Document:

Settlement Agreement and Release

 Exhibit 10.1 
  
 SETTLEMENT AGREEMENT AND RELEASE 
  
 This Settlement Agreement and Release (“Agreement”) is entered by and between Richard J. Sabolik
(“Sabolik”), on the one hand, and Radiologix, Inc. (“Radiologix” or the “Company”), on the other hand (together the “Parties”), effective as of March 29, 2005: 
  
 WHEREAS, Sabolik began employment with Radiologix as the
Company’s Chief Financial Officer (“CFO”) on or about March 15, 2004; 
  
 WHEREAS, Radiologix asked Sabolik to resign from the Company as CFO and thereafter terminated Sabolik’s employment, without cause, effective December 31, 2004; 
  
 WHEREAS, Sabolik claims that he had an employment agreement with
Radiologix and that, Radiologix should have provided Sabolik, among other things, severance pay, bonus pay, and an extension of his right to exercise through December 31, 2005, one hundred thousand (100,000) stock options that had vested as of
December 31, 2004; 
  
 WHEREAS, Radiologix denies it had an
employment agreement with Sabolik other than to provide him a salary of $285,000.00 as long as he served as CFO and to provide him certain stock option rights; and 
  
 WHEREAS, Sabolik and Radiologix desire to fully and finally settle and resolve any controversies existing between
them pertaining, among other things, to the matters described herein. 
  
 NOW, THEREFORE, FOR GOOD AND VALUABLE CONSIDERATION, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows: 
  
 1. The Parties expressly agree that this Agreement is made purely on a compromise basis to avoid the expense and
inconvenience of litigation over the disputed claims and is in no respect an admission of liability and/or fault on the part of either Radiologix and/or Sabolik; all such liability and/or fault has been, and continues to be, expressly denied by the
Parties. 
  
 SETTLEMENT AGREEMENT AND RELEASE – PAGE 1 

 2. In consideration for the representations and warranties contained in this Agreement, Radiologix shall
pay Sabolik the sum of One Hundred Fifty Thousand Dollars ($150,000.00), which Radiologix shall deposit into Sabolik’s bank account via wire transfer no later than on March 29, 2005. Radiologix shall issue a W-2 and make all proper tax
withholdings with respect to this sum. 
  
 3. In consideration for
the representations and warranties contained in this Agreement, Radiologix shall pay Sabolik the additional sum of Three Thousand Six Hundred Eighty-One and 29/100 Dollars ($3,681.29) for attorneys’ fees incurred by Sabolik and charged by the
law firm of Gardere Wynne Sewell LLP in connection with the SEC’s inquiry of Sabolik’s termination. Radiologix shall deposit this amount into the bank account of Sabolik via wire transfer no later than on March 29, 2005. 
  
 4. In consideration for the representations and warranties contained in this
Agreement, Radiologix agrees to reimburse Sabolik for additional reasonable attorneys’ fees, if any, incurred by Sabolik as a result of further SEC follow-up inquiries and/or investigations into Radiologix, if any, pursuant to the
Indemnification Agreement between Sabolik and Radiologix dated April 15, 2004. 
  
 5. In consideration for the representations and warranties contained in this Agreement, Radiologix hereby extends the period during which Sabolik may exercise through December 31, 2005, the one hundred thousand
(100,000) stock options that had vested as of December 31, 2004. 
  
 SETTLEMENT
AGREEMENT AND RELEASE – PAGE 2 

 6. As consideration for the payments and exchanges recited above, Sabolik, his spouse, heirs, agents,
representatives and/or assigns, hereby knowingly, voluntarily and intentionally agree to and do fully and finally settle, release, waive, discharge and quit-claim any and all claims, demands or causes of action, and declaratory and injunctive
relief, whether legal, equitable or administrative, whether known or unknown, contingent or non-contingent based, in whole or in part, on facts occurring at any time prior to the execution of this Agreement against Radiologix, its affiliates,
subsidiaries, officers, directors, shareholders, employees, agents, representatives, predecessors, successors, assigns, insurers and/or attorneys and each of them, including but not limited to those relating to (i) Sabolik’s hiring, employment
with or termination from Radiologix and (ii) under federal or state law, including, but not limited to, the Age Discrimination in Employment Act of 1967, 42 U.S.C. §§ 1981-1988, Title VII of the Civil Rights Act of 1964, the Equal Pay Act,
the Employee Retirement Income Security Act of 1974, the Consolidated Omnibus Budget Reconciliation Act, the National Labor Relations Act, the Occupational Safety and Health Act, the Fair Labor Standards Act, the Family and Medical Leave Act of
1993, the Workers Adjustment and Retraining Act, the Americans with Disabilities Act of 1990, the Texas Labor Code, the Texas Commission on Human Rights Act, the Texas Payday Act, Chapter 38 of the Texas Civil Practices and Remedies Code, and any
provision of the state or federal Constitutions or Texas common law, except Sabolik does not release his claims relating to (a) Radiologix’s obligations set forth in this Agreement; (b) Sabolik’s stock option agreement and 401(k) plan with
Radiologix; (c) the rights and obligations pursuant to the Indemnification Agreement referenced in Paragraph 4 above; and (d) Sabolik’s rights to indemnification or advancement of expenses under Radiologix’s charter or bylaws or under any
applicable insurance policy (specifically including any applicable “directors or officers” insurance policy) of or maintained by Radiologix or otherwise applicable to Radiologix or otherwise applicable to Radiologix’s directors or
officers. 
  
 SETTLEMENT AGREEMENT AND RELEASE – PAGE 3 

 7. As consideration for the exchanges recited above and for other good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, Radiologix, its affiliates, subsidiaries, agents, representatives, successors and/or assigns, hereby knowingly, voluntarily and intentionally agree to and do fully and finally settle, release,
waive, discharge and quit-claim any and all claims, demands or causes of action, and declaratory and injunctive relief, whether legal, equitable or administrative, whether known or unknown, contingent or non-contingent based, in whole or in part, on
facts occurring at any time prior to the execution of this Agreement against Sabolik, his spouse, heirs, assigns, agents, representatives, insurers and attorneys and each of them, including but not limited to those relating to (i) Sabolik’s
employment with and/or termination from Radiologix, and (ii) under federal or state law, including but not limited to Chapter 38 of the Texas Civil Practices and Remedies Code, and any provision of the state or federal Constitutions or Texas common
law except Radiologix does not release its claims relating to (a) Sabolik’s obligations set forth in this Agreement; (b) Sabolik’s obligations under the stock option agreement and 401(k) plan with Radiologix; (c) Sabolik’s obligations
pursuant to the Indemnification Agreement referenced in Paragraph 4 above; and (d) Sabolik’s obligations concerning indemnification or advancement of expenses to him under Radiologix’s charter or bylaws or under any applicable insurance
policy (specifically including any applicable “directors or officers” insurance policy) of or maintained by Radiologix or otherwise applicable to Radiologix’s directors or officers. 
  
 SETTLEMENT AGREEMENT AND RELEASE – PAGE 4 

 8. Except as set forth in Paragraphs 3 and 4 above, each Party shall bear their own attorneys’ fees
incurred with respect to Sabolik’s employment with and termination from Radiologix. 
  
 9. Except as required by law or provided in this Agreement, each of the Parties agrees to keep confidential the specific terms of this Agreement, and shall not disclose the terms of this Agreement or the circumstances
of Sabolik’s termination to any person except Sabolik’s spouse, the financial, tax and legal advisors of Sabolik and Radiologix (and the executive officers and Board of Directors of Radiologix), the SEC, or as necessary to enforce this
Agreement. Any disclosure made hereunder other than disclosures to the SEC and public disclosures required by law, shall be made only on the condition that the party to whom disclosure is made agrees to protect the confidentiality of the information
disclosed. This Agreement may be disclosed in, or filed as an exhibit to, any filing required under any securities laws to be made by Radiologix and/or Sabolik. 
  

10. Radiologix warrants and represents that this Agreement has been finally approved by Radiologix’s Board of Directors. 
  
 11. Radiologix warrants and represents that it owns and has not sold,
assigned, granted or transferred to any other person, firm, or corporation, any claim or cause of action, potential or actual, known or unknown, related to Sabolik’s employment with and/or termination from Radiologix, or any other claim covered
by this Agreement. 
  
 12. Sabolik warrants and represents that he
owns and has not sold, assigned, granted or transferred to any other person, firm, or corporation, any claim or cause of action, potential or actual, known or unknown, related to Sabolik’s employment with or termination from Radiologix, or any
other claim covered by this Agreement. 
  
 SETTLEMENT AGREEMENT AND RELEASE
– PAGE 5 

 13. This Agreement shall be binding upon and inure to the benefit of the Parties hereto and their
respective attorneys, employees, agents, representatives, heirs, successors, and assigns. 
  
 14. The Parties represent to each other that they have read this Agreement, and understand its provisions, terms and conditions without reservation. The provisions of this Agreement comprise all of the terms,
conditions, agreements, and representations of the Parties hereto regarding their agreements concerning the subject matter of this Agreement. This Agreement supersedes all prior agreements and understandings of the Parties relating to the subject
matter hereto. The Parties acknowledge that they have had ample opportunity to consult with their respective legal counsel and have not relied on any representations or statements of the other Party or such other Party’s counsel with respect to
the subject matter of this Agreement other than those representations or statements contained herein. This Agreement may be amended only by an instrument in writing, executed jointly by the Parties. 
  
 15. Each Party hereto has been represented by legal counsel of its or his own
independent choosing in the analysis and evaluation of the claims released herein, in the negotiations of the terms of this Agreement and the settlement evidenced hereby, and in the preparation of this Agreement. Each of the Parties has participated
in the drafting of this Agreement after consulting with counsel. No language in this Agreement shall be presumptively construed in favor of or against any of the Parties to it based solely on who drafted such language. 
  
 16. This Agreement is performable in whole or in part in Dallas County,
Texas, and shall be construed in accordance with the laws of the State of Texas. The Parties hereby consent to jurisdiction and venue in Dallas County, Texas in any suit to enforce this Agreement. 
  
 SETTLEMENT AGREEMENT AND RELEASE – PAGE 6 

 17. It is expressly understood and agreed that the terms of this Agreement are contractual and not mere
recitals and that the Parties hereto intend to be and are hereby bound to its terms. The Parties acknowledge that the covenants, promises, releases and agreements contained in this Agreement provide good and sufficient consideration for every
other promise, duty, release, obligation, covenant, agreement, and right contained in this Agreement. 
  
 18. This Agreement may be executed by signatures on separate, identical, complete counterparts, and, if so executed, each of the various identical
counterparts shall be deemed an original for all purposes and all of such counterparts, collectively, shall constitute one instrument for all purposes. For convenience, the several executed signature and acknowledgment pages may be collected and
annexed to one or more counterparts to form complete, fully executed counterparts. This Agreement shall not be effective unless and until each of the Parties has executed and acknowledged a complete counterpart of this Agreement. Signed counterparts
and/or signature pages transmitted by facsimile shall be as effective as originals. 
  
 19. The waiver by any Party hereto of a breach of any provision of this Agreement shall not operate or be construed as a waiver of any subsequent breach by any Party, nor shall any such waiver operate or be construed
as a rescission of this Agreement. 
  
 20. This Agreement is fully
and voluntarily entered into by the Parties hereto. Each Party states that it or he has read this Agreement, has obtained advice of counsel if it or he so desired, understands all of this Agreement, and executes this Agreement voluntarily and of its
or his own free will and accord, without any coercion, either economic or physical, from any third party or Party to this Agreement, with full knowledge of the legal significance and consequences of this Agreement. 
  
 SETTLEMENT AGREEMENT AND RELEASE – PAGE 7 

 21. Sabolik acknowledges and agrees that he first received the original of this Agreement on or before
March 28, 2005. Sabolik also understands and agrees that he has been given at least twenty-one (21) calendar days from the date he first received this Agreement to obtain the advice and counsel of the legal representative of his choice and to decide
whether to sign it. Sabolik acknowledges that he has been advised and has sought the advice of his own counsel. Sabolik understands that he may sign the Agreement at any time on or before the expiration of this twenty-one day period. Sabolik also
understands that for seven calendar days after he signs this Agreement he has the right to revoke it, and that this Agreement will not become effective and enforceable until after the expiration of this seven-day period in which he did not exercise
his right of revocation. If Sabolik revokes this Agreement, he will immediately pay to Radiologix all payments Radiologix made to him under this Agreement. Sabolik specifically understands and agrees that any attempt by him to revoke this Agreement
after the seven-day period has expired is, or will be, ineffective. Sabolik warrants, represents and agrees that he has thoroughly discussed all aspects and effects of this Agreement with his attorney, that he has had a reasonable time to
review the Agreement, that he fully understands all the provisions of the Agreement and that he is voluntarily entering into this Agreement. By signing this Agreement, Sabolik acknowledges the following: 
  
 I ACKNOWLEDGE THAT I HAVE CAREFULLY READ THE FOREGOING AGREEMENT, THAT I
UNDERSTAND ALL OF ITS TERMS, AND THAT I AM ENTERING INTO IT VOLUNTARILY. I FURTHER ACKNOWLEDGE THAT I AM AWARE OF MY RIGHTS TO REVIEW AND CONSIDER THIS AGREEMENT FOR 21 DAYS AND TO CONSULT WITH AN ATTORNEY ABOUT IT, AND STATE THAT 
  
 SETTLEMENT AGREEMENT AND RELEASE – PAGE 8 

 
BEFORE SIGNING THIS AGREEMENT, I HAVE EXERCISED THESE RIGHTS TO THE FULL EXTENT THAT I DESIRED. 
  
 IN WITNESS WHEREOF, the Parties have executed this Agreement as follows: 

 

			
	  

	RICHARD J. SABOLIK
		
	 Date:
	 	 
	
	RADILOGIX, INC.
		
	 By:
	 	  

		
	 Its:
	 	  

		
	 Date:
	 	 

  
 SETTLEMENT AGREEMENT AND
RELEASE – PAGE 9 
  
  

			
	STATE OF TEXAS	 	§
	 	 	§
	COUNTY OF DALLAS	 	§

  
 BEFORE ME, the
undersigned authority, a notary public in and for the State of Texas, on this day personally appeared Richard J. Sabolik, known to me to be the person whose name is subscribed to the foregoing Settlement Agreement and Release, and acknowledged to me
that he is authorized to sign this document, and that he executed the same for the purposes and consideration therein expressed. 
  
 Given under my hand and seal of office on this
                     day of
                     2005. 
  

			
	 My Commission Expires:
	 	  

	  

	 	Notary Public, State of Texas

  
 SETTLEMENT AGREEMENT AND RELEASE
– PAGE 10 

			
	 STATE OF TEXAS
	 	§
	 	 	§
	 COUNTY OF DALLAS
	 	§

  
 BEFORE ME, the
undersigned authority, on this day personally appeared                     , known to me to be the person whose name is subscribed above, and
affirmed that he is the                      and an authorized agent of Radiologix, Inc., and that he executed the above and foregoing
Settlement Agreement and Release as the act and deed of said company for the purposes and consideration therein expressed and with full authority to so act. 
  
 Given under my hand and seal of office on this
                     day of
                     2005. 
  

			
	My Commission Expires:	 	  

	  

	 	Notary Public, State of Texas

  
 SETTLEMENT AGREEMENT AND RELEASE
– PAGE 10Freescale Semiconductor, Inc. Omnibus Incentive Plan of 2005

 Exhibit 4.2 
  
 FREESCALE SEMICONDUCTOR, INC. 
  
 OMNIBUS INCENTIVE PLAN OF 2005 
  
 1. Purpose. The purposes of the Freescale Omnibus Incentive Plan of 2005 (the “Plan”) are (i) to
encourage outstanding individuals to accept or continue employment with Freescale Semiconductor, Inc. (“Freescale” or the “Company”) and its subsidiaries or to serve as directors of Freescale, and (ii) to furnish maximum
incentive to those persons to improve operations and increase profits and to strengthen the mutuality of interest between those persons and Freescale’s stockholders by providing them stock options and other stock and cash incentives.

  
 2. Administration. The Plan will be administered
by a Committee (the “Committee”) of the Freescale Board of Directors (the “Board”) consisting of two or more directors as the Board may designate from time to time, each of whom shall satisfy such requirements as: 
  

	 	(a)	the Securities and Exchange Commission may establish for administrators acting under plans intended to qualify for exemption under Rule 16b-3 or its successor under the
Securities Exchange Act of 1934 (the “Exchange Act”); 

  

	 	(b)	the New York Stock Exchange may establish pursuant to its rule-making authority; and 

  

	 	(c)	the Internal Revenue Service may establish for outside directors acting under plans intended to qualify for exemption under Section 162(m) of the Internal Revenue Code of
1986, as amended (the “Code”). 

  
 The
Committee shall have the authority to construe and interpret the Plan and any benefits granted thereunder, to establish and amend rules for Plan administration, to change the terms and conditions of options and other benefits at or after grant, and
to make all other determinations which it deems necessary or advisable for the administration of the Plan. The determinations of the Committee shall be made in accordance with the Committee members’ judgment as to the best interests of
Freescale and its stockholders and in accordance with the purposes of the Plan. A majority of the members of the Committee shall constitute a quorum, and all determinations of the Committee shall be made by a majority of its members. Any
determination of the Committee under the Plan may be made without notice or meeting of the Committee, in writing signed by all the Committee members. The Committee may authorize one or more officers of the Company to select employees to participate
in the Plan and to determine the number of option shares and other rights to be granted to such participants, except with respect to awards to officers subject to Section 16 of the Exchange Act or officers who are or who are reasonably expected to
be “covered employees” within the meaning of Section 162(m) of the Code (“Covered Employees”) and any reference in the Plan to the Committee shall include such officer or officers. 
  
 3. Participants. Participants may consist of all employees of
Freescale and its subsidiaries and all non-employee directors of Freescale. Any corporation or other entity in which a 50% or greater interest is at the time directly or indirectly owned by Freescale shall be a subsidiary for purposes of the Plan.
Designation of a participant in any year shall not require the Committee to designate that person to receive a benefit in any other year or to receive the same type or amount of benefit as granted to the participant in any other year or as granted
to any other participant in any year. The Committee shall consider all factors that it deems relevant in selecting participants and in determining the type and amount of their respective benefits. 
  
 4. Shares Available under the Plan. Subject to adjustment as
provided in Section 14, the number of shares that may be issued or transferred pursuant to awards made under the Plan shall not exceed in the aggregate 30,000,000 shares of Freescale Class A Common Stock (“Class A Common Stock”), plus any
shares relating to awards that expire or are forfeited or are cancelled. Shares covered by an award granted under the Plan shall not be 

 counted as used unless and until they are actually issued and delivered to a participant. Without limiting the generality
of the foregoing, (a) upon payment in cash of the benefit provided by any award granted under the Plan, any shares that were covered by that award will be available for issue or transfer hereunder and (b) the number of shares available under the
Plan as set forth above will be adjusted to account for shares that are transferred, surrendered or relinquished upon the payment of any option price by the transfer to Freescale of Class A Common Stock or upon satisfaction of any withholding
amount. All shares issued under the Plan may be either authorized and unissued shares or issued shares reacquired by Freescale. No participant may receive, under any plan of the Company, in any calendar year (i) Stock Options relating to more than
4,000,000 shares, (ii) Restricted Stock or Restricted Stock Units that are subject to the attainment of performance goals of Section 12 hereof relating to more than 2,000,000 shares, (iii) Stock Appreciation Rights relating to more than 4,000,000
shares, or (iv) Performance Stock relating to more than 2,000,000 shares. The shares reserved for issuance and the limitations set forth above shall be subject to adjustment in accordance with Section 14 hereof. The aggregate number of shares
actually issued or transferred by Freescale upon the exercise of Incentive Stock Options will not exceed 30,000,000 shares of Class A Common Stock (subject to adjustment in accordance with Section 14 hereof). Notwithstanding anything else contained
in this Section 4, the number of shares that may be issued under the Plan for benefits other than Stock Options or Stock Appreciation Rights shall not exceed a total of 20,000,000 shares (after taking into account any forfeitures, cancellations,
expirations and transfers upon satisfaction of any withholding amount and subject to adjustment in accordance with Section 14 hereof). 
  
 5. Types of Benefits. Benefits under the Plan shall consist of Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Stock
Units, Performance Stock, Performance Cash Awards, Annual Management Incentive Awards and Other Stock or Cash Awards, all as described below. 
  
 6. Stock Options. Stock options (“Stock Options”) may be granted to participants at any time as determined by the Committee. The
Committee shall determine the number of shares subject to each option and whether or not the option is an incentive stock option (“Incentive Stock Option”). Incentive Stock Options may only be granted to participants who meet the
definition of “employees” under Section 3401(c) of the Code. The option price for each option shall be determined by the Committee but shall not be less than 100% of the market price of Class A Common Stock on the date the option is
granted. Each option shall expire at such time as the Committee shall determine at the time of grant. Options shall be exercisable at such time and subject to such terms and conditions as the Committee shall determine; provided, however, that no
option shall be exercisable later than the tenth anniversary of its grant. The Committee shall have the right to make the timing of the grant and/or the issuance, ability to retain and/or vesting of shares under Stock Option awards subject to
continued employment, passage of time and/or level of achievement relative to the performance criteria described in Section 12 hereof as the Committee deems appropriate. No condition that is based on level of achievement relative to the performance
criteria shall be based on performance over a period of less than one year and no condition based on continued employment or the passage of time shall provide for vesting in full of a Stock Option award in less than pro rata installments over four
years from the date the award is made, other than with respect to such awards that are issued upon the death, disability or retirement of the participant, in each case as specified in the agreement evidencing such award. The option price, upon
exercise of any option, shall be payable to Freescale in full by (a) cash payment or its equivalent, (b) tendering previously acquired shares (held for at least six months if the Company is accounting for Stock Options using APB Opinion 25 or
purchased on the open market) having a market price at the time of exercise equal to the option price or certification of ownership of such previously-acquired shares, (c) to the extent permitted by law, delivery of a properly executed exercise
notice, together with irrevocable instructions to a broker to promptly deliver to Freescale the amount of sale proceeds from the option shares or loan proceeds to pay the exercise price and any withholding taxes due to Freescale, and (d) such other
methods of payment as the Committee, at its discretion, deems appropriate. In no event shall the Committee cancel any outstanding Stock Option for the purpose of reissuing the Stock Option to the participant at a lower exercise price or reduce the
exercise price of an outstanding Stock Option.  
  
 7.
Stock Appreciation Rights. Stock appreciation rights (“SARs”) may be granted to participants at any time as determined by the Committee. A SAR may be granted in tandem with a Stock Option granted under this Plan or on a
free-standing basis. The Committee also may, in its discretion, substitute SARs which can be settled only in stock for outstanding Stock Options at any time when the Company is subject to Fair Value Accounting in 

 accordance with Financial Accounting Standard Board’s Statement of Financial Accounting Standards No. 123. The grant
price of a tandem or substitute SAR shall be equal to the option price of the related option. The grant price of a free-standing SAR shall be equal to the market price of Class A Common Stock on the date of its grant. A SAR may be exercised upon
such terms and conditions and for the term as the Committee in its sole discretion determines; provided, however, that the term shall not exceed the option term in the case of a tandem or substitute SAR or ten years in the case of a free-standing
SAR and the terms and conditions applicable to a substitute SAR shall be substantially the same as those applicable to the Stock Option which it replaces. The Committee shall have the right to make the timing of the grant and/or the issuance,
ability to retain and/or vesting of shares under SAR awards subject to continued employment, passage of time and/or level of achievement relative to the performance criteria described in Section 12 hereof as the Committee deems appropriate. No
condition that is based on level of achievement relative to the performance criteria shall be based on performance over a period of less than one year and no condition based on continued employment or the passage of time shall provide for vesting in
full of a SAR award in less than pro rata installments over four years from the date the award is made, other than with respect to such awards that are issued upon the death, disability or retirement of the participant, in each case as specified in
the agreement evidencing such award. Upon exercise of a SAR, the participant shall be entitled to receive payment from Freescale in an amount determined by multiplying the excess of the market price of a share of Class A Common Stock on the date of
exercise over the grant price of the SAR by the number of shares with respect to which the SAR is exercised. The payment may be made in cash or stock, as determined by the Committee at the time of grant, except in the case of a substitute SAR, which
may be made only in stock. In no event shall the Committee cancel any outstanding SAR for the purpose of reissuing the right to the participant at a lower exercise price or reduce the exercise price of an outstanding SAR.  
  
 8. Restricted Stock and Restricted Stock Units. Restricted
stock (“Restricted Stock”) consists of Class A Common Stock which may be awarded or sold to participants under such terms and conditions as shall be established by the Committee. Restricted stock units (“Restricted Stock Units”)
provide participants the right to receive shares at a future date after vesting in accordance with the terms of such grant upon the attainment of certain conditions specified by the Committee. The Committee shall have the right to make the timing of
the grant and/or the issuance, ability to retain and/or vesting of shares under Restricted Stock or Restricted Stock Unit awards subject to continued employment, passage of time and/or level of achievement relative to the performance criteria
described in Section 12 hereof as the Committee deems appropriate. No condition that is based on level of achievement relative to the performance criteria shall be based on performance over a period of less than one year and no condition based on
continued employment or the passage of time shall provide for vesting in full of a Restricted Stock or Restricted Stock Unit award in less than pro rata installments over four years from the date the award is made, other than with respect to such
awards that are issued upon the death, disability or retirement of the participant, in each case as specified in the agreement evidencing such award. Restricted Stock and Restricted Stock Units may be subject to additional restrictions and
conditions as the Committee determines, including, without limitation, any of the following: 
  

	 	(a)	a prohibition against sale, assignment, transfer, pledge, hypothecation or other encumbrance for a specified period; 

  

	 	(b)	a requirement that the holder forfeit (or in the case of shares or units sold to the participant resell to Freescale at cost) such shares or units in the event of termination
of employment during the period of restriction; or 

  

	 	(c)	the attainment of performance goals described in Section 12 hereof. 

  
 All restrictions shall expire at such times as the Committee shall specify. 
  
 9. Performance Stock. The Committee shall designate the participants to whom performance stock
(“Performance Stock”) is to be awarded and determine the number of shares, the length of the performance period and the other terms and conditions of each such award; provided, however, that the minimum period for performance measurement
shall be one year. Each award of Performance Stock shall entitle the participant to a payment in the form of shares of Class A Common Stock upon the attainment of performance goals and other terms and conditions specified by the Committee.

 Notwithstanding satisfaction of any performance goals, the number of shares issued under a Performance
Stock award may be adjusted by the Committee on the basis of such further consideration as the Committee in its sole discretion shall determine. However, the Committee may not, in any event, increase the number of shares earned upon satisfaction of
any performance goal by any participant who is a Covered Employee. The Committee may, in its discretion, make a cash payment equal to the market price of shares of Class A Common Stock otherwise required to be issued to a participant pursuant to a
Performance Stock award. 
  
 10. Performance Cash
Awards. The Committee shall designate the participants to whom cash incentives based on performance (“Performance Cash Awards”) are to be awarded and determine the amount of the award and the terms and conditions of each such award.
Each Performance Cash Award shall entitle the participant to a payment in cash upon the attainment of performance goals and other terms and conditions specified by the Committee. 
  
 Notwithstanding the satisfaction of any performance goals, the amount to be paid under a Performance Cash Award may be
adjusted by the Committee on the basis of such further consideration as the Committee in its sole discretion shall determine. However, the Committee may not, in any event, increase the amount earned under Performance Cash Awards upon satisfaction of
any performance goal by any participant who is a Covered Employee and the maximum amount earned by a Covered Employee in any calendar year may not exceed $4,500,000. The Committee may, in its discretion, substitute actual shares of Class A Common
Stock for the cash payment otherwise required to be made to a participant pursuant to a Performance Cash Award. 
  
 11. Annual Management Incentive Awards. The Committee may designate Freescale executive officers who are Covered Employees and who are
eligible to receive a monetary payment in any calendar year based on a percentage of an incentive pool equal to no more than 5% of Freescale’s consolidated operating earnings for the calendar year. The Committee shall allocate an incentive pool
percentage to each designated participant for each calendar year. In no event may the incentive pool percentage for any one participant exceed 30% of the total pool. Consolidated operating earnings shall mean the consolidated earnings before income
taxes of the Company, computed in accordance with generally accepted accounting principles, but shall exclude the effects of special items. Special items shall include (i) gains or losses on the disposition of a business, (ii) changes in tax or
accounting regulations or laws, or (iii) the effect of a merger or acquisition, as determined in accordance with generally accepted accounting principles. 
  
 As soon as possible after the determination of the incentive pool for a Plan year, the Committee shall calculate the participant’s allocated portion
of the incentive pool based upon the percentage established at the beginning of the calendar year. The participant’s incentive award then shall be determined by the Committee based on the participant’s allocated portion of the incentive
pool subject to adjustment in the sole discretion of the Committee. In no event may the portion of the incentive pool allocated to a participant who is a Covered Employee be increased in any way, including as a result of the reduction of any other
participant’s allocated portion. 
  
 12.
Performance Goals. Awards of Stock Options, SARs, Restricted Stock, Restricted Stock Units, Performance Stock, Performance Cash Awards and other incentives under the Plan may be made subject to the attainment of performance goals relating
to one or more business criteria within the meaning of Section 162(m) of the Code (“Performance Criteria”). Performance Criteria may be described in terms of Company-wide objectives or objectives that are related to the performance of the
individual participant or of the subsidiary, division, department, region or function within the Company or subsidiary in which the participant is employed. The Performance Criteria may be made relative to the performance of other companies. If an
award to a Covered Employee is intended to qualify as “performance-based” compensation under Section 162(m) of the Code, the Performance Criteria applicable to any such award will be based on specified levels of or growth in one or more of
the following criteria: cash flow; cost; ratio of debt to debt plus equity; profit before tax; economic profit; earnings before interest and taxes; earnings before interest, taxes, depreciation and amortization; earnings per share; share price
performance; operating earnings; economic value added; ratio of operating earnings to capital spending; free cash flow; operating cash flow; net profit; net sales; return on sales; sales growth; price of Class A and/or Class B 

 Common Stock; return on net assets, equity, or stockholders’ equity; market share; return on invested capital;
return on assets or net assets; total return to stockholders; gross profit; new product innovation; product ship targets; employee retention; product release schedules; brand recognition and acceptance; customer satisfaction; or quality. If the
Committee determines that a change in the business, operations, corporate structure or capital structure of Freescale, or the manner in which it conducts its business, or other events or circumstances render the Performance Criteria unsuitable, the
Committee may in its discretion modify such Performance Criteria or the related minimum acceptable level of achievement, in whole or in part, as the Committee deems appropriate and equitable, except in the case of a Covered Employee where such
action would result in the loss of the otherwise available exemption of the award under Section 162(m) of the Code. In such case, the Committee will not make any modification of the Performance Criteria or minimum acceptable level of achievement
with respect to such Covered Employee. 
  
 13. Change in
Control. Except as otherwise determined by the Committee at the time of grant of an award, upon a Change in Control (defined below) of Freescale, all outstanding Stock Options and SARs shall become vested and exercisable; all restrictions on
Restricted Stock and Restricted Stock Units shall lapse; all performance goals shall be deemed achieved at target levels and all other terms and conditions met; all Performance Stock shall be delivered; all Performance Cash Awards and Restricted
Stock Units shall be paid out as promptly as practicable; all annual management incentive awards shall be paid out based on the consolidated operating earnings of the immediately preceding year or such other method of payment as may be determined by
the Committee at the time of award or thereafter but prior to the Change in Control; and all other Stock or Cash Awards shall be delivered or paid. 
  
 A “Change in Control” shall mean: the occurrence of any of the following events: (i) any “person” or “group” (as such terms
are used in Section 13(d) and 14(d) of the Exchange Act) is or becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of Freescale representing 20% or more of the combined
voting power of Freescale’s then outstanding securities (other than (1) Freescale or an employee benefit plan of Freescale or a corporation controlled by Freescale or (2) an acquisition directly from Freescale), (ii) there shall be consummated
(A) any consolidation, merger or reorganization of Freescale in which Freescale is not the surviving or continuing corporation or pursuant to which shares of Class A Common Stock would be converted into or exchanged for cash, securities or other
property, other than a consolidation, merger, or reorganization of Freescale in which the holders of common stock of all classes of Freescale immediately prior to the merger have, directly or indirectly, an ownership interest in securities
representing a majority of the combined voting power of the outstanding voting securities of the surviving corporation immediately after the transaction, or (B) any sale, lease, exchange or other transfer (in one transaction or a series of related
transactions) of all, or substantially all, of the assets of Freescale other than any such transaction with entities in which the holders of Freescale’s common stock, directly or indirectly, have an ownership interest in securities representing
a majority of the combined voting power of the outstanding voting securities of such entities immediately after the transaction, (iii) the stockholders of Freescale approve any plan or proposal for the liquidation or dissolution of Freescale, or
(iv) as the result of, or in connection with, any cash tender offer, exchange offer, merger or other business combination, sale of assets, proxy or consent solicitation (other than by the Board), contested election or substantial stock accumulation
(a “Control Transaction”), the members of the Board immediately prior to the first public announcement relating to such Control Transaction shall thereafter cease to constitute a majority of the Board. 
  
 14. Adjustment Provisions. The Committee may make or provide
for such adjustments in the numbers of shares of Class A Common Stock covered by outstanding awards granted hereunder, in the option price or other price of shares subject to outstanding awards granted under the Plan, and in the kind of shares
covered thereby, as the Committee, in its sole discretion, exercised in good faith, may determine is equitably required to prevent dilution or enlargement of the rights of participants that otherwise would result from (a) any stock dividend, stock
split, combination of shares, recapitalization or other change in the capital structure of Freescale, or (b) any merger, consolidation, spin-off, split- off, spin-out, split-up, reorganization, partial or complete liquidation or other distribution
of assets, issuance of rights or warrants to purchase securities, or (c) any other corporate transaction or event having an effect similar to any of the foregoing. Moreover, in the event of any such transaction or event, the Committee, in its
discretion, may provide in substitution for any or all outstanding awards under this Plan such alternative consideration (if any) as it, in good faith, may determine to be equitable in the circumstances and may 

 require in connection therewith the surrender of all awards so replaced. The Committee may also make or provide for such
adjustments in the numbers of shares specified in Section 4 of this Plan as the Committee in its sole discretion, exercised in good faith, may determine is appropriate to reflect any transaction or event described in this Section 14; provided,
however, that any such adjustment will be made only if and to the extent that such adjustment would not cause any option intended to qualify as an Incentive Stock Option to fail so to qualify. 
  
 15. Substitution and Assumption of Benefits. The Board or the
Committee may authorize the issuance of benefits under this Plan in connection with the assumption of, or substitution for, outstanding benefits previously granted to individuals who become employees of Freescale or any subsidiary as a result of any
merger, consolidation, acquisition of property or stock, or reorganization other than a Change in Control, upon such terms and conditions as the Committee may deem appropriate. 
  
 16. Nontransferability. Each benefit granted under the Plan shall not be transferable otherwise than by will
or the laws of descent and distribution and each Stock Option and SAR shall be exercisable during the participant’s lifetime only by the participant or, in the event of disability, by the participant’s personal representative. In the event
of the death of a participant, exercise of any benefit or payment with respect to any benefit shall be made only by or to the executor or administrator of the estate of the deceased participant or the person or persons to whom the deceased
participant’s rights under the benefit shall pass by will or the laws of descent and distribution. Notwithstanding the foregoing, at its discretion, the Committee may permit the transfer of stock options and SARs by participants, on a general
or specific basis, subject to such terms and conditions as may be established by the Committee. 
  
 17. Taxes. Freescale shall be entitled to withhold the amount of any tax attributable to any amounts payable or shares deliverable under the
Plan, after giving the person entitled to receive such payment or delivery notice and Freescale may defer making payment or delivery as to any award, if any such tax is payable until indemnified to its satisfaction. A participant may pay all or a
portion of any required withholding taxes arising in connection with the exercise of a Stock Option or SAR or the receipt or vesting of shares hereunder by electing to have Freescale withhold shares of Class A Common Stock, having a market price
equal to the minimum amount required to be withheld. 
  
 18.
Duration, Amendment and Termination. No award shall be granted more than ten years after the date of adoption of this Plan by the Board; provided, however, that the terms and conditions applicable to any award granted on or before such
date will continue in effect. The Board or the Committee may amend the Plan from time to time or terminate the Plan at any time. However, no such action shall reduce the amount of any existing award or change the terms and conditions thereof without
the participant’s consent. No material amendment of the Plan shall be made without stockholder approval. 
  
 19. Market Price. The market price of Class A Common Stock at any time shall be determined in such manner as the Committee may deem
equitable, or as required by applicable law or regulation. 
  
 20. Other Provisions. 
  

	 	(a)	The award of any benefit under the Plan may also be subject to other provisions (whether or not applicable to the benefit awarded to any other participant) as the Committee
determines appropriate, including provisions intended to comply with federal or state securities laws and stock exchange requirements, understandings or conditions as to the participant’s employment, requirements or inducements for continued
ownership of Class A Common Stock after exercise or vesting of benefits, forfeiture of awards in the event of termination of employment shortly after exercise or vesting, or breach of noncompetition or confidentiality agreements following
termination of employment, or provisions permitting the deferral of the receipt of a benefit for such period and upon such terms as the Committee shall determine. 

	 	(b)	In the event any benefit under this Plan is granted to an employee who is employed or providing services outside the United States and who is not compensated from a payroll
maintained in the United States, the Board or the Committee may, in its sole discretion, modify the provisions of the Plan as they pertain to such individuals to comply with applicable law, regulation or accounting rules and to meet the objectives
and purpose of the Plan and the Board or the Committee may, in its discretion, establish one or more sub-plans to reflect such amended or varied provisions. 

  

	 	(c)	The Committee, in its sole discretion, may permit or require a participant to have amounts or shares of Class A Common Stock that otherwise would be paid or delivered to the
participant as a result of the exercise or settlement of an award under the Plan credited to a deferred compensation or stock unit account established for the participant by the Committee on the Company’s books of account.

  

	 	(d)	If permitted by Section 409A of the Code, in case of a termination of employment by reason of death, disability or normal or early retirement, or in the case of unforeseeable
emergency or other special circumstances, of a participant who holds a Stock Option or SAR not immediately exercisable in full, or any shares of Restricted Stock or any Restricted Stock Units as to which the substantial risk of forfeiture or the
prohibition or restriction on transfer has not lapsed, or any Performance Stock or Performance Cash Awards which have not been fully earned, or any other awards made pursuant to the Plan subject to any vesting schedule or transfer restriction, or
who holds common shares subject to any other transfer restriction imposed pursuant to the Plan, the Committee may, in its sole discretion, accelerate the time at which such Stock Option, SAR or other award may be exercised or the time at which such
substantial risk of forfeiture or prohibition or restriction on transfer will lapse or the time when such restriction period will end or the time at which such Performance Stock or Performance Cash Award will be deemed to have been fully earned or
the time when such transfer restriction will terminate or may waive any other limitation or requirement under any such award. 

  
 21. Compliance with Section 409A of the Code. To the extent applicable, it is intended that this Plan and any grants made hereunder comply
with the provisions of Section 409A of the Code. The Plan and any grants made hereunder shall be administrated in a manner consistent with this intent, and any provision that would cause the Plan or any grant made hereunder to fail to satisfy
Section 409A of the Code shall have no force and effect until amended to comply with Section 409A of the Code (which amendment may be retroactive to the extent permitted by Section 409A of the Code and may be made by the Company without the consent
of participants). Any reference in this Plan to Section 409A of the Code will also include any proposed, temporary or final regulations, or any other guidance, promulgated with respect to such Section by the U.S. Department of the Treasury or the
Internal Revenue Service. 
  
 22. Governing Law. The
Plan and any actions taken in connection herewith shall be governed by and construed in accordance with the laws of the state of Delaware (without regard to applicable Delaware principles of conflict of laws). 
  
 23. Stockholder Approval. The Plan was adopted by the Board on
March 1, 2005, and approved by its stockholders on April 29, 2005.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00083-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00083-of-00352.parquet"}]]