Document:

Amended & Restated 2006 Non-Employee Directors Stock Ownership Incentive Plan

 Exhibit 10.1 
 PORTER BANCORP, INC. 
 AMENDED AND RESTATED 
 2006 NON-EMPLOYEE DIRECTORS STOCK OWNERSHIP INCENTIVE PLAN 
 AS AMENDED MAY 22, 2008 
 ARTICLE 1.        PURPOSE. 
 The purpose of this 2006 Non-employee Directors Stock Ownership Incentive Plan (“Plan”) is to advance the interests of Porter Bancorp, Inc., a
Kentucky corporation (“Company”), and its subsidiaries, by providing non-employee directors of the Company and its principal subsidiary, PBI Bank, Inc. with an ownership interest in the Company. The Plan is also intended to enhance the
Company’s ability to attract and retain persons of outstanding ability to serve as directors of the Company and the Bank. 
 ARTICLE
2.        DEFINITIONS AND CONSTRUCTION. 
 2.1    Definitions. As used
in the Plan, the terms defined parenthetically, immediately after their use shall have the respective meanings provided by such definitions, and the terms set forth below shall have the following meanings (in either case, such meanings shall apply
equally to both the singular and plural forms of the terms defined): 
 (a)    “Award” shall mean a grant of
Options or of Restricted Stock under Section 5 of the Plan. 
 (b)    “Award Date” shall mean (i) in
2006, the date on which the Company’s registration statement for an initial public offering of its Shares is declared effective by the Securities and Exchange Commission, and (ii) in subsequent years, the first business day of the first
calendar month after the date of the Company’s annual meeting of shareholders. 
 (c)    “Bank” shall mean
PBI Bank, Inc., a wholly owned subsidiary of the Company. 
 (d)    “Board” shall mean the Board of Directors
of the Company or the Bank, as the case may be. 
 (e)    “Change of Control” means (i) an event or series
of events which have the effect of any “person” as such term is used in Section 13(d) and 14(d) of the Exchange Act, other than any trustee or other fiduciary holding securities of the Company under any employee benefit plan of
the Company, becoming the “beneficial owner” as defined in Rule 13d-3 under the Exchange Act, directly or indirectly, of securities of the Company representing 30% or more of the combined voting power of the Company’s then outstanding
capital stock; (ii) any merger, consolidation, share exchange, recapitalization or other transaction in which any person becomes the beneficial owner of securities of the Company representing 30% or more of the combined voting power of the
Company’s then outstanding capital stock; (iii) the persons who were members of the Board of the Company immediately before a transaction shall cease to constitute a majority of the Board of the Company or any successor to the Company;
(iv) the business of the Company is disposed of pursuant to a merger, consolidation, share exchange, sale or other disposition of the Bank, or to a partial or complete liquidation, sale of assets, or otherwise. 
  

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 (f)    “Code” shall mean the Internal Revenue Code of 1986, as amended from
time to time, or any successor thereto, together with any regulations promulgated thereunder. 
 (g)    “Committee” shall mean the committee described in Section 3.1. 
 (h)    “Director” shall mean a member of the Board who is not an employee of the Company or any Subsidiary of the Company. 
 (i)    “Disability” shall mean a physical or mental infirmity that the Committee determines impairs the Director’s ability to perform substantially his or her duties for a period of
180 consecutive days. 
 (j)    “Effective Date” shall mean the date described in Section 6.1. 

(k)    “Exchange Act” shall mean the Securities Exchange Act of 1934, as amended from time to time. 
 (l)    “Fair Market Value” of the Shares shall mean, as of any Award Date, the closing sale price of the Shares as reported
on the NASDAQ National Market, or if no such reported sale of the Shares shall have occurred on such date, on the next preceding date on which there was a reported sale. If there shall be any material alteration in the present system of reporting
sale prices of the Shares, or if the Shares shall no longer be listed on the NASDAQ National Market, the Fair Market Value of the Shares as of an Award Date shall be determined by such method as shall be determined in good faith by the Committee.

 (m)    “Option” shall mean an option to purchase Shares granted pursuant to Article 5. 
 (n)    “Optionee” shall mean a person to whom an option has been granted under the Plan. 
 (o)    “Option Agreement” shall mean an agreement evidencing the grant of an Option, as described in Section 5.2.

 (p)    “Option Exercise Price” shall mean the purchase price per Share subject to an Option, which shall be
(i) with respect to the Awards made on the first Award Date, the price at which Shares are sold to investors in the Company’s initial public offering of Shares and (ii) thereafter, the Fair Market Value of the Share on the Award Date.

 (q)    “Person” shall have the meaning ascribed to such term in Section 3(a) (9) of the Exchange
Act and as used in Sections 13(d) and 14(d) thereof, including a “group” as defined in Section 13(d) thereof. 
  

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 (r)    “Plan” shall mean this Porter Bancorp, Inc. 2006 Non-employee
Directors Stock Ownership Incentive Plan as the same may be amended from time to time. 
 (s)    “Shares” shall
mean the Company’s Common Shares. 
 (t)    “Subsidiary” shall mean, with respect to any company, any
corporation or other Person of which a majority of its voting power, equity securities, or equity interest is owned directly or indirectly by such company. 
 (u)    “Withholding Taxes” shall mean all federal, state and local income taxes and other amounts as may be required by law to be withheld with respect to any option exercise, if any.

 (v)    “Restriction Period” shall mean the period of time from the Grant Date of a restricted Stock Award to
the date when the restrictions placed on the Award in the Award Agreement lapse. 
 (w)    “Restricted Stock
Award” or “Restricted Stock” shall mean Stock which is granted under Section 5 of the Plan, subject to a Restriction Period and/or condition which, if not satisfied, may result in the complete or partial forfeiture of such Stock.

 2.2    Gender and Number. Except where otherwise indicated by the context, reference to the masculine gender
shall include the feminine gender, the plural shall include the singular and the singular shall include the plural. 
 2.3    Severability. If any provision of the Plan shall be held illegal or invalid for any reason, the illegality or invalidity shall not affect the remaining parts of the Plan, and the Plan shall be construed and
enforced as if the illegal or invalid provision had not been included. 
 ARTICLE 3.        ADMINISTRATION. 

 3.1    The Committee. The Plan is designed to operate automatically and not require administration. However, to
the extent administration is required, it shall be provided by the Board of Directors of the Company (the “Committee”). 
 3.2    Authority of the Committee. Subject to the provisions of the Plan, the Committee shall have full authority to: 
 (a)    construe and interpret the Plan and any agreement or instrument entered into under the Plan; and 
 (b)    establish, amend and rescind rules and regulations for the Plan’s administration. 
  

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 To the extent permitted by law, Rule 16b-3 promulgated under the Exchange Act, and the rules of the NASDAQ Stock Market,
the Committee may delegate its authority as identified herein. 
 3.3    Decisions Binding. All determinations and
decisions made by the Committee pursuant to the provisions of the Plan, and all related orders or resolutions of the Board, shall be final, conclusive and binding on all Persons, including the Company, the Directors and their estates and
beneficiaries. 
 3.4    Section 16 Compliance. It is the intention of the Company that the Plan and the
administration of the Plan comply in all respects with Section 16 of the Exchange Act and the rules and regulations promulgated thereunder. If any Plan provision, or any aspect of the administration of the Plan, is found not to be in compliance
with Section 16 of the Exchange Act, the provision or aspect of administration shall be null and void to the extent permitted by law and deemed advisable by the Committee. In all events the Plan shall be construed in favor of its meeting the
requirements of Rule 16b-3 promulgated under the Exchange Act. 
 3.5    Section 409A Compliance. It is the
intention of the Company that the Plan not be subject to Section 409A of the Code and the rules and regulations promulgated thereunder. If any Plan provision, or any aspect of the administration of the Plan, would be found to subject the Plan
to Section 409A of the Code, the provision or aspect of administration shall be null and void to the extent permitted by law and deemed advisable by the Committee. In all events the Plan shall be construed in favor of its meeting the
requirements of Section 409A of the Code. 
 ARTICLE 4.        SHARES AVAILABLE UNDER THE PLAN.

 4.1    Number of Shares. Subject to adjustment as provided in Section 4.2, the number of Shares
reserved for issuance upon the exercise of options is 100,000 Shares. Any Shares issued under the Plan will consist of authorized and unissued Shares. If and to the extent options shall expire or terminate for any reason without having been
exercised in full, the Shares associated with such Awards to the extent not fully exercised shall again become available for Awards under the Plan. 
 4.2    Adjustments in Authorized Shares and Outstanding Awards. In the event of a merger, reorganization, consolidation, recapitalization, reclassification, split-up, spin-off, separation, liquidation, share
dividend, stock split, reverse stock split, cash dividend, property dividend, share repurchase, share combination, share exchange, issuance of warrants, rights or debentures, or other change in the corporate structure of the Company affecting the
Shares, the Committee may substitute or adjust the total number and class of Shares or other stock or securities that may be issued under the Plan, and the number, class and/or price of Shares. or other stock or securities subject to outstanding
Awards, as it determines to be appropriate and equitable to prevent dilution or enlargement of the rights of Directors and to preserve, without exceeding, the value of any outstanding Awards; and further provided, that the number of Shares or other
stock or securities subject to any Award shall always be a whole number. 
  

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 ARTICLE 5.        AWARDS. 
 5.1    Automatic Grant of Awards. 
 (a)    Subject to the terms and provisions of the Plan, on each Award Date on or after this Amendment is effective: (a) each Director of the Company shall automatically receive a Restricted
Stock Award of 500 Shares, and (b) each Director of the Bank shall automatically receive a Restricted Stock Award of 100 Shares. The Company shall issue, in the name of each Director who is granted a Restricted Stock Award hereunder, a
certificate for the shares of Stock granted in the Award (subject to Section 5.7), as soon as practicable after the grant date. The Company shall hold such certificates for the Director’s benefit until the Restriction Period lapses or the
Restricted Stock is forfeited to the Company in accordance with the Award Agreement. Before the Restriction Period lapses, Section 5.7 shall apply. 
 (b)    On each Award Date prior to this Amendment becoming effective: (a) each Director of the Company automatically received an option to purchase 5,000 Shares, and (b) each Director of
the Bank automatically received an option to purchase 1,000 Shares. The options granted under the Plan are not intended to qualify as incentive stock options within” the meaning of Section 422 of the Code. 
 5.2    Vesting in Awards. 
 (a)    Restricted Stock Awards. Subject to Section and 5.7, the Restriction Period for each Restricted Stock Award shall end, and the Award shall vest, with respect to one-sixth of the
Restricted Stock Awarded on each six month anniversary of the Award Date; provided, however, that the Director continues to serve as a member of the Board as of such dates. When a Director ceases to serve as a member of the Board for
any reason, the Director shall forfeit all shares of Restricted Stock which have not yet vested pursuant to the preceding sentence. 
 (b)    Options. Subject to Sections 5.4 and 5.7, each Option shall vest and become exercisable with respect to one-sixth of the Shares subject thereto on each six month anniversary of the Award Date;
provided, however, that the Director continues to serve as a member of the Board as of such dates. If a Director ceases to serve as a member of the Board for any reason, the Director shall have no rights with respect to that portion of
an option which is not then vested pursuant to the preceding sentence and the Director shall automatically forfeit that portion of the Option that remains unvested. 
 5.3    Award Agreement Each Award shall be evidenced by an Award Agreement that is an Option Agreement or a Restricted Stock Agreement, as appropriate. Each Option Agreement shall specify
the Option Exercise Price, the duration of the Option, the number of Shares to which the Option relates and such other terms and conditions not inconsistent with the provisions of this Plan as determined by the Committee; provided,
however, that such terms shall not vary the timing of Awards, including provisions dealing with exercisability, forfeiture or termination of such Awards. Each Restricted Stock Award Agreement shall reflect the number of shares awarded, the
grant date, and such other terms and conditions not inconsistent with the provisions of this Plan as determined by the Committee; provided, however, that such terms shall not vary the timing or vesting of Awards. 
  

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 5.4    Duration of Options. Subject to Section 5.6, each Option shall
expire on the fifth (5th) anniversary of the Award Date on which it was granted. 
 5.5    Method of Option
Exercise. The exercise of an Option shall be made only by a written notice delivered in person or by mail to the Secretary of the Company at the Company’s principal executive office, specifying the number of Shares to be purchased and
accompanied by payment therefor and otherwise in accordance with the Option Agreement pursuant to which the Option was granted. Shares purchased pursuant to the exercise of an option shall be paid in full upon such exercise by any one or a
combination of the following: (i) in cash; (ii) in Shares owned by the Optionee (or jointly by the Optionee and his or her spouse) for at least six months evidenced by negotiable certificates or by a written attestation of ownership and
consent to issuance, in satisfaction of the Option or portion thereof being exercised, of only the net Shares (those equal in value to the difference between the Option Exercise Price and the then Fair Market Value); (iii) by a written election
to have the Company retain that number of Shares subject to the Option having an aggregate Fair Market Value equal to the aggregate Option Exercise Price; or (iv) by any combination thereof. The written notice pursuant to this Section 5.5
may also provide instructions from the Optionee to the Company that upon receipt of the purchase price in cash from the Optionee’s broker or dealer, designated as such on the written notice, in payment for any Shares purchased pursuant to the
exercise of an Option, the Company shall issue such Shares directly to the designated broker or dealer. Any Shares transferred to the Company or withheld as payment of the Option Exercise Price shall be valued at their Fair Market Value on the date
preceding the date of exercise. If requested by the Committee, the Optionee shall deliver the Option Agreement evidencing the option to the Secretary of the Company who shall endorse thereon a notation of such exercise and return such Option
Agreement to the Optionee. No fractional shares (or cash in lieu thereof) shall be issued upon exercise of an Option and the number of Shares that may be purchased upon exercise shall be rounded down to the nearest number of whole Shares.

 5.6    Exercise of Options Following Termination of Director Relationship. If a Director for any reason other
than death or Disability shall cease to be a member of the Board, the outstanding Options of such Director (or portions thereof) that are vested and exercisable as of the date the Director so ceased to be a member of the Board may be exercised by
such Director at any time before the earlier of the expiration date of the options or the date that is ninety (90) days after the date on which such Director ceases to be a member of the Board. If a Director shall cease to be a member of the
Board by reason of death or Disability, the outstanding options of such Director (or portions thereof) that are vested and exercisable as of the date the Director so ceased to be a member of the Board may be exercised by such Director at any time
before the earlier of the expiration date of the Options or the date that is the first anniversary of the Director’s death or Disability. Options may be exercised as provided in this Section 5.6 (x) in the event of the death of a
Director, by the person or persons to whom rights pass by will or by the laws of descent and distribution, or if appropriate, the legal representative of his estate and (y) in the event of the Disability of a Director, by the Director, or if
such Director is incapacitated, by his legal representative. 
  

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 5.7    Rights With Respect to Restricted Stock. 
 (a)    Rights and Limitations During Restriction Period. Subject to the terms and conditions of the Award Agreement, a
Director to whom Restricted Stock has been awarded shall have the right to receive dividends thereon during the Restricted Period and to enjoy all other stockholder rights with respect thereto, except that (i) the Company shall retain custody
of any certificates evidencing the Restricted Stock during the Restricted Period, and (ii) the Director may not sell, transfer, pledge, exchange, hypothecate or otherwise dispose of the Restricted Stock during the Restricted Period. Any attempt
by a Director to sell, transfer, pledge, assign or otherwise dispose of Restricted Stock shall cause immediate forfeiture of the Award. 
 (b)    Effect of Termination of Director Relationship. Unless otherwise provided in the Award Agreement, in the event a Director ceases to be a member of the Board during the Restriction Period for any reason, the
Director’s rights to the Stock subject to the Restricted Stock Award shall be forfeited and all such Stock shall immediately be surrendered to the Company. 
 (c)    Expiration of Restriction Period. At the expiration of the Restriction Period, the restrictions contained in this Section 5 and in the Award Agreement shall, except as otherwise
specifically provided in the Award Agreement, expire and the Company shall delivery any certificates evidencing the Stock to the Director. 
 (d)    Nontransferability. No Restricted Stock Award shall be transferable other than by will or the laws of descent and distribution until any restrictions applicable to such Award have lapsed and a certificate
evidencing the Director’s ownership of the stock free of restrictions has been issued. 
 5.8    Effect of Change of Control. Notwithstanding anything contained in the Plan or an Award Agreement to the contrary, in the event of a Change of Control, (i) the Restriction Period for all Restricted
Stock not yet forfeited shall immediately end; (ii) all options outstanding on the date of such Change of Control shall become immediately and fully exercisable and (iii) an Optionee will be entitled to receive, in lieu of the exercise of
any Option or portion of an Option to the extent not yet exercised, a cash payment in an amount equal to the difference between the aggregate Option Exercise Price and (A) in the case of a tender offer or exchange offer, the final offer price
paid per Share, multiplied by the number of Shares covered by the Option, or (B) in the case of any other Change of Control, the aggregate Fair Market Value of the Shares covered by the Option. The Company shall pay any cash payment under this
Section 5.7 on the 7th day following the occurrence of the Change of Control. 
 ARTICLE 6.        EFFECTIVE DATE, AMENDMENT, MODIFICATION, AND TERMINATION. 
 6.1    Effective Date. The Plan shall be effective upon the approval by the affirmative vote of the holders of a majority of the securities of the Company represented in person or by proxy,
and entitled to vote, at a meeting of shareholders of the Company at which the Plan is submitted for approval. 
  

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 6.2    Termination Date. The Plan shall terminate on the earliest to occur of
(a) the date when all Shares available under the Plan shall have been acquired pursuant to the exercise of Awards or (b) such other date as the Board may determine in accordance with Section 6.3. 
 6.3    Amendment, Modification and Termination. 
 (a)    Except as provided in Section 6.3(b), the Board may, at any time, amend, modify or terminate the Plan. 
 (b)    Without the approval of shareholders of the Company, no amendment, modification or termination may: 
  

	 	(i)	materially increase the benefits accruing to Directors under the Plan; 

  

	 	(ii)	increase the total number of Shares that may be issued under the Plan, except as provided in Section 4.2; or 

  

	 	(iii)	modify the eligibility or other requirements to receive an Award under the Plan. 

 6. 4    Awards Previously Granted. No amendment, modification or termination of the Plan shall in any manner adversely affect any outstanding Award without the written consent of the
Optionee. 
 ARTICLE 7.        NON-TRANSFERABILITY. 
 Except as otherwise provided in this Article 7, no Option shall be transferable by a Director other than by will or the laws of descent and distribution,
and an Option shall be exercisable, during the Director’s lifetime, only by the Director (or, in the event of the Director’s legal incapacity or incompetency, the Director’s guardian or legal representative). A Director may transfer
all or part of a Nonqualified Stock Option to (i) the Director’s spouse or lineal descendants (“Immediate Family Members”), (ii) trusts for the exclusive benefit of the Director and/or his Immediate Family Members, or
(iii) a partnership or limited liability company in which the Director and/or his Immediate Family Members are the only partners or members, as applicable. Such transfer may be made by a Director only if there is no consideration for the
transfer, and subsequent transfers of any Option shall be prohibited other than in accordance with this Article 7 and by will or the laws of descent and distribution. Following a transfer of an Option, the Option shall continue to be subject to the
same terms and conditions as were applicable immediately before the transfer, and the conditions to exercise of an Option upon Termination of Director Relationship or otherwise provided in this Plan shall be applied with respect to the original
Director. However, for purposes of exercising the Option, the term Director shall refer to the transferee. In addition, for purposes of the death benefit provisions of Section 5.6, references to a Director shall be deemed to refer to the
transferee, the personal representative of the transferee’s estate, or after final settlement of the transferee’s estate, the successor or successors entitled thereto by law. 
  

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 ARTICLE 8.        NO RIGHT OF REELECTION. 
 Neither the Plan nor any action taken under the Plan shall be construed as conferring upon a Director any right to continue as a director of the Company,
to be renominated by the Board or to be reelected by the shareholders of the Company. 
 ARTICLE
9.        WITHHOLDING. 
 Upon the exercise of an Option (a “Taxable Event”), the
Optionee shall pay the Withholding Taxes, if any, to the Company before the issuance, or release from escrow, of such Shares. In satisfaction of the obligation to pay any Withholding Taxes to the Company, the Optionee may make a written election
(the “Tax Election”) to have withheld a portion of the Shares then issuable to him or her having an aggregate Fair Market Value, on the date preceding the date of such issuance, equal to the Withholding Taxes. 
 ARTICLE 10.        INDEMNIFICATION. 
 No member of the Board or the Committee, nor any officer or employee acting on behalf of the Board or the Committee, shall be personally liable for any action, determination or interpretation taken or made with
respect to the Plan, except for liability arising from his or her own willful misfeasance, gross negligence or reckless disregard of his or her duties. All members of the Board, the Committee and each and any officer or employee of the company
acting on their behalf shall, to the extent permitted by law, be fully indemnified and protected by the Company with respect to any such action, determination or interpretation. 
 ARTICLE 11.        SUCCESSORS. 
 All obligations of the
Company with respect to Awards granted under the Plan shall be binding on any successor to the Company, whether the existence of such successor is a result of a direct or indirect purchase, merger, consolidation or otherwise, of all or substantially
all of the business and/or assets of the Company. 
  

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 ARTICLE 12.        GOVERNING LAW. 
 To the extent not preempted by federal law, the Plan, and all agreements under the Plan, shall be governed by, and construed in accordance with, the laws
of the Commonwealth of Kentucky without regard to its conflict of law rules. 
 *    *    *    *    * 
 [insert date and
Secretary’s initials below to indicate adoption:] 
 Approved by Board: October 18, 2007, MLB 
 Approved by Shareholders: May 22, 2008, MLB 
  

 10Chesapeake's 1999 Stock Option Plan, as amended

 Exhibit 10.1.5 
 CHESAPEAKE ENERGY CORPORATION 
 1999 STOCK OPTION PLAN 
 (as amended through June 6, 2008) 

 CHESAPEAKE ENERGY CORPORATION 
 1999 STOCK OPTION PLAN 
 Table of Contents 
  

							
	 	 	 	 	 	  	Page
	 ARTICLE I
	 	 PURPOSE
	  	1
		 	 Section 1.1
	 	 Purpose
	  	1
		 	 Section 1.2 
	 	 Establishment
	  	1
		 	 Section 1.3 
	 	 Shares Subject to the Plan
	  	1
		 	 Section 1.4 
	 	 Shareholder Approval
	  	1
			
	 ARTICLE II
	 	 DEFINITIONS
	  	1
			
	 ARTICLE III
	 	 ADMINISTRATION
	  	2
		 	 Section 3.1 
	 	 Administration of the Plan; the Committee
	  	2
		 	 Section 3.2 
	 	 Committee to Make Rules and Interpret Plan
	  	3
			
	 ARTICLE IV
	 	 GRANT OF OPTIONS
	  	3
			
	 ARTICLE V
	 	 ELIGIBILITY
	  	4
			
	 ARTICLE VI
	 	 STOCK OPTIONS
	  	4
		 	 Section 6.1 
	 	 Grant of Options
	  	4
		 	 Section 6.2 
	 	 Conditions of Options
	  	4
		 	 Section 6.3 
	 	 Options Not Qualifying as Incentive Stock Options
	  	5
			
	 ARTICLE VII
	 	 STOCK ADJUSTMENTS
	  	6
			
	 ARTICLE VIII
	 	 GENERAL
	  	6
		 	 Section 8.1
	 	 Amendment or Termination of Plan
	  	6
		 	 Section 8.2 
	 	 Acceleration of Otherwise Unexercisable Stock Options on Death, Disability or Other Special
Circumstances
	  	6
		 	 Section 8.3
	 	 Nonassignability
	  	7
		 	 Section 8.4
	 	 Withholding Taxes
	  	7
		 	 Section 8.5
	 	 Amendments to Options
	  	7
		 	 Section 8.6
	 	 Regulatory Approval and Listings
	  	7
		 	 Section 8.7
	 	 Right to Continued Employment
	  	7
		 	 Section 8.8
	 	 Reliance on Reports
	  	7
		 	 Section 8.9
	 	 Construction
	  	8
		 	 Section 8.10
	 	 Governing Law
	  	8
			
	 ARTICLE IX
	 	 ACCELERATION OF OPTIONS UPON CORPORATE EVENT
	  	8
		 	 Section 9.1
	 	 Procedures for Acceleration and Exercise
	  	8
		 	 Section 9.2
	 	 Certain Additional Payments by the Company
	  	8

  

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 ARTICLE I 
 PURPOSE 
 Section 1.1 Purpose. This Stock Option Plan is
established by Chesapeake Energy Corporation (the “Company”) to create incentives which are designed to motivate Eligible Employees to put forth maximum effort toward the success and growth of the Company and to enable the Company to
attract and retain experienced individuals who by their position, ability and diligence are able to make important contributions to the Company’s success. Toward these objectives, the Plan provides for the granting of Options to Eligible
Employees on the terms and subject to the conditions set forth in the Plan. 
 Section 1.2 Establishment.
The Plan is effective as of March 5, 1999 and for a period of 10 years from such date. The Plan will terminate on March 4, 2009; however, it will continue in effect until all matters relating to the exercise of Options and administration
of the Plan have been settled. 
 Section 1.3 Shares Subject to the Plan. Subject to Articles IV, VII and
IX of this Plan, shares of stock covered by Options shall consist of Three Million (3,000,000) shares of Common Stock. 
 Section 1.4 Shareholder Approval. Nonqualified Stock Options under the Plan may be granted to Participants prior to Shareholder Approval of the Plan, but no Incentive Stock Options may be granted prior to Shareholder
Approval. In the event Shareholder Approval is not obtained within the twelve-month period following the date the Plan is adopted by the Board, no Incentive Stock Options may be granted under the Plan. 
 ARTICLE II 
 DEFINITIONS

 Section 2.1 “Board” means the Board of Directors of the Company. 
 Section 2.2 “Code” means the Internal Revenue Code of 1986, as amended. Reference in the Plan to any Section
of the Code shall be deemed to include any amendments or successor provisions to such Section and any regulations under such Section. 
 Section 2.3 “Committee” has the meaning set forth in Section 3.1. 
 Section 2.4 “Common Stock” means the common stock, par value $.01 per share, of the Company and, after substitution, such other stock as shall be substituted therefor as provided in Article VII or Article IX of
the Plan. 
 Section 2.5 “Date of Grant” means the date on which the granting of an Option is
authorized by the Committee or such later date as may be specified by the Committee in such authorization. 
 Section 2.6 “Disability” has the meaning set forth in Section 22(e)(3) of the Code. 
 Section 2.7 “Eligible Employee” means any employee of the Company, a Subsidiary or a partnership or limited liability company which the Company controls. 
 Section 2.8 “Exchange Act” means the Securities Exchange Act of 1934, as amended. 
 Section 2.9 “Executive Officer Participants” means Participants who are subject to the provisions of
Section 16 of the Exchange Act. 
  

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 Section 2.10 “Fair Market Value” means (A) during such
time as the Common Stock is listed on the New York Stock Exchange or other national securities exchanges or the Nasdaq National Market (each, an “exchange”), the closing price of the Common Stock on the New York Stock Exchange or, if no
sale of the Common Stock shall have been made on the New York Stock Exchange, such other principal exchange on the day for which such value is to be determined, or if no sale of the Common Stock shall have been made on any such exchange that day, on
the next preceding day on which there was a sale of such Common Stock or (B) during any such time as the Common Stock is not listed upon an exchange, the mean between dealer “bid” and “ask” prices of the Common Stock in the
over-the-counter market on the day for which such value is to be determined, as reported by the National Association of Securities Dealers, Inc. 
 Section 2.11 “Incentive Stock Option” means an Option within the meaning of Section 422 of the Code. 
 Section 2.12 “Non-Executive Officer Participants” means Participants who are not subject to the provisions of Section 16 of the Exchange Act. 
 Section 2.13 “Nonqualified Stock Option” means an Option which is not an Incentive Stock Option. 

Section 2.14 “Option” means an Option granted under Article VI of the Plan and includes both Nonqualified
Stock Options and Incentive Stock Options to purchase shares of Common Stock. 
 Section 2.15 “Option
Agreement” means any written instrument that establishes the terms, conditions, restrictions, and/or limitations applicable to an Option in addition to those established by this Plan and by the Committee’s exercise of its
administrative powers. 
 Section 2.16 “Participant” means an Eligible Employee to whom an
Option has been granted by the Committee under the Plan. 
 Section 2.17 “Plan” means the
Chesapeake Energy Corporation 1999 Stock Option Plan. 
 Section 2.18 “Regular Stock Option
Committee” means the Employee Compensation and Benefits Committee designated by the Board which shall consist of not less than one member of the Board. 
 Section 2.19 “Shareholder Approval” means approval by the holders of a majority of the outstanding shares of Common Stock, present, or represented, and entitled to
vote at a meeting called for such purposes. 
 Section 2.20 “Special Stock Option Committee”
means a committee designated by the Board which shall consist of not less than two members of the Board who meet the definition of “non-employee directors” pursuant to Rule 16b-3, or any successor rule, promulgated under Section 16 of
the Exchange Act. 
 Section 2.21 “Subsidiary” shall have the same meaning set forth in
Section 424 of the Code. 
 ARTICLE III 
 ADMINISTRATION 
 Section 3.1 Administration of the Plan; the
Committee. For purposes of administration, the Plan shall be deemed to consist of two separate stock option plans, a “Non-Executive Officer Participant Plan” which is limited to Non-Executive Officer Participants, and an
“Executive Officer Participant Plan” which is limited to Executive Officer Participants. Except for administration and the category of Participants eligible to receive Options, the terms of the Non-Executive Officer Participant Plan and
the Executive Officer Participant Plan are identical. 
  

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 The Non-Executive Officer Participant Plan shall be administered by the Regular Stock
Option Committee, and the Executive Officer Participant Plan shall be administered by either the Special Stock Option Committee or the Board. Accordingly, with respect to decisions relating to Non-Executive Officer Participants, including the grant
of Options, the term “Committee” shall mean only the Regular Stock Option Committee; and, with respect to all decisions relating to Executive Officer Participants, including the grant of Options, the term “Committee” shall mean
either the Special Stock Option Committee or the Board. 
 Unless otherwise provided in the by-laws of the Company or
resolutions adopted from time to time by the Board establishing the Committee, the Board may from time to time remove members from, or add members to, the Committee. Vacancies on the Committee, however caused, shall be filled by the Board. The
Committee shall hold meetings at such times and places as it may determine. A majority of the Committee shall constitute a quorum, and the acts of a majority of the members present at any meeting at which a quorum is present or acts reduced to or
approved by the Committee in writing by a majority of the members of the Committee shall be the valid acts of the Committee. 
 Subject to the provisions of the Plan, the Committee shall have exclusive power to: 
 (a) Select the Eligible
Employees to participate in the Plan. 
 (b) Determine the time or times when Options will be granted. 
 (c) Determine the form of an Option, whether an Incentive Stock Option or a Nonqualified Stock Option, the number of shares of Common
Stock subject to the Option, all the terms, conditions (including performance requirements), restrictions and/or limitations, if any, of an Option, including the time and conditions of exercise or vesting, and the terms of any Option Agreement,
which may include the waiver or amendment of prior terms and conditions or acceleration of the vesting or exercise of an Option under certain circumstances determined by the Committee. 
 (d) Determine whether Options will be granted singly or in combination. 
 (e) Take any and all other action it deems necessary or advisable for the proper operation or administration of the Plan. 
 Section 3.2 Committee to Make Rules and Interpret Plan. The Committee in its sole discretion shall have the authority,
subject to the provisions of the Plan, to establish, adopt, or revise such rules and regulations and to make all such determinations relating to the Plan as it may deem necessary or advisable for the administration of the Plan. The Committee’s
interpretation of the Plan or any Options granted pursuant hereto and all decisions and determinations by the Committee with respect to the Plan shall be final, binding, and conclusive on all parties. 
 ARTICLE IV 
 GRANT OF OPTIONS 

 The Committee may, from time to time, grant Options to one or more Participants, provided, however, that: 
 (a) Any shares of Common Stock related to Options which terminate by expiration, forfeiture, cancellation or otherwise
without the issuance of shares of Common Stock shall be available again for grant under the Plan. 
 (b)
Common Stock delivered by the Company upon exercise of an Option under the Plan may be authorized and unissued Common Stock or Common Stock held in the treasury of the Company or may be purchased on the open market or by private purchase.

  

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 (c) The Committee shall, in its sole discretion, determine the manner in
which fractional shares arising under this Plan shall be treated. 
 (d) Upon the exercise of any Option, the
Company shall issue and deliver to the Participant who exercised the Option a certificate representing the number of shares of Common Stock purchased thereby. 
 ARTICLE V 
 ELIGIBILITY 
 Subject to the provisions of the Plan, the Committee shall, from time to time, select from the Eligible Employees those to whom Options
shall be granted and shall determine the type or types of Options to be granted and shall establish in the related Option Agreements the terms, conditions, restrictions and/or limitations, if any, applicable to the Options in addition to those set
forth in the Plan and the administrative rules and regulations issued by the Committee. 
 ARTICLE VI 
 STOCK OPTIONS 
 Section 6.1 Grant of Options. The Committee may, from time to time, subject to the provisions of the Plan and such other terms and conditions as it may determine, grant Options to Eligible Employees. These Options may be
Incentive Stock Options or Nonqualified Stock Options, or a combination of both. Each grant of an Option shall be evidenced by an Option Agreement executed by the Company and the Participant, and shall contain such terms and conditions and be in
such form as the Committee may from time to time approve, subject to the requirements of Section 6.2. 
 Section 6.2 Conditions of Options. Each Option so granted shall be subject to the following conditions: 
 (a) Exercise Price. As limited by Section 6.2(e) below, each Option shall state the exercise price which shall be set by the Committee on the Date of Grant. Except as provided below, no Option shall be
granted at an exercise price which is less than the Fair Market Value of the Common Stock on the Date of Grant. Notwithstanding the foregoing, Nonqualified Stock Options, not exceeding ten percent (10%) of the Options which can be issued under
this Plan, may be granted at an exercise price which is not less than eighty-five percent (85%) of the Fair Market Value of the Common Stock on the Date of Grant. 
 (b) Form of Payment. The exercise price of an Option may be paid (i) in cash or by check, bank draft or money
order payable to the order of the Company; (ii) by tendering, by either actual delivery of shares or by attestation, shares of Common Stock acceptable to the Committee and valued at Fair Market Value as of the day of exercise; or (iii) a
combination of the foregoing. In addition to the foregoing, any Option granted under the Plan may be exercised by a broker-dealer acting on behalf of a Participant if (A) the broker-dealer has received from the Participant or the Company a
notice evidencing the exercise of such Option and instructions signed by the Participant requesting the Company to deliver the shares of Common Stock subject to such Option to the broker-dealer on behalf of the Participant and specifying the account
into which such shares should be deposited, (B) adequate provision has been made with respect to the payment of any withholding taxes due upon such exercise or, in the case of an Incentive Stock Option, upon the premature disposition of such
shares and (C) the broker-dealer and the Participant have otherwise complied with Section 220.3(e)(4) of Regulation T, 12 CFR, Part 220 and any successor rules and regulations applicable to such exercise. 
  

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 (c) Exercise of Options. Options granted under the Plan shall be
exercisable, in whole or in such installments and at such times, and shall expire at such time, as shall be provided by the Committee in the Option Agreement. Exercise of an Option shall be by written notice stating the election to exercise in the
form and manner determined by the Committee. Every share of Common Stock acquired through the exercise of an Option shall be deemed to be fully paid at the time of exercise and payment of the exercise price. 
 (d) Other Terms and Conditions. Among other conditions that may be imposed by the Committee, if deemed appropriate,
are those relating to (i) the period or periods and the conditions of exercisability of any Option; (ii) the minimum periods during which Participants must be employed by the Company or its Subsidiaries, or must hold Options before they
may be exercised; (iii) the minimum periods during which shares acquired upon exercise must be held before sale or transfer shall be permitted; (iv) conditions under which such Options or shares may be subject to forfeiture; (v) the
frequency of exercise or the minimum or maximum number of shares that may be acquired at any one time and (vi) the achievement by the Company of specified performance criteria. 
 (e) Special Restrictions Relating to Incentive Stock Options. In addition to being subject to all applicable terms,
conditions, restrictions and/or limitations established by the Committee, Options issued in the form of Incentive Stock Options shall comply with the requirements of Section 422 of the Code (or any successor Section thereto), including, without
limitation, the requirement that the exercise price of an Incentive Stock Option not be less than 100% of the Fair Market Value of the Common Stock on the Date of Grant, the requirement that each Incentive Stock Option, unless sooner exercised,
terminated or cancelled, expire no later than 10 years from its Date of Grant, the requirement that Incentive Stock Options be granted only to Eligible Employees, and the requirement that the aggregate Fair Market Value (determined on the Date of
Grant) of the Common Stock with respect to which Incentive Stock Options are exercisable for the first time by a Participant during any calendar year (under this Plan or any other plan of the Company or any Subsidiary) not exceed $100,000. Incentive
Stock Options which are in excess of the applicable $100,000 limitation will be automatically recharacterized as Nonqualified Stock Options as provided under Section 6.3 of this Plan. No Incentive Stock Options shall be granted to any Eligible
Employee if, immediately before the grant of an Incentive Stock Option, such Eligible Employee owns more than 10% of the total combined voting power of all classes of stock of the Company or its Subsidiaries (as determined in accordance with the
stock attribution rules contained in Sections 422 and 424(d) of the Code). Provided, the preceding sentence shall not apply if, at the time the Incentive Stock Option is granted, the exercise price is at least 110% of the Fair Market Value of the
Common Stock subject to the Incentive Stock Option, and such Incentive Stock Option by its terms is exercisable no more than five years from the date such Incentive Stock Option is granted. 
 (f) Application of Funds. The proceeds received by the Company from the sale of Common Stock pursuant to Options
will be used for general corporate purposes. 
 (g) Shareholder Rights. No Participant shall have any
rights as a shareholder with respect to any share of Common Stock subject to an Option prior to the purchase of such share of Common Stock by exercise of the Option. 
 Section 6.3 Options Not Qualifying as Incentive Stock Options. With respect to all or any portion of any Option granted under this Plan not qualifying as an “incentive
stock option” under Section 422 of the Code, such Option shall be considered a Nonqualified Stock Option granted under this Plan for all purposes. Further, this Plan and any Incentive Stock Options granted hereunder shall be deemed to have
incorporated by reference all the provisions and requirements of Section 422 of the Code (and the Treasury Regulations issued thereunder) necessary to ensure that all Incentive Stock Options granted hereunder shall be “incentive stock
options” described in Section 422 of the Code. Further, in the event that the $100,000 limitation contained in Section 6.2(e) herein is exceeded in any Incentive Stock Option granted under this Plan, the portion of the Incentive Stock
Option in excess of such limitation shall be treated as a Nonqualified Stock Option under this Plan subject to the terms and provisions of the applicable Option Agreement, except to the extent modified to reflect recharacterization of the Incentive
Stock Option as a Nonqualified Stock Option. 
  

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 ARTICLE VII 
 STOCK ADJUSTMENTS 
 Subject to the provisions of Article IX of this Plan, in the
event that the shares of Common Stock, as presently constituted shall be changed into or exchanged for a different number or kind or shares of stock or other securities of the Company or of another corporation (whether by reason of merger,
consolidation, recapitalization, reclassification, stock split, combination of shares or otherwise), or if the number of such shares of Common Stock shall be increased through the payment of a stock dividend, or a dividend on the shares of Common
Stock or rights or warrants to purchase securities of the Company shall be made, then there shall be substituted for or added to each share available under and subject to the Plan as provided in Section 1.3 hereof, and each share then subject
or thereafter subject or which may become subject to Options under the Plan, the number and kind of shares of stock or other securities into which each outstanding share of Common Stock shall be so changed or for which each such share shall be
exchanged or to which each such share shall be entitled, as the case may be, on a fair and equivalent basis in accordance with the applicable provisions of Section 424 of the Code; provided, however, in no such event will such adjustment result
in a modification of any Option as defined in Section 424(h) of the Code. In the event there shall be any other change in the number or kind of the outstanding shares of Common Stock, or any stock or other securities into which the Common Stock
shall have been changed or for which it shall have been exchanged, then if the Committee shall, in its sole discretion, determine that such change equitably requires an adjustment in the shares available under and subject to the Plan, or in any
Option theretofore granted or which may be granted under the Plan, such adjustments shall be made in accordance with such determination, except that no adjustment of the number of shares of Common Stock available under the Plan or to which any
Option relates that would otherwise be required shall be made unless and until such adjustment either by itself or with other adjustments not previously made would require an increase or decrease of at least 1% of the number of shares of Common
Stock available under the Plan or to which any Option relates immediately prior to the making of such adjustment (the “Minimum Adjustment”). Any adjustment representing a change of less than such minimum amount shall be carried forward and
made as soon as such adjustment together with other adjustments required by this Article VII and not previously made would result in a Minimum Adjustment. Notwithstanding the foregoing, any adjustment required by this Article VII which otherwise
would not result in a Minimum Adjustment shall be made with respect to shares of Common Stock relating to any Option immediately prior to exercise of such Option. 
 No fractional shares of Common Stock or units of other securities shall be issued pursuant to any such adjustment, and any fractions resulting from any such adjustment shall be eliminated in each
case by rounding downward to the nearest whole share. 
 ARTICLE VIII 
 GENERAL 
 Section 8.1 Amendment or Termination of
Plan. The Board may suspend or terminate the Plan at any time. In addition, the Board may, from time to time, amend the Plan in any manner, but may not adopt any amendment without Shareholder Approval if (i) the amendment relates to
Incentive Stock Options and Section 422 of the Code requires Shareholder Approval of such amendment, or (ii) in the opinion of counsel to the Company, Shareholder Approval is required by any Federal or state law or regulations or rules
promulgated thereunder. 
 Section 8.2 Acceleration of Otherwise Unexercisable Stock Options on Death,
Disability or Other Special Circumstances. The Committee, in its sole discretion, may permit (i) a Participant who terminates employment due to a Disability, (ii) the personal representative of a deceased Participant, or (iii) any
other Participant who terminates employment upon the occurrence of special circumstances (as determined by the Committee) to purchase all or any part 

  

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of the shares subject to any unvested Option on the date of the Participant’s termination of employment due to a Disability, death or special
circumstances, or as the Committee otherwise so determines. With respect to Options which have already vested at the date of such termination or the vesting of which is accelerated by the Committee in accordance with the foregoing provision, the
Participant or the personal representative of a deceased Participant shall have the right to exercise such vested Options which are Incentive Stock Options within three months of such date of termination of employment or one year in the case of a
Participant suffering a Disability or three years in the case of a deceased Participant. The Participant or the personal representative of a deceased Participant shall have the right to exercise such vested Options which are Nonqualified Stock
Options within such period(s) as the Committee shall determine. 
 Section 8.3 Nonassignability. No Option
shall be subject in any manner to alienation, anticipation, sale, transfer, assignment, pledge, or encumbrance, except for transfer by will or the laws of descent and distribution. Any attempt to transfer, assign, pledge, hypothecate or otherwise
dispose of, or to subject to execution, attachment or similar process, any Option contrary to the provisions hereof, shall be void and ineffective, shall give no right to any purported transferee, and may, at the sole discretion of the Committee,
result in forfeiture of the Option involved in such attempt. 
 Section 8.4 Withholding Taxes. A
Participant must pay the amount of taxes required by law upon the exercise of an Option in cash, unless an alternative payment method is acceptable by the Committee. 
 Section 8.5 Amendments to Options. The Committee may at any time unilaterally amend the terms of any Option Agreement, whether or not the Option granted thereunder is presently
exercisable or vested, to the extent it deems appropriate; provided, however, that any such amendment which is adverse to the Participant shall require the Participant’s consent. 
 Section 8.6 Regulatory Approval and Listings. The Company shall use its best efforts to file with the Securities and
Exchange Commission as soon as practicable following the date this Plan is adopted by the Board, and keep continuously effective and usable, a Registration Statement on Form S-8 with respect to shares of Common Stock subject to Options hereunder.
Notwithstanding anything contained in this Plan to the contrary, the Company shall have no obligation to issue or deliver certificates representing shares of Common Stock evidencing Options prior to: 
 (a) the obtaining of any approval from, or satisfaction of any waiting period or other condition imposed by, any
governmental agency which the Committee shall, in its sole discretion, determine to be necessary or advisable; 
 (b) the admission of such shares to listing on any exchange on which the Common Stock may be listed; and 
 (c) the completion of any registration or other qualification of such shares under any state or Federal law or ruling of any governmental body which the Committee shall, in its sole discretion, determine to be necessary or advisable.

 Section 8.7 Right to Continued Employment. Participation in the Plan shall not give any Participant any
right to remain in the employ of the Company or any Subsidiary or any partnership or limited liability company controlled by the Company. Further, the adoption of this Plan shall not be deemed to give any Eligible Employee or any other individual
any right to be selected as a Participant or to be granted an Option. 
 Section 8.8 Reliance on Reports.
Each member of the Committee and each member of the Board shall be fully justified in relying or acting in good faith upon any report made by the independent public accountants of the Company and its Subsidiaries and upon any other information
furnished in connection with the Plan by any person or persons other than the Committee or Board member. In no event shall any person who is or shall have been a member of the Committee or of the Board be liable for any determination made or other
action taken or any omission to act in reliance upon any such report or information or for any action taken, including the furnishing of information, or failure to act, if in good faith. 
  

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 Section 8.9 Construction. The titles and headings of the sections in
the Plan are for the convenience of reference only, and in the event of any conflict, the text of the Plan, rather than such titles or headings, shall control. 
 Section 8.10 Governing Law. The Plan shall be governed by and construed in accordance with the laws of the State of Oklahoma except as superseded by applicable Federal law.

 ARTICLE IX 
 ACCELERATION OF OPTIONS UPON CORPORATE EVENT 
 Section 9.1 Procedures for Acceleration and
Exercise. If the Company shall, pursuant to action by the Board, at any time propose to dissolve or liquidate or merge into, consolidate with, or sell or otherwise transfer all or substantially all of its assets to another corporation and
provision is not made pursuant to the terms of such transaction for the assumption by the surviving, resulting or acquiring corporation of outstanding Options under the Plan, or for the substitution of new options therefor, the Committee shall cause
written notice of the proposed transaction to be given to each Participant no less than forty days prior to the anticipated effective date of the proposed transaction, and the Participant’s Option shall become 100% vested. Prior to a date
specified in such notice, which shall be not more than ten days prior to the anticipated effective date of the proposed transaction, each Participant shall have the right to exercise his or her Option to purchase any or all of the Common Stock then
subject to such Option. Each Participant, by so notifying the Company in writing, may, in exercising his or her Option, condition such exercise upon, and provide that such exercise shall become effective immediately prior to the consummation of the
transaction, in which event such Participant need not make payment for the Common Stock to be purchased upon exercise of such Option until five days after receipt of written notice by the Company to such Participant that the transaction has been
consummated. If the transaction is consummated, each Option, to the extent not previously exercised prior to the date specified in the foregoing notice, shall terminate on the effective date such transaction is consummated. If the transaction is
abandoned, (i) any Common Stock not purchased upon exercise of such Option shall continue to be available for purchase in accordance with the other provisions of the Plan and (ii) to the extent that any Option not exercised prior to such
abandonment shall have vested solely by operation of this Section 9.1, such vesting shall be deemed voided as of the time such acceleration otherwise occurred pursuant to Section 9.1, and the vesting schedule set forth in the
Participant’s Option Agreement shall be reinstituted as of the date of such abandonment. 
 Section 9.2
Certain Additional Payments by the Company. The Committee may, in its sole discretion, provide in any Option Agreement for certain payments by the Company in the event that acceleration of vesting of any Option under the Plan is subject
to the excise tax imposed by Section 4999 of the Code or any interest or penalties with respect to such excise tax (such excise tax, interest and penalties, collectively, the “Excise Tax”). An Option Agreement may provide that the
Participant shall be entitled to receive a payment (a “Gross-Up Payment”) in an amount such that after payment by the Participant of all taxes (including any interest or penalties imposed with respect to such taxes), including any Excise
Tax, imposed upon the Gross-Up Payment, the Participant retains an amount of the Gross-Up Payment equal to the Excise Tax imposed upon such acceleration of vesting of any Option. 
  

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