Document:

REGISTRATION RIGHTS AGREEMENT

     This Registration  Rights Agreement (this  "Agreement") is made and entered
into as of May 24,  2005,  by and among  Beacon  Power  Corporation,  a Delaware
corporation (the "Company"),  Perseus Capital,  L.L.C.  ("Perseus  Capital") and
Perseus 2000 Expansion, L.LC. (the "Purchaser").

     This  Agreement is made pursuant to the Investment  Agreement,  dated as of
April 22, 2005  between the  Company,  Perseus  Capital and the  Purchaser  (the
"Investment Agreement").

     The Company and the Purchaser hereby agree as follows:

1.   Definitions.  Capitalized  terms used and not otherwise defined herein that
     are defined in the Investment  Agreement shall have the meanings given such
     terms in the Investment Agreement. As used in this Agreement, the following
     terms shall have the following meanings:

     "Advice" shall have the meaning set forth in Section 6(d).

     "Commission" means the Securities and Exchange Commission.

     "Effectiveness Period" shall have the meaning set forth in Section 2(a).

     "Exchange Act" means the Securities Exchange Act of 1934, as amended.

     "Filing  Date"  means,  (i)  with  respect  to the  Registration  Statement
     required to be filed hereunder for the Requested  Shares and for the shares
     of Common Stock  issuable upon  exercise of the Warrant,  the PC Warrant or
     the  Additional  Warrant (if issued),  the 30th  calendar day following the
     respective  Closing Date for such Requested Shares, or the date of exercise
     for shares of Common Stock  issuable upon  exercise of the Warrant,  the PC
     Warrant or the Additional  Warrant (if issued) and (ii) with respect to any
     additional  Registration  Statements  which  may be  required  pursuant  to
     Section 2(b), the 30th calendar day following the date on which the Company
     first  knows,  or  reasonably  should  have  known,  that  such  additional
     Registration Statement is required hereunder.

     "Holder" or "Holders" means the holder or holders, as the case may be, from
     time to time of Registrable Securities.

     "Indemnified Party" shall have the meaning set forth in Section 5(c).

     "Indemnifying Party" shall have the meaning set forth in Section 5(c).

     "Losses" shall have the meaning set forth in Section 5(a).

     "Person" means an  individual,  a  corporation,  a  partnership,  a limited
     liability company or other entity.

     "Plan of Distribution" shall have the meaning set forth in Section 2(a).

     "Proceeding"  means an action,  claim,  suit,  investigation  or proceeding
     (including,  without  limitation,  an investigation or partial  proceeding,
     such as a deposition), whether commenced or threatened.

     "Prospectus"  means the  prospectus  included in a  Registration  Statement
     (including,  without limitation, a prospectus that includes any information
     previously  omitted  from  a  prospectus  filed  as  part  of an  effective
     registration  statement in reliance  upon Rule 430A  promulgated  under the
     Securities  Act), as amended or supplemented by any prospectus  supplement,
     with respect to the terms of the offering of any portion of the Registrable
     Securities  covered by a Registration  Statement,  and all other amendments
     and supplements to the Prospectus, including post-effective amendments, and
     all material  incorporated  by reference  or deemed to be  incorporated  by
     reference in such Prospectus.

     "Registrable  Securities"  means all of the Requested Shares and the shares
     of Common Stock  issuable upon  exercise of the Warrant,  the PC Warrant or
     the  Additional  Warrant (if  issued),  together  with any shares of Common
     Stock  issued  or  issuable  upon  any  stock  split,   dividend  or  other
     distribution,  recapitalization  or  similar  event  with  respect  to  the
     foregoing.

     "Registration  Statement" means the registration  statements required to be
     filed  hereunder,  including (in each case) the Prospectus,  amendments and
     supplements to the registration statement or Prospectus, including pre- and
     post-effective   amendments,   all  exhibits  thereto,   and  all  material
     incorporated  by reference or deemed to be incorporated by reference in the
     registration statement.

     "Requested  Shares"  means the Initial  Shares,  any shares of Common Stock
     issued  pursuant to the Call Option,  and any shares of Common Stock issued
     pursuant to the Remaining NxtPhase Investment.

     "Rule 415" means Rule 415  promulgated  by the  Commission  pursuant to the
     Securities  Act,  as such Rule may be  amended  from  time to time,  or any
     similar  rule or  regulation  hereafter  adopted by the  Commission  having
     substantially the same purpose and effect as such Rule.

     "Rule 424" means Rule 424  promulgated  by the  Commission  pursuant to the
     Securities  Act,  as such Rule may be  amended  from  time to time,  or any
     similar  rule or  regulation  hereafter  adopted by the  Commission  having
     substantially the same purpose and effect as such Rule.

     "Securities Act" means the Securities Act of 1933, as amended.

     "Selling  Shareholder  Questionnaire"  shall have the  meaning set forth in
     Section 3(a).

     "Trading Day" means any day on which the  Company's  shares are eligible to
     be traded on The Nasdaq SmallCap Market.

2.   Registration.

          (a) On or prior to the  applicable  Filing Date, the Company shall use
     its  reasonable  best  efforts to prepare  and file with the  Commission  a
     Registration  Statement  covering  the  resale  of 100%  of the  applicable
     Registrable  Securities  for an offering to be made on a  continuous  basis
     pursuant to Rule 415. Each Registration  Statement required hereunder shall
     be on Form S-3 (except if the Company is not then  eligible to register for
     resale  the  Registrable  Securities  on  Form  S-3,  in  which  case  such
     Registration shall be on another appropriate form in accordance  herewith).
     Each  Registration  Statement  required  hereunder shall contain (except if
     otherwise directed by the Holders) substantially the "Plan of Distribution"
     attached  hereto as Annex A.  Subject to the terms of this  Agreement,  the
     Company shall use its  reasonable  best efforts to cause each  Registration
     Statement to be declared  effective under the Securities Act as promptly as
     possible  after the  filing  thereof,  and shall  use its  reasonable  best
     efforts to keep each such  Registration  Statement  continuously  effective
     under the  Securities  Act until the date when all  Registrable  Securities
     covered  by  such  Registration  Statement  have  been  sold or may be sold
     without  volume  restrictions  pursuant to Rule 144(k) as determined by the
     counsel to the Company pursuant to a written opinion letter to such effect,
     addressed and  acceptable to the Company's  transfer agent and the affected
     Holders (the "Effectiveness  Period"). The Company shall immediately notify
     the Holders via facsimile of the effectiveness of a Registration  Statement
     on the same day that the Company receives notification of the effectiveness
     from the Commission.

          (b) If during the  Effectiveness  Period,  the  number of  Registrable
     Securities at any time exceeds 100% of the number of shares of Common Stock
     then  registered in a Registration  Statement,  then the Company shall,  as
     necessary,  file as soon as reasonably practicable but in any case prior to
     the applicable Filing Date, an additional  Registration  Statement covering
     the  resale by the  Holders  of not less  than  100% of the  number of such
     Registrable Securities.

          (c) In the event that at any time the  Registrable  Securities are not
     registered  or  available  for  registration   pursuant  to  the  terms  of
     subsection (a) above, then the Company shall, at the request of any Holder,
     prepare and file with the  Commission one or more  Registration  Statements
     covering  the  resale  of 100% of the  Registrable  Securities  on Form S-3
     (except if the  Company is not then  eligible  to  register  for resale the
     Registrable  Securities on Form S-3, in which case such Registration  shall
     be on another appropriate form in accordance herewith).

3.   Registration Procedures

          In connection with the Company's  registration  obligations hereunder,
     the Company shall:

          (a)  Not  less  than  five  Trading  Days  prior  to the  filing  of a
     Registration  Statement  or any  related  Prospectus  or any  amendment  or
     supplement  thereto,  the Company  shall,  use  reasonable  best efforts to
     furnish to the Holders  copies of all such  documents  proposed to be filed
     (including  documents  incorporated or deemed  incorporated by reference to
     the  extent  requested  by such  Person)  and use  commercially  reasonable
     efforts to incorporate any reasonable comments of the Holders.  Each Holder
     agrees to  furnish to the  Company a  completed  Questionnaire  in the form
     attached   to  this   Agreement   as  Annex  B  (a   "Selling   Shareholder
     Questionnaire")  not less than two Trading Days prior to the Filing Date or
     by the end of the  fourth  Trading  Day  following  the date on which  such
     Holder receives draft materials in accordance with this Section.

          (b) (i) Use  reasonable  best  efforts  to  prepare  and file with the
     Commission  such  amendments,  including  post-effective  amendments,  to a
     Registration  Statement and the Prospectus used in connection  therewith as
     may be necessary to keep such Registration Statement continuously effective
     as to the applicable  Registrable  Securities for the Effectiveness  Period
     and  prepare  and file with the  Commission  such  additional  Registration
     Statements in order to register for resale under the  Securities Act all of
     the Registrable Securities; (ii) cause the related Prospectus to be amended
     or  supplemented  by  any  required  Prospectus   supplement,   and  as  so
     supplemented  or amended to be filed pursuant to Rule 424; (iii) respond as
     promptly  as  reasonably   possible  to  any  comments  received  from  the
     Commission  with  respect  to a  Registration  Statement  or any  amendment
     thereto and, as promptly as reasonably possible, upon request,  provide the
     Holders  true and  complete  copies of all  correspondence  from and to the
     Commission  relating to a  Registration  Statement;  and (iv) comply in all
     material  respects  with  the  provisions  of the  Securities  Act  and the
     Exchange Act with respect to the disposition of all Registrable  Securities
     covered  by a  Registration  Statement  during  the  applicable  period  in
     accordance with the intended  methods of disposition by the Holders thereof
     set  forth  in  such  Registration  Statement  as so  amended  or  in  such
     Prospectus as so supplemented.

          (c)  Notify  the  Holders  of  Registrable  Securities  to be  sold as
     promptly as  reasonably  possible  and (if  requested  by any such  Person)
     confirm  such notice in writing  promptly  following  the day (i)(A) when a
     Prospectus or any Prospectus  supplement or  post-effective  amendment to a
     Registration Statement has been filed; (B) when the Commission notifies the
     Company  whether there will be a "review" of a  Registration  Statement and
     whenever the Commission comments in writing on such Registration  Statement
     (the Company shall upon request  provide true and complete  copies  thereof
     and all written  responses  thereto to each of the  Holders);  and (C) with
     respect to a Registration Statement or any post-effective  amendment,  when
     the same has become effective; (ii) of any request by the Commission or any
     other  Federal  or  state  governmental  authority  during  the  period  of
     effectiveness of such Registration  Statement for amendments or supplements
     to such Registration Statement or Prospectus or for additional information;
     (iii) of the  issuance  by the  Commission  or any other  federal  or state
     governmental  authority of any stop order suspending the effectiveness of a
     Registration Statement covering any or all of the Registrable Securities or
     the initiation of any Proceedings for that purpose;  (iv) of the receipt by
     the  Company of any  notification  with  respect to the  suspension  of the
     qualification  or exemption from  qualification  of any of the  Registrable
     Securities for sale in any  jurisdiction,  or the initiation or threatening
     of any Proceeding for such purpose;  and (v) of the occurrence of any event
     or  passage  of time  that  makes  any  statement  made  in a  Registration
     Statement  or  Prospectus  or any  document  incorporated  or  deemed to be
     incorporated  therein by reference  untrue in any material  respect or that
     requires any revisions to such Registration Statement,  Prospectus or other
     documents  so that,  in the  case of such  Registration  Statement  or such
     Prospectus, as the case may be, it will not contain any untrue statement of
     a material  fact or omit to state any material  fact  required to be stated
     therein  or  necessary  to make  the  statements  therein,  in light of the
     circumstances under which they were made, not misleading.

          (d) Use  reasonable  best  efforts  to avoid the  issuance  of, or, if
     issued, obtain the withdrawal of (i) any order suspending the effectiveness
     of a Registration  Statement,  or (ii) any suspension of the  qualification
     (or exemption from qualification) of any of the Registrable  Securities for
     sale in any jurisdiction, at the earliest practicable moment.

          (e) Furnish to each Holder,  without  charge,  at least one  conformed
     copy of each Registration  Statement and each amendment thereto,  including
     financial statements and schedules, all documents incorporated or deemed to
     be  incorporated  therein  by  reference  to the extent  requested  by such
     Person,  and all exhibits to the extent requested by such Person (including
     those previously furnished or incorporated by reference) promptly after the
     filing of such documents with the Commission.

          (f) Promptly deliver to each Holder, without charge, as many copies of
     the Prospectus or Prospectuses (including each form of prospectus) and each
     amendment or supplement  thereto as such Persons may reasonably  request in
     connection with resales by the Holder of Registrable Securities. Subject to
     the terms of this Agreement, the Company hereby consents to the use of such
     Prospectus and each amendment or supplement  thereto by each of the selling
     Holders  in  connection  with  the  offering  and  sale of the  Registrable
     Securities  covered by such  Prospectus  and any  amendment  or  supplement
     thereto, except after the giving on any notice pursuant to Section 3(c).

          (g) Prior to any resale of Registrable Securities by a Holder, use its
     commercially  reasonable  efforts to register or qualify or cooperate  with
     the selling  Holders in connection with the  registration or  qualification
     (or exemption from the Registration or  qualification)  of such Registrable
     Securities  for the resale by the Holder under the  securities  or Blue Sky
     laws  of  such  jurisdictions  within  the  United  States  as  any  Holder
     reasonably  requests in writing,  to keep the Registration or qualification
     (or exemption  therefrom)  effective during the Effectiveness Period and to
     do any and all other  acts or things  reasonably  necessary  to enable  the
     disposition in such jurisdictions of the Registrable  Securities covered by
     the  Registration  Statements;  provided,  that the  Company  shall  not be
     required to qualify  generally to do business in any jurisdiction  where it
     is not then so  qualified,  subject the Company to any  material tax in any
     such jurisdiction where it is not then so subject or file a general consent
     to service of process in any such jurisdiction.

          (h) If  requested  by the  Holders,  cooperate  with  the  Holders  to
     facilitate the timely preparation and delivery of certificates representing
     Registrable  Securities  to be delivered  to a  transferee  pursuant to the
     applicable Registration Statement and to enable such Registrable Securities
     to be in such  denominations  and  registered  in such  names  as any  such
     Holders may request.

          (i) Upon the occurrence of any event  contemplated by Section 3(c)(v),
     as promptly as  reasonably  possible,  prepare a supplement  or  amendment,
     including a post-effective  amendment,  to each Registration  Statement, if
     applicable,  or a  supplement  to the related  Prospectus  or any  document
     incorporated  or deemed to be incorporated  therein by reference,  and file
     any other required document so that, as thereafter delivered,  neither such
     Registration Statement nor such Prospectus will contain an untrue statement
     of a material  fact or omit to state a material  fact required to be stated
     therein  or  necessary  to make  the  statements  therein,  in light of the
     circumstances  under which they were made, not  misleading.  If the Company
     notifies the Holders in accordance with clauses (ii) through (v) of Section
     3(c) above to suspend the use of any Prospectus until the requisite changes
     to such  Prospectus  have been made,  then the Holders shall suspend use of
     such  Prospectus.  The Company will use its best efforts to ensure that the
     use of the  Prospectus  may be resumed as promptly as is  practicable.  The
     Company  shall be entitled to exercise its right under this Section 3(i) to
     suspend the  availability of a Registration  Statement and Prospectus for a
     period not to exceed 180 days (which need not be  consecutive  days) in any
     12 month period.

          (j)  Comply  with  all  applicable   rules  and   regulations  of  the
     Commission.

          (k)  If  requested  by  Company  in  connection  with  the  disclosure
     requirements in a Registration  Statement  (including a periodic or current
     report  that  will  be   incorporated  by  reference  into  a  Registration
     Statement),  each  selling  Holder to  furnish to the  Company a  certified
     statement as to the number of shares of Common Stock  beneficially owned by
     such Holder and the person thereof that has voting and dispositive  control
     over such shares.  Notwithstanding  anything  herein to the contrary,  if a
     Holder has not  provided  the  Company  with  information  required  by the
     Commission  to  be  included  in  the  applicable  Registration  Statement,
     notwithstanding  the  Company's  reasonable  best  efforts  to obtain  such
     information from the Holder,  the Company may exclude such Holder from such
     Registration   Statement  and  the  investor  shall   thereafter  have  the
     piggy-back  registration  rights set forth in Section  6(e). If a Holder is
     excluded from the initial filing of a Registration Statement,  upon receipt
     of the required information, the Company shall continue to use commercially
     reasonable efforts to include such Holder's  Registrable  Securities on the
     applicable  Registration  Statement  if the same has not  become  effective
     (provided,  however, that the effectiveness of such Registration  Statement
     shall not be delayed for this purpose) or any other registration  statement
     that is subsequently filed in accordance with and subject to Section 6(e).

4.   Registration Expenses. All fees and expenses incident to the performance of
     or  compliance  with this  Agreement  by the Company  shall be borne by the
     Company  whether or not any  Registrable  Securities are sold pursuant to a
     Registration Statement.  The fees and expenses referred to in the foregoing
     sentence shall include, without limitation, (i) all registration and filing
     fees (including,  without limitation, fees and expenses (A) with respect to
     filings  required  to be made with the  Trading  Market on which the Common
     Stock is then  listed for  trading and (B) in  compliance  with  applicable
     state  securities or Blue Sky laws  reasonably  agreed to by the Company in
     writing (including,  without limitation,  fees and disbursements of counsel
     for the Company in connection with Blue Sky qualifications or exemptions of
     the  Registrable  Securities and  determination  of the  eligibility of the
     Registrable  Securities for investment under the laws of such jurisdictions
     as requested by the Holders) (ii)  printing  expenses  (including,  without
     limitation,  expenses of printing  certificates for Registrable  Securities
     and of printing  prospectuses if the printing of prospectuses is reasonably
     requested  by the  holders  of a  majority  of the  Registrable  Securities
     included  in  the  applicable  Registration  Statement),  (iii)  messenger,
     telephone and delivery expenses, (iv) fees and disbursements of counsel for
     the Company,  (v)  Securities  Act liability  insurance,  if the Company so
     desires such  insurance,  and (vi) fees and  expenses of all other  Persons
     retained  by  the  Company  in  connection  with  the  consummation  of the
     transactions contemplated by this Agreement. In addition, the Company shall
     be responsible for all of its internal expenses incurred in connection with
     the  consummation  of  the  transactions  contemplated  by  this  Agreement
     (including,  without limitation,  all salaries and expenses of its officers
     and employees  performing legal or accounting  duties),  the expense of any
     annual  audit and the fees and  expenses  incurred in  connection  with the
     listing  of the  Registrable  Securities  on  any  securities  exchange  as
     required  hereunder.  In no event shall the Company be responsible  for any
     broker  or  similar  commissions  or any legal  fees or other  costs of the
     Holders.

5.   Indemnification

          (a) Indemnification by the Company. The Company shall, notwithstanding
     any termination of this Agreement, indemnify and hold harmless each Holder,
     the officers,  directors,  agents, each Person who controls any such Holder
     (within  the meaning of Section 15 of the  Securities  Act or Section 20 of
     the Exchange Act) and the officers, directors, agents and employees of each
     such controlling Person, to the fullest extent permitted by applicable law,
     from and against any and all losses, claims,  damages,  liabilities,  costs
     (including,  without limitation,  reasonable  attorneys' fees) and expenses
     (collectively,  "Losses"),  as incurred,  arising out of or relating to any
     untrue or alleged  untrue  statement  of a  material  fact  contained  in a
     Registration Statement,  any Prospectus or any form of prospectus or in any
     amendment  or  supplement  thereto  or in any  preliminary  prospectus,  or
     arising  out of or  relating  to any  omission  or  alleged  omission  of a
     material  fact  required  to be stated  therein  or  necessary  to make the
     statements  therein (in the case of any Prospectus or form of prospectus or
     supplement  thereto,  in light of the  circumstances  under which they were
     made) not misleading,  except to the extent,  but only to the extent,  that
     (i)  such  untrue  statements  or  omissions  are  based  upon  information
     regarding  such Holder  furnished  in writing to the Company by such Holder
     expressly for use therein,  or to the extent that such information  relates
     to  such  Holder  or such  Holder's  proposed  method  of  distribution  of
     Registrable Securities and was reviewed and approved by such Holder for use
     in the applicable Registration  Statement,  such Prospectus or such form of
     Prospectus or in any amendment or supplement  thereto (it being  understood
     that the Holder has approved Annex A hereto for this purpose),  (ii) in the
     case  of an  occurrence  of an  event  of the  type  specified  in  Section
     3(c)(ii)-(v), the use by such Holder of an outdated or defective Prospectus
     after the Company has notified such Holder that the  Prospectus is outdated
     or  defective  and  prior  to the  receipt  by such  Holder  of the  Advice
     contemplated in Section 6(d) or (iii) in the case that the Holder failed to
     deliver  a  prospectus   furnished  by  the  Company  that   corrected  the
     misstatements or omission. The Company shall notify the Holders promptly of
     the institution, threat or assertion of any Proceeding of which the Company
     is  aware  in  connection  with  the  transactions   contemplated  by  this
     Agreement.

          (b) Indemnification by Holders.  Each Holder shall,  severally and not
     jointly, indemnify and hold harmless the Company, its directors,  officers,
     agents and  employees,  each Person who  controls  the Company  (within the
     meaning of Section 15 of the  Securities Act and Section 20 of the Exchange
     Act), and the directors,  officers, agents or employees of such controlling
     Persons,  to the fullest  extent  permitted  by  applicable  law,  from and
     against  all Losses,  as  incurred,  to the extent  arising out of or based
     solely  upon:  (x) such  Holder's  failure  to comply  with the  prospectus
     delivery  requirements  of the  Securities Act or (y) any untrue or alleged
     untrue   statement  of  a  material  fact  contained  in  any  Registration
     Statement, any Prospectus,  or any form of prospectus,  or in any amendment
     or supplement thereto or in any preliminary  prospectus,  or arising out of
     or relating to any omission or alleged omission of a material fact required
     to be stated  therein  or  necessary  to make the  statements  therein  not
     misleading  (i) to the  extent,  but only to the  extent,  that such untrue
     statement  or omission is  contained  in any  information  so  furnished in
     writing by such Holder to the Company  specifically  for  inclusion in such
     Registration  Statement or such  Prospectus  or (ii) to the extent that (1)
     such untrue  statements or omissions are based upon  information  regarding
     such  Holder  furnished  in writing to the  Company by such  Holder for use
     therein,  or to the extent that such information  relates to such Holder or
     such Holder's proposed method of distribution of Registrable Securities and
     was  reviewed  and  approved  by  such  Holder  for  use in the  applicable
     Registration  Statement (it being  understood  that the Holder has approved
     Annex  A  hereto  for  this  purpose),  such  Prospectus  or  such  form of
     Prospectus or in any amendment or supplement  thereto or (2) in the case of
     an  occurrence of an event of the type  specified in Section  3(c)(ii)-(v),
     the use by such  Holder of an outdated or  defective  Prospectus  after the
     Company  has  notified  such  Holder  that the  Prospectus  is  outdated or
     defective   and  prior  to  the  receipt  by  such  Holder  of  the  Advice
     contemplated  in  Section  6(d).  In no event  shall the  liability  of any
     selling Holder hereunder be greater in amount than the dollar amount of the
     net  proceeds  received  by such  Holder  upon the sale of the  Registrable
     Securities giving rise to such indemnification obligation.

          (c) Conduct of Indemnification Proceedings. If any Proceeding shall be
     brought or asserted against any Person entitled to indemnity  hereunder (an
     "Indemnified  Party"),  such  Indemnified  Party shall promptly  notify the
     Person from whom indemnity is sought (the "Indemnifying Party") in writing,
     and the  Indemnifying  Party  shall  have the right to assume  the  defense
     thereof, including the employment of counsel reasonably satisfactory to the
     Indemnified  Party and the  payment of all fees and  expenses  incurred  in
     connection  with  defense  thereof;  provided,  that  the  failure  of  any
     Indemnified  Party to give such notice  shall not relieve the  Indemnifying
     Party of its obligations or liabilities pursuant to this Agreement,  except
     (and only) to the extent that it shall be finally  determined by a court of
     competent  jurisdiction  (which  determination  is not subject to appeal or
     further  review) that such failure shall have  prejudiced the  Indemnifying
     Party.

          An Indemnified  Party shall have the right to employ separate  counsel
     in any such Proceeding and to participate in the defense  thereof,  but the
     fees  and  expenses  of  such  counsel  shall  be at the  expense  of  such
     Indemnified Party or Parties unless:  (1) the Indemnifying Party has agreed
     in writing to pay such fees and expenses;  (2) the Indemnifying Party shall
     have failed promptly to assume the defense of such Proceeding and to employ
     counsel  reasonably  satisfactory  to such  Indemnified  Party  in any such
     Proceeding;  or (3) the named parties to any such Proceeding (including any
     impleaded parties) include both such Indemnified Party and the Indemnifying
     Party, and such Indemnified Party shall reasonably  believe that a material
     conflict  of  interest  is  likely  to exist if the  same  counsel  were to
     represent such Indemnified Party and the Indemnifying Party (in which case,
     if such Indemnified  Party notifies the Indemnifying  Party in writing that
     it elects to employ  separate  counsel at the  expense of the  Indemnifying
     Party,  the  Indemnifying  Party  shall not have the  right to  assume  the
     defense  thereof  and the  reasonable  fees and  expenses  of one  separate
     counsel  shall  be  at  the  expense  of  the  Indemnifying   Party).   The
     Indemnifying  Party  shall not be  liable  for any  settlement  of any such
     Proceeding  effected  without its written  consent.  No Indemnifying  Party
     shall,  without the prior written consent of the Indemnified Party,  effect
     any  settlement  of  any  pending   Proceeding  in  respect  of  which  any
     Indemnified  Party  is  a  party,   unless  such  settlement   includes  an
     unconditional  release  of such  Indemnified  Party from all  liability  on
     claims that are the subject matter of such Proceeding.

          Subject  to the  terms  of this  Agreement,  all  reasonable  fees and
     expenses of the Indemnified  Party (including  reasonable fees and expenses
     to the extent  incurred in connection  with  investigating  or preparing to
     defend such  Proceeding  in a manner not  inconsistent  with this  Section)
     shall be paid to the  Indemnified  Party,  as incurred,  within ten Trading
     Days of written notice thereof to the Indemnifying  Party;  provided,  that
     the Indemnified Party shall promptly  reimburse the Indemnifying  Party for
     that portion of such fees and expenses applicable to such actions for which
     such  Indemnified  Party  is not  entitled  to  indemnification  hereunder,
     determined based upon the relative faults of the parties.

          (d) Contribution. If a claim for indemnification under Section 5(a) or
     5(b) is unavailable to an Indemnified  Party (by reason of public policy or
     otherwise),  then each  Indemnifying  Party, in lieu of  indemnifying  such
     Indemnified  Party,  shall contribute to the amount paid or payable by such
     Indemnified  Party as a result of such  Losses,  in such  proportion  as is
     appropriate  to reflect the relative  fault of the  Indemnifying  Party and
     Indemnified  Party in connection with the actions,  statements or omissions
     that  resulted  in such  Losses  as well as any  other  relevant  equitable
     considerations.   The  relative  fault  of  such  Indemnifying   Party  and
     Indemnified  Party shall be determined by reference to, among other things,
     whether  any action in  question,  including  any untrue or alleged  untrue
     statement of a material fact or omission or alleged  omission of a material
     fact,  has been taken or made by, or relates to  information  supplied  by,
     such  Indemnifying  Party or Indemnified  Party, and the parties'  relative
     intent,  knowledge,  access to  information  and  opportunity to correct or
     prevent such action, statement or omission. The amount paid or payable by a
     party as a result of any Losses shall be deemed to include,  subject to the
     limitations set forth in this Agreement, any reasonable attorneys' or other
     reasonable  fees or expenses  incurred by such party in connection with any
     Proceeding  to the extent such party would have been  indemnified  for such
     fees or expenses if the  indemnification  provided  for in this Section was
     available to such party in accordance with its terms.

          The parties  hereto  agree that it would not be just and  equitable if
     contribution  pursuant to this  Section  5(d) were  determined  by pro rata
     allocation  or by any other  method of  allocation  that does not take into
     account  the  equitable  considerations  referred  to  in  the  immediately
     preceding  paragraph.  Notwithstanding the provisions of this Section 5(d),
     no Holder shall be required to contribute,  in the aggregate, any amount in
     excess of the amount by which the proceeds actually received by such Holder
     from the  sale of the  Registrable  Securities  subject  to the  Proceeding
     exceeds  the amount of any  damages  that such  Holder has  otherwise  been
     required to pay by reason of such  untrue or alleged  untrue  statement  or
     omission or alleged omission, except in the case of fraud by such Holder.

          The indemnity and  contribution  agreements  contained in this Section
     are in addition to any liability that the Indemnifying  Parties may have to
     the Indemnified Parties.

6.   Miscellaneous

          (a) Remedies.  In the event of a breach by the Company or by a Holder,
     of any of their  obligations  under  this  Agreement,  each  Holder  or the
     Company,  as the case may be, in addition to being entitled to exercise all
     rights  granted  by law and under this  Agreement,  including  recovery  of
     damages,  will be entitled to specific performance of its rights under this
     Agreement.  The Company and each Holder agree that  monetary  damages would
     not provide  adequate  compensation  for any losses incurred by reason of a
     breach by it of any of the  provisions of this Agreement and hereby further
     agrees that, in the event of any action for specific performance in respect
     of such  breach,  it shall waive the defense  that a remedy at law would be
     adequate.

          (b) No  Piggyback  on  Registrations.  Except as set forth on Schedule
     6(b) attached  hereto,  neither the Company nor any of its security holders
     (other  than the  Holders in such  capacity  pursuant  hereto)  may include
     securities of the Company in a Registration  Statement required to be filed
     hereunder for the sales of Registrable Securities by Holders other than the
     Registrable  Securities.  No Person  has any right to cause the  Company to
     effect the  registration  under the Securities Act of any securities of the
     Company.

          (c) Compliance.  Each Holder  covenants and agrees that it will comply
     with  the  prospectus  delivery  requirements  of  the  Securities  Act  as
     applicable  to  it in  connection  with  sales  of  Registrable  Securities
     pursuant to each Registration Statement.

          (d) Discontinued Disposition. Each Holder agrees by its acquisition of
     such Registrable Securities that, upon receipt of a notice from the Company
     of the occurrence of any event of the kind described in Section 3(c),  such
     Holder  will  forthwith   discontinue   disposition  of  such   Registrable
     Securities under the applicable  Registration Statement until such Holder's
     receipt  of  the  copies  of the  supplemented  Prospectus  and/or  amended
     Registration  Statement or until it is advised in writing (the "Advice") by
     the Company that the use of the applicable  Prospectus may be resumed, and,
     in either  case,  has received  copies of any  additional  or  supplemental
     filings that are  incorporated or deemed to be incorporated by reference in
     such  Prospectus  or  Registration  Statement.  The  Company  will  use its
     reasonable  best  efforts to ensure that the use of the  Prospectus  may be
     resumed as promptly as it practicable.

          (e) Piggy-Back Registrations.  If at any time during the Effectiveness
     Period there is not an effective Registration Statement covering all of the
     Registrable  Securities and the Company shall determine to prepare and file
     with the  Commission a registration  statement  relating to an offering for
     its own account or the account of others under the Securities Act of any of
     its  equity  securities,  other  than on  Form  S-4 or Form  S-8  (each  as
     promulgated under the Securities Act) or their then equivalents relating to
     equity securities to be issued solely in connection with any acquisition of
     any entity or business or equity securities issuable in connection with the
     stock option or other employee  benefit plans,  then the Company shall send
     to each  Holder a  written  notice  of such  determination  and,  if within
     fifteen  days  after  the date of such  notice,  any such  Holder  shall so
     request  in  writing,  the  Company  shall  include  in  such  registration
     statement  all or any  part  of such  Registrable  Securities  such  Holder
     requests  to be  registered,  subject  to  customary  underwriter  cutbacks
     applicable to all holders of registration rights.

          (f)  Amendments  and  Waivers.   The  provisions  of  this  Agreement,
     including the provisions of this sentence, may not be amended,  modified or
     supplemented,  and waivers or consents to  departures  from the  provisions
     hereof may not be given,  unless the same shall be in writing and signed by
     the Company and each Holder of the then outstanding Registrable Securities.
     Notwithstanding  the  foregoing,  a waiver or  consent  to depart  from the
     provisions hereof with respect to a matter that relates  exclusively to the
     rights of  Holders  and that does not  directly  or  indirectly  affect the
     rights of other  Holders may be given by Holders of all of the  Registrable
     Securities to which such waiver or consent relates; provided, however, that
     the  provisions  of  this  sentence  may  not  be  amended,   modified,  or
     supplemented  except in accordance  with the provisions of the  immediately
     preceding sentence.

          (g) Notices. Any and all notices or other communications or deliveries
     required or  permitted to be provided  hereunder  shall be delivered as set
     forth in the Investment Agreement.

          (h) Successors and Assigns.  This Agreement shall inure to the benefit
     of and be binding upon the successors and permitted  assigns of each of the
     parties and shall inure to the benefit of each Holder.  The Company may not
     assign  its  rights or  obligations  hereunder  without  the prior  written
     consent  of  all  of  the  Holders  of  the  then-outstanding   Registrable
     Securities. Each Holder may assign their respective rights hereunder in the
     manner and to the Persons as permitted under the Investment Agreement.

          (i) Execution and Counterparts.  This Agreement may be executed in any
     number of  counterparts,  each of which when so executed shall be deemed to
     be an original and, all of which taken  together  shall  constitute one and
     the same  Agreement.  In the  event  that any  signature  is  delivered  by
     facsimile  transmission,  such  signature  shall  create  a  valid  binding
     obligation  of the party  executing  (or on whose behalf such  signature is
     executed)  the same  with the same  force and  effect as if such  facsimile
     signature were the original thereof.

          (j)  Governing  Law.  All  questions   concerning  the   construction,
     validity,  enforcement  and  interpretation  of  this  Agreement  shall  be
     determined with the provisions of the Investment Agreement.

          (k) Cumulative  Remedies.  The remedies provided herein are cumulative
     and not exclusive of any remedies provided by law.

          (l) Severability.  If any term, provision,  covenant or restriction of
     this Agreement is held by a court of competent  jurisdiction to be invalid,
     illegal,  void or  unenforceable,  the remainder of the terms,  provisions,
     covenants and  restrictions set forth herein shall remain in full force and
     effect and shall in no way be affected,  impaired or  invalidated,  and the
     parties hereto shall use their commercially  reasonable efforts to find and
     employ an alternative  means to achieve the same or substantially  the same
     result  as  that  contemplated  by  such  term,   provision,   covenant  or
     restriction.  It is hereby  stipulated  and declared to be the intention of
     the parties that they would have executed the remaining terms,  provisions,
     covenants  and  restrictions  without  including  any of such  that  may be
     hereafter declared invalid, illegal, void or unenforceable.

          (m) Headings.  The headings in this  Agreement are for  convenience of
     reference only and shall not limit or otherwise affect the meaning hereof.

          (n)  Independent  Nature  of  Holders'  Obligations  and  Rights.  The
     obligations  of each  Holder  hereunder  are several and not joint with the
     obligations  of  any  other  Holder  hereunder,  and  no  Holder  shall  be
     responsible in any way for the  performance of the obligations of any other
     Holder  hereunder.  Nothing  contained  herein or in any other agreement or
     document  delivered  at any  closing,  and no  action  taken by any  Holder
     pursuant hereto or thereto,  shall be deemed to constitute the Holders as a
     partnership,  an association,  a joint venture or any other kind of entity,
     or create a  presumption  that the Holders are in any way acting in concert
     with respect to such obligations or the  transactions  contemplated by this
     Agreement. Each Holder shall be entitled to protect and enforce its rights,
     including without limitation the rights arising out of this Agreement,  and
     it  shall  not be  necessary  for  any  other  Holder  to be  joined  as an
     additional party in any proceeding for such purpose.

                            *************************

<PAGE>

                  IN WITNESS WHEREOF, the parties have executed this
Registration Rights Agreement as of the date first written above.

BEACON POWER CORPORATION

By:/s/James M. Spiezio
   ----------------------
     Name:James M. Spiezio
     Title:Chief Financial Officer

                       [SIGNATURE PAGE OF HOLDERS FOLLOWS]

<PAGE>

                      [HOLDER'S SIGNATURE PAGE TO BCON RRA]

Name of Holder: Perseus Capital, L.L.C.
Signature of Authorized Signatory of Holder: /s/ Kenneth M. Socha
Name of Authorized Signatory: Kenneth M. Socha
Title of Authorized Signatory: Senior Managing Director

Name of Holder: Perseus 2000 Expansion, L.L.C.
Signature of Authorized Signatory of Holder: /s/ Kenneth M. Socha
Name of Authorized Signatory: Kenneth M. Socha
Title of Authorized Signatory: Senior Managing Director

<PAGE>

                                     ANNEX A

                              Plan of Distribution

     The Selling  Stockholders (the "Selling  Stockholders") of the common stock
("Common  Stock")  of Beacon  Power  Corporation,  a Delaware  corporation  (the
"Company") and any of their pledgees,  assignees and successors-in-interest may,
from time to time,  sell any or all of their shares of Common Stock on any stock
exchange,  market or  trading  facility  on which the  shares  are  traded or in
private  transactions.  These sales may be at fixed or  negotiated  prices.  The
Selling  Stockholders  may use any one or  more of the  following  methods  when
selling shares:

o    ordinary brokerage transactions and transactions in which the broker-dealer
     solicits purchasers;

o    block trades in which the broker-dealer  will attempt to sell the shares as
     agent but may  position  and resell a portion of the block as  principal to
     facilitate the transaction;

o    purchases by a broker-dealer  as principal and resale by the  broker-dealer
     for its account;

o    an exchange  distribution  in accordance  with the rules of the  applicable
     exchange;

o    privately negotiated transactions;

o    settlement of short sales entered into after the date of this prospectus;

o    broker-dealers may agree with the Selling  Stockholders to sell a specified
     number of such shares at a stipulated price per share;

o    a combination of any such methods of sale;

o    through the writing or settlement of options or other hedging transactions,
     whether through an options exchange or otherwise; or

o    any other method permitted pursuant to applicable law.

     The  Selling  Stockholders  may also sell  shares  under Rule 144 under the
Securities Act of 1933, as amended (the "Securities Act"), if available,  rather
than under this prospectus.

     Broker-dealers  engaged by the Selling  Stockholders  may arrange for other
brokers-dealers to participate in sales.  Broker-dealers may receive commissions
or discounts from the Selling  Stockholders  (or, if any  broker-dealer  acts as
agent  for the  purchaser  of  shares,  from the  purchaser)  in  amounts  to be
negotiated.  Each  Selling  Stockholder  does not expect these  commissions  and
discounts  relating  to its sales of shares to exceed what is  customary  in the
types of transactions involved.

     In connection with the sale of the Common Stock or interests  therein,  the
Selling  Stockholders may enter into hedging transactions with broker-dealers or
other  financial  institutions,  which may in turn  engage in short sales of the
Common Stock in the course of hedging the  positions  they  assume.  The Selling
Stockholders  may also sell shares of the Common  Stock short and deliver  these
securities  to close out their  short  positions,  or loan or pledge  the Common
Stock to  broker-dealers  that in turn may sell these  securities.  The  Selling
Stockholders   may  also  enter   into   option  or  other   transactions   with
broker-dealers  or other  financial  institutions or the creation of one or more
derivative  securities which require the delivery to such broker-dealer or other
financial  institution of shares offered by this  prospectus,  which shares such
broker-dealer  or  other  financial  institution  may  resell  pursuant  to this
prospectus (as supplemented or amended to reflect such transaction).

     The Selling Stockholders and any broker-dealers or agents that are involved
in selling the shares may be deemed to be  "underwriters"  within the meaning of
the Securities Act in connection with such sales. In such event, any commissions
received  by such  broker-dealers  or agents and any profit on the resale of the
shares  purchased  by them  may be  deemed  to be  underwriting  commissions  or
discounts  under the Securities  Act. Each Selling  Stockholder has informed the
Company  that it does not have  any  agreement  or  understanding,  directly  or
indirectly, with any person to distribute the Common Stock.

     The Company is required to pay certain  fees and  expenses  incurred by the
Company  incident to the  registration of the shares.  The Company has agreed to
indemnify the Selling Stockholders against certain losses,  claims,  damages and
liabilities, including liabilities under the Securities Act.

     Because Selling Stockholders may be deemed to be "underwriters"  within the
meaning of the Securities  Act, they will be subject to the prospectus  delivery
requirements of the Securities Act. In addition,  any securities covered by this
prospectus  which qualify for sale pursuant to Rule 144 under the Securities Act
may be sold under Rule 144 rather  than  under  this  prospectus.  Each  Selling
Stockholder  has  advised  us that they have not  entered  into any  agreements,
understandings or arrangements  with any underwriter or broker-dealer  regarding
the sale of the resale shares.  There is no underwriter or  coordinating  broker
acting in connection  with the proposed sale of the resale shares by the Selling
Stockholders.

     We agreed to keep this  prospectus  effective  until the earlier of (i) the
date on which  the  shares  may be resold by the  Selling  Stockholders  without
registration  and  without  regard to any volume  limitations  by reason of Rule
144(e) under the  Securities Act or any other rule of similar effect or (ii) all
of the shares have been sold  pursuant to the  prospectus  or Rule 144 under the
Securities  Act or any other rule of similar  effect.  The resale shares will be
sold only through  registered or licensed  brokers or dealers if required  under
applicable  state securities  laws. In addition,  in certain states,  the resale
shares may not be sold unless they have been registered or qualified for sale in
the applicable  state or an exemption  from the  registration  or  qualification
requirement is available and is complied with.

     Under applicable  rules and regulations  under the Exchange Act, any person
engaged in the distribution of the resale shares may not  simultaneously  engage
in market making activities with respect to the Common Stock for a period of two
business days prior to the commencement of the  distribution.  In addition,  the
Selling  Stockholders  will be subject to applicable  provisions of the Exchange
Act and the rules and regulations thereunder,  including Regulation M, which may
limit the timing of  purchases  and sales of shares of the  Common  Stock by the
Selling Stockholders or any other person. We will make copies of this prospectus
available  to the Selling  Stockholders  and have  informed  them of the need to
deliver a copy of this  prospectus to each  purchaser at or prior to the time of
the sale.

<PAGE>

                                                                   Annex B

                            Beacon Power Corporation

                 Selling Securityholder Notice and Questionnaire

     The undersigned beneficial owner of common stock, par value $0.01 per share
(the "Common Stock"), of Beacon Power Corporation,  a Delaware  corporation (the
"Company"),  (the  "Registrable  Securities")  understands  that the Company has
filed or  intends  to file with the  Securities  and  Exchange  Commission  (the
"Commission")   a  registration   statement  on  Form  S-3  (the   "Registration
Statement") for the registration and resale under Rule 415 of the Securities Act
of 1933, as amended (the "Securities  Act"), of the Registrable  Securities,  in
accordance  with the terms of the  Registration  Rights  Agreement,  dated as of
April __, 2005 (the "Registration Rights Agreement"),  among the Company and the
Purchaser  named  therein.  A  copy  of the  Registration  Rights  Agreement  is
available  from the Company  upon  request at the address set forth  below.  All
capitalized  terms not otherwise defined herein shall have the meanings ascribed
thereto in the Registration Rights Agreement.

     Certain   legal   consequences   arise  from  being   named  as  a  selling
securityholder  in  the  Registration  Statement  and  the  related  prospectus.
Accordingly, holders and beneficial owners of Registrable Securities are advised
to consult their own securities law counsel  regarding the consequences of being
named  or not  being  named  as a  selling  securityholder  in the  Registration
Statement and the related prospectus.

                                     NOTICE

     The  undersigned   beneficial  owner  (the  "Selling   Securityholder")  of
Registrable Securities hereby elects to include the Registrable Securities owned
by it and listed below in Item 3 (unless otherwise  specified under such Item 3)
in the Registration Statement.

<PAGE>

     The undersigned  hereby  provides the following  information to the Company
and represents and warrants that such information is accurate:

                                  QUESTIONNAIRE

1.       Name.

         (a)      Full Legal Name of Selling Securityholder

                  ----------------------------------------------------------

         (b)      Full Legal Name of Registered Holder (if not the same as (a)
                  above) through which Registrable Securities Listed in Item 3
                  below are held:

                  ----------------------------------------------------------

         (c)      Full Legal Name of Natural Control Person (which means a
                  natural person who directly you indirectly alone or with
                  others has power to vote or dispose of the securities covered
                  by the questionnaire):

                  ----------------------------------------------------------

2.  Address for Notices to Selling Securityholder:

                  ----------------------------------------------------------
                  ----------------------------------------------------------
                  ----------------------------------------------------------

Telephone:
          --------------------------
Fax:
          --------------------------
Contact Person:
          --------------------------

3.   Beneficial Ownership of Registrable Securities:

     (a) Type and Number of Registrable Securities beneficially owned:

                  ----------------------------------------------------------
                  ----------------------------------------------------------
                  ----------------------------------------------------------

<PAGE>

4.  Broker-Dealer Status:

         (a) Are you a broker-dealer?

                                            Yes      No

Note:If yes, the Commission's  staff has indicated that you should be identified
     as an underwriter in the Registration Statement.

         (b) Are you an affiliate of a broker-dealer?

                                            Yes      No

         (c)      If you are an affiliate of a broker-dealer, do you certify
                  that you bought the Registrable Securities in the ordinary
                  course of business, and at the time of the purchase of the
                  Registrable Securities to be resold, you had no agreements or
                  understandings, directly or indirectly, with any person to
                  distribute the Registrable Securities?

                                            Yes      No

Note:If no, the  Commission's  staff has indicated that you should be identified
     as an underwriter in the Registration Statement.

5. Beneficial Ownership of Other Securities of the Company Owned by the Selling
Securityholder.

         Except as set forth below in this Item 5, the undersigned is not the
         beneficial or registered owner of any securities of the Company other
         than the Registrable Securities listed above in Item 3.

         (a) Type and Amount of Other Securities beneficially owned by the
Selling Securityholder:

                  ----------------------------------------------------------
                  ----------------------------------------------------------
                  ----------------------------------------------------------

<PAGE>

6.  Relationships with the Company:

         Except as set forth below, neither the undersigned nor any of its
         affiliates, officers, directors or principal equity holders (owners of
         5% of more of the equity securities of the undersigned) has held any
         position or office or has had any other material relationship with the
         Company (or its predecessors or affiliates) during the past three
         years.

         State any exceptions here:

                  ----------------------------------------------------------
                  ----------------------------------------------------------
                  ----------------------------------------------------------

         The undersigned agrees to promptly notify the Company of any
inaccuracies or changes in the information provided herein that may occur
subsequent to the date hereof at any time while the Registration Statement
remains effective.

         By signing below, the undersigned consents to the disclosure of the
information contained herein in its answers to Items 1 through 6 and the
inclusion of such information in the Registration Statement and the related
prospectus. The undersigned understands that such information will be relied
upon by the Company in connection with the preparation or amendment of the
Registration Statement and the related prospectus.

         IN WITNESS WHEREOF the undersigned, by authority duly given, has caused
this Notice and Questionnaire to be executed and delivered either in person or
by its duly authorized agent.

Dated:                          Beneficial Owner:
      ------------------                         -----------------------------

                                By:
                                   -------------------------------------------
                                Name:
                                Title:

PLEASE FAX A COPY OF THE COMPLETED AND EXECUTED NOTICE AND QUESTIONNAIRE, AND
RETURN THE ORIGINAL BY OVERNIGHT MAIL, TO:EXHIBIT
10.1

 

AMENDED AND RESTATED LONG-TERM STOCK INCENTIVE PLAN

 

1. 
PURPOSE.  The Purposes of the Plan
are to provide additional incentive to those directors, officers and other
employees of the Company and its Subsidiaries whose substantial contributions
are essential to the continued growth and success of the Company’s business in
order to strengthen their commitment to the Company and its Subsidiaries, to
motivate such officers and employees to faithfully and diligently perform their
assigned responsibilities and to attract and retain competent and dedicated
individuals whose efforts will result in the long-term growth and profitability
of the Company. The purpose of the Plan is also to secure for the Company and
its stockholders the benefits of the incentive inherent in increased common
stock ownership by the members of the Board who are not employees of the
Company or any of its subsidiaries. To accomplish such purposes, the Plan
provides that the Company may grant Incentive Stock Options, Nonqualified Stock
Options, Restricted Stock Awards, Performance Units or Stock Appreciation
Rights.

 

 2.  DEFINITIONS. 
For purposes of this Plan:

 

 (a) “Award”
means a grant of Restricted Stock, Performance Units or Stock Appreciation
Rights, or any or all of them.

 

 (b) “Award
Agreement” means the written agreement between the Company and a Grantee
evidencing the grant of an Award and setting forth the terms and conditions
thereof.

 

 (c) “Board”
means the Board of Directors of the Company.

 

 (d) “Cause”
means the willful failure by an Optionee or Grantee to perform his duties with
the Company or with the Subsidiary or the willful engaging in conduct, which is
injurious to the Company or any Subsidiary, monetarily or otherwise.

 

 (e) “Change
in Capitalization” means any increase, reduction, change or exchange of Shares
for a different number or kind of shares or other securities of the Company by
reason of a reclassification, re-capitalization, merger, consolidation,
reorganization, issuance of warrants or rights, stock dividend, stock split or
reverse stock split, combination or exchange of shares, repurchase of shares,
change in corporate structure or otherwise.

 

 (f) “Code”
means the Internal Revenue Code of 1986, as amended.

 

 (g)
“Committee” means a committee, consisting of at least two directors of the
Company, which is appointed by the Board to administer the Plan and to perform
the functions set forth herein; provided, however, that if the Committee
consists of less than the entire Board, each member shall be a “non-employee
director” within the meaning of Exchange Act Rule 16b-3; provided, further,
however, that to the extent necessary for any Option or Award intended to
qualify as performance–based compensation under Section 162(m) of the Code
to so qualify, each member of the Committee shall be an “outside director”
within the meaning of Section 162(m) of the Code and the regulations
promulgated thereunder.  Notwithstanding
the preceding sentence, the Board may, in its discretion, establish another
committee and delegate to this committee any or all of the authority and
responsibility of the Committee with respect to grants of Options or Awards to
Eligible Participants who are not executive officers of the Company on the date
such Options or Awards are granted.  Such
other committee may consist of one or more directors.  To the extent that the Board has delegated
the authority and responsibility of the Committee to such other committee, all
references to the Committee in the Plan shall be to such other committee.

 

 (h) “Company”
means Axsys Technologies, Inc., a Delaware corporation.

 

1

 

 (i) “Disability”
means the condition which results when an individual has become permanently and
totally disabled within the meaning of Section 22(e)(3) of the Code.

 

 (j) “Eligible
Participant” means any director, officer or employee of the Company or a
Subsidiary designated by the Committee as eligible to receive Options or Awards
subject to the conditions set forth herein.

 

 (k) “Exchange
Act” means the Securities Exchange Act of 1934, as amended.

 

 (l) “Fair
Market Value” means the fair market value of the Shares as determined by the
Committee in its sole discretion; provided, however, that (A) if the Shares are
listed on a national securities exchange, including without limitation the
Nasdaq National Market or The Nasdaq SmallCap Market of the Nasdaq Stock Market
(“Nasdaq”), Fair Market Value on any date shall be the closing sales price for
the Shares (or the closing bid, if no sales were reported) on such date as such
price is officially reported on Nasdaq or as such price is quoted in the
composite tape of transactions on such exchange; or (B) if the Shares are
admitted to quotation on Nasdaq but selling prices are not reported, Fair
Market Value on any date shall be the average of the high bid and low asked
prices on the date of determination, or on the last day on which there are
quoted prices prior to the date of determination.

 

 (m) “Grantee”
means a person to whom an Award has been granted under the Plan.

 

 (n) “Incentive
Stock Option” means an Option that is intended to satisfy the requirements of
Section 422 of the Code and is designated an Incentive Stock Option at the time
of grant.

 

 (o) “Non-Employee
Director” means any director of the Company who is not an employee of the
Company or any of its Subsidiaries.

 

 (p) “Nonqualified
Stock Option” means an Option, which is designated at the time of grant as not
constituting an Incentive Stock Option.

 

 (q) “Option”
means an Incentive Stock Option, a Nonqualified Stock Option, or either or both
of them.

 

 (r) “Option
Agreement” means the written agreement between the Company and an Optionee
evidencing the grant of an Option and setting forth the terms and conditions
thereof.

 

 (s) “Optionee”
means a person to whom an Option has been granted under the Plan.

 

 (t) “Parent”
means any corporation that, with respect to the Company, is described in
section 424(e) of the Code.

 

 (u) “Performance
Unit” means a performance unit granted under Section 9 of the Plan

 

 (v) “Plan”
means the Amended and Restated Long-Term Stock Incentive Plan as set forth in
this instrument and as it may be further amended from time to time.

 

 (w) “Restricted
Stock” means Shares issued or transferred to an Eligible Participant, which are
subject to restrictions as provided in Section 8 hereof.

 

 (x) “Shares”
means the common stock, par value $.01 per share, of the Company (including any
new, additional or different stock or securities resulting from a Change in Capitalization).

 

 (y) “Stock
Appreciation Right” means a right to receive all or some portion of the
increase in the value of shares of Common Stock as provided in Section 7
hereof.

 

 (z) “Subsidiary”
means any corporation that, with respect to the Company, is described in
Section 424(f) of the Code.

 

2

 

 (aa) “Successor
Corporation” means a corporation, or a Parent or Subsidiary thereof, which
issues or assumes a stock option in a transaction to which Section 424(a) of
the Code applies.

 

 3.  ADMINISTRATION.

 

 (a) The
Plan shall be administered by the Committee, which shall hold meetings at such
times as may be necessary for the proper administration of the Plan. The
Committee shall keep minutes of its meetings. A majority of the Committee shall
constitute a quorum and a majority of a quorum may authorize any action. No
member of the Committee shall be personally liable for any action,
determination or interpretation made in good faith with respect to the Plan, the
Options or the Awards, and all members of the Committee shall be fully
indemnified and held harmless by the Company with respect to any such action,
determination or interpretation.

 

 (b)
Subject to the express terms and conditions set forth herein, the Committee
shall have the power from time to time:

 

 (1) to
determine those Eligible Participants to whom Options shall be granted under
the Plan and the number of Shares subject to Incentive Stock Options and/or
Nonqualified Options to be granted to each Eligible Participant and to
prescribe the terms and conditions (which need not be identical) of each
Option, including the purchase price per share of each Option;

 

 (2) to
select those Eligible Participants to whom Awards shall be granted under the
Plan and to determine the number of Performance Units, shares of Restricted
Stock and/or Stock Appreciation Rights to be granted pursuant to each Award,
the terms and conditions of each Award, including the restrictions or
performance criteria relating to such units, shares or rights, the purchase
price per share, if any, of Restricted Stock, the maximum value, if any, of the
amount payable pursuant to each Performance Unit and whether Stock Appreciation
Rights will be granted alone or in conjunction with an Option;

 

 (3) to
construe and interpret the Plan and the Options and Awards granted thereunder
and to establish, amend and revoke rules and regulations for the administration
of the Plan, including, but not limited to, correcting any defect or supplying
any omission, or reconciling any inconsistency in the Plan or in any Agreement,
in the manner and to the extent it shall deem necessary or advisable to make
the Plan fully effective, and all decisions and determinations by the Committee
in the exercise of this power shall be final and binding upon the Company or a
Subsidiary, the Optionees and the Grantees, as the case may be;

 

 (4) to
determine the duration and purposes for leaves of absence which may be granted
to an Optionee or Grantee without constituting a termination of employment or
service for purposes of the Plan; and

 

 (5)
generally, to exercise such powers and to perform such acts as are deemed
necessary or advisable to promote the best interest of the Company with respect
to the Plan.

 

 4.  STOCK SUBJECT TO PLAN.

 

 (a) The
maximum number of Shares that may be issued or transferred pursuant to Options
and Awards under this Plan is 1,550,000 (or the number and kind of shares of
stock or other securities which are substituted for those Shares or to which those
Shares are adjusted upon a Change in Capitalization) and the Company shall
reserve for the purposes of the Plan, out of its authorized but unissued Shares
or out of Shares held in the Company’s treasury, or partly out of each, such
number of Shares as shall be determined by the Board.  The aggregated number of shares actually
issued or transferred by the Company upon the exercise of Incentive Stock
Options will not exceed 1,550,000.

 

 (b)
Whenever any outstanding Option or portion thereof expires, is cancelled or is
otherwise terminated (other than by exercise of the Option or any related Stock
Appreciation Right), the shares of Common Stock allocable to the unexercised
portion of such Option may again be the subject of Options and Awards
hereunder.

 

3

 

 (c)
Whenever any Shares subject to an Award or Option are resold to the Company, or
are forfeited for any reason pursuant to the terms of the Plan, or any Shares
are delivered to pay the exercise price of an Option or to satisfy the
withholding obligation with respect to an Option or Award, any such Shares may
again be the subject of Options and Awards hereunder.  Upon payment in cash of the benefit provided
by any award granted under the Plan, any shares that were covered by that
Option Award will again be available for issue or transfer hereunder.

 

 (d) An
eligible participant may not be granted Options and Awards in the aggregate in
respect of more than 90,000 Shares per calendar year.

 

 5.  ELIGIBILITY.  Subject to the provisions of the Plan, the
Committee shall have full and final authority to select those Eligible
Participants who will receive Options and/or Awards; provided, however, that no
Eligible Participant shall receive any Incentive Stock Option unless he is an
employee of the Company or a Subsidiary at the time the Incentive Stock Option
is granted.

 

 6.  STOCK OPTIONS.  The Committee may grant Options in accordance
with the Plan, the terms and conditions of which shall be set forth in an
Option Agreement.  Each Option and Option
Agreement shall be subject to the following conditions:

 

 (a)
PURCHASE PRICE. The purchase price, which shall not be less than the fair
market value on the date of grant of the Option, or the manner in which the
purchase price is to be determined for Shares under each Option shall be set
forth in the Option Agreement.

 

 (b)
DURATION. Options granted hereunder shall be for such term as the Committee
shall determine.  The Committee may,
subsequent to the granting of any Option, extend the term thereof.  Notwithstanding the foregoing, no option will
be exercisable more than 10 years from the date of the Option.

 

 (c)
NON-TRANSFERABILITY. No Option granted hereunder shall be transferable by the
Optionee to whom granted otherwise than by will or the laws of descent and
distribution, and an Option may be exercised during the life time of such
Optionee only by the Optionee or his guardian or legal representative.  The terms of such Option shall be binding
upon the beneficiaries, executors, administrators, heirs and successors of the
Optionee.

 

 (d)
VESTING. Subject to Section 12(b) hereof, each Option shall be exercisable in
such installments (which need not be equal) and at such times as may be
designated by the Committee and set forth in the Option Agreement.    Any grant of Options may specify
performance objectives that must be achieved as a condition to the exercise of
such Option.  To the extent not exercised,
installments shall accumulate and be exercisable, in whole or in part, at any
time after becoming exercisable, but not later than the date the Option
expires.  The Committee may accelerate
the exercisability of any Option or portion thereof at any time.

 

 (e)
METHOD OF EXERCISE. The exercise of an Option shall be made only by a written
notice delivered in person or by mail to the Secretary of the Company at the
Company’s principal executive office, specifying the number of Shares to be
purchased and accompanied by payment therefor and otherwise in accordance with
the Option Agreement pursuant to which the Option was granted.  The purchase price for any Shares purchased
pursuant to the exercise of an Option shall be paid in full upon such exercise
in cash, by check, or at the discretion of the Committee and upon such terms and
conditions as the Committee shall approve, by transferring Shares to the
Company. Any Shares transferred to the Company as payment of the purchase price
under an Option shall be valued at their Fair Market Value on the day preceding
the date of exercise of such Option. If requested by the Committee, the
Optionee shall deliver the Option Agreement evidencing the Option and the
Option Agreement evidencing any related Stock Appreciation Right to the
Secretary of the Company who shall endorse thereon a notation of such exercise
and return such agreement(s), to the Optionee. No less than 100 Shares may be
purchased at any time upon the exercise of an Option unless the number of
Shares so purchased constitutes the total number of Shares then purchasable
under the Option.

 

 (f)
RIGHTS OF OPTIONEES. No Optionee shall be deemed for any purpose to be the
owner of any Shares subject to any Option unless and until (i) the Option shall
have been exercised pursuant to the terms thereof,

 

4

 

(ii) the Company shall have issued and
delivered the shares to the Optionee, and (iii) the Optionee’s name shall have
been entered as a stockholder of record on the books of the Company. Thereupon,
the Optionee shall have full voting, dividend and other ownership rights with
respect to such Shares.

 

 (g)
TERMINATION OF EMPLOYMENT. In the event that an Optionee ceases to be employed
by the Company or any Subsidiary, any outstanding Options held by such Optionee
shall, unless the Option Agreement evidencing such Option provides otherwise,
terminate on the earliest of the following:

 

(1) If the Optionee’s termination of
employment is due to his death or Disability, the Option (to the extent
exercisable at the time of the Optionee’s termination of employment) shall be
exercisable for a period of one (1) year following such termination of
employment, and shall thereafter terminate;

 

(2) If the Optionee’s termination of
employment is by the Company or a Subsidiary for Cause, the Option shall terminate
on the date of the Optionee’s termination of employment;

 

(3)  (a)
If the Optionee’s termination of employment is by the Company or any Subsidiary
for any other reason (including an Optionee’s ceasing to be employed by a
Subsidiary as a result of the sale of such Subsidiary or an interest in such
Subsidiary), the Option (to the extent exercisable at the time of the Optionee’s
termination of employment) shall be exercisable for a period of ninety (90)
days following such termination of employment, and shall thereafter terminate;
and (b) If the Optionee’s termination of employment is by the Optionee (other
than as set forth in paragraph (1) above) the Option (to the extent exercisable
at the time of the Optionee’s termination of employment) shall be exercisable
for a period of ten (10) days following such termination of employment and
shall thereafter terminate; and (c) If the Optionee’s employment terminates due
to Disability (as described in paragraph (1) above) or under circumstances
described in paragraph (3)(a) above, and the Optionee dies prior to the
permissible period of exercise for any outstanding Option then held by the
Optionee, the Option (to the extent exercisable at the time of the Optionee’s
termination of employment) shall be exercisable for a period of one (1) year
following the Optionee’s death, and shall thereafter terminate.

 

(4) 
Notwithstanding the foregoing, in no event will the Option be
exercisable beyond the term of the Option.

 

Notwithstanding the foregoing, the Committee
may provide, either at the time an Option is granted or thereafter, that the
Option may be exercised after the periods provided for in this Section 6(g),
but in no event beyond the term of the Option.

 

 (h)
MODIFICATIONS.  Subject to the terms of
the Plan, the Committee may modify outstanding Options or accept the surrender
of outstanding Options (to the extent not exercised) and grant new Options in
substitution therefor.  Notwithstanding
the foregoing, no modification of an Option shall alter or impair any rights or
obligations under the Option without the Optionee’s consent.

 

 7.  STOCK APPRECIATION RIGHTS.  The Committee may, in its discretion, either
alone or in connection with the grant of an Option, grant Stock Appreciation
Rights in accordance with the Plan, the terms and conditions of which shall be
set forth in an Award Agreement.  If
granted in connection with an Option, a Stock Appreciation Right shall cover
the same Shares covered by the Option (or such lesser number of Shares as the
Committee may determine) and shall, except as provided in this Section 7, be
subject to the same terms and conditions as the related Option.

 

(a) TIME OF GRANT. A Stock Appreciation Right
may be granted:

 

(1) at any time if unrelated to an Option; or

 

(2) if related to an Option, either at the
time of grant, or at any time thereafter during the term of the Option.

 

(b) STOCK APPRECIATION RIGHTS RELATED TO AN
OPTION.

 

5

 

(i) PAYMENT. A Stock Appreciation Right
granted in connection with an Option shall entitle the holder thereof, upon
exercise of the Stock Appreciation Right or any portion thereof, to receive
payment of an amount computed pursuant to Section 7(b)(iii).

 

(ii) EXERCISE. A Stock Appreciation Right
granted in connection with an Option shall be exercisable at such time or times
and only to the extent that the related Option is exercisable, and will not be
transferable except to the extent the related Option may be transferable.  A Stock Appreciation Right granted in connection
with an Incentive Stock Option shall be exercisable only if the Fair Market
Value of a Share on the date of exercise exceeds the purchase price specified
in the related Incentive Stock Option.

 

(iii) AMOUNT PAYABLE. Except as otherwise
provided in an Award Agreement (as contemplated by Section 12, upon the
exercise of a Stock Appreciation Right related to an Option, the Grantee shall
be entitled to receive an amount determined by multiplying (A) the excess of
the Fair Market Value of a Share on the date of exercise of such Stock
Appreciation Right over the per Share purchase price under the related Option,
by (b) the number of Shares as to which such Stock Appreciation Right is being
exercised.  Notwithstanding the
foregoing, the Committee may limit in any manner the amount payable with
respect to any Stock Appreciation Right by including such a limit in the Award
Agreement evidencing the Stock Appreciation Right at the time it is granted.

 

(iv) TREATMENT OF RELATED OPTIONS AND STOCK
APPRECIATION RIGHTS UPON EXERCISE. Upon the exercise of a Stock Appreciation
Right granted in connection with an Option, the Option shall be canceled to the
extent of the number of Shares as to which the Stock Appreciation Right is
exercised, and upon the exercise of an Option granted in connection with a
Stock Appreciation Right or the surrender of such Option as may be provided for
in any Option Agreement, the Stock Appreciation Right shall be cancelled to the
extent of the number of Shares as to which the Option is exercised or
surrendered.

 

(v) CUMULATIVE EXERCISE OF STOCK APPRECIATION
RIGHT AND OPTION. The Committee may provide, either at the time a Stock
Appreciation Right is granted in connection with a Nonqualified Stock Option or
thereafter during the term of the Stock Appreciation Right, that, upon exercise
of such Option or the surrender of the Option as may be provided for in any
Option Agreement, the Stock Appreciation Right shall automatically be deemed to
be exercised to the extent of the number of Shares as to which the Option is
exercised or surrendered.  In such event,
the Grantee shall be entitled to receive the amount described in Section
7(b)(iii) or, if otherwise provided for in the Award Agreement, as set forth
therein, in addition to the Shares acquired or cash received pursuant to the
exercise or surrender of the Option.  The
inclusion in an Award Agreement evidencing a Stock Appreciation Right of a
provision described in this Section 7(b)(v) may be in addition to and not in
lieu of the right to exercise the Stock Appreciation Right as otherwise
provided herein and in the Award Agreement.

 

(c) STOCK APPRECIATION RIGHTS UNRELATED TO AN
OPTION. The Committee may grant to Eligible Participants Stock Appreciation
Rights unrelated to Options. Stock Appreciation Rights unrelated to Options
shall contain such terms and conditions as to exercisability, vesting
(including the achievement of the performance objectives) and duration as the
Committee shall determine.  Except as
otherwise provided in an Award Agreement (as contemplated by Section 12, the
amount payable upon exercise of such Stock Appreciation Rights shall be
determined in accordance with Section 7(b)(iii), except that “Fair Market Value
of a Share on the date of the grant of the Stock Appreciation Right” shall be
substituted for “purchase price under the related Option.”  No Stock Appreciation Right unrelated to an
Option will be exercised more than 10 years from the date of a grant of such
Stock Appreciation Right.

 

(d) METHOD OF EXERCISE. Stock Appreciation
Rights shall be exercised by a Grantee only by a written notice delivered in
person or by mail to the Secretary of the Company at the Company’s principal
executive office, specifying the number of Shares with respect to which the
Stock Appreciation Right is being exercised. 
If requested by the Committee, the Grantee shall deliver the Award
Agreement evidencing the Stock Appreciation Right being exercised and the
Option Agreement evidencing any related Option to the Secretary of the Company
who shall endorse thereon a notation of such exercise and return such
agreement(s) to the Grantee.

 

6

 

(e) FORM OF PAYMENT. Payment of the amount
determined under Sections 7(b)(iii) or 7(c), shall be made, at the sole
discretion of the Committee, either (i) solely in whole shares of Common Stock
in a number determined at their Fair Market Value on the date of exercise of
the Stock Appreciation Right, (ii) solely in cash, (iii) by delivery of a note
or other security, or (iv) in a combination of any of the foregoing.  If the Committee decides to make full payment
in Shares, and the amount payable results in a fractional Share, payment for
the fractional Share will be made in cash.

 

8. 
RESTRICTED STOCK.  The Committee
may grant Awards of Restricted Stock which shall be evidenced by an Award
Agreement between the Company and the Grantee. Each Award Agreement shall
contain such restrictions, terms and conditions as the Committee may require
and (without limiting the generality of the foregoing) such Award Agreements
may require that an appropriate legend be placed on Share certificates.  Awards of Restricted Stock shall be subject
to the following terms and provisions:

 

 (a)
RIGHTS OF GRANTEE.

 

(i) Shares of Restricted Stock granted
pursuant to an Award hereunder shall be issued in the name of the Grantee as
soon as reasonably practicable after the Award is granted and the purchase
price, if any, is paid by the Grantee, provided that the Grantee has executed
an Award Agreement evidencing the Award, an escrow agreement, appropriate stock
powers and any other documents which the Committee, in its absolute discretion,
may require as a condition to the issuance of such Shares.  If a Grantee shall fail to execute the Award
Agreement evidencing a Restricted Stock Award, an escrow agreement or
appropriate blank stock powers or shall fail to pay the purchase price, if any,
for the Restricted Stock, the Award shall be null and void.  Shares issued in connection with a Restricted
Stock award shall be deposited together with the stock powers with an escrow
agent designated by the Committee. 
Except as restricted by the terms of the Award Agreement, upon delivery
of the Shares to the escrow agent, the Grantee shall have all of the rights of
a stockholder with respect to such Shares, including the right to vote the
Shares and to receive all dividends or other distributions paid or made with
respect to the Shares.

 

(ii) If a Grantee receives any dividends or
other distributions with respect to any Shares which were awarded to him as
Restricted Stock prior to the lapsing of restrictions imposed upon such Shares,
such dividends and distributions shall be held by the escrow agent subject to
the restrictions and obligations (including forfeiture provisions) provided by
this Plan. Any such dividends and distributions shall be held by the escrow
agent for the account of the Grantee prior to the earlier of (i) the lapsing of
restrictions imposed upon such Shares and (ii) the forfeiture of such Shares; and,
upon the lapsing of such restrictions, there shall be credited to the Grantee
interest at a rate to be determined by the Committee on any cash dividend paid
thereon for the period held by the escrow agent pursuant hereto.

 

(b) NON-TRANSFERABILITY. Until any
restrictions upon the Shares of Restricted Stock awarded to a Grantee shall
have lapsed in the manner set forth in Section 8(c), such Shares shall not be
sold, transferred or otherwise disposed of and shall not be pledged or
otherwise hypothecated, nor shall they be delivered to the Grantee.  Upon the termination of employment of the
Grantee, all of such Shares with respect to which restrictions have not lapsed
shall be resold by the Grantee to the Company at the same price, if any, paid
by the Grantee for such Shares or shall be forfeited and automatically
transferred to and reacquired by the Company at no cost to the Company if no
purchase price had been paid for such Shares. 
The Committee may also impose such other restrictions and conditions on
the Shares as it deems appropriate.

 

(c) LAPSE OF RESTRICTIONS.

 

(i) Restrictions upon Shares of Restricted
Stock awarded hereunder shall lapse at such time or times and on such terms,
conditions and satisfaction of performance objectives (as described in Section
9(a)) as the Committee may determine; provided, however, that the restrictions
upon such Shares shall lapse only if the Grantee on the date of such lapse is
then and has continuously been an employee of the Company or a Subsidiary from
the date the Award was granted.

 

7

 

(ii) In the event of termination of employment
as a result of the death or Disability of a Grantee, the Committee, in its
absolute discretion, may determine that the restrictions upon some or all
Shares of Restricted Stock awarded to the Grantee shall thereupon immediately
lapse.  The Committee may also decide at
any time, in its absolute discretion and on such terms and conditions as it
deems appropriate, to remove or modify the restrictions upon Shares of
Restricted Stock awarded hereunder.

 

(d) DELIVERY OF SHARES. Upon the lapse of the
restrictions on Shares of Restricted Stock awarded hereunder, the Committee
shall cause a stock certificate to be delivered to the Grantee with respect to
such Shares, free of all restrictions.

 

9. 
PERFORMANCE UNITS.  The Committee
may grant Performance Units, the terms and conditions of which shall be set
forth in an Award Agreement between the Company and the Grantee. Each
Performance Unit shall represent the right to receive a Share, or a cash
payment equal to the Fair Market Value thereof, contingent upon the Company’s
attainment of specified performance objectives within a specified award
period.  Each Award Agreement shall
specify the number of the Performance Units to which it relates, the
performance objectives which must be satisfied in order for the Performance
Units to vest, and the award period within which such objectives must be
satisfied.

 

(a) PERFORMANCE OBJECTIVES. Performance
objectives relating to any Option or Award may be expressed in terms of (a) net
earnings or net worth, (b) return on equity or assets, (c) earnings per Share,
(d) Share price, (e) pre-tax profits, (f) gross revenues, (g) EBITDA, (h)
dividends, (i) market share or market penetration or (j) any combination of the
foregoing, and may be determined before or after accounting changes, special
charges, foreign currency effects, acquisitions, divestitures or other
extraordinary events.  Performance
objectives may be absolute or relative to the performance of other
companies.    Each grant may specify in
respect of such performance objectives, a minimum acceptable level of
achievement and will set forth the formula for determining the number of
Options or Awards that will be earned if performance is at or above the minimum
level but falls short of full achievement of the specified performance
objectives.

 

(b) VESTING AND FORFEITURE. A Grantee shall
become vested with respect to the Performance Units to the extent that the
performance objectives set forth in the Award Agreement are satisfied within
the award period.  Subject to the terms
of any Award Agreement (as contemplated by Section 12 hereof), if the specified
performance objectives are not satisfied within the award period, the Grantee’s
rights with respect to the Performance Units shall be forfeited.

 

(c) PAYMENT OF AWARDS. Subject to the terms of
any Award Agreement (as contemplated by Section 12), payments to Grantees in
respect of vested Performance Units shall be made within 2 weeks after the
availability of audited financial statements for the award period to which such
Award relates but in no event later than 2 1⁄2 months after the end of the
period; provided, however, that prior to the vesting, payment, settlement or lapsing
of any restrictions with respect to any Performance Unit intended to qualify as
performance-based compensation under Section 162(m) of the Code, the Committee
shall certify in writing that the applicable performance objectives have been
satisfied.  Such payments may be made
entirely in Shares, entirely in cash, or in a combination of Shares and cash,
in each case as the Committee shall determine. 
Except as provided in the terms of any Award Agreement (as contemplated
by Section 12), if payment is made in the form of cash, the amount payable in
respect of any Share shall be equal to the Fair Market Value of such Share on
the last day of the award period.

 

(d) TERMINATION OF EMPLOYMENT. In the event
that a Grantee ceases to be employed by the Company or a Subsidiary prior to
the expiration of an award period for any reason, any nonvested Performance
Units previously awarded to said Eligible Participant shall be forfeited unless
the Committee in its discretion determines that some part or all of said Performance
Units shall continue in effect under the Plan to the extent the applicable
performance objectives are satisfied within the award period.

 

(e) NON-TRANSFERABILITY. No amounts payable
under this Plan in respect of Performance Units shall be transferable by the
Grantee otherwise than by will or by the laws of descent and distribution
provided that the Grantee may designate a beneficiary to receive such amounts
in the event of the Grantee’s death.

 

8

 

10.  LOANS.

 

(a) To the extent permitted by law and at the
discretion of the Committee the Company or any Subsidiary may make loans to a
Grantee or Optionee in connection with the purchase of Shares pursuant to an
Award or in connection with the exercise of an Option, subject to the following
terms and conditions and such other terms and conditions not inconsistent with
the Plan including the rate of interest, if any, as the Committee shall impose
from time to time.

 

(b) No loan made under the Plan shall exceed the
sum of (i) the aggregate purchase price payable pursuant to the Option or Award
with respect to which the loan is made plus (ii) the amount of the reasonably
estimated income taxes payable by the Optionee or Grantee with respect to the
Option or Award. In no event may any such loan exceed the Fair Market Value, at
the date of exercise, of any such Shares.

 

(c) No loan shall have an initial term
exceeding ten (10) years; provided, that loans under the Plan shall be
renewable at the discretion of the Committee; and provided, further, that the
indebtedness under each loan shall become due and payable, as the case may be,
on a date no later than (i) one (1) year after termination of the Optionee’s or
Grantee’s employment due to death, retirement or Disability, or (ii) the date
of termination of the Optionee’s or Grantee’s employment for any reason other
than death, retirement or Disability.

 

(d) Loans under the Plan may be satisfied by
an Optionee or Grantee, as determined by the Committee, in cash or, with the
consent of the Committee, in whole or in part by the transfer to the Company of
Shares whose Fair Market Value on the date of such payment is equal to the cash
amount due and payable under such loans.

 

(e) A loan shall be secured by a pledge of
Shares with a Fair Market Value of not less than the principal amount of the
loan. After partial repayment of a loan, pledged Shares no longer required as
security may, at the discretion of the Committee, be released to the Optionee
or Grantee.

 

(f) Every loan shall meet all applicable laws,
regulations and rules of the Federal Reserve Board and any other governmental
agency having jurisdiction.

 

11. 
ADJUSTMENT UPON CHANGES IN CAPITALIZATION.

 

(a) In the event of a Change in
Capitalization, the Committee shall conclusively determine the appropriate
adjustments, if any, to the maximum number and class of shares of stock with
respect to which Options or Awards may be granted under the Plan, the number
and class of shares or units as to which Options or Awards may be granted under
the Plan, the number and class of shares or units as to which Options or Awards
have been granted under the Plan, and the purchase price therefor, if
applicable.

 

(b) Any such adjustment in the Shares or other
securities subject to outstanding Incentive Stock Options (including any
adjustments in the purchase price) shall be made in such manner as not to
constitute a modification as defined by Section 424(h)(3) of the Code and only
to the extent otherwise permitted by Section 422 and 424 of the Code.

 

(c) If, by reason of a Change in
Capitalization, a Grantee of an Award shall be entitled to new, additional or
different shares of stock, securities or Performance Units (other than rights
or warrants to purchase securities), such new additional or different shares
shall thereupon be subject to all of the conditions, restrictions and
performance criteria which were applicable to the Shares or units pursuant to
the Award prior to such Change in Capitalization.

 

12. 
EFFECT OF CERTAIN TRANSACTIONS.

 

(a) In the event of (i) a merger or
consolidation or (ii) the sale or disposition of all or substantially all of
the Company’s assets, the Company shall have the authority to make provision in
connection with such transaction (x) for the assumption of Options or Awards
theretofore granted under the Plan, or the substitution for such Options or
Awards of new options or awards of the Successor Corporation, with appropriate
adjustment as to

 

9

 

the number and kind of shares and the purchase
price for shares thereunder, or (y) for the surrender of outstanding Options
and Awards and the payments of cash in consideration therefor at their fair
market value.

 

 (b)
Except as otherwise determined by the Committee at the time of grant of an
Option or Award, upon a Change in Control (as defined below), all outstanding
Options and Stock Appreciation Rights shall become vested and exercisable; all
restrictions on Restricted Stock shall lapse, all performance goals shall be deemed achieved at target levels and all
other terms and conditions are met; and all Performance Units shall be
delivered.  The Committee may, in its
sole discretion, provide or agree to provide for payments in consideration for
the exercise of, surrender or repurchase of an Option or Award (at such times
and in such amounts determined by the Committee in its sole discretion, which
amounts, in the case of a change of control, may be based upon the highest
price per share paid in the transaction even if greater than the Fair Market
Value at the time of exercise, surrender or repurchase).  Any such determination by the Committee may
be set forth in the applicable Option Agreement, Award Agreement or otherwise.  With respect to Options and Awards intended
to qualify as performance based compensation under Section 162(m) of the Code,
the Committee shall set forth in the applicable Option Agreement or Award
Agreement any terms as to acceleration of the exercisability or vesting of the
Option or Award (including, but not limited to, acceleration upon the
occurrence of a change of control (as defined in the applicable Option
Agreement or Award Agreement)).

 

A “Change in Control” shall mean the occurrence of any of the
following:

 

(i)            An
acquisition (other than directly from the Company) of any Shares or other
voting securities of the Company entitled to vote generally for the election of
directors (the “Voting Securities”) by any “Person” (as the term “person” is
used for purposes of Section 13(d) or 14(d) of the Exchange Act), immediately
after which such Person has “Beneficial Ownership” (within the meaning of Rule
13d-3 promulgated under the Exchange Act) of fifty percent or more of the then
outstanding Shares or the combined voting power of the Company’s then outstanding
Voting Securities; provided, however, in determining whether a Change in
Control has occurred, Shares or Voting Securities which are acquired in a
Non-Control Acquisition (as hereinafter defined) shall not constitute an
acquisition which would cause a Change in Control.  A “Non-Control Acquisition” shall mean an
acquisition by (i) an employee benefit plan (or a trust forming a part thereof)
maintained by (A) the Company or (B) any corporation or other Person of which a
majority of its voting power or its voting equity securities or equity interest
is owned, directly or indirectly, by the Company (a “Subsidiary”), (ii) the
Company or its Subsidiaries, (iii) any Person in connection with a Non-Control
Transaction (as hereinafter defined) or (iv) an Affiliate;

 

(ii)           The
individuals who, as of the date of this agreement, are members of the Board
(the “Incumbent Board”), cease for any reason to constitute at least a majority
of the members of the Board; provided, however, that if the election, or
nomination for election by the Company’s stockholders, of any new director was
approved by a vote of at least two-thirds of the Incumbent Board, such new
director shall, for purposes of this Agreement, be considered a member of the
Incumbent Board; provided further, however, that no individual shall be
considered a member of the Incumbent Board if such individual initially assumed
office as a result of either an actual or threatened “Election Contest” (as
described in Rule 14a-11 promulgated under the Exchange Act) or other actual or
threatened solicitation of proxies or consents by or on behalf of a Person
other than the Board (a “Proxy Contest”) including by reason of any agreement
intended to avoid or settle any Election Contest or Proxy Contest; or

 

(iii)          The
consummation of:

 

(A)  A merger,
consolidation, reorganization or other business combination with or into the
Company or in which securities of the Company are issued, unless such merger,
consolidation, reorganization or other business combination is a “Non-Control
Transaction.”  A “Non-Control Transaction”
shall mean a merger, consolidation, reorganization or other business
combination with or into the Company or in which securities of the Company are
issued where:

 

(1)   the
stockholders of the Company, immediately before such merger, consolidation, reorganization
or other business combination own directly or indirectly immediately following
such merger, consolidation,

 

10

 

reorganization or other business combination, at least
fifty percent of the combined voting power of the outstanding voting securities
of the corporation resulting from such merger or consolidation, reorganization
or other business combination (the “Surviving Corporation”) in substantially
the same proportion as their ownership of the Voting Securities immediately
before such merger, consolidation, reorganization, or other business
combination,

 

(2)   the
individuals who were members of the Incumbent Board immediately prior to the
execution of the agreement providing for such merger, consolidation,
reorganization or other business combination constitute at least two-thirds of
the members of the board of directors of the Surviving Corporation, or a
corporation beneficially directly or indirectly owning a majority of the
combined voting power of the outstanding voting securities of the Surviving
Corporation, and

 

(3)   no Person
other than (i) the Company, (ii) any Subsidiary, (iii) any employee benefit
plan (or any trust forming a part thereof) that, immediately prior to such
merger, consolidation, reorganization or other business combination was
maintained by the Company, the Surviving Corporation, or any Subsidiary, or
(iv) any Person who, immediately prior to such merger, consolidation,
reorganization or other business combination had Beneficial Ownership of fifty
percent or more of the then outstanding Voting Securities or common stock of
the Company, has Beneficial Ownership of fifty percent or more of the combined
voting power of the Surviving Corporation’s then outstanding voting securities
or its common stock.

 

(B)   A complete
liquidation or dissolution of the Company; or

 

(C)   The sale or
other disposition of all or substantially all of the assets of the Company to
any Person (other than (i) any such sale or disposition that results in at
least fifty percent of the Company’s assets being owned by a Subsidiary or
Subsidiaries or (ii) a distribution to the Company’s stockholders of the stock
of a Subsidiary or any other assets);

 

provided, however, that no
transaction or series of transactions by which Stephen W. Bershad, or any
Person in which Stephen W. Bershad has Beneficial Ownership, directly or
indirectly, of 25 percent of the outstanding ownership interests or voting
power, acquires fifty percent or more of the then outstanding Shares or the
combined voting power of the Company’s then outstanding Voting Securities shall
constitute a Change in Control for purposes of this Agreement (regardless of
the form of transaction or series of transactions by which such acquisition
occurs (including, without limitation, any acquisition described in clause (a)
hereof or any merger or other transaction described in clause (c) hereof)).

 

Notwithstanding the foregoing, a Change in Control shall not be deemed
to occur solely because any Person (the “Subject Person”) acquired Beneficial
Ownership of more than the permitted amount of the then outstanding Shares or
Voting Securities as a result of the acquisition of Shares or Voting Securities
by the Company which, by reducing the number of Shares or Voting Securities
then outstanding, increases the proportional number of shares Beneficially
Owned by the Subject Person, provided that if a Change in Control would occur
(but for the operation of this sentence) as a result of the acquisition of
Shares or Voting Securities by the Company, and after such share acquisition by
the Company, the Subject Person becomes the Beneficial Owner of any additional
Shares or Voting Securities which increase the percentage of the then outstanding
Shares or Voting Securities Beneficially Owned by the Subject Person, then a
Change in Control shall occur.

 

13. 
RELEASE OF FINANCIAL INFORMATION. 
A copy of the Company’s annual report to stockholders shall be delivered
to each Optionee and Grantee at the time such report is distributed to the
Company’s stockholders.  Upon request,
the Company shall furnish to each Optionee and Grantee a copy of its most
recent annual report and each quarterly report and current report filed under
the Exchange Act, since the end of the Company’s prior fiscal year.

 

14. 
TERMINATION AND AMENDMENT OF THE PLAN. 
The Plan shall terminate on August 31, 2009 and no Option or Award may
be granted thereafter.  The Board may
sooner terminate or amend the Plan at any time, and from time to time and in
any manner provided, however, that any amendment which must be approved
by the stockholders of the Company in order to comply with applicable law or
the rules of the NASDAQ National

 

11

 

Market System or, if the Common Shares are not
traded under the NASDAQ National Market System, the principal national
securities exchange upon which the Common Shares are traded or quoted, will not
be effective unless and until such approval has been obtained.  Except as provided in Sections 11 and 12
hereof, rights and obligations under any Option or Award granted before any
amendment of the Plan shall not be altered or impaired by such amendment,
except with the consent of the Optionee or Grantee, as the case may be.

 

15. 
LIMITATION OF LIABILITY.  As
illustrative of the limitations of liability of the Company, but not intended
to be exhaustive thereof, nothing in the Plan shall be construed to:

 

(a) give any person any right to be granted an
Option or Award other than at the sole discretion of the Committee;

 

(b) give any person any rights whatsoever with
respect to Shares except as specifically provided in the Plan;

 

(c) limit in any way the right of the Company
or a Subsidiary to terminate the employment of any person at any time; or

 

(d) be evidence of any agreement or
understanding, expressed or implied, that the Company or any Subsidiary will
employ any person in any particular position at any particular rate of
compensation or for any particular period of time.

 

16. 
REGULATIONS AND OTHER APPROVALS; GOVERNING LAW.

 

(a) This Plan and the rights of all persons
claiming any interest hereunder shall be construed and determined in accordance
with the laws of the State of Delaware without giving effect to the choice of
law principles thereof, except to the extent that such law is preempted by
federal law.

 

(b) The obligation of the Company to sell or
deliver Shares with respect to Options and Awards granted under the Plan shall
be subject to all applicable laws, rules and regulations, including all
applicable federal and state securities laws, and the obtaining of all such
approvals by governmental agencies as may be deemed necessary or appropriate by
the Committee.

 

(c) Except as otherwise provided in Section
15, the Board may make such changes as may be necessary or appropriate to
comply with the rules and regulations of any government authority, or to obtain
for Eligible Participants granted Incentive Stock Options the tax benefits
under the applicable provisions of the Code and regulations promulgated
thereunder.

 

(d) Each Option and Award is subject to the
requirement that, if at any time the Committee determines, in its absolute
discretion, that the listing, registration or qualification of Shares issuable
pursuant to the Plan is required by any securities exchange or under any state
or federal law, or the consent or approval of any governmental regulatory body
is necessary or desirable as a condition of, or in connection with, the grant
of an Option or the issuance of Shares, no Options shall be granted or payment
made or Shares issued, in whole or in part, unless listing, registration,
qualification, consent or approval has been effected or obtained free of any
conditions as acceptable to the Committee.

 

(e) In the event that the disposition of
Shares acquired pursuant to the Plan is not covered by a then current
registration statement under the Securities Act of 1933, as amended, and is not
otherwise exempt from such registration, such Shares shall be restricted
against transfer to the extent required by the Securities Act of 1933, as
amended, or regulations thereunder, and the Committee may require any
individual receiving Shares pursuant to the Plan, as a condition precedent to
receipt of such Shares (including upon exercise of an Option), to represent to
the Company in writing that the Shares acquired by such individual are acquired
for investment only and not with a view to distribution.

 

12

 

17. 
MISCELLANEOUS.

 

(a) MULTIPLE AGREEMENTS. The terms of each
Option or Award may differ from other Options or Awards granted under the Plan
at the same time, or at some other time. 
The Committee may also grant more than one Option or Award to a given
Eligible Participant during the term of the Plan, either in addition to, or in
substitution for, one or more Options or Awards previously granted to that
Eligible Participant.  The grant of
multiple Options and/or Awards may be evidenced by a single Agreement or multiple
Agreements, as determined by the Committee.

 

(b) WITHHOLDING OF TAXES. The Company shall
have the right to deduct from any distribution of cash to any Optionee or
Grantee an amount equal to the federal, state and local income taxes and other
amounts required by law to be withheld with respect to any Option or
Award.  Notwithstanding anything to the
contrary contained herein, if any Optionee or Grantee is entitled to receive
Shares upon exercise of an Option or pursuant to an Award, the Company shall have
the right to require such Optionee or Grantee, prior to the delivery of such
Shares, to pay to the Company the amount of any federal, state or local income
taxes and other amounts which the Company is required by law to withhold.

 

(c) DESIGNATION OF BENEFICIARY. Each Optionee
and Grantee may, with the consent of the Committee, designate a person or
persons to receive in the event of his/her death, any Option or Award or any
amount payable pursuant thereto, to which he/she would then be entitled.  Such designation will be made upon forms
supplied by and delivered to the Company and may be revoked by the Optionee or
Grantee in writing.  If an Optionee or
Grantee fails effectively to designate a beneficiary, then his/her estate will
be deemed to be the beneficiary.

 

 18. 
INTERPRETATION.

 

(a) RULE 16B-3. The Plan is intended to comply
with Exchange Act Rule 16b-3 and the Committee shall interpret and administer
the provisions of the Plan or any Option Agreement or Award Agreement in a
manner consistent therewith.  Any
provisions inconsistent with such Rule shall be inoperative and shall not
affect the validity of the Plan.  The
Board is authorized to amend the Plan and to make any such modifications to
Option Agreements or Award Agreements to comply with Exchange Act Rule 16b-3,
as it may be amended from time to time, and to make any other such amendments
or modifications deemed necessary or appropriate to better accomplish the
purposes of the Plan in light of any amendments made to Exchange Act Rule
16b-3.

 

(b) SECTION 162(M) OF THE CODE. Unless
otherwise expressly stated in the relevant Option Agreement or Award Agreement,
each Option, Stock Appreciation Right and Performance Unit granted under the
Plan to an executive officer of the Company is intended to be performance-based
compensation within the meaning of Section 162(m)(4)(c) of the Code (except
that, upon a change of control (as defined in the applicable Option Agreement
or Award Agreement), payment of an Option or Award to an Eligible Participant
who remains a “covered employee” with respect to such payment within the
meaning of Section 162(m)(3) of the Code may not qualify as performance-based
compensation).  The Committee shall not
be entitled to exercise any discretion otherwise authorized hereunder with
respect to such Options and Awards if the ability to exercise such discretion
or the exercise of such discretion itself would cause the compensation
attributable to such Options and Awards to fail to qualify as performance-based
compensation.  Notwithstanding anything
to the contrary in the Plan, the provisions of the Plan may at any time be
bifurcated by the Board or the Committee in any manner so that certain
provisions of the Plan or any Option or Award intended (or required in order)
to satisfy the applicable requirements of Section 162(m) of the Code are only
applicable to persons whose compensation is subject to Section 162(m).

 

19. 
EFFECTIVE DATE.  The effective
date of the Plan shall be the date of its adoption by the Board, subject only
to the approval by the affirmative vote of a majority of the votes eligible to
be cast at a meeting of stockholders of the Company to be held within twelve
(12) months of such adoption.

 

20. 
OPTION GRANTS TO NON-EMPLOYEE DIRECTORS.

 

(a) INITIAL GRANT.  A Non-Employee Director who becomes a
director for the first time after the effective date hereof shall, upon
election or appointment, be granted a Non-Qualified Option in respect of a
number of

 

13

 

Shares (rounded to the
nearest whole number) which Shares have a Fair Market Value on the date of
grant equal to $60,000 or such other amounts as determined by the
Committee.  Each such Option shall have
an exercise price per share equal to the Fair Market Value of a Share on the
date of grant and ,unless otherwise determined by the Committee, shall become
fully vested and exercisable with respect to 20% of the Shares subject thereto
on each of the first five anniversaries of the date of grant, provided that the
Optionee continues to serve as a director as of such date.

 

(b) ANNUAL GRANT.  On the first business day following each
regularly scheduled annual meeting of the stockholders of the Company, each
Non-Employee Director shall be granted a Non-Qualified Option in respect of a
number of Shares (rounded to the nearest whole number) which Shares have a Fair
Market Value on the date of grant equal to $30,000 or such other amount as
determined by the Committee.  Each such
Option shall have an exercise price per share equal to the Fair Market Value of
a Share on the date of grant and, unless otherwise determined by the Committee,
shall become fully vested and exercisable with respect to 100% of the Shares
subject thereto on the day immediately preceding the first regularly scheduled
annual meeting of stockholders of the Company occurring subsequent to the date
of grant, provided that the Optionee continues to serve as a director on such
day.

 

(c) DURATION.  Options granted
pursuant to this Section 22 shall have a term of ten years, subject to earlier
termination.

 

(d) NON-TRANSFERABILITY.  No
Option granted pursuant to this Section 22 shall be transferable by the
Optionee to whom granted otherwise than by will or the laws of descent and
distribution, and an Option may be exercised during the lifetime of such
Optionee only by the Optionee or his guardian or legal representative.  The terms of such Option shall be binding
upon the beneficiaries, executors, administrators, heirs and successors of the
Optionee.

 

(e) METHOD OF EXERCISE.  The
exercise of an Option shall be made only by a written notice delivered in
person or by mail to the Secretary of the Company at the Company’s principal
executive office, specifying the number of Shares to be purchased and
accompanied by payment therefor.  The
purchase price for any Shares purchased pursuant to the exercise of an Option
shall be paid in full upon such exercise in cash, by check, or at the
discretion of the Committee and upon such terms and conditions as the Committee
shall approve, by transferring Shares to the Company.  Any Shares transferred to the Company as
payment of the purchase price under an Option shall be valued at their Fair
Market Value on the day preceding the date of exercise of such Option.  If requested by the Committee, the Optionee
shall deliver the Option Agreement evidencing the Option to the Secretary of
the Company who shall endorse thereon a notation of such exercise and return
such agreement(s) to the Optionee.  No
less than 100 Shares may be purchased at any time upon the exercise of an
Option unless the number of Shares so purchased constitutes the total number of
Shares then purchasable under the Option.

 

(f) RIGHTS OF OPTIONEES.  No
Optionee shall be deemed for any purpose to be the owner of any Shares subject to
any Option unless and until (i) the Option shall have been exercised pursuant
to the terms thereof, (ii) the Company shall have issued and delivered the
shares to the Optionee, and (iii) the Optionee’s name shall have been entered
as a stockholder of records on the books of the Company.  Thereupon, the Optionee shall have full
voting, dividend and other ownership rights with respect to such Shares.

 

(g) TERMINATION OF DIRECTORSHIP. 
In the event that an Optionee ceases to be a director of the Company, any
outstanding Options held by such Optionee shall terminate as follows:

 

(i)            If the Optionee’s
termination of directorship is due to his death or Disability, the Option (to
the extent exercisable at the time of the Optionee’s termination of
directorship) shall be exercisable for a period of one (1) year following such
termination of directorship, and shall thereafter terminate;

 

(ii)           If the Optionee’s
termination of directorship is by the Company for Cause, the Option shall
terminate on the date of the Optionee’s termination of directorship;

 

14

 

(iii)          If the Optionee’s
directorship terminates for any other reason, the Option (to the extent
exercisable at the time of the Optionee’s termination of directorship) shall be
exercisable for a period of ninety (90) days following such termination of
directorship, and shall thereafter terminate; and

 

(iv)          If the Optionee’s
directorship terminates under circumstances described in paragraph (iii) above,
and the Optionee dies prior to the permissible period of exercise for any
outstanding Option then held by the Optionee, the Option (to the extent
exercisable at the time of the Optionee’s termination of directorship) shall be
exercisable for a period of one (1) year following the Optionee’s death, and
shall thereafter terminate.

 

(h) EXCLUSIVITY OF
AWARDS.  Non-Employee Directors shall not
receive any Options or Awards under the Plan other than the Options granted
pursuant to this Section 22.

 

COMPLIANCE WITH SECTION 409A OF THE CODE.   To the extent applicable, it is intended
that this Plan and any grants made hereunder comply with the provisions of
Section 409A of the Code.  The Plan and
any grants made hereunder shall be administered in a manner consistent with
this intent, and any provision that would cause the Plan or any grant made
hereunder to fail to satisfy Section 409A of the Code shall have no force and
effect until amended to comply with Section 409A of the Code (which amendment
may be retroactive to the extent permitted by Section 409A of the Code and may
be made by the Company without the consents of Participants).  Any reference in this Plan to Section 409A of
the Code will also include any proposed, temporary or final regulations, or any
other guidance, promulgated with respect to such Section by the U.S. Department
of the Treasury or the Internal Revenue Service.

 

15

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00085-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00085-of-00352.parquet"}]]