Document:

<PAGE>
                                                                    EXHIBIT 10.2

                              MASTER REVOLVING NOTE
                  VARIABLE RATE-MATURITY DATE-OPTIONAL ADVANCES
                      (BUSINESS AND COMMERCIAL LOANS ONLY)

<TABLE>
<CAPTION>
================================================================================
AMOUNT           NOTE DATE        MATURITY DATE      TAX IDENTIFICATION NUMBER
<C>              <C>              <C>                <C>
$4,000,000.00    July 31, 2001    July 31, 2002      38-2995259
--------------------------------------------------------------------------------
</TABLE>

ON THE MATURITY DATE, as stated above, for value received, the undersigned
promise(s) to pay to the order of Comerica Bank ("Bank"), at any office of the
Bank in the State of Michigan, **FOUR MILLION and 00/100** Dollars (U.S.) (or
that portion of it advanced by the Bank and not repaid as later provided) with
interest until maturity, whether by acceleration or otherwise, or until Default,
as later defined, at a per annum rate equal to the Bank's prime rate from time
to time in effect less .5% per annum, and after that at a rate equal to the rate
of interest otherwise prevailing under this Note plus three percent (3%) per
annum (but in no event in excess of the maximum rate permitted by law). The
Bank's "prime rate" is that annual rate of interest so designated by the Bank
and which is changed by the Bank from time to time. Interest rate changes will
be effective for interest computation purposes as and when the Bank's prime rate
changes. Interest shall be calculated on the basis of a 360-day year for actual
number of days the principal is outstanding. Accrued interest on this Note shall
be payable on the first day of each month commencing August 1, 2001, until the
Maturity Date (set forth above) when all amounts outstanding under this Note
shall be due and payable in full. If the frequency of interest payments is not
otherwise specified, accrued interest on this Note shall be payable monthly on
the first day of each month. If any payment of principal or interest under this
Note shall be payable on a day other than a day on which the Bank is open for
business, this payment shall be extended to the next succeeding business day and
interest shall be payable at the rate specified in this Note during this
extension. A late payment charge equal to five percent (5%) of each late payment
may be charged on any payment not received by the Bank within ten (10) calendar
days after the payment due date, but acceptance of payment of this charge shall
not waive any Default under this Note.

The principal amount payable under this Note shall be the sum of all advances
made by the Bank to or at the request of the undersigned, less principal
payments actually received in cash by the Bank. The books and records of the
Bank shall be the best evidence of the principal amount and the unpaid interest
amount owing at any time under this Note and shall be conclusive absent manifest
error. No interest shall accrue under this Note until the date of the first
advance made by the Bank; after that interest on all advances shall accrue and
be computed on the principal

                                       1

<PAGE>
balance outstanding from time to time under this Note until the same is paid in
full. At no time shall the Bank be under any obligation to make any advances to
the undersigned pursuant to this Note (notwithstanding anything expressed or
implied in this Note or elsewhere to the contrary, including without limit if
the Bank supplies the undersigned with a borrowing formula) and the Bank, at any
time and from time to time, without notice, and in its sole discretion, may
refuse to make advances to the undersigned without incurring any liability due
to this refusal and without affecting the undersigned's liability under this
Note for any and all amounts advanced.

This Note and any other indebtedness and liabilities of any kind of the
undersigned (or any of them) to the Bank, and any and all modifications,
renewals or extensions of it, whether joint or several, contingent or absolute,
now existing or later arising, and however evidenced (collectively
"Indebtedness"), are secured by and the Bank is granted a security interest in
all items deposited in any account of any of the undersigned with the Bank and
by all proceeds of these items (cash or otherwise), all account balances of any
of the undersigned from time to time with the Bank, by all property of any of
the undersigned from time to time in the possession of the Bank and by any other
collateral, rights and properties described in each and every deed of trust,
mortgage, security agreement, pledge, assignment and other security or
collateral agreement which has been, or will at any time(s) later be, executed
by any (or all) of the undersigned to or for the benefit of the Bank
(collectively "Collateral"). Notwithstanding the above, (i) to the extent that
any portion of the Indebtedness is a consumer loan, that portion shall not be
secured by any deed of trust, mortgage on or other security interest in any of
the undersigned's principal dwelling or in any of the undersigned's real
property which is not a purchase money security interest as to that portion,
unless expressly provided to the contrary in another place, or (ii) if the
undersigned (or any of them) has(have) given or give(s) Bank a deed of trust or
mortgage covering California real property, that deed of trust or mortgage shall
not secure this Note or any other indebtedness of the undersigned (or any of
them), unless expressly provided to the contrary in another place.

If the undersigned (or any of them) or any guarantor under a guaranty of all or
part of the Indebtedness ("guarantor") (i) fail(s) to pay any of the
Indebtedness when due, by maturity, acceleration or otherwise, or fail(s) to pay
any Indebtedness owing on a demand basis upon demand; or (ii) fail(s) to comply
with any of the terms or provisions of any agreement between the undersigned (or
any of them) or any such guarantor and the Bank; or (iii) become(s) insolvent or
the subject of a voluntary or involuntary proceeding in bankruptcy, or a
reorganization, arrangement or creditor composition proceeding, (if a business
entity) cease(s) doing business as a going concern, (if a natural person) die(s)
or become(s) incompetent, (if a partnership) dissolve(s) or any general partner
of it dies, becomes incompetent or becomes the subject of a bankruptcy
proceeding or (if a corporation or a limited liability company) is the subject
of a dissolution, merger or consolidation; or (a) if any warranty or
representation made by any of the undersigned or any guarantor in connection
with this Note or any of the Indebtedness shall be discovered to be untrue or
incomplete; or (b) if there is any termination, notice of termination, or breach
of any guaranty, pledge, collateral assignment or subordination agreement
relating to all or any part of the Indebtedness; or (c) if there is any failure
by any of

                                       2
<PAGE>
the undersigned or any guarantor to pay when due any of its indebtedness (other
than to the Bank) or in the observance or performance of any term, covenant or
condition in any document evidencing, securing or relating to such indebtedness;
or (d) if the Bank deems itself insecure believing that the prospect of payment
of this Note or any of the Indebtedness is impaired or shall fear deterioration,
removal or waste of any of the Collateral; or (e) if there is filed or issued a
levy or writ of attachment or garnishment or other like judicial process upon
the undersigned (or any of them) or any guarantor or any of the Collateral,
including without limit, any accounts of the undersigned (or any of them) or any
guarantor with the Bank, then the Bank, upon the occurrence of any of these
events (each a "Default"), may at its option and without prior notice to the
undersigned (or any of them), declare any or all of the Indebtedness to be
immediately due and payable (notwithstanding any provisions contained in the
evidence of it to the contrary), sell or liquidate all or any portion of the
Collateral, set off against the Indebtedness any amounts owing by the Bank to
the undersigned (or any of them), charge interest at the default rate provided
in the document evidencing the relevant Indebtedness and exercise any one or
more of the rights and remedies granted to the Bank by any agreement with the
undersigned (or any of them) or given to it under applicable law. All payments
under this Note shall be in immediately available United States funds, without
setoff or counterclaim.

If this Note is signed by two or more parties (whether by all as makers or by
one or more as an accommodation party or otherwise), the obligations and
undertakings under this Note shall be that of all and any two or more jointly
and also of each severally. This Note shall bind the undersigned, and the
undersigned's respective heirs, personal representatives, successors and
assigns.

The undersigned waive(s) presentment, demand, protest, notice of dishonor,
notice of demand or intent to demand, notice of acceleration or intent to
accelerate, and all other notices and agree(s) that no extension or indulgence
to the undersigned (or any of them) or release, substitution or nonenforcement
of any security, or release or substitution of any of the undersigned, any
guarantor or any other party, whether with or without notice, shall affect the
obligations of any of the undersigned. The undersigned waive(s) all defenses or
right to discharge available under Section 3-605 of the Michigan Uniform
Commercial Code and waive(s) all other suretyship defenses or right to
discharge. The undersigned agree(s) that the Bank has the right to sell, assign,
or grant participations or any interest in, any or all of the Indebtedness, and
that, in connection with this right, but without limiting its ability to make
other disclosures to the full extent allowable, the Bank may disclose all
documents and information which the Bank now or later has relating to the
undersigned or the Indebtedness. The undersigned agree(s) that the Bank may
provide information relating to this Note or relating to the undersigned to the
Bank's parent, affiliates, subsidiaries and service providers.

The undersigned agree(s) to reimburse the holder or owner of this Note upon
demand for any and all costs and expenses (including without limit, court costs,
legal expenses and reasonable attorney fees, whether inside or outside counsel
is used, whether or not suit is instituted and, if suit is instituted, whether
at the trial court level, appellate level, in a bankruptcy, probate or

                                       3
<PAGE>
administrative proceeding or otherwise) incurred in collecting or attempting to
collect this Note or incurred in any other matter or proceeding relating to this
Note.

The undersigned acknowledge(s) and agree(s) that there are no contrary
agreements, oral or written, establishing a term of this Note and agree(s) that
the terms and conditions of this Note may not be amended, waived or modified
except in a writing signed by an officer of the Bank expressly stating that the
writing constitutes an amendment, waiver or modification of the terms of this
Note. As used in this Note, the word "undersigned" means, individually and
collectively, each maker, accommodation party, indorser and other party signing
this Note in a similar capacity. If any provision of this Note is unenforceable
in whole or part for any reason, the remaining provisions shall continue to be
effective. THIS NOTE IS MADE IN THE STATE OF MICHIGAN AND SHALL BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF MICHIGAN,
WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLE.

THE MAXIMUM INTEREST RATE SHALL NOT EXCEED 25% PER ANNUM, OR THE HIGHEST
APPLICABLE USURY CEILING, WHICHEVER IS LESS.

THE UNDERSIGNED AND THE BANK ACKNOWLEDGE THAT THE RIGHT TO TRIAL BY JURY IS A
CONSTITUTIONAL ONE, BUT THAT IT MAY BE WAIVED. EACH PARTY, AFTER CONSULTING (OR
HAVING HAD THE OPPORTUNITY TO CONSULT) WITH COUNSEL OF THEIR CHOICE, KNOWINGLY
AND VOLUNTARILY, AND FOR THEIR MUTUAL BENEFIT, WAIVES ANY RIGHT TO TRIAL BY JURY
IN THE EVENT OF LITIGATION REGARDING THE PERFORMANCE OR ENFORCEMENT OF, OR IN
ANY WAY RELATED TO, THIS NOTE OR THE INDEBTEDNESS.

                                 NORTH BANCORP, INC.

                                 /s/ John R.  Kluck

                                 By: John R.  Kluck

                                 Its: President

                                       4<PAGE>
                                                                    Exhibit 10.1

                             PROGRAPH SYSTEMS, INC.

                             1999 STOCK OPTION PLAN

                      AS ADOPTED BY THE BOARD OF DIRECTORS

         1. Purpose. Prograph Systems, Inc., a Pennsylvania corporation
("Company"), hereby adopts this 1999 Stock Option/Incentive Plan (the "Plan").
The Plan is intended to recognize the contributions made to Company by employees
of Company, to provide such persons with additional incentive to devote
themselves to the future success of Company, and to improve the ability to
attract, retain and motivate individuals upon whom Company's sustained growth
and financial success depend. Through the Plan, Company will provide such
persons with an opportunity to acquire a proprietary interest in Company, and to
align their interest with the interests of shareholders, through receipt of
rights to acquire Company's Common Stock, par value $0.0001 per Share (the
"Common Stock"), and through the transfer or issuance of Common Stock.
Furthermore, the Plan may be used to encourage consultants and advisors of
Company to further the success of Company.

         2. Definitions. Unless the context clearly indicates otherwise, the
following terms shall have the following meanings:

                  "Award" shall mean a transfer of Common Stock made pursuant to
the terms of the Plan or the grant to a person of performance units, "phantom"
units, SARs or other rights containing such terms, benefits or restrictions as
the Committee shall specify in the Award Agreement.

                  "Award Agreement" shall mean the agreement between Company and
a Grantee with respect to an Award made pursuant to the Plan.

                  "Board" means the Board of Directors of Company.

                  "Change of Control" shall have the meaning as set forth in
Section 9 of the Plan.

                  "Code" means the Internal Revenue Code of 1986, as amended, or
any successor statute, and the rules and regulations issued pursuant to that
statute or any successor statute.

                  "Committee" shall have the meaning set forth in Section 3 of
the Plan.

                  "Common Stock" shall have the meaning set forth in Section 1
of the Plan.

                  "Company" means Prograph Systems, Inc., a Pennsylvania
corporation.

<PAGE>

                  "Disability" means the inability of an Optionee or Award
holder to perform the essential duties of his or her position with Company, as
determined in good faith by the Committee.

                  "Employee" means an employee of Company.

                  "Fair Market Value" shall have the meaning set forth in
Subsection 8(b) of the Plan.

                  "Grantee" shall mean a person to whom an Award has been
granted pursuant to the Plan.

                  "ISO" means an Option granted under the Plan which qualifies
and is intended to qualify as an "incentive stock option" within the meaning of
Section 422(b) of the Code.

                  "Exchange Act" means the Securities Exchange Act of 1934, as
amended, or any successor statute, and the rules and regulations issued pursuant
to that statute or any successor statute.

                  "Non-qualified Stock Option" means an Option granted under the
Plan which is not intended to qualify, or otherwise does not qualify, as an ISO.

                  "Option" means either an ISO or a Non-qualified Stock Option
granted under the Plan.

                  "Optionee" means a person to whom an Option has been granted
under the Plan, which Option has not been exercised and has not expired or
terminated.

                  "Option Document" means the document described in Section 8 of
the Plan, which sets forth the terms and conditions of each grant of Options.

                  "Option Price" means the price at which Shares may be
purchased upon exercise of an Option, as calculated pursuant to Subsection 8(b)
of the Plan.

                  "Rule 16b-3" means Rule 16b-3 promulgated under the Exchange
Act, or any successor rule.

                  "SAR" shall have the meaning set forth in Section 11 of the
Plan.

                  "Section 16 Officers" means any person who is an "officer"
within the meaning of Rule 16a-1(f) promulgated under the Exchange Act or any
successor rule, and who is subject to the reporting requirements under Section
16 of the Exchange Act with respect to Company's Common Stock.

                  "Securities Act" means the Securities Act of 1933, as amended,
or any successor statute, and the rules and regulations issued pursuant to that
statute or any successor statute.

<PAGE>

                  "Shares" means the shares of Common Stock of Company which are
the subject of Options or granted as Awards under the Plan.

         3. Administration of the Plan. The Board may administer the Plan and/or
it may, in its discretion, designate a committee or committees composed of two
or more of directors to operate and administer the Plan with respect to all or a
designated portion of the participants.

                  (a) Meetings. The Committee shall hold meetings at such times
and places as it may determine and shall keep minutes of its meetings. The
Committee may take action only upon the agreement of a majority of the whole
Committee. Any action which the Committee shall take through a written
instrument signed by all its members shall be as effective as though it had been
taken at a meeting duly called and held.

                  (b) Exculpation. No member of the Committee shall be
personally liable for monetary damages for any action taken or any failure to
take any action in connection with the administration of the Plan or the
granting of Options or Awards under the Plan, unless (a) the member has breached
or failed to perform the duties of such member's office under Subchapter B of
Chapter 17 of the Pennsylvania Business Corporation Law, and (b) the breach or
failure to perform constitutes self-dealing, wilful misconduct or recklessness;
provided, however, that the provisions of this Subsection (b) shall not apply to
the responsibility or liability of a member pursuant to any criminal statute, or
to the liability of a member for the payment of taxes pursuant to local,
Pennsylvania or federal law.

                  (c) Indemnification. Service on the Committee shall constitute
service as a member of the Board. Each member of the Committee shall be
entitled, without further act on the member's part, to indemnity from Company
and to limitation of liability, to the fullest extent provided by applicable law
and by Company's Articles of Incorporation and/or Bylaw, in connection with or
arising out of any action, suit or proceeding with respect to the administration
of the Plan or the granting of Options or Award thereunder in which the member
may be involved by reason of the member being or having been a member of the
Committee, whether or not the member continues to be a member of the Committee
at the time of the action, suit or proceeding.

                  (d) Interpretation. The Committee shall have the power and
authority to (i) interpret the Plan, (ii) adopt, amend and revoke rules and
regulations for its administration that are not inconsistent with the express
terms of the Plan including, without limitation, rules and interpretations to
determine the number of shares remaining available for issuance under the Plan,
and (iii) waive requirements relating to formalities or other matters that do
not either modify the substance of the rights intended to be granted by Options
and Awards or constitute a material amendment for any purpose under the Code.
Any such actions by the Committee shall be final, binding and conclusive on all
parties in interest.

                  (e) Amendment of Options and Awards. Subject to the provisions
of the Plan, the Committee shall have the right to amend any Option Document or
Award Agreement issued to an Optionee or Award holder, subject to the Optionee's
or Award holder's consent, if such amendment is not favorable to the Optionee or
Award holder or if such amendment has the effect of changing an ISO to a
Non-Qualified Stock Option; provided, however, that the consent of the

<PAGE>

Optionee or Award holder shall not be required for any amendment made pursuant
to Subsection 8(e)(i)(C) or Section 9 of the Plan, as applicable.

         4. Grants of Options under the Plan. Grants of Options under the Plan
may be in the form of a Non-qualified Stock Option, an ISO or a combination
thereof, at the discretion of the Committee. All Grants, unless otherwise
specifically designated by the Board or Committee, shall vest in five years from
the date of the Grant. The Board specifically reserves the right to amend the
vesting schedule by majority vote at any time.

         5. Eligibility. All Employees, and consultants and advisors to Company
shall be eligible to receive Options and Awards hereunder. Consultants and
advisors shall be eligible only if they render bona fide services to Company
unrelated to the offer or sale of securities. The Committee, in its sole
discretion, shall determine whether an individual qualifies as an Employee.

         6. Shares Subject to Plan. The aggregate maximum number of Shares for
which Awards or Options may be granted pursuant to the Plan is Ten Thousand
(10,000). The number of shares which may be issued under the Plan shall be
subject to adjustment in accordance with Section 10. The Shares shall be issued
from authorized and unissued Common Stock or Common Stock held in or hereafter
acquired for the treasury of Company. If an Option terminates or expires without
having been fully exercised for any reason or if Shares subject to an Award have
been conveyed back to Company pursuant to the terms of an Award Agreement, the
Shares for which the Option was not exercised or the Shares that were conveyed
back to Company shall again be available for issuance pursuant to the terms of
one or more Options, or one or more Awards, granted pursuant to the Plan.

         7. Term of the Plan. The Plan is effective as of August 31, 1999 the
date on which it was adopted by the Board, subject to the approval of the Plan
within one year after such date by the shareholders in the manner required by
state law. If the Plan is not so approved by the shareholders, all Options
granted under the Plan shall be null and void. No ISO may be granted under the
Plan after August 31, 2000.

         8. Option Documents and Terms. Each Option granted under the Plan shall
be a Non-qualified Stock Option unless the Option shall be specifically
designated at the time of grant to be an ISO. If any Option designated an ISO is
determined for any reason not to qualify as an incentive stock option within the
meaning of Section 422 of the Code, such Option shall be treated as a
Non-qualified Stock Option for all purposes under the provisions of the Plan.
Options granted pursuant to the Plan shall be evidenced by the Option Documents
in such form as the Committee shall approve from time to time, which Option
Documents shall comply with and be subject to the following terms and conditions
and such other terms and conditions as the Committee shall require from time to
time which are not inconsistent with the terms of the Plan.

                  (a) Number of Option Shares. Each Option Document shall state
the number of Shares to which it pertains. An Optionee may receive more than one
Option, which may include Options which are intended to be ISOs and Options
which are not intended to be ISOs, but only on the terms and subject to the
conditions and restrictions of the Plan.

<PAGE>

                  (b) Option Price. Each Option Document shall state the Option
Price, which, for a Non-qualified Stock Option, need not be the Fair Market
Value of the Shares on the date the Option is granted and, for an ISO, shall be
at least 100% of the Fair Market Value of the Shares on the date the Option is
granted as determined by the Committee in accordance with this Subsection 8(b);
provided, however, that if an ISO is granted to an Optionee who then owns,
directly or by attribution under Section 424(d) of the Code, shares possessing
more than ten percent of the total combined voting power of all classes of stock
of Company or an Affiliate, then, to the extent required by Section 424(d) of
the Code, the Option Price shall be at least 110% of the Fair Market Value of
the Shares on the date the Option is granted.

                  (c) Exercise. No Option shall be deemed to have been exercised
prior to the receipt by Company of written notice of such exercise and, unless
arrangements satisfactory to Company have been made for payment through a broker
in accordance with procedures permitted by rules or regulations of the Federal
Reserve Board, receipt of payment in full of the Option Price for the Shares to
be purchased. Each such notice shall specify the number of Shares to be
purchased and, unless the Shares are covered by a then current registration
statement or a Notification under Regulation A under the Securities Act, shall
contain the Optionee's acknowledgment, in form and substance satisfactory to
Company, that (i) such Shares are being purchased for investment and not for
distribution or resale (other than a distribution or resale which, in the
opinion of counsel satisfactory to Company, may be made without violating the
registration provisions of the Securities Act), (ii) the Optionee has been
advised and understands that (A) the Shares have not been registered under the
Securities Act and are "restricted securities" within the meaning of Rule 144
under the Securities Act and are subject to restrictions on transfer, and (B)
Company is under no obligation to register the Shares under the Securities Act
or to take any action which would make available to the Optionee any exemption
from such registration, (iii) such Shares may not be transferred without
compliance with all applicable federal and state securities laws, and (iv) an
appropriate legend referring to the foregoing restrictions on transfer and any
other restrictions imposed under the Option Documents may be endorsed on the
certificates. Notwithstanding the foregoing, if Company determines that the
issuance of Shares should be delayed pending registration under federal or state
securities laws, the receipt of an opinion of counsel satisfactory to Company
that an appropriate exemption from such registration is available, the listing
or inclusion of the Shares on any securities exchange or an automated quotation
system or the consent or approval of any governmental regulatory body whose
consent or approval is necessary in connection with the issuance of such Shares,
Company may defer exercise of any Option granted hereunder until any of the
events described in this sentence has occurred.

                  (d) Medium of Payment. Subject to the terms of the applicable
Option Document, an Optionee shall pay for Shares (i) in cash, (ii) by certified
or cashier's check payable to the order of Company, or (iii) by such other mode
of payment as the Committee may approve, including, without limitation, the
Optionee's note in form approved by the Committee and payment through a broker
in accordance with procedures permitted by rules or regulations of the Federal
Reserve Board. The Optionee may also exercise the Option in any manner
contemplated by Section 11. Furthermore, the Committee may provide in an Option
Document that payment may be made in whole or in part in shares of Company's
Common Stock held by the Optionee. If payment is made in whole or in part in
shares of Company's Common Stock, then the Optionee shall deliver to Company
certificates registered in the name of such Optionee representing the shares
owned by

<PAGE>

such Optionee, free of all liens, claims and encumbrances of every kind
and having an aggregate Fair Market Value on the date of delivery that is at
least as great as the Option Price of the Shares (or relevant portion thereof)
with respect to which such Option is to be exercised by the payment in shares of
Common Stock, endorsed in blank or accompanied by stock powers duly endorsed in
blank by the Optionee. In the event that certificates for shares of Company's
Common Stock delivered to Company represent a number of shares in excess of the
number of shares required to make payment for the Option Price of the Shares (or
relevant portion thereof) with respect to which such Option is to be exercised
by payment in shares of Common Stock, the stock certificate or certificates
issued to the Optionee shall represent (i) the Shares in respect of which
payment is made, and (ii) such excess number of shares. Notwithstanding the
foregoing, the Committee may impose from time to time such limitations and
prohibitions on the use of shares of the Common Stock to exercise an Option as
it deems appropriate.

                  (e) Termination of Options.

                           (i) No Option shall be exercisable after the first to
occur of the following:

                           (A) Expiration of the Option term specified in the
Option Document, which, in the case of an ISO, shall not occur after (1) ten
years from the date of grant, or (2) five years from the date of grant if the
Optionee on the date of grant owns, directly or by attribution under Section
424(d) of the Code, shares possessing more than ten percent of the total
combined voting power of all classes of stock of Company or of an Affiliate;

                           (B) Except to the extent otherwise provided in an
Optionee's Option Document, a finding by the Committee, after full consideration
of the facts presented on behalf of both Company and the Optionee, that the
Optionee has been engaged in disloyalty to Company or an Affiliate, including,
without limitation, fraud, embezzlement, theft, commission of a felony or proven
dishonesty in the course of employment or service, or has disclosed trade
secrets or confidential information of Company or an Affiliate. In such event,
in addition to immediate termination of the Option, the Optionee shall
automatically forfeit all Shares for which Company has not yet delivered the
share certificates upon refund by Company of the Option Price. Notwithstanding
anything herein to the contrary, Company may withhold delivery of share
certificates pending the resolution of any inquiry that could lead to a finding
resulting in a forfeiture;

                           (C) The date, if any, set by the Committee as an
accelerated expiration date in the event of the liquidation or dissolution of
Company;

                           (D) The occurrence of such other event or events as
may be set forth in this Plan or the Option Document as causing an accelerated
expiration of the Option; or

                           (E) Except as otherwise set forth in the Option
Document and subject to the foregoing provisions of this Subsection 8(e), three
months after the Optionee's employment or service with Company or its Affiliates
terminates for any reason other than Disability or death or one year after such
termination due to Optionee's Disability or death. With

<PAGE>

respect to this Subsections 8(e)(i)(E), the only Options that may be exercised
during the three-month or one-year period, as the case may be, are Options which
were exercisable on the last date of such employment or service and not Options
which, if the Optionee were still employed or rendering service during such
three-month or one-year period, would become exercisable, unless the Option
Document specifically provides to the contrary or the Committee otherwise
approves. The terms of an executive severance agreement or other agreement
between Company and an Optionee, approved by the Committee or the Board, whether
entered into prior or subsequent to the grant of an Option, which provide for
Option exercise dates later than those set forth in Subsection 8(e)(i) shall be
deemed to be Option terms approved by the Committee and consented to by the
Optionee.

                           (ii) Notwithstanding the foregoing, the Committee may
extend the period during which all or any portion of an Option may be exercised
provided that any change pursuant to this Subsection 8(e)(ii) which would cause
an ISO to become a Non-qualified Stock Option may be made only with the consent
of the Optionee.

                           (iii) Notwithstanding anything to the contrary
contained in the Plan or an Option Document, an ISO shall be treated as a
Non-qualified Stock Option to the extent such ISO is exercised at any time after
the expiration of the time period permitted under the Code for the exercise of
an ISO.

                  (f) Transfers. Except as otherwise provided in this Subsection
8(f), no Option granted under the Plan may be transferred.

                  (g) Limitation on ISO Grants. To the extent that the aggregate
fair market value of the shares of Common Stock (determined at the time the ISO
is granted) with respect to which ISOs under all incentive stock option plans of
Company or its Affiliates are exercisable for the first time by the Optionee
during any calendar year exceeds $100,000, such ISOs shall, to the extent of
such excess, be treated as Non-qualified Stock Options.

                  (h) Other Provisions. Subject to the provisions of the Plan,
the Option Documents shall contain such other provisions, including, without
limitation, provisions authorizing the Committee to accelerate the
exercisability of all or any portion of an Option granted pursuant to the Plan,
additional restrictions upon the exercise of the Option or additional
limitations upon the term of the Option, as the Committee deems advisable.

         9. Change of Control. In the event of a Change of Control, the
Committee may take whatever actions it deems necessary or desirable with respect
to any of the Options outstanding or Award Shares not yet fully vested or paid
for, all of which need not be treated identically, including, without
limitation, accelerating (a) the expiration or termination date in the
respective Option Documents to a date no earlier than thirty (30) days after
notice of such acceleration is given to the Optionees, or (b) the exercisability
of the Option. Notwithstanding the foregoing, in the event of a Change of
Control, Options granted pursuant to the Plan will become automatically
exercisable in full but only with respect to those Optionees who, in the good
faith determination of the Board, are likely to have their relationship with
Company or any Affiliate or successor of

<PAGE>

Company terminated (including constructive termination through a significant
decrease in authority, responsibility or overall total compensation) as a result
of such Change of Control.

                  A "Change of Control" shall be deemed to have occurred upon
the earliest to occur of any of the following events, each of which shall be
determined independently of the others:

                  (i) any Person (as defined below) becomes a "beneficial
owner," as such term is used in Rule 13d-3 promulgated under the Exchange Act,
of 100 % or more (as determined by the Committee) of Company's stock entitled to
vote in the election of directors. For purposes of this Plan, the term "Person"
is used as such term is used in Sections 13(d) and 14(d) of the Exchange Act.

                  (ii) individuals who are Continuing Directors cease to
constitute a majority of the members of the Board ("Continuing Directors" for
this purpose being the members of the Board on the date of adoption of this
Plan, provided that any person becoming a member of the Board subsequent to such
date whose election or nomination for election was supported by two-thirds of
the directors who then comprised the Continuing Directors shall be considered to
be an Continuing Director);

                  (iii) shareholders of Company adopt a plan of complete or
substantial liquidation or an agreement providing for the distribution of all or
substantially all of its assets;

                  (iv) Company is party to a merger, consolidation, other form
of business combination or a sale of all or substantially all of its assets,
unless the business of Company is continued following any such transaction by a
resulting entity (which may be, but need not be, Company) and the shareholders
of Company immediately prior to such transaction (the "Prior Shareholders")
hold, directly or indirectly, at least two-thirds of the voting power of the
resulting entity (there being excluded from the voting power held by the Prior
Shareholders, but not from the total voting power of the resulting entity, any
voting power received by Affiliates of a party to the transaction (other than
Company) in their capacities as shareholders of Company)

                  (v) there is a Change of Control of Company of a nature that
would be required to be reported in response to item 1(a) of Current Report on
Form 8-K or item 6(e) of Schedule 14A of Regulation 14A or any similar item,
schedule or form under the Exchange Act, as in effect at the time of the change,
whether or not Company is then subject to such reporting requirement;

                  (vi) the Company is a subject of a "Rule 13e-3 transaction" as
that term is defined in Exchange Act Rule 13e-3; or

         10. Adjustments on Changes in Capitalization.

                  (a) In the event that the outstanding Shares are changed by
reason of a reorganization, merger, consolidation, recapitalization,
reclassification, stock split-up, combination or exchange of shares and the like
(not including the issuance of Common Stock on the conversion of other
securities of Company which are convertible into Common Stock) or dividends
payable in Shares, an equitable adjustment may be made by the Committee as it
deems appropriate in the

<PAGE>

aggregate number of shares available under the Plan and in the number of Shares
and price per Share subject to outstanding Options. Unless the Committee makes
other provisions for the equitable settlement of outstanding Options, if Company
shall be reorganized, consolidated, or merged with another corporation, or if
all or substantially all of the assets of Company shall be sold or exchanged, an
Optionee shall at the time of issuance of the stock under such corporate event
be entitled to receive, upon the exercise of his or her Option, the same number
and kind of shares of stock or the same amount of property, cash or securities
as the Optionee would have been entitled to receive upon the occurrence of any
such corporate event as if the Optionee had been, immediately prior to such
event, the holder of the number of shares covered by his or her Option.

                  (b) Any adjustment under this Section 10 in the number of
Shares subject to Options shall apply proportionately to only the unexercised
portion of any Option granted hereunder. If a fraction of a Share would result
from any such adjustment, the fraction shall be eliminated, unless the Committee
otherwise determines.

                  (c) The Committee shall have authority to determine the
adjustments to be made under this Section, and any such determination by the
Committee shall be final, binding and conclusive.

         11. Stock Appreciation Rights (SARs).

                  (a) In General. Subject to the terms and conditions of the
Plan, the Committee may, in its sole and absolute discretion, grant to an
Optionee the right (which right shall be referred to as an "SAR") to surrender
an Option to Company, in whole or in part, and to receive in exchange therefor
payment by Company of an amount equal to the excess of the Fair Market Value of
the Shares subject to such Option, or portion thereof, so surrendered
(determined in the manner described in section 8(b) as of the date the SARs are
exercised) over the exercise price to acquire such Shares. Except as may
otherwise be provided in an Option Document, such payment may be made, as
determined by the Committee in accordance with Subsection 11(c) below and set
forth in the Option Agreement, either in Shares or in cash or in any combination
thereof.

                  (b) Grant. Each SAR shall relate to a specific Option granted
under the Plan and shall be granted to the Optionee concurrently with the grant
of such Option by inclusion of appropriate provisions in the Option Agreement
pertaining thereto. The number of SARs granted to an Optionee shall not exceed
the number of Shares which such Optionee is entitled to purchase pursuant to the
related Option. The number of SARs held by an Optionee shall be reduced by (i)
the number of SARs exercised under the provisions of the Option Agreement
pertaining to the related Option, and (ii) the number of Shares purchased
pursuant to the exercise of the related Option.

                  (c) Payment. The Committee shall have sole discretion to
determine whether payment in respect of SARs exercised by any Optionee shall be
made in shares of Common Stock, in cash, or in a combination thereof. If payment
is made in Common Stock, the number of shares which shall be issued pursuant to
the exercise of SARs shall be determined by dividing (i) the total number of
SARs being exercised, multiplied by the amount by which the Fair Market Value
(as determined under Section 8(b)) of a share of Common Stock on the exercise
date exceeds the

<PAGE>

exercise price for shares covered by the related Option, by (ii) the Fair Market
Value of a share of Common Stock on the exercise date of the SARs. No fractional
share of Common Stock shall be issued on exercise of an SAR; cash may be paid by
Company to the person exercising an SAR in lieu of any such fractional share, if
the Committee so determines. If payment on exercise of an SAR is to be made in
cash, the person exercising the SAR shall receive, in respect of each SAR to
which such exercise relates, an amount of money equal to the difference between
the Fair Market Value of a share of Common Stock on the exercise date and the
then-applicable exercise price for Shares covered by the related Option.

                  (d) Limitations. SARs shall be exercisable at such times and
under such terms and conditions as the Committee, in its sole and absolute
discretion, shall determine; provided, however, that an SAR may be exercised
only at such times and by such individuals as the related Option may be
exercised under the Plan and the Option Agreement.

         12. Terms and Conditions of Awards. Awards granted pursuant to the Plan
shall be evidenced by written Award Agreements in such form as the Committee
shall approve from time to time, which Award Agreements shall comply with and be
subject to the following terms and conditions and such other terms and
conditions which the Committee shall require from time to time which are not
inconsistent with the terms of the Plan.

                  (a) Number of Shares. Each Award Agreement shall state the
number of Shares or other units or rights to which it pertains.

                  (b) Purchase Price. Each Award Agreement shall specify the
purchase price, if any, which applies to the Award. If the Board specifies a
purchase price, the Grantee shall be required to make payment on or before the
payment date specified in the Award Agreement. A Grantee shall make payment (i)
in cash, (ii) by certified check payable to the order of Company, or (iii) by
such other mode of payment as the Committee may approve.

                  (c) Grant. In the case of an Award which provides for a grant
of Shares without any payment by the Grantee, the grant shall take place on the
date specified in the Award Agreement. In the case of an Award which provides
for a payment, the grant shall take place on the date the initial payment is
delivered to Company, unless the Committee or the Award Agreement otherwise
specifies. Notwithstanding the foregoing, as a precondition to a grant, Company
may require an acknowledgment by the Grantee as required with respect to Options
under Subsection 8(c).

                  (d) Conditions. The Committee may specify in an Award
Agreement any conditions under which the Grantee of that Award shall be required
to convey to Company the Shares covered by the Award. Upon the occurrence of any
such specified condition, the Grantee shall forthwith surrender and deliver to
Company the certificates evidencing such Shares as well as completely executed
instruments of conveyance. The Committee, in its discretion, may provide that
certificates for Shares transferred pursuant to an Award be held in escrow by
Company or its designee until such time as every condition has lapsed and that
the Grantee be required, as a condition of the Award, to deliver to such escrow
agent or Company officer stock transfer powers covering the Award Shares duly
endorsed by the Grantee. Unless otherwise provided in the Award

<PAGE>

Agreement or determined by the Committee, dividends and other distributions made
on Shares held in escrow shall be deposited in escrow, to be distributed to the
party becoming entitled to the Shares on which the distribution was made. Stock
certificates evidencing Shares subject to conditions shall bear a legend to the
effect that the Shares evidenced thereby are subject to repurchase by, or
conveyance to, Company in accordance with the terms applicable to such Shares
under an Award made pursuant to the Plan, and that the Shares may not be sold or
otherwise transferred.

                  (e) Lapse of Conditions. Upon termination or lapse of all
forfeiture conditions, Company shall cause certificates without the legend
referring to Company's repurchase or acquisition right (but with any other
legends that may be appropriate) evidencing the Shares covered by the Award to
be issued to the Grantee upon the Grantee's surrender to Company of the legended
certificates held by the Grantee.

                  (f) Rights as Shareholder. Upon payment of the purchase price,
if any, for Shares covered by an Award and compliance with the acknowledgment
requirement of subsection 12(c), the Grantee shall have all of the rights of a
shareholder with respect to the Shares covered thereby, including the right to
vote the Shares and (subject to the provisions of Subsection 12(d)) receive all
dividends and other distributions paid or made with respect thereto, except to
the extent otherwise provided by the Committee or in the Award Agreement.

         13. Amendment of the Plan. The Board may amend the Plan from time to
time in such manner as it may deem advisable. Nevertheless, the Board may not
change the class of persons eligible to receive an ISO or increase the maximum
number of Shares as to which Options may be granted under the Plan, or to any
individual under the Plan in any year, without obtaining approval, within twelve
months before or after such action, by the shareholders in the manner required
by state law. No amendment to the Plan shall adversely affect any outstanding
Option or Award, however, without the consent of the Optionee or Grantee, as the
case may be.

         14. No Commitment to Retain. The grant of an Option or Award pursuant
to the Plan shall not be construed to imply or to constitute evidence of any
agreement, express or implied, on the part of Company or any Affiliate to retain
the Optionee or Grantee as an employee, director, consultant or advisor of
Company or any Affiliate, or in any other capacity.

         15. Withholding of Taxes. In connection with any event relating to an
Option or Award, Company shall have the right to (a) require the recipient to
remit or otherwise make available to Company an amount sufficient to satisfy any
federal, state and/or local withholding tax requirements prior to the delivery
or transfer of any certificates for such Shares, or (b) take whatever other
action it deems necessary to protect its interests with respect to tax
liabilities, including, without limitation, withholding any Shares, funds or
other property otherwise due to the Optionee or Grantee. The Company's
obligations under the Plan shall be conditioned on the Optionee's or Grantee's
compliance, to Company's satisfaction, with any withholding requirement.

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