Document:

EX-4.2

                       STOCK INCENTIVE PLAN

                       W-J INTERNATIONAL, LTD.
                        STOCK INCENTIVE PLAN

     1.  GENERAL PROVISIONS.

     1.1  Purpose.

     The W-J International, Ltd. Stock Incentive Plan ("Plan") is
intended to allow designated directors, officers, employees, and certain
non-employees (all of whom are sometimes collectively referred to herein
as "Employees") of W-J International, Ltd., a Nevada corporation ("W-J")
and its Subsidiaries (as that term is defined below) which it may have
from time to time (W-J and such Subsidiaries are referred to herein as
the "Company") to receive certain options ("Stock Options") to purchase
W-J's common stock, one tenth of one cent ($0.001) par value ("Common
Stock"), and to receive grants of Common Stock  subject to certain
restrictions ("Awards").  As used in this Plan, the term "Subsidiary"
shall mean each corporation which is a "subsidiary corporation" of W-J
within the meaning of Section 424(f) of the Internal Revenue Code of
1986, as amended ("Code").  The purpose of this Plan is to provide
Employees with equity-based compensation incentives to make significant
and extraordinary contributions to the long-term performance and growth
of the Company, and to attract and retain Employees of exceptional ability.

     1.2  Administration.

     1.2.1  The Plan shall be administered by the Compensation Committee
("Committee") of, or appointed by, the Board of Directors of W-J
("Board").  The Committee shall select one of its members as Chairman and
shall act by vote of a majority of a quorum, or by unanimous written
consent.  A majority of its members shall constitute a quorum.  The
Committee shall be governed by the provisions of W-J's Bylaws and of
Nevada law applicable to the Board, except as otherwise provided herein
or determined by the Board.

     1.2.2  The Committee shall have full and complete authority, in its
discretion, but subject to the express provisions of the Plan:  to
approve the Employees nominated by the management of the Company to be
granted Awards or Stock Options; to determine the number of Awards or
Stock Options to be granted to an Employee; to determine the time or
times at which Awards or Stock Options shall be granted; to establish the
terms and conditions upon which Awards or Stock Options may be exercised;
to remove or adjust any restrictions and conditions upon Awards or Stock
Options; to specify, at the time of grant, provisions relating to
exercisability of Stock Options and to accelerate or otherwise modify the
exercisability of any Stock Options; and to adopt such rules and regu-
lations and to make all other determinations deemed necessary or
desirable for the administration of the Plan.  All interpretations and
constructions of the Plan by the Committee, and all of its actions
hereunder, shall be binding and conclusive on all persons for all purposes.

     1.2.3  The Company hereby agrees to indemnify and hold harmless each
Committee member and each Employee of the Company, and the estate and
heirs of such Committee member or Employee, against all claims,
liabilities, expenses, penalties, damages or other pecuniary losses,
including legal fees, which such Committee member or Employee, his or her
estate or heirs may suffer as a result of his or her responsibilities,
obligations or duties in connection with the Plan, to the extent that
insurance, if any, does not cover the payment of such items.  No member
of the Committee or the Board shall be liable for any action or
determination made in good faith with respect to the Plan or any Award or
Stock Option granted pursuant to the Plan.

     1.3  Eligibility and Participation.

     Employees eligible under the Plan shall be approved by the Committee
from those Employees who, in the opinion of the management of the
Company, are in positions which enable them to make significant and
extraordinary contributions to the long-term performance and growth of
the Company.  In selecting Employees to whom Stock Options or Awards may
be granted, consideration shall be given to factors such as employment
position, duties and responsibilities, ability, productivity, length of
service, morale, interest in the Company and recommendations of supervisors.

     1.4  Shares Subject to the Plan.

     The maximum number of shares of Common Stock that may be issued
pursuant to the Plan shall be Ten Million (10,000,000) subject to
adjustment pursuant to the provisions of paragraph 4.1.  If shares of
Common Stock awarded or issued under the Plan are reacquired by the
Company due to a forfeiture or for any other reason, such shares shall be
cancelled and thereafter shall again be available for purposes of the
Plan.  If a Stock Option expires, terminates or is cancelled for any
reason without having been exercised in full, the shares of Common Stock
not purchased thereunder shall again be available for purposes of the Plan.

     2.  PROVISIONS RELATING TO STOCK OPTIONS.

     2.1  Grants of Stock Options.

     The Committee may grant Stock Options in such amounts, at such
times, and to such Employees nominated by the management of the Company
as the Committee, in its discretion, may determine.   Stock Options
granted under the Plan shall constitute "Incentive Stock Options" within
the meaning of Section 422 of the Code, if so designated by the Committee
on the date of grant.  The Committee shall also have the discretion to
grant Stock Options which do not constitute incentive stock options, and
any such Stock Options shall be designated non-statutory stock options by
the Committee on the date of grant.  The aggregate fair market value
(determined as of the time an incentive stock option is granted) of the
Common Stock with respect to which incentive stock options are exercis-
able for the first time by any Employee during any one calendar year
(under all plans of the Company and any parent or subsidiary of the
Company) may not exceed the maximum amount permitted under Section 422 of
the Code (currently one hundred thousand dollars ($100,000.00)).  Non-
statutory stock options shall not be subject to the limitations relating
to incentive stock options contained in the preceding sentence.  Each
Stock Option shall be evidenced by a written agreement ("Option
Agreement") in a form approved by the Committee, which shall be executed
on behalf of the Company and by the Employee to whom the Stock Option is
granted, and which shall be subject to the terms and conditions of this
Plan.  In the discretion of the Committee, Stock Options may include
provisions (which need not be uniform), authorized by the Committee in
its discretion, that accelerate an Employee's rights to exercise Stock
Options following a "Change in Control," as such term is defined in
paragraph 3.1 hereof.  The holder of a Stock Option shall not be entitled
to the privileges of stock ownership as to any shares of Common Stock not
actually issued to such holder.

     2.2  Purchase Price.

     The purchase price ("Exercise Price") of shares of Common Stock
subject to each non-statutory Stock Option ("Option Shares") shall be
equal to whatever price is established by the Committee, in its sole
discretion, on the date of the grant.  The Exercise Price of Incentive
Stock Options shall be the fair market value of the options on the date
of the grant thereof.  For an Employee holding stock possessing more than
ten percent (10%) percent of the total combined voting power of all
classes of stock of the Company, the Exercise Price of an incentive
Stock Option shall be at least one hundred ten percent (110%) of the
fair market value of the Common Stock and such option.

     2.3  Option Period.

     The Stock Option period ("Term") shall commence on the date of grant
of the incentive Stock Option and shall be ten (10) years or such shorter
period as is determined by the Committee; the Term for an incentive Stock
Option granted to an Employee holding stock possessing more than ten
percent (10%) of the total combined voting power of all classes of stock
of the Company shall be five (5) years from the date such option is
granted.  The Term for Non-statutory Stock Options shall be whatever
period, if any, is set by the Board.  Each Stock Option shall provide
that it is exercisable over its term in such periodic installments as the
Committee in its sole discretion may determine.  Such provisions need not
be uniform.  Notwithstanding the foregoing, but subject to the provisions
of paragraphs 1.2.2 and 2.1, Stock Options granted to Employees who are
subject to the reporting requirements of Section 16(a) of the Exchange
Act ("Section 16 Reporting Persons") shall not be exercisable until at
least six (6) months and one day from the date the Stock Option is granted.

     2.4  Exercise of Options.

     2.4.1  Each Stock Option may be exercised in whole or in part (but not
as to fractional shares) by delivering it for surrender or endorsement to
the Company, attention of the Corporate Secretary, at the principal
office of the Company, together with payment of the Exercise Price and an
executed Notice and Agreement of Exercise in the form prescribed by
paragraph 2.4.2.  Payment may be made (i) in cash, (ii) by cashier's or
certified check, (iii) by surrender of previously owned shares of the
Company's Common Stock valued pursuant to paragraph 2.2 (if the Committee
authorizes payment in stock in its discretion), (iv) by withholding from
the Option Shares which would otherwise be issuable upon the exercise of
the Stock Option that number of Option Shares equal to the exercise price
of the Stock Option, if such withholding is authorized by the Committee
in its discretion, (v) in the discretion of the Committee, by the
delivery to the Company of the optionee's promissory note secured by the
Option Shares, bearing interest at a rate sufficient to prevent the
imputation of interest under Sections 483 or 1274 of the Code, and having
such other terms and conditions as may be satisfactory to the Committee,
or (vi) cashless exercise program as established by W-J.

     2.4.2  Exercise of each Stock Option is conditioned upon the agreement
of the Employee to the terms and conditions of this Plan and of such
Stock Option as evidenced by the Employee's execution and delivery of a
Notice and Agreement of Exercise in a form to be determined by the
Committee in its discretion.  Such Notice and Agreement of Exercise shall
set forth the agreement of the Employee that:  (a) no Option Shares will
be sold or otherwise distributed in violation of the Securities Act of
1933 ("Securities Act") or any other applicable federal or state
securities laws, (b) each Option Share certificate may be imprinted with
legends reflecting any applicable federal and state securities law
restrictions and conditions, (c) the Company may comply with said
securities law restrictions and issue "stop transfer" instructions to its
Transfer Agent and Registrar without liability, (d) if the Employee is a
Section 16 Reporting Person, the Employee will furnish to the Company a
copy of each Form 4 or Form 5 filed by said Employee and will timely file
all reports required under federal securities laws, and (e) the Employee
will report all sales of Option Shares to the Company in writing on a
form prescribed by the Company.

     2.4.3  No Stock Option shall be exercisable unless and until any
applicable registration or qualification requirements of federal and
state securities laws, and all other legal requirements, have been fully
complied with.  The Company will use reasonable efforts to maintain the
effectiveness of a Registration Statement under the Securities Act for
the issuance of Stock Options and shares acquired thereunder, but there
may be times when no such Registration Statement will be currently
effective.  The exercise of Stock Options may be temporarily suspended
without liability to the Company during times when no such Registration
Statement is currently effective, or during times when, in the reasonable
opinion of the Committee, such suspension is necessary to preclude
violation of any requirements of applicable law or regulatory bodies
having jurisdiction over the Company.  If any Stock Option would expire
for any reason except the end of its term during such a suspension, then
if exercise of such Stock Option is duly tendered before its expiration,
such Stock Option shall be exercisable and exercised (unless the
attempted exercise is withdrawn) as of the first day after the end of
such suspension.  The Company shall have no obligation to file any
Registration Statement covering resales of Option Shares.

     2.5  Restrictions on Transfer.

     Each Stock Option granted under this Plan shall be transferable only
by will or the laws of descent and distribution.  No interest of any
Employee under the Plan shall be subject to attachment, execution,
garnishment, sequestration, the laws of bankruptcy or any other legal or
equitable process.  Each Stock Option granted under this Plan shall be
exercisable during an Employee's lifetime only by such Employee or by
such Employee's legal representative.

     3.  PROVISIONS RELATING TO AWARDS.

     3.1  Grant of Awards.

     Subject to the provisions of the Plan, the Committee shall have full
and complete authority, in its discretion, but subject to the express
provisions of this Plan, to (i) grant Awards pursuant to the Plan, (ii)
determine the number of shares of Common Stock subject to each Award
("Award Shares"), (iii) determine the terms and conditions (which need
not be identical) of each Award, including the consideration (if any) to
be paid by the Employee for such Common Stock, which may, in the
Committee's discretion, consist of the delivery of the Employee's
promissory note meeting the requirements of paragraph 2.4.1, (iv)
establish and modify performance criteria for Awards, and (v) make all of
the determinations necessary or advisable with respect to Awards under
the Plan.  Each award under the Plan shall consist of a grant of shares
of Common Stock subject to a restriction period (after which the
restrictions shall lapse), which shall be a period commencing on the date
the award is granted and ending on such date as the Committee shall
determine (the "Restriction Period").  The Committee may provide for the
lapse of restrictions in installments, for acceleration of the lapse of
restrictions upon the satisfaction of such performance or other criteria
or upon the occurrence of such events as the Committee shall determine.

     3.2  Incentive Agreements.

     Each Award granted under the Plan shall be evidenced by a written
agreement (an "Incentive Agreement") in a form approved by the Committee
and executed by the Company and the Employee to whom the Award is
granted.  Each Incentive Agreement shall be subject to the terms and
conditions of the Plan and other such terms and conditions as the
Committee may specify.

     3.3  Waiver of Restrictions.

     The Committee may modify or amend any Award under the Plan or waive
any restrictions or conditions applicable to such Awards; provided,
however, that the Committee may not undertake any such modifications,
amendments or waivers if the effect thereof materially increases the
benefits to any Employee, or adversely affects the rights of any Employee
without his or her consent.

     3.4  Terms and Conditions of Awards.

     3.4.1  Upon receipt of an Award of shares of Common Stock under the
Plan, even during the Restriction Period, an Employee shall be the holder
of record of the shares and shall have all the rights of a shareholder
with respect to such shares, subject to the terms and conditions of the
Plan and the Award.

     3.4.2  Except as otherwise provided in this paragraph 3.4, no shares
of Common Stock received pursuant to the Plan shall be sold, exchanged,
transferred, pledged, hypothecated or otherwise disposed of during the
Restriction Period applicable to such shares.  Any purported disposition
of such Common Stock in violation of this paragraph 3.4.2 shall be null
and void.

     3.4.3  The Committee may require under such terms and conditions as it
deems appropriate or desirable that (i) the certificates for Common Stock
delivered under the Plan are to be held in custody by the Company or a
person or institution designated by the Company until the Restriction
Period expires, (ii) such certificates shall bear a legend referring to
the restrictions on the Common Stock pursuant to the Plan, and (iii) the
Employee shall have delivered to the Company a stock power endorsed in
blank relating to the Common Stock.

     4.  MISCELLANEOUS PROVISIONS.

     4.1  Adjustments Upon Change in Capitalization.

     4.1.1  The number and class of shares subject to each outstanding
Stock Option, the Exercise Price thereof (but not the total price), the
maximum number of Stock Options that may be granted under the Plan, the
minimum number of shares as to which a Stock Option may be exercised at
any one time, and the number and class of shares subject to each
outstanding Award, shall be proportionately adjusted in the event of any
increase or decrease in the number of the issued shares of Common Stock
which results from a split-up or consolidation of shares, payment of a
stock dividend or dividends exceeding a total of five percent (5%) for
which the record dates occur in any one fiscal year, a recapitalization
(other than the conversion of convertible securities according to their
terms), a combination of shares or other like capital adjustment, so that
(i) upon exercise of the Stock Option, the Employee shall receive the
number and class of shares such Employee would have received had such
Employee been the holder of the number of shares of Common Stock for
which the Stock Option is being exercised upon the date of such change or
increase or decrease in the number of issued shares of the Company, and
(ii) upon the lapse of restrictions of the Award Shares, the Employee
shall receive the number and class of shares such Employee would have
received if the restrictions on the Award Shares had lapsed on the date
of such change or increase or decrease in the number of issued shares of
the Company.

     4.1.2  Upon a reorganization, merger or consolidation of the Company
with one or more corporations as a result of which  is not the surviving
corporation or in which W-J survives as a wholly-owned subsidiary of
another corporation, or upon a sale of all or substantially all of the
property of the Company to another corporation, or any dividend or
distribution to shareholders of more than ten percent (10%) of the
Company's assets, adequate adjustment or other provisions shall be made
by the Company or other party to such transaction so that there shall
remain and/or be substituted for the Option Shares and Award Shares
provided for herein, the shares, securities or assets which would have
been issuable or payable in respect of or in exchange for such Option
Shares and Award Shares then remaining, as if the Employee had been the
owner of such shares as of the applicable date.  Any securities so
substituted shall be subject to similar successive adjustments.

     4.2  Withholding Taxes.

     The Company shall have the right at the time of exercise of any
Stock Option, the grant of an Award, or the lapse of restrictions on
Award Shares, to make adequate provision for any federal, state, local or
foreign taxes which it believes are or may be required by law to be
withheld with respect to such exercise ("Tax Liability"), to ensure the
payment of any such Tax Liability.  The Company may provide for the
payment of any Tax Liability by any of the following means or a
combination of such means, as determined by the Committee in its sole and
absolute discretion in the particular case:  (i) by requiring the
Employee to tender a cash payment to the Company, (ii) by withholding
from the Employee's salary, (iii) by withholding from the Option Shares
which would otherwise be issuable upon exercise of the Stock Option, or
from the Award Shares on their grant or date of lapse of restrictions,
that number of Option Shares or Award Shares having an aggregate fair
market value (determined in the manner prescribed by paragraph 2.2) as of
the date the withholding tax obligation arises in an amount which is
equal to the Employee's Tax Liability or (iv) by any other method deemed
appropriate by the Committee.  Satisfaction of the Tax Liability of a
Section 16 Reporting Person may be made by the method of payment
specified in clause (iii) above only if the following two conditions are
satisfied:

     (a)  the withholding of Option Shares or Award Shares and the
exercise of the related Stock Option occur at least six (6) months and
one day following the date of grant of such Stock Option or Award; and

     (b)  the withholding of Option Shares or Award Shares is made either
(i) pursuant to an irrevocable election ("Withholding Election") made by
such Employee at least six months in advance of the withholding of
Options Shares or Award Shares, or (ii) on a day within a ten (10) day
"window period" beginning on the third business day following the date of
release of the Company's quarterly or annual summary statement of sales
and earnings.

Anything herein to the contrary notwithstanding, a Withholding Election
may be disapproved by the Committee at any time.

     4.3  Relationship to Other Employee Benefit Plans.

     Stock Options and Awards granted hereunder shall not be deemed to be
salary or other compensation to any Employee for purposes of any pension,
thrift, profit-sharing, stock purchase or any other employee benefit plan
now maintained or hereafter adopted by the Company.

     4.4  Amendments and Termination.

     The Board of Directors may at any time suspend, amend or terminate
this Plan.  For incentive stock options only, no amendment or
modification of this Plan may be adopted, except subject to stockholder
approval, which would: (a) materially increase the benefits accruing to
Employees under this Plan, (b) materially increase the number of
securities which may be issued under this Plan (except for adjustments
pursuant to paragraph 4.1 hereof), or (c) materially modify the
requirements as to eligibility for participation in the Plan.

     4.5  Successors in Interest.

     The provisions of this Plan and the actions of the Committee shall
be binding upon all heirs, successors and assigns of the Company and of
Employees.

     4.6  Other Documents.

     All documents prepared, executed or delivered in connection with
this Plan (including, without limitation, Option Agreements and Incentive
Agreements) shall be, in substance and form, as established and modified
by the Committee; provided, however, that all such documents shall be
subject in every respect to the provisions of this Plan, and in the event
of any conflict between the terms of any such document and this Plan, the
provisions of this Plan shall prevail.

     4.7  No Obligation to Continue Employment.

     This Plan and grants hereunder shall not impose any obligation on
the Company to continue to employ any Employee.  Moreover, no provision
of this Plan or any document executed or delivered pursuant to this Plan
shall be deemed modified in any way by any employment contract between an
Employee (or other employee) and the Company.

     4.8  Misconduct of an Employee.

     Notwithstanding any other provision of this Plan, if an Employee
commits fraud or dishonesty toward the Company or wrongfully uses or
discloses any trade secret, confidential data or other information
proprietary to the Company, or intentionally takes any other action
materially inimical to the best interests of the Company, as determined
by the Committee, in its sole and absolute discretion, such Employee
shall forfeit all rights and benefits under this Plan.

     4.9  Term of Plan.

     This Plan was adopted by the Board effective August 23, 2004.   No
Stock Options or Awards may be granted under this Plan after August 23, 2014.

     4.10  Governing Law.

     This Plan shall be construed in accordance with, and governed by,
the laws of the State of Nevada.

     4.11  Shareholder Approval.

     No Stock Option shall be exercisable, or Award granted, unless and
until the Directors of the Company have approved this Plan and all other
legal requirements have been fully complied with.  In addition, no
incentive Stock Option shall be granted until approved by a majority of
the issued and outstanding Common Stock of W-J.

     4.12  Assumption Agreements.

     The Company will require each successor, (direct or indirect,
whether by purchase, merger, consolidation or otherwise), to all or
substantially all of the business or assets of the Company, prior to the
consummation of each such transaction, to assume and agree to perform the
terms and provisions remaining to be performed by the Company under each
Incentive Agreement and Stock Option and to preserve the benefits to the
Employees thereunder.  Such assumption and agreement shall be set forth
in a written agreement in form and substance satisfactory to the
Committee (an "Assumption Agreement"), and shall include such
adjustments, if any, in the application of the provisions of the
Incentive Agreements and Stock Options and such additional provisions, if
any, as the Committee shall require and approve, in order to preserve
such benefits to the Employees.  Without limiting the generality of the
foregoing, the Committee may require an Assumption Agreement to include
satisfactory undertakings by a successor:

     (a)  to provide liquidity to the Employees at the end of the
Restriction Period applicable to Common Stock awarded to them under the
Plan, or on the exercise of Stock Options;

     (b)  if the succession occurs before the expiration of any period
specified in the Incentive Agreements for satisfaction of performance
criteria applicable to the Common Stock awarded thereunder, to refrain
from interfering with the Company's ability to satisfy such performance
criteria or to agree to modify such performance criteria and/or waive any
criteria that cannot be satisfied as a result of the succession;

     (c)  to require any future successor to enter into an Assumption
Agreement; and

     (d)  to take or refrain from taking such other actions as the
Committee may require and approve, in its discretion.

The Committee referred to in this paragraph 4.12 is the Committee
appointed by a Board of Directors in office prior to the succession then
under consideration.

     4.13  Compliance With Rule 16b-3.

     Transactions under the Plan are intended to comply with all
applicable conditions of Rule 16b-3.  To the extent that any provision of
the Plan or action by the Committee fails to so comply, it shall be
deemed null and void, to the extent permitted by law and deemed advisable
by the Committee.

     IN WITNESS WHEREOF, this Plan has been executed as of the 23rd day
of August, 2004.

                                       W-J International, Ltd.

                                       By: /s/  Edward H. Webb
                                       Edward H. Webb, PresidentEXHIBIT 10.13

 

BOSTON RESTAURANT ASSOCIATES, INC.

 

NONQUALIFIED STOCK OPTION AGREEMENT

 

Nonqualified Stock Option Agreement (the “Option”) between, Boston
Restaurant Associates, Inc. (the “Corporation”), and
                                        
(the “Recipient”), a Director of the Corporation, pursuant to the Corporation’s
2002 Combination Stock Option and Share Award Plan, as it may be amended from
time to time (the “2002 Plan”).

 

W I T N E S S E T H:

 

WHEREAS, the Corporation desires to grant to the Recipient an option to
purchase shares of the Common Stock, $.01 par value, of the Corporation (the
“Stock”), and

 

NOW, THEREFORE, for good
and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, the Corporation and the Recipient agrees as follows:

 

1.                                       Grant
of Option.  Between Boston Restaurant
Associates, Inc.

 

Pursuant to the terms and conditions of the 2002 Plan and this Option,
the Corporation hereby grants to the Recipient an Option to Purchase, as
provided in Section 3 hereof, all or any part of the total of shares of
Stock (the “Option Shares”).

 

	
  Option No.

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  No. of Shares

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Exercise Price

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Date Issued

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Date Expires

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Vesting

  	
   

  	
                        

  

 

2.                                       Purchase
Price.

 

The price at which the Option Shares may be purchased shall be
$           per share (the
“Option Exercise Price”).  This price is
not less than the Fair Market Value of the Stock on the date of this
Option.  Fair Market Value means the
absolute average of the high and low trade on the date of istribute.

 

 

3.                                       Exercise
of Option.

 

Subject to the provisions of Section 4 and the right of the
Corporation to accelerate the date upon which any or all of this Option becomes
exercisable, the Recipient shall be entitled to exercise this Option with
respect to all of the Option Shares at any time commencing six months after the
date of this Option.  Notwithstanding any
provision of this Option to the contrary, in no event may this Option be
exercised after said term in Section 1, 10 years from the date of this
Option (the “Expiration Date”).

 

4.                                       Termination
of Relationship.

 

If the Recipient’s relationship with the Corporation is terminated, as
determined by the Corporation, then this Option may be exercised as to all
shares with respect to which Recipient could exercise this Option on the date
of termination of the relationship, and which shares have not been previously
purchased, until the earlier of Expiration Date, or:

 

(i)                                     in
the case of termination by reason of death or permanent disability, one year
after termination of the relationship, or

 

(ii)                                  in
the case of any other termination, other than termination for cause, thirty
(30) days after the termination of the relationship.

 

5.                                       Nontransferability;
Persons Able to Exercise.

 

The Option may not be transferred other than by will or the laws of
descent and distribution.  During the
life of the Recipient, only the Recipient may exercise this Option.  If the Recipient dies while still affiliated
with the Corporation, or during the periods specified in   Section 4, this Option may be exercised
by his executors, administrators, legatees or istributes, provided that such
person or persons comply with the provisions of this Option applicable to the
Recipient.

 

6.                                       Method
of Exercising Option.

 

The Option may be exercised, in whole or in part, by written notice to
the Corporation, containing an executed Notice of Exercise in the form of
Attachment A, provided that the Corporation, in its discretion, may modify or
augment these requirements as provided in Section 9 of this Option, or
where appropriate because a person other than the Recipient is exercising the
Option pursuant to Section 5.  The
written notice specified in this Section must be accompanied by payment of
the Option Exercise Price for the shares being purchased.  Payment shall be made in cash, unless the
Corporation, in its sole discretion, authorizes payment to be made in shares of
the Corporation or a combination of such shares and cash.  As soon as practical after receipt of this
notice and payment, the Corporation shall deliver a certificate or certificates
representing the purchased shares registered in the name of the person or
persons exercising this Option.  In the
event this Option is exercised by any person other than the Recipient, the
notice shall be accompanied by appropriate proof of the right of such person to
exercise this Option.  All shares

 

 

purchased upon the exercise of this Option and payment of the full
Option Exercise Price will be fully paid and nonassessable.

 

7.                                       Stock
Adjustments.

 

If there shall be any change in the Stock through merger,
consolidation, reorganization, recapitalization, or other change in the
corporate structure of the Corporation, appropriate adjustments in the total
number and kind of shares subject to this Option shall be made by the
Corporation as provided in the 2002 Plan.

 

8.                                       No
Rights Other Than Those Expressly Created.

 

Neither this Option nor any action taken hereunder shall be construed
as (i) giving the Recipient any right to be retained in the employ of, or
continue to be affiliated with, the Corporation, (ii) giving the Recipient
any equity or interest of any kind in any assets of the Corporation, or
(iii) creating a trust of any kind or a fiduciary relationship of any kind
between the Recipient and the Corporation. 
As to any claim for any unpaid amounts under this Option, any person
having a claim for payments shall be an unsecured creditor.  The Recipient shall not have any of the
rights of a stockholder with respect to any Option Shares until such time as
this Option has been exercised and Option Shares have been issued.

 

9.                                       Compliance
with Laws.

 

(a)                                  Withholding
of Taxes.  Pursuant to applicable
federal, state, local or foreign laws, the Corporation may be required to
collect or withhold income or other taxes from Recipient upon the grant of this
Option, the exercise of this Option, or at some other time.  The Corporation may require, as a condition
to the exercise of this Option, or demand at such other time as it may consider
appropriate, that the Recipient pay the Corporation the amount of any taxes
which the Corporation may determine is required to be collected or withheld,
and the Recipient shall comply with the requirement or demand of the
Corporation.

 

(b)                                 Securities
Law Compliance.  Upon exercise (or
partial exercise) of this Option, the Recipient shall make such representations
and furnish such information as may, in the opinion of counsel for the
Corporation, be appropriate to permit the Corporation to issue or transfer the
Option Shares in compliance with the provisions of applicable federal or state
securities laws.  The Corporation, in its
discretion, may postpone the issuance and delivery of Option Shares upon any
exercise of this Option until completion of such registration or other
qualification of such shares under any federal or state laws or stock exchange
listing, as the Corporation may consider appropriate.  The Corporation may require that prior to the
issuance or transfer of Option Shares upon exercise of this Option, the
Recipient enter into a written agreement to comply with any restrictions on
subsequent disposition that the Corporation deems necessary or advisable under
any applicable federal and state securities laws.  Certificates of Stock issued hereunder may be
legended to reflect such restrictions.

 

 

I                                            General.  No Option Shares shall be issued upon
exercise of this Option unless and until the Corporation is satisfied, in its
sole discretion, that there has been compliance with all legal requirements
applicable to the issuance of such Option Shares.

 

10.                                 Miscellaneous.

 

(a)                                  Provisions
of the Plan.  The Option hereby
granted is expressly subject to all of the terms and conditions contained in
this Option and in the 2002 Plan, and the 2002 Plan is hereby incorporated
herein by reference.  All capitalized
terms not defined in this Option have the meanings specified in the 2002
Plan.  This stock option is not intended
to be an Incentive Stock Option, as that term is described in Section 422
of the Internal Revenue Code of 1986, as amended.

 

(b)                                 Discretion
of the Board.  Unless otherwise
explicitly provided, the Board, or any Committee of the Board that has been
delegated the authority to do so, shall make all determinations required to be
made hereunder, including determinations required to be made by the
Corporation, and shall interpret all provisions of this Option, as it deems
necessary or desirable, in its sole and unfettered discretion.  Such determinations and interpretations shall
be binding and conclusive to the Corporation and the Recipient.

 

I                                            Amendment.  This Option may only be modified or amended
by a writing signed by both parties.

 

(d)                                 Notices.  Any notices required to be given under this
Option shall be sufficient if in writing and if hand-delivered or if sent by
first class mail and addressed as follows:

 

if to the Corporation:

 

Boston Restaurant Associates, Inc.

Stonehill Corporate Center

999 Broadway – Suite 400

Saugus, MA 01906

 

if to the Recipient:

 

 

or to such other address as either party may designate under the
provisions hereof.

 

(e)                                  Successors
and Assigns.  The rights and
obligations of the Corporation under this Option shall inure to the benefit of
and be binding upon the successors and assigns of the Corporation.

 

 

(f)                                    Applicable
Law.  All rights and obligations
under this Option shall be governed by the laws of the Commonwealth of
Massachusetts.

 

(g)                                 Paragraph
Headings.  The paragraph headings
used in this Option are for convenience of reference only, and are not to be
construed as part of this Option.

 

IN WITNESS WHEREOF, the parties have executed this Option as an
instrument under seal effective as of the date written on the first page of
this Option.

 

	
   

  	
  BOSTON RESTAURANT ASSOCIATES, INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  George R. Chapdelaine

  
	
   

  	
   

  	
  President

  
	
   

  	
   

  
	
   

  	
  RECIPIENT:

  
	
   

  	
   

  
	
   

  	
   

  	
   

  

 

 

ATTACHMENT A

 

NOTICE OF EXERCISE

 

Boston Restaurant Associates, Inc.

Stonehill Corporate Center

999 Broadway – Suite 400

Saugus, MA 01906

 

Attention: 
Treasurer

 

Ladies & Gentlemen:

 

Pursuant to our Nonqualified Stock Option Agreement dated as of
           ,
            , I
hereby elect to exercise this Option to the extent indicated:

 

 

	
   

  	
  Number of Shares

  	
   

  	
   

  	
   

  	
  Per Share

  	
   

  	
   

  	
   

  	
  Total Price

  
	
   

  	
  Which I Elect to

  	
   

  	
  x

  	
   

  	
  Price

  	
   

  	
  =

  	
   

  	
   

  
	
   

  	
  Purchase

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

Enclosed with this letter is full payment of the total price of the
shares described above in the following form:

 

(1)                                  a check in the amount of
$              
payable to the order of the Corporation; and/or

 

(2)                                  shares of Stock of the Corporation
properly endorsed and having a fair market value equal to
$                .

 

Kindly issue a certificate or certificates to me representing the
shares which I am acquiring by this exercise, and deliver it to the address
provided above.

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  	
   

  

 

 

BOSTON RESTAURANT ASSOCIATES,
INC.

 

INCENTIVE STOCK OPTION AGREEMENT

 

Incentive Stock Option Agreement (the “Option”) between Boston
Restaurant Associates, Inc. (the “Corporation”), and
                  ,
(the “Recipient”), an employee of the Corporation, a parent or a subsidiary of
the Corporation (“Parent” and “Subsidiary,” respectively), pursuant to the
Corporation’s 2002 Combination Stock Option and Share Award Plan, as it may be
amended from time to time (the “ 2002 Plan”).

 

W I T N E S S E T H:

 

WHEREAS, the Corporation adopted the 2002 Plan which
provides, for the issuance of stock options including stock options intended to
qualify as “incentive stock options”, as defined in Section 422 of the
Internal Revenue Code of 1986, as amended (The “CODE”); and

 

WHEREAS, the Corporation and the Recipient desire to
enter into an agreement whereby the Corporation will grant the Recipient an
option to purchase shares of the Common Stock, $.01 par value, of the
Corporation (the “Stock”), and this Option is intended to qualify as an
incentive stock option;

 

AND THEREFORE, for good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the Corporation and
the Recipient agree as follows:

 

1.                                       Grant of Option.

 

Pursuant to the terms and
conditions of the 2002 Plan and this Option, the Corporation hereby grants to
the Recipient an Option to purchase, as provided in Section 3 hereof, all
or any part of a total
of              shares
of Stock (the “Option Shares”).

 

	
  Name

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Option No.

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  No. of Shares

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Exercise Price

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Date Issued

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Date Expires

  	
   

  	
                        

  
	
   

  	
   

  	
   

  
	
  Vesting

  	
   

  	
                        

  

 

 

2.                                       Purchase Price.

 

The price at which the Option
Shares may be purchased shall be per Share (the “Option Exercise Price”).  This price is not less than the Fair Market
Value of the Stock on the date of this Option. 
Fair Market Value means the absolute average of the high and low trade
on the date of evaluation.

 

3.                                       Exercise of Option.

 

Subject to the provisions of Section 4
and the right of the Corporation to accelerate the date upon which any or all
of this Option becomes exercisable, the Recipient shall be entitled to exercise
this Option with respect to the percentage of the Option Shares provided as
follows:

 

	
  Years
  Elapsed from

  DATE OF ISSUE

  	
   

  	
  Percentage of Total Option

  Shares Purchasable

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  1 or more, but not more than 5

  	
   

  	
  20

  	
  %

  
	
  2 or more, but not more than 5

  	
   

  	
  40

  	
  %

  
	
  3 or more, but not more than 5

  	
   

  	
  60

  	
  %

  
	
  4 or more, but not more than 5

  	
   

  	
  80

  	
  %

  
	
  5 years

  	
   

  	
  100

  	
  %

  

 

4.                                       Termination of Employment.

 

If the Recipient ceases to be employed by the
Corporation, a Parent, or a Subsidiary (a “Termination”), then this Option may
be exercised as to all shares with respect to which Recipient could exercise
this Option on the date of Termination, and which shares have not been previously
purchased, until the earlier of the Expiration Date, or:

 

(i)                                     in the case of Termination by reason of
death or Permanent and Total Disability, one (1) year after termination of
employment and;

 

(ii)                                  in the case of any other Termination, other
than termination for cause, three (3) months after the termination of
employment.

 

Notwithstanding the foregoing, in the case of
Termination for cause, the ability to exercise this Option may be terminated on
such earlier date as the Corporation may specify, and such date may be set so
as to prevent the Recipient from further exercising any portion of this Option.

 

5.                                       Nontransferability, Persons Able to
Exercise.

 

The Option may not be transferred other than
by will or the laws of descent and distribution.  During the life of the Recipient, only the
Recipient may exercise this Option.  If
the Recipient dies while still employed by the Corporation, or the periods
specified in Section 4, this Option may be exercised by his executors,
administrators, legatees or distributees, provided that such person or persons
comply with the provisions of this Option applicable to the Recipient.

 

 

6.                                       Method of Exercising Option.

 

The Option may be exercised, in whole or in part, by written notice to
the Corporation, containing an executed Notice of Exercise in the form of
Attachment A, provided that the Corporation, in its discretion, may modify or
augment these requirements as provided in Section 9 of this Option, or
where appropriate because a person other than the Recipient is exercising the
Option pursuant to Section 5. The written notice specified in this
Section must be accompanied by payment of the Option Exercise Price for
the shares being purchased.  Payment
shall be made in cash, unless the Corporation, in its sole discretion,
authorizes payment to be made in shares of the Corporation or a combination of
such shares and cash.  As soon as
practical after receipt of this notice and payment, the Corporation shall
deliver a certificate or certificates representing the purchased shares
registered in the name of the person or persons exercising this Option.  In the event this Option is exercised by any
person other than the Recipient, the notice shall be accompanied by appropriate
proof of the right of such person to exercise this Option.  All shares purchased upon the exercise of
this Option and payment of the full Option Exercise Price will be fully paid
and nonassessable.

 

7.                                       Stock Adjustments.

 

If there shall be any change in the Stock
through merger, consolidation, reorganization, recapitalization, or other
change in the corporate structure of the Corporation, appropriate adjustments
in the total number and kind of shares subject to this Option, consistent with
the requirements of the Code to insure that this Option will qualify as an
Incentive Stock Option, shall be made by the Corporation as provided in the
2002 Plan.  Such adjustments may include
the elimination of any fractional shares that might otherwise be subject to
this Option.

 

8.                                       No Rights Other Than Those Expressly Created.

 

Neither this Option nor any
action taken hereunder shall be construed as

 

(i)                                     giving the Recipient any right to be
retained in the employ of, or continue to be affiliated with, the Corporation,

(ii)                                  giving the Recipient any equity or interest
of any kind in any assets of the Corporation, or

(iii)                               Creating a trust of any kind or a fiduciary
relationship of any kind between the Recipient and the Corporation.  As to any claim for any unpaid amounts under
this Option, any person having a claim for payments shall be an unsecured
creditor.  The Recipient shall not have
any of the rights of a stockholder with respect to any Option Shares until such
time as this Option has been exercised and Option Shares have been issued.

 

9.                                       Compliance with Laws.

 

(a)                                  Withholding of Taxes. 
Pursuant to applicable federal, state, local or foreign laws, the
Corporation may be required to collect or withhold income or other taxes from
Recipient upon the grant of this Option, the exercise of this Option, or at
some other time.  The Corporation may
require, as a condition to the exercise of this Option, or demand, at such
other time as it may consider appropriate, that the Recipient pay the
Corporation the amount of any taxes

 

 

which the Corporation may determine is
required to be collected or withheld, and the Recipient shall comply with the
requirement or demand of the Corporation.

 

(b)                                 Securities Law Compliance. 
Upon exercise (or partial exercise) of this Option, the Recipient shall
make such representations and furnish such information as may, in the opinion
of counsel for the Corporation, be appropriate to permit the Corporation to
issue or transfer the Option Shares in compliance with the provisions of
applicable federal or state securities laws. 
The Corporation, in its discretion, may postpone the issuance and
delivery of Option Shares upon any exercise of this Option until completion of
such registration or other qualification of such shares under any federal or
state laws, or stock exchange listing, as the Corporation may consider
appropriate.  The Corporation may require
that, prior to the issuance or transfer of Option Shares upon exercise of this
Option, the Recipient enter into a written agreement to comply with any
restrictions on subsequent disposition that the Corporation deems necessary or
advisable under any applicable federal and state securities laws. Certificates
of Stock issued hereunder may bear a legend reflecting such restrictions.

 

(c)                                  General.  No Option Shares shall be issued
upon exercise of this Option unless and until the Corporation is satisfied, in
its sole discretion, that there has been compliance with all legal requirements
applicable to the issuance of such Option Shares.

 

10.                                 Miscellaneous.

 

(a)                                  Provisions of the Plan.  This
Option is expressly subject to all of the terms and conditions contained in
this Option and in the 2002 Plan, except those terms and conditions which are
expressly applicable only to options which are not “2002 Plan ISOS”, and the
2002 Plan is hereby incorporated herein by reference.  All capitalized terms not defined in this
Option have the meanings specified in the 2002 Plan.

 

(b)                                 Discretion of the Committee.  Unless otherwise explicitly provided herein,
the Committee, as defined in the Plan, shall make all determinations required
to be made hereunder, including determinations required to be made by the
Corporation, and shall interpret all provisions of this Option, as it deems
necessary or desirable, in its sole and unfettered discretion.  Such determinations and interpretations shall
be binding and conclusive to the Corporation and the Recipient.  The Committee, in its sole discretion, is
authorized (i) to convert the unexercised portion of this Option to an option
which is not an incentive stock option by written notice to the Recipient, and
(ii) to accelerate the time at which this Option may be exercised.

 

(c)                                  $100,000 Limitation.  As
provided in Section IV(d) of the Plan, if the aggregate Fair Market Value
of Common Stock with respect to which Corporation ISOs (determined without
regard to Section IV(d) of the Plan) are exercisable for the first time by
the Recipient during any calendar year exceeds $100,000, a portion of such
Corporation ISOs (which may include this Option) shall be treated as options
which are not Incentive Stock Options. 
For purposes of this limitation,

 

 

(i) options shall be taken into account in
the order granted, and (ii) the Committee may designate that portion of any
Corporation ISO (including this Option) that shall be treated as not an Incentive
Stock Option if the provisions of this paragraph apply to a portion of any
option, unless another treatment is required by the Code or regulations of the
Internal Revenue Service.  The foregoing
designation may be made at such time as the Committee considers appropriate,
including after the issuance of this Option or at the time of its
exercise.  For the purpose of this
section, Fair Market Value shall be determined as of the time the Option with
respect to such stock is granted.

 

(d)                                 Reservation of Shares. 
During the term of this Option, the Corporation shall at all times
reserve and keep available shares of Stock sufficient to satisfy the
requirements of this Option.

 

(e)                                  Amendment.  This Option may only be
modified or amended by a writing signed by both parties.

 

(f)                                    Notices.  Any notices required to be given
under this Option shall be sufficient if in writing and if hand-delivered or if
sent by first class mail and addressed as follows:

 

If to the Corporation:

 

Boston Restaurant Associates, Inc.

999 Broadway, Suite 400

Saugus, MA 01906

Attn: President

 

If to the Recipient:

 

c/o Boston Restaurant Associates, Inc.

999 Broadway, Suite 400

Saugus, MA 01906

 

or to such other address as either party may
designate under the provisions hereof

 

(g)                                 Successors and Assigns.  The
rights and obligations of the Corporation under this Option shall inure to the
benefit of and be binding upon the successors and assigns of the Corporation.

 

(h)                                 Applicable Law.  All
rights and obligations under this Option shall be governed by the laws of the
State of Delaware.

 

(i)                                     Paragraph Headings.  The
paragraph headings used in this Option are for convenience or reference, and
are not to be construed as part of this Option.

 

 

IN WITNESS WHEREOF, the parties have executed this Option as an
instrument under seal effective as of the date written on the first page of
this Option.

 

 

	
   

  	
  BOSTON RESTAURANT ASSOCIATES,
  INC.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  George R. Chapdelaine

  
	
   

  	
   

  	
  President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  RECIPIENT:

  
	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  

 

 

ATTACHMENT A

 

NOTICE OF EXERCISE

 

Boston Restaurant Associates, Inc.

Stonehill
Corporate Center

999 Broadway - Suite 400

Saugus, MA 01906

Attention:  Treasurer

 

Ladies & Gentlemen:

 

Pursuant to our Incentive Stock Option
Agreement dated as
of             ,
I hereby elect to exercise this Option to the extent indicated:

 

	
  Number of 

  	
   

  	
   

  	
   

  	
  Per Share

  	
   

  	
   

  	
   

  	
  Total Price

  
	
  Shares

  	
   

  	
  X

  	
   

  	
  Price

  	
   

  	
  =

  	
   

  	
   

  
	
  Which I Elect to

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Purchase

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
    X

  	
   

  	
  $

  	
   

  	
   

  	
    =

  	
   

  	
  $

  	
   

  
											

 

Enclosed with this letter is full payment of
the total price of the shares described above in the following form:

 

(1)                                  a check in the amount of
$              payable
to the order of the Corporation; and/or [if authorized by the Corporation]

 

(2)                                  shares of Stock of the Corporation properly
endorsed and having a fair market value equal to
$              .

 

Kindly issue a certificate or
certificates to me representing the shares which I am acquiring by this
exercise, and deliver it to the address provided above.

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Recipient)

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00071-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00071-of-00352.parquet"}]]