Document:

Exhibit

UNIVERSAL TECHNICAL INSTITUTE, INC.
SEVERANCE PLAN

THIS DOCUMENT CONSTITUTES THE OFFICIAL PLAN DOCUMENT

AS WELL AS THE SUMMARY PLAN DESCRIPTION OF THIS PLAN. 

AS AMENDED OCTOBER 1, 2019

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UNIVERSAL TECHNICAL INSTITUTE, INC.
SEVERANCE PLAN
THIS UNIVERSAL TECHNICAL INSTITUTE, INC. SEVERANCE PLAN (the “Plan”) was originally established on October 1, 2009.  The purpose of the plan is to provide financial assistance to Participants whose employment is terminated under certain conditions as defined below.
By execution of this document, Universal Technical Institute, Inc. (“UTI”) hereby amends the Plan in its entirety, effective as of October 1, 2019 (the “Effective Date”).  This amended Plan document applies only to an Eligible Employee who receives a written notice of Layoff on or after the Effective Date or an Executive Vice President or Senior Vice President (“EVP/SVP”) whose employment is terminated without Cause following the Effective Date. 
This booklet describes the benefits available to Participants under the Plan.  It is both the official plan document and the Summary Plan Description that is required by the Employee Retirement Income Security Act of 1974 (“ERISA”).  You should read this booklet for future reference.  If you have any questions not answered here, contact your People Services representative for further information.  The Employer has retained the right to amend, modify or terminate the Plan in accordance with its terms and no such amendment, modification, suspension or termination shall require the consent of any Participant.
ARTICLE 1
DEFINITIONS

For purposes of the Plan, the following terms, when used with an initial capital letter, shall have the meaning set forth below unless a different meaning is plainly required by the context.
1.1    Affiliate:  This means (a) any corporation which is a member of the same controlled group of corporations (within the meaning of Code Section 414(b)) as UTI; and (b) any other trade or business (whether or not incorporated) under common control (within the meaning of Code Section 414(c)) with UTI.
1.2    Board:  This means the Board of Directors of UTI.
1.3    Cause:  This means any one or more of the following: 
(a)    the EVP/SVP’s conviction of, or plea of guilty or nolo contendere to, any felony or a crime involving embezzlement, conversion of property or moral turpitude;
(b)    a finding by a majority of the Board of EVP/SVP’s fraud, embezzlement or conversion of property of UTI or its Affiliates;
(c)    the EVP/SVP’s conviction of, or plea of guilty or nolo contendere to, a crime involving the acquisition, use or expenditure of federal, state or local government funds relating to the business and affairs of UTI or its Affiliates;
(d)    a finding by a majority of the Board (A) that EVP/SVP committed fraud or any other violation of law involving federal, state or local government funds relating to the business and affairs of UTI or its Affiliates, and (B) that when EVP/SVP committed fraud or such violation of law, EVP/SVP did not do so in a good faith belief that the related action(s) or failure(s) to act was in the best interests of UTI or its Affiliates;
(e)    a finding by a majority of the Board of EVP/SVP’s knowing breach of any of EVP/SVP’s fiduciary duties to UTI or any of its Affiliates or UTI’s stockholders or making of an intentional misrepresentation or omission which breach, misrepresentation or omission would reasonably be expected to have a material adverse effect on the business relationship, the business, properties, assets, operations, condition (financial or other) or prospects of UTI or any of its Affiliates;

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(f)    the EVP/SVP’s alcohol or substance abuse, which materially interferes with EVP/SVP’s ability to discharge the duties, responsibilities and obligations of EVP/SVP’s position, as determined by a majority of the Board;
(g)    the EVP/SVP’s material and knowing failure to observe or comply with law applicable to the business of UTI or its Affiliates as an officer or employee of UTI or its Affiliates which would reasonably be expected to have a material adverse effect on the business relationship, the business, properties, assets, operations, condition (financial or other), or prospects of UTI or its Affiliates as determined by a majority of the Board;
(h)    the EVP/SVP’s willful gross misconduct relating to the business of UTI or its Affiliates that results in significant harm to UTI or its Affiliates or its operation, properties, reputation, goodwill or business relationships as determined by a majority of the Board;
(i)    a finding by a majority of the Board of EVP/SVP’s willful and material violation of any written code of conduct or written code of ethics of UTI or its Affiliates applicable to EVP/SVP; 
provided that (i) any finding or determination made by the Board concerning the existence of Cause must be made in good faith and not for purposes of evading UTI’s obligations hereunder; and (ii) a finding or determination of Cause by the Board may not be made unless, prior to determining that Cause exists, the EVP/SVP shall be given written notice stating in reasonable detail the facts and circumstances deemed by UTI to constitute Cause, and thirty (30) days from receipt of such notice the EVP/SVP has failed to cure the facts and circumstances set forth in such notice.
1.4    Code:  This means the Internal Revenue Code of 1986, as amended.
1.5    Eligible Employee:  This means an individual who is employed by the Employer on a regular basis.  For purposes of this Plan, individuals in the following categories will not be considered Eligible Employees:
(a)    individuals who are covered by a collective bargaining agreement, unless the terms of the collective bargaining agreement require that the individuals be covered by the Plan; 
(b)    individuals who are seasonal employees, leased employees, independent contractors, temporary employees, or consultants; 
(c)    individuals whose employment with the Employer is covered under the terms of an employment contract or agreement between the individual and the Employer; 
(d)    corporate officers of any Employer who are on the Board of UTI; or
(e)    employees who are EVP/SVPs.
The decision of who is an Eligible Employee for purposes of this Plan shall be made by the Plan Administrator in its sole discretion, and any individual who is excluded from being considered an Eligible Employee by the Plan Administrator shall be excluded from the definition of Eligible Employee regardless of the individual’s reclassification by the Internal Revenue Service for tax withholding purposes.
1.6    Employer:  This means UTI and any current or future Affiliate thereof that adopts the Plan pursuant to Article 4 of the Plan.  
1.7    ERISA:  This means the Employee Retirement Income Security Act of 1974, as amended.

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1.8    Layoff:  This means an Eligible Employee’s employment is involuntarily terminated by the Eligible Employee’s Employer and all Affiliates, following a written notice of Layoff, on a date determined by the Eligible Employee’s Employer, for any of the following reasons:
(a)    a reduction in force;
(b)    a lack of work;
(c)    a reorganization of work; or
(d)    as a result of the sale of assets, or the transfer of the job, function or service which the Eligible Employee was performing to a company, person or other legal entity which is neither the Employer nor any Affiliate.
An Eligible Employee will not be considered to be subject to a Layoff if:
(e)    the Eligible Employee resigns or give notices of resignation to be effective on a date prior to the effective date of Layoff;
(f)    the Eligible Employee’s employment is terminated because the Eligible Employee failed to accept, within seven calendar days from it being offered by the Employer or any Affiliate, the same or a different job for which (in the Plan Administrator’s sole judgment) the Eligible Employee is suited, even if such offer is made after receiving notice of Layoff, whether at the same or at a different location within 50 miles of the Eligible Employee’s job at the time of the offer, at wages or salary of at least 90% of the Eligible Employee’s current Weekly Salary, or the Eligible Employee accepts such employment regardless of the amount of wages or salary;
(g)    the Eligible Employee dies prior to the effective date of Layoff; or
(h)    the Eligible Employee’s Employer is acquired by another company, person or other legal entity.
1.9    Participant:  This means an Eligible Employee who has satisfied the requirements of Section 2.1(a) or an EVP/SVP who has satisfied the requirements of Section 2.2(a).
1.10    Plan Administrator:  This means UTI, or such other person designated in Resolutions of the Board of Directors to act as the Plan Administrator.
1.11    Rehire Date:  This means the date a Participant accepts reemployment with any Employer.
1.12    Separation from Service:  This means either (a) the termination of a Participant’s employment with the Employer all Affiliates due to death, retirement, or other reasons, or (b) a permanent reduction in the level of bona fide services the Participant provides to the Employer and all Affiliates to an amount that is 20% or less of the average level of bona fide services the Participant provided to the Employer and all Affiliates in the immediately preceding 36 months, with the level of bona fide service calculated in accordance with Treas. Reg. § 1.409A-1(h)(1)(ii).  A Participant’s employment relationship is treated as continuing while a Participant is on military leave, sick leave, or other bona fide leave of absence (if the period of such leave does not exceed six months, or if longer, so long as a Participant’s right to reemployment with the Employer or an Affiliate is provided either by statute or contract).  If a Participant’s period of leave exceeds six months and a Participant’s right to reemployment is not provided either by statute or by contract, the employment relationship is deemed to terminate on the first day immediately following the expiration of such six-month period.  Whether a termination of employment has occurred will be determined based on all of the facts and circumstances and in accordance with regulations issued by the United States Treasury Department pursuant to Section 409A of the Code.

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1.13    Severance Benefits:  This means (a) the Severance Pay, (b) the reimbursement of COBRA premiums provided pursuant to Section 2.1(d) for Eligible Employees, and (c) the outplacement services provided pursuant to Section 2.3 to a Participant under this Plan.  
1.14    Severance Pay:  This means the cash payments an Eligible Employee is eligible to receive under Section 2.1(b) of the Plan upon his or her Layoff or the cash payments that an EVP/SVP is entitled to receive under Section 2.2(b) of the Plan.
1.15    Severance Period:  This means the period of time during which a Participant is eligible to receive Severance Pay.
1.16    EVP/SVP:  This means an officer of UTI with a title of Executive Vice President or Senior Vice President.
1.17    Weekly Salary:  This means, (a) with respect to a salaried Eligible Employee, 1/52 of the Eligible Employee’s annual base salary (as determined by the Employer), as of the date of the Eligible Employee’s Layoff, and (b) with respect to an Eligible Employee paid on an hourly basis, the hourly wage rate of the Eligible Employee as of the date of the Eligible Employee’s Layoff multiplied by the Eligible Employee’s regularly scheduled number of hours of service per week (as determined by the Employer), not in excess of 40 hours.  Weekly Salary shall exclude any overtime, incentive, and bonus payments.
1.18    Year of Service:  This means each 12-month period during which the Eligible Employee or EVP/SVP was employed on a full-time basis by the Employer, commencing with the most recent hire date, as reflected in the records of the Employer. For purposes of determining Years of Service, if an Eligible Employee or EVP/SVP has any fractional year of full-time employment, that fractional year of full-time employment shall be rounded up or down to the nearest whole number to determine the applicable Years of Service.  If an Eligible Employee or EVP/SVP who had been employed on a full-time basis by the Employer for at least 12 consecutive months terminated voluntarily and was re-employed within twelve (12) months of the employment termination date, such individual’s prior period of full-time employment will be credited towards the total period of full-time employment for the purpose of determining Years of Service.
ARTICLE 2
SEVERANCE PAY AND BENEFITS

2.1    (2)    Eligibility.  An Eligible Employee will be eligible to receive benefits under this Plan if:
(i)    You are an Eligible Employee on your date of Layoff;
(ii)    You have completed one Year of Service on your date of Layoff;
(iii)    You are terminated from employment in a Layoff; and
(iv)    You are not excluded pursuant to Section 2.11 below.  

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(b)    Severance Pay.  Subject to Section 2.4, the Severance Pay payable to an Eligible Employee will be determined by the Employer in its sole discretion, using guidelines that take into account the Eligible Employee’s grade level and Years of Service, as set forth below:  
Number of Weeks    Minimum    Maximum
of Weekly Salary per    Number of    Number of
Grade Level    Title    Year of Service    Weeks    Weeks
1-9, E-I    Non-exempt    1    4    12
10–14, C12-C14, J-O    Manager/Exempt    2    4    16
15-19, C15-C19, P-Q    Director/Manager    2    8    20
n/a    Vice President    2    12    26
For purposes of this Section 2.1(b) and notwithstanding any provisions of the Plan to the contrary, the Severance Pay payable to those Eligible Employees of the Employer who: (1) work at the Norwood, Massachusetts UTI campus; and (2) were hired prior to October 1, 2019 shall be determined pursuant to the terms of the Plan in effect immediately prior to the Effective Date.  
(c)    Severance Pay Adjustment.  Notwithstanding anything in the Plan to the contrary and in the sole discretion of the Plan Administrator, in the event the Eligible Employee previously received severance payments from the Employer or an Affiliate, the Plan Administrator may reduce the Eligible Employee’s Years of Service for purposes of applying the severance formula by the Years of Service for which severance pay was previously paid to the Eligible Employee.  
(d)    Reimbursement of COBRA Premiums.  As of the date of an Eligible Employee’s termination of employment, the Eligible Employee’s active participation in the medical and dental plans sponsored by the Employer may be continued in accordance with Code Section 4980B(f) (“COBRA”).  If the Eligible Employee executes and does not revoke the Release of Claims described in Section 2.4, the Employer will pay the COBRA premiums for such coverage under the medical and dental plans as the Eligible Employee had elected prior to the Eligible Employee’s termination of employment with the cost of such premiums to be shared by the Employer and the Eligible Employee on the same basis as in effect prior to the Eligible Employee’s termination of employment, provided the Eligible Employee timely and properly elects COBRA.  The Employer shall pay the COBRA premiums described in the preceding sentence based on the Eligible Employee’s “Years of Service” with the Employer as set forth below:
Length of Service    COBRA Subsidy Duration
1 Year        1 month
2 Years        2 months
3 – 6 Years        3 months
7 or More Years        6 months
2.2    (a)    EVP/SVP Eligibility.  An EVP/SVP who is terminated by the Employer without Cause shall be eligible for Severance Benefits, provided the EVP/SVP satisfies the remaining terms and conditions of this Plan (including the requirement to execute and not revoke a Release of Claims) and is not excluded from receiving benefits under the Plan pursuant to Section 2.11.
(b)    EVP/SVP Severance Pay.  An EVP/SVP who satisfies the requirements of Section 2.2(a) shall be entitled to receive the following Severance Pay:
(i)    Severance Pay.  A cash payment in an amount equal to three (3) weeks of Weekly Salary for each Year of Service with the Employer, but an EVP/SVP shall receive no fewer than 26 weeks of Weekly Salary as Severance Pay and no more than 39 weeks Weekly Salary as Severance Pay.  Weekly Salary shall be the EVP/SVP’s weekly base salary at the highest rate in effect at any time during the twelve (12) months immediately preceding the date on which the EVP/SVP’s employment is terminated.  The Severance Pay shall be paid in bi-weekly 

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installments in accordance with the Employer’s regular payroll periods beginning at the time specified in Section 2.4 below.  
(ii)    Additional Severance Pay.  The EVP/SVP also shall receive an additional cash severance payment equal to the Employer-paid portion of the EVP/SVP’s medical and dental benefits that the EVP/SVP had elected as of the date of the EVP/SVP’s termination, plus an additional 40% (the “Additional Severance Pay”).  The EVP/SVP shall receive the Additional Severance Pay for the same period in which the EVP/SVP receives Severance Pay pursuant to Section 2.2(b)(i).  The Additional Severance Pay shall be paid in equal bi-weekly installments in accordance with the Employer’s regular payroll periods beginning at the time specified in Section 2.4 below.  For example, if the EVP/SVP had elected family coverage as of the EVP/SVP’s termination date and if the Employer-paid portion of the family medical and dental benefits equaled $125 per week and the EVP/SVP was entitled to Severance Pay for a period of 30 weeks, the EVP/SVP would be entitled to receive an additional cash payment equal to $5,250, payable in equal bi-weekly installments in accordance with the Employer’s regular payroll periods beginning at the time specified in Section 2.4 below.  This additional severance pay shall be paid regardless of whether the EVP/SVP elects COBRA continuation coverage.  
(iii)    Bonus Pay for Fiscal Year in which Termination Date Occurs.  If the EVP/SVP’s employment is terminated during a fiscal year, the EVP/SVP will be eligible for a pro rata bonus during the fiscal year in which the Termination Date occurs under the Universal Technical Institute, Inc. Management Incentive Plan or a successor bonus plan, provided the bonus is approved by the Board, based upon parameters set by the Board.  The amount of any such bonus will be pro-rated based on the date of the EVP/SVP’s termination date and will be paid in a lump sum at the time other employees are paid the bonus.  In no event will the bonus be paid later than March 15 of the calendar year following the close of the fiscal year to which the bonus relates.
(iv)    Bonus Pay for Fiscal Year Ended Prior to Termination Date.  To the extent an EVP/SVP’s employment is terminated prior to the date on which the Employer has paid any bonus to which the EVP/SVP may be entitled for the fiscal year immediately preceding the termination date (i.e., between the end of the fiscal year and the bonus payout), the EVP/SVP will receive such bonus in a lump sum on the same date as the EVP/SVP would have received such bonus had the EVP/SVP remained continuously employed by the Employer.  In no event will the bonus due pursuant to this Section be paid later than March 15 of the calendar year following the calendar year in which the EVP/SVP’s employment is terminated.
2.3    Outplacement Services.  Outplacement Services available to a Participant shall be determined by the Employer in its sole discretion.  If Outplacement Services are included in the Severance Benefits, the Employer shall select the vendor, the level or services provided, and pay for the services.  To determine the length of such services, the Employer shall use the following guidelines that take into account the Participant’s grade level, as set forth below:
Grade Level    Title    Outplacement Duration
1–9, E–I    Non-exempt    1 month
10–14, C12–C14, J–O    Manager/Exempt    1 month
15–19, C15–C19, P–Q    Director/Manager    2 months
VP    Vice President    6 months
EVP/SVP    Executive/Senior Vice President    6 months
For purposes of this Section 2.3 and notwithstanding any provisions of the Plan to the contrary, the Outplacement Services available to those Eligible Employees of the Employer who: (1) work at the Norwood, Massachusetts UTI campus; and (2) were hired prior to October 1, 2019 shall be determined pursuant to the terms of the Plan in effect immediately prior to the Effective Date.
2.4    Release Requirement and Form of Payment.  To be eligible for Severance Benefits under the Plan, a Participant must timely execute and deliver, a Release of Claims form (in the form specified by the Employer from time to time, which may include, but is not limited to, a non-compete clause, a non-disparagement clause, a non-solicitation clause and a confidentiality clause) within the applicable time periods described below.  In the event a 

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Participant is entitled to Severance Benefits, the Severance Benefits shall be paid following the Participant’s Separation from Service as follows:
(a)    Commencement of Payment for Participant’s Aged 40 or Older.  With respect to a Participant aged 40 or older on the date that the Participant executes the Release of Claims form (an “ADEA Participant”), the Release of Claims form must be executed and delivered within the time period specified under the terms of the applicable Release of Claims form; provided, however, in no event will Severance Benefits be paid in the event a Release of Claims form is executed later than sixty (60) days following the Participant’s Separation from Service.  For purposes of waiving any potential claims under the Age Discrimination in Employment Act (the “ADEA”) and for purposes of compliance with Section 7(f) of the ADEA (commonly known as the Older Workers’ Benefit Protection Act) and the applicable guidance thereunder, no Severance Benefits shall commence prior to a period ending seven (7) days following the execution of the Release of Claims form (the “Revocation Period”).  In no event will Severance Benefits be paid with respect to an ADEA Participant if the Release of Claims form is revoked during the Revocation Period.  Severance Benefits shall commence with respect to an ADEA Participant as soon as feasible following expiration of the Revocation Period, which generally shall be the first regularly scheduled payroll date following the expiration of the Revocation Period, and shall thereafter be paid in accordance with the Employer’s regular payroll practice, except as provided in Section 2.6, below.  Notwithstanding the foregoing, in no event shall Severance Benefits commence later than sixty (60) days following the date of the ADEA Participant’s Separation from Service.
(b)    Commencement of Payment for Participants Younger than Age 40.  With respect to a Participant younger than age 40 on the date that the Participant executes a Release of Claims form (a “Non-ADEA Participant”), Severance Benefits shall commence as soon as administratively feasible, which generally shall be the first regularly scheduled payroll date following the date on which the Participant submits an executed Release of Claims form to the Employer, and shall thereafter be paid in accordance with the Employer’s regular payroll practice, except as provided in Section 2.6, below.  Notwithstanding the foregoing, in no event shall Severance Benefits commence later than sixty (60) days following the date of the Non-ADEA Participant’s Separation from Service.  
(c)    Withholding.  Any payment of Severance Benefits to a Participant shall be subject to normal withholding for local, state and federal income taxes and Social Security taxes.
(d)    Death.  Upon the death of the Participant who has not received all Severance Pay payable under the Plan, the benefits otherwise payable under Section 2.1 or 2.2 of the Plan shall be paid in the form of a lump sum to the Participant’s estate as soon as practicable, but in no event later than 60 days following death.
2.5    Conditions on Payment of Severance Pay.  Payment of the benefits provided in Section 2.1 and Section 2.3 of the Plan shall be subject to and conditioned upon the following:
(a)    to the extent an Eligible Employee receives notice of a date selected by the Employer (in its sole discretion) on which the Eligible Employee’s Layoff shall occur (a “Designated Termination Date”), the Eligible Employee must continue to work in a satisfactory manner until his or her Designated Termination Date; and
(b)    the Eligible Employee must cooperate in transitioning all of the Eligible Employee’s work in consultation with the Eligible Employee’s supervisor or other designated employee.
2.6    Maximum Severance Pay.  Notwithstanding any other provisions to the contrary, benefits paid hereunder to an Eligible Employee shall (a) not exceed two times the lesser of (i) the Eligible Employee’s Compensation (as defined in this Section 2.6) during the calendar year immediately preceding the Eligible Employee’s Separation from Service, or (ii) the maximum amount that may be taken into account under a qualified plan pursuant to Section 401(a)(17) of the Code for the calendar year in which the Eligible Employee’s Separation from Service occurs and (b) shall be paid in full within twenty-four (24) months after the date the Eligible Employee’s Separation from Service occurs.  In the event that any Severance Pay payable to an Eligible Employee would exceed the twenty-four (24) month period provided in the foregoing sentence if the Severance Pay continued to be paid in accordance with the Employer’s regular payroll practice, any Severance Pay that would otherwise exceed the twenty-four (24) 

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month time period will be paid to the Eligible Employee in a lump sum on the last regular payroll date within the twenty-four (24) month period.  For purposes of this Section 2.6, “Compensation” shall mean the lesser of the Eligible Employee’s (A) total compensation, including wages, salary, and any other benefit of monetary value, whether paid in the form of cash or otherwise, which was paid as consideration for the Eligible Employee’s service during the year, or which would have been so paid at the Eligible Employee’s usual rate of compensation if the Eligible Employee had worked a full year, or (B) annualized compensation, based upon the annual rate of pay for services provided to the Employer for the calendar year preceding the calendar year in which the Eligible Employee’s Separation from Service occurs, adjusted for any increase that was expected to continue indefinitely if the Eligible Employee had not had a Separation from Service.  For the avoidance of doubt, this Section 2.6 does not apply to an EVP/SVP. 
2.7    Vacation.  The pay-out of accrued vacation not previously used shall be determined under the terms of the Employer’s normal vacation policy.  
2.8    Cessation of Severance Pay Upon Reemployment.  If a Participant who is receiving Severance Benefits thereafter accepts reemployment with any Employer and/or Affiliate during the Severance Period, such Participant’s Severance Benefits shall cease on the Rehire Date.  
2.9    Options.  All stock awards (as defined in any applicable plan), including stock options, restricted stock or restricted units, shall vest and be paid according to the terms and provisions of the applicable plan and the grant agreement under which such award was granted.
2.10    Benefits Not Vested.  No one under any circumstance is automatically entitled to Severance Benefits.  Notwithstanding anything in the Plan to the contrary, the Employer reserves the right, at its sole discretion, to increase, decrease, or eliminate Severance Benefits under this Plan.
2.11    Excluded Employees.  You will not be eligible to receive benefits under this Plan if:
(a)    You receive benefits under any other Layoff plan or program of the Employer other than this Plan;
(b)    You receive Layoff or termination pay under a negotiated working agreement or collective bargaining agreement;
(c)    You receive benefits under any other severance, retention or change in control plan or arrangement sponsored by UTI or an Affiliate of UTI, including an employment agreement;
(d)    You are an Eligible Employee paid on an hourly basis and covered by a collective bargaining agreement or a working policy and you have not exhausted your rights to displace less senior employees in your work unit; 
(e)    The facility or operation in which you are working, or the job, function, or service you are performing for the Employer, is acquired by an employer other than the Employer or any Affiliate and you are offered employment by the successor employer (or its subsidiary or affiliate) at wages or a salary equal to or greater than 80 percent of the Weekly Salary you had with the Employer; or you accept such employment regardless of the amount of wages or salary;
(f)    Your employment with UTI or its Affiliates is terminated due to your death or disability; or 
(g)    You do not terminate employment with UTI and all of its Affiliates.  
Further, you will not be entitled to receive benefits under the Plan if, at the time you would otherwise be paid under the Plan, you have any outstanding obligation to the Employer and no arrangement has been made to repay such obligation which is acceptable to the Employer:

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ARTICLE 3
ADMINISTRATION OF THE PLAN

3.1    Control and Administration.  The Plan Administrator shall administer this Plan.  The Plan Administrator shall have the sole and final discretionary authority to construe the terms of the Plan and all facts surrounding claims for benefits under the Plan and shall determine all questions arising in the administration, interpretation and application of the Plan, including, but not limited to, those concerning eligibility for benefits.  Accordingly, benefits under the Plan will be paid only if the Plan Administrator decides in its discretion that an applicant is entitled to benefits.  All determinations of the Plan Administrator shall be conclusive and binding on all parties.  The Plan Administrator shall be the named fiduciary of this Plan for purposes of ERISA.
3.2    Claim Procedures.
A Participant or his or her duly authorized representative must follow the Plan’s claim procedures as described below, including the rules relating to appeals, before initiating any legal action with respect to a claim for benefits under the Plan.  
(a)    Procedure for Granting or Denying Claims.  A Participant, or his or her duly authorized representative, may file a claim for payment of benefits under the Plan.  Such a claim must be made in writing and be delivered to the Director, Total Rewards, in person or by mail, postage paid.  Within 90 days after receipt of such claim, the Director, Total Rewards shall notify the claimant of the granting or denying, in whole or in part, of such claim, unless special circumstances require an extension of time for processing the claim.  In no event may the extension exceed 90 days from the end of the initial 90-day period.  If such extension is necessary, the claimant will be given a written notice to this effect prior to the expiration of the initial 90-day period.  The Plan Administrator shall have full discretion to deny or grant a claim in whole or in part.
(b)    Requirement for Notice of Claim Denial.  The Director, Total Rewards shall provide to every claimant who is denied a claim for benefits a written or electronic notice setting forth in a manner calculated to be understood by the claimant:
(i)    The specific reason or reasons for the denial;
(ii)    Specific reference to pertinent Plan provisions on which the denial is based; 
(iii)    A description of any additional material or information necessary for the claimant to perfect the claim and an explanation of why such material is necessary; and  
(iv)    An explanation of the Plan’s claim review procedures and the time limits applicable to such procedures, including a statement of the claimant’s right to bring a civil action under Section 502(a) of ERISA following an adverse determination on review.
(c)    Right to Request Hearing on Claim Denial.  Within 60 days after receipt by the claimant of written or electronic notification of the denial (in whole or in part) of his or her claim, the claimant or his or her duly authorized representative may make a written application to UTI’s senior leader of People Services, in person or by certified mail, postage prepaid, to be afforded a full and fair review of such denial.  The claimant or his or her duly authorized representative may submit written comments, documents, records, and other information relating to the claim for benefits.  Moreover, the claimant or his or her duly authorized representative shall be provided, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claimant’s claim for benefits.
(d)    Disposition of Disputed Claims.  Upon receipt of a request for review, UTI’s senior leader of People Services shall make a decision on the claim.  The review shall take into account all comments, documents, records, and other information submitted by the claimant relating to the claim, without regard to whether such 

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information was submitted or considered in the initial benefit determination.  The decision on review shall be made not later than 60 days after the senior leader of People Services’ receipt of a request for a review, unless special circumstances require an extension of time for processing, in which case a decision shall be rendered not later than 120 days after receipt of the request for review.  If an extension is necessary, the claimant shall be given written notice of the extension prior to the expiration of the initial 60-day period.  
The senior leader of People Services shall provide the claimant with written or electronic notification of the Plan’s determination on review.  In the case of an adverse determination, the notification shall set forth, in a manner calculated to be understood by the claimant, the specific reason or reasons for the decision as well as specific references to the Plan provisions on which the decision was based.  The decision shall also include a statement that the claimant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claimant’s claim for benefits.  Moreover, the decision shall contain a statement of the claimant’s right to bring an action under Section 502(a) of ERISA.  
3.3    Bar to Legal Action.  No legal action may be commenced or maintained against the Plan prior to the claimant’s exhaustion of the claims procedures set forth in Section 3.2 of the Plan.  In addition, no legal action may be commenced against the Plan more than ninety (90) days after the senior leader of People Services’ decision on review pursuant to Section 3.2(d) of the Plan.
ARTICLE 4
ADOPTION OF PLAN BY AFFILIATES

Any Affiliate of UTI, if authorized to do so by Resolutions of the Board of Directors of UTI, may adopt the Plan in a manner satisfactory to UTI, provided such entity is directly or indirectly owned by UTI.  Each participating entity other than UTI may terminate its participation in the Plan upon notice to UTI.
ARTICLE 5
MISCELLANEOUS

5.1    Amendment or Termination.  This Plan may be amended or terminated at any time in writing by the Board or any committee or individual designated by the Board to take such actions.
5.2    Choice of Law.  The validity, interpretation, construction and performance of the obligations created under this Plan shall be governed by ERISA, and to the extent not preempted by federal law, the laws of the State of Arizona without regard to its conflicts of law principles.
5.3    Validity.  The invalidity or unenforceability of any provision of this Plan shall not affect the validity or enforceability of any other provision of this Plan, which shall remain in full force and effect.
5.4    Plan Exclusive Source of Rights.  This Plan contains all of the terms and conditions with respect to the benefits provided hereunder, and no Participant or former Participant may rely on any other communication or representation, whether oral or written, of the Employer or any of its subsidiaries, or any officer or Participant thereof, as creating any right or obligation not expressly provided by this Plan.
5.5    Nonassignability.  No benefit which shall be payable under the Plan to any Participant shall be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, or charge (except as required by law), and any attempt to anticipate, alienate, sell, transfer, assign, pledge, encumber, or charge a benefit shall be null and void.  No benefit shall in any manner be liable for, or subject to, the debts, contracts, liabilities, engagements, or torts of any Participant.  No benefit shall be subject to legal attachment or legal process for, or against, the Participant and the same shall not be recognized under the Plan.  Notwithstanding the preceding sentence, the Employer retains the discretion, in accordance with federal and/or state laws, to reduce the amount of benefits payable under the Plan to any Participant to recover any amounts which the Participant owes to the Employer.

11

5.6    No Employment Rights.  The Plan shall not give any Participant any right or claim except to the extent that the right is specifically fixed under the terms of the Plan.  The establishment of the Plan shall not be construed (a) to give any Participant a right to continue in the employ of the Employer or (b) to interfere with the right of the Employer to terminate the employment of any Participant at any time.
5.7    Headings.  Article and section headings are for convenience only and the language of the Plan itself will be controlling.
5.8    Gender and Numbers.  Masculine pronouns include the feminine as well as the neuter genders, and the singular shall include the plural, unless indicated otherwise by the context.
5.9    Code Section 409A.  The benefits provided under the terms of the Plan are intended to fall within an exception to the application of Section 409A of the Code and the applicable guidance issued thereunder.  To the extent the benefits provided under the Plan become subject to Code Section 409A and applicable guidance issued thereunder, the Plan shall be construed, and benefits paid hereunder, as necessary to comply with such Code Section and such guidance.  Further, to the extent that an Participant becomes entitled to receive Severance Pay under the terms of the Plan, and, at the time of the Participant’s Separation from Service, he or she is a “specified employee” within the meaning of Treasury Regulation Section 1.409A-1(i), any portion of Severance Pay payable to such Participant that is subject to Code Section 409A and applicable guidance thereunder shall be paid after the date that is six months following the date of the Participant’s Separation from Service.  Although this Plan has been designed to comply with Section 409A of the Code or to fit within an exception to the requirements of Section 409A of the Code, the Employer specifically does not warrant such compliance.  Each Participant is fully responsible for any and all taxes or other amounts imposed by Section 409A or any other provision of the Code.  Under no circumstances may the time or schedule of any payment made or benefit provided pursuant to this Plan be accelerated or subject to a further deferral except as otherwise permitted or required pursuant to regulations and other guidance issued pursuant to Section 409A of the Code.  A Participant does not have any right to make any election regarding the time or form of any payment due under this Plan.  For purposes of Section 409A, the right to a series of installment payments under this Plan shall be treated as a right to a series of separate payments under Treasury Regulation Section 1.409A-2(b)(2)(iii).  If the Employer determines, in the exercise of its discretion, that all or a portion of the benefits provided under the Plan are subject to Section 409A of the Code, and if the Release of Claims consideration period and revocation period (as described in Section 2.4), spans two calendar years, the Severance Pay shall not begin until the second calendar year.  A Participant may not elect the taxable year of the distribution.
ARTICLE 6
ERISA RIGHTS

As a Participant in the Plan, you are entitled to certain rights and protections under ERISA, which provides that all Plan Participants shall be entitled to:
Receive information about your Plan and benefits.
		
	•
	Examine, without charge, at the Plan Administrator’s office and at other specified locations, such as worksites, all documents governing the Plan and a copy of the latest annual report (Form 5500 series) filed by the Plan with the U.S. Department of Labor, and available at the Public Disclosure Room of the Employee Benefits Security Administration.

		
	•
	Obtain, upon written request to the Plan Administrator, copies of all documents governing the operation of the Plan, and copies of the latest annual report (Form 5500 series) and updated summary plan description.  The Plan Administrator may make a reasonable charge for the copies.

		
	•
	Receive a summary of the Plan’s annual financial report.  The Plan Administrator is required by law to furnish each participant with a copy of this summary annual report.

12

Prudent actions by the Plan fiduciaries.
In addition to creating rights for Plan Participants, ERISA imposes obligations upon the people who are responsible for the operation of the Plan.  The people who operate the Plan, called “fiduciaries” of the Plan, have a duty to do so prudently and in the interest of you and other Plan Participants and beneficiaries.  No one, including your Employer or any other person, may fire you or otherwise discriminate against you in any way to prevent you from obtaining benefits or exercising your rights under ERISA.
Enforce your rights.
If your claim for a benefit is denied or ignored, in whole or in part, you have a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time frames.
Under ERISA, there are steps you can take to enforce the above rights.  For instance, if you request a copy of Plan documents or the latest annual report from the Plan Administrator and do not receive them within 30 days, you may file suit in a Federal court.  In such a case, the court may require the Plan Administrator to provide the materials and pay you up to $110 a day until you receive the materials, unless the materials were not sent because of reasons beyond the control of the Plan Administrator.  If you have a claim for benefits which is denied or ignored, in whole or in part, you may file suit in a state or Federal court subsequent to exhausting the Plan’s claims procedures.  If it should happen that the Plan fiduciaries misuse the Plan’s money, or if you are discriminated against for asserting your rights, you may seek assistance from the U.S. Department of Labor, or you may file suit in a Federal court.  The court will decide who should pay court costs and legal fees.  If you are successful, the court may order the person you have sued to pay these costs and fees.  If you lose, the court may order you to pay these costs and fees, for example, if it finds that your claim is frivolous.
Assistance with your questions.
If you have any questions about the Plan, you should contact the Plan Administrator.  If you have any questions about this statement or about your rights under ERISA, or if you need assistance in obtaining documents from the Plan Administrator, you should contact the nearest office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in your telephone directory, or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue, NW, Washington, D.C. 20210.  You may also obtain certain publications about your rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security Administration.
ARTICLE 7
GENERAL INFORMATION

Employer and Plan Sponsor:            Universal Technical Institute, Inc.
16220 N. Scottsdale Road, Suite 500
Scottsdale, AZ  85254
(623) 445-9500
Participants and beneficiaries may receive from the Plan Administrator, upon written request, information as to whether a particular employer is an Employer, and, if the employer is an Employer, the Employer’s address.  
		
	Employer Identification Number: 
	86-0226984

		
	Plan Year:
	The Plan Year begins on October 1st and ends on September 30th.

		
	Type of Welfare Plan:
	The Plan is a severance pay plan.

13

Type of Administration:    The Plan is administered by the Plan Administrator.
		
	Plan Number:
	501

Plan Administrator:                Universal Technical Institute, Inc.
16220 N. Scottsdale Rd., Suite 500
Scottsdale, AZ  85254
(623) 445-9500
Attn:    Director, Total Rewards
		
	Funding:
	Benefits are provided from the general assets of the Employer.

Agent for Service:                 Director, Total Rewards
Universal Technical Institute, Inc.
16220 N. Scottsdale Rd, Suite 500
Scottsdale, AZ  85254
IN WITNESS WHEREOF, UTI has caused this Plan to be executed on its behalf by a duly authorized officer on this 23rd day of September, 2019.
UNIVERSAL TECHNICAL INSTITUTE, INC.

By:     /S/ Jerome A. Grant                                                      

Title:  Executive Vice President and Chief Operating Officer

ATTEST:

By:       /S/ Shannon R. Delgado                       

Title:    Director Total Rewards            

14U.S.
Gold Corp. 2020 Stock Incentive Plan

 

	Section
    1.	Purpose

 

The
purpose of the Plan is to promote the interests of the Company and its stockholders by aiding the Company in attracting and retaining
employees, officers, consultants, independent contractors and non-employee Directors capable of assuring the future success of
the Company, to provide such persons with opportunities for stock ownership in the Company and to offer such persons other incentives
to put forth maximum efforts for the success of the Company’s business.

 

	Section
    2.	Definitions

 

As
used in the Plan, the following terms shall have the meanings set forth below:

 

(a)       “Affiliate”
shall mean: (i) any entity that, directly or indirectly through one or more intermediaries, is controlled by the Company; and
(ii) any entity in which the Company has a significant equity interest.

 

(b)       “Award”
shall mean any Option, Stock Appreciation Right, Restricted Stock, Restricted Stock Unit, Dividend Equivalent, or Other Stock-Based
Award granted under the Plan.

 

(c)       “Award
Agreement” shall mean any written agreement, contract or other instrument or document evidencing an Award granted under
the Plan (including a document in an electronic medium) executed in accordance with the requirements of Section 9(b).

 

(d)       “Board”
shall mean the Board of Directors of the Company.

 

(e)       “Change
in Control” shall mean the consummation of one of the following events:

 

(A)       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 of the Exchange Act), directly or indirectly, of securities of the Company representing fifty percent
(50%) or more of the total voting power represented by the Company’s then outstanding voting securities;

 

(B)       the
consummation of the sale or disposition by the Company of all or substantially all of the Company’s assets;

 

(C)       a
change in the composition of the Board occurring within a two-year period, as a result of which fewer than a majority of the directors
are Incumbent Directors. “Incumbent Directors” means directors who either: (A) are Directors as of the effective date
of the Plan; or (B) are elected, or nominated for election, to the Board with the affirmative votes of at least a majority of
the Incumbent Directors at the time of such election or nomination (but will not include an individual whose election or nomination
is in connection with an actual or threatened proxy contest relating to the election of directors to the Company); or

 

(D)       the
consummation of a merger or consolidation of the Company with any other corporation, other than a merger or consolidation which
would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by
remaining outstanding or by being converted into voting securities of the surviving entity or its parent) at least fifty percent
(50%) of the total voting power represented by the voting securities of the Company or such surviving entity or its parent outstanding
immediately after such merger or consolidation.

 

(f)       “Code”
shall mean the Internal Revenue Code of 1986, as amended from time to time, and any regulations promulgated thereunder.

 

    	1

    	 

    

 

(g)       “Committee”
shall mean the Compensation Committee of the Board or such other committee designated by the Board to administer the Plan. The
Committee shall be comprised of not less than such number of Directors as shall be required to permit Awards granted under the
Plan to qualify under Rule 16b-3, and each member of the Committee shall be a “non-employee director” within the meaning
of Rule 16b-3.

 

(h)       “Company”
shall mean U.S. Gold Corp., a Nevada corporation, and any successor corporation.

 

(i)       “Director”
shall mean a member of the Board.

 

(j)       “Dividend
Equivalent” shall mean any right granted under Section 6(d) of the Plan.

 

(k)       “Eligible
Person” shall mean any employee, officer, non-employee Director, consultant, independent contractor, or advisor providing
services to the Company or any Affiliate, or any person to whom an offer of employment or engagement with the Company or any Affiliate
is extended.

 

(l)       “Exchange
Act” shall mean the Securities Exchange Act of 1934, as amended.

 

(m)       “Fair
Market Value” shall mean, with respect to any property (including, without limitation, any Shares or other securities),
the fair market value of such property determined by such methods or procedures as shall be established from time to time by the
Committee. Notwithstanding the foregoing, unless otherwise determined by the Committee, the Fair Market Value of Shares on a given
date for purposes of the Plan shall be the closing sale price of the Shares as reported on the NASDAQ Capital Market on such date
or, if such market is not open for trading on such date, on the most recent preceding date when such market is open for trading.

 

(n)       “Incentive
Stock Option” shall mean an option granted under Section 6(a) of the Plan that is intended to meet the requirements
of Section 422 of the Code or any successor provision.

 

(o)       “Non-Qualified
Stock Option” shall mean an option granted under Section 6(a) of the Plan that is not intended to be an Incentive
Stock Option.

 

(p)       “Option”
shall mean an Incentive Stock Option or a Non-Qualified Stock Option to purchase shares of the Company.

 

(q)       “Other
Stock-Based Award” shall mean any right granted under Section 6(e) of the Plan.

 

(r)       “Participant”
shall mean an Eligible Person designated to be granted an Award under the Plan.

 

(s)       “Plan”
shall mean this U.S. Gold Corp. 2020 Stock Incentive Plan, as amended from time to time.

 

(t)       “Prior
Stock Plan” shall mean the U.S. Gold Corp. 2017 Equity Incentive Plan, as amended from time to time.

 

(u)       “Restricted
Stock” shall mean any Share granted under Section 6(c) of the Plan.

 

(v)       “Restricted
Stock Unit” shall mean any unit granted under Section 6(c) of the Plan evidencing the right to receive a Share
(or a cash payment equal to the Fair Market Value of a Share) at some future date.

 

(w)       “Rule
16b-3” shall mean Rule 16b-3 promulgated by the Securities and Exchange Commission under the Exchange Act, or any successor
rule or regulation.

 

(x)       “Section
409A” shall mean Section 409A of the Code, or any successor provision, and applicable Treasury Regulations and other
applicable guidance thereunder.

 

(y)       “Securities
Act” shall mean the Securities Act of 1933, as amended.

 

    	2

    	 

    

 

(z)       “Shares”
shall mean shares of common stock, $0.001 par value per share, of the Company or such other securities or property as may become
subject to Awards pursuant to an adjustment made under Section 4(c) of the Plan.

 

(aa)     “Specified
Employee” shall mean a specified employee as defined in Section 409A(a)(2)(B) of the Code or applicable proposed or
final regulations under Section 409A, determined in accordance with procedures established by the Company and applied uniformly
with respect to all plans maintained by the Company that are subject to Section 409A.

 

(bb)    “Stock
Appreciation Right” shall mean any right granted under Section 6(b) of the Plan.

 

	Section
    3.	Administration

 

(a)           Power
and Authority of the Committee. The Plan shall be administered by the Committee. Subject to the express provisions of the
Plan and to applicable law, the Committee shall have full power and authority to:

 

(i)       designate
Participants;

 

(ii)      determine
the type or types of Awards to be granted to each Participant under the Plan;

 

(iii)
       determine the number of Shares to be covered by (or the method by which payments or
other rights are to be calculated in connection with) each Award;

 

(iv)
       determine the terms and conditions of any Award or Award Agreement, including any terms
relating to the forfeiture of any Award and the forfeiture, recapture or disgorgement of any cash, Shares or other amounts payable
with respect to any Award;

 

(v)
       amend the terms and conditions of any Award or Award Agreement, subject to the limitations
under Section 6 and Section 7;

 

(vi)
       accelerate the exercisability of any Award or the lapse of any restrictions relating
to any Award, subject to the limitations under Section 6 and Section 7;

 

(vii)
       determine whether, to what extent and under what circumstances Awards may be exercised
in cash, Shares, other securities, other Awards or other property (but excluding promissory notes), or canceled, forfeited or
suspended;

 

(viii)
       determine whether, to what extent and under what circumstances amounts payable with
respect to an Award under the Plan shall be deferred either automatically or at the election of the holder thereof or the Committee,
subject to the requirements of Section 409A and Section 6;

 

(ix)
       interpret and administer the Plan and any instrument or agreement, including an Award
Agreement, relating to the Plan;

 

(x)
       establish, amend, suspend or waive such rules and regulations and appoint such agents
as it shall deem appropriate for the proper administration of the Plan;

 

(xi)
       make any other determination and take any other action that the Committee deems necessary
or desirable for the administration of the Plan; and

 

(xii)
       adopt such modifications, rules, procedures and subplans as may be necessary or desirable
to comply with provisions of the laws of non-U.S. jurisdictions in which the Company or an Affiliate may operate, including, without
limitation, establishing any special rules for Affiliates, Eligible Persons or Participants located in any particular country,
in order to meet the objectives of the Plan and to ensure the viability of the intended benefits of Awards granted to Participants
located in such non-United States jurisdictions.

 

    	3

    	 

    

 

Unless
otherwise expressly provided in the Plan, all designations, determinations, interpretations and other decisions under or with
respect to the Plan or any Award or Award Agreement shall be within the sole discretion of the Committee, may be made at any time
and shall be final, conclusive and binding upon any Participant, any holder or beneficiary of any Award or Award Agreement, and
any employee of the Company or any Affiliate.

 

(b)       Delegation.
The Committee shall have the right, from time to time, to delegate to one or more officers of the Company the authority of the
Committee to grant and determine the terms and conditions of Awards granted under the Plan, subject to the requirements of applicable
law and such other limitations as the Committee shall determine. In no event shall any such delegation of authority be permitted
with respect to Awards to any members of the Board or to any Eligible Person who is subject to Rule 16b-3 under the Exchange Act.
The Committee shall also be permitted to delegate, to any appropriate officer or employee of the Company, responsibility for performing
certain ministerial functions under the Plan. In the event that the Committee’s authority is delegated to officers or employees
in accordance with the foregoing, all provisions of the Plan relating to the Committee shall be interpreted in a manner consistent
with the foregoing by treating any such reference as a reference to such officer or employee for such purpose. Any action undertaken
in accordance with the Committee’s delegation of authority hereunder shall have the same force and effect as if such action
were undertaken directly by the Committee and shall be deemed for all purposes of the Plan to have been taken by the Committee.

 

(c)       Power
and Authority of the Board. Notwithstanding anything to the contrary contained herein, the Board may, at any time and from
time to time, without any further action of the Committee, exercise the powers and duties of the Committee under the Plan, unless
the exercise of such powers and duties by the Board would cause the Plan not to comply with the requirements of Rule 16b-3 or
applicable corporate law.

 

	Section
    4.	Shares
    Available for Awards

 

(a)       Shares
Available. Subject to adjustment as provided in Section 4(c) of the Plan, the aggregate number of Shares that may be
issued under all Awards under the Plan shall equal:

 

(i)       3,307,104,
plus

 

(ii)       any
Shares subject to any outstanding award under the Prior Stock Plan that, after the effective date of the Plan, are not
purchased or are forfeited or reacquired by the Company, or otherwise not delivered to the Participant due to termination or cancellation
of such award, subject to the share counting provisions of Section 4(b) below. (On and after stockholder approval of this
Plan, no awards shall be granted under the Prior Stock Plan, but all outstanding awards previously granted under the Prior Stock
Plan shall remain outstanding and subject to the terms of the Prior Stock Plan.)

 

The
aggregate number of Shares that may be issued under all Awards under the Plan shall be reduced by Shares subject to Awards issued
under the Plan in accordance with the Share counting rules described in Section 4(b) below. When determining the number
of any recycled Shares from the Prior Stock Plan that are added to the aggregate reserve under paragraph (ii) above, the number
of Shares added shall be determined in accordance with the Share counting rules described in this Plan (and not the Prior Stock
Plan under which the related Share award was issued).

 

(b)       Counting
Shares. Except as set forth below in this Section 4(b), if an Award entitles the holder thereof to receive or purchase
Shares, the number of Shares covered by such Award or to which such Award relates shall be counted on the date of grant of such
Award against the aggregate number of Shares available for granting Awards under the Plan.

 

(i)       Shares
Added Back to Reserve. Subject to the limitations in Section 4(b)(ii) below, if any Shares covered by an Award or to
which an Award relates are not purchased or are forfeited or are reacquired by the Company, or if an Award otherwise terminates
or is cancelled without delivery of any Shares, then the number of Shares counted against the aggregate number of Shares available
under the Plan with respect to such Award, to the extent of any such forfeiture, reacquisition by the Company, termination or
cancellation, shall again be available for granting Awards under the Plan.

 

    	4

    	 

    

 

(ii)       Shares
Not Added Back to Reserve. Notwithstanding anything to the contrary in Section 4(b)(i) above, the following Shares
will not again become available for issuance under the Plan: (A) any Shares which would have been issued upon any exercise of
an Option but for the fact that the exercise price was paid by a “net exercise” pursuant to Section 6(a)(iii)(B)
or any Shares tendered in payment of the exercise price of an Option; (B) any Shares withheld by the Company or Shares tendered
to satisfy any tax withholding obligation with respect to an Award; (C) Shares covered by a stock-settled Stock Appreciation Right
issued under the Plan that are not issued in connection with settlement in Shares upon exercise; or (D) Shares that are repurchased
by the Company using Option exercise proceeds.

 

(iii)       Cash
Only Awards. Awards that do not entitle the holder thereof to receive or purchase Shares shall not be counted against the
aggregate number of Shares available for Awards under the Plan.

 

(iv)       Substitute
Awards Relating to Acquired Entities. Shares issued under Awards granted in substitution for awards previously granted by
an entity that is acquired by or merged with the Company or an Affiliate shall not be counted against the aggregate number of
Shares available for Awards under the Plan.

 

(c)       Adjustments.
In the event that any dividend (other than a regular cash dividend) or other distribution (whether in the form of cash, Shares,
other securities or other property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation,
split-up, spin-off, combination, repurchase or exchange of Shares or other securities of the Company, issuance of warrants or
other rights to purchase Shares or other securities of the Company or other similar corporate transaction or event affects the
Shares such that an adjustment is necessary in order to prevent dilution or enlargement of the benefits or potential benefits
intended to be made available under the Plan, then the Committee shall, in such manner as it may deem equitable, adjust any or
all of: (i) the number and type of Shares (or other securities or other property) that thereafter may be made the subject of Awards;
(ii) the number and type of Shares (or other securities or other property) subject to outstanding Awards; (iii) the purchase price
or exercise price with respect to any Award; and (iv) the limitations contained in Section 4(d) below; provided,
however, that the number of Shares covered by any Award or to which such Award relates shall always be rounded down to
the nearest whole number. Such adjustment shall be made by the Committee or the Board, whose determination in that respect shall
be final, binding and conclusive.

 

(d)       Annual
Limitations for Awards Granted to Employees, Officers and Consultants. No Eligible Person who is an employee or officer may
be granted any Award or Awards for more than 500,000 Shares (subject to adjustment as provided for in Section 4(c) of the
Plan), in the aggregate in any calendar year. No Eligible Person who is a consultant, independent contractor or advisor may be
granted any Award or Awards for more than 250,000 Shares (subject to adjustment as provided for in Section 4(c) of the
Plan), in the aggregate in any calendar year.

 

(e)       Annual
Limitation for Awards Granted to Non-Employee Directors. No Director who is not also an employee of the Company or an Affiliate
may be granted any Award or Awards denominated in Shares that exceed in the aggregate $100,000 (such value computed as of the
date of grant in accordance with applicable financial accounting rules) in any calendar year. The foregoing limit shall not apply
to any Award made pursuant to any election by the Director to receive an Award in lieu of all or a portion of annual and committee
retainers and annual meeting fees.

 

	Section
    5.	Eligibility

 

Any
Eligible Person shall be eligible to be designated as a Participant. In determining which Eligible Persons shall receive an Award
and the terms of any Award, the Committee may take into account the nature of the services rendered by the respective Eligible
Persons, their present and potential contributions to the success of the Company or such other factors as the Committee, in its
discretion, shall deem relevant. Notwithstanding the foregoing, an Incentive Stock Option may only be granted to full-time or
part-time employees (which term as used herein includes, without limitation, officers and Directors who are also employees), and
an Incentive Stock Option shall not be granted to an employee of an Affiliate unless such Affiliate is also a “subsidiary
corporation” of the Company within the meaning of Section 424(f) of the Code or any successor provision.

 

    	5

    	 

    

 

	Section
    6.	Awards

 

(a)       Options.
The Committee is hereby authorized to grant Options to Eligible Persons with the following terms and conditions and with such
additional terms and conditions not inconsistent with the provisions of the Plan as the Committee shall determine:

 

(i)       Exercise
Price. The purchase price per Share purchasable under an Option shall be determined by the Committee and shall not be less
than one-hundred (100%) of the Fair Market Value of a Share on the date of grant of such Option; provided, however, that
the Committee may designate a purchase price below Fair Market Value on the date of grant if the Option is granted in substitution
for a stock option previously granted by an entity that is acquired by or merged with the Company or an Affiliate.

 

(ii)       Option
Term. The term of each Option shall be fixed by the Committee at the time of grant but shall not be longer than ten (10) years
from the date of grant. Notwithstanding the foregoing, if an Eligible Person’s service with the Company and all Affiliates
terminates for any reason during the term, then the Eligible Person’s Option shall expire on the earliest of the following
dates: (A) the Option’s term expiry date fixed by the Committee in the Award Agreement at the date of grant; (B) the 180th
day after the termination of the Eligible Person’s service for any reason (including death or disability), or (C)
any earlier date as the Committee may determine and specify in the Award Agreement at the date of grant.

 

(iii)       Time
and Method of Exercise. The Committee shall determine the time or times at which an Option may be exercised within the Option
term, either in whole or in part, and the method or methods by which, and the form or forms, including, but not limited to, cash,
Shares, other securities, other Awards or other property, or any combination thereof, having a Fair Market Value on the exercise
date equal to the applicable exercise price, in which, payment of the exercise price with respect thereto may be made or deemed
to have been made.

 

(A)       Promissory
Notes. Notwithstanding the foregoing, the Committee may not accept a promissory note as consideration.

 

(B)       Net
Exercises. The terms of any Option may be written to permit the Option to be exercised by delivering to the Participant a
number of Shares having an aggregate Fair Market Value (determined as of the date of exercise) equal to the excess, if any, of
the Fair Market Value of the Shares underlying the Option being exercised, on the date of exercise, over the exercise price of
the Option for such Shares.

 

(iv)       Incentive
Stock Options. Notwithstanding anything in the Plan to the contrary, the following additional provisions shall apply to the
grant of stock options which are intended to qualify as Incentive Stock Options:

 

(A)       The
Committee will not grant Incentive Stock Options in which the aggregate Fair Market Value (determined as of the time the Option
is granted) of the Shares with respect to which Incentive Stock Options are exercisable for the first time by any Participant
during any calendar year (under this Plan and all other plans of the Company and its Affiliates) shall exceed $100,000.

 

(B)       All
Incentive Stock Options must be granted within ten (10) years from the earlier of the date on which this Plan was adopted by the
Board or the date this Plan was approved by the stockholders of the Company.

 

(C)       Unless
sooner exercised, all Incentive Stock Options shall expire and no longer be exercisable no later than ten (10) years after the
date of grant; provided, however, that in the case of a grant of an Incentive Stock Option to a Participant who,
at the time such Option is granted, owns (within the meaning of Section 422 of the Code) stock possessing more than ten percent
(10%) of the total combined voting power of all classes of stock of the Company or of its Affiliates, such Incentive Stock Option
shall expire and no longer be exercisable no later than five (5) years from the date of grant.

 

    	6

    	 

    

 

(D)       The
purchase price per Share for an Incentive Stock Option shall be not less than one-hundred percent (100%) of the Fair Market Value
of a Share on the date of grant of the Incentive Stock Option; provided, however, that, in the case of the grant
of an Incentive Stock Option to a Participant who, at the time such Option is granted, owns (within the meaning of Section 422
of the Code) stock possessing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company
or of its Affiliates, the purchase price per Share purchasable under an Incentive Stock Option shall be not less than one-hundred
ten percent (110%) of the Fair Market Value of a Share on the date of grant of the Incentive Stock Option.

 

(E)       Any
Incentive Stock Option authorized under the Plan shall contain such other provisions as the Committee shall deem advisable, but
shall in all events be consistent with and contain all provisions required in order to qualify the Option as an Incentive Stock
Option.

 

(b)       Stock
Appreciation Rights. The Committee is hereby authorized to grant Stock Appreciation Rights to Eligible Persons subject to
the terms of the Plan and any applicable Award Agreement. A Stock Appreciation Right granted under the Plan shall confer on the
holder thereof a right to receive upon exercise thereof the excess of: (i) the Fair Market Value of one Share on the date of exercise
over (ii) the grant price of the Stock Appreciation Right as specified by the Committee, which price shall not be less than one-hundred
percent (100%) of the Fair Market Value of one Share on the date of grant of the Stock Appreciation Right; provided, however,
that the Committee may designate a grant price below Fair Market Value on the date of grant if the Stock Appreciation Right
is granted in substitution for a stock appreciation right previously granted by an entity that is acquired by or merged with the
Company or an Affiliate. Subject to the terms of the Plan and any applicable Award Agreement, the grant price, term, methods of
exercise, dates of exercise, methods of settlement and any other terms and conditions of any Stock Appreciation Right shall be
as determined by the Committee (except that the term of each Stock Appreciation Right shall be subject to the term limitations
in Section 6(a)(ii) applicable to Options). The Committee may impose such conditions or restrictions on the exercise of
any Stock Appreciation Right as it may deem appropriate.

 

(c)       Restricted
Stock and Restricted Stock Units. The Committee is hereby authorized to grant an Award of Restricted Stock and Restricted
Stock Units to Eligible Persons with the following terms and conditions and with such additional terms and conditions not inconsistent
with the provisions of the Plan as the Committee shall determine:

 

(i)       Restrictions.
Shares of Restricted Stock and Restricted Stock Units shall be subject to such restrictions as the Committee may impose (including,
without limitation, any limitation on the right to vote a Share of Restricted Stock or the right to receive any dividend or other
right or property with respect thereto), which restrictions may lapse separately or in combination at such time or times, in such
installments or otherwise as the Committee may deem appropriate. For purposes of clarity and without limiting the Committee’s
general authority under Section 3(a), vesting of such Awards may, at the Committee’s discretion, be conditioned upon
the Participant’s completion of a minimum period of service with the Company or an Affiliate, or upon the achievement of
one or more performance goals established by the Committee, or upon any combination of service-based and performance-based conditions.
Notwithstanding the foregoing, rights to dividend or Dividend Equivalent payments shall be subject to the limitations described
in Section 6(d).

 

(ii)       Issuance
and Delivery of Shares. Any Restricted Stock granted under the Plan shall be issued at the time such Awards are granted and
may be evidenced in such manner as the Committee may deem appropriate, including book-entry registration or issuance of a stock
certificate or certificates, which certificate or certificates shall be held by the Company or held in nominee name by the stock
transfer agent or brokerage service selected by the Company to provide such services for the Plan. Shares representing Restricted
Stock that are no longer subject to restrictions shall be delivered (including by updating the book-entry registration) to the
Participant promptly after the applicable restrictions lapse or are waived. In the case of Restricted Stock Units, no Shares shall
be issued at the time such Awards are granted. Upon the lapse or waiver of restrictions and the restricted period relating to
Restricted Stock Units evidencing the right to receive Shares, such Shares shall be issued and delivered to the holder of the
Restricted Stock Units.

 

    	7

    	 

    

 

(d)       Dividend
Equivalents. The Committee is hereby authorized to grant Dividend Equivalents to Eligible Persons under which the Participant
shall be entitled to receive payments (in cash, Shares, other securities, other Awards or other property as determined in the
discretion of the Committee) equivalent to the amount of cash dividends paid by the Company to holders of Shares with respect
to a number of Shares determined by the Committee. Subject to the terms of the Plan and any applicable Award Agreement, such Dividend
Equivalents may have such terms and conditions as the Committee shall determine. Notwithstanding the foregoing: (i) the Committee
may not grant Dividend Equivalents to Eligible Persons in connection with grants of Options, Stock Appreciation Rights or other
Awards the value of which is based solely on an increase in the value of the Shares after the grant of such Award; and (ii) dividend
and Dividend Equivalent amounts with respect to any Share underlying an Award may be accrued but not paid to a Participant until
all conditions or restrictions relating to such Share have been satisfied or lapsed.

 

(e)       Other
Stock-Based Awards. The Committee is hereby authorized to grant to Eligible Persons such other Awards that are denominated
or payable in, valued in whole or in part by reference to, or otherwise based on or related to, Shares (including, without limitation,
securities convertible into Shares), as are deemed by the Committee to be consistent with the purpose of the Plan. The Committee
shall determine the terms and conditions of such Awards, subject to the terms of the Plan and any applicable Award Agreement.
No Award issued under this Section 6(e) shall contain a purchase right or an option-like exercise feature.

 

(f)       Additional
Terms and Limitations.

 

(i)       Consideration
for Awards. Awards may be granted for no cash consideration or for any cash or other consideration as may be determined by
the Committee or required by applicable law.

 

(ii)       Awards
May Be Granted Separately or Together. Awards may, in the discretion of the Committee, be granted either alone or in addition
to, in tandem with or in substitution for any other Award or any award granted under any other plan of the Company or any Affiliate.
Awards granted in addition to or in tandem with other Awards or in addition to or in tandem with awards granted under any other
plan of the Company or any Affiliate may be granted either at the same time as or at a different time from the grant of such other
Awards or awards.

 

(iii)       Forms
of Payment under Awards. Subject to the terms of the Plan and of any applicable Award Agreement, payments or transfers to
be made by the Company or an Affiliate upon the grant, exercise or payment of an Award may be made in such form or forms as the
Committee shall determine (including, without limitation, cash, Shares, other securities (but excluding promissory notes), other
Awards or other property or any combination thereof), and may be made in a single payment or transfer, in installments or on a
deferred basis, in each case in accordance with rules and procedures established by the Committee.

 

(iv)       Limits
on Transfer of Awards. No Award (other than fully vested and unrestricted Shares issued pursuant to any Award) and no right
under any such Award shall be transferable by a Participant other than by will or by the laws of descent and distribution, and
no Award (other than fully vested and unrestricted Shares issued pursuant to any Award) or right under any such Award may be pledged,
alienated, attached or otherwise encumbered, and any purported pledge, alienation, attachment or encumbrance thereof shall be
void and unenforceable against the Company or any Affiliate. Notwithstanding the foregoing, the Committee may permit the transfer
of an Award, other than a fully vested and unrestricted Share, to family members if such transfer is for no value and in accordance
with the rules of Form S-8. The Committee may also establish procedures as it deems appropriate for a Participant to designate
a person or persons, as beneficiary or beneficiaries, to exercise the rights of the Participant and receive any property distributable
with respect to any Award in the event of the Participant’s death.

 

(v)       Restrictions;
Securities Exchange Listing. All Shares or other securities delivered under the Plan pursuant to any Award or the exercise
thereof shall be subject to such restrictions as the Committee may deem advisable under the Plan, applicable federal or state
securities laws and regulatory requirements, and the Committee may cause appropriate entries to be made with respect to, or legends
to be placed on the certificates for, such Shares or other securities to reflect such restrictions. The Company shall not be required
to deliver any Shares or other securities covered by an Award unless and until the requirements of any federal or state securities
or other laws, rules or regulations (including the rules of any securities exchange) as may be determined by the Company to be
applicable are satisfied.

 

    	8

    	 

    

 

(vi)       Prohibition
on Option and Stock Appreciation Right Repricing. Except as provided in Section 4(c) hereof, the Committee may not,
without prior approval of the Company’s stockholders, seek to effect any re-pricing of any previously granted, “underwater”
Option or Stock Appreciation Right by: (i) amending or modifying the terms of the Option or Stock Appreciation Right to lower
the exercise price; (ii) canceling the underwater Option or Stock Appreciation Right and granting either (A) replacement Options
or Stock Appreciation Rights having a lower exercise price; or (B) Restricted Stock, Restricted Stock Units or Other Stock-Based
Award in exchange; or (iii) cancelling or repurchasing the underwater Option or Stock Appreciation Right for cash or other securities.
An Option or Stock Appreciation Right will be deemed to be “underwater” at any time when the Fair Market Value of
the Shares covered by such Option or Stock Appreciation Right is less than the exercise price.

 

(vii)       Minimum
Vesting. Except as provided in this paragraph below, no Award shall be granted with terms providing for any right of exercise
or a lapse of any vesting obligations earlier than a date that is at least one year following the date of grant (or, in the case
of vesting based upon performance-based objectives, exercise and vesting restrictions cannot lapse earlier than the one-year anniversary
measured from the commencement of the period over which performance is evaluated). Notwithstanding the foregoing, a maximum of
five percent (5%) of the aggregate number of Shares available for issuance under this Plan may be issued as Awards that do not
comply with the applicable one-year minimum exercise and vesting requirements set forth above. For purposes of counting Shares
against the five percent (5%) limitation, the Share counting rules under Sections 4(a) and 4(b) of the Plan apply.
Nothing in this Section 6 shall limit the authority of the Committee to provide for the acceleration of the exercisability
of any Award or the lapse of any restrictions relating to any Award except where expressly limited in Section 6(f)(viii).

 

(viii)       Acceleration
of Vesting or Exercisability. No Award Agreement shall, by operation of its terms, accelerate the exercisability of any Award
or the lapse of restrictions relating to any Award in connection with a reorganization, merger or consolidation of, or sale or
other disposition of all or substantially all of the assets of, the Company unless such transaction constitutes a Change in Control
and unless such acceleration occurs upon the consummation of (or effective immediately prior to the consummation of, provided
that the consummation subsequently occurs) the Change in Control.

 

(ix)       Section
409A Provisions. Notwithstanding anything in the Plan or any Award Agreement to the contrary, to the extent that any amount
or benefit that constitutes “deferred compensation” to a Participant under Section 409A and applicable guidance thereunder
is otherwise payable or distributable to a Participant under the Plan or any Award Agreement solely by reason of the occurrence
of a Change in Control or due to the Participant’s disability or “separation from service” (as such term is
defined under Section 409A), such amount or benefit will not be payable or distributable to the Participant by reason of such
circumstance unless the Committee determines in good faith that: (i) the circumstances giving rise to such Change in Control,
disability or separation from service meet the definition of a change in control event, disability, or separation from service,
as the case may be, in Section 409A(a)(2)(A) of the Code and applicable proposed or final regulations; or (ii) the payment or
distribution of such amount or benefit would be exempt from the application of Section 409A by reason of the short-term deferral
exemption or otherwise. Any payment or distribution that otherwise would be made to a Participant who is a Specified Employee
(as determined by the Committee in good faith) on account of separation from service may not be made before the date which is
six (6) months after the date of the Specified Employee’s separation from service (or if earlier, upon the Specified Employee’s
death) unless the payment or distribution is exempt from the application of Section 409A by reason of the short-term deferral
exemption or otherwise.

 

    	9

    	 

    

 

	Section
    7.	Amendment
    and Termination; Corrections

 

(a)       Amendments
to the Plan and Awards. The Board may from time to time amend, suspend or terminate this Plan, and the Committee may amend
the terms of any previously granted Award, provided that no amendment to the terms of any previously granted Award may (except
as expressly provided in the Plan) adversely alter or impair the terms or conditions of the Award previously granted to a Participant
under this Plan without the written consent of the Participant or holder thereof. Any amendment to this Plan, or to the terms
of any Award previously granted, is subject to compliance with all applicable laws, rules, regulations and policies of any applicable
governmental entity or securities exchange, including receipt of any required approval from the governmental entity or stock exchange.
For greater certainty and without limiting the foregoing, the Board may amend, suspend, terminate or discontinue the Plan, and
the Committee may amend or alter any previously granted Award, as applicable, without obtaining the approval of stockholders of
the Company in order to:

 

(i)       amend
the eligibility for, and limitations or conditions imposed upon, participation in the Plan;

 

(ii)       amend
any terms relating to the granting or exercise of Awards, including but not limited to terms relating to the amount and payment
of the exercise price, or the vesting, expiry, assignment or adjustment of Awards, or, subject to the limitations in Section
6(f)(viii), otherwise waive any conditions of or rights of the Company under any outstanding Award, prospectively or retroactively;

 

(iii)       make
changes that are necessary or desirable to comply with applicable laws, rules, regulations and policies of any applicable governmental
entity or stock exchange (including amendments to Awards necessary or desirable to maximize any available tax deduction or to
avoid any adverse tax results, and no action taken to comply with such laws, rules, regulations and policies shall be deemed to
impair or otherwise adversely alter or impair the rights of any holder of an Award or beneficiary thereof); or

 

(iv)       amend
any terms relating to the administration of the Plan, including the terms of any administrative guidelines or other rules related
to the Plan.

 

For
greater certainty, prior approval of the stockholders of the Company shall be required for any amendment to the Plan or an Award
that would:

 

(I)       require
stockholder approval under the rules or regulations of the Securities and Exchange Commission, the NASDAQ Capital Market or any
other securities exchange that are applicable to the Company;

 

(II)       increase
the number of shares authorized under the Plan as specified in Section 4(a) of the Plan;

 

(III)       permit
repricing of Options or Stock Appreciation Rights, which is currently prohibited by Section 6 of the Plan;

 

(IV)       permit
the award of Options or Stock Appreciation Rights at a price less than one-hundred percent (100%) of the Fair Market Value of
a Share on the date of grant of such Option or Stock Appreciation Right, contrary to the provisions of Section 6(a)(i)
and Section 6(b) of the Plan;

 

(V)       increase
the maximum term permitted for Options and Stock Appreciation Rights as specified in Section 6(a) and Section 6(b);
or

 

(VI)       increase
the number of shares subject to the limitations contained in Section 4(d) of the Plan.

 

(b)       Corporate
Transactions. In the event of any reorganization, merger, consolidation, split-up, spin-off, combination, plan of arrangement,
take-over bid or tender offer, repurchase or exchange of Shares or other securities of the Company or any other similar corporate
transaction or event involving the Company (or the Company shall enter into a written agreement to undergo such a transaction
or event), the Committee or the Board may, in its sole discretion but subject to the limitations in Section 6(f)(viii),
provide for any of the following to be effective upon the consummation of the event (or effective immediately prior to the consummation
of the event, provided that the consummation of the event subsequently occurs), and no action taken under this Section 7(b)
shall be deemed to impair or otherwise adversely alter or impair the rights of any holder of an Award or beneficiary thereof:

 

(i)       either
(A) termination of any Award, whether or not vested, in exchange for an amount of cash and/or other property, if any, equal to
the amount that would have been attained upon the exercise of the Award or realization of the Participant’s rights (and,
for the avoidance of doubt, if, as of the date of the occurrence of the transaction or event described in this Section 7(b)(i)(A),
the Committee or the Board determines in good faith that no amount would have been attained upon the exercise of the Award or
realization of the Participant’s rights, then the Award may be terminated by the Company without any payment) or (B) the
replacement of the Award with other rights or property selected by the Committee or the Board, in its sole discretion;

 

    	10

    	 

    

 

(ii)       that
the Award be assumed by the successor or survivor corporation, or a parent or subsidiary thereof, or shall be substituted for
by similar options, rights or awards covering the stock of the successor or survivor corporation, or a parent or subsidiary thereof,
with appropriate adjustments as to the number and kind of shares and prices;

 

(iii)       that
the Award shall be exercisable or payable or fully vested with respect to all Shares covered thereby, notwithstanding anything
to the contrary in the applicable Award Agreement; or

 

(iv)       that
the Award cannot vest, be exercised or become payable after a date certain in the future, which may be the effective date of the
event.

 

(c)       Correction
of Defects, Omissions and Inconsistencies. The Committee may, without prior approval of the stockholders of the Company, correct
any defect, supply any omission or reconcile any inconsistency in the Plan or in any Award or Award Agreement in the manner and
to the extent it shall deem desirable to implement or maintain the effectiveness of the Plan.

 

	Section
    8.	Income
    Tax Withholding

 

In
order to comply with all applicable federal, state, local or foreign income tax laws or regulations, the Company may take such
action as it deems appropriate to ensure that all applicable federal, state, local or foreign payroll, withholding, income or
other taxes, which are the sole and absolute responsibility of a Participant, are withheld or collected from such Participant.
In order to assist a Participant in paying all or a portion of the applicable taxes to be withheld or collected upon exercise
or receipt of (or the lapse of restrictions relating to) an Award, the Committee, in its discretion and subject to such additional
terms and conditions as it may adopt, may permit the Participant to satisfy such tax obligation by: (a) electing to have the Company
withhold a portion of the Shares otherwise to be delivered upon exercise or receipt of (or the lapse of restrictions relating
to) such Award with a Fair Market Value equal to the amount of such taxes (subject to any limitations required by ASC Topic 718
to avoid adverse accounting treatment); or (b) delivering to the Company Shares other than Shares issuable upon exercise or receipt
of (or the lapse of restrictions relating to) such Award with a Fair Market Value equal to the amount of such taxes. The election,
if any, must be made on or before the date that the amount of tax to be withheld is determined.

 

	Section
    9.	General
    Provisions

 

(a)       No
Rights to Awards. No Eligible Person, Participant or other person shall have any claim to be granted any Award under the Plan,
and there is no obligation for uniformity of treatment of Eligible Persons, Participants or holders or beneficiaries of Awards
under the Plan. The terms and conditions of Awards need not be the same with respect to any Participant or with respect to different
Participants.

 

(b)       Award
Agreements. No Participant shall have rights under an Award granted to such Participant unless and until an Award Agreement
shall have been signed by the Participant (if requested by the Company), or until such Award Agreement is delivered and accepted
through an electronic medium in accordance with procedures established by the Company. Each Award will be evidenced by an Award
Agreement signed by the Participant and a representative of the Company unless the Committee expressly provides otherwise. Each
Award Agreement shall be subject to the applicable terms and conditions of the Plan and any other terms and conditions (not inconsistent
with the Plan) determined by the Committee.

 

(c)       Plan
Provisions Control. In the event that any provision of an Award Agreement conflicts with or is inconsistent in any respect
with the terms of the Plan as set forth herein or subsequently amended, the terms of the Plan shall control.

 

(d)       No
Rights of Stockholders. Except with respect to Shares issued under Awards (and subject to such conditions as the Committee
may impose on such Awards pursuant to Section 6(c)(i) or Section 6(d)), neither a Participant nor the Participant’s
legal representative shall be, or have any of the rights and privileges of, a stockholder of the Company with respect to any Shares
issuable upon the exercise or payment of any Award, in whole or in part, unless and until such Shares have been issued.

 

    	11

    	 

    

 

(e)       No
Limit on Other Compensation Arrangements. Nothing contained in the Plan shall prevent the Company or any Affiliate from adopting
or continuing in effect other or additional compensation plans or arrangements, and such plans or arrangements may be either generally
applicable or applicable only in specific cases.

 

(f)       No
Right to Employment. The grant of an Award shall not be construed as giving a Participant the right to be retained as an employee
of the Company or any Affiliate, nor will it affect in any way the right of the Company or an Affiliate to terminate a Participant’s
employment at any time, with or without cause, in accordance with applicable law. In addition, the Company or an Affiliate may
at any time dismiss a Participant from employment free from any liability or any claim under the Plan or any Award, unless otherwise
expressly provided in the Plan or in any Award Agreement. Nothing in this Plan shall confer on any person any legal or equitable
right against the Company or any Affiliate, directly or indirectly, or give rise to any cause of action at law or in equity against
the Company or an Affiliate. Under no circumstances shall any person ceasing to be an employee of the Company or any Affiliate
be entitled to any compensation for any loss of any right or benefit under the Plan which such employee might otherwise have enjoyed
but for termination of employment, whether such compensation is claimed by way of damages for wrongful or unfair dismissal, breach
of contract or otherwise. By participating in the Plan, each Participant shall be deemed to have accepted all the conditions of
the Plan and the terms and conditions of any rules and regulations adopted by the Committee and shall be fully bound thereby.

 

(g)       Governing
Law. The internal law, and not the law of conflicts, of the State of Nevada shall govern all questions concerning the validity,
construction, and effect of the Plan or any Award, and any rules and regulations relating to the Plan or any Award.

 

(h)       Severability.
If any provision of the Plan or any Award is or becomes or is deemed to be invalid, illegal or unenforceable in any jurisdiction
or would disqualify the Plan or any Award under any law deemed applicable by the Committee, such provision shall be construed
or deemed amended to conform to applicable laws, or if it cannot be so construed or deemed amended without, in the determination
of the Committee, materially altering the purpose or intent of the Plan or the Award, such provision shall be stricken as to such
jurisdiction or Award, and the remainder of the Plan or any such Award shall remain in full force and effect.

 

(i)       No
Trust or Fund Created. Neither the Plan nor any Award shall create or be construed to create a trust or separate fund of any
kind or a fiduciary relationship between the Company or any Affiliate and a Participant or any other person. To the extent that
any person acquires a right to receive payments from the Company or any Affiliate pursuant to an Award, such right shall be no
greater than the right of any unsecured general creditor of the Company or any Affiliate.

 

(j)       Other
Benefits. No compensation or benefit awarded to or realized by any Participant under the Plan shall be included for the purpose
of computing such Participant’s compensation or benefits under any pension, retirement, savings, profit sharing, group insurance,
disability, severance, termination pay, welfare or other benefit plan of the Company, unless required by law or otherwise provided
by such other plan.

 

(k)       No
Fractional Shares. No fractional Shares shall be issued or delivered pursuant to the Plan or any Award, and unless an Award
Agreement expressly provides otherwise, all fractional Shares and any rights thereto shall be canceled, terminated and otherwise
eliminated without consideration.

 

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

 

    	12

    	 

    

 

	Section
    10.	Clawback
    or Recoupment

 

In
addition to such forfeiture and/or penalty conditions as specified in any Award Agreement, Awards under this Plan shall be subject
to forfeiture or other penalties pursuant any clawback or similar recoupment policy as may be established or amended from time
to time.

 

	Section
    11.	Effective
    Date of the Plan

 

The
Plan was adopted by the Board on August 6, 2019. The Plan shall be subject to approval by the stockholders of the Company
at the annual meeting of stockholders of the Company to be held on September 18, 2019 and the Plan shall be effective as of the
date of such stockholder approval. On and after stockholder approval of the Plan, no awards shall be granted under the Prior Stock
Plan, but all outstanding awards previously granted under the Prior Stock Plan shall remain outstanding and subject to the terms
of the Prior Stock Plan.

 

	Section
    12.	Term
    of the Plan

 

No
Award shall be granted under the Plan, and the Plan shall terminate, on the tenth (10th) anniversary of the effective
date of the Plan or any earlier date of discontinuation or termination established pursuant to Section 7(a) of the
Plan. Unless otherwise expressly provided in the Plan or in an applicable Award Agreement, any Award theretofore granted may
extend beyond such dates, and the authority of the Committee provided for hereunder with respect to the Plan and any Awards,
and the authority of the Board to amend the Plan, shall extend beyond the termination of the Plan.

 

    	13

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