Document:

Amendment No. 1 to Loan and Security Agreement

 Exhibit 10.1 
 AMENDMENT NO. 1 
 TO 
 LOAN AND SECURITY AGREEMENT 
 THIS AMENDMENT
NO. 1 TO LOAN AND SECURITY AGREEMENT (this “Amendment”) is entered into this 30th day of November, 2006, by and between
SABA SOFTWARE, INC., a Delaware corporation (“Borrower”), and SILICON VALLEY BANK (“Bank”). Capitalized terms
used herein without definition shall have the same meanings given them in the Loan Agreement (as defined below). 
 RECITALS

 A. Borrower and Bank have entered into that certain Loan and Security Agreement dated as of January 31, 2006 (as may be
further amended, restated, or otherwise modified, the “Loan Agreement”), pursuant to which the Bank has extended and made available to Borrower certain advances of money. 
 B. Borrower desires that Bank amend the Loan Agreement upon the terms and conditions more fully set forth herein. 
 C. Subject to the representations and warranties of Borrower herein and upon the terms and conditions set forth in this Amendment, Bank is willing
to so amend the Loan Agreement. 
 AGREEMENT 
 NOW, THEREFORE, in consideration of the foregoing Recitals and intending to be legally bound, the parties hereto agree as follows: 
 1. Amendments to Loan Agreement. 
 1.1 Section 2.1.6 (Equipment Facility). The following shall be inserted as Section 2.1.6: 
 2.1.6
Equipment Facility. 
 (a) Subject to the terms and conditions of this Agreement, Bank agrees to lend to Borrower, from
time to time prior to the Equipment Facility Commitment Termination Date, equipment advances (each an “Equipment Facility Advance” and collectively the “Equipment Facility Advances”) in an aggregate amount not to exceed the
Committed Equipment Facility Line. When repaid, the Equipment Facility Advances may not be re-borrowed. The proceeds of the Equipment Facility Advances will be used solely to reimburse Borrower for the purchase of Eligible Equipment purchased within
90 days of the Equipment Facility Advance; provided, however, with respect to the first Equipment Facility Advance, the proceeds of the Equipment Facility Advances may be used to reimburse Borrower for the purchase of Eligible Equipment
purchased within 180 days of the first Equipment Facility Advance. Bank’s obligation to lend hereunder shall terminate on the earlier of (i) the occurrence and continuance of an Event of Default, or (ii) the Equipment Facility
Commitment Termination Date, or (iii) the Equipment Facility Maturity Date. 
  

 (b) To obtain an Equipment Facility Advance, Borrower must notify Bank (the notice is
irrevocable) by facsimile no later than 12:00 p.m. Pacific time 5 Business Days before the day on which the Equipment Facility Advance is to be made. The notice in the form of Exhibit B (Payment/Advance Form) must be signed by a Responsible Officer
or designee and include a copy of the invoice(s) for the Eligible Equipment being financed. Borrower shall also complete, execute, and deliver to Bank a Loan Supplement - Equipment Facility Advances substantially in the form of Exhibit G on the
Funding Date. 
 (c) If Borrower satisfies the conditions of each Equipment Facility Advance specified in this
Section 2.1.6, Bank will disburse such Equipment Facility Advance by internal transfer to Borrower’s deposit account with Bank. Each Equipment Facility Advance may not exceed 100% of the Original Stated Cost for Equipment Facility Advances
for the financing of Eligible Equipment purchased within 90 days of the Equipment Facility Advance, or in the case of the first Equipment Facility Advance, Eligible Equipment purchased within 180 days. 
 (d) Bank’s obligation to lend the undisbursed portion of the Committed Equipment Facility Line will terminate if, in Bank’s sole
discretion, there has been a material adverse change in the general affairs, management, results of operation, condition (financial or otherwise) or the prospects of Borrower, whether or not arising from transactions in the ordinary course of
business, or there has been any material adverse deviation by Borrower from the most recent business plan of Borrower presented to and accepted by Bank pursuant to Section 6.2(a)(iv) prior to the Equipment Facility Commitment Termination Date.

 1.2 Section 2.3 (Interest Rate, Advances). Section 2.3(a) is hereby amended in its entirety by replacing
the text thereof with the following: 
 (a) Interest Rate; Advances. Subject to Section 2.3(b), the amounts
outstanding under the (i) Revolving Line shall accrue interest at a per annum rate equal to one quarter of one percentage point (0.25%) above the Prime Rate, (ii) Term Loan shall accrue interest at a per annum rate equal to one half of one
percentage point (0.50%) above the Prime Rate, and (iii) Equipment Facility Advances shall accrue interest at a per annum rate equal to one quarter of one percentage point (0.25%) above the Prime Rate, which interest in each case shall be
payable monthly. 
 1.3 Section 2.3. The following shall be inserted as Sections 2.3(g), (h), (i) and (j):

 (g) Principal and Interest Payments On Payment Dates. For Equipment Facility Advances, Borrower will make 36 equal
monthly installments of principal plus accrued interest for each Equipment Facility Advance (payments on the Equipment Facility Advances are collectively referred to herein as “Scheduled Payments”). Scheduled Payments for each Equipment
Facility Advance are due on the dates set forth 
  

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 in the Loan Supplement - Equipment Facility Advances with respect to such Equipment Facility Advance
(each a “Payment Date”). Any outstanding principal amount of all Equipment Facility Advances, the unpaid interest thereon, and all other Obligations relating to the Committed Equipment Facility Line shall be due and payable on the earlier
of (i) the acceleration of the Equipment Facility Advances following the occurrence of an Event of Default or (ii) the Equipment Facility Maturity Date. 
 (h) Prepayment Upon an Event of Loss. If any Financed Equipment is subject to an Event of Loss and Borrower is required to or
elects to prepay the Equipment Facility Advance with respect to such Financed Equipment pursuant to Section 6.7(b), then such Equipment Facility Advance shall be prepaid to the extent and in the manner provided in such section. 
 (i) Mandatory Prepayment Upon an Acceleration. If the Equipment Facility Advances are accelerated following the occurrence of an
Event of Default (other than following an Event of Loss), then Borrower will immediately pay to Bank (i) all accrued and unpaid Scheduled Payments (including principal and interest) with respect to each Equipment Facility Advance (ii) all
remaining Scheduled Payments (including principal and interest unpaid) in accordance with the terms of Section 2.3(j) below, and (iii) all other sums, if any, that shall have become due and payable with respect to any Equipment Facility
Advance. 
 (j) Permitted Prepayment of Equipment Facility Advances. Borrower shall have the option to prepay all or
any portion of the Equipment Facility Advances advanced by Bank under this Agreement, without penalty or premium, provided no Event of Default has occurred and is continuing and Borrower (i) provides written notice to Bank of its election to
prepay the Equipment Facility Advances at least thirty (30) days prior to such prepayment, and (ii) pays, on the date of the prepayment (A) all due but unpaid Scheduled Payments as of the date of prepayment (including principal and
interest) with respect to each Equipment Facility Advance, as applicable, being prepaid and (B) all other sums, if any, that shall have become due and payable hereunder relating to such Equipment Facility Advances, as applicable, with respect
to this Agreement. 
 1.4 Section 6.7. Section 6.7 is amended in its entirety by replacing the text thereof with the
following: 
 6.7 Insurance; Event of Loss 
 (a) Keep its business and the Collateral insured for risks and in amounts standard for companies in Borrower’s industry and location
and as Bank may reasonably request. Insurance policies shall be with financially sound and reputable insurance companies. All property policies shall have a lender’s loss payable endorsement showing Bank as an additional loss payee and waive
subrogation against Bank, and all liability policies shall show, or have endorsements showing, Bank as an additional insured. All policies (or the loss payable and additional insured endorsements) shall provide that the insurer must give Bank at
least thirty (30) days notice (or ten (10) days notice in the case of cancellation for non-payment of premium) before canceling, materially amending, or declining to renew its policy. At Bank’s request, Borrower shall deliver
certified copies 
  

 3 

 of policies and evidence of all premium payments. So long as no Event of Default has occurred and is
continuing, Borrower shall have the option of applying the proceeds of any casualty policy to the replacement or repair of destroyed or damaged property; provided, that, after the occurrence and during the continuance of an Event of Default,
proceeds payable under any policy shall, at Bank’s option, be payable to Bank on account of the Obligations. If Borrower fails to obtain insurance as required under this Section 6.7 or to pay any amount or furnish any required proof of
payment to third persons and Bank, Bank may make all or part of such payment or obtain such insurance policies required in this Section 6.7, and take any action under the policies Bank deems prudent. 
 (b) Bear the risk of the Financed Equipment being lost, stolen, destroyed, or damaged. If during the term of this Agreement any item of
Financed Equipment is subject to an Event of Loss, then in each case, Borrower: 
 (i) Prior to the occurrence of an Event of
Default, at Borrower’s option, will (A) pay to Bank on account of the Obligations with respect to each item of Financed Equipment subject to such Event of Loss all accrued interest to the date of the prepayment, plus all outstanding
principal; or (B) repair or replace any Financed Equipment subject to an Event of Loss provided the repaired or replaced Financed Equipment is of equal or like value to the Financed Equipment subject to an Event of Loss and provided further
that Bank has a first priority perfected security interest in such repaired or replaced Financed Equipment. 
 (ii) During the
continuance of an Event of Default, on or before the Payment Date after such Event of Loss for each such item of Financed Equipment subject to such Event of Loss, Borrower will, at Bank’s option, pay to Bank an amount equal to the sum of:
(A) all accrued and unpaid Scheduled Payments (with respect to such Equipment Facility Advance related to the Event of Loss) due prior to the next such Payment Date, (B) all regularly Scheduled Payments (including principal and interest),
plus (C) all other sums (other than remaining Scheduled Payments), if any, that shall have become due and payable with respect to such Equipment Facility Advance including interest at the Default Rate with respect to any past due amounts.

 (iii) On the date of receipt by Bank of the amount specified above with respect to each such item of Financed Equipment
subject to an Event of Loss, this Agreement shall terminate as to such Financed Equipment. If any proceeds of insurance or awards received from governmental authorities are in excess of the amount owed under this Section 6.7(b), Bank shall
promptly remit to Borrower the amount in excess of the amount owed to Bank. 
 1.5 Section 6.8(a). Section 6.8(a) is amended
in its entirety by replacing the text thereof with the following: 
 (a) Until the payment in full of all of the Obligations, Borrower will
maintain unrestricted cash and Cash Equivalents in a deposit account and/or money market account with Bank or a Bank Affiliate (i) after the date hereof through January 31, 2009, in an amount of not less than $6,000,000, (ii) from
February 1, 2009 through January 31, 2010, in an amount of not 
  

 4 

 less than $4,000,000, and (iii) thereafter, in an amount of not less than $2,000,000; provided, however, that
notwithstanding anything to the contrary herein, the requirements of this Section 6.8(a) to maintain the applicable amounts of unrestricted cash and Cash Equivalents in a deposit account and/or money market account with Bank or a Bank Affiliate
shall no longer apply if at any time after the Revolving Line Maturity Date there shall be no outstanding Advances or Obligations under the Term Loan or the Committed Equipment Facility Line. If Borrower fails to comply with the terms of this
Section 6.8(a) at any time, Borrower shall pay to Bank within three (3) days after the initial date such non-compliance occurs, a one-time, non-refundable fee equal to the amount set forth below for the period such non-compliance occurs
(the “Deposit Fee”); provided, however, once Borrower pays the Deposit Fee, Bank shall not require Borrower to pay another such Deposit Fee. Notwithstanding anything to the contrary contained in this Agreement, so long as Borrower pays the
Deposit Fee as and when due, Borrower’s failure to maintain the applicable amounts of unrestricted cash and Cash Equivalents in a deposit account and/or money market account with Bank or a Bank Affiliate shall not be deemed an Event of Default
hereunder or a breach of this Section 6.8(a). 
  

				
	 Period
	  	Deposit Fee
	 $6,000,000 from Effective Date through January 30, 2007
	  	$	100,000
	 $6,000,000 from January 31, 2007 through January 30, 2008
	  	$	75,000
	 $6,000,000 from January 31, 2008 through January 31, 2009
	  	$	25,000
	 $4,000,000 from February 1, 2009 through January 31, 2010
	  	$	15,000
	 $2,000,000 thereafter
	  	$	10,000

 1.6 Section 13.1 (Definitions). Section 13.1 is amended in the following
manner: 
 (a) The following definition is amended in its entirety and replaced with the following: 
 “Credit Extension” is any Advance, Equipment Facility Advance, Letter of Credit, Term Loan, FX Forward Contract, amount
utilized for Cash Management Services, or any other extension of credit by Bank for Borrower’s benefit. 
 (b) The following new
definitions are inserted in Section 13.1 in their proper alphabetical order: 
 “Committed Equipment Facility
Line” is Bank’s commitment to make Equipment Facility Advances of up to $3,000,000. 
 “Eligible
Equipment” is new or used general purpose computer equipment, 
  

 5 

 office equipment, test and laboratory equipment, furnishings, and Other Equipment Facility Equipment that
complies with all of Borrower’s representations and warranties to Bank and which is acceptable to Bank in all respects and is located in the United States. 
 “Equipment Facility Advance” is defined in Section 2.1.6(a). 
 “Equipment Facility Maturity Date” is, with respect to each Equipment Facility Advance the last day of the Equipment Loan
Repayment Period for such Equipment Facility Advance, or if earlier, the date of acceleration of such Equipment Facility Advance by Bank following an Event of Default. 
 “Equipment Facility Commitment Termination Date” is May 31, 2008. 
 “Equipment Loan Repayment Period” is 36 months. 
 “Event of Loss” means an event where any Financed Equipment is lost, stolen, destroyed, damaged beyond repair, rendered
permanently unfit for use, or seized by a governmental authority for any reason for a period equal to at least the remainder of the term of this Agreement. 
 “Financed Equipment” is any Eligible Equipment financed with an Equipment Facility Advance. 
 “First Amendment Effective Date” means the date first written above. 
 “Loan Supplement - Equipment Facility Advances” is attached as Exhibit G. 
 “Original Stated Cost” is (a) the original cost to the Borrower of the item of new Equipment net of any and all freight, installation, tax or (b) the fair market value assigned to such item of used Equipment by
mutual agreement of Borrower and Bank at the time of making of the Equipment Facility Advance. 
 “Other Equipment
Facility Equipment” is leasehold improvements, intangible property such as transferable computer software and transferable software licenses, equipment specifically designed or manufactured for Borrower, other intangible property, limited
use property and other similar property and sales tax, freight, maintenance, and installation costs. Unless otherwise agreed to by Bank, not more than 80% of the Eligible Equipment financed with the proceeds of each Equipment Facility Advance shall
consist of Other Equipment Facility Equipment. 
 “Payment Date” is defined in Section 2.3(g).

 “Schedule Payments” is defined in Section 2.3(g). 
 1.7 Exhibit B, “Payment/Advance Form” is hereby amended by deleting it in its entirety and replacing it with Exhibit A
attached hereto. 
 1.8 A new exhibit, Exhibit G, “Loan Supplement - Equipment Facility Advances”, in the form
of Exhibit B attached hereto, is hereby added. 
  

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 2. BORROWER’S REPRESENTATIONS
AND WARRANTIES. Borrower represents and warrants that: 
 (a) immediately upon giving
effect to this Amendment (i) the representations and warranties contained in the Loan Documents are true, accurate and complete in all material respects as of the date hereof (except to the extent such representations and warranties relate to
an earlier date, in which case they are true and correct as of such date), and (ii) no Event of Default has occurred and is continuing; 
 (b) Borrower has the corporate power and authority to execute and deliver this Amendment and to perform its obligations under the Loan Agreement, as amended by this Amendment; 
 (c) the certificate of incorporation and bylaws of Borrower (collectively, “Organizational Documents”) delivered to Bank on or prior to
the First Amendment Effective Date are true, accurate and complete and have not been amended, supplemented or restated and are and continue to be in full force and effect as of the First Amendment Effective Date, and Borrower shall promptly deliver
to Bank any amendments, supplements, restatements or other modifications to such Organizational Documents; 
 (d) the execution and
delivery by Borrower of this Amendment and the performance by Borrower of its obligations under the Loan Agreement, as amended by this Amendment, have been duly authorized by all necessary corporate action on the part of Borrower; 
 (e) this Amendment has been duly executed and delivered by the Borrower and is the binding obligation of Borrower, enforceable against it in
accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization, liquidation, moratorium or other similar laws of general application and equitable principles relating to or affecting creditors’
rights; and 
 (f) as of the date hereof, it has no defenses against the obligations to pay any amounts under the Obligations.
Borrower acknowledges that Bank has acted in good faith and has conducted in a commercially reasonable manner its relationships with Borrower in connection with this Amendment and in connection with the Loan Documents. 
 Borrower understands and acknowledges that Bank is entering into this Amendment in reliance upon, and in partial consideration for, the above
representations and warranties, and agrees that such reliance is reasonable and appropriate. 
 3.
LIMITATION. The amendments set forth in this Amendment shall be limited precisely as written and shall not be deemed (a) to be a waiver or modification of any other term or condition of the Loan Agreement or
of any other instrument or agreement referred to therein or to prejudice any right or remedy which Bank may now have or may have in the future under or in connection with the Loan Agreement or any instrument or agreement referred to therein; or
(b) to be a consent to any future amendment or modification or waiver to any instrument or agreement the execution and delivery of which is consented to hereby, or to any waiver of any of the provisions thereof. Except as expressly amended
hereby, the Loan Agreement shall continue in full force and effect. 
  

 7 

 4. EFFECTIVENESS. This Amendment shall become effective upon
the satisfaction of all the following conditions precedent: 
 4.1 Amendment. Borrower and Bank shall have duly executed and
delivered this Amendment to Bank. 
 4.2 Payment of Bank Expenses. Borrower shall have paid all Bank Expenses (including all
reasonable attorneys’ fees and reasonable expenses) incurred through the date of this Amendment. 
 4.3 Resolutions, Lien
Searches and Good Standings. Bank shall have received resolutions authorizing this Amendment, satisfactory lien searches and good standings in each jurisdiction in which the conduct of Borrower and Guarantors’ business or their ownership of
property requires that they be qualified except where the failure to do so could not reasonably be expected to have a material adverse effect on Borrower’s or such Guarantor’s business. 
 4.4 Reaffirmation of Guaranties. Each Guarantor shall have duly executed and delivered a Reaffirmation of Guaranty. 
 5. COUNTERPARTS. This Amendment may be signed in any number of counterparts, and by different parties hereto
in separate counterparts, with the same effect as if the signatures to each such counterpart were upon a single instrument. All counterparts shall be deemed an original of this Amendment. 
 6. INTEGRATION. This Amendment and any documents executed in connection herewith or pursuant hereto contain
the entire agreement between the parties with respect to the subject matter hereof and supersede all prior agreements, understandings, offers and negotiations, oral or written, with respect thereto and no extrinsic evidence whatsoever may be
introduced in any judicial or arbitration proceeding, if any, involving this Amendment; except that any financing statements or other agreements or instruments filed by Bank with respect to Borrower shall remain in full force and effect. 

7. GOVERNING LAW; VENUE. THIS AMENDMENT SHALL BE GOVERNED BY AND SHALL BE CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF CALIFORNIA. Borrower and Bank each submit to the exclusive jurisdiction of the State and Federal courts in Santa Clara County, California. 
  

 8 

 IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed as of the date first
written above. 
  

							
		 	BORROWER:	 	SABA SOFTWARE, INC.
		 		 	a Delaware corporation
				
		 		 	By:	 	 /s/ Peter E. Williams III

		 		 	Printed Name:	 	Peter E. Williams III
		 		 	Title:	 	Chief Financial Officer
			
		 	BANK:	 	SILICON VALLEY BANK
				
		 		 	By:	 	 /s/ Nick Tsiagkas

		 		 	Printed Name:	 	Nick Tsiagkas
		 		 	Title:	 	Relationship Manager

 EXHIBIT A 
 EXHIBIT B 
 LOAN PAYMENT/ADVANCE TELEPHONE REQUEST FORM 
 DEADLINE FOR SAME DAY ADVANCE PROCESSING IS 12 NOON, P.S.T. 
  

			
	TO: CENTRAL CLIENT SERVICE DIVISION	  	DATE: ________________________
		
	FAX#: (650) 320 - 0016	  	TIME: ________________________

  

			
	
	FROM: SABA SOFTWARE, INC.
	CLIENT NAME (BORROWER)
	
	REQUESTED BY: ____________________________________________________________________
	AUTHORIZED SIGNER’S NAME
	
	AUTHORIZED SIGNATURE: ____________________________________________________________
	
	PHONE NUMBER: ______________________________________________________________________
	
	FROM ACCOUNT # ______________    TO ACCOUNT # ______________
		
	REQUESTED TRANSACTION TYPE	  	REQUESTED DOLLAR AMOUNT
		
	PRINCIPAL INCREASE – (ADVANCE)	  	$ ____________________________
	PRINCIPAL PAYMENT– (ADVANCE ONLY)	  	$ ____________________________
	INTEREST PAYMENT–ADVANCES (ONLY)	  	$ ____________________________
	PRINCIPAL AND INTEREST– REVOLVING LINE (PAYMENT)	  	$ ____________________________
		
	PRINCIPAL PAYMENT – EQUIPMENT FACILITY ADVANCE (ONLY)	  	$ ____________________________
	INTEREST PAYMENT – EQUIPMENT FACILITY ADVANCE (ONLY)	  	$ ____________________________
	PRINCIPAL AND INTEREST –EQUIPMENT FACILITY ADVANCE (PAYMENT)	  	$ ____________________________
	
	OTHER INSTRUCTIONS: ________________________________________________________
	_______________________________________________________________________________
	
	All Borrower’s representations and warranties in the Loan and Security Agreement (as amended, the “Agreement”) are true, correct and complete in all material respects
on the date of the telephone request for an Advance or Equipment Facility Advance confirmed by this Payment/Advance Form; but those representations and warranties expressly referring to another date shall be true, correct and complete in all
material respects as of that date. In addition, Borrower hereby represents that it is in compliance with Sections 6.8(a) and 6.9 of the Agreement.
	
	BANK USE ONLY
		
	TELEPHONE REQUEST:	  	
	
	The following person is authorized to request the loan payment transfer/loan advance on the advance designated account and is known to me.
		
	  
 Authorized
Requester
	  	  
 Phone #

		
	  
 Received By
(Bank)
	  	  
 Phone #

	
	  
 Authorized Signature
(Bank)

  

 1 

 EXHIBIT B 
 EXHIBIT G 
 FORM OF 
 LOAN AGREEMENT SUPPLEMENT - EQUIPMENT FACILITY ADVANCES 
 LOAN AGREEMENT
SUPPLEMENT No. [    ] 
 LOAN AGREEMENT SUPPLEMENT No. [    ], dated
                    , 200   (“Supplement”), to the Loan and Security Agreement dated as of January 31, 2006
(as amended, restated, or otherwise modified from time to time, the “Loan Agreement”), by and between the undersigned (“Borrower”) and Silicon Valley Bank (“Bank”). 
 Capitalized terms used herein but not otherwise defined herein are used with the respective meanings given to such terms in the Loan Agreement.

 To secure the prompt payment by Borrower of all amounts from time to time outstanding under the Loan Agreement, and the performance by
Borrower of all the terms contained in the Loan Agreement, Borrower grants Bank a first priority security interest in each item of equipment and other property described in Annex A hereto, which equipment and other property shall be deemed to be
additional Financed Equipment and Collateral. The Loan Agreement is hereby incorporated by reference herein and is hereby ratified, approved and confirmed. 
 Annex A (Equipment Schedule) and Annex B (Loan Terms Schedule) are attached hereto. 
 The proceeds of the
Loan should be transferred to Borrower’s account with Bank set forth below: 
 Bank Name: Silicon Valley Bank 
 Account No.: 
 Borrower hereby certifies that (a) the
foregoing information is true and correct and authorizes Bank to endorse in its respective books and records, the applicable interest rate applicable to the Funding Date of the Equipment Facility Advance contemplated in this Loan Agreement
Supplement and the principal amount set forth in the Loan Terms Schedule; (b) the representations and warranties made by Borrower in the Loan Agreement are true and correct in all material respects on the date hereof and will be true and
correct in all material respects on such Funding Date; and (c) it is in compliance with Sections 6.8(a) and 6.9 of the Loan Agreement. No Event of Default has occurred and is continuing under the Loan Agreement. This Supplement may be executed
by Borrower and Bank in separate counterparts, each of which when so executed and delivered shall be an original, but all such counterparts shall together constitute but one and the same instrument. 
 [Signature page follows.] 
  

 2 

 This Supplement is delivered as of the day and year first above written. 
  

							
	SILICON VALLEY BANK	    	SABA SOFTWARE, INC.
				
	By:	 	  
	    	By:	 	  

	Name:	 	  
	    	Name:	 	  

	Title:	 	  
	    	Title:	 	  

 Annex A - Description of Financed Equipment 
 Annex B - Loan Terms Schedule 
  

 3 

 Annex A to Exhibit G 
 The Financed Equipment being financed with the Equipment Facility Advance with respect to which this Loan Agreement Supplement is being executed is listed below. Upon the funding of such Equipment Facility Advance,
this schedule automatically shall be deemed to be a part of the Collateral. 
  

									
	 Description of Equipment
	  	Make	  	Model	  	Serial #	  	Invoice #
		  		  		  		  	

  

 1 

 Annex B to Exhibit G 
 LOAN TERMS SCHEDULE #                      
 Loan Funding Date:                     , 200   
 Original Loan Amount: $                      
 Equipment Facility Interest Rate:             % 
 Scheduled Payment Dates and Amounts*: 
 One (1) payment
of $                      due
                     
              payment of $                      due monthly in
advance from              through             . 
 One (1) payment of $                    
due             . 
 Maturity Date:
                                 
  

			
	 Payment No.
	  	 Payment Date

	1	  	
	2	  	
	3	  	
	4	  	
	. . .	  	
	35	  	
	[36]	  	
	. . .	  	

	*/	The amount of each Scheduled Payment may change as the Loan Amount changes. 

  

 2Amended and Restated 2004 Equity Incentive Plan

 Exhibit 10.1 
 THE WALT DISNEY COMPANY/PIXAR 
 2004 EQUITY INCENTIVE PLAN 
 (As Amended and Restated Effective November 28, 2006) 

 TABLE OF CONTENTS 
  

					
	 	  	 	  	Page
	 SECTION 1 BACKGROUND AND PURPOSE
	  	1
			
	 1.1
	  	Background and Effective Date	  	1
	 1.2
	  	Purpose of the Plan	  	1
		
	 SECTION 2 DEFINITIONS
	  	1
			
	 2.1
	  	“1934 Act”	  	1
	 2.2
	  	“Affiliate”	  	1
	 2.3
	  	“Award”	  	2
	 2.4
	  	“Award Agreement”	  	2
	 2.5
	  	“Board” or “Board of Directors”	  	2
	 2.6
	  	“Code”	  	2
	 2.7
	  	“Committee”	  	2
	 2.8
	  	“Company”	  	2
	 2.9
	  	“Consultant”	  	2
	 2.10
	  	“Director”	  	2
	 2.11
	  	“Disability”	  	2
	 2.12
	  	“Earnings Per Share”	  	2
	 2.13
	  	“Employee”	  	2
	 2.14
	  	“Exchange Program”	  	2
	 2.15
	  	“Exercise Price”	  	2
	 2.16
	  	“Fair Market Value”	  	2
	 2.17
	  	“Fiscal Year”	  	3
	 2.18
	  	“Grant Date”	  	3
	 2.19
	  	“Incentive Stock Option”	  	3
	 2.20
	  	“Nonemployee Director”	  	3
	 2.21
	  	“Nonqualified Stock Option”	  	3
	 2.22
	  	“Option”	  	3
	 2.23
	  	“Participant”	  	3
	 2.24
	  	“Performance Goals”	  	3
	 2.25
	  	“Performance Period”	  	3
	 2.26
	  	“Performance Share”	  	3
	 2.27
	  	“Performance Unit”	  	3
	 2.28
	  	“Period of Restriction”	  	4
	 2.29
	  	“Plan”	  	4
	 2.30
	  	“Profit After Tax”	  	4
	 2.31
	  	“Restricted Stock”	  	4
	 2.32
	  	“Retirement”	  	4
	 2.33
	  	“Return on Equity”	  	4
	 2.34
	  	“Revenue”	  	4
	 2.35
	  	“Rule 16b-3”	  	4
	 2.36
	  	“Section 16 Person”	  	4
	 2.37
	  	“Shares”	  	4
	 2.38
	  	“Stock Appreciation Right” or “SAR”	  	4

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page
	 2.39
	  	“Subsidiary”	  	4
	 2.40
	  	“Termination of Service”	  	5
	 2.41
	  	“Total Shareholder Return”	  	5
		
	 SECTION 3 ADMINISTRATION
	  	5
			
	 3.1
	  	The Committee	  	5
	 3.2
	  	Authority of the Committee	  	5
	 3.3
	  	Delegation by the Committee	  	5
	 3.4
	  	Decisions Binding	  	6
		
	 SECTION 4 SHARES SUBJECT TO THE PLAN
	  	6
			
	 4.1
	  	Number of Shares	  	6
	 4.2
	  	Lapsed Awards	  	6
	 4.3
	  	Adjustments in Awards and Authorized Shares	  	6
		
	 SECTION 5 STOCK OPTIONS
	  	6
			
	 5.1
	  	Grant of Options	  	6
	 5.2
	  	Award Agreement	  	7
	 5.3
	  	Exercise Price	  	7
	 5.4
	  	Expiration of Options	  	7
	 5.5
	  	Exercisability of Options	  	8
	 5.6
	  	Payment	  	8
	 5.7
	  	Restrictions on Share Transferability	  	8
	 5.8
	  	Certain Additional Provisions for Incentive Stock Options	  	8
		
	 SECTION 6 STOCK APPRECIATION RIGHTS
	  	9
			
	 6.1
	  	Grant of SARs	  	9
	 6.2
	  	SAR Agreement	  	9
	 6.3
	  	Expiration of SARs	  	9
	 6.4
	  	Payment of SAR Amount	  	9
		
	 SECTION 7 RESTRICTED STOCK
	  	10
			
	 7.1
	  	Grant of Restricted Stock	  	10
	 7.2
	  	Restricted Stock Agreement	  	10
	 7.3
	  	Transferability	  	10
	 7.4
	  	Other Restrictions	  	10
	 7.5
	  	Removal of Restrictions	  	11
	 7.6
	  	Voting Rights	  	11
	 7.7
	  	Dividends and Other Distributions	  	11
	 7.8
	  	Return of Restricted Stock to Company	  	11
		
	 SECTION 8 PERFORMANCE UNITS
	  	11
	 8.1
	  	Grant of Performance Units	  	11
	 8.2
	  	Value of Performance Units	  	11

 TABLE OF CONTENTS 
 (continued) 
  

					
	 	  	 	  	Page
	 8.3
	  	Performance Objectives and Other Terms	  	11
	 8.4
	  	Earning of Performance Units	  	12
	 8.5
	  	Form and Timing of Payment of Performance Units	  	12
	 8.6
	  	Cancellation of Performance Units	  	12
		
	 SECTION 9 PERFORMANCE SHARES
	  	12
			
	 9.1
	  	Grant of Performance Shares	  	12
	 9.2
	  	Value of Performance Shares	  	13
	 9.3
	  	Performance Share Agreement	  	13
	 9.4
	  	Performance Objectives and Other Terms	  	13
	 9.5
	  	Earning of Performance Shares	  	13
	 9.6
	  	Form and Timing of Payment of Performance Shares	  	13
	 9.7
	  	Cancellation of Performance Shares	  	14
		
	 SECTION 10 [INTENTIONALLY OMITTED]
	  	14
		
	 SECTION 11 MISCELLANEOUS
	  	14
			
	 11.1
	  	Deferrals	  	14
	 11.2
	  	No Effect on Employment or Service	  	14
	 11.3
	  	Participation	  	14
	 11.4
	  	Indemnification	  	14
	 11.5
	  	Successors	  	15
	 11.6
	  	Beneficiary Designations	  	15
	 11.7
	  	Limited Transferability of Awards	  	15
	 11.8
	  	No Rights as Shareholder	  	15
		
	 SECTION 12 AMENDMENT, TERMINATION, AND DURATION
	  	15
			
	 12.1
	  	Amendment, Suspension, or Termination	  	15
	 12.2
	  	Duration of the Plan	  	15
		
	 SECTION 13 TAX WITHHOLDING
	  	16
			
	 13.1
	  	Withholding Requirements	  	16
	 13.2
	  	Withholding Arrangements	  	16
		
	 SECTION 14 LEGAL CONSTRUCTION
	  	16
			
	 14.1
	  	Gender and Number	  	16
	 14.2
	  	Severability	  	16
	 14.3
	  	Requirements of Law	  	16
	 14.4
	  	Securities Law Compliance	  	16
	 14.5
	  	Governing Law	  	16
	 14.6
	  	Captions	  	17

 The WALT DISNEY COMPANY/ PIXAR 
 2004 EQUITY INCENTIVE PLAN 
 SECTION 1 
 BACKGROUND AND PURPOSE 
 1.1 Background and
Effective Date. The Plan, formerly known as the Pixar 2004 Equity Incentive Plan, adopted by the Board of Directors of Pixar, a California corporation (“Pixar”), and approved by its shareholders, became effective on
August 20, 2004. In connection with the merger (the “Merger”) of Lux Acquisition Corp., a California corporation and wholly owned subsidiary of The Walt Disney Company, with and into Pixar, the Plan was assumed by The Walt Disney
Corporation, effective upon the consummation of the Merger. The Plan has been amended and restated to reflect the exchange ratio in the Merger and certain other Merger-related changes. 
 1.2 Purpose of the Plan. The Plan is intended to attract, motivate, and retain (a) employees of Pixar and its Subsidiaries,
(b) consultants who provide significant services to Pixar and its Subsidiaries, and (c) directors of Pixar who are employees of neither Pixar nor any of its Subsidiaries. The Plan also is designed to encourage stock ownership by
Participants, thereby aligning their interests with those of the Company’s shareholders and to permit the payment of compensation that qualifies as performance-based compensation under Section 162(m) of the Code. 
 SECTION 2 
 DEFINITIONS 
 The following words and phrases shall have the following meanings unless a different meaning is plainly required by the context: 
 2.1 “1934 Act” means the Securities Exchange Act of 1934, as amended. Reference to a specific section of the 1934 Act or regulation
thereunder shall include such section or regulation, any valid regulation promulgated under such section, and any comparable provision of any future legislation or regulation amending, supplementing or superseding such section or regulation.

 2.2 “Affiliate” means any corporation or any other entity (including, but not limited to, partnerships and joint
ventures) controlling, controlled by, or under common control with the Company. 
 2.3 “Award” means, individually or
collectively, a grant under the Plan of Incentive Stock Options, Nonqualified Stock Options, SARs, Restricted Stock, Performance Units, or Performance Shares. 
  

 1 

 2.4 “Award Agreement” means the written agreement setting forth the terms and conditions
applicable to each Award granted under the Plan. 
 2.5 “Board” or “Board of Directors” means the Board of
Directors of the Company. 
 2.6 “Code” means the Internal Revenue Code of 1986, as amended. Reference to a specific section
of the Code or regulation thereunder shall include such section or regulation, any valid regulation promulgated under such section, and any comparable provision of any future legislation or regulation amending, supplementing or superseding such
section or regulation. 
 2.7 “Committee” means the committee appointed by the Board (pursuant to Section 3.1) to
administer the Plan. 
 2.8 “Company” means The Walt Disney Company, a Delaware corporation, or any successor thereto.

 2.9 “Consultant” means any consultant, independent contractor, or other person who provides significant services to Pixar
or its Subsidiaries, but who is neither an Employee nor a Director. 
 2.10 “Director” means any individual who is a member
of the Board of Directors of Pixar. 
 2.11 “Disability” means a permanent disability in accordance with a policy or
policies established by the Committee (in its discretion) from time to time. 
 2.12 “Earnings Per Share” means as to any
Performance Period, the Company’s Profit After Tax, divided by a weighted average number of common shares outstanding and dilutive common equivalent shares deemed outstanding, determined in accordance with generally accepted accounting
principles. 
 2.13 “Employee” means any employee of Pixar or its Subsidiaries, whether such employee is so employed at the
time the Plan is adopted or becomes so employed subsequent to the adoption of the Plan. 
 2.14 “Exchange Program” means a
program established by the Committee under which outstanding Awards are amended to provide for a lower Exercise Price or surrendered or cancelled in exchange for (a) Awards with a lower Exercise Price, (b) a different type of Award,
(c) cash, or (d) a combination of (a), (b) and/or (c). 
 2.15 “Exercise Price” means the price at which a
Share may be purchased by a Participant pursuant to the exercise of an Option. 
 2.16 “Fair Market Value” of a share of
Common Stock as of a given date means the average of the highest and lowest of the New York Stock Exchange composite tape market prices at which the shares of Common Stock shall have been sold regular way on the date as of which fair 

  

 2 

 
market value is to be determined or, if there shall be no such sale on such date, the next preceding day on which such a sale shall have occurred. If Common
Stock is not listed on the New York Stock Exchange on the date as of which Fair Market Value is to be determined, the Committee shall determine in good faith the Fair Market Value in whatever manner it considers appropriate. 
 2.17 “Fiscal Year” means the fiscal year of the Company. 
 2.18 “Grant Date” means, with respect to an Award, the date that the Award was granted. The Grant Date of an Award shall not be earlier than the date the Award is approved by the Committee.

 2.19 “Incentive Stock Option” means an Option to purchase Shares that is designated as an Incentive Stock Option and is
intended to meet the requirements of Section 422 of the Code. 
 2.20 “Nonemployee Director” means a Director who is
not an Employee. 
 2.21 “Nonqualified Stock Option” means an option to purchase Shares that is not intended to be an
Incentive Stock Option. 
 2.22 “Option” means an Incentive Stock Option or a Nonqualified Stock Option. 
 2.23 “Participant” means an Employee, Consultant, or Nonemployee Director who has an outstanding Award. 
 2.24 “Performance Goals” means the goal(s) (or combined goal(s)) determined by the Committee (in its discretion) to be applicable to a
Participant with respect to an Award. As determined by the Committee, the Performance Goals applicable to an Award may provide for a targeted level or levels of achievement using one or more of the following measures: (a) Earnings Per Share,
(b) Profit After Tax, (c) Return on Equity, (d) Revenue, and (e) Total Shareholder Return. The Performance Goals may differ from Participant to Participant and from Award to Award. Any criteria used may be measured, as
applicable, (i) in absolute terms, (ii) in relative terms (including, but not limited to, passage of time and/or against another company or companies), (iii) on a per-share basis, (iv) against the performance of the Company as a
whole or of a particular audio/visual product or software product of the Company or any other Company product related to such products, and/or (v) on a pre-tax or after-tax basis. Prior to the determination date, the Committee shall determine
whether any element(s) or item(s) shall be included in or excluded from the calculation of any Performance Goal with respect to any Participants. 
 “Performance Period” means any Fiscal Year or such longer period as determined by the Committee in its sole discretion. 
 2.25 “Performance Share” means an Award granted to a Participant pursuant to Section 9. 
 2.26 “Performance Unit” means an Award granted to a Participant pursuant to Section 8. 
  

 3 

 2.27 “Period of Restriction” means the period during which the transfer of Shares of
Restricted Stock are subject to restrictions and therefore, the Shares are subject to a substantial risk of forfeiture. As provided in Section 7, such restrictions may be based on the passage of time, the achievement of target levels of
performance, or the occurrence of other events as determined by the Committee, in its discretion. 
 2.28 “Plan” means The
Walt Disney Company/Pixar 2004 Equity Incentive Plan, as set forth in this instrument and as hereafter amended from time to time. 
 2.29
“Profit After Tax” means as to any Performance Period, the Company’s income after taxes, determined in accordance with generally accepted accounting principles. 
 2.30 “Restricted Stock” means an Award granted to a Participant pursuant to Section 7. 
 2.31 “Retirement” means, in the case of an Employee or a Nonemployee Director, a Termination of Service occurring in accordance with a
policy or policies established by the Committee (in its discretion) from time to time. With respect to a Consultant, no Termination of Service shall be deemed to be on account of “Retirement.” 
 2.32 “Return on Equity” means as to any Performance Period, the percentage equal to the Company’s Profit After Tax divided by
average shareholder’s equity, determined in accordance with generally accepted accounting principles. 
 2.33 “Revenue”
means as to any Performance Period, the Company’s net revenues generated from third parties, determined in accordance with generally accepted accounting principles. 
 2.34 “Rule 16b-3” means Rule 16b-3 promulgated under the 1934 Act, and any future regulation amending, supplementing or superseding such regulation. 
 2.35 “Section 16 Person” means a person who, with respect to the Shares, is subject to Section 16 of the 1934 Act. 

2.36 “Shares” means the shares of common stock of the Company. 
 2.37 “Stock Appreciation Right” or “SAR” means an Award, granted alone or in connection with a related Option, that
pursuant to Section 6 is designated as an SAR. 
 2.38 “Subsidiary” means any corporation in an unbroken chain of
corporations beginning with the Company or Pixar, as applicable, as the corporation at the top of the chain, but only if each of the corporations below the Company (other than the last corporation in the unbroken chain) then owns stock possessing
fifty percent (50%) or more of the total combined voting power of all classes of stock in one of the other corporations in such chain. 
  

 4 

 2.39 “Termination of Service” means (a) in the case of an Employee, a cessation of
the employee-employer relationship between the Employee and the Company or an Affiliate for any reason, including, but not by way of limitation, a termination by resignation, discharge, death, Disability, Retirement, or the disaffiliation of an
Affiliate, but excluding any such termination where there is a simultaneous reemployment by the Company or an Affiliate; (b) in the case of a Consultant, a cessation of the service relationship between the Consultant and the Company or an
Affiliate for any reason, including, but not by way of limitation, a termination by resignation, discharge, death, Disability, or the disaffiliation of an Affiliate, but excluding any such termination where there is a simultaneous re-engagement of
the consultant by the Company or an Affiliate; and (c) in the case of a Nonemployee Director, a cessation of the Director’s service on the Board for any reason, including, but not by way of limitation, a termination by resignation, death,
Disability, Retirement or non-reelection to the Board. 
 2.40 “Total Shareholder Return” means as to any Performance
Period, the total return (change in share price plus reinvestment of any dividends) of a Share. 
 SECTION 3 
 ADMINISTRATION 
 3.1 The
Committee. The Plan shall be administered by the Committee (and/or the Board, as determined by the Board). The Committee shall consist of not less than two (2) Directors who shall be appointed from time to time by, and shall serve at
the pleasure of, the Board of Directors. Unless determined otherwise by the Board, the Committee shall be comprised solely of Directors who are (a) “outside directors” under Section 162(m) of the Code, and
(b) “non-employee directors” under Rule 16b-3. 
 3.2 Authority of the Committee. It shall be the duty of the
Committee to administer the Plan in accordance with the Plan’s provisions. The Committee shall have all powers and discretion necessary or appropriate to administer the Plan and to control its operation, including, but not limited to, the power
to (a) determine which Employees, Consultants and Directors shall be granted Awards, (b) prescribe the terms and conditions of the Awards, (c) interpret the Plan and the Awards, (d) adopt such procedures and subplans as are
necessary or appropriate to permit participation in the Plan by Employees, Consultants and Directors who are foreign nationals or employed outside of the United States, (e) implement an Exchange Program, (f) adopt rules for the
administration, interpretation and application of the Plan as are consistent therewith, and (g) interpret, amend or revoke any such rules. 
 3.3 Delegation by the Committee. The Committee, in its sole discretion and on such terms and conditions as it may provide, may delegate all or any part of its authority and powers under the Plan to one or more Directors or
officers of the Company. Notwithstanding the foregoing, with respect to Awards that are intended to qualify as performance-based compensation under Section 162(m) of the Code, the Committee may not delegate its authority and powers with respect
to such Awards if such delegation would cause the Awards to fail to so qualify (unless determined otherwise by the Board). 
  

 5 

 3.4 Decisions Binding. All determinations and decisions made by the Committee, the Board, and
any delegate of the Committee pursuant to the provisions of the Plan shall be final, conclusive, and binding on all persons, and shall be given the maximum deference permitted by law. 
 SECTION 4 
 SHARES SUBJECT TO THE PLAN 
 4.1 Number of Shares. Subject to adjustment as provided in Section 4.3, the total number of Shares available for issuance under the Plan
as of the closing of the Merger shall equal the sum of (a) 23,859,591, and (b) any Shares (not to exceed 48,300,000) that otherwise would have been returned to the 1995 Stock Plan and 1995 Director Option Plan as of August 20, 2004,
on account of the expiration, cancellation or forfeiture of awards granted thereunder. No more than 36,800,000 of the Shares available under the Plan may be issued pursuant to Awards that are Incentive Stock Options. Shares granted under the Plan
may be either authorized but unissued Shares or treasury Shares. 
 4.2 Lapsed Awards. If an Award is settled in cash, or is
cancelled, terminates, expires, or lapses for any reason, any Shares subject to such Award again shall be available to be the subject of an Award, except as determined by the Committee. 
 4.3 Adjustments in Awards and Authorized Shares. In the event that any dividend or other distribution (whether in the form of cash, Shares,
other securities, or other property), recapitalization, stock split, reverse stock split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase, or exchange of Shares or other securities of the Company, or other change
in the corporate structure of the Company affecting the Shares such that an adjustment is determined by the Committee (in its sole discretion) to be appropriate in order to prevent dilution or enlargement of the benefits or potential benefits
intended to be made available under the Plan, then the Committee shall, in such manner as it may deem equitable, adjust the number and class of Shares that may be issued under the Plan, the number and class of Shares that may be added annually to
the Shares reserved under the Plan, the number, class, and price of Shares subject to outstanding Awards, and the numerical limits of Sections 4.1, 5.1, 6.1, 7.1, 8.1, 9.1 and 10.1. Notwithstanding the preceding, the number of Shares subject to
any Award always shall be a whole number. 
 SECTION 5 
 STOCK OPTIONS 
 5.1 Grant of Options. Subject to the terms and provisions of the Plan, Options
may be granted to Employees, Directors and Consultants at any time and from time to time as determined by the Committee in its sole discretion. The Committee, in its sole discretion, shall determine the number of Shares subject to each Option,
provided that during any Fiscal Year, no Participant shall be granted Options (and/or other Awards) covering more than a total of 13,800,000 Shares. Subject to Section 12.2, the Committee may grant Incentive Stock Options, Nonqualified Stock
Options, or a combination thereof. 
  

 6 

 5.2 Award Agreement. Each Option shall be evidenced by an Award Agreement that shall specify
the Exercise Price, the expiration date of the Option, the number of Shares covered by the Option, any conditions to exercise the Option, and such other terms and conditions as the Committee, in its discretion, shall determine. The Award Agreement
shall also specify whether the Option is intended to be an Incentive Stock Option or a Nonqualified Stock Option. 
 5.3 Exercise
Price. Subject to the provisions of this Section 5.3, the Exercise Price for each Option shall be determined by the Committee in its sole discretion. 
 5.3.1 Nonqualified Stock Options. The Exercise Price of each Nonqualified Stock option shall be determined by the Committee in its
discretion but shall be not less than one hundred percent (100%) of the Fair Market Value of a Share on the Grant Date. 
 5.3.2 Incentive Stock Options. In the case of an Incentive Stock Option, the Exercise Price shall be not less than one hundred percent (100%) of the Fair Market Value of a Share on the Grant Date; provided, however, that if on
the Grant Date, the Employee (together with persons whose stock ownership is attributed to the Employee pursuant to Section 424(d) of the Code) owns stock possessing more than 10% of the total combined voting power of all classes of stock of
the Company or any of its Subsidiaries, the Exercise Price shall be not less than one hundred and ten percent (110%) of the Fair Market Value of a Share on the Grant Date. 
 5.3.3 Substitute Options. Notwithstanding the provisions of Section 5.3.2, in the event that the Company or an Affiliate
consummates a transaction described in Section 424(a) of the Code (e.g., the acquisition of property or stock from an unrelated corporation), persons who become Employees, Nonemployee Directors or Consultants on account of such transaction may
be granted Options in substitution for options granted by their former employer. If such substitute Options are granted, the Committee, in its sole discretion and consistent with Section 424(a) of the Code, may determine that such substitute
Options shall have an exercise price less than one hundred percent (100%) of the Fair Market Value of the Shares on the Grant Date. 
 5.4 Expiration of Options. 
 5.4.1 Expiration Dates. Each Option shall terminate no later than the
first to occur of the following events: 
 (a) The date for termination of the Option set forth in the written Award
Agreement; or 
 (b) The expiration of ten (10) years from the Grant Date. 
 5.4.2 Death of Participant. Notwithstanding Section 5.4.1, if a Participant dies prior to the expiration of his or her
Options, the Committee, in its discretion, may provide that his or her Options shall be exercisable for up to three (3) years after the date of death. 
 5.4.3 Committee Discretion. Subject to the ten and thirteen-year limits of Sections 5.4.1 and 5.4.2, the Committee, in its sole discretion, (a) shall provide in each Award Agreement when each Option
expires and becomes unexercisable, and (b) may, after an Option is 

  

 7 

 
granted, extend the maximum term of the Option (subject to Section 5.8.4 regarding Incentive Stock Options). 
 5.5 Exercisability of Options. Options granted under the Plan shall be exercisable at such times and be subject to such restrictions and
conditions as the Committee shall determine in its sole discretion. After an Option is granted, the Committee, in its sole discretion, may accelerate the exercisability of the Option. 
 5.6 Payment. Options shall be exercised by the Participant giving notice and following such procedures as the Company (or its designee) may
specify from time to time. Exercise of an Option also requires that the Participant make arrangements satisfactory to the Company for full payment of the Exercise Price for the Shares. All exercise notices shall be given in the form and manner
specified by the Company from time to time. The Exercise Price shall be payable to the Company in full in cash or its equivalent. The Committee, in its sole discretion, also may permit exercise (a) by tendering previously acquired Shares having
an aggregate Fair Market Value at the time of exercise equal to the total Exercise Price, or (b) by any other means which the Committee, in its sole discretion, determines to both provide legal consideration for the Shares, and to be consistent
with the purposes of the Plan. Any Shares tendered in payment of the Exercise Price of an Option must have been owned by the Participant (or any beneficiary) for at least six (6) months prior to the date of exercise, unless determined otherwise
by Committee (in its sole discretion). As soon as practicable after receipt of a notification of exercise satisfactory to the Company and full payment for the Shares purchased, the Company shall deliver to the Participant (or the Participant’s
designated broker), Share certificates (which may be in book entry form) representing such Shares. 
 5.7 Restrictions on Share
Transferability. The Committee may impose such restrictions on any Shares acquired pursuant to the exercise of an Option as it may deem advisable, including, but not limited to, restrictions related to applicable federal securities laws,
the requirements of any national securities exchange or system upon which Shares are then listed or traded, or any blue sky or state securities laws. 
 5.8 Certain Additional Provisions for Incentive Stock Options.
 5.8.1
Exercisability. The aggregate Fair Market Value (determined on the Grant Date(s)) of the Shares with respect to which Incentive Stock Options are exercisable for the first time by any Employee during any calendar year (under all plans of the
Company and its Subsidiaries) shall not exceed $100,000. 
 5.8.2 Termination of Service. No Incentive Stock Option may
be exercised more than three (3) months after the Participant’s Termination of Service for any reason other than Disability or death, unless (a) the Participant dies during such three-month period, and/or (b) the Award Agreement
or the Committee permits later exercise (in which case the Option instead may be deemed to be a Nonqualified Stock Option). No Incentive Stock Option may be exercised more than one (1) year after the Participant’s Termination of Service on
account of Disability, unless (a) the Participant dies during such one-year period, and/or (b) the Award Agreement or the Committee 

  

 8 

 
permit later exercise (in which case the option instead may be deemed to be a Nonqualified Stock Option). 
 5.8.3 Employees Only. Incentive Stock Options may be granted only to persons who are Employees on the Grant Date. 
 5.8.4 Expiration. No Incentive Stock Option may be exercised after the expiration of ten (10) years from the Grant Date;
provided, however, that if the Option is granted to an Employee who, together with persons whose stock ownership is attributed to the Employee pursuant to Section 424(d) of the Code, owns stock possessing more than 10% of the total combined
voting power of all classes of the stock of the Company or any of its Subsidiaries, the Option may not be exercised after the expiration of five (5) years from the Grant Date. 
 SECTION 6 
 STOCK APPRECIATION RIGHTS 
 6.1 Grant of SARs. Subject to the terms and conditions of the Plan, SARs may be granted to Employees, Directors and Consultants at any time
and from time to time as shall be determined by the Committee, in its sole discretion. 
 6.1.1 Number of Shares. The
Committee shall have complete discretion to determine the number of SARs granted to any Participant, provided that during any Fiscal Year, no Participant shall be granted SARs (and/or other Awards) covering more than a total of 13,800,000 Shares.

 6.1.2 Exercise Price and Other Terms. The Committee, subject to the provisions of the Plan, shall have complete
discretion to determine the terms and conditions of SARs granted under the Plan. The Exercise Price of each SAR shall be determined by the Committee in its discretion but shall not be less than one hundred percent (100%) of the Fair Market
Value of a Share on the Grant Date. 
 6.2 SAR Agreement. Each SAR grant shall be evidenced by an Award Agreement that shall
specify the exercise price, the term of the SAR, the conditions of exercise, and such other terms and conditions as the Committee, in its sole discretion, shall determine. 
 6.3 Expiration of SARs. An SAR granted under the Plan shall expire upon the date determined by the Committee, in its sole discretion, and set
forth in the Award Agreement. Notwithstanding the foregoing, the rules of Section 5.4 also shall apply to SARs. 
 6.4 Payment of SAR
Amount. Upon exercise of an SAR, a Participant shall be entitled to receive payment from the Company in an amount determined by multiplying: 
 (a) The difference between the Fair Market Value of a Share on the date of exercise over the exercise price; times 
  

 9 

 (b) The number of Shares with respect to which the SAR is exercised. At the discretion of
the Committee, the payment upon SAR exercise may be in cash, in Shares of equivalent value, or in some combination thereof. 
 SECTION 7

 RESTRICTED STOCK 
 7.1 Grant
of Restricted Stock. Subject to the terms and provisions of the Plan, the Committee, at any time and from time to time, may grant Shares of Restricted Stock to Employees, Directors and Consultants as the Committee, in its sole discretion,
shall determine. The Committee, in its sole discretion, shall determine the number of Shares to be granted to each Participant, provided that during any Fiscal Year, no Participant shall receive more than a total of 13,800,000 Shares of Restricted
Stock (and/or other Awards). 
 7.2 Restricted Stock Agreement. Each Award of Restricted Stock shall be evidenced by an Award
Agreement that shall specify the Period of Restriction, the number of Shares granted, and such other terms and conditions as the Committee, in its sole discretion, shall determine. Unless the Committee determines otherwise, Shares of Restricted
Stock shall be held by the Company as escrow agent until the restrictions on such Shares have lapsed. 
 7.3
Transferability. Except as provided in this Section 7, Shares of Restricted Stock may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated until the end of the applicable Period of Restriction.

 7.4 Other Restrictions. The Committee, in its sole discretion, may impose such other restrictions on Shares of Restricted
Stock as it may deem advisable or appropriate, in accordance with this Section 7.4. 
 7.4.1 General Restrictions.
The Committee may set restrictions based upon continued employment or service with the Company and its Affiliates, the achievement of specific performance objectives (Company-wide, departmental, or individual), applicable federal or state securities
laws, or any other basis determined by the Committee in its discretion. 
 7.4.2 Section 162(m) Performance
Restrictions. For purposes of qualifying grants of Restricted Stock as “performance-based compensation” under Section 162(m) of the Code, the Committee, in its discretion, may set restrictions based upon the achievement of
Performance Goals. The Performance Goals shall be set by the Committee on or before the latest date permissible to enable the Restricted Stock to qualify as “performance-based compensation” under Section 162(m) of the Code. In
granting Restricted Stock which is intended to qualify under Section 162(m) of the Code, the Committee shall follow any procedures determined by it from time to time to be necessary or appropriate to ensure qualification of the Restricted Stock
under Section 162(m) of the Code (e.g., in determining the Performance Goals). 
 7.4.3 Legend on Certificates.
The Committee, in its discretion, may legend the certificates representing Restricted Stock to give appropriate notice of such restrictions. 
  

 10 

 7.5 Removal of Restrictions. Except as otherwise provided in this Section 7, Shares of
Restricted Stock covered by each Restricted Stock grant made under the Plan shall be released from escrow as soon as practicable after the last day of the Period of Restriction. The Committee, in its discretion, may accelerate the time at which any
restrictions shall lapse or be removed. After the restrictions have lapsed, the Participant shall be entitled to have any legend or legends under Section 7.4.3 removed from his or her Share certificate and the Shares shall be freely
transferable by the Participant. The Committee (in its discretion) may establish procedures regarding the release of Shares from escrow and the removal of legends, as necessary or appropriate to minimize administrative burdens on the Company

 7.6 Voting Rights. During the Period of Restriction, Participants holding Shares of Restricted Stock granted hereunder may
exercise full voting rights with respect to those Shares, unless the Committee determines otherwise. 
 7.7 Dividends and Other
Distributions. During the Period of Restriction, Participants holding Shares of Restricted Stock shall be entitled to receive all dividends and other distributions paid with respect to such Shares unless otherwise provided in the Award
Agreement. Any such dividends or distribution shall be subject to the same restrictions on transferability and forfeitability as the Shares of Restricted Stock with respect to which they were paid, unless otherwise provided in the Award Agreement.

 7.8 Return of Restricted Stock to Company. On the date set forth in the Award Agreement, the Restricted Stock for which
restrictions have not lapsed shall revert to the Company and again shall become available for grant under the Plan. 
 SECTION 8 

PERFORMANCE UNITS 
 8.1 Grant of
Performance Units. Performance Units may be granted to Employees, Directors and Consultants at any time and from time to time, as shall be determined by the Committee, in its sole discretion. The Committee shall have complete discretion in
determining the number of Performance Units granted to each Participant provided that during any Fiscal Year, no Participant shall receive Performance Units having an initial value greater than $3,000,000. 
 8.2 Value of Performance Units. Each Performance Unit shall have an initial value that is established by the Committee on or before the Grant
Date. 
 8.3 Performance Objectives and Other Terms. The Committee, in its discretion, shall set performance objectives or other
vesting criteria which, depending on the extent to which they are met, will determine the number or value of Performance Units that will be paid out to the Participants. Each Award of Performance Units shall be evidenced by an Award Agreement that
shall specify the Performance Period, and such other terms and conditions as the Committee, in its sole discretion, shall determine. 
  

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 8.3.1 General Performance Objectives or Vesting Criteria. The Committee may set
performance objectives or vesting criteria based upon the achievement of Company-wide, departmental, or individual goals, applicable federal or state securities laws, or any other basis determined by the Committee in its discretion (for example, but
not by way of limitation, continuous service as an Employee, Director or Consultant). 
 8.3.2 Section 162(m)
Performance Objectives. For purposes of qualifying grants of Performance Units as “performance-based compensation” under Section 162(m) of the Code, the Committee, in its discretion, may determine that the performance objectives
applicable to Performance Units shall be based on the achievement of Performance Goals. The Performance Goals shall be set by the Committee on or before the latest date permissible to enable the Performance Units to qualify as
“performance-based compensation” under Section 162(m) of the Code. In granting Performance Units that are intended to qualify under Section 162(m) of the Code, the Committee shall follow any procedures determined by it from time
to time to be necessary or appropriate to ensure qualification of the Performance Units under Section 162(m) of the Code (e.g., in determining the Performance Goals). 
 8.4 Earning of Performance Units. After the applicable Performance Period has ended, the holder of Performance Units shall be entitled to
receive a payout of the number of Performance Units earned by the Participant over the Performance Period, to be determined as a function of the extent to which the corresponding performance objectives have been achieved. After the grant of a
Performance Unit, the Committee, in its sole discretion, may reduce or waive any performance objectives for such Performance Unit. 
 8.5
Form and Timing of Payment of Performance Units. Payment of earned Performance Units shall be made as soon as practicable after the expiration of the applicable Performance Period. The Committee, in its sole discretion, may pay earned
Performance Units in the form of cash, in Shares (which have an aggregate Fair Market Value equal to the value of the earned Performance Units at the close of the applicable Performance Period) or in a combination thereof. 
 8.6 Cancellation of Performance Units. On the date set forth in the Award Agreement, all unearned or unvested Performance Units shall be
forfeited to the Company, and again shall be available for grant under the Plan. 
 SECTION 9 
 PERFORMANCE SHARES 
 9.1 Grant of
Performance Shares. Performance Shares may be granted to Employees, Directors and Consultants at any time and from time to time, as shall be determined by the Committee, in its sole discretion. The Committee shall have complete discretion
in determining the number of Performance Shares granted to each Participant, provided that during any Fiscal Year, no Participant shall be granted more than a total of 13,800,000 Performance Shares (and/or other Awards). 
  

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 9.2 Value of Performance Shares. Each Performance Share shall have an initial value equal to
the Fair Market Value of a Share on the Grant Date. 
 9.3 Performance Share Agreement. Each Award of Performance Shares shall be
evidenced by an Award Agreement that shall specify any vesting conditions, the number of Performance Shares granted, and such other terms and conditions as the Committee, in its sole discretion, shall determine. 
 9.4 Performance Objectives and Other Terms. The Committee, in its discretion, shall set performance objectives or other vesting criteria
which, depending on the extent to which they are met, will determine the number or value of Performance Shares that will be paid out to the Participants. Each Award of Performance Shares shall be evidenced by an Award Agreement that shall specify
the Performance Period, and such other terms and conditions as the Committee, in its sole discretion, shall determine. 
 9.4.1 General Performance Objectives or Vesting Criteria. The Committee may set performance objectives or vesting criteria based upon the achievement of Company-wide, departmental, or individual goals, applicable federal or state
securities laws, or any other basis determined by the Committee in its discretion (for example, but not by way of limitation, continuous service as an Employee, Director or Consultant). 
 9.4.2 Section 162(m) Performance Objectives. For purposes of qualifying grants of Performance Shares as
“performance-based compensation” under Section 162(m) of the Code, the Committee, in its discretion, may determine that the performance objectives applicable to Performance Shares shall be based on the achievement of Performance
Goals. The Performance Goals shall be set by the Committee on or before the latest date permissible to enable the Performance Shares to qualify as “performance-based compensation” under Section 162(m) of the Code. In granting
Performance Shares that are intended to qualify under Section 162(m) of the Code, the Committee shall follow any procedures determined by it from time to time to be necessary or appropriate to ensure qualification of the Performance Shares
under Section 162(m) of the Code (e.g., in determining the Performance Goals). 
 9.5 Earning of Performance Shares. After
the applicable Performance Period has ended, the holder of Performance Shares shall be entitled to receive a payout of the number of Performance Shares earned by the Participant over the Performance Period, to be determined as a function of the
extent to which the corresponding performance objectives have been achieved. After the grant of a Performance Share, the Committee, in its sole discretion, may reduce or waive any performance objectives for such Performance Share. 
 9.6 Form and Timing of Payment of Performance Shares. Payment of vested Performance Shares shall be made as soon as practicable after vesting
(subject to any deferral permitted under Section 11.1). The Committee, in its sole discretion, may pay Performance Shares in the form of cash, in Shares or in a combination thereof. 
  

 13 

 9.7 Cancellation of Performance Shares. On the date set forth in the Award Agreement, all
unvested Performance Shares shall be forfeited to the Company, and except as otherwise determined by the Committee, again shall be available for grant under the Plan. 
 SECTION 10 
 [INTENTIONALLY OMITTED] 
 SECTION 11 
 MISCELLANEOUS 
 11.1 Deferrals. The Committee, in its sole discretion, may permit a Participant to defer receipt of the payment of cash or the delivery of
Shares that would otherwise be due to such Participant under an Award. Any such deferral elections shall be subject to such rules and procedures as shall be determined by the Committee in its sole discretion. 
 11.2 No Effect on Employment or Service. Nothing in the Plan shall interfere with or limit in any way the right of the Company to terminate
any Participant’s employment or service at any time, with or without cause. For purposes of the Plan, transfer of employment of a Participant between the Company and any one of its Subsidiaries (or between its Subsidiaries) shall not be deemed
a Termination of Service. Employment with the Company and its Subsidiaries is on an at-will basis only. 
 11.3 Participation. No
Employee, Director or Consultant shall have the right to be selected to receive an Award under this Plan, or, having been so selected, to be selected to receive a future Award. 
 11.4 Indemnification. Each person who is or shall have been a member of the Committee, or of the Board, shall be indemnified and held
harmless by the Company against and from (a) any loss, cost, liability, or expense that may be imposed upon or reasonably incurred by him or her in connection with or resulting from any claim, action, suit, or proceeding to which he or she may
be a party or in which he or she may be involved by reason of any action taken or failure to act under the Plan or any Award Agreement, and (b) from any and all amounts paid by him or her in settlement thereof, with the Company’s approval,
or paid by him or her in satisfaction of any judgment in any such claim, action, suit, or proceeding against him or her, provided he or she shall give the Company an opportunity, at its own expense, to handle and defend the same before he or she
undertakes to handle and defend it on his or her own behalf. The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such persons may be entitled under the Company’s Articles of
Incorporation or Bylaws, by contract, as a matter of law, or otherwise, or under any power that the Company may have to indemnify them or hold them harmless. 
  

 14 

 11.5 Successors. All obligations of the Company under the Plan, with respect to Awards
granted hereunder, shall be binding on any successor to the Company, whether the existence of such successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise, of all or substantially all of the business or assets
of the Company. 
 11.6 Beneficiary Designations. If permitted by the Committee, a Participant under the Plan may name a
beneficiary or beneficiaries to whom any vested but unpaid Award shall be paid in the event of the Participant’s death. Each such designation shall revoke all prior designations by the Participant and shall be effective only if given in a form
and manner acceptable to the Committee. In the absence of any such designation, any vested benefits remaining unpaid at the Participant’s death shall be paid to the Participant’s estate and, subject to the terms of the Plan and of the
applicable Award Agreement, any unexercised vested Award may be exercised by the administrator or executor of the Participant’s estate. 
 11.7 Limited Transferability of Awards. No Award granted under the Plan may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will, by the laws of descent and distribution, or to the
limited extent provided in Section 11.6. All rights with respect to an Award granted to a Participant shall be available during his or her lifetime only to the Participant. Notwithstanding the foregoing, a Participant may, if the Committee (in
its discretion) so permits, transfer an Award to an individual or entity other than the Company. Any such transfer shall be made in accordance with such procedures as the Committee may specify from time to time. 
 11.8 No Rights as Shareholder. Except to the limited extent provided in Sections 7.6, no Participant (nor any beneficiary) shall have
any of the rights or privileges of a shareholder of the Company with respect to any Shares issuable pursuant to an Award (or exercise thereof), unless and until certificates representing such Shares shall have been issued, recorded on the records of
the Company or its transfer agents or registrars, and delivered to the Participant (or beneficiary). 
 SECTION 12 
 AMENDMENT, TERMINATION, AND DURATION 
 12.1
Amendment, Suspension, or Termination. The Board, in its sole discretion, may amend, suspend or terminate the Plan, or any part thereof, at any time and for any reason. The amendment, suspension, or termination of the Plan shall not,
without the consent of the Participant, alter or impair any rights or obligations under any Award theretofore granted to such Participant. Notwithstanding anything to the contrary in the Plan, the Company reserves the right, but not the obligation,
to revise the Plan and any Awards as it deems necessary or advisable, in its sole discretion and without the consent of the Participant, to comply with Section 409A of the Code or to otherwise avoid imposition of any additional tax or income
recognition under Section 409A of the Code. No Award may be granted during any period of suspension or after termination of the Plan. 
 12.2 Duration of the Plan. The Plan became effective August 20, 2004, and subject to Section 12.1 (regarding the Board’s right to amend or terminate the Plan), shall remain in effect 
  

 15 

 
thereafter. However, without further shareholder approval, no Incentive Stock Option may be granted under the Plan following the Merger. 
 SECTION 13 
 TAX WITHHOLDING 
 13.1 Withholding Requirements. Prior to the delivery of any Shares or cash pursuant to an Award (or exercise thereof), the Company shall have
the power and the right to deduct or withhold, or require a Participant to remit to the Company, an amount sufficient to satisfy federal, state, and local taxes (including the Participant’s FICA obligation) required to be withheld with respect
to such Award (or exercise thereof). 
 13.2 Withholding Arrangements. The Committee, in its sole discretion and pursuant to such
procedures as it may specify from time to time, may permit a Participant to satisfy such tax withholding obligation, in whole or in part by (a) electing to have the Company withhold otherwise deliverable Shares, or (b) delivering to the
Company already-owned Shares having a Fair Market Value equal to the minimum amount required to be withheld. 
 SECTION 14 
 LEGAL CONSTRUCTION 
 14.1 Gender and
Number. Except where otherwise indicated by the context, any masculine term used herein also shall include the feminine; the plural shall include the singular and the singular shall include the plural. 
 14.2 Severability. In the event any provision of the Plan shall be held illegal or invalid for any reason, the illegality or invalidity shall
not affect the remaining parts of the Plan, and the Plan shall be construed and enforced as if the illegal or invalid provision had not been included. 
 14.3 Requirements of Law. The granting of Awards and the issuance of Shares under the Plan shall be subject to all applicable laws, rules, and regulations, and to such approvals by any governmental
agencies or national securities exchanges as may be required. 
 14.4 Securities Law Compliance. With respect to Section 16
Persons, transactions under this Plan are intended to qualify for the exemption provided by Rule 16b-3. To the extent any provision of the Plan, Award Agreement or action by the Committee fails to so comply, it shall be deemed null and void, to the
extent permitted by law and deemed advisable or appropriate by the Committee. 
 14.5 Governing Law. The Plan and all Award
Agreements shall be construed in accordance with and governed by the laws of the State of Delaware (with the exception of its conflict of laws provisions). 
  

 16 

 14.6 Captions. Captions are provided herein for convenience only, and shall not serve as a
basis for interpretation or construction of the Plan. 
  

 17

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