Document:

AMENDED SMTC/SMTC CORP OF CANADA 2000 EQUITY INCENTIVE PLAN

 EXHIBIT 10.47 
  
 SMTC CORPORATION/ 
 SMTC MANUFACTURING CORPORATION OF CANADA 
 2000
EQUITY INCENTIVE PLAN 
 (as amended on May 20, 2004) 
  
 SECTION 1. DEFINED TERMS 
  
 Exhibit A, which is incorporated by reference, defines the terms used in the
Plan and sets forth certain operational rules related to those terms. 
  
 SECTION 2. GENERAL 
  
 The Plan has been
established to advance the interests of the Company by giving selected Employees, directors and other persons (including both individuals and entities) who provide services to the Company or its Affiliates Stock-based incentives or incentives based
on Performance Criteria. 
  
 SECTION 3. ADMINISTRATION 

 
 The Administrator has discretionary authority, subject only to the
express provisions of the Plan, to interpret the Plan; determine eligibility for and grant Awards; determine, modify or waive the terms and conditions of any Award; prescribe forms, rules and procedures (which it may modify or waive); and otherwise
do all things necessary to carry out the purposes of the Plan. Once an Award has been communicated in writing to a Participant, the Administrator may not, without the Participant’s consent, alter the terms of the Award so as to affect adversely
the Participant’s rights under the Award, unless the Administrator expressly reserved the right to do so in writing at the time of such communication. In the case of any Award intended to be eligible for the performance-based compensation
exception under Section 162(m), the Administrator shall exercise its discretion consistent with qualifying the Award for such exception. 
  
 The Administrator may from time to time make recommendations to the SMTC Canada Board with respect to the grant of Awards by SMTC Canada in accordance
with the Plan; provided, however, that no Award under which Exchangeable Shares or other securities of SMTC Canada may be issued shall be effective prior to the confirmation and approval of such recommended Award by the SMTC Canada Board.

  
 SECTION 4. LIMITS ON AWARD UNDER THE PLAN 
  
 a. Number of Shares. 
  
 (1) Number of Shares. The number of
shares of Stock that may be issued under Awards granted under the Plan (including Stock that may be issued on the exchange of Exchangeable Shares issuable under Awards) shall not exceed (A) 3,750,000 plus (B) as of the first day of each fiscal year
(commencing with the fiscal year beginning in 2001) of the 

  

 
Company during the life of the Plan, an additional number of shares determined by the Board but not to exceed 1% of the total number of shares of Stock
actually outstanding on such date. Notwithstanding the preceding sentence, no more than 3,500,000 shares of Stock may be delivered in satisfaction of any ISOs awarded under the Plan. 
  
 (2) Number of Exchangeable Shares. The number of Exchangeable Shares that may be issued under
Awards granted under the Plan shall not exceed 3,750,000. 
  
 (3) Shares Not Delivered. For purposes of this Section 4.a., the following shares shall not be considered to have been delivered under the Plan: (A) shares remaining under an Award that terminates
without having been exercised in full; (B) shares subject to an Award, where cash is delivered to a Participant in lieu of such shares; (C) shares of Restricted Stock that have been forfeited in accordance with the terms of the applicable Award; and
(D) shares held back, in satisfaction of the exercise price or tax withholding requirements, from shares that would otherwise have been delivered pursuant to an Award. 
  
 (4) Netting of Certain Shares. The number of shares of Stock or Exchangeable Shares delivered
under an Award shall be determined net of any previously acquired shares tendered by the Participant in payment of the exercise price or of withholding taxes. 
  

b. Type of Shares. Stock and Exchangeable Shares delivered by the Company or SMTC Canada, as applicable,
under the Plan may be authorized but unissued shares or previously issued shares acquired by the Company or SMTC Canada, as applicable, and held in treasury. No fractional shares will be delivered under the Plan. 
  
 c. Option & SAR Limits. The maximum number of shares of
Stock and Exchangeable Shares for which Stock Options may be granted to any person in any calendar year, the maximum number of shares of Stock and Exchangeable Shares subject to SARs granted to any person in any calendar year and the aggregate
maximum number of shares of Stock and Exchangeable Shares subject to other Awards that may be delivered to any person in any calendar year shall each be 1,000,000. For purposes of the preceding sentence, the repricing of a Stock Option or SAR shall
be treated as a new grant to the extent required under Section 162(m). Subject to these limitations, each person eligible to participate in the Plan shall be eligible in any year to receive Awards covering up to the full number of shares of Stock
then available for Awards under the Plan. 
  
 d.
Other Award Limits. No more than $1,000,000 may be paid to any individual with respect to any Cash Performance Award. In applying the limitation of the preceding sentence: (i) multiple Cash Performance Awards to the same individual
that are determined by reference to performance periods of one year or less ending with or within the same fiscal year of the Company shall be subject in the aggregate to one limit of such amount, and (ii) multiple Cash Performance Awards to the
same individual that are determined by reference to one or more multi-year performance periods ending in the same fiscal year of the Company shall be subject in the aggregate to a separate limit of such amount. With respect to any Performance Award
other than a Cash Performance Award or a Stock Option or SAR, the maximum Award opportunity 

  

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shall be 1,000,000 shares of Stock or Exchangeable Shares, or their equivalent value in cash, subject to the limitations of Section 4.c. 
  
 e. Exchangeable Share Award Limits. No Stock Option or
SAR shall be granted which could, under the terms of the Plan and any other share option plan or share purchase plan of the Company or SMTC Canada, result in the number of Exchangeable Shares reserved for issuance to any one person exceeding 5% of
the issued and outstanding Exchangeable Shares on the date of grant. 
  
 SECTION 5. ELIGIBILITY AND PARTICIPATION 
  
 The Administrator will select Participants from among those key Employees, directors and other individuals or entities providing services to the Company or its Affiliates who, in the opinion of the Administrator, are in a position to make a
significant contribution to the success of the Company and its Affiliates. Eligibility for ISOs is further limited to those individuals whose employment status would qualify them for the tax treatment described in Sections 421 and 422 of the Code.

  
 SECTION 6. RULES APPLICABLE TO AWARDS 
  
 a. ALL AWARDS 
  
 (1) Terms of Awards. The Administrator
shall determine the terms of all Awards subject to the limitations provided herein, provided that no Stock Option or SAR shall be granted for a term of more than 10 years from the date of grant. 
  
 (2) Performance Criteria. Where rights
under an Award depend in whole or in part on satisfaction of Performance Criteria, actions by the Company or its Affiliates that have an effect, however material, on such Performance Criteria or on the likelihood that they will be satisfied will not
be deemed an amendment or alteration of the Award. 
  
 (3) Alternative Settlement. The Company or SMTC Canada, as applicable, may at any time extinguish rights under an Award in exchange for payment in cash, Stock or Exchangeable Shares (subject to the limitations of
Section 4) or other property on such terms as the Administrator determines, provided the holder of the Award consents to such exchange. 
  
 (4) Transferability Of Awards. Except as the Administrator otherwise expressly provides, and subject to the
requirements of the TSE in the case of Awards under which Exchangeable Shares may be issued, Awards may not be transferred other than by will or by the laws of descent and distribution, and during a Participant’s lifetime an Award requiring
exercise may be exercised only by the Participant (or in the event of the Participant’s incapacity, the person or persons legally appointed to act on the Participant’s behalf). 
  
 (5) Vesting, Etc. Without limiting the generality of Section 3, the Administrator may
determine the time or times at which an Award will vest (i.e., become free of forfeiture restrictions) or become exercisable and the terms on which an Award requiring 

  

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exercise will remain exercisable. Unless the Administrator expressly provides otherwise, immediately upon the cessation of the Participant’s employment
or other service relationship with the Company and its Affiliates, an Award requiring exercise will cease to be exercisable, and all Awards to the extent not already fully vested will be forfeited, except that: 

  
 (A) all Stock Options and SARs held by a Participant immediately prior to his
or her death, to the extent then exercisable, will remain exercisable by such Participant’s executor or administrator or the person or persons to whom the Stock Option or SAR is transferred by will or the applicable laws of descent and
distribution, for the lesser of (i) a one year period ending with the first anniversary of the Participant’s death or (ii) the period ending on the latest date on which such Stock Option or SAR could have been exercised without regard to this
Section 6.a.(5) and shall thereupon terminate; 
  
 (B) all Stock
Options and SARs held by the Participant immediately prior to the cessation of the Participant’s employment or other service relationship for reasons other than death and except as provided in (C) below, to the extent then exercisable, will
remain exercisable for the lesser of (i) a period of three months or (ii) the period ending on the latest date on which such Stock Option or SAR could have been exercised without regard to this Section 6.a.(5), and shall thereupon terminate; and

  
 (C) all Stock Options and SARs held by the Participant whose
cessation of employment or other service relationship is determined by the Administrator in its sole discretion to result for reasons which cast such discredit on the Participant as to justify immediate termination of the Award shall immediately
terminate upon such cessation. 
  
 Unless the Administrator expressly provides
otherwise, a Participant’s “employment or other service relationship with the Company and its Affiliates” will be deemed to have ceased, in the case of an employee Participant, upon termination of the Participant’s employment
with the Company and its Affiliates (whether or not the Participant continues in the service of the Company or its Affiliates in some capacity other than that of an employee of the Company or its Affiliates), and in the case of any other
Participant, when the service relationship in respect of which the Award was granted terminates (whether or not the Participant continues in the service of the Company or its Affiliates in some other capacity). 
  
 (6) Taxes. The Administrator will make
such provision for the withholding of taxes as it deems necessary. The Administrator may, but need not, hold back shares from an Award or permit a Participant to tender previously owned shares in satisfaction of tax withholding requirements.

  
 (7) Dividend Equivalents,
Etc. The Administrator may provide for the payment of amounts in lieu of cash dividends or other cash distributions with respect to Stock or Exchangeable Shares subject to an Award. 
  
 (8) Rights Limited. Nothing in the Plan
shall be construed as giving any person the right to continued employment or service with the Company or its Affiliates, or any rights as a shareholder except as to shares of Stock or Exchangeable Shares actually issued 

  

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under the Plan. The loss of existing or potential profit in Awards will not constitute an element of damages in the event of termination of employment or
service for any reason, even if the termination is in violation of an obligation of the Company or Affiliate to the Participant. 

  
 (9) Section 162(m). In the case of an Award intended to be eligible for the performance-based compensation exception
under Section 162(m), the Plan and such Award shall be construed to the maximum extent permitted by law in a manner consistent with qualifying the Award for such exception. In the case of a Performance Award intended to qualify as performance-based
for the purposes of Section 162(m) (other than a Stock Option or SAR with an exercise price at least equal to the fair market value of the underlying Stock on the date of grant), the Committee shall in writing preestablish one or more specific
Performance Criteria no later than 90 days after the commencement of the period of service to which the performance relates (or at such earlier time as is required to qualify the Award as performance-based under Section 162(m)). Prior to payment of
any Performance Award (other than a Stock Option or SAR with an exercise price at least equal to the fair market value of the underlying Stock on the date of grant) intended to qualify as performance-based under Section 162(m), the Committee shall
certify whether the Performance Criteria have been attained and such determination shall be final and conclusive. If the Performance Criteria with respect to any such Award are not attained, no other Award shall be provided in substitution of the
Performance Award. 
  
 b. AWARDS REQUIRING EXERCISE

  
 (1) Time And Manner Of
Exercise. Unless the Administrator expressly provides otherwise, (a) an Award requiring exercise by the holder will not be deemed to have been exercised until the Administrator receives a written notice of exercise (in form acceptable to the
Administrator) signed by the appropriate person and accompanied by any payment required under the Award; and (b) if the Award is exercised by any person other than the Participant, the Administrator may require satisfactory evidence that the person
exercising the Award has the right to do so. 
  
 (2) Exercise Price. The Administrator shall determine the exercise price of each Stock Option provided that (a) each Stock Option intended to qualify for the performance-based exception under Section 162(m) of the Code
and each ISO must have an exercise price that is not less than the fair market value of the Stock subject to the Stock Option, determined as of the date of grant; provided that an ISO granted to an Employee described in Section 422(b)(6) of
the Code must have an exercise price that is not less than 110% of such fair market value and (b) each Stock Option exercisable for Exchangeable Shares must have an exercise price that is not less than the simple average of the daily averages of the
high and low prices of which a board lot of Exchangeable Shares traded on the TSE on each of the five trading days immediately preceding the date of grant of the Stock Option. The exercise price of a SAR under which Exchangeable Shares may be issued
shall not be less than the simple average of the daily averages of the high and low prices of which a board lot of Exchangeable Shares traded on the TSE on each of the five trading days immediately preceding the date of grant of the SAR. 

 

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 (3) Payment Of Exercise Price, If Any. Where the exercise of an
Award is to be accompanied by payment, the Administrator may determine the required or permitted forms of payment, subject to the following: (a) all payments will be by cash or check acceptable to the Administrator, or, if so permitted by the
Administrator (with the consent of the optionee of an ISO if permitted after the grant), (i) through the delivery of shares of Stock which have been outstanding for at least six months (unless the Administrator approves a shorter period) and which
have a fair market value equal to the exercise price, (ii) by delivery of a promissory note of the person exercising the Award to the Company or SMTC Canada, as applicable, payable on such terms as are specified by the Administrator, (iii) by
delivery of an unconditional and irrevocable undertaking by a broker to deliver promptly to the Company or SMTC Canada, as applicable, sufficient funds to pay the exercise price, or (iv) by any combination of the foregoing permissible forms of
payment; and (b) where shares of Stock issued under an Award are part of an original issue of shares, the Award shall require an exercise price equal to at least the par value of such shares. 
  
 (4) Reload Awards. The Administrator
may provide that upon the exercise of an Award, either by payment of cash or (if permitted under Section 6.b.(3) above) through the tender of previously owned shares of Stock or Exchangeable Shares, the Participant or other person exercising the
Award will automatically receive a new Award of like kind covering a number of shares of Stock or Exchangeable Shares equal to the number of shares of Stock or Exchangeable Shares for which the first Award was exercised. 
  
 (5) ISOs. No ISO may be granted under
the Plan after June 30, 2010, but ISOs previously granted may extend beyond that date. 
  
 c. AWARDS NOT REQUIRING EXERCISE 
  
 (1) Restricted Stock. Awards of Restricted Stock and Unrestricted Stock may be made in return for either (A) services determined by the Administrator to have a value not less than the par value of
the Awarded shares of Stock, or (B) cash or other property having a value not less than the par value of the Awarded shares of Stock plus such additional amounts (if any) as the Administrator may determine payable in such combination and type of
cash, other property (of any kind) or services as the Administrator may determine. 
  
 (2) Exchangeable Shares. Awards of Exchangeable Shares may be made in return for either the fair equivalent of the
money that SMTC Canada would have received if the Awarded Exchangeable Shares had been issued for money, as applicable plus such additional amounts (if any) as the Administrator may determine payable in such combination and type of cash, other
property (of any kind) or services as the Administrator may determine. 
  
 SECTION 7. EFFECT OF CERTAIN TRANSACTIONS 
  
 a. MERGERS, ETC. 
  
 In the event of a Covered
Transaction, (i) all outstanding Awards shall vest and if relevant become exercisable and all deferrals, other than deferrals of amounts that are neither 

  

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measured by reference to nor payable in shares of Stock or Exchangeable Shares, shall be accelerated, immediately prior to the Covered Transaction and (ii)
upon consummation of such Covered Transaction all Awards then outstanding and requiring exercise shall be forfeited unless, in each case, such Awards and deferrals are assumed by an acquiring or surviving entity or its affiliate as provided in the
following sentence. In connection with any Covered Transaction in which there is an acquiring, a surviving entity or in which all or substantially all of the Company’s then outstanding common stock is acquired, the Administrator may provide for
substitute or replacement Awards from, or the assumption of Awards by, the Company, the acquiring or surviving entity or its affiliates, as applicable, any such substitution, replacement or assumption to be on such terms as the Administrator
determines. 
  
 b. CHANGES IN AND DISTRIBUTIONS WITH RESPECT TO
THE STOCK 
  
 (1) Basic
Adjustment Provisions. In the event of a stock dividend, stock split or combination of shares, recapitalization or other change in the Company’s and/or SMTC Canada’s capital structure, the Administrator will make appropriate
adjustments to the maximum number of shares that may be delivered under the Plan under Section 4.a. and to the maximum share limits described in Section 4.b., and will also make appropriate adjustments to the number and kind of shares of stock or
securities subject to Awards then outstanding or subsequently granted, any exercise prices relating to Awards and any other provision of Awards affected by such change. 
  
 (2) Certain Other Adjustments. The Administrator may also make adjustments of the type
described in paragraph (1) above to take into account distributions to the Company’s common stockholders other than those provided for in Section 7.a. and 7.b.(1), or any other event, if the Administrator determines that adjustments are
appropriate to avoid distortion in the operation of the Plan and to preserve the value of Awards made hereunder; provided, that no such adjustment shall be made to the maximum share limits described in Section 4.c. or 4.d., or otherwise to an
Award intended to be eligible for the performance-based exception under Section 162(m), except to the extent consistent with that exception, nor shall any change be made to ISOs except to the extent consistent with their continued qualification
under Section 422 of the Code. 
  
 (3)
Continuing Application of Plan Terms. References in the Plan to shares of Stock shall be construed to include any stock or securities resulting from an adjustment pursuant to Section 7.b.(1) or 7.b.(2) above. 
  
 SECTION 8. LEGAL CONDITIONS ON DELIVERY OF SHARES 
  
 Neither the Company nor SMTC Canada will be obligated to deliver any shares
of Stock or Exchangeable Shares pursuant to the Plan or to remove any restriction from shares of Stock or Exchangeable Shares previously delivered under the Plan until the Company’s counsel has approved all legal matters in connection with the
issuance and delivery of such shares; if the outstanding Stock or Exchangeable Shares, as applicable, are at the time of delivery listed on any stock exchange or national market system, the shares to be delivered have been listed or authorized to be
listed on such exchange or system upon official notice of issuance; and all 

  

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conditions of the Award have been satisfied or waived. If the sale of Stock has not been registered under the Securities Act of 1933, as amended, the Company
may require, as a condition to exercise of the Award, such representations or agreements as counsel for the Company may consider appropriate to avoid violation of such Act. The Company may require that certificates evidencing Stock or Exchangeable
Shares issued under the Plan bear an appropriate legend reflecting any restriction on transfer applicable to such shares. 
  
 SECTION 9. AMENDMENT AND TERMINATION 
  
 Subject to the last sentence of the first paragraph of Section 3 and to the requirements of the TSE, the Administrator may at any time or times amend the
Plan or any outstanding Award for any purpose which may at the time be permitted by law, or may at any time terminate the Plan as to any further grants of Awards; provided, that (except to the extent expressly required or permitted by the
Plan) no such amendment will, without the approval of the stockholders of the Company, effectuate a change for which stockholder approval is required in order for the Plan to continue to qualify under Section 422 of the Code and for Awards to be
eligible for the performance-based exception under Section 162(m). The Plan shall terminate on the 10th anniversary
of the date it is adopted in this form. 
  
 SECTION 10. NON-LIMITATION OF
RIGHTS 
  
 The existence of the Plan or the grant of any
Award shall not in any way affect the Company’s or SMTC Canada’s right to Award a person bonuses or other compensation in addition to Awards under the Plan. 
  
 SECTION 11. GOVERNING LAW 
  
 The Plan shall be construed in accordance with the laws of the State of Delaware. 
  

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 EXHIBIT A 
  

Definition of Terms 
  
 The following terms, when used in the Plan, shall have the meanings and be subject to the provisions set forth below: 
  
 “Administrator”: The Board or, if one or more has been
appointed, the Committee. 
  
 “Affiliate”: Any
corporation or other entity owning, directly or indirectly, 50% or more of the outstanding Stock of the Company, or in which the Company or any such corporation or other entity owns, directly or indirectly, 50% of the outstanding capital stock
(determined by aggregate voting rights) or other voting interests. 
  
 “Award”: Any or a combination of the following: 
  
 (i) Stock Options. 
  
 (ii) SARs. 
  
 (iii) Restricted Stock.

  
 (iv) Unrestricted Stock or Exchangeable
Shares. 
  
 (v) Deferred Stock. 
  
 (vi) Securities (other than Stock Options) that are
convertible into or exchangeable for Stock or Exchangeable Shares on such terms and conditions as the Administrator determines. 
  
 (vii) Cash Performance Awards. 
  
 (viii) Performance Awards. 
  
 (ix) Grants of cash, or loans, made in connection with other Awards in order to help defray in whole or in part the economic cost
(including tax cost) of the Award to the Participant. 
  
 “Board”: The Board of Directors of the Company. 
  
 “Cash Performance Award”: A Performance Award payable in cash. The right of the Company under Section 6.a.(3) to extinguish an Award in exchange for cash or the exercise by the Company of such right
shall not make an Award otherwise not payable in cash a Cash Performance Award. 
  
 “Code”: The U.S. Internal Revenue Code of 1986 as from time to time amended and in effect, or any successor statute as from time to time in effect. 
  

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 “Committee”: One or more committees of the Board which in the case of Awards granted to
officers of the Company shall be comprised solely of two or more outside directors within the meaning of Section 162(m). Any Committee may delegate ministerial tasks to such persons (including Employees) as it deems appropriate. 
  
 “Company”: SMTC Corporation. 
  
 “Covered Transaction”: Any of (i) a consolidation or merger
in which the Company is not the surviving corporation or which results in the acquisition of all or substantially all of the Company’s then outstanding common stock by a single person or entity or by a group of persons and/or entities acting in
concert, (ii) a sale or transfer of all or substantially all the Company’s assets, or (iii) a dissolution or liquidation of the Company. 
  
 “Deferred Stock”: A promise to deliver Stock, Exchangeable Shares or other securities in the future on specified terms. 
  
 “Employee”: Any person who is employed by the Company or an
Affiliate. 
  
 “Exchangeable Share”: Non-voting
exchangeable shares of SMTC Canada. 
  
 “ISO”: A
Stock Option intended to be an “incentive stock option” within the meaning of Section 422 of the Code. No Stock Option Awarded under the Plan will be an ISO unless the Administrator expressly provides for ISO treatment. 
  
 “Participant”: An Employee, director or other person
providing services to the Company or its Affiliates who is granted an Award under the Plan. 
  
 “Performance Award”: An Award subject to Performance Criteria. The Committee in its discretion may grant Performance Awards that are intended to qualify for the performance-based compensation
exception under Section 162(m) and Performance Awards that are not intended so to qualify. 
  
 “Performance Criteria”: Specified criteria the satisfaction of which is a condition for the exercisability, vesting or full enjoyment of an Award. For purposes of Performance Awards that are intended
to qualify for the performance-based compensation exception under Section 162(m), a Performance Criterion shall mean an objectively determinable measure of performance relating to any one or more of the following (determined either on a consolidated
basis or, as the context permits, on a divisional, subsidiary, line of business, project or geographical basis or in combinations thereof): (i) sales; revenues; assets; expenses; earnings before or after deduction for all or any portion of interest,
taxes, depreciation, amortization or other items, whether or not on a continuing operations or an aggregate or per share basis; return on equity, investment, capital or assets; one or more operating ratios; borrowing levels, leverage ratios or
credit rating; market share; capital expenditures; cash flow; stock price; stockholder return; network deployment; sales of particular products or services; customer acquisition, expansion and retention; or any combination of the foregoing; or (ii)
acquisitions and divestitures (in whole or in part); joint ventures and strategic alliances; spin-offs, split-ups and the like; reorganizations; 

  

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recapitalizations, restructurings, financings (issuance of debt or equity) and refinancings; transactions that would constitute a change of control; or any
combination of the foregoing. A Performance Criterion measure and targets with respect thereto determined by the Administrator need not be based upon an increase, a positive or improved result or avoidance of loss. 
  
 “Plan”: SMTC Corporation/SMTC Manufacturing Corporation of
Canada 2000 Equity Incentive Plan as from time to time amended and in effect. 
  
 “Restricted Stock”: An Award of Stock subject to restrictions requiring that such Stock be redelivered to the Company if specified conditions are not satisfied. 
  
 “Section 162(m)”: Section 162(m) of the Code. 
  
 “SARs”: Rights entitling the holder upon exercise to receive
cash, Stock or Exchangeable Shares, as the Administrator determines, equal to a function (determined by the Administrator using such factors as it deems appropriate) of the amount by which the Stock or Exchangeable Shares, as applicable, have
appreciated in value since the date of the Award. 
  
 “SMTC Canada”: SMTC Manufacturing Corporation of Canada. 
  
 “SMTC Canada Board”: The Board of Directors of SMTC Canada. 
  
 “Stock”: Common Stock of the Company, par value $ .01 per share. 
  
 “Stock Options”: Options entitling the recipient to acquire shares of Stock or Exchangeable Shares, as
applicable, upon payment of the exercise price. 
  
 “TSE”: The Toronto Stock Exchange. 
  
 “Unrestricted Stock”: An Award of Stock not subject to any restrictions under the Plan. 
  

 -11-GUARANTEE BY SMTC MANUFACTURING CORP. OF CALIFORNIA DATED JUNE 1, 2004

 Exhibit 10.48 
  
 GUARANTEE 
  
 June 1, 2004 
  
 Congress Financial Corporation (Central) 
 150 South Wacker Drive, Suite 2200 
 Chicago, Illinois 60606 
  

	Re:	SMTC Manufacturing Corporation of California, SMTC Manufacturing Corporation of Wisconsin, SMTC Manufacturing Corporation of Massachusetts and SMTC Mex Holdings, Inc.
(individually, a “Borrower” and collectively, the “Borrowers”) 

  
 Gentlemen: 
  
 Congress Financial
Corporation (Central) individually and as collateral agent (the “Lender”) has entered into certain financing arrangements with Borrowers and affiliates of Borrowers pursuant to which Lender may make loans and advances and provide
other financial accommodations to Borrowers and their affiliates as set forth in the loan agreement dated on or about the date hereof, by and among Lender, Borrowers and certain other loan parties (as the same now exists or may hereafter be amended,
modified, supplemented, extended, renewed, restated or replaced, the “Loan Agreement”) and the other agreements, documents and instruments referred to therein or at any time executed and/or delivered in connection therewith or
related thereto, including this Guarantee (all of the foregoing, including the Loan Agreement, as the same now exist or may hereafter be amended, modified, supplemented, extended, renewed, restated or replaced, being collectively referred to herein
as the “Financing Agreements”). 
  
 Due to the
close business and financial relationships between Borrowers, in consideration of the benefits which will accrue to SMTC MANUFACTURING CORPORATION OF CALIFORNIA (the “Guarantor”) and as an inducement for and in consideration of
Lender making loans and advances and providing other financial accommodations to Borrowers and their affiliates pursuant to the Loan Agreement and other Financing Agreements, Guarantor hereby agrees in favour of Lender as follows: 
  

	1.	Guarantee 

  

	 	(a)	Guarantor absolutely and unconditionally guarantees and agrees to be liable for the full and indefeasible payment and performance when due of the following (all of which are
collectively referred to herein as the “Guaranteed Obligations”): 

  

	 	(i)	 all obligations, liabilities and indebtedness of any kind, nature and description of each Borrower to Lender and/or its affiliates, including principal, interest,
charges, fees, costs and expenses, however evidenced, whether as principal, surety, endorser, guarantor or otherwise, whether 

  

	 	 
arising under the Loan Agreement and other Financing Agreements or otherwise, whether now existing or hereafter arising, whether arising before, during or
after the initial or any renewal term of the Loan Agreement or after the commencement of any case with respect to a Borrower and/or its affiliates under the United States Bankruptcy Code or any similar statute in any jurisdiction (the
“Insolvency Legislation”) (including, without limitation, the payment of interest and other amounts, which would accrue and become due but for the commencement of such case, whether or not such amounts are allowed or allowable in
whole or in part in any such case and including loans, interest, fees, charges and expenses related thereto and all other obligations of a Borrower and its affiliates or their respective successors to Lender arising after the commencement of such
case), whether direct or indirect, absolute or contingent, joint or several, due or not due, primary or secondary, liquidated or unliquidated, secured or unsecured, and however acquired by Lender; and 

  

	 	(ii)	all expenses (including, without limitation, attorneys’ fees and legal expenses) incurred by Lender in connection with the preparation, execution, delivery, recording,
administration, collection, liquidation, enforcement and defence of each Borrower’s and its affiliates’ obligations, liabilities and indebtedness as aforesaid to Lender, the rights of Lender in any collateral or under this Guarantee and
all other Financing Agreements or in any way involving claims by or against Lender directly or indirectly arising out of or related to the relationships between Borrowers and their affiliates, Guarantor or any other Obligor (as hereinafter defined)
and Lender, whether such expenses are incurred before, during or after the initial or any renewal term of the Loan Agreement or other Financing Agreements or after the commencement of any case with respect to Borrowers and/or their affiliates or
Guarantor under the Insolvency Legislation. 

  

	 	(b)	This Guarantee is a guaranty of payment and not of collection. Guarantor agrees that Lender need not attempt to collect any Guaranteed Obligations from Borrowers and/or their
affiliates or any other Obligor or to realize upon any collateral, but may require Guarantor to make immediate payment of all of the Guaranteed Obligations to Lender when due, whether by maturity, acceleration or otherwise, or at any time
thereafter. Lender may apply any amounts received in respect of the Guaranteed Obligations to any of the Guaranteed Obligations, in whole or in part (including attorneys’ fees and legal expenses incurred by Lender with respect thereto or
otherwise chargeable to Borrowers and their affiliates or Guarantor) and in such order as Lender may elect. 

  

	 	(c)	 Payment by Guarantor shall be made to Lender at the office of Lender from time to time, on demand, as Guaranteed Obligations become due. Guarantor shall make all
payments to Lender on the Guaranteed Obligations free and clear of, and without deduction or withholding for or on account of, any set-off, counterclaim, 

  

 - 2 - 

	 	 
defence, duties, taxes, levies, imposts, fees, deductions, withholding, restrictions or conditions of any kind. One or more successive or concurrent actions
may be brought hereon against Guarantor either in the same action in which a Borrower or its affiliates or any other Obligor is sued or in separate actions. In the event any claim or action, or action on any judgment, based on this Guarantee is
brought against Guarantor, Guarantor agrees not to deduct, set-off, or seek any counterclaim for or recoup any amounts which are or may be owed by Lender to Guarantor. 

  

	2.	Waivers and Consents 

  

	 	(a)	Notice of acceptance of this Guarantee, the making of loans and advances and providing other financial accommodations to Borrowers and their affiliates and presentment, demand,
protest, notice of protest, notice of non-payment or default and all other notices to which Borrowers and/or their affiliates or Guarantor is entitled are hereby waived by Guarantor. Guarantor also waives notice of and hereby consents to:

  

	 	(i)	any amendment, modification, supplement, extension, renewal, or restatement of the Loan Agreement and other Financing Agreements, including, without limitation, extensions of time
of payment of or increase or decrease in the amount of any of the Guaranteed Obligations, the interest rate, fees, other charges, or any collateral, and the guarantee made herein shall apply to the Loan Agreement and other Financing Agreements and
the Guaranteed Obligations as so amended, modified, supplemented, renewed, restated or extended, increased or decreased; 

  

	 	(ii)	the taking, exchange, surrender and releasing of collateral or guarantees now or at any time held by or available to Lender for the obligations of Borrowers and/or their affiliates
or any other party at any time liable on or in respect of the Guaranteed Obligations or who is the owner of any property which is security for the Guaranteed Obligations (individually, an “Obligor” and collectively, the
“Obligors”); 

  

	 	(iii)	the exercise of, or refraining from the exercise of any rights against a Borrower and/or its affiliates, Guarantor or any other Obligor or any collateral; 

 

	 	(iv)	the settlement, compromise or release of, or the waiver of any default with respect to, any of the Guaranteed Obligations; and 

  

	 	(v)	any financing by Lender of Borrowers under Section 364 of the United States Bankruptcy Code or consent to the use of cash collateral by Lender under Section 363 of the United States
Bankruptcy Code. 

  
 Guarantor agrees that the
amount of the Guaranteed Obligations shall not be diminished and the liability of Guarantor hereunder shall not be otherwise impaired or affected by any of the foregoing. 
  

 - 3 - 

	 	(b)	No invalidity, irregularity or unenforceability of all or any part of the Guaranteed Obligations shall affect, impair or be a defence to this Guarantee, nor shall any other
circumstance which might otherwise constitute a defence available to or legal or equitable discharge of a Borrower or its affiliates in respect of any of the Guaranteed Obligations, or Guarantor in respect of this Guarantee, affect, impair or be a
defence to this Guarantee. Without limitation of the foregoing, the liability of Guarantor hereunder shall not be discharged or impaired in any respect by reason of any failure by Lender to perfect or continue perfection of any lien or security
interest in any collateral or any delay by Lender in perfecting any such lien or security interest. As to interest, fees and expenses, whether arising before or after the commencement of any case with respect to a Borrower or its affiliates under
any Insolvency Legislation, Guarantor shall be liable therefor, even if a Borrower’s or its affiliates’ liability for such amounts does not, or ceases to, exist by operation of law. Guarantor acknowledges that Lender has not made any
representations to Guarantor with respect to Borrowers and/or their affiliates, any other Obligor or otherwise in connection with the execution and delivery by Guarantor of this Guarantee and Guarantor is not in any respect relying upon Lender or
any statements by Lender in connection with this Guarantee. 

  

	 	(c)	Guarantor hereby irrevocably and unconditionally waives and relinquishes all statutory, contractual, common law, equitable and all other claims against Borrowers and their
affiliates, any collateral for the Guaranteed Obligations or other assets of Borrowers and their affiliates or any other Obligor, for subrogation, reimbursement, exoneration, contribution, indemnification, set-off or other recourse in respect to
sums paid or payable to Lender by Guarantor hereunder and Guarantor hereby further irrevocably and unconditionally waives and relinquishes any and all other benefits which Guarantor might otherwise directly or indirectly receive or be entitled to
receive by reason of any amounts paid by or collected or due from Guarantor, Borrowers and/or their or any other Obligor upon the Guaranteed Obligations or realized from their property. 

  

	 	(d)	Notwithstanding anything to the contrary contained herein, the amount of the obligations payable by Guarantor under this Guarantee shall be the aggregate amount of the Guaranteed
Obligations unless a court of competent jurisdiction adjudicates Guarantor’s obligations to be invalid, avoidable or unenforceable for any reason (including, without limitation, because of any applicable state or federal law relating to
fraudulent conveyances or transfers), in which case the amount of the Guaranteed Obligations payable by Guarantor hereunder shall be limited to the maximum amount that could be guaranteed by Guarantor without rendering Guarantor’s obligations
under this Guarantee invalid, avoidable or unenforceable under such applicable law. 

  

	3.	Subordination. Payment of all amounts now or hereafter owed to Guarantor by a Borrower or its affiliates or any other Obligor is hereby subordinated in right of payment to
the indefeasible payment in full to Lender of the Guaranteed Obligations and all such amounts and any security and guarantees therefor are hereby assigned to Lender as security for the Guaranteed Obligations. 

  

 - 4 - 

	4.	Acceleration. Notwithstanding anything to the contrary contained herein or any of the terms of any of the other Financing Agreements, the liability of Guarantor for the
entire Guaranteed Obligations shall mature and become immediately due and payable, even if the liability of a Borrower or any other Obligor therefor does not, upon the occurrence of any act, condition or event which constitutes an Event of Default
(as such term is defined in the Loan Agreement). 

  

	5.	Account Stated. The books and records of Lender showing the account between Lender and Borrowers shall be admissible in evidence in any action or proceeding against or
involving Guarantor as prima facie proof of the items therein set forth, and the monthly statements of Lender rendered to a Borrower, to the extent to which no written objection is made within thirty (30) days from the date of sending thereof
to such Borrower, shall be deemed conclusively correct and constitute an account stated between Lender and such Borrower and be binding on Guarantor. 

  

	6.	Termination. This Guarantee is continuing, unlimited, absolute and unconditional. All Guaranteed Obligations shall be conclusively presumed to have been created in reliance
on this Guarantee. Guarantor shall continue to be liable hereunder until one of Lender’s officers actually receives a written termination notice from Guarantor sent to Lender at its address set forth above by certified mail (return receipt
requested) and thereafter as set forth below. Revocation or termination hereof by Guarantor shall not affect, in any manner, the rights of Lender or any obligations or duties of Guarantor under this Guarantee with respect to:

  

	 	(a)	Guaranteed Obligations which have been created, contracted, assumed or incurred prior to the receipt by Lender of such written notice of revocation or termination as provided
herein, including, without limitation: 

  

	 	(i)	all amendments, extensions, renewals and modifications of such Guaranteed Obligations (whether or not evidenced by new or additional agreements, documents or instruments executed on
or after such notice of revocation or termination); 

  

	 	(ii)	all interest, fees and similar charges accruing or due on and after revocation or termination; and 

  

	 	(iii)	all attorneys’ fees and legal expenses, costs and other expenses paid or incurred on or after such notice of revocation or termination in attempting to collect or enforce any
of the Guaranteed Obligations against a Borrower or its affiliates, Guarantor or any other Obligor (whether or not suit be brought); or 

  

	 	(b)	 Guaranteed Obligations which have been created, contracted, assumed or incurred after the receipt by Lender of such written notice of revocation or termination as
provided herein pursuant to any contract entered into by Lender prior to receipt of such notice. The sole effect of such revocation or termination by Guarantor shall be to exclude from this Guarantee the liability of Guarantor for those Guaranteed

  

 - 5 - 

	 	 
Obligations arising after the date of receipt by Lender of such written notice which are unrelated to Guaranteed Obligations arising or transactions entered
into prior to such date. Without limiting the foregoing, this Guarantee may not be terminated and shall continue so long as the Loan Agreement shall be in effect (whether during its original term or any renewal, substitution or extension thereof).

  

	7.	Reinstatement. If after receipt of any payment of, or proceeds of collateral applied to the payment of, any of the Guaranteed Obligations, Lender is required to surrender or
return such payment or proceeds to any Person for any reason, then the Guaranteed Obligations intended to be satisfied by such payment or proceeds shall be reinstated and continue and this Guarantee shall continue in full force and effect as if such
payment or proceeds had not been received by Lender. Guarantor shall be liable to pay to Lender, and does indemnify and hold Lender harmless for the amount of any payments or proceeds surrendered or returned. This Section 7 shall remain effective
notwithstanding any contrary action which may be taken by Lender in reliance upon such payment or proceeds. This Section 7 shall survive the termination or revocation of this Guarantee. 

  

	8.	Amendments and Waivers. Neither this Guarantee nor any provision hereof shall be amended, modified, waived or discharged orally or by course of conduct, but only by a written
agreement signed by an authorized officer of Lender. Lender shall not by any act, delay, omission or otherwise be deemed to have expressly or impliedly waived any of its rights, powers and/or remedies unless such waiver shall be in writing and
signed by an authorized officer of Lender. Any such waiver shall be enforceable only to the extent specifically set forth therein. A waiver by Lender of any right, power and/or remedy on any one occasion shall not be construed as a bar to or waiver
of any such right, power and/or remedy which Lender would otherwise have on any future occasion, whether similar in kind or otherwise. 

  

	9.	Corporate Existence, Power and Authority. Guarantor is a corporation duly organized and in good standing under the laws of its state or other jurisdiction of incorporation
and is duly qualified as a foreign corporation and in good standing in all states or other jurisdictions where the nature and extent of the business transacted by it or the ownership of assets makes such qualification necessary, except for those
jurisdictions in which the failure to so qualify would not have a material adverse effect on its financial condition, results of operation or businesses or the rights of Lender hereunder or under the Loan Agreement and other Financing Agreements.
The execution, delivery and performance of this Guarantee is within the corporate powers of Guarantor, have been duly authorized and are not in contravention of law or the terms of the certificates of incorporation, by-laws, or other organizational
documentation of Guarantor, or any indenture, agreement or undertaking to which Guarantor is a party or by which Guarantor or its property are bound. This Guarantee constitutes the legal, valid and binding obligation of Guarantor enforceable in
accordance with its terms. Guarantor shall be bound hereby whether or not any other person signs this Guarantee at any time. 

  

 - 6 - 

	10.	Governing Law; Choice of Forum; Service of Process; Jury Trial Waiver 

  

	 	(a)	The validity, interpretation and enforcement of this Guarantee and any dispute arising out of the relationship between Guarantor and Lender, whether in contract, tort, equity or
otherwise, shall be governed by the internal laws of the State of Illinois but excluding any principles of conflicts of law or other rule of law that would result in the application of the law of any jurisdiction other than the laws of the State of
Illinois. 

  

	 	(b)	Guarantor hereby irrevocably consents and submits to the non-exclusive jurisdiction of the Circuit Court of Cook County, Illinois and the United States District Court for the
Northern District of Illinois, whichever Lender elects, and waives any objection based on venue or forum non conveniens with respect to any action instituted therein arising under this Guarantee or any of the other Financing Agreements or in
any way connected with or related or incidental to the dealings of Guarantor and Lender in respect of this Guarantee or any of the other Financing Agreements or the transactions related hereto or thereto, in each case whether now existing or
hereafter arising and whether in contract, tort, equity or otherwise, and agrees that any dispute arising out of the relationship between Guarantor, Borrowers or their affiliates or any Obligor and Lender or the conduct of any such persons in
connection with this Guarantee, the other Financing Agreements or otherwise shall be heard only in the courts described above (except that Lender shall have the right to bring any action or proceeding against Guarantor or its property in the courts
of any other jurisdiction which Lender deems necessary or appropriate in order to realize on any collateral at any time granted by a Borrower or its affiliates or Guarantor to Lender or to otherwise enforce its rights against Guarantor or its
property). 

  

	 	(c)	Guarantor hereby waives personal service of any and all process upon it and consents that all such service of process may be made by certified mail (return receipt requested)
directed to its address set forth on the signature pages hereof and service so made shall be deemed to be completed five (5) days after the same shall have been so deposited in the US mails, or, at Lender’s option, by service upon Guarantor in
any other manner provided under the rules of any such courts. Within thirty (30) days after such service, Guarantor shall appear in answer to such process, failing which Guarantor shall be deemed in default and judgment may be entered by Lender
against Guarantor for the amount of the claim and other relief requested. 

  

	 	(d)	 GUARANTOR HEREBY WAIVES ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION (i) ARISING UNDER THIS GUARANTEE OR ANY OF THE OTHER FINANCING
AGREEMENTS OR (ii) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF GUARANTOR AND LENDER IN RESPECT OF THIS GUARANTEE OR ANY OF THE OTHER FINANCING AGREEMENTS OR THE TRANSACTIONS RELATED HERETO OR THERETO, IN EACH CASE WHETHER
NOW EXISTING OR HEREAFTER 

  

 - 7 - 

	 	 
ARISING, AND WHETHER IN CONTRACT, TORT, EQUITY OR OTHERWISE. GUARANTOR HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE OF ACTION
SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY AND THAT GUARANTOR OR LENDER MAY FILE AN ORIGINAL COUNTERPART OF A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF GUARANTOR AND LENDER TO THE WAIVER OF THEIR RIGHT TO TRIAL
BY JURY. 

  

	 	(e)	Lender shall not have any liability to Guarantor (whether in tort, contract, equity or otherwise) for losses suffered by Guarantor in connection with, arising out of, or in any way
related to the transactions or relationships contemplated by this Guarantee, or any act, omission or event occurring in connection herewith, unless it is determined by a final and non-appealable judgment or court order binding on Lender that the
losses were the result of acts or omissions constituting gross negligence or wilful misconduct. In any such litigation, Lender shall be entitled to the benefit of the rebuttable presumption that it acted in good faith and with the exercise of
ordinary care in the performance by it of the terms of the Financing Agreements. 

  

	11.	Judgment Currency. To the extent permitted by applicable law, the obligations of Guarantor in respect of any amount due under this Agreement and other Financing Agreements to
which Guarantor is a party shall, notwithstanding any payment in any other currency (the “Other Currency”) (whether pursuant to judgment or otherwise), be discharged only to the extent of the amount in the currency in which it is
due (the “Agreed Currency”) that Lender may, in accordance with normal banking procedures, purchase with the sum paid in the Other Currency (after any premium and costs of exchange) on the business day immediately after the day on
which Lender receives the payment. If the amount in the Agreed Currency that may be so purchased for any reason falls short of the amount originally due, Guarantor shall pay all additional amounts, in the Agreed Currency, as may be necessary to
compensate for the shortfall. Any obligation of Guarantor not discharged by that payment shall, to the extent permitted by applicable law, be due as a separate and independent obligation and, until discharged as provided in this Section, continue in
full force and effect. 

  

	12.	Notices. All notices, requests and demands hereunder shall be in writing and: 

  

	 	(a)	made to Lender at its address set forth above and to Guarantor at its chief executive office set forth below, or to such other address as either party may designate by written
notice to the other in accordance with this provision; and 

  

	 	(b)	deemed to have been given or made: if delivered in person, immediately upon delivery; if by telex, telegram or facsimile transmission, immediately upon sending and upon confirmation
of receipt; if by nationally recognized overnight courier service with instructions to deliver the next business day, one (1) business day after sending; and if by certified mail (return receipt requested) five (5) days after mailing.

  

 - 8 - 

	13.	Partial Invalidity. If any provision of this Guarantee is held to be invalid or unenforceable, such invalidity or unenforceability shall not invalidate this Guarantee as a
whole, but this Guarantee shall be construed as though it did not contain the particular provision held to be invalid or unenforceable and the rights and obligations of the parties shall be construed and enforced only to such extent as shall be
permitted by applicable law. 

  

	14.	Entire Agreement. This Guarantee represents the entire agreement and understanding of the parties concerning the subject matter hereof, and supersedes all other prior
agreements, understandings, negotiations and discussions, representations, warranties, commitments, proposals, offers and contracts concerning the subject matter hereof, whether oral or written. 

  

	15.	Successors and Assigns. This Guarantee shall be binding upon Guarantor and its successors and assigns and shall inure to the benefit of Lender and its successors, endorsees,
transferees and assigns. The liquidation, dissolution or termination of Guarantor shall not terminate this Guarantee as to such entity or as to any other guarantor. 

  

	16.	Construction. All references to the term “Guarantor” wherever used herein shall mean Guarantor and its successors and assigns (including, without limitation,
any receiver, trustee or custodian for Guarantor or of its assets or Guarantor in its capacity as debtor or debtor-in-possession under the Insolvency Legislation). All references to the term “Lender” wherever used herein shall mean
Lender and its successors and assigns and all references to the term “Borrowers” or “affiliates” wherever used herein shall mean each Borrower and affiliate and their respective successors and assigns (including,
without limitation, any receiver, trustee or custodian for Borrowers or affiliates or any of their assets or Borrowers or affiliates in their capacities as debtor or debtor-in-possession under the Insolvency Legislation). All references to the term
“Person” or “person” wherever used herein shall mean any individual, sole proprietorship, partnership, limited partnership, corporation, limited liability company, business trust, unincorporated association, joint
stock corporation, trust, joint venture or other entity or any government or any agency or instrumentality or political subdivision thereof. All references to the plural shall also mean the singular and to the singular shall also mean the plural.

  

	17.	Acknowledgement. Guarantor acknowledges receipt of a copy of this Guarantee. 

  

	18.	Facsimile. This Guarantee may be executed and delivered by facsimile transmission and Lender may rely on all such facsimile signatures as though such facsimile signatures
were original signatures. 

  

 - 9 - 

 IN WITNESS WHEREOF, Guarantor has executed and delivered this Guarantee as of the day and year first above
written. 
  

									
	 ATTEST:
	 	 	 	 SMTC MANUFACTURING
 CORPORATION OF
CALIFORNIA

				
	 	 	 	 	 By:
	 	 /s/ John Caldwell

					
	 	 	 	 	 	 	 Title:
	 	 President

			
	 ATTEST:
	 	 	 	 
				
	 	 	 	 	By:	 	 
					
	 	 	 	 	 	 	 Title:
	 	 
			
	 [CORPORATE SEAL]
	 	 	 	 
			
	 	 	 	 	 Chief Executive Office:

			
	 	 	 	 	 2302 Trade Zone Boulevard
 San Jose, California
 95131
 Fax: (408) 934-7101

  

 - 10 -

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