Document:

CNP_Exhibit 10(II)_12.31.2012

Exhibit 10(ll)
 
 
CenterPoint Energy, Inc.
Summary of Non-Employee Director Compensation
 
The following is a summary of compensation paid to the non-employee directors of CenterPoint Energy, Inc. (the “Company”) effective April 26, 2012. For additional information regarding the compensation of the non-employee directors, please read the definitive proxy statement relating to the Company’s 2013 annual meeting of shareholders to be filed pursuant to Regulation 14A.
 
		
	•
	Annual retainer fee of $50,000 for Board membership;

		
	•
	Fee of $2,000 for each Board or Committee meeting attended;

		
	•
	Supplemental annual retainer of $15,000 for serving as a chairman of the Audit Committee or Compensation Committee; and

		
	•
	Supplemental annual retainer of $10,000 for serving as a chairman of any other Board committee.

Members of the special CEO Succession Planning Committee receive an annual retainer of $20,000 instead of the compensation listed above for attending committee meetings and/or serving as chairman of any Board committee.

The Chairman receives the compensation payable to other non-employee directors plus supplemental compensation authorized by the board of directors of the Company, as summarized in Exhibit 10(s) to the Company's Annual Report on Form 10-K for the year ended December 31, 2012, which exhibit is incorporated by reference herein.
 
Stock Grants. Each non-employee director may also receive an annual grant of up to 5,000 shares of CenterPoint Energy common stock which vest on the first anniversary of the grant date. Upon the initial nomination to the Board, in addition to the annual grant, a non-employee director may be granted a one-time grant of up to 5,000 shares of CenterPoint Energy common stock.
 
Deferred Compensation Plan. Directors may elect each year to defer all or part of their annual retainer fees, including committee chairman fees, and meeting fees. Directors participating in these plans may elect to receive distributions of their deferred compensation and interest in three ways: (i) an early distribution of either 50% or 100% of their account balance in any year that is at least four years from the year of deferral up to the year in which they reach age 70, (ii) a lump sum distribution payable in the year after they reach age 70 or upon leaving the Board of Directors, whichever is later, or (iii) 15 annual installments beginning on the first of the month coincident with or next following age 70 or upon leaving the Board of Directors, whichever is later.
 
Executive Life Insurance Plan. Non-employee directors who were elected to the Board before 2001 participate in CenterPoint Energy’s executive life insurance plan. This plan provides endorsement split-dollar life insurance with a death benefit of $180,000 with coverage continuing after the director’s termination of service at age 65 or later. Directors elected to the Board after 2000 may not participate in this plan.CNP_Exhibit 10(mm)_12.31.2012

Exhibit 10(mm)
 
CenterPoint Energy, Inc.
Summary of Named Executive Officer Compensation
 
    The following is a summary of compensation paid to the named executive officers of CenterPoint Energy, Inc. (the “Company”). For additional information regarding the compensation of the named executive officers, please read the definitive proxy statement relating to the Company’s 2013 annual meeting of shareholders to be filed pursuant to Regulation 14A.
 
    Base Salary. The following table sets forth the annual base salary of the Company’s named executive officers effective April 1, 2013:
	
					
	Name and Position
	 
	Base Salary

	 
David M. McClanahan
President and Chief Executive Officer
	 
	$
	1,130,000
	

	 
Gary L. Whitlock
Executive Vice President
and Chief Financial Officer
	 
	$
	571,000
	

	 
Scott E. Rozzell
Executive Vice President, General
Counsel and Corporate Secretary
	 
	$
	530,000
	

	 
Thomas R. Standish
Executive Vice President and Group
President — Corporate and Energy Services
	 
	$
	512,000
	

	 
C. Gregory Harper
Senior Vice President and Group President,
Pipelines and Field Services
	 
	$
	398,000
	

     
    Short Term Incentive Plan. Annual bonuses are paid to the Company’s named executive officers pursuant to the Company’s short term incentive plan, which provides for cash bonuses based on the achievement of certain performance objectives approved in accordance with the terms of the plan at the commencement of the year. Information regarding awards to the Company’s named executive officers under the short term incentive plan is provided in definitive proxy statements relating to the Company’s annual meeting of shareholders.
 
    Long Term Incentive Plan. Under the Company’s long term incentive plan, the Company’s named executive officers may receive grants of (i) stock option awards, (ii) stock appreciation rights, (iii) stock awards, (iv) restricted stock unit awards, (v) cash awards and (vi) performance awards. The current forms of the applicable award agreements pursuant to the Company’s long term incentive plan are included as exhibits hereto.CT Filed by Filing Services Canada Inc. 403-717-3898

AMENDED AND RESTATED STOCK OPTION PLAN OF ENERGIZER RESOURCES
INC.

(as of February 2013) 

 

		1.	Purpose. 

The purpose of this Plan is to advance the interests
of Energizer Resources Inc., a Minnesota corporation (the “Company”),
by providing an additional incentive to attract, retain and motivate highly qualified and competent persons who are key to the
Company, including key employees, consultants, independent contractors, Officers and Directors, and upon whose efforts and judgment
the success of the Company and its Subsidiaries is largely dependent, by authorizing the grant of options to purchase Common Stock
of the Company and other related benefits to persons who are eligible to participate hereunder, thereby encouraging stock ownership
in the Company by such persons, all upon and subject to the terms and conditions of this Plan.

 

	2.  	Definitions. 

 

As used herein, the following terms
shall have the meanings indicated:

		(a)	 
   “Board” shall mean
the Board of Directors of the Company.
		(b)	 “Cause” shall mean
any of the following:

		(i)	a determination by the Company that there has been a willful, reckless or grossly negligent failure
by the Optionee to perform his or her duties as an employee or consultant of the Company;

		(ii)	a determination by the Company that there has been a willful breach by the Optionee of any of the
material terms or provisions of any employment or consulting agreement between such Optionee and the Company;

		(iii)	any conduct by the Optionee that either results in his or her conviction of a felony under the
laws of the United States of America or any state thereof, or of an equivalent crime under the laws of any other jurisdiction;

		(iv)	a determination by the Company that the Optionee has committed an act or acts involving fraud,
embezzlement, misappropriation, theft, breach of fiduciary duty or material dishonesty against the Company, its properties or personnel;

		(v)	any act by the Optionee that the Company determines to be in willful or wanton disregard of the
Company’s best interests, or which results, or is intended to result, directly or indirectly, in improper gain or personal
enrichment of the Optionee at the expense of the Company;

		(vi)	a determination by the Company that there has been a willful, reckless or grossly negligent failure
by the Optionee to comply with any rules, regulations, policies or procedures of the Company, or that the Optionee has engaged
in any act, behavior or conduct demonstrating a deliberate and material violation or disregard of standards of behavior that the
Company has a right to expect of its employees; or

		(vii)	if the Optionee, while employed by the Company and for two years thereafter, violates a confidentiality
and/or noncompeting agreement with the Company, or fails to safeguard, divulges, communicates, uses to the detriment of the Company
or for the benefit of any person or persons, or misuses in any way, any Confidential Information, provided however, that, if the
Optionee has entered into a written employment agreement with the Company which remains effective and which expressly provides
for a termination of such Optionee’s employment for “cause,” the term “Cause” as used herein shall
have the meaning as set forth in the Optionee’s employment agreement in lieu of the definition of “Cause” set
forth in this Section 2(b).

		(c)	“Change of Control” shall mean the acquisition by any person or group (as that term
is defined in the Exchange Act, and the rules promulgated pursuant to that act) in a single transaction or a series of transactions
of thirty percent (30%) or more in voting power of the outstanding stock of the Company and a change of the composition of the
Board of Directors so that, within two years after the acquisition took place, a majority of the members of the Board of Directors
of the Company, or of any corporation with which the Company may be consolidated or merged, are persons who were not Directors
or Officers of the Company or one of its Subsidiaries immediately prior to the acquisition, or to the first of a series of transactions
which resulted in the acquisition of thirty percent (30%) or more in voting power of the outstanding stock of the Company.

		(d)	 "Code"
 shall mean the Internal Revenue Code of 1986, as amended.

		(e)	“Committee” shall mean the stock option committee appointed by the Board or, if not
appointed, the Board.

		(f)	 “Common Stock” shall mean the
Company’s Common Stock, par value $0.001 per share.

		(g)	“Consultant” means any person or corporation engaged to provide ongoing management
or consulting services for the Company or any employee of such person or corporation, other than a Director or an Employee.

		(h)	“Director” shall mean a member of the Board and Management Company Employees of the
Company.

		(i)	“Employee” shall mean any person, including Officers, Directors, Consultants and independent
contractors, employed by the Company or any parent or Subsidiary of the Company within the meaning of Section 3401(c) of the regulations
promulgated thereunder.

		(j)	 “Exchange Act”
shall mean the Securities Exchange Act of 1934, as amended.

		(k)	“Fair Market Value” of a Share on any date of reference shall be the Closing Price
of a share of Common Stock on the business day immediately preceding such date, unless the Committee in its sole discretion shall
determine otherwise in a fair and uniform manner. For this purpose, the “Closing Price” of the Common Stock on any
business day shall be (i) if the Common Stock is listed or admitted for trading on any United States national securities exchange,
or if actual transactions are otherwise reported on a consolidated transaction reporting system, the last reported sale price of
the Common Stock on such exchange or reporting system, as reported in any newspaper of general circulation, (ii) if the common
stock is listed for trading on the TSX, the last reported sale price of the common stock on such exchange, as reported in any newspaper
of general circulation, (iii) if the Common Stock is quoted on The Nasdaq Stock Market (“Nasdaq”), or any similar system
of automated dissemination of quotations of securities prices in common use, the mean between the closing high bid and low asked
quotations for such day of the Common Stock on such system, or (iv) if neither clause (i), (ii) nor (iii) is applicable, the mean
between the high bid and low asked quotations for the Common Stock as reported by the National Quotation Bureau Incorporated if
at least two securities dealers have inserted both bid and asked quotations for the Common Stock on at least five of the 10 preceding
days. If the information set forth in clauses (i) through (iii) above is unavailable or inapplicable to the Company (e.g., if the
 Company’s Common Stock
is not then publicly traded or quoted), then the “Fair Market Value” of a Share shall be the fair market value (i.e.,
the price at which a willing seller would sell a Share to a willing buyer when neither is acting under compulsion and when both
have reasonable knowledge of all relevant facts) of a share of the Common Stock on the business day immediately preceding such
date as the Committee in its sole and absolute discretion shall determine in a fair and uniform manner.

    	 

    	 

    

 

 

		(l)	“Incentive Stock Option” shall mean an incentive stock option as defined in Section
422 of the Code.

		(m)	“Insider” means (i) a director or senior officer of the Company, (ii) a director or
senior officer of a company that is an Insider or subsidiary
of the Company, (iii) a person that beneficially owns or controls, directly, or indirectly, voting shares carrying more than 10%
of the voting rights attached to all outstanding voting shares of the Company, or the Company itself if it holds any of its own
securities.

		(n)	“Management Company Employee” means an individual employed by a person providing management
services to the Company, which services are required for the ongoing successful operations of the business enterprise of the Company.

		(o)	“Non-Statutory Stock Option” or “Non-qualified Stock Option” shall mean
an Option, which is not an Incentive Stock Option.

		(p)	“Officer” shall mean the Company’s chairman, president, principal financial officer,
principal accounting officer (or, if there is no such accounting officer, the controller), any vice-president of the Company in
charge of a principal business unit, division or function (such as sales, administration or finance), any other officer who performs
a policy-making function, or any other person who performs similar policy-making functions for the Company. Officers of Subsidiaries
shall be deemed Officers of the Company if they perform such policy-making functions for the Company. As used in this paragraph,
the phrase “policy-making function” does not include policy-making functions that are not significant. Unless specified
otherwise in a resolution by the Board, an “executive officer” pursuant to Item 401(b) of Regulation S-K (17 C.F.R.
§ 229.401(b)) shall be only such person designated as an “Officer” pursuant to the foregoing provisions of this
paragraph.

		(q)	“Option” (when capitalized) shall mean any stock option granted under this Plan.

		(r)	“Optioned Shares” mean the Shares, which may be acquired on exercise of an Option.

		(s)	“Optionee” shall mean a person to whom an Option is granted under this Plan or any
person who succeeds to the rights of such person under this Plan by reason of the death of such person.

		(t)	“Plan” shall mean this Amended and Restated Stock Option Plan
of Energizer Resources Inc., as of October, 2012, which may be further amended or restated from time to time.

		(u)	“Share” or “Shares” shall mean a share or shares, as the case may be, of
the Common Stock, as adjusted in accordance with Section 10 of this Plan.

		(v)	“Subsidiary” shall mean any corporation (other than the Company) in any unbroken chain
of corporations beginning with the Company if, at the time of the granting of the Option, each of the corporations other than the
last corporation in the unbroken chain owns stock possessing 50 percent or more of the total combined voting power of all classes
of stock in one of the other corporations in such chain.

		(w)	“TSX” means the Toronto Stock Exchange or any successor thereto.

		(x)	“TSX Manual” means the Toronto Stock Exchange Company Manual.

		(y)	“U.S. Optionee” means an Optionee who is a citizen of the United States or a resident
of the United States, in each case as defined in section 7701(a)(30) and section 7701(b)(1) of the Code.

 

		3.	Shares and Options. 

 

Subject to adjustment in accordance with Section
10 hereof, the Company may issue up 32,500,000 to acquire Shares held in the Company’s treasury or from authorized
and unissued Shares through the exercise of Options issued pursuant to the provisions of this Plan. If any Option granted under
this Plan shall terminate, expire, or be canceled, forfeited or surrendered as to any Shares, the Shares relating to such lapsed
Option shall be available for issuance pursuant to new Options subsequently granted under this Plan. Upon the grant of any Option
hereunder, the authorized and unissued Shares to which such Option relates shall be reserved for issuance to permit exercise under
this Plan. Subject to the provisions of Section 15 hereof, an
Option granted hereunder shall be either an Incentive Stock Option or a Non-Statutory Stock Option as determined by the Committee
at the time of grant of such Option and shall clearly state whether it is an Incentive Stock Option or Non-Statutory Stock Option.
No Incentive Stock Option
shall be granted more than 10 years after
the earlier of (i) the date on which this Plan is adopted by the Board
or (ii) the date on which this Plan is approved by shareholders of the Company. 

 

		4.	Limitations. 

 

Options otherwise qualifying as Incentive Stock
Options hereunder will not be treated as Incentive Stock Options to the extent that the aggregate Fair Market Value (determined
at the time the Option is granted) of the Shares, with respect to which Options meeting the requirements of Code Section 422(b)
are exercisable for the first time by any individual during any calendar year (under all stock option or similar plans of the Company
and any Subsidiary), exceeds U.S. $100,000.

 

	5. 	Conditions for Grant of Options.

 

		(a)	Each Option shall be evidenced by an option agreement that may contain any term deemed necessary
or desirable by the Committee, provided such terms are not inconsistent with this Plan or any applicable law. Optionees shall be
those persons selected by the Committee from the class of all regular Employees of the Company or its Subsidiaries, including Employees,
Directors and Officers who are regular employees of the Company, Directors who are not regular employees of the Company, as well
as Consultants to the Company. Any person who files with the Committee, in a form satisfactory to the Committee, a written waiver
of eligibility to receive any Option under this Plan shall not be eligible to receive any Option under this Plan for the duration
of such waiver.

		(b)	For so long as the Shares are listed on the TSX, the Company covenants that all Employees, Consultants
or Management Company Employees shall be bona fide Employees, Consultants or Management Company Employees as the case may be, of
the Company or its Subsidiaries.

		(c)	In granting Options, the Committee shall take into consideration the contribution the prospective
Optionee has made, or is expected to make, to the
success of the Company or its Subsidiaries and such other factors as the Committee shall determine. The Committee shall also have
the authority to consult with and receive recommendations from Officers and other personnel of the Company and its Subsidiaries
with regard to these matters. The Committee may from time to time in granting Options under this Plan prescribe such terms and
conditions concerning such Options as it deems appropriate, provided that such terms and conditions are not more favorable to an
Optionee than those expressly permitted herein; provided further, however, that to the extent not cancelled pursuant to Section
9(b) hereof, upon a Change in Control, any Options that have not yet vested, may, in the sole discretion of the Committee, vest
upon such Change in Control.

    	 

    	 

    

 

            

		(d)	The Options granted to Employees under this Plan shall be in addition to regular salaries, consulting
fees, pension, life insurance or other benefits related to their employment with the Company or its Subsidiaries. Neither this
Plan nor any Option granted under this Plan shall confer upon any person any right to employment or continuance of employment (or
related salary and benefits) by the Company or its Subsidiaries.

		(e)	If and for so long as the Shares are listed on the TSX:

		(i)	the number of Options granted to Insiders within a 12 month period may not exceed 10% of the number
of issued and outstanding Shares, unless the Company has obtained Disinterested Shareholder Approval (as such term is defined in
the TSX Manual) for such an issuance;

		(ii)	the maximum aggregate number of Shares that may be reserved under the Plan for issuance to any
one individual in any 12 month period shall not exceed 5% of the issued
and outstanding Shares at the time of grant; unless the Company has obtained Disinterested Shareholder Approval (as such
term is defined in the TSX Manual) for such an issuance;

		(iii)	the maximum aggregate number of Shares that may be reserved under the Plan or other share compensation
arrangements of the Company for issuance to any one Consultant during any 12 month period shall not exceed 2% of the issued and
outstanding Shares at the time of grant;

		(iv)	the maximum aggregate number of Shares that may be reserved under the Plan or other share compensation
arrangement of the Company for issuance to persons who are employed in investor relations activities (as defined in the TSX Manual)
during any 12 month period shall not exceed 2% of the issued and outstanding Shares at the time of grant;
and

		(v)	the Board shall, through the
establishment of the appropriate procedures, monitor the trading in the securities of the Company by all Optionees performing Investor
Relations Activities.

		(f)	Subject to the policies of the TSX, an Option shall vest and may be exercised (in each case to
the nearest full Share) during the period for which the option is granted in accordance with a vesting schedule as the Board may
determine in its discretion.

		(g)	Subject to TSX approval, the exercise price per Optioned Share under an Option may be reduced at
the discretion of the Board or Committee if:

		a.	at least six months has elapsed since the later of the date such Option was granted and the date
the exercise price for such Option was last amended; and

		b.	disinterested shareholder approval of the shareholders of the Company is obtained for any reduction
in the exercise price under an Option held by an Insider of the Company;

provided that if the exercise price is reduced to the
then Discounted Market Price (as such term is defined in the TSX Manual), the TSX four month hold period will apply from the date
of the amendment and further provided that no such conditions will apply in the case of an adjustment made under subsection 10(a)
hereof. Notwithstanding anything to the contrary herein, the exercise
price of an outstanding Option held by a U.S. Optionee will not be reduced below the Fair Market Value of a Share on the date of
such modification of the Option.

 

	6.  	Exercise Price. 

 

The exercise price per Share of any Option shall
be any price determined by the Committee but in no event shall the exercise price per Share of any Option be less than the Fair
Market Value of the Shares underlying such Option on the date such Option is granted and, in the case of an Incentive Stock Option
granted to a 10% stockholder, as described in Section 15, the per Share exercise price will not be less than 110% of the Fair Market
Value. Re-granted Options, or Options, which are canceled and then re-granted covering such canceled Options, will, for purposes
of this Section 6, be deemed to have been granted on the date of the re-granting.

 

	7	Deemed Exercise of
 Options.

 

		(a)	An Option shall be deemed exercised when (i) the Company has received written notice of such exercise
in accordance with the terms of the Option, (ii) full payment of the aggregate option price of the Shares as to which the Option
is exercised has been made, (iii) the Optionee has agreed to be bound by the terms, provisions and conditions of any applicable
stockholders’ agreement, and (iv) arrangements that are satisfactory to the Committee in its sole discretion have been made
for the Optionee’s payment to the Company of the amount that is necessary for the Company or the Subsidiary employing the
Optionee to withhold in accordance with applicable Federal, Provincial or state tax withholding requirements. Unless further limited
by the Committee in any Option, the exercise price of any Shares purchased pursuant to the exercise of such Option shall be paid
in cash, by certified or official bank check or by money order.

		(b)	No Optionee shall be deemed to be a holder of any Shares subject to an Option unless and until
a stock certificate or certificates for such Shares are issued to such person(s) under the terms of this Plan. No adjustment shall
be made for dividends (ordinary or extraordinary, whether in cash, securities or other property) or distributions or other rights
for which the record date is prior to the date such stock certificate is issued, except as expressly provided in Section 10 hereof.

 

		8.	Exercise of Options. 

 

Any Option shall become exercisable in such amounts,
at such intervals, upon such events or occurrences and upon such other terms and conditions as shall be provided in an individual
Option agreement evidencing such Option, except as otherwise provided in Section 5(c) or this Section 8.

		(a)	The expiration date(s) of an Option shall be determined by the Committee at the time of grant,
but in no event shall an Option be exercisable after the expiration of 10 years from the date of grant of the Option.

		(b)	Unless otherwise expressly provided in any Option as approved by the Committee, notwithstanding
the exercise schedule set forth in any Option, each
outstanding Option, may, in the sole discretion of the Committee, become fully exercisable upon the date of the occurrence of any
Change of Control, but, unless otherwise expressly provided in any Option, no earlier than six months after the date of grant,
and if and only if Optionee is in the employ of the Company on such date.

    	 

    	 

    

		(c)	The Committee may in its sole discretion accelerate the date on which any Option may be exercised
and may accelerate the vesting of any Shares subject to any Option or previously acquired by the exercise of any Option.

 

	9. 	Termination of Option Period.

 

		(a)	Unless otherwise expressly provided in any Option
Agreement, and subject to any applicable limitations contained in Section 15(c) of this Plan, the unexercised portion of
any Option shall automatically and without notice immediately terminate and become forfeited, null and void at the time of the
earliest to occur of the following:

		(i)	the expiration of a period not to exceed
one year (such period to
be determined by the Board in its sole discretion) after
the date on which the Optionee’s employment is terminated for any reason other than by reason of (a) Cause, (b) the termination
of the Optionee’s employment with the Company by such Optionee following less than 60 days’ prior written notice to
the Company of such termination (an “Improper Termination”), (c) a mental or physical disability (within the meaning
of Section 22(e) of the Code) as determined by a medical doctor satisfactory to the Committee, or (d) death;

		(ii)	immediately upon (a) the termination by the Company of the Optionee’s employment for Cause,
or (b) an Improper Termination;

		(iii)	the later of (a) the expiration of
a period not to exceed one year (such period to
be determined by the Board in its sole discretion) after
the date on which the Optionee’s employment is terminated by reason of a mental or physical disability (within the meaning
of Code Section 22(e)) as determined by a medical doctor satisfactory to the Committee,
or (b) three months after the date on which the Optionee shall
die if such death shall occur during such period;

		(iv)	one year after the date of termination of the Optionee’s employment by reason of death of
the employee ; or

		(v)	the expiration date of the Option established on the date of grant and set forth in the Option
Agreement.

		(b)	The Committee in its sole discretion may, by giving written notice (“cancellation notice”),
cancel effective upon the date of the consummation of any corporate transaction described in Subsection 10(d) hereof, any Option
that remains unexercised on such date. Such cancellation notice shall be given a reasonable period of time prior to the proposed
date of such cancellation and may be given either before or after approval of such corporate transaction.

		(c)	Upon termination of Optionee’s employment as described in this Section 9, or otherwise, any
Option (or portion thereof) not previously vested or not yet exercisable pursuant to Section 8 of this Plan shall be immediately
canceled.

 

	10. 	Adjustment of Shares.

 

		(a)	If at any time while this Plan is in effect or unexercised Options are outstanding, there shall
be any increase or decrease in the number of issued and outstanding Shares through the declaration of a stock dividend or through
any recapitalization resulting in a stock split, combination or exchange of Shares (other than any such exchange or issuance of
Shares through which Shares are issued to effect an acquisition of another business or entity or the Company’s purchase of
Shares to exercise a “call” purchase option), then and in such event:

		(i)	appropriate adjustment shall be made in the maximum number of Shares available for grant under
this Plan, so that the same percentage of the Company’s issued and outstanding Shares shall continue to be subject to being
so optioned;

		(ii)	appropriate adjustment shall be made in the number of Shares and the exercise price per Share thereof
then subject to any outstanding Option, so that the same percentage of the Company’s issued and outstanding Shares shall
remain subject to purchase at the same aggregate exercise price; and

		(iii)	such adjustments shall be made by the Committee, whose determination in that respect shall be final,
binding and conclusive.

		(b)	Subject to the prior consent of the TSX and the specific terms of any Option, the Committee may
change the terms of Options outstanding under this Plan, with respect to the option price or the number of Shares subject to the
Options, or both, when, in the Committee’s sole discretion, such adjustments become appropriate by reason of a corporate
transaction described in Subsection 10(d) hereof, or otherwise, provided
that any adjustment to an outstanding Option held by a U.S. Optionee will be made in a manner that complies with, and does not
create adverse tax consequences under, section 409A of the Code.

		(c)	Except as otherwise expressly provided herein, the issuance by the Company of shares of its capital
stock of any class, or securities convertible into or exchangeable for shares of its capital stock of any class, either in connection
with a direct or underwritten sale, or upon the exercise of rights or warrants to subscribe therefor or purchase such Shares, or
upon conversion of obligations of the Company into such Shares or other securities, shall not affect, and no adjustment by reason
thereof shall be made with respect to, the number of or exercise price of Shares then subject to outstanding Options granted under
this Plan.

		(d)	Without limiting the generality of the foregoing, the existence of outstanding Options granted
under this Plan shall not affect in any manner the right or power of the Company to make, authorize or consummate:

		(i)	any or all adjustments, reclassifications, recapitalizations, reorganizations or other changes
in the Company’s capital structure or its business;

		(ii)	any merger or consolidation of the Company or to which the Company is a party;

		(iii)	any issuance by the Company of debt securities, or preferred or preference stock that would rank
senior to or above the Shares subject to outstanding Options;

		(iv)	any purchase or issuance by the Company of Shares or other classes of common stock or common equity
securities;

		(v)	the dissolution or liquidation of the Company;

		(vi)	any sale, transfer, encumbrance, pledge or assignment of all or any part of the assets or business
of the Company; or

		(vii)	any other corporate act or proceeding, whether of a similar character or otherwise.

		(e)	The Optionee shall receive written notice within a reasonable time prior to the consummation of
such action advising the Optionee of any of the foregoing.
The Committee may, in the exercise of its sole discretion, in such instances declare that any Option shall terminate as of a date
fixed by the Board and give each Optionee the right to exercise his or her Option.

    	 

    	 

    

 

	11.  	Transferability. 

 

No Option or stock appreciation right granted hereunder
shall be sold, pledged, assigned, hypothecated, disposed or otherwise transferred by the Optionee other than by will or the laws
of descent and distribution and no Option or stock appreciation right shall be exercisable during the Optionee’s lifetime
by any person other than the Optionee.

 

		12.	Issuance of Shares. 

 

As a condition of any sale or issuance of Shares
upon exercise of any Option, the Committee may require such agreements or undertakings, if any, as the Committee may deem necessary
or advisable to assure compliance with any such law or regulation including, but not limited to, the following:

		(i)	a representation and warranty by the Optionee to the Company, at the time any Option is exercised,
that he or she is acquiring the Shares to be issued to him for investment and not with a view to, or for sale in connection with,
the distribution of any such Shares; and

		(ii)	an agreement and undertaking to comply with all of the terms, restrictions and provisions set forth
in any then applicable stockholders’ agreement relating to the Shares, including, without limitation, any restrictions on
transferability, any rights of first refusal and any option of the Company to “call” or purchase such Shares under
then applicable agreements, and

		(iii)	any restrictive legend or legends, to be embossed or imprinted on Share certificates, that are,
in the discretion of the Committee, necessary or appropriate to comply with the provisions of any securities law or other restriction
applicable to the issuance of the Shares.

		(iv)	if and for so long as the Shares are listed on the TSX, the exercise price is reduced to Discounted
Market Price, Options will be subject to a four month hold period commencing from the date of grant and any Shares issued pursuant
to the exercise of an Option prior to the expiry of the hold period will bear the following TSX legend (or similar wording, with
the same effect):

“Without prior written approval of the TSX
and compliance with all applicable securities legislation, the securities represented by this certificate may not be sold, transferred,
hypothecated or otherwise traded on or through the facilities of the TSX or otherwise in Canada or to or for the benefit of a Canadian
resident until [four months + 1 day from the date of grant.]”

 

		13.	Stock Appreciation Rights. 

 

The Committee may grant stock appreciation rights
to Employees in tandem with Options that have been or are granted under the Plan. A stock appreciation right shall entitle the
holder to receive, with respect to each Share as to which the right is exercised, payment in an amount equal to the excess of the
Share’s Fair Market Value on the date the right is exercised over its Fair Market Value on the date the right was granted.
Such payment will be made in cash. The Committee may establish a maximum appreciation value payable for stock appreciation rights.

 

	14. 	Administration of this Plan.

 

		(a)	This Plan shall be administered by the Committee, which shall consist of not less than two Directors.
The Committee shall have all of the powers of the Board with respect to this Plan. Any member of the Committee may be removed at
any time, with or without cause, by resolution of the Board and any vacancy occurring in the membership of the Committee may be
filled by appointment by the Board.

		(b)	Subject to the provisions of this Plan and the policies of the TSX, the Committee shall have the
authority, in its sole discretion, to:

		(i)	grant Options;
		(ii)	determine the exercise
price per Share at which Options may be exercised;
		(iii) 	determine the Optionees to whom, and time
or times at which, Options shall be granted;
		(iv)	determine the number
of Shares to be represented by each Option;

		(v)	determine the terms, conditions and provisions of each Option granted (which need not be identical)
and, with the consent of the holder thereof, modify or amend each Option,
provided that no modification of an outstanding Option held by a U.S. Optionee will be made if it would result in adverse tax consequences
under Section 409A of the Code;

		(vi)	defer (with the consent of the Optionee) or accelerate the exercise date of any Option; and

		(vii)	make all other determinations deemed necessary or advisable for the administration of this Plan,
including re-pricing, canceling and re-granting Options.

		(c)	The Committee, from time to time, may adopt rules and regulations for carrying out the purposes
of this Plan. The Committee’s determinations and its interpretation and construction of any provision of this Plan shall
be final, conclusive and binding upon all Optionees and any holders of any Options granted under this Plan.

		(d)	Any and all decisions or determinations of the Committee shall be made either:

		(i)	by a majority vote of the members of the Committee at a meeting of the Committee; or

		(ii)	without a meeting by the unanimous written approval of the members of the Committee.

		(e)	No member of the Committee, or any Officer or Director of the Company or its Subsidiaries, shall
be personally liable for any act or omission made in good faith in connection with this Plan.

 

	15. 	Incentive Stock
Options for 10% Stockholders; Other Limitations on Incentive
Stock Options.

 

		(a)	Notwithstanding any other provisions of this Plan to the contrary, an Incentive Stock Option shall
not be granted to any person owning directly or indirectly (through attribution under Section 424(d) of the Code) at the date of
grant, stock possessing more than 10% of the total combined voting power of all classes of stock of the Company (or of its Subsidiary)
at the date of grant unless the exercise price of such Option is at least 110% of the Fair Market Value of the Shares subject to
such Option on the date the Option
is granted, and such Option by its terms is not exercisable after the expiration of 5
years from the date such Option is granted.

    	 

    	 

    

 

 

		(b)	An Incentive Stock Option may be granted only to a person who is an employee of the Company or
of any parent or subsidiary of the Company (within the meaning of section 424 of the Code).

		(c)	Incentive Stock Options are subject to the limitations contained in Section 9(a) of this Plan and
the applicable Option Agreement. In addition, in order to retain its status as an Incentive Stock Option, the following rules related
to timing of exercise of the Incentive Stock Option following termination of employment apply, and failure to exercise within the
applicable time period will result in loss of status as an Incentive Stock Option.

		(i)	If a U.S. Optionee who has been granted an Incentive Stock Option ceases to be an employee of the
Company (or by a subsidiary of the Company within the meaning of Section 424 of the Code) for any reason, whether voluntary or
involuntary, other than death, permanent disability or just cause, then in order for the Option to retain Incentive Stock Option
status, the Incentive Stock Option must be exercised by the earlier of (a) the date that is three months after the date of cessation
of employment or (b) the expiration of the term of such Incentive Stock Option. For the purposes of this Section, the employment
of a U.S. Optionee who has been granted an Incentive Stock Option will not be considered interrupted or terminated upon (a) sick
leave, military leave or any other leave of absence approved by the Committee that does not exceed ninety (90) days in the aggregate;
provided, however, that if reemployment upon the expiration of any such leave is guaranteed by contract or applicable law, such
ninety (90) day limitation will not apply, or (b) a transfer from one office of the Company (or of any subsidiary) to another office
of the Company (or of any parent or subsidiary) or a transfer between the Company and any parent or subsidiary.

		(ii)	If a U.S. Optionee who has been granted Incentive Stock Options ceases to be employed by the Company
(or by any parent or subsidiary of the Company within the meaning of Section 424 of the Code) because of a permanent disability,
such U.S. Optionee may exercise such Incentive Stock Option (to the extent such Incentive Stock Option was exercisable on the date
of permanent disability at any time prior to the earlier of (a) the expiration date of the Option established on the date of grant
and set forth in the Option Agreement; or (b) the date that is later of (i) the expiration of a period not to exceed one year (such
period to be determined by the Board in its sole discretion) after the date on which the U.S. Optionee’s employment is terminated
by reason of a mental or physical disability (within the meaning of Code Section 22(e)) as determined by a medical doctor satisfactory
to the Committee, or (ii) three months after the date on which the U.S. Optionee shall die if such death shall occur during such
period.

		(d)	In the event that this Plan is not approved by the shareholders of the Company within twelve (12)
months before or after the date on which this Plan is adopted by the Board, any Incentive Stock Option granted under this Plan
will automatically be deemed to be a Non-Statutory Stock Option.

 

	16. 	Interpretation.

 

		(a)	This Plan shall be administered and interpreted so that all Incentive Stock Options granted under
this Plan will qualify as Incentive Stock Options under Section 422 of the Code. If any provision of this Plan should be held invalid
for the granting of Incentive Stock Options or illegal for any reason, such determination shall not affect the remaining provisions
hereof, and this Plan shall be construed and enforced as if such provision had never been included in this Plan.

		(b)	This Plan shall be governed by the laws of the Province of Ontario, Canada.

		(c)	Headings contained in this Plan are for convenience only and shall in no manner be construed as
part of this Plan or affect the meaning or interpretation of any part of this Plan.

		(d)	Any reference to the masculine, feminine, or neuter gender shall be a reference to such other gender
as is appropriate.

		(e)	Time shall be of the essence with respect to all time periods specified for the giving of notices
to the company hereunder, as well as all time periods for the expiration and termination of Options in accordance with Section
9 hereof (or as otherwise set forth in an option agreement).

 

	17.
	Amendment and Discontinuation of this Plan.

 

Subject to the policies of the TSX, either the Board
or the Committee may from time to time amend this Plan or any Option without the consent or approval of the stockholders of the
Company; provided, however, that, except to the extent provided in Section 9, no amendment or suspension of this Plan or any Option
issued hereunder shall substantially impair any Option previously granted to any Optionee without the consent of such
Optionee.

 

Notwithstanding any provision in a plan allowing amendments
without security holder approval, specific security holder approval is required for the following:

		(a) 	a reduction in the exercise price or purchase
price benefiting an insider of the issuer;
		(b)	an extension of the term benefiting an insider
of the issuer;
		(c)	any amendment to remove or to exceed the insider
participation limit;

		(d)	an increase to the maximum number of securities issuable, either as a fixed number or a fixed percentage of the listed issuer's
outstanding capital represented by such securities; and
		(e)	 amendments to an amending
provision within a security based compensation arrangement.

 

 

	18. 	Termination Date. 

 

This Plan shall terminate ten years after the date of adoption
by the Board of Directors.

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