Document:

HEAD AGREEMENT

Dated March 23, 2007

Between,

		
	A)  	Cardiff Marine Inc., of Monrovia, Liberia hereby called the ‘‘Initial Buyers’’

		
	B)  	CN Nina Inc. whose principal office is in Nassau, Bahamas (with the benefit of the equity subscription commitment referred to at the foot of this Agreement) or its fully guaranteed subsidiaries as its nominees hereby called the ‘‘Intermediate Buyers’’

		
	C)  	OceanFreight Inc. of Majuro, MI or its fully guaranteed subsidiaries as its nominees hereby called the ‘‘Ultimate Buyers’’

With regards to the vessels,

		
	1)  	MV Capitano Giovanni, 75,229 DWT, BUILT 1995, FINCANTIERI

		
	2)  	MV Rafaelle Iuliano, 75,229 DWT BUILT 1995 FINCANTIERI hereby called either ‘‘the Vessel’’ or collectively ‘‘the Vessels’’

Whereby, the ‘‘Initial Buyers’’ have entered into an MOA dated 21st March, 2007 with Deiulemar Shipping SpA (‘‘Deiulemar’’) and an MOA dated 21st March, 2007 with Deiulemar hereby called either ‘‘the Seller’’ or collectively ‘‘the Sellers’’ for the purchase of the ‘‘Vessels’’, included in Appendix I of this Agreement and hereby referred to as the ‘‘MOAs’’ at a price of USD 41,000,000 per Vessel.

Whereby, the Initial Buyers are in the process of finalizing a Time Charter with respect to each Vessel with the Sellers as charterers, draft copies of which Time Charters have been provided to the Intermediate Buyers, included in Appendix II of this Agreement and hereby called either a ‘‘Charter’’ or collectively the ‘‘Charters,’’ which Charters are intended to be in substantially the form attached hereto (when the same are ultimately signed and delivered), and which shall, in any event, provide for charter hire of USD 26,000 per day during a charter period of 34-38 months, which charter periods shall commence for each Vessel at the time of delivery of such Vessel to the Initial Buyers or their nominees under such Vessel’s respective MOA.

Whereby, the Ultimate Buyers are in the process of negotiating an initial public offering of their shares (the ‘‘IPO’’), the proceeds of which, among other things, are intended to be used to pay the purchase price for the Vessels.

Whereby, there is no assurance that the Ultimate Buyers will be able to consummate the IPO.

Signature Page to Columbus Nova Head Agreement

Whereby, under the MOAs, it is a condition that the Initial Buyers provide Board of Directors approval and remove any financing contingency on or before March 23, 2007 and pay to the Sellers under the MOAs a deposit in the amount of 10% of the purchase price of the Vessels under the MOAs on or before March 28, 2007, failing which the Sellers may deem themselves released from the MOAs.

Whereby, in order to ensure that the MOAs are performed, the Initial Buyers and the Ultimate Buyers have given an option to the Intermediate Buyers to assume the Initial Buyers’ rights and obligations under the MOAs and the Charters and to grant to the Ultimate Buyers an option to assume the Intermediate Buyers’ rights and obligations under the MOAs and the Charters or to purchase the Vessels, all on the terms and conditions thereof.

Whereby, in order to induce the Intermediate Buyers to enter into this Head Agreement and to assume the Initial Buyers’ rights and obligations under the MOAs and the Charters, among other things, the Ultimate Buyers wish to grant to the Intermediate Buyers the right to require the Ultimate Buyers to assume all of the Intermediate Buyers’ rights and obligations under the MOAs and the Charters or, if the Intermediate Buyers shall have become the owners of the Vessels, purchase the Vessels from the Intermediate Buyers on the terms and conditions hereof.

In the premises the parties have agreed as follows:

		
	1) 	The Initial Buyers shall nominate the Intermediate Buyers as the performing parties under the MOAs and the Charters and provide the Sellers with such reasonable guarantee as requested by the Sellers.

		
	2) 	The Intermediate Buyers accept to be nominated as the performing parties under the MOAs and the Charters and agree to hold the Initial Buyers (and their affiliates, shareholders, subsidiaries, officers, directors, employees and representatives) fully harmless and otherwise fully indemnified against any liability whatsoever under the MOAs and the Charters arising by reason of any act or omission by the Intermediate Buyers on or after the date they are accepted by the Sellers as the performing parties of the Initial Buyers’ rights and obligations under the MOAs and the Charters and any reasonable guarantee they have to provide to the Sellers for such nomination. The parties hereto acknowledge that the only obligations which the Intermediate Buyers shall have in relation to the matters contemplated herein are those obligations which the Intermediate Buyers expressly agree to assume (whether hereunder, under the MOAs, the Charters or otherwise) and that, to the extent that any party or third party alleges that the Intermediate Buyers have any additional obligations in relation to the matters contemplated herein, the Initial Buyers or the Ultimate Buyers (as appropriate) shall be responsible for resolving the same and for indemnifying the Intermediate Buyers (and their affiliates, shareholders, subsidiaries, officers, directors, employees and representatives) against any liability in connection therewith.

		
	3) 	The Intermediate Buyers grant an option (the ‘‘Call Option’’) to the Ultimate Buyers to assume the Intermediate Buyers’ rights and obligations under the MOAs and the Charters for a price per Vessel of USD 5,400,000 (that is 10% deposit plus USD 1,300,000 per Vessel) or, if the Intermediate Buyers shall have become the owners of the Vessels, to purchase the Vessels from them for a price of USD 42,300,000 million per Vessel.

		
	4) 	The Ultimate Buyers will have to declare the Call Option no later than April 27, 2007 in writing.

		
	5) 	The Ultimate Buyers hereby agree that, provided that the IPO, or any similar transaction, whether in the capital markets or otherwise, shall have been completed and the Ultimate Buyers shall have received net proceeds from any such transaction in an amount of at least $75,000,000, upon notice received from the Intermediate Buyers on or before December 31, 2007, the Ultimate Buyers shall (subject to obtaining any required consent by the Sellers under the MOAs, which the Ultimate Buyers will use their best efforts to obtain) assume the Intermediate Buyers’ rights and obligations under the MOAs and the Charters for a price per Vessel of USD 5,400,000 or, if the Intermediate Buyers shall have become the owners of the Vessels (including, without limitation, as a result of the failure to obtain the consent of the Sellers to the above referred assumption of the Intermediate Buyers’ rights and obligations under the MOAs), purchase the Vessels from the Intermediate Buyers (or, if the Sellers have failed to provide any required consent to such purchase under the Charters, purchase the capital stock of the vessel owning companies included within the Intermediate Buyers) for a price of 

		
	 	
USD 42,300,000 per Vessel (such right of the Intermediate Buyers to cause the Ultimate Buyers to assume the Intermediate Buyers’ rights and obligations under the MOAs and the Charters or purchase the Vessels or the capital stock of the vessel owning companies included within the Intermediate Buyers, the ‘‘Put Option’’).

		
	6) 	If the Call Option is exercised by the Ultimate Buyers, or the Put Option is exercised by the Intermediate Buyers, then the Ultimate Buyers and the Intermediate Buyers undertake to enter into such transfer documentation as shall be necessary to give effect thereto, it being understood that if the Intermediate Buyers shall have become the owners of the Vessels, the Intermediate Buyers shall be required to deliver the Vessels in the same condition as they were in at the time the Intermediate Buyers took delivery thereof (ordinary wear and tear excepted). Such transfer documentation shall be in customary form and, in any event, agreed within 5 business days from exercise of the respective option, it being understood that the parties shall use commercially reasonable efforts to agree upon the form of documentation in such time frame, failing which either the Intermediate Buyers or the Ultimate Buyers shall have the option to submit any dispute to the LMAA as provided in clause 11) below. In the event the Call Option or the Put Option is exercised, in addition to their indemnity obligation pursuant to clause 2) above, the Ultimate Buyers agree to be responsible for the Vessels (including, without limitation, the condition and operation thereof) once they take delivery thereof. The parties agree that any transfer of the Vessels pursuant to this clause 6) shall take place as soon as reasonably practicable following agreement on the form of transfer documentation; provided that the Intermediate Buyers shall have a reasonable time, not to exceed 45 days in respect of either Vessel, to place the Vessels in the condition they were in at the time the Intermediate Buyers took delivery thereof (ordinary wear and tear excepted); provided that if either Vessel is out of service for repair at the time of the exercise of the Call Option or the Put Option the Intermediate Buyers shall have an additional reasonable time to place such Vessel in such condition so long as such Vessel is out of service.

		
	7) 	Subject to and in accordance with the terms hereof, the Intermediate Buyers shall remain responsible for the fulfillment of each MOA towards the Sellers unless and until the Ultimate Buyers assume the Intermediate Buyer’s rights and obligations thereunder in accordance with the preceding clause 6).

		
	8) 	If Call Option is exercised, the Initial Buyers shall receive a consideration of $200,000 per Vessel for their contribution and exposure in this sale and purchase transaction from the Ultimate Buyers, payable in cash within 3 banking days from the date the relevant invoice is issued. For the avoidance of doubt, the Intermediate Buyers shall have no liability or responsibility with respect to any payment under this clause 8).

		
	9) 	The Ultimate Buyers shall use their best efforts to complete the IPO in a timely manner in accordance with the transaction described in the Form F-1 Registration Statement submitted to the U.S. Securities and Exchange Commission on February 26, 2007 (the ‘‘Registration Statement’’), as it may be revised or updated.

		
	10) 	The Initial Buyers and the Ultimate Buyers hereby represent and warrant that (i) attached hereto as Appendices I and II are true, correct and complete copies of the MOAs and the Time Charters, respectively; (ii) the MOAs are in full force and effect while the Charters are in draft form and in the process of being finalized; and (iii) the Initial Buyers are in full compliance with all of their obligations under the MOAs.

		
	11) 	This agreement shall be governed by English law and all disputes, if any, shall be exclusively referred to London Maritime Arbitrators Association (LMAA) Arbitration.

		
	12) 	All notices pursuant to this agreement to be sent to:

For the Initial Buyers:

 Athens Shipping Office

 Omega Gldg, 80 Kifisias Avenue, GR-151 25

 Marousi, Athens, Greece

 Attn: Mr. Y. Papathanasiou

Tel.: +30 210 8090200

 Fax: +30 210 8090205

 email: accounts@cardiff.gr

For the Intermediate Buyers

CN Nina Inc.

 c/o Helvetic Management Services

 2nd Terrace West, Centerville

 P.O. Box N-10567

 Nassau, Bahamas

Attention: Marco Montanari

 P: 242-326-2150

 F: 242-326-2151

 helvetic@coralwave.com

For the Ultimate Buyers:

Athens Shipping Office

 Omega Gldg, 80 Kifisias Avenue, GR-151 25

 Marousi, Athens, Greece

 Attn: Mr. N. Famelis

Tel.: +30 210 8090550

 Fax: +30 210 8090555

 email: snp@drybulk.gr

For the Initial Buyers

 Cardiff Marine Inc.

/s/ Ioannis Papathanasiou

 By: Ioannis Papathanasiou

 Title: Representative of Shipping Office in Greece

For the Intermediate Buyers

 CN Nina Inc.

				
	/s/ Andrew Intrater
	By:			Andrew Intrater
	Title:			Authorized signatory of Columbus Nova

 Investments IV Ltd., the sole shareholder of

 CN Nina Inc.
	

Signature Page to Columbus Nova Head Agreement

For the Ultimate Buyers

 Ocean Freight Inc.

/s/ Nikos Famelis

 By: Nikos Famelis

 Title: Representative Shipping Office in Greece

The undersigned, Columbus Nova Investments IV Ltd., a Bahamian company, confirms to the Initial Buyers and the Ultimate Buyers referenced above that it has irrevocably committed to subscribe for equity in CN Nina Inc., the Intermediate Buyers under the Head Agreement referred to above, in an amount of approximately $36,000,000 to be drawn down as necessary to fund the obligations of the Intermediate Buyers under the Head Agreement set forth above, subject to the provisions of the Head Agreement (including clause 11) with respect to governing law and arbitration) and the MOAs referred to therein.

COLUMBUS NOVA INVESTMENTS IV LTD.

		
	By: 	/s/ Andrew Intrater

 Name: Andrew Intrater

 Title: Authorized signatory

		
	Dated:  	March 23, 2007

Signature Page to Columbus Nova Head Agreement

  
	 
			
				
				  MEMORANDUM OF
				  AGREEMENT
				

			 	
				
				   
				

			 	

				
				  Norwegian Shipbrokers' Association’s
				  Memo­randum of Agreement for sale and purchase of ships. Adopted by The
				  Baltic and International Maritime Council (BIMCO) in 1956. 
				

				
				  Code-name
				

			 
	
				
				  Dated:
				

			 	
				
				   
				

			 	

				
				  SALEFORM 1993
				

				
				  Revised 1966, 1983 and 1986/87.
				

			 

 

	 
		Messrs. Deiulemar Shipping S.P.A. a socio unico, Torre del
		Greco, Italy
	 

	 
		hereinafter called the Sellers,
		have agreed to sell, and
	 

	 
		Messrs. ColumbusNova or their guaranteed nominee
	 

	 
		 
	 

	 
		hereinafter called the Buyers,
		have agreed to buy 
	 

	 
		 
	 

	 
		Name: M/V “CAPITANO GIOVANNI” 
	 

	 
		 
	 

	 
		Classification Society/Class:
		RINA *100-A-1.1
	 

	 
		 
	 

	 
			
				
				  Built: June
				  1995
				

			 	
				
				  By: Fincantieri C.N.I. S.p.A. Castellamare di Stabia,
				  Italy
				

			 
	
				
				  Flag: Italy
				

			 	
				
				  Place of
				  Registration: Torre del Greco
				

			 
	
				
				  Call
				  Sign: IBKC
				

			 	
				
				  Grt/Nrt:
				  39.385 / 24.519
				

			 

 

	 
		Register
		IMO Number:
		9083524
	 

	 
		hereinafter called the Vessel,
		on the following terms and conditions:
	 

	 
		Definitions
	 

	 
		“Banking days” are
		days on which banks are open both in the country of the currency stipulated for
		the Purchase Price in Clause 1 and in the place of closing stipulated in Clause
		8.
	 

	 
		“In writing” or
		“written” means a letter handed over from the Sellers to the Buyers
		or vice versa, a registered letter, telex, telefax or other modern form of
		written communication.
	 

	 
		“Classification
		Society” or “Class” means the Society referred to in line
		4.
	 

	 
			
				
				  1.
				

			 	
				
				  Purchase
				  Price US$ 41,000,000.- (United
				  States Dollars Forty One Million)
				

			 

 

	 
			
				
				  2.
				

			 	
				
				  Deposit
				

			 

 

	 
		As security for the correct
		fulfilment of this Agreement the Buyers shall pay a deposit of 10% (ten per
		cent) of the Purchase Price
		within            3 (Three)
		            banking
		days from the date  of
		this Agreement
		of lifting the subjects as per Clause
		18. This deposit shall be placed with
		Sellers nominated bank

	 

	 
		and held by them in a joint
		account for the Sellers and the Buyers, to be released in accordance with
		joint written instructions of the Sellers and the Buyers.
		Interest, if any, to be credited to the Buyers. Any fee charged for holding the
		said deposit shall be borne equally by the Sellers and the Buyers.
	 

	 
			
				
				  3.
				

			 	
				
				  Payment
				

			 

 

	 
		The said Purchase Price shall
		be paid in full free of bank charges to
		Sellers nominated bank

	 

	 
		on delivery of the Vessel, but
		not later than 3 banking days after the Vessel is in every respect physically
		ready for delivery in accordance with the terms and conditions of this
		Agreement and Notice of Readiness has been given in accordance with Clause
		5.
	 

	 
			
				
				  4.
				

			 	
				
				  Inspections
				

			 

 
 
	 
			
				
				  a)*
				

			 	
				
				  The Buyers have
				  inspected and accepted the Vessel’s classification records. The Buyers
				  have also inspected the Vessel at
				  /in
				  Los Angeles           on about
				  15/20th February 2007
				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		and have accepted the Vessel
		following this inspection and the sale is outright and definite, subject only
		to the terms and conditions of this Agreement.
	 

	 
			
				
				  b)* 
				

			 	
				
				  The Buyers
				  shall have the right to inspect the Vessel’s classification records and
				  declare whether same are accepted or not within
				

			 

 

	 
		The Sellers shall
		provide for inspection of the Vessel at/in
	 

	 
		The
		Buyers shall undertake the inspection without undue delay to the
		Vessel. Should the Buyers cause undue delay they shall compensate the Sellers
		for the losses thereby incurred. The Buyers shall inspect the Vessel without
		opening up and without cost to the Sellers . During the inspection, the
		Vessel’s dock and engine log books shall be made available for examination
		by the Buyers. If the Vessel is accepted after such inspection, the sale shall
		become outright and definite, subject only to the terms and conditions of this
		Agreement, provided the Sellers receive written notice of acceptance from the
		Buyers within 72 hours after completion of such inspection.
	 

	 
		Should notice of
		acceptance of the Vessel’s classification records and of the Vessel not be
		received by the Sellers as aforesaid, the deposit together with interest earned
		shall be released immediately to the Buyers, whereafter this Agreement shall be
		null and void.
	 

	 
			
				
				  *
				

			 	
				
				  4 a) and 4b) are
				  alternatives; delete whichever is not applicable. In the absence of deletions,
				  alternative 4a) to apply.
				

			 

 

	 
			
				
				  5.
				

			 	
				
				  Notices, time and
				  place of delivery
				

			 

 

	 
			
				
				  a)
				

			 	
				
				  The Sellers shall keep
				  the Buyers well informed of the Vessel’s itinerary and shall provide the
				  Buyers with 20, 10,
				  5, and 3, 1 days
				  approximate notice of the estimated time of arrival at
				  the
 intended place of drydocking/ underwater
				  inspection/delivery. When the Vessel is at the place of delivery and in every
				  respect physically ready for delivery in accordance with this Agreement, the
				  Sellers shall give the Buyers a written Notice of Readiness for
				  delivery.
				

			 

 

	 
			
				
				  b)
				

			 	
				
				  The Vessel shall be
				  delivered and taken over safely afloat at a safe and accessible berth or
				  safe anchorage, safe port at /in Worldwide range
				

			 

 

	 
		in the Sellers’
		option.
	 

	 
		Expected time of delivery:
		Between 1st May 2007 and 30th June
		2007 in Sellers’ option
	 

	 
		Date of cancelling (see Clauses
		5 c), 6 b) (iii) and 14): 30th June
		2007 in Buyers’ option
	 

	 
			
				
				  c)
				

			 	
				
				  If the Sellers
				  anticipate that, notwithstanding the exercise of due diligence by them, the
				  Vessel will not be ready for delivery by the cancelling date they may notify
				  the Buyers in writing stating the date when they anticipate that the Vessel
				  will be ready for delivery and propose a new cancelling date. Upon receipt of
				  such notification the Buyers shall have the option of either cancelling this
				  Agreement in accordance with Clause 14 within 7 running days of receipt of the
				  notice or of accepting the new date as the new cancelling date. If the Buyers
				  have not declared their option within 7 running days of receipt of the
				  Sellers’ notification or if the Buyers accept the new date, the date
				  proposed in the Sellers’ notification shall be deemed to be the new
				  cancelling date and shall be substituted for the cancelling date stipulated in
				  line 61.
				

			 

 

	 
		If this Agreement is maintained
		with the new cancelling date all other terms and conditions hereof including
		those contained in Clauses 5 a) and 5 c) shall remain unaltered and in full
		force and effect. Cancellation or failure to cancel shall be entirely without
		prejudice to any claim for damages the Buyers may have under Clause 14 for the
		Vessel not being ready by the original cancelling date.
	 

	 
			
				
				  d)
				

			 	
				
				  Should the Vessel
				  become an actual, constructive or compromised total loss before delivery the
				  deposit together with interest earned shall be released immediately to the
				  Buyers whereafter this Agreement shall be null and void.
				

			 

 

	 
			
				
				  6.
				

			 	
				
				  Drydocking/Divers
				  Inspection
				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
			
				
				  a)**
				

			 	
				
				  The
				  Sellers shall place the Vessel in drydock at the port of delivery for
				  inspection by the Classification Society of the Vessel’s underwater parts
				  below the deepost load line, the extent of the inspection being in accordance
				  with the Classification Society’s rules. If the rudder, propeller, bottom
				  or other underwater parts below the deepest load line are found broken, damaged
				  or defective so as to affect the Vessel’s class, such defects shall be
				  made good at the Sellers’ expense to the satisfaction of the
				  Classification Society without
				  condition/recommendation*.
				

			 

 

	 
			
				
				  b)**
				

			 	
				
				  (i) The Vessel is to be
				  delivered without drydocking. However, the Buyers shall have the right at their
				  expense to arrange for an underwater inspection by a diver approved by the
				  Classification Society prior to the delivery of the Vessel. The Sellers shall
				  at their cost make the Vessel available for such inspection. The extent of the
				  inspection and the conditions under which it is performed shall be to the
				  satisfaction of the Classification Society. If the conditions at the port of
				  delivery are unsuitable for such inspection, the Sellers shall make the Vessel
				  available at a suitable alternative place near to the delivery port.
				

			 

 

	 
		(ii) If the rudder, propeller,
		bottom or other underwater parts below the deepest load line are found broken,
		damaged or defective so as to affect the Vessel’s class, then unless
		repairs can be carried out afloat to the satisfaction of the Classification
		Society, the Sellers shall arrange for the Vessel to be drydocked at their
		expense for inspection by the Classification Society of the Vessel’s
		underwater parts below the deepest load line, the extent of the inspection
		being in accordance with the Classification Society’s rules. If the
		rudder, propeller, bottom or other underwater parts below the deepest load line
		are found broken, damaged or defective so as to affect the Vessel’s class,
		such defects shall be made good by the Sellers at their expense to the
		satisfaction of the Classification Society without condition/recommendation*.
		In such event the Sellers are to pay also for the cost of the underwater
		inspection and the Classification Society’s attendance.
	 

	 
		(iii) If the Vessel is to be
		drydocked pursuant to Clause 6 b) (ii) and no suitable drydocking facilities
		are available at the port of delivery, the Sellers shall take the Vessel to a
		port where suitable drydocking facilities are available, whether within or
		outside the delivery range as per Clause 5 b). Once drydocking has taken place
		the Sellers shall deliver the Vessel at a port within the delivery range as per
		Clause 5 b) which shall, for the purpose of this Clause, become the new port of
		delivery. In such event the canceling date provided for in Clause 5 b) shall be
		extended by the additional time required for the drydocking and extra steaming,
		but limited to a maximum of 14 running days.
	 

	 
			
				
				  c)
				

			 	
				
				  If the Vessel is
				  drydocked pursuant to Clause 6 a) or 6 b) above
				

			 

 

	 
		(i) the Classification Society
		may require survey of the tailshaft system, the extent of the survey being to
		the satisfaction of the Classification surveyor. If such survey is not required
		by the Classification Society, the Buyers shall have the right to require the
		tailshaft to be drawn and surveyed by the Classification Society, the extent of
		the survey being in accordance with the Classification Society’s rules for
		tailshaft survey and consistent with the current stage of the Vessel’s
		survey cycle. The Buyers shall declare whether they require the tailshaft to be
		drawn and surveyed not later than by the completion of the inspection by the
		Classification Society. The drawing and refitting of the tailshaft shall be
		arranged by the Sellers. Should any parts of the tailshaft system be condemned
		or found defective so as to affect the Vessel’s class, those parts shall
		be renewed or made good at the Sellers’ expense to the satisfaction of the
		Classification Society without condition/recommendation*.
	 

	 
		(ii) the expenses relating to
		the survey of the tailshaft system shall be borne by the Buyers unless the
		Classification Society requires such survey to be carried out, in which case
		the Sellers shall pay these expenses. The Sellers shall also pay the expenses
		if the Buyers require the survey and parts of the system are condemned or found
		defective or broken so as to affect the Vessel’s class*.
	 

	 
		(iii) the expenses in
		connection with putting the Vessel in and taking her out of drydock, including
		the drydock dues and the Classification Society’s fees shall be paid by
		the Sellers if the Classification Society issues any condition/recommendation*
		as a result of the survey or if it requires survey of the tailshaft system. In
		all other cases the Buyers shall pay the aforesaid expenses, dues and
		fees.
	 

	 
		(iv) the Buyers’
		representative shall have the right to be present in the drydock, but without
		interfering with the work or decisions of the Classification surveyor.
	 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		(v) the Buyers shall have the
		right to have the underwater parts of the Vessel cleaned and painted at their
		risk and expense without interfering with the Sellers’ or the
		Classification surveyor’s work, if any, and without affecting the
		Vessel’s timely delivery. If, however, the Buyers’ work in drydock is
		still in progress when the Sellers have completed the work which the Sellers
		are required to do, the additional docking time needed to complete the
		Buyers’ work shall be for the Buyers’ risk and expense. In the event
		that the Buyers’ work requires such additional time, the Sellers may upon
		completion of the Sellers’ work tender Notice of Readiness for delivery
		whilst the Vessel is still in drydock and the Buyers shall be obliged to take
		delivery in accordance with Clause 3, whether the Vessel is in drydock or not
		and irrespective of Clause 5 b).
	 

	 
			
				
				  *
				

			 	
				
				  Notes, if any, in the
				  surveyor’s report which are accepted by the Classification Society without
				  condition/recommendation are not to be taken into account.
				

			 

 

	 
			
				
				  **
				

			 	
				
				  6 a) and 6 b) are alternatives;
				  delete whichever is not applicable. In the absence of deletions, alternative 6
				  a) to apply.
				

			 

 

	 
			
				
				  7.
				

			 	
				
				  Spares/bunkers, etc.
				

			 

 

	 
		The Sellers shall deliver the
		Vessel to the Buyers with everything belonging to her on board and on shore.
		All spare parts and spare equipment including spare tail-end shaft(s) and/or
		spare propeller(s)/propeller blade(s), if any, belonging to the Vessel at the
		time of inspection used or unused, whether on board or not shall become the
		Buyers’ property, but spares on order are to be excluded. Forwarding
		charges, if any, shall be for the Buyers’ account. The Sellers are not
		required to replace spare parts including spare tail-end shaft(s) and spare
		propeller(s)/propeller blade(s) which are taken out of spare and used as
		replacement prior to delivery, but the replaced items shall be the property of
		the Buyers. The radio installation and navigational equipment shall be included
		in the sale without extra payment if they are the property of the Sellers.
		Unused stores and provisions shall be included in the sale and be taken over by
		the Buyers without extra payment.
	 

	 
		The Sellers have the right to
		take ashore crockery, plates, cutlery, linen and other articles bearing the
		Sellers’ flag or name, provided they replace same with similar unmarked
		items. Library, forms, etc., exclusively for use in the Sellers’
		vessel(s), shall be excluded without compensation. Captain’s,
		Officers’ and Crew’s personal belongings including the slop chest are
		to be excluded from the sale, as well as the following additional items
		(including items on hire):
	 

	 
		The Buyers shall take over the
		remaining bunkers and unused lubricating oils in storage tanks and sealed drums
		and pay the current net market price (excluding barging expenses) at the port
		and date of delivery of the Vessel.
	 

	 
		Payment under this Clause shall
		be made at the same time and place and in the same currency as the Purchase
		Price.
	 

	 
			
				
				  8.
				

			 	
				
				  Documentation
				

			 

 

	 
		The place of closing:
		Sellers’ bank
	 

	 
		In exchange for payment of the
		Purchase Price the Sellers shall furnish the Buyers with delivery documents,
		namely:
	 

	 
			
				
				  a)
				

			 	
				
				  Legal Bill of Sale in a
				  form recordable in appropriate Consulate (the
				  country in which the Buyers are 
 to register the Vessel), warranting that
				  the Vessel is free from all encumbrances, mortgages and maritime liens or any
				  other debts or claims whatsoever, duly notarially attested and legalized by the
				  consul of such country or other competent authority.
				

			 

 

	 
			
				
				  b)
				

			 	
				
				  Current Certificate of
				  Ownership issued by the competent authorities of the flag state of the
				  Vessel.
				

			 

 

	 
			
				
				  c)
				

			 	
				
				  Confirmation of Class
				  issued within 72 hours prior to delivery.
				

			 

 

	 
			
				
				  d)
				

			 	
				
				  Current Certificate
				  issued by the competent authorities stating that the Vessel is free from

				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		registered encumbrances.

	 

	 
			
				
				  e)
				

			 	
				
				  Certificate of Deletion
				  of the Vessel from the Vessel’s registry or other official evidence of
				  deletion appropriate to the Vessel’s registry at the time of delivery, or,
				  in the event that the registry does not as a matter of practice issue such
				  documentation immediately, a written undertaking by the Sellers to effect
				  deletion from the Vessel’s registry forthwith and furnish a Certificate or
				  other official evidence of deletion to the Buyers promptly and latest within 4
				  (four) weeks 45
				  (Fortyfive) days
				  after the Purchase Price
				  has been paid and the Vessel has been delivered.
				

			 

 

	 
			
				
				  f)
				

			 	
				
				  Any such additional
				  documents as may reasonably be required by the competent authorities for the
				  purpose of registering the Vessel, provided the Buyers notify the Sellers of
				  any such documents as soon as possible after the date of this Agreement.

				

			 

 

	 
		At the time of delivery the
		Buyers and Sellers shall sign and deliver to each other a Protocol of Delivery
		and Acceptance confirming the date and time of delivery of the Vessel from the
		Sellers to the Buyers.
	 

	 
		At the time of delivery the
		Sellers shall hand to the Buyers the classification certificate(s) as well as
		all plans etc., which are on board the Vessel. Other certificates which are on
		board the Vessel shall also be handed over to the Buyers unless the Sellers are
		required to retain same, in which case the Buyers to have the right to take
		copies. Other technical documentation which may be in the Sellers’
		possession shall be promptly forwarded to the Buyers at their expense, if they
		so request. The Sellers may keep the Vessel’s log books but the Buyers to
		have the right to take copies of same. 
	 

	 
			
				
				  9.
				

			 	
				
				  Encumbrances
				

			 

 

	 
		The Sellers warrant that the
		Vessel, at the time of delivery, is free from all charters, encumbrances,
		mortgages and maritime liens or any other debts whatsoever. The Sellers hereby
		undertake to indemnify the Buyers against all consequences of claims made
		against the Vessel which have been incurred prior to the time of delivery.
		
	 

	 
			
				
				  10.
				

			 	
				
				  Taxes,
				  etc.
				

			 

 

	 
		Any taxes, fees and expenses in
		connection with the purchase and registration under the Buyers’ flag shall
		be for the Buyers’ account, whereas similar charges in connection with the
		closing of the Sellers’ register shall be for the Sellers’ account.
		
	 

	 
			
				
				  11.
				

			 	
				
				  Condition on
				  delivery
				

			 

 

	 
		The Vessel with everything
		belonging to her shall be at the Sellers’ risk and expense until she is
		delivered to the Buyers, but subject to the terms and conditions of this
		Agreement she shall be delivered and taken over as she was at the time of
		inspection, fair wear and tear excepted. However, the Vessel shall be delivered
		with her class maintained without condition/ recommendation*, free of average damage affecting the
		Vessel’s class, and with her classification certificates and national
		certificates, as well as all other certificates the Vessel had at the time of
		inspection, valid and unextended without condition/ recommendation* by Class or the relevant authorities at
		the time of delivery. 
	 

	 
		“Inspection” in this
		Clause 11, shall mean the Buyers’ inspection according to Clause 4 a) or 4
		b), if applicable, or the Buyers’ inspection prior to the signing of this
		Agreement. If the Vessel is taken over without inspection, the date of this
		Agreement shall be the relevant date. 
	 

	 
			
				
				  *
				

			 	
				
				  Notes, if any, in the
				  surveyor’s report which are accepted by the Classification Society without
				  condition/recommendation are not to be taken into account. 
				

			 

 

	 
			
				
				  12.
				

			 	
				
				  Name/markings
				

			 

 

	 
		Upon delivery the Buyers
		undertake to change the name of the Vessel and alter funnel markings. 
	 

	 
			
				
				  13.
				

			 	
				
				  Buyers’
				  default
				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		Should the deposit not be paid
		in accordance with Clause 2, the Sellers have the right to cancel this
		Agreement, and they shall be entitled to claim compensation for their losses
		and for all expenses incurred together with interest. 
	 

	 
		Should the Purchase Price not
		be paid in accordance with Clause 3, the Sellers have the right to cancel the
		Agreement, in which case the deposit together with interest earned shall be
		released to the Sellers. If the deposit does not cover their loss, the Sellers
		shall be entitled to claim further compensation for their losses and for all
		expenses incurred together with interest. 
	 

	 
			
				
				  14.
				

			 	
				
				  Sellers’
				  default
				

			 

 

	 
		Should the Sellers fail to give
		Notice of Readiness in accordance with Clause 5 a) or fail to be ready to
		validly complete a legal transfer by the date stipulated in line 61 the Buyers
		shall have the option of cancelling this Agreement provided always that the
		Sellers shall be granted a maximum of 3 banking days after Notice of Readiness
		has been given to make arrangements for the documentation set out in Clause 8.
		If after Notice of Readiness has been given but before the Buyers have taken
		delivery, the Vessel ceases to be physically ready for delivery and is not made
		physically ready again in every respect by the date stipulated in line 61 and
		new Notice of Readiness given, the Buyers shall retain their option to cancel.
		In the event that the Buyers elect to cancel this Agreement the deposit
		together with interest earned shall be released to them immediately. 
	 

	 
		Should the Sellers fail to give
		Notice of Readiness by the date stipulated in line 61 or fail to be ready to
		validly complete a legal transfer as aforesaid they shall make due compensation
		to the Buyers for their loss and for all expenses together with interest if
		their failure is due to proven negligence and whether or not the Buyers cancel
		this Agreement. 
	 

	 
			
				
				  15.
				

			 	
				
				  Buyers’
				  representatives
				

			 

 

	 
		After this Agreement has been
		signed by both parties and the deposit has been lodged, the Buyers have the
		right to place two representatives on board the Vessel at their sole risk and
		expense upon arrival at last loading
		port
		on or about
		
	 

	 
		These representatives are on
		board for the purpose of familiarisation and in the capacity of observers only,
		and they shall not interfere in any respect with the operation of the Vessel.
		The Buyers’ representatives shall sign the Sellers’ letter of
		indemnity prior to their embarkation. 
	 

	 
			
				
				  16.
				

			 	
				
				  Arbitration
				

			 

 

	 
			
				
				  a)*
				

			 	
				
				  This Agreement shall be
				  governed by and construed in accordance with English law and any dispute
				  arising out of this Agreement shall be referred to arbitration in London in
				  accordance with the Arbitration Acts 1950 and 1979 or any statutory
				  modification or re-enactment thereof for the time being in force, one
				  arbitrator being appointed by each party. On the receipt by one party of the
				  nomination in writing of the other party’s arbitrator, that party shall
				  appoint their arbitrator within fourteen days, failing which the decision of
				  the single arbitrator appointed shall apply. If two arbitrators properly
				  appointed shall not agree they shall appoint an umpire whose decision shall be
				  final. 
				

			 

 

	 
			
				
				  b)*
				

			 	
				
				  This Agreement
				  shall be governed by and construed in accordance with Title 9 of the United
				  States Code and the Law of the State of New York and should any dispute arise
				  out of this Agreement, the matter in dispute shall be referred to three persons
				  at New York, one to be appointed by each of the parties hereto, and the third
				  by the two so chosen; their decision or that of any two of them shall be final,
				  and for purpose of enforcing any award, this Agreement may be made a rule of
				  the Court. 
				

				
				  The proceedings
				  shall be conducted in accordance with the rules of the Society of Maritime
				  Arbitrators, Inc. New York.
				

			 

 

	 	
			 
				c)* 
			 

		  	
			 
				Any dispute
				arising out of this Agreement shall be referred to arbitration at
				                                          
				                 , 
				subject to the
				procedures applicable there. The laws of                                           
				                           
				shall govern this
				Agreement.
			 

		  

	 
			
				
				  *
				

			 	
				
				  16 a), 16 b) and 16
				  c) are alternatives; delete whichever is not applicable. In the absence of
				  deletions, alternative 16 a) to apply. 
				

			 

 

	 
		Additional Clauses from 17 to 21 form
		an integral part of this Memorandum of Agreement.
	 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		Appendix to Memorandum of
		Agreement code-name SALEFORM 1993 –
	 

	 
		dated
	 

	 
		M/v “CAPITANO
		GIOVANNI”
	 

	 
		 
	 

	 
			
				
				   
				

			 

 

	 
		Clause 17.
	 

	 
		The Vessel to be delivered with the Time
		Charter Back employment to Sellers or Sellers’ guarented company of about
		34/38 months min/max usd 26,000 p/day less 5% total commission including
		address.
	 

	 
		Clause 18.
	 

	 
		Subjects to Buyers BOD/Financing subjects to
		be lifted no later than 23rd March 2007.
	 

	 
		Clause 19.
	 

	 
		The Sellers to confirm to best of their
		knowledge that Vessel is not blacklisted by any Arab countries and/or
		International organization.
	 

	 
		Clause 20.
	 

	 
		Deal to be kept private and
		confidential.
	 

	 
		Clause 21.
	 

	 
		This Agreement is made in two originals
		which duly read, confirmed, signed and retained one by each parties.
	 

	 
		 
	 

	 
			
				
				  THE SELLERS
				

			 	
				
				  THE BUYERS
				

			 
	
				
				   
				

			 	
				
				   
				

			 
	
				
				   
				

			 	
				
				   
				

			 
	
				
				  _______________________________
				

			 	
				
				  _______________________________
				

			 

 

	 
		 
	 

	 
		 
	 

   
	 
			
				
				  MEMORANDUM OF
				  AGREEMENT
				

			 	
				
				   
				

			 	

				
				  Norwegian Shipbrokers’
				  Association’s Memorandum of Agreement for sale and purchase of ships.
				  Adopted by The Baltic and International Maritime Council (BIMCO) in
				  1956.
				

			 
	
				
				  Dated: 
				

			 	
				
				   
				

			 	

				
				  Code-name
 SALEFORM 1993
				

				
				  Revised 1966, 1983 and 1986/87.
				  
  
				

			 

 

	 
		Messrs. Deiulemar
		Shipping S.P.A. a socio unico, Torre del Greco, Italy
	 

	 
		hereinafter called the Sellers,
		have agreed to sell, and
	 

	 
		Messrs. ColumbusNova or their guaranteed nominee
	 

	 
		hereinafter called the Buyers,
		have agreed to buy 
	 

	 
		Name: M/V
		“RAFFAELE IULIANO”
	 

	 
		Classification Society/Class:
		RINA *100-A-1.1
	 

	 
		 
	 

	 
			
				
				  Built: October 1995
				

			 	
				
				   
				

			 	
				
				  By: Fincantieri
				  C.N.I. S.p.A. Castellamare di Stabia, Italy
				

			 
	 	 	 
	
				
				  Flag:
				  Italy
				

			 	
				
				   
				

			 	
				
				  Place of Registration:
				  Torre del Greco
				

			 
	 	 	 
	
				
				  Call Sign:
				  IBPI
				

			 	
				
				   
				

			 	
				
				  Grt/Nrt: 39.385/24.519
				

			 
	 	 	 
	
				
				  Register
				  IMO Number:
				  9083536 
				

			 	
				
				   
				

			 	
				
				   
				

			 

 

	 
		hereinafter called the Vessel,
		on the following terms and conditions: 
	 

	 
		Definitions
	 

	 
		“Banking days” are
		days on which banks are open both in the country of the currency stipulated for
		the Purchase Price in Clause 1 and in the place of closing stipulated in Clause
		8.
	 

	 
		“In writing” or
		“written” means a letter handed over from the Sellers to the Buyers
		or vice versa, a registered letter, telex, telefax or other modern form of
		written communication.
	 

	 
		“Classification
		Society” or “Class” means the Society referred to in line
		4.
	 

	 
			
				
				  1.
				

			 	
				
				  Purchase
				  Price US$ 41,000,000.- (United States
				  Dollars Forty One Million)
				

			 

 

	 
			
				
				  2
				

			 	
				
				  Deposit
				

			 

 

	 
		As security for the correct
		fulfilment of this Agreement the Buyers shall pay a deposit of 10 % (ten per
		cent) of the Purchase Price within
		                3
		(Three)                banking days from the date of this
		Agreement
		of lifting the subjects as per
		Clause 18. This deposit shall be placed
		with Sellers nominated bank
 and held by them in a joint
		account for the Sellers and the Buyers to be released in accordance with joint
		written instructions of the Sellers and the Buyers. Interest, if any, to be
		credited to the Buyers. Any fee charged for holding the said deposit shall be
		borne equally by the Sellers and the Buyers.
	 

	 
			
				
				  3.
				

			 	
				
				  Payment
				

			 

 

	 
		The said Purchase Price shall
		be paid in full free of bank charges to
		Sellers nominated bank

		on delivery of the
		Vessel, but not later than 3 banking days after the Vessel is in every respect
		physically ready for delivery in accordance with the terms and conditions of
		this Agreement and Notice of Readiness has been given in accordance with Clause
		5.
	 

	 
			
				
				  4.
				

			 	
				
				  Inspections
				

			 
	
				
				  a)*
				

			 	
				
				  The Buyers have
				  inspected and accepted the Vessel’s classification records. The Buyers
				  have also inspected the Vessel at
				  /in
				  Fujairah                             on
				  about 15th March 2007
				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
			 	and have accepted the Vessel following this
				inspection and the sale is outright and definite, subject only to the terms and
				conditions of this Agreement.
	
				
				  b)*
				

			 	
				
				  The
				  Buyers shall have the right to inspect the Vessel’s classification records
				  and declare whether same are accepted or not within
				

			 

 

	 
		The Sellers shall
		provide for inspection of the Vessel at/in
	 

	 
		The
		Buyers shall
		undertake the inspection without undue delay to the \/essel. Should the Buyers cause undue delay they shall compensate
		the Sellers for the losses thereby incurred. The Buyers shall inspect the
		Vessel without opening up and without cost to the Sellers. During the
		inspection, the Vessel’s deck and engine log books shall be made available
		for examination by the Buyers. If the Vessel is accepted after such inspection,
		the sale shall become outright and definite, subject only to the terms and
		conditions of this Agreement, provided the Sellers receive written notice of
		acceptance from the Buyers within 72 hours after completion of such
		inspection.
	 

	 
		Should notice of
		acceptance of the Vessel’s classification records and of the Vessel not be
		received by the Sellers as aforesaid, the deposit together with interest earned
		shall be released immediately to the Buyers, whereafter this agreement shall be
		null and void.
	 

	 
			
				
				  * 
				

			 	
				
				  4 a) and 4b) are
				  alternatives; delete whichever is not applicable. In the absence of deletions,
				  alternative 4a) to apply.
				

			 

 

	 
			
				
				  5.
				

			 	
				
				  Notices, time
				  and place of delivery
				

			 

 

	 
			
				
				  a)
				

			 	
				
				  The Sellers shall keep
				  the Buyers well informed of the Vessel’s itinerary and shall provide the
				  Buyers with 20, 10,
				  5 , and 3, 1 days approximate notice of the
				  estimated time of arrival at the
 intended place of
				  drydocking/ underwater inspection/delivery. When the Vessel is
				  at the place of delivery and in every respect physically ready for delivery in
				  accordance with this Agreement, the Sellers shall give the Buyers a written
				  Notice of Readiness for delivery.
				

			 

 

	 
			
				
				  b)
				

			 	
				
				  The Vessel shall be
				  delivered and taken over safely afloat at a safe and accessible berth or
				  safe anchorage, safe port at
				  /in Worldwide range 
 
 in the Sellers’
				  option.
				

			 

 

	 
		Expected time of
		delivery: Between 1st May 2007 and 30th June 2007 in
		Sellers’ option
	 

	 
		Date of cancelling (see Clauses
		5 c), 6 b) (iii) and 14): 30th June
		2007 in Buyers’ option
	 

	 
			
				
				  c)
				

			 	
				
				  if the Sellers
				  anticipate that, notwithstanding the exercise of due diligence by them, the
				  Vessel will not be ready for delivery by the cancelling date they may notify
				  the Buyers in writing stating the date when they anticipate that the Vessel
				  will be ready for delivery and propose a new cancelling date. Upon receipt of
				  such notification the Buyers shall have the option of either cancelling this
				  Agreement in accordance with Clause 14 within 7 running days of receipt of the
				  notice or of accepting the new date as the new cancelling date. If the Buyers
				  have not declared their option within 7 running days of receipt of the
				  Sellers’ notification or if the Buyers accept the new date, the date
				  proposed in the Sellers’ notification shall be deemed to be the new
				  cancelling date and shall be substituted for the cancelling date stipulated in
				  line 61.
				

			 

 

	 
		If this Agreement is maintained
		with the new cancelling date all other terms and conditions hereof including
		those contained in Clauses 5 a) and 5 c) shall remain unaltered and in full
		force and effect. Cancellation or failure to cancel shall be entirely without
		prejudice to any claim for damages the Buyers may have under Clause 14 for the
		Vessel not being ready by the original cancelling date.
	 

	 
			
				
				  d)
				

			 	
				
				  Should the Vessel
				  become an actual, constructive or compromised total loss before delivery the
				  deposit together with interest earned shall be released immediately to the
				  Buyers whereafter this Agreement shall be null and void.
				

			 

 

	 
			
				
				  6.
				

			 	
				
				  Drydocking/Divers Inspection
				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
			
				
				  a)**
				

			 	
				
				  The Sellers
				  shall place the Vessel in drydock at the port of delivery for inspection by the
				  Classification Society of the Vessel’s underwater parts below the deepest
				  load line, the extent of the inspection being in accordance with the
				  Classification Society’s rules. If the rudder, propeller, bottom or other
				  underwater parts below the deepest load line are found broken, damaged or
				  defective so as to affect the Vessel’s class, such defects shall be made
				  good at the Sellers’ expense to the satisfaction of the Classification
				  Society without condition/recommendation*.
				

			 

 

	 
			
				
				  b)**
				

			 	
				
				  (i) The Vessel is to be
				  delivered without drydocking. However, the Buyers shall have the right at their
				  expense to arrange for an underwater inspection by a diver approved by the
				  Classification Society prior to the delivery of the Vessel. The Sellers shall
				  at their cost make the Vessel available for such inspection. The extent of the
				  inspection and the conditions under which it is performed shall be to the
				  satisfaction of the Classification Society. If the conditions at the port of
				  delivery are unsuitable for such inspection, the Sellers shall make the Vessel
				  available at a suitable alternative place near to the delivery port.
				

			 

 

	 
		(ii) If the rudder, propeller,
		bottom or other underwater parts below the deepest load line are found broken,
		damaged or defective so as to affect the Vessel’s class, then unless
		repairs can be carried out afloat to the satisfaction of the Classification
		Society, the Sellers shall arrange for the Vessel to be drydocked at their
		expense for inspection by the Classification Society of the Vessel’s
		underwater parts below the deepest load line, the extent of the inspection
		being in accordance with the Classification Society’s rules. If the
		rudder, propeller, bottom or other underwater parts below the deepest load line
		are found broken, damaged or defective so as to affect the Vessel’s class,
		such defects shall be made good by the Sellers at their expense to the
		satisfaction of the Classification Society without condition/recommendation*.
		In such event the Sellers are to pay also for the cost of the underwater
		inspection and the Classification Society’s attendance.
	 

	 
		(iii) If the Vessel is to be
		drydocked pursuant to Clause 6 b) (ii) and no suitable dry-docking facilities
		are available at the port of delivery, the Sellers shall take the
		Vessel to a port where suitable drydocking facilities are available,
		whether within or outside the delivery range as per Clause 5 b). Once
		drydocking has taken place the Sellers shall deliver the Vessel at a port
		within the delivery range as per Clause 5 b) which shall, for the purpose of
		this Clause, become the new port of delivery. In such event the cancelling
		date provided for in Clause 5 b) shall be extended by the additional time
		required for the drydocking and extra steaming, but limited to a maximum
		of 14 running days.
	 

	 
			
				
				  c)
				

			 	
				
				  If the Vessel is
				  drydocked pursuant to Clause 6 a) or 6 b) above
				

			 

 

	 
		(i) the Classification Society
		may require survey of the tailshaft system, the extent of the survey being
		to the satisfaction of the Classification surveyor. If such survey is
		not required by the Classification Society the Buyers shall have the right
		to require the tailshaft to be drawn and surveyed by the Classification
		Society, the extent of the survey being in accordance with the
		Classification Society’s rules for tailshaft survey and consistent
		with the current stage of the Vessel’s survey cycle. The Buyers shall
		declare whether they require the tailshaft to be drawn and surveyed not
		later than by the completion of the inspection by the Classification
		Society. The drawing and refitting of the tailshaft shall be arranged by
		the Sellers. Should any parts of the tailshaft system be condemned or
		found defective so as to affect the Vessel’s class, those parts shall
		be renewed or made good at the Sellers’ expense to the satisfaction
		of the Classification Society
		without condition/recommendation*. 
	 

	 
		(ii) the expenses relating to
		the survey of the tailshaft system shall be borne by the Buyers unless the
		Classification Society requires such survey to be carried out, in which
		case the Sellers shall pay these expenses. The Sellers shall also pay the
		expenses if the Buyers require the survey and parts of the system are
		condemned or found defective or broken so as to affect the Vessel’s
		class*. 
	 

	 
		(iii) the expenses in
		connection with putting the Vessel in and taking her out of drydock,
		including the drydock dues and the Classification Society’s fees shall be
		paid by the Sellers if the Classification Society issues any
		condition/recommendation* as a result of the survey or if it requires
		survey of the tailshaft system. In all other cases the Buyers shall pay
		the aforesaid expenses, dues and fees. 
	 

	 
		(iv) the Buyers’
		representative shall have the right to be present in the drydock, but without
		interfering with the work or decisions of the Classification
		surveyor. 
	 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		(v) the Buyers shall have the
		right to have the underwater parts of the Vessel cleaned and painted at their
		risk and expense without interfering with the Sellers’ or the
		Classification surveyor’s work, if any, and without affecting the
		Vessel’s timely delivery. If, however, the Buyers’ work in drydock is
		still in progress when the Sellers have completed the work which the Sellers
		are required to do, the additional docking time needed to complete the
		Buyers’ work shall be for the Buyers’ risk and expense. In the event
		that the Buyers’ work requires such additional time, the Sellers may upon
		completion of the Sellers’ work tender Notice of Readiness for delivery
		whilst the Vessel is still in drydock and the Buyers shall be obliged to take
		delivery in accordance with Clause 3, whether the Vessel is in drydock or not
		and irrespective of Clause 5 b).
	 

	 
			
				
				  *
				

			 	
				
				  Notes, if any, in the
				  surveyor’s report which are accepted by the Classification Society without
				  condition/recommendation are not to be taken into account.
				

			 

 

	 
			
				
				  **
				

			 	
				
				  6 a) and 6 b) are
				  alternatives; delete whichever is not applicable. In the absence of deletions,
				  alternative 6 a) to apply.
				

			 

 

	 
			
				
				  7.
				

			 	
				
				  Spares/bunkers,
				  etc.
				

			 

 

	 
		The Sellers shall deliver the
		Vessel to the Buyers with everything belonging to her on board and on shore.
		All spare parts and spare equipment including spare tail-end shaft(s) and/or
		spare propeller(s)/propeller blade(s), if any, belonging to the Vessel at the
		time of inspection used or unused, whether on board or not shall become the
		Buyers’ property, but spares on order are to be excluded. Forwarding
		charges, if any, shall be for the Buyers’ account. The Sellers are not
		required to replace spare parts including spare tail-end shaft(s) and spare
		propeller(s)/propeller blade(s) which are taken out of spare and used as
		replacement prior to delivery, but the replaced items shall be the property of
		the Buyers. The radio installation and navigational equipment shall be included
		in the sale without extra payment if they are the property of the Sellers.
		Unused stores and provisions shall be included in the sale and be taken over by
		the Buyers without extra payment.
	 

	 
		The Sellers have the right to
		take ashore crockery, plates, cutlery, linen and other articles bearing the
		Sellers’ flag or name, provided they replace same with similar unmarked
		items. Library, forms, etc., exclusively for use in the Sellers’
		vessel(s), shall be excluded without compensation. Captain’s,
		Officers’ and Crew’s personal belongings including the slop chest are
		to be excluded from the sale, as well as the following additional items
		(including items on hire):
	 

	 
		The Buyers shall take over the
		remaining bunkers and unused lubricating oils in storage tanks and sealed drums
		and pay the current net market price (excluding barging expenses) at the port
		and date of delivery of the Vessel.
	 

	 
		Payment under this Clause shall
		be made at the same time and place and in the same currency as the Purchase
		Price.
	 

	 
			
				
				  8.
				

			 	
				
				  Documentation
				

			 

 

	 
		The place of closing:
		Sellers’ bank
	 

	 
		In exchange for payment of the
		Purchase Price the Sellers shall furnish the Buyers with delivery documents,
		namely:
	 

	 
			
				
				  a)
				

			 	
				
				  Legal Bill of Sale in a
				  form recordable in appropriate
				  Consulate
				  (the country in which the
				  Buyers are 
 to register the Vessel), warranting that the Vessel is free
				  from all encumbrances, mortgages and maritime liens or any other debts or
				  claims whatsoever, duly notarially attested and legalized by the consul of such
				  country or other competent authority.
				

			 

 

	 
			
				
				  b)
				

			 	
				
				  Current Certificate of
				  Ownership issued by the competent authorities of the flag state of the
				  Vessel.
				

			 

 

	 
			
				
				  c)
				

			 	
				
				  Confirmation of Class
				  issued within 72 hours prior to delivery.
				

			 

 

	 
			
				
				  d)
				

			 	
				
				  Current Certificate
				  issued by the competent authorities stating that the Vessel is free from
				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		registered encumbrances.
	 

	 
			
				
				  e)
				

			 	
				
				  Certificate of Deletion
				  of the Vessel from the Vessel’s registry or other official evidence of
				  deletion appropriate to the Vessel’s registry at the time of delivery, or,
				  in the event that the registry does not as a matter of practice issue such
				  documentation immediately, a written undertaking by the Sellers to effect
				  deletion from the Vessel’s registry forthwith and furnish a Certificate or
				  other official evidence of deletion to the Buyers promptly and latest within 4
				  (four) weeks 45 (Fortyfive) days after the Purchase Price has been paid and the Vessel
				  has been delivered.
				

			 

 

	 
			
				
				  f)
				

			 	
				
				  Any such additional
				  documents as may reasonably be required by the competent authorities for the
				  purpose of registering the Vessel, provided the Buyers notify the Sellers of
				  any such documents as soon as possible after the date of this Agreement.
				

			 

 

	 
		At the time of delivery the
		Buyers and Sellers shall sign and deliver to each other a Protocol of Delivery
		and Acceptance confirming the date and time of delivery of the Vessel from the
		Sellers to the Buyers.
	 

	 
		At the time of delivery the
		Sellers shall hand to the Buyers the classification certificate(s) as well as
		all plans etc., which are on board the Vessel. Other certificates which are on
		board the Vessel shall also be handed over to the Buyers unless the Sellers are
		required to retain same, in which case the Buyers to have the right to take
		copies. Other technical documentation which may be in the Sellers’
		possession shall be promptly forwarded to the Buyers at their expense, if they
		so request. The Sellers may keep the Vessel’s log books but the Buyers to
		have the right to take copies of same.
	 

	 
			
				
				  9.
				

			 	
				
				  Encumbrances
				

			 

 

	 
		The Sellers warrant that the
		Vessel, at the time of delivery, is free from all charters, encumbrances,
		mortgages and maritime liens or any other debts whatsoever. The Sellers hereby
		undertake to indemnify the Buyers against all consequences of claims made
		against the Vessel which have been incurred prior to the time of
		delivery.
	 

	 
			
				
				  10.
				

			 	
				
				  Taxes,
				  etc.
				

			 

 

	 
		Any taxes, fees and expenses in
		connection with the purchase and registration under the Buyers’ flag shall
		be for the Buyers’ account, whereas similar charges in connection with the
		closing of the Sellers’ register shall be for the Sellers’
		account.
	 

	 
			
				
				  11.
				

			 	
				
				  Condition on
				  delivery
				

			 

 

	 
		The Vessel with everything
		belonging to her shall be at the Sellers’ risk and expense until she is
		delivered to the Buyers, but subject to the terms and conditions of this
		Agreement she shall be delivered and taken over as she was at the time of
		inspection, fair wear and tear excepted. However, the Vessel shall be delivered
		with her class maintained without condition/ recommendation*, free of average damage affecting the
		Vessel’s class, and with her classification certificates and national
		certificates, as well as all other certificates the Vessel had at the time of
		inspection, valid and unextended without condition/ recommendation* by Class or the relevant authorities at
		the time of delivery.
	 

	 
		“Inspection” in this
		Clause 11, shall mean the Buyers’ inspection according to Clause 4 a) or 4
		b), if applicable, or the Buyers’ inspection prior to the signing of this
		Agreement. If the Vessel is taken over without inspection, the date of this
		Agreement shall be the relevant date.
	 

	 
			
				
				  *
				

			 	
				
				  Notes, if any, in the
				  surveyor’s report which are accepted by the Classification Society without
				  condition/recommendation are not to be taken into account.
				

			 

 

	 
			
				
				  12.
				

			 	
				
				  Name/markings
				

			 

 

	 
		Upon delivery the Buyers
		undertake to change the name of the Vessel and alter funnel markings.
	 

	 
			
				
				  13.
				

			 	
				
				  Buyers’
				  default
				

			 

 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		Should the deposit not be paid
		in accordance with Clause 2, the Sellers have the right to cancel this
		Agreement, and they shall be entitled to claim compensation for their losses
		and for all expenses incurred together with interest.
	 

	 
		Should the Purchase Price not
		be paid in accordance with Clause 3, the Sellers have the right to cancel the
		Agreement, in which case the deposit together with interest earned shall be
		released to the Sellers. If the deposit does not cover their loss, the Sellers
		shall be entitled to claim further compensation for their losses and for all
		expenses incurred together with interest.
	 

	 
			
				
				  14.
				

			 	
				
				  Sellers’
				  default
				

			 

 

	 
		Should the Sellers fail to give
		Notice of Readiness in accordance with Clause 5 a) or fait to be ready to
		validly complete a legal transfer by the date stipulated in line 61 the Buyers
		shall have the option of cancelling this Agreement provided always that the
		Sellers shall be granted a maximum of 3 banking days after Notice of Readiness
		has been given to make arrangements for the documentation set out in Clause 8.
		If after Notice of Readiness has been given but before the Buyers have taken
		delivery, the Vessel ceases to be physically ready for delivery and is not made
		physically ready again in every respect by the date stipulated in line 61 and
		new Notice of Readiness given, the Buyers shall retain their option to cancel.
		In the event that the Buyers elect to cancel this Agreement the deposit
		together with interest earned shall be released to them immediately.
	 

	 
		Should the Sellers fail to give
		Notice of Readiness by the date stipulated in line 61 or fail to be ready to
		validly complete a legal transfer as aforesaid they shall make due compensation
		to the Buyers for their loss and for all expenses together with interest if
		their failure is due to proven negligence and whether or not the Buyers cancel
		this Agreement.
	 

	 
			
				
				  15.
				

			 	
				
				  Buyers’
				  representatives
				

			 

 

	 
		After this Agreement has been
		signed by both parties and the deposit has been lodged, the Buyers have the
		right to place two representatives on board the Vessel at their sole risk and
		expense upon arrival at last loading port on or about
	 

	 
		These representatives are on
		board for the purpose of familiarisation and in the capacity of observers only,
		and they shall not interfere in any respect with the operation of the Vessel.
		The Buyers’ representatives shall sign the Sellers’ letter of
		indemnity prior to their embarkation.
	 

	 
			
				
				  16.
				

			 	
				
				  Arbitration
				

			 

 

	 
			
				
				  a)*
				

			 	
				
				  This Agreement shall be
				  governed by and construed in accordance with English law and any dispute
				  arising out of this Agreement shall be referred to arbitration in London in
				  accordance with the Arbitration Acts 1950 and 1979 or any statutory
				  modification or re-enactment thereof for the time being in force, one
				  arbitrator being appointed by each party. On the receipt by one party of the
				  nomination in writing of the other party’s arbitrator, that party shall
				  appoint their arbitrator within fourteen days, failing which the decision of
				  the single arbitrator appointed shall apply. If two arbitrators properly
				  appointed shall not agree they shall appoint an umpire whose decision shall be
				  final.
				

			 

 

	 
			
				
				  b)*
				

			 	
				
				  This Agreement
				  shall be governed by and construed in accordance with Title 9 of the United
				  States Code and the Law of the State of New York and should any dispute arise
				  out of this Agreement, the matter in dispute shall be referred to three persons
				  at New York, one to be appointed by each of the parties hereto, and the third
				  by the two so chosen; their decision or that of any two of them shall be final,
				  and for purpose of enforcing any award, this Agreement may be made a rule of
				  the Court.
				

			 

 

	 
		The proceedings shall
		be conducted in accordance with the rules of the Society of Maritime
		Arbitrators, Inc. New York.
	 

	 
			
				
				  c)*
				

			 	
				
				  Any dispute
				  arising out of this Agreement shall be referred to arbitration at
				   
				                                                                                                                          
				        , subject to the procedures applicable there, The
				  laws of
				                                                                                                                                  shall
				  govern this Agreement.
				

			 

 

	 
			
				
				  *
				

			 	
				
				  16 a), 16 b) and 16
				  c) are alternatives; delete whichever is not applicable. In the absence of
				  deletions, alternative 16 a) to apply.
				

			 

 

	 
		Additional Clauses from 17 to 21 form an integral part
		of this Memorandum of Agreement.
	 

	 
		 
	 

	 
		 
	 

	 
	 

	 

	 
		Appendix to Memorandum of Agreement
		code-name SALEFORM 1993 –
 dated
	 

	 
		M/v “RAFFAELE
		IULIANO”
	 

	 
		 
	 

	 
		Clause 17.
	 

	 
		The Vessel to be delivered with the Time
		Charter Back employment to Sellers or Sellers’ guarented company of about
		34/38 months min/max usd 26,000 p/day less 5% total commission including
		address.
	 

	 
		Clause 18.
	 

	 
		Subjects to Buyers BOD/Financing subjects to
		be lifted no later than 23rd March 2007.
	 

	 
		Clause 19.
	 

	 
		The Sellers to confirm to best of their
		knowledge that Vessel is not blacklisted by any Arab countries and/or
		International organization.
	 

	 
		Clause 20.
	 

	 
		Deal to be kept private and
		confidential.
	 

	 
		Clause 21.
	 

	 
		This Agreement is made in two originals
		which duly read, confirmed, signed and retained one by each parties.
	 

	 
		 
	 

	 
			
				
				  THE SELLERS
 
 
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				  THE BUYERS
 
 
				

			 
	
				
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				

			 
	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 	
				
				   
				

			 

 

	 
		 
	 

	 
		 
	 

AMENDING AGREEMENT

Dated March 29th, 2007

Between,

		
	A) 	Cardiff Marine Inc., of Monrovia, Liberia hereby called the ‘‘Initial Buyers’’

		
	B) 	OceanFreight Inc. of Majuro, MI or its fully guaranteed subsidiaries as its nominees hereby called the ‘‘Ultimate Buyers’’

Whereas the Initial Buyers and the Ultimate Buyers as well as CN NINA INC. as an intermediate Buyer (the ‘‘Intermediate Buyer’’) have entered into a Head Agreement dated 23rd March 2007 (the ‘‘Head Agreement’’) relating to the purchase of two oceangoing vessels named therein.

Whereas pursuant to the Head Agreement under its clause 8 the Ultimate Buyers have agreed under the conditions stated therein to pay to the Initial Buyers a consideration of USD 200,000 per vessel.

Whereas the Ultimate Buyer has requested a reduction of the amount of above charge.

In the premises it was AGREED

THAT clause 8 of the Head Agreement affecting only the Initial Buyers and the Ultimate Buyers be amended and is hereby amended.

The consideration which shall be payable by the Ultimate Buyers to the Initial Buyers pursuant to Clause 8 of the Head Agreement is hereby reduced to USD 100,000 per vessel.

Otherwise all terms and conditions of the Head Agreement remain valid and in full force and effect.

This 29th day of March 2007

For the Initial Buyers:

    

	
		
	

By:

Title:

    

	
		
	

By:

Title:EXHIBIT 10.10
	 

	 
		OCEANFREIGHT INC.
	 

	 
		2007 EQUITY INCENTIVE PLAN
	 

	 
		ARTICLE I.
	 

	 
		General
	 

	 
			
				
				  1.1. 
				

			 	
				
				  Purpose
				

			 

 

	 
		The OceanFreight Inc. 2007 Equity
		Incentive Plan (the “Plan”) is designed to provide certain key
		persons, whose initiative and efforts are deemed to be important to the
		successful conduct of the business of OceanFreight Inc. (the
		“Company”), with incentives to (a) enter into and remain in the
		service of the Company, (b) acquire a proprietary interest in the success
		of the Company, (c) maximize their performance and (d) enhance the
		long-term performance of the Company. 
	 

	 
			
				
				  1.2. 
				

			 	
				
				  Administration
				

			 

 

	 
		(a) Administration.
		The Plan shall be administered by the Compensation Committee of the
		Company’s Board of Directors (the “Board”), or such other
		committee of the Board as may be designated by the Board to administer the Plan
		(the “Administrator”); provided
		that,(i) the Administrator shall be composed of solely of two or more
		directors who are “outside directors” for purposes of
		Section 162(m) of the Internal Revenue Code of 1986, as amended (the
		“Code”), and (ii) in the event the Company is subject to
		Section 16 of the Securities Exchange Act of 1934, as amended (the
		“1934 Act”), the Administrator shall be composed of two or more
		directors, each of whom is a “Non-Employee Director” (a
		“Non-Employee Director”) under Rule 16b-3 (as promulgated and
		interpreted by the Securities and Exchange Commission (the “SEC”)
		under the 1934, or any successor rule or regulation thereto as in effect from
		time to time); provided
		further, however, that,
		prior to the date of the consummation of an initial public offering of the
		Company’s Common Stock (as defined below), the Administrator may be
		composed of one or more members of the Board, as determined by the Board.
		Subject to the terms of the Plan and applicable law, and in addition to other
		express powers and authorizations conferred on the Administrator by the Plan,
		the Administrator shall have the full power and authority to:
		(1) designate the persons to receive Awards (as defined below) under the
		Plan; (2) determine the types of Awards granted to a participant under the
		Plan; (3) determine the number of shares to be covered by, or with respect
		to which payments, rights or other matters are to be calculated with respect
		to, Awards; (4) determine the terms and conditions of any Awards;
		(5) determine whether, and to what extent, and under what circumstances,
		Awards may be settled or exercised in cash, shares, other securities, other
		Awards or other property, or cancelled, forfeited or suspended, and the methods
		by which Awards may be settled, exercised, cancelled, forfeited or suspended;
		(6) determine whether, to what extent, and under what circumstances cash,
		shares, other securities, other Awards, other property and other amounts
		payable with respect to an Award shall be deferred, either automatically or at
		the election of the holder thereof or the Administrator; (7) construe,
		interpret and implement the Plan and any Award Agreement (as defined below);
		(8) prescribe, amend, rescind or waive rules and regulations relating to
		the Plan, including rules governing its operation; (9) make all
		determinations necessary or 
	 

	 
		 
	 

	 
		 
	 

	 
		1
	 

	 
		 
	 

	 
	 

	 

	 
		advisable in administering the Plan;
		(10) correct any defect, supply any omission and reconcile any
		inconsistency in the Plan or any Award Agreement; and (11) make any other
		determination and take any other action that the Administrator deems necessary
		or desirable for the administration of the Plan. Unless otherwise expressly
		provided in the Plan, all designations, determinations, interpretations and
		other decisions under or with respect to the Plan or any Award shall be within
		the sole discretion of the Administrator, may be made at any time and shall be
		final, conclusive and binding upon all persons.
	 

	 
		(b) General Right of Delegation. Except to the extent prohibited by applicable law, the
		applicable rules of a stock exchange or any charter, by-laws or other agreement
		governing the Administrator, the Administrator may delegate all or any part of
		its responsibilities to any person or persons selected by it and may revoke any
		such allocation or delegation at any time.
	 

	 
		(c) Indemnification.
		No member of the Board, the Administrator or any employee of the Company (each
		such person, a “Covered Person”) shall be liable for any action taken
		or omitted to be taken or any determination made in good faith with respect to
		the Plan or any Award hereunder. Each Covered Person shall be indemnified and
		held harmless by the Company against and from (i) any loss, cost,
		liability or expense (including attorneys’ fees) that may be imposed upon
		or incurred by such Covered Person in connection with or resulting from any
		action, suit or proceeding to which such Covered Person may be a party or in
		which such Covered Person may be involved by reason of any action taken or
		omitted to be taken under the Plan or any Award Agreement and (ii) any and all
		amounts paid by such Covered Person, with the Company’s approval, in
		settlement thereof, or paid by such Covered Person in satisfaction of any
		judgment in any such action, suit or proceeding against such Covered Person;
		provided that the Company shall have the right, at its own
		expense, to assume and defend any such action, suit or proceeding and, once the
		Company gives notice of its intent to assume the defense, the Company shall
		have sole control over such defense with counsel of the Company’s choice.
		The foregoing right of indemnification shall not be available to a Covered
		Person to the extent that a court of competent jurisdiction in a final judgment
		or other final adjudication, in either case not subject to further appeal,
		determines that the acts or omissions of such Covered Person giving rise to the
		indemnification claim resulted from such Covered Person’s bad faith, fraud
		or willful criminal act or omission or that such right of indemnification is
		otherwise prohibited by law or by the Company’s Articles of Incorporation
		or Bylaws. The foregoing right of indemnification shall not be exclusive of any
		other rights of indemnification to which Covered Persons may be entitled under
		the Company’s Articles of Incorporation or Bylaws, as a matter of law, or
		otherwise, or any other power that the Company may have to indemnify such
		persons or hold them harmless.
	 

	 
		(d) Delegation of Authority to Senior
		Officers. The Administrator may
		delegate, on such terms and conditions as it determines, to one or more senior
		officers of the Company the authority to make grants of Awards to key employees
		(other than officers) of the Company and its Subsidiaries (including any such
		prospective key employee) and consultants of the Company and its
		Subsidiaries.
	 

	 
		(e) Awards to Non-Employee Directors. Notwithstanding anything to the contrary contained
		herein, the Board may, in its sole discretion, at any time and from time to
		time, grant Awards to Non-Employee Directors or administer the Plan with
		respect to such Awards. In any such case, the Board shall have all the
		authority and responsibility granted to the Administrator herein.
	 

	 
		 
	 

	 
		 
	 

	 
		2
	 

	 
		 
	 

	 
	 

	 

	 
			
				
				  1.3. 
				

			 	
				
				  Persons Eligible for
				  Awards
				

			 

 

	 
		The persons eligible to receive Awards under
		the Plan are those directors, officers and key employees (including any
		prospective officer or key employee) and consultants of the Company and its
		Subsidiaries (collectively, “Key Persons”) as the Administrator shall
		select.
	 

	 
			
				
				  1.4. 
				

			 	
				
				  Types of Awards
				

			 

 

	 
		Awards may be made under the Plan in the
		form of (a) stock options, (b) stock appreciation rights,
		(c) restricted stock, (d) restricted stock units,
		(e) unrestricted stock and (f) dividend participation rights, all as
		more fully set forth in the Plan. The term “Award” means any of the
		foregoing that are granted under the Plan.
	 

	 
			
				
				  1.5. 
				

			 	
				
				  Shares Available for Awards;
				  Adjustments for Changes in Capitalization
				

			 

 

	 
		(a) Maximum Number.
		Subject to adjustment as provided in Section 1.5(c), the aggregate number
		of shares of Class A common stock of the Company, par value $0.01
		(“Common Stock”), with respect to which Awards may at any time be
		granted under the Plan shall be 1,000,000. The following shares of Common Stock
		shall again become available for Awards under the Plan: (i) any shares
		that are subject to an Award under the Plan and that remain unissued upon the
		cancellation or termination of such Award for any reason whatsoever;
		(ii) any shares of restricted stock forfeited pursuant to the Plan or the
		applicable Award Agreement; provided that
		any dividend equivalent rights with respect to such shares that have not
		theretofore been directly remitted to the grantee are also forfeited; and
		(iii) any shares in respect of which a stock appreciation right or
		restricted stock unit is settled for cash.
	 

	 
		(b) Source of Shares. Shares issued pursuant to the Plan may be authorized
		but unissued Common Stock or treasury shares. The Administrator may direct that
		any stock certificate evidencing shares issued pursuant to the Plan shall bear
		a legend setting forth such restrictions on transferability as may apply to
		such shares.
	 

	 
		(c) Adjustments.
		(i)  In the event that the Administrator determines that any dividend
		or other distribution (whether in the form of cash, Company shares, other
		securities or other property), recapitalization, stock split, reverse stock
		split, reorganization, merger, consolidation, split-up, spin-off, combination,
		repurchase or exchange of Company shares or other securities of the Company,
		issuance of warrants or other rights to purchase Company shares or other
		securities of the Company, or other similar corporate transaction or event
		affects the Company shares such that an adjustment is determined by the
		Administrator to be appropriate or desirable, then the Administrator shall, in
		such manner as it may deem equitable or desirable, adjust the number of shares
		or other securities of the Company (or number and kind of other securities or
		property) with respect to which Awards may be granted under the Plan.
	 

	 
		(ii) The Administrator is authorized to make
		adjustments in the terms and conditions of, and the criteria included in,
		Awards in recognition of unusual or nonrecurring events (including the events
		described in Section 1.5(c)(i) or the occurrence of a Change in Control
		(as defined below)) affecting the Company, any Affiliate, or the financial
		statements of the Company or any Affiliate, or of changes in applicable rules,
		rulings, regulations or other requirements of any governmental body or
		securities exchange, accounting principles or law, whenever the Administrator
		determines that such adjustments are appropriate or desirable, 
	 

	 
		 
	 

	 
		 
	 

	 
		3
	 

	 
		 
	 

	 
	 

	 

	 
		including providing for (A) adjustment
		to (1) the number of shares or other securities of the Company (or number
		and kind of other securities or property) subject to outstanding Awards or to
		which outstanding Awards relate and (2) the Exercise Price (as defined
		below) with respect to any Award and (B) a substitution or assumption of
		Awards, accelerating the exercisability or vesting of, or lapse of restrictions
		on, Awards, or accelerating the termination of Awards by providing for a period
		of time for exercise prior to the occurrence of such event, or, if deemed
		appropriate or desirable, providing for a cash payment to the holder of an
		outstanding Award in consideration for the cancellation of such Award (it being
		understood that, in such event, any option or stock appreciation right having a
		per share Exercise Price equal to, or in excess of, the Fair Market Value (as
		defined below) of a share subject to such option or stock appreciation right
		may be cancelled and terminated without any payment or consideration
		therefor).
	 

	 
		(iii) In the event of (A) a dissolution
		or liquidation of the Company, (B) a sale of all or substantially all the
		Company’s assets or (C) a merger, reorganization or consolidation
		involving the Company or one of its Subsidiaries (as defined below), the
		Administrator shall have the power to:
	 

	 
		(1)  provide that outstanding
		options, stock appreciation rights, restricted stock units (including any
		related dividend equivalent right) and/or dividend participation rights shall
		either continue in effect, be assumed or an equivalent award shall be
		substituted therefor by the successor corporation or a “parent
		corporation” (as defined in Section 424(e) of the Code) or
		“subsidiary corporation” (as defined in Section 424(f) of the
		Code);
	 

	 
		(2)  cancel, effective immediately
		prior to the occurrence of such event, (x) options, stock appreciation
		rights and/or restricted stock units (including each dividend equivalent right
		related thereto) outstanding immediately prior to such event (whether or not
		then exercisable) and, in full consideration of such cancellation, pay to the
		holder of such Award a cash payment in an amount equal to the excess, if any,
		of the Fair Market Value (as of a date specified by the Administrator) of the
		shares subject to such Award over the aggregate Exercise Price of such Award
		(it being understood that, in such event, any option or stock appreciation
		right having a per share Exercise Price equal to, or in excess of, the Fair
		Market Value of a share subject to such option or stock appreciation right may
		be cancelled and terminated without any payment or consideration therefor)
		and/or (y) any dividend participation rights and, in full consideration of
		such cancellation, pay to the holder of such dividend participation rights any
		amount required to be paid in connection with such cancellation as may be
		specified in the applicable Award Agreement; or
	 

	 
		(3)  notify the holder of an
		option or stock appreciation right in writing or electronically that each
		option and stock appreciation right shall be fully vested and exercisable for a
		period of 30 days from the date of such notice, or such shorter period as the
		Administrator may determine to be reasonable, and the option or stock
		appreciation right shall terminate upon the expiration of such period (which
		period shall expire no later than immediately prior to the consummation of the
		corporate transaction).
	 

	 
		(d) Subject to adjustment as provided in
		Section 1.5(c), the total number of shares of Common Stock with respect to
		which stock options, stock appreciation rights, restricted stock, 
	 

	 
		 
	 

	 
		 
	 

	 
		4
	 

	 
		 
	 

	 
	 

	 

	 
		restricted stock units, unrestricted stock
		and dividend participation rights that may be granted to any participant under
		the Plan during any one calendar year shall not exceed 100,000.
	 

	 
			
				
				  1.6. 
				

			 	
				
				  Definitions of Certain
				  Terms
				

			 

 

	 
		(a) The “Fair Market Value” of a
		share of Common Stock on any day shall be the closing price on the stock
		exchange upon which such shares are listed as reported for such day in The Wall
		Street Journal, or, if no such price is reported for such day, the average of
		the high bid and low asked price of Common Stock as reported for such day. If
		no quotation is made for the applicable day, the Fair Market Value of a share
		of Common Stock on such day shall be determined in the manner set forth in the
		preceding sentence for the next preceding trading day. Notwithstanding the
		foregoing, if there is no reported closing price or high bid/low asked price
		that satisfies the preceding sentences, or if otherwise deemed necessary or
		appropriate by the Administrator, the Fair Market Value of a share of Common
		Stock on any day shall be determined by such methods or procedures as shall be
		established from time to time by the Administrator. The “Fair Market
		Value” of any property other than Common Stock shall be the fair market
		value of such property determined by such methods or procedures as shall be
		established from time to time by the Administrator.
	 

	 
		(b) Unless otherwise set forth in an Award
		Agreement, in connection with a termination of employment or consultancy
		relationship or a dismissal from Board membership, for purposes of the Plan,
		the term “for Cause” shall be defined as follows:
	 

	 
		(i) if there is an employment, severance,
		change in control or other agreement governing the relationship between the
		grantee, on the one hand, and the Company or a Subsidiary, on the other hand,
		that contains a definition of “cause” (or similar phrase), for
		purposes of the Plan, the term “for Cause” shall mean those acts or
		omissions that would constitute “cause” under such agreement;
		or
	 

	 
		(ii) if the preceding clause (i) is not
		applicable to the grantee, for purposes of the Plan, the term “for
		Cause” shall mean any of the following:
	 

	 
		(A) any failure by the grantee substantially
		to perform the grantee’s employment, consulting or Board membership
		duties;
	 

	 
		(B) any excessive unauthorized absenteeism
		by the grantee;
	 

	 
		(C) any refusal by the grantee to obey the
		lawful orders of the Board or any other person to whom the grantee
		reports;
	 

	 
		(D) any act or omission by the grantee that
		is or may be injurious to the Company or any Affiliate, whether monetarily,
		reputationally or otherwise;
	 

	 
		(E) any act by the grantee that is
		inconsistent with the best interests of the Company or any Affiliate;
	 

	 
		(F) the grantee’s gross negligence that
		is injurious to the Company or any Affiliate, whether monetarily,
		reputationally or otherwise;
	 

	 
		 
	 

	 
		 
	 

	 
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		(G) the grantee’s material violation of
		any of the Company’s policies, including, without limitation, those
		policies relating to discrimination or sexual harassment;
	 

	 
		(H) the grantee’s material breach of
		his or her employment or service contract with the Company or any
		Affiliate;
	 

	 
		(I) the grantee’s unauthorized
		(1) removal from the premises of the Company or an Affiliate of any
		document (in any medium or form) relating to the Company or an Affiliate or the
		customers or clients of the Company or an Affiliate or (2) disclosure to
		any person or entity of any of the Company’s, or any Affiliate’s,
		confidential or proprietary information;
	 

	 
		(J) the grantee’s being convicted of,
		or entering a plea of guilty or nolo contendere to, any crime that constitutes
		a felony or involves moral turpitude; and
	 

	 
		(K) the grantee’s commission of any act
		involving dishonesty or fraud.
	 

	 
		Any rights the Company may have under the
		Plan in respect of the events giving rise to a termination or dismissal
		“for Cause” shall be in addition to any other rights the Company may
		have under any other agreement with a grantee or at law or in equity. Any
		determination of whether a grantee’s employment, consultancy relationship
		or Board membership is (or is deemed to have been) terminated “for
		Cause” shall be made by the Administrator. If, subsequent to a
		grantee’s voluntary termination of employment or consultancy relationship
		or voluntarily resignation from the Board or involuntary termination of
		employment or consultancy relationship without Cause or removal from the Board
		other than “for Cause”, it is discovered that the grantee’s
		employment or consultancy relationship or Board membership could have been
		terminated “for Cause”, the Administrator may deem such
		grantee’s employment or consultancy relationship or Board membership to
		have been terminated “for Cause” upon such discovery and
		determination by the Administrator.
	 

	 
		(c) “Affiliate” shall mean
		(i) any entity that, directly or indirectly, is controlled by, controls or
		is under common control with, the Company and (ii) any entity in which the
		Company has a significant equity interest, in either case as determined by the
		Administrator.
	 

	 
		(d) “Subsidiary” shall mean any
		entity in which the Company, directly or indirectly, has a 50% or more equity
		interest.
	 

	 
		(e) “Exercise Price” shall mean
		(i) in the case of options, the price specified in the applicable Award
		Agreement as the price-per-share at which such share can be purchased pursuant
		to the option or (ii) in the case of stock appreciation rights, the price
		specified in the applicable Award Agreement as the reference price-per-share
		used to calculate the amount payable to the grantee.
	 

	 
		(f) “Operating Surplus” shall have
		the meaning ascribed to such term in Appendix A to the Plan.
	 

	 
		 
	 

	 
		 
	 

	 
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		(g) “Subordination Period” shall
		have the meaning ascribed to such term in Appendix A to the Plan.
	 

	 
		(h) “Subordinated Stock” shall
		mean the Company’s subordinated shares of common stock, par value
		$0.01.
	 

	 
		ARTICLE II.
	 

	 
		Awards Under The Plan
	 

	 
			
				
				  2.1. 
				

			 	
				
				  Agreements Evidencing
				  Awards
				

			 

 

	 
		Each Award granted under the Plan shall be
		evidenced by a written certificate (“Award Agreement”), which shall
		contain such provisions as the Administrator may deem necessary or desirable
		and which may, but need not, require execution or acknowledgment by a grantee.
		The Award shall be subject to all of the terms and provisions of the Plan and
		the applicable Award Agreement.
	 

	 
			
				
				  2.2. 
				

			 	
				
				  Grant of Stock Options and Stock
				  Appreciation Rights
				

			 

 

	 
		(a) Stock Option Grants. The Administrator may grant stock options
		(“options”) to purchase shares of Common Stock from the Company to
		such Key Persons, and in such amounts and subject to such vesting and
		forfeiture provisions and other terms and conditions, as the Administrator
		shall determine, subject to the provisions of the Plan. No option will be
		treated as an “incentive stock option” for purposes of the
		Code.
	 

	 
		(b) Stock Appreciation Right Grants; Types of Stock
		Appreciation Rights. The Administrator
		may grant stock appreciation rights to such Key Persons, and in such amounts
		and subject to such vesting and forfeiture provisions and other terms and
		conditions, as the Administrator shall determine, subject to the provisions of
		the Plan. The terms of a stock appreciation right may provide that it shall be
		automatically exercised for a payment upon the happening of a specified event
		that is outside the control of the grantee and that it shall not be otherwise
		exercisable. Stock appreciation rights may be granted in connection with all or
		any part of, or independently of, any option granted under the Plan.
	 

	 
		(c) Nature of Stock Appreciation Rights. The grantee of a stock appreciation right shall have
		the right, subject to the terms of the Plan and the applicable Award Agreement,
		to receive from the Company an amount equal to (i) the excess of the Fair
		Market Value of a share of Common Stock on the date of exercise of the stock
		appreciation right over the Exercise Price of the stock appreciation right,
		multiplied by (ii) the number of shares with respect to which the stock
		appreciation right is exercised. Each Award Agreement with respect to a stock
		appreciation right shall set forth the Exercise Price of such Award and, unless
		otherwise specifically provided in the Award Agreement, the Exercise Price of a
		stock appreciation right shall equal the Fair Market Value of a share of Common
		Stock on the date of grant; provided that in
		no event may such Exercise Price be less than the greater of (A) the Fair
		Market Value of a share of Common Stock on the date of grant and (B) the
		par value of a share of Common Stock. Payment upon exercise of a stock
		appreciation right shall be in cash or in shares of Common Stock (valued at
		their Fair Market Value on the date of exercise of the stock appreciation
		right) or both, all as the Administrator shall determine. Upon the exercise of
		a stock appreciation right granted in connection with an option, the number of
		shares subject to the option shall be reduced 
	 

	 
		 
	 

	 
		 
	 

	 
		7
	 

	 
		 
	 

	 
	 

	 

	 
		by the number of shares with respect to
		which the stock appreciation right is exercised. Upon the exercise of an option
		in connection with which a stock appreciation right has been granted, the
		number of shares subject to the stock appreciation right shall be reduced by
		the number of shares with respect to which the option is exercised.
	 

	 
		(d) Option Exercise Price. Each Award Agreement with respect to an option shall
		set forth the Exercise Price of such Award and, unless otherwise specifically
		provided in the Award Agreement, the Exercise Price of an option shall equal
		the Fair Market Value of a share of Common Stock on the date of grant;
		provided that in no event may such Exercise Price be less than
		the greater of (i) the Fair Market Value of a share of Common Stock on the
		date of grant and (ii) the par value of a share of Common Stock.
	 

	 
			
				
				  2.3. 
				

			 	
				
				  Exercise of Options and Stock
				  Appreciation Rights
				

			 

 

	 
		Subject to the other provisions of this
		Article II and the Plan, each option and stock appreciation right granted
		under the Plan shall be exercisable as follows:
	 

	 
		(a) Timing and Extent of Exercise. Options and stock appreciation rights shall be
		exercisable at such times and under such conditions as determined by the
		Administrator and set forth in the corresponding Award Agreement, but in no
		event shall any portion of such Award be exercisable subsequent to the tenth
		anniversary of the date on which such Award was granted. Unless the applicable
		Award Agreement otherwise provides, an option or stock appreciation right may
		be exercised from time to time as to all or part of the shares as to which such
		Award is then exercisable.
	 

	 
		(b) Notice of Exercise. An option or stock appreciation right shall be
		exercised by the filing of a written notice with the Company or the
		Company’s designated exchange agent (the “Exchange Agent”), on
		such form and in such manner as the Administrator shall prescribe.
	 

	 
		(c) Payment of Exercise Price. Any written notice of exercise of an option shall be
		accompanied by payment for the shares being purchased. Such payment shall be
		made: (i) by certified or official bank check (or the equivalent thereof
		acceptable to the Company or its Exchange Agent) for the full option Exercise
		Price; (ii) with the consent of the Administrator, which consent shall be
		given or withheld in the sole discretion of the Administrator, by delivery of
		shares of Common Stock having a Fair Market Value (determined as of the
		exercise date) equal to all or part of the option Exercise Price and a
		certified or official bank check (or the equivalent thereof acceptable to the
		Company or its Exchange Agent) for any remaining portion of the full option
		Exercise Price; or (iii) at the sole discretion of the Administrator and to the
		extent permitted by law, by such other provision, consistent with the terms of
		the Plan, as the Administrator may from time to time prescribe (whether
		directly or indirectly through the Exchange Agent).
	 

	 
		(d) Delivery of Certificates Upon Exercise. Subject to the provision of Sections 3.2, 3.4
		and 3.13, promptly after receiving payment of the full option Exercise
		Price, or after receiving notice of the exercise of a stock appreciation right
		for which the Administrator determines payment will be made partly or entirely
		in shares, the Company or its Exchange Agent shall (i) deliver to the grantee,
		or to such other person as may then have the right to exercise the Award, a
		certificate or certificates for the shares of Common Stock for which the Award
		has been exercised or, in the case of stock appreciation rights, for which the
		
	 

	 
		 
	 

	 
		 
	 

	 
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		Administrator determines will be made in
		shares or (ii) establish an account evidencing ownership of the stock in
		uncertificated form. If the method of payment employed upon an option exercise
		so requires, and if applicable law permits, an optionee may direct the Company
		or its Exchange Agent, as the case may be, to deliver the stock certificate(s)
		to the optionee’s stockbroker.
	 

	 
		(e) No Stockholder Rights. No grantee of an option or stock appreciation right
		(or other person having the right to exercise such Award) shall have any of the
		rights of a stockholder of the Company with respect to shares subject to such
		Award until the issuance of a stock certificate to such person for such shares.
		Except as otherwise provided in Section 1.5(c), no adjustment shall be
		made for dividends, distributions or other rights (whether ordinary or
		extraordinary, and whether in cash, securities or other property) for which the
		record date is prior to the date such stock certificate is issued.
	 

	 
			
				
				  2.4. 
				

			 	
				
				  Termination of Employment; Death
				  Subsequent to a Termination of Employment
				

			 

 

	 
		(a) General Rule.
		Except to the extent otherwise provided in paragraphs (b), (c), (d), (e)
		or (f) of this Section 2.4 or Section 3.5(b)(iii), a grantee who
		incurs a termination of employment or consultancy relationship or dismissal
		from the Board may exercise any outstanding option or stock appreciation right
		on the following terms and conditions: (i) exercise may be made only to
		the extent that the grantee was entitled to exercise the Award on the date of
		termination of employment or consultancy relationship or dismissal from the
		Board, as applicable; and (ii) exercise must occur within three months
		after termination of employment or consultancy relationship or dismissal from
		the Board but in no event after the original expiration date of the
		Award.
	 

	 
		(b) Dismissal “for Cause”. If a grantee incurs a termination of employment or
		consultancy relationship or dismissal from the Board, in either case “for
		Cause”, all options and stock appreciation rights not theretofore
		exercised shall terminate upon the grantee’s termination of employment or
		consultancy relationship or dismissal from the Board.
	 

	 
		(c) Retirement. If a
		grantee incurs a termination of employment as the result of his or her
		retirement (as defined below), then any outstanding option or stock
		appreciation right shall, to the extent exercisable at the time of such
		retirement, remain exercisable for a period of three years after such
		termination of employment; provided that in
		no event may such option or stock appreciation right be exercised following the
		original expiration date of the Award. For this purpose, “retirement”
		shall mean a grantee’s resignation of employment, with the Company’s
		prior consent, on or after (i) his or her 65th birthday, (ii) the
		date on which he or she has attained age 60 and completed at least five
		years of service with the Company (using any method of calculation the
		Administrator deems appropriate) or (iii) if approved by the
		Administrator, on or after his or her having completed at least 20 years
		of service with the Company (using any method of calculation the Administrator
		deems appropriate).
	 

	 
		(d) Disability. If a
		grantee incurs a termination of employment or a dismissal from the Board by
		reason of a disability (as defined below), then any outstanding option or stock
		appreciation right shall, to the extent exercisable at the time of such
		termination, remain exercisable for a period of one year after such termination
		of employment; provided that in no event may such option or stock appreciation
		right be exercised following the original expiration date of the Award. For
		this purpose, “disability” shall mean any physical or mental
		condition 
	 

	 
		 
	 

	 
		 
	 

	 
		9
	 

	 
		 
	 

	 
	 

	 

	 
		that would qualify the grantee for a
		disability benefit under the long-term disability plan maintained by the
		Company or, if there is no such plan, a physical or mental condition that
		prevents the grantee from performing the essential functions of the
		grantee’s position (with or without reasonable accommodation) for a period
		of six consecutive months. The existence of a disability shall be determined by
		the Administrator.
	 

	 
		(e) Death.
	 

	 
		(i) Termination of Employment as a Result of Grantee’s
		Death. If a grantee incurs a
		termination of employment or leaves the Board as the result of his or her
		death, then any outstanding option or stock appreciation right shall, to the
		extent exercisable at the time of such termination, remain exercisable for a
		period of one year after such termination of employment; provided that in
		no event may such option or stock appreciation right be exercised following the
		original expiration date of the Award.
	 

	 
		(ii) Restrictions on Exercise Following Death. Any such exercise of an Award following a
		grantee’s death shall be made only by the grantee’s executor or
		administrator or other duly appointed representative reasonably acceptable to
		the Administrator, unless the grantee’s will specifically disposes of such
		Award, in which case such exercise shall be made only by the recipient of such
		specific disposition. If a grantee’s personal representative or the
		recipient of a specific disposition under the grantee’s will shall be
		entitled to exercise any Award pursuant to the preceding sentence, such
		representative or recipient shall be bound by all the terms and conditions of
		the Plan and the applicable Award Agreement which would have applied to the
		grantee.
	 

	 
		(f) Administrator Discretion. The Administrator, in the applicable Award Agreement,
		may waive or modify the application of the foregoing provisions of this
		Section 2.4.
	 

	 
			
				
				  2.5. 
				

			 	
				
				  Transferability of Options and
				  Stock Appreciation Rights
				

			 

 

	 
		Except as otherwise provided in an
		applicable Award Agreement evidencing an option or stock appreciation right,
		during the lifetime of a grantee, each such Award granted to a grantee shall be
		exercisable only by the grantee, and no such Award shall be assignable or
		transferable other than by will or by the laws of descent and distribution. The
		Administrator may, in any applicable Award Agreement evidencing an option or
		stock appreciation right, permit a grantee to transfer all or some of the
		options or stock appreciation rights to (a) the grantee’s spouse,
		children or grandchildren (“Immediate Family Members”), (b) a
		trust or trusts for the exclusive benefit of such Immediate Family Members or
		(c) other parties approved by the Administrator. Following any such
		transfer, any transferred options and stock appreciation rights shall continue
		to be subject to the same terms and conditions as were applicable immediately
		prior to the transfer.
	 

	 
			
				
				  2.6. 
				

			 	
				
				  Grant of Restricted
				  Stock
				

			 

 

	 
		(a) Restricted Stock Grants. The Administrator may grant restricted shares of
		Common Stock to such Key Persons, in such amounts and subject to such vesting
		and forfeiture provisions and other terms and conditions as the Administrator
		shall determine, subject to the provisions of the Plan. A grantee of a
		restricted stock Award shall have no rights with respect to such Award unless
		such grantee accepts the Award within such period as the Administrator shall
		specify by accepting delivery of a restricted stock agreement in such form as
		the 
	 

	 
		 
	 

	 
		 
	 

	 
		10
	 

	 
		 
	 

	 
	 

	 

	 
		Administrator shall determine and, in the
		event the restricted shares are newly issued by the Company, makes payment to
		the Company or its Exchange Agent by certified or official bank check (or the
		equivalent thereof acceptable to the Company and the Administrator) in an
		amount at least equal to the par value of the shares covered by the Award
		(which payment may be waived at the time of grant of the restricted stock Award
		to the extent the restricted shares granted hereunder are otherwise deemed to
		be fully paid and non-assessable).
	 

	 
		(b) Issuance of Stock Certificate. Promptly after a grantee accepts a restricted stock
		Award in accordance with Section 2.6(a), subject to Sections 3.2, 3.4 and
		3.13, the Company or its Exchange Agent shall issue to the grantee a stock
		certificate or stock certificates for the shares of Common Stock covered by the
		Award or shall establish an account evidencing ownership of the stock in
		uncertificated form. Upon the issuance of such stock certificates, or
		establishment of such account, the grantee shall have the rights of a
		stockholder with respect to the restricted stock, subject to: (i) the
		nontransferability restrictions and forfeiture provision described in the Plan
		(including paragraphs (d) and (e) of this Section 2.6);
		(ii) in the Administrator’s sole discretion, a requirement, as set
		forth in the Award Agreement, that any dividends paid on such shares shall be
		held in escrow and shall remain forfeitable until all restrictions on such
		shares have lapsed; and (iii) any other restrictions and conditions
		contained in the applicable Award Agreement.
	 

	 
		(c) Custody of Stock Certificate. Unless the Administrator shall otherwise determine,
		any stock certificates issued evidencing shares of restricted stock shall
		remain in the possession of the Company until such shares are free of any
		restrictions specified in the applicable Award Agreement. The Administrator may
		direct that such stock certificates bear a legend setting forth the applicable
		restrictions on transferability. 
	 

	 
		(d) Nontransferability. Shares of restricted stock may not be sold, assigned,
		transferred, pledged or otherwise encumbered or disposed of prior to the
		lapsing of all restrictions thereon, except as otherwise specifically provided
		in this Plan or the applicable Award Agreement. The Administrator at the time
		of grant shall specify the date or dates (which may depend upon or be related
		to the attainment of performance goals and other conditions) on which the
		nontransferability of the restricted stock shall lapse. 
	 

	 
		(e) Consequence of Termination of Employment. A grantee’s termination of employment or
		consultancy relationship or dismissal from the Board for any reason (including
		death) shall cause the immediate forfeiture of all shares of restricted stock
		that have not yet vested as of the date of such termination of employment or
		consultancy relationship or dismissal from the Board. All dividends paid on
		such shares that have not theretofore been directly remitted to the grantee
		shall also be forfeited, whether by termination of any escrow arrangement under
		which such dividends are held or otherwise. The Administrator, in the
		applicable Award Agreement, may waive or modify the application of the
		foregoing provisions of this Section 2.6(e).
	 

	 
			
				
				  2.7. 
				

			 	
				
				  Grant of Restricted Stock
				  Units
				

			 

 

	 
		(a) Restricted Stock Unit Grants. The Administrator may grant restricted stock units to
		such Key Persons, and in such amounts and subject to such vesting and
		forfeiture provisions and other terms and conditions, as the Administrator
		shall determine, subject to the provisions of the Plan. A restricted stock unit
		granted under the Plan shall confer upon the 
	 

	 
		 
	 

	 
		 
	 

	 
		11
	 

	 
		 
	 

	 
	 

	 

	 
		grantee a right to receive from the Company,
		upon the occurrence of such vesting event as shall be determined by the
		Administrator and specified in the Award Agreement, the number of such
		grantee’s restricted stock units that vest upon the occurrence of such
		vesting event multiplied by the Fair Market Value of a share of Common Stock on
		the date of vesting. Payment upon vesting of a restricted stock unit shall be
		in cash or in shares of Common Stock (valued at their Fair Market Value on the
		date of vesting) or both, all as the Administrator shall determine.
	 

	 
		(b) Dividend Equivalents. The Administrator may include in any Award Agreement
		with respect to a restricted stock unit a dividend equivalent right entitling
		the grantee to receive amounts equal to the ordinary dividends that would be
		paid, during the time such Award is outstanding and unvested, on the shares of
		Common Stock underlying such Award if such shares were then outstanding. In the
		event such a provision is included in a Award Agreement, the Administrator
		shall determine whether such payments shall be (i) paid to the holder of
		the Award, as specified in the Award Agreement, either (A) at the same
		time as the underlying dividends are paid, regardless of the fact that the
		restricted stock unit has not theretofore vested, or (B) at the time at
		which the Award’s vesting event occurs, conditioned upon the occurrence of
		the vesting event, (ii) made in cash, shares of Common Stock or other
		property and (iii) subject to such other vesting and forfeiture provisions
		and other terms and conditions as the Administrator shall deem appropriate and
		as set forth in the Award Agreement.
	 

	 
		(c) Consequence of Termination of Employment. A grantee’s termination of employment or
		consultancy relationship or dismissal from the Board for any reason (including
		death) shall cause the immediate forfeiture of all restricted stock units that
		have not yet vested as of the date of such termination of employment or
		consultancy relationship or dismissal from the Board. Any dividend equivalent
		rights that have not theretofore been directly remitted to the grantee shall
		also be forfeited, whether by termination of any escrow arrangement under which
		such dividends are held or otherwise. The Administrator, in the applicable
		Award Agreement, may waive or modify the application of the foregoing
		provisions of this Section 2.7(c).
	 

	 
		(d) No Stockholder Rights. No grantee of a restricted stock unit shall have any
		of the rights of a stockholder of the Company with respect to such Award unless
		and until a stock certificate is issued with respect to such Award upon the
		vesting of such Award (it being understood that the Administrator shall
		determine whether to pay any vested restricted stock unit in the form of cash
		or Company shares or both). Except as otherwise provided in
		Section 1.5(c), no adjustment to any restricted stock unit shall be made
		for dividends, distributions or other rights (whether ordinary or
		extraordinary, and whether in cash, securities or other property) for which the
		record date is prior to the date such stock certificate, if any, is
		issued.
	 

	 
		(e) Transferability of Restricted Stock
		Units. Except as otherwise provided in
		an applicable Award Agreement evidencing a restricted stock unit, no restricted
		stock unit granted under the Plan shall be assignable or transferable. The
		Administrator may, in any applicable Award Agreement evidencing a restricted
		stock unit, permit a grantee to transfer all or some of the restricted stock
		units to (i) the grantee’s Immediate Family Members, (ii) a trust or
		trusts for the exclusive benefit of such Immediate Family Members or (iii)
		other parties approved by the Administrator. Following any such transfer, any
		transferred restricted stock units shall continue to be subject to the same
		terms and conditions as were applicable immediately prior to the
		transfer.
	 

	 
		 
	 

	 
		 
	 

	 
		12
	 

	 
		 
	 

	 
	 

	 

	 
			
				
				  2.8. 
				

			 	
				
				  Grant of Unrestricted
				  Stock
				

			 

 

	 
		The Administrator may grant (or sell at a
		purchase price at least equal to par value) shares of Common Stock free of
		restrictions under the Plan to such Key Persons and in such amounts and subject
		to such forfeiture provisions as the Administrator shall determine. Shares may
		be thus granted or sold in respect of past services or other valid
		consideration.
	 

	 
			
				
				  2.9. 
				

			 	
				
				  Dividend Participation
				  Rights
				

			 

 

	 
		(a) Dividend Participation Rights. The Administrator may grant dividend participation
		units to such Key Persons, and in such amounts and subject to such vesting and
		forfeiture provisions and other terms and conditions, as the Administrator
		shall determine, subject to the provisions of the Plan. Each dividend
		participation right granted under the Plan will confer upon the grantee a right
		to receive payments from the Company, with respect to each dividend
		participation right then vested and outstanding, in relation to dividends paid
		by the Company to holders of Common Stock and/or Subordinated Stock from the
		Operating Surplus of the Company. The terms and conditions of the dividend
		participation right award shall be determined by the Administrator and
		specified in the Award Agreement, including the types of dividends with respect
		to which payment under the award shall be made (provided such dividend must be
		from the Operating Surplus of the Company), the percentage of such dividends to
		which payment under the award shall be made, any conditional requirements for
		(e.g., performance goals or levels of dividends), or
		other terms or conditions of, payment of such amounts. Unless otherwise
		specified by the Administrator in the Award Agreement, payments under this
		Section 2.9 shall be in cash or in shares of Common Stock (valued at their
		Fair Market Value on the date of payment) or both, all as the Administrator
		shall determine.
	 

	 
		(b) Consequence of Termination of Employment. A grantee’s termination of employment or
		consultancy relationship or dismissal from the Board for any reason (including
		death) shall cause the immediate forfeiture of all dividend participation
		rights outstanding as of the date of such termination of employment or
		consultancy relationship or dismissal from the Board. The Administrator, in the
		applicable Award Agreement, may waive or modify the application of the
		foregoing provisions of this Section 2.9(b).
	 

	 
		(c) No Stockholder Rights. No grantee of a dividend participant unit shall have
		any of the rights of a stockholder of the Company. Except as otherwise provided
		in Section 1.5(c), no adjustment to any dividend participant unit shall be
		made for dividends, distributions or other rights (whether ordinary or
		extraordinary, and whether in cash, securities or other property).
	 

	 
		(d) Transferability of Dividend Participation
		Rights. Except as otherwise provided in
		an applicable Award Agreement evidencing a dividend participant unit, no
		dividend participant unit granted under the Plan shall be assignable or
		transferable. The Administrator may, in any applicable Award Agreement
		evidencing a dividend participant unit, permit a grantee to transfer all or
		some of the dividend participant units to (i) the grantee’s Immediate
		Family Members, (ii) a trust or trusts for the exclusive benefit of such
		Immediate Family Members or (iii) other parties approved by the Administrator.
		Following any such transfer, any transferred dividend participant units shall
		continue to be subject to the same terms and conditions as were applicable
		immediately prior to the transfer.
	 

	 
		 
	 

	 
		 
	 

	 
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		ARTICLE III.
	 

	 
		Miscellaneous
	 

	 
			
				
				  3.1. 
				

			 	
				
				  Amendment of the Plan;
				  Modification of Awards
				

			 

 

	 
		(a) Amendment of the Plan. The Board may from time to time suspend, discontinue,
		revise or amend the Plan in any respect whatsoever, except that no such
		amendment shall materially impair any rights or materially increase any
		obligations under any Award theretofore made under the Plan without the consent
		of the grantee (or, upon the grantee’s death, the person having the right
		to exercise the Award). For purposes of this Section 3.1, any action of
		the Board or the Administrator that in any way alters or affects the tax
		treatment of any Award shall not be considered to materially impair any rights
		of any grantee.
	 

	 
		(b) Stockholder Approval Requirement. The Company shall obtain stockholder approval with
		respect to any amendment to the Plan that (i) materially increases the
		benefits under the Plan to persons whose transactions in Common Stock are
		subject to Section 16(b) of the 1934 Act, (ii) increases the number
		of shares which may be issued under the Plan (except as permitted pursuant to
		Section 1.5(c)), (iii) has the effect of a “re-pricing” of
		any outstanding Award or (iv) modifies the eligibility requirements of
		persons eligible to receive Awards under the Plan. 
	 

	 
		(c) Modification of Awards. The Administrator may cancel any Award under the Plan.
		The Administrator also may amend any outstanding Award Agreement, including,
		without limitation, by amendment which would: (i) accelerate the time or
		times at which the Award becomes unrestricted, vested or may be exercised;
		(ii) waive or amend any goals, restrictions or conditions set forth in the
		Award Agreement; or (iii) waive or amend the operation of Section 2.4
		with respect to the termination of the Award upon termination of employment or
		consultancy relationship or dismissal from the Board. However, any such
		cancellation or amendment that materially impairs the rights or materially
		increases the obligations of a grantee under an outstanding Award shall be made
		only with the consent of the grantee (or, upon the grantee’s death, the
		person having the right to exercise the Award). In making any modification to
		an Award, the Administrator may consider the implications under
		Section 409A of the Code of such modification.
	 

	 
			
				
				  3.2. 
				

			 	
				
				  Consent Requirement
				

			 

 

	 
		(a) No Plan Action Without Required Consent. If the Administrator shall at any time determine that
		any Consent (as defined below) is necessary or desirable as a condition of, or
		in connection with, the granting of any Award under the Plan, the issuance or
		purchase of shares or other rights thereunder, or the taking of any other
		action thereunder (each such action being hereinafter referred to as a
		“Plan Action”), then such Plan Action shall not be taken, in whole or
		in part, unless and until such Consent shall have been effected or obtained to
		the full satisfaction of the Administrator.
	 

	 
		(b) Consent Defined.
		The term “Consent” as used herein with respect to any Plan Action
		means (i) any and all listings, registrations or qualifications in respect
		thereof upon any securities exchange or under any federal, state or local law,
		rule or regulation, (ii) any and all written agreements and
		representations by the grantee with respect to the disposition of shares, or
		with respect to any other matter, which the Administrator shall deem necessary
		or desirable to 
	 

	 
		 
	 

	 
		 
	 

	 
		14
	 

	 
		 
	 

	 
	 

	 

	 
		comply with the terms of any such listing,
		registration or qualification or to obtain an exemption from the requirement
		that any such listing, qualification or registration be made and (iii) any
		and all consents, clearances and approvals in respect of a Plan Action by any
		governmental or other regulatory bodies.
	 

	 
			
				
				  3.3. 
				

			 	
				
				  Nonassignability
				

			 

 

	 
		Except as provided in Sections 2.4(e),
		2.5, 2.6(d), 2.7(e) or 2.9(d),
		(a) no Award or right granted
		to any person under the Plan or under any Award Agreement shall be assignable
		or transferable other than by will or by the laws of descent and distribution
		and (b) all rights granted under the Plan or any Award Agreement shall be
		exercisable during the life of the grantee only by the grantee or the
		grantee’s legal representative or the grantee’s permissible
		successors or assigns (as authorized and determined by the Administrator). All
		terms and conditions of the Plan and the applicable Award Agreements will be
		binding upon any permitted successors or assigns.
	 

	 
			
				
				  3.4. 
				

			 	
				
				  Taxes
				

			 

 

	 
		(a) Withholding. A
		grantee or other Award holder under the Plan shall be required to pay, in cash,
		to the Company, and the Company and Affiliates shall have the right and are
		hereby authorized to withhold from any Award, from any payment due or transfer
		made under any Award or under the Plan or from any compensation or other amount
		owing to such grantee or other Award holder, the amount of any applicable
		withholding taxes in respect of an Award, its grant, its exercise, its vesting,
		or any payment or transfer under an Award or under the Plan, and to take such
		other action as may be necessary in the opinion of the Company to satisfy all
		obligations for payment of such taxes. Whenever shares of Common Stock are to
		be delivered pursuant to an Award under the Plan, with the approval of the
		Administrator, which the Administrator shall have sole discretion whether or
		not to give, the grantee may satisfy the foregoing condition by electing to
		have the Company withhold from delivery shares having a value equal to the
		amount of minimum tax required to be withheld. Such shares shall be valued at
		their Fair Market Value as of the date on which the amount of tax to be
		withheld is determined. Fractional share amounts shall be settled in cash. Such
		a withholding election may be made with respect to all or any portion of the
		shares to be delivered pursuant to an Award.
	 

	 
		(b) Liability for Taxes. Grantees and holders of Awards are solely responsible
		and liable for the satisfaction of all taxes and penalties that may arise in
		connection with Awards (including, without limitation, any taxes arising under
		Section 409A of the Code), and the Company shall not have any obligation
		to indemnify or otherwise hold any such person harmless from any or all of such
		taxes. The Administrator shall have the discretion to organize any deferral
		program, to require deferral election forms, and to grant or to unilaterally
		modify any Award in a manner that (i) conforms with the requirements of
		Section 409A of the Code, (ii) voids any participant election to the
		extent it would violate Section 409A of the Code and (iii) for any
		distribution event or election that could be expected to violate
		Section 409A of the Code, make the distribution only upon the earliest of
		the first to occur of a “permissible distribution event” within the
		meaning of Section 409A of the Code or a distribution event that the
		participant elects in accordance with Section 409A of the Code. The
		Administrator shall have the sole discretion to interpret the requirements of
		the Code, including, without limitation, Section 409A, for purposes of the
		Plan and all Awards.
	 

	 
		 
	 

	 
		 
	 

	 
		15
	 

	 
		 
	 

	 
	 

	 

	 
			
				
				  3.5. 
				

			 	
				
				  Change in Control
				

			 

 

	 
		(a) Change in Control Defined. For purposes of the Plan, “Change in
		Control” shall mean the occurrence of any of the following:
	 

	 
		(i) any “person” (as defined in
		Section 13(d)(3) of the 1934 Act), corporation or other entity (other
		than (A) the Company, (B) any trustee or other fiduciary holding
		securities under an employee benefit plan of the Company or an Affiliate, or
		(C) any company or other entity owned, directly or indirectly, by the
		holders of the voting stock of the Company in substantially the same
		proportions as their ownership of the aggregate voting power of the capital
		stock ordinarily entitled to elect directors of the Company acquires
		“beneficial ownership” (as defined in Rule 13d-3 under the
		1934 Act), directly or indirectly, of more than 50% of the aggregate
		voting power of the capital stock ordinarily entitled to elect directors of the
		Company;
	 

	 
		(ii) the sale of all or substantially all
		the Company’s assets in one or more related transactions to a person or
		group of persons, other than such a sale (A) to a Subsidiary which does
		not involve a change in the equity holdings of the Company, or (B) to an
		entity which has acquired all or substantially all the Company’s assets
		(any such entity described in clause (A) or (B), the “Acquiring
		Entity”) if, immediately following such sale, 50% or more of the aggregate
		voting power of the capital stock ordinarily entitled to elect directors of the
		Acquiring Entity (or, if applicable, the ultimate parent entity that directly
		or indirectly has beneficial ownership of more than 50% of the aggregate voting
		power of the capital stock ordinarily entitled to elect directors of the
		Acquiring Entity) is beneficially owned by the holders of the voting stock of
		the Company, and such voting power among the persons who were holders of the
		voting stock of the Company immediately prior to such sale is, immediately
		following such sale, held in substantially the same proportions as the
		aggregate voting power of the capital stock ordinarily entitled to elect
		directors of the Company immediately prior to such sale;
	 

	 
		(iii) any merger, consolidation,
		reorganization or similar event of the Company or any Subsidiary as a result of
		which the holders of the voting stock of the Company immediately prior to such
		merger, consolidation, reorganization or similar event do not directly or
		indirectly hold 50% or more of the aggregate voting power of the capital stock
		of the surviving entity (or, if applicable, the ultimate parent entity that
		directly or indirectly has beneficial ownership of more than 50% of the
		aggregate voting power of the capital stock ordinarily entitled to elect
		directors of the surviving entity) and such voting power among the persons who
		were holders of the voting stock of the Company immediately prior to such sale
		is, immediately following such sale, held in substantially the same proportions
		as the aggregate voting power of the capital stock ordinarily entitled to elect
		directors of the Company immediately prior to such sale;
	 

	 
		(iv) the approval by the Company’s
		stockholders of a plan of complete liquidation or dissolution of the Company;
		or
	 

	 
		(v) during any period of 12 consecutive
		calendar months, individuals:
	 

	 
			
				
				   
				

			 	
				
				  (A)
				

			 	
				
				  who were directors of the Company on
				  the first day of such period, or
				

			 

 

	 
		 
	 

	 
		 
	 

	 
		16
	 

	 
		 
	 

	 
	 

	 

	 
			
				
				   
				

			 	
				
				  (B)
				

			 	
				
				  whose election or nomination for
				  election to the Board was recommended or approved by at least a majority of the
				  directors then still in office who were directors of the Company on the first
				  day of such period, or whose election or nomination for election were so
				  approved,
				

			 

 

	 
		shall cease to constitute a majority of the
		Board;
	 

	 
		provided, however, that
		(1) in no event shall a Change in Control be deemed to have occurred in
		connection with an initial public offering of Common Stock, and
		(2) notwithstanding the foregoing, for each Award subject to
		Section 409A of the Code, a Change in Control shall be deemed to occur
		under this Plan with respect to such Award only if a change in the ownership or
		effective control of the Company or a change in the ownership of a substantial
		portion of the assets of the Company shall also be deemed to have occurred
		under Section 409A of the Code, provided that
		this clause (2) shall apply to such Award only to the extent necessary to
		avoid adverse tax effects under Section 409A of the Code.
	 

	 
		(b) Effect of a Change in Control. Unless the Administrator provides otherwise in a Award
		Agreement, upon the occurrence of a Change in Control:
	 

	 
		(i) notwithstanding any other provision of
		this Plan, any Award then outstanding shall become fully vested and any Award
		in the form of an option or stock appreciation right shall be immediately
		exercisable;
	 

	 
		(ii) to the extent permitted by law and not
		otherwise limited by the terms of the Plan, the Administrator may amend any
		Award Agreement in such manner as it deems appropriate;
	 

	 
		(iii) a grantee who incurs a termination of
		employment or consultancy relationship or dismissal from the Board for any
		reason, other than a termination or dismissal “for Cause”, concurrent
		with or within one year following the Change in Control may exercise any
		outstanding option or stock appreciation right, but only to the extent that the
		grantee was entitled to exercise the Award on the date of his or her
		termination of employment or consultancy relationship or dismissal from the
		Board, until the earlier of (A) the original expiration date of the Award
		and (B) the later of (x) the date provided for under the terms of
		Section 2.4 without reference to this Section 3.5(b)(iii) and
		(y) the first anniversary of the grantee’s termination of employment
		or consultancy relationship or dismissal from the Board.
	 

	 
		(c) Miscellaneous.
		Whenever deemed appropriate by the Administrator, any action referred to in
		paragraph (b)(ii) of this Section 3.5 may be made conditional upon
		the consummation of the applicable Change in Control transaction.
	 

	 
			
				
				  3.6. 
				

			 	
				
				  Operation and Conduct of
				  Business
				

			 

 

	 
		Nothing in the Plan or any Award Agreement
		shall be construed as limiting or preventing the Company or any Affiliate from
		taking any action with respect to the operation and conduct of their business
		that they deem appropriate or in their best interests, including any or all
		adjustments, recapitalizations, reorganizations, exchanges or other changes in
		the capital structure of the Company or any Affiliate, any merger or
		consolidation of the Company or any 
	 

	 
		 
	 

	 
		 
	 

	 
		17
	 

	 
		 
	 

	 
	 

	 

	 
		Affiliate, any issuance of Company shares or
		other securities or subscription rights, any issuance of bonds, debentures,
		preferred or prior preference stock ahead of or affecting the Common Stock or
		other securities or rights thereof, any dissolution or liquidation of the
		Company or any Affiliate, any sale or transfer of all or any part of the assets
		or business of the Company or any Affiliate, or any other corporate act or
		proceeding, whether of a similar character or otherwise.
	 

	 
			
				
				  3.7. 
				

			 	
				
				  No Rights to Awards
				

			 

 

	 
		No Key Person or other person shall have any
		claim to be granted any Award under the Plan.
	 

	 
			
				
				  3.8. 
				

			 	
				
				  Right of Discharge
				  Reserved
				

			 

 

	 
		Nothing in the Plan or in any Award
		Agreement shall confer upon any grantee the right to continue his or her
		employment with the Company or any of its Subsidiaries, his or her consultancy
		relationship with the Company or any of its Subsidiaries or his or her position
		as a director of the Company or any of its Subsidiaries or affect any right
		that the Company or any of its Subsidiaries may have to terminate such
		employment or consultancy relationship or service as a director.
	 

	 
			
				
				  3.9. 
				

			 	
				
				  Non-Uniform
				  Determinations
				

			 

 

	 
		The Administrator’s determinations and
		the treatment of Key Persons and grantees and their beneficiaries under the
		Plan need not be uniform and may be made and determined by the Administrator
		selectively among persons who receive, or who are eligible to receive, Awards
		under the Plan (whether or not such persons are similarly situated). Without
		limiting the generality of the foregoing, the Administrator shall be entitled,
		among other things, to make non-uniform and selective determinations, and to
		enter into non-uniform and selective Award Agreements, as to (a) the
		persons to receive Awards under the Plan, (b) the types of Awards granted
		under the Plan, (c) the number of shares to be covered by, or with respect
		to which payments, rights or other matters are to be calculated with respect
		to, Awards and (d) the terms and conditions of Awards.
	 

	 
			
				
				  3.10. 
				

			 	
				
				  Other Payments or
				  Awards
				

			 

 

	 
		Nothing contained in the Plan shall be
		deemed in any way to limit or restrict the Company from making any award or
		payment to any person under any other plan, arrangement or understanding,
		whether now existing or hereafter in effect.
	 

	 
			
				
				  3.11. 
				

			 	
				
				  Headings
				

			 

 

	 
		Any section, subsection, paragraph or other
		subdivision headings contained herein are for the purpose of convenience only
		and are not intended to expand, limit or otherwise define the contents of such
		subdivisions.
	 

	 
			
				
				  3.12. 
				

			 	
				
				  Effective Date and Term of
				  Plan
				

			 

 

	 
		(a) Adoption; Stockholder Approval. The Plan was adopted by the Board and approved by the
		Company’s stockholders on April 18, 2007. The Board
		may, but need not, make the granting of any Awards under the Plan subject to
		the approval of the Company’s stockholders.
	 

	 
		 
	 

	 
		 
	 

	 
		18
	 

	 
		 
	 

	 
	 

	 

	 
		(b) Termination of Plan. The Board may terminate the Plan at any time. All
		Awards made under the Plan prior to its termination shall remain in effect
		until such Awards have been satisfied or terminated in accordance with the
		terms and provisions of the Plan and the applicable Award Agreements. No Awards
		may be granted under the Plan following the tenth anniversary of the date on
		which the Plan was adopted by the Board.
	 

	 
			
				
				  3.13. 
				

			 	
				
				  Restriction on Issuance of Stock
				  Pursuant to Awards
				

			 

 

	 
		The Company shall not permit any shares of
		Common Stock to be issued pursuant to Awards granted under the Plan unless such
		shares of Common Stock are fully paid and non-assessable under applicable law.
		Notwithstanding anything to the contrary in the Plan or any Award Agreement, at
		the time of the exercise of any Award, at the time of vesting of any Award or
		at the time of grant of any unrestricted shares under the Plan, the Company and
		the Administrator may, if either shall deem it necessary or advisable for any
		reason, require the holder of an Award (a) to represent in writing to the
		Company that it is the Award holder’s then-intention to acquire the shares
		with respect to which the Award is granted for investment and not with a view
		to the distribution thereof or (b) to postpone the date of exercise until
		such time as the Company has available for delivery to the Award holder a
		prospectus meeting the requirements of all applicable securities laws; and no
		shares shall be issued or transferred in connection with any
		Award unless and until all legal requirements applicable to the issuance or
		transfer of such shares have been complied with to the satisfaction of the
		Company and the Administrator. The Company and the Administrator shall have the
		right to condition any issuance of shares to any Award holder hereunder on such
		person’s undertaking in writing to comply with such restrictions on the
		subsequent transfer of such shares as the Company or the Administrator shall
		deem necessary or advisable as a result of any applicable law, regulation or
		official interpretation thereof, and all share certificates delivered under the
		Plan shall be subject to such stop transfer orders and other restrictions as
		the Company or the Administrator may deem advisable under the Plan, the
		applicable Award Agreement or the rules, regulations and other requirements of
		the SEC, any stock exchange upon which such shares are listed, and any
		applicable securities or other laws, and certificates representing such shares
		may contain a legend to reflect any such restrictions. The Administrator may
		refuse to issue or transfer any shares or other consideration under an Award if
		it determines that the issuance or transfer of such shares or other
		consideration might violate any applicable law or regulation or entitle the
		Company to recover the same under Section 16(b) of the 1934 Act, and
		any payment tendered to the Company by a grantee or other Award holder in
		connection with the exercise of such Award shall be promptly refunded to the
		relevant grantee or other Award holder. Without limiting the generality of the
		foregoing, no Award granted under the Plan shall be construed as an offer to
		sell securities of the Company, and no such offer shall be outstanding, unless
		and until the Administrator has determined that any such offer, if made, would
		be in compliance with all applicable requirements of any applicable securities
		laws.
	 

	 
			
				
				  3.14. 
				

			 	
				
				  Requirement of Notification of
				  Election Under Section 83(b) of
				  the Code
				

			 

 

	 
		If an Award recipient, in connection with
		the acquisition of Company shares under the Plan, makes an election under
		Section 83(b) of the Code (to include in gross income in the year of
		transfer the amounts specified in Section 83(b) of the Code), the grantee
		shall notify the Administrator of such election within ten days of filing
		notice of the election with the U.S. Internal Revenue Service, in addition
		to any filing and notification required pursuant to regulations issued under
		Section 83(b) of the Code.
	 

	 
		 
	 

	 
		 
	 

	 
		19
	 

	 
		 
	 

	 
	 

	 

	 
			
				
				  3.15. 
				

			 	
				
				  Severability
				

			 

 

	 
		If any provision of the Plan or any Award is
		or becomes or is deemed to be invalid, illegal, or unenforceable in any
		jurisdiction or as to any person or Award, or would disqualify the Plan or any
		Award under any law deemed applicable by the Administrator, such provision
		shall be construed or deemed amended to conform to the applicable laws or, if
		it cannot be construed or deemed amended without, in the determination of the
		Administrator, materially altering the intent of the Plan or the Award, such
		provision shall be stricken as to such jurisdiction, person or Award and the
		remainder of the Plan and any such Award shall remain in full force and
		effect.
	 

	 
			
				
				  3.16. 
				

			 	
				
				  Governing Law
				

			 

 

	 
		The Plan will be construed and administered
		in accordance with the laws of the State of New York, without giving effect to
		principles of conflict of laws.
	 

	 
		 
	 

	 
		 
	 

	 
		20
	 

	 
		 
	 

	 
	 

	 

	 
		APPENDIX A
	 

	 
		 
	 

	 
		SUPPLEMENTARY DEFINITIONS
	 

	 
		Operating Surplus
	 

	 
		Operating surplus means the greater of zero
		and the amount equal to:
	 

	 
			
				
				   
				

			 	
				
				  •
				

			 	
				
				  $5.0 million (which may be increased
				  to $10.0 million as described below); plus
				

			 

 

	 
			
				
				   
				

			 	
				
				  •
				

			 	
				
				  all of the Company’s cash
				  receipts after the completion of the offering, excluding cash receipts
				  from
				

			 

 

	 
			
				
				   
				

			 	
				
				  (1)
				

			 	
				
				  borrowings, 
				

			 

 

	 
			
				
				   
				

			 	
				
				  (2)
				

			 	
				
				  sales of equity and debt securities,
				  
				

			 

 

	 
			
				
				   
				

			 	
				
				  (3)
				

			 	
				
				  capital contributions,
				

			 

 

	 
			
				
				   
				

			 	
				
				  (4)
				

			 	
				
				  corporate reorganizations or
				  restructurings,
				

			 

 

	 
			
				
				   
				

			 	
				
				  (5)
				

			 	
				
				  the termination of interest rate
				  swap agreements,
				

			 

 

	 
			
				
				   
				

			 	
				
				  (6)
				

			 	
				
				  sales or other dispositions of
				  vessels (except to the extent the proceeds from such dispositions exceed the
				  initial purchase price or contributed value of the vessel subject to the
				  disposition, which excess amount shall be treated as operating surplus),
				  and
				

			 

 

	 
			
				
				   
				

			 	
				
				  (7)
				

			 	
				
				  sales or other dispositions of other
				  assets other than in the normal course of business; plus
				

			 

 

	 
			
				
				   
				

			 	
				
				  •
				

			 	
				
				  interest paid on debt incurred and
				  cash dividends paid on equity securities issued by the Company, in each case,
				  to finance all or any portion of the construction, replacement or improvement
				  of a capital asset such as vessels during the period from such financing until
				  the earlier to occur of the date the capital asset is put into service or the
				  date that it is abandoned or disposed of; plus
				

			 

 

	 
			
				
				   
				

			 	
				
				  •
				

			 	
				
				  interest paid on debt incurred and
				  cash dividends paid on the Company’s equity securities issued by the
				  Company, in each case, to pay the construction period interest on debt
				  incurred, or to pay construction period dividends on the Company’s equity
				  issued, to finance the construction projects described in the immediately
				  preceding bullet; less 
				

			 

 

	 
			
				
				   
				

			 	
				
				  •
				

			 	
				
				  all of the Company’s cash
				  expenditures after the completion of the offering, including, but not limited
				  to operating expenses, interest payments and taxes, but not (1) the repayment
				  of borrowings, (2) the repurchase of debt and equity securities, (3) interest
				  rate swap termination costs, (4) expenses and taxes related to borrowings,
				  sales of equity and debt securities, capital contributions, corporate
				  reorganizations or restructurings, the termination of interest rate swap
				  agreements, sales or other dispositions of vessels, and sales or dispositions
				  of other assets other than in the normal course of business, (5) capital
				  expenditures and (6) payment of dividends, such expenditures are hereinafter
				  referred to as Operating Expenditures; less
				

			 

 

	 
			
				
				   
				

			 	
				
				  •
				

			 	
				
				  cash capital expenditures incurred
				  after the completion of the Company’s initial public offering to maintain
				  the Company’s vessels and other assets including dry-docking, replacement
				  of equipment on the vessels, repairs and similar expenditures, but excluding
				  capital expenditures for or related to the acquisition of additional vessels,
				  and including capital expenditures for replacement of a vessel as a result of
				  damage or loss prior to normal retirement, net of any insurance proceeds,
				  warranty 
				

			 

 

	 
		 
	 

	 
		 
	 

	 
		21
	 

	 
		 
	 

	 
	 

	 

	 
		payments or similar property not treated as
		cash receipts for this purpose, such capital expenditures are hereinafter
		referred to as Maintenance Capital Expenditures; less
	 

	 
			
				
				   
				

			 	
				
				  •
				

			 	
				
				  the amount of cash reserves
				  established by the board for future (1) Operating Expenditures and (2)
				  Maintenance Capital Expenditures.
				

			 

 

	 
		Subordination Period
	 

	 
		The subordination period will commence upon
		the date of the completion of the Company’s initial public offering.
		Shares of Subordinated Stock will convert into shares of Class A Common Stock
		on a one-for-one basis if each of the following tests is met on the schedule
		specified below:
	 

	 
			
				
				   
				

			 	
				
				  (1)
				

			 	
				
				  The Company has paid quarterly
				  dividends in an amount at least equal to $0.5125 per share on both the Class A
				  Common Stock and shares of Subordinated Stock for the immediately preceding
				  four-quarter period;
				

			 

 

	 
			
				
				   
				

			 	
				
				  (2)
				

			 	
				
				  operating surplus available to pay
				  the dividends during the four-quarter period referred to above equaled on a
				  quarterly basis at least $0.5125 per share on all of the outstanding Class A
				  Common Stock and Subordinated Stock on a fully diluted basis during that
				  period; and 
				

			 

 

	 
			
				
				   
				

			 	
				
				  (3)
				

			 	
				
				  there are no unpaid arrearages in
				  payment of the quarterly dividend on the Class A Common Stock.
				

			 

 

	 
		The tests set forth in sub-paragraphs (A)
		through (C) above are referred to herein as the “Basic Conversion
		Tests.” The shares of Subordinated Stock shall convert into Class A Common
		Stock on a one-for-one basis on the following schedule: 
	 

	 
		(1) The first day after March 31, 2010 on
		which the Basic Conversion Tests are met, such number of shares of Subordinated
		Stock equal to 25% of the shares of Subordinated Stock outstanding immediately
		after the initial public offering shall convert into Class A Common Stock on a
		one for one basis (the “First Early Conversion”). 
	 

	 
		(2) The first day after March 31, 2011 on
		which the Basic Conversion Tests are met, such number of shares of Subordinated
		Stock equal to a an additional 25% of the shares of Subordinated Stock
		outstanding immediately after the initial public offering shall convert into
		Class A Common Stock on a one for one basis (the “Second Early
		Conversion”); provided
		that, the Second Early Conversion shall
		not occur prior to the first anniversary of the First Early Conversion.
	 

	 
		(3) The first day after March 31, 2012 on
		which the Basic Conversion Tests are met, all outstanding shares of
		Subordinated Stock shall convert into Class A Common Stock on a one-for-one
		basis. 
	 

	 
		Notwithstanding the above, the Subordination
		Period shall end immediately and all arrearages shall be cancelled upon a
		Change of Control of the Corporation, as defined in the Amended and Restated
		Articles of Incorporation.
	 

	 
		 
	 

	 
		 
	 

	 
		22

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