Document:

Exhibit 4.3

 

 

LATTICE
SEMICONDUCTOR CORPORATION

 

EMPLOYEE
STOCK PURCHASE PLAN

 

(As Amended
and Restated Effective May 7, 2002)

 

 

ARTICLE I

 

PURPOSE

 

The purpose of the Lattice Semiconductor Corporation Employee Stock
Purchase Plan (the “Plan”) is to provide a convenient and practical means by
which employees of Lattice Semiconductor Corporation (the “Corporation”) and
the employees of any Participating Subsidiary (as hereinafter defined) may
acquire stock of the Corporation.  The
Corporation believes that ownership of its stock by employees will mutually
benefit the employees and the Corporation by creating a greater community of
interest between the Corporation’s stockholders and its employees.  The Corporation intends that the Plan shall
constitute an “employee stock purchase plan” within the meaning of
Section 423 of the Code (as hereinafter defined).

 

ARTICLE II

 

DEFINITIONS

 

The following terms, when capitalized, shall have the meaning specified
below unless the context clearly indicates to the contrary.

 

II.1          Account shall mean each separate account
maintained for a Participant under the Plan, collectively or singly as the
context requires.  Each Account shall be
credited with a Participant’s contributions, and shall be charged for the
purchase of Shares.  A Participant shall
be fully Vested in the cash contributions to his or her Account at all
times.  The Plan Administrator may
create special types of accounts for administrative reasons, even though the
Accounts are not expressly authorized by the Plan.

 

II.2          Board of Directors shall mean the Board of
Directors of the Corporation.

 

II.3          Code shall mean the Internal Revenue Code
of 1986, as amended from time to time.

 

II.4          Committee shall mean the Committee
appointed by the Board of Directors in accordance with Section 8.1 of the
Plan, if such a Committee be appointed.

 

II.5          Compensation shall mean the total cash
compensation paid to an Employee as base salary in the period in question for
the services rendered to the Employer by the Employee while a Participant.  Compensation shall include the earnings
waived by an Employee pursuant to a salary

 

 

 

reduction
arrangement under any cash or deferred compensation plan that is maintained by
the Employer and that is intended to be qualified under Section 401(k) or
Section 125 of the Code, but shall not include earnings that are not part
of the Employee’s base salary such as overtime pay, severance pay, hiring or
relocation bonuses, or pay in lieu of vacations or sick leave.

 

II.6          Common Stock shall mean the common stock,
$.01 par value of the Corporation.

 

II.7          Corporation shall mean Lattice
Semiconductor Corporation, a Delaware Corporation.

 

II.8          Disability shall mean a total and permanent
disability as defined in Section 22(e)(3) of the Code.

 

II.9          Employee shall mean an individual who
renders services to his or her Employer pursuant to a regular-status employment
relationship with such Employer.  A
person rendering services to an Employer purportedly as an independent consultant
or contractor shall not be an Employee for purposes of the Plan.

 

II.10        Employer shall mean, collectively, the
Corporation and any Participating Subsidiary, or any successor entity that
continues the Plan, or all such entities collectively.  All Employees of entities that constitute
the Employer shall be treated as employed by a single company for all Plan
purposes.  In contexts in which actions
are required or permitted to be taken or notices to be given, the Employer
shall mean the Corporation or any successor corporation.

 

II.11        Employment shall mean the period during
which an individual is an Employee. 
Employment shall commence on the day the individual first performs
services for the Employer as an Employee and shall terminate on the day such
services cease, except as determined under Article X.

 

II.12        Enrollment Date shall mean the first day of
each Offering Period.

 

II.13        Offering shall mean the offering of Shares
pursuant to the Plan during an Offering Period.

 

II.14        Offering Period shall mean any one of the
separate 6-month periods commencing on January 1 and July 1 of each calendar
year; provided, however that the first Offering Period shall commence on the
date set by the Plan Administrator as the Enrollment Date for the first
Offering and shall continue through the earlier of the next succeeding June 30
or December 31, at which time such Offering shall terminate.

 

II.15        Participant shall mean any Employee who is
participating in any Offering under the Plan pursuant to Article III.

 

II.16        Participating Subsidiary shall mean a Subsidiary
that is designated by the Board of Directors of the Company as a participating
employer in the Plan.

 

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II.17        Payroll Deduction Authorization Form shall
mean the form provided by the Corporation on which a Participant shall elect to
participate in the Plan and designate the amount or percentage of his or her
Compensation to be contributed to his or her Account through payroll
deductions.

 

II.18        Plan shall mean this document.

 

II.19        Plan Administrator shall mean the Board of
Directors or the Committee, whichever shall be administering the Plan from time
to time in the discretion of the Board of Directors, as described in
Article VIII.

 

II.20        Purchase Date shall mean the last day of
any Offering Period.

 

II.21        Retirement shall mean a Participant’s
termination of Employment on or after attaining the age of 65 or after the Plan
Administrator has determined that a Disability has occurred with respect to the
Participant.

 

II.22        Share shall mean one share of Common Stock.

 

II.23        Subsidiary shall mean any corporation at
least fifty percent (50%) or more of the total combined voting power of all
classes of stock of which is owned or controlled directly or indirectly by the
Corporation or one or more of such Subsidiaries or both.

 

II.24        Valuation Date shall mean the date upon
which the fair market value of Shares is to be determined for purposes of
setting the price of Shares under Section 5.2 (that is, the Enrollment
Date or the applicable Purchase Date). 
If the Enrollment Date is not a date on which the fair market value may
be determined in accordance with Section 5.3, the Valuation Date shall be
the first day after the Enrollment Date for which such fair market value may be
determined.  If the Purchase Date is not
a date on which the fair market value may be determined in accordance with
Section 5.3, the Valuation Date shall be the first date prior to the
Purchase Date on which such fair market value may be determined.

 

II.25        Vested shall mean non-forfeitable.

 

 

ARTICLE III

 

EMPLOYEE
PARTICIPATION

 

III.1         Participation.  An Employee who meets the requirements of Section 3.2 below
may elect to participate in the Plan, effective as of any future Enrollment
Date, by completing and filing a Payroll Deduction Authorization Form as
provided in Section 4.1.  As of
each Enrollment Date until the supply of Shares reserved under the Plan is
exhausted, the Corporation hereby grants a right to

 

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purchase
Shares under the terms of the Plan to each eligible Employee who has elected to
participate in the Offering commencing on that Enrollment Date, in the amount,
and on the terms provided in Article V.

 

III.2         Requirements for Participation

 

(a)           An Employee shall
become eligible to participate in the Plan on the first Enrollment Date on
which he or she first meets all of the following requirements:

 

(i)            The Employee is
employed by the Employer on the Enrollment Date for that offering and has been
continuously employed by the Employer for a period of six months prior to the
Enrollment Date;

 

(ii)           The Employee’s
customary period of Employment is for more than twenty (20) hours per week; and

 

(iii)          The Employee’s
customary period of Employment is for more than five (5) months in any calendar
year.

 

(b)           Absent withdrawal
from the Plan pursuant to Section 6.3, a Participant who has elected to
participate in the Plan by completing and filing a Payroll Deduction
Authorization Form with respect to an Offering Period will automatically be
re-enrolled in the Plan on the next Enrollment Date immediately following the
expiration of the Offering of which he or she is then a Participant, and the
terms of the Payroll Deduction Authorization Form then on file with the
Corporation shall remain applicable for the subsequent Offering Period until
modified in accordance with Section 4.5.

 

(c)           A Participant shall
become ineligible to participate in the Plan and shall cease to be a
Participant when any of the following occurs:

 

(i)            the entity of which
the Participant is an Employee ceases to be an Employer as defined in
Section 2.10; or

 

(ii)           the Participant
ceases to meet the eligibility requirements of Section 3.2(a).

 

The payroll deductions credited to the Account of any Participant who
becomes ineligible during an Offering Period shall be returned to the
Participant, and the ineligible Participant shall have no right to purchase
Shares at the next Purchase Date.

 

III.3         Limitations on Participation

 

(a)           No Employee may
obtain a right to purchase Shares under the Plan if, immediately after such
right is granted, the Employee owns or is deemed to own Shares possessing

 

-4-

 

five
percent (5%) or more of the combined voting power or value of all classes of
stock of the Corporation or any parent or Subsidiary of the Corporation.  For purposes of determining share ownership,
the rules of Section 424(d) of the Code shall apply and Shares that the
Employee may purchase under any options or rights to purchase, whether or not
Vested, shall be treated as Shares owned by the Employee.

 

(b)           No Employee may
obtain a right to purchase Shares under the Plan that permits the Employee’s
rights to purchase Shares under the Plan and any other employee stock purchase
plan of the Corporation or any parent or Subsidiary of the Corporation to which
Section 423 of the Code applies to accrue at a rate that exceeds $25,000
in fair market value of Shares (determined as of the Enrollment Date) for each
calendar year in which such rights to purchase Shares are outstanding.  For this purpose, the right to purchase
Shares accrues on the Purchase Date of an Offering Period.  This section shall be interpreted to permit
an Employee to purchase the maximum number of Shares permitted under
Section 423(b)(8) of the Code and regulations and interpretations adopted
thereunder.

 

III.4         Voluntary Participation.  Participation in the Plan shall be
voluntary.

 

 

ARTICLE IV

 

PAYROLL
DEDUCTIONS

 

IV.1         Payroll Deduction Authorization.  An Employee may contribute to the Plan only
by means of payroll deduction.  A
Payroll Deduction Authorization Form must be filed with the enrolling
individual’s payroll office not less than 15 days prior to the Enrollment Date
as of which the payroll deductions are to take effect.

 

IV.2         Amount of Deductions.  A Participant may specify that he or she
desires to make contributions to the Plan at a rate not less than $10.00 and
not more than ten percent (10%) of the Participant’s Compensation during each
pay period in the Offering Period, or such other minimum or maximum percentages
as the Plan Administrator shall establish from time to time.  Such specification shall apply during any
period of continuous participation in the Plan, unless modified or terminated
as provided in Section 4.5 or as otherwise provided in the Plan.  If a payroll deduction cannot be made in
whole or in part because the Participant’s pay for the period in question is
insufficient to fund the deduction after having first withheld all the amounts
otherwise deductible from his or her pay, the amount that was not withheld
cannot be made up by the Participant nor will it be withheld from subsequent
paychecks.  If payroll deductions are
made by a Participating Subsidiary, that corporation will promptly remit the
amount of the deduction to the Corporation.

 

IV.3         Commencement of Deductions.  Payroll deductions for a Participant shall
commence with the first paycheck following the Enrollment Date of the Offering
for which his or her Payroll Deduction Authorization Form is effective and
shall continue indefinitely, unless modified or terminated as provided in
Section 4.5 or as otherwise provided in the Plan.

 

-5-

 

IV.4         Accounts. 
All payroll deductions made for a Participant shall be credited to his
or her Account under the Plan. 
Following each Purchase Date, the Plan Administrator shall promptly
deliver a report to each Participant setting forth the aggregate payroll
deductions credited to such Participant’s Account during the preceding six
months and the number of Shares purchased.

 

IV.5         Modification of Authorized Deductions.

 

(a)           Participant may,
prior to the commencement of each Offering Period in which he or she will be a
Participant, increase or reduce the amount of his or her payroll deduction,
effective for all subsequent payroll periods, by completing an amended Payroll
Deduction Authorization Form and filing it with his or her payroll office in
accordance with Section 4.1; provided, however that no modification in a
Participant’s payroll deduction shall cause such Participant’s contribution to
be less than $10.00 or more than ten percent (10%) of such Participant’s
compensation during any pay period.

 

(b)           A Participant may at
any time discontinue his or her payroll deductions by completing an amended
Payroll Deduction Authorization Form and filing it with his or her payroll
office, after which the Participant’s participation in the Offering will
terminate without automatic re-enrollment under Section 3.2(b), and the
payroll deductions credited to such Participant’s account shall be returned to
the Participant.

 

(c)           For purposes of this
Section 4.5, an amended Payroll Deduction Authorization Form shall be
effective for a specific pay period when filed at least 15 days prior to the
last day of such period.

 

 

ARTICLE V

 

PURCHASES
OF SHARES

 

V.1          Purchase of Shares.  Subject to the limitations of
Article VI, on each Purchase Date in an Offering Period the Corporation
shall apply the amount credited to each Participant’s Account to the purchase
of as many full Shares that may be purchased with such amount at the price set
forth in Section 5.2, and shall issue such Shares to the Participant.  Payment for shares purchased under the Plan
will be made only through payroll withholding in accordance with
Article IV.

 

V.2          Price. 
The price of Shares to be purchased under Section 5.1 on any
Purchase Date shall be the lower of:

 

(a)           Eighty-five percent
(85%) of the fair market value of the shares on the Enrollment Date of the
Offering; or

 

-6-

 

(b)           Eighty-five percent
(85%) of the fair market value of the Shares on the Purchase Date of the
Offering, provided that in no event shall the price be less than the book value
per share of the Shares on the Purchase Date. 
For this purpose, the book value per share shall equal the aggregate
book value of the Corporation on a consolidated basis (total assets minus total
liabilities) at the end of the Company’s fiscal quarter that is at the midpoint
of the Offering Period, divided by the total number of shares of Common Stock
(or common stock equivalents) outstanding at the end of the Company’s fiscal
quarter ended immediately prior to the Purchase Date.

 

V.3          Fair Market Value.

 

(a)           The fair market
value of the Shares on any date shall be equal to the closing price of such
shares on the Valuation Date, as reported on the NASDAQ National Market System
or such other quotation system that supersedes it.

 

(b)           If prices for the
Shares are not publicly quoted, the fair market value of the Shares shall be
determined by the Plan Administrator in good faith.  Such determination shall be conclusive and binding on all
persons.

 

V.4          Unused Contributions.  Any amount credited to a Participant’s
Account and remaining therein immediately after a Purchase Date because it was
less than the amount required to purchase a full Share shall be carried forward
in such Participant’s Account for application on the next succeeding Purchase
Date.  No interest will be paid on the
amounts accumulated.

 

V.5          Delivery and Custody of Shares.  Shares purchased by Employees pursuant to
the Plan shall be delivered to the Employee or to an investment or financial
firm appointed by the Plan Administrator to act as custodian on behalf of the
Employee.

 

 

ARTICLE VI

 

TERMINATION
AND WITHDRAWAL

 

VI.1         Termination of Employment.  Upon termination of a Participant’s
Employment for any reason other than as set forth in Section 6.2, the
payroll deductions credited to such Participant’s Account shall be returned to
the Participant.  A Participant shall
have no right to acquire Shares on any Purchase Date subsequent to termination
of his or her Employment.

 

VI.2         Termination upon Death, Retirement or Disability.  Upon termination of the Participant’s Employment
because of his or her Death, Retirement or Disability, the payroll deductions
credited to his or her Account shall be used to purchase Shares as provided in
Article V on the next Purchase Date; provided that the next Purchase Date
occurs within three (3) months of the date of termination.  Any remaining balance in the participant’s
Account shall be returned to him or her or, in the case of death, any Shares
purchased and any remaining balance shall be transferred to the deceased
Participant’s estate.

 

-7-

 

VI.3         Withdrawal.  A Participant may withdraw the entire amount credited to his or
her Account under the Plan and thereby terminate participation in the current
Offering at any time by giving written notice to the Corporation, but in no
case may a Participant withdraw amounts within the 15 days immediately
preceding a Purchase Date for that Offering. 
Any amount withdrawn shall be paid to the Participant promptly after
receipt of proper notice of withdrawal. 
If a participant withdraws from an Offering Period, payroll deductions
shall not resume at the beginning of the next Offering Period, unless the
participant delivers to the Company a new Payroll Deduction Authorization Form.

 

 

ARTICLE VII

 

SHARES
PURCHASED UNDER THE PLAN

 

VII.1        Source and Limitation of Shares.

 

(a)           The Corporation has
reserved for sale under the Plan 3,700,000 shares of its Common Stock, subject
to adjustment upon changes in capitalization of the Corporation as provided in
Section 9.2.  Shares sold under the
Plan may be newly issued shares or shares reacquired in private transactions or
open market purchases, but all shares sold under the Plan regardless of source
shall be counted against the 3,700,000 Share limitation.

 

(b)           If there is an
insufficient number of Shares to permit the full exercise of all existing
rights to purchase Shares, or if the legal obligations of the Corporation
prohibit the issuance of all Shares purchasable upon the full exercise of such
rights, the Plan Administrator shall make a pro rata allocation of the Shares
remaining available in as nearly a uniform and equitable manner as possible,
based pro rata on the aggregate amounts then credited to each Participant’s
Account.  In such event, payroll
deductions to be made shall be reduced accordingly and the Plan Administrator
shall give written notice of such reduction to each Participant affected
thereby.  Any amount remaining in a
Participant’s Account immediately after all available Shares have been
purchased will be promptly remitted to such Participant.  Determination by the Plan Administrator in
this regard shall be final, binding and conclusive on all persons.  No payroll deductions shall be permitted
under the Plan at any time when no Shares are available.

 

VII.2        Delivery of Shares.  The rights to purchase Shares granted
pursuant to this Plan will in all respects be subject to the terms and
conditions of the Plan, as interpreted by the Plan Administrator from time to
time.  The Participant shall have no interest
in Shares purchasable under the Plan until payment for the Shares has been
completed at the close of business on the relevant Purchase Date.  The Plan provides only an unfunded,
unsecured promise by the Employer to pay money or property in the future.  Except with respect to the Shares purchased
on a Purchase Date, an Employee choosing to participate in the Plan shall have
no greater rights than an unsecured creditor of the Corporation.  After the purchase of the Shares, the
Participant shall be entitled to all rights of a stockholder of the
Corporation.

 

-8-

 

ARTICLE VIII

 

ADMINISTRATION

 

VIII.1      Plan Administrator.  At the discretion of the Board of Directors,
the Plan shall be administered by the Board of Directors or by a Committee
appointed by the Board of Directors in accordance with all applicable laws,
rules and regulations.  Each member of
the Committee shall be a director, an officer or an Employee of the Corporation.  Each member shall serve for a term
commencing on a date specified by the Board of Directors and continuing until
he or she dies, resigns or is removed from office by the Board of
Directors.  No members shall receive any
compensation for serving as a member of the Committee.

 

VIII.2      Powers. 
The Plan Administrator shall be vested with full authority to make,
administer and interpret all rules and regulations as it deems necessary to
administer the Plan.  Any determination,
decision or act of the Plan Administrator with respect to any action in
connection with the construction, interpretation, administration or application
of the Plan shall be final, conclusive and binding upon all Participants and
any and all other persons claiming under or through any Participant.  The provisions of the Plan shall be
construed in a manner consistent with the requirements of Section 423 of
the Code.

 

 

ARTICLE IX

 

CHANGES IN CAPITALIZATION, MERGER, ETC.

 

IX.1         Rights of the Corporation.
 The grant of a right to
purchase Shares pursuant to this Plan shall not affect in any way the right or
power of the Corporation to make adjustments, reclassification, reorganizations
or other changes of its capital or business structure or to merge or to
consolidate or to dissolve, liquidate or transfer all or any part of its
divisions, subsidiaries, business or assets.

 

IX.2         Recapitalization.  Subject to any required action by the stockholders, the number of
Shares covered by the Plan as provided in Section 7.1 and the price per
Share shall be proportionately adjusted for any increase or decrease in the
number of issued Shares of the Corporation resulting from a subdivision or
consolidation of Shares or the payment of a stock dividend (but only on the
Shares).  The determination of whether
an adjustment shall be made and the manner of any adjustment shall be made by
the Plan Administrator without any further approval from the stockholders,
which determination shall be conclusive.

 

IX.3         Consolidation or Merger.  In the event of the consolidation or merger
of the Corporation with or into any other business entity, or the sale by the
Corporation of substantially all of its assets, the successor may continue the
Plan by adopting the same by resolution of its board of directors or agreement
of its partners or proprietors.  If, within
90 days after the effective date of a 

 

-9-

 

consolidation,
merger or sale of assets, the successor corporation, partnership or
proprietorship does not adopt the Plan, the Plan shall be terminated in accordance
with Section 12.1.

 

 

ARTICLE X

 

TERMINATION
OF EMPLOYMENT

 

For purposes of the Plan, the employment relationship shall be treated
as continuing intact while the individual is on sick-leave or other leave of
absence approved by the Corporation. 
Where the period of leave exceeds ninety (90) days and the individual’s
right to reemployment is not guaranteed either by statute or by contract, the
employment relationship shall be deemed to have terminated on the ninety-first
(91st) day of such leave.

 

 

ARTICLE XI

 

STOCKHOLDER
APPROVAL AND RULINGS

 

The Plan is expressly made subject (a) to the affirmative vote of the
holders of a majority of the outstanding shares of the Corporation present in
person or by proxy at a meeting of stockholders within 12 months after the date
the Plan is adopted and (b) at the Corporation’s election, to the receipt by
the Corporation from the Internal Revenue Service of a ruling in scope and
content satisfactory to counsel to the Corporation, affirming the qualification
of the Plan within the meaning of Section 423 of the Code.  If the Plan is not so approved by the
stockholders within 12 months after the date the Plan is adopted and if, at the
election of the Corporation a ruling from the Internal Revenue Service is
sought but is not received on or before one year after the Plan’s adoption by
the Board of Directors, the Plan shall not come into effect.  In that case, the Account of each
Participant shall forthwith be paid to the Participant.

 

 

ARTICLE XII

 

MISCELLANEOUS
PROVISIONS

 

XII.1       Amendment and Termination of the Plan.

 

(a)           The Board of
Directors of the Corporation may at any time amend the Plan.  Except as otherwise provided herein, no
amendment may adversely affect or change any right to purchase Shares
previously granted to any Participant. 
No amendment shall be made without prior approval of the stockholders of
the Corporation if the amendment would:

 

(i)            Permit the sale of
more Shares than are authorized under Section 7.1;

 

(ii)           Permit the sale of
Shares to employees of entities which are not Employers as defined in
Section 2.10;

 

-10-

 

(iii)          Materially increase
the benefits accruing to individuals subject to Section 16 of the
Securities Exchange Act of 1934, as amended, under the Plan; or

 

(iv)          Modify the
requirements as to eligibility for participation in the Plan.

 

(b)           The Plan is intended
to be a permanent program, but an Employer shall have the right at any time to
declare the Plan terminated completely as to the Employer.  Upon such termination, amounts credited to
the Accounts of Participants with respect to whom the Plan has been terminated
shall be returned to such Participants.

 

XII.2       Non-Transferability.  Neither payroll deductions credited to a
Participant’s Account nor any rights with regard to the purchase of Shares
under the Plan may be assigned, transferred, pledged or otherwise disposed of
in any way by the Participant except as provided in Section 6.2, and any
attempted assignment, transfer, pledge, or other disposition shall be null and
void.  The Corporation may treat any
such act as an election to withdraw funds in accordance with Section 6.3.

 

XII.3       Use of Funds.  All payroll deductions received or held by the Corporation under
the Plan may be used by the Corporation for any corporate purposes and the
Corporation shall not be obligated to segregate the payroll deductions.

 

XII.4       Expenses.  All expenses of administering the Plan shall be borne by the
Corporation and its Participating Subsidiaries.

 

XII.5       No Interest.  No Participant shall be entitled, at any time, to any payment or
credit for interest with respect to or on the payroll deductions contemplated
herein, or on any other assets held hereunder for the Participant’s Account.

 

XII.6       Registration and Qualification of Shares.  The Offering of the Shares hereunder shall be
subject to the effecting by the Corporation of any registration or
qualification of the Shares under any federal or state law or the obtaining of
the consent or approval of any governmental regulatory body which the
Corporation shall determine, in its sole discretion, is necessary or desirable
as a condition to, or in connection with, the offering or the issue or purchase
of the Shares covered thereby.  The
Corporation shall make every reasonable effort to effect such registration or
qualification or to obtain such consent or approval.

 

XII.7       Plan Not a Contract of Employment.  The Plan is strictly a voluntary undertaking
on the part of the Employer and shall not constitute a contract between the
Employer and any Employee, or consideration for an inducement or a condition of
the employment of an Employee.  Except
as otherwise required by law, nothing contained in the Plan shall give any
Employee the right to be retained in the service of the Employer or to
interfere with or restrict the right of the Employer, which is hereby expressly
reserved, to discharge or retire any Employee at any time, with or without
cause and with or without notice. 
Except as otherwise required by law, inclusion under the Plan will not
give any Employee any right or claim to any benefit hereunder except to the
extent such right has 

 

-11-

 

specifically
become fixed under the terms of the Plan. 
The doctrine of substantial performance shall have no application to any
Employee or Participant.  Each condition
and provision, including numerical items, has been carefully considered and
constitutes the minimum limit on performance that will give rise to the applicable
right.

 

XII.8       Service of Process.  The Secretary of the Corporation is hereby
designated agent for service of legal process on the Plan.

 

XII.9       Notice. 
All notices or other communications by a Participant to the Corporation
under or in connection with the Plan shall be deemed to have been duly given
when received by the Plan Administrator. 
Any notice required by the Plan to be received by the Corporation prior
to an Enrollment Date, payroll period or other specified date, and received by
the Plan Administrator subsequent to such date shall be effective on the next
occurring Enrollment Date, payroll period or other specified date to which such
notice applies.

 

XII.10     Governing Law. 
The Plan shall be interpreted, administered and enforced in accordance
with the Code, and the rights of Participants, former Participants, and all
other persons shall be determined in accordance with it.  To the extent that state law is applicable,
however the laws of the State of Oregon shall apply.

 

XII.11     Plurals.  Where the context so indicates, the singular shall include the
plural and vice versa.

 

XII.12     Titles.  Titles of Articles and Sections are provided herein for
convenience only and are not to serve as the basis for interpretation or
construction of the Plan.

 

XII.13     References.  Unless the context clearly indicates to the contrary, reference to
a Plan provision, statute, regulation or document shall be construed as
referring to any subsequently enacted, adopted or executed counterpart.

 

XII.14     Responsibility. 
Neither the Corporation, its Board of Directors, any Participating
Subsidiary, nor any officer or employee of any of them shall be liable to any
Employee under the Plan for any mistake of judgment or for any omission or
wrongful act unless resulting from willful misconduct or intentional
misfeasance.

 

 

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Exhibit 4.10    
  

MICRON TECHNOLOGY, INC.

2001 STOCK OPTION PLAN  

        1.    Purposes of the Plan.    The purposes of this Stock Option Plan are: 

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

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

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

Options
granted under the Plan may be Incentive Stock Options or Nonstatutory Stock Options, as determined by the Administrator at the time of grant. 

        2.    Definitions. As used herein, the following definitions shall apply: 

        (a)  "Administrator" means the Board or any of its Committees as shall be administering the Plan, in accordance with
Section 4 of the Plan. 

        (b)  "Applicable Laws" means the legal requirements relating to the administration of stock option plans under Delaware
corporate and securities laws and the Code. 

        (c)  "Board" means the Board of Directors of the Company. 

        (d)  "Change in Control" means the acquisition by any person or entity, directly, indirectly or beneficially, acting alone or
in concert, of more than thirty-five percent (35%) of the Common Stock of the Company outstanding at any time. 

        (e)  "Code" means the Internal Revenue Code of 1986, as amended. 

        (f)    "Committee" means a Committee appointed by the Board in accordance with Section 4 of the Plan. 

        (g)  "Common Stock" means the Common Stock of the Company. 

        (h)  "Company" means Micron Technology, Inc., a Delaware corporation. 

        (i)    "Consultant" means any person, including an advisor, engaged by the Company or a Parent or Subsidiary to render services
and who is compensated for such services. 

        (j)    "Continuous Status as an Employee or Consultant" means that the employment or consulting relationship with the Company,
any Parent, or Subsidiary, is not interrupted or terminated. Continuous Status as an Employee or Consultant shall not be considered interrupted in the case of (i) military leave, sick leave, or
any personal leave of absence approved by the Company, or (ii) transfers between locations of the Company or between the Company, its Parent, any Subsidiary, or any successor, or
(iii) in the discretion of the Administrator as specified at or prior to such occurrence, in the case of a spin-off, sale, or disposition of the Optionee's employer from the Company
or any Parent or Subsidiary. For purposes of Incentive Stock Options, no such leave may exceed 90 days, unless reemployment upon expiration of such leave is guaranteed by statute or contract.
If reemployment upon expiration of a leave of absence approved by the Company is not so guaranteed, on the 91st day of such leave any Incentive Stock Option held by the Optionee shall cease to be
treated as an Incentive Stock Option and shall be treated for tax purposes as a Nonstatutory Stock Option. 

        (k)  "Director" means a member of the Board. 

        (l)    "Disability" means total and permanent disability as defined in Section 22(e)(3) of the Code. 

        (m)  "Employee" means any person, including Officers and Directors, employed by the Company or any Parent or Subsidiary of the
Company. Neither service as a Director nor payment of a director's fee by the Company shall be sufficient to constitute "employment" by the Company. 

        (n)  "Exchange Act" means the Securities Exchange Act of 1934, as amended. 

        (o)  "Fair Market Value" means, as of any date, the value of Common Stock determined as follows: 

        (i)    If
the Common Stock is listed on any established stock exchange, including without limitation the New York Stock Exchange ("NYSE"), or a national market system, the Fair
Market Value of a Share of Common Stock shall be the average closing price for such stock (or the closing bid, if no sales were reported) as quoted on such exchange or system (or the exchange with the
greatest volume of trading in Common Stock) for the last market trading day prior to the day of determination, as reported by Bloomberg L.L.P. or such
other source as the Administrator deems reliable; 

        (ii)    If
the Common Stock is quoted on the over-the-counter market or is regularly quoted by a recognized securities dealer, but selling prices are
not reported, the Fair Market Value of a Share of Common Stock shall be the mean between the high bid and low asked prices for the Common Stock on the last market trading day prior to the day of
determination, as reported by Bloomberg L.L.P. or such other source as the Administrator deems reliable; 

        (iii)    In
the absence of an established market for the Common Stock, the Fair Market Value shall be determined in good faith by the Administrator. 

        (p)  "Incentive Stock Option" means an Option that qualifies as an incentive stock option within the meaning of
Section 422 of the Code and the regulations promulgated thereunder. 

        (q)  "Nonstatutory Stock Option" means an Option that does not qualify as an Incentive Stock Option. 

        (r)  "Notice of Grant" means a written notice evidencing certain terms and conditions of an individual Option grant. The
Notice of Grant is subject to the terms and conditions of the Option Agreement. 

        (s)  "Officer" means a person who is an officer of the Company within the meaning of Section 16 of the Exchange Act and
the rules and regulations promulgated thereunder. 

        (t)    "Option" means a stock option granted pursuant to the Plan. 

        (u)  "Option Agreement" means a written agreement between the Company and an Optionee evidencing the terms and conditions of
an individual Option grant. The Option Agreement is subject to the terms and conditions of the Plan. 

        (v)  "Optioned Stock" means the Common Stock subject to an Option. 

        (w)  "Optionee" means an Employee or Consultant who holds an outstanding option. 

        (x)  "Parent" means a "parent corporation", whether now or hereafter existing, as defined in Section 424(e) of the
Code. 

        (y)  "Plan" means this 2001 Option Plan. 

        (z)  "Rule 16b-3" means Rule 16b-3 of the Exchange Act or any successor to
Rule 16b-3, as in effect when discretion is being exercised with respect to the Plan. 

        (aa)    "Share" means a share of the Common Stock, as adjusted in accordance with Section 12 of the Plan. 

        (bb)    "Subsidiary" means a "subsidiary corporation", whether now or hereafter existing, as defined in Section 424(f) of
the Code. In the case of an Option that is not intended to qualify as an Incentive Stock Option, the term "Subsidiary" shall also include any other entity in which the Company, or any Parent or
Subsidiary of the Company has a significant ownership interest. 

        3.    Stock Subject to the Plan.    Subject to the provisions of Section 12 of the Plan, the maximum aggregate
number of Shares which may be optioned and sold under the Plan is 10,000,000 Shares. The Shares may be authorized, but unissued, or reacquired Common Stock. 

        If
an Option expires or becomes unexercisable without having been exercised in full, the unpurchased Shares which were subject thereto shall become available for future grant or sale
under the Plan (unless the Plan has terminated); provided, however, that Shares that have actually been issued under the Plan shall not be returned to
the Plan and shall not become available for future distribution under the Plan. 

        4.    Administration of the Plan.    

        (a)    Administrator.    The Plan shall be administered by a Committee appointed by the Board (which Committee shall
consist of two or more directors) or, at the discretion of the Board from time to time, the Plan may be administered by the Board. It is intended that the directors appointed to serve on the Committee
shall be "non-employee directors" (within the meaning of Rule 16b-3) and "outside directors" (within the meaning of Code Section 162(m)). However, the mere fact
that a Committee member shall fail to qualify under either of the foregoing requirements shall not invalidate any Option granted by the Committee which Option is otherwise validly made under the Plan.
The members of the Committee shall be appointed by, and may be changed at any time and from time to time in the discretion of, the Board. The Board, in its discretion, may delegate to a special
Committee all or part of the Administrator's authority and duties with respect to grants and awards to individuals who at the time of grant are not, and are not anticipated to become, either
(i) "covered employees," as defined in Code Section 162(m)(3), or (ii) persons subject to the reporting and other provisions of Section 16 of the Exchange Act. The Board
may revoke or amend the terms of a delegation at any time but such action shall not invalidate any prior actions of the delegate or delegates that were consistent with the terms of the Plan. 

        (b)    Powers of the Administrator.    Subject to the provisions of the Plan, and in the case of a Committee, subject
to the specific duties delegated by the Board to such Committee, the Administrator shall have the authority, in its discretion: 

        (i)    to
determine the Fair Market Value of the Common Stock, in accordance with Section 2(o) of the Plan; 

        (ii)    to
select the Employees, Directors, and Consultants to whom Options may be granted hereunder; 

        (iii)    to
determine whether and to what extent Options are granted 

        (iv)    to
determine the number of shares of Common Stock to be covered by each Option granted hereunder; 

        (v)    to
approve forms of agreement for use under the Plan; 

        (vi)    to
determine the terms and conditions, not inconsistent with the terms of the Plan, of any award granted hereunder. Such terms and conditions include, but are not
limited to, the exercise price, the time or times when Options may be exercised (which may be based on performance criteria), any vesting acceleration or waiver of forfeiture restrictions, and any
restriction or limitation regarding any Option or the shares of Common Stock relating thereto, based in each case on such factors as the Administrator, in its sole discretion, shall determine; 

        (vii)    to
construe and interpret the terms of the Plan and awards granted pursuant to the Plan; 

        (viii)    to
prescribe, amend, and rescind rules and regulations relating to the Plan, including rules and regulations relating to sub-plans established for the
purpose of qualifying for preferred tax treatment under foreign tax laws; 

        (ix)    to
authorize any person to execute on behalf of the Company any instrument required to effect the grant of an Option previously granted by the Administrator; and 

        (x)    to
make all other determinations deemed necessary or advisable for administering the Plan; and 

        (xi)    to
allow Optionees to satisfy withholding tax obligations by electing to have the Company withhold from the Shares to be issued upon exercise of an Option that number
of Shares having a Fair Market Value equal to the amount required to be withheld. The Fair Market Value of the Shares to be withheld shall be determined on the date that the amount of tax to be
withheld is to be determined. All elections by an Optionee to have Shares withheld for this purpose shall be made in such form and under such conditions as the Administrator may deem necessary or
advisable. 

        (c)    Effect of Administrator's Decision.    The Administrator's decisions, determinations, and interpretations shall
be final and binding on all Optionees and any other holders of Options. 

        5.    Eligibility.    Nonstatutory Stock Options may be granted to Employees, Directors, and Consultants. Incentive
Stock Options may be granted only to Employees. If otherwise eligible, an Employee or Consultant who has been granted an Option may be granted additional Options. 

        6.    Limitations.    

        (a)  Each
Option shall be designated in the Notice of Grant as either an Incentive Stock Option or a Nonstatutory Stock Option. However, notwithstanding such designations, to
the extent that the aggregate Fair Market Value of Shares subject to an Optionee's Incentive Stock Options granted by the Company or any Parent or Subsidiary, which become exercisable for the first
time during any calendar year (under all plans of the Company or any Parent or Subsidiary) exceeds $100,000, such excess Options shall be treated as Nonstatutory Stock Options. For purposes of this
Section 6(a), Incentive Stock Options shall be taken into account in the order in which they were granted, and the Fair Market Value of the Shares shall be determined as of the time of grant. 

        (b)  Neither
the Plan nor any Option shall confer upon an Optionee any right with respect to continuing the Optionee's employment or consulting relationship with the Company,
nor shall they interfere in any way with the Optionee's right or the Company's right to terminate such employment or consulting relationship at any time, with or without cause. 

        (c)  The
following limitations shall apply to grants of Options to Employees: 

        (i)    No
Employee shall be granted, in any fiscal year of the Company, Options to purchase more than 2,000,000 Shares. 

        (ii)    The
foregoing limitations shall be adjusted proportionately in connection with any change in the Company's capitalization as described in Section 12. 

        7.    Term of Plan.    Subject to Section 18 of the Plan, the Plan shall become effective upon the earlier to
occur of its adoption by the Board or its approval by the shareholders of the Company as described in Section 18 of the Plan. It shall continue in effect for a term of ten (10) years
unless terminated earlier under Section 14 of the Plan. 

        8.    Term of Option.    The term of each Option shall be stated in the Notice of Grant, but shall not exceed ten
(10) years; provided, however, that in the case of an Incentive Stock Option granted to an Optionee who, at the time Incentive Stock Option is granted, owns stock representing more than ten
percent
(10%) of the voting power of all classes of stock of the Company or any Parent or Subsidiary, the term of the Incentive Stock Option shall not be longer than five (5) years from the date of
grant. 

        9.    Option Exercise Price and Consideration.    

        (a)    Exercise Price.    The per share exercise price for the Shares to be issued pursuant to exercise of an Option
shall be determined by the Administrator, but shall not be less than the Fair Market Value per share on the date of grant of the Option. In the case of an Incentive Stock Option granted to an Employee
who, at the time the Incentive Stock Option is granted, owns stock representing more than ten percent (10%) of the voting power of all classes of stock of the Company or Parent or Subsidiary, the per
share exercise price shall be no less than 110% of the Fair Market Value per Share on the date of grant. 

        (b)    Waiting Period and Exercise Dates.    At the time an Option is granted, the Administrator shall fix the period
within which the Option may be exercised and shall determine any conditions which must be satisfied before the Option may be exercised. In doing so, the Administrator may specify that an Option may
not be exercised until the completion of a service period. 

        (c)    Form of Consideration.    The Administrator shall determine the acceptable form of consideration for exercising
an Option, including the method of payment. The Administrator shall determine the acceptable form of consideration at the time of grant. Such consideration may consist entirely of: 

        (i)    cash;

        (ii)    check;

        (iii)    promissory
note; 

        (iv)    other
Shares which have been owned by the Optionee for more than six months on the date of surrender and have a Fair Market Value on the date of surrender equal to the
aggregate exercise price of the Shares as to which said Option shall be exercised; 

        (v)    to
the extent permitted under Regulation T of the Federal Reserve Board, and subject to applicable securities laws and the Company's adoption of such program in
connection with the Plan, the delivery of a properly executed exercise notice together with such other documentation as the Administrator and the broker, if applicable, shall require to effect a
so-called "cashless exercise" whereby the broker sells the Option Shares and delivers cash sales proceeds to the Company in payment of the exercise price and any applicable taxes (in which
case the date of exercise shall be deemed to be the date on which notice of exercise is received by the Company, and the exercise price shall be delivered to the Company on the settlement date): 

        (vi)    a
reduction in the amount of any Company liability to the Optionee, including any liability attributable to the Optionee's participation in any Company sponsored
deferred compensation program or arrangement; 

        (vii)    any
combination of the foregoing methods of payment; or 

        (viii)    such
other consideration and method of payment for the issuance of Shares to the extent approved by the Administrator and permitted by Applicable Laws. 

        10.    Exercise of Option.    

        (a)    Procedure for Exercise; Rights as a Shareholder.    Any Option granted thereunder shall be exercisable
according to the terms of the Plan and at such times and under such conditions as determined by the Administrator and set forth in the Option Agreement. 

        An
Option may not be exercised for a fraction of a Share. 

        An
Option shall be deemed exercised when the Company receives: (i) notice of exercise (in accordance with the Option Agreement) from the person entitled to exercise the Option,
and (ii) full payment for the Shares with respect to which the Option is exercised. Full payment may consist of any consideration and method of payment authorized by the Administrator and
permitted by the Option Agreement and the Plan. Until the stock certificate evidencing such Shares is issued (as evidenced by the appropriate entry on the books of the Company or of a duly authorized
transfer agent of the Company), no right to vote or receive dividends or any other rights as a shareholder shall exist with respect to the Optioned Stock, notwithstanding the exercise of the Option.
The Company shall issue (or cause to be issued) such stock certificate, either in book entry form or in certificate form, promptly after the Option is exercised. No adjustment will be made for a
dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 12 of the Plan. 

        Exercising
an Option in any manner shall decrease the number of Shares thereafter available, both for purposes of the Plan and for sale under the Option, by the number of Shares as to
which the Option is exercised. 

        (b)    Termination of Employment or Consulting Relationship.    Upon termination of an Optionee's Continuous Status as
an Employee or Consultant, other than upon the Optionee's death or Disability, the Optionee may exercise his or her Option, but only within such period of time as is specified in the Notice of Grant,
and only to the extent that the Optionee was entitled to exercise it as the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Notice of
Grant). In the absence of a specified time in the Notice of Grant, the Option shall remain exercisable for thirty 30 days following the Optionee's termination of Continuous Status as an
Employee or Consultant. In the case of an Incentive Stock Option, such period of time shall not exceed thirty (30) days from the date of termination. If, at the date of termination, the
Optionee is not entitled to exercise his or her entire Option, the Shares covered by the unexercisable portion of the Option shall revert to the Plan. If, after termination, the Optionee does not
exercise his or her Option within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 

        (c)    Disability of Optionee.    In the event that an Optionee's Continuous Status as an Employee or Consultant
terminates as a result of the Optionee's Disability, the Optionee may exercise his or her Option at any time within twelve (12) months from the date of such termination, but only to the extent
that the Optionee was entitled to exercise it at the date of such termination (but in no event later than the expiration of the term of such Option as set forth in the Notice of Grant). If, at the
date of termination, the Optionee does not exercise his or her entire Option, the Shares covered by the unexercisable portion of the Option shall revert to the Plan. If, after termination, the
Optionee does not exercise his or her option within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 

        (d)    Death of Optionee.    In the event of the death of an Optionee, the Option may be exercised at any time within
twelve (12) months following the date of death (but in no event later than the expiration of the term of such Option as set forth in the Notice of Grant), by the Optionee's estate or by a
person who acquired the right to exercise the Option by bequest or inheritance, but only to the extent that the Optionee was entitled to exercise the Option at the date of death. If, at any time of
death, the Optionee was not entitled to exercise his or her entire Option, the Shares covered by the unexercisable portion of the Option shall immediately revert to the Plan. If, after death, the
Optionee's estate or a person who acquired the right to exercise the Option by bequest or inheritance does not exercise the Option within the time specified herein, the Option shall terminate, and the
Shares covered by such Option shall revert to the Plan. 

        (e)    Suspension.    Any Optionee who is also a participant in the Retirement at Micron ("RAM") Section 401(k)
Plan and who requests and receives a hardship distribution from the RAM Plan, is prohibited from making, and must suspend, his or her employee elective contributions and employee
contributions including, without limitation on the foregoing, the exercise of any Option granted from the date of receipt by that employee of the RAM hardship distribution. 

        11.    Non-Transferability of Options.    Unless determined otherwise by the Administrator, an Option may
not be sold, pledged, assigned, hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised, during the lifetime of the
Optionee, only by the Optionee. If the Administrator makes an Option transferable, such Option shall contain such additional terms and conditions as the Administrator deems appropriate. 

        12.    Adjustments Upon Changes in Capitalization, Dissolution, Corporate Transaction, or Change in Control.  

        (a)    Changes in Capitalization.    In the event of a corporate transaction involving the
Company (including, without limitation, any stock dividend, stock split, extraordinary cash 

dividend, recapitalization, reorganization, merger, consolidation, split-up, spin-off, combination or exchange of shares), the authorization limits under Sections 3 and
6(c)(i) of the Plan shall be adjusted proportionately, and the Administrator may adjust Options to preserve the benefits or potential benefits of the Options. Action by the Administrator may
include: (i) adjustment of the number and kind of shares which may be delivered under the Plan; (ii) adjustment of the number and kind of shares subject to outstanding Options;
(iii) adjustment of the exercise price of outstanding Options; and (iv) any other adjustments that the Administrator determines to be equitable. In addition, the Administrator may, in
its sole discretion, provide (i) that Options will be settled in cash rather than Stock, (ii) that Options will be assumed by another party to a transaction or otherwise be equitably
converted in connection with such transaction, or (iii) any combination of the foregoing. The Administrator's determination need not be uniform and may be different for different Optionees
whether or not such Optionees are similarly situated. Without limiting the foregoing, n the event a stock dividend or stock split is declared upon the Shares, the authorization limits under Sections 3
and 6(c)(i) shall be increased proportionately, and the shares of Stock then subject to each Option shall be increased proportionately without any change in the aggregate purchase price
therefor. 

        (b)    Dissolution or Liquidation.    To the extent not previously exercised, Options will terminate immediately prior
to the consummation of any proposed dissolution or liquidation of the Company. The Board may, in the exercise of its sole discretion in such instances, declare that any Option shall terminate as of a
date fixed by the Board and give each Optionee the right to exercise his or her Option as to all or any part of the Optioned Stock, including Shares as to which the Option would not otherwise be
exercisable. To the extent that this provision causes Incentive Stock Options to exceed the dollar limitation set forth in Section 6(a), the excess Options shall be deemed to be Nonstatutory
Stock Options. 

        (c)    Corporate Transaction.    In the event of a reorganization, merger, consolidation, statutory share exchange or
similar form of corporate transaction involving the Company that requires the approval of the Company's shareholders, whether for such transaction or the issuance of securities in the
transaction, or the sale or other disposition of all or substantially all of the assets of the Company to an entity that is not an affiliate of the Company, each outstanding Option shall be assumed or
an equivalent option or right substituted by the successor corporation or a Parent or Subsidiary of the successor corporation. In the event that the successor corporation refuses to assume or
substitute for the Option, the Optionee shall fully vest in and have the right to exercise the Option as to all of the Optioned Stock, including Shares as to which it would not otherwise be vested or
exercisable. If an Option becomes fully vested and exercisable in lieu of assumption or substitution in the event of a merger or sale of assets, the Administrator shall notify the Optionee in writing
or electronically that the Option shall be fully vested and exercisable for a period of thirty (30) days from the date of such notice, and the Option shall terminate upon the expiration of such
period or, in the discretion of the Administrator, the Option shall be settled in cash rather than stock upon the consummation of such corporate transaction. To the extent that this provision causes
Incentive Stock Options to exceed the dollar limitation set forth in Section 6(a), the excess Options shall be deemed to be Nonstatutory Stock Options. 

        (d)    Change in Control.    In the event of a Change in Control, the unexercised portion of each Option then
outstanding shall become wholly vested and immediately exercisable. To the extent that this provision causes Incentive Stock Options to exceed the dollar limitation set forth in Section 6(a),
the excess Options shall be deemed to be Nonstatutory Stock Options. 

        13.    Date of Grant.    The date of grant of an Option shall be, for all purposes, the date on which the
Administrator makes the determination granting such Option, or such other later date as is determined by the Administrator. Notice of the determination shall be provided to each Optionee within a
reasonable time after the date of such grant. 

        14.    Amendment and Termination of the Plan.    

        (a)    Amendment and Termination.    The Board may at any time amend, alter, suspend, or terminate the Plan without
shareholder approval; provided, however, that the Board may condition any amendment or modification on the approval of shareholders of the Company if such approval is necessary or deemed advisable
with respect to tax, securities or other applicable laws, policies or regulations. 

        (b)    Effect of Amendment or Termination.    No amendment, alteration, suspension, or termination of the Plan shall
impair the rights of any Optionee, unless mutually agreed otherwise between the Optionee and the Administrator, which agreement must be in writing and signed by the Optionee and the Company. 

        15.    Conditions Upon Issuance of Shares.    

        (a)    Legal Compliance.    Shares shall not be issued pursuant to the exercise of an Option unless the exercise of
such Option and the issuance and delivery of such Shares shall comply with all relevant provisions of law, including, without limitation, the Securities Act of 1933, as amended, the Exchange Act, the
rules and regulations promulgated thereunder, Applicable Laws, and the requirements of any stock exchange or quotation system upon which the Shares may then be listed or quoted, and shall be further
subject to the approval of counsel for the Company with respect to such compliance. 

        (b)    Investment Representations.    As a condition to the exercise of an Option, the Company may require the person
exercising such Option to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute such
Shares if, in the opinion of counsel for the Company, such a representation is required. 

        16.    Liability of Company.    

        (a)    Inability to Obtain Authority.    The inability of the Company to obtain authority from any regulatory body
having jurisdiction, which authority is deemed by the Company's counsel to be necessary to the lawful issuance and sale of any Shares hereunder, shall relieve the Company of any liability in respect
of the failure to issue or sell such Shares as to which such requisite authority shall not have been obtained. 

        (b)    Grants Exceeding Allotted Shares.    If the Optioned Stock covered by an Option exceeds, as of the date of
grant, the number of Shares which may be issued under the Plan without additional shareholder approval, such Option shall be void with respect to such excess Optioned Stock, unless shareholder
approval of an amendment sufficiently increasing the number of shares subject to the Plan is timely obtained in accordance with Section 14(b) of the Plan. 

        17.    Reservation of Shares.    The Company, during the term of this Plan, will at all times reserve and keep
available such number of Shares as shall be sufficient to satisfy the requirements of the Plan. 

        18.    Shareholder Approval.    Continuance of the Plan shall be subject to approval by the shareholders of the
Company within twelve (12) months before or after the date the Plan is adopted. Such shareholder approval shall be obtained in the manner and to the degree required under applicable federal and
Delaware law. 

        19.    Restriction on Repricing.    Without the prior approval of the shareholders of the Company, the Administrator
shall not reprice any Options issued under the Plan through cancellation and regrant, by lowering the exercise price, or by any other means. 

QuickLinks

Exhibit 4.10

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