Document:

Transition agreement

 EXHIBIT 10.2 
  
 SUPER VISION INTERNATIONAL, INC. 
  
 September 9, 2005 
  
 Mr. Brett M. Kingstone 
 Super Vision International, Inc. 
 8210 Presidents Drive 
 Orlando, FL 32809 
  
 Dear Brett, 
  
 This letter sets forth the terms of the consulting arrangement between you and Super Vision International, Inc. (“Super Vision”). You have
advised us that you desire to transition from your current position as Chief Executive Officer and President of Super Vision effective January 1, 2006. Through December 31, 2005, you will remain as Chief Executive Officer and President of Super
Vision at your current compensation. Upon stepping down from the position of Chief Executive Officer and President effective January 1, 2006, you have indicated that, subject to your re-election by Super Vision’s stockholders and the Board of
Directors, you will remain as Chairman of Super Vision’s Board of Directors. The Board and Super Vision value your deep knowledge of the lighting industry and particularly of Super Vision, its business, personnel, suppliers and other
constituents. Because of our mutual interest in a smooth management transition, we have requested that you serve as a consultant after your tenure as Chief Executive Officer and President has ended. You have agreed to do so on the terms set forth in
this letter, specifically: 
  
 1. In your capacity as a
consultant, your services will include working with Super Vision’s legal counsel on resolving pending legal proceedings, including collection matters relating to such litigation, completing outstanding license agreements for Super Vision’s
LED patent portfolio, and remaining available to Super Vision with reasonable notice, to perform duties at the reasonable request of Super Vision’s Board of Directors and/or Chief Executive Officer. These duties may include consultation on
matters on which you worked during your employment with Super Vision, and may also include assisting with investor relations. 
  
 2. In your capacity as a consultant, you will become chair of a newly created Strategic Initiatives Committee. The purpose of the Strategic Initiatives
Committee shall be to work with Super Vision’s Board of Directors and/or Chief Executive Officer to support strategic litigation, technology licensing and development activities. It is anticipated that this Committee will include Tony Castor as
a member and provide compensation to its members who are members of the Board of Directors substantially similar to the compensation provided to members of the compensation committee of the Board of Directors. For any individual projects requiring
over 10 hours of your time, upon prior approval from the Board of Directors and/or Chief Executive Officer, you shall be paid a consulting fee equal to $100.00 per hour for all time expended by you on any individual project over 10 hours. The
approved projects for the first half of 2006 are the pending litigation with Color Kinetics, OEM licensing and investor relations. You are hereby authorized to support the Chief Executive Officer with respect to these matters for total compensation
not to exceed $10,000 per month. 
  
 3. Your consulting
relationship with Super Vision may be terminated at anytime with or without notice, for any reason or no reason, with or without cause or for any or no cause, at either party’s option. 

 4. On or before January 1, 2006, you shall receive (i) $70,000 in a lump sum, (ii) any unpaid
reimbursable expenses outstanding as of December 31, 2005 and (iii) payment for accrued and unused benefits as of December 31, 2005 such as vacation in complete satisfaction of any severance or other obligation of Super Vision to you under the
Employment Agreement dated January 1, 1994 between you and Super Vision (the “Severance Payment”). In consideration of the Severance Payment, until December 31, 2009, you shall continue working toward collecting the Judgment in the Lawsuit
against the Wu Defendants and the defendants in the Related Litigation (as such terms are defined in that certain Contingent Proceeds Participation Agreement (the “Participation Agreement”) between you and Super Vision dated September 19,
2003, as amended by this Agreement). 
  
 5. The Participation
Agreement is hereby amended as follows: 
  
 (i) Super Vision may,
but is not obligated to, provide funds for Collection Activities. Any such expenditures must be approved in advance by Super Vision’s Chief Executive Officer. You may provide Kingstone Funds or Third Party Funds to secure the posting of Bonds
for overseas Collection Activities. 
  
 (ii) The first sentence of
Section 2.2 of the Participation Agreement is hereby amended in its entirety to read as follows: “In consideration for Collection Activities, the Corporation shall pay Kingstone fifty percent (50.0%) of the Net Proceeds (as defined below)
actually received by the Corporation from all Collection Activities (the “Proceeds Participation”).” 
  
 (iii) The first clause of Section 3 of the Participation Agreement is hereby amended in its entirety to read as follows: “For purposes of this
Agreement: (a) the term “Proceeds” means the cash and other assets, if any, actually received from time to time by the Corporation from the Collection Activities including, without limitation, real property and inventory and any cash or
other assets received by the Corporation from the sale of seized property or products from the Wu Defendants or any settlements in cash or property received by the Corporation from the Wu Defendants and/or Defendants or other parties in any Related
Litigation, including without limitation, Gitto Global, Rami Yosefian and the Wu Defendant’s bankers and lawyers (all non-cash Proceeds shall be valued at fair market value as determined in good faith by the Company’s Board of
Directors),” 
  
 (iv) The Participation Agreement shall
terminate on December 31, 2009. 
  
 (v) Capitalized terms used in
this paragraph 5 and not otherwise defined have the meanings set forth in the Participation Agreement. Except as amended hereby, the Participation Agreement shall remain in full force and effect. 
  
 6. As a condition to Super Vision’s obligations under this Agreement,
including without limitation, your engagement as a consultant to Super Vision, you agree to enter into a Non-Competition, Confidential Information and Invention Assignment Agreement in the form attached to this Agreement (the “Confidentiality
Agreement”). 
  
 7. As further consideration for the services
and for your obligations described in this Agreement, Super Vision hereby transfers ownership to you of your Super Vision laptop computer and, on or before January 1, 2006, you shall be paid a one-time lump sum payment of $5,000 to enable you to
transition to an independent, offsite office effective January 1, 2006. In addition, on the date of this Agreement you shall be granted a non-statutory stock option (the 
  

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 “Option”) to purchase 60,000 shares of Super Vision Class A common stock at an exercise price equal to the fair
market value of such shares on the date of grant as determined by the Compensation Committee of the Board of Directors. The Option shall be assignable by you upon the terms and conditions set forth in the Option, fully vested on the grant date,
exercisable for a term of ten years and shall be subject to the terms and conditions of Super Vision’s stock option plan pursuant to which the Option is granted. Super Vision shall also prepare and file a proxy statement with the Securities and
Exchange Commission to solicit proxies to approve the grant to you of a warrant (the “Warrant”) to purchase 289,187 shares of Super Vision Class A common stock at an exercise price equal to the fair market value of such shares on the date
of this Agreement as determined by the Compensation Committee of the Board of Directors. The grant of the Warrant shall be subject to the approval of the company’s stockholders at a special meeting expected to be held before December 31, 2005.
The Warrant shall be assignable by you upon the terms and conditions set forth in the Warrant, fully vested on the grant date and exercisable for a term of ten years. You acknowledge that pursuant to Section 3.B. of the Warrant Agreement dated March
31, 1997 between you and Super Vision, the warrant granted therein will terminate at such time as you are no longer an employee of the company and that your services as a consultant or director to Super Vision shall not constitute employment for
purposes of such Warrant Agreement. 
  
 8. We agree to use our
best efforts to cause you to be re-elected as a director of Super Vision at the 2006 annual meeting of stockholders and to be re-elected as Chairman of the Board of Directors of the company for 2006. Subject to your re-election by Super
Vision’s stockholders and the Board of Directors, you will remain as Chairman of Super Vision’s Board of Directors (“Chair”). As Chair you shall perform such duties and responsibilities as are normally related to such position in
accordance with Super Vision’s bylaws and applicable law, including serving as chairman of all meetings of the Board of Directors and stockholders of Super Vision. In consideration for your service as Chair for 2006, Super Vision shall pay you
$15,000 on the date of the 2006 annual meeting of stockholders and such additional compensation as is paid to all outside directors of Super Vision. You shall be covered by director and officer liability insurance and indemnified by the company to
the fullest extent afforded any outside director of Super Vision. 
  
 9. You acknowledge that you are performing these services as an independent contractor, and not as a Super Vision employee, and that you are responsible for any taxes that are payable as a result of this arrangement. Effective December 31,
2005, the Employment Agreement between you and Super Vision dated January 1, 1994 is terminated and shall be of no further force or effect. 
  
 10. This Agreement will be governed by the laws of the State of Florida, without regard to conflicts of laws provisions. Exclusive venue for any legal
proceeding arising out of this Agreement shall be Orange County, Florida. Except for actions seeking injunctive relief hereunder or under the Confidentiality Agreement, prior to the initiation of any action, proceeding, arbitration or other
mechanism to resolve a dispute or disagreement arising out of or related to this Agreement, or the rights and obligations of the parties hereto, you and Super Vision agree to attend mediation with a mutually agreeable mediator or, in the absence of
same, a mediator selected by counsel for Super Vision. The mediation shall be set at a mutually convenient time no more than thirty (30) days from the first demand for mediation and the parties shall devote up to one day to the mediation (with the
mediator being able to declare an impasse prior to that time). Each party shall pay half of the mediator’s fee, in advance. Each party shall be responsible for his or its attorneys’ fees incurred in connection with the mediation. If a
party refuses to set or attend a mediation in accordance with the provisions of this Paragraph 10, the condition shall be deemed satisfied. 
  

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 11. No waiver or modification of this Agreement or of any covenant, condition or limitation herein
contained shall be valid unless in writing and duly executed by you and Super Vision. This Agreement, the Participation Agreement, and the Confidentiality Agreement constitute the entire agreement between us with respect to the subject matter of
this Agreement and supersede any and all previous agreements between us, whether written or oral, with respect to such subject matter. This Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective heirs,
personal representatives, and permitted successors and assigns. 
  
 Brett, if this letter reflects our agreement, please sign and date it where indicated. 
  

			
	Sincerely yours,
	
	SUPER VISION INTERNATIONAL, INC.
		
	By:	 	 /s/ Danilo Regalado

	 	 	Danilo Regalado, Chief Financial Officer and
	 	 	    Chief Operating Officer
	
	Read and agreed.
	
	 /s/ Brett M. Kingstone

	Brett M. Kingstone
	
	Date: September 9, 2005

  

 4SeeBeyond Technology Corporation 1998 Stock Plan

 EXHIBIT 4.1 
  
 SEEBEYOND TECHNOLOGY CORPORATION 
  
 1998 STOCK PLAN 
  
 (AS AMENDED AND RESTATED) 
  
 1. Purposes of the Plan. The purposes of this 1998 Stock Plan are: 
  

	 	•	 	to attract and retain the best available personnel for positions of substantial responsibility, 

  

	 	•	 	to provide additional incentive to Employees, Directors and Consultants, and 

  

	 	•	 	to promote the success of the Company’s business. 

  
 The Plan permits the grant of Incentive Stock Options, Nonstatutory Stock Options, Stock Purchase Rights, Stock Appreciation Rights, Performance Shares
and Performance Units. 
  
 2. Definitions. As used
herein, the following definitions shall apply: 
  
 (a)
“Administrator” means the Board or any of its Committees as shall be administering the Plan, in accordance with Section 4 of the Plan. 
  
 (b) “Applicable Laws” means the requirements relating to the administration of equity based awards under U. S. state corporate laws, U.S.
federal and state securities laws, the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted and the applicable laws of any foreign country or jurisdiction where Awards are, or will be, granted under the Plan.

  
 (c) “Award” means, individually or
collectively, a grant under the Plan of Options, SARs, Stock Purchase Rights, Performance Units or Performance Shares. 
  
 (d) “Award Agreement” means the written or electronic agreement setting forth the terms and provisions applicable to each Award granted
under the Plan and shall include an Option Agreement and a Restricted Stock Purchase Agreement, as applicable. The Award Agreement is subject to the terms and conditions of the Plan. 
  
 (e) “Board” means the Board of Directors of the Company. 
  
 (f) “Cash Position” means as to any Performance Period, the
Company’s level of cash and cash equivalents. 
  
 (g)
“Code” means the Internal Revenue Code of 1986, as amended. 
  
 (h) “Committee” means a committee of Directors or of other individuals satisfying Applicable Laws appointed by the Board in accordance with Section 4 of the Plan. 

 (i) “Common Stock” means the common stock of the Company. 
  
 (j) “Company” means SeeBeyond Technology Corporation, a
Delaware corporation. 
  
 (k) “Consultant” means
any person, including an advisor, engaged by the Company or a Parent or Subsidiary to render services to such entity. 
  
 (l) “Director” means a member of the Board. 
  
 (m) “Disability” means total and permanent disability as defined in Section 22(e)(3) of the Code. 
  
 (n) “Earnings Per Share” means as to any Performance Period,
the Company’s or a business unit’s Net Income, divided by a weighted average number of Common Stock outstanding and dilutive common equivalent Shares deemed outstanding. 
  
 (o) “Employee” means any person, including Officers and Directors, employed by the Company or any Parent or
Subsidiary of the Company. Neither service as a Director nor payment of a director’s fee by the Company shall be sufficient to constitute “employment” by the Company. 
  
 (p) “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
  
 (q) “Fair Market Value” means, as of any date, the value of
Common Stock determined as follows: 
  
 (i) If the Common Stock
is listed on any established stock exchange or a national market system, including without limitation the Nasdaq National Market or The Nasdaq SmallCap Market of The Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for
such stock (or the closing bid, if no sales were reported) as quoted on such exchange or system for the day of determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable; 
  
 (ii) If the Common Stock is regularly quoted by a recognized securities
dealer but selling prices are not reported, the Fair Market Value of a Share of Common Stock shall be the mean between the high bid and low asked prices for the Common Stock on the day of determination, as reported in The Wall Street Journal or such
other source as the Administrator deems reliable; or 
  
 (iii) In
the absence of an established market for the Common Stock, the Fair Market Value shall be determined in good faith by the Administrator. 
  
 (r) “Fiscal Year” means the fiscal year of the Company. 
  

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 (s) “Incentive Stock Option” means an Option intended to qualify as an incentive stock
option within the meaning of Section 422 of the Code and the regulations promulgated thereunder. 
  
 (t) “Net Income” means as to any Performance Period, the Company’s or a business unit’s income after taxes. 
  
 (u) “Nonstatutory Stock Option” means an Option not intended
to qualify as an Incentive Stock Option. 
  
 (v)
“Officer” means a person who is an officer of the Company within the meaning of Section 16 of the Exchange Act and the rules and regulations promulgated thereunder. 
  
 (w) “Operating Cash Flow” means as to any Performance Period, the Company’s or a business unit’s
sum of Net Income plus depreciation and amortization less capital expenditures plus changes in working capital comprised of accounts receivable, inventories, other current assets, trade accounts payable, accrued expenses, product warranty, advance
payments from customers and long-term accrued expenses. 
  
 (x)
“Operating Income” means as to any Performance Period, the Company’s or a business unit’s income from operations but excluding any unusual items. 
  
 (y) “Option” means a stock option granted pursuant to the Plan. 
  
 (z) “Option Agreement” means an agreement between the
Company and a Participant evidencing the terms and conditions of an individual Option grant. The Option Agreement is subject to the terms and conditions of the Plan. 
  
 (aa) “Option Exchange Program” means a program whereby outstanding Options are surrendered in exchange for
Options with a lower exercise price. 
  
 (bb) “Optioned
Stock” means the Common Stock subject to an Award. 
  
 (cc) “Optionee” means the holder of an outstanding Option or Stock Purchase Right granted under the Plan. 
  
 (dd) “Parent” means a “parent corporation,” whether now or hereafter existing, as defined in Section 424(e) of the Code.

  
 (ee) “Participant” means the holder of an
outstanding Award, which shall include an Optionee. 
  
 (ff)
“Performance Goals” means the goal(s) (or combined goal(s)) determined by the Administrator (in its discretion) to be applicable to a Participant with respect to an Award. As determined by the Administrator, 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) Cash Position, (b) Earnings Per Share, (c) Net Income, (d) Operating Cash Flow, (e) Operating Income, 

  

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(f) Return on Assets, (g) Return on Equity, (h) Return on Sales, (i) Revenue, and (j) Total Stockholder Return. The Performance Goals may differ from
Participant to Participant and from Award to Award. Prior to the Determination Date, the Plan Administrator shall determine whether any significant element(s) shall be included in or excluded from the calculation of any Performance Goal with respect
to any Participant. For example (but not by way of limitation), the Administrator may determine that the measures for one or more Performance Goals shall be based upon the Company’s pro-forma results and/or results in accordance with generally
accepted accounting principles. 
  
 (gg) “Performance
Period means any Fiscal Year of the Company or such other period as determined by the Administrator in its sole discretion. 
  
 (a) “Performance Share” means an Award granted to a Participant pursuant to Section 9. 
  
 (b) “Performance Unit” means an Award granted to a
Participant pursuant to Section 9. 
  
 (hh)
“Plan” means this 1998 Stock Plan, as amended and restated. 
  
 (ii) “Restricted Stock” means shares of Common Stock acquired pursuant to a grant of Stock Purchase Rights under Section 7 of the Plan. 
  
 (jj) “Restricted Stock Purchase Agreement” means a written agreement between the Company and the
Participant evidencing the terms and restrictions applying to stock purchased under a Stock Purchase Right. The Restricted Stock Purchase Agreement is subject to the terms and conditions of the Plan. 
  
 (kk) “Return on Assets means as to any Performance Period, the
percentage equal to the Company’s or a business unit’s Operating Income before incentive compensation, divided by average net Company or business unit, as applicable, assets. 
  
 (ll) “Return on Equity” means as to any Performance Period, the percentage equal to the Company’s Net
Income divided by average stockholder’s equity. 
  
 (mm)
“Return on Sales” means as to any Performance Period, the percentage equal to the Company’s or a business unit’s Operating Income before incentive compensation, divided by the Company’s or the business unit’s, as
applicable, revenue. 
  
 (nn) “Revenue” means as
to any Performance Period, the Company’s or business unit’s net sales. 
  
 (oo) “Rule 16b-3” means Rule 16b-3 of the Exchange Act or any successor to Rule 16b-3, as in effect when discretion is being exercised with respect to the Plan. 
  
 (pp) “Section 16(b) “ means Section 16(b) of the Exchange
Act. 
  

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 (qq) “Service Provider” means an Employee, Director or Consultant. 
  
 (rr) “Share” means a share of the Common Stock, as adjusted
in accordance with Section 12 of the Plan. 
  
 (ss) “Stock
Appreciation Right” or “SAR” means an Award, granted alone or in connection with an Option, that pursuant to Section 8 is designated as an SAR. 
  
 (tt) “Stock Purchase Right” means the right to purchase Common Stock pursuant to Section 7 of the Plan.

  
 (uu) “Subsidiary” means a “subsidiary
corporation”, whether now or hereafter existing, as defined in Section 424(f) of the Code. 
  
 (vv) “Total Stockholder Return” means as to any Performance Period, the total return (change in Share price plus reinvestment of any
dividends) of a Share. 
  
 3. Stock Subject to the
Plan. 
  
 (a) Number of Shares. Subject to the
provisions of Section 12 of the Plan, the maximum aggregate number of Shares that may be optioned and sold under the Plan is 13,725,903 Shares. The Shares may be authorized, but unissued, or reacquired Common Stock. The number of Shares reserved for
issuance under the Plan shall increase annually on the first day of the Company’s Fiscal Year beginning in 2001 by an amount of Shares equal to the lesser of (i) 6,000,000 Shares (ii) 5% of the outstanding Shares on such date or (iii) an amount
determined by the Board. The Shares may be authorized but unissued, or reacquired Common Stock. Shares will not be deemed to have been issued pursuant to the Plan with respect to any portion of an Award that is settled in cash. Upon payment in
Shares pursuant to the exercise of an SAR, the number of Shares available for issuance under the Plan will be reduced only by the number of Shares actually issued in such payment. If the exercise price of an Award is paid by tender to the Company,
or attestation to the ownership, of Shares owned by the Participant, the number of Shares available for issuance under the Plan will be reduced by the gross number of Shares for which the Award is exercised 
  
 (b) Share Usage. 
  
 (i) If an Award expires or becomes unexercisable without having been
exercised in full, or is surrendered pursuant to an Option Exchange Program, the unpurchased Shares which were subject thereto shall become available for future grant or sale under the Plan (unless the Plan has terminated); provided, however, that
Shares that have actually been issued under the Plan, whether upon exercise of an Award, shall not be returned to the Plan and shall not become available for future distribution under the Plan, except that if unvested Shares of Restricted Stock are
repurchased by the Company, such Shares shall become available for future grant under the Plan. 
  
 (ii) Notwithstanding the foregoing and, subject to adjustment provided in Section 12, the maximum number of Shares that may be issued upon the exercise
of Incentive Stock Options shall equal the aggregate Share number stated in Section 3(a), plus, to the extent allowable under Section 422 of the Code, any Shares that become available for issuance under the Plan under paragraph (i) above.

  

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 4. Administration of the Plan. 
  
 (a) Procedure. 
  
 (i) Multiple Administrative Bodies. Different Committees with
respect to different groups of Service Providers may administer the Plan. 
  
 (ii) Section 162(m). To the extent that the Administrator determines it to be desirable to qualify Awards granted hereunder as “performance-based compensation” within the meaning of Section 162(m) of
the Code, the Plan shall be administered by a Committee of two or more “outside directors” within the meaning of Section 162(m) of the Code. 
  
 (iii) Rule 16b-3. To the extent desirable to qualify transactions hereunder as exempt under Rule 16b-3, the transactions contemplated hereunder
shall be structured to satisfy the requirements for exemption under Rule 16b-3. 
  
 (iv) Other Administration. Other than as provided above, the Plan shall be administered by (A) the Board or (B) a Committee, which committee shall be constituted to satisfy Applicable Laws. 
  
 (b) Powers of the Administrator. Subject to the provisions of the
Plan, and in the case of a Committee, subject to the specific duties delegated by the Board to such Committee, the Administrator shall have the authority, in its discretion: 
  
 (i) to determine the Fair Market Value; 
  
 (ii) to select the Service Providers to whom Awards may be granted hereunder; 
  
 (iii) to determine the number of Shares to be covered by each Award granted
hereunder; 
  
 (iv) to approve forms of agreement for use under
the Plan; 
  
 (v) to determine the terms and conditions, not
inconsistent with the terms of the Plan, of any Award granted hereunder. Such terms and conditions include, but are not limited to, the exercise price, the time or times when Awards may be exercised (which may be based on performance criteria), any
vesting acceleration or waiver of forfeiture restrictions, and any restriction or limitation regarding any Award or the shares of Common Stock relating thereto, based in each case on such factors as the Administrator, in its sole discretion, shall
determine; 
  
 (vi) to reduce the exercise price of any Award to
the then current Fair Market Value if the Fair Market Value of the Common Stock covered by such Award shall have declined since the date the Award was granted; 
  

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 (vii) to institute an Option Exchange Program; 
  
 (viii) to construe and interpret the terms of the Plan and awards granted
pursuant to the Plan; 
  
 (ix) to prescribe, amend and rescind
rules and regulations relating to the Plan, including rules and regulations relating to sub-plans established for the purpose of satisfying applicable foreign laws; 
  
 (x) to modify or amend each Award (subject to Section 16(c) of the Plan), including the discretionary authority to extend
the post-termination exercisability period of Awards longer than is otherwise provided for in the Plan; 
  
 (xi) to allow Participants to satisfy withholding tax obligations by electing to have the Company withhold from the Shares to be issued upon exercise of
an Award that number of Shares having a Fair Market Value equal to the minimum amount required to be withheld. The Fair Market Value of the Shares to be withheld shall be determined on the date that the amount of tax to be withheld is to be
determined. All elections by a Participant to have Shares withheld for this purpose shall be made in such form and under such conditions as the Administrator may deem necessary or advisable; 
  
 (xii) to authorize any person to execute on behalf of the Company any
instrument required to effect the grant of an Award previously granted by the Administrator; 
  
 (xiii) to make all other determinations deemed necessary or advisable for administering the Plan. 
  
 (c) Effect of Administrator’s Decision. The Administrator’s decisions, determinations and interpretations shall be final and binding on
all Participants and any other holders of Awards. 
  
 5.
Eligibility. Nonstatutory Stock Options, Stock Purchase Rights, Stock Appreciation Rights, Performance Shares, and Performance Units may be granted to Service Providers. Incentive Stock Options may be granted only to Employees.

  
 6. Stock Options. 
  
 (a) Limitations. 
  
 (i) Each Option shall be designated in the Award Agreement as either an
Incentive Stock Option or a Nonstatutory Stock Option. However, notwithstanding such designation, to the extent that the aggregate Fair Market Value of the Shares with respect to which Incentive Stock Options are exercisable for the first time by
the Participant during any calendar year (under all plans of the Company and any Parent or Subsidiary) exceeds $100,000, such Options shall be treated as Nonstatutory Stock Options. For purposes of this Section 6(a), Incentive Stock Options shall be
taken into account in the order in which they were granted. The Fair Market Value of the Shares shall be determined as of the time the Option with respect to such Shares is granted. 
  

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 (ii) The following limitations shall apply to grants of Options: 
  
 (A) No Service Provider shall be granted, in any Fiscal Year of the
Company, Options to purchase more than 2,000,000 Shares. 
  
 (B)
In connection with his or her initial service, a Service Provider may be granted Options to purchase up to an additional 4,000,000 Shares, which shall not count against the limit set forth in subsection (i) above. 
  
 (C) The foregoing limitations shall be adjusted proportionately in
connection with any change in the Company’s capitalization as described in Section 12. 
  
 (D) If an Option and/or Stock Appreciation Right is cancelled in the same Fiscal Year of the Company in which it was granted (other than in connection with a transaction described in Section 12), the cancelled Option
and/or Stock Appreciation Right will be counted against the limits set forth in subsections (A) and (B) above. For this purpose, if the exercise price of an Option and/or Stock Appreciation Right is reduced, the transaction will be treated as a
cancellation of the Option and/or Stock Appreciation Right and the grant of a new Option and/or Stock Appreciation Right. 
  
 (b) Term of Option. The term of each Option shall be stated in the Award Agreement. In the case of an Incentive Stock Option, the term shall be ten
(10) years from the date of grant or such shorter term as may be provided in the Award Agreement. Moreover, in the case of an Incentive Stock Option granted to a Participant who, at the time the Incentive Stock Option is granted, owns stock
representing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or any Parent or Subsidiary, the term of the Incentive Stock Option shall be five (5) years from the date of grant or such shorter
term as may be provided in the Award Agreement. 
  
 (c) Option
Exercise Price and Consideration. 
  
 (i) Exercise
Price. The per Share exercise price for the Shares to be issued pursuant to exercise of an Option shall be determined by the Administrator, subject to the following: 
  
 (A) In the case of an Incentive Stock Option 
  
 a) granted to an Employee who, at the time the Incentive Stock Option is granted, owns stock representing more than ten
percent (10%) of the voting power of all classes of stock of the Company or any Parent or Subsidiary, the per Share exercise price shall be no less than 110% of the Fair Market Value per Share on the date of grant. 
  
 b) granted to any Employee other than an Employee described in paragraph (A)
immediately above, the per Share exercise price shall be no less than 100% of the Fair Market Value per Share on the date of grant. 
  

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 (B) In the case of a Nonstatutory Stock Option, the per Share exercise price shall be determined by the
Administrator. In the case of a Nonstatutory Stock Option intended to qualify as “performance-based compensation” within the meaning of Section 162(m) of the Code, the per Share exercise price shall be no less than 100% of the Fair Market
Value per Share on the date of grant. 
  
 (C) Notwithstanding the
foregoing, Incentive Stock Options may be granted with a per Share exercise price of less than 100% of the Fair Market Value per Share on the date of grant pursuant to a merger or other corporate transaction. 
  
 (ii) Waiting Period and Exercise Dates. At the time an Option is
granted, the Administrator shall fix the period within which the Option may be exercised and shall determine any conditions that must be satisfied before the Option may be exercised. 
  
 (iii) Form of Consideration. The Administrator shall determine the acceptable form of consideration for exercising
an Option, including the method of payment. In the case of an Incentive Stock Option, the Administrator shall determine the acceptable form of consideration at the time of grant. Such consideration may consist entirely of: 
  
 (A) cash; 
  
 (B) check; 
  
 (C) promissory note; 
  
 (D) other Shares which (A) in the case of Shares acquired from the Company, have been owned by the Participant, and not subject to a substantial risk of
forfeiture, for more than six months on the date of surrender, and (B) have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which said Option shall be exercised; 
  
 (E) consideration received by the Company under a cashless exercise program
implemented by the Company in connection with the Plan; 
  
 (F) a
reduction in the amount of any Company liability to the Participant, including any liability attributable to the Participant’s participation in any Company-sponsored deferred compensation program or arrangement; 
  
 (G) any combination of the foregoing methods of payment; or 
  
 (H) such other consideration and method of payment for the issuance of
Shares to the extent permitted by Applicable Laws. 
  
 (d)
Exercise of Option. 
  
 (i) Procedure for Exercise;
Rights as a Stockholder. Any Option granted hereunder shall be exercisable according to the terms of the Plan and at such times and under such conditions as determined by the Administrator and set forth in the Award Agreement. An Option may not
be exercised for a fraction of a Share. 
  

 -9- 

 An Option shall be deemed exercised when the Company receives: (i) written or electronic notice of
exercise (in accordance with the Award Agreement) from the person entitled to exercise the Option, and (ii) full payment for the Shares with respect to which the Option is exercised (together with applicable withholding taxes). Full payment may
consist of any consideration and method of payment authorized by the Administrator and permitted by the Award Agreement and the Plan. Shares issued upon exercise of an Option shall be issued in the name of the Participant or, if requested by the
Participant, in the name of the Participant and his or her spouse. Until the Shares are issued (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive
dividends or any other rights as a stockholder shall exist with respect to the Optioned Stock, notwithstanding the exercise of the Option. The Company shall issue (or cause to be issued) such Shares promptly after the Option is exercised. No
adjustment will be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 12 of the Plan. 
  
 Exercising an Option in any manner shall decrease the number of Shares thereafter available, both for purposes of the Plan
and for sale under the Option, by the number of Shares as to which the Option is exercised. 
  
 (ii) Termination of Relationship as a Service Provider. If a Participant ceases to be a Service Provider, other than upon the Participant’s death or Disability, the Participant may exercise his or her
Option within such period of time as is specified in the Award Agreement to the extent that the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Award Agreement).
In the absence of a specified time in the Award Agreement, the Option shall remain exercisable for three (3) months following the Participant’s termination. If, on the date of termination, the Participant is not vested as to his or her entire
Option, the Shares covered by the unvested portion of the Option shall revert to the Plan. If, after termination, the Participant does not exercise his or her Option within the time specified by the Administrator, the Option shall terminate, and the
Shares covered by such Option shall revert to the Plan. 
  
 (iii)
Disability of Participant. If a Participant ceases to be a Service Provider as a result of the Participant’s Disability, the Participant may exercise his or her Option within such period of time as is specified in the Award Agreement to
the extent the Option is vested on the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Award Agreement). In the absence of a specified time in the Award Agreement, the Option shall remain
exercisable for twelve (12) months following the Participant’s termination. If, on the date of termination, the Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option shall revert to
the Plan. If, after termination, the Participant does not exercise his or her Option within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 
  
 (iv) Death of Participant. If a Participant dies while a Service
Provider, the Option may be exercised within such period of time as is specified in the Award Agreement (but in 

  

 -10- 

 
no event later than the expiration of the term of such Option as set forth in the Award Agreement), by the Participant’s estate or by a person who
acquires the right to exercise the Option by bequest or inheritance, but only to the extent that the Option is vested on the date of death. In the absence of a specified time in the Award Agreement, the Option shall remain exercisable for twelve
(12) months following the Participant’s termination. If, at the time of death, the Participant is not vested as to his or her entire Option, the Shares covered by the unvested portion of the Option shall immediately revert to the Plan. The
Option may be exercised by the executor or administrator of the Participant’s estate or, if none, by the person(s) entitled to exercise the Option under the Participant’s will or the laws of descent or distribution. If the Option is not so
exercised within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 
  
 (e) Buyout Provisions. The Administrator may at any time offer to buy out for a payment in cash or Shares an Option previously granted based on
such terms and conditions as the Administrator shall establish and communicate to the Participant at the time that such offer is made. 
  
 7. Stock Purchase Rights. 
  
 (a) Grant of Stock Purchase Rights. The Administrator, in its sole discretion, will determine the number of Shares to be granted to each
Participant under Stock Purchase Rights, provided that during any Fiscal Year, no Participant will receive more than an aggregate of 600,000 Shares subject to Stock Purchase Rights. Notwithstanding the foregoing limitation, in connection with a
Participant’s initial service as an Employee, an Employee may be granted an aggregate of up to an additional 1,200,000 Shares subject to Stock Purchase Rights. 
  
 (b) Rights to Purchase. Stock Purchase Rights may be issued either alone, in addition to, or in tandem with other
Awards granted under the Plan and/or cash awards made outside of the Plan. After the Administrator determines that it will offer Stock Purchase Rights under the Plan, it shall advise the offeree in writing or electronically, by means of an Award
Agreement, of the terms, conditions and restrictions related to the offer, including the number of Shares that the offeree shall be entitled to purchase, the price to be paid, and the time within which the offeree must accept such offer. The offer
shall be accepted by execution of a Restricted Stock Purchase Agreement in the form determined by the Administrator. 
  
 (c) Repurchase Option. Unless the Administrator determines otherwise, the Award Agreement shall grant the Company a repurchase option exercisable
upon the voluntary or involuntary termination of the purchaser’s service with the Company for any reason (including death or Disability). The purchase price for Shares repurchased pursuant to the Award Agreement shall be the original price paid
by the purchaser and may be paid by cancellation of any indebtedness of the purchaser to the Company. The repurchase option shall lapse at a rate determined by the Administrator. 
  
 (d) Other Provisions. The Award Agreement shall contain such other terms, provisions and conditions not inconsistent
with the Plan as may be determined by the Administrator in its sole discretion. 
  

 -11- 

 (i) General Restrictions. The Administrator may set restrictions based upon the achievement of
specific performance objectives (Company-wide, divisional, or individual), applicable federal or state securities laws, or any other basis determined by the Administrator in its discretion. 
  
 (ii) Section 162(m) Performance Restrictions. For purposes of
qualifying grants of Stock Purchase Rights as “performance-based compensation” under Section 162(m) of the Code, the Administrator, in its discretion, may set restrictions based upon the achievement of Performance Goals. The Performance
Goals will be set by the Administrator on or before the latest date permissible to enable the Stock Purchase Rights to qualify as “performance-based compensation” under Section 162(m) of the Code. In granting Stock Purchase Rights which
are intended to qualify under Section 162(m) of the Code, the Administrator will follow any procedures determined by it from time to time to be necessary or appropriate to ensure qualification of the Stock Purchase Rights under Section 162(m) of the
Code (e.g., in determining the Performance Goals). 
  
 (e)
Rights as a Stockholder. Once the Stock Purchase Right is exercised, the purchaser shall have the rights equivalent to those of a stockholder, and shall be a stockholder when his or her purchase is entered upon the records of the duly
authorized transfer agent of the Company. No adjustment will be made for a dividend or other right for which the record date is prior to the date the Stock Purchase Right is exercised, except as provided in Section 12 of the Plan. 
  
 8. Stock Appreciation Rights. 
  
 (a) Grant of SARs. Subject to the terms and conditions of the Plan,
an SAR may be granted to Service Providers at any time and from time to time as will be determined by the Administrator, in its sole discretion. 
  
 (b) Number of Shares. The Administrator will have complete discretion to determine the number of SARs granted to any Service Provider, provided
that during any Fiscal Year, no Participant will be granted SARs covering more than 600,000 Shares. Notwithstanding the foregoing limitation, in connection with a Participant’s initial service as an Employee, an Employee may be granted SARs
covering up to an additional 1,200,000 Shares. 
  
 (c) Exercise
Price and Other Terms. The Administrator, subject to the provisions of the Plan, will have complete discretion to determine the terms and conditions of SARs granted under the Plan. 
  
 (d) SAR Agreement. Each SAR grant will be evidenced by an Award Agreement that will specify the exercise price, the
term of the SAR, the conditions of exercise, and such other terms and conditions as the Administrator, in its sole discretion, will determine. 
  
 (e) Expiration of SARs. An SAR granted under the Plan will expire upon the date determined by the Administrator, in its sole discretion, and set
forth in the Award Agreement. Notwithstanding the foregoing, the rules of Section 6(d) also will apply to SARs. 
  
 (f) Payment of SAR Amount. Upon exercise of an SAR, a Participant will be entitled to receive payment from the Company in an amount determined by
multiplying: 
  
 (i) The difference between the Fair Market
Value of a Share on the date of exercise over the exercise price; times 
  

 -12- 

 (ii) The number of Shares with respect to which the SAR is exercised. 
  
 At the discretion of the Administrator, the payment upon SAR exercise may be
in cash, in Shares of equivalent value, or in some combination thereof. 
  
 9. Performance Units and Performance Shares. 
  
 (a) Grant of Performance Units/Shares. Performance Units and Performance Shares may be granted to Service Providers at any time and from time to time, as will be determined by the Administrator, in its sole discretion. The
Administrator will have complete discretion in determining the number of Performance Units and Performance Shares granted to each Participant, provided that during any Fiscal Year, (a) no Participant will receive Performance Units having an initial
value greater than $1,000,000 and (b) no Participant will receive more than 600,000 Performance Shares. Notwithstanding the foregoing limitation, in connection with a Participant’s initial service as an Employee, an Employee may be granted up
to an additional 1,200,000 Performance Shares. 
  
 (b) Value of
Performance Units/Shares. Each Performance Unit will have an initial value that is established by the Administrator on or before the date of grant. Each Performance Share will have an initial value equal to the Fair Market Value of a Share on
the date of grant. 
  
 (c) Performance Objectives and Other
Terms. The Administrator will set performance objectives (including, without limitation, continued service) in its discretion which, depending on the extent to which they are met, will determine the number or value of Performance Units/Shares
that will be paid out to the Participants. The time period during which the performance objectives must be met will be called the “Performance Period.” Each Award of Performance Units/Shares will be evidenced by an Award Agreement that
will specify the Performance Period, and such other terms and conditions as the Administrator, in its sole discretion, will determine. 
  
 (i) General Performance Objectives. The Administrator may set performance objectives based upon the achievement of Company-wide, divisional, or
individual goals, applicable federal or state securities laws, or any other basis determined by the Administrator in its discretion. 
  
 (ii) Section 162(m) Performance Objectives. For purposes of qualifying grants of Performance Units/Shares as “performance-based
compensation” under Section 162(m) of the Code, the Administrator, in its discretion, may determine that the performance objectives applicable to Performance Units/Shares will be based on the achievement of Performance Goals. The Performance
Goals will be set by the Administrator on or before the latest date permissible to enable the Performance Units/Shares to qualify as “performance-based compensation” under Section 162(m) of the Code. In granting Performance Units/Shares
which are intended to qualify under Section 162(m) of the Code, the Administrator will follow any procedures determined by it from time to time to be necessary or appropriate to ensure qualification of the Performance Units/Shares under Section
162(m) of the Code (e.g., in determining the Performance Goals). 
  

 -13- 

 (d) Earning of Performance Units/Shares. After the applicable Performance Period has ended, the
holder of Performance Units/Shares will be entitled to receive a payout of the number of Performance Units/Shares earned by the Participant over the Performance Period, to be determined as a function of the extent to which the corresponding
performance objectives or other vesting provisions have been achieved. After the grant of a Performance Unit/Share, the Administrator, in its sole discretion, may reduce or waive any performance objectives or other vesting provisions for such
Performance Unit/Share. 
  
 (e) Form and Timing of Payment of
Performance Units/Shares. Payment of earned Performance Units/Shares will be made as soon as practicable after the expiration of the applicable Performance Period. The Administrator, in its sole discretion, may pay earned Performance
Units/Shares in the form of cash, in Shares (which have an aggregate Fair Market Value equal to the value of the earned Performance Units/Shares at the close of the applicable Performance Period) or in a combination thereof. 
  
 (f) Cancellation of Performance Units/Shares. On the date set forth in
the Award Agreement, all unearned or unvested Performance Units/Shares will be forfeited to the Company, and again will be available for grant under the Plan. 
  

10. Non-Transferability of Awards. Unless determined otherwise by the Administrator, an Award may not be sold, pledged, assigned,
hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised, during the lifetime of the Participant, only by the Participant. If the Administrator makes an Award
transferable, such Award shall contain such additional terms and conditions as the Administrator deems appropriate. 
  
 11. Leaves of Absence. Unless the Administrator provides otherwise, vesting of Awards granted hereunder will be suspended during any unpaid
leave of absence. A Service Provider will not cease to be an Employee in the case of (i) any leave of absence approved by the Company or (ii) transfers between locations of the Company or between the Company, its Parent, or any Subsidiary. For
purposes of Incentive Stock Options, no such leave may exceed ninety (90) days, unless reemployment upon expiration of such leave is guaranteed by statute or contract. If reemployment upon expiration of a leave of absence approved by the Company is
not so guaranteed, then three (3) months following the 91st day of such leave any Incentive Stock Option held by the Participant will cease to be treated as an Incentive Stock Option and will be treated for tax purposes as a Nonstatutory Stock
Option. 
  
 12. Adjustments Upon Changes in Capitalization,
Dissolution, Merger or Asset Sale. 
  
 (a) Changes in
Capitalization. Subject to any required action by the stockholders of the Company, the number of shares of Common Stock that have been authorized for issuance under the Plan but as to which no Awards have yet been granted or which have been
returned to the Plan upon cancellation or expiration of an Award, the number of Shares that may be added annually 

  

 -14- 

 
to the Plan pursuant to Section 3(a), the number of shares of Common Stock as well as the price per share of Common Stock covered by each such outstanding
Award, and the numerical Share limits in Sections 3, 6(a), 7(a), 8(b), and 9(a), shall be proportionately adjusted for any change in, or increase or decrease in the number of issued shares of Common Stock resulting from a stock split, reverse stock
split, stock dividend, spin-off, combination or reclassification of the Common Stock, or any other change in, or increase or decrease in the number of issued shares of Common Stock effected without receipt of consideration by the Company; provided,
however, that conversion of any convertible securities of the Company shall not be deemed to have been “effected without receipt of consideration.” Such adjustment shall be made by the Board, whose determination in that respect shall be
final, binding and conclusive. Except as expressly provided herein, no issuance by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall affect, and no adjustment by reason thereof shall be
made with respect to, the number or price of shares of Common Stock subject to an Award. 
  
 (b) Dissolution or Liquidation. In the event of the proposed dissolution or liquidation of the Company, the Administrator shall notify each Participant as soon as practicable prior to the effective date of such
proposed transaction. The Administrator in its discretion may provide for a Participant to have the right to exercise his or her Award until ten (10) days prior to such transaction as to all of the Optioned Stock covered thereby, including Shares as
to which the Award would not otherwise be exercisable. In addition, the Administrator may provide that any Company repurchase option applicable to any Restricted Stock shall lapse as to all such Shares, provided the proposed dissolution or
liquidation takes place at the time and in the manner contemplated. To the extent it has not been previously exercised, an Award will terminate immediately prior to the consummation of such proposed action. 
  
 (c) Merger or Asset Sale. In the event of a merger of the Company with
or into another corporation, or the sale of substantially all of the assets of the Company, each outstanding Award shall be assumed or an equivalent award substituted by the successor corporation or a Parent or Subsidiary of the successor
corporation. In the event that the successor corporation refuses to assume or substitute for the Award, the Participant shall fully vest in and have the right to exercise his or her Option, Stock Purchase Right, or Stock Appreciation Right as to all
of the Optioned Stock, including Shares as to which it would not otherwise be vested or exercisable, and all restrictions on Restricted Stock and all performance goals or other vesting criteria with respect to Performance Shares and Performance
Units will be as determined by the Board. In addition, if an Option, Stock Purchase Right, or Stock Appreciation Right becomes fully vested and exercisable in lieu of assumption or substitution in the event of a merger or sale of assets, the
Administrator shall notify the Participant in writing or electronically that the Option, Stock Purchase Right, or Stock Appreciation Right shall be fully vested and exercisable for a period of fifteen (15) days from the date of such notice, and the
Option, Stock Purchase Right, or Stock Appreciation Right shall terminate upon the expiration of such period. For the purposes of this paragraph, an Award shall be considered assumed if, following the merger or sale of assets, the Award confers the
right to purchase or receive, for each Share subject to the Award immediately prior to the merger or sale of assets (and in the case of Performance Units, for each implied share determined by dividing the value of the Performance Unit by the per
Share consideration received by holders of Common Stock in the merger or asset sale), an amount of consideration (whether stock, cash, or other securities or property) equal to the fair market value of the consideration received in the merger or
sale of assets 

  

 -15- 

 
by holders of Common Stock for each Share held on the effective date of the transaction (and if holders were offered a choice of consideration, the type of
consideration chosen by the holders of a majority of the outstanding Shares); provided, however, that if such consideration received in the merger or sale of assets is not solely common stock of the successor corporation or its Parent, the
Administrator may, with the consent of the successor corporation, provide for the consideration to be received upon the exercise of the Option, Stock Purchase Right, or Stock Appreciation Right, or upon the payout of a Performance Share or
Performance Unit, for each Share subject to such Award (or in the case of Performance Units, the number of implied shares determined by dividing the value of the Performance Units by the per Share consideration received by holders of Common Stock in
the merger or asset sale), to be solely common stock of the successor corporation or its Parent equal in fair market value to the per Share consideration received by holders of Common Stock in the merger or sale of assets. 
  
 Notwithstanding anything in this Section 12(c) to the contrary, an Award that
vests, is earned or paid-out upon the satisfaction of one or more performance goals will not be considered assumed if the Company or its successor modifies any of such performance goals without the Participant’s consent; provided, however, a
modification to such performance goals only to reflect the successor corporation’s post-merger or post-asset sale corporate structure will not be deemed to invalidate an otherwise valid Award assumption 
  
 13. No Effect on Employment or Service. Neither the Plan nor
any Award shall confer upon a Participant any right with respect to continuing the Participant’s relationship as a Service Provider with the Company, nor shall they interfere in any way with the Participant’s right or the Company’s
right to terminate such relationship at any time, with or without cause. 
  
 14. Date of Grant. The date of grant of an Award shall be, for all purposes, the date on which the Administrator makes the determination granting such Award, or such other later date as is determined by
the Administrator. Notice of the determination shall be provided to each Participant within a reasonable time after the date of such grant. 
  
 15. Term of Plan. Subject to Section 19 of the Plan, the Plan shall become effective upon its adoption by the Board. It shall continue in
effect for a term of ten (10) years unless terminated earlier under Section 16 of the Plan. 
  
 16. Amendment and Termination of the Plan. 
  
 (a) Amendment and Termination. The Board may at any time amend, alter, suspend or terminate the Plan. 
  
 (b) Stockholder Approval. The Company shall obtain stockholder approval of any Plan amendment to the extent necessary and desirable to comply with
Applicable Laws. 
  
 (c) Effect of Amendment or
Termination. No amendment, alteration, suspension or termination of the Plan shall impair the rights of any Participant, unless mutually agreed otherwise between the Participant and the Administrator, which agreement must be in writing and
signed by the Participant and the Company. Termination of the Plan shall not affect the Administrator’s ability to exercise the powers granted to it hereunder with respect to Awards granted under the Plan prior to the date of such termination.

  

 -16- 

 17. Conditions Upon Issuance of Shares. 
  
 (a) Legal Compliance. Shares shall not be issued pursuant to the
exercise of an Award unless the exercise of such Award and the issuance and delivery of such Shares shall comply with Applicable Laws and shall be further subject to the approval of counsel for the Company with respect to such compliance.

  
 (b) Investment Representations. As a condition to the
exercise of an Award, the Company may require the person exercising such Award to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute
such Shares if, in the opinion of counsel for the Company, such a representation is required. 
  
 (c) Inability to Obtain Authority. The inability of the Company to obtain authority from any regulatory body having jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the
lawful issuance and sale of any Shares hereunder, shall relieve the Company of any liability in respect of the failure to issue or sell such Shares as to which such requisite authority shall not have been obtained. 
  
 18. Reservation of Shares. The Company, during the term of this
Plan, will at all times reserve and keep available such number of Shares as shall be sufficient to satisfy the requirements of the Plan. 
  
 19. Stockholder Approval. The Plan shall be subject to approval by the stockholders of the Company within twelve (12) months after the date
the Plan is adopted. Such stockholder approval shall be obtained in the manner and to the degree required under Applicable Laws. 
  

 -17-

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