitable Person may be redeemed by the Company
(the "Redemption'') for the Redemption Price out of funds lawfully available on the Redemption Date. Shares redeemable
pursuant to this Section 5 will be redeemable at any time and from time to time pursuant to the terms hereof.

 

		(6)	In the case of a Redemption, the Company will send a written notice to the holder of the Shares
called for Redemption, which will set forth: (i) the Redemption Date, (ii) the number of Subordinate Voting Shares to be redeemed
on the Redemption Date, (iii) the formula pursuant to which the Redemption Price will be determined and the manner of payment therefor,
(iv) the place where such Subordinate Voting Shares (or certificate thereto, as applicable) will be surrendered for payment, duly
endorsed in blank or accompanied by proper instruments of transfer, (v) a copy of the Valuation Opinion (if the Resulting Issuer
is no longer listed on the Canadian Securities Exchange or another recognized securities exchange), and (vi) any other requirement
of surrender of the Subordinate Voting Shares to be redeemed (the "Redemption Notice"). The Redemption Notice
may be conditional such that the Company need not redeem the Subordinate Voting Shares owned by an Unsuitable Person on the Redemption
Date if the board determines, in its sole discretion, that such Redemption is no
longer advisable or necessary on or before the Redemption Date. The Company will send a written notice confirming the amount of
the Redemption Price as soon as possible following the determination of such Redemption Price.

 

    C-15

     

    

 

		(7)	The Company may pay the Redemption Price by using its existing cash resources, incurring debt,
issuing additional Subordinate Voting Shares, issuing a promissory note in the name of the Unsuitable Person, any other means source
permitted by applicable law, or by using a combination of the foregoing sources of funding.

 

		(8)	To the extent required by applicable laws, the Company may deduct and withhold any tax from the
Redemption Price. To the extent any amounts are so withheld and are timely remitted to the applicable Governmental Authority, such
amounts shall be treated for all purposes herein as having been paid to the Person in respect of which such deduction and withholding
was made.

 

		(9)	On and after the date the Redemption Notice is delivered, any Unsuitable Person owning Subordinate
Voting Shares called for Redemption will cease to have any voting rights with respect to such Subordinate Voting Shares and on
and after the Redemption Date specified therein, such holder will cease to have any rights whatsoever with respect to such Subordinate
Voting Shares other than the right to receive the Redemption Price, without interest, on the Redemption Date; provided, however,
that if any such Subordinate Voting Shares come to be owned solely by persons other than an Unsuitable Person (such as by transfer
of such Subordinate Voting Shares to a liquidating trust, subject to the approval of any applicable Governmental Authority), such
persons may exercise voting rights of such Subordinate Voting Shares and the board may determine, in its sole discretion, not to
redeem such Subordinate Voting Shares. Following any Redemption in accordance with the terms of this Schedule, the redeemed Subordinate
Voting Shares will be cancelled.

 

		(10)	All notices given by the Company to holders of Subordinate Voting Shares pursuant to this Schedule,
including the Redemption Notice, will be in writing and will be deemed given when delivered by personal service, overnight courier
or first-class mail, postage prepaid, to the holder's registered address as shown on the Company's share register.

 

		(11)	The Company's right to redeem Subordinate Voting Shares pursuant to this Schedule will not be exclusive
of any other right the Company may have or hereafter acquire under any agreement or any provision of the articles or notice of
articles of the Company or otherwise with respect to the acquisition by the Company of Subordinate Voting Shares or any restrictions
on holders thereof.

 

		(12)	In connection with the conduct of its Business, the Company may require that a Subject Shareholder
provide to one or more Governmental Authorities, if and when required, information and fingerprints for a criminal background check,
individual history form(s), and other information required in connection with applications for Licenses.

 

		(13)	In the event that any provision (or portion of a provision) of this Section or the application
thereof becomes or is declared by a court of competent jurisdiction to be illegal, void or unenforceable, the remainder of this
Section (including the remainder of such provision, as applicable) will continue in full force and effect.

 

    C-16Exhibit 10.2

 

VIREO HEALTH, INC.

 

2018 EQUITY INCENTIVE
PLAN

 

ARTICLE 1.

EFFECTIVE DATE, OBJECTIVES
AND DURATION

 

1.1             
Purpose of Plan. The purpose of the Vireo Health, Inc. 2018 Equity Incentive Plan (the “Plan”) is to
attract and retain employees, directors, officers and Consultants, and to advance the interests of the Company and its shareholders
by enabling the Company and its Affiliates to motivate key employees, directors, and Consultants by providing an incentive to such
individuals through equity participation in the Company and by rewarding such individuals who contribute to the achievement by
the Company of its economic objectives.

 

1.2             
Effective Date of Plan. The Plan shall become effective January 1, 2018, or, if later, the date it is approved by
the Company’s shareholders, which shall be considered the date of its adoption for purposes of Treasury Regulation §1.422-2(b)(2)(i).
No Awards shall be made prior to the Effective Date.

 

1.3             
Duration of Plan. This Plan shall commence on the Effective Date and shall remain in effect, subject to the right
of the Board or the Committee to amend or terminate this Plan at any time pursuant to Article 15 hereof, until all Awards have
expired or terminated, the tenth anniversary of the Effective Date, or the date all Shares subject to this Plan have been distributed,
whichever occurs first (the “Termination Date”), provided that termination of this Plan shall not adversely affect
any Awards outstanding on the date of termination.

 

ARTICLE 2.

DEFINITIONS

 

Whenever used in this Plan, the following terms
shall have the meanings set forth below:

 

2.1             
“Affiliate” of the Company means any entity that directly, or indirectly through one or more intermediaries,
controls or is controlled by, or is under common control with the Company.

 

2.2             
“Applicable Laws” means all applicable laws, rules, regulations and requirements, including, but not limited
to, all applicable U.S. federal or state laws, any stock exchange rules or regulations, and the applicable laws, rules or regulations
of any other country or jurisdiction where Awards are granted under the Plan or Participants reside or provide services, as such
laws, rules and regulations shall be in effect from time to time.

 

2.3             
“Award” means Options (including non-qualified options and Incentive Stock Options), Restricted Shares, Restricted
Share Units, Stock Appreciation Rights, Performance Units (which may be paid in cash or Shares), Performance Shares, Deferred Awards,
Dividend Equivalents, and Other Stock-Based Awards granted under this Plan.

 

2.4             
“Award Agreement” means the written agreement (which may be in paper or electronic form as determined by the
Committee) by which an Award shall be evidenced.

 

 2.5              “Board” means the Board of Directors of the Company.

 

    

     

    

 

2.6            
“Cashless Exercise” means a program approved by the Committee in which payment of the Option exercise price
or tax withholding obligations may be satisfied, in whole or in part, with Shares subject to the Option, including by delivery
of an irrevocable direction to a securities broker (on a form prescribed by the Committee) to sell Shares and to deliver all or
part of the sale proceeds to the Company in payment of the aggregate exercise price and, if applicable, the amount necessary to
satisfy the Company’s withholding obligations.

 

2.7             
“Cause” means, unless otherwise defined in an Award Agreement or a Participant’s employment agreement
with the Company, in which case such alternative definition will control, Participant's action or inaction that is materially adverse
to the interests of the Company or any Affiliate, as determined by the Committee in good faith, and in its sole discretion, including,
but not limited to Participant's:

 

(i)        neglect
of his or her duties and responsibilities to the Company or its Affiliates, after notice and a reasonable opportunity to cure
(not to exceed ten (10) days);

 

(ii)      
misappropriation of funds, properties or assets of the Company or its Affiliates, intentional tort(s), fraud or other material
dishonesty with respect to the Company or its Affiliates, or other willful misconduct that could reasonably be expected to be materially
harmful to the business, interests or reputation of the Company or its Affiliates;

 

(iii)      conviction of a crime constituting a felony, including the entry of a plea of guilty or no contest by the Participant to
a charge of a crime constituting a felony, or materially and adversely affecting the Company, or the Participant's prior or future
pre-trial diversion, conviction, or plea of guilty or no contest to any crime which constitutes a crime of breach of trust or dishonesty;

 

(iv)     
removal from the Participant's position with the Company or any Affiliate by action of any regulatory authority;

 

(v)       actions or inactions resulting in the imposition of fines, penalties or assessments against the Company and/or any of its
Affiliates by any regulatory authority or material injury to the Company or an Affiliate;

 

(vi)      breach
of any employment, non-competition or non-solicitation agreement entered into by the Participant for the benefit of the Company
and its Affiliates;

 

 (vii)    breach of fiduciary duties to the Company or any Affiliate; or

 

(viii)   
commission of a crime which, in the judgment of the Committee, resulted or is likely to result in damage or injury, financial
or otherwise, to the Company or an Affiliate.

 

2.8            
“Change of Control,” unless otherwise defined in the Award Agreement, shall be deemed to have occurred if:

 

 (i)    Continuity Directors cease to constitute a majority of the members of the Board;

 

(ii)    any
person or group (as such terms are defined in Section 13(d) of the Exchange Act) has acquired ownership of stock of the Company
that constitutes more than 50% of the total fair market value or total voting power of the outstanding stock of the Company, but
a Change of Control will not be deemed to have occurred if such acquisition is for the purpose of providing financing to the Company,
is by a group that consists solely of beneficial owners of the Company as of the effective date of the Plan, is the result of
a repurchase by the Company of its voting securities, or is by an entity owned in substantially the same proportions by the persons
who own the Company’s voting capital stock immediately before the transaction;

 

    2

     

    

 

(iii)    
a sale, transfer or disposition of all or substantially all of the Company’s assets other than to (a) a corporation
or other entity of which at least a majority of its combined voting power is owned directly or indirectly by the Company, (b) a
corporation or other entity owned directly or indirectly by the holders of capital stock of the Company in substantially the same
proportions as their ownership of Common Stock (or imputed ownership of Common Stock through the ownership of preferred stock of
the Company), or (c) an entity in which the holders of a majority of the Company’s voting shares immediately prior to the
transaction continue to hold a majority of the total voting power represented by the shares of the Company’s (or the surviving
entity’s) voting capital stock immediately after the transaction;

 

(iv)    
a merger, consolidation, or other business combination transaction of the Company with or into another corporation, entity
or person other than an entity in which the holders of a majority of the Company’s voting shares immediately prior to the
transaction continue to hold a majority of the total voting power represented by the shares of the Company’s (or the surviving
entity’s) voting capital stock immediately after the transaction.

 

Notwithstanding
the foregoing, to the extent that a change in the form or time of payment of an Award that constitutes deferred compensation under
Code Section 409A is required upon a Change of Control, no Change of Control will be considered to have occurred for purposes of
determining the form or time of payment unless such event constitutes a permissible payment event under Code Section 409A.

 

2.9           
“Code” means the Internal Revenue Code of 1986 (and any successor Internal Revenue Code), as amended from time
to time. References to a particular section of the Code include references to regulations and rulings thereunder and to successor
provisions.

 

2.10         
“Committee” means a committee established by the Board to administer the Plan under Article 3, and so long as
the Company has a class of its equity securities registered under Section 12 of the Exchange Act, it shall consist of two or more
Non-Employee Directors, each of whom shall be (a) an independent director within the meaning of the stock exchange rules and regulations,
and (b) a non-employee director within the meaning of Exchange Act Rule 16b-3.

 

 2.11          “Common Stock” means the common stock of the Company, $0.00001 par value.

 

 2.12          “Company” means Vireo Health, Inc., a Delaware corporation.

 

2.13         
“Consultant” means a person, excluding employees and non-employee directors, who performs bona fide services
(other than capital-raising services) for the Company or an Affiliate as a consultant or advisor.

 

2.14         
“Continuity Directors” of the Company means any individuals who are members of the Board on the Effective Date
and any individual who subsequently becomes a member of the Board whose election, or nomination for election by the Company’s
shareholders, was approved by a vote of at least a majority of the Continuity Directors (either by specific vote or by approval
of the Company’s proxy statement in which such individual is named as a nominee for director without objection to such nomination)
or by shareholders representing a majority of the issued and outstanding shares of the capital stock of the Company as of the
date of the adoption of this Plan.

 

    3

     

    

 

 

 2.15           “Deferred Award” means a right granted under Article 10.

 

2.16         
“Disability” means the disability of the Participant such as would entitle the Participant to receive disability
income benefits pursuant to the long-term disability plan of the Company or Subsidiary then covering the Participant or, if no
such plan exists or is applicable to the Participant, the permanent and total disability of the Participant within the meaning
of Section 22(e)(3) of the Code. Notwithstanding the foregoing, to the extent an Award that constitutes deferred compensation under
Code Section 409A provides for a change in the form or time of payment upon a Participant’s disability, a Participant will
only be considered to have a Disability if the disability constitutes a permissible payment event under Code Section 409A.

 

2.17         
“Dividend Equivalent” means a right, subject to any limitations in this Plan, to receive payments equal to dividends
or property, if and when paid or distributed, on Shares.

 

 2.18          “Effective Date” means the date the Plan is effective, as described in Section 1.2.

 

2.19         
“Eligible Person” means any employee (including any officer) or non-employee director of, or non-employee Consultant
to, the Company or any Affiliate, or potential employee (including a potential officer) of, non-employee director of, or non-employee
Consultant to, the Company or an Affiliate.

 

 2.20          “Employee” means an employee of the Company or an Affiliate.

 

2.21         
“Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time. References to a particular
section of the Exchange Act include references to successor provisions.

 

2.22         
“Fair Market Value” means (a) with respect to any property other than Shares, the fair market value of such
property determined by such methods or procedures as shall be established from time to time by the Committee, and (b) with respect
to Shares, as of any date, the value of a Share determined in good faith, from time to time, by the Committee in its sole discretion,
based on a reasonable application of a reasonable valuation method, provided that if the Shares are readily tradable on an established
securities exchange, the Fair Market Value of the Share shall be based upon the closing price on the principal securities market
on which it trades on the date for which it is being determined, or if no sale of Shares occurred on that date, on the next preceding
date on which a sale of Shares occurred, as reported in The Wall Street Journal or such other source as the Committee deems reliable.

 

2.23         
“Good Reason” means, unless otherwise defined in an Award Agreement or employment agreement between the Participant
and the Company or an Affiliate, the existence of any of the following conditions without the consent of the Participant, but
only if the Participant provides written notice to the Company or the Affiliate of the existence of the condition within 30 days
of its initial existence and neither the Company nor the Affiliate remedies the condition within 30 days after receiving such
notice: (a) a material reduction in the Participant’s base salary or target incentive opportunity, (b) a requirement that
the Participant be based more than fifty (50) miles from where the Participant’s office is located immediately prior to
the Change of Control, (c) a material adverse change in the Participant’s status or position as an executive of the Company
or an Affiliate as in effect immediately prior to the Change of Control, meaning, without limitation, any adverse change in the
Participant’s status or position(s) as a result of a material diminution in the Participant’s authority, duties or
responsibilities, or (d) the Company’s or Affiliate’s material breach of any agreement under which the Participant
provides services to the Company or an Affiliate.

 

    4

     

    

 

2.24         
“Grant Date” means the date on which the Committee (or its proper delegate) adopts a resolution, or takes other
appropriate action, expressly granting an Award to a Participant that specifies the key terms and conditions of the Award or, if
a later date is set forth in such resolution, then such date as is set forth in such resolution.

 

2.25         
“Incentive Stock Option” means an Option that is intended to meet the requirements of Code Section 422.

 

2.26         
“Minimum Consideration” means $.001 per Share or such other amount that is from time to time considered to be
capital for purposes of Section 154 of the Delaware General Corporation Law.

 

 2.27          “Non-Employee Director” means a member of the Board who is not an Employee.

 

 2.28          “Option” means an option granted under Article 6 of this Plan.

 

2.29         
“Option Price” means the price at which a Share may be purchased by a Participant pursuant to an Option.

 

2.30         
“Option Term” means the period beginning on the Grant Date of an Option and ending on the date such Option expires,
terminates or is cancelled.

 

2.31         
“Other Stock-Based Award” means a right granted under Article 12 hereof that relates to or is valued by reference
to Shares or other Awards relating to Shares.

 

 2.32          “Participant” means a person who has been granted an Award.

 

2.33          “Performance Measures” has the meaning set forth in Section 4.5.

 

2.34          “Performance Period” means the time period during which performance goals must be

met.

 

2.35          “Performance Share”
and “Performance Unit” have the respective meanings set forth in Article 9.

 

2.36         
“Period of Restriction” means the period during which, if conditions specified in the Award Agreement are not
satisfied, Restricted Shares are subject to forfeiture or the transfer of Restricted Shares is limited, or both.

 

2.37         
“Person” means any individual, sole proprietorship, partnership, joint venture, limited liability company, trust,
unincorporated organization, association, corporation, institution, public benefit corporation, entity or government instrumentality,
division, agency, body or department.

 

2.38         
“Restricted Share Units” means rights to receive, in cash and/or Shares as determined by the Committee, the
Fair Market Value of a Share, subject to such restrictions on transfer, vesting conditions, and other restrictions or limitations
as may be set forth in this Plan and the applicable Award Agreement.

 

    5

     

    

 

2.39         
“Restricted Shares” means Shares that are initially both subject to a risk of forfeiture and are nontransferable
until the conditions applicable to such Shares specified in the Award Agreement are satisfied.

 

2.40         
“Rule 16b-3” means Rule 16b-3 promulgated by the SEC under the Exchange Act, as amended from time to time, together
with any successor rule, as in effect from time to time.

 

2.41         
“SEC” means the United States Securities and Exchange Commission, or any successor thereto.

 

2.42         
“Section 16 Person” means a person who is subject to potential liability under Section 16(b) of the Exchange
Act with respect to transactions involving equity securities of the Company.

 

2.43         
“Securities Act” means the Securities Act of 1933, as amended from time to time. References to a particular
section of the Securities Act include references to successor provisions.

 

2.44         
“Share” means a share of Common Stock, and such other securities of the Company as may be substituted or resubstituted
for Shares pursuant to Section 4.2 hereof.

 

2.45         
“Stock Appreciation Right” or “SAR” means a right granted to an Eligible Person pursuant to Article
7.

 

2.46         
“Surviving Company” means the Company or the surviving corporation in any merger or consolidation, including
the Company if the Company is the surviving corporation, or the direct or indirect parent company of the Company or such surviving
corporation following a Change of Control.

 

2.47         
“Termination of Service” occurs, except where otherwise provided in the Award Agreement, on the first day on
which an individual is for any reason no longer providing services to the Company or an Affiliate in the capacity of an employee,
officer or non-employee director or with respect to an individual who is an employee, officer or non-employee director of or a
Consultant to an Affiliate, the first day on which such entity ceases to be an Affiliate of the Company. A Termination of Service
will occur on account of, or by reason of, a Change of Control if within two (2) years (or such other shorter period specified
in the Award Agreement) following the Change of Control the Participant is involuntarily terminated by the Company or an Affiliate
(other than for Cause) or voluntarily terminates employment for Good Reason. To the extent that an Award that constitutes deferred
compensation under Code Section 409A provides for payment upon a Participant’s Termination of Service, a Participant will
be considered to have a Termination of Service if the Participant has a “separation from service,” as defined under
Code Section 409A.

 

2.48         
“Vesting Date” means a date specified in the Award Agreement on which the Award or a portion thereof is eligible
to become nonforfeitable subject to any conditions specified therein.

 

    6

     

    

 

ARTICLE 3.

ADMINISTRATION

 

3.1           
General. The Plan will be administered by the Board or by a Committee, or a combination thereof. Such Committee,
if established, will act by majority approval of the members (but may also take action with the written consent of a majority
of the members of such committee), and a majority of the members of such Committee will constitute a quorum. To the extent consistent
with corporate law, the Committee may delegate to any officers of the Company the duties, power and authority of the Committee
under the Plan pursuant to such conditions or limitations as the Committee may establish; provided, however, that only the Committee
may exercise such duties, power and authority with respect to Eligible Recipients who are subject to Section 16 of the Exchange
Act. The Committee may exercise its duties, power and authority under the Plan in its sole and absolute discretion without the
consent of any Participant or other party, unless the Plan specifically provides otherwise. Each determination, interpretation
or other action made or taken by the Committee pursuant to the provisions of the Plan will be final, conclusive and binding for
all purposes and on all persons, including, without limitation, the Company, the shareholders of the Company, the Participants
and their respective successors-in-interest. No member of the Committee will be liable for any action or determination made in
good faith with respect to the Plan or any Award granted under the Plan.

 

3.2           
Authority of Committee. Subject to and to the extent consistent with the provisions of this Plan, the Committee has
full and final authority and sole discretion to:

 

 (i)             determine when, to whom and in what types and amounts Awards should be granted;

 

(ii)           
grant Awards in any number, and, in the Award Agreements, to determine the terms and conditions applicable to each Award
(including (a) the number of Shares or the amount of cash or other property to which an Award will relate, (b) any exercise price,
grant price or purchase price, (c) any limitation, restriction, or condition of exercise, (d) any schedule for or performance conditions
relating to the earning of the Award or the lapse of limitations, forfeiture restrictions, restrictions on exercisability or transferability,
(e) any performance goals including those relating to the Company and/or an Affiliate and/or any division or department thereof
and/or an individual, and/or (f) vesting based on the passage of time, based in each case on such considerations as the Committee
shall determine);

 

(iii)         
determine the benefit payable under any Performance Unit, Performance Share, Dividend Equivalent, or Other Stock-Based Award
and whether any performance or vesting conditions have been satisfied;

 

(iv)         
determine whether or not specific Awards shall be granted in connection with other specific Awards and, if so, whether they
shall be exercisable cumulatively with, or alternatively to, such other specific Awards and all other matters to be determined
in connection with an Award;

 

 (v)            determine the term of an Option or Stock Appreciation Right;

 

(vi)         
determine the amount, if any, that a Participant shall pay for Restricted Shares, when Restricted Shares (including Restricted
Shares acquired upon the exercise of an Option) shall be forfeited, and whether such shares shall be held in escrow;

 

(vii)        
determine whether, to what extent and under what circumstances an Award may be settled, or the exercise price of an Award
may be paid, in cash, Shares, other Awards or other property, or an Award may be accelerated, vested, canceled, forfeited or surrendered
or any terms of the Award may be waived, and to accelerate the exercisability of, and to accelerate or waive any or all of the
terms and conditions applicable to, any Award or any group of Awards for any reason;

 

(viii)       
determine with respect to Awards whether, to what extent and under what circumstances cash, Shares, other Awards, other
property and other amounts payable with respect to an Award will be deferred, either at the election of the Participant or if and
to the extent specified in the Award Agreement automatically or at the election of the Committee;

 

    7

     

    

 

(ix)           
offer to exchange or buy out any previously granted Award for a payment in cash, Shares or other Award;

 

(x)           
construe and interpret this Plan and to make all determinations, including factual determinations, necessary or advisable
for the administration of this Plan;

 

(xi)          
make, amend, suspend, waive and rescind rules, regulations, policies and procedures relating to this Plan, including rules
relating to electronic Award Agreements, rules with respect to the exercisability and nonforfeitability of Awards upon the Termination
of Service of a Participant, and rules (including special definitions where applicable) established for the compliance of this
Plan, Awards and Award Agreements with Code Section 409A;

 

(xii)         
appoint such agents as the Committee may deem necessary or advisable to administer this Plan;

 

(xiii)        
with the consent of the Participant, amend any such Award Agreement at any time, among other things, change the Option Price
or grant price for an SAR (but if such amendment reduces the Option Price or the SAR grant price or has the effect of “repricing”
an Option or SAR, as defined under applicable rules of the established stock exchange or quotation system on which the Company
Stock is then listed or traded, then such amendment may be made only with shareholder approval); provided that the consent of the
Participant shall not be required for any amendment to the extent it (a) does not materially adversely affect the rights of the
Participant, with such materiality determined without regard to any tax consequences of such amendment, (b) is necessary or advisable
(as determined by the Committee) to cause the Plan or the Award to comply with Applicable Laws or accounting or tax rules and regulations,
(c) imposes any “clawback” or recoupment provisions on any Awards in accordance with Section 5.8, or (d) is specifically
permitted by this Plan or an Award Agreement;

 

(xiv)        
cancel, with the consent of the Participant, outstanding Awards and grant new Awards in substitution therefor, or amend
outstanding Awards, subject to the limitations on actions having the effect of “repricing,” as defined in (xiii), above
and to Section 5.3;

 

(xv)         
make adjustments in the terms and conditions of, and the criteria in, Awards including in recognition of unusual or nonrecurring
events (including events described in Section 4.2) affecting the Company or an Affiliate or the financial statements of the Company
or an Affiliate, upon a Change of Control, or in response to changes in applicable laws, regulations or accounting principles;

 

(xvi)        
delegate its authority to one or more officers of the Company with respect to Awards that do not involve Section 16 Persons;

 

(xvii)       
determine whether each Option is to be an Incentive Stock Option or a non-qualified stock option;

 

(xviii)    designate
that the Performance-Based Exception shall apply to an Award (including a cash bonus) and select the Performance Measures
that will be used;

 

(xix)        
grant Awards to Eligible Persons who are foreign nationals, located outside of the United States, not compensated from
a United States payroll, or otherwise subject to (or could cause the Company to be subject to) legal or regulatory requirements
of countries outside of the United States, on such terms and conditions different from those specified in the Plan as may, in
the judgment of the Committee, be necessary or desirable to comply with applicable foreign laws and regulatory requirements and
to promote achievement of the purposes of the Plan, and, in connection therewith, establish such subplans and modify exercise
procedures and other Plan rules and procedures to the extent deemed necessary or desirable, and take any other action it deems
advisable to obtain local regulatory approvals or comply with any necessary local governmental regulatory exemptions;

 

    8

     

    

 

(xx)           
correct any defect or supply any omission or reconcile any inconsistency, and construe and interpret this Plan, the rules
and regulations, any Award Agreement or any other instrument entered into or relating to an Award under this Plan; and

 

(xxi)         
take any other action with respect to any matters relating to this Plan for which it is responsible and make all other decisions
and determinations as may be required under the terms of this Plan or as the Committee may deem necessary or advisable for the
administration of this Plan.

 

All
determinations on all matters relating to this Plan or any Award Agreement may be made in the sole and absolute discretion of the
Committee. If not specified in this Plan, the time at which the Committee must or may make any determination shall be determined
by the Committee, and any such determination may thereafter be modified by the Committee. Any action of the Committee with respect
to this Plan or any Award Agreement shall be final, conclusive and binding on all persons, including the Company, its Affiliates,
any Participant, any person claiming any rights under this Plan from or through any Participant, and shareholders, except to the
extent the Committee subsequently modifies its prior action or takes further action that is inconsistent with its prior action.
The express grant of any specific power to the Committee, and the taking of any action by the Committee, shall not be construed
as limiting any power or authority of the Committee. The Committee may delegate to officers or managers of the Company or any Affiliate
the authority, subject to such terms as the Committee shall determine, to perform specified functions under this Plan (subject
to Section 5.6(iii)). No member of the Committee shall be liable for any action or determination made with respect to this Plan
or any Award.

 

3.3             
Indemnification. To the maximum extent permitted by Applicable Laws, each member of the Committee (including officers
of the Company, if applicable), or of the Board, as applicable, shall be indemnified and held harmless by the Company against and
from (a) any loss, cost, liability or expense that may be imposed upon or reasonably incurred by such person in connection with
or resulting from any claim, action, suit or proceeding to which such person may be a party or in which such person may be involved
by reason of such person's action or failure to act under the Plan or pursuant to the terms and conditions of any Award except
for actions taken in bad faith or failures to act in bad faith, and (b) any and all amounts paid by such person in settlement thereof,
with the Company’s approval, or paid by such person in satisfaction of any judgment in any such claim, action, suit or proceeding;
provided that such person shall give the Company an opportunity, at its own expense, to handle and defend any such claim, action,
suit or proceeding before he or she undertakes to handle and defend it on his or her own behalf. The foregoing right of indemnification
shall not be exclusive of any other rights of indemnification to which such persons may be entitled under the Company’s Articles
of Incorporation, Certificate of Incorporation or Bylaws, by contract, as a matter of law or otherwise, or under any other power
that the Company may have to indemnify or hold harmless each such person.

 

    9

     

    

 

ARTICLE 4.

SHARES SUBJECT TO THE PLAN AND MAXIMUM AWARDS

 

4.1           
Number of Shares Available for Grants. Subject to adjustment as provided in Section 4.2, the number of Shares hereby
reserved for issuance under this Plan shall be one million (1,000,000) Shares (“Share Limit”). Shares issued pursuant
to Awards made pursuant to Section 5.5(ii) will not be charged against the Shares authorized for issuance under this Plan. The
Shares may be divided among various types of Awards as the Committee determines, but the maximum number of Shares that may be
issued pursuant to Incentive Stock Options shall be the Share Limit.

 

Only
Shares actually issued shall be charged against the Shares authorized for issuance under this Plan. If any Shares subject to an
Award granted hereunder are forfeited or such Award otherwise terminates without the delivery of such Shares, the Shares subject
to such Award, to the extent of any such forfeiture or termination, shall again be available for grant under this Plan. Notwithstanding
anything to the contrary contained herein, Shares subject to an Award under this Plan shall not again be made available for issuance
or delivery under this Plan if such shares are (a) tendered in payment of an Option, (b) delivered or withheld by the Company to
satisfy any tax withholding obligation, or (c) covered by a stock-settled Stock Appreciation Right or other Award that were not
issued upon the settlement of the Award.

 

Shares
delivered pursuant to this Plan may be, in whole or in part, authorized and unissued Shares, or treasury Shares, including Shares
repurchased by the Company for purposes of this Plan.

 

 4.2            Adjustment to Share Limit and Awards.

 

(i)            
If the Committee (or if the Company is not the surviving corporation in a corporation transaction, the board of directors
of the surviving corporation) determines that any extraordinary dividend or other distribution (whether in the form of cash, Shares,
or other property), recapitalization, forward or reverse stock split, subdivision, consolidation or reduction of capital, reorganization,
merger, consolidation, scheme of arrangement, split-up, spin-off or combination involving the Company or repurchase or exchange
of Shares or other securities of the Company or other rights to purchase Shares or other securities of the Company, or other similar
corporate transaction or event affects the Shares, such that the Committee (or the board of directors of the surviving corporation,
if applicable) determines that an adjustment is appropriate to prevent dilution or enlargement of the benefits or potential benefits
intended to be made available under this Plan, then the Committee (or the board of directors of the surviving corporation, if applicable)
shall, in such manner as it may deem equitable, and in a manner consistent with and not in violation of Code Section 409A, adjust
any or all of (a) the number and type of Shares (or other securities or property) with respect to which Awards may be granted,
(b) the number and type of Shares (or other securities or property) subject to outstanding Awards, (c) the grant or exercise price
with respect to any Award or, if deemed appropriate, make provision for a cash payment to the holder of an outstanding Award, (d)
the number and kind of Shares of outstanding Restricted Shares or relating to any other outstanding Award in connection with which
Shares are subject, and (e) the number of Shares with respect to which Awards may be granted to a Participant, as set forth in
Section 4.3. No adjustment may result in creation of a fractional Share under any Award, and any adjustment affecting an Option
or a SAR (including a Nonqualified Stock Option) shall be made in a manner that is in accordance with the substitution and assumption
rules set forth in Treasury Regulations 1.424-1 and the applicable guidance relating to Code section 409A.

 

(ii)            
Except as provided in Section 4.2(i), a Participant shall have no rights by reason of (i) any subdivision or consolidation
of Shares of any class, (ii) the payment of any dividend, or (iii) any other increase or decrease in the number of shares of any
class. Any issuance by the Company of Shares of any class, or securities convertible into Shares of any class, shall not affect,
and no adjustment by reason thereof shall be made with respect to, the number of Shares subject to any Award (including the Option
Price or SAR exercise price of Shares subject to an Option or an SAR). The grant of an Award pursuant to this Plan shall not affect
in any way the right or power of the Company to make adjustments, reclassifications, reorganizations, or changes of its capital
or business structure, to merge or consolidate, or to dissolve, liquidate, sell, or transfer all or any part of its business or
assets.

 

    10

     

    

 

ARTICLE 5.

ELIGIBILITY AND GENERAL CONDITIONS OF AWARDS

 

5.1             
Eligibility. The Committee may in its discretion grant Awards to any Eligible Person, whether or not he or she has
previously received an Award.

 

5.2             
Award Agreement. To the extent not set forth in this Plan, the terms and conditions of each Award shall be set forth
in an Award Agreement.

 

5.3            
Vesting and Termination of Service. Each Award Agreement will set forth the conditions under which the Award will
vest. Except as provided in an Award Agreement or as otherwise provided in Section 6.6, Section 7.4, and Section 16, all Options
or SARs that have not been exercised, or any other Awards that remain subject to a risk of forfeiture or which are not otherwise
vested, or which have outstanding Performance Periods, at the time of a Termination of Service shall be forfeited. The Committee
may impose such restrictions on any Shares acquired pursuant to the exercise or vesting of an Award as it may deem advisable, including
restrictions under applicable federal securities laws.

 

5.4            
Transferability of Awards. Except as provided in this Section 5.4, (a) during the lifetime of a Participant, only
the Participant or the Participant’s guardian or legal representative may exercise an Option or SAR, or receive payment with
respect to any other Award; and (b) no Award may be sold, assigned, transferred, exchanged or encumbered, voluntarily or involuntarily,
other than by will or the laws of descent and distribution. Any attempted transfer in violation of this Section 5.4 shall be of
no effect. The Committee may, however, provide in an Agreement or otherwise that an Award (other than an Incentive Stock Option)
may be transferred pursuant to a domestic relations order or may be transferable by gift to any “family member” (as
defined in General Instruction A(5) to Form S-8 under the Securities Act of 1933) of the Participant. Any Award held by a transferee
shall continue to be subject to the same terms and conditions that were applicable to that Award immediately before the transfer
thereof. For purposes of any provision of the Plan relating to notice to a Participant or to acceleration or termination of an
Award upon the death or Termination of Service of a Participant, the references to “Participant” shall mean the original
grantee of an Award and not any transferee.

 

 5.5              Stand-Alone and Substitute Awards.

 

(i)              
Subject to all Awards being granted in compliance with Code Section 409A, Awards granted under this Plan may, in the discretion
of the Committee, be granted either alone, in addition to, or in substitution for, any other Award granted under this Plan or
any award or benefit granted by the Company or any Affiliate under any other plan, program, arrangement, contract or agreement
(a “Non- Plan Award”); provided that if the stand-alone or Substitute Award is intended to qualify for the Performance-Based
Exception, it must separately satisfy the requirements of the Performance-Based Exception. If an Award is granted in substitution
for another Award or any Non-Plan Award, the Committee shall require the surrender of such other Award or Non-Plan Award in consideration
for the grant of the new Award. Awards granted in addition to other Awards or Non-Plan Awards may be granted either at the same
time as or at a different time from the grant of such other Awards or Non-Plan Awards.

 

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(ii)           
The Committee may, in its discretion and on such terms and conditions as the Committee considers appropriate in the circumstances,
grant Awards under this Plan (“Substitute Awards”) in substitution for stock and stock-based awards (“Acquired
Entity Awards”) held by current and former employees or non-employee directors of, or Consultants to, another corporation
or entity who become Eligible Persons as the result of a merger or consolidation of the employing corporation or other entity (the
 “Acquired Entity”) with the Company or an Affiliate or the acquisition by the Company or an Affiliate of property or
stock of the Acquired Entity immediately prior to such merger, consolidation or acquisition (“Acquisition Date”) in
order to preserve for the Participant the economic value of all or a portion of such Acquired Entity Award at such price as the
Committee determines necessary to achieve preservation of economic value and in a manner consistent with and not in violation of
Code Section 409A. The Share Limit of Article 4, and the limitations under Sections 6.3 and 7.3 with respect to Option Prices and
grant prices for SARs, shall not apply to Substitute Awards granted under this subsection (ii).

 

 5.6             Compliance with Rule 16b-3.

 

(i)             
Six-Month Holding Period Advice. Unless a Participant could otherwise dispose of or exercise a derivative security or dispose
of Shares delivered under this Plan without incurring liability under Section 16(b) of the Exchange Act, the Committee may advise
or require a Participant to comply with the following in order to avoid incurring liability under Section 16(b): (a) at least
six months must elapse from the date of acquisition of a derivative security under this Plan to the date of disposition of the
derivative security (other than upon exercise or conversion) or its underlying equity security, and (b) Shares granted or awarded
under this Plan other than upon exercise or conversion of a derivative security must be held for at least six months from the
date of grant of an Award.

 

(ii)           
Reformation to Comply with Exchange Act Rules. To the extent the Committee determines that a grant or other transaction
by a Section 16 Person should comply with applicable provisions of Rule 16b-3 (except for transactions exempted under alternative
Exchange Act rules), the Committee shall take such actions as necessary to make such grant or other transaction so comply, and
if any provision of this Plan or any Award Agreement relating to a given Award does not comply with the requirements of Rule 16b-3
as then applicable to any such grant or transaction, such provision will be construed or deemed amended, if the Committee so determines,
to the extent necessary to conform to the then applicable requirements of Rule 16b-3.

 

(iii)           
Rule 16b-3 Administration. Any function relating to a Section 16 Person shall be performed solely by the Committee if necessary
to ensure compliance with applicable requirements of Rule 16b-3, to the extent the Committee determines that such compliance is
desired. Each member of the Committee or person acting on behalf of the Committee shall be entitled to, in good faith, rely or
act upon any report or other information furnished to him by any officer, manager or other employee of the Company or any Affiliate,
the Company’s independent certified public accountants or any executive compensation consultant or attorney or other professional
retained by the Company to assist in the administration of this Plan.

 

5.7            
Cancellation and Rescission of Awards. Unless the Award Agreement specifies otherwise, the Committee may cancel,
rescind, suspend, withhold, or otherwise limit or restrict any unexercised Award at any time if the Participant is not in compliance
with all applicable provisions of the Award Agreement and this Plan or if the Participant has a Termination of Service for Cause.

 

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5.8           
Clawback Policy. Notwithstanding any other provision in this Plan or in any Award Agreement, any Award may be subject
to recovery under any law, governmental regulation or stock exchange listing requirement, including certain provisions of the Dodd-Frank
Wall Street Reform and Consumer Protection Act of 2010 or certain recovery provisions of the Sarbanes-Oxley Act of 2002, or any
other compensation clawback policy that is adopted by the Committee and that will require the Company to be able to claw back compensation
paid to an executive under certain circumstances. Any Participant or beneficiary receiving an Award acknowledges that the Award
may be clawed back by the Company in accordance with any policies and procedures adopted by the Committee in order to comply with
any law, governmental regulation or stock exchange listing requirement or as set forth in an Award Agreement.

 

5.9           
Restrictive Covenants and Forfeiture Events. The Committee may, in its sole and absolute discretion, place certain
restrictive covenants in an Award Agreement requiring the Participant to agree to refrain from certain actions, including certain
actions following a Termination of Service. The Committee may specify in an Award Agreement that the Participant’s rights,
payments and benefits with respect to an Award shall be subject to reduction, cancellation, forfeiture or recoupment upon the occurrence
of certain events, in addition to applicable vesting conditions of an Award. Such events may include, without limitation, breach
of non-competition, non-solicitation, confidentiality, or other restrictive covenants that are contained in the Award Agreement
or otherwise applicable to the Participant, the Participant’s Termination of Service for Cause, or other conduct by the Participant
that is detrimental to the business or reputation of the Company and/or its Affiliates.

 

5.10         
No Dividends or Dividend Equivalents on Unvested Awards. Notwithstanding any other provision in this Plan to the
contrary, in no event may cash or stock dividends or Dividend Equivalents relating to an unvested portion of an Award be paid to
a Participant before that portion of the Award becomes vested.

 

ARTICLE 6.

STOCK OPTIONS

 

6.1           
Grant of Options. Subject to and consistent with the provisions of this Plan, Options may be granted to any Eligible
Person in such number, and upon such terms, and at any time and from time to time as determined by the Committee. Without in any
manner limiting the generality of the foregoing, the Committee may grant to any Eligible Person, or permit any Eligible Person
to elect to receive, an Option in lieu of or in substitution for any other compensation (whether payable currently or on a deferred
basis, and whether payable under this Plan or otherwise) which such Eligible Person may be eligible to receive from the Company
or an Affiliate.

 

6.2           
Award Agreement. Each Option grant shall be evidenced by an Award Agreement that shall specify the Option Price,
the Option Term (not to exceed ten (10) years from its Grant Date), the number of Shares to which the Option pertains, the time
or times at which such Option shall be exercisable and such other provisions as the Committee shall determine.

 

6.3           
Option Price. Except with respect to Substitute Awards, the Option Price of an Option under this Plan shall be determined
in the sole discretion of the Committee, but in no case shall the Option Price be less than 100% of the Fair Market Value of a
Share on the Grant Date.

 

6.4           
Grant of Incentive Stock Options. At the time of the grant of any Option, the Committee may in its discretion designate
that such Option shall be made subject to additional restrictions to permit it to qualify as an Incentive Stock Option. Any Option
designated as an Incentive Stock Option shall:

 

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(i)            
be granted only to an employee of the Company or a Subsidiary Corporation (as defined below);

 

(ii)           
be granted within ten (10) years from the earlier of the date this Plan is adopted or the date this Plan is approved by
shareholders of the Company;

 

(iii)          
have an Option Price of not less than 100% of the Fair Market Value of a Share on the Grant Date, and, if granted to a person
who owns capital stock (including stock treated as owned under Code Section 424(d)) possessing more than 10% of the total combined
voting power of all classes of capital stock of the Company or any Subsidiary Corporation (a “10% Owner”), have an
Option Price not less than 110% of the Fair Market Value of a Share on its Grant Date;

 

(iv)         
have an Option Term of not more than ten (10) years (five years if the Participant is a 10% Owner) from its Grant Date,
and shall be subject to earlier termination as provided herein or in the applicable Award Agreement;

 

(v)           
not have an aggregate Fair Market Value (as of the Grant Date) of the Shares with respect to which Incentive Stock Options
(whether granted under this Plan or any other stock option plan of the Participant’s employer or any parent or Subsidiary
Corporation (“Other Plans”)) are exercisable for the first time by such Participant during any calendar year (“Current
Grant”), determined in accordance with the provisions of Code Section 422, which exceeds $100,000 (the “$100,000 Limit”);

 

(vi)          
if the aggregate Fair Market Value of the Shares (determined on the Grant Date) with respect to the Current Grant and all
Incentive Stock Options previously granted under this Plan and any Other Plans which are exercisable for the first time during
a calendar year (“Prior Grants”) would exceed the $100,000 Limit, be, as to the portion in excess of the $100,000 Limit,
exercisable as a separate option that is not an Incentive Stock Option at such date or dates as are provided in the Current Grant;

 

(vii)        
require the Participant to notify the Committee of any disposition of any Shares delivered pursuant to the exercise of the
Incentive Stock Option under the circumstances described in Code Section 421(b) (relating to holding periods and certain disqualifying
dispositions) (“Disqualifying Disposition”) within 10 days of such a Disqualifying Disposition;

 

(viii)        
by its terms not be assignable or transferable other than by will or the laws of descent and distribution and may be exercised,
during the Participant’s lifetime, only by the Participant; provided, however, that the Participant may, to the extent provided
in this Plan in any manner specified by the Committee, designate in writing a beneficiary to exercise his or her Incentive Stock
Option after the Participant’s death; and

 

(ix)           
if such Option nevertheless fails to meet the foregoing requirements, or otherwise fails to meet the requirements of Code
Section 422 for an Incentive Stock Option, be treated for all purposes of this Plan, except as otherwise provided in subsections
(iv) and (v) above, as an Option that is not an Incentive Stock Option.

 

Notwithstanding
the foregoing and Section 3.2, the Committee may, without the consent of the Participant, at any time before the exercise of an
Option (whether or not an Incentive Stock Option), take any action necessary to prevent such Option from being treated as an Incentive
Stock Option.

 

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For
purposes of this Section 6.4, “Subsidiary Corporation” means a corporation other than the Company in an unbroken chain
of corporations beginning with the Company if, at the time of granting the Option, each of the corporations other than the last
corporation in the unbroken chain owns stock possessing 50% or more of the total combined voting power of all classes of stock
in one of the other corporations in such chain.

 

6.5           
Payment. Except as otherwise provided by the Committee in an Award Agreement, Options shall be exercised by the delivery
of a written notice of exercise to the Company, setting forth the number of Shares with respect to which the Option is to be exercised,
accompanied by full payment for the Shares made by any one or more of the following means subject to the approval of the Committee:

 

 (i)              cash, personal check or wire transfer;

 

(ii)           
Shares, valued at their Fair Market Value on the date of exercise (or by delivering a certification or attestation of ownership
of such Shares);

 

(iii)          
with the approval of the Committee, Restricted Shares held by the Participant, with each Share valued at the Fair Market
Value of a Share on the date of exercise;

 

(iv)          
with the approval of the Committee, for any Option other than an Incentive Stock Option, by a “net exercise”
arrangement pursuant to which the Company will not require a payment for the Shares with respect to which the Option is being exercised
but will reduce the number of Shares upon the exercise by the smallest number of whole Shares having a Fair Market Value on the
date of exercise necessary to cover the aggregate payment amount; or

 

(v)           
subject to applicable law (including the prohibited loan provisions of Section 402 of the Sarbanes-Oxley Act of 2002), pursuant
to procedures approved by the Committee, through the sale of the Shares acquired on exercise of the Option through a broker-dealer
to whom the Participant has submitted an irrevocable notice of exercise and irrevocable instructions to deliver promptly to the
Company the amount of sale proceeds sufficient to pay for such Shares, together with, if requested by the Company, the amount of
federal, state, local or foreign withholding taxes payable by Participant by reason of such exercise.

 

The
Committee may in its discretion specify that, if any Restricted Shares (“Tendered Restricted Shares”) are used to pay
the Option Price, (a) all the Shares acquired on exercise of the Option shall be subject to the same restrictions as the Tendered
Restricted Shares, determined as of the date of exercise of the Option, or (b) a number of Shares acquired on exercise of the Option
equal to the number of Tendered Restricted Shares shall be subject to the same restrictions as the Tendered Restricted Shares,
determined as of the date of exercise of the Option.

 

6.6           
Exercise. Each Option shall set the terms under which the Option shall become exercisable, provided that, except
as otherwise provided in an Award Agreement:

 

(i)            
If Termination of Service occurs for a reason other than death, Disability or Cause, Options that were vested and exercisable
immediately before such Termination of Service, or become exercisable upon such Termination of Service, shall remain exercisable
for a period of three (3) months following such Termination of Service (but not for more than ten (10) years from the Grant Date
of the Award or expiration of the Option Term, if earlier) and shall then terminate.

 

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(ii)           
If Termination of Service occurs by reason of death, or if the Participant dies in the three-month (3-month) period following
Termination of Service for a reason other than Disability or Cause, Options that were vested and exercisable immediately before
death, or become exercisable upon death may be exercised for a period of nine (9) months following death (but not for more than
ten (10) years from the Grant Date of the Award or expiration of the Option Term, if earlier) and shall then terminate.

 

(iii)          
If a Termination of Service occurs by reason of Disability, all Options that were vested and exercisable immediately before
such Termination of Service, or become exercisable upon such Termination of Service, shall remain exercisable for a period of six
(6) months following Termination of Service (but not for more than ten (10) years from the Grant Date of the Award or expiration
of the Option Term, if earlier) and shall then terminate.

 

(iv)          
If Termination of Service is for Cause, then any unexercised Options shall be thereupon cancelled.

 

6.7           
Shareholder Privileges. No Participant shall have any rights as a shareholder with respect to any Shares covered
by an Option until the Participant becomes the holder of record of such Shares, and no adjustments shall be made for dividends
or other distributions or other rights as to which there is a record date preceding the date such Participant becomes the holder
of record of such Shares, except as provided in Section 4.2.

 

ARTICLE 7.

STOCK APPRECIATION RIGHTS

 

7.1           
Grant of SARs. Subject to and consistent with the provisions of this Plan, the Committee, at any time and from time
to time, may grant SARs to any Eligible Person either alone or in addition to other Awards granted under this Plan. The Committee
may impose such conditions or restrictions on the exercise of any SAR as it shall deem appropriate.

 

7.2           
Award Agreements. Each SAR grant shall be evidenced by an Award Agreement in such form as the Committee may approve
and shall contain such terms and conditions not inconsistent with other provisions of this Plan as determined from time to time
by the Committee; provided that no SAR grant shall have a term of more than ten (10) years from the date of grant of the SAR.

 

7.3           
Grant Price. The grant price of an SAR shall be determined by the Committee in its sole discretion; provided that
the grant price shall not be less than the lesser of 100% of the Fair Market Value of a Share on the date of the grant of the SAR.

 

7.4           
Exercise. Each SAR shall set the terms under which the SAR shall become exercisable, provided that, except as otherwise
provided in an Award Agreement:

 

(i)           
If Termination of Service occurs for a reason other than death, Disability or Cause, SARs that were vested and exercisable
immediately before such Termination of Service, or become exercisable upon such Termination of Service, shall remain exercisable
for a period of three (3) months following such Termination of Service (but not for more than ten (10) years from the Grant Date
of the Award or expiration of the SAR Term, if earlier) and shall then terminate.

 

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(ii)           
If Termination of Service occurs by reason of death, or if the Participant dies in the three-month (3-month) period following
Termination of Service for a reason other than Disability or Cause, SARs that were vested and exercisable immediately before death,
or become exercisable upon death may be exercised for a period of nine (9) months following death (but not for more than ten (10)
years from the Grant Date of the Award or expiration of the SAR Term, if earlier) and shall then terminate.

 

(iii)          
If a Termination of Service occurs by reason of Disability, all SARs that were vested and exercisable immediately before
such Termination of Service, or become exercisable upon such Termination of Service, shall remain exercisable for a period of six
(6) months following Termination of Service (but not for more than ten (10) years from the Grant Date of the Award or expiration
of the SAR Term, if earlier) and shall then terminate.

 

(iv)           
If Termination of Service is for Cause, then any unexercised SARs shall be thereupon cancelled.

 

7.5           
Payment. Upon the exercise of SARs, the Participant shall be entitled to receive payment from the Company in an amount
determined by multiplying: (a) the excess of the Fair Market Value of a Share on the date of exercise over 100% of the Fair Market
Value of a Share on the Grant Date of the SAR (or such higher strike price as specified in the Award Agreement), by (b) the number
of Shares with respect to which the SAR is exercised; provided that the Committee may provide in the Award Agreement that the benefit
payable on exercise of a SAR shall not exceed such percentage of the Fair Market Value of a Share on the Grant Date as the Committee
shall specify. The Fair Market Value of a Share on the Grant Date and date of exercise of SARs shall be determined in the same
manner as the Fair Market Value of a Share on the date of grant of an Option is determined. SARs shall be deemed exercised on the
date written notice of exercise in a form acceptable to the Committee is received by the Secretary of the Company. Unless the Award
Agreement provides otherwise, the Company shall make payment in respect of any SAR within five (5) days of the date the SAR is
exercised. Any payment by the Company in respect of an SAR may be made in cash, Shares, other property, or any combination thereof,
as the Committee, in its sole discretion, shall determine.

 

7.6           
Grant Limitations. The Committee may at any time impose any other limitations upon the exercise of SARs which, in
the Committee’s sole discretion, are necessary or desirable in order for Participants to qualify for an exemption from Section
16(b) of the Exchange Act.

 

7.7           
Shareholder Privileges. No Participant shall have any rights as a shareholder with respect to any Shares covered
by a SAR until the Participant becomes the holder of record of such Shares, and no adjustments shall be made for dividends or other
distributions or other rights as to which there is a record date preceding the date such Participant becomes the holder of record
of such Shares, except as provided in Section 4.2.

 

ARTICLE 8.

RESTRICTED SHARES AND RESTRICTED SHARE UNITS

 

8.1           
Grant of Restricted Shares and Restricted Share Units. Subject to and consistent with the provisions of this Plan,
the Committee, at any time and from time to time, may grant Restricted Shares and Restricted Share Units to any Eligible Person
in such amounts as the Committee shall determine.

 

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8.2             Award Agreement. Each grant
of Restricted Shares and Restricted Share Units shall be evidenced by an Award Agreement that shall specify the Period(s) of Restriction,
the number of Restricted Shares or Restricted Share Units granted, and such other provisions as the Committee shall determine.
The Committee may impose such conditions and/or restrictions on any Restricted Shares and Restricted Share Units granted pursuant
to this Plan as it may deem advisable, including, but not limited to, restrictions based upon the achievement of specific performance
goals, time-based restrictions, time-based restrictions following the attainment of the performance goals, and/or restrictions
under applicable securities laws.

 

8.3             Consideration for Restricted Shares. The Committee shall determine the amount of consideration, if any, other than
services, that a Participant shall pay for Restricted Shares, which shall be (except with respect to Restricted Shares that are
treasury shares) at least the Minimum Consideration for each Restricted Share, to the extent required by Applicable Law. Such payment
shall be made in full by the Participant before the delivery of the shares and in any event no later than 10 business days after
the Grant Date for such shares.

 

8.4           
Effect of Forfeiture of Restricted Shares. If Restricted Shares are forfeited, and if the Participant was required
to pay for such shares or acquired such Restricted Shares upon the exercise of an Option, the Participant shall be deemed to have
resold such Restricted Shares to the Company at a price equal to the lesser of (a) the amount paid by the Participant for such
Restricted Shares, or (b) the Fair Market Value of a Share on the date of such forfeiture. The Company shall pay to the Participant
the deemed sale price as soon as is administratively practical. Such Restricted Shares shall cease to be outstanding, and shall
no longer confer on the Participant thereof any rights as a shareholder of the Company, from and after the date of the event causing
the forfeiture, whether or not the Participant accepts the Company’s tender of payment for such Restricted Shares.

 

8.5            
Restricted Shares Book Entry, Escrow, Certificate Legends. The Committee may provide that Restricted Shares be held in
book entry with the transfer agent until there is a lapse of the Period of Restriction with respect to such Restricted Shares
and certificates are issued or until such Restricted Shares are forfeited, or the Committee may provide that the certificates
for any Restricted Shares (a) shall be held (together with a stock power executed in blank by the Participant) in escrow by
the Secretary of the Company until such Restricted Shares become nonforfeitable or are forfeited and/or (b) shall bear an
appropriate legend restricting the transfer of such Restricted Shares under this Plan. If any Restricted Shares become
nonforfeitable, the Company shall cause certificates for such shares to be delivered without such legend.

 

ARTICLE 9.

PERFORMANCE UNITS AND PERFORMANCE SHARES

 

9.1             
Grant of Performance Units and Performance Shares. Subject to and consistent with the provisions of this Plan, Performance
Units or Performance Shares may be granted to any Eligible Person in such amounts and upon such terms, and at any time and from
time to time, as determined by the Committee.

 

9.2             
Value/Performance Goals. The Committee shall set performance goals in its discretion which, depending on the extent
to which they are met, will determine the number or value of Performance Units or Performance Shares that will be paid to the Participant.

 

(i)              
Performance Unit. Each Performance Unit may be denominated in cash and shall have an initial value that is established
by the Committee at the time of grant.

 

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(ii)           
Performance Share. Each Performance Share shall have an initial value equal to the Fair Market Value of a Share on
the date of grant.

 

9.3           
Earning, Form and Timing of Payment of Performance Units and Performance Shares. After the applicable Performance
Period has ended, the amount earned by the Participant shall be based on the level of achievement of performance goals set by the
Committee. If a Performance Unit or Performance Share Award is intended to comply with the Performance-Based Exception, the Committee
shall certify the level of achievement of the performance goals in writing before the Award is settled.

 

If a
Participant is promoted, demoted or transferred to a different business unit of the Company during a Performance Period, then,
to the extent the Committee determines that the Award, the performance goals, or the Performance Period are no longer appropriate,
the Committee may adjust, change, eliminate or cancel the Award, the performance goals, or the applicable Performance Period, as
it deems appropriate in order to make them appropriate and comparable to the initial Award, the performance goals, or the Performance
Period.

 

Settlement
of Performance Units or Performance Shares shall be in Shares, unless at the discretion of the Committee and as set forth in the
Award Agreement, settlement is to be in cash or in some combination of cash and Shares. Such Shares may be granted subject to any
restrictions deemed appropriate by the Committee.

 

Payment
of earned Performance Units or Performance Shares shall be made in a lump sum following the latest to occur of (a) the vesting
event, or (b) the determination of the level of achievement of the performance goals for the applicable Performance Period, but
in no event later than two and one-half (2-1/2) months following the year in which the Performance Units or Performance Shares
vest; provided, however, payment may be deferred to a later date in accordance with a deferral rule, policy or procedure established
pursuant to Article 14.

 

Subject
to Section 5.10, at the discretion of the Committee, a Participant may be entitled to receive any dividends or Dividend Equivalents
declared with respect to Shares deliverable in connection with grants of Performance Units or Performance Shares which have been
earned, but not yet delivered to the Participant.

 

ARTICLE 10.

DEFERRED AWARDS

 

The Committee
is authorized, subject to limitations under Applicable Laws, to grant to Participants Deferred Awards, which may be a right to
receive Shares or cash under the Plan (either independently or as an element of or supplement to any other Award under the Plan),
including, as may be determined by the Committee, in lieu of any annual bonus that may be payable to a Participant under any applicable
bonus plan or arrangement. The Committee shall determine the terms and conditions of such Deferred Awards, including, without
limitation, the method of converting the amount of annual bonus into a Deferred Award, if applicable, and the form, vesting, settlement,
forfeiture and cancellation provisions or any other criteria, if any, applicable to such Deferred Awards. Shares shall not be
issued with respect to a Deferred Award until any vesting or other conditions and criteria applicable to the Award have been satisfied.
Deferred Awards shall be subject to such restrictions as the Committee may impose (including any limitation on the right to vote
a Share underlying a Deferred Award or the right to receive any dividend, dividend equivalent or other right). The Committee may
determine the form or forms (including cash, Shares, other Awards, other property or any combination thereof) in which payment
of the amount owing upon settlement of any Deferred Award may be made.

 

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ARTICLE 11.

DIVIDEND EQUIVALENTS

 

The
Committee is authorized to grant Awards of Dividend Equivalents alone or in conjunction with another Award. Subject to Section
5.10, the Committee may provide that Dividend Equivalents be paid or distributed when accrued or deemed to have been reinvested
in additional Shares or additional Awards or otherwise reinvested.

 

ARTICLE 12.

OTHER STOCK-BASED AWARDS

 

The
Committee is authorized, subject to limitations under applicable law, to grant such other incentive awards that are denominated
or payable in, valued in whole or in part by reference to, or otherwise based on, or related to, Shares, as deemed by the Committee
to be consistent with the purposes of this Plan including, subject to Section 17.2, Shares awarded which are not subject to any
restrictions or conditions and Awards valued by reference to the value of securities of or the performance of specified Affiliates.
Subject to and consistent with the provisions of this Plan, the Committee shall determine the terms and conditions of such Awards.
Except as provided by the Committee, Shares delivered pursuant to a purchase right granted under this Article 12 shall be purchased
for such consideration, paid for by such methods and in such forms, including cash, Shares, outstanding Awards or other property,
as the Committee shall determine. Payment of Other Stock- Based Awards shall be made in a lump sum following the latest to occur
of (a) the vesting event, or, if applicable, (b) the determination of the level of achievement of the performance goals for the
applicable Performance Period, but in no event later than two and one-half (2-1/2) months following the year in which the Award
vests; provided, however, payment may be deferred to a later date in accordance with a deferral rule, policy or procedure established
pursuant to Article 14.

 

ARTICLE 13.

BENEFICIARY DESIGNATION

 

Each
Participant under this Plan may, from time to time, name any beneficiary or beneficiaries (who may be named contingently or successively)
to whom any benefit under this Plan is to be paid in case of his or her death before he or she receives any or all of such benefit.
Each such designation shall revoke all prior designations by the same Participant, shall be in a form prescribed by the Company,
and will be effective only when filed by the Participant in writing with the Company during the Participant’s lifetime. In
the absence of any such designation, benefits remaining unpaid at the Participant’s death shall be paid to the Participant’s
estate.

 

ARTICLE 14.

DEFERRALS

 

The Committee
may permit or require a Participant to defer receipt of the payment of cash or the delivery of Shares or cash that would otherwise
be due by virtue to settle an Award. If any such deferral is required or permitted, such deferral shall be in accordance with
applicable rules, policies and/or procedures established by the Committee, including, but not limited to, those rules established
to comply with Code Section 409A. Except as otherwise provided in the Award Agreement or pursuant to applicable Participant elections,
and subject to rules established in compliance with Code Section 409A, any payment or any Shares that are subject to such deferral
shall be made or delivered to the Participant upon the Participant’s Termination of Service.

 

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ARTICLE 15.

REORGANIZATION, CHANGE IN CONTROL OR LIQUIDATION

 

 15.1           Change of Control.

 

(i)             
Vesting on Change of Control; Termination. An Award Agreement or other agreement between the Participant and the
Company or an Affiliate may provide that an Award vests upon the occurrence of Termination of Service on Account of a Change of
Control, and, unless the Award Agreement or other agreement between the Participant and the Company or an Affiliate provides otherwise,
any Awards that vest based on satisfaction of performance criteria and for which the performance period is not complete at the
time of Participant's Termination of Service will vest as if the performance criteria were met at the target level.

 

(ii)            
Award Continuation, Assumption, or Replacement. In the case of any Change of Control of the Company, unless the Award
Agreement or other agreement between the Participant and the Company or an Affiliate provides otherwise, any or all outstanding
Awards may be continued or assumed or an equivalent award may be substituted by the successor corporation.

 

(iii)           
Vesting and Payment if Awards are not Continued, Assumed, or Replaced. To the extent Awards are not assumed or continued
or replaced with an equivalent award, the Committee shall, in its discretion either (i) fully vest the Awards upon a Change of
Control, with Awards that vest based upon satisfaction of performance goals and for which the performance period has not ended
as of the Change of Control vesting as if such performance criteria were satisfied at the target level, and provide for a period
of exercise of Options and SARS, conditioned on, and effective immediately before, a Change of Control, or (ii) cancel such Awards
in exchange for an amount that the Participant would have received if such Awards were vested, exercised (other than Options if
at the time of such cancellation the Option Price with respect to such Option exceeds the Fair Market Value of the Shares subject
to the Option at the time of such cancellation), and fully settled immediately prior to the Change of Control, and payment of which
the Committee may subject to vesting conditions comparable to those of the cancelled Award. Awards fully vested pursuant to clause
(i) of the preceding sentence may also be cancelled in exchange for a payment (in cash, or in securities or other property) in
the amount that the Participant would have received (net of any exercise price payable) if such Awards were vested, exercised (other
than Options if at the time of such cancellation the Option Price with respect to such Option exceeds the Fair Market Value of
the Shares subject to the Option at the time of such cancellation), and fully settled immediately prior to the Change of Control.
To the extent consistent with and not in violation of Code Section 409A, payments with respect to Awards that are cancelled pursuant
to this Section 16.1 may be made in any form, and subject to such conditions as the Committee determines in its discretion, which
may or may not be the same as the form and conditions applicable to payments to the Company’s shareholders in connection
with the Change of Control and may include subjecting such payments to escrow or holdback terms comparable to those imposed upon
on payments to the Company’s shareholders in connection with Change of Control. Any payments made in respect of a termination
or cancellation of an Award shall be reduced in each case by any applicable federal, state and local taxes required to be withheld
by the Company.

 

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15.2          
Dissolution or Liquidation. Unless otherwise provided in an applicable Agreement, in the event of a proposed dissolution
or liquidation of the Company, the Committee will notify each Participant as soon as practicable prior to the effective date of
such proposed transaction. An Award will terminate immediately prior to the consummation of such proposed action.

 

15.3          
Parachute Limitation. Notwithstanding any other provision of this Plan or of any other agreement, contract, or understanding
heretofore or hereafter entered into by a participant with the Company or an Affiliate, except an agreement, contract, or understanding
that expressly addresses Code Section 280G or Code Section 4999 (an “Other Agreement”), and notwithstanding any formal
or informal plan or other arrangement for the direct or indirect provision of compensation to a Participant (a “Benefit Arrangement”),
if the Participant is a “disqualified individual,” as defined in Code Section 280G(c), any Award held by that Participant
and any right to receive any payment or other benefit under this Plan shall not become exercisable or vested to the extent that
such right to exercise, vesting, payment, or benefit, taking into account all other rights, payments, or benefits to or for the
Participant under this Plan, all Other Agreements, and all Benefit Arrangements, would cause any payment or benefit to the Participant
under this Plan to be considered a “parachute payment” within the meaning of Code Section 280G(b)(2) as then in effect
(a “Parachute Payment”). Parachute Payments shall be reduced, if at all, pursuant to this Section 15.3, in accordance
with Code Section 409A and in the following order:

 

(i)             
First, payments that do not constitute nonqualified deferred compensation subject to Code Section 409A shall be reduced
first.

 

 (ii)             Second, all other payments that are cash payments shall be reduced.

 

(iii)          
Third, all other payments that are not cash shall be reduced in reverse order of scheduled payment date.

 

To the
extent that an Other Agreement exists, payments under the Plan shall be governed by the provisions in the Other Agreement that
apply to payments that are contingent on a Change of Control.

 

ARTICLE 16.

AMENDMENT, MODIFICATION, AND TERMINATION

 

16.1           
Amendment, Modification, and Termination. Subject to Section 16.3, the Board may, at any time and from time to time,
alter, amend, suspend, discontinue or terminate this Plan in whole or in part without the approval of the Company’s shareholders,
except that any amendment or alteration shall be subject to the approval of the Company’s shareholders if (a) such shareholder
approval is required by any federal or state law or regulation or the rules of any stock exchange or automated quotation system
on which the Shares may then be listed or quoted, or (b) the Board, in its discretion, determines to submit such amendments or
alterations to shareholders for approval. The Board may delegate to the Committee any or all of the authority of the Board under
this Section 16.1.

 

16.2           
Adjustment of Awards Upon the Occurrence of Certain Unusual or Nonrecurring Events. The Committee may make adjustments
in the terms and conditions of, and the criteria included in, Awards in recognition of unusual or nonrecurring events (including
the events described in Section 4.2) affecting the Company or the financial statements of the Company or of changes in applicable
laws, regulations, or accounting principles, whenever the Committee determines that such adjustments are appropriate in order
to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under this Plan; provided
that to the extent an Award is intended to meet the requirements of the Performance-Based Exception no such adjustment shall be
authorized to the extent that such authority would be inconsistent with this Plan’s meeting such requirements.

 

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16.3          
Awards Previously Granted. Except as otherwise specifically permitted in this Plan or an Award Agreement, no termination,
amendment, or modification of this Plan shall adversely affect in any material way any Award previously granted under this Plan,
without the written consent of the Participant of such Award.

 

16.4          
Contemplated Amendments. It is expressly contemplated that the Board may amend this Plan in any respect the Board
deems necessary or advisable to provide Eligible Persons with the maximum benefits provided or to be provided under the provisions
of the Code and the regulations promulgated thereunder relating to Incentive Stock Options or to the nonqualified deferred compensation
provisions of Code Section 409A and Code Section 457A and/or to bring this Plan and/or Awards granted under it into compliance
therewith.

 

ARTICLE 17.

WITHHOLDING

 

 17.1            Withholding.

 

(i)              
The Committee in its sole discretion may provide that when taxes are to be withheld in connection with the exercise of an
Option or SAR, or upon the lapse of restrictions on Restricted Shares, or upon the transfer of Deferred Stock, or upon payment
of any other benefit or right under this Plan (the date on which such exercise occurs or such restrictions lapse or such payment
of any other benefit or right occurs hereinafter referred to as the “Tax Date”), the Participant may elect to make
payment for the withholding of federal, state, local and foreign taxes, including Social Security and Medicare (“FICA”)
taxes by one or a combination of the following methods:

 

 (a)               payment of an amount in cash equal to the amount to be withheld;

 

(b)             
delivering part or all of the amount to be withheld in the form of Shares valued at their Fair Market Value on the Tax Date;

 

(c)              
requesting the Company to withhold from those Shares that would otherwise be received upon exercise of the Option or SAR,
upon the lapse of restrictions on Restricted Shares, upon the transfer of Deferred Stock, or upon the settlement and payment of
a Performance Shares Award or Restricted Share Unit Award, a number of Shares having a Fair Market Value on the Tax Date equal
to the amount to be withheld; or

 

 (d)              withholding from any compensation otherwise due to the Participant.

 

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With
respect to any Awards to be satisfied by withholding Shares pursuant to clause (c) above, the number of Shares withheld shall be
equal to the number of whole Shares (rounded up to the nearest whole Share) necessary to meet the amount of taxes, including FICA
taxes, to be withheld under federal, state, local and foreign law. An election by Participant under this subsection is irrevocable.
Any additional withholding not paid by the withholding or surrender of Shares or delivery of Shares must be paid in cash or withheld
from a Participant’s other compensation from the Company or an Employer.

 

(ii)             
Any Participant who makes a Disqualifying Disposition (as defined in Section 6.4(vii)) or an election under Code Section
83(b) shall remit to the Company, and the Company shall have the right to withhold, an amount sufficient to satisfy all resulting
tax withholding amounts in the same manner as set forth in subsection (i).

 

17.2          
Notification under Code Section 83(b). If the Participant, in connection with the exercise of any Option, or the
grant of Restricted Shares, makes the election permitted under Code Section 83(b) to include in such Participant’s gross
income in the year of transfer the amounts specified in Code Section 83(b), then such Participant shall notify the Company of such
election within 10 days of filing the notice of the election with the Internal Revenue Service, in addition to any filing and notification
required pursuant to regulations issued under Code Section 83(b). The Committee may, in connection with the grant of an Award or
at any time thereafter, prohibit a Participant from making the election described above.

 

ARTICLE 18.

ADDITIONAL PROVISIONS

 

18.1           
Successors. All obligations of the Company under this Plan and any Award Agreement with respect to Awards granted
hereunder shall be binding on any successor to the Company, whether the existence of such successor is the result of a direct or
indirect purchase, merger, consolidation, or otherwise of all or substantially all of the business and/or assets of the Company.

 

18.2          
Code Section 409A and Taxation of Plan Awards Generally. Awards under this Plan are intended to either be exempt
from, or comply with, Code Section 409A and Code Section 457A, and, to the maximum extent permitted, this Plan shall be interpreted
and administered in accordance with this intent. Specifically, it is intended that all Awards of Options, SARs, and Restricted
Stock not provide for the deferral of compensation within the meaning of Code Section 409A or Code Section 457A. Any payments described
in this Plan that are due within the “short-term deferral period” as defined in Code Section 409A shall not be treated
as deferred compensation unless applicable laws require otherwise. Notwithstanding anything to the contrary in this Plan, to the
extent required to avoid accelerated taxation and tax penalties under Code Section 409A, amounts that are payable upon the “separation
from service” of a Participant who is a “specified employee,” as such terms are defined for purposes of Code
Section 409A, then no payment shall be made, except as permitted under Code Section 409A, prior to the first business day that
is after the earlier of the date that is six months after the Participant’s Separation from Service or the Participant’s
death. “Specified employees” shall be identified under the default provisions under Code Section 409A, unless the Company
or the Committee establishes alternate rules that comply with Code Section 409A. Notwithstanding the foregoing, neither the Company
nor the Committee shall have any obligation to take any action to prevent the assessment of any excise tax or penalty on any Participant
under Code Section 409A and neither the Company nor the Committee will have any liability to any Participant for such tax or penalty;
nor shall the Company or the Committee have any obligation to design or administer the Plan or Awards granted thereunder in a manner
that minimizes a Participant’s tax liability.

 

18.3         
Severability. If any part of this Plan is declared by any court or governmental authority to be unlawful or invalid,
such unlawfulness or invalidity shall not invalidate any other part of this Plan. Any section or part of a section so declared
to be unlawful or invalid shall, if possible, be construed in a manner which will give effect to the terms of such section or part
of a section to the fullest extent possible while remaining lawful and valid.

 

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18.4            Requirements of Law. The
granting of Awards and the delivery of Shares under this Plan shall be subject to all applicable laws, rules, and regulations,
and to such approvals by any governmental agencies or national securities exchanges as may be required. Notwithstanding any provision
of this Plan or any Award, Participants shall not be entitled to exercise, or receive benefits under, any Award, and the Company
(and any Affiliate) shall not be obligated to deliver any Shares or deliver benefits to a Participant, if such exercise or delivery
would constitute a violation by the Participant or the Company of any Applicable Laws.

 

 18.5            Securities Law Compliance.

 

(i)              
If the Committee deems it necessary to comply with any applicable securities law, or the requirements of any stock exchange
upon which Shares may be listed, the Committee may impose any restriction on Awards or Shares acquired pursuant to Awards under
this Plan as it may deem advisable. All certificates for Shares delivered under this Plan pursuant to any Award or the exercise
thereof shall be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the rules,
regulations and other requirements of the SEC, any stock exchange upon which Shares are then listed, any applicable securities
law, and the Committee may cause a legend or legends to be put on any such certificates to make appropriate reference to such restrictions.
If so requested by the Company, the Participant shall make a written representation to the Company that he or she will not sell
or offer to sell any Shares unless a registration statement shall be in effect with respect to such Shares under the Securities
Act of 1993, as amended, and any applicable state securities law or unless he or she shall have furnished to the Company, in form
and substance satisfactory to the Company, that such registration is not required.

 

(ii)             
If the Committee determines that the exercise or nonforfeitability of, or delivery of benefits pursuant to, any Award would
violate any applicable provision of securities laws or the listing requirements of any national securities exchange or national
market system on which are listed any of the Company’s equity securities, then the Committee may postpone any such exercise,
nonforfeitability or delivery, as applicable, but the Company shall use all reasonable efforts to cause such exercise, nonforfeitability
or delivery to comply with all such provisions at the earliest practicable date.

 

18.6           
No Rights as a Shareholder. No Participant shall have any rights as a shareholder of the Company with respect to
the Shares (other than Restricted Shares) which may be deliverable upon exercise or payment of such Award until such Shares have
been delivered to him or her. Restricted Shares, whether held by a Participant or in escrow by the Secretary of the Company, shall
confer on the Participant all rights of a shareholder of the Company, except as otherwise provided in this Plan or Award Agreement.
At the time of a grant of Restricted Shares, the Committee may require the payment of cash dividends thereon to be deferred and,
if the Committee so determines, reinvested in additional Restricted Shares. Stock dividends and deferred cash dividends issued
with respect to Restricted Shares shall be subject to the same restrictions and other terms as apply to the Restricted Shares with
respect to which such dividends are issued. The Committee may in its discretion provide for payment of interest on deferred cash
dividends.

 

18.7           
Nature of Payments. Unless otherwise specified in the Award Agreement, Awards shall be special incentive payments
to the Participant and shall not be taken into account in computing the amount of salary or compensation of the Participant for
purposes of determining any pension, retirement, death or other benefit under (a) any pension, retirement, profit sharing, bonus,
insurance or other employee benefit plan of the Company or any Affiliate, except as such plan shall otherwise expressly provide,
or (b) any agreement between the Company or any Affiliate and the Participant, except as such agreement shall otherwise expressly
provide.

 

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18.8          
Non-Exclusivity of Plan. Neither the adoption of this Plan by the Board nor its submission to the shareholders of
the Company for approval shall be construed as creating any limitations on the power of the Board to adopt such other compensatory
arrangements for employees as it may deem desirable.

 

18.9          
Governing Law. This Plan, and all agreements hereunder, shall be construed in accordance with and governed by the
laws of the State of Delaware, other than its laws respecting choice of law.

 

18.10         
Share Certificates. All certificates for Shares delivered under the terms of this Plan shall be subject to such stop-transfer
orders and other restrictions as the Committee may deem advisable under federal or state securities laws, rules and regulations
thereunder, and the rules of any national securities laws, rules and regulations thereunder, and the rules of any national securities
exchange or automated quotation system on which Shares are listed or quoted. The Committee may cause a legend or legends to be
placed on any such certificates to make appropriate reference to such restrictions or any other restrictions or limitations that
may be applicable to Shares. In addition, during any period in which Awards or Shares are subject to restrictions or limitations
under the terms of this Plan or any Award Agreement, or during any period during which delivery or receipt of an Award or Shares
has been deferred by the Committee or a Participant, the Committee may require any Participant to enter into an agreement providing
that certificates representing Shares deliverable or delivered pursuant to an Award shall remain in the physical custody of the
Company or such other person as the Committee may designate.

 

18.11        
Unfunded Status of Awards; Creation of Trusts. This Plan is intended to constitute an “unfunded” plan
for incentive and deferred compensation. With respect to any payments not yet made to a Participant pursuant to an Award, nothing
contained in this Plan or any Award Agreement shall give any such Participant any rights that are greater than those of a general
creditor of the Company; provided, however, that the Committee may authorize the creation of trusts or make other arrangements
to meet the Company’s or an Employer’s obligations under this Plan to deliver cash, Shares or other property pursuant
to any Award which trusts or other arrangements shall be consistent with the “unfunded” status of this Plan unless
the Committee otherwise determines.

 

18.12         
Sub-plans. The Committee may from time to time establish sub-plans under this Plan for purposes of satisfying blue
sky, securities, tax or other laws of various jurisdictions in which the Company intends to grant Awards. Any sub-plans shall contain
such limitations and other terms and conditions as the Committee determines are necessary or desirable. All sub-plans shall be
deemed a part of this Plan, but each sub-plan shall apply only to the Participants in the jurisdiction for which the sub-plan was
designed.

 

18.13       
Use of Proceeds from Shares. Proceeds from the sale of Shares pursuant to Awards, or upon exercise thereof, shall
constitute general funds of the Company.

 

18.14        
Affiliation. Nothing in this Plan or an Award Agreement shall interfere with or limit in any way the right of the
Company or any Affiliate to terminate any Participant’s employment or consulting contract at any time, nor confer upon any
Participant the right to continue in the employ of or as an officer of or as a Consultant to the Company or any Affiliate.

 

18.15        
Participation. No employee or officer shall have the right to be selected to receive an Award under this Plan or,
having been so selected, to be selected to receive a future Award.

 

    26

     

    

 

18.16        
Military Service. Notwithstanding any provision in this Plan or an Award Agreement to the contrary, Awards shall
at all times be administered and interpreted in accordance with Code Section 414(u) and the Uniformed Services Employment and Reemployment
Rights Act of 1994 as amended, supplemented or replaced from time to time.

 

18.17         
Construction. The following rules of construction will apply to this Plan: (a) the word “or” is disjunctive
but not necessarily exclusive, (b) words in the singular include the plural, words in the plural include the singular, and words
in the neuter gender include the masculine and feminine genders and words in the masculine or feminine gender include the other
neuter genders; and (c) “including” or “includes” means “including, without limitation,” or
 “includes, without limitation,” respectively.

 

18.18         
Headings. The headings of articles and sections are included solely for convenience of reference, and if there is
any conflict between such headings and the text of this Plan, the text shall control.

 

18.19        
Obligations. Unless otherwise specified in the Award Agreement, the obligation to deliver, pay or transfer any amount
of money or other property pursuant to Awards under this Plan shall be the sole obligation of a Participant’s employer; provided
that the obligation to deliver or transfer any Shares pursuant to Awards under this Plan shall be the sole obligation of the Company.

 

    27

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