Document:

exv10w7

Exhibit 10.7

INVESTMENT BANKING SERVICES AGREEMENT

BETWEEN

AMERICAN CAPITAL FINANCIAL SERVICES, INC.,

AND

GLOBAL MONITORING SYSTEMS, INC.

December 22, 2005

CONTACTS:

American Capital Financial Services, Inc.

461 Fifth Avenue

26th Floor

New York, NY 10017

(212) 213-2009

(212) 213-2060

Robert Klein, Principal

Dustin Smith, Vice President

(c) 2002 American Capital Financial Services, Inc.

 

 

INVESTMENT BANKING SERVICES AGREEMENT

     This Investment Banking Services Agreement (the “Agreement”) is made as of this
22nd day of December, 2005 (the “Execution Date”), between Global Monitoring Systems,
Inc., a Delaware corporation (together with its subsidiaries, the “Company”) and
American Capital Financial Services, Inc., a Delaware corporation with its principal place of
business in Bethesda, Maryland (“ACFS”), to be effective as of December 22, 2005 (the
“Effective Date”).

A. INTRODUCTION

	 	1.	 	Whereas, the Company is primarily engaged in the business of, among
other things, Dosimetry services and is owned by an affiliate of ACFS, American
Capital Strategies, Ltd. (“ACAS”);
	 
	 	2.	 	Whereas, the Company wishes to enter into a comprehensive investment
banking agreement under which it will commit to employ ACFS as financial advisor
in any acquisition, sale, merger or financing transactions entered into by the
Company and in other financial advisory work, including valuation, structuring and
negotiating, which ACFS is qualified to perform;
	 
	 	3.	 	Whereas, ACFS has represented to the Company that it has expertise and
experience in such work; and
	 
	 	4.	 	Whereas, the Company wishes to enter into this Agreement with ACFS on
the terms
provided for herein.

     NOW, THEREFORE, in consideration of the mutual promises contained in this Agreement, and
intending to be legally bound hereby, the parties hereby agree as follows:

B. SCOPE OF THE AGREEMENT

This Agreement relates to investment banking services, which shall be defined as follows
(and such definitions shall be equally applicable to both the singular and plural form
of the terms defined, as the context may require):

	 	1.	 	“Acquisition Transactions” shall mean the acquisition by the
Company of any other business whether by purchase of stock or assets in cash sale
or for other consideration, or by merger in which the Company is substantially the
surviving entity.
	 
	 	2.	 	“Sale Transactions” shall mean sale of all or part of the
equity or assets of the Company in a cash sale or for other consideration, or by a
merger in which the Company is not substantially the surviving entity.
	 
	 	3.	 	“Financing Transaction” shall mean the sale of any equity or debt securities by the Company.

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	 	4.	 	“Close” or “Closing” shall mean the day on which any
Acquisition, Sale or Financing Transaction (each, sometimes referred to herein as a
“Transaction”) occurs.

C. RESPONSIBILITIES OF ACFS

     ACFS will perform the following work as the Company’s exclusive agent:

	 	1.	 	RAISING FINANCING
	 
	 	 	 	ACFS will, if the Company chooses to use an agent for such purpose, assist the
Company in placing any equity or debt securities.
	 
	 	2.	 	ACQUISITION AND MERGER TRANSACTIONS
	 
	 	 	 	ACFS will assist the Company in researching, evaluating, initiating,
structuring and closing any potential Transaction.
	 
	 	3.	 	FINANCIAL ANALYSIS
	 
	 	 	 	As appropriate, ACFS will assist the Company in gathering and reviewing data to
build a financial model (“Model”) of the Company, and in using such a
Model to evaluate the Company and any proposed Transaction. The Model will
integrate historical financial performance of the Company with projections
subsequent to any Transaction, and will include a detailed income statement,
balance sheet, cash flow statement, valuation, and a detailed set of
assumptions.
	 
	 	 	 	The Model will assist in evaluating the capital requirements of the Company;
potential merger and acquisition synergies; and the impact of any Transaction on
shareholder value and liquidity.
	 
	 	4.	 	MANAGEMENT AND BOARD OF DIRECTORS
	 
	 	 	 	ACFS will make continuing reports to the Company’s management and Board of
Directors regarding its work for the Company, as requested.
	 
	 	5.	 	STOCKHOLDER COMMUNICATIONS
	 
	 	 	 	ACFS will assist the Company in communicating with, educating, and informing
its stockholders about any potential Transaction.
	 
	 	6.	 	COORDINATION
	 
	 	 	 	ACFS will assist the Company in coordinating the financial institutions, legal
counsel, valuation firms, accountants, and any other professional advisors who
may be required for a Transaction.

D. REPORTING

ACFS and the Company will inform each other on a timely basis of any and all material
developments regarding matters to which this Agreement pertains, throughout the life of
this Agreement.

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E. AUTHORITY OF ACFS

ACFS understands and agrees that it is not a general agent for the Company, and it is not
granted any right or authority to assume or to create any obligation or responsibility or
to make any representation or warranty on behalf of or in the name of the Company, or to
bind the Company in any manner whatsoever.

F. FEES AND EXPENSES

	 	1.	 	EXPENSES
	 
	 	 	 	The Company will reimburse ACFS for all reasonable out-of-pocket expenses that ACFS
may incur under this Agreement from the Effective Date to any Close or the earlier
abandonment or termination of any Transaction. Such expenses will include travel,
telephone, courier, postage, printing and other expenses incurred by ACFS in the
performance of its work under this Agreement (the “Expenses”).
	 
	 	 	 	If this Agreement is Terminated (as defined below) pursuant to the terms of this
Agreement, all Expenses owed shall be paid to ACFS at the time of the Termination.
	 
	 	2.	 	MANAGEMENT FEE
	 
	 	 	 	For so long as ACAS has an investment in any of the Company’s debt or equity
securities, the Company shall pay to ACFS an annual Management Fee for each
calendar year commencing on the date hereof equal to $1,625,000. The Management Fee
will be payable quarterly in advance. If any monthly installment of the Management
Fee is not paid when due because of prohibitions in any credit agreement to which
the Company is a party, such fee shall accrue and become payable promptly at such
time as such payment is not so prohibited.
	 
	 	3.	 	PERFORMANCE FEES
	 
	 	 	 	Upon Closing of any Transaction, the Company will pay ACFS, in cash, performance
fee(s) (the “Performance Fee”) according to the following schedule:

	 	a)	 	Acquisition Structuring Fee
	 
	 	 	 	Upon Closing of an Acquisition Transaction the Company will pay ACFS
a “Structuring Fee” equal to the sum of:
	 
	 	 	 	Five percent (5%) of the first two million dollars of the purchase
price of the assets or equity of the business purchased or acquired
by merger plus the value of any existing debt assumed from the
purchased business (together, the “Purchase Price”); plus
	 
	 	 	 	Four percent (4%) of the second two million dollars of the Purchase
Price; plus
	 
	 	 	 	Three percent (3%) of the third two million dollars of the Purchase
Price; plus

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	 	 	 	Two percent (2%) of the fourth two million dollars of the Purchase Price; plus
	 
	 	 	 	One percent (1%) of the Purchase Price in excess of $8 million dollars (the entire above
calculation is referred to herein as the “Double Lehman Formula”);
	 
	 	 	 	Example:
	 
	 	 	 	In a Transaction in which the Company pays $5 million for the equity of a business, and
assumes $7 million in debt of the business, the Purchase Price shall be calculated to
equal $12,000,000 and the Structuring Fee shall be equal to 5% x $2,000,000 plus 4% times
$2,000,000 plus 3% times $2,000,000, plus 2% times $2,000,000 plus 1% times $4,000,000,
or $320,000.
	 
	 	b)	 	Financing Fees
	 
	 	 	 	Upon Closing of a Financing Transaction (including any Financing Transaction closed in
conjunction with an Acquisition Transaction), the Company will pay ACFS a “Financing
Fee” equal to the sum of the following computations:

	 	(1)	 	Two percent (2%) of any new indebtedness incurred by the Company and
secured by a first lien on any securities or assets of the Company (“Senior
Financing”); plus
	 
	 	(2)	 	Three percent (3.0%) of any new indebtedness incurred by the Company and
subordinated with respect to rights in liquidation or with respect to rights to
payment of either interest or principal, to the Senior Financing, whether or not
secured (“Subordinated Financing”); plus
	 
	 	(3)	 	Four percent (4.0%) of any equity invested in the Company
(“Equity”);

	 	c)	 	Sale Fees
	 
	 	 	 	Upon Closing of a Sale Transaction, the Company will pay ACFS a “Sale Fee” equal to the
sum of the computations below:

	 	(1)	 	Five percent (5%) of the first $2 million of Capital (as defined below);
	 
	 	(2)	 	Four percent (4%) of the second $2 million of Capital;
	 
	 	(3)	 	Three percent (3%) of the third $2 million of Capital;

	 
	 	(4)	 	Two percent (2%) of the fourth $2 million of Capital;
	 
	 	(5)	 	One percent (1%) of any additional Capital;

	 	d)	 	Definition of Capital
	 
	 	 	 	“Capital” shall be defined as follows:

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	 	(1)	 	Non-Change of Control Transaction

	 	(a)	 	Stock Transaction
	 
	 	 	 	In any Transaction in which less than 50% of the voting stock of the
Company is acquired by a purchaser, “Capital” shall equal the fair market
value (“FMV”) of the consideration paid or committed for such
stock, whether the stock was newly issued by the Company or sold by
stockholders (“Stockholders”) of the Company; or
	 
	 	(b)	 	Debt Placement
	 
	 	 	 	In any Transaction in which less than 50% of the voting stock of the
Company is acquired by a purchaser or in which no equity is sold,
“Capital” shall equal the FMV of any debt committed to the Company or any
liabilities of the Company assumed by a purchaser.

	 	(2)	 	Change of Control Transaction

	 	(a)	 	Stock Transaction
	 
	 	 	 	In any Transaction in which 50% or more of the voting stock of the Company
is acquired by a purchaser, “Capital” shall equal the FMV of the
consideration paid or committed for such stock and all other securities
purchased, whether the stock or other securities were newly issued by the
Company or sold by Stockholders, plus the FMV of the liabilities of the
Company; or
	 
	 	(b)	 	Asset Transaction
	 
	 	 	 	In any Transaction in which 50% or more of the assets of the Company are
acquired by a purchaser, “Capital” shall equal the FMV of the
consideration paid or committed for such assets.

	 	(3)	 	Merger Transaction
	 
	 	 	 	In any Transaction that is implemented through a merger or business combination,
“Capital” shall equal the FMV of the Company’s equity plus the FMV of the
Company’s liabilities.

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G. TERMINATION

	 	 	The Company may terminate this Agreement (the “Termination”) at any time by written
notice to ACFS provided that, at the time of Termination, ACAS does not have an investment
in any of the Company’s debt or equity securities. From the date of the Termination, ACFS
will not be required to perform any services for the Company and will not incur additional
Expenses under this Agreement. A Termination shall not otherwise limit any of ACFS’s rights
set forth in this Agreement including rights to compensation under paragraph F of this
Agreement in the event that a Transaction occurs at any time in a period of eighteen (18)
months following the Termination of this Agreement. Notwithstanding the preceding sentence,
ACFS’ rights under paragraph F.2 shall survive as long as ACAS has an investment in any of
the Company’s debt or equity securities.

H. INDEMNIFICATION OF ACFS

	 	 	ACFS is not providing and does not represent that it is providing the Company with
financial planning or investment advice within the meaning of the Investment Advisers Act
of 1940, as amended. Nor does any information provided by ACFS constitute legal advice or
legal opinion. The Company acknowledges that ACFS makes no representation that any
Financing can be successfully raised by ACFS for a Transaction or that a Transaction can be
consummated.
	 
	 	 	The Company agrees to indemnify and cause any company surviving any Transaction to indemnify
and hold harmless ACFS and its affiliates, employees and agents, and their respective
successors and assigns (together with ACFS, the “Indemnified Parties” and each, an
“Indemnified Party”), to the maximum extent lawful, from and against any losses,
claims, damages, liabilities or expenses (or actions in respect thereof) which (i) are
related to or arise out of this Agreement or any Transaction and (ii) challenge or put in
issue the accuracy or completeness of information or data provided to any Indemnified Party
by the Company, its agents or employees and reflected in any report, study, presentation,
recommendation or conclusion issued by any Indemnified Party. In any case where an
indemnification obligation arises under the preceding sentence, the Company will reimburse
each Indemnified Party for all expenses (including counsel fees) as they are incurred by
such Indemnified Party in connection with investigating, preparing or defending any such
action or claim, whether or not in connection with pending or threatened litigation to which
any Indemnified Party is a party.
	 
	 	 	The Company will not, however, be responsible for any losses, claims, damages, liabilities
or expenses of any Indemnified Party to the extent such losses, claims, damages,
liabilities or expenses are finally judicially determined to have resulted from the bad
faith or gross negligence of such Indemnified Party. The Company agrees that no Indemnified
Party shall have any liability to the Company for, or in connection with, this Agreement
except that ACFS may be liable to the extent any such liability for losses, claims,
damages, liabilities or expenses incurred by the Company results from the bad faith or
negligence of ACFS or its representatives. The foregoing shall be in addition to

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	 	 	any rights that ACFS or its representatives may have at common law or otherwise,
including, but not limited to, any right to contribution.
	 
	 	 	If any action or proceeding shall be brought or asserted against any Indemnified Party in
respect of which indemnity may be sought from the Company, ACFS shall promptly notify the
Company in writing, and the Company shall assume the defense thereof, including the
employment of counsel reasonably satisfactory to the Indemnified Parties and the payment of
all expenses. The Indemnified Parties shall have the right to employ separate counsel in
any such action and participate in the defense thereof, but the fees and expenses of such
counsel shall be at the expense of the Indemnified Parties unless:

	 	1.	 	the Company has agreed to pay such fees and expenses;
	 
	 	2.	 	the Company shall have failed to assume the defense of such
action or proceeding on a timely basis with counsel satisfactory to the
Indemnified Parties for the purposes of such defense; or
	 
	 	3.	 	ACFS shall have reasonably concluded and notified the Company
that the representation of the Company and any Indemnified Party by the same
counsel is inappropriate due to actual or potential differing interests
between them.

	 	 	The Company shall not be liable for any settlement of any such action or proceeding
effected without the Company’s written consent, but if settled with the Company’s consent,
or if there be a final judgment for the plaintiff in any such action or proceeding, the
Company agrees to indemnify and hold harmless the Indemnified Parties from and against any
loss or liability by reason of such settlement or judgment. No action or proceeding covered
by this Paragraph H the defense of which has been assumed by the Company may be settled
without the consent of any Indemnified Party affected thereby unless such settlement
includes the full unconditional release of such Indemnified Party without liability,
admission of liability or other adverse affect.

I. REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE COMPANY

	 	 	The Company represents, warrants and covenants as follows:

	 	1.	 	This Agreement has been duly authorized and executed on behalf of the Company
and is a valid and binding obligation of the Company and enforceable against it in
accordance with its terms.
	 
	 	2.	 	The obligations of the Company under this Agreement shall be binding upon any
successor, subsidiary or assign of the Company.

J. INDEMNIFICATION OF THE COMPANY

	 	 	ACFS agrees to indemnify the Company against any liability for losses, claims, damages,
liabilities or expenses incurred by the Company to the extent such losses, claims,

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	 	 	liabilities or expenses result from the bad faith or gross negligence of ACFS or its
representatives.

K. REPRESENTATIONS, WARRANTIES AND COVENANTS OF ACFS

	 	 	ACFS represents, warrants and covenants that it shall act in accordance with applicable
securities laws while performing its obligations under this agreement.

L. LAWS GOVERNING

	 	 	The construction and interpretation of this Agreement and the rights of the parties to
this Agreement shall be governed by the laws of the State of Maryland.

M. CAPTIONS

	 	 	The captions of the paragraphs hereof are for convenience only and shall not control or
affect the meaning or construction of any of the provisions of this Agreement.

N. ARBITRATION

	 	 	All claims, demands, disputes, controversies, differences, or misunderstandings between
the parties relating to this Agreement shall be settled by arbitration, in accordance with
the rules of the American Arbitration Association, and judgment on the award rendered
by the arbitrator or arbitrators may be entered and enforced in any court having
jurisdiction, and jurisdiction to be in no way limited by the paragraph entitled “Laws
Governing” hereof.

O. COUNTERPARTS

	 	 	This Agreement may be executed in any number of counterparts, each of which shall be an
original instrument of the party executing the same, but all of which together shall
constitute one and the same Agreement.

P. SEVERABILITY

	 	 	Should any provisions of this Agreement, or portions hereof, be found to be invalid by
any court of competent jurisdiction, the remainder of this Agreement shall nonetheless
remain in full force and effect.

Q. CORPORATE OBLIGATION

	 	 	The obligations of ACFS are solely corporate obligations, and no officer, director,
employee, agent, shareholder or controlling person shall, as a result of ACFS’ obligations
hereunder, be subjected to any personal liability whatsoever to any person, nor will any
such claim be asserted by or on behalf of any party to this Agreement.

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R. MISCELLANEOUS

	 	 	Subsequent to any Transaction, ACFS shall have the right to use and disclose the name and
logo of the Company, the services provided by ACFS under this Agreement and the size and
description of the Transaction in ACFS’ marketing and promotional materials.

S. NOTICES

	 	 	All notices hereunder shall be in writing, postage prepaid, addressed to the parties at the
addresses set forth below:

	 	1.	 	GLOBAL MONITORING SYSTEMS, INC.
	 
	 	 	 	C/O AMERICAN CAPITAL FINANCIAL SERVICES, INC.
	 
	 		 	461 FIFTH AVENUE, 26TH FLOOR
	 
	 	 	 	NEW YORK, NY 10017
	 
	 	 	 	Fax: (212) 213-2060
	 
	 	 	 	Attention: Dustin Smith
	 
	 	2.	 	AMERICAN CAPITAL FINANCIAL SERVICES, INC.
	 
	 		 	461 FIFTH AVENUE, 26TH FLOOR
	 
	 	 	 	New York, NY 10017
	 
	 	 	 	Fax: (212) 213-2060
	 
	 	 	 	Attention: Dustin Smith

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     IN WITNESS WHEREOF, the parties below have caused this Investment Banking Services
Agreement to be executed as of the day and year first written above.

	 	 	 	 	 
	 	AMERICAN CAPITAL FINANCIAL SERVICES, INC.

 	 
	 	By:  	
/s/ Robert Klein
 	 
	 	 	Name:  	Robert Klein    	 
	 	 	Title:  	Principal 	 
	 
	 	

GLOBAL MONITORING SYSTEMS, INC.

 	 
	 	By:  	/s/ Thomas Logan
 	 
	 	 	Name:  	Thomas Logan  	 
	 	 	Title:  	President 	 
	 

Signature page to Investment Banking  Agreementexv10w11

Exhibit 10.11

Mirion Technologies, Inc. 

2006 Stock Plan

Effective as of December 22, 2005

 

 

TABLE
OF CONTENTS

	 	 	 	 	 	 	 
	 	 	 	 	Page No.	 
	 	 	 
	 	 	 	 
	SECTION 1.	 	  PURPOSE 
	 	 	1	 
	SECTION 2.	 	  ADMINISTRATION 
	 	 	1	 
	a.
	 	Committees 
	 	 	1	 
	b.
	 	Authority of the Board of Directors 
	 	 	1	 
	SECTION 3.	 	  STOCK SUBJECT TO PLAN 
	 	 	1	 
	a.
	 	Basic Limitation
	 	 	1	 
	b.
	 	Additional Shares 
	 	 	2	 
	c.
	 	Acquisitions 
	 	 	2	 
	SECTION 4.	 	  GENERAL TERMS 
	 	 	2	 
	a.
	 	Eligibility 
	 	 	2	 
	b.
	 	Nontransferability
	 	 	2	 
	c.
	 	Withholding Requirements 
	 	 	2	 
	d.
	 	No Retention Rights 
	 	 	2	 
	SECTION 5.	 	  OPTIONS 
	 	 	2	 
	a.
	 	Stock Option Agreement 
	 	 	2	 
	b.
	 	Number of Shares 
	 	 	3	 
	c.
	 	Exercise Price 
	 	 	3	 
	d.
	 	Vesting 
	 	 	3	 
	e.
	 	Exercisability
	 	 	3	 
	f.
	 	Basic Term 
	 	 	3	 
	g.
	 	Termination of Service (Except for Cause) 
	 	 	3	 
	h.
	 	Termination for Cause
	 	 	3	 
	i.
	 	Leaves of Absence
	 	 	4	 
	j.
	 	No Rights as a Stockholder
	 	 	4	 
	k.
	 	Modification, Extension and Assumption of Options
	 	 	4	 
	SECTION 6.	 	  PAYMENT FOR SHARES 
	 	 	4	 
	a.
	 	General Rule 
	 	 	4	 
	b.
	 	Cashless Exercise
	 	 	4	 
	c.
	 	Other Methods of Payment for Shares 
	 	 	4	 
	SECTION 7.	 	  ADJUSTMENT OF SHARES 
	 	 	4	 
	a.
	 	General
	 	 	4	 

i 

 

	 	 	 	 	 	 	 
	 	 	 	 	Page No.	 
	 	 	 
	 	 	 	 
	b.
	 	Mergers and Consolidations 
	 	 	5	 
	c.
	 	Reservation of Rights 
	 	 	5	 
	SECTION 8.	 	  SECURITIES LAW REQUIREMENTS 
	 	 	5	 
	SECTION 9.	 	  DURATION AND AMENDMENTS 
	 	 	6	 
	a.
	 	Term of the Plan 
	 	 	6	 
	b.
	 	Right to Amend or Terminate the Plan 
	 	 	6	 
	c.
	 	Effect of Amendment or Termination 
	 	 	6	 
	SECTION 10.	 	  DEFINITIONS 
	 	 	6	 
	a.
	 	“Award” 
	 	 	6	 
	b.
	 	“Board of Directors” 
	 	 	6	 
	c.
	 	“Cause” 
	 	 	6	 
	d.
	 	“Code” 
	 	 	7	 
	e.
	 	“Committee”
	 	 	7	 
	f.
	 	“Company” 
	 	 	7	 
	g.
	 	“Consultant” 
	 	 	7	 
	h.
	 	“Director”
	 	 	7	 
	i.
	 	“Disability”
	 	 	7	 
	j.
	 	“Employee”
	 	 	7	 
	k.
	 	“Exercise Price”
	 	 	7	 
	1.
	 	“Fair Market Value”
	 	 	7	 
	m.
	 	“Initial Public Offering”
	 	 	7	 
	n.
	 	“Nonstatutory Option”
	 	 	7	 
	o.
	 	“Option”
	 	 	7	 
	p.
	 	“Participant”
	 	 	7	 
	q.
	 	“Plan”
	 	 	8	 
	r.
	 	“Purchase Price”
	 	 	8	 
	s.
	 	“Service”
	 	 	8	 
	t.
	 	“Share”
	 	 	8	 
	u.
	 	“Stock Option Agreement”
	 	 	8	 
	v.
	 	“Stockholders Agreement”
	 	 	8	 
	SECTION 11.	 	  MISCELLANEOUS 
	 	 	8	 
	a.
	 	Choice of Law 
	 	 	8	 
	b.
	 	Stockholders Agreement 
	 	 	8	 

ii 

 

	 	 	 	 	 	 	 
	 	 	 	 	Page No.	 
	 	 	 
	 	 	 	 
	c.
	 	Execution
	 	 	8	 

iii 

 

Mirion Technologies, Inc.

2006 Stock Plan

SECTION 1. PURPOSE.

This Plan provides for the grant of Options to purchase Shares. The purpose of this Plan is to
attract and retain the best available personnel, to provide additional incentive to persons who
provide services to the Company or its affiliates, to promote the success of the Company’s
business and to provide the grant of Options to purchase Shares in amounts equal to and on similar
terms as the options provided to persons who provided services to the Company or its affiliates
prior to the Restructuring. Unless the context otherwise requires, capitalized terms used herein
are defined in Section 10.

SECTION 2. ADMINISTRATION.

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

b. Authority of the Board of Directors. The
Board of Directors shall have full authority
and discretion to take any actions it deems necessary or advisable for the administration
and operation of the Plan, including a review of any decision, interpretation or other action by
a Committee. All decisions, interpretations and other actions of the Board of Directors or, in
the absence of any action by the Board of Directors, any Committee shall be final and binding on
all Participants and other persons deriving their rights from a Participant. Without limiting
the generality of the foregoing, the Board of Directors may, in its sole discretion, clarify,
construe or resolve any ambiguity in any provision of the Plan or any Stock Option Agreement,
accelerate vesting or exercisability of Awards, extend the term or period of exercisability of any
Awards, modify the Purchase Price or Exercise Price under any Award, or waive any terms or
conditions applicable to any Award; provided, however, that no action taken by the Board of
Directors shall adversely affect in any material respect the rights granted to any Participant under
any outstanding Award without the Participant’s written consent.

SECTION 3. STOCK SUBJECT TO PLAN.

a. Basic Limitation. Shares offered under the Plan may be authorized but unissued Shares or
treasury Shares. The aggregate number of Shares that may be issued under the Plan (upon exercise
of Options or other rights to acquire Shares) shall not exceed 91,600 Shares. The number of Shares
is subject to adjustment pursuant to Section 7. The number of Shares that are subject to Options
outstanding at any time under the Plan shall not exceed the number of Shares that then remain
available for issuance under the Plan.

 

 

b. Additional Shares. In the event that any outstanding Option or other right to acquire
Shares expires, is cancelled or otherwise terminated, the Shares allocable to the unexercised
portion of such Option or other right shall again be available for the purposes of the Plan.

c. Acquisitions.
In connection with the acquisition of any business by the Company or any of its
affiliates, any outstanding grants, awards or sales of options or
other similar rights pertaining to
such business may be assumed or replaced by Options under the Plan
upon such terms and conditions as
the Board of Directors determines. The date of any such grant or
award shall relate back to the date
of the initial grant or award being assumed or replaced, and service
with the acquired business
shall constitute service with the Company and its affiliates for
purposes of such grant or award.
Any Shares underlying any grant, award or sale pursuant to any such acquisition shall be disregarded
for purposes of applying and shall not reduce the number of Shares available under Section 3(a)
above.

SECTION 4. GENERAL TERMS.

a. Eligibility.
The Board of Directors or any committee designated thereby is authorized to grant
Options to Employees, Directors and Consultants.

b. Nontransferability.
No Option or other right to acquire Shares, may be transferred, assigned,
pledged or hypothecated by any Participant during the
Participant’s lifetime, whether by operation
of law or otherwise, or be made subject to execution, attachment or
similar process, except by
beneficiary designation, will or the laws of descent and
distribution. Subject to the limitations
contained in this Section, an Option or other right to acquire Shares
under the Plan, may be
exercised during the lifetime of the Participant only by the
Participant or by the Participant’s
guardian or legal representative. Such Option or other right shall
not be transferable and shall
be exercisable only by the Participant to whom such right was
granted, except in the case of a
transfer by the Participant to its affiliate with the prior written
consent of the Board of
Directors in its discretion. Shares issued upon exercise of an Option
may be subject to such
restrictions as are set forth in the applicable Stock Option Agreement or the
Stockholders Agreement.

c. Withholding
Requirements. As a condition to the receipt or purchase of Shares pursuant to the
exercise of an Option, a Participant shall make such arrangements as
the Board of Directors may
require for the satisfaction of any federal, state, local or foreign withholding obligations
that may arise in connection with such receipt or purchase.

d. No Retention Rights. Nothing in the
Plan or in any award granted under the Plan shall confer
upon a Participant any right to continue in Service for any period of
specific duration or interfere
with or otherwise restrict in any way the rights of the Company or of
the Participant, which rights
are hereby expressly reserved by each, to terminate his or her
Service at any time and for any
reason, with or without Cause.

SECTION 5. OPTIONS.

a. Stock Option Agreement. Each grant of an Option under the Plan shall be evidenced by a Stock
Option Agreement between the Participant and the Company. Such Option shall be subject to all
applicable terms and conditions of the Plan and may be subject to any other terms

2

 

and conditions which are not inconsistent with the Plan and which the Board of Directors deems
appropriate for inclusion in a Stock Option Agreement. The provisions of the various Stock Option
Agreements entered into under the Plan need not be identical.

b. Number
of Shares. Each Stock Option Agreement shall specify the number
of Shares that are
subject to the Option and shall provide for the adjustment of such
number in accordance with Section
7.

c. Exercise
Price. Each Stock Option Agreement shall specify the Exercise Price. The Exercise
Price under any Option shall be determined by the Board of Directors
in its sole discretion. The
Exercise Price shall be payable in a form described in Section 6.

d. Vesting. Each Stock Option Agreement shall specify the date and events on which all or
any installment of the Option shall be vested and nonforfeitable (except as provided in the Plan or
the Stock Option Agreement). The vesting and nonforfeitability provisions applicable to any
Option shall be determined by the Board of Directors in its sole discretion. Unless otherwise
provided in the Stock Option Agreement for a Participant, no vesting of any Option shall occur, and
all rights to future vesting of any Option shall cease, upon the termination of Service for any
reason.

e. Exercisability.
Each Stock Option Agreement shall specify the date when all or any installment
of the Option is to become exercisable. The exercisability provisions
of any Stock Option Agreement
shall be determined by the Board of Directors in its sole discretion.

f. Basic
Term. The Stock Option Agreement shall specify the term of the Option. The term shall not
exceed 10 years from the date of grant. Subject to the preceding
sentence, the Board of Directors at
its sole discretion shall determine when an Option shall expire.

g. Termination
of Service (Except for Cause). If a Participant’s Service terminates for any reason
other than for Cause, then the Participant’s Options shall
expire on the earliest of the following
occasions:

	 	(i)	 	The expiration date determined pursuant to Subsection (f) above;
	 
	 	(ii)	 	The date thirty days (30) after the termination of the
Participant’s employment by the Company for any reason other than for Cause;
	 
	 	(iii)	 	The date of termination of the Participant’s employment by the Company for
Cause or if Cause exists on such date; or
	 
	 	(iv)	 	The date thirty days (30) after the date of the Participant’s voluntary
termination of employment with the Company for any reason.

A Participant (or in the case of the Participant’s death or Disability, the Participant’s
representative) may exercise all or part of the Participant’s Options at any time before the
expiration of such Options under the preceding sentence, but only to the extent that such Options
had become exercisable for vested Shares on or before the date Participant’s Service terminates.
All unvested Options shall lapse when the Participant’s Service terminates.

h. Termination for Cause. All of a Participant’s Options (including any exercised Options for
which Shares have not been delivered to the Participant) shall be cancelled and forfeited

3

 

immediately on the date of the Participant’s termination of Service if such termination is for
Cause or Cause exists on such date. Should a Participant die at a time when Cause exists but prior
to the date Participant’s Service is terminated for Cause, all of the Participant’s Options
(including any exercised Options for which Shares have not been delivered to the Participant) shall
be cancelled and forfeited immediately as of the date of the Participant’s death.

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

j. No Rights as a Stockholder. A Participant, or a transferee of a Participant, shall have no
rights as a stockholder with respect to any Shares covered by the Participant’s Option until such
person becomes entitled to receive such Shares by filing a notice of exercise, paying the Purchase
Price pursuant to the terms of such Option and satisfying such other conditions as the Board of
Directors shall reasonably require.

k. Modification, Extension and Assumption of Options. Within the limitations of the Plan, the
Board of Directors may modify, extend or assume outstanding Options or may provide for the
cancellation of outstanding Options (whether granted by the Company or another issuer) in return
for the grant of new Options for the same or a different number of Shares and at the same or a
different Exercise Price. The foregoing notwithstanding, no modification of an Option shall,
without the consent of the Participant, materially impair the Participant’s rights or increase the
Participant’s obligations under such Option.

SECTION 6. PAYMENT FOR SHARES.

a. General
Rule. The Purchase Price of Shares issued under the Plan shall be payable in cash or by
check at the time when such Shares are purchased, except as otherwise
provided in this Section 6.

b. Cashless Exercise. At the sole discretion of the Board of Directors, on or after an
Initial Public Offering, payment of all or any portion of the Purchase Price of Shares issued under
the Plan and any applicable withholding requirements may be made by
reducing the number of Shares
otherwise deliverable upon the exercise of an Award by the number of
Shares having a fair market
value equal to the Purchase Price.

c. Other
Methods of Payment for Shares. At the sole discretion of the Board of Directors, all or any
part of the Purchase Price and any applicable withholding
requirements may be paid by any other
method.

SECTION 7. ADJUSTMENT OF SHARES.

a. General. In the event of a subdivision of the outstanding Shares, a declaration of a dividend
payable in Shares, a combination or consolidation of the outstanding Shares into a lesser number
of Shares, a recapitalization, a spin-off, a reclassification or a similar occurrence, the Board
of Directors shall make appropriate adjustments in one or more of (i) the number of Shares
available under Section 3 for future Awards, (ii) the number of Shares covered by each

4

 

outstanding Option or other right to purchase Shares under the Plan and/or (iii) the Exercise Price
of each outstanding Option or Purchase Price of each other outstanding Award under the Plan.

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

	 	(i)	 	the continuation or assumption of such outstanding Awards under the Plan by
the Company (if it is the surviving corporation) or by the surviving corporation or
its parent;
	 
	 	(ii)	 	the substitution by the surviving corporation or its parent of stock awards
with substantially the same terms for such outstanding Awards;
	 
	 	(iii)	 	the acceleration of the vesting of or right to exercise such outstanding
Awards immediately prior to or as of the date of the merger or consolidation, and the
expiration of such outstanding Awards to the extent not timely exercised or purchased
by the date of the merger or consolidation or other date thereafter designated by the
Board of Directors; or
	 
	 	(iv)	 	the cancellation of all or any portion of such outstanding Awards by a cash
payment of the excess, if any, of the fair market value of the Shares subject to such
outstanding Awards or portion thereof being canceled over the Purchase Price with
respect to such Awards or portion thereof being canceled.

c. Reservation of Rights. Except
as provided in this Section 7, neither a Participant nor
a Participant’s representative shall have any rights by reason of (i) any subdivision
or consolidation of shares of stock of any class, (ii) the payment of any dividend or (iii) any
other increase or decrease in the number of shares of stock of any class. Any issuance by
the Company of shares of stock of any class, or securities convertible into shares of stock of
any class, shall not affect, and no adjustment by reason thereof shall be made with respect to,
the number or Exercise Price of Shares subject to an Option. The grant of an Option pursuant to
the Plan shall not affect in any way the right or power of the Company to make
adjustments, reclassifications, reorganizations or changes of its capital or business structure, to
merge or consolidate or to dissolve, liquidate, sell or transfer all or any part of its business or
assets.

SECTION 8. SECURITIES LAW REQUIREMENTS. Shares shall not be issued under the Plan unless the
issuance and delivery of such Shares comply with (or are exempt from) all applicable requirements
of law, including (without limitation) the Securities Act of 1933, as amended, the rules and
regulations promulgated thereunder, state securities laws and regulations, and the regulations of
any stock exchange or other securities market on which the Company’s securities may then be traded.
The Company shall not be obligated to file any registration statement under any applicable
securities laws to permit the purchase or issuance of any Shares under the Plan, and accordingly
any certificates for Shares may have an appropriate legend or statement of applicable restrictions
endorsed thereon. Each Participant and any person deriving its rights from any Participant shall,
as a condition to the purchase or issuance of any Shares under the Plan, deliver to the Company an
agreement or certificate containing such representations, warranties and covenants as the Company
may deem necessary or appropriate to

5

 

ensure that the issuance of Shares is not required to be registered under any applicable securities
laws.

SECTION 9. DURATION AND AMENDMENTS.

a. Term of the Plan. The Plan, as set forth herein, shall become effective on the date of
its adoption by the Board of Directors, subject to the approval of the majority of the
Company’s stockholders. If a majority of the stockholders fail to approve the Plan within 12 months
of its adoption by the Board of Directors, any Awards that have already been made shall be
rescinded, and no additional Awards shall be made thereafter under the Plan. The Plan shall
terminate automatically on the day preceding the tenth anniversary of its adoption by the Board
of Directors unless earlier terminated pursuant to Subsection (b) below.

b. Right
to Amend or Terminate the Plan. The Board of Directors may amend, suspend or terminate the
Plan at any time and for any reason; provided, however, that any
amendment of the Plan (except as
provided in Section 7) which increases the maximum number of
Shares issuable to any person or
available for issuance under the Plan in the aggregate, shall be
subject to the approval of the
Company’s stockholders. Stockholder approval shall not be
required for any other amendment of the
Plan.

c. Effect
of Amendment or Termination. Any amendment of the Plan shall not adversely affect in any
material respect any Participant’s rights under any Award
previously made or granted under the Plan
without the Participant’s consent. No Shares shall be issued or
sold under the Plan after the
termination thereof, except pursuant to an Award granted prior to
such termination. The
termination of the Plan shall not affect any Awards outstanding on the termination date.

SECTION 10. DEFINITIONS.

a. “Award” shall mean any award of Options granted under the Plan.

b. “Board
of Directors” shall mean the Board of Directors of the Company, as constituted from time
to time.

c. “Cause”
shall mean, as defined in the Participant’s written employment agreement, provided,
that if a Participant does not have a written employment agreement, that a Participant:

     (i) committed or engaged in an act of fraud, embezzlement, sexual harassment,
dishonesty or theft in connection with Participant’s duties for the Company or any
subsidiary of the Company;

     (ii) materially breached or defaulted under Participant’s agreements or obligations
under any employment, non-disclosure or similar agreement with the Company or any
subsidiary of the Company;

     (iii) is convicted of, or pleas nolo contendre with respect to, an act of criminal
misconduct;

6

 

     (iv) engaged in an act of incompetence, gross negligence or willful failure to perform
Participant’s duties or responsibilities; or

     (v) failed to follow in any material respect a direction or policy of the Board of
Directors of the Company.

d. “Code” shall mean the Internal Revenue Code of 1986, as amended.

e. “Committee”
shall mean a committee of the Board of Directors, as described in Section
2(a).

f. “Company” shall mean Mirion Technologies, Inc. a Delaware corporation.

g. “Consultant”
shall mean a person who performs bona fide services for the Company or a Subsidiary
as a consultant or advisor, excluding Employees and Directors.

h. “Director” shall mean a member of the Board of Directors who is not an Employee.

i. “Disability” shall mean that the Participant has a physical or mental incapacity or disability
which renders Participant unable to render services to the Company pursuant to the terms of such
Participant’s written employment agreement, or if Participant does not have a written employment
agreement, pursuant to the normal and customary duties of employment of the Participant, for (A)
one hundred eighty (180) days in any twelve (12) month period or (B) for a period of one hundred
twenty (120) successive days.

j. “Employee” shall mean an individual who is a common-law employee of the Company.

k. “Exercise
Price” shall mean the amount for which one Share may be purchased upon exercise of an
Option, as specified by the Board of Directors in the applicable Stock Option Agreement.

l. “Fair Market Value” shall mean the fair market value of a Share, as determined by the Board of
Directors in good faith. Such determination shall be conclusive and binding on all persons

m. “Initial Public Offering” shall mean a firm commitment underwritten public offering of Shares or
other event the result of which is that Shares are tradable on the New York Stock Exchange,
American Stock Exchange, NASDAQ National Market or similar market system.

n. “Nonstatutory Option” shall mean a stock option not described in Sections 422(b) or 423(b) of
the Code.

o. “Option” shall mean a Nonstatutory Option granted under the Plan and entitling the holder to
purchase Shares.

p. “Participant” shall mean an individual to whom the Board of Directors has offered the right to
acquire Shares under the Plan pursuant to an Option or otherwise.

7

 

q. “Plan” shall mean this Mirion Technologies, Inc. 2006 Stock Plan.

r. “Purchase Price” shall mean (i) with respect to an Option, the Exercise Price multiplied by the
number of Shares with respect to which an Option is being exercised, and (ii) the aggregate
consideration for which Shares subject to an Award may be acquired by a Participant.

s. “Restructuring” shall mean the transactions contemplated by the Master Restructuring Agreement
and Plan of Merger dated December 22, 2005, among the Company, American Capital Strategies, Ltd,
Thomas D. Logan, Dosimetry Acquisitions (U.S.), Inc., Global Dosimetry Solutions, Inc., IST
Acquisitions, Inc., Dosimetry Acquisitions (U.S.), LLC and Global Dosimetry Acquisitions, Inc.

t. “Service” shall mean service as an Employee, Director or Consultant. Unless otherwise provided
in a Stock Option Agreement, a Participant’s transition in status from or to Employee, Director or
Consultant shall not be treated as a termination of Service.

u. “Share” shall mean one share of Common Stock of the Company, with a par value of $0.001 per
Share.

v. “Stock Option Agreement” shall mean the agreement between the Company and a Participant, which
contains the terms, conditions and restrictions pertaining to the Participant’s Option.

w. “Stockholders Agreement” shall mean that certain Stockholders Agreement, dated as of December
22, 2005, by and among the Company and the other parties thereto, as the same may be amended or
modified from time to time.

SECTION 11. MISCELLANEOUS.

a. Choice
of Law. This Agreement shall be governed by, and construed in accordance with, the laws
of the State of Delaware, as such laws are applied to contracts
entered into and performed in such
State.

b. Stockholders Agreement. For so
long as the Stockholders Agreement is in full force and effect,
this Plan shall be subject to the provisions of the Stockholders
Agreement. To the extent the
provisions of this Plan conflict or are inconsistent with any of the
provisions of the Stockholders
Agreement, the Stockholders Agreement shall control.

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

8

 

	 	 	 	 	 
	 	Mirion
Technologies, Inc.

 	 
	 	By:  	/s/ Thomas D. Logan
 	 
	 	 	Name:  	Thomas D. Logan  	 
	 	 	Title:  	President 	 
	 

SIGNATURE PAGE TO GMS STOCK OPTION PLAN

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