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EXHIBIT 10.1  

 
 

EXE TECHNOLOGIES, INC.
  1997 INCENTIVE AND NON-QUALIFIED
  STOCK OPTION PLAN    
  

 
  As Amended and Restated February 6, 2001    
  

  

 
 

EXE TECHNOLOGIES, INC.
  1997 INCENTIVE AND NON-QUALIFIED
  STOCK OPTION PLAN    
  

Section 1. Name and Purposes of the Plan.

	(a)
	Name. The Plan will be known as the EXE Technologies, Inc. 1997 Incentive and Non-Qualified Stock Option Plan.

	(b)
	Purposes. The purpose of the Plan is to provide key Employees and Consultants with an opportunity to share in the capital appreciation
of the Common Stock of the Company. The Options granted pursuant to the Plan are intended to constitute either Incentive Stock Options or Non-Qualified Stock Options, as determined by the
Administrator of the Plan at the time of grant. 

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

	(a)
	"Administrator" shall be the Board or a Committee appointed by the Board pursuant to Section 3 of the Plan, which shall
administer the Plan.

	(b)
	"Affiliate" shall mean, whether now or hereafter existing, a person or entity that directly, or indirectly controls or is controlled
by, or is under common control with, the Company, except that when used in connection with an Incentive Stock Option, "Affiliate" shall mean a Subsidiary.

	(c)
	"Board" shall mean the Board of Directors of the Company, as constituted from time to time.

	(d)
	"Change of Control" shall mean the happening of an event (excluding a Public Offering) that shall be deemed to have occurred upon the
earliest to occur of the following events:

	(i)
	the
date the stockholders of the Company (or the Board, if stockholder action is not required) approve a plan or other arrangement pursuant to which the
Company will be dissolved or liquidated;

	(ii)
	the
date the stockholders of the Company (or the Board, if stockholder action is not required) approve a definitive agreement to sell or otherwise
dispose of all or substantially all of the assets of the Company;

	(iii)
	the
date the stockholders of the Company (or the Board, if stockholder action is not required) and the stockholders of the other constituent
corporations (or their respective boards of directors, if and to the extent that stockholder action is not required) have approved a definitive agreement to merge or consolidate the Company with or
into another corporation, other than, in either case, a merger or consolidation of the Company in which holders of shares of the Company's voting capital stock immediately prior to the merger or
consolidation will have at least fifty percent (50%) of the ownership of voting capital stock of the surviving corporation immediately after the merger or consolidation (on a fully diluted basis),
which voting capital stock is to be held by each such holder in the same or substantially similar proportion (on a fully diluted basis) as such holder's ownership of voting capital stock of the
Company immediately before the merger or consolidation;

	(iv)
	the
date any entity, person or group (within the meaning of Section 13(d)(3) or Section 14(d)(2) of the Exchange Act), other than
(A) the Company, (B) any of its Subsidiaries, (C) any of the holders of the capital stock of the Company, as determined on the date that this Plan is adopted by the Board,
(D) any employee benefit plan (or related trust) sponsored or maintained by the Company or any of its Subsidiaries or (E) any Affiliate of any of the foregoing, shall have acquired
beneficial ownership of, or shall have acquired voting control over more than fifty percent (50%) of the outstanding shares of the Company's voting 

2

 

capital
stock (on a fully diluted basis), unless the transaction pursuant to which such person, entity or group acquired such beneficial ownership or control resulted from the original issuance by
the Company of shares of its voting capital stock and was approved by at least a majority of directors who shall have been members of the Board for at least twelve (12) months prior to the date
of such approval; 

	(v)
	the
first day after the date of this Plan when directors are elected such that there shall have been a change in the composition of the Board such that a
majority of the Board shall have been members of the Board for less than twelve (12) months, unless the nomination for election of each new director who was not a director at the beginning of
such twelve (12) month period was approved by a vote of at least sixty percent (60%) of the directors then still in office who were directors at the beginning of such period; or

	(vi)
	the
date upon which the Board determines (in its sole discretion) that based on then current available information, the events described in
clause (iv) are reasonably likely to occur. 

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

	(f)
	"Committee" shall mean a Committee appointed by the Board in accordance with Section 3(a) of the Plan, if one is appointed, in
which event the Committee or Committees, as the case may be, shall possess the power and authority of the Board with respect to the Plan as set forth in Section 3(b) of the Plan.

	(g)
	"Common Stock" shall mean the Common Stock, $.01 par value per share, of the Company.

	(h)
	"Company" shall mean EXE Technologies, Inc., a Delaware corporation, and any successor in interest that agrees to assume and
maintain the Plan.

	(i)
	"Consultant" shall mean any person associated with the Company or a Subsidiary who is engaged by the Company or a Subsidiary to render
services and is compensated by the Company or Subsidiary for such services, including but not limited to, an advisor or independent contractor, but excluding any director who is not an Employee.

	(j)
	"Disability" or "Disabled" with respect to an Optionee shall mean (i) when the
Optionee is determined to be disabled within the meaning of any long-term disability policy or program sponsored by the Company covering the Optionee, as in effect as of the date of such
determination, or (ii) if no such policy or program shall be in effect, when the Optionee is unable to engage in any substantial gainful activity by reason of a 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 twelve (12) months. The determination of whether an Optionee is
Disabled pursuant to subparagraph (ii) shall be determined by the Administrator, whose determination shall be conclusive; provided that: (A) if an Optionee is bound by the terms of an
executive Employment Agreement between the Optionee and the Company, then whether the Optionee is "Disabled" for purposes of the Plan shall be determined in accordance with the procedures set forth in
said Employment Agreement, if such procedures are therein provided; and (B) an Optionee bound by such an Employment Agreement shall not be
determined to be Disabled under the Plan any earlier than he or she would be determined to be disabled under his or her Employment Agreement.

	(k)
	"Employee" shall mean any person employed by the Company or any Subsidiary of the Company.

	(l)
	"Exchange Act" shall mean the Securities Exchange Act of 1934, as amended.

	(m)
	"Fair Market Value" shall mean, as of any date, the fair market value of a share of Common Stock as determined pursuant to
Section 7 hereof. 

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	(n)
	"Incentive Stock Option" shall mean any Option that is intended to be and is designated as an incentive stock option within the meaning
of Section 422 of the Code.

	(o)
	"Non-Employee Director" shall have the meaning set forth in Rule 16b-3(b)(3)(i) promulgated by
the Securities and Exchange Commission under the Exchange Act, or any successor definition adopted by the Securities and Exchange Commission; provided, however, that the Administrator may, to the
extent the Administrator deems it necessary or desirable to comply with Section 162(m) of the Code and applicable regulations thereunder, ensure that each Non-Employee Director also
qualifies as an "outside director" as that term is defined in the regulations under Section 162(m) of the Code.

	(p)
	"Non-Qualified Stock Option" shall mean any Option that is not intended to or does not qualify as an Incentive Stock
Option.

	(q)
	"Option" shall mean an Incentive Stock Option or a Non-Qualified Stock Option, as the case may be, granted pursuant to the
Plan.

	(r)
	"Option Agreement" shall mean the written agreement by and between the Company and an Optionee under which Optionee may purchase the
Shares pursuant to the exercise of an Option.

	(s)
	"Optionee" shall mean an Employee or Consultant to whom an Option is granted.

	(t)
	"Plan" shall mean this EXE Technologies, Inc. 1997 Incentive and Non-Qualified Stock Option Plan, as amended from
time to time.

	(u)
	"Public Offering" shall mean the consummation of a firm commitment underwritten public offering of equity securities of the Company
registered under the Securities Act.

	(v)
	"Sale of the Company" shall mean the earliest of: (i) the closing of a sale, transfer or other disposition of all or
substantially all of the shares of the capital stock then outstanding of the Company (except if such transferee is then an Affiliate); (ii) the closing of a sale, transfer or other disposition
of all or substantially all of the assets of the Company (except if such transferee is then an Affiliate); or (iii) the merger or consolidation of the Company with or into another corporation
(except an Affiliate), other than a merger or consolidation of the Company in which the holders of shares of the Company's voting capital stock outstanding immediately before such merger or
consolidation hold greater than fifty percent (50%) of the surviving entity's voting capital stock after such consolidation or merger.

	(w)
	"Securities Act" shall mean the Securities Act of 1933, as amended.

	(x)
	"Share" or "Shares" shall mean a share or shares of Common Stock, as adjusted in
accordance with Section 8 of the Plan, that is allocated to the Plan.

	(y)
	"Subsidiary" shall mean, whether now or hereafter existing, a subsidiary or parent corporation of the Company as such term is defined
in Sections 424(e), (f) and (g) of the Code.

	(z)
	"Vested Amount" shall mean, with respect to each Option, a percentage of the shares for which the Option has become exercisable
(subject to the further terms of the Plan) by application of the schedule set forth in Section 4(b). 

Section 3. Administration.  

	(a)
	Procedure. The Plan shall be administered by the Board and/or by one or more Committees, each of which shall consist of not less than
two (2) persons appointed by the Board. In the event the Company has a class of equity securities registered under the Exchange Act, the Board shall administer the Plan; provided that it may
appoint one or more Committees in accordance with Section 3(b). 

4

 
	(b)
	Committees. If one or more Committees are appointed by the Board, then the Committees shall possess the power and authority of the
Board in administering the Plan on behalf of the Board, subject to such terms and conditions as the Board may prescribe, which conditions may state that the Committee shall have administrative
authority with respect to only a prescribed group of individuals eligible for Options under the Plan. 

Members
of a Committee shall be members of the Board and shall serve for such period of time as the Board may determine. From time to time, the Board may increase the size of a Committee and appoint
additional members thereto, remove members (with or without cause) and appoint new members in substitution therefor, fill vacancies however caused, or remove all members of a Committee and thereafter
directly administer the Plan. Notwithstanding the foregoing, in the event the Company has a class of equity securities registered under the Exchange Act, any Committee that grants Options to
individuals who are covered employees pursuant to section 162(m) of the Code and the regulations thereunder, and/or to individuals who are directors, officers or principal stockholders as
determined pursuant to Section 16 of the Exchange Act, shall be composed solely of two (2) or more Non-Employee Directors. 

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

	(1)
	to
determine whether and to what extent Options are granted hereunder;

	(2)
	to
determine the Fair Market Value of the Common Stock based upon review of relevant information and in accordance with Section 7 of the Plan;

	(3)
	to
determine the exercise price of the Options in accordance with Section 6(b) of the Plan;

	(4)
	to
select the Optionees to whom Options may from time to time be granted;

	(5)
	to
determine the number of Shares to be subject to each Option granted hereunder;

	(6)
	to
prescribe, amend and rescind rules and regulations relating to the Plan;

	(7)
	to
determine the terms and provisions of each Option granted under the Plan, each Option Agreement and each other agreement that in the sole discretion of the Administrator may be
required (all of which agreements need not be identical with the terms of other Options, Option Agreements or other agreements);

	(8)
	to
determine the circumstances under which the vesting or exercise date of an Option will be accelerated;

	(9)
	to
interpret the Plan or any agreement entered into with respect to the grant or exercise of Options;

	(10)
	to
authorize any person to execute on behalf of the Company any instrument required to effectuate the grant of an Option previously granted by the Administrator or to take such other
actions as may be necessary or appropriate with respect to the Company's rights pursuant to Options or agreements relating to the granting or exercise thereof;

	(11)
	to
determine whether and under what circumstances an Option may be exercised without a payment of cash under Section 6(c) hereof;

	(12)
	to
terminate the Plan in the event of a Change of Control; and

	(13)
	to
make such other determinations and establish such other procedures as it deems necessary or advisable for the administration of the Plan. 

5

 

	(d)
	Effect of the Administrator's Decision. All decisions, determinations and interpretations of the Administrator pursuant to the
provisions of the Plan shall be final and binding on all Optionees and any other holders of Options.

	(e)
	Limitation of Liability. Notwithstanding anything herein to the contrary, no member of the Board or the Committee shall be liable for
any good faith determination, act or failure to act in connection with the Plan or any Option awarded hereunder. 

Section 4. Eligibility.

	(a)
	Eligible Persons. Options may be granted at any time and from time to time to any Employee or Consultant who shall be selected by the
Administrator. Any grant of Options may include or exclude any Employee or Consultant as the Administrator shall determine in its sole discretion. Consultants who are not also Employees of the Company
are eligible to be granted Non-Qualified Stock Options under the Plan but are not eligible to be granted Incentive Stock Options under the Plan.

	(b)
	Vesting and Exercisability of Options. Subject to the provisions of Section 6 hereof and except to the extent the Administrator
provides otherwise, each Option shall vest and become exercisable as follows: (i) 25% of the Option shall vest on the first anniversary of the date of grant; and (ii) the remaining 75%
shall vest at a rate of 2.083% of the Option on the last day of each month after the first anniversary of the date of grant, with the number of shares vesting each month determined by rounding up to
the nearest whole number of shares. 

The
Administrator may, but need not, determine that the Vested Amount of each Option shall be exercisable only upon the earlier to occur of: (i) the consummation of a Public Offering; or
(ii) the consummation of a Sale of the Company. The unvested portion of each Option may not be exercised. In addition, as specified in Section 3(c)(8), the Administrator may determine
the circumstances under which the vesting or exercise date of an Option will be accelerated. 

	(c)
	Effect Upon Engagement. The Plan will not confer upon any Optionee any right with respect to the continuation of any employment,
consulting or any other relationship with the Company nor will it interfere in any way with such Optionee's right or the Company's right to terminate that Optionee's employment, consulting or other
relationship with the Company at any time, whether with or without cause. 

Section 5. Stock Subject to the Plan.

	(a)
	Maximum Number of Shares. Subject to the provisions of Section 8 of the Plan, the maximum aggregate number of Shares which may
be optioned and sold under the Plan is Twelve Million (12,000,000) Shares. The Shares may be authorized, but unissued or reacquired, Common Stock. In the event the Company has a class of equity
securities registered under the Exchange Act, the maximum number of Shares with respect to which Options may be granted under the Plan to any Employee during any calendar year is One Million
(1,000,000) Shares.

	(b)
	Return of Shares to the Plan. If an Option expires, is terminated or becomes unexercisable for any reason without having been exercised
in full, then the unpurchased Shares subject thereto shall, unless the Plan shall have been terminated, return to the Plan and become available for future grant under the Plan. 

6

 

Section 6. Terms and Conditions of Options.

        Each Option granted under the Plan shall be authorized by the Administrator and shall be evidenced by an Option Agreement, which shall state or incorporate by
reference all other terms and conditions of the Plan including, without limitation, the following terms and conditions: 

	(a)
	Number of Shares. The Option Agreement shall state the number of Shares subject to the Option.

	(b)
	Option Exercise Price. The per Share exercise price for the Shares to be issued pursuant to the exercise of an Incentive Stock Option
shall be stated in the Option Agreement and shall be no less than the Fair Market Value per share of the Common Stock on the date such Option is granted, without regard to any restriction other than a
restriction that by its terms will never lapse; provided, however, that any Incentive Stock Option granted under this Plan to an Employee who, at the time such Option is granted, owns more than ten
percent (10%) of the current total combined voting power of all classes of the capital stock of the Company, shall have an exercise price per Share of not less than one hundred ten percent (110%) of
the Fair Market Value of the Common Stock on the date such Option is granted. The per Share exercise price for the Shares to be issued pursuant to the exercise of a Non-Qualified Stock
Option shall be stated in the Option Agreement and shall be determined by the Administrator but shall be at least $.01 per Share.

	(c)
	Consideration. The consideration to be paid for the Shares to be issued upon the exercise of an Option, including the method of
payment, shall be determined by the Administrator and may consist entirely of: (i) cash; (ii) check; or (iii) such other consideration and method of payment as the Administrator
may from time to time determine. In making its determination as to the type of consideration to accept, the Administrator shall consider if the acceptance of such consideration may be reasonably
expected to benefit the Company.

	(d)
	Form of Option. The Option Agreement shall state whether the Option granted thereunder is intended to be an Incentive Stock Option or a
Non-Qualified Stock Option.

	(e)
	Exercise of an Option.

	(1)
	Unless
otherwise provided by the Administrator, the Vested Amount of any Option granted hereunder shall be exercisable, in whole or in part, at such times and under such further
conditions as may be determined by the Administrator and as set forth in the Option Agreement.

	(2)
	An
Option may not be exercised for a fraction of a Share.

	(3)
	An
Option may not be exercised after the date of expiration of its term as shall be set forth in the Option Agreement.

	(4)
	An
Option shall be deemed to have been exercised when written notice of such exercise has been received by the Company at its principal executive office in accordance with the terms
of the Option Agreement by the person entitled to exercise the Option, and full payment for the Shares with respect to which the Option is to be exercised has been received by the Company, accompanied
by any agreements required by the Administrator or the terms of the Plan and/or Option Agreement. An Optionee shall have no right to vote or receive dividends and shall have no other rights as a
stockholder with respect to the Shares, notwithstanding the exercise of the Option, until the issuance (as evidenced by the appropriate entry on the books of the Company or of a duly authorized
transfer agent of the Company) of the stock Certificate evidencing such Shares. No adjustment shall be made for a dividend or other right for which the record date is prior to the date a stock
Certificate with respect to the Shares is issued. 

7

 

	(5)
	As
soon as practicable after the proper exercise of an Option in accordance with the provisions of the Plan, the Company shall, without transfer or issue tax to the Optionee, deliver
to the Optionee at the principal executive office of the Company or such other place as shall be mutually agreed upon between the Company and the Optionee, a Certificate or Certificates representing
the Shares for which the Option shall have been exercised. The time of issuance and delivery of the Certificate(s) representing the Shares for which the Option shall have been exercised may be
postponed by the Company for such period as may be required by the Company, with reasonable diligence, to comply with any applicable listing requirements of any national or regional securities
exchange or any law or regulation applicable to the issuance or delivery of such Shares.

	(6)
	The
exercise of an Option in any manner shall result in a decrease in the number of Shares that thereafter may be available both for purposes of the Plan and for sale under the Option
by the number of Shares as to which the Option is exercised. 

	(f)
	Termination of Options.

	(1)
	Termination in General. Unless sooner terminated as provided in this Plan, each Option shall be exercisable for the period of time as
shall be determined by the Administrator and set forth in the Option Agreement and shall be void and unexercisable thereafter.

	(2)
	Termination of Relationship with the Company. Unless sooner terminated as provided in this Plan, in the event of the termination of an
Optionee's employment or consulting relationship with the Company (as the case may be) for any reason other than the death or Disability of the Optionee, such Optionee may, within three
(3) months (or such other period of time as is determined by the Administrator) from the date of such termination (but in no event later than the expiration date of the term of such Option as
set forth in the Option Agreement), exercise the Option up to the Vested Amount as of the date of termination, but only to the extent that the Optionee was entitled to exercise the Option on the date
of such termination. To the extent the Optionee was not entitled to exercise the Option on the date of such termination, or if the Optionee does not exercise such Option to the extent so entitled
within the time specified herein, the Option will terminate.

	(3)
	Death or Disability. Unless sooner terminated as provided in this Plan, in the event of the death or Disability of an Optionee while
employed or engaged by the Company (as the case may be), Options held by such Optionee that are exercisable on the date of Disability or death shall be exercisable up to the Vested Amount as of the
date of Disability or death for a period of twelve (12) months commencing on the date of the Optionee's Disability or death. Such Options may be exercisable by the Optionee or his or her legal
guardian or representative or, in the case of death, by his or her executor(s) or administrator(s); provided, however, if such disabled Optionee shall commence any employment or engagement during such
twelve (12) month period with or by a competitor of the Company (including, but not limited to, full or part-time employment or independent consulting work), as determined solely in
the judgment of the Administrator, then all Options held by such Optionee that have not yet been exercised shall terminate immediately upon the commencement thereof.

	(4)
	Agreement to Terminate. Options may be terminated at any time by agreement between the Company and the Optionee. 

	(g)
	Other Provisions.

	(1)
	Notwithstanding
any provision in this Plan or an Option Agreement to the contrary, no Option granted to any Optionee under this Plan shall be treated as an Incentive Stock Option to
the extent that such Option would cause the aggregate Fair Market Value of all Shares with respect to which Incentive Stock Options are exercisable by such Optionee for the first time 

8

 

during
any calendar year (determined as of the date of grant of each such Option) to exceed $100,000. For purposes of determining whether an Incentive Stock Option granted to an Optionee would cause
the aggregate Fair Market Value to exceed the $100,000 limitation, such Incentive Stock Options shall be taken into account in the order granted. For purposes of this subsection, Incentive Stock
Options granted to an Optionee shall include all incentive stock options under all plans of the Company or any Subsidiary that are incentive stock option plans within the meaning of Section 422
of the Code. Options may be exercised in any order elected by the Optionee, whether or not the Optionee holds any unexercised Options under this Plan or any other plan of the Company. 

	(2)
	Notwithstanding
any other provision of this Plan or an Option Agreement to the contrary, no Option shall be (A) granted under this Plan after ten (10) years from the
date on which this Plan is adopted by the Administrator, or (B) exercisable more than ten (10) years from the date of grant; provided that if an Incentive Stock Option shall be granted
under this Plan to any Employee who, at the time of the grant of such Option, owns stock possessing more than ten percent (10%) of the total combined voting power for all classes of the Company's
capital stock, the foregoing clause (B) shall be deemed modified by substituting the term "five (5) years" for the term "ten (10) years" that appears therein. 

Section 7. Fair Market Value of Common Stock.

        The Fair Market Value of a Share of Common Stock, as of any date, shall be determined as follows: 

	(a)
	If
the Shares of Common Stock are listed on a national or regional securities exchange or traded through NASDAQ/NMS, then the Fair Market Value of a share of Common Stock shall be the
closing price for a share of Common Stock on the exchange or on NASDAQ/NMS, as reported in The Wall Street Journal or such other source as the
Administrator deems reliable on the relevant valuation date, or if there is no trading on that date, on the next trading date.

	(b)
	If
the Shares of Common Stock are traded in the over-the-counter market, then the Fair Market Value of a share of Common Stock shall be the mean of the bid and
asked prices for a share of Common Stock on the relevant valuation date as reported in The Wall Street Journal or other source the Administrator deems
reliable (or, if not so reported, as otherwise reported by the National Association of Securities Dealers Automated Quotations ("NASDAQ") System or the NASD OTC Bulletin Board), or if there is no
trading on such date, on the next trading date.

	(c)
	In
the absence of an established market for the Common Stock, the Fair Market Value of a share of Common Stock shall be determined by the Board in its sole discretion. 

Section 8. Adjustments.

	(a)
	Adjustments. Subject to any required action by the stockholders of the Company, the number of Shares covered by each outstanding
Option, the number of Shares that have been authorized for issuance under the Plan but as to which no Options have yet been granted or that have been returned to the Plan upon cancellation or
expiration of an Option, and the price per Share of the Common Stock covered by an Option will each be proportionately adjusted for any increase or decrease in the number of outstanding shares of
Common Stock resulting from stock splits, reverse stock splits, stock dividends, reclassifications and recapitalizations or automatic conversion of shares of one class of stock to those of another by
operation of the terms of such stock. Such adjustment shall be made by the Administrator whose determination in that respect will be final, binding and conclusive. Except as provided herein, no
issuance by the Company of shares of stock of any class or securities convertible into shares of stock of any class, will affect, and no adjustment 

9

 

by
reason thereof will be made with respect to, the number or price of shares of Common Stock subject to an Option. 

	(b)
	No Fractional Shares. No fractional Shares shall be issuable on account of any action aforesaid, and the aggregate number of Shares
into which Shares then covered by the Option, when changed as the result of such action, shall be reduced to the number of whole Shares resulting from such action, unless the Administrator, in its
sole discretion, shall determine to issue scrip Certificates in respect to any fractional Shares, which scrip Certificates shall be in a form and have such terms and conditions as the Administrator in
its discretion shall prescribe. 

Section 9. Rights as a Stockholder.

        An
Optionee shall have no rights as a stockholder of the Company and shall not have the right to vote nor receive dividends with respect to any Shares subject to an Option until such
Option has been exercised and a stock Certificate with respect to the Shares purchased upon such exercise of the Option has been issued to Optionee as set forth in Section 6(e)(4) and
(5) hereof. 

Section 10. Forfeiture.

        Notwithstanding any other provision of this Plan, (a) if an Optionee's employment with the Company is terminated by the Company pursuant to the cause
termination provisions of an applicable employment agreement, or (b) if the Optionee's employment or consulting relationship with the Company (as the case may be) is terminated and the Board
makes a determination that the Optionee (1) has engaged in any type of disloyalty to the Company, including without limitation, fraud, embezzlement, theft, or dishonesty in the course of
Optionee's employment or consulting relationship, (2) has been convicted of a felony or other crime involving a breach of trust or fiduciary duty owed to the Company, (3) has made an
unauthorized disclosure of trade secrets or confidential information of the Company, or (4) has breached any confidentiality agreement or non-competition agreement with the Company
in any material respect, then, at the election of the Board, all unexercised Options held by the Optionee (whether or not then exercisable) shall terminate. In the event of such an election by the
Board, in addition to immediate termination of all unexercised Options, the Optionee shall forfeit all Shares for which the Company has not yet delivered stock Certificates to the Optionee and the
Company shall refund to the Optionee the exercise price paid to it upon exercise of the Option with respect to such Shares. Notwithstanding anything herein to the contrary, the Company may withhold
delivery of stock Certificates pending the resolution of any inquiry that could lead to a finding resulting in forfeiture. 

Section 11. Time of Granting Options.

        The date of grant of an Option shall, for all purposes, be the date on which the Administrator makes the determination to grant the Option or such other date as
is determined by the Administrator. Notice of the determination shall be given to each Optionee to whom an Option is so granted within a reasonable time after the date of such grant. 

Section 12. Modification, Extension, Renewal of Option.

        Subject
to the terms and conditions of the Plan, the Administrator may modify, extend or renew an Option, or accept the surrender of an Option (to the extent not theretofore exercised);
provided that no Incentive Stock Option may be modified, extended or renewed if such action would cause such Option to cease to be an incentive stock option within the meaning of Section 422 of
the Code. 

10

 

Section 13. Transferability.

        No Option may be sold, pledged, assigned, transferred or disposed of in any manner other than by will or by the laws of descent and distribution. During the
lifetime of the Optionee, his or her Options shall be exercisable by the Optionee. In the event of the Optionee's legal incapacity or Disability, the Option is exercisable by the Optionee's legal
guardian or representative. 

Section 14. Power of Board if Change of Control.

        Notwithstanding anything to the contrary set forth in this Plan, in the event of a Change of Control, the Board shall have the right, in its sole discretion, to
accelerate the vesting of all Options that have not vested as of the date of the Change of Control and/or to establish an earlier date for the expiration of the exercise of an Option (notwithstanding
a later expiration of exercisability set forth in an Option Agreement). In addition, in the event of a Change of Control of the Company, the Board shall have the right, in its sole discretion, subject
to and conditioned upon a Sale of the Company: (a) to arrange for the successor company (or other entity) to assume all of the rights and obligations of the Company under this Plan; or
(b) to terminate this Plan and (i) to pay to all Optionees cash with respect to those Options that are vested as of the date of the Sale of the Company in an amount equal to the
difference between the Option Price and the Fair Market Value of a Share of Common Stock (determined as of the date the Plan is terminated) multiplied by the number of Options that are vested as of
the date of the Sale of the Company which are held by the Optionee as of the date of the Sale of the Company, or (ii) to arrange for the exchange of all Options for options to purchase common
stock in the successor corporation, or (iii) to distribute to each Optionee other property in an amount equal to and in the same form as the Optionee would have received from the successor
corporation if the Optionee had owned the Shares subject to Options that are vested as of the date of the Sale of the Company rather than the Option at the time of the Sale of the Company. The form of
payment or distribution to the Optionee pursuant to this Section shall be determined by the Board in its sole discretion. 

Section 15. Amendment or Termination of the Plan.

        Insofar as permitted by law and the Plan, the Board may at any time suspend, terminate, discontinue, alter or amend the Plan in any respect whatsoever; provided,
however, that without prior approval of at least a majority of the stockholders entitled to vote thereon, no such revision or amendment may increase the aggregate number of Shares for which Options
may be granted hereunder, change the designation of the class of Optionees eligible to receive Options or decrease the price at which Options may be granted. Any other provision of this Section
notwithstanding, the Board specifically is authorized to adopt any amendment to this Plan deemed by the Board to be necessary or advisable to assure that the Incentive Stock Options or the
Non-Qualified Stock Options available under the Plan continue to be treated as such, respectively, under all applicable laws. 

Section 16. Application of Funds.

        The proceeds received by the Company from the sale of Shares pursuant to the exercise of Options shall be used for general corporate purposes. 

Section 17. No Obligation to Exercise Option.

        The
granting of an Option shall impose no obligation upon the Optionee to exercise such Option. 

Section 18. Approval of Stockholders.

        This Plan, and any amendments thereto, shall become effective on the date the Plan or amendment, as applicable, is adopted by the Board; provided that the Plan
shall become limited to a 

11

 

non-qualified stock option plan if, either in the case of the Plan's original adoption or in the case of an amendment increasing the number of shares reserved for award under the Plan or
changing the class of employees eligible for Incentive Stock Options ("material amendment"), the Plan or such material amendment is not approved by the stockholders of a majority of the Company's
outstanding voting stock within one year (365 days) of its adoption by the Board. The Administrator may grant Options hereunder prior to approval of the Plan, or any material amendments
thereto, by the holders of a majority of the Company's outstanding voting stock; provided that any and all Options so granted shall be converted into Non-Qualified Stock Options if the
Plan or material amendment, as applicable, is not approved by such stockholders within 365 days of its adoption. 

Section 19. Conditions Upon Issuance of Shares.

	(a)
	Options
granted under the Plan are conditioned upon the Company obtaining any required permit or order from appropriate governmental agencies, authorizing the Company to issue such
Options and Shares issuable upon the exercise thereof.

	(b)
	Shares
shall not be issued pursuant to the exercise of an Option unless the exercise of such Option and the issuance and delivery of such Shares pursuant thereto shall comply with all
relevant provisions of law, including, without limitation, the Securities Act, the Exchange Act, the rules and regulations
promulgated thereunder, and the requirements of any stock exchange upon which the Shares may then be listed, and shall be further subject to the approval of counsel for the Company with respect to
such compliance.

	(c)
	As
a condition to the exercise of an Option, the Administrator may require the person exercising such Option to execute an agreement with, and/or may require the person exercising
such Option to make any representation and/or warranty to, the Company as may be, in the judgment of counsel to the Company, required under applicable law or regulation, including but not limited to,
a representation and warranty that the Shares are being purchased only for investment and without any present intention to sell or distribute such Shares if, in the opinion of counsel for the Company,
such a representation and warranty is appropriate under any of the aforementioned relevant provisions of law. 

Section 20. Reservation of Shares.

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

	(b)
	The
Company, during the term of this Plan, shall use its best efforts to seek to obtain from appropriate regulatory agencies any requisite authorization in order to issue and sell
such number of Shares as shall be sufficient to satisfy the requirements of the Plan. The inability of the Company to obtain from any such regulatory agency having jurisdiction the requisite
authorization(s) deemed by the Company's counsel to be necessary for the lawful issuance and sale of any Shares hereunder, or the inability of the Company to confirm to its satisfaction that any
issuance and sale of any Shares hereunder will meet applicable legal requirements, shall relieve the Company of any liability in respect to the failure to issue or sell such Shares as to which such
requisite authority shall not have been obtained. 

Section 21. Other Agreements.

        Options
shall be evidenced by an Option Agreement in such form or forms as the Administrator (subject to the terms and conditions of this Plan) may from time to time approve, which
Option Agreement shall evidence and reflect the terms and conditions of an Option as set forth in Section 6 hereof. The Administrator may, from time to time, require such other agreements in
connection with the Option as it, in its sole discretion, deems advisable. The Option Agreement and any other 

12

 

agreement required by the Plan or the Option Agreement, as determined by the Administrator, may contain such other provisions as the Administrator in its discretion deems advisable and that are not
inconsistent with the provisions of this Plan, including, without limitation, restrictions upon or conditions precedent to the exercise of the Option. 

Section 22. Taxes, Fees, Expenses and Withholding.

	(a)
	The
Company shall pay all original issue and transfer taxes (but not income taxes, if any) with respect to the grant of an Option and/or the issue and transfer of Shares pursuant to
the exercise thereof, and all other fees and expenses necessarily incurred by the Company in connection therewith, and will, from time to time, use its best efforts to comply with all laws and
regulations that, in the opinion of counsel for the Company, shall be applicable thereto.

	(b)
	The
granting of Options hereunder and the issuance of Shares pursuant to the exercise thereof is conditioned upon the Company's reservation of the right to withhold in accordance with
any applicable law, from any compensation or other amounts payable to the Optionee, any taxes required to be withheld under federal, state or local law as a result of the grant or exercise of such
Option or the sale of the Shares issued upon exercise thereof. To the extent that compensation or other amounts, if any, payable to the Optionee is insufficient to pay any taxes required to be so
withheld, the Company may, in its sole discretion, require the Optionee (or such other person entitled herein to exercise the Option), as a condition to the exercise of an Option, to pay in cash to
the Company an amount sufficient to cover such tax liability or otherwise to make adequate provision for the Company's satisfaction of its withholding obligations under federal, state and local law. 

Section 23. Notices.

        Any notice to be given to the Company pursuant to the provisions of this Plan shall be addressed to the Company in care of its Secretary (or such other person as
the Company may designate from time to time) at its principal executive office, and any notice to be given to an Optionee shall be delivered personally or addressed to the Optionee at the address
given beneath the signature of the Optionee on his or her Option Agreement, or at such other address as such Optionee or his or her permitted transferee (upon the transfer of the Shares) may hereafter
designate in writing to the Company. Any such notice shall be deemed duly given when enclosed in a properly sealed envelope or wrapper addressed as aforesaid, registered or certified, and deposited,
postage and registry or certification fee prepaid, in a post office or branch post office regularly maintained by the United States Postal Service. It shall be the obligation of each Optionee and each
permitted transferee holding Shares purchased upon exercise of an Option to provide the Secretary of the Company, by letter mailed as provided herein, with written notice of his or her direct mailing
address. 

Section 24. No Enlargement of Employee Rights.

        This Plan is purely voluntary on the part of the Company, and the continuance of the Plan shall not be deemed to constitute a contract between the Company and any
Employee or Consultant, or to be consideration for or a condition of the employment or service of any Employee or Consultant as the case may be. Nothing contained in this Plan shall be deemed to give
any Employee or Consultant the right to be retained in the employ or service of the Company, or to interfere with the right of the Company to discharge or retire any Employee or Consultant thereof at
any time. No Employee or Consultant shall have any right to or interest in Options authorized hereunder prior to the grant thereof to such Employee or Consultant, and upon such grant such Employee
shall have only such rights and interests as are expressly provided herein, subject, however, to all applicable provisions of the Company's Certificate of Incorporation, as the same may be amended
from time to time. 

13

 

Section 25. Information to Optionees.

        The Company, upon request, shall provide without charge to each Optionee copies of such annual and periodic reports as are provided by the Company to its
stockholders generally. 

Section 26. Availability of Plan.

        A copy of this Plan shall be delivered to the Secretary of the Company and shall be shown to any eligible person making reasonable inquiry concerning it. 

Section 27. Invalid Provisions.

        In the event that any provision of this Plan is found to be invalid or otherwise unenforceable under any applicable law, such invalidity or unenforceability shall
not be construed as rendering any other provisions contained herein as invalid or unenforceable, and all such other provisions shall be given full force and effect to the same extent as though the
invalid or unenforceable provision was not contained herein. 

Section 28. Applicable Law.

        This Plan shall be governed by and construed in accordance with the laws of the State of Delaware. 

Section 29. Administrator Action.

        Notwithstanding anything to the contrary set forth in this Plan, any and all actions of the Administrator taken under or in connection with this Plan and any
agreements, instruments, documents, Certificates or other writings entered into, executed, granted, issued and/or delivered pursuant to the terms hereof, shall be subject to and limited by any and all
votes, consents, approvals, waivers or other actions of all or certain stockholders of the Company or other persons required pursuant to (a) the Company's Certificate of Incorporation (as the
same may be amended and/or restated from time to time), (b) the Company's Bylaws (as the same may be amended and/or restated from time to time), and (c) any other agreement, instrument,
document or writing now or hereafter existing, between or among the Company and its stockholders or other persons (as the same may be amended from time to time). 

Section 30. Miscellaneous.

        This Plan is intended to comply with the conditions and requirements for employee benefit plans under Rule 16b-3, as promulgated under
Section 16 of the Exchange Act such that Options granted pursuant to the Plan will be exempted from the provisions of Section 16(b) thereof. To the extent that any provision of the Plan
would cause a conflict with such requirements, such provision shall be deemed null and void to the extent permitted by applicable law. This section shall not be applicable if no class of the Company's
equity securities is then registered pursuant to Section 12 of the Exchange Act. 

14

  

 
 

EXE TECHNOLOGIES, INC.
  1997 INCENTIVE AND NON-QUALIFIED
  STOCK OPTION PLAN    
  

 
  INCENTIVE STOCK OPTION AGREEMENT    
  

        EXE TECHNOLOGIES, INC. (the "Company") hereby grants
to                        (the "Optionee") an option (the "Option") purchase a total
of                        
shares of Common Stock, $.01 par value per share, of the Company ("Common Stock"), at the price and on the terms set forth herein, and in all respects subject to the terms and provisions of the EXE
TECHNOLOGIES, INC. 1997 INCENTIVE AND NON-QUALIFIED STOCK OPTION PLAN (the "Plan") applicable to incentive stock options, which terms and provisions are incorporated herein by
reference. Capitalized terms used but not otherwise defined herein shall have the meanings given to them in the Plan. 

	1.
	Nature of the Option. The Option is intended by the Company and the Optionee to be an incentive stock option within the meaning of
Section 422 of the Code.

	2.
	Date of Grant; Term of Option. The Option is granted this            day
of                        ,            , and it may not be
exercised later than 5:00 p.m. on the            day
of                        ,            .

	3.
	Option Exercise Price. The Option exercise price is $            per Share, which price is the
Fair Market Value per share of the
Common Stock on the date hereof; or $            per share if Optionee, at the time of grant, owns stock possessing more than ten percent (10%) of the current total combined voting power of
all
classes of the Company's capital stock, which price represents a price per Share equal to no less than one hundred ten percent (110%) of the Fair Market Value of the Common Stock on the date the
Option is granted.

	4.
	Exercise of Option. Except as otherwise provided herein, the Option shall be exercisable during its term only in accordance with the
terms and provisions of the Plan and this Option Agreement as follows:

	(a)
	Vesting. Twenty-Five percent of the Option shall vest and become exercisable on the first anniversary of the date of grant.
The remaining 75% of the Option shall vest and become exercisable at a rate of 2.083% of the Option on the last day of each month after the first anniversary of the date of grant, with the number of
shares vesting each month determined by rounding up to the nearest whole number of shares.

	(b)
	Right to Exercise. The Vested Amount of each Option may be exercised at such times and subject to such procedures as the Company may
further provide.

	(c)
	Method of Exercise. The Option shall be exercisable by written notice that shall state the election to exercise the Option, the number
of Shares in respect to which the Option is being exercised and such other representations and agreements as to the Optionee's investment intent with respect to such Shares as may be required by the
Company hereunder or pursuant to the provisions of the Plan. Such written notice shall be signed by the Optionee (or, subject to the approval of the Administrator, a registered securities broker
authorized by the Optionee to exercise the Option pursuant to an executed power of attorney) and shall be delivered in person or by certified mail to the Secretary of the Company or such other person
as may be designated by the Company. The written notice shall be accompanied by payment of the purchase price and any agreements required by the Administrator, the terms of the Plan and/or this Option
Agreement. The Option will be deemed to be exercised upon the receipt by the Company of such written notice, payment of the purchase price, and duly executed copies of any agreements required by the
Administrator, the terms of the Plan and/or this Option Agreement. The Optionee will have no right to vote or receive dividends and will have not other rights as a stockholder with respect to such
Shares notwithstanding the 

15

 

exercise
of the Option, until the issuance (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company) of the stock Certificate
evidencing the Shares that are being issued upon exercise of the Option. The Company will issue (or cause to be issued) such stock Certificates promptly following the exercise of the Option. The
Certificate or Certificates for the Shares as to which the Option shall be exercised shall be registered in the name of the Optionee and shall contain any legend as may be required under the Plan and
any agreements required by the Administrator and/or applicable law. 

	(d)
	Method of Payment. The method of payment of the purchase price shall be determined by the Administrator and may consist entirely of
cash, check, or any combination of such methods of payment, or such other consideration or method of payment as may be authorized by the Administrator and permitted under the Plan.

	(e)
	Restrictions on Exercise. The Option may not be exercised if the issuance of the Shares upon such exercise would constitute a violation
of any applicable federal or state securities laws or other laws or regulations. As a condition to the exercise of the Option, the Company may require the Optionee to make any representations and
warranties to the Company as may be required by any applicable law or regulation. 

	5.
	Investment Representations. Unless the Shares have been registered under the Securities Act, in connection with the grant of the Option,
the Optionee represents and warrants as follows:

	(a)
	The
Optionee is acquiring the Option, and upon exercise of the Option, the Optionee will be acquiring the Shares for investment for his or her own account, not as a nominee or agent,
and not with a view to, or for resale in connection with, any distribution thereof.

	(b)
	The
Optionee is aware of the Company's business affairs and financial condition and has acquired sufficient information about the Company to reach an informed and knowledgeable
decision to acquire the Shares. The Optionee has received all information as the Optionee deems necessary and appropriate to enable him or her to evaluate the financial risk inherent in making an
investment in the Shares and has received satisfactory and complete information concerning the business and financial condition of the Company in response to all inquiries in respect thereof. 

	6.
	Termination of Employment with the Company. Subject to the provisions of Section 8 hereof, upon termination of the Optionee's
employment with the Company for any reason other than death or Disability, the Optionee shall have the right to exercise the Option at any time within the three (3) month period after the date
of such termination to the extent that the Optionee was entitled to exercise the Option at the date of such termination.

	7.
	Death or Disability of Optionee. Upon the death or Disability of the Optionee while in the employ of the Company, the Option may be
exercised at any time within twelve (12) months after the date of death or termination due to Disability, in the case of death, by the Optionee's estate or by a person who acquired the right to
exercise the Option by bequest or inheritance, or, in the case of Disability, by the Optionee or his legal guardian or representative, but in any case only to the extent the Optionee was entitled to
exercise the Option at such date; provided, however, that if such disabled Optionee shall commence any employment or engagement during such twelve (12) month period with or by a competitor of
the Company (including, but not limited to, full or part-time employment or independent consulting work), as determined solely in the judgment of the Administrator, then the Option shall
terminate immediately upon the commencement thereof. To the extent that the Optionee was not entitled to exercise the Option at the date of termination, or to the extent the Option is not exercised
within the time specified herein, the Option shall 

16

 

terminate.
Notwithstanding the foregoing, the Option shall not be exercisable after the expiration of the term set forth in Section 2 hereof. 

	8.
	Forfeiture of Option. Notwithstanding any other provision of the Option Agreement, (a) if the Optionee's employment with the
Company is terminated by the Company pursuant to the cause termination provisions of an applicable employment agreement, or (b) if the Optionee's employment with the Company is terminated and
the Board makes a determination that the Optionee (i) has engaged in any type of disloyalty to the Company, including without limitation, fraud, embezzlement, theft, or dishonesty in the course
of his employment, (ii) has been convicted of a felony or other crime involving a breach of trust or other fiduciary duty owed to the Company, (iii) has disclosed trade secrets or
confidential information of the Company, or (iv) has breached any agreement with the Company in respect of confidentiality, non-disclosure, non-competition or otherwise,
then, at the election of the Board, all unexercised Options shall terminate. In the event of such an election by the Board, in addition to immediate termination of all unexercised Options, the
Optionee shall forfeit all Shares for which the Company has not yet delivered share Certificates to the Optionee and the Company shall refund to the Optionee the Option price paid to the Company with
respect to those Shares. Notwithstanding anything herein to the contrary, the Company may withhold delivery of share Certificates pending the resolution of any inquiry that could lead to a
determination resulting in forfeiture.

	9.
	Non-transferability of Option. The Option may not be sold, pledged, assigned, hypothecated, gifted, transferred or disposed
of in any manner either voluntarily or involuntarily by operation of law, other than by will or by the laws of descent or distribution, and may be exercised during the lifetime of the Optionee only by
such Optionee. Subject to the foregoing and the terms of the Plan, the terms of the Option Agreement shall be binding upon the executors, administrators, heirs, successors and assigns of the Optionee.

	10.
	Continuation of Employment. Neither the Plan nor this Option Agreement shall confer upon any Optionee any right to continue in the
employment of the Company or limit in any respect the right of the Company to discharge or release the Optionee at any time, with or without cause and with or without notice. For purposes of Sections
6, 7 and 8, "Company," when used with reference to the employment of the Optionee, shall mean the Company and any Affiliate, as applicable.

	11.
	Withholding. The Company reserves the right to withhold, in accordance with any applicable laws, from any consideration payable to
Optionee any taxes required to be withheld by federal, state or local law as a result of the grant or exercise of the Option or the sale or other disposition of the Shares issued upon exercise of the
Option. If the amount of any consideration payable to the Optionee is insufficient to pay such taxes or if no consideration is payable to the Optionee, then upon the request of the Company, the
Optionee (or such other person entitled to exercise the Option pursuant to Section 7 hereof) shall pay to the Company an amount sufficient for the Company to satisfy any federal, state or local
tax withholding requirements the Company may incur as a result of the grant or exercise of the Option or the sale or other disposition of the Shares issued upon the exercise of the Option.

	12.
	The Plan. The Option is subject to, and the Company and the Optionee agree to be bound by, all of the terms and conditions of the Plan
as such Plan may be amended from time to time in accordance with the terms thereof. Pursuant to the Plan, the Administrator is authorized to adopt rules and regulations not inconsistent with the Plan
as it shall deem appropriate and proper. A copy of the Plan
in its present form is available for inspection during business hours by the Optionee or the persons entitled to exercise the Option at the Company's principal office.

	13.
	Conversion to Non-Qualified Option. Notwithstanding anything to the contrary set forth herein, this Option is being granted
subject to the condition that in the event the Plan, or any material amendment (as defined in Section 18 of the Plan) is not approved by the stockholders of the 

17

 

Company
within 365 days of the date that the Plan or material amendment, as applicable, was adopted by the Board, this Option shall automatically be converted into a Non-Qualified
Stock Option. In addition, neither the Company nor any member of the Board or Committee shall be liable for any good faith determination, act or failure to act in connection with the Option which
thereafter is determined to have converted the Option into a Non-Qualified Stock Option. 

	14.
	Early Disposition of Stock. Subject to the fulfillment by the Optionee of any conditions upon the disposition of Shares received under
the Option, the Optionee hereby agrees that if he or she disposes of any Shares received under the Option within two (2) years from date of grant or one (1) year after such Shares were
transferred to him or her upon exercise of the Option, he or she will notify the Company in writing within thirty (30) days after the date of such disposition. The Optionee acknowledges that
disposition by him or her within two (2) years from the date of grant and one (1) year from the date of exercise of the Option would disqualify him or her from capital gain treatment for
any gain realized upon such disposition.

	15.
	Entire Agreement. The Option, together with the Plan and the other exhibits attached thereto or hereto, represents the entire agreement
between the parties.

	16.
	Governing Law. This Option shall be construed in accordance with the laws of the State of Delaware, without regard to the application
of the principles of conflicts of laws.

	17.
	Amendment. Subject to the provisions of the Plan, this Option Agreement may only be amended by a writing signed by each of the parties
hereto. 

	Date:	 	 	EXE TECHNOLOGIES, INC.
	 	
	 	 	 
	

 	

 	
 	

By:	

 
	 	 	 	 	

	 	 	 	Title:	 
	 	 	 	 	

18

 
 
 

ACKNOWLEDGMENT    
  

        The Optionee acknowledges receipt of a copy of the Plan, a copy of which is attached hereto, and represents that he or she has read and is familiar with the terms
and provisions thereof, and hereby accepts the Option subject to all of the terms and provisions thereof. The Optionee hereby agrees to accept as binding, conclusive and final all decisions or
interpretations of the Administrator upon any questions arising under the Plan. 

	Date:	 	 	 	 
	 	
	 	
 Signature of Optionee
	

 	

 	
 	

 Name
	

 	

 	
 	

 Address
	

 	

 	
 	

 City, State, Zip

19

  

 
 

EXE TECHNOLOGIES, INC.
  1997 INCENTIVE AND NON-QUALIFIED
  STOCK OPTION PLAN    
  

 
  NON-QUALIFIED STOCK OPTION AGREEMENT    
  

        EXE TECHNOLOGIES, INC. (the "Company") hereby grants
to                        (the "Optionee") an option (the "Option") to purchase a total
of                        
shares of Common Stock, $.01 par value per share, of the Company ("Common Stock"), at the price and on the terms set forth herein, and in all respects subject to the terms and provisions of the EXE
TECHNOLOGIES, INC. 1997 INCENTIVE AND NON-QUALIFIED STOCK OPTION PLAN (the "Plan") applicable to non-qualified stock options, which terms and provisions are incorporated
by reference herein. Unless otherwise defined herein, capitalized terms used but not defined herein shall have the meanings given to them in the Plan. 

	1.
	Nature of the Option. The Option is intended to be a nonstatutory stock option and is  NOT intended to be an incentive stock
option within the meaning of Section 422 of the Code, or to otherwise qualify for any special tax benefits
to the Optionee.

	2.
	Date of Grant; Term of Option. The Option is granted this            day
of                        ,            , and it may not be
exercised later than 5:00 p.m. on the            day of            ,
            .

	3.
	Option Exercise Price. The Option exercise price
is                        ($            ) per Share.

	4.
	Exercise of Option. Except as otherwise provided herein, the Option shall be exercisable during its term only in accordance with the
terms and provisions of the Plan and this Option Agreement as follows:

	(a)
	Vesting. Twenty-Five percent of the Option shall vest and become exercisable on the first anniversary of the date of grant.
The remaining 75% of the Option shall vest and become exercisable at a rate of 2.083% of the Option on the last day of each month after the first anniversary of the date of grant, with the number of
shares vesting each month determined by rounding up to the nearest whole number of shares.

	(b)
	Right to Exercise. The Vested Amount of each Option may be exercised at such times and subject to such procedures as the Company may
further provide.

	(c)
	Method of Exercise. The Option shall be exercisable by written notice that shall state the election to exercise the Option, the number
of Shares in respect to which the Option is being exercised and such other representations and agreements as to the Optionee's investment intent with respect to such Shares as may be required by the
Administrator or pursuant to the provisions of the Plan. Such written notice shall be signed by the Optionee (or, subject to the approval of the Administrator, a registered securities broker
authorized by the Optionee to exercise the Option pursuant to an executed power of attorney) and shall be delivered in person or by certified mail to the Secretary of the Company or such other person
as may be designated by the Company. The written notice shall be accompanied by payment of the purchase price and any agreements required by the Administrator, the terms of the Plan and/or this Option
Agreement. The Option will be deemed to be exercised upon the receipt by the Company of such written notice, payment of the purchase price and duly executed copies of any agreements required by the
Administrator, the terms of the Plan and/or this Option Agreement. The Optionee shall have no right to vote or receive dividends and shall have no other rights as a stockholder with respect to such
Shares, notwithstanding the exercise of the Option, until the issuance by the Company (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the
Company) of the stock Certificate evidencing the Shares that are being issued upon exercise of the Option. The 

20

 

Company
will issue (or cause to be issued) such stock Certificates promptly following the exercise of the Option. The Certificate or Certificates for the Shares as to which the Option shall be
exercised shall be registered in the name of the Optionee and shall contain any legend as may be required under the Plan and any agreements required by the Administrator and/or applicable law. 

	(d)
	Method of Payment. The method of payment of the purchase price shall be determined by the Administrator and may consist entirely of
cash, check, or any combination of such methods of payment, or such other consideration or method of payment as may be authorized by the Administrator and permitted under the Plan.

	(e)
	Restrictions on Exercise. The Option may not be exercised if the issuance of the Shares upon such exercise would constitute a violation
of any applicable federal or state securities laws or other laws or regulations. As a condition to the exercise of the Option, the Company may require the Optionee to make any representations and
warranties to the Company as may be required by any applicable law or regulation. 

	5.
	Investment Representations. Unless the Shares have been registered under the Securities Act, in connection with the acquisition of the
Option, the Optionee represents and warrants as follows:

	(a)
	The
Optionee is acquiring the Option, and upon exercise of the Option, Optionee will be acquiring the Shares for investment for his or her own account, not as a nominee or agent, and
not with a view to, or for resale in connection with, any distribution thereof.

	(b)
	The
Optionee is aware of the Company's business affairs and financial condition and has acquired sufficient information about the Company to reach an informed and knowledgeable
decision to acquire the Shares. The Optionee has received all such information as the Optionee deems necessary and appropriate to enable him or her to evaluate the financial risk inherent in making an
investment in the Shares and has received satisfactory and complete information concerning the business and financial condition of the Company in response to all inquiries in respect thereof. 

	6.
	Termination of Relationship with the Company. Subject to the provisions of Section 8 hereof, upon termination of the Optionee's
employment, consulting or other relationship with the Company (as the case may be) for any reason other than death or Disability, the Optionee shall have the right to exercise this Option up to the
Vested Amount as of the date of termination for a period of three (3) months from the date of such termination, provided that the Optionee may only exercise the Option to the extent that the
Optionee was entitled to exercise the Option at the date of such termination.

	7.
	Death or Disability of Optionee. Upon the death or Disability of the Optionee while in the employ of or engagement by the Company (as
the case may be), the Option may be exercised up to the Vested Amount at any time within twelve (12) months after the date of death or termination due to Disability provided the Optionee was
entitled to exercise the Option at the date of his or her death or termination due to Disability. In the case of death, the Option may be exercised by the Optionee's estate or by a person who acquired
the right to exercise this Option by bequest or inheritance. In the case of Disability, the Option may be exercised by the Optionee or his or her legal guardian or representative, but in any case, the
Option may be exercised only to the extent that the Optionee was entitled to exercise the Option at such date; provided, however, that if such disabled Optionee shall commence any employment or
engagement during such twelve (12) month period with or by a competitor of the Company (including, but not limited to, full or part-time employment or independent consulting work),
as determined solely in the judgment of the Administrator, then the Option shall terminate immediately upon the commencement thereof. To the extent that the Optionee was not entitled to exercise the
Option at the date of termination, or to the extent the Option is not exercised within the time specified herein, the Option shall 

21

 

terminate.
Notwithstanding the foregoing, the Option shall not be exercisable after the expiration of the term set forth in Section 2 hereof. 

	8.
	Forfeiture of Option. Notwithstanding any other provision of this Option Agreement, (a) if an Optionee's employment with the
Company is terminated by the Company pursuant to the cause
termination provisions of an applicable employment agreement, or (b) if the Optionee's employment or consulting relationship with the Company (as the case may be) is terminated and the Board
makes a determination that the Optionee (i) has engaged in any type of disloyalty to the Company, including without limitation, fraud, embezzlement, theft, or dishonesty in the course of his
employment or engagement, (ii) has been convicted of a felony or other crime involving a breach of trust or other fiduciary duty owed to the Company, (iii) has disclosed trade secrets or
confidential information of the Company, or (iv) has breached any agreement with the Company in respect of confidentiality, non-disclosure, non-competition or otherwise,
then, at the election of the Board, all unexercised Options shall terminate. In the event of such an election by the Board, in addition to immediate termination of all unexercised Options, the
Optionee shall forfeit all Shares for which the Company has not yet delivered share Certificates to the Optionee and the Company shall refund to the Optionee the Option price paid to the Company with
respect to those Shares. Notwithstanding anything herein to the contrary, the Company may withhold delivery of share Certificates pending the resolution of any inquiry that could lead to a
determination resulting in forfeiture.

	9.
	Non-transferability of Option. The Option may not be sold, pledged, assigned, hypothecated, gifted, transferred or disposed
of in any manner either voluntarily or involuntarily by operation of law, other than by will or by the laws of descent or distribution, and may be exercised during the lifetime of the Optionee only by
such Optionee. Subject to the foregoing and the terms of the Plan, the terms of this Option Agreement shall be binding upon the executors, administrators, heirs, successors and assigns of the
Optionee.

	10.
	Continuation of Employment or Engagement. Neither the Plan nor this Option Agreement shall confer upon any Optionee any right to
continue in the service of the Company or limit, in any respect, the right of the Company to discharge or release the Optionee at any time, with or without cause and with or without notice. For
purposes of Sections 6, 7, 8 and 10 "Company," when used with reference to the employment or other service of the Optionee, shall mean the Company and any Affiliate, as applicable.

	11.
	Withholding. The Company reserves the right to withhold, in accordance with any applicable laws, from any consideration payable to the
Optionee any taxes required to be withheld by federal, state or local law as a result of the grant or exercise of the Option or the sale or other disposition of the Shares issued upon exercise of the
Option. In addition, in the case of an Option granted to an Optionee who is not subject to the tax laws of the United States, the Optionee shall also be liable, to the extent permitted by applicable
foreign law, for any taxes imposed under foreign law on the Company or Affiliate of the Company as a result of the grant or exercise of the Option or the sale or other disposition of the Shares issued
upon exercise of the Option. If the amount of any consideration payable to the Optionee is insufficient to pay such taxes or if no consideration is payable to the Optionee, then upon the request of
the Company, the Optionee (or such other person entitled to exercise the Option pursuant to Section 7 hereof) shall pay to the Company (a) an amount sufficient for the Company to satisfy
any federal, state or local tax withholding requirements the Company may incur, or (b) an amount equal to any foreign taxes incurred by the Company or Affiliate of the Company, as a result of
the grant or exercise of the Option or the sale or other disposition of the Shares issued upon the exercise of the Option.

	12.
	The Plan. This Option Agreement is subject to, and the Company and the Optionee agree to be bound by, all of the terms and conditions
of the Plan as such Plan may be amended from time to 

22

 

time
in accordance with the terms thereof. Pursuant to the Plan, the Administrator is authorized to adopt rules and regulations not inconsistent with the Plan as it shall deem appropriate and proper.
A copy of the Plan in its present form is available for inspection during business hours by the Optionee or the persons entitled to exercise the Option at the Company's principal office. 

	13.
	Entire Agreement. This Option Agreement, together with the Plan, and any other and the other exhibits attached thereto or hereto,
represents the entire agreement between the parties.

	14.
	Governing Law. This Option Agreement shall be construed in accordance with the laws of the State of Delaware, without regard to the
application of the principles of conflicts of laws.

	15.
	Amendment. Subject to the provisions of the Plan, this Option Agreement may only be amended by a writing signed by each of the parties
hereto. 

	Date:	 	 	EXE TECHNOLOGIES, INC.
	 	
	 	 	 
	

 	

 	
 	

By:	

 
	 	 	 	 	

	 	 	 	Title:	 
	 	 	 	 	

23

 
 
 

ACKNOWLEDGMENT    
  

        The Optionee acknowledges receipt of a copy of the Plan, a copy of which is attached hereto, and represents that he or she has read and is familiar with the terms
and provisions thereof, and hereby accepts the Option subject to all of the terms and provisions thereof. The Optionee hereby agrees to
accept as binding, conclusive and final all decisions or interpretations of the Administrator upon any questions arising under the Plan. 

	Date:	 	 	 	 
	 	
	 	
 Signature of Optionee
	

 	

 	
 	

 Name
	

 	

 	
 	

 Address
	

 	

 	
 	

 City, State, Zip

24

QuickLinks

EXE TECHNOLOGIES, INC. 1997 INCENTIVE AND NON-QUALIFIED STOCK OPTION PLAN

As Amended and Restated February 6, 2001

EXE TECHNOLOGIES, INC. 1997 INCENTIVE AND NON-QUALIFIED STOCK OPTION PLAN

EXE TECHNOLOGIES, INC. 1997 INCENTIVE AND NON-QUALIFIED STOCK OPTION PLAN

INCENTIVE STOCK OPTION AGREEMENT

ACKNOWLEDGMENT

EXE TECHNOLOGIES, INC. 1997 INCENTIVE AND NON-QUALIFIED STOCK OPTION PLAN

NON-QUALIFIED STOCK OPTION AGREEMENT

ACKNOWLEDGMENTQuickLinks
 -- Click here to rapidly navigate through this document
  

EXHIBIT 10.16a  

        OFFICE LEASE  

BLI-8787, LTD., Lessor  

 EXE TECHNOLOGIES, INC., Lessee  

 Dated: November 1, 2001  

25

 
  
 

    OFFICE LEASE    
  

        THIS LEASE, dated effective as of the 1st day of November, 2001, by and between  BLI-8787, LTD.,
 a Texas limited partnership ("Lessor"), and EXE
TECHNOLOGIES, INC., a Delaware corporation ("Lessee"). 

 
 

WITNESSETH:    
  

        That Lessor, in consideration of the rents and covenants hereinafter set forth, does hereby lease and let unto Lessee, and Lessee does hereby hire and take from
Lessor, that certain space designated as Floors 1-8 of Tower I of the office tower ("Office Tower I") known and described as Regal Stemmons Corporate Center, located at 8787 Stemmons
Freeway, Dallas, Texas, and that certain space designated as Floors 1-5 of Tower II of the office tower ("Office Tower II") located at 8777 Stemmons Freeway, Dallas, Texas. The aforesaid
space leased and let unto Lessee is hereinafter referred to as the "Premises"; the land (including all easement areas appurtenant thereto) upon which the building or buildings of which the Premises
are a part is hereinafter referred to as the "Property"; and the Property and all buildings and improvements (including Office Tower I and Office Tower II) and personal property of Lessor used
in connection with the operation or maintenance thereof located therein and thereon and the appurtenant parking facilities, if any, are hereinafter called the "Office Complex." Lessor represents and
warrants to Lessee, to Lessor's actual knowledge, that Office Tower I contains approximately 98,957 square feet of rentable area, Office Tower II contains approximately 96,813 square feet of rentable
area, and the Office Complex contains approximately 195,770 square feet of rentable area. 

        Lessee
hereby accepts this Lease and the Premises upon the covenants and conditions set forth herein and subject to any covenants, conditions, restrictions and other matters (other than
liens) of record and all applicable zoning, municipal, county, state and federal laws, ordinances and regulations governing and regulating the use of the Premises (collectively, the "Applicable
Requirements"). Except as otherwise expressly provided herein (including, without limitation, Lessor's right to use, and grant other third parties the right to use, the roof of the Office Complex),
Lessor shall not have the right, after the date hereof, to voluntarily create additional restrictions against the Premises which materially and adversely affect Lessee's use of the Premises, without
the prior written consent of Lessee, which consent shall not be unreasonably withheld, conditioned or delayed, and which consent shall be deemed given unless written notice of disapproval is given to
Lessor within ten (10) days after written request to Lessee. Lessor represents and warrants to Lessee that use of the Premises for office purposes and associated incidental purposes (including,
without limitation, cafeteria, lunchroom, computer, telecommunications, photocopy, facsimile, filing, secure storage, conference and training facilities) is permitted, or will be permitted on or prior
to the Commencement Date (hereinafter defined), under all Applicable Requirements, subject to Lessee Finish (defined in Section 16.27 hereof) and
obtaining a certificate of occupancy. 

        TO HAVE AND TO HOLD THE SAME, without any liability or obligation on the part of Lessor to make any alterations, improvements or repairs
of any kind on or about the Premises, except as expressly provided herein, for a term of fourteen (14) years and two (2) months, commencing November 1, 2001, unless sooner
terminated in the manner provided hereinafter, to be occupied and used by Lessee for office purposes and for any other lawful purpose consistent with a first class office complex, subject to the
covenants and agreements hereinafter contained. 

26

 
 
 

ARTICLE 1
  BASE RENT    
  

        Section 1.1 Base Rent.    In consideration of the leasing aforesaid, Lessee agrees to pay to Lessor, at 8235 Douglas
Avenue, Suite 200, Dallas, Texas 75225, or at such other place as Lessor from time to time may designate in writing, rent in an amount equal to $14.98 per square foot of rentable area contained within
the Premises per year for years 1 through 5, and $15.23 per square foot of rentable area contained within the Premises per year for years 6 through 10, and $15.48 per square foot of rentable area
contained within the Premises per year for years 11 through 15, sometimes hereinafter referred to as the "Base Rent," payable monthly, in advance, in equal installments of $244,386.22 per month for
years 1 through 5, $248,464.76 per month for years 6 through 10, and $252,543.30 per month for years 11 through 15, commencing on the first day of the first month of the term and continuing on the
first day of each and every month thereafter for the next succeeding months during the balance of the term. If the term commences on a date other than the first day of a calendar month or ends on a
date other than the last day of a calendar month, monthly rent for the first month of the term or the last month of the term, as the case may be, shall be prorated based upon the ratio that the number
of days in the term within such month bears to the total number of days in such month. 

 
 

ARTICLE 2
  ADDITIONAL RENT    
  

        Section 2.1 Additional Rent.    In addition to the Base Rent payable by Lessee under the provisions of Article 1 hereof,
Lessee shall pay to Lessor "Additional Rent" as hereinafter provided for in this Article 2. All sums under this Article and all other sums and charges required to be paid by Lessee under the
Lease (except Base Rent), however denoted, shall be deemed to be "Additional Rent." If any such amounts or charges are not paid at the time provided in the Lease, they shall nevertheless be
collectible as Additional Rent with the next installment of Base Rent falling due. 

        Section 2.2 Definitions.    For the purposes of this Article 2, the parties hereto agree upon the following
definitions: 

	(a)
	"Lease
Year" shall mean each of those calendar years commencing with and including the year during which the term of this Lease commences, and ending with the calendar year during
which the term of this Lease (including any extensions or renewals) terminates.

	(b)
	"Real
Estate Taxes" shall mean and include all personal property taxes of Lessor relating to Lessor's personal property located in the Office Complex and used or useful in connection
with the operation and maintenance thereof, real estate taxes and installments of special assessments, including interest thereon, relating to the Office Complex, and all other governmental charges,
general and special, ordinary and extraordinary, foreseen as well as unforeseen, of any kind and nature whatsoever, or other tax, however described, which is levied or assessed by the United States of
America or the state in which the Office Complex is located or any political subdivision thereof, against Lessor or all or any part of the Office Complex as a result of Lessor's ownership of the
Office Complex, and payable during the respective Lease Year. It shall not include any gross or net income tax, estate tax, or inheritance tax, franchise taxes or taxes imposed as a result of any
transfer by Lessor of its interest in this Lease, the Office Complex or any portion thereof.

	(c)
	"Operating
Expenses" shall mean and include all expenses incurred with respect to the maintenance and operation of the Property and Office Complex including, but not limited to,
insurance premiums, maintenance and repair costs, steam, electricity, water, sewer, gas and other utility charges, fuel, lighting, window washing, janitorial services, trash and rubbish removal,
amounts paid to contractors or subcontractors for work or services performed in 

27

 

connection
with the operation and maintenance of the Property and Office Complex, all costs of uniforms, supplies and materials used in connection with the operation and maintenance of the Property
and Office Complex, all payroll taxes, unemployment insurance costs, vacation allowances, and the cost of providing disability insurance or benefits, pensions, profit sharing benefits,
hospitalization, retirement or other so-called fringe benefits, and any other expense imposed on Lessee and/or Lessor and their contractors or subcontractors, pursuant to law or pursuant
to any collective bargaining agreement covering such employees, all services, supplies, repairs, replacements or other expenses for maintaining and operating the Office Complex, reasonable attorneys'
fees and costs in connection with appeal or contest of real estate or other taxes or levies, and such other expenses as may be ordinarily incurred in the operation and maintenance of an office complex
and not specifically set forth herein. The term "Operating Expenses" shall not include any expenses for repairs to, or maintenance of, the roof or structural components of Office Tower I or Office
Tower II, which items shall be repaired and maintained by Lessor unless such items require repairs and/or maintenance due to the gross negligence or willful misconduct of Lessee (or its contractors,
subcontractors or sublessees), in which case such items shall be repaired at the cost and expense of Lessee. Operating Expenses shall also be deemed to include expenses in connection with city
sidewalks adjacent to the Property and any pedestrian walkway system (either above or below ground) or other public facility to which the Office Complex is from time to time subject in connection with
operations of the Property and Office Complex. 

	(d)
	"Insurance
Premiums" shall mean and include all expenses relating to the insurance required to be maintained by Lessee pursuant to Article 6 hereof. 

        Section 2.3 Estimated Taxes and Insurance Premiums.    As to each Lease Year commencing January 1, 2000, Lessor
shall estimate for each such Lease Year (a) the total amount of Real Estate Taxes; (b) the total amount of Insurance Premiums; and (c) the computation of the annual and monthly
rental payable
during such Lease Year as a result of increases or decreases in Real Estate Taxes and Insurance Premiums. Said estimate shall be in writing and shall be delivered or mailed to Lessee at the Premises. 

        Section 2.4 Payment of Additional Rent.    Lessee shall pay, as Additional Rent, to Lessor (or at Lessor's request, to
Lessor's mortgagee), the amount of Real Estate Taxes for each Lease Year and Insurance Premiums for each Lease Year, so estimated, in equal monthly installments, in advance, on the first day of each
month during each applicable Lease Year. In the event that said estimate is delivered to Lessee after the first day of January of the applicable Lease Year, said amount, so estimated shall be payable
as Additional Rent, in equal monthly installments, in advance, on the first day of each month over the balance of such Lease Year, with the number of installments being equal to the number of full
calendar months remaining in such Lease Year. 

        Section 2.5 Re-estimates of Taxes and Insurance Premiums.    From time to time during any applicable Lease
Year, Lessor may re-estimate the amount of Real Estate Taxes and Insurance Premiums, and in such event Lessor shall notify Lessee, in writing, of such re-estimate in the manner
above set forth and fix monthly installments for the then remaining balance of such Lease Year in an amount sufficient to pay the re-estimated amount over the balance of such Lease Year
after giving credit for payments made by Lessee on the previous estimate. 

        Section 2.6 Adjustment of Actual Taxes and Insurance Premiums.    Upon completion of each Lease Year, Lessor shall
determine the actual amount of Real Estate Taxes and Insurance Premiums for such Lease Year and deliver a written certification of the amounts thereof to Lessee within ninety (90) days after
the end of each Lease Year. If Lessee has paid less than the amount of Real Estate Taxes or Insurance Premiums for any Lease Year, Lessee shall pay the balance of the same within thirty
(30) days after receipt of such statement. If Lessee has paid more than the amount of Real 

28

 

Estate Taxes or Insurance Premiums for any Lease Year, Lessor shall, at Lessee's option, either (a) refund such excess, or (b) credit such excess against the most current monthly
installment or installments due Lessor for Lessor's estimate of Real Estate Taxes and Insurance Premiums for the next following Lease Year. A pro rata adjustment shall be made for a fractional Lease
Year occurring during the term of this Lease or any renewal or extension thereof based upon the number of days of the term of this Lease during said Lease Year as compared to three hundred
sixty-five (365) days and all additional sums payable by Lessee or credits due Lessee as a result of the provisions of this Article 2 shall be adjusted accordingly. 

 Section 2.7 Payment of Impositions.  

	(a)
	Lessee
covenants and agrees to pay during the term of this Lease, as Additional Rent, before any fine, penalty, interest or cost may be added thereto for the nonpayment thereof, all
Operating Expenses, real estate taxes, insurance premiums, special assessments, water rates and charges, sewer rates and charges, including any sum or sums payable for present or future sewer or water
capacity, charges for public utilities, street lighting, excise levies, licenses, permits, inspection fees, other governmental charges, and all other charges or burdens of whatsoever kind and nature
(including but not limited to, any costs or fees incurred by Lessee incidental to the management of the Property and any costs, fees, and expenses of complying with any restrictive covenants or
similar agreements to which the Property are subject) incurred in the use, occupancy, ownership, operation, leasing or possession of the Property, without particularizing by any known name or by
whatever name hereafter called, and whether any of the foregoing be general or special, ordinary or extraordinary, foreseen or unforeseen (all of which are sometimes herein referred to as
"Impositions"), which at any time during the term may have been or may be assessed, levied, confirmed, imposed upon, or become a lien on the Property, or any portion thereof, or any appurtenance
thereto, rents or income therefrom, and such easements or rights as may now or hereafter be appurtenant or appertain to the use of the Property. Lessee shall pay all special (or similar) assessments
for public improvements or benefits which, during the term of this Lease shall be laid, assessed, levied or imposed upon or become payable or become a lien upon the Property, or any portion thereof.
Notwithstanding anything to the contrary herein, however, any Imposition assessed, levied, confirmed, imposed or becoming a lien during the term of this Lease, but relating in whole or in part to any
period outside the term of this Lease, shall be prorated between the parties with Lessee paying only such portion as may be allocable to the term of this Lease; and Lessee shall have the right, to the
extent permitted by applicable law, to pay all such Impositions in installments.

	(b)
	Lessor
and Lessee shall each have the right, at its own expense, to challenge or protest the ad valorem taxes due against the Property within the term of this Lease by retaining the
services of a company that regularly provides such assistance, provided, in any event Lessee will continue to pay such taxes in a timely manner so as to prevent a lien from attaching to the Property
to secure such taxes. 

        Section 2.8 Other Additional Rent.    Further, Lessee shall pay, also as Additional Rent, all other sums and charges
required to be paid by Lessee under this lease, and any tax or excise on rents, gross receipts tax, or other tax, however described, which is levied or assessed by the United States of America or the
state in which the Office Complex is located or any political subdivision thereof, against Lessor in respect to the Base Rent, Additional Rent, or other charges reserved under this Lease or as a
result of Lessor's receipt of such rents or other charges accruing under this Lease; provided, however, Lessee shall have no obligation to pay gross or net income or franchise taxes of Lessor. 

29

 

 
 

ARTICLE 3
  BASE AND ADDITIONAL RENT    
  

        Section 3.1 Interest on Past Due Obligations.    Any installment of Base Rent, Additional Rent, or other charges to be
paid by Lessee accruing under the provisions of this Lease which shall not be paid when due shall bear interest at the rate of fifteen percent (15%) per annum from the date which is ten
(10) days after written notice from Lessor that same is due until the same shall be paid, but if such rate exceeds the maximum interest rate permitted by law, such rate shall be reduced to the
highest rate allowed by law under the circumstances. 

        Section 3.2 Rent Independent.    Lessee's covenants to pay the Base Rent and the Additional Rent are independent of any
other covenant, condition, provision or agreement herein contained, except as otherwise provided herein. Nothing herein contained shall be deemed to suspend or delay the payment of any amount of money
or charge at the time the same becomes due and payable hereunder, or limit any other remedy of Lessor, except as otherwise provided herein. Base Rent and Additional Rent are sometimes collectively
referred to as "Rent." Rent shall be payable without deduction, offset, prior notice or demand, in lawful money of the United States, except as otherwise provided herein. 

        Section 3.3 Net Lease.    Lessor and Lessee do each state and represent that it is the intention of each of them that
this Lease be interpreted and construed as an absolute net lease, and all Base Rent and Additional Rent shall be paid by Lessee to Lessor without abatement, deduction, diminution, deferment,
suspension, reduction or setoff (except as otherwise expressly provided herein), and the obligations of Lessee shall not be affected by reason of damage to or destruction of the Premises from whatever
cause (except as provided in Article 11 hereof); nor shall the obligations of Lessee be affected by reason of any condemnation, eminent domain or
like proceedings (except as provided in Article 12 hereof); nor shall the obligations of Lessee be affected by reason of any other cause whether
similar or dissimilar to the foregoing or by any laws or customs to the contrary. It is the further express intent of Lessor and Lessee that (a) the obligations of Lessor and Lessee hereunder
shall be separate and independent covenants and agreements and that the Base Rent and Additional Rent, and all other charges and sums payable by Lessee hereunder, shall commence at the times provided
herein and shall continue to be payable in all events unless the obligations to pay the same shall be terminated pursuant to an express provision in this Lease; (b) all costs or expenses of
whatsoever character or kind, general or special, ordinary or extraordinary, foreseen or unforeseen, and of every kind and nature whatsoever that may be necessary or required in and about the
Premises, or any portion thereof, and Lessee's possession or authorized use thereof during the term of this Lease, shall be paid by Lessee and all provisions of this Lease are to be interpreted and
construed in light of the intention expressed in this Section 3.3; (c) the Base Rent specified in subsection
1.1 shall be absolutely net to Lessor so that this Lease shall yield net to Lessor the Base Rent specified in subsection 1.1 in
each year during the term of this Lease except as otherwise provided in Section 9.4 hereof (unless extended or renewed at a different Base Rent);
(d) all Impositions, Insurance Premiums, Real Estate Taxes, Operating Expenses, utility expense, repair and maintenance expense, and all other costs, fees, interest, charges, expenses,
reimbursements and obligations of every kind and nature whatsoever relating to the Premises, or any portion thereof, which may arise or become due during the term of this Lease, or any extension or
renewal thereof, shall be paid or discharged by Lessee as Additional Rent, except for such repair and replacement obligations as Lessor bears under Section 9.4  hereof; and (e) Lessee hereby
agrees to indemnify, defend and save Lessor harmless from and against such costs, fees, charges, expenses, reimbursements and obligations,
together with any interest thereon. 

30

 
 
 

ARTICLE 4
  POSSESSION OF PREMISES    
  

        Section 4.1 Not Applicable.  

        Section 4.2 Effect of Possession.    Lessee acknowledges that neither Lessor nor any agent of Lessor has made any representation or
warranty with
respect to the Premises or the Office Complex or with respect to the suitability or fitness of either for the conduct of Lessee's business or for any other purpose other than that the Premises may be
used lawfully for office purposes and that, to Lessor's actual knowledge, the Premises, the Property and the Office Complex are in substantial compliance with all applicable laws, including
environmental laws, building and fire codes, and the Americans with Disabilities Act. Nothing contained in this Article shall affect the commencement of the lease term or the obligation of Lessee to
pay any Rent due under this Lease except as otherwise provided herein. 

        Section 4.3 Permitted Use.    Lessee shall use and occupy the Premises for the purpose described on page 1 of this Lease
and shall not use or permit the Premises to be used for any other purpose without the prior written consent of Lessor, which consent Lessee agrees may be withheld by Lessor in its sole and absolute
discretion. 

        Section 4.4 Compliance With Environmental Laws.    Lessee shall not (either with or without negligence) cause or permit
the escape, disposal or release of any biologically or chemically active or other hazardous substances or materials in violation of any applicable law, including any environmental law. Lessee shall
not allow the storage or use of such substances or materials in any manner not permitted by all applicable laws, including environmental laws and by the standards prevailing in the industry for the
storage and use of such substances or materials, nor allow to be brought into the Office Complex any such materials or substances except to use in the ordinary course of Lessee's business, and then
only after written notice is given to Lessor of the identity of such substances or materials. Without limitation, hazardous substances and material shall include those described in the Comprehensive
Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. Section 9601 et seq., the Resource Conservation and Recovery Act, as amended, 42 U.S.C. Section 6901
et seq., any applicable state or local laws and the regulations adopted under these acts. If any lender or governmental agency shall ever require testing to ascertain whether or not there has been any
release of hazardous materials by Lessee, then the reasonable costs thereof shall be reimbursed by Lessee to Lessor upon demand as additional charges if such requirement applies to the Premises. In
addition, Lessee shall execute affidavits, representations and the like from time to time at Lessor's request concerning Lessee's best knowledge and belief regarding the presence of hazardous
substances or materials on the Premises. In all events, Lessee shall indemnify Lessor in the manner elsewhere provided in this Lease from any release of hazardous materials on the Premises occurring
while Lessee is in possession, or elsewhere if caused by Lessee or persons acting under Lessee. The within covenants shall survive the expiration or earlier termination of the term of this Lease.
Lessor represents and warrants to Lessee that, to Lessor's actual knowledge, the Premises and the Office Complex are in compliance with all environmental laws and that, to Lessor's actual knowledge,
except as otherwise disclosed in an environmental report dated December 8, 1997, from Spectrum Assessment and Engineering, Inc., a copy of which has been provided to Lessee, no hazardous
materials have been
stored, used or released on the Office Complex as of the date of execution of this Lease. Lessor shall indemnify Lessee from any release of hazardous materials on the Premises occurring prior to
Lessee's possession of the Premises. 

31

 

 
 

ARTICLE 5
  SERVICES    
  

Section 5.1 Services Provided by Lessee.  

        Lessee shall pay for and provide the following minimum services: 

	(a)
	Janitorial Service. Nightly janitorial services Monday through Friday in and about the Premises. The janitorial services furnished to
the Premises shall include normal cleaning and upkeep services, normal removal of trash and rubbish, vacuuming and spot cleaning of carpeting, maintenance of towels, tissue and other restroom supplies
and such other work as is customarily performed in connection with such nightly janitorial services in an office complex similar in construction, general location, use and occupancy to the Office
Complex. Lessee shall also provide periodic interior and exterior window washing and cleaning and waxing of uncarpeted floors in accordance with Lessor's reasonable schedule.

	(b)
	Electrical Energy. Electrical energy will be provided for lighting and operation of office machines, air conditioning, and heating as
required for normal office usage during the normal working hours set forth in subparagraph (c) of this Article. The cost for such electrical energy and any additional usage shall be directly
metered and be payable by Lessee. Office machines will include computers, printers, copy machines, scanners, fax machines, electronic and electric typewriters and other office equipment. Lessee shall
pay the cost of all equipment and of the installation of all facilities provided and installed to provide such electrical capacity. Lessee shall not make any installation requiring excess electrical
energy without first receiving Lessor's written consent thereto, which shall not be unreasonably withheld; and provided further that Lessee shall pay all costs of installation of facilities necessary
to furnish such excess capacity and for such increased electrical usage. All electric lighting bulbs and tubes and all ballasts and starters within the Premises shall be replaced by Lessee at the
expense of Lessee.

	(c)
	Heating and Air Conditioning. Heat and air conditioning for normal comfort from 8:00 a.m. to 5:30 p.m., and on Saturdays
which are not holidays, from 8:00 a.m. to 1:00 p.m. The cost for such heat and air conditioning and any additional usage shall be directly metered and be payable by Lessee. Air
conditioning to the Premises is to be provided based on standard lighting and normal incidental office use only.

	(d)
	Water. Hot and cold water from the regular building outlets and/or as installed by Lessee at Lessee's cost, for lavatory and restrooms
and for drinking purposes.

	(e)
	Passenger Elevator Service. Passenger elevator service in common with other tenants to be provided by automatic elevators
twenty-four (24) hours per day. Lessor shall have the right to restrict the use of elevators for freight purposes to the freight elevator and to hours to be determined by Lessor.
Lessor shall have the right to limit the number of elevators to be in operation on Saturdays, Sundays and holidays.

	(f)
	Parking Facilities, Landscaped Areas and Common Areas. Maintenance in good order, condition and repair of the parking facilities and
all driveways leading thereto and keeping the same free from any unreasonable accumulation of snow. Lessee shall keep and maintain the Office Complex and landscaped area and parking facilities and all
common areas in a neat and orderly condition, and in first class condition and repair. Lessee shall promptly remove or cause to be removed any unauthorized vehicles from the parking facilities. Lessor
reserves the right to designate areas of the appurtenant parking facilities where Lessee, its agents, employees and invitees shall park and may exclude Lessee, its agents, employees and invitees from
parking in other areas as designated by Lessor, provided, however, Lessor shall not be 

32

 

liable
to Lessee for the failure of any tenant, its invitees, employees, agents, and customers to abide by Lessor's designations or restrictions. 

	(g)
	Security. Security service for the Office Complex 24 hours per day, which shall include, without limitation, at least one
(1) uniformed security guard on patrol and existing lighting of the common areas, parking facilities and all other portions of the Office Complex. Lessee shall restrict access to the Office
Complex to tenants, Lessor (in accordance with the terms hereof) and other authorized individuals after normal business hours and on weekends and holidays. Notwithstanding the foregoing, Lessee shall
have access to the Premises twenty-four (24) hours per day, seven (7) days per week. Lessee shall be entitled to provide additional security guard service to the Office
Complex and/or the Premises at Lessee's option and expense subject to Lessor's approval, which approval shall not be unreasonably withheld, conditioned or delayed.

	(h)
	Access. Access to the Office Complex and Premises at all times. 

        Lessee
shall have the right to change the type and level of the foregoing services so long as the same comply with applicable law and standards generally applicable to first class office
space. 

        Section 5.2 Lessee's Utility Services.    Lessee shall be solely responsible for the direct payment of all utilities
which are separately metered or separately charged (electric, natural gas, telephone, cable television and any other utility requirements of Lessee), if any, to the Premises or to the Lessee and shall
make such payments to the respective utility companies prior to delinquency. 

        Section 5.3 Other Provisions Relating to Services.    No interruption in, or temporary stoppage of, any of the aforesaid
services caused by repairs, renewals, improvements, alterations, strikes, lockouts, labor controversy, accidents, inability to obtain fuel or supplies, or other causes shall be deemed an eviction or
disturbance of Lessee's use and possession, or render Lessor liable for damages, by abatement of rent or otherwise or relieve Lessee from any obligation herein set forth. 

        Section 5.4 Effects on Utilities.    Lessee shall not, without the prior written consent of Lessor, which consent shall
not be unreasonably withheld, conditioned or delayed, use any apparatus or device in or about the Premises which shall cause any substantial noise or vibration or which will increase the amount of
electricity or water, if any, usually furnished or supplied for use of the Premises as general office space. Lessee shall not connect with electric current or water pipes, except through existing
electrical or water outlets already in the Premises, any apparatus or device for the purposes of using electric current or water. 

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ARTICLE 6
  INSURANCE    
  

        Section 6.1 Lessee's Casualty Insurance Obligations.

	(a)
	Lessee
shall pay for, and reimburse Lessor for, the cost of insurance insuring the Office Complex for the benefit of Lessor (and its mortgagee) in an amount equivalent to the full
replacement value thereof (excluding foundation, grading and excavation costs) (together with rental income insurance) against:

	(i)
	loss
or damage by fire; and

	(ii)
	such
other risk or risks of a similar or dissimilar nature as are now or may be customarily covered with respect to buildings and improvements similar in construction, general
location, use, occupancy and design to the Office Complex, including, but without limiting the generality of the foregoing, windstorms, hail, explosion, vandalism, malicious mischief, civil commotion,
and such other coverage as may be deemed necessary by Lessor, providing such additional coverage is obtainable and providing such additional coverage is such as is customarily carried with respect to
buildings and improvements similar in construction, general location, use, occupancy and design to the Office Complex. 

        These
insurance provisions shall in no way limit or modify any of the obligations of Lessee under any provision of this Lease Agreement. Lessor and Lessee agree that such policy or
policies of insurance shall permit releases of liability as provided herein and/or waiver of subrogation clause as to Lessee and Lessor respectively, and Lessor and Lessee each waive, release and
discharge the other from all claims or demands whatsoever which such party may have or acquire arising out of damage to or destruction of the Office Complex or loss of use thereof occasioned by fire
or other casualty, WHETHER SUCH CLAIM OR DEMAND MAY ARISE BECAUSE OF THE NEGLIGENCE OR FAULT OF LESSEE, LESSOR OR THEIR AGENTS, EMPLOYEES, CUSTOMERS, CONTRACTORS OR BUSINESS INVITEES, OR OTHERWISE,
and Lessor and Lessee each agree to look to the insurance coverage only in the event of such loss. 

	(b)
	Lessee
shall keep all of its machinery, equipment, furniture, fixtures and personal property (including also property under the care, custody, or control of Lessee) which may be
located in, upon,
or about the Premises insured for the benefit of Lessee in an amount equivalent to the full insurable value thereof against:

	(i)
	loss
or damage by fire; and

	(ii)
	such
other risk or risks of a similar or dissimilar nature as are now, or may in the future be customarily covered with respect to a tenant's machinery, equipment, furniture,
fixtures, personal property and business located in a building similar in construction, general location, use, occupancy and design to the Office Complex, including, but without limiting the
generality of the foregoing, windstorms, hail, explosions, vandalism, theft, malicious mischief, civil commotion, and such other coverage as Lessee may deem appropriate or necessary. 

        Lessee
agrees that such policy or policies of insurance shall permit release of liability as provided herein and/or waiver of subrogation clause as to Lessor and Lessee waives, releases
and discharges Lessor, its agents, employees, and contractors from all claims or demands whatsoever which Lessee may have or acquire arising out of damage to or destruction of the machinery,
equipment, furniture, fixtures, personal property, and loss of use thereof occasioned by fire or other casualty, whether such claim or demand may arise because of the negligence or fault of Lessor,
its agents, employees, contractors or otherwise, and Lessee agrees to look to the insurance coverage only in the event of such 

34

 

loss. Lessee shall also provide, at Lessee's sole expense, any additional insurance required by Lessor's mortgagee including that insurance described on Exhibit "D" attached hereto. 

        Section 6.2 Lessee's Liability Insurance Obligations.    Lessee shall pay for, and reimburse Lessor for, the cost of
general public liability insurance against claims for personal injury, death or property damage occurring upon, in or about the Premises and/or Office Complex (for the benefit of Lessor (and its
mortgagee)), such insurance to afford protection to Lessor (and its mortgagee) and Lessee to the limit of not less than Two Million and No/100 Dollars ($2,000,000.00) in respect to injury or death to
a single person, and to the limit of not less than Five Million and No/100 Dollars ($5,000,000.00) in respect to any one accident, and to the limit of not less than Two Million and No/100 Dollars
($2,000,000.00) in respect to any property damage. Lessee shall provide Lessor with evidence that it has satisfied its insurance obligations hereunder upon request therefor. 

        Section 6.3 Insurance Provisions.    All policies of insurance required by  Section 6.1(a) shall provide that the proceeds thereof shall be payable to Lessor and if Lessor so requests shall also be payable to the holder
of any mortgages now or hereafter becoming a lien on the fee of the Premises, or any portion thereof, as the interest of such holder appears pursuant to a standard named insured or mortgagee clause.
Each policy required under this Article 6 shall have attached thereto (a) an endorsement that such policy shall not be canceled or
materially changed without at least thirty (30) days prior written notice to Lessor and Lessor's mortgagee, (b) an endorsement to the effect that the insurance as to the interest of
Lessor shall not be invalidated by any act or neglect of Lessor or Lessee, and (c) an endorsement acknowledging the above waivers of subrogation. Such certificates of insurance shall be in
a form reasonably acceptable to Lessor, shall be delivered to Lessor upon commencement of the term and prior to expiration of such policy, new certificates of insurance, shall be delivered to Lessor
not less than twenty (20) days prior to the expiration of the then current policy term. Such policies of insurance shall be written in companies reasonably satisfactory to Lessor, with
deductibles and other terms reasonably acceptable to Lessor, naming Lessor and its mortgagee as additional insureds thereunder, and such policies, or a memorandum or certificate of such insurance,
shall be delivered to Lessor endorsed "Premium Paid" by the company or agency issuing the same or accompanied by other evidence satisfactory to Lessor that the premium thereon has been paid. Any such
coverage shall be deemed primary to any liability coverage secured by Lessor. Such insurance shall also afford coverage for all claims based upon acts, omissions, injury or damage, which claims
occurred or arose (or the onset of which occurred or arose) in whole or in part during the policy period. 

        Section 6.4 Indemnification.    Lessor agrees to indemnify, protect, defend and hold Lessee and Lessee's shareholders,
employees, lender and agents harmless from and against any and all uninsured claims, costs, liabilities, actions and damages, including without limitation, reasonable attorneys' fees and costs on
behalf of any person or persons, firm or firms, corporation or corporations, arising from any accident, injury or damage to the extent that same occurred prior to May 21, 1998, and from and
against all costs, reasonable counsel fees, expenses and liabilities in or about any such uninsured claim or action or proceeding brought thereon; and in case any action or proceeding be brought
against Lessee or its agents by reason of any such uninsured claim, Lessor, upon notice from Lessee, covenants to resist or defend such action or proceeding by counsel reasonably satisfactory to
Lessee. 

        Lessee
agrees to indemnify, protect, defend and hold Lessor and Lessor's shareholders, employees, lender and managing agent harmless from and against any and all uninsured claims, costs,
liabilities, actions, and damages, including, without limitation, reasonable attorneys' fees and costs on behalf of any person or persons, firm or firms, corporation or corporations, arising from any
act or negligence on the part of Lessee or its agents, contractors, servants, employees or licensees, or arising from any accident, injury or damage to the extent caused by Lessee, its agents, and
employees to any person, firm or corporation occurring on or after May 21, 1998 and during the term of this Lease or any predecessor thereto or renewal thereof, in or about the Premises and
Office Complex, and from and 

35

 

against all costs, reasonable counsel fees, expenses and liabilities incurred in or about any such claim or action or proceeding brought thereon; and in case any action or proceeding be brought
against Lessor or its managing agent by reason of any such claim, Lessee, upon notice from Lessor, covenants to resist or defend such action or proceeding by counsel reasonably satisfactory to Lessor. 

        Section 6.5 Lessee's Waiver.    Lessee agrees, to the extent not expressly prohibited by law, that Lessor, its agents,
employees and servants shall not be liable, and Lessee waives all claims for damage to property and business sustained during the term of this Lease by Lessee occurring in or about the Office Complex,
resulting directly or indirectly from any existing or future condition, defect, matter or thing in the Premises, the Office Complex, or any part thereof, or from equipment or appurtenances becoming
out of repair or from accident, or from any occurrence or act or omission of Lessor, its agents, employees or servants, or any tenant or occupant of the Office Complex or any other person, other than
damage resulting from the intentional misconduct or gross negligence of Lessor, its agents, employees or servants, or the breach by Lessor of its obligations under this Lease. This paragraph shall
apply especially but not exclusively, to damage caused by aforesaid or by the flooding of basements or
other subsurface areas, or by refrigerators, sprinkling devices, air conditioning apparatus, water, snow, frost, steam, excessive heat or cold, falling plaster, broken glass, sewage, gas, odors or
noise, or the bursting or leaking of pipes or plumbing fixtures, and shall apply equally, whether any such damage results from the act or omission of other tenants or occupants in the Office Complex
or any other persons, and whether such damage be caused by or result from any of the aforesaid, or shall be caused by or result from other circumstances of a similar or dissimilar nature. 

        Section 6.6 Insurance Deductible.    Provisions herein to the contrary notwithstanding, in the event any damage to the
Office Complex results solely from the gross negligence or willful misconduct of Lessee, its agents, employees or invitees, and all or any portion of such loss is "deductible under an applicable
insurance policy," Lessee shall be responsible for the amount of such deductible loss. 

        Section 6.7 Lessee's Property.    All property in the Office Complex or on the Premises belonging to Lessee, its agents,
employees, invitees or otherwise located at the Premises, shall be at the risk of Lessee only, and Lessor shall not be liable for damage thereto or theft, misappropriation or loss thereof unless
caused solely by the gross negligence or willful misconduct of Lessor and Lessee agrees to defend and hold Lessor, its agents, employees and servants harmless and indemnify them against claims and
liability for injuries to such property. 

        Section 6.8 Increase in Insurance.    Lessee shall not do or permit anything to be done in or about the Premises nor
bring or keep anything therein which will in any way increase the existing rate of or affect in any other way any fire or other insurance upon the Office Complex or any of its contents, or cause a
cancellation of any insurance policy covering the Office Complex or any of its contents. Notwithstanding anything to the contrary contained herein, Lessee shall promptly pay the full amount of any
additional premium charged for such policy by reason of Lessee's failure to comply with the provisions of this Article 6. 

        Section 6.9 Lessee's Failure to Insure.    In the event Lessee fails to provide Lessor with evidence of insurance
required under this Article 6, Lessor may, but shall not be obligated to, without further demand upon Lessee, and without waiving or releasing Lessee from any obligation contained in this
Lease, effect such insurance and Lessee agrees to repay, upon demand, all such sums incurred by Lessor in effecting such insurance. All such sums shall become a part of the Additional Rent payable
hereunder, but no such payment by Lessor shall relieve Lessee from any default under this Lease. 

36

 

 
 

ARTICLE 7
  CERTAIN RIGHTS RESERVED BY LESSOR    
  

        Section 7.1 Rights Reserved by Lessor.    Lessor reserves the following rights exercisable without notice and without
liability to Lessee and without effecting an eviction, constructive or actual, or disturbance of Lessee's use or possession, or giving rise to any claim for setoff or abatement of rent: 

	(a)
	Control Signage. To control, install, affix and maintain any and all signs on the Property, or on the exterior of the Office Complex
and in the corridors, entrances and other common areas thereof, except those signs within the Premises not visible from outside the Premises, subject to applicable law. Notwithstanding anything to the
contrary contained herein, subject to Article 8, the Building Rules and Regulations (attached hereto as Exhibit "A") and compliance with
applicable laws and ordinances, Lessee may, at its sole expense, install one (1) sign on each office tower of the Office Complex in a location and or a design that is mutually acceptable to
Lessor and Lessee, such signage to be substantially similar to the design attached hereto as Exhibit "B".

	(b)
	Retain Keys. To retain at all times and to use in appropriate instances keys to all doors within and into the Premises. No locks shall
be changed without the prior written consent of Lessor. This provision shall not apply to Lessee's safes, or other areas maintained by Lessee for the safety and security of monies, securities,
negotiable instruments or similar items, or proprietary or confidential information.

	(c)
	Make Repairs. At Lessor's expense (except as provided in Section 7.4 hereof), to
make repairs, alterations, additions, or improvements, whether structural or otherwise, in and about the Office Complex, or any part thereof, and for such purposes to enter upon the Premises, and
during the continuation of any of said work, to temporarily close doors, entryways, public spaces, and corridors in the Office Complex and to interrupt or temporarily suspend services and facilities.

	(d)
	Regulate Heavy Equipment. To approve the weight, size and location of safes and other heavy equipment and articles in and about the
Premises and the Office Complex, such approval not to be unreasonably withheld, conditioned or delayed, and to require all such items to be moved into and out of the Office Complex and the Premises
only in such manner as Lessor shall reasonably direct in writing. 

        Section 7.2 Emergency Entry.    Lessor and its agents may enter the Premises at any time in case of emergency and shall
have the right to use any and all means which Lessor may deem proper to open such doors during an emergency in order to obtain entry to the Premises. Any entry to the Premises obtained by Lessor in
the event of an emergency shall not, under any circumstances, be construed or deemed to be a forcible or unlawful entry into, or detainer of, the Premises, or to be an eviction of Lessee from the
Premises or any portion thereof. 

        Section 7.3 Exhibition of Premises.    Lessee shall permit Lessor and its agents, upon at least twenty-four
(24) hours prior notice, to enter and pass through the Premises or any part thereof at reasonable times during normal business hours to: (a) post notices of nonresponsibility;
(b) exhibit the Premises to holders of encumbrances on the interest of Lessor under the Lease and to prospective purchasers, mortgagees
or lessees of the Office Complex; and (c) during the period of six (6) months prior to the expiration of the Lease Term, exhibit the Premises to prospective lessees thereof, provided, in
each case, that Lessor shall not unreasonably interfere with Lessee's use and occupancy of the Premises. If during the last month of the Lease Term, Lessee shall have removed substantially all of
Lessee's property and personnel from the Premises, Lessor may, with the prior written consent of Lessee, which consent may not be unreasonably withheld or delayed, enter the Premises and repair, 

37

 

alter, and redecorate the same, without abatement of Rent and without liability to Lessee; and such acts shall have no effect on this Lease. 

        Section 7.4 Right of Lessor to Perform.    All covenants and agreements to be performed by Lessee under any of the terms
of this Lease shall be performed by Lessee at Lessee's sole cost and expense and without any abatement of Rent, except as otherwise provided herein. If Lessee shall fail to pay any sum of money (other
than Rent due Lessor) required to be paid by it hereunder or shall fail to perform any other act on its part to be performed hereunder, including, but not limited to, the failure to commence and
complete repairs promptly and adequately, and the failure to remove any liens or otherwise to perform any act or fulfill any obligation required of Lessee under this Lease within any applicable notice
and cure periods provided herein, Lessor may, but shall not be obligated to do so, and without waiving or releasing Lessee from any obligations of Lessee, make any such payment or perform any such act
on Lessee's part to be made or performed as in this Lease provided. All sums so paid by Lessor and all necessary incidental costs, together with an administrative charge in the amount of five percent
(5%) of any costs incurred by Lessor, and interest thereon at the maximum rate per annum then permitted by law accruing from the date which is ten (10) days following Lessee's receipt of
written notice that same has been paid or incurred by Lessor until reimbursed to Lessor by Lessee, shall be payable to Lessor by Lessee as Rent within thirty (30) days following Lessee's
receipt of written demand and Lessee covenants to pay all such sums. Lessor shall have (in addition to any other right or remedy of Lessor) the same rights and remedies in the event of Lessee's
nonpayment of such sums, as in the case of default by Lessee in the payment of Rent to Lessor. 

 
 

ARTICLE 8
  ALTERATIONS AND IMPROVEMENTS    
  

        Section 8.1 Procedures for Lessee's Improvements.    Except as provided in  Section 16.27 hereof, Lessee shall not make any improvements, alterations, additions or installations in or to the Premises (hereinafter referred
to as the "Work") without Lessor's prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed; provided, Lessor may withhold its consent, in its sole discretion,
to any structural alterations, exterior alterations or other alterations that are visible within the common areas of the Office Complex ("Major Alterations"). Before commencement of the Work or
delivery of any materials to be used in the Work to the Premises or into the Office Complex, Lessee shall furnish Lessor with plans and specifications, names and addresses of contractors, copies of
contracts, necessary permits and licenses, and an indemnification in such form and amount as may be reasonably satisfactory to Lessor. Lessee agrees to defend and hold Lessor forever harmless from any
and all claims and liabilities of any kind and description which may arise out of or be connected in any way with said improvements, alterations, additions or installations. All Work shall be done
only by contractors or mechanics reasonably approved by Lessor and at such time and in such manner as Lessor may from time to time reasonably designate. All work done by Lessee, its agents, employees,
or contractors shall be done in such a manner as to avoid labor disputes. Lessee shall pay the cost of all such improvements, alterations, additions or installations (including a reasonable charge for
Lessor's services and for Lessor's inspection and engineering time), and also the cost of painting, restoring, or repairing the Premises and the Office Complex occasioned by such improvements,
alterations, additions or installations. Upon completion of the Work, Lessee shall furnish Lessor with contractor's affidavits or unconditional lien releases and full and final waivers of liens, and
receipted bills covering all labor and materials expended and used. The Work shall comply with all insurance requirements and all laws, ordinances, rules and regulations of all governmental
authorities and shall be constructed in a good and workmanlike manner. Lessee shall permit Lessor to inspect construction operations in connection with the Work. Lessee shall not be allowed to make
any alterations, modifications, improvements, additions, or installations if such action results or would result in a labor dispute or otherwise would materially interfere with Lessor's operation of
the Office Complex. Lessor, by written notice to Lessee given at or 

38

 

prior to termination of this Lease, may require Lessee to remove any improvements, additions or installation installed by Lessee in the Premises at Lessee's sole cost and expense, and repair or
restore any damage caused by the installation and removal of such improvements, additions, or installations; provided, however, the only improvements, additions or installations which Lessee shall
remove shall be those specified in such notice. With respect to approval rights granted to Lessor in this Article 8 for other than Major Alterations, Lessor's approval shall be deemed given
following the expiration of thirty (30) days after Lessee delivers to Lessor in writing plans and specifications for the item or items for which Lessor's approval is sought if Lessor has not
sooner disapproved same. 

        Section 8.2 Freedom From Liens.    Lessee shall keep the Premises and the Office Complex free from any liens arising out
of any work performed, material furnished or obligations incurred by Lessee, and shall indemnify, protect, defend and hold Lessor harmless from any liens and encumbrances arising out of any work
performed or material furnished by or at the direction of Lessee. In the event that Lessee shall not, within thirty (30) days following the imposition of any such lien, cause such lien to be
released of record by payment or posting of a proper bond, Lessor shall have, in addition to all other remedies provided herein and by law, the right, but not the obligation, to cause the same to be
released by such means as it shall deem proper, including payment of and/or defense against the claim giving rise to such lien. All such sums paid by Lessor and all expenses incurred by it in
connection therewith, including attorneys' fees and costs, shall be payable as Additional Rent to Lessor by Lessee on demand with interest at the maximum rate per annum then permitted by law accruing
from the date which is five (5) days following Lessee's receipt of written notice that same has been paid or incurred by Lessor until reimbursed to Lessor by Lessee. 

        Section 8.3 Alterations a Part of the Premises.    Any permanent additions to, or alterations of, the Premises, except as
specified in Lessor's notice to Lessee, shall become at once a part of the Premises and belong to Lessor without compensation to Lessee. The foregoing shall not be applicable to removable equipment,
trade fixtures, shelving, filing, computers, telecommunications equipment, cabling, secretarial stations, cubicles, carrels, movable partitions, kitchen equipment, attached modular furniture or
Lessee's personal property, which Lessee shall remove, and upon removal shall repair any damage to the Premises due to such removal. 

 
 

ARTICLE 9
  REPAIRS    
  

        Section 9.1 Lessee's Repair Obligations.    Lessee shall, during the term of this Lease, at Lessee's expense, keep the
Premises and Office Complex (including, without limitation, all exterior facilities, parking facilities and common areas) in as good order, condition and repair as they were at the time Lessee took
possession of the same, reasonable wear and tear excepted and repairs required of Lessor pursuant to Section 9.4 hereof also excepted. Lessee shall keep the Premises and Office Complex
(including, without limitation, all exterior facilities, parking facilities and common areas) in a neat and sanitary condition and shall not commit any nuisance or waste on the Premises or in, on, or
about the office complex, throw improper substances in the plumbing facilities, or waste any of the utilities furnished by the Lessor. All uninsured damage or injury to the Premises, or to the Office
Complex caused by Lessee moving furniture, fixtures, equipment, or other devices in or out of the Premises or Office Complex or by installation or removal of furniture, fixtures, equipment, devices or
other property of Lessee, its agents, contractors, servants or employees, due to carelessness, omission, neglect, improper conduct, or other cause of Lessee, its servants, employees, agents, visitors,
or licensees, shall be repaired, restored and replaced promptly by Lessee at its sole cost and expense. All repairs, restorations and replacements shall be in quality and class equal to the original
work and shall comply with all requirements of the Lease. 

39

 

        Section 9.2 Lessor's Inspection.    Lessor or its employees, or agents, shall have the right to enter the Premises
following at least twelve (12) hours prior notice thereof to Lessee (except that no prior notice to Lessee shall be required in the event of an emergency) at any reasonable time or times for
the purpose of inspection, cleaning, repairs, altering, or improving the same but nothing contained herein shall be construed as imposing any obligation on Lessor to make any repairs, alterations or
improvements which are the obligation of Lessee; provided, however, that Lessor shall not unreasonably interfere with Lessee's use and occupancy of the Premises. 

        Section 9.3 Joint Inspection Upon Vacation.    Lessee shall give written notice to Lessor at least thirty
(30) days prior to vacating the Premises for the express purpose of arranging a meeting with Lessor for a joint inspection of the Premises. In the event of Lessee's failure to give such notice
and arrange such joint inspection, Lessor's inspection at or after Lessee's vacation of the Premises shall be conclusively deemed correct for purposes of determining Lessee's responsibility for
repairs and restoration hereunder. 

        Section 9.4 Lessor's Repair Obligations.    Lessor shall, during the term of this Lease, at Lessor's expense, keep the
roof and structural components of the Office Complex in first class condition and repair and
in a neat, clean and healthful manner, excluding any damage to the roof or structural components, caused by Lessee, its agents, employees or invitees, which shall be repaired by Lessee, at its sole
cost. All repairs, restorations and replacements shall be performed in good and workmanlike manner and in quality and class equal to the original work and shall comply with all requirements of the
Lease. If Lessor fails to perform any of Lessor's obligations under this paragraph, and if such failure continues for thirty (30) days after written notice thereof is delivered to Lessor
(provided, that, in the event of an emergency or situation where damage to person or property is at risk, no notice shall be required), Lessee may perform such obligation, in which event, Lessor shall
pay to Lessee the reasonable cost incurred by Lessee in performing such obligation within thirty (30) days after demand therefor (with accompanying paid invoices), failing which Lessee shall be
entitled to offset such sums against the Rent becoming due under this Lease, provided any offset shall not exceed twenty percent (20%) of monthly Base Rent until such offset has been fully made. In
the event the expenditure cannot be fully recouped from the next monthly payment of Base Rent as a result of such limitation, Lessee shall be entitled to recover interest with respect to each
subsequent monthly offset from the date of the expenditure to the date of offset at a per annum rate equal to the bank prime rate publicized in the Wall Street
Journal, as the same may change from time to time. 

        Section 9.5 Lessee's Waiver of Claims Against Lessor.    Lessor shall not be required to furnish any services or
facilities or to make any repairs or alterations in, about or to the Premises or Office Complex, except as provided in Section 9.4 hereof. Tenant
hereby assumes the full and sole responsibility for the condition, operation, repair, replacement, maintenance and management of the Premises and Office Complex, and Tenant hereby waives any rights
created by any law now or hereafter in force to make repairs to the Premises or Office Complex at Landlord's expense, except as provided in  Section 9.4 hereof. 

 
 

ARTICLE 10
  ASSIGNMENT AND SUBLETTING    
  

        Section 10.1 Procedure for Obtaining Lessor's Consent.    Lessee shall not, without the prior written consent of Lessor,
(a) transfer, pledge, mortgage or assign this Lease or any interest hereunder; (b) permit any assignment of this Lease by voluntary act, operation of law or otherwise other than through
merger, consolidation or change of form of business organization; or (c) permit the use of the Premises by any parties other than Lessee, its agents and employees; provided, Lessee may sublease
portions of the Premises without the prior written consent of Lessor (but with prompt written notice given to Lessor and a copy of such sublease) so long as Lessee is not in default of this Lease, the 

40

 

sublease when combined with all other subleases does not exceed 98,957 square feet, the sublease is made expressly subject to the terms and conditions of this Lease, the use of the subleased premises
is consistent with Section 4.3 hereof and the sublease is approved by Lessor's mortgagee if the sublease is for more than 24,000 square feet of space or if the sublease when combined with other
subleases exceeds 98,957 square feet. Lessee shall seek any required written consent of Lessor or its mortgagee by a written request therefor, setting forth such information as Lessor or its mortgagee
may deem reasonably necessary. Lessee shall, by notice in writing, advise Lessor and its mortgagee of its intention
from, on and after a stated date (which shall not be less than thirty [30] days after date of Lessee's notice), to assign this Lease or to sublet any part of the Premises which
requires the consent of Lessor or its mortgagee for the balance or any part of the term. Lessee's notice shall include all of the terms of the proposed assignment or sublease and shall state the
consideration therefor. With respect to a proposed sublease, Lessee's notice shall state the name and address of the proposed subtenant and a true and complete copy of the proposed sublease together
with current financial statements on the proposed assignee or sublease shall be delivered to Lessor and its mortgagee with Lessee's notice. If Lessor's mortgagee does not timely disapprove of the
proposed sublease as provided in the Subordination, Attornment and Non-Disturbance Agreement (as amended, the "SNDA") between Lessor, Lessee and Lessor's mortgagee then such proposed
sublease shall be deemed approved by Lessor's mortgagee. In the event of any proposed assignment by Lessee, or in the event of any proposed sublease which requires Lessor's consent, Lessor shall have
the right to be exercised by giving written notice to Lessee within thirty (30) days after receipt of Lessee's notice, to recapture the space described in Lessee's notice and such recapture
notice shall, if given, cancel and terminate this Lease with respect to the space therein described as of the date stated in Lessee's notice. If Lessee's notice shall cover all of the Premises, and
Lessor shall have exercised its foregoing recapture right, the term of this Lease shall expire and end on the date stated in Lessee's notice as fully and completely as if that date had been herein
definitely fixed for the expiration of the term. If, however this Lease be canceled with respect to less than the entire Premises, the Base Rent and Additional Rent shall be equitably adjusted by
Lessor with due consideration of the size, location, type and quality of the portion of the Premises so remaining after the "recapture" and such rent shall be reduced accordingly from and after the
termination date for said portion, and this Lease as so amended shall continue thereafter in full force and effect. The rent adjustments provided for herein shall be evidenced by an amendment to Lease
executed by Lessor and Lessee. If this Lease shall be terminated in the manner aforesaid, either as to the entire Premises or only a portion thereof, to such extent the term of this Lease shall end
upon the appropriate effective date of the proposed sublease or assignment as if that date had been originally fixed in this Lease for such expiration, and in the event of a termination affecting less
than the entire Premises, Lessee shall comply with Article 13 ("Surrender of Premises") of this Lease with respect to all or any portion of the Premises affected thereby. Notwithstanding
anything to the contrary in this Article 10, any request of Lessee to assign this Lease or any interest hereunder is subject to the approval of
Lessor and Lessor's mortgagee, and the method of submission for approval of a sublease as provided herein and the method of approval or disapproval thereof as provided herein and/or in the SNDA is not
applicable to any request for approval of any assignment of this Lease or any interest hereunder. 

        Section 10.2 Discharge of Commission.    Lessee shall, at its sole cost and expense, discharge in full (a) any
outstanding commission obligation on the part of Lessor with respect to this Lease in the event that all or any portion of this Lease is recaptured pursuant to this  Article 10, and (b) any
commission which may be due and owing as a result of any proposed assignment or subletting, whether or not the
subject portion of the Premises is "recaptured" pursuant thereto and rented by Lessor to the proposed tenant or any other tenant. 

        Section 10.3 Right to Recapture Not Exercised.    If Lessor, upon receiving Lessee's notice with respect to any such
space, shall not exercise its right to recapture as aforesaid, Lessor will not 

41

 

unreasonably withhold its consent to Lessee's assignment of the Lease or subletting such space to the party identified in Lessee's notice. 

        Section 10.4 Lessee's Changes Deemed an Assignment.    For purposes of the foregoing, any change in the partners of
Lessee, if Lessee is a partnership which results in a transfer of at least fifty percent (50%) or more of the interests in the partnership, or, if Lessee is a corporation, any transfer of at least
fifty percent (50%) of the shares of stock of Lessee by sale, assignment, operation of law or otherwise, shall be deemed to be an assignment within the meaning of this Article 10; provided,
however, that the sale of stock in a public offering for an aggregate price of at least Twenty Million Dollars ($20,000,000.00) shall not be deemed to be an assignment within the meaning of this  Article 10. 

        Section 10.5 Continuing Lessee Liability.    Any subletting or assignment hereunder shall not release or discharge Lessee
of or from any liability, whether past, present or future, under this Lease, and Lessee shall continue fully liable thereunder. The subtenant or subtenants or assignee shall agree in a form
satisfactory to Lessor to comply with and be bound by all of the terms, covenants, conditions, provisions and agreements of this Lease to the extent of the space sublet or assigned, and Lessee shall
deliver to Lessor promptly after execution an executed copy of each such sublease or assignment and an agreement of compliance by each such subtenant or assignee. Consent by Lessor to any assignment
of this Lease or to any subletting of the Premises shall not be a waiver of Lessor's rights under this Article 10 as to any subsequent assignment or subletting. 

        Section 10.6 Void Transfers.    Any sale, assignment, mortgage, transfer, or subletting of this Lease which is not in
compliance with the provisions of this Article 10 shall be of no effect and void. Lessor's right to assign its interest in this Lease shall remain unqualified. Lessor may make a reasonable
charge to Lessee for any reasonable attorneys' fees or expenses incident to a review of any documentation related to any proposed assignment or subletting by Lessee which requires the written consent
of Lessor, not to exceed $5,000.00 per request. Notwithstanding anything contained herein to the contrary, Lessee shall be entitled, without otherwise complying with the provisions of this
Article 10, to assign this Lease or sublet the Premises to any parent, affiliate or subsidiary of Lessee, without first obtaining Lessor's consent; provided, Lessee shall remain fully liable
for the obligations of this Lease, and the assignee or sublessee shall assume all obligations of Lessee hereunder. 

        Section 10.7 Prohibited Transferees.    Notwithstanding anything to the contrary in this Lease, Lessee shall not assign
its rights under this Lease (but may sublet a part of the Premises as set forth in Section 10.1 above) to a person, firm or corporation which is
(or, immediately prior to such subletting or assignment, was) a tenant or occupant of the building located at 7701 Stemmons Freeway, Dallas, Texas. 

        Section 10.8 Criteria for Withholding Consent.    The consent of Lessor to a transfer may not be unreasonably withheld,
conditioned or delayed, provided that should Lessor withhold its consent for any of the following reasons, which list is not exclusive, such withholding shall be deemed to be reasonable: 

	(a)
	Financial
strength of the proposed transferee is not at least equal to that of Lessee at the time of execution of this Lease or of lessees occupying comparable premises in the Office
Complex or in other buildings owned or operated by Lessor located in the same metropolitan area as the Office Complex;

	(b)
	A
proposed transferee whose occupation of the Premises would cause a diminution in the reputation of the Office Complex or the other businesses located therein;

	(c)
	A
proposed transferee whose occupancy will require any material variation in the terms and conditions of this Lease. 

42

 

        Lessee
agrees that its personal business skills and philosophy were an important inducement to Lessor for entering into this Lease and that Lessor may reasonably object to the transfer
of the Premises to another whose proposed use, while permitted by this Lease, would involve a different, quality, manner or type of business skills than that of Lessee. 

43

  

 
 

ARTICLE 11
  DAMAGE BY FIRE OR OTHER CASUALTY    
  

        Section 11.1 Tenantable Within 240 Days.    If fire or other casualty shall render the whole or any material portion of
the Premises untenantable, and the Premises can reasonably be expected to be made tenantable within two hundred forty (240) days from the date of such event, then Lessor, to the extent of
insurance proceeds available to Lessor, shall repair and restore the Premises and the Office Complex to as near their condition prior to the fire or other casualty as is reasonably possible within
such two hundred forty (240) day period (subject to delays for causes beyond Lessor's reasonable control) and notify Lessee that it will be doing so, such notice to be mailed within thirty
(30) days from the date of such damage or destruction, and this Lease shall remain in full force and effect, but the Rent for the period during which the Premises are untenantable shall be
abated pro rata (based upon the portion of the Premises which is untenantable). Notwithstanding anything to the contrary contained herein, in the event that no insurance proceeds are available, or
insufficient insurance proceeds are available to repair and restore the Premises, Lessee shall be responsible for the costs to repair and restore the Premises to the extent not covered by insurance.
If Lessor is required to repair the Office Complex and/or the Premises as aforesaid, said work shall be undertaken and prosecuted with all due diligence and speed, and shall be completed within two
hundred forty (240) days following the date of such fire or other casualty (subject to force majeure) failing which, Lessee shall be entitled to terminate this Lease in the event that such
repairs are not completed within sixty (60) days after written notice from Lessee that Lessee desires to terminate this Lease because such repairs have not been completed within such two
hundred forty (240) day period. 

        Section 11.2 Not Tenantable Within 240 Days.    If fire or other casualty shall render the whole or any material part of
the Premises untenantable and the Premises cannot reasonably be expected to be made tenantable within two hundred forty (240) days from the date of such event, then either party, by notice in
writing to the other mailed within thirty (30) days from the date of such damage or destruction, may terminate this Lease effective upon the date of the damage or destruction or a date within
thirty (30) days from the date of such notice. 

        Section 11.3 Office Complex Substantially Damaged.    In the event that more than fifty percent (50%) of the value of the
Office Complex is damaged or destroyed by fire or other casualty, and irrespective of whether damage or destruction can be made tenantable within two hundred forty (240) days thereafter, then
at Lessor's or Lessee's option, by written notice to the other, mailed within forty-five (45) days from
the date of such damage or destruction, either party may terminate this Lease effective upon the date of the damage or destruction or a date ninety (90) days after such notice. 

        Section 11.4 Deductible Payments.    If the Premises or the Office Complex is damaged, and such damage is of the type
insured against under the fire and special form property damage insurance maintained hereunder, and if this Lease is not terminated as herein provided, the cost of repairing said damage up to the
amount of the deductible under said insurance policy shall be paid by Lessee within thirty (30) days after written notice to Lessee. 

        Section 11.5 Lessor's Repair Obligations.    If fire or other casualty shall render the whole or any material part of the
Premises untenantable and the Premises cannot reasonably be expected to be made tenantable within two hundred forty (240) days from the date of such event and neither party hereto terminates
this Lease pursuant to its rights herein or in the event that more than fifty percent (50%) of the value of the Office Complex is damaged or destroyed by fire or other casualty, and neither party
terminates this Lease pursuant to its option granted herein, or in the event that fifty percent (50%) or less of the value of the Office Complex is damaged or destroyed by fire or other casualty and
neither the whole nor any material portion of the Premises is rendered untenantable, then Lessor, to the extent of insurance proceeds available to Lessor, shall repair and restore the Premises and the
Office Complex to as near their condition prior to the fire or other casualty as is reasonably possible with all due 

44

 

diligence and speed (subject to delays for causes beyond Lessor's reasonable control) and shall be completed within two hundred forty (240) days following the date of such fire or other
casualty (subject to force majeure) failing which, Lessee shall be entitled to terminate this Lease in the event that such repairs are not completed within sixty (60) days after written notice
from Lessee that Lessee desires to terminate this Lease because such repairs have not been completed within such 240 day period. Notwithstanding anything to the contrary contained herein, in
the event that no insurance proceeds are available, or insufficient insurance proceeds are available to repair and restore the Premises, Lessee shall be responsible for the costs to repair and restore
the Premises to the extent not covered by insurance. Rent for the period during which the Premises are untenantable shall be abated pro rata (based upon the portion of the Premises which is
untenantable). In no event shall Lessor be obligated to repair or restore any special equipment or improvements installed by Lessee at Lessee's expense. 

        Section 11.6 Rent Apportionment.    In the event of a termination of this Lease pursuant to this Article 11, Rent
shall be apportioned on a per diem basis and paid to the date of the fire or other casualty. 

 
 

ARTICLE 12
  EMINENT DOMAIN    
  

        Section 12.1 Lessee's Termination.    If the whole of or any substantial part of the Premises is taken by any public
authority under the power of eminent domain, or taken in any manner for any public or quasi-public use, so as to render (in Lessee's reasonable judgment) the remaining portion of the Premises
unsuitable for the purposes intended hereunder, then the term of this Lease shall cease as of the day possession shall be taken by such public authority and Lessor shall make a pro rata refund of any
prepaid rent. All damages awarded for such taking under the power of eminent domain or any like proceedings shall belong to and be the property of Lessor, Lessee hereby assigning to Lessor its
interest, if any, in said award; provided, however, Lessor shall have no interest in any award made to Lessee for loss of business or goodwill. In the event that fifty percent (50%) or more of the
building area or fifty percent (50%) or more of the value of the Office Complex is taken by public authority under the power of eminent domain, then either party may terminate this Lease by
delivering, within sixty (60) days after possession is taken, written notice thereof to the other party, which termination shall be effective as of the date ninety (90) days after such
termination notice is given. 

        Section 12.2 Lessee's Participation.    Provisions in this Article 12 to the contrary notwithstanding, Lessee
shall have the right to prove in any condemnation proceedings and to receive any separate award which may be made for damages to or condemnation of Lessee's movable trade fixtures and equipment and
for moving expenses; provided, however, Lessee shall in no event have any right to receive any award for its interest in this Lease or for loss of leasehold. Provisions in this Article 12 to
the contrary notwithstanding, in the event of a partial condemnation of the Office Complex or the Premises and this Lease is not terminated, Lessor shall, at Lessee's sole cost and expense (to the
extent that any condemnation award or settlement is insufficient), restore the Premises and Office Complex to a complete architectural unit and the Base Rent provided for herein during the period from
and after the date of delivery of possession pursuant to such proceedings to the termination of this Lease shall be reduced to a sum equal to the product of the Base Rent provided for herein
multiplied by a fraction, the numerator of which is the fair market rent of the Premises after such taking and after same has been restored to a complete architectural unit, and the denominator of
which is the fair market rent of the Premises prior to such taking. 

 
 

ARTICLE 13
  SURRENDER OF PREMISES    
  

        Section 13.1 Surrender of Possession.    On the last day of the term of this Lease, or on the sooner termination thereof,
Lessee shall peaceably surrender the Premises in good condition and repair 

45

 

consistent with Lessee's duty to make repairs as herein provided. On or before the last day of the term of this Lease, or the date of sooner termination thereof, Lessee shall, at its sole cost and
expense, remove all of its property and trade fixtures and equipment from the Premises, and all property not removed shall be deemed abandoned following the expiration of ten (10) days after
termination of this Lease. Lessee hereby appoints Lessor its agent to remove all abandoned property of Lessee from the Premises upon termination of this Lease and to cause its transportation and
storage for Lessee's benefit, all at the sole cost and risk of Lessee and Lessor shall not be liable for damage, theft, misappropriation or loss thereof and Lessor shall not be liable in any manner in
respect thereto. Lessee
shall pay all reasonable costs and expenses of such removal, transportation and storage. Lessee shall leave the Premises in good order, condition and repair, reasonable wear and tear and damage from
fire and other casualty or which is the responsibility of Lessor excepted. Lessee shall reimburse Lessor within thirty (30) days following its receipt of written demand for any expenses
incurred by Lessor with respect to removal, transportation, or storage of abandoned property and with respect to restoring said Premises to the condition required by this Lease. All alterations,
additions and fixtures, other than Lessee's furniture, personal property, trade fixtures and equipment which have been made or installed by either Lessor or Lessee upon the Premises, shall remain the
property of Lessor and shall be surrendered with the Premises as a part thereof. If the Premises are not surrendered at the end of the term or sooner termination thereof, Lessee shall indemnify Lessor
against loss or liability resulting from delay by Lessee in so surrendering the Premises, including, without limitation, claims made by any succeeding tenants founded on such delay and any attorneys'
fees resulting therefrom. Lessee shall promptly surrender all keys for the Premises to Lessor at the place then fixed for the payment of rent and shall inform Lessor of combinations on any vaults,
locks and safes left on the Premises. 

        Section 13.2 Lessee Retaining Possession.    In the event Lessee remains in possession of the Premises after expiration
of this Lease, and without the execution of a new lease, but with Lessor's written consent, it shall be deemed to be occupying the Premises as a tenant from month to month, subject to all the
provisions, conditions and obligations of this Lease insofar as the same can be applicable to a month-to-month tenancy, except that the Base Rent shall be escalated to Lessor's
then current base rent for the Premises according to Lessor's then current rental rate schedule for prospective tenants, but not in excess of 150% of the Base Rent otherwise payable under the Lease.
In the event Lessee remains in possession of the Premises after expiration of this Lease and without the execution of a new lease and without Lessor's written consent, Lessee shall be deemed to be
occupying the Premises without claim of right and Lessee shall pay Lessor for all costs arising out of loss or liability resulting from delay by Lessee in so surrendering the Premises as above
provided and shall pay a charge for each day of occupancy an amount equal to one hundred fifty percent (150%) of the Base Rent and Additional Rent (on a daily basis) payable under this Lease upon
expiration. 

 
 

ARTICLE 14
  DEFAULT OF LESSEE    
  

        Section 14.1 Events of Default.    The occurrence of any one or more of the following events (in this Article sometimes
called "Event of Default") shall constitute a default and breach of this Lease by Lessee: 

	(a)
	If
Lessee fails to pay any Base Rent or Additional Rent payable under this Lease or fails to pay any obligation required to be paid by Lessee when and as the same shall become due and
payable, and such default continues for a period of ten (10) days after written notice thereof given by Lessor to Lessee.

	(b)
	If
Lessee fails to perform any of Lessee's nonmonetary obligations under this Lease for a period of thirty (30) days after written notice from Lessor; provided that if more
time is required to complete such performance, Lessee shall not be in default if Lessee commences such performance within the thirty (30)-day period and thereafter diligently pursues its 

46

 

completion.
The notice required by this subsection is intended to satisfy any and all notice requirements imposed by law on Lessor and is not in addition to any such requirement. 

	(c)
	If
Lessee, by operation of law or otherwise, violates the provisions of Article 10 hereof relating to assignment, sublease, mortgage or other transfer of Lessee's interest in
this Lease or in the Premises or in the income arising therefrom.

	(d)
	If
Lessor discovers that any financial statement, warranty, representation or other information given to Lessor by Lessee, any assignee of Lessee, any subtenant of Lessee, any
successor in interest of Lessee or any guarantor of Lessee's obligation hereunder, and any of them, in connection with this Lease, was materially false or misleading when made or furnished.

	(e)
	Lessee,
by operation of law or otherwise, violates the provisions of Section 4.4 relating to compliance with environmental laws.

	(f)
	If
(i) Lessee makes a general assignment or general arrangement for the benefit of creditors; (ii) a petition for adjudication of bankruptcy or for reorganization or
rearrangement is filed by or against Lessee and is not dismissed within sixty (60) days; (iii) if a trustee or receiver is appointed to take possession of substantially all of Lessee's
assets located at the Premises or of Lessee's interest in the Lease and possession is not restored to Lessee within sixty (60) days; or (iv) if substantially all of Lessee's assets
located at the Premises or of Lessee's interest in this Lease is subjected to attachment, execution or other judicial seizure which is not discharged within sixty (60) days. If a court of
competent jurisdiction determines that any of the acts described in this subsection does not constitute an Event of Default and a trustee is appointed to take possession (or if Lessee remains a debtor
in possession) and such trustee or Lessee transfers Lessee's interest hereunder, then Lessor shall receive, as Additional Rent, the difference between the Rent (or any other consideration) paid in
connection with such assignment or sublease and the Rent payable by Lessee hereunder. As used in this subsection, the term "Lessee" shall also mean any guarantor of Lessee's obligations under this
Lease. If any such Event of Default shall occur, Lessor, at any time during the continuance of any such Event of Default, may give written notice to Lessee stating that this Lease shall expire and
terminate on the date specified in such notice, and upon the date specified in such notice this Lease, and all rights of Lessee under this Lease, including all rights of renewal whether exercised or
not, shall expire and terminate, or in the alternative or in addition to the foregoing remedy, Lessor may assert and have the benefit of any other remedy allowed herein, at law, or in equity. 

        Section 14.2 Lessor's Remedies.    Upon the occurrence and during the continuance of an Event of Default by Lessee, with
or without notice or demand and without limiting Lessor in the exercise of any right or remedy which Lessor may have, Lessor shall be entitled to the rights and remedies set forth below. 

	(a)
	Termination of Possession. Terminate Lessee's right to possession of the Premises by any lawful means, in which case the Lease shall
terminate and Lessee shall immediately surrender possession of the Premises to Lessor. In such event, Lessor shall have the immediate right to reenter and remove all persons and property, and such
property may be removed and stored in a public warehouse or elsewhere at the cost of, and for the account of Lessee, all without service of notice or resort to legal process and without being deemed
guilty of trespass, or becoming liable for any loss or damage which may be occasioned thereby. Lessor shall have the right to change the locks on any door of the Premises without notifying Lessee of
the name, address or telephone number of an individual or company from whom a new key may be obtained, nor shall Lessor have any obligation to provide a new key to Lessee until such time as all Events
of Default have been cured and Lessee has provided to Lessor additional security for or further assurances of Lessee's future performance of all Lessee's obligations 

47

 

arising
under this Lease, such security and assurances to be satisfactory to Lessor in the exercise of Lessor's sole and absolute discretion. In the event that Lessor shall elect to so terminate this
Lease, then Lessor shall be entitled to recover from Lessee all damages incurred by Lessor by reason of Lessee's default, including: 

	(i)
	The
equivalent of the amount of the Base Rent and Additional Rent which would be payable under this Lease by Lessee if this Lease were still in effect, less

	(ii)
	The
net proceeds of any reletting affected pursuant to the provisions of Section 14.2 hereof after deducting all of Lessor's reasonable expenses in connection with such
reletting, including, without limitation, all repossession costs, brokerage commissions, legal expenses, reasonable attorneys' fees, alteration costs, and expenses of preparation of the Premises, or
any portion thereof, for such reletting. 

Lessee
shall pay such current damages in the amount determined in accordance with the terms of this Section 14.2 as set forth in a written statement thereof from Lessor to Lessee (hereinafter
called the "Deficiency"), to Lessor in monthly installments on the days on which the Rent would have been payable under this Lease if this Lease were still in effect, and Lessor shall be entitled to
recover from Tenant each monthly installment of the Deficiency as the same shall arise. 

	(b)
	Damages. In lieu of recovering the monthly Deficiency as set forth in Section 14.2, Lessor shall be entitled to recover from
Lessee, and Lessee shall pay to Lessor, within thirty (30) days after its receipt of written demand, as and for final damages for Lessee's default, an amount equal to the difference between the
then present worth of the aggregate of the Base Rent and Additional Rent and any other charges to be paid by Lessee hereunder for the unexpired portion of the term of this Lease (assuming this Lease
had not been so terminated), and the then present worth of the then aggregate fair and reasonable fair market rent of the Premises for the same period. In the computation of present worth,
a discount at the rate of 6% per annum shall be employed. If the Premises, or any portion thereof, shall be relet by Lessor for the unexpired term of this Lease, or any part thereof, before
presentation of proof of such damages to any court, commission or tribunal, the amount of Rent reserved upon such reletting shall, prima facie, be the fair and reasonable fair market rent for the part
or the whole of the Premises so relet during the term of the reletting. Nothing herein contained or contained in Section 14.2 shall limit or prejudice the right of Lessor to prove for and
obtain, as damages by reason of such expiration or termination, an amount equal to the maximum allowed by any statute or rule of law in effect at the time when, and governing the proceedings in which,
such damages are to be proved, whether or not such amount be greater, equal to or less than the amount of the difference referred to above.

	(c)
	Reentry and Removal. Upon the occurrence and during the continuance of an Event of Default by Lessee, Lessor shall also have the right,
with or without terminating this Lease, to reenter the Premises to remove all persons and property from the Premises. Such property may be removed and stored in a public warehouse or elsewhere at the
cost of and for the account of Lessee. If Lessor shall elect to reenter the Premises, Lessor shall not be liable for damages by reason of such reentry.

	(d)
	No Termination; Recovery of Rent. If Lessor does not elect to terminate this Lease as provided in this Section 14.2, then Lessor
may, from time to time, recover all Rent as it becomes due under this Lease. At any time thereafter before the default is cured, Lessor may elect to terminate this Lease and to recover damages to
which Lessor is entitled.

	(e)
	Reletting the Premises. In the event that Lessor should elect to terminate this Lease and to relet the Premises, it may execute any new
lease in its own name. Lessee hereunder shall have 

48

 

no
right or authority whatsoever to collect any Rent from such Lessee. The proceeds of any such reletting shall be applied as follows: 

	(i)
	First,
to the payment of any indebtedness other than Rent due hereunder from Lessee to Lessor, including but not limited to storage charges or brokerage commissions owing from Lessee
to Lessor as the result of such reletting;

	(ii)
	Second,
to the payment of the costs and expenses of reletting the Premises, including alterations and repairs which Lessor deems reasonably necessary and advisable and reasonable
attorneys' fees incurred by Lessor in connection with the retaking of the said Premises and such reletting;

	(iii)
	Third,
to the payment of Rent and other charges due and unpaid hereunder; and

	(iv)
	Fourth,
to the payment of future Rent and other damages payable by Lessee under this Lease. 

The
parties hereto shall, and they hereby do, waive trial by jury in any action, proceeding, or counterclaim brought by either of the parties hereto against the other on any matters whatsoever arising
out of, or in any way connected with, this Lease, the relationship of Lessor and Lessee, Lessee's use or occupancy of the Premises and/or Office Complex, and/or claim or injury or damage. 

        Section 14.3 Written Notice of Termination Required.    Lessor shall not be deemed to have terminated this Lease and the
Lessee's right to possession of the leasehold or the liability of Lessee to pay Rent thereafter to accrue or its liability for damages under any of the provisions hereof, unless Lessor shall have
notified Lessee in writing that it has so elected to terminate this Lease. Lessee covenants that the service by Lessor of any notice pursuant to the applicable unlawful detainer statutes of the state
in which the Office Complex is located and the Lessee's surrender of possession pursuant to such notice shall not (unless Lessor elects to the contrary at the time of, or at any time subsequent to the
service of, such notice, and such election be evidenced by a written notice to Lessee) be deemed to be a termination of this Lease or of Lessee's right to possession thereof. 

        Section 14.4 Remedies Cumulative; No Waiver.    All rights, options and remedies of Lessor contained in this Lease shall
be construed and held to be cumulative, and no one of them shall be exclusive of the other, and Lessor shall have the right to pursue any one or all of such remedies or any other remedy or relief
which may be provided by law whether or not stated in this Lease, except as otherwise expressly set forth herein. No waiver by Lessor of a breach of any of the terms, covenants or conditions of this
Lease by Lessee shall be construed or held to be a waiver of any succeeding or preceding breach of the same or any other term, covenant or condition therein contained. No waiver of any default of
Lessee hereunder shall be implied from any omission by Lessor to take any action on account of such default if such default persists or is repeated, and no express waiver shall affect default other
than as specified in said waiver. The consent or approval by Lessor to or of any act by Lessee requiring Lessor's consent or approval shall not be deemed to waive or render unnecessary Lessor's
consent to or approval of any subsequent similar acts by Lessee. 

        Section 14.5 Legal Costs.    The prevailing party in any dispute hereunder shall be entitled to recover, upon demand, for
any reasonable costs or expenses incurred in connection with any breach or default under this Lease, whether or not suit is commenced or judgment entered. Such costs shall include reasonable legal
fees and costs incurred for the negotiation of a settlement, enforcement of rights or otherwise. Furthermore, if any action for breach of or to enforce the provisions of this Lease is commenced, the
court in such action shall award to the party in whose favor a judgment is entered a reasonable sum as attorneys' fees and costs. Such attorneys' fees and costs shall be paid by the losing party in
such action. Lessee shall also indemnify Lessor against and hold Lessor harmless from all 

49

 

costs, expenses, demands and liability incurred by Lessor if Lessor becomes or is made a party to any claim or action (a) instituted by Lessee, or by any third party against Lessee;
(b) for foreclosure of any lien for labor or material furnished to or for Lessee or such other person; (c) otherwise arising out of or resulting from any act or transaction of Lessee or
such other person; or (d) necessary to protect Lessor's interest under this Lease in a bankruptcy proceeding, or other proceeding under Title 11 of
the United States Code, as amended. Lessee shall defend Lessor against any such claim or action at Lessee's expense with counsel reasonably acceptable to Lessor or, at Lessor's election, Lessee shall
reimburse Lessor for any legal fees or costs incurred by Lessor in any such claim or action. 

        In
addition, Lessee shall pay Lessor's reasonable attorneys' fees incurred in connection with Lessee's request for Lessor's consent in connection with any act which Lessee proposed to do
and which requires Lessor's consent. 

        Section 14.6 Waiver of Damages for Reentry.    Lessee hereby waives all claims by Lessor's reentering and taking
possession of the Premises or removing and storing the property of Lessee as permitted under this Lease and will save Lessor harmless from all losses, costs or damages occasioned Lessor thereby. No
such reentry shall be considered or construed to be a forcible entry by Lessor. 

 
 

ARTICLE 15
  SUBORDINATION/ESTOPPEL    
  

        Section 15.1 Lease Subordinate.    This Lease shall be subject and subordinate to any mortgage, deed of trust or ground
lease now or hereafter placed upon the Premises, the Office Complex, the Property, or any portion thereof by Lessor, its successors or assigns, and to amendments, replacements, renewals and extensions
thereof. Lessee agrees at any time hereafter, within ten (10) days following Lessee's receipt of written demand, to execute and deliver any instruments, releases, or other documents that may be
reasonably required for the purpose of subjecting and subordinating this Lease, as above provided, to the lien of any such mortgage, deed of trust or ground lease. It is agreed, nevertheless, that as
long as Lessee is not in default beyond any applicable curative periods in the payment of Base Rent, Additional Rent, and the payment of other charges to be paid by Lessee under this Lease, and the
performance of all covenants, agreements and conditions to be performed by Lessee under this Lease, then neither Lessee's right to quiet enjoyment under this Lease, nor the right of Lessee to continue
to occupy the Premises and to conduct its business thereon, in accordance with the terms of this Lease as against any lessor, lessee, mortgagee, trustee, or their successors or assigns shall be
interfered with. 

        Section 15.2 Attornment.    The above subordination shall be effective without the necessity of the execution and
delivery of any further instruments on the part of Lessee to effectuate such subordination. Notwithstanding anything hereinabove contained in this Article 15, in the event the holder of any
mortgage, deed of trust or ground lease shall at any time elect to have this Lease constitute a prior and superior lien to its mortgage, deed of trust or ground lease, then, and in such event, upon
any such holder or landlord notifying Lessee to that effect in writing, this Lease shall be deemed prior and superior in lien to such mortgage, deed of trust, ground lease, whether this Lease is dated
prior or subsequent to the date of such mortgage, deed of trust or ground lease and Lessee shall execute such attornment agreement as may be reasonably requested by said holder or landlord. 

        Section 15.3 Lessee's Notice of Default.    Lessee agrees, provided the mortgagee, ground lessor or trust deed holder
under any mortgage, ground lease, deed of trust or other security instrument shall have notified Lessee in writing (by the way of a notice of assignment of lease or otherwise) of its address, Lessee
shall give such mortgagee, ground lessor or trust deed holder or other secured party ("Mortgagee"), simultaneously with delivery of notice to Lessor, by registered or certified mail, a copy of any
such notice of default served upon Lessor. Lessee further agrees that said Mortgagee shall have the right to cure any alleged default during the same period that Lessor has to cure such default. 

50

 

        Section 15.4 Estoppel Certificates.    Lessee agrees from time to time upon not less than twenty (20) days prior
written request by Lessor to deliver to Lessor a statement in writing certifying (a) that this Lease is unmodified and in full force and effect (or if there have been modifications that the
Lease as modified is in full force and effect and stating the modifications); (b) the dates to which the rent and other charges have been paid; (c) Lessor is not in default in any
provision of this Lease or, if in default, the nature thereof specified in detail; (d) the amount of monthly rental currently payable by Lessee; (e) the amount of any prepaid rent, and
(f) such other matters as may be reasonably requested by Lessor or any mortgagee or prospective purchaser of the Office Complex. 

        If
Lessee does not deliver such statement to Lessor within such twenty (20) day period, Lessor and any prospective purchaser or encumbrancer of the Premises or the Office Complex
may conclusively presume and rely upon the following facts: (i) that the terms and provisions of this Lease have not been changed except as otherwise represented by Lessor; (ii) that
this Lease has not been canceled or terminated and is in full force and effect, except as otherwise represented by Lessor; (iii) that the current amounts of the Base Rent and Security Deposit
are as represented by Lessor and that any changes made against the Security Deposit are uncontested and valid; (iv) that there have been no subleases or assignments of the Lease;
(v) that not more than one month's Base Rent or other charges have been paid in advance; and (vi) that Lessor is not in default under the Lease. In such event, Lessee shall be estopped
from denying the truth of such facts. 

        Section 15.5 Non-Disturbance Agreement.    Notwithstanding anything contained herein to the contrary prior to
the Commencement Date hereof Lessor shall deliver to Lessee an agreement executed by the holder of any mortgage lien against the Office Complex confirming its agreement not to disturb Lessee's
possession of the Premises or to terminate this Lease so long as Lessee is not in default of this Lease, except as specifically set forth in this Lease (a "Non-Disturbance Agreement"). 

        Section 15.6 Previous SNDA.    Lessor, Lessee and Credit Suisse First Boston Mortgage Capital, LLC executed a
Subordination, Attornment and Non-Disturbance Agreement ("SNDA") dated effective February 22, 2000, concerning the Previous Lease (defined in Section 16.13 hereof). Lessor,
Lessee and Lessor's mortgagee shall simultaneously herewith execute an amendment to the SNDA, which amendment shall, among other things, ratify and affirm the SNDA for this Lease for all purposes. 

 
 

ARTICLE 16
  MISCELLANEOUS    
  

        Section 16.1 Time is of the Essence.    Time is of the essence with respect to the performance of every provision of this
Lease in which time of performance is a factor. 

        Section 16.2 Memorandum of Lease.    No Memorandum of this Lease may be recorded by Lessee without the prior written
consent of Lessor. 

        Section 16.3 Joint and Several Liability.    All parties signing this Lease as Lessee shall be jointly and severally
liable for all obligations of Lessee. 

        Section 16.4 Broker.    Lessee represents that Lessee has dealt directly with and only with Bradford Realty Services of
Dallas, Inc. and Jackson & Cooksey, as broker, in connection with this Lease and that insofar as Lessee knows, no other broker negotiated or participated in negotiations of this Lease or
submitted or showed the Premises or is entitled to any commission in connection therewith. Each party shall indemnify and hold the other party harmless from any claim by a broker or finder claiming a
right to a fee or commission under or through it. 

51

 

        Section 16.5 Notices.    All notices, demands and requests shall be in writing, and shall be effectively served by
forwarding such notice, demand or request by certified or registered mail, postage prepaid, or by commercial overnight courier service addressed as follows: 

	(a)
	If addressed to Lessee:

EXE
Technologies, Inc.

300 Baldwin Tower Boulevard

Eddystone, Pennsylvania 19022

Attn: Joanie Hadick 

with
a copy to: 

EXE
Technologies, Inc.

8787 Stemmons Freeway

Dallas, Texas 75247

Attn: Raymond Hood 

	(b)
	If addressed to Lessor:

BLI-8787, Ltd.

8235 Douglas Avenue, Suite 200

Dallas, Texas 75225

Attn: David A. Lane 

with
a copy to: 

Andrews &
Barth, P.C.

8235 Douglas Avenue, Suite 1120

Dallas, Texas 75225

Attn: Jeffrey W. Harrison 

or
at such other address as Lessor and Lessee may hereafter designate by written notice. The effective date of all notices shall be the time of mailing such notice or the date of delivery to a
commercial overnight courier service. 

        Section 16.6 Lessor's Agent.    All rights and remedies of Lessor under this Lease or that may be provided by law may be
executed by Lessor in its own name individually, or in the name of its agent, and all legal proceedings for the enforcement of any such rights or remedies, including those set forth in
Article 14, may be commenced and prosecuted to final judgment and execution by Lessor in its own name or in the name of its agent. 

        Section 16.7 Quiet Possession.    Lessor covenants and agrees that Lessee, upon paying the Base Rent, Additional Rent and
other charges herein provided for and observing and keeping the covenants, agreements and conditions of this Lease on its part to be kept and performed, shall lawfully and quietly hold, occupy and
enjoy the Premises during the term of this Lease. If Lessor fails to perform any of its obligations hereunder within thirty (30) days after written notice thereof from Lessee or such longer
period of time if such default is not capable of cure within thirty (30) days but Lessor is pursuing a cure, Lessee shall be entitled, as its sole remedy, in the event that such default is not
cured within the applicable cure period, to take such action as may be required to have been taken by Lessor under the Lease, in which event Lessor agrees to pay to Lessee within thirty
(30) days after receipt of written notice from Lessee (with accompanying paid invoices) all reasonable cost and expenses incurred by Lessee in connection therewith, failing which Lessee shall
be entitled to offset such sums against the Rent next becoming due under the Lease; provided, such offset shall not exceed more than twenty percent (20%) of monthly Base Rent payable each month until
such offset has been fully recouped. In the event the expenditure cannot be fully recouped from the next monthly payment of Base Rent as a 

52

 

result of such limitation, Lessee shall be entitled to recover interest with respect to each subsequent monthly offset from the date of the expenditure to the date of offset at a per annum rate equal
to the bank prime rate publicized in the Wall Street Journal, as the same may change from time to time. 

        Section 16.8 Successors and Assigns.    The covenants and agreements herein contained shall bind and inure to the benefit
of the Lessor, its successors and assigns, and Lessee and its permitted successors and assigns. 

        Section 16.9 Severability.    If any term or provision of this Lease shall to any extent be held invalid or
unenforceable, the remaining terms and provisions of this Lease shall not be affected thereby, but each term and provision of this Lease shall be valid and enforced to the fullest extent permitted by
law. This Lease shall be construed and enforced in accordance with the laws of the state in which the Premises are located. 

        Section 16.10 No Abandonment or Waste.    Lessee covenants not to do or suffer any waste or damage or disfigurement or
injury to the Premises or Office Complex and Lessee further covenants that it will not vacate or abandon the Premises during the term of this Lease. 

        Section 16.11 Transfers by Lessor.    The term "Lessor" as used in this Lease so far as covenants or obligations on the
part of Lessor are concerned shall be limited to mean and include only the owner or owners of the Office Complex at the time in question, and in the event of any transfer or transfers or conveyances
the then grantor, provided that the grantee expressly assumes the obligations of Lessor hereunder, shall be automatically freed and released from all personal liability accruing from and after the
date of such transfer or conveyance as respects the performance of any covenant or obligation on the part of Lessor contained in this Lease to be performed, it being intended hereby that the covenants
and obligations contained in this Lease on the part of Lessor shall be binding on the Lessor, its successors and assigns, only during and in respect to their respective successive periods of
ownership. 

        In
the event of a sale or conveyance by Lessor of the Office Complex, the same shall operate to release Lessor from any future liability upon any of the covenants or conditions herein
contained, provided that the grantee expressly assumes the obligations of Lessor hereunder, and in such event Lessee agrees to look solely to the responsibility of the successor in interest of Lessor
in and to this
Lease. This Lease shall not be affected by any such sale or conveyance, and Lessee agrees to attorn to the purchaser or grantee, which shall be personally obligated on this Lease only so long as it is
the owner of Lessor's interest in and to this Lease. 

        Section 16.12 Headings.    The marginal or topical headings of the several articles and sections are for convenience only
and do not define, limit or construe the contents of said articles and sections. 

        Section 16.13 Written Agreement.    All preliminary negotiations are merged into and incorporated in this Lease, except
for written collateral agreements executed contemporaneously herewith. This Office Lease constitutes a restatement of that certain Office Lease ("Previous Lease") dated effective May 18, 1999,
between Lessor and Lessee, and supercedes the Previous Lease in its entirety. 

        Section 16.14 Modifications or Amendments.    This Lease can only be modified or amended by an agreement in writing
signed by the parties hereto. No receipt of money by Lessor from Lessee or any other person after termination of this Lease or after the service of any notice or after the commencement of any suit, or
after final judgment for possession of the Premises shall reinstate, continue or extend the term of this Lease or affect any such notice, demand or suit, or imply consent for any action for which
Lessor's consent is required, unless specifically agreed to in writing by Lessor. Any amounts received by Lessor after a default may be allocated to any specific amounts due from Lessee to Lessor as
Lessor determines. 

53

 

        Section 16.15 Lessor Control.    Lessor shall have the right to close any portion of the building area or land area to
the extent as may, in Lessor's reasonable opinion, be necessary to prevent a dedication thereof or the accrual of any rights to any person or the public therein; provided, however, notwithstanding
anything contained herein to the contrary, if any activity by Lessor under this Section 16.15 prevents Lessee's access to the Premises or if same otherwise substantially interferes with
Lessee's use of the Premises for a period of at least thirty (30) days, Lessee shall be entitled to receive an equitable and proportionate abatement of Base Rent until same has been corrected.
In the event Lessor changes the name or address of the Office Complex, Lessor shall reimburse to Lessee the reasonable cost incurred by Lessee for replacing its stationery, letterhead, employees'
business cards and other related items. No implied easements are granted by this Lease. 

        Section 16.16 Utility Easement.    Lessee shall permit Lessor (or its designees) to erect, use, maintain, replace and
repair pipes, cables, conduits, plumbing, vents, and telephone, electric and other wires or other items, in, to and through the Premises, as and to the extent that Lessor may now or hereafter deem
necessary or appropriate for the proper operation and maintenance of the Office Complex, provided that Lessor shall not unreasonably interfere with Lessee's use and occupancy of the Premises. 

        Section 16.17 Not Binding Until Properly Executed.    Employees or agents of Lessor have no authority to make or agree to
make a lease or other agreement or undertaking in connection herewith. The submission of this document for examination does not constitute an offer to lease, or a reservation of, or option for, the
Premises. This document becomes effective and binding only upon the execution and delivery hereof by the proper officers of Lessor and by Lessee. Lessee confirms that Lessor and its agents have made
no representations or promises with respect to the Premises or the making of or entry into this Lease except as in this Lease expressly set forth, and agrees that no claim or liability shall be
asserted by Lessee against Lessor for, and Lessor shall not be liable by reason of, breach of any representations or promises not expressly stated in this Lease. This Lease, except for the Building
Rules and Regulations, in respect to which Section 16.18 of this Article shall prevail, can be modified or altered only by agreement in writing between Lessor and Lessee, and no act or omission
of any employee or agent of Lessor shall alter, change or modify any of the provisions hereof. 

        Section 16.18 Building Rules and Regulations.    Lessee shall perform, observe and comply with the Building Rules and
Regulations of the Office Complex as set forth below, with respect to the safety, care and cleanliness of the Premises and the Office Complex, and the preservation of good order thereon, and, upon
written notice thereof to Lessee, Lessee shall perform, observe, and comply with any reasonable changes, amendments or additions thereto as from time to time shall be established and deemed advisable
by Lessor for tenants of the Office Complex. Lessor shall not be liable to Lessee for any failure of any other tenant or tenants of the Office Complex to comply with such Building Rules and
Regulations; provided, however, Lessor agrees to apply the Building Rules and Regulations equally to all tenants of the Office Complex. 

        Section 16.19 Compliance with Laws and Recorded Covenants.    Lessee shall not use the Premises or permit anything to be
done in or about the Premises which will, in any way, conflict with any law, statute, ordinance or governmental rule or regulation now in force or which may hereafter be enacted or promulgated. Lessee
shall, at its sole cost and expense, promptly comply with all laws, statutes, ordinances and governmental rules and regulations now in force or which may hereafter be in force, and with the
requirements of any fire insurance underwriters or other similar body now or hereafter constituted relating to or affecting the condition, use or occupancy of the Premises. Lessee shall use the
Premises and comply with any recorded covenants, conditions, and restrictions affecting the Premises and the Office Complex as of the commencement of the Lease or which are recorded during the lease
term, provided same do not prevent Lessee from occupying the Premises in accordance with the permitted use. Lessor shall deliver the Premises to Lessee in compliance with, and shall, at its sole cost 

54

 

and expense (but subject to Article 2 hereof), cause the Office Complex to comply with any and all such laws, statutes, ordinances and governmental rules and regulations, all such requirements
of fire insurance underwriters, and all such recorded covenants, conditions and restrictions relating to the structural components, exterior components, common areas and rentable space (other than the
Premises) of the Office Complex; provided, however, that Lessor shall be responsible for compliance of the exterior and common areas of the Office Complex and the "core" areas of the Premises,
consisting of elevators, lobbies and restrooms, with the Americans with Disabilities Act, and Lessee shall be responsible for compliance of the remainder of the Premises with the Americans with
Disabilities Act. In no event shall Lessee be responsible for making any structural alterations to the Premises which may be required pursuant to such legal requirements. 

        Section 16.20 Lessee Obligations Survive Termination.    All obligations of Lessee hereunder not fully performed as of
the expiration or earlier termination of the term of this Lease shall survive the expiration or earlier termination of the term hereof, including, without limitation, all payment obligations with
respect to Base Rent, Additional Rent, Operating Expenses, Insurance Premiums and Real Estate Taxes and all obligations concerning the condition of the Premises. 

        Section 16.21 Lessee's Waiver.    Lessee agrees to look solely to Lessor's interest in the Office Complex for the
recovery of any judgment from Lessor, it being agreed that Lessor, or if Lessor is a partnership, its partners whether general or limited, or if Lessor is a corporation, its directors, officers or
shareholders, shall never be personally liable for any such judgment. 

        Section 16.22 Lessee Authorization.    Lessee shall furnish to Lessor promptly upon demand, a corporate resolution, proof
of due authorization of partners, or other appropriate documentation reasonably requested by Lessor evidencing the due authorization of Lessee to enter into this Lease. 

        Section 16.23 No Partnership or Joint Venture.    This Lease shall not be deemed or construed to create or establish any
relationship or partnership or joint venture or similar relationship or arrangement between Lessor and Lessee hereunder. 

        Section 16.24 Lessee's Obligation to Pay Miscellaneous Taxes.    Lessee shall pay, prior to delinquency, all taxes
assessed or levied upon its occupancy of the Premises, or upon the trade fixtures, furnishings, equipment and all other personal property of Lessee located in the Premises, and when possible, Lessee
shall cause such trade fixtures, furnishings, equipment and other personal property to be assessed and billed separately from the property of Lessor. In the event any or all of Lessee's trade
fixtures, furnishings, equipment or other personal property, or Lessee's occupancy of the Premises, shall be assessed and taxed with the property of Lessor, Lessee shall pay to Lessor its share of
such taxes within thirty (30) days after delivery to Lessee by Lessor of a statement in writing setting forth the amount of such taxes applicable to Lessee's personal property. 

        Section 16.25 Prohibited Signs.    Subject to Section 7.1 hereof,
Lessee shall not place, or permit to be placed or maintained, on any exterior door, wall or window of the Premises any sign, awning or canopy, or advertising matter or other thing of any kind, and
will not place or maintain any decoration, lettering or advertising matter on the glass of any window or door, or that can be seen through the glass, of the Premises except in accordance with all
applicable laws and as specifically approved in writing by Lessor. Lessee further agrees to maintain such sign, awning, canopy, decoration, lettering, advertising matter or thing as may be approved,
in good condition and repair at all times, reasonable wear and tear and fire excepted in accordance with all applicable laws. Lessee agrees at Lessee's sole cost, that any Lessee sign will be
maintained in strict conformance with Lessor's sign criteria, if any, as to design, material, color, location, size, letter style, and method of installation. Lessor shall not unreasonably withhold,
condition or delay its approval of Lessee's signage. 

55

 

        Section 16.26 Renewal Option.    Lessor hereby grants Lessee (but no assignee or subtenant) two (2) options to
renew this Lease, each option to be for a period of sixty(60) months, for a total of one hundred twenty (120) months in the event both renewal options are exercised. Each said renewal option
shall be exercised by Lessee notifying Lessor thereof in writing not more than two hundred seventy (270) and at least two hundred ten (210) days prior to the expiration of the then
current lease or renewal term, as the case may be. In the event a renewal agreement has not been executed at least one hundred twenty (120) days prior to the expiration date of the current
lease or renewal term, the option shall automatically become null and void. Each such renewal shall be subject to all of the terms and conditions of this Lease except that (i) the rentals
payable during each renewal term shall be as set forth below and (ii) no further renewal option shall exist during the second renewal term. It shall be a condition to Lessee's exercising any
renewal option herein granted that (y) Lessee not be then in default under this Lease and (z) Lessee shall have previously exercised the immediately preceding renewal option, if any, so
that the second renewal option may not be exercised if Lessee has failed to exercise the first renewal option. 

        The
Base Rent for each renewal term shall be based on not less than 95% of the then prevailing net rental rates for properties of equivalent quality, size, utility and location in the
Dallas/Forth Worth market, with the length of the lease term and the creditworthiness of the Lessee taken into account; provided, however, that in no event shall the Base Rent in any renewal period be
less than the Base Rent for the last month immediately preceding said renewal period. 

        Upon
notification from Lessee of its intent to exercise each renewal option, Lessor shall, within fifteen (15) days thereafter, notify Lessee in writing of the Base Rent for the
applicable renewal term; Lessee shall, within fifteen (15) days following receipt of same, notify Lessor in writing of the acceptance or rejection of the proposed Base Rent. In the event of
rejection by Lessee, Lessee may rescind the exercise of such renewal option by written notice to Lessor within such fifteen (15) day period for acceptance or rejection. If Lessee does not so
rescind such exercise, the Base Rent for the applicable renewal term shall be determined as follows: 

	(a)
	Within
fifteen (15) days following notification of rejection, Lessor and Lessee shall each select an arbitrator who shall be a Licensed Texas real estate broker having a
minimum of five (5) years experience in leasing office space and being a member of the North Chapter of the Texas Society of Office and Industrial Realtors (or its successor organization).
Notice shall be given to the other party of the name of the arbitrator selected. If either Lessor or Lessee fails to appoint such an arbitrator within the allocated time, the arbitrator appointed by
the other party shall make the determination of the Base Rent and this determination shall be final and binding on both parties.

	(b)
	If
both Lessor and Lessee appoint an arbitrator in accordance with the provisions above and the two arbitrators cannot agree upon a Base Rent for the renewal term within thirty
(30) days following their appointment, the two arbitrators shall forthwith select a third disinterested and qualified arbitrator having like qualifications and each of the original arbitrators
will immediately submit his or her judgment as to the appropriate Base Rent in writing to the third arbitrator. Within ten (10) days after such submittal, the third arbitrator shall make the
determination of the Base Rent for such renewal period and the determination of the third arbitrator shall be final and binding on both parties. In the
event the two arbitrators appointed by the Lessee and Lessor cannot agree upon a third arbitrator, then the third arbitrator shall be appointed by the then President of the North Chapter of the Texas
Society of Office and Industrial Realtors (or its successor organization). The Base Rent agreed to by the two appointed arbitrators or, if applicable, the Base Rent determined by the third arbitrator
shall be final and binding upon the parties hereto. Lessor and Lessee shall each bear the expense of their arbitrator and the expense of a third arbitrator, if needed, shall be shared equally by both
parties. 

56

 

        Section 16.27 Leasehold Improvements.    Lessor and Lessee have agreed to plans for tenant improvements to the Premises,
which plans are attached hereto as Exhibit "C." Such tenant improvements have been completed and
accordingly, Lessee accepts the Premises in the current, "as is" condition. In order to complete such tenant improvements, Lessor provided to Lessee a refurbishment allowance (the "Allowance") of up
to $33.84 per square foot of the Premises (including $29.84 for tenant improvements, $2.00 for relocation costs, $1.90 for full construction drawings and $.10 for preliminary drawings) to be utilized
toward the design, construction, refurbishment and remodeling of the Premises (herein called the "Lessee Finish"). The Allowance was provided upon the following conditions: 

	(a)
	Lessor
must approve all changes to Lessee's plans and specifications respecting the Lessee Finish to be undertaken, which approval shall not be unreasonably withheld, conditioned or
delayed and shall be deemed given unless Lessor has disapproved same within twenty (20) days after Lessee delivers same to Lessor.

	(b)
	Lessee
shall obtain bids from at least three (3) competent contractors for the construction. The Lessor may select one (1) of the contractors to submit bids and shall be
allowed to participate in the review of the bids. Following the review of the bids, Lessee shall select the contractor to perform the Lessee Finish based on Lessee's determination as to the most
qualified contractor offering the lowest bid, subject to Lessor's approval, which shall not be unreasonably withheld, conditioned or delayed. Lessee shall promptly inform Lessor of the final
construction costs for the Lessee Finish. Lessee shall be responsible for the management of the construction and the contractor.

	(c)
	The
Allowance shall be delivered by Lessor to Lessee incrementally as construction progresses on a percentage completion basis within ten (10) days following receipt of a draw
request, invoices and lien waivers therefor (and if required by Lessor, a certificate from the contractor that all work has been completed in accordance with the plans and specifications). The portion
of the Allowance attributable to relocation expenses, if not expended for improvements, shall be paid by Lessor to Lessee within the later of (i) thirty (30) days after the Commencement
Date; or (ii) thirty (30) days after written notice to Lessor with accompanying invoices substantiating such relocation expenses. If the total cost of the Lessee Finish (including
design, demolition and construction costs) exceeds the Allowance, Lessee shall deposit with Lessor the balance of the funds required to complete the Lessee Finish within ten (10) days following
Lessor's notice to Lessee of the amount due. Lessee shall not commence any Lessee Finish until Lessee deposits all amounts due. In no event will Lessor be required to expend funds in excess of the
Allowance or in excess of the amount allocated to a particular item, and Lessee shall be and remain liable and responsible for the prompt payment of all costs, fees and expenses in excess of
the Allowance. Any amounts expended by Lessor in excess of the Allowance shall be payable to Lessor by Lessee upon demand.

	(d)
	The
costs and fees for the design and space planning relating to the Lessee Finish shall be charged against the Allowance.

	(e)
	Prior
to beginning any such work, Lessee shall provide Lessor with evidence of builder's "all risk" insurance covering both Lessee and all of Lessee's contractors against third party
liability or workers' compensation claims arising out of all construction and associated activities. All policies of insurance shall be subject to Lessor's prior approval, which approval shall not be
unreasonably withheld, conditioned or delayed, and shall be endorsed showing Lessor and such agent or agents as Lessor may designate as additional named insureds. The provisions of this paragraph (as
well as all rights and remedies available to Lessor as provided in the Lease should Tenant fail to meet its obligations hereunder) shall expressly survive the expiration or earlier termination of the
Lease. 

57

 

	(f)
	The
Lessee Finish shall be completed in accordance with the plans and specifications approved by Lessor, and Lessee shall provide to Lessor lien waivers and releases, in recordable
form, from all contractors, subcontractors and materialmen involved in such construction. 

        Section 16.28 Financial Statements.    Lessee acknowledges that it has provided Lessor with its financial statement, as a
material inducement to Lessor's agreement to lease the Premises to Lessee, and that Lessor has relied on the accuracy of such financial statement in entering into this Lease. Lessee represents and
warrants that the information contained in such financial statement is true, complete and correct in all material aspects. Within 10 days from request by Lessor, Lessee will make available to
Lessor or to any prospective purchaser or lender of the Premises, audited financial statements of Lessee or any guarantor, provided, that Lessor or any such prospective purchaser or lender agrees to
maintain such statements in confidence, and provided further that if audited financial statements of Lessee are not available at the time of such request, Lessee may deliver unaudited statements
prepared in accordance with generally accepted accounting principles consistently applied and certified to be true and correct by Lessee's chief financial officer. 

        Section 16.29 Exhibits.    The following are made a part hereof, with the same force and effect as if specifically set
forth herein: 

	(a)
	Building
Rules and Regulations—Exhibit "A."

	(b)
	Signage—Exhibit
"B."

	(c)
	Plans
for Lessee Finish—Exhibit "C." 

        Section 16.30 Lessor's Lien.    Lessor hereby agrees to subordinate any and all statutory, constitutional and other
landlord liens against the assets or property of Lessee to the lien of Lessee's primary lender financing Lessee's business operations, and agrees to execute and deliver upon request of Lessee's lender
such reasonable subordination agreement as may be requested to evidence and/or confirm such subordination. 

        Section 16.31 Rooftop Communications.    Subject to the rights of Cook Inlet/Voice Stream PCS, L.L.C., a Delaware limited
liability company ("Voice Stream"), pursuant to that certain Rooftop Site Lease With Option dated October 21, 1999, and the rights of any other third parties pursuant to an agreement with
Lessor, and subject to the prior written approval of Lessor, Lessee shall have the right to install, at Lessee's sole cost and expense, a satellite dish system, antenna or other communications
apparatus (the "Rooftop Communications System") on the roof of the Office Complex at a location and in a manner acceptable to Lessor; provided, however, (i) Lessee must obtain all necessary
permits and approvals from governmental and private authorities, (ii) the Rooftop Communications System may not, in Lessor's reasonable discretion, adversely affect the aesthetics or
architectural harmony of the Office Complex, (iii) the Rooftop Communications System may not impair the structural integrity of the roof of the Office Complex, (iv) Lessee must give
Lessor at least thirty (30) days prior written notice before installing the Rooftop Communications System, (v) any installation which requires the penetration of the roof over the
Premises, or any roof repairs or additional maintenance costs necessitated by Lessee's installation of the Rooftop Communications System, must be performed by Lessor's roof contractor, at Lessee's
sole cost and expense, (vi) Lessee shall install adequate screening to shield the Rooftop Communications System from view of the public, (vii) Lessee's installation or use of the Rooftop
Communications System shall not adversely affect Lessor's roof warranty, (viii) Lessor shall have the right to disassemble or relocate any portion of the Rooftop Communications System as Lessor
may deem necessary in order for Lessor to maintain or repair any portion of the roof or structure of the Office Complex, and Lessee shall bear all costs associated therewith, and (ix) Lessee
shall indemnify Lessor from and against any and all costs, expenses, liabilities, obligations, claims and attorneys' fees relating to the installation, use, operation and maintenance of the Rooftop 

58

 

Communications System including, without limitations, any damage to the Office Complex or liens claimed against the Office Complex. Any sums owed by Lessee to Lessor pursuant to this  Section 16.31
shall be paid by Lessee to Lessor within ten (10) days following Lessor's written request therefor. The provisions of this  Section 16.31 are solely for the benefit of and use by the Lessee in
connection with the operation of its business in the Premises, and not for
commercial or other use by any third parties (except as permitted in writing by Lessor). Lessee acknowledges that Lessor may use or grant similar rights to other third parties. 

        IN WITNESS WHEREOF, the parties have executed this Lease as of the day and year first above written. 

	 	 	LESSOR:
	

 	
 	

BLI-8787, LTD.,

a Texas limited partnership
	

 	
 	

By:	

Stemmons Tower GP, Inc.,

a Texas corporation, general partner
	

 	
 	

By:	

/s/  DAVID A. LANE      
 David A. Lane
 President
	

 	
 	
LESSEE:
	

 	
 	

EXE TECHNOLOGIES, INC.,

a Delaware corporation
	

 	
 	

By:	

/s/  NEIL A. COOPER      

	

 	
 	

Name:	

Neil A. Cooper

	

 	
 	

Its:	

General Counsel & Secretary

59

  

EXHIBIT "A"  

 
  BUILDING RULES AND REGULATIONS    
  

        1.    Any
sign, lettering, picture, notice or advertisement installed on or in any part of the Premises and visible from the exterior of the Premises, shall be installed at
Lessee's sole cost and expense, and in such manner, character and style as Lessor may approve in writing, which consent shall not be unreasonably withheld, conditioned or delayed. In the event of a
violation of the foregoing by Lessee, Lessor may remove the same without any liability and may charge the expense incurred by such removal to Lessee. 

        2.    No
awning or other projection shall be attached to the outside walls of the Office Complex. No curtains, blinds, shades or screens visible from the exterior of the Office
Complex or visible from the exterior of the Premises, shall be attached to or hung in, or used in connection with any window or door of the Premises without the prior written consent of Lessor. Such
curtains, blinds, shades, screens or other fixtures must be of a quality, type, design and color, and attached in the manner approved by Lessor. 

        3.    Lessee,
its servants, employees, customers, invitees and guests shall not obstruct sidewalks, entrances, passages, corridors, vestibules, halls, elevators, or stairways
in and about the Office Complex which are used in common with other tenants and their servants, employees, customers, guests and invitees, and which are not a part of the Premises of Lessee. Lessee
shall not place objects against glass partitions or doors or windows which would be unsightly from the Office Complex corridors or from the exterior of the Office Complex, or that would interfere with
the operation of any device, equipment, radio, television broadcasting or reception from or within the Office Complex or elsewhere and shall not place or install any projections, antennas, aerials or
similar devices outside of the Premises or on the Office Complex. 

        4.    Lessee
shall not waste electricity, water or air conditioning and shall, at no cost to Lessee, cooperate fully with Lessor to insure the most effective operation of the
Office Complex's heating and air conditioning systems and shall refrain from attempting to adjust any controls other than unlocked room thermostats, if any, installed for Lessee's use. Lessee shall
keep corridor doors closed. 

        5.    Lessee
assumes full responsibility for protecting its space from theft, robbery and pilferage, which includes keeping doors locked and other means of entry to the
Premises closed and secured after normal business hours, subject to Lessor's security obligations hereunder. 

        6.    No
person or contractor not employed by Lessor shall be used to perform janitorial work, window washing cleaning, maintenance, repair or similar work in the Premises
without the written consent of Lessor, which consent shall not be unreasonably withheld, conditioned or delayed. 

        7.    In
no event shall Lessee bring into the Office Complex inflammables, such as gasoline, kerosene, naphtha and benzine, or explosives or any other article of intrinsically
dangerous nature. If, by reason of the failure of Lessee to comply with the provisions of this paragraph, any insurance premium for all or any part of the Office Complex shall at any time be
increased, Lessee shall make immediate payment of the whole of the increased insurance premium, without waiver of any of Lessor's other rights at law or in equity for Lessee's breach of this Lease. 

        8.    Lessee
shall comply with all applicable federal, state and municipal laws, ordinances and regulations, and building rules and shall not directly or indirectly make any
use of the Premises which may be prohibited by any of the foregoing or which may be dangerous to persons or property or may increase the cost of insurance or require additional insurance coverage. 

        9.    Lessor
shall have the right to prohibit any advertising by Lessee which in Lessor's reasonable opinion tends to impair the reputation of the Office Complex or its
desirability as an office complex for 

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office use, and upon written notice from Lessor, Lessee shall refrain from or discontinue such advertising. 

        10.    The
Premises shall not be used for cooking (except for the use of ordinary office coffee makers and microwave ovens in kitchen areas), lodging, sleeping or for any
immoral or illegal purpose. 

        11.    Lessee
and Lessee's servants, employees, agents, visitors and licensees shall observe faithfully and comply strictly with the foregoing rules and regulations and such
other and further appropriate rules
and regulations as Lessor or Lessor's agent may from time to time adopt. Reasonable notice of any additional rules and regulations shall be given in such manner as Lessor may reasonably elect. 

        12.    Unless
expressly permitted by the Lessor, no additional locks or similar devices shall be attached to any door or window and no keys other than those provided by the
Lessor shall be made for any door. If more than two keys for one lock are desired by the Lessee, the Lessor may provide the same upon payment by the Lessee. Upon termination of this Lease or of the
Lessee's possession, the Lessee shall surrender all keys of the Premises and shall explain to the Lessor all combination locks on safes, cabinets and vaults. 

        13.    Any
carpeting cemented down by Lessee shall be installed with a releasable adhesive. In the event of a violation of the foregoing by Lessee, Lessor may charge the
expense incurred by such removal to Lessee. 

        14.    The
water and wash closets, drinking fountains and other plumbing fixtures shall not be used for any purpose other than those for which they were constructed, and no
sweepings, rubbish, rags, coffee grounds or other substances shall be thrown therein. All damages resulting from any misuse of the fixtures shall be borne by the Lessee who, or those servants,
employees, agents, visitors or licensees, shall have caused the same. No person shall waste water by interfering or tampering with the faucets or otherwise. 

        15.    No
electrical circuits for any purpose shall be brought into the leased premises without Lessor's written permission, which permission shall not be unreasonably
withheld, conditioned or delayed, specifying the manner in which same may be done. 

        16.    No
bicycle or other vehicle, and no dog or other animal shall be allowed in offices, halls, corridors, or elsewhere in the building. 

        17.    Lessee
shall not throw anything out of the door or windows, or down any passageways or elevator shafts. 

        18.    All
loading, unloading, receiving or delivery of goods, supplies or disposal of garbage or refuse shall be made only through entryways and freight elevators provided for
such purposes and indicated by Lessor. Lessee shall be responsible for any damage to the building or property of its employees or others and injuries sustained by any person whomsoever resulting from
the use or moving of such articles in or out of the leased premises, and shall make all repairs and improvements required by governmental authorities in connection with the use or moving of such
articles. 

        19.    All
safes, equipment or other heavy articles shall be carried in or out of the Premises only at such time and in such manner as shall be prescribed in writing by Lessor,
and Lessor shall in all cases have the right to specify the proper position of any such safe, equipment or other heavy article, which shall only be used by Lessee in a manner which will not interfere
with or cause damage to the leased premises or the building in which they are located, or to the other tenants or occupants of said building. Lessee shall be responsible for any damage to the building
or the property of its employees or others and injuries sustained by any person whomsoever resulting from the use or moving of such articles in or out of the leased premises, and shall make all
repairs and improvements required by governmental authorities in connection with the use or moving of such articles. 

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        20.    Canvassing,
soliciting, and peddling in the building is prohibited and each Lessee shall cooperate to prevent the same. 

        21.    Vending
machines shall not be installed without permission of the Lessor, which permission shall not be unreasonably withheld, conditioned or delayed. 

        22.    Wherever
in these Building Rules and Regulations the word "Lessee" occurs, it is understood and agreed that it shall mean Lessee's associates, agents, clerks, servants
and visitors. Wherever the word "Lessor" occurs, it is understood and agreed that it shall mean Lessor's assigns, agents, clerks, servants and visitors. 

        23.    Lessor
shall have the right to enter upon the leased premises at all reasonable hours for the purpose of inspecting the same following notice thereof to Lessee as
provided in the Lease (except that in the case of emergencies no notice shall be required), provided that Lessor shall not unreasonably interfere with Lessee's use and occupancy of the Leased
Premises. 

        24.    Lessor
shall have the right to enter the leased premises at hours convenient to the Lessee for the purpose of exhibiting the same to prospective tenants within the
60-day period prior to the expiration of this Lease following notice thereof to Lessee as provided in the Lease, and may place signs advertising the leased premises for rent on the windows
and doors of said Premises at any time within said 60-day period, provided that Lessor shall not unreasonably interfere with Lessee's use and occupancy of the Leased Premises. 

        25.    Lessees,
its servants, employees, customers, invitees and guests shall, when using the common parking facilities, if any, in and around the building, observe and obey
all signs regarding fire lanes and no parking zones, and when parking always park between the designated lines. Lessor reserves the right to tow away, at the expense of the owner, any vehicle which is
improperly parked in a no parking zone.
All vehicles shall be parked at the sole risk of the owner, and Lessor assumes no responsibility for any damage to or loss of vehicles. 

        26.    At
all times the Office Complex shall be in charge of Lessor's employee in charge and (a) persons may enter the Office Complex only in accordance with Lessor's
regulations, (b) persons entering or departing from the Office Complex may be questioned as to their business in the Office Complex, and the right is reserved to require the use of an
identification card or other access device and the registering of such persons as to the hour of entry and departure, nature of visit, and other information deemed necessary for the protection of the
Office Complex, and (c) all entries into and departures from the Office Complex will take place through such one or more entrances as Lessor shall from time to time designate. Lessor will
normally not enforce clauses (a), (b) and (c) above from 7:00 a.m. to 6:00 p.m., Monday through Friday, and from 8:00 a.m. to 1:00 p.m. on Saturdays, but it
reserves the right to do so or not to do so at any time at its sole discretion. In case of invasion, mob, riot, public excitement, or other commotion, Lessor reserves the right to prevent access to
the Office Complex during the continuance of the same by closing the doors or otherwise, for the safety of the tenants or the protection of the Office Complex and the property therein. Lessor shall in
no case be liable for damages for any error or other action taken with regard to the admission to or exclusion from the Office Complex of any person. 

        27.    All
entrance doors to the Premises shall be locked when the Premises are not in use. All corridor doors shall also be closed during times when the air conditioning
equipment in the Office Complex is operating so as not to dissipate the effectiveness of the system or place an overload thereon. 

        28.    Lessor
reserves the right at any time and from time to time to rescind, alter or waive, in whole or in part, any of these Rules and Regulations when it is deemed
necessary, desirable, or proper, in Lessor's judgment, for its best interest or for the best interest of the tenants of the Office Complex, provided that such change shall affect all leases of the
Office Complex. 

62

  

EXHIBIT "B"  

 
 

SIGNAGE    
  

63

 
EXHIBIT "C"  

64

 
EXHIBIT "D"  

 
 

INSURANCE REQUIREMENTS    
  

        Insurance Coverage. Lessee will insure the Office Complex against such perils and hazards, and in such amounts and
with such limits, as Lessor and/or Lessor's mortgagee may from time to time reasonably require, and in any event will continuously maintain the following described policies of insurance without cost
to Lessor or its mortgagee (the "Insurance Policies"): 

	(a)
	Property
insurance against loss and damage by all risks of physical loss or damage, including fire, sprinkler leakage, windstorm, hurricane, flood and other risks covered by the
so-called extended coverage endorsement covering the Improvements and personal property in amounts not less than the full insurable replacement value of all Improvements and personal
property from time to time on the Office Complex and without sublimits, such insurance to contain Replacement Cost and Agreed Amount endorsements and containing a deductible not greater than
$10,000.00;

	(b)
	Commercial
general liability insurance, including death, bodily injury and broad form property damage coverage with a combined single limit in an amount not less than One Million
Dollars ($1,000,000) per occurrence and Two Million Dollars ($2,000,000) in the aggregate for any policy year with no deductible;

	(c)
	An
umbrella excess liability policy with a limit of not less than Ten Million Dollars ($10,000,000) over primary insurance, which policy shall include coverage for
so-called assumed and contractual liability coverage and automobile liability coverage and shall also include such additional coverages and insured risks which are reasonably acceptable to
Lessor's mortgagee;

	(d)
	Rental
and/or business interruption insurance to cover loss of income in an amount not less than eighteen (18) months' projected Receipts from the Office Complex, at 100%
occupancy during such period. The amount of such insurance shall be increased from time to time during the term of the Loan as and when Receipts from the Office Complex increase;

	(e)
	If
required by applicable law, Worker's Compensation Insurance in statutory amounts, if any, at all times;

	(f)
	If
the Office Complex lies within a Flood Zone "A" or Flood Zone "V" as determined by the Federal Emergency Management Agency, or is located in any other flood zone deemed appropriate
by Beneficiary, in an amount not less then the full replacement cost of the Office Complex; flood insurance in an amount to be determined by Lessor's and Lessor's mortgagee's insurance consultant;

	(g)
	Insurance
against loss or damage from (A) leakage of sprinkler systems and (B) explosion of steam boilers, air conditioning equipment, high pressure piping, machinery
and equipment, pressure vessels or similar apparatus now or hereafter installed in the Improvements (without exclusion for explosions), in an amount at least equal to the outstanding principal amount
of the Note or $2,000,000, whichever is less;

	(h)
	During
any period of construction, repair or restoration, builder's "all risk" insurance in an amount equal to not less than the full insurable value of the Office Complex against
such risks (including, without limitation, fire and extended coverage and collapse of the Improvements to agreed limits) as Lessor and its mortgagee may request;

	(i)
	If
the Office Complex are or become a "non-conforming use" under applicable zoning and building ordinances, or other Legal Requirements, coverage to compensate for loss or
reduction in the value of the Office Complex, the cost of restoring the undamaged portion of the Office Complex and the cost of demolition and the increased cost of construction resulting from the 

65

 

application
of any such zoning or building ordinances or other Legal Requirements to the Office Complex; and 

	(j)
	Such
other types and amounts of insurance coverage as are reasonably requested by Lessor and/or its mortgagee and are customarily (i) maintained by owners or operators of like
properties, or (ii) required by institutional lenders in like transactions. 

66

  

 
 

BLI-8787, LTD
  8235 DOUGLAS AVENUE, SUITE 770
  DALLAS, TEXAS 75225
  Telephone: (214) 692-5085
  Facsimile: (214) 692-0274    
  

November 19, 2001

EXE
Technologies, Inc.

300 Baldwin Tower Boulevard

Eddystone, Pennsylvania 19022 

Attention:
Joanie Hadik 

	 	Re:	Office Lease dated as of November 1, 2001 (the "New Lease"), between EXE Technologies, Inc. ("Lessee") and BLI-8787, Ltd. ("Lessor") for 8777 and 8787 Stemmons Freeway, in Dallas, Texas (the "Premises")

Dear
Ms. Hadik: 

        Lessor
and Lessee previously executed an Office Lease for the Premises dated May 18, 1999, as amended by Amendment No. 1 to Office Lease dated February 22, 2000
(collectively, the "Previous
Lease"). Lessee and Lessor are executing the New Lease as a restatement of the Previous Lease in its entirety, with the prior written approval of Lessor's lenders. 

        As
a condition to the execution of the New Lease, Lessor and Lessee agree that all claims under the Previous Lease are waived and released, subject to the final reconciliation of the
following matters: (a) refund to Lessee of November rent under the Previous Lease; (b) payment to Lessor of November rent due under the New Lease; (c) refund to Lessee of rent
overpayments, if any, under the Previous Lease; (d) the following repairs shall be completely by Lessor—replace shrubbery around parking garage, repair/replace various window and
entry door deficiencies in Towers I and II, reseal skylights, replace door felts/sweeps and adjust, and replace two (2) spandrel glass windows (the parties agreeing that Lessor is responsible
under the New Lease for the following structural repairs to the parking garage—concrete repair/patching, sealant placement/replacement, deflection repair at broken double "T" connections);
(e) payment to Lessor of prorated additional rent for operating expenses for the first ten months of 2001, under the Previous Lease; (f) reimbursement to Lessor for operating expenses
paid by Lessor in November for which Lessee is responsible under the New Lease; (g) payment to Lessor of prorated additional rent for taxes and insurance for the first ten months of 2001, under
the Previous Lease; and (h) reimbursement to Lessor for taxes and insurance for the last two months of 2001 for which Lessee is responsible under the New Lease. The parties will act in good
faith to complete this final reconciliation as soon after the execution of the New Lease as possible. 

        Under
the New Lease, the parties agree that Lessor will provide reasonable documentation to Lessee to support all amounts of additional rent to be paid by Lessee. All real estate taxes
and other impositions which Lessee is required to pay as additional rent, may be appealed at Lessee's request and sole expense (and with Lessor's consent which will not be unreasonably withheld,
conditioned or delayed). The appeal will be pursued, at Lessor's election, in Lessor's name and by counsel of its selection reasonably acceptable to Lessee, or in Lessee's name and by counsel of its
selection reasonably acceptable to Lessor. In either case, Lessor and Lessee will reasonably cooperate with each other in the pursuit of the appeal. 

        Please
evidence your agreement with the terms hereof by executing this letter in the space provided below. 

67

 

	

 	

 	
 	

BLI-8787, Ltd.,

a Texas limited partnership
	

 	

 	
 	

By:	

Stemmons Tower GP, Inc.,

a Texas corporation, general partner
	

 	

 	
 	

By:	

/s/  DAVID A. LANE      
 David A. Lane
 President
	

AGREED AND ACCEPTED:	
 	

 	

 
	

EXE Technologies, Inc.,

a Delaware corporation	
 	

 	

 
	

By:	

/s/  JOANIE HADIK      
	
 	

 	

 
	

Name:	

Joanie Hadik
	
 	

 	

 
	

Title:	

Corporate Facilities Manager
	
 	

 	

 

68

QuickLinks

OFFICE LEASE

WITNESSETH

ARTICLE 1 BASE RENT

ARTICLE 2 ADDITIONAL RENT

ARTICLE 3 BASE AND ADDITIONAL RENT

ARTICLE 4 POSSESSION OF PREMISES

ARTICLE 5 SERVICES

ARTICLE 6 INSURANCE

ARTICLE 7 CERTAIN RIGHTS RESERVED BY LESSOR

ARTICLE 8 ALTERATIONS AND IMPROVEMENTS

ARTICLE 9 REPAIRS

ARTICLE 10 ASSIGNMENT AND SUBLETTING

ARTICLE 11 DAMAGE BY FIRE OR OTHER CASUALTY

ARTICLE 12 EMINENT DOMAIN

ARTICLE 13 SURRENDER OF PREMISES

ARTICLE 14 DEFAULT OF LESSEE

ARTICLE 15 SUBORDINATION/ESTOPPEL

ARTICLE 16 MISCELLANEOUS

BUILDING RULES AND REGULATIONS

SIGNAGE

INSURANCE REQUIREMENTS

BLI-8787, LTD 8235 DOUGLAS AVENUE, SUITE 770 DALLAS, TEXAS 75225 Telephone: (214) 692-5085 Facsimile: (214) 692-0274

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00036-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00036-of-00352.parquet"}]]