Document:

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                                                                   EXHIBIT 10.12
                                                                   -------------
                           OPNET TECHNOLOGIES, INC.

                       2000 Employee Stock Purchase Plan
                       ---------------------------------

     The purpose of this 2000 Employee Stock Purchase Plan (the "Plan") of the
Company is to provide eligible employees of the Company and certain of its
subsidiaries with opportunities to purchase shares of the Company's common
stock, par value $0.001 per share (the "Common Stock"). Three hundred thousand
(300,000) shares of Common Stock in the aggregate have been approved for this
purpose. This Plan is intended to qualify as an "employee stock purchase plan"
as defined in Section 423 of the Internal Revenue Code of 1986, as amended (the
"Code"), and the regulations promulgated thereunder, and shall be interpreted
consistent therewith.

     1.   Administration.  The Plan will be administered by the Company's Board
          --------------
of Directors (the "Board") or by a Committee appointed by the Board (the
"Committee").  The Board or the Committee has authority to make rules and
regulations for the administration of the Plan and its interpretation and
decisions with regard thereto shall be final and conclusive.

     2.   Eligibility.  All employees of the Company, including members of the
          -----------
Board of Directors who are employees, and all employees of any subsidiary of the
Company (as defined in Section 424(f) of the Code) designated by the Board or
the Committee from time to time (a "Designated Subsidiary"), are eligible to
participate in any one or more of the offerings of Options (as defined in
Section 9) to purchase Common Stock under the Plan provided that:

          (a) they are customarily employed by the Company or a Designated
     Subsidiary for more than 20 hours a week and for more than five months in a
     calendar year; and

          (b) they have been employed by the Company or a Designated Subsidiary
     for at least six months prior to enrolling in the Plan; and

          (c) they are employees of the Company or a Designated Subsidiary on
     the first day of the applicable Plan Period (as defined below).

     No employee may be granted an option hereunder if such employee,
immediately after the option is granted, owns 5% or more of the total combined
voting power or value of the stock of the Company or any subsidiary.  For
purposes of the preceding sentence, the attribution rules of Section 424(d) of
the Code shall apply in determining the stock ownership of an employee, and all
stock which the employee has a contractual right to purchase shall be treated as
stock owned by the employee.

     3.   Offerings.  The Company will make one or more offerings ("Offerings")
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to employees to purchase stock under this Plan.  Offerings will begin each
January 1 and July 1, or the first business day thereafter (the "Offering
Commencement Dates").  Each Offering Commencement Date will begin a six-month
period (a "Plan Period") during which payroll deductions will be made and held
for the purchase of Common Stock at the end of the Plan Period.  The Board or
the Committee may, at its discretion, choose a different Plan Period of 12
months or less for subsequent Offerings.  Notwithstanding anything to the
contrary, the first Plan
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Period shall begin on the first day of the first fiscal quarter beginning after
the closing of a firm commitment, registered initial public offering by the
Company or, if later, the date that the Company has filed with the United States
Securities and Exchange Commission an effective Registration Statement on Form
S-8 for purposes of registering under the Securities Act of 1933, as amended,
all shares of Common Stock issuable under this Plan, and shall end on the June
30 or December 31 first thereafter occurring.

     4.   Participation.  An employee eligible on the Offering Commencement Date
          -------------
of any Offering may participate in such Offering by completing and forwarding a
payroll deduction authorization form to the employee's appropriate payroll
office at least 15 days prior to the applicable Offering Commencement Date.  The
form will authorize a regular payroll deduction from the Compensation received
by the employee during the Plan Period.  Unless an employee files a new form or
withdraws from the Plan, his or her deductions and purchases will continue at
the same rate for future Offerings under the Plan as long as the Plan remains in
effect.  The term "Compensation" means the amount of money reportable on the
employee's Federal Income Tax Withholding Statement, excluding overtime, shift
premium, incentive or bonus awards, allowances and reimbursements for expenses
such as relocation allowances for travel expenses, income or gains on the
exercise of Company stock options or stock appreciation rights, and similar
items, whether or not shown on the employee's Federal Income Tax Withholding
Statement, but including, in the case of salespersons, sales commissions to the
extent determined by the Board or the Committee.

     5.   Deductions.  The Company will maintain payroll deduction accounts for
          -----------
all participating employees.  With respect to any Offering made under this Plan,
an employee may authorize a payroll deduction in any dollar amount up to a
maximum of 10% of the Compensation he or she receives during the Plan Period or
such shorter period during which deductions from payroll are made.  Payroll
deductions may be at any percentage (up to 10%) of Compensation, with any change
in Compensation during the Plan Period to result in an automatic corresponding
change in the dollar amount withheld.  The minimum payroll deduction is such
percentage of Compensation as may be established from time to time by the Board
or the Committee.

     No employee may be granted an Option (as defined in Section 9) which
permits his or her rights to purchase Common Stock under this Plan and any other
employee stock purchase plan (as defined in Section 423(b) of the Code) of the
Company and its subsidiaries, to accrue at a rate which exceeds $25,000 of the
fair market value of such Common Stock (determined at the Offering Commencement
Date of the Plan Period) for each calendar year in which the Option is
outstanding at any time.

     6.   Deduction Changes.  An employee may decrease or discontinue his or her
          -----------------
payroll deduction once during any Plan Period, by filing a new payroll deduction
authorization form.  However, an employee may not increase his or her payroll
deduction during a Plan Period.  If an employee elects to discontinue his or her
payroll deductions during a Plan Period, but does not elect to withdraw his or
her funds pursuant to Section 8 hereof, funds deducted prior to his or her

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election to discontinue will be applied to the purchase of Common Stock on the
Exercise Date (as defined below).

     7.   Interest.  Interest will not be paid on any employee accounts, except
          --------
to the extent that the Board or the Committee, in its sole discretion, elects to
credit employee accounts with interest at such per annum rate as it may from
time to time determine.

     8.   Withdrawal of Funds.  An employee may at any time prior to the close
          -------------------
of business on the last business day in a Plan Period and for any reason
permanently draw out the balance accumulated in the employee's account and
thereby withdraw from participation in an Offering.  Partial withdrawals are not
permitted.  The employee may not begin participation again during the remainder
of the Plan Period.  The employee may participate in any subsequent Offering in
accordance with terms and conditions established by the Board or the Committee.

     9.   Purchase of Shares.  On the Offering Commencement Date of each Plan
          ------------------
Period, the Company will grant to each eligible employee who is then a
participant in the Plan an option ("Option") to purchase on the last business
day of such Plan Period (the "Exercise Date"), at the Option Price hereinafter
provided for, the largest number of whole shares of Common Stock of the Company
as does not exceed the number of shares determined by multiplying $2,083 by the
number of full months in the Offering Period and dividing the result by the
closing price (as defined below) on the Offering Commencement Date of such Plan
Period.

     The purchase price for each share purchased will be 85% of the closing
price of the Common Stock on (i) the first business day of such Plan Period or
(ii) the Exercise Date, whichever closing price is less.  Such closing price
shall be (a) the closing price on any national securities exchange on which the
Common Stock is listed, (b) the closing price of the Common Stock on the Nasdaq
National Market or (c) the average of the closing bid and asked prices in the
over-the-counter-market, whichever is applicable, as published in The Wall
                                                                  --------
Street Journal.  If no sales of Common Stock were made on such a day, the price
--------------
of the Common Stock for purposes of clauses (a) and (b) above shall be the
reported price for the next preceding day on which sales were made.

     Each employee who continues to be a participant in the Plan on the Exercise
Date shall be deemed to have exercised his or her Option at the Option Price on
such date and shall be deemed to have purchased from the Company the number of
full shares of Common Stock reserved for the purpose of the Plan that his or her
accumulated payroll deductions on such date will pay for, but not in excess of
the maximum number determined in the manner set forth above.

     Any balance remaining in an employee's payroll deduction account at the end
of a Plan Period will be automatically refunded to the employee, except that any
balance which is less than the purchase price of one share of Common Stock will
be carried forward into the employee's payroll deduction account for the
following Offering, unless the employee elects not to participate in the
following Offering under the Plan, in which case the balance in the employee's
account shall be refunded.

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     10.  Issuance of Certificates.  Certificates representing shares of Common
          ------------------------
Stock purchased under the Plan may be issued only in the name of the employee,
in the name of the employee and another person of legal age as joint tenants
with rights of survivorship, or (in the Company's sole discretion) in the name
of a brokerage firm, bank or other nominee holder designated by the employee.
The Company may, in its sole discretion and in compliance with applicable laws,
authorize the use of book entry registration of shares in lieu of issuing stock
certificates.

     11.  Rights on Retirement, Death or Termination of Employment.  In the
          --------------------------------------------------------
event of a participating employee's termination of employment prior to the last
business day of a Plan Period, no payroll deduction shall be taken from any pay
due and owing to an employee and the balance in the employee's account shall be
paid to the employee or, in the event of the employee's death, (a) to a
beneficiary previously designated in a revocable notice signed by the employee
(with any spousal consent required under state law) or (b) in the absence of
such a designated beneficiary, to the executor or administrator of the
employee's estate, or (c) if no such executor or administrator has been
appointed to the knowledge of the Company, to such other person(s) as the
Company may, in its discretion, designate.  If, prior to the last business day
of the Plan Period, the Designated Subsidiary by which an employee is employed
shall cease to be a subsidiary of the Company, or if the employee is transferred
to a subsidiary of the Company that is not a Designated Subsidiary, the employee
shall be deemed to have terminated employment for the purposes of this Plan.

     12.  Optionees Not Stockholders.  Neither the granting of an Option to an
          --------------------------
employee nor the deductions from his or her pay shall constitute such employee a
stockholder of the shares of Common Stock covered by an Option under this Plan
until such shares have been purchased by and issued to him.

     13.  Rights Not Transferable.  Rights under this Plan are not transferable
          -----------------------
by a participating employee other than by will or the laws of descent and
distribution, and are exercisable during the employee's lifetime only by the
employee.

     14.  Application of Funds.  All funds received or held by the Company under
          --------------------
this Plan may be combined with other corporate funds and may be used for any
corporate purpose.

     15.  Adjustment in Case of Changes Affecting Common Stock.  In the event of
          ----------------------------------------------------
a subdivision of outstanding shares of Common Stock or the payment of a dividend
in Common Stock, the number of shares approved for this Plan, and the share
limitation set forth in Section 9, shall be increased proportionately, and such
other adjustment shall be made as may be deemed equitable by the Board or the
Committee.  In the event of any other change affecting the Common Stock, such
adjustment shall be made as may be deemed equitable by the Board or the
Committee to give proper effect to such event.

     16.  Merger.  If the Company shall at any time merge or consolidate with
          ------
another corporation and the holders of the capital stock of the Company
immediately prior to such merger or consolidation continue to hold at least 80%
by voting power of the capital stock of the

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surviving corporation ("Continuity of Control"), the holder of each Option then
outstanding will thereafter be entitled to receive at the next Exercise Date
upon the exercise of such Option for each share as to which such Option shall be
exercised the securities or property which a holder of one share of the Common
Stock was entitled to upon and at the time of such merger or consolidation, and
the Board or the Committee shall take such steps in connection with such merger
or consolidation as the Board or the Committee shall deem necessary to assure
that the provisions of Section 15 shall thereafter be applicable, as nearly as
reasonably may be, in relation to the said securities or property as to which
such holder of such Option might thereafter be entitled to receive thereunder.

     In the event of a merger or consolidation of the Company with or into
another corporation which does not involve Continuity of Control, or of a sale
of all or substantially all of the assets of the Company while unexercised
Options remain outstanding under the Plan, (a) subject to the provisions of
clauses (b) and (c), after the effective date of such transaction, each holder
of an outstanding Option shall be entitled, upon exercise of such Option, to
receive in lieu of shares of Common Stock, shares of such stock or other
securities as the holders of shares of Common Stock received pursuant to the
terms of such transaction; or (b) all outstanding Options may be cancelled by
the Board or the Committee as of a date prior to the effective date of any such
transaction and all payroll deductions shall be paid out to the participating
employees; or (c) all outstanding Options may be cancelled by the Board or the
Committee as of the effective date of any such transaction, provided that notice
of such cancellation shall be given to each holder of an Option, and each holder
of an Option shall have the right to exercise such Option in full based on
payroll deductions then credited to his or her account as of a date determined
by the Board or the Committee, which date shall not be less than ten (10) days
preceding the effective date of such transaction.

     17.  Amendment of the Plan.  The Board may at any time, and from time to
          ---------------------
time, amend this Plan in any respect, except that (a) if the approval of any
such amendment by the shareholders of the Company is required by Section 423 of
the Code, such amendment shall not be effected without such approval, and (b) in
no event may any amendment be made which would cause the Plan to fail to comply
with Section 423 of the Code.

     18.  Insufficient Shares.  In the event that the total number of shares of
          -------------------
Common Stock specified in elections to be purchased under any Offering plus the
number of shares purchased under previous Offerings under this Plan exceeds the
maximum number of shares issuable under this Plan, the Board or the Committee
will allot the shares then available on a pro rata basis.

     19.  Termination of the Plan.  This Plan may be terminated at any time by
          -----------------------
the Board.  Upon termination of this Plan all amounts in the accounts of
participating employees shall be promptly refunded.

     20.  Governmental Regulations.  The Company's obligation to sell and
          ------------------------
deliver Common Stock under this Plan is subject to listing on a national stock
exchange or quotation on the Nasdaq National Market (to the extent the Common
Stock is then so listed or quoted) and the

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approval of all governmental authorities required in connection with the
authorization, issuance or sale of such stock.

     21.  Governing Law.  The Plan shall be governed by Delaware law except to
          -------------
the extent that such law is preempted by federal law.

     22.  Issuance of Shares.  Shares may be issued upon exercise of an Option
          ------------------
from authorized but unissued Common Stock, from shares held in the treasury of
the Company, or from any other proper source.

     23.  Notification upon Sale of Shares.  Each employee agrees, by entering
          --------------------------------
the Plan, to promptly give the Company notice of any disposition of shares
purchased under the Plan where such disposition occurs within two years after
the date of grant of the Option pursuant to which such shares were purchased.

     24.  Effective Date and Approval of Shareholders.  The Plan shall take
          -------------------------------------------
effect on March 13, 2000 subject to approval by the shareholders of the Company
as required by Section 423 of the Code, which approval must occur within twelve
months of the adoption of the Plan by the Board.

                                    Adopted by the Board of Directors of

                                    the Company on March 13, 2000.

                                    Approved by the stockholders of the

                                    Company on June __, 2000.

                                    On June 27, 2000, the Board of Directors
                                    approved a three-for-two split of the Common
                                    Stock which increased the number of shares
                                    of Common Stock available for issuance under
                                    the Plan to 450,000 shares.

                                       6<PAGE>

                                                                   EXHIBIT 10.13
                                                                   -------------
                            OPNET TECHNOLOGIES, INC.

                        2000 Director Stock Option Plan

1.   Purpose.
     -------

     The purpose of this 2000 Director Stock Option Plan (the "Plan") of OPNET
Technologies, Inc., a Delaware corporation (the "Company"), is to encourage
ownership in the Company by non-employee directors of the Company whose
continued services are considered essential to the Company's future progress, to
provide them with a further incentive to remain as directors of the Company and
to align the interests of such persons with those of the Company's stockholders.

2.   Administration.
     --------------

     The Board of Directors (the "Board") shall supervise and administer the
Plan. All questions concerning interpretation of the Plan or any options granted
under it shall be resolved by the Board and such resolution shall be final and
binding upon all persons having an interest in the Plan. The Board may, to the
full extent permitted by or consistent with applicable laws or regulations,
delegate any or all of its powers under the Plan to a committee appointed by the
Board, and if a committee is so appointed, all references to the Board in the
Plan shall mean and relate to such committee.

3.   Participation in the Plan.
     -------------------------

     Directors of the Company who are not employees of the Company or any
subsidiary of the Company ("non-employee directors") shall be eligible to
receive options under the Plan.

4.   Stock Subject to the Plan.
     -------------------------

     (a)  The maximum number of shares of the Company's common stock, $0.001 par
value per share ("Common Stock"), which may be issued under the Plan shall be
150,000 shares, subject to adjustment as provided in Section 7.

     (b)  If any outstanding option under the Plan for any reason expires or is
terminated without having been exercised in full, the shares covered by the
unexercised portion of such option shall again become available for issuance
pursuant to the Plan.

     (c)  All options granted under the Plan shall be non-statutory options not
entitled to special tax treatment under Section 422 of the Internal Revenue Code
of 1986, as amended (the "Code").

     (d)  Shares issued under the Plan may consist in whole or in part of
authorized but unissued shares or treasury shares.
<PAGE>

5.   Terms, Conditions and Form of Options.
     -------------------------------------

     Each option granted under the Plan shall be evidenced by a written
agreement in such form as the Board shall from time to time approve, which
agreements shall comply with and be subject to the following terms and
conditions:

     (a)  (i)  Automatic Option Grant Dates. Options shall automatically be
               ----------------------------
granted to all non-employee directors as follows:

               (x)  each person serving as a non-employee director on the
closing date (the "Closing Date") of the Company's initial public offering of
Common Stock (the "Initial Public Offering") pursuant to an effective
registration statement under the Securities Act of 1933, as amended, shall be
granted an option to purchase 10,000 shares of Common Stock on the Closing Date;

               (y)  each person who first becomes a non-employee director after
the Closing Date, other than pursuant to election at an Annual Meeting of
Stockholders of the Company, shall be granted an option on the date of his or
her election to the Board to purchase a number of shares of Common Stock
calculated by multiplying 833 by the number of full calendar months remaining
from the date of his or her initial election to the Board until the first
anniversary of the prior year's Annual Meeting of Stockholders; and

               (z)  each non-employee director shall be granted an option to
purchase 10,000 shares of Common Stock on the date of each Annual Meeting of
Stockholders of the Company commencing with the 2001 Annual Meeting of
Stockholders, provided that he or she is serving as a director immediately
following such Annual Meeting of Stockholders.

          (ii) Periodic Grants of Options. Subject to execution by the non-
               --------------------------
employee director of an appropriate option agreement, the Board may grant
additional options to purchase a number of shares to be determined by the Board
in recognition of services provided by a non-employee director in his or her
capacity as a director.

     Each date of grant of an option pursuant to this Section 5(a) is
hereinafter referred to as an "Option Grant Date."

     (b)  Option Exercise Price. The option exercise price per share for each
          ---------------------
option granted under the Plan shall equal (i) the closing price on any national
securities exchange on which the Common Stock is listed, (ii) the closing price
of the Common Stock on the Nasdaq National Market or (iii) the average of the
closing bid and asked prices in the over-the-counter market, whichever is
applicable, as published in The Wall Street Journal, on the Option Grant Date;
                            -----------------------
provided, that the option exercise price per share for each option granted
pursuant to Section 5(a)(i)(x) shall be equal to the price per share to the
public of the shares of Common Stock sold by the Company in the Initial Public
Offering. If no sales of Common Stock were made on the Option Grant Date, the
price of the Common Stock for purposes of clauses (i) and (ii) above shall be
the reported price for the next preceding day on which sales were made.

     (c)  Transferability of Options. Except as the Board may otherwise
          --------------------------
determine or provide in an option granted under the Plan, any option granted
under the Plan to an optionee

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<PAGE>

shall not be transferable by the optionee other than by will or the laws of
descent and distribution or pursuant to a qualified domestic relations order as
defined by the Code or Title I of the Employee Retirement Income Security Act,
or the rules thereunder, and shall be exercisable during the optionee's lifetime
only by the optionee or the optionee's guardian or legal representative.
References to an optionee, to the extent relevant in the context, shall include
references to authorized transferees.

     (d)  Vesting Period.
          --------------

          (i)  General.  Each option granted under the Plan pursuant to Section
               -------
5(a)(i) above shall become exercisable (vest) in full on the first anniversary
of the Option Grant Date.  Each option granted under the Plan pursuant to
Section 5(a)(ii) above shall become exercisable on such terms as shall be
determined by the Board and set forth in the option agreement with the
respective optionee.

          (ii) Right to Receive Restricted Stock.  The Board shall have the
               ---------------------------------
authority to grant options which are immediately exercisable subject to the
Company's right to repurchase any unvested shares of stock acquired by the
optionee on exercise of an option in the event such optionee's service as a
director terminates for any reason.

     (e)  Termination. Each option shall terminate, and may no longer be
          -----------
exercised, on the earlier of (i) the date ten years after the Option Grant Date
of such option or (ii) the first anniversary of the date on which the optionee
ceases to serve as a director of the Company.

     (f)  Exercise Procedure. An option may be exercised only by written notice
          ------------------
to the Company at its principal office accompanied by (i) payment in cash or by
certified or bank check of the full consideration for the shares as to which
they are exercised, (ii) delivery of outstanding shares of Common Stock (which
have been owned by the optionee for at least six months) having a fair market
value on the last business day preceding the date of exercise equal to the
option exercise price or (iii) an irrevocable undertaking by a creditworthy
broker to deliver promptly to the Company sufficient funds to pay the exercise
price or delivery of irrevocable instructions to a creditworthy broker to
deliver promptly to the Company cash or a check sufficient to pay the exercise
price.

     (g)  Exercise by Representative Following Death of Director. An optionee,
          ------------------------------------------------------
by written notice to the Company, may designate one or more persons (and from
time to time change such designation), including his or her legal
representative, who, by reason of the optionee's death, shall acquire the right
to exercise all or a portion of the option. If the person or persons so
designated wish to exercise any portion of the option, they must do so within
the term of the option as provided herein. Any exercise by a representative
shall be subject to the provisions of the Plan.

6.   Limitation of Rights.
     --------------------

     (a)  No Right to Continue as a Director. Neither the Plan, nor the granting
          ----------------------------------
of an option nor any other action taken pursuant to the Plan, shall constitute
or be evidence of any agreement or understanding, express or implied, that the
Company will retain the optionee as a director for any period of time.

                                      -3-
<PAGE>

     (b)  No Stockholders' Rights for Options. An optionee shall have no rights
          -----------------------------------
as a stockholder with respect to the shares covered by his or her option until
the date of the issuance to him or her of a stock certificate therefor, and no
adjustment will be made for dividends or other rights (except as provided in
Section 7) for which the record date is prior to the date such certificate is
issued.

     (c)  Compliance with Securities Laws. Each option shall be subject to the
          -------------------------------
requirement that if, at any time, counsel to the Company shall determine that
the listing, registration or qualification of the shares subject to such option
upon any securities exchange or under any state or federal law, or the consent
or approval of any governmental or regulatory body, or the disclosure of non-
public information or the satisfaction of any other condition is necessary as a
condition of, or in connection with, the issuance or purchase of shares
thereunder, such option may not be exercised, in whole or in part, unless such
listing, registration, qualification, consent or approval, or satisfaction of
such condition shall have been effected or obtained on conditions acceptable to
the Board. Nothing herein shall be deemed to require the Company to apply for or
to obtain such listing, registration or qualification, or to satisfy such
condition.

7.   Adjustments for Changes in Common Stock and Certain Other Events.
     ----------------------------------------------------------------

     (a)  Changes in Capitalization. In the event of any stock split, reverse
          -------------------------
stock split, stock dividend, recapitalization, combination of shares,
reclassification of shares, spin-off or other similar change in capitalization
or event, or any distribution to holders of Common Stock other than a normal
cash dividend, (i) the number and class of securities available under this Plan
and (ii) the number and class of securities and exercise price per share subject
to each outstanding option, shall be appropriately adjusted by the Company to
the extent the Board shall determine, in good faith, that such an adjustment is
necessary and appropriate. If this Section 7(a) applies and Section 7(c) also
applies to any event, Section 7(c) shall be applicable to such event, and this
Section 7(a) shall not be applicable.

     (b)  Liquidation or Dissolution.  In the event of a proposed liquidation or
          --------------------------
dissolution of the Company, the Board shall upon written notice to the optionees
provide that all then unexercised options will (i) become exercisable in full as
of a specified time at least 10 business days prior to the effective date of
such liquidation or dissolution and (ii) terminate effective upon such
liquidation or dissolution, except to the extent exercised before such effective
date.

     (c)  Reorganization Events.
          ---------------------

          (1)  Definition. A "Reorganization Event" shall mean: (a) any merger
               ----------
or consolidation of the Company with or into another entity as a result of which
the Common Stock is converted into or exchanged for the right to receive cash,
securities or other property or (b) any exchange of shares of the Company for
cash, securities or other property pursuant to a share exchange transaction.

          (2)  Consequences of a Reorganization Event on Options. Upon the
               -------------------------------------------------
occurrence of a Reorganization Event, or the execution by the Company of any
agreement with respect to a Reorganization Event, the Board shall provide that
all outstanding options shall be

                                      -4-
<PAGE>

assumed, or equivalent options shall be substituted, by the acquiring or
succeeding corporation (or an affiliate thereof). For purposes hereof, an option
shall be considered to be assumed if, following consummation of the
Reorganization Event, the option confers the right to purchase, for each share
of Common Stock subject to the option immediately prior to the consummation of
the Reorganization Event, the consideration (whether cash, securities or other
property) received as a result of the Reorganization Event by holders of Common
Stock for each share of Common Stock held immediately prior to the consummation
of the Reorganization Event (and if holders were offered a choice of
consideration, the type of consideration chosen by the holders of a majority of
the outstanding shares of Common Stock); provided, however, that if the
consideration received as a result of the Reorganization Event is not solely
common stock of the acquiring or succeeding corporation (or an affiliate
thereof), the Company may, with the consent of the acquiring or succeeding
corporation, provide for the consideration to be received upon the exercise of
options to consist solely of common stock of the acquiring or succeeding
corporation (or an affiliate thereof) equivalent in fair market value to the per
share consideration received by holders of outstanding shares of Common Stock as
a result of the Reorganization Event.

     Notwithstanding the foregoing, if the acquiring or succeeding corporation
(or an affiliate thereof) does not agree to assume, or substitute for, such
options, then the Board shall, upon written notice to the optionees, provide
that all then unexercised options will become exercisable in full as of a
specified time prior to the Reorganization Event and will terminate immediately
prior to the consummation of such Reorganization Event, except to the extent
exercised by the optionees before the consummation of such Reorganization Event;
provided, however, that in the event of a Reorganization Event under the terms
of which holders of Common Stock will receive upon consummation thereof a cash
payment for each share of Common Stock surrendered pursuant to such
Reorganization Event (the "Acquisition Price"), then the Board may instead
provide that all outstanding options shall terminate upon consummation of such
Reorganization Event and that each optionee shall receive, in exchange therefor,
a cash payment equal to the amount (if any) by which (A) the Acquisition Price
multiplied by the number of shares of Common Stock subject to such outstanding
options (whether or not then exercisable) exceeds (B) the aggregate exercise
price of such options.

8.   Termination and Amendment of the Plan.
     -------------------------------------

     The Board may suspend or terminate the Plan or amend it in any respect
whatsoever.

9.   Notice.
     ------

     Any written notice to the Company required by any of the provisions of the
Plan shall be addressed to the Treasurer of the Company and shall become
effective when it is received.

10.  Governing Law.
     -------------

     The Plan and all determinations made and actions taken pursuant hereto
shall be governed by the internal laws of the State of Delaware (without regard
to any applicable conflicts of laws or principles).

                                      -5-
<PAGE>

11.  Effective Date.
     --------------

     The Plan shall take effect upon the closing of the Initial Public Offering.

                              Adopted by the Board of Directors on March 13,
                              2000

                              Approved by the Stockholders on June __, 2000

                              On June 27, 2000, the Board of Directors approved
                              a three-for-two split of the Common Stock which
                              increased the number of shares of Common Stock
                              available for issuance under the Plan to 225,000
                              shares.

                                      -6-

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