Document:

Warrant
      Certificate No. ___

    

    NEITHER
      THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES ISSUABLE
      UPON
      THE EXERCISE OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT
      OF
      1933, AS AMENDED (THE “ACT”), OR ANY STATE SECURITIES LAWS, AND NEITHER SUCH
      SECURITIES NOR ANY INTEREST THEREIN MAY BE OFFERED, SOLD, ASSIGNED OR OTHERWISE
      TRANSFERRED UNLESS (1) A REGISTRATION STATEMENT WITH RESPECT THERETO IS
      EFFECTIVE UNDER THE ACT AND ANY APPLICABLE STATE
      SECURITIES LAWS, OR (2) AN EXEMPTION FROM SUCH REGISTRATION EXISTS AND THE
      COMPANY RECEIVES AN OPINION OF COUNSEL TO THE HOLDER OF SUCH SECURITIES, WHICH
      COUNSEL AND OPINION ARE SATISFACTORY TO THE COMPANY, THAT SUCH SECURITIES MAY
      BE
      OFFERED, SOLD, PLEDGED, ASSIGNED OR TRANSFERRED IN THE MANNER CONTEMPLATED
      WITHOUT AN EFFECTIVE REGISTRATION STATEMENT UNDER THE ACT OR APPLICABLE STATE
      SECURITIES
      LAWS.

    

    
      	
              Effective
                Date: May [     ], 2007

            	
              Void
                After: May [     ],
                2012

            

    

     

    MODIGENE,
      INC.

    

    WARRANT
      TO PURCHASE COMMON STOCK

    

    Modigene
      Inc. (f/k/a LDG, Inc.), a Nevada corporation (the “Company”),
      for
      value received on May [ ], 2007 (the “Effective
      Date”),
      hereby issues to [   
          ] (the
      “Holder”)
      this
      Warrant (the “Warrant”)
      to
      purchase, [    
       ]
      shares
      (each such share
      as from
      time to time adjusted as hereinafter provided
      being a
“Warrant
      Share”
and
      all
      such shares being the “Warrant
      Shares”)
      of the
      Company’s Common Stock (as defined below), at the Exercise Price (as defined
      below), as adjusted from time to time as provided herein, on or before May
      [   ], 2012 (the “Expiration
      Date”),
      all
      subject to the following terms and conditions. Unless otherwise defined in
      this
      Warrant, terms appearing in initial capitalized form shall have the meaning
      ascribed to them in that certain Securities Purchase Agreement, dated April
      12,
      2007 between the Company and the purchaser signatory thereto pursuant to which
      this Warrant was issued (the “Purchase
      Agreement”).

    

    As
      used
      in this Warrant, (i) “Business
      Day”
means
      any day other than Saturday, Sunday or any other day on which commercial banks
      in the City of New York, New York, are authorized or required by law or
      executive order to close; (ii) “Common
      Stock”
means
      the common stock of the Company, $0.00001 par value per share, including
      any securities issued or issuable with respect thereto or into which or for
      which such shares may be exchanged for, or converted into, pursuant to any
      stock
      dividend, stock split, stock combination, recapitalization, reclassification,
      reorganization or other similar event;
      (iii)
“Exercise
      Price”
means
      $2.50 per share of Common Stock, subject to adjustment as provided herein;
      (iv)
      “Trading
      Day”
means
      any
      day
      on which
      the Common Stock is traded on the primary national or regional stock exchange
      on
      which the Common Stock is listed, or if not so listed, the NASD OTC Bulletin
      Board, if quoted thereon, is
      open
      for the transaction of business; and (v) “Affiliate”
means
      any Person that, directly or indirectly, through one or more intermediaries,
      controls, is controlled by, or is under common control with, a Person, as such
      terms are used and construed in Rule 144 promulgated
      under the Securities Act of 1933, as amended (the “Securities
      Act”).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	1.	
              DURATION
                AND EXERCISE OF WARRANTS

            

    

    

    (a) Exercise
      Period.
      The
      Holder may exercise this Warrant in whole or in part on any Business Day on
      or
      before 5:00 P.M., Eastern Daylight Time, on the Expiration Date, at which time
      this Warrant shall become void and of no value.

     

    (b) Exercise
      Procedures.

    

    (i) While
      this Warrant remains outstanding and exercisable in accordance with Section
      1(a),
      in
      addition to the manner set forth in Section 1(b)(ii) below, the Holder may
      exercise this Warrant in whole or in part
      at any
      time and from time to time
      by:

    

    (A) delivery
      to the Company of a duly executed copy of the Notice of Exercise attached as
      Exhibit
      A;

    

    (B) surrender
      of this Warrant to the Secretary of the Company at its principal offices or
      at
      such other office or agency as the Company may specify in writing to the Holder;
      and

    

    (C) payment
      of the then-applicable
      Exercise
      Price per share multiplied by the number of Warrant Shares being purchased
      upon
      exercise of the Warrant (such amount, the “Aggregate
      Exercise Price”)
      made
      in
      the form of cash, or by certified check, bank draft or money order payable
      in
      lawful money of the United States of America
      or in
      the form of a Cashless Exercise
      to the
      extent permitted in Section 1(b)(ii)
      below.

    

    (ii) While
      this Warrant remains outstanding and exercisable in accordance with Section
      1(a), the Holder may, in its sole discretion, exercise all or any part of the
      Warrant in a “cashless” or “net-issue” exercise (a “Cashless
      Exercise”)
      by
      delivering to the Company (1) the Notice of Exercise and (2) the original
      Warrant,
      pursuant to which the Holder shall surrender the right to receive upon exercise
      of this Warrant, a number of Warrant Shares having a value (as determined below)
      equal to the Aggregate Exercise Price, in which case, the number of Warrant
      Shares to be issued to the Holder upon such exercise shall be calculated using
      the following formula:

    
 

    X
       = Y
      * (A
      - B)

    A

    

     with: X
      =
 the
      number of Warrant Shares to be issued to the Holder

    

    Y
      = the
      number of Warrant Shares with respect to which the Warrant is being
      exercised

    

    A
      = the
      fair
      value per share of Common
      Stock on
      the
      date of exercise of this Warrant

    

    B
      = the
      then-current Exercise Price of
      the
      Warrant

     

    
      
        
        

      

      
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    Solely
      for the purposes of this paragraph, “fair value” per share of Common Stock shall
      be determined either (A) reasonably and in good faith by the Board of Directors
      of the Company as of the date which the Notice of Exercise is deemed to have
      been sent to the Company, or (B) as the average of the closing sales prices,
      as
      quoted on the primary national or regional stock exchange on which the Common
      Stock is listed, or,
      if not
      listed,
      the NASD
      OTC Bulletin Board if quoted thereon, on the twenty
      (20)
      trading
      days immediately preceding the date on which the Notice of Exercise is deemed
      to
      have been sent to the Company, whichever of (A) or (B) is greater.

    

    Notwithstanding
      the foregoing provisions of this Section 1(b), the Holder may not make a
      Cashless Exercise if and to the extent that such exercise would require the
      Company to issue a number of shares of Common Stock in excess of its authorized
      but unissued shares of Common Stock, less all amounts of Common Stock that
      have
      been reserved for issue upon the conversion of all outstanding securities
      convertible into shares of Common Stock and the exercise of all outstanding
      options, warrants and other rights exercisable for shares of Common Stock.
      If
      the Company does not have the requisite amount of authorized but unissued shares
      of Common Stock to permit the Holder to make a Cashless Exercise, the Company
      shall use its commercially best efforts to obtain the necessary stockholder
      consent to increase the authorized number of shares of Common Stock to permit
      such Holder to make a Cashless Exercise pursuant to this Section
      1(b).

    

    (iii) Upon
      the exercise
      of this
      Warrant in compliance with the provisions of this Section 1(b), and except
      as
      limited pursuant to the last paragraph of Section 1(b)(ii), the Company shall
      promptly issue and cause to be delivered to the Holder a certificate for the
      Warrant Shares purchased by the Holder. Each
      exercise of this Warrant shall be effective immediately prior to the close
      of
      business on the date (the “Date
      of Exercise”)
      which
      the
      conditions set forth in Section 1(b) have been satisfied, as the case may
      be.
      On
      the
      first Business Day following the date on which the Company has received each
      of
      the Exercise Notice and the Aggregate Exercise Price (or notice of a Cashless
      Exercise in accordance with Section 1(b)(ii)) (the “Exercise
      Delivery Documents”),
      the
      Company shall transmit an acknowledgment of receipt of the Exercise Delivery
      Documents to the Company’s transfer agent (the “Transfer
      Agent”).
      On or
      before the third Business Day following the date on which the Company has
      received all of the Exercise Delivery Documents (the “Share
      Delivery Date”),
      the
      Company shall (X) provided that the Transfer Agent is participating in The
      Depository Trust Company (“DTC”)
      Fast
      Automated Securities Transfer Program, upon the request of the Holder, credit
      such aggregate number of shares of Common Stock to which the Holder is entitled
      pursuant to such exercise to the Holder’s or its designee’s balance account with
      DTC through its Deposit Withdrawal Agent Commission system, or (Y) if the
      Transfer Agent is not participating in the DTC Fast Automated Securities
      Transfer Program, issue and dispatch by overnight courier to the address as
      specified in the Exercise Notice, a certificate, registered in the Company’s
      share register in the name of the Holder or its designee, for the number of
      shares of Common Stock to which the Holder is entitled pursuant to such
      exercise. Upon delivery of the Exercise Notice and Aggregate Exercise Price
      referred to in Section
      1(b)(i)(C)
      above or
      notification to the Company of a Cashless Exercise referred to in Section
      1(b)(ii), the Holder shall be deemed for all corporate purposes to have become
      the holder of record of the Warrant Shares with respect to which this Warrant
      has been exercised, irrespective of the date of delivery of the certificates
      evidencing such Warrant Shares. If this Warrant is submitted in connection
      with
      any exercise pursuant to Section 1(b) and the number of Warrant Shares
      represented by this Warrant submitted for exercise is greater than the
actual
      number
      of
      Warrant Shares being acquired upon such an
      exercise, then the Company shall as soon as practicable and in no event later
      than three (3) Business Days after any exercise and at its own expense, issue
      a
      new Warrant (in accordance with Section 1(b))
      of like
      tenor
      representing the right to purchase the number of Warrant Shares purchasable
      immediately prior to such exercise under this Warrant, less the number of
      Warrant Shares with respect to which this Warrant is exercised. No fractional
      shares of Common Stock are to be issued upon the exercise of this Warrant,
      but
      rather the number of shares of Common Stock to be issued shall be rounded up
      to
      the nearest whole number. 

     

    
      
        
        

      

      
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    (iv) If
      the
      Company shall fail for any reason or for no reason to issue to the Holder,
      within three (3) Business Days of receipt of the Exercise Delivery Documents,
      a
      certificate for the number of shares of Common Stock to which the Holder is
      entitled and register such shares of Common Stock on the Company’s share
      register or to credit the Holder’s balance account with DTC for such number of
      shares of Common Stock to which the Holder is entitled upon the Holder’s
      exercise of this Warrant, and if on or after such Business Day the Holder
      purchases (in an open market transaction or otherwise) shares of Common Stock
      to
      deliver in satisfaction of a sale by the Holder of shares of Common Stock
      issuable upon such exercise that the Holder anticipated receiving from the
      Company (a “Buy-In”),
      then
      the Company shall, within three (3) Business Days after the Holder’s request and
      in the Holder’s discretion, either (i) pay cash to the Holder in an amount equal
      to the Holder’s total purchase price (including brokerage commissions, if any)
      for the shares of Common Stock so purchased (the “Buy-In
      Price”),
      at
      which point the Company’s obligation to deliver such certificate (and to issue
      such shares of Common Stock) shall terminate, or (ii) promptly honor its
      obligation to deliver to the Holder a certificate or certificates representing
      such shares of Common Stock and pay cash to the Holder in an amount equal to
      the
      excess (if any) of the Buy-In Price over the product of (A) such number of
      shares of Common Stock, times (B) the closing bid price on
      the
      date of exercise.

    

    (c) Partial
      Exercise.
      This
      Warrant shall be exercisable, either in its entirety or, from time to time,
      for
      part only of the number of Warrant Shares referenced by this Warrant. If this
      Warrant is exercised in part, the Company shall issue, at its expense, a new
      Warrant, in substantially the form of this Warrant, referencing such reduced
      number of Warrant Shares which remain subject to this Warrant.

    

    (d) Disputes.
      In the
      case of a dispute as to the determination of the Exercise Price or the
      arithmetic calculation of the Warrant Shares, the Company shall promptly issue
      to the Holder the number of Warrant Shares that are not disputed and resolve
      such dispute in accordance with Section 15.

     

    
      
        
        

      

      
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      	2.	
              ISSUANCE
                OF WARRANT SHARES

            

    

    

    (a) The
      Company covenants that all Warrant Shares will, upon issuance in accordance
      with
      the terms of this Warrant, be (i) duly authorized, fully paid and
      non-assessable, and (ii) free from all liens, charges and security interests,
      with the exception of claims arising through the acts or omissions of any Holder
      and except as arising from applicable Federal and state securities
      laws.

    

    (b) The
      Company shall register this Warrant upon records to be maintained by the Company
      for that purpose in the name of the record holder of such Warrant from time
      to
      time. The Company may deem and treat the registered Holder of this Warrant
      as
      the absolute owner thereof for the purpose of any exercise thereof, any
      distribution to the Holder thereof and for all other purposes.

    

    (c) The
      Company will not, by amendment of its articles of incorporation, by-laws or
      through any reorganization, transfer of assets, consolidation, merger,
      dissolution, issue or sale of securities or any other voluntary action, avoid
      or
      seek to avoid the observance or performance of any of the terms to be observed
      or performed hereunder by the Company, but will at all times in good faith
      assist in the carrying out of all the provisions of this Warrant and in the
      taking of all the action as may be necessary or appropriate in order to protect
      the rights of the Holder to exercise this Warrant,
      or
      against impairment of such rights.

    

    
      	3.	
              ADJUSTMENTS
                OF EXERCISE PRICE, NUMBER AND TYPE OF WARRANT
                SHARES

            

    

    

    (a) The
      Exercise Price and the number of shares purchasable upon the exercise of this
      Warrant shall be subject to adjustment from time to time upon the occurrence
      of
      certain events described in this Section 3(a); provided,
      that
      notwithstanding the provisions of this Section 3, the Company shall not be
      required to make any adjustment if and to the extent that such adjustment would
      require the Company to issue a number of shares of Common Stock in excess of
      its
      authorized but unissued shares of Common Stock, less all amounts of Common
      Stock
      that have been reserved for issue upon the conversion of all outstanding
      securities convertible into shares of Common Stock and the exercise of all
      outstanding options, warrants and other rights exercisable for shares of Common
      Stock. If the Company does not have the requisite amount of authorized but
      unissued shares of Common Stock to make any adjustment, the Company shall use
      its commercially best efforts to obtain the necessary stockholder consent to
      increase the authorized number of shares of Common Stock to permit the Holder
      to
      exercise fully this Warrant.

    

    (i) Subdivision
      or Combination of Stock.
      In case
      the Company shall at any time subdivide (whether
      by way of stock dividend, stock split or otherwise) its
      outstanding shares of Common Stock into a greater number of shares, the Exercise
      Price in effect immediately prior to such subdivision shall be proportionately
      reduced and
      the
      Warrant Shares shall be proportionately increased,
      and
      conversely, in case the outstanding shares of Common Stock of the Company shall
      be combined (whether
      by way of stock combination, reverse stock split or otherwise) into
      a
      smaller number of shares, the Exercise Price in effect immediately prior to
      such
      combination shall be proportionately increased
      and the
      number of Warrant Shares shall be proportionately decreased. The Exercise Price
      and the Warrant Shares, as so adjusted, shall be readjusted in the same manner
      upon the happening of any successive event or events described in this Section
      3(a)(i).

     

    
      
        
        

      

      
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    (ii) Dividends
      in Stock, Property, Reclassification.
      If at
      any time, or from time to time, the holders of Common Stock (or any shares
      of
      stock or other securities at the time receivable upon the exercise of this
      Warrant) shall have received or become entitled to receive, without payment
      therefore:

    

    (A) any
      shares of stock or other securities which are at any time directly or indirectly
      convertible into or exchangeable for Common Stock, or any rights or options
      to
      subscribe for, purchase or otherwise acquire any of the foregoing by way of
      dividend or other distribution, or

    

    (B) additional
      stock or other securities or property (including cash) by way of spin-off,
      split-up, reclassification, combination of shares or similar corporate
      rearrangement, (other than shares of Common Stock issued as a stock split or
      adjustments in respect of which shall be covered by the terms of Section 3(a)(i)
      above), then and in each such case, the Exercise
      Price and the number of Warrant Shares to be obtained upon exercise of this
      Warrant shall be adjusted proportionately, and the Holder
      hereof shall, upon the exercise of this Warrant, be entitled to receive, in
      addition to the number of shares of Common Stock receivable thereupon, and
      without payment of any additional consideration therefor, the amount of stock
      and other securities and property (including cash in the cases referred to
      above) which such Holder would hold on the date of such exercise had he been
      the
      holder of record of such Common Stock as of the date on which holders of Common
      Stock received or became entitled to receive such shares or all other additional
      stock and other securities and property.
      The
      Exercise Price and the Warrant Shares, as so adjusted, shall be readjusted
      in
      the same manner upon the happening of any successive event or events described
      in this Section 3(a)(ii).

    

    (iii) Reorganization,
      Reclassification, Consolidation, Merger or Sale.
      If any
      recapitalization, reclassification or reorganization of the capital stock of
      the
      Company, or any consolidation or merger of the Company with another corporation,
      or the sale of all or substantially all of its assets or other
      transaction shall be effected in such a way that holders of Common Stock shall
      be entitled to receive stock, securities, or other assets or property (an
“Organic
      Change”),
      then,
      as a condition of such Organic Change, lawful and adequate provisions shall
      be
      made by the Company whereby the Holder hereof shall thereafter have the right
      to
      purchase and receive (in lieu of the shares of the Common Stock of the Company
      immediately theretofore purchasable and receivable upon the exercise of the
      rights represented by this Warrant) such shares of stock, securities or other
      assets or property as may be issued or payable with respect to or in exchange
      for a number of outstanding shares of such Common Stock equal to the number
      of
      shares of such stock immediately theretofore purchasable and receivable assuming
      the full exercise of the rights represented by this Warrant. In the event of
      any
      Organic Change, appropriate provision shall be made by the Company with respect
      to the rights and interests of the Holder of this Warrant to the end that the
      provisions hereof (including, without limitation, provisions for adjustments
      of
      the Exercise Price and of the number of shares purchasable and receivable upon
      the exercise of this Warrant) shall thereafter be applicable, in relation to
      any
      shares of stock, securities or assets thereafter deliverable upon the exercise
      hereof. The Company will not effect any such consolidation, merger or sale
      unless, prior to the consummation thereof, the successor corporation (if other
      than the Company) resulting from such consolidation or merger
      or
the
      corporation purchasing such assets shall assume by written instrument reasonably
      satisfactory in form and substance to the Holders executed and mailed or
      delivered to the registered Holder hereof at the last address of such Holder
      appearing on the books of the Company, the obligation to deliver to such Holder
      such shares of stock, securities or assets as, in accordance
      with the foregoing provisions, such Holder may be entitled to
      purchase. If
      there
      is an Organic Change, then the Company shall cause to be mailed to the Holder
      at
      its last address as it shall appear on the books and records of the Company,
      at
      least 15 calendar days before the effective date of the Organic Change, a notice
      stating the date on which such Organic Change is expected to become effective
      or
      close, and the date as of which it is expected that holders of the Common Stock
      of record shall be entitled to exchange their shares for securities, cash,
      or
      other property delivered upon such Organic Change; provided,
      that
      the failure to mail such notice or any defect therein or in the mailing thereof
      shall not affect the validity of the corporate action required to be specified
      in such notice. The Holder is entitled to exercise this Warrant during the
      15-day period commencing on the date of such notice to the effective date of
      the
      event triggering such notice. In
      any
      event, the successor corporation (if other than the Company) resulting from
      such
      consolidation or merger or the corporation purchasing such assets shall be
      deemed to assume such obligation to deliver to such Holder such shares of stock,
      securities or assets even in the absence of a written instrument assuming such
      obligation to the extent such assumption occurs by operation of law. 

     

    
      
        
        

      

      
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    (b) Certificate
      as to Adjustments.
      Upon
      the occurrence of each adjustment or readjustment pursuant to this Section
      3,
      the Company at its expense shall promptly compute such adjustment or
      readjustment in accordance with the terms hereof and furnish to each Holder
      of
      this Warrant a certificate setting forth such adjustment or readjustment and
      showing in detail the facts upon which such adjustment or readjustment is based.
      The Company shall
      promptly furnish
      or cause to be furnished to such Holder a like certificate setting forth: (i)
      such adjustments and readjustments; and (ii) the number of shares and the
      amount, if any, of other property which at the time would be received upon
      the
      exercise of the Warrant.

    

    (c) Certain
      Events.
      If any
      event occurs as to which the other provisions of this Section 3 are not strictly
      applicable but the lack of any adjustment would not fairly protect the purchase
      rights of the Holder under this Warrant in accordance with the basic intent
      and
      principles of such provisions, or if strictly applicable would not fairly
      protect the purchase rights of the Holder under this Warrant in accordance
      with
      the basic intent and principles of such provisions, then the Company's Board
      of
      Directors will, in good faith, make an appropriate adjustment to protect the
      rights of the Holder; provided,
      that no
      such adjustment pursuant to this Section 3(c) will increase the Exercise Price
      or decrease the number of Warrant Shares as otherwise determined pursuant to
      this Section 3.

     

    
      
        
        

      

      
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    (d) Adjustment
      of Exercise Price Upon Issuance of Additional Shares of Common
      Stock.
      In the
      event
      the
      Company shall at any time prior to the eighteenth month anniversary of the
      Effective Date issue Additional Shares of Common Stock, as defined below,
      without consideration or for a consideration per share less than the Exercise
      Price in effect immediately prior to such issue, then the Exercise Price shall
      be reduced, concurrently with such issue, to a price (calculated to the nearest
      cent) determined by multiplying such Exercise Price by a fraction, (A) the
      numerator of which shall be (1) the number of shares of Common Stock outstanding
      immediately prior to such issue plus (2) the number of shares of Common Stock
      which the aggregate consideration received or to be received by the Company
      for
      the total number of Additional Shares of Common Stock so issued would purchase
      at such Exercise Price; and (B) the denominator of which shall be the number
      of
      shares of Common Stock outstanding immediately prior to such issue plus the
      number of such Additional Shares of Common Stock so issued; provided
      that,
      (i) for the purpose of this Section 3(d), all shares of Common Stock issuable
      upon conversion or exchange of convertible securities outstanding immediately
      prior to such issue shall be deemed to be outstanding, and (ii) the number
      of
      shares of Common Stock deemed issuable upon conversion or exchange of such
      outstanding convertible securities shall be determined without giving effect
      to
      any adjustments to the conversion or exchange price or conversion or exchange
      rate of such convertible securities resulting from the issuance of Additional
      Shares of Common Stock that is the subject of this calculation. For purposes
      of
      this Warrant, “Additional Shares of Common Stock” shall mean all shares of
      Common Stock issued by the Company after the Effective Date (including without
      limitation any shares of Common Stock issuable upon conversion or exchange
      of
      any convertible securities or upon exercise of any option or warrant, on an
      as-converted basis), other than: (i) shares of Common Stock issued or
      issuable upon conversion or exchange of any convertible securities or exercise
      of any options outstanding on the Effective Date; (ii) shares of Common
      Stock issued or issuable by reason of a dividend, stock split, split-up or
      other
      distribution on shares of Common Stock that is covered by Sections 3(a)(i)
      through 3(a)(iii) above; or (iii) shares of Common Stock (or options with
      respect thereto) issued or issuable to employees or directors of, or consultants
      to, the Company or any of its subsidiaries pursuant to a plan, agreement or
      arrangement approved by the Board of Directors of the Company. The provisions
      of
      this Section 3(d) shall not operate to increase the Exercise Price.

     

    
      	4.	
              TRANSFERS
                AND EXCHANGES OF WARRANT AND WARRANT
                SHARES

            

    

    

    (a) Registration
      of Transfers and Exchanges.
      Subject
      to Section 4(c), upon the Holder’s surrender of this Warrant, with a duly
      executed copy of the Assignment Notice attached as Exhibit
      B,
      to the
      Secretary of the Company at its principal offices or at such other office or
      agency as the Company may specify in writing to the Holder, the Company shall
      register the transfer of all or any portion of this Warrant. Upon such
      registration of transfer the Company shall issue a new Warrant, in substantially
      the form of this Warrant, evidencing the acquisition rights transferred to
      the
      transferee and a new Warrant, in similar form, evidencing the remaining
      acquisition rights not transferred, to the Holder requesting the
      transfer.

    

    (b) Warrant
      Exchangeable for Different Denominations.
      The
      Holder may exchange this Warrant for a new Warrant or Warrants, in substantially
      the form of this Warrant, evidencing in the aggregate the right to purchase
      the
      number of Warrant Shares which may then be purchased hereunder, each of such
      new
      Warrants to be dated the date of such exchange and to represent the right to
      purchase such number of Warrant Shares as shall be designated by the Holder.
      The
      Holder shall surrender this Warrant with duly executed instructions regarding
      such
      re-certification of this Warrant to the Secretary of the Company at its
      principal offices or at such other office or agency as the Company may specify
      in writing to the Holder.

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    (c) Restrictions
      on Transfers.
      This
      Warrant may not be transferred at any time without (i) registration under the
      Securities Act or (ii) an exemption from such registration and a written opinion
      of legal counsel addressed to the Company that the proposed transfer of the
      Warrant may be effected without registration under the Securities Act, which
      opinion will be in form and from counsel reasonably satisfactory to the Company.
      

    

    (d) Permitted
      Transfers and Assignments.
      Notwithstanding any provision to the contrary in this Section 4, the Holder
      may
      transfer, with or without consideration, this Warrant or any of the Warrant
      Shares (or a portion thereof) to the Holder’s Affiliates (as such term is
      defined under Rule 144 of the Securities Act) without obtaining the opinion
      from
      counsel that may be required by Section 4(c)(ii),
      provided,
      that the
      Holder delivers to the Company and its counsel certification, documentation,
      and
      other assurances reasonably required by the Company’s counsel to enable the
      Company’s counsel to render an opinion to the Company’s Transfer Agent that such
      transfer does not violate applicable securities laws.

    

    
      	5.	
              MUTILATED
                OR MISSING WARRANT CERTIFICATE

            

    

    

    If
      this
      Warrant is mutilated, lost, stolen or destroyed, upon request by the Holder,
      the
      Company will,
      at its
      expense,
      issue,
      in exchange for and upon cancellation of the mutilated Warrant, or in
      substitution for the lost, stolen or destroyed Warrant, a new Warrant, in
      substantially the form of this Warrant, representing the right to acquire the
      equivalent number of Warrant Shares, provided,
      that,
      as a prerequisite to the issuance of a substitute Warrant, the Company may
      require satisfactory evidence of loss, theft or destruction as well as an
      indemnity from the Holder of a lost, stolen or destroyed Warrant.

    

    
      	6.	
              PAYMENT
                OF TAXES

            

    

    

    The
      Company will pay all transfer and stock issuance taxes attributable to the
      preparation, issuance and delivery of this Warrant and the Warrant Shares
(and
      replacement Warrants) including,
      without limitation, all documentary and stamp taxes;
      provided, however, that the Company shall not be required to pay any tax in
      respect of the transfer of this Warrant, or the issuance or delivery of
      certificates for Warrant Shares or other securities in respect of the Warrant
      Shares to any person or entity other than to the Holder or its
      transferee.

    

    
      	7.	
              FRACTIONAL
                WARRANT SHARES

            

    

    

    No
      fractional Warrant Shares shall be issued upon exercise of this Warrant. The
      Company, in lieu of issuing any fractional Warrant Share, shall round up the
      number of Warrant Shares issuable to nearest whole share.

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    
      	8.	
              NO
                STOCK RIGHTS AND LEGEND

            

    

    

    No
      holder
      of this Warrant, as such, shall be entitled to vote or be deemed the holder
      of
      any other securities of the Company which may at any time be issuable on the
      exercise hereof, nor shall anything contained herein be construed to confer
      upon
      the holder of this Warrant, as such, the rights of a stockholder of the Company
      or the right to vote for the election of directors or upon any matter submitted
      to stockholders at any meeting thereof,
      or give
      or withhold consent to any corporate action or to receive notice of meetings
      or
      other actions affecting stockholders (except as provided herein), or to receive
      dividends or subscription rights or otherwise (except as provided
      herein).

    

    Each
      certificate for Warrant Shares initially issued upon the exercise of this
      Warrant, and each certificate for Warrant Shares issued to any subsequent
      transferee of any such certificate, shall be stamped or otherwise imprinted
      with
      a legend in substantially the following form:

    

    “THE
      SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
      SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR ANY STATE SECURITIES LAWS,
      AND NEITHER SUCH SECURITIES NOR ANY INTEREST THEREIN MAY BE OFFERED, SOLD,
      ASSIGNED OR OTHERWISE TRANSFERRED UNLESS (1) A REGISTRATION STATEMENT WITH
      RESPECT THERETO IS EFFECTIVE UNDER THE ACT AND ANY APPLICABLE STATE SECURITIES
      LAWS, OR (2) AN EXEMPTION FROM SUCH REGISTRATION EXISTS AND THE COMPANY RECEIVES
      AN OPINION OF COUNSEL TO THE HOLDER OF SUCH SECURITIES, WHICH COUNSEL AND
      OPINION ARE SATISFACTORY TO THE COMPANY, THAT SUCH SECURITIES MAY BE OFFERED,
      SOLD, PLEDGED, ASSIGNED OR TRANSFERRED IN THE MANNER CONTEMPLATED WITHOUT AN
      EFFECTIVE REGISTRATION STATEMENT UNDER THE ACT OR APPLICABLE STATE SECURITIES
      LAWS.”

     

    
      	9.	
              [RESERVED]

            

    

    

    
      	10.	
              NOTICES

            

    

    

    All
      notices, consents, waivers, and other communications under this Warrant must
      be
      in writing and will be deemed given to a party when (a) delivered to the
      appropriate address by hand or by nationally recognized overnight courier
      service (costs prepaid); (b) sent by facsimile or e-mail with confirmation
      of
      transmission by the transmitting equipment; (c) received or rejected by the
      addressee, if sent by certified mail, return receipt requested, if to the
      registered Holder hereof; or (d) seven days after the placement of the notice
      into the mails (first class postage prepaid), to the Holder at the address,
      facsimile number, or e-mail address furnished by the registered Holder to the
      Company in accordance with the Purchase Agreement, or if to the Company, to
      it
      at 8000 Towers Crescent Drive, Suite 1300, Vienna, VA 22182, Attention: Shai
      Novik, Facsimile: (703) 288-0070 (or to such other address, facsimile number,
      or
      e-mail address as the Holder or the Company as a party may designate by notice
      the other party) with a copy to Barack Ferrazzano Kirschbaum Perlman &
Nagelberg LLP, 333 West Wacker Drive, Suite 2700, Chicago, IL 60606, facsimile:
      (312) 984-3150, Attn: Gretchen Trofa, Esq., if on or before May 28, 2007, or
      to
      Barack Ferrazzano Kirschbaum & Nagelberg LLP, 200 West Madison Street, Suite
      3900, Chicago, IL 60606, if after June 30, 2007, facsimile: (312) 984-3150,
      Attn: Gretchen Trofa, Esq. 

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

    
      	11.	
              SEVERABILITY

            

    

    

    If
      a
      court of competent jurisdiction holds any provision of this Warrant invalid
      or
      unenforceable, the other provisions of this Warrant will remain in full force
      and effect. Any provision of this Warrant held invalid or unenforceable only
      in
      part or degree will remain in full force and effect to the extent not held
      invalid or unenforceable.

    

    
      	12.	
              BINDING
                EFFECT

            

    

    

    This
      Warrant shall be binding upon and inure to the sole and exclusive benefit of
      the
      Company, its successors and assigns, and the registered Holder or Holders from
      time to time of this Warrant and the Warrant Shares.

    

    
      	13.	
              SURVIVAL
                OF RIGHTS AND DUTIES

            

    

    

    This
      Warrant shall terminate and be of no further force and effect on the earlier
      of
      5:00 P.M., Eastern Daylight Time, on the Expiration Date or the date on which
      this Warrant has been exercised in full.

    

    
      	14.	
              GOVERNING
                LAW

            

    

    

    This
      Warrant will be governed by and construed under the laws of the State of
New
      York
      without
      regard to conflicts of laws principles that would require the application of
      any
      other law.

    

    
      	15.	
              DISPUTE
                RESOLUTION

            

    

    

    In
      the
      case of a dispute as to the determination of the Exercise Price or the
      arithmetic calculation of the Warrant Shares, the Company shall submit the
      disputed determinations or arithmetic calculations via facsimile within two
      Business Days of receipt of the Exercise Notice giving rise to such dispute,
      as
      the case may be, to the Holder. If the Holder and the Company are unable to
      agree upon such determination or calculation of the Exercise Price or the
      Warrant Shares within three Business Days of such disputed determination or
      arithmetic calculation being submitted to the Holder, then the Company shall,
      within two Business Days submit via facsimile (a) the disputed determination
      of
      the Exercise Price to an independent, reputable investment bank selected by
      the
      Company and approved by the Holder or (b) the disputed arithmetic calculation
      of
      the Warrant Shares to the Company’s independent, outside accountant. The Company
      shall cause at its expense the investment bank or the accountant, as the case
      may be, to perform the determinations or calculations and notify the Company
      and
      the Holder of the results no later than ten (10) Business Days from the time
      it
      receives the disputed determinations or calculations. Such investment bank’s or
      accountant’s determination or calculation, as the case may be, shall be binding
      upon all parties absent demonstrable error. 

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    
      	16.	
              NOTICES
                OF
                RECORD DATE

            

    

    

    Upon
      (a)
      any establishment
      by the
      Company of a record date of the holders of any class of securities for the
      purpose of determining the holders thereof who are entitled to receive any
      dividend or other distribution, or right or option to acquire securities of
      the
      Company, or any other right, or (b) any capital reorganization,
      reclassification, recapitalization, merger or consolidation of the Company
      with
      or into any other corporation, any transfer of all or substantially all the
      assets of the Company, or any voluntary or involuntary dissolution, liquidation
      or winding up of the Company, or the sale, in a single transaction, of a
      majority of the Company’s voting stock (whether newly issued, or from treasury,
      or previously issued and then outstanding, or any combination thereof), the
      Company shall mail to the Holder at least ten (10) Business Days, or such longer
      period as may be required by law, prior to the record date specified therein,
      a
      notice specifying (i) the date established as the record date for the purpose
      of
      such dividend, distribution, option or right and a description of such dividend,
      option or right, (ii) the date on which any such reorganization,
      reclassification, transfer, consolidation, merger, dissolution, liquidation
      or
      winding up, or sale is expected to become effective and (iii) the date, if
      any,
      fixed as to when the holders of record of Common Stock shall be entitled to
      exchange their shares of Common Stock for securities or other property
      deliverable upon such reorganization, reclassification, transfer, consolation,
      merger, dissolution, liquidation or winding up.

    

    
      	17.	
              RESERVATION
                OF SHARES

            

    

    

    The
      Company
      shall reserve and keep available out of its authorized but unissued shares
      of
      Common Stock
      for
      issuance upon the exercise of this Warrant, free from preemptive rights, such
      number of shares of Common Stock for which this Warrant shall from time to
      time
      be exercisable.
      The
      Company will take all such reasonable action as may be necessary to assure
      that
      such Warrant Shares may be issued as provided herein without violation of any
      applicable law or regulation. Except and to the extent as waived or consented
      to
      by the Holder, the Company shall not by any action, including, without
      limitation, amending its articles of incorporation, to avoid or seek to avoid
      the observance or performance of any of the terms of this Warrant, and will
      at
      all times in good faith assist in the carrying out of all such terms and in
      the
      taking of all such actions as may be necessary or appropriate to protect the
      rights of the Holder as set forth in this Warrant. Without limiting the
      generality of the foregoing, the Company covenants that it will take all such
      action as may be necessary or appropriate in order that the Company may validly
      and legally issue fully paid and nonassessable Warrant Shares upon the exercise
      of this Warrant and use commercially reasonable efforts to obtain all such
      authorizations, exemptions or consents, including but not limited to consents
      from the Company’s stockholders or Board of Directors or any public regulatory
      body, as may be necessary to enable the Company to perform its obligations
      under
      this Warrant.

    

    
      	18.	
              NO
                THIRD PARTY
                RIGHTS

            

    

    

    This
      Warrant is
      not
      intended, and will not be construed, to create any rights in any parties other
      than the Company
      and
      the Holder, and no person or entity may assert any rights as third-party
      beneficiary hereunder.

    

    [SIGNATURE
      PAGE FOLLOWS]

     

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the Company has caused this Warrant to be executed by
its
      officer thereunto duly authorized as of the date hereof.

     

    
      	 	 	 
	 	Modigene
              Inc.
	 
 	 
 	 
 
	
            	By:  	 
	 	
              
Name:
              Shai Novik
	 	Title:
              President

    
      
        
        

      

      
        13

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A
      TO WARRANT CERTIFICATE

    

    EXERCISE
      FORM

    

    (To
      be
      executed by the Holder of Warrant if such Holder
      desires
      to exercise Warrant)

    

    To
      Modigene Inc.:

    

    The
      undersigned hereby irrevocably elects to exercise this Warrant and to purchase
      thereunder, ___________________ full shares of Modigene Inc., a Nevada
      corporation, common stock issuable upon exercise of the Warrant and delivery
      of:

    

    (1) $_________
      (in cash as provided for in the foregoing Warrant) and any applicable taxes
      payable by the undersigned pursuant to such Warrant; and

    

    (2) __________
      shares of Common Stock (pursuant to a Cashless Exercise in accordance with
      Section 1(b)(ii) of the Warrant) (check here if the undersigned desires to
      deliver an unspecified number of shares to be equal the number sufficient to
      effect a Cashless Exercise [___]).

    

    The
      undersigned requests that certificates for such shares be issued in the name
      of:

    

    _________________________________________

    (Please
      print name, address and social security or federal employer

    identification
      number (if applicable))

    

    _________________________________________

    

    _________________________________________

    

    If
      the
      shares issuable upon this exercise of the Warrant are not all of the Warrant
      Shares which the Holder is entitled to acquire upon the exercise of the Warrant,
      the undersigned requests that a new Warrant evidencing the rights not so
      exercised be issued in the name of and delivered to:

    

    _________________________________________

    (Please
      print name, address and social security or federal employer

    identification
      number (if applicable))

    

    _________________________________________

    

    _________________________________________

    

     

    Name
      of
      Holder (print): ___________________________

    (Signature):
      ____________________________________

    (By:)
      _________________________________________

    (Title:)
      ________________________________________

    Dated:
      ________________________________________

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    EXHIBIT
      B
      TO WARRANT CERTIFICATE

    

    FORM
      OF
      ASSIGNMENT

    

    FOR
      VALUE
      RECEIVED, ___________________________________ hereby sells, assigns and
      transfers to each assignee set forth below all of the rights of the undersigned
      under the Warrant (as defined in and evidenced by the attached Warrant) to
      acquire the number of Warrant Shares set opposite the name of such assignee
      below and in and to the foregoing Warrant with respect to said acquisition
      rights and the shares of [ ] issuable upon exercise of the
      Warrant:

     

    
      	
              Name
                of Assignee

            	 	
              Address

            	 	
              Number
                of Shares

            
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 

    

     

    If
      the
      total of the Warrant Shares are not all of the Warrant Shares evidenced by
      the
      foregoing Warrant, the undersigned requests that a new Warrant evidencing the
      right to acquire the Warrant Shares not so assigned be issued in the name of
      and
      delivered to the undersigned.

    

    Name
      of
      Holder (print): ___________________________

    (Signature):
      ____________________________________

    (By:)
      _________________________________________

    (Title:)
      ________________________________________

    Dated:
      ________________________________________2007
      EQUITY INCENTIVE PLAN

    

    1.    Purpose.
      The
      purpose of this Equity Incentive Plan (the “Plan”)
      is to
      advance the interests of Modigene
      Inc., a Nevada corporation (the
      “Company”)
      and
      its Affiliates (as defined below) by inducing eligible individuals of
      outstanding ability and potential to join and remain with, or to provide
      consulting or advisory services to, the Company or its Affiliates, by
      encouraging and enabling eligible employees, Outside Directors (as defined
      below), consultants, and advisors to acquire proprietary interests in the
      Company, and by providing participating eligible employees, Outside Directors,
      consultants, and advisors with an additional incentive to promote the success
      of
      the Company. These purposes are accomplished by providing for the granting
      of
      Incentive Stock Options, Nonqualified Stock Options, Reload Options, Stock
      Appreciation Rights, and Restricted Stock (all as defined below) to eligible
      employees, Outside Directors, consultants, and advisors.

    

    2.    Definitions.
      As used
      in the Plan, the following terms have the meanings indicated:

    

    (a) “Affiliate”
means
      a
“parent corporation” or a “subsidiary corporation” (as set forth in Code
      Sections 424(e) and 424(f), respectively) of the Company.

    

    (b) “Applicable
      Withholding Taxes”
means
      the aggregate minimum amount of federal, state, local, and foreign income,
      payroll, and other taxes that the Employer is required to withhold in connection
      with the grant, vesting, or exercise of any Award.

    

    (c) “Award”
means
      an Incentive Stock Option, a Nonqualified Stock Option, a Reload Option, a
      Stock
      Appreciation Right, or Restricted Stock.

    

    (d) “Beneficiary”
means
      the person or entity designated by the Participant, in a form approved by the
      Company, to exercise the Participant’s rights with respect to an Award after the
      Participant’s death. If the Participant does not validly designate a
      Beneficiary, or if the designated person no longer exists, then the
      Participant’s Beneficiary shall be his or her estate.

    

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

    

    (f) “Cause”
shall
      have the same meaning given to such term (or other term of similar meaning)
      in
      an Employment Agreement for purposes of termination of employment under such
      agreement, and in the absence of any such agreement or if such agreement does
      not include a definition of “Cause” (or other term of similar meaning), the term
“Cause” shall mean (i) any material breach by the Participant of any agreement
      to which the Participant and the Company or an Affiliate are parties, (ii)
      any
      continuing act or omission to act by the Participant which may have a material
      and adverse effect on the Company’s business or on the Participant’s ability to
      perform services for the Company or an Affiliate, including, without limitation,
      the commission of any crime (other than minor traffic violations), or (iii)
      any
      material misconduct or material neglect of duties by the Participant in
      connection with the business or affairs of the Company or an
      Affiliate.

    

    (g) “Change
      in Control”
means,
      unless such term or an equivalent term is otherwise defined with respect to
      an
      Award by the Participant’s Award agreement, any Employment Agreement or in a
      written contract of service, the occurrence of any of the
      following:

    

    (i) any
      “person” (as such term is used in Sections 13(d) and 14(d) of the Exchange
      Act) becomes the “beneficial owner” (as defined in Rule 13d-3 promulgated
      under the Exchange Act), directly or indirectly, of securities of the Company
      representing more than fifty percent (50%) of the total combined voting power
      of
      the Company’s then-outstanding securities entitled to vote generally in the
      election of Directors; provided,
      however,
      that
      the following acquisitions shall not constitute a Change in Control: (1) an
      acquisition by any such person who on the Effective Date is the beneficial
      owner
      of more than fifty percent

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    (50%)
      of
      such voting power, (2) any acquisition directly from the Company,
      including, without limitation, a public offering of securities, (3) any
      acquisition by the Company, (4) any acquisition by a trustee or other
      fiduciary under an employee benefit plan of a participating company or
      (5) any acquisition by an entity owned directly or indirectly by the
      stockholders of the Company in substantially the same proportions as their
      ownership of the voting securities of the Company; or

     

    (ii) an
      Ownership Change Event or series of related Ownership Change Events
      (collectively, a “Transaction”)
      in
      which the stockholders of the Company immediately before the Transaction do
      not
      retain immediately after the Transaction direct or indirect beneficial ownership
      of more than fifty percent (50%) of the total combined voting power of the
      outstanding securities entitled to vote generally in the election of directors
      or, in the case of an Ownership Change Event described in Section 2(x)(iii),
      the
      entity to which the assets of the Company were transferred (the “Transferee”),
      as
      the case may be; or

     

    (iii) a
      liquidation or dissolution of the Company;

     

    provided,
      however,
      that a
      Change in Control shall be deemed not to include a transaction described in
      subsections (i) or (ii) of this paragraph (g) in which a majority of the members
      of the board of directors of the continuing, surviving or successor entity,
      or
      parent thereof, immediately after such transaction is comprised of incumbent
      directors. For purposes of the preceding sentence, indirect beneficial ownership
      shall include, without limitation, an interest resulting from ownership of
      the
      voting securities of one or more corporations or other business entities which
      own the Company or the Transferee, as the case may be, either directly or
      through one or more subsidiary corporations or other business entities. The
      Committee shall have the right to determine whether multiple sales or exchanges
      of the voting securities of the Company or multiple Ownership Change Events
      are
      related, and its determination shall be final, binding and
      conclusive.

     

    (h) “Code”
means
      the Internal Revenue Code of 1986, as amended from time to time, and any rulings
      or regulations promulgated thereunder.

    

    (i) “Committee”
means
      the Board, the Compensation Committee of the Board, or such other committee
      of
      the Board as the Board appoints to administer the Plan; provided,
      however,
      that
      should Section 162(m) of the Code and Section 16 of the Securities Exchange
      Act
      of 1934 apply to Awards under the Plan, if any member of the Committee does
      not
      qualify as both an “outside director” for purposes of Code Section 162(m) and a
“non-employee director” for purposes of Rule 16b-3, the remaining members of the
      Committee (but not less than two members) shall be constituted as a subcommittee
      of the Committee to act as the Committee for purposes of the Plan.

    

    (j) “Commission”
means
      the U.S. Securities and Exchange Commission. 

    

    (k) “Company”
means
      Modigene Inc., a Nevada corporation, and its subsidiaries. 

    

    (l) “Company
      Stock”
means
      the common stock, par value $0.0001 per share, of the Company. In the event
      of a
      change in the capital structure of the Company affecting the common stock (as
      provided in Section 14), the shares resulting from such a change in the common
      stock shall be deemed to be Company Stock within the meaning of the
      Plan.

    

    (m) “Date
      of Grant”
means
      the date on which the Committee grants an Award, or such future date as may
      be
      determined by the Committee.

    

    (n) “Disability”
means
      a
      disability within the meaning of Code Section 22(e)(3).

    

    (o) “Employer”
means
      the Company and each Affiliate that employs one or more Participants.

    
      
         

      

      
        -2-

        
          

        

      

      
         

      

    

     

    (p) “Employment
      Agreement”
means
      any written employment or other similar agreement between the Participant and
      the Company or an Affiliate.

    

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

    

    (r) “Fair
      Market Value”
means
      on any given date the fair market value of Company Stock as of such date, as
      determined by the Committee. If the Company Stock is listed on a national
      securities exchange or traded on the over-the-counter market, Fair Market Value
      means the closing selling price or, if not available, the closing bid price
      or,
      if not available, the high bid price of the Company Stock quoted on such
      exchange, or on the over-the-counter market as reported by the NASDAQ Stock
      Market (“NASDAQ”),
      or if
      the Company Stock is not listed on NASDAQ, then by the National Quotation
      Bureau, Incorporated, on the day immediately preceding the day on which the
      Award is granted or exercised, as the case may be, or, if there is no selling
      or
      bid price on that day, the closing selling price, closing bid price, or high
      bid
      price on the most recent day which precedes that day and for which such prices
      are available.

    

    (s) “Incentive
      Stock Option”
means
      an Option that qualifies for favorable income tax treatment under Code Section
      422.

    

    (t) “Mature
      Shares”
means
      shares of Company Stock for which the stockholder has good title, free and
      clear
      of all liens and encumbrances.

    

    (u) “Nonqualified
      Stock Option”
means
      an Option that is not an Incentive Stock Option.

    

    (v) “Option”
means
      a
      right to purchase Company Stock granted under the Plan, at a price determined
      in
      accordance with the Plan.

    

    (w) “Outside
      Director”
means
      a
      member of the Board who is not an employee of, or a consultant or advisor to,
      the Company or an Affiliate as of the Date of Grant. 

    

    (x) “Ownership
      Change Event”
means
      the occurrence of any of the following with respect to the Company: (i) the
      direct or indirect sale or exchange in a single or series of related
      transactions by the stockholders of the Company of more than fifty percent
      (50%)
      of the voting stock of the Company; (ii) a merger or consolidation in which
      the Company is a party; or (iii) the sale, exchange, or transfer of all or
      substantially all of the assets of the Company (other than a sale, exchange
      or
      transfer to one or more subsidiaries of the Company).

    

    (y) “Participant”
means
      any employee, Outside Director, consultant, or advisor (including independent
      contractors, professional advisors, and service providers) of the Company or
      an
      Affiliate who receives an Award under the Plan.

    

    (z) “Restricted
      Stock”
means
      Company Stock awarded under Section 9 of the Plan.

    

    (aa) “Reload
      Option”
means
      a
      reload option grant made in accordance with Section 7 of the Plan.

    

    (bb) “Rule
      16b-3”
means
      Rule 16b-3 of the Commission promulgated under the Exchange Act. A reference
      in
      the Plan to Rule 16b-3 shall include a reference to any corresponding rule
      (or
      number redesignation) of any amendments to Rule 16b-3 enacted after the
      effective date of the Plan’s adoption.

    

    (cc)   “Securities
      Act”
means
      the Securities Act of 1933, as amended.

    
      
         

      

      
        -3-

        
          

        

      

      
         

      

    

     

    (dd) “Stock
      Appreciation Right”
means
      a
      right to receive amounts awarded under Section 8.

    

    3.    Stock.
      Subject
      to Section 14 of the Plan, there shall be reserved for issuance under the Plan
      an aggregate of 8,000,000 shares of Company Stock, which may be authorized
      but
      unissued shares, or shares held in the Company’s treasury, or shares purchased
      from stockholders expressly for use under the Plan. In addition, shares
      allocable to Awards granted under the Plan that expire, are forfeited, are
      cancelled without the delivery of the shares, or otherwise terminate
      unexercised, may again be available for Awards under the Plan. For purposes
      of
      determining the number of shares that are available for Awards under the Plan,
      the number shall also include the number of shares surrendered by a Participant
      actually or by attestation or retained by the Company in payment of Applicable
      Withholding Taxes, and any Mature Shares surrendered by a Participant upon
      exercise of an Option or in payment of Applicable Withholding Taxes. Shares
      issued under the Plan through the settlement, assumption, or substitution of
      outstanding awards or obligations to grant future awards as a condition of
      an
      Employer acquiring another entity shall not reduce the maximum number of shares
      available for delivery under the Plan.

    

    4.    Eligibility.
      Subject
      to the terms of the Plan, the Committee shall have the power and complete
      discretion, as provided in Section 13, to select eligible employees, Outside
      Directors, consultants, and advisors to receive an Award under the Plan;
provided,
      however,
      that
      any Award shall be subject to the following terms and conditions:

    

    (a) Only
      those individuals who are employees (including officers) of the Company or
      an
      Affiliate at the Date of Grant shall be eligible to receive an Incentive Stock
      Option under the Plan.

    

    (b) All
      employees (including officers) and Outside Directors of, or consultants and
      advisors to, either the Company or an Affiliate at the Date of Grant shall
      be
      eligible to receive Nonqualified Stock Options, Stock
      Appreciation Rights,
      and
      Restricted Stock; provided, however, that Nonqualified Stock Options, Stock
      Appreciation Rights, and Restricted Stock may not be granted to any such
      consultants and advisors unless (i) bona fide services have been or are to
      be
      rendered by such consultant or advisor and (ii) such services are not in
      connection with the offer or sale of securities in a capital raising
      transaction.

    

    (c) Anything
      herein to the contrary notwithstanding, any recipient of an Award under the
      Plan
      must be includable in the definition of “employee” provided in the general
      instructions to Form S-8 Registration Statement under the Securities
      Act.

    

    (d) The
      grant
      of an Award shall not obligate an Employer to pay any employee, Outside
      Director, consultant, or advisor any particular amount of remuneration, to
      continue the employment of the employee or engagement of the Outside Director,
      consultant, or advisor after the grant, or to make further grants to the
      employee, Outside Director, consultant, or advisor at any time
      thereafter.

    

    5.    Stock
      Options.

    

    (a) The
      Committee may make grants of Options to Participants. Except as otherwise
      provided herein, the Committee shall determine the number of shares for which
      Options are granted, the Option exercise price per share, whether the Options
      are Incentive Stock Options or Nonqualified Stock Options, and any other terms
      and conditions to which the Options are subject.

    

    (b) Unless
      determined otherwise by the Committee on the Date of Grant, the exercise price
      of shares of Company Stock covered by an Option shall be not less than 100
      percent of the Fair Market Value of Company Stock on the Date of Grant. Except
      as provided in Section 14, (i) the exercise price of an Option
      may

    
      
         

      

      
        -4-

        
          

        

      

      
         

      

    

    not
      be
      decreased after the Date of Grant and (ii) a Participant may not surrender
      an
      Option in consideration for the grant of a new Option with a lower exercise
      price or another Award. 

    

    (c) All
      Options granted hereunder shall be subject to the following terms and
      conditions:

    

    (i) All
      Options shall be evidenced by a written stock option agreement (the
“Stock
      Option Agreement”)
      setting forth all the relevant terms of the Award.

    

    (ii) No
      Option
      shall be exercisable more than 10 years after the Date of Grant.

    

    (iii) The
      aggregate Fair Market Value, determined at the Date of Grant, of shares for
      which Incentive Stock Options become exercisable by a Participant during any
      calendar year shall not exceed $100,000 and any amount in excess of $100,000
      shall be treated as a Nonqualified Stock Option. The maximum aggregate number
      of
      shares for which Incentive Stock Options may be issued under the Plan to any
      Participant in any calendar year shall be 200,000.

    

    (iv) If
      an
      Incentive Stock Option is granted to an employee who owns, at the Date of Grant,
      more than 10 percent of the total combined voting power of all classes of stock
      of the Company or an Affiliate, then (A) the option price of the shares subject
      to the Incentive Stock Option shall be at least 110% of the Fair Market Value
      of
      the Company Stock at the Date of Grant and (B) such Incentive Stock Option
      shall
      not be exercisable after the expiration of 5 years from the Date of
      Grant.

    

    (v) Subject
      to earlier termination of the Option as otherwise provided herein and unless
      otherwise provided in any Employment Agreement or as provided by the Committee
      in the grant of an Option and set forth in or incorporated into the Stock Option
      Agreement: (A) if
      the
      employment of an employee by, or the services of an Outside Director for, or
      consultant or advisor to, the Company or an Affiliate should be terminated
      for
      Cause or terminated voluntarily by the grantee, then any outstanding Option
      shall terminate immediately, (B) if such employment or services terminates
      for
      any other reason, any such Option exercisable as of the date of termination
      may
      be exercised at any time within three months of termination. For purposes of
      this subsection, (y) the retirement of an individual either pursuant to a
      pension or retirement plan maintained by the Company or an Affiliate or at
      the
      applicable normal retirement date prescribed from time to time by the Company
      shall be deemed to be termination of the individual’s employment other than
      voluntarily or for Cause, and (z) an individual who leaves the employ or
      services of the Company or an Affiliate to become an employee or Outside
      Director of, or a consultant or advisor to, an entity that has assumed the
      Option as a result of a corporate reorganization or the like shall not be
      considered to have terminated employment or services.

    

    (vi) Subject
      to earlier termination of the Option as otherwise provided herein and unless
      otherwise provided in any Employment Agreement or as provided by the Committee
      in the grant of an Option and set forth in or incorporated into the Stock Option
      Agreement, if
      the
      holder of an Option under the Plan ceases employment or services because of
      Disability while employed by, or while serving as an Outside Director for or
      a
      consultant or advisor to, the Company or an Affiliate, then such Option may,
      subject to the provisions of subsection (viii) below, be exercised at any time
      within one year after the termination of employment or services due to the
      Disability.

    

    (vii) Subject
      to earlier termination of the Option as otherwise provided herein and unless
      otherwise provided in any Employment Agreement or as provided by the Committee
      in the grant of an Option and set forth in or incorporated into the Stock Option
      Agreement, if
      the
      holder of an Option under the Plan dies (A) while employed by, or while serving
      as an Outside Director for or a consultant or advisor to, the Company or an
      Affiliate, or (B) within three months after the termination of employment or
      services other than voluntarily by the grantee or for Cause, then such Option
      may, subject to the provisions of subsection (viii) below, be exercised by
      the
      Participant’s Beneficiary at any time within one year after the Participant’s
      death.

    
      
         

      

      
        -5-

        
          

        

      

      
         

      

    

     

    (viii) An
      Option
      may not be exercised after termination of employment, termination of
      directorship, termination of consulting or advisory services, Disability or
      death except to the extent that the holder was entitled to exercise the Option
      at the time of such termination or as otherwise provided in a currently
      effective written Employment Agreement, consulting agreement or other related
      agreement executed between the Company and the employee, Outside Director or
      consultant or advisor, and in any event may not be exercised after the
      expiration of the Option in accordance with the terms of the grant.

    

    (ix) The
      employment relationship of an employee of the Company or an Affiliate shall
      be
      treated as continuing intact while the employee is on military or sick leave
      or
      other bona fide leave of absence if such leave does not exceed 90 days or,
      if
      longer, so long as the employee’s right to reemployment is guaranteed either by
      statute or by contract.

    

    (d) The
      holder of any Option granted under the Plan shall have none of the rights of
      a
      stockholder with respect to the shares covered by the Option until such stock
      shall be transferred to the holder upon the exercise of the Option.

    

    6.    Grants
      to Outside Directors.
      Awards,
      other than Incentive Stock Options, may be made to Outside Directors. The
      Committee shall have the power and complete discretion to select Outside
      Directors to receive Awards. The Committee shall have the complete discretion,
      under provisions consistent with Section 13, to determine the terms and
      conditions, the nature of the Award and the number of shares to be allocated
      as
      part of each Award for each Outside Director. The grant of an Award shall not
      obligate the Company to make further grants to the Outside Director at any
      time
      thereafter or to retain any person as a director for any period of
      time.

    

    7.    Reload
      Options.
      The
      Committee may grant Options with a reload feature. A reload feature shall only
      apply when the exercise price is paid by delivery of Company Stock in accordance
      with Section 10. The Stock Option Agreement for the Option containing the reload
      feature shall provide that the holder of the Option shall receive,
      contemporaneously with the payment of the exercise price in shares of Company
      Stock, a Reload Option to purchase that number of shares of Company Stock equal
      to the sum of (i) the number of shares used to exercise the Option, and (ii)
      with respect to Nonqualified Stock Options, the number of shares used to satisfy
      Applicable Withholding Taxes. The terms of the Plan applicable to the Option
      shall be equally applicable to the Reload Option with the following exceptions:
      the price per share of Company Stock deliverable upon the exercise of the Reload
      Option (i) in the case of a Reload Option that is an Incentive Stock Option
      being granted to a Participant who owns more than 10 percent of the total
      combined voting power of all classes of stock of the Company or an Affiliate,
      shall be 110% of the Fair Market Value of a share of Company Stock on the Date
      of Grant of the Reload Option, and (ii) in the case of a Reload Option which
      is
      an Incentive Stock Option being granted to any other Participant, or which
      is a
      Nonqualified Stock Option, shall be the Fair Market Value of a share of Company
      Stock on the Date of Grant of the Reload Option, unless the Committee shall
      determine otherwise on the Date of Grant, but in no event shall such price
      be
      less than the exercise price of the Option which gave rise to the Reload Option.
      The term of the Reload Option shall be the same as the Option which gave rise
      to
      the Reload Option. If the exercise price of an Option containing a reload
      feature is paid in cash and not in shares of Company Stock, the reload feature
      shall have no application with respect to such exercise.

    

    8.    Stock
      Appreciation Rights.
      Concurrently with the award of any Option to purchase one or more shares of
      Company Stock, the Committee may, in its sole discretion, award to the optionee
      with respect to each share of Company Stock covered by an Option a related
      Stock
      Appreciation Right, which permits the optionee to be paid the appreciation
      on
      the related Option in lieu of exercising the Option. The Committee shall
      establish as to each award of Stock Appreciation Rights the terms and conditions
      to which the Stock Appreciation Rights are subject; provided,
      however,
      that
      the following terms and conditions shall apply to all Stock Appreciation
      Rights:

    
      
         

      

      
        -6-

        
          

        

      

      
         

      

    

    

    (a) A
      Stock
      Appreciation Right granted with respect to an Incentive Stock Option must be
      granted together with the related Option. A Stock Appreciation Right granted
      with respect to a Nonqualified Stock Option may be granted together with the
      grant of the related Option.

    

    (b) A
      Stock
      Appreciation Right shall entitle the Participant, upon exercise of the Stock
      Appreciation Right, to receive in exchange an amount equal to the excess of
      (i)
      the Fair Market Value on the date of exercise of Company Stock covered by the
      surrendered Stock Appreciation Right, over (ii) the Fair Market Value of Company
      Stock on the Date of Grant of the Stock Appreciation Right. The Committee may
      limit the amount that the Participant will be entitled to receive upon exercise
      of a Stock Appreciation Right.

    

    (c) A
      Stock
      Appreciation Right may be exercised only if and to the extent the underlying
      Option is exercisable, and a Stock Appreciation Right may not be exercisable
      in
      any event more than 10 years after the Date of Grant.

    

    (d) A
      Stock
      Appreciation Right may only be exercised at a time when the Fair Market Value
      of
      Company Stock covered by the Stock Appreciation Right exceeds the Fair Market
      Value of Company Stock on the Date of Grant of the Stock Appreciation Right.
      The
      Stock Appreciation Right may provide for payment in Company Stock or cash,
      or a
      fixed combination of Company Stock and cash, or the Committee may reserve the
      right to determine the manner of payment at the time the Stock Appreciation
      Right is exercised.

    

    (e) To
      the
      extent a Stock Appreciation Right is exercised, the underlying Option shall
      be
      cancelled, and the shares of Company Stock represented by the Option shall
      no
      longer be available for Awards under the Plan.

    

    9.    Restricted
      Stock Awards.

    

    (a) The
      Committee may make grants of Restricted Stock to a Participant. The Committee
      shall establish as to each award of Restricted Stock the terms and conditions
      to
      which the Restricted Stock is subject, including the period of time before
      which
      all restrictions shall lapse and the Participant shall have full ownership
      of
      the Company Stock. The Committee in its discretion may award Restricted Stock
      without cash consideration. All Restricted Stock Awards shall be evidenced
      by a
      Restricted Stock Agreement setting forth all the relevant terms of the
      Award.

    

    (b) Except
      as
      provided in Section 12, Restricted Stock may not be sold, assigned, transferred,
      pledged, hypothecated, or otherwise encumbered or disposed of until the
      restrictions have lapsed or been removed. Certificates representing Restricted
      Stock shall be held by the Company until the restrictions lapse, and the
      Participant shall provide the Company with appropriate stock powers endorsed
      in
      blank.

    

    10.    Method
      of Exercise of Options.

    

    (a) Options
      may be exercised by the Participant (or his or her legal guardian or personal
      representative) by giving written notice of the exercise to the Company at
      its
      principal office (attention of the Corporate Secretary) pursuant to procedures
      established by the Company. The notice shall state the number of shares the
      Participant has elected to purchase under the Option. Such notice shall be
      accompanied, or followed within 10 days of delivery thereof, by payment of
      the
      full exercise price of such shares. The exercise price may be paid in cash
      by
      means of a check payable to the order of the Company or, if the terms of an
      Option permit, (i) by delivery or attestation of Mature Shares (valued at their
      Fair Market Value) in satisfaction of all or any part of the exercise price,
      (ii) by delivery of a properly executed exercise notice with irrevocable
      instructions to a broker to deliver to the Company the amount necessary to
      pay
      the exercise price from the sale or proceeds of a loan from the broker with
      respect to the sale of Company Stock or a broker loan secured by the Company
      Stock,

    
      
         

      

      
        -7-

        
          

        

      

      
         

      

    

    (iii) by
      such other consideration as may be approved by the Committee from time to time
      to the extent permitted by applicable law, or (iv) by any combination of
      (i) through (iii) hereof.

    

    (b) Unless
      prior to the exercise of the Option the shares issuable upon such exercise
      have
      been registered with the Commission pursuant to the Securities Act, the notice
      of exercise shall be accompanied by a representation or agreement of the
      individual or entity exercising the Option to the Company to the effect that
      such shares are being acquired for investment purposes and not with a view
      to
      the distribution thereof, and such other documentation as may be required by
      the
      Company, unless in the opinion of counsel to the Company such representation,
      agreement or documentation is not necessary to comply with any such
      act.

    

    (c) The
      Company shall not be obligated to deliver any Company Stock until the shares
      have been listed on each securities exchange or market on which the Company
      Stock may then be listed or until there has been qualification under or
      compliance with such federal or state laws, rules or regulations as the Company
      may deem applicable. The Company shall use reasonable efforts to obtain such
      listing, qualification and compliance.

    

    11.    Tax
      Withholding.
      Each
      Participant shall agree as a condition of receiving an Award payable in the
      form
      of Company Stock to pay to the Employer, or make arrangements satisfactory
      to
      the Employer regarding the payment to the Employer of, Applicable Withholding
      Taxes. Under procedures established by the Committee or its delegate, a
      Participant may elect to satisfy Applicable Withholding Taxes by (i) making
      a
      cash payment or authorizing additional withholding from cash compensation,
      (ii)
      delivering Mature Shares (valued at their Fair Market Value), or (iii) if the
      applicable Stock Option Agreement or Restricted Stock Agreement permits, having
      the Company retain that number of shares of Company Stock (valued at their
      Fair
      Market Value) that would satisfy all or a specified portion of the Applicable
      Withholding Taxes.

    

    12.    Transferability
      of Awards.
      Except
      as
      otherwise so provided by the Committee, awards under the Plan are not
      transferable except as designated by the Participant by will or by the laws
      of
      descent and distribution or pursuant to a qualified domestic relations order,
      as
      defined in the Code or Title I of the Employee Retirement Income Security Act
      of
      1974, as amended. The Committee shall have the discretion to permit the transfer
      of awards under the plan; provided,
      however,
      that
      such transfers shall be limited to immediate family members of participants,
      trusts and partnerships established for the primary benefit of such family
      members or to charitable organizations, and; provided,
      further,
      that
      such transfers are not made for consideration to the Participant.

    

    13.    Administration
      of the Plan.

    

    (a) The
      Committee shall administer the Plan. Subject to the terms and conditions set
      forth in the Plan, the Committee shall have general authority to impose any
      term, limitation, or condition upon an Award that the Committee deems
      appropriate to achieve the objectives of the Award and of the Plan. The
      Committee may adopt rules and regulations for carrying out the Plan with respect
      to Participants and Beneficiaries. The interpretation and construction of any
      provision of the Plan by the Committee shall be final and conclusive as to
      any
      Participant or Beneficiary.

    

    (b) The
      Committee shall have the power to amend the terms and conditions of previously
      granted Awards so long as the terms as amended are consistent with the terms
      of
      the Plan and provided that the consent of the Participant is obtained with
      respect to any amendment that would be detrimental to him or her, except that
      such consent will not be required if such amendment is for the purpose of
      complying with Rule 16b-3 or any requirement of the Code or of other securities
      laws applicable to the Award.

    

    (c) The
      Committee shall have the power and complete discretion (i) to delegate to any
      individual, or to any group of individuals employed by the Company or any
      Affiliate, the authority to grant

    
      
         

      

      
        -8-

        
          

        

      

      
         

      

    

    Awards
      under the Plan and (ii) to determine the terms and limitations of any delegation
      of authority; provided,
      however,
      that
      the Committee may not delegate power and discretion to the extent such action
      would cause noncompliance with, or the imposition of penalties, excise taxes,
      or
      other sanctions under, applicable corporate law, Rule 16b-3, Code Section 162(m)
      or 409A, or any other applicable securities or tax law.

    

    (d) The
      Committee shall have the power to include one or more provisions in the terms
      of
      Award grants to provide for the cancellation of an outstanding Award in the
      event the Participant violates any agreement or other obligation dealing with
      non-competition, non-solicitation or protection of the Company’s confidential
      information. 

    

    
      	 	
              14.

            	
              Change
                in Capital Structure; Change of Control.

            

    

    

    (a) Change
      in Capital Structure. In
      the
      event of a stock dividend, stock split, or combination of shares, share
      exchange, share distribution, recapitalization or merger in which the Company
      is
      the surviving corporation, a spin-off or split-off of a subsidiary or Affiliate,
      or other change in the Company’s capital stock (including, but not limited to,
      the creation or issuance to stockholders generally of rights, options, or
      warrants for the purchase of common stock or preferred stock of the Company),
      the aggregate number and kind of shares of stock or securities of the Company
      to
      be subject to the Plan and to Awards then outstanding or to be granted, the
      maximum number of shares or securities which may be delivered under the Plan
      under Sections 3, 5(b), or 8, the per share exercise price of Options, the
      terms
      of Awards, and other relevant provisions shall be proportionately and
      appropriately adjusted by the Committee in its discretion, and the determination
      of the Committee shall be binding on all persons. If the adjustment would
      produce fractional shares with respect to any unexercised Option, the Committee
      may adjust appropriately and in a nondiscriminatory manner the number of shares
      covered by the Option so as to eliminate the fractional shares.

    

    (b) Effect
      of Change in Control on Options and Stock Appreciation Rights.
Subject
      to the terms of any Employment Agreement, the Committee may provide in an Award
      agreement for, or in the event of a Change in Control may take such actions
      as
      it deems appropriate to provide for, any one or more of the
      following:

    

    (i) Accelerated
      Vesting.
      The
      Committee may provide for the acceleration of the exercisability and vesting
      in
      connection with a Change in Control of any or all outstanding Options and Stock
      Appreciation Rights and shares acquired upon the exercise thereof upon such
      conditions, including termination of the Participant’s service prior to, upon,
      or following such Change in Control, and to such extent as the Committee shall
      determine.

     

    (ii) Assumption
      or Substitution.
      In the
      event of a Change in Control, the surviving, continuing, successor, or
      purchasing entity or parent thereof, as the case may be (the “Acquiror”),
      may,
      without the consent of any Participant, either assume or continue the Company’s
      rights and obligations under any or all outstanding Options and Stock
      Appreciation Rights or substitute for any or all outstanding Options and Stock
      Appreciation Rights substantially equivalent options and stock appreciation
      rights (as the case may be) for the Acquiror’s stock. Any Options or Stock
      Appreciation Rights which are neither assumed or continued by the Acquiror
      in
      connection with the Change in Control nor exercised as of the time of
      consummation of the Change in Control shall terminate and cease to be
      outstanding effective as of the time of consummation of the Change in
      Control.

     

    (iii) Cash-Out.
      The
      Committee may, in its sole discretion and without the consent of any
      Participant, determine that, upon the occurrence of a Change in Control, each
      or
      any Option or Stock Appreciation Right outstanding immediately prior to the
      Change in Control shall be canceled in exchange for a payment with respect
      to
      each vested share (and each unvested share, if so determined by the Committee)
      of

    
      
         

      

      
        -9-

        
          

        

      

      
         

      

    

    Company
      Stock subject to such canceled Option or Stock Appreciation Right in
      (A) cash, (B) stock of the Company or of a corporation or other
      business entity a party to the Change in Control, or (C) other property
      which, in any such case, shall be in an amount having a Fair Market Value equal
      to the excess of the Fair Market Value of the consideration to be paid per
      share
      of Company Stock in the Change in Control over the exercise price per share
      under such Option or Stock Appreciation Right (the “Spread”).
      In
      the event such determination is made by the Committee, the Spread (reduced
      by
      applicable withholding taxes, if any) shall be paid to Participants in respect
      of the vested portion (and unvested portion, if so determined by the Committee)
      of their canceled Options and Stock Appreciation Rights as soon as practicable
      following the date of the Change in Control.

     

    (iv) Effect
      of Change in Control on Restricted Stock Awards.
      The
      Committee may provide for the acceleration of the vesting of the shares subject
      to the Restricted Stock Award upon such conditions, including termination of
      the
      Participant’s services to the Company prior to, upon, or following such Change
      in Control, and to such extent as the Committee shall determine.

    

    15.    Effective
      Date.
      The
      effective date of the Plan is April [ ], 2007. The Plan shall be submitted
      to
      the stockholders of the Company for approval. Until (i) the Plan has been
      approved by the Company’s stockholders, and (ii) the requirements of any
      applicable federal or state securities laws have been met, no Restricted Stock
      shall be awarded, and no Option shall be granted or exercisable, that is not
      contingent on these events.

    

    16.    Termination,
      Modification.
      If not
      sooner terminated by the Board, this Plan shall terminate at the close of
      business on April [ ], 2017. No Awards shall be made under the Plan after its
      termination. The Board may amend or terminate the Plan as it shall deem
      advisable; provided,
      however,
      that no
      change shall be made that increases the total number of shares of Company Stock
      reserved for issuance pursuant to Awards granted under the Plan (except pursuant
      to Section 14), or reduces the minimum exercise price for Options, or exchanges
      an Option for another Award, unless such change is authorized by the
      stockholders of the Company within one year of the date of such change. Except
      as otherwise specifically provided herein, a termination or amendment of the
      Plan shall not, without the consent of the Participant, adversely affect a
      Participant’s rights under an Award previously granted to him or
      her.

    

    17.    American
      Jobs Creation Act of 2004.

     

    (a) It
      is
      intended that the Plan comply in all applicable respects with Code Sections
      409A(a)(2) through (4), as it may be amended from time to time, and any rulings,
      regulations, or other guidelines promulgated under either or both statutes
      (such
      statutes, rulings, regulations and other guidelines to be referred to
      collectively herein as “Section 409A”). This Plan, and any amendments thereto,
      shall therefore be interpreted and implemented at all times so as to (i) ensure
      compliance with Section 409A and (ii) avoid any penalty or early taxation of
      any
      payment or benefit under the Plan.

    

    (b) Anything
      herein to the contrary notwithstanding, the Board shall approve and implement
      such amendments as it deems necessary or desirable to ensure compliance with
      Section 409A and to avoid any penalty or early taxation of any payment or
      benefit under this Plan; provided,
      however,
      that no
      change shall be made that increases the total number of shares of Company Stock
      reserved for issuance pursuant to Awards granted under the Plan (except pursuant
      to Section 14), or reduces the minimum exercise price for Options, or exchanges
      an Option for another Award, unless such change is authorized by the
      stockholders of the Company. No such amendment shall require the consent of
      any
      Participant.

    

    18.    Interpretation
      and Venue.
      Except
      to the extent preempted by applicable federal law, the terms of this Plan shall
      be governed by the laws of the State of New York without regard to its conflict
      of laws rules.

    
      
         

      

        -10-

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