Document:

Exhibit No. 10.93

 

RUSS BERRIE AND COMPANY, INC.

INCENTIVE COMPENSATION (“IC”) PROGRAM

 

I.                                         PURPOSE
AND PHILOSOPHY OF THE IC PROGRAM

 

The IC
Program has been established to provide designated associates of Russ Berrie
and Company, Inc. (the “Company”) and its subsidiaries with an
opportunity, each year that this IC Program is in effect, to earn substantial
cash remuneration based on (i) the attainment of specified operating
objectives by the Company (or specified divisions thereof), (ii) fulfillment
of specified individual goals and objectives established for each participating
associate, and (iii) fulfillment of (x) specified individual initiatives
established for each eligible associate and (y) initiatives to be mutually
agreed upon between such associate and his/her direct supervisor.  Thus, the IC Program provides a framework in
which eligible associates can achieve significant incentive compensation based
not only upon the Company achieving its financial corporate objectives,
but also based upon recognition of and rewards for achieving individual
goals and objectives and individual initiatives. In addition, the IC
Program seeks to, among other things, (1) more closely align associates’
interests with those of shareholders, (2) reward associates for contributing
to the short and long-term growth of the business, (3) provide associates
with a more meaningful role in the attainment of maximum compensation levels, (4) provide
a competitive platform for compensation vis-à-vis the marketplace, and (5) serve
as a recruitment and retention tool.

 

II.                                     ASSOCIATES ELIGIBLE FOR PARTICIPATION;

LEVEL OF IC ELIGIBLITY

 

Eligibility

 

Individuals from specified participant groups (“Participant
Groups”) selected on an annual basis by the CEO in his sole discretion and in
consultation with the heads of business units and certain senior executives of
his choice, in each case as approved by the Compensation Committee of the Board
of Directors of the Company (the “Comp Committee”).  Eligible individuals will generally have the
rank of vice president or above, but titles will not be determinative.  Participant Groups currently consist of the
following:

 

A.                                    Corporate
Participants:  Individuals whose
responsibilities are not limited to a particular business unit of the Company.

 

B.                                    Gift
U.S.A. Participants:  Individuals who
operate primarily in the Company’s core U.S.A. gift business.

 

 

C.                                    International
Participants:   Individuals who
operate primarily in either the Company’s core or non-core international
business.

 

D.                                    Sassy
Participants:  Individuals who
operate primarily in the Company’s Sassy business; provided that individuals party to employment agreements
with Sassy will not be eligible to participate in this IC Program.

 

E.                                      Kids
Line Participants: Individuals who operate primarily in the Company’s Kid’s
Line business; provided that
individuals party to employment agreements with Kids Line will not be eligible
to participate in this IC Program.

 

All decisions with respect to eligibility to participate in the IC
Program, definition of Participant Groups and categorization in a particular
Participant Group shall be final and binding on all associates of the Company.

 

Applicable Percentage

 

Members of each Participant Group will be eligible
to participate in the IC Program at specified IC Percentages Ranges (expressed
as a percent of annual base salary at the time payout is determined).  The IC Percentage Ranges for each Participant
Group will be determined on an annual basis by the CEO and approved by the Comp
Committee.  The particular IC Percentage
of a participant within the applicable IC Percentage Range (such participant’s “Applicable
Percentage”) will be determined on an annual basis by the CEO in his sole
discretion, in each case as approved by the Comp Committee.  Each Participant’s Applicable Percentage for
the subsequent year (and whether an associate has been selected to participate
in the IC Program for such year) shall be communicated to such participant
during his/her year-end performance appraisal. 
All decisions with respect to IC Percentage Ranges and the determination
of Applicable Percentages shall be final and binding on all participants.

 

III.                                 COMPOSITION OF INCENTIVE COMPENSATION

 

Each
participant’s annual base salary multiplied by such participant’s Applicable
Percentage (as described above) shall equal a number (the “IC Factor”) that
will be used to determine such participant’s total incentive compensation
earned for the relevant year (the “Earned IC Amount”).

 

Each participant’s Earned IC Amount will be
comprised of three separate components (described in detail in Section IV
below).  Each component may entitle a
participant to earn a specified percentage of the IC Factor, summarized as
follows:

 

•                                          Part A
Component:  From 0% to
100% of a participant’s IC Factor can be earned in the event that the Company
(in the case of Corporate Participants) or specified business units (in the
case of all other Participant Groups) achieves the specified levels of
performance measurements set forth on Exhibit A, which exhibit will be
amended each year.

 

2

 

•                                          Part B
Component:  From 0% to
30% of a participant’s IC Factor can be earned in the event of achievement by
such participant of his/her individual goals and objectives.

 

•                                          Part C
Component:  From 0% to
20% of a participant’s IC Factor can be earned in the event of achievement by
such participant of his/her individual initiatives.

 

IV.                                CALCULATION OF EARNED IC AMOUNTS

 

A participant’s total Earned IC Amount is calculated
as follows:

 

•                                          Establishing
Corporate Objectives for the Part A Component:

 

Corporate
objectives for each Participant Group will consist of three separate levels of
achievement (“Targets”) with respect to one or several specified measures of
operating performance each year, such as operating income, EBITDA, etc. (the “Chosen
Metric”).  Both the Chosen Metric and the
Targets required will be determined by the CEO on an annual basis, as approved
by the Comp Committee.  There is no
requirement that the Targets be based on or refer to budgeted levels of
operating performance, or to any other plan or projection with respect to the
Company’s business.

 

The
Targets will consist of the following: (i) a specified minimum level of
achievement in the Chosen Metric required to earn a specified amount of IC
compensation (the “Minimum Target”), (ii) a specified level of achievement
in the Chosen Metric in excess of the Minimum Target (the “Target”), and (iii) a
specified level of achievement in the Chosen Metric in excess of the Target
(the “Maximum Target”).  Note that (i) the
Chosen Metric may change from year to year, e.g., operating income in one year
and EBITDA in another, (ii) different measurements may be used for
different Participant Groups within the same year, e.g., operating income for
Corporate Participants and EBITDA for Sassy Participants, and (iii) the
Targets will change each year).  The
Targets will be based on consolidated Company performance in the case of
Corporate Participants and will be based on the performance of the relevant
business unit in the case of all other Participant Groups.  All determinations with respect to (i) the
Chosen Metrics, (ii) the applicable Targets and (iii) whether and/or
to what extent the Company (or the relevant business unit) has achieved the
applicable Targets shall be final and binding on all participants in the IC
Program.

 

The
Chosen Metrics and Targets for each Participant Group for each year will be set
forth on Exhibit A hereto.  Exhibit A
will be amended each year (and such amendment will be distributed to associates
designated to participate in the IC Program for such year during such associate’s
year-end performance appraisal)

 

3

 

and will reflect (x) the Chosen Metrics for such year
and (y) the Targets required in the applicable Chosen Metric for each
Participating Group for such year.  With
respect to the International Participant Group, different Targets may be set
for participants in the Company’s operations in Canada, Australia and Europe.

 

•                                          Calculating the
Part A Component:

 

For all
participants, 50% of such participant’s IC Factor shall be referred to herein
as the “Part A Amount”.  If the Company, or the relevant business
unit, as applicable, achieves the Minimum Target, then an amount equal to 20%
of the Part A Amount will be paid.  If the Company, or relevant business unit, as
applicable, achieves the Target, then an amount equal to 100% of the Part A Amount will be paid. 
If the Company, or relevant business unit, as applicable, achieves the
Maximum Target, then an amount equal to 200% of the Part A Amount (or 100% of the IC Factor) will be paid.  Earned IC Amounts for achievement of results
in between (i) the Minimum Target and the Target and (ii) the Target
and the Maximum Target, will in each case be determined by a straight-line
interpolation.  No Earned IC Amount will
be paid for achievement of results below the Minimum Target.  No additional Earned IC Amount will be paid
for achievement of results in excess of the Maximum Target.

 

•                                          Calculating the
Part B Component:

 

The
individual goals and objectives for each participant for each year will
be determined by the CEO in his sole discretion in the event that the CEO is
the participant’s direct supervisor, or by the CEO in consultation with the
participant’s direct supervisor in the event that the CEO is not the direct
supervisor of the participant.  Each
participant’s individual goals and objectives will be communicated to such
participant during his/her year-end performance appraisal, and may be modified
by the CEO or the participant’s direct supervisor, as applicable, in the
participant’s subsequent mid-year performance appraisal.  Each participant’s individual goals and
objectives will be evaluated by the participant’s direct supervisor, who will
determine in his/her sole discretion whether and to what extent such goals and
objectives have been met, and what, if any, percentage (from 0% to 30%) of the
IC Factor has been earned.  Note that not
all goals and objectives will be given equal weight in the determination of
what percentage of the IC Factor, if any, has been earned for the Part B
component.  Such evaluation and
determination shall be communicated to the participant during his/her year-end
performance appraisal.  All decisions
with respect to the extent of achievement of individual goals and objectives
and the percentage of IC Factor earned, if any, shall be final and binding on
all participants. Anywhere between 0% and 30% of the IC Factor can be earned
with respect to the Part B component of the IC Program.

 

•                                          Calculating the
Part C Component:

 

The
individual initiatives, which will reflect a participant’s contributions
that favorably affect sales, gross margin, profitability, expenses and/or other
efficiencies, will

 

4

 

be determined by the CEO in his sole discretion in the
event that the CEO is the participant’s direct supervisor, or by the CEO in
consultation with the participant’s direct supervisor in the event that the CEO
is not the direct supervisor of the participant.  Each participant’s individual initiatives
will be communicated to such participant during his/her year-end performance
appraisal, and may be modified by the CEO or the participant’s direct supervisor,
as applicable, in the participant’s subsequent mid-year performance
appraisal.  Individual initiatives will
also include initiatives which have been mutually agreed upon by the associate
and his/her direct supervisor.  Each
participant’s individual initiatives will be evaluated by the participant’s
direct supervisor, who will determine in his/her sole discretion whether and to
what extent such initiatives have been achieved and what, if any, percentage
(from 0% to 20%) of the IC Factor has been earned.  Note that not all initiatives will be given
equal weight in the determination of what percentage of the IC Factor, if any,
has been earned for the Part C component. 
Such evaluation and determination shall be communicated to the
participant during his/her year-end performance appraisal.  All decisions with respect to the extent of
achievement of individual initiatives and the percentage of IC Factor earned,
if any, shall be final and binding on all participants.  Anywhere between 0% and 20% of the IC Factor
can be earned with respect to the Part C component of the IC Program.

 

NOTE:  A participant may be paid on the Part B
or Part C component even if the no amount of the Part A component has been earned.

 

IC PARTICIPANT POTENTIAL EARNED IC AMOUNT EXAMPLE

 

	
  Annual Base
  Salary:

  	
   

  	
  $

  	
  225,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Applicable Percentage

  	
   

  	
  40

  	
  %

  
	
   

  	
   

  	
   

  	
   

  
	
  IC Factor ($225,000 x 40%)

  	
   

  	
  $

  	
  90,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Part A Amount (50% of IC Factor)

  	
   

  	
  $

  	
  45,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Part B Maximum Amount (30% of IC
  Factor)

  	
   

  	
  $

  	
  27,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Part C Maximum Amount (20% of IC
  Factor)

  	
   

  	
  $

  	
  18,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Part A Earning Potential:

  	
   

  	
  $

  	
  0-$90,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Part B Earning Potential:

  	
   

  	
  $

  	
  0-$27,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Part C Earning Potential

  	
   

  	
  $

  	
  0-$18,000

  	
   

  

 

5

 

Earned IC Amount Calculation Example: 
Part A

 

	
  Chosen
  Metric:

  	
   

  	
  Consolidated Operating Income

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Minimum Target:

  	
   

  	
  $

  	
  40,000,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Target:

  	
   

  	
  $

  	
  46,000,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Maximum Target:

  	
   

  	
  $

  	
  55,000,000

  	
   

  

 

	
  If the Company achieves $40,000,000, then
  payout is 20% of the Part A Amount: 

  	
   

  	
  $

  	
  9,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  If the Company achieves $46,000,000, then
  payout is 100% of the Part A Amount:

  	
   

  	
  $

  	
  45,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  If the Company achieves $55,000,000, then
  payout is 200% of the Part A Amount:

  	
   

  	
  $

  	
  90,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  If the Company achieves $50,500,000, then
  payout is 150% of the Part A Amount:

  	
   

  	
  $

  	
  67,500

  	
   

  

 

Earned IC Amount Calculation Example: 
Part B

 

Payout can
range from $0 - $27,000 on the Part B component (0% to 30% of the IC
Factor).

 

Earned IC Amount Calculation Example: 
Part C

 

Payout can
range from $0 - $18,000 on the Part C component (0% to 20% of the IC
Factor)

 

	
  Total potential Earned IC Amount:

  	
   

  	
  $

  	
  135,000

  	
   

  

 

V.                                    EXCLUSIONS AND OTHER PROGRAMS

 

Notwithstanding anything herein to the contrary,
members of the sales force are not eligible to participate in this IC
Program.  Such individuals may be
eligible for a different bonus program based on achieving certain sales growth
levels.

 

Non-sales associates who are not eligible for the IC
Program may be eligible to receive a discretionary bonus.  The Discretionary Bonus Program is described
in a separate document.

 

Associates who are eligible to participate in this
IC Program (i) are not eligible to participate in the Company’s
Discretionary Bonus Program, and (ii) are not entitled to the December holiday
bonus of one week’s pay.

 

The IC Program supersedes the Company’s former (i) worldwide
“annual bonus program”, (ii) worldwide “annual performance bonus program”,
and such programs and policies shall be of no further force and effect.

 

Note additional exclusions to the Sassy Participants
and the Kids Line Participants set forth in Section II above.

 

6

 

VI.                                NO RIGHT OF CONTINUED EMPLOYMENT

 

Participation in the IC Program confers no right of
continued employment.  Employment remains
“at will” and may be terminated at any time, with or without cause, by the
associate or by the Company, without any entitlement to any IC payment.

 

VII.                            ACCRUAL FOR AND TIMING OF IC PAYMENTS

 

IC payments will be accrued on the Company’s financial
statements throughout the year.  Targets
will be calculated to include a reserve to fund IC payments.  Earned IC Amounts will be paid as soon as is
reasonably practicable after the first meeting of the Board of Directors of the
Company following the closing of the books for the relevant year (the “Payout
Date”).  IC payments are subject to
applicable withholding taxes.

 

VIII.                        VESTING OF IC PAYMENTS

 

Unless otherwise provided in a participant’s
employment agreement, a participant must be employed by the Company through and
including the Payout Date in order to receive any Earned IC Amounts for the
preceding year.  For purposes of
clarification, Earned IC Amounts to which a participant would otherwise be
entitled will not be paid in whole or in part
in the event that the employment of a participant terminates for any reason
prior to the Payout Date.

 

7

 

IX.                                TERMINATION RIGHTS

 

The Company has the right to terminate the entire IC
Program at any time, without notice, for any reason, without incurring any
liability to any participant therein.

 

8Exhibit 10.2

 

INCENTIVE STOCK
OPTION AGREEMENT

 

 

UNDER
THE ALBANY MOLECULAR RESEARCH, INC.

1998 STOCK OPTION
AND INCENTIVE PLAN

 

 

Name of Optionee:

Number of Option Shares:

Option Exercise Price per
Share:

[FMV
(Average of high and low sale prices on Grant Date) or 110% of FMV if a 10% Owner]

Grant Date:

Expiration Date:

 

 

Pursuant to the Albany Molecular Research, Inc.
1998 Stock Option and Incentive Plan, as amended through the date hereof (the “Plan”),
Albany Molecular Research, Inc. (the “Company”) hereby grants to the Optionee named above an option (the “Stock Option”) to
purchase on or prior to the Expiration Date specified above all or any part of
the number of shares of Common Stock, par value $.01 per share (the “Stock”),
of the Company specified above at the Option Exercise Price per Share specified
above subject to the terms and conditions set forth herein and in the Plan.

 

1.                                       Vesting
Schedule.  No portion of this Stock
Option may be exercised until such portion shall have vested.  Except as set forth below, and subject to the
discretion of the Administrator (as defined in Section 2 of the Plan) to
accelerate the vesting schedule hereunder and the acceleration of vesting
in accordance with Sections 3(c) and 17 of the Plan, [(a) sixty percent (60%) of this Stock Option shall be
fully vested and exercisable on the third anniversary of the Grant Date, (b) eighty
percent (80%) of this Stock Option shall be fully vested and exercisable on the
fourth anniversary of the Grant Date, and (c) one hundred percent (100%)
of this Stock Option shall be fully vested and exercisable on the fifth
anniversary of the Grant Date.](1)  Once vested, this Stock Option shall continue
to be exercisable at any time or times prior to the close of business on the
Expiration Date, subject to the provisions hereof and of the Plan.

 

(1)
Max. of $100,000 per yr.

 

2.                                       Manner
of Exercise.

 

(a)                                  The
Optionee may exercise this Stock Option only in the
following manner:  from time to time on
or prior to the Expiration Date of this Stock Option, the Optionee
may give written notice to the Company of his or her election to purchase some
or all of the vested Option Shares purchasable at the time of such notice.  This notice shall specify the number of
Option Shares to be purchased.

 

Payment of the purchase
price for the Option Shares may be made by one or more of the following
methods:  (i) in cash, by certified
or bank check or other instrument acceptable to the Administrator; (ii) through
the delivery (or attestation to the ownership) of shares of Stock, valued at
Fair Market Value on the exercise date, that have been purchased by the Optionee on the open market or that have been beneficially
owned by the Optionee for at least six months, and
are not then subject to restrictions under any Company plan, if permitted by
the Administrator in its discretion; (iii) by the Optionee
delivering to the Company a properly executed exercise notice together with
irrevocable instructions to a broker to promptly deliver to the Company cash or
a check payable and acceptable to the Company to pay the purchase price, provided
that in the event the Optionee chooses to pay the
purchase price as so provided, the Optionee and the
broker shall comply with such procedures and enter into such agreements of
indemnity and other agreements as the Administrator shall prescribe as a
condition of such payment procedure; (iv) by the Optionee
delivering to the Company a promissory note if the Board of Directors has
expressly authorized the loan of funds to the Optionee
for the purpose of enabling or assisting the Optionee
to effect the exercise of his or her Stock Option, provided that at
least so much of the exercise price as represents the par value of the Stock
shall be paid other than with a promissory note; or (v) with the consent
of the Administrator, a combination of (i), (ii), (iii) and (iv) above.  Payment instruments will be received subject
to collection.

 

The delivery of
certificates representing the Option Shares will be contingent upon the Company’s
receipt from the Optionee of full payment for the
Option Shares, as set forth above and any agreement, statement or other
evidence that the Company may require to satisfy itself that the issuance of
Stock to be purchased pursuant to the exercise of this Stock Option under the
Plan and any subsequent resale of the shares of Stock will be in compliance
with applicable laws and regulations.  In
the event an Optionee chooses to pay the purchase
price by previously-owned shares of Stock through the attestation method
described in clause (ii) of the preceding paragraph, the number of
shares of Stock transferred to the Optionee upon
exercise of this Stock Option shall be net of the number of shares attested to.

 

(b)                                 Certificates
for the shares of Stock purchased upon exercise of this Stock Option shall be
issued and delivered to the Optionee upon compliance
to the satisfaction of the Administrator with all requirements under applicable
laws or regulations in connection with such issuance and with the requirements
hereof and of the Plan.  The
determination of the Administrator as to such compliance shall be final and
binding on the Optionee.  The Optionee shall
not be deemed to be the holder of, or to have any of the rights of a holder
with respect to, 

 

 

any shares of Stock subject to
this Stock Option unless and until this Stock Option shall have been exercised
pursuant to the terms hereof, the Company shall have issued and delivered the
shares to the Optionee, and the Optionee’s
name shall have been entered as the stockholder of record on the books of the
Company.  Thereupon, the Optionee shall have full voting, dividend and other
ownership rights with respect to such shares of Stock.

 

(c)                                  The
minimum number of shares with respect to which this Stock Option may be
exercised at any one time shall be 100 shares, unless the number of shares with
respect to which this Stock Option is being exercised is the total number of
shares subject to exercise under this Stock Option at the time.

 

(d)                                 Notwithstanding
any other provision hereof or of the Plan, no portion of this Stock Option
shall be exercisable after the Expiration Date hereof.

 

3.                                       Termination
of Employment.  If the Optionee’s employment by the Company or a Subsidiary (as
defined in the Plan) is terminated, the period within which to exercise the
Stock Option may be subject to earlier termination as set forth below.

 

(a)                                  Termination
Due to Death.  If the Optionee’s employment terminates by reason of death, any
Option held by the Optionee shall become fully
exercisable and may thereafter be exercised by the Optionee’s
legal representative or legatee for a period of twelve (12) months from the
date of death or until the Expiration Date, if earlier.

 

(b)                                 Termination
Due to Disability.  If the Optionee’s employment terminates as a result of the
inability of the Optionee, by reason of injury,
illness or other similar cause, to perform a major part of his or her duties
and responsibilities in connection with the conduct of the business and affairs
of the Company, any Option held by the Optionee shall
become fully exercisable and may thereafter be exercised by the Optionee for a period of twelve (12) months from the date
of termination or until the Expiration Date, if earlier.  The death of the Optionee
during the 12-month period provided in this Section 3(b) shall extend
such period for another twelve (12)
months from the date of death or until the Expiration Date, if earlier.

 

(c)                                  Termination
for Cause.  If the Optionee’s employment terminates for Cause (as defined
below), any Option held by the Optionee shall
terminate immediately and be of no further force and effect.

 

For purposes of this Agreement, “Cause” shall have the meaning set
forth in any Employment Agreement by and between the Company and the Optionee, or if there is no such Employment Agreement,
termination of the Optionee’s employment for any of
the following reasons shall constitute termination for “Cause” for purposes
hereof:

 

(i)                                     dishonest statements or acts of the Optionee
with respect to the Company, any Subsidiary or any affiliate of the Company;

 

 

(ii)                                  commission
by or indictment of the Optionee for (A) a
felony or (B) any misdemeanor involving moral turpitude, deceit,
dishonesty or fraud (“indictment,” for these purposes, meaning an indictment,
probable cause hearing or any other procedure pursuant to which an initial
determination of probable or reasonable cause with respect to such offense is
made);

 

(iii)                               commission, in the reasonable judgment of the Administrator,
of any act involving a violation of any procedure or policy of the Company;

 

(iv)                              failure
to perform to the reasonable satisfaction of the Chief Executive Officer or the
President of the Company a substantial portion of the Optionee’s
duties and responsibilities as an employee of the Company, which failure
continues, in the reasonable judgment of the Chief Executive Officer or the
President of the Company, after written notice to the Optionee
thereof and after a 30-day cure period expires;

 

(v)                                 gross negligence, willful misconduct or insubordination of
the Optionee with respect to the Company, any
Subsidiary or any affiliate of the Company; or

 

(vi)                              material
breach by the Optionee of any of the Optionee’s obligations under any agreement with the
Company, including, without limitation, that certain Employee Innovation,
Proprietary Information and Post-Employment Activity Agreement by and between
the Company and the Optionee.

 

(d)                                 Other
Termination.  If the Optionee’s employment terminates for any reason other than
those set forth in Sections 3(a), 3(b) or 3(c) of this
Agreement, and unless otherwise determined by the Committee, any Option held by
the Optionee may be exercised, to the extent
exercisable on the date of termination, for a period of three (3) months
from the date of termination or until the Expiration Date, if earlier.  Any Option that is not exercisable at such
time shall terminate immediately and be of no further force or effect.

 

The Administrator’s determination of the reason for
termination of the Optionee’s employment shall be
conclusive and binding on the Optionee and his or her
representatives or legatees.

 

4.                                       Incorporation
of Plan.  Notwithstanding anything
herein to the contrary, this Stock Option shall be subject to and governed by
all the terms and conditions of the Plan. 
In the event of any discrepancy or inconsistency between this Agreement
and the Plan, the terms and conditions of the Plan shall control.  Capitalized terms in this Agreement shall
have the meaning specified in the Plan, unless a different meaning is specified
herein.

 

5.                                       Transferability.  This Agreement is personal to the Optionee, is non-assignable and is not transferable in any
manner, by operation of law or otherwise, other than by will or the laws of 

 

 

descent and distribution.  This Stock Option is exercisable, during the Optionee’s lifetime, only by the Optionee,
or by the Optionee’s legal representative or guardian
in the event of the Optionee’s incapacity.

 

6.                                       Status
of the Stock Option.  This Stock
Option is intended to qualify as an “incentive stock option” under Section 422
of the Internal Revenue Code of 1986, as amended (the “Code”), but the Company
does not represent or warrant that this Stock Option qualifies as such.  The Optionee should
consult with his or her own tax advisors regarding the tax effects of this
Stock Option and the requirements necessary to obtain favorable income tax
treatment under Section 422 of the Code, including, but not limited to,
holding period requirements.  If the Optionee intends to dispose or does dispose (whether by
sale, gift, transfer or otherwise) of any Option Shares within the one-year
period beginning on the date after the transfer of such shares to him or her,
or within the two-year period beginning on the day after the grant of this
Stock Option, he or she will notify the Company within 30 days after such
disposition.

 

7.                                       Miscellaneous.

 

(a)                                  Notice
hereunder shall be given to the Company at its principal place of business, and
shall be given to the Optionee at the address set
forth below, or in either case at such other address as one party may
subsequently furnish to the other party in writing.

 

(b)                                 This
Stock Option does not confer upon the Optionee any
rights with respect to continuance of employment by the Company or any
Subsidiary.

 

(c)                                  Pursuant
to Section 15 of the Plan, the Administrator may at any time amend or
cancel any outstanding portion of this Stock Option, but no such action may be
taken which adversely affects the Optionee’s rights
under this Agreement without the Optionee’s consent.

 

(d)                                 This
Agreement may be executed in one or more counterparts, each of which shall be
an original, but all of which shall together constitute one instrument.

 

 

ALBANY MOLECULAR RESEARCH, INC.

 

	
  By:

  	
   

  	
   

  
	
   

  	
   

  
	
  Name: 

  	
  Mark T. Frost

  	
   

  
	
   

  	
   

  	
   

  
	
  Title:

  	
  Chief Financial Officer

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00084-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00084-of-00352.parquet"}]]