Document:

ex10x2.htm

    Exhibit
10.2

    ACCREDITED
MEMBERS, INC.

    2009
STOCK OPTION PLAN

    

    1.           Purposes of and Benefits
Under the Plan.  This 2009 Stock Option Plan (the “Plan”) is
intended to encourage stock ownership by employees, consultants and directors of
Accredited Members, Inc. and its controlled, affiliated and subsidiary entities
(collectively, the “Corporation”), so that they may acquire or increase their
proprietary interest in the Corporation, and is intended to facilitate the
Corporation’s efforts to:  (i) induce qualified persons to become
employees, officers and directors (whether or not they are employees) and
consultants to the Corporation; (ii) compensate employees, officers, directors
and consultants for services to the Corporation; and (iii) encourage such
persons to remain in the employ of or associated with the Corporation and to put
forth maximum efforts for the success of the Corporation.  It is
further intended that options granted by the Committee pursuant to Section 6 of
this Plan shall constitute “incentive stock options” (“Incentive Stock Options”)
within the meaning of Section 422 of the Internal Revenue Code, and the
regulations issued thereunder, and options granted by the Committee pursuant to
Section 7 of this Plan shall constitute “non-qualified stock options”
(“Non-qualified Stock Options”). The term “Options” includes both Incentive
Stock Options and Non-qualified Stock Options.

    

    2.           Definitions.  As
used in this Plan, the following words and phrases shall have the meanings
indicated:

    

    (a)  “Board”
shall mean the Board of Directors of the Corporation.

    

    (b)  “Bonus”
means any Common Stock bonus issued pursuant to the provisions of this
Plan.

    

    (c)  “Committee”
shall mean any Committee appointed by the Board to administer this Plan, if one
has been appointed.  If no Committee has been appointed, the term
“Committee” shall mean the Board.

    

    (d)  “Common
Stock” shall mean the Corporation’s $0.0001 par value common stock.

    

    (e)  “Disability”
shall mean a Recipient’s inability to engage in any substantial gainful activity
by reason of any medically determinable physical or mental impairment that can
be expected to result in death or that has lasted or can be expected to last for
a continuous period of not less than 12 months.  If the Recipient has
a disability insurance policy, the term “Disability” shall be as defined
therein.

    

    (f)  “Fair
Market Value” per share as of a particular date shall mean the last sale price
of the Corporation’s Common Stock as reported on a national securities exchange
or by NASDAQ, or if the quotation for the last sale reported is not available
for the Corporation’s Common Stock, the average of the closing bid and asked
prices of the Corporation’s Common Stock as so reported or, if such quotations
are unavailable, the value determined by the Committee in accordance with its
discretion in making a bona fide, good faith determination of fair market
value.  Fair Market Value shall be determined without regard to any
restriction other than a restriction which, by its terms, never will
lapse.  In the case of Options and Bonuses granted at a time when the
Corporation does not have a registration statement in effect relating to the
shares issuable hereunder, the value at which the Bonus shares are issued may be
determined by the Committee at a reasonable discount from Fair Market Value to
reflect the restricted nature of the shares to be issued and the inability of
the Recipient to sell those shares promptly.

     

     

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    (g)  “Recipient”
means any person granted an Option or awarded a Bonus hereunder.

    

    (h)  “Internal
Revenue Code” shall mean the United States Internal Revenue Code of 1986, as
amended from time to time (codified as Title 26 of the United States Code) and
any successor legislation.

    

    3.           Administration.

    

    (a)  The Plan
shall be administered by the Committee.  The Committee shall have the
authority in its discretion, subject to and not inconsistent with the express
provisions of the Plan, to administer the Plan and to exercise all the powers
and authorities either specifically conferred under the Plan or necessary or
advisable in the administration of the Plan, including the
authority:  to grant Options and Bonuses; to determine the vesting
schedule and other restrictions, if any, relating to Options and Bonuses; to
determine the purchase price of the shares of Common Stock covered by each
Option (the “Option Price”); to determine the persons to whom, and the time or
times at which, Options and Bonuses shall be granted; to determine the number of
shares to be covered by each Option or Bonus; to determine Fair Market Value per
share; to interpret the Plan; to prescribe, amend and rescind rules and
regulations relating to the Plan; to determine the terms and provisions of the
Option agreements (which need not be identical) entered into in connection with
Options granted under the Plan; and to make all other determinations deemed
necessary or advisable for the administration of the Plan.  The
Committee may delegate to one or more of its members or to one or more agents
such administrative duties as it may deem advisable, and the Committee or any
person to whom it has delegated duties as aforesaid may employ one or more
persons to render advice with respect to any responsibility the Committee or
such person may have under the Plan.

    

    (b)  Options
and Bonuses granted under the Plan shall be evidenced by duly adopted
resolutions of the Committee included in the minutes of the meeting at which
they are adopted or in a unanimous written consent.

    

    (c)  The
Committee shall endeavor to administer the Plan and grant Options and Bonuses
hereunder in a manner that is compatible with the obligations of persons subject
to Section 16 of the U.S. Securities Exchange Act of 1934 (the “1934 Act”),
although compliance with Section 16 is the obligation of the Recipient, not the
Corporation.  Neither the Committee, the Board nor the Corporation can
assume any legal responsibility for a Recipient’s compliance with his
obligations under Section 16 of the 1934 Act.

     

     

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    (d)  No member
of the Committee or the Board shall be liable for any action taken or
determination made in good faith with respect to the Plan or any Option or Bonus
granted hereunder.

    

    4.           Eligibility.

    

    (a)  Subject
to certain limitations hereinafter set forth, Options and Bonuses may be granted
to employees (including officers) and consultants to and directors (whether or
not they are employees) of the Corporation or its present or future divisions,
affiliates and subsidiaries.  In determining the persons to whom
Options or Bonuses shall be granted and the number of shares to be covered by
each Option or Bonus, the Committee shall take into account the duties of the
respective persons, their present and potential contributions to the success of
the Corporation, and such other factors as the Committee shall deem relevant to
accomplish the purposes of the Plan.

    

    (b)  A
Recipient shall be eligible to receive more than one grant of an Option or Bonus
during the term of the Plan, on the terms and subject to the restrictions herein
set forth.

    

    5.           Stock
Reserved.

    

    (a)  The stock
subject to Options or Bonuses hereunder shall be shares of Common
Stock.  Such shares, in whole or in part, may be authorized but
unissued shares or shares that shall have been or that may be reacquired by the
Corporation.  The aggregate number of shares of Common Stock as to
which Options and Bonuses may be granted from time to time under the Plan shall
not exceed 1,000,000 subject to adjustment as provided in Section 8(i)
hereof.

    

    (b)  If any
Option outstanding under the Plan for any reason expires or is terminated
without having been exercised in full, or if any Bonus granted is forfeited
because of vesting or other restrictions imposed at the time of grant, the
shares of Common Stock allocable to the unexercised portion of such Option or
the forfeited portion of the Bonus shall become available for subsequent grants
of Options and Bonuses under the Plan.

    

    6.           Incentive Stock
Options.

    

    (a)  Options
granted pursuant to this Section 6 are intended to constitute Incentive Stock
Options and shall be subject to the following special terms and conditions, in
addition to the general terms and conditions specified in Section 8
hereof.  Only employees of the Corporation shall be entitled to
receive Incentive Stock Options.

    

    (b)  The
aggregate Fair Market Value (determined as of the date the Incentive Stock
Option is granted) of the shares of Common Stock with respect to which Incentive
Stock Options granted under this and any other plan of the Corporation or any
parent or subsidiary of the Corporation are exercisable for the first time by a
Recipient during any calendar year may not exceed the amount set forth in
Section 422(d) of the Internal Revenue Code.

     

     

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    (c)  Incentive
Stock Options granted under this Plan are intended to satisfy all requirements
for incentive stock options under Section 422 of the Internal Revenue Code and
the Treasury Regulations promulgated thereunder and, notwithstanding any other
provision of this Plan, the Plan and all Incentive Stock Options granted under
it shall be so construed, and all contrary provisions shall be so limited in
scope and effect and, to the extent they cannot be so limited, they shall be
void.

    

    7.           Non-qualified Stock
Options.  Options granted pursuant to this Section 7 are
intended to constitute Non-qualified Stock Options and shall be subject only to
the general terms and conditions specified in Section 8 hereof.

    

    8.           Terms and Conditions of
Options.  Each Option granted pursuant to the Plan shall be
evidenced by a written Option agreement between the Corporation and the
Recipient, which agreement shall be substantially in the form of Exhibit A hereto as
modified from time to time by the Committee in its discretion, and which shall
comply with and be subject to the following terms and conditions:

    

    (a)  Number of
Shares.  Each Option Agreement shall state the number of shares
of Common Stock covered by the Option.

    

    (b)  Type of
Option.  Each Option Agreement shall specifically identify the
portion, if any, of the Option which constitutes an Incentive Stock Option and
the portion, if any, which constitutes a Non-qualified Stock
Option.

    

    (c)  Option
Price.  Subject to adjustment as provided in Section 8 (i)
hereof, each Option agreement shall state the Option Price, which shall be
determined by the Committee subject only to the following
restrictions:

    

    (1)  Each
Option Agreement shall state the Option Price, which (except as otherwise set
forth in paragraphs 8(c)(2) and (3) hereof) shall not be less than 100% of the
Fair Market Value per share on the date of grant of the Option.

    

    (2)  Any
Incentive Stock Option granted under the Plan to a person owning more than ten
percent of the total combined voting power of the Common Stock shall be at a
price of no less than 110% of the Fair Market Value per share on the date of
grant of the Incentive Stock Option.

    

    (3)  Any
Non-qualified Stock Option granted under the Plan shall be at a price no less
than 80% of the Fair Market Value per share on the date of grant of the
Non-qualified Stock Option.

    

    (4)  The date
on which the Committee adopts a resolution expressly granting an Option shall be
considered the day on which such option is granted, unless a future date is
specified in the resolution.

     

    
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    (d)  Term of
Option.  Each Option agreement shall state the period during
and times at which the Option shall be exercis­able, in accordance with the
following limitations:

    

    (1)  The date
on which the Committee adopts a resolution expressly granting an Option shall be
considered the day on which such Option is granted, unless a future date is
specified in the resolution, although any such grant shall not be effective
until the Recipient has executed an Option agreement with respect to such
Option.

    

    (2)  The
exercise period of any Option shall not exceed ten years from the date of grant
of the Option.

    

    (3)  Incentive
Stock Options granted to a person owning more than ten percent of the total
combined voting power of the Common Stock of the Corporation shall be for no
more than five years.

    

    (4)  The
Committee shall have the authority to accelerate or extend the exercisability of
any outstanding Option at such time and under such circumstances as it, in its
sole discretion, deems appropriate.  In any event, no exercise period
may be so extended to increase the term of the Option beyond ten years from the
date of the grant.

    

    (5)  The
exercise period shall be subject to earlier termination as provided in Sections
8(f) and 8(g) hereof, and, furthermore, shall be terminated upon surrender of
the Option by the holder thereof if such surrender has been authorized in
advance by the Committee.

    

    (e)  Method of Exercise and
Medium and Time of Payment.

    

    (1)  An Option
may be exercised as to any or all whole shares of Common Stock as to which it
then is exercisable, provided, however, that no Option may be exercised as to
less than 100 shares (or such number of shares as to which the Option is then
exercisable if such number of shares is less than 100).

    

    (2)  Each
exercise of an Option granted hereunder, whether in whole or in part, shall be
effected by written notice to the Secretary of the Corporation designating the
number of shares as to which the Option is being exercised, and shall be
accompanied by payment in full of the Option Price for the number of shares so
designated, together with any written statements required by, or deemed by the
Corporation’s counsel to be advisable pursuant to, any applicable securities
laws.

    

    (3)  The
Option Price shall be paid in cash, or in shares of Common Stock having a Fair
Market Value equal to such Option Price, or in property or in a combination of
cash, shares and property and, subject to approval of the Committee, may be
effected in whole or in part with funds received from the Corporation at the
time of exercise as a compensatory cash payment.

     

     

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    (4)  The
Committee shall have the sole and absolute discretion to determine whether or
not property other than cash or Common Stock may be used to purchase the shares
of Common Stock hereunder and, if so, to determine the value of the property
received.

    

    (5)  The
Recipient shall make provision for the withholding of taxes as required by
Section 10 hereof.

    

    (f)  Termination.

    

    (1)  Unless
otherwise provided in the Option Agreement by and between the Corporation and
the Recipient, if the Recipient ceases to be an employee, officer, director or
consultant of the Corporation (other than by reason of death, Disability or
retirement), all Options theretofore granted to such Recipient but not
theretofore exercised shall terminate ninety days following the date the
Recipient ceased to be an employee, officer, director or consultant of the
Corporation, and shall terminate upon the date of termination of employment or
other relationship if discharged for cause.

    

    (2)  Nothing
in the Plan or in any Option or Bonus granted hereunder shall confer upon an
individual any right to continue in the employ of or other relationship with the
Corporation or interfere in any way with the right of the Corporation to
terminate such employment or other relationship between the individual and the
Corporation.

    

    (g)  Death, Disability or
Retirement of Recipient.  Unless otherwise provided in the
Option Agreement by and between the Corporation and the Recipient, if a
Recipient shall die while an employee, officer, director or consultant of the
Corporation, or within ninety days after the termination of such Recipient as an
employee, officer, director or consultant, other than termination for cause, or
if the Recipient’s relationship with the Corporation shall terminate by reason
of Disability or retirement, all Options theretofore granted to such Recipient
(whether or not otherwise exercisable) unless earlier terminated in accordance
with their terms, may be exercised by the Recipient or by the Recipient’s estate
or by a person who acquired the right to exercise such Options by bequest or
inheritance or otherwise by reason of the death or Disability of the Recipient,
at any time within one year after the date of death, Disability or retirement of
the Recipient; provided, however, that in the case of Incentive Stock Options
such one-year period shall be limited to ninety days in the case of
retirement.

    

    (h)  Transferability
Restriction.

    

    (1)  Options
granted under the Plan shall not be transferable other than by will or by the
laws of descent and distribution or pursuant to a qualified domestic relations
order as defined by the Internal Revenue Code or Title I of the Employee
Retirement Income Security Act of 1974, or the rules
thereunder.  Options may be exercised during the lifetime of the
Recipient only by the Recipient and thereafter only by his legal
representative.

     

     

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    (2)  Any
attempted sale, pledge, assignment, hypothecation or other transfer of an Option
contrary to the provisions hereof and/or the levy of any execution, attachment
or similar process upon an Option, shall be null and void and without force or
effect and shall result in a termination of the Option.

    

    (3)  (A)  As
a condition to the transfer of any shares of Common Stock issued upon exercise
of an Option granted under this Plan, the Corporation may require an opinion of
counsel, satisfactory to the Corporation, to the effect that such transfer will
not be in violation of the U.S. Securities Act of 1933, as amended (the “1933
Act”) or any other applicable securities laws or that such transfer has been
registered under federal and all applicable state securities
laws.  (B) Further, the Corporation shall be authorized to refrain
from delivering or transferring shares of Common Stock issued under this Plan
until the Committee determines that such delivery or transfer will not violate
applicable securities laws and the Recipient has tendered to the Corporation any
federal, state or local tax owed by the Recipient as a result of exercising the
Option or disposing of any Common Stock when the Corporation has a legal
liability to satisfy such tax.  (C)  The Corporation shall
not be liable for damages due to delay in the delivery or issuance of any stock
certificate for any reason whatsoever, including, but not limited to, a delay
caused by listing requirements of any securities exchange or any registration
requirements under the 1933 Act, the 1934 Act, or under any other state, federal
or provincial law, rule or regulation.  (D)  The Corporation
is under no obligation to take any action or incur any expense in order to
register or qualify the delivery or transfer of shares of Common Stock under
applicable securities laws or to perfect any exemption from such registration or
qualification.  (E) Furthermore, the Corporation will not be liable to
any Recipient for failure to deliver or transfer shares of Common Stock if such
failure is based upon the provisions of this paragraph.

    

    (i)  Effect of Certain
Changes.

    

    (1)  If there
is any change in the number of shares of outstanding Common Stock through the
declaration of stock dividends, or through a recapitalization resulting in stock
splits or combinations or exchanges of such shares, the number of shares of
Common Stock available for Options and the number of such shares covered by
outstanding Options, and the exercise price per share of the outstanding
Options, shall be proportionately adjusted by the Committee to reflect any
increase or decrease in the number of issued shares of Common Stock; provided,
however, that any fractional shares resulting from such adjustment shall be
eliminated.

    

    (2)  In the
event of the proposed dissolution or liquidation of the Corporation, or any
corporate separation or division, including, but not limited to, split-up,
split-off or spin-off, or a merger or consolidation of the Corporation with
another corporation, the Committee may provide that the holder of each Option
then exercisable shall have the right to exercise such Option (at its then
current Option Price) solely for the kind and amount of shares of stock and
other securities, property, cash or any combination thereof receivable upon such
dissolution, liquidation, corporate separation or division, or merger or
consolidation by a holder of the number of shares of Common Stock for which such
Option might have been exercised immediately prior to such dissolution,
liquidation, corporate separation or division, or merger or consolidation; or,
in the alternative the Committee may provide that each Option granted under the
Plan shall terminate as of a date fixed by the Committee; provided, however,
that not less than 30 days’ written notice of the date so fixed shall be given
to each Recipient, who shall have the right, during the period of 30 days
preceding such termination, to exercise the Option as to all or any part of the
shares of Common Stock covered thereby, including shares as to which such Option
would not otherwise be exercisable.

     

     

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    (3)  Paragraph
2 of this Section 8 (i) shall not apply to a merger or consolidation in which
the Corporation is the surviving corporation and shares of Common Stock are not
converted into or exchanged for stock, securities of any other corporation, cash
or any other thing of value.  Notwithstanding the preceding sentence,
in case of any consolidation or merger of another corporation into the
Corporation in which the Corporation is the surviving corporation and in which
there is a reclassification or change (including a change to the right to
receive cash or other property) of the shares of Common Stock (excluding a
change in par value, or from no par value to par value, or any change as a
result of a subdivision or combination, but including any change in such shares
into two or more classes or series of shares), the Committee may provide that
the holder of each Option then exercisable shall have the right to exercise such
Option solely for the kind and amount of shares of stock and other securities
(including those of any new direct or indirect parent of the Corporation),
property, cash or any combination thereof receivable upon such reclassification,
change, consolidation or merger by the holder of the number of shares of Common
Stock for which such Option might have been exercised.

    

    (4)  In the
event of a change in the Common Stock of the Corporation as presently
constituted into the same number of shares with a different par value, the shares
resulting from any such change shall be deemed to be the Common Stock of the
Corporation within the meaning of the Plan.

    

    (5)  To the
extent that the foregoing adjustments relate to stock or securities of the
Corporation, such adjustments shall be made by the Committee, whose
determination in that respect shall be final, binding and conclusive, provided
that each Incentive Stock Option granted pursuant to this Plan shall not be
adjusted in a manner that causes such option to fail to continue to qualify as
an Incentive Stock Option within the meaning of Section 422 of the Internal
Revenue Code.

    

    (6)  Except as
expressly provided in this Section 8(i), the Recipient shall have no rights by
reason of any subdivision or consolidation of shares of stock of any class, or
the payment of any stock dividend or any other increase or decrease in the
number of shares of stock of any class, or by reason of any dissolution,
liquidation, merger, or consolidation or spin-off of assets or stock of another
corporation; and any issue by the Corporation 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
price of shares of Common Stock 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 Corporation to make adjustments, reclassifications, reorganizations or
changes of its capital or business structures, or to merge or consolidate, or to
dissolve, liquidate, or sell or transfer all or any part of its business or
assets.

    

     

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    (j)  No Rights as Shareholder -
Non-Distributive Intent.

    

    (1)  Neither a
Recipient of an Option nor such Recipient’s legal representative, heir, legatee
or distributee, shall be deemed to be the holder of, or to have any rights of a
holder with respect to, any shares subject to such Option until after the Option
is exercised and the shares are issued.

    

    (2)  No
adjustment shall be made for dividends (ordinary or extraordinary, whether in
cash, securities or other property) or distributions or other rights for which
the record date is prior to the date such stock certificate is issued, except as
provided in Section 8(i) hereof.

    

    (3)  Upon
exercise of an Option at a time when there is no registration statement in
effect under the 1933 Act relating to the shares issuable upon exercise, shares
may be issued to the Recipient only if the Recipient represents and warrants in
writing to the Corporation that the shares purchased are being acquired for
investment and not with a view to the distribution thereof and provides the
Corporation with sufficient information to establish an exemption from the
registration requirements of the 1933 Act.  A form of subscription
agreement containing representations and warranties deemed sufficient as of the
date of adoption of this Plan is attached hereto as Exhibit
B.

    

    (4)  No shares
shall be issued upon the exercise of an Option unless and until there shall have
been compliance with any then applicable requirements of the U.S. Securities and
Exchange Commission or any other regulatory agencies having jurisdiction over
the Corporation.

    

    (k)  Other
Provisions.  Option Agreements authorized under the Plan may
contain such other provisions, including, without limitation, (i) the imposition
of restrictions upon the exercise, and (ii) in the case of an Incentive Stock
Option, the inclusion of any condition not inconsistent with such Option
qualifying as an Incentive Stock Option, as the Committee shall deem
advisable.

    

    9.           Grant of Stock
Bonuses.  In addition to, or in lieu of, the grant of an
Option, the Committee may grant Bonuses.

    

    (a)  At the
time of grant of a Bonus, the Committee may impose a vesting period of up to ten
years, and such other restrictions which it deems appropriate.  Unless
otherwise directed by the Committee at the time of grant of a Bonus, the
Recipient shall be considered a shareholder of the Corporation as to the Bonus
shares which have vested in the grantee at any time regardless of any forfeiture
provisions which have not yet arisen.

    

    (b)  The grant
of a Bonus and the issuance and delivery of shares of Common Stock pursuant
thereto shall be subject to approval by the Corporation’s counsel of all legal
matters in connection therewith, including compliance with the requirements of
the 1933 Act, the 1934 Act, other applicable securities laws, rules and
regulations, and the requirements of any stock exchanges upon which the Common
Stock then may be listed.  Any certificates prepared to evidence
Common Stock issued pursuant to a Bonus grant shall bear legends as the
Corporation’s counsel may seem necessary or advisable.  Included among
the foregoing requirements, but without limitation, any Recipient of a Bonus at
a time when a registration statement relating thereto is not effective under the
1933 Act shall execute a Subscription Agreement substantially in the form of
Exhibit
B.

     

     

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    10.           Agreement by Recipient
Regarding Withholding Taxes.  Each Recipient agrees that the
Corporation, to the extent permitted or required by law, shall deduct a
sufficient number of shares due to the Recipient upon exercise of the Option or
the grant of a Bonus to allow the Corporation to pay federal, provincial, state
and local taxes of any kind required by law to be withheld upon the exercise of
such Option or payment of such Bonus from any payment of any kind otherwise due
to the Recipient.  The Corporation shall not be obligated to advise
any Recipient of the existence of any tax or the amount which the Corporation
will be so required to withhold.

    

    11.           Term of
Plan.  Options and Bonuses may be granted under this Plan from
time to time within a period of ten years from the date the Plan is adopted by
the Board.

    

    12.           Amendment and Termination of
the Plan.

    

    (a)           (1)           Subject
to the policies, rules and regulations of any lawful authority having
jurisdiction (including any exchange with which the shares of the Corporation
are listed for trading), the Board of Directors may at any time, without further
action by the shareholders, amend the Plan or any Option granted hereunder in
such respects as it may consider advisable and, without limiting the generality
of the foregoing, it may do so to ensure that Options granted hereunder will
comply with any provisions respecting stock options in the income tax and other
laws in force in any country or jurisdiction of which any Option holders may
from time to time be a resident or citizen, or it may at any time without action
by shareholders terminate the Plan.

    

    (2)           provided,
however, that any amendment that would:  (A) materially increase the
number of securities issuable under the Plan to persons who are subject to
Section 16(a) of the 1934 Act; or (B)  grant eligibility to a class of
persons who are subject to Section 16(a) of the 1934 Act and are not included
within the terms of the Plan prior to the amendment; or (C) materially increase
the benefits accruing to persons who are subject to Section 16(a) of the 1934
Act under the Plan; or (D) require shareholder approval under applicable state
law, the rules and regulations of any national securities exchange on which the
Corporation’s securities then may be listed, the Internal Revenue Code or any
other applicable law, shall be subject to the approval of the shareholders of
the Corporation as provided in Section 13 hereof.

    

    (3)           provided
further that any such increase or modification that may result from adjustments
authorized by Section 8(i) hereof or which are required for compliance with the
1934 Act, the Internal Revenue Code, the Employee Retirement Income Security Act
of 1974, their rules or other laws or judicial order, shall not require such
approval of the shareholders.

     

     

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    (b)           Except
as provided in Section 8 hereof, no suspension, termination, modification or
amendment of the Plan may adversely affect any Option previously granted, unless
the written consent of the Recipient is obtained.

    

    13.           Approval of
Shareholders.  The Plan shall take effect upon its adoption by
the Board but shall be subject to approval at a duly called and held meeting of
stockholders in conformance with the vote required by the Corporation’s
governing documents, resolution of the Board, any other applicable law and the
rules and regulations thereunder, or the rules and regulations of any national
securities exchange upon which the Corporation’s Common Stock is listed and
traded, each to the extent applicable.

    

    14.           Termination of Right of
Action.  Every right of action arising out of or in connection
with the Plan by or on behalf of the Corporation or any of its subsidiaries, or
by any shareholder of the Corporation or any of its subsidiaries against any
past, present or future member of the Board, or against any employee, or by an
employee (past, present or future) against the Corporation or any of its
subsidiaries, will, irrespective of the place where an action may be brought and
irrespective of the place of residence of any such shareholder, director or
employee, cease and be barred by the expiration of three years from the date of
the act or omission in respect of which such right of action is alleged to have
risen.

    

    15.           Tax
Litigation.  The Corporation shall have the right, but not the
obligation, to contest, at its expense, any tax ruling or decision,
administrative or judicial, on any issue which is related to the Plan and which
the Board believes to be important to holders of Options issued under the Plan
and to conduct any such contest or any litigation arising therefrom to a final
decision.

    

    16.           Adoption.

    

    (a) This Plan
was approved by resolution of the Board of Directors of the Corporation on March
11, 2009.

    

    (b) If this
Plan is not approved by the shareholders of the Corporation within 12 months of
the date the Plan was approved by the Board as required by Section 422(b)(1) of
the Internal Revenue Code, this Plan and any Options granted hereunder to
Recipients shall be and remain effective, but the reference to Incentive Stock
Options herein shall be deleted and all Options granted hereunder shall be
Non-qualified Stock Options pursuant to Section 7 hereof.

    

    

    [End of
Plan]

     

     

     

     

    11

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     Exhibit
A

    

    FORM OF STOCK OPTION
AGREEMENT

    

    

    STOCK OPTION AGREEMENT made as of this
___ day of ____________, ______, by and between Accredited Members, Inc., a
Colorado corporation (the “Corporation”), and _____________ (the
“Recipient”).

    

    In accordance with the Corporation’s
2009 Stock Option Plan (the “Plan”), the provisions of which are incorporated
herein by reference, the Corporation desires, in connection with the services of
the Recipient, to provide the Recipient with an opportunity to acquire shares of
the Corporation’s $.0001 par value common stock (“Common Stock”) on favorable
terms and thereby increase the Recipient’s proprietary interest in the
Corporation and incentive to put forth maximum efforts for the success of the
business of the Corporation.  Capitalized terms used but not defined
herein are used as defined in the Plan.

    

    NOW, THEREFORE, in consideration of the
premises and mutual covenants herein set forth and other good and valuable
consideration, the Corporation and the Recipient agree as follows:

    

    1.  Confirmation of Grant of
Option.  Pursuant to a determination of the Committee or, in
the absence of a Committee, by the Board of Directors of the Corporation made on
___________, _____ (the “Date of Grant”), the Corporation, subject to the terms
of the Plan and of this Agreement, confirms that the Recipient has been
irrevocably granted on the Date of Grant, as a matter of separate inducement and
agreement, and in addition to and not in lieu of salary or other compensation
for services, a Stock Option (the “Option”) exercisable to purchase an aggregate
of ______ shares of Common Stock on the terms and conditions herein set forth,
subject to adjustment as provided in Paragraph 8 hereof.  The Options
granted under this Plan shall replace any and all options previously granted, or
agreed to be granted, by the Corporation.

    

    2.  Option
Price.  The Option Price of shares of Common Stock covered by
the Option will be _____ per share (the “Option Price”) subject to adjustment as
provided in Paragraph 8 hereof.

    

    3.  Vesting and Exercise of
Option.  (a) Except as otherwise provided herein or in Section
8 of the Plan, the Option shall vest and become exercisable as follows: 
[Insert Vesting Schedule];   (b) The Option
may not be exercised at any one time as to fewer than 100 shares (or such number
of shares as to which the Option is then exercisable if such number of shares is
less than 100); (c)  The Option may be exercised by written notice to
the Secretary of the Corporation accompanied by payment in full of the Option
Price as provided in Section 8 of the Plan.

    

    4.  Term of
Option.  The term of the Option will be through __________,
____, subject to earlier termination or cancellation as provided in this
Agreement.  The holder of the Option will not have any rights to
dividends or any other rights of a shareholder with respect to any shares of
Common Stock subject to the Option until such shares shall have been issued (as
evidenced by the appropriate transfer agent of the Corporation) upon purchase of
such shares through exercise of the Option.

     

     

    
1

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    5.  Transferability
Restriction.  The Option may not be assigned, transferred or
otherwise disposed of, or pledged or hypothecated in any way (whether by
operation of law or otherwise) except in strict compliance with Section 8 of the
Plan.  Any assignment, transfer, pledge, hypothecation or other
disposition of the Option or any attempt to make any levy of execution,
attachment or other process will cause the Option to terminate immediately upon
the happening of any such event; provided, however, that any such termination of
the Option under the provisions of this Paragraph 5 will not prejudice any
rights or remedies which the Corporation may have under this Agreement or
otherwise.

    

    6.  Exercise Upon
Termination.  The Recipient’s rights to exercise this Option
upon termination of employment or cessation of service as an officer, director
or consultant shall be as set forth in Section 8(f) of the Plan.

    

    7.  Death, Disability or
Retirement of Recipient.  The exercisability of this Option
upon the death, Disability or retirement of the Recipient shall be as set forth
in Section 8(g) of the Plan.

    

    8.  Adjustments.  The
Option shall be subject to adjustment upon the occurrence of certain events as
set forth in Section 8(i) of the Plan.

    

    9.  No Registration
Obligation.  The Recipient understands that the Option is not
registered under the 1933 Act and, unless by separate written agreement, the
Corporation has no obligation to so register the Option or any of the shares of
Common Stock subject to and issuable upon the exercise of the Option, although
it may from time to time register under the 1933 Act the shares issuable upon
exercise of Options granted pursuant to the Plan.  The Recipient
represents that the Option is being acquired for the Recipient’s own account and
that unless registered by the Corporation, the shares of Common Stock issued on
exercise of the Option will be acquired by the Recipient for
investment.  The Recipient understands that the Option is, and the
underlying securities may be, issued to the Recipient in reliance upon
exemptions from the 1933 Act, and acknowledges and agrees that all certificates
for the shares issued upon exercise of the Option may bear the following legend
unless such shares are registered under the 1933 Act prior to their
issuance:

    

    The
shares represented by this Certificate have not been registered under the
Securities Act of 1933 (the “1933 Act”), and are “restricted securities” as that
term is defined in Rule 144 under the 1933 Act.  The shares may not be
offered for sale, sold or otherwise transferred except pursuant to an effective
registration statement under the 1933 Act or pursuant to an exemption from
registration under the 1933 Act, the availability of which is to be established
to the satisfaction of the Company.

     

     

    2

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    The Recipient further understands and
agrees that the Option may be exercised only if at the time of such exercise the
underlying shares are registered and/or the Recipient and the Corporation are
able to establish the existence of an exemption from registra­tion under the
1933 Act and applicable state or other laws.

    

    10.  Notices.  Each
notice relating to this Agreement will be in writing and delivered in person or
by certified mail to the proper address.  Notices to the Corporation
shall be addressed to the Corporation, attention: President, 15975 Winding Trail
Rd., Colorado Springs, CO  80908, or at such other address as may
constitute the Corporation’s principal place of business at the time, with a
copy to: Theresa M. Mehringer, Esq., Burns Figa & Will, P.C., 6400 S.
Fiddlers Green Circle, Suite 1000, Greenwood Village, CO
80111.  Notices to the Recipient or other person or persons then
entitled to exercise the Option shall be addressed to the Recipient or such
other person or persons at the Recipient’s address below
specified.  Anyone to whom a notice may be given under this Agreement
may designate a new address by notice to that effect given pursuant to this
Paragraph 10.

    

    11.  Approval of
Counsel.  The exercise of the Option and the issuance and
delivery of shares of Common Stock pursuant thereto shall be subject to approval
by the Corporation’s counsel of all legal matters in connection therewith,
including compliance with the requirements of the 1933 Act, the Securities
Exchange Act of 1934, as amended, applicable state and other securities laws,
the rules and regulations thereunder, and the requirements of any national
securities exchange(s) upon which the Common Stock then may be
listed.

    

    12.  Benefits of
Agreement.  This Agreement will inure to the benefit of and be
binding upon each successor and assignee of the Corporation.  All
obligations imposed upon the Recipient and all rights granted to the Corporation
under this Agreement will be binding upon the Recipient’s heirs, legal
representatives and successors.

    

    13.  Effect of Governmental and
Other Regulations.  The exercise of the Option and the
Corporation’s obligation to sell and deliver shares upon the exercise of the
Option are subject to all applicable federal and state laws, rules and
regulations, and to such approvals by any regulatory or governmental agency
which may, in the opinion of counsel for the Corporation, be
required.

    

    14.  Plan
Governs.  In the event that any provision in this Agreement
conflicts with a provision in the Plan, the provision of the Plan shall
govern.

    

    Executed in the name and on behalf of
the Corporation by one of its duly authorized officers and by the Recipient all
as of the date first above written.

     

     

     

     

    
3

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

       

       

       

      
        
          	 	ACCREDITED
      MEMBERS, INC.	 
	 	 	 	 
	
                  Date
      ____________________, ________

                	
                  By:
      

                	 	 
	 	J.W.
      Roth, President	 
	 	 	 	 
	 	 	 	 

        

      

       

       

    

    The undersigned Recipient has read and
understands the terms of this Option Agreement and the attached Plan and hereby
agrees to comply therewith.

     

     

    
      
        
          	 	 	 
	 	 	 	 
	
                  Date
      ____________________, ________

                	
                   

                	 	 
	 	Signature
      of Recipient	 
	 	 	 	 
	 	 	 	 
	 	Tax
      ID Number 	 	 
	
                   

                   

                	 	 	 

        

      

      
        
          	 	Address: 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 

        

      

    

     

     

     

     

     

    4

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    

    

     Exhibit
B

    SUBSCRIPTION
AGREEMENT

    

    THE
SECURITIES BEING ACQUIRED BY THE UNDERSIGNED HAVE NOT BEEN REGISTERED UNDER THE
U.S. SECURITIES ACT OF 1933 OR ANY OTHER LAWS AND ARE OFFERED UNDER EXEMPTIONS
FROM THE REGISTRATION PROVISIONS OF SUCH LAWS.  THESE SECURITIES
CANNOT BE SOLD, TRANSFERRED, ASSIGNED OR OTHERWISE DISPOSED OF EXCEPT IN
COMPLIANCE WITH THE RESTRICTIONS ON TRANSFER CONTAINED IN THIS STOCK
SUBSCRIPTION AGREEMENT AND APPLICABLE SECURITIES LAWS.

    

    This Subscription Agreement is entered
for the purpose of the undersigned acquiring _____________ shares of the $.0001
par value common stock (the “Securities”) of Accredited Members, Inc., a
Colorado corporation (the “Corporation”) from the Corporation as a Bonus or
pursuant to exercise of an Option granted pursuant to the Corporation's 2009
Stock Option Plan (the “Plan”). All capitalized terms not otherwise defined
herein shall be as defined in the Plan.

    

    It is understood that no grant of any
Bonus or exercise of any Option at a time when no registration statement
relating thereto is effective under the U.S. Securities Act of 1933, as amended
(the “1933 Act”) can be completed until the undersigned executes this
Subscription Agreement and delivers it to the Corporation, and that such grant
or exercise is effective only in accordance with the terms of the Plan and this
Subscription Agreement.

    

    In connection with the undersigned’s
acquisition of the Securities, the undersigned represents and warrants to the
Corporation as follows:

    

    1.           The
undersigned has been provided with, and has reviewed the Plan, and such other
information as the undersigned may have requested of the Corporation regarding
its business, operations, management, and financial condition (all of which is
referred to herein as the “Available Information”).

    

    2.           The
Corporation has given the undersigned the opportunity to ask questions of and to
receive answers from persons acting on the Corporation’s behalf concerning the
terms and conditions of this transaction and the opportunity to obtain any
additional information regarding the Corporation, its business and financial
condition or to verify the accuracy of the Available Information which the
Corporation possesses or can acquire without unreasonable effort or
expense.

    

    3.           The
Securities are being acquired by the undersigned for the undersigned’s own
account and not on behalf of any other person or entity.

     

    1

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    4.           The
undersigned understands that the Securities being acquired hereby have not been
registered under the 1933 Act or any state or foreign securities laws, and are,
and unless registered will continue to be, restricted securities within the
meaning of Rule 144 of the General Rules and Regulations under the 1933 Act and
other statutes, and the undersigned consents to the placement of appropriate
restrictive legends on any certificates evidencing the Securities and any
certificates issued in replacement or exchange therefor and acknowledges that
the Corporation will cause its stock transfer records to note such
restrictions.

    

    5.           By
the undersigned’s execution below, it is acknowledged and understood that the
Corporation is relying upon the accuracy and completeness hereof in complying
with certain obligations under applicable securities laws.

    

    6.           This
Agreement binds and inures to the benefit of the representatives, successors and
permitted assigns of the respective parties hereto.

    

    7.           The
undersigned acknowledges that the grant of any Bonus or Option and the issuance
and delivery of shares of Common Stock pursuant thereto shall be subject to
prior approval by the Corporation’s counsel of all legal matters in connection
therewith, including compliance with the requirements of the 1933 Act and other
applicable securities laws, the rules and regulations thereunder, and the
requirements of any national securities exchange(s) upon which the Common Stock
then may be listed.

    

    8.           The
undersigned acknowledges and agrees that the Corporation has withheld
___________ shares for the payment of taxes as a result of the grant of the
Bonus or the exercise of an Option.

    

    9.           The
Plan is incorporated herein by reference.  In the event that any
provision in this Agreement conflicts with any provision in the Plan, the
provisions of the Plan shall govern.

     

     

     

     

    
      
         

        
          
            
              	 	 	 
	 	 	 	 
	
                      Date
      ____________________, ________

                    	
                       

                    	 	 
	 	Signature
      of Recipient	 
	 	 	 	 
	 	 	 	 
	 	Tax
      ID Number 	 	 
	
                       

                       

                    	 	 	 

            

          

          
            
              	 	Address: 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 

            

          

        

         

      

       

       

      2longtermincentiveplan.htm

    

      PERFICIENT,
INC.

      2009
LONG-TERM INCENTIVE PLAN

      

      

      SECTION
1. PURPOSE.  Perficient,
Inc. previously adopted the Perficient, Inc. 1999 Stock Option/Stock Issuance
Plan (the "Plan") to encourage employees, directors and other persons providing
significant services to Perficient, Inc. and its subsidiaries to acquire a
proprietary and vested interest in the growth and performance of the Company, to
generate an increased incentive to contribute to the Company's future success
and prosperity, thus enhancing the value of the Company for the benefit of share
owners, and to enhance the ability of the Company to attract and retain
individuals of exceptional managerial talent upon whom, in large measure, the
sustained progress, growth and profitability of the Company
depends.  The following provisions constitute an amendment and
restatement of the Plan, which on and after the Effective Date shall be known as
the "Perficient, Inc. 2009 Long-Term Incentive Plan".  The amended and
restated Plan shall apply to Awards granted on or after the Effective
Date.

       

      SECTION
2. DEFINITIONS.  As
used in the Plan, the following terms shall have the meanings set forth
below:

       

      (a) "Acquiring
Person" means any person (any individual, firm, corporation or other entity) who
or which, together with all Affiliates and Associates, has acquired or obtained
the right to acquire the beneficial ownership of fifty percent (50%) or more of
the Shares then outstanding.

       

      (b) "Affiliate"
and "Associate" shall have the respective meanings ascribed to such terms in
Rule 12b-2 of the General Rules and Regulations under the Exchange
Act.

       

      (c) "Award"
shall mean any Option, Stock Appreciation Right, Restricted Share Award,
Performance Share, Performance Unit, Other Stock Unit Award, or any other right,
interest, or option relating to Shares or other securities of the Company
granted pursuant to the provisions of the Plan.

       

      (d) "Award
Agreement" shall mean any written agreement, contract, or other instrument or
document evidencing any Award granted by the Committee hereunder and signed by
both the Company and the Participant.

       

      (e) "Beneficiary"
means the person or persons to whom an Award is transferred by his or her will
or by the laws of descent and distribution of the state in which the Participant
resided at the time of his or her death.

       

      (f) "Board"
shall mean the Board of Directors of Perficient, Inc.

       

      (g) "Cause"
shall mean any of the following events, as determined by the
Committee:

       

      (1) The
commission of an act which, if proven in a court of law, would constitute a
felony violation under applicable criminal laws;

       

      
        
           

        

        
          
            

          

        

        
           

        

      

      (2) A breach
of any material duty or obligation imposed upon the Participant by the
Company;

       

      (3) Divulging
the Company's confidential information, or breaching or causing the breach of
any confidentiality agreement to which the Participant or the Company is a
party;

       

      (4) Engaging
or assisting others to engage in business in competition with the
Company;

       

      (5) Refusal
to follow a lawful order of the Participant's superior or other conduct which
the Board or the Committee determines to represent insubordination on the part
of the Participant; or

       

      (6) Other
conduct by the Participant which the Board or the Committee, in its discretion,
deems to be sufficiently injurious to the interests of the Company to constitute
cause.

       

      (h) "Code"
shall mean the Internal Revenue Code of 1986, as amended from time to time, and
any successor thereto.

       

      (i) "Committee"
shall mean the Compensation Committee of the Board, composed of no fewer than
three directors, each of whom is a Non-Employee Director, an "outside director"
within the meaning of Section 162(m) of the Code and an "independent director"
within the meaning of applicable standards of the National Association of
Securities Dealers, Inc. ("NASD") or any national securities exchange upon which
the Shares are traded.

       

      (j) "Company"
shall mean Perficient, Inc., its subsidiaries and/or Affiliates.

       

      (k) "Covered
Employee" shall mean a "covered employee" within the meaning of Section
162(m)(3) of the Code.

       

      (l) "Disability"
means, with respect to an Employee, disability as defined under the Company's
long term disability insurance plan under which such Employee is then covered
and, with respect to any other Participant, has the meaning set forth in Section
22(e)(3) of the Code, as determined by the Committee in its sole
discretion.

       

      (m) "Effective
Date" shall have the meaning set forth in Section 16 hereof.

       

      (n) "Employee"
shall mean any employee of the Company or of any Affiliate.

       

      (o) "Exchange
Act" shall mean the Securities Exchange Act of 1934, as amended from time to
time, and any successor thereto.

       

      (p) "Executive
Employment Agreement" shall mean an employment agreement existing on the
Effective Date between the Company and any of the Chairman and Chief Executive
Officer, the President and Chief Operating Officer or the Chief Financial
Officer, and shall also mean an employment agreement or separation agreement
entered into after the

       

      
        
           

        

        
          2

          
            

          

        

        
           

        

      

      Effective
Date between the Company and any employee hired into one of the foregoing
positions or a comparable position.

       

      (q) "Fair
Market Value" shall mean (i) with respect to a Share, the last reported sale
price of a Share on the date of determination, or on the most recent date on
which the Share is traded prior to that date, as reported on the Nasdaq National
Market, and (ii) with respect to any other property, the fair market value of
such property determined by such methods or procedures as shall be established
from time to time by the Committee.

       

      (r) "Incentive
Stock Option" shall mean an Option granted under Section 6 hereof that is
intended to meet the requirements of Section 422 of the Code or any successor
provision thereto.  Only Employees may be awarded Incentive Stock
Options.

       

      (s) "Involuntary
Termination for Economic Reasons" means that the Participant's Termination Date
occurs due to involuntary termination of employment by the Company by reason of
a corporate restructuring, a disposition or acquisition of a business or
facility, or a downsizing or layoff, as determined by the Company's Chief
Executive Officer, in his sole discretion, or by the Committee in the case of a
Participant subject to Section 16 of the Exchange Act.

       

      (t) "Legacy
Sales Award" shall mean an award with a value of $100,000 or less made pursuant
to a sales award program existing on the Effective Date.

       

      (u) "Non-Employee
Directors" shall mean individuals who qualify as such within the meaning of Rule
16b-3 under the Exchange Act (or any successor definition thereto).

       

      (v) "Nonstatutory
Stock Option" shall mean an Option granted under Section 6 hereof that is not
intended to be an Incentive Stock Option.

       

      (w) "Option"
shall mean any right granted to a Participant under the Plan allowing such
Participant to purchase Shares at such price or prices and during such period or
periods as the Committee shall determine.

       

      (x) "Other
Stock Unit Awards" shall mean Awards of Shares and other Awards that are valued
in whole or in part by reference to, or are otherwise based on, Shares or other
property, other than Awards which are Options, Stock Appreciation Rights,
Restricted Share Awards, Performance Shares or Performance Units.

       

      (y) "Participant"
shall mean an Employee or director of, or a consultant or other person providing
significant services to, the Company who is selected by the Committee to receive
an Award under the Plan.

       

      (z) "Performance
Award" shall mean any Award of Performance Shares or Performance Units pursuant
to Section 9 hereof.

       

      (aa) "Performance
Period" shall mean that period established by the Committee at the time any
Performance Award is granted or at any time thereafter during which any
performance goals specified by the Committee with respect to such Award are to
be measured.

       

       

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

       

       

      (bb) "Performance
Share" shall mean any grant pursuant to Section 9 hereof of a unit valued by
reference to a designated number of Shares, which value may be paid to the
Participant by delivery of such property as the Committee shall determine,
including, without limitation, cash, Shares, or any combination thereof, upon
achievement of such performance goals during the Performance Period as the
Committee shall establish at the time of such grant or thereafter.

       

      (cc) "Performance
Unit" shall mean any grant pursuant to Section 9 hereof of a unit valued by
reference to a designated amount of property other than Shares, which value may
be paid to the Participant by delivery of such property as the Committee shall
determine, including, without limitation, cash, Shares, or any combination
thereof, upon achievement of such performance goals during the Performance
Period as the Committee shall establish at the time of such grant or
thereafter.

       

      (dd) "Person"
shall mean any individual, corporation, partnership, association, joint-stock
company, company, unincorporated organization, limited liability company, other
entity or government or political subdivision thereof.

       

      (ee) "Prior
Stock Plans" shall mean the Perficient, Inc. 1999 Stock Options/Stock Issuance
Plan.

       

      (ff) "Restricted
Share" shall mean any Share issued with the restriction that the holder may not
sell, transfer, pledge, or assign such Share and with such other restrictions as
the Committee, in its sole discretion, may impose (including, without
limitation, any restriction on the right to vote such Share, and the right to
receive any cash dividends), which restrictions may lapse separately or in
combination at such time or times, in installments or otherwise, as the
Committee may deem appropriate.

       

      (gg) "Restricted
Share Award" shall mean an award of Restricted Shares under Section 8
hereof.

       

      (hh) "Retirement"
means a Participant's Termination Date which occurs (i) pursuant to a voluntary
early retirement program approved by the Board or the Committee, (ii) after
attaining age 65, or (iii) after attaining age 60 with ten or more years of
service with the Company.  For this purpose, a year of service shall
be a completed 12-month period of service beginning on the first day of the
Participant's service with the Company as an employee or director, or an
anniversary of such date.

       

      (ii) "Shares"
shall mean shares of common stock, par value $0.001 per share, of Perficient,
Inc. and such other securities of the Company as the Committee may from time to
time determine.

       

      (jj) "Stock
Appreciation Right" shall mean any right granted to a Participant pursuant to
Section 7 hereof to receive, upon exercise by the Participant, the excess of (i)
the Fair Market Value of one Share on the date of exercise over (ii) the grant
price of the right on the date of grant, or if granted in connection with an
outstanding Option on the date of grant of the related Option, as specified by
the Committee in its sole discretion, which shall not be less than the Fair
Market Value of one Share on such date of grant of the right or the related
Option, as the case

       

       

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

       

       

      may
be.  Any payment by the Company in respect of such right may be made
in cash, Shares, other property, or any combination thereof, as the Committee,
in its sole discretion, shall determine.

       

      (kk) "Ten
Percent Shareholder" means a person who owns (after taking into account the
attribution rules of Section 424(b) of the Code or any successor provision
thereto) more than 10% of the combined voting power of all classes of shares
beneficial interest of the Company.

       

      (ll) "Termination
of Employment" means the date a Participant separates from service with the
Company and under Section 409A of the Code (generally, a decrease in the
performance of services to no more than 20% of the average of the preceding 36
month period, and disregarding leave of absences up to six months where there is
reasonable expectation the Participant will return).

       

      SECTION
3. ADMINISTRATION.

       

      (a) AUTHORITY
OF COMMITTEE.  The Plan shall be administered by the Committee. The
Committee shall have full power and authority, subject to such orders or
resolutions not inconsistent with the provisions of the Plan as may from time to
time be adopted by the Board, to: (i) select the Participants to whom Awards may
from time to time be granted hereunder; (ii) determine the type or types of
Award to be granted to each Participant hereunder; (iii) determine the number of
Shares to be covered by each Award granted hereunder; (iv) determine the terms
and conditions, not inconsistent with the provisions of the Plan, of any Award
granted hereunder; (v) determine whether, to what extent and under what
circumstances Awards may be settled in cash, Shares or other property or
canceled or suspended; (vi) determine whether, to what extent and under what
circumstances cash, Shares and other property and other amounts payable with
respect to an Award under this Plan shall be deferred either automatically or at
the election of the Participant; (vii) interpret and administer the Plan and any
instrument or agreement entered into under the Plan; (viii) establish such rules
and regulations and appoint such agents as it shall deem appropriate for the
proper administration of the Plan; and (ix) make any other determination and
take any other action that the Committee deems necessary or desirable for
administration of the Plan.  Decisions of the Committee shall be
final, conclusive and binding upon all persons, including the Company, any
Participant, and shareholder, and any Employee, director or consultant of the
Company or of any Affiliate.

       

      (b) DELEGATION.  The
Committee may delegate to the Company's Chief Executive Officer the authority to
grant Awards to Participants, other than Participants who are subject to Section
16 of the Exchange Act, and to determine the terms and conditions of such
Awards, subject to the limitations of the Plan and such other limitations and
guidelines as the Committee may deem appropriate.

       

      SECTION
4. DURATION
OF, AND SHARES SUBJECT TO PLAN.

       

      (a) TERM.  The
Plan shall remain in effect until terminated by the Board, provided, however,
that no Award may be granted under the Plan more than ten (10) years after the
Effective Date, but any Award theretofore granted may extend beyond that
date.

       

      
        
           

        

        
          5

          
            

          

        

        
           

        

      

      (b) SHARES
SUBJECT TO THE PLAN.  The maximum number of Shares in respect for
which Awards may be granted under the Plan, subject to adjustment as provided in
Section 4(c) of the Plan, is (i) 1,500,000 plus (ii) the number of Shares that
remained available for issuance under the Prior Stock Plan as of the Effective
Date.  No further awards shall be made under the Prior Stock Plans
after the Original Effective Date.  No Participant may be granted
Awards in any one calendar year with respect to more than 600,000
Shares.  The maximum amount payable in cash to a Covered Employee for
any calendar year with respect to any Award subject to Section 13 shall be
$1,000,000.

       

      For the
purpose of computing the total number of Shares available for Awards under the
Plan, there shall be counted against the foregoing limitations the number of
Shares subject to issuance upon exercise or settlement of Awards as of the dates
on which such Awards are granted.  Shares which were previously
subject to Awards shall not again be available for Awards under the Plan if any
such Awards are forfeited, terminated, expire unexercised, settled in cash or
exchanged for other Awards, or if the Shares subject thereto can otherwise no
longer be issued. Further, any Shares which are used as full or partial payment
to the Company by a Participant of the purchase price of Shares or the tax
withholding requirement with respect to any Awards granted under the Plan shall
not be available for Awards under the Plan.  If a Stock Appreciation
Right is settled in Shares, Shares that are in excess of the net Shares
delivered on exercise of such Stock Appreciation Right shall not be added back
to the number of Shares available for future Awards under the Plan.

       

      Shares
which may be issued under the Plan may be either authorized and unissued shares
or issued shares which have been reacquired by the Company.  No
fractional shares shall be issued under the Plan.

       

      (c) CHANGES
IN SHARES.  In the event of any merger, reorganization, consolidation,
recapitalization, stock dividend, stock split, reverse stock split, spin off or
similar transaction or other change in corporate structure affecting the Shares,
the Committee shall make equitable adjustments and substitutions with respect to
(i) the aggregate number, class and kind of Shares which may be delivered under
the Plan, in the aggregate or to any one Participant, (ii) the number, class,
kind and option or exercise price of Shares subject to outstanding Options,
Stock Appreciation Rights or other Awards granted under the Plan, and (iii) the
number, class and kind of Shares subject to, Awards granted under the Plan
(including, if the Committee deems appropriate, the substitution of similar
options to purchase the shares of, or other awards denominated in the shares of,
another company).  The Committee shall have the sole discretion to
determine the manner of such equitable adjustment or substitution, provided that
the number of Shares or other securities subject to any Award shall always be a
whole number.

       

      SECTION
5. ELIGIBILITY.  Any
Employee, director, consultant or other person providing material services to
the Company shall be eligible to be selected as a Participant.

       

      SECTION
6. STOCK
OPTIONS.  Options may be granted hereunder to Participants either
alone or in addition to other Awards granted under the Plan.  Any
Option granted under the Plan shall be evidenced by an Award Agreement in such
form as the Committee may from time to time approve.  Any such Option
shall be subject to the following terms and conditions and to

       

      
        
           

        

        
          6

          
            

          

        

        
           

        

      

      such
additional terms and conditions, not inconsistent with the provisions of the
Plan, as the Committee shall deem desirable:

       

      (a) OPTION
PRICE.  The purchase price per Share purchasable under an Option shall
be determined by the Committee in its sole discretion; provided that (i) such
purchase price shall not be less than the Fair Market Value of the Share on the
date of the grant of the Option, and (ii) such purchase price for an Incentive
Stock Option granted to a Ten Percent Shareholder shall be not less than 110% of
the Fair Market Value of the Share on the date of grant of the
Option.

       

      (b) OPTION
PERIOD.  The term of each Option shall be fixed by the Committee in
its sole discretion; provided that (i) no Option shall be exercisable after the
expiration of ten years from the date the Option is granted, and (ii) no
Incentive Stock Option granted to a Ten Percent Shareholder shall be exercisable
after the expiration of five years from the date the Option is
granted.

       

      (c) EXERCISABILITY.  Options
shall be exercisable at such time or times as determined by the Committee at or
subsequent to grant.  Unless an Executive Employment Agreement
otherwise so provides, no Option shall become fully exercisable prior to the
third anniversary of the grant.  No Incentive Stock Option shall be
exercisable during the year ending on the day before the first anniversary date
of the granting of the Incentive Stock Option, unless an Executive Employment
Agreement otherwise so provides.

       

      (d) METHOD OF
EXERCISE.  Subject to the other provisions of the Plan and any
applicable Award Agreement, any Option may be exercised by the Participant in
whole or in part at such time or times, and the Participant may make payment of
the option price in such form or forms, including, without limitation, payment
by delivery of cash, Shares or other consideration (including, where permitted
by law and the Committee, Awards) having a Fair Market Value on the exercise
date equal to the total option price, or by any combination of cash, Shares and
other consideration as the Committee may specify in the applicable Award
Agreement.

       

      (e) INCENTIVE
STOCK OPTIONS.  In accordance with rules and procedures established by
the Committee, the aggregate Fair Market Value (determined as of the time of
grant) of the Shares with respect to which Incentive Stock Options held by any
Participant which are exercisable for the first time by such Participant during
any calendar year under the Plan (and under any other benefit plans of the
Company or of any parent or subsidiary corporation of the Company) shall not
exceed $100,000 or, if different, the maximum limitation in effect at the time
of grant under Section 422 of the Code, or any successor provision, and any
regulations promulgated thereunder.  The terms of any Incentive Stock
Option granted hereunder shall comply in all respects with the provisions of
Section 422 of the Code, or any successor provision, and any regulations
promulgated thereunder.  An Incentive Stock Option must be exercised
within three months following the Participant's termination of employment with
the Company, or within twelve months if such termination is by reason of death
or Disability. If for any reason an Option intended to be an Incentive Stock
Option fails to satisfy the requirements of Section 422 of the Code, such Option
will automatically convert to a Nonstatutory Stock Option.

       

      
        
           

        

        
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      (f) REPRICING.  Except
in connection with 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 terms of outstanding Awards
may not be amended to reduce the exercise price of outstanding Options or Stock
Appreciation Rights or cancel outstanding Options or Stock Appreciation Rights
in exchange for cash, other Awards or Options or Stock Appreciation Rights with
an exercise price that is less than the exercise price of the original Options
or Stock Appreciation Rights, without the approval of the Company's
shareholders.

       

      (g) DIVIDEND
EQUIVALENTS.  No dividend equivalent units shall be awarded in
connection with any Option.

       

      SECTION
7. STOCK
APPRECIATION RIGHTS.  Stock Appreciation Rights may be granted
hereunder to Participants either alone or in addition to other Awards granted
under the Plan and may, but need not, relate to a specific Option granted under
Section 6.  Each Share subject to a Stock Appreciation Right shall
have an exercise price of not less than Fair Market Value of a Share on the date
of grant of the Stock Appreciation Right.  The term of the Stock
Appreciation Right shall be fixed by the Committee in its sole discretion,
provided that no Stock Appreciation Right shall be exercisable after the
expiration of ten years from the date the Stock Appreciation Right is
granted.  No Stock Appreciation Right shall be fully vested or become
fully exercisable prior to the third anniversary of the grant date, unless an
Executive Employment Agreement otherwise so provides.  The Committee,
in its sole discretion, shall establish or impose such other terms and
conditions with respect to Stock Appreciation Rights as it shall deem
appropriate, which need not be the same with respect to each
recipient.

       

      Any Stock
Appreciation Right related to a Nonstatutory Stock Option may be granted at the
same time such Option is granted or at any time thereafter before exercise or
expiration of such Option.  Any Stock Appreciation Right related to an
Incentive Stock Option must be granted at the same time such Option is granted,
and may be exercised only if and when the Fair Market Value of the Shares
subject to the Incentive Stock Option exceeds the aggregate purchase price for
the Option.  In the case of any Stock Appreciation Right related to
any Option, the Stock Appreciation Right or applicable portion thereof shall
terminate and no longer be exercisable upon the termination or exercise of the
related Option, except that a Stock Appreciation Right granted with respect to
less than the full number of Shares covered by a related Option shall not be
reduced until the exercise or termination of the related Option exceeds the
number of shares not covered by the Stock Appreciation Right.  Any
Option related to any Stock Appreciation Right shall no longer be exercisable to
the extent the related Stock Appreciation Right has been
exercised.  No dividend equivalent units shall be awarded in
connection with any Stock Appreciation Right.

       

      SECTION
8. RESTRICTED
SHARES.

       

      (a) ISSUANCE.  Restricted
Share Awards may be issued hereunder to Participants, for no cash consideration
or for such minimum consideration as may be required by applicable law, either
alone or in addition to other Awards granted under the Plan.  The
restrictions on a Restricted Share Award issued pursuant to a Performance Award
(other than a Legacy Sales Award) shall not lapse prior to the first anniversary
of the grant date.  The restrictions on a non-

       

       

      
        
          
          

        

        
          8

          
            

          

        

        
          
          

        

      

       

       

      performance
based Restricted Share Award shall not lapse as to all shares subject to the
award prior to the third  anniversary of the grant date; provided that
such restrictions may lapse prior to the third anniversary if an Executive
Employment Agreement so provides.  The provisions of Restricted Share
Awards need not be the same with respect to each recipient.

       

      (b) REGISTRATION.  Any
Restricted Shares issued hereunder may be evidenced in such manner as the
Committee in its sole discretion shall deem appropriate, including, without
limitation, book-entry registration or issuance of a stock certificate or
certificates.  In the event any stock certificate is issued in respect
of Restricted Shares awarded under the Plan, such certificate shall be
registered in the name of the Participant, and shall bear an appropriate legend
referring to the terms, conditions, and restrictions applicable to such
Award.

       

      (c) FORFEITURE.  Except
as set forth in Section 11 or otherwise determined by the Committee at the time
of grant, upon a Participant's Termination Date for any reason during the
restriction period, all Restricted Shares still subject to restriction shall be
forfeited by the Participant and reacquired by the Company; provided that the
Committee may, in its sole discretion, when it finds that a waiver would be in
the best interests of the Company, waive in whole or in part any or all
remaining restrictions with respect to such Participant's Restricted Shares,
except for Restricted Share Awards that are intended to comply with the
performance-based compensation requirements of Section
13.  Unrestricted Shares, evidenced in such manner as the Committee
shall deem appropriate, shall be issued to the grantee promptly after the period
of forfeiture, as determined or modified by the Committee, shall
expire.

       

      (d) DIVIDENDS.  No
dividends or dividend equivalents shall be paid with respect to any Restricted
Share while such Restricted Share is subject to restriction.

       

      SECTION
9. PERFORMANCE
AWARDS.  Performance Awards may be issued hereunder to Participants,
for no cash consideration or for such minimum consideration as may be required
by applicable law, either alone or in addition to other Awards granted under the
Plan, provided that the Performance Period for any Performance Award payable in
Shares (other than a Legacy Sales Award) shall not be less than one
year.  The performance criteria to be achieved during any Performance
Period and the length of the Performance Period shall be determined by the
Committee upon the grant of each Performance Award.  Except as
provided in Section 12, Performance Awards will be distributed only after the
end of the relevant Performance Period.  Performance Awards may be
paid in cash, Shares, other property or any combination thereof, in the sole
discretion of the Committee at the time of payment.  The performance
levels to be achieved for each Performance Period and the amount of the Award to
be distributed shall be conclusively determined by the
Committee.  Performance Awards may be paid in a lump sum or in
installments following the close of the Performance Period. Subject to the
provisions of the Plan, the Committee shall have sole and complete authority to
determine the Participants to whom and the time or times at which such Awards
shall be made, and all other conditions of the Awards.  The provisions
of Performance Awards need not be the same with respect to each
recipient.  No dividend equivalent units shall be awarded in
connection with any Performance Award.

       

      SECTION
10. OTHER
STOCK UNIT AWARDS.

       

      
        
           

        

        
          9

          
            

          

        

        
           

        

      

      (a) STOCK AND
ADMINISTRATION.  Other Stock Unit Awards may be granted hereunder to
Participants, either alone or in addition to other Awards granted under the
Plan.  Other Stock Unit Awards may be paid in Shares, other securities
of the Company, cash or any other form of property as the Committee shall
determine. Subject to the provisions of the Plan, the Committee shall have sole
and complete authority to determine the Participants to whom and the time or
times at which such Awards shall be made, the number of shares of Stock to be
granted pursuant to such Awards, and all other conditions of the
Awards.  No Stock Unit Award shall fully vest prior to the third
anniversary of the grant date, unless an Executive Employment Agreement
otherwise so provides.  The provisions of Other Stock Unit Awards need
not be the same with respect to each recipient.

       

      (b) TERMS AND
CONDITIONS.  Shares (including securities convertible into Shares)
granted under this Section 10 may be issued for no cash consideration or for
such minimum consideration as may be required by applicable law; Shares
(including securities convertible into Shares) purchased pursuant to a purchase
right awarded under this Section 10 shall be purchased for such consideration as
the Committee shall in its sole discretion determine, which shall not be less
than the Fair Market Value of such Shares or other securities as of the date
such purchase right is awarded.  No dividend equivalent units shall be
awarded in connection with any Stock Unit Award.

       

      SECTION
11. EFFECT OF
TERMINATION DATE.

       

      The
Committee shall have the discretion to establish terms and conditions relating
to the effect of the Participant's Termination Date on Awards under the
Plan.  Unless the Committee determines otherwise with respect to any
individual Award, as stipulated in the applicable Award Agreement, the following
provisions shall apply to Options, Stock Appreciation Rights and Restricted
Shares on a Participant's Termination Date.

       

      (a) DEATH,
DISABILITY, RETIREMENT.  If the Participant's Termination Date occurs
for reasons of death, Disability or Retirement, (i) the restriction period with
respect to any Restricted Shares shall lapse, and (ii) the Participant's
outstanding Options and Stock Appreciation Rights shall immediately vest in full
and may thereafter be exercised in whole or in part by the Participant (or the
duly appointed fiduciary of the Participant's estate or Beneficiary in the case
of death, or conservator of the Participant's estate in the case of Disability)
at any time prior to the expiration of the respective terms of the Options or
Stock Appreciation Rights, as applicable.

       

      (b) INVOLUNTARY
TERMINATION FOR ECONOMIC REASONS.  If the Participant's Termination
Date occurs by reason of Involuntary Termination for Economic Reasons, the
Participant may exercise his or her Options and Stock Appreciation Rights, to
the extent vested, at any time prior to the earlier of (i) the date which is 6
months after such Termination Date, or (ii) the expiration of the respective
terms of the Options or Stock Appreciation Rights.

       

      If the
Participant dies after the Termination Date while his or her Options or Stock
Appreciation Rights remain exercisable under this paragraph (b), the duly
appointed fiduciary of the Participant's estate or his or her Beneficiary may
exercise the Options and Stock

       

       

      
        
          
          

        

        
          10

          
            

          

        

        
          
          

        

      

       

       

      Appreciation
Rights (to the extent that such Options and Stock Appreciation Rights were
vested and exercisable prior to death), at any time prior to the later of the
date which is (i) 6 months after the date of death, but in no event later than
the expiration of the
respective terms of the Options and Stock Appreciation Rights.

       

      (c) TERMINATION
DATE FOR CAUSE.  If the Participant's Termination Date occurs for
reasons of Cause, at the time such notice of termination is given by the Company
(i) any Restricted Shares subject to a restriction period shall be forfeited,
and (ii) the Participant's right to exercise his or her Options and Stock
Appreciation Rights shall terminate.  If within 90 days of a
Participant's Termination Date the Company discovers circumstances which would
have permitted it to terminate the Participant's employment or service for
Cause, such Termination Date shall be deemed to have occurred for reasons of
Cause.  Any Shares, cash or other property paid or delivered to the
Participant under the Plan within 90 days of such Termination Date shall be
forfeited and the Participant shall be required to repay such amount to the
Company.

       

      (d) OTHER
TERMINATION OF EMPLOYMENT OR SERVICE.  In the event the Participant's
Termination Date occurs for reasons other than described in the foregoing
provisions of this Section 11, the Participant shall have the right to exercise
his or her Options and Stock Appreciation Rights at any time prior to the
earlier of (i) the date which is 3 months after such Termination Date, or (ii)
the expiration date of the respective terms of the Options or Stock Appreciation
Rights, as applicable, but only to the extent such Option or Stock Appreciation
Right, as applicable, was vested prior to such Termination Date.  Any
Options or Stock Appreciation Rights which are not vested at such Termination
Date shall be forfeited on the Termination Date.

       

      If the
Participant dies after the Termination Date while his or her Options or Stock
Appreciation Rights remain exercisable under this paragraph (d), the duly
appointed fiduciary of the Participant's estate or his or her Beneficiary may
exercise the Options or Stock Appreciation Rights (to the extent that such
Options or Stock Appreciation Rights were vested and exercisable prior to
death), at any time prior to the earlier of (i) 3 months after the date of
death, or (ii) the expiration of the respective terms of the Options or Stock
Appreciation Rights, as applicable.

       

      SECTION
12. CHANGE IN
CONTROL.

       

      (a) Unless
the terms of an employment or similar agreement provide to the contrary, a
change in control of the Company shall not trigger the acceleration of vesting,
exercisability or the lapse of restrictions with respect to any
Award.  Subject to any employment or similar agreement, the Committee
may provide that an Award shall be assumed or otherwise continued in full force
and effect by any successor corporation or parent thereof.

       

      SECTION
13. CODE
SECTION 162(M) PROVISIONS.

       

      (a) Notwithstanding
any other provision of this Plan, if the Committee determines at the time any
Restricted Shares, Performance Awards or Other Stock Unit Awards are granted to
a Participant that such Participant is, or is likely to be at the time he or she
recognizes income for 

       

       

      
        
          
          

        

        
          11

          
            

          

        

        
          
          

        

      

       

       

      federal income tax purposes in connection with such Award, a
Covered Employee, then the Committee may provide that this Section 13 is
applicable to such Award.

       

      (b) If an
Award is subject to this Section 13, then the lapsing of restrictions thereon
and the distribution of cash, Shares or other property pursuant thereto, as
applicable, shall be subject to the achievement of one or more objective
performance goals established by the Committee, which shall be based on the
attainment of one or any combination of the following: cash flow; cash flow from
operations; net income, total earnings; earnings per share, diluted or basic;
earnings per share from continuing operations, diluted or basic; earnings before
interest and taxes; earnings before interest, taxes, depreciation, and
amortization; earnings from operations; net asset turnover; inventory turnover;
capital expenditures; net earnings; operating earnings; gross or operating
margin; debt; working capital; return on equity; return on net assets; return on
total assets; return on capital; return on invested capital; return on
investment; return on sales; net or gross sales; market share; economic value
added; cost of capital; change in assets; expense reduction levels; cost
control; debt reduction; productivity; delivery performance; safety record;
stock price; stock price appreciation; and total stockholder return, of the
Company or the Affiliate or division of the Company for or within which the
Participant is primarily employed.  Such performance goals also may be
based upon the attaining specified levels of Company performance under one or
more of the measures described above relative to the performance of other
corporations.  Such performance goals shall be set by the Committee
within the times period prescribed by, and shall otherwise comply with the
requirements of, Section 162(m) of the Code and the regulations
thereunder.

       

      (c) Notwithstanding
any provision of this Plan other than Section 12, with respect to any Award that
is subject to this Section 13, the Committee may not adjust upwards the amount
payable pursuant to such Award, nor may it waive the achievement of the
applicable performance goals except in the case of the death or disability of
the Participant.

       

      (d) The
Committee shall have the power to impose such other restrictions on Awards
subject to this Section 13 as it may deem necessary or appropriate to ensure
that such Awards satisfy all requirements for "performance-based compensation"
within the meaning of Section 162(m)(4)(B) of the Code or any successor
thereto.

       

      SECTION
14. AMENDMENTS
AND TERMINATION.

       

      The Board
may amend, alter or discontinue the Plan at any time; provided, however, no
amendment, alteration, or discontinuation shall be made that would impair the
rights of an optionee or Participant under an Award theretofore granted, without
the optionee's or Participant's consent; provided, further that, any amendment
that would (i) except as is provided in Section 4(c) of the Plan, increase the
total number of shares reserved for the purpose of the Plan, (ii) change the
employees or class of employees eligible to participate in the Plan, (iii)
change the minimum exercise price for any Option or Stock Appreciation Right
below the minimum price set forth in Section 6(a) and Section 7 of the Plan, as
applicable, or (iv) materially (within the meaning of rules of NASD) change the
terms of the Plan, shall not be effective without the approval of Perficient,
Inc.'s shareholders.

       

      The
Committee may amend the terms of any Award theretofore granted, prospectively or

       

       

      
        
          
          

        

        
          12

          
            

          

        

        
          
          

        

      

       

       

      retroactively;
provided, that no such amendment shall impair the rights of any Participant
without his or her consent.

       

      SECTION
15. GENERAL
PROVISIONS.

       

      (a) Unless
the Committee determines otherwise with respect to an Award other than an
Incentive Stock Option, no Award, and no Shares subject to Awards described in
Section 10 which have not been issued or as to which any applicable restriction,
performance or deferral period has not lapsed, may be sold, assigned,
transferred, pledged or otherwise encumbered, except by will or by the laws of
descent and distribution; provided that, if so determined by the Committee, a
Participant may, in the manner established by the Committee, designate a
beneficiary to exercise the rights of the Participant with respect to any Award
upon the death of the Participant.  Unless the Committee determines
otherwise, each Award shall be exercisable, during the Participant's lifetime,
only by the Participant or, if permissible under applicable law, by the
Participant's guardian or legal representative.  Notwithstanding the
foregoing, subject to such rules as the Committee may establish, a Nonstatutory
Stock Option may be transferred by a Participant during his or her lifetime to a
trust, partnership or other entity established for the benefit of the
Participant and his or her immediate family which, for purposes of the Plan,
shall mean those persons who, at the time of such transfer, would be entitled to
inherit part or all of the estate of the Participant under the laws of intestate
succession then in effect in the state in which the Participant resides if the
Participant had died on such transfer date without a will.

       

      (b) Subject
to the provisions of Section 6(b) and Section 7, the term of each Award shall be
for such period of months or years from the date of its grant as may be
determined by the Committee.

       

      (c) No
Employee or Participant shall have any claim to be granted any Award under the
Plan nor to remain in the employment or service of the Company and there is no
obligation for uniformity of treatment of Employees or Participants under the
Plan.  The Committee may, in its sole discretion, condition
eligibility for an Award on the execution of a noncompete or similar-type
agreement.

       

      (d) The
prospective recipient of any Award under the Plan shall not, with respect to
such Award, be deemed to have become a Participant, or to have any rights with
respect to such Award, until and unless such recipient shall have executed an
agreement or other instrument evidencing the Award and delivered a fully
executed copy thereof to the Company, and otherwise complied with the then
applicable terms and conditions.

       

      (e) Except as
provided in Section 13, the Committee shall be authorized to make adjustments in
Performance Award criteria or in the terms and conditions of other Awards in
recognition of unusual or nonrecurring events affecting the Company or its
financial statements or changes in applicable laws, regulations or accounting
principles.  The Committee may correct any defect, supply any omission
or reconcile any inconsistency in the Plan or any Award in the manner and to the
extent it shall deem desirable to carry it into effect.  In the event
the Company shall assume outstanding employee benefit awards or the right or
obligation to make future such awards in connection with the acquisition of
another corporation or business entity, the 

       

       

      
        
          
          

        

        
          13

          
            

          

        

        
          
          

        

         

         

        Committee
may, in its discretion, make such adjustments in the terms of Awards under the
Plan as it shall deem appropriate.

      

       

      (f) The
Committee shall have full power and authority to determine whether, to what
extent and under what circumstances any Award shall be canceled or
suspended.

       

      (g) All
certificates for Shares delivered under the Plan pursuant to any Award shall be
subject to such stock-transfer orders and other restrictions as the Committee
may deem advisable under the rules, regulations, and other requirements of the
Securities and Exchange Commission, NASD, any stock exchange upon which the
Shares are then listed, and any applicable Federal or state securities law, and
the Committee may cause a legend or legends to be put on any such certificates
to make appropriate reference to such restrictions.

       

      (h) The
Committee shall be authorized to establish procedures pursuant to which the
payment of any Award may be deferred. Subject to the provisions of this Plan and
any Award Agreement, the recipient of an Award (including, without limitation,
any deferred Award) may, if so determined by the Committee, be entitled to
receive, currently or on a deferred basis, interest or dividends, or interest or
dividend equivalents, with respect to the number of shares covered by the Award,
as determined by the Committee, in its sole discretion, and the Committee may
provide that such amounts (if any) shall be deemed to have been reinvested in
additional Shares or otherwise reinvested.

       

      (i) Except as
otherwise required in any applicable Award Agreement or by the terms of the
Plan, recipients of Awards under the Plan shall not be required to make any
payment or provide consideration other than the rendering of
services.

       

      (j) The
Company shall be authorized to withhold from any Award granted or payment due
under the Plan the amount of any withholding taxes due in respect of an Award or
payment hereunder and to take such other action as may be necessary in the
opinion of the Company to satisfy all obligations for the payment of such
that.  The Committee shall be authorized to establish procedures for
election by Participants to satisfy such withholding taxes by delivery of, or
directing the Company to retain, Shares.

       

      (k) Nothing
contained in this Plan shall prevent the Board from adopting other or additional
compensation arrangements, subject to shareholder approval if such approval is
otherwise required; and such arrangements may be either generally applicable or
applicable only in specific cases.

       

      (l) The terms
of this Plan and any agreement containing the terms and conditions of an award
made pursuant to the Plan shall be interpreted: first, in a manner that causes
the award to comply with Section 409A of the Code; and second, in accordance
with the laws of the State of Delaware.

       

      (m) If any
provision of this Plan is or becomes or is deemed invalid, illegal or
unenforceable in any jurisdiction, or would disqualify the Plan or any Award
under any law deemed applicable by the Committee, such provision shall be
construed or deemed amended to conform to applicable laws or if it cannot be
construed or deemed amended without, in the 

       

       

      
        
          
          

        

        
          14

          
            

          

        

        
          
          

        

         

         

        determination
of the Committee, materially altering the intent of the Plan, it shall be
stricken and the remainder of the Plan shall remain in full force and
effect.

      

       

      (n) Awards
may be granted to Employees, directors or consultants of the Company or
Affiliates who are foreign nationals or employed outside the United States, or
both, on such terms and conditions different from those specified in the Plan as
may, in the judgment of the Committee, be necessary or desirable in order to
recognize differences in local law or tax policy.  The Committee also
may impose conditions on the exercise or vesting of Awards in order to minimize
the Company's obligation with respect to tax equalization for Participants on
assignments outside their home country.

       

      SECTION
16. EFFECTIVE
DATE OF PLAN.  This amendment and restatement of the Plan shall be
effective on the date that it is approved by the Company's stockholders (the
"Effective Date").

    
       

      
        
          
          

        

        
          15

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