Document:

Exhibit 10.7

 

EXHIBIT 10.7

AMENDED AND RESTATED

ADMINISTRATIVE SUPPORT AGREEMENT

     This Agreement (the “Agreement”) dated as of December 1, 2005, by and between mowheeler.com
Inc. d/b/a Drummond Road Capital., with offices at 1801 E. Ninth Street, Suite 1120, Cleveland,
Ohio 44114 (“Drummond Road”), and Cohesant Technologies Inc., a Delaware corporation with offices
at 5845 West 82nd Street, Indianapolis, Indiana 46278 (“Cohesant”).

     WHEREAS, the parties hereto are subject to an Administrative Support Agreement, dated December
1, 2001; and

     WHEREAS, the parties desire to amend and restate such agreement;

     NOW THEREFORE, in consideration of the premises and the mutual agreements herein contained,
the parties agree as follows:

     1. Responsibility of Drummond Road. Drummond Road shall provide office space and
administrative support services for Cohesant and its subsidiaries CIPAR Inc. and CIPAR Services
Inc. and for employees of Cohesant and those subsidiaries while in Cleveland.

     2. Compensation. In consideration of the benefits and services listed above, Cohesant
shall pay to Drummond Road an administrative fee of Eighty Six Thousand Six Hundred Sixty Seven
Dollars ($86,667.00) per annum, payable in advance in equal quarterly installments of $21,666.75 on
the first day of each quarter during the term hereof. During any renewal term payment shall be
made at the rate of $7,222.25 per month.

     3. Term. This Agreement shall commence on the date first above written and shall
terminate on May 31, 2006. Thereafter, this agreement shall continue on a month-to-month basis
until such time as either party provides the other at least 10 days written notice of its election
to terminate the Agreement at the end of such month.

     4. Notices. Notice to be given to the parties hereunder shall be by overnight
courier, facsimile transmission followed by a confirming, written copy, or United States certified
mail, return receipt requested, to the address of the respective parties set forth above. Either
party hereto may designate a new address at any time by notifying the other party in the manner set
forth above.

     5. Modification. This Agreement contains the entire agreement of the parties with
respect to the subject matter hereof amends and supersedes the Agreement, dated December 1, 2001
between Cohesant and Drummond Road LLC. Any change, modification, amendment or alteration to this
Agreement shall be effected only in writing and signed by the party or parties against whom
enforcement of any such change, modification, amendment or alteration is sought.

 

 

     6. Non-Waiver. The failure of any party hereto, at any time to require performance by
any party hereto of any provision hereof, shall in no way affect the right of such failing party
hereafter to enforce such provision nor shall any waiver by any part of any breach of any
provisions hereof be taken or held to be a waiver of any succeeding breach of such provisions
hereof be taken or held to be a waiver of any succeeding breach of such provision or as a waiver of
the provision itself.

     7. Assignment and Successors; Binding Effect, etc. The rights and obligations of
Drummond Road and Cohesant under this Agreement shall inure to the benefit of and shall be binding
upon the successors of Drummond Road and Cohesant and may not be assigned without the consent of
the other party hereto, and any such purported assignment shall be null and void.

     8. Governing Law. The terms of this Agreement shall be construed and governed in
accordance with the laws of the State of Ohio without regard to principles of conflicts of law.

     9. Counterparts. This Agreement may be executed in counterparts, each of which shall
be deemed an original, all of which together shall constitute one Agreement. The signature of any
party to any counterpart, or facsimile thereof, may be appended to any other counterpart, and when
so appended shall constitute one original.

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date first above
written.

	 	 	 	 	 
	 	mowheeler.com, Inc

d/b/a DRUMMOND ROAD CAPITAL.

 	 
	 	By:  	/s/ Morris H. Wheeler
 	 
	 	 	     Morris H. Wheeler, President 	 
	 	 	 	 
	 
	 	COHESANT TECHNOLOGIES INC.

 	 
	 	By:  	Robert W. Pawlak
 	 
	 	 	     Robert W. Pawlak, Chief Financial OfficerExhibit 10.8

 

Exhibit 10.8

COHESANT TECHNOLOGIES, INC.

2005 Long-Term Incentive Plan

     1. Purpose of the Plan. This Cohesant Technologies Inc. Long-Term Incentive
Plan (the “Plan”) is intended as an incentive to further the growth and profitability of Cohesant
Technologies Inc. (the “Company”) and to encourage stock ownership on the part of (a) employees of
the Company and its Affiliates, (b) consultants and advisers who provide significant services to
the Company and its Affiliates, and (c) directors of the Company who are not employees of the
Company. By encouraging such stock ownership, the Company seeks to attract, retain, and motivate
Employees, Consultants, and Directors with training, experience, and ability. All management and
Employees, Consultants and Directors of the Company are eligible to receive Awards under the Plan.

     2. Effective Date. The Plan shall become effective on March 17, 2005 (the
“Effective Date”), subject to ratification by an affirmative vote of the holders of a majority of
the Shares which are present, in person or by proxy, and entitled to vote at the 2005 Annual
Meeting of Stockholders.

     3. Administration.

          3.01 Administration of the Plan. The Plan shall be administered by the Compensation
Committee of the Board (the “Committee”). If any class of equity securities of the Company is
registered under section 12 of the Exchange Act, all members of the Committee will be “non-employee
directors” as defined in Rule 16b-3(b)(2)(i) promulgated under the Exchange Act (or any successor
rule of like tenor and effect) and “outside directors” as defined in Section 162(m) of the Code and
the regulations promulgated thereunder.

          3.02 Authority of the Committee. It shall be the duty of the Committee to administer
the Plan in accordance with the Plan’s provisions. Subject to the provisions of the Plan, the
Committee is authorized to establish, amend and rescind such rules and regulations as it may deem
appropriate for its conduct and for the proper administration of the Plan, to make all
determinations under and interpretations of, and to take such actions in connection with, the Plan
or the Awards granted thereunder as it may deem necessary or advisable, including, but not limited
to, the power to (a) determine which Employees and Consultants shall be granted Awards, (b)
prescribe the terms and conditions of the Awards (other than the Options and Restricted Stock
granted to Non-Employee Directors pursuant to Section 8), (c) interpret the Plan and the Awards,
(d) adopt such procedures and subplans as are necessary or appropriate to permit participation in
the Plan by Employees, Consultants and Directors who are foreign nationals or employed outside of
the United States, (e) adopt rules for the administration, interpretation and application of the
Plan as are consistent therewith, and (f) interpret, amend or revoke any such rules. Subject to
the terms and provisions of the Plan, the Committee, in its sole discretion, may grant, at any time
and from time to time as determined by the Committee, Options, SARs, Restricted Stock, or a
combination thereof.

          3.03 Non-Employee Directors. Notwithstanding any contrary provision of this Section
3, the Board shall administer Section 8 of the Plan, and the Committee shall exercise no discretion
with respect to Section 8. In the Board’s administration of Section 8 and the Options, Restricted
Stock and any Shares granted to Non-Employee Directors, the Board shall have all of the authority
and discretion otherwise granted to the Committee with respect to the administration of the Plan.

          3.04 Decisions Binding. All actions, determinations and decisions made by the
Committee pursuant to the provisions of the Plan shall be final, conclusive, and binding on all
persons,

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and shall be given the maximum deference permitted by law. No member of the Committee shall be
liable for any action taken or determination made relating to the Plan, except for gross negligence
or willful misconduct.

          3.05 Delegation by the Committee. The Committee, in its sole discretion and on such
terms and conditions as it may provide, may delegate all or any part of its authority and powers
under the Plan to the Chief Executive Officer of the Company; provided, however,
that the Committee may not delegate its authority and powers (a) with respect to Section 16
Persons, or (b) in any way which would jeopardize the Plan’s qualification under Section 162(m) of
the Code or Rule 16b-3 of the Exchange Act.

          3.06 Indemnification. Each member of the Committee shall be indemnified by the
Company against costs, expenses and liabilities (other than amounts paid in settlements to which
the Company does not consent, which consent shall not be unreasonably withheld) reasonably incurred
by such member in connection with any action taken in relation to the Plan to which he or she may
be a party by reason of service as a member of the Committee, except in relation to matters as to
which he or she shall be adjudged in such action to be personally guilty of gross negligence or
willful misconduct in the performance of his or her duties. The foregoing right to indemnification
shall be in addition to such other rights as the Committee member may enjoy as a matter of law, by
reason of insurance coverage of any kind, or otherwise.

     4. Stock Subject to Plan.

          4.01 Number of Shares. The stock subject to Awards under the Plan shall be shares of
the common stock, $.001 par value, of Cohesant Technologies Inc. (the “Shares”). The Shares issued
pursuant to Awards granted under the Plan may be authorized and unissued Shares, Shares purchased
on the open market or in a private transaction, or Shares held as treasury stock. The aggregate
number of Shares for which Awards may be granted under the Plan shall not exceed 300,000 Shares,
subject to adjustment in accordance with the terms of Section 4.04 hereof.

          4.02 Lapsed Awards. Any Shares subject to an Award which for any reason expires or is
terminated unexercised as to such Shares and any Shares reacquired by the Company pursuant to any
forfeiture hereunder may again be the subject of an Award under the Plan.

          4.03 Exercise; Proceeds. The Committee, in its sole discretion, may permit the
exercise or issuance of any Award as to full Shares or fractional Shares. Proceeds from the sale
of Shares under Awards shall constitute general funds of the Company.

          4.04 Stock Splits; Mergers; Reorganizations.

               (a) In the event of a stock split, stock dividend, combination or exchange of shares, exchange
for other securities, reclassification, reorganization, redesignation or other change in the
Company’s capitalization, the aggregate number of Shares for which Awards may be granted under this
Plan, the number of Shares subject to outstanding Awards and the Exercise Price of the Shares
subject to outstanding Options shall be proportionately adjusted or substituted to reflect the
same. The Committee shall make such other adjustments to the Awards, the provisions of the Plan
and the Awards Agreements, which adjustments may provide for the elimination of fractional Shares.

               (b) In the event of a change of the Company’s common stock resulting from a merger or similar
reorganization as to which the Company is the surviving corporation, the number and kind of Shares
which thereafter may be purchased pursuant to an Award under the Plan and the number and kind of
Shares then subject to Options granted hereunder and the price per Share thereof shall be

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appropriately adjusted in such manner as the Committee may deem equitable to prevent dilution or
enlargement of the rights available or granted hereunder.

     5. Stock Options.

          5.01 Grant of Options. Subject to the terms and provisions of the Plan, Options may
be granted to Employees and Consultants at any time and from time to time as determined by the
Committee in its sole discretion. The Committee, in its sole discretion, shall determine the
number of Shares subject to each Option. The Committee may grant Incentive Stock Options,
Nonqualified Stock Options, or a combination thereof. More than one Option may be granted to an
individual under the Plan.

          5.02 Award Agreement.

               (a) Each Option shall be evidenced by an Award Agreement that shall specify the Exercise
Price, the expiration date of the Option, the number of Shares to which the Option pertains, any
conditions to exercise of the Option, and such other terms and conditions as the Committee, in its
discretion, shall determine. The Award Agreement shall specify whether the Option is intended to
be an Incentive Stock Option or a Nonqualified Stock Option.

               (b) The Committee may grant Options having terms and provisions which vary from those
specified in the Plan if such Options are granted in substitution for, or in connection with the
assumption of, existing options granted by another corporation and assumed or otherwise agreed to
be provided for by the Company pursuant to or by reason of a transaction involving a corporate
merger, consolidation, acquisition of property or stock, separation, reorganization or liquidation
to which the Company is a party.

          5.03 Exercise Price. Subject to the provisions of this Section 5.03, the Exercise
Price for each Option granted under the Plan shall be determined by the Committee in its sole
discretion.

               5.03.1 Fair Market Value. The Exercise Price of any Option granted under the Plan
shall be not less than the Fair Market Value of a Share on the Grant Date.

               5.03.2 Incentive Stock Options. In the case of an Incentive Stock Option, no
Incentive Stock Option may be granted to an Employee (together with persons whose stock ownership
is attributed to the Employee pursuant to Section 424(d) of the Code) who, on the Grant Date, is
considered under Section 422(b)(6) of the Code to own stock possessing more than ten percent (10%)
of the total combined voting power of all classes of stock of the Company or of its Parent or any
Subsidiary corporation; provided, however, this restriction shall not apply if at
the time such Incentive Stock Option is granted the Exercise Price of such Incentive Stock Option
shall be at least 110% of the Fair Market Value of such Share.

               5.03.3 Substitute Options. Notwithstanding the provisions of Sections 5.03.1 and
5.03.2, in the event that the Company or an Affiliate consummates a transaction described in
Section 424(a) of the Code (e.g., the acquisition of property or stock from an unrelated
corporation), persons who become Employees or Consultants on account of such transaction may be
granted Options in substitution for options granted by their former employer. If such substitute
Options are granted, the Committee, in its sole discretion and consistent with Section 424(a) of
the Code, shall determine the exercise price of such substitute Options.

          5.04 Expiration of Options.

               5.04.1 Expiration Dates. Each Option shall terminate no later than the first to occur
of the following events:

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     (a) The date for termination of the Option set forth in the written
Award Agreement;

     (b) The expiration of ten (10) years from the Grant Date (except as
provided in Section 5.08.4 regarding Incentive Stock Options);

     (c) Upon Termination of Service For Cause;

     (d) The expiration of ninety (90) days from the date and time of the
Participant’s Termination of Service for a reason other than the
Participant’s death, Disability, or Termination of Service For Cause;

     (e) The expiration of one (1) year from the date of the Participant’s
death or the Participant’s Termination of Service by reason of death or
Disability (except as provided in Section 5.08.2 regarding Incentive Stock
Options); or

     (f) Upon the Committee’s determination that, after a Participant’s
Termination of Service, the Participant engages or engaged in employment or
activities contrary, in the sole opinion of the Committee, to the best
interests of the Company.

               5.04.2 Committee Discretion. Subject to the limits of Sections 5.04.1, the Committee,
in its sole discretion, (a) shall provide in each Award Agreement when each Option expires and
becomes unexercisable, and (b) may, after an Option is granted, extend the maximum term of the
Option (subject to Section 5.08.4 regarding Incentive Stock Options).

          5.05 Exercisability of Options. Options granted under the Plan will be exercisable at
such times and be subject to such terms and conditions as the Committee shall determine in its sole
discretion. After an Option is granted, the Committee, in its sole discretion, may accelerate the
exercisability of the Option.

          5.06 Payment. Options shall be exercised by the Participant’s delivery of a written
notice of exercise to the Company’s Chief Financial Officer or any other officer of the Company
designated by the Committee to accept such notices on its behalf, specifying the number of Shares
for which it is exercised.

          On the date of exercise of an Option, the Participant or other person exercising the Option
shall make full payment of the Exercise Price (a) in cash; (b) with the consent of the Committee,
by tendering previously acquired Shares which have been held by the Participant (valued at their
Fair Market Value as of the date of tender); (c) with the consent of the Committee, and to the
extent permitted by applicable law, with a full recourse promissory note of the Participant for the
portion of the Exercise Price in excess of the par value of Shares subject to the Option, under
terms and conditions determined by the Committee and in cash for the par value of the Shares; (d)
with the consent of the Committee, any combination of (a), (b), or (c), or (e) with the consent of
the Committee, if the Shares subject to the Option have been registered under the Securities Act,
and there is a regular public market for the Shares, by delivering to the Company on the date of
exercise of the Option written notice of exercise together with:

               (i) written instructions to forward a copy of such notice of exercise to a broker or dealer as
defined in Section 3(a)(4) and 3(a)(5) of the Exchange Act, and designated in such notice
(“Broker”), and to deliver to the specified account maintained with the Broker by the person
exercising the Option a certificate for the Shares purchased upon the exercise of the Option, and

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               (ii) a copy of irrevocable instructions to the Broker to deliver promptly to the Company a sum
equal to the purchase price of the Shares purchased upon exercise of the Option.

          If previously acquired Shares are to be used to pay the Exercise Price of an Incentive Stock
Option, the Company prior to such payment must be furnished with evidence satisfactory to it that
the acquisition of such Shares and their transfer in payment of the exercise price satisfy the
requirements of Section 422 of the Code and other applicable laws.

          As soon as practicable after receipt of a written notification of exercise and full payment
for the Shares purchased, the Company shall deliver to the Participant (or the Participant’s
designated broker), Share certificates (which may be in book entry form) representing such Shares.

          5.07 Restrictions on Share Transferability. The Committee may impose such
restrictions on any Shares acquired pursuant to the exercise of an Option as it may deem advisable,
including, but not limited to, restrictions related to applicable federal securities laws, the
requirements of the Nasdaq Stock Market or any national securities exchange or system upon which
Shares are then listed or traded, or any blue sky or state securities laws.

          5.08 Certain Additional Provisions for Incentive Stock Options. Notwithstanding
anything to the contrary contained in this Section 5, the following provisions shall apply to any
Incentive Stock Option granted pursuant to the Plan.

               5.08.1 Exercisability. The aggregate Fair Market Value (determined on the Grant
Date(s)) of the Shares with respect to which Incentive Stock Options are exercisable for the first
time by any Employee during any calendar year (under all plans of the Company and its Subsidiaries)
shall not exceed $100,000. If an Incentive Stock Option which exceeds the $100,000 limitation of
this Section 5.08.1 is granted, the portion of such Option which is exercisable for Shares in
excess of the $100,000 limitation shall be treated as a Nonqualified Stock Option pursuant to
Section 422(d) of the Code. Except as otherwise expressly provided in the immediately preceding
sentence, this Section 5.08.1 has no application to Options granted under the Plan as Nonqualified
Stock Options.

               5.08.2 Termination of Service. No Incentive Stock Option may be exercised more than
three (3) months after the Participant’s Termination of Service for any reason other than
Disability or death, unless (a) the Participant dies during such three-month period, or (b) the
Award Agreement or the Committee permits later exercise, in which case the Incentive Stock Option
shall be deemed a Nonqualified Stock Option.

               5.08.3 Company and Subsidiaries Only. Incentive Stock Options may be granted only to
persons who are Employees of the Company or a Subsidiary on the Grant Date.

               5.08.4 Expiration. No Incentive Stock Option may be exercised after the expiration of
ten (10) years from the Grant Date; provided, however, that if the Option is
granted to an Employee who, together with persons whose stock ownership is attributed to the
Employee pursuant to Section 424(d) of the Code, owns stock possessing more than 10% of the total
combined voting power of all classes of the stock of the Company or any of its Subsidiaries, the
Option may not be exercised after the expiration of five (5) years from the Grant Date.

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     6. Stock Appreciation Rights.

          6.01 Grant of SARs; Exercise Price and Other Terms.

               (a) Subject to the terms and conditions of the Plan, the Committee may grant a SAR to
Employees and Consultants at any time and from time to time as shall be determined by the
Committee, in its sole discretion. The Committee shall have complete discretion to determine the
number of SARs granted to any Participant. SARs must be stand-alone, not affiliated with any
Option. SARs may only relate to Shares traded on an established securities market.

               (b) The Committee, subject to the provisions of the Plan, shall have complete discretion to
determine the terms and conditions of SARs granted under the Plan. However, the exercise price of
a SAR shall be not less than the Fair Market Value of a Share on the Grant Date. In no event shall
an SAR granted to a Section 16 Person become exercisable in any period shorter than may be
permissible to maintain the Plan’s compliance with Rule 16b-3.

          6.02 Exercise of SARs. SARs shall be exercisable on such terms and conditions as the
Committee, in its sole discretion, shall determine. However, no SAR granted to a Section 16 Person
shall be exercisable until the end of the shortest period as may be permissible to maintain the
Plan’s compliance with Rule 16b-3.

          6.03 SAR Agreement. Each SAR grant shall be evidenced by an Award Agreement that
shall specify the exercise price, the term of the SAR, the conditions of exercise, and such other
terms and conditions as the Committee, in its sole discretion, shall determine.

          6.04 Expiration of SARs. An SAR granted under the Plan shall expire upon the date
determined by the Committee, in its sole discretion, and set forth in the Award Agreement.
Notwithstanding the foregoing, the rules of Section 5.04 also shall apply to SARs.

          6.05 Payment. Upon exercise of an SAR, a Participant shall be entitled to receive
from the Company the number of Shares with respect to which the SAR is exercised.

     7. Restricted Stock.

          7.01 Grant of Restricted Stock. Subject to the terms and provisions of the Plan, the
Committee, at any time and from time to time, may grant Shares of Restricted Stock to Employees and
Consultants in such amounts as the Committee, in its sole discretion, shall determine. The
Committee, in its sole discretion, shall determine the number of Shares to be granted to each
Participant.

          7.02 Restricted Stock Agreement. Each Award of Restricted Stock shall be evidenced by
an Award Agreement that shall specify the Period of Restriction, if any, the number of Shares
granted, any price to be paid for the Shares, and such other terms and conditions as the Committee,
in its sole discretion, shall determine. Unless the Committee determines otherwise, Shares of
Restricted Stock shall be held by the Company or its designee as escrow agent until the
restrictions on such Shares have lapsed.

          7.03 Transferability. Shares of Restricted Stock may not be sold, transferred,
pledged, assigned, or otherwise alienated or hypothecated until the end of the applicable Period of
Restriction. In no event may Restricted Stock granted to a Section 16 Person be transferred prior
to six (6) months following the Grant Date.

          7.04 Other Restrictions. The Committee, in its sole discretion, may impose such other
restrictions on Shares of Restricted Stock as it may deem advisable or appropriate, in accordance

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with this Section 7.04. For example, the Committee may set restrictions based upon the achievement
of specific performance objectives (Company-wide, divisional, or individual), applicable Federal or
state securities laws, or any other basis determined by the Committee in its discretion. The
Committee, in its discretion, may legend the certificates representing Restricted Stock to give
appropriate notice of the restrictions applicable to such Shares.

          7.05 Removal of Restrictions. Shares of Restricted Stock covered by each Restricted
Stock grant made under the Plan shall be released from escrow as soon as practicable after the last
day of the Period of Restriction. The Committee, in its discretion, may accelerate the time at
which any restrictions shall lapse, and remove any restrictions. After the restrictions have
lapsed, the Participant shall be entitled to have any legend or legends under Section 7.04 removed
from his or her Share certificate, and the Shares shall be freely transferable by the Participant.

          7.06 Voting Rights. During the Period of Restriction, Participants holding Shares of
Restricted Stock granted hereunder may exercise full voting rights with respect to those Shares,
unless otherwise provided in the Award Agreement.

          7.07 Dividends and Other Distributions. During the Period of Restriction,
Participants holding Shares of Restricted Stock shall be entitled to receive all dividends and
other distributions paid with respect to such Shares unless otherwise provided in the Award
Agreement. If any such dividends or distributions are paid in Shares, the Shares shall be subject
to the same restrictions on transferability and forfeitability as the Shares of Restricted Stock
with respect to which they were paid. With respect to Restricted Stock granted to a Section 16
Person, any dividend or distribution that constitutes a “derivative security” or an “equity
security” under Section 16 of the Exchange Act shall be subject to a Period of Restriction equal to
the longer of: (a) the remaining Period of Restriction on the Shares of Restricted Stock with
respect to which the dividend or distribution is paid; or (b) six (6) months.

          7.08 Return of Restricted Stock to Company. On the date set forth in the Award
Agreement, the Restricted Stock for which restrictions have not lapsed shall revert to the Company
and again shall become available for grant under the Plan.

     8. Non-Employee Directors.

          8.01 Granting of Options. If any class of equity securities of the Company is
registered under Section 12 of the Exchange Act, the Board, in its sole discretion, will determine
from time to time the number of Nonqualified Stock Options each Non-Employee Director will receive
under the Plan. Future grants will cease and be suspended at any time that there are not
sufficient Shares available under the Plan. Options granted pursuant to this Section 8 shall not
be designated as Incentive Stock Options.

          8.02 Terms of Options.

               8.02.1 Option Agreement. Each Option granted pursuant to this Section 8 shall be
evidenced by a written stock option agreement which shall be executed by the Participant and the
Company.

               8.02.2 Exercise Price. The Exercise Price for the Shares subject to each Option
granted pursuant to this Section 8 shall be 100% of the Fair Market Value of such Shares on the
Grant Date.

               8.02.3 Exercisability. Each Option granted pursuant to this Section 8 shall become
exercisable at such time or times as is determined by the Board, provided that no Option granted a
Non-Employee Director may be exercised for at least one year after the date the Option is granted.
If a

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Non-Employee Director incurs a Termination of Service, his or her Options which are not exercisable
on the date of such Termination shall immediately terminate.

               8.02.4 Expiration of Options. Each Option shall terminate upon the first to occur of
the following events:

     (a) The expiration of five (5) years from the Grant Date;

     (b) The expiration of ninety (90) days from the date and time of the
Participant’s Termination of Service for a reason other than death or
Disability; or

     (c) The expiration of one (1) year from the date of the Participant’s
death or Termination of Service by reason of death or Disability.

               8.02.5 Other Terms. All provisions of the Plan not inconsistent with this Section 8
shall apply to Options granted to Non-Employee Directors; provided, however, that
Section 5.02 (relating to the Committee’s discretion to set the terms and conditions of Options)
shall be inapplicable with respect to Non-Employee Directors.

          8.03 Elections by Non-Employee Directors. Pursuant to such procedures as the Board
(in its discretion) may adopt from time to time, each Non-Employee Director may elect to forego
receipt of all or a portion of committee fees and meeting fees otherwise due to the Non-Employee
Director in exchange for Shares. The number of Shares received by any Non-Employee Director shall
equal the amount of foregone compensation divided by the Fair Market Value of a Share on the date
that the compensation otherwise would have been paid to the Non-Employee Director, rounded up to
the nearest whole number of Shares. The procedures adopted by the Board for elections under this
Section 8.03 shall be designed to ensure that any such election by a Non-Employee Director will not
disqualify him or her as a “non-employee director” under Rule 16b-3.

          8.04 Restricted Stock. Subject to the terms and conditions of the Plan, the Board,
at any time and from time to time, may grant Shares of Restricted Stock to Non-Employee Directors
in such amounts as the Board, in its sole discretion, shall determine. The Board, in its sole
discretion, shall determine the number of Shares to be granted to each Non-Employee Director.
Awards of Restricted Stock to Non-Employee Directors shall be subject to the provisions of Section
7 of this Plan; provided, however, that the Board shall have all of the authority
and discretion otherwise granted to the Committee with respect to the administration of Section 7
regarding Non-Employee Directors only.

     9. Section 162(m) Deduction Qualification. Except as otherwise
provided in Section 9.05, the provisions of this Section 9 shall apply only to Awards of Covered
Officers.

          9.01 Awards for Covered Officers. Any other provision of the Plan notwithstanding,
all Awards to Covered Officers shall be made in a manner that allows for the full deductibility of
the Award by the Company or its Subsidiaries under Section 162(m) of the Code; unless the Committee
determines that compliance with Section 162(m) of the Code is not desired with respect to any
specified Award or Awards. In addition, if changes are made to Code Section 162(m) to permit
greater flexibility with respect to any Award or Awards available under the Plan, the Committee may
make adjustments as it deems appropriate. All Awards for Covered Officers shall comply with the
provisions of this Section 9.

          9.02 Designation of Covered Officers. For each Performance Period, the Committee will
designate which Participants are Covered Officers within 90 days of the beginning of the

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Performance Period (or such earlier or later date as is permitted or required by Section 162(m) of
the Code).

          9.03 Establishment of Performance Goals and Awards for Covered Officers. Within 90
days of the beginning of a Performance Period (or such earlier or later date as is permitted or
required by Section 162(m) of the Code), the Committee shall in its sole discretion, for each such
Performance Period: (a) determine and establish in writing one or more Performance Goals
applicable to the Performance Period for each Covered Officer; and (b) either (i) assign each
Covered Officer a target Award expressed as a fixed number of Shares or a whole dollar amount or
(ii) establish a payout table or formula for purposes of determining the Award payable to each
Covered Officer. Each payout table or formula: (a) shall be in writing; (b) shall be based on a
comparison of actual performance to the Performance Goals; (c) may include a “floor” which is the
level of achievement of the Performance Goal in which payout begins; and (d) shall provide for an
actual Award equal to, less than or greater than the Covered Officer’s target Award, depending on
the extent to which actual performance approached, reached, or exceeded the Performance Goal. Such
pre-established Performance Goals and Awards must state, in terms of an objective formula or
standard, the method for computing the amount of the Award payable to each Covered Officer if the
Performance Goal is met. A formula or standard is objective if a third party having knowledge of
the relevant performance results could calculate the amount to be paid to the Covered Officer. The
Committee may from time to time establish any number of Performance Periods, Performance Goals and
Awards for any Covered Officer running concurrently, in whole or in part, provided, that in so
doing the Committee does not jeopardize the Company’s deduction for such Awards under Section
162(m) of the Code. The Committee may select different Performance Goals and Awards for different
Covered Officers.

          9.04 Certification of Achievement of Performance Goals and Amount of Awards. After
the end of each Performance Period, or such earlier date if the Performance Goals are achieved (and
such date otherwise complies with Section 162(m) of the Code), the Committee shall certify in
writing, prior to the unconditional payment of any Award, that the Performance Goals for the
Performance Period and all other material terms of the Plan were satisfied and to what extent they
were satisfied. The Committee shall determine the actual Award for each Covered Officer based on
the payout table/formula established in Section 9.03, as the case may be. Extraordinary Events
shall either be excluded or included in determining the extent to which the corresponding
Performance Goal has been achieved, whichever will produce the higher Award; provided,
however, notwithstanding the attainment of specified Performance Goals, the Committee has
the discretion to reduce or eliminate an Award that would otherwise be paid to any Participant,
including any Covered Officer, based on the Committee’s evaluation of Extraordinary Events or other
factors. Without limiting the manner of computing Awards set forth in the preceding sentence, with
respect to Covered Officers, the Committee may not under any circumstances increase the amount of
an Award.

          9.05 Maximum Award. Any other provision of the Plan notwithstanding, the maximum
aggregate Awards payable to any Participant under the Plan during any one or more Performance
Periods during a Fiscal Year shall not exceed 30,000 Shares, which maximum number of Shares shall
be adjusted pursuant to Section 4.04.

     10. Miscellaneous.

          10.01 Forfeiture. Notwithstanding anything in the Plan or in any Award Agreement to
the contrary, in the event of a breach of conduct by a Participant or former Participant
(including, without limitation, any conduct prejudicial to or in conflict with the Company or an
Affiliate), or any activity of a Participant or former Participant in competition with any of the
businesses of the Company or an Affiliate, the Committee may (a) cancel any outstanding Award
granted to the Participant, in whole or in part, whether or not vested, and/or (b) if such conduct
or activity occurs within one year following the exercise or payment of an Award, require the
former Participant to repay to the Company any gain

9

 

realized or payment received upon the exercise or payment of such Award (with such gain or
repayment valued as of the date of exercise or payment). Such cancellation or repayment obligation
shall be effective as of the date specified by the Committee. Any repayment obligation may be
satisfied in Shares or cash or a combination thereof (based upon the Fair Market Value of the
Shares on the day prior to the date of payment), and the Committee may provide for an offset to any
future payments owed by the Company or Affiliate to such individual if necessary to satisfy the
repayment obligation. The determination of whether any Participant or former Participant has
engaged in a breach of conduct or any activity in competition with any of the businesses of the
Company or an Affiliate shall be determined by the Committee in good faith and in its sole
discretion.

          10.02 No Contract of Employment. Nothing in the Plan or in any Award or Award
Agreement shall confer on any Participant any right to continue in the employ or service of the
Company or any Parent or Subsidiary of the Company or interfere with the right of the Company to
terminate such Participant’s employment or other services at any time. The establishment of the
Plan shall in no way, now or hereafter, reduce, enlarge or modify the employment relationship
between the Company or any Parent or Subsidiary of the Company and the Participant. Awards granted
under the Plan shall not be affected by any change of duties or position of the Participant with
the Company.

          10.03 Participation. No Employee or Consultant shall have the right to be selected to
receive an Award under this Plan, or, having been so selected, to be selected to receive a future
Award.

          10.04 Change in Control. In the event of a Change in Control, the Board of Directors
may, in its discretion, make any or all outstanding Awards immediately exercisable or fully vested
to the extent of 100% of the Shares subject thereto notwithstanding any contrary waiting or vesting
periods specified in this Plan or in any applicable Award Agreement. In addition to the foregoing,
the Board of Directors may, in its discretion, accelerate the exercisability or vesting of Awards
granted under the Plan in circumstances that do not constitute a change in control as defined
herein.

          10.05 Successors. All obligations of the Company under the Plan, with respect to
Awards granted hereunder, shall be binding on any successor to the Company, whether the existence
of such successor is the result of a direct or indirect purchase, merger, consolidation, or
otherwise, of all or substantially all of the business or assets of the Company.

          10.06 Beneficiary Designations. If permitted by the Committee, a Participant under
the Plan may name a beneficiary or beneficiaries to whom any vested but unpaid Award shall be paid
in the event of the Participant’s death. Each such designation shall revoke all prior designations
by the Participant and shall be effective only if given in a form and manner acceptable to the
Committee. In the absence of any such designation, any vested benefits remaining unpaid at the
Participant’s death shall be paid to the Participant’s estate and, subject to the terms of the Plan
and of the applicable Award Agreement, any unexercised vested Award may be exercised by the
administrator or executor of the Participant’s estate.

          10.07 Nontransferability of Awards; Unfunded Plan. No Award granted under the Plan
may be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than (a)
by will or the laws of descent and distribution, (b) pursuant to a qualified domestic relations
order (as defined in Section 401(a)(13) of the Code or Section 206(d)(3) of the Employee Retirement
Income Security Act of 1974, as amended, or (c) to the limited extent provided in Section 10.05;
provided that in the case of an Incentive Stock Option, such transfer or assignment may occur only
to the extent it will not result in disqualifying such option as an incentive stock option under
Section 422 of the Code, or any successor provision. All rights with respect to an Award granted to
a Participant shall be available during his or her lifetime only to the Participant or his or her
guardian or legal representative. Notwithstanding the foregoing, to the extent provided in the
applicable Award Agreement, a Participant may transfer a Nonqualified Stock Option either (i) to
members of his or her immediate family (as defined in Rule 16a-1

10

 

promulgated under the Exchange Act), to one or more trusts for the benefit of such family members,
or to partnerships or other entities in which such family members are the only partners or owners,
provided that the Participant does not receive any consideration for the transfer, or (ii) if such
transfer is approved by the Committee. If such transfer is permitted under the Award Agreement,
any Nonqualified Stock Option held by such transferees are subject to the same terms and conditions
that applied to such Nonqualified Stock Options immediately prior to transfer based on the
transferor Participant’s continuing relationship with the Company. It is intended that the Plan be
an “unfunded” plan for incentive compensation. The Plan does not give a Participant any interest,
lien or claim against any specific asset of the Company. No Participant or beneficiary shall have
any rights under this Plan other than as a general unsecured creditor of the Company.

          10.08 No Rights as Stockholder. Except to the limited extent provided in Sections
7.06 and 7.07, no Participant (nor any beneficiary) shall have any of the rights or privileges of a
stockholder of the Company with respect to any Shares issuable pursuant to an Award (or exercise
thereof), unless and until certificates representing such Shares shall have been issued, recorded
on the records of the Company or its transfer agents or registrars, and delivered to the
Participant (or beneficiary).

          10.09 Agreements and Representations of Optionees. As a condition to the exercise of
an Award, the Committee may, in its sole determination, require the Participant to represent in
writing that the Shares being purchased are being purchased only for investment and without any
present intent at the time of the acquisition of such Shares to sell or otherwise dispose of the
same.

          10.10 Tax Withholding Requirements.

               (a) The Company’s obligation to deliver Shares upon issuance or exercise of an Award shall be
subject to the Participant’s satisfaction of all applicable federal, state or local tax withholding
obligations. Prior to the delivery of any Shares or cash pursuant to an Award (or exercise
thereof), the Company shall have the power and the right to deduct or withhold from any salary,
wages, or other compensation for services payable by the Company to or with respect to a
Participant, or require a Participant to remit to the Company, an amount sufficient to satisfy any
federal, state, and local withholding tax liability (including the Participant’s FICA obligation)
attributable to such Participant’s (or any beneficiary’s or personal representative’s) receipt or
disposition of Shares purchased or acquired under any Award or to take any such other action as it
deems necessary to enable it to satisfy any such tax withholding obligations.

               (b) The Committee, in its sole discretion and pursuant to such procedures as it may specify
from time to time, may permit or require a Participant to satisfy all or part of the Participant’s
tax withholding liabilities in connection with an Award by (i) having the Company withhold
otherwise deliverable Shares, or (ii) delivering to the Company already-owned Shares having a Fair
Market Value equal to the amount required to be withheld. The amount of the withholding
requirement shall be deemed to include any amount which the Committee determines, not to exceed the
amount determined by using the minimum federal, state or local marginal income tax rates applicable
to the Participant with respect to the Award on the date that the amount of tax to be withheld is
to be determined. The Fair Market Value of the Shares to be withheld or delivered shall be
determined as of the date that the taxes are required to be withheld.

          10.11 Exchanges. The Committee may permit the voluntary surrender of all or
a portion of any Award granted under the Plan to be conditioned upon the granting to the
Participant of a new Award for the same or a different type and number of Shares as the Award
surrendered, or may require such voluntary surrender as a condition precedent to a grant of a new
Award to such Participant. Subject to the provisions of the Plan, such new Award shall be on such
other terms and conditions as are specified by the Committee at the time the new Award is granted.
Upon surrender, the Awards

11

 

surrendered shall be cancelled and the Shares previously subject to them shall be available for the
grant of other Awards.

          10.12 Repurchase of Shares by the Company. Any Shares purchased or acquired upon
issuance or exercise of an Award may, in the sole discretion of the Committee, be subject to
repurchase by or forfeiture to the Company if and to the extent and at the repurchase price, if
any, specifically set forth in the Award Agreement pursuant to which the Shares were purchased or
acquired. Certificates representing Shares subject to such repurchase or forfeiture may be subject
to such escrow and stock legend provisions as may be set forth in the Award Agreement pursuant to
which the Shares were purchased or acquired.

          10.13 Confidentiality Agreements. Upon the Company’s request, each Participant shall
execute, prior to or contemporaneously with the grant of any Award hereunder, the Company’s then
current standard form of agreement relating to nondisclosure of confidential information,
noncompetition and/or assignment of inventions and related matters.

          10.14 Compliance with Laws and Regulations. The Plan, the grant, issuance, and
exercise of Awards thereunder, and the obligation of the Company to sell and deliver the Shares
under such Awards, shall be subject to all applicable federal and state laws, rules and regulations
and to such approvals by any government or regulatory agency as may be required. Awards issued
under the Plan shall not be exercisable prior to (a) the date upon which the Company shall have
registered the Shares for which Awards may be issued hereunder under the Securities Act, and (b)
the completion of any registration or qualification of such Shares under state law, or any ruling
or regulation of any governmental body which the Company shall, in its sole discretion, determine
to be necessary or advisable in connection therewith, or alternatively, unless the Company shall
have received an opinion from counsel to the Company stating that the grant, issuance, or exercise
of such Awards may be effected without registering the Shares subject to such Awards under the
Securities Act, or under state or other law.

          10.15 Expenses. All expenses and costs in connection with administration of the Plan
shall be borne by the Company.

          10.16 Limitation of Liability. The liability of the Company and its
Affiliates under this Plan or in connection with any grant, issuance, or exercise of an Award is
limited to the obligations expressly set forth in the Plan and in any Award Agreements, and no term
or provision of this Plan or of any Award Agreements shall be construed to impose any further or
additional duties, obligations or costs on the Company and its Affiliates not expressly set forth
in the Plan or the Award Agreements.

     11. Amendment, Termination, and Duration.

          11.01 Amendment, Suspension, or Termination. The Committee may amend, modify, or
terminate the Plan at any time without further action on the part of the stockholders of the
Company; provided, however, that (a) in no event shall any amendment be made to the
Plan which would cause the Incentive Stock Option granted hereunder to fail to qualify as incentive
stock options under the Code; (b) any amendment to the Plan which requires the approval of the
stockholders of the Company under the Code or the regulations promulgated thereunder shall be
subject to approval by the stockholders of the Company in accordance with the Code or such
regulations; and (c) any amendment to the Plan which requires the approval of the stockholders of
the Company under any rules promulgated under the Exchange Act shall be subject to the approval of
the stockholders of the Company in accordance with such rules. In addition, as required by Rule
16b-3 of the Exchange Act, the provisions of Section 8 regarding the formula for determining the
amount, exercise price, and timing of Non-Employee Director Options shall in no event be amended
more than once every six (6) months, other than to comport with changes in the Code. No amendment,
modification, suspension, or termination of the Plan shall in any

12

 

manner adversely affect any Award previously granted to a Participant under the Plan without the
consent of the Participant or the transferee of such Award. No Award may be granted during any
period of suspension or after termination of the Plan.

          With the consent of the Participant affected, the Committee may amend outstanding Awards or
related agreements in a manner not inconsistent with the Plan. The Committee shall have the right
to amend or modify the terms and provisions of the Plan and of any outstanding Incentive Stock
Options granted under the Plan to the extent necessary to qualify any or all such Incentive Stock
Options for such favorable federal income tax treatment (including deferral of taxation upon
exercise) as may be afforded incentive stock options under Section 422 of the Code.

          11.02 Term of the Plan. The Plan shall become effective on the Effective Date,
subject to the approval of the Plan by the holders of a majority of the shares of common stock of
the Company entitled to vote on, or within twelve months of, the date of the Plan’s adoption by the
Board, and all Awards granted prior to such approval shall be subject to such approval. The Plan
shall terminate on the tenth anniversary of the Effective Date, or such earlier date as may be
determined by the Board. Termination of the Plan, however, shall not affect the rights of
Participants under Awards previously granted to them, and all unexpired Awards shall continue in
force and operation after termination of the Plan except as they may lapse or be terminated by
their own terms and conditions.

     12. Definitions. As used in this Plan, the following words and
phrases shall have the meanings indicated unless a different meaning is plainly required by the
context:

          12.01 Affiliate. “Affiliate” means any corporation or any other entity (including,
but not limited to, partnerships, limited liability corporations and joint ventures) controlling,
controlled by, or under common control with the Company.

          12.02 Award. “Award” means, individually or collectively, a grant under the Plan of
Nonqualified Stock Options, Incentive Stock Options, SARs, or Restricted Stock.

          12.03 Award Agreement. “Award Agreement” means the written agreement setting forth
the terms and provisions applicable to each Award granted under the Plan.

          12.04 Board. “Board” means the Board of Directors of the Company.

          12.05 Change in Control. “Change in Control” of the Company shall be deemed to have
occurred if, as a result of a tender offer, merger, consolidation, sale of assets or contested
election, or any combination of the foregoing transactions (a “Transaction”), the persons who were
directors of the Company immediately before the Transaction shall cease to constitute a majority of
the Board or of any successor to the Company; provided, however, that any Transaction shall not be
deemed to be a change in control if the Transaction causing such change shall have been approved by
the affirmative vote of at least a majority of the members of the Board in office immediately prior
to the change in control.

          12.06 Code. “Code” means the Internal Revenue Code of 1986, as amended. Reference to
a specific section of the Code or regulation thereunder shall include such section or regulation,
any valid regulation promulgated under such section, and any comparable provision of any future
legislation or regulation amending, supplementing or superseding such section or regulation.

          12.07 Committee. “Committee” means the committee appointed by the Board (pursuant to
Section 3.01) to administer the Plan.

          12.08 Company. “Company” means Cohesant Technologies Inc., a Delaware corporation,
and any current or future Subsidiary or Parent thereof.

13

 

          12.09 Consultant. “Consultant” means any consultant, adviser, independent contractor,
or other person who provides significant services to the Company or its Affiliates, but who is
neither an Employee nor a Director.

          12.10 Covered Officers. “Covered Officers” means those Participants who the Committee
designates, for each Performance Period, in order to maintain qualified performance-based
compensation within the meaning of Code Section 162(m).

          12.11 Director. “Director” means any individual who is a member of the Board.

          12.12 Disability. “Disability” means any injury of the body or any disorder of the
body or mind which renders the Participant unable to perform the material and substantial duties of
his regular employment by the Company at the time of the Company’s termination of employment by the
Company. The Company’s determination that a termination of employment was not a Disability related
Termination of Service may be disputed by the Participant for purposes of any Award held by the
Participant under this Plan upon written notice to the Company’s Chief Financial Officer within 30
days after termination of employment. If so disputed, the Company will promptly select a
physician, the Participant will promptly select a physician, and the physicians so selected will
select a third physician (“Independent Physician”) who will make a binding determination of
Disability for purposes of this Plan. The Participant will make himself available for and submit to
examinations by such physicians as may be directed by the Company. Failure of the Participant to
submit to any examination or failure of the Independent Physician to make his determination within
90 days after the date of the notice that the Participant disputed the Company’s determination
shall constitute acceptance of the Company’s determination as to Disability. If the decision of
the Independent Physician upholds the Company’s determination, any outstanding Award held by the
Participant shall be exercisable for 30 days from the date of such decision (but not later than the
expiration of the date of the Award Agreement) to the extent that the Award was exercisable on the
date of the Participant’s termination of employment and thereafter the Award shall terminate.

          12.13 Employee. “Employee” means any officer, manager or employee of the Company or
of an Affiliate, whether such employee is so employed at the time the Plan is adopted or becomes so
employed subsequent to the adoption of the Plan.

          12.14 Exchange Act. “Exchange Act” means the Securities Exchange Act of 1934, as
amended. Reference to a specific section of the Exchange Act or regulation thereunder shall
include such section or regulation, any valid regulation promulgated under such section, and any
comparable provision of any future legislation or regulation amending, supplementing or superseding
such section or regulation.

          12.15 Exercise Price. “Exercise Price” means the price at which a Share may be
purchased by a Participant pursuant to the exercise of an Option.

          12.16 Extraordinary Events. “Extraordinary Events” shall mean (a) asset write-downs;
(b) litigation, claims, judgments, or settlements; (c) the effect of changes in tax law, accounting
principles or other such laws or provisions affecting reported results; (d) accruals for
reorganization and restructuring programs; (e) capital gains and losses, (f) special charges in
connection with mergers and acquisitions; and (g) any extraordinary non-recurring items as
described in Accounting Principles Board Opinion No. 30 and/or in management’s discussion and
analysis of financial condition and results of operation appearing or incorporated by reference in
the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission for the
applicable year.

          12.17 Fair Market Value. If the Shares are publicly traded, the term “Fair Market
Value” shall mean (a) the closing price quoted in the Nasdaq Stock Market, if the Shares are so
quoted,

14

 

(b) the last quote reported by Nasdaq for small-cap issues, if the Shares are so quoted, (c) the
mean between the bid and asked prices as reported by Nasdaq, if the Shares are so quoted, or (d) if
the Shares are listed on a securities exchange, the closing price at which the Shares are quoted on
such exchange, in each case at the close of the date immediately before the Award is granted or, if
there be no quotation or sale on that date, the next previous date on which the Shares were quoted
or traded. In all other cases, Fair Market Value of the Shares shall be determined by and in
accordance with procedures established in good faith by the Committee and, with respect to
Incentive Stock Options, conforming to regulations issued by the Internal Revenue Service regarding
incentive stock options.

          12.18 Fiscal Year. “Fiscal Year” means the fiscal year of the Company.

          12.19 Grant Date. “Grant Date” means, with respect to an Award, the date that the
Committee acts to grant the Award or such later date as the Committee shall specify.

          12.20 Incentive Stock Option. “Incentive Stock Option” means an Option to purchase
Shares which is designated as an Incentive Stock Option and is intended to meet the requirements of
Section 422 of the Code.

          12.21 Non-Employee Director. “Non-Employee Director” means a Director who is not an
Employee of the Company.

          12.22 Nonqualified Stock Option. “Nonqualified Stock Option” means an option to
purchase Shares which does not meet the requirements of Section 422 of the Code.

          12.23 Option. “Option” means an Incentive Stock Option or a Nonqualified Stock
Option.

          12.24 Participant. “Participant” means an Employee, Consultant, or Non-Employee
Director who has an outstanding Award.

          12.25 Parent. “Parent” shall have the meaning set forth in Section 424(e) of the
Code.

          12.26 Performance Goal. “Performance Goal” shall mean any one or more of the
following performance criteria:

               (a) Income (loss) per common share from continuing operations as disclosed in the Company’s
annual financial statements;

               (b) Percentage increase in sales or gross margins, percentage decreases in expenses, or
achievement of pre-determined goals or target levels, all as established by the Committee, in its
discretion, prior to the beginning of the vesting period.

               (c) Income (loss) per common share or income (loss) per common share from continuing
operations, excluding (i) extraordinary charge(s); (ii) any accruals for restructuring programs,
merger integration costs, or merger transaction costs; and/or (iii) other unusual or infrequent
items (whether gains or losses) as defined by generally accepted accounting principles (GAAP) which
are disclosed as a separate component of income or loss on the face of the income statement or as
may be disclosed in the notes to the financial statements (hereinafter “EPS”);

               (d) Ratio of (i) operating profit, or other objective and specific income (loss) category
results to (ii) average common shares outstanding (adjustments to (i) in this paragraph may be made
at the time of the goal/target establishment by the Committee in its discretion);

15

 

               (e) Share price;

               (f) Total stockholder return expressed on a dollar or percentage basis as is customarily
disclosed in the proxy statement accompanying the notice of annual meetings of stockholders;

               (g) Income (loss) (i) from continuing operations before extraordinary charge(s), (ii) before
extraordinary charge(s), or (iii) net, as the case may be, adjusted to remove the effect of any
accruals for restructuring programs or other unusual or infrequent items as defined by generally
accepted accounting principles (GAAP) disclosed as a separate component of income on the face of
the income statement or in the notes to the financial statements;

               (h) Net income;

               (i) Any of items (a) through (h) above with respect to any Parent, Subsidiary, Affiliate,
division, business unit or business group of the Company whether or not such information is
included in the Company’s consolidated financial statements; or

               (j) Any other objective criteria established by the Committee prior to payment of any Award
based on the criteria.

          With respect to items (a), (b), (c) and (d) above, other terminology may be used for “income
(loss) per common share” (such as “Basic EPS,” “earnings per common share,” “diluted EPS,” or
“earnings per common share-assuming dilution”) as contemplated by Statement of Financial Accounting
Standards No. 128.

          12.27 Performance Period. “Performance Period” means the Fiscal Year except in the
following cases: (a) the Employee’s service period within a Fiscal Year in the case of a new hire
or promoted Employee; or (b) a period of service determined at the discretion of the Committee
prior to the expiration of more than 25% of the period. Notwithstanding any provision contained
herein, Performance Periods of Awards granted to Section 16 Persons shall exceed six (6) months in
length (or such shorter period as may be permissible while maintaining compliance with Rule 16b-3).

          12.28 Period of Restriction. “Period of Restriction” means the period during which
shares of Restricted Stock are subject to forfeiture and/or restrictions on transferability.

          12.29 Plan. “Plan” means the Cohesant Technologies Inc. Long-Term Incentive Plan, as
set forth in this instrument and as hereafter amended from time to time.

          12.30 Restricted Stock. “Restricted Stock” means an Award granted to a Participant
pursuant to Section 7.

          12.31 Retirement. “Retirement” means, in the case of an Employee, a Termination of
Service by a Participant who has attained the age of at least 59 1/2, who has been continuously
employed by the Company for at least five years, and who has entered into a written confidentiality
and non-competition agreement with the Company (“Retirement Agreement”) in a form acceptable to the
Committee at the time of such termination of employment. With respect to a Consultant, no
Termination of Service shall be deemed to be on account of “Retirement.” With respect to a
Non-Employee Director, “Retirement” means termination of service on the Committee with the consent
of the remaining Directors.

          12.32 Rule 16b-3. “Rule 16b-3” means Rule 16b-3 promulgated under the Exchange Act,
as amended, and any future regulation amending, supplementing or superseding such regulation.

16

 

          12.33 Section 16 Person. “Section 16 Person” means a person who, with respect to the
Shares, is subject to Section 16 of the Exchange Act.

          12.34 Securities Act. “Securities Act” means the Securities Act of 1933, as amended.
Reference to a specific section of the Securities Act or regulation thereunder shall include such
section or regulation, any valid regulation promulgated under such section, and any comparable
provision of any future legislation or regulation amending, supplementing or superseding such
section or regulation.

          12.35 Shares. “Shares” means the shares of the Company’s common stock, $.001 par
value.

          12.36 Stock Appreciation Right or SAR. “Stock Appreciation Right” or “SAR” means a
stand-alone Award, granted independently of any Option, that pursuant to Section 6 is designated as
an SAR.

          12.37 Subsidiary. “Subsidiary” means any entity in an unbroken chain of entities
beginning with the Company if each of the entities other than the last entity in the chain then
owns fifty percent (50%) or more of the total combined voting power in one of the other entities in
the chain.

          12.38 Termination of Service. “Termination of Service” means (a) in the case of an
Employee, a cessation of the employee-employer relationship between an Employee and the Company or
an Affiliate for any reason, including, but not by way of limitation, a termination by resignation,
discharge, death, Disability, Retirement, or the disaffiliation of an Affiliate, but excluding any
such termination where there is a simultaneous re-employment by the Company or an Affiliate; (b) in
the case of a Consultant, a cessation of the service relationship between a Consultant and the
Company or an Affiliate for any reason, including, but not by way of limitation, a termination by
resignation, discharge, death, Disability, or the disaffiliation of an Affiliate, but excluding any
such termination where there is a simultaneous re-engagement of the Consultant by the Company or an
Affiliate; and (c) in the case of a Non-Employee Director, a cessation of the Non-Employee
Director’s service on the Board for any reason. For purposes of the Plan, transfer of employment
of a Participant between the Company and any one of its Affiliates (or between Affiliates) shall
not be deemed a Termination of Service.

          12.39 Termination of Service For Cause. “Termination of Service For Cause” means
Termination of Service for (a) the commission of an act of dishonesty, including but not limited to
misappropriation of funds or property of the Company; (b) the engagement in activities or conduct
injurious to the reputation of the Company; (c) the conviction or entry of a guilty or no contest
plea to (i) a misdemeanor involving an act of moral turpitude or (ii) a felony; (d) the violation
of any of the terms and conditions of any written agreement the Participant may have from time to
time with the Company (following 30 days’ written notice from the Company specifying the violation
and the Participant’s failure to cure such violation within such 30-day period); or (e) any refusal
to comply with the written directives, policies or regulations established from time to time by the
Company.

     13. Legal Construction.

          13.01 Gender and Number. Except where otherwise indicated by the context, any
masculine term used herein also shall include the feminine; the plural shall include the singular
and the singular shall include the plural.

          13.02 Severability. In the event 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.

17

 

          13.03 Requirements of Law. The granting of Awards and the issuance of Shares under
the Plan shall be subject to all applicable laws, rules, and regulations, and to such approvals by
any governmental agencies, the Nasdaq National Market, or national securities exchanges as may be
required.

          13.04 Compliance with Rule 16b-3. Transactions under this Plan with respect to
Section 16 Persons are intended to comply with all applicable conditions of Rule 16b-3 of the
Exchange Act. To the extent any provision of the Plan, Award Agreement or action by the Committee
fails to so comply, it shall be deemed null and void, to the extent permitted by law and deemed
advisable by the Committee. Notwithstanding any contrary provision of the Plan, if the Committee
specifically determines that compliance with Rule 16b-3 of the Exchange Act no longer is required,
all references in the Plan to Rule 16b-3 of the Exchange Act shall be null and void.

          13.05 Governing Law. The Plan and all Award Agreements shall be construed in
accordance with and governed by the laws of the State of Delaware.

          13.06 Captions. Captions are provided herein for convenience only, and shall not
serve as a basis for interpretation or construction of the Plan.

Adopted: March 17, 2005

18

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