Document:

Indemnification agreement dated 10/01/03 among Americredit Financial and the Rep

 Exhibit 10.2 
  
 EXECUTION COPY 
  

  
 MBIA INSURANCE CORPORATION, 
 as Insurer 
  
 AMERICREDIT FINANCIAL SERVICES, INC. 
  
 and 
  
 BARCLAYS CAPITAL INC.

 as the Representative of the Underwriters 
  
 INDEMNIFICATION AGREEMENT 
  
 $1,200,000,000 
 AmeriCredit Automobile
Receivables Trust 2003-D-M 
 Automobile Receivables Backed Notes 
 $227,000,000 Class A-1 Notes 
 $440,000,000 Class A-2 Notes 
 $75,000,000 Class A-3-A Notes 
 $104,000,000
Class A-3-B Notes 
 $354,000,000 Class A-4 Notes 
  
 Dated as of October 1, 2003 
  

 TABLE OF CONTENTS 
  

	 	  	 	  	Page

			
	 Section 1.
	  	 Definitions
	  	1
			
	 Section 2.
	  	 Representations and Warranties of the Insurer
	  	2
			
	 Section 3.
	  	 Agreements, Representations and Warranties of the Underwriters
	  	4
			
	 Section 4.
	  	 Agreements, Representations and Warranties of AmeriCredit
	  	4
			
	 Section 5.
	  	 Indemnification
	  	4
			
	 Section 6.
	  	 Notice To Be Given
	  	5
			
	 Section 7.
	  	 Contribution
	  	7
			
	 Section 8.
	  	 Notices
	  	8
			
	 Section 9.
	  	 Governing Law, Etc
	  	8
			
	 Section 10.
	  	 Insurance Agreement; Underwriting Agreement; Sale and Servicing Agreement
	  	9
			
	 Section 11.
	  	 Limitations
	  	9
			
	 Section 12.
	  	 Counterparts
	  	9
			
	 Section 13.
	  	 Nonpetition
	  	9
		
	 TESTIMONIUM
	  	 
		
	 SIGNATURES AND SEALS
	  	 

 INDEMNIFICATION AGREEMENT 
  
 This Agreement, dated as of October 1, 2003, is by and among MBIA INSURANCE CORPORATION (the “Insurer”), as the
Insurer under the Note Guaranty Insurance Policy (the “Policy”) issued in connection with the Offered Notes described below, AMERICREDIT FINANCIAL SERVICES, INC. (“AmeriCredit”) and BARCLAYS CAPITAL INC., as Representative of the
Underwriters (the “Representative”). 
  
 Section 1.
Definitions. As used in this Agreement, the following terms shall have the respective meanings stated herein, unless the context clearly requires otherwise, in both singular and plural form, as appropriate. Capitalized terms
used in this Agreement but not otherwise defined herein will have the meanings ascribed to such terms in the Sale and Servicing Agreement (as described below). 
  

“Act” means the Securities Act of 1933, as amended, together with all related rules and regulations. 
  
 “Agreement” means this Indemnification Agreement by and
among the Insurer, AmeriCredit and the Representative of the Underwriters. 
  
 “AmeriCredit Party” means AmeriCredit, each of its parents, subsidiaries and affiliates and any shareholder, director, officer, employee, agent or any “controlling person” such term is used
in the Act) of any of the foregoing. 
  
 “Indemnified
Party” means any party entitled to any indemnification pursuant to Section 5 below, as the context requires. 
  
 “Indemnifying Party” means any party required to provide indemnification pursuant to Section 5 below, as the context requires.

  
 “Indenture” means the Indenture dated as of
October 10, 2003 between the Issuer and the Trustee and Trust Collateral Agent as the same may be amended or supplemented from time to time in accordance with the terms thereof. 
  
 “Insurance Agreement” means the Insurance Agreement, dated as of October 10, 2003, by and among the
Insurer, the Issuer, AmeriCredit, the Seller, the Back-up Servicer, the Trustee, the Trust Collateral Agent and the Collateral Agent. 
  
 “Insurer Party” means the Insurer and its respective parents, subsidiaries and affiliates and any shareholder, director, officer,
employee, agent or any “controlling person” (as such term is used in the Act) of any of the foregoing. 

 “Losses” means (i) any actual out-of-pocket loss paid by the party entitled to
indemnification or contribution hereunder and (ii) any actual out-of-pocket costs and expenses paid by such party, including reasonable fees and expenses of its counsel, to the extent not paid, satisfied or reimbursed from funds provided by any
other Person (provided that the foregoing shall not create or imply any obligation to pursue recourse against any such other Person). 
  
 “Offered Notes” means the $1,200,000,000 AmeriCredit Automobile Receivables Trust 2003-D-M Automobile Receivables Backed Notes
$227,000,000 Class A-1 Notes, $440,000,000 Class A-2 Notes, $75,000,000 Class A-3-A Notes, $104,000,000 Class A-3-B Notes, $354,000,000 Class A-4 Notes, issued pursuant to the Indenture. 
  
 “Person” means any individual, partnership, joint venture, corporation, trust or unincorporated
organization or any government or agency or political subdivision thereof. 
  
 “Prospectus” means the form of final Prospectus included in the Registration Statement on each date that the Registration Statement and any post effective amendment or amendments thereto became
effective. 
  
 “Prospectus Supplement” means the
form of final Prospectus Supplement, dated October 1, 2003, and filed with the Securities and Exchange Commission on October 1, 2003. 
  
 “Registration Statement” means the registration statement on Form S-3 of AmeriCredit relating to the Offered Notes. 
  
 “Sale and Servicing Agreement” means the Sale and Servicing
Agreement, dated as of October 10, 2003, by and among the Issuer, the Seller, the Servicer, the Back-up Servicer and the Trust Collateral Agent. 
  
 “Servicer” means AmeriCredit Financial Services, Inc., as Servicer. 
  
 “Underwriter Party” means each Underwriter and its parent, subsidiaries and affiliates and any shareholder,
director, officer, employee, agent or “controlling person” (as such term is used in the Act) of any of the foregoing. 
  
 “Underwriters” means Barclays Capital Inc., Credit Suisse First Boston Corporation, J.P Morgan Securities Inc., Lehman Brothers, Inc.,
Banc One Capital Markets, Inc., and Wachovia Capital Markets, LLC. 
  
 “Underwriting Agreement” means the Underwriting Agreement by and between AmeriCredit, the Seller and the Underwriters, dated October 1, 2003. 
  

 2 

 Section 2. Representations and Warranties of the Insurer. The Insurer
represents and warrants to the Underwriters and AmeriCredit as follows: 
  
 (a) Organization and Licensing. The Insurer is a duly incorporated and existing New York stock insurance company licensed to do business in the State of New York and is in good standing under the laws of such
state. 
  
 (b) Corporate Power. The
Insurer has the corporate power and authority to issue the Policy and execute and deliver this Agreement and the Insurance Agreement and to perform all of its obligations hereunder and thereunder. 
  
 (c) Authorization; Approvals. The issuance of the
Policy and the execution, delivery and performance of this Agreement and the Insurance Agreement have been duly authorized by all necessary corporate proceedings. No further approvals or filings of any kind, including, without limitation, any
further approvals of or further filings with any governmental agency or other governmental authority, or any approval of the Insurer’s board of directors or stockholders, are necessary for the Policy, this Agreement and the Insurance Agreement
to constitute the legal, valid and binding obligations of the Insurer. 
  
 (d) Enforceability. The Policy, when issued, and this Agreement and the Insurance Agreement will each constitute legal, valid and binding obligations of the Insurer, enforceable in accordance with their terms,
subject to applicable laws affecting the enforceability of creditors’ rights generally and general equitable principles and public policy considerations as to rights of indemnification for violations of federal securities laws. 
  
 (e) Financial Information. The consolidated financial
statements of the Insurer as of December 31, 2002 and December 31, 2001 and for the three years ended December 31, 2002 incorporated by reference in the Prospectus Supplement (the “Insurer Audited Financial Statements”) fairly present in
all material respects the financial condition of the Insurer as of such date and for the period covered by such statements in accordance with generally accepted accounting principles consistently applied. The consolidated financial statements of the
Insurer and its subsidiaries as of June 30, 2003 incorporated by reference in the Prospectus Supplement (the “Insurer Unaudited Financial Statements”) present fairly in all material respects the financial condition of the Insurer as of
such date and for the period covered by such statements in accordance with generally accepted accounting principles applied in a manner consistent with the accounting principles used in preparing the Insurer Audited Financial Statements, and, since
June 30, 2003 there has been no material change in such financial condition of the Insurer which would materially and adversely affect its ability to perform its obligations under the Policy. 
  

 3 

 (f) Insurer Information. The information in the Prospectus Supplement as of the
date hereof under the captions “THE POLICY” and “THE INSURER” (the “Insurer Information”) is limited and does not purport to provide the scope of disclosure required to be included in a prospectus for a
registrant under the Securities Act of 1933, in connection with the public offer and sale of securities of such registrant. Within such limited scope of disclosure, the Insurer Information does not contain any untrue statement of a material fact or
omit to state a material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading. 
  
 (g) No Litigation. There are no actions, suits, proceedings or investigations pending or, to the best of the Insurer’s
knowledge, threatened against it at law or in equity or before or by any court, governmental agency, board or commission or any arbitrator which, if decided adversely, would materially and adversely affect its condition (financial or otherwise) or
its operations or would materially and adversely affect its ability to perform its obligations under this Agreement, the Policy or the Insurance Agreement. 
  
 Section 3. Agreements, Representations and Warranties of the Underwriters. The Underwriters represent and warrant to and agree with
AmeriCredit and the Insurer that the statements in the Prospectus Supplement made in reliance upon and in conformity with written information relating to the Underwriters furnished to AmeriCredit specifically for use in the preparation of the
Prospectus Supplement, and acknowledged in writing (referred to herein as the “Underwriter Information”), are true and correct in all material respects. 
  
 Section 4. Agreements, Representations and Warranties of AmeriCredit. AmeriCredit represents, warrants
to and agrees with the Insurer and the Underwriters that: 
  
 (a) Registration Statement. The information in the Registration Statement, the Prospectus and the Prospectus Supplement, other than the Insurer Information and the Underwriter Information, is true and correct
in all material respects and does not contain any untrue statement of a fact that is material or omit to state a material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading.

  
 (b) Representations and Warranties.
Each of the representations and warranties of AmeriCredit contained in the Insurance Agreement is true and correct in all material respects, and AmeriCredit hereby makes each such representation and warranty to, and for the benefit of, the Insurer
as if the same were set forth in full herein. 
  
 Section 5.
Indemnification. 
  
 (a)
The Insurer hereby agrees, upon the terms and subject to the conditions of this Agreement, to indemnify, defend and hold harmless each AmeriCredit Party and each Underwriter Party against any and all Losses incurred by them with respect to the offer
and sale of any of the Offered Notes and resulting from the Insurer’s breach of any of its representations and warranties set forth in Section 2 of this Agreement. 
  

 4 

 (b) The Representative, on behalf of the Underwriters, hereby agrees, upon the terms and
subject to the conditions of this Agreement, to indemnify, defend and hold harmless each Insurer Party and each AmeriCredit Party against any and all Losses incurred by it with respect to the offer and sale of any of the Offered Notes and resulting
from the Repsresentative’s breach of any of its representations and warranties set forth in Section 3 of this Agreement. 
  
 (c) AmeriCredit hereby agrees, upon the terms and subject to the conditions of this Agreement, to indemnify, defend and hold harmless each
Insurer Party against any and all Losses incurred by it with respect to the offer and sale of any of the Offered Notes and resulting from AmeriCredit’s breach of any of its representations and warranties set forth in Section 4 of this
Agreement. 
  
 (d) Upon the incurrence of any
Losses entitled to indemnification hereunder, the Indemnifying Party shall reimburse the Indemnified Party promptly upon establishment by the Indemnified Party to the Indemnifying Party of the Losses incurred. 
  
 Section 6. Notice To Be Given. 
  
 (a) Except as provided in Section 7 below with respect to
contribution, the indemnification provided herein by the Indemnifying Party shall be the exclusive remedy of each Indemnified Party for the Losses resulting from the Indemnifying Party’s breach of a representation, warranty or agreement
hereunder; provided, however, that each Indemnified Party shall be entitled to pursue any other remedy at law or in equity for any such breach so long as the damages sought to be recovered shall not exceed the Losses incurred thereby resulting from
such breach. 
  
 (b) In the event that any action
or regulatory proceeding shall be commenced or claim asserted which may entitle an Indemnified Party to be indemnified under this Agreement, such party shall give the Indemnifying Party written or facsimile notice of such action or claim reasonably
promptly after receipt of written notice thereof. 
  
 (c) Upon request of the Indemnified Party, the Indemnifying Party shall retain counsel reasonably satisfactory to the Indemnified Party to represent the Indemnified Party and any others the Indemnifying Party may designate in such
proceeding and shall pay the fees and disbursements of such counsel related to such proceeding. The Indemnifying Party may, at its option, at any time upon written notice to the Indemnified Party, assume the defense of any proceeding and may
designate counsel reasonably satisfactory to the Indemnified Party in connection therewith, provided that the counsel so designated would have no actual or potential conflict of interest in connection with such representation. Unless it shall assume
the defense of any proceeding the Indemnifying Party shall not be liable for any settlement of any proceeding, effected without its written consent, but if settled with such consent or if there be a final judgment 

  

 5 

 
for the plaintiff, the Indemnifying Party agrees to indemnify the Indemnified Party from and against any loss or liability by reason of such settlement or
judgment. The Indemnifying Party shall be entitled to participate in the defense of any such action or claim in reasonable cooperation with, and with the reasonable cooperation of, each Indemnified Party. 
  
 (d) The Indemnified Party will have the right to employ its
own counsel in any such action, but the fees and expenses of such counsel will be at the expense of such Indemnified Party unless (i) the employment of counsel by the Indemnified Party at the Indemnifying Party’s expense has been authorized in
writing by the Indemnifying Party, (ii) the Indemnifying Party has not in fact employed counsel to assume the defense of such action within a reasonable time after receiving notice of the commencement of the action or (iii) the named parties to any
such action include the Indemnifying Party on the one hand and, on the other hand, the Indemnified Party, and representation of both parties by the same counsel would be inappropriate due to actual or potential differing interests between them (in
which case if such Indemnified Party notifies the Indemnifying Party in writing that it elects to employ separate counsel at the expense of the Indemnifying Party, the Indemnifying Party shall not have the right to assume the defense of such action
or proceeding on such Indemnified Party’s behalf), in each of which cases the reasonable fees and expenses of counsel (including local counsel) will be at the expense of the Indemnifying Party, and all such fees and expenses will be reimbursed
promptly as they are incurred. In the event that any expenses so paid by the Indemnifying Party are subsequently determined not to be required to be borne by the Indemnifying Party hereunder, the party which received such payment shall promptly
refund to the Indemnifying Party the amount so paid by such Indemnifying Party. Notwithstanding the foregoing, in connection with any one action or separate but substantially similar or related actions in the same jurisdiction arising out of the
same general allegations or circumstances, the Indemnifying Party shall not be liable for the fees and expenses of more than one counsel for all AmeriCredit Parties, more than one counsel for all Underwriter Parties and more than one counsel for all
Insurer Parties, as applicable. 
  
 (e) The
Indemnified Parties shall cooperate with the Indemnifying Parties in resolving any event which would give rise to an indemnity obligation pursuant to Section 5 hereof in the most efficient manner. 
  
 (f) No settlement of any such claim or action shall be
entered into without the consent of each Indemnified Party who is subject to such claim or action, on the one hand, and each Indemnifying Party who is subject to such claim or action, on the other hand; provided, however, that the consent of such
Indemnified Party shall not be required if such settlement fully discharges, with prejudice against the plaintiff, the claim or action against such Indemnified Party. 
  

 6 

 (g) Any failure by an Indemnified Party to comply with the provisions of this Section
shall relieve the Indemnifying Party of liability only if such failure is materially prejudicial to any legal pleadings, grounds, defenses or remedies in respect thereof or the Indemnifying Party’s financial liability hereunder, and then only
to the extent of such prejudice. 
  
 Section 7.
Contribution. 
  
 (a) To provide for just and equitable contribution if the indemnification provided by the Insurer is determined to be unavailable for an Underwriter Party (other than pursuant to Section 5 or 6 of this Agreement), or if the indemnification
provided by any Underwriter is determined to be unavailable for any Insurer Party (other than pursuant to Section 5 or 6 of this Agreement), the Insurer and the Underwriters shall contribute to the aggregate costs of liabilities arising from any
breach of their respective representations and warranties set forth in this Agreement on the basis of the relative fault of all Insurer Parties and all Underwriter Parties. 
  
 (b) To provide for just and equitable contribution if the indemnification provided by the Insurer is
determined to be unavailable for any AmeriCredit Party (other than pursuant to Section 5 or 6 of this Agreement), or if the indemnification provided by AmeriCredit is determined to be unavailable for any Insurer Party (other than pursuant to Section
5 or 6 of this Agreement), the Insurer and AmeriCredit shall contribute to the aggregate cost of liabilities arising from any breach of their respective representations and warranties set forth in this Agreement on the basis of the relative fault of
all Insurer Parties and all AmeriCredit Parties. 
  
 (c) To provide for just and equitable contribution if the indemnification provided by the Underwriter is determined to be unavailable for any AmeriCredit Party (other than pursuant to Section 5 or 6 of this Agreement), the Underwriter and
AmeriCredit shall contribute to the aggregate costs of liabilities arising from any breach of their respective representations and warranties set forth in this Agreement on the basis of the relative fault of all Underwriter Parties and all
AmeriCredit Parties. 
  
 (d) The relative fault
of each Indemnifying Party, on the one hand, and of each Indemnified Party, on the other hand, shall be determined by reference to, among other things, whether the breach of, or alleged breach of, any of its representations and warranties set forth
in Section 2, 3 or 4 of this Agreement relates to information supplied by, or action within the control of, the Indemnifying Party or the Indemnified Party and the Parties’ relative intent, knowledge, access to information and opportunity to
correct or prevent such breach. 
  

 7 

 (e) The parties agree that the Insurer shall be solely responsible for the Insurer
Information and for the Insurer Financial Statements, that the Underwriters shall be solely responsible for the Underwriter Information provided by the Underwriters in writing for use in the Prospectus Supplement and that AmeriCredit shall be
responsible for all other information in the Registration Statement and in the Prospectus Supplement. 
  
 (f) No person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Act) shall be entitled to contribution
from any person who was not guilty of such fraudulent misrepresentation. 
  
 (g) The indemnity and contribution agreements contained in this Agreement shall remain operative and in full force and effect, regardless of (i) any investigation made by or on behalf of any Underwriter Party, any
AmeriCredit Party or any Insurer Party, (ii) the issuance of any Offered Notes or the Policy or (iii) any termination of this Agreement. 
  
 (h) Upon the incurrence of any Losses entitled to contribution hereunder, the contributor shall reimburse the party entitled to
contribution promptly upon establishment by the party entitled to contribution to the contributor of the Losses incurred. 
  
 Section 8. Notices. All notices and other communications provided for under this Agreement shall be addressed to the address
set forth below as to each party or at such other address as shall be designated by a party in a written notice to the other party. 
  

	If to the Insurer:	 	MBIA Insurance Corporation
	 	 	113 King Street
	 	 	Armonk, NY 10504
	 	 	Attention: Insured Portfolio Management—Structured Finance (IPM-SF)
		
	If to AmeriCredit:	 	AmeriCredit Financial Services, Inc.
	 	 	801 Cherry Street, Suite 3900
	 	 	Fort Worth, TX 76102
	 	 	Attention: Chief Financial Officer
		
	If to the Representative:	 	Barclays Capital Inc.
	 	 	200 Park Avenue, 5F
	 	 	New York, NY 10166

  
 Section 9.
Governing Law, Etc. This Agreement shall be deemed to be a contract under the laws of the State of New York and shall be governed by and construed in accordance with the laws of the State of New York without regard to its
conflicts of laws provisions. This 

  

 8 

 
Agreement may not be assigned by any party without the express written consent of each other party. Amendments of this Agreement shall be in writing signed
by each party. This Agreement shall not be effective until executed by each of the Insurer, AmeriCredit and the Underwriters. 
  
 Section 10. Insurance Agreement; Underwriting Agreement; Sale and Servicing Agreement. This Agreement in no way limits or
otherwise affects the indemnification obligations of AmeriCredit under (a) the Insurance Agreement, (b) the Underwriting Agreement or (c) the Sale and Servicing Agreement. To the extent that this Agreement conflicts with or does not address the
relative rights of the Underwriters and AmeriCredit as between themselves as set forth in the Underwriting Agreement, the Underwriting Agreement shall govern. 
  

Section 11. Limitations. Nothing in this Agreement shall be construed as a representation or undertaking by the Insurer
concerning maintenance of the rating currently assigned to its claims-paying ability by Moody’s Investors Service, Inc. (“Moody’s”) and/or Standard & Poor’s Ratings Services, a division of The McGraw-Hill Companies, Inc.
(“S&P”) or any other rating agency (collectively, the “Rating Agencies”). 
  
 Section 12. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall together
constitute but one and the same instrument. 
  
 Section 13.
Nonpetition. So long as the Insurance Agreement is in effect, and for one year following its termination, none of the parties hereto will file any involuntary petition or otherwise institute any bankruptcy, reorganization,
arrangement, insolvency or liquidation proceeding or other proceeding under any federal or state bankruptcy or similar law against the Issuer. 
  
 [Remainder of this page intentionally left blank.] 
  

 9 

 IN WITNESS WHEREOF, the parties hereto have caused this Indemnification Agreement to be duly executed and
delivered by their respective officers thereunto duly authorized, all as of the date first above written. 
  

	 MBIA INSURANCE CORPORATION

		
	 By
	 	 /s/ Adam M. Carta
  

	 	 	 Assistant Secretary

	
	 AMERICREDIT FINANCIAL SERVICES, INC.

		
	 By
	 	 /s/ J. Michael May
  

	 Title
	 	 Senior Vice President, General Counsel
  

	
	BARCLAYS CAPITAL INC., for itself and as representative of the Underwriters
		
	 By
	 	 /s/ Mark Sun
  

	 Title
	 	 Associate DirectorPrepared by R.R. Donnelley Financial -- Handspring, Inc. 1998 Equity Incentive Plan

 EXHIBIT 10.1 
  
 HANDSPRING, INC. 
  
 1998 EQUITY INCENTIVE PLAN 
  
 As Adopted on October 8, 1998 and 
  
 Amended on August 4, 1999 and March 28, 2000 
  
 1. PURPOSE. The purpose of this Plan is to provide incentives to attract, retain and motivate eligible persons whose present and potential
contributions are important to the success of the Company, its Parent and Subsidiaries, by offering them an opportunity to participate in the Company’s future performance through awards of Options and Restricted Stock. Capitalized terms not
defined in the text are defined in Section 22 hereof. This Plan is intended to be a written compensatory benefit plan within the meaning of Rule 701 promulgated under the Securities Act. 
  
 2. SHARES SUBJECT TO THE PLAN. 
  
 2.1 Number of Shares Available. Subject to Sections 2.2 and 17 hereof, the total number of Shares reserved and
available for grant and issuance pursuant to this Plan will be 28,707,6931 Shares or such lesser number of Shares as
permitted under Section 260.140.45 of Title 10 of the California Code of Regulations. Subject to Sections 2.2 and 17 hereof, Shares previously granted will again be available for grant and issuance in connection with future Awards under this Plan
that: (i) are subject to issuance upon exercise of an Option but cease to be subject to such Option for any reason other than exercise of such Option or (ii) are subject to a Restricted Stock Award that otherwise terminates without Shares being
issued. At all times the Company will reserve and keep available a sufficient number of Shares as will be required to satisfy the requirements of all Awards granted and outstanding under this Plan. 
  
 2.2 Adjustment of Shares. In the event that the number of outstanding
shares of the Company’s Common Stock is changed by a stock dividend, recapitalization, stock split, reverse stock split, subdivision, combination, reclassification or similar change in the capital structure of the Company without consideration,
then (i) the number of Shares reserved for issuance under this Plan, (ii) the Exercise Prices of and number of Shares subject to outstanding Options and (iii) the Purchase Prices of and number of Shares subject to other outstanding Awards will be
proportionately adjusted, subject to any required action by the Board or the shareholders of the Company and compliance with applicable securities laws; provided, however, that fractions of a Share will not be issued but will either be paid in cash
at the Fair Market Value of such fraction of a Share or will be rounded down to the nearest whole Share, as determined by the Committee. 
  
 3. ELIGIBILITY. ISOs (as defined in Section 5 hereof) may be granted only to employees (including officers and directors who are also
employees) of the Company or of a Parent or Subsidiary of the Company. NQSOs (as defined in Section 5 hereof) and Restricted Stock Awards may be granted to employees, officers, directors and consultants of the Company or any Parent or Subsidiary of
the Company; provided such consultants render bona fide services not in connection with the offer and sale of securities in a capital-raising transaction. A person may be granted more than one Award under this Plan. 

	1	This 28,707,693 figure reflects the 3-for-2 stock split which became effective on May 30, 2000. 

  

 1 

 4. ADMINISTRATION. 
  
 4.1 Committee Authority. This Plan will be administered by the Committee or the Board if no Committee is created by
the Board. Subject to the general purposes, terms and conditions of this Plan, and to the direction of the Board, the Committee will have full power to implement and carry out this Plan. Without limitation, the Committee will have the authority to:

  

	 	(a)	construe and interpret this Plan, any Award Agreement and any other agreement or document executed pursuant to this Plan; 

  

	 	(b)	prescribe, amend and rescind rules and regulations relating to this Plan; 

  

	 	(c)	approve persons to receive Awards; 

  

	 	(d)	determine the form and terms of Awards; 

  

	 	(e)	determine the number of Shares or other consideration subject to Awards; 

  

	 	(f)	determine whether Awards will be granted singly, in combination with, in tandem with, in replacement of, or as alternatives to, other Awards under this Plan or awards under any
other incentive or compensation plan of the Company or any Parent or Subsidiary of the Company; 

  

	 	(g)	grant waivers of any conditions of this Plan or any Award; 

  

	 	(h)	determine the terms of vesting, exercisability and payment of Awards; 

  

	 	(i)	correct any defect, supply any omission, or reconcile any inconsistency in this Plan, any Award, any Award Agreement, any Exercise Agreement or any Restricted Stock Purchase
Agreement; 

  

	 	(j)	determine whether an Award has been earned; and 

  

	 	(k)	make all other determinations necessary or advisable for the administration of this Plan. 

  
 4.2 Committee Discretion. Unless in contravention of any express terms of this Plan or Award, any determination made
by the Committee with respect to any Award will be made in its sole discretion either (i) at the time of grant of the Award, or (ii) subject to Section 5.9 hereof, at any later time. Any such determination will be final and binding on the Company
and on all persons having an interest in any Award under this Plan. The Committee may delegate to one or more officers of the Company the authority to grant an Award under this Plan, provided such officer or officers are members of the Board.

  
 5. OPTIONS. The Committee may grant Options to
eligible persons described in Section 3 hereof and will determine whether such Options will be Incentive Stock Options within the meaning of the Code (“ISOs”) or Nonqualified Stock Options (“NQSOs”),
the number of Shares subject to the Option, the Exercise Price of the Option, the period during which the Option may be exercised, and all other terms and conditions of the Option, subject to the following: 
  
 5.1 Form of Option Grant. Each Option granted under this Plan will be
evidenced by an Award Agreement which will expressly identify the Option as an ISO or an NQSO (“Stock Option Agreement”), and will be in such form and contain such provisions (which need not be the same for each Participant)
as the Committee may from time to time approve, and which will comply with and be subject to the terms and conditions of this Plan. 
  

 2 

 5.2 Date of Grant. The date of grant of an Option will be the date on which the Committee makes
the determination to grant such Option, unless a later date is otherwise specified by the Committee. The Stock Option Agreement and a copy of this Plan will be delivered to the Participant within a reasonable time after the granting of the Option.

  
 5.3 Exercise Period. Options may be exercisable
immediately but subject to repurchase pursuant to Section 11 hereof or may be exercisable within the times or upon the events determined by the Committee as set forth in the Stock Option Agreement governing such Option; provided, however, that no
Option will be exercisable after the expiration of ten (10) years from the date the Option is granted; and provided further that no ISO granted to a person who directly or by attribution owns more than ten percent (10%) of the total combined voting
power of all classes of stock of the Company or of any Parent or Subsidiary of the Company (“Ten Percent Shareholder”) will be exercisable after the expiration of five (5) years from the date the ISO is granted. The Committee
also may provide for Options to become exercisable at one time or from time to time, periodically or otherwise, in such number of Shares or percentage of Shares as the Committee determines. Subject to earlier termination of the Option as provided
herein, each Participant who is not an officer, director or consultant of the Company or of a Parent or Subsidiary of the Company shall have the right to exercise an Option granted hereunder at the rate of no less than twenty percent (20%) per year
over five (5) years from the date such Option is granted. 
  
 5.4
Exercise Price. The Exercise Price of an Option will be determined by the Committee when the Option is granted and may not be less than eighty-five percent (85%) of the Fair Market Value of the Shares on the date of grant; provided that (i)
the Exercise Price of an ISO will not be less than one hundred percent (100%) of the Fair Market Value of the Shares on the date of grant and (ii) the Exercise Price of any Option granted to a Ten Percent Shareholder will not be less than one
hundred ten percent (110%) of the Fair Market Value of the Shares on the date of grant. Payment for the Shares purchased must be made in accordance with Section 7 hereof. 
  
 5.5 Method of Exercise. Options may be exercised only by delivery to the Company of a written stock option exercise
agreement (the “Exercise Agreement”) in a form approved by the Committee (which need not be the same for each Participant). The Exercise Agreement will state (i) the number of Shares being purchased, (ii) the restrictions
imposed on the Shares purchased under such Exercise Agreement, if any, and (iii) such representations and agreements regarding Participant’s investment intent and access to information and other matters, if any, as may be required or desirable
by the Company to comply with applicable securities laws. Participant shall execute and deliver to the Company the Exercise Agreement together with payment in full of the Exercise Price, and any applicable taxes, for the number of Shares being
purchased. 
  

 3 

 5.6 Termination. Subject to earlier termination pursuant to Sections 17 and 18 hereof and
notwithstanding the exercise periods set forth in the Stock Option Agreement, exercise of an Option will always be subject to the following: 
  

	 	(a)	If the Participant is Terminated for any reason other than death, Disability or for Cause, then the Participant may exercise such Participant’s Options only to the extent that
such Options are exercisable upon the Termination Date. Such Options must be exercised by the Participant, if at all, as to all or some of the Vested Shares calculated as of the Termination Date, within three (3) months after the Termination Date
(or within such shorter time period, not less than thirty (30) days, or within such longer time period, not exceeding five (5) years, after the Termination Date as may be determined by the Committee, with any exercise beyond three (3) months after
the Termination Date deemed to be an NQSO) but in any event, no later than the expiration date of the Options. 

  

	 	(b)	If the Participant is Terminated because of Participant’s death or Disability (or the Participant dies within three (3) months after a Termination other than for Cause), then
Participant’s Options may be exercised only to the extent that such Options are exercisable by Participant on the Termination Date. Such options must be exercised by Participant (or Participant’s legal representative or authorized
assignee), if at all, as to all or some of the Vested Shares calculated as of the Termination Date, within twelve (12) months after the Termination Date (or within such shorter time period, not less than six (6) months, or within such longer time
period, not exceeding five (5) years, after the Termination Date as may be determined by the Committee, with any exercise beyond (i) three (3) months after the Termination Date when the Termination is for any reason other than the Participant’s
death or disability, within the meaning of Section 22(e)(3) of the Code, or (ii) twelve (12) months after the Termination Date when the Termination is for Participant’s disability, within the meaning of Section 22(e)(3) of the Code, deemed to
be an NQSO) but in any event no later than the expiration date of the Options. 

  

	 	(c)	If the Participant is terminated for Cause, then Participant’s Options shall expire on such Participant’s Termination Date, or at such later time and on such conditions as
are determined by the Committee. 

  
 5.7
Limitations on Exercise. The Committee may specify a reasonable minimum number of Shares that may be purchased on any exercise of an Option, provided that such minimum number will not prevent Participant from exercising the Option for the
full number of Shares for which it is then exercisable. 
  
 5.8
Limitations on ISOs. The aggregate Fair Market Value (determined as of the date of grant) of Shares with respect to which ISOs are exercisable for the first time by a Participant during any calendar year (under this Plan or under any other
incentive stock option plan of the Company or any Parent or Subsidiary of the Company) will not exceed One Hundred Thousand Dollars ($100,000). If the Fair Market Value of Shares on the date of grant with respect to which ISOs are exercisable for
the first time by a Participant during any calendar year exceeds One Hundred Thousand Dollars ($100,000), then the Options for the first One Hundred Thousand Dollars ($100,000) worth of Shares to become exercisable in such calendar year will be ISOs
and the Options for the amount in excess of One Hundred Thousand Dollars ($100,000) that become exercisable in that calendar year will be NQSOs. In the event that the Code or the regulations promulgated thereunder are amended after the Effective
Date (as defined in Section 18 hereof) to provide for a different limit on the Fair Market Value of Shares permitted to be subject to ISOs, then such different limit will be automatically incorporated herein and will apply to any Options granted
after the effective date of such amendment. 
  

 4 

 5.9 Modification, Extension or Renewal. The Committee may modify, extend or renew outstanding
Options and authorize the grant of new Options in substitution therefor, provided that any such action may not, without the written consent of a Participant, impair any of such Participant’s rights under any Option previously granted. Any
outstanding ISO that is modified, extended, renewed or otherwise altered will be treated in accordance with Section 424(h) of the Code. Subject to Section 5.10 hereof, the Committee may reduce the Exercise Price of outstanding Options without the
consent of Participants by a written notice to them; provided, however, that the Exercise Price may not be reduced below the minimum Exercise Price that would be permitted under Section 5.4 hereof for Options granted on the date the action is taken
to reduce the Exercise Price. 
  
 5.10 No Disqualification.
Notwithstanding any other provision in this Plan, no term of this Plan relating to ISOs will be interpreted, amended or altered, nor will any discretion or authority granted under this Plan be exercised, so as to disqualify this Plan under Section
422 of the Code or, without the consent of the Participant, to disqualify any Participant’s ISO under Section 422 of the Code. 
  
 6. RESTRICTED STOCK. A Restricted Stock Award is an offer by the Company to sell to an eligible person Shares that are subject to certain
specified restrictions. The Committee will determine to whom an offer will be made, the number of Shares the person may purchase, the Purchase Price, the restrictions to which the Shares will be subject, and all other terms and conditions of the
Restricted Stock Award, subject to the following: 
  
 6.1 Form
of Restricted Stock Award. All purchases under a Restricted Stock Award made pursuant to this Plan will be evidenced by an Award Agreement (“Restricted Stock Purchase Agreement”) that will be in such form (which need not
be the same for each Participant) as the Committee will from time to time approve, and will comply with and be subject to the terms and conditions of this Plan. The Restricted Stock Award will be accepted by the Participant’s execution and
delivery of the Restricted Stock Purchase Agreement and full payment for the Shares to the Company within thirty (30) days from the date the Restricted Stock Purchase Agreement is delivered to the person. If such person does not execute and deliver
the Restricted Stock Purchase Agreement along with full payment for the Shares to the Company within such thirty (30) days, then the offer will terminate, unless otherwise determined by the Committee. 
  
 6.2 Purchase Price. The Purchase Price of Shares sold pursuant to a
Restricted Stock Award will be determined by the Committee and will be at least eighty-five percent (85%) of the Fair Market Value of the Shares on the date the Restricted Stock Award is granted or at the time the purchase is consummated, except in
the case of a sale to a Ten Percent Shareholder, in which case the Purchase Price will be one hundred percent (100%) of the Fair Market Value on the date the Restricted Stock Award is granted or at the time the purchase is consummated. Payment of
the Purchase Price must be made in accordance with Section 7 hereof. 
  
 6.3 Restrictions. Restricted Stock Awards may be subject to the restrictions set forth in Section 11 hereof or such other restrictions not inconsistent with Section 25102(o) of the California Corporations Code. 
  

 5 

 7. PAYMENT FOR SHARE PURCHASES. 
  
 7.1 Payment. Payment for Shares purchased pursuant to this Plan may
be made in cash (by check) or, where expressly approved for the Participant by the Committee and where permitted by law: 
  

	 	(a)	by cancellation of indebtedness of the Company owed to the Participant; 

  

	 	(b)	by surrender of shares that: (i) either (A) have been owned by Participant for more than six (6) months and have been paid for within the meaning of SEC Rule 144 (and, if such
shares were purchased from the Company by use of a promissory note, such note has been fully paid with respect to such shares) or (B) were obtained by Participant in the public market and (ii) are clear of all liens, claims, encumbrances or security
interests; 

  

	 	(c)	by tender of a full recourse promissory note having such terms as may be approved by the Committee and bearing interest at a rate sufficient to avoid imputation of income under
Sections 483 and 1274 of the Code; provided, however, that Participants who are not employees or directors of the Company will not be entitled to purchase Shares with a promissory note unless the note is adequately secured by collateral other than
the Shares; 

  

	 	(d)	by waiver of compensation due or accrued to the Participant from the Company for services rendered; 

  

	 	(e)	with respect only to purchases upon exercise of an Option, and provided that a public market for the Company’s stock exists: 

  

	 	(i)	through a “same day sale” commitment from the Participant and a broker-dealer that is a member of the National Association of Securities Dealers (an “NASD
Dealer”) whereby the Participant irrevocably elects to exercise the Option and to sell a portion of the Shares so purchased sufficient to pay the total Exercise Price, and whereby the NASD Dealer irrevocably commits upon receipt of such
Shares to forward the total Exercise Price directly to the Company; or 

  

	 	(ii)	through a “margin” commitment from the Participant and an NASD Dealer whereby the Participant irrevocably elects to exercise the Option and to pledge the Shares so
purchased to the NASD Dealer in a margin account as security for a loan from the NASD Dealer in the amount of the total Exercise Price, and whereby the NASD Dealer irrevocably commits upon receipt of such Shares to forward the total Exercise Price
directly to the Company; or 

  

	 	(f)	by any combination of the foregoing. 

  

 6 

 7.2 Loan Guarantees. The Committee may, in its sole discretion, elect to assist the Participant in
paying for Shares purchased under this Plan by authorizing a guarantee by the Company of a third-party loan to the Participant. 
  
 8. WITHHOLDING TAXES. 
  
 8.1 Withholding Generally. Whenever Shares are to be issued in satisfaction of Awards granted under this Plan, the Company may require the
Participant to remit to the Company an amount sufficient to satisfy federal, state and local withholding tax requirements prior to the delivery of any certificate or certificates for such Shares. Whenever, under this Plan, payments in satisfaction
of Awards are to be made in cash by the Company, such payment will be net of an amount sufficient to satisfy federal, state, and local withholding tax requirements. 
  
 8.2 Stock Withholding. When, under applicable tax laws, a Participant incurs tax liability in connection with the
exercise or vesting of any Award that is subject to tax withholding and the Participant is obligated to pay the Company the amount required to be withheld, the Committee may in its sole discretion allow the Participant to satisfy the minimum
withholding tax obligation by electing to have the Company withhold from the Shares to be issued that number of Shares having a Fair Market Value equal to the minimum amount required to be withheld, determined on the date that the amount of tax to
be withheld is to be determined. All elections by a Participant to have Shares withheld for this purpose will be made in accordance with the requirements established by the Committee for such elections and be in writing in a form acceptable to the
Committee. 
  
 9. PRIVILEGES OF STOCK OWNERSHIP.

  
 9.1 Voting and Dividends. No Participant will have any
of the rights of a shareholder with respect to any Shares until the Shares are issued to the Participant. After Shares are issued to the Participant, the Participant will be a shareholder and have all the rights of a shareholder with respect to such
Shares, including the right to vote and receive all dividends or other distributions made or paid with respect to such Shares; provided, that if such Shares are Restricted Stock, then any new, additional or different securities the Participant may
become entitled to receive with respect to such Shares by virtue of a stock dividend, stock split or any other change in the corporate or capital structure of the Company will be subject to the same restrictions as the Restricted Stock. The
Participant will have no right to retain such stock dividends or stock distributions with respect to Unvested Shares that are repurchased pursuant to Section 11 hereof. The Company will comply with Section 260.140.1 of Title 10 of the California
Code of Regulations with respect to the voting rights of Common Stock. 
  
 9.2 Financial Statements. The Company will provide financial statements to each Participant annually during the period such Participant has Awards outstanding, or as otherwise required under Section 260.140.46 of Title 10 of the
California Code of Regulations. Notwithstanding the foregoing, the Company will not be required to provide such financial statements to Participants when issuance is limited to key employees whose services in connection with the Company assure them
access to equivalent information. 
  
 10.
TRANSFERABILITY. Awards granted under this Plan, and any interest therein, will not be transferable or assignable by Participant, other than by will or by the laws of descent and distribution, and may not be made subject to execution,
attachment or similar process. During the lifetime of the Participant an Award will be exercisable only by the Participant or Participant’s legal representative and any elections with respect to an Award may be made only by the Participant or
Participant’s legal representative. 
  

 7 

 11. RESTRICTIONS ON SHARES. 
  
 11.1 Right of First Refusal. At the discretion of the Committee, the Company may reserve to itself and/or its
assignee(s) in the Award Agreement a right of first refusal to purchase all Shares that a Participant (or a subsequent transferee) may propose to transfer to a third party, unless otherwise not permitted by Section 25102(o) of the California
Corporations Code, provided that such right of first refusal terminates upon the Company’s initial public offering of Common Stock pursuant to an effective registration statement filed under the Securities Act. 
  
 11.2 Right of Repurchase. At the discretion of the Committee, the
Company may reserve to itself and/or its assignee(s) in the Award Agreement a right to repurchase Unvested Shares held by a Participant for cash and/or cancellation of purchase money indebtedness owed to the Company by the Participant following such
Participant’s Termination at any time within the later of ninety (90) days after the Participant’s Termination Date and the date the Participant purchases Shares under the Plan at the Participant’s Exercise Price or Purchase Price, as
the case may be, provided that, unless the Participant is an officer, director or consultant of the Company or of a Parent or Subsidiary of the Company, such right of repurchase lapses at the rate of no less than twenty percent (20%) per year over
five (5) years from: (a) the date of grant of the Option or (b) in the case of Restricted Stock, the date the Participant purchases the Shares. 
  
 12. CERTIFICATES. All certificates for Shares or other securities delivered under this Plan will be subject to such stock transfer orders,
legends and other restrictions as the Committee may deem necessary or advisable, including restrictions under any applicable federal, state or foreign securities law, or any rules, regulations and other requirements of the SEC or any stock exchange
or automated quotation system upon which the Shares may be listed or quoted. 
  
 13. ESCROW; PLEDGE OF SHARES. To enforce any restrictions on a Participant’s Shares set forth in Section 11 hereof, the Committee may require the Participant to deposit all certificates representing
Shares, together with stock powers or other instruments of transfer approved by the Committee, appropriately endorsed in blank, with the Company or an agent designated by the Company to hold in escrow until such restrictions have lapsed or
terminated. The Committee may cause a legend or legends referencing such restrictions to be placed on the certificates. Any Participant who is permitted to execute a promissory note as partial or full consideration for the purchase of Shares under
this Plan will be required to pledge and deposit with the Company all or part of the Shares so purchased as collateral to secure the payment of Participant’s obligation to the Company under the promissory note; provided, however, that the
Committee may require or accept other or additional forms of collateral to secure the payment of such obligation and, in any event, the Company will have full recourse against the Participant under the promissory note notwithstanding any pledge of
the Participant’s Shares or other collateral. In connection with any pledge of the Shares, Participant will be required to execute and deliver a written pledge agreement in such form as the Committee will from time to time approve. 

 

 8 

 14. EXCHANGE AND BUYOUT OF AWARDS. The Committee may, at any time or from time to time,
authorize the Company, with the consent of the respective Participants, to issue new Awards in exchange for the surrender and cancellation of any or all outstanding Awards. The Committee may at any time buy from a Participant an Award previously
granted with payment in cash, shares of Common Stock of the Company (including Restricted Stock) or other consideration, based on such terms and conditions as the Committee and the Participant may agree. 
  
 15. SECURITIES LAW AND OTHER REGULATORY COMPLIANCE. This Plan
is intended to comply with Section 25102(o) of the California Corporations Code. Any provision of this Plan which is inconsistent with Section 25102(o) shall, without further act or amendment by the Company or the Board, be reformed to comply with
the requirements of Section 25102(o). An Award will not be effective unless such Award is in compliance with all applicable federal and state securities laws, rules and regulations of any governmental body, and the requirements of any stock exchange
or automated quotation system upon which the Shares may then be listed or quoted, as they are in effect on the date of grant of the Award and also on the date of exercise or other issuance. Notwithstanding any other provision in this Plan, the
Company will have no obligation to issue or deliver certificates for Shares under this Plan prior to (i) obtaining any approvals from governmental agencies that the Company determines are necessary or advisable, and/or (ii) compliance with any
exemption, completion of any registration or other qualification of such Shares under any state or federal law or ruling of any governmental body that the Company determines to be necessary or advisable. The Company will be under no obligation to
register the Shares with the SEC or to effect compliance with the exemption, registration, qualification or listing requirements of any state securities laws, stock exchange or automated quotation system, and the Company will have no liability for
any inability or failure to do so. 
  
 16. NO OBLIGATION TO
EMPLOY. Nothing in this Plan or any Award granted under this Plan will confer or be deemed to confer on any Participant any right to continue in the employ of, or to continue any other relationship with, the Company or any Parent or
Subsidiary of the Company or limit in any way the right of the Company or any Parent or Subsidiary of the Company to terminate Participant’s employment or other relationship at any time, with or without Cause. 
  
 17. CORPORATE TRANSACTIONS. 
  
 17.1 Assumption or Replacement of Awards by Successor or Acquiring
Corporation. In the event of (i) a dissolution or liquidation of the Company, (ii) a merger or consolidation in which the Company is not the surviving corporation (other than a merger or consolidation with a wholly-owned subsidiary, a
reincorporation of the Company in a different jurisdiction, or other transaction in which there is no substantial change in the shareholders of the Company or their relative stock holdings and the Awards granted under this Plan are assumed,
converted or replaced by the successor or acquiring corporation, which assumption, conversion or replacement will be binding on all Participants), (iii) a merger in which the Company is the surviving corporation but after which the shareholders of
the Company immediately prior to such merger (other than any shareholder which merges with the Company in such merger, or which owns or controls another corporation which merges with the Company in such merger) cease to own their shares or other
equity interests in the Company, or (iv) the sale of all or substantially all of the assets of the Company, any or all outstanding Awards may be assumed, converted or replaced by the successor or acquiring corporation (if any), which assumption,
conversion or replacement will be binding on all Participants. In the alternative, the successor or acquiring 

  

 9 

 
corporation may substitute equivalent Awards or provide substantially similar consideration to Participants as was provided to shareholders (after taking
into account the existing provisions of the Awards). The successor or acquiring corporation may also issue, in place of outstanding Shares of the Company held by the Participant, substantially similar shares or other property subject to repurchase
restrictions and other provisions no less favorable to the Participant than those which applied to such outstanding Shares immediately prior to such transaction described in this Section 17.1. In the event such successor or acquiring
corporation (if any) does not assume or substitute Awards, as provided above, pursuant to a transaction described in this Section 17.1, then notwithstanding any other provision in this Plan to the contrary, the vesting of such Awards will accelerate
and the Options will become exercisable in full prior to the consummation of such event at such times and on such conditions as the Committee determines, and if such Options are not exercised prior to the consummation of the corporate transaction,
they shall terminate in accordance with the provisions of this Plan. 
  
 17.2 Other Treatment of Awards. Subject to any greater rights granted to Participants under the foregoing provisions of this Section 17, in the event of the occurrence of any transaction described in Section 17.1 hereof, any
outstanding Awards will be treated as provided in the applicable agreement or plan of merger, consolidation, dissolution, liquidation or sale of assets. 
  
 17.3 Assumption of Awards by the Company. The Company, from time to time, also may substitute or assume outstanding awards granted by another
company, whether in connection with an acquisition of such other company or otherwise, by either (i) granting an Award under this Plan in substitution of such other company’s award or (ii) assuming such award as if it had been granted under
this Plan if the terms of such assumed award could be applied to an Award granted under this Plan. Such substitution or assumption will be permissible if the holder of the substituted or assumed award would have been eligible to be granted an Award
under this Plan if the other company had applied the rules of this Plan to such grant. In the event the Company assumes an award granted by another company, the terms and conditions of such award will remain unchanged (except that the exercise price
and the number and nature of shares issuable upon exercise of any such option will be adjusted appropriately pursuant to Section 424(a) of the Code). In the event the Company elects to grant a new Option rather than assuming an existing option, such
new Option may be granted with a similarly adjusted Exercise Price. 
  
 18. ADOPTION AND SHAREHOLDER APPROVAL. This Plan will become effective on the date that it is adopted by the Board (the “Effective Date”). This Plan will be approved by the shareholders of the Company
(excluding Shares issued pursuant to this Plan), consistent with applicable laws, within twelve (12) months before or after the Effective Date. Upon the Effective Date, the Board may grant Awards pursuant to this Plan; provided, however, that: (i)
no Option may be exercised prior to initial shareholder approval of this Plan; (ii) no Option granted pursuant to an increase in the number of Shares approved by the Board shall be exercised prior to the time such increase has been approved by the
shareholders of the Company; (iii) in the event that initial shareholder approval is not obtained within the time period provided herein, all Awards granted hereunder shall be canceled, any Shares issued pursuant to any Award shall be canceled and
any purchase of Shares issued hereunder shall be rescinded; and (iv) Awards granted pursuant to an increase in the number of Shares approved by the Board which increase is not timely approved by shareholders shall be canceled, any Shares issued
pursuant to any such Awards shall be canceled, and any purchase of Shares subject to any such Award shall be rescinded. 
  

 10 

 19. TERM OF PLAN/GOVERNING LAW. Unless earlier terminated as provided herein, this Plan
will terminate ten (10) years from the Effective Date or, if earlier, the date of shareholder approval. This Plan and all agreements hereunder shall be governed by and construed in accordance with the laws of the State of California. 
  
 20. AMENDMENT OR TERMINATION OF PLAN. Subject to Section 5.9
hereof, the Board may at any time terminate or amend this Plan in any respect, including without limitation amendment of any form of Award Agreement or instrument to be executed pursuant to this Plan; provided, however, that the Board will not,
without the approval of the shareholders of the Company, amend this Plan in any manner that requires such shareholder approval pursuant to Section 25102(o) of the California Corporations Code or the Code or the regulations promulgated thereunder as
such provisions apply to ISO plans. 
  
 21. NONEXCLUSIVITY
OF THE PLAN. Neither the adoption of this Plan by the Board, the submission of this Plan to the shareholders of the Company for approval, nor any provision of this Plan will be construed as creating any limitations on the power of the Board
to adopt such additional compensation arrangements as it may deem desirable, including, without limitation, the granting of stock options and other equity awards otherwise than under this Plan, and such arrangements may be either generally
applicable or applicable only in specific cases. 
  
 22.
DEFINITIONS. As used in this Plan, the following terms will have the following meanings: 
  
 “Award” means any award under this Plan, including any Option or Restricted Stock Award. 
  
 “Award Agreement” means, with respect to each Award,
the signed written agreement between the Company and the Participant setting forth the terms and conditions of the Award, including the Stock Option Agreement and Restricted Stock Agreement. 
  
 “Board” means the Board of Directors of the Company.

  
 “Cause” means Termination because of
(i) any willful, material violation by the Participant of any law or regulation applicable to the business of the Company or a Parent or Subsidiary of the Company, the Participant’s conviction for, or guilty plea to, a felony or a crime
involving moral turpitude, or any willful perpetration by the Participant of a common law fraud, (ii) the Participant’s commission of an act of personal dishonesty which involves personal profit in connection with the Company or any other
entity having a business relationship with the Company, (iii) any material breach by the Participant of any provision of any agreement or understanding between the Company or any Parent or Subsidiary of the Company and the Participant regarding the
terms of the Participant’s service as an employee, officer, director or consultant to the Company or a Parent or Subsidiary of the Company, including without limitation, the willful and continued failure or refusal of the Participant to perform
the material duties required of such Participant as an employee, officer, director or consultant of the Company or a Parent or Subsidiary of the Company, other than as a result of having a Disability, or a breach of any applicable invention
assignment and confidentiality agreement or similar agreement between the Company or a Parent or Subsidiary of the Company and the Participant, (iv) Participant’s disregard of the policies of the Company or any Parent or Subsidiary of the
Company so as to cause loss, damage or injury to the property, reputation or employees of the Company or a Parent or Subsidiary of the Company, or (v) any other misconduct by the Participant which is materially injurious to the financial condition
or business reputation of, or is otherwise materially injurious to, the Company or a Parent or Subsidiary of the Company. 
  

 11 

 “Code” means the Internal Revenue Code of 1986, as amended. 
  
 “Committee” means the committee created and appointed
by the Board to administer this Plan, or if no committee is created and appointed, the Board. 
  
 “Company” means Handspring, Inc. or any successor corporation. 
  
 “Disability” means a disability, whether temporary or permanent, partial or total, as determined by the Committee. 
  
 “Exercise Price” means the price at which a holder of
an Option may purchase the Shares issuable upon exercise of the Option. 
  
 “Fair Market Value” means, as of any date, the value of a share of the Company’s Common Stock determined as follows: 
  

	 	(a)	if such Common Stock is then quoted on the Nasdaq National Market, its closing price on the Nasdaq National Market on the date of determination as reported in The Wall Street
Journal; 

  

	 	(b)	if such Common Stock is publicly traded and is then listed on a national securities exchange, its closing price on the date of determination on the principal national securities
exchange on which the Common Stock is listed or admitted to trading as reported in The Wall Street Journal; 

  

	 	(c)	if such Common Stock is publicly traded but is not quoted on the Nasdaq National Market nor listed or admitted to trading on a national securities exchange, the average of the
closing bid and asked prices on the date of determination as reported by The Wall Street Journal (or, if not so reported, as otherwise reported by any newspaper or other source as the Board may determine); or 

  

	 	(d)	if none of the foregoing is applicable, by the Committee in good faith. 

  
 “Option” means an award of an option to purchase Shares pursuant to Section 5 hereof. 
  
 “Parent” means any corporation (other than the
Company) in an unbroken chain of corporations ending with the Company if each of such corporations other than the Company owns stock representing fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the
other corporations in such chain. 
  
 “Participant” means a person who receives an Award under this Plan. 
  
 “Plan” means this Handspring, Inc. 1998 Equity Incentive Plan, as amended from time to time. 
  
 “Purchase Price” means the price at which a
Participant may purchase Restricted Stock. 
  

 12 

 “Restricted Stock” means Shares purchased pursuant to a Restricted Stock Award.

  
 “Restricted Stock Award” means an
award of Shares pursuant to Section 6 hereof. 
  
 “SEC” means the Securities and Exchange Commission. 
  
 “Securities Act” means the Securities Act of 1933, as amended. 
  
 “Shares” means shares of the Company’s Common Stock reserved for issuance under this Plan, as adjusted pursuant to Sections 2
and 17 hereof, and any successor security. 
  
 “Subsidiary” means any corporation (other than the Company) in an unbroken chain of corporations beginning with the Company if each of the corporations other than the last corporation in the unbroken chain owns stock
representing fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. 
  
 “Termination” or “Terminated” means, for purposes of this Plan with respect to a Participant, that the
Participant has for any reason ceased to provide services as an employee, officer, director or consultant to the Company or a Parent or Subsidiary of the Company. A Participant will not be deemed to have ceased to provide services in the case of (i)
sick leave, (ii) military leave, or (iii) any other leave of absence approved by the Committee, provided that such leave is for a period of not more than ninety (90) days (a) unless reinstatement (or, in the case of an employee with an ISO,
reemployment) upon the expiration of such leave is guaranteed by contract or statute, or (b) unless provided otherwise pursuant to formal policy adopted from time to time by the Company’s Board and issued and promulgated in writing. In the case
of any Participant on (i) sick leave, (ii) military leave or (iii) an approved leave of absence, the Committee may make such provisions respecting suspension of vesting of the Award while on leave from the Company or a Parent or Subsidiary of the
Company as it may deem appropriate, except that in no event may an Option be exercised after the expiration of the term set forth in the Stock Option Agreement. The Committee will have sole discretion to determine whether a Participant has ceased to
provide services and the effective date on which the Participant ceased to provide services (the “Termination Date”). 
  
 “Unvested Shares” means “Unvested Shares” as defined in the Award Agreement. 
  
 “Vested Shares” means “Vested Shares” as
defined in the Award Agreement. 
  

 13

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00057-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00057-of-00352.parquet"}]]