Document:

Exhibit 10.1

    

      Exhibit
        10.1

      

      CONSENT
        AND WAIVER AGREEMENT AND

      AMENDMENT
        NO. 7

      TO
        LOAN AND SECURITY AGREEMENT

      

       

      CONSENT
        AND WAIVER AGREEMENT AND AMENDMENT NO. 7 TO LOAN AND SECURITY AGREEMENT,
        dated
        as of September 22, 2005 (this “Agreement”),
        by
        and among MATRIA WOMEN’S AND CHILDREN’S HEALTH, LLC, a Delaware limited
        liability company (together with its permitted successors and assigns,
“Parent”)
        and by
        conversion from Matria Women’s and Children’s Health, Inc. (“Immediate
        Predecessor”)
        successor by merger to Matria Healthcare, Inc., a Delaware corporation (together
        with the Immediate Predecessor, “Former
        Parent”),
        DIABETES ACQUISITION, INC., a Georgia corporation (together with its permitted
        successors and assigns, “DAI”),
        GAINOR MEDICAL ACQUISITION COMPANY, a Georgia corporation (together with
        its
        permitted successors and assigns, “Gainor”),
        DIABETES MANAGEMENT SOLUTIONS, INC., a Delaware corporation (together with
        its
        permitted successors and assigns, “DMS”),
        DIABETES SELF CARE, INC., a Virginia corporation (together with its permitted
        successors and assigns, “DSC”),
        MATRIA LABORATORIES, INC., a Delaware corporation (together with its permitted
        successors and assigns, “MLI”),
        FACET
        TECHNOLOGIES, LLC, a Georgia limited liability company (together with its
        permitted successors and assigns, “Facet”),
        MATRIA OF NEW YORK, INC., a New York corporation (together with its permitted
        successors and assigns, “MNY”),
        MATRIA HEALTHCARE OF ILLINOIS, INC., a Georgia corporation (together with
        its
        permitted successors and assigns, “MII”),
        QUALITY ONCOLOGY, INC., a Delaware corporation (together with its permitted
        successors and assigns, “QO”)
        (Parent, DAI, Gainor, DMS, DSC, MLI, Facet, MNY, MII and QO, each individually
        a
“Borrower”
and
        jointly and severally, the “Borrowers”),
        Parent, in its capacity as authorized representative of the Borrowers
        (“Authorized
        Representative”),
        and
        HFG HEALTHCO-4, LLC, a Delaware limited liability company (together with
        its
        successors and assigns, the “Lender”).

       

      W
        I T N E
        S S E T H

       

      WHEREAS,
        the Borrowers, Former Parent, in its capacity as the authorized representative
        of the Borrowers, and the Lender are parties to that certain Loan and Security
        Agreement, dated as of October 22, 2002 (including all annexes, exhibits
        and schedules thereto, and as amended, restated, supplemented or otherwise
        modified from time to time,
        the
        “Loan
        and Security Agreement”);

       

      WHEREAS,
        Former Parent, Matria Healthcare, Inc., a Delaware corporation formerly known
        as
        Matria Holding Company, Inc. (together with its permitted successors and
        assigns, “Holdco”),
        and
        Matria MergerSub, Inc., a Delaware corporation (“MergerSub”),
        are
        party to that certain Agreement of Merger and Plan of Reorganization dated
        as of
        December 31, 2004 (the “Merger
        Agreement”),
        pursuant to which Former Parent created a new holding company structure by
        (a)
        merging MergerSub with and into Former Parent and (b) converting the outstanding
        capital stock of Former Parent into a like number of shares of capital stock
        of
        Holdco, with the result being that Former Parent became a wholly-owned
        subsidiary of Holdco, all on the terms of and subject to the conditions of
        the
        Merger Agreement;

       

      
        
          
          

        

        
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      WHEREAS,
        pursuant to the terms of the Merger Agreement, Former Parent changed its
        name to
“Matria Women’s and Children’s Health, Inc.” and subsequently converted from a
        Delaware corporation to a Delaware limited liability company, “Matria Women’s
        and Children’s Health, LLC” (the “Conversion”);

       

      WHEREAS,
        pursuant to the terms of the Merger Agreement, Matria Health Enhancement
        Company, a Delaware corporation, formerly known as Clinical-Management Systems,
        Inc. (together with its successors and assigns, “MHE”)
        changed its name from “Clinical-Management Systems, Inc.” to “Matria Health
        Enhancement Co.” and subsequently changed its domicile from Georgia to Delaware
        under the name “Matria Health Enhancement Company” (the “HED
        Name Change”);
        

       

      WHEREAS,
        pursuant to the terms of the Merger Agreement, Parent shall (i) contribute
        to
        Holdco all of the issued and outstanding stock or membership interests, as
        applicable, of its direct, wholly-owned subsidiaries DAI, MHE, Matria Insurance,
        Ltd., a Vermont corporation, Shared Care, Inc., a Georgia corporation, and
        Facet, (ii) cause DAI to contribute to Facet the outstanding capital stock
        of
        Facet Technologies Limited, a corporation organized under the laws of the
        United
        Kingdom, (iii) contribute to MHE all of the outstanding capital stock of
        QO, and
        (iv) contribute to Holdco its 35% stock ownership interest in Matria Holding
        GmbH, a company organized under the laws of Germany (the “Inter-Company
        Transfers”);

       

      WHEREAS,
        pursuant to the terms of the Merger Agreement, Parent shall transfer and
        assign
        to MHE all of the disease management contracts to which Parent is a party
        (the
“Assignment
        and Assumption”);

       

      WHEREAS,
        pursuant to the terms of the Merger Agreement, Parent shall cause Q Liquidation
        Corp., a Delaware corporation and MarketRing.com, Inc., a Georgia corporation
        to
        merge with and into Shared Care, Inc., in accordance with Section 252 of
        the
        DGCL and Section 14-2-1104 of the Georgia Business Corporation Code, as
        applicable;

       

      WHEREAS,
        pursuant to the terms of the Merger Agreement, Holdco shall cause DMS to
        transfer all of the assets exclusively used in the operations of its Options
        Unlimited division to Matria Case Management, Inc., a New York corporation
        and
        direct, wholly-owned subsidiary of MHE;

       

      WHEREAS,
        the consummation of the transactions contemplated hereby would be in violation
        of the Loan and Security Agreement, and Lender has agreed to consent to the
        consummation of such transactions and waive certain Defaults and Events of
        Default solely to the extent set forth herein; and

       

      WHEREAS,
        the
        parties to the Agreement have agreed to amend the Loan and Security Agreement
        as
        described herein.

       

      NOW
        THEREFORE, in consideration of the premises and for other good and valuable
        consideration, the receipt, adequacy and sufficiency of which are hereby
        acknowledged, the Borrowers, the Authorized Representative and the Lender
        hereby
        agree as follows:

      
        
          
          

        

        
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      1.  Definitions.
        Capitalized terms not otherwise defined herein shall have the meanings ascribed
        to them in the Loan and Security Agreement.

       

      2.  Consents.
        As of
        the Agreement Effective Date (as hereinafter defined), the Lender hereby
        consents, pursuant to Section 6.01 of the Loan and Security Agreement and
        notwithstanding anything set forth to the contrary in clauses (b) (solely
        with
        respect to the final sentence thereof, to the extent that such clause (b)
        requires Parent to provide the Lender with 30 days’ prior Written Notice of
        Parent changing its name from “Matria Women’s and Children’s Health, Inc.” to
“Matria Women’s and Children’s Health, LLC”), (g), (r), (w) and (z) of Exhibit
        IV and clauses (m), (v) and (y) of Exhibit V to the Loan and Security Agreement,
        to Parent, Holdco and the Borrowers party to the Inter-Company Transfers
        consummating the transactions contemplated by the Merger Agreement, the
        Assumption and Assignment, the Conversion, the HED Name Change and the
        Inter-Company Transfers (collectively, the “Subject
        Transactions”).
        

       

      3.  Waiver
        Upon the
        Agreement Effective Date, the Lender hereby agrees to waive any Default or
        Event
        of Default arising pursuant to a breach of the covenant set forth in the
        final
        sentence of clause (b) of Exhibit IV of the Loan and Security Agreement,
        solely
        to the extent that such breach arises with respect to Parent failing to provide
        the Lender with 30 days’ prior Written Notice of Parent changing its name from
“Matria Women’s and Children’s Health, Inc.” to “Matria Women’s and Children’s
        Health, LLC”.

       

      4.  Amendments
        to Loan and Security Agreement.
        Notwithstanding the delivery of any Written Notice by any Borrower or the
        Authorized Representative to the effect that the Borrowers do not intend
        to
        extend the term of the Loan and Security Agreement beyond the Scheduled Maturity
        Date in effect immediately prior to the effectiveness of this Agreement,
        the
        parties hereto agree to amend the Loan and Security Agreement as
        follows:

       

      a.  Section
        6.06(a) of the Agreement is amended by deleting the date “October 21, 2005”
therein and substituting in lieu thereof the date “October 21,
        2006”.

       

      b.  Section
        6.06(c) of the Agreement is amended in its entirety to read as
        follows:

       

      (c)
        The
        Borrowers may terminate this Agreement at any time prior to the Maturity
        Date by
        providing one days’
        prior Written Notice to the Lender, subject to payment in full of all Lender
        Debt, if any, including all applicable fees, charges, premiums and costs,
        all as
        provided hereunder, and in the event of such occurrence, the Revolving
        Commitment shall be deemed to be terminated.

       

      c.  The
        definition of “Scheduled Maturity Date” in Exhibit I to the Loan and Security
        Agreement is amended in its entirety to read as follows:

       

      “Scheduled
        Maturity Date”
means
        October 21, 2006, as such date may be extended thereafter in accordance with
        Section 6.06(a).

       

      d.  The
        definition of “Early Termination Fee” in Exhibit I to the Loan and Security
        Agreement is amended in its entirety to read as follows:

       

      
        
          
          

        

        
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      “Early
        Termination Fee”
shall
        mean an amount equal to the decrease in or termination of the Revolving
        Commitment multiplied by the applicable percentage below:

      

      
        	
                Period

              	
                Percentage

              
	
                From
                  October 22, 2003 until October 21, 2005

              	
                0.75%

              
	
                from
                  October 22, 2005 until the date immediately prior to the Scheduled
                  Maturity Date

              	
                0.00%

              

      

      

      5.  Post-Closing
        Obligations
        As a
        condition to the Lender granting the foregoing consents and waiver, the
        Borrowers and the Authorized Representative hereby agree that, prior to the
        advance of any Revolving Advance on or after the date hereof, in addition
        to
        satisfying the conditions set forth in the Loan and Security Agreement, the
        Borrowers and the Authorized Representative shall have delivered to the Lender
        an executed amendment to the Loan and Security Agreement effecting such
        modifications to the Loan and Security Agreement relating to the Subject
        Transactions as the Lender shall require, and shall have executed and delivered
        such other agreements, opinions, lien searches, financing statements, account
        control agreements, instruments, documents and information as the Lender
        may
        request, in form and substance satisfactory to the Lender.

       

      6.  Confirmation
        and Reaffirmation of Obligations.
        Without
        affecting in any way any provisions of the Documents pursuant to which the
        obligations of the Borrowers thereunder are agreed to be absolute and
        unconditional irrespective of any amendment thereof:

       

      a.  Parent
        hereby confirms and agrees that, notwithstanding (i) the consummation of
        the
        transactions contemplated by the Merger Agreement, including the Conversion,
        and
        (ii) the effectiveness of this Agreement, each of the Documents which Parent
        or
        Former Parent has heretofore executed and delivered, and the obligations
        of
        Parent thereunder, are, and shall continue to be, in full force and effect
        and
        shall apply to the Documents as amended hereby, and each of such Documents
        is
        hereby ratified and confirmed and such obligations are ratified and confirmed
        as
        obligations of Parent.

       

      b.  Without
        limiting the foregoing, Parent agrees that the security interests and rights
        of
        set-off granted by Parent and Former Parent pursuant to the Documents,
        including, without limitation, the Loan and Security Agreement and the Pledge
        Agreement -- Parent, are hereby ratified and reaffirmed by Parent in all
        respects and shall remain in full force and effect as continuing security
        interests and rights of set-off.

       

      c.  Each
        of
        the other Borrowers hereby confirms and agrees that:

       

      i. notwithstanding
        (x) the consummation of the Subject Transactions and (y) the effectiveness
        of
        this Agreement, each of the Documents and the obligations of such Borrowers
        thereunder, are, and shall continue to be, in full force and effect and shall
        apply to the Documents as amended hereby, and each of such Documents is hereby
        ratified and confirmed by such Borrower and such obligations are ratified
        and
        confirmed as obligations of such Borrower; 

      
        
          
          

        

        
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      ii. the
        security interests and rights of set-off granted by such Borrower pursuant
        to
        the Documents are hereby ratified and reaffirmed by such Borrower in all
        respects and shall remain in full force and effect as continuing security
        interests and rights of set-off; and

      

      iii. without
        limiting the foregoing, the indemnification obligations of the Borrowers
        described in Section 1.08, 1.09 and 6.06 of the Loan and Security Agreement
        are
        hereby ratified and confirmed by such Borrower and such obligations are ratified
        and confirmed as obligations of such Borrower.

      

      7.  Remedies.
        This
        Agreement shall constitute a Document. The breach by any Borrower of any
        representation, warranty, covenant or agreement in this Agreement shall
        constitute an immediate Event of Default hereunder and under the other
        Documents.

       

      8.  Representations
        and Warranties.
        To
        induce the Lender to enter into this Agreement, each Borrower, jointly and
        severally and giving effect to this Agreement, makes the following
        representations and warranties to the Lender:

       

      a.  The
        execution, delivery and performance by it of this Agreement and the performance
        of the Loan and Security Agreement, as amended hereby, the Documents and
        the
        other documents to be delivered by it hereunder and thereunder and the actions
        contemplated hereby and thereby, including, in the case of the parties thereto,
        the Merger Agreement, the Assumption and Assignment, the Transfer Agreements
        and
        each
        other document or instrument executed and delivered in connection therewith
        (i)
        are within its corporate or company powers, (ii) have been duly authorized
        by
        all necessary corporate or company action, (iii) do not contravene (1) its
        charter or its bylaws, or its operating agreement, as applicable, (2) any
        law,
        rule or regulation applicable to it, (3) the Indenture or any contractual
        restriction binding on or affecting it or its Property, or (4) any order,
        writ,
        judgment, award, injunction or decree binding on or affecting it or its
        Property, and (iv) do not result in or require the creation of any Lien upon
        or
        with respect to any of its Properties, other than in favor of the Lender
        pursuant to this Agreement, the Loan and Security Agreement, as amended hereby,
        or the Documents. This Agreement has been duly executed and delivered by
        it.

       

      b.  This
        Agreement, the Loan and Security Agreement, as amended hereby, and the Documents
        constitute the legal, valid and binding obligation of the Borrowers, enforceable
        against the Borrowers in accordance with their respective terms, except as
        limited by bankruptcy, insolvency, moratorium, fraudulent conveyance or other
        laws relating to the enforcement of creditors’ rights generally and general
        principles of equity (regardless of whether enforcement is sought at equity
        or
        law).

       

      c.  Except
        as
        expressly waived by Lender herein, no event has occurred and is continuing,
        or
        would result from the execution of this Agreement, that constitutes a Default
        or
        Event of Default.

       

      d.  After
        giving effect to this Agreement, the representations and warranties of each
        Borrower contained in the Loan and Security Agreement and each other Document
        are true and correct on and as of the Agreement Effective Date with the

       

      
        
          
          

        

        
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      same
        effect as if such representations and warranties had been made on and as
        of such
        date, except that any such representation or warranty which is expressly
        made
        only as of a specified date need be true only as of such date.

       

      9.  No
        Other Waivers or Consents.
        Except
        as expressly provided herein, the Loan and Security Agreement and the other
        Documents shall be unmodified and shall continue to be in full force and
        effect
        in accordance with their terms. In addition, except as specifically provided
        herein, this Agreement shall not be deemed a (i) waiver of any term or condition
        of any Document or (ii) consent to any deviation from the terms of the Loan
        and
        Security Agreement or any of the other Documents on the part of any Borrower,
        and shall not be deemed to prejudice any right or rights which the Lender
        may
        now have or may have in the future under or in connection with the Loan and
        Security Agreement or any other Document or any of the instruments or agreements
        referred to therein, as the same may be amended from time to time.

       

      10.  Effectiveness.
        This
        Agreement shall become effective as of the date first set forth above (the
        “Agreement
        Effective Date”)
        only
        upon satisfaction in full in the judgment of the Lender of each of the following
        conditions: 

       

      a.  The
        Lender shall have received copies by facsimile of duly executed signature
        pages
        of this Agreement from each Borrower, the Authorized Representative and the
        Lender.

       

      b.  The
        Lender shall have received all UCC-3 amendment statements as it shall deem
        necessary or reasonably desirable in order to correctly identify each of
        the
        Borrowers and correctly identify the collateral granted by each such Borrower,
        to be filed on or immediately prior to the Agreement Effective Date under
        the
        UCC.

       

      c.  The
        representations and warranties of or on behalf of the Borrowers in this
        Agreement shall be true and correct on and as of the Agreement Effective
        Date.

       

      d.  The
        Borrowers shall have (i) paid to Kaye Scholer LLP all outstanding legal fees
        and
        expenses related to its representation of the Lender in connection with this
        Agreement and/or the Loan and Security Agreement and (ii) paid and reimbursed
        the Lender for all other reasonable costs and out-of-pocket expenses incurred
        in
        connection with the negotiation, preparation, execution and delivery of this
        Agreement and all other documents and instruments delivered in connection
        herewith. 

       

      11.  GOVERNING
        LAW.
        THIS AGREEMENT SHALL BE GOVERNED BY, AND INTERPRETED IN ACCORDANCE WITH,
        THE LAW
        OF THE STATE OF NEW YORK WITHOUT REGARD TO ANY CONFLICTS OF LAWS PRINCIPLES
        THEREOF.

       

      12.  WAIVER
        OF JURY TRIAL, JURISDICTION AND VENUE.
        EACH OF THE PARTIES HERETO HEREBY WAIVES ALL RIGHTS TO A TRIAL BY JURY IN
        THE
        EVENT OF ANY LITIGATION WITH RESPECT TO ANY MATTER RELATED TO THIS AGREEMENT
        OR
        THE LOAN AND SECURITY AGREEMENT, AND HEREBY IRREVOCABLY CONSENTS TO THE
        JURISDICTION OF THE STATE AND FEDERAL COURTS LOCATED IN NEW YORK COUNTY,
        NEW
        YORK CITY, NEW YORK IN CONNECTION WITH ANY ACTION OR PROCEEDING
        ARISINGOUT
        OF OR RELATING TO THIS AGREEMENT OR THE LOAN AND SECURITY AGREEMENT. IN ANY
        SUCH
        LITIGATION, EACH OF THE PARTIES HERETO WAIVES PERSONAL SERVICE OF ANY SUMMONS,
        COMPLAINT OR OTHER PROCESS AND AGREES THAT SERVICE THEREOF MAY BE MADE BY
        CERTIFIED OR REGISTERED MAIL DIRECTED TO THE PARTIES HERETO AT THEIR ADDRESSES
        SET FORTH ON SCHEDULE I TO THE LOAN AND SECURITY AGREEMENT, AS AMENDED,
        RESTATED, SUPPLEMENTED OR OTHERWISE MODIFIED FROM TIME TO TIME. THE PARTIES
        HERETO SHALL APPEAR IN ANSWER TO SUCH SUMMONS, COMPLAINT OR OTHER PROCESS
        WITHIN
        THE TIME PRESCRIBED BY LAW, FAILING WHICH THE PARTY FAILING TO SO APPEAR
        SHALL
        BE DEEMED IN DEFAULT AND JUDGMENT MAY BE ENTERED BY THE OTHER PARTY FOR THE
        AMOUNT OF THE CLAIM AND OTHER RELIEF REQUESTED THEREIN.

       

      13.  Counterparts.
        This
        Agreement may be executed by the parties hereto on any number of separate
        counterparts and all of said counterparts taken together shall be deemed
        to
        constitute one and the same instrument. Delivery of an executed counterpart
        of a
        signature page to this Agreement by telecopier or electronic mail shall be
        effective as delivery of a manually executed counterpart of this
        Agreement.

       

      [SIGNATURE
        PAGE FOLLOWS]

       

      

       

      
        
          
          

        

        
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      IN
        WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
        executed and delivered as of the day and year first above written.

       

      
        	
                HFG
                  HEALTHCO-4 LLC

                 

                 

                By:
                   

                Name:

                Title:

              	
                MATRIA
                  LABORATORIES, INC.

                 

                 

                By:
                   

                Name:

                Title:

              
	
                MATRIA
                  WOMEN’S AND CHILDREN’S HEALTH, LLC

                 

                By:
                    

                Name:

                Title:

              	
                FACET
                  TECHNOLOGIES, LLC

                 

                 

                By:
                   

                Name:

                Title:

              
	
                DIABETES
                  ACQUISITION, INC.

                 

                 

                By:
                   

                Name:

                Title:

              	
                MATRIA
                  OF NEW YORK, INC.

                 

                 

                By:
                   

                Name:

                Title:

              
	
                 

                GAINOR
                  MEDICAL ACQUISITION COMPANY

                 

                 

                By:
                   

                Name:

                Title:

              	
                 

                MATRIA
                  HEALTHCARE OF ILLINOIS, INC.

                 

                By:
                   

                Name:

                Title:

              
	
                 

                DIABETES
                  MANAGEMENT SOLUTIONS, INC.

                 

                 

                By:
                   

                Name:

                Title:

              	
                 

                QUALITY
                  ONCOLOGY, INC.

                 

                 

                By:
                   

                Name:

                Title:

              
	
                 

                DIABETES
                  SELF CARE, INC.

                 

                 

                By:
                   

                Name:

                Title:Exhibit 10.2

    Exhibit
      10.2

    

    MATRIA
      HEALTHCARE, INC.

    

    2004
      STOCK INCENTIVE PLAN

    

    

    1. Establishment,
      Purpose, and Definitions.

    

    (a) Matria
      Healthcare, Inc. (the “Company”) hereby adopts the Matria Healthcare, Inc. 2004
      Stock Incentive Plan (the “Plan”).

    

    (b) The
      purpose of the Plan is to allow the Company to attract and retain eligible
      individuals (as defined in Section 5 below) and to provide incentives to such
      individuals for their services, increased efforts, and successful achievements
      on behalf of or in the interests of the Company and its Affiliates and to
      maximize the rewards due them for those efforts and achievements. The Plan
      provides employees (including officers and directors who are employees) of
      the
      Company and of its Affiliates an opportunity to purchase shares of common stock,
      $0.01 par value per share, of the Company (the “Stock”) pursuant to options
      which may qualify as incentive stock options (referred to as “incentive stock
      options”) under Section 422 of the Internal Revenue Code of 1986, as amended
      (the “Code”), and employees, officers, independent contractors, and consultants
      of the Company and of its Affiliates an opportunity to purchase shares of Stock
      pursuant to options which are not described in Sections 422 or 423 of the Code
      (referred to as “non-qualified stock options”). The Plan also provides for the
      sale or bonus grant of Stock to eligible individuals in connection with the
      performance of services for the Company or its Affiliates. Finally, the Plan
      authorizes the grant of stock appreciation rights (“SARs”), either separately or
      in tandem with stock options, entitling holders to cash compensation measured
      by
      appreciation in the value of the Stock.

    

    (c) The
      term
“Affiliate” as used in the Plan means parent or subsidiary corporations of the
      Company, as defined in Sections 424(e) and (f) of the Code (but substituting
      “the Company” for “employer corporation”), including parents or subsidiaries of
      the Company that become such after adoption of the Plan.

    

    2. Administration
      of the Plan.

    

    (a) The
      Plan
      shall be administered by the Board of Directors of the Company (the “Board”).
      Subject to Section 2(f) below, the Board may delegate the responsibility for
      administering the Plan to a committee, under such terms and conditions as the
      Board shall determine (the “Committee”). To the extent necessary to exempt
      transactions under the Plan from Section 16(b): (i) the Committee shall consist
      of at least (a) two (2) members of the Board or (b) such lesser number of
      members of the Board as permitted by Rule 16b-3; and (ii) each member of the
      Committee shall be a Non-Employee Director (as defined in Rule 16b-3), or grants
      and awards under the Plan to persons subject to Section 16 of the Exchange
      Act
      (“Insiders”) shall be determined by a subcommittee 

    
      
        
        

      

      
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    consisting
      solely of Non-Employee Directors or by the full Board. Members of the Committee
      shall serve at the pleasure of the Board. The Committee shall select one of
      its
      members as chair of the Committee and shall hold meetings at such times and
      places as it may determine. A majority of the Committee shall constitute a
      quorum, and acts of the Committee at which a quorum is present, or acts reduced
      to or approved in writing by all members of the Committee, shall be the valid
      acts of the Committee. If the Board does not delegate administration of the
      Plan
      to the Committee, then each reference in this Plan to the “Committee” shall be
      construed to refer to the Board.

    

    (b) The
      Committee shall determine which eligible individuals (as defined in Section
      5
      below) shall be granted options under the Plan, the timing of such grants,
      the
      terms thereof (including any restrictions on the Stock, and the number of shares
      subject to such options.

    

    (c) The
      Committee shall also determine which eligible individuals (as defined in Section
      5 below) shall be granted or issued SARs or Stock (other than pursuant to the
      exercise of options) under the Plan, the timing of such grants or issuances,
      the
      terms thereof (including any restrictions and the consideration, if any, to
      be
      paid therefor), and the number of shares or SARs to be granted.

    

    (d) The
      Committee may amend the terms of any outstanding option or SAR granted under
      this Plan, but any amendment that would adversely affect the holder’s rights
      under an outstanding option or SAR shall not be made without the holder’s
      written consent. The Committee may, with the holder’s written consent, cancel
      any outstanding option or SAR or accept any outstanding option or SAR in
      exchange for a new option, SAR, or Stock under the Plan on such terms determined
      by the Committee. The Committee also may amend any stock purchase agreement
      or
      stock bonus agreement relating to sales or bonuses of Stock under the Plan,
      but
      any amendment that would adversely affect the individual’s rights to the Stock
      shall not be made without his or her written consent. Notwithstanding the
      foregoing, without the prior approval of the Company’s shareholders sufficient
      to approve the Plan in the first instance: the Committee shall not reprice
      any
      option by lowering the option exercise price of a previously granted award,
      or
      by cancellation of outstanding options with subsequent replacement, or regrant
      of options with lower exercise prices.

    

    (e) The
      Committee shall have the sole authority, in its absolute discretion, to adopt,
      amend, and rescind such rules and regulations as, in its opinion, may be
      advisable in the administration of the Plan, to construe and interpret the
      Plan,
      the rules and regulations, and the instruments evidencing options, SARs, or
      Stock granted or issued under the Plan, and to make all other determinations
      deemed necessary or advisable for the administration of the Plan. All decisions,
      determinations, and interpretations of the Committee shall be binding on all
      participants.

    

    (f) Notwithstanding
      the foregoing provisions of this Section 2, grants of options or SARs or Stock
      to any “Covered Employee,” as such term is defined by Section 162(m) of the
      Code, shall be made only by a subcommittee of the Committee which, in

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    addition
      to meeting other applicable requirements of this Section 2, is composed solely
      of two (2) or more outside directors within the meaning of Section 162(m) of
      the
      Code and the regulations thereunder (the “Subcommittee”), to the extent
      necessary to qualify such grants as “performance-based compensation” under
      Section 162(m) of the Code and the regulations thereunder. In the case of grants
      to Covered Employees, references to the “Committee” shall be deemed to be
      references to the Subcommittee, as specified above.

    

    3. Fair
      Market Value.
      Where
      this Plan uses the term “fair market value” in connection with the Stock, such
      fair market value shall be determined by the Committee as follows:

    

    (a) If
      the
      Stock is listed on any established stock exchange or a national market system,
      including, without limitation, the NASDAQ National Market, its fair market
      value
      shall be the closing selling price for such stock on the principal securities
      exchange or national market system on which the Stock is at the time listed
      for
      trading. If there are no sales of Stock on that date, then the closing selling
      price for the Stock on the next preceding day for which such closing price
      is
      quoted shall be determinative of fair market value; or

    

    (b) If
      the
      Stock is not traded on an exchange or national market system, its fair market
      value shall be determined in good faith by the Committee, and such determination
      shall be conclusive and binding on all persons.

    

    4. Stock
      Subject to the Plan.

    

    (a) Subject
      to adjustment pursuant to Section 4(c) below, the aggregate number of shares
      of
      Stock available for issuance under the Plan and during the life of the Plan
      shall be 250,000 shares of Stock.

    

    (b) To
      the
      extent any shares of Stock covered by an option are not delivered to an optionee
      because the option is surrendered, forfeited, canceled or for any other reason
      ceases to be exercisable in whole or in part or the shares of Stock are not
      delivered because the Option is used to satisfy the applicable tax withholding
      obligation, such shares shall continue to be available under the Plan and shall
      not be deemed to have been delivered for purposes of determining the maximum
      number of shares of Stock available for delivery under the Plan. If the exercise
      price of any option granted under the Plan is satisfied by tendering shares
      of
      Stock to the Company, only the number of shares of Stock issued net of the
      shares of Stock tendered shall be deemed delivered for purposes of determining
      the maximum number of shares of Stock available for delivery under the Plan.
      Any
      shares of Stock forfeited to the Company pursuant to the terms of agreements
      evidencing sales or bonus grants under the Plan shall not be deemed to have
      been
      delivered for purposes of determining the maximum number of shares of Stock
      available for delivery under the Plan.

    

    (c) If
      there
      is any change in the Stock through merger, consolidation, reorganization,
      recapitalization, reincorporation, stock split, stock dividend (in excess of
      

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    two
      percent (2%)), or other change in the corporate structure of the Company,
      appropriate adjustments shall be made by the Committee in order to preserve
      but
      not to increase the benefits to the outstanding options, SARs and stock purchase
      or stock bonus awards under the Plan, including adjustments to the aggregate
      number and kind of shares subject to the Plan, or to outstanding stock purchase
      or stock bonus agreements, or SAR agreements, and the number and kind of shares
      and the price per share subject to outstanding options.

    

    5. Eligible
      Individuals.
      Individuals who shall be eligible to have granted to them options, SARs, or
      Stock under the Plan shall be such employees, officers, independent contractors,
      and consultants of the Company or an Affiliate as the Committee, in its
      discretion, shall designate from time to time. Notwithstanding the foregoing,
      only employees of the Company or an Affiliate (including officers and directors
      who are bona fide employees) shall be eligible to receive incentive stock
      options.

    

    6. Terms
      and Conditions of Options and SARs.

    

    (a) Each
      option granted pursuant to the Plan will be evidenced by a written stock option
      agreement executed by the Company and the person to whom such option is
      granted.

    

    (b) The
      Committee shall determine the term of each option granted under the Plan;
      provided, however, that the term of an incentive stock option shall not be
      for
      more than ten (10) years and that, in the case of an incentive stock option
      granted to a person possessing more than ten percent (10%) of the combined
      voting power of the Company or an Affiliate, the term of each incentive stock
      option shall be no more than five (5) years.

    

    (c) In
      the
      case of incentive stock options, the aggregate fair market value (determined
      as
      of the time such option is granted) of the Stock with respect to which incentive
      stock options are exercisable for the first time by an eligible employee in
      any
      calendar year (under this Plan and any other plans of the Company or its
      Affiliates) shall not exceed $100,000. If the aggregate fair market value of
      stock with respect to which incentive stock options are exercisable by an
      optionee for the first time during any calendar year exceeds $100,000, such
      options shall be treated as non-qualified options to the extent required by
      Section 422 of the Code. The rule set forth in the preceding sentence shall
      be
      applied by taking options into account in the order in which they were
      granted.

    

    (d) The
      exercise price of each option shall be not less than the per share fair market
      value of the Stock subject to such option on the date the option is granted.
      Notwithstanding the foregoing, (i) in the case of an incentive stock option
      granted to a person possessing more than ten percent (10%) of the combined
      voting power of the Company or an Affiliate, the exercise price shall be not
      less than one hundred ten percent (110%) of the fair market value of the Stock
      on the date the option is granted; and (ii) in 

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    the
      case
      of an option granted to a Covered Employee, the exercise price shall be not
      less
      than the per share fair market value of the Stock subject to such option on
      the
      date the option is granted. The exercise price of an option or SAR shall be
      subject to adjustment to the extent provided in Section 4(c) above, but, in
      the
      case of a grant to a Covered Employee, only to the extent such adjustment does
      not cause the grant to fail to qualify as “performance-based compensation”
within the meaning of Section 162(m) of the Code and the regulations
      thereunder.

    

    (e) The
      Committee may, under such terms and conditions as it deems appropriate,
      authorize the issuance of SARs evidenced by a written SAR agreement (which,
      in
      the case of tandem options, may be part of the option agreement to which the
      SAR
      relates) executed by the Company and the person to whom the SARs are granted.
      The SAR agreement shall specify the term for the SARs covered thereby, the
      cash
      amount payable or securities issuable upon exercise of the SAR, and contain
      such
      other terms, provisions, and conditions consistent with this Plan, as may be
      determined by the Committee.

    

    (f) Payment
      of the purchase price and any withholding amounts pursuant to Section 11 upon
      the exercise of any option or SAR granted under this Plan shall be made in
      cash
      or by optionee’s personal check, a certified check, a bank draft, or a postal or
      express money order payable to the order of the Company in lawful money of
      the
      United States; provided, however, that the Committee, in its sole discretion,
      may permit an optionee to pay the option price and any such withholding amounts
      in whole or in part (i) with shares of Stock owned by the optionee (provided
      that any shares of stock tendered for payment shall have been owned for a period
      of six (6) months, or such other period as in the opinion of the Committee
      shall
      be sufficient to avoid an accounting compensation charge with respect to the
      shares used to pay the option price); (ii) by delivery on a form prescribed
      by
      the Committee of an irrevocable direction to a securities broker approved by
      the
      Committee to sell shares of Stock and deliver all or a portion of the proceeds
      to the Company in payment for the Stock; (iii) by delivery of the optionee’s
      promissory note with such recourse, interest, security, and redemption
      provisions as the Committee in its discretion determines appropriate(provided,
      however, no promissory note may be accepted from an optionee that would be
      in
      violation of the Sarbanes Oxley Act of 2002 or any other federal or state law);
      or (iv) in any combination of the foregoing. Any Stock used to exercise options
      shall be valued at its fair market value on the date of the exercise of the
      option.

    

    (g) In
      the
      event that the exercise price is satisfied by shares withheld from the shares
      of
      Stock otherwise deliverable to the optionee, the Committee may issue the
      optionee an additional option, with terms identical to the option agreement
      under which the option was exercised, entitling the optionee to purchase
      additional shares of Stock equal to the number of shares so withheld but at
      an
      exercise price equal to the fair market value of the Stock on the grant date
      of
      the new option. Such additional option shall be subject to the provisions of
      Section 6(i) below.

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    

    (h) The
      stock
      option agreement or SAR agreement may contain such other terms, provisions,
      and
      conditions consistent with this Plan, as may be determined by the Committee.
      If
      an option, or any part thereof, is intended to qualify as an incentive stock
      option, the stock option agreement shall contain those terms and conditions
      which are necessary to qualify it.

    

    (i) The
      maximum number of shares of Stock with respect to which SARs or options to
      acquire Stock may be granted, or sales or bonus grants of Stock may be made,
      to
      any individual per calendar year under this Plan shall not exceed 100,000 shares
      (which number may be increased without shareholder approval to reflect
      adjustments under Section 4(c) above, to the extent such adjustment, in the
      case
      of a grant to a Covered Employee, does not cause the grant to fail to qualify
      as
“performance-based compensation” within the meaning of Section 162(m) of the
      Code and the regulations thereunder). To the extent required to cause options
      granted to Covered Employees to qualify as “performance-based compensation”
under Section 162(m) of the Code and the regulations thereunder, in applying
      the
      foregoing limitation with respect to an employee, if any option is canceled,
      the
      canceled option shall continue to count against the maximum number of shares
      for
      which options may be granted to the employee under this Section 6(i). For this
      purpose, the repricing of an option shall be treated as a cancellation of the
      existing option and the grant of a new option to the extent required by Section
      162(m) of the Code or the regulations thereunder. The preceding sentence shall
      also apply in the case of an SAR, if, after the award is made, the base amount
      on which stock appreciation is calculated is reduced to reflect a reduction
      in
      the fair market value of the Stock.

    

    7. Terms
      and Conditions of Stock Purchases and Bonuses.

    

    (a) Each
      sale
      or bonus grant of Stock pursuant to the Plan will be evidenced by a written
      stock purchase agreement or stock bonus agreement, as applicable, executed
      by
      the Company and the person to whom such stock is sold or granted.

    

    (b) The
      stock
      purchase agreement or stock bonus agreement may contain such other terms,
      provisions, and conditions consistent with this Plan, as may be determined
      by
      the Committee, including, not by way of limitation, the consideration, if any,
      to be paid for the Stock, restrictions on transfer, forfeiture provisions,
      repurchase provisions, and vesting provisions. Notwithstanding the foregoing,
      the restriction period applicable to restricted stock awards shall be at least
      one (1) year in the case of performance-based restricted stock awards and at
      least three (3) years in the case of all other restricted stock
      awards.

    

    (c) Stock
      bonuses granted to officers and directors shall be expressly in lieu of salary
      or cash bonus.

    

    8. Use
      of Proceeds.
      Cash
      proceeds realized from the exercise of options granted under the Plan or from
      other sales of Stock under the Plan shall constitute general 

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    funds
      of
      the Company.

    

    9. Amendment,
      Suspension, or Termination of the Plan.

    

    (a) The
      Board
      may at any time amend, suspend, or terminate the Plan as it deems advisable;
      provided that such amendment, suspension, or termination complies with all
      applicable requirements of state and federal law, including any applicable
      requirement that the Plan or an amendment to the Plan be approved by the
      shareholders, and provided further that, except as provided in Section 4(c)
      above and Section 15 below, the Board shall in no event amend the Plan in the
      following respects without the approval of shareholders then sufficient to
      approve the Plan in the first instance:

    

    (i) to
      increase the maximum number of shares of Stock provided in Section 6(i) above,
      with respect to which restricted stock, SARs, or options to acquire Stock may
      be
      granted to any Covered Employee per calendar year under the Plan;
      or

    

    (ii) to
      materially increase the number of shares of Stock available under the Plan,
      or
      to increase the number of shares of Stock available for grant of incentive
      stock
      options under the Plan; or

    

    (iii) to
      materially modify the eligibility requirements for participation in the Plan
      or
      the class of employees eligible to receive options under the Plan, or to change
      the designation or class of persons eligible to receive incentive stock options
      under the Plan; or

    

    (iv) to
      permit
      repricing of options by lowering the option exercise price of a previously
      granted award, or by cancellation of outstanding options with subsequent
      replacement, or regrants of options with lower exercise prices; or

    

    (v) to
      otherwise materially increase the benefits to participants.

    

    (b) No
      option
      or SAR may be granted nor may any Stock be issued (other than upon exercise
      of
      outstanding options) under the Plan during any suspension or after the
      termination of the Plan, and no amendment, suspension, or termination of the
      Plan shall, without the affected individual’s consent, alter or impair any
      rights or obligations under any option or SAR previously granted under the
      Plan.
      The Plan shall terminate with respect to the grant of incentive stock options
      on
      the tenth anniversary of the date of adoption of the Plan, unless previously
      terminated by the Board pursuant to this Section 9.

    

    10. Assignability.
      No
      option or SAR granted pursuant to this Plan shall be transferable by the holder
      except to the extent provided in the option agreement or the SAR agreement
      covering the option or the SAR. Stock subject to a stock purchase agreement
      or a
      stock bonus agreement shall be transferable only as provided in such agreement.
      Notwithstanding the foregoing, if required by the Code, each incentive stock
      

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    option
      under the Plan shall be transferable by the optionee only by will or the laws
      of
      descent and distribution, and, during the optionee’s lifetime, be exercisable
      only by the optionee.

    

    11. Withholding
      Taxes.
      No Stock
      shall be granted or sold under the Plan to any individual, and no option or
      SAR
      may be exercised, until the individual has made arrangements acceptable to
      the
      Committee for the satisfaction of federal, state, and local income and
      employment tax withholding obligations, including, without limitation,
      obligations incident to the receipt of Stock under the Plan, the lapsing of
      restrictions applicable to such Stock, the failure to satisfy the conditions
      for
      treatment as incentive stock options under the applicable tax law, or the
      receipt of cash payments.

    

    12. Restrictions
      on Transfer of Shares.
      The
      Committee may require that the Stock acquired pursuant to the Plan be subject
      to
      such restrictions and agreements regarding sale, assignment, encumbrances,
      or
      other transfer as are in effect among the shareholders of the Company at the
      time such Stock is acquired, as well as to such other restrictions as the
      Committee shall deem appropriate.

    

    13. Change
      in Control.

    

    (a) For
      purposes of this Section 13, a “Change in Control” shall be deemed to occur
      upon:

    

    (i) the
      direct or indirect acquisition by any person or related group of persons (other
      than an acquisition from or by the Company or by a Company-sponsored employee
      benefit plan) of beneficial ownership (within the meaning of Rule 13d-3 of
      the
      Exchange Act of securities possessing more than fifty percent (50%) of the
      total
      combined voting power of the Company’s outstanding Stock;

    

    (ii) a
      change
      in the composition of the Board over a period of thirty-six (36) months or
      less,
      such that a majority of the Board members (rounded up to the next whole number)
      ceases, by reason of one or more contested elections for Board membership or
      by
      one or more actions by written consent of shareholders, to be comprised of
      individuals who either (A) have been Board members continuously since the
      beginning of such period, or (B) have been elected or nominated for election
      as
      Board members during such period by at least a majority of the Board members
      described in clause (A) who were still in office at the time such election
      or
      nomination was approved by the Board.

    

    (b) For
      purposes of this Section 13, a “Corporate Transaction” shall be deemed to occur
      upon any of the following transactions to which the Company is a
      party:

    

    (i) approval
      by the Company’s shareholders of a merger or consolidation in which the Company
      is not the surviving entity, except for a transaction the principal purpose
      of
      which is to change the state in which the Company is
      incorporated;

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    (ii) approval
      by the Company’s shareholders of the sale, transfer, or other disposition of all
      or substantially all of the assets of the Company (including the capital stock
      of the Company’s subsidiary corporations) in connection with a complete
      liquidation or dissolution of the Company; or 

    

    (iii) approval
      by the Company’s shareholders of any reverse merger in which the Company is the
      surviving entity but in which securities possessing more than fifty percent
      (50%) of the total combined voting power of the Company’s outstanding securities
      are transferred to a person or persons different from those who held such
      securities immediately prior to such merger.

    

    (c) In
      its
      discretion, the Committee may provide in any stock option, SAR, Stock bonus,
      or
      Stock purchase agreement (or in an amendment thereto) evidencing an option,
      SAR,
      Stock bonus, or Stock purchase agreement hereunder that, in the event of any
      Corporate Transaction or an event giving rise to a Change in Control, any
      outstanding options or SARs covered by such an agreement shall be fully vested,
      non-forfeitable, and become exercisable, and that any restricted Stock covered
      by such an agreement shall be released from restrictions on transfer and
      repurchase or forfeiture rights, as of the date of the Change in Control or
      Corporate Transaction. However, the Committee may provide in any such agreement
      that, in the case of a Corporate Transaction, the Committee may determine that
      an outstanding option will not be so accelerated if and to the extent, (i)
      such
      option is either to be assumed by the successor or parent thereof or to be
      replaced with a comparable option to purchase shares of the capital stock of
      the
      successor corporation or parent thereof; or (ii) such option is to be replaced
      with a cash incentive program of the successor corporation that preserves the
      option spread existing at the time of the Corporate Transaction and provides
      for
      subsequent payment in accordance with the same vesting schedule applicable
      to
      such option.

    

    (d) If
      the
      Committee determines to incorporate a Change in Control or Corporate Transaction
      acceleration provision in any option or SAR agreement hereunder, the agreement
      shall provide that, (i) in the event of a Change in Control or Corporate
      Transaction described in clauses (a)(i), (a)(ii), and (b)(iii) of Section 13
      above, the option or SAR shall remain exercisable for the remaining term of
      the
      option or SAR; and (ii) in the event of a Corporate Transaction described in
      clauses (i) or (ii) of Section 13(b) above, the option or SAR shall terminate
      as
      of the effective date of the Corporate Transaction described therein, unless
      such option or SAR is assumed by a successor corporation in the event of a
      Corporate Transaction described in clause (i) of Section 13(b). If an option
      or
      SAR is assumed in the event of a Corporate Transaction described in clause
      (i)
      of Section 13(b) above, the option or SAR shall remain exercisable for the
      remaining term of the option or SAR. In no event shall any option or SAR under
      the Plan be exercised after the expiration of the term provided for in the
      related stock option agreement or SAR agreement pursuant to Section 6(b) or
      (e).

    

    (e) The
      Committee may provide in any option or SAR agreement hereunder that should
      the
      Company dispose of its equity holding in any subsidiary effected by, (i)

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    merger
      or
      consolidation involving that subsidiary; (ii) the sale of all or distribution
      of
      substantially all of the assets of that subsidiary; or (iii) the Company’s sale
      of or distribution to shareholders of substantially all of the outstanding
      capital stock of such subsidiary (“Subsidiary Disposition”) while a holder of
      the option or SAR is engaged in the performance of services for the affected
      subsidiary corporation, then such option or SAR shall, immediately prior to
      the
      effective date of such Subsidiary Disposition, become fully exercisable with
      respect to all of the shares at the time represented by such option or SAR
      and
      may be exercised with respect to any or all of such shares. Any such option
      or
      SAR shall remain exercisable until the expiration or sooner termination of
      the
      term of the option or SAR.

    

    14. Shareholder
      Approval.
      Continuance of the Plan shall be subject to approval by the shareholders of
      the
      Company within twelve (12) months before or after the date the Plan is adopted.
      Any incentive stock options granted hereunder and any options, SARs, or Stock
      granted to Covered Employees hereunder shall become effective only upon such
      shareholder approval. The Committee may grant incentive stock options or may
      grant options, SARs, or Stock to Covered Employees under the Plan prior to
      such
      shareholder approval, but until shareholder approval is obtained, no such option
      or SAR shall be exercisable and no such Stock grant shall be effective. In
      the
      event that such shareholder approval is not obtained within the period provided
      above, all options, SARs, or Stock grants previously granted above shall
      terminate. If such shareholder approval is obtained at a duly held shareholders’
meeting, the Plan must be approved by a majority of the votes cast at such
      shareholders’ meeting at which a quorum, representing a majority of all
      outstanding voting stock of the Company, is, either in person or by proxy,
      present and voting on the Plan. If such shareholder approval is obtained by
      written consent, it must be obtained by the written consent of the holders
      of a
      majority of all outstanding voting stock of the Company. However, approval
      at a
      meeting or by written consent may be obtained to a lesser degree of shareholder
      approval if the Board determines, in its discretion after consultation with
      the
      Company’s legal counsel, that such a lesser degree of shareholder approval will
      comply with all applicable laws and will not adversely affect the qualification
      of the Plan under either Section 162(m) or 422 of the Code.

    

    15. Rule
      16b-3 Compliance.

    

    (a) With
      respect to Insiders, transactions under the Plan are intended to comply with
      all
      applicable conditions of Rule 16b-3. To the extent any provision of the Plan
      or
      action by the Committee fails to so comply, it shall be deemed null and void,
      to
      the extent permitted by law and deemed advisable by the Committee. Moreover,
      in
      the event the Plan does not include a provision required by Rule 16b-3 to be
      stated therein as a condition to exemption from Section 16(b) of the Exchange
      Act, such provision (other than one relating to eligibility requirements or
      the
      price and amount of awards) shall be deemed automatically to be incorporated
      by
      reference into the Plan insofar as transactions with Insiders are
      concerned.

    

    (b) If,
      subsequent to the Board’s adoption of the Plan, Rule 16b-3 is amended to delete
      any of the Rule 16b-3 conditions or requirements addressed by the provisions
      of

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    the
      Plan,
      the Board may amend the Plan without shareholder approval (unless such approval
      is required by Rule 16b-3, as so amended) to delete or otherwise amend any
      such
      provisions no longer required for grants of options, SARs, and Stock under
      the
      Plan to Insiders to be exempt from Section 16(b) liability under the Exchange
      Act.

    

    16. The
      Right of the Company to Terminate Employment.
      No
      provision in the Plan or any Option shall confer upon any Optionee any right
      to
      continue in the employment of the Company or an Affiliate or to interfere in
      any
      way with the right of the Company or an Affiliate to terminate his employment
      at
      any time.

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