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Exhibit 10.55    
    

BETWEEN 

COLLINS FOODS GROUP PTY LTD  

AND 

WORLDWIDE RESTAURANT CONCEPTS, INC.  

AND 

AUSTRALIAN MANAGEMENT GROUP MEMBERS  

      

      

      

      

COLLINS FOODS GROUP PTY LTD—

SHAREHOLDERS' AGREEMENT  

       

       

       

       

HoganBesleyBoyd
  Level 6, 82 Eagle Street, Brisbane

GPO Box 458 Brisbane Queensland 4001

Telephone (07) 3229 4408    •    Facsimile (07) 3229 0590 

 
 

TABLE OF CONTENTS    
    

	CLAUSE
 
	 	PAGE

	1.	 	INTERPRETATION	 	1
	

2.	
 	

ACQUISITION OF AMG SHARES BY AMG MEMBERS	
 	

4
	

3.	
 	

DURATION OF AGREEMENT	
 	

4
	

4.	
 	

RESTRICTION ON TRANSFER OF AMG SHARES	
 	

5
	

5.	
 	

ACQUISITION OF AMG SHARES AT DISCRETION OF WRC	
 	

6
	

6.	
 	

ALLOCATION OF ADDITIONAL AMG SHARES	
 	

8
	

7.	
 	

RIGHT TO REQUIRE SALE OF AMG SHARES	
 	

8
	

8.	
 	

MANDATORY ACQUISITION OF AMG SHARES BY WRC	
 	

9
	

9.	
 	

AUTHORITY OF AMG REPRESENTATIVE	
 	

10
	

10.	
 	

GENERAL PROVISIONS	
 	

10
	

11.	
 	

DISPUTES	
 	

12
	

SCHEDULE	
 	

13

  

 
 

COLLINS FOODS GROUP PTY LTD—
  SHAREHOLDERS' AGREEMENT    
    

THIS SHAREHOLDERS' AGREEMENT is made on the 22 day of March, 2004. 

PARTIES  

	1.
	COLLINS FOODS GROUP PTY LTD ACN 009 937 900 of 16 Edmondstone Street, Newmarket in the State of Queensland.

	2.
	WORLDWIDE RESTAURANT CONCEPTS, INC. of Suite 300, Building B, 15301 Ventura Boulevard, Sherman Oaks, California 91403, United
States of America.

	3.
	AUSTRALIAN MANAGEMENT GROUP MEMBERS, the individuals whose names and addresses are set out in the Schedule to this Agreement (as
represented by the members of the Executive Group). 

BACKGROUND  

	A.
	WRC
owns 17,300,010 shares in CFG, being 100% of the issued shareholding of CFG.

	B.
	WRC
has established an arrangement whereby AMG is entitled to acquire up to 4,282,177 shares in CFG, provided that certain qualifications are met.

	C.
	For
that purpose, WRC authorised CFG to develop and implement the Collins Foods Share Option Plan and the Productivity Bonus Option Plan.

	D.
	AMG
Members are entitled to purchase AMG Shares upon exercise of Options and Productivity Bonus Options.

	E.
	The
Parties have agreed to enter into this Agreement to provide for the terms and conditions under which AMG Shares will be held and disposed of, and certain other matters. 

IT IS AGREED  

1.     INTERPRETATION  

1.1   Definitions  

In
this Agreement, unless the context otherwise requires: 

Agreement means this agreement. 

Australian Management Group (AMG) consists of the Senior Management Group and the Selected Employees. 

AMG Member refers to each individual specified in the Schedule to this Agreement as a member of AMG. (For the purposes of this Agreement, each Eligible
Employee who actually purchases shares in the Company shall become an AMG Member, and any reference to the term "AMG Member" shall, where the context permits, be deemed to include a reference to
"Eligible Employee".) 

AMG Option Date means August 21, 2003. 

AMG Representative means the members of the Executive Group. 

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AMG Shares means any shares in the Company that may be issued to or acquired by an AMG Member upon the exercise of an Option or a Productivity Bonus
Option (as well as shares that may be allocated or transferred to any Eligible Employee under the provisions of this Agreement). 

AMG Transfer Notice means the notice to be given by a Disposing Shareholder to the Directors of CFG with relation to any proposal for transfer of AMG
Shares. 

CFG or the Company means Collins Foods Group Pty Ltd, including (where the context permits) its
subsidiaries. 

CFG Special Resolution means a resolution which has been agreed to by all of the following categories of shareholder which may be relevant as at the
date on which the resolution is proposed:— 

	(a)
	WRC;

	(b)
	any
other person holding WRC Shares as nominee for WRC;

	(c)
	a
third party purchaser of WRC Shares; and

	(d)
	persons
cumulatively holding not less than 75% of the AMG Shares 

and,
in any case where relevant, a vote may be entered on the CFG Special Resolution by any person authorised to exercise a vote on behalf of a shareholder. 

Collins Foods Share Option Plan means the Plan adopted by the Company pursuant to which AMG Members have the opportunity to exercise Options for the
purchase of AMG Shares. 

Constitution means the constitution of the Company as altered from time to time in accordance with its provisions, this Agreement and the Corporations
Law. 

Directors mean the Directors of the Company as appointed from time to time. 

Disposing Shareholder means:— 

	(a)
	any
AMG Member who wishes to offer his AMG Shares for sale in accordance with the provisions of this Agreement; and

	(b)
	the
personal representatives of a deceased AMG Member; and

	(c)
	a
Trustee in Bankruptcy who is appointed to represent an AMG Member. 

Eligible Employee means any person, not being an AMG Member, designated as such by the Executive Group at any time during the tenure of this Agreement
due to the fact that such person then holds an employment position with the Company which is comparable to or the same as the employment position held by any AMG Member at that time (including an
employee who replaces a member of the Senior Management Group or the Selected Employees at any time). 

Executive Group means Kevin Perkins, Lynne Grace, James Ryan and Simon Perkins (or any person who may be appointed to replace any of those nominated
persons during the operation of this Agreement). 

Fair Market Value means the market value of shares in the Company at any relevant date as determined by an Independent Valuer having suitable expertise
and qualifications in that regard. 

Independent Valuer means a suitably qualified valuer having not less than 5 years practical experience of similar valuations to be appointed
jointly by the Parties or, failing agreement between then, by the President of the Queensland Institute of Chartered Accountants. 

Option or Options means the option or options to buy shares in the Company which are granted to AMG Members under the Terms and Conditions of the
Collins Foods Share Option Plan. 

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Parties means the parties to this Agreement. 

Plans means a joint reference to the Collins Foods Share Option Plan and the Productivity Bonus Option Plan, where required by the context of this
Agreement. 

Productivity Bonus Option or Options means the Productivity Bonus Option or Options to buy shares in the Company which are granted to AMG Members under
the Terms and Conditions of the Productivity Bonus Option Plan. 

Productivity Bonus Option Plan means the Plan adopted by the Company pursuant to which AMG Members have the opportunity to exercise Productivity Bonus
Options for the purchase of AMG Shares. 

Right of First Refusal means the right of WRC to purchase up to one-third of the AMG Shares held by any AMG Member offering those AMG Shares
for sale. The Right of First Refusal will be capable of being exercised in accordance with an agreed price for the purchase of the AMG Shares offered to the vendor of those AMG Shares by any other AMG
Member. 

Selected Employees means those district managers and head office personnel as are selected by the Senior Management Group to participate in AMG. 

Senior Management Group means Kevin Perkins, Lynne Grace, James Ryan, Simon Perkins, Mark Argent, Ross Brown, John Hands, Pam Martin, James Misakian,
David Nash and Jeremy Ryland. 

Share Buyback means the activity to be engaged in by the Company, at the direction of WRC, whereby the Company buys back AMG Shares from AMG Members or
Eligible Employees and subsequently arranges for the cancellation of those AMG Shares. 

Shareholders means individual AMG Members, WRC and/or any nominee of WRC which may own shares in CFG from time to time. 

Strike Price means the price at which any Option/Productivity Bonus Option may be exercised. 

Transfer means any sale, transfer, conveyance, pledge or other disposition of CFG stock by a Party to this Agreement. 

Trustee in Bankruptcy means a trustee appointed to administer the affairs of an insolvent AMG Member or a Receiver appointed by a secured creditor to
sell the AMG Shares held by any AMG Member. 

WRC means Worldwide Restaurant Concepts, Inc., the parent company of CFG. 

WRC Shares means those issued shares in CFG which are owned by WRC and/or by any nominee of WRC during the term of this Agreement. 

1.2   Interpretation  

In
this Agreement, unless the contrary intention appears:— 

	(a)
	a
reference to a person includes a corporation and a reference to a particular gender includes other genders;

	(b)
	a
reference to an agreement or any provision of an agreement includes a reference to that agreement as varied, supplemented, novated, assigned or replaced;

	(c)
	a
reference to a clause or a schedule will be construed as a reference to a clause of or a schedule to this Agreement unless otherwise specified;

	(d)
	a
reference to any statute or statutory provision, or any section, Part or division of any statute or statutory provision include all consolidations, re-enactments and
substitutions and 

3

 

amendments
from time to time and the regulations, by-laws and orders for the time being in force; 

	(e)
	a
reference to a party where more than one party is bound by any term or condition is a reference to those Parties jointly and severally;

	(f)
	a
reference to a party includes that Party's executors, administrators, successors and permitted assigns;

	(g)
	all
references to dollars or $                  signs refer to Australian dollars;

	(h)
	words
denoting the singular include the plural and vice versa; and

	(i)
	headings
are inserted for guidance only and do not affect the content or meaning of any clauses. 

2.     ACQUISITION OF AMG SHARES BY AMG MEMBERS  

	2.1
	Following
the AMG Option Date, AMG Members shall be entitled to exercise Options issued under the Collins Foods Share Option Plan, and Productivity Bonus Options issued under the
Productivity Bonus Option Plan, in the manner specified in such Plans.

	2.2
	The
various exercises of Options and Productivity Bonus Options by the AMG Members will be met by a new issue of shares in CFG. The AMG Shares allocated to each AMG Member shall be
ordinary shares in the Company, carrying equivalent rights as those which apply to currently issued shares to payment of dividends, voting at General Meetings and distribution of capital in the event
of winding up.

	2.3
	As
soon as any individual AMG Member exercises his Options or Productivity Bonus Options, and becomes entitled to registration as a shareholder in CFG, the relevant AMG Member shall
automatically be confirmed as a party to this Shareholders' Agreement without any further step being taken, or any additional documentation being signed.

	2.4
	CFG
shall ensure that the Register of AMG Members set out in the Schedule is updated from time to time, particularly with relation to the number of AMG Shares held by each continuing
AMG Member after the initial issue of AMG Shares and after any subsequent disposal of AMG Shares permitted by the terms and conditions of this Agreement. 

3.     DURATION OF AGREEMENT  

	3.1
	This
Agreement shall become effective on signing by the Parties and shall continue in full force and effect at all times during any period when shares in CFG are owned by AMG Members
and WRC (and/or any nominee of WRC).

	3.2
	The
Shareholders' Agreement will terminate automatically if either of the following events occur:—

	(a)
	AMG
acquires all of the WRC Shares; or

	(b)
	WRC
and/or any nominee of WRC acquire all of the AMG Shares.

	3.3
	Once
a Party has disposed of all of its shares in CFG in accordance with this Agreement, it will not be obliged to observe the terms and conditions of this Agreement with respect to
any future matters. This clause does not affect its liability with respect to any rights which may have accrued under this Agreement prior to or as a result of the disposal of the AMG Shares, and in
particular clauses 10.8(b) and 11.1 of this Agreement shall continue to apply. 

4

 

4.     RESTRICTION ON TRANSFER OF AMG SHARES  

	4.1
	No
AMG Member shall be entitled to Transfer any AMG Shares during the period of 6 months and one day after the initial date of issue of those AMG Shares. After that time, a
Transfer of shares may only occur on the basis set out in this Agreement.

	4.2
	Notwithstanding
the terms of the Constitution of CFG, the AMG Members agree that the pre-emptive rights and obligations specified in Clauses 4.3 to 4.14 inclusive will
attach to their AMG Shares.

	4.3
	An
AMG Member may only Transfer his AMG Shares to WRC (or, at WRC's direction, to its nominee), or to another AMG Member, or to an Eligible Employee. (For the purposes of this
Clause 4, the term "AMG Member" shall be deemed to include reference to any Eligible Employee.)

	4.4
	In
order to ascertain whether any other AMG Member is willing to purchase the AMG Shares, the Disposing Shareholder must give an AMG Transfer Notice to the Directors of CFG. The AMG
Transfer Notice must state relevant details concerning the proposed sale, including the number of shares offered for sale and the price per share which the Disposing Shareholder is prepared to accept.
Once the AMG Transfer Notice has been issued, it will not be revocable except with the unanimous written consent of all Directors entitled to vote.

	4.5
	The
AMG Transfer Notice must constitute CFG as agent for the Disposing Shareholder for the sale of the AMG Shares referred to in the notice.

	4.6
	The
AMG Shares referred to in the AMG Transfer Notice must be offered by the Directors of CFG to each of the other AMG Members. (No offer is required to be made to an AMG Member who,
at the time of distribution of the offer is not the current owner of any AMG Shares.)

	4.7
	Any
AMG Member who receives the AMG Transfer Notice will have a period of 30 days to confirm in writing whether he is willing to purchase any, and if so what number, of the AMG
Shares offered for sale by the Disposing Shareholder at the price nominated in the notice.

	4.8
	The
Disposing Shareholder is not bound to transfer the AMG Shares which are the subject of the AMG Transfer Notice unless all the AMG Shares the subject of that notice are to be
purchased by the continuing AMG Members.

	4.9
	In
the event that more than one AMG Member wishes to purchase the AMG Shares offered by the Disposing Shareholder, and the offers received from those Members exceed the number of AMG
Shares specified in the AMG Transfer Notice, the Directors of CFG will allocate the AMG Shares between those AMG Members proportionately, based on the number of AMG Shares which each of the relevant
Members had applied to purchase.

	4.10
	Upon
receipt of an acceptable offer from one or more AMG Members, the Disposing Shareholder must then give notice in writing to WRC of the prospective sale of the AMG Shares. The
notice to WRC shall consist of a copy of the relevant AMG Transfer Notice, together with specific details of the terms and conditions for sale of the AMG Shares which the Disposing Shareholder has
agreed to accept from the continuing AMG Members.

	4.11
	WRC
shall have the Right of First Refusal to purchase up to one-third of those AMG Shares on terms and conditions no less favourable than those agreed between the
Disposing Shareholder and the relevant AMG Members. In the event that WRC wishes to exercise its Right of First Refusal, it will give notice in writing to the Disposing Shareholder within
30 days of the notice referred to in Clause 4.10 confirming its agreement to purchase the AMG Shares, specifying the exact number of shares which it will acquire and advising the name of
the required transferee of the AMG 

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Shares.
If no such notice is issued by WRC within that timeframe, the Disposing Shareholder shall be entitled to presume that WRC does not intend to exercise its Right of First Refusal. 

	4.12
	For
these purposes, WRC's Right of First Refusal shall be deemed to extend to the following circumstances in which WRC may specify an alternative method of disposal of the relevant
AMG Shares:—

	(a)
	by
requesting CFG to participate in a Share Buyback with relation to those AMG Shares; or

	(b)
	by
nominating an Eligible Employee to become the transferee of those AMG Shares. 

If
it does proceed, WRC or its nominee must pay the agreed consideration for acquisition of those AMG Shares within 60 days after first giving notice of its intention to exercise the Right of
First Refusal. In addition, the Disposing Shareholder shall then be at liberty to proceed with the sale of the AMG Shares which are not subject to the Right of First Refusal arrangements on the basis,
and within the timeframe, initially agreed between the Disposing Shareholder and the AMG Members who are to purchase those AMG Shares. 

	4.13
	On
closing of the sale of the AMG Shares, the Disposing Shareholder shall deliver to WRC or its nominee a signed transfer of the relevant proportion of the AMG Shares, any Share
Certificate which has been issued to him with relation to those AMG Shares, as well as any declaration required to be produced to the Office of State Revenue in Queensland relative to the transfer.
The transferee shall be liable to pay the stamp duty assessed on the share transfer document.

	4.14
	In
the event that WRC does not wish to exercise its Right of First Refusal, the Disposing Shareholder shall be entitled to proceed with its sale to the relevant AMG Member or Members
who originally agreed to acquire the AMG Shares, settlement of that transaction to occur within 30 days of the Disposing Shareholder being advised that WRC does not wish to acquire the relevant
AMG Shares. Settlement shall not occur after that date, or on different terms and conditions from those notified to WRC in accordance with Clause 4.10, without the offer of a further Right of
First Refusal being given to WRC. 

5.     ACQUISITION OF AMG SHARES AT DISCRETION OF WRC  

	5.1
	The
Parties acknowledge that WRC may become entitled to purchase AMG Shares as a result of the exercise of a Right of First Refusal, as specified in Clause 4.11 of this
Agreement. This Clause 5 also specifies alternative circumstances in which WRC may, or may become entitled to, acquire shares from AMG Members at its discretion.

	5.2
	If
an AMG Member's employment with the Company is terminated for any reason whatsoever, WRC shall have the right, but not the obligation, to purchase all of that Member's AMG Shares
for Fair Market Value. WRC shall notify the Member within 60 days from the cessation of employment as to whether it will exercise its discretion in this regard. If it does so, WRC shall pay the
purchase price for the AMG Shares to the Member within a further period of 30 days after notification of its agreement to proceed with the acquisition.

	5.3
	If
WRC notifies the AMG Member who is ceasing employment with the Company that it does not wish to purchase his or her AMG Shares, then the relevant Member may proceed with a Transfer
of AMG Shares in accordance with the various provisions of Clause 4 of this Agreement.

	5.4
	In
the event that an AMG Member who is a member of the Senior Management Group transfers not less than 25,000 AMG Shares to another AMG Member within a 90 day period
immediately prior to termination of the employment of that Senior Management Group member, then WRC shall have the right, but not the obligation, to purchase all of the relevant AMG Shares from the
transferee at the price paid by the transferee (being the purchase price of the AMG Shares together with any stamp duty and other specific costs relating to the acquisition which have been 

6

 

incurred
by the transferee). This right will be retained by WRC even if it failed to exercise its Right of First Refusal at the time when the relevant AMG Shares were initially offered for Transfer
under the provisions of Clause 4 of this Agreement. 

	5.5
	In
the event of the death of an AMG Member, the personal representatives of that Member shall at any time be entitled to offer all of the AMG Shares owned by that Member for purchase
by WRC at Fair Market Value. If WRC wishes to exercise its discretion to purchase the AMG Shares, it shall advise the personal representatives of the deceased Member within 60 days of receipt
of the offer for sale of the AMG Shares. In that case, WRC shall pay the purchase price for the AMG Shares to the personal representatives of the deceased Member within a further period of
30 days after notification of its agreement to proceed with the acquisition.

	5.6
	In
the event that WRC does not wish to purchase the AMG Shares, it shall advise the personal representatives accordingly within the same timeframe of 60 days, following which
those AMG Shares may then be offered for sale to the other AMG Members under the provisions of Clause 4 of this Agreement.

	5.7
	During
all times that the personal representatives of a deceased Member continue to hold AMG Shares, WRC shall have the right, but not the obligation, to purchase all of those
deceased Member's AMG Shares for Fair Market Value. If it decides to do so, WRC shall notify the personal representatives of the Member of its decision in that regard. In that event, WRC shall pay the
purchase price for the AMG Shares to the personal representatives of the Member within a period of 30 days after notification of its intention to proceed with the acquisition of the relevant
AMG Shares.

	5.8
	If
a Trustee in Bankruptcy is appointed to manage the affairs of any AMG Member, WRC shall immediately become entitled to purchase all of the AMG Shares owned by the insolvent Member
at Fair Market Value. WRC shall advise the Trustee in Bankruptcy of that Member within 30 days of becoming aware of the appointment of the Trustee as to whether it wishes to purchase the
relevant AMG Shares. In the event that it does so, suitable arrangements will be made for the transfer of the AMG Shares in exchange for payment of the relevant consideration within 60 days
after notification by WRC of its intention to purchase those AMG Shares.

	5.9
	If
WRC does not exercise its discretion to purchase the AMG Shares (whether or not it has advised the Trustee in Bankruptcy in that regard within the 30 day time period
referred to in Clause 5.8), the Trustee in Bankruptcy shall then be required to offer to Transfer the AMG Shares in accordance with the provisions of Clause 4 of this Agreement and, for
that purpose, shall provide an AMG Transfer Notice to the Directors of CFG not later than 90 days after the Trustee in Bankruptcy is first appointed to manage the affairs of the relevant AMG
Member.

	5.10
	A
number of provisions in this Agreement, particularly in this Clause 5, indicate that AMG Shares will be sold or disposed of for Fair Market Value. It shall be the joint
responsibility of WRC and the AMG Representative to ensure that the Fair Market Value is determined by an Independent Valuer as at the end of each fiscal year throughout the currency of the
Shareholders' Agreement. The Independent Valuer shall also be instructed to prepare quarterly modifications of the Fair Market Value taking into account the major factors which are relevant to the
annual valuation. CFG shall be liable to pay the costs which are charged by the Independent Valuer during the term of this Agreement.

	5.11
	For
the purposes of this Agreement, where the Fair Market Value of any relevant AMG Shares is required to be determined, the Parties will adopt the Fair Market Value applicable as at
the end of the fiscal quarter immediately preceding the date on which such value is required to be determined. 

7

 
	5.12
	For
the purposes of this Clause 5, the right of WRC to exercise a discretion for the purchase of AMG Shares in any of the circumstances referred to in this clause shall be
deemed to extend to the following circumstances in which WRC may specify an alternative method of disposal of the relevant AMG Shares:—

	(a)
	by
requesting CFG to participate in a Share Buyback with relation to those AMG Shares; or

	(b)
	by
nominating an Eligible Employee to become transferee of those AMG Shares.

	5.13
	Even
if WRC does not exercise one or more of the discretions available to it for the purchase of AMG Shares under the various provisions in this Clause 5, WRC shall retain the
Right of First Refusal specified in Clause 4.11 of this Agreement (including the options to require a Share Buyback or a sale to an Eligible Employee, in the manner specified in
Clause 4.12 of this Agreement).

	5.14
	Each
potential sale and acquisition scenario referred to in any part of this Clause 5 is subject to the overriding application of the time limitation specified in
Clause 4.1. The Parties agree that commencement of each of the time periods specified in Clause 5 will be deferred until such time as the relevant AMG Member has held the subject AMG
Shares for not less than 6 months and 1 day after the date of issue of those AMG Shares by the Company. 

6.     ALLOCATION OF ADDITIONAL AMG SHARES  

	6.1
	The
Parties acknowledge that a pool of 128,000 Options originally offered to AMG Members in March 2001 under the terms of the Collins Foods Share Option Plan were not taken up
by the respective offerees. The relevant Options are now of no effect and are unable to be exercised by any AMG Member.

	6.2
	However,
WRC agrees that the Executive Group shall have the right to identify Eligible Employees to whom the additional shares may be allocated, as and when appropriate circumstances
arise. The shares referred to in this clause shall not be available for allotment or allocation to the original AMG Members (except in circumstances where an original AMG Member has been appointed to
or promoted to an employment position with the Company which justifies or supports the holding of an additional number of AMG Shares, when compared with the Options and/or Productivity Bonus Options
originally allocated to that AMG Member).

	6.3
	If
any part of the pool of 128,000 shares is required to be allotted by the Company in accordance with the terms of Clause 6.2 above, the amount payable by any Eligible
Employee shall be the Fair Market Value as at the date of such allotment. 

7.     RIGHT TO REQUIRE SALE OF AMG SHARES  

	7.1
	In
the event that WRC accepts an offer to sell its shares in CFG to a third party purchaser, WRC shall have the right to require each of the AMG Members to sell their AMG Shares to
the relevant third party purchaser on the same terms and conditions.

	7.2
	Notwithstanding
the terms of Clause 3.3 of this Agreement:

	(a)
	if
WRC does not exercise the right specified in Clause 7.1, WRC acknowledges and agrees that it shall not be entitled to sell all of its shares in CFG unless the third party
purchaser has entered into a form of accession or novation of this Agreement, with the effect that the third party purchaser will be bound by each of the terms and conditions of this Agreement to the
same extent as if it had originally been named as a party in the place of WRC; and

	(b)
	WRC
is not released from any of its obligations under this Agreement until the purchaser is bound by the terms and conditions of this Agreement. 

8

 

	7.3
	The
Parties further agree that the third party purchaser of all of WRC's Shares in CFG shall (following compliance with the provisions of Clause 7.2 above) have the right, for
a period of 12 months from the date of its acquisition of shares from WRC, to require each of the AMG Members to sell their AMG Shares to the third party purchaser (or its nominee) on the
following basis:—

	(a)
	a
notice to that effect must be provided by the third party purchaser in compliance with Clause 9.2 of this Agreement on or before the date which is 12 months after its
acquisition of WRC's shares in CFG;

	(b)
	that
notice must specify that all AMG Shares will be acquired from AMG Members for Fair Market Value as at the date on which the notice is given;

	(c)
	the
third party purchaser shall be liable for the cost of the valuation required to be undertaken to establish Fair Market Value at the relevant date;

	(d)
	the
third party purchaser shall be required to proceed to completion of the acquisition of the AMG Shares from each AMG Member within 30 days after the Fair Market Value has
been established;

	(e)
	the
third party purchaser shall be liable to pay any stamp duty or transfer duty assessed as a consequence of the transactions referred to in this Clause 7.3. 

8.     MANDATORY ACQUISITION OF AMG SHARES BY WRC  

	8.1
	WRC
agrees that each of the AMG Members shall have the right to put to WRC not more than one-sixth of the AMG Shares owned by them during each year after the AMG Option
Date, subject to the following qualifications:—

	(a)
	An
AMG Member must first hold the AMG Shares for a minimum period of 6 months plus one day before any part of those AMG Shares can be put to WRC;

	(b)
	All
AMG Members intending to sell AMG Shares to WRC on this basis must give WRC notification in writing of their intent to put within 30 calendar days after the end of each fiscal
quarter during the tenure of this Agreement;

	(c)
	The
number of AMG Shares to be put to WRC by each AMG Member under the provisions of this clause will be in multiples of 1,000 shares (unless the number of AMG Shares which the AMG
Member is entitled to put at that stage is less than 1,000 shares, in which event 100% of that Member's entitlement will be the subject of the put);

	(d)
	The
purchase price of any AMG Shares put to WRC under the provisions of this clause will be equivalent to the Fair Market Value of the relevant AMG Shares as at the relevant quarter
end date;

	(e)
	WRC
shall be required to pay the purchase price within 60 calendar days after the end of each fiscal quarter, or within 90 days after the end of the fiscal year for any put
which is made after the end of the fourth fiscal quarter in each year;

	(f)
	The
right to put AMG Shares in accordance with this clause shall be cumulative and need not be exercised during the year in which the right to make the put first arises. (By way of
example, the Parties acknowledge that an AMG Member need not put any AMG Shares to WRC in the first year or the second year of the operation of this Agreement; if that was the case, that AMG Member
would then have the right to put not more than one-half of his or her AMG Shares to WRC at any time after August 21, 2005.) 

9

 

	8.2
	Provided
that CFG is permitted to do so under the relevant provisions of the Australian Corporations Law from time to time, WRC reserves the right to substitute CFG as the party to
whom any relevant put must be made by an AMG Member intending to sell any part of his or her AMG Shares in accordance with the terms of this Clause 8. In that event, CFG will be required to
enter into a Share Buyback arrangement with relation to the AMG Shares put by the AMG Member, after first having obtained any approvals required to be given by the Directors or Shareholders of the
Company. In addition, if WRC does not pay any money required to be paid to an AMG Member under the provisions of Clause 8.1 within 5 business days of the due date, WRC irrevocably authorises
and instructs CFG to offer to buyback the AMG Shares which are the subject of any such delayed payment.

	8.3
	In
addition to the general provisions in Clause 10.1 relating to the alteration of this Agreement, the Parties specifically agree that they will not vary this Agreement in any
manner which affects the operation of this Clause 8 or agree to terminate this Agreement unless a CFG Special Resolution has been agreed to in writing. 

9.     AUTHORITY OF AMG REPRESENTATIVE  

	9.1
	The
members of the Executive Group (as it may be constituted from time to time) shall have exclusive authority to act as the AMG Representative.

	9.2
	Any
notice to be given by WRC to the AMG Representative will be effective if delivered to any 2 members of the Executive Group, by a method specified in Clause 10.6.

	9.3
	In
general terms, any decision required to be made by the AMG Representative will be concluded by a simple majority of the members of the Executive Group. (In the case of a deadlock
between the members of the Executive Group, the Chief Executive Officer of CFG will have a casting vote.) 

10.   GENERAL PROVISIONS  

	10.1
	Waiver and Variation

	(a)
	The
variation or waiver of a provision of this Agreement or a Party's consent to a departure from a provision by another Party will be ineffective unless a CFG Special Resolution has
been agreed to in writing.

	(b)
	A
Party's failure or delay to exercise a power or right does not operate as a waiver of that power or right.

	(c)
	The
exercise of a power or right does not preclude its future exercise or the exercise of any other power or right.

	10.2
	Time of the Essence

	(a)
	Time
is of the essence of this Agreement.

	(b)
	The
Parties may agree in writing to vary any time requirement and any time requirement so varied will be of the essence of this Agreement.

	(c)
	If
the time for performing any act under this Agreement expires on a Saturday, Sunday or public holiday, then the time for performing that act is extended until the next business day.

	10.3
	Assignment

The
Parties may not assign or otherwise dispose of or deal with their respective interests in or rights or obligations pursuant to this Agreement without the written consent of the other Parties. 

10

 

The
AMG Representative on behalf of the AMG Members may exercise any right of the AMG Members to consent to any such proposed assignment by WRC. 

	10.4
	Severability

	(a)
	Each
word, phrase, sentence, paragraph and clause ("provision") of this Agreement is severable.

	(b)
	If
a court determines that a provision is unenforceable, illegal or void then the court may sever that provision which:

	(i)
	becomes
inoperative; and

	(ii)
	will
not affect the other provisions of this Agreement.

	10.5
	Entire Agreement

This
Agreement constitutes the entire agreement between the Parties as to its subject matter and supersedes all prior representations and agreements in connection with that subject matter. 

	10.6
	Notices

	(a)
	Any
notice under this Agreement must be in writing and must be:

	(i)
	delivered
personally to the recipient; or

	(ii)
	sent
by prepaid ordinary post (airmail if posted to or from a place outside Australia) to the address of the recipient; or

	(iii)
	sent
by facsimile to the facsimile number of the recipient, or if the recipient notifies another address or facsimile number, then to that address or facsimile number. 

However,
in the case of an individual AMG Member, notices may be given and received on behalf of each Member by the AMG Representative, as specified in Clause 9.2. 

	(b)
	The
addresses and facsimile numbers of the Parties are:

	(i)
	Collins
Foods Group Pty Ltd 

	Address:	 	16 Edmondstone Street

Newmarket Qld 4051
	

Facsimile No:	
 	

(07) 3352 0877

	(ii)
	Worldwide
Restaurant Concepts, Inc. 

	 	 	Address: Suite 300, Building B, 15301 Ventura Boulevard, Sherman Oaks, California 91403, United States of America
	

Facsimile No:	
 	

(0015) 1 818 530 0189

	(iii)
	Australian
Management Group Members 

	 	 	Care of the AMG Representative, at the same address and facsimile number as are shown for the Company.

	(c)
	A
notice is taken to have been received:

	(i)
	in
the case of a posted letter, on the second (seventh, if posted to or from a place outside Australia) business day after posting; and 

11

 

	(ii)
	in
the case of a facsimile, on production of a transmission report by the machine from which the facsimile was sent which indicates that the facsimile was sent in its entirety to the
facsimile number of the recipient.

	10.7
	Counterparts

This
Agreement may be executed in any number of counterpart copies and all of those counterparts, taken together, will constitute the one instrument. 

	10.8
	Governing Law and Jurisdiction

	(a)
	This
Agreement is governed by the law of Queensland.

	(b)
	Each
Party submits to the non-exclusive jurisdiction of the courts of Queensland (including any courts of appeal). 

11.   DISPUTES  

	11.1
	In
the event of any dispute or difference arising between the Parties in respect to any matter arising out of this Agreement, such dispute shall be referred to an independent
mediator appointed by agreement between the Parties and failing agreement appointed by the President for the time being of the Queensland Law Society. In the event that the mediation should not
resolve the dispute within one month of the dispute arising, the dispute shall be referred to an independent arbitrator appointed by agreement between the Parties and failing agreement by the
President for the time being of the Queensland Law Society. The Parties hereby agree that the arbitrator shall be acting as an expert and, in the absence of any manifest error, the decision of the
arbitrator shall be final and binding on both Parties. The costs of any such mediator or arbitrator shall be shared equally by the Parties. Any other costs shall be met by the Party who incurs them. 

12

  

 
 

SCHEDULE
  AUSTRALIAN MANAGEMENT GROUP MEMBERS    
    

A.1 Senior Management Group  

	Name
 
	 	Addresses

	Kevin Perkins	 	205 Sugars Road, Anstead
	

Lynne Grace	
 	

3 Chardonnay Court, Carseldine
	

James Ryan	
 	

2 Beachcrest Road, Wellington Point
	

Simon Perkins	
 	

11 Yarrunga Court, Westlake
	

Mark Argent	
 	

10 Firewheel Crt, Eatons Hill
	

Ross Brown	
 	

35 Empire Vista, Ormiston
	

John Hands	
 	

PO Box 301, Ashgrove
	

Pam Martin	
 	

14 Eucalyptus Place, Albany Creek
	

James Misakian	
 	

c/- Prem Pomsoong, Minor Food Group, 99 Berli Jucker House, 15th Floor, Soi Rubia Sukhumvit 42, Klongtoey, Bangkok, Thailand 10110
	

David Nash	
 	

8 Dudley Court, Bunya
	

Jeremy Ryland	
 	

6 Greenmont Close, Ashgrove

13

 

A.2 Selected Employees  

	Name
 
	 	Address

	Jim McDonald	 	99 Ash Drive, Banora Point, NSW
	

Ritchie Wood	
 	

5 Morgan Close, Manly West
	

Ron Gageler	
 	

9 Prasada Court, Eatons Hill
	

Mike Mothersole	
 	

53 Whiteside Road, Whiteside
	

Ian Scrymgeour	
 	

41 Lurnea Crescent, Mountain Creek
	

Martin Clarke	
 	

15 Wood Drive, Toowoomba
	

Mick Price	
 	

Appt 6, 18 - 30 Sir Leslie Thiess Drive, Townsville
	

Paul Irvine	
 	

80 Chalk Street, Wooloowin
	

Wayne Hargens	
 	

2/5 Collabah Close, White Rock
	

Jan Hemsley	
 	

28 Royal Terrace, Hamilton
	

Arun Bakshi	
 	

12 Moolah Road, Terry Hills
	

Phillip Coleman	
 	

PO Box 15, Annerley
	

Narelle Cordaro	
 	

148 Samsonvale Road, Strathpine
	

Brad Lederhose	
 	

1 Denube Avenue, Beechboro
	

Cherie Howden	
 	

44 Aralia Street, Ferny Hills
	

Judy Fenton	
 	

PO Box 7268, East Brisbane
	

Ian Glanfield	
 	

132 Menser Street, Calamvale
	

Les Stiles	
 	

9 Turnberry Drive, Victoria Point
	

Vicki Pettinari	
 	

PO Box 523, Lutwyche
	

Shaun Smith	
 	

1 Grande Terrace, Monterey Keys
	

Trevor Stammers	
 	

3 Edzell Place, Carindale
	

Dwight George	
 	

57 Delaney Circuit, Carindale
	

Sue Conquest	
 	

18 Brigadoon Crescent, Eatons Hill
	

Jodie Fry	
 	

8 Duet Court, Eatons Hill
	

Susie Gilroy	
 	

21 Hermitage Crescent, Thornlands
	

Renae Stone	
 	

6 Silex St, Mansfield
	

Bob Bothwell	
 	

39 Seaforth Crescent, Seaforth, NSW

14

   
        IN WITNESS WHEREOF, the Parties have signed this Agreement on the date first set out above. 

	

 	
 	

 	
 	

 
	THE COMMON SEAL of COLLINS

FOODS GROUP PTY LTD is affixed as

required by the terms of its Constitution:	 	)

)

)	 	 
	

 	
 	

 	
 	

 
	/s/  KEVIN PERKINS      
 Signature of Director/Secretary	 	 	 	/s/  LYNNE GRACE      
 Signature of Director
	

 	
 	

 	
 	

 
	Kevin Perkins
 Name of Director/Secretary	 	 	 	Lyne Grace
 Name of Director
	

 	
 	

 	
 	

 
	THE COMMON SEAL of WORLDWIDE

RESTAURANT CONCEPTS, INC. is

affixed as required by the terms of its Articles

of Association:	 	)

)

)

)	 	 
	

 	
 	

 	
 	

 
	/s/  A. KEITH WALL      
 Signature of Authorised Representative	 	 	 	/s/  MICHAEL GREEN      
 Signature of Authorised Representative
	

 	
 	

 	
 	

 
	A. Keith Wall
 Name of Authorised Representative	 	 	 	A. Keith Wall
 Name of Authorised Representative
	

 	
 	

 	
 	

 
	SIGNED for and on behalf of the individual
 AUSTRALIAN MANAGEMENT GROUP

MEMBERS by the members of the Executive

Group:	 	)

)

)

)	 	 
	

 	
 	

 	
 	

 
	/s/  KEVIN PERKINS      
 Kevin Perkins	 	 	 	/s/  LYNNE GRACE      
 Lynne Grace
	

 	
 	

 	
 	

 
	/s/  KEVIN PERKINS      
 James Ryan	 	 	 	/s/  SIMON PERKINS      
 Simon Perkins

15

QuickLinks

Exhibit 10.55

TABLE OF CONTENTS

COLLINS FOODS GROUP PTY LTD— SHAREHOLDERS' AGREEMENT

SCHEDULE AUSTRALIAN MANAGEMENT GROUP MEMBERSQuickLinks
 -- Click here to rapidly navigate through this document

 
 

EXHIBIT 4.10    
    

 
 

TEXAS REGIONAL BANCSHARES, INC.
  2004 NONSTATUTORY STOCK OPTION PLAN    
    

        Texas Regional Bancshares, Inc., a Texas corporation (hereinafter called the "Corporation") believes that allowing certain key employees to obtain shares
of the Class A Voting Common Stock of the Corporation through the use of stock options hereinafter provided for will be beneficial to the initial and continued success of the Corporation. In
furtherance of the foregoing, the Corporation hereby establishes the Texas Regional Bancshares, Inc. 2004 Nonstatutory Stock Option Plan (the "Plan"). 

        1.    Purpose.    The purpose of the Plan is to secure for the Corporation and its stockholders the benefits which
flow from providing key employees of the Corporation and its subsidiaries with the incentive inherent in common stock ownership. It is generally recognized that stock option plans aid in retaining
competent employees and furnish a device to attract employees of exceptional ability to the Corporation because of the opportunity offered to acquire a proprietary interest in the business. For
purposes of the Plan, a subsidiary is any corporation in which the Corporation owns, directly or indirectly, stock possessing fifty percent (50%) or more of the total combined voting power of all
classes of stock or over which the Corporation has effective operating control. The Corporation intends that stock options granted or exercised under this Plan not qualify as "Incentive Stock Options"
under Section 422 of the Internal Revenue Code of 1986, as amended from time to time, and pertinent regulations. 

        2.    Amount of Stock.    

        (a)   The
total number of shares of Class A Voting Common Stock to be subject to options granted pursuant to the Plan shall not exceed Two Hundred Fifty Thousand
(250,000) shares of the Corporation's Class A Voting Common Stock (hereinafter referred to as the "Common Stock" or the "Stock") each having a par value of $1.00. 

        (b)   In
the event of (i) stock dividends, stock splits, or subdivisions, combinations or reclassifications of the Stock, or (ii) the merger or consolidation of
the Corporation with any other business entity, the sale of all or substantially all of the Corporation's assets, the liquidation or dissolution the Corporation, or any other form of corporate
reorganization or other similar capital change, the number and kind of shares of stock of the Corporation described in the Plan or to be granted under the Plan, the number and kind of shares of stock
of the Corporation subject to options then outstanding under the Plan, the maximum number of shares for which options may be issued under the Plan, the option price and other relevant provisions shall
be appropriately adjusted. The determination of the Board of Directors, or the Committee appointed by the Board as herein provided, as to any dispute related to adjustments shall be binding on all
persons. 

        (c)   In
the event that options granted under this Plan shall expire, terminate unexercised or otherwise lapse without being exercised in whole or in part, the shares covered
by the unexercised portion of the expired, terminated or lapsed options shall be available for future grants under the Plan, within the limits herein described. 

        (d)   The
stock to be issued under the Plan may constitute an original issue of authorized stock or may consist of previously issued stock acquired by the Corporation, as
shall be determined by the Board or the Committee. 

        3.    Stock Option Committee.    The Board of Directors of the Corporation (the "Board") shall from time to time
appoint a Stock Option Committee (the "Committee") to serve under this Plan. The Committee shall consist of either: 

	(i)
	Three
or more directors, none of whom are, on the date selected for the Committee, and for one year prior thereto, eligible for selection under the Plan, any other plan of the
Corporation or any affiliate of the Corporation to acquire stock, stock options or stock appreciation rights of the Corporation or any of its affiliates, and who otherwise meet the definition of a
"Non-Employee Director for purposes of Rule 16b-3(d)(1) as promulgated by the Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934, as
amended; or

	(ii)
	The
entire Board of Directors of the Corporation, so long as a majority of the Board and a majority of the Directors acting as members of the Committee are not, at the time of
selection for the Committee, and for one year prior thereto, eligible for selection under the Plan, any other plan 

of
the Corporation or any affiliate of the Corporation to acquire stock, stock options or stock appreciation rights of the Corporation or any of its affiliates. 

        A
person serving on the Committee shall not be considered as being eligible to acquire stock, stock options, or stock appreciation rights if such eligibility is under the terms of an
employee benefit plan of the Corporation which is open to all employees of the Corporation and the eligibility and allocation criteria are fixed and uniform for all employees. 

        Persons
serving on the Committee may receive options if such options being granted to any such person are subject to shareholder approval and are independent of any type of plan. 

        The
Committee shall have authority, consistent with the Plan: 

        (a)   to
determine which of the key employees of the Corporation and its subsidiaries shall be granted options; 

        (b)   to
determine the time or times when options shall be granted and the number of shares of Common Stock to be subject to each option; 

        (c)   to
determine the option price of the shares subject to each option and the method of payment of such price; 

        (d)   to
determine the time or times when each option becomes exercisable and the duration of the exercise period, subject to the limitations contained in
Paragraph 6(b); 

        (e)   to
prescribe the form or forms of the instruments evidencing any options granted under the Plan and of any other instruments required under the Plan and to change such
forms from time to time; 

        (f)    to
adopt, amend and rescind rules and regulations for the administration of the Plan and the options and for its own acts and proceedings; 

        (g)   to
decide all questions and settle all controversies and disputes which may arise in connection with the Plan; and 

        (h)   to
take other actions permitted of the Committee by this Plan, authority hereafter granted by the Board or as permitted by law. 

All
decisions, determinations and interpretations of the Committee shall be final and binding on all parties concerned. 

        4.    Eligibility and Participation.    Options may be granted pursuant to the Plan to employees of the Corporation
and any parent or subsidiary of the Corporation (hereinafter sometimes called an "employee" or collectively the "employees"). 

        From
time to time the Committee shall select the employees to whom options may be granted by the Board and shall determine the number of shares to be covered by each option so granted.
Future as well as present employees (including employees who are directors) shall be eligible to participate in the Plan. If the entire Board constitutes the Committee, then members of the Committee
that are otherwise eligible to participate
in the Plan shall be allowed to participate in the Plan, provided that such eligible members constitute a minority of the Board, and provided further, that any individual member of the Committee
allowed to participate will be prohibited from voting upon or in any way influencing the other members of the Committee in designating such individual member as a recipient of option grants or in
exercising any other discretion granted to the Committee regarding the option grants to such individual member. If the Committee is appointed under the terms of subparagraph (i) of
Section 3 hereof, then members of the Committee (including those who are key employees of the Corporation or a subsidiary corporation of the Corporation) shall not be eligible to participate in
the Plan. 

        The
adoption of the Plan does not confer upon any employee of the Corporation or a subsidiary any right to continue employment with the Corporation or a subsidiary, as the case may be,
nor does it interfere in any way with the right of the Corporation or a subsidiary to terminate the employment of any of its employees at any time. 

        5.    Option Agreement.    The terms and provisions of options granted pursuant to the Plan shall be set forth in
agreements (which need not be identical) in such form and containing such provisions as are consistent with this Plan as the Board or the Committee may from time to time approve (individually an
"Option Agreement" and collectively the "Option Agreements"). An Option Agreement may incorporate all or any of the terms hereof by reference and shall comply with and be subject to the terms and
conditions herein provided. 

        6.    Price.    The purchase price per share of Common Stock purchasable under options granted pursuant to the Plan
shall be an amount equal to one hundred percent (100%) of the fair market value of the stock, as determined by the Board or the Committee, at the time the options are granted. The full purchase price
of shares purchased shall be paid upon exercise of the option in the manner and by the means set forth in the employee's Option Agreement. The consideration shall be paid either in cash, by check, or
for such other consideration as the Board or Committee may approve. Under certain circumstances the purchase price per share shall be subject to adjustment as referred to in Section 11 or 13 of
this Plan and as described in the Option Agreement executed pursuant to a grant under this Plan; however, the price per share of Common Stock purchasable under options granted pursuant to the Plan
shall not be subject to adjustment after the date of grant in the absence of the occurrence of an event described in Section 11 or 13. 

        7.    Exercise Period.    The right to purchase any Common Stock pursuant to the exercise of an option granted under
this Plan may be either cumulative or non-cumulative, as determined by the Board or the Committee. Any Common Stock purchasable pursuant to the exercise of an option granted under this
Plan will be purchasable in accordance with the schedule set forth in the Option Agreement between the Corporation and the employee receiving the option, subject to any other limitation provided in
this Plan or in the employee's Option Agreement. A person electing to exercise an option shall give notice as described in his or her Option Agreement, such notice to be accompanied by such
instruments or documents as may be required by the Option Agreement and the Committee, and unless otherwise directed by the Committee, the employee shall at the time of exercise tender the purchase
price of the shares he or she has elected to purchase. Unless otherwise provided in the particular Option Agreement, in the event the portion of Common Stock purchasable under the Option Agreement
involves a fraction of a share, the amount purchasable at that time shall be rounded upward to the next complete share to allow the purchase of a complete share of Common Stock. 

        8.    Option Period.    No option granted pursuant to the Plan shall be exercisable after the expiration of ten
(10) years from the date the option is first granted. The expiration date for any option or portion thereof, which may be any period not in excess of ten (10) years following the date of
grant of the option, shall be stated in the Option Agreement and is hereinafter called the "Expiration Date". 

        Notwithstanding
any other provision of this Plan, no option shall be granted under this Plan more than ten (10) years after the date this Plan is adopted by the Board, or the date
this Plan is approved by the Common Stock stockholders, whichever is earlier. 

        9.    Termination of Employment.    The Option Agreement may provide that: 

        (a)   If,
prior to the Expiration Date for any option granted hereunder, the employee shall for any reason whatever, other than (1) his permanent and total disability
as defined in (c) below, or (2) his death, cease to be employed by the Corporation, or a parent or subsidiary corporation of the Corporation, then any unexercised portion of such option
shall automatically terminate upon the date of such termination of employment. 

        (b)   If,
prior to the Expiration Date for any option granted hereunder, the employee shall die at a time when he had been employed by the Corporation, or a parent or
subsidiary corporation of the Corporation, from the date of granting of such option until the date of his death, then the legal representatives of his estate or a legatee or legatees of the option
shall have the right, for a period of three (3) months after his death, to purchase all or any part of the Stock subject to the option outstanding and unexpired as of his date of death. 

        (c)   If,
prior to the Expiration Date for any option granted hereunder, the employee shall cease to be employed by the Corporation, or a parent or subsidiary corporation of
the Corporation, because he becomes permanently and totally disabled, as hereafter defined, and prior to such termination of employment by reason of disability the employee had been employed by the
Corporation, or a parent or subsidiary of the Corporation, at all times since the date of the granting of such option, then such employee or his legal representative shall have the right, for a period
of one (1) year from the date of such termination of employment by reason of disability, to exercise any right to purchase Stock pursuant to the option. 

An
employee is "permanently and totally disabled" if he is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be
expected to result in death or which has lasted or can be expected to last for a continuous period of not less than twelve (12) months. Such determination of permanent and total disability
shall be made as allowable under Section 22, and applicable regulations, of the Internal Revenue Code of 1986, as amended, or any other applicable method necessary for the continued
qualification of this Plan under Section 422 of the 

Internal
Revenue Code. In the absence of any specific requirements for this determination, the decision of the Board or the Committee, as aided by any physicians they designate, shall be conclusive. 

Nothing
in (a), (b), or (c) shall extend the time for exercising any option granted pursuant to the Plan beyond the Expiration Date for the option. Any Option Agreement may contain or otherwise
provide for conditions giving rise to the forfeiture of Stock or a repurchase right with respect to Stock acquired pursuant to an Option Agreement executed pursuant to this Plan, and may also provide
for such restrictions on the transferability of shares of Stock acquired pursuant to an Option Agreement executed pursuant to this Plan, that the Board or the Committee in its sole and absolute
discretion may deem proper or advisable. The conditions giving rise to forfeiture or right of repurchase may include, but need not be limited to, the requirement that the optionee render substantial
services to the Corporation or any subsidiary of the Corporation for a specified period of time. The restrictions on transferability may include, but need not be limited to, options and rights of
first refusal in favor of the Corporation. 

        10.    Assignability.    The Option Agreement shall provide that the option granted thereby shall not be transferable
or assignable by the employee otherwise than by will or by the laws of descent and distribution, and during the lifetime of the employee shall be exercisable only by him or her. 

        11.    Adjustments and Modifications.    The Option Agreement may contain such provisions as the Board or the
Committee may approve concerning the effect upon the option granted thereby and upon the per share or per unit option price, of (i) stock dividends, stock splits, or subdivisions, combinations
or reclassifications of the Stock, or (ii) the merger or consolidation of the Corporation with any other business entity, the sale of all or substantially all of the Corporation's assets, the
liquidation or dissolution the Corporation, or any other form of corporate reorganization or other similar capital change. Subject to the terms and conditions and within the limitations of this Plan,
the Board or Committee may modify, extend, or renew outstanding rights granted under this Plan, or accept the surrender of outstanding rights (to the extent not theretofore exercised). Notwithstanding
the foregoing, no modification of an option shall, without the consent of the optionee, alter or impair any rights of the optionee under the option. 

        12.    Issuance Requirements.    The Corporation shall not be obligated to issue any shares unless and until, in the
opinion of the Corporation's counsel, (i) all applicable laws and regulations have been complied with, (ii) in the event the Corporation's Common Stock is at the time listed upon any
stock exchange or approved for trading on the Nasdaq Stock Market, the shares to be issued have been listed or trading shall otherwise be authorized upon official notice of issuance, and
(iii) all other legal matters in connection with the issuance and delivery of shares shall have been approved by the Corporation's counsel. The participant shall take any action reasonably
requested by the Corporation in connection therewith. Without limiting the generality of the foregoing, the Corporation may require from the participant such investment representation or such
agreement, if any, as counsel for the Corporation may consider necessary in order to comply with the Securities Act of 1933 as then in effect, and may require that the participant agree that any sale
of the shares will be made only in such manner permitted by law. A legend to this effect may be affixed to the certificates evidencing such shares. A participant shall have the rights of a stockholder
only as to shares actually acquired by him under the Plan. 

        13.    Corporate Merger, Consolidation, Reorganization, etc.    

        (a)   In
the event of a dissolution or liquidation of the Corporation or a merger or consolidation in which the Corporation is not the surviving corporation, any outstanding
options hereunder may be terminated by the Corporation as of the effective date of such dissolution, liquidation, merger or consolidation by giving notice to each holder thereof or his or her personal
representative of its intention to do so and by permitting the exercise during a period of not more than a specified number of days determined by the Board next preceding such effective date, or the
Expiration Date, whichever is earlier, of all of such outstanding options in whole or in part without regard to the provisions of Section 7 hereof. Subject to the preceding sentence, if the
Corporation is reorganized or merged or consolidated with another corporation, while unexercised
options are outstanding under the Plan, and the Corporation is not the surviving corporation, there shall be substituted for the Common Stock subject to the unexercised and outstanding options an
appropriate number of shares of each class of stock or other securities of the reorganized or merged or consolidated corporation which were distributed to shareholders of the Corporation in respect of
the Common Stock. Such substitution may be accomplished by the assumption of such options by the surviving corporation or the substitution for the old options of new options by the surviving
corporation. 

        (b)   The
existence of the Plan and any options granted hereunder shall not affect in any way the right or power of the Board or the stockholders of the Company to make or
authorize any adjustment, 

recapitalization,
reorganization, reclassification or other change in the Company's capital structure or its business, any merger, consolidation or separation of the Company, any issue of bonds,
debentures, preferred or prior preference stocks ahead of or affecting Common Stock or the rights thereof, the dissolution or liquidation of the Company or any sale or transfer of all or any part of
its assets or business, or any other corporate act or proceeding. 

        14.    Amendment of the Plan.    The Board of Directors of the Corporation may from time to time alter, amend, suspend
or discontinue the Plan and make rules for its administration. 

        15.    Options Discretionary.    The granting of options under the Plan shall be entirely discretionary and nothing in
the Plan shall be deemed to give any key employee any right to participate in the Plan or to receive options. 

        16.    Stockholder Approval.    The Plan will be submitted to the Common Stock stockholders of the Corporation within
twelve (12) months of the date of the adoption of the Plan by the Board. 

        17.    Termination of Plan.    This Plan shall terminate ten (10) years after its approval by the Common Stock
stockholders or adoption by the Board, whichever is earlier. Any option outstanding under this Plan at the time of its termination shall remain in effect until the option shall have been exercised or
the Expiration Date, whichever is earlier. 

        18.    Replacement Options.    The Corporation may grant options under the Plan on terms differing from those provided
for in this Plan where such options are granted in substitution for options held by employees of other corporations who have become employees of the Corporation or a subsidiary as the result of a
merger, consolidation or other reorganization of the employing corporation with the Corporation or subsidiary, or the acquisition by the Corporation or a subsidiary of the business, property or stock
of the employing corporation. The Committee may direct that the substitute options be granted on such terms and conditions as the Committee considers appropriate in the circumstances. 

        19.    Adoption of Plan by Board.    The undersigned hereby certifies that this Plan is the true and correct 2004
Texas Regional Bancshares, Inc., Nonstatutory Stock Option Plan of the Corporation voted upon and adopted at a meeting of the Board of Directors duly held on the 10th day of February, 2004. 

QuickLinks

EXHIBIT 4.10

TEXAS REGIONAL BANCSHARES, INC. 2004 NONSTATUTORY STOCK OPTION PLAN

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