Document:

EX-10.3

  SEPARATION PAY AGREEMENT

  THIS SEPARATION PAY AGREEMENT (“Agreement”), dated as of March 24, 2022 (the “Effective Date”) is made by and between VAPOTHERM, INC., a Delaware corporation (the “Company”), on behalf of itself and one or more of its Affiliates, and GREG RAMADE (the “Executive”). 

  WHEREAS, the Company or one of its Affiliates employs the Executive as Senior Vice President & Chief Commercial Officer and recognizes the Executive as performing key functions for the success of the Company and its Affiliates; and

  WHEREAS, the Company has determined that it is in the best interests of the Company and its Affiliates to institute formalized separation arrangements for certain executives of the Company, including the Executive, in the event of a separation of employment; and

  WHEREAS, the Executive desires to enter into this Agreement.

  NOW, THEREFORE, based on the foregoing, and for and in consideration of the mutual covenants contained in this Agreement, the parties hereby agree as follows:

  1.Definitions.  For the purposes of this Agreement, the following capitalized terms have the meanings set forth below:

  1.1.“Affiliate” has the meaning set forth in Rule 12b-2 promulgated under the United States Securities Exchange Act of 1934, as amended (the “Exchange Act”).

  1.2.“Associate” has the meaning set forth in Rule 12b-2 promulgated under the Exchange Act.

  1.3.“Board” means the board of directors of the Company.

  1.4.“Beneficial Owner” has the meaning set forth in Section 13(d) of the Exchange Act.

  1.5.“Cause” means:

  1.5.1.(i) the willful failure by the Executive to substantially perform the Executive’s duties with the Company (other than any such failure resulting from the Executive’s incapacity due to physical or mental illness), as determined by the Board in its sole discretion, which failure amounts to an intentional and extended neglect of the Executive’s duties;  (ii) the determination in the sole discretion of the Board that the Executive has engaged or is about to engage in conduct materially injurious to the Company; (iii) the determination by the Board that the Executive has engaged in or is about to engage in conduct that is materially inconsistent with the Company’s legal and healthcare compliance policies, programs or obligations; (iv) the Executive’s bar from participation in programs administered by the United States Department of Health and Human Services or the United States Food and Drug Administration or any succeeding agencies; (v) the Executive’s conviction of or entering of a guilty or no contest plea to a felony charge (or equivalent thereof) in any jurisdiction; and/or (vi) the Executive’s participation in activities proscribed in Sections 2, 3, 4 or 5 of the CNDA Agreement (as defined in Section 12) or the material breach by the Executive of any other material covenants contained herein and therein.  For the purposes of clause (i) of this definition, no act, or failure to act, on the Executive’s part shall be deemed to be “willful” unless done, or omitted to be done, by the Executive not in good faith and without reasonable belief that the Executive’s act, or failure to act, was in the best interests of the Company and its Affiliates.

  1.5.2.Notwithstanding the foregoing, the Executive shall not be deemed terminated for Cause for the reasons in clauses (i) or (ii) of Section 1.5.1 unless and until the Executive shall have been provided with reasonable notice of and, if possible, a reasonable opportunity to cure the facts and circumstances claimed to provide a basis for termination of the Executive’s employment for Cause.

  

  1.6.“Change in Control” shall be deemed to have occurred on or immediately before the effective date on which any of the following occurs with regard to the Company:

  1.6.1.an event in which any Person is or becomes the Beneficial Owner, together with all Affiliates and Associates of such Person, directly or indirectly, of securities of the Company representing 50% or more of the combined voting power of the Company’s then outstanding securities;

  1.6.2.the consummation of a merger or consolidation of the Company with any other company (“Business Combination”), other than (A) a Business Combination which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity), in combination with the ownership of any trustee or other fiduciary holding securities under an employee benefit plan of the Company or any subsidiary of the Company, more than fifty (50%) of the combined voting power of the voting securities of the Company or such surviving entity outstanding immediately after such merger or consolidation and (B) a Business Combination effected to implement a recapitalization of the Company (or similar transaction) after which no Person is or becomes the Beneficial Owner, together with all Affiliates and Associates of such Person, directly or indirectly, of securities of the Company or the surviving entity of such merger or consolidation representing fifty percent (50%) or more of the combined voting power of the securities of the Company or the surviving entity of such merger or consolidation;

  1.6.3.the complete liquidation of the Company or the sale or disposition by the Company of all or substantially all of the Company’s assets; or

  1.6.4.the individuals who on the date of this Agreement constitute the Board thereafter cease to constitute at least a majority thereof; provided, however, that any person becoming a member of the Board subsequent to the date of this Agreement and whose election or nomination was approved by a vote of at least two-thirds of the directors who then comprised the Board immediately prior to such vote shall be considered a member of the Board on the date of this Agreement.

  1.7.“Code” means the United States Internal Revenue Code of 1986, as amended, and the U.S. Treasury Regulations promulgated thereunder, as in effect from time to time.

  1.8.“Compensation Committee” means the compensation committee of the Board.

  1.9.“Disability,” strictly for the purpose of the parties’ rights and obligations under this Agreement, means the Executive’s inability, due to physical or mental impairment, to perform the essential functions of the Executive’s position, with reasonable accommodation, for a period of one hundred and twenty (120) consecutive days or such other period of time as to which the parties may agree, as determined by a medical doctor selected by the Executive and the Company.  If the parties cannot agree on a medical doctor, each party shall select a medical doctor and the two (2) doctors shall select a third (3rd) who shall be the approved medical doctor for this purpose.

  1.10.“Good Reason” means:

  1.10.1.The occurrence of any of the following without the prior written consent of the Executive, unless such act or failure to act is corrected by the Company prior to the Date of Termination specified in the Notice of Termination (as discussed in Section 3.1 hereof):

  1.10.1.1.the assignment to the Executive of any duties resulting in a material diminution from the range of duties and responsibilities appropriate to a senior Executive within the Company, such range to be determined by reference to past, current, and reasonable practices within the Company, unless such duties are temporary or voluntary in nature;

  

  1.10.1.2.a material reduction in the Executive’s position (including a material negative change regarding the Executive’s status, offices, titles or reporting requirements), authority, duties or responsibilities within the Company which adversely affects the Executive’s overall status within the Company; however, notwithstanding the foregoing, a mere change in to whom the Executive reports, without more, shall not by itself constitute Good Reason unless (i) the change is characterized by the Company as a demotion or (ii) the change results in the Executive reporting to a manager that is more than one level below the management level to which the Executive previously reported;

  1.10.1.3.a material diminution by the Company in the Executive’s total compensation (including without limitation base salary, bonus opportunity, benefits opportunity and aggregate annualized compensation target (including bonus opportunity as a percentage of base salary)), except for an across the board reduction affecting all executives of the Company;

  1.10.1.4.the failure by the Company to pay to the Executive a material portion of the Executive’s current compensation and benefits, under any plan, program or policy of, or other contract or agreement with, the Company or any of its Affiliates, within thirty (30) days of the date such compensation and/or benefits are due;

  1.10.1.5.the failure by the Company to obtain a satisfactory agreement from any successor of the Company, requiring such successor to assume and agree to perform the Company’s obligations under this Agreement;

  1.10.1.6.the failure of the Company to provide indemnification and director and officer liability insurance protection as required in Section 9 of this Agreement;

  1.10.1.7.if the Executive is hired or promoted to work in a remote Company working environment, then a mandatory change to require the Executive to work in a non-remote working environment, or if the Executive works in a non-remote Company working environment, the relocation of the Executive’s principal place of employment immediately prior to such move (the “Principal Location”) to a location which is more than fifty (50) miles from the Principal Location; or

  1.10.1.8.the material breach by the Company or any Affiliate of any of the other provisions of this Agreement which is not cured following notice and a reasonable period of time to cure such breach.

  1.10.2.Notwithstanding any of the foregoing, placing the Executive on a paid leave for up to ninety (90) days pending a determination by the Company of whether there is a basis to terminate the Executive for Cause shall not constitute a Good Reason.

  1.10.3.Following a Change in Control and during the CIC Protection Period (as defined in Section 6), the Executive’s determination that an act or failure to act constitutes Good Reason shall be presumed to be valid.  The Executive’s right to terminate the Executive’s employment for Good Reason shall not be affected by the Executive’s incapacity due to physical or mental illness.  The Executive’s continued employment shall not constitute consent to, or a waiver of rights with respect to, any act or failure to act constituting Good Reason hereunder.  In all events, if the Executive fails to deliver Notice of Termination with respect to a termination of the Executive’s employment for Good Reason within ninety (90) days after the initial occurrence of the event giving rise to such right to terminate, the Executive shall be deemed to waive the Executive’s right to terminate for Good Reason with respect to such event.

  1.11.“Involuntary Termination” means a termination of the Executive’s employment with the Company and its Affiliates (a) by the Company or an Affiliate other than for Cause, death or Disability, or (b) upon the Executive’s resignation of employment for Good Reason.

  

  1.12.“Incentive Compensation Awards” means awards granted under the Incentive Compensation Plan(s) providing the Executive with the opportunity to earn, on a year-by-year or multi-year basis, annual and long-term compensation.

  1.13.“Incentive Compensation Plans” means incentive compensation plans and long-term compensation plans of the Company which may include plans offering stock options, restricted stock, restricted stock units and other forms of long-term compensation.

  1.14.“Person,” unless otherwise defined, has the meaning set forth in Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof, except that the term shall not include (i) the Company or any of its Affiliates; (ii) a trustee or other fiduciary holding securities under an employee benefit plan of the Company or any of its Affiliates; (iii) an underwriter temporarily holding securities pursuant to an offering of such securities; (iv) a corporation owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of the shares in the Company or (v) a person or group as used in Rule 13d-1(b) promulgated under the Exchange Act.

  2.Sarbanes-Oxley Act of 2002.  Notwithstanding anything herein to the contrary, if the Company determines, in its good faith judgment, that any provision of this Agreement is likely to be interpreted as a personal loan prohibited by the United States Sarbanes-Oxley Act of 2002 and the rules and regulations promulgated thereunder (the “Sarbanes-Oxley Act”), then such provision shall be modified as necessary or appropriate so as to not violate the Sarbanes-Oxley Act; and if this cannot be accomplished, then the Company shall use its best efforts to provide the Executive with similar, but lawful, substitute benefit(s) at a cost to the Company not to significantly exceed the amount the Company would have otherwise paid to provide such benefit(s) to the Executive.  In addition, if the Executive is required to forfeit or to make any repayment of any compensation or benefit(s) to the Company under the Sarbanes-Oxley Act, any other applicable law, stock exchange requirement or policy of the Company, such forfeiture or repayment shall not constitute Good Reason.

  3.Notice and Date of Termination.

  3.1.Notice.  Any termination of the Executive’s employment by the Company or by the Executive during the term of this Agreement shall be communicated by a written notice of termination to the other party (the “Notice of Termination”).  Where applicable, the Notice of Termination shall indicate the specific termination provision in this Agreement relied upon for termination of the Executive’s employment under the provision so indicated.

  3.2.Date. The date of the Executive’s termination of employment (“Date of Termination”) shall be determined as follows:

  3.2.1.If due to the Company terminating the Executive’s employment, either with or without Cause, the Date of Termination shall be the date specified in the Notice of Termination; if other than for Cause, the Date of Termination shall not be less than two (2) weeks from the date such Notice of Termination is given, unless the Company elects to pay the Executive for that period in lieu of notice.  Any such payment in lieu of notice would be in addition to any payments provided pursuant to Section 5 or 6, as applicable.

  3.2.2.If due to death, the Date of Termination is the date of death.  

  3.2.3.If due to Disability, the Date of Termination is the date the party terminating the Executive’s employment for Disability provides written notice of termination due to Disability.

  3.2.4.If the basis of the Executive’s Involuntary Termination is the Executive’s resignation for Good Reason, the Date of Termination shall be determined by the Company, but shall not be less than two (2) weeks nor more than eight (8) weeks from the date Notice of Termination is given.

  

  3.2.5.If due to the Executive’s resignation for a reason other than Good Reason or if the Executive gives notice of retirement, the Date of Termination shall be determined by the Company after the Company receives Notice of Termination or retirement, but shall not be less than two (2) weeks or more than twelve (12) weeks from the date Notice of Termination is given.

  3.2.6.Notwithstanding the foregoing, for any compensation that qualifies as non-qualified deferred compensation under Code Section 409A (taking into account amounts that are exempt from the requirements of Code Section 409A by reason of the “separation pay” or “short-term deferral” exclusions), the Date of Termination shall be the date the Executive experiences a “separation from service” within the meaning of Code Section 409A.

  4.Termination from the Board and any Offices Held.  Upon termination of the Executive’s employment with the Company for any reason, the Executive agrees that the Executive’s membership on the Board, if any, the board of directors of any of the Company’s Affiliates, any committees of the Board, any committees of the board of directors of any of the Company’s Affiliates, and any and all offices held, if applicable, shall be automatically terminated.  The Executive hereby agrees to cooperate with the Company and execute any documents reasonably required by the Company or competent authorities to effect this provision.

  5.Severance Benefits upon Involuntary Termination Prior to Change in Control or After the CIC Protection Period Expires.  In the event of the Involuntary Termination of the Executive’s employment prior to a Change in Control or after the expiration of the CIC Protection Period (as defined in Section 6), the Company shall pay to the Executive a lump sum cash amount equal to the Accrued Obligations (as hereinafter defined) and, following timely receipt of the Release required in Section 13 that has not been revoked, shall pay to the Executive the payments and benefits provided in Sections 5.1, 5.2, 5.4 and 5.5 below, at the times and in the manner as set forth therein, subject to Section 19.8 and any applicable required timing to the contrary set forth in Section 13.   The “Accrued Obligations” means the sum of (i) the Executive’s annual base salary through the Date of Termination to the extent not theretofore paid; (ii) an amount equal to any annual cash Incentive Compensation Awards earned (based on the most recently completed performance period, whether that period is the prior quarter or the prior year) but not yet paid; (iii) an amount equal to the value of any accrued and/or untaken vacation, if any; and (iv) reimbursement for unreimbursed business expenses, if any, properly incurred by the Executive in the performance of the Executive’s duties in accordance with the policies established from time to time by the Board. 

  5.1.Pre-Change in Control Severance Payment. The Company shall pay to the Executive a severance payment equal to one times (1x) the sum of: (i) the Executive’s then current annual base salary, plus (ii) an amount equal to the Executive’s then current annual target bonus; provided that if the Executive’s annual base salary or target bonus has been reduced during the sixty (60) day period prior to the Date of Termination, then for purposes of severance payment calculation the higher figure will be used (the “Pre-Change in Control Severance Payment”). The Pre-Change in Control Severance Payment will be made as follows: (i) half in a lump sum payable on the later of: (a) fifteen (15) days after the Date of Termination; or (b) fifteen (15) days after the date the executed Release required in Section 13 becomes non-revocable by the Executive in accordance with applicable law, subject to any applicable required timing to the contrary set forth in Section 13, and (ii) the remaining half in six (6) equal consecutive monthly installments starting six (6) months after the Date of Termination with a final installment of all remaining amounts to be paid on or before March 15 of the calendar year following the year in which the Date of Termination occurred. The final installment will be equal to the total payment reduced by all the amounts previously paid (i.e., the lump sum payment and the sum of all the installment payments previously paid). Notwithstanding the provisions of clause (ii) to the contrary, if the six-month period would cause the installments to begin to be paid after the March 15 date described in the second sentence of this Section 5.2, then no installments will be paid, and the second payment will be a lump sum equal to half the total payment and that payment will be paid on or before March 15 of the calendar year following the year in which the Date of Termination occurred. The installment payments (or the second lump sum payment, if applicable) are specifically designated as consideration for execution of the Release required in Section 13 and compliance with 

  

  the terms of the CNDA Agreement referred to in Section 12. All payments will have applicable taxes withheld and any installment payments will be paid at such times during the month as the Company may reasonably determine.

  5.2.Current Fiscal Year Bonus.  The Company shall pay to the Executive a pro rata portion of the Executive’s annual cash Incentive Compensation Award for the fiscal year that includes the Termination Date, to the extent actually achieved for such year pursuant to the terms of that year’s approved Incentive Compensation Award plan to which the Executive is subject (but without regard to any requirement the Executive remain employed on or through any particular date or period as a condition of payment). If so achieved, the pro rata payment will be made at the same time and in the same manner as such Incentive Compensation Award payments are made to other eligible participants, with proration based on the number of days the Executive was employed during such fiscal year, less any payments thereof already made during such fiscal year. Notwithstanding the foregoing, any portion of the Executive’s annual cash Incentive Compensation Award that is based on the Executive’s individual performance shall be deemed fulfilled at a target performance level, but remain subject to proration as described above.

  5.3.Equity-Based Compensation.  All equity-based Incentive Compensation Awards (including, without limitation, stock options, stock appreciation rights, restricted stock awards, restricted stock units, performance share awards or other related awards) held by the Executive shall be governed by the terms of the applicable Incentive Compensation Plan and Incentive Compensation Award agreement, and this Agreement shall have no effect on them, except as otherwise provided in Section 8.

  5.4.Welfare Benefits.  The Executive shall be eligible for health and dental coverage as provided for under the United States Consolidated Omnibus Budget Reconciliation Act (“COBRA”), using the normal COBRA administration process of the Company.  The Company will pay or reimburse the Executive for all costs of these benefits for a period equal to twelve (12) months, after which the Executive will be responsible for paying the full COBRA costs of benefits.  If the Executive accepts employment with another employer and is no longer eligible for COBRA coverage, these welfare benefits will cease to be provided.  The Executive shall promptly notify the Company of any changes in the Executive’s eligibility for health and coverage.

  5.5.Outplacement Benefits.  The Executive may, if the Executive so elects, receive reasonable outplacement assistance and services at the Company’s expense for a period of twelve (12) months following the Date of Termination.  These services will be provided by a national firm selected by the Company whose primary business is outplacement assistance.  Notwithstanding the above, if the Executive accepts employment with another employer, these outplacement benefits shall cease on the date of such acceptance.

  6.Severance Benefits upon Involuntary Termination in Connection with and After a Change in Control.  In the event of the Involuntary Termination of the Executive’s employment within two (2) years following a Change in Control (the “CIC Protection Period”), the Company shall pay to the Executive a lump sum cash amount equal to the Accrued Obligations and, following timely receipt of the Release required in Section 13 that has not been revoked, the Company shall pay to the Executive the payments and benefits provided in Sections 6.1, 6.2, 6.4 and 6.5 below, at the times and in the manner as set forth therein, subject to Section 19.8 and any applicable required timing to the contrary set forth in Section 13.   

  6.1.Post-Change in Control Severance Payment. The Company shall pay to the Executive a severance payment equal to one and one-half times (1.5x) the sum of (i) the Executive’s then current annual base salary plus (ii) the Executive’s then current annual target bonus; provided that if the Executive’s annual base salary or target bonus has been reduced during the sixty (60) day period prior to the Date of Termination, then, for purposes of this severance payment calculation, the higher figure will be used (the “Post-Change in Control Severance Payment”). The Post-Change in Control Severance Payment shall be made in a lump sum but shall not be made until the later of: (a) fifteen (15) days after the Date of Termination; or (ii) fifteen (15) days after the date the executed Release required in Section 13 becomes non-revocable by the Executive in accordance with 

  

  applicable law, subject to any applicable required timing to the contrary set forth in Section 13 or 19.8. The lump sum payment is specifically designated as consideration for execution of the Release required in Section 13 and compliance with the terms of the CNDA Agreement referred to in Section 12. 

  6.2.Current Fiscal Year Bonus.  The Company shall pay to the Executive a pro rata portion of the Executive’s target annual cash Incentive Compensation Award for the fiscal year that includes the Termination Date, less any payments thereof already made during such fiscal year; provided, however, that if the Termination Date occurs during the last two (2) months of the fiscal year, the Company shall pay to the Executive a pro rata portion of the greater of: (i) the Executive’s target annual cash Incentive Compensation Award for the fiscal year that includes the Termination Date; or (ii) the Executive’s actual annual cash Incentive Compensation Award for the fiscal year that includes the Termination Date, based on trend of actual performance through the Termination Date. This payment, which shall be made in a lump sum, shall not be made until the later of: (a) fifteen (15) days after the Date of Termination; or (ii) fifteen (15) days after the date the executed Release required in Section 13 becomes non-revocable by the Executive in accordance with applicable law, subject to any applicable required timing to the contrary set forth in Section 13.

  6.3.Equity-Based Compensation.  All equity-based Incentive Compensation Awards (including, without limitation, stock options, stock appreciation rights, restricted stock awards, restricted stock units, performance share awards or other related awards) held by the Executive shall be governed by the terms of the applicable Incentive Compensation Plan and Incentive Compensation Award agreement, and this Agreement shall have no effect upon them except as otherwise provided in Section 8.

  6.4.Welfare Benefits.  The Executive shall be eligible for health and dental continuation coverage as provided for under COBRA, using the normal COBRA administration process of the Company.  The Company will pay or reimburse the Executive for all costs of these benefits for a period equal to eighteen (18) months, after which the Executive will be responsible for paying the full COBRA costs of benefits.  If the Executive accepts employment with another employer and is no longer eligible for COBRA coverage, these welfare benefits will cease to be provided.  The Executive shall promptly notify the Company of any changes in the Executive’s eligibility for health and coverage.

  6.5.Outplacement Benefits.  The Executive may, if the Executive so elects, receive reasonable outplacement assistance and services at the Company’s expense for a period of eighteen (18) months following the Date of Termination.  These services will be provided by a national firm selected by the Company whose primary business is outplacement assistance.  Notwithstanding the above, if the Executive accepts employment with another employer, these outplacement benefits shall cease on the date of such acceptance.

  6.6.Change in Control.  Notwithstanding anything contained herein to the contrary, if a Change in Control occurs and the Executive’s employment with the Company is terminated by reason of Involuntary Termination (including as a result of an event giving rise to Good Reason) prior to the occurrence of the Change in Control, and if such termination of employment (or the event giving rise to Good Reason) (i) was at the request of a third party who has taken steps reasonably calculated to effect the Change in Control or (ii) otherwise arose in connection with or in anticipation of the Change in Control, then the Executive shall, in lieu of the payments described in Section 5 hereof, be entitled to the Post-Change in Control Severance Payment and the additional benefits described in this Section 6 as if such Involuntary Termination had occurred within two (2) years following the Change in Control.

  7.Severance Benefits upon Termination by the Company for Cause or by the Executive Other than for Good Reason.  If the Executive’s employment shall be terminated for Cause or if the Executive terminates employment other than for Good Reason, the Company will have no further obligations to the Executive under this Agreement other than the Accrued Obligations.

  8.Severance Benefits upon Termination Due to Death or Disability.  If the Executive’s employment shall terminate by reason of death or Disability, the Company shall pay the Executive’s estate in the case of death or 

  

  to the Executive in the case of Disability, a lump sum payment equal to the Accrued Obligations, plus a pro rata portion of the Executive’s target annual cash Incentive Compensation Award for the fiscal year that includes the Termination Date, less any payments thereof already made during such fiscal year. In addition, all equity-based Incentive Compensation Awards (including, without limitation, stock options, stock appreciation rights, restricted stock awards, restricted stock units, performance share awards or other related awards) held by the Executive will immediately vest and, in the case of stock options or stock appreciation rights, become exercisable, and in the case of restricted stock awards, restricted stock units and similar restricted awards, all restrictions will immediately terminate. If the deceased or disabled Executive holds any performance based equity-based Incentive Compensation Awards, these will be deemed vested and any restrictions terminated and will be paid out for the entire  performance period (and not pro rata) based on the higher of target performance or actual performance achieved through the Termination Date, with the discretion of the Company to adjust final payouts upward up to the respective maximum potential payout, with payment of any such performance-based awards to be made as soon as practicable following the Termination Date, but in no event later than March 15 of the calendar year following the calendar year that includes the Termination Date. The benefits and payments provided in this Section 8 shall be in addition to those rights and benefits to which the Executive’s estate or the Executive may be entitled under the applicable Company plans or programs. Except as provided in this section regarding accelerated vesting, the deceased or disabled Executive’s equity-based Incentive Compensation Awards will continue to be governed by the applicable Company equity plan.

  9.Non-exclusivity of Rights and Indemnification.  Nothing in this Agreement shall prevent or limit the Executive’s continuing or future participation in any benefit plan, program, policy or practice provided by the Company or any Affiliate and for which the Executive may qualify (except with respect to any benefit to which the Executive has waived the Executive’s rights in writing), including, without limitation, any and all indemnification arrangements in favor of the Executive (whether under agreements or under the Company’s or any Affiliate’s charter documents or otherwise), and insurance policies covering the Executive, nor shall anything herein limit or otherwise affect such rights as the Executive may have under any other contract or agreement entered into after the Effective Date with the Company or any Affiliate.  Amounts which are vested benefits or which the Executive is otherwise entitled to receive under any benefit, plan, policy, practice or program of, or any contract or agreement entered into with, the Company or any Affiliate shall be payable in accordance with such benefit, plan, policy, practice or program or contract or agreement except as explicitly modified by this Agreement.  At all times during the Executive’s employment with the Company or any Affiliate and thereafter, the Company or any such Affiliate shall provide the Executive with indemnification and director and officer insurance insuring the Executive against insurable events which occur or have occurred while the Executive was a director or executive officer of the Company or any Affiliate, on terms and conditions that are at least as favorable as that then provided to any other current or former director or executive officer of the Company or any its Affiliates.

  10.Mitigation.  In no event shall the Executive be obligated to seek other employment or take any other action by way of mitigation of the amounts (including amounts for damages for breach) payable to the Executive under any of the provisions of this Agreement, and such amounts shall not be reduced whether or not the Executive obtains other employment.

  11.Representations. The Executive hereby represents to the Company that the Executive is legally entitled to enter into this Agreement and to perform the Executive’s obligations hereunder, and that the Executive has the full right, power, and authority, subject to no rights of any third parties, to grant to the Company the rights herein.

  12.Confidentiality, Non-Compete and Assignment of Inventions Agreement.  Concurrently with the execution of this Agreement, the Executive hereby agrees to execute, if the Executive has not previously executed, the Company’s standard form of Confidentiality, Non-Compete and Assignment of Inventions Agreement (the “CNDA Agreement”).

  

  13.Release.  The Executive agrees that if the Executive’s employment is terminated by the Company for any reason other than Cause, Disability or death, the Executive will be required to execute a release of all claims, substantially in the form attached hereto as Exhibit A, but incorporating any required additional applicable federal, state, foreign or local specific provisions based on the Executive’s residence or Principal Location (the “Release”), within forty-five (45) days after the applicable Date of Termination (the “Release Period”) to be eligible to receive any post-employment payments of any kind under this Agreement other than the Accrued Obligations. In the event the post-employment payments are amounts that are treated as nonqualified deferred compensation under Code Section 409A and if the Release Period spans two of the Executive's taxable years, the post-employment payments of any kind payable under this Agreement other than the Accrued Obligations must be made or commenced in the second of the two taxable years; subject to the Company’s ability to accelerate such payments to the extent it would not result in a violation of Code Section 409A. The Executive recognizes and agrees that, notwithstanding any other Section to the contrary, in order to be eligible to receive any post-employment payments of any kind under this Agreement, other than the Accrued Obligations, the Release must be executed on a timely basis and not revoked within the time provided.

  14.Cooperation with Legal Matters.  The Executive agrees to cooperate with the Company and its Affiliates and their designated attorneys, representatives, and agents in connection with any actual or threatened judicial, administrative or other legal or equitable proceeding in which the Company or any of its Affiliates is or may become involved.  Upon reasonable notice, the Executive agrees to meet with and provide to the Company and its Affiliates or their designated attorneys, representatives or agents all information and knowledge the Executive may have relating to the subject matter of any such proceeding.  The Company agrees to reimburse the Executive for any reasonable costs incurred by the Executive in providing such cooperation.

  15.Specific Remedies for Executive Breach of Certain Covenants.  Without limiting the rights and remedies available to the Company, in the event of any breach by the Executive of the covenants set forth in Sections 12, 13 or 14 above or the terms of the CNDA Agreement or the Release, the following actions may be taken by the Company:

  15.1.If the Company believes a breach has occurred, it will deliver to the Executive a summary of the breach and a demand for explanation or agreement that such breach has occurred; the Executive shall have ten (10) business days to respond in writing to this demand, whereupon the Company will make a decision as to whether the breach has, in fact, occurred; if it is determined such a breach has occurred, then

  15.1.1.the Company’s obligation to make any payment or provide any benefits to the Executive under Sections 5, 6, 7 or 8 of this Agreement shall cease immediately and permanently, which shall not have any impact whatsoever on the Executive’s continuing obligations under the CNDA Agreement; and

  15.1.2.the Executive shall repay to the Company, within ten (10) days after the Executive receives written demand therefore, an amount equal to ninety percent (90%) of the payments and benefits previously received by the Executive under this Agreement, plus interest on such amount at an annual rate equal to the lesser of ten percent (10%) or the maximum non-usurious rate under applicable law, from the dates on which such payments and benefits were received to the date of repayment to the Company.

  15.2.It is the desire and intent of the parties that the provisions of Section 12 and the CNDA Agreement be enforced to the fullest extent permissible under the applicable laws in each jurisdiction in which enforcement is sought.  Accordingly, if any portion of Section 12 and the CNDA Agreement is adjudicated to be invalid or unenforceable, Section 12 and the CNDA Agreement shall be deemed curtailed, whether as to time or location, to the minimum extent required for its validity under applicable law and shall be binding and enforceable with respect to the Executive as so curtailed, such curtailment to apply only with respect to the operation of Section 12 and the CNDA Agreement in the jurisdiction in which such adjudication is made.  If a court in any jurisdiction, in adjudicating the validity of Section 12 and the CNDA Agreement, imposes any additional terms or restrictions 

  

  with respect to Section 12 and the CNDA Agreement, Section 12 and the CNDA Agreement shall be deemed amended to incorporate such additional terms or restrictions.

  15.3.The Executive agrees and acknowledges that the Executive has received good and adequate consideration for the covenants set forth in Section 12 and the CNDA Agreement in the form of employment, compensation, and benefits separate and independent of any payments or potential payments in this Agreement.

  16.Potential Impact of Accounting Restatements on Certain Bonuses and Profits.

  16.1.If the Company or any of its Affiliates is required to prepare an accounting restatement of its consolidated balance sheet or statement of operations affecting any reporting period that transpires during the term of employment (the “Term”) due to the material noncompliance of the Company or any of its Affiliates with any financial requirements under the U.S. Federal securities laws and if such material non-compliance is a direct result of the Executive’s knowing, intentional, fraudulent or illegal conduct, then the Board can require the Executive to reimburse the Company or the Company for (i) any bonus or other incentive-based or equity-based compensation received by the Executive from the Company or any of its Affiliates during the Term and (ii) any profits realized from the sale of securities of the Company by the Executive during the Term.

  16.2.In making the determination whether to seek recovery from the Executive and in making the determination of what portion of the Executive’s compensation and/or profits should  be returned to the Company under Section 16.1, the Board will seek to achieve a result that is fair to the Executive and the Company, and in that connection, the Board will consider whether any bonus, incentive payment, equity award or other compensation has been awarded or received by the Executive during the Term, whether the Executive realized any profits from the sale of securities of the Company during the Term, whether and the extent to which such compensation and/or profits were based on financial results and operating metrics that were satisfied as a result of the Executive’s knowing, intentional, fraudulent or illegal conduct, and what the Executive’s compensation and/or profits would have been in the absence of the reporting issue.  The Board has the sole discretion in determining whether the Executive’s conduct has or has not met the standard for such forfeiture and the amount of the forfeiture.

  16.3.Notwithstanding the foregoing, to the extent required or permitted by applicable laws, rules or regulations, securities exchange listing requirements applicable to the Company and any of its Affiliates and the Executive or any Company policy applicable to the Executive, the Company shall have the right to recover any amounts paid to the Executive under this Agreement. Any such recoupment of a payment to the Executive under this Agreement may be in addition to any other remedies that may be available to the Company under applicable law or Company policy applicable to the Executive.

  16.4.If the Board determines that recovery is appropriate or required as set forth in Section 16.1 or 16.3, such amounts shall be withheld from any future amounts owed to the Executive as compensation.  The Company may also commence legal action to collect such recovery as the Board determines is owed to the Company.

  16.5.The parties agree that this Section 16 shall be amended as necessary to comply with any new applicable laws, rules or regulations issued by the United States Securities and Exchange Commission, the national stock exchange on which the common stock of the Company is listed or any others applicable to the Company which are or may become mandatorily applicable to this Agreement.

  17.Successors.

  17.1.Assignment by the Executive.  This Agreement is personal to the Executive and without the prior written consent of the Company shall not be assignable by the Executive otherwise than by will or the laws of descent and distribution.  This Agreement shall inure to the benefit of and be enforceable by the Executive’s legal representatives.

  

  17.2.Successors and Assigns of the Company.  This Agreement shall inure to the benefit of and be binding upon the Company and its successors, and assigns.  The Company may not assign this Agreement to any person or entity (except for a successor described in Section 17.3 below) without the Executive’s written consent.

  17.3.Assumption.  The Company shall require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company or its Affiliates to assume expressly and agree to perform this Agreement in the same manner and to the same extent that the Company would be required to perform it as if no such succession had taken place.  As used in this Agreement, “Company” shall mean the Company as hereinbefore defined and any successor to its business and/or assets as aforesaid that assumes and agrees to perform this Agreement by operation of law or otherwise.

  18.Administration Prior to Change in Control.  Prior to a Change in Control, the Compensation Committee shall have full and complete authority to construe and interpret the provisions of this Agreement, to determine an individual’s entitlement to benefits under this Agreement, to make in its sole and absolute discretion all determinations contemplated under this Agreement, to investigate and make factual determinations necessary or advisable to administer or implement this Agreement.  All determinations made under this Agreement by the Compensation Committee shall be final and binding on all interested persons.  Prior to a Change in Control, the Compensation Committee may delegate responsibilities for the operation and administration of this Agreement to one or more officers or employees of the Company.  The provisions of this Section 18 shall terminate and be of no further force and effect upon the occurrence of a Change in Control.

  19.Miscellaneous.

  19.1.Governing Law.  This Agreement shall be governed by, construed under and enforced in accordance with the laws of the State of Delaware without regard to conflicts-of-laws principles that would require the application of any other law.  The captions of this Agreement are not part of the provisions hereof and shall have no force or effect.

  19.2.Mandatory Jurisdiction and Venue.  Any action to enforce the terms of this Agreement, and/or claims or disputes regarding the Executive’s employment with and/or separation from employment with the Company, shall be brought in the state or federal courts located in Rockingham County, New Hampshire and the parties hereto shall submit to and not contest such mandatory jurisdiction and venue in such courts.

  19.3.Amendment.  This Agreement may not be amended, modified, repealed, waived, extended or discharged except by an agreement in writing executed by all parties hereto.  No person, other than pursuant to a resolution of the Board or the Compensation Committee, shall have authority on behalf of the Company to agree to amend, modify, repeal, waive, extend or discharge any provision of this Agreement or anything in reference thereto.

  19.4.Insurance.  The Company may, at its election and for its benefit, insure the Executive against accidental loss or death, and the Executive shall submit to such physical examination and supply such information to the insurance company as may be required in connection therewith; provided, however, that no specific information concerning the Executive’s physical examination will be provided to the Company or made available to the Company by the insurance company.

  19.5.Waiver of Breach.  A waiver by the Company or the Executive of a breach of any provision of this Agreement by the other party shall not operate or be construed as a waiver of any subsequent breach of the other party.

  19.6.Severability.  The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement.

  

  19.7.Notices.  Any notice required or permitted to be given under this Agreement shall be sufficient if in writing and if sent by personal delivery, by a nationally recognized overnight courier (provided a written acknowledgement of receipt is obtained) or by certified or express mail to the Executive at 43 Avenue André Morizet, Boulogne-Billancourt, France, or to the Company at Vapotherm, Inc., Attention:  President and Chief Executive Officer, 100 Domain Drive, Exeter, New Hampshire 03833, or to such other address as a party shall notify the other parties.  Notices and communications shall be effective when actually received by the addressee. 

  19.8.Taxes.

  19.8.1.General.  The Company and its Affiliates may withhold from any amounts payable under this Agreement such foreign, U.S. federal, state or local taxes as the Company or its Affiliates reasonably determine is required to be withheld pursuant to any applicable law or regulation.

  19.8.2.Code Section 409A.

  19.8.2.1.Notwithstanding anything else to the contrary herein, to the maximum extent permitted, this Agreement shall be interpreted to provide payments that are exempt from Code Section 409A or in compliance therewith, as applicable.  In furtherance thereof, if payment or provision of any amount or benefit hereunder at the time specified in this Agreement would subject such amount or benefit to any additional tax under Code Section 409A (taking into account the amounts that are treated as exempt from the requirements of Code Section 409A by reason of the “separation pay” or “short-term deferral” exclusions), the payment or provision of such amount or benefit shall be postponed to the earliest commencement date on which the payment or the provision of such amount or benefit could be made without incurring such additional tax (including paying any severance that is delayed in a lump sum upon the earliest possible payment date which is consistent with Code Section 409A).  In addition, to the extent that any regulations or guidance issued under Code Section 409A (after application of the previous provision of this paragraph) would result in the Executive being subject to the payment of interest or any additional tax under Code Section 409A, the Company and the Executive agree, to the extent reasonably possible, to amend this Agreement in order to avoid the imposition of any such interest or additional tax under Code Section 409A, which amendment shall have the least possible economic effect on the Executive as reasonably determined in good faith by the Company and the Executive; provided however, that the Company and the Executive shall not be required to substitute a cash payment for any non-cash benefit herein.

  19.8.2.2.A termination of employment shall not be deemed to have occurred for purposes of any provision of this Agreement providing for the payment of any amounts or benefits, including amounts that are treated as exempt from the requirements of Code Section 409A by reason of the “separation pay” or “short-term deferral” exclusions, upon or following a termination of employment, unless such termination is also a “separation from service” within the meaning of Code Section 409A and the payment thereof prior to a “separation from service” would violate Code Section 409A or any exclusion from the requirements of Code Section 409A, as applicable.  For purposes of any such provision of this Agreement relating to any such payments or benefits, references to the “Date of Termination” shall mean the date the “separation from service” occurs and references to a “termination,” “termination of employment” or like terms shall mean “separation from service.”

  19.8.2.3.For purposes of Code Section 409A, the Executive’s right to receive any installment payments pursuant to this Agreement shall be treated as a right to receive a series of separate and distinct payments.  Whenever a payment under this Agreement specifies a payment period with reference to a number of days (e.g., “payment shall be made within thirty (30) days following the date of termination”), the actual date of payment within the specified period shall be within the sole discretion of the Company, as the case may be.

  19.8.2.4.With respect to any payment constituting nonqualified deferred compensation subject to Code Section 409A: (A) all expenses or other reimbursements provided herein shall be payable in accordance with the Company’s policies in effect from time to time, but in any event shall be made on or prior to the last day of the taxable year following the taxable year in which such expenses were incurred by the Executive; 

  

  (B) no such reimbursement or expenses eligible for reimbursement in any taxable year shall in any way affect the expenses eligible for reimbursement in any other taxable year; and (C) the right to reimbursement or in-kind benefits shall not be subject to liquidation or exchange for another benefit.

  19.8.2.5.If the Executive is deemed on the Date of Termination to be a “specified employee” within the meaning of that term under Section 409A(a)(2)(B), then with regard to any payment or the provision of any benefit that is considered nonqualified deferred compensation under Code Section 409A payable on account of a “separation from service,” such payment or benefit shall be made or provided on the first business day following the date which is the earlier of (A) the expiration of the six (6)-month period measured from the date of such “separation from service” of the Executive, and (B) the date of the Executive’s death (the “Delay Period”).  Upon the expiration of the Delay Period, all payments and benefits delayed pursuant to this Section 19 (whether they would have otherwise been payable in a single sum or in installments in the absence of such delay) shall be paid or reimbursed to the Executive in a lump sum on the first business day following the Delay Period, and any remaining payments and benefits due under this Agreement shall be paid or provided in accordance with the normal payment dates specified for them herein.

  19.8.3.Code Section 280G.  The provisions set forth in Exhibit B hereto are hereby incorporated into this Agreement by this reference, and the Executive shall be entitled to the benefit of those provisions.  This Section 19.8.3 and the provisions set forth in Exhibit B hereto shall be expressly assumed by any successor to the Company.

  19.9.Entire Agreement.  This Agreement, and the Exhibits hereto, contain the entire agreement of the parties with respect to the subject matter referred to herein and supersedes any and all prior negotiations, understandings, arrangements, letters of intent, and agreements, whether written or oral, between the Executive and the Company and its Affiliates, or any of its or their directors, officers, employees or representatives with respect thereto, including without limitation any severance or other provisions to the contrary or in conflict hereof in any employment, severance, change in control or other agreement between the Executive and the Company or any of its Affiliates.  In the event of any such conflict or any conflict between any provisions of this Agreement (including its Exhibits) and the provisions of any plan, program or policy of the Company or any of its Affiliates, this Agreement and its Exhibits shall govern.

  19.10.Survivability.  Except as otherwise expressly set forth in this Agreement, upon the termination of this Agreement or the expiration of the Term, the respective rights and obligations of the parties that accrued prior to such termination or expiration shall survive such termination or expiration to the extent necessary to carry out the intentions of the parties hereto.  The Agreement shall continue in effect until there are no further rights or obligations of the parties hereto that accrued prior to such termination or expiration outstanding hereunder and shall not be terminated by any party without the express written consent of all parties.

  19.11.No Right of Employment.  Nothing in this Agreement shall be construed as giving the Executive any right to be retained in the employ of the Company or shall interfere in any way with the right of the Company to terminate the Executive’s employment at any time, with or without Cause.

  19.12.Unfunded Obligation.  The obligations under this Agreement shall be unfunded.  Benefits payable under this Agreement shall be paid from the general assets of the Company and its Affiliates.  The Company shall have no obligation to establish any fund or to set aside any assets to provide benefits under this Agreement. With respect to all payment and performance obligations of the Company under this Agreement, the term the “Company” shall include all of its Affiliates.

  19.13.Attorneys’ Fees.  In any legal action by the Company to enforce Sections 12, 13 and 14 of this Agreement and the terms of the CNDA Agreement, and in any other legal action by any party prior to a Change in Control to enforce any term of this Agreement, the prevailing party shall be entitled to recover all reasonable attorney’s fees and litigation costs.   Following a Change in Control, should a party file any action to enforce any term of this Agreement other than an action by the Company to enforce Sections 12, 13 and 14 of this Agreement 

  

  and the terms of the CNDA Agreement, the Company shall pay all reasonable attorney’s fees and litigation costs incurred by the Executive.  Following a Change in Control, the payment of fees and litigation costs will be made on a quarterly basis following the commencement of the action upon presentation of fee statements from legal counsel of the Executive without regard to which party may ultimately be the prevailing party.

  19.14.Execution.  This Agreement and its Exhibits may be executed in several counterparts each of which will be deemed an original, but all of which together will constitute one and the same instrument.  This Agreement and its Exhibits may be executed by signatures delivered by facsimile or in pdf or other electronic format, which shall be deemed to be an original.

  20.Term.  The term of this Agreement shall commence from the Effective Date and shall continue until the close of business of the day preceding the third (3rd) anniversary of the Effective Date; provided, however, that commencing on the second (2nd) anniversary of the Effective Date (and each anniversary of the Effective Date thereafter), the term of this Agreement shall automatically be extended for one (1) additional year, unless at least ninety (90) days prior to such date, the Company or the Executive shall give written notice to the other party that the Company or the Executive, as the case may be, does not wish to so extend this Agreement.  Notwithstanding the foregoing, if the Company gives such written notice to the Executive less than two (2) years after a Change in Control, the term of this Agreement shall be automatically extended until the later of (a) the date that is two (2) years after the anniversary of the Effective Date that follows such written notice or (b) the second (2nd) anniversary of the Change in Control and subject to Section 19.10 of this Agreement.

  [Remainder of page intentionally left blank; signature page follows]

   

   

  

   

  IN WITNESS WHEREOF, the parties have executed this Agreement effective as of the Effective Date.

  AGREED AND ACCEPTED

   

  		
	VAPOTHERM, INC.
	EXECUTIVE
 

	 
By:  /s/ Joe Army
 
Title:  CEO
 
	 
/s/ Greg Ramade	
  Greg Ramade
 

	 
	 

  
 

   

  

   

  EXHIBIT A

  GENERAL RELEASE

  [●] (the “Executive”), on behalf of the Executive and the Executive’s heirs, executors, administrators, successors and assigns, whether named or referred to below or not, releases, acquits and forever discharges Vapotherm, Inc. (the “Company”), its parent(s), successors and assigns, their agents, servants, and employees, its subsidiaries, divisions, subdivisions, and affiliates (“Released Party”), of and from any and all past, present, and future claims, counterclaims, demands, actions, causes of action, liabilities, damages, costs, loss of services, expenses, compensation, third-party actions, of every nature and description, whether known or unknown, suspected or unsuspected, foreseen, or unforeseen, real or imaginary, actual or potential, and whether arising at law or in equity, under the common law, state, federal or foreign law, or any other law, or otherwise, arising out of or relating to the Executive’s employment with the Company or the termination thereof (collectively “Claims”).  The Executive intends to affect a full and final general release of all such Claims.  It is expressly understood and agreed that this Release is intended to cover, and does cover, not only all now known injuries, losses, and damages, but also those injuries, losses, and damages not now known or anticipated, but which may later be discovered after the Effective Date (as hereinafter defined as the date when the Executive signs this Release), including all the effects and consequences thereof. 

  More specifically, by signing this Release, the Executive agrees to release any actual and potential Claims that the Executive has or may potentially have, either as an individual or standing in the shoes of the government, under any foreign, federal, state or local law, administrative regulation or legal principle (except as provided below in this Release) against the Company or any and all other Released Parties.  The following listing of laws and types of Claims is not meant to, and shall not be interpreted to, exclude any particular law or type of Claim, law, regulation or legal principle not listed.  The Executive understands that the Executive is releasing all the Executive’s Claims against the Company and all Released Parties including, but not limited to, any Claims for expense reimbursement or expenses, Claims for invasion of privacy; breach of written or oral, express or implied, contract; fraud or misrepresentation; Claims for assault, battery, defamation, intentional or negligent infliction of emotional distress, breach of the covenant of good faith and fair dealing, promissory estoppel, negligence, negligent hiring, retention or supervision, retaliation, constructive discharge, violation of whistleblower protection laws, unjust enrichment, violation of public policy, and any Claims under the Age Discrimination in Employment Act of 1967 (“ADEA”), 28 U.S.C. § 626, as amended, the Older Workers Benefit Protection Act of 1990 (“OWBPA”), 29 U.S.C. § 626(f), Title VII of the Civil Rights Act of 1964 (“Title VII”), 42 U.S.C. § 2000e, et seq., the Americans with Disabilities Act (“ADA”), as amended by the ADA Amendments Act of 2008 (“ADAAA”), 29 U.S.C. § 12101, et seq., the Employee Retirement Income Security Act of 1974 (“ERISA”), as amended, 29 U.S.C. §§ 1001, et seq., the Equal Pay Act (“EPA”), 29 U.S.C. § 206(d), the Family and Medical Leave Act (“FMLA”), 29 U.S.C. § 2601, et seq., the Genetic Information Nondiscrimination Act of 2008 (“GINA”), the False Claims Act, 31 U.S.C. § 3729, et seq., Delaware Discrimination in Employment Act, Delaware Persons With Disabilities Employment Protections Act, Minimum Wage Act of the State (Del. Code Ann. tit. 19, §§ 901-914), Delaware Whistleblowers' Protection Act, Delaware False Claims and Reporting Act, Delaware equal pay laws (Del. Code Ann. tit. 19, § 1107A), Delaware meal break 

  Ex. A-1

   

  

   

  laws, Delaware leave laws, New Hampshire Law Against Discrimination, New Hampshire Whistleblowers' Protection Act, New Hampshire Worker Adjustment and Retraining Notification Act, New Hampshire equal pay laws (N.H. Rev. Stat. Ann. §§ 275:36 to 275:41-a), New Hampshire genetic testing laws (N.H. Rev. Stat. Ann. §§ 141-H:1 to 141-H:6), and New Hampshire leave laws, or any other federal, state, or local statute, law, rule, regulation, ordinance or order.  This includes, but is not limited to, Claims for violation of any civil rights laws based on protected class status and all other Claims for unlawful employment practices, and all other common law or statutory Claims.

  The Executive is not releasing, and “Claims” shall not include, any rights or Claims the Executive has (1) pursuant to the Separation Pay Agreement between the Company and the Executive, any equity award granted to the Executive by Vapotherm, Inc. or the Indemnification Agreement between the Company or its affiliates and the Executive; (2) to be indemnified and advanced expenses in accordance with applicable law, or the Company’s and its affiliates’ corporate documents or be covered under any applicable directors’ and officers’ liability insurance policies; (3) with respect to any rights which have accrued or become vested as of the date of this Release, including any rights to any outstanding equity awards; and (4) with respect to any Claims which arise after the date this Release is executed by the Executive.  

  The Executive represents and warrants that the Executive is aware of no facts, evidence, allegations, claims, liabilities, or demands relating to alleged or potential violations of law that may give rise to a claim or liability on the part of any Released Party under the Securities Exchange Act of 1934, the Sarbanes–Oxley Act of 2002, the Dodd-Frank Wall Street Reform and Consumer Protection Act, or any other federal, state, local or international law, statute or regulation providing for protection and/or recovery to whistleblowers.  Nothing in this General Release interferes with the Executive’s right to file a complaint, charge or report with any law enforcement agency, with the Securities Exchange Commission (“SEC”) or other regulatory body, or to participate in any manner in an SEC or other governmental investigation or proceeding under any such law, statute or regulation, nor does it require notification to or prior approval by the Company of any such a complaint, charge or report.  Executive understands and agrees, however, that Executive waives Executive’s right to recover any whistleblower award under Section 21F of the Securities Exchange Act of 1934 or other individual relief in any administrative or legal action whether brought by the SEC or other law enforcement agency, Executive, or any other party, unless and to the extent that such waiver is contrary to law.  Executive agrees that Company reserves any and all defenses which it has or might have against any such claims brought by Executive or on Executive’s behalf.

  The Executive declares that the Executive understands, covenants, and agrees that except to the extent explicitly permitted by this General Release, the Executive will not make any Claims or demands, or file any legal proceedings against any Released Party or join any Released Party as a party with respect to any Claims released by the Executive, nor shall the Executive proceed against any other person, firm, or corporation on the Claims released above except as is necessary to enforce the terms and conditions of this Release and the Separation Pay Agreement.  Notwithstanding the foregoing, nothing in this Release or the Separation Pay Agreement should be construed as interfering with the Executive’s right or ability to file a charge, report, claim or complaint with, or to otherwise participate in any manner in an investigation or proceeding before, any civil rights, fair employment practices, securities regulation or other governmental regulatory 

  Ex. A-2

  

   

  or law enforcement agency or entity, including without limitation, the Equal Employment Opportunity Commission (“EEOC”).  The Executive further declares that the Executive is voluntarily forfeiting any right to recover or receive compensation in any form resulting from a legal action or demand against the Company by any other person or persons with respect to the Claims released by the Executive herein.  The Executive agrees that the Released Parties reserve any and all defenses which they have against any such claims.

   

  In accordance with the Older Workers Benefit Protection Act of 1990, as amended, Executive agrees as follows: 

  a)This Release is written in terms which the Executive understands; 

  b)The Executive has been advised of the Executive’s rights to consult an attorney to review and for advice regarding whether to sign this Release; 

  c)The Executive does not waive any rights or claims that may arise after the date the Release is executed; 

  d)The Executive is receiving consideration beyond anything of value to which the Executive already is entitled; and 

  e)The Executive has been given a reasonable period of time to consider this Release (at least 21 days).

  RIGHT TO REVOKE

  The Executive understands that insofar as this Release relates to the Executive’s rights under the ADEA, it shall not become effective or enforceable until seven (7) days after the Executive signs it.  The Executive also has the right to revoke this Release only insofar as it extends to potential Claims under the ADEA by written notice to the Company within seven (7) calendar days following the Executive’s signing of this Release.  Any such revocation must be in writing, must explain that the revocation is applicable to the Executive’s ADEA Claims, and must be either hand-delivered to the Company or, if sent by mail, postmarked within the applicable time period (below), sent by certified mail, return receipt requested, as follows:

  (a)	post-marked within the applicable seven (7) day period;

  (b)	properly addressed to:

  President and Chief Executive Officer

  Vapotherm, Inc. 

  100 Domain Drive

  Exeter, NH 03833; and

   

  (c)	sent by certified mail, return receipt requested.

  The Executive declares that the Executive understands, covenants, and agrees that the Executive will not make any Claims or demands, or file any legal proceedings against the 

  Ex. A-3

  

   

  Company or join the Company as a party with respect to any Claims released by the Executive, nor shall the Executive proceed against any other Released Party, person, firm, or corporation on the Claims released above except as is necessary to enforce the terms and conditions of this Release and the Separation Pay Agreement between the Executive and the Company.  The Executive further declares that the Executive is voluntarily forfeiting any right to recover or receive compensation in any form resulting from a legal action or demand against the Company by any other person or persons with respect to the Claims released by the Executive herein.

  The filing of any claim, demand or any and all other legal proceedings by the Executive against the Company with respect to Claims released by the Executive shall be deemed to be a material breach of the terms of this Release.  Such breach shall immediately terminate Company’s duty to pay any further sums to the Executive.  

  It is further understood and agreed that the Company will pay and the Executive is accepting severance payments and benefits more fully described in the Separation Pay Agreement between the parties in full accord and satisfaction of any obligations, Claims, and/or disputes that the Executive may have with the Company with respect to the Executive’s released Claims.

  The Executive declares, understands, covenants, and agrees that the terms of the Separation Pay Agreement, and the severance payments and benefits stated therein, are the sole consideration for this Release and that the Executive voluntarily accepts that consideration for the purpose of making a full and final compromise, adjustment, and release of all Claims.

  The Executive understands and agrees that this is the full and complete understanding of the parties, that it is the integrated memorial of their agreement, and that there are no other written or oral understandings, agreements, covenants, promises or arrangements, directly or indirectly connected with this Release, that are not incorporated herein.  The terms of this Release are contractual and are not mere recitals.

  Notwithstanding the foregoing, nothing in this Release shall release any party from obligations resulting from the Separation Pay Agreement nor prohibit any party from seeking the enforcement of the Separation Pay Agreement.

  The Executive understands that the consideration the Executive is receiving for settling and releasing the Executive’s Claims is contingent upon the Executive’s agreement to be bound by the terms of this Release.  Accordingly, if the Executive attempts to revoke this Release as provided above, the Executive understands that the Executive is not entitled to the post-termination payments and benefits, other than the Accrued Obligations, offered in the Separation Pay Agreement.  The Executive further understands that if the Executive attempts to revoke the Executive’s release of the Executive’s ADEA Claims, the Executive must immediately return to Company the post-termination payments and benefits, other than the Accrued Obligations, that the Executive may have received under the Executive’s Separation Pay Agreement; provided however, that if the Executive decides to challenge the knowing and voluntary nature of this Release under the ADEA and/or the OWBPA, the Executive is not required to return to Company any consideration that the Executive received under the Executive’s Separation Pay Agreement.

  Ex. A-4

  

   

  AGREED AND ACCEPTED

  The Company has advised the Executive of the Executive’s right to review this Release with the Executive’s own attorney.  The Executive has had the opportunity to carefully read this Release and understands all its terms.  In agreeing to sign this Release, the Executive has not relied on any oral statements or explanations made by the Company or any other Released Party, including their employees or attorneys.  The Executive understands and agrees to be bound by this Release.  This Release shall be effective as of the date signed by the Executive (“Effective Date”). 

  EXECUTIVE:

  Dated:  			, 20__								

  	(Effective Date)	Signature

  Name:  				

   

  Ex. A-5

  

   

  EXHIBIT B

  MODIFIED 280G CUTBACK

  Notwithstanding anything to the contrary in this Agreement, in any other agreement between or among the Executive, the Company or any of its Affiliates or in any plan maintained by the Company or any Affiliate, if there is a 280G Change in Control (as defined in Section (g)(i) below), the following rules shall apply:

  	 

  a.Except as otherwise provided in Section (b) below, if it is determined in accordance with Section (d) below that any portion of the Payments (as defined in Section (g)(ii) below) that otherwise would be paid or provided to the Executive or for the Executive’s benefit in connection with the 280G Change in Control would be subject to the excise tax imposed under Section 4999 of the Code (“Excise Tax”), then such Payments shall be reduced by the smallest total amount necessary in order for the aggregate present value of all such Payments after such reduction, as determined in accordance with the applicable provisions of Section 280G of the Code and the regulations issued thereunder, not to exceed the Excise Tax Threshold Amount (as defined in Section (g)(iii) below).

  b.No reduction in any of the Executive’s Payments shall be made pursuant to Section (a) above if it is determined in accordance with Section (d) below that the After Tax Amount of the Payments payable to the Executive without such reduction would exceed the After Tax Amount of the reduced Payments payable to the Executive in accordance with Section (a) above.  For purposes of the foregoing, (i) the “After Tax Amount” of the Payments, as computed with, and as computed without, the reduction provided for under Section (a) above, shall mean the amount of the Payments, as so computed, that the Executive would retain after payment of all taxes (including without limitation any federal, state or local income taxes, the Excise Tax or any other excise taxes, any Medicare or other employment taxes, and any other taxes) imposed on such Payments in the year or years in which payable; and (ii) the amount of such taxes shall be computed at the rates in effect under the applicable tax laws in the year in which the 280G Change in Control occurs, or if then ascertainable, the rates in effect in any later year in which any Payment is expected to be paid following the 280G Change in Control, and in the case of any income taxes, by using the maximum combined federal, state and (if applicable) local income tax rates then in effect under such laws.

  c.Any reduction in the Executive’s Payments required to be made pursuant to Section (a) above (the “Required Reduction”) shall be made as follows: first, any  Payments  that became fully vested prior to the 280G Change in Control and that pursuant to paragraph (b) of  Treas. Reg. §1.280G-1, Q/A 24 are treated as Payments solely by reason of the acceleration of their originally scheduled dates of payment shall be reduced, by cancellation of the acceleration of their dates of payment; second, any severance payments or benefits, performance-based cash or performance-based equity incentive awards, or other Payments, in all cases the full amounts of which are treated as contingent on the 280G Change in Control pursuant to paragraph (a) of Treas. Reg. §1.280G-1, Q/A 24,  shall be reduced; and third, any cash or equity incentive awards, or non-qualified deferred compensation amounts, that vest solely based on the Executive’s  continued service with the Company or any of its Affiliates, and that pursuant to paragraph (c) of Treas. Reg. §1.280G-1, Q/A 

  Ex. B-1

   

  

   

  24 are treated as contingent on the 280G Change in Control because they become vested as a result of the 280G Change in Control, shall be reduced,  first by cancellation of any acceleration of their originally scheduled dates of payment (if payment with respect to such items is not treated as automatically occurring upon the vesting of such items for purposes of Section 280G) and then, if necessary, by canceling the acceleration of their vesting. In each case, the amounts of the Payments shall be reduced in the inverse order of their originally scheduled dates of payment or vesting, as applicable, and shall be so reduced only to the extent necessary to achieve the Required Reduction.

  d.A determination as to whether any Excise Tax is payable with respect to the Executive’s Payments and if so, as to the amount thereof, and a determination as to whether any reduction in the Executive’s Payments is required pursuant to the provisions of Sections (a) and (b) above, and if so, as to the amount of the reduction so required, shall be made by no later than fifteen (15) days prior to the closing of the transaction or the occurrence of the event that constitutes the 280G Change in Control, or as soon thereafter as administratively practicable. Such determinations, and the assumptions to be utilized in arriving at such determinations, shall be made by an independent auditor (the “Auditor”) jointly selected by the Executive and the Company, all of whose fees and expenses shall be borne and directly paid solely by the Company.  The Auditor shall be a nationally recognized public accounting firm which has not, during the two (2) years preceding the date of its selection, acted in any way on behalf of the Company or any of its Affiliates or for any entity effecting the 280G Change in Control. If the Executive and the Company cannot agree on the firm to serve as Auditor, then the Executive and the Company shall each select one (1) accounting firm and those two (2) firms shall jointly select the accounting firm to serve as the Auditor.  The Auditor shall provide a written report of its determinations, including detailed supporting calculations, both to the Executive and to the Company. If the Auditor determines that no Excise Tax is payable with respect to the Executive’s Payments, either as a result of any Required Reduction the Auditor has determined should be made thereto or because the Auditor has determined that no Required Reduction must be made thereto, the written report which the auditor furnishes to the Executive and to the Company pursuant to the preceding sentence shall be accompanied by an opinion reasonably acceptable to the Executive that no Excise Tax will be imposed with respect to the Executive’s Payments.  Except as otherwise provided in Section (e) or Section (f) below, the determinations made by the Auditor pursuant to this Section (d) shall be binding upon the Executive and the Company and its Affiliates.

  e.If, notwithstanding (1) any determination made pursuant to Section (d) above that a reduction in the Executive’s Payments is not required pursuant to Section (a) above or (2) any reduction in the Executive’s Payments made pursuant to Section (a) above, the United States Internal Revenue Service (the “IRS”) subsequently asserts that the Executive is liable for Excise Tax with respect to such Payments, the Payments then remaining to be paid or provided to the Executive shall be reduced as provided in Sections (a) and (b) above or shall be further reduced as provided in Section (a) above, and (if still necessary after such reduction or further reduction) any Payments already made to the Executive shall be repaid to the Company or its Affiliates, to the extent necessary to eliminate the Excise Tax asserted by the IRS to be payable by the Executive. Any such reduction or further reduction or repayment (i) shall be made only if the IRS agrees that such reduction or further reduction or repayment will be effective to avoid the imposition of any Excise Tax with respect to the Executive’s Payments as so reduced or repaid and agrees not to impose such Excise Tax against the Executive if such reduction or further reduction or repayment is made, and (ii) shall be made in the manner described in Section (c) above,

  Ex. B-2

  

   

  f.Notwithstanding anything to the contrary in the foregoing provisions of this Exhibit B, if (i) the Executive’s Payments have been reduced pursuant to Section (a) above and the IRS nevertheless subsequently determines that Excise Tax is payable with respect to the Executive’s Payments, and (ii) if the After Tax Amount of the Payments payable to the Executive, determined without any further reduction or repayment as provided in Section (e) above, and without any initial reduction as provided in Section (a) above, would exceed the After Tax Amount of the Payments payable to the Executive as reduced in accordance with Section (a), then (A) no such further reduction or repayment shall be made with respect to the Executive’s Payments pursuant to Section (e) above, and (B) the Company or its Affiliate shall pay to the Executive an amount equal to the reduction in the Executive’s Payments that was initially made pursuant to Section (a). Such amount shall be paid to the Executive in a cash lump sum by no later than the fifteenth (15th) day of the third (3rd) month following the close of the calendar year in which the IRS makes its final determination that Excise Tax is due with respect to the Executive’s Payments, provided that by such day the Executive has paid the Excise Tax so determined to be due.

  g.For purposes of the foregoing, the following terms shall have the following respective meanings:

  i.“280G Change in Control” shall mean a change in the ownership or effective control of the Company or in the ownership of a substantial portion of the assets of the Company, as determined in accordance with Section 280G(b)(2) of the Code and the regulations issued thereunder.

  ii.“Payment” shall mean any payment or benefit in the nature of compensation that is to be paid or provided to the Executive or for the Executive’s benefit in connection with a 280G Change in Control, to the extent that such payment or benefit is “contingent” on the 280G Change in Control within the meaning of Section 280G(b)(2)(A)(i) of the Code and the regulations issued thereunder.

  iii.“Excise Tax Threshold Amount” shall mean an amount equal to (x) three (3) times the Executive’s “base amount” within the meaning of Section 280G(b)(3) of the Code and the regulations issued thereunder, less (y) $1,000.

   

   

  Ex. B-3EXHIBIT 10.9

 

CEPTON, INC.

2022 EQUITY INCENTIVE PLAN

 

		1.	PURPOSE OF PLAN

 

The purpose of this Cepton, Inc. 2022 Equity Incentive Plan
(this “Plan”) of Cepton, Inc., a Delaware corporation (the “Corporation”), is to promote the success
of the Corporation by providing an additional means through the grant of awards to attract, motivate, retain and reward selected employees
and other eligible persons and to enhance the alignment of the interests of the selected participants with the interests of the Corporation’s
stockholders.

 

		2.	ELIGIBILITY

 

The Administrator (as such term is defined in Section 3.1)
may grant awards under this Plan only to those persons that the Administrator determines to be Eligible Persons. An “Eligible
Person” is any person who is either: (a) an officer (whether or not a director) or employee of the Corporation or one of its
Subsidiaries; (b) a director of the Corporation or one of its Subsidiaries; or (c) an individual consultant or advisor who renders or
has rendered bona fide services (other than services in connection with the offering or sale of securities of the Corporation or one of
its Subsidiaries in a capital-raising transaction or as a market maker or promoter of securities of the Corporation or one of its Subsidiaries)
to the Corporation or one of its Subsidiaries and who is selected to participate in this Plan by the Administrator; provided, however,
that a person who is otherwise an Eligible Person under clause (c) above may participate in this Plan only if such participation would
not adversely affect either the Corporation’s eligibility to use Form S-8 to register under the Securities Act of 1933, as amended
(the “Securities Act”), the offering and sale of shares issuable under this Plan by the Corporation or the Corporation’s
compliance with any other applicable laws. An Eligible Person who has been granted an award (a “participant”) may,
if otherwise eligible, be granted additional awards if the Administrator shall so determine. As used herein, “Subsidiary”
means any corporation or other entity a majority of whose outstanding stock or voting power is beneficially owned directly or indirectly
by the Corporation; and “Board” means the Board of Directors of the Corporation.

 

		3.	PLAN ADMINISTRATION

 

		3.1	The Administrator. This Plan shall be administered by and all awards under this Plan shall be authorized by the Administrator.
The “Administrator” means the Board or one or more committees (or subcommittees, as the case may be) appointed by the
Board or another committee (within its delegated authority) to administer all or certain aspects of this Plan. Any such committee shall
be comprised solely of one or more directors or such number of directors as may be required under applicable law. A committee may delegate
some or all of its authority to another committee so constituted. The Board or a committee comprised solely of directors may also delegate,
to the extent permitted by applicable law, to one or more officers of the Corporation, its authority under this Plan. The Board or another
committee (within its delegated authority) may delegate different levels of authority to different committees or persons with administrative
and grant authority under this Plan. Unless otherwise provided in the Bylaws of the Corporation or the applicable charter of any Administrator:
(a) a majority of the members of the acting Administrator shall constitute a quorum, and (b) the vote of a majority of the members present
assuming the presence of a quorum or the unanimous written consent of the members of the Administrator shall constitute action by the
acting Administrator.

 

     

     

    

 

		3.2	Powers of the Administrator. Subject to the express provisions of this Plan, the Administrator is authorized and empowered
to do all things necessary or desirable in connection with the authorization of awards and the administration of this Plan (in the case
of a committee or delegation to one or more officers, within any express limits on the authority delegated to that committee or person(s)),
including, without limitation, the authority to:

 

		(a)	determine eligibility and, from among those persons determined to be eligible, determine the particular Eligible Persons who will
receive an award under this Plan;

 

		(b)	grant awards to Eligible Persons, determine the price (if any) at which securities will be offered or awarded and the number of securities
to be offered or awarded to any of such persons (in the case of securities-based awards), determine the other specific terms and conditions
of awards consistent with the express limits of this Plan, establish the installment(s) (if any) in which such awards shall become exercisable
or shall vest (which may include, without limitation, performance and/or time-based schedules), or determine that no delayed exercisability
or vesting is required, establish any applicable performance-based exercisability or vesting requirements, determine the circumstances
in which any performance-based goals (or the applicable measure of performance) will be adjusted and the nature and impact of any such
adjustment, determine the extent (if any) to which any applicable exercise and vesting requirements have been satisfied, establish the
events (if any) on which exercisability or vesting may accelerate (which may include, without limitation, retirement and other specified
terminations of employment or services, or other circumstances), and establish the events (if any) of termination, expiration or reversion
of such awards;

 

		(c)	approve the forms of any award agreements (which need not be identical either as to type of award or among participants);

 

		(d)	construe and interpret this Plan and any agreements defining the rights and obligations of the Corporation, its Subsidiaries, and
participants under this Plan, make any and all determinations under this Plan and any such agreements, further define the terms used in
this Plan, and prescribe, amend and rescind rules and regulations relating to the administration of this Plan or the awards granted under
this Plan;

 

    2

     

    

 

		(e)	cancel, modify, or waive the Corporation’s rights with respect to, or modify, discontinue, suspend, or terminate any or all
outstanding awards, subject to any required consent under Section 8.7.5;

 

		(f)	accelerate, waive or extend the vesting or exercisability, or modify or extend the term of, any or all such outstanding awards (in
the case of options or stock appreciation rights, within the maximum term of such awards) in such circumstances as the Administrator may
deem appropriate (including, without limitation, in connection with a retirement or other termination of employment or services, or other
circumstances) subject to any required consent under Section 8.7.5;

 

		(g)	adjust the number of shares of Common Stock subject to any award, adjust the price of any or all outstanding awards or otherwise waive
or change previously imposed terms and conditions, in such circumstances as the Administrator may deem appropriate, in each case subject
to Sections 4 and 8.6 (and subject to the no repricing provision below);

 

		(h)	determine the date of grant of an award, which may be a designated date after but not before the date of the Administrator’s
action to approve the award (unless otherwise designated by the Administrator, the date of grant of an award shall be the date upon which
the Administrator took the action approving the award);

 

		(i)	determine whether, and the extent to which, adjustments are required pursuant to Section 7.1 hereof and take any other actions contemplated
by Section 7 in connection with the occurrence of an event of the type described in Section 7;

 

		(j)	acquire or settle (subject to Sections 7 and 8.6) rights under awards in cash, stock of equivalent value, or other consideration (subject
to the no repricing provision below);

 

		(k)	impose such restrictions, conditions or limitations (by provision in the applicable Award Agreement) as it determines appropriate
as to the timing and manner of any resales by a participant of any shares issued pursuant to an award, including restrictions under an
insider trading policy and restrictions as to the use of a specified brokerage firm for such resales; and

 

		(l)	determine the fair market value of the Common Stock or awards under this Plan from time to time and/or the manner in which such value
will be determined.

 

		3.3	Prohibition on Repricing. Notwithstanding anything to the contrary in Section 3.2 and except for an adjustment pursuant
to Section 7.1 or a repricing approved by stockholders, in no case may the Administrator (a) amend an outstanding stock option or SAR
to reduce the exercise price or base price of the award, (b) cancel, exchange, or surrender an outstanding stock option or SAR in exchange
for cash or other awards for the purpose of repricing the award, or (c) cancel, exchange, or surrender an outstanding stock option or
SAR in exchange for an option or SAR with an exercise or base price that is less than the exercise or base price of the original award.

 

    3

     

    

 

		3.4	Binding Determinations. Any determination or other action taken by, or inaction of, the Corporation, any Subsidiary,
or the Administrator relating or pursuant to this Plan (or any award made under this Plan) and within its authority hereunder or under
applicable law shall be within the absolute discretion of that entity or body and shall be conclusive and binding upon all persons. Neither
the Board nor any other Administrator, nor any member thereof or person acting at the direction thereof, shall be liable for any act,
omission, interpretation, construction or determination made in good faith in connection with this Plan (or any award made under this
Plan), and all such persons shall be entitled to indemnification and reimbursement by the Corporation in respect of any claim, loss, damage
or expense (including, without limitation, attorneys’ fees) arising or resulting therefrom to the fullest extent permitted by law
and/or under any directors and officers liability insurance coverage that may be in effect from time to time. Neither the Board nor any
other Administrator, nor any member thereof or person acting at the direction thereof, nor the Corporation or any of its Subsidiaries,
shall be liable for any damages of a participant should an option intended as an ISO (as defined below) fail to meet the requirements
of the Internal Revenue Code of 1986, as amended (the “Code”), applicable to ISOs, should any other award(s) fail to
qualify for any intended tax treatment, should any award grant or other action with respect thereto not satisfy Rule 16b-3 promulgated
under the Securities Exchange Act of 1934, as amended, or otherwise for any tax or other liability imposed on a participant with respect
to an award.

 

		3.5	Reliance on Experts. In making any determination or in taking or not taking any action under this Plan, the Administrator
may obtain and may rely upon the advice of experts, including employees and professional advisors to the Corporation. No director, officer
or agent of the Corporation or any of its Subsidiaries shall be liable for any such action or determination taken or made or omitted in
good faith.

 

		3.6	Delegation. The Administrator may delegate ministerial, non-discretionary functions to individuals who are officers
or employees of the Corporation or any of its Subsidiaries or to third parties.

 

		4.	SHARES OF COMMON STOCK SUBJECT TO THE PLAN; SHARE LIMITS

 

		4.1	Shares Available. Subject to the provisions of Section 7.1, the capital stock that may be delivered under this Plan
shall be shares of the Corporation’s authorized but unissued Common Stock and any shares of its Common Stock held as treasury shares.
For purposes of this Plan, “Common Stock” shall mean the common stock of the Corporation and such other securities
or property as may become the subject of awards under this Plan, or may become subject to such awards, pursuant to an adjustment made
under Section 7.1.

 

    4

     

    

 

		4.2	Aggregate Share Limit. The maximum number of shares of Common Stock that may be delivered pursuant to awards granted
to Eligible Persons under this Plan (the “Share Limit”) is equal to the sum of the following:

 

		(1)	15,123,142 shares of Common Stock, plus

 

		(2)	the number of any shares subject to stock options granted under the Cepton Technologies, Inc. Stock Incentive Plan (the “2016
Plan”) and outstanding on the date of stockholder approval of this Plan (the “Stockholder Approval Date”)
which expire, or for any reason are cancelled or terminated, after the Stockholder Approval Date without being exercised, plus

 

		(3)	the number of any shares subject to restricted stock awards granted under the 2016 Plan that are outstanding and unvested on the Stockholder
Approval Date that are forfeited, terminated, cancelled or otherwise reacquired by the Corporation without having become vested.

 

In addition, the Share Limit shall automatically
increase on the first trading day in January of each calendar year during the term of this Plan, with the first such increase to occur
in January 2023, by an amount equal to the lesser of (i) two percent (2%) of the total number of shares of Common Stock issued and outstanding
on December 31 of the immediately preceding calendar year or (ii) such number of shares of Common Stock as may be established by the Board.

 

		4.3	Additional Share Limits. The following limits also apply with respect to awards granted under this Plan. These limits
are in addition to, not in lieu of, the aggregate Share Limit in Section 4.2.

 

		(a)	The maximum number of shares of Common Stock that may be delivered pursuant to options qualified as incentive stock options granted
under this Plan is 40,000,000 shares.

 

    5

     

    

 

		(b)	Awards that are granted under this Plan during any one calendar year to any person who, on the grant date of the award, is a non-employee
director shall not exceed the number of shares that produce a grant date fair value for the award that, when combined with (i) the grant
date fair value of any other awards granted under this Plan during that same calendar year to that individual in his or her capacity as
a non-employee director and (ii) the dollar amount of all other cash compensation payable by the Corporation to such non-employee director
for his or her services in such capacity during that same calendar year (regardless of whether deferred and excluding any interest or
earnings on any portion of such amount that may be deferred), is $400,000; provided that this limit is $600,000 as to (1) a non-employee
director who is serving as the independent Chair of the Board or as a lead independent director at the time the applicable grant is made
or (2) any new non-employee director for the calendar year in which the non-employee director is first elected or appointed to the Board.
For purposes of this Section 4.3(b), a “non-employee director” is an individual who, on the grant date of the award, is a
member of the Board who is not then an officer or employee of the Corporation or one of its Subsidiaries. For purposes of this Section
4.3(b), “grant date fair value” means the value of the award as of the date of grant of the award and as determined using
the equity award valuation principles applied in the Corporation’s financial reporting. The limits of this Section 4.3(b) do not
apply to, and shall be determined without taking into account, any award granted to an individual who, on the grant date of the award,
is an officer or employee of the Corporation or one of its Subsidiaries. The limits of this Section 4.3(b) apply on an individual basis
and not on an aggregate basis to all non-employee directors as a group.

 

		4.4	Share-Limit Counting Rules. The Share Limit shall be subject to the following provisions of this Section 4.4:

 

		(a)	Shares that are subject to or underlie awards granted under this Plan which expire or for any reason are cancelled or terminated,
are forfeited, fail to vest, or for any other reason are not paid or delivered under this Plan shall not be counted against the Share
Limit and shall be available for subsequent awards under this Plan.

 

		(b)	Except as provided below, to the extent that shares of Common Stock are delivered pursuant to the exercise of a stock appreciation
right granted under this Plan, the number of underlying shares which are actually issued in payment of the award shall be counted against
the Share Limit. (For purposes of clarity, if a stock appreciation right relates to 100,000 shares and is exercised in full at a time
when the payment due to the participant is 15,000 shares, 15,000 shares shall be counted against the Share Limit with respect to such
exercise and the 85,000 shares not issued shall not be counted against the Share Limit and shall be available for subsequent awards under
this Plan.)

 

		(c)	Shares that are exchanged by a participant or withheld by the Corporation as full or partial payment in connection with any award
granted under this Plan, as well as any shares exchanged by a participant or withheld by the Corporation or one of its Subsidiaries to
satisfy the tax withholding obligations related to any award granted under this Plan, shall not be counted against the Share Limit and
shall be available for subsequent awards under this Plan (but such shares shall not again become available for issuance as ISOs).

 

		(d)	To the extent that an award granted under this Plan is settled in cash or a form other than shares of Common Stock, the shares that
would have been delivered had there been no such cash or other settlement shall not be counted against the Share Limit and shall be available
for subsequent awards under this Plan.

 

    6

     

    

 

		(e)	In the event that shares of Common Stock are delivered in respect of a dividend equivalent right granted under this Plan, the number
of shares delivered with respect to the award shall be counted against the Share Limit. (For purposes of clarity, if 1,000 dividend equivalent
rights are granted and outstanding when the Corporation pays a dividend, and 50 shares are delivered in payment of those rights with respect
to that dividend, 50 shares shall be counted against the Share Limit). Except as otherwise provided by the Administrator, shares delivered
in respect of dividend equivalent rights shall not count against any individual award limit under this Plan other than the aggregate Share
Limit.

 

		(f)	The Corporation may not increase the Share Limit by repurchasing shares of Common Stock on the market (by using cash received through
the exercise of stock options or otherwise).

 

Refer to Section 8.11 for application of the share limits of
this Plan, including the limits in Sections 4.2 and 4.3, with respect to assumed awards. Each of the numerical limits and references in
Sections 4.2 and 4.3, and in this Section 4.4, is subject to adjustment as contemplated by Sections 7 and 8.10.

 

		4.5	No Fractional Shares; Minimum Issue. Unless otherwise expressly provided by the Administrator, no fractional shares
shall be delivered under this Plan. The Administrator may pay cash in lieu of any fractional shares in settlements of awards under this
Plan. The Administrator may from time to time impose a limit (of not greater than 100 shares) on the minimum number of shares that may
be purchased or exercised as to awards (or any particular award) granted under this Plan unless (as to any particular award) the total
number purchased or exercised is the total number at the time available for purchase or exercise under the award.

 

		5.	AWARDS

 

		5.1	Type and Form of Awards. The Administrator shall determine the type or types of award(s) to be made to each selected
Eligible Person. Awards may be granted singly, in combination or in tandem. Awards also may be made in combination or in tandem with,
in replacement of, as alternatives to, or as the payment form for grants or rights under any other employee or compensation plan of the
Corporation or one of its Subsidiaries. The types of awards that may be granted under this Plan are:

 

5.1.1
 Stock Options. A stock option is the grant of a right to purchase a specified number of shares of
Common Stock during a specified period as determined by the Administrator. An option may be intended as an incentive stock option
within the meaning of Section 422 of the Code (an “ISO”) or a nonqualified stock option (an option not intended
to be an ISO). The agreement evidencing the grant of an option will indicate if the option is intended as an ISO; otherwise it will
be deemed to be a nonqualified stock option. The maximum term of each option (ISO or nonqualified) shall be ten (10) years. The per
share exercise price for each option shall be not less than 100% of the fair market value of a share of Common Stock on the date of
grant of the option. When an option is exercised, the exercise price for the shares to be purchased shall be paid in full in cash or
such other method permitted by the Administrator consistent with Section 5.4.

 

    7

     

    

 

5.1.2 Additional
Rules Applicable to ISOs. To the extent that the aggregate fair market value (determined at the time of grant of the
applicable option) of stock with respect to which ISOs first become exercisable by a participant in any calendar year exceeds
$100,000, taking into account both Common Stock subject to ISOs under this Plan and stock subject to ISOs under all other plans of
the Corporation or one of its Subsidiaries (or any parent or predecessor corporation to the extent required by and within the
meaning of Section 422 of the Code and the regulations promulgated thereunder), such options shall be treated as nonqualified stock
options. In reducing the number of options treated as ISOs to meet the $100,000 limit, the most recently granted options shall be
reduced first. To the extent a reduction of simultaneously granted options is necessary to meet the $100,000 limit, the
Administrator may, in the manner and to the extent permitted by law, designate which shares of Common Stock are to be treated as
shares acquired pursuant to the exercise of an ISO. ISOs may only be granted to employees of the Corporation or one of its
subsidiaries (for this purpose, the term “subsidiary” is used as defined in Section 424(f) of the Code, which generally
requires an unbroken chain of ownership of at least 50% of the total combined voting power of all classes of stock of each
subsidiary in the chain beginning with the Corporation and ending with the subsidiary in question). No ISO may be granted to any
person who, at the time the option is granted, owns (or is deemed to own under Section 424(d) of the Code) shares of outstanding
Common Stock possessing more than 10% of the total combined voting power of all classes of stock of the Corporation, unless the
exercise price of such option is at least 110% of the fair market value of a share of Common Stock on the date of grant of the
option and such option by its terms is not exercisable after the expiration of five years from the date such option is granted. If
an otherwise-intended ISO fails to meet the applicable requirements of Section 422 of the Code, the option shall be a nonqualified
stock option.

 

5.1.3 Stock
Appreciation Rights. A stock appreciation right or “SAR” is a right to receive a payment, in cash and/or
Common Stock, equal to the excess of the fair market value of a specified number of shares of Common Stock on the date the SAR is
exercised over the “base price” of the award, which base price shall be set forth in the applicable award
agreement and shall be not less than 100% of the fair market value of a share of Common Stock on the date of grant of the SAR. The
maximum term of a SAR shall be ten (10) years.

 

5.1.4 Other
Awards; Dividend Equivalent Rights. The other types of awards that may be granted under this Plan include: (a) stock
bonuses, restricted stock, performance stock, stock units, restricted stock units, deferred shares, phantom stock or similar rights
to purchase or acquire shares, whether at a fixed or variable price (or no price) or fixed or variable ratio related to the Common
Stock, and any of which may (but need not) be fully vested at grant or vest upon the passage of time, the occurrence of one or more
events, the satisfaction of performance criteria or other conditions, or any combination thereof; or (b) cash awards. The types
of cash awards that may be granted under this Plan include the opportunity to receive a payment for the achievement of one or more
goals established by the Administrator, on such terms as the Administrator may provide, as well as discretionary cash awards.
Dividend equivalent rights may be granted as a separate award or in connection with another award under this Plan; provided,
however, that dividend equivalent rights may not be granted as to a stock option or SAR granted under this Plan. In addition, any
dividends and/or dividend equivalents as to the portion of an award that is subject to unsatisfied vesting requirements will be
subject to termination and forfeiture to the same extent as the corresponding portion of the award to which they relate in the event
the applicable vesting requirements are not satisfied.

 

    8

     

    

 

		5.2	Award Agreements. Each award shall be evidenced by a written or electronic award agreement or notice in a form approved
by the Administrator (an “award agreement”), and, in each case and if required by the Administrator, executed or otherwise
electronically accepted by the recipient of the award in such form and manner as the Administrator may require.

 

		5.3	Deferrals and Settlements. Payment of awards may be in the form of cash, Common Stock, other awards or combinations
thereof as the Administrator shall determine, and with such restrictions (if any) as it may impose. The Administrator may also require
or permit participants to elect to defer the issuance of shares or the settlement of awards in cash under such rules and procedures as
it may establish under this Plan. The Administrator may also provide that deferred settlements include the payment or crediting of interest
or other earnings on the deferral amounts, or the payment or crediting of dividend equivalents where the deferred amounts are denominated
in shares.

 

		5.4	Consideration for Common Stock or Awards. The purchase price (if any) for any award granted under this Plan or the Common
Stock to be delivered pursuant to an award, as applicable, may be paid by means of any lawful consideration as determined by the Administrator,
including, without limitation, one or a combination of the following methods:

 

		(a)	services rendered by the recipient of such award;

 

		(b)	cash, check payable to the order of the Corporation, or electronic funds transfer;

 

		(c)	notice and third party payment in such manner as may be authorized by the Administrator;

 

		(d)	the delivery of previously-owned shares of Common Stock which meet the conditions established by the Administrator to avoid adverse
accounting consequences to the Corporation (as determined by the Administrator);

 

		(e)	by a reduction in the number of shares otherwise deliverable pursuant to the award; or

 

		(f)	subject to such procedures as the Administrator may adopt, pursuant to a “cashless exercise” with a third party who provides
financing for the purposes of (or who otherwise facilitates) the purchase or exercise of awards.

 

    9

     

    

 

In no event shall any shares newly issued by the Corporation
be issued for less than the minimum lawful consideration for such shares or for consideration other than consideration permitted by applicable
state law. Shares of Common Stock used to satisfy the exercise price of an option shall be valued at their fair market value. The Corporation
will not be obligated to deliver any shares unless and until it receives full payment of the exercise or purchase price therefor and any
related withholding obligations under Section 8.5 and any other conditions to exercise or purchase have been satisfied. Unless otherwise
expressly provided in the applicable award agreement, the Administrator may at any time eliminate or limit a participant’s ability
to pay any exercise or purchase price of any award or shares by any method other than cash payment to the Corporation.

 

		5.5	Definition of Fair Market Value. For purposes of this Plan, “fair market value” shall mean, unless
otherwise determined or provided by the Administrator in the circumstances, the closing price (in regular trading) for a share of Common
Stock on the Nasdaq Capital Market (or, if the Common Stock is not then traded on the Nasdaq Capital Market, the principal established
securities market on which shares of Common Stock are readily tradable) (the “Market”) for the date in question or,
if no sales of Common Stock were reported on the Market on that date, the closing price (in regular trading) for a share of Common Stock
on the Market for the next preceding day on which sales of Common Stock were reported on the Market. The Administrator may, however, provide
with respect to one or more awards that the fair market value shall equal the closing price (in regular trading) for a share of Common
Stock on the Market on the last trading day preceding the date in question or the average of the high and low trading prices of a share
of Common Stock on the Market for the date in question or the most recent trading day. If the Common Stock is no longer listed or is no
longer actively traded on the Market as of the applicable date, the fair market value of the Common Stock shall be the value as reasonably
determined by the Administrator for purposes of the award in the circumstances. The Administrator also may adopt a different methodology
for determining fair market value with respect to one or more awards if a different methodology is necessary or advisable to secure any
intended favorable tax, legal or other treatment for the particular award(s) (for example, and without limitation, the Administrator may
provide that fair market value for purposes of one or more awards will be based on an average of closing prices (or the average of high
and low daily trading prices) for a specified period preceding the relevant date).

 

		5.6	Transfer Restrictions.

 

5.6.1 Limitations
on Exercise and Transfer. Unless otherwise expressly provided in (or pursuant to) this Section 5.6 or required by applicable
law: (a) all awards are non-transferable and shall not be subject in any manner to sale, transfer, anticipation, alienation,
assignment, pledge, encumbrance or charge; (b) awards shall be exercised only by the participant; and (c) amounts payable or shares
issuable pursuant to any award shall be delivered only to (or for the account of) the participant.

 

    10

     

    

 

5.6.2 Exceptions.
The Administrator may permit awards to be exercised by and paid to, or otherwise transferred to, other persons or entities pursuant
to such conditions and procedures, including limitations on subsequent transfers, as the Administrator may, in its sole discretion,
establish in writing. Any permitted transfer shall be subject to compliance with applicable federal and state securities laws and
shall not be for value (other than nominal consideration, settlement of marital property rights, or for interests in an entity in
which more than 50% of the voting interests are held by the Eligible Person or by the Eligible Person’s family members).

 

5.6.3 Further
Exceptions to Limits on Transfer. The exercise and transfer restrictions in Section 5.6.1 shall not apply to:

 

		(a)	transfers to the Corporation (for example, in connection with the expiration or termination of the award);

 

		(b)	the designation of a beneficiary to receive benefits in the event of the participant’s death or, if the participant has died,
transfers to or exercise by the participant’s beneficiary, or, in the absence of a validly-designated beneficiary, transfers by
will or the laws of descent and distribution;

 

		(c)	subject to any applicable limitations on ISOs, transfers to a family member (or former family member) pursuant to a domestic relations
order if received by the Administrator;

 

		(d)	if the participant has suffered a disability, permitted transfers or exercises on behalf of the participant by his or her legal representative;
or

 

		(e)	the authorization by the Administrator of “cashless exercise” procedures with third parties who provide financing for
the purpose of (or who otherwise facilitate) the exercise of awards consistent with applicable laws and any limitations imposed by the
Administrator.

 

		5.7	International Awards. One or more awards may be granted to Eligible Persons who provide services to the Corporation
or one of its Subsidiaries outside of the United States. Any awards granted to such persons may be granted pursuant to the terms and conditions
of any applicable sub-plans, if any, appended to this Plan and approved by the Administrator from time to time. The awards so granted
need not comply with other specific terms of this Plan, provided that stockholder approval of any deviation from the specific terms of
this Plan is not required by applicable law or the rules of any principal securities exchange or market on which shares of Common Stock
are then traded.

 

    11

     

    

 

		6.	EFFECT OF TERMINATION OF EMPLOYMENT OR SERVICE ON AWARDS

 

		6.1	General. The Administrator shall establish the effect (if any) of a termination of employment or service on the rights
and benefits under each award under this Plan and in so doing may make distinctions based upon, inter alia, the cause of termination and
type of award. If the participant is not an employee of the Corporation or one of its Subsidiaries, is not a member of the Board, and
provides other services to the Corporation or one of its Subsidiaries, the Administrator shall be the sole judge for purposes of this
Plan (unless a contract or the award otherwise provides) of whether the participant continues to render services to the Corporation or
one of its Subsidiaries and the date, if any, upon which such services shall be deemed to have terminated.

 

		6.2	Events Not Deemed Terminations of Employment. Unless the express policy of the Corporation or one of its Subsidiaries,
or the Administrator, otherwise provides, or except as otherwise required by applicable law, the employment relationship shall not be
considered terminated in the case of: (a) sick leave, (b) military leave, or (c) any other leave of absence authorized by the Corporation
or one of its Subsidiaries, or the Administrator; provided that, unless reemployment upon the expiration of such leave is guaranteed by
contract or law or the Administrator otherwise provides, such leave is for a period of not more than three months. In the case of any
employee of the Corporation or one of its Subsidiaries on an approved leave of absence, continued vesting of the award while on leave
from the employ of the Corporation or one of its Subsidiaries may be suspended until the employee returns to service, unless the Administrator
otherwise provides or applicable law otherwise requires. In no event shall an award be exercised after the expiration of any applicable
maximum term of the award.

 

		6.3	Effect of Change of Subsidiary Status. For purposes of this Plan and any award, if an entity ceases to be a Subsidiary
of the Corporation, a termination of employment or service shall be deemed to have occurred with respect to each Eligible Person in respect
of such Subsidiary who does not continue as an Eligible Person in respect of the Corporation or another Subsidiary that continues as such
after giving effect to the transaction or other event giving rise to the change in status unless the Subsidiary that is sold, spun-off
or otherwise divested (or its successor or a direct or indirect parent of such Subsidiary or successor) assumes the Eligible Person’s
award(s) in connection with such transaction.

 

		7.	ADJUSTMENTS; ACCELERATION

 

		7.1	Adjustments.

 

		(a)	Subject to Section 7.2, upon (or, as may be necessary to effect the adjustment, immediately prior to): any reclassification, recapitalization,
stock split (including a stock split in the form of a stock dividend) or reverse stock split; any merger, combination, consolidation,
conversion or other reorganization; any spin-off, split-up, or similar extraordinary dividend distribution in respect of the Common Stock;
or any exchange of Common Stock or other securities of the Corporation, or any similar, unusual or extraordinary corporate transaction
in respect of the Common Stock; then the Administrator shall equitably and proportionately adjust: (i) the number and type of shares of
Common Stock (or other securities) that thereafter may be made the subject of awards (including the specific share limits, maximums and
numbers of shares set forth elsewhere in this Plan); (ii) the number, amount and type of shares of Common Stock (or other securities or
property) subject to any outstanding awards; (iii) the grant, purchase, or exercise price (which term includes the base price of any SAR
or similar right) of any outstanding awards; and/or (iv) the securities, cash or other property deliverable upon exercise or payment of
any outstanding awards, in each case to the extent necessary to preserve (but not increase) the level of incentives intended by this Plan
and the then-outstanding awards.

 

    12

     

    

 

		(b)	Any adjustment in the number of shares subject to an award under this Section 7.1 shall be rounded down to the nearest whole share,
although the Administrator in its sole discretion may make a cash payment in lieu of a fractional share.

 

		(c)	Without limiting the generality of Section 3.4, any good faith determination by the Administrator as to whether an adjustment is required
in the circumstances pursuant to this Section 7.1, and the extent and nature of any such adjustment, shall be conclusive and binding on
all persons.

 

		7.2	Corporate Transactions - Assumption and Termination
of Awards.

 

		(a)	Upon any event in which the Corporation does not survive, or does not survive as a public company in respect of its Common Stock (including,
without limitation, a dissolution, merger, combination, consolidation, conversion, exchange of securities, or other reorganization, or
a sale of all or substantially all of the business, stock or assets of the Corporation, in any case in connection with which the Corporation
does not survive or does not survive as a public company in respect of its Common Stock), then the Administrator may, in its sole discretion,
make provision for a cash payment in settlement of, or for the termination, assumption, substitution or exchange of any or all outstanding
awards or the cash, securities or property deliverable to the holder of any or all outstanding awards, based upon, to the extent relevant
under the circumstances, the distribution or consideration payable to holders of the Common Stock upon or in respect of such event. Upon
the occurrence of any event described in the preceding sentence in connection with which the Administrator has made provision for the
award to be terminated (and the Administrator has not made a provision for the substitution, assumption, exchange or other continuation
or settlement of the award): (i) unless otherwise provided in the applicable award agreement, each then-outstanding option and SAR shall
become fully vested, all shares of restricted stock then outstanding shall fully vest free of restrictions, and each other award granted
under this Plan that is then outstanding shall become payable to the holder of such award (with any performance goals applicable to the
award in each case being deemed met, unless otherwise provided in the award agreement, at the “target” performance level);
and (ii) each award (including any award or portion thereof that, by its terms, does not accelerate and vest in the circumstances) shall
terminate upon the related event; provided that the holder of an option or SAR shall be given reasonable advance notice of the impending
termination and a reasonable opportunity to exercise his or her outstanding vested options and SARs (after giving effect to any accelerated
vesting required in the circumstances) in accordance with their terms before the termination of such awards (except that in no case shall
more than ten days’ notice of the impending termination be required and any acceleration of vesting and any exercise of any portion
of an award that is so accelerated may be made contingent upon the actual occurrence of the event).

 

    13

     

    

 

		(b)	Without limiting the preceding paragraph, in connection with any event referred to in the preceding paragraph or any change in control
event defined in any applicable award agreement, the Administrator may, in its discretion, provide for the accelerated vesting of any
award or awards as and to the extent determined by the Administrator in the circumstances.

 

		(c)	For purposes of this Section 7.2, an award shall be deemed to have been “assumed” if (without limiting other circumstances
in which an award is assumed) the award continues after an event referred to above in this Section 7.2, and/or is assumed and continued
by the surviving entity following such event (including, without limitation, an entity that, as a result of such event, owns the Corporation
or all or substantially all of the Corporation’s assets directly or through one or more subsidiaries (a “Parent”)),
and confers the right to purchase or receive, as applicable and subject to vesting and the other terms and conditions of the award, for
each share of Common Stock subject to the award immediately prior to the event, the consideration (whether cash, shares, or other securities
or property) received in the event by the stockholders of the Corporation for each share of Common Stock sold or exchanged in such event
(or the consideration received by a majority of the stockholders participating in such event if the stockholders were offered a choice
of consideration); provided, however, that if the consideration offered for a share of Common Stock in the event is not solely the ordinary
common stock of a successor corporation or a Parent, the Administrator may provide for the consideration to be received upon exercise
or payment of the award, for each share subject to the award, to be solely ordinary common stock of the successor corporation or a Parent
equal in fair market value to the per share consideration received by the stockholders participating in the event.

 

		(d)	The Administrator may adopt such valuation methodologies for outstanding awards as it deems reasonable in the event of a cash or property
settlement and, in the case of options, SARs or similar rights, but without limitation on other methodologies, may base such settlement
solely upon the excess if any of the per share amount payable upon or in respect of such event over the exercise or base price of the
award. In the case of an option, SAR or similar right as to which the per share amount payable upon or in respect of such event is less
than or equal to the exercise or base price of the award, the Administrator may terminate such award in connection with an event referred
to in this Section 7.2 without any payment in respect of such award.

 

    14

     

    

 

		(e)	In any of the events referred to in this Section 7.2, the Administrator may take such action contemplated by this Section 7.2 prior
to such event (as opposed to on the occurrence of such event) to the extent that the Administrator deems the action necessary to permit
the participant to realize the benefits intended to be conveyed with respect to the underlying shares. Without limiting the generality
of the foregoing, the Administrator may deem an acceleration and/or termination to occur immediately prior to the applicable event and,
in such circumstances, will reinstate the original terms of the award if an event giving rise to an acceleration and/or termination does
not occur.

 

		(f)	Without limiting the generality of Section 3.4, any good faith determination by the Administrator pursuant to its authority under
this Section 7.2 shall be conclusive and binding on all persons.

 

		(g)	The Administrator may override the provisions of this Section 7.2 by express provision in the award agreement and may accord any participant
a right to refuse any acceleration, whether pursuant to the award agreement or otherwise, in such circumstances as the Administrator may
approve. The portion of any ISO accelerated in connection with an event referred to in this Section 7.2 (or such other circumstances as
may trigger accelerated vesting of the award) shall remain exercisable as an ISO only to the extent the applicable $100,000 limitation
on ISOs is not exceeded. To the extent exceeded, the accelerated portion of the option shall be exercisable as a nonqualified stock option
under the Code.

 

		8.	OTHER PROVISIONS

 

		8.1	Compliance with Laws. This Plan, the granting and vesting of awards under this Plan, the offer, issuance and delivery
of shares of Common Stock, and/or the payment of money under this Plan or under awards are subject to compliance with all applicable federal,
state, local and foreign laws, rules and regulations (including, but not limited to, state and federal securities law) and to such approvals
by any exchange, regulatory or governmental authority as may, in the opinion of counsel for the Corporation, be necessary or advisable
in connection therewith. The person acquiring any securities under this Plan will, if requested by the Corporation or one of its Subsidiaries,
provide such assurances and representations to the Corporation or one of its Subsidiaries as the Administrator may deem necessary or desirable
to assure compliance with all applicable legal and accounting requirements.

 

		8.2	No Rights to Award. No person shall have any claim or rights to be granted an award (or additional awards, as the case
may be) under this Plan, subject to any express contractual rights (set forth in a document other than this Plan) to the contrary.

 

    15

     

    

 

		8.3	No Employment/Service Contract. Nothing contained in this Plan (or in any other documents under this Plan or in any
award) shall confer upon any Eligible Person or other participant any right to continue in the employ or other service of the Corporation
or one of its Subsidiaries, constitute any contract or agreement of employment or other service or affect an employee’s status as
an employee at will, nor shall interfere in any way with the right of the Corporation or one of its Subsidiaries to change a person’s
compensation or other benefits, or to terminate his or her employment or other service, with or without cause. Nothing in this Section
8.3, however, is intended to adversely affect any express independent right of such person under a separate employment or service contract
other than an award agreement.

 

		8.4	Plan Not Funded. Awards payable under this Plan shall be payable in shares or from the general assets of the Corporation,
and no special or separate reserve, fund or deposit shall be made to assure payment of such awards. No participant, beneficiary or other
person shall have any right, title or interest in any fund or in any specific asset (including shares of Common Stock, except as expressly
otherwise provided) of the Corporation or one of its Subsidiaries by reason of any award hereunder. Neither the provisions of this Plan
(or of any related documents), nor the creation or adoption of this Plan, nor any action taken pursuant to the provisions of this Plan
shall create, or be construed to create, a trust of any kind or a fiduciary relationship between the Corporation or one of its Subsidiaries
and any participant, beneficiary or other person. To the extent that a participant, beneficiary or other person acquires a right to receive
payment pursuant to any award hereunder, such right shall be no greater than the right of any unsecured general creditor of the Corporation.

 

		8.5	Tax Withholding. Upon any exercise, vesting, or payment of any award, or upon any other tax withholding event with respect
to any award, arrangements satisfactory to the Corporation shall be made to provide for any taxes the Corporation or any of its Subsidiaries
may be required or permitted to withhold with respect to such award event or payment. Such arrangements may include (but are not limited
to) any one of (or a combination of) the following:

 

		(a)	The Corporation or one of its Subsidiaries shall have the right to require the participant (or the participant’s personal
representative or beneficiary, as the case may be) to pay or provide for payment of the amount of any taxes which the Corporation or one
of its Subsidiaries may be required or permitted to withhold with respect to such award event or payment.

 

		(b)	The Corporation or one of its Subsidiaries shall have the right to deduct from any amount otherwise payable in cash (whether related
to the award or otherwise) to the participant (or the participant’s personal representative or beneficiary, as the case may be)
the amount of any taxes which the Corporation or one of its Subsidiaries may be required or permitted to withhold with respect to such
award event or payment.

 

    16

     

    

 

		(c)	In any case where a tax is required to be withheld in connection with the delivery of shares of Common Stock under this Plan, the
Administrator may in its sole discretion (subject to Section 8.1) require or grant (either at the time of the award or thereafter) to
the participant the right to elect, pursuant to such rules and subject to such conditions as the Administrator may establish, that the
Corporation reduce the number of shares to be delivered by (or otherwise reacquire) the appropriate number of shares, valued in a consistent
manner at their fair market value or at the sales price in accordance with authorized procedures for cashless exercises, necessary to
satisfy any applicable withholding obligation on exercise, vesting or payment.

 

		8.6	Section 409A. Except as otherwise expressly set forth in an award agreement, it is intended that awards granted under
the Plan either be exempt from, or comply with, the requirements of Section 409A of the Code (“Section 409A”). To the
extent an award is subject to Section 409A (a “409A Award”), the terms of the Plan, the 409A Award and any award agreement
shall be interpreted to comply with the requirements of Section 409A so that the 409A Award is not subject to additional tax or interest
under Section 409A, unless the Administrator expressly provides otherwise. A 409A Award shall be subject to such additional rules and
requirements as specified by the Administrator from time to time in order for it to comply with the requirements of Section 409A. In this
regard, if any amount under a 409A Award is payable upon a “separation from service” to an individual who is considered a
“specified employee” (as each term is defined under Section 409A), then no such payment shall be made prior to the date that
is the earlier of (a) six months and one day after the participant’s separation from service or (b) the participant’s death,
but only to the extent such delay is necessary for such payment to comply with the requirements of Section 409A(a)(2)(B)(i) of the Code.
Each participant is solely responsible and liable for the satisfaction of all taxes and penalties that may be imposed on or in respect
of such participant in connection with this Plan, including any taxes and penalties under Section 409A, and neither the Corporation, nor
any Subsidiary or any affiliate shall have any obligation to indemnify or otherwise hold such participant or any beneficiary harmless
from such taxes or penalties. With respect to any 409A Award, references to “termination of employment” (and substantially
similar phrases) shall mean “separation from service” within the meaning of Section 409A. For purposes of Section 409A, each
of the payments that may be made in respect of any award granted under the Plan is designated as a separate payment.

 

		8.7	Effective Date, Termination and Suspension, Amendments.

 

8.7.1 Effective
Date. This Plan is effective as of February 3, 2022, the date of its approval by the Board (the “Effective
Date”). This Plan shall be submitted for and subject to stockholder approval no later than twelve months after the
Effective Date. Unless earlier terminated by the Board and subject to any extension that may be approved by stockholders, this Plan
shall terminate at the close of business on the day before the tenth anniversary of the Effective Date. After the termination of
this Plan either upon such stated termination date or its earlier termination by the Board, no additional awards may be granted
under this Plan, but previously granted awards (and the authority of the Administrator with respect thereto, including the authority
to amend such awards) shall remain outstanding in accordance with their applicable terms and conditions and the terms and conditions
of this Plan.

 

    17

     

    

 

8.7.2 Board
Authorization. The Board may, at any time, terminate or, from time to time, amend, modify or suspend this Plan, in whole or
in part. No awards may be granted during any period that the Board suspends this Plan.

 

8.7.3
Stockholder Approval. To the extent then required by applicable law or deemed necessary or advisable by the Board, any
amendment to this Plan shall be subject to stockholder approval.

 

8.7.4 Amendments
to Awards. Without limiting any other express authority of the Administrator under (but subject to) the express limits of
this Plan, the Administrator by agreement or resolution may waive conditions of or limitations on awards to participants that the
Administrator in the prior exercise of its discretion has imposed, without the consent of a participant, and (subject to the
requirements of Sections 3.2 and 8.6.5) may make other changes to the terms and conditions of awards. Any amendment or other action
that would constitute a repricing of an award is subject to the no-repricing provision of Section 3.3.

 

8.7.5 Limitations
on Amendments to Plan and Awards. No amendment, suspension or termination of this Plan or amendment of any outstanding award
agreement shall, without written consent of the participant, affect in any manner materially adverse to the participant any rights
or benefits of the participant or obligations of the Corporation under any award granted under this Plan prior to the effective date
of such change. Changes, settlements and other actions contemplated by Section 7 shall not be deemed to constitute changes or
amendments for purposes of this Section 8.7.

 

		8.8	Privileges of Stock Ownership. Except as otherwise expressly authorized by the Administrator, a participant shall not
be entitled to any privilege of stock ownership as to any shares of Common Stock not actually delivered to and held of record by the participant.
Except as expressly required by Section 7.1 or otherwise expressly provided by the Administrator, no adjustment will be made for dividends
or other rights as a stockholder for which a record date is prior to such date of delivery.

 

		8.9	Governing Law; Severability.

 

8.9.1 Choice
of Law. This Plan, the awards, all documents evidencing awards and all other related documents shall be governed by, and
construed in accordance with the laws of the State of Delaware, notwithstanding any Delaware or other conflict of law provision to
the contrary.

 

8.9.2 Severability.
If a court of competent jurisdiction holds any provision invalid and unenforceable, the remaining provisions of this Plan shall
continue in effect.

 

		8.10	Captions. Captions and headings are given to the sections and subsections of this Plan solely as a convenience to facilitate
reference. Such headings shall not be deemed in any way material or relevant to the construction or interpretation of this Plan or any
provision thereof.

 

    18

     

    

 

		8.11	Stock-Based Awards in Substitution for Stock Options or Awards Granted by Other Corporation. Awards may be granted to
Eligible Persons in substitution for or in connection with an assumption of employee stock options, SARs, restricted stock or other stock-based
awards granted by other entities to persons who are or who will become Eligible Persons in respect of the Corporation or one of its Subsidiaries,
in connection with a distribution, merger or other reorganization by or with the granting entity or an affiliated entity, or the acquisition
by the Corporation or one of its Subsidiaries, directly or indirectly, of all or a substantial part of the stock or assets of the employing
entity. The awards so granted need not comply with other specific terms of this Plan, provided the awards reflect adjustments giving effect
to the assumption or substitution consistent with any conversion applicable to the common stock (or the securities otherwise subject to
the award) in the transaction and any change in the issuer of the security. Any shares that are delivered and any awards that are granted
by, or become obligations of, the Corporation, as a result of the assumption by the Corporation of, or in substitution for, outstanding
awards previously granted or assumed by an acquired company (or previously granted or assumed by a predecessor employer (or direct or
indirect parent thereof) in the case of persons that become employed by the Corporation or one of its Subsidiaries in connection with
a business or asset acquisition or similar transaction) shall not be counted against the Share Limit or other limits on the number of
shares available for issuance under this Plan and shares subject to any substitute awards shall not be available for awards under the
Plan in the event of any forfeiture, expiration or cash settlement of such substitute awards.

 

		8.12	Non-Exclusivity of Plan. Nothing in this Plan shall limit or be deemed to limit the authority of the Board, the Administrator,
the Corporation, or any Subsidiary to grant awards or authorize any other compensation, with or without reference to the Common Stock,
under any other plan or authority.

 

		8.13	No Corporate Action Restriction. The existence of this Plan, the award agreements and the awards granted hereunder shall
not limit, affect, or restrict in any way the right or power of the Corporation or any Subsidiary (or any of their respective shareholders,
boards of directors or committees thereof (or any subcommittees), as the case may be) to make or authorize: (a) any adjustment, recapitalization,
reorganization or other change in the capital structure or business of the Corporation or any Subsidiary, (b) any merger, amalgamation,
consolidation or change in the ownership of the Corporation or any Subsidiary, (c) any issue of bonds, debentures, capital, preferred
or prior preference stock ahead of or affecting the capital stock (or the rights thereof) of the Corporation or any Subsidiary, (d) any
dissolution or liquidation of the Corporation or any Subsidiary, (e) any sale or transfer of all or any part of the assets or business
of the Corporation or any Subsidiary, (f) any other award, grant, or payment of incentives or other compensation under any other plan
or authority (or any other action with respect to any benefit, incentive or compensation), or (g) any other corporate act or proceeding
by the Corporation or any Subsidiary. No participant, beneficiary or any other person shall have any claim under any award or award agreement
against any member of the Board or the Administrator, or the Corporation or any employees, officers or agents of the Corporation or any
Subsidiary, as a result of any such action. Awards need not be structured so as to be deductible for tax purposes.

 

		8.14	Other Company Benefit and Compensation Programs. Payments and other benefits received by a participant under an award
made pursuant to this Plan are wholly discretionary and, although provided by the Corporation, do not constitute regular or periodic payments.
Unless otherwise required by applicable laws, the payments and other benefits provided under the Plan shall not be deemed a part of a
participant’s compensation for purposes of the determination of benefits under any other employee welfare or benefit plans or arrangements,
if any, provided by the Corporation or any Subsidiary, except where the Administrator expressly otherwise provides or authorizes in writing.
Awards under this Plan may be made in addition to, in combination with, as alternatives to or in payment of grants, awards or commitments
under any other plans, arrangements or authority of the Corporation or its Subsidiaries.

 

		8.15	Clawback Policy. The awards granted under this Plan are subject to the terms of the Corporation’s recoupment,
clawback or similar policy as it may be in effect from time to time, as well as any similar provisions of applicable law, any of which
could in certain circumstances require repayment or forfeiture of awards or any shares of Common Stock or other cash or property received
with respect to the awards (including any value received from a disposition of the shares acquired upon payment of the awards).

 

    19

     

    

 

 

 

Notice of Grant of Restricted Stock Unit Award

and

Terms and Conditions of Restricted Stock Unit Award

 

 

 

	Participant:	[Name]	Award Number:	[_________]
	 	[Address]	Plan:	2022 Plan
	 	[Address]	ID:	[_________]

 

 

 

Effective
[___________] (the “Award Date”), you (the “Participant”) have been granted an award (the “Award”)
of [________]1 restricted stock
units with respect to the Common Stock of Cepton, Inc. (the “Corporation”).

 

The Award will become vested as to 25% of the
total number of restricted stock units subject to the Award on the first anniversary of the [Award Date] and, as to the remaining 75%
of the total number of restricted stock units subject to the Award in 12 substantially equal quarterly installments with the first installment
vesting on the day that is three months after the first anniversary of the [Award Date] and an additional installment vesting on the
last day of each of the 11 consecutive three-month periods thereafter.1, 2

 

 

 

By your signature and the Corporation’s signature below, you
and the Corporation agree that the Award is granted under and governed by the terms and conditions of the Corporation’s 2022 Equity Incentive
Plan (the “Plan”) and the Terms and Conditions of Restricted Stock Unit Award (the “Terms”), which are attached
and incorporated herein by this reference. This Notice of Grant of Restricted Stock Unit Award, together with the Terms, will be referred
to as your Award Agreement. The Award has been granted to you in addition to, and not in lieu of, any other form of compensation otherwise
payable or to be paid to you. Capitalized terms are defined in the Plan if not defined herein or in the Terms. You acknowledge receipt
of a copy of the Terms, the Plan and the Prospectus for the Plan.

 

 

 

	 	 	 
	[Company Name]	 	Date
	 	 	 
	 	 	 
	[Participant Name]	 	Date

 

 

 

 

		1	Subject to adjustment under Section 7.1 of the Plan.

		2	Subject to early termination under Section 5 of the Terms and
Section 7.2 of the Plan.

 

     

     

    

 

CEPTON, INC.

2022 EQUITY INCENTIVE PLAN

 

TERMS AND CONDITIONS OF RESTRICTED STOCK UNIT
AWARD 

 

1. General.
These Terms and Conditions of Restricted Stock Unit Award (these “Terms”) apply to a particular grant of restricted
stock units (the “Award”) under the Cepton, Inc. 2022 Equity Incentive Plan (the “Plan”) if incorporated
by reference in the Notice of Grant of Restricted Stock Unit Award (the “Notice”) corresponding to that particular
award. Capitalized terms used in these Terms are used as defined in the Notice or, if not defined in the Notice, as defined in the Plan.

 

The
Award has been granted to the Participant in addition to, and not in lieu of, any other form of compensation otherwise payable or to be
paid to the Participant. The Notice and these Terms are collectively referred to as the “Award Agreement”
applicable to the Award.

 

As
used in this Award Agreement, the term “stock unit” means a non-voting unit of measurement which is deemed for bookkeeping
purposes to be equivalent to one outstanding share of the Corporation’s Common Stock (subject to adjustment as provided in Section
7.1 of the Plan) solely for purposes of the Plan and this Award Agreement. The Stock Units shall be used solely as a device for the determination
of the payment to eventually be made to the Participant if such Stock Units vest pursuant to this Award Agreement. The Stock Units shall
not be treated as property or as a trust fund of any kind.

 

2. Vesting;
Continuance of Employment or Service Required; No Employment or Service Commitment. Subject to Section 6 below, the Stock Units
subject to the Award shall vest and become nonforfeitable in accordance with the Vesting Schedule set forth in the Notice. The Vesting
Schedule requires continued employment or service through each applicable vesting date as a condition to the vesting of the applicable
installment of the Award and the rights and benefits under this Award Agreement. Employment or service for only a portion of the vesting
period, even if a substantial portion, will not entitle the Participant to any proportionate vesting or avoid or mitigate a termination
of rights and benefits upon or following a termination of employment or services as provided in Section 6 below.

 

Nothing contained in this Award Agreement (including
the Notice) or the Plan constitutes an employment or service commitment by the Corporation or any of its Subsidiaries, affects the Participant’s
status as an employee at will who is subject to termination without cause, confers upon the Participant any right to remain employed by
or in service to the Corporation or any of its Subsidiaries, interferes in any way with the right of the Corporation or any of its Subsidiaries
at any time to terminate such employment or services, or affects the right of the Corporation or any of its Subsidiaries to increase or
decrease the Participant’s other compensation or benefits. Nothing in this Award Agreement (including the Notice), however, is intended
to adversely affect any independent contractual right of the Participant without his or her consent thereto.

 

    1

     

    

 

3. Dividend
and Voting Rights.

 

(a) Limitations on
Rights Associated with Units. The Participant shall have no rights as a stockholder of the Corporation, no dividend rights
(except as expressly provided in Section 3(b) with respect to dividend equivalent rights) and no voting rights, with respect to the
Stock Units and any shares of Common Stock underlying or issuable in respect of such Stock Units until such shares of Common Stock
are actually issued to and held of record by the Participant. No adjustments will be made for dividends or other rights of a holder
for which the record date is prior to the date of issuance of such shares.

 

(b) Dividend Equivalent Rights Distributions.
As of any date that the Corporation pays a cash dividend on its Common Stock, the Corporation shall credit the Participant with an additional
number of Stock Units equal to (i) the per share cash dividend paid by the Corporation on its Common Stock on such date, multiplied by
(ii) the total number of Stock Units (including any dividend equivalents previously credited hereunder) (with such total number adjusted
pursuant to Section 7.1 of the Plan) subject to the Award as of the related dividend payment record date, divided by (iii) the fair market
value of a share of Common Stock on the date of payment of such dividend. Any Stock Units credited pursuant to the foregoing provisions
of this Section 3(b) shall be subject to the same vesting, payment and other terms, conditions and restrictions as the original Stock
Units to which they relate. No crediting of Stock Units shall be made pursuant to this Section 3(b) with respect to any Stock Units which,
as of such record date, have either been paid pursuant to Section 5 or terminated pursuant to Section 6.

 

4. Restrictions
on Transfer. Neither the Award, nor any interest therein or amount or shares payable in respect thereof may be sold, assigned,
transferred, pledged or otherwise disposed of, alienated or encumbered, either voluntarily or involuntarily, except as set forth in Section
5.6 of the Plan.

 

5. Timing
and Manner of Payment of Stock Units. On or as soon as administratively practical following each vesting of the applicable portion
of the total Award pursuant to this Award Agreement or Section 7.2 of the Plan (and in all events not later than two and one-half months
after the applicable vesting date), the Corporation shall deliver to the Participant a number of shares of Common Stock (either by delivering
one or more certificates for such shares or by entering such shares in book entry form, as determined by the Corporation in its discretion)
equal to the number of Stock Units subject to this Award that vest on the applicable vesting date, unless such Stock Units terminate prior
to the given vesting date pursuant to Section 6. Fractional share interests may, in the Corporation’s discretion, be disregarded
or settled in cash. The Corporation’s obligation to deliver shares of Common Stock or otherwise make payment with respect to vested
Stock Units is subject to the condition precedent that the Participant or other person entitled under the Plan to receive any shares with
respect to the vested Stock Units deliver to the Corporation any representations or other documents or assurances required pursuant to
Section 8.1 of the Plan. The Participant shall have no further rights with respect to any Stock Units that are paid or that terminate
pursuant to Section 6.

 

6. Effect
of Termination of Employment or Service. The Participant’s Stock Units shall terminate to the extent such units have not
become vested prior to the first date the Participant is no longer employed by or in service as a director or consultant to the Corporation
or one of its Subsidiaries, regardless of the reason for the termination of the Participant’s employment or service with the Corporation
or a Subsidiary, whether with or without cause, voluntarily or involuntarily (the last day that the Participant is employed by or provides
services as a director or consultant to the Corporation or a Subsidiary is referred to as the Participant’s “Severance
Date”). If any unvested Stock Units are terminated hereunder, such Stock Units shall automatically terminate and be cancelled
as of the applicable Severance Date without payment of any consideration by the Corporation and without any other action by the Participant,
or the Participant’s beneficiary or personal representative, as the case may be.

 

    2

     

    

 

7. Adjustments
Upon Specified Events. Upon the occurrence of certain events relating to the Corporation’s stock contemplated by Section
7.1 of the Plan, the Administrator shall make adjustments in accordance with such section in the number of Stock Units then outstanding
and the number and kind of securities that may be issued in respect of the Award. No such adjustment shall be made with respect to any
cash dividend for which dividend equivalents are credited pursuant to Section 3(b).

 

8. Tax
Withholding. Subject to Section 8.1 of the Plan, upon any distribution of shares of Common Stock in respect of the Stock Units,
the Corporation shall automatically reduce the number of shares to be delivered by (or otherwise reacquire) the appropriate number of
whole shares, valued at their then fair market value, to satisfy any withholding obligations of the Corporation or its Subsidiaries with
respect to such distribution of shares. In the event that the Corporation cannot legally satisfy such withholding obligations by such
reduction of shares, or in the event of a cash payment or any other withholding event in respect of the Stock Units, the Corporation (or
a Subsidiary) shall be entitled to require a cash payment by or on behalf of the Participant and/or to deduct from other compensation
payable to the Participant any sums required by federal, state or local tax law to be withheld with respect to such distribution or payment.

 

9. Notices.
Any notice to be given under the terms of this Award Agreement shall be in writing and addressed to the Corporation at its principal office
to the attention of the Secretary, and to the Participant at the Participant’s last address reflected on the Corporation’s
records, or at such other address as either party may hereafter designate in writing to the other. Any such notice shall be given only
when received, but if the Participant is no longer an employee of or in service to the Corporation, shall be deemed to have been duly
given by the Corporation when enclosed in a properly sealed envelope addressed as aforesaid, registered or certified, and deposited (postage
and registry or certification fee prepaid) in a post office or branch post office regularly maintained by the United States Government.

 

10. Plan.
The Award and all rights of the Participant under this Award Agreement are subject to the terms and conditions of the provisions of the
Plan, incorporated herein by reference. The Participant agrees to be bound by the terms of the Plan and this Award Agreement (including
the Notice). The Participant acknowledges having read and understanding the Plan, the Prospectus for the Plan, and this Award Agreement
(including the Notice). Unless otherwise expressly provided in other sections of this Award Agreement, provisions of the Plan that confer
discretionary authority on the Board or the Administrator do not (and shall not be deemed to) create any rights in the Participant unless
such rights are expressly set forth herein or are otherwise in the sole discretion of the Board or the Administrator so conferred by appropriate
action of the Board or the Administrator under the Plan after the date hereof.

 

11. Entire
Agreement. This Award Agreement (including the Notice) and the Plan together constitute the entire agreement and supersede all
prior understandings and agreements, written or oral, of the parties hereto with respect to the subject matter hereof. The Plan and this
Award Agreement (including the Notice) may be amended pursuant to Section 8.7 of the Plan. Such amendment must be in writing and
signed by the Corporation. The Corporation may, however, unilaterally waive any provision hereof in writing to the extent such waiver
does not adversely affect the interests of the Participant hereunder, but no such waiver shall operate as or be construed to be a subsequent
waiver of the same provision or a waiver of any other provision hereof.

 

    3

     

    

 

12. Limitation
on Participant’s Rights. Participation in the Plan confers no rights or interests other than as herein provided. This Award
Agreement (including the Notice) creates only a contractual obligation on the part of the Corporation as to amounts payable and shall
not be construed as creating a trust. Neither the Plan nor any underlying program, in and of itself, has any assets. The Participant shall
have only the rights of a general unsecured creditor of the Corporation with respect to amounts credited and benefits payable, if any,
with respect to the Stock Units, and rights no greater than the right to receive the Common Stock as a general unsecured creditor with
respect to Stock Units, as and when payable hereunder.

 

13. Counterparts;
Electronic Signature. This Award Agreement may be signed and/or transmitted in one or more counterparts by facsimile, e-mail of
a .PDF, .TIF, .GIF, .JPG or similar attachment or using electronic signature technology (e.g., via DocuSign or similar electronic signature
technology), all of which will be considered one and the same agreement and will become effective when one or more counterparts have been
signed by each of the parties hereto and delivered to the other parties, it being understood that all parties need not sign the same counterpart,
and that any such signed electronic record shall be valid and as effective to bind the party so signing as a paper copy bearing such party’s
hand-written signature. To the extent a party signs this Award Agreement using electronic signature technology, by clicking “sign,”
“accept,” or similar acknowledgement of acceptance, such party is signing this Award Agreement electronically, and electronic
signatures appearing on this Award Agreement (or entered as to this Award Agreement using electronic signature technology) shall be treated,
for purposes of validity, enforceability and admissibility, the same as hand-written signatures.

 

14. Section
Headings. The section headings of this Award Agreement are for convenience of reference only and shall not be deemed to alter
or affect any provision hereof.

 

15. Governing
Law. This Award Agreement (including the Notice) shall be governed by and construed and enforced in accordance with the laws of
the State of Delaware without regard to conflict of law principles thereunder. The Participant does not have to accept the Award, and
it is not a condition of employment that the Participant accept the Award. If the Participant does not agree to the terms of the Award,
the Participant should promptly return this Award Agreement to the Corporation’s Stock Plan Administrator indicating that the Participant
does not wish to accept the Award, and the Stock Units will be cancelled.

 

16. Construction.
It is intended that the terms of the Award will not result in the imposition of any tax liability pursuant to Section 409A of the Code.
This Award Agreement (including the Notice) shall be construed and interpreted consistent with that intent.

 

17. Clawback
Policy. The Stock Units are subject to the terms of the Corporation’s recoupment, clawback or similar policy as it may be
in effect from time to time, as well as any similar provisions of applicable law, any of which could in certain circumstances require
repayment or forfeiture of the Stock Units or any shares of Common Stock or other cash or property received with respect to the Stock
Units (including any value received from a disposition of the shares acquired upon payment of the Stock Units).

 

18. No
Advice Regarding Grant. The Participant is hereby advised to consult with his or her own tax, legal and/or investment advisors
with respect to any advice the Participant may determine is needed or appropriate with respect to the Stock Units (including, without
limitation, to determine the foreign, state, local, estate and/or gift tax consequences with respect to the Award). Neither the Corporation
nor any of its officers, directors, affiliates or advisors makes any representation (except for the terms and conditions expressly set
forth in this Award Agreement, including the Notice) or recommendation with respect to the Award. Except for the withholding rights set
forth in Section 8 above, the Participant is solely responsible for any and all tax liability that may arise with respect to the Award.

 

* * *

 

    4

     

    

 

 

 

Notice of Grant of Nonqualified Stock Option

and

Terms and Conditions of Nonqualified Stock Option

 

 

 

	Grantee:	[Name]	Option Number:	[_________]
	 	[Address]	Plan:	2022 Plan
	 	[Address]	ID:	[_________]

 

 

 

Effective
[___________] (the “Award Date”), you (the “Grantee”) have been granted a nonqualified stock option
(the “Option”) to buy [________] shares1 of
Common Stock of Cepton, Inc. (the “Corporation”) at a price of $[_______] per share1 (the “Exercise
Price”).

 

The aggregate Exercise Price of the shares subject
to the Option is $[__________].1

 

The Option will become vested as to 25% of the
total number of shares of Common Stock subject to the Option on the first anniversary of the Award Date. The remaining 75% of the total
number of shares of Common Stock subject to the Option shall become vested in 36 substantially equal monthly installments, with the first
installment vesting on the last day of the month following the month in which the first anniversary of the Award Date occurs and an additional
installment vesting on the last day of each of the 35 months thereafter.1, 2

 

The Option will expire on [_________]
(the “Expiration Date”). 1, 2

 

 

 

By your signature and the Corporation’s
signature below, you and the Corporation agree that the Option is granted under and governed by the terms and conditions of the Corporation’s
2022 Equity Incentive Plan (the “Plan”) and the Terms and Conditions of Nonqualified Stock Option (the “Terms”),
which are attached and incorporated herein by this reference. This Notice of Grant of Nonqualified Stock Option, together with the Terms,
will be referred to as your Option Agreement. The Option has been granted to you in addition to, and not in lieu of, any other form of
compensation otherwise payable or to be paid to you. Capitalized terms are defined in the Plan if not defined herein or in the Terms.
You acknowledge receipt of a copy of the Terms, the Plan and the Prospectus for the Plan.

 

 

 

	 	 	 
	Cepton, Inc.	 	Date
	 	 	 
	 	 	 
	[Grantee Name]	 	Date

 

 

 

		1	Subject to adjustment under Section 7.1 of the Plan.

		2	Subject to early termination under Section 5 of the Terms and
Section 7.2 of the Plan.

 

     

     

    

 

CEPTON, INC.

2022 EQUITY INCENTIVE PLAN

TERMS AND CONDITIONS OF NONQUALIFIED STOCK OPTION

 

		1.	General.

 

These Terms and Conditions
of Nonqualified Stock Option (these “Terms”) apply to a particular stock option (the “Option”) if
incorporated by reference in the Notice of Grant of Stock Option (the “Grant Notice”) corresponding to that particular
grant. The recipient of the Option identified in the Grant Notice is referred to as the “Grantee.” The per share exercise
price of the Option as set forth in the Grant Notice is referred to as the “Exercise Price.” The effective date of
grant of the Option as set forth in the Grant Notice is referred to as the “Award Date.” The exercise price and the
number of shares covered by the Option are subject to adjustment under Section 7.1 of the Plan.

 

The Option was granted under
and subject to the Cepton, Inc. 2022 Equity Incentive Plan (the “Plan”). Capitalized terms are defined in the Plan
if not defined herein. The Option has been granted to the Grantee in addition to, and not in lieu of, any other form of compensation otherwise
payable or to be paid to the Grantee. The Grant Notice and these Terms are collectively referred to as the “Option Agreement”
applicable to the Option.

 

		2.	Vesting; Limits on Exercise; Incentive Stock Option Status.

 

The Option shall vest and
become exercisable in percentage installments of the aggregate number of shares subject to the Option as set forth on the Grant Notice.
The Option may be exercised only to the extent the Option is vested and exercisable.

 

		●	Cumulative Exercisability. To the extent that the Option is vested and exercisable, the Grantee
has the right to exercise the Option (to the extent not previously exercised), and such right shall continue, until the expiration or
earlier termination of the Option.

 

		●	No Fractional Shares. Fractional share interests shall be disregarded, but may be cumulated.

 

		●	Minimum Exercise. No fewer than 100 shares of Common Stock (subject to adjustment under Section
7.1 of the Plan) may be purchased at any one time, unless the number purchased is the total number at the time exercisable under the Option.

 

		●	Nonqualified Stock Option. The Option is a nonqualified stock option and is not, and shall not
be, an incentive stock option within the meaning of Section 422 of the Code.

 

		3.	Continuance of Employment/Service Required; No Employment/Service Commitment.

 

The vesting schedule applicable
to the Option requires continued employment or service through each applicable vesting date as a condition to the vesting of the applicable
installment of the Option and the rights and benefits under this Option Agreement. Employment or service for only a portion of the vesting
period, even if a substantial portion, will not entitle the Grantee to any proportionate vesting or avoid or mitigate a termination of
rights and benefits upon or following a termination of employment or services as provided in Section 5 below or under the Plan.

 

    1

     

    

 

Nothing contained in this
Option Agreement or the Plan constitutes a continued employment or service commitment by the Corporation or any of its Subsidiaries, affects
the Grantee’s status, if he or she is an employee, as an employee at will who is subject to termination without cause, confers upon
the Grantee any right to remain employed by or in service to the Corporation or any Subsidiary, interferes in any way with the right of
the Corporation or any Subsidiary at any time to terminate such employment or service, or affects the right of the Corporation or any
Subsidiary to increase or decrease the Grantee’s other compensation. Nothing in this Option Agreement, however, is intended to adversely
affect any independent contractual right of the Grantee without his/her consent thereto.

 

		4.	Method of Exercise of Option.

 

The Option shall be exercisable
by the delivery to the Secretary of the Corporation (or such other person as the Administrator may require pursuant to such administrative
exercise procedures as the Administrator may implement from time to time) of:

 

		●	a written notice stating the number of shares of Common Stock to be purchased pursuant to the Option or
by the completion of such other administrative exercise procedures as the Administrator may require from time to time;

 

		●	payment in full for the Exercise Price of the shares to be purchased in cash, check or by electronic funds
transfer to the Corporation;

 

		●	any written statements or agreements required pursuant to Section 8.1 of the Plan; and

 

		●	satisfaction of the tax withholding provisions of Section 8.5 of the Plan.

 

The Administrator also may,
but is not required to, authorize a non-cash payment alternative by one or more of the following methods (subject in each case to compliance
with all applicable laws, rules, regulations and listing requirements and further subject to such rules as the Administrator may adopt
as to any such payment method):

 

		●	notice and third party payment in such manner as may be authorized by the Administrator;

 

		●	in shares of Common Stock already owned by the Grantee, valued at their fair market value (as determined
under the Plan) on the exercise date;

 

		●	a reduction in the number of shares of Common Stock otherwise deliverable to the Grantee (valued at their
fair market value on the exercise date, as determined under the Plan) pursuant to the exercise of the Option; or

 

		●	a “cashless exercise” with a third party who provides simultaneous financing for the purposes
of (or who otherwise facilitates) the exercise of the Option.

 

    2

     

    

 

		5.	Early Termination of Option.

 

5.1 Expiration
Date. Subject to earlier termination as provided below in this Section 5, the Option will terminate on the “Expiration Date”
set forth in the Grant Notice (the “Expiration Date”).

 

5.2 Possible
Termination of Option upon Certain Corporate Events. The Option is subject to termination in connection with certain corporate events
as provided in Section 7.2 of the Plan.

 

5.3 Termination
of Option upon a Termination of Grantee’s Employment or Services. Subject to earlier termination on the Expiration Date of the
Option or pursuant to Section 5.2 above, if the Grantee ceases to be employed by or ceases to provide services to the Corporation or a
Subsidiary, the following rules shall apply (the last day that the Grantee is employed by or provides services to the Corporation or a
Subsidiary is referred to as the Grantee’s “Severance Date”):

 

		●	other than as expressly provided below in this Section 5.3, (a) the Grantee will have until the date that
is 3 months after his or her Severance Date to exercise the Option (or portion thereof) to the extent that it was vested on the Severance
Date, (b) the Option, to the extent not vested on the Severance Date, shall terminate on the Severance Date, and (c) the Option, to the
extent exercisable for the 3-month period following the Severance Date and not exercised during such period, shall terminate at the close
of business on the last day of the 3-month period;

 

		●	if the termination of the Grantee’s employment or services is the result of the Grantee’s
death or Total Disability (as defined below), (a) the Grantee (or his beneficiary or personal representative, as the case may be) will
have until the date that is 12 months after the Grantee’s Severance Date to exercise the Option (or portion thereof) to the extent
that it was vested on the Severance Date, (b) the Option, to the extent not vested on the Severance Date, shall terminate on the Severance
Date, and (c) the Option, to the extent exercisable for the 12-month period following the Severance Date and not exercised during such
period, shall terminate at the close of business on the last day of the 12-month period;

 

		●	if the Grantee’s employment or services are terminated by the Corporation or a Subsidiary for Cause
(as defined below), the Option (whether vested or not) shall terminate on the Severance Date.

 

For purposes of the Option,
“Total Disability” means a “permanent and total disability” (within the meaning of Section 22(e)(3) of
the Code or as otherwise determined by the Administrator).

 

    3

     

    

 

For purposes of the Option, “Cause”
means that the Grantee:

 

		(1)	has been negligent in the discharge of his or her duties to the Corporation or any of its Subsidiaries,
has refused to perform stated or assigned duties or is incompetent in or (other than by reason of a disability or analogous condition)
incapable of performing those duties;

 

		(2)	has been dishonest or committed or engaged in an act of theft, embezzlement or fraud, a breach of confidentiality,
an unauthorized disclosure or use of inside information, customer lists, trade secrets or other confidential information; has breached
a fiduciary duty, or willfully and materially violated any other duty, law, rule, regulation or policy of the Corporation, any of its
Subsidiaries or any affiliate of the Corporation or any of its Subsidiaries; or has been convicted of a felony or misdemeanor (other than
minor traffic violations or similar offenses);

 

		(3)	has materially breached any of the provisions of any agreement with the Corporation, any of its Subsidiaries
or any affiliate of the Corporation or any of its Subsidiaries; or

 

		(4)	has engaged in unfair competition with, or otherwise acted intentionally in a manner injurious to the
reputation, business or assets of, the Corporation, any of its Subsidiaries or any affiliate of the Corporation or any of its Subsidiaries;
has improperly induced a vendor or customer to break or terminate any contract with the Corporation, any of its Subsidiaries or any affiliate
of the Corporation or any of its Subsidiaries; or has induced a principal for whom the Corporation, any of its Subsidiaries or any affiliate
of the Corporation or any of its Subsidiaries acts as agent to terminate such agency relationship.

 

In all events the Option is
subject to earlier termination on the Expiration Date of the Option or as contemplated by Section 5.2. The Administrator shall be the
sole judge of whether the Grantee continues to render employment or services for purposes of this Option Agreement.

 

		6.	Non-Transferability.

 

The Option and any other rights
of the Grantee under this Option Agreement or the Plan are nontransferable and exercisable only by the Grantee, except as set forth in
Section 5.7 of the Plan.

 

		7.	Notices.

 

Any notice to be given under
the terms of this Option Agreement shall be in writing and addressed to the Corporation at its principal office to the attention of the
Secretary, and to the Grantee at the address last reflected on the Corporation’s payroll records, or at such other address as either
party may hereafter designate in writing to the other. Any such notice shall be delivered in person or shall be enclosed in a properly
sealed envelope addressed as aforesaid, registered or certified, and deposited (postage and registry or certification fee prepaid) in
a post office or branch post office regularly maintained by the United States Government. Any such notice shall be given only when received,
but if the Grantee is no longer employed by the Corporation or a Subsidiary, shall be deemed to have been duly given five business days
after the date mailed in accordance with the foregoing provisions of this Section 7.

 

    4

     

    

 

		8.	Plan.

 

The Option and all rights
of the Grantee under this Option Agreement are subject to the terms and conditions of the Plan, incorporated herein by this reference.
The Grantee agrees to be bound by the terms of the Plan and this Option Agreement. The Grantee acknowledges having read and understanding
the Plan, the Prospectus for the Plan, and this Option Agreement. Unless otherwise expressly provided in other sections of this Option
Agreement, provisions of the Plan that confer discretionary authority on the Board or the Administrator do not and shall not be deemed
to create any rights in the Grantee unless such rights are expressly set forth herein or are otherwise in the sole discretion of the Board
or the Administrator so conferred by appropriate action of the Board or the Administrator under the Plan after the date hereof.

 

		9.	Entire Agreement.

 

This Option Agreement and
the Plan together constitute the entire agreement and supersede all prior understandings and agreements, written or oral, of the parties
hereto with respect to the subject matter hereof. The Plan and this Option Agreement may be amended pursuant to Section 8.6 of the
Plan. Such amendment must be in writing and signed by the Corporation. The Corporation may, however, unilaterally waive any provision
hereof in writing to the extent such waiver does not adversely affect the interests of the Grantee hereunder, but no such waiver shall
operate as or be construed to be a subsequent waiver of the same provision or a waiver of any other provision hereof.

 

		10.	Governing Law.

 

This Option Agreement (including
the Notice) shall be governed by and construed and enforced in accordance with the laws of the State of Delaware without regard to conflict
of law principles thereunder. The Grantee does not have to accept the Option, and it is not a condition of employment that the Grantee
accept the Option. If the Grantee does not agree to the terms of the Award, the Grantee should promptly return this Option Agreement to
the Corporation’s Stock Plan Administrator indicating that the Grantee does not wish to accept the Option, and the Option will be
cancelled.

 

		11.	Effect of this Agreement.

 

Subject to the Corporation’s
right to terminate the Option pursuant to Section 7.2 of the Plan, this Option Agreement shall be assumed by, be binding upon and inure
to the benefit of any successor or successors to the Corporation.

 

		12.	Counterparts; Electronic Signature.

 

This Option Agreement may
be signed and/or transmitted in one or more counterparts by facsimile, e-mail of a .PDF, .TIF, .GIF, .JPG or similar attachment or using
electronic signature technology (e.g., via DocuSign or similar electronic signature technology), all of which will be considered one and
the same agreement and will become effective when one or more counterparts have been signed by each of the parties hereto and delivered
to the other parties, it being understood that all parties need not sign the same counterpart, and that any such signed electronic record
shall be valid and as effective to bind the party so signing as a paper copy bearing such party’s hand-written signature. To the
extent a party signs this Option Agreement using electronic signature technology, by clicking “sign,” “accept,”
or similar acknowledgement of acceptance, such party is signing this Option Agreement electronically, and electronic signatures appearing
on Option Agreement (or entered as to this Option Agreement using electronic signature technology) shall be treated, for purposes of validity,
enforceability and admissibility, the same as hand-written signatures.

 

    5

     

    

 

		13.	Section Headings.

 

The section headings of this
Option Agreement are for convenience of reference only and shall not be deemed to alter or affect any provision hereof.

 

		14.	Clawback Policy.

 

The Option is subject to the
terms of the Corporation’s recoupment, clawback or similar policy as it may be in effect from time to time, as well as any similar
provisions of applicable law, any of which could in certain circumstances require forfeiture of the Option and repayment or forfeiture
of any shares of Common Stock or other cash or property received with respect to the Option (including any value received from a disposition
of the shares acquired upon exercise of the Option).

 

		15.	No Advice Regarding Grant. 

 

The Grantee is hereby advised
to consult with his or her own tax, legal and/or investment advisors with respect to any advice the Grantee may determine is needed or
appropriate with respect to the Option (including, without limitation, to determine the foreign, state, local, estate and/or gift tax
consequences with respect to the Option and any shares that may be acquired upon exercise of the Option). Neither the Corporation nor
any of its officers, directors, affiliates or advisors makes any representation (except for the terms and conditions expressly set forth
in this Option Agreement) or recommendation with respect to the Option. Except for the withholding rights contemplated by Section 4 above
and Section 8.5 of the Plan, the Grantee is solely responsible for any and all tax liability that may arise with respect to the Option
and any shares that may be acquired upon exercise of the Option.

 

    6

     

    

 

 

 

Notice of Grant of Incentive Stock Option

and

Terms and Conditions of Incentive Stock Option

 

 

 

	Grantee:	[Name]	Option Number:	[_________]
	 	[Address]	Plan:	2022 Plan
	 	[Address]	ID:	[_________]

 

 

 

Effective
[___________] (the “Award Date”), you (the “Grantee”) have been granted an incentive stock option
(the “Option”) to buy [________] shares1 of
Common Stock of Cepton, Inc. (the “Corporation”) at a price of $[_______] per share1 (the “Exercise
Price”).

 

The aggregate Exercise Price of the shares subject
to the Option is $[__________].1

 

The Option will become vested as to 25% of the
total number of shares of Common Stock subject to the Option on the first anniversary of the Award Date. The remaining 75% of the total
number of shares of Common Stock subject to the Option shall become vested in 36 substantially equal monthly installments, with the first
installment vesting on the last day of the month following the month in which the first anniversary of the Award Date occurs and an additional
installment vesting on the last day of each of the 35 months thereafter.1, 2

 

The Option will expire on [_________]
(the “Expiration Date”).1, 2

 

 

 

By your signature and the Corporation’s
signature below, you and the Corporation agree that the Option is granted under and governed by the terms and conditions of the Corporation's
2022 Equity Incentive Plan (the “Plan”) and the Terms and Conditions of Incentive Stock Option (the “Terms”),
which are attached and incorporated herein by this reference. This Notice of Grant of Incentive Stock Option, together with the Terms,
will be referred to as your Option Agreement. The Option has been granted to you in addition to, and not in lieu of, any other form of
compensation otherwise payable or to be paid to you. Capitalized terms are defined in the Plan if not defined herein or in the Terms.
You acknowledge receipt of a copy of the Terms, the Plan and the Prospectus for the Plan.

 

 

 

	 	 	 
	Cepton, Inc.	 	Date
	 	 	 
	 	 	 
	[Grantee Name]	 	Date

 

 

 

		1	Subject to adjustment under Section 7.1 of the Plan.

		2	Subject to early termination under Section 5 of the Terms and
Section 7.2 of the Plan.

 

     

     

    

 

CEPTON, INC.

2022 EQUITY INCENTIVE PLAN

TERMS AND CONDITIONS OF INCENTIVE STOCK OPTION

 

		1.	General.

 

These Terms and Conditions
of Incentive Stock Option (these “Terms”) apply to a particular stock option (the “Option”) if incorporated
by reference in the Notice of Grant of Stock Option (the “Grant Notice”) corresponding to that particular grant. The
recipient of the Option identified in the Grant Notice is referred to as the “Grantee.” The per share exercise price
of the Option as set forth in the Grant Notice is referred to as the “Exercise Price.” The effective date of grant
of the Option as set forth in the Grant Notice is referred to as the “Award Date.” The exercise price and the number
of shares covered by the Option are subject to adjustment under Section 7.1 of the Plan.

 

The Option was granted under
and subject to the Cepton, Inc. 2022 Equity Incentive Plan (the “Plan”). Capitalized terms are defined in the Plan
if not defined herein. The Option has been granted to the Grantee in addition to, and not in lieu of, any other form of compensation otherwise
payable or to be paid to the Grantee. The Grant Notice and these Terms are collectively referred to as the “Option Agreement”
applicable to the Option.

 

		2.	Vesting; Limits on Exercise; Incentive Stock Option Status.

 

The Option shall vest and
become exercisable in percentage installments of the aggregate number of shares subject to the Option as set forth on the Grant Notice.
The Option may be exercised only to the extent the Option is vested and exercisable.

 

		●	Cumulative Exercisability. To the extent that the Option is vested and exercisable, the Grantee
has the right to exercise the Option (to the extent not previously exercised), and such right shall continue, until the expiration or
earlier termination of the Option.

 

		●	No Fractional Shares. Fractional share interests shall be disregarded, but may be cumulated.

 

		●	Minimum Exercise. No fewer than 100 shares of Common Stock (subject to adjustment under Section
7.1 of the Plan) may be purchased at any one time, unless the number purchased is the total number at the time exercisable under the Option.

 

		●	ISO Status. The Option is intended as an incentive stock option within the meaning of Section 422
of the Code (an “ISO”).

 

		●	ISO Value Limit. If the aggregate fair market value of the shares with respect to which ISOs (whether
granted under the Option or otherwise) first become exercisable by the Grantee in any calendar year exceeds $100,000, as measured on the
applicable Award Dates, the limitations of Section 5.1.2 of the Plan shall apply and to such extent the Option will be rendered a nonqualified
stock option.

 

    1

     

    

 

		3.	Continuance of Employment/Service Required; No Employment/Service Commitment.

 

The vesting schedule applicable
to the Option requires continued employment or service through each applicable vesting date as a condition to the vesting of the applicable
installment of the Option and the rights and benefits under this Option Agreement. Employment or service for only a portion of the vesting
period, even if a substantial portion, will not entitle the Grantee to any proportionate vesting or avoid or mitigate a termination of
rights and benefits upon or following a termination of employment or services as provided in Section 5 below or under the Plan.

 

Nothing contained in this
Option Agreement or the Plan constitutes a continued employment or service commitment by the Corporation or any of its Subsidiaries, affects
the Grantee’s status, if he or she is an employee, as an employee at will who is subject to termination without cause, confers upon
the Grantee any right to remain employed by or in service to the Corporation or any Subsidiary, interferes in any way with the right of
the Corporation or any Subsidiary at any time to terminate such employment or service, or affects the right of the Corporation or any
Subsidiary to increase or decrease the Grantee’s other compensation. Nothing in this Option Agreement, however, is intended to adversely
affect any independent contractual right of the Grantee without his/her consent thereto.

 

		4.	Method of Exercise of Option.

 

The Option shall be exercisable
by the delivery to the Secretary of the Corporation (or such other person as the Administrator may require pursuant to such administrative
exercise procedures as the Administrator may implement from time to time) of:

 

		●	a written notice stating the number of shares of Common Stock to be purchased pursuant to the Option or
by the completion of such other administrative exercise procedures as the Administrator may require from time to time,

 

		●	payment in full for the Exercise Price of the shares to be purchased in cash, check or by electronic funds
transfer to the Corporation;

 

		●	any written statements or agreements required pursuant to Section 8.1 of the Plan; and

 

		●	satisfaction of the tax withholding provisions of Section 8.5 of the Plan.

 

The Administrator also may,
but is not required to, authorize a non-cash payment alternative by one or more of the following methods (subject in each case to compliance
with all applicable laws, rules, regulations and listing requirements and further subject to such rules as the Administrator may adopt
as to any such payment method):

 

		●	notice and third party payment in such manner as may be authorized by the Administrator;

 

		●	in shares of Common Stock already owned by the Grantee, valued at their fair market value (as determined
under the Plan) on the exercise date;

 

    2

     

    

 

		●	a reduction in the number of shares of Common Stock otherwise deliverable to the Grantee (valued at their
fair market value on the exercise date, as determined under the Plan) pursuant to the exercise of the Option; or

 

		●	a “cashless exercise” with a third party who provides simultaneous financing for the purposes
of (or who otherwise facilitates) the exercise of the Option.

 

The Option will qualify as
an ISO only if it meets all of the applicable requirements of the Code. The Option may be rendered a nonqualified stock option if the
Administrator permits the use of one or more of the non-cash payment alternatives referenced above.

 

		5.	Early Termination of Option.

 

5.1 Expiration
Date. Subject to earlier termination as provided below in this Section 5, the Option will terminate on the “Expiration Date”
set forth in the Grant Notice (the “Expiration Date”).

 

5.2 Possible
Termination of Option upon Certain Corporate Events. The Option is subject to termination in connection with certain corporate events
as provided in Section 7.2 of the Plan.

 

5.3 Termination
of Option upon a Termination of Grantee’s Employment or Services. Subject to earlier termination on the Expiration Date of the
Option or pursuant to Section 5.2 above, if the Grantee ceases to be employed by or ceases to provide services to the Corporation or a
Subsidiary, the following rules shall apply (the last day that the Grantee is employed by or provides services to the Corporation or a
Subsidiary is referred to as the Grantee’s “Severance Date”):

 

		●	other than as expressly provided below in this Section 5.3, (a) the Grantee will have until the date that
is 3 months after his or her Severance Date to exercise the Option (or portion thereof) to the extent that it was vested on the Severance
Date, (b) the Option, to the extent not vested on the Severance Date, shall terminate on the Severance Date, and (c) the Option, to the
extent exercisable for the 3-month period following the Severance Date and not exercised during such period, shall terminate at the close
of business on the last day of the 3-month period;

 

		●	if the termination of the Grantee’s employment or services is the result of the Grantee’s
death or Total Disability (as defined below), (a) the Grantee (or his beneficiary or personal representative, as the case may be) will
have until the date that is 12 months after the Grantee’s Severance Date to exercise the Option (or portion thereof) to the extent
that it was vested on the Severance Date, (b) the Option, to the extent not vested on the Severance Date, shall terminate on the Severance
Date, and (c) the Option, to the extent exercisable for the 12-month period following the Severance Date and not exercised during such
period, shall terminate at the close of business on the last day of the 12-month period;

 

    3

     

    

 

		●	if the Grantee’s employment or services are terminated by the Corporation or a Subsidiary for Cause
(as defined below), the Option (whether vested or not) shall terminate on the Severance Date.

 

For purposes of the Option,
“Total Disability” means a “permanent and total disability” (within the meaning of Section 22(e)(3) of
the Code or as otherwise determined by the Administrator).

 

For purposes of the Option,
“Cause” means that the Grantee:

 

		(1)	has been negligent in the discharge of his or her duties to the Corporation or any of its Subsidiaries,
has refused to perform stated or assigned duties or is incompetent in or (other than by reason of a disability or analogous condition)
incapable of performing those duties;

 

		(2)	has been dishonest or committed or engaged in an act of theft, embezzlement or fraud, a breach of confidentiality,
an unauthorized disclosure or use of inside information, customer lists, trade secrets or other confidential information; has breached
a fiduciary duty, or willfully and materially violated any other duty, law, rule, regulation or policy of the Corporation, any of its
Subsidiaries or any affiliate of the Corporation or any of its Subsidiaries; or has been convicted of a felony or misdemeanor (other than
minor traffic violations or similar offenses);

 

		(3)	has materially breached any of the provisions of any agreement with the Corporation, any of its Subsidiaries
or any affiliate of the Corporation or any of its Subsidiaries; or

 

		(4)	has engaged in unfair competition with, or otherwise acted intentionally in a manner injurious to the
reputation, business or assets of, the Corporation, any of its Subsidiaries or any affiliate of the Corporation or any of its Subsidiaries;
has improperly induced a vendor or customer to break or terminate any contract with the Corporation, any of its Subsidiaries or any affiliate
of the Corporation or any of its Subsidiaries; or has induced a principal for whom the Corporation, any of its Subsidiaries or any affiliate
of the Corporation or any of its Subsidiaries acts as agent to terminate such agency relationship.

 

In all events the Option is
subject to earlier termination on the Expiration Date of the Option or as contemplated by Section 5.2. The Administrator shall be the
sole judge of whether the Grantee continues to render employment or services for purposes of this Option Agreement.

 

Notwithstanding any post-termination
exercise period provided for herein or in the Plan, the Option will qualify as an ISO only if it is exercised within the applicable exercise
periods for ISOs under, and meets all of the other requirements of, the Code. If the Option is not exercised within the applicable exercise
periods for ISOs or does not meet such other requirements, the Option will be rendered a nonqualified stock option.

 

    4

     

    

 

		6.	Non-Transferability.

 

The Option and any other rights
of the Grantee under this Option Agreement or the Plan are nontransferable and exercisable only by the Grantee, except as set forth in
Section 5.7 of the Plan.

 

		7.	Notices.

 

Any notice to be given under
the terms of this Option Agreement shall be in writing and addressed to the Corporation at its principal office to the attention of the
Secretary, and to the Grantee at the address last reflected on the Corporation’s payroll records, or at such other address as either
party may hereafter designate in writing to the other. Any such notice shall be delivered in person or shall be enclosed in a properly
sealed envelope addressed as aforesaid, registered or certified, and deposited (postage and registry or certification fee prepaid) in
a post office or branch post office regularly maintained by the United States Government. Any such notice shall be given only when received,
but if the Grantee is no longer employed by the Corporation or a Subsidiary, shall be deemed to have been duly given five business days
after the date mailed in accordance with the foregoing provisions of this Section 7.

 

		8.	Plan.

 

The Option and all rights
of the Grantee under this Option Agreement are subject to the terms and conditions of the Plan, incorporated herein by this reference.
The Grantee agrees to be bound by the terms of the Plan and this Option Agreement. The Grantee acknowledges having read and understanding
the Plan, the Prospectus for the Plan, and this Option Agreement. Unless otherwise expressly provided in other sections of this Option
Agreement, provisions of the Plan that confer discretionary authority on the Board or the Administrator do not and shall not be deemed
to create any rights in the Grantee unless such rights are expressly set forth herein or are otherwise in the sole discretion of the Board
or the Administrator so conferred by appropriate action of the Board or the Administrator under the Plan after the date hereof.

 

		9.	Entire Agreement.

 

This Option Agreement and
the Plan together constitute the entire agreement and supersede all prior understandings and agreements, written or oral, of the parties
hereto with respect to the subject matter hereof. The Plan and this Option Agreement may be amended pursuant to Section 8.6 of the
Plan. Such amendment must be in writing and signed by the Corporation. The Corporation may, however, unilaterally waive any provision
hereof in writing to the extent such waiver does not adversely affect the interests of the Grantee hereunder, but no such waiver shall
operate as or be construed to be a subsequent waiver of the same provision or a waiver of any other provision hereof.

 

		10.	Governing Law.

 

This Option Agreement (including
the Notice) shall be governed by and construed and enforced in accordance with the laws of the State of Delaware without regard to conflict
of law principles thereunder. The Grantee does not have to accept the Option, and it is not a condition of employment that the Grantee
accept the Option. If the Grantee does not agree to the terms of the Award, the Grantee should promptly return this Option Agreement to
the Corporation’s Stock Plan Administrator indicating that the Grantee does not wish to accept the Option, and the Option will be
cancelled.

 

    5

     

    

 

		11.	Effect of this Agreement.

 

Subject to the Corporation’s
right to terminate the Option pursuant to Section 7.2 of the Plan, this Option Agreement shall be assumed by, be binding upon and inure
to the benefit of any successor or successors to the Corporation.

 

		12.	Counterparts; Electronic Signature.

 

This Option Agreement may
be signed and/or transmitted in one or more counterparts by facsimile, e-mail of a .PDF, .TIF, .GIF, .JPG or similar attachment or using
electronic signature technology (e.g., via DocuSign or similar electronic signature technology), all of which will be considered one and
the same agreement and will become effective when one or more counterparts have been signed by each of the parties hereto and delivered
to the other parties, it being understood that all parties need not sign the same counterpart, and that any such signed electronic record
shall be valid and as effective to bind the party so signing as a paper copy bearing such party’s hand-written signature. To the
extent a party signs this Option Agreement using electronic signature technology, by clicking “sign,” “accept,”
or similar acknowledgement of acceptance, such party is signing this Option Agreement electronically, and electronic signatures appearing
on Option Agreement (or entered as to this Option Agreement using electronic signature technology) shall be treated, for purposes of validity,
enforceability and admissibility, the same as hand-written signatures.

 

		13.	Section Headings.

 

The section headings of this Option Agreement are
for convenience of reference only and shall not be deemed to alter or affect any provision hereof.

 

		14.	Clawback Policy.

 

The Option is subject to the
terms of the Corporation’s recoupment, clawback or similar policy as it may be in effect from time to time, as well as any similar
provisions of applicable law, any of which could in certain circumstances require forfeiture of the Option and repayment or forfeiture
of any shares of Common Stock or other cash or property received with respect to the Option (including any value received from a disposition
of the shares acquired upon exercise of the Option).

 

		15.	No Advice Regarding Grant. 

 

The Grantee is hereby advised
to consult with his or her own tax, legal and/or investment advisors with respect to any advice the Grantee may determine is needed or
appropriate with respect to the Option (including, without limitation, to determine the foreign, state, local, estate and/or gift tax
consequences with respect to the Option and any shares that may be acquired upon exercise of the Option). Neither the Corporation nor
any of its officers, directors, affiliates or advisors makes any representation (except for the terms and conditions expressly set forth
in this Option Agreement) or recommendation with respect to the Option. Except for the withholding rights contemplated by Section 4 above
and Section 8.5 of the Plan, the Grantee is solely responsible for any and all tax liability that may arise with respect to the Option
and any shares that may be acquired upon exercise of the Option.

 

    6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00343-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00343-of-00352.parquet"}]]