Document:

exv10w02

Exhibit 10.02

GREEN DOT CORPORATION

SECOND AMENDED AND RESTATED 2001 STOCK PLAN

MARCH
31, 2010

 

Date of
Adoption of Stock Plan: January 30, 2001

Date of First Amendment to Stock Plan: February 15, 2008

Date of Second Amendment to Stock Plan: November 12, 2009

 

 

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page(s)	 
	SECTION 1.     Establishment And Purpose 
	 	 	1	 
	 
	SECTION 2.     Administration 
	 	 	1	 
	 
	(a) Committees of the Board of Directors 
	 	 	1	 
	 
	(b) Authority of the Board of Directors 
	 	 	1	 
	 
	SECTION 3.     Eligibility 
	 	 	1	 
	 
	(a) General Rule 
	 	 	1	 
	 
	(b) Ten-Percent Stockholders 
	 	 	1	 
	 
	SECTION 4.     Stock Subject To Plan 
	 	 	2	 
	 
	(a) Basic Limitation 
	 	 	2	 
	 
	(b) Additional Shares 
	 	 	2	 
	 
	SECTION 5.     Terms And Conditions Of Awards Or Sales 
	 	 	2	 
	 
	(a) Stock Purchase Agreement
	 	 	2	 
	 
	(b) Duration of Offers and Nontransferability of Rights 
	 	 	2	 
	 
	(c) Purchase Price 
	 	 	2	 
	 
	(d) Withholding Taxes 
	 	 	2	 
	 
	(e) Restrictions on Transfer of Shares and Minimum Vesting 
	 	 	2	 
	 
	(f) Accelerated Vesting
	 	 	3	 
	 
	SECTION 6.     Terms And Conditions Of Options 
	 	 	3	 
	 
	(a) Stock Option Agreement 
	 	 	3	 
	 
	(b) Number of Shares 
	 	 	3	 
	 
	(c) Exercise Price 
	 	 	3	 
	 
	(d) Withholding Taxes
	 	 	4	 
	 
	(e) Exercisability 
	 	 	4	 
	 
	(f) Accelerated Exercisability
	 	 	4	 
	 
	(g) Basic Term 
	 	 	4	 
	 
	(h) Nontransferability
	 	 	4	 
	 
	(i) Termination of Service (Except by Death)
	 	 	4	 
	 
	(j) Leaves of Absence
	 	 	5	 
	 
	(k) Death of Optionee
	 	 	5	 
	 
	(l) No Rights as a Stockholder
	 	 	5	 

-i-

 

TABLE OF CONTENTS

(continued)

	 	 	 	 	 
	 	 	Page(s)	 
	(m) Modification, Extension and Assumption of Options
	 	 	6	 
	 
	(n) Restrictions on Transfer of Shares and Minimum Vesting 
	 	 	6	 
	 
	SECTION 7.     Payment For Shares 
	 	 	6	 
	 
	(a) General Rule 
	 	 	6	 
	 
	(b) Surrender of Stock 
	 	 	6	 
	 
	(c) Services Rendered 
	 	 	6	 
	 
	(d) Promissory Note 
	 	 	6	 
	 
	(e) Exercise/Sale 
	 	 	7	 
	 
	(f) Exercise/Pledge 
	 	 	7	 
	 
	SECTION 8.     Adjustment Of Shares 
	 	 	7	 
	 
	(a) General 
	 	 	7	 
	 
	(b) Mergers and Consolidations 
	 	 	7	 
	 
	(c) Reservation of Rights 
	 	 	7	 
	 
	SECTION 9.     Securities Law Requirements 
	 	 	8	 
	 
	SECTION 10.   No Retention Rights 
	 	 	8	 
	 
	SECTION 11.   Duration and Amendments 
	 	 	8	 
	 
	(a) Term of the Plan 
	 	 	8	 
	 
	(b) Right to Amend or Terminate the Plan 
	 	 	8	 
	 
	(c) Effect of Amendment or Termination 
	 	 	8	 
	 
	SECTION 12.   Definitions 
	 	 	9	 
	 
	SECTION 13.   Execution 
	 	 	11	 

-ii-

 

GREEN DOT CORPORATION

AMENDED AND RESTATED 2001 STOCK PLAN

SECTION 1. Establishment And Purpose.

The purpose of the Plan is to offer selected individuals an opportunity to acquire a proprietary
interest in the success of the Company, or to increase such interest, by purchasing Shares of the
Company’s Stock. The Plan provides both for the direct award or sale of Shares and for the grant of
Options to purchase Shares. Options granted under the Plan may include Nonstatutory Options as well
as ISOs intended to qualify under Section 422 of the Code.

Capitalized terms are defined in Section 12.

SECTION 2. Administration.

	(a)	 	Committees of the Board of Directors. The Plan may be administered by one or more Committees.
Each Committee shall consist of two or more members of the Board of Directors who have been
appointed by the Board of Directors. Each Committee shall have such authority and be
responsible for such functions as the Board of Directors has assigned to it. If no Committee
has been appointed, the entire Board of Directors shall administer the Plan. Any reference to
the Board of Directors in the Plan shall be construed as a reference to the Committee (if any)
to whom the Board of Directors has assigned a particular function.

	(b)	 	Authority of the Board of Directors. Subject to the provisions of the Plan, the Board of
Directors shall have full authority and discretion to take any actions it deems necessary or
advisable for the administration of the Plan. All decisions, interpretations and other actions
of the Board of Directors shall be final and binding on all Purchasers, all Optionees and all
persons deriving their rights from a Purchaser or Optionee.

SECTION 3. Eligibility.

	(a)	 	General Rule. Only Employees, Outside Directors and Consultants shall be eligible for the
grant of Options or the direct award or sale of Shares. Only Employees shall be eligible for
the grant of ISOs.

	(b)	 	Ten-Percent Stockholders. In the case of an ISO, with respect to an individual who owns more
than 10% of the total combined voting power of all classes of outstanding stock of the
Company, its Parent or any of its Subsidiaries the Exercise Price of such ISO shall be at
least 110% of the Fair Market Value of a Share on the date of grant and such ISO shall not be
exercisable after the expiration of five years from the date of grant. For purposes of this
Subsection (b), in determining stock ownership, the attribution rules of Section 424(d) of the
Code shall be applied.

 

 

SECTION 4. Stock Subject To Plan

	(a)	 	Basic Limitation. Shares offered under the Plan shall be authorized but unissued Shares.
The aggregate number of Shares that may be issued under the Plan (upon exercise of Options or
other rights to acquire Shares) shall not exceed 11,208,384 Shares, subject to adjustment
pursuant to Section 8. The number of Shares that are subject to Options or other rights
outstanding at any time under the Plan shall not exceed the number of Shares that then remain
available for issuance under the Plan. The Company, during the term of the Plan, shall at all
times reserve and keep available sufficient Shares to satisfy the requirements of the Plan.

	(b)	 	Additional Shares. In the event that any outstanding Option or other right for any reason
expires or is canceled or otherwise terminated, the Shares allocable to the unexercised
portion of such Option or other right shall again be available for the purposes of the Plan.
In the event that Shares issued under the Plan are reacquired by the Company pursuant to any
forfeiture provision, right of repurchase or right of first refusal, such Shares shall again
be available for the purposes of the Plan, except that the aggregate number of Shares which
may be issued pursuant to Options intended to be ISOs shall in no event exceed 11,208,384
Shares (subject to adjustment pursuant to Section 8).

SECTION 5. Terms And Conditions Of Awards Or Sales.

	(a)	 	Stock Purchase Agreement. Each award or sale of Shares under the Plan (other than upon
exercise of an Option) shall be evidenced by a Stock Purchase Agreement between the Purchaser
and the Company. Such award or sale shall be subject to all applicable terms and conditions of
the Plan and may be subject to any other terms and conditions which are not inconsistent with
the Plan and which the Board of Directors deems appropriate for inclusion in a Stock Purchase
Agreement. The provisions of the various Stock Purchase Agreements entered into under the Plan
need not be identical.

	(b)	 	Duration of Offers and Nontransferability of Rights. Any right to acquire Shares under the
Plan (other than an Option) shall automatically expire if not exercised by the Purchaser
within 30 days after the grant of such right was communicated to the Purchaser by the Company.
Such right shall not be transferable and shall be exercisable only by the Purchaser to whom
such right was granted.

	(c)	 	Purchase Price. The Purchase Price of Shares to be offered under the Plan shall be determined
by the Board of Directors at its sole discretion. The Purchase Price shall be payable in a
form described in Section 7.

	(d)	 	Withholding Taxes. As a condition to the purchase of Shares, the Purchaser shall make such
arrangements as the Board of Directors may require for the satisfaction of any federal, state,
local or foreign withholding tax obligations that may arise in connection with such purchase.

 

 

	(e)	 	Restrictions on Transfer of Shares and Minimum Vesting. Any Shares awarded or sold under the
Plan shall be subject to such special forfeiture conditions, rights of repurchase, rights of
first refusal and other transfer restrictions as the Board of Directors may determine. Such
restrictions shall be set forth in the applicable Stock Purchase Agreement and shall apply in
addition to any restrictions that may apply to holders of Shares generally. In addition, the
applicable Stock Purchase Agreement may provide the Company an additional right to repurchase
the Purchaser’s Shares at a purchase price not less than the Fair Market Value of the Shares
on the date Purchaser’s Service terminates, and such right of repurchase shall terminate when
the Company’s securities become publicly traded. Any such rights of repurchase may be
exercised only within 90 days after the termination of the Purchaser’s Service for cash or for
cancellation of indebtedness incurred in purchasing the Shares.

	(f)	 	Accelerated Vesting. Unless the applicable Stock Purchase Agreement provides otherwise, any
right to repurchase a Purchaser’s Shares at the original Purchase Price (if any) upon
termination of the Purchaser’s Service shall lapse and all of such Shares shall become vested
if:

	 	(i)	 	The Company is subject to a Change in Control before the Purchaser’s Service
terminates; and
	 
	 	(ii)	 	Either (A) the repurchase right is not assigned to the entity that employs the
Purchaser immediately after the Change in Control or to its parent or subsidiary or (B)
the Purchaser is subject to an Involuntary Termination within 6 months following such
Change in Control.

SECTION 6. Terms And Conditions Of Options.

	(a)	 	Stock Option Agreement. Each grant of an Option under the Plan shall be evidenced by a Stock
Option Agreement between the Optionee and the Company. Such Option shall be subject to all
applicable terms and conditions of the Plan and may be subject to any other terms and
conditions which are not inconsistent with the Plan and which the Board of Directors deems
appropriate for inclusion in a Stock Option Agreement. The provisions of the various Stock
Option Agreements entered into under the Plan need not be identical.
	 
	(b)	 	Number of Shares. Each Stock Option Agreement shall specify the number of Shares that are
subject to the Option and shall provide for the adjustment of such number in accordance with
Section 8. The Stock Option Agreement shall also specify whether the Option is an ISO or a
Nonstatutory Option.
	 
	(c)	 	Exercise Price. Each Stock Option Agreement shall specify the Exercise Price. The Exercise
Price of an ISO shall not be less than 100% of the Fair Market Value of a Share on the date of
grant, and a higher percentage may be required by Section 3(b). The Exercise Price of a
Nonstatutory Option shall not be less than 100% of the Fair Market Value of a Share on the
date of grant. Subject to the preceding two sentences, the

 

 

	 	 	Exercise Price under any Option shall be determined by the Board of Directors at its sole
discretion. The Exercise Price shall be payable in a form described in Section 7.

	(d)	 	Withholding Taxes. As a condition to the exercise of an Option, the Optionee shall make such
arrangements as the Board of Directors may require for the satisfaction of any federal, state,
local or foreign withholding tax obligations that may arise in connection with such exercise.
The Optionee shall also make such arrangements as the Board of Directors may require for the
satisfaction of any federal, state, local or foreign withholding tax obligations that may
arise in connection with the disposition of Shares acquired by exercising an Option.
	 
	(e)	 	Exercisability. Each Stock Option Agreement shall specify the date when all or any
installment of the Option is to become exercisable. The exercisability provisions of any Stock
Option Agreement shall be determined by the Board of Directors at its sole discretion, and
unless otherwise determined by the Board of Directors, no Option shall be exercisable during
the first six months following the date of the option grant.
	 
	(f)	 	Accelerated Exercisability. Unless the applicable Stock Option Agreement provides otherwise
(including additional accelerating vesting provisions), all of an Optionee’s Options shall
become exercisable in full if:

	 	(i)	 	The Company is subject to a Change in Control before the Optionee’s Service
terminates; and
	 
	 	(ii)	 	Either (A) such Options do not remain outstanding, such Options are not assumed
by the surviving corporation or its parent, and the surviving corporation or its parent
does not substitute options with substantially the same terms for such Options or (B)
the Optionee is subject to an Involuntary Termination within 6 months following such
Change in Control.

	(g)	 	Basic Term. The Stock Option Agreement shall specify the term of the Option. The term shall
not exceed 10 years from the date of grant, and a shorter term may be required by Section
3(b). Subject to the preceding sentence, the Board of Directors at its sole discretion shall
determine when an Option is to expire.

	(h)	 	Nontransferability. No Option shall be transferable by the Optionee other than by
beneficiary designation, will or the laws of descent and distribution. An Option may be
exercised during the lifetime of the Optionee only by the Optionee or by the Optionee’s
guardian or legal representative. No Option or interest therein may be transferred, assigned,
pledged or hypothecated by the Optionee during the Optionee’s lifetime, whether by operation
of law or otherwise, or be made subject to execution, attachment or similar process.

	(i)	 	Termination of Service (Except by Death). Unless the applicable Stock Option Agreement
provides for a longer period of time, if an Optionee’s Service terminates for any reason other
than the Optionee’s death, then the Optionee’s Options shall expire on the earliest of the
following occasions:

 

 

	 	(i)	 	The expiration date determined pursuant to Subsection (g) above;
	 
	 	(ii)	 	The date three months after the termination of the Optionee’s Service for any
reason other than Disability, or such later date as the Board of Directors may
determine;
	 
	 	(iii)	 	The date six months after the termination of the Optionee’s Service by reason
of Disability, or such later date as the Board of Directors may determine; or
	 
	 	(iv)	 	The date of the termination of the Optionee’s Service for Cause, or such later
date as the Board of Directors may determine.

	 	 	The Optionee may exercise all or part of the Optionee’s Options at any time before the
expiration of such Options under the preceding sentence, but only to the extent that such
Options had become exercisable before the Optionee’s Service terminated (or became
exercisable as a result of the termination) and the underlying Shares had vested before the
Optionee’s Service terminated (or vested as a result of the termination). The balance of
such Options shall lapse when the Optionee’s Service terminates. In the event that the
Optionee dies after the termination of the Optionee’s Service but before the expiration of
the Optionee’s Options, all or part of such Options may be exercised (prior to expiration)
by the executors or administrators of the Optionee’s estate or by any person who has
acquired such Options directly from the Optionee by beneficiary designation, bequest or
inheritance, but only to the extent that such Options had become exercisable before the
Optionee’s Service terminated (or became exercisable as a result of the termination) and the
underlying Shares had vested before the Optionee’s Service terminated (or vested as a result
of the termination).

	(j)	 	Leaves of Absence. For purposes of Subsection (i) above, Service shall be deemed to continue
while the Optionee is on a bona fide leave of absence, if such leave was approved by the
Company in writing and if continued crediting of Service for this purpose is expressly
required by the terms of such leave or by applicable law (as determined by the Company).

	(k)	 	Death of Optionee. If an Optionee dies while the Optionee is in Service, unless the
applicable Stock Option Agreement provides for a longer period of time, then the Optionee’s
Options shall expire on the earlier of the following dates:

	 	(i)	 	The expiration date determined pursuant to Subsection(g) above; or
	 
	 	(ii)	 	The date 12 months after the Optionee’s death.

	 	 	All or part of the Optionee’s Options may be exercised at any time before the expiration of
such Options under the preceding sentence by the executors or administrators of the
Optionee’s estate or by any person who has acquired such Options directly from the Optionee
by beneficiary designation, bequest or inheritance, but only to the extent that

 

 

	 	 	such Options had become exercisable before the Optionee’s death or became exercisable as a
result of the death. The balance of such Options shall lapse when the Optionee dies.

	(l)	 	No Rights as a Stockholder. An Optionee, or a transferee of an Optionee, shall have no
rights as a stockholder with respect to any Shares covered by the Optionee’s Option until such
person becomes entitled to receive such Shares by filing a notice of exercise and paying the
Exercise Price pursuant to the terms of such Option.
	 
	(m)	 	Modification, Extension and Assumption of Options. Within the limitations of the Plan, the
Board of Directors may modify, extend or assume outstanding Options or may accept the
cancellation of outstanding Options (whether granted by the Company or another issuer) in
return for the grant of new Options for the same or a different number of Shares and at the
same or a different Exercise Price. The foregoing notwithstanding, no modification of an
Option shall, without the consent of the Optionee, impair the Optionee’s rights or increase
the Optionee’s obligations under such Option.
	 
	(n)	 	Restrictions on Transfer of Shares and Minimum Vesting. Any Shares issued upon exercise of an
Option shall be subject to such special forfeiture conditions, rights of repurchase, rights of
first refusal and other transfer restrictions as the Board of Directors may determine. Such
restrictions shall be set forth in the applicable Stock Option Agreement and shall apply in
addition to any restrictions that may apply to holders of Shares generally.

SECTION 7. Payment For Shares.

	(a)	 	General Rule. The entire Purchase Price or Exercise Price of Shares issued under the Plan
shall be payable in cash or cash equivalents at the time when such Shares are purchased,
except as otherwise provided in this Section 7.
	 
	(b)	 	Surrender of Stock. To the extent that a Stock Option Agreement so provides, all or any part
of the Exercise Price may be paid by surrendering, or attesting to the ownership of, Shares
that are already owned by the Optionee. Such Shares shall be surrendered to the Company in
good form for transfer and shall be valued at their Fair Market Value on the date when the
Option is exercised. The Optionee shall not surrender, or attest to the ownership of, Shares
in payment of the Exercise Price if such action would cause the Company to recognize
compensation expense (or additional compensation expense) with respect to the Option for
financial reporting purposes.
	 
	(c)	 	Services Rendered. At the discretion of the Board of Directors, Shares may be awarded under
the Plan in consideration of services rendered to the Company, a Parent or a Subsidiary prior
to the award.
	 
	(d)	 	Promissory Note. To the extent that a Stock Option Agreement or Stock Purchase Agreement so
provides, all or a portion of the Exercise Price or Purchase Price (as the case may be) of
Shares issued under the Plan, other than the par value of such Shares, which must be paid in
cash or cash equivalents, may be paid with a full-recourse

 

 

	 	 	promissory note. The Shares shall be pledged as security for payment of the principal amount
of the promissory note and interest thereon. The interest rate payable under the terms of
the promissory note shall not be less than the minimum rate (if any) required to avoid the
imputation of additional interest under the Code. Subject to the foregoing, the Board of
Directors (at its sole discretion) shall specify the term, interest rate, amortization
requirements (if any) and other provisions of such note.

	(e)	 	Exercise/Sale. To the extent that a Stock Option Agreement so provides, and if Stock is
publicly traded, payment may be made all or in part by the delivery (on a form prescribed by
the Company) of an irrevocable direction to a securities broker approved by the Company to
sell Shares and to deliver all or part of the sales proceeds to the Company in payment of all
or part of the Exercise Price and any withholding taxes.
	 
	(f)	 	Exercise/Pledge. To the extent that a Stock Option Agreement so provides, and if Stock is
publicly traded, payment may be made all or in part by the delivery (on a form prescribed by
the Company) of an irrevocable direction to pledge Shares to a securities broker or lender
approved by the Company, as security for a loan, and to deliver all or part of the loan
proceeds to the Company in payment of all or part of the Exercise Price and any withholding
taxes.

SECTION 8. Adjustment Of Shares.

	(a)	 	General. In the event of a subdivision of the outstanding Stock, a declaration of a dividend
payable in Shares, a declaration of an extraordinary dividend payable in a form other than
Shares in an amount that has a material effect on the Fair Market Value of the Stock, a
combination or consolidation of the outstanding Stock into a lesser number of Shares, a
recapitalization, a spin-off, a reclassification or a similar occurrence, the Board of
Directors shall make appropriate adjustments in one or more of (i) the number of Shares
available for future grants under Section 4, (ii) the number of Shares covered by each
outstanding Option or (iii) the Exercise Price under each outstanding Option.

	(b)	 	Mergers and Consolidations. In the event that the Company is a party to a merger or
consolidation, outstanding Options shall be subject to the agreement of merger or
consolidation. Such agreement, without the Optionees’ consent, may provide for:

	 	(i)	 	The continuation of such outstanding Options by the Company (if the Company is
the surviving corporation);
	 
	 	(ii)	 	The assumption of the Plan and such outstanding Options by the surviving
corporation or its parent;
	 
	 	(iii)	 	The substitution by the surviving corporation or its parent of options with
substantially the same terms for such outstanding Options;
	 
	 	(iv)	 	The cancellation of each outstanding Option after payment to the Optionee of an
amount in cash or cash equivalents equal to (a) the Fair Market Value of the

 

 

	 	 	 	Shares subject to such Option at the time of the merger or consolidation minus (b)
the Exercise Price of the Shares subject to such Option; or

	 	(v)	 	The cancellation of such outstanding Option without payment of any
consideration.

	(c)	 	Reservation of Rights. Except as provided in this Section 8, an Optionee or Purchaser shall
have no rights by reason of (i) any subdivision or consolidation of shares of stock of any
class, (ii) the payment of any dividend or (iii) any other increase or decrease in the number
of shares of stock of any class. Any issuance by the Company of shares of stock of any class,
or securities convertible into shares of stock of any class, shall not affect, and no
adjustment by reason thereof shall be made with respect to, the number or Exercise Price of
Shares subject to an Option. The grant of an Option pursuant to the Plan shall not affect in
any way the right or power of the Company to make adjustments, reclassifications,
reorganizations or changes of its capital or business structure, to merge or consolidate or to
dissolve, liquidate, sell or transfer all or any part of its business or assets.

SECTION 9. Securities Law Requirements.

Shares shall not be issued under the Plan unless the issuance and delivery of such Shares comply
with (or are exempt from) all applicable requirements of law, including (without limitation) the
Securities Act of 1933, as amended, the rules and regulations promulgated thereunder, state
securities laws and regulations, and the regulations of any stock exchange or other securities
market on which the Company’s securities may then be traded.

SECTION 10. No Retention Rights.

Nothing in the Plan or in any right or Option granted under the Plan shall confer upon the
Purchaser or Optionee any right to continue in Service for any period of specific duration or
interfere with or otherwise restrict in any way the rights of the Company (or any Parent or
Subsidiary employing or retaining the Purchaser or Optionee) or of the Purchaser or Optionee, which
rights are hereby expressly reserved by each, to terminate his or her Service at any time and for
any reason, with or without cause.

SECTION 11. Duration and Amendments.

	(a)	 	Term of the Plan. The Plan, as set forth herein, shall become effective on the date of its
adoption by the Board of Directors, subject to the approval of the Company’s stockholders. In
the event that the stockholders fail to approve the Plan within 12 months after its adoption
by the Board of Directors, any grants of Options or sales or awards of Shares that have
already occurred shall be rescinded, and no additional grants, sales or awards shall be made
thereafter under the Plan. The Plan shall terminate automatically 10 years after its adoption
by the Board of Directors and may be terminated on any earlier date pursuant to Subsection (b)
below.

 

 

	(b)	 	Right to Amend or Terminate the Plan. The Board of Directors may amend, suspend or terminate
the Plan at any time and for any reason; provided, however, that any amendment of the Plan
which increases the number of Shares available for issuance under the Plan (except as provided
in Section 8), or which materially changes the class of persons who are eligible for the grant
of ISOs, shall be subject to the approval of the Company’s stockholders. Stockholder approval
shall not be required for any other amendment of the Plan.
	 
	(c)	 	Effect of Amendment or Termination. No Shares shall be issued or sold under the Plan after
the termination thereof, except upon exercise of an Option granted prior to such termination.
The termination of the Plan, or any amendment thereof, shall not affect any Share previously
issued or any Option previously granted under the Plan.

SECTION 12. Definitions.

	(a)	 	“Board of Directors” shall mean the Board of Directors of the Company, as constituted from
time to time.
	 
	(b)	 	“Cause” shall mean (i) the unauthorized use or disclosure of the confidential information or
trade secrets of the Company, which use or disclosure causes material harm to the Company,
(ii) conviction of, or a plea of “guilty” or “no contest” to, a felony under the laws of the
United States or any state thereof, (iii) gross negligence or (iv) continued failure to
perform assigned duties after receiving written notification from the Board of Directors. The
foregoing, however, shall not be deemed an exclusive list of all acts or omissions that the
Company (or a Parent or Subsidiary) may consider as grounds for the discharge of an Optionee
or Purchaser.
	 
	(c)	 	“Change in Control” shall mean the sale, conveyance, disposal, or encumbrance of all or
substantially all of the Company’s property or business or the Company’s merger into or
consolidation with any other corporation where the stockholders of the Company immediately
prior to such merger or consolidation own less than fifty percent (50%) of such corporation,
directly or indirectly, after such merger or consolidation or if the Company effects any other
transaction or series of related transactions in which more than fifty percent (50%) of the
voting power of the Company is transferred. A transaction shall not constitute a Change in
Control if its sole purpose is to change the state of the Company’s incorporation or to create
a holding company that will be owned in substantially the same proportions by the persons who
held the Company’s securities immediately before such transaction.
	 
	(d)	 	“Code” shall mean the Internal Revenue Code of 1986, as amended.
	 
	(e)	 	“Committee” shall mean a committee of the Board of Directors, as described in Section 2(a).
	 
	(f)	 	“Company” shall mean Green Dot Corporation, a Delaware corporation.

 

 

	(g)	 	“Consultant” shall mean a person who performs bona fide services for the Company, a Parent or
a Subsidiary as a consultant or advisor, excluding Employees and Outside Directors.
	 
	(h)	 	“Disability” shall mean that the Optionee or Purchaser is unable to engage in any substantial
gainful activity by reason of any medically determinable physical or mental impairment.
	 
	(i)	 	“Employee” shall mean any individual who is a common-law employee of the Company, a Parent or
a Subsidiary.
	 
	(j)	 	“Exercise Price” shall mean the amount for which one Share may be purchased upon exercise of
an Option, as specified by the Board of Directors in the applicable Stock Option Agreement.
	 
	(k)	 	“Fair Market Value” shall mean the fair market value of a Share, as determined by the Board
of Directors in good faith. Such determination shall be conclusive and binding on all persons.
Notwithstanding the foregoing, Fair Market Value shall at all times be determined in
accordance with the requirements of Section 409A of the Code and the regulations and guidance
issued thereunder.
	 
	(l)	 	“Involuntary Termination” shall mean the termination of the Optionee’s or Purchaser’s Service
by reason of:

	 	(i)	 	The involuntary discharge of the Optionee or Purchaser by the Company (or the
Parent or Subsidiary employing him or her) for reasons other than Cause; or
	 
	 	(ii)	 	The voluntary resignation of the Optionee or Purchaser following (A) a change
in his or her position with the Company (or the Parent or Subsidiary employing him or
her) that materially reduces his or her level of authority or responsibility or (B) a
reduction in his or her compensation (including base salary, fringe benefits and
participation in bonus or incentive programs based on corporate performance) by more
than 10%.

	(m)	 	“ISO” shall mean an employee incentive stock option described in Section 422(b) of the Code.
	 
	(n)	 	“Nonstatutory Option” shall mean a stock option not described in Sections 422(b) or 423(b) of
the Code.
	 
	(o)	 	“Option” shall mean an ISO or Nonstatutory Option granted under the Plan and entitling the
holder to purchase Shares.
	 
	(p)	 	“Optionee” shall mean an individual who holds an Option.

 

 

	(q)	 	“Outside Director” shall mean a member of the Board of Directors who is not an Employee.
	 
	(r)	 	“Parent” shall mean any corporation (other than the Company) in an unbroken chain of
corporations ending with the Company, if each of the corporations other than the Company owns
stock possessing 50% or more of the total combined voting power of all classes of stock in one
of the other corporations in such chain. A corporation that attains the status of a Parent on
a date after the adoption of the Plan shall be considered a Parent commencing as of such date.
	 
	(s)	 	“Plan” shall mean this Green Dot Corporation Second Amended and Restated 2001 Stock Plan.
	 
	(t)	 	“Purchase Price” shall mean the consideration for which one Share may be acquired under the
Plan (other than upon exercise of an Option), as specified by the Board of Directors.
	 
	(u)	 	“Purchaser” shall mean an individual to whom the Board of Directors has offered the right to
acquire Shares under the Plan (other than upon exercise of an Option).
	 
	(v)	 	“Retirement” shall mean that the Optionee or Purchaser has given up his or her employment in
the Company.
	 
	(w)	 	“Service” shall mean service as an Employee, Outside Director or Consultant.
	 
	(x)	 	“Share” shall mean one share of Stock, as adjusted in accordance with Section 8 (if
applicable).
	 
	(y)	 	“Stock” shall mean the Class B Common Stock of the Company.
	 
	(z)	 	“Stock Option Agreement” shall mean the agreement between the Company and an Optionee which
contains the terms, conditions and restrictions pertaining to the Optionee’s Option.
	 
	(aa)	 	“Stock Purchase Agreement” shall mean the agreement between the Company and a Purchaser who
acquires Shares under the Plan which contains the terms, conditions and restrictions
pertaining to the acquisition of such Shares.
	 
	(bb)	 	“Subsidiary” means any corporation (other than the Company) in an unbroken chain of
corporations beginning with the Company, if each of the corporations other than the last
corporation in the unbroken chain owns stock possessing 50% or more of the total combined
voting power of all classes of stock in one of the other corporations in such chain. A
corporation that attains the status of a Subsidiary on a date after the adoption of the Plan
shall be considered a Subsidiary commencing as of such date.

 

 

SECTION 13. Execution.

To record the adoption of the Plan by the Board of Directors, the Company has caused its authorized
officer to execute the same.

GREEN DOT

CORPORATION

a Delaware corporation

	 
	  /s/ Steve Streit
 	 
	By:   Steve Streit 	 
	Its:    President 	 

 

 

GREEN DOT CORPORATION

SECOND AMENDED AND RESTATED 2001 STOCK PLAN

NOTICE OF STOCK OPTION GRANT

     You have been granted the following option to purchase Common Stock of Green Dot Corporation
(the “Company”):

	 	 	 

	Name of Optionee:
	 	 
	 

	 	 
 
	Total Number of Shares Granted:
	 	 
	 

	 	 
 
	Type of Option:

	 	Incentive Stock Option/Non-Qualified Stock Option
	 
	 	 
	Exercise Price Per Share:

	 	$ 

	Date of Grant:
	 	 
	 

	 	 
 
	Date Exercisable:
	 	 
	 

	 	 
 
	 
	 	 
	Vesting Commencement Date:
	 	 
	 

	 	 
 
	Expiration Date:
	 	 
	 

	 	 
 

By your signature and the signature of the Company’s representative below, you and the Company
agree that this option is granted under and governed by the terms and conditions of the Second
Amended and Restated 2001 Stock Plan and the Stock Option Agreement, both of which are attached to
and made a part of this document.

	 	 	 
	Optionee	 	GREEN DOT CORPORATION
	 
	 	 
	 
	 	 
	 
 

	 	 
By:
Steve Streit
	 

	 	Its: CEO

	 	 	 	 	 

 

 

THE OPTION GRANTED PURSUANT TO THIS AGREEMENT AND THE SHARES ISSUABLE UPON THE EXERCISE THEREOF
HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE SOLD,
PLEDGED, OR OTHERWISE TRANSFERRED WITHOUT AN EFFECTIVE REGISTRATION THEREOF UNDER SUCH ACT OR AN
OPINION OF COUNSEL, SATISFACTORY TO THE COMPANY AND ITS COUNSEL, THAT SUCH REGISTRATION IS NOT
REQUIRED.

GREEN DOT CORPORATION

SECOND AMENDED AND RESTATED 2001 STOCK PLAN:

STOCK OPTION AGREEMENT

SECTION 1. Grant Of Option.

	(a)	 	Option. On the terms and conditions set forth in the Notice of Stock Option Grant and this
Agreement, the Company grants to the Optionee on the Date of Grant the option to purchase at
the Exercise Price the number of Shares set forth in the Notice of Stock Option Grant. The
Exercise Price is agreed to be at least 100% of the Fair Market Value per Share on the Date of
Grant (110% of Fair Market Value if Section 3(b) of the Plan applies). This option is intended
to be an ISO or a Nonstatutory Option, as provided in the Notice of Stock Option Grant.
	 
	(b)	 	Stock Plan and Defined Terms. This option is granted pursuant to the Plan, a copy of which
the Optionee acknowledges having received. The provisions of the Plan are incorporated into
this Agreement by this reference. Capitalized terms are defined in Section 13 of this
Agreement.

SECTION 2. Right To Exercise.

	(a)	 	Exercisability. Subject to Subsection (b) below and the other conditions set forth in this
Agreement, all or part of this option may be exercised prior to its expiration at the time or
times set forth in the Notice of Stock Option Grant. This option shall become exercisable in
full if (i) the Company is subject to a Change in Control before the Optionee’s Service
terminates, and either (A) such Options do not remain outstanding, such Options are not
assumed by the surviving corporation or its parent, and the surviving corporation or its
parent does not substitute options with substantially the same terms for such Options or (B)
the Optionee is subject to an Involuntary Termination within 6 months following such Change in
Control.

	(b)	 	Stockholder Approval. Any other provision of this Agreement notwithstanding, no portion of
this option shall be exercisable at any time prior to the approval of the Plan by the
Company’s stockholders.

 

 

SECTION 3. No Transfer Or Assignment Of Option.

Except as otherwise provided in this Agreement, this option and the rights and privileges conferred
hereby shall not be sold, pledged or otherwise transferred (whether by operation of law or
otherwise) and shall not be subject to sale under execution, attachment, levy or similar process.

SECTION 4. Exercise Procedures.

	(a)	 	Notice of Exercise. The Optionee or the Optionee’s representative may exercise this option by
giving written notice to the Company pursuant to Section 12(d). The notice shall specify the
election to exercise this option, the number of Shares for which it is being exercised and the
form of payment. The notice shall be signed by the person exercising this option. In the event
that this option is being exercised by the representative of the Optionee, the notice shall be
accompanied by proof (satisfactory to the Company) of the representative’s right to exercise
this option. The Optionee or the Optionee’s representative shall deliver to the Company, at
the time of giving the notice, payment in a form permissible under Section 5 for the full
amount of the Purchase Price.
	 
	(b)	 	Issuance of Shares. After receiving a proper notice of exercise, the Company shall, as soon as practicable thereafter,
register on the Company’s books ownership of the Shares as to which this option has been exercised, registered in the name of the person
exercising this option (or in the names of such person and his or her spouse as community property or as joint tenants with right of
survivorship).
	 
	(c)	 	Withholding Taxes. In the event that the Company determines that it is required to withhold
any tax as a result of the exercise of this option, the Optionee, as a condition to the
exercise of this option, shall make arrangements satisfactory to the Company to enable it to
satisfy all withholding requirements. The Optionee shall also make arrangements satisfactory
to the Company to enable it to satisfy any withholding requirements that may arise in
connection with the vesting or disposition of Shares purchased by exercising this option.

SECTION 5. Payment For Stock.

	(a)	 	Cash. All or part of the Purchase Price may be paid in cash or cash equivalents.
	 
	(b)	 	Surrender of Stock. With the consent of the Board of Directors, all or any part of the
Purchase Price may be paid by surrendering, or attesting to the ownership of, Shares that are
already owned by the Optionee. Such Shares shall be surrendered to the Company in good form
for transfer and shall be valued at their Fair Market Value on the date when this option is
exercised. The Optionee shall not surrender, or attest to the ownership of, Shares in payment
of the Purchase Price if such action would cause the Company to recognize compensation expense
(or additional compensation expense) with respect to this option for financial reporting
purposes.

 

 

	(c)	 	Exercise/Sale. If Stock is publicly traded, all or part of the Purchase Price and any
withholding taxes may be paid by the delivery (on a form prescribed by the Company) of an
irrevocable direction to a securities broker approved by the Company to sell Shares and to
deliver all or part of the sales proceeds to the Company.

	(d)	 	Exercise/Pledge. If Stock is publicly traded, all or part of the Purchase Price and any
withholding taxes may be paid by the delivery (on a form prescribed by the Company) of an
irrevocable direction to pledge Shares to a securities broker or lender approved by the
Company, as security for a loan, and to deliver all or part of the loan proceeds to the
Company.

	(e)	 	Promissory Note. With the consent of the Board of Directors, all or part of the Purchase
Price, other than the par value of any Shares, which must be paid in cash or cash equivalents,
may be paid with a full-recourse promissory note. The Shares shall be pledged as security for
payment of the principal amount of the promissory note and interest thereon. The interest rate
payable under the terms of the promissory note shall not be less than the minimum rate (if
any) required to avoid the imputation of additional interest under the Code. Subject to the
foregoing, the Board of Directors (at its sole discretion) shall specify the term, interest
rate, amortization requirements (if any) and other provisions of such note.

SECTION 6. Term And Expiration.

	(a)	 	Basic Term. This option shall in any event expire on the expiration date set forth in the
Notice of Stock Option Grant, which date is 10 years after the Date of Grant (five years after
the Date of Grant if this option is designated as an ISO in the Notice of Stock Option Grant
and Section 3(b) of the Plan applies).
	 
	(b)	 	Termination of Service. (Except by Death). If the Optionee’s Service terminates for any
reason other than death, then this option shall expire on the earliest of the following
occasions:

	 	(i)	 	The expiration date determined pursuant to Subsection (a) above;
	 
	 	(ii)	 	The date three months after the termination of the Optionee’s Service for any
reason other than Disability;
	 
	 	(iii)	 	The date six months after the termination of the Optionee’s Service by reason
of Disability; or
	 
	 	(iv)	 	The date of the termination of the Optionee’s Service for Cause.

The Optionee may exercise all or part of this option at any time before its expiration under the
preceding sentence, but only to the extent that this option had become exercisable before the
Optionee’s Service terminated. When the Optionee’s Service terminates, this option shall expire
immediately with respect to the number of Shares for which this option is not yet exercisable. In
the event that the Optionee dies after termination of Service but before the expiration of this

 

 

option, all or part of this option may be exercised (prior to expiration) by the executors or
administrators of the Optionee’s estate or by any person who has acquired this option directly from
the Optionee by beneficiary designation, bequest or inheritance, but only to the extent that this
option had become exercisable before the Optionee’s Service terminated.

	(c)	 	Death of the Optionee. If the Optionee dies while in Service, then this option shall expire
on the earlier of the following dates:

	 	(i)	 	The expiration date determined pursuant to Subsection (a) above; or
	 
	 	(ii)	 	The date 12 months after the Optionee’s death.

All or part of this option may be exercised at any time before its expiration under the
preceding sentence by the executors or administrators of the Optionee’s estate or by any person who
has acquired this option directly from the Optionee by beneficiary designation, bequest or
inheritance, but only to the extent that this option had become exercisable before the Optionee’s
death. When the Optionee dies, this option shall expire immediately with respect to the number of
Shares for which this option is not yet exercisable.

	(d)	 	Leaves of Absence. For any purpose under this Agreement, Service shall be deemed to
continue while the Optionee is on a bona fide leave of absence, if such leave was approved by
the Company in writing and if continued crediting of Service for such purpose is expressly
required by the terms of such leave or by applicable law (as determined by the Company).
	 
	(e)	 	Notice Concerning ISO Treatment. If this option is designated as an ISO in the Notice of
Stock Option Grant, it ceases to qualify for favorable tax treatment as an ISO to the extent
it is exercised (i) more than three months after the date the Optionee ceases to be an
Employee for any reason other than death or permanent and total disability (as defined in
Section 22 (e)(3) of the Code), (ii) more than 12 months after the date the Optionee ceases to
be an Employee by reason of such permanent and total disability or (iii) after the Optionee
has been on a leave of absence for more than 90 days, unless the Optionee’s reemployment
rights are guaranteed by statute or by contract.

SECTION 7. Right Of First Refusal.

	(a)	 	Right of First Refusal. In the event that the Optionee proposes to sell, pledge or otherwise
transfer to a third party any Shares acquired under this Agreement, or any interest in such
Shares, the Company shall have the Right of First Refusal with respect to all (and not less
than all) of such Shares. If the Optionee desires to transfer Shares acquired under this
Agreement, the Optionee shall give a written Transfer Notice to the Company describing fully
the proposed transfer, including the number of Shares proposed to be transferred, the proposed
transfer price, the name and address of the proposed Transferee and proof satisfactory to the
Company that the proposed sale or transfer will not violate any applicable federal or state
securities laws. The Transfer Notice shall be signed both by the Optionee and by the proposed
Transferee and must constitute a binding commitment of both parties to the transfer of the
Shares. The Company shall have the right to purchase all, and not less than all, of the Shares
on the terms of the proposal described in the Transfer Notice (subject, however, to any change
in such terms permitted under Subsection (b) below) by delivery of a notice of exercise of the
Right of First Refusal within 30 days after the date when the Transfer Notice was
received by the Company. The Company’s rights under this Subsection (a) shall be freely
assignable, in whole or in part.

 

 

	(b)	 	Transfer of Shares. If the Company fails to exercise its Right of First Refusal within 30
days after the date when it received the Transfer Notice, the Optionee may, not later than 90
days following receipt of the Transfer Notice by the Company, conclude a transfer of the
Shares subject to the Transfer Notice on the terms and conditions described in the Transfer
Notice, provided that any such sale is made in compliance with applicable federal and state
securities laws and not in violation of any other contractual restrictions to which the
Optionee is bound. Any proposed transfer on terms and conditions different from those
described in the Transfer Notice, as well as any subsequent proposed transfer by the Optionee,
shall again be subject to the Right of First Refusal and shall require compliance with the
procedure described in Subsection (a) above. If the Company exercises its Right of First
Refusal, the parties shall consummate the sale of the Shares on the terms set forth in the
Transfer Notice within 60 days after the date when the Company received the Transfer Notice
(or within such longer period as may have been specified in the Transfer Notice); provided,
however, that in the event the Transfer Notice provided that payment for the Shares was to be
made in a form other than cash or cash equivalents paid at the time of transfer, the Company
shall have the option of paying for the Shares with cash or cash equivalents equal to the
present value of the consideration described in the Transfer Notice.

	(c)	 	Additional Shares or Substituted Securities. In the event of the declaration of a stock
dividend, the declaration of an extraordinary dividend payable in a form other than stock, a
spin-off, a stock split, an adjustment in conversion ratio, a recapitalization or a similar
transaction affecting the Company’s outstanding securities without receipt of consideration,
any new, substituted or additional securities or other property (including money paid other
than as an ordinary cash dividend) which are by reason of such transaction distributed with
respect to any Shares subject to this Section 7 or into which such Shares thereby become
convertible shall immediately be subject to this Section 7. Appropriate adjustments to reflect
the distribution of such securities or property shall be made to the number and/or class of
the Shares subject to this Section 7.

	(d)	 	Termination of Right of First Refusal. Any other provision of this Section 7 notwithstanding,
in the event that the Stock is readily tradable on an established securities market when the
Optionee desires to transfer Shares, the Company shall have no Right of First Refusal, and the
Optionee shall have no obligation to comply with the procedures prescribed by Subsections (a)
and (b) above.

	(e)	 	Permitted Transfers. This Section 7 shall not apply to (i) a transfer by beneficiary
designation, will or intestate succession or (ii) a transfer to the Optionee’s spouse,
children or to a trust established by the Optionee for the benefit of the Optionee or the
Optionee’s spouse, children or grandchildren, provided in either case that the Transferee
agrees in writing on a form prescribed by the Company to be bound by all provisions of this
Agreement. If the Optionee transfers any Shares acquired under this Agreement, either under
this Subsection (e) or after the Company has failed to exercise the Right of
First Refusal, then this Section 7 shall apply to the Transferee to the same extent as to
the Optionee.

 

 

	(f)	 	Termination of Rights as Stockholder. If the Company makes available, at the time and place
and in the amount and form provided in this Agreement, the consideration for the Shares to be
purchased in accordance with this Section 7, then after such time the person from whom such
Shares are to be purchased shall no longer have any rights as a holder of such Shares (other
than the right to receive payment of such consideration in accordance with this Agreement).

SECTION 8. Legality Of Initial Issuance.

No Shares shall be issued upon the exercise of this option unless and until the Company has
determined that:

	 	(a)	 	It and the Optionee have taken any actions required to register the Shares
under the Securities Act or to perfect an exemption from the registration requirements
thereof;
	 
	 	(b)	 	Any applicable listing requirement of any stock exchange or other securities
market on which Stock is listed has been satisfied; and
	 
	 	(c)	 	Any other applicable provision of state or federal law has been satisfied.

SECTION 9. No Registration Rights.

The Company may, but shall not be obligated to, register or qualify the sale of Shares under the
Securities Act or any other applicable law. The Company shall not be obligated to take any
affirmative action in order to cause the sale of Shares under this Agreement to comply with any
law.

SECTION 10. Restrictions On Transfer.

	(a)	 	Securities Law Restrictions. Regardless of whether the offering and sale of Shares under the
Plan have been registered under the Securities Act or have been registered or qualified under
the securities laws of any state, the Company at its discretion may impose restrictions upon
the sale, pledge or other transfer of such Shares (including the  noting of appropriate legends by the stock transfer
agent regarding such Shares or the imposition of stop-transfer instructions) if, in the
judgment of the Company, such restrictions are necessary or desirable in order to achieve
compliance with the Securities Act, the securities laws of any state or any other law.

 

 

	(b)	 	Market Stand-Off. In connection with any underwritten public offering by the Company of its
equity securities pursuant to an effective registration statement filed under the Securities
Act, including the Company’s initial public offering, the Optionee shall not directly or
indirectly sell, make any short sale of, loan, hypothecate, pledge, offer, grant or sell any
option or other contract for the purchase of, purchase any option or other contract for the
sale of, or otherwise dispose of or transfer, or agree to engage in any of the foregoing
transactions with respect to, any Shares acquired under this Agreement without the prior
written consent of the Company or its underwriters. Such restriction (the “Market Stand-Off”)
shall be in effect for such period of time following the date of the final prospectus for the
offering as may be requested by the Company or such underwriters. In no event, however, shall
such period exceed 180 days. The Market Stand-Off shall in any event terminate two years after
the date of the Company’s initial public offering. In the event of the declaration of a stock
dividend, a spin-off, a stock split, an adjustment in conversion ratio, a recapitalization or
a similar transaction affecting the Company’s outstanding securities without receipt of
consideration, any new, substituted or additional securities which are by reason of such
transaction distributed with respect to any Shares subject to the Market Stand-Off, or into
which such Shares thereby become convertible, shall immediately be subject to the Market
Stand-Off. In order to enforce the Market Stand-Off, the Company may impose stop-transfer
instructions with respect to the Shares acquired under this Agreement until the end of the
applicable stand-off period. The Company’s underwriters shall be beneficiaries of the
agreement set forth in this Subsection (b). This Subsection (b) shall not apply to Shares
registered in the public offering under the Securities Act, and the Optionee shall be subject
to this Subsection (b) only if the directors and officers of the Company are subject to
similar arrangements.

	(c)	 	Investment Intent at Grant. The Optionee represents and agrees that the Shares to be acquired
upon exercising this option will be acquired for investment, and not with a view to the sale
or distribution thereof.
	 
	(d)	 	Investment Intent at Exercise. In the event that the sale of Shares under the Plan is not
registered under the Securities Act but an exemption is available which requires an investment
representation or other representation, the Optionee shall represent and agree at the time of
exercise that the Shares being acquired upon exercising this option are being acquired for
investment, and not with a view to the sale or distribution thereof, and shall make such other
representations as are deemed necessary or appropriate by the Company and its counsel.
	 
	(e)	 	Legends. The Optionee understands that the book entry evidencing the Shares purchased under this Agreement shall be noted
by the stock transfer agent with a legend substantially in the following form:
	 
	 	 	“THE SHARES REPRESENTED HEREBY MAY NOT BE SOLD, ASSIGNED, TRANSFERRED, ENCUMBERED OR IN ANY
MANNER DISPOSED OF, EXCEPT IN COMPLIANCE WITH THE TERMS OF A WRITTEN AGREEMENT BETWEEN THE
COMPANY AND THE REGISTERED HOLDER OF THE SHARES (OR THE PREDECESSOR IN INTEREST TO THE
SHARES). SUCH AGREEMENT GRANTS

 

 

	 	 	TO THE COMPANY CERTAIN RIGHTS OF FIRST REFUSAL UPON AN ATTEMPTED TRANSFER OF THE SHARES. THE
SECRETARY OF THE COMPANY WILL UPON WRITTEN REQUEST FURNISH A COPY OF SUCH AGREEMENT TO THE
HOLDER HEREOF WITHOUT CHARGE.”

	 	 	The Optionee understands that the book entry evidencing the Shares purchased under this Agreement in an unregistered
transaction shall be noted by the stock transfer agent with a legend substantially in the following form (and such other
restrictive legends as are required or deemed advisable under the provisions of any applicable law):
	 
	 	 	“THE SHARES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED, AND MAY NOT BE SOLD, PLEDGED, OR OTHERWISE TRANSFERRED WITHOUT AN EFFECTIVE
REGISTRATION THEREOF UNDER SUCH ACT OR AN OPINION OF COUNSEL, SATISFACTORY TO THE COMPANY
AND ITS COUNSEL, THAT SUCH REGISTRATION IS NOT REQUIRED.”

	(f)	 	Removal of Legends. If, in the opinion of the Company and its counsel, any legend noted by the stock transfer agent
representing Shares sold under this Agreement is no longer required, such legend noted by the stock transfer agent representing such
Shares shall be removed.
	 
	(g)	 	Administration. Any determination by the Company and its counsel in connection with any of
the matters set forth in this Section 10 shall be conclusive and binding on the Optionee and
all other persons.

SECTION 11. Adjustment Of Shares.

In the event of any transaction described in Section 8(a) of the Plan, the terms of this
option (including, without limitation, the number and kind of Shares subject to this option and the
Exercise Price) shall be adjusted as set forth in Section 8(a) of the Plan. In the event that the
Company is a party to a merger or consolidation, this option shall be subject to the agreement of
merger or consolidation, as provided in Section 8(b) of the Plan.

SECTION 12. Miscellaneous Provisions.

	(a)	 	Rights as a Stockholder. Neither the Optionee nor the Optionee’s representative shall have
any rights as a Stockholder with respect to any Shares subject to this option until the
Optionee or the Optionee’s representative becomes entitled to receive such Shares by filing a
notice of exercise and paying the Purchase Price pursuant to Sections 4 and 5.
	 
	(b)	 	No Retention Rights. Nothing in this option or in the Plan shall confer upon the Optionee any
right to continue in Service for any period of specific duration or interfere with or
otherwise restrict in any way the rights of the Company (or any Parent or Subsidiary employing
or retaining the Optionee) or of the Optionee, which rights are hereby expressly reserved by
each, to terminate his or her Service at any time and for any reason, with or without Cause.

 

 

	(c)	 	Proprietary Information. Optionee agrees that all financial and other information relating
to the Company furnished to Optionee pursuant to the Plan constitutes “Proprietary
Information” of the Company. Optionee further agrees to hold in confidence and not disclose
or, except within the scope of Optionee’s Service, use any Proprietary Information. Optionee
shall not be obligated under this paragraph with respect to information Optionee can document
is or becomes readily publicly available without restriction through no fault of Optionee.
Upon termination of Optionee’s employment, Optionee shall promptly return to Company all items
containing or embodying Proprietary Information (including all copies), except that Optionee
may keep personal copies of materials distributed to stockholders generally.
	 
	(d)	 	Notice. Any notice required or permitted to be delivered under this Agreement shall be in
writing and shall be deemed received (i) the business day following electronic verification of
receipt by the receiving machine, if sent by facsimile, provided an additional copy is sent by
First Class mail as provided herein, (ii) upon personal delivery to the party to whom the
notice is directed, if sent by a reputable messenger service, (iii) the business day following
deposit with a reputable overnight courier, or (iv) five days after deposit in the U.S. mail,
First Class with postage prepaid. Notice shall be addressed to the Company at its principal
executive office and to the Optionee at the address that he or she most recently provided to
the Company.
	 
	(e)	 	Entire Agreement. The Notice of Stock Option Grant, this Agreement and the Plan constitute
the entire contract between the parties hereto with regard to the subject matter hereof. They
supersede any other agreements, representations or understandings (whether oral or written and
whether express or implied) which relate to the subject matter hereof.
	 
	(f)	 	Choice of Law. This Agreement shall be governed by, and construed in accordance with, the
laws of the State of California, as such laws are applied to contracts entered into and
performed in such State.

SECTION 13. Definitions.

	(a)	 	“Agreement” shall mean this Stock Option Agreement.
	 
	(b)	 	“Board of Directors” shall mean the Board of Directors of the Company, as constituted from
time to time or, if a Committee has been appointed, such Committee.
	 
	(c)	 	“Cause” shall mean (i) the unauthorized use or disclosure of the confidential information or
trade secrets of the Company, which use or disclosure causes material harm to the Company,
(ii) conviction of, or a plea of “guilty” or “no contest” to, a felony under the laws of the
United States or any state thereof, (iii) gross negligence or (iv) continued failure to
perform assigned duties after receiving written notification from the Board of Directors. The
foregoing, however, shall not be deemed an exclusive list of all acts or omissions that the
Company (or a Parent or Subsidiary) may consider as grounds for the discharge of an Optionee.

 

 

	(d)	 	“Change in Control” shall mean the sale, conveyance, disposal, or encumbrance of all or
substantially all of the Company’s property or business or the Company’s merger into or
consolidation with any other corporation where the stockholders of the Company immediately
prior to such merger or consolidation own less than fifty percent (50%) of such corporation,
directly or indirectly, after such merger or consolidation or if the Company effects any other
transaction or series of related transactions in which more than fifty percent (50%) of the
voting power of the Company is transferred. A transaction shall not constitute a Change in
Control if its sole purpose is to change the state of the Company’s incorporation or to create
a holding company that will be owned in substantially the same proportions by the persons who
held the Company’s securities immediately before such transaction.
	 
	(e)	 	“Code” shall mean the Internal Revenue Code of 1986, as amended.
	 
	(f)	 	“Committee” shall mean a committee of the Board of Directors, as described in Section 2 of
the Plan.
	 
	(g)	 	“Company” shall mean Green Dot Corporation, a Delaware corporation.
	 
	(h)	 	“Consultant” shall mean a person who performs bona fide services for the Company, a Parent or
a Subsidiary as a consultant or advisor, excluding Employees and Outside Directors.
	 
	(i)	 	“Date of Grant” shall mean the date specified in the Notice of Stock Option Grant, which date
shall be the later of (i) the date on which the Board of Directors resolved to grant this
option or (ii) the first day of the Optionee’s Service.
	 
	(j)	 	“Disability” shall mean that the Optionee is unable to engage in any substantial gainful
activity by reason of any medically determinable physical or mental impairment.
	 
	(k)	 	“Employee” shall mean any individual who is a common-law employee of the Company, a Parent or
a Subsidiary.
	 
	(l)	 	“Exercise Price” shall mean the amount for which one Share may be purchased upon exercise of
this option, as specified in the Notice of Stock Option Grant.
	 
	(m)	 	“Fair Market Value” shall mean the fair market value of a Share, as determined by the Board
of Directors in good faith. Such determination shall be conclusive and binding on all persons.
Notwithstanding the foregoing, Fair Market Value shall at all times be determined in
accordance with the requirements of Section 409A of the Code and the regulations and guidance
issued thereunder.
	 
	(n)	 	“Involuntary Termination” shall mean the termination of the Optionee’s or Purchaser’s Service
by reason of:

	 	(i)	 	The involuntary discharge of the Optionee or Purchaser by the Company (or the
Parent or Subsidiary employing him or her) for reasons other than Cause; or

 

 

	 	(ii)	 	The voluntary resignation of the Optionee or Purchaser following (A) a change
in his or her position with the Company (or the Parent or Subsidiary employing him or
her) that materially reduces his or her level of authority or responsibility or (B) a
reduction in his or her compensation (including base salary, fringe benefits and
participation in bonus or incentive programs based on corporate performance) by more
than 10%.

	(o)	 	“ISO” shall mean an employee incentive stock option described in Section 422(b) of the Code.
	 
	(p)	 	“Nonstatutory Option” shall mean a stock option not described in Sections 422(b) or 423(b) of
the Code.
	 
	(q)	 	“Notice of Stock Option Grant” shall mean the document so entitled to which this Agreement is
attached.
	 
	(r)	 	“Optionee” shall mean the individual named in the Notice of Stock Option Grant.
	 
	(s)	 	“Outside Director” shall mean a member of the Board of Directors who is not an Employee.
	 
	(t)	 	“Parent” shall mean any corporation (other than the Company) in an unbroken chain of
corporations ending with the Company, if each of the corporations other than the Company owns
stock possessing 50% or more of the total combined voting power of all classes of stock in one
of the other corporations in such chain.
	 
	(u)	 	“Plan” shall mean the Green Dot Corporation Second Amended and Restated 2001 Stock Plan, as in
effect on the Date of Grant.
	 
	(v)	 	“Purchase Price” shall mean the Exercise Price multiplied by the number of Shares with
respect to which this option is being exercised.
	 
	(w)	 	“Right of First Refusal” shall mean the Company’s right of first refusal described in Section
7.
	 
	(x)	 	“Securities Act” shall mean the Securities Act of 1933, as amended.
	 
	(y)	 	“Service” shall mean service as an Employee, Outside Director or Consultant.
	 
	(z)	 	“Share” shall mean one share of Stock, as adjusted in accordance with Section 8 of the Plan
(if applicable).
	 
	(aa)	 	“Stock” shall mean the Class B Common Stock of the Company.

 

 

	(bb)	 	“Subsidiary” shall mean any corporation (other than the Company) in an unbroken chain of
corporations beginning with the Company, if each of the corporations other than the last
corporation in the unbroken chain owns stock possessing 50% or more of the total combined
voting power of all classes of stock in one of the other corporations in such chain.
	 
	(cc)	 	“Transferee” shall mean any person to whom the Optionee has directly or indirectly
transferred any Share acquired under this Agreement.
	 
	(dd)	 	“Transfer Notice” shall mean the notice of a proposed transfer of Shares described in Section
7.

 

 

GREEN DOT CORPORATION — FORM OF STOCK OPTION EXERCISE 

LETTER

[Date]

John Ricci

General Counsel

Green Dot Corporation

605 E. Huntington Drive, Suite 205

Monrovia, California 91016

     Re: Exercise of Option

Dear John,

     As you know, on ___ I was granted an option to purchase ___ shares of the common stock
of Green Dot Corporation (formerly Next Estate Communications, Inc.) with an exercise price per
share of $___. As of today’s date, ___ of these shares have vested, and I hereby elect to
exercise my option with respect to these vested shares. Enclosed please find a check in the amount
of $___ as payment of the aggregate exercise price for the vested shares. Please feel free to
contact me if you require any further information.

By signing this I understand that there could be tax consequences related to exercising my options
and have been advised by Green Dot Corporation to consult with a tax expert or accountant.

Very truly yours,

[Name]

Enclosureexv10w14

Exhibit 10.14

Description of FY2010 Management Cash Incentive Compensation Plan

     Green Dot Corporation (the “Company”) utilizes cash bonuses, paid to pursuant to a cash
incentive compensation plan (the “Management Cash Incentive Compensation Plan”), to incentivize
participants to achieve Company and/or individual performance goals on a semi-annual basis, and to
reward extraordinary accomplishments. Bonus targets for variable cash incentive awards are
established annually, following the end of the fiscal year, and the Company pays bonuses following
the applicable performance period (i.e., the first and second halves of each fiscal year).

     Each participant’s on-target bonus amount is a pre-determined amount that is intended to
provide a competitive level of compensation if the participant achieves his or her performance
targets. The actual amount of any variable cash incentive award paid to a participant could be less
than 100% of the applicable on-target bonus amount, depending on the percentage of achievement of
corporate performance and individual objectives. The Management Cash Incentive Compensation Plan
provides that the amount of the actual bonus payment cannot exceed the on-target bonus amount.

     Performance targets consist of one or more Company performance objectives and/or
individual objectives. The Company’s board of directors approves a financial plan for the Company
for each fiscal year and that action resets the Management Cash Incentive Compensation Plan for
that year, thereby establishing the corporate performance objective(s) under the Management Cash
Incentive Compensation Plan. The Company may also set individual objectives under the Management
Cash Incentive Compensation Plan to promote achievement of non-financial operational goals.
According to the Management Cash Incentive Compensation Plan, these individual objectives should
be: directly or indirectly linked to the achievement of Company performance objectives;
aspirational (i.e., their achievement should represent a bonus-worthy accomplishment); and linked
to the participant’s job description and direct responsibilities.

     The Company calculates all variable cash incentive awards under the Management Cash
Incentive Compensation Plan by multiplying the participant’s on-target bonus amount by the
percentage of achievement of corporate objectives and, if applicable, by the percentage of
achievement of individual objectives (“IOP”). In order to provide for an appropriate incentive
effect, the goals should be such that to achieve 100% of the objective, the performance for the
applicable period must be aligned with the Company financial plan, and the participant should not
be rewarded for Company performance that did not approximate the Company financial plan.
Accordingly, participants are paid nothing if the minimum achievement threshold level of a
particular goal is not met (i.e., is less than 90% of the target). Any particular individual
objective that is achieved at less than 90% of the target for that objective will also be counted
as zero, causing the amount that has been allocated to the IOP for that objective to be zero and
thereby reducing the IOP.

 

 

     For fiscal 2010, the bonus payments are based upon attainment of the semi-annual goals
contained in the Company’s financial plan for profit before tax (“PBT”), which is calculated by
adding the amount of stock-based compensation to the amount of income before income taxes reflected
in the Company’s consolidated statements of operations. For the first six months of the year ending
July 31, 2010, the PBT target under the Management Cash
Incentive Compensation Plan was $33.6 million (39% year-over-year growth). As a result of the change in the Company’s fiscal year-end to
December 31, the end of this performance period was shortened by one month to coincide with the
Company’s new fiscal year-end and the plan was replaced in January 2010 with a new 2010 Management
Cash Incentive Compensation Plan that contains two six-month performance periods. Consequently, the
PBT target for the first and only performance period under the FY2010 Management Cash Incentive
Compensation Plan was changed to $27.3 million (47% year-over-year growth), reflecting the
financial plan for the Company for the five months ended December 31, 2009.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00174-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00174-of-00352.parquet"}]]