Document:

EXHIBIT 10.1

FORM OF

MANAGEMENT AND ADVISORY AGREEMENT

dated as of                            , 2014

between

NEW
SENIOR INVESTMENT GROUP INC.

and

FIG LLC

    	 

    	 

    

	 	 	 	 	 
	 	 	TABLE OF CONTENTS	 	 
	 	 	 	 	 
	SECTION 1.	 	DEFINITIONS	 	1
	 	 	 	 	 
	SECTION 2.	 	APPOINTMENT AND DUTIES OF THE MANAGER	 	3
	 	 	 	 	 
	SECTION 3.	 	DEVOTION OF TIME; ADDITIONAL ACTIVITIES	 	7
	 	 	 	 	 
	SECTION 4.	 	AGENCY	 	7
	 	 	 	 	 
	SECTION 5.	 	BANK ACCOUNTS	 	7
	 	 	 	 	 
	SECTION 6.	 	RECORDS; CONFIDENTIALITY	 	8
	 	 	 	 	 
	SECTION 7.	 	OBLIGATIONS OF MANAGER; RESTRICTIONS.	 	8
	 	 	 	 	 
	SECTION 8.	 	COMPENSATION	 	9
	 	 	 	 	 
	SECTION 9.	 	EXPENSES OF THE COMPANY	 	10
	 	 	 	 	 
	SECTION 10.	 	CALCULATIONS OF EXPENSES	 	12
	 	 	 	 	 
	SECTION 11.	 	LIMITS OF MANAGER RESPONSIBILITY; INDEMNIFICATION	 	12
	 	 	 	 	 
	SECTION 12.	 	NO JOINT VENTURE	 	12
	 	 	 	 	 
	SECTION 13.	 	TERM; TERMINATION	 	13
	 	 	 	 	 
	SECTION 14.	 	ASSIGNMENT	 	14
	 	 	 	 	 
	SECTION 15.	 	TERMINATION FOR CAUSE	 	14
	 	 	 	 	 
	SECTION 16.	 	ACTION UPON TERMINATION	 	15
	 	 	 	 	 
	SECTION 17.	 	RELEASE OF MONEY OR OTHER PROPERTY UPON WRITTEN REQUEST	 	16
	 	 	 	 	 
	SECTION 18.	 	NOTICES	 	16
	 	 	 	 	 
	SECTION 19.	 	BINDING NATURE OF AGREEMENT; SUCCESSORS AND ASSIGNS	 	17
	 	 	 	 	 
	SECTION 20.	 	ENTIRE AGREEMENT	 	17
	 	 	 	 	 
	SECTION 21.	 	CONTROLLING LAW	 	17
	 	 	 	 	 
	SECTION 22.	 	INDULGENCES, NOT WAIVERS	 	18
	 	 	 	 	 
	SECTION 23.	 	TITLES NOT TO AFFECT INTERPRETATION	 	18
	 	 	 	 	 
	SECTION 24.	 	EXECUTION IN COUNTERPARTS	 	18
	 	 	 	 	 
	SECTION 25.	 	PROVISIONS SEPARABLE	 	18
	 	 	 	 	 
	SECTION 26.	 	GENDER	 	18

 

    	 

    	 

    

MANAGEMENT AND ADVISORY AGREEMENT

THIS MANAGEMENT AND ADVISORY
AGREEMENT is made as of                           , 2014 (the “Agreement”)
by and between NEW SENIOR INVESTMENT GROUP INC., a Delaware corporation (the “Company”),
and FIG LLC, a Delaware limited liability company (together with its permitted assignees, the “Manager”).

W I T N E S S E T H:

WHEREAS, the Company desires to avail itself
of the experience, sources of information, advice, assistance and certain facilities of or available to the Manager and to have
the Manager undertake the duties and responsibilities hereinafter set forth, on behalf of the Company, as provided in this Agreement;
and

WHEREAS, the Manager is willing to render
such services on the terms and conditions hereinafter set forth.

 

NOW THEREFORE, IN CONSIDERATION OF THE
MUTUAL AGREEMENTS HEREIN SET FORTH, THE PARTIES HERETO AGREE AS FOLLOWS:

 

SECTION 1.       DEFINITIONS.

The following terms have the meanings assigned
to them:

(a)          “Agreement”
means this Management and Advisory Agreement, as amended from time to time.

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

(c)          “Code”
means the Internal Revenue Code of 1986, as amended.

(d)          “Common
Share” means a share of capital stock of the Company
now or hereafter authorized as common voting stock of the Company.

(e)          “Distribution Date”
means                            , 2014.

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

(g)          “Funds
from Operations” is as defined by the National Association of Real Estate Investment Trusts and means net income (computed
in accordance with GAAP), excluding gains (or losses) from sales of depreciable real estate assets, impairment charges of depreciable
real estate, plus real estate depreciation and amortization (excluding depreciation on non-real estate assets such as furniture,
fixtures and equipment), and after adjustments required to account for earnings attributable to unconsolidated partnerships and
joint ventures on the basis of FFO. Funds from Operations will be computed on an unconsolidated basis. The computation of Funds
from Operations may be adjusted by the Independent Directors upon reasonable request by the Manager based on changes in, or certain
applications of, GAAP.

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 (h)          “Governing
Instruments” means, with regard to any entity, the articles
of incorporation and bylaws in the case of a corporation, certificate of limited partnership (if applicable) and the partnership
agreement in the case of a general or limited partnership, the articles of formation and the operating agreement in the case of
a limited liability company, or, in each case, comparable governing documents.

(i)         
 “Independent Directors”
means the members of the Board of Directors who are not officers or employees of the Manager.

(j)         
 “Investment Company Act”
means the Investment Company Act of 1940, as amended.

(k)          “Investments”
means the investments of the Company.

(l)        
  “Junior Share”
means a share of capital stock of the Company now or hereafter authorized or reclassified that has dividend rights, or rights
upon liquidation, winding up and dissolution, that are inferior or junior to the REIT Shares.

(m)        “Other
Non-Routine Items” means (i) write-offs of unamortized deferred financing fees, or additional costs, make-whole
payments, penalties or premiums incurred as the result of early repayment of debt, (ii) changes in the fair value of
contingent consideration and financial instruments, (iii) preferred stock redemption charges, (iv) gains or losses related to
litigation, claims and other contingencies, (v) losses on early extinguishment of debt, (vi) charges or income related to
changes in income tax valuation allowances, tax litigation or settlements, (vii) impairments or reversals of impairments,
(viii) changes in valuation allowances related to straight-line rent receivables, (ix) integration expenses related to
acquisitions and (x) other adjustments approved by the Independent Directors upon reasonable request by the Manager based on
adjustments made to Funds from Operations for the purpose of reporting to the public normalized Funds from Operations.

(n)         “Preferred Share”
means a share of capital stock of the Company now or hereafter authorized or reclassified that has dividend rights, or rights upon
liquidation, winding up and dissolution, that are superior or prior to the REIT Shares.

(o)         “REIT
Share” means a share of the Company’s Common Shares,
par value $0.01 per share. Where relevant in this Agreement, “REIT
Shares” includes shares of the Company’s Common
Shares, par value $0.01 per share, issued upon conversion of Preferred Shares or Junior Shares.

(p)         “Subsidiary”
means any subsidiary of the Company and any partnership, the general partner of which is the Company or any subsidiary of the Company
and any limited liability company, the managing member of which is the Company or any subsidiary of the Company.

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SECTION 2.      
APPOINTMENT AND DUTIES OF THE MANAGER.

(a)          The Company hereby appoints the
Manager to manage the assets of the Company subject to the further terms and conditions set forth in this Agreement and the Manager
hereby agrees to use its commercially reasonable efforts to perform each of the duties set forth herein. The appointment of the
Manager shall be exclusive to the Manager except to the extent that the Manager otherwise agrees, in its sole and absolute discretion,
and except to the extent that the Manager elects, pursuant to the terms of this Agreement, to cause the duties of the Manager hereunder
to be provided by third parties.

(b)          The Manager, in its capacity as
manager of the assets and the day-to-day operations of the Company, at all times will be subject to the supervision of the Company’s
Board of Directors and will have only such functions and authority as the Company may delegate to it including, without limitation,
the functions and authority identified herein and delegated to the Manager hereby. The Manager will be responsible for the day-to-day
operations of the Company and will perform (or cause to be performed) such services and activities relating to the assets and operations
of the Company as may be appropriate, including, without limitation:

  (i)          serving as the Company’s consultant
with respect to the periodic review of the guidelines attached hereto as Schedule 1 (as may be modified from time to time with
the approval of a majority of the Independent Directors, the “Guidelines”);

  (ii)         investigation, analysis, valuation
and selection of investment opportunities;

  (iii)        with respect to prospective Investments
by the Company and dispositions of Investments, conducting negotiations with brokers, sellers and purchasers and their respective
agents and representatives, investment bankers and owners of privately and publicly held companies;

  (iv)        engaging and supervising independent
contractors that provide services relating to the Company or the Investments, including, but not limited to, investment banking,
legal or regulatory advisory, tax advisory, accounting advisory, securities brokerage, property management/operations, property
condition, real estate and leasing advisory and brokerage, and other financial and consulting services as the Manager determines
from time to time is advisable;

  (v)         negotiating for the purchase, sale,
exchange or other disposition of any Investments;

  (vi)        coordinating and managing operations
of any joint venture or co-investment interests held by the Company and conducting all matters with the joint venture or co-investment
partners;

  (vii)       coordinating and supervising all
property managers, tenant operators, leasing agents and developers for the administration, leasing, management and/or development
of any of the Investments;

 

  (viii)      providing executive and administrative
personnel, office space and office services required in rendering services to the Company;

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  (ix)        conducting periodic on-site visits
to properties to inspect the physical condition and operations of the properties and to evaluate the performance of a tenant or
operator of its duties;

  (x)        administering the day-to-day operations
of the Company and performing and supervising the performance of such other administrative functions necessary in the management
of the Company as may be agreed upon by the Manager and the Board of Directors, including, without limitation, the collection of
revenues and the payment of the Company’s debts and obligations and maintenance of appropriate computer services to perform
such administrative functions;

  (xi)       communicating with the past, current
and prospective holders of any equity or debt securities of the Company as required to satisfy the reporting and other requirements
of any governmental bodies or agencies or trading markets and to maintain effective relations with such holders;

  (xii)      counseling the Company in connection
with policy decisions to be made by the Board of Directors;

  (xiii)     evaluating and recommending to
the Board of Directors modifications to any hedging strategies in effect on the date hereof and engaging in hedging activities
consistent with the Guidelines;

  (xiv)      counseling the Company regarding
the maintenance of its status as a real estate investment trust (“REIT”) and monitoring compliance with the
various REIT qualification tests and other rules set out in the Code and Treasury Regulations thereunder;

  (xv)       counseling the Company regarding
the maintenance of its exemption from the Investment Company Act and monitoring compliance with the requirements for maintaining
an exemption from that Act;

  (xvi)       assisting the Company in developing
criteria that are specifically tailored to the Company’s investment objectives and making available to the Company its knowledge
and experience with respect to its target assets;

  (xvii)      monitoring the operating performance
of the Investments and providing periodic reports with respect thereto to the Board of Directors, including comparative information
with respect to such operating performance, valuation and budgeted or projected operating results;

  (xviii)     investing and re-investing any
moneys and securities of the Company (including investing in short-term Investments pending investment in Investments, payment
of fees, costs and expenses, or payments of dividends or distributions to stockholders and partners of the Company) and advising
the Company as to its capital structure and capital raising;

  (xix)     causing the Company to retain qualified
accountants and legal counsel, as applicable, to assist in developing appropriate accounting procedures, compliance procedures
and testing systems with respect to financial reporting obligations and compliance with the provisions of the Code applicable to
REITs;

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  (xx)        causing the Company to qualify to
do business in all applicable jurisdictions and to obtain and maintain all appropriate licenses;

  (xxi)       assisting the Company in complying
with all regulatory requirements applicable to the Company in respect of its business activities, including preparing or causing
to be prepared all financial statements required under applicable regulations and contractual undertakings and all reports and
documents required under the Exchange Act;

  (xxii)      taking all necessary actions to
enable the Company to make required tax filings and reports, including soliciting stockholders for required information to the
extent provided by the provisions of the Code applicable to REITs;

  (xxiii)     handling and resolving all claims,
disputes or controversies (including all litigation, arbitration, settlement or other proceedings or negotiations) in which the
Company may be involved or to which the Company may be subject arising out of the Company’s day-to-day operations, subject
to such limitations or parameters as may be imposed from time to time by the Board of Directors;

  (xxiv)     using commercially reasonable efforts
to cause expenses incurred by or on behalf of the Company to be within any expense guidelines set by the Board of Directors from
time to time;

  (xxv)      performing such other services as
may be required from time to time for management and other activities relating to the assets of the Company as the Board of Directors
and Manager shall agree from time to time or as the Manager shall deem appropriate under the particular circumstances;

  (xxvi)     using commercially reasonable efforts
to cause the Company to comply with all applicable laws; and

  (xxvii)    traveling in connection with the
performance of any services or activities relating to our assets, operations or investment analysis.

Without limiting the foregoing, the Manager
will perform portfolio management services (the “Portfolio
Management Services”) on behalf of the Company with respect
to the Investments. Such services will include, but not be limited to, consulting with the Company on the purchase and sale of,
and other investment opportunities in connection with, the Company’s portfolio of assets; the collection of information and
the submission of reports pertaining to the Company’s assets, interest rates and general economic conditions; periodic review
and evaluation of the performance of the Company’s portfolio of assets; acting as liaison between the Company and banking,
mortgage banking, investment banking and other parties with respect to the purchase, financing and disposition of assets; and other
customary functions related to portfolio management. Additionally, the Manager will perform monitoring services (the “Monitoring
Services”) on behalf of the Company with respect to any
services provided by third parties, which the Manager determines are material to the performance of the business.

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(c)         The
Manager may enter into agreements with other parties, including its affiliates; provided, that any such agreements entered
into with affiliates of the Manager shall be (A) on terms no more favorable to such affiliate than could be obtained from a
third party on an arm’s-length basis and (B) to the extent the same do not fall within the provisions of the Guidelines,
approved by a majority of the Independent Directors to the extent required by any Board policy.

(d)         The Manager may retain, for and
on behalf, and at the sole cost and expense, of the Company, such services of accountants, legal counsel, tax counsel, appraisers,
insurers, brokers or business developers, transfer agents, registrars, developers, investment banks, financial advisors, underwriters,
asset managers, banks and other lenders and others as the Manager deems necessary or advisable in connection with the management
and operations of the Company. Notwithstanding anything contained herein to the contrary, the Manager shall have the right to cause
any such services to be rendered by its employees or affiliates (which, for the avoidance of doubt, includes any employees, consultants
or agents of any affiliate of the Manager). The Company shall pay or reimburse the Manager or its affiliates performing such services
for the cost thereof; provided, that such costs and reimbursements are no greater than those which would be payable to outside
professionals or consultants engaged to perform such services pursuant to agreements negotiated on an arm’s-length basis.

(e)         As frequently as the Manager may
deem necessary or advisable, or at the direction of the Board of Directors, the Manager shall, at the sole cost and expense of
the Company, prepare, or cause to be prepared, with respect to any Investment (i) an appraisal prepared by an independent
real estate appraiser; (ii) reports and information on the Company’s operations and asset performance and (iii) other
information reasonably requested by the Company.

(f)         The Manager shall prepare, or cause
to be prepared, at the sole cost and expense of the Company, all reports, financial or otherwise, with respect to the Company reasonably
required by the Board of Directors in order for the Company to comply with its Governing Instruments or any other materials required
to be filed with any governmental body or agency, and shall prepare, or cause to be prepared, all materials and data necessary
to complete such reports and other materials including, without limitation, an annual audit of the Company’s books of account
by a nationally recognized independent accounting firm.

(g)         The Manager shall prepare regular
reports for the Board of Directors to enable the Board of Directors to review the Company’s acquisitions, portfolio composition
and characteristics, credit quality, performance and compliance with the Guidelines and any policies approved by the Board of Directors.

(h)         Notwithstanding anything contained
in this Agreement to the contrary, except to the extent that the payment of additional monies is proven by the Company to have
been required as a direct result of the Manager’s acts or omissions which result in the right of the Company to terminate
this Agreement pursuant to Section 15 of this Agreement, the Manager shall not be required to expend money (“Excess
Funds”) in excess of that contained in any applicable Company Account (as herein defined) or otherwise made available
by the Company to be expended by the Manager hereunder. Failure of the Manager to expend Excess Funds out-of-pocket shall not give
rise or be a contributing factor to the right of the Company under Section 13(a) of this Agreement to terminate this Agreement
due to the Manager’s unsatisfactory performance.

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(i)         In performing its duties under this
Section 2, the Manager shall be entitled to rely reasonably on qualified experts hired by the Manager.

SECTION 3.      DEVOTION OF TIME; ADDITIONAL ACTIVITIES.

(a)         The Manager will provide a management
team, including a Chief Executive Officer and a Chief Financial Officer of the Company, to provide the management services to be
provided by the Manager to the Company hereunder. The members of such team shall devote such of their time to the management of
the Company as is reasonably necessary and appropriate, commensurate with the level of activity of the Company from time to time.

(b)         Except to the extent set forth in
clause (a) above, nothing herein shall prevent the Manager or any of its affiliates or any of the officers and employees of any
of the foregoing from engaging in other businesses or from rendering services of any kind to any other person or entity, including
investment in, or advisory service to others investing in, any type of real estate or real estate related investment, including
investments which meet the principal investment objectives of the Company.

(c)         Managers, members, partners, officers,
employees and agents of the Manager or affiliates of the Manager may serve as directors, officers, employees, agents, nominees
or signatories for the Company or any Subsidiary, to the extent permitted by their Governing Instruments, as from time to time
amended, or by any resolutions duly adopted by the Board of Directors pursuant to the Company’s Governing Instruments. When
executing documents or otherwise acting in such capacities for the Company, such persons shall use their respective titles in the
Company.

SECTION 4.     AGENCY.

The Manager shall act as agent of the Company
in making, acquiring, financing and disposing of Investments, disbursing and collecting the Company’s funds, paying the debts
and fulfilling the obligations of the Company, supervising the performance of professionals engaged by or on behalf of the Company
and handling, prosecuting and settling any claims of or against the Company, the Board of Directors, holders of the Company’s
securities or the Company’s representatives or properties.

 

SECTION 5.     BANK ACCOUNTS.

The Manager may establish and maintain
one or more bank accounts in the name of the Company or any Subsidiary (any such account, a “Company
Account”), and may collect and deposit funds into any
such Company Account or Company Accounts, and disburse funds from any such Company Account or Company Accounts; and the Manager
shall from time to time render appropriate accountings of such collections and payments to the Board of Directors and, upon request,
to the auditors of the Company or any Subsidiary.

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SECTION 6.     RECORDS;
CONFIDENTIALITY.

The Manager shall maintain appropriate
books of accounts and records relating to services performed under this Agreement, and such books of account and records shall
be accessible for inspection by representatives of the Company at any time during normal business hours upon ten (10) business
days advance written notice.

The Manager shall keep confidential any
and all non-public information obtained in connection with the services rendered under this Agreement and shall not disclose any
such information to any person, except to (i) its affiliates, members, officers, directors, employees, agents, representatives
or advisors who have a need to know such information in order to carry out their duties to the Company and who have a duty to the
Manager or to the Company to keep such information confidential, (ii) to appraisers, financing sources and others in the ordinary
course of the Manager’s business for the purpose of rendering services hereunder, provided that such persons agree to keep
such information confidential, (iii) in connection with any governmental or regulatory requests of the Manager and any of its affiliates,
members, officers, directors, employees, agents, representatives or advisors, (v) as required by applicable law or regulation or
(vi) with the prior written consent of the Board of Directors.

SECTION 7.    OBLIGATIONS OF MANAGER; RESTRICTIONS.

(a)         The Manager shall require each seller
or transferor of Investments to the Company to make such representations and warranties regarding such assets as may, in
the sole judgment made in good faith of the Manager, be necessary and appropriate. In addition, the Manager shall take such other
action as it deems necessary or appropriate with regard to the protection of the Investments.

(b)         The Manager shall refrain from any
action that, in its sole judgment made in good faith, (i) is not in compliance with the Guidelines, (ii) can reasonably be expected
to result in the loss of the Company’s status as a REIT under the Code or (iii) would violate any law, rule or regulation
of any governmental body or agency having jurisdiction over the Company or any Subsidiary or that would otherwise not be permitted
by such entity’s Governing Instruments. If the Manager is ordered to take any such action by the Board of Directors, the
Manager shall promptly notify the Board of Directors of the Manager’s judgment that such action would adversely affect such
status or violate any such law, rule or regulation or the Governing Instruments. Notwithstanding the foregoing, the Manager, its
directors, officers, stockholders and employees shall not be liable to the Company or any Subsidiary, the Board of Directors, or
the Company’s or any Subsidiary’s stockholders or partners for any act or omission by the Manager, its directors, officers,
stockholders or employees except as provided in Section 11 of this Agreement.

(c)         The Manager shall at all times during
the term of this Agreement (including the Original Term and any renewal term) maintain a tangible net worth equal to or greater
than $1,000,000. Additionally, during such period the Manager shall maintain “errors and omissions” insurance coverage
and other insurance coverage which is customarily carried by asset and investment managers performing functions similar to those
of the Manager under this Agreement with respect to assets similar to the assets of the Company, in an amount which is comparable
to that customarily maintained by other managers or servicers of similar assets.

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SECTION 8.       COMPENSATION.

(a)         During
the term of this Agreement (as the same may be extended from time to time), the Manager will receive an annual management fee
(the “Management Fee”) equal to 1.50% of the Company’s “Gross Equity.” The Management
Fee shall be calculated and paid monthly in arrears based upon the weighted daily average of the Gross Equity of the Company
for such month. The term “Gross Equity” for any period means (A) the sum of (i) the “Total
Equity,” plus (ii) the value of contributions made by partners other than the Company, from time to time, to the capital
of any Subsidiary (reduced proportionately in the case of a Subsidiary to the extent that the Company owns, directly or
indirectly, less than 100% of the equity interests in such Subsidiary), less (B) any capital dividends or capital
distributions (calculated without regard to depreciation and amortization) made by the Company to its stockholders or,
without duplication, by any Subsidiary to its stockholders, partners or other equity holders. As used herein, the term
“Total Equity” shall mean (i) the equity invested by Newcastle Investment Corp. in the assets of the Company
(including total cash contributed to the Company) as of the Distribution Date, plus (ii) the aggregate offering price of any
common or preferred equity capital hereafter raised by the Company or any Subsidiary of the Company (exclusive, with respect
to any Subsidiary, of capital of such Subsidiary consisting of a capital contribution or other form of capital investment
made by the Company or another Subsidiary of the Company).

(b)         The Manager shall compute each installment
of the Management Fee within 15 days after the end of the calendar month with respect to which such installment is payable, and
such installment shall be due and payable no later than 20 days after the end of the calendar month with respect to which such
installment is payable. A copy of the computations made by the Manager to calculate such installment shall, for informational purposes
only and subject in any event to Section 13(a) of this Agreement, promptly be delivered to the Board of Directors within 90
days after the end of each calendar year.

(c)         The Management Fee is subject to
adjustment pursuant to and in accordance with the provisions of Section 13(a) of this Agreement.

(d)         The Board of Directors may, by written
notice to the Manager delivered ten (10) days prior to the date on which any payment of the Incentive Compensation (as defined
below) is payable, request that the Manager accept all or a portion of such payment in the form of issued Common Shares, which
notice shall specify the amount of the payment of the Incentive Compensation, the amount thereof which the Company intends to pay
in cash, if any, and the amount thereof which the Company intends to pay in the form of such Common Shares in the number of such
shares as determined by the Board of Directors. Within five (5) days following receipt of said notice, the Manager shall notify
the Company in writing, such election to be made by the Manager in its sole discretion, whether it will accept such portion of
such payment in the form of such shares and in such number of such shares.

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(e)         In
addition to the Management Fee otherwise payable hereunder, the Company shall pay the Manager on a quarterly basis
annual incentive compensation (“Incentive Compensation”) on a cumulative, but not compounding, basis, in an
amount equal to the product of (A) 25% of the dollar amount by which (1)(a) the Funds from Operations (before such payment)
of the Company per REIT Share (based on the weighted average number of REIT Shares outstanding), plus (b) gains (or losses)
from sales of property, plus (c) all internal and external acquisition-related expenses, plus (d) unconsummated
transaction expenses, plus (e) Other Non-Routine Items, in each case per REIT Share (based on the weighted average number of
REIT Shares outstanding), exceed (2) an amount equal to (a) the weighted average value per REIT Share of the equity invested
by Newcastle Investment Corp. in the assets of the Company (including total cash contributed to the Company) as of the
Distribution Date, and the prices per REIT Share at any subsequent offerings by the Company (adjusted for any prior capital
dividends or capital distributions) multiplied by (b) a simple interest rate of ten percent (10%) per annum multiplied by (B)
the weighted average number of REIT Shares outstanding during such period. The obligation of the Company to pay the Incentive
Compensation shall survive the expiration or earlier termination of this Agreement, subject to Section 16(b).

(f)         Commencing
from the Distribution Date, upon the successful completion of an offering of Common Shares by the Company, the Company shall
pay and issue to the Manager options (including cash-settled options) with respect to 10%
of the number of Common Shares sold in the offering with an exercise price equal to the price per Common Share, as the case
may be, paid by the public or other ultimate purchaser in the offering. For the avoidance of doubt, the distribution on
the Distribution Date shall not constitute an “offering” for purposes of this Section 8(f).

SECTION 9.     EXPENSES OF THE COMPANY.

The Company shall pay all of its expenses
and shall reimburse the Manager or (for the avoidance of doubt) its affiliates for documented expenses of the Manager or its affiliates
incurred on its behalf (collectively, the “Expenses”).
Expenses include all costs and expenses which are expressly designated elsewhere in this Agreement as the Company’s, together
with the following:

(a)         expenses in connection with the
issuance and transaction costs incident to the acquisitions, disposition and financing of Investments;

(b)         travel and other out-of-pocket expenses
incurred by managers, officers, employees and agents of the Manager or its affiliates in connection with the sourcing, underwriting,
purchase, financing, refinancing, sale or other disposition, or asset management of an Investment;

(c)         costs of legal, accounting, tax,
auditing, underwriting, asset management, sourcing, administrative and other services rendered for the Company by providers retained
by the Manager or its affiliates or, if provided by the Manager’s or any affiliate’s employees, consultants or agents,
in amounts which are no greater than those which would be payable to outside professionals or consultants engaged to perform such
services pursuant to agreements negotiated on an arm’s-length basis;

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(d)         the compensation and expenses of
the Independent Directors and the cost of liability insurance to indemnify the Company’s directors and officers;

(e)         compensation and expenses of the
Company’s custodian and transfer agent, if any;

(f)         costs associated with the establishment
and maintenance of any credit facilities and other indebtedness of the Company (including commitment fees, legal fees, closing
and other costs) or any securities offerings of the Company;

(g)         costs associated with any computer
software or hardware that is used for the Company;

(h)         costs and expenses incurred in contracting
with third parties, including affiliates of the Manager, in accordance with the terms of the Agreement;

(i)         all other costs and expenses relating
to the Company’s business and investment operations, including, without limitation, the costs and expenses of sourcing, underwriting,
acquiring, financing, owning, protecting, maintaining, developing, operating and disposing of Investments, including appraisal,
reporting, audit and legal fees;

(j)         all insurance costs incurred in
connection with the operation of the Company’s business except for the costs attributable to the insurance that the Manager
elects to carry for itself and its employees;

(k)         expenses relating to any office
or office facilities maintained for the Company or Investments separate from the office or offices of the Manager;

(l)         expenses connected with the payments
of interest, dividends or distributions in cash or any other form made or caused to be made by the Board of Directors to or on
account of the holders of securities of the Company or its Subsidiaries, including, without limitation, in connection with any
dividend reinvestment plan;

(m)         expenses connected with communications
to holders of securities of the Company or its Subsidiaries and other bookkeeping and clerical work necessary in maintaining relations
with holders of such securities and in complying with the continuous reporting and other requirements of governmental bodies or
agencies, including, without limitation, all costs of preparing and filing required reports with the Securities and Exchange Commission,
the costs payable by the Company to any transfer agent and registrar in connection with the listing and/or trading of the Company’s
stock on any exchange, the fees payable by the Company to any such exchange in connection with its listing, costs of preparing,
printing and mailing the Company’s annual report to its shareholders and proxy materials with respect to any meeting of the
shareholders of the Company; and

(n)         all other expenses actually incurred
by the Manager which are reasonably necessary for the performance by the Manager of its duties and functions under this Agreement.

    	11

    	 

    

Without regard to the amount of
compensation received under this Agreement by the Manager, the Manager shall bear the following expenses, except as expressly set
forth herein: (i) wages and salaries of the Manager’s officers and employees; (ii) rent attributable to the space
occupied by the Manager; and (iii) all other “overhead” expenses of the Manager.

SECTION 10.  CALCULATIONS OF EXPENSES.

The Manager shall prepare a statement documenting
the Expenses of the Company and the Expenses incurred by the Manager on behalf of the Company during each calendar month, and shall
deliver such statement to the Company in the ordinary course of periodic accounting. Expenses incurred by the Manager on behalf
of the Company shall be reimbursed monthly to the Manager on the later of (i) the first business day of the month immediately following
the date of delivery of such statement, and (ii) 10 business days after the date of delivery of such statement.

 

SECTION 11.    LIMITS OF MANAGER RESPONSIBILITY; INDEMNIFICATION.

(a)         The Manager assumes no responsibility
under this Agreement other than to render the services called for under this Agreement in good faith and shall not be responsible
for any action of the Board of Directors in following or declining to follow any advice or recommendations of the Manager, including
as set forth in Section 7(b) of this Agreement. The Manager, its members, managers, officers and employees will not be liable
to the Company or any Subsidiary, to the Board of Directors, or the Company’s or any Subsidiary’s stockholders or partners
for any acts or omissions by the Manager, its members, managers, officers or employees, pursuant to or in accordance with this
Agreement, except by reason of acts constituting bad faith, willful misconduct, gross negligence or reckless disregard of the Manager’s
duties under this Agreement. The Company shall, to the full extent lawful, reimburse, indemnify and hold the Manager, its members,
managers, officers and employees, sub-advisers and each other Person, if any, controlling the Manager (each, an “Indemnified
Party”), harmless of and from any and all expenses, losses,
damages, liabilities, demands, charges and claims of any nature whatsoever (including attorneys’ fees) in respect of or arising
from any acts or omissions of such Indemnified Party made in good faith in the performance of the Manager’s duties under
this Agreement and not constituting such Indemnified Party’s bad faith, willful misconduct, gross negligence or reckless
disregard of the Manager’s duties under this Agreement.

(b)         The Manager shall, to the full extent
lawful, reimburse, indemnify and hold the Company, its shareholders, directors, officers and employees and each other Person, if
any, controlling the Company (each, a “Company Indemnified
Party”), harmless of and from any and all expenses, losses,
damages, liabilities, demands, charges and claims of any nature whatsoever (including attorneys’ fees) in respect of or arising
from the Manager’s bad faith, willful misconduct, gross negligence or reckless disregard of its duties under this Agreement.

SECTION 12.    NO JOINT VENTURE.

Nothing in this Agreement shall be construed
to make the Company and the Manager partners or joint venturers or impose any liability as such on either of them.

    	12

    	 

    

SECTION 13.    TERM; TERMINATION.

(a)         Unless
terminated in accordance with Section 14 or Section 15, this Agreement shall be in effect until the date that is ten (10) years
after the date hereof (the “Original Term”). At the expiration of the Original Term and each Renewal Term (as
defined below), this Agreement shall be deemed renewed automatically each year for an additional one-year period (each, a “Renewal
Term”) unless (i) a majority consisting of at least two-thirds of the Independent Directors or a simple majority
of the holders of outstanding Common Shares, agree that there has been unsatisfactory performance that is materially detrimental
to the Company or (ii) a simple majority of the Independent Directors agree that the Management Fee payable to the Manager
is unfair; provided, that the Company shall not have the right to terminate this Agreement under clause (ii) foregoing if
the Manager agrees to continue to provide the services under this Agreement at a fee that a simple majority of Independent Directors
have reasonably determined to be fair. If the Company elects not to renew this Agreement at the expiration of the Original Term
or any Renewal Term, the Company shall deliver to the Manager prior written notice (the “Termination
Notice”) of the Company’s intention not to renew
this Agreement based upon the terms set forth in this Section 13(a) of this Agreement not less than 60 days prior to the
expiration of the then existing term. If the Company so elects not to renew this Agreement, the Company shall designate the date
(the “Effective Termination Date”),
not less than 60 days from the date of the notice, on which the Manager shall cease to provide services under this Agreement,
and this Agreement shall terminate on such date; provided, however, that in the event that such Termination Notice is given in
connection with a determination that the compensation payable to the Manager is unfair, the Manager shall have the right to renegotiate
the Management Fee by delivering to the Company, no fewer than forty-five (45) days prior to the prospective Effective Termination
Date, written notice (any such notice, a “Notice of Proposal
to Negotiate”) of its intention to renegotiate its compensation
under this Agreement. Thereupon, the Company and the Manager shall endeavor to negotiate in good faith the revised compensation
payable to the Manager under this Agreement. Provided that the Manager and the Company agree to a revised Management Fee (or other
compensation structure) within 45 days following the receipt of the Notice of Proposal to Negotiate, the Termination Notice shall
be deemed of no force and effect and this Agreement shall continue in full force and effect on the terms stated in this Agreement,
except that the Management Fee shall be the revised Management Fee (or other compensation structure) then agreed upon by the parties
to this Agreement. The Company and the Manager agree to execute and deliver an amendment to this Agreement setting forth such
revised Management Fee promptly upon reaching an agreement regarding same. In the event that the Company and the Manager are unable
to agree to a revised Management Fee during such 45 day period, this Agreement shall terminate, such termination to be effective
on the date which is the later of (A) ten (10) days following the end of such 45 day period and (B) the Effective
Termination Date originally set forth in the Termination Notice.

(b)         In the event that this Agreement
is terminated in accordance with the provisions of Section 13(a) of this Agreement, the Company shall pay to the Manager,
on the date on which such termination is effective, a termination fee (the “Termination
Fee”) equal to the amount of the Management Fee earned
by the Manager during the period consisting of the twelve (12) full, consecutive calendar months immediately preceding such
termination. The obligation of the Company to pay the Termination Fee shall survive the termination of this Agreement.

    	13

    	 

    

(c)         No later than sixty (60) days
prior to the expiration of the Original Term or any Renewal Term, the Manager may deliver written notice to the Company informing
it of the Manager’s intention not to renew the term, whereupon the term of this Agreement shall not be renewed and extended,
and this Agreement shall terminate effective on the expiration date of this Agreement next following the delivery of such notice.

(d)         If this Agreement is terminated
pursuant to this Section 13, such termination shall be without any further liability or obligation of either party to the
other, except as provided in Section 13(b) and Section 16 of this Agreement. In addition, Section 11 of this Agreement
shall survive termination of this Agreement.

 

SECTION 14.    ASSIGNMENT.

(a)         Except
as set forth in Section 14(b) of this Agreement, this Agreement shall terminate automatically in the event of its
assignment, in whole or in part, by the Manager, unless such assignment is consented to in writing by the Company with the
consent of a majority of the Independent Directors; provided, however, that no such consent shall be required in the case of
an assignment by the Manager to an entity whose business and operations are managed  or supervised by Mr. Wesley R.
Edens (the “Principal”).
Any such permitted assignment shall bind the assignee under this Agreement in the same manner as the Manager is bound, and
the Manager shall be liable to the Company for all errors or omissions of the assignee under any such assignment. In
addition, the assignee shall execute and deliver to the Company a counterpart of this Agreement naming such assignee as
Manager. This Agreement shall not be assigned by the Company without the prior written consent of the Manager, except in the
case of assignment by the Company to another REIT or other organization which is a successor (by merger, consolidation or
purchase of assets) to the Company, in which case such successor organization shall be bound under this Agreement and by the
terms of such assignment in the same manner as the Company is bound under this Agreement.

(b)         Notwithstanding any provision of
this Agreement, the Manager may subcontract and assign any or all of its responsibilities under Section 2 of this Agreement to
any of its affiliates in accordance with the terms of this Agreement, or if approved by the Board, applicable to any such subcontract
or assignment, and the Company hereby consents to any such assignment and subcontracting. In addition, provided that the Manager
provides prior written notice to the Company for informational purposes only, nothing contained in this Agreement shall preclude
any pledge, hypothecation or other transfer of any amounts payable to the Manager under this Agreement.

SECTION 15.    TERMINATION FOR CAUSE.

(a)         The
Company may terminate this Agreement effective upon sixty (60) days prior written notice of termination from the Company to
the Manager, without payment of any Termination Fee, if any act of fraud, misappropriation of funds, or embezzlement against the
Company or other willful violation of this Agreement by the Manager in its corporate capacity (as distinguished from the acts of
any employees of the Manager which are taken without the complicity of the Principal) under this Agreement or in the event of any
gross negligence on the part of the Manager in the performance of its duties under this Agreement.

    	14

    	 

    

(b)         The Manager may terminate this Agreement
effective upon sixty (60) days prior written notice of termination to the Company in the event that the Company shall default
in the performance or observance of any material term, condition or covenant contained in this Agreement and such default shall
continue for a period of 30 days after written notice thereof specifying such default and requesting that the same be remedied
in such 30 day period.

SECTION 16.    ACTION UPON TERMINATION.

(a)         From and after the effective date
of termination of this Agreement, pursuant to Sections 13, 14, or 15 of this Agreement, the Manager shall not be entitled to compensation
for further services under this Agreement, but shall be paid all compensation accruing to the date of termination and, if terminated
pursuant to Section 13 or Section 15(b), the applicable Termination Fee. Upon such termination, the Manager shall forthwith:

 (i)         after deducting any accrued compensation
and reimbursement for its expenses to which it is then entitled, pay over to the Company or a Subsidiary all money collected and
held for the account of the Company or a Subsidiary pursuant to this Agreement;

 (ii)        deliver to the Board of Directors
a full accounting, including a statement showing all payments collected by it and a statement of all money held by it, covering
the period following the date of the last accounting furnished to the Board of Directors with respect to the Company or a Subsidiary;
and

 (iii)    
  deliver to the Board of Directors all property and documents of the Company or any Subsidiary then in the custody
of the Manager.

(b)         In the event that this Agreement
is terminated, the Company shall have the option, to be exercised by written notice to the Manager within ten (10) days following
such termination, to purchase from the Manager the right of the Manager to receive the Incentive Compensation. In exchange therefor
the Company will be obligated to pay the Manager a cash purchase price (the “Cash
Price”) equal to the amount of the Incentive Compensation
that would be paid to the Manager if all of the Company’s assets were sold for cash at their then current fair market value
(taking into account, among other things, expected future performance of the underlying investments, the “Fair
Market Value”). In the event that the Company does not
elect to exercise such option to purchase the Incentive Compensation, the Manager shall have the right to require the Company to
do so at the Cash Price by delivering to the Company written notice within twenty (20) days following such termination. The
Fair Market Value shall be determined by independent appraisal to be conducted by a nationally recognized appraisal firm mutually
agreed upon by the Company and the Manager. If the Company and the Manager are unable to agree upon an appraisal firm, then each
of the Company and the Manager shall choose an independent appraisal firm to conduct an appraisal. In such event, (i) if the
appraisals prepared by the two appraisers so selected are the same or differ by an amount that does not exceed 20% of the higher
of the two appraisals, the Fair Market Value will be deemed to be the average of such appraisals, and (ii) if the two appraisals
differ by more than 20% of the higher of the two appraisals, the two appraisers together shall select a third nationally recognized
appraisal firm to conduct an appraisal. If the two appraisers are unable to agree as to the identity of such third appraiser, either
of the Manager and the Company may request that the American Arbitration Association (“AAA”)
select the third appraiser, which shall then be selected by the AAA. The Fair Market Value will then be deemed to be the amount
determined by such third appraiser, but in no event less than the lower or more than the higher of the first two appraisals made
under this Section 16(b).

    	15

    	 

    

SECTION 17.    RELEASE OF MONEY OR OTHER PROPERTY
UPON WRITTEN REQUEST.

The Manager agrees that any money or other
property of the Company or Subsidiary held by the Manager under this Agreement shall be held by the Manager as custodian for the
Company or Subsidiary, and the Manager’s records shall be appropriately marked clearly to reflect the ownership of such
money or other property by the Company or such Subsidiary. Upon the receipt by the Manager of a written request signed by a duly
authorized officer of the Company requesting the Manager to release to the Company or any Subsidiary any money or other property
then held by the Manager for the account of the Company or any Subsidiary under this Agreement, the Manager shall release such
money or other property to the Company or any Subsidiary within a reasonable period of time, but in no event later than sixty
(60) days following such request. The Manager shall not be liable to the Company, any Subsidiary, the Independent Directors,
or the Company’s or a Subsidiary’s stockholders or partners for any acts performed or omissions to act by the Company
or any Subsidiary in connection with the money or other property released to the Company or any Subsidiary in accordance with
the first sentence of this Section 17. The Company and any Subsidiary shall indemnify the Manager and its members, managers,
officers and employees against any and all expenses, losses, damages, liabilities, demands, charges and claims of any nature whatsoever,
which arise in connection with the Manager’s release of such money or other property to the Company or any Subsidiary in
accordance with the terms of this Section 17. Indemnification pursuant to this provision shall be in addition to any right
of the Manager to indemnification under Section 11 of this Agreement. 

 

SECTION 18.     NOTICES.

Unless expressly provided otherwise in
this Agreement, all notices, requests, demands and other communications required or permitted under this Agreement shall be in
writing and shall be deemed to have been duly given, made and received when delivered against receipt or upon actual receipt of
(i) personal delivery, (ii) delivery by reputable overnight courier, (iii) delivery by facsimile transmission or
email against answerback, (iv) delivery by registered or certified mail, postage prepaid, return receipt requested, addressed
as set forth below:

    	16

    	 

    

(a)       If to the Company:

New Senior Investment Group Inc.

c/o FIG LLC

1345 Avenue of the Americas

46th Floor

New York, New York 10105

Attention: Mr. Cameron D. MacDougall

(b)      If to the Manager:

FIG LLC

1345 Avenue of the Americas

46th Floor

New York, New York 10105

Attention: Mr. Randal A. Nardone

Either party may alter the address to which communications
or copies are to be sent by giving notice of such change of address in conformity with the provisions of this Section 18 for
the giving of notice.

SECTION 19.       BINDING NATURE OF AGREEMENT; SUCCESSORS
AND ASSIGNS.

This Agreement shall be binding upon and
inure to the benefit of the parties hereto and their respective heirs, personal representatives, successors and permitted assigns
as provided in this Agreement.

SECTION 20.       ENTIRE AGREEMENT.

This Agreement contains the entire agreement
and understanding among the parties hereto with respect to the subject matter of this Agreement, and supersedes all prior and contemporaneous
agreements, understandings, inducements and conditions, express or implied, oral or written, of any nature whatsoever with respect
to the subject matter of this Agreement. The express terms of this Agreement control and supersede any course of performance and/or
usage of the trade inconsistent with any of the terms of this Agreement. This Agreement may not be modified or amended other than
by an agreement in writing.

SECTION 21.       CONTROLLING
LAW.

This Agreement and all questions relating
to its validity, interpretation, performance and enforcement shall be governed by and construed, interpreted and enforced in accordance
with the laws of the State of New York, notwithstanding any New York or other conflict-of-law provisions to the contrary.

    	17

    	 

    

SECTION 22.       INDULGENCES, NOT WAIVERS.

Neither the failure nor any delay on the
part of a party to exercise any right, remedy, power or privilege under this Agreement shall operate as a waiver thereof, nor shall
any single or partial exercise of any right, remedy, power or privilege preclude any other or further exercise of the same or of
any other right, remedy, power or privilege, nor shall any waiver of any right, remedy, power or privilege with respect to any
occurrence be construed as a waiver of such right, remedy, power or privilege with respect to any other occurrence. No waiver shall
be effective unless it is in writing and is signed by the party asserted to have granted such waiver.

SECTION 23.       TITLES NOT TO AFFECT INTERPRETATION.

The titles of paragraphs and subparagraphs
contained in this Agreement are for convenience only, and they neither form a part of this Agreement nor are they to be used in
the construction or interpretation of this Agreement.

SECTION 24.       EXECUTION IN COUNTERPARTS.

This Agreement may be executed in any number
of counterparts, each of which shall be deemed to be an original as against any party whose signature appears thereon, and all
of which shall together constitute one and the same instrument. This Agreement shall become binding when one or more counterparts
of this Agreement, individually or taken together, shall bear the signatures of all of the parties reflected hereon as the signatories.

SECTION 25.       PROVISIONS SEPARABLE.

The provisions of this Agreement are independent
of and separable from each other, and no provision shall be affected or rendered invalid or unenforceable by virtue of the fact
that for any reason any other or others of them may be invalid or unenforceable in whole or in part.

SECTION 26.       GENDER.

Words used herein regardless of the number
and gender specifically used, shall be deemed and construed to include any other number, singular or plural, and any other gender,
masculine, feminine or neuter, as the context requires.

    	18

    	 

    

          IN
WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

	 	 	 	 
	 	COMPANY:
	 	 
	 	NEW SENIOR INVESTMENT GROUP INC.,
	 	a Delaware corporation
	 	 
	 	By:	 
	 	 	Name:	Cameron D. MacDougall
	 	 	Title:	Secretary
	 	 	 
	 	MANAGER:
	 	 
	 	FIG LLC,
	 	a Delaware limited liability company
	 	 
	 	By:	 
	 	 	Name: 	Daniel Bass
	 	 	Title:	Chief Financial Officer

    	19

    	 

    

 

SCHEDULE 1

 

INVESTMENT GUIDELINES OF NEW SENIOR INVESTMENT
GROUP INC.

 

1.           No
investment of New Senior Investment Group Inc. (the “Company”) shall be made which would cause the Company to
fail to qualify as a real estate investment trust under the Internal Revenue Code of 1986, as amended.

 

2.          No investment of the Company shall be made which would cause
the Company to be regulated as an investment company under the Investment Company Act of 1940, as amended.

    	20EXHIBIT 10.3

 

 

 

FORM OF NEW SENIOR INVESTMENT GROUP
INC.

NONQUALIFIED STOCK OPTION AND

INCENTIVE AWARD PLAN

 

 

 

 

 

Adopted as of [_______], 2014

 

    	 

    	 

    

 

TABLE OF CONTENTS

 

	 	PAGE
	SECTION 1 PURPOSE OF PLAN; DEFINITIONS	1
	1.1	Purpose	1
	1.2	Definitions	1
	SECTION 2 ADMINISTRATION	4
	2.1	Administration	4
	2.2	Duties and Powers of Committee	5
	2.3	Majority Rule	5
	2.4	Delegation of Authority	5
	2.5	Compensation; Professional Assistance; Good Faith Actions	5
	SECTION 3 STOCK SUBJECT TO PLAN	6
	3.1	Number of and Source of Shares	6
	3.2	Unrealized and Tandem Awards	6
	3.3	Adjustment of Awards	6
	SECTION 4 ELIGIBILITY	7
	SECTION 5 AWARDS	7
	5.1	Stock Options	7
	5.2	Stock Appreciation Rights	7
	5.3	Restricted Stock	8
	5.4	Performance Awards	8
	5.5	Manager Awards and Tandem Awards	9
	5.6	Automatic Non-Officer Director Awards	10
	5.7	Other Awards	11
	SECTION 6 AWARD AGREEMENTS	11
	6.1	Terms of Award Agreements	11
	SECTION 7 LOANS	13
	SECTION 8 AMENDMENT AND TERMINATION	13
	SECTION 9 UNFUNDED STATUS OF PLAN	14
	SECTION 10 GENERAL PROVISIONS	14
	10.1	Securities Laws Compliance	14
	

 

    	i

    	 

    

 

	10.2	Representation	14
	10.3	Transfer Restrictions	14
	10.4	Company Actions; No Right to Employment	14
	10.5	Section 409A of the Code	14
	10.6	Payment of Taxes	15
	10.7	Governing Law	15
	SECTION 11 EFFECTIVE DATE OF PLAN	15
	SECTION 12 TERM OF PLAN	15

    	ii

    	 

    

 

NEW SENIOR INVESTMENT GROUP INC.

NONQUALIFIED STOCK OPTION AND INCENTIVE AWARD PLAN

 

SECTION
1

PURPOSE OF PLAN; DEFINITIONS

 

1.1             
Purpose. The purpose of the Plan is (a) to reinforce the long-term commitment to the Company's success of those Non-Officer
Directors, officers, directors, employees, advisors, service providers, consultants and other personnel who are or will be responsible
for such success; to facilitate the ownership of the Company's stock by such individuals, thereby reinforcing the identity of their
interests with those of the Company's stockholders; to assist the Company in attracting and retaining individuals with experience
and ability, (b) to compensate the Manager for its successful efforts in raising capital for the Company and to provide performance-based
compensation in order to provide incentive to the Manager to enhance the value of the Company's Stock and (c) to benefit the Company's
stockholders by encouraging high levels of performance by individuals whose performance is a key element in achieving the Company's
continued success.

 

1.2             
Definitions. For purposes of the Plan, the following terms shall be defined as set forth below:

 

(a)               
"Award" or "Awards"
means an award described in Section 5 hereof.

 

(b)              
"Award Agreement" means an agreement described in Section 6 hereof
entered into between the Company and a Participant, setting forth the terms, conditions and any limitations applicable to the Award
granted to the Participant.

 

(c)               
"Beneficial Owner" shall have the meaning set forth in Rule 13d-3
under the Exchange Act.

 

(d)              
"Board" means the Board of Directors of the Company.

 

(e)               
"Change in Control" of the Company shall be deemed to have occurred
if an event set forth in any one of the following paragraphs (i)-(iii) shall have occurred unless prior to the occurrence of such
event, the Board determines that such event shall not constitute a Change in Control:

 

		(i)	any Person is or becomes a Beneficial Owner, directly or indirectly, of securities of the Company
representing thirty percent (30%) or more of the combined voting power of the then outstanding securities of the Company, excluding
(A) any Person who becomes such a Beneficial Owner in connection with a transaction described in clause (x) of paragraph (ii) below,
and (B) any Person who becomes such a Beneficial Owner through the issuance of such securities with respect to purchases made directly
from the Company; or

 

    	 

    	 

    

 

		(ii)	there is consummated a merger or consolidation of the Company or any direct or indirect subsidiary
of the Company with any other corporation, other than (x) a merger or consolidation which would result in the voting securities
of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding
or by being converted into voting securities of the surviving entity or any parent thereof) fifty percent (50%) or more of the
combined voting power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately after
such merger or consolidation, or (y) a merger or consolidation effected to implement a recapitalization of the Company (or similar
transaction) in which no Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company representing
thirty percent (30%) or more of the combined voting power of the then outstanding securities of the Company; or

 

		(iii)	the stockholders of the Company approve a plan of complete liquidation or dissolution of the Company
or there is consummated an agreement for the sale or disposition by the Company of all or substantially all of the assets of the
Company.

 

For each Award that constitutes deferred compensation under
Section 409A of the Code, to the extent required to avoid additional tax or other penalty, a Change in Control shall be deemed
to have occurred under the Plan with respect to such Award only if a change in the ownership or effective control of the Company
or a change in ownership of a substantial portion of the assets of the Company shall also be deemed to have occurred under Section
409A of the Code.

 

(f)               
"Code" means the Internal Revenue Code of 1986, as amended from
time to time, or any successor statute thereto.

 

(g)              
"Commission" means the Securities and Exchange Commission.

 

(h)              
"Committee" means any committee the Board may appoint to administer
the Plan. To the extent necessary and desirable, the Committee shall be composed entirely of individuals who meet the qualifications
referred to in Section 162(m) of the Code and Rule 16b-3 under the Exchange Act. If at any time or to any extent the Board shall
not administer the Plan, then the functions of the Board specified in the Plan shall be exercised by the Committee.

 

    	2

    	 

    

 

(i)                
"Company" means New Senior Investment Group Inc., a Delaware corporation.

 

(j)                
"Disability" means, with respect to any Participant, that such
Participant (i) as determined by the Participant's employer or service recipient (such determination to be approved by the Committee)
is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which
can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, or (ii)
is, by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected
to last for a continuous period of not less than twelve (12) months, receiving income replacement benefits for a period of not
less than three (3) months under an accident and health plan covering such Participant.

 

(k)              
"Effective Date" means the date provided pursuant to Section 11.

 

(l)                
"Exchange Act" means the Securities Exchange Act of 1934, as amended.

 

(m)              
"Fair Market Value" means, as of any given date, (i) the closing
price of a share of the Company's Stock on the principal exchange on which shares of the Company's Stock are then trading, if any,
on the trading day previous to such date, or, if stock was not traded on the trading day previous to such date, then on the next
preceding trading day during which a sale occurred; or (ii) if such Stock is not traded on an exchange but is quoted on NASDAQ
or a successor quotation system, (x) the last sales price (if the Stock is then listed as a National Market Issue under the NASDAQ
National Market System) or (y) the mean between the closing representative bid and asked prices (in all other cases) for the Stock
on the trading day previous to such date as reported by NASDAQ or such successor quotation system; or (iii) if such Stock is not
publicly traded on an exchange and not quoted on NASDAQ or a successor quotation system, the mean between the closing bid and asked
prices for the Stock, on the day previous to such date, as determined in good faith by the Committee; or (iv) if the Stock is not
publicly traded, the fair market value established by the Committee using any reasonable method and acting in good faith.

 

(n)              
"Manager" means FIG LLC, a Delaware limited liability company,
or any affiliate of FIG LLC who shall succeed as manager under that certain Management and Advisory Agreement, dated as of [__________],
2014, by and among the Company and FIG LLC as amended from time to time.

 

(o)              
"Manager Awards" means the Awards granted to the Manager as described
in Section 5.5 hereof.

 

(p)              
"Non-Officer Director" means a director of the Company who is
not an officer or employee of the Company.

 

(q)              
"Non-Officer Director Stock Option" shall have the meaning set
forth in Section 5.6(a).

 

    	3

    	 

    

 

(r)                
"Participant" means any Person selected by the Committee, pursuant
to the Committee's authority in Section 2 below, to receive Awards, including but not limited to (i) any Non-Officer Director,
(ii) the Manager and its affiliates and (iii) any director, officer or employee of the Company, any parent, affiliate or subsidiary
of the Company, or the Manager or any of its affiliates and (iv) any consultant, service provider or advisor to the Company, any
parent, affiliate or subsidiary of the Company, or the Manager or any of its affiliates.

 

(s)               
"Person" shall have the meaning set forth in Section 3(a)(9) of
the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof.

 

(t)                
"Plan" means this New Senior Investment Group Inc. Nonqualified
Stock Option and Incentive Award Plan.

 

(u)              
"Restricted Stock" means Stock as described in Section 5.3 hereof.

 

(v)              
"Securities Act" shall have the meaning set forth in Section 5.5(h).

 

(w)            
"Stock" means the common stock, par value $0.01 per share, of
the Company.

 

(x)              
"Stock Appreciation Right" shall have the meaning set forth in
Section 5.2 hereof.

 

(y)              
"Stock Option" shall have the meaning set forth in Section 5.1
hereof. The Stock Options granted hereunder are not intended to qualify as "incentive stock options" within the meaning
of Section 422 of the Code.

 

(z)               
"Tandem Awards" shall have the meaning set forth in Section 5.5
herein.

 

SECTION
2

ADMINISTRATION

 

2.1             
Administration. The Plan shall be administered in accordance with the requirements of Section 162(m) of the Code
(but only to the extent necessary and desirable to maintain qualification of Awards under the Plan under Section 162(m) of the
Code) and, to the extent applicable, Rule 16b-3 under the Exchange Act ("Rule 16b-3"),
by the Board or, at the Board's sole discretion, by the Committee, which shall be appointed by the Board, and which shall serve
at the pleasure of the Board. The Plan is intended to be exempt from, or to comply with, and shall be administered in a manner
that is intended to be exempt from, or comply with, Section 409A of the Code and shall be construed and interpreted in accordance
with such intent, to the extent subject thereto. To the extent that an Award and/or issuance and/or payment of an Award is subject
to Section 409A of the Code, it shall be awarded and/or issued or paid in a manner that will comply with Section 409A of the Code,
including any applicable regulations or guidance issued by the Secretary of the United States Treasury Department and the Internal
Revenue Service with respect thereto.

 

    	4

    	 

    

 

2.2             
Duties and Powers of Committee. The Committee shall have the power and authority to grant Awards to Participants
pursuant to the terms of the Plan, and, in its discretion, to adopt, alter and repeal such administrative rules, guidelines and
practices governing the Plan as it shall from time to time deem advisable; to interpret the terms and provisions of the Plan and
any Award issued under the Plan (and any agreements relating thereto); and to otherwise supervise the administration of the Plan.
All decisions made by the Committee pursuant to the provisions of the Plan shall be final, conclusive and binding on all Persons.

 

In particular, the Committee shall have the
authority to determine, in a manner consistent with the terms of the Plan:

 

(a)               
in addition to the Manager and the Non-Officer Directors, those Participants who shall receive Awards under the Plan;

 

(b)              
subject to Section 3, the number of shares of Stock to be covered by each Stock Option granted hereunder;

 

(c)               
the terms and conditions of any Award granted hereunder, including, subject to the requirements of Section 409A, the waiver
or modification of any such terms or conditions, consistent with the provisions of the Plan (including, but not limited to, Section
8 of the Plan); and

 

(d)              
the terms and conditions which shall govern all the Award Agreements, including the waiver or modification of any such terms
or conditions.

 

2.3             
Majority Rule. The Committee shall act by a majority of its members in attendance at a meeting at which a quorum
is present or by a memorandum or other written instrument signed by all members of the Committee.

 

2.4             
Delegation of Authority. To the extent permitted by applicable law, the Committee or the Board may from time to time
delegate to one or more Persons the authority to take administrative actions pursuant to this Section 2. Any delegation hereunder
shall be subject to the restrictions and limitations that the Committee specifies at the time of such delegation, and the Committee
may at any time rescind the authority so delegated or appoint a new delegatee.

 

2.5             
Compensation; Professional Assistance; Good Faith Actions. Members of the Committee may receive such compensation
for their services as members as may be determined by the Board. All expenses and liabilities that members of the Committee or
Board may incur in connection with the administration of this Plan shall be borne by the Company. The Committee may, with the approval
of the Board, employ attorneys, consultants, accountants, appraisers, brokers or other Persons. The Committee, the Board, the Company
and any officers and directors of the Company shall be entitled to rely upon the advice, opinions or valuations of any such Persons.
All actions taken and all interpretations and determinations made by the Committee or Board in good faith shall be final and binding
upon all Participants, the Company and all other interested Persons. No member of the Committee or Board shall be personally liable
for any action, determination or interpretation made in good faith with respect to this Plan or any Award, and all members of the
Committee and Board shall be fully protected and indemnified to the fullest extent permitted by law, by the Company, in respect
of any such action, determination or interpretation.

 

    	5

    	 

    

 

SECTION
3

STOCK SUBJECT TO PLAN

 

3.1             
Number of and Source of Shares. The maximum number of shares of Stock reserved and available for issuance under the
Plan shall be 30,000,000, as increased on the date of any equity issuance by the Company during the term of the Plan by a number
of shares of Stock equal to ten percent (10%) of the total number of equity securities issued by the Company in such equity issuance.
The Stock which may be issued pursuant to an Award under the Plan may be treasury Stock, authorized but unissued Stock, or Stock
acquired, subsequently or in anticipation of the transaction, in the open market to satisfy the requirements of the Plan. Awards
may consist of any combination of such Stock, or, at the election of the Company, cash. The aggregate number of shares of Stock
as to which Awards may be granted during any calendar year to any Participant who is a "covered employee" for purposes
of Section 162(m) of the Code during such calendar year may not be greater than the number of shares initially reserved for issuance
pursuant to this Section 3.1.

 

3.2             
Unrealized and Tandem Awards. If any shares of Stock subject to an Award are forfeited, cancelled, exchanged or surrendered
or if an Award otherwise terminates or expires without a distribution of shares to the Participant, the shares of Stock with respect
to such Award shall, to the extent of any such forfeiture, cancellation, exchange, surrender, termination or expiration, again
be available for grants under the Plan. The grant of a Tandem Award (as defined herein) shall not reduce the number of shares of
Stock reserved and available for issuance under the Plan. The Company reserves the right to cancel any Stock Option which has a
per-share exercise price that is equal to or greater than the Fair Market Value of an underlying share of Stock as of the date
of such cancellation, and any shares of Stock which were subject to such cancelled Stock Option shall again be available for the
issuance of Stock Options, including issuance to the Person that held the cancelled Stock Option, irrespective of whether such
issuance would be deemed a repricing of such Stock Option.

 

3.3             
Adjustment of Awards. Upon the occurrence of any event which affects the shares of Stock in such a way that an adjustment
of outstanding Awards is appropriate in order to prevent the dilution or enlargement of rights under the Awards (including, without
limitation, any extraordinary dividend or other distribution (whether in cash or in kind), recapitalization, stock split, reverse
split, reorganization, merger, consolidation, spin-off, combination, repurchase, or share exchange, or other similar corporate
transaction or event), the Committee shall make appropriate equitable adjustments, which may include, without limitation, adjustments
to any or all of the number and kind of shares of Stock (or other securities) which may thereafter be issued in connection with
such outstanding Awards and adjustments to any exercise price specified in the outstanding Awards and shall also make appropriate
equitable adjustments to the number and kind of shares of Stock (or other securities) authorized by or to be granted under the
Plan. Such other substitutions or adjustments shall be made respecting Awards hereunder as may be determined by the Committee,
in its sole discretion. In connection with any event described in this paragraph, the Committee may provide, in its discretion,
for the cancellation of any outstanding Award and payment in cash or other property in exchange therefor, equal to the difference,
if any, between the fair market value of the Stock or other property subject to the Award, and the exercise price, if any.

 

    	6

    	 

    

 

SECTION
4

ELIGIBILITY

 

Each Participant shall be eligible to receive
Awards under the Plan. Additional Participants under the Plan may be selected from time to time by the Committee, in its sole discretion,
and the Committee shall determine, in its sole discretion, the number of shares covered by each Award.

 

SECTION
5

AWARDS

 

Awards may include, but are not limited to,
those described in this Section 5. The Committee may grant Awards singly, in tandem or in combination with other Awards, as the
Committee may in its sole discretion determine.

 

5.1             
Stock Options. Except as provided in any Award Agreement, a Stock Option represents the right to receive an amount
in cash equal to the excess of the Fair Market Value of a share of Stock on the date of exercise over the per share exercise price
of such Stock Option, less any applicable tax withholdings. The Award Agreement may provide for the settlement of a Stock Option
in shares of Stock, subject to the terms and conditions set forth in the Award Agreement.

 

(a)               
A Stock Option may be exercised, in whole or in part, by giving written notice of exercise to the Company, specifying the
number of shares of Stock with respect to which the Stock Option is being exercised.

 

(b)              
If settled in shares of Stock, the exercise price of the Stock Option may be paid in cash or its equivalent, as determined
by the Committee. As determined by the Committee, in its sole discretion, or as otherwise set forth in Sections 5.5(b) and 5.5(c)
below, payment in whole or in part may also be made (i) by withholding from shares of Stock otherwise issuable upon exercise of
such Stock Option, (ii) in the form of unrestricted Stock already owned by the Participant which has a Fair Market Value on the
date of surrender equal to the aggregate option price of the Stock as to which such Stock Option shall be exercised or (iii) by
means of any other cashless exercise procedure approved by the Committee. No fractional shares of Stock will be issued or accepted.

 

5.2             
Stock Appreciation Rights. A Stock Appreciation Right is a right to receive, upon surrender of the right, an amount
payable in cash and/or shares of Stock under such terms and conditions as the Committee shall determine.

 

(a)               
A Stock Appreciation Right may be granted in tandem with part or all of (or in addition to, or completely independent of)
a Stock Option or any other Award under this Plan. A Stock Appreciation Right issued in tandem with a Stock Option may be granted
at the time of grant of the related Stock Option or at any time thereafter during the term of the Stock Option.

 

    	7

    	 

    

 

(b)              
The amount payable in cash and/or shares of Stock with respect to each right shall be equal in value to a percentage (including
up to 100%) of the amount by which the Fair Market Value per share of Stock on the exercise date exceeds the Fair Market Value
per share of Stock on the date of grant of the Stock Appreciation Right. The applicable percentage shall be established by the
Committee. The Award Agreement may state whether the amount payable is to be paid wholly in cash, wholly in shares of Stock, or
in any combination of the foregoing; if the Award Agreement does not so state the manner of payment, the Committee shall determine
such manner of payment at the time of payment. The amount payable in shares of Stock, if any, is determined with reference to the
Fair Market Value per share of Stock on the date of exercise.

 

(c)               
Stock Appreciation Rights issued in tandem with Stock Options shall be exercisable only to the extent that the Stock Options
to which they relate are exercisable. Upon exercise of the tandem Stock Appreciation Right, and to the extent of such exercise,
the Participant's underlying Stock Option shall automatically terminate. Similarly, upon the exercise of the tandem Stock Option,
and to the extent of such exercise, the Participant's related Stock Appreciation Right shall automatically terminate.

 

5.3             
Restricted Stock. Restricted Stock is Stock that is issued to a Participant and is subject to such terms, conditions
and restrictions as the Committee deems appropriate, which may include, but are not limited to, restrictions upon the sale, assignment,
transfer or other disposition of the Restricted Stock and the requirement of forfeiture of the Restricted Stock upon termination
of employment or service under certain specified conditions. The Committee may provide for the lapse of any such term or condition
or waive any term or condition based on such factors or criteria as the Committee may determine. Subject to the restrictions stated
in this Section 5.3 and in the applicable Award Agreement, the Participant shall have, with respect to Awards of Restricted Stock,
all of the rights of a stockholder of the Company, including the right to vote the Restricted Stock and the right to receive any
cash or stock dividends on such Stock. The Company may require that, as a condition of any award of Restricted Stock, the Participant
shall have delivered a stock power, endorsed in blank, relating to the Stock covered by such award.

 

5.4             
Performance Awards. Performance Awards may be granted under this Plan from time to time based on such terms and conditions
as the Committee deems appropriate provided that such Awards shall not be inconsistent with the terms and purposes of this Plan.
Performance Awards are Awards which are contingent upon the performance of all or a portion of the Company and/or its subsidiaries
and/or which are contingent upon the individual performance of a Participant. Performance Awards may be in the form of performance
units, performance shares and such other forms of Performance Awards as the Committee shall determine. The Committee shall determine
the performance measurements and criteria for such Performance Awards. The Company may require that, as a condition of any award
of Performance Awards, the Participant shall have delivered a stock power, endorsed in blank, relating to the Stock covered by
such award.

 

    	8

    	 

    

 

5.5             
Manager Awards and Tandem Awards.

 

(a)               
Grant of Manager Awards. As consideration for the Manager's role in raising capital for the Company, the Manager
may be awarded Stock Options in connection with any equity issuance by the Company, relating to that number of shares of Stock
up to ten percent (10%) of the equity securities issued by the Company in such equity issuance, subject to the proviso contained
in Section 5.5(f) below (the "Manager Awards").

 

(b)              
Terms of Manager Awards. The Stock Options referred to in clause (a) above shall be 100% vested as of the date of
grant and become exercisable as to 1/30th of the Stock subject to the Stock Options on the first day of each of the following 30
calendar months following the date of grant. Such Stock Options shall expire on the tenth anniversary of the date of grant. Such
Stock Options shall have a per share price equal to the offering price of the equity issuance in connection with which such Stock
Options are awarded (as determined by the Committee), subject to adjustment as set forth in Section 3.3 hereof. If settled in shares
of Stock, the exercise price of such Stock Options may be paid in cash or its equivalent, as determined by the Committee. Payment
in whole or in part may also be made by the following cashless exercise procedures: (i) by withholding from shares of Stock otherwise
issuable upon exercise of such Stock Option, (ii) in the form of unrestricted Stock already owned by the Manager which has a Fair
Market Value on the date of surrender equal to the aggregate option price of the Stock as to which such Stock Option shall be exercised
or (iii) by means of any other cashless exercise procedure approved by the Committee. No fractional shares of Stock will be issued
or accepted. The Award Agreement with respect to such Stock Options shall also set forth the vesting and exercise schedule of such
Stock Options and such other terms and conditions with respect to such Stock Options and the delivery of shares of Company Stock
subject to such Stock Options as the Committee may determine.

 

(c)               
Each of the Committee and/or the Manager shall have the authority to direct awards of Stock Options to such employees of
the Manager who act as officers of or perform other services for the Company, which options shall be tandem to the Stock Options
that are the subject of outstanding Manager Awards designated by the Manager—i.e., Stock Options that are subject
to certain designated Manager Awards would alternatively relate to Stock Options that are the subject of the tandem awards granted
to Persons who perform services for or on behalf of the Company, provided that such Stock Options may relate to either the designated
Manager Awards or the tandem awards but not both (the "Tandem Awards").
As determined by the Manager, in its sole discretion, if a Tandem Award is settled in shares of Stock, payment of the exercise
price of such Tandem Award in whole or in part may be made by the following cashless exercise procedures: (i) by withholding from
shares of Stock otherwise issuable upon exercise of such Tandem Award, (ii) in the form of unrestricted Stock already owned by
the holder of such Tandem Award which has a Fair Market Value on the date of surrender equal to the aggregate option price of the
Stock as to which such Tandem Award shall be exercised or (iii) by means of any other cashless exercise procedure approved by the
Committee.

 

(d)              
As a condition to the grant of Tandem Awards, the Manager shall be required to agree that so long as such Tandem Awards
remain outstanding, it will not exercise any Stock Options under any designated Manager Award that are related to the options under
such outstanding Tandem Awards. If Stock Options under a Tandem Award are forfeited, expire or are cancelled without being exercised,
the related Stock Options under the designated Manager Award shall again become exercisable in accordance with its terms. Upon
the exercise of Stock Options under a Tandem Award, the related Stock Options under the designated Manager Award shall terminate.

 

    	9

    	 

    

 

(e)               
The terms and conditions of each such Tandem Awards (e.g., the per share exercise price, the schedule of vesting,
exercisability and form of settlement, etc.) shall be determined by the Committee or the Manager, as the case may be, in its sole
discretion and shall be included in an Award Agreement, provided, that the term of such award may not be greater than the
term of its related Manager Award.

 

(f)               
Other Awards. The Committee may, from time to time, grant such Awards to the Manager as the Committee deems advisable
in order to provide additional incentive to the Manager to enhance the value of the Company's Stock; provided, however,
that no Award shall be awarded to the Manager (or its designee) in connection with any equity issuance by the Company which relates
to, or provides for the acquisition of, a number of equity securities in excess of ten percent (10%) of the maximum number of equity
securities then being proposed to be issued by the Company.

 

(g)              
Change in Control and Termination Provisions. Notwithstanding anything herein, unless otherwise provided in any Award
Agreement to the contrary, upon a Change in Control or a termination of the Manager's services to the Company for any reason, all
Awards granted to the Manager pursuant to this Plan shall become immediately and fully exercisable, and all Tandem Awards shall
be governed by the terms and conditions of the applicable Award Agreements.

 

(h)              
Registration Rights Agreement. The Company shall, upon the Manager's reasonable request, (i) use commercially reasonable
efforts to register under the Securities Act of 1933, as amended (the "Securities Act") the securities that may
be issued and sold under the Plan or the resale of such securities issued and sold pursuant to the Plan or (ii) enter into a registration
rights agreement with the Manager on terms to be mutually agreed upon between the parties.

 

5.6             
Automatic Non-Officer Director Awards.

 

(a)               
Initial Grant of Non-Officer Director Stock Options. Each Non-Officer Director shall be granted a Stock Option, which
shall be fully vested as of the date of the grant, relating to 5,000 shares of Stock (each, a "Non-Officer
Director Stock Option"), upon the date of the first Board of Director's meeting attended by such Non-Officer Director.
The option price per share of Stock under the Non-Officer Director Stock Option shall be one hundred percent (100%) of the Fair
Market Value of the Stock on the date of grant.

 

(b)              
Stock Availability. In the event that the number of shares of Stock available for grant under the Plan is not sufficient
to accommodate the Awards of Non-Officer Director Stock Options, then the remaining shares of Stock available for such automatic
awards shall be granted to each Non-Officer Director who is to receive such an award on a pro-rata basis. No further grants shall
be made until such time, if any, as additional shares of Stock become available for grant under the Plan through action of the
Board or the stockholders of the Company to increase the number of shares of Stock that may be issued under the Plan or through
cancellation or expiration of Awards previously granted hereunder.

 

    	10

    	 

    

 

(c)               
Term; Method of Exercise of Non-Officer Director Stock Option. Each Non-Officer Director Stock Option shall cease
to be exercisable no later than the date that is ten (10) years following the date of grant. If settled in shares of Stock, the
exercise price of such Stock Options may be paid in cash or its equivalent, as determined by the Committee. As determined by the
Committee, in its sole discretion, payment in whole or in part may also be made (i) by means of any cashless exercise procedure
approved by the Committee (including the withholding of shares of Stock otherwise issuable on exercise), or (ii) in the form of
unrestricted Stock already owned by the Non-Officer Director which has a Fair Market Value on the date of surrender equal to the
aggregate option price of the Stock as to which such Stock Option shall be exercised. No fractional shares of Stock will be issued
or accepted.

 

(d)              
Award Agreements. Each recipient of a Non-Officer Director Stock Option shall enter into an Award Agreement with
the Company, which agreement shall set forth, among other things, the exercise price, the term and provisions regarding exercisability
and form of settlement of the Non-Officer Director Stock Option, which provisions shall not be inconsistent with the terms of this
Section 5.6 and Section 6.1. The Award Agreement with respect to such Non-Officer Director Stock Option shall also set forth such
other terms and conditions with respect to Awards to the Non-Officer Director as the Committee may determine.

 

5.7             
Other Awards.

 

The Committee may from time to time grant
to its Non-Officer Directors or any other Participants shares of Stock, other Stock-based and non-Stock-based Awards under the
Plan, including without limitation those Awards pursuant to which shares of Stock are or may in the future be acquired, Awards
denominated in Stock, securities convertible into Stock, phantom securities, dividend equivalents and cash. The Committee shall
determine the terms and conditions of such other Stock, Stock-based and non-Stock-based Awards provided that such Awards shall
not be inconsistent with the terms and purposes of this Plan.

 

SECTION
6

AWARD AGREEMENTS

 

Each Award under this Plan shall be evidenced
by an Award Agreement setting forth the number of shares of Stock or other securities, and such other terms and conditions applicable
to the Award (and not inconsistent with this Plan) as are determined by the Committee.

 

6.1             
Terms of Award Agreements. Award Agreements may include the following terms:

 

(a)               
Term. The term of each Award (as determined by the Committee); provided that, no Award shall be exercisable
more than ten years after the date such Award is granted.

 

    	11

    	 

    

 

(b)              
Exercise Price. The exercise price per share of Stock purchasable under an Award (as determined by the Committee
in its sole discretion at the time of grant); provided that, the exercise price shall not be less than the par value of
the Stock provided, further, that Awards intended to qualify as "performance-based compensation" within
the meaning of Section 162(m) of the Code, or exempt from application of Section 409A of the Code under Section 1.409A-1(b)(5)(A),
shall not be less than one hundred percent (100%) of the Fair Market Value of the Stock on such date.

 

(c)               
Exercisability. Provisions regarding the exercisability of Awards (which shall be exercisable at such time or times
and subject to such terms and conditions as shall be determined by the Committee at or after grant).

 

(d)              
Method of Exercise. Provisions describing the method of exercising Awards.

 

(e)               
Delivery. Provisions regarding the timing of the delivery of Stock subject to Awards. The Award Agreements may provide
that such delivery will be delayed to the extent required to avoid the imposition of a tax under Section 409A of the Code.

 

(f)               
Termination of Employment or Service. Provisions describing the treatment of an Award in the event of Disability,
death or other termination of a Participant's employment or service with the Company, including but not limited to, terms relating
to the vesting, time for exercise, forfeiture and cancellation of an Award in such circumstances.

 

(g)              
Rights as Stockholder. A provision that a Participant shall have no rights as a stockholder with respect to any securities
covered by an Award until the date the Participant becomes the holder of record. Except as provided in Section 3.3 hereof, no adjustment
shall be made for dividends or other rights, unless the Award Agreement specifically requires such adjustment, in which case, grants
of dividend equivalents or similar rights shall not be considered to be a grant of any other stockholder right.

 

(h)              
Nontransferability. A provision that except under the laws of descent and distribution or as otherwise permitted
by the Committee, in its sole discretion, or, in respect of Manager Awards, grants of Tandem Awards, the Participant shall not
be permitted to sell, transfer, pledge or assign any Award, and all Awards shall be exercisable, during the Participant's lifetime,
only by the Participant; provided, however, that the Participant shall be permitted to transfer one or more Stock
Options to a trust controlled by the Participant during the Participant's lifetime for estate planning purposes.

 

(i)                
Other Terms. Such other terms as are necessary and appropriate to effectuate an Award to the Participant, including
but not limited to, (1) vesting provisions, (2) deferral elections, (3) any requirements for continued employment or service with
the Company, (4) any requirement to execute a general release of claims in a form acceptable to the Company prior to the lapse
of any restrictions or conditions on such Award or such Award becoming exercisable, (5) any other restrictions or conditions (including
performance requirements) on the Award and the method by which restrictions or conditions lapse, (6) effect on the Award of a Change
in Control, (7) the right of the Company and such other Persons as the Committee shall designate ("Designees")
to repurchase from a Participant, and such Participant's permitted transferees, all shares of Stock issued or issuable to such
Participant in connection with an Award in the event of such Participant's termination of employment or service, (8) rights of
first refusal granted to the Company and Designees, if any, (9) holdback and other registration right restrictions in the event
of a public registration of any equity securities of the Company and (10) any other terms and conditions which the Committee shall
deem necessary and desirable.

 

    	12

    	 

    

 

SECTION
7

LOANS

 

To the extent permitted by applicable law,
including the Sarbanes-Oxley Act of 2002, the Company or any parent or subsidiary of the Company may make loans available to Stock
Option holders in connection with the exercise of outstanding Stock Options that are settled in shares of Stock, as the Committee,
in its discretion, may determine. Such loans shall (i) be evidenced by promissory notes entered into by the Stock Option holders
in favor of the Company or any parent or subsidiary of the Company, (ii) be subject to the terms and conditions set forth in this
Section 7 and such other terms and conditions, not inconsistent with the Plan, as the Committee shall determine, (iii) bear interest,
if any, at such rate as the Committee shall determine, and (iv) be subject to Board approval (or to approval by the Committee to
the extent the Board may delegate such authority). In no event may the principal amount of any such loan exceed the sum of (x)
the exercise price less the par value of the shares of Stock covered by the Stock Option, or portion thereof, exercised by the
holder, and (y) any federal, state, and local income tax attributable to such exercise. The initial term of the loan, the schedule
of payments of principal and interest under the loan, the extent to which the loan is to be with or without recourse against the
holder with respect to principal or interest and the conditions upon which the loan will become payable in the event of the holder's
termination of employment or service shall be determined by the Committee. Unless the Committee determines otherwise, when a loan
is made, shares of Stock having a Fair Market Value at least equal to the principal amount of the loan shall be pledged by the
holder to the Company as security for payment of the unpaid balance of the loan, and such pledge shall be evidenced by a pledge
agreement, the terms of which shall be determined by the Committee, in its discretion; provided that, each loan shall comply
with all applicable laws, and all regulations and rules of the Board of Governors of the Federal Reserve System and of the U.S.
Securities and Exchange Commission and any other governmental agency having jurisdiction.

 

SECTION
8

AMENDMENT AND TERMINATION

 

The Board may at any time and from time-to-time
alter, amend, suspend, or terminate the Plan in whole or in part; provided that, no amendment which requires stockholder
approval in order for the Plan to comply with a rule or regulation deemed applicable by the Committee, shall be effective unless
the same shall be approved by the requisite vote of the stockholders of the Company entitled to vote thereon. Notwithstanding the
foregoing, no amendment shall affect adversely any of the rights of any Participant, without such Participant's consent, under
any Award or Loan theretofore granted under the Plan.

 

    	13

    	 

    

 

SECTION
9

UNFUNDED STATUS OF PLAN

 

The Plan is intended to constitute an "unfunded"
plan for incentive compensation. With respect to any payments not yet made to a Participant by the Company, nothing contained herein
shall give any such Participant any rights that are greater than those of a general creditor of the Company.

 

SECTION
10

GENERAL PROVISIONS

 

10.1         
Securities Laws Compliance. Shares of Stock shall not be issued pursuant to the exercise of any Award granted hereunder
unless the exercise of such Award and the issuance and delivery of such shares of Stock pursuant thereto shall comply with all
relevant provisions of law, including, without limitation, the Securities Act, the Exchange Act and the requirements of any stock
exchange upon which the Stock may then be listed, and shall be further subject to the approval of counsel for the Company with
respect to such compliance.

 

10.2         
Representation. If a Stock Option is settled in shares of Stock, the Committee may require each Person purchasing
shares pursuant to such Stock Option to represent to and agree with the Company in writing that such Person is acquiring the Stock
subject thereto without a view to distribution thereof.

 

10.3         
Transfer Restrictions. All shares of Stock delivered under the Plan shall be subject to such stock-transfer orders
and other restrictions as the Committee may deem advisable under the rules, regulations, and other requirements of the Commission,
any stock exchange upon which the Stock is then listed, and any applicable federal or state securities law.

 

10.4         
Company Actions; No Right to Employment. Nothing contained in the Plan shall prevent the Board from adopting other
or additional compensation arrangements, subject to stockholder approval if such approval is necessary and desirable; and such
arrangements may be either generally applicable or applicable only in specific cases. The adoption of the Plan shall not confer
upon any employee, consultant, service provider or advisor of the Company any right to continued employment or service with the
Company, as the case may be, nor shall it interfere in any way with the right of the Company to terminate the employment or service
of any of its employees, consultants or advisors at any time.

 

10.5         
Section 409A of the Code. The intent of the parties is that payments and benefits under the Plan be exempt from,
or comply with Section 409A of the Code to the extent subject thereto, and, accordingly, to the maximum extent permitted, the Plan
shall be interpreted and be administered to be in compliance therewith. Any payments described in the Plan that are due within
the "short-term deferral period" as defined in Section 409A of the Code shall not be treated as deferred compensation
unless applicable law requires otherwise. Notwithstanding anything to the contrary in the Plan, to the extent required in order
to avoid accelerated taxation and/or tax penalties under Section 409A of the Code, amounts that would otherwise be payable and
benefits that would otherwise be provided pursuant to the Plan or any other agreement between the Company and the Participant during
the six (6) month period immediately following the Participant's termination of employment shall instead be paid on the first business
day after the date that is six (6) months following the Participant's separation from service (or upon the Participant's death,
if earlier). In addition, for purposes of the Plan, each amount to be paid or benefit to be provided to the Participant pursuant
to the Plan, which constitute deferred compensation subject to Section 409A of the Code, shall be construed as a separate identified
payment for purposes of Section 409A of the Code.

 

    	14

    	 

    

 

10.6         
Payment of Taxes. Each Participant shall, no later than the date as of which the value of an Award first becomes
includible in the gross income of the Participant for federal income tax purposes, pay to the Company, or make arrangements satisfactory
to the Committee regarding payment of, any federal, state, or local taxes of any kind required by law to be withheld with respect
to the Award. The obligations of the Company under the Plan shall be conditional on the making of such payments or arrangements,
and the Company shall, to the extent permitted by law, have the right to deduct any such taxes from any payment of any kind otherwise
due to the Participant.

 

10.7         
Governing Law. The Plan shall be governed by and construed in accordance with the laws of the State of Delaware,
without giving effect to the principles of conflicts of law of such state.

 

SECTION
11

EFFECTIVE DATE OF PLAN

 

The Plan became effective (the "Effective
Date") on [_______], 2014, the date the Board formally approved the Plan.

 

SECTION
12

TERM OF PLAN

 

No Award shall be granted pursuant to the
Plan on or after the tenth anniversary of the Effective Date, but Awards theretofore granted may extend beyond that date.

 

    	15

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